Stave Harney: Keeping Matters Current February 2011

1. Keeping Current Matters

2. KCM on the go!

3. Return on Investment MSN Money.com, Case Shiller (January 1, 2000 – February 1, 2011)

4. Pending Home Sales NAR 12/2010 Without Outside Intervention

5. Listing Appointment Buyer Appointment Price Correction Presentation of Offer

8. The Sale is Their Trust in Us!! Needs Answers Resources We DO NOT Sell Real Estate. We SELL Our Ability to Be a Trusted Advisor!

9. Their Needs Needs Answers Resources Purchase a Home Best Price Time Least Hassles Relocation

10. National Housing Survey Fannie Mae 11/2010 Major Reason for Buying % Having a good place to raise children and provide a good education 80 Having a physical structure where you and your family feel safe 79 It allows you to have more space for your family 75 It gives you control over what you do with your living space 69

11. Generic Answers Needs Answers Resources Purchase Available Listings Best Price Negotiation Time Access to Financing Least Hassles Control Relocation Knowledge

12. … with the heart of a teacher

13. “ If you can’t explain it simply , you don’t understand it well enough.”

14. Is this really the right time to buy real estate?

15. Today, we must USE VISUALS to succeed !

16. People don’t believe what you tell them. They always believe what they tell themselves.

17. Source: Westcourt Funds Optimism Excitement Euphoria Denial Fear Panic Despondency Depression Hope Optimism

18. Source: Westcourt Funds Optimism Excitement Euphoria Denial Fear Panic Despondency Depression Hope Optimism Point of maximum risk in investment Point of maximum opportunity

19. Return on Investment MSN Money.com, Case Shiller (January 1, 2000 – February 1, 2011)

20. “ With all the teeth-gnashing over the real estate bubble, the bust and the mortgage mess, you can be forgiven for failing to notice this little tidbit: Housing had a superb decade.” Forbes.com 12/06/2010 Forbes.com 58% average gains per square foot

21. Macro Market Home Price Expectations Survey 12/2010 Home Price Expectation Survey

22. Cost vs. Price

23. Mortgage Rates – 30 year fixed Federal Reserve

24. 5.1 5.4 5.4

25. Impact of Rates on Payment

26. “ If prices come down another 10% but interest rates increase by 1 percentage point, that would mean the same monthly payment today versus waiting.” Source: Wall Street Journal Wall Street Journal

27. Difference in monthly payments Price is the same, it just costs less Difference in mortgage payments Date Loan Amount Interest Rate Monthly Payment (P&I) 2004 $250,000 6.29 $1,545.80 Today $250,000 5.00 $1,342.05 $203.75

28. The move-up buyer Source: KeepingCurrentMatters.com Decision Comparison Current Home Move-up Home 2006 Price $150,000 $250,000 Current Price (-20%) $120,000 $200,000 Loss/Savings $30,000 $50,000 Net Gain for move-up buyer $20,000 Plus savings on current interest rate

29. The move-up buyer Source: KeepingCurrentMatters.com Decision Comparison Current Home Move-up Home Current Price $120,000 $200,000 Future Price (+20%) $144,000 $240,000 Future Gain for owner $24,000 $40,000 Future difference for move-up buyer $16,000 Current Gain for move-up buyer $20,000 Total Gain + $36,000 Plus savings on current interest rate

30. The move-up buyer Source: KeepingCurrentMatters.com Decision Comparison Current Home Move-up Home 2006 Price $400,000 $600,000 Current Price (-20%) $320,000 $480,000 Loss/Savings $80,000 $120,000 Net Gain for move-up buyer $40,000 Plus savings on current interest rate

31. The move-up buyer Source: KeepingCurrentMatters.com Decision Comparison Current Home Move-up Home Current Price $320,000 $480,000 Future Price (+20%) $384,000 $576,000 Future Gain for owner $64,000 $96,000 Future difference for move-up buyer $32,000 Current Gain for move-up buyer $40,000 Total Gain + $72,000 Plus savings on current interest rate

32. The Wall Street Journal Wall Street Journal 1/26/2011 ‎ "With home sales starting to improve, and with prices now possibly forming a bottom, real estate could well be the asset class that represents… the best low-risk buying opportunity out there today. "

33. A Dream House After All Karl Case of Case Shiller “ For people with a realistic version of the American Dream, buying a house now can make a lot of sense.” New York Times 9/1/2010

34. I’m pretty sure this is a great time to go out and buy a house. And if you do, in 10 years you’re going to look back and say, ‘You know, I‘m glad I listened to Donald Trump.’ - January 2011 Donald Trump

35. “ If you don’t own a home, buy one. If you own one home, buy another one. If you own two homes, buy a third. And, lend your relatives the money to buy a home.” John Paulson

37. Gallup Poll: 67% Say Time to Buy is Now Gallup 1/17/2011 “ Overall, there is good reason for most Americans to think now is a good time to buy a house. Interest rates remain near historic lows. Home prices are down sharply, providing many incredible buys.”

38. Your Resources Needs Answers Resources Purchase Available Listings KCM Best Price Negotiation Time Access to Financing Least Hassles Control Relocation Knowledge

39. The KCM Blog

40. 631.787.6200 www.KCMblog.com www.steveharney.com [email_address]

41. [email_address] Flying solo, but never alone!

42. Keeping Current Matters