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Betsie Melter
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    ABR: Accredited Buyer's Representative

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Archive for February 2009

FHA Mortgage Loan Limits are Increasing

Friday, February 27th, 2009

HUD, The Housing and Urban Development just raised mortgage loan limits in Arizona (South Chandler) for FHA buyers! This is great news because it has opened up more homes available for people who are using an FHA mortgage loan. In Maricopa County, where South Chandler resides, they raised it to $346,250! This means that people who don’t have 10% down for a conventional loan may now use an FHA mortgage loan and put only 3.5% down as long as the house is $346,250 or less. This should help reduce some of the inventory in Maricopa County (South Chandler).

Some of the other counties that you may be interested in are: Pima County $316,250 Payson/Gila County $325,000 and Pinal County: $271,050.

If you want to use an FHA mortgage loan, how do you know if you qualify? You basically can use an FHA loan if you don’t have one on your current South Chandler home and you haven’t bought a home with an FHA loan within the last 3 years. But guidelines are changing daily so ask a South Chandler mortgage advisor if you would be a candidate for an FHA mortgage loan. Feel free to contact Lee Lieberman or Mari Corso for more information.

If you would like a list of homes in South Chandler that would qualify for an FHA mortgage loan, please feel free to contact me.

Where Do I Start When I Want to Buy a Home?

Thursday, February 26th, 2009

This is a great question for anyone that is thinking of buying a home in South Chandler. The first question to ask yourself is do you like the area you are living in now or would you like to switch neighborhoods? Once you have answered that then you will know if you need to start doing research to buy a home or if you are ready to ask your South Chandler Realtor to start searching in your current area for homes.

If you want to switch neighborhoods, the best thing to do is to drive around and write down which sections of South Chandler you like. Then you should go to the Buyer’s Advisory and check out anything that is important to you like crime statistics, sex offenders, school ratings, and even information like airport noise and zoning issues like is there going to be a grocery store nearby?

Once you have decided that yes, you do want to buy a home then you need to get pre-qualified by a South Chandler lender. This will help you know how much home you can afford and how comfortable you will be with the monthly payments. I have many lenders you can talk to but two great lenders are Lee Lieberman with FT Financial and Mari Corso with Homeowners Financial Group.

Once they have pre-qualified, then you can have your South Chandler Realtor start searching for your next home to buy. Questions you should consider are:

How many bedrooms do you need vs. want? You may say 4 but in reality 3 and a den will do. This might limit your search if say only 4 bedrooms.

Do you prefer single level or two stories?

Do you need a 3 car garage or is it more a luxury?

Are you a person that uses a formal living and dining room or does a great room fit your lifestyle?

Do you want a pool and are you ready for the commitment of maintaining it or would you hire a pool cleaning service?

Are you a person that likes to do house projects (fixer upper) or would a move in ready home be more to your liking?

After you have thought about these questions, go out and have fun home hunting in South Chandler. It should be an enjoyable and exciting adventure when finding a home, not a torturous one.

What if the house doesn’t appraise for the purchase price?

Thursday, February 26th, 2009

In this market we are actually starting to see some homes not appraising for purchase price, which might sound strange since the prices have dropped considerably in the last 2 years. If for some reason the appraisal amount does not come back at purchase price or above there are a couple of options:

  • The buyer may re-negotiate with the seller asking for a reduction in the sales price to match the appraised value.
  • The buyer may come up with the extra cash to subsidize the amount from which the appraisal price is vs. the sales price. (I wouldn’t recommend that in this market)
  • The buyer may cancel the contract and have their earnest money returned to them.

How long does a typical closing take?

Thursday, February 26th, 2009

A “normal” close of escrow usually takes between 30-45 days from time of contract acceptance. In this market some are taking close to 60 days depending on if it is FHA, VA or Conventional loan and if any conditions are required by the lender such as repairs to the home.

How do I find out which neighborhoods are “safe”?

Thursday, February 26th, 2009

Everyone’s idea of “Safe” are different. The best resource is to check with the local police department and talk to neighbors in the area. The buyer’s advisory is a wonderful document that provides websites to satisfy any question or concern you may have when buying a home. You can find this document at www.aaronline.com. I would suggest checking out www.faxnet1.org for crime statistics and http://az.gov/webapp/offender/main.do for sex offenders in the area.

Market Recap

  • Avg. Sales Price: $295,780

  • Avg. Days on Market: 137

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