Wakefield,Reutlinger AND COMPANY/REALTORS

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REAL ESTATE
A Publication of Wakefield, Reutlinger and Company/Realtors Vol. 1 No. 20 September 2009

Recession Ending, Rates Left Alone

The Federal Reserve ended its policy-making
meeting Wednesday with the declaration that the
recession is ending and it would move toward
more normal policies.
The Fed said, “Economic activity is leveling
out.” It added that it expected inflation would
remain “subdued for some time.”
The Fed said it will keep the short-term key
interest rate near zero, but it will end its program
Interest Rates! to buy $300 billion worth of Treasury bonds by
the end of October. Buying bonds was one of
the Fed’s efforts to drive down the cost of home
mortgages.
“In a way, it’s more of a thumbs-up than if they
had said they were continuing the Treasury-
buying,” said Edward McKelvey, an econo-
mist at Goldman Sachs. “They’re saying that
things are going according to plan, and that the
policy is okay.”
Source: the New York Times, Edmund L. Andrews 8/12/2009

30 yr fixed 0 pts 5.125%

15 yr fixed 0 pts 4.375%
LOUISVILLE
Real Estate UPDATE
Month at a Glance Year to Date at a Glance
Residential Sales Stats Residential Sales Stats
Single Family Residential & Condo Single Family Residential & Condo
Jul - 07 Jul - 08 Jul - 09 1/1-7/31 07 1/1-7/31 08 1/1-7/31 09

Houses Sold 1461 1015 1276 Houses Sold 8994 7055 6125

Average Selling Price $181,429 $173,521 $171,793 Average Selling Price $173,532 $168,911 $158,408

Median Selling Price $144,900 $141,000 $140,000 Median Selling Price $139,900 $136,000 $132,000

As part of the national celebration of

the Lincoln Bicentennial, Louisville Units Sold January 1-July 31 Average Price January 1-July 31
artist, Ed Hamilton, was commissioned
to design a statue of Abraham Lincoln
for a new section of the Waterfront
Park. The statue, unveiled in June, is
seated on a stone designed by local
sculptor Forest Boone. In
conjunction with the Lincoln
Bicentennial, the Speed Museum is
having an exhibit on Ed
Hamilton’s artistic journey to
create the Louisville Waterfront Median Price January 1-July 31
Park Lincoln Memorial.

WRrealtors.com

ALL THE WAY HOME...425-0225

Source: Greater Louisville MLS.
10 Home Sale Killers
•Dirt
•Odors
•Old fixtures
•Wallpaper
•Popcorn acoustic ceilings
•Too many personal items
•Snoopy sellers
•Misrepresenting your home
•Poor curb appeal
•Clutter

This is not intended to solicit a currently listed property. Information

is deemed reliable, but not guaranteed.

Remodeling Cost vs. Value Report 2008‐09 Louisville, Kentucky What’s In

Job Cost Resale Value Cost Recouped Reduced Carbon Footprint-
How your home and you impact
Backup Power Generator $12,820 $4,957 69.9% the earth matters.
Outdoor living - Massive fire-
Basement Remodel 53,552 44,924 83.9% places, outdoor kitchens and un-
der-patio heating .
Bathroom Addition 33,468 23,255 69.5% Fully concealed appliances -
Bathroom Remodel 14,413 11,973 83.1% hidden behind concealed doors.
Floating homes - Non-mobile
Deck Addition 8,903 7,588 85.2% homes are basically ranch houses
sitting on stationary barges in a
Family Room Addition 70,536 48,661 69.0% lake or river.
Home elevators - Even builders
Garage Addition 49,954 34,779 69.6% of mid-priced homes are adding
Major Kitchen Remodel 53,150 41,260 77.6% this essential for boomers wanting
to age in place.
Master Suite Addition 89,283 60,827 68.1% Pet showers - in garages and
mudrooms.
Minor Kitchen Remodel 20,307 16,461 81.1% Freestanding bathtubs - “bath
thrones” have supplanted
Siding Replacement 8,994 7,610 84.6% whirlpool baths.
Bathroom suites - with flat-screen
TVs & cappuccino makers.
WHY RENOVATION PAYS What’s Out
Recent renovations make buyer’s lives easier.
Homeowners who remodel their home are providing
$8,000 TAX CREDIT Living rooms - non existing
in homes.
Time is running out on the $8,000 tax credit for first
a service to future buyers. When buyers purchase, Voluminous ceiling heights -
time buyers. The federal government’s offer expires waste of space.
they don’t want to do the painting and remodeling, on November 30. Because mortgage approvals, McMansions - “small is beautiful”
and they don’t want to spend the additional money. residential inspections and other steps in the buying Color Trends- Bold vivid colors
They may be willing to make improvements down process typically take about two months, buyers mixed with some earthy, natural
the line, but when they buy a house, they want the hoping to take advantage of the incentive will need tones. The natural world is influencing
house in move-in condition. It reduces their stress. to have a contract by the end of September. the home pallet with handmade, un-
Making home improvements can also reduce seller’s Remember, to qualify as a “first-time home buyer” dyed materials. The environment is
stress by heading off that time honored negotiating the purchaser or his/her spouse may not have owned also inspiring sky and water blues to
technique-pecking away at the sales price by point- a residence during the three years prior to the come inside. Also be on the lookout
ing out imperfections. If the property has been well- purchase. Each home buyer’s tax credit is deter- for deep navy, inspired by the
maintained and updated, the improvements will help mined by two factors: (1) the price of the home—the techno-world. Color scheme influ-
sell it. If sellers don’t improve their property, buyers credit is equal to 10% of the purchase price of the ences from India, China, and Latin
will reduce the amount of their offer by the cost of home, up to $8,000 and (2) the buyer’s income— America will be evident this year.
the improvements they feel are necessary. single buyers with incomes up to $75,000 and Shimmery metallic finishes are still
Not every neighborhood will support the additional married couples with incomes up to $150,000—may in, but chrome and nickel are start-
work, but in older, more established neighborhoods, receive the maximum tax credit. Call me with any ing to be replaced by softer shades.
updated kitchens and bathrooms will greatly questions. I’ll be happy to help you get moving on Copper and bronze tones are bring-
improved the chances of selling your home. that or any real estate need. ing more warmth to the finishes.