Overall, we are still in a Buyer's market with the absorption rate at approximately 51 total home sales per month which in turn determines 14 months of housing supply within the greater Flagstaff area.

However, looking closer at homes priced below $400K, there were approximately 9 months of supply with a median price of $279K.

Average sale price of single-family home in Flagstaff still hovers just below $300K, $299,689.-

A short sale can be an excellent solution for homeowners who need to sell, and who owe more on their homes than they are worth. In the past, it was rare for a bank or lender to accept a short sale. Today, however, due to overwhelming market changes, banks and lenders have become much more negotiable when it comes to these transactions. 

1. LOCK IN LOANS. Don't make the mistake of waiting for loose credit that may be a long time coming.  Interest rates are low but will inevitably increase.
    
2. HOLD REIT SHARES.  REITs are all about yields (forget appreciation) and a solid dividend in an uncertain environment.  Even with the recent REIT value run-ups of 28 percent in 2010, according to the National Association of Real Estate Investment Trusts, funds with high-quality assets should be less volatile than most stocks.
    
3. BUY LAND IF YOU CAN AFFORD TO HOLD IT.  Developable land prices are cheap, although the wide bid-ask spread is still a challenge for buyers.  Remember, says Rochelle, historically most of the big money is made in land plays. 
    
4. CHOOSE INFILL.  Predicting the direction of new growth is tough, so central location are somewhat lower-risk investments.  Infill offers businesses a more diverse employment base, especially among younger workers who prefer urban living.

Source: Mitch Roschelle is U.S. res estate advisory practice leader for PwC, New York. 

Information from www.REALTOR.org/realtormag

If you are thinking about making a move this Spring, please allow me to help. My email nopahn@russlyon.com or cell # (928) 814-2104. I can make your home purchase or home selling experience much easier. 

Let’s look at the historical data. In early 2000, we thought real estate prices would never come down. Now in 2011, many of us are concerned that home prices will never go back up.  View the chart below and think again. As you can see prices rise and fall such as everything, well excluding the price of oil, oh well.

Above is the Robert Shiller's chart produced by  the New York Times.  

Nopporn is an active real estate professional. Email : nopahn@russlyon.com or call (928) 814-2014

The FBI reported a jump of 71% in mortgage relief fraud investigations from 2008-2009, and expects this number to have grown in 2010.  

That’s why it’s my duty to educate homeowners in my community on the cautions they need to take, and what the government has recently done to protect you from unscrupulous individuals and companies who want to take advantage of their desperate situations.

What you need to watch out for if you are looking for mortgage relief assistance:

 

• Upfront fees—just don’t pay them! In fact, they are now illegal!
• A request to sign over your deed (this only spells trouble).
• Lots of paperwork without the opportunity for review
• The claim of government-affiliation.  
   

These are just a few red flags you need to be wary of.  

If you are struggling with an unaffordable mortgage and are looking for help, educate yourself. These scammers can be very shrewd and will say almost anything to steal your money.

Seller: If you absolutely need to sell your home in this market, Spring is the best time to put your home up for sale. Historic data shows that you would get a better price selling your home during Spring and Summer than other seasons. Additionally, our current inventory is fairly low, which is a great benefit. Remember the basic Supply and Demand? It is no different when applied to the housing market. 

Well, let's look at our number so far this year: 

MLS Statistics

Status Sold from 10/12/2010 to 04/10/2011 All information herein has not been verified and is not guaranteed Generated 04/10/11 11:51 am

If you are in the market for a home in Flagstaff, don't feel alone in that you still are not able to find your dream home. You will see in the table below that there are only 470 single family homes currently available for sale with an average list price of $602,827. 222 homes of 470, are listed below $400K with average list price of $288,550.-

Our averagae sale price of single family home is $289,653.- for 3 bedroom /2.25 bath average 2,070 sq.ft.

This information is complied by and based upon multiple-listing-service data from the Northern Arizona Association of Realtors® and is deemed reliable for sales reported to the association but is not guaranteed and does not include all sales in the market area. This information covers only Flagstaff area. Information generated 04/01/2011 at 2:30 pm.

Now that more than one in four American homeowners is “underwater,” I feel that it’s important for the community to know the truth about strategic default.

The truth is a foreclosure process carries with it credit issues, current and future employment challenges, issues with security clearance and possible debt collections.

That’s why it is vital to explain the 3 reasons why the term “strategic default” is misleading:

1. There’s nothing strategic about defaulting on purpose, especially when you have options like short sales, mortgage modifications, and refinance (just to name a few) that may keep you from foreclosure.
2. The waiting periods to apply for a new mortgage loan are at least five years less in a short sale vs. a foreclosure.
3. A foreclosure will show up on your credit report every time you apply for a home loan, car loan, new job, etc., and will affect your financial situation for many years to come.

Lenders and the federal government, prompted by the sheer volume of loan modification and short sale requests, have overhauled their systems and programs, making the foreclosure avoidance process much easier than in the past.

If you are considering short selling your home to avoid the financial and emotional fallout of foreclosure, you should be aware of the five steps you should take to increase your chances of a successful transaction.

First, do you qualify?

You must:

1. Have a verifiable hardship, like unemployment, medical bills, or relocation
2. Must have a monthly income shortfall
3. Be insolvent (you have no cash or assets that can be sold to pay down the mortgage), or headed towards insolvency

If you meet these qualifications, follow these five steps to a successful short sale:

1. Contact me so we can identify your servicer, fill out a short sale packet for the lender, and assemble all the required information needed to list your home for sale
2. Gather financial information (i.e., bank statements, pay stubs) from at least the last three months
3. Keep your house in showcase condition for showings, and make as many repairs as necessary and that you can afford
4. Expect the lender, junior lien holders, and private insurance companies to request more paperwork, and try to gather requested information quickly to ensure transaction efficiency
5. Set realistic expectations and work with me, the lender, and the buyer to the satisfaction and benefit of all parties involved

Lately, it seems the question I have been hearing from my Buyers is "should I buy now or wait".  I feel that if you are planning to live in the home or keep the home approximately 5 years it is a very good time to buy. Home prices in Flagstaff are now more affordable than they have been in years.  Interest rates are very low.   If you are waiting on a possible future bottom, the only way you will actually know when and where the bottom was is when the market is on the way up.  If you keep waiting, especially for homes priced below $300K, you may miss this great opportunity. 

However, if you have not yet found a home you like, then it  makes perfect sense to wait until you do find your dream home. 

Who really knows when the market will pick up or go down. We are all simply speculators. Every market is dependent heavily on supply and demand. More supply, price goes down while more demand, price goes up.  Real estate supplies and demands are comprised of many different aspects; jobs, location, condition of homes, economy, etc. 

The Flagstaff housing supply for single family homes priced below $300K is approximately 9 months. Only 18 of 126 listings are bank owned /lender owned homes. There are 28 homes listed as short sale.  Bank owned and Short Sale homes represent approximately 36% of our current market.

It is important to understand that price is not the only factor that tempts Buyers into making a commitment. The condition of the home will significantly affect a Buyer's decision. You are not able to change the location of your home, you can deffinately make your home more appealing, cleaner, and less cluttered.

Have you ever wondered why most REALTORS drive fancy cars?

Think about it this way, first, a car is pretty much a Realtor’s office. We drive clients around showing homes and property. Often we spend all day in our car driving clients around almost like a taxi. Second, I believe people expect REALTORS to have a nice clean, comfortable car.  

The question is what type of car should a Realtor drive?

Having a nice comfortable car for clients is really part of our service.  Buying a home can be somewhat stressful, so a car ride should be pleasant.   Should you have a small or big sedan or an SUV? A larger car has more room and a smaller car gets better gas mileage. When you are a realtor, the first time driving with a newly met client is somewhat crucial.  We at this point are pretty much strangers to each other. Riding in a small car with strangers all day can be a bit uncomfortable. A comfortable ride with some room to breath helps both the Realtor and clients relax.

Though days-on-market have increased, these are signs of mild positive changes in the market.

Sales have been exceeding new inventory for several weeks. In this Buyer's market, prices are stabilizing due to excess inventory being consumed.

However, as supply and demand trends continue, the market will eventually trend into a Seller's zone,  the result will be upward pressure on pricing.

If you are thinking about selling, and would like more specific information on what your home is worth, please hit Contact Me button and send me some specifics. Or, if you are considering buying this spring, you can hit the same button and tell me what you are looking for, and I can help you get a detailed market picture based on your criteria.

...But not the way you'd think. The main piece of the real estate puzzle is always inventory…if there

I believe a person is nothing without opportunity and ability. Opportunity not seized is worthless. I believe no matter how bad things seem, there are people out there that will figure it out. They are not only survivors, they are the achievers and I want to be like them.

October’s average price per square foot was $150.51.

Year-to-date average is $346,493 at $159.31/sq. ft.

Average sale price of townhomes and condos combined for October were $197,226 at $124.59/sq.ft compared with $213,118 during September.

The answer is not simple and is very specific to that family and their specific individual circumstances, e.g., job stability, relocation possibilities, assets, debt, etc .

Considering the unemployment rate is high, the overall economy is not as bright and home prices are not entirely stable, we cannot be certain that we have hit the true bottom.