By Dody Kettler

Prudential Jack White/Vista Real Estate

                      The theory behind short sales seems simple enough: If a homeowner owes more money on a house than the house can sell for, and the homeowner is struggling to pay the mortgage, the lender will allow the house to be sold for less than is owed.

For obvious reasons, lenders are not big fans of short sales and often make it a complicated process.

                      In April 2010, The Home Affordable Alternatives Program (HAFA) released new guidelines designed to streamline the short-sale process and allow more delinquent homeowners to sell their homes and move on with their lives.

                      In its first year, participating servicers initiated 12,266 HAFA agreements and completed 5,447 transactions.

                      According to the National Association of Realtors, the share of distressed homes”bank-owned properties and pre-foreclosure short sales” in April 2011 dropped to 37% of total sales volume, down from 40% in March and an average of 39% over the first quarter.

                      HAFA complements the Home Affordable Modification Program (HAMP), a loan modification program designed to reduce delinquent and at-risk borrowers™ monthly mortgage payments by providing alternatives for borrowers who don™t qualify for or don™t complete a trial modification.

                      œ[HAFA short-sale guidelines] are designed to help people who are unable to keep their home under the HAMP loan modification program, said Jeff Lischer, managing director for regulatory policy for The National Association of Realtors. œLet™s say you can™t keep your property under HAMP, the next step is a short sale, which is better than a foreclosure.

                      It™s estimated that lenders lose about 40% of a property™s value on a foreclosure, whereas the figure is reduced to about 19% on a short sale. Moreover, the short sale is a graceful exit from the ownership, which is better for people™s credit scores.

                      New rules also add incentives for the short-sale process. One incentive helps sellers relocate by providing them with $3,000 for moving expenses. A second incentive is for mortgage servicers, who receive $1,500 from the federal government for each completed short sale. Under new guidelines, homeowners can secure a short sale approval in advance from the bank representing a minimum net amount the bank will accept.

                      Lenders participating in the HAFA program maintain the following requirements for homeowners considering short sale: The loan must be less than $729,750, made before Jan. 1, 2009, and the home must be the owner™s primary residence. Also, the homeowner must be delinquent and unable to pay the mortgage, and the homeowner™s mortgage payment must be more than 31% of his or her before-tax income.

                        Dody Kettler can be reached at (907)232-7331. Prudential Jack White/Vista Real Estate is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential company. Equal Housing Opportunity.

By Dody Kettler

Prudential Prudential Jack White/Vista Real Estate

                      Back in the days before anyone knew better”we™re talking pre-1980”much of the paint used in homes contained lead. Over time, the paint would chip or crumble and the resulting dust caused serious health issues, especially for children and pregnant women.

                      Lead-based paint was used both inside and outside of homes, most notably on windows, baseboards, trim and doors. Many layers of lead-based paint have been disturbed through the years during remodeling or home repair and it™s necessary for anyone selling a home to be aware of this.

                      The Environmental Protection Agency issued a report revealing that lead can affect children™s brains and developing nervous systems, resulting in reduced intelligence, learning disabilities and behavioral problems.

                      In a study released by the Department of Health, the agency reported that about 75% of all homes built before 1978 contain some lead-based paint. Furthermore, it™s estimated that more than 38 million homes in the U.S. still contain lead paint.

                      So, a chief concern of anyone buying or selling a house should be to address the possibility of any lead paint in the home and it™s vital that anyone dealing with paint in older homes treat it as if it is hazardous material.

                      Real estate agents and their sellers are required to disclose any presence of known lead paint and lead hazards during the sale or rental of housing. The same holds true for renovation and remodeling contractors, who are required to warn customers of the hazards of lead paint.

                      Last year, the first federal regulation on the remodeling industry was enacted concerning this important hazard.

                      To ensure that all lead paint is removed safely and effectively, the U.S. Environmental Protection Agency™s  œLead: Renovation, Repair and Painting rule governing the work of professional remodelers in homes where there is lead-based paint was published in the Federal Register on Earth Day, April 22, 2010.

                        The law requires that anyone who is paid to renovate a home that was built before 1978 be trained and/or certified to follow lead paint safety practices. The new rule lists prohibited work practices, including open-torch burning and using high-heat guns and high-speed equipment such as grinders and sanders unless equipped with a HEPA filter. It also requires a cleaning inspection after the work is completed.

                      For homeowners who are unsure about their homes, sometimes it’s easier to replace windows, doors, or woodwork than it is to remove the lead-based paint. This way, all traces of any paint will have been removed from the home.

                      Agents know that there™s no question that a home is worth more if they can say for certain that it contains no lead paint, so for the peace of mind of everyone involved, deal with all lead paint issues as soon as possible.

Dody Kettler can be reached at (907)232-7331. Prudential Jack White/Vista is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential company. Equal Housing Opportunity.

By Dody Kettler

Prudential Jack White/Vista Real Estate

                      Although your home may have been housing a traditional family of a mom, dad and two kids, savvy real estate agents will tell you that in order to attract more buyers, staging your house as one fit for multi-generations is the way to go.

                      More parents and grandparents are finding a need to move in with family, as many can no longer afford the increasing rates of the adult communities where they once lived. Furthermore, the economic climate is forcing many kids to return home once their schooling is done.

                      A recent multi-generational study conducted by the Pew Research Center, Washington, D.C., revealed that multigenerational living has been on the rise over the past decade, fueled by demographic and cultural shifts.

                      œOne of the things that struck me about this change is that it™s coming from all directions, said Paul Taylor, author of the report. œMore young adults are moving back home, more elderly are moving in with their middle-age children and more middle-aged children are moving back with their elderly parents.

                      Data from the study shows that in the 10-year span between 2000 and 2009, the number of households practicing multi-generational living increased to 33%, with more than 49 million Americans currently living in homes with three or more generations.

                      Real estate professionals are tending to highlight features such as finished walkout basements and bonus bedrooms today more than ever. That™s why when your agent tells you that switching out your office or transposing the basement play area to one that resembles more of a bedroom is the way to go, you should be listening.

                      When selling your home, you need to look at the process from the perspective of all buyers, not just yours. Consider how a multigenerational family might use the various spaces available, and give prospective homebuyers options to easily transform from single-family to multigenerational living.

                      Therefore, any home that contains bonus space is a viable candidate for a multigenerational buyer who™s planning to bring an ill or out-of-work family member back into the fold.

                      Experts agree that intergenerational living is easier when each family subunit has its own space. œEveryone who is going to share the home should have a private area of their own, said Amy Goyer, a multigenerational expert at AARP. œIt is best if there is more than one common area so that children and adults have spaces to relax in without everyone having to spend all their free time in the same room together.

                      Multigenerational house design can be applied to just one structure or can be accomplished with two or three units to keep families together while preserving their independence and privacy.

                      According to Cam Marston, author and founder of the research firm Generational Insight, there are a number of benefits for different generations of a family living together. œIt™s less expensive, obviously, but more importantly, they can learn from one another, Marston said. œSeparating generations keeps them aloof from the trends and important things impacting each generation. When they are all under one roof, they can grow up sooner and stay young longer. It works on both ends of the generations.

                      Another thing for home sellers to consider when it comes to attracting multigenerational buyers is the home™s accessibility for people who might be living with aging parents who use wheel chairs or walkers.

                      Creating a complete, accessible living space on one level with safety features can make a home attractive to people of all ages.

Dody Kettler can be reached at (907)232-7331. Prudential Jack White/Vista Real Estate is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential company. Equal Housing Opportunity.

By Dody Kettler

Prudential Jack White/Vista Real Estate

                      Spring is in the air and that means that homebuyers are going to be paying just as much attention to the exterior of a home than the interior. Those shopping for a home want to envision their kids playing in the yard, their friends coming over for barbeques and the lazy Sunday afternoon laying on the lawn.

                      While people are inclined to bring in flowers, paint the deck and work on the curb appeal, often the lawn itself is neglected. The positives of a well-maintained grass yard are many and it™s important to get your grass in tip-top shape before showing your home.

                      When it comes to growing grass, consistent care is key and failure to invest in long-term turf care can open the window to any number of problems in your lawn.

                      It™s also important to give your grass the fertilizing lawn care and control treatments it needs based on the season. Lawn care for growing grass as we enter May has different needs than what is expected in late summer and fall.

                      The way you mow your lawn can either make growing grass easier or harder. In the spring, you need to keep the grass high. You never want to remove more than one third of the total blade height when mowing, or you could chop off the food-producing parts of the grass blade and end up with a brown lawn instead of a green one.

                      You should also leave grass clippings on the lawn to help recycle important lawn fertilizing nutrients.

                      Lawn care experts share that growing green plants is the best thing you can do to clean the air and grass is considered to be better than most other plants or trees at removing carbon and other impurities from the atmosphere. Through the process of photosynthesis, grass takes carbon from the air and stores it in the ground.

                      œA grass lawn enriches the soil by providing a home for beneficial micro-organisms and insects that eat nature™s leftovers”decomposing grass clippings, plant leaves and other vegetation”and recycle nutrients back into the soil, said Michael McDermott, a lawn care expert in Larchmont, N.Y. œIt also pollinates plants and serves as food for other animals, making grass an important part of nature™s cycle.

                      An important component of growing grass is to properly water it, and it is better to water deeply (down to a depth of 6 inches) and less frequently, than lightly and more often. If your lawn dulls in color or begins to wilt, then your lawn needs water. Make sure to sweep any fertilizer that lands on driveways and sidewalks back on to the lawn.

                      Grass also acts like a natural air conditioner that cools the air as it releases water vapor through its blades. The water evaporates and draws heat, cooling the air in the process. As a result, lawns are a safer surface for children to play on and provide the cool comfort we desire on hot days. Those are selling points that can help any home sale.

Dody Kettler can be reached at (907)232-7331. Prudential Jack White/Vista Real Estate is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential company. Equal Housing Opportunity.

By Dody Kettler
Prudential Jake White/Vista Real Estate

       When people enter your home they usually look down before up, so that first step is vital for attracting a homebuyer and making a great first impression. This is one reason why more people are installing hardwood floors in their homes.

       Hardwood flooring enhances the look of any room and can create a classic ambiance that will beautify the interior design of your home. Residential real estate agents agree that homes with wood floors hold their value better, sell faster and fetch higher prices.

       Last year, 99 percent of real estate agents responding to a national survey conducted by the National Wood Flooring Association agreed that homes with hardwood floors are easier to sell. The survey also found that 82 percent believe that homes with hardwood floors sell faster and 90 percent said they would sell for more money.

       The American Hardwood Information Center adds that restoring hardwood flooring in the home is one of the best long-term investments to be made.

       œHardwood floors are environmentally friendly, forever fashionable, and will last for generations, said Pembroke Jacobs, president of the Hardwood Manufacturers Association. œPlus, with an expected life span of up to 100 years for certain premium hardwood flooring, you can be assured that that the hardwood really is a one-time investment with a very long-term payoff.

       Real estate agents also agree that carpeting does not impress potential buyers, but hardwood floors are always a draw. Engineered wood floors impart warmth, depth and richness to a home™s decor that cannot be matched by carpeting, tile or vinyl flooring.
Despite the existence of modern architectural trends in flooring, hardwood can still compete with floor tiles and other artificial materials. It comes in a variety of colors and grains; light, medium, or dark shades; and a variety of sizes, styles, finishes and species.

       Maple, mahogany and oak are the most popular woods, but some homeowners are investing in exotics such as Brazilian cherry and purpleheart.

       The Environmental Protection Agency has said that indoor air quality is one of the top health threats and wood floors can help contribute to a healthy living environment. In fact, a recent EPA study found that pesticides used in gardens and homes accumulate on floors and other surfaces in the home, but that wood floors greatly reduce the accumulation of such toxins. Hardwood floors also do not trap or harbor dust mites or molds.

       Though wood floors will probably need to be refinished at some point, when properly taken care of they are much easier to maintain than other floor surfaces.

       The NWFA recommends regular sweeping of hardwood floors with a soft-bristle broom or dust mop to remove surface dirt and debris. If your floor contains beveled edges, it recommends using a vacuum with a soft bristle brush attachment to remove dirt and debris from between the floorboards.

       Having hardwood floors could be the difference between selling your home or watching a potential buyer walk out the door on a less-appealing type of flooring.

Dody Kettler can be reached at (907)232-7331. Prudential Jack White/Vista Real Estate is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential company. Equal Housing Opportunity.

By Dody Kettler
Prudential Jack whitw/Vista Real Estate

       Every homebuyer has a vision of their perfect house and the rooms that are most important to them. Because of their relatively small size in comparison to the rest of a home, bathrooms are often overlooked in the staging process, but for many, it could be the most important room in a buying decision.

When buyers walk into a renovated bathroom that exudes quality and offers an intimate, contemporary feel, it™s one of the top things that people will remember about a home.

Dody Kettler can be reached at 907-232-7331. Prudential Jack White/Vista Real Estate is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

By Dody Kettler
Prudential Jack White/Vista Real Estate

               2011 opens as a strong buyer™s market so home sellers must be on their toes to give their homes maximum appeal. Not only should sellers complete the home repairs they know must be made, they should also hire a certified home inspector to thoroughly and impartially evaluate their properties.

Among the most common repairs and enhancements yielding immediate buyer appeal include:

• Paint inside and outside in neutral colors
• Steam clean or replace carpets
• Polish or replace hardwood floors
• Clean or re-grout kitchen and bathrooms
• Replace light fixtures
• Change light bulbs throughout and replace wall-switch covers
• Repair dripping faucets
• Fix sticking door
• Repair broken fencing

               Home sellers wanting to do more should consider the findings of Remodeling magazine™s 2010-™11 Cost vs. Value Report, released in December 2010. The survey used input from REALTORS in 80 cities to rank home remodeling projects according to those that bring the greatest cost recovered at sale.

A home in good condition demonstrates pride of ownership. Taking the time to make enhancements helps ensure your home is presented in its best-possible light, primed for sale.

Dody Kettler can be reached at (907)232-7331. Prudential Jack White/Vista Real Estate is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.  

By Dody Kettler

Prudential Jack White/Vista Real Estate

Today™s first-time homebuyers are presented with the opportunity of a lifetime. Mortgage rates in early December stood near lows last seen during the Truman administration while home prices were well off their peaks of previous years. The combination made housing affordability, as measured by the National Association of REALTORS ^®, the highest since NAR ^® launched its Affordability Index in 1973.                      

Housing inventory is also abundant in many markets, enabling first-timers to secure good homes and pave the way to their financial futures. Indeed, homes and their long-term virtues of shelter, wealth-building and personal and civic pride are available at bargain-basement prices that won™t, or can™t, last.

Naturally, first-timers have many questions about home buying, starting with costs. With research and the services of a licensed real estate professional, these consumers can demystify the process and place themselves on the fast track to homeownership.

Knowledge is power “ Nine out of every 10 home searches today begin on the Internet. With just a few mouse clicks, you can peruse neighborhoods, search countless online listings and take virtual tours packed with detailed photographs. The process gives you working knowledge of home availability and pricing in your local markets so by the time you sit down with your real estate sales professional you™re well on your way.

Also visit informative websites such as www.ginniemae.gov, www.realtor.com and prudential.com, and check the local newspaper for homebuyer seminars.  

Affordability “ Costs involved in the purchase of a home “ mortgage, down payment and closing expenditures “ can be overwhelming to first-time homebuyers. By looking at your income and debt ratio, your real estate professional can help you calculate how much you can afford each month in mortgage payments. But before determining your price range, you should also take into consideration other factors that will affect your monthly budget once you are a homeowner, such as property taxes, insurance, utilities and maintenance. And if your down payment is less than 20 percent of the cost of the home, you will be responsible for private mortgage insurance.

Mortgage payment “ In today™s buyers market, you may face competition for your dream home. To establish your spending limit and gain the ability to move quickly on a home, get pre-approved for a loan before you start looking. The fact that your loan has already been approved is of great value to the seller because it shortens the purchase process, and there is less of a chance that the buyer will back out of the sale. This process will also help you identify any credit challenges you must address prior to your purchase.

If you don™t have a specific mortgage lender in mind, ask your sales professional for a recommendation.

Down payment “ The down payment amount varies depending on the value of the home you choose and your mortgage lender. First-time homebuyers may also qualify for down-payment assistance programs and grants available through their states and municipalities. Contact your state housing finance authority, county housing and community development office for an application.

Closing costs must be factored in as well. These include origination fees charged by the lender, title and settlement fees, taxes and prepaid items such as homeowners insurance or homeowner association fees. All told, buyers should spend no more than 28% of their income on housing costs, according to Fannie Mae. Your real estate professional will be able to explain your options.

Making offers “ Make sure you visit several different homes to get a feel for the marketplace. Visit the ones you like again to see things you might have missed. Work with your real estate professional to get all of your questions answered before making an offer. And remember there are no silly questions. Make sure you understand and are comfortable with every aspect of the transaction.

Indeed, home ownership remains a sound financial decision for most and a key component of long-term financial planning. First-time buyers who seek homes for all the right reasons “ a place to raise a family, build for the future and face life™s opportunities and challenges “ can secure their dreams and build for their futures at some of the most attractive values in years.

Dody Kettler can be reached at (907)232-7331. Prudential Jack White/Vista Real Estate is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

New Orleans, November 05, 2010

Pending home sales retreated after two monthly gains, signaling an uneven recovery entering 2011 with some near-term disruptions from the foreclosure moratorium, according to the National Association of Realtors ®. The report was released here at the 2010 Realtors ® Conference & Expo.

The  Pending Home Sales Index,* a forward-looking indicator, slipped 1.8 percent to 80.9 based on contracts signed in September from an upwardly revised 82.4 in August. However, the index remains 24.9 percent below a surge to 107.8 in September 2009 when first-time buyers were jumping into the market to take advantage of the initial deadline for the tax credit last November. The data reflects contracts and not closings, which normally occur with a lag time of one or two months.

Lawrence Yun, NAR chief economist, said there is a mix of factors in the housing market. œExisting-home sales have shown some improvement but the foreclosure moratorium is likely to cause some disruption and contribute to an uneven sales performance in the months ahead, he said. œNonetheless, there appears to be a pent-up demand that eventually will be unleashed as banks resolve their issues with foreclosures and the labor market improves. However, tight credit and appraisals coming in below a negotiated price continue to constrain the market.

The PHSI in the Northeast slipped 1.7 percent to 59.6 in September and is 28.3 percent below a year ago. In the Midwest the index fell 5.7 percent in September to 64.2 and remains 33.0 percent below September 2009. Pending home sales in the South declined 3.5 percent to an index of 87.6 and are 19.1 percent below a year ago. In the West the index rose 3.5 percent to 104.6 but is 24.7 percent below September 2009.

In examining the underlying fundamentals, Yun expects the Gross Domestic Product to grow 2.0 to 2.5 percent over the next two years. With a projection of 1.5 million additional jobs over the next two years, the unemployment rate should decline to 8 percent by 2013 and return to a normal level of around 6 percent in 2015.

œMortgage interest rates currently are bouncing along the bottom, but are expected to gradually rise and average 4.9 percent next year, then rise to 5.8 percent in 2012, Yun said.

Existing-home sales are forecast to gradually rise, with some occasional dips along the way. œFor 2011 we should see more than 5.1 million existing-home sales, up from about 4.8 million this year. Housing starts are expected to rise to 716,000 in 2011 from 598,000 this year, Yun said. œWe™ve added 30 million people to the U.S. population over the past 10 years, but sales are where they were in 2000, so there appears to be a sizable pent-up demand that could come to the market once the economy gathers momentum.

The National Association of Realtors ®, œThe Voice for Real Estate, is America™s largest trade association, representing 1.1 million members involved in all aspects of the residential and commercial real estate industries.

# # #

*The Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.

The index is based on a large national sample, typically representing about 20 percent of transactions for existing-home sales. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity parallels the level of closed existing-home sales in the following two months. There is a closer relationship between annual index changes (from the same month a year earlier) and year-ago changes in sales performance than with month-to-month comparisons.

An index of 100 is equal to the average level of contract activity during 2001, which was the first year to be examined as well as the first of five consecutive record years for existing-home sales.

NOTE: The next Pending Home Sales Index will be released December 2, and existing-home sales for October will be reported November 23; release times are 10:00 a.m. EST.

Information about NAR is available at  www.realtor.org. This and other news releases are posted in the News Media section. Statistical data, tables and surveys also may be found by clicking on Research.

Posted by businessinsider

Posted: October 21, 2010 – 1:40 pm

From Bill White –

The board of the Alaska Industrial Development and Export Authority has approved issuing up to $31.5 million bonds for a Wasilla movie theater and two projects in Fairbanks.

The developers will be responsible for repaying the bonds. The state business development agency is issuing the tax-exempt bonds so that the developers can get lower interest rates.

The projects are:

¢ Up to $11.5 million in bonds for construction of a 12-screen, 40,379-square-foot Coming Attractions Theatres theater in Wasilla. Northrim Bank is also the lender on this project, AIDEA said.

¢ Up to $17 million in bonds for construction of a 38,000-square-foot Tanaga Outpatient Surgery Center in Fairbanks. First National Bank Alaska is the lender on this project.

¢ Up to $3 million in bonds for construction of a 8,078-square-foot Mt. McKinley Animal Hospital in Fairbanks. Northrim is the lender on this project.

Separately, the board approved participating in a $4 million loan to refinance debt on a retail center at 2203 W. Dimond Blvd. in Anchorage. AIDEA will provide $3.6 million of the loan and First National the rest.

Read more:  http://community.adn.com/adn/node/153837#ixzz13nUB3etA