Showing posts with label best insurance agent. Show all posts
Showing posts with label best insurance agent. Show all posts
Thursday, April 15, 2010
Friday, January 9, 2009
Citi Reaches Agreement on home loans
WASHINGTON (AP) -- Democratic lawmakers have reached a deal with Citigroup Inc. on a plan to let bankruptcy judges alter home loans in an effort to prevent foreclosures and urged other lenders to follow suit.
The lawmakers aim to attach the plan to President-elect Barack Obama's economic stimulus legislation, and said Thursday the change in bankruptcy law could ease the foreclosure crisis that has dragged the economy into the worst recession in decades.
The compromise between Citigroup and Sens. Richard Durbin of Illinois, Charles Schumer and Christopher Dodd of Connecticut, would be limited to loans made before the bill is signed. Obama has said he backs the concept.
Schumer said he received calls Thursday from several banks - which he did not name - indicating their potential interest in supporting the idea.
"This is a breakthrough day," the senior senator from New York said in a news conference on Capitol Hill. "We've been stymied because the banking industry opposed this simple provision, which is key to getting a floor to the housing market."
In a letter to lawmakers, New York-based Citigroup's chief executive, Vikram Pandit, said the change to bankruptcy law "will serve as an additional tool to the extensive home-retention programs already in place to help at-risk borrowers."
The so-called "cramdown" proposal has been backed by Democrats over the past year as a potential solution to the foreclosure crisis. Consumer advocates and Democrats say it would prod the lending industry to be more aggressive about modifying loans because of the looming threat of having a bankruptcy judge involved.
But the lending industry has battled fiercely against the idea, arguing it would force lenders to hike mortgage rates because they would have to charge more for loans that could be altered later by a judge.
"This would hurt the housing market at the exact time we're trying to stimulate it," said Scott Talbott, chief lobbyist at the Financial Services Roundtable, which represents large banks and insurance companies.
To qualify, borrowers would need to demonstrate that they have asked their lender for a loan modification before filing for bankruptcy.
Currently, a 1993 Supreme Court decision bars judges from altering first mortgages on primary homes, though such changes are allowed on loans for vacation homes, motorcycles, boats and other kinds of property.
Consumer advocates say that is unfair, while mortgage lenders contend it benefits the vast majority of borrowers who don't fall into bankruptcy because it keeps mortgage credit for primary residences cheap.
Other attempts by the government to deal with the surge in foreclosures over the past two years haven't made much of a dent in the problem.
A federal program, dubbed Hope for Homeowners, was intended to let 400,000 troubled homeowners swap risky loans for conventional 30-year fixed-rate loans with lower rates. But the early results have been disappointing, with fewer than 400 applications since the program's launch on Oct. 1.
In an interview earlier this week, a lobbyist for the mortgage industry vowed to keep the bankruptcy judge plan out of the economic recovery bill.
"We think that's an unwise move that could delay the stimulus package," said Francis Creighton, the Mortgage Bankers Association's chief lobbyist.
In a speech Thursday at George Mason University outside Washington, Obama asked Congress to work with him "day and night, on weekends if necessary" to pass an economic revival plan within the next few weeks so that it can be ready for his signature shortly after he takes office on Jan. 20
Obama promised to rewrite financial regulations and pledged to launch "a sweeping effort to address the foreclosure crisis so that we can keep responsible families in their homes."
The lawmakers aim to attach the plan to President-elect Barack Obama's economic stimulus legislation, and said Thursday the change in bankruptcy law could ease the foreclosure crisis that has dragged the economy into the worst recession in decades.
The compromise between Citigroup and Sens. Richard Durbin of Illinois, Charles Schumer and Christopher Dodd of Connecticut, would be limited to loans made before the bill is signed. Obama has said he backs the concept.
Schumer said he received calls Thursday from several banks - which he did not name - indicating their potential interest in supporting the idea.
"This is a breakthrough day," the senior senator from New York said in a news conference on Capitol Hill. "We've been stymied because the banking industry opposed this simple provision, which is key to getting a floor to the housing market."
In a letter to lawmakers, New York-based Citigroup's chief executive, Vikram Pandit, said the change to bankruptcy law "will serve as an additional tool to the extensive home-retention programs already in place to help at-risk borrowers."
The so-called "cramdown" proposal has been backed by Democrats over the past year as a potential solution to the foreclosure crisis. Consumer advocates and Democrats say it would prod the lending industry to be more aggressive about modifying loans because of the looming threat of having a bankruptcy judge involved.
But the lending industry has battled fiercely against the idea, arguing it would force lenders to hike mortgage rates because they would have to charge more for loans that could be altered later by a judge.
"This would hurt the housing market at the exact time we're trying to stimulate it," said Scott Talbott, chief lobbyist at the Financial Services Roundtable, which represents large banks and insurance companies.
To qualify, borrowers would need to demonstrate that they have asked their lender for a loan modification before filing for bankruptcy.
Currently, a 1993 Supreme Court decision bars judges from altering first mortgages on primary homes, though such changes are allowed on loans for vacation homes, motorcycles, boats and other kinds of property.
Consumer advocates say that is unfair, while mortgage lenders contend it benefits the vast majority of borrowers who don't fall into bankruptcy because it keeps mortgage credit for primary residences cheap.
Other attempts by the government to deal with the surge in foreclosures over the past two years haven't made much of a dent in the problem.
A federal program, dubbed Hope for Homeowners, was intended to let 400,000 troubled homeowners swap risky loans for conventional 30-year fixed-rate loans with lower rates. But the early results have been disappointing, with fewer than 400 applications since the program's launch on Oct. 1.
In an interview earlier this week, a lobbyist for the mortgage industry vowed to keep the bankruptcy judge plan out of the economic recovery bill.
"We think that's an unwise move that could delay the stimulus package," said Francis Creighton, the Mortgage Bankers Association's chief lobbyist.
In a speech Thursday at George Mason University outside Washington, Obama asked Congress to work with him "day and night, on weekends if necessary" to pass an economic revival plan within the next few weeks so that it can be ready for his signature shortly after he takes office on Jan. 20
Obama promised to rewrite financial regulations and pledged to launch "a sweeping effort to address the foreclosure crisis so that we can keep responsible families in their homes."
Thursday, October 30, 2008
Dallas Fort Worth homes will hold their values
By STEVE BROWN / The Dallas Morning Newsstevebrown@dallasnews.com
One of the biggest worries for today’s homebuyer is the continued drop in home prices.
While cheaper housing costs are appealing, many consumers fret that prices will keep falling after they buy.
Texans shouldn’t be so concerned, according to a new report by the Center for Economic and Policy Research and the National Low Income Housing Coalition.
The analysis of the 100 largest U.S. home markets shows that Dallas-Fort Worth homebuyers are more likely to preserve home equity during the next four years.
Houston, D-FW and San Antonio are among the tops in the country in this forecast.
The study is based on a purchase of homes priced at 75 percent of the median price, which is about $150,000 in D-FW. The home purchase is financed at between 6 and 8 percent interest.
By 2012, the purchaser of a mid-priced home in Houston, D-FW and San Antonio will have, on average, more than $80,000 in equity in the house, the researchers predict.
While such forecasts are often academic, the trend it highlights toward higher home equity here is important. Almost a third of the metropolitan areas in the report are forecast to see a net decline in home equity during the same period.
The study concludes that home prices in “many communities have yet to hit bottom and significant price declines must be reckoned with.”
The remaining downside is worst in regions of the country that saw big run-ups in home prices before the current decline.
The researchers warn that it would be a mistake for governments to try and stop the current housing market correction and “maintain what are historically unprecedented high home prices.”
The positive outlook for Texas home equity growth isn’t a surprise to Mark Dotzour, top economist with Texas A&M University’s Real Estate Center.
“It confirms that there never was a price bubble in any Texas city and consequently the likelihood of equity increase is higher,” Dr. Dotzour said. “I find it interesting that their policy decision is to recommend that government allows prices to continue to fall.”
Median preowned home prices have fallen by between 2 percent and 3 percent in North Texas since peaking in mid-2007.
During the last year, nationwide home sales prices have dropped by more than 15 percent.
WHERE'S THE EQUITY?
Forecast of average home equity a buyer of a home priced at 75 percent of the median price could see during the next four years. From a comparison of 100 largest U.S. housing markets.
GREATEST INCREASES
McAllen
$90,795
Houston
$82,735
Dallas-Fort Worth
$81,338
San Antonio
$81,308
Rochester, N.Y.
$78,947
SHARPEST DECLINES
San Jose
-328,394
San Francisco
-226,489
Los Angeles
-168,069
Bridgeport, Conn.
-164,671
Oxnard, Calif.
$148,076
One of the biggest worries for today’s homebuyer is the continued drop in home prices.
While cheaper housing costs are appealing, many consumers fret that prices will keep falling after they buy.
Texans shouldn’t be so concerned, according to a new report by the Center for Economic and Policy Research and the National Low Income Housing Coalition.
The analysis of the 100 largest U.S. home markets shows that Dallas-Fort Worth homebuyers are more likely to preserve home equity during the next four years.
Houston, D-FW and San Antonio are among the tops in the country in this forecast.
The study is based on a purchase of homes priced at 75 percent of the median price, which is about $150,000 in D-FW. The home purchase is financed at between 6 and 8 percent interest.
By 2012, the purchaser of a mid-priced home in Houston, D-FW and San Antonio will have, on average, more than $80,000 in equity in the house, the researchers predict.
While such forecasts are often academic, the trend it highlights toward higher home equity here is important. Almost a third of the metropolitan areas in the report are forecast to see a net decline in home equity during the same period.
The study concludes that home prices in “many communities have yet to hit bottom and significant price declines must be reckoned with.”
The remaining downside is worst in regions of the country that saw big run-ups in home prices before the current decline.
The researchers warn that it would be a mistake for governments to try and stop the current housing market correction and “maintain what are historically unprecedented high home prices.”
The positive outlook for Texas home equity growth isn’t a surprise to Mark Dotzour, top economist with Texas A&M University’s Real Estate Center.
“It confirms that there never was a price bubble in any Texas city and consequently the likelihood of equity increase is higher,” Dr. Dotzour said. “I find it interesting that their policy decision is to recommend that government allows prices to continue to fall.”
Median preowned home prices have fallen by between 2 percent and 3 percent in North Texas since peaking in mid-2007.
During the last year, nationwide home sales prices have dropped by more than 15 percent.
WHERE'S THE EQUITY?
Forecast of average home equity a buyer of a home priced at 75 percent of the median price could see during the next four years. From a comparison of 100 largest U.S. housing markets.
GREATEST INCREASES
McAllen
$90,795
Houston
$82,735
Dallas-Fort Worth
$81,338
San Antonio
$81,308
Rochester, N.Y.
$78,947
SHARPEST DECLINES
San Jose
-328,394
San Francisco
-226,489
Los Angeles
-168,069
Bridgeport, Conn.
-164,671
Oxnard, Calif.
$148,076
Friday, October 10, 2008
New listings down
-J.J.'s opinion- Fewer homes on the market with shorter days on the market is a start to correcting our Dallas area housing market -end opinion-
The Dallas area has had one of the largest drops in home listings in the country in recent months, according to a new report.
Altos Research and Real IQ said Wednesday that during the last three months, the number of homes for sale in the Dallas area declined more than 9 percent.
Nationwide, home sales listings fell more than 4 percent on average in the research firm's 21-city comparison.
"While inventories have continued to slowly decline, they remain at historically high levels," Stephen Bedikian, partner and research director for Real IQ, said in the report. "The result is that prices remain under pressure in most markets.
"Until we see large and sustained declines in inventory, we're not going to see a market bottom."
That's less the case in Dallas, where home listings dropped 9.2 percent in the last three months, according to the report. Only Seattle, with 9.3 percent, has seen a bigger decline in the number of homes for sale.
Local statistics show the drop in pre-owned homes for sale may be even steeper. MLS listings fell 15 percent from a year earlier, according to September numbers.
And the number of vacant new homes on the market was down more than 25 percent from the peak.
But hard-hit housing markets are still seeing increases in the number of homes for sale. Listings rose last month in Phoenix, Philadelphia, Charlotte, N.C., and Boston, Altos Research reports.
And in 19 of the 26 markets the research firm tracks, it now takes more than 100 days on average to sell a home. The worst case is in Miami, where it takes six months on average to find a buyer.
The Dallas area has one of the shortest times in the country at 96 days, according to Altos.
Average home listing prices here were flat, according to the report, while they were down about 3 percent nationally in the last three months.
HOME LISTING INVENTORY
Percent change during previous three months.
BIGGEST DECLINES
Seattle: -9.3%
Dallas: -9.2%
Austin: -7.7%
Detroit: -7.3%
San Francisco: -7.3%
SOURCE: Altos Research and
The Dallas area has had one of the largest drops in home listings in the country in recent months, according to a new report.
Altos Research and Real IQ said Wednesday that during the last three months, the number of homes for sale in the Dallas area declined more than 9 percent.
Nationwide, home sales listings fell more than 4 percent on average in the research firm's 21-city comparison.
"While inventories have continued to slowly decline, they remain at historically high levels," Stephen Bedikian, partner and research director for Real IQ, said in the report. "The result is that prices remain under pressure in most markets.
"Until we see large and sustained declines in inventory, we're not going to see a market bottom."
That's less the case in Dallas, where home listings dropped 9.2 percent in the last three months, according to the report. Only Seattle, with 9.3 percent, has seen a bigger decline in the number of homes for sale.
Local statistics show the drop in pre-owned homes for sale may be even steeper. MLS listings fell 15 percent from a year earlier, according to September numbers.
And the number of vacant new homes on the market was down more than 25 percent from the peak.
But hard-hit housing markets are still seeing increases in the number of homes for sale. Listings rose last month in Phoenix, Philadelphia, Charlotte, N.C., and Boston, Altos Research reports.
And in 19 of the 26 markets the research firm tracks, it now takes more than 100 days on average to sell a home. The worst case is in Miami, where it takes six months on average to find a buyer.
The Dallas area has one of the shortest times in the country at 96 days, according to Altos.
Average home listing prices here were flat, according to the report, while they were down about 3 percent nationally in the last three months.
HOME LISTING INVENTORY
Percent change during previous three months.
BIGGEST DECLINES
Seattle: -9.3%
Dallas: -9.2%
Austin: -7.7%
Detroit: -7.3%
San Francisco: -7.3%
SOURCE: Altos Research and
Monday, September 22, 2008
Exciting service upgrades
My office has upgraded our virtual tour technology and will be parterning with Just Snooping.com to bring an even better marketing piece to market our awesome listings.
Look for new exciting changes to the virtual tour technology on all listings from today on. Samples are coming.
Our office is always looking at how we can improve on how we market our listings. We are one of the only offices that is still having tremendous success getting our listings sold. Our comprehensive marketing package is the reason why. This upgrade makes our marketing package even stronger.
Look for new exciting changes to the virtual tour technology on all listings from today on. Samples are coming.
Our office is always looking at how we can improve on how we market our listings. We are one of the only offices that is still having tremendous success getting our listings sold. Our comprehensive marketing package is the reason why. This upgrade makes our marketing package even stronger.
Monday, August 11, 2008
Danger of buying a house FSBO....
What are the dangers of buying a house FSBO
-You'll probably overpay for the house without an agent
-The seller probably won't disclose what he legally needs to disclose and theres no one there to make him
-Comps for the area where you are buying figure in real estate commissions...
-Peronsality with FSBO get in way of negotiations in many instances
-Good Realtors can negotiate better terms for their buyer clients
-Buyin a house (scheduling inspections, escrow, managing process is a full time job etc.)
There are exceptions to these....however, consider, I just met with a couple that bought a FSBO 2 years ago....the seller never disclosed that the house had serious foundation problems....the buyer didn't know to look....did my listing presentation and told them they needed to have someone look at the foundation and the bill comes to over $12,000...long story short, they are going to get to save up for foundation repairs on a house that they overpaid for 2 years ago....
Same goes with people that go into the builder...a good agent who sees real estate EVERYDAY (not a friend who's trying to break in the business, or a gal in Sunday school that does it on the side) is worth their weight in commissions....BUT, you have to find a good agent...a buyers agent works on your behalf and owes you fiduciary responsibility throughought the transaction....
-You'll probably overpay for the house without an agent
-The seller probably won't disclose what he legally needs to disclose and theres no one there to make him
-Comps for the area where you are buying figure in real estate commissions...
-Peronsality with FSBO get in way of negotiations in many instances
-Good Realtors can negotiate better terms for their buyer clients
-Buyin a house (scheduling inspections, escrow, managing process is a full time job etc.)
There are exceptions to these....however, consider, I just met with a couple that bought a FSBO 2 years ago....the seller never disclosed that the house had serious foundation problems....the buyer didn't know to look....did my listing presentation and told them they needed to have someone look at the foundation and the bill comes to over $12,000...long story short, they are going to get to save up for foundation repairs on a house that they overpaid for 2 years ago....
Same goes with people that go into the builder...a good agent who sees real estate EVERYDAY (not a friend who's trying to break in the business, or a gal in Sunday school that does it on the side) is worth their weight in commissions....BUT, you have to find a good agent...a buyers agent works on your behalf and owes you fiduciary responsibility throughought the transaction....
Tuesday, August 5, 2008
The best team in the business...
I just want to stop and thank some of the best people in the real estate business.
Heather Whaley is more of a partner and is one the most committed real estate agents in the business. She is more of a sister than anything else and I enjoy getting to work with Heather as do all of our clients.
Lisa Cleary is also a committed real estate agent that can handle your real estate questions and help pull a transaction together.
Let us work hard for you today!
Heather Whaley is more of a partner and is one the most committed real estate agents in the business. She is more of a sister than anything else and I enjoy getting to work with Heather as do all of our clients.
Lisa Cleary is also a committed real estate agent that can handle your real estate questions and help pull a transaction together.
Let us work hard for you today!
Friday, August 1, 2008
Link to area home sales for 2008
The first half of the years real estate results are in and it confirms what I have seen in the market. Sales are down. In some parts of DFW, they are down dramatically. However, a good marketing program, a house priced correctly and in good repair will help move you house quickly. This isn't a market to hold out for a high return on your equity. It is a market to just get it sold.
Click here to go to the link
Click here to go to the link
Friday, June 13, 2008
73000 homes went into foreclosure in May
73,000 homes lost to foreclosure in May
Filings for the month jumped by 48%. Nevada, California, and Florida continue to bear the brunt of the crisis.
NEW YORK (CNNMoney.com) -- The housing crisis grew worse in May, as more than 73,000 American families lost their homes to bank repossessions, up a staggering 158% from the 28,548 households that were dispossessed in May 2007.
Foreclosure filings of all kinds, including default notices, notices of sheriff's sales and bank repossessions, were up 48% from May 2007, according to the latest release from RealtyTrac, the online marketer of foreclosed properties. Filings increased 7% from April.
"May was the 29th straight month we've seen a year-over-year increase," RealtyTrac's CEO James Saccacio said in a statement.
The report follows months of increasingly gloomy housing market conditions with home prices, existing home sales and new housing starts all plummeting. The S&P Case/Shiller Home Price Index posted a record 14.1% decline in national home prices for the 12 months ending March 31, while April's existing-home sales were down 17.5% year over year.
Worst-hit cities
Nevada remained the most troubled default state for the 17th consecutive month. One out of every 118 households there received some kind of foreclosure filing during May, up 24% from the previous month and 72% from a year ago.
California led the nation in the sheer volume of filings, with nearly 72,000 properties in some stage of default, which works out to one out of every 183 households. More than 20,000 Californians lost their homes, more than any other state.
Florida recorded over 37,000 filings and 4,300 bank repossessions. Nine of the top 10 cities with the most foreclosure filings were in either Florida or California.
Stockton, Calif., was the worst-hit city last month, with one filing for every 75 households. Cape Coral, Fla., where one out of every 79 homes received a filing, was second. Other hard-hit places were Merced, Calif., which ranked third, Modesto, Calif., which was fourth and Riverside, Calif., which was fifth.
Las Vegas was the only city outside of California and Florida to crack the top 10. In May it had one filing for every 96 households - about five times the national average - which put it in sixth place.
Default rates will rise for many more months, according to RealtyTrac vice president Rick Sharga, who thinks that there could be another 18 months of this activity left. Several factors will continue to boost filings.
"We haven't even seen the full effects of the Alt-As (mostly loans issued without verification of income and assets) yet," said Sharga. Many of these mortgages are option ARMs, negative amortization loans that let borrowers make very small, minimum payments that don't even cover the interest they owe each month. But soon, these payments will spike.
Also driving foreclosures is the fact that more people are walking away from homes they bought at the top of the market that have since lost a lot of value, according to Keith Gumbinger of HSH Associates, a publisher of mortgage industry data.
"These people are looking at the present value of their homes and at their debts and saying, 'What's the point of paying the mortgage?'" said Gumbinger. "We may have not finished wringing these people out of the market yet."
Sharga says that price declines are probably the market's biggest problem right now. "If prices stabilize, foreclosures will too," he said.
As more people than ever are losing their homes, some state and local governments are trying to slow the foreclosure tsunami. Colorado has extended the initial default period to as much as 125 days, and Maryland has increased it to 150 days.
In Philadelphia, homeowner's can't be foreclosed on without having the opportunity to go through a court-sponsored reconciliation session.
Additionally, the administration's foreclosure prevention initiative Hope Now says it has helped over one million at-risk borrowers avoid foreclosure.
These measures help, according to Sharga, but to really break the spiral, more intervention on the federal level may be needed.
"The quickest solution is to get buyers buying again," he said. "The government may have to take some strong action to make that happen."
Filings for the month jumped by 48%. Nevada, California, and Florida continue to bear the brunt of the crisis.
NEW YORK (CNNMoney.com) -- The housing crisis grew worse in May, as more than 73,000 American families lost their homes to bank repossessions, up a staggering 158% from the 28,548 households that were dispossessed in May 2007.
Foreclosure filings of all kinds, including default notices, notices of sheriff's sales and bank repossessions, were up 48% from May 2007, according to the latest release from RealtyTrac, the online marketer of foreclosed properties. Filings increased 7% from April.
"May was the 29th straight month we've seen a year-over-year increase," RealtyTrac's CEO James Saccacio said in a statement.
The report follows months of increasingly gloomy housing market conditions with home prices, existing home sales and new housing starts all plummeting. The S&P Case/Shiller Home Price Index posted a record 14.1% decline in national home prices for the 12 months ending March 31, while April's existing-home sales were down 17.5% year over year.
Worst-hit cities
Nevada remained the most troubled default state for the 17th consecutive month. One out of every 118 households there received some kind of foreclosure filing during May, up 24% from the previous month and 72% from a year ago.
California led the nation in the sheer volume of filings, with nearly 72,000 properties in some stage of default, which works out to one out of every 183 households. More than 20,000 Californians lost their homes, more than any other state.
Florida recorded over 37,000 filings and 4,300 bank repossessions. Nine of the top 10 cities with the most foreclosure filings were in either Florida or California.
Stockton, Calif., was the worst-hit city last month, with one filing for every 75 households. Cape Coral, Fla., where one out of every 79 homes received a filing, was second. Other hard-hit places were Merced, Calif., which ranked third, Modesto, Calif., which was fourth and Riverside, Calif., which was fifth.
Las Vegas was the only city outside of California and Florida to crack the top 10. In May it had one filing for every 96 households - about five times the national average - which put it in sixth place.
Default rates will rise for many more months, according to RealtyTrac vice president Rick Sharga, who thinks that there could be another 18 months of this activity left. Several factors will continue to boost filings.
"We haven't even seen the full effects of the Alt-As (mostly loans issued without verification of income and assets) yet," said Sharga. Many of these mortgages are option ARMs, negative amortization loans that let borrowers make very small, minimum payments that don't even cover the interest they owe each month. But soon, these payments will spike.
Also driving foreclosures is the fact that more people are walking away from homes they bought at the top of the market that have since lost a lot of value, according to Keith Gumbinger of HSH Associates, a publisher of mortgage industry data.
"These people are looking at the present value of their homes and at their debts and saying, 'What's the point of paying the mortgage?'" said Gumbinger. "We may have not finished wringing these people out of the market yet."
Sharga says that price declines are probably the market's biggest problem right now. "If prices stabilize, foreclosures will too," he said.
As more people than ever are losing their homes, some state and local governments are trying to slow the foreclosure tsunami. Colorado has extended the initial default period to as much as 125 days, and Maryland has increased it to 150 days.
In Philadelphia, homeowner's can't be foreclosed on without having the opportunity to go through a court-sponsored reconciliation session.
Additionally, the administration's foreclosure prevention initiative Hope Now says it has helped over one million at-risk borrowers avoid foreclosure.
These measures help, according to Sharga, but to really break the spiral, more intervention on the federal level may be needed.
"The quickest solution is to get buyers buying again," he said. "The government may have to take some strong action to make that happen."
Monday, May 19, 2008
Realtors say lending practices holding back housing recovery
stevebrown@dallasnews.com
A rebound in the housing market is being held back by stingy lending standards, the president-elect of the National Association of Realtors said Thursday.
Irving real estate agent Charles McMillan – who takes over as head of the 1.3 million-member Realtors association later this year – faults mortgage companies for keeping some potential homebuyers out of the market.
"All of the relief that's been given to the banks in the marketplace has not trickled down to the consumer," Mr. McMillan said at the annual meeting of the National Association of Real Estate Editors in Dallas.
"What they have done is raise fees and make qualifications almost impossible for people to get loans," he said.
In particular, Mr. McMillan criticized the high costs of so-called jumbo loans – mortgages of $417,000 and more – that are chilling buyer demand in many markets. Interest rates on such mortgages now are much higher than those on smaller loans.
And Mr. McMillan said that in some depressed housing markets lenders are raising costs even higher to homebuyers and making it tougher for them to qualify for loans. "That stigmatizes properties unfairly," he said.
The National Association of Realtors is forecasting a slight improvement in nationwide home sales in the second half of 2008.
"In 2009, we anticipate a 6 percent increase going up to 5.7 million homes sold," he said. "In many markets, we are already on track for that and moving beyond.
"In the housing market we have a pent-up demand throughout this nation," Mr. McMillan said. "Interest rates are lower than they have been for many, many years."
But he acknowledged that across large parts of the country, housing markets are still in turmoil.
"We have consumers angry that they can't sell their homes," Mr. McMillan said. "America is hurting now."
On Thursday, the House of Representatives passed a broad housing relief bill that includes tax credits of up to $7,500 for first-time home buyers. However, the White House has threatened to veto this legislation, which awaits action in the Senate.
"A tax credit would quickly lift home demand and lessen foreclosure pressures," Mr. McMillan said.
For their part, big lenders say they are trying to respond to the housing crisis.
Federal Housing Administration commissioner Brian Montgomery said his agency has already provided help to more than 200,000 Americans with troubled home loans.
And he said that a recent increase in the price of home loans that the FHA can insure would make it easier to buy and sell more expensive homes around the country. The bill passed by the House would make this increase permanent.
"We believe that the new temporary loan limits will help more than 100,000 homeowners," Mr. Montgomery said.
The House bill also would let the FHA take on up to $300 billion in additional mortgages. Mr. Montgomery said he's against some of what the House just agreed to. Proposed legislation would send $15 billion to states to buy and fix up foreclosed property.
"That would primarily benefit lenders," Mr. Montgomery said.
He said some of the costly housing relief plans being debated in Washington, are not "fair to American taxpayers who had no part in the subprime loan market."
Mortgage Bankers Association senior vice president Steve O'Connor said lenders have been "ramping up their capacity" to help homeowners with problem loans, he said, while admitting "it's a challenge."
Mr. O'Connor said that recent sharp cuts in interest rates have helped homeowners with adjustable-rate mortgages who were facing big increases in payments.
"The payment shock that would have been in place a year ago is much less severe," he said.
The big concern now is that many homeowners have little or no equity in their houses.
"They owe more than their home is worth – that's the problem," Mr. O'Connor said.
Debbie Dunn, executive vice president with Dallas-based CTX Mortgage, said "The housing market could still be 18 to 24 months away from a total recovery.
"Declining home values are at the core of the confidence crisis," she said. "They make potential purchasers decide to sit on the sideline."
Buyers are also facing new obstacles.
"In certain markets, mortgage insurance has become practically unobtainable," she said.
That means that homebuyers are forced to come up with a much larger – and for some unaffordable – down payments.
Ms. Dunn said despite all the headlines, most neighborhoods in America are stable.
"Over 90 percent of all homeowners either don't have a mortgage or are making their payments on time," she said.
The Associated Press contributed to this report.
A rebound in the housing market is being held back by stingy lending standards, the president-elect of the National Association of Realtors said Thursday.
Irving real estate agent Charles McMillan – who takes over as head of the 1.3 million-member Realtors association later this year – faults mortgage companies for keeping some potential homebuyers out of the market.
"All of the relief that's been given to the banks in the marketplace has not trickled down to the consumer," Mr. McMillan said at the annual meeting of the National Association of Real Estate Editors in Dallas.
"What they have done is raise fees and make qualifications almost impossible for people to get loans," he said.
In particular, Mr. McMillan criticized the high costs of so-called jumbo loans – mortgages of $417,000 and more – that are chilling buyer demand in many markets. Interest rates on such mortgages now are much higher than those on smaller loans.
And Mr. McMillan said that in some depressed housing markets lenders are raising costs even higher to homebuyers and making it tougher for them to qualify for loans. "That stigmatizes properties unfairly," he said.
The National Association of Realtors is forecasting a slight improvement in nationwide home sales in the second half of 2008.
"In 2009, we anticipate a 6 percent increase going up to 5.7 million homes sold," he said. "In many markets, we are already on track for that and moving beyond.
"In the housing market we have a pent-up demand throughout this nation," Mr. McMillan said. "Interest rates are lower than they have been for many, many years."
But he acknowledged that across large parts of the country, housing markets are still in turmoil.
"We have consumers angry that they can't sell their homes," Mr. McMillan said. "America is hurting now."
On Thursday, the House of Representatives passed a broad housing relief bill that includes tax credits of up to $7,500 for first-time home buyers. However, the White House has threatened to veto this legislation, which awaits action in the Senate.
"A tax credit would quickly lift home demand and lessen foreclosure pressures," Mr. McMillan said.
For their part, big lenders say they are trying to respond to the housing crisis.
Federal Housing Administration commissioner Brian Montgomery said his agency has already provided help to more than 200,000 Americans with troubled home loans.
And he said that a recent increase in the price of home loans that the FHA can insure would make it easier to buy and sell more expensive homes around the country. The bill passed by the House would make this increase permanent.
"We believe that the new temporary loan limits will help more than 100,000 homeowners," Mr. Montgomery said.
The House bill also would let the FHA take on up to $300 billion in additional mortgages. Mr. Montgomery said he's against some of what the House just agreed to. Proposed legislation would send $15 billion to states to buy and fix up foreclosed property.
"That would primarily benefit lenders," Mr. Montgomery said.
He said some of the costly housing relief plans being debated in Washington, are not "fair to American taxpayers who had no part in the subprime loan market."
Mortgage Bankers Association senior vice president Steve O'Connor said lenders have been "ramping up their capacity" to help homeowners with problem loans, he said, while admitting "it's a challenge."
Mr. O'Connor said that recent sharp cuts in interest rates have helped homeowners with adjustable-rate mortgages who were facing big increases in payments.
"The payment shock that would have been in place a year ago is much less severe," he said.
The big concern now is that many homeowners have little or no equity in their houses.
"They owe more than their home is worth – that's the problem," Mr. O'Connor said.
Debbie Dunn, executive vice president with Dallas-based CTX Mortgage, said "The housing market could still be 18 to 24 months away from a total recovery.
"Declining home values are at the core of the confidence crisis," she said. "They make potential purchasers decide to sit on the sideline."
Buyers are also facing new obstacles.
"In certain markets, mortgage insurance has become practically unobtainable," she said.
That means that homebuyers are forced to come up with a much larger – and for some unaffordable – down payments.
Ms. Dunn said despite all the headlines, most neighborhoods in America are stable.
"Over 90 percent of all homeowners either don't have a mortgage or are making their payments on time," she said.
The Associated Press contributed to this report.
Wednesday, March 19, 2008
Rain....
Showing houses in the rain is not a whole lot of fun. However, for my clients, I'm like the US Postal Service. I work through anything. In fact, I'm better than the US Postal Service because I work Sundays if need be. The only time I schedule off, however, is Sunday mornings from 7 a.m. to 1 p.m.
If you need the best in real estate customer service, give me a call today.
Also, my insurance business in taking off. Why? Because I can give you competitive rates from several of the best insurance companies in the business. I just saved a client over $300 every 6 weeks on their auto insurance AND they got better insurance coverage.
If you need the best in real estate customer service, give me a call today.
Also, my insurance business in taking off. Why? Because I can give you competitive rates from several of the best insurance companies in the business. I just saved a client over $300 every 6 weeks on their auto insurance AND they got better insurance coverage.
Friday, March 14, 2008
Don't panic
The job of the news media is to make us all scared so that we'll turn on their newscasts again tomorrow evening.
While the real estate market is not in great shape, people still have to buy and sell. Typically, when you see the national media talking about the real estate market, they are talking mostly of Florida, New York, California and Illinois.
The DFW market is slow but it is not terrible. Yes, it is taking more patience to get a home sold, but it will sell if it is priced and marketed correctly.
While the real estate market is not in great shape, people still have to buy and sell. Typically, when you see the national media talking about the real estate market, they are talking mostly of Florida, New York, California and Illinois.
The DFW market is slow but it is not terrible. Yes, it is taking more patience to get a home sold, but it will sell if it is priced and marketed correctly.
Tuesday, March 11, 2008
Pricing your home
Pricing Your Home
When selling your home, one of the hardest things can be deciding on the price. You’ve called us in as experts to sell your home and to help you price it so it will sell. We’re truly dedicated to getting you the most money you can receive from that sale. In addition, we recognize there are many reasons you may already have a certain price in mind. You may be considering…
Your Original Purchase Price
Chances are you paid market value. However, markets change, and today we have to deal with the current market conditions. If you inherited the property and paid nothing for it, would you sell it for next to nothing? Of course not. You’d price it at fair market value and sell it for what the market will bear.
Improvements
Improvements should be made for enjoyment, not resale. You cannot add an item to a home, select it to your style, use it, then expect a buyer to pay the original cost. Likewise, maintenance preserves the value, but does not create value. If you needed a new roof, it was needed as a maintenance requirement and cannot be added to the market price of your home.
Your Need For Money
Your need for money or the fact that you’re moving to a more expensive area where you will have to pay more for a home has nothing to do with the home’s current market value.
The Cost to Rebuild Your Home Today
Construction cost does not take into account market value.
Your Personal Attachment to the Property
The factors above may influence the price in your mind, but as you can see, they really have nothing to do with what your home is actually worth in today’s market. Over the years, we have often heard these comments from sellers.
“Another agent said it was worth more.”
“People always offer less than the asking price.”
“The buyers can always make an offer.”
“My neighbor was able to get his price.”
“My house is better than these other homes.”
“We paid more than that for our home.”
“We just painted and added new carpet.”
“I need this much money for our next house.”
Although some of these comments may be true, they are not valid when deciding on the right price.
When selling your home, one of the hardest things can be deciding on the price. You’ve called us in as experts to sell your home and to help you price it so it will sell. We’re truly dedicated to getting you the most money you can receive from that sale. In addition, we recognize there are many reasons you may already have a certain price in mind. You may be considering…
Your Original Purchase Price
Chances are you paid market value. However, markets change, and today we have to deal with the current market conditions. If you inherited the property and paid nothing for it, would you sell it for next to nothing? Of course not. You’d price it at fair market value and sell it for what the market will bear.
Improvements
Improvements should be made for enjoyment, not resale. You cannot add an item to a home, select it to your style, use it, then expect a buyer to pay the original cost. Likewise, maintenance preserves the value, but does not create value. If you needed a new roof, it was needed as a maintenance requirement and cannot be added to the market price of your home.
Your Need For Money
Your need for money or the fact that you’re moving to a more expensive area where you will have to pay more for a home has nothing to do with the home’s current market value.
The Cost to Rebuild Your Home Today
Construction cost does not take into account market value.
Your Personal Attachment to the Property
The factors above may influence the price in your mind, but as you can see, they really have nothing to do with what your home is actually worth in today’s market. Over the years, we have often heard these comments from sellers.
“Another agent said it was worth more.”
“People always offer less than the asking price.”
“The buyers can always make an offer.”
“My neighbor was able to get his price.”
“My house is better than these other homes.”
“We paid more than that for our home.”
“We just painted and added new carpet.”
“I need this much money for our next house.”
Although some of these comments may be true, they are not valid when deciding on the right price.
Thursday, February 21, 2008
Homebuild negotiations
People don't realize that homebuilders do not tell the general public about specials that Realtors know about. When a builder rep sees a family or individual come into their model homes without a Real Estate Agent they smell blood.
Not to say they are unethical in any way. They are just doing their job. That job is to protect the interests of the homebuilder. Get the homebuilder the most for their home. Your Realtors job is to protect your interests and not the builders.
Realtor comissions on a new construction are paid out of a builders marketing fund, NOT added to the price of the home.
Not to say they are unethical in any way. They are just doing their job. That job is to protect the interests of the homebuilder. Get the homebuilder the most for their home. Your Realtors job is to protect your interests and not the builders.
Realtor comissions on a new construction are paid out of a builders marketing fund, NOT added to the price of the home.
Friday, January 25, 2008
Inspections
I can never stress enough, the importance of doing "due dilligence" when buying a home. Buying a home is most Americans largest purchase. It is imperative that you protect that investment by getting a home inspector to look at your upcoming purchase.
Tuesday, January 15, 2008
Top things to know about home insurance
Top things to know
1. You're a statistic.
To an insurer, you're not a person; you're a set of risks. An insurer bases its premium (or its decision to insure you at all) on your "risk factors," including your occupation, who you are, what you own, and how you live.
2. Know your home's value.
Before you choose a policy, it is essential to establish your home's replacement cost. A local builder can provide the best estimate.
3. Insurers differ.
As with anything else you buy, what seems to be the same product can be priced differently by different companies. You can save money by comparison shopping.
4. Don't just look at price.
A low price is no bargain if an insurer takes forever to service your claim. Research the insurer's record for claims service, as well as its financial stability.
5. Go beyond the basics.
A basic homeowners policy may not promise to entirely replace your home.
6. Demand discounts. Insurers provide discounts to reward behavior that reduces risk.
However, Americans waste some $300 billion a year because they forget to ask for them!
7. At claims time, your insurer isn't necessarily your friend.
Your idea of fair compensation may not match that of your insurer. Your insurer's job is to restore you financially. Your job is to prove your losses so you get what you need.
8. Prepare before you have to file a claim.
Keep your policy updated, and reread it before you file a claim so there are no surprises.
Money 101 - CNN.com
1. You're a statistic.
To an insurer, you're not a person; you're a set of risks. An insurer bases its premium (or its decision to insure you at all) on your "risk factors," including your occupation, who you are, what you own, and how you live.
2. Know your home's value.
Before you choose a policy, it is essential to establish your home's replacement cost. A local builder can provide the best estimate.
3. Insurers differ.
As with anything else you buy, what seems to be the same product can be priced differently by different companies. You can save money by comparison shopping.
4. Don't just look at price.
A low price is no bargain if an insurer takes forever to service your claim. Research the insurer's record for claims service, as well as its financial stability.
5. Go beyond the basics.
A basic homeowners policy may not promise to entirely replace your home.
6. Demand discounts. Insurers provide discounts to reward behavior that reduces risk.
However, Americans waste some $300 billion a year because they forget to ask for them!
7. At claims time, your insurer isn't necessarily your friend.
Your idea of fair compensation may not match that of your insurer. Your insurer's job is to restore you financially. Your job is to prove your losses so you get what you need.
8. Prepare before you have to file a claim.
Keep your policy updated, and reread it before you file a claim so there are no surprises.
Money 101 - CNN.com
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