With the recent economic crisis, choosing where to buy a home can be a daunting task. Where is the best employment, the best schools, or the best family environment? Where are the best cities to start over? The Provo-Orem area continually ranks high on leading polls as a best place to live. CNN continually places the Provo-Orem area as one of the top places to live because it “prides itself on its good schools and safe streets” and “it’s diverse, not to mention entrepreneurial”. MSN Real Estate has ranked Provo-Orem 2nd best place to start over based on its job prospects and local universities (Brigham Young University and Utah Valley University).

The Huffington Post recently posted an article reporting the Milken Institute’s annual report about the top ten economically performing cities of 2011. According to the report, the Provo-Orem area ranked 9th “as employment soared by 3.3 percent in the past year.” The technical industry of the Provo-Orem area has helped it to rise in the ranks economically. Business investment and employment rates are constantly increasing. In addition, the report stated that, “it’s no surprise that Provo ranked 15th in long-term job growth and ninth in long-term wage growth.”

If you are looking for a place to settle down with your new family or for an area to invest in real-estate, Provo-Orem could be the right place for you. With the consistently high rankings in nation-wide studies and polls, Provo-Orem is obviously well positioned for future success.

Wondering about the housing market in 2012? Here is an interesting little tid-bit from our friend Ron Witherton. He outlines what it will take for the housing market to take an up-swing this year.

“2012 began with mortgage rates hovering at 60-year lows, and many hopeful signs for the coming year. Housing continues to have challenges, but more and more signs are beginning to point toward a recovery. Could we see housing finally turn the corner in 2012? The biggest boost to housing would likely come from a more robust labor market. We ended the year with a sizeable 200,000 new jobs added, with slightly more than that added in the private sector, as governments shed 12,000 jobs. However, The Fed is not taking a wait-and-see approach to housing. The Fed sent a 26-page paper to lawmakers urging action in the housing market. Some potential actions include greater use of Freddie Mac and Fannie Mae, loosening of credit standards, and reductions in mortgage fees. This week will likely be dominated by the release of December’s retail sales data. If consumers felt more confident coming into the Christmas holiday, and opened their wallets a bit wider than expected, we could see stock markets rising, with a small increase in mortgage rates too.”

Ron Witherton, Axiom Financial

It seems that with the new year we are all looking for a new goal, a new habit, or a new way of life. This is the time for resolutions. What are your new years resolutions? What types of things have made it on your list? Along with a myriad of other ideas, many people add something to their list regarding organization or home maintenance. If better home maintenance has made it to your checklist, then the following list will help you.

 
Monthly:

1. Clean dishwasher filter (if provided), usually at lower spray arm.
2. Purge garbage disposal by first filling kitchen sink with clean water, then turn on food disposer until water is drained through.
3. Change/clean air conditioning return filters monthly. This will help keep your air cleaner and system running more efficiently. Clogged air filters will make your system operate longer than required, thereby increasing your monthly bills.
4. Wash refrigerator/freezer interior walls and door liner with solution of 1 quart warm water: 2 tablespoons of baking soda, and wipe dry.
5. Vacuum and clean all return air ducts/grills.
6. Inspect lighting fixtures and replace blown light bulbs.
7. Clean clothes drier lint traps and or ducts to reduce fire risk.
8. Clean toaster oven crumb tray.

 

Quarterly:

1. Inspect exterior doors to ensure they are weather tight. Adjust or replace weather stripping as needed.
2. Service doors(incl. garage doors) and drawers, clean and lubricate latches, hinges and guides.
3. Inspect and repair exterior caulking around windows, doors, and siding.
4. Replace/clean central heating system(furnace) filters.
5. Re-tighten knobs on kitchen cabinets, don’t overtighten.

 
Semi-Annually:

1. Have heating and air conditioning systems inspected and serviced by licensed contractor.
2. Inspect and test smoke alarms and carbon monoxide detectors and replace back up batteries.
3. Check (GFCI)ground fault interrupted circuits. Test if grounded and correct polarity.
4. Inspect and maintain proper drainage around home. Clean gutters and down-pipes and ensure water is flowing away from your home.
5. Inspect home for rodent droppings or other pests. Have home treated as needed.
6. Test sump pump for reliable operation, especially before any rainy season.
7. Wash fan housing and metal filter connected to range hood exhaust fans. These can be safely washed by placing them inside the dishwasher.
8. Vacuum coils behind refrigerator/freezer to remove dust, this will improve efficiency of unit.
9. Tap off a bucket of water from the hot water heater until it runs clean.

 

Annually:

1. Inspect and repair settling cracks (if necessary).
2. Inspect and lubricate garage door tracks.
3. Inspect exterior paint for cracking and wear. Repaint or seal as needed.
4. Drain and refill water heater.
5. Trip main breaker on electric panel.
6. Inspect all electric cords and replace if necessary.
7. Inspect attic for water damage, birds, and rodents.
8. Inspect all electrical cords and replace if necessary.
9. Inspect basement for moisture/mold and wood rot.
10. Inspect attic for signs of roof leaks or water damage, bird nests, rodent or squirrel nests, and clean if necessary.
11. Change water filters and have water softeners serviced.
12. Inspect roof flashings, chimney caps, shingles(for mold and damage) and caulking for possible damage.
13. Pressure wash deck, walkways and driveway.
14. Reseal wood decks with preservative and inspect and secure nails that may be protruding out. Nails have a tendency to pop out after very cold weather conditions.
15. Clean or replace oil filter(oil fired burner only).
16. Inspect outside electrical service feeder for exposed bare wires and tree interference.
17. Inspect basement/crawl space area for signs of termites and/or other wood-boring insects.
18. Use hose to wash off dirt from coil and fan in heat pump/condenser locate outside of house.
19. Inspect all hoses(and replace if necessary) connected to laundry washer unit.
20. Clean and seal ceramic tile grout lines in bathrooms/toilets/kitchen.
21. Check caulking at tub and shower, and replace if necessary.
22. Wash and blow clean bathroom exhaust fan grill and fan blades.
23. Wash windows(exterior and interior), screens, seals and ledges. Repair if necessary.
24. Clean and lubricate sliding glass door tracks and window tracks.
25. Check stucco joints around doors and windows.
26. Inspect the dishwasher’s motor motor spin seal, and replace if necessary.
27. Inspect laundry washer water fill hoses for cracks, blisters, corroded fittings and leaks.
28. Place beeswax or paraffin on built-in kitchen cabinets that have wooden guides.
29. Inspect for creosote deposits in the fireplace flue liner, these are black or brown residue of combustion that collects on the inner surfaces. If the build up is more than 1/8 inch, remove it.
30. Vacuum around the gas hot water heater(especially near furnace) to remove dirt and grime.

 
 

Special thanks to Scott Knudsen of Signature Home Services

Confused by the latest construction at the University Parkway interchange? To reduce congestion and improve pedestrian and traffic flow at the intersection of University Parkway and Sandhill Road, I-15 CORE is building the first Continuous Flow Intersection (CFI) in Utah County. Although a bit tedious to navigate now with the construction, the new interchange is projected to be finished by the end of 2012 and will contribute greatly to increased traffic flow.

The interchange is a new type of interchange that might be confusing to some at first. To help reduce confusion, Utah Department of Transportation has released this cool animation to guide you through the changes and to help you get where you need to go safely. Go ahead and check it out below!

Want to know more about what is going on with I-15 construction?

Why buy a home? Many people can put together a very logical list combined with market statistics, mortgage rates, and home values about why you should buy a home. Although these are all very important factors in making a decision, we often forget the sentimental side to home ownership. This article explains the many positive aspects to owning a home that have nothing to do with the logical numbers and statistical games.

When buying a house, we strive to make it our home. We figuratively and literally, “put down roots.” Settling into a new home gives us a more long-term perspective, focused on creating new memories and friendships. Home owners tend to stay in one place longer than renters, promoting lifelong relationships with neighbors. Also, a home is a gathering place for extended family and close friends where the home owner can entertain. The home becomes a “container of memories” that can be shared by all.

A new home can also be a symbol of a new start or a new phase in life. Your just starting your new family and need a place to put a crib for the new baby. You need a place to start that garden that you’ve always wanted. Your little family is not as “little” as it used to be and it’s time to expand. A new job takes you to a new place. You are ready to retire and need a place to settle down. Reasons to buy a home vary, but the pride that comes from being a home owner is universal. The home is yours!

Next time you think about buying a home, don’t forget the joys of home ownership that are sure to follow your purchase.

Article Source: The Joys of Homeownership

Has anyone else been puzzled by all the construction they’re doing at the Provo I-15 Center Street Interchange? Although no one likes construction, they are making some neat improvements that should reduce traffic congestion and get you where you need to go. The on and off-ramps that have been closed at Center Street for the past several months are now open again. Even though they have not finished the construction completely, traffic is moving and they project to conclude construction by the end of 2012.

The interchange they have built is a new type of interchange that might be confusing to some at first. To help reduce confusion, Utah Department of Transportation has released this cool animation to guide you through the changes and to help you get where you need to go safely. Go ahead and check it out below!
 

Keep your eye out for further updates and drive safely!

In October, the average conventional 30-year, fixed-mortgage rate dropped below 4%, a historic low. In addition the average conventional 15-year, fixed-rate mortgage also fell to 3.28% from 3.72% just over a year ago. These rates have remained steady ever since the historic drop. So what does this mean for you as a homebuyer?

Of course, you need to take into consideration your own financial situation, but if you are planning on taking out a mortgage then with these rates, this could be the perfect timing for you. Essentially, lower interest rates mean a lower monthly payment, more house for your buck. If you were eyeing a home at $200,000 a year ago, you could probably get a home today for $250,000 with the same monthly payment. Depending on how comfortable you are with your finances, you could spend more on a nicer home or buy the home you originally wanted and save money in your monthly payment.  Is this the right time for you to buy? With these rates it very well could be.

If you have any questions or would like to discuss your home buying options, feel free to contact me.

Sources:
Housing Wire
Los Altos Patch

Sarah Stelmok, ABR, GRI, e-Pro

Listing a short sale is a little like venturing into the wild, wild west. There’s only a little order, lots of imposters, and laws are broken without much penalty.

Real estate agents bring a little stability to the transaction, but a short sale’s success depends on a variety of variables. This type of transaction is constantly evolving; however there are a few things that remain the same, and that everyone needs to know when working with short sales.

Market Value Matters

Short sales sell for market value. That’s right. A bank will typically agree to a short sale if the numbers make sense. Banks understand that homes need to appraise. Banks also need to mitigate their loss.

Listing a home for well below market value is not the best strategy for getting a short sale accepted. Sure, you may get plenty of offers, but if the bank won’t accept any of them you end up having wasted a ton of energy, not to mention paper, and facing quite a few angry potential buyers.

Banks are no longer in the business of giving away houses. If you send the bank numbers that make sense, you increase your likelihood of a successful short sale closing by 90%.

Only Real Hardships Get the Help

I’ve lost count of the number of times potential sellers have told me the only reason they are pursuing a short sale is because everyone else is doing it. Purchasing a house during the housing boom is not a legitimate hardship. Purchasing a house during the housing boom and being unable to pay your mortgage is a hardship.

Strategic default is never a good idea! Banks actually analyze short sale sellers’ hardships, and most center on the economy, so the bank is going to make sure that a short sale is in their own best interest. Acceptable hardships include medical issues, divorce, disability, significant loss of income, death, unemployment, and relocation.

Laws are local

It’s important to know your state’s foreclosure laws because there are currently no national short sale laws on the books. There are federal guidelines, but they can be applied when and how a bank wants.

States, however, can either have recourse loans or non-recourse loans. A recourse loan allows the bank to demand a borrower pay the difference between what the property is sold for and what is owed on the lien. Many recourse states allow lien holders (banks) to pursue judgment liens against the borrower for the deficiency amount. This process allows the bank to garnish a borrower’s wages until the debt is paid off. Garnishments can be as much as 25% of non-exempt disposable earnings, and bankruptcy doesn’t always save a defaulted borrower from judgment liens.

Real estate agents are not allowed to practice law, unless they are actually licensed to do so. However, agents do need to be aware of possible penalties for short selling a home and also be able to direct their clients to the right resources to discuss the possible consequences and solutions.

Short sales, just like the once-wild west, can be scary to navigate. That’s why it can pay to learn the lay of the land. If you do, there can be a few successful commission in it for you, and some much-needed relief for your clients.

Read this article on Truliablog.com

Thursday, October 6th, 2011, 9:00 am

The average rate for a conventional 30-year, fixed-rate mortgage dropped below 4% for the first time in history amid increasing global concerns, according to Freddie Mac.

The 30-year FRM averaged 3.94% with an average of 0.8 point for the week ending Oct. 6. Last year at this time, the 30-year FRM averaged 4.27%.

The 15-year, fixed-rate mortgage also fell to the lowest level on record for the sixth consecutive week, averaging 3.26% with an average 0.8 point, down from 3.28% a week ago and 3.72% a year ago.

The five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.96%, with an average 0.6 point, down from 3.02% last week and 3.47% a year ago.

Interest rates for 1-year ARMs, however, rose, as the Federal Reserve began replacing $400 billion of its short-term Treasury securities, which serve as benchmarks for many ARMs. The one-year Treasury-indexed ARM averaged 2.95% this week with an average 0.5 point, up from last week when it averaged 2.83%. At this time last year, the 1-year ARM averaged 3.4%.

Rates dropped amid growing concerns over a global recession. Consumer spending inched up 0.2%in August, but personal income fell 0.1%, the first decline since October 2009.

Article Found Here

Taylor Oldroyd
CEO of the Utah County Association of Realtors

Families, individuals, and businesses across the nation are looking for signs of improving life in our struggling economy. Folks, take a deep breath, because the housing market is on its way back.

Many economists have noted the importance of a strong, recovering housing market and have marked housing as being key to a full-scale economic recovery. Why? Well, housing is currently 15 percent of the GDP and every 1,000 homes sold creates about 500 jobs. Homeowners also pay about 80 percent of all taxes. Luckily, Utah’s housing market can offer a bit of relief as foreclosures drop, sales go up, inventory declines and pricing stabilizes.

Read Entire Article Here