Gilbert Real Estate Blog

Is ‘Making Home Affordable’ Working? Not on this planet!

July 8, 2009 // Comments Off

In a recent New York Times article, Gretchen Morgenson wrote, “LAST week, the stock market tumbled on news that housing foreclosures and delinquencies rose again in the first quarter. The Office of the Comptroller of the Currency said that among the 34 million loans it tracks, foreclosures in progress rose 22 percent, to 844,389. That figure was 73 percent higher than in the same period last year.”

She went on to say, “The Obama administration has said it wants to wrestle the foreclosure issue to the ground by encouraging mortgage loan modifications, but its efforts have gotten little traction…. Lenders and their representatives, however, don’t like to modify loans through interest rate cuts or principal reductions because, of course, it reduces the income they receive from borrowers.  No surprise, then, that loan modifications have been a trickle amid the recent foreclosure flood.”

“Alan M. White, an assistant professor at the Valparaiso University law school in Indiana, analyzed data on 3.5 million subprime and alt-A mortgages in securitization pools overseen by Wells Fargo. The loans were written in 2005 through 2007; data on their performance is provided to the trusts’ investors. Mortgages handled by five of the nation’s largest loan servicing companies — Bank of America, Chase Home Finance and Litton Loan Servicing among them — are contained in the Wells Fargo data.”

Gretchen published a very fine article on the plight of  ‘loan mods’ in this country, and is well worth reading.  Here’s a link to the article.

Posted in arizona market conditions

Chandler Real Estate – June 2009 vs. June 2008

July 7, 2009 // Comments Off

CHANDLER, ARIZONA

…truly a sparkling gem in The Valley of the Sun!

June 2009 vs. June 2008

401 single family detached houses were purchased last month vs. 331 last year (June 2008).

The average price paid was $246,616 vs. $302,381 last year.

The median price came in at $225,000 vs. $269,900 last year.

The ratio of purchase price to list price was 98% vs. 97% last year.

The average time on the market was 88 days vs. 99 days last year.

There were 1,852 Active single family listings vs. 2,670 last year.

Click Here for full current Chandler Market Report

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photo by Miguel Folch

Posted in chandler market conditions

$8,000 Home Buyer Tax Credit

// Comments Off

The “American Recovery and Reinvestment Act of 2009” passed the House and Senate on February 13, 2009, and was signed by President Obama on February 17, 2009.

The bill is a $780 billion package, roughly one-third of which is dedicated to a home buyer credit.

Here are the highlights:

1. 
   

   The tax credit is for first time home buyers, with a “first-time home buyer” defined as a person who has not owned a principal residence during the three-year period prior to the purchase.

2. The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000, and does not have to be repaid as long as the home is not sold within 3 years.

3. The tax credit is available for homes purchased on or after January 1, 2009 and before December 1, 2009.

4. Single persons with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full tax credit.

5. The credit must be claimed on a federal tax return to reduce the buyer’s income tax liability. Any remaining unused credit will be refunded to the buyer.

Below is a summary chart of the tax credit, along with a side-by-side comparison to the 2008 tax credit.

Inasmuch as this is a tax related issue, and I am neither a tax accountant or a tax attorney, you should consult with a tax professional regarding your specific situation and benefits.

Gilbert Homes ~ Chandler Homes ~ Mesa Homes ~ Queen Creek Homes ~ Phoenix Homes

Posted in tax credit

Gilbert Real Estate – June 2009 vs. June 2008

July 6, 2009 // Comments Off

GILBERT, ARIZONA

…a shining star in the Valley of the Sun!

June 2009 vs. June 2008

443 single family detached houses were purchased last month vs. 329 last year (June 2008).

The average price paid was $226,660 vs. $284,343 last year.

The median price came in at $199,500 vs. $252,000 last year.

The ratio of purchase price to list price was 98% vs. 97% last year.

The average time on the market was 84 days vs. 96 days last year.

There were 2,175 Active single family listings vs. 3,065 last year.

Click Here for full current Gilbert Market Report

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photo by Miguel Folch

Posted in gilbert market conditions

Phoenix Real Estate – June 2009 vs. June 2008

July 5, 2009 // Comments Off

PHOENIX, ARIZONA

The “Valley of the Sun” continues to be one of the most popular cities (and 5th largest) in the United States!

June 2009 vs. June 2008

2,167 single family detached houses were purchased last month vs. 1,030 last year (June 2008).

The average price paid was $129,165 vs. $244,767 last year.

The median price came in at $85,050 vs. $200,000 last year.

The ratio of purchase price to list price was 102% vs. 96% last year.

The average time on the market was 71 days vs. 97 days last year.

There were 12,966 Active single family listings vs. 13,092 last year.

Click Here for full current Phoenix Market Report

Search Phoenix Homes

photo by Miguel Folch

Posted in phoenix market conditions