Baby Boomer Set To Affect Home Markets

American housing in the next decade is expected to be shaped by the changing values of adults ages 46 to 64, a study by the Urban Land Institute indicates.

The people in this demographic are healthier than the previous generation of home buyers and expect to work, at least part-time, past the typical retirement age. This indicates a more active lifestyle that supports another of the study’s findings: the members of this age group are more likely to purchase homes in pedestrian-friendly, mixed-use communities in urban and suburban settings.

While the previous generation’s senior years were marked by a migration south, this group exhibits less of a desire to move to the Sun Belt, instead opting to move closer to their children and grandchildren. This move will be dramatic in numbers. A study by the National Association of Home Builders indicates that more than 1.2 million mature adults expect to move this coming year.

What These Homebuyers Are Looking For

Key consumer surveys from the American Institute of Architects (AIA) and the National Association of Home Builders (NAHB) give insight into what these buyers want in a home. You can expect this group to make buying decisions based on both the design and the layout. These surveys suggest that these buyers are interested in a smaller footprint, in part because they are more affordable to maintain over time. Open and efficient layouts, with a first-floor master bedroom or the space for one to be added, are key interest points. Rather than anticipating a move to assisted living, members of this group are planning on aging in place and want to make sure that their homes can adapt to changes that will make it easier for them to live in and move around their living space. In addition, members of this group want to be able to indulge their tastes for quality details, upgraded features and a higher degree of personalization.

While buyers in this demographic will most likely want to see home space that will permit customization for their specific needs, they will also expect space that allows them to maximize the value of the home’s square footage. They will view a space in multiple ways. For instance, one buyer may view a typical dining room as a potential home office space, while another buyer may see it as a sleepover place for the grandchildren which easily converts to a TV room between visits. Adding doors to these types of rooms would make the property more attractive to a wider range of buyers.

These buyers are tech savvy and regularly use computers to work and communicate, so they will be most interested in homes that feature designated tech space. They will not necessarily want a large home office space, but will look for a nook fitted out with a desktop, chair and computer hookups. Sellers targeting this demographic who incorporate such space in an alcove under the stairs or an arched opening in a wider hallway meet the need.

 

From the desk of:
Wyatt Ragar
Your Bank of America Mortgage Loan Officer

 

Real Estate Tax Ban

Missouri voters have approved a constitutional amendment that bans a real estate tax.

The measure approved Tuesday prohibits the real estate transfer tax that is levied when homes, land and other property is sold. The transfer tax is charged like sales taxes based on the price of the property.

Missouri currently does not levy the tax, but other states do.

Critics of the transfer tax contend people already pay property tax on their homes and land. The state ballot measure was backed by the Missouri Association of Realtors.

Amendment 3 alters the state Constitution “to prevent the state, counties, and other political subdivisions from imposing any new tax, including a sales tax, on the sale or transfer of homes or any other real estate.”

The amendment, backed by the real estate industry, made it to the ballot by a statewide petition. Backers of the amendment say 37 states have such a tax, which, on top of regular property taxes, they argue amounts to double taxation.

“And we want to make sure Missouri properties remain affordable,” Elizebeth Mendenhall, president of the Missouri Association of Realtors, said before the election.

Santa Fe Real Estate

We Know Santa Fe Real Estate

Welcome to Knowing Santa Fe — a completely unique proprietary online experience for those looking to buy or sell real estate in Santa Fe, New Mexico. 

What makes knowingsantafe.com so unique? It's been crafted to suit the needs of both buyers and sellers with our proprietary Santa Fe Property Explorer, delivering the most detailed information possible about our Santa Fe real estate listings;   land, farms, ranch properties and Santa Fe homes for sale. Not only do we showcase photos of every nook and cranny (literally), but you will “feel” the property — whether you are across the street in Santa Fe, elsewhere in New Mexico or half a world away. Virtual tours, detailed descriptions about finishes and special features, dimensions of rooms, plans and maps of the property, downloadable brochures, and other features are available. We provide you completely free access to the Santa Fe MLS (search here) listings in addition to our extensive internal listings of luxury homes and properties. Because its like no other real estate site you've ever visited, you'll know what to expect before you ever set foot on the property. We guarantee it.

But what makes our practice truly special? Our 30+ years of experience understanding the nuances of the Santa Fe real estate market and helping our clients find the Santa Fe homes, farms, land and ranch properties they are looking for. It's not always easy to navigate the Santa Fe real estate scene. Santa Fe is a unique locale. (Click here for Area Information.) So, if you've lived here for awhile, or are just visiting Santa Fe for the first time, we can be of assistance. As an added bonus, check out the seasonal insider's experience to Santa Fe, NM, as only we can share, 3 Days in Santa Fe, New Mexico — an insider's experience created to introduce you to the Santa Fe we know.

Visit us at http://www.knowingsantafe.com

Do Loan Officers have to be licensed?

Loan Officer Licensing

The initial part of learning how to become a loan officer is determining the loan officer licensing requirements in your state.

Loan officer licensing requirements vary by state. Currently, in many states, loan officer licensing when working for mortgage brokers is required, but not so if for loan officers who work in banks or credit unions.


Recent federal legislation requires that all mortgage loan officers be licensed. Licensing requirements include at least 20 hours of coursework, passing a written exam, passing a background check, and having no felony convictions. There are also continuing education requirements for mortgage loan officers to maintain their licenses. There are currently no specific licensing requirements for other loan officers.




According to  The Bureau of Labor Statistics:

"Employment of loan officers is projected to grow 10 percent between 2008 and 2018, which is about as fast as the average for all occupations. Employment growth will be driven by economic expansion and population increases—factors that generate demand for loans. Growth will be partially offset by increased automation that speeds the lending process and by the growing use of the Internet to apply for and obtain loans. However, these changes have also reduced the cost and complexity associated with refinancing loans, which could increase the number of loans originated. 
 
The use of automated underwriting software has made the loan evaluation process much simpler than in the past. Underwriting software allows loan officers—particularly loan underwriters—to evaluate many more loans in less time. In addition, the mortgage application process has become highly automated and standardized, a simplification that has enabled mortgage loan vendors to offer their services over the Internet. Online vendors accept loan applications from customers over the Internet and determine which lenders have the best interest rates for particular loans. With this knowledge, customers can go directly to the lending institution, thereby bypassing mortgage loan brokers. Shopping for loans on the Internet is expected to become more common in the future and to slow job growth for loan officers."

Health Care Reform Realtor Survey by the National Association of Realtors

The National Association of Realtors (NAR) Health Insurance Coverage Survey

A randomly selected group of REALTORS® from across the country was given an opportunity to respond to a brief survey about health insurance coverage. Results of the survey are summarized below.

Download a copy (PDF: 98K)

Views About the Health Care System

• Approximately half (51%) of REALTORS® responding to the survey believe that the current health care system is not meeting their needs or the needs of their family.
  
• More than 8 in 10 REALTORS® (82%) believe that the health care system is not meeting the needs of most Americans.
  
• 91% of REALTORS® believe that the U.S. health care systems should be reformed.

Insurance Cost and Coverage

• One in four REALTORS® reported that they had no health insurance coverage.
• Among REALTORS® with insurance coverage, 43% purchased an individual market private plan while 27% were covered under a spouse’s or partner’s insurance plan.
• Among REALTORS® without coverage, 73% reported premium cost as the reason for the lack of coverage; only 15% cited a pre–existing condition as the reason for the costly premium.
• 4% of REALTORS® report being denied Insurance coverage due to pre–existing conditions.
• 63% of REALTORS® with coverage paid the entire premium with an additional 28% sharing the cost of the premium with an employer or other coverage source.
• Coverage most often included hospitalization (96%) and major medical (96%) followed by prescription drug coverage (81%).
• 66% of REALTORS® reported that the firm with which they were affiliated did not offer any type of health insurance coverage.

About the Survery
A 30 question survey was randomly sent to a selected sample of 42,309 REALTORS®. A total of 5,131 responses were received resulting in a response rate of 12.1%. The typical respondent was 51 years old, female (62%) and worked full–time (87%). Nearly two–thirds (63%) were sales agents. Half were affiliated with a firm that had one office.

Foreclosures Rates Leveling Off - Home Sales Nationwide

Foreclosure Rates are leveling off. According to RealtyTrac the foreclosure rate with in January had fallen 10%, with the banks repossessing nearly 79,000 homes. And they fell another 2% in February.

It is too early to tell if this trend will continue, but it is looking optimistic. There are factors to consider in these numbers, like the bad weather effecting court closings or special programs just delaying the process.

Foreclosed homes take a big tole on neighborhoods and the surrounding homes. When these home sell at a great discount, it drops the property value of other homes within miles.

States with the largest foreclosure rates are Nevada, Arizona, Florida, California and Michigan. Followed by Utah, Idaho, Illinois, Georgia and Maryland.

The metro area with the highest foreclosure rate in February was Las Vegas. along with Modesto, Riverside, San Bernadina, Ontario and Stockton ares in California.

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Sell FSBI instead of FSBO - For Sale by Owner - Flat Fee MLS listing - Discount Real Estate

 Selling your home FSBO - for sale by owner - can save the seller a lot of money.  But you also want to sell your home FSBI - for sale by internet.  Most buyers are home shopping on the internet whether they are working with a Realtor or shopping for their new home on their own.

Instead of FSBO, try FSBI: "For Sale by Internet."

• A FSBI house is one that is actively marketed on the internet
• It has its own website, with great photographs and descriptions
• It is optimized for Google and other search engines
• It will get search engine traffic in the form of people looking to buy a house in the very community where you live.

Flat Fee MLS listing satisfy both the FSBO and the FSBI.  You can avoid paying a commission if there is no other Realtor involved and the MLS is one of the best ways to market your home.

The St. Louis MLS, Maris, syndicates your home to Realtor.com as well as 35 other real estate websites including Yahoo, Trulia, HomeFinder and Zillow.

Every home submitted to the MLS automatically is syndicated no matter which Real Estate Company you use.

Lauralei Properties, llc will list your home on the MLS, Realtor.com and all the other sites pictured for $195 - and you can still sell FSBO and FSBI!

Check out the Lauralei Properties, llc website here....... lauralei.net

Join thousands of REALTORS® around the nation and hold an open house on the weekend of April 10 and 11, 2010.

Encourage your buyers to visit and your sellers to participate. As an added touch you can identify the open house with REALTOR® balloons.

How is this weekend different than any other weekend in April? This is an incredible opportunity for consumers to shop for a new home while:

	• Affordability is good
	• Mortgage interest rates are low (but expected to rise)
	• Good supply of homes on the market
	• The Expanded First-time Homebuyer’s Federal Tax Credit is still available. The contract has to be in place by April 30, 2010.

Eventually, home prices and interest rates will climb, inventory will become scarce and the tax credit will be gone.

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NAR(national association of Realtors) will be helping with this event by:

• Running a blurb in the April issue of REALTOR® Magazine
• Developing a national press release which they will send out April 9
• Promoting via their Facebook, Twitter, etc. accounts

Missouri helps homeowners buy homes with "HOPE" program

The Missouri Housing Development Commission (MHDC) at the end of 2009 rolled out an innovative program to help Missouri families buy a house.

Program Details
MHDC is allocating $15 million towards the HOPE program. Qualified Missouri families that purchase a home in 2010 are eligible for a HOPE incentive equaling the amount of the 2009 real estate tax bill associated with the property they purchased, up to a maximum of $1,250. 

Additionally, homebuyers who are approved for the real estate property tax HOPE incentive may also be eligible to receive an additional amount if they bought a qualified, newly-constructed, energy-efficient home or bought an existing home and remodeled or purchased items such as Energy Star^® appliances to make the home more energy efficient. The maximum combined total of the HOPE property tax incentive and the HOPE energy-efficiency incentive is $1,750.
This can be met by doing some remodeling or even purchasing an Energy Star® appliance.  The MHDC website has complete information on the program and can be reached at
http://www.mhdc.com/homes/HOPE/index.htm

Making Home Affordable Program - Obama - HARP plan - refinance St. Louis

The Making Home Affordable Program is part of the Obama Administration's broad, comprehensive strategy to get the economy and the housing market back on track.

The Making Home Affordable Program offers strong options for homeowners:
(1) refinancing mortgage loans through the Home Affordable Refinance Program,
 (2) modifying first and second mortgage loans through the Home Affordable Modification Program and the Second Lien Modification Program and
(3) offering other alternatives to foreclosure through the Home Affordable Foreclosure Alternatives Program.

The objective of a refinance under HARP is to provide creditworthy homeowners who have shown a commitment to paying their mortgage the opportunity to get into a new mortgage with better terms. Homeowners whose mortgage interest rates are much higher than the current market rate should see an immediate reduction in their payments.

To apply for a modification under HAMP, you must:

• Be the owner-occupant of a one- to four-unit home.
• Have an unpaid principal balance that is equal to or less than:
• 1 Unit: $729,750
• 2 Units: $934,200
• 3 Units: $1,129,250
• 4 Units: $1,403,400
• Have a first lien mortgage that was originated on or before January 1, 2009.
• Have a monthly mortgage payment (including taxes, insurance, and home owners association dues) greater than 31% of your monthly gross (pre-tax) income.
• Have a mortgage payment that is not affordable due to a financial hardship that can be documented.

The program expires on June 10, 2010.

Go here for more info

The Basics of Foreclosure “Short–Sales”

by Attorney William Bronchick

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You will likely come across dozens of properties in foreclosure with little or no equity, that is, the seller owes at close to or more than the property is worth. In these situations, lenders are sometimes willing to accept less than the full amount due, commonly referred to a “short pay” or “short sale.”

Negotiating a short sale with the lender is a difficult process, generally because it is a daunting task finding a bank officer who has the authority to accept a discount. You will have to call around to locate the lender’s “Loss Mitigation Department”. More than likely, each lender you deal with will have a separate name for this department, so be patient when calling. Much like getting your phone bill corrected, you can expect the process to involve a lot of waiting on hold and being bounced around an intricate maze of automated voice mail systems. Once you get in touch with the right person, then the negotiating begins.

From the lender’s perspective, a short sale saves many of the costs associated with the foreclosure process - attorney fee’s, the eviction process, delays from borrower bankruptcy, damage to the property, costs associated with resale, etc. In a short sale scenario, the lender gets the property back faster, so it is able to cut its losses. Your job as the investor is to convince the lender that it will fare better by accepting less money now.

The lender will want some information about the property, the borrower and the deal he has made with you. Specifically, the lender wants to know what the property is worth. The lender will generally hire a local real estate broker or appraiser to evaluate the property (called a broker’s price opinion or “BPO”). You can also submit your own appraisal or comparable sales information. In addition you will want to offer as much specific negative information about the property as possible. Also, include some relevant information about the neighborhood and the local economy if things are bad (copies of newspaper articles with “bad news” may help). A contract’s bid for repair estimates should also be submitted, which, of course, should be the highest bid you can obtain!

The lender will also ask for financial information about the borrower. Sort of a backwards loan application, the borrower must prove that he is broke and unable to afford the payments. The borrower must show that he has no other source of income or assets to repay the loan. This process may involve as much, if not more paperwork than an original mortgage application! The borrower should submit a “hardship letter”, which is basically a sob story about how much financial trouble the borrower is in. This may require a little literary creativity, and some help on your part. Don’t lie, just paint a picture that doesn’t look good.

Finally, the lender generally wants to see a written contract between you and the seller. The lender wants to make sure the seller isn’t walking away with any cash from the deal. Generally, the contract must be written so that the buyer pays all costs associated with the transaction, so that the “net cash” to the seller is the exact amount of the short pay to the lender. A preliminary HUD-1 settlement statement is often requested, which can be difficult, since many title and escrow companies simple won’t prepare one in advance of closing. You can prepare your own HUD-1, and simply write “preliminary” on the top.

Don’t be surprised if your first short sale bid is rejected. Lenders aren’t emotionally attached to their properties, so they aren’t as likely to give you steal. Many short sales fall through if the BPO comes in too high, which is often the case. You can’t pull the wool over a lender’s eyes – if the property isn’t is need of serious repair, it is unlikely you can convince the lender the property is worth a whole lot less than the appraised value.

The process of the short sale is not that complicated, but the success or failure of the deal depends upon how you present it to the lender.  Many novice investors and realtors give up at short sales quickly because their first deal is rejected.  Like any business, short sales takes practice to get good.  Generally speaking, loss mitigators are pretty good at spotting an amateur investor.  If you know what you are doing, the loss mitigators are more likely to make a deal with you.

Want to become an expert at short sale deals?  Register for William Bronchick's upcoming Foreclosure Investing Boot Camp.

Top Ten Cities for Real Estate Steals - Saint Louis nowhere on top 10 list

 U.S. News turned to Moody's Economy.com. The economics firm provided average and quarterly price-to-income data for each of the nation's 384 distinct metropolitan statistical areas. By comparing the most recent figures with longer-term averages, they were able to compile a list of 10 cities for real estate steals.

1. Memphis: Higher home values pushed the price-to-income ratio in Memphis to nearly 5 in the first quarter of 2006--sharply above its 2.13 average for the 15 years ending in 2003.


2. Salinas, Calif.:  homes in Salinas are expected to become even cheaper this year as foreclosures exert additional downward pressure on prices

3. Medford, Ore.:  Because its timber industry is crucial to the local economy--wood-processing jobs represent at least a quarter of all manufacturing positions--the collapse of the new-home building market triggered higher unemployment in the area.

4. Washington:  the price-to-income ratio of the Washington area fell to 1.12 through the third quarter of 2009.

5. Mobile, Ala.:\ home prices in Mobile, Ala., have dropped about 7 percent in recent years.

6. Las Cruces, N.M.: The housing market in Las Cruces, N.M., has become increasingly undervalued in recent years when compared with historical averages.

7. Fayetteville, N.C.: The housing market in the military town of Fayetteville, N.C., avoided wild price swings that devastated other parts of the country. Rather than surging, home prices remained largely flat for most of the previous decade. Today, house prices in Fayetteville remain undervalued when compared with longer-term averages.

8. Phoenix: After jumping more than 85 percent from 2002 to 2006, home prices in the Phoenix area have crashed by 52 percent in recent years.

9. Fort Worth/Arlington, Texas: In recent years, home prices in the Fort Worthand Arlington, Texas, area have also grown increasingly undervalued when compared with longer-term averages. The area's price-to-income ratio fell from 3.95 in the fourth quarter of 2005 to 1.89 through the third quarter of 2009.

10. Cincinnati: Home prices in Cincinnati have remained relatively affordable throughout the nation's recent boom-and-bust cycle.

Real Estate Transfer Tax - Double Taxation

I just received an email from the Missouri Association of Realtors:

A real estate transfer tax is a tax paid at the closing of a property. It would be a percentage of the total sales price charged and paid by every seller, buyer or both at closing.



Real estate transfer taxes are nothing more than double taxation. They are often paid by the people who have lived in their home for years and have already paid thousands of dollars in annual property taxes.



While transfer taxes aren’t currently imposed in this state, the Missouri Constitution allows state and local government to impose transfer taxes at any time. With burgeoning government deficits caused by wasteful spending, politicians are looking for new revenue sources. Real estate transfer taxes are happening in other states, including Illinois, Iowa, Kansas and Arkansas.

Has the house market rebounded?

There's new evidence the housing market is healing after a four-year slump, according to The Wall Street Journal's quarterly housing survey.

According to the National Association of Realtors existing-home sales rose in November, increasing 7.4 percent from the previous month to a seasonally adjusted annual rate of 6.54 million units. November resales were a whopping 44.1 percent higher than the level a year ago.




The question is, how will the market be once the tax incentives have ended? Most of the findings I have been reading say that things might slump somewhat, but should stabalize do to the overall rebounding economy.

How a good realtor can help your home sell - Flat Fee Mls - St. Louis, MO

Have you ever seen a good realtor at work when you are buying or selling a home?  It can make a huge difference in whether the buyer buys or the seller sells.

We had a sales meeting at our Lauralei Properties office and we were thrilled with the information we learned from the agents who attended.

For instance, Paige, who had the most new listings last month, gave a great demonstation on how to show buyers the great features of a home.  How to watch the buyer's eyes and body language - by watching a realtor can distract them from the negative features and present the benefits of a great feature.

Paige also emphasized the importance of the listing agent being there to point out these features and assist the buyer's agent.  Remember this is probably the first time the buyer's agent has seen the property and some key features may be overlooked.

A homeowner or listing agent can also share key features over the phone when the prospect or agent calls to make the appointment.



Judy, our most seasoned agent, shared a few great staging tips.  Rick and Tracey discussed the short sale seminar they had attended.  All of this information was so helpful.
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5 FSBO Flat Fee MLS Questions Answered

5 FSBO Flat Fee MLS Questions Answered 

Author: Rich Broker

If you are a first time user of a flat fee MLS, you certainly have questions in mind. You want to make sure that they are answered in order for you to know how the process works. Here are five of the questions you share with other first time users of the service.

Question # 1 – What are the steps to get listed in this type of MLS?



It all starts with purchasing a package then you will be contacted by the broker on how the paperwork should be done. Once you have completed the paperwork, you should send it back to the broker. You may also submit your photos for uploading to the site of realtors and in the MLS website itself.



Question # 2 – What are the main benefits obtained from a flat fee MLS?



Listing your FSBO property through this method will give you more exposure in the real estate market. It can also save you tons of money because you need not pay for commissions (although at some points you are required to pay 2% to 3% buyer agent's fee). You also save time marketing your property.



Question # 3 – Can changes be made on properties already listed via flat fee MLS?



If you think you need to change some information on your listed property, you may do so at any time.



Question # 4 – What else can be included in the package?



In order to increase your exposure, you are allowed to upload photos in the MLS site. In addition to this however, you may order a kit that contains internet listings and a yard kit. You also get to have your for sale by owner home listed for six months. All of these are offered for a price of $129 to $299.



Question # 5 – Where will the FSBO property be listed?



Your ad will actually be placed on almost all real property websites. Expect that there are around 36,000 realtors working for you. The flat fee MLS may also contain the national search engine marketing feature where your properties will reach any part of the country.



These are just some of the questions that you may want answered by the flat fee MLS provider. Once you choose one, make sure that you raise all your concerns prior to hitting the "buy" button from the company. You must know all requisites as well before getting listed.



Rich Broker

Article Source: http://www.a1articles.com/article_1355189_33.html

Cities with Top Foreclosure rates

According to Realty Trac, Las Vegas had the most foreclosures in 2009, which is five times the national average.  One of every eight Vegas households (12%) received notices of loan default, auction, or repossession in 2009.

While Nevada ranked number one - Missouri is ranked at number 30.  St. Louis foreclosure rates have been right along with the rest of the nation, with about 1,700 foreclosures in St. Louis city alone per month.

Most people don't realize that there is a redemption period in some states, that allow the person who lost their home to get it back after it has already been foreclosed on. Here is the rule for Missouri:

1. A notice of sale must be mailed the borrower, at his last known address, at least twenty (20) days prior to the scheduled day of sale. The notice of sale must also be published in a newspaper within the county.
2. The sale is conducted by the trustee at public auction for cash to the highest bidder. Anyone may bid, including the lender. If the lender is the winning bidder, the borrower has one year (12 months) to redeem the property.

  Kansas, for example, also allows the homeowner one year to get the property back, but does not have the "lender" clause.

A person wanting to bid on a foreclosed property needs to study carefully all the laws involved.

I NEED an Apple Ipad

I really NEED an Apple Ipad.

Just seeing it on the tv yesterday - and now I really want it - wouldn't it be great for realtors? Me in particular :)

9.7 display - 10 hr run time - portable

While showing houses you could easily run comps, look at other properties, pull up a sales contract and from what I understand you could sign contracts right on the screen. 

I had been dreaming about a Kindle - to read books - but this would be so much better - have you seen the way it looks like the page is turning when you turn the page?

How long before Windows has a version?

The email capabilities sound great too - and isn't the little keyboard so cute.

Anyone else out there like me.... watering at the mouth?

Maybe Apple will see this and donate one to me to review..........

The Short Sale Process

 What is a Short Sale?

A short sale is an arrangement between the current owner of a home and the bank to accept an offer for less than the total amount owed to pay off the home. The "deficiency" is the difference between the amount owed and what the bank collects at the short sale.


Different banks have different policies. The best case scenario is to get a bank that actually writes off the deficiency. All that happens here is that the seller has some minor derogatory credit reporting, but doesn't actually owe the bank any more money.

Some banks will do a promissory note for the deficiency. The owner will still owe this after the home is sold. NEVER EVER ASSUME THAT A DEBT THAT YOU OWE A LENDER IS GONE UNLESS YOU HAVE THE DETAILS OF THE RELEASE OF THAT DEBT IN WRITING

 Most banks will not agree to a short sale in writing until you have a formal offer - you will have to submit an application, hardship letter, financial statements, tax returns, pay stubs, the purchase agreement from the buyer, a HUD statement from the pending transaction, payoff letters from all lenders involved, and several other things depending on the lender.  Each bank is different in what they require.

A short sale is not a quick fix - it is a long drawn out process.

Always check with someone who has a lot of experience with short sales if you are selling your buying a home involved in a short sale

Martin Luther King, Jr. quote inspires excellance

I love this quote “If a man is called to be a street sweeper, he should sweep streets even as Michelangelo painted or Beethoven composed music or Shakespeare wrote poetry. He should sweep streets so well that all the hosts of heaven and earth will pause to say, ‘Here lived a great street sweeper who did his job well.’” – Martin Luther King, Jr.  

This is my motto for doing any job - alot of people ask me how you can make money when you charge $195 for a flat fee MLS listing - the simple answer is "I do fine"  - the longer version is "I do more than is required, therefore I do fine".

Instead of having the attitude how little can I do - I like the attitude - "How well can I do and what more can I do".

Working with the title company when your sell or buy your home.

Working with the title company can be a really good experience or a really bad one.  I have been waiting for commission checks on homes we sold and I called the title company.   The one property they couriered the check yesterday - I was here all day yesterday and no check - I found out that they left it outside my old office - didn't bother to call and say "No one is there, should we leave it?"  The second property they closed on and did not issue us a check at all ..... and they will look into the third one.  Time to change title companies?

I also have another title company that is the worst when it comes to sending me the HUDS (the final closing statement) - I need these HUDS to mark the property as sold on the MLS.  The local MLS gives you 5 days to change status before they can start assessing fines.  I am just keeping my fingers crossed that they don't track me down because I have several properties from this one title company that is 2 months late!

I am happy to say that most of the transactions are smooth ones - but when they mess up it is sometimes a doozy - I have had clients walk out at closing because of the shoddy work of a title company.

Do you really own your home to get the 1st time homebuyer Tax Credit?

You might be surpised to learn that you might not - I received a call from a person today having trouble getting the first time homebuyer tax credit.  She got a trailer from a company that owns a Land Lease Community.  She was told that she was buying the trailer and leasing the land.

But as she read her paperwork to me, it became more and more obvious that she was leasing the trailer for 13 years at 14% interest, paying homeowner's insurance, taxes on the trailer and all maintenance.  At the end of the 13 years she could then purchase the trailer for $1. - but until then the deed is in the company name and she does not qualify for the first time homebuyer tax credit.  She does not in fact own the home!

All the paperwork has misleading jargon like "mortgage","mortgage interest", "mortgage principal" and loan.  When all the time it is a glorified lease purchase - but with the poor renter paying all the expenses.

A Land Lease Community is a  housing development in which homeowners lease the land under their homes from a landowner who often provides community infrastructure and amenities as well. The most common such communities are the modern equivalent of the mobile home park, in which owners of Manufactured Homes lease their Sites. Surveys indicate that more than one-third of manufactured homes are located in land lease communities.

Things you can get for a flat fee

I offer flat fee MLS listings - and was just curious about the other types of things you can get for a flat fee. So I did a google search and this is what i came up with :)

1 - flat fee mls - i like this one
2 - no nonsense divorce -for as little as $800
3 - tax resolution
4 - more mls
5 - graphic design
bookkeeping, loans, and the list goes on and on!

Wikipedia definition: A flat fee, also referred to as a flat rate or a linear rate, refers to a pricing structure that charges a single fixed fee for a service, regardless of usage. Rarely, it may refer to a rate that does not vary with usage or time of use. Another term used is "flate", a hybrid of "flat" and "rate".


The most surprising part for me was that by and large most of the postings were for mls listings.  I was more surprised to learn that the US Dept. of Justice Antitrust Division announced the launch of a new web site  to educate consumers and policymakers about the potential benefits that competition can bring to consumers of real estate brokerage services and the barriers that inhibit that competition.  Among other findings, they report that new sales models can reduce consumer home sales costs by thousands of dollars.   Here is the website Competition and Real Estate, includes a link to the real estate laws of each U.S. state and how they support or inhibit real estate brokerage competition.

FHA is raising fees and tightening lending standards

The Federal Housing Administration is raising fees and tightening lending standards.

The FHA insures approximately 30% of new loans and 50% of first-time buyers. They are so popular because the buyer only has to put 3.5% down and there are usually other programs to help with this amount. They do not make loans, but rather offers insurance against default.

The changes, which will go into effect in the first half of the year.

The new policies, to be announced today, the home buyers will:

■Pay an upfront mortgage insurance premium of 2.25 percent of the total loan amount (now it is 1.75) Borrowers will still be able to wrap these fees into the total amount borrowed. FHA officials also plan to ask Congress to increase the maximum annual premium that FHA can charge.

■Need a credit score of at least 580 to qualify. (now it is 500)

FHA also said that sellers would be able to pay closing costs of up to only 3 percent of a home's sales price, rather than the current 6 percent.

The increased upfront mortgage-insurance requirement will probably take effect in the spring. The new FICO score requirement and the change in seller-contributed closing costs will most likely take effect in early summer.

LIitle things sellers sometimes overlook

Here are some little things sellers sometimes overlook when preparing their home for sale:

- Replace burned out bulbs to avoid a "Light is inoperable" report that may suggest an electrical problem.

- Test smoke and carbon monoxide detectors, and replace dead batteries.

- Clean or replace dirty HVAC air filters. They should fit securely.

- Remove stored items, debris and wood from foundation. These may be cited as "conducive conditions" for carpenter ants.

- Remove items blocking access to HVAC equipment, electric service panels, water heaters, attics and crawl spaces.

- Trim tree limbs to 10' from the roof and shrubs from the house to allow access.

- Attend to broken or missing items like doorknobs, locks and latches; windowpanes, screens and locks; gutters, downspouts and chimney caps.

- look for dust bunnies or cobwebs in places that are higher and lower than your normal range of vision

HUD acts to speed foreclosed properties resales

Efective Feb 1, the Housing and Urban Development Department will waive for one year an FHA rule that prohibits insuring a mortgage on a home owned by the seller for less than 90 days, giving FHA borrowers access to a broader array of recently foreclosed properties.

The move is to allow homes to resell as quickly as possible, helping stabilize real estate prices and revitalize neighborhoods after the U.S. housing market collapse.

To protect FHA borrowers against predatory practices of "flipping" where properties are quickly resold at inflated prices to unsuspecting borrowers, this waiver is limited to those sales meeting the following general conditions:

• All transactions must be arms-length, with no identity of interest between the buyer and seller or other parties participating in the sales transaction.
• In cases in which the sales price of the property is 20 percent or more above the seller's acquisition cost, the waiver will only apply if the lender meets specific conditions.
• The waiver is limited to forward mortgages, and does not apply to the Home Equity Conversion Mortgage (HECM) for purchase program.

Specific conditions and other details of this new temporary policy are in the text of the waiver, available on HUD's website.

Do the new appraisal rules bring down housing value?

Do the new appraisal rules bring down value?

Starting Feb. 15, mortgage brokers will no longer be able to order appraisals on loans insured by the Federal Housing Administration (FHA). For consumers, that is supposed to mean home appraisals will more closely reflect a home's value. The reason: Brokers who may profit from a loan being approved won't also be choosing appraisers, who may feel pressured to declare a higher value.

The rule means brokers, Realtors and loan-production staff — anyone who stands to earn a commission based on the value of the transaction — can't hire an appraiser. Instead, lenders are turning to third-party appraisal management companies that typically hire appraisers on contract to do the job.

These rules are designed to ensure appraisals are impartial — are resulting in excessively low home values, because chosen appraisers aren't as experienced or as familiar with local markets. They also say the appraisers take more time, causing delays in getting appraisals done.

What is Your home Worth?

While many factors come into play when you’re evaluating a residential property’s value by “comps” (comparable sales), the three key factors are location, size (square footage) of the home and the number of bedrooms and bathrooms. Obviously, you’ll need to look at many other aspects before you can pinpoint the exact value of a property, but these are the “big three.” You should be able to look at comparable sales involving properties with these three factors and get a good idea of the value of the property you’re selling.

Location is extremely important when you’re comparing sold properties. A professional appraiser typically looks at houses within a one-mile radius or less, and so should you. In the case of a subdivision -- where the houses are all similar and built in the same time period -- you need to compare similar houses with similar styles in the same subdivision to get an accurate valuation. If there’s a wide mix of properties in the subdivision, you may need to go outside of it to get comparable sales. Just be careful with “dividing lines.” Geographic lines such as opposite sides of the river, the park, or a main highway can be invisible dividing lines that put the property in another school district and may not garner equitable comps.

When determining a home’s value, be sure to evaluate the square footage. Note that appraisers typically look at homes that are within 20% up or down in square footage as comparables. Generally (especially within a subdivision), most homes fall within a fairly limited size range. Therefore, you should be able to develop a good gauge for the selling price of homes in those particular sizes.

Of course, not all square footage is created equal. Most people think that if a house has 1,000 square feet and is worth $100,000, then the 1,100 square-foot house next door would be worth $110,000. Wrong! The extra 10% in square footage equals only a few percentage points in value. If these two houses offer the same location, style, and number of bedrooms and baths, the 10% additional square footage won’t change the valuation much. Why? Because there is a fixed cost on a house based on the value of the land, cost of construction, sewer, subdivision plans and other factors. An extra few hundred feet of space involves very little cost -- only wood, nails, carpet and possibly some minor electrical and plumbing costs.

The number of bathrooms and bedrooms is more relevant than simply the raw square footage. In other words, a three-bedroom home with 1,200 square feet might be worth more than a two-bedroom home with 1,250 square feet. It also matters where the bedrooms and bathrooms are located – on the main floor or the basement. While finished basements can add value, the amount of that value is less than it is for above-ground living areas. Plus, this greatly varies depending on different regions of the country. In humid areas, below-ground living space isn’t as valuable to homeowners as in dryer areas of the country.

Why use a Flat Fee MLS Listing?

Why Should You Do A Flat Fee MLS Listing?

If you’re thinking of selling your house, have you considered going with a flat fee MLS listing?
Here are some facts to consider before signing a contract with a real estate agent that promises them a big commission for selling your house.
In most areas, about 3.5 % of the final sales price will go right into the listing agent’s pocket. That’s a huge chunk of money for, in far too many cases, not all that much work. With a flat fee MLS listing, you can save thousands of dollars.
It’s the listing that is really crucial in most cases. That’s what gets your house seen, and attracts interested buyers. It’s not your listing Realtor knocking themselves out to line up a buyer for your house. Most agents list as many houses as possible, and find themselves with far too many to effectively market. But they know that once a house is on the MLS, odds are good someone will see it and make an offer. So why pay thousands and get little in return? The listing is the key factor, and with a flat fee MLS listing you can get your house seen, and save thousands of dollars.

Life is About Change

Life is About Change - It is so easy to resist change, to get bogged down in the sadness of change - I did that yesterday.

Today is a new day - today i read some inspiring quotes:

Nothing in the world is permanent, and we're foolish when we ask anything to last, but surely we're still more foolish not to take delight in it while we have it. If change is of the essence of existence one would have thought it only sensible to make it the premise of our philosophy.

W. Somerset Maugham (1874 - 1965)

I especially like the part in "take delight in it while we have it" - you have to live in the present - i sometimes spend so much time worrying about tomorrow or regetting yesterday - i can't enjoy the NOW. Yesterday coming home with friends, I was so ready to be out of the car, to be alone, etc, etc. - and I purposely stopped looked out the window and enjoyed the view, the feel of the movement in the car - and it really helped - my mood changed instantly.

Another good quote is:

Change your thoughts and you change your world.

Norman Vincent Peale (1898 - 1993)

How true this is!

Change is all about perception. When it's hot we want cold - when it's cold we want hot.

Housing survey

There are no great surprises in the National Association of Realtors® 2009 Profile of Home Buyers and Sellers, but, as in the past, the annual survey contains information useful both for consumers and for brokers and agents.

In these days almost everyone uses the Internet during the home search process. 90% used the Internet at some point and 76% said they did so frequently. Just seven years ago only 41% of buyers indicated any Internet use at all.

Of course, people looking for a home use more than just one information source. The top five were: Internet (90%), real estate agent (87%), yard signs (59%), open houses (46%) and newspaper advertising (40%). While people used a variety of sources, they certainly didn't perceive them all to be equally useful. When asked which information sources were very useful, the top three were real estate agent (81%), Internet (77%) and yard signs (42%). Ten percent of buyers found open houses to be very useful sources of information while another 25% found them to be somewhat useful.

What agents and sellers should be most interested in is not what buyers perceived to be useful but what, in fact, actually brought the buyer to the home that he or she purchased. This is where it really gets interesting.

36% of buyers found the home that they ultimately purchased on the Internet; another 36% learned of that home from a real estate agent. Over the years, the number who learned from an agent has diminished. In 2001 it was 48%. Conversely, the number who learned of their home from the Internet has grown greatly. In 2001 that number was only 8%. Interestingly, those who found their home as a result of a sign has remained relatively steady. Over the past decade that number has pretty consistently been at the 15% -16% levels. This year it was 12%.

It is interesting that the methods that actually work – that bring the right home in front of buyers – are among the least expensive: the Internet, working with an agent (who learns about properties through the MLS), and signs. 84% of buyers learned about their home through one of these sources.

INTERESTING: some of the most expensive methods – newspapers, home books and magazines, and television – are among the least effective. Only 4% of buyers found their homes via these media.