Archive for March, 2010

I have been living in my current 4 bedroom 3 bath homes in Morris Plains for 16 years now.  My sons were 7 and 4 when we moved into this house. My family and I have had some great memories in this home.  When we first bought it I was afraid that this house was just too big.  I even said to my wife “honey this house is just too big” We did not have enough furniture for every room of the house.  The boys slept in the same room. 

 Funny things started to happen.  The boys started to grow.  I have been told that if you feed them and give them water and let them get plenty of exercise and fresh air they get big.  Well after 5 years the 7 year old is 12 and wants his own room because his little brother is a jerk.  The 4 year old is now 9 and wants his own room because his now 12 year old brother is a dufous.   Ok we are good we have two extra rooms no problem.  Wait a minute what about when my mother comes to stay?  There is a phrase that sends icicles down the back of even the bravest of men.  Not a problem we can put a bed in the office and we have a guest room.  We have the room right great. Mom gets Johnnies room (the youngest) and John can sleep in the office.  Great, disaster averted.

Ok things are cool for a year then all of a sudden the boys start growing again.  This is about the time that I noticed that all there friends where getting big.  This fact was driven to the forefront when one Saturday afternoon I came home from running some errands and the younger son and his friends where in the family room watching a college football game.  No problem I like these kids they are all good very respectful.  That  is when I notice my son’s friend “Tree”  (he did not get that nick name because of his love of horticulture)  Here in my home is a 6 foot 180 pound 12 year old with a size 15 shoe, arm deep in a bag of Kirkland pretzels.  Picture the cave scene in the movie “Quest for Fire” and you will have a general idea of what my family room looked like.  The other thing about 12 year old boys is that in a group they all smell like Abercrombie cologne and feet.  We are lucky we have a basement that is big enough to hold them.  A TV a pool table some old couches and we are set. 

 Thud, thud, thud I will never forget the first time I heard that sound the date was June 12 2005 it was 9:30 am the younger one was up and moving down the stairs.  When did he get to be 5’10 and 160 lbs. Mean while the older one needs a car so we need a place to park it?  Oh and by the way the friends keep showing up all have facial hair and each one bigger then the next. 

 So what am I trying to get at?  The house I thought was too big in 1994 was busting at the seams in five years.  That little tiny bundle of joy you brought home form the hospital will soon have a brother or sister or two, then the next thing you know their friends will start showing up.  Think of it as having a diner party everyday of the summer.  There is no better time then now to get into a larger home.  First time home buyers are out in droves.  Starter home prices have stabilized and in some towns have even started go up.  In Morris Plains there are 16 homes with four or more bedrooms that have been on the market and average of 79 days.  There are 6 home in town with 3 or less bathrooms, and have been on the market for and average of 50 days.  Interest rates are low the economy is coming back there is no better time then now to get into a larger home.  You don’t have much time kids get big faster then you think.  Your child could very well have a “Tree” as a friend.  Call me and I will set you up

 Thanks for reading My Blog Morris Plains Homes.  And here is the quote.

Cleaning your house while your kids are still growing up is like shoveling the walk before it stops snowing.  Phyllis Diller

Hey all you Manhattanites that are thinking of moving New Jersey think on this:  Morris Plains and Chatham NJ both have a lot in common.  They both are located in desirable Morris County New Jersey.  They both are about the same size ,2.5 square miles, they are both pedestrian friendly and they are both on the Morristown Line of New Jersey Transit with direct service to NY Penn Station and Hoboken. 

But there the similarities end. Chatham’s population density is almost 40 percent higher then Morris Plains.  Also the Average active listing for a home in Chatham currently is 35% percent higher then a home in Morris Plains.  In the last year on average buyers have paid 800,000 dollars for their home in Chatham where in Morris Plains homes on average have sold for 520,000 dollars.  That is almost a 300,000 dollar difference.

Lets break this down further.  In Morris Plains a 7 room 3 bedroom with 1.5 to 2 baths is currently selling on average for 460,000 dollars, while the same size home in Chatham is on the market for 550,000.  In the last year this same size home in Morris Plains sold for 425,000 dollars while in Chatham it sold for 565,000.  I don’t know too many people that have an extra  135 “G’s” to toss around do you?

In Morris Plains an 8 room 4 bedroom 2.5 bath home on average is selling for 550,000 while the same size home in Chatham on average is selling for 740,000.  Last year buyers in Chatham paid on average 290,000 dollars more for their 8 room 4 bedroom 2.5 bath home then the buyers in Morris Plains did for theirs.

What is really interesting for the price of a 7 room 3 bedroom 1.5 to 2 bath home in Chatham you could have an 8 room 4 bedroom 2.5 bath home in Morris Plains with a nice size lot and have money left over for food.

So let’s review.  Morris  Plains has less people, an easy rail commute to NYC, a friendly downtown with shops and restaurants  plenty of parks and recreation oh yea and home values that don’t take a chunk out of your ass. 

Here is an idea I will sell your home in Chatham I will find you a home in Morris Plains.  You take the 200,000 grand that is left over and  buy something really nice for your wife, maybe something shiney and sparkly with facets or buy your self that Red Corvette. Or you could do something mature and grown up and  invest it in the stock market where it may actually appreciate (because it isn’t happening in the real estate market in Chatham)   Give me a call at 862 222 4737 I can hook you up.

Thanks for Reading Morris Plains Homes, and here is the quote “Great minds discuss ideas, average minds discuss events, small minds discuss people”. Eleanor Roosevelt

Happy Saint Patrick’s Day

Today lets talk about the home buyers tax credit.  For first time home buyers this credit applies to anyone who has not held ownership interest in a primary residence within the past 3 years. The Internal Revenue Service is responsible for implementing the tax credit so give them a call for more information. (yeah I know who wants to volunteer to call the IRS if we don’t have to.) Or check out their web site www.irs.gov they are the go to place for tax credit info

Currently there are 29 homes for sale in Morris Plains. 5 are condo’s in Foxwoods. 4 homes are under Attorney Review leaving 21 homes  as active sales in town. There are 11 homes under contract.

and now for today’s quote: “I used to say that Politics is the second oldest profession, but I have come to realize that it bears a gross similarity to the first.”  Ronald Reagan

If you are looking for a property in the Morristown, Morris Township and Morris Plains, give me a call. I have the inside scoop on properties in the area

Happy Saint Patrick’s Day

Every morning I get up make my coffee and then sit down and go through all the financial websites to see what is going on in the world.  What I have realized is all the bad news that is coming out about the economy centers around the housing market 

Like a lesson in the conjunction of Latin Verbs that Sister Hell on Wheels would pound into my 15 year old head in high school the bad news in the housing market is force feed to us every waking moment.  One report claims that 1 in 4 home owners are under water in their home loans.  Another claim the housing market is awash in foreclosures, and another warns us of the coming commercial real estate meltdown.   Ah duh this is the same crap we have heard for the last year.  Where were these people 2 to 3 years ago when we all could have used some of their bad news predictions?  All the bad news is in the market it is not relavent any more.  Now tell Bobby something that we  don’t know.

Ok how about I share this with you.  Did you know that 382 non financial firms in the Standard and Poor’s 500 have reported results for the fourth quarter and are now sitting on 932 billion dollars?  That is billion with a “B”.  What these companies have done is during the down turn they cut costs and capital spending looking to survive the storm.  What are these companies doing now?  They are coming out of their caves and are looking to spend.  Let’s face it a trillion dollars sitting in a bank account is not doing anyone any good.  That money needs to be put back into the economy.   Some of these companies have increased dividends and bought back stock but this signals to the market that they don’t have a better use for their cash.  Stockholders want value and growth.

What is happening now is companies are using their cash to buy other companies.  Bank of New York just spent 2.3 billion for PNC Financial Services, Diamond Foods Inc’s 615 million purchases of Kettle Foods, Air Products offer of 5.12 billion for Airgas Inc.   These are just a few examples of how these companies see positive signs where the economy is going.  Capital for expansion is more readily available and this capital is cheap.  Instead of using what many CEO’s consider their under valued stock to finance a merger these companies have leveraged their cash and the availability of cheap capital to expand through purchases and mergers.  Their view of the economy is that their stock is undervalued and when you compare that to the cost of cash and financing it is pretty easy decision to make, use the cash.

So what does this mean to the average home buyer?  Well 382 CEO’s are out looking to buy.  The reason they are buying is the same reason you should be buying as well.  Reason number 1: the market is at the bottom, in some metro areas the bottom is slipping away.  Reason number 2: interest rates have never been lower.  Everyone will agree that rates will not stay at these levels for long.  30 year mortgages have slipped under 5 percent once again. Reason number 3: waiting for prices to drop.  Home prices are at 2004  levels.  We have seen prices fall almost 5% a year since 2006. Will prices fall further I don’t think so. Why you ask? Because of, Reason number 4 the Economy is Improving.

Thanks for reading Morris Plains Homes   NJ Blog.   Here is today’s Quote   “Stay strong eat right and go for the gold”  John Sittmann

PS this just in    The Unemployment Numbers for February are in.   The  Consensus is that had we not been “snowed in” in February we would have seen a job gain instead of a job loss & this is perceived as a strong economic indicator

To my Readers I am sorry for the delay in a new post on the blog.  But  a spill on the ice trying to do a Triple Toe Loop (mind was willing but the body was not) and a bout with the flu have kept me out of the writtin biz.  I hope to make up for lost time. 

According to the Case Shiller Home Price Index home prices edged higher by .3 percent.  This is the seventh straight monthly increase and it is up nearly 3 percent since the lows of May 2009.  This is more evidence that the housing market is on the road to a recovery, a bumpy one but one none the less. 

This trend is important to the nation’s economic recovery as well.  To most Americans their home represents their biggest asset so as values climb homeowners tend to feel wealthier and are more comfortable spending .  The increase in values also helps home owners to rebuild equity.  As home values  rise it is further proof that conditions in the housing market continue to stabilize.  What would be really nice would to see the unemployment numbers start to come down.

There are still forces that could slow the recovery but for the most part buyers are beginning to realize that bottom is creeping away.  Homes that are priced right are selling a little bit faster.  More listings are receiving multiple offers at or above the asking price.  Some sellers are seeing all cash offers. 

On the economic side the stock market continues to settle above the 10,000 mark.  One should also take note on interest rates. Rising interest rates are not necessarily a bad thing.  Although it could signal the end of sub 5 percent rates for 30 year homes mortgages it also means the economy is on the road to recovery.  Rates for home mortgages could begin to move higher by the end of this year and certainly by early next.

For the Market in Morris Plain NJ February 2010 matched January 2010 in monthly home sales for Morris Plains.  Only one house closed for the month.  The good news is despite the horrible winter weather we have had in February people have been out looking at homes and 10 properties have gone under contract. 

Currently Morris Plains NJ has 27 homes on the market of that 6 are condos in Foxwoods.  Four Properties are under Attorney Review, leaving a grand total of 17 single family homes in town for sale. 

Of that, 7 are priced under 300,000, 3 are priced at 3 to 400,000.  Four homes are priced less  than 500.  There is a terrible shortage of homes in Morris Plains priced in the Mid 4’s.  It seems as soon as a house is listed it is snapped up.   Eight houses are priced fewer than six hundred and 3 priced over 600,000 dollars.

The Absorption rate in town is not too shabby either.  Right now on average the rate for homes in Morris Plains is around Five and ½ months.  What is a very interesting statistic is that the absorption rate for homes priced fewer than 500,000 dollars is 4 months and homes over 500,000 are 7 months.  Both numbers are still impressive.   An absorption rate of 5 and under is considered a sellers market and 6 to 7 months is considered about average.   Another item to note is that this statistic is telling us that the town is seeing an influx of first time home buyers that are looking to settle down and start their families in our lovely Community of Caring.

Thanks for reading Morris Plains Homes here is the Quote;” Success is not final, failure is not fatal: it is the courage to continue that counts”.  Winston Churchill