Guide Me Home to North Jersey

If you were one of the many homebuyers who took advantage of the Homebuyers Tax Credit this spring, there isn’t much time left to get it all done! The time between April 30th (when you had to be under contract) and June 30th (when you have to close) seemed like a very long time, but it’s not! There has been talk (and some defeated legislation) to extend the closing date for two months-but don’t count on this.

Contact your lawyer and real estate agent to develop a plan for the completion of the following steps towards closing:

Most importantly, you must obtain a mortgage. There has been a flood of applications, and although banks are prioritizing Homebuyer Tax Credit applications, make sure you are on top of the process every step of the way. As with everything, communication is crucial. Ask your lender ahead of time what is needed, get it to them swiftly, and then follow up to make sure all is received. Double check the checklist!

Next, follow up on inspections. By now you should have scheduled one and received the analysis back. If there is remediation, make sure the seller is addressing the issues on a timely basis.

Hand in hand with inspections are the smoke, fire, and carbon monoxide certifications. Each town requires something different, so verify what the rules are and that these are also being done. If there are other outstanding issues, such as missing documentation for oil tanks, permits for work done on the house, Certificate of Occupancy (CO) or Certificate of Continued Occupancy (CCO) if the town requires, or other contingencies, etc., follow up!

Finally, create an artificial close date with the seller. This will be the goal date for completion of all issues, and will give you a little wiggle room in case something goes awry.

Good luck and congratulations!

Posted by:  Mary Jane Benedetto

In spite of all the forecasts about higher mortgage rates happening in the latter part of 2010 (up to 6%), the unexpected strengthening of the dollar against the Euro has pushed rates down to a new low as investors are now investing in US bonds. Once yields on treasury bonds lowered, this triggered a decline in mortgage rates.

According to the Wall Street Journal article by Nick Timiraos on May 24, 2010, rates averaged 4.84% last week ending May 20, 2010. Rates were around 5.27% in April.
 

Why is this important?

Remember my previous blogs? I explained that for every one point in increase or decline of a mortgage rate, there is a corresponding 10% increase or decline in the cost of the home. If you are a seller, you may not be forced to lower the price of your home as the monthly cost to the buyer will be less with a lower rate. (This assumes, of course, that you priced the house properly at the outset of the listing.) If you are a buyer, you can buy more house for the same monthly cost!
 

So, if you are in the real estate market either as a buyer or seller (or know someone who is), timing is of the essence! Lock in a low rate and let’s start looking at houses!

Posted by:  Mary Jane Benedetto

If you are thinking of buying or building a home in Morris, Somerset, or Hunterdon Counties, you may find that you will not have access to public water. This means that your property will require a well for drinking water. Before you close on the house (whether buying or building) the well must be tested. The primary purpose is to verify that the water is potable. Testing also tracks any changes in the status of the seven largest aquifers in New Jersey.

The following is a brief explanation of the well testing process that is in no way meant to be all you need to know!

When you buy a home, the contract will include the requirement that the well water be tested for contaminants by a state-certified water testing laboratory. This is usually at the seller’s expense. The test must be done on untreated water. This means the test must be done before the water goes through any water softener, filter, etc. The parameters covered are for contaminants such as iron, manganese, pH, nitrate, lead, etc. In addition, there is a second part of the test that focuses on bacteria, specifically total coliform bacteria. The first test is usually valid for a year and the second test for 6 months. Check with both the county and the state as you must follow all laws for both.

Once the results come back, both buyer and seller review the report. Testing and results don’t take long, but in the event remedial work or treatment needs to be done, the test should be done as soon as you go under contract. According to the law, a test in which one or more drinking standards are not met doesn’t mean the sale can’t go through. In some cases local health departments may require remediation of the water. Check with your county or township!

For more information, click on this link NJDEP Private Well Testing Act.

Posted by:  Mary Jane Benedetto

Aside from location, number of bedrooms, and schools, the most important criteria for a buyer is usually the price of the house. Many say right up front in the search process, “I want to spend between X and Y dollars.” Usually, the buyer prefers the more expensive home as it has more features than they are looking for!

But in this market, it’s important to understand that rising interest rates can have a huge effect on the monthly expense of mortgage and taxes. Right now, conventional wisdom says that interest rates will go up after March 31st causing higher monthly payments and the tax credit expiration will end April 30th causing buying activity to slow down. This will result in more inventory on the market. Good old-fashioned supply and demand in play here! Both buyers and sellers must be acutely aware of the cost of the house vs. the price of the house in this time period.

Let’s look at the consequences of an interest rate increase. The general rule of thumb is that for every 1 percentage point interest rate increase, the mortgage costs approximately 10% more. That means the buyer must lower the top price he is able to pay, put more money down, or resign himself to a higher monthly payment (sellers must be willing to lower the price of the home quickly to remain a viable and competitive player in the market). Now let’s look at the consequences of increased inventory. Unless a house is priced sharply and correctly, it will not sell in a glutted marketplace. Buyers have an opportunity to make an educated lower offer, maintain the projected monthly payments they can afford, and buy the house they want (hopefully, sellers will react, with the help of their agent, to meet this problem head on and lower the price of the home).

Posted by:Mary Jane Benedetto

It’s hard to believe, but summer is almost upon us! The kids will be out of school and parents will want to keep them entertained and busy for those long, hot weeks! If you live in or around Harding Township, consider this great suggestion– Harding Township Day Camp, which is conveniently located at the Harding School in New Vernon.

The camp runs for a 4-week period in June/July, and you can sign your child up for all 4 weeks or 1-week intervals. This will give you plenty of time to take that August vacation and also start Back-to-School shopping, doctor’s appointments, etc.

Children in grades K through six are eligible to enroll. (Younger campers can be part of the Polliwog program which runs from 9AM to 12AM or an extended Polliwog program which runs from 9AM to 3PM.)

There are lots of available activities, including, but not limited to, sports, computers, swimming, arts and crafts, and drama productions. Swimming lessons and science classes may be taken at a nominal additional cost. My favorite part (having sent my child to camp for many years) is the three times per week lunch that the camp offers, included in the fee.

For more information, check out their website link above.

Have a great summer!

Posted by:Mary Jane Benedetto

Just the other day, someone asked me what the difference is between a short sale and foreclosure. I thought that I should write a brief blog about the difference and some advantages and disadvantages about the two. As usual, please consult your lawyer or lending agency for all the facts pertaining to your situation as New Jersey rules and laws can vary from other states.

Briefly, a short sale is a sale of your home for less money than you owe your lender. This is also known as being “underwater.” However, you can not undertake a short sale without the permission of your bank or mortgage company. Permission to sell is granted based on many factors, such as hardship, and this must be clearly demonstrated to the mortgagee. Prior to this spring, short sales took a long time to complete, but new guidelines require that any offer must be accepted or rejected within 10 days by the banks. Conducting a short sale is much like a regular offering-your home is listed by an agent on MLS, potential buyers come and look at it and offers come in.

The biggest disadvantage is that your credit score will be affected, although not as badly as in a foreclosure. An advantage is that you will be able to purchase another home more quickly, often after 2 years. And, depending on your particular circumstances, the lender may require payback of the shortfall amount.

A foreclosure procedure is caused by an inability to keep up with mortgage payments. In this case, the borrower/homeowner gives up rights to the home through a complicated legal process that varies from state to state, and ultimately, the mortgagee owns the property. At that point they are able to sell it and try to regain whatever losses that occurred.

Dramatic drops in credit scores as a result of foreclosure are the biggest disadvantage. This could remain on your credit report for many years. The ability to buy another house could be severely postponed for many years as well.

Certainly, the best piece of advice for anyone is to consult a lawyer about your options and possible results. If you are in a short sale, a real estate agent experienced in dealing with short sales will be a major help in guiding you and getting all the paperwork done correctly and in a timely manner.

Posted by:Mary Jane Benedetto

Last week I described what a septic system is and how it works. This week I’ll discuss proper care and management which should extend the life and function of a system. Regular maintenance requires pumping the system to remove the sludge. This is recommended to be done on a regular basis. How you use and treat the system, the number of people in your household, and other factors can result in a range of maintenance time frames. Some companies recommend that if the sludge and scum is equal to one third of the tank capacity, it’s time to pump.

Remember: The goal is to maintain the organic organisms in the system that break down and absorb the waste. Excessive use of caustic cleaners can compromise your system. Warning signs of potential problems can be excessive water around your system or sinks and toilets backing up. The system ultimately disperses the treated water into the soil, so it’s crucial that it is in proper working order from a health and safety standpoint.

Here’s a short list of what not to do:

• Don’t use a garbage disposal.
• Don’t dump oil and grease down the sink drain.
• Don’t flush non-biodegradable items down the toilet. This includes disposable diapers, cat sand, and paper towels.
• Don’t take long showers or do many loads of laundry each day.
• Don’t pour paint, pesticides, and other toxic or hazardous substances down the drain.

Some other things to watch out for are:

• Drainage of surface water over the system area.
• Landscaping or planting trees over the system as the roots can grow in and clog or rupture the field or tank.
• Leaky faucets or sinks.
• Improper design or installation of the system in addition to poor soil that doesn’t allow proper drainage.
• Creation of an impermeable cover (such as a parking area) over the system area.

An extensive explanation of the entire process can be found at www.nj.gov or www.state.nj.us.

Always work with a reputable professional whether doing maintenance as a homeowner or conducting an inspection of the system as a potential buyer. Whether buying or selling, an efficient and safe system goes a long way towards maintaining your home’s value!

Posted by:Mary Jane Benedetto

If you are looking to buy a home in areas within Somerset, Morris or Hunterdon County you may find that the home you love uses a septic system instead of a sewer line. If you are selling in these areas, your buyer has the right to conduct an inspection of the system and the results can have an impact on the sale.

A septic system is located on your property and you are responsible for it. The rules concerning allowable size, design, and construction are governed by the Standards for Individual Subsurface Sewage Disposal Systems, N.J.A.C. 7:9A (aka Chapter 199). The Department of Health is responsible for enforcement of this in each township.

The typical septic system is made up of 4 main components: the pipe from the home, a septic tank, a distribution box and the drainage field. Its design and positioning will depend on your property’s characteristics.

The tank can range between 1000 and 2000 gallons, and is typically made up of 1 or 2 chambers with1 or 2 manhole covers. Townships and municipalities will have specific regulations regarding the size and layouts. The overall size is mandated by the number of bedrooms in the house.

The initial reduction of waste happens in the tank. The solids settle and should be anaerobically digested creating sludge, and the liquid ferments flowing out of baffles into the distribution box. This box evenly distributes the flow of the liquid throughout the drainage field.

The next component is the leach or drainage field. The liquid flowing to the field passes through pipes that are perforated and then is eliminated by physical, chemical and biological processes into the soil.  At that point, the water is purified.

An extensive explanation of the entire process can be found at: http://www.nj.gov/dep/dwq/pdf/septicmn.pdf or http://www.state.nj.us/dep/dwq/owm_home.htm#works.

Whether you are buying or selling, it’s best to know about the components and their importance to the overall function of the system. Next time, we will talk about the maintenance of your system and why it’s important.

Posted by:Mary Jane Benedetto

It’s always easy to find a formal restaurant in which to eat dinner. Just make a reservation, invite some other people and dress up! But what if you live in Harding Township and want an easy, quick meal? In my previous blog of October 6th, I discussed casual lunch spots around Harding Township. Here, I will talk about dinner options, both sit down and take-out. Remember, the three restaurants I discussed in my first blog also serve dinner!

Again, full disclosure: I like food with taste and creativity and I am not a restaurant critic, just a resident.

Great take-out is always a challenge! La Famiglia Gourmet on Main Street in Mendham offers a unique way to enjoy true Italian food. Tony and Clara Grande of Il Capriccio in Whippany own and manage the store. Click on the hyperlink and explore the mouth-watering menus, or visit them in person and make a selection to take home for lunch or dinner.

For casual dining, try the Bamboo Grille in Basking Ridge. You can enjoy beautiful views of the Basking Ridge Country Club year round, and eat lunch or dinner outside on the patio in the summertime. The menu is filled with great appetizers, salads, entrees, and of course, burgers–don’t forget to check out the specials!

The Black Horse Tavern in Mendham has been serving its guests since 1740. The Pub, located next door, now serves lunch, dinner and brunch and has a sit down menu as well as a to-go menu! Popular offerings such as the Oyster or Clam Bar and an extensive menu can be found there every night!

You can find me at mjbenedetto@turpinrealtors.com.

Posted by:Mary Jane Benedetto

On November 6, 2009, Congress passed an extension of the law that gives an $8,000 tax credit to first time home buyers. It was set to expire on November 30, 2009. But this is more than an extension. The new law changes income limits, allows homeowners to receive a credit of up to $6,500 if they purchase a new principle residence, restricts home price, and changes deadlines among other things.

Below is a brief summary and explanation of this news. This writing does not pretend to discuss all qualifications, specifics, and provisions of the law and should not be used as any type of legal or tax advice. (As with all legal and tax related issues, you should consult your tax preparer or lawyer before doing anything).

Income limits: The new limits, which apply to both first-time and repeat buyers who purchase after Nov. 6, are $125,000 to $145,000 for singles and $225,000 to $245,000 for joint filers as reported by the New Jersey Association of Realtors.

Credits: The $8,000 credit for first-time buyers remains, but the law now gives repeat buyers up to $6,500. It requires that they have lived in their home for at least 5 years in a row in an 8 year period.

Home price: There is an $800,000 ceiling on the sale price of the house in order to be eligible.

Deadlines: The house must be under contract by April 30, 2010 and be closed by June 30, 2010.

If you are planning to purchase a new home in the next 6-8 months, I invite you to call me and discuss your options. You may email me at mjbenedetto@turpinrealtors.com or call me at 908-234-9100, x203. The time to buy equals a large inventory plus low mortgage rates plus the tax credit extension!

Posted by:Mary Jane Benedetto

Thinking of living in Harding Township? You have probably asked about the ease and accessibility of NYC transportation, the low taxes, and the country lifestyle. You may have even asked where the closest grocery store is for that bottle of milk. However, one important question remains: Where can I get a really good, quick bite to eat for lunch or dinner? Are there places I can pick up take-out that isn’t pizza or fried food?

Full disclosure: I like food with taste and creativity and I am not a restaurant critic, just a resident.

Let’s start with lunch, but keep in mind that dinner is also available at the restaurants mentioned below.

Dukes Café and Grill and the Wild Goose Market just opened in the heart of New Vernon next to the Post Office on Village Road. This is not a new enterprise having recently been relocated from Basking Ridge. The menu is great for people who want to grab a quick bite between appointments, school pickup, as well as anyone who wants a convenient place to eat on lunch hour. There are lots of salads, several burgers, paninis, and of course, pizza!

Just down the road on Rte. 202 is the Olde Mill Inn and Grain House Restaurant. There are three areas in which to enjoy your food: the main dining room, the bar, and weather permitting, outside on the patio. The menu is filled with interesting sandwiches, entrees, and salads.

Tsuki is a Japanese restaurant that prides itself on culinary invention and great taste. Zagat rates it a 22! Don’t miss the specials by the door when you come in! Tsuki takes reservations, but be sure to ask for a booth if you want one. Tsuki is located a few minutes away in Bernardsville, across from the railroad tracks.

I will talk about dinner opportunities, including takeout, next week. You can find me at mjbenedetto@turpinrealtors.com.

Posted by:Mary Jane Benedetto

Last week I discussed how to prepare the exterior of your home for selling this fall. Now, let’s move into the interior.

I know you are comfortable with the way your house looks- after all, you live there! However, not all potential buyers may feel as you do. They will know immediately if your open floor plan or main-floor master is wrong for them. But, if the great layout or number of bedrooms, etc. is overshadowed by your possessions or decorating style, they may not be able to envision themselves living in your house. The idea of walking through the house should make them feel comfortable.

First, remove all clutter. Your collections, knick knacks, and magazines are important to you, but may only distract the buyer whether he or she likes them or not. This is the most effective and least expensive way to prepare the inside! Pack them up; don’t shove them into drawers and cabinets, as the buyer will open them!

Second, clean out your closets, shelves, and drawers and then organize them. For example, line up the clothes by color in their category (i.e. skirts, pants, etc.) or arrange non-clothes closets by category (i.e. all napkins on one shelf.) The simple appearance of organized neatness implies a well-maintained home.

Third, re-arrange the furniture. Make sure that it’s positioned so that the buyers can easily walk into or through a room. Proper placement will ensure greater space within the room. Remove excess pieces that take up space or pieces that are not well-kept and store them in the basement. Use each room for its original use, a pool table in the living room implies that the living room is wasted space and you had to find something to do with it. Make sure the lighting is adequate to see the room.

Fourth, spruce up. Take one room at a time and carefully evaluate items that look worn, in a state of disrepair, or dated. This will take the most time, and possibly require some expense. Remember, it’s crucial that your buyer feel that you have maintained your home. Broken blinds, cracked tiles, or worn upholstery won’t convey that feeling. Keep the interior neutral; remove wallpaper or flashy paint colors that may prove too busy.

Throughout your preparation process, use your agent as a sounding board; ask her or him to be honest with you about what needs to be done or what you have done. You have hired a professional- experience is the best teacher!

Posted by:Mary Jane Benedetto

First of all, I hope you have had a great summer!

Real estate sales have risen for six straight months in the State of New Jersey, which is stronger than the national increase, according to Jeff Otteau of the Otteau Valuation Group in his June 2009 “The Otteau Report.” This has been spurred by a rise in new home sales, low interest rates, and the $8,000 first-time home buyer credit.

While we are surely not out of the real estate woods, potential buyers and sellers are showing more optimism than this time last year. If you are one of those potential buyers or sellers, this may be the time to put your house on the market or to start seriously looking. The spring market is historically the biggest market, but there is a lot to be said for the fall market, smaller only due to the shorter time period.

If you are a buyer, homes that were listed in the spring at a high price might be negotiated down successfully to a price you are happy with. If you are a seller, fresh, well-priced inventory is always welcome to the serious buyer.

As a sales associate with Turpin, I invite you to call me and discuss your options, whether buyer or seller. I can show you what has happened in your community in 2008 vs. 2009, as well as provide you with information on active and sold inventory. This type of factual information will help you make the right buying or listing decision. You may email me at mjbenedetto@turpinrealtors.com or call me at 908-234-9100, x203.

Looking forward to meeting with you!

Posted by:Mary Jane Benedetto

Deciding to sell your home is the beginning of a process that consists of many steps. One of the most crucial is preparing your home for prospective buyers to see. As we are in a “buyer’s market” cycle, the smallest negative can completely turn your buyer’s head in the opposite direction. Unfortunately, those are the items that never make it to the feedback level!

There are two stages to this preparation process. In this blog, I will talk about the “big picture” items that will need to be addressed so that potential buyers don’t feel that they will have to fix your problems. Next week, I will talk about the more cosmetic issues that help, so please check back!

While walking around your house, buyers will ask questions that pertain to the general upkeep and maintenance of your home. It is very helpful if the agent has your Seller’s Disclosure in hand and can report immediately about an item’s age or when a system was serviced or repaired. Unless you want to list your house “as is” and price it accordingly, a little up-front elbow grease always pays off.

Let’s start at the beginning. When the buyer drives up to your home, make sure that there is no peeling paint, shutters are firmly affixed, and the grass and shrubs are well trimmed and healthy looking. Kill the weeds! The driveway and walkway to the front door are the second impression. Repair potholes and broken cement. Is the front door and surrounding entryway freshly painted and swept clean? If you are using a lock box, does the key turn easily, or will the agent have to struggle to get in?

Once the buyer is in the house, the questions will start. It’s the answers that will keep them focused on your wonderful home instead of potential problems. Make a checklist of all the inspections and repairs that have been performed as well as possible concerns that your house may currently have. The list should include chimney and septic cleaning, inspections, repair of furnaces, air conditioning, sprinkler systems, radon systems, pools and wells. Don’t forget your kitchen appliances! Decide if that old hot water heater should be replaced, the electrical box needs repair, or the automatic garage doors need servicing. Remember, anything not working will appear on the inspection report, and you may have to negotiate the repair or the price of the repair.

Next week, I’ll discuss the cosmetic portion of preparing your home. Check back!

Posted by:Mary Jane Benedetto

The United States Golf Association has selected Trump National Golf Club to host both the 2009 U.S. Junior Amateur and U.S. Girls’ Championships. The dates will be from July 20-25. Concurrent championships on the same course have happened only 3 times in the history of the two events.

Trump National opened for golf in 2004. The original course was designed by Tom Fazio on over 500 acres of beautiful rolling hills. It is now referred to as the “Old Course”. The second course known as the “New Course”, designed by the nephew of Tom Fazio, Tom Fazio II, opened in August of 2008 and is quite different in topography. The events will take place on both courses.

The events begin on July 20, 2009. On July 24, 2009, the Girls and Boys Quarterfinals and Semifinals take place. The next day, the championship matches take place.

Trump is located at 900 Lamington Road in Bedminster, NJ. It has parking facilities for 14,000 cars close to the course. It’s easily accessible by car. Take 78 West to exit 26. Follow Rattlesnake Bridge Road to Lamington Road, take a right and enter the club 1.1 miles later.

Posted by:Mary Jane Benedetto

The Borough of Peapack-Gladstone is located in Somerset County, New Jersey. It is a small community where people enjoy both country living and proximity to New York for easy commuting by train. Schools are part of the Somerset Hills Regional District and include Bedwell Elementary School, Bernardsville Middle School, and Bernards High School.

Homes for sale range from townhouses on Main Street to 76-acre estates with many great homes in between! Victorians, ranches, and brick colonials are some of the eclectic mix of styles. The town’s amenities include great restaurants, a convenient train station, and a library.

To help buyers experience this wonderful town, Turpin Realtors is pleased to be a participant in the Peapack-Gladstone Open House day on Sunday, March 15th. You can find Turpin properties for sale on www.turpinrealtors.com by searching for Peapack-Gladstone. Several of these will be open to the public on that day and you can search for the open houses available and directions on that site. As an example, pictured here is a listing on Lincroft Drive that will be open on Sunday. The home is located in Tiger Hill, a beautiful area right off Peapack Road. It has 5 bedrooms, 3 baths, a family room, 2-story library, and a great room on 1.8 acres! Also, click on this special website for all the details: www.welcometopeapackgladstone.com

I look forward to meeting you in Peapack-Gladstone on Sunday, March 15th!

Posted by: Mary Jane Benedetto

Far Hills Office
Route 202 P.O. Box 100
Far Hills, NJ 07931
Phone: 908-234-9100 ext. 203
cell: 973-615-2376
Email: mjbenedetto@turpinrealtors.com

View Mary Jane's Listings

Mary Jane brings a wealth of acquired skills to her sales associate position based on a successful 25-year career in retail management for some of the biggest names in fashion, including Ralph Lauren and Bloomingdale’s. She utilizes her strengths in negotiation, communication and computer technology to market and sell homes in a variety of price ranges. Mary Jane has a sterling reputation for taking personal responsibility as she works tirelessly to help her clients achieve their housing goals.

Well aware of the role Internet marketing plays in today’s real estate market, Mary Jane has embraced the latest technology to her clients’ advantage. Her blog posts cover a range of topics such as home buying and selling advice, community events and timely real estate tips. She takes educational courses about the Internet, and will achieve the E-Pro designation from the National Association of Realtors. Sellers rely on Mary Jane’s ability to use pro-active technology and high-profile real estate websites to bolster their presence on the Internet, while buyers know that her familiarity with the latest technology means she is aware of the newest listings and local market shifts.

Mary Jane conducts her business in a focused, organized and detailed manner. She listens carefully to her clients’ concerns and tailors the transaction process to meet their specific needs, showing genuine care and concern throughout. Finally, Mary Jane combines an enthusiasm for the real estate and an ability to have fun while maintaining her professionalism and integrity.

Prior management positions at Federated Department Stores, where she was a vice president and general merchandise manager, and as a manager at Bloomingdale’s and Ralph Lauren, have contributed greatly to Mary Jane’s eye for design, proportion and style, all of which are equally critical in architecture and home sales.

Mary Jane moved to the New Vernon section of Harding Township in 1994, when she and her husband designed and supervised the building process of their home. She and her husband, an ophthalmologist who practices locally, have a college-age daughter. In her free time, Mary Jane enjoys cooking, entertaining, reading and travel. She has traveled to Europe and the Far East extensively for business and pleasure. She has a B.A. degree in French from Douglass College.

When you need a sales associate who is experienced, upbeat and hardworking, Mary Jane welcomes your call, visit or e-mail.