For those of us in Texas, HOA's are the rule in any city of size. Most are managed by large, professional management companies and are added value to a community. They really help keep home values up and act as the fearless neighbor when it's time to tell another resident to keep the brken down car off the lawn, remove the Christmas decorations in May, and cut the lawn to keep it at least under 6 inches.
But, by now most agents have also seen the meteoric rise in fees that are charged when a seller needs to move. There has always been a transfer fee to cover the administrative changing of the name, even though the address remains the same. OK, a $100 fee maybe can be justified. Then a resale certificate needs to be provided, but again there is a cost. So, ok maybe another $100 from the seller to provide this to a buyer.
But it has gone to the extreme. HOA management compaies are now charging for code compliance inspections prior to closing (maybe they should be doing this all along?) and charging up to $300! Transfer fees are increasing and we just had one HOA charge $300 to the buyer to register! And the resale certificate and CCR copies are the real killer. $275 for the resale certificate, and $200 for a copy of the CCRs!
Many members of our board, SABOR, are up in arms and we need the legislature to reign in these unregulated companies. However, it has come to our attention that one of our powerful politicians owns one of these companies! Until I have more details, I am not going to name names, but we need help. If an HOA is mandatory, it needs some sort of regulation. Continuing to accept these outrageous costs is only going to make it easier for them to increase in the future.
Please, if you are a Texas Realtor(R), get the conversation going and let's try to get some tread on this issue. We know our legislators won't act until it is a real public issue, so we need our buyers and sellers to make noise as well. If you sell a home, or are purchasing, look at the costs and ask why!
Wednesday, August 19, 2009
Thursday, August 13, 2009
Featured Listing - San Antonio
This is a wonderful home in the northwest area of San Antonio. Near the new Christus Santa Rosa Hospital, Sea World, UTSA and more!
Friday, August 7, 2009
113 Firesage
Fantastic custom home in Universal City, close to Randolph AFB, forum Shopping, Ft Sam andmore! Huge 3 car garage, custom built in cabinets, floor to ceiling fireplace and mantle, granite kitchen counters and more!
Monday, August 3, 2009
Latest Lending Rules
Here is the latest on the new lending rules enacted and in place as of 1 August:
In 2008, The Home Ownership and Equity Protection Act (HOEPA) and the Housing and Economic Recovery Act (HERA) were passed by Congress and the Federal Reserve Board published the regulations under the Truth in Lending Act. These regulations were written to provide a more transparent, level and fair regulation of the real estate industry; to add additional steps to help prevent deceptive lending practices; and to protect consumers by making them more informed --and therefore more confident--in their home financing choices.
HERA - Amends the Truth in Lending Act (TIL) implemented through Regulation Z. Has a number of provisions including the Mortgage Disclosure Improvement Act which changes the Truth In Lending requirements surrounding early and final disclosures to home buyers and addresses the timing of when fees can be charged.
HERA applies to:
* ALL Loans registered on July 30, 2009 and thereafter
* ALL Primary Residence and Second Home Transactions
* ALL Purchase and Refinance Transactions
HERA changes:
*Collection of Fees - No fees, other than an actual and reasonable credit report fee, may be collected prior to the borrower’s receipt of the initial disclosure from the lender. Disclosures are considered “received” three full business days after mailing.
*The borrower must be provided a copy of the appraisal a minimum of three business days before closing. The appraisal is considered “received” three business days after mailing.
* Business days for HERA timing purposes include Saturdays and exclude Sundays and Federal Holidays.
*The absolute minimum number of days to be able to close a transaction once HERA is implemented is 7 business days from initial TIL Disclosure.
*An APR increase of more than .125% from the initial TIL requires re-disclosure of the new and final APR via the TIL disclosure a minimum of 6 business days prior to the closing date.
In 2008, The Home Ownership and Equity Protection Act (HOEPA) and the Housing and Economic Recovery Act (HERA) were passed by Congress and the Federal Reserve Board published the regulations under the Truth in Lending Act. These regulations were written to provide a more transparent, level and fair regulation of the real estate industry; to add additional steps to help prevent deceptive lending practices; and to protect consumers by making them more informed --and therefore more confident--in their home financing choices.
HERA - Amends the Truth in Lending Act (TIL) implemented through Regulation Z. Has a number of provisions including the Mortgage Disclosure Improvement Act which changes the Truth In Lending requirements surrounding early and final disclosures to home buyers and addresses the timing of when fees can be charged.
HERA applies to:
* ALL Loans registered on July 30, 2009 and thereafter
* ALL Primary Residence and Second Home Transactions
* ALL Purchase and Refinance Transactions
HERA changes:
*Collection of Fees - No fees, other than an actual and reasonable credit report fee, may be collected prior to the borrower’s receipt of the initial disclosure from the lender. Disclosures are considered “received” three full business days after mailing.
*The borrower must be provided a copy of the appraisal a minimum of three business days before closing. The appraisal is considered “received” three business days after mailing.
* Business days for HERA timing purposes include Saturdays and exclude Sundays and Federal Holidays.
*The absolute minimum number of days to be able to close a transaction once HERA is implemented is 7 business days from initial TIL Disclosure.
*An APR increase of more than .125% from the initial TIL requires re-disclosure of the new and final APR via the TIL disclosure a minimum of 6 business days prior to the closing date.
Monday, July 27, 2009
Homes in Schertz, TX
Jut thought we would share some listings with you that are available in Schertz.
Let's start with 3028 Greenshire in the Greenshire Oaks subdivision.
Its a fantastic custom home with a 3 car tandem garage. It is 2622 square feet with a beautiful master suite down and two large bedrooms and a game room up. The roomy kitchen has loads of counter space and built in ovens for the cook in the family. Listed at $249,900 this is a great home in a great school district. Available and easy to show. Call and we'll set up an appointment.
We'll post one listing a week to work with....
Wednesday, July 15, 2009
Schertz again ranked in top places to live!
CNN/Money Magazine has named Schertz, Texas one of the best small towns to live in across the United States.
Schertz is the largest city in the San Antonio metropolitan area with more than 32,000 residents. Schertz is America’s 39th best small town.
The city’s population grew more than 80 percent since the 1990 census, making it one of the fastest-growing cities in Texas.
Every two years, Money Magazine releases its list of America’s best small towns. In 2007, Schertz was ranked 40th on the U.S. list and was one of only three Texas towns on the top 50 list. In 2009, Texas towns Schertz, Hewitt, Keller, Mansfield, Friendswood and Georgetown all earned spots on the magazine’s list. Dallas-Fort Worth suburbs Keller and Mansfield ranked seventh and 24th; Friendswood, in the Houston-Galveston area, ranked 32nd; Georgetown ranked 45th; Hewitt ranked 46th.
Schertz has been cited for its prosperous outlook and quality of living through sound planning and fiscal responsibility. Schertz is planning on opening new roads, a library and a recreation center this year. The city’s unemployment rate fell to 4.3 percent in April, down from 4.7 percent in February. About a third of Schertz’s employed population works for Randolph Air Force Base.
“I think Money Magazine’s ranking of Schertz is a reflection of the hard work this community has done over the past 50 years,” says Hal Baldwin, who has represented Schertz as mayor since 1994. “I want to give credit to the volunteers … the people who work hard to make this city an outstanding place to live.”
Schertz City Council member Michael Carpenter says Money Magazine’s ranking is significant, particularly in the wake of the U.S. recession.
“We have stated that we want to be the premier city in the (San Antonio) metropolitan area — being recognized by CNN/Money Magazine as being in the top 40 small cities in the United States in 2007 and again now in 2009 suggests we are on the right path, that we are succeeding in our goal,” Carpenter says. “Only nine of the top 50 cities recognized in 2007 bettered their position in 2009 — Schertz is one of them. That’s keeping some pretty good company, and suggests that we may be a lot closer to our goal than some may think.”
Schertz is the largest city in the San Antonio metropolitan area with more than 32,000 residents. Schertz is America’s 39th best small town.
The city’s population grew more than 80 percent since the 1990 census, making it one of the fastest-growing cities in Texas.
Every two years, Money Magazine releases its list of America’s best small towns. In 2007, Schertz was ranked 40th on the U.S. list and was one of only three Texas towns on the top 50 list. In 2009, Texas towns Schertz, Hewitt, Keller, Mansfield, Friendswood and Georgetown all earned spots on the magazine’s list. Dallas-Fort Worth suburbs Keller and Mansfield ranked seventh and 24th; Friendswood, in the Houston-Galveston area, ranked 32nd; Georgetown ranked 45th; Hewitt ranked 46th.
Schertz has been cited for its prosperous outlook and quality of living through sound planning and fiscal responsibility. Schertz is planning on opening new roads, a library and a recreation center this year. The city’s unemployment rate fell to 4.3 percent in April, down from 4.7 percent in February. About a third of Schertz’s employed population works for Randolph Air Force Base.
“I think Money Magazine’s ranking of Schertz is a reflection of the hard work this community has done over the past 50 years,” says Hal Baldwin, who has represented Schertz as mayor since 1994. “I want to give credit to the volunteers … the people who work hard to make this city an outstanding place to live.”
Schertz City Council member Michael Carpenter says Money Magazine’s ranking is significant, particularly in the wake of the U.S. recession.
“We have stated that we want to be the premier city in the (San Antonio) metropolitan area — being recognized by CNN/Money Magazine as being in the top 40 small cities in the United States in 2007 and again now in 2009 suggests we are on the right path, that we are succeeding in our goal,” Carpenter says. “Only nine of the top 50 cities recognized in 2007 bettered their position in 2009 — Schertz is one of them. That’s keeping some pretty good company, and suggests that we may be a lot closer to our goal than some may think.”
Wednesday, July 8, 2009
Foreclosures in Schertz, TX
I am on the Schertz, TX Economic Development Corporation Board of Directors and was asked to provide some information on foreclosures in the city. Our financial folks are in the process of updating the city's bond ratings with some big New York banks and needed current data. Here is what is real for us:
Currently Schertz has five (5) listed foreclosures! For a population of ver 33,000 that is an impressive number. We historically have 8-10, but recent sales have reduced the inventory and we are not adding much to it. If we had out "little" tri-city area of Selma, Cibolo, and Schertz, we have 13 listed for a population of close to 50,000.
We have had 10 foreclosures sold in Schertz in the last six months, and 23 when the tri-city is combined. Again, not what everyone expected to hear....they all thought we are experiencing historically high levels, when in fact, it is just the opposite!
Schertz and the central Texas region is in great shape and we are proud to have such a solid eceonomic base to work with. Sure, things are slow compared to a couple of years ago, but we are still moving forward.
If you want any information on our great little town, let me know!
Currently Schertz has five (5) listed foreclosures! For a population of ver 33,000 that is an impressive number. We historically have 8-10, but recent sales have reduced the inventory and we are not adding much to it. If we had out "little" tri-city area of Selma, Cibolo, and Schertz, we have 13 listed for a population of close to 50,000.
We have had 10 foreclosures sold in Schertz in the last six months, and 23 when the tri-city is combined. Again, not what everyone expected to hear....they all thought we are experiencing historically high levels, when in fact, it is just the opposite!
Schertz and the central Texas region is in great shape and we are proud to have such a solid eceonomic base to work with. Sure, things are slow compared to a couple of years ago, but we are still moving forward.
If you want any information on our great little town, let me know!
Wednesday, May 13, 2009
The Economy is on the rise
Thanks to the media and special consultants to Good Morning America, we now know that the economy is back on the rise. We have seen the bottom and are going to be alright!
Yeah!
It is still a buyers market for homes. However, as an astute REALTOR(R) wrote recently, it's only a buyers market if you actually buy a house! Wait too long to time it and you'll face rising interest rates (how do we pay for all the economic stimulus?), rising home prices as more people decide to buy, and less choices as the best are taken off the market by the buyers willing and ready to make a move now.
Thanks to the media, I feel better.
Yeah!
It is still a buyers market for homes. However, as an astute REALTOR(R) wrote recently, it's only a buyers market if you actually buy a house! Wait too long to time it and you'll face rising interest rates (how do we pay for all the economic stimulus?), rising home prices as more people decide to buy, and less choices as the best are taken off the market by the buyers willing and ready to make a move now.
Thanks to the media, I feel better.
Tuesday, May 12, 2009
Breaking News!
This just in - HUD today released approval for first time home buyers to use their tax credit as a down payment!
Details are being provided to mortgage lenders, but the bottom line is that if a buyer is eligible for the tax credit (up to $8,000), they can arrange to use that as their down payment for FHA loans!
So, if a buyer needs $7,000 to purchase a $200,000 home, they can arrange for their lender to provide a "bridge loan" until they recive their tax credit from the IRS. They will still be able to keep the other $1000 for their use.
This is a huge incentive to the program and as we get details, I will post them here and on the web site.
Details are being provided to mortgage lenders, but the bottom line is that if a buyer is eligible for the tax credit (up to $8,000), they can arrange to use that as their down payment for FHA loans!
So, if a buyer needs $7,000 to purchase a $200,000 home, they can arrange for their lender to provide a "bridge loan" until they recive their tax credit from the IRS. They will still be able to keep the other $1000 for their use.
This is a huge incentive to the program and as we get details, I will post them here and on the web site.
Monday, May 11, 2009
They're Back!
Yes, investors with quality in mind and a realistic view of our housing market are coming back. Here in the greater San Antonio area, houseing prices are holding steady, and more people are forced to rent for a variety of reasons. This makes for an attractive combination to an investor with a minimum of 20% or more down payment.
Although we don't have quite the number of foreclosures that some areas of the country have, we do have a nice selection for investment or as move in homes. These are often a good way to start the investment portfolio, but buyers need to have patience as it can take weeks just get the contract approved with some lender owned properties. HUD and VA properties normally are easier to work with as they have established process' in place.
With the increase in our military presence and continued growth in the general business sectors, we have a need for quality rentals that are priced to support the local needs. For example, a $130,000 house will not rent for $1600/month. Even with lots of upgrades most homes in this price range will rent for $950 - $1200, depending on location and condition.
So, if you want to make 5% or so on your money and have some future appreciation in the real estate market, now is a good time to consider investing in rental properties. And if the trends are any indication, the professionals are already out there looking.
Although we don't have quite the number of foreclosures that some areas of the country have, we do have a nice selection for investment or as move in homes. These are often a good way to start the investment portfolio, but buyers need to have patience as it can take weeks just get the contract approved with some lender owned properties. HUD and VA properties normally are easier to work with as they have established process' in place.
With the increase in our military presence and continued growth in the general business sectors, we have a need for quality rentals that are priced to support the local needs. For example, a $130,000 house will not rent for $1600/month. Even with lots of upgrades most homes in this price range will rent for $950 - $1200, depending on location and condition.
So, if you want to make 5% or so on your money and have some future appreciation in the real estate market, now is a good time to consider investing in rental properties. And if the trends are any indication, the professionals are already out there looking.
Friday, May 8, 2009
Homes are moving here!
I don't know what the details are, but since teh end of April, home showings have been through the roof. A lot of contracts are signed and June and July should be bonzo for closings! A couple of thoughts -
-Ft Sam and unit moves are beginning this summer. BRAC was devastating to some areas, but we are seeing a wonderful increase in military presence here in the San Antonio area
-UTSA continues to attract students, which equates to faculty and staff, and all the associated business that supports education
-The Central Texas Medical Center continues to grow, adding professional and support staff
-The First Time Home Buyer Tax Credit - up to $8,000 for qualifying individuals and families is certainly getting young folks out to look. Many are seeing the benefits and working to obtain financing
Tha above, combined with more people just looking to relocate for work or retirement, has kept our real estate market in good condition. Now we are seeing a nice increase in home sales which should keep our market resilient for this year at least.
If we have a soft spot in our market, it is that lenders are being excessively cautious in approving loans. Even folks with excellent credit (above 750 FICO score), good income, and low debt ratios are having to supply a ridiculous amount of support to get a loan finalized and closed. What was ridiculously easy a couple of years ago has taken the pendulum swing to the other side and making good buyers work too hard.
But, we are glad to be in Texas! Had a great dinner with a bunch of active duty and retired Air Force Combat Controllers last night at On the Border - a great time! Support your troops and respect what they are doing to keep this country safe!
-Ft Sam and unit moves are beginning this summer. BRAC was devastating to some areas, but we are seeing a wonderful increase in military presence here in the San Antonio area
-UTSA continues to attract students, which equates to faculty and staff, and all the associated business that supports education
-The Central Texas Medical Center continues to grow, adding professional and support staff
-The First Time Home Buyer Tax Credit - up to $8,000 for qualifying individuals and families is certainly getting young folks out to look. Many are seeing the benefits and working to obtain financing
Tha above, combined with more people just looking to relocate for work or retirement, has kept our real estate market in good condition. Now we are seeing a nice increase in home sales which should keep our market resilient for this year at least.
If we have a soft spot in our market, it is that lenders are being excessively cautious in approving loans. Even folks with excellent credit (above 750 FICO score), good income, and low debt ratios are having to supply a ridiculous amount of support to get a loan finalized and closed. What was ridiculously easy a couple of years ago has taken the pendulum swing to the other side and making good buyers work too hard.
But, we are glad to be in Texas! Had a great dinner with a bunch of active duty and retired Air Force Combat Controllers last night at On the Border - a great time! Support your troops and respect what they are doing to keep this country safe!
Wednesday, April 22, 2009
Back on line!
It's been a while since my last blog entry - been busy and distracted, two good and bad things:)
OK, the stimulus packages are out, you can get up to $8000 for first time buyers; interest rates are killer low; inventory in our area is good; weather is great; Ft Sam is gaingin a new 3000 person unit this summer; San Antonio grew economically by 8% over the last year... so Why are people thinking you can offer 50% 0f list price for a house? We are not in the four (yes, 4) states that are seeing the media's full attention on foreclosures, etc. In fact we have neighborhoods that have appreciated throughout and in spite of the press coverage!
A couple of things you need to look at:
- Financing is still tough with credit below 680 or 720 for conventional
--Check us out for areas that offer the USDA rural programs. Can't be in big cities, but they offer 100% financing without PMI!
-Foreclosures are a good deal if you have time and money to get them back in shape. Some are a mess, some just need TLC. But all need patience!
-MOST, not ALL homes are priced pretty close to value - don't think that all can be had for pennies on the dollar
-FHA financing is still the best option for most, nut you MUST have 3.5% as a minimum to put dowen and not all sellers will pay closing costs
If you are prepared, this is a fantastic opportunity to purchase a home.
OK, the stimulus packages are out, you can get up to $8000 for first time buyers; interest rates are killer low; inventory in our area is good; weather is great; Ft Sam is gaingin a new 3000 person unit this summer; San Antonio grew economically by 8% over the last year... so Why are people thinking you can offer 50% 0f list price for a house? We are not in the four (yes, 4) states that are seeing the media's full attention on foreclosures, etc. In fact we have neighborhoods that have appreciated throughout and in spite of the press coverage!
A couple of things you need to look at:
- Financing is still tough with credit below 680 or 720 for conventional
--Check us out for areas that offer the USDA rural programs. Can't be in big cities, but they offer 100% financing without PMI!
-Foreclosures are a good deal if you have time and money to get them back in shape. Some are a mess, some just need TLC. But all need patience!
-MOST, not ALL homes are priced pretty close to value - don't think that all can be had for pennies on the dollar
-FHA financing is still the best option for most, nut you MUST have 3.5% as a minimum to put dowen and not all sellers will pay closing costs
If you are prepared, this is a fantastic opportunity to purchase a home.
Tuesday, March 3, 2009
Ft Sam Houston Sponsor
We are proud to be the newest sponsors for Ft Sam Houston at this new address http://forthouston.tx.armyusa.org/
This site is full of relevant and useful information for those looking at moving to the Ft Sam or BAMC area.
Check us out and if you like what you see, let us know.
This site is full of relevant and useful information for those looking at moving to the Ft Sam or BAMC area.
Check us out and if you like what you see, let us know.
Tuesday, February 17, 2009
Friday, February 13, 2009
Stimulus Package
Well, we are still waiting for the final details on the stimulus package, but it appears that the "First Time Homebuyer" tax credit will become part of teh final bill. It will not be as bold as first expected, but still a very important step in getting buyers (you) to get active inyour home buying process.
We think it will wind up being a 10%, up to $8000, tax credit for home bought between 12/21/08 - 12/31/09. And the important part is that it will not have to be repaid.
Of course, there may still be other tax implications, but on the surface this appears to be a great tool for home buyers. A first time buyer is defined as anyone that has either never ownerd a home (duh!), or one that has not owned a home as a primary residence on the last three consecutive years. The last draft I read was still a little blurry on whether owning a rental home still allowed for first time status and I will be watching for that, along with other details and pass it along.
Another great news item for the greater San Antonio area is that USAA is bringing 1000 jobs here from other locations! Of course, many will be local hire, but also many new arrivals. Ths will allow more homes to be sold and give the seller market a boost.
We think it will wind up being a 10%, up to $8000, tax credit for home bought between 12/21/08 - 12/31/09. And the important part is that it will not have to be repaid.
Of course, there may still be other tax implications, but on the surface this appears to be a great tool for home buyers. A first time buyer is defined as anyone that has either never ownerd a home (duh!), or one that has not owned a home as a primary residence on the last three consecutive years. The last draft I read was still a little blurry on whether owning a rental home still allowed for first time status and I will be watching for that, along with other details and pass it along.
Another great news item for the greater San Antonio area is that USAA is bringing 1000 jobs here from other locations! Of course, many will be local hire, but also many new arrivals. Ths will allow more homes to be sold and give the seller market a boost.
Friday, February 6, 2009
San Antonio Market Statistics
Here are some statistics on the current San Antonio market:
As of February 5th, we have 10,715 single family homes in all price ranges.
-1962 are under $100,000
-2182 are between $100 - 149,999
-1935 are between $150 - 199,999
-1186 are between $200 - 299,999
-936 are between $300 - 399,999
-524 are between $400 - 499,999
-The remaining 1166 are between $500,000 - $5 Million
For Most home buyers the primary price range is between $125 - 200,000. This is also the largest inventory range as well. However, this range also sells the quickest and has the lowest inventory of approximatley 5 months, compared to 40 months for some of the highest priced homes.
Once our government figures out whether we get tax credits or tax incentives (not repayable), it will be time to take a serious look at buying. Call and we can discuss the options!
As of February 5th, we have 10,715 single family homes in all price ranges.
-1962 are under $100,000
-2182 are between $100 - 149,999
-1935 are between $150 - 199,999
-1186 are between $200 - 299,999
-936 are between $300 - 399,999
-524 are between $400 - 499,999
-The remaining 1166 are between $500,000 - $5 Million
For Most home buyers the primary price range is between $125 - 200,000. This is also the largest inventory range as well. However, this range also sells the quickest and has the lowest inventory of approximatley 5 months, compared to 40 months for some of the highest priced homes.
Once our government figures out whether we get tax credits or tax incentives (not repayable), it will be time to take a serious look at buying. Call and we can discuss the options!
Tuesday, February 3, 2009
Economic Stimulus Update
Here is an update on the Housing Stimulus Package in Congress. You may want to contact your Congressional Rep or Senator to state your support, or not.
A huge incentive would be to eliminate the repayment provision for the $7500 home buyer credit! Read on for more:
U.S. House passes stimulus packageLast Wednesday, the United States House of Representatives passed on a largely partisan vote of 244-188, HR 1, the American Recovery and Reinvestment Act of 2009. The economic stimulus bill, as the legislation is more commonly known, contains a number of key provisions:
-Restoration of the 2008 loan limits for FHA, Fannie Mae, and Freddie Mac to 125% of median home price up to a limit of $729,750
-Elimination of the repayment provision of the $7,500 first-time homebuyer tax credit
-Expansion of tax-exempt housing bonds
-Increased funding for the Rural Housing Service Program
-Additional funding for neighborhood stabilization activities under the Community Development -Block Grant Program
-Incentives to promote weatherization and energy efficiency
-Retrofitting federally assisted housing for energy efficiency
-An expansion of the Hope VI low-income housing construction and rehabilitation program
The House has also addressed a number of housing issues in legislation revamping the Trouble Asset Relief Program. Among the housing provisions of interest in the TARP Reform and Accountability Act of 2009, HR 384, are:
-A mortgage buy-down program to reduce rates below current prevailing market rates
-Increased foreclosure prevention and mitigation efforts
-Ensuring liquidity in the residential and commercial mortgage markets
-Streamlining efforts to unclog the credit markets and increase the availability of credit to worthy customers
Once the Senate passes a measure, the differences with the House version will be worked out in a conference committee.
A huge incentive would be to eliminate the repayment provision for the $7500 home buyer credit! Read on for more:
U.S. House passes stimulus packageLast Wednesday, the United States House of Representatives passed on a largely partisan vote of 244-188, HR 1, the American Recovery and Reinvestment Act of 2009. The economic stimulus bill, as the legislation is more commonly known, contains a number of key provisions:
-Restoration of the 2008 loan limits for FHA, Fannie Mae, and Freddie Mac to 125% of median home price up to a limit of $729,750
-Elimination of the repayment provision of the $7,500 first-time homebuyer tax credit
-Expansion of tax-exempt housing bonds
-Increased funding for the Rural Housing Service Program
-Additional funding for neighborhood stabilization activities under the Community Development -Block Grant Program
-Incentives to promote weatherization and energy efficiency
-Retrofitting federally assisted housing for energy efficiency
-An expansion of the Hope VI low-income housing construction and rehabilitation program
The House has also addressed a number of housing issues in legislation revamping the Trouble Asset Relief Program. Among the housing provisions of interest in the TARP Reform and Accountability Act of 2009, HR 384, are:
-A mortgage buy-down program to reduce rates below current prevailing market rates
-Increased foreclosure prevention and mitigation efforts
-Ensuring liquidity in the residential and commercial mortgage markets
-Streamlining efforts to unclog the credit markets and increase the availability of credit to worthy customers
Once the Senate passes a measure, the differences with the House version will be worked out in a conference committee.
Thursday, January 29, 2009
What is going to get better for a buyer?
I just received a note from a client that I have been working with for some time. She and her husband started looking as the overall market was weak, and they knew some good deals could be made. However, they decided last night that the ecnomoy was too shaky and they were going to sit it out for while longer until things started to get better.
Ok, what is going to get better for a buyer?
-Low interest rates? Lowest in years! If you qualifiy for the Texas Veteran Program and have a VA disablity of 30% or more, you can get a 30 year fixed for a guaranteed rate of 4.78% this week!!!
-Low home prices? Home prices in the greater San Antonio area have weatherd the economy better than most, but our prices have either been steady or seen some decline. Will every house for sale go lower? I doubt it seriously. So current prices are probably as good as we will see for some time as well.
-Availability/Inventory of existing homes? The most we have had on the market - ever! The San Antonio MLS currently has about 10,790 singel family residential units available. If there isn't something you want, you may never find it!
-Availablity of mortgage money? Again, loads of money out there. Every lender I talk to is looking for new buyers. A lot of refinancing in the works, and that should spark a bit of new purchases as well, but where are the buyers? Yes, the requirements are a bit more stringent than a couple of years ago. you have to do more than breath to get a loan!
The money is there and it is cheap and the houses are there and they are priced well. Get out and see what we have and if you have a job and want a new house, now may be the best time in years to make that happen!
Ok, what is going to get better for a buyer?
-Low interest rates? Lowest in years! If you qualifiy for the Texas Veteran Program and have a VA disablity of 30% or more, you can get a 30 year fixed for a guaranteed rate of 4.78% this week!!!
-Low home prices? Home prices in the greater San Antonio area have weatherd the economy better than most, but our prices have either been steady or seen some decline. Will every house for sale go lower? I doubt it seriously. So current prices are probably as good as we will see for some time as well.
-Availability/Inventory of existing homes? The most we have had on the market - ever! The San Antonio MLS currently has about 10,790 singel family residential units available. If there isn't something you want, you may never find it!
-Availablity of mortgage money? Again, loads of money out there. Every lender I talk to is looking for new buyers. A lot of refinancing in the works, and that should spark a bit of new purchases as well, but where are the buyers? Yes, the requirements are a bit more stringent than a couple of years ago. you have to do more than breath to get a loan!
The money is there and it is cheap and the houses are there and they are priced well. Get out and see what we have and if you have a job and want a new house, now may be the best time in years to make that happen!
Tuesday, January 27, 2009
Interest Rates At Historic Lows
As interest rates hover in historically low levels, there are certain things happening that will start to slow down some of the refinancing and purchases.
For openers, the lenders are trying to slow down the flow so they can keep their costs low. Underwriting is reviewing packages and taking weeks to finalize, often with last minute requirements that have even caused loans to be disapproved at the last minute.
Another is the use of many legal, but sometimes questionable, fees. These can add hundreds to thousands of dollars to the cost of obtaining a loan. The banks need this money to offset the low interest rates. They are not making a lot of money on the low rates, so they are not waiving or reducing the fees they charge.
Even our highly regarded Texas Veteran Loan program is keeping their rates higher than usual, and have reduced the Veterans with disability discount to 0.5%. This is to slow down the number of loans and keep their program funded through the rest of the year.
So, we may be at the lowest cost of obtaining a loan and may see more fees, higher interest rates, and longer times for approval as the economy starts to "recover" and the stimulus packages kick in.
I'll let you know if I see things changing anytime soon.
Sorry about the spelling earlier, I missed spell check!
For openers, the lenders are trying to slow down the flow so they can keep their costs low. Underwriting is reviewing packages and taking weeks to finalize, often with last minute requirements that have even caused loans to be disapproved at the last minute.
Another is the use of many legal, but sometimes questionable, fees. These can add hundreds to thousands of dollars to the cost of obtaining a loan. The banks need this money to offset the low interest rates. They are not making a lot of money on the low rates, so they are not waiving or reducing the fees they charge.
Even our highly regarded Texas Veteran Loan program is keeping their rates higher than usual, and have reduced the Veterans with disability discount to 0.5%. This is to slow down the number of loans and keep their program funded through the rest of the year.
So, we may be at the lowest cost of obtaining a loan and may see more fees, higher interest rates, and longer times for approval as the economy starts to "recover" and the stimulus packages kick in.
I'll let you know if I see things changing anytime soon.
Sorry about the spelling earlier, I missed spell check!
Monday, January 12, 2009
Texas Home Inspection Updates
Thanks to our frined, Jim Wiley of Gold Star Home Inspection, here is a quick update to the Texas Residential Inspection regulations. As always, when purchasing a home, it is in your best interest to have a thrid party inspector go over it whether new construction or existing.
Changes to the Standards of Practice
I have just returned from a seminar for our Standards of Practice. Some changes have taken place that I feel everyone should know.
They have removed the term “In Need of Repair” and replaced it with “Deficiency”. It seems a buyer assumed that if a box was checked “In Need of Repair” that the seller was obligated to repair that item before the sell of the home. As always the report is just a negotiating tool.
Everyone has heard of Arc Fault Circuit Interrupters (AFCI) breakers. They are used for an additional level of protection on all branch circuits that supply 125 Volt, single-phase power installed in bedrooms and for smoke alarms. This requirement did not become effective until November 1, 2002 for all new and remodeled construction.
Now, Texas has adopted the 2008 NEC which requires AFCIs circuit breakers for all branch circuits that supply 125 Volt, single-phase power serving bedrooms, family rooms, dining rooms, living rooms, parlors, libraries, dens, sunrooms, recreations rooms, closets, hallways, or similar rooms or areas. We are required to report the lack of arc arc-fault circuit interrupting devices.
How does this affect you? The only thing we have to do extra is brief our clients that this is a new requirement and that NO home in Texas will meet the new standard. It is not something that has to be repaired and will not affect the sell of a home. However it is my duty to tell our client that there is an additional level of protection out there for them.
On this same line of thought now all outlets in the garage must be GFCI protected. The earlier standards allowed one outlet to not be on a GFCI circuit.
If you have any questions regarding the Standards Of Practice please give me a call.
Jim Wiley
Gold Star Home Inspections
Changes to the Standards of Practice
I have just returned from a seminar for our Standards of Practice. Some changes have taken place that I feel everyone should know.
They have removed the term “In Need of Repair” and replaced it with “Deficiency”. It seems a buyer assumed that if a box was checked “In Need of Repair” that the seller was obligated to repair that item before the sell of the home. As always the report is just a negotiating tool.
Everyone has heard of Arc Fault Circuit Interrupters (AFCI) breakers. They are used for an additional level of protection on all branch circuits that supply 125 Volt, single-phase power installed in bedrooms and for smoke alarms. This requirement did not become effective until November 1, 2002 for all new and remodeled construction.
Now, Texas has adopted the 2008 NEC which requires AFCIs circuit breakers for all branch circuits that supply 125 Volt, single-phase power serving bedrooms, family rooms, dining rooms, living rooms, parlors, libraries, dens, sunrooms, recreations rooms, closets, hallways, or similar rooms or areas. We are required to report the lack of arc arc-fault circuit interrupting devices.
How does this affect you? The only thing we have to do extra is brief our clients that this is a new requirement and that NO home in Texas will meet the new standard. It is not something that has to be repaired and will not affect the sell of a home. However it is my duty to tell our client that there is an additional level of protection out there for them.
On this same line of thought now all outlets in the garage must be GFCI protected. The earlier standards allowed one outlet to not be on a GFCI circuit.
If you have any questions regarding the Standards Of Practice please give me a call.
Jim Wiley
Gold Star Home Inspections
Thursday, January 8, 2009
Foreclosure info
If you live in the San Antonio are you have seen recent news about the increase in foreclosure listings in Bexar County, up to over 1100 in January 2009! our normal numbers hover around 700 or so, and have for years.
But the media are not completing the "rest of the story" to you - of the Foreclosure FILINGS, about 30-35% will actually end up in foreclosure!
Most of the loans will either be paid up, taxes paid, mortgage refinance or restructure, or other means of holding off the foreclosure sale process. In fact the number of foreclosures has risen in the last few months. But with recent interest rate reductions and more money being freed up by lenders, more filings are being saved as well.
So, things are different if you get ALL the news information.
Call and we can discuss the actual number of foreclosures and the actual savings we are seeing this year in prices.
But the media are not completing the "rest of the story" to you - of the Foreclosure FILINGS, about 30-35% will actually end up in foreclosure!
Most of the loans will either be paid up, taxes paid, mortgage refinance or restructure, or other means of holding off the foreclosure sale process. In fact the number of foreclosures has risen in the last few months. But with recent interest rate reductions and more money being freed up by lenders, more filings are being saved as well.
So, things are different if you get ALL the news information.
Call and we can discuss the actual number of foreclosures and the actual savings we are seeing this year in prices.
Tuesday, January 6, 2009
2009 Housing Forecast
We attended the 2009 Housing Forecast put on by the San Antonio Board of Realtors (SABOR) this morning and have a lot of information to share.
For starters, as we all know, the greater San Antonio area is weathering the recession well and is poised to be the front runner during the upcoming growth period. We are still affected by the many folks moving to the area for good jobs, Military, and quality of life that are unable to sell or rent their homes in other areas. As this situation starts to slow amid the normal spring moving season, as well as with the promised stimulus packages, we will see an increase in sales.
For the time being we have over 12,000 available homes on the market and interest rates are at all time lows. This is still a buyer's market and will be into 2009 or even 2010. However, statistics show that home prices have stabilized in our region and even appreciated in some areas over the last year. This indicates that the buyer's market may not allow for some of the slashing that has occurred in other markets such as Florida and Las Vegas.
Dr. Mark Doutzour, the Chief Economist for the Texas A&M Real Estate Research Center is strong on home ownership, but is also supportive of realistic lending practices. He tells us that we will start seeing recovery in our area this spring, and history shows that we will start to see both home prices begin to move up and interest rates to possibly increase as well. He flatly states that now is probably the best buying opportunity for the next 20 or more years!
There were all kinds of statistics and trend lines thrown around to make the numbers types feel involved, but bottom line is we are in a great location and now would be the time to lock in future appreciation at phenomenal prices and rates.
Call and I can provide details and share more with you as well!
It sure is nice to be in Texas!
For starters, as we all know, the greater San Antonio area is weathering the recession well and is poised to be the front runner during the upcoming growth period. We are still affected by the many folks moving to the area for good jobs, Military, and quality of life that are unable to sell or rent their homes in other areas. As this situation starts to slow amid the normal spring moving season, as well as with the promised stimulus packages, we will see an increase in sales.
For the time being we have over 12,000 available homes on the market and interest rates are at all time lows. This is still a buyer's market and will be into 2009 or even 2010. However, statistics show that home prices have stabilized in our region and even appreciated in some areas over the last year. This indicates that the buyer's market may not allow for some of the slashing that has occurred in other markets such as Florida and Las Vegas.
Dr. Mark Doutzour, the Chief Economist for the Texas A&M Real Estate Research Center is strong on home ownership, but is also supportive of realistic lending practices. He tells us that we will start seeing recovery in our area this spring, and history shows that we will start to see both home prices begin to move up and interest rates to possibly increase as well. He flatly states that now is probably the best buying opportunity for the next 20 or more years!
There were all kinds of statistics and trend lines thrown around to make the numbers types feel involved, but bottom line is we are in a great location and now would be the time to lock in future appreciation at phenomenal prices and rates.
Call and I can provide details and share more with you as well!
It sure is nice to be in Texas!
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