The Perfect Website
The Perfect Storm
Written by Bill McAfee, President of Empire Title
The Perfect Storm by definition is a convergence of independent events that form an environment never experienced before. If you are a buyer in today’s real estate market, you could experience the perfect storm. There are three factors that are coming together which could make home buying one of the best decisions you can make. Inventory levels are high, homebuyer programs are very attractive, and interest rates are at historic lows.
First of all inventory levels are high giving buyers multiple homes to choose from. In many cases homes are in move in condition. October’s inventory level on residential resale properties was 6.42 months. (See chart #1) The last time inventories were this low was April of 2007. Normal inventory levels range from five to six months. Inventory levels that drop below four months are usually sellers markets. During these markets prices trend up. Median sales prices for our region have improved this year. (See chart #2) A twelve month running average indicates median prices are stabilizing. (See chart #3) Median prices mean 50% of homes are selling above and 50% are selling below a certain price. The median price for October, on a twelve month running average, was $186,600. Notice the market seems to be stabilizing. It is also critical to know that 87% of the homes sold were $299,999 and below, and 76% of the homes sold $249, 999 and below. Demand for homes below $250,000 is increasing because buyers are using VA and FHA loans. These types of loans require little or no money down. In addition, these types of loans are debt to income driven. This means you must prove you can afford the payments. Down payments are important to buyers but a credit of $6,500 to $8,000 can seal the deal. The Storm is brewing.
On
First time home buyers must be under contract by
Interest rates are at historic lows. If you borrow $200,000 at 5% the payment is $1,207.84. If you borrow $200,000 at 7% the payment is $1,469.93. An increase in interest rates of 2% will increase your payment to $289.09 per month. This will increase the amount you pay for your home over a thirty year mortgage $104,072.40. The government has stated interest rates are artificially low. Rates will go up, it is a question of when and how much. Do not gamble on rates. Remember interest rates are the catalyst for the perfect storm.
Buyers need to take advantage of high inventory levels, buyer credits, and historic low interest rates. The prefect storm is here and buyers need to take advantage of these conditions as they may not come together again in the foreseeable future.*
* This information is deemed reliable but not guaranteed. Resources: Pikes Peak Multiple Listing Services, National Association of Realtors,
Posted at 10:37AM Dec 11, 2009 by Sandy Daniels & Tanya Stevenson-Becht in General | Comments[0]
Colorado Springs - One of the Forty Strongest Economies!
Colorado Springs: One of the Forty Strongest U.S. Metro Economies
The decline in the United States economy in the past few years has affected our country more than any of us had anticipated. Business Week recently released an article discussing the top forty cities least touched by this difficult recession. While no market completely dodged this tough time, Colorado Springs made it to 24 on the list.
Overall rank: 24
Colorado Springs, the state's second-largest city, is 80 miles south of Denver's International Airport and about 90 minutes east of popular ski resorts. Employment in the Colorado Springs metro peaked in the first quarter of last year. Gross metropolitan product in the second quarter was down just 2.7% from the peak in the third quarter of last year. Home prices were flat in the second quarter compared with the same period a year earlier. And the unemployment rate in June was 8.3%, up 2.4 points from a year earlier. (Please see below for the various criteria used by the Brookings Institution to determine the overall ranking.)
Job growth (since peak) rank: 52
Gross Metro Product (since peak) rank: 20
Unemployment change (year over year) rank: 10
Home price change (year over year) rank: 43
Forbes had also listed Colorado Springs as the third highest city for housing recovery in August.
Park Avenue Properties
Tanya Stevenson-Becht & Sandy Daniels
office@parkavehomes.net
Posted at 03:48PM Oct 26, 2009 by Sandy Daniels & Tanya Stevenson-Becht in General | Comments[0]
The Nitty Gritty: Glossary of Sales & Purchase Contracts
The Language of a Purchase and Sales Contract
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It is very important that you know exactly what you are agreeing to do when you are completing your purchase and sales contract. If you are following the steps outlined in my book then there is simply no reason why you should be blind-sided by anything that is written in your contract, but just to make sure, I will go over the basic terms and definitions.
- Parties - You and the sellers name and contact information.
- A legal description of property – Explains exactly what you’re buying and how the city officially views the property.
- Offer or purchase price of property – How much you agree to pay for the property.
- The date of the contract – The date you signed the contract.
- The closing date - The date you and the seller are expected to transfer payment and ownership to each other.
- Down payment amount – The amount you will contribute towards the purchase price in the form of cash or down payment assistance.
- The terms of any escrow agreement – The exact actions and or professional services used in order to hold the deposit money and perform certain services.
- Contingencies – Conditions to be met before transferring money and ownership.
- Title Condition – The agreement that the seller will be able to sell a clear and trouble-free title of ownership to you.
- Loan amount and conditions – How much you are borrowing from a lender and the terms of your mortgage.
- Resolving disputes – How you and the seller will handle any issue which arises and cannot be resolved peacefully.
- Personal property and fixtures – What is included with the house when you buy it.
- Usage rights – What exactly you own and can use when you buy the property – more of an issue when buying condos, town homes and co-ops.
- Payment to agent – The amount the real estate agents are getting compensated.
- Additional Fees – Covers various fees such as title insurance, deed preparation fees, notary fees, transfer taxes, escrow fees, title search fees etc.
- Escrow holder – The party holding the deposit funds.
- Assessments and pro-rations – Details how the yearly taxes the sellers may have already paid, mortgage interest etc. will be paid and by whom.
- Contract expiration date – When the contract expires and is no longer legally binding.
- Damage to property – Details what will happen if the house is damaged or destroyed while in escrow or under contract with you before closing.
- Possession – When the seller will move out and you can move in.
- Time is of the essence – You and the seller must have the closing before the expiration date or the contract is null and voided.
- Seller representations – Details the promise the seller states to be true about the condition of the house you are buying.
- Entire agreement – Statement insuring that the purchase and sales contract is the only agreement between you and the seller.
- Signatures – The final action that makes the contract legally binding.
Posted at 02:12PM Oct 05, 2009 by Sandy Daniels & Tanya Stevenson-Becht in General | Comments[2]
Helpful Household Tips!
25 Helpful Household Tips!
Momma always said “An apple a day keeps the doctor away!” Here are a few other tips to use around the home from the best way to open a banana to how to keep those fruit flies out of the kitchen!
1. Peel a banana from the bottom and you won't have to
pick the little 'stringy things' off of it. That's how the primates do it.
2. Take your bananas apart when you get home from the store.
If you leave them connected at the stem, they ripen faster.
3.Store your opened chunks of cheese in aluminum foil.
It will stay fresh much longer and not mold!
4.Peppers with 3 bumps on the bottom are sweeter and better for eating. Peppers with 4 bumps on the bottom are firmer and better for cooking.
5.Add a teaspoon of water when frying ground beef. It will help pull the grease away from the meat while cooking.
6.To really make scrambled eggs or omelets rich add a couple of
spoonfuls of sour cream, cream cheese, or heavy cream in and then beat them up.
7.For a cool brownie treat, make brownies as directed. Melt Andes mints in double broiler and pour over warm brownies. Let set for a wonderful minty frosting.
8.Add garlic immediately to a recipe if you want a light taste
of garlic and at the end of the recipe if your want a stronger taste of garlic.
9.Leftover snickers bars from Halloween make a delicious dessert. Simply chop them up with the food chopper. Peel, core and slice a few apples. Place them in a baking dish and sprinkle the chopped candy bars over the apples. Bake at 350 for 15 minutes!!! Serve alone or with vanilla ice cream.
10. Heat up leftover pizza in a nonstick skillet on top of the stove, set heat to med-low and heat until warm. This keeps the crust crispy.
11. Easy Deviled Eggs. Put cooked egg yolks in a zip lock bag. Seal and mash until they are all broken up. Add remainder of ingredients, reseal, keep mashing it up mixing thoroughly, cut the tip of the baggy, squeeze mixture into egg. Then throw bag away when finished
12. Double Your Frosting!When you buy a container of cake frosting from the store, whip it with your mixer for a few minutes. You can double it in size. You get to frost more cake/cupcakes with the same amount. You also eat less sugar and calories per serving.
13. Reheat bread and keep it moist! To warm biscuits, pancakes, or muffins that were refrigerated, place them in a microwave with a cup of water. The increased moisture will keep the foodmoist and help it reheat faster.
14. De-weed your garden. Weeds can push their way through plastic but not through wet newspaper. Next time you go out to your garden take some wet newspaper and layer in around the plants overlapping as you go and then cover with mulch.
15. Use a wet cotton ball or Q-tip to pick up the small shards of glass you can't see easily.
16. To keep mosquitoes away place a dryer sheet in your pocket.
17. Keep squirrels from eating your plants, sprinkle your plants with cayenne pepper. The cayenne pepper doesn't hurt the plant and the squirrels won't come near it.
18. To get something out of a heat register or under the fridge add an empty paper towel roll or empty gift wrap roll to your vacuum. It can be bent or flattened to get in narrow openings.
19. Pin a small safety pin to the seam of your slip and you will not have a clingy skirt or dress. Same thing works with slacks that cling when wearing panty hose. Place pin in seam of slacks and static is gone.
20.Before you pour sticky substances into a measuring cup, fill with hot water. Dump out the hot water, but don't dry cup. Next, add your ingredient, such as peanut butter, and watch how easily it comes right out.
21. Hate foggy windshields? Buy a chalkboard eraser and keep it in the glove box of your car When the windows fog, rub with the eraser! Works better than a cloth!
22. If you seal an envelope and then realize you forgot to include something inside, just place your sealed envelope in the freezer for an hour or two. Viola! It unseals easily.
23. Get rid of pesky fruit flies! Take a small glass, fill it 1/2' with Apple Cider Vinegar and 2 drops of dish washing liquid; mix well. You will find those flies drawn to the cup and gone forever!
24. Put small piles of cornmeal where you see ants. They eat it, take it ‘home’, and can not digest it so it kills them. It may take a week or so, especially if it rains, but it works and you don't have the worry about pets or small children being harmed!
25. Get soft hands without spending a lot on the specialty salt scrubs. Take a dab of olive oil and pour regular salt from your salt shakers into your hands then scrub, rinse, and wash with smell good soap for the same results!
Posted at 12:00PM Sep 21, 2009 by Sandy Daniels & Tanya Stevenson-Becht in General | Comments[0]
What Will You Spend $8,000 on in Colorado Springs?
What if the government decided today that, instead of bailing out Wall Street, it was going to give every American $8,000? What would you do with the money
The Dream:
For most Americans, paying off credit card debt would be a great way to use the free money. According to a Nilson Report released in April 2009, the average credit card debt per household in the US was $8,329 at the end of 2008. That money from the government would almost wipe out your debt completely. Imagine being completely debt free.
Healthcare is a big topic these days. According to the most current Census Bureau statistics, some 45.7 million Americans do not have health insurance. So, many Americans might choose to use their $8,000 to enroll their family in a healthcare program through their employer. The federal government tracks the average spending on health insurance for people with job-based coverage, and the most recent figures (from 2005!) indicate that the average individual's premiums were $3,991, while families spent an average of $10,728. Your $8,000 would go a long way in insuring your family.
Some Americans might choose to start a small business. Experts estimate that start-up costs for many new business ventures are between $10,000 - $15,000. With $8,000, a large portion of your initial investment would be covered.
If you really think about it, there are so many things you could do with $8,000. You could open a 529 college savings plan. You could add your 8 grand to the government's $4,500 Cash for Clunkers plan and buy a new car. You could take your family on an amazing once-in-a-lifetime vacation. You could open an IRA and save for retirement...
But what's the point in dreaming. The government's not giving away $8,000, right?
Wrong.
It's Reality!
Right now, through November 30th of this year only, the government is giving qualifying first-time home buyers up to $8,000 for purchasing a home (or up to 10% of the purchase price). This is free money that you do not have to pay back. And here's the best part: if you qualify, you can get your money from the IRS this year, even if you've already filed your 2008 taxes.
There are, of course, limitations and other qualifying factors, but they are all pretty reasonable and easy to explain, and we'll be glad to discuss these with you or anyone you know who is looking to buy a home. With today's combination of lower home prices and lower interest rates, this temporary incentive from the government is really a great option for many Americans who act now to finally fulfill their dreams of owning a home.
Many Americans have already taken advantage of this amazing opportunity! We are experts in receiving this credit and would love to help you find your perfect home before this offer ends!
If you or anyone you know anyone who is looking to buy a home, sell your home or refinance a home, please forward their name and telephone number to us. Now the Question is
What Will You Spend $8,000 On?
Posted at 03:32PM Aug 26, 2009 by Sandy Daniels & Tanya Stevenson-Becht in General | Comments[0]
See Denver Without Spending a Penny!
Free Days at Denver Museums for 2009
Colorado Residents Receive Free Admission
Do you love going up to Denver to spend the day? There are so many things to see and do, from City Park to Mile High Stadium to Elitches! This year the SCFD (Scientific & Cultural Facilities District) in Denver is sponsoring free days at museums, zoos, and botanic gardens across the Mile High City. The SCFD sales and use tax of 0.1% provides the funding for free admission to Colorado residents. But do note that a Colorado driver’s license or ID may be required for admission so don't leave that behind.
If you want to know about any particular place just click on the title and it will take you to their website!
100 West 14th Avenue Parkway, Denver, 720-865-5000
The Denver Art Museum offers the first Saturday of every month designated as a FREE DAY, (except for July this year because the first Saturday is July 4th.) The Denver Museum of Nature & Science offers the most free days, expanded from eight last year to 12 this year.
1005 York St., Denver, 720-865-3500
- Saturday, September 19, 2009
- Friday, October 23, 2009
Denver Botanic Gardens at Chatfield
8500 Deer Creek Canyon Rd. Littleton 303-973-3705
- Friday, November 6, 2009
- Firday December 4, 2009
Denver Museum of Nature & Science
2001 Colorado Blvd., Denver 303-322-7009
- Sunday, September 13, 2009
- Sunday October 4, 2009
- Monday November 2, 2009
- Monday November 22, 2009
2300 Steele St., Denver 202-376-4800
1. Wednesday October 7, 2009
2. Sunday, October 25, 2009
3. Sunday November 8, 2009
4. Wednesday November 11, 2009 (Veterans Day)
Posted at 01:25PM Aug 21, 2009 by Sandy Daniels & Tanya Stevenson-Becht in General | Comments[0]
Colorado Springs Real Estate Market Statistics
The PPAR (Pikes Peak Association of Realtors) recently released housing market statistics outlining the progress of three important areas : Total Sales, Average Days on Market, Total Pending Listings in the past year.
The market has taken a big hit over the past few years. It seems every real estate office has gone from not being able to hardle take a breathe from work to simply trying to keep themselves busy. The past few months have surely seemed like a breathe of fresh air as home sales are up and seem to be increasing! Based on the following graphs we are seeing great potential for the months to come! This is a relief for our entire economy!
The big question is, what cause this rise in sales? It surely isn't a decrease in the unemployment rate. The Bureau of Labor Statistics show that the current unemployment rate for Colorado is 7.8%. This is up from 7.4% in April of 2009 and 5% in June of 2009.
The government has definetly done their part with the $8,000 new home buyer tax credit giving a boost to all those who bought a home between January 1st 2009 and Novermber 30th 2009 (which means there is still time for those who are still concidering taking advantage of this opportunity!)
The real answer might be that the fear of our economic state is dying. We've come to realize that we have made it through the worst of it all and are hopefully on an upward slope to a better economy!
Posted at 03:07PM Aug 19, 2009 by Sandy Daniels & Tanya Stevenson-Becht in General | Comments[0]
FHA or Conventional?
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FHA or Conventional? You make the call!
Below is an example of FHA and Conventional financing requirements for a $300,000 sale price on a single family residence.
Please give us a call at 866-548-9996 to find how Park Avenue Properties can help you~
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Posted at 01:10PM Aug 12, 2009 by Sandy Daniels & Tanya Stevenson-Becht in Real Estate | Comments[0]
