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Thursday, December 31, 2009
Blog ArchiveAfter surging 10% in October, sales of existing
homes jumped again in November, growing 7.4% compared with October to an annualized rate of 6.54 million units, according
to the National Association of Realtors.
"This clearly is a rush of first-time buyers not wanting to miss
out on the tax credit," said NAR's chief economist, Lawrence Yun.
November was originally going to be the
last month in which sales to first-time homebuyers would qualify for a federal tax credit of up to $8,000. However, that deadline
was extended and expanded, and buyers now have through June to purchase homes.
The strength of sales in November
surprised the industry. A panel of experts compiled by Briefing.com had forecast month-over-month sales growth of just 2.5%
to 6.25 million from 6.1 million a month earlier.
The sales total was a also huge improvement over a year ago.
Sales rose 45.7% over the paltry annualized rate of 4.49 million units during November 2008.
The contribution made
by first-time buyers is evident in a separate survey NAR conducted of its members. They estimate that 51% of sales in November
were by newcomers to the market, up a point from 50% in October. Normally, first timers account for about 40% of sales.
Also propelling sales higher were rock-bottom interest rates. The average for a 30-year, fixed-rate loan during the
month was just 4.88%, down from 4.95% in October and 6.09% a year ago.
With rates that much lower, homebuyers can
save more than $150 a month on a $200,000 mortgage.
Comment | Wednesday, December 16 2009
Responsibilities of Renting in the Winter
Winter Renting Cold weather has
reached the Treasure Valley for the winter. With that come the issues that arise from freezing temperatures, most prevalently
snow and freezing pipes. We had a long string of cold days that I think everyone is glad to see go, but in its wake was a
plethora of frozen pipe issues. For those owners and tenants with affected properties know that you are not alone. There are
a few things that can be done during this time period to prevent any issues they include.· Keeping the heat at least 55 degrees or higher · Keep your garage closed at all times ·
Close the vents in the foundation of the home
·
Keep sidewalks and driveways clear of snow
as to not incur an HOA fineIf heater and water issues do arise fill out a maintenance request order online
and the will be handled as first priority. Thank you for the help during the winter months and Happy Holidays from all of
us here at Park Place.
Comment | Thursday, December 10 2009
Going the Extra Sales Mile
Park Place Property Management pays no attention to normal business hours, and we see the
benefit with very low vacancy rates. Park Place answers the phones from 8:00 AM to 9:00PM Monday through Saturday. We have
found that many people look for rentals on Saturday and feel that we gain a huge edge by providing to potential customers
service during the weekend, and after business hours. Something that we have found is not being done by any other Management
company in this area.
Comment | Saturday, December 5 2009
Advertising
Most of Park Place’s advertising is focused on online advertising and with good
reason. Here is the result of a survey done of 1,000.00 rental seekers. 72% say they begin their search online. In fact, only
17% go to the newspaper, 5% look for yard signs, and another 5% rely on referrals from friends and/or family. When asked,
"On average, how many rental sites do you search to find a rental?” an astonishing 25% selected more than ten sites.
In total, 93% of respondents indicated that they search at least two sites or more when looking for a home to rent. Additionally, a study conducted by Rent.com reports that 67% of
renters think of using a search engine to locate a home, while only 21% think of using a specific site. This means that 2
out of 3 potential tenants begin their search on Google or Bing rather than going to a specific site.Park Place syndicates out to over 200 different
web sites so chances are that if they are searching online for rental property in the Boise area it will be difficult not
to see a Park Place advertisement. www.parkplaceid.com/Advertising.aspx
Comment | Friday, December 4 2009
Boise Idaho real estate agents and investors
have great opportunity
“It was the best of time, it was the worst of times, it was the age of wisdom,
it was the age of foolishness” a quote from Charles Dickens novel a ‘Tale of two cities’ seems appropriate
for the Boise, Idaho real estate market. The anxiety and suffering in what is being called the ‘Great Recession’
is all to real and painful to the tens of thousands of Boise, Idaho residents whose lives have forever changed with job losses,
housing foreclosures, reduced wages, and minimized benefits. Many real estate agents were caught up in the ‘tidal wave’
of the rising market as real estate schools popped up on every corner to graduate real estate agents faster than they could
say “flip that house”. But as the ‘wave’ receded it turned into a ‘rip tide’ and many
real estate agents have fallen victim to the economic ills that plague America. Those remaining Treasure Valley agents
including those practicing real estate in not only Boise but Meridian, Nampa, Caldwell, Star, and Eagle are constantly barraged
with negativity from their client’s disappointment over negative equity in their homes or the lengthy time to close
escrow. The real estate agents who are able to withstand these tumultuous times are growing fewer by the month.
With over 6,000 agents at the peak in the Fall of 2006 that number has dropped almost in half to 3,000 agents by December
2009.
As Boise, Idaho real estate hovers at what many experts predict as the bottom of the market the time is perfect to become
a real estate agent and/or increase your real estate investment portfolio. Boise short sales and Boise foreclosures
blanket the market of properties for sale. Estimated yearly single family residential sales of approximately 8,000
units are far from anemic. First time home buyers, investors and upper end buyers are scavenging Boise, Meridian, Nampa,
Caldwell and surrounding areas for unbelievable prices on homes. Throw in tax incentives and low interest rates and
it is obvious that it is a great time to invest in or have a career in real estate. As difficult as it seems from many
perspectives it really is the ‘best of times’ for real estate investors.
Comment | Thursday, December 3 2009
Boise Idaho Short Sale Steps with Lender
One of the keys to a successful closing on a short sale in Boise, Idaho is submitting a complete
package to the negotiator for the short sale sellers lender. Once the lender is contacted you will be assigned
a negotiator that will be your direct contact with the lender. These negotiators are extremely overwhelmed and the more
complete and professional your package is the easier it is and quicker the lender will get you submitted for approval.
Each lender has it’s own criteria but most require these fundamental documents prior to approving the short sale. The
information requested is extremely personal and specific. Great care should be taken to provide the seller with security
that the information is kept confidential between the parties.1. Loan information release form: This form is signed by the seller of the property allowing the real estate
agent authorization to receive information about the loan made to the seller.2. Purchase and sales agreement: The purchase and sales agreement are the terms and conditions that a buyer
has agreed to purchase the subject property for less than is owed by the seller. The purchase and sales agreement should
stipulate that it is subject to ‘Third Party’ approval.3. Hardship letter: The Sellers lender will require a hardship letter that explains in detail why
the seller is unable to make the payments on the subject property. As much detail as possible explaining the ‘hardship’
is preferable. All information is private and must be guarded by the real estate professional and lender.4.
Loan approval for Buyer: The sellers lender will require
verification that the purchaser of the sellers ‘short sale’ has unconditional loan approval. The short sale
sellers lender want’s the highest certainty that the subject property will close.5. Most recent W-2 for seller: Part of the seller’s lender package is request for financial information.
That can include tax information and pay stubs. If seller is an independent business person financials and profit loss statements
may be required.6. Bank statements: sellers
short sale lender will typically request copies of the sellers bank statements for last 2 months. The lender wants to
see what accounts and reserves are available to the seller.7. Listing agreement: The listing agreement between the seller and the real estate company is required by the sellers
lender. This demonstrates to the sellers lender that the property has been marketed for a certain marketing period.8.
Estimated proceeds and expenses: The sellers lender will require
an estimated HUD-1 closing statement. The estimated HUD-1 (Housing and Urban Development) closing statement includes
the fees that the seller’s lender will pay and any proceeds allowable to any other lien holders behind the sellers first
lender. Any taxes, homeowner’s fees, or expenses will be sent to the sellers lender for approval. Understanding these steps can greatly enhance
your ability to succesfully close a Boise, Idaho short sale.6:15 am mst Comments
Comment | Wednesday, December 2 2009
Important Things to Know About Short Sales in Boise, Idaho
Tags: Boise Homes, Boise Short Sales, Buying a Home in Boise ID, Foreclosures in Boise ID, Homes for Sale in Boise ID, Short Sales, Short Sales in Boise ID I’m sure a lot of you haven’t
been able to turn on the TV these days without hearing something about “short sales.” Don’t worry too much
if you think you’re the only person around who isn’t fully up to speed with exactly what a short sale is, a lot
of people are in your shoes. Many think they know what a short sale is, but
actually misunderstand some of the key things to know about short sales. A short sale is when the home is worth less than
the existing mortgage and the homeowner usually has stopped making payments. Sometimes the owner is still making payments,
but the value of the home has decreased substantially.At
this point, there are only two options left, a foreclosure or a short sale. The foreclosure will have to be carried on the
bank’s books and on the credit report of the homeowner. A short sale could avoid this. The buyer will probably have
to pick up most of the closing costs and the bank will not make many concessions, still a good price on a home can be open
to the buyer. Short sales will take more time than the usual closing so you must be patient.When you decide on your price for the home, you should also contact the lender. The
lender must agree to the price of the short sale, no matter what the seller tells you. The bank may not even know that the
home is up for sale. The bank may see that the owner is still paying the mortgage and is in good financial condition, thereby,
refusing the escape valve of the short sale.Hiring
a good real estate agent to walk you through this process would be wise. Now, not all real estate agents have experience in
short sales. Complex issue may arise that require a great agent, such as two liens against the home. If the bank believes
it can recover more money through a foreclosure, it will not accept a short sale. In the Boise, ID area many short sale properties
are available and there are a lot of expert real estate agents to assist you in becoming a homeowner.
Comment | Tuesday, December 1 2009
Blog Archive
Renting in Winter Winter renting sounds worse than it actually is. I can’t speak for other areas of the country
or other points in time, but if this winter shapes up anything like last year, having a vacancy in a cooler month is not as
big a problem as in the past. Last winter Park Place racked up several record breaking months of leases signed through the
winter months with the top month being February, with more than 60 leases signed in one of the shortest months of the year.
While this is a surprising trend it does not break our hearts to see it happen. We did see the period between Christmas and
New Years stay quite slow, which I think everyone expects but other than that phones were ringing and properties were coming
off our vacancy list. So if we receive a dreaded 30 day notice to vacate for your property this winter don’t be too
disheartened it is likely we will get it off the market again soon.3:08 pm mst CommentsTuesday, November 10, 2009Home Buyer Tax Credit FAQ Check out the Tax Credit FAQ
page.
http://www.federalhousingtaxcredit.com/ 7:01 am mst CommentsThursday, November 5, 2009Evictions Evictions in the
Treasure Valley are at an all time high. In speaking with other property managers and local law enforcement September and
October were a total nightmare, with evictions within some companies rising 100% to 200%. Hopefully November will improve,
however with many seasonal summer jobs coming to an end it is difficult to know what to expect. While a tenant just leaving
the house without paying rent is bad, at least it’s a result, a result that allows us instant access to the house the
get it turned around and ready to rent. Evictions take a long time; waste everyone’s money, and generally when evicted,
people leave the house in rough shape. Park Place fortunately has not seen a rise in eviction proceedings but it seems one
is consistently in the works. On most occasions we are able to get people out of a house without having to go to court.
We are always working to keep people in houses but when they go we do our absolute best to get the house rented again in a
timely manner. 8:05 am mst CommentsWednesday, November 4, 2009First Time Home Buyer Extension Update The first time home buyer tax
credit extension and expansion is ALMOST done! It has been a long, winding road but we have almost reached the destination.
Diana Olick of CNBC reported today that it is almost a done deal that the extension and expansion will be signed on Friday.
Lawmakers in the Senate moved closer to signing the bill by voting 85-2; this would extend the home buyer tax credit until
April 2010 rather than November 30th, 2009.The next step is for Senate Republicans to finalize the vote; this could be interesting
as some of these Republicans are unhappy with the Democrats for blocking their amendments to the plan. With that being
said, many analysts feel that we are going to see this extension sealed due to the Senate vote last night.The new plan will
extend the current $8000 tax credit for new home buyers through April 30th and will also offer a $6500 tax credit for move
up buyers who have been in their current residence for over five years. This extension could be very important in the
continued effort to stabilize the housing market. Not only are first time home buyers going to receive a tax credit
but so will “move-up” buyers; now it is time to find out if this will help to increase home prices.5:16 pm mst CommentsMonday, November 2, 2009PPPM Update for November Fall is here and the buzz
of summer is beginning to subside as move outs slow and our vacancy list shrinks even more. Park Place continues to rent properties
on a consistent basis keeping our vacancy rate at around the 2% mark. We are proud to boast that this is well below the valley
average that has ranged from 5.5% to 10% in the residential sector. Park Place continues to exude sizable amounts of time
and effort in collecting rents each month. Money is tight everywhere and we put in the time to make sure that rent payment
is at the top of the priority list for our tenants. We remain tireless in our efforts each month, calling people several times
a day and stopping by to collect. Tough times take hard work and all of us here at Park Place are doing what it takes to manage
your property effectively through a less than ideal economy. 7:05 am mst CommentsThursday, October 29, 2009$8000 First Time Homebuyer has been Extended You have most likely
heard about the tax gift of $8,000 which was set to expire at the end of November this year. This is has created a great opportunity
if you were a first time homebuyer but now this gift has just been approved and extended to existing homeowners as well! At
this time we know the $8,000 tax gift extension has been approved but we don’t have all the final details as they are
still being finalized. Here is what we know so far: — The tax credit would be $8,000 for first-time home buyers and $6,500 for move-up buyers (from December 1, 2009
to April 30, 2010).— Move-up buyers will be eligible, so long as the home they are leaving has been used as their principal
residence for 5 years or more. — The tax credit would sunset on April 30, 2010. However, there would a binding
contract rule that will permit those with contracts as of April 30th to qualify for the credit so long as they complete the
transaction within 60 days.— The income limits for both first-time home buyers and move-up buyers would be $125,000
for single return and $225,000 joint return.— Cost of the home may not exceed $800,000 to be eligible.— For purchases
made in 2010, taxpayers would be able to claim the credit on their 2009 income tax return.— Home buyers would not have
to repay the credit, provided the home remains their principal residence for 36 months after the purchase date.— The
amendment includes a military waiver provision, meaning the recapture provision would not apply in the case of a member of
the Armed Forces, military intelligence or Foreign Service who is on qualified official extended duty. In addition, members
of the military who have been deployed overseas for 90 days or more in 2008 or 2009 would have until April 30, 2011, to claim
the home buyer tax credit.— The amendment also includes anti-fraud language that provides math authority to the IRS
to do greater oversight during the processing of the return rather than waiting for an audit situation. The amendment requires
the taxpayer claiming the credit to be 18 or older as well as requiring a HUD-1 settlement statement to be attached when claiming
the credit.10:39 am mdt CommentsSaturday, October 24, 20092009 National Association of Residential Property Managers (NARPM)
Convention Currently we are sitting in the Orlando Airport waiting on my flight back to Boise, and we
hope to be able to take the new ideas we have learned to make Park Place Property Management better. We highly
recommend that no matter what profession you are in, seek out your trade association, join, and become active in it.
Since Park Place became involved in NARPM, our company has become much more efficient, creditable, and profitable. |
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