Archive for March, 2008
Prescott Real Estate- March 2008 Market Update
March 25th, 2008 categories: Home Sellers, Market Update, Real Estate News
Absorption Rate.
These numbers determine how long it will take for the existing homes on the market to be absorbed by buyers at the current rate of purchase. Here’s how to calculate absorption rates: Add up the number of homes on the market, find out how many homes have sold in the past 30 days, divide the number of homes on the market by the number of sales. Below is the market update for Prescott and the Tri-City Area as of March 25, 2008. I will post these numbers weekly and include vacant land.City of Prescott Absorption Rate By Price Range
| Price Range | Residential Properties On The Market | Residential Sales Last Month | Absorption Rate - # Of Months It Will Take To Sell |
|---|---|---|---|
| $300,000 and below | 168 | 20 | 8.4 |
| $300,001 to $500,000 | 381 | 13 | 29.3 |
| $500,001 to $800,000 | 296 | 14 | 21.1 |
| $800,0001 to $1,000,000 | 76 | 0 | N/A |
| $1,000,001 & above | 85 | 0 | N/A |
| Totals | 1006 | 47 | 21.4 |
Prescott / Tri City Absorption Rates By Area
See below for area definations (110 - 150)
| Area | Residential Properties On The Market | Residential Sales Last Month | Absorption Rate # Of Months It Will Take To Sell |
|---|---|---|---|
| 110 | 128 | 9 | 14.2 |
| 120 | 365 | 12 | 30.4 |
| 130 | 126 | 6 | 21 |
| 140 | 138 | 8 | 17.25 |
| 150 | 91 | 3 | 30.33 |
| Williamson Valley | 182 | 9 | 20.22 |
| Prescott Valley | 675 | 36 | 18.75 |
| Chino Valley | 275 | 13 | 21.15 |
| Dewey | 86 | 0 | N/A |
| P.C.Club/ Quailwood | 93 | 2 | 46.5 |
| Totals | 2,159 | 98 | 22 |
Area 110: North of Gurley/Thumb Butte, West of Willow Ck Rd including Longview
Area 120:North of Gurley, East of Willow Creek Road, West of Hwy 89
Area 130:East on Hwy 69 from Hwy 89 & 69 Junction, East of Hwy 89
Area 140: South of Gurley, East of Park/White Spar, West of the Ranch
Area 150: South of Gurley, East of Park/White Spar
As always, please feel free to contact me with any questions.
Regards,
Sherry Huffman
Realtor-Associate
The Huffman Group, Realty Executives
928-533-1833
928-441-1201 e-fax
sherry@thehuffmangroup.com
www.theHuffmanGroup.com
www.PrescottRealEstateRoundUp.com
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Hiring a General Contractor in Prescott?
March 20th, 2008 categories: Real Estate News
Building a home in Prescott? This is a must read!
Over the years I’ve had countless conversations with Prescott homeowners who chose to have their homes built instead of buying a resale. When asked if they would ever build again, most would not. Sadly, most folks I spoke with had a negative experience with their General Contractor and the whole building process, many were still angry. Almost every homeowner I spoke with had the same three complaints in one form or another.
A. Time/Cost overruns.
B. Plans/blueprints not followed correctly. Paperwork a diaster.
C. Calls to contractor not returned-poor communication.
Here’s a few recommendations that should make the road to building your own home a pleasant and rewarding experience.
1. On the Contract, set a schedule with a definite start and completion date allowing for reasonable weather delays. Establish a monetary penalty for every day beyond the completion date that the home is not completely finished and ready to live in.
2. Every change to the existing Contract and or blueprints is going to cost you money. Insist that these changes be in writing with a price quote. You would be astonished at how seemingly small changes can add up to a huge bill you will be expected to pay when your home is finished.
3. Get references and talk to them! How long has this Contractor been in business? How did he/she respond to Warranty repair requests? How quickly did they return phone calls? Was the home finished on time? Cost overruns?
4. Do Not, I repeat Do Not stay in Miami while your home is being built in Arizona.. I know Contractors will cringe at this next statement but here goes…It’s imperative you show up at the jobsite-daily if possible. I cannot stress the importance of this strongly enough. You’ll learn a ton and it seems to help everyone involved stay focused on the task at hand. Keep in close touch with your Contractor, ask for and expect updates.
You can check your Contractor’s status with the Arizona Registrar of Contractors at www.azcontractor.com.
| Discussion: 2 Comments »
Avoiding Foreclosure
March 17th, 2008 categories: Home Sellers, Prescott Real Estate Trends
Many people these days are dealing with the harsh reality of property foreclosure. This is a painful and embarrassing situation, but one that needs to be dealt with. Simply walking away is never the right option. The hit to your credit takes years to correct, not to mention the humiliation it puts your family through. Hanging in there and fighting you way through is tough, but worth it in the long run.
There are options; I’ve helped clients through “short sales“. A short sale is when the lender takes less than what is owed on the property. It is an involved process of negotiating with the bank and lots of paperwork, but a far better option than foreclosure. If you are behind on your payments, or receiving late notices from your lender, take action now. Don’t wait until you are months behind in payments. The further behind you get the harder it is to recover. Your lender does not want you to lose your house. Foreclosures are expensive for you and the bank. It is far beneficial for both parties to work things out.
If you are behind on your mortgage payments, get involved now! Here are some helpful links: HUD, Housing and Urban Development. Hope Now; a non profit organization offering credit counseling.
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Is The Real Estate Market Showing Signs Of LIfe?
March 14th, 2008 categories: Home Buyers, Home Sellers
The Real Estate slide may be slowing down. Although the news media bombards us with negative numbers every time we turn around, there are some positive signs out there.
As of today, March 13th, new mortgage applications nationwide jumped last week for the first time in more than a month. This is a very important indicator of home buying in upcoming months.
Pending home sales nationally did not decline last month as expected, they were “flat”. We’ll take flat! This is a good sign that after two years of negative numbers, maybe we’re beginning to bottom out.
I feel confident that the Federal Reserve will continue to lower short term interest rates giving our economy a much needed kick in the pants. The cost of money is a very important part of home buying and I know that these aggressive steps will pay off in the long run.
These may be small glimmers of hope, but they are positive signs. Everyday we are a little closer to the Real Estate market turning itself around. Although our sales statistics in Prescott are still in negative territory, home are selling. As interest rates continue to go down, consumers will realize that there are some great deals out there!
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What The Heck is a 1031 Tax Deferred Exchange?
March 6th, 2008 categories: Home Buyers, Home Sellers, Prescott Homeowners, Real Estate News
For more information on 1031 Tax deferred exchanges click on the following link; tax exchange
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Do you know your credit score?
March 4th, 2008 categories: Home Buyers, Prescott Homeowners
Do you know your credit score?
Credit scores are a vital part of being a consumer and citizen of the United States. A credit score is a number that helps lenders and others predict how likely you are to make your credit payments on time. Each score is based on the information then in your credit report.
If you want to rent an apartment and do not have good credit scores, your apartment application may be turned down by the landlord. Your scores also may determine how big a deposit you will have to pay for telephone, electricity or natural gas service.
Companies that want to lend you money look at your credit scores all the time. They look at your scores when deciding, for example, whether to change your interest rate or credit limit on a credit card, or whether to send you an offer through the mail. Having good credit scores makes your financial dealings a lot easier and can save you money in lower interest rates. That’s why they are a vital part of your financial health.
Today, many people have credit scores that are suffering due to adjustable loans, credit card debt and so on. Not to mention the foreclosure and short sale market and it’s far reaching effects.
There are 5 parts to evaluating your credit score. As a rule, credit scores analyze the credit-related information on your credit report. How they do this varies. Since FICO scores are frequently used, here is how these scores assess what is on your credit report.
| 1. | Your payment history – about 35% of a FICO score Have you paid your credit accounts on time? Late payments, bankruptcies, and other negative items can hurt your credit score. But a solid record of on-time payments helps your score. |
| 2. | How much you owe – about 30% of a FICO score FICO scores look at the amounts you owe on all your accounts, the number of accounts with balances, and how much of your available credit you are using. The more you owe compared to your credit limit, the lower your score will be. |
| 3. | Length of your credit history – about 15% of a FICO score A longer credit history will increase your score. However, you can get a high score with a short credit history if the rest of your credit report shows responsible credit management. |
| 4. | New credit – about 10% of a FICO score If you have recently applied for or opened new credit accounts, your credit score will weigh this fact against the rest of your credit history. FICO scores distinguish between a search for a single loan and a search for many new credit lines, in part by the length of time over which inquiries occur. If you need a loan, do your rate shopping within a focused period of time, such as 30 days, to avoid lowering your FICO score. |
| 5. | Other factors – about 10% of a FICO score Several minor factors also can influence your score. For example, having a mix of credit types on your credit report – credit cards, installment loans such as a mortgage or auto loan, and personal lines of credit – is normal for people with longer credit histories and can add slightly to their scores. |
There are many resourses available to check your credit. Make sure you keep your credit in good health. It may come in handy some day…
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