Salt Lake Real Estate & Relocation

July 2007 Home absorption - Salt Lake County Real Estate

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Tue, 21 Aug 2007 12:50:41 -0500

The time required to sell a home has increased again for every city in Salt Lake County. In some cities the absorption rate more than doubled from June to July. Of the 17 cities tracked only one (Magna) is still considered a sellers market, three are considered a balanced market (West Jordan, Kearns, West Valley) and the remaining 13 are in a buyers market. The far southeast and southwest areas of Salt Lake County have absorption rates that double the rest of Salt Lake County. South Jordan tops the list with an absorption Rate of 14.4 months.

Click-thru to see the July 2007 home absorption chart for Salt Lake County

Realtors Are Not Meth Cops!

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Tue, 21 Aug 2007 12:33:32 -0500

It seems its human nature to look for a scapegoat to blame for a problem that confronts us. This is especially ringing true in the case of homes contaminated with Meth. Those who caused the contamination are usually long gone to another cooking location, in jail, or dead. They can't be used as a source to pay for contamination cleanup.

Currently the cost of cleanup is on the owner of the property when the contamination is discovered. In an earlier post Who's Mething with Your Home? We proposed some questions the Salt Lake City Council should consider as it considers a new city ordinance to assist home buyers and renters from the physical and financial damages they suffer when purchasing or renting a home contaminated by Meth. It seems one of the alternatives being considered is to hold Realtors accountable for "Accurate" disclosure of METH activities in a home their clients may be selling or buying.

Click-thru here to read the rest of the article on SaltLakeSpeaks blog.

Blog Debate - Salt Lake City Council district 6 - Parleys Nature Park or dog Park?

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Thu, 09 Aug 2007 21:53:26 -0500

Should Parleys Historic Nature Park be an off-leash dog park?

This has been a very volatile issue in our community. The current city council has done extensive research on the park including a one-year "off-leash" trial period and utilizing a "working group" to decide whether the park should be off-leash, on-leash, or a shared use.

On July 17th the Salt Lake City Council reviewed and accepted recommendations from the Parleys Historic Nature Park Committee to:

Appoint a park advisory board to provide stewardship for the park
- Adopt an interim management plan (within 90 days)
- Develop a Master Plan for the park which includes long range vision
- Monitor day to day operations and make recommendations
- Establish partnerships with user groups and interested parties
- Encourage user groups to participate in maintenance
- Determine criteria for assessing the parks health
Develop a Management Plan for the park
Develop and strengthen the partnership with Salt Lake County who owns adjoining Tanner Park
Recognize BMX Riders as legitimate users of the park
Provided financial resources to manage and maintain the park
Develop a time-line for implementation of the recommendations

Aside from the above recommendation the committee could not come to a consensus on whether the park should be all off-leash, all on-leash, or some kind of segregated or split use. It was a hung committee.

The council accepted a motion to implement the above recommendations and reserved the right for a final decision after review of the management and master plans that will be provided. But the council still could not decide on the core issue. On or off leash? The decision has been put-off yet again with off-leash getting the benefit of the doubt until the long-term plans are determined.

Click here to read the candidates statements: Should Parleys Historic Park be off-leash?

For other posts in the Salt Lake City District 6 Blog Debate:

Blog Debate Introduction

Salt Lake City District 6 Candidate Bios

Blog Debate - Salt Lake City Council District 6 - Candidate Bios

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Thu, 09 Aug 2007 21:45:25 -0500

SaltLakeSpeaks is sponsoring a Blog Debate for the Salt Lake City District 6 City Council candidates. To read the Introduction to the blog debate the format we are following click here.

There are 4 candidates running for the seat vacated by Dave Buhler. They are: William Huckins, Ellen R. Reddick, Roger J. McConkie, and JT Martin. Only three of the candidates have been willing to participate in our blog.

Following are the brief bios each of the participating candidates e-mailed to us. They are presented as received without any editing and/or corrections: (I've also linked the candidates to their web-site if I could find one for them):

For the candidate Bios read here: SaltLakeSpeaks Blog Debate

Blog Debate - Salt Lake City Council - District 6

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Thu, 09 Aug 2007 21:38:53 -0500

SaltLakeSpeaks e-mailed an invitation to each City Council candidate in District #6 to participate in a Blog Debate - of sorts. We were pleased that all but one candidate has accepted and provided us their answers to the debate questions.

Our intent is to provide members of our community a look into the minds of each candidate early in the primary election. Hopefully it gives you an opportunity to vote based on some of the issues the candidates will face if elected rather than you voting for who places the most neighborhood signs.

District 6 Area and Candidates

The City Council District 6 chair is being vacated by Dave Buhler, current candidate for Salt Lake City Mayor. Dave did a terrific job representing the district for 7+ years and is a leading candidate for Salt Lake Mayor. Dave has one of the best candidate web-sites I've seen. Check it out here http://www.daveformayor.org/.

District 6 neighborhoods include Bonneville Hills, St. Mary's, Indian Hills, Oak Hills, Sunnyside, Yalecrest, Sugar House, Wasatch Hollow, H Rock, Sunset Oaks, and Foothill. The District also includes the University of Utah, University Village, Research Park, Fort Douglas, Hogle Zoo, This is the Place Heritage Park, Foothill Village shopping area and Bonneville Golf Course.

The candidates for District 6 include:

William Huckins, Ellen R. Reddick, Roger J. McConkie, and JT Martin

Salt Lake City Blog Debate Format

Each candidate was e-mailed 6 topics and questions on those topics. We requested they email us a brief bio sketch and their responses to the 6 topics. SaltLakeSpeaks will post the bios and candidate responses to the questions "unedited" in combined, sequential posts (does that make sense)?

We requested they keep their bios under 150 words and responses to the questions under 200 words. I'm sure that will be a challenge for them.

After each question and responses are posted the candidates and other readers may comment with and add additional information.

Comments will be moderated by the web-master. We will not allow offensive language, personal attacks or comments not related to the campaign and issues.

Salt Lake City Blog Debate Topics

The topics and questions provided to each candidate are:

Parleys Historic National Park - Should it be off-leash?
Should there be an East-side Police precinct?
Should Sugarhouse and Airport spurs be added to Light-rail? When?
Do you support the Downtown-Rising initiative? Should Salt Lake provide any funding for the initiative?
Should a Meth Lab ordinance be approved designating required disclosures and accountability for clean-up? Should all homes identified as Meth contaminated be permanently listed on a register for public awareness?
In-fill zoning restrictions (Garage-Mahal). What do you think about the ordinance?

We encourage active participation from you the reader of this blog. If you have other questions you think are relevant to District 6 or Salt Lake City at-large, please submit them here. The candidates who have cooperated have been very open and willing to participate and respond.

Following are the Blog Debate Posts:

Candidate Bios

Should Parleys Historic Nature Park be off-leash?

Sandy City Utah home Sales - June 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Fri, 13 Jul 2007 23:16:48 -0500

Sandy City home values fell slightly during the 2^nd quarter and have softened to a 1.3% increase over 2^nd quarter 2006 values. June values show a sharp increase. However, it is due to a larger number of homes above 5 bedrooms closing in June and is not representative of the Sandy City market as a whole. Without the June anomaly the 2^nd quarter price decline would have been 6.5% over the 1^st quarter 2007.

The number of homes sold also continues to decline and for the 2^nd quarter was 32.6% lower than the 2nd quarter 2006. Where will it go from here?

Month	Average Sold Price	Change from Prior Year	# of Homes sold	Change from Prior Year	Absorption Rate in Months
1ST Qtr	$367,468	+23.6%	278	-8.6%	NA
April	$347,703	+11.4%	99	-23.9%	5.6
May	$341,323	-2.1%	111	-39.4%	6.0
June	$380,196	-2.0%	115	-32.0%	6.4
2ND Qtr	$357,021	+1.3%	325	-32.6%	6.4

The absorption rate has increased by about 6% per month each month during the 2^nd quarter and is currently at 6.4 months which is a buyers market. With the current impact of the tightening lender market and the reduction on second mortgages and sub-prime lending, I believe the absorption rate will continue to increase and prices will continue to soften.

If you're interested in information on any particular zipcode or neighborhood just contact us at 801-582-5882 or at Ask The Broker.

Information for our real estate stats was taken from WFRMLS as of 7/13/2007 and is subject to change at the discretion of the web-master. Zip-codes included for Sandy include: 84070, 84092, 84093, and 84094.

West Valley City Home Sales - June 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Fri, 13 Jul 2007 23:10:15 -0500

West Valley City Utah home sales went through a major transition in June. Home values continued to rise by 1.7% for the month of June and were 28% higher than they were in June 2006. In just the last 6 months West Valley home prices have increased by 15.6%. That is the biggest increase in the Salt Lake Metropolitan area. But, will the increases continue or will we begin to see some softening of prices? I think we will see a softening.

Month	Average Sold Price	Change from Prior Year	# of Homes sold	Change from Prior Year	Absorption Rate in Months
1ST Qtr	$205,704	+34.4%	285	+1.4%	NA
April	$210,477	+26.4%	100	-1.9%	3.9
May	$215,472	+21.8%	145	+5.8%	2.8
June	$219,032	+28.6%	84	-43.6%	5.1
2ND Qtr	$214,111	+24.8%	339	-12.9%	4.1

The absorption rate, which is the leading indicator of real estate market direction, for West Valley City increased by 82% in June. In May we saw the absorption rate decline to 2.8 months and in June skyrocket to 5.1 months. The change took West Valley from a sellers market to a balanced market trending to a buyers market.

Why the big change? I believe the biggest factor is the tightening of credit. All the hype and media about lenders problems with 2^nd mortgages, sub-prime credit, and 100% loans is beginning to affect buyers. Buyers that have no cash for closing costs and a down payment will no longer be able to buy. That will have a huge impact on most transactions in West Valley.

If you're interested in information on any particular zipcode or neighborhood just contact us at 801-582-5882 or at Ask The Broker.

Information for our real estate stats was taken from WFRMLS as of 7/13/2007 and is subject to change at the discretion of the web-master. Zip-codes included for West Valley City include: 84120 and 84128.

West Jordan Utah Home Sales - June 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Fri, 13 Jul 2007 23:03:51 -0500

West Jordan home prices continue to rise but at a much slower pace. June prices were only 9% higher than last year and were 5.8% higher than prices at the end of 2006. The slowing is certainly due to the increased inventory and the length of time it is taking to sell homes. The absorption rate has increased from 3.5 months in April to 5.2 months in June. The increase has moved West Jordan from a sellers market to a balanced market with the trend moving towards a buyers market.

Month	Average Sold Price	Change from Prior Year	# of Homes sold	Change from Prior Year	Absorption Rate in Months
April	$254,431	+15.95%	144	-3.36%	3.5
May	$263,323	+21.10%	135	-34.15%	4.6
June	$257,380	+9.29%	129	-38.28%	5.2
2ND Quarter	$258,074	+14.87%	412	-26.82%	5.2

Is the slight dip in June prices an anomaly of a shift in West Jordan pricing? In the trenches we are seeing more price reductions on existing listings and we are beginning to see sellers willing to negotiate more on price and terms of the sale. I think pricing will see some volatility over the next few months as buyers and sellers battle in the neutral zone of a balanced market.

An additional impact on the West Jordan market is the tightening within the mortgage industry. First-time buyers and sub-prime buyers are seeing more challenges in getting approved for loans as 2^nd mortgages are tougher to get and minimum FICO score requirements are rising. We will see more FHA loans as these requirements continue to get tighter and FHA options become more attractive.

If you're interested in information on any particular zipcode or neighborhood just contact us at 801-582-5882 or at Ask The Broker.

Information for our stats were taken from WFRMLS as of 7/10/2007 and are subject to change at the discretion of the web-master. Zip-codes included for West Jordan include: 84084 and 84088.

Salt Lake City Home Sales - June 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Fri, 13 Jul 2007 22:57:47 -0500

The average home price in Salt Lake City continues to increase despite continually dropping sales volume and increasing inventories. The number of homes sold during the second quarter are 20% lower than the 2^nd quarter 2006 and and 25% less than the 2^nd quarter 2005. The number of listings available continues to increase with the absorption rate (the number of months it would take to sell all current listings) now at 6.8 months and growing. It has clearly moved from a balanced market to a buyers market.

Salt Lake City home prices have grown faster than Salt Lake County where 2^nd quarter values have increased 12.7% over 2^nd quarter 2006.

We do not see any indicators telling us home prices will soften for the remainder of 2007. Forecasts for all of 2007 were expecting prices to increase 4-5% for the entire year. And for the first 6 months we have seen an increase of 10.6% over December 2006 home prices.

Month	Average Sold Price	Change from Prior Year	# of Homes sold	Change from Prior Year	Absorption Rate in Months
April	$289,952	+16.78%	196	-17.30%	4.8
May	$303,909	+13.70%	247	-14.24%	5.0
June	$337,603	+20.27%	235	-32.66%	6.8
2ND Quarter	$310,683	+16.15%	692	-20.82%	6.8

If you're interested in information on any particular zipcode or neighborhood just contact us at 801-582-5882 or at Ask The Broker.

Information for our stats were taken from WFRMLS as of 7/8/2007 and are subject to change at the discretion of the web-master. Zipcodes included for Salt Lake City include 84101, 84102, 84103, 84104, 84105, 84106, 84108, 84109, 84111, 84116.

Salt Lake City home prices have grown faster than Salt Lake County where 2^nd quarter values have increased 12.7% over 2^nd quarter 2006.

If you're interested in information on any particular zipcode or neighborhood just contact us at 801-582-5882 or at Ask The Broker.

June Home Sales - Bluffdale / Herriman / Riverton Utah

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Fri, 13 Jul 2007 22:51:11 -0500

Bluffdale, Herriman, and Riverton Utah home sales are in the tank. While home prices are still higher than the same month in 2006 the amount of increase is decreasing. Second quarter 2007 home prices are 15.1% higher than second quarter 2006. The real difference will begin to show in the upcoming third and fourth quarters.

Consider this, Home values for June 2007 are $13,000 lower than they were at year-end 2006. That's a 3.5% decrease in 6 months. Also consider the number of homes sold. Second quarter 2007 sales were 53.3% lower than second quarter 2006 and June 2007 sales were 66% lower than June 2006. The number of units sold per month is dropping like a rock.

Month	Average Sold Price	Change from Prior Year	# of Homes sold	Change from Prior Year	Absorption Rate in Months
1ST QTR	$361,175	+27.4%	187	-30.7%	NA
April	$354,426	+10.3%	54	-43.7%	7.3
May	$354,953	+17.9%	57	-47.7%	7.4
June	$382,946	+19.0%	39	-66.4%	13.5
2ND QTR	$362,041	+15.1%	150	-53.3%	10.8

The decline in sales is also shown in the absorption rate. April and May 2007 absorption were about 7.3 months which is a buyers market. June absorption almost doubled to 13.5 months which is by far the highest absorption rate in Salt Lake County.

Sellers who need to sell should read the market and price according to demand. I expect this trend to continue at least through the end of 2007.

If you're interested in information on any particular zipcode or neighborhood just contact us at 801-582-5882 or at Ask The Broker.

Information for our real estate stats was taken from WFRMLS as of 7/13/2007 and is subject to change at the discretion of the web-master. Zip-codes included for Bluffdale, Riverton, & Herriman include: 84065.

South Jordan Utah Home Sales - June 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Fri, 13 Jul 2007 22:39:13 -0500

South Jordan home prices continued to decline in June and for the first time fell below values from the prior year. June 2007 prices were 7.5% lower than they were in June 2006.

Though prices declined steadily during the 2^nd quarter they are still 5.2% higher than home prices at year-end. So it could mean the downward spiral during the 2^nd quarter was a correction of the 11% increase South Jordan had during the 1^st quarter.

Absorption rates in South Jordan are some of the highest in Salt Lake County. Only Bluffdale, Herriman, and Riverton have higher absorption rates. Inventories did decline slightly during the quarter but not enough to make any difference. South Jordan is still a buyers market.

Month	Average Sold Price	Change from Prior Year	# of Homes sold	Change from Prior Year	Absorption Rate in Months
1ST Qtr	$385,016	+21.6	141	+0.7%	NA
April	$402,077	+11.3%	44	-24.1%	9.7
May	$379,158	+2.8%	57	-12.3%	8.5
June	$354,067	-7.5%	61	+15.1%	8.8
2ND Qtr	$374,719	+1.5%	167	-5.1%	8.8

(For a description of Absorption rates check here)

In the trenches South Jordan is seeing a lot of price adjustments as sellers are finally starting to realize they price for an increasing market that has changed.

I believe the South Jordan residential market will continue the decline in prices over the next few months and then stabilize through fall and winter.

This is the time for bargain shoppers to keep their eyes out for those sellers that are distressed and have not been able to sell at market.

If you're interested in information on any particular zipcode or neighborhood just contact us at 801-582-5882 or at Ask The Broker.

Information for our real estate stats were taken from WFRMLS as of 7/11/2007 and are subject to change at the discretion of the web-master. Zip-codes included for West Jordan include: 84095.

Fair Issac - FICO Stops Piggy-Backing Fraud

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 07 Jul 2007 17:58:55 -0500

The Mortgage Industry scored a victory with Fair Isaac's announcement of their modification of their FICO scoring formula starting in September 2007. They've named it FICO 08.

As we posted on our Salt Lake City Real Estate Fraud Report, one of the latest fraud schemes in the mortgage industry was for borrowers with low scores to rent or piggy-back on borrowers with excellent credit. All Mr. Poor Credit would have to do is get Mr. Perfect Credit to add him to one of his credit card accounts as an "authorized user". Within weeks Mr. Poor Credit could see a jump in his score of up to 200 points and could easily qualify for a home mortgage he should not be able to get. This began to be a lucrative business for some cons charging over $1,000 per line of credit added to your credit score.

Fair Isaac Changing FICO Calculation

All this will likely come to a halt with the programming change FICO is making. The change will simply eliminate "authorized users" from any FICO score calculations. The announcement also stated the new FICO 08 will "deliver increased predictive power without considering authorized user accounts". It sounds to me like they could be making additional changes but they don't share what those may be.

Lenders see the change as a great move to help them screen borrowers that should not be borrowing. But, is there a down-side? There usually is. The "authorized user" designation on any charge account was typically used by children of the account owner. It was used as away to build their children credit and help them establish their own history and FICO score. The scoring change will remove that option for parents.

Parents still have the option of adding their children as a "joint account" holder. But we all know the risks of giving our kids full use of our credit cards!

To see what you can do legitimately to build a decent FICO score visit http://www.myfico.com/ or http://www.fairisaac.com/fic/en.

Buyer or Sellers Market? Absorption Rate is The Key!

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 07 Jul 2007 14:02:01 -0500

Buyers and Sellers all pretty much ask the same questions. So it's not really to difficult for real estate agents that are active in the market to answer their clients questions. But there is one question most realtors struggle a little with. And yet, it is one of the most important things the agent must know to help their buyer make their best offer or to make sure their seller sets a list price that will get them the highest price in the shortest time.

The question asked is, Are we in a Buyers or a Sellers Market?

Absorption Rate - The Law of Supply & Demand Sets Home Values

I remember a lot of discussion in economics classes about whether we should make guns or butter. But, the most important thing I learned was that Supply and Demand sets values. Nothing has a set value, not even gold. When there is more gold available for sale than buyers are interested in - the price goes down. And when the amount of gold available for sale is scarce - the price goes up. It's that simple.

The same is true for Real Estate. So when buyers and sellers ask a realtor if we are in a buyers or a sellers market, the realtor had better know the ration of homes sold last month to the number of listings currently on the market. It is a simple calculation any real estate agent can make after spending a few minutes on the Multiple listing service.

Trend Analysis Shows Real Estate Market Direction

Knowing the current Home Absorption Rate is great but it is not enough. To really nail the market rather than chase behind it you must know the trend. With simple trend analysis you will see patterns in absorption rates and see not only where it has come from but where it is going. The generally accepted ranges for a sellers and a buyers market are:

Sellers Market: 1 to 4 months

Neutral or Balanced Market: 5 to 6 months

Buyers Market: 7 months and above

Absorption Rates by Market Segment

If your realtor gives you an absorption rate for the entire county, ask them to dig a little deeper. Better yet, look for another realtor who knows our market. It will save you a lot of money.

A county wide absorption rate is good as a benchmark for each municipality within the county and for an overall feel for the regional market. But it should not be used to set a listing price for a home or make an offer to buy. To really understand a market segment, like a city, or a neighborhood, you need to calculate the absorption rate for that specific market segment. I prefer to measure down to the city level. It gives a very accurate feeling for the home selling supply and demand for each city.

How to calculate Absorption Rate

Absorption Rate simply means the amount if time it will take to sell all the homes currently listed. It can be measured in terms of days, weeks, months, quarters, or even years. But most commonly it is measured in terms of months. The calculation is simple and best described by Krystal Kraft, an excellent Denver Colorado agent.

Use Absorption Rate To Your Advantage

Absorption rate is a very powerful tool that should be used in residential real estate for setting listing prices and determining how much to offer for a home. It is even more powerful in selling and purchasing investment properties and in land development. But that is the topic for a future post.

For additional reading on Absorption Rates check out these blog posts:

Rich Schiffer: Absorption Rate: What it is, and why you should use it

George Tallabas: Absorption Rate>>A Must Add To Every CMA

Jerry Rossi: Absorption Rate Analysis for Resale Clients

Joe Peffer: Absorption Rate OR How long will my house be on the market?

Salt Lake City Real Estate - June 2007 Home Absorption

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Fri, 06 Jul 2007 16:57:32 -0500

The time it takes to sell a home in the Salt Lake Metropolitan area continues to increase. Of the 17 cities tracked in Salt Lake County only three (Midvale, Taylorsville, & Magna) are still considered a Sellers market. Bluffdale, Herriman, and Riverton increased significantly from 7.7 months to 13.9, an increase of 80%.

Midvale, Taylorsville, and Magna were virtually unchanged and continue to be a very strong market with home inventories of about 3 months.

Salt Lake Metropolitan Real Estate - Home Absorption Rates

City	May	June	Market Direction
Salt Lake City	5.0	7.1	Buyers
South Salt Lake	3.4	5.5	Neutral
Holladay	4.3	6.6	Neutral
Murray	3.5	5.4	Neutral
Sandy	6.2	6.9	Neutral
Draper	9.0	8.8	Buyers
Cottonwood Heights	6.4	6.6	Neutral
Midvale	3.1	2.8	Sellers
Bluffdale	7.7	13.9	Buyers
Herriman	7.7	13.9	Buyers
Riverton	7.7	13.9	Buyers
South Jordan	8.5	9.0	Buyers
West Jordan	4.6	5.5	Neutral
Taylorsville	3.2	3.5	Sellers
Kearns	4.0	4.8	Neutral
West Valley	2.8	5.3	Neutral
Magna	3.1	3.6	Neutral
Salt Lake County	4.7	6.1	Neutral

How do we determine what kind of a market we are in with these numbers? Simple, based on research and the experience of the NAR (National Association of Realtors) they suggest the following scales:

Normal or balanced market - 5 to 6 months

Sellers Market - 4 months and below

Buyers Market - 7 months and above

Information for the above absorption statistics were taken from WFRMLS on 7/6/2007. Numbers may be updated at webmasters discretion.

For a more information on the Salt Lake City home market contact us here.

Salt Lake City Real Estate Fraud - July 2007 Update

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Fri, 06 Jul 2007 12:37:52 -0500

Last month we posted about the Utah Division Of Real Estates Fraud Alert sent to all licensed Real Estate Agents, Appraisers, and Lenders. Here is an update on some additional types of fraud occurring since our last post.

Credit Score Piggy-backing

You want to purchase a home but your score is below 620. You speak to a credit repair person and they suggest you piggy-back off another persons credit to bring your score up. Some say it is. It's simple to do. Just convince someone with good credit to add you to their credit card accounts so their good payment history shows on your record. The increased score can be significant and quick.

It surprises me that any person who has worked hard to build a high credit score would jeopardize their credit history by adding someone who can't handle money to their account.

Is it Fraud? Some say it is. It is done to increase the credit score of someone who has not earned the high score? Does it put a lender at risk for granting credit to someone they would not grant it to if they had the accurate history. Would you consider it fraud if you were the lender?

Be smart, don't get involved in this deceptive game.

Unlicensed Agents Marketing Built-in Equity

I was prospecting for listings last week and came across a "For Sale By Owner" on Craigslist that was a clear case of fraud. The ad Stated:

"$300k Instant Equity on a home for sale in Suncrest. An appraisal is available for complete details on this home. The home can be purchased for $825,000 and the appraisal is for $1,125,000. Great for an investor or someone looking for their own home. For further details on this home or other homes with equity contact me for further information"

I called what I expected to the the owner and found an unlicensed person selling equity opportunities. He suggested that because of the built-in equity I could purchase one of his opportunities and actually get money back at the closing.

Before he would give me property details he required I sign a non-circumvent agreement so I didn't go around him to these great opportunities. After I signed the agreement he emailed me 3 properties and their appraisals. Each was presented as having huge built-in equity. None of them were listed on the MLS but he assured me he had agreements with the owners to sell at his bargain prices.

Protect Yourself - Always Use A Buyers Agent

What is the best way to make sure you do not get lured into one of these types of scams? Align yourself with a qualified agent to represent you in any purchase of real estate. Don't think you're going to save a few bucks by going direct to a seller or even a sellers real estate agent. Get an experienced agent that will look out for your best interest.

Convenient 3 Bedroom South Jordan Utah Townhouse

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Thu, 05 Jul 2007 18:55:58 -0500

South Jordans Townhouse Secret - 3 Beds and a pool!

Location: South Jordan, UT

This popular South Jordan PUD is conveniently located off Bangerter Highway and 10400 South. Enjoy the convenience of the pool, work-out room, clubhouse, and playground without any of the maintenance. With 3 bedrooms and 3 bath this townhouse is perfect for a young family or a young professional who want all the comforts without all the hassles.

Information

Contact Information

Keith Jeppson

801-582-5882

Contact Reply Form

Forward to a Friend

View Other Flyers

Pricing

Asking Price: $208,900.00

Property Location

10452 Sage Vista Way
South Jordan, UT 84095
View Map

Links

Salt Lake Real Estate Blog

Features

Bedrooms: 3

Bathrooms: 3

Parking: 1

Year Built: 2005

Subdivision: The Bluffs At Oquirrh Place

Attached on: 2 Sides

Garage Size: 1 Car

School District: Jordan

Square Footage: 1357

Agent Name: Keith Jeppson

Broker: Keller Williams Utah Realtors

MLS #: 704177

Attributes

Appliances

Range/Oven

Full Refrigerator

Dishwasher

Sink Disposal

Interior Amenities

Security System

Central Air

Semi-Formal Dining

Breakfast Bar

Exterior Amenities

Patio

Swimming Pool

Grass Lawn

Secluded setting

Exercise Room

Playground

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The Juice keeps flowing......

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Tue, 03 Jul 2007 12:09:38 -0500

I had drinks with The Juice this weekend! Now 30 years ago if I said that people would think football, and one of the greatest running backs of all time, OJ (Juice) Simpson. That was a long time ago, way before Al Gore invented the Internet.

Today when you mention The Juice, I think Jim Cronin of The Real Estate Tomato. The guy delivering Juicy News For Online Realtors.

Jim is the first ActiveRain member I've actually met in person. After reading many of his posts in The Rain and after a horrible experience with a previous blog developer and trainer, I called Jim. He felt my pain and offered a solution. Thirty minutes later I gave him my credit card number, SaltLakeSpeaks was reborn, and we've never looked back. It's uncommon to receive more than you were sold on the Internet, but that's what I've experienced with The Tomato Crew. They just keep delivering the juice!

In person, Jim is relaxed and cordial. In between sliding down oysters and slammin some brew, he has a great sense of humor and a passion for blogging. I really enjoyed hearing the history of The Real Estate Tomato and Jim's plans going forward. He has a sincere interest for his clients and a passion to see them succeed.

It was also a pleasure to meet Jim's other half, Monte. No, not Molly, the incredible customer service rep who "is quick like a cat" and services all the tomatoes on the vine, but his beautiful and witty wife, Monte. What a great team they make.

I didn't need to meet Jim in-person to be thrilled with my blogging development team and coaches. He didn't have to call to see if I wanted to chill a bit while he was in town. But, as Tony Robbins puts it, Jim just went from great to spectacular.

Thanks Jim, for helping me through this marathon.

Salt Lake Shows Final Plans For Clayton Middle School

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 23 Jun 2007 15:09:36 -0500

Salt Lake School District and Clayton Middle School met with homeowners and parents last week to present the final plans for the construction of the new school. Clayton construction is scheduled to begin in September and will take about 2 years to complete.

Parents and surrounding homeowners generally seemed pleased with the new plans. The biggest concerns were bus traffic dropping off and picking up kids and where to hold gym class.

Currently the school bus loads and unloads on 1900 East. It is the busiest street in the neighborhood but kids load onto the curb and don't have to cross traffic. With the new building the bus will enter school property on the south end of the school completely off public streets to load and unload. The concern is the buses will then have to enter 1800 East and then travel east onto Kensington Avenue. Kensington Avenue is a quiet residential street and home owners are not pleased with the bus traffic they will be getting.

Click-thru here for "The Rest of The Story".

Home Remodeling Costs In Salt Lake City - What's The Payback?

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Wed, 20 Jun 2007 18:20:36 -0500

Salt Lake City home values have increased significantly over the last 18 months. So the cost of virtually any home improvement project was recovered when selling the home. But, things are getting back to normal. We're now in a more balanced market and home owners wanting to make improvements to their home should consider the payback from their remodeling costs if they choose to sell.

Realtor Magazine and Remodeling Magazine have combined their efforts to give us an indication of what to expect for payback. The 2006 Cost vs. Value Report covers construction costs and estimated resale values for 25 common remodeling projects in 60 US markets. Salt Lake City is one of the markets in the research. It also separates each project into two categories; midrange and upscale, with costs and estimated resale recovery for both.

Remodeling Costs and Payback Reports

For access to the complete report published in Realtor Magazine click here

For access to the Salt Lake City cost/payback report click here

Top 5 Home Remodeling Projects for Salt Lake City

Here are the top 5 home remodeling projects in the Salt Lake City Market and their estimated paybacks for mid-range quality. If you'd like to know the remaining 20 projects contact us at Ask The Broker. Licensing restrictions with Remodeling Magazine will not allow us to share the complete details here.

Project Type	Salt Lake City Payback	Mountain Region Payback	National Average Payback
Vinyl Siding Replacement	97.3%	85%	83.7%
Minor Kitchen Remodel	95.3%	87%	85.2%
Two-Story Addition	91.6%	88%	83.2%
Major Kitchen Remodel	95.3%	81%	80.4%
Window Replacement (Vinyl)	86.6%	85%	83.7%

Anyone using these reports must understand these estimates are averages as reported by contractors and real estate agents. Your personal results will vary based on your negotiated costs, your unique neighborhood, home layout, quality of work, and of course the abilities of the Realtor you select.

Magna Utah Home Values up 18% Since Year-End!

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 16 Jun 2007 22:20:11 -0500

Magna home values are up 18% since year-end! It is clearly the hottest market in Salt Lake County. Home values have increased steadily this year and sales volume has kept a close pace with the records numbers of 2006.

Will it continue? I believe it will.

Look at the absorption rate of 3.4 months. It is the second lowest in the county, West Valley is the lowest at 3.0 months.

As an Investor, I'd take a serious look at Magna. Even with the 18% increase since year-end it is the best buy in the county. With values increasing and demand at 3.4 months it is still a great time to invest.

For more information on Magna Utah Real Estate visit us at www.SaltLakeSpeaks.com

Kearns Utah Housing Report - May 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 16 Jun 2007 21:52:52 -0500

Kearns and West Valley City have very similar statistics. They are the 2 hottest real estate markets in Salt Lake County.

Kearns home values have increased 13.2% since the end of the year. May 2007 average home values are 27.4% higher than May 2006. Monthly increases continue and are likely to continue at least through the remainder of the year.

There is some indication of change in the Kearns market. Pricing usually follows volume. And as the chart shows the number of homes sold monthly is declining. May 2007 had almost 24% fewer sales than May 2006. The absorption rate still shows a sellers market at 4.1 months. But, the absorption rate increased 42% in May from a low 2.9 in April. The trend appears to be away from a sellers market and towards a balanced or neutral market. I believe it will stay in the 4.0 range during the summer months at least.

Compare Kearns absorption rate to the rest of Salt Lake County and you'll see how strong the Kearns market is.

Taylorsville Utah Housing Report - May 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 16 Jun 2007 18:16:35 -0500

Taylorsville Utah home values have fluctuated wildly over the last few months but year to-date they are up 7.1%. May 2007 values are 17% higher than May 2007. Taylorsville home values are strong and are expected to keep rising as first-time buyers keep looking for homes.

The volume of home sales is declining slightly which is a sign of some softening in the market. Absorption rate for May was 4.7 months and a huge increase of 44.9% over Aprils 3.2 months. Taylorsville is still in a sellers market range but is on a trend towards a neutral market. Compare Taylorsvilles absorption rates to the rest of Salt Lake County. It's clear that cities with homes under $250,000 are in a sellers market and those above are either neutral or in a buyers market.

Rising interest rates may be having an impact on first-time buyers. Rates increased almost .75% in the last 2 weeks to just under 7%. We'll be watching for a shift.

For more information on Taylorsville Utah Real Estate visit us at www.saltlakespeaks.com.

West Jordan Housing Report - May 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 16 Jun 2007 17:26:17 -0500

West Jordan home values have increased approx 8.2% since the end of the year and have increased about 3% each in April and May. West Jordan values are strong and continue to rise. Home values in May were 21% higher than in May 2007.

Though home values are up, the number of homes selling per month is declining. The absorption rate in May was at 5.5 months which is 28% higher than it was in April. West Jordan moved from a seller market to a "neutral market" in May as well. Compare West Jordan to the rest of Salt Lake County's absorption rates.

For more information on West Jordan Real Estate visit us at www.saltlakespeaks.com.

West Valley City Housing Report - May 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 16 Jun 2007 16:57:37 -0500

West Valley City is still one of the hottest home markets in Salt Lake County. Home values have increased every month in 2007 and in May were nearly 22% higher than what they were in May 2006. Not only are home values strong but the number of homes sold has stayed very close to 2006 record levels.

West Valley is one of the few cities in Salt Lake County still considered a sellers market. Our absorption rate (the number of months it would take to sell the current inventory of home listings). is 3.0. anything below 5 is considered a sellers market. Check the Salt Lake County absorption rate chart and compare West Valley City.

We expect the demand in West Valley to continue. It is a great community and its community leaders are growing it with a strong strategic plan.

For more information on West Valley City Real Estate visit us at SaltLakeSpeaks.

South Jordan Utah Housing Report - May 2007

Keith Jeppson - Salt Lake City Real Estate (Keller Williams Utah Realty) — Sat, 16 Jun 2007 16:54:20 -0500

South Jordan home sales are pretty much in the tank. Values increased over March and April but declined as sellers finally negotiated a sale. May home values were only 2.8% higher than prices in May 2006. That is one of the smallest annual increases in Salt Lake County.

A bigger concern for the South Jordan home market is the absorption rate. At 10.1 months it is deep into a buyers market. The table shows the rate declined 11% in May which was a reaction to sellers negotiating lower prices.

Compare South Jordan to the rest of Salt Lake County and you'll see it is not doing as well as other cities.

South Jordan may become an opportunity for investors as the inventory increases and sellers become anxious to sell.

For more information on the South Jordan housing market visit us at SaltLakeSpeaks.