Jude's Real Estate Rumblings

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City of Denver lends a hand to small business

An article from the Rocky Mountain News, reports that the city of Denver announced May 1 the Denver Neighborhood Marketplace Initiative, a pilot program from the Office of Economic Development aimed at strengthening neighborhood business districts and their surrounding communities and helping small businesses grow.  According to the OED, more than half the city's general fund comes from retail sales taxes on small businesses and many of the retail establishments are in smaller business districts outside Denver's downtown core.  Economic development administrator Bo Martinez said the city chose five districts to participate in the pilot program, using a set of performance criteria that categorized each district's current state of development as somewhere along the spectrum between challenging and thriving.  The city is partnering with Social Compact, a Washington-based nonprofit that will help Denver develop a plan to be used to attract investment in neighborhood development.  Also, the city has formed a Business District Alliance to represent the city's diverse group of small-business operators and property owners in the various districts, Martinez added.
http://www.rockymountainnews.com/news/2008/aug/21/city-lends-a-hand-to-small-business/

www.judesandvall.com
0 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 05:03PM

Mortgage Tip

Fannie Mae has issued guidance regarding the amount of time that must elapse before someone can get a new loan when they have had a preforeclosure or a short sale.  There is a difference between the two, even though most of us use the terms interchangeably. 
 
A preforeclosure sale occurs when a borrower is delinquent on their mortgage and the lender accepts a lesser amount than is owed to speed up the foreclosure process and save expenses.  There is a 2-year time period from the completion date before that borrower (the seller) will be able to get another Fannie Mae loan.
 
A short sale occurs when a borrower who is NOT delinquent sells a property and the lender agrees to accept a lesser amount than is owed.  The borrower will be able to get a Fannie Mae loan immediately after the short sale, provided the short sale agreement states that they are not obligated to pay the deficiency (the amount between what is owed and what the lender actually gets).
 
Preforeclosure sales and short sales both lower credit scores, but there is no standard way of reporting these actions to the credit bureaus, so it is impossible to say how much the credit score will be affected.  A preforeclosure sale typically lowers the score much more than a short sale, only because the borrower has had recent mortgage payment delinquencies.  Those late payments will show up on the credit report regardless of how the preforeclosure is reported.

www.judesandvallloans.com
0 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 05:01PM

Who in the World Should You Be Working With?

An article from RISMedia.com, reports that in today's market, most agents probably feel they’re after anyone and everyone in the hopes of attracting someone who is looking to buy or sell a home.  By “targeting” everyone, your message is bound to be broad and unfocused, and is unlikely to be direct enough to draw in your prospect.  Targeting is very important because it will help you determine what you should say that will offer useful consumer benefits and where and how you should advertise.  Targeting also means determining the geographic area you are interested in working in, and the price range of homes.  You can focus both your thinking and your marketing dollars by targeting a specific segment of your prospects.
http://rismedia.com/wp/2008-08-20/who-in-the-world-should-you-be-working-with/

www.judesandvall.com
2 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 04:59PM

Exterior renovation complete on future home of Sage Hospitality

An article from the Denver Business Journal, reports that according to project architect, Klipp, the exterior renovation is complete on the historic downtown Denver building that will become Sage Hospitality Resources LLC’s new headquarters in early 2009.  The Sage Building, more popularly is known as the Fontius building, has been largely vacant since the late 1980s, and became blighted over the years under previous ownership.  Headed by developer Evan Makovsky, Shames-Makovsky purchased the 48,346-square-foot building in 2007 with plans of restoring it for office and retail space.  Sage has leased the 4-story Sage Building’s upper 3 floors, which includes 32,000 square feet of space and hopes to move into that space in early 2009, with interior construction scheduled to be completed by next March.  American National Bank has leased 4,500 square feet on the building’s ground floor.
http://www.bizjournals.com/denver/stories/2008/08/18/daily29.html?b=1219032000^1687999

www.judesandvall.com
0 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 04:58PM

Martha Stewart drives home sales

An article from The Denver Post, reports that a few years ago, Martha Stewart teamed up with KB Home to design a line of homes modeled after her own residences.  Last year, they brought the concept to Stapleton.  According to MetroStudies, year-to-date sales at KB Home Martha Stewart are 38% higher than the 11 other builders in the Stapleton master plan.  Since launching KB Home Stapleton: Homes Created With Martha Stewart, KB has sold 43 homes and will deliver 35 of them this year.  Mike Rinner, a housing analyst at the Genesis Group in Arapahoe County said, "It's a unique product she lends her name to.  If they built the same houses without the Martha Stewart touch and had standard finishes and decor without the additional stuff, it would not be as nice a home.  It would not have the same cachet and appeal." 
http://www.denverpost.com/business/ci_10248535

www.judesandvall.com
1 comment • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 04:56PM

Falling home prices: The silver lining

An article from CNNMoney.com, reports that according to a new report released this week, home prices continue to tumble across the country, making homes more affordable in most U.S. cities.  A quarterly report released by the National Association of Home Builders shows nationally, 55% of homes sold from April through June were affordable to families earning the U.S. median income of $61,500.  That is up from 53.8% in the first quarter of 2008, and the most affordable home prices have been since the second quarter of 2004.  Median home prices dropped to $215,000 in the quarter, which are about 10% below year-ago levels of $240,000.  Gopal Ahluwalia, an NAHB economist said, "This is definitely positive news, because more people can afford to buy a home.  Still, actual sales haven't picked up, because people are waiting on the sidelines as they fear home prices will continue to decline." 
http://money.cnn.com/2008/08/19/real_estate/most_affordable_housing/index.htm?postversion=2008081916

www.judesandvall.com
0 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 04:54PM

Real Estate Outlook: Pending Sales Jump

An article from RealtyTimes.com, reports last month, the pending home sales index numbers showed that on a national basis, the index jumped by 5.3%.  More importantly, it rose in every region of the country, suggesting that the turnaround underway is broad-based.  The index measures signed sale contracts that haven't yet gone to closing and is a leading indicator of home sales for the coming two to three months.  If first-time home buyers take advantage of Congress's new $7,500 tax credit, sales later in the summer and Fall could exceed most analysts' expectations.  According to the National Association of Realtors, over 2 million home sales could be stimulated by the credit between now and mid-2009, when it expires.

www.judesandvall.com
0 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 04:53PM

Four homes going up for Habitat for Humanity Aurora, Colorado

An article from the Rocky Mountain News, reports that the busiest home-construction site in the Denver area this week may be a stretch of road east of Interstate 225 and north of Colfax Avenue in Aurora.  As part of the Habitat for Humanity Home Builders Blitz 2008, Renaissance Homes started a seven-day project to build four starter homes along East 18th Place.  In addition to Renaissance, others participating are Fuller Custom Homes, Sattler Homes, Malibu Homes, Austin Signature Homes and Harvard Communities.  According to Heather Lafferty, executive director of Habitat for Humanity of Metro Denver, building the small, energy-efficient homes normally would take three months.  In regards to the builders, she said, "On one hand, they are not quite as busy as usual, so it's easier to find the time to devote to this.  But on the other hand, they have been hit pretty hard by this downturn, so they have smaller crews to call on.  What they all have in common is they stepped up to the plate."
http://www.rockymountainnews.com/news/2008/aug/18/four-homes-going-up-for-habitat-for-humanity/

 

www.judesandvall.com

0 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 04:52PM

Mortgage Tips

There is a lot of confusion regarding the suspension of the seller-financed down payment assistance programs that are often used with FHA loans.  Nehemiah and Ameridream are the two largest organizations providing this assistance. 
 
The federal housing law that was recently passed prohibits these programs for all loans that are not approved by October 1, 2008.  If a loan has been approved and signed by an underwriter prior to October 1, then the down payment assistance can still be used, even if the closing takes place after October 1.  A number of lenders are discontinuing the programs earlier than that, but there are plenty of lenders who are not.
 
There is a bill before the House that will reinstate the programs, but it has not been passed yet.  At the moment, they go away on October 1, but not before October 1.

www.judesandvallloans.com
0 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 04:50PM

8 Reasons Your Home Hasn’t Sold Yet- Advice for Frustrated Clients

An article from RISMedia.com, reports that according to Realtors, the average time between listing and sale has stretched out during the housing slump.  Still, there are buyers out there, and it’s possible to sell a property if you take the right steps.  One important piece of advice in today's market is the first offer may be the best offer.  Jay Bouton of Coldwell Banker in Allendale, NJ said, “If you get an offer in today’s market, you’d better try to make the best of it and live with it if you can, because there isn’t another one waiting in the wings.”  Next, be realistic about price.  “Probably half of the houses on the market are overpriced for what people are willing to pay for them,” Bouton said.  Finally, play to your home's strengths.  Elizabeth Razzi, author of “The Fearless Home Seller”, suggests the age of a house can be to the seller's advantage.  “You can’t make an old house a brand new house without a massive infusion of money,” Razzi said.  Instead, make it as “charming and quaint and appealing” as possible.
http://rismedia.com/wp/2008-08-17/8-reasons-your-home-hasnt-sold-yet-advice-for-frustrated-clients/

www.judesandvall.com
0 comments • Jude Sandvall, CNE, SFR 720-255-1021 • August 26 2008 04:49PM