The La Plata County Assessor's office completes a reappraisal of properties every two years. Because our taxes are paid in arrears, the assessor's office collects their tax data based on sales of properties in the past. The current data collection period for upcoming tax years 2009 & 2010 includes the sales period January 1, 2007-June 30,2008. The assessor's office will be mailing out recent valuations in late April. You have until June 1 to challenge your property's valuation. The following assessment formula for property values is used:

7.96% for residential     

29% for commercial and vacant land

87.5% for oil and gas properties

If you are interested in viewing the new valuation of your property, please check out the county assessor's website:

http://eagleweb.laplata.co.us/assessor/web/login.jsp?submit=Enter+EagleWeb

Fed Officials: The Worst Is Over

The worst of the economic crisis is over, according to U.S. officials speaking at a financial conference Friday at Vanderbilt University.

Frank Nothaft, the chief economist for Freddie Mac, said housing sales have just about hit bottom and a third of home sales are now foreclosed properties.

Dennis Lockhart, president of the Federal Reserve Bank of Atlanta, warned that the declining commercial real estate market still poses a risk to the economy.

New York Fed chief William Dudley complained that the programs the government has put in place are being undermined by public perception that they are unfair to average taxpayers and that has made some potential investors fearful that they would be the focus of public outrage if they profit from the programs.

"It is worth emphasizing (that) actions that lead investors to shun taking risk, especially in this environment, are ultimately detrimental to the ability of households and businesses to secure credit at reasonable borrowing rates," Dudley said.

Source: Reuters News, Ros Krasny and Kristina Cooke (04/18/2009)

Below is a snap shot of Residential Activity for La Plata County for the month of March 2009. The stats compare to where we were one year ago in March 2008.

All Residential Data (as of 3/31/09)                                                 

Total Active Listings: 1114      Last Year: 923

Avg Days on Market: 219     Last Year: 192

Total Number of Sales: 83   Last Year: 139

Avg Sales Price: $348,443    Last Year: $364,447

Overall appreciation or depreciation  -4.4%

Successful “Government Builds Day” with Habitat for Humanity- Thank you to everyone who participated!

On April 18^th, Habitat for Humanity of La Plata County celebrated our Government Builds Colorado day in Bayfield, CO.  The day was a great success due to the support and generosity that so many showed. Our local government was represented by employees from both La Plata County and the Bureau of Land Management. The volunteers worked hard and created beautiful landscaping for the Habitat homeowners in Fox Farm Village. The Wells Group of Bayfield put on a delicious lunch for which the hungry volunteers were truly grateful.  Durango Nursery provided the landscaping plan and plants as well as a donation of two apple trees. The homeowners will be able to enjoy the fresh and free produce for years to come.  Habitat for Humanity is thankful to everyone who participated in the Government Build Day this year- YOU make it possible to do the work that we do!

7 Tips to Avoid the Vacant Home Look

Selling a home that is vacant can be harder than selling a lived-in home, experts say. Here are some ideas from Pam and Dave Pettigrew, certified residential specialists with Prudential Rocky Mountain in Fort Collins, Colo., on what practitioners and sellers should consider to protect an empty property and get it sold.

• Give the house a lived-in look. Get a neighbor or family member to make the house look occupied by parking a car in the driveway, opening and closing the drapes and taking in any mail.
• Groom the yard. Use a lawn service during the summer to keep the grass cut and a snow removal service in the winter to scrape the walks and driveway.
• No outstanding nicks. Hide the effects of missing furniture. Paint and replace rugs so there are no faded spots or blemishes on the walls. Cover accent paint that alone looks odd.
• Leave some furniture. A few chairs, tables, lamps and beds (or empty mattress boxes with spreads) give buyers a sense of space.
• Keep the utilities on. Set the thermostat at a comfortable level during the winter and summer.
• Hire a maid. Make sure the home remains spotless.
• Check the homeowner’s policy. Understand the coverage when the home is vacant.

Buyers Say Foreclosure Deals Taking Too Long

Banks are quickly accepting bids and writing contracts for foreclosed homes, but buyers are complaining that settlements are taking too long.

Real estate pros say purchasing a bank-owned property is different than dealing with a regular home owner, considering that banks have to check claims on the property and problems can arise at closing. Plus, in some states, banks also need court approval of the foreclosure.

Although banks are swamped by the record number of foreclosures, the bank-owned homes will have to be sold to help stabilize residential prices and boost the housing market.

Source: Washington Post, Dina ElBoghdady (04/13/09)

Federal Housing Rescue Plan Launches

The Obama Administration’s program to rescue distressed home owners got off the ground this week. The program was announced on Feb. 18, but it took several weeks to put the bureaucracy in place.

Six of the nation’s largest banks signed up to participate, the Treasury Department announced Wednesday. They are JPMorgan Chase, Wells Fargo, Citigroup, GMAC Mortgage, Saxon Mortgage Services, and Select Portfolio Servicing.

Treasury says it is allocating $50 billion to the program. The Department of Housing and Urban Development will provide the rest.

The plan calls for loan servicers to reduce interest rates so a family’s monthly mortgage obligation is no more than 38 percent of its pre-tax income. Loan servicers also can reduce loan balances. After the loans are modified, the government then provides enough money to reduce payments to 31 percent of income.

Participating servicers get $1,000 a year for each modification and another $1,000 a year for three years if the borrower remains current. Servicers get an extra $500 if they do the modifications before the borrower falls behind in his payments—and the borrower gets $1,500. Also, homeowners get $1,000 a year for five years if they remain current on their payments. The money must be used to reduce their principal balances.

Source: CNN, Tami Luhby (04/16/2009)

Ways to Spruce Up Your Listing's Curb Appeal

Staging a yard can give a home the all-important, buyer-pleasing curb appeal. Here are some suggestions that are both inexpensive and easy.

• Make it green. Balancing the pH level and feeding the lawn lots of nutrients will give it a lush and healthy look.
• Trim trees and shrubbery. Overgrown branches hide a home’s good looks.
• Mulch everything. Mulch gives flowerbeds visual appeal.
• Edge the beds. Edging makes everything look neat.
• Powerwash the siding, sidewalks and patios. Power washing gets rid of all the winter grunge.
• Plant annuals. Lots of geraniums, impatiens and petunias brighten up the look.
• Plant a garden. If the Obama's can do it, so can everyone else.
• Hang a hammock. It suggests life is easy.

Obama Urges Americans to Refinance

President Obama urged Americans to take advance of the administration’s new program, which allows homeowners whose loans are underwater to refinance.

Obama, who spoke Thursday at a White House event, pointed to historically low interest rates and estimated that if 7 million to 9 million homeowners refinance, they will save $1,600 to $2,000 a year.

"That is money in their pocket," Obama said. "We are at a time where people can really take advantage of this, and what we want to do is to send a message that if you are having problems with your mortgage – and even if you're not, and you just want to save some money – you can go to makinghomeaffordable.gov."

Source: The Wall Street Journal, John D. McKinnon (04/09/2009)

REALTOR® Magazine asked readers of our Daily Real Estate News e-mail to send in their best tips for sprucing up listings on the cheap. Here are some of the quick, creative ideas that poured into our inbox.

Ideas for:

• Living Room
• Bedroom
• Bathroom
• Color and Lighting
• Kitchen
• De-cluttering
• Exteriors
• Special Touches

LIVING ROOMS

Create a Focal Point

"Pick out the most visible corner and put a large plant—I've found that silk trees work best. Set up a spotlight behind it so it lights up the leaves and throws an interesting shadow on another wall. It really makes a difference in a person's perception of the space, especially if it's a large room without too much natural lighting."

—Izabela Stone, Keller Williams Realty, Apollo Beach, Fla.

Set Up a Chat Room

"Be sure that the living room furniture is positioned for conversation as well as entertainment. Potential buyers should be able to easily envision sitting in a space where they can easily talk without having to move a chair or turn completely around."

—Rana Lindhorst and Troy Schmidt, Prudential One Realty Centre, Edwardsville, Ill.

Get Rid of Carpet Dents

"Furniture often leaves indentations in the carpet. When a piece of furniture is moved, I tell my clients to put medium-sized ice cubes in the imprints. As the ice melts, it causes the compacted carpet to expand and erase those imprints."

—Shawn Moss, Century 21 C.R. O'Neil & Co. 

Accent Special Features

"Place an accent by a home's feature, such as an attractive plant near a fireplace to draw the eye to it or a tall palm or two in place that directs the buyer toward another part of the home or suggests a separation of areas. This also ensures that someone often enters the home to care for it."

—Susan Cramer, HomeSmart Real Estate, Temecula, Calif.

Invoke the Outdoors

"Use a little nature in each room. I create a flow throughout the home using cuttings, flowers, dried flowers, whatever will work. Simple things, such as twigs to spell out a word or a small cutting tied with raffia around a pillow on a bed, draw the eye into the room but don't overpower it. I have even used a branch cutting to make a 'tree' in an empty corner. I try to use one piece of nature in each room to create an ongoing theme throughout the home. It works with any type of decor, whether it's modern or traditional. One important note: Always check for insects!"

—Lauren Scurlock, North Star Real Estate Inc., Virginia Beach, VA 

BEDROOMS

Bring Your Own Bed

"I have a great way to add a bed to a vacant bedroom. I arrange moving boxes into the shape of a bed, and then I dress it up with nice bedding. It takes about half an hour and it's really inexpensive."

—Kria Lacher, Meadows Group Inc., Realtors^®, Portland, Ore.

Make a Bed

Another trick to add a bed: "Purchase an inexpensive air mattress that has a folding frame off the floor.  Once the bedding is on and staged, it's hard to tell the air mattress from a real bed. After the home sells, all the client has to do is deflate, fold and pack." 

 —Jackie Limsky, ABR®, TX Cyber Homes, Hank Layton, Texas

Get a Fabric Donation

"Here is an inexpensive staging tip: Ask a local fabric shop to donate beautiful fabrics. Use it to cover thefollowing: an air mattress with a not-so-great comforter (cover the comforter with an over-sized sheet, and then place a nice fabric in the middle or end of the bed). Or use the fabric to cover TV dinner stands, to appear as nightstands, entryway pieces, or any other decorated 'table.'"

—Jannel Lee Allen, Keller Williams Realty, Livonia, Mich.

 Add Luxurious, Affordable Touches

"If the master bedroom is too boring (and most are), I have my sellers go out and buy a new luxury comforter set with bed skirt, throw pillows, matching valances, etc. We have a Burlington Coat Factory here that sells dramatic sets with rich, embellished material for around $100. The right set will totally transform a boring master bedroom into a luxury hotel suite."

—Karen Walton, Share Realty, Midlothian, Va.

 Try a Dramatic Fabric Backdrop

"One surefire way to dress up a plain bedroom is to hang sheers, fabric or draperies on the wall behind the bed. (I often remove window treatments from the other windows to allow more light in and then use these for the fabric backdrop.) It serves as a headboard, visually raising the ceilings and, particularly in a master suite, adds a sense of elegance and luxury. It's inexpensive but packs a dramatic punch."

—Liz Harrison, Spruce it Up! Home Staging and Room Redesign, Salem, Oregon

BATHROOM

Add Bathroom Elegance

"Get some decorative hand towels, tie a sheer ribbon around them, and place them on towel racks in all of the bathrooms. This does wonders to dress up the bathrooms of your listings. I also put some dried flowers and candles in complementary colors to add a little more pizzazz."

—Haley Hwang, e-pro, Coldwell Banker, Glenview, Ill.

Put a Lid on It

"The best thing you can do for your home, vacant or not, is to close all the drains, sinks, and tubs; close all the lids on all the toilets; close all the closet doors; and let all the sun in. You'll get amazing immediate results and the cost is zero dollars."

—Judith Preston, HomeSmart International, Anthem, Ariz.

 Make the Old New Again

"I recently listed a big house built in 1979. In the master bathroom was a sunken cultured marble bathtub and matching his and hers marble vanity tops in swirly 1970's brown. The shower stall tile was gold and white speckled. The cost to update this bathroom would be a lot. So we got the tub and shower stall painted with epoxy paint in white and the marble tops a white with little tan specks. It was a huge improvement for about $800." 

—Linda Walker, Main Street Real Estate, Garland, Texas 

COLOR AND LIGHTING

 Go Neutral

"The moment the potential buyer walks into the front door they should be 'wowed' by the rooms on either side of the entry. Paint a nice neutral khaki color allowing for the painted or stained wood work to stand out.  Make the color bold enough to make a difference, not just an off white.  Tans and khaki’s 'warm' the space."

—Julie C. Preston, GRI, REALTOR®/interior designer, Indianapolis, Ind.

 Add a Splash of Color Everywhere

"Currently over half the homes we list are vacant and can look very sterile in photos. We ask sellers to neutralize their wall colors and carpet, but then we discover all the photos of the interior look similar and boring. Our best staging tip is to add bright, bold colors to the kitchen and bathrooms with accessories, towels, and plants. Red is a call-to-action color. A vase with red flowers can add interest to the photo when placed on a kitchen island or bar. We like burgundy or black towels in a neutral bathroom and green silk plants in the living areas. A colorful picture over the fireplace mantle with a couple of vases on each side can make a great vignette in the family room."

—Holly Janney, Realty Executives Associates, Knoxville, Tenn.

 Light It Up

"Replace the light bulbs in the home with higher wattage bulbs. Buyers like 'light and bright,' and the brighter light bulbs make all the difference in the world. Inexpensive and easy!"

—Ann Bishop, Ann & Denny Bishop Group, Realtors^®, Wichita Falls, Texas

 KITCHEN

Tease Their Noses

"I believe in appealing to all five senses of a buyer, including smell. I always put something in the oven like apple pie or fresh bread."

—Chad C. Caramanna, Shadetree Realty Group Inc., Fellsmere, Fla.

 Accessorize

"Adding decorative items in the kitchen can warm up the area and make it more 'cozy'.  Go to a thrift or resale shop and get great deals on glass items.  Use a tray (wood, silver, glass, etc.) with two coffee cups and a small package of Starbucks coffee displayed between the cups, and pretty paper or cloth napkins. Also, find a large glass—or pottery bowl—and fill it with individual candies, pre-packaged crackers, pretzels, etc. It looks nice and each buyer who comes through can grab a snack from the bowl. It'll help them remember your listing."

—Trina Griffith, Summers Real Estate Group, Longview, Texas

 Go Green

"If your listing has some green features (EnergyStar appliances, generator, double-paned windows, bamboo flooring), continue the theme with strategically placed soy candles, homemade guest soaps, and green cleaning products under the sink area. People will notice!"

 —Peggy Edwards, green, Coldwell Banker, Tampa, Fla.

DE-CLUTTER

 Expand the Closet

"One of the most overlooked areas of staging is the closet. Most people will unclutter and move boxes out of the closet but forget about the hanging clothes. I tell my clients to remove the clothes they only wear once in a while. If the closet still looks stuffed, remove more. The ideal closet will have significant space (two hangers worth) between the next hanger."

—Joseph F. San Angelo, Coldwell Banker Real Estate, Clifton, N.J.

 Offer Before and After Photos

"Have owners pack everything they don't use daily and put in storage or in the garage. It neutralizes the home and allows buyers to picture their family living there. It creates a sense of cleanliness and order by having clean countertops, sparsely decorated walls and minimal furniture. I give sellers before and after photos of other staged homes and remind them that this is how model homes sell."

—Amy Herring, Keller Williams, Tallahassee, Fla.

 Create a Neutral Pallet

"When I first meet with potential clients planning to put their house on the market, I walk through the home with them and make a detailed list of all furniture, clothing, and miscellaneous items that should be packed away.  Staging a home requires that each space be defined, but that personal items and clutter be non-existent.  Potential buyers need to see a neutral pallet: Rooms that they can envision themselves living. I then pay for the delivery and removal of a Smartbox portable storage unit as part of my marketing strategy."

—Carrie Mock, Long and Foster Real Estate, Annapolis, Md.

 Nix Those Personal Photos

"Make sure there are no personal photos to be seen anywhere in your listing. Pack them up or put them away. Buyers tend to stop and see who lives there, which takes them away from seeing the home's attributes!"

—Kyle Davis, RE/MAX Select Properties Inc., Ashburn, Va.

 Don't Let Furniture Get in the Way

"I think one of my top staging tips is to arrange the furniture so that it does not block any of the home's features and allows for easy traffic flow. Sometimes that means removing some furniture—the more furniture in a room, the smaller the room looks."

—Jean Risha, Greenwood King Properties, Houston, Texas

 EXTERIORS

 Say 'Welcome Home'

"There's nothing more pleasing than a front step or porch with bright and cheerful planters filled with plants and flowers. It says 'welcome to your new home!'"

—Carol Anderson, abr^®, green, Coastline Realty, Cape May, N.J.

 Create a Curb Appeal Checklist

"A top item on the staging list should be curb appeal items (you can't get people in if they don't like the drive-by): Trim shrubs, fix peeling paint, and add greens or planters near the entrance."

—Lori Geraci, Bannon & Hebert Properties LLC, Middlebury, Conn.

  Entice Them at the Entrance

"Tighten any loose doors or cabinets and re-stain, paint, or varnish doors. Paint the trim on floors and ceilings. Also, paint outside trims and nicks on the house, especially where clients come into the house."

—Rhonda Burns, Windermere Real Estate, Wentachee, Wash.

 Stage the Lawn

"In San Antonio the grass is usually parched by the end of the summer. For my fall listings, I purchase a bag of winter rye grass seed and apply it generously to dried-out lawns of my listings. I advice sellers to water the grass frequently for a few weeks until it begins to sprout. Soon the lawn is emerald green, and it stays that way through the end of April, at which time the regular grass should be recovering."

—Larry Stewart, Deborah Myers Real Estate Inc., San Antonio, Texas

SPECIAL TOUCHES

 Create a DVD of the Home

"Have the sellers make a short DVD of fun times that they had in the home and surrounding area. Make the DVD run on a loop on the TV and use it to show potential buyers the area, neighborhood amenities, proximity to parks museums, etc. It is easy and cost effective."

—Scott Holland, Top100AZhomes.com, Phoenix

 Frame a Local Scene

"Frame pictures from inexpensive calendars and place them throughout the home. Look for pictures that reflect nature and themes for the local area. We don't want buyers to wish they were in Aruba while looking at a home in snowy Michigan!"

—Jannel Lee Allen, Keller Williams Realty, Livonia, Mich.

 Showcase Designer Bags

"I stagger colorful, logo, designer, retail bags in different sizes and shapes and place them on the shelves in the walk-in closets in the master bedroom, linen closet as well as other closets. It creates a fun visual and people think it is unique and clever. Plus, it is basically free. You just tell the stores that you are staging your seller’s home and would love to advertise their company with their bags. They love the idea of getting free publicity.  I put crumpled up tissue in the bag to give them body. I use bags from Neiman Marcus, Coldwater Creek, Chico’s, Crate & Barrel, Pier 1, St. John, Coach, Victoria Secret, and Nordstrom. Also, since the bags can lie flat, the storage factor is very efficient."

—Robyn Starr Dezendorf, Keller Williams Realty Portland Premiere, Portland, Ore.

 Customize the Art

"Buy a couple of iron easels and place them in different rooms. On the easel, place a mirror or framed art that complements the colors of the walls or floors. Or, prepare a large poster with photos and additional information about the house. This is inexpensive, yet provides a focal point of interest in the room."

—Trina Griffith, Summers Real Estate Group, Longview, Texas

 Redo the Doghouse

"Freshen and consolidate pet areas. Purchase new bowls, etc., to indicate upkeep and freshness. Choose one place to house pet beds and litter boxes; the laundry or utility rooms or garage space may be appropriate."

—Mae Thompson, Prudential One Realty Centre, Edwardsville, Ill.

 Have Sellers Write a Letter

"Part of staging is conveying the pleasures of living in the marketed home. I have sellers write a one-page letter to the prospective buyers detailing less evident benefits, such as the annual Easter egg hunt at the end of the cul-de-sac, the amazing sunrise from the breakfast nook window, and the fact that the school bus stops at the corner. I copy these on pretty paper and put them at the front of the property profile book on the kitchen counter."

—Cari Pemberton, Buy, Sell, Organize & Stage, Colorado Springs, Colo.

 Make It Memorable

"I have two things that I do when staging a home. First, a wreath on the front door (that I make). The wreath stays with the house for the new owners. Second, I hang a black nightgown on the master bathroom door. The buyer (husband) always remembers that house!"

—Cissy Snyder, Svetlik Real Estate, Sumter, S.C.

CARBON MONOXIDE LAW

Governor Ritter signed HB 1091 into law earlier last week.  The new law will cover all new residential construction and existing single-family and multi-family housing units offered for sale, transfer or rent.

Beginning July 1, 2009, a seller of residential real property containing a fuel-fired heater or appliance, a fireplace, or an attached garage will be responsible for assuring that a carbon monoxide alarm is properly installed within 15 feet of the entrance to each room lawfully used for sleeping.  No person shall have a claim for relief against a property owner or their authorized agent if a carbon monoxide alarm is installed in accordance with the manufacturer’s published instructions. 

Big Gains in Pending Home Sales, Affordability

Increases in pending home sales suggest a possible upswing in sales activity in coming months, according to the National Association of REALTORS.

The Pending Home Sales Index, a forward-looking indicator based on contracts signed in February, rose 2.1 percent to 82.1 from a reading of 80.4 in January, but is 1.4 percent below February 2008, when it was 83.3.

Lawrence Yun, NAR chief economist, said the market is continuing to underperform.

“Pending home sales have a way to go for there to be a meaningful increase, but recent increases in shopping activity are hopeful indicators that we’ll see additional sales gains,” he says. “More buyers are getting into the market to take advantage of stimulus incentives and much improved housing affordability conditions, but it will take a few months before we could see this turn up in measurable sales contract activity.”

Additionally, NAR’s Housing Affordability Index rose to a new high in February.

The Regional Breakdown
The PHSI picture varied across U.S. regions, with increases everywhere except the West:

1. Northeast: rose 10.6 percent to 63.9 in February but is 11.2 percent below a year ago.
2. Midwest: jumped 14.5 percent to 83.1 and is 3.4 percent higher than February 2008.
3. South: rose 4.4 percent to 85.8 in February but is 0.1 percent below a year ago.
4. West: fell 13.5 percent to 89.6 and is 1.7 percent below February 2008.

NAR President Charles McMillan says home buyers are in an excellent position.

“The drop in mortgage interest rates and home prices mean the buying power of a typical family has never been better,” he explains. “If you have a good job and long-term plans, it’s unlikely that you’ll find a much better time to buy a home. This is especially true for first-time buyers who can qualify for an $8,000 tax credit this year, have a great selection of homes to choose from, and are in a favorable negotiating position.”

Affordability Improves
NAR’s Housing Affordability Index rose 0.9 percentage points to a record high of 173.5 in February from an upwardly revised index of 172.6 in January, and is 36.3 percentage points higher than a year ago. The HAI shows the relationship between home prices, mortgage interest rates and family income is the most favorable since tracking began in 1970.

A median-income family, earning $59,700, could afford a home costing $285,600 in February with a 20 percent down payment, assuming 25 percent of gross income is devoted to mortgage principal and interest. Affordability conditions for first-time buyers with the same income and small down payments are roughly 80 percent of that amount. The affordable price is considerably higher the median existing single-family home price in February, which was only $164,600.

“Obviously, potential home buyers need to be managing their existing debt effectively,” McMillan says. “A REALTOR can counsel you on what you may be able to afford given your personal financial situation. In some cases, buyers who want to build their future through homeownership may need to start reducing their debt and improving their credit score before entering the housing market.”

Last year at this time, the typical family could afford a home costing $265,600, which is $20,000 less than the current affordable price.

“Homes in many areas are now selling for less than replacement construction costs — clearly, this is an abnormal situation that will change once inventory is drawn down and supply and demand come closer into balance,” McMillan says.

Yun expects housing inventories to rise through early summer from a normal seasonal pattern of more sellers appearing in the spring.

“But with the positive housing stimulus incentives now in place, we expect home sales to gain momentum in the second half of the year with first-time buyers absorbing a lot of the excess inventory,” he says. “Under these conditions, we should see price stabilization in most markets by the end of the year.”

Source: NAR (04/01/2009)

6 Reasons Why It's Still a Good Time to Buy

The housing market is looking healthier. Here are six reasons why now is the time to jump into the market.

1. Uncle Sam is willing to help. First-time buyers (defined as anyone who hasn’t owned a home in the last three years) are entitled to a maximum $8,000 tax credit; interest rates are at record lows; and the Federal Reserve is doing its best to make mortgage loans available.

2. People have to live somewhere. About 800,000 new households are formed each year in this country, ensuring that the housing market will tighten, even if the economy doesn’t soar.

3. Borrowers leverage their investment. If you put $10,000 into the stock market and it earns 10 percent, you’ve earned $1,000. If you put $10,000 down on a home and its values increases 10 percent, you’ve made $10,000.

4. When prices come back up, you’ll have instant equity. In parts of the country where foreclosures have driven down prices, better times will mean the price of the home you buy will rise rapidly.

5. Mortgage costs stay the same. If you get a fixed-rate mortgage, the monthly payment stays the same – while everything else, including rent, goes upward.

6. You own it. There is something comforting in the notion that your home is your own. You can paint it any color you want, let the dog run in the back yard and hang a swing for the kids in the front.

Source: The Wall Street Journal, June Fletcher (03/27/2009)