Radius Real Estate LLC

Longmont Real Estate Testimonial

2011-12-15T05:47:00.000-08:00

To whom it may concern:

"We utilized Scarlett Neal to locate and secure a new home for our family as we intended to relocate from the mountains to the plains of Colorado. Ms. Neal showed us properties based on our selection criteria and never complained at all about our very specific tastes and needs. Her selected properties were very well matched to our requests and she ended up finding for us the perfect place.
Her assistance during the negotiations and during the pre-closing inspections was extraordinarily valuable. I had no idea how effective and useful a Realtor could be until I met Scarlett. Her attention to detail, experience and personal gumption set Ms. Neal apart from a sea of averages."

Steven R. Frank, Niwot, CO

BUILD NEW HOME ON 2.5 ACRES

2011-12-08T05:25:00.000-08:00

Amazing 2.5 acre lots in Berthoud. Lock in an amazing rate for the construction period. Visit www.radiusrealestate.ag to view this great opportunity. Have ay questions about the building process? Let me know how I can help.

scarlett Neal
scarlett@radius.ag
303-862-3232

To Gate or Not to Gate?

2011-10-19T16:33:00.000-07:00

To Gate or Not to Gate?

by Richard Thompson

Security concerns (fear for personal safety or loss of property) drive a number of reactions and technological solutions in homeowner associations. Developers sometimes install controlled entry gates to attract buyers that are more security sensitive. But most security alternatives are installed after a crime has been committed, much like closing the barn door after the horse has bolted. Reactive securitization is more about calming the fears of the victims than deterring future bad guys.

Security is more perception than reality. Installing fake video surveillance cameras (nothing works but a red blinking light) is often just as effective as installing the real ones. While security camera technology has improved considerably due to computer harddrives and the internet, getting a clear enough image to decipher license plates and to ID intruders remains elusive.

Installing large highly visible signs that read "WARNING: VIDEO SURVEILLANCE" can be effective in deterring break-ins. Again, the perception of security can be just as effective as high end and pricey technology.

Security guards are symbolic at best since they can only be at one place at a time. An entry guard does not prevent someone from coming over a wall. A clever burglar posing as a service provider (painter, roofer, gutter) can often slide by a careless guard if the owner isn't home to verify the service. Because crime can happen anytime, guards must be employed 24 hours a day, 7 days a week to give a reasonable level of security. The bang for the security buck is minimal. To gate or not to gate? The quality and maintenance of a gate system must be high since accessibility to the community by residents is critical. As Murphy's Law suggests, gate systems never break down during business hours and if they do, the broken part must be ordered. Is the potential cost and inconvenience worth it?

Gated communities are often viewed as elitist moat and castle affairs by outsiders. If your HOA is comprised of million dollar homes, maybe that is the look the residents are hoping for. If not, do the residents feel comfortable with sending this message to others? The gate can have the opposite effect of driving away potential buyers that believe gates are overkill.

As with many homeowner association issues, security is money driven. It is easy for residents to demand guards, cameras, gates and other assorted devices for protection but the cost of these services are usually prohibitive. When there is a real or perceived security threat, it’s best to hold a special meeting for the purpose of determining the level of interest in security to begin with. If a majority do not favor more or better security systems, why continue? Without the money, it's not going to happen. If a majority of the owners are in favor, hire a security expert to explore alternatives and their respective costs.

Usually when the costs come in, self help seems to be the most practical security alternative, in the form of a Neighborhood Watch program. Neighborhood Watch is a crime prevention program that stresses education and common sense. It teaches citizens how to help themselves by identifying and reporting suspicious activity in their neighborhoods. A Security & Safety Committee can be appointed to schedule resident training from the local law enforcement and post signs that are available on the internet. The Committee then monitors criminal activity, runs periodic articles in the HOA newsletter and raises awareness when necessary.

Whether you gate, camera, guard or watch, security is something every HOA should plan for and the residents cognizant of.

NEW LISTING NEAR LONGMONT CO

2011-10-05T11:46:00.000-07:00

http://www.radiusrealestate.ag/Longmont_CO_listings/D4B7196B-F36F-6BEA-1181477429FD6BEC.shtml

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40X60 METAL OUTBUILDING WITH ITS OWN BATH AND SEPTIC. 800 SQ. FT. APPROVED GROW FACILITY WITH 2 FLOWER ROOMS AND ONE VEG ROOM. STEP INTO A GREAT INVESTMENT.

Longmont Landscape

2011-09-28T05:34:00.000-07:00

Autumn Landscaping

by Carla Hill

Fall is the perfect time to add new life to your yard. The heat of the summer has passed and cold, hard frosts are still weeks or months away. This second chance planting season allows you to amp up your curb appeal.

Here are some lovely ideas for autumn planting!

Selecting the right plants, trees, and shrubs can be overwhelming. Many nurseries are full of colors, sizes, and varieties of plants. There are so many choices you don't know where to begin.

The initial step is to create a plan of action. Without a solid design plan you may end up having random plants that look ... random. Think both long and short term. What plants do you want now and how do you want your yard to appear years down the road.

To make sure everyone is on the same page, illustrate your plan on a large sheet of paper. Make notes for shapes of flower beds, what types of plants you want, where you'll mulch, and what size plants you'll need.

Next, do your research. Sometimes the best source of information is the nursery itself. You can see up close and personal what plants will fit within your design plan. Do you want small, evergreen shrubs for your front bed? Boxwoods are a great choice! Are you looking for a shrub with a bit more color? Consider using bayberry.

Think about how plants will look during the different seasons. Are there flower beds that will be filled with annuals during the summer and will be dormant in the Winter? Consider adding evergreen shrubs, such as holly, spruce, or yew in order to keep green color all year!

Now that you have a plan and know what plants are available, it's time to load up the car with the latest finds! Consider how long you have until the first frost. Plants need several weeks to become established.

Consider that flower beds look best when layered in textures, color, and sizes. Begin with taller shrubs in the back of a bed and work your way down.

When planting your shrubs and trees, be sure to dig a hole that is twice the size of the root ball. Stamp the dirt to remove air from the soil and then water well. Be sure to give plants plenty of room! Most plants and trees come with spacing instructions. Take into account how big trees will become 40 years down the road!

Many bulbs also need to be planted during the Fall. If you want beautiful hyacinths and tulips this next Spring, then do your planting in the Fall. Allow these items to settle a few weeks before topping with a think layer of mulch. Plus, remember to sweep aside the mulch when Spring arrives!

Fall is a wonderful time to spruce up your yard. Be thoughtful with your design and plant choices and you're sure to create a beautiful accent to your home.

Published: September 27, 2011

Mortgage Rates Remain at or Near Historic Lows

2011-09-04T10:13:00.001-07:00

Mortgage Rates Remain at or Near Historic Lows

MCLEAN, Va., -- Freddie Mac (OTC: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing mortgage rates declining amid continued weak economic and housing data. While the 30-year fixed held steady, the 5-year ARM set a new all-time record low having fallen for the eighth consecutive week and now standing at 2.96 percent.

30-year fixed-rate mortgage (FRM) averaged 4.22 percent with an average 0.7 point for the week ending September 1, 2011, matching last week when it also averaged 4.22 percent. Last year at this time, the 30-year FRM averaged 4.32 percent.

15-year FRM this week averaged 3.39 percent with an average 0.6 point, down from last week when it averaged 3.44 percent. A year ago at this time, the 15-year FRM averaged 3.83 percent.

5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.96 percent this week, with an average 0.6 point, down from last week when it averaged 3.07 percent. A year ago, the 5-year ARM averaged 3.54 percent.

1-year Treasury-indexed ARM averaged 2.89 percent this week with an average 0.6 point, down from last week when it averaged 2.93 percent. At this time last year, the 1-year ARM averaged 3.50 percent.

Frank Nothaft, vice president and chief economist at Freddie Mac, reports, "Weaker economic data reports eased upward pressure on mortgage rates this week and kept them at or near all-time record lows. The economy grew at a slower rate of 1 percent in the second quarter than was originally reported due to a smaller increase in inventories and fewer exports. In addition, consumer confidence in August fell to the lowest reading since April 2009, according to The Conference Board."

"Recently released data on the housing market also showed less strength as well. The S&P/Case-Shiller® National Index fell 5.9 percent between the second quarters of 2010 and 2011, representing the largest yearly decrease since the third quarter of 2009. Moreover, July's pending sales of existing homes fell at a monthly rate of 1.3 percent, the first decline since April 2011."

Wire Your Home to Sell

2011-09-01T06:57:00.000-07:00

Wire Your Home to Sell

Home buyers are ga-ga over gadgets.

A survey by the Consumer Electronics Association (CEA) says home security systems, home theater-wired systems, home automation management systems and energy management systems are hot selling points.

"There is a strong relationship between home technologies and the real estate market. While the market needs to recover before home technologies play a more important role in home sales, the industry can help prepare real estate agents to be comfortable in discussing these types of systems with their clients," said CEA's Rhonda Daniel.

CEA said the vast majority of real estate agents have encountered homes with installed technologies.

In the past 24 months, nine in 10 real estate agents have been involved in buying, selling or showing a plugged-in home equipped with technology ranging from more established systems such as monitored security (93 percent) and home theater or home theater-wired systems (89 percent) to newer technologies like home automation and management systems (54 percent) and energy management systems (51 percent).

More than half of real estate agents said they are excited by these homes and believe their clients' enthusiasm for technology mirrors their own. Nearly two-thirds of real estate agents said their clients are excited to see technologies in homes.

That's no surprise.

The soft economy is bringing more and more entertainment home as a cost-saving factor. That means current home owners looking to sell should consider upgrading their home with at least one home technology system.

The recent survey of 1,793 real estate agents, members of the National Association of Realtors, sought to understand real estate agents' experiences with homes outfitted with installed technologies as well as their perception of the technology.

"The ideal goal for the consumer electronics industry is to have knowledgeable real estate agents who are excited and open to promoting technology as a selling feature of homes," Daniel said.

Half of surveyed agents expressed interest in learning more about installed home technologies, according to the CEA.

"Manufacturers and electronic systems contractors (ESCs) should be laying the ground work now to take advantage of the eventual upswing in the real estate market. Educating real estate agents on the benefits, value and functionalities of installed technologies now will demonstrate that the consumer electronics industry can be a trusted partner to equip them with the knowledge they are lacking," Daniel said.

Real Estate Outlook: Market Continues to Struggle

2011-08-08T09:31:00.001-07:00

by Carla Hill

Will a change to the mortgage interest deduction threaten a housing market recovery? This is the message from the National Association of Realtors® (NAR). “As the leading advocate for housing and homeownership, NAR firmly believes that the mortgage interest deduction is vital to the stability of the American housing market and economy,” says NAR Chief Economist Lawrence Yun. “The MID facilitates home ownership by reducing the carrying costs of owning a home, and it makes a real difference to hard-working middle-class families.”

Yun notes that the reduction or elimination of the MID would be a "de factor" tax increase on homeowners.

For now, though, pending home sales are on the rise. June posted a 2.4 percent gain over May and all regions posted double-digit pending home sales gains over June 2010. The largest year-over-year increase was seen in the Midwest, which is currently 26.4 percent above June 2010.

Contract cancellations are still a concern, especially as lenders reel in potential lendees in anticipation of a change in loan limits.

Yun says "for the majority of transactions, the lag time between pending contacts to actual closings is one to two months. Therefore, the two consecutive months of rising activity should lead to overall improvement in closed sales in upcoming months. Though a higher than normal cancellation rate can hold back final closing figures, it could well be that some past cancellations are nothing more than delayed buying decisions rather than outright cancellations.”

The remodeling market was down as a result of the lagging economy. The National Association of Home Builders' Remodeling Market Index showed a dip in the second quarter of 2011, leaving remodelers with slowed sales. "Remodelers have experienced the same hiccup that has rippled through the U.S. economy," said NAHB Remodelers Chairman Bob Peterson. "After picking up the pace early in the year, the calls from customers dropped off and remodeling slowed down."

Two major indicators of remodeling conditions experienced a decrease in the second quarter. Major additions and maintenance and repairs were both down. This downward trend could continue into the foreseeable future. Future market indicators, such as calls for bids, backlogs of jobs, and appointments for proposals are down across the board.

The jobs market continued to suffer last week. The unemployment rate is expected to remain at 9.2 percent.

Payroll processing firm ADP's CEO Gary C. Butler reported that their recent "report shows modest job creation for the month of July at a rate of half what is needed for meaningful employment and economic recovery. Construction lost 11,000 jobs this month, and manufacturing and financial services were nearly flat with losses of 1,000 each."

Consulting firm Challenger, Gray & Christmas reported that planned job cuts are at a 16-month high, up a staggering 60 percent from June.

According to Bob Nielsen, chairman of the National Association of Home Builders (NAHB), has something to say about the jobs market. If the economy is to recover, the housing market must be a key piece of the puzzle. “Building 100 single-family homes generates more than 300 jobs, $14.5 million in salaries and wages, and $8.9 million in federal, state and local tax revenue," he says. "As the economy continues to mend, restoring the health of the housing industry is essential to putting America back to work.”

Real Estate Outlook: Existing-Home Sales

2011-07-25T14:16:00.001-07:00

Real Estate Outlook: Existing-Home Sales
by Carla Hill

Existing-home sales fell in June amidst contract cancellations, according to the National Association of Realtors®.

NAR President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I., said home sales should be higher. "With record high housing affordability conditions thus far in 2011, we'd normally expect to see stronger home sales," he said. "Even with job creation below expectations, excessively tight loan standards are keeping many buyers from completing deals. Although proposals being considered in Washington could effectively put more restrictions on lending, some banking executives have hinted that credit may return to more normal, safe standards in the not-too-distant future, but the tardiness of this process is holding back the recovery."

Existing-home sales did rise marginally in the Midwest and South, but all regions are down from the same time last year. The Midwest is now a staggering 14.0 percent below June 2010. The South is down 5.6 percent.

The region that has the most ground the recover is the Northeast, which fell another 5.2 percent in June and is now down 17.0 percent from June 2010.

The West is the closest region to breaking even, down only 2.6 percent from year ago levels.

Lawrence Yun, NAR chief economist, said this is an uneven recovery. "Home sales had been trending up without a tax stimulus, but a variety of issues are weighing on the market including an unusual spike in contract cancellations in the past month," he said. "The underlying reason for elevated cancellations is unclear, but with problems including tight credit and low appraisals, 16 percent of NAR members report a sales contract was cancelled in June, up from 4 percent in May, which stands out in contrast with the pattern over the past year."

Yun also noted that the market may be fluctuating in response to economic concern, "Pending home sales were down in April but up in May, so we may be seeing some of that mix in closed sales for June. However, economic uncertainty and the federal budget debacle may be causing hesitation among some consumers or lenders."

Builder confidence is up, however, according to the National Association of Home Builders/Wells Fargo Housing Market Index (HMI).

"The improvement in builder confidence in July is a positive sign that the outlook perhaps isn't quite as bleak as was feared in June," said Bob Nielsen, chairman of the National Association of Home Builders (NAHB) and a home builder from Reno, Nev. "While builders continue to confront serious challenges with regard to competition from foreclosed properties that are priced below replacement cost, inaccurate appraisals of new homes, and a very restrictive lending environment for new home construction, select markets are showing gradual improvement as consumers begin to take advantage of very favorable buying conditions."

Going hand in hand with builder confidence, nationwide housing starts rose 14.6 percent in June, according to the U.S. Commerce Department.

"Today's numbers are an encouraging sign that builders are responding to improving consumer interest in new homes and apartments by gradually replenishing their extremely thin inventories in places where demand is evident," said Bob Nielsen, chairman of the National Association of Home Builders (NAHB) and a home builder from Reno, Nev. "That said, the lack of access to construction credit remains an impediment to starting new projects and getting building crews back to work in markets that are improving."

Regionally, starts activity rose across the board, with double digit gains in 3 of the 4 regions. The Northeast led the way at a 35.1 percent gain. The Midwest had a healthy 25.3 percent gain. The South was up 10.6 percent and the West had a 5.4 percent gain.

Mortgage Rates Decline as Economic Data Continues to Influence Investors

2011-07-20T09:09:00.000-07:00

Mortgage Rates Decline as Economic Data Continues to Influence Investors

As economic data continues to influence investors with their decisions, mortgage rates declined again last week bringing them to their lowest levels of 2011. Freerateupdate.com's daily survey of wholesale and direct lenders show that conforming 15 year fixed mortgage rates decreased by .125% and are at 3.375%.

This is good news for borrowers who are interested in refinancing for a reduced term from 30 to 15 years. 5/1 adjustable mortgage rates also dropped by .125% and are at 2.625% which should begin to bring some interest back to ARMs. Conforming 30 year fixed mortgage rates are at 4.250%, remaining the same this week. Borrowers need to have good credit to receive these low mortgage rates with 0.7 to 1% origination fee, as well be ready to provide the required documentation that is necessary for lender approval.

Although FHA mortgage rates have been steady for awhile, this is not affecting the popularity that FHA mortgages have gained over the past several years. FHA offers borrowers, especially first time home buyers, benefits that cannot be found with other mortgage loans. Even with a credit score as low as 580, a low down payment of only 3.5% is required. Approved gifts and housing grants are also acceptable making the mortgage transaction even more affordable.

Current FHA 30 year fixed mortgage rates are at 4.250%, FHA 15 year fixed mortgage rates are at 3.750% and FHA 5/1 adjustable mortgage rates are at 3.000%. While FHA closing costs (APR) tend to be higher because of the upfront mortgage insurance premium and other applicable FHA fees, the benefits are still drawing borrowers to turn to FHA for their mortgage loans.

Good news rolled in for jumbo mortgage loans this past week when jumbo 30 year fixed mortgage rates dropped by .125% and are currently at 4.875%. Jumbo 15 year fixed mortgage rates are at 4.500% and jumbo 5/1 adjustable mortgage rates are at 3.625%. Jumbo mortgage loans are on the rise as high end borrowers are jumping on these low jumbo mortgage rates while they are here. These are the lowest jumbo mortgage rates available with 0.7 to 1% origination fee to borrowers who have maintained excellent credit and can provide documentation necessary for lender approval.

The jumbo mortgage market is not over saturated at this time because of the higher conforming loan limit which is set to decrease to the original amounts this October. This may change as more homes become part of the jumbo mortgage market again.

Markets continue to be volatile as the European debt crisis continues to be a cause of concern to investors. The U.S. debt ceiling agreement is also creating jitters throughout worldwide markets. MBS prices (mortgage backed securities) have become unpredictable each day as economic data is released. Just as unpredictable are mortgage rates which move in the opposite direction of MBS prices. Last week, China reported positive economic growth while here in the U.S., Ben Bernanke reported that additional stimulus action will be taken if necessary. Weekly jobless claims dropped and homebuilder confidence is up, but neither is doing anything for consumer sentiment which is at the lowest level since March, 2009.

FreeRateUpdate.com surveys more than two dozen wholesale and direct lenders’ rate sheets to determine the most accurate mortgage rates available to well qualified consumers at a standard .07 to 1% point origination fee.

Published: July 20, 2011

Real Estate Outlook: Economic Inclusion

2011-07-11T13:22:00.000-07:00

Real Estate Outlook: Economic Inclusion

The catch-phrase in the last week has been "economic inclusion," as it relates to you, me, and mainstream banking. A June 29th speech by Federal Reserve Governor Sarah Bloom Raskin at the New American Foundation Forum revealed that limited access to banking and credit could be having significant damaging effects on the economy.

Unemployment is still high, with the latest May statistics indicating a 9.1 unemployment rate. The real state of the jobs market, however, is revealed when one looks at the full picture. According to Raskin, "The headline unemployment numbers don't fully capture the true scope of the unemployment problem. There are an additional 8.5 million workers who are "part-time-of-necessity" or "underemployed" because their hours have been cut back or they are unable to find a full-time job; there are also 1.4 million workers who are "marginally attached" to the labor force because, while wanting a job, they have not searched for one in the past four weeks; and there are 822,000 "discouraged" workers who have given up searching for employment because they do not believe any jobs are available for them." How do these workers build a credit history in preparation for buying a home?

This has been a main concern of many industry leaders, including the National Association of REALTORS (NAR) and the National Association of Home Builders (NAHB). They have become all too aware that access to credit, for both buyers and builders, has been stymied.

In fact, the recently proposed Qualified Residential Mortgage rule, requiring 20 percent downpayments, has spurred more indepth studies on its potential effects.

“Despite the economic setbacks Americans have experienced in today’s current climate, it is clear that a strong majority still believe in home ownership and aspire to own a home,” said NAR President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I. “However, achieving the dream of home ownership will become increasingly difficult for buyers if they are required to make a 20 percent down payment, which may be a reality for many of tomorrow’s buyers if a proposed Qualified Residential Mortgage rule is adopted. That is why Realtors® are strongly urging regulators to go back to the drawing board on the proposed rule.”

Lowered loan limits have also garnered attention in the last quarter. Scheduled to start on October 1st of this year, Fannie Mae, Freddie Mac and the FHA will be dropping loan limits, which in high-cost areas could negatively impact housing demand and prices, two things desperately needing safeguarded in today's economy.

"The lower limits will place a constraint on home buying in high-cost housing markets, such as those along the coasts and in California. It is the last thing we need in a housing market that is still struggling to get back on its feet," said NAHB Chairman Bob Nielsen, a home builder from Reno, Nev.

Who exactly is being excluded from mainstream financial services? According to Raskin, those 13.9 million without jobs and 8.5 million underemployed, those with slow wage growth, and even new graduates don't have the opportunity to build a credit history -- necessary for loan qualification.

According to a January 2009 FDIC/U.S. Census Bureau CPS, an estimated 7.7 percent of U.S. households, approximately 9 million, are unbanked. This means these households have neither a savings nor checking account.

Yet, Americans have financial needs that credit affords them. Raskin notes, "They need a safe, accessible, and affordable method to deposit or cash checks, receive deposits, pay bills, and accrue savings. They also need access to credit to tide them over before their next cash infusion arrives. They may be coming up short paying their rent, their mortgage payment, an emergency medical expense, or an unexpected car repair."

According to a recent National Bureau of Economic Research report, 49.9 percent of Americans wouldn't be able to come up with $2,000 in cash should the need arise.

The solution? Raskin says "broad financial inclusion is essential because it bolsters American consumption and savings, which drives macroeconomic growth. In order to promote efficient economic growth and stability, Americans must have safe and affordable access to the tools necessary to function in the modern economy." Our economic health depends on it.

How Much Down Payment Is Enough to Buy A Home?

2011-07-08T05:48:00.000-07:00

How Much Down Payment Is Enough to Buy A Home?
by Phoebe Chongchua

Most people agree that buying a home without a down payment is a risky decision and soon it might not be an option. As the crippled housing market is beginning to see signs of improvement, lawmakers and key housing industry agencies are debating exactly how much down payment should be required.

Congress and a group of federal regulatory agencies are attempting to create new rules for mortgage lenders in order to avoid a future housing crisis. The loan would be known as "qualified residential mortgages."

The Dodd-Frank law calls for financial reform and the setting of criteria for what would constitute a reasonably safe, basic mortgage. The agencies tasked with this, include the Federal Reserve, the Federal Deposit Insurance Commission, the Department of Housing and Urban Development and the Federal Housing Finance Agency.

The qualified residential mortgages would allow lenders issuing them to sell them to investors. In doing so, the lenders would avoid full risk associated with the possibility of a default on the loan. Other non-qualified residential loans, would be deemed riskier and, therefore, the lender would have to retain 5 percent ownership.

The law is aimed at prompting banks to take ownership and make sure that a borrower truly has the ability to repay a loan. In cases, where a riskier loan is made, and the standard of the qualified residential mortgage is not met, the bank would have to be prepared for a possible default and have set aside extra capital.

A 20 percent down payment is being considered but many are opposed, including banks, real estate agents, and consumer housing advocates. The opposition fears that a 20 percent or 10 percent down payment would price many homeowners out of the mortgage market.

Even if a borrower is creditworthy, coming up with the down payment could be a real stretch. It could take some borrowers more than a decade to save for just a 10 percent down payment.

The Center for Responsible Lending has created charts on its website ResponsibleLending.org to show how borrowers with different occupations would be impacted. According to the chart, it could take a U.S. Army Staff Sergeant, earning a median salary of just over $30,000, nearly 20 years to save for a down payment.

The opposition argues that for the creditworthy borrowers, the loan could cost them more because the lender would raise interest rates on their loans in an effort to cover their extra costs.

Kathleen Day, representing the Center for Responsible Lending, told the New York Times, "We’re not advocating for zero percent down. We think down payments are good. But we think the market should set them, based on the underwriting."

Day says that underwriting (the process of looking at a borrower’s credit history and income and debt levels) should assess risk and determine a borrower’s ability to repay a loan.

Some loans, like those that can be obtained with a small down payment and are insured by the Federal Housing Agency, would be exempt from the qualified mortgage mandates.

For now, the debate continues over if a minimum down payment should be set and, if so, how much. The intense controversy surrounding this matter has prompted the regulatory agencies to extend the public comment period to August 1, 2011.

Case-Shiller Index Indicates Home Value Boost

2011-06-29T14:50:00.000-07:00

Case-Shiller Index Indicates Home Value Boost

According to the latest S&P/Case-Shiller Home Price Index, April experienced a seasonal boost in home prices. Both the 10- and 20-City Composites were up 0.8% and 0.7% month over month, the first rise in eight months.

“In a welcome shift from recent months, this month is better than last - April’s numbers beat March,” says David M. Blitzer, Chairman of the Index Committee at S&P Indices. “However, the seasonally adjusted numbers show that much of the improvement reflects the beginning of the Spring-Summer home buying season. It is much too early to tell if this is a turning point or simply due to some warmer weather.

The best faring market was the Metropolitan Washington area, where prices rose 3 percent in April and are up 4 percent from a year ago.

On the opposite side of the spectrum was Minneapolis, Minnesota. Prices were down a staggering 11.1 percent down from April 2010.

As of April 2011, Cleveland, Detroit and Las Vegas home prices are lower than where they were 11 years ago. These conditions are breeding grounds for foreclosures. Despite this down market, however, the Case-Shiller default index shows that defaults have declined since November.

Tightened lending standards are also making it difficult for buyers to enter the market and boost demand, despite low interest rates.

Blitzer reports, "Only seven cities experienced lower prices compared to 18 in March. However, the seasonally adjusted figures saw less dramatic improvement. The annual rate of change for the 10-City remained the same at -3.1%; whereas the 20-City fell further from -3.8% reported for March to -4.0% for April."

The bottom line is that April showed progress in home prices, but a real recovery will require several months of sustained home prices.

Low Mortgage Rates Holding On Despite Mixed News

2011-06-22T19:50:00.001-07:00

Low Mortgage Rates Holding On Despite Mixed News
by Ed Ferrara

There's no doubt that current news trends are affecting all markets and the direction in which they are moving. This is true for mortgage rates as well. Freerateupdate.com's daily survey of wholesale and direct lenders show that low mortgage rates are holding on to the current lows despite the mixed headlines regarding economic conditions both here and abroad.

Conforming 30 year fixed mortgage rates are currently at 4.250% and 15 year fixed mortgage rates are at 3.500%. 5/1 adjustable mortgage rates are at 2.750%, still well before 3%. With good credit, these are the lowest mortgage rates available with 0.7 to 1% origination fee. These low mortgage rates have been steady for several weeks and are having a positive impact on mortgage business. According to The Mortgage Bankers Association, mortgage applications increased by 13% for the week ending June 10th which is the best improvement since early March.

FHA mortgage rates have also remained low which is always favorable news for borrowers. FHA 30 year fixed mortgage rates are at 4.250%, FHA 15 year fixed mortgage rates are at 3.750% and FHA 5/1 adjustable mortgage rates are at 3.000%. FHA mortgage loans are especially good for first time home buyers because of the low down payment requirements.

FHA also allows gifts and the use of housing grants. Easier credit qualifying for FHA mortgage loans makes up for the fact that FHA closing costs (APR) are higher due to various FHA fees and the upfront mortgage insurance premium.

Jumbo mortgage rates have done just as well at remaining low and steady. Current jumbo 30 year fixed mortgage rates are at 5.000%, jumbo 15 year fixed mortgage rates are at 4.500% and 5/1 adjustable mortgage rates are at 3.625%. With excellent credit, high end borrowers can obtain these low jumbo mortgage rates with 0.7 to 1% origination point. Jumbo mortgage loans are necessary for mortgage amounts above the conforming loan limit which is $417,000 to $729,750 depending on the area. The current conforming loan limit is scheduled to decrease in the fall of this year.

MBS prices (mortgage backed securities) have been on a roller coaster ride this past week. Mortgage rates move in the opposite direction of MBS prices. The Consumer Price Index increased in May and, at the same time, the Department of Labor reported a decrease in initial jobless claims for the week ending June 10th as well as a drop in the unemployment rate. According to the U.S. Census Bureau and HUD, building permits and housing starts both increased during the month of May. The price of crude has fallen bringing a sudden drop in gasoline prices, both good news for consumers. Uneasiness in European countries has continued to create some volatility in U.S. markets.

FreeRateUpdate.com surveys more than two dozen wholesale and direct lenders’ rate sheets to determine the most accurate mortgage rates available to well qualified consumers at a standard .07 to 1% point origination fee.

HAPPY BIRTHDAY LYRIK

2011-06-18T05:31:00.001-07:00

HAPPY BIRTHDAY LYRIK! 4 YEARS AGO I WAS SO NERVOUS TO MEET YOU AND WOULD GIVE MY LIFE JUST TO HAVE YOU BORN SAFE. I thought I would teach you so much and give so much meaning to your life. I never knew how much more you would teach and mold me. You are the by far the most challenging, time consuming and most rewarding aspect of my llife. You have taught me true love and selflessness. Thank you for making me a better person and you will always be my one true love.

.

MORTGAGE RATES MOVE LOWER!!

2011-06-14T12:37:00.001-07:00

Mortgage Rates Move Lower Following Weak Jobs Report
An application for REALTORS®

MCLEAN, Va. -- Freddie Mactoday released the results of its Primary Mortgage Market Survey (PMMS), which showed weaker than expected job growth in May pushing both fixed and adjustable-rate mortgages to new lows for the year. The 30-year fixed averaged 4.49 percent and the 15-year averaged 3.68 percent, its lowest since November, 2010.

30-year fixed-rate mortgage (FRM) averaged 4.49 percent with an average 0.7 point for the week ending June 9, 2011, down from last week when it averaged 4.55 percent. Last year at this time, the 30-year FRM averaged 4.72 percent.

15-year FRM this week averaged 3.68 percent with an average 0.7 point, down from last week when it averaged 3.74 percent. A year ago at this time, the 15-year FRM averaged 4.17 percent.

5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.28 percent this week, with an average 0.5 point, down from last week when it averaged 3.41 percent. A year ago, the 5-year ARM averaged 3.92 percent.

1-year Treasury-indexed ARM averaged 2.95 percent this week with an average 0.5 point, down from last week when it averaged 3.13 percent. At this time last year, the 1-year ARM averaged 3.91 percent.

Frank Nothaft, vice president and chief economist at Freddie Mac, reports, "Long-term Treasury yields moved lower following a weak jobs report and mortgage rates followed suit. The economy added 54,000 jobs in May, the fewest in eight months, and factories cut payrolls for the first time in seven months. As a result, the unemployment rate rose to 9.1 percent, representing the highest rate since December."

"The housing market continues to be fragile across the nation as well. In its latest regional economic review released June 8th, the Federal Reserve Board indicated that residential sales and home prices showed continued weakness in most Districts."

Published: June 10, 2011

Why own your home

2011-06-10T08:00:00.001-07:00

Why Own My Home?
by Phoebe Chongchua
An application for REALTORS®

A soft real estate market that is ripe with all the conditions that should entice people to purchase a home still has some renters asking, "Why own my own home?"

Low interest rates, lower home prices and an improving job market still have some buyers sitting on the fence fearful of an uncertain real estate market. Real estate agents and even sellers are finding that prospective buyers (current renters) may need a little more "emotional" attention in these market conditions. They may need a little more explanation to ensure that they understand the benefits of purchasing your home rather than renting another.

While deciding to own a home or rent one is very personal, many tend to let fear of the unknown be the driving force in making their decision and that can later create an unhappy decision.

Here are five top reasons to at least consider owning your own home.

No more landlords: This may be a highly influential factor depending on a potential buyer's experiences. Many renters have poured a ton of money into a home that they're living in to keep it at the standard of living they enjoy, only to find that their landlord is soon planning to sell the home. Their hard-earned cash and money invested into their rented home will then only benefit the seller.

Making a home your style: This is much more difficult to do in a rental. Yes, as I just mentioned, you can make some modifications, but many things that can be done to a home you own can't be done to one you're renting. Taking into consideration Homeowner's Associations or planned community development restrictions, owning still provides more control and flexibility over renting.

Weighing the costs of homeownership: Of course, with homeownership you won't be calling the landlord to come fix your toilet or dishwasher. So, having a financial reserve is important to carry you through the months when you run into unexpected troubles. Websites such as GinnieMae.gov offer price charts that help you compare how much you'll save by buying or renting. It's a helpful tool that allows you to analyze factors such as how much tax savings you're likely to receive, how much possibly equity you'll gain, and how much you're rent may increase.

Long-term plans tilt the scale toward owning: In a recent Tampa Bay article, Walter Molony of the National Association of Realtors said, "For people with long-term plans, the rent vs. buy equation is tilting heavily toward buying because housing affordability is at record highs dating back to 1970," he explains. "Homes are undervalued in many areas—selling for less than the cost of replacement construction—and rents are rising at a faster pace. Many people are considering ownership now as a hedge against inflation."

Low interest rates and affordable homes will not last forever: If you're not ready to buy or simply can't afford to own a home, even the historically low interest rates and exceedingly affordable, home prices might not move you to take the leap into homeownership. However, understanding that these conditions won't last forever is important. Sometimes when conditions persist, we tend to think they'll always be this way.

Distressed sales will begin falling in 2013 and that would then cause home prices to creep upward, predicts Moody's Analytics. With little activity on the homebuilding front, and still a heavy supply, it's not expected to increase much more. Also, the number of new households each year is rising, which is expected to help alleviate the oversupply in the coming years.

Published: June 10, 2011

Ways to keep cool

2011-06-09T15:31:00.001-07:00

Ways to Keep Cool This Summer
by Carla Hill

There have been record setting temperatures across the country and it leaves many homeowners asking for ways to keep cool. Let's look at some cheap and easy ways to beat the heat.

The first step is to treat your body right. Our bodies have natural cooling mechanisms, such as sweating. In order for this process to work, though, we need to keep properly hydrated. Dehydration is deadly.

Some symptoms of dehydration include:

1.flushed face

2.dizziness made worse when you are standing

3.cramping in the arms and legs

4.sleepy or irritable

5.headaches

6.dry mouth, dry tongue; with thick saliva.
If a loved one faints or starts to have convulsions, seek medical help immediately.

To safeguard your body be sure to drink plenty of water. Sugary drinks don't count. You need to be drinking 6-8 glasses of water a day and possibly more if you're in the heat for hours. You lose fluids through your sweat, so the more you sweat the more you need to drink.

If you like to take runs outside, consider doing this in the early morning or evening time, when the heat of the day has passed. You'll be putting your body under a lot less stress.

The same goes for how you dress. Heavy clothes and unnatural fabrics, such as polyester, don't allow for breathing in the material. Choose cotton and linen that are lightweight. Short sleeves are great, but don't forget about light-weight cover-ups that can keep you cool and protected from the sun.

Swimming is another great way to help your body cool down. Most communities have pools or lakes that cost just dollars a day. Or you might even have a pool in your own backyard!

Next, for added outdoor fun, consider shade covers for your patio. Gazebos, awnings, and even pergolas can offer some protection from the sun.

To help your home beat the heat, there are multiple layers of cooling. First, consider using an exhaust fan to pull hot air out during the day and cool air in during the night. Next, be sure your ceiling fan blades are set to move hot air up during the Summer months.

The next stage of home cooling are air conditioning units. Hot air rises, so second stories are notoriously hot. If you don't have central air, you may consider trying to cool your upstairs first before seeing if you need a second unit downstairs.

There are a couple different options when it comes to air conditioning. First, the gold star award goes to central heat and air, which while pricey, can be incredibly convenient. Next on the list are portable AC units. These are more energy efficient that their window-unit counterparts. The downside is they cost double the price. The upside? They can be moved easily from room to room as needed.

Try some of these tips and stay cool this Summer!

Published: June 8, 2011

Great time to become a Landlord!

2011-06-08T06:48:00.001-07:00

Growing Rental Market Benefits Landlords
by Phoebe Chongchua
An application for REALTORS®

Millions of foreclosures have turned former homeowners into renters. In fact, there's been a nearly 34 percent increase in rentals over the last decade, according to a USA Today analysis of U.S. Census data. That means that in 2010, nearly 35 percent of occupied homes were rented.

According to USA Today, 25 cities including Baltimore, Minneapolis, Salt Lake City and Sacramento went from having more than half homeowners in 2000 to majorities of renters in 2010.

The data looked at more than 500 midsize and large cities. Significant jumps in the renter-occupied versus the owner-occupied homes occurred in Irvine, California (from about 40 percent occupied rented homes to 49.8 percent between 2000 to 2010). During that same period Philadelphia increased from 40.7 percent to 45.9 percent and Birmingham, Alabama, saw a nearly 5 percent increase to reach 50.7 percent. Baltimore, Minneapolis, Sacramento, and Salt Lake City saw major shifts from owner-occupied to renter-occupied.

If you're becoming a landlord for the first time by choice (investment property) or because you can't sell your home now, here are a few tips to consider.

Understand how debt affects your ability to qualify for a loan. First, if you're just getting started and are looking to purchase a property to later rent, consider that Freddie Mac guidelines typically require a maximum debt-to-income ratio of 45 percent.

Be prepared to put more money down. Owner-occupied properties have the advantage of requiring a smaller down-payment than investor mortgages which sometimes require as much as 40 percent. Also keep in mind that when buying a property for investment purposes, the down payment and/or the closing costs cannot be from gift money.

Know your market and ability to rent your property. Overall rental growth is increasing while homeownership is declining. According to the Census data, The number of renter households has grown, on average, by nearly 700,000 a year since the housing peak in 2006 and the number of owner households is shrinking, on average, by just over 200,000 a year. This could be good news if you're planning to rent your home. But supply and demand are key. So study your particular rental market carefully. before you buy or place your home for rent.

Rents may rise if the market doesn't get too saturated. As more homeowners (who have the ability to) decide to hang on to their homes and list them for rent instead of for sale, they're finding that it can be beneficial for them. While homeownership has declined for six consecutive years, the rental market is one of the few sectors to benefit. But how long that will last is uncertain. With the increasing number of foreclosures, the rental market is becoming saturated. In some areas, that's causing rental properties to sit on the market just like other for-sale properties.

However, some other experts still say that there will be a boost in rental growth for at least the next couple of years due to foreclosures, housing prices being uncertain and causing people to wait to buy, and government homeownership subsidies being cut.

Know when to reduce rent. Experts advise that if a rental home is listed for longer than about 30 to 45 days, it might be time to reduce the rent. Also, keep in mind that rental properties are just like other for-sale properties, needing to be kept in good condition and have their upgraded amenities showcased. Use a real estate agent to help you highlight your property and get it rented quickly.

Owning a home still preferred. Regardless of the growth in renters, the idea of homeownership is still the American dream; 74 percent of renters think owning is superior to renting, according to a recent survey by mortgage giant Fannie Mae.

Published: June 3, 2011

Growing Rental Market Benefits Landlords

2011-06-04T06:24:00.000-07:00

Longmont Real Estate Tips for Pets

2011-06-02T18:43:00.000-07:00

Transitioning to a new home and routine can be difficult for many pets. The stress and worry can cause out of character behavior, as well as lowered immune responses.

In order to ease your pets into a move, it's important to consider what makes them feel safe, secure, and stable.

First, if you are moving out of the area, be sure that your pet is current on all of their vaccines and treatments. Refill any prescriptions and consider microchipping your pet, as moves are a common time that pets become lost.

Be sure that you are well-stocked on their normal food and treats. Changing diets can cause upset tummies and general unrest. In fact, it may be best to pack a Ziplock bag of dry food in your overnight bag. This way there is no scramble to find food at the last minute.

On the day of the move, when doors are left wide open and strangers are coming and going, consider dropping your pets off with a friend or leaving them at doggy day care. This is as much for your benefit as it is for your pets'.

Before you introduce a dog to your new home, create a space that is all their own. Choose a room and set up their bed, food, and toys. Cats will want to check out their entire "kingdom." Just be sure they know where their litter box, food, and water are.

Cesar Milan, known as The Dog Whisper, recommends that when traveling with your dog you do the following:

Prepare. Have a game plan ahead of time. Are you going to need food, water, or medication on the drive? When and how often will you take breaks?

Bring along a favorite blanket or toy. Dogs love their stuff. Blankets and toys can bring comfort to an otherwise stressful situation.

Don't feed your dog for 6 hours before a plane ride.

Use Lavender scents. This great scent can be calming to both you and the dog. Consider mixing a small spray bottle with water and a few drop of natural lavender essential oil.

Take a long walk. It's always good to stretch your legs!

Take breaks. This is especially true for long rides.

Falling back into routine quickly is a great way to comfort your pets. This is easier said than done after a big move, but at the very least, take walks and have meals at the usual time. Our pets are members of our families. By taking a few simple precautions, you can make your next move as seamless and possible.

Published: June 2, 2011

Use of this article without permission is a violation of federal copyright laws.
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Carla Hill, M.A., works on the Realty Times staff as Managing Editor for our online publication. She also is Producer for the real estate news channel, seen daily on RealtyTimes.com and on video newsletters nationwide. She currently works out of the Realty Times corporate office and studio in Dallas, TX. Any questions can be sent to Carla at carladavis@realtytimes.com.

Logmont Real Estate picking up

2011-05-31T11:37:00.000-07:00

GREAT NEWS!! The Longmont Real Estate market has finally broke free. Scarlett Neal put 4 properties under contract over Memorial Day weekend. This is great news for all! The rates are still amazing. Hopefully Sellers and Buyers can benefit from the change.

AMAZING NEW LISTING

2011-05-26T11:04:00.001-07:00

Please check out this unique Boulder County mini farm. This Immaculate estate will not last long!

Green Living: Earth-Friendly Cleaners

2011-05-25T13:21:00.001-07:00

I thought this was interesting information.

Green Living: Earth-Friendly Cleaners
by Carla Hill
An application for REALTORS®

Households all across the nation use an arsenal of cleaning products to keep their homes in good working order.

With the prevalence of food-borne illness on the rise, such as E. coli and Salmonella, a clean home is more important than ever.

The question is posed then as to whether or not there are green options for cleaning supplies. Do they carry the same punch?

Many of today's most popular brands are full of harmful chemicals. On our own the contribution may seem minimal. Yet, as each household sends these chemicals down the drain, the impact on the environment increases exponentially. This harsh impact has many green activists searching for ways to use earth-friendly cleaners.

Here are ways that you can take your cleaning "green".

First, be sure to only buy products that fully disclose their ingredients. Some brands list exactly what is in their products right on the package. Choose these over brands with lists of chemicals no one can pronounce.

Next, buy products that are free of dyes and perfumes. You may be tempted to buy fabric softener or laundry detergent that is scented like the “lavender fields of France,” but dyes and perfumes are polluting our waters every day. Clean laundry smells just as good as perfumed laundry.

The next consideration is botanical disinfecting agents. Essential oils, the inner workings of plants and flowers, have been proving their worth.

Take thymol, for example. It is produced by the thyme plant and works wonders for disinfecting.

The Seventh Generation brand is popular and easily found in stores across the nation. They have found that their natural disinfecting cleaner, “Kills over 99.99% of household germs, specifically: Inﬂuenza A viruses including H1N1, Rhinovirus (type 37, the Common Cold virus), Staphylococcus aureus, Salmonella enterica, Escherichia coli and Pseudomonas aeruginosa on hard, nonporous surfaces.”

And finally, think about using homemade cleaners. Vinegar is a tried and true cleaning favorite. It is great for cleaning windows, spills on carpets, working on home odors, removing toilet stains, and the list goes on and on.

That's why some people call it the “miracle cleaner”.

No, natural cleaners are not the ultimate substitute for bleach and other tough cleaners. There are times when it is necessary to use these. However, there are plenty more times in our daily lives that gentler, more natural cleaners are the perfect fit.

Published: May 24, 2011

Use of this article without permission is a violation of federal copyright laws.
Order a Webcast About This Article Bookmark and Share

Carla Hill, M.A., works on the Realty Times staff as Managing Editor for our online publication. She also is Producer for the real estate news channel, seen daily on RealtyTimes.com and on video newsletters nationwide. She currently works out of the Realty Times corporate office and studio in Dallas, TX. Any questions can be sent to Carla at carladavis@realtytimes.com.

Real Estate Interest Rates

2011-05-24T12:45:00.000-07:00

New Home Rates.

30-year fixed from 4.250% (4.767 APR)
5/1 ARM from 2.750% (2.997 APR)
15-year fixed from 3.250% (3.502 APR)

These are AMAZING!!! Don't miss out because as the market picks up, so will the rates!

Turn lemons to lemondade

2011-05-11T06:22:00.000-07:00

All I hear is doom and gloom. Aren't you tired of hearing that?? This type of market to me, means GREAT OPPORTUNITIES! If you want help turning this bad market into good fortune for you, let me know. Also, I am working on my utube video. I am asking for some help. What would attract you to a Realtor's video?

GREAT NEW LISTING

2011-05-10T12:01:00.000-07:00

New Listings Near Longmont

2011-05-10T10:56:00.001-07:00

AMAZING DEAL! 2 BUILDABLE LOTS IN BOULDER COUNTY FOR $43,000 A PIECE. THESE WON'T LAST LONG. PLEASE VIEW ALL MY LISTINGS AT WWW.RADIUSREALESTATE.AG.

HAPPY MOTHER'S DAY!

2011-05-08T06:42:00.000-07:00

Radius Real Estate and Scarlett Neal would like to wish all Mothers a Happy Mother's Day. We all strive for perfection in one way or another. I have worked over 11 years trying to be the top agent, have the best things and the perfect body image. Having my son has made me realize that we are all imperfect and the only true accomplishment I will be proud of on my death bed will be how I raised my son. Working or stay at home mothers have the hardest jobs. Enjoy your day and smile :)

Longmont Real Estate picking uo!

2011-05-05T15:23:00.000-07:00

This is encouraging news. Buyers are finally moving on properties. This means that the interstate rates will go up. If you are looking to purchase soon, this is the time to do it! Don't loose money. This is when you should invest.

Call me Ill be happy to answer any questions you have. Also please view my listings at WWW.radiusrealestate.AG. 303-862-3232

Current interest rates for Real Estate loans

2011-05-04T11:10:00.000-07:00

Interest rates are still GREAT! This is the time to buy!!

30YR FIXED 4.25% (4.767APR)
5/1 ARM 2.75% (3.078APR)
15YR FIXED 3.5% (3.72APR)

Longmont Real Estate Statistics

2011-05-03T09:10:00.000-07:00

Here are 1st and 2d Quarter Longmont Real Estate sale statistics

1st Quarter at total of 143 residential sales with an average price of $235,716

2nd Quarter a total of 60 residential sales with and average price of $228,252

Hope this information is helpful

Welcome to the NEW Radius Real Estate Blog

2011-05-02T18:27:00.000-07:00

Hi,
I'm Scarlett Neal, owner of Radius Real Estate. Welcome to my new Blog, where I'll be sending out news and information about Longmont area real estate. Thanks for joining my blog!