Mango Sells’ blog

As citizens with residency in New York State, we should be aware of the smokes and screens our elected officials are throwing up as we approach the passing of this year’s budget.  There are so many new taxes that it is impossible to fight them off.  Increasing new ways to tax people is a short term solution to the real problem of over expenditures, waste and governmental sprawling.  Everyone knows this, however there is little being done to actually address the issue.  Gov. Paterson talks about protecting the consumer while he undermines the process by increasing taxes.  Example at point is the rush of Gov Paterson to protect consumers from the NY Power Authority’s plan to boost electricity rate by 10 million dollars. At the same time behind closed doors, Gov. Paterson is trying to impose a surcharge on utility bills that would end up costing consumers of electricity, natural gas, and telephone service at least an additional $531 million dollars in the coming year.  That would add an additional 2% to every utility bill across the state.

It appears that our Governor is standing up to the government employee’s unions by not caving into their unwillingness to curtail the additional salary increments and pension plan increments by reducing the payroll by 8,500 jobs.  While this is a good thing; the truth of the matter is that it is not enough and the job reduction is comprised of vacant positions, & attrition. How many real bodies are being laid off??  Reduction in the governmental work force is imperative, however we are creating governmental jobs with ever study we do. Our budget this year has increased expenses by some 8 % and is increasing taxes by more.  There is no reduction in expenditures, just a shifting at the expense of the tax payers and its business as usual.

Our Upstate elected officials, specifically Senator Bill Stachowski (Buffalo), Antoine Thompson (Buffalo), David Valesky (Syracuse), Darrel Aubertine (Watertown), and Neil Breslin (Albany) are representatives   in the Senate Majority have the opportunity to vote as a block to tell the other 27 downstate members of their party that they are not going to pass a budget that has negative implications for Upstate New York residents.  We as upstate citizens should tell the five representatives and hold them accountable to specifically reject the proposed $650 million assessment on energy and telecommunications, Reject the additional health insurance taxes and assessments, and reject any increase in personal income taxes, particularly on small business owners.

Stop finding ways to  tax us and introduce real budget cuts in government should be our message to all our so called public officials who are supposedly protecting our interests or suffer the consequences.

This year the Government is providing first time home buyers with a wonderful stimulus incentive.   Any home buyer who has not owned a home in the past three years is considered a first time home buyer. You can purchase any single family residence-new or resale; condos, co-ops, townhouses are included.

Let me review the incentive package being offered. The amount is an amount up to $8,000 for the 2009 tax year.  It is based on a factor of 10% on the purchase price up to $8,000.  A home purchased for $80,000 or more would qualify for the full $8,000 incentive.  A home purchased for less than 80,000 would qualify to 10 % of the purchase which would be for some amount less than $8,000.

If you sell the home within three years of purchase the full amount of the incentive must be paid back.  If you live in the home beyond three years there is no pay back. One question that has been raised by many of my clients refers to when can I get the money? Do I have to wait to file my taxes?  The answer is no.  The money can be applied for early on and available for the actual purchase.  If the deal falls through the money must be returned.  Your mortgage representative can provide the necessary forms to both apply and if the deal falls through notify the government about the return of funds.

 The time frame for applying is for a home purchased between January 1, 2009, and December 1, 2009. All applications must be received prior to December 1, 2009, the date of termination of the program.

Income eligibility:  Single tax payers with adjusted gross income up to $75,000 and married couples with adjusted gross incomes up to $150,000 qualify for the full tax credit.

This is a great time for a first time home buyer to buy a home.  Interest rates are in the 5% bracket, Banks are lending.  FHA will provide loans for candidates with higher limit loans and a less stringent credit standard than conventional loans.

To learn more contact me at gmango@MangoSellsHomes.com and I’ll sent you information about the first time homebuyer tax credit and 1stPriority mortgage’s 10 Reasons to love FHA.

Here we are at the cusp of spring and Syracuse is bustling.  The Downtown area has just finished their Chile Cook off and “Winterfest” celebration, Stimulus monies are on the way and the city is preparing for a mayoral election. The Onondaga Lake clean up is proving successful.  Recent viewings of eagles on Onondaga Lake is a good sign. Most of all the commitment of the City and County to become Green in its buildings and Technology is “huge”. The Route 80 issues are still being discussed and High speed Railway may be in the near future, linking Buffalo to Albany.

If the Stimulus is successful in creating new jobs and forestalling the foreclosure market we are positioned well for the future. The Greater Syracuse area is filled with natural beauty, history, recreation, good schools and wonderful housing opportunities.

For people relocating to a cooler climate tempered by warm and pleasant summers, winery tours, boat and Erie Canal tours, fine museums, ski slopes, hiking and snowshoeing, Cultural endeavors to include the Syracuse Symphony, the Syracuse Stage and Land Mark theater, Syracuse Sports, and many other activities, THIS IS THE PLACE  to relocate and settle into your new home.

I relocated to the Greater Syracuse Area in 1989 and initially my family was skeptical.  Now my three Children live within 1 mile of my home, and have given me 9 grandchildren. We all have found Syracuse a place of diversity, and a place of welcome. The weather has become an asset, and not a deterrent, and we are family.

Syracuse the “Salt City” is filled with historical buildings, Architectural history and pure poetry.  Come join me on my website for a tour. http://www.mangosellshomes.com

Leave it up to our legislative branch of government to screw up a stimulus package that may have had the good intent of revitalizing the economy. They voted down an incentive to home buyers that would have provided up to a $15,000 credit to home buyers that could have sparked an impetus to the housing market.  Instead they voted to give money for pet projects to leading representatives of the legislature. Once again politics and the media are working against the people’s vote to bring about change in the way government is doing business. There isn’t a legislator with the intestinal fortitude to stand up to Unions representing governmental employees and sponsor a law that places a hold on contract increases and pension increases for a period of time until the government can be modernized. Billions could be saved.

Government has no concept of budgeting. They only know how to develop a spending plan with no other way of accounting for revenue except through tax increases and printing devalued dollars. Even a spending plan is botched.  Where are you Mr. and Mrs. Citizen when meetings are held to discuss government modernization in your communities?  A plan to stimulate the economy should be coupled with downsizing government and holding politicians accountable for their lack of ability to work towards a common goal for stimulus and downsizing.

Mayor Driscoll Addresses the City’s housing condition!

Voila! At last attention is being paid to the deteriorating housing that the city is experiencing.  Boarded up homes, homes with broken windows, porches that are falling down, copper water piping stolen, roofs in need of replacement and dilapidated interiors bring neighborhoods down. It creates a climate for crime and further lowers the self esteem of the people living there.

As a realtor who has been in many of these neighborhoods and homes, I laud the Mayor for his efforts to develop a mechanism that would encourage new initiatives to address the city’s housing problem.  The tax incentive and the encouragement to developers and residence of the city to build new and or renovate housing is a good start. The City has many problems relating to infra structure and budget deficits.  Engaging the private sector to address some of these problems is moving in the right direction.

A first step to this end would be eliminating the many policies and attitudes of city officials that have discouraged the private sector from expending their own money into city redevelopment.  The developers that are currently addressing initiatives in the city are not using their own money but rather are using federal and state grant monies and subsidies. The loss of Blue Cross Blue Shield from the Warren street complex was the result of a long ignored problem and the neglect in providing a safe environment for their employees.  The City’s loss was the gain of private developers willing to put their own money into the redevelopment of an empty plant outside of the city. The Dewitt location is in an environment which is more accepting to private developers. The mayor is right in his efforts to rid the city of policies that discourage private investment.

I am not one to say that the steps are too little too late!  I believe that the 7 year no tax initiative with the addition of a 4 year extension, if the project meets the green standards is the right step to take and it is time for the Common Council to be supportive. It would be wonderful and good for our community if the housing problem would be proactively and systematically addressed. Good work Mayor!

Yes, it is the right time to buy a home in the Greater Syracuse Area.  Interest rates are low, prices are reasonable and the future for Syracuse looks good.  A large investment is being made by developers in the Downtown area. Buildings are being restored, and Condominium space is expanding.  Our North Side is taking on a new look. Plans are being made to restore some of the neighborhoods off N. Salina Street.  The revitalization of the business corridor on South Salina Street is once again taking on new impetus.

If the City government would begin to rectify the many years of neglect, as it is now expressing to do, there would be no stopping the future growth of our area.  We have Destiny USA progressing and our City Schools are on a road to renovations. Money is not the only obstacle to improving our city schools. Attitude and a stronger commitment from both School administrators and teachers to work cooperatively to improve classroom instructions and discipline would go a long way towards lifting our community to a new plateau. I think the process is beginning.

When I first came to Syracuse some 19 years ago, I would laugh at the focus of our media on the violence and negative aspects of our community.  They always are focusing upon the next scandal with little regard towards the impact their reporting has done to the perception of our Greater Syracuse community. The media also fuels the crime that is committed. Shame on them!  Syracuse is not considered a high crime city, and the so called scandals are not what their reporting leads us to believe.  

Our community will improve when residents start to be responsive to their neighbors.  The Syracuse police should be commended for what they have done to eliminate the gangs that were developing and terrorizing neighbors. Further scrutiny of the streets by law enforcement is necessary and a faster response to insidences would go a long way to refute the perception that the police are only there for “Clean-Up”.

We are on a path that could make our Community the envy of the country. Lets look at the bright side and open our eyes to the numerous benefits of living in Central New York.

Buying and selling a home - A few ideas!

Good Advice in buying and selling a Home:

I’m often asked what price should I list my home. Listing your home at fair market value is to price it correctly.  Going higher will leave it on the market longer and it is likely to get a lower price the longer it is on the market.

Timing!  What day of the week is it best to place my house on the Market.  Broker Opens are on Mondays or Tuesdays. Open houses are on Sundays. Is Monday better? Actually Friday is the better time. Because the greater number of people for shopping for a home will use the weekend to look. Since we are in a fast communication world of Internet and most buyers today use the internet. Seeing a new listing posted on a Friday will bring buyers out looking sooner.

Where are the best places to promote the house?  The MLS will gain the immediate exposure to Brokers and most homes are sold though brokers. Additionally buyers are constantly using the internet to find a home. Realtor.com also has a good exposure to available houses although not always accurate. Another internet site is Craig’s list.

Houses will sell themselves. Different homes appeal to different people.

In what condition should I sell my home?  Condition and appearance are important in selling a home. If structural problems exist they should be corrected. Street appeal is also helpful. Grooming the grounds and doing some landscaping improves the appeal.  Painting, updating, and doing the repairs that you have put off will also improve the likely hood of sale.  In a buyers market, competition encourages comparison and buyers will compare value, condition and price when they shop.

As a real estate professional, I encourage buyers to take an active role in seeking a home. Searching the Internet on your own will give the best information as to your likes and dislikes. Use the agent as an educator and to provide valuable feedback as you view homes. Having an agent negotiate for you takes some of the emotion out of the deal. I look at my professional role as an educator not a sales person. 

Sub Prime Lending

Predatory and abusive lending practices are a serious problem for our communities.  Because of such abuses in the sub-prime market, families are losing their homes and savings, foreclosure rates are increasing, and some neighborhoods face increased vacancies. Empty neighborhoods, or those where the majority of houses are for sale, can be perceived as blighted.  This leads to declining prices and inevitably devastates the strength and stability of those communities and their families who live there.

This was enhanced during the Real estate boom when many lenders originated risky mortgages with floating interest rates and weak underwriting standards.  The delinquency rate for sub-prime loans at the end of 2006 was more than 13% - 4.5% are in foreclosure.

While abusive lending does occur primarily in sub-prime markets, not all sub-prime markets are abusive or problematic. In fact, responsible sub-prime lenders have played an important role in helping millions of consumers achieve homeownership.

The key defense against abusive lending is financial education.  The National Association of Realtors and its Partners have issued a series of consumer education brochures.  They emphasize the importance of understanding the different types of available mortgages, explain how to avoid the pitfalls and entrapments of predatory loans, and suggest what homeowners should do if they are concerned about their mortgage of foreclosure.

For more information visit: www.realtor.org

It is my impression that we have a dysfunctional governmental structure that inhibits growth, increases cost of housing, and fosters an extremely high property tax base.

We have villages, Towns, Cities, and County government that duplicate and overlap functions and services. In Onondaga County alone, we have 35 municipalities, 18 school districts, 105 planning and zoning bodies. The result is increased costs, complexity, and confusion.

How does it affect our region?  We have a loss of young adults and baby boomers who are moving out of the area, low average income, higher taxes, Poverty concentrated in the city (30% poverty rate vs. 5 % outside city). We Pay for roads, lights, sewers, and other infrastructures further out for fewer people.

Wouldn’t it be nice to have government on the same page with their constituents rather than how their sound bites can steer elections to win votes?  Greater communication, regionalization and practical approaches to eliminating duplication would be a start to modernizing government. Communication being the key! Perhaps builders would also contribute to the discussion by committing themselves to building more affordable housing in concentrated areas with higher density populations.

All is not lost. Hopefully, citizen groups such as FOCUS Greater Syracuse, and Vision 20/20, and 40 and under will continue their efforts to bring about meaningful dialogue on change in our governmental structure that would enhance growth, reduce poverty, build community, and revitalize our local economy and housing stock. I encourage your participation.What do you think?

Housing Prices - Food for Thought

Home Price declines are very rare. In fact, the National median home price has not declined since the Great Depression of the 1930’s. Stock market collapses, the OPEC oil crunch, economic recessions, and even wars have not negatively impacted national home prices since the 1930’s.

There have been few times when local prices declined.  In nearly all the cases, the price declines were accompanied by sharp prolonged job losses.  It is difficult to foresee a price decline in a job creating economy.

Home prices in our Central New York region have risen at a strong pace in recent years.  There is little concern about a price bubble or a large price correction given the highly affordable condition in the region.

Local job growth has been on recovery with steadily improving figures.  But the three year job growth of 0.6% is still below the National growth rate.  Nonetheless, the local unemployment rate of 4.9% in the first quarter implies near full employment in the region.

What are the downside risks? High oil prices have raised inflation and slowed economic growth.  The upstate New York economies generally tend to suffer more that the rest of the country during a recession due to a higher concentration of manufacturing industries in the region.  Therefore, should the national economy tip into a recession, job cuts in the local region are likely and could even be severe.  Home prices could be dragged down as a result.

More likely scenario is that the central New York housing growth will continue at a slower rate than in recent previous years and we will for all intensive purposes still have a growth year in our Central N.Y. market for 2007.