Buyer Information

Mortgage Corner – Mortgage Insurance

August 9, 2011 by admin

Private Mortgage Insurance (PMI) Options

PMI Options Private Mortgage Insurance also known as PMI is a lender requirement for any borrower who puts less than 20% down on a home purchase utilizing conventional financing. The purpose of PMI is to protect the lender in the event of a default by the borrower. The benefit to the borrower is that they can get a mortgage with 5% or 10 % down.

The cost of mortgage insurance varies based on the loan to value percentage, debt ratio, credit score, and property type. Much like homeowners insurance, the rates vary from company to company. Many lenders have contractual agreements with several mortgage insurance companies so that they can have flexibility in both product and pricing. One interesting thing to note about mortgage insurance is that there are options for a borrower that should be explored.

Lender Paid MI

Many borrowers can avoid mortgage insurance by accepting a slightly higher interest rate and having the lender absorb the cost of the mortgage insurance.

Single Premium MI

Borrowers can pay the mortgage insurance premium (instead of monthly) at the time of settlement. The cost of the insurance can be financed, and this often results in a significantly lower monthly mortgage payment.

Piggy Back Loan

In the industry, this is called an 80/10/10. A borrower puts down 10% of the purchase price. The lender makes 2 loans. The first loan is 80% of purchase price, and the second loan (typically a home equity loan ) is for 10% of the purchase . Mortgage insurance in not required in this scenario- as neither loan exceeds 80% of sale price.

Monthly MI

This exactly as it sounds. A borrower pays a monthly premium (with their mortgage payment ) until they have a 20% equity stake in the property.

So, how does one decide which path to take here ? It really depends on several factors. One big factor is projected time in the home. The best thing for any borrower to do is to sit down with a reputable lender who can customize a loan for you.

It’s a great time to buy a home in the Delaware Valley

Steve Madonna

Weichert Financial Services

smadonna@weichertfinancial.com

610-566-2045

NMLS # 140438

110 Cameron Drive – Sproul Estates – Wallingford, PA – Sold In 1 Day

August 3, 2011 by admin

110 Cameron Drive

110 Cameron Drive, a 4 bedroom 2.5 bath totally renovated split level settled today – August 3, 2010. Sales price was $309,900.

Welcome Herb and Peggy Seifert who are moving from Wayne, PA to our Wallingford community.

Selling for the asking price with no seller concessions, 110 Cameron Drive is an example of a home priced correctly for market conditions, and being thoroughly prepared for showing. After been seen by a limited number of prospective buyers – one – this home was under contract in less than 24 hours.

Renovated Kitchen

Wallingford Real Estate Review- July 2011

August 1, 2011 by admin

: Blue Route From Bullens Lane At Dusk

WALLINGFORD REAL ESTATE

July marked the first time this year that sales increased over the same month of the previous year, with 12 Wallingford homes sold in July 2011 as opposed to 11 sales in July 2010. Another encouraging trend was the average Days on Market was down substantially from previous months to 40 days. For the first six months of the year Days On Market averaged 182 days, so the drop to a 40 day average is significant. Coupled with the increase in the ratio of list price to selling price this indicates that seller pricing is coming into alignment with the market – proper pricing is reflected in shorter a marketing time and sale prices which closely reflect the asking price.

The percentage of sales price to original list was up to a strong 95.21%, and the corresponding measure of sales price to last list price posted at 96.55%. On the other hand the average sales price was down to $291,325, a drop of 23.0%.

There were 12 Wallingford homes sold during the month of July 2011.

WALLINGFORD HOMES SOLD – JULY 2011

Address	Bed	Bath	Price	Settled
114 Governors Drive	3	1.5	$227,000	07/01/11
1113 Putnam Blvd	3	2.5	$205,000	07/13/11
919 Winding Lane	3	2.5	$435,000	07/14/11
26 Cedar Road	4	1.0	$219,900	07/15/11
6 Kershaw Road	4	2.5	$545,000	07/15/11
115 Ridley Drive	3	1.5	$192,500	07/15/11
215 East Rose Valley Road	3	2.0	$392,000	07/21/11
705 Raleigh Court	2	1.0	$71,500	07/21/11
1044 Putnam Blvd	2	2.5	$204,900	07/29/11
409 Sheffield Drive	3	1.5	$265,000	07/29/11
209 Fox Lane	5	2.5	$510,000	07/29/11
607 Georgetown Road	3	1.5	$229,000	07/29/11

These 12 Wallingford homes were on the market an average of 40 days, with the average sold price representing 95.21% of the original asking price, and 96.55% of the last asking price.

919 Winding Lane was only on the market for 5days, while 115 Ridley Drive was on the market 125 days.

Conventional financing was utilized in 7 transactions, and 5 utilized FHA financing.

There were no distressed homes sales – Short Sales or Foreclosures reported.

A Seller Assist was utilized in 6 of 12 Wallingford homes sold, ranging from $525 to $11,000

114 Governors Drive – $7,850

26 Cedar Road – $1,500

6 Kershaw Road – $9,000

115 Ridley Drive – $5,500

1044 Putnam Blvd – $11,000

409 Sheffield Drive – $525

Wallingford July 2011 Activity vs July 2010

	*SALES*	*AVERAGE*	*DOM*	*STL TO ORIG*	*STL TO LAST*
2010	11	$378,200	53	94.36%	95.97%
2011	12	$291,325	40	95.21%	96.55%
	9.0%	– 23.0%	-24.5%	0.85%	0.58%

SWARTHMORE REAL ESTATE

There were 7 Swarthmore homes sold during the month of July 2011.

SWARTHMORE HOMES SOLD – JULY 2011

Address	Bed	Bath	Price	Settled
105 Cornell Avenue	5	2.5	$476,000	07/06/11
10 Ogden Avenue	4	2.5	$975,000	07/06/11
517 Walnut Lane	6	4.2	$854,000	07/13/11
228 Benjamin West	3	2.0	$310,000	07/13/11
10 Woodbrook Lane	4	4.5	$900,000	07/15/11
801 Yale Avenue #1123	2	2.0	$154,000	07/22/11
303 Elm Avenue	5	4.51	$1,010,000	07/28/11

These 7 Swarthmore homes sold for an average price of $688,429, and were on the market an average of 15 days, fetching 96.77% of original asking price, and 97.22% of last asking price.

1342 Putnam Blvd – OPEN HOUSE Sunday July 17 From 1 To 3

July 14, 2011 by admin

1342 Putnam Blvd – Weston Village 2 bedroom 2.5 bath town home listed at $196,999 – OPEN HOUSE– Sunday July 17 from 1 to 3. Brand new Heat Pump and Air Conditioning installed June 2011, new roof in 2007. A perfect maintenance free first time home or for someone looking to downsize. This well maintained Weston Village town home features a very convenient location within the prestigious Wallingford-Swarthmore School District.

Wallingford Real Estate - 1342 Putnam Village Basement

Finished Basement

First floor has ceramic tile entry foyer, powder room, EIK kitchen with a new dishwasher, large dining room and living room combination. Second floor has 2 spacious bedrooms. Master bedroom has large double closets and an attached full bath with a shower. Laundry facilities are conveniently located on this level as well. The basement is full and finished, with a sliding door leading out to patio which overlooks open space. A workshop and an additional storage room complete the lower level. Newly carpeted and painted, this home is ready for you to move in. Community amenities include tennis courts and a pool.

Weston Village is a complex of townhomes located off of Brookhaven Road in Wallingford, Nether Providence Township.

Weston Village Community Pool

Wallingford Real Estate - 1342 Pation Area

Patio Area

Wallingford Real Estate Review – June 2011

July 1, 2011 by admin

WALLINGFORD REAL ESTATE

At the mid point of the year real estate in the Wallingford, Nether Providence Township can be characterized by a abundant supply of inventory and weak buyer demand. The year began with 91 homes for sale, and the inventory has steadily risen through the year, reaching a peak of 145 earlier this week. It is discouraging to pass through the Spring market with an increase in inventory, and as basic economics teaches- a large supply of inventory coupled with weak demand drives prices down, and the numbers support that lesson.

Sales are down 30% as compared to the first 6 months of 2010. With first half sales historically representing the majority of yearly sales, the market is looking at annualized sales of under 100 homes versus 125 in 2010, and well below the peak sales year of 2007, which recorded 219 sales.

The average sales price is also down by 8.6%. The numbers also show that initial asking prices of area homes has continued to be out of step with the market, with selling prices representing only 88.3% of original list prices, compared with 92.47% in 2010.

SALES AT MID YEAR 2010 VS 2011

	*SALES*	*AVERAGE*	*DOM*	*STL TO ORIG*	*STL TO LAST*
2010	80	$325,856	174	92.47%	95.63%
2011	56	$297,724	182	88.3%	93.07%
	– 30.0%	– 8.6%	8.0%	-4.17%	-2.56%

There were 18 Wallingford homes sold during the month of June 2011.

WALLINGFORD HOMES SOLD – JUNE 2011

Address	Bed	Bath	Price	Settled
832B Putnam Blvd	2	1.0	$120,000	06/01/11
711 Devon Lane	4	2.1	$260,000	06/01/11
114 Maple Road	3	1.0	$140,000	06/03/11
210 Willow Road	3	1.0	$145,000	06/03/11
510 West Brookhaven Road	4	2.1	$340,000	06/09/11
219 Sykes Lane	4	2.0	$350,000	06/13/11
835 Manchester Avenue	4	1.1	$180,000	06/14/11
410 West Rose Valley Road	4	2.2	$500,000	06/15/11
110 Walker Lane	4	3.1	$590,000	06/15/11
115A Beech Road	3	2.1	$260,000	06/15/11
725 Kincaid Mills Lane	3	2.1	$435,500	06/17/11
707 Harvey Road	3	2.0	$248,000	06/20/11
900 Heathdale Lane	4	2.1	$470,000	06/22/11
817 Parkridge Drive	4	3.1	$360,000	06/23/11
13 Kershaw Road	4	4.1	$872,500	06/24/11
300 Colonial Drive	5	3.1	$435,000	06/24/11
3 Chatham Place	5	3.1	$313,000	06/29/11
104 Quaint Road	4	2.0	$347,500	06/29/11

These 18 Wallingford homes were on the market an average of 245 days, with the average sold price representing 87.4% of the original asking price, and 93.07% of the last asking price.

3 Chatham Place was only on the market for 7 days, While 13 Kershaw Road was on the market 807 days.

Conventional financing was utilized in 10 transactions, Cash in 5 transactions, and 3 used FHA financing. There were no distressed homes sales – Short Sales or Foreclosures reported.

A Seller Assist was popular during June with 11 of 18 Wallingford homes sold having one, ranging from $400 to $16,650.

711 Devon Lane – $7,000

832B Putnam Blvd – $7,200

210 Willow Road – $800

114 Maple Road – $400

510 West Brookhaven Road – $9,000

110 Walker Lane – $16,650

510 West Rose Valley Road – $5,568

725 Kincaid Mills Lane – $5,500

707 Harvey Road – $10,000

900 Heathdale Lane – $1,500

104 Quaint Road – $1,450

June 2011 Activity vs June 2011

	*SALES*	*AVERAGE*	*DOM*	*STL TO ORIG*	*STL TO LAST*
2010	26	$382,871	152	93.5%	95.85%
2011	18	$353,964	245	87.4%	93.07%
	– 30.8%	– 7.6%	61.2%	-6.1%	-5.78%

There were 12 Swarthmore homes sold during the month of June 2011.

SWARTHMORE HOMES SOLD – JUNE 2011

Address	Bed	Bath	Price	Settled
334 Rutgers Avenue	3	2.0	$385,000	06/04/11
7 Village Green Lane	4	3.0	$312,000	06/08/11
438 Riverview Road	5	3.2	$890,000	06/09/11
404 Rutgers Avenue	5	4.2	$490,000	06/15/11
210 Dartmouth Avenue	3	3.0	$350,000	06/15/11
508 Harvard Avenue	5	2.1	$425,000	06/16/11
625 North Chester Road	4	3.1	$355,000	06/20/11
801 Yale Avenue #714	2	2.0	$140,000	06/21/11
318 Brighton Avenue	4	2.1	$425,363	06/24/11
137 Rutgers Avenue	5	3.1	$305,000	06/30/11
60 Dogwood Lane	4	3.2	$599,000	06/30/11
405 Dickinson Avenue	5	4.0	$592,000	06/30/11

These 12 Swarthmore homes sold for an average price of $439,030, and were on the market an average of 111 days, fetching 90.81% of original asking price, and 96.15% of last asking price.

To emphasize the point that real estate is local in nature, in this case hyper-local, Swarthmore sales through the first half of 2011 have increased over last year for the same period. There have been 27 sales at the mid point of the year compared to 26 units last year at the same time. For the same time period the average Swarthmore sales price rose from $345,058 in 2010 to $388,521 through June 30 of 2011.

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Lender Paid MI

Single Premium MI

Piggy Back Loan

Monthly MI

WALLINGFORD REAL ESTATE

WALLINGFORD HOMES SOLD – JULY 2011

Wallingford July 2011 Activity vs July 2010

SWARTHMORE REAL ESTATE

SWARTHMORE HOMES SOLD – JULY 2011

WALLINGFORD REAL ESTATE

WALLINGFORD HOMES SOLD – JUNE 2011

June 2011 Activity vs June 2011

SWARTHMORE HOMES SOLD – JUNE 2011

S. Clark Kendus