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Is Now the Time to Buy Gilbert Real Estate?

Gilbert_housing market
photo credit http://bit.ly/YsLn8z

Now is an exciting time for Gilbert real estate as positivity in the economy and the housing market is consistently improving. Before the crash of the housing marketing, buying Gilbert real estate was seen as an exciting investment – a notion many people lost over the grim last few years. Recently, data has come out that backs vast improvements in jobs and housing, so people are starting to become interested in buying again. According to Troy Reeves, founder of the Troy Reeves Team, if you are looking to buy, now is a great time to find your dream Gilbert real estate property.

 

Where to Find Gilbert Real Estate Homes for Sale

Most people have not actually had to look for new homes for some time now, so naturally you may be a little lost when it comes to finding good Gilbert real estate properties. During the last periods of a booming housing market, most people used newspapers to advertise their home for sale, but if that is your source, you might be out of luck. People now are using the internet more than ever to list their Gilbert real estate properties. Search through listings on reputable sites like the Reeves Team webpages for the most up to date and accurate listings. Otherwise, the best method may be to pin down an area and visit neighborhoods in search of for sale signs – this is a great way to scope out the area and visit surrounding amenities before you commit to a certain neighborhood.

 

How to Get the Best Deal on Gilbert Real Estate Homes

Getting the best deal really depends on your individual situation. Visit the scenario below that best describes your current situation.

First Time Buyers

First time buyers are people who have never owned Gilbert real estate before. The best way to save big on your first home is going through a loan program with incentives for first time buyers.

Current Home Owners

If you are a current Gilbert real estate home owner and you want to move, now is a great time to sell your home. It is likely that if you list your house very soon, you will get at or above list price – and that profit can be rolled over to your new home.

Buying Foreclosures

You can undoubtedly get a scorching deal on Gilbert real estate foreclosure properties, but you will have to be on your toes as these properties are becoming less common every day.

Purchasing New Homes

If you want to purchase a new Gilbert real estate build, you can expect to get great deals once contractors are able to build up their inventory. Over the next few months, you can expect to see more and more new builds.

Is the Gilbert Real Estate Market at “Booming” Status?

housing market_gilbert
photo credit http://bit.ly/16p15Gh

A recovering housing market is a sign of a recovering economy and can mean big gains in your Gilbert Real Estate property. It seems like we are hearing positive news every day on the condition of the housing market; according to Troy Reeves, founder of the Troy Reeves Team, now if a great time to sell a home as the market is definitely booming!

 

Why Now is the Hot Time to Sell

According to recent reports and trends in the Gilbert Real Estate housing market, now is the time to think about listing your home for sale. Prices of homes are the highest they have been since the housing market crash and there are many interested buyers on the market today. With people feeling confident about the positive news about the housing market and signs of a recovering economy, buyers are ready to make their move, literally. There is currently an imbalance in the amount of interested buyers and the number of homes on the Gilbert Real Estate market – there are far more buyers than available properties at this time.

 

Builders are Starting New Construction Again

Right now is an interesting time for new construction of Gilbert Real Estate. The construction industry is starting to recover and workers are rapidly rebuilding their crews. Builders are looking to rebuild their businesses and worth in their industry and they are not wasting any time. New construction on homes is starting to pick back up for the first time in years. This means if you wait too long, your listing will be competing with newly constructed homes. Builders are also known for offering better deals and more attractive incentives on homes since they are looking to sell fast and in quantity – this could mean that you will be forced to lower the price of your home if you want to sell quickly once the new construction has caught up to demand.

 

Quick Tips on Selling

Selling your home in the current climate is going to be easier than it has been in the recent years, but a few quick tips could make your Gilbert Real Estate stand out from the rest.

-Post a sign in your yard that’s visible from the road

– Advertise your property for sale on reputable sites

-Use your social media networks to let your connections know you are selling your home

-Let a professional from the Troy Reeves Team take over for the quickest sell!

 

“by Troy Reeves” at Google

Don’t Wait: NOW is the Time to Sell in East Valley!

Due to an unusual shortage in inventory of homes for sale in East Valley, now is the perfect time to sell your home. The Reeves Teams has been watching the Arizona MLS very carefully and we can see that buyers are very active right now and houses are being snatched up. While Troy Reeves believes that the market will continue to grow in East Valley, it will do so at a more manageable rate and buyers will no longer be making knee jerk decisions based on low inventory.

 

Based on our expert projections and by gauging the current market, we do not anticipate there being a better time in the near future to list your property for sale.

 

Get the most money for your home by acting on an extremely ideal situation in the market that has been created by a very specific set of factors – these unique factors are inspiring people to make offers 5-7% above list price. With buyers so ready to purchase a home that they are making those kinds of offers for already inflated prices, your home is a hot commodity right now! Read on to discover why the next 90 days could mean the best offers and quickest sale of your home.

 

Why is NOW so Important?

The urgency to sell now is based off of a frenzy created in the market due to the lowest inventory of homes for sale over the last 26 weeks, and counting. April, May, and June are by far our busiest months for showing homes with May, June, and the beginning of July being our top months for closing. People are getting their tax refunds back and can afford the down payment on a new house – this is something people wait all year to do! Parents are looking to move and get settled into a new community by the time their children go back to school and are not going to wait until the new school year starts to relocate.

gilbert real estate market_listings_2013

 

Why This Year is the Year to Sell

Anyone who sold a home in the 2005-2006 year range remembers a time when multiple offers were being made on homes, and that was during a time when prices were around double what they are now! The situation is very similar in the sense that there are fewer homes for sale than there are interested buyers. Adding to the situation is the fact that there are new six figure industries establishing branches in the area and East Valley is becoming home to several high dollar employment positions – this is helping the median price range of East Valley real estate! With the economy showing signs of stabilization, people are more confident now than they have been since the crash in making important financial decisions.

 

What’s Going to Change in 3 Months? 

What we are going to see very soon is the construction market catching up due to the financial recovery of individuals and businesses. Home builders will start building again very soon and the amount of new homes on the market is going to match or exceed demand. The summer is also a major time for the new home industry since longer working hours allow builders to complete homes in less time. When the new builds catch up to the demand, there will be far less buyers willing to compete with high offers for your home.

 

gilbert real estate market_listings_2013

In three months, people will also be less excited about looking for new homes when they are facing back to school expenses and the approaching holidays once we roll into the fall season. On the other hand, homebuyers do not want to start moving when it is super hot out and prolonged periods loading and unloading moving trucks become dangerous. Sellers have also caught word from the local and national news that the market is coming up and the REO/Bank owned business is on its way down, meaning short sales are not nearly as common as they were this time last year. These factors create a very specific window, and this may be the best year in almost a decade to sell.

 

There’s No Time to Wait

Arizona residents should not wait any longer to list their homes as we believe the window will be closing over the next two months. When the amount of homes listed versus wanted catches up, the market will stabilize and homeowners will find that they have to settle on low ball offers. There’s also no need to hold out on new builds, the Troy Reeves Team can help you purchase a new build at no cost to you! Let us help you get your home sold quickly and at an amazing price, but don’t wait too long or you might miss the best offers for years!

gilbert real estate market_listings_2013

 

“by Troy Reeves” at Google

Understanding Your Financing Options

financeIf there is one thing the media has made us aware of throughout the course of this morgage meltdown, its just how creative(and crazy) lenders were with the financing options.  As the credit from the banks tightened so did the lending options available for buyers.

While most of the exotic loans of the past are gone their are still many financing options available.  Below is a list of options and what it takes to qualify for the loan.

Conventional Loan: A conventional loan is a lender agreement that’s not guaranteed or insured by the federal government. At one point in our history, conventional loans were the only mortgage loans available and they were all made by local lenders such as banks, savings and loans, and credit unions. They kept and serviced these loans in their own portfolio until they were either paid in full or foreclosed on.

A Conventional loan typically requires a large down payment that may not be required when financing through the government, however it does offer more flexibility because you are working directly with a bank.

FHA: FHA loan is a federal assistance mortgage loan in the United States insured by the Federal Housing Administration. The loan may be issued by federally qualified lenders.  FHA primarily serves people who cannot afford a conventional down payment or otherwise do not qualify for PMI.

Required Documentation For FHA Loans

  • A two year history of employment in the same field is required
  • If you are a recent college graduate, your last two years of schooling can be used if you are currently working in your field of study
  • Credit Scores normally need to be above 620 for Conventional financing-580 for FHA and VA looks at a case by case basis
  • If no credit history exists-you may use cell phone bill, cable bill, previous rental history, etc. to establish a “pattern” of good credit payments
  • Proper ID as defined by the Patriot Act (State Driver’s License or Birth Certificate along with a copy of your Social Security card required)
  • Debt Ratios should be below 36/46

VA:  A VA loan is a mortgage loan in the United States guaranteed by the U.S. Department of Veterans Affairs. The VA loan allows veterans 100% financing without private mortgage insurance or 20% second mortgage. A VA funding fee of 0 to 3.3% of the loan amount is paid to the VA and is allowed to be financed. In a purchase, veterans may borrow up to 100% of the sales price or reasonable value of the home, whichever is less. Since there is no monthly PMI more of the mortgage payment goes directly towards qualifying for the loan amount, allowing for larger loans with the same payment.

The VA does not make home loans, they insure them.  We are VA approved and can help you with your VA loan request. Some VA benefits include:
– No downpayment is required in most cases
– Borrow up to 100% of purchase price
– Lower closing costs
– Mortgage is assumable
– No Private Mortgage Insurance (PMI)
– No penalties if you prepay the loan
– You may be eligible for waiver of VA funding fee
– VA support during temporary financial difficulties

GRH: A Guaranteed Rural Housing loan is a federal assistance mortgage loan in the United States insured by the RHS.

Some key features include:
–  No PMI. That’s right, no private mortgage insurance.  Like VA, this program has a Guaranteed fee that can be financed into the loan the same way VA loans have a Funding fee.
– 6% seller help/contribution is allowed
– No minimum contribution from your own funds.  FHA has a 3% requirement.  There are also no cash reserves required, as is the case with your typical conventional loan.
– This program only offers a fixed rate option for primary 1 unit residences.  Current maximum loan amount is $417,000.

requirements for loan:

  • 1-unit primary residences, including single-family dwellings, condominiums, planned unit developments (PUDs) and eligible manufactured homes.
  • Non-farm
  • Leasehold and rehabilitated properties
  • Property must meet the rural designation as defined by RHS

Good Neighbor Next Door Loan: Good Neighbor next door program is made available by HUD so law enforcement and Teachers may purchase a Hud home at half price.  If the police officer or Teacher uses fha financing for this purchase he/she will only need a downpayment of $100 and can finance the closing costs into the loan.

Interest Only and Adjustable Rate loans are still available but given the current market situation they are not used often.

What is Shadow Inventory? And Are Big Banks Manipulating the Real Estate Market?

So it seems to be the new buzz word swirling through the Arizona real estate market these days, but what is the Shadow Inventory? To put it simply, Shadow Inventory is the residential homes that have been given back to the banks(foreclosed on) and processed by the banks, yet have not been put back on the market.

So is the Shadow Inventory buzz true? And wouldn’t it be in the best interest of the banks to sell the homes quickly and make their money faster? The short answer, No. While conventional wisdom would say the quicker the banks get their money the better, in the case of foreclosed homes the opposite seems to be true for two reasons.

  1. Stopping the Bleeding – This is the obvious one, the real estate market has been in a free fall for quite a while now, if the banks dumped all the distressed homes onto the market right now it would devastate an already battered real estate market.  Reducing the inventory of distressed properties will help slow the downfall, and help stabilize the sector.   This helps make the banks remaining inventory more lucrative.
  2. Cooking the books – This is the not so obvious one, the banks have a massive amount of homes being returned to them daily.  When the homes are returned to them they are on the companies books for the price of the loan.  However when the homes are listed and sold the bank must then change the books to reflect the accurate value of the home.  If big banks were to show their true worth, the companies equities and their stock prices would plummet.

Recent studies have compared the amount of foreclosed homes to the amount of listings from the banks.  The result was that only 30 percent of the foreclosures were making it to the market.  The remainder of these homes is what is known as the “Shadow Inventory”.

The revelations of this Shadow Inventory bring up another scary thought.  Is the bottom that we have been experiencing in the market real or is it a false bottom.  Will the bank eventually have to flood the market? Or will their efforts work and stabilize the market indefinitely?

Is it time for me to buy a house in the Phoenix East Valley?

onsaleHave we hit bottom and is now the time for me to be buying a house in the Phoenix East Valley? I know there are several of you out there asking yourself these exact questions.

While it will be impossible for us to tell that we have hit bottom until several months after it has actually happened, the outlook is good for homes on the market under the $200,0000 price range. Homes that fall into this price range make up the majority of properties that are selling in todays market. We are also not seeing the rapid decline in price in these homes that we did in 2007 and 2008. Finally, you can purchase significantly more home than you could have within this price range for the last five years with prices falling over 33% from just a year ago.

When purchasing a property you need to remember that it is much more than an investment; it is a place to raise a family, make memories, spend your free time and yours to do with what you want. While we may not know if we have hit bottom, it is certainly a great time to buy. Interest rates are phenomenal, there are still great loan programs that allow you to get into a property for very little money down and again prices are better than they have been for years.

If you are one those people out there asking yourself these questions take a look at what is out there and I bet you will be surprised. In many cases you can now own for less than what you would pay in rent and not have to ask permission to paint the walls your favorite color. Home ownership is the American dream and today it can very easily be a reality!