Strong Rental Market In Hsv Al

Huntsville residential rental market has shown a marked improvement from last year at this time. I've noticed the number of rentals/days on the market have dropped. We are also seeing an increase in rental rates. In most areas we are seeing a $7@ sq.ft rate and in NE and SE areas of Huntsville the rate is closer to $9 @ sq. ft. . It is hard to find month to month house rentals in our area, 1 year leases are the norm and in some highly desirable areas, 2 years is the minimum.

Labor Day Business

Today, Sept 1st, we are watching the coast and praying for our friends and family in Gustav's way. We are seeing refuges here in our area. In fact the local news this morning showed a couple visiting our Botanical Gardens as they waited out the news from New Orleans. What is a holiday like for a realtor/broker? Well this morning I showed a house to a prospective buyer while my clients were gone to the lake. This afternoon I am meeting with an electrical contractor to co-ordinate a repair for another of my clients. Real estate brokering done right, takes the stress off the owner and makes the process move in an orderly fashion without the snafu's some expect in this business. I am sitting here listening to one of my favorite singer's, Larry Sparks, a truly unique voice in Bluegrass Music.

FHA Loans

In our office in North Al. we are seeing about 3 out of 5 real estate sales being financed FHA. This by itself is not a problem but it means making your sellers aware that there is an extra inspection of their property to insure FHA compliance. There must be at least 18" of crawl space, no chipping or peeling paint, no cracked glass and all windows and doors in operable condition. No open flame heating as the primary heating source is allowed and there must be a heating system in operable condition. While this is usually not a problem, it is a good idea to make your seller aware of these requirements.

Upturn in Hsv., AL. Market

The Huntsville market is seeing new signs of life. The days on the market data (MLS) is slowly stabilizing. We are currently at 100 days on the market, which had been climbing nearly every month for the last year is now actually beginning to go down. This translates into Huntsville being a "neutral" market for buyers and sellers, i.e. a healthy, normal market. This is not true in many places but it seems to be holding here. The massive government involvement in our area helps blunt the economic downturn.

Foreclosure Market Down in Huntsville

With all of the fanfare nationwide about foreclosures, here in the N.Alabama market, we are seeing a downturn. A quick look at the foreclosures offered, show less than 100 houses in the REO category, out of approx 4500 houses for sale. Since the first of the year from all I can tell in my brokerages experience and others, about half the houses sold are being FHA financed. THis translates into having to prepare my sellers for the extra inspections imposed by govt. backed financing. By pointing this out up front, there is no nasty surprises when the home gets a thumbs up from a home inpsector and then the FHA appraiser, has a list of repairs for the "subject to" appraisal. In this enviroment it is prudent to point this out up front to both buyers and sellers.

Signs of Life In Huntsville, Al. Market

We keep getting more and more new development announcements. On the way right now: a BILLION $$$$ development at the western edge of the city. Bridge Street of course is already functioning and merchant sales are climbing each month, a sign that it is viable. 180+ store development just over Chapman Mountain on the E. Side of Huntsville. Residential sales are holding steady and we just might see an increase in sales this month. Overall I would say we are weathering the downturn nicely. I am working with several clients from the east and west coasts that think our area is the best place to do investing in the whole country!!

Value added services for my clients

Before/after

I do several of these a year. This particular house was totally renovated. Here are the before and after pictures. What I bring to the table for my clients: if they are considering purchasing a home that needs renovation, I have a grasp and a contact manager full of references.

This project took 45 days and about $30,000. Re-done in and out.