Ask Eli

This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Question: How do you think Trump’s presidency will impact real estate in Arlington/Northern Virginia?

Answer: I’ve never gotten so many questions about the same topic before (shocker…)! Like most of you, I entered election night completely unprepared for the result, so I’ve spent a lot of time getting read up on the impact Trump will have on our real estate market. The following is a summary of my findings sans my personal politics. Chicken Littles beware, I’m an optimist!

The Outlook Is Positive

Most of what I’ve read suggests that the Northern VA real estate market stands to benefit in the short and mid term from Trump, but the long term impact is where the concern lies. Key factors include:

• Increased Defense Spending: More jobs, more office space and more money for the major Defense employers in the area like DoD, Boeing, Lockheed Martin and Raytheon should increase demand for housing, particularly in the mid and upper markets.
• Tax Cuts: The assumed tax cuts should give a number of fringe buyers enough cash to cover a down payment sooner than they expected. I wonder if this will encourage developers to convert large multi-family buildings from rental apartments to condos.
• Deregulation: Expect major deregulation on banks (Dodd-Frank) and home building to make it easier and cheaper to build new homes, thereby increasing the housing supply, which, in Arlington, is less than half of what economists say it should be in a neutral market. I do expect we’ll see increased demand well before an increase in supply.
• Markets: After the election-night 5% tumble in futures, domestic markets have responded positively, signaling faith in the economic impact of Trump’s presidency. Strong markets tend to signal strong real estate growth.

Still Too Much Uncertainty

Ken Harney, Real Estate writer for the Washington Post, recently admitted, “It’s still too early to assess [the new reality of the real estate market].” Despite early optimism from many industries, a lot of it comes down to Trump’s design and implementation before we can determine the impact. Here are a few major questions:

• Foreign Policy: Trump’s foreign policy changes project to be the biggest destabilizing factor of his presidential agenda and poorly executed foreign policy could easily trump (pun intended) any domestic growth. It’s way too early to start guessing how his foreign policy will impact local real estate, but it’s not too early to start hoping he gets it right!
• Fannie/Freddie: One of the biggest questions facing the residential housing market is how Trump will handle Fannie Mae and Freddie Mac, makers of the mortgage industry. Trump has spoken about dissolving these institutions, but hasn’t said much about what would replace them. If he leads a major attack on Fannie and Freddie, look out for drastic changes in access to credit and mortgage rates, for better or worse.
• Interest Rates: It’s time for us to stop telling consumers where we think mortgage rates are going, especially now that there are so many questions about the economy and turnover on Fed’s Board of Governors. Lynn Fisher, VP of Research and Economics for the Mortgage Bankers Association said interest rates might rise from the current 3.6 percent to 5.4 percent by 2019, but she added, “We’ve been wrong continuously for the last couple of years.”

Remember Where You Live

Arlington (and DC Metro) real estate remains one of the most stable real estate investments during difficult economic climates. We faired well during the Great Recession and Business Week ranks us among the top places to live during a recession. Strong fundamentals including Federal Government/Contractor jobs and valuable infrastructure like the Metro and an industry-leading fiber optic network support the local housing market.

The best advice I can give (mostly stolen from Warren Buffet) is don’t try to time the market, bet on America in the long-term, and make real estate decisions based on the needs of you and your family, not the talking heads on CNBC. Oh, and if you decide to bury gold in your backyard, do it quietly, after midnight and during a New Moon.

Here are some good articles I’ve found that hit on a range of topics that impact the local and national real estate market:

How Trump’s Presidency Could Impact Real Estate

Impact on 15 industries including Real Estate, Defense, and Banking

N.Va. economy, housing market in flux as Trump readies for presidency

Positive Outlook On D.C. Office Market

How President Trump Will Change the U.S. Housing Market

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Question: My husband and I own a townhome in a small but popular community.  There is one unit that has been on the market for a few months because it was a rental for many years, is in very bad shape, and frankly, overpriced.  How can the performance (or lack thereof) of this property impact our ability to sell our unit, which is in great condition and move-in ready?  Should we try to sell ours sooner rather than later to avoid a low-end comp in the neighborhood or will other agents understand this is not a true “comp” for our unit?

Answer: This question may seem specific at first, but it applies to many communities in Arlington across all types of housing — condos, townhomes and single family homes — that are similar in size, design, floor plan and value. It’s a fairly common question I get from owners considering a sale and concerned about a problematic listing in their neighborhood.

Assumptions

• Your home is comparable to the problem home
• Most/All of the homes in your neighborhood are comparable
• It’s clear the other home isn’t in great condition when you look at the pictures online and when you see it in person
• Your home is clearly a notch above, will show better, and will photograph better than the problem home
• There are not any other similar listings in your neighborhood

List Soon For Higher Sale Price

Chances are that interested buyers will look at both homes and your neighbor’s poorly maintained home will make yours look even better (increased relative value). You can use your neighbor’s overpriced home to your advantage by pricing yours slightly above market value and leveraging the fact that your home is a bargain compared to the neighborhood competition. So by listing now, while the other property is on the market, you have an opportunity to command an above market sale price.

Impact Of A Bad Comp

Your question about the impact a lower comp can have (if you decide to wait) is relevant, but the impact will be limited as long as it’s clear in the listing photos and sales data (high days on market) that there’s a significant difference between the homes. As long as there are some other sales in the neighborhood of homes more representative of yours, I wouldn’t worry too much about it from a sales standpoint.

One area that the impact could be felt is on the appraisal. If the problem home sells for significantly below the market value for homes in your neighborhood and is one of the only sales in the last 6 months, most appraisers will factor this into their assessment. Any time a home is purchased with financing, the bank requires an appraised value at or above the sale price, and low appraisals can cause problems. However, a good listing agent understands how to manage the appraisal process and help guide the assessed value in the right direction, which should be fairly simple in your case.

What’s the takeaway here? In many cases, it can work in your favor to list your home in direct competition to a similar, but worse home in your neighborhood because it improves the relative value of your home. One scenario I recommend being careful of is competing against a poorly maintained home that is priced significantly under market value because buyers might get estimates from a contractor on the cost of updating the cheap home and end up making your home look overpriced, even if it’s not.

Have a question about local real estate? Don’t be shy! Send me an email at [email protected] or tweet me @EliJTucker with your question and I’ll answer it in a future column.

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

Question: Why do I see different counts for the number of days a property has been listed for sale depending on the website I visit? What are the rules around agents resetting days on market?

Answer: Days on market is one of the most important data points when determining an appropriate offer:

• The longer a property has been on the market, the more likely a seller is to accept a reduced sale price
• Higher days on market = more leverage for buyers
• Sellers are most likely to fight for full asking price during the first couple of weeks
• You’re most likely to encounter multiple offers in the first week

The chart below shows the average sale price to original list price ratio based on the number of days a property has been on the market (100.00 = sold for full ask). On average, a property that sells in the first 10 days goes for above the asking price and after 30 days, the average seller takes a 4% reduction from the original asking price.

Days On Market – Property (DOMP)

DOMP is the number you want to focus on because it’s the number of days a property (based on the address) has been actively marketed for sale and it’s difficult to reset this number (see Resetting DOMP section).

Days On Market – MLS (DOMM)

DOMM is the number of days a listing has been actively marketed for sale. A listing is the individual record created by an agent to market a property for sale. It’s easy (and legal) for agents to reset this number as many times as they’d like by re-listing a property for sale. MRIS (see last week’s article for definition) makes it pretty easy for agents to do this and it’s common to see this action taken after a large price reduction because it gives the new listing more visibility to the public by, for example, popping back up in buyer’s automated searches as a new listing.

Resetting DOMP

The only way to reset DOMP is to withdraw a property from the market for 90+ days. This is an MRIS rule and may be different in other markets outside of the MRIS coverage area (VA, DC, MD, and parts of WV, PA, and DE). It’s somewhat common for a seller who’s not in a rush to remove an unsold listing from the market before the winter and allow the DOMP count to reset prior to re-listing in the spring.

How Do You Know?

Be careful, most public-facing websites use DOMM because they track the number of days the listing, not the property, has been on the market. Most good real estate search websites offer a “property history” section where you can view previous sales, when it’s been listed, taken off market or had a price reduction. MRIS has data fields specifically for DOMM and DOMP so your agent can easily provide this information and if you receive listing information from your agent directly from MRIS, those data fields are easily viewable.

Understanding the impact days on market has on final sale price is critical for buyers and sellers to maximize their value. The impact varies by locality and by the type of housing, so it’s important to also understand your market.

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Question: Can you explain what an MLS and MRIS are and how they relate to home sales?

Answer: I got this question from a few people after last week’s article about the type of data available to agent’s, that’s not available on consumer-facing sites. Over the years, I’ve found that a lot of people are familiar with the terms MLS and MRIS, but not quite sure how it ties into the real estate sales process. The following explanation is 100% my own, in an attempt to simplify it for ease of understanding.

What is a MLS (Multiple Listing Service)?

An MLS is a real estate information exchange platform and database created by cooperating residential real estate brokerages to improve the efficiency of their real estate market. As a privately created and managed organization, each MLS is primarily funded through the dues of the brokerages and agents within the market it serves. There are hundreds of MLS’s across the country and each operates under its own direction and rules & regulations. The information you find on consumer-facing websites like Zillow, Realtor.com and Homesnap comes from various MLS’s and each MLS has the right to negotiate its own relationship (syndication agreements) with these sites and determine what information is made available. I recall reading something last year about an MLS in Pennsylvania that was considering blocking 100% of their data from Zillow.

What is the MRIS (Metropolitan Regional Information Systems)?

MRIS is the MLS that serves our region including Virginia, Washington DC, Maryland and parts of Pennsylvania, West Virginia and Delaware. It is one of the largest MLS’s in the country by size and geographic area and supports nearly $125B in annual real estate sales. Having an MLS that services such a large area provides substantial value to the consumer because it allows sellers, who work with an agent, access to a wide audience and ensures that buyers searching online will see the same homes for sale, regardless of which website they’re on.

The Executive Committee and Board of Directors is made up of representatives from the region’s major brokerages and directs the business of MRIS, which has developed into a full-blown software, services and technology company consisting of familiar roles such as Director of Marketing, Director of Customer Support and Chief Operating Officer. MRIS leadership has adopted a strict set of rules & regulations to provide data uniformity and ensure fair play.

The primary interaction agents have with MRIS is through the online portal to enter their listings (homes for sale) and search for homes for sale on behalf of buyer clients. Agents can send listing information directly to clients via MRIS, but some brokerages and 3^rd party vendors have built slick programs that interface with MRIS and allow for a better agent-to-client interface using MRIS data. MRIS is a one-stop-shop for agents in our area to find nearly 100% of homes for sale, coming soon to the market and past sales.

Without MRIS, our real estate market would be fragmented and inefficient for consumers, agents and industry partners, so overall it provides a huge benefit to the regional real estate market. However, like most industry-focused companies built before the latest technology revolution, it lags in customer experience and user interface design, which are areas MRIS is working on to provide both agents and consumers a better end-to-end experience.

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

Question: I’m looking for a 1-bedroom condo with a den, but can’t find a site like Zillow or Realtor.com that allows me to search for it. Do you know of a site that includes den in the search?

Answer: The MRIS — a realtor database of records that feeds to all of the consumer-facing websites — includes a ton of data that doesn’t show up in consumer-facing websites, but for some crazy reason it doesn’t include a data field for dens, a very common criteria in Arlington. The only way to search for a den is to search the remarks field for the word “den” which isn’t a perfect solution and ineffective on a lot of consumer-facing sites.

Common criteria available to agents in MRIS, not on (most) consumer sites:

• Balcony/terrace
• Fenced yard/privacy fence
• Number of levels/floors
• Location and number of bedrooms and bathrooms by level/floor
• Type of parking (garage, off-street, assigned, carport, etc)
• Type of flooring (hardwood, carpet, laminate) by room
• Number of fireplaces
• Washer/dryer in unit
• *Above grade sqft, below grade finished/unfinished sqft
• New construction
• Walk-in closet
• En-suite (attached) master bathroom
• Home type (rambler, craftsman, cape code, etc)
• Level/floor location of apartment (1^st floor, penthouse, basement, floor 6-10, etc)
• Energy efficient features

*Every website allows you to search by square footage, but be very careful. I frequently come across listings with incorrect square footage or no square footage entered at all. Be prepared to miss some good homes if you’re filtering by square footage.

The introduction of real estate search sites like Zillow has given the consumer access to real estate information that was previously unavailable, but there are still a lot of common search criteria these sites don’t offer that an agent with MRIS access can search for. A recent example I have is a couple that needs a one level home with two master suites. Without an agent, they’d have to search through almost every single home within their budget, trying to figure out from the pictures and descriptions if they are one level and if they also have two master suites, but with MRIS, I can quickly search on their criteria, saving them a lot of time online.

Do you have any specific criteria (e.g. pet-free buildings) that you haven’t been able to search for yourself? Shoot me an email and I’ll set-up a search for you!

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Question: Should I accept an offer on my home that is contingent on the buyer selling his home first?

Answer: While there are financing options and other strategies to help buyers avoid home sale contingencies, they’re oftentimes necessary to close a deal. Before you accept an offer that includes a home sale contingency, you should consider the following factors:

Which Home Sale Contingency?

1) Sale of Buyer’s Property with Kick-Out:

This is used when a buyer’s property does not have a pending contract and can be used even if the property isn’t yet listed for sale. It includes a deadline for the buyer to go under contract, terms of the listing (when it will be listed and for how much), and most importantly, it allows you to “kick-out” the buyer, with notice, to accept another offer or put the home back on the market as Active. This is a high-risk contingency for sellers.

2) Settlement of Buyer’s Property (no kick-out):

This is used when the buyer’s home is under contract and pending settlement. Depending on the terms of the contract on the buyer’s home, this can be a fairly low risk contingency for sellers.

Kick-Out Clause

If contingency #1 above is used, you have the ability to continue marketing your home for sale and accept back-up offers from other buyers. If you receive a better offer, you can “kick-out” the current buyer unless they can provide proof of a ratified contract on their home or proof they can purchase the home without first selling their home. You will negotiate the number of days the buyer has to meet one of these requirements, once you’ve given notice, so it’s in your best interest to keep the number as low as possible.

Review All Relevant Data

If contingency #1 above is used, you and your agent should conduct a full market analysis of the home the buyer is trying to sell to determine the likelihood that it sells in a timely manner at the price it’s being offer for. If you learn the home is in a market with average days on market of 100+ days and the buyer is offering it at a price above market value, you have a bad offer.

If contingency #2 above is used, you’ll want to review the terms of the ratified contract your buyer has to determine what contingencies still exist. If all contingencies have expired and a substantial Earnest Money Deposit has been made, you can proceed with confidence. However, I’ve seen offers made where the buyer’s ratified contract includes a home sale contingency itself for the buyer of that property, meaning my client had to rely on two homes to sell before his home could sell…bad offer.

Days On Market

You should also assess where you are in your sale cycle. If you’re in the first 30 days of your listing, you should hold out for strong offers and avoid a risky home sale contingency. Just like you wouldn’t normally accept a deep reduction from the asking price in the first 30 days, you should also push for strong supporting terms.

Other Terms

If you’re considering accepting an offer that includes a home sale contingency, work hard to negotiate favorable terms elsewhere, especially price. You deserve to be compensated for the additional risk a home sale contingency presents.

Before accepting an offer with a home sale contingency, you and your agent should work with the buyer and buyer’s agent to explore strategies that allow the buyer to qualify for the purchase without first selling their home. Often, it’s more feasible than buyers realize.

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Question: I’m wondering statistically what the best months are to advertise a property for rental. On my own I can figure out it’s probably not the dead of winter, but was wondering the answer from a professionals data driven point of view.

Answer: The best way to measure this is to look at how long a home is on the market and how close the final rent price is to the asking price. Since 2010, the data shows that the best time to list your home for rent in Arlington is from March – June, with June listings moving the fastest and May listings commanding rents closest to the ask price. Homes listed for rent in November spend the most days on the market, taking an average of 25 more days to rent than homes listed in June. Somewhat surprisingly, landlords who list in September cut rents more than any other month, compared to the asking price. My guess is that it’s due to owners offering a higher original price because it’s still summer, but missing out on the spring/early summer rental demand.

Best Months For Landlords To List: March – June

Worst Months for Landlords to List: October – January

The data was pretty consistent across different housing types (detached/single family, townhome, and apartment) and by zip code. Check out each table below for some specifics on your home type and zip.

The Data

The data below represents all 12,256 rental transactions recorded in MRIS (Realtor database of record) in Arlington since Jan 1, 2010. The data is organized by the month they were listed for rent.

There are three data sets presented. The first is all rentals by month, the second is by housing type (detached/single family, townhome, apartment) and month, and the third is by zip code and month, presented in two separate graphs because the table was too long (email me if you’d like to see the data table).

Table #1: Rentals By Month

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This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Our interviewee, Peter Zell, has spent the last 5+ years living in Courthouse (Colonial Village) and downtown Rosslyn (Normandy House), so we covered both neighborhoods during our interview.

Where is it? Rosslyn and Courthouse are the first neighborhoods along the Wilson Blvd/Clarendon Blvd corridor, also known as the Rosslyn-Ballston corridor. Sitting on the eastern edge of Arlington, both offer views of the Potomac and Washington DC. Downtown Rosslyn is Arlington’s most expensive and sought-after business hub due to its proximity to DC and the only location in Virginia with three different metro lines (Silver, Blue, and Orange). Over the past 5 years and for the next 10 years, downtown Rosslyn is transforming itself from a government-centric business district to high-end Class A office, residential, and retail district. Just up the hill to the west is the more residential Courthouse, boasting many long-time Arlington residents and some of Arlington’s favorite bars, restaurants, and shops. It also plays host to the Arlington County offices, police station, and…the courthouse! If you’re walking, jogging, or biking from Rosslyn to Courthouse, be wary of the steep climb from metro to metro.

About the interviewee: Peter Zell represents the area well — a young professional, hailing from out-of-town (Ft. Myers Florida), and working as a contractor in the Pentagon. Peter spent most of the last 5+ years in Colonial Village, a sprawling campus of garden-style condos built from 1935-1940 that straddles Rosslyn and Courthouse. Recently Peter moved to Normandy House in downtown Rosslyn, enjoying great views of the Potomac, D.C. skyline, and National Mall from the rooftop.

What do you love about the neighborhood? The lifestyle here is fantastic. I’m minutes to my job at the Pentagon and get to enjoy being near all the benefits of D.C., but in a quieter, more relaxing environment. From where I live, I can walk into Georgetown, the National Mall, or hike Roosevelt Island in just a few minutes. I also take advantage of the great views from the many high-rise apartments in the area. When I lived in Colonial Village, I fell in love with the great sense of community I experienced. The way the neighborhood is laid out gives it a campus-like feel, with each building often hosting its own events through out the year. Unlike other areas of the Rosslyn-Ballston corridor, I think Colonial Village is less transient because I met a lot of people who have lived there for a long time. I think that the area has a reputation for being post-college Greek life, but I’ve always felt that the mature, professional crowd defines Rosslyn and Courthouse.

What are your favorite places to go for entertainment, dining, and groceries? I’m a huge soccer fan and Ireland Four Courts and Summers are two of the best soccer bars in the D.C. area, so I frequent both. I also play in a competitive soccer league that’s a quick trip into D.C. You can’t beat a weekend bagel at Brooklyn Bagel, coffee at Bayou Bakery, or a good steak from Rays the Steaks. I do most of my grocery shopping at Trader Joes in Clarendon, but head to the Lee Highway Giant for meats.

Is the area family and dog friendly? I wouldn’t consider Rosslyn to be very family-friendly, but as far as urban living goes, Courthouse is pretty family friendly. As with most of Arlington, it seems like half of Rosslyn and Courthouse residents have a dog and the variety of nearby trails and quiet neighborhood streets make it very dog friendly.

What are your favorite community events? There are constantly events in Rosslyn Gateway Park like the Jazzfest, Parkour festival, and summer outdoor movie nights. I also enjoy the weekly farmers market in Courthouse and there were constantly community potluck dinners in Colonial Village.

How has your overall experience been? Very positive. I’ve enjoyed a great social life, easy accessibility to D.C., a fast commute, have always felt safe, and when I was in Colonial Village I was pleasantly surprised at the sense of community.

What are you expectations for the future? It’ll be interesting to see if we’re getting close to a saturation point for new development and if the current trajectory will continue. I think that the development that has occurred to transform Rosslyn from a business district to a more welcoming location for residential and retail has substantially increased its appeal and a lot of people are considering it as a great alternative to living in D.C. while still having easy access to all of the benefits of D.C.

Peter, thank you very much for sharing your experience living in Rosslyn and Courthouse!

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Question: My condominium association is treating me unfairly, what should I do?

Answer: I receive this question in many forms and will attempt to provide a general road map to deal with association-related conflicts. I enlisted the advice of Tiffany Releford, Esq., of Whiteford Taylor Preston, who’s an expert in condominium law in Virginia, Washington, D.C., and Maryland. I’m also a board member of my association and use my prospective from that side as well.

Educate Yourself

Hopefully you used the mandatory three-day association document review period before you purchased to read the bylaws, rules and regs, meeting minutes, and other required documents and aren’t taken by surprise. These documents are considered a contract that you are entering with your association so you should make sure you understand what they say. Locate all relevant documents and read them thoroughly, you’d be surprised how many small details are defined in your condo docs. Many bylaws even have dispute resolution policies that you’ll need to follow.

Start Small

Raise your concern with the property management company first. If the management company can’t resolve your issues, find out when the next board meeting is (usually monthly) and ask to be added to the agenda. As a member of my board, I suggest emailing the board members with a summary of your concerns ahead of the meeting.

Document

Try to keep all relevant communication contained to email so you have documentation and ask to see a draft of the meeting minutes if you present your case there. Anything else you can do to document your concerns is helpful, such as getting a decibel reader for noise complaints and documenting times when it exceeds the allowable level (Arlington County or association).

Advocacy Groups

Before seeking legal recourse, you may want to check with Virginia’s Office of Common Interest Community Ombudsman, which “offers assistance and information to association members regarding the rights and processes available to them through their associations.” I’m not aware of any Arlington-specific advocacy groups or government offices, but would love to hear from the readers if one does exist.

Legal Involvement

Before paying an attorney to take your case, you may want to pay an attorney like Tiffany to review your bylaws and rules and regs to see if there’s anything you missed or if they interpret anything differently. A good condo attorney will also be intimately familiar with the local laws to provide an early opinion.

If you decide to go to court, be sure you understand what your bylaws say about financial responsibility for attorney fees and costs, as well as court costs. Most cases will be heard in the General District Court (small claims court) and it’s a little easier to represent yourself at a lower cost. If it’s a larger issue such as an injunction for right of quiet enjoyment/use of your unit, you’ll likely end up in Circuit Court which takes much longer and attorney fees on both sides are much higher because of the preparation required.

Remember that when you buy into an association, specifically condominiums and cooperatives, you’re turning over a lot of power to the board. I always recommend that my clients who become condo owners take part in monthly meetings, join committees or join the board.

I’m love to hear from the readers who have useful strategies for resolving condo disputes.

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington, D.C., and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Question: Are there any special loan programs in Arlington or Virginia that I should look into?

Answer: The Virginia Housing Development Authority (VHDA) offers a great loan program that includes closing cost and down payment assistance. There aren’t any Arlington-specific loan programs available, but some special programs are made available based on your income and sale price based on the local (Arlington) averages, which are both high. There is a specific Arlington Housing Grant Program available for those who qualify and I’m happy to send additional information on this program if you are interested, but there are too many caveats/requirements to provide specifics here.

As usual, when I get financing questions, I like to turn to one of Northern Virginia’s top lenders, Troy Toureau of McLean Mortgage, to provide a detailed response.

Take it away Troy…

Despite the many changes in home financing which have occurred during the past decade, one important fact has never changed:  The government has several programs to help buyers purchase a home. Here is a quick summary of the major “government sponsored” home financing alternatives. 

The Virginia Housing Development Authority 

Authorized by the Federal Bond Subsidy Act, this state agency issues bonds, which enables it to offer below market interest rates and government down payment assistance on mortgages.  VHDA offers several programs and most recently has issued a Grant program, which can help with closing costs and a down payment.  The VHDA can also issue Mortgage Credit Certificates, which will help defray the cost of the payment by providing a tax credit for a certain amount of interest paid.

VHDA requires that the homebuyer has not owned a home in the past three years and also has maximum income and asset limits. For those purchasing in certain targeted areas, there is flexibility with regard to these restrictions.   The income limits in the Washington, DC area are $121,900 (2-person families) or $142,300 (3+ person families) and the sales price limit is $500,000. There are some targeted areas in Arlington County and if you are interested in knowing whether a property is in a targeted area, email [email protected].

In addition to the VHDA Grant program, VHDA provides a variety of options to help first time buyers finance a home.  These include VHDA loans guaranteed by Virginia and insured by the Rural Housing Service requiring no-money down.  The VHDA FHA-Plus Program provides a second mortgage for those who need closing cost and down payment assistance and the conventional VHDA alternative requires a down payment of only 3.0% with private mortgage insurance.  Keep in mind that the three-year history, income, and asset limits noted above still apply.

The Veterans Administration (VA)

VA loans require no down payment and no monthly mortgage insurance.  Closing costs can be paid by the seller or through a lender rebate. The homebuyer must be a veteran or active military.  National Guardsman and Reservists are also eligible for the program. There is no requirement for the veteran to be a first time homebuyer and no maximum income or asset requirements. 

The Federal Housing Administration (FHA)

FHA loans require a 3.5% down payment, which can be met with grants through VHDA or other housing agencies, if available. FHA also allows the down payment to come from a gift from a relative and closing costs can be paid by the seller or through a lender rebate.  There is no requirement for the applicant to be a first time homebuyer and no maximum income or asset requirements. 

Fannie Mae and Freddie Mac

The conforming agencies both have programs designed to facilitate homeownership for low-to-moderate homebuyers. The requirements vary depending upon the agency, but generally a 3.0% down payment is required and there are maximum income requirements that vary by location. Credit score requirements tend to be slightly more restrictive under these programs, as compared to FHA and VA Loans.

Government aid for home ownership does not end with these programs.  Homeowners of primary residences can deduct interest and real estate taxes from the taxes. This lowers their taxable income and thus their effective housing payment.  We suggest you consult with an accountant or financial advisor to discuss all of the tax benefits of home ownership.

If you would like to know if you qualify for one or more of the government sponsored homeownership alternatives, contact Troy Toureau of McLean Mortgage Corporation at 301-440-4261 or [email protected].  NMLS ID #5618.  McLean Mortgage Corporation| NMLS ID #99665|(www.nmlsconsumeraccess.org)

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.

This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!

Question Submission

From First Time Home Buyers tips to new constructions analysis, this column is driven by your questions. Whether you want a better understanding of the Inspection Contingency, the right loan program, or curious about local housing statistics, I encourage more of you to submit your questions to me via email at [email protected].

Neighborhood Profiles

I also kicked off a new Neighborhood Profile series where I interview a member of the community about what it’s like to live in his/her neighborhood and what’s in store for the future. Thus far I’ve written about Arlingwood, Bluemont and Claremont and looking forward to posts about neighborhoods like Rosslyn, Columbia Pike and Nauck. If you love your neighborhood and would like to be interviewed and featured in a column, please let me know!

Break For Hardworking Arlingtonians

Arlington was recently ranked as the #1 Hardest Working City in America, with an average of 41.5 hours per week and 40.15 weeks worked per year. I hope everybody was able to find some time this weekend to relax, enjoy the great weather, and not work!

If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.

Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.