Posts in category: Selling your home

The lack of resale housing available in Las Vegas has caused all out-frenzy to buy, perpetuating a steady increase in pricing over the past year.

The GLVAR (Greater Las Vegas Association of Realtors) reported earlier this month that the median price of single-family homes is up almost 14% since September 2011, and some sources that believe prices have increased as much as 20% from one year ago!    GLVAR reports that condominium prices are up 24% from this time last year.

Almost half of the Las Vegas market is comprised of short sales; foreclosure activity has slowed to barely a crawl since the inception of AB284, whose effects are still be greatly felt throughout the state.   This tight supply of homes is responsible for pushing up pricing from all types of home-sellers, who are taking advantage of the lack of inventory.

This increase in pricing is being felt in the appraisal arena (see my blog from 9-25-12) because comparable sales can’t keep up with the fast-rising pace of the newly listed properties.    Even new construction homes are suffering with low appraisals.

Some reports are showing sales volume is actually down from a year ago.   One must wonder if this surge in pricing isn’t keeping many buyers out of the arena.

When this will end is anyone’s guess.    For home sellers, NOW is a great time to sell your home for top dollar!!   For buyers, you need a professional agent who knows how to work well within this unique market.   Contact Denise Moreno, Heather Brockhurst or Joanna Piette with New Home Resource today at 702-365-1000!

What is going on with today’s home values??!!       Whether you’re a buyer or seller in today’s market, it’s probable you’ll encounter appraisal issues!

Low inventory, likely due to AB284, has caused an all-out bidding frenzy for the few homes on the market today.   Prices are regularly being bid higher by anxious buyers, and prices set by sellers are often thousands of dollars above the recent comparable sales.    And when multiple bids drive a house price thousands of dollars above the listed price, appraisers are still coming in with values below the agreed-upon price.

Considering most comparable sales in the Las Vegas market are of ‘distressed’ properties that have been neglected and/or not maintained, in need of repairs, carpet, paint and landscape, we can see how a property in ‘good’ condition would appraise for less – strictly because the comps are lower.   And unfortunately, appraisers are not giving credit for the improvements and better condition of the non-distressed properties.

Appraiser reluctance to report local appreciation is becoming a significant obstacle.  Many appraisers are reluctant to make justified upward adjustments for superior property condition or upgrades, because they fear criticism that they are potentially overvaluing the property. Many Realtors® and loan officers feel that appraisers will go with a lower valuation so as not to upset overly-cautious reviewers at the appraisal management companies.

As Realtors®, we are increasingly seeing buyers who want a home that is move-in ready, and as their agents, we must prepare them to consider paying the difference between the appraised value and the agreed-upon purchase price.   The bottom-line is simple:    Buy a distressed property and immediately put $20,000+ into it, or, pay $10,000-$20,000 in appraisal difference to get the beautiful home that is move-in ready.

Lenders who finance the property use the ‘lower’ figure as the base for lending.  So, if the appraisal comes in $10,000 less than the agreed-upon price, that $10,000 is money you’d pay in addition to your regular down payment and closing costs.   In days past, sellers usually came down on their price to keep the deal together – – but today that is not the case.  Sellers are regularly standing their ground on the agreed-upon price because they know ‘someone’ will pay it.

Until our inventory issues are worked-out, we don’t see a quick end in sight to these issues.    If you’re a buyer in today’s market, prepare to pay a little extra $$ above appraisal to get a great house.      You need professional help:  Call a New Home Resource Realtor® today!    You can reach Joanna Piette, Denise Moreno, or Heather Brockhurst today at 702-365-1000 !!   Don’t waste another minute!

The Mortgage Debt Relief Act is soon to expire!   And Congress has not mentioned a word about extending it…..     NOW is the time to get your short sale completed!

 Let me first remind everyone that we’re not attorneys,  and do not profess to understand this Act nor the law it its entirety.     Seek professional legal and tax advice for any and all of your questions or concerns!

 In a short sale, debt “forgiven” by the lender is subject to income tax,  because it is treated by the IRS as regular income.   With Las Vegas prices as they were during the “Boom Years” of 2004-2007, this figure is astronomical for most homeowners;  hundreds of thousands of dollars in forgiven debt could be considered taxable income.    

 The Act relieves qualifying homeowners from the obligation of paying taxes on mortgage debt forgiven from a short sale or foreclosure.     

 First enacted in 2007, the MDRA was extended once in 2009, but is set to expire this year on 12-31-12.    This means your short sale must be CLOSED by then, or any forgiven debt could be taxed as regular income.    There is qualifying criteria associated with the Debt Relief Forgiveness Act, so please seek professional legal and tax advice to see if you qualify.   

 Potentially millions of people could find themselves liable for a huge tax bill if the government doesn’t renew the MDRA by the end of 2012.    This bill may expire!     Since many short sales take an average of six months to complete, homeowners are simply running out of time.       Those  considering a short sale of their home need to act QUICKLY (like today!) in order to take advantage of a potential tax break. 

 Real Estate Brokers who are “Certified Distressed Property Experts” (CDPE) have undergone additional training specific to short sales.       The Broker at New Home Resource, Joanna Piette,  is a Certified Distressed  Property Expert / CDPE, and she can help. 

 Contact a professional Realtor® at New Home Resource today at 702-365-1000.     We will help you get through this!!

If you’re thinking about selling your home, I’m thinking of telling you NOW’s the time!

Now, I’m not a clairvoyant and I’m not privy to any secret housing information, so all of this is based on my own gut feeling….  But I DO eat, sleep and breathe real estate, every single day!!!

Here’s my take on it:    Due to the negative effects of AB284 on our housing market (see my blog from 6-25-12), our inventory is at an all-time low…..  Interest in buying today’s undervalued real estate is incredibly high.   Together these two things = frenzied buying, overbidding and top-dollars being paid for today’s real estate.    Literally everything from vacant land to condos, manufactured housing to duplexes, single family to luxury homes are all receiving multiple offers, and selling above list price, day in and day out!    Cash buyers and financed buyers alike are overbidding to be the winners.

It’s my belief that the  effects of AB284 causing the current UNDER-supply of houses will conversely cause an OVER-supply when all these kinks get worked out on the bank’s end.   Once this glut of held-back foreclosures begins to hit the system, the generous supply of available properties will put an end to overbidding to win something.    A buyer will simply move along to a better-priced home down the street.

So THIS is why I say that NOW is the time to sell your home!    Even if you are selling short, I certainly believe that your lender(s) would be more likely to approve a sale at a higher price where their loss is less.    It could be a good bargaining tool as well!     And NEW HOME RESOURCE has a lot of experience with short sales!

If you are a traditional seller with equity In your home, selling TODAY could put more $$ in your pocket for investments, to build savings, pay for a college education or wedding, pay off debts or to buy a different home that better suits your needs.

Regardless of the type of sale, you definitely want to be working with the tenacious and knowledgeable Realtors® at NEW HOME RESOURCE!    Call Joanna Piette, Denise Moreno, Debbie Sullivan or Penny Womack today at 702-365-1000 !!   Don’t waste another minute!

SELLING SHORT?      NOW IS THE TIME TO SELL YOUR HOME!!

Needing to short-sale your home?  NOW Is the time!     Buyers are abundant and available properties are scarce.

In addition, Fannie Mae and Freddie Mac have just announced new SHORTENED timelines for short-sale decisions and a couple of the major banks are changing their processes to shorten their timelines as well.

You need a qualified real estate team to handle your short sale – call on the Joanna Piette Team at New Home Resource.    We get the job done!  Many times we already have buyers in place, just waiting for a great home like yours to hit the market.  Don’t delay – call Joanna Piette at New Home Resource today 702-365-1000.