Christa Ross' Blog

Looking for a nice home in Pittsburgh, need to find something affordable, and don't want a fixer-upper? Then you may want to consider one of a number of homes that are being built and renovated in several areas around Pittsburgh that come with reduced prices, tax abatements and/or deferred 2nd mortgages. These incentives let low and moderate income households buy a great house for less money.

Recently I started marketing for sale one of these homes, a beautiful little house in the North Braddock neighborhood of Pittsburgh. The home is almost completely new inside and out, has a great big yard, perfect for gardening, and a very attractive price tag. This home at 614 Baldridge Avenue is part of the Braddock's Field redevelopment project that spans the neighborhoods of North Braddock and Braddock, about 11 miles from Downtown Pittsburgh.

Both communities are historically significant as the sites of General Braddock’s Defeat in 1755, the location of the Whiskey Rebellion in 1794 and the location of the Edgar Thomson Steel Works which made the area famous as the hub of Pittsburgh’s steel industry. After losing almost 90% of their population since the peak in the 1950’s, the areas are in the process of reinventing themselves as a center for urban farming and artistic culture.

Reinventing any area in Pittsburgh frequently starts with improving the housing stock. (In 2000, the average home age in our city was 48 years old, older than almost all major US cities) Then encouraging buyers to consider these homes by appealing to their pioneering spirit, and their pocketbooks.

For the house at 614 Baldridge Avenue that means putting it up for sale at a special price, only $50,000 for a home that has been completely renovated. It should be no surprise that the price is less than the actual value of the home. Plus it is reserved for an owner occupant with an income of 80% of the area median income (AMI) or less, adjusted for household size. The chart at the right shows the current income guidelines for this home.

Even if this house isn't the perfect fit for you, there are still many other homes in the Pittsburgh area that have similar incentives to help lower and moderate income individuals afford the home of their dreams. The Mon Valley Initiative, owners of the home at 614 Baldridge Avenue, have other great homes with nice price tags and similar income guidelines in areas like Turtle Creek, Swissvale and Homestead. Back within the city limits, URA-sponsored homes are offered at market price with no-payment, no-interest deferred 2nd mortgages (that are forgiven if you stay in the home at least 5 years) and 3 or 10 year tax abatements to encourage people to move into transitioning neighborhoods like the Northside, Lawrenceville, The Hill District, Friendship, the Strip and East Liberty. Like 614 Baldridge Avenue, many of the incentives are based on household income or the cost of the property.

For qualified buyers, these incentives can be combined with FHA and PHFA programs to allow for lower down payments and/or reduced closing costs.

So if you are interested in city-living and searching for an affordable new or newly renovated home in Pittsburgh these homes may be a great option for you.

Searching for an affordable home in Pittsburgh? Call Christa Ross at RE/MAX Select Realty, 724-933-6300 x214 or www.bestpittsburghhomes.com.

Official announcement to be held at the Paramount Pictures Film Exchange on May 6th.

Pittsburgh, PA, May 4, 2011 – The Young Preservationists Association (YPA) of Pittsburgh has named the Stables Building, in the Allegheny West Neighborhood, as one of 2011’s Top Ten Best Preservation Opportunities in the Pittsburgh Area. Built in 1895, the Stables Building was once home to Allegheny City’s team of working horses. Now it is the only public building remaining attributed to Allegheny City, and a prime development opportunity in a prime location on the Northside.

The YPA’s list is released annually and includes endangered historic sites in the Pittsburgh area that are good candidates for preservation and reuse. Since YPA released its first Top Ten List in 2003, more than $80 million has been invested into properties placed on YPA’s List, including the creation of an estimated 12,454 construction and trade-related jobs, 230 housing units, and $750,000 in additional annual wage tax revenue. The list will be officially announced at YPA’s annual Historic Preservation Month Celebration on Friday, May 6, 2011 from 6:00 to 8:00 pm. Entitled “Celebrate Historic Treasures in Southwestern Pennsylvania,” the event takes place at the Paramount Pictures Film Exchange, located at 1727 Boulevard of the Allies.

The 20,400 sq. ft. Stables Building has been designated as city historic structure and is a cornerstone of the Allegheny West Civic Council’s (AWCC) Loft District Master Plan. “AWCC’s goal is to preserve and transform the late nineteenth century industrial corridor along W. North Avenue by guiding its transformation into an exciting mixed-use area that will include new green spaces, gardens, lighting and street landscaping.” explains Timothy Zinn, President of AWCC. “The Stables Building is one piece of a very exciting future for our neighborhood.” Two other parcels in the neighborhood, the Hipwell and Value Added Foods buildings are already beginning the residential development process.

The Northside Leadership Conference has been working with AWCC to lay the groundwork for development of the site. “Our objective was to establish a blank canvas for a developer or individual to step in and bring the space to life,” explains NSLC’s Director of Real Estate, Nancy Noszka. “We have completed site clean out and most preliminary evaluations of the site. The high ceilings, arched windows and brick walls make the building well suited for lofts, a modern live/work space or artist studios.”

The turn-of-the-century Romanesque building also benefits by its location in historic Allegheny West, one of Pittsburgh’s most beautiful, walkable and conveniently located neighborhoods. Renewal efforts, which will be completed this summer on Western Avenue, have paid off with a welcoming atmosphere and new business activity, and the neighborhood is within easy walking, biking and subway distance of Downtown, CCAC, Allegheny General, and a multitude of sporting, entertainment and family venues. Watch A Video Tour of Allegheny West.

The Stables Building is for sale at $325,000. Numerous tax credits and development incentives are available. Information can be found online at http://www.thestablesbuilding.com. The Stables Building is being marketing by RE/MAX Select Realty, agent Christa Ross 724-933-6300 x214, christaross@remax.net.

About Allegheny West Civic Council: is a 501(c)3 non-profit organization dedicated to the historic preservation and development of a vital Allegheny West neighborhood.

About Northside Leadership Conference: NSLC is a coalition of Northside community-based organizations, committed to addressing mutual concerns through a united approach in order to promote and enhance the vitality, quality of life and image of Pittsburgh’s Northside.

About The Young Preservationists Association of Pittsburgh:YPA is a regional provider of value-added preservation services that encourage the participation of young people in historic preservation.

About RE/MAX Select Realty: RE/MAX Select Realty is a full service, real estate brokerage ranked #1 in per agent productivity in Western Pennsylvania.

I've recently been working with several buyers who are purchasing homes in Pittsburgh with an FHA loan, which has resulted in some interesting challenges. An FHA insured loan is a Federal Housing Administration backed mortgage which is provided by FHA-approved lenders. FHA backed loans have the benefit of allowing for lower down payments and have historically allowed lower income Americans to borrow money for the purchase of a home that they may not otherwise be able to afford.

With the tightening of the mortgage market over the last two years FHA backed loans have become very popular, with close 38 percent of all home purchase mortgages, including 60 percent of all African-American and Hispanic home purchases being made using this type of loan in 2010. (Source: www.thetruthaboutmortgage.com)

The two biggest draws of the FHA insured loan is the low down payment, as little as 3.5% down, and the ability to get a loan with a credit score as low as 580 (or 500 if you can put at least 10% down). FHA will also allow up to a 6% seller assist towards closing costs (although this could change soon), as opposed to the 3% maximum of most Conventional loans.

With all those benefits an FHA insured loan is a great option for many buyers, but their are a few pitfalls to be aware of.

FHA loans are not a good option for "fixer-uppers". If the house you are considering has lots of work required you may have a problem using an FHA loan to purchase. FHA appraisers review the condition of the home and detail repairs that must be made to the home prior to closing. These could include items like peeling paint that must be scraped and painted, Cracked windows repaired, gutters repaired, roofs repaired and other similar issues. Even if the buyer was planning to make these updates in the future and/or doesn't mind purchasing the home in as-is condition, FHA won't allow it, the work must be done before settlement. While FHA does have a loan called a 203K loan that will lend money for repairs, these are becoming harder to get and require the buyer to jump through many hoops.

Some homes won't qualify for FHA insured loans. Specifically condos and townhomes need to be on a FHA approved list in order to be eligible for an FHA loan. FHA wants to validate the health of a condo community before they invest in the property.

FHA loans have a higher mortgage insurance premium (MIP). FHA loans requires a 1.75% MIP paid upfront (this just went up in April 2011) and then a monthly premium as part of your mortgage payment for 5 years or until the loan amortizes to 78% – whichever is longer.

FHA appraisals have very strict guidelines, and once they are completed the value will apply to the home for 6 months, so a low appraisal can sink a sale even if you and the seller agree to a higher price. If an appraiser can't find comps that apply to the home they won't be able to supply a value, this can be particularly true for homes with wells or septic systems when the surrounding homes do not.

With all the benefits of FHA insured loans it is important to realize that not every home can be purchased with one. Be sure to let your real estate agent know upfront if you are using a FHA loan and ask them to advise you of potential FHA issues in houses you are interested in.

Planning to buy or sell a home in Western Pennsylvania? Call Christa Ross from RE/MAX Select Realty, at 724-933-6300 x214 (office) or 724-779-1437 (direct) or visit my website at www.bestpittsburghhomes.com.

New living arrangements offer artists, professionals and entrepreneurs the opportunity to own a space that can serve as both a home and workspace.

With so many people working at home these days it is not surprising that the idea of a live/work property is sparking growing interest. Perhaps because of the high-cost of commuting, a desire to live closer to the action of the city or the search for cost-effective solutions for small businesses, finding a home that can do double duty is an idea whose time has come.

The USA Today recently reported that “in more than two-thirds of the nation's 51 largest cities, the young, college-educated population in the past decade grew twice as fast within 3 miles of the urban center as in the rest of the metropolitan area” It’s not surprising that the same people that are looking for a different lifestyle, have also redefined their living and working arrangements. According to the U.S Census Bureau, the number of Americans working out of their homes increased from about 9.5 million in 1999 to about 11.3 million in 2005.

On the most basic level the idea of live/work homes could be finding a home that has a great office space as well. But who need a space larger than just a home office can find options like two-story properties that let the owner live upstairs and work downstairs, loft-style open floor plans and converted commercial properties with separate entrances.

If the idea appeals to you, here are a few things you should keep in mind.

• Verify zoning restrictions to make sure your use of the property will comply and look into commercial codes that deal with things like ADA compliance, fire protection and parking.
• Check into financing early. While lenders may give you better terms for a place that you plan on making your home as well as your workspace, you should still expect to put at least 20% down for the commercial type loans that are usually the only available financing for these properties.
• While quirky and cozy spaces are part of the benefit of a live/work arrangement it is unlikely that your clients want to feel like they just walked into your bedroom, so be sure that the property you pick has clear boundaries between personal and professional.
• Plan for growth. If you have big plans for the future then choosing a property that can grow with you business will be crucial.
• Be sure to check the condo docs if you are considering a property in a residential building. Some uses may be restricted. Start your search for this type of property in the commercial listings, since it will be less likely that you will be able to re-zone a residential property to allow commercial use. Main street properties with retail on the lower level, and apartments above, offer great conversion opportunities.

Live/Work on Pittsburgh’s South Side

1105 E Carson Street is a perfect live/work property on the South Side. The building has been completely redone and is move-in ready.

The first floor is rented by a design company. Rent from the first floor lowers the monthly cost of owning the building.

The second floor space has wonderful potential as an office, with a beautiful tile reception area, two front offices and a large space with original hardwood floors. This floor also offers a gourmet kitchen and small deck. Many original features have been lovingly restored and confer a cozy and unique feeling to the space. Sound and energy insulation between floors and energy-efficient upgrades keep utility costs, and distractions, to a minimum.

The third floor serves as a living space, with gleaming hardwood floors, a wonderful front living room, two bedrooms plus a small study and two full baths, including a beautifully remodeled master bath. Finally, the crown jewel of the building is on the fourth floor, an amazing rooftop deck with 360 degree view of the city, the perfect place for your own private oasis, a stunning place to entertain guests, clients, or friends, or a great outdoor workspace on sunny days. For more information on 1105 E Carson Street go to http://www.1105ecarson.com.

Looking for a great space in Pittsburgh to live or work? Call Christa Ross at RE/MAX Select Realty, 724-933-6300 x214 or 724-309-1758. Email christa@greenhomespgh.com. http://www.bestpittsburghhomes.com

It is important to understand the language used in real estate and what different terms mean, whether you are thinking of buying or selling a Pittsburgh property.

The terms used in real estate are relatively easy for the most part, but there a few words you may not have heard before. Below are some commonly used terms and their definitions to help you better understand what your real estate agent is talking about.

Multiple Listing Services ® This is a database that is shared amongst real estate agents that lists different properties that are up for sale. This data can only be accessed by the member agents, who are then able to show it to the general public.

Title Insurance Policy A title insurance policy is set in place by the borrower to protect the lender and you from any future claims on a property. While it may seem expensive it is much cheaper than dealing with a problem with your title in the future.

Contingency These refer to certain clauses of the purchase agreement that must be fulfilled before the agreement becomes legally binding. Examples include repairs to be made, a professional inspection to be carried out or final approval of the mortgage.

Principle Interest Taxes and Insurance These are the 4 parts of your mortgage payment, PITI for short. Principle is the amount borrowed on which the bank charges interest. Taxes and insurance are paid every month for the property that has been mortgaged.

Closing Costs These refer to the total costs accrued when Pittsburgh property is purchased. They include mortgages, settlement fees, insurance, taxes and commissions charged. Ask your agent to provide an account of all the expected charges.

Concessions When a sale is getting closer to being realized, the seller can give benefits called concessions to the buyer to help close the deal. These benefits can include seller assistance on closing costs, repairs and improvements on the property, low repayment terms for the first few months, payment for expenses related to moving to the new property, appliances etc.

Comparative Market Analysis Reports that compare different properties in the market that are on sale or have just been sold in terms of prices and features. An accurate CMA can help determine the likely sale price of your home and help you figure out the best listing price.

Appreciation This term refers to increases in property value due to improvements being made on it, inflation or forces of demand and supply.

Depreciation This term refers to decreases in property value due to lack of maintenance, deflation or forces of demand and supply.

It is important to understand these terms when considering making a purchase. You will understand the negotiations and the legal documents better when you have this information, which gives you more control over the sale of the Pittsburgh house itself. Be sure to ask your agent if there are terms you don’t understand, after all that is what we are here for, to help guide you through the sale or purchase of your new Pittsburgh home.

Pittsburgh is a great city! If you are relocating to Allegheny, Butler or Westmoreland Counties I can help. Call Christa Ross from RE/MAX Select Realty, at 724-933-6300 x214 (office) or 724-779-1437 (direct) or visit my website at www.bestpittsburghhomes.com.

The thought of relocating to Pittsburgh is a big and exciting adventure. You are probably anxiously waiting for the day when you will finally settle into your new home. Only one nightmare separates you from your dream home, and that is moving.

Moving is not an easy task and a lot of planning is required to make the relocation to Pittsburgh easy and stress-free. You also want to protect your property from damage during the move and wrap up any loose ends with your old house. Here are some tips that will help make moving and settling down into your new home much easier. 

1. Pack up: Pack all your belonging in protective moving boxes. Weigh and label each box to keep track of moving charges that are calculated using weight.
   
2. Check for insurance: Find out if the moving company or the insurance company you are using will insure your belongings. You need an insurance to cover any damage that may occur during the move.
   
3. Notify your utility providers: Give notice to all your utility providers and let them know when they should terminate your services. Clear any outstanding bills and apply for new contracts for your new home well in advance.
4. Change your address: Change your mailing address with the post office to reflect your new address. Inform your bank, utility providers, your family and friends about your relocation to Pittsburgh and update any subscriptions you have.
5. Clear up things with your Homeowners Association or property manager if necessary: Follow the provided guidelines to ensure that you clear all outstanding arrears and make t any required checks and repairs before you move.
6. Subscriptions: Ensure that you cancel any subscriptions that you have. This can include newspapers, magazines or regular home deliveries.
7. Unpacking: Labeling boxes will help you when you are unpacking. Unpack what you need urgently first. The rest of your belongings can be unpacked over time as you settle down.
8. Give out your new address: Make a list of all your work colleagues, family and friends who need to know about your relocation plans and give them your new contact information.

When relocation to Pittsburgh is not well planned, it can lead to a lot of headaches and loss. These simple tips will help make your relocation seamless and easy.

Pittsburgh is a great city! If you are relocating to Allegheny, Butler or Westmoreland Counties I can help. Call Christa Ross from RE/MAX Select Realty, at 724-933-6300 x214 (office) or 724-779-1437 (direct) or visit my website at www.bestpittsburghhomes.com/relocating.