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There is never a bad time to Improve your Credit Score

Whether you have poor credit or excellent credit - there is never a bad time to improve your credit score!

Your credit score is an extremely important financial tool. It provides access to the financing you need in order to buy a car, a home, or pay for college tuition, among other things.
When applying for a mortgage, every point in your credit score can make a big difference. Make Plans now to ensure your credit is accurate and begin to make increases on your score over time.

So, where to you begin?? First, at a minimum, you should review your current credit report for accuracy. Make sure the information on your report is about You. If you find something on your credit report that is incorrect or missing, you should dispute the mistake by contacting the credit bureaus directly. Take the initiative to begin the process of a dispute investigation. Free Trad Commission - Protecting You

Assuming that your credit report is accurate, look for ways to improve your score:

•Payment History: 35% impact Paying debt on time and in full has a positive impact. Late payments, judgments, and charge-offs have a negative impact. Missing a high payment has a more serious impact than missing a low payment. Delinquencies that have occurred in the last two years carry more weight than older items. If you’re struggling to catch up, contact your creditors to work out a payment schedule.
•Outstanding Credit Balances: 30% impact. Outstanding Credit Balances: 30% impact.Of course, attempt to keep your balances reasonable. A high average balance will negatively affect your score.
•Credit History: 15% impact. This marks the length of time since a particular credit line was established. A seasoned borrower is stronger in this area.
•Type of Credit: 10% impact A mix of auto loans, credit cards, and mortgages is more positive than a concentration of debt from credit cards alone.
•Inquiries: 10% impact Every time a lender runs your credit, an inquiry is recorded. This quantifies the number of inquiries (or requests for credit) that have been made on a consumer’s credit history within a six month period.
If you do not have a credit card, get one. Unfortunately, it is one of the ways that the credit bureaus can monitor that you are able to handle credit effectively. Creditors need to determine how much of a risk you are and want to know how likely you are to repay the money they loan you. Your credit history helps them understand your payment history.
Do not however, get extended, Use it strategically, make small purchases that can easily be paid off monthly. In this somewhat depressed economy, it is sometimes difficult to not live on credit. Byt, at least, attempt to make the minimum payment required. Definitely pay more than the minimum if possible. it is better to attempt to pay off revolving debt rather than moving it around.

Unfortunately, negative credit items can remain on your credit report for up to 7 years (up to 10 years for a bankruptcy). But, it is never too late to begin the repair your credit. Keep all of your current accounts in order and pay them down as quickly as possible.

Your credit has improved??? Now is an excellent time to purchase real estate!

Home buying in the greater Phoenix metro area - search for your home here!

Today’s Real Estate Buyers Want to Stay Within Budget

Welcome to 2010!  Buyers in today’s real estate market are reluctant to push the limits of their budgets. Unlike the buyer in the hot 2005 real estate market which instilled major fear that
“if you do not buy today, you will be priced out of the market tomorrow“, today’s real estate buyer is more cautious and wary.  There are multiple factors that have caused this prudence. The general economy, the falling real estate values (why buy today when it may be worth less tomorrow?) , fear instilled by observing buyers who are now ‘upside/down’ on their homes and recession / job loses.  Bottom line, we are all afraid to enter into debt in this time of uncertainty.

The previous attitude of ‘buy before you are priced out of the market’ coupled with the fact relaxed loan qualification standards were major instigators causing the real estate bubble waiting to burst.  Prices were rising unrealistically. Owning the American dream became a real nightmare for many! Unfortunately, all property owners suffering if after affects of the bubble that eventually burst.  Even if you did not purchase in the height of the market or dip in to the artificial equity of your home, your home value has been affected by the repercussions of today’s foreclosure/short sale market. Every community and neighborhood has been impacted.

Not only are buyers being more cautious about staying within their budget, lenders are ‘forcing’ them to purchase within their budget. The pendulum has swung from the days of relaxed loan qualification guidelines to a very stringent qualification process.  In the end, this more thorough requirement process will be beneficial to all.

Many markets, have hit ‘the bottom’ in pricing.  One does not know where the market “bottom” is until it starts to improve. And, that is what is happening in the greater Phoenix metro area.  Most forecasters agree that the Phoenix area real estate market hit bottom in April of 2009.  The sales prices have stabilized and have slowly improved since that time. There is an optimistic outlook for 2010. 

Although the first time home-buyers tax credit or 2009 resulted in a pent-up demand from a large pool of qualified renters to purchase, there still remains many renters qualified to purchase a home.  The extended first time homebuyer tax credit and new expanded credit to current homeowners meeting certain qualifications, along with lower prices on properties and record low interest rates will continue to stimulate many renters to purchase. This will be a boost to the overall real estate correction.

Now is the time for homebuyers to take advantage of the tax credits, inventory and interest rates while being able to conservatively remain within their budget to purchase.

The 2010 real estate market is a more favorable buyer friendly market to
“buy while you can afford it before prices increase”
than it was the case in the frenzied height of 2005.

Good News for Real Estate Investors and the FHA Buyer

In an effort to stabilize home values and improve conditions in communities where foreclosure activity is high, Friday, Jan 15, 2010, HUD Secretary Shaun Donovan announced a temporary policy that will expand access to FHA mortgage insurance and allow a quicker resale of foreclosed properties.

The 90 Day “Seasoning Rule” for FHA financing,  will be lifted starting Feb 1, 2010.
It will be in effect for ONE year.

FHA currently requires a seller to own (must be on the title) a Phoenix property for a minimum of 90 days before they can sell it to a buyer using FHA financing.  In today’s real estate market,  FHA seems to be the financing of choice by first time home-buyers searching for the American Dream of home ownership. 

In the past, if an investor wanted to sell their property to a FHA borrower, the investor would have to hold the house for 90 days before they could write a contract with the borrower. The rehabilitating and the reselling of these properties to prospective homeowners often takes less than 90 days. Thus investors would sell the property VA, conventional or cash buyers before the FHA buyer had the opportunity to make an offer on the property.  This lift of the 90 day ’seasoning rule’ will now permit buyers to use FHA-insured financing to purchase homes they previously could not qualify to purchase.

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: See the HUD website for detailed waiver requirements.

· 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.

Seems to be a good compromise!
Good for both Investors AND the FHA buyer as well as for our communities!

Begin your Scottsdale and Greater Phoenix Metro area Real Estate Search here!
AZ-real-estate-sales.com

Quarter 3 2009 - the 10 Highest Priced Zip codes in Maiccopa County AZ

The Arizona Regional MLS statistics for Quarter 3 2009 in Maricopa County compute an average sales price of properties across the valley of $ 182,200 in Quarter 3 2009. This was an increase from the average sales price of $ 174,900 in Quarter 2 of 2009.The market values are finally increasing. The numbers indicate that the bottom of the market was April 2009. The first time home buyer tax credit, low prices and historically low interest rates have all contributed to an increased consumer confidence stimulating the real estate recovery.

Below are the zip codes with the top 10 highest Average Prices for Quarter 3—2009.

AZ Regional Multiple Listing System (ARMLS)
Top 10 Most Expensive Zip Codes Quarter 3, 2009
(more than 20 sales in the quarter)

City Zip Average price

1. Paradise Valley 85253 @ $1,711,400
2. Scottsdale  85262     @ $ 724,000
3. Scottsdale 85266 @ $ 638,200
4. Scottsdale 85255 @ $ 572,600
5. Scottsdale 85257 @ $ 557,900
6. Scottsdale  85268 @ $ 372,100
7. Phoenix 85045 @ $ 364,100
8. Scottsdale 85258 @ $ 360,700
9. Scottsdale   85260   @ $ 351,100
10. Scottsdale 85263     @ $ 350,500

Prices by zip code as computed by ARMLS are available for all zip codes in Maricopa and Pinal Conties.
Feel free to contact us for details of the other zip codes

The extension and expansion of the Tax Credit will continue to stimulate the real estate market with a goal of creating housing market self-sustainability. Today the pool of renters that can qualify to purchase a median priced home is over 16 million. This is definitely enough potential buyers to put a significant dent in to home value stabilization. It is a win-win situation for both buyers and sellers.

Search the Arizona MLS for properties in:

• Paradise Valley 85253
• Scottsdale 85262
• Scottsdale 85266
• Scottsdale 85255
• Scottsdale 85257
• Scottsdale 85268
• Phoenix 85045
• Scottsdale 85258
• Scottsdale 85260
• Scottsdale 85263
• The Phoenix Metro Area Map Search

An oasis in the Sonoran Desert

The community of Arroyo Grande at Anthem Parkside is located in the foothills of northwest Phoenix metro area. This community is the last phase of Del Webb’s national, award-winning master-planned community of Anthem.  This Pulte/Del Webb new build community which offers breathtaking views in a family oriented neighborhood is just minutes from beautiful Lake Pleasant and all of the activities of nearby Phoenix. A true retreat from the hustle and bustle of the large metro area. The homes are well constructed on large lots, many with view fencing. Homeowners in this community have access to all of the activities and amenities of the Community Center at Parkside. These amenities include a state of the art fitness center, indoor and outdoor basketball, Big Splash Water Park,  swimming pools, sports fields and more!

Arroyo Grande is only about 9 miles from Lake Pleasant which is nestled in the Bradshaw Mountains about 30 miles north of Phoenix.  This popular lake has 10,000 acres of water surface and over 50 miles of shoreline! The lake is primarily fed by the Aqua Fria River which carries rain and snow melt-off from the northern parts of Arizona including the Bradshaw Mountains.  This lake was originally formed in the mid 1920’s when Waddel Dam was constructed. A new dam was built in 1992 which tripled the size of the lake.

On a warm summer day of 110 degrees the cool water can be quite refreshing!  There are opportunities for a variety of water sports such as boating, jet skiing, water skiing, sailing, fishing and exploring the vast shoreline.  There is also hiking, camping, picnicking and horse back riding. Something for everyone close to the metro area!

 

 

 

Today’s buyers are more Savvy!

In spite of the lingering recession, buyer traffic is up! And, with the amazing volume of tools and technology now available, today’s real estate buyers are more informed and more cautious . Many future buyers spend a considerable amount of time on the Internet researching areas, communities and builders. They are interested in finding the information that they need to make an informed and educated decision before purchasing a property.

Web sites, blogs, tweets, Utube……often a buyer can be on “information overload”. There is such a vast wealth of information available, where does one begin? And, what about contradicting information?

A local experienced Realtor can to assist you in finding the information you require to make a educated decision. Your Real Estate professionals can not only provide the traditional school reports, property comparables, tax records, real estate statistics, and local market conditions but additional useful information as well. What is specifically important to you when considering your move? Day care centers, youth sports activities, crime reports, shopping centers, churches or synagogues, neighborhood demographics, the job market, local green technology & rebates available? Make a list of what is important to you and interview a few Realtors to discover if they can supply the information you need.

Location, Location, Location! That means city, zip code, community and sometimes the specific lot within the subdivision. Many of today’s mapping programs allow the user to zoom in to see the exact location of a property and a visual picture of the surrounding area. Does it bask to a busy street? Is there commercial property too close? How about those unsightly power towers or high voltage lines?

Housing Expert are saying “Now Is a Perfect Time to Buy”! So, don’t spend too much time getting bogged down trying to research every detail of the process and begin to seriously consider actually getting out there and viewing property. The data, pictures and videos are a great place to ‘begin’ but until you actually experience the neighborhood and see the property, you are missing out on the reality of finding your ‘dream’ home! Don’t squander time while allowing this unique real estate market window of opportunity to pass you by. Talk with a reputable lender to get pre-qualified and then contact a local real estate professional to assist you find a great deal. There are some terrific prices currently available to purchase your first home or a move-up home!

Contact Gary and Claudia Scott for your
Scottsdale, Arizona Real Estate Needs

July 2009 Phoenix Real Estate Market
Supply & Demand

July 2009 - The greater Phoenix metro area real estate  market continues to remain at a 3.5 months supply!

Inventories continue to drop approximately 300 to 500 units a week.
Still 94% of the sales are under $400,000.

The REO inventory has dropped dramatically we are now down to under 5,000 units on the market.  The REO Sales has gone from 66% to 57% in one month, due to a lack of inventory.

Months of Supply
5.1 mo = neither sellers or buyers market;
Less than 5.1 mo = sellers market;
More than 5.1 mo = buyers market

• Ahwatukee 3.2
• Apache Junction & Queen Creek 2.6
• Cave Creek & Carefree 9.6
• Phoenix and Central Corridor 7.0
• East Valley 3.1
• Fountain Hills 7.5
• Goodyear Litchfield Avondale 1.8
• Valleywide Single Family 3.0
• Valleywide 3.5
• Luxury Valleywide 31.3
• Northwest 3.4
• Peoria and Glendale 2.4
• Paradise Valley 24.0
• Scottsdale 7.2

The most active ’submarket’ is Single Family homes, not in short sale and priced below $350,000. This submarket only has a 1.46 months supply!  This explains why it has become so difficult for buyers to purchase property.  It also makes sense that due to the lack of inventory and low market supply, properties in this subcategory are increasing in value as buyers compete to purchase.  But, today these properties are still a great deal as compared to just three years ago. The average price per square foot for this price range in June 2006 was $156.47. Today buyers are getting a discount of 56% compared with three years ago. Sellers in this submarket - “make sure you don’t sell too cheaply - the trend is working in your favor:”  Buyers - make reasonable offers, so you don’t get underbid!

So what about the rest of the market?

Between $350,000 and $500,000 - Market Conditions are approximately balanced between buyers and sellers.

At  $750,000 and above there is a 26+ month supply! However, the average prices have only fallen 15.6% in the last three years. This is a very small drop compared with the 56%  in the affordable sector. No sign of a bottom in this market yet.This submarket will probably remain slow for a while.

Questions? Please feel free to contact us at any time for detailed reports about a specific city or zip code within the Greater Phoenix Metro Area.

June 2009 Phoenix Real Estate Market

Phoenix Real Estate Market – June 2009

June’s Initial Numbers

·Closed:  9,243 about the same as May 09, +61% June 08. >>> YTD 44,946

·Average Sales Price: $171,000 up from $163,500 in 5/09

·Median Sales Price: $125,000 up from $119,900 in 5/09

The ship is turning.

The overall market continues to remain at a 3.5 months supply.
Inventories continue to drop approximately 300 to 500 units a week.
Still 94% of the sales are under $400,000.
* Real Estate Owned (REO’s) Closed:  5,247 or 57% of closed.
The REO (bank owned) inventory has dropped dramatically we are now down to under 5,000 units on the market. The REO Sales has gone from 66% to 57% in one month, due to a lack of inventory. The good new is there are more “normal” sales coming through!

Short Sales: Creeping up with 7,281 Active (23%),
+4,500 AWC’s,
2,912 Pending (23%) = 34% of the pendings
1,325 Closed (14%) = 13% of the sales

June Pending sale are currently 6,068

We have the latest numbers for cities, zip codes or specific communities.
Please feel free to contact us if you would like information that is more detailed for your specific area.

Happy 4th of July Phoenix

           If you don’t mind some warm weather and crowds, the fireworks show at the Tempe Town Lake here in sunny Tempe, Arizona  is one of the best I have seen.  The fireworks show included 1800+ fireworks which lasted about 45 minutes. The fireworks were accompanied by patriotic music.  Some of the demonstrations were quite breath taking.

Arrive early to pick your spot on the grass and then meander past the vendors and pick from some great food and cool drinks.  A crowd of 50,000 plus people were in the park and there were probably an equal amount across the lake and in the immediate area all awaiting the show.  There was a water splash area for kids as well as a fun zone to entertain them while they awaited the fireworks.  I considered borrowing a kid so I could splash in the water too!  We finally settled in with some friends and enjoyed the various banks on center stage.  It is a fun time for all.

The program guuide offered a coupon for yogurt so after the great show we headed to Mill Avenue to enjoy the free treat and wait for some of the traffic to clear.       God Bless the USA!    

Not in foreclosure—but close?

Due to a variety of reasons, many of today’s homeowners are facing some serious hurdles in the current market place. Is your house worth less than you owe? Whether you purchased your home in the height of the boom and now your creative loan is about to escalate to a new monthly mortgage payment you cannot afford or if your job/business is suffering the effects of the recession, you can be pro-active about the future of your home ownership.

One option allows for loan restructuring/modification. This is an opportunity to obtain new loan terms for your existing mortgage. You principal balance is not reduced but new terms are negotiated presumably to decrease your current monthly mortgage payments. Be careful who you deal with as this industry remains largely unregulated. Unfortunately, many times this simply delays the eventual loss of the home.

Another option is the short sale. A short sale typically is executed to prevent a home foreclosure. In a short sale the bank agree to forgive a portion of the owners principal balance due. The home is sold at the current market value which is usually significantly less than the mortgage and the owner is basically forgiven the debt.

The last option is to simply walk away and let the bank foreclose/take the property back.

All of these options lead to consequences for the homeowner.

Be Pro-Active. If you see potential problems in the future, don’t wait until you receive that threatening letter from the bank. Begin researching your options early in the process. Ideally even before you even miss any mortgage payments. Avoid the run around from the bank. Consider qualified legal representation for advice regarding lender negotiations and debt settlements. Understand your risks and rights. Legal council can analyze your situation and offer a variety of possible solutions and strategies designed to reduce the negative impact on your credit and to ensure that your legal rights are protected.

Call today to find out how to get a
No Cost legal consultation today!

Office: 480-948-0550 **** Toll Free: 866-464-2140

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