Daniel's Blog

credit lines continue to be cut !

Daniel Wexler (ReMax) — Sat, 03 Jan 2009 10:37:26 -0600

If you have had your credit lines cut you are probably or possibly totally in shock.

Keep in mind one thing, you paid for the right to use your money. So you can fight for that right. If you fall into the above situation. Contact your bank. Ask for an approved appraiser that the bank will accept to show them that the equity still exists in your home to support your HELOC.

Finally, if that does not work, there are banks out in the market who will ‘Re-Fi' your home. Call your mortgage broker today!

Things are not perfect !

Daniel Wexler (ReMax) — Sat, 03 Jan 2009 10:31:30 -0600

Don't get me wrong. Things are not perfect.

However, what makes our country so great, is that when things are not perfect, citizens voice there concerns and the powers that be listen. The results are not always to the satisfaction of everyone. However, complaints are heard and efforts are made.

None more evident in response to our national crisis in housing and the sub-prime mortgage market., are the efforts by the Federal Reserve System to lower interest rates 2%+ points in the last several months, the House of Representatives passed the American Housing Rescue Act and just a few days ago Fannie Mae's Keys to Recovery initiative to stimulate the mortgage market and put the Sub-Prime debacle behind us.

Love it or hate it. Agree or disagree. That is why this is the best place in the world to live.

This is a new year and there is a great many reason to be optimistic and proud to be in the United States

Top 6 Real Estate Bargains - is Phoenix AZ one ??

Daniel Wexler (ReMax) — Fri, 02 Jan 2009 13:42:43 -0600

Fortune Magazine on CNNmoney.com recently published a story about the Top 6 Real Estate Bargains as a result of the housing downturn.

Phoenix and the cities that make up Maricopa County was recognized by Forbes as a Best Real market that with prices in many of the planned communities around Phoenix dropping at least 20% and some home buying opportunites more than 30% from the 2005 peak.

Jay Butler, director of realty studies at Arizona State University is quoted. Mr. Butler says, "look to the planned communities that surround Phoenix, which are magnets for retirees and are dropping more to the tune of 20% to 30%. A $1 million home at the market's apex might go for the mid-700,000's now".

What is important to recognize from the report is that these sharp housing correction may be offering home buyers the opportunity you had hoped for , but never expected.

It may be the time to buy a home in Phoenix \ Scottsdale.

housing getting more expensive ??

Daniel Wexler (ReMax) — Fri, 02 Jan 2009 13:41:15 -0600

one must also take into consideration that if the experts are correct and interest rates do continue to rise trough summer and into the end of 2009, then, ...

No matter how you cut it, even if home price remain level or even decline slightly, the actual cost of the home is rising. (Please see Home Prices down Price you pay is Up)

Again, how you finance your home can be as important as the price you pay.

The price of money is steadily rising. If we have hit a bottom in real estate prices, then the cost of your home is going up. Period!

If you are in the market to buy and believe that the market has neared a bottom in Phoenix or Scottsdale or Fountain Hills or any town in your area;

If you find a home that is a good value for you and your family that offers you a place to live, favorable tax treatment and you can lock in an affordable 30-year or 15 year fixed monthly mortgage payment , then consider making an offer on that home you have been watching.

Is now is the right time for you to buy ?

Daniel Wexler (ReMax) — Fri, 02 Jan 2009 13:39:29 -0600

5 Home Buying Rules to live by to help you decided whether now is the right time for you.

Do you want to own a home. - there is no reason to buy just because everyone else says you should. Home ownership can be expensive, can tie up your money and can be filled with upkeep headaches.
Do you love the home. - Make sure you will be happy in your home for a long time. There is no reason to work hard to pay a mortgage on a home you do not enjoy.
Do not buy until you have at least 10%; however, I recommend 20%. - you will get the best fixed mortgage rates available and have no PMI (private mortgage insurance)
Buy a home you can afford - just because a lender will give you a mortgage does not mean you can afford the home. Make sure that there is extra money for utilities, bills and unforeseen events (job loss, health and medical bills, clothing, school, etc..) - you will not enjoy or last in a home if you take on additional debt just to pay your mortgage
Pay off debt, improve credit score, obtain best mortgage - the cost of money (your mortgage) can be as important as the price you pay. - take a little extra time to improve your health to obtain the cheapest mortgage

If you are planning to buy a home in Phoenix, Scottsdale , Paradise Valley, Peoria or any of the towns in Maricopa County, ...

Know of a cash-back deal ?? Contact the regulating authorities

Daniel Wexler (ReMax) — Tue, 30 Dec 2008 10:36:28 -0600

The Land ‘Gold-rush' in Phoenix of the last 10 years saw the unfortunate proliferation of many unscrupulous brokers , appraisers, mortgage brokers, buyers and sellers who participated in cash-back schemes which hurt the honest majority and contributed to the large amount of foreclosures in metro Phoenix and many of the surrounding towns including Scottsdale, Tempe, Peoria, Gilbert, etc...

If you are approached with such a cash back deal or know of participants email: px_cashback@ic.fbi.giv

Thanks for helping the 99% who are contributing to your housing market and national economy.

GM offers 0% financing

Daniel Wexler (ReMax) — Tue, 30 Dec 2008 10:34:28 -0600

Is Zero Percent interest rate policy (ZIRP) on the way for real estate and mortgages ?? Rates are practically there!!

Today, in an unprecendented move General Motors Corp. says it is offering financing as low as zero percent over the next week for several 2008 and 2009 models in a big year-end sales push.

The news comes after its financing arm agreed to take a $5 billion bailout package from the Treasury Department.

I bring this to your attention and ask if this is a sign of things to come for the mortgage market ??

Would it help stop a slide in real estate prices ???

Would it help re-finance ??

Are we just starting another bubble ??

dont look past new home construction for your american dream

Daniel Wexler (ReMax) — Mon, 29 Dec 2008 18:55:24 -0600

Today's Phoenix and Scottsdale area new home buyers offer more reasons to buy direct from a New home builder than ever before.

A wide variety of communities, location, location, location, modern floor plans, an practically unlimited choices of features, colors, fixtures and finishing's, lot selection, modern safety and energy efficient standards, and invaluable

Builder warranty offering an extended commitment to reliability, unique value opportunities and generally better profit in long-term appreciation,

it is difficult to look past a new home for your American Dream.

a case of the Glass Half-Full v. Half Empty.

Daniel Wexler (ReMax) — Mon, 29 Dec 2008 18:53:49 -0600

a case of the Glass Half-Full v. Half Empty. Here's why ....

1) It's a Buyer's market -

2) Lenders easing credit -

3) Lower interest rates - many many years, thus lower monthly payments for the same house 3-4 years ago.

4) Reduction in inventory -

5) Consumer confidence -

Yes, if you are a seller, times are tough.

However, be patient. Prices are starting to correct enough to stimulate buying. Lower prices, means more buying, more buying means less inventory (supply) .

Less Supply, in simple economics, means more demand. Prices then go up. It's almost that simple

Now is not the time to increase the cost of home production

Daniel Wexler (ReMax) — Sat, 27 Dec 2008 10:09:53 -0600

Building Industry is the main opponent of the bill claim who argue this draft of the AZ Homeowners Bill of Rights is overreaching are not happy that the Bill

Prohibits two parties from agreeing to resolve their disputes without going to court
Forbids defendants from recovering attorney's fees even if case was frivolous
Allows PROSPECTIVE buyers to file suit so you don't even have to own a home to file suit
Assures that all disputes, either large or small, go to court raising costs for everyone
Mandates that home builders pay homeowners for repairs with no requirement that they prove that the defect exists or is even the builders fault.

I am a big supporter of Buyer rights, consumer protection and seller responsibility. I agree with buyers, there needs to be better mechanisms in place to protect from bad business practice.

However, I am not a supporter of the Bill in this form.

The sustainability of the building business is critical to the Arizona economy. The Phoenix real estate market is hampered and needs better pricing.

Today is not the time to ask builders to increase the cost of home production which this bill does by definition

Buyer Beware Is Not Enough!

Daniel Wexler (ReMax) — Sat, 27 Dec 2008 10:08:31 -0600

Buyer beware is not enough.

In my opinion, current Arizona law does not give home buyers enough protection against deceitful sales people accountability for seller remedy of problems.

Currently on the November Ballot is the Arizona Homeowners Bill of Rights- Proposition 201 Particularly pointed at new home builders, the goal is to

"provide homeowners with improved rights to deal with construction defects and shady home sales practices."

The Bill of Rights for Arizona Homeowners would

providing a 10-year warranty on new homes.
homeowners would have the right to demand either the builder correct construction defects or compensate the homeowner.
Homeowners also could participate in the selection of contractors to perform the repair work

The Building Industry is the main opponent of the bill

Do the Difficult - your clients will thank you later

Daniel Wexler (ReMax) — Fri, 26 Dec 2008 11:00:28 -0600

It does not take more than having Internet access, network television or delivery of the Sunday newspaper to be aware of the fact that Real Estate is going through a difficult time here in Greater Phoenix and the surrounding towns of Scottsdale, Fountain Hills, Tempe, Peoria, Glendale, Mesa and many other cities in Arizona and unfortunately across many parts of the Country.

As real estate professionals, we cannot control the market. However, often have the task of being the bearer of bad news. And too often, people like to shoot the messenger.

If you are a real estate professional and your clients, friends and family ask. Do the difficult and be honest.

If you own a home and need to sell. Lower the price to where it needs to be.

If you cannot sell, speak with a lender to Re-Fi while rates are low enough to make a difference; And before credit lending standards become possibly more strict.

Homeowners may not love to hear it.

However, they will thank you later

are mortgage brokers an endangered species

Daniel Wexler (ReMax) — Fri, 26 Dec 2008 10:59:28 -0600

Look no further than www.ML-Implode.com; Here you can watch the wreckage in the mortgage lending business tallied for the world to see.

Industry guru, Rob Blake wrote asked ... are Mortgage Brokers are an endangered species?

He pointed out that If you listen to Mortgage (broker) Industry insiders you will hear whispers that the ‘all-powerful' "banking lobby will finally get the Government to legislate mortgage brokers out of existence."

In his very well written article, he outlines the history of the banking industry's "pursuit of the killing off their competition, many believe the banks decided upon a "scorched earth" plan to rid themselves of retail mortgage competition once and for all. The Plan was one they pulled from the S&L play book a decade earlier".

Blake argues that if the Banks "Give the mortgage brokers just enough rope to hang themselves just like the Savings and Loans did!"

10 Reasons to Invest in Solar Power for your home

Daniel Wexler (ReMax) — Wed, 24 Dec 2008 09:30:26 -0600

Here are 10 Reasons to invest in a solar home in Phoenix AZ:

Reduce hot water utility costs
$1,000 tax credit from State of Arizona with purchase of your system.
The Federal government will give you up to $2,000 in tax credits
APS and SRP will give you up to $2,025 fore converting your home hot water system to solar
The cost of a solar heating system is usually paid back within 2 years.
New solar hot water system is typically offered with each solar system purchase.
Phoenix home buyers will love the new hot water heater with modern insulation for energy savings
help the environment.
Reduce your carbon footprint.
Be an example to your neighbors

If you want to market your home as ‘green‘ energy efficient there are a few inexpensive ways to show real estate buyers that you are taking steps to help reduce utility costs, such as using fluorescent light bulbs, low-flow shower heads and upgraded insulated water heater tanks.

Though, for a few thousand dollar investment, you can take advantage of the sunshine and go ‘Green' or go 'solar' to save money and help sell your Phoenix home.

Live in the Valley of the Sun ?? - Go Solar

Daniel Wexler (ReMax) — Wed, 24 Dec 2008 09:29:37 -0600

If you have ever been to Phoenix, AZ , Scottsdale, Mesa, Chandler or Gilbert you know why they call the greater Phoenix area, ‘Valley of the Sun'.

According to the U.S. Department of Energy report on Solar heating systems,

On average, if you install a solar water heater, your water heating bills should drop 50%-80%. Also, because the sun is free, you're protected from future fuel shortages and price hikes.

If you're building a new home in Phoenix or refinancing your Scottsdale vacation home, the economics are even more attractive.

"Including the price of a solar energy water heater in a new 30-year mortgage usually amounts to between $13 and $20 per month. The federal income tax deduction for mortgage interest attributable to the solar system reduces that by about $3-$5 per month. So if your fuel savings are more than $15 per month, the solar investment is profitable immediately. On a monthly basis, you're saving more than you're paying."

Investing in a solar energy system to heat your water system may just what you need to reduce monthly energy costs and get sell your Phoenix home

The Internet is here to stay (for real estate buyers)

Daniel Wexler (ReMax) — Tue, 23 Dec 2008 11:59:35 -0600

One of the largest, if not the largest growth areas on-line is the use of web sites for real estate searches for listings , local market statistics and demographic data, and home value estimates.

There are a multitude of sites offering listings and real estate information for Phoenix , Scottsdale and the many towns in the Arizona Valley.

More than ever, consumers start their home buying (or selling) process on-line. A great idea, and something I recommend. However, I also suggest that you enlist the tools of more specialized and localized professionals, Realtors, neighbors, news outlets, etc... to either confirm or help assimilate all the information on hand.

Real Estate is not (yet) like stocks and bonds. Real Estate is not a commodity. It is a tangible asset. An emotional bond. Decisions are made with the heart as well as the mind. Numbers are critical. However , for the most part, numbers, charts, graphs alone cannot completely replace the emotional and human aspect to real estate.

I encourage you to use the information on-line, in conjunction with localized experts and make sure you touch, look and feel the areas, neighborhoods, and home.

Only with all of these tools can you make the most informed decision.

Prices Drop Record Amount

Daniel Wexler (ReMax) — Tue, 23 Dec 2008 11:57:34 -0600

Maybe we just need to get all of the bad news out by the end of 2008 so we can have a great (maybe I am pushing it) , let's call it a better 2009.

Earlier today, The NAR reproted, Sales of existing homes plunged far more than expected last month as buyers recoiled from October's financial wreckage on Wall Street.

The median sales price fell by the largest amount on record.

More than 13% nationally.

I wanted to get feedback from people and see what they are seeing in their areas. It is rough here in Phoenix AZ, but I didnt think it was that bad.

Find the right home at the right price? Pay Full Asking Price!

Daniel Wexler (ReMax) — Mon, 22 Dec 2008 19:37:48 -0600

Find the right home at the right price ??? Pay Full Asking Price!!

If you find the unique home buying opportunity; the home fit all his needs, wants, and desire and he could afford the home.

We offered full asking price with a relatively quick close of escrow. He was accepted ahead of 2 other offers that tried the haggling approach.

Now, don't get me wrong. Negotiating can be a sound strategy. Always, make sure you are firm with what you can afford.

However, if you find the home you love, at a price that you feel is a great deal and that you can afford, there is nothing wrong with paying full price.

Rent or Sell ?? how about both!!

Daniel Wexler (ReMax) — Mon, 22 Dec 2008 19:36:08 -0600

a lease-option ...

(not to be confused with a lease-purchase- which is different we will talk at a later time).

Simply put, (please speak with your real estate agent and/or attorney), you would rent your home to a buyer who would deposit monthly rents and apply a portion or all of rental payments to the down payment of the property.

of course, it depends on the rent, however, in many cases, in about 6 months, the tenant would have 5% or so and would then may qualify for the loan.

There are other important issues, such as lease agreement, purchase contract and option contract that are necessary, so again please please speak with your real estate agent and/or attorney.

again, you have to be willing to rent your home. However, you can still accept back-up offers during the term of the option, should the tenant not exercise his right to purchase.

Just another idea to help sellers do just that, Sell your Home!

short sale expert can help prepare a short sale package

Daniel Wexler (ReMax) — Sat, 20 Dec 2008 11:29:28 -0600

Short Sales are complicated transactions.

You should work with an experienced short sale listing agent who has been successful with working with banks and asset managers.

A short sale expert can help prepare a detailed short sale approval package that would include

personal financial information requirements
BPO (broker price opinion)
Comparative Market Analysis (CMA),
work hand in hand with a savvy title company to prepare a net proceeds sheet after cost of sale,
can inform the seller that there are other possible options prior to a short sale including, loan workout, deed in lieu of foreclosure or foreclosure
Understand what types of offers the bank is most likely to accept

Please note, there are other options to explore first. If a short sale is your last resort, make sure you seek legal advice first.

After that contact a short sale professional so the process is smooth, timely and done correctly

8 Tips to make your home Eco-Friendly

Daniel Wexler (ReMax) — Sat, 20 Dec 2008 11:19:16 -0600

What makes a home eco-friendly and "Green" ?

Environmental friendly homes incorporate many of the following:
Built from existing homes to conserve materials
New homes with recycled woods and recycled construction waste
Non-toxic materials like paints and finishes
Energy star HVAC systems
Window, screen and awnings to produce shading
Dual Glaze e-efficient windows
Development in urban cores to save gas of residents

4 reasons to make a low-ball offer

Daniel Wexler (ReMax) — Sat, 20 Dec 2008 11:18:01 -0600

It is a Buyer's Market. Period.

Most homes are sitting months on the market waiting for any offer; no less a low ball offer.

There are good reasons to make a low-ball offer.

That is what the buyer thinks the house is worth.
That is the amount the buyer is qualified for a loan.
May need to have that price so that the mortgage payment is equal to the rental income.
May want to flip the house. Buy Low Sell High.

Keep in mind, low ball offers are not likely to get accepted. You are looking for that one seller in a hundred (and they are out there) who for whatever reason , just wants out.

contact the NAHB for information on local builders financial health

Daniel Wexler (ReMax) — Sat, 20 Dec 2008 11:17:11 -0600

The Arizona Department of Real Estate is now posting information on builders who are in bankruptcy or are having financial difficulties so consumers can make informed decisions and take steps to protect themselves.

A list of known builders is available on the Department's website: www.azre.gov Consumers should also reference the Commissioner's Advisory No. 2 on the website's home page which provides guidance for homebuyers, real estate agents and others impacted by a builder ceasing operations.

You can also contact the National Association of Homebuilders (NAHB) or the Arizona Association of Homebuilders for information on local builders financial health.

If you have been considering buying a home from a new home builder, make sure you check the list before making a decision.

If you are in the middle of the home building process, ask your Realtor for an update and information on its ability to continue and complete construction

Do Not Borrow from Retirement Accounts to consolidate debt

Daniel Wexler (ReMax) — Fri, 19 Dec 2008 11:59:51 -0600

Taking money from an retirement account poses a whole new set of issues. There are serious tax implications for early withdrawal distributions that you must be aware.

These tax issues need to be explained by a CPA only!

Also, and most dangerously, it is very rare that someone every repays their IRA or 401K. Typically, if you need money for financial hardship, you rarely pay it back in a lump or installments. Ultimately, that money is not working for you over the years and you will pay the price when you need that money down the road.

When people are struggling the predators come out with promises and untold offers to reduce debt and offer debt consolidation.

It may sound callous. However, Yes, I do mean to scare you.

Be careful these are the last 2 options are taking on more debt from your home equity lines or borrow money from your IRA's / 401k's to pay off other debt.

Life in North Scottsdale AZ

Daniel Wexler (ReMax) — Fri, 19 Dec 2008 11:44:27 -0600

The reputation of DC Ranch and its prestigious sister golf community, Silverleaf is unparalleled in the greater Phoenix area and all of Arizona.

The DC Ranch resort lifestyle affords some of the most desired locations in Scottsdale with access to highways, great schools, boutique shopping and fine dining cuisine just steps from your front door on DC Ranch Market Street.

The restaurants and shopping are one of a kind, even for Scottsdale and have now extended to Canyon Village with restaurants Grazie Wine Bar and Cafe' Ted.

Situated next to the DC Ranch Village Health Club, an 81,000 square foot state of the art health and fitness club that includes children's day care, mountain biking rentals and large heated pools, is DC Ranch Crossing which today is celebrating their grand opening anchored by AJ's fine foods.

If you have considered living in Scottsdale. I highly recommend you visit the on site sales office on Market Street or the model homes of the high-end builders throughout DC Ranch.