For Las Vegas home owners who have been unable to qualify for a loan modification and are facing foreclosure, a new Fannie Mae program would at least allow them to stay in their homes for up to a year if they are willing to sign over their homes to the bank on a deed in lieu of foreclosure. The bank would then lease the house back to the borrower at current market rate for up to a year. After the initial lease period expires, there's the possibility that the bank would extend the lease on a month to month basis.
The program, called Deed for Lease, is designed to help stabilize neighborhoods and reduce the amount of foreclosures on the market. Foreclosures in Las Vegas have been among the highest in the country. Many neighborhoods built during the boom period were bought out by investors and currently stand half vacant. According to Dean Baker, co-director of the Center for Economic and Policy Research, "Families that like their home, their neighborhood, or the schools for their children will have the opportunity to stay in their house even after foreclosure. This is also good policy for neighborhoods that have been hard-hit by foreclosures. The Deed for Lease Program will keep the homes occupied rather than being an eyesore and a potential safety hazard."
To qualify for the deed for lease program, the home must be the borrower's primary place of residence. A borrower-turned-tenant must be able to prove that the market rental payment is no more than 31% of his gross income. Any subordinate lien holders (second trust deeds, judgments, etc.) must agree to release those liens in full. For most homeowners, the rental payment will be far lower than the mortgage payments they were making.
The Las Vegas real estate market would seem ideally positioned for this new program. There are even rumors that in the future Fannie Mae would seek to sell the homes back to owner/tenants. Current short sale guidelines prohibit more affluent friends or family members from purchasing a borrower's home in the hopes that one day they would be able to buy them back. Banks could gain from potential appreciation over the next few years, rather than going through the expense of the foreclosure process and low prices now.
For a complete listing of Las Vegas MLS listings including foreclosures, please contact us at 702-985-7654,
Las Vegas real estate agents and homeowners alike are celebrating the news! It looks like the first time home buyer tax credit will be extended through April 30th of 2010, and more buyers than ever before are now eligible to take advantage of the new credit guidelines. Income caps have been raised from $75,000 to $125,000 for individuals, and from $150,000 to $225,000 for couples. In addition, move up homeowners are going to get a piece of the pie as well. Any homeowner who has owned his home longer than five years can get up to a $6500 credit on the purchase of a new principal residence. (The credit is available for the purchase of principal homes costing less $800,000, and vacation homes do not qualify for the credit.)
So what does that mean for the local market? The inventory of Las Vegas homes for sale has already dwindled dramatically in the third quarter of 2009, with less than 8,500 single family homes on the market at the end of October, down from a high of over 25,000 in October of 2007. Price decreases of more than 50% in the market lured investors back into circulation during 2009, and first time homebuyers, squeezed out during the boom, took advantage of affordable pricing. Competition for Las Vegas foreclosures has been fierce, with multiple offers submitted on properties under $250,000. (One property received a record 75 offers in less than three days on the market!)
One of the most frustrating aspects of the market during the past year, for both buyers and agents, has been trying to get an offer accepted. With more than 80% of the properties for sale being either bank owned foreclosures or short sales, the process has been arduous to say the least. Many buyers on short sales have waited over 6 months waiting for bank approval only to have the short sale package denied or to find out that the bank had foreclosed on it, even though there was a valid contract in escrow. And in some cases the sellers have "disappeared" prior to closing since they are getting no money out of the sale. Most buyers have had to put in more than a dozen offers on properties before finally getting one accepted. Plus the banks are writing all the rules. Negotiators are requiring full preapprovals from Las Vegas mortgage lenders before they will even consider an offer. And buyers are taking homes in "as is, where is" condition with no repairs made and no warranties or recourse against the sellers.
With any luck the new tax credit for move up buyers will stimulate "real sellers" to put their existing homes on the market. They will be pleasantly surprised to find that they are able to command more money for their homes than the bank repos and short sales, as frustrated agents and buyers will be zeroing in quickly to claim a "normal" transaction without all the headaches and hoops of the repos and short sales. Higher sales prices for homes should stabilize the market as well, and may even lead to increases by the time spring buying season rolls around. So break out the champagne and the paint brushes!
We have discovered a great lender for Canadians wanting to buy Las Vegas homes or condos, either as a second home or as an investment! This lender charges no loan discount points or origination fees, and the rates are the same as what a US citizen can obtain.
Lately all our blog posts have been about finding Las Vegas mortgages for our clients. With the high rate of national foreclosures, many traditional venues and programs have been discontinued, leaving buyers, even those with substantial down payments, in limbo. It has truly been a challenge for us to find mortgage lenders with reasonable down payment and rate structures.
In our never ending quest for foreign national financing for Las Vegas real estate purchases, we have literally stumbled across a lender who is able to loan money at competitive rates to Canadian citizens. This lender is able to use Canadian credit scores and income to provide mortgage loans for the thousands who are trying to flee a harsh winter climate for a few months each year.
General program guidelines for this lender are as follows:
The program is available for both second homes and Las Vegas investment properties. The minimum down payment is 20%, although the best financing on investment properties would be with a 25% down payment.
The programs that are offered are full qualifying loans. Available are the 3/1, 5/1, 7/1, and 10/1 Adjustable Rate Mortgages. Each is a 30 year loan with a 30 year amortization locking in the loan rate for the short term of the loan. For example, if you got a 3/1 ARM, your start rate would be locked in for three years. (Rates are typically lower for shorter loan locks.)
The typical documentation list is as follows. Based on your own individual circumstances, more documentation may be required:
2 years personal tax returns including all pages and schedules 2 years T4s 2 years corporate tax returns including all pages and schedules (if self employed) Most recent 2 months bank statements reflecting name, account number, and 2 month transaction history Most recent 1 month retirement / investment account statement reflecting name, account number, and current balance. Mortgage statement on any property owned in borrowers personal name reflecting name, property address, current balance, current interest rate, and current payment. Line of credit statement on any property owned in the borrowers personal name reflecting: name, property address, current balance, current interest rate, current payment, and available balance. Lease agreement for any rental properties. Clear copy of passport to include the signature page and picture page.
Two unique benefits of this lender are their rate renegotiation prior to closing and their loan modification process.
The rate renegotiation is available to a client in the event that they lock their rate in but before closing rates drop. The borrower has the ability to renegotiate the rate to that day's pricing with a modest premium paid.
The loan modification process would come in to play should rates drop after the borrower has closed the loan. There is a one time modification available to the borrower. It allows them to simply lower the rate with no documentation, appraisals or closing fees that a refinance would incur. It is one page that the client signs and it gets recorded behind the deed of trust. Again, a modest fee is paid for this privilege should the borrower elect to take advantage of it.
Like all loan programs, there is no guarantee on how long this one will last. So if you are a Canadian citizen who has been thinking about purchasing property in the States, call us right away so we can put you in touch with this lender. 702-985-7654 Once your financing is in place, we can find you a phenomenal STEAL on Las Vegas foreclosures! Las Vegas Nevada real estate hasn't been priced this low in almost ten years.
Once again the mortgage lending guidelines have changed with the wind. For a brief period there was a window for foreign nationals to obtain mortgage financing on investment and second homes in the United States with down payments as low as 25%, but now that window has been slammed shut along with a host of other "make sense" loan programs. (Don't even get me started on condo hotels that can't be financed by anyone with even 50% down!)
Many of the foreign nationals who contacted us in recent weeks were willing to put down as much as 30% to 40% or even 50% on Las Vegas foreclosures. With the current housing market crunch, what are the big banks thinking? Here are people with real money, good credit and big down payments that would love to take advantage of lower prices and they can't get financed?!!! Some of these investors were already under contract on projects in development, and they may have to walk away from substantial deposits unless alternative financing is brought online. (Just as a side note, permanent resident aliens are still able to obtain financing on the same terms as US citizens. If you are a permanent resident alien and need a Las Vegas mortgage, please contact us at 702-985-7654 so we can put you in touch with the right lender.)
On top of all this, with the stock market dives globally, even those foreign investors who didn't need financing and were planning on paying all cash are now stepping back as they watch the value of their portfolios diminish. The Euro is back down to 2005 levels and the British pound has plummeted even below that level.
Canadians, who saw their dollar rise to all an all time high against US currency at $1.10, have watched it tumble in just the past few days to 79 cents versus the US dollar. Literally thousands of Canadians were looking for winter getaways in the US, but have had to put their plans on hold. Again, many of these were all cash buyers looking for modest Las Vegas condos under $100k, but with the devaluation of their dollar they have once again been priced out of the market without financing.
And even US citizens are being crunched/punished in the mortgage marketplace. The latest is that anyone who has three or more properties with any kind of mortgage on them cannot get financing for a fourth property. Again, even if they are willing to put 50% down and have low loan to value ratios on their existing properties and excellent credit and income, they still can't get a fourth loan. Not even if you're Donald Trump.
With all the resale Las Vegas homes and condos for sale, not to mention the hundreds of thousands nationwide, and all the opportunities to pick up great deals on foreclosures, our banks are not willing to lend to these impeccable buyers who want to buy and have money. Certainly I am not suggesting we should go back to no or low money down programs with no income or asset verifications. But why not create some solid loan programs to entice these good buyers, whether or not they are citizens of the US? The banks would be able to lower their inventories of properties substantially, which would in turn stimulate the economy and gradually raise prices again in a controlled manner.
All I know is that in the months to come, those with cash who are willing to take a chance on the market now are probably going to come up looking like geniuses in couple of years. My other prediction is that while Las Vegas real estate was one of the first to fall, it will also be one of the first to recover, and I am personally putting my money where my mouth is.
With the dollar expected to rise against foreign currencies later this year (that trend has already started), foreign investors are hurrying to purchase real estate in the US while their dollar goes further. Most of these investors are targeting the Las Vegas real estate market in particular, where the sharp decline in prices (due to the high amount of Las Vegas foreclosures) and the world class amenities have made it an attractive get-away destination. In particular, Canadian buyers are looking to Las Vegas homes as a vacation retreat from their harsh winter climate.
Most banks will not loan on real estate outside of their own country. With all the recent shifts in the credit markets, the qualifying criteria has changed for mortgage loans in the United States across the board, including those to foreign purchasers. Prior to this year, a foreign national could obtain financing from US banks as long as they had 35% to put down with no or limited documentation. Now US mortgage lenders are requiring full documentation of income and assets on all mortgage loans without exception, though the down payment requirements have dropped.
A citizen of a country other than the US can obtain a loan for property in the US based on what classification they fall under. A permanent resident alien is a foreign national who has been granted the right to work in the US permanently and who has been given a US social security number. A permanent resident alien can purchase property under the same guidelines as a US citizen. They can get a loan with as little as 5% down payment for a primary residence, either on a fixed rate or adjustable rate mortgage at the current interest rates available to US citizens.
All other foreign nationals, including those with temporary work visas, are required to put down a minimum of 25% for properties under $650,000 or 35% for properties over $650,000, whether the property is a primary residence or a rental property. Lenders will also require the equivalent of a US TRW rating as well as full documentation of their employment income and assets. In addition, the down payment money must be "seasoned" in a US bank for at least 60 days prior to the close of escrow.
These loans to foreign nationals are only currently available as adjustable rate mortgages or ARMS. The fixed rate terms can be for 3, 5, 7 or 10 years and interest rates are currently running between 7.5% and 8.5% with approximately 5 loan discount points prepaid for the amount of the loan (points can vary on a day to day basis just like interest rates). Each point is the equivalent of 1% of the loan amount, so on a $100,000 loan 5 points would be $5,000.
Another alternative is for the foreign national to obtain an equity credit line on their property in their home country and come to the US with cash in hand. Cash offers are very strong, and enable the buyer's agent to negotiate the best possible price on behalf of their client.
For more information on getting qualified for a Las Vegas mortgage and to receive the latest listings on great deals in Las Vegas new homes, high rise condos or MLS listings, please contact our office at 702-985-7654 or email us at sold@greatlasvegashomes.com.
I really must begin by thanking Diann Tonnesen for offering to allow me to blog on her site. In case you're not aware Diann is somewhat of an icon in the Las Vegas real estate community. To be offered to provide input for her web site is truly an honor. Thank you, Diann.
Diann told me that I could write about anything I wanted to write so I chose something that has been needling me for quite some time now; the way people shop for a Las Vegas home inspector. Do you realize how most people shop for a home inspector? They gain a list of inspectors, usually from their real estate agent, and call three or four inspectors asking what they charge for the inspection. They generally do this without knowing what they are buying. Especially with all the Las Vegas foreclosures on the market being sold "as is, where is" this truly boggles the mind.
Can you imagine people shopping for a car they same way they shop for a home inspector? It would look something like this:
Ring, ring. "Hello, Lamborghini, Mazarati, Rolls Royce, Bentley dealership, can I help you?" "Yeah, hi. You guys sell cars, right?" "Yes ma'am, we do." "What do you charge for them?" "Excuse me? "Yeah, you know, how much do they cost?" "Well are you aware of what kind of cars we sell?" "Naw, I'm really not interested in hearing about that, I'm just calling around getting prices." "Well we have a beautifully reconditioned Bentley on sale this week that is valued at $35,000 that we are selling as a lost leader for $22,000. "That's great. Twenty-two thousand hunh? Okay, I may call you back. Thanks for your time." Ring, ring. "Yeah, Arties Autos. What do you want?" "Yeah, hi. You guys sell cars, right?" "Why sure we do. What cha lookin for toots?" "How much do you charge?" "Well I can put you in this sweet little Yugo that was towed in, I mean, that came in last night for say... $15,000." "Fifteen thousand hunh? Okay. Sweet. I'll take it."
Sound absurd? Well sure it does. But many, many people who are about to make what is often the single largest purchase they'll make in their entire life shop for their home inspector and their Las Vegas mortgage loans the same exact way.
So here is where I am coming from: I retired from the Navy in 1998 after spending nearly my entire adult life as an engineering inspector. I wasn't just an "engineering inspector," I was an engineering inspector and instructor where I was one of eight members of an elite team that earned the distinction as the most successful engineering inspection team in the history of the United States Navy. The distinction still stands today where our success record has never been matched.
When I retired from the Navy I transitioned into the civilian world as a Las Vegas real estate agent. After several years as a modestly successful real estate agent I became very frustrated with the quality and depth of home inspections available for my clients. There simply weren't any good inspections available. The inspectors were more interested in protecting their own liability through the use of complicated and legalistic inspection agreements than they were in protecting my clients. I couldn't even find an inspector who would walk on a concrete tile roof. They mostly used binoculars to review the roofing.
I thought the public deserved better. I thought people wouldn't mind paying a little more for a true quality inspection where the inspector spent hours really investigating the home rather than hiring an inspector that spent several minutes walking through the home filling out a worthless checklist that contained no actual useful information.
I set out to create such a service. Now, after nearly eleven years performing thousands of home inspections, continually refining our procedures, attending thousands of hours of training, holding hundreds of training seminars, and developing an organization that is truly unique and first class I can truly state that there is no better inspection service available in the entire Las Vegas Valley, regardless of the price. It is not an opinion; it is a fact. We have inspecting Las Vegas homes down to an art. We don't do cheap inspections, and our service is nothing like the inspections that the cheap guys perform.
Nowadays, the most common comment I hear is that we don't charge enough for our inspections (compared to what we provide). I once had a home buyer say that he didn't think we charged half of what we should charge for our service. I promptly quipped, "That's not a problem. You're more than welcome to pay double." To my astonishment he did exactly that.
It is a statistical fact that the average home inspector ends up in litigation an average of three times each year because of issues the inspector did not discover and disclose in the course of his inspection. In eleven years that my company has been in existence neither I nor any of the inspectors who work for me has ever been named in any litigation in conjunction with a home we inspected. We have never gone to arbitration; we have never gone to mediation; and we were recently named on the Honor Roll for the Better Business Bureau of Southern Nevada, once again, for maintaining a complaint-free status.
For the consumer who swallows the paradigm that all home inspections are pretty much the same and selects their home inspector based solely upon the price of the inspection, they often get exactly what they are looking for: a cheap inspection. But for the consumer who shops for their home inspector based upon the quality of the service provided and who is able to discount the paradigm that all home inspections are the same: these are people who draw outside the lines and when they stumble across our firm we reward them with a Picasso every time. I can only hope that when it is time for you to get a home inspection you are able to discern the difference between "Art" and "Artie." Have a great day!
Paul J. Donohue, RHI, RREI, CREI President / Senior InspectorSpectrum Inspection Group Inc. 8345 Coyado Street Las Vegas, NV 89123
Many proposed high rise condo projects around the country have had the plug pulled in the past two years due to cost overruns and tightening credit. Since Deutsche Bank announced they were beginning foreclosure proceedings on the Las Vegas Cosmopolitan condo hotel project at the beginning of 2008 on their $760 million dollar loan, over 1800 contract owners have been holding their breath, wondering if the development would be completed. Or if they would get their money back in full if the development was canceled.
There were many "interested parties" making bids to purchase the project, but as of this week Deutsche Bank has taken over full ownership of the Cosmopolitan under an affiliate, Nevada Property I. Deutsche Bank was the high bidder, paying $1 billion at a recent foreclosure sale to acquire ownership of the project.
And Deutsche Bank isn't letting any grass grow under its feet to make sure the project goes forward. It has already inked contracts with Related Companies to take over as the resort's new developer. In addition Perini Corp. signed a new contract to complete construction work on the project. Perini has been working on the project from the beginning, and was being paid under an interim agreement since March when Deutsche Bank began foreclosing after the original developer, Bruce Eichner, failed to complete a deal to secure more financing. Increased construction costs helped drive the Cosmopolitan's construction budget from its original $2 billion price in early 2006 to its current $3.9 billion price, and Eichner was unable to find a new partner with enough capital to infuse into the project.
A letter has already been drafted to contract owners by the resort's new developer, Related Companies, letting them know of the management changes and informing them of progress to date. This letter will go out on Monday to almost 1825 contract holders, assuring them of the project's completion. To date over 50% of the Cosmopolitan's exterior construction has been completed, and it is anticipated that by December of 2008 owners will be celebrating the "topping off" of both towers, including the penthouse units. The new proposed completion date for the entire project is estimated for the second quarter of 2010.
Along with a rebounding resale housing market, this is great news for the local Las Vegas real estate market. For four months straight statistics have shown a significant rise in Las Vegas homes sales, with multiple offers on lower end properties, especially Las Vegas foreclosures. The buyers are back!
Unfortunately, like most homeowners in Anthem Country Club, I have left it to others to determine the fate of our community, trusting that those who choose to volunteer will always act in our best interests. Volunteering for a seat on an HOA board is usually a pretty thankless task, and I rarely criticize decisions that are made by those volunteers. I give them a lot of credit for putting in many hours of unpaid labor on our behalf. Plus these are our friends and neighbors, and I enjoy the company of those Board members that I know on a social basis.
But after receiving a disturbing communiqué from Secretary Kathy Gillespie relating to the recent activities of the HOA Board, I decided to attend the March HOA meeting to see for myself what was really happening. I definitely do not always agree with Ms. Gillespie about either the issues or in particular with the way she handles things - she can be way too outspoken, and unfortunately her rhetoric often gets in the way of her message. But I do know her to be well meaning and honest in her business dealings, and I am glad she was there to be the "whistle blower" and bring to light things which we as homeowners should be aware of. I do think that we should have an HOA Board that can work together harmoniously in carrying out the will of the majority of the homeowners. Our HOA Board should also be able to negotiate and work in tandem with the Golf Club to promote our fine community as the best in the Las Vegas Valley. But all this needs to be accomplished by following the proper procedures first as set out by NRS statute governing Las Vegas homes.
While I don't claim to know what has gone on before, I can relay specific issues that I personally observed at the March HOA meeting and the subsequent April HOA meeting. The following are my own observations and/or opinions:
At the March meeting HOA President Rich Raines publicly announced over the microphone to more than 170 homeowners, including myself, that he was taping the meeting and that a copy of the tape would be made available to ANYONE who wanted it later. But at the subsequent April meeting when asked for copies of the tape, Rich claimed that he made the tape as a "private homeowner," not as a board member, and that he would not give anyone a copy of the tape. No apology was made or any explanation given for why he reneged on his promise to provide copies of this tape. I have to say, this did upset me, and I still have to ask, "Why not, Rich?"
At the March meeting it was brought up that there was an almost $11,000 debt owed by the club to the HOA. The majority of the Board members deemed this debt uncollectible and a deal was struck with Paul Anderson to exchange the $11,000 debt for a $2,500 food and beverage credit. I do not question the right of the Board to deem a debt uncollectible and to attempt to negotiate a settlement on our behalf. The Board is there to make the best decisions it can based on the information it has at the time. But unfortunately this deal was negotiated WITHOUT the benefit of an official resolution by the board. A resolution was only made after the deal was negotiated. Whether or not the members who made the deal assumed they had the backing of the other Board members is immaterial - there are certain procedures that must be followed to preserve the Board's integrity. Furthermore, it has been discovered that some members of the Board have used this credit to consume food and alcoholic beverages while conducting HOA business. When called to task by homeowners at the March meeting about using the HOA's money to consume alcoholic beverages, none of the Board members involved denied using this account in that manner, nor did they apologize to the membership for doing so.
At the March meeting it was also brought up that the Board had decided to lease space for HOA offices rather than letting the property management company provide such space as in the past. Again, I do not question the Board's decision to make such a choice. But again they failed to pass a resolution to lease that particular space until AFTER the deal was negotiated. The original resolution passed by the Board specifically called for a smaller, much less expensive space to be rented at Windermere on a 7 month sublease. Several members of the Board decided on their own to lease a larger, much more costly space for a three year term without a specific resolution to do so. (Hmmm...why does the remind me of the Las Vegas schools system?!!)
Then at the April meeting, again in front of over 150 homeowners, the majority ofthe Board voted to ratify a set of incorrect meeting minutes. The fact that they were ratifying a set of incorrect meeting minutes was pointed out to them by Ms. Gillespie in front of all the homeowners. But despite this the Board members STILL went ahead with this vote, although an accurate set of minutes was available for ratification as well.
At both the March meeting and the April meeting, the Board retained the HOA attorney to be present to defend and explain their actions. (Two different attorneys were retained, as the first one quit in between meetings.) The HOA attorney is supposed to defend the HOA, not the individual Board members. We paid $275 an hour for what many feel was the Board members' personal defense at two separate meetings. It is my opinion that this was an inappropriate use of HOA funds and should be reimbursed by the Board members involved to the HOA.
The Board sent out two separate politically oriented mailings, explaining/defending their actions and denigrating Ms. Gillespie's actions. Again I do NOT question their right to do this - Ms. Gillespie sent out her own political mailings as well. (Plus there was a highly inflammatory "anonymous" mailing that did not come from Ms. Gillespie personally, but most likely did come from one of her cronies.) The big difference is this - Ms Gillespie paid out of her own pocket for her mailings, but the Board used HOA funds for their mailings to the tune of literally thousands of dollars. I would like to officially ask these members to repay this money to the HOA. It is my opinion that it is inappropriate for the Board to be using HOA funds for political mailings.
In addition, the Board again indirectly appropriated HOA funds in using an issue of the Viewpoint to further their political slate by printing a letter from the former HOA attorney, expressing his opinion. (An opinion, by the way, that is not necessarily shared by other attorneys or the Ombudsman's office who have been asked to review these issues.) Again, in my own opinion, this was an inappropriate use of our HOA funds. The Viewpoint is supposed to be used strictly for community news, not as a political platform.
At the April meeting the suggestion was raised that since there seemed to be such divisive feelings within the community, ALL Board members should put their seats up for re-election and we would start over with a clean slate. This would allow the Homeowners to evaluate their position based on the most recent facts and hopefully elect a new Board which would be able to work together in harmony. This suggestion came, by the way, from the previous attorney whose letter was quoted in the Viewpoint. But members of the Board, who pointed with alacrity to the attorney's letter in the Viewpoint when they felt it supported their cause, declined to accept this suggestion from the same attorney. Again, just my opinion, but I feel that accepting this suggestion would have gone a long way toward defusing the situation and restoring calm and decorum to the election process.
At the April meeting the Board decided to limit the Homeowner's Forum to 30 minutes total. In a random review of minutes of previous meetings going back through 2001 from the association web site, I was unable to find another instance where the Board limited the Homeowner's time to question Board decisions and give input. Many homeowners were unable to voice their opinions and/or ask questions of the Board members as a result of this restraint of open Forum time.
In addition, the Golf Club Board has now decided to intervene in HOA business. At Golf Club member expense, a mailing was sent out asserting the Golf Club Board's opinion that the current HOA controversy may lower our Las Vegas real estate property values. The Golf Club Board also published this same letter in today's Libretto. The first part of the letter would have been fine, as it exhorted Golf Club members and HOA members to work together. But then the Golf Club Board specifically directed Club members to vote AFTER visiting the site www.anthemhoa.org to read the ex HOA attorney's opinion. Besides the fact that it is inappropriate for the Golf Club Board to post anything using official Golf Board venues about HOA business or take a stand on HOA politics, www.anthemhoa.org is a public web site and NOT password protected. If the Golf Club Board or HOA Board members are concerned about protecting our property values, this information should not have been posted on a public site. Potential buyers are already accessing this site and making the decision not to purchase in our community, even for the best deals on Las Vegas foreclosures'
], until they see how our internal issues are resolved. Except for this site, these buyers would have no access to this information, which does not even appear in HOA minutes. It would certainly behoove us as an association to make this site password protected and accessible to "members only" in the near future.
Lastly, a question - Why are the February, March and April 2008 minutes not posted on the HOA web site for all to read?
Two other things have occurred which concern me, and I have no idea who is responsible. But hopefully this type of behavior is not sanctioned by any current or prospective Board members:
I chose to put a sign up in my yard supporting a slate of candidates who are running for the vacant seats on the HOA Board. That sign was stolen from my yard and others like it were taken from the yards of other residents in the community. Several other homeowners who put up signs were threatened that their homes would be vandalized, and one actually had his sign spray painted - unfortunately they overshot and spray painted a portion of his wall too.
Printed material was put directly into homeowner mailboxes endorsing a slate of candidates rather than mailing it through the US postal service. This is a violation of Federal law and hopefully our association will not be held accountable for this action. Perhaps the parties who took this action were unaware that they were violating the law, but will now be informed that they cannot do this in future.
The above facts only take into account what I actually know and have observed myself. They do not take into account any of the many other items that have been addressed at the latest HOA meetings, including the fact that the 2008 budget appears to be incorrect and that there have been no finance committee meetings to speak of. Also from what I understand, there has not been a set of HOA financials approved since August of 2007? Since I am not a finance expert, I am relying on others for the accuracy of this information. But all seven current HOA Board members did at least admit that the 2008 budget was incorrect, and that they were all collectively responsible for not seeing that it was done properly and in a timely fashion.
The above also does not address the issue that, as per HOA minutes, in January of 2008 Terra West tendered its 90 day notice of resignation as the property manager for Anthem. Since ACCA was one of their biggest accounts, I am sure it was a hard decision for them to consider resigning. Yet later the HOA Board claimed it "terminated" Terra West. Nowhere could I find in previous minutes any reference to the HOA Board being dissatisfied with Terra West's performance. This, along with the sudden resignation of our previous attorney, bothers me greatly. Attorneys and property management companies do not often drop huge accounts for no good reason. That would be similar to Bank of America deciding all at once that they did not want to give out Las Vegas mortgage loans.
My main concern in all of this is that currently our HOA Board does not seem to be following the guidelines of proper procedure. This is not the Board's fault - it is the fault of all of us who have not actively participated in making sure the Board follows the will of the homeowners. Our apathy has led to the HOA Board's assumption that it can pretty much behave as it wishes. At the Candidates Night, one thing I did pin down with EVERY single prospective Board member by individual verbal poll was the specific promise to tape record ALL future HOA meetings, and post them immediately to the HOA web site. This way there can be no doubt about what transpired and how each member voted.
My new personal resolution is to volunteer for one of the HOA committees and take an active part in creating policy, as well as becoming a contributing member of our community. I hope that others will do the same so that we can restore harmony and pride to our neighborhood. Anthem Country Club really IS the best place to live in the entire Valley - we just need to remind ourselves of how lucky we are to be here. I hated the fact that certain members of our community were rude to one another at the HOA meetings. This needs to stop, and we need to be respectful of each other's opinions, especially when we differ. It is my sincerest wish that once we get beyond these elections that we can again function as one and proceed without any further finger pointing or acrimony. We are neighbors, and blame has no place in these proceedings - rather we need to rectify our shortcomings, elect HOA Board members that are responsive to the goals of the majority without interference from the Club Board, and just "get ‘er done."
Sincerely,
Diann Tonnesen 39 Plum Hollow Dr. Henderson, NV 89052 Anthem Country Club's first permanent resident March 1999
Of all the types of distressed properties, shortsales are probably the hardest to close escrow on. Often the seller is still living in the property. He or she may have invested their life savings making a down payment that has disappeared with a declining market. They are upset that they are losing their home and fearful, as they will probably have little or no money to make a move with. Plus their credit is shot and there are few landlords that will even consider renting to them without a substantial deposit. Of course, if they had a substantial deposit, they could afford to make their monthly payment!
And even if the seller is cooperative, there is still the bank to contend with. In a market that is inundated with requests for short sale approval and where there is a large inventory of properties that have gone all the way through the foreclosure process, the bank's loss mitigation departments are backed up and understaffed. And often there is more than one bank to seek short sale approval from. (During the recent subprime lending years, buyers who had no down payments were able to borrow 100% of the purchase price on their home. Usually this was accomplished by putting both first and second Las Vegas mortgages on the property.) Very likely the second mortgage holder is going to be wiped out and has very little incentive to approve the sale.
Currently there are just over 5000 homes for sale in Las Vegas that are in short sale status, and of those almost 4,000 are priced under $300,000. (By comparison, there are just over 2,000 Las Vegas foreclosures or REOs, bank owned properties.) It is taking anywhere from 30 to 60 days to get an approval from the bank on a short sale. And the listing agent must jump through hoops getting the proper documentation together so that the lender will consider an offer in the first place. A typical Las Vegas short sale package would include:
Seller's Hardship Letter Offer and Counter Offer on Subject Property Estimated Net Sheet Buyer's Approval Letter Seller's Last Two Pay Check Stubs Statement of Seller's Monthly Expenses Copy of MLS Listing Listing History of Subject Property County Tax Record for Subject Property Recent Comparable Sales for Subject Property
The seller must be able to prove that they have insufficient income to pay the monthly payment and that they have no other assets. The listing agent must be able to show a concerted effort to market the home for the best possible price. And once the offer is approved, if the listing agent forgets to put an expense on the estimated net sheet, the bank will refuse to pay it as they feel they based their decision on flawed information. Oftentimes it is difficult for the listing agent to accurately assess the costs as they may include sewer bills, unpaid HOA assessments or unrecorded mechanics liens.
And once the bank does finally approve the short sale, if another higher and better offer is received, the bank can choose to unapprove the first offer. They are not the owner of record for the property and no negotiated approval is binding on them in a short sale.
So if you are thinking of purchasing a short sale property, you need to have lots of patience, a great Las Vegas real estate agent and a bit of luck!
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
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