Philadelphia Real Estate Blog

From Philly.com:  “An upscale W Hotel is scheduled to break ground next year on a half-acre site that was originally planned for a $420 million Waldorf-Astoria Hotel with luxury condominiums before the lending markets collapsed four years ago.

The new hotel would sit on what is now a surface parking lot at 1441 Chestnut St, just behind the Ritz-Carlton Hotel and its condo tower, according to a representative of Starwood Hotels and Resorts Worldwide Inc., which owns the W brand.” [Read More...]

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach Realtors
530 Walnut St. #260 Phila., PA 19106

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Do you really know what you are going to get? I am going to suggest you don’t.

When the spate of new high rise buildings hit the drawing boards over the past
decade, many buyers purchased their Center City condo based upon renderings, little floorplans, and a whole lot of marketing materials which surely guaranteed a buyers happiness IF they bought in that particular development.  All ad campaigns showed smiling, happy, good looking folks who would one day reside in the building you were considering.

But what about the Quality of the Finishes?  Many questions remained unanswered until the finished project was done, and buyers could then see what they were getting. And some projects of course, looked better on paper than they perhaps do in real life.  So many factors don’t show up on renderings, like:

-Width of the Common Hallway
-Common area ambiance – Scale, decor, and ceiling height
-The feel of the interior condo elements- like light, view, and again, scale
-Amenities- Size of gym, parking access or lack thereof, and staffing budget
-Quality of interior finishes- Hollow core doors? Doorknobs? Countertop thickness, quality or lack thereof in terms of carpeting, noise transference between units, etc.

And I am just scratching the surface here. The point is, if you are buying new construction, you should ask a lot of questions. And get the answers in writing if you can. Because some new construction Philadelphia condo buyers turn out to be big winners, and others- well, not so much.

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach Realtors
530 Walnut St. #260 Phila., PA 19106

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If you found a Philadelphia condo, and made an offer and the seller signed the offer on say, January 1st, here is a rough time line of what to expect:

By January 5th – Have mortgage application taken.
By January 15th – Set up and have Home Inspection.
By January 16th – 2nd deposit due.
Sometime mid to late January- You get condo docs and have 5 days to review.
Throughout January and February- Be tortured by your mortgage company.
Through January and February- I order title insurance, city certificates, etc etc.
One week prior to settlement- You order a homeowners’ insurance policy  for your unit.
One day prior to settlement- We do our final Walk-Through
Day of Settlement- Take This day off work. Please. Settlement will take an hour or two.
Post Settlement- Sing and dance in the middle of the street, and drink to celebrate your accomplishment!

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach
530 Walnut St. #260 Phila., PA 19106

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I get a lot of email from folks who used to live in town…here is what you may not know about Center City if you haven’t been to town in 20 years:

1. Spruce and Pine Streets are now one lane- the other lane is a bike lane.

2. There is a new tax called the “Center City District Tax”…kinda’ nominal, but adds street cleaners and supervisors on many of the residential streets.

3. Northern Liberties is RED HOT- You MUST see to believe (compared to the 1980’s).

4. Graduate Hospital is now apartments- The hospital closed.

5. We have a new “South Street Bridge” and it is fabulous.

6. Broad St Just South of City Hall is Hoppin’…with residential and tons of restaurants.

7. The Bellevue Stratford is now The Hyatt at the Bellevue- and is stunning.

8. Delaware Ave. is now Columbus Blvd- and nicely manicured.

9. The old Naval Home on Grays Ferry is now a Toll Brothers development.

10. Most Parking meters are gone- replaced by Kiosks- and the parking authority is still very well run- If our city was run as well, the streets would be lined in gold.

If you are looking to come back to check out the City, drop me an email at Mark@CenterCity.com…I would love to show you some of the great new Philadelphia Lofts and Condos available too!

Mark Wade
www.CenterCityCondos.com
Prudential Fox & Roach Realtors
530 Walnut St. #260 Phila, PA 19106

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I am often asked about short terms Rentals here in Center City.
Many buyers are in need of such housing…either they have sold a property and are waiting to settle on their new Center City condo, or perhaps they are just in a state of flux, deciding on where they are going to end up.

Either way, I think if you find yourself “homeless”, you may want to check out www.StayAKA.com. Located on the northeast corner of 18th and Walnut on Rittenhouse Sq- they can accommodate you for a day, a week, a month, or longer. From studios to large two bedroom units…Take A look!

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Mortgages play very crucial role in the economy. The importance of the mortgage industry was realized during the last economic crisis that the country had faced. Rising number of mortgage loans default cases were reported and housing prices plunged to very low levels. This led to the crash in the real estate market in the economy. The negative effects of the crash in the real estate market were percolated to the other sectors of the economy soon. Eventually, the country, as a whole, went into recession. Anyways, in the aftermath of the global financial crisis, the mortgage lenders have become more cautious and they are keeping in more stringent eligibility criteria for obtaining a home mortgage loan. In other words, they are checking the credit worthiness of the borrowers like never before.

Anyway, before taking out a mortgage loan, you must conduct a thorough research about different mortgage loans and rates available at the market place. After examining the different mortgage loans, you will be able to find the most suitable mortgage loan. In other words, the home mortgage loan that you have taken out, must be very affordable to you. In order to find out your affordability, you can also take the help of a mortgage calculator. A mortgage calculator calculates your affordable mortgage payment amount. Anyways, if you face difficulty in repaying your original mortgage loan, you can opt for home mortgage refinancing too.

A mortgage refinance replaces the original mortgage loan with a new one which is affordable to you. In other words, the aim of mortgage refinancing is to help the borrowers pay off their mortgage loans. This can be done through by lowering down the monthly mortgage payment amount or by raising the term of a mortgage. If you want to pay off your mortgage loan earlier before the scheduled time, then also you can opt for mortgage refinancing. Mortgage refinancing can lower down the term of the mortgage loan but at the cost of increased monthly mortgage payment.

Again, if you want to switch to the safety of a fixed rat mortgage from that of an adjustable rate mortgage, then also, you can opt for mortgage refinancing.

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Caller…..”A yeah, I am interested in a mortgage for a condo”
Company….”Great, where are you calling from?”
Caller….”Philly”
Originator….”Perfect….we are licensed in Pennsylvania”
Caller…”OK, where are you?”
Originator….”Kansas. But, we do lots of loans all over the country.”
Caller…”Have you done any loans in Philadelphia?”
Originator….”Not personally. But the mortgage process is pretty much the same no matter where you are. ”
Caller…”Alright. I am looking for a $250,000 loan. I’m thinking about putting down 30%. Can you give me an idea of the rate?”
Originator….”As long as your credit is above blah blah, your rate is blah, blah, blah”
Caller…”Wow, that’s an awesome rate. Do you think we can close in two weeks”.
Originator….”Ohh sure. Not an issue.”

And…prepare to punch yourself in the face.

Almost everyone who has been active in the mortgage market over the past decade has heard horror stories of botched financing courtesy of working with mortgage lenders and brokers from far outside of their communities. Today, selecting a mortgage professional you’ve met online is not that big of a deal anymore. Technology has overcome many hurdles and there are plenty of great companies who have streamlined the origination process. BUT, and it’s a big but…if you are looking to buy a home which is not a “vanilla” property, your originator’s past experience and knowledge of the market may determine whether or not you want to refer them to friends or back over them with your unpacked moving truck.

Condo loans certainly fits that description and especially when it comes to high-rise units and properties where not all phases of the building have been completed.  There are multiple underwriting guidelines which can determine if a unit is considered “non warrantable”. Non warrantable condos are not eligible to be sold to Fannie Mae and Freddie Mac due to a presumed higher risk for default. Thus, the loans have to be placed with lenders who do accept these types of properties in their portfolio.  One of the most important items you’ll need to get completed is a condo questionnaire. This typically is a 1 to 2 page form that is sent from your mortgage company to the condo’s management company. This step will help the mortgage company in determining whether the condo will meet their lenders’ guidelines.

Back to the aforementioned conversation. The originator did a couple of things that should raise a red flag. First, they did not ask any questions about the condo which could immediately help them determine if they had  a matching loan program. Most experienced loan officers will rattle off some questions immediately such as, “Are all of the units complete? Are most units owner occupied? Is there an active homeowners association? Are there commercial spaces in the development?”  The list of Fannie Mae and Freddie Mac requirements is lengthy. That’s why it might be worth your while to work with a mortgage professional who has already financed a property in the development. They have already walked down the path.

Ask your real estate professional for a list of three mortgage professionals that they recommend. Try to find ones from different companies and who all have experience with financing condos in your area. And perhaps most importantly, be sure to give yourself enough time to gather the necessary documentation from the management company. 50% of the time the mortgage company gets a half completed condo questionnaire back two weeks after they sent it in. Of course this does not work and it has to go back to the management company who kicks and screams that the “Joe’s Perfect Mortgage Company” down the street does not ask for any of this stuff. Does it sound like I’ve lived it? Almost every mortgage professional  past and present has. Work with your real estate agent and the seller’s agent to help facilitate the paperwork from the management company. You’ll also want to make sure that the appraisal happens quickly in case it produces information that makes the unit not fit the mortgage program that your originator had selected for you.  There are options for non-warrantable condos. Just be sure to give yourself enough time to shift gears if you need to.

About the author:
Nat Criss is a home financing expert based in Wilmington, North Carolina. He is the CEO ForTheBestRate.com, a consumer directed website focusing on mortgage rates, insurance, and personal finance.

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When you must choose a type of flooring for your home, it can be difficult to find the best option. Carpet is usually the cheapest flooring type, but if you want to increase the value of your condo, hardwood flooring is the optimal choice.

Unlike tile and carpet, hardwood floors last for years, never go out of style, and are compatible with any decorating scheme. Even if you are not planning to remain in your home, installing hardwood flooring can dramatically increase the home’s resale value.

Ease, Convenience and Durability of Hardwood

Homebuyers tend to prefer hardwood flooring because it is easy to clean and repair. Basic cleaning requires no chemicals, only mild soap and water. Scratches and scuffs are easily removed, and more severe damage can often be patched. Hardwood flooring also adds strength and stability to the construction of the home. Even buyers who do not like the color can solve the problem with a little wood-stain.

Hardwood floors are easier to keep clean because they do not hold allergens, animal dander, or dust, eliminating the need for shampoos. Hardwood floors are more capable of hiding stains, scratches, and signs of wear than other floors are. Even when these flaws do appear, they often add character to the floor, rather than decreasing its value.

When you list your home for sale with recently installed hardwood floors, your potential buyers are more likely to make acceptable purchase offers, because of the floors’ longevity. An investment in hardwood flooring will also increase the likelihood of a buyer offering to pay a higher price for your home than he would have if your floors were covered in carpet.

Cost

The right hardwood floor for your home depends on your price range and preferences. Natural wood is the most expensive, while engineered hardwood flooring is cheaper than natural wood, and composed of finished wood on top of plywood. Laminate flooring is made from a wood chip composite covered with melamine-infused paper, and costs less than engineered hardwood flooring, while vinyl flooring is the cheapest option.

Many types of hardwood flooring are easy to install, however, you can easily hire a professional. The total price of your project will depend on the number of square feet you need to cover and the type of flooring you choose.

The elegance and sophistication of hardwood cannot be matched, and installing hardwood flooring is sure to increase your unit’s resale value. Your potential buyers will love the other benefits as well, such as the easy cleanup, allergen and dirt reduction, and durability. Hardwood flooring is easy to install, and there are varieties available to fit every budget.

Justin Shimp
Floors to Your Home
j.j.shimp@gmail.com

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When you’re trying to make your space more alluring to potential buyers, it’s all about presentation.

Most people know that. Before a showing, they make sure the place is picked up, cart out extraneous furniture and, take out the trash. But what about the lighting?

Lighting is the one thing that can give your condo a warm, inviting atmosphere. Follow the tips below, and you’ll have buyers making offers:

-Use the sun to your advantage. Natural light is an incredibly attractive feature, so use what you’ve got. Trim any outdoor plants that are blocking that sun from streaming in, take down bulky window treatments, and move furniture away from the windows.

-Layers are key. The basics of lighting design involve incorporating at least three “layers” of light in each room. One layer is general lighting – you get that with ceiling fixtures. One is task lighting – that includes your floor/desk lamps and any focused lights such as under cabinet fixtures or desk lamps. One is accent lighting – that’s what will really highlight your decor and bring in the majestic feel. One of the most popular forms of accent lighting is indirect cove lighting via LED light strips installed in a recessed portion of the ceiling.

-Be critical. When you’re selling a condo (this especially applies if you’ve lived in it for years), you have to put yourself in a stranger’s shoes. If you were seeing the place for the first time, what would you think of the light fixtures? It’s easy to accumulate outdated light fixtures and forget to judge them with a discerning eye. Replace any tacky light fixtures with a more contemporary style.

-Go green. Sustainability is such a selling point for potential buyers. They want to hear they won’t get slapped with a huge power bill after move-in. They don’t want to go to the trouble of replacing inefficient light bulbs you installed. If possible, replace light bulbs with low-energy models. You can add it on to the list of benefits you tout to the buyer.

Emily Widle
E-Commerce Marketing Specialist
Pegasus Lighting
P 724.846.5137 x 102
F 724.846.8833
www.PegasusLighting.com
“Unique Lighting Products for Your Special Needs”

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1) You see that the condo is vacant, and the front desk tells you they moved
over a year ago.

2) You Google the sellers, and You see that they own multiple properties,
and all of them are for sale.

3) You search the history (in the MLS) of that listing, and see the seller is on
their third listing agent.

4) You walk into the condo, it is vacant, the appliances are gone, and it looks
like the seller left in the middle of the night.

5) You read some unique language in the MLS listing about “seller makes no
warranties”, or “ corporate addendum must accompany…” usually means
corporate owned- aka REO.

These are all possible signs that the condo is ripe for an insulting offer.

Good Luck!

Mark Wade
www.CenterCityCondos.com
Prudential Fox and Roach Realtors
530 Walnut St. #260 Phila., PA 19106

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