Natural Disasters and Protection on the East Coast.

This week Philadelphia experienced its first earthquake since the small earthquake on December 10th 1968 and the slight damage caused by the tremors in 1972. The earthquake that hit this week was of magnitude 5.8 with the epicenter in mineral Virginia and the effects being felt along the east-coast all the way up to Boston. In Philadelphia the effects were extremely mild, some buildings experienced noticeable movement but nothing too dramatic most of Philadelphia's prime real estate went unscathed. Offices throughout the city were temporarily evacuated as a precautionary measure, no deaths serious injuries or property damage were recorded throughout the county and its neighboring states. The majority of the damage occurred in Mineral Virginia the epicenter of the disaster. Probably the biggest effect of the earthquake was the shock and surprise expressed as the event occurred. Many at the Keller Williams Real Estate office that I work in thought that the construction next door was the cause of the builndings movement, only after everything had settled down did we realize that it was an earthquake. When Nnamdi Asomugha a Philadelphia Eagles player was interviewed, he jovially said something along the lines of; when he was offered a contract by the eagles he asked his agent what natural disasters there were in Philly to which his agent described none. Ironically shortly after he landed in Philly from Earthquake plagued California this earthquake occurred.

Onlookers assess earthquake damage
 as buildings are evacuated.

Are we protected enough from natural disasters. Spurned by the imminent arrival of Hurricane Irene this weekend this question has since arisen. As I'm writing this blog Hurricane Irene has already claimed its first casualties as reports are surfacing of eight people suffering injuries from rough seas in Florida. One person reportedly nearly drowned and several others where knocked over by a huge wave that hit a Jetty of Boynton Beach just North of Miami and Fort Lauderdale. The path of the storm is along the eastern coast of the United states. New York, New Jersey, Virginia, Maryland, North Carolina, and Delaware have all been claimed states of emergency ahead of the storm. Though Pennsylvania is not yet included Philadelphia is scheduled to bare sizable brunt of the storm. Philadelphia has some great resources, get to know your city, get to know Philly. Philadelphia natives must brace themselves by preparing adequately for what is to come. The best way to answer the question; are we protected enough from natural disasters, in this case Hurricane Irene, is (in my opinion) to prepare a checklist. Use this check list to assess what has been done and what needs to be done to give you sufficient piece of mind circumstances considered.

Hurricane Irene Path.

Here are some simple tips that could help protect for Hurricane Irene and any future Hurricanes and other natural disasters. (These tips are not hurricane specific).

1. Prepare a supply kit. This is something you should have on hand all the time so that you are prepared well before an event occurs. The supply kit should include:
    -A generator.
    -Extra Gasoline
    -A minimum of a gallon of water per person
    -Food, non perishable items, canned items and don't forget a can opener.
    -A flashlight (battery operated)
    -A weather radio
    -A small tool kit
    -A brand new first aid. Keep the kit current.

2. Make sure to carry important papers and special photos. Keep them secure and safe. Include items such as Identification, hurricane insurance policy, title & deeds to property, diplomas etc.

3. Take videos and photos of your property. This will help assess damage especially when it comes to insurance claims.

4. If you are unable to find relatives or friends to take you in, book a room in a neighboring state, keeping you safe from storm but not to far from home.

5. Carry entertainment, board games, books etc. focus on non electrically charged if possible as those will like be bulky and may not function.

6. Try and stay down wind, as this is the area that will be least affected in comparison to other areas.

7. Carry extra cash, as electronics may not always work. Cash is simple and convenient, it will also save you head aches in the event of a power-cut.

8. Most importantly, stay indoors, don't venture out into the storm. Keep inside, keep calm and keep safe, protect your real estate.

Residents in other states may be more accustomed to earthquakes and hurricanes and other natural disasters. For example their buildings may be built in a way that they are more able to deal with Earthquakes. We do not have this privilege in Philadelphia, zoning ordinances and building permits do not require Philadelphia real estate to be built in a way that protects the properties structurally from earthquakes and hurricanes. Do your research, investigate insurance policies. Assess the best way to protect your investment.

Contact your local real estate expert for more information on how to protect your investment. All things considered, try to enjoy your weekend, stay safe and prepared. Do not hesitate to contact your local emergency numbers if you have issues.

Buying vs Renting a home.

The age old question, should i rent or should i buy? This seems to be the question weighing on many a persons mind. What are the advantages of one over the other? What are the disadvantages?

There is no one answer to this question, there are many factors that one should take into consideration, some are personal issues other will be out of the subjects control such as market factors, interest rates etc.

Price is most likely the biggest factor. Is it cheaper to rent or to buy. A common misconception is that buying is much more expensive then renting, however, in reality, long term buying is usually cheaper then renting (But not in all cities). Home prices have taken such a beating (In most cities) and demand for rental units has increased so much so that it is now cheaper to buy a two bedroom home then rent one in most major cities. Trulia research has through its website indicated that as of July 2011, buying as opposed to renting was cheaper in 74% of the country's 50 cities contrastingly in only 26% of the cities renting was cheaper. However in 14% of those cities there wasn't a great difference between the cost of renting and buying.

Rent or buy

Currently the top buyers markets are:

Las Vegas,Detroit, Mesa, Fresno, Arlington, Sacremento, Pheonix, Jacksonville

The top renters markets are:

New York, Ft Worth, Omaha, Seattle, San Francisco, Kansas City

CNN.com suggested the following as factors that should be considered in the decision making process when deciding whether to buy or rent:


Should you rent or buy?

The buy-rent calculation is just one part of the decision-making process. Other factors include:

• How long you plan to stay. If you're not keeping the home for several years, transactional costs of buying and selling (e.g; commissions, closing costs) can wipe out any buying edge.
• Whether you have cash for closing. It's not easy to find banks willing to lend more than 80% of the cost of a home. That means buyers have to come up with 20% down, plus closing costs. On a $200,000 home, that's $40,000.
• Whether you can cover all the homeownership costs. It's not just the mortgage: There are property taxes, insurance, heat, utilities and regular maintenance.
• Whether you can claim the tax advantages of homeownership. Mortgage interest is deductible and can shave a lot off tax bills but this benefit accrues mostly to high income earners with substantial mortgage payments. Many borrowers claim the standard deduction on their taxes and so derive no savings from the deduction.

Click here to access a  nytimes article written on May 11th 2011. The article has a tool to help compare the cost of renting to the cost of buying. 

Recently, because of the status of the market and economy renters have become more common then buyers. However in Philadelphia now is a good time to jump to homeownership. The US government has provided excellent incentive for this by introducing and extending a tax credit for first-time homebuyers and have kept interest rates at their lowest since the 1940s. The premium to buy is the difference between what you pay monthly to own a home rather then rent. In Philadelphia the premium to buy has dropped dramatically. One factor that Philadelphia offers is the likelihood of appreciation. In Philadelphia there are some strong industries such as healthcare, pharmaceuticals and education with a relatively healthy labor market that should keep producing jobs the demand for jobs should increase and therefore home prices should continue to go up.

Here are some Philadelphia statistics:

Premium to Buy, 15-year Average: 28.4%
Premium to Buy, Q3 2009: 18.7%
Five-year Home Price Index Forecast: 13.85%
Median Rent: $957
Median Home Price: $227,500
Blended Mortgage Rate: 5.33%

The bottom line is Philadelphia is an excellent buyers market, so pick up your phone and call your local real estate agent and explore your options.

Does the City Bleed Green or Red?

Now that the NFL free agent frenzy has quieted down a little and the 'Dream Team' that is the Philadelphia Eagles has now more or less taken shape. Now that the Phillies are deep into their season on route to October led by the Fab 4, Halladay, Hamels, Cole & Roy Oswalt

The question now is, who runs the city? Does Philadelphia bleed green or red. Years ago this debate would be futile, but with the emergence of the Phillies as a sporting powerhouse and their recent success and aggressive nature in acquiring top free agents, the Phillies have become a viable candidate to dethrone the Eagles as the top team in the city. In order to put this debate to bed, lets break the determining factors down into categories. Once we ascertain who leads each category we may have a clearer image as to where the city stands.

Eagles or Phillies

History.

Phillies: Currently the oldest 'one name' 'one city' franchise in sports the team was created in 1883. It took the city just short of 100 years, (97 years to be exact) to win their first championship in 1980. Then another 28 years to win their next one in 2008. Since then, the Phillies have been to another World Series and a National League championship game. Both were loosing efforts. New York prevented Philadelphia from bringing home a World Series in 2009 and eventual World Series winners San Francisco won the Pennant over Philadelphia in 2010. For much of their history the Phillies have been far from a winning team, having one winning season between 1918 to 1948, only 3 years separated from their first World Series birth in 1915. In 2001 the Phillies had their first winning season in 8 years but from 2003 onwards the Phillies have not dipped below .500. With  such a strong heritage Phillies are a cornerstone in Philadelphia's history.

Eagles: Established in 1933, the Eagles have also been an integral part of Philadelphia's rich history. Since its inception the team has made 2 super-bowl appearances, they were both loosing efforts. The first a loss to the Oakland Raiders in 1980 and the second a loss to the New England Patriots in 2005. However, before there was a super-bowl the Eagles managed to win 3 NFL Championships. The first two consecutively over the periods of 1948 and 1949, making the Eagles the only team to win back to back championships by way of a shut out. The Eagles one their third championship in 1960. During the 1960 season the Eagles also became the only team to beat Vince Lomabardi's Packers in a playoff game by beating them 17-13. Similarly to the Phillies the Eagles early days were challenging, during the first decade the Eagles suffered repeated losing seasons. The team was forced to merge with the Pittsburgh Steelers in 1943 as they were unable to fill their rosters due to shortages of man power due to the second world war.

Winner: Phillies


Stadiums.

Phillies: Citizens Bank Park opened in 2004. It is one of the Landmarks of South Philadelphia's real estate landscape this advanced sports complex seats over 43 000 people. The complex also includes standing area only spaces with great views. All the seating and standing areas are maximized as the ball park sells out just about every game all season long. The stadium was originally slated to be in downtown Philadelphia, initially at Broad and Spring Garden and then 13th and Vine, but the after plenty of protesting by the Chinatown community the development settled in South Philadelphia. The ballpark has some unique architectural and historical features. A tribute to the Liberty bell can also be found in the stadium with the bell chiming at every Phillie home run.

Eagles: Lincoln Financial Field opened in August 2003 with the capacity to seat 68,532 (69,144 with Standing Room Only tickets) ,The stadium has 172 Luxury Suites They range in capacity from 12 to 40 people and cost $75,000 to $300,000 per year or $20,000 for a single game rental. The stadium is also extremely technologically advanced. Similarly to Citizens Bank Park the Stadium is a great upgrade to from the Veterans that house the both Eagles and the Phillies in years passed.

Lincoln Financial Field.

Winner: Draw


Bigger Stars.

Phillies: Cliff Lee, Roy Halladay, Ryan Howard. Though i mentioned Ryan Howard, the star power of the this Philadelphia team is the ball pen. The pitchers are the life source behind the team and its huge expectations. Though there are some great hitters, with  a great following the star power is in the pitching. Cliff Lee is arguablly the most popular athelete not only on the Phillies but maybe in the entire city. He first rose to prominance when pithing against the New York Yankees in the 2009 World Series. Disappointingly the Phillies let him go when they decided to chase after Roy Halladay's signature the following year. However an opportunity arose to sign him during the 2011 offseason. By turning down New York and selecting Philadelphia Cliff Lee endeared himself to Phillie fans for life. His incredible talent omplimentend this ofcourse. It would be hard to find a crack on the foundation that is Cliff in through the eyes of the Phillie fan base.

Eagles: Mike Vick, Nnamdi Asomugha, Desean Jakson. The Eagles are truly a Philadelphia's Dream Team. Through the frenzy of the post lockout free agent period the Eagles seem undoubtedly the most purposeful team. Signing star after star, including Nnamdi Asomugha who too rejected the bright lights of New York for the gritty streets of Philadelphia. However the Biggest star on this team seems to be Michael Vick. Two years ago you would be considered laughable if you predicted Vick would have such a dramatic turnaround in his career. From convicted felon, animal abuser to beloved quarterback to one of the most supported sports franchises in America. Though Mike Vick still has blemishes on his name he has done well to rehabilitate himself but, has he done enough to considered the top athlete in Philadelphia.

Winner: Phillies


Fan Base.

Phillie

Phillies: Walk down the streets of Philadelphia, browse Philadelphia's real estate landscapes inspect fridge and automobile magnets and you're bound to find Phillies paraphernalia. The recent success of Philadelphia combined with the great marketing and aggressive nature of the team have led to rapid growth of the Phillies fan base. Casual fans are starting to become more involved and supportive of the team. Everybody loves a winner and the Phillies have shown that's what their in the business of doing what ever it takes to close the deal.

Eagles: On the other hand the Eagles have a cult like following. The eagle fan base arguably put Philadelphia on the map nationally as a city fanatical about its sports. Take for example the incident where the fans at the historic Veterans stadium threw snowballs at Santa Clause or the harsh criticism of great players when they under perform such as Donovan McNabb. Eagles fans are the poster child of the authentic Philadelphian sports fan.I remember watching a news clip of a Philadelphia fan being interviewed during the 2008 World Series run. When asked what the championship would mean to him the fan said the only thing better then the Phillies winning the World Series would be, if it were the Eagles playing and winning Superbowl. That was very telling, this opinion seemed to reinstate throughout the city. Whereas the city was proud of the Phillies if the city was confronted with having to make a decision of which team they would rather success, the majority would select the Eagles.

Winner: Eagles.

Though the Phillies took two categories to Philadelphias one, the one that Philadelphia one is probably the most important, the fan base. When the Eagles struggled through loosing seasons you still couldn't get a seat in the stadium. With the success of the Phillies you could argue hunger for an Eagles championship is more, The Philadelphia fan base has seen the Phillies win now lets see the Eagles do it. At the end of the day lets call a spade a spade. This is a football city, Philadelphia bleeds green.

Eagles Logo.

With the dream teams assembled down in south philly this might just be the year that both teams celebrate in unison. Optimism flows throughout the city on green and red waves. Which stream will still be flowing when all is said and done. I say, why not both?

Kings of Philadelphia: Eagles.

Market Insider.

Have you ever asked yourself, "how's the market?" Well there's a great tool to answer just that, it's called Market Insider. With this tool you will be well informed by way of data and statistics as to where the market is. There is no need to waste time and energy filing through google and yahoo search databases, simply access market insider and the rest is clockwork. The data on the market insider page is consolidated from multiple sources and includes current listings, recent sales, zip code centric sold data, community information and school information that is dynamic based on parent feedback to lend to credibility. Whether you're a buyer or seller, the knowledge you gain will help put you in control of your real estate transactions. 

Market Insider Screen Shot.

Market Insider provides a wealth of information, this information is broken down into four categories. Market Analysis, Community Info, Local Schools, Compare Areas, Insider Tips. 


Market Analysis. Here trends are broken down, for example price trends. This is the relationship between sold and listed properties. Valuable monthly information such as the median listed and sold property prices are available here. You will find market inventory trends that show whether the market is saturated, and easily assess whether the inventory is shrinking or growing. You will also be able to better understand the health of the market, i.e is it standard or distressed? The relationship between ownership (owner occupied) and rental properties are also explored. This helps with possible investors looking to purchase and rent out the units or properties. Lastly additional statistics are provided to give you a more well rounded perspective of the market. Simply put the cherry on top.

Market Insider Data.

Community Info. Here you will be able to access information on household income within a specific area. This breaks down the community as to better assist you ascertain where you stand within the community or whether the customer base you wish to rent to can be found there. Education levels are also a useful too. Usually education and crime's relationship is one whereby more education generally means less crime however, the great thing about Market Insider is that you will receive specific information for that specific area. This way the correlation between the two is in front of you and there is no guess work needed. Weather information which is helpful not only in reference to lifestyle but useful when assessing  the insurance coverage for the potential property can also be found here. Lastly other miscellaneous tidbits are accessible such as shopping centers, restaurant information, recreational attractions etc.


Local Schools. Here you will have in-depth access to all school information for a specified area. The information provided includes the number of schools in a district, educational climate, technology Index, population in poverty, students and per student expenditure. 


Compare areas. Here you can find in-depth community characteristics, community, market and school summaries etc. This section allows you take all the area specific information that you have collected through market insider and compare them to better ascertain which area is more suited to your needs.


Insider Tips. Here you will find valuable information from people like you. These tips are not statistically based but are more opinionated. This is valuable information that you wouldn't usually have access to. This is great intangible information that is not easily understood by statistics. All of this information's not readily or easily accessible to the masses, especially broken down this way.


As you can see Market Insider is an excellent tool for all levels of market research. To access Market Insider contact either your preferred or a knowledgeable real estate agent or team and enquire about the service. Some agents, teams or groups will have information readily available on their website. An example of this would be The Mickey Pascarella Group, based out of Philadelphia. Through their website simply click the tab Market Insider and begin to navigate through wealths of information. When exploring Market Insider, after a few clicks you may be prompted to enter your email information. Understandably you may not be enthusiastic about this as you do not want to be inundated with spam email. However I strongly advise and suggest that you enter your information especially if you are genuinely interested in; keeping up with the market, selling your property or purchasing a property, not to mention all the information is free. The key to Market Insider is that all the information is relevant and any contact that my occur as a result of you submitting your email address will be informative and helpful to your specific cause.  


This makes it a great communication tool for you and your real estate agent. With market insider you will have a more Informed real estate agent, that will be more readily able to meet your needs and provide better services to you. You will also be able to reduce time spent and achieve your goals at a much better pace. All in all this is a great tool for any investor or potential investor, be it at a novice level or an expert real estate investor either way Market Insider is a great tool for you.

Logan Square.

Logan Square, commonly referred to as Logan circle is one of the five original squares central to William Penn's original design for Philadelphia. Located north of Market Street, south of Spring Garden Street, west of Broad Street, and east of the Schuylkill River. Logan square homes for sale range from a couple of hundred thousands to the million dollar plus range. The park or fountain central to the square has been an aesthetically pleasing feature of the area for centuries, soon the Cities Sister Park will join it as a mainstay of Philadelphia landscape. The park did not always represent beauty. The park has a gruesome history, up until the early 19th Century the area was a site for public executions and burial plots. Following this in June 1864 it temporarily became the site of the Great Sanitary Fair, a 2-week exposition that raised US$1,046,859 to buy medicine and bandages for Union troops during the American Civil War. President Abraham Lincoln visited the fair. The park was designed by Jacques Greber  a French landscape architect who converted Logan Square into a circle similar to the oval of the Place de la Concorde in Paris. Philadelphia even modeled its Free Library and Family Court Building after the twin buildings of the Hotel de Crillon. 

Twin buildings of the Hôtel de Crillon,Place de
la Concorde,Paris.

The Free Library of Philadelphia.

If you were to travel to France walk through Paris around the Place de la Concorde you would notice a striking resemblance to the Benjamin Franklin Parkway.


There is more classic architecture that shape the Logan Square landscape. The historic Cathedral Basilica of Ss. Peter and Paul, the Philadelphia Family Court, the Free Library of Philadelphia and the Franklin Institute just to name a few. Following in the footsteps of its namesake the Franklin Institute has become a pillar in the science community of Philadelphia. Benjamin Franklin, one of the founding fathers of the United States was both a scientist and an inventor, amongst other things. As a scientist Benjamin Franklin was a major contributor to the American enlightenment and the history of physics. His inventions have shaped modern day society. These inventions include the lightning rod bifocals, the Franklin stove a carriage odometer and the glass 'armonica.'  These attributes are the inspiration behind the famed center. The Institute also houses the Benjamin Franklin National Memorial. In the spirit of inquiry and discovery embodied by Ben Franklin the mission is to inspire passion for learning about science and technology. Founded in 1824 the institute has housed groundbreaking scientific demonstrations throughout history. The Institute offer permanent exhibits as well as temporary ones. Currently the Internationally acclaimed Mummies Exhibit is on display at the Institute. If you wish to take in a movie the Imax screen is currently screening Part 2 of the final installment of the Harry Potter Series. This huge screen sits in an auditorium that seats hundreds of people, definitely once of viewing experience that is not easily duplicated.

Swann Memorial Fountain

In the middle of the park you'll find the Swann Memorial fountain, this is also known as the three rivers fountain. The fountain memorializes Dr. Wilson Cary Swann, founder of the Philadelphia Foundation Society. An adaptation of the "river god" sculpture, large Native American figures symbolize the areas major streams the Delaware, the Schuylkill, and the Wissahickon. In the fountain you'll notice a young girl leaning on her side against a water-spouting swan, this represents the Wissahickon Creek. The mature woman holding the neck of a swan stands for the Schuylkill River. The male figure, reaching above his head to grasping his bow as water sprays over him, symbolizes the Delaware River. The use of Swans is play of Dr Swanns name.


Surrounding Logan Square you'll find the the first and only women's visual arts college in the nation, and one of only two in the world. The Moore College of Art and design. Notable alumni from the college include, Emmy-award winning costume designer, Jim Henson, The Muppets One of the traditions of the area is that to commemorate the end of every school year since the 1960s, the newly appointed Sophomores, Juniors, and Seniors of  J. W. Hallahan Catholic Girls High School jump into the fountain. The event is the subject of much local media coverage throughout Philadelphia. Philadelphia Real Estate Agents describe this a very illustrious sort after area.