The Commonwealth of Massachusetts derives revenue (read: Money) from the sale of real estate through the sale of State Tax Stamps (yes, many years ago they were actual 'stamps' affixed to the deed. Now, they are just numbers on the deed which shows the amount removed from the Seller's wallet).
The amount of the excise tax stamp differs from time to time depending on the action of the State General Court. In Worcester County and Northern Worcester County, the seller, by custom, is obligated to pay for the amount of this stamp tax (excise tax) just as the buyer is accountable for paying the recording fee for the deed and his/her mortgage.
The money paid for the tax stamps is income to the Registry and is forwarded to the Commonwealth of Massachusetts Department of Revenue. The current tax stamp rate is $2.28 per $500.00 of sale price (or $4.56 per $1,000.00 of sale price).
Lets assume you sell your house for $400,000 in Massachusetts: You must pay the State of Massachusetts (what is in essence) an Excise Tax in the amount of $1,824.00 for the privelidge of selling your property in the Commonwealth of MA.
As I said in the title - Tax-achusetts gets you both coming and going!
Monday, May 5, 2008
Tuesday, April 29, 2008
Gerry Bourgeois is Quoted in the Sentinel & Enterprise
I was quoted on Sunday - April 27th, 2008 in the Leominster/Fitchburg Sentinel & Enterprise.
http://www.sentinelandenterprise.com/local/ci_9074609
http://www.sentinelandenterprise.com/local/ci_9074609
Wednesday, April 23, 2008
When is a Clause Not a Clause...
Language is Very important; in life, in love and in real estate. For those who are not represented by Legal Counsel (read: Attorney, Lawyer, etc.) a keen understanding of Language is extremely important! So is the importance of having legal counsel.
Read this clause for example:
"Subject to the Seller entering into an accepted offer on a property within 'X' days of acceptance of this offer."
If the Seller enters into an accepted offer on their new property within the specified time frame but the Seller's deal on their new property falls apart at some point before closing, what happens:
A) The sale on the Seller's house they are in now terminates.
B) The Seller must go through with the sale to the current buyer on their present property.
What do you think (and why)?
Read this clause for example:
"Subject to the Seller entering into an accepted offer on a property within 'X' days of acceptance of this offer."
If the Seller enters into an accepted offer on their new property within the specified time frame but the Seller's deal on their new property falls apart at some point before closing, what happens:
A) The sale on the Seller's house they are in now terminates.
B) The Seller must go through with the sale to the current buyer on their present property.
What do you think (and why)?
Tuesday, April 22, 2008
Stonegate Village in Sterling, MA 01564
OK... I am very glad to have the opportunity to represent Fossile Builders with their Townhouse complex of 14 Units in Sterling, MA 01564! This is an amazing opportunity to live in Sterling for Under $240,000!
Located just minutes from I-190 and Route 2, easy access to shopping as well as major employment areas make this opportunity one that is not to be missed!
10 of 14 units are still available. 3 are "ready To Go"!
Sunday, April 20, 2008
Wednesday, April 16, 2008
Have You Seen one of the Finest Homes in Central MA?
There are Few homes like this one... And even fewer Opportunities to be able to Own One!
Friday, March 28, 2008
Spring Market is Upon Us...
More Real Estate Words of Wisdom from Gerry 'Realtyman' Bourgeois:
Well... The Spring Market is upon us. What's happening in North Central MA, you ask? Nobody really knows for sure. Mortgage rates are still very low (historically) - around 6% for a 30 year fixed rate. 100% financing is all but gone. OK, 100% LTV may be available in SOME instances, however they are few and far between. FHA is making a 'comeback' but buyers still need to bring Money to the table (quite a novel concept).
Sales are actually increasing (units, that is) but there is still quite a bit of pricing pressure. Homes which are priced correctly relative to the current market (not 2004 values) can - and DO - Sell!
We are seeing more activity in the lower end of the market for single family homes. However, we are also seeing the 'upper-end' getting cherry picked. The good upper-end homes are selling. The real challenge is in the middle of the market. It is very hard for the middle to find any direction right now. Also, many who are in the middle are reluctant to make a decision.
Due to pricing in addition to financing constraints, the condo and multi-family markets are faring Far Worse than the Single Family market. And until the supply/demand curve shifts - I don't see that part of the market getting better (price wise) any time soon.
In the 18 years of selling homes in North Central MA I have yet to see a better time to 'trade up' to a "better" single family home as I do now. This is a result of the current pricing pressure combined with the low cost of mortgage money. (Remember: at 6% over 30 years - $100,000 costs only $600 per month (P&I)).
Only time will tell when we hit bottom. Unfortunatley we will only know that we have hit bottom once we are about 6 months past it. At that point, mortgage rates will most likely be higher - and the only one who wins there are the banks.
Here's to hoping that the Spring Market units continue to remain strong!
Well... The Spring Market is upon us. What's happening in North Central MA, you ask? Nobody really knows for sure. Mortgage rates are still very low (historically) - around 6% for a 30 year fixed rate. 100% financing is all but gone. OK, 100% LTV may be available in SOME instances, however they are few and far between. FHA is making a 'comeback' but buyers still need to bring Money to the table (quite a novel concept).
Sales are actually increasing (units, that is) but there is still quite a bit of pricing pressure. Homes which are priced correctly relative to the current market (not 2004 values) can - and DO - Sell!
We are seeing more activity in the lower end of the market for single family homes. However, we are also seeing the 'upper-end' getting cherry picked. The good upper-end homes are selling. The real challenge is in the middle of the market. It is very hard for the middle to find any direction right now. Also, many who are in the middle are reluctant to make a decision.
Due to pricing in addition to financing constraints, the condo and multi-family markets are faring Far Worse than the Single Family market. And until the supply/demand curve shifts - I don't see that part of the market getting better (price wise) any time soon.
In the 18 years of selling homes in North Central MA I have yet to see a better time to 'trade up' to a "better" single family home as I do now. This is a result of the current pricing pressure combined with the low cost of mortgage money. (Remember: at 6% over 30 years - $100,000 costs only $600 per month (P&I)).
Only time will tell when we hit bottom. Unfortunatley we will only know that we have hit bottom once we are about 6 months past it. At that point, mortgage rates will most likely be higher - and the only one who wins there are the banks.
Here's to hoping that the Spring Market units continue to remain strong!
Monday, February 11, 2008
Buyer Activity Increasing in Central MA
As of the past week I, as well as my agents at Towne & Country, Realtors, have seen an uptick in buyer activity. Internet inquiries as well as phone inquiries have increased significantly. Showings are up across the board and offers are not only being seen but several have been accepted or are in negotiations.
It appears that buyers are taking advantage of the combination of low mortgage rates and soft prices.
Properly priced homes will still sell in this market.
Keep educating yourself on the market because when it turns we will be past 'the bottom' of the market before anyone will see that we were 'there'.
It appears that buyers are taking advantage of the combination of low mortgage rates and soft prices.
Properly priced homes will still sell in this market.
Keep educating yourself on the market because when it turns we will be past 'the bottom' of the market before anyone will see that we were 'there'.
Thursday, January 24, 2008
More Declines in Home Pricing to come!
This is what we are seeing today in many of the major financial news sources outlining a report from Merril Lynch.
Although there still appears to be no shortage of homes for sale at this time, and nobody knows for sure what the future holds, bear in mind that this is just one analysis and they are looking at the real estate market Nationally!
Remember, real estate is, and has alwas been, LOCAL. Arm yourself with accurate data from a pro in your area before making a decision. There are some good deals out there. Also bear in mind that Homes Are Still Selling!! Not all of them mind you, but propertly priced homes do sell.
Although there still appears to be no shortage of homes for sale at this time, and nobody knows for sure what the future holds, bear in mind that this is just one analysis and they are looking at the real estate market Nationally!
Remember, real estate is, and has alwas been, LOCAL. Arm yourself with accurate data from a pro in your area before making a decision. There are some good deals out there. Also bear in mind that Homes Are Still Selling!! Not all of them mind you, but propertly priced homes do sell.
Wednesday, January 23, 2008
Leominster, MA 01453 Real Estate Market Update
Not Much Is Happening, Except...
Fed Drops Key Rates! Huge Stock Market Swings! Fixed Mortgage Rates back to near 40 Year Lows!
Wow! There are a lot of big things happening right now. Unfortunately there is so much happeing right now which people are paying attention to that they may not see the opportunity that is at hand.
Low Mortgage Rates, A Beatten-Up Housing Market, Lots of Inventory, and a very Compressed Market (at least in the Leominster, MA and Greater Central Massachusetts area)! In the 17+ years of 'full time' real estate sales, this is one of the Best times to Buy UP that I can remember.
When looking at the relatively LOW cost of money combined with the fact that you can get so much more house for not a lot of additional cost per month (at least in the Leominster, MA 01453 area) at this point, it is almost shocking that more people don't take advantage of this opportunity!
Look at the listings on www.RealtyMan.com and see the difference of a home for sale for $250,000 compared to a house for $350,000. There is a Huge difference! And, for less than $600/month (reflective of P&I on a conventional 30 year mortgage loan - contact your lender for full details).
Fed Drops Key Rates! Huge Stock Market Swings! Fixed Mortgage Rates back to near 40 Year Lows!
Wow! There are a lot of big things happening right now. Unfortunately there is so much happeing right now which people are paying attention to that they may not see the opportunity that is at hand.
Low Mortgage Rates, A Beatten-Up Housing Market, Lots of Inventory, and a very Compressed Market (at least in the Leominster, MA and Greater Central Massachusetts area)! In the 17+ years of 'full time' real estate sales, this is one of the Best times to Buy UP that I can remember.
When looking at the relatively LOW cost of money combined with the fact that you can get so much more house for not a lot of additional cost per month (at least in the Leominster, MA 01453 area) at this point, it is almost shocking that more people don't take advantage of this opportunity!
Look at the listings on www.RealtyMan.com and see the difference of a home for sale for $250,000 compared to a house for $350,000. There is a Huge difference! And, for less than $600/month (reflective of P&I on a conventional 30 year mortgage loan - contact your lender for full details).
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