Real Estate Information Archive

April 9, 2012

HARRY’S WEEKLY UPDATE
A CURRENT LOOK AT THE COLORADO SPRINGS RESIDENTIAL real estate MARKET

THE LATEST PPAR SALES AND LISTING STATISTICS FOR THE PIKES PEAK AREA

Sometimes we are asked why we regularly feature the latest PPAR statistics in our eNewsletter. After all, statistics are pretty boring and they are tough to put into context. However, if you are in the market for a new home, or are considering putting your present home on the market, these statistics will be invaluable in helping you determine what your listing price or your probable purchasing price will be, by showing you what comparable properties are selling and listing for, in the neighborhoods you are considering.

In fact, these PPAR statistics are one of the more important tools we utilize when we consult with our clients. Setting realistic listing prices is the key to selling properties as quickly as possible. Most of the horror stories you hear about houses sitting on the market for extended periods of time are the result of unrealistic listing prices. By using these statistics properly, we can help our clients to avoid these basic mistakes.

The PPAR statistics are also used by real estate experts and business writers to develop a clear picture of trends and business conditions within our local area. As an example of this, we reprint excerpts from a recent feature story from the Gazette, which is based on the PPAR statistics and on an interview which we did with Rich Laden of the Gazette:

LOCAL HOME SALES FALL, BUT PRICES RISE –

The Gazette, April 03, 2012 1:54 PM (Rich Laden)

“Colorado Springs-area home sales fell last month for the first time since mid-2011, but prices rebounded — rising for the first time in more than a year, a Pikes Peak Association of Realtors’ report shows.

For the first quarter of 2012, sales totaled 1,711, or a 1.5 percent gain over the same period in 2011.

Of homes that sold in March, the median sales price rose to $189,000, a 5 percent increase from the same month last year. The median is the midpoint of all sale prices; in March, half of those prices were more than $189,000 and half were less.

The one-month decline in sales shouldn’t be enough to blunt momentum that’s built up in the re-sale market, said Harry Salzman of Salzman real estate Services in Colorado Springs.

Some homebuyers possibly put off their purchases in March, deciding to wait until summer when their kids are out of school, he said. But the increase in price is a good sign, Salzman said.

As buyers take advantage of low mortgage rates and attractive prices, their purchases mean that many homeowners who had been unable to sell their properties finally are able to do so. In turn, those sellers are moving up to bigger and more expensive homes — purchases that likely helped pull up the median price of homes sold in March, Salzman said.”

If you are now in the market to buy or sell a home, you now have at your disposal the same statistics that your Realtor uses.

If you would like clarification of these statistics, or, if you have any other questions about our local market, please do not hesitate to give us a call. We will be happy to answer your questions and to use our 39 years of experience in the local market to advise you about any of the neighborhoods which PPAR covers.

Click Here to see the complete PPAR Listing and Sales statistics for March, 2012

SOME HOME MAINTENANCE TIPS FOR SPRING – WHETHER YOU’RE SELLING OR NOT !!!

1. Get your curb appeal ‘up to snuff’ !!! THIS IS REALLY IMPORTANT FOR SELLERS !!! Today’s Buyers are doing their preliminary shopping online and then doing a ‘drive-by’ to see if they want to investigate further. This really emphasizes the old adage, “You only get one chance to make a good first impression”. If your home fails the ‘drive-by’ test. You won’t see many Buyers.
2. Roofing repairs: If you suspect winter storms may have damaged your roof, it needs to be inspected.
3. Check gutters and downspouts: Clean leaves and debris to be ready for spring and summer rains.
4. Fences and gates: Replace any posts that have rotted.
5. Fans and air conditioners: Check the operation of cooling fans, air conditioners and whole-house fans.
6. Check and adjust sprinklers
7. Check vent blocks and faucet covers:
8. Turn on the water supply to outdoor faucets if it's been shut off.
9. Change furnace filters:
10. Check smoke detectors: Replace the batteries and test the detector's operation.

FHA FEES INCREASE TODAY – HOW LONG BEFORE VA AND CONVENTIONAL LOANS FOLLOW?
Daily real estate News

The upfront insurance premium charged on FHA-insured mortgages for home purchases increases today from 1 percent to 1.75 percent on April 9, and the annual FHA mortgage insurance premiums rises by one-tenth of a percentage point.

The cost of a $200,000 FHA mortgage will now rise by about $24 a month, assuming the borrower includes the upfront charge in the amount financed through a 30-year mortgage; a fee increase for jumbo loans and some 15-year loans will be added June 11.

The fourth fee increase in the last three years should boost the FHA's reserves by more than $1 billion through 2013, according to HUD.

Editor’s Note: Our concern is that VA and conventional loans will soon follow this trend and raise their rates, as well.

The bottom line for our readers is: BUY NOW !!!

AS RENTS RISE, OWNING IS REGAINING ITS APPEAL
The Wall Street Journal – and RealtorMag - April 6, 2012

As demand increases throughout the US, rents continue to rise, increasing 5% over the past 12 months. Meanwhile, the asking prices for homes fell 0.7% in that time, according to a new report released Thursday by Trulia Inc.

“Buying a home is now more affordable than renting in almost every part of the US.” Says Jed Kolka, Trulia’s chief economist.

“A lot of people who were owners lost their homes in the bust in these places”, Kolko says. “As a result, many of these former home owners have turned to renting, which has been ramping up demand and driving up rents across the country”

However, as the Wall Street Journal points out, the tide is beginning to turn. Climbing rents are combining with a continued decline in home prices to push once-reluctant home buyers into finally taking the plunge, helping what appears to be a good start to the housing industry’s all-important spring-selling season.

real estate agents report they are fielding more calls from anxious tenants complaining about rising rents. The bottom line is that “The entry-level market is back”.

If you are a renter who is getting squeezed by rising rents, give us a call. We can help you compare what your costs will be if you move out of your rental into a home of your own.

Call us at 598-3200, or, 800-677-6683(MOVE).

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf. Call us at 598-3200,or, 800 877-MOVE (6683).

JOKE OF THE WEEK

WHO IS YOUR ROLE MODEL ??

1) Pick your favorite number between 1-9
2) Multiply by 3
3) Add 3, then multiply again by 3
4) You'll get a 2 or 3 digit number ..
5) Add the digits together

Now, using that number, see who your ROLE MODEL is from the list below:

1. Einstein
2. Nelson Mandela
3. John Wayne
4. Helen Keller
5. Bill Gates
6. Gandhi
7. George Clooney
8. Thomas Edison
9. Harry Salzman
10. Kermit the Frog

I know... I just have that effect on people.
P.S. Stop picking different numbers. It always works

April 2, 2012

HARRY’S WEEKLY UPDATE
A CURRENT LOOK AT THE COLORADO SPRINGS RESIDENTIAL real estate MARKET

FORECLOSURE RATE IN COLORADO SPRINGS BETTER THAN REST OF STATE AND NATION
Colorado Springs Business Journal – March 27, 2012

The rate of foreclosure among all outstanding mortgages in Colorado Springs fell to 1.39 percent in January, according to a report from CoreLogic, a real estate market information and analysis firm. The rate is a decrease of 0.42 percent from January of 2011 when it was 1.81 percent.

Foreclosure activity in Colorado Springs is also significantly lower than the national average, where 3.6 percent of all outstanding mortgages go into foreclosure. Colorado Springs rate was also slightly below the Colorado average of 1.44 percent.

The city is also showing improvement among the percentage of mortgages 90 days or more delinquent. That rate fell from 4.44 percent in January, 2011 to 4.04 percent this January. While that rate is slightly higher than the state average, it’s well-below the national average of 7.24 percent.

The Gazette reports that foreclosures have fallen, in part, because the pool of homeowners falling into foreclosure – people who have lost jobs or had bought houses using non-traditional, risky mortgages – is dwindling.

This is good news for our local housing market and is an indication that local home prices will now start to rise. Sellers will be happy to hear that and will probably start re-listing their homes. Buyers should take note of all of these factors as they decide whether to buy now or continue to wait.

In fact, now is the best opportunity for buyers to make their move. Prices and mortgage rates are still very low, and the inevitable inflation that will soon affect home prices and rates has not kicked in yet.

Another factor that will trigger a rise in home prices is that many prospective buyers have been waiting for prices to stop falling, before they committed to buy. When all of these Mugwumps start looking to buy, prices will definitely rise even further.

Contact us to discuss the local market in more detail. Should you buy, rent, refinance, or list?? We can help you make the decision that will be best for you. Call us at 598-3200, or, 1-800-677-6683.

HAPPY DAYS ARE HERE AGAIN, ACCORDING TO 38 LEADING real estate EXPERTS

A new Urban Land Institute survey of 38 leading real estate economists and analysts from across the US projects broad improvements for the nation’s economy, real estate capital markets, real estate fundamentals and the housing industry through 2014.

The survey, conducted during late February and early March, is a consensus view and reflects the median forecast for 26 economic indicators, including property transactions, vacancy rates and rents, housing starts and home prices.

Some of the consensus predictions are:

• Rents are expected to increase for all property types, with 2012 apartment rent increases of 5%
• Housing starts will nearly double by 2014 and home prices will begin to rise, with prices increasing by 3.5% in 2014.

Lawrence Yun, chief economist for the National Association of Realtors, echoed the survey results. He stated, “The spring home buying season looks bright because of an elevated level of contract offers so far this year. If activity is sustained near present levels, existing home sales will see their best performance in five years. Based on all the factors in the current market, we’re expecting sales rising 7%-10% in 2012”.

The surveyed experts also predict a GDP growth of 2.5% this year, 3% in 2013 and 3.2% in 2014. They also predict a decrease in unemployment, down to 6.9% in 2014.

The down-side of these positive predictions is that the improving economy will likely lead to higher inflation and interest rates.

Freddie Mac reflected these trends by stating, “We can expect 30-year fixed-rate mortgages to gradually increase throughout the year to about 4.5%”.(March 29, 2012).

Frank Nothaft, Freddie Mac’s chief economist noted that “As if awakening from hibernation, housing starts and home sales have moved to a higher level of activity”.

Keep in mind, however, that if you wait another six months to buy your new home, both the price for the home and the mortgage rate will probably be higher than they are today.

Call us at 598-3200, or 1-800-677-6683.

BUYING A HOME? THE COST IS MORE IMPORTANT THAN THE PRICE
The KCM Crew, March 19, 2012

KCM is a respected source of in-depth information about the real estate market. They recently published a timely reminder for prospective buyers, advising them to consider the total cost of their home purchase, as opposed to merely the price of the house. We thought you would be interested in their comments:

“We have often advised buyers to look at the COST of purchasing a house more than the PRICE of the home. Obviously, price is part of the cost equation. The other piece, assuming you are not an all cash buyer, is the mortgage rate. The mortgage rate to finance a purchase can have a dramatic impact on the overall cost. Recently, there are more people talking about the possibility that mortgage rates could begin to increase”.

They point out that, over the life of a 30-year mortgage, a 1.5% increase in interest rate will cost the homeowner over $40,000. And, when we consider that NAR is predicting that mortgage rates will soon be rising from 3.9% to as much as 4.6%, it’s obvious that waiting may not be in your best interests.

Furthermore, considering the projected rise in rents and the fact that, as a homeowner, you have tax advantages that you don’t enjoy as a renter, the total cost to you of delaying your home purchase may be greater than you think.

In fact, if you are considering buying a home in today’s market, there are 4 things that you should be discussing with your real estate agent:

1. Would you be better off buying or renting?
2. What are the advantages of owning a home, including the non-financial advantages?
3. Why the financial gurus are saying that NOW IS THE TIME TO BUY
4. Why real estate will be a GREAT investment moving forward.

We would be happy to discuss all of these factors with you. Call us at 598-3200, or 1-800-677-6683.

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf.

Just click on the icon at the top of this email to listen to my latest podcast.

LATEST STATISTICS

Click here for the latest Sales and Listing statistics for the Pikes Peak area. These statistics can help you evaluate prices and neighborhoods. Call us, if you have any questions.

JOKE OF THE WEEK

As part of our effort to achieve world peace, we have developed a list of “Men’s Rules”.

These rules are meant to clarify some aspects about men’s behavior which sometimes lead to misunderstandings, arguments and/or hurt feelings
Please note.. These are all numbered "1 "…….on purpose!

1..Men are not mind readers. (first & foremost rule)
1..Learn to work the toilet seat. You're a big girl. If it's up, put it down. We need it up, you need it down. (You don't hear us complaining about you leaving it down. )
1..Sunday sports, it's like the full moon, or the changing of the tides. Let it be.
1..Crying is blackmail.
1..Ask for what you want. Let us be clear on this one: Subtle hints do not work! Strong hints do not work! Obvious hints do not work! Just say it!
1.."Yes" and "no" are perfectly acceptable answers to almost every question.
1..Come to us with a problem only if you want help solving it. That's what we do. Sympathy is what your girlfriends are for.
1..Anything we said 6 months ago is inadmissible in an argument. In fact, all comments become null and void after 7 days.
1..If you think you're fat, you probably are. Don't ask us.
1..If something we said can be interpreted two ways and one of the ways makes you sad or angry, we meant the other one
1..You can either ask us to do something, or tell us how you want it done....not both. (if you already know best how to do it , just do it yourself. )
1..Whenever possible, please say whatever you have to say during commercials..
1..Christopher columbus did not need directions and neither do we.
1..All men see in only 16 colors, like windows default settings. Peach, for example, is a fruit, not a color. Pumpkin is also a fruit. (we have no idea what mauve is.)
1..If it itches, it will be scratched. We do that.
1..If we ask what is wrong and you say "nothing," we will act like nothing's wrong. (we know you are lying, but it is just not worth the hassle..)
1..If you ask a question you don't want an answer to, expect an answer you don't want to hear.
1..When we have to go somewhere, absolutely anything you wear is fine... Really .
1..Don't ask us what we're thinking about unless you are prepared to discuss such topics as football,hockey, hunting, or fishing.
1..You have enough clothes.
1..You have too many shoes.
1..I am in shape. (round is a shape!)

Thank you for reading this. .....yes, I know, I have to sleep on the couch tonight;
(but did you know men really don't mind that? It's like camping.)

Pass this to as many men as you can -
To give them a laugh.

Pass this to as many women as you can -
To give them a bigger laugh.

March 26, 2012
HARRY’S WEEKLY UPDATE

LOCAL ECONOMY GAINING JOBS IN PAST 18 MONTHS
The Gazette, Saturday, March 24, 2012

Thought the unemployment rate in the Colorado Springs area remains at a stubborn 9%, there is good news. The local economy has been adding jobs, rather than losing them, according to the revised payroll data released Friday by the U.S. Bureau of Labor Statistics.

The revisions add more than 4,600 jobs per month to last year’s employment totals and reflect a local economy that began recovering from the most recent recession in late 2010, said Tom Binnings, a senior partner of Summit Economics, LLC, a Colorado Springs-based economic research and forecasting firm.

“This is what we were forecasting for last year but wasn’t reflected in the survey numbers, that the economy was much better than was estimated by BLS. We are very pleased that the local economy is gaining traction.’ Binnings said.

“If you look at the other economic indicators for the area,such as sales tax collections, vehicle sales and housing construction, they support that employment was higher than originally reported”, said Fred Crowley, senior economist for the Southern Colorado Economic Forum.

“All indications ar that the local economy is in recovery after bottoming out in early 2009 and has been moving forward at a faster pace than it originally appeared to be”, Crowley said.

That’s good news for our area !!!!

BUYING BEATS RENTING IN COLORADO SPRINGS
by Inman News, Thursday, March 22, 2012.

Thanks to nationwide price declines and rising rents, buying a home is now cheaper than renting one in 98 of the nation's 100 major metropolitan areas, according to a rent vs. buy index from real estate search and marketing site Trulia.

The rent vs. buy index is based on a price-to-rent ratio of asking prices to asking rents for properties on Trulia.com between Dec. 1, 2011 and Feb. 29. 2012, after adjusting for property and neighborhood attributes.

A price-to-rent ratio of 15 or below indicates it is less expensive to buy than to rent in an area.
The top 10 metro areas where it is cheaper to buy than to rent are:

Rank US Metro Price:Rent Ratio

1 Honolulu 17
2. San Francisco 15.5
3. New York 14.5
4. San Jose, CA 14.3
5. Orange County, CA 13.5
6. Los Angeles, CA 13
7 San Diego, CA 12.7
8. Colorado Springs, CO 12
9. Boston, MA 12
10 Albuquerque, NM 11

As rents rise and prices stagnate, homeownership is becoming even more affordable, but rising rents create a dilemma for people who can’t afford to buy yet,” says Jed Kolko, Trulia’s chief economist. “Rising rents make it harder for people to save for a down payment, which is the biggest barrier to buying a home that aspiring homeowners face.”

Paul Dales, senior economist at Capital Economics, estimated decreased vacancies in the home-rental market will push average rental rates up as much as 5% by early 2013, compared to 2.4% in January.

He expects rents to rise at an annual rate of 3% this year and remain at that level in 2013. "Assuming that the economic recovery gains firmer footing, in future years there is scope for rents to rise by around 4% a year," Dales said.

The bottom line for our local, Colorado Springs readers is that you should check with us to see if, considering your circumstances and present market conditions, buying might be better for you than renting, or, if your portfolio would profit from purchasing a rental property, we will be pleased to discuss that option with you. Call us at 598-3200,or,1-800-677-MOVE(6683) to discuss these opportunities.

IT’S TIME TO STOP BEING A MUGWUMP

A Mugwump is a bird that sits on a fence with his ‘mug’ on one side and his ‘wump’ on the other.

For the past few years, the real estate market has been full of prospective buyers (Mugwumps) who have delayed their purchasing decision, as they wait for mortgage rates to go even lower.

Well, folks, if you have been a Mugwump, it’s now time to get off the fence. All the evidence points to the fact that rates are not going to go down, but are even now starting to rise.

Within the past week, the Wall Street Journal, DS News, Housingwire and InmanNews have all featrured stories about the rise in mortgage interest rates. In addition to this rise in rates, you have to add in the fact that FHA costs are rising, the inventories of available homes is shrinking and, in many markets, credit scores are beginning to present problems for prospective buyers.

Locally, Tom Monroe of Residential Mortgage of Colorado LLC just quoted me some current data that emphasize this trend. For example:

• A 30-year, fixed rate, conventional mortgage, with a minimum 20% down payment is now going for around 4.375% - 4.5%....That still extremely low, but it’s higher than it was two weeks ago
• A 15 year, fixed rate, conventional mortrgage is now about 4.0%
• A 30 year, fixed rate for an FHA mortgage is now about 4%
• Our inventory of available homes is shrinking, and, as we all know, when supply shrinks, prices tend to rise.

real estate agents also see the lack of inventory as a problem . The number of homes for sale is down sharply from a year ago. That may stem partly from would-be sellers waiting for prices to firm up.

We strongly urge you to contact your local lender to see how the recent changes in rates, closing costs and FHA fees might affect your loan …and then call us for assistance in getting the best deal possible on your new home.

Call us at 598-3200, or, 1-800-677-MOVE(6683) to discuss the present opportunity for you to buy your home….and leave the other Mugwumps on the fence !!!

FEBRUARY NATIONWIDE HOME SALES UP STRONGLY FROM A YEAR AGO

Total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, are 8.8 percent higher than the level in February 2011.

Lawrence Yun, NAR chief economist, says underlying factors are much better compared to one year ago. “The market is trending up unevenly, with record high consumer buying power and sustained job gains giving buyers the confidence they need to get into the market,” he says. “Although relatively unusual, there will be rising demand for both rental space and homeownership this year. The great suppression in household formation during the past four years was unsustainable, and a pent-up demand could burst forth from the improving economy.”

“The bottom line is investors and first-time buyers are competing for bargain-priced properties in much of the country, with home prices showing signs of stabilizing in many areas. People realize that homeownership is an investment in their future. Given an apparent over-correction in most areas, over the long term home prices have nowhere to go but up.”

Call us at 598-3200, or, 1-800-677-MOVE(6683) to discuss the present opportunity for you to buy your home.

CONSUMER CONFIDENCE RISES NATIONALLY

A new national survey released by Prudential, shows that Americans are significantly more optimistic about home ownership than they were a year ago. According to the survey, a full 60 percent of Americans have favorable views toward the real estate market. That is up eight points since last year.
More details from the national Prudential Survey:

• With interest rates at historically low levels, 96 % agree or somewhat agree that now is a good time to buy.
• A full 70 % of respondents have some degree of confidence that property values will improve over the next two years; with an eight-point increase in those “very confident”, or “confident” compared to last year.
• 63 % believe that real estate is a good investment despite the recent market volatility; that is up 11 points from last year.

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.
 

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf.

Just click on the icon at the top of this email to listen to my latest podcast.

LATEST STATISTICS

Click here for the latest Sales and Listing statistics for the Pikes Peak area. These statistics are issued each month by the Pikes Peak Association of Realtors and enable us to help you determine current Listing prices and Sales prices in every neighborhood in this area. Please give us a call, if you have any questions about the numbers.

JOKE OF THE WEEK

OK, we know that some people are offended by ‘blonde jokes’, so we have edited the following to refer to ‘Green-Haired-Ladies’ (GHL). There, now. Nobody has to be offended, so just enjoy!!!

FIRST DEGREE
A married couple were asleep when the phone rang at 2 in the morning.
His GHL wife picked up the phone, listened a moment and said 'How should I know,
that's 200 miles from here!' and hung up. The husband said, 'Who was that?'
The wife answered, 'I don't know, some woman wanting to know if the coast is clear.'

SECOND DEGREE
Two GHLs are walking down the street. One notices a compact on the sidewalk and leans down to pick it up. She opens it, looks in the mirror and says, 'Hmm, this person looks familiar.'
The second GHL says, 'Here, let me see!' So, the first GHL hands her the compact.
The second GHL looks in the mirror and says, 'You dummy , it's me!'

THIRD DEGREE
A GHL suspects her boyfriend of cheating on her, so she goes out and buys a gun. She goes to his apartment unexpectedly and when she opens the door she finds him in the arms of a redhead. Well, the GHL is really angry. She opens her purse to take out the gun, and as she does so, she is overcome with grief. She takes the gun and puts it to her head. The boyfriend yells, 'No, honey, don't do it!!!' The GHL replies, 'Shut up, you're next!'

FOURTH DEGREE
A GHL was bragging about her knowledge of state capitals. She proudly says, 'Go ahead, ask me, .. I know 'em all.' A friend says, 'OK, what's the capital of Wisconsin ?'
The GHL replies, 'Oh, that's easy . it's W.'

FIFTH DEGREE
Q: What did the GHL ask her doctor when he told her she
was pregnant? A: 'Is it mine?'

SIXTH DEGREE
Bambi, a GHL in her fourth year as a UCLA Freshman, sat in her US Government class The professor asked Bambi if she knew what Roe vs. Wade was about. Bambi pondered the question; then, finally, said, 'That was the decision George Washington had to make before he
crossed the Delaware .'

SEVENTH DEGREE
Returning home from work, a GHL was shocked to find her house ransacked and burglarized. She telephoned the police at once and reported the crime. The police dispatcher broadcast the call on the radio, and a K-9 unit, patrolling nearby, was the first to respond. As the K-9 officer approached the house with his dog on a leash, the GHL ran out on the porch, shuddered at the sight of the cop and his dog, then sat down on the steps. Putting her face in her hands, she moaned, 'I come home to find all my possessions stolen. I call the police for help, and what do
they do? They send me a BLIND policeman!'

March 19, 2012

March 12, 2012

HARRY’S WEEKLY UPDATE
A CURRENT LOOK AT THE COLORADO SPRINGS RESIDENTIAL real estate MARKET

GOOD NEWS !!! COLORADO SPRINGS HOMES SELLING BETTER IN 2012 THAN LAST YEAR
The Gazette, Wednesday Mar. 7, 2012

The Gazette reports that local home sales hit 514 in February, 2012. This represents a 14.7% rise in sales over 2011 and marks the 8th straight month of increasing local sales. So far in 2012, our local housing market has shown an 8.8% rise in the number of sales over the same period last year.

Considering the fact that this is an election year, it is very likely that the government will take whatever actions are necessary to boost home prices during the rest of the year. So, with higher prices, low rates, shrinking inventory ….If you have been on the fence about buying or selling your home, now is certainly the time to make your move.

Call us at 598-3200, or, 800 677-6683 (MOVE).

HOUSING AFFORDABILITY REACHES NEW RECORD HIGH

Housing affordability rose to a record high during the fourth quarter of 2011, which means that a home buyer’s purchasing power is greater than it has ever been since record-keeping began in 1970, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index.

NAR’s Housing Affordability Index rose to a record high 206.1 in January, based on the relationship between median home price, median family income and average mortgage interest rate. The higher the index, the greater the household purchasing power.

An index of 100 is defined as the point where a median-income household has exactly enough income to qualify for the purchase of a median-priced existing single-family home, assuming a 20 percent down payment and 25 percent of gross income devoted to mortgage principal and interest payments. For first-time buyers making small down payments, the affordability levels are relatively lower. Based upon these parameters, the Index showed that 75.9% of all new and existing homes sold in the fourth quarter were affordable to families earning the national median income of $64,200. This marks the highest percentage recorded in the index’s 20-year history.

NAR President Moe Veissi, said this latest data underscores buyer opportunities in today’s market. “This is the first time the housing affordability index has broken the two hundred mark, meaning the typical family has roughly double the income needed to purchase a median-priced home,” he said. “For buyers who can qualify for a mortgage, now is a very good time to become a homeowner.”

NAR projects the affordability index for all of 2012 will be at an annual high, with little movement in mortgage interest rates or home prices during the year. “Housing inventory levels have declined to a point where conditions are becoming much more balanced in much of the country,” Veissi said. “If access to credit improves, we could see a much more meaningful increase in home sales and broader stabilization in home prices with modest gains in areas with stronger job growth.”

Considering today’s low prices, low mortgage-interest rates and high inventories of available homes, it’s obvious that now is the time to buy your new home, or to acquire that rental property.

Call us at 598-3200, or, 800-677-6683, to discuss this opportunity.

WHAT YOU NEED TO KNOW ABOUT CANCELATION OF MORTGAGE DEBT
By Linda Goold, Tax Counsel for National Association of REALTORS®.

A lender will, on occasion, forgive some portion of a borrower’s debt. The general tax rule that applies to any debt forgiveness is that the amount forgiven is treated as taxable income to the borrower. Some exceptions to this rule are available, but, until recently, the borrower was required to pay tax on the debt forgiven. A new law enacted in December 2007 provides relief to troubled borrowers when some portion of mortgage debt is forgiven. However, this relief expires on December 31, 2012 and NAR will be working to obtain an extension throughout the year.

Below is some general information you need to know about this law and cancellation of mortgage debt.

General Rule for Debt Forgiveness
If a lender forgives some or all of an individual’s debts, the general rule is that the forgiven amount is treated as ordinary income and the borrower must pay tax on the forgiven amount. Exceptions apply for bankruptcy, insolvency and certain other situations, including mortgage debt.

Current Law for Mortgage Debt
(Jan. 1, 2007 through Dec. 31, 2012): A borrower can be excused from paying tax on forgiven mortgage debt. The debt must be secured by a principal residence and the total amount of the outstanding obligation may not exceed the original mortgage amount plus the cost of any improvements.

Does the relief apply only to a sale?
No. The provision has broader application. Lenders might forgive some portion of mortgage debt in a short sale (when value at sale is less than the amount owed) or in a foreclosure where the debt is wiped out. In addition, if a borrower still living in the home is able to make an arrangement with a lender that reduces the principal balance of a mortgage, the amount forgiven in that workout will not be taxed.

Can the homeowners in a short sale or foreclosure claim a loss?
No. The loss is considered a personal loss and is, therefore, ineligible for either capital loss or ordinary loss treatment.

What happens to the seller when mortgage debt is forgiven?
Until January 1, 2013, the homeowner will pay no tax on any forgiven amount.

Does this provision apply to a refinanced mortgage?
Only in limited circumstances. The relief provision can apply to either an original or a refinanced mortgage. If the mortgage has been refinanced at any time, the relief is available only up to the amount of the original debt (plus the cost of any improvements). Tax relief is generally not available for second mortgages or home-equity lines of credit where the funds are not used for home improvement. Any amount that is not eligible for the relief provision will be taxed as ordinary income.

How does the homeowner get the correct information to the IRS?
The lender is required to provide the homeowner and the IRS with a Form 1099 reflecting the amount of the forgiven debt. The borrower/homeowner must file a Form 982 to reflect the amount forgiven and to show the reason why the forgiven amount is not taxable. Any taxable portion of forgiven debt will then be reported on the homeowner’s Form 1040 for the tax year in which the debt was forgiven.

What if a property declines in value but the owner stays in the house?
The provision would not apply. The provision applies only at the time of sale or other disposition or when there is a workout (reduction of existing debt) with the lender.

Do all lenders forgive mortgage debt when property values decline or the home is in foreclosure?
No. Some states have laws that allow a lender to require a repayment arrangement, particularly if the borrower has other assets. Forgiveness of debt is always at the lender’s discretion.

SMALL BUSINESS OWNERS, TAKE NOTE. …CUSTOMERS ARE LOOKING FOR YOU ONLINE
real estate Trends March 11, 2012

As a business owner operating in a local market, the reliance of consumers on their smart phone and tablet devices has put you in the position to capitalize more so than ever before. The way in which the technology, mobile apps and social media have come together has placed the focus on “local” more so than ever before.

A recent study by comScore revealed that 64 percent of tablet owners are searching weekly and 61 percent of smart phone users conduct local searches from their device. In addition, the report shows a 67 percent increase in social network local business searches since 2010. One thing we know about social network users is that they are in large part accessing from their mobile device.

Take for a moment a real life scenario; you’re out to dinner with friends and you mention you are going to need a plumber. Your friend replies, “I know a great company you should work with.” The common practice in many social circles now-a-days is to immediately Google or look up that recommendation through a social network from your mobile device. We’ve all done this in one form or another.

This means that your information not only needs to be accessible and updated in the various business profiles and on maps in engines like Google, Bing and Yahoo, but it also means that the link to your website needs to work on mobile and tablet devices as well as it does on PCs. Your brand and your information need to be consistent no matter the device the consumer is using.

The old days of just advertising your business in the Yellow Pages are gone forever.

SALES AND LISTING STATISTICS

Click here to see the latest PPAR statistics regarding area sales and listings And be sure to give us a call, if you have any questions, or would like to discuss these statistics in more detail. Call us at 598-3200, or, 800 677-6683.

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf. Call us at 598-3200,or, 800 877-MOVE (6683).

JOKE OF THE WEEK

RETIRED/BORED HUSBAND

After I retired, my wife insisted that I accompany her on her trips to Target. Unfortunately, like most men, I found shopping boring and preferred to get in and get out. Equally unfortunate, my wife is like most women - she loves to browse. Yesterday my dear wife received the following letter from the local Target:

Dear Mrs. Harris, Over the past six months, your husband has caused quite a commotion in our store. We cannot tolerate this behavior and have been forced to ban both of you from the store. Our complaints against your husband, Mr. Harris, are listed below and are documented by our video surveillance cameras:
• June 15: He took 24 boxes of condoms and randomly put them in other people's carts when they weren't looking.
• July 2: Set all the alarm clocks in Housewares to go off at 5-minute intervals.
• July 19: Walked up to an employee and told her in an official voice, 'Code 3 in Housewares. Get on it right away'. This caused the employee to leave her assigned station and receive a reprimand from her Supervisor that in turn resulted with a union grievance, causing management to lose time and costing the company money.
• August 4: Went to the Service Desk and tried to put a bag of M&Ms on layaway.
• August 14: Moved a 'CAUTION - WET FLOOR' sign to a carpeted area.
• August 23: When a clerk asked if they could help him he began crying and screamed, 'Why can't you people just leave me alone?' EMTs were called.
• September 10: While handling guns in the hunting department, he asked the clerk where the antidepressants were.
• October 3: Darted around the Store suspiciously while loudly humming the ' Mission Impossible' theme.
• October 18: Hid in a clothing rack and when people browsed through, he yelled 'PICK ME! PICK ME!'
• October 22: When an announcement came over the loud speaker, he assumed a fetal position and screamed 'OH NO! IT'S THOSE VOICES AGAIN!'
And last, but not least:
• October 23: Went into a fitting room, shut the door, waited awhile, and then yelled very loudly, 'Hey! There's no toilet paper in here.' One of the clerks passed out.

Some people just have no sense of humor !!!

March 5, 2012

HARRY’S WEEKLY UPDATE

A CURRENT LOOK AT THE COLORADO SPRINGS RESIDENTIAL real estate MARKET

LATEST LOCAL STATISTICS ARE LOOKING GOOD !!

The February PPAR statistics were just released today, and our numbers are looking good. The number of sales in February was up 8.4%, the average sales price went up 3.8% in one month, and the median sales price went up 2.6% in one month. Those numbers indicate that our local market is getting much more active. .

Another indicator that things are getting better is that our inventory of available homes has gone down by over 1000 homes since last year (3224 vs 4315). That’s a 25.3% reduction and a good indication that we are working through the foreclosure problem.

The most recent PPAR statistics regarding sales and listings in the Pikes Peak area will provide you with extensive data to assist you with your decision about buying or selling your home. We would be happy to discuss these statistics with you and to review the sales history of the neighborhoods that interests you.. Just call us at 598-3200 or 800 677-6683(MOVE)

Click here to see the most recent statistics

AND, LOCAL, NEW-HOME CONSTRUCTION IS UP

The Gazette (March 2, 2012) tells us that last month was the 2^nd- best February in 5 years for home building permits. Permits totaled 110 in February in Colorado Springs and El Paso County, according to the Pikes Peak Regional Building Department. That’s up nearly 70% over the same month in 2011. And, for the first two months in 2012, permits totaled 195, a one-third, year-over-year increase.

PENDING SALES OF EXISTING HOMES UP TO ALMOST A TWO-YEAR HIGH

RIS Media - March 4, 2012

More Americans are signing contracts to buy existing homes than at any time in nearly two years, boosting the housing industry’s slow recovery, according to the National Association of REALTORS®’ index of pending home sales.

The measure is up 2 percent to 97 in January after slipping 1.9 percent in December. The index of deals for previously owned homes is up 8 percent compared with January of 2011.

Last month saw the highest point on the index since April 2010, when consumers drawn by a home-buyer tax credit pushed the figure to 111.3. That was the last time the measure exceeded 100 — the benchmark for industry health. The REALTORS® group said last week that existing home sales in January were up more than 4 percent to an annual rate of 4.57 million.

Housing experts such as Lawrence Yun, NAR’s chief economist, credit the sliding unemployment rate—which fell in January to its lowest point in three years —as well as a downward trend in home prices and a supply of homes that is at a nearly seven-year low.

“Movements in the index have been uneven, reflecting the head winds of tight credit, but job gains, high affordability and rising rents are hopefully pushing the market into what appears to be a sustained housing recovery,” Yun says in a statement.

HOW IS THE NATIONAL ECONOMY DOING? IT LOOKS LIKE IT IS PICKING UP SPEED

The Gazette (Thursday, March 1, 2012) reports that stronger hiring and higher pay and savings should support solid growth for the economy in coming months, according to a recent report on economic growth from the Commerce department.

The economy grew at a 3% annual rate in the October-December quarter, up from the previous estimate of 2.8%, the Commerce department said.

Economists stressed that the fundamental drivers of the economy – incomes, consumer spending and business investment – are rising.

The unemployment rate has fallen for five straight months. Consumer confidence rose in February to the highest point in a year, which should lead to more spending and faster growth

The Fed said Wednesday that all 12 of its banking districts reported some level of growth in January.

In a related story, The Wall Street Journal (Friday, March 2, 2012) also reported that there are other hopeful signs that the foundation for healthy growth are beginning to take root. Recent job gains have been broader-based and longer-lasting than at other points in the recovery. Household saving is up and the home-building market is showing signs of improvement.

Finally, REALTORMag (Feb. 28, 2012) reports the inventory of new homes on the market shrank to its lowest point on record in January, marking a 5.6 month supply at the current sales pace, according to the Commerce Department. They also noted that new home sales were up 3.5%, compared to the same time last year.

“This is indicative of the incremental, steady progress that the market is making toward recovery in conjunction with modest economic and job growth”, said David Crowe, the National Association of Home Builders chief economist.

“Increasingly, potential buyers are feeling better about their financial situation and their ability to buy a home, but the challenges posed by tight credit conditions and appraisal issues continue to slow that process”, Crowe said.

FINALLY, EVEN WARREN BUFFETT SAYS IT’S TIME TO BUY

In his Feb. 25 letter to Berkshire Hathaway Inc., Warren Buffet says. “I’m optimistic again. Housing will come back- you can be sure of that. Every day we are creating more households than housing units. People may postpone getting married during uncertain times, but eventually hormones take over and, while ‘doubling up’ may be the initial reaction during a recession, living with in-laws can quickly lose its allure”

That Warren sure is a romantic son of a gun.

BOTTTOM LINE: IT’S TIME TO GET OFF THE FENCE AND BUY THAT NEW HOME

Prices are down ….rates are low …Inventory is beginning to shrink and you’ll never see this kind of opportunity again.

Call us at 598-3200, or, 800 677-6683(MOVE).

AND, IF ALL OF THIS DOESN’T PERSUADE YOU, HERE’S ANOTHER REASON TO BUY NOW …FHA WILL SOON RAISE ITS FEES

In an effort to try to recoup some of its depleted reserves, and in an effort to encourage the return of more private capital to the market, FHA announced on Monday, Feb. 27, 2012, that it will soon raise its fees.

Specifically, FHA will increase two fees that borrowers pay. Starting April 1, it will increase its annual mortgage insurance premiums for loans under $625,500, bringing the total cost from 1.15% of the loan amount to 1.25%. Starting June 1, 2012, larger loan premiums will see an increase of 0.35% of a percentage point, bringing the total premium costs up to 1.5% of the loan amount.

FHA also announced it will raise a fee for the upfront mortgage premium by 0.75 of a percentage point, which will now total 1.75% of the loan amount

These new fees will also apply to home owners who want to refinance their mortgages, the agency announced

BOTTOM LINE: Call us at 598-3200, or, 800 677-6683(MOVE) to discuss these fee increases and to discuss how they could affect your home-buying decision.

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf.

Just click on the icon at the top of this email to listen to my latest podcast. ….And, if you would like to learn more about our Job Loss Protection Program, please contact us.

JOKE OF THE WEEK

On the first day, God created the monkey and said, "Enjoy yourself, entertain people, do tricks, and make them laugh. For this, I'll give you a thirty-year life span." The monkey said, "Monkey tricks for thirty years? That's a pretty long time to perform. How about I give you back twenty?"

And God, again saw that it was good.

On the second day, God created the cow and said, "You must go into the field with the farmer all day long and suffer under the sun, have calves and give milk to support the farmer's family. For this, I will give you a life span of sixty years." The cow said, "That's kind of a tough life you want me to live for sixty years. How about twenty and I'll give back the other forty?" 

And God agreed that it was good.

On the third day, God created the dog and said, "Sit all day on the front porch of your owner’s house and bark at anyone who walks past or tries to come in. For this, I will give you a life span of twenty years." The dog said, "That's a long time to be barking. How about only ten years and I'll give you back the other ten"

And God saw that it was good.

On the fourth day, God created humans and said, "Eat, sleep, play, marry and enjoy your life. For this, I'll give you twenty years." But the human said, "Only twenty years? Could you possibly give me my twenty, the twenty the monkey gave back, the forty the cow gave back and the ten the dog gave back; that makes eighty, okay?"

"Okay," said God, "You asked for it."

So that is why for our first twenty years, we eat, sleep, play and cavort like monkeys. For the next forty years, we slave in the sun to support our family. And for the last ten years, we sit on the front porch and bark at everyone. 

Life has now been explained to you. There is no need to thank me for this valuable information. I'm doing it as a public service. 

If you are looking for me I will be on the front porch.  

February 27, 2012

HARRY’S WEEKLY UPDATE
A CURRENT LOOK AT THE COLORADO SPRINGS RESIDENTIAL real estate MARKET

BABY BOOMERS MEAN BIG BUSINESS FOR EL PASO COUNTY
The Gazette (Feb. 24th, 2012)

Brent Green, CEO of Brent Green & Associates and an expert in generational marketing, discussed "Marketing to Baby Boomers" this week in Colorado Springs. His message was that El Paso County baby boomers could mean big business for those who figure out how to market and create new products and services for the generation with spending power.

Green was among a group of marketing and economic experts who spoke Friday at the Business of Aging Summit, sponsored by the Greater Colorado Springs Chamber and Economic Development Corps.

“Baby boomers are where the wealth and income are –they spend about $2.3 trillion a year and own about $28 trillion in assets. Colorado Springs had better think about how it will develop around this generation with deep pockets.”, said Green.

The boomer population in El Paso County increased nearly 40 percent from 2000 to 2010. That’s double the increase of the total population, according to a report from Innovations in Aging Collaborative and Tucker Hart Adams, from Summit Economics.

Colorado Springs has the assets to become an international test market and incubator for the “longevity revolution, a global business opportunity,” Green said. Boomers will be in search of lifestyle pursuits, adventure vacations and natural and energy efficient products.

And, 26 million of the boomers will relocate. With Colorado Springs being in the top ten targets for retiring boomers, that’s good news for our local housing market.

The business opportunities are endless, Green said. Sixty-seven percent of boomers believe the best years are still ahead of them. “Billions will be made in helping boomers live on their own,” Green said.

“Those who warn of economic catastrophes due to population aging too often peer into the future through a rear view mirror,” Green said. “I propose that the boomer future is robust with transformative business opportunities.”

WHAT’S GOING ON HERE??? ALONG WITH THE GROUNDHOG, THE OPTIMISTS ARE NOW COMING OUT

It has been a long time since we have read any optimistic predictions about the housing market, but this past week has seen some very upbeat news and articles about the real estate market in 2012. The following is a compilation of some of these optimistic articles:

THE WALL STREET JOURNAL SEES RISING HOME SALES AS A HEALTHY SIGN (WSJ Feb. 23, 2012.)

WASHINGTON—Sales of previously owned homes in the U.S. rose last month to the highest level in nearly two years, and the inventory of unsold homes contracted to a level considered healthy by economists, positive signs for the housing market. Compared with January a year ago, sales rose 0.7%.

"We're slowly improving for the right reasons: more jobs, more credit availability and affordability of homes," said Stuart Hoffman, chief economist with PNC Financial Services Group.

Guy Berger, U.S. economist with RBS Capital Markets, wrote, “It seems that the housing sector may have turned the corner."

FEWER HOME OWNERS BEHIND ON PAYMENTS
Daily real estate News | Tuesday, February 21, 2012

The number of home owners behind on their mortgage payments dropped to the lowest level in three years, according to a report of data from the fourth quarter of 2011 released by the Mortgage Bankers Association.

"Mortgage performance is also improving faster than the overall economy," says Jay Brinkmann, MBA's chief economist.

The lower delinquencies serve as an important sign needed for a healing housing market.

HOUSING INVENTORIES DROP, LIST PRICES RISE
Daily real estate News | Tuesday, February 21, 2012

In a growing number of housing markets, sellers are facing less competition now compared to a year ago.
Inventory of for-sale homes has dropped by about 23 percent compared to this time last year and fell by 6 percent alone from December 2011 to January 2012, according to Realtor.com data.

Meanwhile, as inventory is falling, the median list price has been on the rise: up nationally more than 3 percent year-over-year.

“Over the past year, an increasing number of markets have registered year-over-year increases in median list prices while fewer markets have experienced year-over-year list price declines,” a statement by Realtor.com notes.

HOME SALES ON THE RISE: READY FOR SPRING BUYING SEASON?
Daily real estate News | Thursday, February 23, 2012

Existing-home sales rose 4.3 percent in January to a seasonally adjusted annual rate of 4.57 million, marking the third gain for home sales in the last four months, the National Association of REALTORS® reports.

“The uptrend in home sales is in line with all of the underlying fundamentals – pent-up household formation, record-low mortgage interest rates, bargain home prices, sustained job creation and rising rents,” NAR’s Chief Economist Lawrence Yun says.

While sales ticked up, inventories of for-sale homes also continued to show improvement, NAR reported. At the end of January, total housing inventory fell 0.4 percent to 2.31 million existing homes for sale, which represents a 6.1-month supply at the current sales pace.

Unsold listed inventory has steadily dropped since reaching a peak of 4.04 million in July 2007. It now is 20.6 percent below where it was a year ago, NAR reports.

Housing Affordability Improves

As home prices have fallen and mortgage rates at all-time record lows, housing affordability is at some of its highest levels on record.

“Word has been spreading about the record high housing affordability conditions and our members are reporting an increase in foot traffic compared with a year ago,” says NAR President Moe Veissi. “With other favorable market factors, these are hopeful indicators leading into the spring home-buying season. We’re cautiously optimistic that an uptrend will continue this year.”

EXISTING-HOME SALES RISE AGAIN IN JANUARY, INVENTORY DOWN
real estate Trends - February 23, 2012

Existing-home sales rose in January, marking three gains in the past four months, while inventories continued to improve, according to the National Association of Realtors®.

Total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, increased 4.3 percent to a seasonally adjusted annual rate of 4.57 million in January from a downwardly revised 4.38 million-unit pace in December and are 0.7 percent above a spike to 4.54 million in January 2011.

Lawrence Yun, NAR chief economist, said strong gains in contract activity in recent month’s show buyers are responding to very favorable market conditions. “The uptrend in home sales is in line with all of the underlying fundamentals— pent-up household formation, record-low mortgage interest rates, bargains home prices, sustained job creation and rising rents.”

Total housing inventory at the end of January fell 0.4 percent to 2.31 million existing homes available for sale, which represents a 6.1-month supply at the current sales pace, down from a 6.4-month supply in December.

Total unsold listed inventory has trended down from a record 4.04 million in July 2007, and is 20.6 percent below a year ago.

“Home buyers over the past three years have had some of the lowest default rates in history,” Yun says. “Entering the market at a low point and buying at discounted prices have greatly helped in that success.”

In light of all these optimistic reports and predictions, the bottom line for our readers is:

If you are a Seller, you should consider putting your home back on the market as soon as possible. With inventories falling, you won’t have as much competition as you have had in recent years and your home will attract more attention. Keep in mind, however, prices are trending up, so give us a call to help you price your home properly.
Call us at 598-3200 or 800 677-6683(MOVE)

If you are a Buyer, it’s becoming obvious that the home you buy today will be worth more tomorrow, so don’t wait around for lower prices. They probably won’t happen. ….And, the longer you wait, the smaller inventory you will have to choose from.
Call us at 598-3200 or 800 677-6683(MOVE)

INVESTORS, TAKE NOTE !!! THE NEW TAX ON SOME INVESTMENT INCOME BEGINS JANUARY 1, 2013

We received a lot of response from our readers about our article in our last Weekly Update concerning the new tax on some investment income. Apparently, this new tax did not receive much publicity in the general media and it took some investors by surprise. So, in case you missed the article, we are reprinting it here:

New tax legislation will affect some real estate income, beginning January 1, 2013. This new tax will affect some, but not all real estate transactions and holdings. Because this is a complicated tax, you should consult with your CPA about its possible effects upon you and your holdings.

Bottom line: If you are planning to sell any investment property, this new tax might affect your decision regarding the timing of the sale. NAR has developed a complete analysis of how the new law might affect you. To see a copy of this informative analysis, CLICK HERE

SALES AND LISTING STATISTICS

The most recent PPAR statistics regarding sales and listings in the Pikes Peak area will provide you with extensive data to assist you with your decision about buying or selling your home. We would be happy to discuss these statistics with you and to review the sales history of the neighborhoods that interests you.. Just call us at 598-3200 or 800 677-6683(MOVE)

Click here to see the most recent statistics.

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf. Call us at 598-3200, or, 800 877-MOVE (6683).

JOKE OF THE WEEK

THE IMPORTANCE OF WALKING

Walking can add minutes to your life.
This enables you at 85 years old to spend an additional 5 months in a nursing home at $4,000 per month.

My grandpa started walking five miles a day when he was 60.
Now he's 97 years old and we have no idea where the hell he is.

I like long walks, especially when they are taken by people who annoy me.

The only reason I would take up walking is so that I could hear heavy breathing again.

I have to walk early in the morning, before my brain figures out what I'm doing...

I joined a health club last year, spent about 250 bucks. Haven't lost a pound.
Apparently you have to go there!

Every time I hear the dirty word 'exercise', I wash my mouth out with chocolate.

I do have flabby thighs, but fortunately my stomach covers them.

The advantage of exercising every day is so when you die, they'll say,
'Well, he looks good doesn’t he?'

If you are going to try cross-country skiing, start with a small country.

I know I got a lot of exercise the last few years,...... just getting over the hill.

We all get heavier as we get older, because there's a lot more information in our heads.
That's my story and I'm sticking to it.

AND

Every time I start thinking too much about how I look, I just find a bar with a Happy Hour ….
and by the time I leave, I look just fine.

You could run this over to your friends ….But just e-mail it to them …It will save you the walk!

Keep walking! And, have a good laugh

February 20, 2012

HARRY’S WEEKLY UPDATE
A CURRENT LOOK AT THE COLORADO SPRINGS RESIDENTIAL real estate MARKET

THE “QUE” SAYS COLORADO SPRINGS ECONOMY IS THE STRONGEST IN TWO YEARS

The College of Business of the University of Colorado at Colorado Springs has just released its quarterly Update and Estimates for our local economy. This quarterly report, commonly referred to as the “QUE”, has become the authoritative source for information about how our local economy is doing and where it is headed. The following comments about the recent QUE are extracted from the article in the Colorado Springs Business Journal, which reviewed the latest report.

Fred Crowley, chief economist for the Southern Colorado Economic Forum, says, “There are signs that people are ready to spend. The El Paso County economy showed its strongest growth in two years and it did so without artificial efforts like home-buying incentives programs or reinvestment job act money. This time, the economy showed improvement all on its own.”

The report shows strong increases in single-family home sales, car sales and wages. “All of these are really strong indicators”, emphasized Crowley.

“First and foremost, single-family home sales are up 30%. This is a huge number. Single-family permit activity was higher in 10 of the last 12 months and home prices are heading up, while foreclosures continue to head downward. These figures all indicate that the housing market is on its way to becoming stable. …something that did not exist in the last two years.” Crowley stated.

And, there’s good news for the city, too. .In December, sales tax revenues were up 7.1% from a year earlier, to a record $13.4 million. Overall, sales tax collections for the year were up almost 4%.

Crowley summarized, “The local economy is much stronger than I thought it would be. Overall, the news is very positive”.

It looks like our local economy is headed back up….That’s great news !!!

If you would like to see the complete quarterly report (The Que), CLICK HERE.

COLORADO SPRINGS NAMED IN TOP TEN FOR DATA CENTER relocation

The Boyd Company, a New Jersey-based firm that’s established itself as an industry authority for corporate relocations and expansion, places Colorado Springs in the top 10 cities for data security – an industry that’s booming thanks to new banking rules, a digitized health-care industry and high-profile cases of hackers who steal information.

“Colorado Springs has a number of the qualities that match what data companies are looking for, including low operating costs, a strong telecommunications infrastructure and a well-trained workforce” said John Boyd, the firm’s principal.

“The geographical location of Colorado Springs keeps it safe from natural disasters such as earthquakes and hurricanes and data centers would be a good financial partner for the Springs”, Boyd said “because they bring in millions in construction work, offer jobs that pay about $80,000 a year and contribute to the tax base”.

“The government is going to want to get out of the high-cost areas like Washington D.C., New York City and the Bay Area and head inland in favor of more affordable land and operations costs”, Boyd Said.

As for location, Boyd noted, “Colorado Springs is 52% more likely to attract data centers than any other city. And companies looking to build data centers may look favorably because of the number of data centers that already are located here. (Federal Express, Hewlett-Packard, Quantum, Wal-Mart, etc.).”

“We do have quite a few data center projects in the pipeline and, in our judgment, over the course of the next year or so, you will see expansion happening here”, Boyd concluded.

That’s great news for our area.

IS THE NATIONAL ECONOMY RISING? THE STOCK MARKET SAYS, “YES”

On Friday, Feb. 17, 2012, the Wall Street Journal featured an article titled, “Dow Ends Near 4-Year High”. The WSJ credited the rise to signs of an accelerating economic recovery and glimmers of hope on the Greek debt crisis.

If traditional wisdom is correct, the stock market usually indicates what the state of the economy will be for the next 2 quarters. If that’s correct, we can expect the national economy to rise through September of 2012.

That’s good news for the nation and it coincides with the predictions about our local economy that were published in the most recent quarterly report from the UCCS College of Business, (See Above)

HOUSING AFFORDABILITY REACHES NEW RECORD HIGH

Housing affordability rose to a record high during the fourth quarter of 2011, which means that a home buyer’s purchasing power is greater than it has ever been before, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index.

The Index showed that 75.9% of all new and existing homes sold in the fourth quarter were affordable to families earning the national median income of $64,200. This marks the highest percentage recorded in the index’s 20-year history.

Considering today’s low prices, low mortgage-interest rates and high inventories of available homes, it’s obvious that now is the time to buy your new home, or to acquire that rental property.

Call us at 598-3200, or, 800-677-6683, to discuss this opportunity.

INVESTORS, TAKE NOTE !!! NEW TAX ON SOME INVESTMENT INCOME BEGINS JANUARY 1, 2013

New tax legislation will affect some real estate income, beginning January 1, 2013. This new tax will affect some, but not all real estate transactions and holdings. Because this is a complicated tax, you should consult with your CPA about its possible effects upon you and your holdings.

Bottom line: If you are planning to sell any investment property, this new tax might affect your decision regarding the timing of the sale. NAR has developed a complete analysis of how the new law might affect you. To see a copy of this informative analysis, CLICK HERE.

WHEN THE BOOMERS BAIL – A COMMUNITY ECONOMIC SURVIVAL GUIDE –

The Senior Resource Council, the Greater Colorado Springs Chamber of Commerce and the EDC are combining to present this month’s Business of Aging Summihas t luncheon. The featured speaker will be Mark Lautman, an economics expert and author of “When the Boomers Bail”, a book which addresses the issue of what communities can do to attract and keep entrepreneurs and young professionals.

Lautman’s approach to the problem of attracting and retaining workers in a labor-starved market is to analyse exit interviews, and then figure out “What things can be fixed and what”.

The luncheon will be held at the Crowne Plaza Hotel, 2886 S. Circle Drive on February 23, 2012.

To register, go to www.coloradospringschamber.org and click on Calendar of Events.

SALES AND LISTING STATISTICS

Click here to see the latest PPAR statistics regarding area sales and listings And be sure to give us a call, if you have any questions, or would like to discuss these statistics in more detail.

Call us at 598-3200, or, 800 677-6683.

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf. Call us at 598-3200,or, 800 877-MOVE (6683).

JOKE OF THE WEEK

* The problem with political jokes is they get elected. ~Henry Cate, VII

* We hang the petty thieves and appoint the great ones to public office. ~Aesop

* If we got one-tenth of what was promised to us in these speeches, there wouldn't be any inducement to go to heaven. ~Will Rogers

* Those who are too smart to engage in politics are punished by being governed by those who are dumber. ~Plato

* Politicians are the same all over. They promise to build a bridge even where there is no river. ~Nikita Khrushchev

* When I was a boy I was told that anybody could become President; I'm beginning to believe it. ~Clarence Darrow

* Why pay money to have your family tree traced; go into politics and your opponents will do it for you. ~Author Unknown

* If God wanted us to vote, he would have given us candidates. ~Jay Leno

* Politicians are people who, when they see light at the end of the tunnel, go out and buy some more tunnel. ~John Quinton

* Politics is the gentle art of getting votes from the poor and campaign funds from the rich, by promising to protect each from the other. ~Oscar Ameringer

* The Democrats are the party that says government will make you smarter, taller, and remove the crabgrass on your lawn, fix all your problems, just give us your money. The Republicans are the party that says government doesn't work and then they get elected and prove it. ~P. J. O'Rourke

* I offer my opponents a bargain: If they will stop telling lies about us, I will stop telling the truth about them. ~Adlai Stevenson, campaign speech, 1952

* A politician is a fellow who will lay down your life for his country. ~Texas Guinan

* Any American who is prepared to run for president should automatically, by definition, be disqualified from ever doing so. ~Gore Vidal

* I have come to the conclusion that politics is too serious a matter to be left to the politicians. ~Charles de Gaulle

* Instead of giving a politician the keys to the city, it might be better to change the locks. ~Doug Larson

* There ought to be one day - just one - when there is open season on senators. ~Will Rogers

February 13, 2012

HARRY’S WEEKLY UPDATE
A CURRENT LOOK AT THE COLORADO SPRINGS RESIDENTIAL real estate MARKET

NOTABLE QUOTE OF THE WEEK:

“Good business leaders create a vision, articulate the vision, passionately own the vision and relentlessly drive it to completion.”
Jack Welch

JOB MARKET GETTING BETTER? WSJ SAYS IT IS ….IF YOU HAVE SOMETHING TO SELL

The Wall Street Journal (Friday, Feb. 10, 2012) featured an article titled, “Job-Market Bellweather Strengthens”, in which the author points out that “The number of people applying for benefits each week has fallen steadily in recent months and is now down to levels not seen since the early months of the recession, a sign that hiring has accelerated. If claims stay where they are, there is no reason to think the trend of 200,000-plus monthly growth (in jobs) can’t continue” says the author.

In a related article, the Gazette (Wednesday, Feb. 8, 2012) points out that job openings approached a 3-year high in December, as Companies and governments posted 3.38 million job openings. That’s up from the 3.12 million advertised in November and nearly matches the three-year high reached in September. December job openings in the private sector reached the highest point in almost 3 ½ years, according to the Labor Department.

It is worthwhile to note, however, that the jobs that are available are for people with marketable skills. They include everything from doctors and electronic technicians to diesel mechanics. The outlook for graduates with degrees in English, Political Science and Interpretive Dance doesn’t look very promising.

Bottom line: If you have a child just graduating from high school. It might be a good idea to offer him/her a deal. You’ll put them through college, if they agree to graduate from a diesel mechanics’ school first.

WHAT DO THE RECENT FIGURES ON MEDIAN HOME PRICES TELL US?

On Thursday, Feb. 9, 2012, the National Association of Realtors released the data on Median Sales Prices of existing single-family homes for 149 of the major US metropolitan areas in 2011. As we study these statistics, it is obvious that the national, median price for homes is stabilizing. Many of the metropolitan areas that showed the biggest dip in home values during the recession are coming back, and actually showed a dramatic rise in value in 2011.

Communities like Fort Myers, FL (up 25.58%) and Detroit Michigan (up 9.83%) which were hard-hit by the recession are showing healthy increases in home values. Nationally, although home prices continued to drop during 2011 (-4.2%), the pace of decline has slowed and, in many places, has started to rise from the ashes (although Phoenix still showed a 10.2% drop).

Colorado Springs, because we did not suffer the disastrous decline in home prices that many other communities experienced during the recession, did not have as deep a hole to climb out of, so our median prices tended to follow the national trend more closely (-6.5%), however, there are strong indications that 2012 will see our local home-prices stabilize and begin to grow again.

Housing inventories are shrinking, mortgage rates are historically low, housing affordability is at record highs and the job market is slowly improving.

Existing-home sales have been edging up in recent months, and for-sale housing inventories were at nearly 2.4 million units in December, reaching its lowest point since 2005, according to NAR.

The National Association of Home Builders is also predicting an improvement this spring. They predict an increase in building of 18%, after facing their lowest growth on record in 2011.

However, the threats to housing recovery still loom. Strict mortgage lending is keeping some buyers on the sidelines and foreclosures continue to put downward pressure on home prices in many markets.

Celia Chen, senior housing economist with Moody’s Analytics, predicts that “Ultimately, by the end of this year, we should see the housing market on a more solid footing”

That sounds good to us !!!!

THE FED CALLS FOR NEW POLICIES TO HELP HOUSING ….LIKE THE RECENT FORECLOSURE DEAL

The Wall Street Journal (Friday, Feb. 10, 2012) quotes Federal Reserve Chairman Ben Bernanke as calling for new policies to help the nation’s housing market, saying it was an impediment to economic recovery.

“We need to continue to develop and implement policies that will help the housing sector get back on its feet” he said.

Mr. Bernanke’s remarks were made in a speech to the National Association of Homebuilders and came a day after the announcement by government officials of a $26 billion settlement over alleged foreclosure abuses that will, in part, offer reductions in loan principal to some homeowners.

Under the terms of this settlement, Colorado will receive $204.6 million worth of relief for homeowners. That includes $73.3 that will be available to grant principal reductions on loans to make mortgage modification possible.

“This settlement will not solve every problem with the housing market, but it goes a long way to helping homeowners in distress now and leveling the playing field for consumers”, said Colorado Attorney General John Suthers.

Meanwhile, Mr. Bernanke said the central bank was “intensely focused” on improving credit conditions.

Bottom Line: We urge our readers to advise any of their friends, relatives and neighbors who might have had any foreclosure concerns to contact their lender to see if this settlement could help them.

INVESTORS, TAKE NOTE !!! RENTS ARE PREDICTED TO CONTINUE TO RISE

The Gazette (Thursday, Feb. 9, 2012) tells us that rents at Colorado Springs apartments hovered near a record-high in late 2011 …part of a two-year climb in renter costs that’s expected to continue to rise as demand for multifamily properties remains strong, industry experts say.

Colorado Springs’ monthly rents averaged $775.44 in the fourth quarter of 2011, about $37 more than the same period in 2010, according to a report released Wednesday by the Colorado Division of Housing and the Apartment Association of Southern Colorado. It was the eighth consecutive year-over-year quarterly increase in rents, the report showed.

Rents are up because demand is on the rise. This is a result of thousands of homeowners who have lost their homes to foreclosure and other prospective homeowners who can’t qualify for a mortgage because of tougher borrowing requirements by lenders.

This higher demand for rentals has also resulted in triggering construction of several apartment projects in Colorado Springs, Fountain and Monument.

The bottom line for our readers is that you should consider investing in rental property. Realtor Magazine, in their Jan/Feb. issue, lists rental properties as one of the strongest areas for growth in 2012. The return on investment from your rental property could easily outmatch the income you are now realizing from any of your other investments.

Call us at 598-3200,or, 800 877-MOVE (6683) to discuss this.

SALES AND LISTING STATISTICS
 

CLICK HERE to see the latest Sales and listing statistics for the Pikes Peak area.

And be sure to give us a call, if you have any questions, or would like to discuss these statistics in more detail. Call us at 598-3200, or, 800 677-6683.

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf. Call us at 598-3200,or, 800 877-MOVE (6683).

JOKE OF THE WEEK

I don’t get to travel much !!

I've never been in Cahoots. Apparently, you can't go alone. You have to be in Cahoots with someone.

I've also never been in Cognito. I hear no one recognizes you there.

I have, however, been in Sane. They don't have an airport; you have to be driven there. I have made several trips there, thanks to my friends, family and work. I live close so it's a short drive.

I would like to go to Conclusions, but you have to jump, and I'm not too much on physical activity anymore.

I have, however, been in Doubt. That is a sad place to go, and I try not to visit there too often.

I've been in Flexible, but only when it was very important to stand firm.

Sometimes I'm in Capable, and I go there more often as I'm getting older.

One of my favorite places to be is in Suspense! It really gets the adrenalin flowing and pumps up the old heart! At my age I need all the stimuli I can get!

And, sometimes I think I am in Vincible but life shows me I am not.

People keep telling me I'm in Denial but I'm positive I've never been there before!

I have been in Trouble many times; the older I get, the easier it is to get there and my honey arranges many of those trips, it seems. I actually kind of enjoy it there.

So far, I haven't been in Continent; but my travel agent says I'll be going soon.

February 6, 2012

HARRY’S WEEKLY UPDATE
A CURRENT LOOK AT THE COLORADO SPRINGS RESIDENTIAL real estate MARKET

21st ANNUAL IREM BREAKFAST PRESENTS ROSY ECONOMIC FORECAST

On Thursday, Feb. 2, 2012, along with about 275 other attendees, we attended the Institute of real estate Management’s 21st Annual Breakfast at the Doubletree Hotel. The meeting featured speakers from the real estate profession and from the City of Colorado Springs’ Economic Vitality Division.

Their annual forecast included overviews of all aspects of the real estate market ….Multi-family, residential, commercial, etc. The consensus of the speakers was that our local real estate picture is improving, with some segments growing faster than others, and we were especially pleased to hear their optimistic view of our local residential real estate market.

Some of the factors that were noted as boosting our local residential real estate market were:

• Inventory of homes is down (3,157- the lowest total for any month since 3,116 listings in Feb. 2002)
• Foreclosures are down
• Short sales are down
• Interest rates are down
• Unemployment is down
• Troop levels at Ft. Carson are growing
• Consumer confidence is growing

As for rentals, rental occupancy is currently at 94% and pressure increases daily for higher rents. Since 2006, monthly rental prices have risen steadily, from $909 in 2006 to $1163 in 2011. The average lease price (rent) is up 18%. These factors all lead the experts to say, “Buy rentals now and hold them as they increase in value”.

In our current market, the strategy that many experts are recommending for investment buyers is based upon the fact that single-family home prices went up 12.6% in the second half of 2011, while prices for condos and townhouses during that same period have not yet started to rise, but appear to have bottomed-out.

If we had to boil all of the presentations down to a single strategy for our readers, it would be to give serious consideration to:

• Upgrading to a better home, without significantly increasing your monthly payment. (If you can afford a $1000 mortgage payment monthly for 30 years, the current low prices and low mortgage rates would enable you to buy a $250,000 home right now) ……. and,
• Retain your current home as an investment property, rather than selling it ……..Or, at least
• Refinance right now, to take advantage of the current, record-low mortgage rates.
• Keep in mind that, if you wait too long to buy, hoping that prices will go down, you might wind up spending a little less for your house, but a lot more for your mortgage.

Give us a call to discuss your options, at 598-3200, or 800 677-6683(MOVE).

BUILDING PERMITS UP IN 2012 AND LOCAL UNEMPLOYMENT RATE STAYS AT 9%

The Pikes Peak Regional Building Department reports a January 3.7% gain in single-family building permits over January of 2011. John Cassiani, board president of the Housing and Building Association of Colorado Springs, stated, “The economy is getting better. You’ve got a lower unemployment rate in Colorado and in Colorado Springs, and I just think all the signs out there seem to be positive in terms of getting the housing industry back in the right direction.”

In a related story, the U.S. Bureau of Labor Statistics reports that the latest 9% unemployment rate in November and December remains the lowest in more than two year and is down sharply from a record 10% last February.

FEWER FORECLOSURES LOCALLY IN JANUARY

Fewer homeowners fell into foreclosure in January in the Colorado Springs area, which continued a trend of reduced foreclosure activity during 2011, according to Tom Mowle, head of the El Paso County Public Trustee’s Office.

Mr. Mowle stated, “The people who have taken out loans the last four to five years will be less likely to find themselves in default and the people who took out the creative loans six to eight years ago have either been renegotiated with lenders or fallen into foreclosure”

Foreclosure sales in El Paso County totaled 2,060 last year, down 21.7% from 2010.

SPRINGS COST OF LIVING STILL BELOW U.S. AVERAGE

Living costs in Colorado Springs were 6.8% below the national average during 2011, according to a survey by the Council for Community and Economic Research.

“The cost of living here remains well below the national average, which has always been a strength for Colorado Springs”, said Tom Binnings, a senior partner with Summit Economics, a local economic research and consulting firm.

Local utilities costs still remain 9.4% below the national average, while our overall energy costs are the lowest in the state. Dave Grossman, a spokesman for Colorado Springs Utilities stated, “the average monthly residential electric bill rose last year to $65.77, while the average natural gas bill fell 2.3% to $48.28.

Local costs for housing and transportation also moved further below the national average.

HERE’S SOME MORE LOCAL GOOD NEWS

According to the Gazette, in Colorado Springs in January:

• Initial claims for unemployment were down 3.7%
• The unemployment rate was down to 9%
• New auto and truck registrations were up 35.2%
• Foreclosure filings were down 16.4%

DID YOU KNOW THAT JANUARY IS THE BEST MONTH TO BUY A HOME?

In reviewing the sales statistics for the past 20 years, we notice that January is the slowest sales month in every year. In every January there are fewer sales and the average selling price is at its lowest level for the year. This January, for example, sales totaled 474, which was 3% more than last January. The median price was $172,250. There were 3157 listings available (which is 27% fewer than last year [4326] and represents the lowest number of available homes since February of 2002. 86% of all sales in January were below $299,999.

After January, both sales and prices start to go up, so call us to take advantage of the lowest prices you will see in 2012.

SALES AND LISTING STATISTICS

CLICK HERE to see the latest Sales and listing statistics for the Pikes Peak area.

And be sure to give us a call, if you have any questions, or would like to discuss these statistics in more detail.

Call us at 598-3200, or, 800 677-6683.

THINKING OF BUYING A FORECLOSURE? BE SURE TO ASK THESE 4 QUESTIONS
Daily real estate News | Tuesday, January 31, 2012

Foreclosures can offer big bargains, but buyers need to be careful that they don’t get over their heads in purchasing a home that may need more repairs than they bargained for.

Foreclosures are usually sold as-is, and homes that are left vacant standing too long can have a lot of maintenance problems.

real estate experts suggest buyers consider the following questions:

1. How long has the home been vacant? Be cautious of a foreclosed home that has stood vacant for more than a few weeks or had its utilities shut off a long time. Marvin Goldstein, a home inspector for many foreclosed properties, says a home can deteriorate quickly when heating, cooling, electricity, and running water have been turned off for a while.
2. How old is the home? Goldstein says that homes that are more than 50 years old may have a failing plumbing system or inadequate electrical wiring.
3. How does the home look? Are there broken windows, gutters hanging down, or damaged siding? “Trust your instincts. If the house looks bad from the outside, it's probably worse than you think,” Goldstein said.
4. Is there anything missing? Sometimes former owners remove anything of value from the home, such as built-in light fixtures, bathroom tile, water heaters, air-conditioning units, and hardwoods, says Bill Jacques, president-elect of the American Society of Home Inspectors.

Housing experts encourage buyers to get a home inspector to look at the property, even if it is sold as-is, so that home buyers know any repairs needed and cost estimates before they purchase the home.

“Buying a bank-owned home gives you the opportunity to enter the market at a very low price level,” says Dorcas Helfant, a past president of the National Association of REALTORS®. “You can find terrific values among foreclosures, especially if they're not in too bad shape. But, remember, these houses are discounted for a reason.”

Editor’s note: We totally agree with the 4 points made in the article and, for many years, we have consistently worked with our clients to address these problem areas. We also suggest that you call us, if you are considering buying a foreclosed home. We have access to a lot of information that does not appear in the listing and would be happy to share it with you.

And, please remember, I would be honored to serve as your Broker for all of your residential real estate needs. I want to help you, my reader, make the most prudent and accurate Real Estate business decision.

Also if you know of anyone who desires to buy or sell local real estate, or, who is moving in or out of the Pikes Peak region, remember that, with over 39 years of providing relocation and Real Estate services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. Please allow me to implement my negotiating skills on your behalf. Call us at 598-3200,or, 800 877-MOVE (6683).

JOKE OF THE WEEK

WANT TO KNOW SOMETHING THAT YOU DIDN’T KNOW BEFORE?

"Stewardesses" is the longest word typed with only the left hand
And "lollipop"is the longest word typed with your right hand.
No word in the English language rhymes with month, orange, silver, or purple.
"Dreamt" is the only English word that ends in the letters "mt".
Our eyes are always the same size from birth, but our nose and ears never stop growing.
The sentence: "The quick brown fox jumps over the lazy dog" uses every letter of the alphabet.
The words 'racecar,' 'kayak' , and 'level' are the same whether they are read left to right or right to left (palindromes).
There are only four words in the English language which end in "dous": tremendous, horrendous, stupendous, and hazardous
There are two words in the English language that have all five vowels in order: "abstemious" and "facetious."
TYPEWRITER is the longest word that can be made using the letters only on one row of the keyboard.
A cat has 32 muscles in each ear.
A goldfish has a memory span of three seconds.
A "jiffy" is an actual unit of time for 1/100th of a second.
A shark is the only fish that can blink with both eyes.
Almonds are a member of the peach family.
An ostrich's eye is bigger than its brain. (I know some people like that also)
Babies are born without kneecaps. They don't appear until the child reaches 2 to 6 years of age.
February 1865 is the only month in recorded history not to have a full moon.
In the last 4,000 years, no new animals have been domesticated.
If the population of China walked past you, 8 abreast, the line would never end because of the rate of reproduction.
Leonardo Da Vinci invented the scissors.
Peanuts are one of the ingredients of dynamite!
Rubber bands last longer when refrigerated.
The average person's left hand does 56% of the typing.
The cruise liner, QE 2 moves only six inches for each gallon of diesel that it burns.
The microwave was invented after a researcher walked by a radar tube and a chocolate bar melted in his pocket.
The winter of 1932 was so cold that Niagara Falls froze completely solid.
There are more chickens than people in the world.
Winston Churchill was born in a ladies' room during a dance.
Women blink nearly twice as much as men.
All the ants in Africa weigh more than ALL the Elephants!!

Now you know (a little) more than you did before!!