Lee Morof's Real Estate Blog

Thanksgiving is coming soon to Bloomfield Hills homes near you. It may even be coming to your home, bringing friends, family, good food and happy memories. In the midst of all the activity, take time to think about what you’re thankful for this year.

The last year has been hard for hundreds of thousands of individuals and families. Some who, at the beginning of the year, had a good job, nice house they could afford, 2.5 kids – you know, living the American dream – are now trying to figure out where their next meal is coming from. Some are trying to figure out where to sleep tonight.

Many homeowners – those with Bloomfield Hills homes and homes elsewhere across the nation – seem to think these people must have “done something” to be in their current situation. They believe that as long as they don’t “do something,” they won’t experience similar problems.

This belief is far from the truth. Not all, but most, Americans struggling today paid their bills on time, went to work every day and were just regular, responsible people. Their place of employment closed or their jobs were cut and, with hiring freezes, they couldn’t find new jobs. They could no longer afford their mortgages. The banks foreclosed. This is the true story of all too many people across the U.S.

Did they really do anything? Could they have stopped the companies from letting them go or closing? Could they have forced someone else to hire them?

As Thanksgiving draws near, I urge you to take a look at your own situation. Whether you hate or love your job, be thankful you still have one, when thousands don’t. Look around your warm, safe home and be thankful you can still afford it – even if it’s underwater and/or losing equity. You know where your next meal is coming from – even if you can’t decide whether it’s chicken or burgers tonight.

Be thankful for your Bloomfield Hills homes, your jobs, your families and your good, full life. I know I am. This Thanksgiving, take time to let go of the cares of the world; just enjoy what you have and with whom you have to share it.

Finally, I’d love to hear what you’re especially thankful for this year, so please feel free to add your comments below. I wish you a Happy Thanksgiving for many years to come!

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

If you’re looking for ways to save money this Thanksgiving, I have a few tips for you.  As an added benefit, you’ll also be helping the environment when you implement these ideas.

1. Bring in the outside:  A lot of people in your Bloomfield Hills home, plus the heat from the oven, can make even a November day uncomfortably hot.  Instead of turning on the A/C, open some windows to cool your home down.

2. Buy only a few organic foods:  Organic food is usually more expensive than conventionally grown food.  Instead of buying a lot of organic groceries, purchase only key organic items that are most likely to transmit pesticides to you.  Check out the Dirty Dozen list to discover the produce you should consider purchasing from the organic section for your holiday meal.

3. Compost:  Add your Thanksgiving fruit and vegetable trimmings to your Bloomfield Hills home’s compost bin, or start one if you don’t already have one. Next year’s garden will thank you.

4. Eat locally grown food:  Depending on where you live, there may not be much locally grown produce available in November, but there are other foods you can purchase locally.  Apples and apple butter top my list of things to buy locally this fall.  Purchase turkeys and chickens grown by local farmers.  Buy delicious homemade pies and bread at your local farmer’s market.

5. Plan a potluck:  Instead of doing all the work yourself, make this turkey day a potluck.  It’s easier and cheaper for you, and allows family and friends to feel more a part of the event.  This is a wonderful new tradition you can start, which others may well continue for years (and generations) to come.

6. Save leftovers in glass jars:  Instead of putting leftovers in plastic bags or Styrofoam containers, use glass jars.  Save glass jam jars or spaghetti sauce jars and reuse them to package leftovers.

7. Wash and reuse:  Use cloth napkins and tablecloths that can be washed and used again.  If you don’t already have some, consider making your own cloth napkins out of material you already have in your Bloomfield Hills home.  Not only are they eco-friendly and inexpensive, they’re also elegant and attractive.

Don’t stress about doing everything perfectly.  Putting just a few of these ideas into practice saves money and the environment. 

I wish you and your loved ones a very warm and happy Thanksgiving!

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

Don’t you just love it when the evening news finally shares some good news?  I do too!  So, I want to do my part and share some good news with you today:  Bloomfield Hills homes and homes nationwide are becoming more affordable.   In fact, according to the National Association of REALTORS®, housing affordability is close to reaching an all-time high. 

Big Benefit to Buyers

Exactly how does this benefit the buyers of Bloomfield Hills homes?  A typical buyer can pay much less in mortgage costs for the same home, or buy a better home without increasing their monthly payment.

Reasons for Improvement

There are several reasons housing affordability is improving:

1. Lower mortgage rates.  The primary reason Bloomfield Hills homes are now more affordable is that we have the lowest mortgage rates in history. 

2. Declining house prices.  As with all things real estate, local markets dictate housing prices, but, overall, prices of homes have dropped across the nation.  Some markets encountered only minimal price declines while others experienced major declines.

3. Higher wages.  You probably don’t feel like there’s been an increase in wages, but there has been a small one.  In 2009, the average wage rate rose 3 percent and is up an additional 1.2 percent so far this year.

The Bottom Line

If you’d like to buy a home, have good credit and a steady job, the real estate market has never looked more favorable.

Ready to buy a home?  Let me help you find the home of your dreams and get it at a great price.  Call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

As a potential buyer of a Bloomfield Hills home, you may be looking at foreclosures as a way to get a good home at a great price. The Saga of the Housing Bubble continues, however, and it might just have you, the homebuyer, looking at regular housing with a more favorable eye.

In October, numerous mortgage services voluntarily suspended foreclosures nationwide, including Bank of America, J.P. Morgan Chase, Litton Loan Servicing and GMAC Mortgage/Ally Financial. The suspensions include pending foreclosures as well as foreclosure sales, as the mortgage services investigate flaws in their foreclosure processes. For those of you looking at a foreclosed Bloomfield Hills home through one of these companies, it may be a long wait.

Twenty-three states initiated a foreclosure moratorium. In addition, they have begun probing all lenders’ foreclosure processes in those states. Thanks to nationwide, coordinated efforts of State Attorneys General, 17 more states as well as 17 non-judicial foreclosure states have expressed interest in joining the probes. In short, a foreclosure freeze “craze” has begun, upsetting real estate investors and homebuyers alike.

In general, this craze isn’t expected to last long. As well, the lenders don’t expect to find many problems because most foreclosures are believed legitimate. In short, it seems to be simply a matter of improperly reviewed and improperly handled foreclosure documents. Although it’s only expected to last a few weeks, some buyers are left sitting with an offer on the table and no closing.

With the foreclosure processes in question and sales halted, buying a foreclosed Bloomfield Hills home may not be as ideal as you think – at least for a little while. Don’t give up hope on owning your own home, however. Instead, take a few minutes to look over the other homes for sale. Your dream home and great deal may not be a foreclosure after all!

If you’re looking for a beautiful home of your own, I can help. Call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

You know you’re going to pay a mortgage for however many years once you sign the paper on a Bloomfield Hills home. You know your agent is going to get paid for the absolutely wonderful, fantabulous, expert job he or she did to help you find the home of your dreams. What you may not be expecting, however, are the closing costs. 

The saying goes “nothing’s guaranteed except death and taxes,” but you can add “closing costs” in there. Now, I’m sure the mortgage was expected, and you don’t mind your agent earning a bit, but what the heck is this “closing cost” business? While the government forms explain them, they might as well have been written in chicken scratches; government lingo has never been exactly easy to understand.

Be Prepared to Pay
“Closing costs” is a catch all term for all the expenses that wouldn’t fit under a convenient title like “mortgage.” Be prepared, because they can range anywhere from 3% to 8% of your total loan. For example, if you have a $150,000 loan, your closing costs could be anywhere from an additional $4,500 to $12,000.

What are you paying for?
Aren’t you already paying for the Bloomfield Hills home? What’s with these closing costs? It probably feels like hidden fees, but they aren’t. Here are just a few of the fees you might end up paying, depending on the lender and the circumstances:

• Prorations – The allocation of property taxes, interest, Home Owner Association dues, insurance premiums or rental income between buyer and seller proportionate to time of use.  For example, if the property tax is paid up to a period after you close on the house, the seller might be entitled to reimbursement.

• Appraisal Fee – The fee charged for a written appraisal by a qualified person setting forth an opinion of a property’s fair market value.

• Fire Insurance – Just in case you burn the house down after you buy it, lenders might require you to have a fire insurance policy.

• Purchase Points – These are known as “discount points,” or just “points,” but it’s more like “pay the lender less now or pay the lender more later.” Each point costs 1% of your loan amount and reduces your interest rate for the life of your loan (usually by fractions of percentages). Since it can take a few years for the lower payment difference to offset the initial closing cost, paying for points is probably only a good idea if you plan to live in the house for five years or longer.  With interest rates as low as they are now, it may not be a good use of your hard earned income.

The good news is you won’t have to guess what the closing costs are for your new Bloomfield Hills home. The lender is required to give you a list of the closing costs and the potential cost of each, so you won’t be completely surprised.

If you have questions closing costs or any other real estate related questions, I’m happy to help. Call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

Leaves are starting to change color, nights are getting cooler and pumpkins are appearing on porches of Bloomfield Hills homes.  All signs that fall is here.

That means it’s time to do fall preventative maintenance on all Bloomfield Hills homes.  To help you get started, here’s a quick checklist:

• Have a professional heating contractor inspect your Bloomfield Hills home’s heating system.  An annual furnace inspection ensures that your heating system is operating at peak efficiency and most importantly that it is running safely.

• Replace your furnace filter.  Furnace filters need to be replaced frequently to allow your heating system to operate properly.

• Hire a certified chimney sweep clean.  Have him inspect your wood burning stove or fireplace and clean the chimney.

• Check your home for water damage.  Look for water stains on the ceilings or leaks under the bathroom and kitchen sinks.  This minor water damage may seem trivial, but can lead to real problems, like a weakened roof or rotten boards.

• Prepare your pipes.  Every year, approximately a quarter-million families have their homes ruined due to water pipes that freeze and burst.  Prepare your pipes, both inside and outside, before the cold weather hits.  Caulk around pipes where they enter your Bloomfield Hills home.  Insulate pipes in unheated areas.  If you have a separate valve for outside faucets, shut it off.  If you don’t have a separate valve to turn off outside faucets, wrap outside faucets or hose bibs.

• Tend your garden tools and equipment.  Run all lawn equipment until the gas is gone.  This removes flammable liquid from your garage.  Drain water from garden hoses and sprinklers.  Clean shovels, hoes, trowels and spades

• Inspect your smoke and carbon monoxide alarms.  Replace batteries and clean the alarms if needed.

• Examine caulking.  To prevent water from seeping into the sub-floor, inspect and repair the caulking around your bathroom fixtures.  To reduce heat loss, inspect and repair the caulking around doors, windows and outlets.

Want more home maintenance tips like these?  Subscribe to my blog now.  It’s free, fast and easy.  Or, email me at info@NorthWoodwardHomes.com, and I’ll set up your free subscription for you.

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

It happens to everyone at some point. You walk away from the closing table wondering if you made the biggest mistake of your life. Did you sell your Bloomfield Hills home for less than it was worth? Will you be able to create new memories in your new home? This is called seller’s remorse. 

Here are some tips to prepare for it and survive it:

• Seller’s remorse is a fear, and you should deal with it just like you would any other fear.  Talk about it with your friends, family, and real estate agent. They can listen to you and reassure you that you made the right decision.
• Remind yourself of the facts. Facts are the opposite of fear, and they will help take your focus off your fears. If you are moving because of a job relocation, you had to sell your home. If you had to sell your home because you couldn’t afford it, whatever you got for the home is better than ruining your credit.
• Find out what other Bloomfield Hills homes are selling for. Look through the classifieds. Drive around town. Ask your real estate agent.  When you see what other homes have sold for, you can rest assured that you got a good price. Remember to look at the sale price instead of the asking price.
• Treasure your memories. The memories go with you when you leave; they are not confined to four walls and a roof.
• Look to the future.  Now, it’s time to start a new chapter in your life and make fresh memories in your new home.  Enjoy this new turn your life is taking.  Look back fondly, but embrace your new path.

Let me help you get top dollar for your Bloomfield Hills home so you can avoid seller’s remorse. Call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

Selling a home is sometimes a long process. You can sit around worrying and wondering when you’ll have a buyer, or you can get busy to help the time fly.  Here are 10 things to do while waiting for your Bloomfield Hills home to sell:

1. Clean. I’m sure you’ve already cleaned every part of your Bloomfield Hills home to prepare it for sale. Make a game of it this time.  Time yourself to see how fast you can clean one room or one drawer.  Or, take out every type of cleaner you have and use it in each room.

2. Plant a container garden. The best part of a container garden is that you can take it with you. Plant some herbs or easy to grow vegetable plants, like tomatoes or cucumbers.

3. Sort through your magazines. Now you have the time to read all those magazine articles you’ve been saving.  Cut out coupons and recipes.  Send articles to your friends to let them know you’re thinking of them.  Throw out the magazines when you’re finished.

4. Clear the pantry and freezer. You don’t want to take all your excess food with you when you move. Clean out the pantry, and donate supplies to your local homeless shelter or food pantry.  Eat something from your freezer every day until it’s all gone.

5. De-clutter and eliminate.  Clean out your makeup stash. Weed through the kids’ toy box. Do any small task that will lighten your moving load.  Ask yourself, do I really want to pack this item, move it and then unpack it?  If the answer is no, pitch it or give it away.

6. Finish crafts. Go ahead and finish the quilt or scrapbook you’ve been working on. This will help clean out your craft closet and will make packing your craft supplies that much easier.

7. Empty your medicine cabinet. Do you really need that bottle of medication from your surgery 12 years ago? Toss anything that’s out of date or that you no longer need to keep.

8. Save your digital photos to a disk. Choose only the photos you want to keep and save them to a CD or flash drive. You never know when your computer is going to crash.

9. Have a yard sale. You need to clean out your closets anyway. You might as well make some money off the items.

10. Throw a barbeque. Take the proceeds of your yard sale and have a barbeque for you and your neighbors. Think of this as a going away party.

Take advantage of the time you have while waiting for your Bloomfield Hills home to sell.

Need help selling your home?  Call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

If higher electric rates and lower budgets have you searching for creative ways to cool your Bloomfield Hills home without spending more, read on:

1. Stop generating heat.  Turn off your computer and monitor when not in use.  Lower the thermostat on your water heater.  Air dry your dishes instead of using your dishwasher’s dry cycle.  Grill outdoors or use your microwave instead of your oven.

2. Install shades or blinds.  The best way to keep your Bloomfield Hills home cool is to keep the heat out.  White window shades, drapes, or blinds reflect heat away from your house. Close blinds, shades and draperies facing the sun to keep the sun’s heat out and help fans or air conditioners cool more efficiently.

3. Use a programmable thermostat.  Automatically adjust your air conditioner’s  setting at night or when no one is home.

4. Improve your air conditioner’s efficiency.  Add insulation around A/C ducts that are in hot spaces such as attics, crawl spaces and garages.  Make sure your fireplace damper is closed.

5. Turn on a fan.  Whether you use a box fan, a ceiling fan or an oscillating fan, this one appliance can make your room feel 6 to 7 degrees cooler.  You can keep a fan on for 12 hours a day and still spend less than $10 a month on electricity for it.

6. Open your windows.  Once the sun goes down, and it gets cooler outside than inside, turn off your A/C and open your windows.  Getting a breeze of fresh air after your home has been closed up all day is very refreshing.

7. Run your furnace fan.  Check your thermostat to see if it allows you to run your furnace fan without engaging the furnace or air conditioner.  By running your furnace fan, the air circulates throughout your home balancing out any cold or hot spots.  This makes your entire home feel more comfortable.  Additionally, allergens that entered your home when your windows were open (see tip 6) will be trapped by the furnace filter. 

8. Move heat generating appliances.  Don’t place lamps or TVs near your air conditioner’s thermostat. The heat from these appliances will cause the air conditioner to run longer.

9. Live in your lowest level.  Because heat rises, the basement and first floor of your home are naturally cooler than the upper levels.  Spend as much time as possible in the lowest levels of your home this summer.  If the majority of your time is spent there, you may want to close up the A/C vents in the unused upper levels to save even more money.

10. Hang laundry outside to dry.  Your clothes dryer is like a spinning oven.  Don’t heat up your home by turning it on.  Instead, go for the green fix and hang your laundry outside to dry.  If your neighborhood bans outdoor clotheslines, wait until the cooler evening hours to use your dryer. 

Stay cool and enjoy your summer for less!

How do you save on energy bills?  I’d love to hear your ideas.  Post a comment here, or email your tips to me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

When most of us think of Fourth of July festivities, we think of fireworks and food, especially barbeque.  In fact, the Fourth of July is one of the most popular days of the year for barbequing. Many invite family and friends to their Bloomfield Hills home and throw burgers, hot dogs or ribs on the grill.

Unfortunately, some barbequers unknowingly give their family and friends a healthy dose of bacteria along with the food.  To keep your family and friends healthy over the holiday, while still enjoying this summer activity, follow these meat safety tips at your Bloomfield Hills home:

Avoid cross contamination
When you go to the grocery store to buy meat and other foods, keep the raw meat separated from the rest of the food to lessen the chance of cross contamination. Make sure the raw meat is wrapped in plastic bags, again, separated from other meat and foods. Even packaged raw meat can leak, and you want to keep the juices from seeping onto other food.

Head Home
The summer is hot for most areas of the country. Even if you have air conditioning in your car, you want to go straight home from the grocery store. The longer food is exposed to heat, the more chance it has of gaining a nice bacterial growth. Make sure the grocery store is your only, or last, stop before heading home.

Refrigerate
When it’s hotter than 90 degrees, food needs to be refrigerated within the first hour of leaving the store. If it’s less than 90 degrees, you have two hours. Freeze any meat or poultry you won’t be using in a day or two, but make sure everything is refrigerated as quickly as possible.

Thaw Carefully
If you’re going immediately from thawing to the grill, you can use a microwave to defrost. However, for the safest methods, either slowly thaw in the refrigerator over a period of a day or two, or use cold water and sealed packages.

Transport Cold
If you aren’t barbequing at your home and need to transport the meat, transfer the meat immediately to an insulated cooler (40 degrees or below) right before leaving home. As well, make sure you keep the cooler out of direct sun, which can reduce its efficiency at keeping food cold.

Serve Hot
Keep the food hot (140 degrees or warmer) until it’s served. You can set the meat at the side of the grill rack or on a warming tray. Use a clean serving platter rather than the same plate that held the raw meat.

By following the above tips, you’ll help your family and friends have a happy, healthy Fourth of July.

Looking for Bloomfield Hills real estate to celebrate next year’s Fourth of July in? I can help. Call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
Associate Broker/Attorney
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640