Nashville Real Estate Blog

The 2008 population of the entire 13-county Nashville Metropolitan Statistical Area was 1,541,437, making it the largest metropolitan area in the state.

3/24/2009, 1:38 PM

3/24/2009, 1:30 PM

CNN Money reports that housing starts showed a sudden unexpected surge in February - especially in the multi-family market. read more.

3/17/2009, 4:31 PM

Here is a VERY interesting article from BusinessWeek showing a recovering market in many of the west's most critical real estate markets. YAY!
read more

3/17/2009, 4:23 PM

…at least according to the Washington Post and the Mortgage Bankers Association. Although there have been, and will continue to be, variations from week to week, experts predict rates will remain low for a while, but won’t go very much lower.

A boost in refinancing demand usually pushes interest rates up and puts a damper on refi activity, but experts say borrowers have no need to worry about rising costs as they rush to take advantage of the U.S. government’s new no-equity refinance program. Mortgage Bankers Association economic forecaster Orawin Velz explains that the Federal Reserve plans to purchase $500 billion in Fannie Mae and Freddie Mac mortgage bonds to hold interest rates at about 5 percent by maintaining demand for the securities. Experts say borrowers should not wait in hopes that rates will fall as low as 4 percent, as this scenario is unlikely.

[SOURCES: Washington Post; Information, Inc.]

3/9/2009, 11:17 PM

A new proposal in the Obama administration's federal budget outline would limit the mortgage interest deduction (MID) amount for thousands of families, which would impact the housing market for everyone.

The NATIONAL ASSOCIATION OF REALTORS®, which has supported the Obama administration’s housing and stimulus plans, is opposed to this proposal. NAR President Charles McMillan has sent a letter to President Obama, saying that "there is never a good time to propose something that undermines the basic foundation of homeownership."

2/27/2009, 2:51 PM

From a recent article on Builder.com:

#11. Nashville, Tennessee 2008 total building permits: 8,142

Nashville, the 20th largest home building market, operated under the radar of the national housing boom. It didn't ramp up wildly during the boom years, and it's not contracting viciously during the bust. Median home prices remain an affordable $152,100, propped up by a growing job base. Eighty percent of the residential construction is single-family. Some of the market's resilience stems from above-average population growth of about 2.3 percent a year. Back in the day, 2005, Nashville accounted for 16,654 permits; it now runs at about half that level. But that's a better performance than most major markets.
Click here to access the complete article.

2/24/2009, 3:01 PM

If so, you may have more options than you think. Here are some thoughts by Ralph Roberts of RealtyTimes. This information is not meant to replace the council of an attorney.

"Loan modification: Also called a mortgage modification, this enables the homeowner to negotiate a workout solution with the lender to catch up on late or missed payments and lower the monthly mortgage payment by adjusting the terms of the loan. This is currently one of the best, most available, and most popular options.

Forbearance: Forbearance provides the borrower with a payment plan for catching up on missed payments. The homeowner is typically allowed to pay a few hundred dollars extra each month over the course of 18-24 months to catch up.

Reinstatement: Homeowners may be able to borrow money from relatives who are in a position to do so, to pay any balance that is currently overdue and then pick up on monthly payments as though nothing ever happened. (This is a practical option only for those who have recovered from a temporary financial setback and can now afford the house payment along with any payments required to pay back their relatives.)

Refinancing: Given the fact that credit is still pretty tight right now, this option may not be available. If the homeowner can qualify for a fixed-rate, low-interest loan to pay off a higher interest loan and perhaps even consolidate their debts, refinancing could be one of the best options.

Short re-fi: With a short re-fi, the lender agrees to accept as payment in full less than is required to pay off the balance due on the mortgage, and the homeowner takes out a refinance loan to make that payment in full. The end result is that the homeowner has a new mortgage with a lower balance and lower monthly payments.

Government loan programs: The federal government, through FHA, offers down-payment assistance programs and is developing other programs to enable homeowners to keep their homes.

Bankruptcy: For homeowners who are buried in unsecured debt, including credit card debt, bankruptcy may be the best option.

Selling the home: For homeowners who cannot or do not want to keep their homes, selling the home to “get out from under it” may be the best option.

Short sale: For homeowners who face the prospect of selling the home at a loss, you may be able to negotiate a short sale with the lender on their behalf. With a short sale, the lender agrees to accept as full payment a partial payment of the loan. In most cases, a lender is more likely to go along with the idea if you already have an offer from an interested and qualified buyer.

Selling to an investor: Often putting a homeowner and investor in together can result in a win-win deal. Investors are often in a better position to move quickly on a deal, and when you are in a foreclosure situation, time is often of the essence. 

Deed in lieu of foreclosure: For homeowners who are unable to make payments (even significantly lower payments) and cannot sell the property and at least break even on the sale, the lender may accept the deed in lieu of foreclosure. The homeowner should hire an attorney, however, to make sure that the deal allows them to walk away totally debt free and prohibits the lender from seeking a deficiency judgment. In some cases, the lender may be willing to pay the homeowner a small amount in exchange for keys and leaving the property “broom clean,” which the homeowner can use to move to more affordable housing.

Redemption: In some states the homeowner has the right to buy back the property after the auction by paying the buyer the purchase price along with any qualifying expenses the buyer paid for. Check with a foreclosure attorney in your area or your county’s register of deeds to determine the redemption rights in your state.

Abandoning the home: Walking away is an option, but it is not always the best option, because it can leave some legal strings untied. In some jurisdictions, for example, the lender can sell the house at auction and then pursue a deficiency judgment against the homeowner for the difference between what the house sold for and the balance of the mortgage.

Do nothing: One of the worst options (second only to being victimized by a foreclosure rescue scam) is to do nothing, in which case the homeowners lose their home along with any equity they may have had in it and have to go through the humiliation of being evicted. "

~Ralph Roberts, 2/23/09

 

 

2/23/2009, 11:02 PM

I've long been a champion of the still-affordable 1950's brick homes off Annex Road in the Charlotte Park subdivision. These are solidly built but typically-in-need-of-updates homes. It's also one of the last affordable neighborhoods on the coveted "West Side."

Well, not for long if the Charette rumors come to fruition. Apparently H.G. Hill Realty has plans for retail/office space and a brand new Publix near the corner of Charlotte & Annex. If I had some extra cash right now, I'd seriously consider a purchase on one of those cleverly themed Ford Motor Car street names!

Investors - rent & hold for profit!

First-Time-Buyers - take that tax money and update your kitchen!

Here's a peek at what's currently available in the area.

2/21/2009, 10:41 PM

Hutton Hotel has officially opened in the West End.

Developers describe the hotel as casually elegant with New American cusine and energy effecient features.

A renovated office building turned hotel at 1808 West End Ave., Hutton is the only Nashville hotel that’s a member of the Leading Hotels of the World, a luxury hospitality organization of nearly 450 hotels, resorts and spas.

“When guests stay at the Hutton, they not only experience one-of-a-kind, comfortable design, stylish décor and great service, they're also part of a dynamic and comprehensive green program that stands to set eco-standards throughout the region,” says Steven Andre, Hutton's general manager.

The 248-room hotel uses bamboo furntiture and reclaimed wood furnishing as part of its eco-friendly mission. Developers say Hutton is the most green and sustainable hotel in the city. Lights are fluorescent and card readers disable guest room lighting when they leave the room.

The hotel recycles, conserves water, uses dual-flush toilets, biodegradable cleaning products and thermal insulation. It has an eco-friendly hybrid courtesy vehicle.

The building has two penthouse apartments with restricted access and private balconies, steam showers and wet bar.

More than 13,600 square foot of meeting and event space will be completed in a few months.

2/21/2009, 9:11 PM

2/21/2009, 9:07 PM

Here’s a warning for potential borrowers: Nervous lenders have tough new rules and are paperwork crazy.

Borrowers are going to have to prove they are the borrower they say they are; homebuyers should consider these things before they apply for a loan.

1. Down payments are critical. Borrowers should expect to put down at least 10 percent for a “conforming loan” – a mortgage that Fannie Mae and Freddie Mac will purchase.

2. Credit scores count. A 720 on the 850-point FICO rating scale will get a borrower access to the best rates. Rich Bira, branch manager of FCM Direct Lender in Chicago, says: "A score between 720 and 739 gets 0.125 percent added to the rate, a score between 700 and 719 gets 0.375 percent added to the rate, and a score between 680 and 699 gets 0.5 percent added to the rate.”

3. Consider VA and FHA. Borrowers without down payments or with less than stellar credit scores should consider these government-insured loans offered through the Federal Housing Administration of the Veterans Administration.

4. Unearth the records. Before applying, borrowers should organize tax, banking and other records that prove income, savings and debts. They should also expect to be patient about what may seem to be endless requests for information.

5. Get rid of debts. Limiting debts, including what borrowers expect to pay for the mortgage, to less than 43 percent of gross income is important.

2/20/2009, 6:45 PM

1.) Help for home owners making their payments but at risk of default and foreclosure.

Home owners with a Fannie Mae or Freddie Mac loan would be eligible to refinance as long as their mortgage doesn't exceed 105 percent of the home's current market value. Currently owners need to have at least 20 percent equity. Potential impact: 4-5 million households.

2.) Help for home owners already in default and in need of loan modification.

For lenders that voluntarily agree to lower a borrower's payment so that it makes up no more than 38 percent of the borrower's income, the government would share the cost of lowering the mortgage burden to 31 percent of income. Incentives to lenders to participate include a $1,000 payment.

Borrowers can receive up to $1,000 as an incentive to stay current on their new mortgage. Still in the works is a proposed provision that would allow bankruptcy judges to require loan modification (known as a cramdown) as part of a household's restructuring. That provision requires legislation by Congress. Estimated potential impact: 3-4 million households.

3.) Doubled resources to Fannie Mae and Freddie Mac.

To encourage investors to buy the secondary market companies' mortgage-backed securities, the government explicitly backstops them to up to $400 billion, twice the current amount.

The plan does not provide help to investors or to home owners who are in trouble with a second home, nor does it apply to homeowners whose mortgage is part of a private-label mortgage security that is not backed by Fannie Mae or Freddie Mac.

"The administration's proposed plan, combined with provisions like the $8,000 first-time home buyer tax credit in the just-enacted American Recovery and Reinvestment Act, will help minimize foreclosures, shrink housing inventory, stabilize home values, and move the country closer to an economic recovery," says NAR President Charles McMillan.

Source: REALTOR® Magazine Online

2/20/2009, 6:41 PM

The $790 billion stimulus package hammered out by House and Senate conferees late yesterday increases the home buyer tax credit to $8,000, from $7,500, and drops the repayment feature for buyers who hold on to their property for at least three years.

The NATIONAL ASSOCIATION OF REALTORS ® has sought removal of the repayment requirement because it discourages buyers from taking advantage of the tax credit. The three-year minimum holding period is a safeguard against speculators' use of the credit.

The legislation also extends the effective date of the credit to December 1 from June 30, and extends eligibility to borrowers who buy their home with the help of state or local financial assistance that comes from the proceeds of tax-exempt mortgage revenue bonds.

The credit remains open only to first-time buyers (those who haven't owned in at least three years) and some income eligibility restrictions apply, but those are unchanged from the existing program.

2/13/2009, 4:18 PM

2/11/2009, 10:42 PM

..."Borrowers may have to actually visit the bank and sit down with a banker when they apply for a mortgage.

Some banks, including JPMorgan Chase have stopped using outside brokers and only accept applications submitted at their own branches.

Lenders say they have made this change because it helps them control costs. Observers say that the practice also makes it easier for banks to bundle profitable services, like checking and savings...."

2/7/2009, 12:19 AM

Fannie Mae plans to eliminate some credit-score requirements, scale back income-documentation standards, and waive the need for appraisals in some cases, starting on April 4.

The mortgage finance company believes the changes will allow more home owners to refinance into new home loans at near-record low interest rates.

Analysts say the relaxed rules for loans that Fannie Mae owns or guarantees are unlikely to have a significant impact on mortgage-bond investors and mortgage insurers.

Source: The Washington Post, Jody Shenn (02/06/09)

*If you are thinking of refinancing, visit my Nesting In Nashville Morgage page for links to several local lenders whom I highly recommend.

2/7/2009, 12:14 AM

Pending home sales increased as more buyers took advantage of improved affordability conditions, according to the NATIONAL ASSOCIATION OF REALTORS®. Big gains in the South and Midwest offset modest declines in other regions.

The Pending Home Sales Index, a forward-looking indicator based on contracts signed in December, rose 6.3 percent to 87.7 from an upwardly revised reading of 82.5 in November, and is 2.1 percent higher than December 2007 when it was 85.9.

Lawrence Yun, NAR chief economist, says the index shows a modest rebound. “The monthly gain in pending home sales, spurred by buyers responding to lower home prices and mortgage interest rates, more than offset an index decline in the previous month,” says Yun. “The biggest gains were in areas with the biggest improvements in affordability.”

NAR’s Housing Affordability index rose 10.9 percent in December to 158.8, the highest on record.² The HAI shows that the relationship between home prices, mortgage interest rates and family income is the most favorable since tracking began in 1970.

“Significant uncertainty still clouds the housing market despite improved affordability conditions. For a sustainable housing market recovery and, hence, sustainable economic recovery, we need a significant housing stimulus and mortgage availability for qualified borrowers,” adds Yun.

PHSI Regional Breakdown

• Northeast: slipped 1.7 percent to 62.1 in December and is 14.5 percent below a year ago.
• Midwest: jumped 12.8 percent to 83.7 but remains 1.2 percent below December 2007.
• South: surged 13 percent to 96.8 in December and is 1.6 percent above a year ago.
• West: fell 3.7 percent to 97.5 but remains 17.5 percent higher than December 2007.

2/7/2009, 12:11 AM

2/7/2009, 12:06 AM

The federal government has finalized sweeping reforms to settlement rules for residential transactions, but it will be nearly a year before you'll see any big changes at the closing table.

As one of its parting actions, the Bush administration in November revised the Good Faith Estimate and HUD-1 forms, ostensibly to make it easier for consumers to compare costs between the two documents, improve the disclosure of yield-spread premiums that are paid to mortgage brokers, and make it less likely consumers will face big cost discrepancies between the preliminary GFE and the HUD-1 settlement statement presented at closing.

 The NATIONAL ASSOCIATION OF REALTORS® has long supported making closing costs more reasonable and transparent for consumers, so, although it has concerns with some aspects of the new rules, the changes could lead to some improved practices, NAR says. Notably, the rules are a major improvement over the U.S. Department of Housing and Urban Development's proposed reforms in March 2008.

"What HUD came out with is much better than we were expecting," says Adam Cockey of Chase Fitzgerald & Co., in Baltimore. "But we'll be carefully monitoring how these changes play out." Cockey chairs NAR's Real Estate Services Committee and sat on the association's Real Estate Settlement Procedures Act presidential advisory group.

Some minor changes included in the reforms took effect on Jan. 16, 2009. However, the date that's most important for real estate practitioners to remember is Jan. 1, 2010. That's when lenders will be required to use a new three-page GFE (up from the current two pages) and a revised HUD-1 closing statement.

The new forms increase transparency by requiring lenders to calculate yield-spread premiums as part of their origination fee. Some critics say the premiums—which compensate mortgage brokers based on the interest-rate spread for which borrowers qualify and what they ultimately lock into—give mortgage brokers an incentive to place borrowers into higher interest loans than they otherwise could get. The National Association of Mortgage Brokers has said it will challenge HUD's treatment of yield-spread premiums in court because small brokers will be disproportionately hurt

In another significant change, the new forms will no longer allow lenders to change certain costs that are stated on the GFE form. Costs that cannot be altered include the origination fee and transfer taxes. Some third-party costs, such as title searches and inspections, can change, but they're limited to a maximum change of 10 percent.

If the transaction gets to the closing table and the HUD-1 form shows that costs have changed more than the limit, the deal can still close, but the cost discrepancies will have to be worked out within 30 days. "That 30-day cure period is one of the changes from HUD's original proposal we support. There was concern a deal could collapse at the last minute because of a minor cost discrepancy if the settlement officer and the lender couldn't work out the discrepancy after closing," says Cockey.

Although they're not required to start using the new forms until next year, lenders have the option of adopting the forms now. If they do, the new rules on cost discrepancies and calculating the yield-spread premium kick in immediately.

The changes that took effect earlier this year are mostly technical, having to do with escrow disclosures and electronic signatures, among others. But a few changes are substantive. One allows lenders to use an average when filling out third-party costs on the GFE. Another mostly affects home builders: It's an "antitying" provision prohibiting builders from using an incentive to channel consumers into one of their affiliated services such as a mortgage lender. Some home builders have indicated they might challenge this provision.

In a victory for REALTORS®, HUD eliminated a proposed provision that would have permitted lenders and other settlement service providers to negotiate discounted charges as part of a one-stop shopping package. NAR was concerned that such negotiated discounts would skew the playing field in favor of large providers and promote discounted pricing over higher quality service. HUD says it wants to revisit the issue later, so it's something NAR has to continue to watch, says Cockey.

Another big victory, particularly for title companies, is the elimination of a proposed mandatory closing "script," which settlement officers would have been required to read. The script raised a number of concerns, not the least of which was the amount of time it would consume during each transaction.

"Anything that helps consumers is good, and some of these changes might help them," says Cockey. "But we will be watching carefully to see how some of these reforms translate into real-life situations."

2/6/2009, 12:40 AM

The number of REALTOR and REALTOR-Associate members of the Tennessee Association of REALTORS (TAR) dropped by 1,854 in one month, between the end of 2008 and the end of January of 2009 …from 25,161 to 23,307, a one-month drop of over 7%.  One year ago, the number of REALTORS and REALTOR-Associates in TAR totaled 26,226.

2/4/2009, 12:42 AM

Existing-home sales rose unexpectedly while inventory declined, led by a surge of sales in the West, according to the National Association of Realtors®.

Existing-home sales – including single-family, townhomes, condominiums and co-ops – jumped 6.5 percent to a seasonally adjusted annual rate of 4.74 million units in December. The number compares to a downwardly revised pace of 4.45 million units in November, but 3.5 percent below the 4.91 million-unit pace in December 2007.

For all of 2008, there were about 4.9 million existing-home sales -- 13.1 percent below the 5.65 million transactions recorded in 2007. This is the lowest volume since 1997 when there were 4,371,000 sales.

Lawrence Yun, NAR chief economist, said home prices continue to fall significantly.

“It appears some buyers are taking advantage of much lower home prices,” he said. “The higher monthly sales gain and falling inventory are steps in the right direction, but the market is still far from normal balanced conditions. Buyers will continue to have an edge over sellers for the foreseeable future.”

Total housing inventory at the end of December fell 11.7 percent to 3.68 million existing homes available for sale, which represents a 9.3-month supply at the current sales pace, down from a 11.2-month supply in November.

Yun said the market is underperforming and hurting the broader economy.

“We’ve added 25 million people to our population over the past decade and housing affordability conditions are the best we’ve seen since 1973, but household formation is much lower than expected,” he said. “Consequently, there is a pent-up demand which could be unleashed with the right stimulus, including a non-repayable home buyer tax credit. The Obama administration and Congress need to move fast to stimulate a spring sales upturn which will help to stabilize home prices and set the foundation for a sustainable economic recovery.”

Housing Stats

National median existing-home price: (for all housing types) was $175,400 in December, which is 15.3 percent below December 2007 when the median was $207,000. There remains a significant downward distortion in the current median from a large number of distress sales at discounted prices, currently 45 percent of transactions; the median is where half of the homes sold for more and half sold for less. For all of 2008, the median price was $198,600, down 9.3 percent from $219,000 in 2007.

Single-family home sales: rose 7 percent to a seasonally adjusted annual rate of 4.26 million in December from a level of 3.98 million in November, but are 1.4 percent below a 4.32 million-unit pace in December 2007. For all of 2008, single-family sales fell 11.9 percent to 4,349,000.

Median existing single-family home price: dropped to $174,700 in December, down 14.8 percent from a year ago. For all of 2008, the single-family median was $197,100, which is 9.5 percent below 2007.

Existing condominium and co-op sales: increased 2.1 percent to a seasonally adjusted annual rate of 480,000 units in December from 470,000 in November, but are 18.4 percent below the 588,000-unit level a year ago. For all of 2008, condo sales dropped 21.0 percent to 563,000 units.

Median existing condo price: slipped to $181,400 in December, down 18.3 percent from December 2007. For all of 2008, the median condo price was $210,000, which is 7.2 percent below 2007.

Existing-Home Sales By Region

• Northeast: slipped 1.4 percent to an annual pace of 720,000 in December, and are 14.3 percent below December 2007. The median price in the Northeast was $235,000, which is 7.8 percent lower than a year ago.

• Midwest: increased 4.0 percent in December to a level of 1.04 million but are 10.3 percent below a year ago. The median price in the Midwest was $140,800, down 11.4 percent from December 2007.

• South: rose 7.4 percent to an annual pace of 1.74 million in December, but are 11.2 percent lower than December 2007. The median price in the South was $158,600, which is down 8 percent from a year ago.

• West: jumped 13.6 percent to an annual rate of 1.25 million in December and are 31.6 percent higher than a year ago. The median price in the West was $213,100, down 31.5 percent from December 2007.

A Good Time to Buy

NAR President Charles McMillan said it’s an excellent time for first-time home buyers with good jobs.

“The typical buyer plans to stay in their home for 10 years, which is the correct approach in today’s market,” he said. “With historically low mortgage interest rates, flexible sellers, a large inventory, and homes that are selling for less than replacement construction costs in much of the country, buyers who’ve been on the fence should take a closer look at today’s market.”

McMillan added that first-time buyers may want to consider an FHA loan, which offers downpayments of 3.5 percent on a safe 30-year fixed-rate mortgage.

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 5.29 percent in December from 6.09 percent in November; the rate was 6.10 percent in December 2007. Last week, Freddie Mac reported the 30-year rate was 5.12 percent.

Source: NAR

1/30/2009, 4:06 PM

"The Metro Planning Commission recently approved a rezoning proposal that will allow for 15 single-family homes in the 2500 block of Ninth Avenue South.

Cottage Cove, as the project is named, would be just north of Montrose Avenue in the 12South community.

The development is proposed to have three-bedroom cottages ranging from 1,300 to 1,500 square feet and priced from $310,000 to $349,000. The units will be developed around a common open space.

Developer Kelvin Pennington purchased the property about 18 months ago and originally planned to build two duplexes, but then decided small conforming houses would be a better use of the land.

"My idea is to try and build something that conforms to the overall neighborhood," he said.

"This pocket of land is more conservative, with somewhat historically designed houses that will blend with the neighborhood..."

By Nancy DeVille • THE TENNESSEAN

1/24/2009, 9:05 PM

"We recently purchased a loft at the Art Avenue Lofts located at 231 Fifth Ave. N. We are trying to figure out what businesses occupied the building and the general history of the building. Any ideas?" — Mike and Stacy

For more than 60 years and until 1991 this building carried the name of McLellan's, starting about 1927 in the true "five and dime" days when none of the store's merchandise cost more than 10 cents.

Recent development on this stretch of Fifth Avenue between Church and Union streets has focused on an "avenue of the arts" gallery concept with loft residences on the upper floors. But for most of the 20th century, the west side of the street was pure retail and lots of it.

Shoppers in 1952 walking north from Church Street on that one side could visit Cain Sloan, W.T. Grant, F.W. Woolworth, McLellan's, S.H. Kress and Loveman-Berger-Teitlebaum.

Some digging into old records by Metro Archives staff showed the building itself at 229-233 Fifth Ave. N. belonged to banker Benjamin F. Wilson (1837-1912) and his descendants from 1882 until its sale for redevelopment in 2005.

The high 1882 price Wilson paid for what came to be called the "Wilson Block," $12,457, indicated the brick structure was already there when he made his purchase. Wilson lived a block away at 220 Sixth Ave. N., the 1900 census showed, so the concept of residences in the heart of the city was familiar to him.

Earlier first-floor retail for the building included a Piggly Wiggly Variety Store shown in the 1926 city directory. Upper-floor uses the same year included two lawyers' offices and one for a dentist.

Lunch counter is historic

Buildings that old sometimes generate ghost stories. Nashvillian Douglas Montgomery, manager of this McLellan's from about 1980 to 1986, recalled one this week involving the deceased operator of the store's spacious lunch counter.

"He had gone up early each morning to the second floor stock room to make out his daily menu. One of the ladies who was a cook said she would still see him sitting at his desk," Montgomery recalled. "I don't believe in ghosts, but I have witnessed this."

The same lunch counter went down in history in 1960 as one of the downtown eating establishments where black college students protested segregation that prevented African-Americans from using them. Within months their effort proved successful, and public dining in Nashville was open to all.

The year 1960 also marked the death of William Walker McLellan, a Scotsman who started his chain of stores in North Carolina about 1913. Several mergers later, the 820 McCrory-McLellan-Green Stores were caught up in the McCrory Corp. bankruptcy of February 1992.

Wilson descendants leased the former McLellan's space in 1992 to Family Dollar Stores, the last first-floor commercial tenant until the 2005-07 redevelopment.

Today upper floors of the building have 32 condos. One of them, at 904 square feet, was listed recently for $229,500.

-The Tennessean: George Zepp
 

1/20/2009, 9:30 PM

Fed up with high premiums? Here are some great ways to cut your costs:

Tell your agent how your risk became lower.

• Did the city install a fire hydrant near your home?
• Some auto insurance agents offer discounts to drivers who motor less than 7,500 miles a year, those who are incident-free for more than 5 years, and those who drive hybrids.
• Did your marital status change? Often couples qualify for lower rates.
• If your credit scores have shown marked improvement since your initial policy, that can be a factor too.

Get it all under one roof.

• Get your home and auto plans from the same company. I personally bundle it all: life, health, auto, home, and condo contents. Tennessee Farn Bureau offers excellent prices.

Boost your deductibles.

• The more your home is worth the more you'll have by increasing it's deductible.Going from $500 to $1,000 will save about $70 a year on a $125,000 home and over $400 on a $600,000 house.

Go comparison shopping.

• Spend a half hour online seeing how rates vary for your current coverage (or the coverage you want). Check out insweb.com to see if you can get a better deal. If the thought of insurance shopping makes your head spin, call an independent agent who will compare premiums for you at no charge. You can find local accredited agents through the Independent Insurance Agents and Brokers of America's Website, trustedchoice.com.

 

1/20/2009, 7:17 PM

A recent study from NAR shows the use of technology and social media by Nashville-area home buyers is higher than the national average.  GNAR commissioned the research through NAR and the report received describes the characteristics and motivations of recent home buyers and sellers in the Greater Nashville market.  The report includes such information as 90% of homebuyers use the Internet frequently to search for homes and 47% of recent homebuyers use social networking websites.

1/16/2009, 3:01 PM

1/4/2009, 2:53 PM

The cost of buying and maintaining a home is pretty reasonable if you live in certain Midwestern or Southern cities, according to Forbes magazine’s new report.

To determine America’s least expensive places to own a home, Forbes used data from the U.S. Census Bureau’s 2008 American Community Survey, released Tuesday.

The survey reported the 2007 median monthly housing costs in the country’s metro areas with a population over 65,000. Housing costs include monthly mortgage payments, real estate taxes, various insurances, utilities, fuels, mobile home costs and condominium fees.

Here are the top-10 cheapest cities to own a home:

1. Cleveland: $978 a month
2. Columbus, Ohio: $1,060 a month
3. Pittsburgh: $1,187 a month
4. San Antonio, Texas: $1,216 a month
5. Indianapolis: $1,232 a month
6. NASHVILLE: $1,256 A MONTH
7. New Orleans: $1,296 a month
8. St. Louis: $1,299 a month
9. Charlotte, N.C.: $1,336 a month
10. Cincinnati: $1,353 a month

9/30/2008, 11:55 AM

You know, this really is a fabulous place to live. Take a look at some of the recent awards Nashville has won:

8/24/2008, 1:26 AM

Check out this MSNBC clip (it's 11 minutes long). Also, he believes gas prices have topped out and will level at $3.50 per gallon spurring spending.

7/24/2008, 12:34 PM

... by the popular WalkScore website. A nice achievement considering the poor quality of mass transportation here. The neighborhoods rounding out the top 10:

Neighborhood                    Score

7/17/2008, 11:55 AM

The Greater Nashville Association of Realtors released the June and second quater sales figures today in a press release with big news in the condominium market. For the first time ever, the median price of a condominium is HIGHER than the median price of a single family home. $183,61 for homes and $185,500 for a condominium. Though sales in the region are sluggish and inventory is high, it's exciting to see this bright spot gleaming through.

GNAR President Mandy Wachtler said "The consistent popularity and strong prices of condominiums in the area reflects an important trend toward the desirability of urban living options in Nashville. It is encouraging to see sales in the urban environment continue to grow and strengthen, while at the same time there is a variety of living choices in all price ranges throughout the region".

I liken the continued growth in the urban condo movement to the global "green" movement. People are concerned with gas prices and their carbon footprint; urban living is a partial solution to both and a trend that I believe will continue to grow.

7/9/2008, 1:19 PM

6/21/2008, 9:38 PM

Here's a great article from the Washington Post highlighting why FHA is once again becoming a major player in the mortgage maket.
Washington Post

6/13/2008, 4:14 PM

Purchasing a home in Middle Tennessee can be much more affordable than in other parts of the country. Typically total closing costs run between 3% to 4% of the amount financed.

Item	Tennessee	U.S. average
Origination fees
Loan amount	$180,000	$180,000
Points	0.643%	0.485%
Points ($)	variable	variable
Administration fee	$200	$237
Application fee	$280	$284
Commitment fee	--	$425
Document preparation	$177	$206
Funding fee	$220	$181
Mortgage broker, origination or lender fees	$688	$853
Processing	$374	$369
Tax service	$69	$69
Underwriting	$286	$303
Wire transfer	$25	$24
Transfer/Tax Stamps (+/- .42%)	$758	$450
Title and closing fees
Appraisal	$312	$327
Attorney, closing or settlement fee	$275	$426
Credit report	$20	$20
Flood certification	$14	$14
Pest, other inspection	--	$62
Postage / courier	$45	$45
Survey	--	$234
Title insurance	--	$756
Title work: Owner's Policy	$35	$40
Miscellaneous	$100	$100
Total average fees	$3020	$4875

In Davidson county, it is a common practice that the seller pay for the Title policy EXCEPT in the case of new construction where the buyer almost always pays title. Other fees which may be applicable include:
-home inspection
-prepaid interest
-tax reserve
-prepaid insurance
-prorated taxes
-HOA transfer fee
-HOA reserve cushion
-Up-front MIP or PMI

Always request a Good Faith Estimate (GFE) when shopping loans in order to compare charges.

6/5/2008, 5:00 PM

Tony Giarratana's famous 70-story Signature Tower is undergoing yet another transformation. The number of condominium units will be reduced to encompass only floors 42-70. This will add new space to expand the boutique hotel, retail and office space. Apparently interest in the $500+ per square foot units has been waning and funding has become harder to come by. Original purchaser's had the option to withdraw their contracts due to this significant change of plans - though there is no word on how many contracts remain.

Similarly, the proposed new Westin hotel on Broadway has withdrawn plans to include penthouse residential condos and has redesigned the building as a hotel only concept.

Other, more affordable developments, are moving full speed ahead and enjoying success. Encore Tower has now closed more than half of it's pre-sold units and "quick-flip" resellers appear to be at a bare minimum. Rolling Mill Hill will unveil several new townhome floorplans in the coming weeks and ICON in the Gulch will also begin closing units for occupancy in the next few weeks.

5/22/2008, 11:55 AM

Learn more by downloading this quick guide in MS Word format.

5/14/2008, 5:24 PM

Equipping a home with an exercise area can increase its appeal to buyers. Despite the current economic slowdown, retail sales of home gym equipment continue to grow, topping $5 billion in 2006 and rising another 3 percent in 2007, according to the National Sporting Goods Association.

Designating a spare room as an exercise area doesn’t necessarily require the purchase of expensive equipment. There are simple, lower-cost alternatives to expensive exercise equipment. No remodeling is required, but the equipment will suggest the possibilities to potential buyers.

• Yoga mat: A cushion for floor exercises and easily rolls up
• Small free weights
• Exercise ball
• Jump rope
• Mini-trampoline

5/13/2008, 7:42 AM

…it often falls to the real estate agent to help set realistic expectations. The Market judges a home’s value - not appraisers, not agents and believe it or not - not past home sales in the neighborhood. A home’s value is totally and completely based on what a buyer is willing to pay for it. Buyers in 2008 are simply not willing to enthusiastically pay the same amount they would have just a year ago in most markets. This is no doom and gloom scenario -quite the opposite. Nashville’s market is one of the healthiest in the country. We were recently named to Forbes Top 10 Places to Buy a Foreclosure. They only way you make that list is by having a sunny outlook and a probable appreciation in the vary near future.

Most agents right now are working with sellers who have forced them to set a price higher than the market will bear. I can’t tell you how many times I’ve heard a listing agent say “please, just make us an offer” after watching the days on the market number hit critical mass.

Another common experience for agents right now - losing listings to other agents. An agent might tell a seller that their price is too high until they’re blue in the face, but the seller won’t budge and they become unhappy with the agent’s service. The seller’s contract expires or they withdraw their listing with the intent to list with another company. The seller listens to yet another agent tell them that their price is too high so the seller now lists at the last agent’s recommended price with the new agent. The house promptly sells at the lower price. The new agent is very happy while the old one is cursing the day he got his license.

When working with sellers, I regard my job as an agent to be a hand-holder, a fire-putter-outer, and an advocate. When you hire me to sell your house, my goal is to get the transaction to the closing table as quickly as possible without any hassles. This can be very hard to do without seller cooperation and level-headedness. People become a little looney with it comes to money and transaction negotiations can become tough and bogged down without objective agents to keep the fire under control. This is the primary reason it is so hard to sell your home without an agent. Well, that and the under-exposure FSBOs get without being seen in the MLS.

So maybe I’m rambling - it’s a frustrating, rainy day. My point here is that sellers should approach sales price and negotiations with the objectivity that today’s market demands. Agents are not, though some may claim to be, miracle workers.

4/5/2008, 7:13 PM

“A few years ago, an Islamic home buyer would have found it almost impossible to get a mortgage compliant with Islam’s sharia law, which prevents the faithful from paying interest.

Today, sharia-compliant loans are a growing market. In a report last month, credit-rating agency Moody’s Investors Service said the global Islamic finance market has increased about 15 percent in each of the past three years and is now worth about $700 billion worldwide.

All the largest lenders, including Citigroup, HSBC, and Deutsche Bank, have affiliates devoted to Islamic finance.

An Islamic mortgage looks like a lease-to-own deal. The bank, not the borrower, buys the house. The borrower makes installment payments to the bank for a period of years, at the end of which he or she gets the title to the house.”

Source: USA Today, Paul Wiseman (03/27/08)

4/1/2008, 7:12 PM

“Chief Ronal Serpas recently announced that overall major crime in Nashville fell for the fourth consecutive year during 2007 to the lowest level in 17 years.  Last year’s major crime total was 2.1% below that of 2006 with five of the seven major crime reporting categories reflecting reductions.

Homicide last year declined 9.9% to its lowest level since 2004; Burglary declined 5.4% to its lowest level since 1968; Auto Theft declined 8.6% to its lowest level since 1989; Aggravated Assault declined 1.2% to its lowest level since 1998; and larceny declined 1.3% to its lowest level since 1991.

 Rape last year increased by six cases (1.8%).  Robbery increased by 82 cases (3.3%).

The 2007 overall crime rate, which is based on Nashville’s population estimates, was the lowest since 1989.  The violent crime rate last year was the lowest since 1990.  The property crime rate was the lowest since 1979.  The auto theft rate was the lowest in the history of the Metropolitan government.

“The tremendous work of men and women in all parts of the police department, combined with the strong community partnerships we have formed in neighborhood’s throughout Nashville, have led us to our fourth year in a row of overall crime reduction,” Chief Ronal Serpas said.  “While that is good news for our city as a whole, significant challenges persist in 2008.  Among them are our continuing efforts to deal with repeat offenders who refuse to be rehabilitated, as well as those teenagers who choose crime over education.”

Chief Serpas said he strongly believes the tough new Crooks with Guns law will make Nashville an ever safer place this year.  The statute dictates minimum mandatory prison sentences for persons who commit violent felonies or drug crimes while carrying firearms.  Between January 1 and Wednesday of this week, Metro officers had charged 29 persons under the Crooks with Guns law.

As for juvenile crime, Chief Serpas said he is very optimistic Mayor Karl Dean’s initiative to reduce the teenage dropout rate, coupled with the police department’s continuing outreach to the clergy and other community groups, will have an impact on the gang and other negative influences young people face.

Recruitment and retention, along with advocating for an evolving and outstanding pay and benefits package, also remain high on the chief’s priority list.

Final crime tabulations for 2007 show that five of the six police precincts recorded crime reductions.  The East Precinct led the way with an 8.1% decrease; the South Precinct had a 3.41% decline; the Hermitage Precinct had a 3.40% decline; the West Precinct had a 2.4% decline; and the Central Precinct had a 0.7% decline.  The North Precinct, the police department’s largest which covers a land area of 189 square miles, experienced a 3.3% crime increase.

On the drug and prostitution front, precinct-based undercover officers during 2007 charged 5,099 persons with mostly narcotic and prostitution offenses, a 13% increase over 2006.  Those detectives recovered 391 firearms, a 30% increase over 2006; seized 103 pounds of cocaine, a 99% increase over 2006; and seized 1,627 pounds of marijuana, a 59% increase over 2006.     

Traffic deaths last year totaled 74, a 24% reduction from 2006.  Still, victims in more than half of the fatal crashes where seatbelts were available (57%) chose not to wear them.  The number of fatal crashes last year was the lowest in more than 15 years. 

The number of DUI arrests in 2007 increased by 32% and totaled 4,986, the highest number in 15 years.  Injury collisions declined 2.3% last year.

“I am convinced that our commitment to DUI enforcement is saving lives,” Chief Serpas said.  “The true stranger crime that is most likely to kill or seriously injure Nashvillians is drunk driving.”

Metro police officers made 260,955 traffic stops during 2007, a 4% decrease from 2006.  Motorists received warnings 46% of the time.

“In looking back at 2007, I am most proud of the amazing work and dedication of our officers and professional support staff,” Serpas said.  Once again last year, the department was about 5% below full staffing, but our officer ranks are increasing and we should be very close to our authorized strength of 1312 sworn members by the end of 2008.  That is very good news for the police department and the neighborhoods we serve.”

3/26/2008, 7:08 PM

Man Robs Bank After Foreclosure
A masked gunman held up an Athens, Ga., bank on Thursday, saying that he was only getting his money back after the lender had foreclosed on his home.

The man entered Regions Bank wearing a black ski mask and pointed a handgun at a teller and said, “You took my house, now I’m going to take your money,” according to Athens-Clarke police.

The man fled carrying the money in a bag. The bank plans to review foreclosure records to try to identify the man.

Source: Athens Banner-Herald, Joe Johnson

3/17/2008, 7:07 PM

I just ran across this old article from 2006 and found it more relavent today than ever.  Sellers too should realize that internet marketing now reaches far more potential buyers than do print ads. Marketing should be directed to a targeted group who have a higher likelihood to purchase your product. Studies now show that nearly 80% of today’s buyers now utilize the internet for real estate information. Choosing an agent who utilizes the latest technologies and is certified with the e-PRO designation ensures you will receive 21st-century service.

The Last Hoorah for Print Ads

“Real estate companies spent more on newspaper advertising in the early part of 2006 than they did last year, but did so grudgingly, according to a survey that predicts the demise of print real estate ads.

The Newspaper Association of America reports that first-quarter revenue for print classified real estate advertising was up 26.3 percent compared to last year.

But Realtors say they buy print ads because their customers expect them to, not because they produce results, according to a survey by Florida-based Classified Intelligence LLC and Realty Times.

The survey also includes insight from a panel of nine experts — many who work for online companies — who say the Internet is poised to take a bigger share of real estate marketing budgets.

Of 101 Realtors nationwide, 58 percent said they are spending more on marketing this year than last, but 36 percent said they spent 10 percent or less of their total ad budgets on print ads. Nearly one in five didn’t advertise in newspapers at all.

But the Internet isn’t yet siphoning off all of the newspapers’ real estate ad revenue. National Web sites, such as Realtor.com and Move.com, actually received less business from Realtors surveyed than newspapers. Of those surveyed, 69 percent said they didn’t advertise at all on real estate Web sites aimed at a national audience.

Most respondents — 51 percent — are taking advantage of free classified Web sites, with two-thirds of that group using Craigslist and nearly half listing on Google Base.

Only a few Realtors — 33 percent — spend more than $10,000 on advertising (including Steph!), and it’s not print or online that gets most of their dollars. Flyers, yard signs and billboards that get the word out “on the street” remains the leading category for Realtors’ ad dollars.

When Realtors do shell out for online advertising, the biggest chunk goes for their own Web sites, the survey found. 

If anything, the survey highlights that there’s no one dominant method of advertising. Although that can be frustrating for agents trying to determine the best mix of print, online and “street” advertising, many experts say there’s no one-size-fits-all solution and that different ad mediums can be complementary.

“Even though it’s now easier than ever to track advertising results, you still have to do a lot of experimentation to determine the right mix,” said  Peter M. Zollman, founding principal of Classified Intelligence. “What works for one person in one market is not necessarily going to work for another person in the same market, or a different market. The only way to determine ‘what’s right’ is to experiment and test various options, and to keep testing them because what works now may not be the best approach 6 months or a year from now.”

Zollman and the experts consulted for the survey believe that the recent surge in real estate print classifieds is the industry’s last hurrah, and that the Internet will become dominant.

“We’ll see Internet advertising take on a growing share at the expense of print (but note, I’ve been saying this for seven years and it still hasn’t happened),” Google’s Sam Sebastian, is quoted as saying in the survey. “I think the advertising creative will change a bit as well. You’ll see less listing-based advertising in print and outdoor with more of an emphasis on driving traffic to the broker’s Web site.”

So what’s taking so long for the transition to happen?

“The difficulty is that many sellers value print advertising because they see it, they feel it, and they also feel that there is an investment that the agent is making in their listing with some forms of print advertising,” said Vince Malta, president of the California Association of Realtors. “Ultimately it will be a combination of both print and online, but I see the emerging trend being toward Internet-based advertising now that we have the traditional home buyer in the minority using print advertising. Our surveys show that for 70 percent of our home buyers, their search starts on the Internet. That’s a very important statistic for brokerages as they decide how to spend their advertising dollars.”

Zillow’s Jorrit Van der Meulen sees “an enormous disconnect” between media consumption and media ad buys.

“As an example, 8 percent of media is now being consumed via newspapers, yet 30 percent of media spend goes to newspaper. On the flip side, 34 percent of media is consumed via the Internet, and only 6 percent of the ad spend happens online.”

The disparity may be even greater in real estate, Van der Meulen says, and “This disconnect cannot persist long term.”

Copyright 2006 Inman News

3/12/2008, 7:05 PM

I wanted to pass along a few of my favorite things in Nashville to do, see, shop, and eat.

Today I tackle “To Do”:

Trivia Time!This game, hosted by area bars, is a hoot! A fairly serious competition has formed between rivial teams who compete for the area pennant. My favorite spots include The Corner Baron Elliston (Torre, the bartender, is the best), Wilhagansoff Murfreesboro Rd is the ultimate dive bar with billiards, pool, and volleyball, 3 Crow Bar in Five Points offers a packed game, so does Sam’s in the Village. We are excited by the new game downtown at McFaddens - it’s non-smoking!

The Nashville Zoo is always affordable great family fun and my #1 destination when baby-sitting! They will be hosting Nashville’s largest Easter Egg hunt on March 22nd.

8th Ave. corridor antiques shopping!  There is certainly an array to choose from! I recommend starting down around Cannery Row and working your way towards Douglas Corner. If you’ve still got energy after that try the Gas Lamp consignment mall in the 100 Oaks area.

Speaking of 100 Oaks, the mall itself may be a bit of a let down, but the Berry Hill area across the street offers some of the best and most quaint shopping in town. View their merchants here- it’s a great feeling buying from and supporting local businesses. Berry Hill offers all sorts or personal service business options from retail, to home design, child care, dentists, hair salons, recording studios, and even dining options. If you haven’t toured the area in a while, I recommend taking a ride through.

2/28/2008, 7:00 PM

In the Metro Nashville area, mayor crime is down for the fourth year in a row, according to the Metro Police Department’s Annual Crime Report and at it’s lowest in 17 years.

The report shows major crime was down 2.1% in 2007 compared to 2006, with homicides down 9.9%, and at its lowest level since 2004.

The number of reported violent crimes was about the same, nearly 9,000. 

East Nashville saw the biggest decrease in crime, more than 8%, of any Metro area in 2007,

Christy Perkins first moved to east Nashville in 1997 when the crime rate was high, and “it was a whole other ballgame.”

Now, she feels safe walking the streets at any hour.

Perkins started a Web site, IAmEastNashville.com , as a sign of solidarity, and commerce, to a neighborhood that’s leading the city in battling crime. 
 
Perkins points to neighborhood associations which have transformed neighborhoods for the decreased crime rates.

“Years of community effort, volunteerism, activism… That’s really paying off,” she told News 2.  “I think with every year, we’re getting better and better.”

This is the second time in three years east Nashville has led the city in a decrease in crime.

Two years ago, signs popped up all over the area as a tribute to the hard work of police.

The South precinct had a 3.41% decline and the Central precinct had a 0.7 % decline.  The North precinct had a crime increase of 3.3%.

Copyright 2008 by WKRN Nashville Tennessee.

2/27/2008, 6:59 PM

“Is the Nashville downtown condo market — like the proverbial glass — half-empty or half-full? As they say, it’s all about perspective. And the same facts can be used to illustrate two very different points of view.

I was reminded of this after reading The Tennessean’s Jan. 20 article on the supposed cooling of condo sales. The Tennessean used current data to paint a picture of a half-empty, anxiety-ridden market.

Yet anyone who has closely followed the emergence of urban living in Nashville’s Central Business District, especially over the past three years, realizes that the facts tell a much different story.

Before 2004, there were only 10 condo units in the Central Business District. For a metropolitan area with a population of more than 1 million, our city was far behind the rest of the nation in providing urban living. Demand was not the culprit; residential development was prohibited in the central core 1963-93. But then-Mayor Phil Bredesen, with the support of then-Metro Development and Housing Agency Director Gerald Nicely, changed zoning laws in 1993 to permit residential. Bredesen’s successor, Mayor Bill Purcell, and current MDHA chief Phil Ryan then dared to envision downtown as a vibrant urban neighborhood, improving infrastructure and providing incentives to make that vision a reality.

Pent-up demand

Fast forward to today. The Tennessean chooses to see 300 urban units still unsold of the 1,000 new condos scattered among six new developments throughout downtown. We see that 70 percent of those same 1,000 units opening this year have been pre-sold. We also see that the high-rise Viridian is an overwhelming success. In fact, the 49 Viridian buyers who have elected to resell their units pocketed more than $2.8 million in gains.

We see a downtown neighborhood with plenty of room to expand even with 1,000 units entering the market. Consider that Memphis has more than 10,000 condo units downtown, Charlotte more than 7,000, and Indianapolis more than 15,000.

The initial “condo frenzy” The Tennessean referred to was far from a “grand experiment” — it was a thoughtful response to a superb vision and long-pent-up demand. The Tennessean declares the frenzy has cooled, but downtown developers understand that the market is still in its infancy and will have growing pains. The demand for urban living remains strong, our supply is still far behind the rest of the country, and the more deliberate sales pace we see now — even in an economic downturn — is a natural process of the market absorbing the new product.

Developers also know that more urban condos are surely coming. Demographers project Middle Tennessee’s population will reach 2 million by 2020, and many new residents will be moving from areas where urban living is the standard. From our perspective, these facts ensure that we are nowhere near the end of an urban living journey that began only a few years ago.

Indeed, the Nashville condo market is more than half-full. The cranes you see operating all over downtown Nashville signal a revitalization led by urban residential development and followed by the glorious new Schermerhorn Symphony Center and two new class A office buildings. Plans are now on the drawing board for a nearly $1 billion new hotel and convention center with crucial support from new Mayor Karl Dean.

No matter your perspective, this is all great news for the continued economic vitality of downtown Nashville. As new businesses and new residents continue to relocate to our thriving, growing city, the glass that is urban living will not only continue to fill, but grow larger.”

2/21/2008, 6:57 PM