Consider buying a home with a pool? What do you need to know if you are considering it.

So many times, I have had folks come to Arizona and say, “I would like a home with a pool”.  Before you go that route, please think.  Because after about 2-3 years those same people come to me and ask me to sell their home because they are tired of being a slave to the pool.

 When decided to move to Arizona, you will see a lot of homes have a pool out here, but here are a few things to consider when buying a home with a pool.  

·         If the pool is heated, you can have all year enjoyment. But usually it is heated by electrical and that will jump your bill up about $200.0/$400 a month. (depending on how much you heat it)   

·         If the pool is not heated, then you will most likely not use it for only about 6-7 months of the year (typical usage is from May through September), depending on your tolerance of colder water. But will have to maintain it every month by adding chemicals and keeping the water level up and cleaning it. Average cost $50-120 per month.  Measure the cost with the usage to see if you feel it is worth it.  You can hire a pool company to come out each week or biweekly or you can do the maintenance yourself…but that is about a 2 hour time commitment.  

      **My recommendation  for a good quality Pool company is Troy  http://www.azpoolcarepros.com/   480-699-2566

Remember, the city can fine you if your pool is not taken care of and becomes a heath hazard.

·         There are safety measures you must take by law if you have a pool.  Here is a good website to find out the current requirements; http://www.azdhs.gov/phs/oeh/pool_rules.htm  and check with the city you plan to purchase the home in as they may have additional rules/laws.   

·         With safety measures come liability—be sure to talk with your insurance company to see what your home insurance will cover, and how much a year will it be, usually homes with a pool are more expensive. 

·         If you decide to get a home warranty on your home, check with the company to see if you will need extra coverage for a pool and what they cover like; the pump, the electric panel, the valves, etc., etc., and  if it is a salt water pool do they cover the salt cell?

Pools are very enjoyable out here in the heat of our summer.  But do your homework before you buy and you will find yourself relaxed and at ease, floating away an afternoon.  If you don’t the same afternoon could be filled with all sorts of things you didn’t expect.  

Smart Phones- cheap is not bad anymore!

Don't Be Afraid of Buying Budget Phones Anymore

For the past few years, the smartphone flagship wars have pushed phone technology to new highs. And what goes up, must come down, which means that technology for less-expensive phones gets better. In fact, the processor chipset used in Google's Pixel 1 is no longer available, even though the phone is only 3 years old. A 3-year-old flagship phone is now surpassed by most affordable phones on the market.

What this means is that a budget-minded consumer now can buy a phone for $300 that outperforms a phone that once sold for $650 at release. There's no more "settling" for a budget phone because they outperform phones of recent vintage.

Once upon a time, smartphones were slow and reluctant to respond to more than a single press of the finger on an app. Trying to switch apps quickly or process a command ate up precious time.

The solution was to spend a lot of money on a high-end smartphone and deal with the fallout. That included watching as the technology becomes dated, the phone battery wears out, and the phone slows down as it gets older. Add the fast depreciation of the value of the phone, and it soured a lot of people on the idea of buying a flagship phone. But low-end phones weren't much better.

It's true that budget smartphones weren't the best in terms of performance. Everything about a budget phone felt cheap, along with its slow performance due to a low-end chipset. All of that has changed as smartphone technology has advanced and made low-end chipsets cheaper to produce. Budget phone manufacturers took advantage of this and started to design phones that run as well as flagship phones of recent vintage. A budget-minded buyer now has the opportunity to buy a phone that is fast, has a battery with staying power, a high-quality display, and durability at a price that's nice instead of outrageous.

Source: Digital Trends

Halloween Decor Trends

Decorating for Halloween is a tradition that many families take part in year after year. As with most traditions, though, the decorating trends that dominate Halloween change from time to time. Giant inflatables and laser light shows were all the rage just a few years ago, but now things are starting to shift a bit more toward subtle. The over-the-top Halloween decorating style will likely never fully go away, of course; there’s at least one house in every town that goes all out with its display and people always love it. If you’re looking for something simpler (and easier on the power bill), here are a few trendy options to keep in mind.

Candles

With the right candleholders, basic white candles can add a spooky ambiance that hearkens back to older Halloween traditions. Specialty candles are available that are carved to look like bones or horns as well. No need to go overboard with effects-candles, such as those that “bleed” when lit; just a few tapers burned to different lengths and then extinguished serve as the perfect subtle candle accent to your other decorations.

Pumpkins

What would Halloween be without pumpkins? While the traditional jack-o-lantern is still great, there’s an increasingly common trend to display uncarved pumpkins as well. White pumpkins are also seeing an upswing in popularity to really help set your decorations apart from the norm.

Halloween Wreaths

Also seeing an increased popularity are Halloween wreaths. Coming in a variety of styles, these wreaths have a lot more room to experiment than more traditional Christmas wreaths because of the generally spooky nature of the holiday. You can DIY a wreath yourself or buy one of multiple pre-made varieties to give your home a really unique Halloween look.

Lighting and Signs

Halloween lights have been growing in popularity in recent years, providing a decorative option that can be enjoyed even once the sun goes down. Signs, both lighted and non-lighted, are also firmly establishing themselves as Halloween must-haves. Combining the two can give your home a unique look that neighbors can enjoy both during the day and after the night descends.

Window Décor

Instead of going all-out with inflatables, animatronics and big clunky pieces made of plastic and rubber, an up-and-coming trend is to make use of silhouettes in front of plain curtains to give your decorations a more subtle flair. Some homes even take this a step beyond, using white sheets or similar coverings on the interior windows and then using creative lighting and figure placement to actually cast shadows onto the waiting windows. The shadow puppet feel gives the effect an extra layer of spookiness.

Black and White and Purple Trappings

While black and orange are the dominant colors of Halloween, a big trend in recent years has been to move away from the orange and embrace the holiday’s darker tones. White is used for contrast, with the predominant colors in decorations being black and dark purple. Splashes of other colors may be added as well, but the black, white and purple theme is definitely striking.

Zombie Flamingos

While there has been a move away from some of the cheesier parts of the holiday, the kitsch of putting zombie flamingos on your lawn is a bit too fun to ignore. There are a variety of styles of flamingoes available ranging from silly to gory, giving you plenty of room to find birds that match both your personal tastes and decorating style. Best of all, they can be mixed with a few traditional pink flamingos to give everything a splash of color while totally buying into the Halloween fun.

Need Some Halloween Style?

If you’re not sure what sort of decorations would look best with your home, consider consulting a decorator who has experience with Halloween trappings. Not only will they help you pick the best décor options, but they’ll aid you in choosing accents that go perfectly with both your home style and the decorations you choose. If you need a referral to a great interior decorator, let me know, I can hook you up with one of the best!!  

And if you are thinking of selling your home and want to be in a new home the night before Christmas-- you still have time to make that a reality!  So contact me to see where your home is in the market- I bet you will be surprised!    

www.AzSellsHomes.com  is my website, it is a great place to start!  Or you can call or text me at 480-570-1912 

Is your house ready for an electric car?

While they aren’t quite dominating the automotive market just yet, electric vehicles are definitely seeing a rise in popularity. More and more consumers are embracing the vehicles as a stylish and more environmentally friendly way to get around, and charging stations are starting to appear in places such as hotels, rest stops and even shopping centers. There’s definitely a market for electric cars out there, and it’s growing.

If you’ve considered an electric vehicle before, you should stop and ask yourself if you’re actually ready for one. Here are 2 things to consider: (This isn’t a trick question or a suggestion that electric cars are somehow superior; it’s a legitimate question that you’ve probably never given a thought to).

1.) Electric vehicles need to be plugged in and charged somewhere, so you need to figure out whether your house is actually ready for an electric car.

2.) They cost more upfront, so your monthly payment is going to be more—will that out weigh the cost of putting gas in your car? Coming up with 40 or so dollars each week might be easier on your budget—just a valid question.

Electrical Access

A lot of garages have electrical outlets in them, but not all of them do. Even for those that do, they aren’t always conveniently located for plugging in an electric vehicle. Either way, this can be a big problem when it comes time to recharge your car. Without convenient outlets you will have to get creative while charging, and an electric vehicle isn’t exactly something you want to risk running a questionable extension cord to. When trying to determine if your home’s ready for an electric car, this is one of the big points that you need to consider. If you don’t have an outlet where you need one and aren’t willing to try some more creative parking options to get to the closest plugs, you may need to wire and install an entirely new outlet.

Can Your Home Handle the Draw on the Electricity?

Electric cars pull a decent amount of electrical current while they charge. This isn’t a major problem in many modern homes but depending on what else is on a circuit with the vehicle, you may end up tripping a breaker or blowing a fuse. In some cases, the added draw of the electric vehicle may actually push you into using more electricity overall than your main panel was designed to handle. If you live in an older house, you could wind up facing a lot of hassle with your electricity if you get an electric car. Depending on how bad the problem is, you may even need to get some wiring reworked or have a new service panel installed to handle the increased electrical requirements.

Charging Station Issues

While the points made thus far have dealt with basic charging options that plug into a standard electrical outlet, home charging stations are also an option. These stations recharge electrical vehicles much faster than chargers that plug into an outlet, though they also have to be installed before you can use them. Depending on where you live, there may be laws or ordinances restricting who can install an electrical vehicle charging station and where they can be installed. Permits and inspections may also be required, all of which will cost money in addition to the cost of the charging station itself and professional installation.

An Alternative Consideration

To reduce or eliminate the cost of recharging an electric car, some owners choose to install solar panels that provide power to a dedicated charging station. This can be a great option, as it eliminates long-term costs while also providing a greener method for keeping your car charged. Unfortunately, there may be restrictions or other ordinances surrounding the installation of solar panels, as well. Solar panels also often have a high up-front cost, though depending on the size of the panel you choose you may be able to keep this down.

Don’t Know the Answer?

If you aren’t sure if your home is ready for an electric car, it’s time to call in a pro. Jack with the Auto House at 480-262-1019 https://www.autohousetempe.com/  or Armando with Azul Electric 480-694-1339 can answer your questions and help you to get the car you are dreaming of. And heck if you decide your home doesn’t fit your car—will I can help with that!  See my new website at www.azsuperstars.realestate

Multi Sides to Solar--Should You Buyer or Lease Solar Panels?

The cost of solar panels has come down greatly in recent years, prompting more homeowners to consider going solar. Properly sized panels can slash energy expenses by 50% or more and generate extra income during peak months. These are just two of many benefits of adding solar panels to your home. One of the first decisions you must make is whether to buy or lease the panels.

What Are the Advantages of Leasing Solar Panels?
Solar panel leases offer many advantages, including:

• No upfront cost. Solar panels cost tens of thousands of dollars to install, even with a decrease in manufacturing and installation costs. Therefore, many homeowners who would benefit from lowered utility expenses do not have enough money to buy panels outright. Leasing puts solar panels within everyone's reach.
• Some utility savings. Depending on the company you choose to lease panels from, you will receive a 10% to 20% reduction on your electricity costs. While the savings are not as great as when you own solar panels, it's better than nothing. When you can pay nothing up front, lower your energy expenses, and make green home improvements, what's not to love?
• You don't have any maintenance costs. When you own solar panels, you need to pay for routine maintenance and repair. When you lease solar panels, the company takes care of this for you, so you never have to worry about unexpected repair costs.

What Are the Disadvantages of Leasing Solar Panels?
The downside of leasing solar panels relates primarily to their inability to provide value as a long-term investment. Consider the following:

• You won't get the tax credit. Federal tax credits for green energy improvements are a big incentive to go solar. However, when you lease panels, you will not get the credit, which can run up to 30%. The company that owns the panels will get it on your behalf.
• You save less and own nothing. If you plan to live in your home for decades to come, you may be better off purchasing solar panels. You'll save the most money on your utility bill and begin paying off the installation cost right away. Once you recoup your initial expenses, you can start earning money from your home and even sell extra power back to the grid. With leased solar panels, you own nothing at the end of the lease term and save less money over the long run than if you were to buy the panels.
• One other thing to consider is if you sign a lease, and you go to sell your home: the new buyer has to agree to take on the lease. The way some of the leases are structured, (lower payments early and then the payment goes up over time) leases could be a liability not an asset. If you buy them out right, (even if you get a loan for them) it actually adds value to your home, and the loan has to be paid off before the transfer can be done, so then you are freed of the debt, without out of pocket costs.
• Bottom line, it is complicated, don't just talk with solar companies, contact me and I can help you weigh out the perks VS the liabilities. But whatever you decide to do- just make sure you understand both sides of Solar.

Are single family homes going the way of the dodo bird?

 Now if you know me, I am not one to cry the sky is falling, but I can see a troubling trend that I feel must be said. 

**This blog is a bit long- but hopefully will make you think.** 

Many buyers are wondering where to find houses for sale in today’s market. It’s a true dilemma. We see an increase in buyer demand, but the supply available for purchase isn’t keeping up. There is so much construction that you see all over the valley, but a majority of it is multifamily housing, not single-family homes.

So, is that a good thing, or a bad thing?  Well depend on where you are at in your life, and your needs the answer varies. Starting out in life, a condo is better than an apt, because you are building equity and not paying someone else mortgage.  But as you get married, and your family grows, you may want to trade that urban condo in for a single-family home, so you kids can play in the backyard and you have more space.  If your kids have all left and you may have plans of travel and to simplify your life. When that is the case, then a condo may fit your needs just right. 

Now, with all that said, this graph is very interesting, as it is clearly showing a gap that the builders haven’t filled. The gap is with over 91 million millennials and the start of Gen Z (65 million) starting to buy homes, we are going to find ourselves in a precarious situation of not having enough room to house all these folks- if the builders, the cities and the states don’t step it up!  Just last month Oregon has stepped up to legislate against single family homes, Denver has made laws to entice builders to only build multi family properties, so will others in the future? This poses a big question: “Are single family homes going the way of the dodo bird? 

The number of new single family housing permits issued prior to the great recession in 2006ish-2010ish increased for 15 years until 2005 (from 1.12 million in 1990 to a pre-recession peak of 2.16 million in 2005). According to Apartment List- (see picture)

“From 1990 to 2005, the number of single-family permits issued more than doubled, while the number of multi-family permits grew by 49 percent.”

When the housing market crashed, the number of new homes permitted decreased to its lowest level in 2009.Since then, supply and demand have been out of balance when it comes to new construction. According to the same report;

“Construction of single-family homes has recovered much more slowly — the number of single-family housing units permitted in 2018 was barely half the number permitted in 2005.”

Why is new construction so important? As the U.S. population increases, there is also an increase in the need for new homes. Today, new construction is not keeping up with the increase in the nation’s population. The report continues:

“The total number of residential housing units permitted in 2018 was roughly the same as the number permitted in 1994, when the country’s population was 20 percent less than it is today.”

Essentially, the dip in home building coupled with the steadily increasing U.S. population means there is now a selling opportunity for homeowners willing to list their current houses.

Bottom Line

If you’re considering selling your house to move up, now is a great time to get a positive return on your investment in a market with high demand. But be ready to scourer the valley for the right home to move into.  There are products out there to help with these situations- so contact me to help guide you! 

Caring for Potted Plants in the Arizona Summer Heat

Having plants on a patio or up a walkway can be delightful and welcoming.  But it can be tough caring for potted plants during the scorching summer 🥵Here are a few tips to help you succeed.  Remember they may need to be watered two time a day to keep up with the evaporation that is happening.  Here are some great tips!  Pot up. Transplanting into larger containers will increase rooting space and provide a larger reservoir for moisture. Use a quality potting mix, and consider adding water-holding crystals to the soil mix.⁣ ⁣ Raise up. Place rubber spacers or shims underneath your pot to lift it up off the ground and prevent the heat from your pavers, concrete or gravel radiating up into the pot. ⁣ ⁣ Group containers. Groupings not only look better, but also allow the pots to shade each other, decreasing the amount of sun that hits their sides, thus reducing evaporation and unnecessary water loss.⁣ ⁣ Move pots to cooler locations. Place containers where they receive some shade during the hottest part of the day. This usually won't reduce their performance, but it will cool the plants and reduce water needs. Moving containers off or away from hot pavement will also help.⁣ ⁣ Place liners or catch trays underneath. Doing this will allow excess water to be absorbed back into the pot through the drainage holes. Just make sure the water doesn't stand too long. Overly-wet soil could promote root disease.⁣ ⁣ Water effectively. When you water, make the most of your efforts by taking care to ensure the root ball is thoroughly wet. That may take several passes with the hose.⁣ ⁣ Install drip irrigation. Connect the system to your automatic controller, and you can even water while you're on vacation.⁣ ⁣ Fertilize regularly. Replace lost soil nutrients with regular applications of a complete fertilizer.⁣ ⁣ Protect from insects. Control insects with a product labeled for use on houseplants, following label instructions.⁣

Phoenix Arizona-- 3 bed 2 bath with Den or office in Sun Lakes

Phoenix Arizona--3 bed, 2 bath 2 car garage on a large lot- No HOA

Phoenix Arizona-- 4 bed 2 bath 2.5 car garage with a pool

Tips on selling your home in Arizona

1. Your neighbors. Most homeowners contemplating selling their homes understand the importance of well-kept neighboring homes. Many a buyer has pulled up to an amazing house, viewed it, and left shaking their head with woe, saying great house, but I can’t live here.

 On the flip side, your neighbors themselves - not just the homes, but the people - can actually help sell your home. Many homeowners know people who want to live in their neck of the woods; this is one reason many seasoned real estate professionals hold their listings open to neighbors and send out postcards to neighbors announcing the listing - the neighbors might know people who are interested in your home!

It’s a good idea, if and when you decide to list your home for sale, to touch base with neighbors you know and let them know; it’s in their best interests to get good new neighbors, so they might be able to go the extra mile in showing the neighborhood’s biggest asset - themselves - off to its best advantage.

  

2. The right sights, smells and sounds. It’s no news flash that the view of a used car lot; stinky foods or animal smells; and the siren song of a fire station next door could be deal-killers. What might surprise is some of the right sights, smells and sounds that can help seal the sale of your home.

For example, playing a soundtrack of classical musical is fine, but will cause some skeptical buyers to wonder what noises you might be trying to cover up - especially if you’re in a condo or other potentially thin-walled property where neighbor noise might be an issue. On the other hand, birdsong can be attractive to some buyers. The scent of the jasmine or lavender that grows in your yard or fresh baked cookies can be quite enchanting.

You might be desensitized to the amazing views of trees, mountains or even water outside your window, but pulling back the curtains so prospective buyers can see for themselves is an absolute must.

Home buying is a multi-sensory experience - visual staging of the property itself is no longer a plus, it’s a must. But homes which create pleasant impressions that fire on all of a buyer’s sensory cylinders definitely have the edge on their competition.

3. Your dog. The New York Times ran a piece a few months ago about sweet, well-behaved dogs (and cats!) who reportedly helped sell their owners’ Manhattan apartments.  Now of course, if the house smells of cat or dog- this will not hold true, but pets do play a strong part of our emotional ties to our home. 

Definitely consult with your agent before you decide to implement leaving your dog at home for showings as part of your plan. I’m a dog lover, and would be concerned that someone might inadvertently let one of “my girls” out, if I left them there while my house was being shown; as well, would-be buyers or their agents may have allergies your pet could set off. Lately, it seems like I’ve seen many brokers attempting to capture the best of both worlds by making sure that the family pet or even the broker’s own pet is captured in a charming tableau in 1 or 2 of the listing pictures, even if they’re not present at the home during showings.

  

4. Your happiness. Video and even written love letters that extoll all the virtues for which you love your neighbors, your neighborhood and your property are contagious to buyers. I’ve seen sellers help buyers see their homes through their own loving eyes by posting videos on YouTube and including the link on the listing flyer or even by putting a binder containing a letter plus menus and flyers from their favorite neighborhood restaurants, dry cleaners and other local merchants out on the counter during showings.

Wide-open curtains that let light stream in, light and bright paint and decor colors and other home features that science has proven make residents happy and joyful-- functional also create this thought process in a buyer’s mind: “Hmm, these people seem happy here. I could be, too.”

Similarly, indicators that you invested a lot of love in your home, by keeping it in immaculate order and pristine condition, by tending a well-cared for kitchen garden, lovingly furnishing and making comfortable (if not overly customizing) your kids’ rooms, all create the feel that a home was happily lived in - it’s like staging your home with a life well-lived, not just paint and tile.

If you would like to see a few more tips on how and what I can do to help you sell your home, please give me a call!! 

Elaine Beery

United Brokers Group

480-570-1912 Direct

www.AzBuysHomes.com

Elaine Beery 480-570-1912 Here, and well, just when you think mortgage rates
can't go much lower-they do! If you are on the fence thinking of buying a
home, this would be considered the "Perfect Storm". Low home prices, coupled
with very low interest rates, and throw in required down payment to be in
some cases only $1,000..it just can't get any better! Call for details or
For the rest of the story click;
http://ping.fm/Bi9sx
30

Elaine Beery

480-570-1912 Direct

480-248-2826 Fax

Elaine@BeeryRealty.com
www.BeeryRealty.com
www.Shortsales-Elaine.blogspot.com

What do you have to do, to be a successful seller in today market

The goal for any home seller is to sell a property quickly at the best price for the market. Here are six characteristics that will help home sellers succeed.

1. Realistic Expectations 
Real estate agents do not pluck listing prices out of thin air. Every price range they recommend to potential home sellers is the result of meticulous research: of the property, the neighborhood and the current real estate market. Most of the factors that affect a property's saleability―location, interest rates, the local job market―are outside the seller's control. Other things, such as the condition of the home and how it is presented, are within the seller's control. Highly effective home sellers address the things they can control and accept the things they cannot. You might not like what the market is saying, but it doesn’t lie.

2. Flexibility
A flexible home seller is open to suggestions. Listen to your agent and heed his or her advice regarding pricing the home for sale, marketing the property and making it show ready. Flexible sellers are prepared to lower the price if they are not getting any showings. Flexible sellers are prepared to stage and remodel the home if they are getting showings but no offers. Delaying a sale by being inflexible can cost you money in extra mortgage payments.

3. Detachment 
Homes sell faster when the seller stops thinking about the property as his home and starts thinking about it as product to be packaged for sale. Sellers who find it hard to emotionally detach from the home often sabotage viewings or reject offers, because they are not ready to leave their home. Be honest with yourself. If you are not ready to sell, don't. If you are, then pack up your emotions and accept that it is time to move on.

4. A Big Picture View
Giving way on price is not the same as giving way on the deal. Effective sellers think about all aspects of the deal. A seller who wants to move quickly may be prepared to lower the price in return for faster closing. Requests for repairs, no matter how galling, should be carefully scrutinized. Would you really want to lose a buyer over a $200 or even a $1,000 repair bill?

5. Availability
Selling your home is a time-consuming business. You must be available to speak to your agent and make urgent decisions concerning the list price, marketing strategies and any offers that come in. Remember, you can't sell a property if would-be buyers can't see it. Make sure that buyers can view your home at all reasonable hours. No showings on weekends might suit your lifestyle, but it certainly won't suit your buyers.

6. Learning
You don't need a degree to sell your home, but you do need a clear understanding of the home selling process. Sellers who understand how home sales work have a clearer idea of the hurdles buyers must jump to purchase a home and can better pre-empt a buyer's needs. Figure out what escrow means and what happens between the contract and closing. Speak to your agent. Ask him or her to fill you in on the local market, the lending environment and the types of things that buyers are looking for in your neighborhood.

July Market Report for 2019

Inventory is the story for the greater Phoenix real estate market in July. Active listings were down 4.1% to 15,442. The median price continues to rise, up 4.1% to $279,000.

Lack of inventory continues to squeeze buyers, especially below $200,000. And now
buyers looking for something between $200,000 and $250,000 are having a difficult
time too, as new listings in this price range were down a whopping 15.1%!

Fortunately, interest rates are still favorable, with 30-year loans at 3.75% with .5 points,
down .78% from one year ago (Freddie Mac, 07/11/2019).

In their July/2019 report, Freddie Mac says:
“The recent stabilization in mortgage rates reflects modestly improving U.S. economic
data and a more accommodative tone from the Federal Reserve to respond to the rising
downside economic risk from trade tensions and soft global economic data. On the
housing front, the latest weekly purchase application data suggests homebuyer demand
continues to rise, which is consistent with the slowly improving real estate data from the
last two months.” (Freddie Mac, 07/11/2019)

What does all this mean for today’s buyers and sellers?

Shrinking inventory along with low interest rates will continue to drive modest price
increases. If you are thinking of buying, waiting on the sidelines may not be your best
move. For sellers, you are selling into a significantly larger percentage of investors,
especially flippers. These investors are looking for a deal, not a home. Get your home
ready by freshening it up and pricing smart.

Work With A Professional That Understands The Balance Needed When Going Through A Divorce Or A Death In The Family.

Why find someone trained to do this? For the same reason you find a specialist when you need a doctor. I have earned my RCS-D and other destinations that help in knowing the ins and outs and to understand the needs and have the team in place to get the job done. 

In Arizona--The family home is usually the most significant asset in divorce and elder mediation or the passing of a loved one, often with significant debt but not always.  However, appraisal minus mortgage does NOT equal actual equity. This incomplete equation leaves your house over-valued and that works against you in family mediation for divorce and elder matters.

Don’t settle for a bad property settlement. In addition to the inaccurate and unfair division of your property, you risk damaged credit, default, foreclosure or even bankruptcy. 

Remember all those documents you signed when you bought the house? Most are missing when mediating that same house. My team and I  provide free help to gather the house documents you need to make an informed decision regarding actual equity and whether to keep the house.

To keep your house for all the right reasons, you need a real estate agent specializing in divorce or estate planning – an RCS-DTM designee.

I am with UBG- United Brokers Group and have completed the course work to earn the RCS-DTM designation as a Real Estate Collaboration Specialist – Divorce™,   in Arizona,

As an RCS-D™ REALTOR® , I is professionally trained to neutralize divorce real estate as a business transaction in the best interest of the house – and each divorcing spouse. Leading your divorce real estate team, Elaine also serves as project manager working with you and your lawyers and can refer real estate and financial professionals specializing in divorce to assist with gathering house-related documents and scheduling consultations, most of which are free.

The RCS-D™ professional program was written and taught by Kelly Lise Murray, J.D. & Wendy Waselle. Professor Murray earned her J.D. cum laude from Harvard Law School & is an Instructor in Law at Vanderbilt Law School. Co-Instructor Wendy Waselle has a Masters Degree in Education & developed the RCS-D™ marketing system.

You may contact Me @ 480-570-1912 to discuss how you can protect one of your most valuable financial assets during the stressful time of divorce or estate sales. Whether your divorce is completed, just beginning or somewhere in between,  Elaine Beery  can help you determine your best options now for a stronger financial future, and you can count on her team to make sure you get the most for your home inf you do have to sell with the least amount of stress.  

Please know I will do everything I can to help you and secure your fut

FHA Kiddie Condo Program

In Arizona, the FHA kiddie condo program is a popular option with Arizona parents who have kids going to college. The FHA kiddie condo program is really just a regular FHA loan with a nickname “Kiddy Condo” mainly because it is used for these college-aged-kids situations.

 It could also be used for a home for older parents as well. With prices so low and interest rates historically low, this could make sense for quite a few people!!

The term “Kiddy Condo” is just a nickname.

Highlights of The FHA Kiddie Condo Loan Program Include:

The Kiddie Condo loan program is offered by the FHA, and it is designed to provide a way to help young adults purchase their first homes. This program can be very beneficial to you if you qualify. Here are the basics of the Kiddie Condo loan program.

The Kiddie Condo Loan

This is a program that is designed to be for parents and their young adult children. The child is going to want to purchase a home, and the parent is going to be willing to help them. With this program, both the parent and the child can sign up for the loan and increase the chances of getting approved. The parent is going to help the child by providing extra income and credit to get the loan approved. This makes it possible for a young adult to purchase a property when she would not be able to purchase one otherwise.

Advantages

This loan program has several advantages for the borrowers. First of all, you are going to be able to purchase the property with a very lowdown payment when compared to other mortgage programs. Currently, you can purchase a property for only 3 percent down. When you compare that to some lenders that require 20 percent down, that is a big difference. Another advantage is that you are going to be able to get a low, competitive interest rate on the loan. Some lenders would require you to get an investment property loan with a high interest rate because the parent is not going to be living in the property. However, with this program, you can actually qualify for an owner-occupied interest rate. This could potentially save you a lot of money over the life of the loan and on your monthly mortgage payment. Another benefit that will come from this program is that the new homeowner is going to be able to establish her credit. The loan will have been granted because of the good credit of the parent. However, as long as the payments are made on time, the younger borrower will be able to benefit from this.

Tax Benefits

This mortgage program also provides some tax benefits for the borrowers. With any mortgage, you are going to be able to deduct the amount of interest and points that you pay from your taxable income. With this mortgage program, you can split up the interest deduction between the two borrowers as you see fit. In many cases, this can be attractive to the parents because they have a higher income that they need to offset with this interest.

Requirements

The major requirement for this loan is that one of the borrowers has to live in the property as her primary residence. You should also realize that the property does not necessarily have to be a condo, even though the name of the program is the Kiddie Condo loan. It could be a single-family home or a town home. 

It allows non-occupant co-borrowers which means that parents and or child can purchase a condo using their credit and their income but are not required to live in the property--only the co-borrower is required to live in the property.

The property is not considered to be a second home or an investment property. Because it is not considered a second home or investment property, the Arizona mortgage rates are the same as the regular Arizona FHA loan programs.

The kiddie condo program also allows the occupant to charge rent to roommates!

If you need help buying in Arizona, please contact me so we can get started on finding you a great condo. 

Elaine Beery

UBG- United Brokers Group

480-570-1912 Direct

480-248-2826 Fax

Elaine@BeeryRealty.com

www.ElaineBeery.realtor

www.AzBuyshome.com 

Phoenix Housing Market stats for June 2019

Residential real estate in greater Phoenix continues to see price appreciation, driven by modest personal pay increases and falling interest rates.  Current 30-year conventional loans are 3.82% with .5 points. (Fannie Mae, June 2019)  

Further, the Federal Reserve is now forecasting a drop in rates through next year with many Wall Street analysts predicting three reductions of ¼ point each over the next 12 months.  

Why the change in rate forecast?

Late last year, signs of a significant slowing in the U.S. (and global) economies began to emerge.  The Gross Domestic Product (GDP) had slowed, and forecasts were predicting continued slowing over the next several months.  Also, the U.S. found itself in a significant trade dispute with China (and for a brief time, Mexico), and trade disputes are almost never good for global economic growth.  With the economy significantly slowing, the Fed announced its intent to change its forecast of approximately three interest rate increases to taking a “wait and see” position.  

Today, analysts are predicting rates in 2020 to be flat to slightly down:

(Reuters) – The U.S. Federal Reserve is done raising interest rates until at least the end of next year (2020), according to economists in a Reuters poll who gave a 40 percent chance of at least one rate cut by end-2020.

So what have these lower rates done to our housing market?  Our median sales price in June 2019 is $278,000, up 4.9% year over year.  

One last point, whether buying or selling, please keep in mind that our market is not monolithic.  Price ranges and neighborhood locations will vary in performance, often significantly.

For the $150,000 to $225,000 range, expect annual appreciation rates to be between 6%-10%.  For homes that sell for $225,000-$500,000, appreciation is expected to be between 3%-5% and those selling over $500,000 appreciation is expected to be between 1%-3%. (Cromford Report, June 2019)

If you have any questions or need more specific information about your neighborhood, please contact me and I would be happy to help you find any information you need!  

Is It Time To Sell Your Investment Property?

In our East Valley Real Estate Investor article, we talk about a fictional man named Carl who has owned four homes since 1999. The homes were built in the 1970’s and the mortgage on each home is $650. Carl charges tenants $750 per month, well below

the $1300-1800 market rate for rental homes in the area. When the air conditioner in one home needs to be replaced, Carl has no choice but to finance it. This creates more debt on what should be a cash flow investment. He is in a real bind and his family is asking him if it is time to sell the investment property. While fictional, this scenario represents a lot of investors who haven’t managed their properties and end up in a different financial position than they had likely intended.

When is it time to sell the investment property?

The reality for Carl is that it may make sense to sell at least one of the four homes. Because the homes have not been renovated, he may not get market rate on the sale but will still likely have equity because of the timing and original cost of the homes; his real estate agent will be able to price the home to sell while protecting the equity. He can then take equity from the sale to make improvements on his three remaining homes as the tenants vacate. While he may have a few months without tenants as he makes improvements, afterward he will be able to charge a market rate of $1300-1800 rather than the $750 he had been charging, while still only paying $650 per month for each mortgage. In other words, he is creating the cash flow he wanted when he became an investor. For Carl, it makes sense to sell one home in favor of being able to make improvements to the other homes.

What can we learn about managing investment property?

The key errors Carl made as an investor were that he didn’t increase rent for new tenants as the market changed and because of that, he didn’t have cash flow to make home improvements. The result was outdated homes that aren’t yielding the financial rewards he had planned. Don’t be a Carl.

Treat your investment properties as a business. Understand what it costs for upkeep of the home(s) including renovations, general upkeep, and cost of renters.

Renters may not treat your home as their own so you may (sadly) have to make repairs that you weren’t expecting.

Wear and tear of a home is a reality. Carpets wear out. Tiles come loose. Faucets leak. No matter how well a renter treats the home, there will be work needed when they move out.

As you’re thinking about whether or not to sell your investment property, consider:

What’s your goal as an investor? Maybe you want to sell in order to buy a new home or make improvements to an existing rental property. Maybe you want to sell because of capital gains tax reasons like reinvesting or exiting the market.

What are the numbers telling you? The real estate market changes over time; working with Beery Realty, we can determine if now is the best time to sell your investment property. We can also refer you to our loan officers and other financial professionals who can determine if it makes sense for your overall investment portfolio.

Is there a special circumstance? Life changes like divorce or death of a spouse may facilitate the need to sell an investment property. You may have bought the homes with the intention of selling to your children when they are ready to buy and now may be that time.

Whatever the reason, Beery Realty can help you navigate the decision making process of choosing to sell your investment property.

Getting Divorced? Here’s What You Need To Consider.

There’s nothing simple about getting divorced. Whether you’re going to court or mediation, the end of a marriage costs time, money, and resources. When it comes to real estate and other investments, there are a number of considerations to be made. Where will you live? Where will your ex live? What do you do with the family home? This, along with other financial questions, are important as your life transitions.

Before Divorce - What do you need to do with your finances?

In her article Financial Planning Strategies for Divorce, Gilbert, Arizona Financial Advisor Shanna Tingom of Heritage Financial Strategies, reminds couples to make sure they have access to all financial documentation including bank and credit card statements, retirement and other investment account balances, receipts from up to five years, and deeds to real estate, along with a credit report, and update beneficiaries on all accounts.

Keep in mind your credit isn’t directly impacted by divorce, or marriage, but can suffer the consequences of either event. I recommend speaking to your financial advisor and attorney as you walk through divorce proceedings to understand what is allowable under state law.

In the state of Arizona, assets and debts accumulated during marriage are considered community property. That means, for example, the credit card you have with your spouse is your responsibility as much as it is theirs even if they are the one who has maxed it out. If that debt, or any other shared debt like a mortgage or car payment, isn’t paid, it goes against your credit and theirs. While it may not seem important today, it will in the future when you need to secure a loan or credit card on your own.

What does divorce mean for your family home?

While you may choose to keep the family home, there will likely be a contingency in the divorce decree for selling the home in the future. Often one parent stays in the home as long as the children are in school. Upon graduation from high school, the home is to be sold and the proceeds divided as agreed to or stated in the decree. While the sale of a home can be stressful, especially under these circumstances, our team is experienced in handling these types of sales. 

Are you ready to buy back into the market?

When the time comes to start thinking about buying a home after getting divorced, you may be hesitant because of outstanding debts or current credit situation. That’s where our trusted loan officers can review your credit and guide you through the process of cleaning your debts to get your credit ready to buy a home. Yes, it is possible to buy a home after divorce and Beery Realty is here for you!