$700 billion… Now that’s a lot of cash! What woud that buy us these days? This short clip might help put it into perspective for you!

I read an online article about SRP and their new annual report and how they’ve gone to online video and data.  I haven’t actually seen the report, but it sounds like a great idea, based on the statistics the article provides.  According to the article, SRP printed 6,000 less copies of the annual report and used more recycled paper on the reports they did print, saving about 161 trees!  Not to mention saving 68,700 gallons of water and avoiding the output of 10,000 pounds of greenhouse gases.  When you stop to reflect what goes into the making of something as simple as an annual report, and the resources we use, it’s shocking.  From the above statistics you can see what we can do to save some of our resources just from using current technology!

Want to do a little conservation of your own?  Here are a few tips:

Did you know you can receive you SRP bill online?  Just go to www.srpnet.com, log in, and sign up for the electronic bill.  That in itself can save a lot of paper!

While you’re there you can also check your daily power usage, and compare it to the average household.  This will give you an idea of where you stand with you power usage.  From there you can use the Home Energy Manager to figure out ways to lower your power consumption, and your bill.

There are several great tools online with SRP for you to use to help you lower your energy usage, and your monthly bills.  Be sure to get on there and check out what they have to offer.  Not only can you save money, you can help to conserve our resources!

In an effort to get out more with the family and get some physical activity, my wife and I decided to schedule in time each month to do some day hiking. There are so many Arizona hiking trails, it’s easy to find one!  We get so busy in our daily lives with family and work, we really forget to take time for ourselves.  I swear, I think it’s been more than 7 or 8 years since we’ve gone camping!  For our first family adventure we thought we’d get away from the valley and go up north about 50 miles past Payson to Kinder Crossing Trail.  It was the hike of the month in the Arizona Highways magazine. 

So we made the drive up to the trail head.  It was a really nice and easy drive, especially between Phoenix and Payson.  There’s no oncoming traffic to worry about, and you can just concentrate on your own driving, and even enjoy the views.  As I mentioned, Kinder Crossing Trail is about 50 miles north of Payson on route 87, just past the Blue Ridge Ranger Station.  We turned right on Forest Road 95, and made a left about 4 miles down the road on 95T (at the Kinder Crossing Trail sign).  The roads were pretty good up until that last left on 95T.  I would definitely recommend making your way by truck if you can.  We were in our car, and we made it just fine, but I would have felt better in a vehicle with some clearance!  We arrived at the trail head, had lunch and started on our hike.  The first section of the trail was fairly easy as we made our way to the 600 foot descent into the chasm below.

A glimpse across the chasm at Kinder Crossing Trail

My wife looking up the creek, watching another hiker cast his fishing line.

Resting at the bottom of the chasm at the creek at Kinder Crossing Trail.

Watching the crayfish at the bank of Clear Creek.

A shot down clear creek right before the crossing

At this point we decided to cross the creek, and see what was just over that hill in the above picture.  We found a small water fall and a nice sized pool of water, surrounded by rock formations.  It looked like it would be nice for a swim if it were a little warmer! 

Out as far as we could go before the path dopped off into the pool.

Rock formations surrounded the pool and creek.

I hear the trail goes on for another mile or so, but there were no markings that we could really see.  If you’re adventurous and get there early enough, you could keep going!

I would definitely recommend this hike, if you’re looking to get out and see something new!  It was just what the doctor ordered for us! 

The hike back up was a bit more strenuous than down, as you would probably imagine, but we made it ok! - A little tired at the end there, but no worse for wear!

 Click here to enlarge chart

East Valley, Arizona (Chandler, Gilbert, Mesa, and Tempe) single family home sales for the month of September came in at 1,215 units.  The average sales price was $233,063 with an average days on market of 90.  Sales are still holding above 1,000 units per month.  The number of homes currently listed, as of October 02, is 7,385.  At the current pace of buying there is about 6.1 months of inventory still available on the market for the East Valley.

 Click here to enlarge chart

Interested in obtaining a market analysis of your home?  Email me at Nathan@ezlistaz.com.

Well, it’s certainly been an eventful week! I don’t know about you, but I’ve had my ear glued to the radio listening to everything that’s been going on. I needed a break, and ran into something that you might find interesting. It’s just some good clean (messy actually) fun on a Friday! - A little early, but that’s ok…

Many homeowners here in Phoenix, and the surrounding Maricopa and Pinal county areas, are still in danger of foreclosing.

This is a tough question to ask (and to be asked, for sure), but it is a question I ask these days of homeowners when they contact me inquiring about selling their home.  There are many people here in the Valley that are facing ARMs that are ready to adjust, or have already adjusted, or have had any other life happenings that would bring them to the need (not necessarily the want) to sell their homes…quickly…

As the real estate market has changed here in the Chandler, Gilbert, Mesa, Queen Creek, and other Phoenix areas (and across the U.S.), home prices have tumbled (to put it lightly), and many homeowners have found themselves upside down in their homes, otherwise known as owing more than the home is worth.

Homeowners who need to sell, and owe more than the home is worth, need to sell their home short of what is owed, also referred to as a short sale.

Click here for a basic overview of a short sale.

If you have come to the decision that a short sale is your only course of action, one of the first questions that may come to your mind is this: “How do I go about selling my home short, and what can I expect over the next several months?”

The first thing you should do:

Call 888-995-HOPE (the Homeownership Preservation Foundation), schedule a counseling appointment and GO SEE THEM!  The Homeownership Preservation Foundation was founded to help you keep your home by working out an arrangement with your lender(s). Visit them online: http://www.995hope.org/   If you really want to stay in your home, this should be your first step.

***Click here for an overview of new housing legislation, enacted to help you stay in your home***

If there just isn’t any possible way to keep your home, then you may want to proceed to the next steps:

***Remember each individual’s situation is different. There are many different circumstances, from who one’s lender is, to one’s annual income and other life matters.  Please use the following only as an informational piece.  Consult your Realtor, accountant, and/or lawyer for specific information for your specific needs!***

Get a copy of your credit report at www.annualcreditreport.com.  This is a free service (from a government mandated site) and will not only let you know where you stand financially, but could also be a piece of the short sale “package” that your Realtor may send to your lender.

Get your records ready and make copies of all of your financial statements. This will also be a part of your short sale “package”.

Next, contact a Realtor in your area and schedule an appointment to talk about putting your home on the market.  Once you have decided on a Realtor, and decided on an initial list price, it will be time to put your home on the market.

Here in Phoenix it’s extremely difficult (impossible, really) to predict when and at what price a home will ultimately sell.  Each market (the East Valley, for example) is different, and there are many smaller markets (Chandler, Gilbert, Mesa, Queen Creek, and the subdivisions within those cities) within those markets.  You will need to have patience and need to keep up with the current market in your area to be sure you are in the correct pricing “ballpark”. This will allow you to get the most showings possible, with the end result being an offer presented.  When offers finally come in, be prepared for some offers to be quite a bit lower than your asking price.  This doesn’t always happen, but it is very possible.  These “lowball” offers are typically fishing expeditions (someone looking for a great deal).  Consult with your Realtor on how to proceed, just keep in mind that if you’re receiving offers, you’re most likely in the correct pricing area.

As soon as you’ve decided on an offer, your agent will send in the short sale package to your lender(s).  At that point you will play the waiting game.  Remember, your lender, and the associate assigned to your file (in the department sometimes referred to as loss mitigation), are also working hundreds, if not thousands of files just like yours.  Patience is the key here! Keep in mind that your Realtor will continue to “work” the file and keep in contact with your lender as much as possible.  Be ready to wait up to two months or more to receive a response from your lender on the offer you’ve submitted to them.

Every lender is different, and there are a countless number of circumstances that may surround your particular situation.  Not every lender will agree to a short sale, and typically there is no way of finding out if they will or not until you get to this point.

If your lender has agreed to the terms of the offer you’ve presented to them, they will send you an agreement letter and you will then be able to proceed with the sale of home, assuming the buyer that has put in the offer is still waiting to buy the home.  In many short sale cases here in Maricopa and Pinal counties, the first potential buyers have moved on because they are just unwilling to wait so long for a response. Thankfully they DID put an offer in, and ultimately helped you to receive an agreement letter from your lender!  At that point, you’ll have to continue marketing the home until you find a buyer at the lender’s agreed upon price (or maybe you already have backup offers).  Then, if all goes well, within 30-45 days or so (after having a contract) you will have accomplished your goal, and sold your home, rather than letting it foreclose.  You can now get on with life.

**NOTE**  There may be tax and or legal ramifications in regards to selling your home short.  It is highly recommended that you consult an accountant and/or attorney before deciding on a course of action.

If you have more questions about short sales in Chandler, Gilbert, Mesa, Phoenix, Queen Creek  or the surrounding Maricopa or Pinal county areas, please feel free to contact me, my phone number is 480-529-6329.  My email address is Nathan@ezlistaz.com.

Number of home sales in the East Valley - Phoenix

The number of East Valley (Chandler, Gilbert, Mesa, and Tempe) sales for the month of July came in at 1,284 units (the average sales price was $245,194 with an average days on market of 117). Up from 1,146 units sold for the month of June.  The number of monthly sales are still holding steady, well above 1,000 units.  The number of homes currently listed, as of August 3rd, is 9,555.  At the current pace of buying there is about 7.5  months of inventory on the market for the East Valley. 

Queen Creek Number of Sales for July

The number of single family homes sold in July was 372, up from last month’s total at 360 units. Homes are still affordable in Queen Creek, and buyer’s are still willing to purchase at these prices.  July’s average sales price was $169,068.  The average days on market for homes sold were 97, falling significantly from last month’s 123 average days on market.  At the current level of buying, there is approximately 4.5 months worth of inventory in Queen Creek.

If you’re considering selling, or currently looking for a real estate agent to sell your home, please email Nathan@ezlistaz.com, or phone 480-529-6329.

… in a nutshell…

FHA Mortgage Refinance and Insurance Program

This would assist troubled homeowners by allowing them to refinance to a lower mortgage with an affordable rate.  It’s a voluntary program to both the borrower and the existing mortgage holder.  The existing mortgage holder would need to agree to release the lien at an amount less than owed.  There will eligibility requirements that both borrower and mortgage holder will have to meet.  In addition the new loan may not exceed 90% of the appraised value of the home.  No second liens will be allowed for at least 5 years.  HUD will be entitled to 50% of the appreciation in the appraised value of the property (HUD will be entitled to 100% of the first year’s appreciation).

Federal Housing Finance Agency to Oversee Fannie Mae and Freddie Mac

This will be a new independent agency to oversee, and regulate Fannie Mae and Freddie Mac.

The Treasury Department will also be granted emergency authority to purchase securities, including equity, and will also increase the existing credit lines of both Fannie Mae and Freddie Mac.

Mortgage Disclosures

The Truth in Lending Act requires delivery of certain disclosures 7 days prior to loan origination.  These disclosures must include examples of how payments would change with a rate adjustment.  The maximum possible payment must be disclosed.  The borrower must receive these disclosures before paying any significant loan fees.

Loan Originators Must Be Licensed

The licensing can be either State or federally regulated, as necessary.  All individuals involved in originating loans must be licensed and registered with the State or HUD.  Minimum standards must be met, including education (and continuing education), and testing. 

FHA to Raise Loan Limits

Limits will be raised to a minimum of $271,000, and the minimum down payment will increase to 3.5% of the purchase price.

Other Noteworthy Inclusions

$3.9 billion in community grants to purchase abandoned and foreclosed properties.

The extension of servicemembers foreclosure protections from 90 days to 9 months.

Creation of credit and housing counseling programs

A first time homebuyer tax credit and increase of the standard deduction for property taxes.

There are other provisions to this Act.  Please feel free to visit this website http://banking.senate.gov/public/_files/HousingandEconomicRecoveryActSummary.pdf

for more information.