Real Estate Chatter

Yes, I’m a reformed Dunkin Donut addict.  During my 1st pregnancy 31 years ago, I could eat a whole box of Chocolate Creme Filled Dunkin Donuts at a single sitting.  (I can’t believe I did that, by the way)  Moving to Arizona in 2001, imagine my dismay that there were no Dunkin Donuts to be found.  It may have helped my waistline, but my heart was very sad.

Today I jump for joy as I hear the news that Dunkin Donuts has opened 3 stores in the East Valley, including one in Chandler at the Cobblestone convenience store (otherwise known as the Cobblestone Car Wash) at Germann and Alma School. 

I’d write more…but gotta go.  Donuts are calling my name.

Valley Millionaires

Maricopa Valley ranks third in the nation for the highest number of millionaire residents according to a recent leading market research provider.  An estimated 126,394 millionaires currently reside in the Phoenix metro area.

Los Angeles County and Cook County (Chicago) rank #1 & #2.  Hard to believe we have more millionaires living in Maricopa County than there are in New York City’s Nassau County (ranked #9) and the Silicon Valley’s Santa Clara County (ranked #8). 

About half of the Valley’s rich and mostly not-so-famous are retired with a median age of 66.  Based on the most recent $1,000,000+ home sales, it’s pretty obvious that many of the newest millionaire residents are actually retirees who are probably selling their homes in California and other areas that have been hard-hit by the real estate downturn and are taking advantage of grabbing up a bargain priced multi-million dollar mansion in the Valley of the Sun.

Interesting to note that the lifestyle that a $1 million dollars bought in 1980 costs more than $2.5 million dollars today.

Why do Millionaires like the Valley?  Besides the obvious…weather, the Valley is home to 7 top Fortune 1000 companies. Yes the Valley loves entrepreneurs.

Phoenix area millionaires typically lack the pretense of millionaires living in other large cities (it’s hard to believe we are the nation’s 5th largest city) and like to remain pretty invisible…except for the palacial homes they live in, of course.

Visit www.AmySellsAZ.com to search the Phoenix Area MLS.

I have long ago sworn off representing buyers on Short Sale Transactions, otherwise known as the deals from hell that will not close. Today, I’m about ready to exit the REO (Bank Owned Property) market as well.  From listing agents who never return calls to Banks who do not respond for weeks, yep…I’ve just about had it.

My most recent tale from the dark side of REO sales:  Buyer makes an offer on a bank owned property.  The bank sends over it’s standard “Counter-Proposal” document which is just a code name for the “we can do whatever we want to you Mr. Buyer and there’s nothing you can do about it” document. 

Within this bank’s counter proposal was a a close date of August 15 which had been selected by the buyer.  Good. No problem there.  We knew the bank was selling the property “as is” and in this document was the verbage that the Buyer must obtain all inspections prior to signing the counter proposal because once the buyer signed the counter-proposal and the banks accepts it, the buyer’s earnest money becomes non-refundable.  Ok.

So, buyer completes his inspection at his cost and signs the counter-proposal.  At which time, I receive a call from the listing agent that “Ooops, the bank can’t close until October 15th.  Sorry”  Buyer can’t wait until October 15th and is feeling pretty used and abused by the bank who agreed to his August close date and instructed him to obtain an inspection at his cost within 10 days which he did in good faith, only to change the deal midstream and he’s out his inspection costs.

Can the bank do this?  Apparently.  So.  BUYER BEWARE.  It’s clearly written that nothing the Bank includes in it’s counter-proposal is enforcable until it is signed by the bank…even if you comply with everything they ask you to do within the counter-proposal…even if it costs you your hard earned money.  The bank doesn’t have priciples, Mr. Buyer.  Banks don’t have to play fair…so buyer beware.

When it comes to retiring, most people living in the midwest, East Coast and even Canada are looking for a place with first and foremost…great weather!  Second are amenities, close to medical care, restaurants, shopping and even golf. 

Of course, affordability probably outranks even the weather when you get right down to it.  I’m happy to announce that Arizona ranks second in the nation!  We overtook California in 2000. 

There are some incredible deals to be had in the senior housing market here in the East Valley and if you’re looking for golf.  How bout 158 golf courses in Maricopa County alone?  That’s the highest number of golf courses for any county nationwide!

It’s no secret in my family that I, Amy Jones, was born without a sport gene.  Not one.  I won’t watch football, baseball, hockey, golf…or any other sport that involves anyone chasing a ball, rolling a ball, hitting a ball or hitting each other for that matter.  It’s even more than not watching…when sports are playing on tv in my home or in a restaurant or even on the radio, it makes my teeth itch.  There should be a pill I can take.

When I lived in Wisconsin I was a freak of nature as the Packer Backers came out of hiding every fall.  I did not own a single green or gold garment to wear on Football Fridays at work and I refused to enter any establishment with a tv playing on the weekends or Monday nights. 

There’s not as much excitement in Arizona over the sport of Football…I know we have a team, I just can’t remember it’s name. (See, no sport’s gene)

So, here it is again, Football season.  It’s seems rather early to be starting football.  I mean, didn’t basketball just end?  And, what about baseball? Aren’t they still playing?  I don’t think there should be an overlap in sports. There should be one per season.  My dad has 2 tv’s playing at once.  Golf on one, football on the other (and probably listening to baseball on the radio).  Luckily, my husband’s not too into sports so that’s all good.

I think I’ll start spotlighting area things to do for those of us without a sports gene.  Monday’s and Thursdays would be good times to target these and I’m open for suggestions!

Last night, Congress introduced bipartisan legislation, H.R. 6694 that would reauthorize and reform charitable downpayment assistance. This bill would remedy a harmful provision in the new housing law which limits homeownership opportunities for low and middle-income Americans. The legislation, sponsored by U.S. Reps. Al Green (D-TX), Gary Miller (R-CA), Maxine Waters (D-CA), and Christopher Shays (R-CT) reauthorizes and reforms charitable downpayment assistance funded in part by sellers, which has helped over one million families and individuals become homeowners since 1999. The program was eliminated by legislation signed by President Bush on July 30, 2008.

The Green-Miller-Waters-Shays plan would re-authorize and reform non-profit downpayment assistance and secure it as an allowable source for FHA borrowers. The bill seeks to ensure that providers of the downpayment assistance operate in a transparent manner to guard against conflicts of interest. The bill also includes language to ensure that FHA maintains its financial stability by permanently authorizing the Secretary to assess higher premiums to higher risk borrowers.

There are those who feel that we should go back to the days where you have to save money to afford the downpayment for a home purchase and there’s some truth in that theory.  In today’s “instant gratification” philosophy, fewer and fewer borrowers are saving towards a home purchase and are asking seller’s to contribute up to 3% towards their downpayment. This hurts the seller’s bottom line.  If a buyer can’t save money towards a downpayment today, will they be able to save money from each check to make their monthly mortgage payment along with their other bills?

Lenders are worried that the elimination of Seller Assistance programs like Ameridream will severely impact the number of loans they write and subsequently the amount of money they make.  Many Realtors feel the same way.  Elimination of these programs is going to dramatically decrease the number of buyers who can qualify for a home purchase.  With a glut of homes on the market, this will negatively impact sellers as well.

What do you think?

One of the most obvious steady declines in average list prices of homes for sale is in Gilbert, Arizona

Here’s the scoop.  Yes, prices have fallen in Chandler.  However, the good news is they didn’t start falling as soon as some other communities, so the bottom line isn’t as depressing.  Check it out~

You can find more great information about homes for sale in Chandler, Arizona on my website at www.AmySellsAZ.com.