Any truth to the rumors that Hopewell township will be satisfying its COAH requirements by building more low incoming housing off of rt 31 by Brandon Farms?

Hi Adam,

It's a new year 2009 and inventory in Brandon Farms is slightly lower (townhomes) comparatively speaking. I am a Realtor as well as a Brandon Farms resident. I have recently seen an increase in prices from what they were even 2 months ago. Prices will and have varied depending on location, bedroom number and condition. So your loss maybe less than you think. Besides the school system is still a huge draw. What have also seen is an increase in inventory for larger homes in Hopewell Township under $500K. While I do agree with some of the answers below, there are alot of factors missing from the equation. Like your age, job security, family, long term debts and lifestyle (homebody or traveler), if renting is even an option etc..? Traditionally, should you wait for the value of your townhome to increase be reminded so will the larger home you want to buy and that percentage will most likely be greater. Its time to consult with a Realtor if you have not done so already who can assist you. If you would like to speak further on this please give me a call or email. Enthusiasm and Optimism is key here.

Lynda Schreiber ABR, CRS
R.A. Realtors Inc.
2 Route 31 South
Pennington, New Jersey 08534
609-737-1500 ex 208 http://www.weidel.com/lynda.schreiber

What is your budget? If you're thinking of buying a 4 bedroom center hall colonial for under 500k in Hopewell forget it. You may be able to get a much older house with vintage 1970's decor on a busy street or out in the woods with a leaking sceptic system and a polluted well for about 350-450k but you will need about 600-800k for that big nice house that you want. Your taxes will be about 13k. Even the 4 bedroom town homes in Brandon Farms with 2 car garages are still going for 410-425k. If you move to say Ewing, you could trade in your tiny town home for a 5 bedroom colonial on 3/4 of an acre and pay about 8k in taxes. It would be an even swap. But to trade up and stay in Hopewell would be very expensive. The Hopewell maket has a lot of inventory in the 600k and up range but not much in the 350-500k range. That is why Brandon Farms sells quickly. It really is the only affordable development in the Valley.

Adam,

Mercer County and the area surrounding Pennington have been removed from underwriter's "declining markets list". If you NEED a bigger home this may very well be a good time to do it. Did you do it?

Wayne Smith
Weidel Realtors
908-797-8027

The good thing is your in a townhouse. I just sold 2 townhouses in Brandon Farm this past month in less than 30 days. We priced the house right and they got out right away. The Money you may loose with selling your home you will make up with your New home purchase. If you would like to speak further on this please give me a call or email.
Sita Philion
609-658-2659
Sitaworks4you@aol.com

$10K today may not be $10k 6 yrs from now.

Of course it won't be, but it will be a lot. With 3% inflation it will be nearly 56k, with 5% inflation if over 53k. Its still a lot of money.

Thats all good math.....But with an important piece missing from the response ........in financial planning for the long ter the actual value of $10,000 today vs 6-10 yrs from now is what should complete the previous poster's answer.

$10K today may not be $10k 6 yrs from now.

Do you NEED a bigger house, or just WANT a bigger house?

If you need something bigger, then sell and rent.

If you want something bigger, stick it out. The transaction costs on selling a property, overall, can be about 10%. As you (and NonRealtor) point out, you've already lost $30,000. It'll cost another $18,000-$30,000 to sell it. That's $48,000-$60,000 in hard, cold cash. Money you'll never get back.

On the other hand, if you stay where you are, you've got a $30,000 paper loss. And, yes, honestly, values may well go down further. But in 4, 5, or 6 years, values probably will be back to $350,000. Maybe even higher. Let's say in 6 years you're able to sell and break even. Sell now and lose $60,000 in cash, or sit tight for 6 years and lose nothing. That's a difference of $10,000 a year for the next 6 years. Think of that as the premium for selling now. Do you really want a house so badly that, in addition to buying the new house, you're willing to pay a premium of $10,000 a year for the next 6 years?

Stay where you are. Let that $30,000 paper loss turn into no loss.

Hope that helps.

You are not lucky to have bought when you did because that was just after the height of the market. All area real estate has fallen in value, but the lower end has fallen less than the higher end and the demise took a lot longer to materialize. The bottom line is that as long as you are going to buy a higher end home, you will gain in equity! If you were downsizing, I would not recommend a move. If you want my expert opinion on the current value of your townhouse, send me an email or sign onto my website. My e-mail is Ed@EdMillerProperties.com and my website is http://www.EdMillerProperties.com. Or, you can call me anytime at 609 647-6818.

Kudos Adam for being aware that the market has dropped and hopefully you too see it is continuing to drop. Most recent sellers refuse to recognise this. Fortunately for you, you are considering upsizing as your 10-20 % drop will be far less dollar wise than the drop experienced in the home you purchase. I closed last week on a home that sold last year in Pennington with improvements of over $2M (and my buyers just paid $1.55M) for $450K less. Yes close to 25% drop.
I suggest you sell quick, and rent for a year or so but be on the look out for a steal, if you are ready able and willing you may do very well. I have a couple of listings in Pennington as well as buyers there if you are not working with another agent already.

You put down 70K, you've already lost 30K......you've spent a lot of money on your investment (very bad investment). You should have rented. Rough calculation 30K lost equity, 30K mortgage payments (about $2500 / month for 350K loan), on the low side (you've probably spent more) you spent 60K this year on your house, see what you can rent in your area for 5K per month (60K / 12 months). Probably much nicer house for 5K per month than the one you own. And next year, they'll be cheaper. Good luck

Adam, if your financial situation allows it, you are better off renting a townhouse abd buying a home. Now is not the best time to sell, but is a very good time to either buy, or rent. Good luck to you!

Hi Adam,
Are you in Hopewell Grant or Brandon Farms?

If so & if your townhome is in good move in condition I may have a buyer.....I am working with 2 in that area/community right now in this price range.
Especially if its a 3 bedroom.

Re pricing............prices are down about 8-10 % overall in our area but it all comes down to the individual property.............you may lose but you may be able to offset it by locking in a good interest rate & negotiating a good price or buying something with buyer incentives

Adam the answer to that question lies with you. If you can absord the financial hit and purchase another home that you will stay in for a number of years then the financial loss at this time willbe negliable. Yopu can take avandtage of lowerr overall prices and enjoy a home that meets your requirements in size, but be prepared to live there for a substantial period of time (7 years +). Good Luck