Havasu Home Source

22% Down Payment Assistance

2009-07-21T15:27:00.000-07:00

Some Arizona buyers can now get up to 22% in down payment assistance. This is an amazing deal. There are stipulations. There are income limits based on household size. You can also not own a home at this time and this must be your primary residence. The home must be less than $322,000 and be a foreclosed property. But for so many first time home buyers, teachers, fire fighters, and so many others this is unique opportunity to get their piece of the stimulus package. I have several clients working to use this program right now.

Plus if you are a first time home buyer you can also get the $8000 first time home buyer tax credit.

Lake Havasu is the perfect place. We can help low to middle income people get that they truly love and discover the joy and advantages of home ownership.

Home sales for May up from ’08

2009-06-08T10:15:00.000-07:00

Realtors optimistic across United States

By Tony Waggoner

Saturday, June 6, 2009 9:06 PM MST

Home sales in Lake Havasu City continued to improve in the month of May.

The real estate market saw a slight increase from May 2008 in the number of homes sold, but remained stabilized from this past April. In May, the Lake Havasu Association of Realtors reported 154 homes sold. That number is slightly higher than May 2008, when 142 homes sold, but equals the statistics from April of this year.

Association of realtors President Pat Landry said at a recent trip to Washington, D.C., for the National Association of Realtors those in attendance seemed pretty optimistic, as have local realtors. Landry said she expects things may be back to normal in 2011, so now is still the best time for people to buy, especially considering the $8,000 tax credit offered by the federal government, which Landry says buyers might be able to apply to their down payment in the near future.

This comes at a time when the price of homes is very affordable, Landry says. While more homes are being sold, the median price of those homes remains considerably less than last year.

The median sales price for residential homes continued to rise in May, though. With foreclosed homes still being the majority those sold, the median sales price was around $152,750, an increase of approximately $3,800 from April. However, the median sales price continued to drop from this time last year. Home sales averaged around $207,750 in May 2008, a difference of $55,000.

Lake Havasu City is seeing a reduced number of homes on the market. In April 1,022 homes were for sale in the city. As of May, the number of homes for sale was 969.

One area Landry said she is concerned about is short sale homes. Landry said she believes the banks should be looking into more short sales, instead of letting homes go into foreclosures. While a majority of homes sold in Lake Havasu City are foreclosures, 74 to be exact, Landry says more money could be made per home on short sales.

“If these banks would hurry up (with closing homes), they’d make more money,” she said.

Lake Havasu City currently has 96 active foreclosure listings and 101 pending escrow. Along with those figures, the city has 76 short sale homes. Eight short sale homes sold last month.

Landry said one of the problems many of her clients have found is banks are outsourcing the companies who are processing home sales to other countries. To her, she said, this doesn’t make sense; especially with the number of Americans they could employ to do the job. She said one client of hers reported being on the phone with someone he or she did not understand for more than 1 ? hours.

As the summer progresses Landry says she believes things would pick up even more. She said the reason sales have risen and then leveled off is because of the snowbirds buying before they left for the season. Now, with more and more boaters coming in for the summer season the next two months, things should improve, she said.

You may contact the reporter at twaggoner@havasunews.com.

$8000 Home Buyer Tax Credit

2009-05-20T13:57:00.000-07:00

There are many myths right now about the first time home buyer tax credit. I wanted to pass on some valuable information. Not everyone qualifies but if you haven’t owned a home in the last 3 years or know someone that hasn’t this could help them out.

This is a tax credit that means you get this money dollar for dollar back on your taxes. Pretty much a direct check from the IRS. There is only a limited time to use this credit. You must buy a house before December 1st, 2009.

You can make an ammendment to your 2008 taxes to get this money back right away. This is an amazing deal. Please pass this on to anyone this might be of use to. If you have any additonal questions please give me a call or send me an e-mail. I would be happy to send you the IRS form to claim this on your taxes.

Click the link below for more facts.

http://www.ambercheramy.com/_24_8000_20_Home_20_Buyers_20_Tax_20_Credit.html

FHA Down Payment Assistance

2009-05-13T10:07:00.000-07:00

Recent news from the National Association or REALTORS Midyear Confrence in Washington D.C. indicated the $8000 First Time Home Buyer Tax Credit can now be used to help make the down payment for first time home buyers using FHA loans. FHA approved lenders will not me able to monteize the the credit to be used toward the down payment and secure the funds using a bridge loan. This is an awesome acomplishment and really opens the doors even wider for first time home buyers. They can now get down payment assistance, low interest rates, and great homes at fabulous price. Now more than ever it really is the time to buy!!

Home sales continue to look up

2009-05-07T08:27:00.000-07:00

Home sales continue to look up

By TONY WAGGONER
Wednesday, May 6, 2009 10:11 PM MST

Home sales in Lake Havasu City continue to show signs of turnaround.

Statistics released Tuesday by the Lake Havasu Association of Realtors, indicate the number of residential homes sold in the city jumped 12 percent in April over the same time last year. There were 154 homes sold last month, as compared to 120 in April 2008.

The increase in homes sold comes after median sales prices dropped more than $65,000 from last year.

However, Realtors continue to close the gap between the total sales dollars. Dollar amounts for April were just more than $3 million less than this time last year, at $27,635,314. Last year’s figures were $30,852,999.

April’s total dollar amounts also helped Realtors gain some ground on the year totals. Through April 2008, sales dollars were more than $109 million in the city. This year, those figures are just slightly less at $91.5 million.

Pat Landry, president of the Lake Havasu Association of Realtors, says the reason continues to be the number of foreclosures on the market. In April, sales on foreclosed homes accounted for more than half the total sales in Lake Havasu City, Kingman and Bullhead City. There were 78 foreclosed homes sold in Lake Havasu City, 37 in Kingman and 59 in Bullhead City. Lake Havasu City had 208 foreclosures on the market, Kingman 123, and Bullhead City reported 115.

Landry said she expects the number of foreclosed homes sold to increase in the next month, because of the number of those homes still pending escrow.

The departure of snowbirds from Lake Havasu City is having an impact, according to Landry. Part-time residents from as far away as Montana and Wisconsin currently have homes pending escrow. Landry said this is a typical trend that occurs each year right before winter visitors go home.

One thing, she said, that has been different is prospective buyers are taking a look at more homes, making sure the one they are buying is what they want for the right price.Buyers are looking at how the home was built, including insulation, windows, air conditioning and energy efficiency to determine what utility costs they would incur with the purchase of a particular home.

The American Recovery & Reinvestment Act tax credit for first-time homebuyers has yet to impact sales, Landry said. Under the stimulus plan, first-time homebuyers would receive $8,000 tax credit next year. Landry said if the tax credit applied to every homebuyer, it might have more of an impact. With homebuyers not receiving the credit when they apply for the initial loan, Landry said she doesn’t see it making much of a difference. In fact, one first-time homebuyer she dealt with didn’t even know about the tax credit.

As the economy improves, the housing market will follow or vice versa. Landry said both are neck and neck with each other. And, with low-interest loans and low market prices on larger homes, she said things should continue to move upward. Homebuyers should be aware, though, lenders are being stricter on who they will hand out loans to.

“Before it was too easy,” she said. “Now (lenders) are saying they are going back to the basics of years ago.”

Warren Buffet Says Real Estate is Turning Around

2009-05-04T11:50:00.000-07:00

Today on CNBC's Squak Box famed investor Warren Buffet say he is seeing a turn around in the Real Estate Market and hopes to see a full economic turn around soon.

Desert Storm

2009-04-25T12:11:00.001-07:00

Awesome pic of boat time trials. Last boat went by at 137mph.

A Great Day in Lake Havasu

2009-04-17T17:08:00.000-07:00

I've been wanting to put this up since last weekend but haven't had a chance. On Easter sunday we took our Rhino's out for a little ride on a trail just down from our house that I had never taken that far before. We went up above the powerline trail and this is the beautiful view of Lake Havasu we saw coming down. I just thought to myself I should take some pictures to show everyone why it so wonderful to live in Lake Havasu. This is only 15 minutes from my house and I live 10 minutes from the lake. That is why I live in Lake Havasu and why I believe in Real Estate in Lake Havasu.

More buyers picking up foreclosures in Lake Havasu

2009-04-11T12:27:00.000-07:00

More buyers picking up foreclosures

More than half sold in March were bank-owned properties

By TONY WAGGONER
Friday, April 10, 2009 10:35 PM MST

Foreclosures are making a difference for the real estate market in Lake Havasu City, as more and more bank-owned homes are being sold.

Pat Landry, president of the Lake Havasu Association of Realtors, said offers are pouring in on foreclosed homes. Usually, she said, two to three of those offers are coming from investors.

Lake Havasu City reported 80 foreclosures sold for the month of March, more than half of the 149 single-family residential homes sold total.

And, Landry says there are even more bank-owned homes pending escrow. Already in April, there are 167 foreclosed homes pending approval for purchase in Lake Havasu City.

The total active listing for foreclosures in the city currently sits at 232 homes.

Landry said she expects foreclosures to continue through the end of 2010. With the average price of a bank-owned home in Lake Havasu around $126,000, Landry says prospective homeowners, especially first-time buyers, should continue to consider the foreclosure route for purchasing a new home. Right now, homes that were once in the $250,000 range have dropped in price more than $75,000 in some areas.

Landry says now is still the best time to buy, too. As the inventory of homes goes down, prices will, once again, begin to rise across the city.

“Prices have pretty well hit bottom and won’t go down any more,” Landry said.

The market in Lake Havasu City could begin to turn the corner by next year, Landry said.

The momentum gained from foreclosures is just a sign of what is happening in the real estate market across the city. For March, 149 homes sold. That number is more than the same month last year, when 123 homes were sold.

Landry attributes the increase in homes sold partially to snowbirds leaving Lake Havasu City. Numbers often indicate snowbirds will wait until the last minute to buy a second home here, in order to get the best possible price, Landry said.

Median and average sale prices for residential homes sold are well below what they were last year — $240,768 average for 2008, $194,984 this year. The median price compared with last year was an approximate $59,000 difference between the two years.

The average and median price of the homes sold may have dropped considerably, but the total dollars stabilized for the month of March. Total sales for the month of March this year were $29,052,677. Last year’s dollar amount for March was $29,614,466.

In comparison to other cities in Mohave County, Lake Havasu City is doing quite favorably. Kingman has a total listing of 806 residential homes on the market. Bullhead City has 884. Lake Havasu City lists 1,142 residential homes on the market, but sold a greater number of homes in March than either city. Bullhead City listed 62 homes as closed, Kingman 87. Both cities have a good number of home sales pending — Kingman, 160, Bullhead City, 62.

While the home industry continues to have some improvements, the building industry is still struggling. In March, only seven lots were sold, bringing the overall total to 21 for 2009. That is an average of seven homes per month for the first three months of the year, though.

What may be even more disappointing are the total dollar amounts of those lots being sold. Last year at this time, the total dollar amount of lots sold was near $1.6 million. This year total sales fell to approximately $652,150.

Article Courtesy of The Todays News Herald
You may contact this reporter at twaggoner@havasunews.com.

Oh how the news changes...

2009-04-07T10:17:00.000-07:00

Today I opened the news paper and was shocked to find two very positive articles. Both of which I like so much that I posted them on my blog for everyone to see.

These days it seams that every time I turn on the news or read the news paper I find negative article after negative article about Real Estate, Lake Havasu Real Estate specifically and or the tough economic times.

I don't contest we are in tough times. But we has Americans are fighters and I have a positive outlook in everything I do. If I didn't I really couldn't be in the Real Estate business with its aggressive highs and low and emotional twists and turns. Not that I want any pity for the business I have chosen. I love my job and love helping people find the home of their dreams.

The thing is I sit here on the front lines of the Real Estate business in an office filled with agents. 3 months ago I would sit at my desk and there would maybe 3 other people in the office. Today I sit at my desk and see 15 other people here. All working!

The market really is turning. I have seen the change since about December. We are making deals, selling foreclosures, and watching this market improve.

I walk out this door everyday with a positive attitude about where the Real Estate Market is going. I tell perspective clients and people that I know from around town. At first everyone was like really its good out there? But now you know what I hear? I've been hearing that from a lot of people. That's the truth. The market is changing, it is improving, and in my professional opinion we are very very close to the bottom if we aren't there yet. Hindsight is 20/20 and you can never see the bottom until you start going back up.

I think today was a great day to see such positive outlooks on the world. I hope we can see much much more of this. I see it everyday and I want to share with the world that the times are changing and like they say What goes up must come down. Well that goes the other way too. Now that we are down it is time go back up. Slowly, gradually, and normally. We will recover and it has already started.

For more information about the local Lake Havasu Real Estate Market please give me a call 928-727-6290, e-mail me amber@brooks-clark.com or check out my website http://www.amebrcheramy.com/ .

Home Sale Up 25% for March '09

2009-04-07T10:00:00.000-07:00

Staff Report
Courtesy Todays News Herald

Home sale in Lake Havasu City leaped by 25% in March compared to March 2008, but average sale prices tumbled.

In all, 143 homes and condominiums with a total value of $30.4 million sold in March, according to information compiled for the Lake Havasu Association of Realtors. Those figures compare with the 115 sales and total value of $28.3 million during the previous March.

Compartave sale prices dropped from $246,843 in March 2008 to $212,370 in March 2009, the associations multiple listings sercvice figures show.

Home prices continue to be dragged down by home foreclosures, reallty specialist say. But there are indication the foreclosures are washing out of the city's housing inventory.

Don Clark, a former city councilman and Realtor with Brooks-Clark & Associates, noted that multiple offers on foreclosures are a "good indicator of a market turnaround."

The March sale figures reflect a trend through the first quarter of 2009. The multi-list figures show quarterly home sales grew from 284 to 316 and average prices declined to $200,456 from $266,503. Cash transactions exceed the numbr of conventional financings, indicating the uptick in investor interest. Clark says he believes the housing market actuallu hit bottom in December.

"Overall foreclosure numbers are getting smaller even with new ones coming on the market. This is a good sign becuase those homes need to be sold so property value can start to climb," he said.

Lake Havasu Recovering Faster the the rest of the state

2009-04-07T09:49:00.000-07:00

State treasurer sees end in sight for recession
By Diana ParkerMonday, April 6, 2009 9:36 PM MST
The Todays News Herald

During a visit to Lake Havasu City Monday, the “state’s banker” said he’s starting to see the light at the end of the state’s economic tunnel.

Furthermore, upturns in home sales and building permits locally indicate “Havasu may be recovering sooner than other parts of the state,” State Treasurer Dean Martin said.

Martin is traveling the state to visit his “customers,” the 140 local governments that deposit their money in the state treasury, thereby earning a better rate of return.

“They are literally our customers, even though the state’s never treated them like that (before),” Martin said.

Martin has instituted several administrative changes, including holding quarterly meetings, that result in the state acting more like a financial institution when it comes to its depositors. Martin said lower fees and improvements in transparency have contributed to a $1 billion increase in local government deposits during his tenure.

His office has also been producing regular financial forecasts. Martin said he predicted the current economic downturn shortly after entering office in January 2007.

“Gov. Napolitano called me Chicken Little for describing exactly what’s going on right now,” he said.

Martin believes the downturn will bottom out close to the end of 2009 with slow recovery beginning in 2010. He likens the recession to the Nike “swoosh,” saying that we’re now sliding into the dip in the bottom. The upturn will be more gradual than the decline, taking about four years, he said.

In the short term, the state is facing a cash flow crisis that will become critical on April 15, when $650 million in school payments are due to be made. The state currently has about $200 million in the general fund, Martin said. A trickle of tax revenues will add something to that total, but not enough to cover the bill, and sales tax revenues won’t come in until April 20, he said.

“The state is basically living paycheck to paycheck — it’s not their paycheck, it’s your paycheck,” Martin said.

Another $1 billion in school payment will be paid out in July, and the state doesn’t have that money either. To make the school payments, the state will have to create overdraft protection for itself by borrowing hundreds of millions of dollars each day for a few days at a time. Arizona hasn’t had to borrow money since the Great Depression, Martin said.

The interest from those borrowings will only add to the state’s budget deficit.“It’s not going to be cheap. Money isn’t free,” Martin said.

And the state would have to perform this kind of mid-month shuffle when large payments are due for two to three years, or until revenues “exceed expectations,” he said.

Nevertheless, taxpayers don’t need to worry that the state won’t make its obligations, including income tax refunds, according to Martin.

“We’re taking these extraordinary steps so the rest of the state’s functions can go on as normal,” he said.

Lake Havasu Real Estate Buyers Market Seminar

2009-04-06T11:54:00.000-07:00

This weekend was the first every Brooks-Clark Buyer Market Seminar. We had a great turnout of prospective buyers and people interested in learning more about todays Real Estate Market in Lake Havasu. We were able to give a wealth of including information about the buyers market and seeing the bottom, how to make offers on foreclosures, the difference between short sales and foreclosures, the benefits of FHA Loans, the benefit if VA Loans, More information about the $8000 tax credit first time home buyers and people who have not owned a home in the last 3 years. All in all we had some great information to share and everyone left knowing something new about the Lake Havasu Real Estate market. Plus everyone walked away with a list of all the available foreclosures in Lake Havasu. What a deal. And the price for all this was FREE TO THE PUBLIC. How could you go wrong. For more information about the next one please give me a call at 928-727-6290 or e-mail me at amber@brooks-clark.com. Don't forget to check out my website www.ambercheramy.com for the most up to date information on the lake havasu real estate market.

The Lake Havasu Real Estate Market is changing

2009-04-03T21:15:00.000-07:00

March turned out to be a great month for the Lake Havasu Real Estate Market. We are noticing a shift in the numbers that can only be read in a positive light.

Our number of Lake Havasu Single Family Listing has dropped drastically to 942. This is a great sign pushing us to a more normal market.

We has 133 Residential Single Family close in the month of March. Giving us an absorption rate of just over 7 months. In a normal real estate market we want to have a 6 month supply of homes or less. This is a great sign for the Lake Havasu Real Estate Market.

Of the 133 homes sold last month, 63 were foreclosed or bank owned properties and 9 where short sales. Meaning that more than half of the homes sold where some sort of depressed sale.

These foreclosure properties are moving fast and the best deals are never on the market more than a week. Many of the best deals are going into multiple offers and for more than asking price. This shows by the average list to sell ratio ranging from 95%-97%. This means that these homes are already priced to sell. Those who think they will sweep in and offer 50% less and steal a house are sadly mistaken. There are deals to be had for a prudent buyer who watches the market carefully and quickly jumps at opportunities.

Now is the time to buy. For more market information please check out my website at www.ambercheramy.com or e-mail me at amber@brooks-clark.com

Buying Foreclosed Homes: Deal Or No Deal?

2009-04-02T10:26:00.000-07:00

Here is a great article I picked up from the Arizona Association of Realtors. It really reflects the purchasing of forelcosures and short sale in Lake Havasu and the Surrounding areas. This is great information since the biggest part of market right now is the resale of foreclosure properties, pre-foreclosure properties, and deppressed sales in general. The sales are now attributing to more than half of sales today in the Lake Havasu Real Estate Market.

Buying Foreclosed Homes: Deal Or No Deal?

HouseMaster Says Good Pricing for Troubled Properties Can Be Affected by Neglect and Deferred Maintenance

There are abundant opportunities for qualified homebuyers in the current real estate market. HouseMaster, a national home inspection firm, reports that triggered by a 28 percent rise in foreclosure activity from last year, working through the intricate foreclosure market will be less difficult for consumers that properly prepare for the process. “Properties in different stages of foreclosure represent opportunity but also danger for the unassuming buyer,” said Kathleen Kuhn, president of HouseMaster. “While potentially lower asking prices draw possible buyers to these homes, each property has its own challenges that can come from abuse, neglect or deferred maintenance from the previous owner. Local consumers must do their homework to help them know whether a property is truly a ‘good deal.’”Not all foreclosures are a great buy and if consumers are not fully educated on the property or the process, a buyer could potentially make a poor investment decision. “Buyers must take proper precautions to ensure they are making educated real estate decisions, and are aware of property conditions that can greatly affect the home’s long term value,” Kuhn added.Kuhn said there are three primary types of foreclosure properties that the typical buyer should familiarize themselves with before making an investment in today’s real estate market, and know of corresponding structural and physical attributes that can affect each. They are:

Short sales — essentially a pre-foreclosure sale. Short sales occur when a home is sold generally at a reduced price by a seller who is facing foreclosure but has not been foreclosed on yet. The process is designed to create ideal outcomes for all parties involved - the seller avoids foreclosure, the buyer obtains a good price on the home, and the bank avoids the full foreclosure process and cost.Potential short sale buyers should be pre-qualified for a mortgage since banks need assurance an offer is solid and legitimate. Buyers should also have the home inspected before they make an offer, and again before closing. Despite the name, short sales can take an extended time to officially close and buyers typically find that several months have passed since their initial home inspection and the closing of the short sale. A re-inspection will identify any conditions that may have changed since the original inspection and check systems that may not have been previously accessible or operational due to climate or other issues. Any issues that are found during the pre-closing inspection can then be addressed with the bank before a buyer signs on the dotted line.

Real Estate Owned (REO) — A home that has been foreclosed upon and is now owned by a bank. These homes are prone to issues that are not as prevalent as other resale homes, generally due to lack of use and vacancy.When purchasing an REO property, potential buyers will likely deal directly with the former lender or agent representing the lender because the seller is no longer present. Lenders often sell REO properties in “as is” condition, which means that no repairs will be made to the home by the lender. If the house has significant defects, buyers can adjust offers by presenting the bank with a professionally prepared home inspection report highlighting the defects and the condition of the home or walk away from the deal.

Auctions — Auctions tend to be one of the riskiest ways to purchase a home. Generally a home sold at auction is being sold “as is,” with little opportunity for inspection. Auctioneers will typically schedule limited times for interested buyers to view the properties but almost always a full inspection can not be completed. These types of properties typically have no utilities turned on, and do not provide access to important areas like crawlspaces or attics. “Buying a home through an auction is not recommended for the novice real estate buyer, as they are unable to get the access and advice necessary to make an educated decision as to potential serious and costly repairs that could make even a very low priced home a bad deal,” Kuhn noted.“Education is the key need when buying a foreclosed property,” added Kuhn. “It helps the buyer understand their options allowing them to get the best house for reduced costs and helps to avoid making potentially devastating financial mistakes.” According to a recent study conducted by HouseMaster, there are five main physical conditions that are typically found in a foreclosed property. They are:

Moisture related problems

Defective gaskets, valves and hoses that are leaking or have the potential to cause destruction

Vandalism, especially if the property has been vacant

Insect and rodent infestations

Blocked or damaged waste and sewer lines

“Now is a great time to buy a home, especially for first-time buyers,” adds Kuhn. “But, if buyers are considering properties in various stages of foreclosure, property inspections are very critical in making the right investment and getting the best deal.”

Action Step When Buying Real Estate

2009-02-02T19:57:00.000-08:00

Here are a few things to keep in mind when you are thinking of buying property. The most important first step is getting prequalified for a loan. This gives you much more power when you come to the negotiating table and many sellers won't even look at an offer if you are not prequalified.

1. Get your Credit in Order
2. Plan for your mortgage-Start Early
3. Get your documentation in Order
-Tax Returns, Bank Statements, Pay Stubs, W-2’s

Keep this in mind when you are ready to buy real estate.

Lake Havasu Real Estate and Mortgage Rates

2008-12-20T09:56:00.000-08:00

Wow...Mortgages are nearing 4.5% and still falling. Interest rates have never been lower only encouraging home purchase. There has never been a better time to buy in our lifetime. Mortgage Rates at record lows and Lake Havasu Real Estate at 5 year lowes. This is the time to buy. Everyone is waiting to find the perfect entry point and I believe it is now. You don't want to be the person who looks back five years from now and says I should bought when it was this price or that price. I should have bought 10. Now is the time to buy Lake Havasu Real Estate. Call today or e-mail me for more information.

Mortgage Rates Head Towards 4.5%

2008-12-20T09:55:00.000-08:00

The news is abuzz about the Treasury lowering home loan rates to 4.5% to stem the foreclosure crisis and stimulate more purchasing activity but details have been lacking. The Treasury Department stated it is looking for additional ways to help the struggling housing industry and believes lower rates may be one possible solution. This is just an idea being discussed and there is no concrete plan in place to make this happen.
This idea is similar to the November 26th announcement from the Federal Reserve where they indicated the intent to purchase up to $500 billion in mortgage-backed securities from Fannie Mae, Freddie Mac and Ginnie Mae. In addition they would buy another $100 billion in direct debt issued by those firms. The November news caused bond prices to spike higher and forced mortgage rates lower. Just like any commodity, whenever tremendous buying interest exists, prices rise. Mortgage rates fell almost .500% in rate following the announcement. However, the following week, market forces continued and mortgage interest rates pulled back some from those lows.
It’s very important to remember that there are no details to support the Treasury’s idea as of yet. The Federal Government does not directly dictate home loan rates. Rates are determined by price movements of Mortgage Backed Securities (MBS), which compete for investor funds in the open market. The Treasury can buy mortgage bonds on the open market but remember that they are not the only entity buying and selling these instruments.
The Treasury is in a very tough position in trying to manipulate home loan rates. Creating a new Federal mortgage program could be very risky. How would rates be set, who would qualify, and can the funds be used for purchases and refinances are just some of the questions being asked. The other critical concern is implementing such a program without destroying the current mortgage securities market. Doing so could have the unintended consequence of causing additional economic turmoil.
Rates are not going to 4.5% with the wave of a wand by Hank Paulson, Ben Bernanke or president-elect Obama. As a matter of fact, the massive borrowing to fund the TARP, (Troubled Asset Relief Program which is part of the Bail Out Bill) program has had a negative effect on rates. At this time, the announcement still leaves a lot of uncertainty. What we do know is that rates are at historic lows and house prices have moderated setting up a great scenario for people who need to refinance or are looking to buy a home. It may or may not happen but waiting for rates to fall to 4.5% may leave people sorely disappointed.

Homes sales Jump in Lake Havasu

2008-12-15T18:12:00.000-08:00

Lake Havasu City’s Real Estate market continues to show improvement with more sold signs going up on homes than for sale signs.Pat Landry, president of the Lake Havasu Realtors Association, says it is a buyers market right now, and prospective homeowners are recognizing it.Residential homes sales jumped from 70 in November 2007 to 84 this past month, bringing the yearly total to 1,131 homes sold. That number is still down from this time last year when the number of homes sold was right at 1,167, but Landry is confident Lake Havasu City should surpass the 2007 numbers by the end of the year.The total number of active listings for November 2008 was 1,518. In November 2007, the total number of active listings was 1,763.“People are looking to buy, and right now is the best time,” she said.The city’s part-time winter residents are having an impact. Landry is seeing quite a few “snowbirds” returning, although she could not provide an exact figure.A good amount of those winter residents have surprisingly been from Canada, she says. Many Canadians are delaying their arrival, though, until the exchange rate improves from the Canadian dollar to the United States dollar.Interest rates are certainly playing an important part with home sales, Landry says. Rates are as low as they have been in over 10 year right now at 5.5 percent.“It’s a wonderful time to buy,” Landry said. “Interest rates have dropped to as low as 5.5 percent.”Landry has heard talk rates could continue to drop in the next few months to around 4.4 percent.Landry said the government has really worked to keep interest rates low. She believes this could lead to a very successful year in 2009 for realtors.“I can’t remember a time when the interest rates were as low as five percent,” she said.Landry is not sure what impact the new Obama administration would have on the housing market, as of yet. She does expect the market will continue to improve, though, through 2010.With lower interest rates, mortgages continue to go down. According to Landry, a mortgage for a $200,000 would be around 1,073 a month right now, with a five percent interest rate. She said typically interests rate are between six and seven percent. At 6.5 percent, the mortgage for a $200,000 home would be around $1,264 a month.The average sale price in Lake Havasu City dropped substantially from November 2007. Homes sold at an average of $187,354 this past November. That number is down almost $100,000 from last year, when the average sale price was $275,558.Those figures are right in line with the median sale price of homes in the city. Last year in November, the median sale price was $236,950. This year for the month of November the median price was $158,950.One area not seeing much improvement is the number of vacant lots sold. Permits are way down. Landry says people just don’t see the need to build right now when they can purchase resale. She said it is unfortunate, because this is keeping a lot of contractors out of work, but people just don’t want to seem to take the time to build, and construction costs are quite a bit higher.The number of foreclosures continues to rise, as well. In October, foreclosures were 35-40 percent of the homes sold. That number rose to around 61 percent in November.Landry says the yearly total is still relatively average. From Jan. 1 through November 2008, the number of foreclosures in the city stood at 406, 40 percent of the overall number of homes sold.The market is showing improvement, but Landry knows that some realtors are still struggling. She has some suggestions for those realtors. Landry said it is important that realtors reach out to people. Most of her clients have come from referrals. Landry has spent countless hours marketing, making phone calls and sending out letters to prospective buyers.She says it is also important for realtors to keep in touch with their homebuyers, especially first-time buyers, who typically know very little about what they are getting into.“There is nothing more exciting than the first time you buy a home,” she said. “You really have to guide first-time buyers.”

By Tony Waggoner
Today's News Herald

Patience Really is a Virtue in The Foreclosure Market

2008-12-04T13:06:00.000-08:00

Foreclosure, Forelcosure, Foreclosure… That is what buyers these days want. The problem is the best deals usually take the most amount of time. If your lucky you can pick up a bank owned property in Lake Havasu, write a contract, and close in 30-45 day but more often than not it takes longer. This is something that buyers need know. When dealing with a bank everything just takes more time. Right now in Lake Havasu 30%-40% of all homes sold have some sort of Dealing with a Bank.

First lets look at Short Sales or Pre-Foreclosure situations. A short sale is when a bank agrees to accept less the seller owes to sell the home to the new buyer and to not have to take possession of this home. These types of sitiatuations take the longest.The bank will usually aggree to take fair market value or a little bit less to not have to take the property back. This is time consuming on every front for both buyers and sellers. It take can take up two weeks just to get a response that they received the contract. It can take up to 3 months to hear if they have accepted the contract and can possibly take up to six months to close. This is generally worst case scenario and many of the banks are implementing great programs to help move these homes as quickly as possible. But be prepared that you could one of the few that takes several months to close.

Next, lets look at Foreclosed homes. These are homes that are already owned by the bank. This is also a time consuming process but usually a little bit less time consuming. The first thing you should know is it is all a process and a home has to transfer through it departments. For example, lets say your neighbors home is foreclosed on. The bank first takes it over and changes the locks, but then it has to go through the process. A home can be owned by the bank and not put on the market for several months because they might need to clean it up or clear up some of their own paperwork. Once it is put on the market is works like most home sales do. You find a house and submit an offer. Now they may make a counteroffer. This takes a little bit longer than a normal sale. It take up 2 week to get an offer. Then you are usally notified verbally that the bank has agreed. The bank sends special addendums out and the buyers signs them. This means you can move forward with inspections but you still probably won’t have an official contract signed by both parties. This will cause additonal worry and stress but it is pretty standard procedure. The problem you face not have a signed contract is that you can’t lock your rate on your loan. Once you get all the paperwork back the buying process moves pretty much on a normal pace.

Some of the best deals in Lake Havasu or Foreclosure and Pre-Foreclosure properties. With this information maybe you can eliminated some stress and have patience with the process. Knowing what your up against will help you to go in with your eyes wide open. If you would like any further information about Foreclosure and pre-foreclosures properties or a list of available properties please feel free to e-mail me at amber@havasuhomesource.com

Multifamily Opportunity Is Out There-Lake Havasu Real Estate Perspective

2008-11-24T10:02:00.000-08:00

Buy low and sell high. That is theory behind making sound investments of any sort including Real Estate. With Lake Havasu Real Estate prices sitting at 5 year lows, interest rates at record lows, and enough inventory to have exactly what you want it sounds like a perfect real estate storm is brewing all factors point to now being the time to buy. You can pick up an awesome deal and hold on to it by renting it out for some time and when the market turns, and it surely will, you will stand to make a substantial profit and all the while have your renters help pay for the house. What could be a better deal? Now is the time to buy Lake Havasu Real Estate. For more information on leveraging and what sort of investment properties are available please feel free to contact me at www.havasuhomesource.com or www.ambercheramy.com

Multifamily Opportunity Is Out There

2008-11-24T10:00:00.000-08:00

“It’ll be heaven in 2011” was one prediction made at September’s Multi-Housing World conference. Demographic shifts will boost the rental market in a couple of years, experts predicted. On the investment side, now is the time to buy, although steer clear of suburban luxury housing and condo development. Student and workforce housing are hot areas, particularly in urban areas, said Ron Brock, president and CEO of Pierce-Eislen. B and C properties in A markets are another good buy, said Keith Rosenthal, president of Phoenix Realty Group, who suggested purchasing at a discount to replace the cost of over-leveraging. But lenders are looking into investors’ net worth and questioning the veracity of obtaining projected rents. “You’ve got to have a real substantiated story for value-adds,” says David Carlson, managing partner at Redwood Capital Partners.
Source: Commercial Investment Real Estate Magazine

Foreclosure Central

2008-11-20T12:11:00.000-08:00

We have more than 100 homes that are bank owned in Lake Havasu and more than 100 home in preforclosure stages ready for sale at discounted prices. Foreclosures are the hotest section Real Estate right now. Many of these properties are priced below market value to get them sold fast. You can pick up a steal of a real estate deal. Now is the time to jump in. It is a great opportunity for anyone to buy real estate from first time home buyers to investors with mulitple properties. Act Now! The good ones move quickly. The best deal go to mulitple offer and only spend a few days on the market. For your complete list please feel free to sign up for my FREE LAKE HAVASU CITY FORECLOSURE LIST. You will be glad you did. Good Luck and Happy House Hunting!

Editorial to Home Sales on the Rise

2008-11-19T11:16:00.000-08:00

Interest Rates are at Historic Lows. Home prices are lower than they have been in 5-7 year. When people were buying in a boom they were buying more expensive houses at higher rates. Now is not the time to run scared. Those who act will be rewarded. It doesn't matter if your an investor or a first time home buyer you can get a deal. And sometimes pay less than your rent to own a home. The indication of the median home price falling is reflective of the lower prices and investors moving into the market snapping up the great deals. Don't miss out. Now is the time to buy Lake Havasu Real Estate.

Home Sale on the Rise

2008-11-19T09:24:00.000-08:00

Home sales still on rise
Number of listings continue to drop
By Tony WaggonerTuesday, November 18, 2008 10:23 PM MST

It may be a reflection of the economic times that the median price of single-family residential homes sold in Lake Havasu City has continued to drop, as more homes continue to sell.The average median sale price for residential homes for October in Lake Havasu City dropped to $166,750, the lowest mark in a year, according to figures released by the Lake Havasu Association of Realtors. The average median price in October 2007 was $206,000. This year’s figures mark an almost $40,000 drop in home listings sold.Overall residential sales dropped from almost $21million in September to around $20 million.It is definitely a buyer’s market, said Pat Landry, the new President of the Lake Havasu Association of Realtors. Interest rates on homes are low, and buyers have more of a selection.Landry says this is the reason more homes are selling in the community. After two months of plateau, the number of residential homes sold did increase from 87 in August and September to 94 in October. The number of homes sold greatly increased over October 2007, jumping from 70 to 94.While the number of homes sold may not be that substantial, Landry says Realtors are staying busy.“We’ve been busier than ever,” she said. “We have seen several customers at one time and are showing more homes than we were at the beginning of the year.”According to Landry, prospective buyers are also viewing more homes. She said Realtors are often showing 30 to 50 homes to one client.She did warn prospective buyers should take advantage of lower priced homes now, because in a year’s time, things may not be the same.The number of residential listings in Lake Havasu City continues to increase. While not reaching the 1,763 mark of November 2007, the number of listings for October was at its highest total since February of this year at 1,553 listings.Sellers should be aware of the competition, too, according to Landry. She said the best time to sell a home is within the first 60 days. After that, sellers would likely be forced to reduce the price of their homes.Landry said they are seeing many bank home foreclosures, causing the numbers of listings to go up.A lot of the home sales have been for foreclosed homes as well. Almost 75 percent of the homes sold this year have been foreclosures.With winter visitors on their way back in the next few months, Landry expects home sales could continue to go up, as could rentals. Quite a few of these renters, she said, would go on to purchase the home.

Source Todays News Herald

Your Lake Havasu Real Estate Source

2008-06-25T14:23:00.000-07:00

This is the first entry. Through this blog I hope to give you a detailed idea of the Lake Havasumarket conditons, insights into our current Lake Havasu Real Estate Market, and useful Real Estate related information including the best deals and much much more.