Why the Cheapest Home Is Not Always The Best Deal

We all can agree on one thing when it comes to looking for a home in this market....we want to buy the house for the least amount of money that gives us the greatest value for our dollar. But, is buying the least exepnsive home always the best deal for you?

I,for one, love shopping for bargains. I have been accused of waiting for a sale to buy something unless it is an absolute need. I did that with the last home I purchased as well. But, is buying the cheapest home always the best deal for you? There are some variables that you need to take into account when you are looking to purchase a home.

If it is priced signifcantly lower than the rest of the homes in the neighborhood; what is wrong with it? And are you in a position to do those repairs needed to bring the home to the stnadard of other homes you may have been looking at? And if so, at what cost? There is an old adage that my dad used to tell me: "if it is to good to be true; it probably is". That probably hold more true for real estate than anything else right now.

You may be able to purchase a home for as much as 40% to 50% less than the comparable home in the neighborhood is sellign for...but at what cost? If all your savings are going into the down payment and closing costs; where are you going ot get the money to do the repairs? Do you have the time to do them? Does the cost of doing the repairs outweigh what you can buy a home in the neighborhood that does not need repairs for?

I recently had a buyer who negotiated on a home that was substantially less expensive than the others in the neighborhood. From the naked eye it appeared the home was in need of some cosmetic repairs and updating. Nothing to expensive and nothing that would inhibit them from living there if they could not get the repairs or updating done immediately.

However; after having a home inspection; what began as a few thousand dollars to fix a few items and do some updating turned into over $30,000 when the home inspector got done with the list of items he found wrong with the house. Now, that home that was priced 40% less. However; it was not looking like that great of a deal anymore. Besides the large amount of money they would have to spend...going to another home without the repairs would have cost them $83.00 a month more in their mortgage payment versus coming up with over $30,000 just to live in the less expensive house. For them the value of not having to spend the money outweighed the cost of repairs.

Now, there are deals out there. Banks and homeowners will make mistakes and homes will be priced substanitally lower than they should be. You need to look at it as the exception and not the rule. Your best deal may not be the cheapest home in the nieghborhood...it is the one that gives you the most value for your money......

Dave diCecco
Realtor/Broker
www.davedicecco.com

Crestdale Crossing Matthews, NC. 28105 Market Report May 2011

Crestdale Crossing is a quaint 110 single family home subdivison located in Matthews, NC. 28105 just outside of the center of town. This quiet community was built in 2002-2003. It's convient location to the highways, great schools and family like atmosphere make it a popular destination among familes and empty nesters. Below is the the market trend for the past three years from may 1st to April 30th for Crestdale crossing:

3 years ago there were 7 homes that sold for an average of $126,557. they were on the market for an average of 17 days.

2 years ago there were 4 homes that sold for an average sale price of $115,438. They were on the market for an average of 61 days.

Last year there were 4 homes that sold for an average sale price of $122,500. They were on the market for an average of 60 days.

Currently there are three homes on the market right now for an average asking price of $99,632. In addition there are 3 homes that are under contract The homes on the market have been on an average of 27 days.

Homes in this subdivison seem to sell faster than the pace of the market right now and ahve over the past few years. On average there have been 5 home sales a year. With 3 active homes right now there is a little more than six month supply of homes on the market. A six month supply of homes would equal a balanced market that favors neither the seller or the buyer.

Dave dicecco
Realtor/Broker
www.davedicecco.com

New Listing: 10024 fairlea Drive Charlotte, NC. 28269

Welcome to this three bedroom, 2 full bath ranch home located in the Mallard creek area of Charlotte. This home features over 1700+ square feet of living space and is priced at only $150,000. The home has gone a major transformation in the past year and it clearly shows throguhout the hosue.

The exterior and interior of the house has been professionally painted last year. In addition to the painting there was a brand new roof installed with a 30 year warranty that is transferrable to the new owner.

When you walk into this spacious ranch you will instantly notice the cathedrial ceiling in the living room/great room. This room is thelargest of the house. It's central location make it the focal room of the house. Do not overlook the brand new cherry hard wood floors in the living/great room, dining room and entrance way and hallway. The floors are nothing short of gorgeous. There is a wood burnign fireplace located in the great room as well for those cool evenings..

There is an entertainment bar area off the living room. At one time this apparently was a half bath that the pevious owner converted into a wet bar. Great for entertaining guests. But also can be converted back into a half bathroom.

The kitchen is spacious and offers a lot of counter space and all appliances will convey with the house. There is a beautiful eating area that sees the natural light in the morning coming in and a space large enough for a family of six.

The dining room is conviently located off the kitchen and adjacent to the living/great room. Adorned with hardwood floors and chari rail moldings the quality of craftsman work shows in this room.

Down the hall from the livng room is located the three bedrooms. The master bedroom is a very large room that will accomadate a king size bed without overtaking the room. There is a large walk in closet as well. The master bathroom has undergone some recent renovations that make it stand out. A brand new vanity with dual sinks and granite countertops have been installed. There is a separate garden tub and shower stall.

The other two bedrooms are located across the hall and as the master bedroom feature brand new wall to wall carpeting in them. They are very large rooms that have a great utlization of space to them.

When you walk out the back patio door you immediately notice the care he has taken in the yard. The yard is a plush green grass with trees and shrubs that have been trimmed. You alos will notice that you cannot see your neighbors on either side of you or behind you. Privacy is something that you will be able to cherish in this yard.

In additon to the new roof and other updates this home has a brand new heating and air conditioning system installed. But not just a system; the homeowner had ALL the duct work repalced in the house as well. He spared no expense in repairs and maintenace of this house and it shows.

If you are looking to move to the Mallard creek area of Charlotte and want an easy commute to UNCC or 85; look no further. Less than 3 miles from 85 and 5 miles from UNCC this home is centrally located. Give me a call or e-mail me to find out more information on this home...

Dave diCecco
Realtor/Broker
www.davedicecco.com.