Foreign Investors Flock to U.S. Housing Market

As the news is reporting, foreign real estate investors are heading to the U. S. to snap up cheap, inexpensive homes… in the hopes of selling them for a profit. Tucson, Arizona is seeing many of those foreign real estate investors making their mark, right here in our own city. In fact, NAR (National Association of Realtors) reports that roughly 28% of realtors have completed a real estate transaction with a foreign investor in the past year. Want to read more?

You can find the article in its entirety at HERE

Tucson Home Sales Statistics

Key Prior Month Statistics: JUNE 2010 Statistics 
Total Tucson Home Sales Units:
1,170
 Increased 2.72% from June 2009
Decreased 7.87% from last month.

Total Tucson  Pending Sales: 1,145
 Decreased 20.04% from June 2009
Increased 18.90% from last month.

Tucson Average Sale Price: $189,231
 Down 9.44% from $208,952 in June 2009 

Total Tucson Active Listings: 6,852
Up 9.44% from 6,261 in June of 2009
                               
Total Tucson New Listings: 1,505
 Down 387 units from 1,892 in June of 2009

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Northwest Tucson Average Sale Price: $265,124
Up from $237,880 last month
Northwest Tucson Active Listings: 1,745
Up 9 units from last month

Northwest Tucson New Listings:  378
 Up 35 units from last month

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Catalina Foothills Average Sale Price:  $424,172
Up from $404,201 last month

Catalina Foothills Active Listings: 716
 Down 12 units from last month 

Catalina Foothills New Listings: 132
 Down 73 units from last month

CONCLUSIONS

 

Positive Market Indicators this month   More buyers are out than last year.  In fact, year to date, 98.08% more homes have been sold than in 2009.  That is 3,114 more homes that have already been SOLD!  Pending contracts are up almost 19% over last month.  Compared with June of 2009, new listings have declined by 20.45%  And, 33% of homes sold in June sold in 30 days or less.  Great news! 

Negative Market Indicators this month Unit sales are down about 8% from last month.  Active listings are up 1.63% over May.  New listings are up slightly over last month by 2.87%.

QUESTIONS ABOUT
TUCSON HOUSING MARKET CONDITIONS?
Email John or call him today at (520) 247-4459

 

* All statistics were obtained from the Tucson Association of Realtors June 2010 report *

Do You Qualify for a VA Mortgage?

The Veterans Administration created its own loan program in 1944, which became part of what is known as the GI Bill of Rights. This loan program was created to assist veterans of war become home owners. The program has become a success and has helped many of our clients purchase homes.

 

If you are a veteran, there are many benefits to using a VA loan.

BENEFITS

1. No down payment required
   
2. Closing costs must be paid by the seller
   
3. VA loans are insured by the government against default
   
4. No private mortgage insurance required
   
5. No prepayment penalties
   
6. Can apply for an "interest rate reduction loan" (which allows veterans to refinance to a lower rate with little or no out-of-pocket expenses)
   

WHO QUALIFIES FOR A VA MORTGAGE?

1. Active military personnel
   
2. Veterans
   
3. Reservists
   
4. Members of the National Guard
   
5. Unmarried spouses of a qualifying member of the armed forces who died as a result of serving in the military, who meet the following qualifications:
   

• Veterans must have served a minimum of 90 days during wartime in World War II, the Korean Conflict, or the Vietnam War. Peacetime service requires at least 181 continuous days of military service.
  
• Enlisted veterans who began their service after September 7, 1980, or officers who began their service after October 16, 1981, must have served at least two years.
  
• National Guard or Reservists need to have served a minimum of six years.
  
• No one who has been dishonorably discharged is eligible.
  

There are additional criteria for military personnel who have served in Afghanistan and Iraq. Speak with a lender about the specifics of a VA mortgage and any other mortgage you might be considering. If you have questions about a VA mortgage you can call us at (520) 247-4459 or E-Mail Us and we can provide you with a list of lenders who can assist with VA mortgages.

 

 

How To Sell Your Home in a Buyer’s Market

Let's face it. Everyone is complaining about "how bad the economy is", "how bad the stock market is", and how "bad the real estate market is." About the only people making any money around here just might be those investors who snatched up gold a few years ago when it was next to nothing. Or, maybe you are one of the lucky few who can still sell your home today and make a profit. To those of you, we say... Congratulations.

But, for many Tucson home sellers, there won't be any profit coming from the sale of their home. In fact, many Tucson home sellers are having to cough up money to pay off the bank just to close the transaction. In essence, they are paying for someone else to buy their home. In a buyer's market, a home seller MUST do the suggested tips below. Otherwise, they may find that their home is the one that sits on the market for months or even years. With that being said, here are a few tips on how to sell your home in a buyer's market.

1. Price. Price. Price. Did we mention price? This is the most important factor when selling your home in a buyer's market. Remember this, if you price your home at market value, approximately 60% of potential buyers will consider your home. On the other hand, if you price your home even 10% above market value, only 30% will consider your home. And if you price it 15% above market value, only 10% will consider your home. So, pricing your home according to the local and neighborhood markets is absolutely key.

2. Make your home available. Think this sounds crazy? Believe it or not, some Tucson home seller's restrict the hours and days that their home can be viewed. What happens if a Tucson home buyer is only in Town for a few days and can only view the home when that home seller says that they don't want showings? That Tucson home seller just lost a potential buyer. Don't restrict showing times... it is a turn off to Tucson home buyers. If you are a serious home seller, you will make your home available to view on the buyer's schedule. After all, it is a buyer's market.

3. Clean and de-clutter. Sounds easy enough, right? But, when you are living in your home on a day to day basis, you may not even realize that your home is cluttered. Invite a neighbor, friend, or your Realtor over and have them pretend that they are viewing your home for the first time. What would they be turned off by? And, if you are asking a friend... make sure they are honest and won't be shy about suggesting what needs cleaned up. Polite friends are always good, but sometimes you need that honesty. And don't forget to clean! No one likes to walk into a bathroom with hair around the sink or in the bathtub. So, clean it up!

4. Open Houses. Yes, these are considered "old fashioned" in the world of real estate, but we have sold many of our client's homes via open houses. So, if your agent suggests an open house, don't turn the opportunity down. OPEN HOUSES WORK.

5. Offer incentives. If your neighbor down the street is selling his house and it is the same exact model, same price, and similar features, you need to be creative about attracting buyers to your property over his. It is common in a buyer's market for the home seller to pay for closing costs, or throw in a car... SERIOUSLY! With your Realtor's help and creativity you should be able to come up with something.

Those are the 5 major tips on how to sell your home in a buyer's market. We could go on forever, but in a gist, those are the major points. If you have questions or suggestions, let us know. We love feedback. Email us or give us a call.