Late and Busy in April 

I try to get a blog out at least once a month with a link to my newsletter, however April has been busy, which is very good.  Some reasons it has been busy: 

. First time home buyers credit is expiring the end of the month so we have had a good number of people looking. 

. Interest rates are still very low 

. Buyer who are retiring are coming to Montrose to look around and buy 

. The weather is getting a bunch better, some green grass and this morning the apricot trees are starting to bloom.  Pink blooms and green grass, absolutely beautiful 

. The Olathe Village affordable home project is well under way 

A new and exciting project Montrose-realestate.com in conjunction with Garrett Investments is the Olathe Village affordable housing project.  Good quality homes of around 1100 s.f. in a great rural setting with city services for around $130k.  The Montrose County Housing Authority has 4.5 ac. of land which these homes will be built on.  There are income requirements and some deed restriction, but all in all a great way for a family to get out of the rental home and into home ownership.  Give me a call if you have any questions. 

If you are considering listing your home we have a fantastic new tool in our tool box, the epropertysites.com.  This will allow for homeowners to have a website dedicated to their home with virtual tours, voice over, and links to all the many sites such as Craig’s list, zillow, etc.  This is an absolutely fantastic way to get your property exposed.  If you are considering listing with someone who does not have this tool, you may want to reconsider.  Epropertysites.com is sponsored by Josh Applegate at Prime Lending.  It just goes to show what a really good lender will do for you. 

Enjoy spring!! 

April Newsletter link http://realtytimes.com/137/ScottScarborough

THE LION IN MARCHOk, here we go again with more government programs to save Real Estate.  Attended a short sale class and I see short sales are on the MSN Home page. Will this help?  Not sure and here is why.  The lenders are going to have Realtors do Broker Price Opinions (BPO’s) on homes in trouble.  Well we all know some Realtors are a bit more optimistic than others and they may come up with a unrealistic price, for more commission or maybe to just get the listing.  Well if they do, guess what???  The home won’t sell because it is priced to high.  The lenders are trying to unload these bad loans and they will get “some” money from a short sale, if the investor or perhaps even the first time home buyer steps up to the plate or the investor thinks it may be a good deal.  If the big investor groups step in and by blocks of homes from the banks that may work, but I bet they will be buying at 10 cents on the dollar and not the BPO dictated short sale price.   

The loan modification program is not working to well so the outlook overall is grim.  Hate to be negative, but when I talk to more and more people who have been laid off, you have to be realistic.  The folks who lost their job are not going to be buying anything. 

Well what to do if you want to buy right??  Be an educated buyer, get with a good Realtor who is very realistic about market prices, have the Realtor show you sold comps, study the trends, and find out what you can do with the home once you own it.   

Here is another great tool for buyers if you have some time.  Look into the FHA 203-k program, it has been around for a long time and it allows you to borrow money to fix up a home and roll all of the costs into a permanent loan.   Give me a call or drop me an e-mail if you have any questions on this. 

What to do if you can’t make the payments or it is looking like you will not be able to make them in the future?  You are going to have to visit with some Realtors to find out what your home is really worth, and I would talk to at least 3.  Again, have them show you the comps of active and sold listings, time on the market, they have all the details to help in your decision.  If you are realistic about pricing and committed to preparing the home for sale, you may very well beat the short sale program, sell your home in a shorter period of time and maybe, just maybe, come out ahead.  Remember a well prepared home will have an advantage over a home that looks, and smells bad.  Accent the positive attributes of your home, every home has some advantage so use that.  

Newsletter link http://realtytimes.com/136/ScottScarboroughSincerely,Scott ScarboroughOwner/Broker Montrose-realestate.comIf you do not want to receive these e-mails, please let me know.  

Mid January blog/rant/etc. 

We are going to go over some strange mortgage information that should give you a bit of an advantage. 

Let’s start out with some good news on the lending front.    Did you know that in the past if you wanted to buy a home which was a really good deal, say 10% to 30% below market value and do a bit of work on it and then sell it for a bit of a profit, you were limited to whom you could sell it to…  Wait a minute the last time I looked this was America the land of free enterprise, make a profit if you can and basically do business.   Well our government was watching out for  everyone.  They felt that if a buyer was getting an FHA loan (Gov. backed) the buyer should not help make the seller make too much money.  This was just amazing.   The seller after making the initial purchase had to wait 90 days to sell to a buyer with a gov. backed loan.   Well the good news is, that restriction has been dropped, unless the new purchase price is more that 20% more than the original cost, then the lender will have really look closely at the loan.  Please note that if you upgraded or repaired the home that can be added to the original cost too.  But, but it just seems wrong that the gov. can restrict the amount of money you can make.   

Bad news…Does everyone know who and what a loan underwriter is??  This person holds more power than the President.  They are the individuals that go over loan applications with a fine and I mean fine tooth comb to source out anything that could possible cause a loan to go bad.  Now I realize they have been charged with an awesome responsibility by the investor and that is ok.  The bad news is that now they are really, really looking at everything and causing many loans to be denied.  If only they would have done that a couple of years ago.  More knee jerk reactions.  What this means is that to get a home loan you probably better be squeaky clean. 

We are seeing an uptick in buyers; I think there is a huge pent up demand for Real Estate.   From an early age it was beat into our brains that owning property was the way to go.  We strived to reach a point where we could own land or a home.  Americans (I think) still have this passion for owning Real Estate and now they see these huge bargains on REO property and it fuels the passion even more.   Well that’s ok, owning property is still a good thing.  Remember if we don’t own it someone else will and then we will be at their mercy.  Not good!  

So what to do??  Well mortgage rates are still good and if you can get a loan, do it now.  If you are having problems getting a loan, ask for owner carry, you may have to pay a bit more, but you can reach your goal.  Buy smart, look at price per square foot, look at location, and negotiate.  Buyers don’t hesitate to make an offer; you never know what will happen.  Sellers, remember this is just business don’t get offended with a low offer, counter back, keep the ball rolling and you may get your property sold. By the way this negotiation program work a bunch better when you have a Realtor do it for you.  Buyers and sellers can let emotions get in the way and possibly blow a deal.    Negotiation is the most important part of our service to you the buyer and seller.  

I try to keep this to one page, but mortgage information is important and I think we will be seeing more changes as time goes on, both good and bad. 

Thank you for your time. 

Sincerely,Scott ScarboroughOwner/BrokerMontrose-realestate.comIf you do not want to receive these e-mails, please let me know.scott@montrose-realestate.com 

New Year Update 

Hopefully everyone had a great holiday season, Christmas, New Years, very busy and fun time.  Much news from the holidays and this week, both political and scary stuff.  Flying is going to get tougher and tougher and that is probably the plan of our enemies, but that is another story. 

Many responses from my little survey on the economy, it seems that confidence is not too high that home prices will stabilize and start going up.  Well it is too early in the year to call the game, so we will keep an eye on this.  

News that you can use… Never pass up the chance to visit with people, especially mortgage folks.  New and exciting programs coming out every day and some old stuff that still works.Sellers, did you know that you can contribute up to 6% of the purchase price to the buyer?  3% on conventional and 6% on FHA loan.  A good move vs. lowering the price.  Buyers, keep this in mind when negotiating.  You can use this money for a number of things, such as an interest rate buy down.Mortgage wraps could be coming back in style. In the late 80’s this was a popular way to get into a home.  Many things you need to know before getting into this boat, so talk to someone, Realtor, mortgage banker or attorney.  Another option in these crazy times.Josh Applegate with Primelending  went over these options when he stopped by.  Again, take time to visit with folks. 

January Realty Times news letter link below.  Hope you take some time and look over it.http://realtytimes.com/134/ScottScarborough 

The whole deal with this blog and the newsletter is to help keep you the buyer or seller informed on what is going on and some ideas on how to get a home sold or buy one.  If you have any personal experience that worked out well and want to share it, let me know and I will post it. 

Oh yes, buy of the week, can’t forget this.  Looking to build in the country?  Look no further. A 1.3 ac lot on Spring Creek Mesa.  We searched the MLS  prior to pricing, both sold comparables and what is on the market.  Average sold price in the last 12 months was around $77k.  Currently the lowest priced lot on Spring Creek Mesa is $69,900.  Our price $64,900.  We are way below sold average and below anything else.  This is a great lot in a great subdivision. This is not in foreclosure or a short sale, just a good deal and a sign that it is a good time to buy.  

Sincerely,Scott ScarboroughOwner/BrokerMontrose-realestate.comIf you do not want to receive these e-mails, please let me know.scott@montrose-realestate.com 

First day of winter.We need a good cold winter to set the fruit trees and kill off the bugs and keep people from looking at homes.  It used to be that in the winter sales (in this area) did slow down, in the past boom times it was busy even in the coldest time.  Sales statistics show a modest increase in sales in November.  Remember you can look at my web site and see the sold stats.  This will help you as a seller to know what you are up against and as a buyer you can see that it is a good time to buy. 

What will the New Year bring in Real Estate?  As a Realtor I get this question a bunch.  I look at the person, put on my best smile and say “I don’t know”.  Not to informative.  Well I don’t know.  It seems to change from day to day. What you hear out of Washington and the banks seems optimistic; however the street news is a bit more realistic and dire.  If you have been trying to sell your home for the last 8 months with no offers and the creditors are at the door, I don’t think you are too optimistic. 

Perhaps as readers and people who are interested in Real Estate have a better feel for the market, or would at least like to prove to yourself that you are smarter than the rest. So here how this works, send me your 2010 Real Estate forecast.  Categories (to keep it simple) are;Housing market will stay the same.Housing market will improve at least 10%Housing market will continue to decline ( more foreclosures, prices will decline) 

Try to get me your forecast via e-mail scott@montrose-realestate.com by the end of Dec. and I will post the percentages for the three categories.  By midyear 2010 we should have a good idea where we are going.  You will know if you were right and I will know who I should contact for more good advice. 

A couple of marketing items.  We have a really nice custom, professionally decorated vacation rental here in Montrose.  If you are looking at skiing in this area and would like a 2500 S.F. home with 3 beds and 3 baths let me know.  We can save you a bunch of money over resort lodging.  We also can arrange shuttle service to Telluride from here.  If you are a qualified buyer coming out to look at homes we will give you a substantial discount on the rental while you are in town.  

We also have some very nice rentals, starting at $950 going up to $2500.00 per month. 

Ok enough business; take some time to enjoy the Christmas and New Year’s Holidays.  Back on board in Jan. 

Sincerely,Scott ScarboroughOwner/BrokerMontrose-realestate.comIf you do not want to receive these e-mails, please let me know.

Here are a few of the latest blogs that I sent out on my e-mail newsletter.  If you want to receive these just drop me a note.

Real Estate Aficionados: 

Thanksgiving  specials!!! 

Wow, two really good deals on the market now. 

MLS 634905  8.5 ac.  for $135k on Carnation Rd.  just north of Olathe and about 1 mile East of Hwy 50 N. 

This property is not in a subdivision, has irrigation water, good access, great views, easy to build on and VERY importantly does not have a lot of crazy covenants.  IRC home are allowed, horses, cows, chickens ok.  Make sure the rooster isn’t two noisy or gets up late.We have access to financing  so don’t worry about that.  Give me a call or e-mail. 

MLS 635277 1016 Sunnyside, $144,900.00, 1834 S.F., that’s $79.01 per S.F.  3 bed, 2 bath 2 car garage. This is bank owned property!  I haven’t been in but I’m sure it needs a bit of work.  Sunnyside is a fairly busy street, but there are some nice homes in the area.   Please note this price is what you would have paid back in 2002.  So is it a good deal? Oh yeah! 

Sincerely,Scott ScarboroughOwner/BrokerMontrose-realestate.comIf you do not want to receive these e-mails, please let me know.scott@montrose-realestate.comReal Estate Investment 101 

So what is really a good deal??  We all know the three L’s and that is still very,very important.  I would pay a bit more for property in a good location vs. less for a property in a bad location.   Grading location is another great topic and it may not be as easy as you think.   

We are still seeing a good number of REO properties coming on the market here in Montrose; some are good deals, others not so hot.  Remember what homes sold for in the late 90’s and early 2000.  I found some old flyers and the Price Per Square Foot (PPSF) was around $89.00.  If you see a home that has a PPSF less than that you had better take a good long look at it!!  I see one now at $79.43 and I’m definitely going to look at that one.  728 S. 9^th.   Give me a call we can look at it together. 

Now please remember these homes are not new and move in ready.  You had better be ready to get dirty, (maybe call Mike Rowe from Dirty Jobs).  Still if you do not have the time or energy to do the work, there are a bunch of folks out there that will do the work at a great price.  Give me a call for names and numbers. 

This will be a fun month and we can all start getting ready for the New Year. Make plans NOW. 

Please take a look at my newsletter via the attached link and don’t bring me any more turkey. 

http://realtytimes.com/133/ScottScarborough 

December 11, 2009 

Hold on, more government help is on the way!!! 

Actually this may be somewhat of a good deal.  If you know of anyone who is having a bit of trouble with their house payments and may be on the way to foreclosure, this program could help.  Basically bank would rather have the home sold vs. taking it back on a foreclosure so if the loan is NOT a Fannie or Freddie backed loan this new program could work for the home owner who is in trouble.  Please note that Freddie and Fannie will have a similar program very soon. 

Here we go… Home Affordable Foreclosure Alternatives program or HAFA.  This only applies to homeowners who are going to lose their home and this is a short sale program or deed in Lieu program. They are trying to streamline the short sale procedure which can be a real bear for both the home owner and potential buyer.  Determining an market price prior to marketing the property, clear cut time lines that everyone has to follow, monetary incentives to the home owner for relocation costs, removal of any potential judgment on the homeowner for deficiencies,  money to the closing company and money to the investor for allowing some proceeds to go to junior lien holders.   The program is covered in a 40 plus page document so it is not a coffee break read.  You may want to go to www.makinghomeaffordable.gov  for all the details. 

As I mentioned, the short sale process is a real bear, however for the investor or homeowner buyer there can be some very good incentives to work through the ordeal.  The new program is designed to bring the seller and potential buyer together in an open discussion format to lay out the details of what has to happen and get everyone to agree to follow the guidelines.  So if you know someone who could be in trouble, this may help. 

Ok, I need to pitch or try to sell two new listings.  These are not short sales, foreclosures or the like, just good solid properties which are good Real Estate buys. 

2501/2505 Sunnyside, Duplex, 1360 SF each unit, 3/2/2.  Price $325,000.00  Backs up to the golf course, fishing in the canal in the summer, well landscaped.  One side is rented for $850 and if you look at that price for the other side you could possible get a 6% cap rate on the investment.  We started our Real Estate buying program with a duplex.  Lived in one side, rented the other side out.  With a duplex or multifamily you have the option of marketing it as a residential or investment property, which can help. 

TBD Highway 550/Terrace Drive. $1,700,000.00 Wow that’s a bunch of zero’s, but don’t panic read on…  Just before you get into Ridgway, Terrace Drive is on the left or East side.  This road takes you into a small large ac. subdivision.  Adjacent to this subdivision is a 35 ac. parcel that has the high ground, incredible views, easy access and is in the city limits so you can develop at one unit per ac.  Now I’m not sure developing is the right way to go at this time, but if you want and incredible home site that you can at some time develop this is it.  Every time I walk around on this parcel I’m amazed, it is so nice. 

Have a great weekend… 

Sincerely,Scott ScarboroughOwner/BrokerMontrose-realestate.comIf you do not want to receive these e-mails, please let me know.scott@montrose-realestate.com 

Happy Thanksgiving 2009!!!! 

Mr. Winter was here last week, about 6 inches of snow.  Very pretty, very cold.  Well it is mostly gone now, temperature in the mid 60’s oh yes that is much better.   

Ok, now what is the deal or deals in the Real Estate market.  Nationally we are hearing things are a bit better, however Real Estate is just a component of the entire economic picture and each of us has to look locally to see how “we” are doing.  If you live in Montrose and have cash, great time to buy, some absolutely great deals on bank owned homes.  First time home buyers are also cashing in on the current program which ends in Nov.  However, we hear this will be extended through next spring.   

Now is the time to start looking if you can qualify for this program.   Let’s look at what is happening in Las Vegas, the poster child for Real Estate.  Inventory is starting to run low due to the demand for homes that work for the  FTHBP.  Montrose has never had a huge inventory of homes that would qualify so LOOK NOW and get ready to pull the trigger as soon as you can.  As a Realtor there is nothing worse to say to a buyer than “gosh, there just isn’t anything on the market that will work for you”. 

To recap, great deals on Bank Owned homes and the FTHBP.   

Stop in or give me a call and we can get you on your way to home ownership or a very attractive investment. 

Eat a bunch of turkey and be “thankful” 

Scott

Uncle Sam to the rescue!! 

Oh this is just great weather we are having, nice cool nights and days, great color from the tree’s, grass is still green, fishing is very, very good.  Even the Real Estate business is active, yes that means there are some homes being sold and more importantly we are actually getting to closing and the lenders are lending.  Now this is not to say that everything is back  the way it was, no way.  It is still very, very hard to get loans approved and more importantly funded.  The big plus is the $8k tax rebate for first time home buyers.  This has helped a great deal.  Now we are seeing a bit of a rush by buyers to take advantage of this.  There is talk that this program will be extended and that will be a great help if it is.  Some other rumors is that the government may have some other programs in the works, will have to wait and see what that is all about. 

Hunting season (rifle) starts this weekend, not sure if we are going to see the large number of out of state hunters that we have seen in the past.  Since the weather has been rather warm for this time of year it may be interesting finding the elk. 

Oh yes,  back to Real Estate.  Still a mixed bag with low priced bank owned properties and 2008 priced homes.  So if you are looking for a “price deal” let me know and we can find the bank owned properties.  Remember, they probably will need some work.  If you are moving to the area and need a decent home to move into immediately, then we can look at the “normal” market. 

No doubt the rest of fall and winter will be an interesting time in the housing market, but my guess is that Uncle Sam will end up being the rich uncle we all have been looking for 

September Blog            Wow, almost fall, what happened to summer and the Real Estate market?   Many, many years ago this area was prone to seasonal selling, that is, in the summer months business was always a bit better than the dead of winter.  However prior to the bust and in the boom days, it was busy all year long.  We did see more activity this summer than the first of the year so that was good.   

I don’t think the ripple effect of the foreclosure market has hit Montrose as of yet and I really hope we don’t see too many foreclosures as it will impact the market. 

Ok, enough on what may be bad and let’s take a look at what is extremely good.  Thought occurred to me last week.  Location, Location, Location does and will work with homes and by golly it works with towns and areas.  We really live in a great area and folks will always come to a good area vs. a bad one.  So Montrose is very lucky because we have such great surroundings and it is a great town and Real Estate will always be a  bit better here than other not so desirable areas. 

Many of you have been on my web site and many of you are reading this now on my site.  My wife Marilyn put this together around 1999 and we have had tremendous success with it, in providing you timely and good information on what was for sale in the area along with other community info.  We are always open to hear from you on what you would like to see and any changes we could make that would make your search easier and more effective.  Drop me an e-mail and we will definitely take a look.  scott@montrose-realestate.com 

BTW  Marilyn fell a couple of weeks ago on our first camping trip of the season and broke her leg in two places.  She will be on crutches for at least 6 weeks. She is not a very happy camper at this time, probably because of the crutches and my cooking. Drop her an e-mail if you have time.  Marilyn@montrose-realestate.com 

If you searched for homes on my web site in the last week or so you may start getting my Realty Times newsletter.  It comes out once a month.  Great product with great info.  If you don’t want to receive it, just let me know. 

Thanks to everyone who uses my web site for their home search, and please let us know how we can help.  Even if you are a couple of years out on buying or just poking at the market, we do have some great tools to keep you updated and we really would appreciate your business.  Our youngest daughter Kyndall will start college this Friday, so we need the money. 

Montrose-realestate.com just put on the first of what I hope will be many concerts this last weekend.  We had Sharon Paquette and Andrea Bensmiller come in from Las Vegas.  They along with some great talent from Montrose (Yvonne Meek) put on a great show at our Pavilion.  We hope to have another concert early December with one of the members from the Frankie Vallie and the Four Seasons group.  That should really be great.  Stay tuned for more details. The goal is to provide excellent entertainment for the residents of Montrose. Just another way that makes this a great place to live.

4^th of July, Independence day, remember? 

So many people probably have no idea where this holiday came from… Oh we have a picnic this day and shoot off fireworks, that’s why we  have the day off. 

Well I won’t get too carried away,  but please try to remember the month of July as a great time in American History and the many sacrifices many people made so we can have a picnic, the day off and shoot off fireworks. 

Wow, talk about a crazy market here in Montrose…  Prices have not fallen as in other areas of the country and this is good for sellers, if indeed their home does sell.  Bad for sellers as many buyers think prices are too high and will rent or wait till the price does come down, if in fact it does. What we do know for sure is that folks still like the area and want to move here.  Many, many inquires about the area and housing.  It is that Location, Location, Location thing.  Montrose is in a great location so it will always be popular, so prices may not decline as much as in other areas.  I often time have to remind buyers that Montrose is not Detroit and show them on the map where the two locations are….. 

Summer is such a great time here in Montrose, so many great places to go within an hour drive, nice and green as we have had our share of cool wet weather.  My pond project is almost finished so perhaps I can enjoy some of the many great places around the area. 

Thanks for using our web site for your home search and have a great summer. 

Scott