The New Urban Neighborhood: Brownfield of Dreams?

A house in the country will always have its appeal. But lately more homebuyers are preferring the city, for reasons ranging from the sheer excitement of the surroundings, to the rescue of impoverished areas and the preservation of shrinking green space.
One prime area of urban housing growth is the type of site known as "brownfields." These are often-abandoned commercial and industrial spaces that have outlived their original uses but, with the right environmental cleanup, can be converted to housing or even entire neighborhoods. Older suburban homes and large new developments have lost none of their popularity, but for the right buyer the urban option is one worth exploring.
Clearly, urban living is not for everyone – it usually attracts single professionals and couples without children. But the lifestyle has aspects that would appeal to anyone. Two major attractions are cutting down on a long daily commute to city employment, and taking advantage of the area's cultural scene.
Convenience like this coincides with the environmental interests of both city and suburban officials: having a population within a few public transit stops or even in walking distance of work and recreation reduces automotive pollution and traffic hazards. And placing new housing in established urban buildings can slow suburban sprawl, with one study showing that, given factors such as pre-existing architecture and infrastructure, every hectare (about two and a half acres) of brownfields that is redeveloped spares 4.5 hectares of green space. Many of today's homeowners are happy to be part of such preservation, as they enjoy the more personal oasis of abundant room and spectacular views that the modern loft offers.
Of course, the same residents are concerned about the city environment itself. Brownfields can often have unresolved health and safety issues from their former uses. But new grants and other incentives to find and mitigate these problems are promising to accelerate the process of urban revival and put sellers', buyers' and lenders' minds at rest.
Even now, these spaces have proven so popular that developers are applying the term "loft" to structures they have only just built, and buyers are flocking to them. The rush is by no means unanimous - the U.S Census has indicated that three homes are still built in the suburbs for every one built in the cities. But the urban frontier is holding more appeal every day.

When a Home is Not a House: Condo Pros and Cons

Many real estate watchers can remember when buying a condominium was most would-be homeowners' second choice. These properties were considered a half-way measure for people wishing to break out of renting but not quite able to obtain a house. Now, condos are not only seen as a smart step between the two stages, but are an increasingly sought-after option in their own right.
It's not just that condos are an attractive intermediate move, though this is an important recent reality of homeownership. Condo values have been appreciating faster than those of single-family homes, making them a good start for first-time homebuyers who would like to build equity for a house purchase a few years down the road.
Condos are now viewed as a great middle ground for people at opposite ends of the homeowning spectrum: first-time homebuyers appreciate the still-competitive prices of condos as compared to single-family homes, and retirees like the convenience of condo living (with affordability certainly an attraction for the seniors and simplicity an appeal to busy young professionals, too).
A condo can keep benefiting its buyer even after they move (if they even ever want to): some owners keep their condo as a rental investment when they switch to another kind of home. Still, as with any living arrangement, you want to make sure the situation is right for you.
One big consideration is the ways in which a condo's conveniences come with certain trade-offs. As in a conventional apartment complex, most maintenance work and many other homeowner hassles will be taken care of for you, but not without expense. All residents must join an association which requires dues and makes certain decisions in concert that homeowners would otherwise make themselves.
You will want to carefully check out what restrictions apply - are pets allowed? Home offices? Can you paint and garden as you wish? You'll want to find out if the fees are within your budget, and how they might go up (for instance, to pay for any big repairs if there isn't already a responsible reserve fund). And you will want to be sure you're comfortable with the communal decision-making process in general.
You also owe it to yourself to make sure that any current boom has reached the condo complex you're interested in, with a good sales history and a promising future - and to figure out your financing prospects. Lenders give lower rates to buyers in developments with fewer renters and more owner-occupants (absentee ownership can affect both quality of life and property value).
These last two points are certainly ones in which the expertise of your local real estate professional can come in handy (ERA Select Homes is one company that has them both covered). With the right research, a condo can become not a compromise you can live with, but the place where you'd most like to live.

Doubling Your Investment: Do Income-Generating Properties Pay?

Buying or selling a house is one of the biggest decisions most people will ever make with their finances and their lifestyle. Getting the best bargain in the purchase or making the most profit on the sale give buyers and sellers so much to think about that many may never stop to consider keeping that old house - or buying another - as an income-generating property. But the rewards, in savings, profits and problem-solving, can be high.
One option for buyers who otherwise might consider home prices beyond their reach is the property that pays for itself: a house you live in part of and rent the rest of. This offers not only an obvious balance of cost and income, but perhaps lesser-known benefits in taxes and mortgage. The rental units can be depreciated over time; considered to offset the rental income, this can lower your taxes on that income. At the same time, the rent's addition to your finances helps you qualify for a larger mortgage, and investors who occupy their rental properties can, under certain conditions, get interest rates lower than those who do not. Of course you'll want to decide if the demands of being a live-in landlord are for you.

If being an offsite landlord is more appealing, you could always keep your current home as a rental after you move into the new one. Your long-term familiarity with the home's features and condition could lend a certain confidence both to yourself and your potential tenants. As with any investment property, you'll first want to calculate whether the rental income will make up for the needed expenses. (This is another consideration in which a qualified real estate sales professionals can help, with his or her knowledge of the local rental market and its prospects over time.) And of course being a landlord has its headaches too, so you have to enjoy the challenge and be ready to meet the needs.
But if solving problems appeals to you, then you may even prefer a fixer-upper to your familiar former home. With a thorough inspection to answer any questions, and a realistic budget and disciplined schedule to handle all improvements, your outlays can prove to be well worth it. Renovations can range from reconfiguring the floorplan to simply replacing a now-unfashionable décor. The attraction of "move-in" quality can draw renters who share your appreciation of state-of-the-art living but not your passion for the do-it-yourself effort behind it.
Owning an income-generating property is not for everyone, but-from younger buyers offsetting their purchase costs, to seniors easing the expenses of their retirement years - it can be for all kinds of people. Talk to a real estate sales professional to find out if rental property would be double trouble or two times the success.

Current Market Conditions

My analysis of 7,219 of the units sold in the 20 Fairfield County towns during 2006 revealed a high single family home list price of $7,595,000 and a high selling price of $7,275,000. The average list price was $531,277 and average selling price was $511,790, 96.3% of the average list price. The median list price was $385,000 and the median selling price was $375,000, 97.4% of the median list price. This shows the existance of a broad range of housing/prices throughout the towns in Fairfield County and it also proves that fairly priced properties are selling close to their asking prices. Inventory, however, is high, representing a 7.6 months supply. It is interesting to note that while the 2006 median list price increased just 3.3% over the 2005 median list price, the median list price of those single family homes currently on the market is 22.6% higher than the median list price of homes sold in 2006. Homes that are well priced, that is priced for the current market are selling and they are selling at 96-97% of list price. So this is a good time to sell a house. There is a large supply of houses from which buyers may choose and some sellers are pricing their houses fairly so it is also a good time to buy a house.