Check out all of the latest statistics for the Prescott-Prescott Valley-Chino Valley area. http://goo.gl/wqZGjL
Great News! Our local Prescott Area Luxury Homes, $600,000 and above, has shown a 61.3% increase in the number of Luxury homes sales for the last 6 months compared to the same period the year previous, according to our local Prescott Area Association of REALTORS Statistics. When the bubble burst, Prescott Luxury Homes sales were affected like all homes were, however we are starting to see a nice recovery in these homes. To see all of the local area statistics, including the Prescott Area Luxury Homes, click on the following Link:
NEW RULES IN EFFECT FOR OWNER CARRY MORTGAGES
There are many unintended consequences of the mortgage melt down. Dodd-Frank Legislation, with the best of intentions was the reaction to years of loose lending practices. This meaty legislation was signed in to law by President Obama in July 10, 2010. Unfortunately, much of the rules, regulation and thoughts behind the legislation were yet to be developed and were put upon a newly created government agency the Consumer Financial Protection Bureau (CFPB). Part of the consumer protections written into rule now govern seller financing.
The new overall rules as part of the CFPB require all residential mortgage loans to be offered and negotiated by licensed loan mortgage originators. However, sellers may offer owner carry back financing provided they do five or fewer transactions in any given year.
Many investors consider Owner Carry Financing as part of their overall investment strategy, and in the past this has been a really good way to leverage yourself, make the interest and have a longer term investment especially with regard to vacant land transactions.
The Consumer Financial Protection Bureau’s Rule takes effect January 10th, 2013:
Seller must determine in good faith, buyers ability to repay loan with supporting documentation.
Fixed interest rate for at least 5 years, or is adjustable after 5 years with reasonable life time caps
NO BALLOON PAYMENT, the loan must be fully amortizing.
Now all of that said, the seller can require a due on sale clause that would effect the term of the loan.
In the event these rules are not met, the buyer can have up to three years to rescind the sale and demand full refund of all money paid in. There can also be penalties such as treble damages in the amount of interest paid by the borrower.
Life as we know it with regard to Seller Financing has changed. If carry back financing was part of your overall investment strategy, please consult your attorney as you navigate future transactions.
The National Association of Realtors has provided a summary of the rule here.
Enjoy perusing the Prescott Area Real Estate Monthly Statistics Report for May, 2012. The Long Family Team will be providing these periodically to our clients and valued customers. If you would like a custom update, please call or email us directly and we will be happy to provide you with the most up-to-date statistics. As always, we appreciate your referrals and thank you for your loyal business! Click on the link below to download and enjoy your complimentary report.
The latest Prescott, AZ Area Real Estate numbers are in for January, 2011! From in-depth reporting of foreclosure information to beautifully segmented pie graphs showing what is selling, you won’t want to miss a single page of this report! Click the image below to download the report, and be sure to share with all your friends! Questions? Give us a ring at (928) 237-1908. Enjoy!
Have you learned just enough about short sales to be really confused about them? Maybe you DO understand them, but with all of the variations of short sales (which there are many) you need to know which one is BEST for you! Well, if you find yourself in either of the positions and you just want to KNOW you are making the best decision about the potential short sale of your home or property, then THIS REPORT WAS WRITTEN FOR YOU! See, while the ultimate decision is yours and yours alone, we didn’t want to leave clients of The Long Family Team hanging. As you may have come to learn, we strive to go the extra mile in providing our clients with the finest resources and information as we make “service” our highest priority! So, without further adieu……
Not only is technology a big part of our business, it is involved in nearly every capacity of what we do. From preparing a listing, to research, to managing escrows, it is now imperative that as a leading team, we be well versed in how technology can make our lives better, and how we can better service our clients by leveraging the latest technology. So, we wanted to share a bit about exactly how technology serves us and benefits you! Enjoy this brief presentation!
Do you owe more on your home than it’s worth? Have you been struggling to make your monthly payment or fallen behind? Are you considering just walking away? Then we beg you to take a moment, download this FREE report we wrote just for Prescott, AZ Area homeowners who have mortgage problems, and find out what your options are and most importantly, take advantage of our special offer that gets you a FREE legal consultation so you can know which option is best for you!
(Click to download)