Colorado Real Estate | Colorado Home Finder Blog 
FHA Suspends 90-day "Flip Rule"
Monday, February 8th, 2010 at 9:34am. 55 Views, 0 Comments.
Real estate investors who purchase fixer-uppers with the intent of re-selling at a profit no longer have to hold the property a minimum of 90 days before selling the property to an FHA-loan buyer. Last week the FHA temporarily suspended it's 90-day "flip rule" which required a holding period of 90 days before the property could be re-sold. The FHA cited that their reason for doing so was to "facilitate the return and repair of habitable properties to the market in a timely fashion".
The 90-day "flip rule" was originally written to prevent investors from fraudulently pushing up home prices with the help of appraisers and lenders. The 90-day limit is waived only if the property has "no pattern of previous flipping" in the past 12 months. Under…
The Case-Shiller Report Ranks Denver No. 3
Wednesday, January 27th, 2010 at 10:13am. 23 Views, 0 Comments.
(From InsideRealEstate.com) The Denver-area housing market ranked No. 3 of the 20 cities tracked in the closely watched S&P/Case-Shiller Home Price Indices report released today.
The Denver metropolitan statistical area was one of four cities that in November showed a year-over-year improvement, “something we really haven’t seen in at least two years in most markets,” said David M. Blitzer, chairman of the Index Committee at Standard & Poor’s.
Read the entire article at InsideRealEstate.com
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This Month in Real Estate | January 2010
Thursday, January 21st, 2010 at 9:59am. 19 Views, 0 Comments.
Here is a recap of the real estate market for January 2010 - Is there light at the end of the tunnel?
Get Pre-Approved for Your Loan Before You Write an Offer
Monday, January 11th, 2010 at 12:37pm. 41 Views, 0 Comments.
There are many reasons to get your financing approved up-front, before you sign a contract to purchase a home. Most realtors will tell you that this is important because it helps to determine the appropriate price range in which you can buy. More importantly, it removes the uncertainty of whether or not you will be able to complete the purchase transaction, and it will almost certainly be required by a seller before they even consider accepting your purchase offer. I agree with all of the above. They are valid and important reason for getting pre-approved for your loan.
But what most real estate agents won’t tell you, because they don’t even realize it themselves, is that when you present an offer on a property as a pre-approved borrower you are in…
Should you pay closing costs or not?
Friday, January 8th, 2010 at 12:38pm. 20 Views, 0 Comments.
Chances are good that if you’re shopping around for a loan most lenders aren’t going to point out the pros and cons of paying your own closing costs -- they typically use the “one size fits all” approach. Most borrowers don’t even realize they have an option. Paying your own closing costs is sometimes the best way to put together a loan package; sometimes it’s the worst way to structure your financing. Nine times out of ten your conversation with a lender will focus around rates and not around fees. This can be, and often is, a BIG, BIG COSTLY MISTAKE. Be sure to ask your lender to show you a few different options that will allow you to compare the different ways to structure your loan and your closing costs to determine what’s best for you.
Homes…
Don't Rely on Seller Property Disclosure - Get an Inspection!
Wednesday, January 6th, 2010 at 3:03pm. 26 Views, 0 Comments.
The colorado Real Estate Commission has created a form called the Seller's Property Disclosure form. This form provides an opportunity for the seller to answer certain questions and provide prospective buyers with information regarding the property’s condition. As a buyer you can obtain a copy of the disclosure form from the listing broker either prior to writing an offer, or after your offer is accepted.
It is my opinion that a seller disclosure form is not a reliable substitute for a thorough property inspection by a professional home inspector. A seller may, with the best of intentions, complete the disclosure form, but without, for example, knowledge of home construction or mechanical systems, that ability to accurately describe the condition of the…
What stays with a home and what goes?
Monday, January 4th, 2010 at 12:52pm. 25 Views, 0 Comments.
This question is actually addressed in the Colorado Contract to Buy and Sell Real Estate. Careful attention should be paid to this section of the contract in order to avoid any misunderstandings and potential disappointments. In general, items that are physically attached to and intended to be part of a home are expected to stay. These are referred to as "fixtures". For example, if there is a built-in dishwasher it should stay. If the sellers wanted to take the dishwasher with them they would list it as an "exclusion" in the MLS, and your real estate agent should also list it as an exclusion in the Contract to Buy and Sell. Sometimes it is difficult to determine what is or is not a fixture. If it is not listed as an exclusion then it will typically be an…
Colorado Home Finder Questions and Answers
Wednesday, December 30th, 2009 at 2:09pm. 27 Views, 0 Comments.
Colorado Home Finder Answers Questions from People Seeking to Buy Colorado Real Estate
Q: Can I discount the sale price to create a down payment?
A: Unfortunately the answer is No. Lenders determine the amount that they are willing to lend based on a percentage of the sale price or the appraised value, whatever is less. In the case of a “discounted” price, say selling a home worth $250,000 for $240,000, the sale price is $240,000. Even if the appraisal came back at more than the contract price of $240,000, the lender is still going to require a cash down payment of at least 3.5 % for FHA loans, and 5% for Conventional loans. Lenders do not recognize a discount from the sales price as an alternative to a down payment.
As mortgage guidelines have tightened…
Colorado Real Estate Foreclosures Rise in November
Tuesday, December 22nd, 2009 at 12:02pm. 25 Views, 0 Comments.
Increasing Foreclosure Filings May Keep Colorado Real Estate Prices Flat.
Home foreclosures rose in Colorado in November by 11.8% compared with November of 2008, while foreclosure sales fell by .5% for the same time periods.
In November 2009 there were 2,802 foreclosures filed compared to 2,506 in November of 2008. Sales of foreclosed homes fell from 1,520 in November 2008 to 1,512 in November 2009 based on a report by the state Division of Housing.
Year-to-date foreclosure filings from January 2009 thru November 2009 increased by 12 percent over the same period in 2008. The total number of foreclosure filings from January thru November of this year has been 36,628 compared to 32,744 during the same period in 2008. Sales of foreclosed properties fell…