Archive for October, 2009

I dont usuallypost twice in one day, but the news is so good that I must.  Today October 29th 2009 offically markes the end of the ression.

Moving to the big story of the day : the US Q3 GDP grew by 3.5%,much better than the expectation of 3.3% consensus & much better than the 2.7% that some big Wall Street houses had put out yesterday.This confirms that the biggest recession since 1929 is now over. this is the fastest pace of growth since Q3 07 & compares to a contraction of 0.7 in the previous April-June quarter.This shows that the stimulus package is working But there was additional good news on the economic front. Consumer spending, which accounts for over two thirds of the US economic activity, surged at a 3.4 % rate in Q3, the fastest advance since Q1 07. Spending had fallen by 0.9% in the previous quarter.

 Also number of US workers filing claim for jobless benefits dipped by 1,000 last week, while the number collecting long term aid fell to the lowest reading in seven months. Another key gauge of the underlying of the labor market health, the four week moving average for new claims, decreased by 6,000, to 526,000, the smallest read since January.

Till yesterday the risk of a significant pullback in the US equity markets had mounted based on the sell off of both the S&P 500 & the Nasdaq finishing below their 50 day moving averaged for the first time since July, & also the inability of the S&P 500 to settle above the psychological important 1,100 level after managing to surpass it on an intraday basis last week. Today’s Q3GDP number could be a trend changer that could stabilize the equities & re-ignite the rally

At the end of the month the number of homes for sale in Morris Plains have fallen to 32.  So far in October we have had 10 homes go under contract.  These homes have been on the market for and average of 66 days.  This is pushing the absorption rate for the town down to  around 3 to4 months.   This is very Good

Other good news is the that the country’sGDP.  The United States Fouth Quarter GDP has risen to 3.5 pct.  This is well above analysts projections.  Needless to say this is having a positive affect on the Dow.

Other possible good news is that the $8000 First Time Home Buyers Tax Credit may be extended.  Not only will it be extended there is talk that it will be extended to current home owners as well.  I will keep you all posted on this very real and promising announcement.

Bob Sittmann  Morris Plains NJ Homes 

7 homes have closed so far in October.  The Average days on market befor a contract was 56.  The list price to sale price was 95 percent.  last year in October we had only one home close.

Whoa  a couple of new listings in Morris Plains are in the million dollar range.  157 Granis Ave is currently listed at 1,175,000 and 10 Court Road is priced at 936,000.  Both of these homes are very lovely and worth every penny.  These should push up the average listing price of homes in town.  The last home to sell for over 1 million dollars was the Stickley House on Court Rd.

The one nice thing about the wet spring and summer is now we have fantastic fall colors to look at.   The Bradford Pear trees in town look great as do the new streetlights.

Good news on the commuter front Trouble Finding Parking for the Train in Morris Plains?
Don’t despair. Contact the Trinity Lutheran Church, 131 Mt. Way for information at 973-538-7606 or www.tlcmp.com. They have train parking available within easy walking distance of the station.  This is really very good idea.  It will lessen the congestion in town around the train station.

The Real Estate Market Absorption Rate for Homes in Morris Plains is at 5 months.  This is a very good sign for sellers not so good for buyers. The excess inventory is getting absorbed. Homes that are correctly priced are selling and and at a brisk rate. Homes are still averaging about 95 percent to list price.

Here are some interesting statistics about Morris County Real Estate.

Homes Priced up to 300 have an Absorption Rate of 5.5 months. Homes priced from 300 to 500 thousand have an absorption rate of 6 months, while homes priced from 500 to 750 have an absorption rate of almost 8 months.  These absoption  rates although not what the Morris County Real Estate Market was a 4 or 5 years a go it does show a slight sellers market to a average market. 

However Homes from 750 to 1 million have an absorbtion rate of 14 months while homes priced from 1 million to 1.5 have a rate of about a year. Homes above 1.5 to 2.5 is just less the 3 years and homes above 2.5 is closer to 5 years of absorbtion rate.

This shows us that the market for low and mid priced housing has already started to see signs of recovery. While high priced markets still have a way to go.

The Dow Jones Industrial Average passed the  10,000 level.  The earnings news for  JP Morgan Chase and Intel had a lot to do with it.   GE’s earnings came out today and they where less then stellar but better then expected.  They are a good barometer of the nation and the worlds economy because of all the things they are involved in. From heavy industry and jet engines to TV and Movies.   The recovery is continuing.  It is just going to bump along for a while.  This is the first time the Dow has been over 10,000 for over a year and it has gained 53 percent since it lowest close in March over 7 months ago. 

The weather this winter promises to be pretty bad.  Accu Weather chief meteorologists on Wednesday said the Northeast and Mid-Atlantic could be hit this year by cold and snowy weather, and that major cities such as New York, Boston and Philadelphia could get up to 75 percent of their snow in two or three big storms.  If this Weekends weather is any indication I am afraid the weather man may have it right this winter. 

The housing inventory in Morris Plains is  down to 33 homes with a 5 month absorption rate.  Homes are still selling at about 95 percent there listing price.  That still is an “A” in my grade book.

Thanks for Reading

Bob Sittmann  Morris Plains NJ Homes 

October is rockin as far as the Morris Plains Real Estate Market goes.  So far one house has closed.  There are three under contract and another 3 in Attorney Review.  There are 33 homes on the market today.

I was away this weekend visiting my son at the University of Maryland for parents weekend.  The weather was great and we had a very nice time.  Maryland really hosted a great program.  (Go Terps)

Just because I was gone do not think that I did not have an open house at 9 Cleveland Avenue in Morris Plains NJ scheduled for Sunday.  I had another agent stand in for me .  She had 6 visitors to the home.   All togather we have had over 55 people come through that house.   Don’t let anyone tell you that  open houses do not work.  Since I have listed the house I have had 45visitors for open houses and another 14 clients with agents see the home.  Not all of those visitors will want to buy the house but they may know some one that is looking for a 5 bedroom 3 bath home on a quiet street and that is where the value is in holding an open houses is.  In this market you have to get your house out there in front of the customer.

Thanks for Reading

Bob Sittmann  Morris Plains NJ Homes 

Gains in the equity markets amid signs that the global economy was recovering & optimism that  corporate earnings reports for Q3 due out over the next several weeks will beat expectations. Since the economy is showing signs of improvement it’s reasonable to think that corporate results will also do better.  Australia became the first G20 country to raise interest rate since the onset of the financial meltdown, saying that that the global economy was on the mend.

If there is any proof that a recovery is on  the way  just look at whats going on in town.  On the homes for sale in Morris Plains  front we are down to 35 today as another has one has gone under contract.  One home has closed as well so far in October.  33 Maple was listed on August 15th,  for 399,000 it is a charming7 room 2 bed 2 bath home with a lovely 3 season room and a great back yard.  It went under contract in 9 days on August 24th and closed on October 1 and sold for 385,000.  That is an incredible 96.5 percent of asking price. 

That is the one thing that I keep repeating about Morris Plains Homes for Sale that if they are correctly priced they will sell and sell quickly. 

Also when listing a home sellers should think more about the marketing plan that an agent brings to the table not the commission he charges.  A list it and leave  it agent.  will charge a low commission to get the listing but will they hold open houses, will they invite other agents to preview the home,  will they market the property on the Internet and on national real estate sites?   All those things cost money and time and they all come out of the agents pocket.   

The key is to get as many people through a listing as fast as possible.  On my listing at 9 Cleveland Avenue Morris Plains  I have had 4 open houses.  On the first Sunday I had 14 people on the next Sunday I had 8 the following Sunday I had 6 and on last Sunday I had 11.  In four days I had 39 people visit the home and there have been another 12 with other agents.   Over 50 buyers have seen the house.  I have also had 2 Brokers/agent open houses and had an additional 35 agents come through the home.  Now from September 1 to October 7 I have gotten over 85 people to see  that house.  So don’t let another agent tell you that open houses do not work.

Sellers should also concentrate on an agent in their area.  An agent that has a listing in their own home town is going to work a hell of a lot harder then an agent from outside the area.   Make sure your agent is a full time agent.  Part time agents rarely have the time to invest in selling homes effectively.  If you are going to use a family member or a friend  be sure that they are full time agents and are familiar with your town. 

Thanks for Reading

Bob Sittmann For Morris Plains Home Sales

 I had another great open house at 9 Cleveland.  I saw a lot of families with 2, 3, and 4 kids taking a look.  The house is large and has a lot of great living space.  It was the garage sale weekend this past weekend in Morris Plains.

 We had a lot of people out and about.  I sat an unofficial open house for a couple of hours to see if any garage sale people would show up.  I did get one visitor but they where looking for some thing smaller. 

The great weather on Sunday brought a horde of people out.  I had 10 visitors.  I had  2 people came back for the 2nd time and one for the 3rd. 

The first time home buyers were out as well there is not much time to get that first time home buyers credit you only have til November 30th to close.  You really want to get a contract on a house signed by October 15th

I saw two good movie over the weekend on was Away We Go with John Kasrinski and  Maya Rudolph.  The Story was good about a couple looking for a place to live.  It really was quite good.  The other was Paris it was in subtitles but I liked the story about different people and how their lives are intertwined.  I give them both 3 stars out of 4

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