Archive for August 2009
Thursday, August 27th, 2009
The headline on the front page of the Deseret News yesterday was Utah’s home prices tumble. State’s depreciation almost double nation’s. Then the headline on the Business page was Consumer sentiment, home prices show signs of life. I remember well a couple of years ago when the national economy and housing market were going down the drain, but the Utah market seemed to be strong. We had hopes at that time that our market would remain strong. Even the local economists differed in opinions about our future. Well, now the national economy is showing signs of turning around but we are a little behind the curve. I’m confident that our economy and housing market will be turning the corner soon. Meanwhile, we need to make the best of a bad situation. We are definitely at the bottom of a buyer’s market, and right now is probably the best time we’ve had in years to buy a home. There are great opportunities to buy homes all over the state of Utah, but I think West Valley City and West Jordan have some especially good buys. Not only are the home prices low, but interest rates are also very low, and there are many incentives, both local and federal to help people purchase a home. Don’t let this opportunity pass you by. The time to act is now!!!!
Tags: Buying a home in West Jordan, Buying a home in West Valley City, First Time Home Buyers, Utah Housing Market
Posted in Buy a House | No Comments »
Monday, August 24th, 2009
“Home sales rebounded in June, with more than 1,200 existing homes and condominiums in Salt Lake County changing hands. That’s a 5 percent increase compared to the 1,150 in June 2008 and the first time since September 2008 that monthly sales have shown a year-over-year increase. June’s sales are remarkable considering the fact that Utah and the nation are at the bottom of a recession. Last year at this time we reported that June sales were down 23 percent compared to June 2007. While one month of year-over sales increases does not establish a trend, it appears Salt Lake City is at the bottom of the housing recession (in sales) and is making a comeback.
On a national level there are many signs pointing to an economic comeback. For instance: The Case Shiller Index reported in July that home prices in the nation’s top 20 metropolitan areas rose 0.5 percent for the three-month period ended in May compared to the three-month period ended in April. That was the first time the index showed an increase after 34 consecutive months of decline. In addition, nearly 55 percent of business leaders expect economic conditions to improve in the next six months, up from approximately 17 percent last quarter, according to the Conference Board. ‘More companies than usual have beaten earnings targets, something that generally happens at the bottom of a recession,’ according to the Wall Street Journal. ‘Combined with improved forecasts for economic growth and moderating job losses, some economists are saying the worst is over.’” (Ryan Kirkham. President Salt lake Board of REALTORS) If this is indeed the bottom, the time to buy a home is now!.
Tags: Buy a home in West Valley City, Buying a home in West Jordan, Housing Market, Utah
Posted in Buy a House | No Comments »
Friday, August 21st, 2009
Many Americans have taken a hit to their home equity over the past couple of years, and some may wonder if it’s really the smartest financial decision to own a home. In comparison with renters, home owners have much greater household wealth, says National Association of Realtors’ April commentary on the Fed’s Survey of Consumer Finances. Owners’ wealth exceeds that of renters by a factor of 50-to-1. The main wealth difference between the two is home equity. But even for households who’ve owned their home only since 2003, home equity gains are the rule rather than the exception – and in some cases, equity gains have been significant. In all 150 markets tracked by NAR, including hard-hit markets, households who’ve owned their home for 10, 15, and 20 years have uniformly enjoyed strong equity gains despite the recent downturn. The data clearly show that homeownership remains the biggest store of wealth for the typical household, even when markets are buffeted by some admittedly very rocky years. (Realtor Magazine, Robert Freedman)
Tags: Buying a home in West Jordan, Buying a home in West Valley City, Buying a home versus renting, First Time Home Buyers
Posted in Home Investment | No Comments »
Wednesday, August 19th, 2009
The United States Department of Housing and Urban Development (HUD) oversees the Federal Housing Administration (FHA), which provides federal insurance against default on home mortgages. If the payments are not made on an insured FHA loan, the mortgagor forecloses, or accepts a deed-in-lieu of foreclosure, then files an FHA insurance claim for the unpaid loan balance. The mortgagor then conveys title to the property to HUD. Who can buy a HUD home? Any qualified purchaser can offer to buy a HUD home, regardless of race, color, religion, sex, national origin, handicap, or familial status. Before making an offer, prospective buyers must have a letter, written on the stationery of a mortgage lender, stating that they have been pre-approved for the loan amount that will be needed to close on the home. Buyers paying all cash must provide proof of available funds. All HUD homes are sold strictly “AS-IS”. Purchasers must make sure the home is in the condition they are willing to accept. The purchaser has fifteen (15) days after the ratification date on the sales contract to have all inspections made. The required earnest money deposit that the selling broker must have secured from the purchasers prior to bidding on their behalf is usually $1,000 and must be in the form of a certified or cashiers check or a money order. There are usually HUD homes available in West Valley City and West Jordan and other areas throughout the State of Utah.
Tags: Buying a home in West Jordan, Buying a home in West Valley City, Buying a HUD home, Buying foreclosed homes in West Jordan, Buying foreclosed homes in West Valley City
Posted in Foreclosures | No Comments »
Tuesday, August 18th, 2009
With the influx of foreclosed homes in the market, the Federal Housing Administration’s 203(K) Loan Program is taking on new significance. There are many foreclosed homes on the market in West Valley City and West Jordan. Many of them need either major or minor fixup. This loan allows an eligible owner-occupant to borrow the funds to both purchase and renovate a home using credentialed contractors. Work can range from cosmetic improvements to major projects. The loans can also be used by existing homeowners who want to refinance and rehab their properties. The 203(K) loan is not a quick, or easy, approval process, but in the current lending environment, there aren’t many mortgages that are. It is a viable option for someone who is willing to wait for their home to become habitable and has the patience to get through the documentation required. If you would like more information about the 203(K) loan, you can contact me or Chris Lambson with MetLife Home Loans at 801-259-9244.
Tags: Buying foreclosed homes in West Jordan, Buying foreclosed homes in West Valley City, Mortgage Information
Posted in Mortgages | No Comments »
Monday, August 17th, 2009
Right now is a great time to buy a home in West Valley City or West Jordan because of the $8,000 federal tax credit. As the program now stands, the home must close by November 30, 2009. In order to meet that deadline, buyers need to be under contract by around September 30, 2009 because inspections, appraisals and mortgage approvals can sometimes take up to two months. The tax credit is equal to 10 percent of the home’s purchase price, up to $8,000. Buyers can claim the credit on either their 2008 or 2009 tax returns. Full credit is available to buyers with modified adjusted gross incomes of not more than $75,000 (single) or $150,000 (married). The home buyer cannot have owned a home for the past three years. For more information, go to www.irs.gov. West Valley City and West Jordan are great places to buy a home because the cost of housing is generally less than in other areas of Salt Lake County.
Tags: Buying a home in West Jordan, Buying a home in West Valley City, Down payment assistance in West Jordan, Down payment assistance in West Valley, First Time Home Buyers
Posted in First Time Home Buyers | No Comments »
Saturday, August 15th, 2009
The Home Valuation Code of Conduct attempts to prevent manipulation and enhance independence in the appraisal process by establishing standards for the selection and compensation of appraisers. It applies to conventional loans in all states, but does not apply to FHA, VA or the Federal Home Loan Banks. The HVCC rules essentially prohibit mortgage brokers and real estate agents from selecting appraisers. Lenders must either hire a third party to manage their appraisals or use in-house staff, as long as there is no connection with the loan production department. While there are these multiple options for HVCC compliance, it appears lenders are increasingly using appraisal management companies to meet the requirements. The increased use of appraisal management companies, however, is creating unintended consequences, including a reduction in overall appraisal quality, according to preliminary results from a National Association of REALTORS membership survey. Problems include AMC’s that hire out-of-area appraisers or inexperienced appraisers who will work for less. The NAR survey also indicates AMC’s are giving appraisers less time to complete their assignments, which is resulting in sloppy appraisals. New regulations at the state level will also aim to solve several of the problems associated with appraisal management companies and their increased use. (Christopher J. Kyler, J.D.) I’m sure we will hear more about this in the future.
Tags: Buying a home in West Jordan, Buying a home in West Valley City
Posted in Appraisal | No Comments »
Friday, August 14th, 2009
A couple of years ago, we were in a strong “Seller’s Market”. At that time, the most important thing in selling a home was the home’s condition. Today, we’re in a “Buyer’s Market”, and the most important thing in selling a home is accurate pricing. By looking at the prices of other homes that have actually sold in your neighborhood, you can determine the price your home would sell for. The prices of other active listings and listings which did not sell should not be used as your pricing gauge. That’s true whether you live in West Valley City, West Jordan, or Sandy. It is highly unlikely that a buyer will pay more for your property than they would pay for a comparable property in the same neighborhood with similar amenities and features. Even though accurate pricing is most important, the condition of the home is still very important. Your home will be competing with other properties for sale. Those that are in top condition will sell quicker and for more money. Just as you would wash and wax a car before putting it up for sale, your home should be in “showroom” condition when you put it on the market.
Tags: Accurate Pricing helps sell homes, Sell a home in West Jordan, Sell a home in West Valley City, Selling home of top dollar
Posted in Sell a Home | No Comments »
Thursday, August 13th, 2009
Most people have heard about the $8,000 down payment assistance that the federal government is offering to first-time home buyers. Many are not aware that some cities also offer down payment assistance to first-time home buyers and those who have not owned a home in the past three years. West Valley City and West Jordan have a $5,000 assistance program for those who qualify. If you would like to know more about the qualification requirements, I would be happy to give you the information.
Tags: Buying a home in West Jordan, Buying a home in West Valley City, Down payment assistance in West Jordan, Down payment assistance in West Valley
Posted in First Time Home Buyers | 1 Comment »
Wednesday, August 12th, 2009
With so many people struggling financially, we are seeing a lot of short sales. But many don’t really understand what a short sale is. The Short Sale Disclosure of the Utah Association of Realtors gives us the following description. The term “Short Sale” is used in the real estate business to describe a situation where the current fair market value of the property is less than the debt owing against the property. In other words, the Seller can’t sell the property unless the creditors (“Third Parties”) agree to accept a payment that is less than (or “Short” of) the amounts actually owed to those Third Parties. The Third Parties may include mortgage lenders, mortgage insurers, bankruptcy trustees, and federal, state and local taxing authorities (such as the IRS or State Tax Commission) or other lien holders.
One of the main problems with Short Sales is that you can spend a lot of time and then end up not getting the home at all.
Tags: Buying a Short Sale, Homes for Sale in West Valley, Selling a home using a Short Sale, Short Sales in West Valley City & West Jordan
Posted in Short Sales | No Comments »
Avg. Sales Price: $213,204
Avg. Days on Market: 99
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