Juanita Simkins

$8,000 TAX CREDIT EXTENDED FOR MILITARY

2009-10-20T23:28:00Z

On 10/9/09, the House of Representatives voted 416 to 0 to pass the Service Members Home Ownership Tax Act of 2009 ^[1] which extends the current $8,000 first-time home buyer tax credit for another 12 months for members of the military, Foreign Service, and intelligence corp who served at least three months of qualified overseas duty in 2009. The program is set to expire on November 30th, 2009 for everyone else and the justification for the extension makes sense. If you’ve been serving abroad for our country, it makes it very difficult for you to look for a house and take advantage of the program. Extending it another year certainly makes sense.

At the moment the bill has passed only the House of Representatives, it or a similar bill needs to pass the Senate, then reconciled, then signed by the President before it is law.

“If you are in a conflict zone, you don’t have time to get together with your spouse and family to go house shopping,” says Rep. Ron Kind, a Wisconsin Democrat. Rep. Dave Camp, a Republican from Michigan, expressed similar concerns. “A lot of service members get called overseas at a moment’s notice,” Camp says. “And because of the time limit on the legislation now, they can’t always take advantage of it, not because of anything that they did or didn’t do but because of the unique nature of serving in our armed forces.”

It’s estimated that this will result in an additional 10,000 home sales, likely clustered around military facilities, at no extra cost. It’s revenue neutral because there are other revenue generating provisions included in the bill. The Senate received the bill yesterday and is set to vote on it fairly quickly.

As for the original credit set to expire on November 30th, there are discussions about extending the credit an additional six months.

House Votes to Extend First-Time Home Buyer Tax Credit for Service Members ^[2] [U.S. News & World Report]

We GIVE BACK to the military as a "thank you" for their service to our country! How, just ask me! Call Juanita at 719-229-5770 today.

Insurers dropping Chinese home drywall policies

2009-10-16T20:29:00Z

Do you know what's under the paint or wallpaper in your home?

Thousands of homeowners nationwide who bought new houses constructed with Chinese drywall are now finding insurers are dropping their policies or send notices of non-renewal.

Experts say those cancellations will become rampant as insurance companies process hundreds of pending claims to have the defective drywall removed or replaced.

At least three insurers have already canceled or refused to renew policies after homeowners sought their help replacing the bad wallboard. Because mortgage companies require homeowners to insure their properties, they are then at risk of foreclosure, yet no law prevents the cancellations.

By Associated Press

P.S. If you've bought a new home and have questions on where the drywall in your home came from, make sure to contact the builder directly. As always, when you need help in buying or selling a home, call a professional Realtor (me).

Your friendly Realtor,

Juanita Simkins

719-229-5770

$8,000 Home Buyer Tax Credit Extension Likely

2009-10-10T23:46:00Z

Extending the First-Time Home Buyer Tax Credit, due to expire at the end of November, is high on the Democratic Congressional to-do list, legislative aides said.

After Wednesday’s meeting with President Obama and House Speaker Nancy Pelosi (D-Calif.), Senate Majority Leader Harry Reid (D-Nev.) released a statement that the government should “continue efforts to strengthen the housing market by extending the home buyer tax credit.”

Mark Zandi, chief economist at Moody’s Economy.com, who is a consultant to Democrats in the administration and Congress, is advocating extending the credit through August and making it available to all home buyers. He said failure to extend the credit just as more foreclosures enter the market will push housing prices down.

Also, on Thursday, the House is expected pass legislation to extend the credit through 2010 for people who have been out of the country in the military, intelligence, or foreign services.

Source: The New York Times, Jackie Calmes (10/07/2009)

What to know when buying a foreclosure or bank owned home in Colorado Springs

2009-10-05T19:22:00Z

Buying a foreclosure or bank owned home often is appealing to buyers trying to stretch their dollars. It’s finding a good one can that can be a challenge. Many banks don't want to advertise their homes negatively as "bank-owned" because they don't want to scare off potential buyers.

In some markets, foreclosure inventory is actually down compared with last year as government programs attempt to keep owners in their homes and banks aren’t putting as many homes on the market, Melvin said. That’s making it harder for buyers to snag a foreclosure, and those paying with cash often win a bid over someone who needs financing.

If you’re considering the purchase of a home that is now owned by a bank, it’s also important to know at the outset just how much work you’re in for — and how much it is going to cost you. Many foreclosures are in various states of disrepair; some of the fixes are cosmetic, but some can be extensive.

Those looking for the best deal probably shouldn’t rule out non-foreclosure properties. If buyers set their sights on bank-owned properties they may be in for a surprise as many need a lot of work and sweat equity. Finding a fairly decent foreclosure property with minor work (such as carpet and paint) is not easy to find and when you do find one, expect a buyer frenzy!

An option for finding some of the foreclosure listings is to go straight to the bank.

Lender Web sites, such as those operated by Bank of America, Chase and Citibank, will list the properties the financial institution has reclaimed when borrowers defaulted. To find a list, simply do a Web search for REOs and the name of the lender. Contact information for the property’s listing agents is usually provided for each entry.

For a fee, other sites will hunt down properties for you. RealtyTrac.com, which helps people find foreclosure and pre-foreclosure properties, charges $49.95 a month, after a free seven-day trial. The company also recently launched BankHomesDirect.com, which charges $19.95 per month and lets people search just for REOs.

Foreclosures.com charges $49.95 per month, after a free seven-day trial.

Otherwise, you might want to enlist the help of a really good Realtor (like me!). Someone who works regularly with home buyers searching for the right home to buy in the right area, at a price you can afford.

Something else to consider is the face that lenders aren’t held to the same disclosure requirements as sellers who have lived in the home, mainly because the lender hasn’t occupied the home to notice leaks or other problems. For that reason, an inspection is crucial.

“If there are lessons out of the last couple of years, it’s certainly buyer beware,” said Dan Steward, president of the home inspection firm Pillar to Post, which has a U.S. headquarters in Tampa, Fla.

“We have all heard the stories of people ripping the copper pipe and wiring out … people have literally gone to the light switch, disconnected the wire from the switch box and have pulled the wire through the drywall,” Steward said. Some have ripped out toilets and kicked in walls or left water faucets running before they left the house, often out of anger.

You don’t need to be told the toilet is gone, but an inspector can tell if there is damage 20 feet down the water line because of the way that toilet was ripped out, he said.

Other issues could pop up due to the property being vacant. Large banks will often hire a field service to cut the grass, shovel the snow and winterize a home, yet when homes aren’t occupied it’s harder to catch small problems before they become big ones.

When a place is unoccupied, pests could become an issue. If you were living in a home, a nest of raccoons probably wouldn’t be able to find a home in your crawlspace—not for long, anyway.

The time it takes to complete the sale can vary from lender to lender. In some cases, the process goes smoothly and in other cases, the lenders are disorganized. It depends on who you're trying to do business with!

Your best chance at having an offer accepted and for a quick closing process is to have everything in order before making the offer. That includes having the financing firmed up and writing a clean offer (not asking for new faucets or doorknobs, etc) so that the bank doesn't think you are going to be a pain that they don't have the time for. Most bank-owned properties are sold “as is,” so if there is something you want fixed, it’s best to just factor that into the price you’re offering.

But don’t expect to bargain the listing price way down because banks typically price their properties at a 20 percent to 30 percent discount. If the property has been on the market for a week or two, don’t expect the bank to drop the price; if the listing is older, you might have more power.

Also, don’t be surprised if the bank that is selling the property asks you to get an approval from its mortgage operation; you often don’t have to take the loan from their company, but they may want to get a closer look at your finances to make sure you’re a solid buyer.

If you would like more information on how to buy a home now, especially if you are a new home buyer (haven't purchased or sold in the last 3 yrs) and want to take advantage of the $8,000 tax credit, then contact me today for more information. I promise to give you exceptional customer service, answer any questions you may have and make sure you get the house of your dreams that you can afford. Call or email me today at: 719-229-5770 or email Juanita@JuanitaSimkins.com

I'm looking forward to helping you!

GUESS WHO'S DITCHING THEIR MORTGAGES?

2009-10-02T21:45:00Z

A study of 24 million credit files by national credit bureau Experian and consulting company Oliver Wyman has shown that home owners with high credit scores are 50 percent more likely to deliberately walk away from a mortgage than lower-scoring borrowers.

The industry calls these “strategic defaults” and their numbers grew to 588,000 in 2008, double the total in 2007, and well beyond most earlier estimates.

The study determined:

Strategic defaulters tend to go straight from paying their mortgages dependably to not paying at all.
Strategic defaulters are heavily concentrated in negative-equity markets like California and Florida.
Two-thirds of strategic defaulters have only one mortgage.
Most likely to default are home owners with large balances and the highest credit ratings.

Piyush Tantia, an Oliver Wyman partner and a principal researcher on the study, said strategic defaulters "are clearly sophisticated” and look on the decision to default as a business strategy. "Well, I'm $200,000 in the hole on my house, and yes, I'll damage my credit," Tantia says of defaulters.

Source: Washington Post Writers Group, Kenneth R. Harney (09/27/2009)

P.S. Don't ditch your mortgage before contacting me. I'm a certified short sale specialist and counsel with many homeowners in the Colorado Springs, CO area on what their options are. Call Juanita at 719-229-5770.

Is The Foreclosure Slowdown Temporary?

2009-09-25T19:42:00Z

Is the Foreclosure Slowdown Temporary?

Legal entanglements and well-intentioned home-owner-assistance efforts have slowed the pace of foreclosures, but eventually many of these distressed homes will hit the market anyway.

Some observers say these delays are prolonging the housing crisis and creating a “shadow” inventory that will cause more housing market pain.

"There's going to be a flood [of bank-owned homes] listed for sale at some point," says John Burns, a real-estate consultant based in Irvine, Calif.

Burns believes that when the onslaught hits, it will drive down home prices still further. On average, he expects home prices to fall another 6 percent next year.

Ivy Zelman, CEO of Zelman & Associates research firm, estimates that there are 3 million to 4 million foreclosed homes that will hit the market in the next few years. How traumatic the impact will be depends on whether the flow of homes going up for sale resembles "a fire hose or a garden hose or a drip," she says.

Source: The Wall Street Journal, Ruth Simon and James R. Hagerty (09/23/2009)

Buyers, Watch Out For Lurking APR Predators

2009-09-15T00:21:00Z

APR Predators and APR Demystified

First, lets demystify Annual Percentage Rate (APR).

APR was designed to allow consumers to use one standardized number to compare the real cost of each lender's interest rate and it works like this.

If I lend you, $10,000 and, I charge a $500 Bump-ta-Bump Fee, you will actually receive $9,500, however you must still repay me $10,000. APR is my real yield and your real cost on this loan.

We agreed that you will repay the loan at 8% interest on $10,000, HOWEVER you only received $9,500 therefore I will earn more than the 8.0% interest rate I charge on $10,000. In this case, my yield (APR) is 9.799% on the $9,500 you received.

APR is the lender's yield on dollars actually lent ($10,000 minus $500 = $9,500); in this case, the lender's yield (APR) on $9,500 is 9.799%

The $9,500 also represents the Amount Financed in the Truth In Lending (TIL) disclosure.

For those of you who use spreadsheets the Rate Function will find APR. Use the Amount Financed for Loan Amount and use the monthly payment on the actual loan amount.

Fees that must be subtracted from a mortgage loan to properly calculate Amount Financed for APR

Origination and Discount Points

Processing and Lender Fees

Pre-Paid Interest (Use 15 days when closing date is unknown)

Monthly Mortgage Insurance must be added to the payment of all FHA loans and Conventional loans greater than 80% loan to value.

The inclusion of Mi or MIP accounts for the large spread between Rate and APR on loans with mortgage insurance.

Note: Fees Not used in APR calculation; third party fees such as appraisal and credit.

How Do APR Predators Work?

Many sophisticated borrowers shop interest rates by searching for lowest APR which, if property stated, is the real cost of borrowing. Unfortunately, APR is not always stated properly.

How is advertised APR is misstated?

Prepaid Interest is not included - most common deception and true on all online Rate sites i.e.: Bankrate.com, Interest.com, Mortgage101.com, ShopRate.com, etc.
Prepaid Interest is understated - must be 15 days when closing date is unknown.
MI or MIP is not included in the APR on any online rate sites, Bankrate etc.
Some lenders do not include MI or MIP on their web sites such as Amerisave.com
Lender fees are either understated or not included in the APR calculation. This is a tricky one because No or Low Lender Fees does not necessarily indicate a predatory lender. Some lenders charge a higher rate and no points or fees for their so called "Zero Cost" loan. However, the "Zero Cost" rate will always be higher than a rate with points and/or fees.
Notes to the above:
- there is no such thing as a Zero Cost loan and some states prohibit lenders from advertising Zero Cost Loans.
- The spread between Rate and APR on loans greater than 90% LTV should be at least 0.700%. When it is not... you are being scammed

Rate - Points - Fees are all interdependent

The best way I can explain this is show various Rate - Point - Fee combinations where the lender is making the same gross profit on each combination.

In the examples below, we will use a $200,000 loan amount and Lender gross profit of $1,000, on a day when the Lender's cost for a 5.000% rate is par (0 point).

Best Rate: $1,000 Lender profit in various combinations of points and fees

Rate	Fees	Points	APR	Profit
5.000%	$1,000	0	5.044%	$1,000
5.000%	$500	0.250	5.044%	$1,000
5.000%	$0	0.500	5.044%	$1,000

Lowest Fees: You pay $0 points and fees and Lender's investor pays the lender $1,000 for the higher rate.

Rate	Fees	Points	APR	Profit
5.125%	$0	0	5.125%	$1,000

The point here is that lenders design their loans to provide talking points for their sales staff (loan officers). They all require a certain profit margin and it is not important the way the loan is structured as long as the closed loan delivers their margin.

This illustration also points out the value of correctly stated APR as a way of evaluating the true cost of a mortgage loan. For sake of these illustrations, prepaid interest was not used. If 15 days PP was calculated it would have increased each APR by 0.019%.

Reprinted from the FHA guru, Bill Ladewig.

Single Story For Sale in Briargate

2009-09-12T05:35:00Z

Sold to highest bidder on 9/20/09

• 3,585 sq. ft., 4 bath, 4 bdrm single story - $198,000 - 40% OFF THIS HOME

Briargate, Colorado Springs - This home features the most beautiful new kitchen you will find! Honey glazed maple cabinets, solid granite countertops, all stainless steel appliances included! Four bedrooms and laundry on upper level! Office/ den on main. Cozy family room w/fireplace. Huge, private, culdesac lot w/ a large deck and hot tub in rear yard. Beautiful plants and landscaping. Newer roof, deck & hot water heater. Don't miss out!!

Property information

Facts About Our Market

2009-08-25T18:13:00Z

Media reports continually suggest that housing market trends are downward. Consumers have to contend with various sources of information providing grim details about buying or selling a home in the current economic environment. As a consumer you are left with having to discern what is fact or fiction.

Contrary to popular belief, every housing market is local. Figures and trends vary from state to state and from neighborhood to neighborhood. For example, on a national level, existing home sales were down 17% in 2008. But in the Pikes Peak Region, existing home sales were down only 14.5%.

In our area, home sales and appreciation vary even from neighborhood to neighborhood. It is important that you get the facts, assess your financial status and then talk with a real estate professional - a REALTOR® that you know and trust - to receive the information and advice that you need in order to make a smart buying or selling decision during these turbulent times.

Seven Golden Rules For A Successful Bid On a House

2009-08-06T15:29:00Z

Seven Golden Rules For A Successful Bid On a House
First time home buyers are looking at a market that shows no mercy, is highly competitive and does not reflect the conditions of a so-called "depressed real estate market." It is not easy to find a good house at the entry level without having to compete with other buyers, but with persistence, good preparation and the help of a professional local Realtor your chances of becoming a homeowner are better. Above all, be realistic, your very first house is not your "Dream House" but getting on the homeownership wagon will eventually get you there.
Many home buyers have decided to jump off the fence and buy their very first house; perhaps it was the drop on interest rates to historical lows, or maybe the number of perceived bargains offered by the banks and a high inventory of homes for sale, or the $8,000 offered as a tax incentive from the government. When all these factors are put together, you will think It's heaven and you will have the time of your life choosing the best possible home at the best possible price with an incredible low interest rate for the next 30 years... or is it?
This is not the true picture of what we are seeing today. It appears that the REO's or bank owned properties that flooded the market before and kept the inventory high due to their inability to dispose of those properties, have finally figure out how to sell them... by under pricing them! This strategy has been paying off for them very nicely. Buyers trying to outbid each other will push the price to the highest point the market can bear.
An underpriced REO home goes on the market and attracts a good number of home buyers who think that they finally found their dream home, or ideal investment. They quickly realize that they are not the only ones out looking at homes for sale. Here in the east shores of the San Francisco bay, in Alameda County, we are seen 40-50 and even 60 offers presented within days.
How can a home buyer compete and win this bidding war? By understanding how offers are viewed by the seller and being prepared to meet those requirements as much as possible. If you can pay all cash, there will be no financing contingencies or appraisals to wait for, and the escrow can close within days, but if that is not possible, follow these steps to strengthen your position and get your offer accepted;
•1.   Do a complete loan application and bring every piece of paper requested by the lender
•2.   Have the bank issue a complete pre-approval letter, signed by a real person
•3.   Offer to pay more than the asking price if you can
•4.   Put a large down payment if possible, this will help when your offer is compared to others
•5.   Be prepared to take the house on an "as-is" condition and spell that out in the contract
•6.   Reduce the inspection contingency from 17 to about 5-7 days only
•7.   Reduce the close of escrow to less than 30 days if possible
Realize that the sellers don't care who buys their house, all they look for is to get the maximum amount of money they can, in the quickest amount of time with the least amount of inconvenience. They don't want to do any work, or wait too long to close the escrow or pay for anything extra.
Now that you finally decided to jump off the fence and get into the housing market and become a homeowner, you need to give this idea some time and dedication, as we get closer to the end of the $8,000 tax credit window of November 30 2009, there will be far more competition and you will need all the help you can get. Work closely with your chosen Realtor, don't go at it alone and be prepared to go see a house within minutes and possibly right an offer on the spot.
This market offers you a great opportunity to make the purchase of a lifetime... but others are also aware of these positive conditions and you will meet them when they compete with you... just when YOU think YOU found YOUR dream home. Happy House Hunting!
Contact me today to set up your free consulting meeting on how to get started with your home investment plan. With low rates, bargain buys and the $8,000 tax credit, can you really afford to wait on purchasing your dream home?

Advise for Home Buyers In Colorado Springs

2009-07-24T20:42:00Z

The following post is long but filled with tons of info to help you with your home purchase in Colorado Springs.

Ok, put those reading glasses on! The following are some helpful tips that will help you be on the look-out for potential problems in homes that might only become known only AFTER the purchase.

1. Spend considerable time in an area before consummating a home purchase. Visit the area at different times of the day and night. What seems a peaceful area at 2:00 in the afternoon may not be so tranquil at rush hour, or on Saturday night when the hell raising starts! You need not make these observations before making an offer and signing a contract, but you do need to do so before the time limits set in your purchase contract. Built into that contract, is the right to have the home inspected. You have the right to have a professional home inspection, to review subdivision covenants to determine whether or not you can live with them, and you have the right to rescind the contract if you find ANYTHING about the home or the neighborhood that you find unacceptable (keep in mind that laws vary from state to state and that certain communities might also have laws that differ from other’s)

2. Always talk to as many neighbors as possible, before buying a home, especially those who have lived in the area for a long time. Normally these neighbors are a wealth of information that may not be revealed by the owner or his/her Real Estate Agent. Years ago, for example, I showed a vacant home to a young couple and we saw no obvious problems with it. On the way back to my car, a neighbor came out and said, “Did you see the water in the crawl space?” We had not, because it was dry in the areas that were easy to see. The neighbor indicated that most of the adjoining properties drained toward this home, that it had flooded on numerous occasions, and that the crawl space was wet most of the time. This problem may have well been detected upon inspection, but we never got that far, based on what we were told by this neighbor. Early in my Real Estate career, I sold a home to a family who had a basement flood within weeks of buying the home. They had had a home inspection done and, being on top of a hill with no higher property to drain onto it, there was no way to anticipate a water problem. After the basement flooded, it was found that the home was built on shale, which allowed water to flow between the layers of rock and into the home. It was later learned, from a neighbor, that the incident was not a surprise, as it had happened several times previously, The sellers had failed to disclose this material fact, and their Realtor, who also knew about, it had actually advised them to seal the floor around the foundation but not to reveal anything about the problem. The epoxy used to seal around the foundation was no match for the hydraulic pressure of the ground water and a horrible leak soon developed. Had the neighbors been contacted before the purchase, the problem may have been revealed much earlier! People usually know about the problems that have arisen in their neighbors’ homes, and they know of other issues affecting the neighborhood as well.

Examples:
· Zoning issues that affect the area. Is that big field behind the house that looks like a great place for the kids to play, about to become a shopping center, or is the street in front of the house about to be joined to a major thoroughfare.
· Criminal activity in the area. This is an issue that, even if known to your Realtor, cannot be directly discussed because of State and Federal laws precluding it. It is assumed that such revelations might be a result of, or lead to racial discrimination. In Colorado Springs, for example, we have an area that, while being comprised of a good mix of residential and commercial property, wealthy folks, middle class, and poor, and a cross section of people of all ethnic backgrounds, is know by many as “the shooting gallery”! The area fire station is called, by the firefighters themselves, “Fort Apache”. I would not live there on a bet, yet I would risk my license and my financial future to point out this issue to a prospective buyer. Neighbors know of these things, and they are free to tell you. Remember though that the neighbors’ willingness to be straightforward and honest may be determined by the relationship they have with the current owner.
· Geological and environmental problems. I can’t imagine any large area that does not have some potential problems. El Paso County Colorado and Colo. Spgs are no exception. In certain areas we have issues such as abandoned coalmines that may have subsidence problems, areas with heavy Radon concentrations, expansive soil issues in certain regions, high water tables, landslide prone areas, and many other issues of concern. Who would you expect to be better informed than the area’s current residents? Talk to them!

· Other neighborhood problems such as barking dogs, nosy neighbors, conflicts between neighbors, predatory animals in the area, etc.

3. Check the website of your local police department or sheriff’s office, or give them a call, to find out about crime patterns in areas of interest to you. The quality of the information will surely vary from one jurisdiction to another, but most police departments do a very good job of compiling statistics and providing information to the public. The Colo. Spgs. police and El Paso County sheriff have done an excellent job of making this information available to everyone in the Pikes Peak Region! You can also find out such things as whether or not a home in which you are interested has ever been a known meth lab, the presence of registered sex offenders in the neighborhood, and other issues of concern. Your buyer’s agent should do some checking on some issues (such as the meth lab), but may be legally precluded from sharing other crime information (as mentioned previously). Ultimately, you are the one who will have to live in the area, so do your homework and don’t rely on others to keep you from harm.

4. Be sure to get a quality home inspection. Remember, in many states (including Colorado), there is no licensing requirement for home inspectors. Anyone could decide to become a home inspector tomorrow, whether he/she have any expertise or not. There are certifying organizations, which purport to assure that an “inspector” has training and experience, but many are totally bogus, For a few dollars, anyone can get an official looking certificate and be able to claim “certification”. Personally, I would not use any inspector who was not certified by the American society of Home Inspectors (ASHI). Maybe I am being unfair to some others, but so be it – there are just too many bogus “certifying” bodies, and unqualified people out there. DO NOT BE TAKEN IN BY THOSE WHO ADVERTISE THAT THEY “USE ASHI STANDARDS; THAT’S NOT THE SAME AS BEING ASHI CERTIFIED! Make certain that the inspector has errors and omissions insurance, is bonded, and has a clean record with the BBB.

Don’t allow your agent to hand pick an inspector for you. You would never know whether the choice he/she made in the use of a particular inspector was properly motivated. No risk-averse Realtor would even want to take the chance anyway.

5. The local library is also a wealth of information about the history of an area. The resource librarians are normally fantastic about helping you to sort through information and the folks at the Pikes Peak Library District (www.PPLD.org ) are without equal! . Wouldn’t it be nice to know if the area, in which you intend to buy, had had massive floods in the past, was built above abandoned mines, or was built on the grounds of a former chemical plant or nuclear test site, etc.

6. Check building permits. Most county building departments including The Pikes Peak Regional Building Department (www.pprbd.org) have information about building permits and inspections available online or by phone. Did a home addition have proper permits and inspections, or was that new furnace properly installed? Not always!!! Many years ago, a family of 5 was killed by carbon monoxide, when an improperly vented furnace malfunctioned. The owner/landlord had fixed it himself after the city had “red flagged it”. He did not have it re-inspected, and that led to tragedy. A well-meaning but incompetent man, he killed 5 others and, later, committed suicide because of his own grief in having exposed others to such danger. Even if you aren’t concerned that the addition has no foundation, or the furnace vent is insufficient, the person to whom you try to sell 8 years from now, may not be very understanding. It may cost you a sale, when the prospective purchaser realizes that permits and inspections were not obtained.

7. Read all documents related to your purchase thoroughly and be absolutely certain that you understand them explicitly! Yes, they are lengthy and they may be boring, but they are critical. I just want to tear out my hair, when I read articles about people who whine about how restrictive the covenants are in their areas and how mean the homeowners association is. These people always had the opportunity to make the choice as to whether or not to live there. I have absolutely no sympathy for people who bought a home and, later, decided that they could not abide the rules.

8. I have a bit more sympathy for those who find that they bought a home in the flight path of the local airport, or bought a home above subsiding coal mines, or in an area with known high water tables (which may only make themselves known every few years), etc., as they should be able to rely somewhat on the expertise of their buyer agents. The reality, though, is that many agents are totally ignorant of many of these issues, or are just not as concerned about the interests of their clients as they are their own pocketbooks. In any event, you are the one(s) who will be saddled with problems that are not properly researched.

9. If you are buying in an area where there are wells and septic systems, you are faced with special problems. There are different sorts of well permits, dictating what may be done with the water extracted from wells, and you need to know hat they are. Just because the guy next door has a lawn, which he waters daily, or because he has a trough full of water for his horse, is no proof that it is allowable. Water rights laws vary dramatically from state to state and from area to area, and can be extremely complicated!

10. Condominiums and Town home complexes present special issues, which need attention.

Homeowners’ Association financial documents need review. You should be concerned about the financial health of the association. Are there plenty of monetary reserves to take care of maintenance of the property? What happens if the entire complex needs new roofs – is there money set aside for this, or will you get a nice fat bill for your share of the re-roofing? Al l of this information is available to you ahead of time – read it!

The declarations, covenants, and by-laws will spell out just what you own and what you do not. Sometimes the lines between what is a condo and what is a town home are blurred and you may not know just what you own or do not own. You need to know who has responsibility for what. If a window gets broken, for instance, is that your responsibility, or that of the H.O.A.? What happens if the roof leaks? Do not make assumptions – read the documents! Find out who holds the various offices in the H.O.A. and talk with some of them, as they may know of issues that are not in print, but are of prime importance. Often, the condition of the complex can be a dead giveaway that the H.O.A. is not on a solid footing. Is the paint peeling, the parking lots poorly maintained, etc. This could be a clue as to the financial condition of the H.O.A.

11. Don’t go it alone! Representation from a quality Realtor is normally free to you, the buyers, so why would you chose to reject the good counsel of an experienced agent, in favor of buying on your own? It is seldom possible to save any money by not using an agent, and the counseling you give up, is of paramount importance. I realize that with the technology available these days, it is tempting to want to be independent and strike out on one’s own. What you need to remember is that finding homes to consider is only the bare beginning of the home buying process. In addition to those things mentioned earlier in this article, a knowledgeable Realtor and/or inspector will point out construction details that may adversely affect the home you are considering. Was the home built using materials that, while being considered state-of-the-art, at the time of construction, were later found to be flawed and now need to be replaced (often at costs in the many thousands of dollars)? Examples: Polybutylene plumbing, several composition roofing materials, some new-fangled siding products, artificial stucco, etc. (I am reluctant to cite particular brand names in this article, but they are numerous).

Ok, that's it for now. If you have any questions at all about Real Estate that I can answer for you, please don't hesitate to contact me: Juanita@JuanitaSimkins.com

Bi-Level For Sale in Columbine Estates

2009-07-21T17:23:00Z

Sold-In-A-Week Home Bidding Event

• 2,925 sq. ft., 3 bath, 4 bdrm bi-level - MLS® $199,900 - PRICED 45% BELOW MARKET

Columbine Estates, Colorado Springs - YOU WILL BUY THIS HOME FOR THE AMAZING UNOBSTRUCTED PIKES PEAK & GARDEN OF THE GODS VIEWS FROM THE WHOLE WEST SIDE OF HOUSE! CUSTOM, ENERGY EFFICIENT STUCCO CONSTRUCTION, D-20 SCHOOLS, ZONED FOR HORSES ON 2.36 ACRES. CENTRAL AIR, HUMIDIFIER, WOOD BURNING FIREPLACE, 24X12 MAINT. FREE DECK, HARDWOOD FLOORS IN KITCHEN, HALL & DINING ROOM, GAS COOKTOP, CONVECTION OVEN, LARGE MASTER WITH LARGE WALK-IN CLOSET, WALK-OUT BASEMENT & OVERSIZED 3-CAR GARAGE. NOT A BANK OWNED, FORECLOSURE OR REPO HOME. SIMPLY A MOTIVATED SELLER SOLD TO HIGH BIDDER SUN EVENING 8/2/09. COME TO THE OPEN HOUSE ON SAT OR SUNDAY 8-1 & 8-2-09, 12-4 PM. ALL BIDS TO BE PLACED BY 4 PM ON 8-2-09.

Property information

Web Appeal - It's the new Curb Appeal For Colorado Springs Home Sellers

2009-07-09T19:55:00Z

If you’re trying to sell your home, it goes without saying that you want to generate as much interest among potential home buyers as possible. So how do you make your house stand out — especially in this foreclosure-saturated market where homes are sitting for months? In the past, it was all about curb appeal - a manicured lawn, a brick walkway, a fresh coat of paint. But today, with 90 percent of home buyers looking online, it’s all about Web appeal. You want to attract visitors...(read more)

Colorado Springs - First-time homebuyers are entitled to an $8,000 refund on their 2008 tax return for 2009 home purchases.

2009-07-09T19:23:00Z

Don’t miss out on this opportunity for an $8,000 tax refund if you’re thinking of buying a home this year. It’s not often that the Feds offer free money, and unlike prior tax credits, this one doesn’t need to be returned!

The Feds are offering an $8,000 refund for first-time homebuyers who purchase homes between January 1 and November 30, 2009 regardless of your tax bill. This is a refundable tax credit, so even if you only paid $1,000 in taxes for 2008, you’ll still get the entire $8,000 refund.

If you’re considering buying a home while the prices are low, this is a great opportunity to get a refund of all or part of your down payment. And, as an added bonus for FHA buyers, you can borrow part of your down payment from friends of family members and then use this credit to pay them back! This means that if you’re an FHA buyer, you can buy a home for $228,500, use someone else’s money for your down payment, and get that entire 3.5% down payment back from the Feds as a tax refund. SWEET!

So, what’s a first-time home buyer? The IRS defines a first-time homebuyer as someone who has not owned a home as their principal residence within the last 3 years (this does include spouses). You may have owned a home before, or you may never have owned a home - it doesn’t matter.

The tax credit is paid after you file your 2008 tax return. If you’re planning on buying a home and don’t want to amend your return later, you can extend your time to file through October 15, 2009. Remember that you must close escrow by November 30 in order to qualify for this credit, so don’t wait til the last minute to start searching for homes!

If you’re looking at short sales (or preforeclosures), plan on it taking at least 2 months and up to 6 months or more to close escrow on your new home, since the banks do take time to process these approvals.

Clearly this tax refund isn’t geared towards purchasing McMansions, but you can still buy a nice home in the Colorado springs area for a reasonable price while the market is still gearing up for recovery mode. And, to make it even easier to buy a home, interest rates are now below 5% once again!

What’s the catch? The full credit is available only to homeowners with $75,000 in adjusted gross income (AGI) for singles and $150,000 for a joint return, and phases out at $95,000 and $170,000, respectively. You’ll need to own your new home for 3 years in order to avoid the recapture provisions, which may require returning all or part of the refund to the IRS.

As always, be sure to consult your tax advisor to make sure that you qualify for this tax refund and to clarify any questions that you may have regarding the recapture provisions.

If you are ready to buy a home in Colorado Springs or in the process of deciding if now is the right time for you to buy, I want to assure you that now is the BEST time! With interest rates and home prices at an all time low and $8,000 at your finger tips - THIS IS AN OPPORTUNITY OF A LIFETIME!

For Buyers

Get a FREE Credit Report (valued at $50) when you use our preferred lender
Seller paid appraisal (value $400 - we always ask the seller to pay up to 3% in closing costs with the appraisal as part of the closing costs)
Down payment assistance programs available
Easy pre-qualification for VA, FHA CHFA, Conventional & other creative new loan programs
Search the entire MLS on your complimentary personalized website available 24/7
Complete Representation, Negotiation & Protection at NO COST TO YOU!!

Contact me by email today for more details at: Juanita@JuanitaSimkins.com or call me at 719-229-5770

$8,000 for First Time Home Buyers?

2009-07-02T01:30:00Z

As part of the most recent STIMULUS package or Economic Recovery Program, first time home buyers (anyone who has not owned a condo, townhome, or single family home in the last 36 months) have been given an opportunity to take advantage of an amazing offer made by the Federal Government.

Close on a home (condo, townhome, or single family home) between 1/1/2009 and 11/30/09, and if you meet the guidelines of the income parameters, you will receive an $8000 tax credit which does not need to be repaid (as long as you stay in the home as your primary residence, and do not sell it for a minimum of 3 years). This is enough money to help some with the downpayment requirement, or for furniture to furnish your home, or for closing costs and buying down a lower interest rate. Of course, seek the help of a Real Estate Professional (such as myself) and any/all other professionals prior to taking any action.

If you have good credit, verifiable employment for two years, and an income that would be able to handle the cost of a mortgage, taxes, insurance you may qualify for this offer. Do not delay in making a call to your trusted lender to find out what your options are. What a great way to stop throwing money away as a renter. Become your own landlord!