My New Blog

I guess you have to start somewhere.  This won't carry much interest for the seasoned blogger but it something I am excited to get going.  I am not sure how to get people to read or even respond to this so if you do come acrossed it please just drop me a note or even advice. 

As everyone is aware the real estate and credit markets are a mess right now.  Unfortunately there is so much bad info out there that buyers have simply locked themselves away and decided now is not the time to buy.  It is hard to blame them when finances seem uncertain and the press takes every opportunity proclaim that loans are unobtainable or prohibitively expensive. 

Nothing could be farther from the truth.  Sure, if you don't have a job, assets or decent credit getting a loan could be difficult or impossible.  Then again, maybe you wouldn't deserve a loan.  However, the loan rules and guidelines are no different than they were 20 years ago.  If you have 3% of your own money or more you can get a loan from FHA.  Up to 20% down you can get a conventional loan from FreddieMac or FannieMae with mortgage insurance (last time I checked you could write mortgage insurance off - check with your tax person).  20% or more down - you are gold as long as your credit doesn't stink. 

Do what you can to maintain good credit.  If you need a lender who can educate you on rebuilding your credit I suggest contacting Dennis Stengel at Dominion Mortgage in Boulder dennis@dominionmtg.com.  He has a program where he signs you up for idnetity theft protection and then moves into credit repair.  This may take some time if you have defaults and lates.  But if you are close he can help you rearrange things in a way that boosts your score.  Since good credit now starts at a 750+ score rather than the 700+ you must be diligent. 

If you are scared about buying or selling right now I have these thoughts for you.  First, prices in the Boulder/Front Range area are as depressed as they are going to get.  As a buyer you won't necessarily benefit from waiting because if there was a bottom we passed it last week. 

As a seller in our area you have not taken much of a hit.  Real Estate markets are local not national.  Just because California and Florida are 30% to 40% in the tank doesn't mean everybody is.  In fact, our statistics show Boulder has flatlined but not gone negative.  You might not be making much but at least you are not losing. 

If your plan is to sell next spring you should get stated as soon as you can.  It takes longer today because buyers are definitely moving slower.  Additionally, this buyers market is a beauty contest.  You better be the best house, in the best condition at the best price.  If you are you no doubt will sell and sell quickly. 

What would I buy if I could?  Find new construction.  Unlike a typical homeowner, builders are not sitting on equity.  They are desperate because they rely on the cash flow from building and selling.  This is where the rock bottom best deals are. 

Some people are wondering about shortsales and foreclosures.  Deals can be had but this is a pain in the you know what!  Unless you have cash and a willingness to rely upon the unknown you should forget about foreclosures until after the bank takes them back.  Remember you cannot inspect them, insure them or take possession immediately.  Shortsales are time consuming and uncertain.  If the home was any good and worth the money it would have sold without the need for a shortsale.  If you are looking at one of these you better be getting a great deal.

I know you are not supposed to blow your own horn in a blog so I will give you only one piece of self serving advice.  You need experienced, trustworthy professionals now more than ever.  Help You Sell declared bankruptcy for a reason.  It is because people discovered that when times get tough you need full service professionals helping you. 

Get a good lender, good broker, good attorney and a good accountant. 

Do they call it a blog because that sounds like blah blah blahg.  This is starting to sound like that so I will check out for now.