Urban Life

Urban Team's Downtown Phoenix Real Estate Site Has A New Look

The web site gnomes have been very busy lately changing the theme and updating our downtown and north central real estate, home information and search site, UrbanConnectionRealty.com. 

We've been using the StudioPress Agent theme for a whiile and just updated to the latest version. It has amazing navigation tools and everyone tells us it is much easier to get to articles on the real estate subjects they care about. The best comment so far is that the new design is better than a bag of fritos.

We've added a completely new section to the site about short sales in downtown and north central Phoenix. We've collected the most asked short sale questions and written artlces to provide in-depth answers.  Here is a direct link to the short sale page with links to the answers:

Short Sale Help, Information in Downtown and North Central Phoenix AZ

In addition to the short sale section, we are continuing our journey through the 35 historic districts in downtown and midtown Phoenix. This project has turned to to be incredibly fun. We've been researching historic archieves, walking Fred the Dog though neighborhoods and taking some real quality time. Our goal is to provide new insight in these special pieces of Phoenix history rather do a cut and paste rehash of someone elses work. Here is a link to the landing page for the historic district and info section of the site:

Historic Phoenix Homes Arizona

Wow, this post got longer than intended. We hope you like the new look and ease of navigation on the UrbanConnectionRealty.com site. If you have comments or want us to add something, leave us a comment on the site. We love your input.

Best to all,

The Urban Team at Realty Executives
7600 N. 16th Street, Suite 100
Phoenix, AZ 85020
602-234-5777
602-486-4839 (text)
Gene@UrbanTeamAZ.com

April Real Estate Market News and Information Greater Phoenix

Our good friend Sarah Moran from Equity Title just sent the real estate market news and update for April 2011.

I like Sarah's approach to performing real estate market analysis and home price projections. Like me, she is based in supply and demand therory and she includes social connectors when possible. This report is a broad one with real estate market information Phoenix, Scottsdale, Mesa, Gelendale, Tempe and most other cities in the Greater Phoenix region. Thus, it is supply and demand based as social consideration such as job growth is too regional to be use when painting with a broad brush.

That said, here is the real estate market news for April 2011 provided by Equity Title and Sarah Moran:

Hello!

Here is the Market Update through the end of March 2011. Please note that the Valley Wide graph represents all of the MLS. The table below that graph just represents recordings for new and re-sales for Maricopa County.

Good News: Total active listings have dropped by another 2883 units over the beginning of last month. As of yesterday, we sit at 36,883 Actives, which is the lowest amount in April for the last two years! Good news for sales, too: Sales are up to 9135 for the last 30 days, as of yesterday. We are currently sitting at a 3.8 months of supply.Traditionally, 3.8 months of supply is considered a Balanced Market! Wow!

Distressed Market Pie Chart: This chart shows you the percentage of distressed properties that are being listed and sold. Short Sales currently represent 20% of the Closings and 38% of the active Listings for a 8.3 Months of Supply ~ This has dropped from the 9.8 months of supply we had in February. Distressed Sales (Short Sales and REOs combined) accounted for 66% of the total sales for March.

Closings are Increasing: There were 9118 closings in March 2011 vs. 8657 closings in March 2010 ~ which equates to a 5% increase over last year (even without the Tax Credit)! 

Reality Check: The Median Sold Price for Maricopa County for March 2011 was $120,100. In March 2006, the Median Sold Price was $260,000! In March 2000, the Median Sold Price was $132,000. Use this at your listing appointments to help explain what has happened to our market and get realistic list prices!

We currently sit at a 3.8 months of supply in the valley. This may seem balanced but the high-end market continues to be stagnant. In the entire MLS, only 88 properties sold for $1+ million for the month of March. An astounding 94% of the closed MLS Sales for March were less than $400,000!

Please click on the link below to take you to the Graphs. You can save/print/email them from there! Use these with all of your clients, SOI and Open Houses! Everyone wants to know what is happening in Real Estate - Be the authority!! Remember that you can always go to www.eta-az.com and click on Market Update for this info as well!

 

CLICK HERE FOR CURRENT GRAPHS

 

MONTHS OF SUPPLY

East Valley: 3.7

NorthWest: 3.6

Paradise Valley: 15.8

Luxury ($1mil+): 15.8 (WOW! This has dropped drastically!)

Southwest: 3.4

Peoria/Glendale: 4.5

Camelback Corridor: 5.0

Cave Creek: 6.4

Ahwatukee: 3.9

Scottsdale: 6.1

Apache Junction: 2.6

Fountain Hills: 4.4

Buckeye: 3.1

Desert Ridge & Tatum Corridor: 3.3

 

Downtown Phoenix Dog Park up for Debate

Sean Sweat has been on a fast race collecting signatures asking the City of Phoenix to create a dog park on the gone-forever Ramada/Sahara Inn site.

His cause made AZCentral.com where much was mentioned about why a dog park was not feasible. Basically, the City and ASU says its the money. However, the hairs on my arms keep tingling and something just doesn’t seem right about the entire Ramada Inn land story.

The City was in a tremendous hurry to tear down a landmark. During the demolition an article came out about the lack of student housing and the need to build more. Couldn’t they have done that by simply remodeling the hotel? It already had 175 rooms, space for a cafeteria, kitchens, group areas, parking, meeting rooms and more. It seems like the 5 million they spent on purchasing the hotel, the cost of demolition and the funds needed to build a parking lot would have paid for much of the remodel.

Plus, they would have had a steady stream of rental income from ASU downtown students for years to come and lets not forget the short and long term jobs it would have created. Aren’t jobs what we need to springboard our economy? Seems like I’ve heard more than one politician talk about that. I guess they forgot that in the case of the Ramada Inn.

So, my question here on Urban Life, is “what is really going on in the background here?”  Why has every option raised about this property been met with deaf ears? Do are civic leaders have some strange parking lot fetish?

Although I like Sean’s idea of a dog park for downtowners, I see little chance of success. None of the City’s power brokers seem to care about adding residential amenities to the neighborhood unless there is a taxable advantage.

So, we will probably keep hearing about a law school planned for the acreage, even when there is no plan or budget. However, the Sheraton will have overflow parking for their guests who generally do not have or rent cars when attending a downtown conference or trade show.

What scares me most is that ASU is purported to be an institute of higher learning, the City of Phoenix is one of the best run cities in America and the Sheraton is a hugely successful corporation, yet none had a bit of sense over the Ramada Inn site.

Gene Urban
The Urban Team at Realty Executives
602-234-5777

connecting people to the perfect place

44 Monroe Condos in Downtown Phoenix Update News

There is a lot of interest now that the new owner of 44 Monroe has announced condos will be available soon at this downtown Phoenix condo tower. We are posting updates on 44 Monore on our downtown real estate site, urbanconnectionrealty.com.

If you want the latest news and updates you can check our website or we can add you to our 44 Monore email update list. Just toss us an email at 44Monroe@UrbanConnectionRealty.com.

Below are links to articles we've written about the re-emergence of 44 Monroe.

Downtown Phoenix 44 Monroe Condo News and Information

44 Monroe Condos For Sale Fall 2010

Gene Urban
The Urban Team
Realty Executives
602-234-5777

Search for Homes in Squaw Peak

The Urban Team has joined up with Security Title Agency to provide a real estate search page just for people looking to buy or sell a home, house, or condo in the Squaw Peak area, AKA Piestua Peak.

If you just want to see what’s for sale in residential real estate in Squaw Peak AZ, go to our new site located at: http://www.azcommunitydirectory.com/136892-Phoenix-Squaw-Peak-AZ-RESCmty.aspx

Hope you enjoy. Any feedback you have about the Squaw Peak site would be appreciated. Your input helps us be better.

Gene Urban
http://www.UrbanConnectionRealty.com

Do you need help with a short sale or foreclosure in Phoenix?

There is a lot of confusion for homeowners facing foreclosure or short sale in the Phoenix AZ area. We get phone calls and emails every day with short sale and foreclosure questions like:

• Will I be responsible for the loan deficinecy?
• How do I negotiate with my lender?
• How long does it take to sell a home by short sale?
• What is HAFA?
• My loan modification didn't work so what do I do now?
• Can I stop a foreclosure with a short sale?
• The house I am renting is going to foreclosure, what are my rights?

We like helping people answer these questions or pointing them to people who can help. In times like these we need to do what ever we can to help each other. Below is a list of some places you can find answers to your questions about short sales and foreclosure. If you don't see something that addresses your specific questions or concerns, pop us an email at Gene@UrbanTeamAZ.com or give us a call at 602-234-5777. Most of the time we have answers and if not we'll do our best to point you to a caring pro.

Short Sale Information and Help:

Short-Sale-Phoenix.com is a site dedicated to information about short sales in the Phoenix area. There are dozens of articles from news sources around the country, a step by step guide for selling homes by short sale, contact information for attorneys and much more.

Information About Avoiding Foreclosure:

Know Your Options is a new site put out by Fannie Mae. designed to inform homeowners of the various options avialble to them. It is acutally a pretty good site, but remeber it was put together by the government so they spin things a bit.

Legal Help With Foreclosures & Bankruptcies:

Your local bar association can help you find an attorney who specializes in foreclosure and bankruptcy law. We have found a couple local sources that our clients said were excellent as well. They are:

Nagle Law Group
4530 E. Shea Boulevard, Ste. 140
Phoenix, AZ  85028
602-595-6951
robert.nagle@naglelaw.com or stuart.pack@naglelaw.com

Hymson, Goldstein & Pantiliat, PC
14646 N. Kierland Blvd., Ste 255
Scottsdale, AZ 85254
480-991-9077

We really do hope this information is of help. We spend hours each week studying information about short sales and foreclosures; It can be overwhelming.

Best to you,

Gene Urban & Ron Urban
The Urban Team
602-234-5777

we are bothers... we will treat you like family

How to negotiate a short sale in Phoenix, AZ

One of the big questions from people selling their home by short sale is how to negotiate with their lender. If you have tried talking with a bank or loan servicing company, chances are it was frustrating, not very productive and maybe even a nightmare.

Negotiating with lenders is tough for one simple reason... a massive number of variables and rules. Plus, you are dealing with the bureaucracy of a bank/lender. For most people, navigating the short sale waters is pretty much impossible and one mistake can close down the process.

So, what can you do? We have found a great solution. You may think we are going to say, hire a Realtor to negotiate with your lender. That would be a BIG NO in our book. Very few real estate agents have the skill and experience to negotiate with a lender. In our experience it takes several dozen transactions before you have a clue of what to do.

We have, however, found a wonderful third party company who does exceptional work. The principle in the firm is a woman who teaches agents best practices for negotiating short sales. She has been involved with hundreds of short sale transactions helping home owners sell their home. Plus, she has hired former mortgage industry professionals to do the negotiating. Her firm is called Buy and Sell Smart.

On our short sale web site, www.short-sale-phoenix.com,  we have a bit more information about the gang at Buy and Sell Smart and contact information. Simply use this link to go to our page on negotiating a short sale in Phoenix, Scottsdale and other Arizona cities.

We'd like to be clear about something here. We get no referral fee from them. We've written this post because a lot of people are frustrated, angry and don't know where to turn. Finally, we have an answer and we're delighted to share it with people thinking about a short sale in the Phoenix area.

We hope this information helps you if a short sale is in your future.

Gene Urban and Ron Urban
The Urban Team at Realty Executives
602-234-5777

 

 

Home and Real Estate Values News 85032

Today we are looking at real estate and home values in Phoenix zip code 85032. The map to the right shows the boundaries of 85032 in north Phoenix. The area has much to offer with affordable housing, close proximity to the 51 and 101 freeways, and  Paradise Valley Schools. Plus there is excellent neighborhood shopping with Costco, Frys, Trader Joes, PV Mall and Desert Ridge too.

85032, like so many areas is seeing an increase in homes sold by short sale and a decrease in the number of bank owned homes. Current stats show nearly 1/2 of the homes for sale are short sales and only 18% are bank owned. In general, short sales help keep values a bit higher as lenders like to see the homes sell at or close to market value. (For more info on short sales, visit our short sale information site.)

Much of the data suggests some stability in 85032 home prices and values. Below are several important figures:

• Months of Supply = 3.3. This figure has been dropping each month. 3-4 months of supply is a healthy number.
• Days on Market for Sold Homes = 81. Days on market is the time it took to sell the home. In May 2009 this number was 106 so it seems homes are selling a little faster today.
• Number of Listings = 350. The number of homes for sale has remained pretty constant for some time now… another sign of stability.
• Pending Sales = 120. Pending sales have also been fairly consistent.

Overall, it appears that home values in 85032 have stopped the free-fall we saw in 2009. Short sales are dominating the offering and they seem to be getting easier. Bank of America has streamlined their systems as have other lenders. In addition, the number of successful loan modifications is rising, keeping homeowners in their homes.

We believe 85032 will continue to be a strong area of interest for first time home buyers and investors since median home prices are in the $120,000 range. That said, the large inventory of short sales and bank owned homes will likely keep the region from seeing an increase in values during 2010. The graphs to the right shows the influence of short sales and bank owned homes on prices and it is not a positive trend.

If you are thinking about buying a home in 85032, do your homework and buy the best quality for the money. Make sure and have a professional inspection and do not overpay.

If you would like to see what is for sale in 85032, take a look at the info below. The data comes directly from the Arizona MLS system and is updated several times per day. If you have questions about the area or a specific home, drop us a line and we’d be happy to get you answers.

Click on any home to open a window that will show all the homes for sale in 85032

Why Do Short Sales Take So Long To Close

We are often asked why it takes so long to close a short sale, especially since the banks and Government say they have streamlined the process. Below are a few of the many reasons we’ve discovered as the Urban Team has ventured into helping people through the short sale process.

Secondary Financing: 

Many homeowners have more than one loan on their property. Since the primary lender is taking a loss, they are reluctant to give much, if anything, to the second lien holder. Often this is not acceptable to the investor in second position and they draw a line in the sand and become uncooperative.

A common scenario is the secondary lender wants a settlement of 10% of the loan amount. Let’s say the loan was for $40,000, then they want $4000.00. The problem is many primary lenders cap the amount the will offer the lender in 2nd position at $1000.00 - $2000.00. The result is a battle of wills. PMI, something we will be discussing in a moment, can effect the outcome of the battle as well.

Homeowner’s Credit Report:

Lenders are now checking homeowner credit reports. If the report shows the borrower is current on most everything except the mortgage, some lenders are pushing him/her to sign a promissory note for the shortfall. Most reasonable people aren’t too keen on signing away their future simply to avoid foreclosure and a take bigger ding on their credit report.

PMI Insurance:

PMI is often the biggest hurdle to overcome and the hardest to anticipate or even be aware. Let’s start with what PMI is and how it effects the negotiations.

PMI is an insurance policy lenders take out when borrowers offer less than a 20% down payment. The PMI insurance kicks in when the loan goes into default and is taken back by trustee sale or judicial foreclosure.

Let’s look at a common example of how PMI is used by the lender. A homeowner buys a house but only has enough money to put 10% down. The lender takes out a PMI policy on the other 10% and the borrower pays the insurance premium.

So, how does this effect a short sale? There are three major factors to consider.

1. PMI insurers like to see borrowers sign promissory notes because it reduces their payout to the lender. The promissory note is credited against the shortfall. Thus, they push the lenders to require the homeowner to sign a promissory note because it reduces their liability. 
2. PMI insurers can put off a payout by not accepting the short sale and forcing a foreclosure. Since, they earn money on their investments, PMI insurers like to keep it as long as they can and forcing a foreclosure can put off the payment for several more months. In their minds this just makes good business sense.
3. The third problem is a bit complex. Let’s say a second lien holder has a PMI policy that will payout 10% of their loss and the lender in first position is offering a 5% payout. Let’s do the math… if they refuse to accept the 5% offer and kill the short sale they will get a 10% payout from the PMI insurance company. What would you do? You’d probably refuse the offer and hold out for 10% or let the property go to foreclosure and take the 10% a few months down the line.

So, now you have a better sense of why lenders are reluctant to suck it up and agree to the short sale. To most lenders it is simply a matter of looking at the bottom line and deciding what direction provides the best outcome to them.

If you would like more information about short sales, we’ve put together a wed site dedicated to providing short sale information. Simply go to www.short-sale-phoenix.com and take a look.

Best to you,

Gene Urban
The Urban Team at Realty Executives
602-234-5777

Radiate Phx Meets One Lexington in Downtown Phoenix

The gang at Radiate Phx gathered on the 12th floor of One Lexington to enjoy the views, conversation, wine and introduction to One Lexington… a project I believe to be the most exciting, desirable and sustainable condo/lot development in downtown/midtown Phoenix. Finally, I get to be ecstatic about a project.

Let’s talk a bit about the meeting and then I’ll talk about One Lexington itself. The evening began with the usual talk time with friends new and old. Catrina Knoebl, Radiate’s helmsperson, kicked things off and welcomed Carol Johnson from the City of Phoenix who talked about how the Urban Form project is moving forward. Next up was Rob McDonald, the President of McDonald Development… the new owners of One Lexington.

I really like Rob McDonald. Though he calls Vancouver Canada home, his family's roots are from Atlanta, GA. He is a warm engaging man who is both excited and commited to offer Phoenix the most viable condo project in years. He spoke about the reason for choosing to buy the building, the partners gathered to make it work and the project itself.

One Lexington offers 145 units in 1,2 and 3 bedroom floor plans plus penthouse units and 15,000 square feet of commercial on the first floor.  The floor plans are well thought and feel quite gracious and welcoming.

McDonald talked about the excellent quality of the buildings and his commitment to use American made products in the build out as well as local contractors and vendors. The unit we were in had winsome finishes including wood floors, tasty tile backsplashes, clean-lined cabinets and other niceties.

Based on the 20 or so purchase reservations already submitted, I am not the only one who feels this is an incredible opportunity.

The Radiate Phx evening ended with more conversation and tours of the various models.  As a realtor, I found this venue very exciting, a welcome addition to the community and a great place to Radiate Phx. Special thanks to Catrina and her husband Chris for putting this night together.

Gene Urban
The Urban Team
602-234-5777

PS… If you would like to see One Lexington, the Urban Team would be over the top delighted to meet you there and represent you if you want to purchase a place. Remeber, if you don't bring your own agent to a new-build project you will be represented by the builder's agent... not the best way to keep well protected.