Boise Real Estate Blog

FNMA- Waiting Periods for Derogatory tradelines; BK's, Foreclosures, Deed in Lieu, Pre-Foreclosure

2009-12-18T09:04:13-07:00

Bankruptcy (Chapter 7 or Chapter 11) A four-year period is required to re-establish credit, measured from the discharge or dismissal date of the bankruptcy action. Exceptions for Extenuating Circumstances A two-year period is required to re-establish credit, measured from the discharge or dismissal date of the bankruptcy action.

· Bankruptcy (Chapter 13)

A distinction is made between Chapter 13 bankruptcies that were discharged and those that were dismissed. The time period required to re-establish credit for Chapter 13 bankruptcy actions is measured as follows: This policy recognizes that borrowers have reestablished credit through the successful completion of a Chapter 13 plan and subsequent discharge by requiring only a two-year time period to elapse. A borrower who was unable to complete the Chapter 13 plan and received a dismissal will be held to a four year time period for reestablishing credit. Exceptions for Extenuating Circumstances No exceptions are permitted to the two-year time period after a Chapter 13 discharge.

· Multiple Bankruptcy Filings

For a borrower with more than one bankruptcy filing within the past seven years, a five-year period is required to re-establish credit, measured from the most recent dismissal or discharge date. Note: The presence of multiple bankruptcies in the borrower’s credit history is evidence of significant derogatory credit and increases the likelihood of future default. Exceptions for Extenuating Circumstances A three-year time period is required to re-establish credit, measured from the most recent discharge or dismissal date. The most recent bankruptcy filing must have been the result of extenuating circumstances.

· Foreclosure

A five-year period is required to re-establish credit, measured from the completion date of the foreclosure action as reported on the credit report or other foreclosure documents provided by the borrower. Additional requirements apply after five ears up to seven years following the completion date: Exceptions for Extenuating Circumstances A three-year period is required to re-establish credit, measured from the completion date of the foreclosure action. The additional requirements listed above apply after three years and up to seven years following the completion date, except the minimum credit score of 680 is not required. • two years from the discharge date, or • four years from the dismissal date. • The purchase of a principal residence is permitted with a minimum 10% down payment and minimum representative credit score of 680. • The purchase of a second home or investment property is not permitted. • Limited cash-out refinances are permitted for all occupancy types pursuant to the eligibility requirements in effect at that time. • Cash-out refinances are not permitted for any occupancy type.

· Deed in Lieu of Foreclosure

A four-year period is required to re-establish credit, measured from the completion date (the date the deed-inlieu was executed). Additional requirements that apply after four years and up to seven years following the completion date: Exceptions for Extenuating Circumstances A two-year period is required to re-establish credit, measured from the completion date. The additional requirements listed above apply after two years and up to seven years following the completion date.

· Preforeclosure Sale

A two-year period is required to re-establish credit, measured from the completion date. Exceptions for Extenuating Circumstances None.

Provided by: Stephanie Scott, Loan Officer for Prospect Mortgage Boise, ID

Current Market Trends December 2009 - Ada/Canyon

2009-12-15T16:46:11-07:00

Ada County Current Market Trend - December 2009

Canyon County Current Market Trends - December 2009

CHECK IT OUT!!

2009-12-08T16:16:37-07:00

Check out this GREAT Keller Williams power point entitled, "This Month in Real Estate." Keller Williams provides examples of small steps to economic recovery this past month. Click below to read more:

Click Here

Total Market Overview November 2009 - Ada/Canyon

2009-12-01T17:13:51-07:00

Ada County Total Market Trends November 2009

Canyon County Total Market Trends November 2009

Current Market Trends November 2009 - Ada/Canyon

2009-12-01T17:11:41-07:00

Ada County Current Market Trends November 2009

Canyon County Current Market Trends November 2009

New Construction November 2009 - Ada/Canyon

2009-12-01T17:09:09-07:00

Ada County New Construction November 2009

Canyon County New Construction November 2009

Green-building Growing, More Jobs, More Buyer Interest

2009-11-20T10:39:24-07:00

According to a new study from the U.S. Green Building Council (USGBC) and Booz Allen Hamilton, construction in the green-building industry will support 7.9 million jobs over the next four years while pumping into the American economy $554 billion. Currently, 2 million American jobs are supported by the same industry and more than $100 billion in gross domestic product and wages is generated.

The USGBC writes on its Web site that "buildings in the United States are responsible for 39 percent of CO2 emissions, 40 percent of energy consumption, 13 percent water consumption and 15 percent of Gross Domestic Product per year, making green building a source of significant economic and environmental opportunity." The study found that from 2000 to 2008, $178 billion in gross domestic product was contributed to the economy and 2.4 million direct/indirect and induced jobs were created or saved which generated $123 billion in wages.

"Our goal is for the phrase 'green building' to become obsolete, by making all building and retrofits green -- and transforming every job in our industry into a green job," said Rick Fedrizzi, president, CEO and founding chairman of US Green Building Council.

Fedrizzi says, "This study validates the work that the 25,000 people gathered here at Greenbuild, and every member of our movement, do every day." According to the press release, "The study also assessed the U.S. Green Building Council's 19,000-plus member organizations and found that they generate $2.6 trillion in annual revenue, employ approximately 14 million people, come from 29 industry sectors and include 46 Fortune 100 companies." It further included results from workers including architects, construction laborers, truck drivers—all aspects of the green building industry.

From commercial buildings to residential housing, green building is a growing topic and focus. "Costs for building green are going down," said J.F. Finn III, a principal with Gensler of Nevada, executive architect for MGM Mirage's $8.5 billion CityCenter development. "Companies now have more experience building green, so there are greater efficiencies." The USBGC says more employees are attracted to working in green buildings because of the healthier environment and reduced carbon footprint to help preserve the world. The non-profit reports that studies show that companies with green offices have an easier time recruiting and retaining employees. It further states that, "Today's Generation Y work force actively seeks social-minded employers that reduce their carbon footprints and improve the world around them."

What does all of this mean to the homeowner? Well, if your home has been modified to include some of the more efficient "green" technologies, it could mean a little more green in your wallet at the close of a sale. The same concept that attracts employees to work in green office buildings also attracts them to purchase green homes. Many green-minded buyers are looking to live in a healthy environment, reduce costs, and save the environment.

However, some studies indicate that while green may be gaining in popularity it's still not at the level where buyers will pay a lot more money for it. "Although we are seeing significant interest in green building, cost effectiveness is clearly a key concern among homebuyers," National Association of Home Builders (NAHB) chairman Joe Robson, a home builder and developer in Tulsa, Oklahoma, said in a statement. "Builders said that among buyers who are willing to pay more for green features … 57 percent are unlikely to pay more than an additional 2 percent." NAHB also points out that green building has a regional interest. So, for instance, in the west, water-saving efforts are a high priority when it comes to green building. For a closer look at how to go green read my column, "Going Green May Help Sell Your Home".

Published: November 20, 2009

RealtyTimes.com, by Phoebe Chongchua

Current Market Trends November 2009 - Ada/Canyon

2009-11-16T15:10:50-07:00

Ada County Current Market Trend - November 2009

Canyon County Current Market Trend - November 2009

Home "SELLERS" better act fast before the tax credit ends!!

2009-11-06T14:52:41-07:00

Market Vacuum: Effect of the Real Estate Stimulus

The Real Estate Stimulus with its $8,000 tax credit has been very effective at getting buyers who have been sitting on the fence to jump off and purchase. Inventories have been dropping in the Treasure Valley and beyond, prices appear to have stabilized for the time being and many new home owners are enjoying the benefits of home ownership. Many of them probably would still be waiting to see how far the market could fall.

Now the House and the Senate have passed a bill, attached to the unemployment extension act that President Obama is sure to sign. It will extend the $8,000 tax credit for first time home buyers who purchase by April. In addition, if you have owed a home and have occupied it for 5 of the last 8 years, you are eligible for a $6,500 tax credit if you purchase a home by April of 2010 and close by July. These measures are sure to reduce inventories further.

Remember Cash for Clunkers. That stimulated the auto industry. It didn’t accomplish the desired goal of reducing gasoline consumption in the US because the guidelines were to loose. The majority of the autos purchased were pickups and SUV’s, but it helped the auto makers and dealers reduce inventories. Now that the program is over, auto dealers are experiencing a severe slump in sales. Just like the Europeans experienced when they used the same tactic to stimulate auto sales in the 90’s. Future car buyers were sucked out of the market so they could enjoy the tax break.

When this Real Estate Stimulus ends in July of 2010, the Real Estate Industry will suffer the same effect as the Auto Industry. Future real estate purchasers are being sucked out of the market because of the stimulus. Buyers that would have purchased in the last half of 2010 or 2011 will have already made their move based on a tax stimulus with an expiration date. Remember, this started in the last year of the Bush administration, so when the stimulus ends it will have been in affect for almost three years. Three years in which many buyers would have waited had it not been for the tax credit. The market consequences will be painful for anyone wishing to sell after July of 2010 and the correction from the stimulus will take a while. My advice to sellers is; if you want to move in 2010, you to need to act now. The market will be slow in recovering from being over stimulated.

Dan Frison

Real Estate Professional, Team Leader & Co-Founder

of the Advantage Real Estate Team

Making Eco-Friendly Home Features Pay Off

2009-11-06T14:34:35-07:00

When it comes to dollars and cents, energy-efficient, low-E windows and high-performance insulation are a better bang for the home buyer’s buck than shiny hardwood floors. Fortunately, the real estate market is beginning to recognize this: a non-profit green building organization in the Pacific Northwest, found homes in the eco-conscious Portland area sold for 4.8 percent more and stayed on the market 24 percent fewer days than comparable homes without earth-friendly improvements.

If you’ve made green renovations to your home and are getting ready to sell — or if you’re thinking of making eco-friendly home improvements and have an eye on return on investment — check out these tips for making sure your earth-sensitive changes get you all the “green” you deserve.

Focus on eyes ... and wallets

Buyers are more likely to pay a premium for green improvements they can see, touch or feel in their wallet, says Andrew Jay Gross, chairman of The Green Committee in the Beverly Hills/Greater Los Angeles Association of Realtors. “Buyers clearly look for visible green features, like lighting, floors, appliances and garden features that use indigenous plants to conserve water,” he says.

Energy-saving lighting systems that use watt-sipping compact fluorescent or LED lights can really turn buyers on to a property, he explains, because they can see the system and know they’ll feel the difference in their wallet. And if you think these lights are all big classroom-style tubes or huge twisted coils, think again. More and more energy-saving bulbs are coming on the market in a variety of shapes and sizes to fit into even the most sophisticated décor.

And while they appreciate the good karma of saving and sustaining the earth, most buyers are likely to flock to the improvements that will save them money in the long run. Energy savings are really one of the driving forces pushing green into the mainstream of home buyers’ consciousness, says Jeff Ammons, president of Live Green Inc., a company that specializes in helping homeowners make marketable green improvements to their homes. “Most homeowners care about sustainability, but when it comes to money, energy savings is the big seller,” he says. “Sustainability requires more effort and longer payback periods than energy savings."

Ammons says many buyers he’s seen are looking up and down for improvements … literally. They seem to care most about the insulation and sealing in the attic and crawl spaces, and love upgraded, energy-efficient HVAC systems, he says.

Choose a real estate agent who understands ‘green’

A lot of buyers who aren’t searching specifically for an eco-friendly home can still be drawn to one if it’s marketed properly. “Each marketing effort is an education to most buyers,” says Jan Green, a Realtor and certified EcoBroker in Scottsdale, Ariz.

Green says she can’t just say, “Low-VOC paint” and expect it to sell a home, because most buyers don't understand the term. “But even when I explain that it means there are no volatile organic compounds in the paint, I have to explain what that means.” So if your real estate agent doesn’t completely understand what the green features in your home do or why they add value, neither will potential buyers.

But as green homes become more common, professional certifications are emerging to meet the needs of sellers. The best-known green real estate agent certification is probably the EcoBroker designation, which is administered and awarded by the Association of Energy and Environmental Real Estate Professionals (AEEREP).

John Beldock, Executive Director of AEEREP, says that as consumers become savvier about what makes a home green, it’s even more important to have someone representing your home who really understands eco-friendly features. “The best marketing is credible, honest marketing, based on accurate representations and without ‘greenwashing,’” or making something appear greener than it actually is.

Find the right buyers

While almost any buyer will be interested in a home that’s more energy-efficient, there’s still a certain group of home shoppers who don’t want anything except a green home. To target this group, you and your real estate agent may want to go beyond the run-of-the-mill Multiple Listing Service (MLS) listing.

Many local Realtors groups are working to modify their area MLS listings to cater to green homes, as well, since many buyers who aren’t necessarily super environmentally aware are still interested in reaping the energy-saving benefits these homes offer. Now, instead of only being able to search by metrics like home size, school district or price, in some cases buyers can also search on some websites for LEED-certified residential properties (which meet strict green-home criteria set by the U.S. Green Building Council or EnergyStar-rated homes.

Remember that no matter what, there is value in green. “These energy and environmental features make for better properties, and consumers and investors favor properties with better walls, better windows, better mechanical systems and better indoor air quality,” Beldock says. “The key principal is accurately describing these features in a property.”

By Alyson McNutt English, Cyberhomes Contributor

Published: September 23, 2009