Carpe Diem..Holiday Greetings& Inspirational Quotes..

Holiday Inspirational Quotes: The Challenge..Let others lead small lives, but not you. Let others argue over small things, but not you. Let others cry over small hurts, but not you. Let others leave their future in someone else's hands,but not you. Carpe Diem..If standard of living is your major objective, quality of life almost never improves, but if quality of life is your number one objective, your standard of living almost always improves. When it is obvious that the goals cannot be reached, don't adjust the goals, adjust the action steps. Aim for success, not perfection. Never give up your right to be wrong, because then you will lose the ability to learn new things and move forward with your life. Develop interest in life as you see it; in people, things, literature, music - the world is so rich, simply throbbing with rich treasures, beautiful souls and interesting people. Forget yourself. May the season bring you the music of laughter, and the warmth of friendship and love. Seasons Greetings! Ron

Ron Goldstein Principal,Silver Professionals Broker,Prudential Rubloff Ph: (312)264-5846 Cell: (312)771-7190

New/Existing Condo buyers..Great advice re: your neighbors/assoc. fees

 How your neighbors can tank a condo loan!

Some lenders can make condo buyers with pristine credit feel like rejects. Blame it on the building.
Before making a loan to a would-be buyer, lenders comb through the building's financial statements to see if too many condos remain unsold, or if units are mostly rentals instead of owner-occupied. Lenders also look to see if the building's cash reserves, which help cover maintenance costs, are too low.

 

These factors—which have nothing to do with a potential buyer's finances—can put a chokehold on a loan.
A lot of condo buildings don't make the grade. At national lender EverBank, for instance, roughly 30% of condo mortgage applicants encounter a roadblock due to the building's finances. "A perfect borrower can't fix a bad project," says Tom Wind, executive vice president of residential and consumer lending at EverBank.
Shaky condos have been popping up more frequently over the past two to three years, even in luxury buildings, says Zeke Morris, president of the Chicago Association of Realtors. Real-estate agents say they're also prevalent in other markets, including Houston and Miami.
In general, lenders say they view condos as riskier purchases than other homes. Much of that stems from condo-association fees. If existing owners are behind on those payments or many units remain unsold, monthly fees are likely to rise to help cover costs.
At some point, lenders argue, those expenses could rise to a level where an owner can no longer afford to pay the fees and walks away from the property, leaving the lender with the outstanding mortgage. That's why, currently, it is almost impossible to get a mortgage—regardless of your wealth—if more than 15% of condos in a building are behind on dues, says Jeff Gennarelli, president of Bridgeview Bank Mortgage Co., based in Lombard, Ill.
But luxury buyers have alternatives besides paying all cash for the condo. One is private mortgages, loans that lenders hold on their books rather than sell to the government. They tend to be larger than traditional loans, require larger down payments and are often offered only as adjustable-rate mortgages. Rates are also generally higher than traditional mortgages.
Private loans are sometimes the only source of financing for condos sold in luxury hotels and in buildings where more than 20% or 25% of the units consist of commercial space, like restaurants and shopping malls. They're also common for a condo in a new building where a certain percentage of the units are still owned by the developer.
To find such a loan, borrowers should consider a community bank or other local lending institution where they have a lot of assets or where they have been banking for years, though an existing relationship isn't always required. Or they can ask mortgage brokers who may know a lender willing to fund such a loan.
The opportunity for profit is partly why these lenders take on the risk when others won't. Whatever leniency they offer on a building's finances they often make up for by imposing strict lending requirements, including high credit scores, says Eddie Hoskins, president of First Florida Financial Group, a Fort Myers, Fla.-based mortgage broker that arranges such loans.
Some points to consider when applying for a condo loan:
• Get an early start: Buyers should ask lenders for the list of criteria the building will need to meet; then real-estate agents can provide those answers when potential buyers shop for properties.
• The type of building: Some condo buildings have a greater risk of not being approved for financing. Jonathan Cherry, senior mortgage banker at Wyndham Capital Mortgage based in Charlotte, N.C., says buyers who want to avoid financing complications might want to stick to mid- to larger-size buildings that are mostly owner-occupied.
• Large down payments: With a private mortgage, borrowers often need to make at least a 20% to 30% down payment if it's a primary residence. If it's a second home, they could need to put down at least 40%. For investment purposes, cash is among the few options, since a mortgage may be impossible to get.
• Rising costs: With adjustable-rate mortgages, rates could be low now but rise in a few years, thereby increasing the monthly mortgage payment. And borrowers could still end up with rising condo dues if the other owners in the building hit hard times.
Original source:

 http://articles.marketwatch.com/2012-12-07/finance/35659852_1_condo-loan-condo-buyers-lenders

New year tip:Make your home more energy efficient without breaking the bank!

Energy Efficiency Projects

Going green doesn't have to be daunting. Make use of smart, energy efficient systems in your home to benefit your lifestyle. From insulation and windows to solar power and smart appliances, these projects save you money and help boost market value.

• Insulation

  

  Lower your utility bills and maintain a uniform temperature throughout your home with energy efficient insulation.

  • Trend:4
  • Cost:3
  • Effort:3
  • ROI:5

  • Insulate for Comfort
  • Get Insulation Ideas
  • Reduce Energy Costs

• Water Heater

  

  High efficiency water heaters use 10 to 50 percent less energy than standard heaters and can produce hot water on demand.

  • Trend:3
  • Cost:4
  • Effort:3
  • ROI:3

  • Understand the Technology
  • Find a Water Heater
  • Browse Water-Saving Products

• Appliances

  

  Energy Star appliances conserve water and electricity and offer tax incentives, translating into valuable savings.

  • Trend:4
  • Cost:3
  • Effort:3
  • ROI:4

  • Get Smart With Appliances
  • Appliance Inspiration
  • Check Energy Ratings

• Windows and Doors

  

  Energy efficient windows and doors prevent air leaks, helping thermostats and insulation improve indoor comfort.

  • Trend:3
  • Cost:4
  • Effort:4
  • ROI:5

  • Stop Air Leaks
  • Explore Eco-Friendly Windows and Doors
  • Install New Windows

• Solar

  

  Solar improvements allow homeowners to power their homes with energy from our largest natural resource -- the sun.

  • Trend:2
  • Cost:4
  • Effort:4
  • ROI:3

  • Powered by the Sun
  • Get Tips on Solar Power
  • Eco-Friendly Home Maintenance Tips

Expert's Advice

Energy efficient projects not only pay you back in the long run — with lower utility bills and higher sustainability — but can also be an attractive feature to potential buyers who are looking for a home that already has upgrades and eco-friendly incentives.

More Tips for Adding Home Value

• Do-It-Yourself Energy Efficiency Projects
• Pricing and Home Value Guide
• 10 Ways to Increase Home Value
• Top 10 Home Updates
• Selling Smart in a Buyer's Market
• Ultimate Staging Guide
• Home Seller's Guide 
•  

-original article..

http://www.frontdoor.com/sell/energy-efficiency-projects-upgrades-expert-tips-and-advice-to-add-home-value/56053

MARKET UPTREND EXPECTED THROUGH 2014

Carpe Diem...Real Estate Update

 

MARKET UPTREND EXPECTED THROUGH 2014

 - The housing market recovery should continue through the coming years, assuming there are no further limitations on the availability of mortgage credit or a "fiscal cliff," according to forecast presentations at a residential forum here at the 2012 Realtors® Conference and Expo.

Lawrence Yun , chief economist of the National Association of Realtors®, said the housing market clearly turned around in 2012. "Existing-home sales, new-home sales and housing starts are all recording notable gains this year in contrast with suppressed activity in the previous four years, and all of the major home price measures are showing sustained increases," he said.

"Disruption from Sandy likely will be temporary, notably in New Jersey and New York, but the market is likely to pick up speed within a few months with the need to build new homes in damaged areas," Yun added.

Yun sees no threatening signs for inflation in 2013, but projects it to be in the range of 4 to 6 percent by 2015. "The huge federal budget deficit is likely to push up borrowing costs and raise inflation well above 2 percent," he said.

Rising rents, quantitative easing (the printing of money), federal spending outpacing revenue, and a national debt equal to roughly 10 percent of Gross Domestic Product are all raising inflationary pressures.

Mortgage interest rates are forecast to gradually rise and to average 4.0 percent next year, and 4.6 percent in 2014 from the inflationary pressure.

With rising demand and an ongoing decline in housing inventory, Yun expects meaningfully higher home prices. The national median existing-home price should rise 6.0 percent to $176,100 for all of 2012, and increase another 5.1 percent next year to $185,200; comparable gains are seen in 2014.

"Real estate will be a hedge against inflation, with values rising 15 percent cumulatively over the next three years, also meaning there will be fewer upside-down home owners," Yun said. "Today is a perfect opportunity for moderate-income renters to become successful home owners, but stringent mortgage credit conditions are holding them back."

Existing-home sales this year are forecast to rise 9.0 percent to 4.64 million, followed by an 8.7 percent increase to 5.05 million in 2013; a total of about 5.3 million are seen in 2014.

New-home sales are expected to increase to 368,000 this year from a record low 301,000 in 2011, and grow strongly to 575,000 in 2013. Housing starts are forecast to rise to 776,000 in 2012 from 612,000 last year, and reach 1.13 million next year.

"The growth in new construction sounds very impressive, and it does mark a genuine recovery, but it must be kept in mind that the anticipated volume remains below long-term underlying demand," Yun said. "Unless building activity returns to normal levels in the next couple years, housing shortages could cause home prices to accelerate, and the movement of home prices will be closely tied to the level of housing starts."

"Home sales and construction activity depend on steady job growth, which we are seeing, but thus far we've only regained half of the jobs lost during the recession," Yun said.

Yun projects growth in Gross Domestic Product to be 2.1 percent this year and 2.5 percent in 2013. The unemployment rate is showing slow, steady progress and is expected to decline to about 7.6 percent around the end of 2013. "Of course these projections assume Congress will largely avoid the 'fiscal cliff' scenario," Yun said. "While we're hopeful that something can be accomplished, the alternative would be a likely recession, so automatic spending cuts and tax increases need to be addressed quickly."

Regardless, Yun said that four years from now there will be an even greater disparity in wealth distribution. "People who purchased homes at low prices in the past couple years, including many investors, can expect healthy growth in home equity over the next four years, while renters who were unable to get into the market will be in a weaker position because they are unable to accumulate wealth," he said. "Not only will renters miss out on the price gains, but they'll also face rents rising at faster rates."

Also speaking was Mark Vitner, managing director and senior economist at Wells Fargo, who said the fiscal cliff is the biggest situation that needs to be addressed. "Beyond concerns about the fiscal cliff, the economic improvement seems to be broadening," he said.

"Housing will strengthen in 2013 even if the economy weakens because there is a demand for more construction, and the demand for apartments is rising at a faster rate than the need for more single-family homes," Vitner said. "Unfortunately, apartment construction is focused on about 15 submarkets, so additions to supply will be uneven.

Even with declining market shares of foreclosures and short sales, Vitner said they will continue. "Distressed homes right now are like an after-Christmas sale - most of the best stuff has been picked over, but make no mistake they'll be with us for a while."

Yun projects the market share of distressed sales will decline from about 25 percent in 2012 to 8 percent in 2014.

Ron Goldstein, MBA
Transnational Referral Certified(TRC)
Broker Associate
Prudential RUBLOFF Real Estate
cell (312)771-7190
office(312)264-5846
rgoldstein@rubloff.com
Carpe Diem(Seize the Day!) Today is your day!...
Certified Eco-Broker
www.chicagoluxuryrealty.com
Check out my blog@
http://www.carpediemrealestate.blogspot.com