mls listings: Some extra "rescue" in the Rescue Bill
- 10/20/08 04:21 AM
Within the 451 page Rescue Bill that was recently passed in Washington are nearly 100 tax code changes that directly affect individuals and business owners, including education deductions, sales tax, energy credits, and even new disaster aid. Other tax breaks, which were due to expire, were extended, including property tax deductions, the Mortgage Debt Forgiveness Act, and the shield for the Alternative Minimum Tax (AMT). The property tax provision, set to expire in 2008, has been extended to 2009, and allows up to $500 ($1000 for joint filers) in deductions in addition to the standard property tax deduction - even if … (1 comments)
mls listings: Seller's Alert! 10 Common Mistakes that Seller's make (part 2)
- 10/17/08 09:33 AM
Thank you to everyone who commented on part 1 of my listing of 10 common mistakes Home-sellers make. I enjoyed the feedback, and hope you may have found some of the tips helpful. However, I promised 10 tips, and only listed 5 yesterday...so, in conclusion........ 6.) Market Timing vs. Seasonal Selling. Just as a broker continually follows the trends of a stock, your consultants continually follow the market trends involved in home sales & home financing. Your professionals will know if the market cycle is poised to net you the most money. Many people believe that property will always sell better in … (0 comments)
mls listings: Seller's Alert! 10 Common Mistakes that sellers make (pt. 1)
- 10/15/08 03:52 PM
Selling yourhome can be an exhausting experience. Last minute walk-throughs, inconvenient calls, price adjustments and the concern of being 'stuck' with two mortgages to pay at one time are real concerns. If you are not completely prepared, you could end up osing hundreds, or even thousands of dollars. The difference between a profitable, smooth home transaction and a break-even one is a miserable experience and often seperated by a thin line. In the majority of cases, it comes down to the know-how of the professionals you work with. By utilizing the knowledge of a qualified Realtor and Mortgage Professional, you'll ensure a quick, … (0 comments)
mls listings: Market Conditions in Mahtomedi, MN
- 06/11/07 08:10 AM
The MAR 100 was reported today, and here's what it shows for the Mahtomedi, MN. marketplace through May of 2007- Mahtomedi, MN. 2006 2007 Change 2006 2007 Change New Listings- 22 26 18.2% 81 93 14.8% Closed Sales- 7 14 100% 34 38 11.8% Ave. Sales Price- 335,400 329,007 -1.9% 406,171 314,009 -22.7% Ave. Days on Mkt. b/f sale 154 146 Current Inventory is 50 Single-Family/Detached and 25 Townhome/Condos Better numbers that those for White Bear Lake, which is down 2% for the month and up just 6% year-to-date. If you have questions about other Twin City areas, feel free to contact me at lorenjohnson@nexus-financial.com , or go to my website at … (0 comments)
mls listings: Not to be a (home) alarmist, but...
- 06/11/07 05:54 AM
did you know that home security systems may actually attract burglars? Shocking, but true. Each year, Americans spend more than $18 Billion on professional alarm systems. Unfortunately, according to security consultant Walter Shaw, some of those systems may actually be attracting burglars. Shaw, a former burglar, contends that when thieves see a house with a security system sign on it, they know it typically means that the house actually has something of value inside...which makes it a better target for them to consider breaking into. In addition, Shaw notes that determined thieves can actually use those security system signs to their advantage. First, … (4 comments)
mls listings: NAR Housing Forecasts-deflating numbers (?)
- 06/08/07 08:52 AM
It seems that the National Association of Realtors forecasts over the past few months have actually backpedaled, based on the newest 2007 forecast released on June 6th. In January, former chief economist David Lereah came out with the predictions on the top left side of the graph below. In April, those numbers, as well as a projection forward, were revised downward by new chief economist Lawrence Yun. Wednesday, Mr. Yun again adjusted downward, as seen below (sorry...I did the best I could on a graph!) *The January report did not make predictions for 2008. Why does this report matter to us in the Real … (0 comments)
mls listings: Some other consumer ideas about "flipped" homes
- 06/08/07 07:53 AM
In continuing my thoughts from yesterday regarding looking at a home that may be a quick "flip"- the expression "quick and dirty" might have been invented to describe some of the methods used in turning properties around for resale. Not to say that all or even most investor rehabs are shoddy, but it is something to bear in mind if you are interested in buying a home you suspect may be a flip. This is the time for a really thorough home inspection. Pay extra if necessary to have the inspector crawl through the attic, basement, and crawl spaces. You want … (0 comments)
mls listings: Checking in on buying a "flip"-
- 06/07/07 05:33 AM
You can almost spot "Flips" from the listing sheet. They tend to be among the smaller homes in an area and the listing sheet highlights "new carpeting, new appliances, and/or fresh paint". Sometimes a major selling point is that a buyer can "rent to own." And the houses are almost always vacant. These tend to be telletale signs of an investor owned home that was bought with the idea of doing a quick fix up before reselling or "flipping" the property. Some investors buy a house and rent it out in its original condition for a year or two before doing a rehab, … (3 comments)
mls listings: "Bridge Loan" woes!
- 05/30/07 10:20 AM
Had an interesting situation come up in Minnesota today....wondering what anyone else might have seen- Clients wanted to purchase a new home and close on June 15th. They have an approved buyer of their current home who is self-financing, with a certified letter from a trust showing income, and a letter from the trustee (an attorney) approving releasing funds to purchase the home. However, they want to close that purchase on June 30th. The 1st clients have plenty of income, and 700+ credit (that I verified), but Fannie lenders...heck...all lenders...are not willing to approve anything but a same-day sale as I've been calling around. With … (3 comments)
mls listings: It STILL makes sense to buy instead of renting!
- 05/29/07 05:49 AM
Nearly a full third of households are still renting...but if you are one of them, you could be paying a hefty price. Additionally, the children of the baby boomer generation are close to or at the home buying age, but these "echo boomers" could mistakenly decide to put off the purchase of a home because of all the noise about a "bubble" in home prices. Is there a "bubble" here in Minnesota? The simple answer is "no". Even if interest rates move a bit higher, it won't be enough to cause a statewide slide in home prices. The key to a healthy … (1 comments)
mls listings: "selling" a home loan- twice!
- 05/02/07 04:32 AM
I just had to write after an "interesting" evening having to explain a loan- twice- and wondered how many other times it has happened to you! Nice referral from a Realtor comes to me....she is 34, looking for a home.....and wishes to be pre-approved. She easily flies through FannieMae's Desktop Underwriter......and after seeing her bank statement & paystubs, I give her a number. I explain that she could finance with money down, or go 100%...and that we'll look at those options when she finds a home. She does...about 1 week later, and says she wants to put as little down as possible, … (4 comments)
mls listings: Pre-Approved vs. Pre-Qualified
- 04/30/07 04:21 AM
I need to thank Erik at Open Home Mortgage who e-mailed me a reminder regarding my last blog about getting 'pre-qualified'. He & I actually are in 100% agreement on what a potential homebuyer should do to properly work with a Mortgage Professional, we just called it different things! Erik & I believe in the concept of being "pre-approved", not just pre-qualified. What's the difference? The difference is in actually meeting with your new client, getting a current paystub (or two), verifying their employment history, verifying their assets, and not just pulling their credit, but actually going over it with the client. NOW, … (3 comments)
mls listings: Pre-qualify to save a headache!
- 04/27/07 06:36 AM
The joys of a late-April weekend in Minnesota mean more than just nice weather...it means folks are coming out of their cocoons and starting to look at new homes! With all the radio advertisements that the local Board of Realtors have out there, at least MY call volume has been going up. And thankfully, most all of my future house-hunters agree on 1 thing. Get Pre-Qualified FIRST. I had a call from a Realtor last week asking for a pre-qual for a client. They had gone out and looked at homes that the Realtor would be in the proper price range based on … (3 comments)
mls listings: Mortgage Insurance no longer dirty words
- 04/26/07 04:55 AM
Mortgage Insurance is NOT a dirty word any more in our business. However, many people have been 'trained' over the past boom cycle to think that "MI" is a rip-off. However, in the year 2007, when MI is fully tax-deductible........it can really help lower the monthly....and lifetime...payments of the 100% purchaser. Just last night at a client meeting, the words "mortgage insurance" got an immediate change of body language (from good to bad!). However, since I took the time to bring side-by-side comparisons of both 80/20 financing AND 100%-1 loan w/MI financing, they were able to see the lower monthly payment … (2 comments)
mls listings: Incomplete reporting, in my view
- 04/25/07 03:44 AM
I just love how our local media works in Minneapolis/St. Paul. Yesterday, the front page of the local papers had highlighted headlines like " House Sales drop 8%" and "Bad news for Housing Market". Both paper's business sections had the AP story about how sales in March were down 8%, etc....... with the only comment from "David Lereah, chief economist at the Realtors". Huh??? Anyone talk to a local Realtor? The Minnesota Assn. of Realtors President? A Mortgage Broker? While local sales are rather flat, everyone I talk to talks about how activity is going up, how people are more realistically pricing their homes, how … (1 comments)
mls listings: Do some Realtors listen to their clients?
- 04/20/07 05:32 AM
Every time I think I've seen it all in this business, something else comes across my desk that reminds me what kind of a crazy market it is out there!!! My client came to me wanting to be pre-approved for a loan. He's a nice middle manager at a company, just out of school, wanting to quit renting and start owning. He quickly brought me paystubs and bank statements, and I had pre-approved him for 100% financing at "x", and "x plus more" if he wanted to put down 10%, and 20%. My client looked at possible PITI monthly payments, and we … (3 comments)
mls listings: Hey...the sky ISN'T falling!!
- 04/03/07 05:18 AM
It's been interesting the past few weeks to be reading about how the "sub-prime" mortgage market is falling apart....how many strong lenders are going to be hurting soon....and how many folks won't be able to achieve homeownership because of tightening underwriting rules. As I've just been humming along taking care of clients, a few things have struck me- 1.) The print media will print almost anything to try and sell newspapers. Notice how many 'reports/stories' about bad things in the real estate market/mortgage market are in a newspaper versus net information? It's just my opinion, but I sure see a lot more … (1 comments)
mls listings: How do you 'doctor' your clients??
- 03/14/07 05:35 AM
Good afternoon! I'm sorry I've been away for the past week or so. My father-in-law has been in the hospital for an extended stay, and I've been a bit 'pre-occupied'. And yes, he's fine now and back home, so all is well. However, while I was visiting him at the hospital, I was constantly reminded of a "golden Rule" we should keep with our clients based on how my father experienced "customer service". As any of us would be in a hospital setting, my father-in-law was anxious to find out results of various tests that were done, as they would let him know … (1 comments)
mls listings: Lawsuit filed over Realtor/Title referrals
- 02/22/07 08:02 AM
I found an interesting article in the Minneapolis StarTribune over lunch this afternoon..... "Coldwell Banker/Burnet sued over agents' referrals" (Business section, page D2) Basically, a suit has been filed over Realtors 'steering' closings to Burnet Title, an affiliate of Coldwell Banker- without 'full disclosure'. Well, I know that all folks sign an affiliated business disclosure, and this would be discussed up front. I also know that title companies can be more or less expensive, but I don't find thousands of dollars in differences between most title agencies. But....one little part of the suit makes me wonder....... The plaintiff's attorney, William Crowder, stated that " Burnet … (7 comments)
mls listings: "Blowing that whistle" on a Realtor
- 02/15/07 03:40 AM
Since I had gotten some good comments back from the community...I thought I would tell you what ended up happening with my 'client'. To recap: I had pre-approved a Realtor's referral after verifying income and credit. Later, the Realtor visited a home where the selling Realtor wanted to place my client in an Option ARM....where they would be able to make the 1.75% payment.....but would be not only upside-down in year 5, but would also be at a 78% DTI - with a conventional refinance...not even looking at the amount of the 'recasted' loan. The Realtor asked why I didn't pre-approve the client … (2 comments)
Within the 451 page Rescue Bill that was recently passed in Washington are nearly 100 tax code changes that directly affect individuals and business owners, including education deductions, sales tax, energy credits, and even new disaster aid. Other tax breaks, which were due to expire, were extended, including property tax deductions, the Mortgage Debt Forgiveness Act, and the shield for the Alternative Minimum Tax (AMT). The property tax provision, set to expire in 2008, has been extended to 2009, and allows up to $500 ($1000 for joint filers) in deductions in addition to the standard property tax deduction - even if … (1 comments)
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