http://valleymarketblog.com/index.php/site/index/ Arizona Valley New Homes in Phoenix and Maricopa en brian@valleymarketblog.com Copyright 2010 2010-11-05T07:31:31-08:00 http://valleymarketblog.com/index.php/site/good_news_for_investors_looking_to_build_a_portfolio/ http://valleymarketblog.com/index.php/site/good_news_for_investors_looking_to_build_a_portfolio/#When:07:31:31Z Loans Available for up to 10 Financed Properties Buyers are still allowed to purchase and refinance up to 10 total properties under current Fannie Mae guidelines. Many banks have internal rules that will not allow more than 5 financed properties but Smart Financial still allows up 10 total financed properties. Borrowers looking to finance properties number 5-10 must have a 720 credit score, 25% down payment, and 6 months PITI reserves for all of their properties. I have worked with Ryan@SmartFainancial many times. He has never missed a deadline. Note: He can't do Canadian loans. I have another gent that can! 2010-11-05T07:31:31-08:00 http://valleymarketblog.com/index.php/site/model_home_furniture_sale_nov_5_6_in_gilbert/ http://valleymarketblog.com/index.php/site/model_home_furniture_sale_nov_5_6_in_gilbert/#When:08:21:04Z Date: Friday November 05, 2010 & Saturday November 06, 2010 Time: 8 am - 6 pm Builder: Richmond American Homes Community Name: Medallion II @ Power Ranch - 3 Models City: Gilbert - 85297 Cross Roads: Power & Germann Roads Directions: East on Superstition Freeway (US 60) pass Higley Road to Power Road make a right (south), pass Williams Field Road to Germann Road make a right ( west), to Ranch House Parkway make a right (north), to Chisum Lane make a left (west), to Luiseno Blvd. make a right, to Baars Avenue make a right, models on the left. Addresses: 3886, 3890 and 3896 E. Baars Avenue. Inventory: 3 Models - More information to come. Cash and Carry - (No Checks) - All Sales Final To answer your frequently asked questions, see our FAQ's Page! 2010-10-26T08:21:04-08:00 http://valleymarketblog.com/index.php/site/update_on_foreclosure_moratorium/ http://valleymarketblog.com/index.php/site/update_on_foreclosure_moratorium/#When:08:45:27Z Impact of BofA Foreclosure Freeze on Valley Market The October 20 AZ Republic had a very informative article on the BofA foreclosure freeze and how it effects the Valley market that is summarized below and can be viewed at http://www.azcentral.com/news/articles/2010/10/20/20101020phoenix-bank-of-america-foreclosure-sale-freeze.html Public records show that BofA has not completed the last step in the foreclosure process (trustee sale) on any homes in the Phoenix area since October 8. BofA is continuing to start the foreclosure process and take it all the way to the last step at a pace of roughly 50 homes per day which equates to roughly 24% of the Valley's foreclosures. BofA is continuing to move forward with all of the REO sales that were already on the market prior to October 8. Several national lenders announced a similar freeze but BofA was the only lender that applied this to the AZ market. BofA has offered little information on the freeze but they have already lifted the freeze in 23 other states where foreclosures are overseen by a judge. 2010-10-22T08:45:27-08:00 http://valleymarketblog.com/index.php/site/protect_our_boarders_to_the_north/ http://valleymarketblog.com/index.php/site/protect_our_boarders_to_the_north/#When:08:30:03Z Here they come down with cars and furniture. Finding the best deals and making homes in communities decimated by foreclosures!Thank you all Canadians. Lets get rid of these for sale signs and get some respectable part time residents in Phoenix! Not sure what you have heard, but I have only heard great things about Canadians, every one that I meet is level headed,nice and is respectful of the housing situation we are involved in! Thinking of visiting for a few days and want to check out the market? Here are a few things that you will want to bring with you: 1.A digital camera 2. A GPS 3. A letter from your banker stating that you have the amount of $xxx,xxx in Canadian funds in order to purchase a home in the US. Please don’t forget to call your agent with plenty of notice and let me when you will be in town! 602.206.9644! As of 10/18/10; There are 39,571 active homes on the market There are 5,957 homes under contract There are 9,985 homes pending (within a week of being closed) 1.800.207.6919 2010-10-18T08:30:03-08:00 http://valleymarketblog.com/index.php/site/canadian_buyer_article/ http://valleymarketblog.com/index.php/site/canadian_buyer_article/#When:04:17:04Z Phoenix's struggling housing market helped by Canadian buyers by Haya El Nasser - Sept. 24, 2010 12:00 AM - USA Today The collapse in housing prices and a strong Canadian dollar are luring north-of-the-border buyers to Arizona and other states where the weather is warm and the housing cheap. Canadians surpassed Californians this year as top out-of-state buyers of Phoenix-area real estate. The Canadian dollar is gaining, up from an average of 80 cents on the U.S. dollar in 2005 to 97 cents last week. At the same time, home prices in the Phoenix area have dropped about 50 percent from their peak in early 2007. "Things have really lined up" for Canadian buyers, says Gregory Tsujimoto, senior consultant at John Burns Real Estate Consulting in Irvine, Calif. Florida, California and Texas remain the top destinations for international homebuyers, but Arizona is gaining. Canadian homebuyers in Maricopa County made up a larger share than California buyers for eight of the past nine months, according to the Information Market, a Phoenix real-estate data firm. A Canadian flag often flies outside Shea Homes' new Encanterra development in San Tan Valley and in one development in Mesa, five homes on one street are owned by Canadians, Tsujimoto says. Property-management companies and real-estate firms target Canadian investors and services. Canadian Arnold Porter and his wife, Maureen, a dual U.S. and Canadian citizen, have launched Arizona for Canadians, a real-estate-services company that helps Canadians find homes and line up financing. "Most lenders won't give financing because Canadians have not established U.S. credit and you can't borrow from Canadian lenders on U.S. property," Arnold Porter says. Porter has found some U.S. lenders who will work with Canadians, but most of those buyers still pay cash. About half buy for investment, capitalizing on soaring demand for rental housing in Arizona because so many families are losing their homes to foreclosures. Other Canadian buyers want vacation homes. Julie Harvey, 38, a commercial banker and mother of two, lives in Vancouver, British Columbia. Originally from Newfoundland, she vacationed in Florida every summer growing up. When she and her husband, Tony, 40, decided to buy a second home, they set their sights on Arizona. The Harveys paid $130,000 cash for a 1,400-square-foot home in Anthem, an unincorporated area north of Phoenix. They plan on vacationing there at least twice a year and will let friends and family use the home. "What attracted us to Arizona was sports," she says. "Year-round baseball, hockey and football. All those things, together with the weather. There are no risks of natural disasters." Florida has hurricanes, which have jacked up homeowners' insurance rates. In California, where earthquakes are a threat, areas that offer the greatest housing bargains are not vacation spots - Riverside and Fresno. 2010-10-18T04:17:04-08:00 http://valleymarketblog.com/index.php/site/10_reasons_to_buy_a_home_now/ http://valleymarketblog.com/index.php/site/10_reasons_to_buy_a_home_now/#When:05:08:58Z Brian Petersheim 1.800.207.6919 BrianPetersheim@aol.com Here are 10 reasons why it's good to buy a home. 1. You can get a good deal. Especially if you play hardball. This is a buyer's market. Most of the other buyers have now vanished, as the tax credits on purchases have just expired. We're four to five years into the biggest housing bust in modern history. And prices have come down a long way– about 30% from their peak, according to Standard & Poor's Case-Shiller Index, which tracks home prices in 20 big cities. Yes, it's mixed. New York is only down 20%. Arizona has halved. Will prices fall further? Sure, they could. You'll never catch the bottom. It doesn't really matter so much in the long haul. Where is fair value? Fund manager Jeremy Grantham at GMO, who predicted the bust with remarkable accuracy, said two years ago that home prices needed to fall another 17% to reach fair value in relation to household incomes. Case- Shiller since then: Down 18%. 2. Mortgages are cheap. You can get a 30-year loan for around 4.3%. What's not to like? These are the lowest rates on record. As recently as two years ago they were about 6.3%. That drop slashes your monthly repayment by a fifth. If inflation picks up, you won't see these mortgage rates again in your lifetime. And if we get deflation, and rates fall further, you can refi. 3. You'll save on taxes. You can deduct the mortgage interest from your income taxes. You can deduct your real estate taxes. And you'll get a tax break on capital gains–if any–when you sell. Sure, you'll need to do your math. You'll only get the income tax break if you itemize your deductions, and many people may be better off taking the standard deduction instead. The breaks are more valuable the more you earn, and the bigger your mortgage. But many people will find that these tax breaks mean owning costs them less, often a lot less, than renting. 4. It'll be yours. You can have the kitchen and bathrooms you want. You can move the walls, build an extension–zoning permitted– or paint everything bright orange. Few landlords are so indulgent; for renters, these types of changes are often impossible. You'll feel better about your own place if you own it than if you rent. Many years ago, when I was working for a political campaign in England, I toured a working-class northern town. Mrs. Thatcher had just begun selling off public housing to the tenants. "You can tell the ones that have been bought," said my local guide. "They've painted the front door. It's the first thing people do when they buy." It was a small sign that said something big. 5. You'll get a better home. In many parts of the country it can be really hard to find a good rental. All the best places are sold as condos. Money talks. Once again, this is a case by case issue: In Miami right now there are so many vacant luxury condos that owners will rent them out for a fraction of the cost of owning. But few places are so favored. Generally speaking, if you want the best home in the best neighborhood, you're better off buying. 6. It offers some inflation protection. No, it's not perfect. But studies by Professor Karl "Chip" Case (of Case-Shiller), and others, suggest that over the long-term housing has tended to beat inflation by a couple of percentage points a year. That's valuable inflation insurance, especially if you're young and raising a family and thinking about the next 30 or 40 years. In the recent past, inflationprotected government bonds, or TIPS, offered an easier form of inflation insurance. But yields there have plummeted of late. That also makes homeownership look a little better by contrast. 7. It's risk capital. No, your home isn't the stock market and you shouldn't view it as the way to get rich. But if the economy does surprise us all and start booming, sooner or later real estate prices will head up again, too. One lesson from the last few years is that stocks are incredibly hard for most normal people to own in large quantities–for practical as well as psychological reasons. Equity in a home is another way of linking part of your portfolio to the longterm growth of the economy–if it happens–and still managing to sleep at night. 8. It's forced savings. If you can rent an apartment for $2,000 month instead of buying one for $2,400 a month, renting may make sense. But will you save that $400 for your future? A lot of people won't. Most, I dare say. Once again, you have to do your math, but the part of your mortgage payment that goes to principal repayment isn't a cost. You're just paying yourself by building equity. As a forced monthly saving, it's a good discipline. 9. There is a lot to choose from. There is a glut of homes in most of the country. The National Association of Realtors puts the current inventory at around 4 million homes. That's below last year's peak, but well above typical levels, and enough for about a year's worth of sales. More keeping coming onto the market, too, as the banks slowly unload their inventory of unsold properties. That means great choice, as well as great prices. 10. Sooner or later, the market will clear. Demand and supply will meet. The population is forecast to grow by more than 100 million people over the next 40 years. That means maybe 40 million new households looking for homes. Meanwhile, this housing glut will work itself out. Many of the homes will be bought. But many more will simply be destroyed–either deliberately, or by inaction. This is already happening. Even two years ago, when I toured the housing slump in western Florida, I saw bankrupt condo developments that were fast becoming derelict. And, finally, a lot of the "glut" simply won't matter: It's concentrated in a few areas, like Florida and Nevada. Unless you live there, the glut won't have any long-term impact on housing supply in your town 2010-10-17T05:08:58-08:00 http://valleymarketblog.com/index.php/site/the_dos_and_donts_of_real_estate/ http://valleymarketblog.com/index.php/site/the_dos_and_donts_of_real_estate/#When:08:54:01Z Be Market-Smart: Dos and Don’ts for Home Sellers and Buyers By Dan Steward RISMEDIA, October 13, 2010—It would be unrealistic to say that the real estate market is utterly rosy right now, but neither is it thorn-filled by any means. In fact, things are decidedly looking up: July got some good news, when the National Association of Realtors reported that pending home sales rose 5.2% from downwardly revised June levels, beating economists’ expectations. This is good news for both buyers and sellers. While challenges still exist—for instance, getting the best price when selling, or securing financing when buying—there are some once-in-a-lifetime opportunities out there, and plenty of happy results can be had for both buyers and sellers. The key for both groups is to remain flexible, adaptable and diligent. To that end, here are some dos and don’ts for today’s buyers and sellers: For Sellers: DO’S Be flexible. Often it’s the little things that push a buyer into the “yes” zone. If the buyer goes on and on about how much they love your icemaker, throw it in. If the closing has to be pushed ahead more than you expected, try to be as flexible as possible and pack the moving van a little quicker. Clean up. One person’s prize doll collection is another person’s cluttered nightmare. Similarly, a living room filled with Beanie Babies could elicit a reaction of fear, rather than “Aw, how cute!” from a buyer. Put away any personal collections that not only cause clutter, but also make it hard for a buyer to see the home as his or hers, rather than yours. DON’TS Don’t be greedy. The market—not your emotions—dictates your home’s price. If comparables in the area, and several trusted real estate agents tell you your home is worth $400,000, you’re not fooling anyone by pricing it at $500,000—and you’re only doing yourself a disservice. Pricing it at market, even a little below, could generate a bidding war, and ultimately get you more money. Don’t get personal. If you’re selling your house for a certain amount, and someone offers something much lower, don’t take this as a personal affront and refuse to counteroffer. Letting your emotions get in the way can potentially ruin the deal. What’s the harm in making a counteroffer? Don’t procrastinate. In the current climate, you might be scared to try to sell your home, as you may have to face a lower selling price than you may have gotten before the recession. But remember, the house you buy might be even lower, commensurately. It’s all relative. So if you’re serious about selling, consider doing it now. Also, acting before the cold months come is a good idea, as the winter months are historically harder for home sales. For Buyers: DO’S Get a home inspection. It’s important to hire a trusted home inspector to check out the house’s potential issues and problems. Don’t skip a home inspection because you’re afraid of what you might hear—many issues sound more serious than they actually are, and can be fixed easily. And if something deal-breakingly serious is turned up, as disappointing as that is, it can save years of heartache and financial outlay. Better to walk away from a clunker. List your place before you look for another. If you’re truly serious about looking for a home, list your place first. In the current economy, banks want to make sales as uncomplicated as possible—and contingency sales, which can be very complicated, are often rejected. Talk before you act. Don’t ever start a home search without a firm budget not only in mind, but literally written down. Mutually agree with yourself—or with your partner, if you’re buying with someone else—long before you start seriously searching. Going out of that zone because of a place you just “gotta have,” or are emotional about, could put you in dire financial straits later. You don’t want to buy a house that isn’t affordable for you, and then be worried about paying for dinner and a movie on Saturday night. DON’TS Don’t be a design snob. If someone’s enormous bathroom has wallpaper border containing frolicking kittens and pastel flowers, or a wall that’s a nuclear shade of green, we understand this can send you into style shock. But stand fast and ignore bad décor. Instead, try to envision the space raw. Besides, you can always redecorate once the home is yours. Don’t make a silly offer. There’s nothing wrong with making an offer below asking price—it’s no secret that today, many homes are selling for under the asking price. But going 40% below the asking price may anger the seller. Some sellers, especially more emotional ones, won’t even bother counter offering an outrageously low offer. Feel free to make a deal—just don’t make an offer so low that you’ll be kicked off the table. Smokin deals, Blogging 2010-10-15T08:54:01-08:00 http://valleymarketblog.com/index.php/site/a_more_in_depth_analysis_about_bank_of_america_stoppong_foreclosures_in_all/ http://valleymarketblog.com/index.php/site/a_more_in_depth_analysis_about_bank_of_america_stoppong_foreclosures_in_all/#When:08:32:23Z ...an unexpected, but popular, political act made just prior to a November election, in an attempt to win votes… Wiktionary Definition of October Surprise “Bank of America has extended our review of foreclosure documents to all fifty states. We will stop foreclosure sales until our assessment has been satisfactorily completed. Our ongoing assessment shows the basis for our past foreclosure decisions is accurate. We continue to serve the interests of our customers, investors and communities. Providing solutions for distressed homeowners remains our primary focus.” Reporters May Contact: Bank of America Home Loans, 1.800.796.8448 pressroom@bankofamerica.com Bank of America I must admit that I never saw this coming. Don’t quite understand how a company responds to the laws of a deed-of-trust state and the laws of a mortgage state in the same manner, but hey — it must be October, and to a voter, a foreclosure is a foreclosure. In a New York Times article which quickly followed Bank of America’s press release, Representative Edolphus Towns, the New York Democrat who is chairman of the House Committee on Oversight and Government Reform, applauded Bank of America’s move and said, “I expect to see every other responsible banking institution follow their lead.” Senator Harry Reid, the Nevada Democrat who is the Senate majority leader, thanked Bank of America “for doing the right thing” and urged other lenders to follow suit. I don’t know whether or not Bank of America’s actions fit the definition of an October surprise, mainly because I’m just not certain how popular this decision is going to be. People who have managed to stay in their homes for months without making a payment are applauding this decision; the 85% making their mortgage payments, maybe not so much. As for the over 100,000 in Maricopa County who have left their homes due to foreclosure in the last 30 months, they are probably indifferent and happy that they no longer face a mortgage that’s underwater. Personally, I’m tired of politics, and I find today’s news a tad bit depressing. I’m not a political pundit; I’m a guy that tracks housing numbers, and a foreclosure moratorium, as we’ve learned from previous moratoriums, simply delays the problem. Let’s look at the numbers. Bank of America by the Numbers We define a Bank of America notice of trustee’s sale as any notice filed in Maricopa County that lists the beneficiary’s address as 400 Countrywide Way, Simi Valley, CA, and ReconTrust Company as the trustee. ReconTrust Company, N.A., is a wholly-owned subsidiary of Bank of America. In Maricopa County there are currently 39,042 single family residences or condos with an active notice of trustee’s sale, and 12,198 of them, or 31.2%, show Bank of America offices as the beneficiary as well as ReconTrust as the trustee. When reviewing last month’s numbers, we saw 7,116 homes with notices filed in Maricopa County, 1,997 of which coming from Bank of America offices. When reviewing the 4,877 single family residences and condos that went to auction, we saw 1,104 from the Countrywide address. So, what does today’s press release mean? Quite simply, foreclosure activity in Arizona should decline 25% to 30% in October and remain there until some time after an “assessment has been satisfactorily completed”—I’m guessing sometime after the first Tuesday in November. That’s what we know today, and if Edolphus Towns gets his wish, we’ll see an even more dramatic drop in October’s foreclosure numbers. Final Thoughts Without even knowing it, Representative Towns may have uttered the greatest oxymoron to come out of the entire housing crisis: “responsible banking institutions.” If we apply the same analysis to our REO file, of the 20,850 bank- and government-owned homes currently in our database, 4,551 homes were 400 Countrywide Way foreclosures, of which 2,684 are now owned by Fannie Mae, 240 by Freddie Mac, 91 by HUD and 9 by VA. Sorry, foreclosing on a home and delaying handing the majority of your losses off to a “government” agency does not fit my definition of responsible. Finally, for those of you following the much publicized chess match of Valley Realtor Darrell Blomberg and his 32 months without making a mortgage payment, we’re predicting that his October payment gets postponed and that his streak is extended to 33 and 34 months. Yes, you guessed it; his mortgage is with Bank of America. In the case of Mr. Blomberg, DiMaggio’s record is in play. Cheers, Tom Ruff 2010-10-13T08:32:23-08:00 http://valleymarketblog.com/index.php/site/inquiry_on_one_of_our_listings_today/ http://valleymarketblog.com/index.php/site/inquiry_on_one_of_our_listings_today/#When:05:52:10Z Call my partner Kelly got today on one of our listings Me: Hello Caller: Um ya...calling about one of your homes you have listed for sale Me: Great, Which One? Caller: its in Maricopa Me: Ok, do you know what street your on? Caller: No but there is a For Sale sign out Front 5 mins later...figure out the house............... Caller: well reason why I am calling is because there is a car in the driveway with some cob webs on it Me: Ok? Caller: Well I am interested... Me: In the house? Caller: No the car! ugh!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! go away!!! 2010-10-12T05:52:10-08:00 http://valleymarketblog.com/index.php/site/fha_raises_minimum_credit_scores_for_loans/ http://valleymarketblog.com/index.php/site/fha_raises_minimum_credit_scores_for_loans/#When:06:20:18Z Please keep in mind that this announcement does NOT affect Canadian buyers! Credit Score requirements for FHA Many lenders increased their minimum credit score requirement for FHA loans from 620 to 640 this week. Bank of America was the first to announce the change and then a great number of lenders followed over the next few days. This knee jerk reaction is very common in the lending industry since BofA is the largest buyer of loans on the secondary market. It is important know that FHA did not raise their minimum credit score requirement and many lenders including Smart Financial are still able to close FHA loans with a 620 credit score. 2010-10-09T06:20:18-08:00