Conventional wisdom has always been to wait until the ‘Spring Buying Season’ to place your home on the market, hoping for a fresh start when buyers begin to look. That has seemed to make sense in the past and is widely accepted as a good strategy for anyone wanting to sell their home at the best possible price.

What we have come to realize, is that the “past” wisdom of Real Estate 101 doesn’t necessarily fit today’s real estate market Here are some good reasons why?

1. Interest Rates Are On the Rise

If you have not had been on vacation in BoraBora with no internet service, you must be aware that interest rates have spiked up rather dramatically over the last ninety days. From unheard of rates below 4%, interest rates nationwide are now over 5%. Usually an increase in rates has a positive effect on the market because it forces buyers off the fence. Unfortunately, it also cuts into a buyer’s purchasing power. As rates increase, the amount of a mortgage for which a buyer can qualify also decreases. Ultimately, this can have a negative impact on prices.

2. Your Dream Home Will Never Be Cheaper

If your goal is to sell your current home and take advantage of the tremendous selection of properties currently available to buy the property you have always wanted, DO IT NOW! Although prices may continue to soften in many markets, if you are buying, COST should be more important than PRICE. What does that mean? You not only need to consider what you can pay for a home (PRICE), you need to look at what the payment will be (COST). Cost can be dramatically impacted by rising mortgage interest rates. Do the math!!

3. Buyers Are Out Early

There is good evidence that buyers are coming out earlier this year. The belief that now is a good time to buy coupled with the increase in interest rates has started the buying season early.

According to Pete Flint, the CEO of Trulia: “We’re seeing a national resurgence of buyer and seller activity on Trulia.com. In January alone, we experienced an unprecedented level of site traffic including 11 million unique visitors – which is more than 70 percent year-over-year growth. We’ve are now experiencing 100,000 property views per minute.”

The National Association of Realtors just reported that the number of house sales increased 12.9% over last month.

4. Inventory Increases Every Spring

Every year there is an increase of inventory which comes to market as we approach the spring. For example, last year the number of listings available for sale increased each month:

• February – 3,531,000

• March – 3,626,000

• April – 4,029,000

There is no reason to think that a similar increase will happen in 2011 as there is a pent-up selling demand created by the weak market of the last few years. Getting you home on the market ahead of this increase will certainly increase the exposure of your home to prospective buyers.

5. We Are in the Eye of the Foreclosure Storm

While banks are trying to rectify their foreclosure procedures, there is a large supply of discounted properties which has been delayed coming to market. The expectation is that this inventory will be released sometime in the next few months. Foreclosures sell on average at a 41% discount. When released they will be competing with your house for the buyers in the marketplace. If you are looking to sell in 2011, you want to sell before this inventory becomes your competition.

CNN Money quoted the leadership Of RealtyTrac on this issue: “We’ve now seen three straight months with fewer than 300,000 properties receiving foreclosure filings, following 20 straight months where the total exceeded 300,000,” said James Saccacio, CEO of RealtyTrac. “Unfortunately,” he added, “This is less a sign of a robust housing recovery and more a sign that lenders have become bogged down in reviewing procedures, resubmitting paperwork and formulating legal arguments related to accusations of improper foreclosure processing.” “We expect a spike in the first quarter,” said Rick Sharga, a RealtyTrac spokesman.

These are five strong reasons to sell now instead of waiting until later in the year.  Sit down with a one of the professionals at Meadows Mountain Realty today and decide the best options for you and your family.     Meadows Mountain Realty knows the market and can help you with all of your real estate needs.   Call us at 828-526-1717 or email at info@meadowsmtnrealty.com.

If you have been watching Highlands NC and Cashiers NC real estate you might have noticed that mortgage rates are on the rise.  While rates are still affordable they recently hit above 5% for the fist time in ages, a sign of stability on the horizon for the economy.  What does this mean for anyone thinking about buying property in Highlands or Cashiers?  When rates rise the long term cost of home ownership rises as well.

The question many people looking at Highlands property may be asking is whether home prices will drop any further?  The luxury market is definitely different from the lower end market in that listing prices have not dropped significantly.  That being said a home is merely worth what someone is willing to pay for it.

The real cost of real estate rises with interest rates.  Therefore, if you are thinking about buying Highlands real estate in the coming year there couldn’t be a better time to get out and look.  Contact us today to learn more about what is going on with regards to Highlands real estate.  We have access to all listings currently on the market and also know what buyers are truly motivated to sell.

For more information about Highlands and Cashiers North Carolina, and for access to the HighlandsNC/CashiersNC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

Highlands real estate will hopefully prosper from the growing trend of increased second home sales across the country.  A recent article from the Wall Street Journal demonstrated how second home and vacation communities across the country experienced increase in sales volume throughout 2010.  The uptick in second home sales is attributed to the bargains that exist, as well as the desire for many to have a get-away home.  It is after-all a buyers market and the current climate represents a perfect time to buy a vacation property for those that have been considering doing so.

Highlands North Carolina has long been considered a desirable vacation community.  Its stunning setting, combined with exceptional recreational opportunities, shopping, dining, and culture, have created an ideal place to relax and enjoy life.  As the economy continues to improve so will the desire to purchase Highlands real estate.

Click here to read “Market for Vacation Homes is on the Rise” from the Wall Street Journal.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

Is buying Highlands real estate in your future?  If one of your New Year’s resolutions includes improving your lifestyle consider what that means to you.  If it means enjoying a better quality of life, getting outdoors more, improving your golf game, playing tennis and getting in better shape, then maybe you should consider looking to buy a home in Highlands North Carolina.

Part of the allure of living in Highlands is the lifestyle that it offers.  The beautiful mountain setting offers an ideal backdrop for the number of premier golf courses, gold medal fishing waters, and hiking and biking trails.  In addition, the area’s top-notch restaurants, shops and spas allow for more luxurious activities.  If you would like to ring in the New Year by fulfilling your resolutions please contact us today.  We have access to all properties that are currently listed for sale in the Highlands area, as well as a full list of luxury rentals.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

When it comes to Highlands real estate there are bargains that exist but overall prices have remained steady.  Real estate in Highlands NC remains desirable and it is understandable that there are many people looking to buy vacation real estate at a significant discount.  However, offering 50% of list price is rarely going to get a buyer a response.

Those selling Highlands real estate, especially Highlands luxury real estate, are typically not in a position where they have to sell so badly that they are going to give their property away.  There are a few Highlands foreclosure and short sale properties available but in general homes that have been on the market a while are languishing because of the lack of buyers, not a severe depreciation in real estate values.

If buying Highlands real estate is in your New year plans please contact us to learn more about the state of our real estate market.  We have access to some of the area’s finest homes and would love to use our experience and knowledge to help you find your dream home.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

There has been a lot of conversation and speculation about the Mortgage Interest Deduction and what if anything the new Congress will do to adopt the change proposed by the deficit reduction commission.    NATIONAL ASSOCIATION OF REALTORS®’ Chief Economist, Lawrence Yun sent the following letter to the editor of The Washington Post in response to the January 1, 2011 article, “Trim the Excessive Tax Subsidy for Real Estate.” “It’s a common misperception that the mortgage interest deduction benefits primarily the wealthy, as argued in the Washington Post’s January 1 editorial, ‘Trim the Excessive Tax Subsidy for Real Estate.’

“In fact, the MID actually benefits primarily middle- and lower income families. Sixty five percent of families who claim the MID earn less than $100,000 per year, and 91 percent who claim the benefit earn less than $200,000 per year. As a percentage of income, the biggest MID beneficiaries are younger middle-class families.

“The MID helps many families become home owners by reducing the carrying costs of owning a home. The ability to deduct the interest paid on a mortgage can mean significant savings at tax time. For example, a family who bought a home last year with a $200,000, 30-year, fixed-rate mortgage, assuming an interest rate of 5 percent, could save nearly $3,500 in federal taxes when they file next year. That’s real money they can use to pay down other debts, save for their children’s college education, or put away for retirement.

“It’s no wonder, then, that most Americans support the MID. In fact, in a recent NAR survey by Harris Interactive of 3,000 home owners and renters, nearly three-fourths of home owners and two-thirds of renters said the MID was extremely or very important to them.

“Unlike the very rich, much of whose wealth is tied to the stock market, the wealth of most middle-class American families is connected to their home. Millions of these Americans bought their homes with the understanding that mortgage interest is tax-deductible, and many of them have steadily paid down their mortgages to build equity in their home. Eliminating or reducing the MID would destroy part of this hard-earned equity for all home owners, independent of their tax filing status.

“Furthermore, we also need to be mindful that home owners already pay 80 percent to 90 percent of U.S. federal income tax, and this share could rise to 95 percent if the MID is eliminated. Proposals that would remove certain tax benefits in return for lower tax rates just may hold for one or two terms of Congress before the tax rates are changed again. Americans are not naïve; they understand the nature of Washington politics.

“For people who don’t have hundreds of thousands of dollars in savings to buy a home outright, tax benefits like the MID help them begin building their futures through home ownership. In a time when the middle class faces increased economic pressures, you can be sure that the National Association of REALTORS® will remain actively engaged to ensure that hard-working, home-owning families continue to receive this important benefit.”

In addition to proposing to convert the MID into a 12 percent tax credit and make it applicable only to principal-residence mortgages of $500,000 or less, not $1 million as currently allowed, there would be no more tax benefits for second homes and home equity loans up to $100,000.     In areas like Highlands  North Carolina, the effects of this change could have devastating consequences for a real estate market which is heavily dependent on second home purchasers.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

It has been a buyers market for Highlands NC real estate for quite some time now, but how much longer affordability levels will remain low is a question that no one can answer except the future.  High inventories, low mortgage rates, short sales and foreclosures have added up to huge savings for anyone buying Highlands real estate in the recent past, but as the economy picks up speed so will mortgage rates and affordability levels will change.

There has been much talk about the impeccable timing of real estate and how buying a home low and selling high is the best way to maximize profits, basic economics explained.  While we are paused here at the bottom of a market it is a great time to examine whether now might truly be the best time to buy a luxury home in Highlands NC, a getaway cabin in the woods, or step up to a larger primary residence. 

For those who have a steady source of income, money for a down payment, and excellent credit it is an opportune time to look at Highlands real estate.  It is always better to buy in buyers market than in a sellers market.  Please contact us today to learn more about Highlands real estate and determine if now is your time to buy.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

If you are selling Highlands real estate you may be wondering whether or not to keep your home listed during the holidays.  It is a busy time of year and chances are you do not want your plans with family and friends interrupted, and that is very understandable.  However, it is important to remember that you are not the only one taking time off at this busy time of year, the buyer for your home might be too.  Selling your Highlands NC property cannot happen if it is off the market.

While there may not be a lot of people looking for Highlands NC real estate over the holidays it is important to remember that the holidays represent high visitor numbers to our area during vacation periods.

If you are worried about showings interfering with your holiday plans the sit down and  talk with your Highlands Realtor.  She may have some great ideas for how to make selling your home during the holidays less stressful.  Contact us today for more helpful selling information, we are here to use our knowledge and experience to get a job done efficiently and effectively.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

It’s a great time to buy a vacation rental property in Highlands NC.  While real estate may bump along the bottom for a while, all signs point to a looming recovery, which means now is a great time to take advantage of affordable Highlands real estate.  Low mortgage rates, high inventories and declining home values have combined to create an ideal buyers market.  There may not be a better time to buy a Highlands property.

The benefit of owning vacation property in Highlands is that it has the opportunity to help pay for itself through short-term rental.  Renting vacation property ensures that homeowners can enjoy the vacation property when it suits their schedule, and enjoy the opportunity to generate income from the home when it is not being used.  Contact us today to have access to a variety of Highlands real estate opportunities!

Click here to read a recent article from Realty Times regarding why now is a great time to buy a vacation rental.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

In this real estate market with declining prices, short sales have become a common vehicle for sellers who are “underwater” on their mortgage.   In the event your lender agrees to allow a short sale of your home, there are things you need to know to protect yourself.  

If your mortgage debt is partly or entirely forgiven during tax years 2007 through 2012, you may be able to claim special tax relief and exclude the debt forgiven from your income.  Here are 10 facts the IRS wants you to know about Mortgage Debt Forgiveness.

1.  Normally, debt forgiveness results in taxable income.    However, under the Mortgage Forgiveness Debt Relief Act of 2007, you may be able to exclude up to $2 million of debt forgiven on your principal residence.

2.  There is a limit of $1 million for a married person filing a separate return.

3.  You may exclude debt reduced through mortgage restructuring, as well as mortgage debt forgiven in a foreclosure.

4.  To qualify, the debt must have been used to buy, build or substantially improve your principal residence and be secured by that residence.

5.  Refinanced debt proceeds used for the purpose of substantially improving your principal residence also qualify for the exclusion.

6.  Proceeds of refinanced debt used for other purposes – for example, to pay off credit card debt – do not qualify for the exclusion.

7.  If you qualify, claim the special exclusion by filling out Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness, and attach it to your federal income tax return for the tax year in which the qualified debt was forgiven.

8.  Debt forgiven on second homes, rental property, business property, credit cards or car loans does not qualify for the tax relief provision. In some cases, however, other tax relief provisions – such as insolvency – may be applicable. IRS Form 982 provides more details about these provisions.

9.  If your debt is reduced or eliminated you normally will receive a year-end statement, Form 1099-C, Cancellation of Debt, from your lender.  By law, this form must show the amount of debt forgiven and the fair market value of any property foreclosed.

10.  Examine the Form 1099-C carefully. Notify the lender immediately if any of the information shown is incorrect.  You should pay particular attention to the amount of debt forgiven in Box 2 as well as the value listed for your home in Box 7.

For more information about the Mortgage Forgiveness Debt Relief Act, visit IRS.gov

Please visit our short sale website www.highlandsncshortsale.com  for more information on navigaqting the short sale process.    Our website at http://www.meadowsmtnrealty.com/default.asp.pg-ForeclosuresShortSaleListings will give you an insite into the foreclosure/short sale properties in Highlands NC, CashiersNC, Glenville NC and Sapphire NC.