-Updates on the Trion area floods> Click
-Weather: Not a drop of rain in this week's forecast. Details below.
The Buzz of Northwest Georgia: (Click here)
-As the Recovery Begins, Part II: Natalie Simms talks with real estate and mortgage pros about what they're seeing as we emerge from the recession.
-What's new in the region: Updates on construction projects around Floyd, Bartow, Gordon, Polk and Chattooga counties.
-Three-Dot Buzz: New Spanish Mass at St. Mary's; social media goes mainstream in covering all aspects of last week's floods.
-Peaks & Valleys: Peak to the resilience of the people of Trion and those coming to their aid.
Bobby Cox, Gingery talk about serving on bank boards in tough times> AJC
Calhoun first, Pepperell No. 6 in latest state football AA poll> Details
Weather Watch:
-Monday: Mostly sunny, high of 82, low of 48.
-Tuesday: Sunny with a high of 77, low of 47.
-Your extended forecast> Weather / Local radar> Radar
High school> Football report
-John went 8-2 last week in picking local schools. New picks on the way.
Norman Arey's Sports
-What are we seeing in college football so far? Is it a parity of something else?> Arey
Rome Braves/State Mutual Stadium updates: Wings, anyone?> Sports:
What's new in the region:
Look for twin CVS openings in the Cartersville area early next year. The surging drug store chain has new stores rising, and rising quickly, at Collins Pointe on Joe Frank Harris Parkway in Cartersville as well as on the booming west side on Ga. 113 near Douthit Ferry Road. Both stores are around 13,000 square feet and will open "early in 2010," a corporate spokeswoman says. No word on employment yet. Joining the west side development: A new Arby's.
Work begins on new Pizza Hut site: The East Rome Pizza Hut will soon give way to a new one on Turner McCall across from Heaven's Attic and just down from Sumo. The plan is to open the new store after the first of the year. We had several e-mails about the specific location following our posting on Thursday. You can see the Pizza Hut coming soon sign in the bottom left corner of the above photo shot Sunday.
Three-Dot Buzz:
-Fourth (quarter) and long?: Those businesses following the calendar year for their fiscal year, we're just days away from the start of the fourth quarter (Oct. 1-Dec. 31). We'll soon get reports on how the banks and major local employers did in the third quarter and maybe a hint at what to expect in the fourth quarter. For retailers at least, these are the most vital three months on the calendar.
-Second Spanish Mass added at St. Mary's: The explosion of Hispanic Catholics in North Georgia has been well documented by the Archdiocese of Atlanta. On Tuesday, an auxiliary bishop will be ordained to help serve the growing church. He is Bishop-elect Luis R. Zarama (details), a familiar face at St. Mary's Catholic Church in Rome. Zarama has helped celebrate the 1 p.m. Sunday Spanish Mass at the church, a service that easily overflows into the halls. Starting Sunday, Oct. 4, a second Spanish Mass will be celebrated at 7 each Sunday evening. That means six weekend Masses at St. Mary's (5:30 p.m. Saturday, 8, 9:30 and 11 a.m. Sundays in English; 1 and 7 p.m. in Spanish> St. Mary's
-Breaking flood news via Twitter, Facebook: News of last week's severe flooding in Trion and metro Atlanta spread faster than ever thanks to a sudden surge in the use of Twitter and other social media. Georgia Northwestern Technical College and Georgia Highlands College used Twitter to announce campus closings. Rome-Floyd Parks & Rec and the YMCA announced field closings and game delays, citing the rain. An interesting story on how others used social media to spread the word can be found on the AJC's Web site (click)
PART TWO: AS THE RECOVERY BEGINS
Real estate: Tax breaks, interest rates are great deals for first-time buyers but act fast; positive signs seen for rest of the market.
By Natalie Simms
One of the hardest hit sectors of our economy has been real estate. While many economists believe the recession is over, the effects are still being felt. The local market seems to be rebounding but it's tough to know how long it will last as tax incentives soon expire and low interest rates won't last long.
As we wait for the recovery, local Realtors and mortgage specialists are doing what they can to stay in business. We talked to three experts last week:
-Graham Dixon is Real Estate Broker with Lambert, Dixon and Tate Real Estate in Rome and serves as president of the Greater Rome Board of Realtors.
-Dana Bauguss is the president-Elect of the Georgia Association of Realtors and Broker with Re/Max of Greater Atlanta.
-and Tony Miller is Mortgage Loan Specialist with Vanguard Mortgage in Rome.
Question 1 How is the local real estate/mortgage market currently doing? 
>Dixon: "The local market has not only stabilized but in fact has shown signs of increasing values. August 2009 saw a price jump of 11 percent over July 2009. I believe September will also be strong because of the number of buyers currently in the market because of the state and federal tax credits. The amount available for buyers is up to $9,800 if they qualify. The federal credit is $8,000, while the state credit is $1,800. The credits expire on Dec. 1, 2009, which means in order to get the loan on a house processed and close on the property, a buyer really needs to be under contract on the house they want to buy by Oct. 15 at the latest."
>Bauguss: "We have definitely seen an increase in the market in some areas. The majority of the buyers are first-time homebuyers that are taking advantage of the tax incentives and trying to close before Nov. 30. There are many listings on the market but houses are selling. For instance, in Gwinnett County, the multi-listing service states there are 5,513 residential resales on the market and 810 are bank-owned. However, there are 1,472 residential homes under contract that are pending to close. There are 802 new homes on the market in which 205 are bank- owned. There are 227 pending sales for new homes."
>Miller: "It has actually picked up a hair, though far from the peak. It could be a lot worse."
2. How are Realtors/mortgage companies coping with the tough economy/recession? Any changes you have made in your business practices because of it?
>Dixon: "The trend we have seen nationwide is that the number of Realtors in almost any given area has decreased over the last two years. Some of that is natural attrition and some of it is Realtors leaving the business because of declining revenue. Locally, we are doing a little better than the state average and have only seen a small decline in the total number of Realtors in our market. I think the newer agents who have not built a strong network of referrals are the most affected. Most veteran Realtors in the area still seem to be producing well and are maintaining a comfortable level of business."
>Bauguss: "Realtors are learning new ways of doing business. They have had to take courses, obtain certifications and become specialized in handling REOs (real estate owned by banks, etc.), foreclosures and especially short sales (sale price is less than amount actually owed). The National Association of Realtors has even provided grants to states to provide the Loss Mitigation Certification to teach Realtors how to help clients in these turbulent times. Realtors are working twice as hard to earn an income."
>Miller: "I think we have all had to cut back on expenses mainly to lower costs. I have personally cut back on marketing costs by doing many things myself and going back to direct face-to-face or telephone campaigns."
3. What advice can you give to home buyers in this current economy?
>Dixon: "Buy now! I've had a number of clients over the last few months that keep waiting for 'the bottom to fall out.' I don't see that happening in our market. We've certainly had price declines; however, we have not seen huge drops in value. Luckily, our local economy is strong and there has not been panic-induced selling. Interest rates are at historically low levels, the supply of homes is ample, sellers are motivated and the tax credits are an incredible bonus. Because of all these things, the climate could not be more perfect for a buyer."
>Bauguss: "Buyers need to work with a professional Realtor who will represent them and help them buy the house of their dreams or a good investment property. Real estate is still the best investment and buyers can buy excellent deals. Buyers need to be approved with a reputable mortgage company and work to clear any credit issues."
>Miller: "It is not going to get much better than it is right now. Interest rates are super low, prices on homes are low and inventory is up, up to $8,000 in free money from the (federal) government. You can't ask for much more than that. If you can afford to buy a home right now, it is time to pull the trigger. You can many times own for less than you are paying in rent."
4. What advice can you give to home sellers right now?
>Dixon: "We are selling homes; however, the homes that are selling are the ones that are priced correctly. Perhaps their home was worth $20,000 more two years ago but today is a different story. Real estate is a commodity just like oil or pork bellies and there is a market value. Whether a seller is about to list their home for sale or already has it on the market, it's important for them to consult with their Realtor to get a true picture of the current market conditions for homes comparable to their own. If a buyer can buy a very similar property for 10 percent less half a mile away, they will likely do so. It's important to price property realistically, now more than ever, because of the large supply of inventory."
>Bauguss: "Sellers need to list with a Realtor and heed the professional advice. Sellers need to make their house sparkle and shine. They need to make repairs, paint, clean, tidy the yard and basically win the 'beauty contest.' Sellers also need to be willing to lower their price, pay closing costs and negotiate."
>Miller: "Be aware of what your competition is selling for. To make a profit in this market may not be an option for you right now. Be realistic in pricing your home."
5. Do you foresee a recovery soon in the real estate market?
>Dixon: "Yes, in fact I think we are already in the curve back up. The statistics we've seen each month this year prove that things are improving. It may take a while for the prices to get back to where they were a couple years ago but I think it will happen in time. New construction has been cut back dramatically so our supply of homes is not really increasing. As long as the population increases, the demand for housing will continue to increase and as the level of demand gets closer to supply, prices will increase as well."
>Bauguss: "The market has already hit bottom and has begun the slow turn. However, it will take longer for the recovery since every aspect of our economy has been affected. The real estate market has always been cyclical and it will bounce back as it always has in the past."
>Miller: "Like I said before, we have seen a small increase in the last 30-60 days in purchase activity. A full recovery is going to take a lot more time. We need to get people back to work and then the rest will fall into place for a bigger recovery."
6. Any long-term effects from recession?
>Dixon: "Absolutely. I'd say our biggest problem right now is financing. Lenders are gun shy because of the losses they've had. However, qualified buyers are still able to get loans. The buyers I've seen who are no longer able to get financing are the ones that, quite honestly, probably never should have been able to. It takes a little longer, more documentation is required but loans are still available and the interest rates are just incredibly good. There may be a few more hurdles for a buyer to go through, but with the great values out there, both in prices and interest rates, it's more than worth the extra effort."
>Bauguss: "Buyers are experiencing stricter guidelines which are a direct outcome from subprime lending and the financial meltdown. We are also experiencing appraisal problems which are causing delays in closing or causing buyers and sellers to renegotiate sales prices."
>Miller: "The lenders now are doing their due diligence on every file. They should have done it long ago. If something doesn't make sense, then they are making you substantiate most everything. I actually heard of another lender here in town that had a loan in process where the fellow was trying to buy a 'second' home here in Rome, across town from his primary home. Sorry, but that just doesn't make sense and the underwriters are not going to let that slide any more. There is still money to lend, but you actually have to jump through a few more hoops now than in recent history. An increase in minimum credit score requirements has probably been the biggest change. We used to be able to get someone a loan that had credit scores in the 500s but now you are looking at a 620 minimum score and FHA is actually contemplating raising that around the first of the year. We should have never been lending money to folks with 500 credit scores but Wall Street and the banks pushed the programs."
7. Any other thoughts?
>Dixon: "I think it's important for current homeowners and prospective buyers to realize real estate in our market is not in turmoil. As far as values go, I would venture to say that it is very likely the house an individual owns has maintained its value far better than their stock portfolio or 401k has over the last year. Buyers also need to be realistic and realize that most sellers are not in a distressed position. The vast majority is perfectly capable of making their mortgage payments and is not desperate to sell their property. To assume that a seller will discount their property dramatically, just to get it sold, is not realistic. There are certainly deals to be had but I haven't seen that many 'steals' and I really don't expect to see many more."
>Bauguss: "Realtors need to take educational courses and earn certifications to teach them how to work in this type of market. Many homeowners need counseling in short sales and a Realtor needs to become educated in the process. Realtors are also writing many lease purchases and leases since some homes are not selling or the buyers need to correct their credit. They also need special training to write these contracts and leases correctly."
>Miller: "We are all in this together. We have to support one another both emotionally and financially. Spend your money where you live and work, and we will all get through this together."
Part one of Natalie Simms' As the Recovery Begins series, a look at the restaurant industry, can be found by clicking Archive.
PEAKS & VALLEYS: The highs and lows of Northwest Georgia.
Peak to the community of Trion: The Chattooga County community was among the first hit by the recession as Mount Vernon Mills idled almost an entire shift. At times, the jobless rate has been in the mid-teens. Now comes the floods of September, causing massive damage and claiming a young hero's life. Through it all, Trion residents, their neighbors and all of Northwest Georgia have rallied to help those in need. From churches and businesses to community groups and the Red Cross, area residents have stepped up to lend a hand. This is what Northwest Georgia is all about: helping those in need.
Peak to the Shorter career fair:
More than 2,500 people and 75-plus employers packed The Forum on Thursday as part of a career fair hosted by Shorter College, the state Department of Labor, The Forum, Floyd County and the Rome News. Some saw the high number as a sign of how desperate the local employment picture is. We see it exactly as Shorter's organizers planned: A message of hope, support and a promise of better days ahead. We commend Shorter for taking a needed leadership role in staging the career fair.
Peak to the 2009 NAIA championship: Tickets go on sale for this year's title match on Tuesday (details). We should hear something later this week about hosting the championship again in 2010--and maybe longer. Or that determination might have to wait until after the SPLOST vote Nov. 3.
Peak and valley to the Atlanta Braves:
>The peak is for the recent string of wins that has moved the Braves back into the wild card hunt. With seven games to go (three with the Marlins, four with the last-place Nationals), the Braves have a bona fide shot thanks to a late-season rally.
>The valley: Letting Bobby Cox get away after the 2010 season. We agree the team needs a rebuild, not just an overall, and it is better to build with someone who might be there for another decade. At the same time, Cox has been one of the architects of Atlanta's amazing run of success. Let's change that one more
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