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        <title>Real Estate Blog</title>
        <link>http://www.springfieldassist2sell.com/blog/</link>
        <description></description>
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            <guid>http://www.springfieldassist2sell.com/blog/open-house-sunday-21912-2-4pm.html</guid>
            <link>http://www.springfieldassist2sell.com/blog/open-house-sunday-21912-2-4pm.html</link>
            <author>jstewart@assist2sell.com (Jim Stewart)</author>
            <title>OPEN HOUSE SUNDAY - 2/19/12 2-4p.m.</title>
            <description> <![CDATA[ 508 W. Walnut, Ozark, MO - 2/19/12, 2-4 p.m. ]]> </description>
            <pubDate>Fri, 17 Feb 2012 08:52:33 -0600</pubDate>
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            <guid>http://www.springfieldassist2sell.com/blog/december-and-full-year-2011-real-estate-sales.html</guid>
            <link>http://www.springfieldassist2sell.com/blog/december-and-full-year-2011-real-estate-sales.html</link>
            <author>jstewart@assist2sell.com (Jim Stewart)</author>
            <title>December and Full Year 2011 Real Estate Sales</title>
            <description> <![CDATA[ 
Sales in the Springfield market
area were essentially flat in December compared to the same month one year ago. Total sales were
394 units in Dec, 2011 compared to 384 units in Oct, 2010. For the year, 2011
sales ended down 7.05% compared to 2010. 
There were 5,392 residential homes sold through the Greater Springfield
Board of Realtors MLS system in 2011 compared to 5,801 in 2010.


The median selling price in Dec, 2011 fell 8.55% to $99,900
compared to $109,250 in Dec, 2010.  December’s sub-$100,000 median price
is the third month in a row prices have been below six figures and the sixth
month in the last 12 at $100,000 or less. 
 For the full year median home
prices fell 5.32%.  Median prices have
been bouncing in a tight range between around $100,000 and $110,000 since
August, 2010.  It remains to be seen
whether the last three months at around $99,900 represent a floor in prices or
just a consolidation pattern in preparation of another leg down but I’m optimistic
that we’ve seen the worst of the declines. 
The economy continues to slowly improve and hiring has begun to
improve.  


Foreclosures made up 22.9% of all sales in 2011.  The median selling price on foreclosures was
44% less than the median selling price of non-foreclosure homes in 2011.


Interest rates continue to be remarkably low with the 30 year
fixed rate loan hovering around 4%. The principal and interest payment on a 30
year, $100,000 loan at 4% APR is only $477.42!  Consider that homes in
this price range can rent from $750 to $900 per month.  Even after tacking
on for taxes and insurance you can still own for potentially $200+ per month
less than renting the same home!  Although it's a bit of a cliché, these
rates coupled with the fall in prices really do represent a great opportunity
in home affordability.  

Jim StewartCertified Distressed Property ExpertBroker/OfficerAssist 2 SellNew Home Sales, LLC417-889-7000 ]]> </description>
            <pubDate>Mon, 09 Jan 2012 17:53:32 -0600</pubDate>
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            <guid>http://www.springfieldassist2sell.com/blog/im-sorry-but-you-must-have-income-to-get-a-mortgage.html</guid>
            <link>http://www.springfieldassist2sell.com/blog/im-sorry-but-you-must-have-income-to-get-a-mortgage.html</link>
            <author>jstewart@assist2sell.com (Jim Stewart)</author>
            <title>I’m Sorry But You Must Have Income To Get A Mortgage</title>
            <description> <![CDATA[ 
I’ve recently run across this situation twice in a very short time
frame so I thought it would be good to write this for other prospective buyers
of homes: A prospective home buyer finds a home they really like and want me to
help them buy it.  Great!  The buyer has a high down payment of
20%+.  Fantastic!  The buyer has plenty of cash left over in
reserves.  Awesome!  Their credit is A-OK!  Incredible! 
The problem is that in neither case did the potential buyer have enough
income to qualify for the mortgage.  One
is self-employed with lots of revenue but writes off so many expenses that
their net income as shown on their taxes wouldn’t even be enough to pay the
monthly utilities.  The second potential
buyer works part time while looking for full time employment.  Both are very upset that they can’t get a
loan.  They felt that given the amount
of money they are putting down that banks should be lining up to give them a
mortgage.  Unfortunately, it doesn’t work
that way anymore.  Thanks
to the “liar loans” and “NINJA loans” of five to seven years ago having blown
up in a major way, you MUST show enough income to be able to afford the
payments.  Banks don’t care how much
money you have socked away or about how high your credit score or how awesome
your prospects for the future are unless you have the current, provable income
to back it up.  While it may seem that
the old adage that banks only lend to people who don’t need loans seems to be
making a comeback, it’s really not the case. 
Banks are lending and loans are cheap right now (30 year fixed rate
mortgages around 4%!).  But, you do have
to meet ALL of the qualification standards. 
If you need help understanding all of this or would like to just speak
to someone about whether you qualify for a mortgage, just give us a call at
Assist 2 Sell and we can refer you to a mortgage professional who can help you
make sense of it all.  



Cheers!
Jim Stewart
Certified Distressed Property Expert
Broker/Officer417-889-7000 
 ]]> </description>
            <pubDate>Thu, 17 Nov 2011 11:38:17 -0600</pubDate>
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            <guid>http://www.springfieldassist2sell.com/blog/springfield-area-home-sales-october-2011.html</guid>
            <link>http://www.springfieldassist2sell.com/blog/springfield-area-home-sales-october-2011.html</link>
            <author>jstewart@assist2sell.com (Jim Stewart)</author>
            <title>Springfield Area Home Sales, October, 2011</title>
            <description> <![CDATA[ 
Sales in the Springfield market area were basically flat in
October compared to a year ago. Total sales were 448 units in Oct, 2011 compared to
453 units in Oct, 2010. For the year sales are down 7.4% compared to last year.


The median selling price in Oct, 2011 fell 7% to $99,950
compared to $107,500 in Oct, 2010.  This fall
in prices to around $100,000 seems to be a floor though.  Median prices have been right around $100,000
five times in the last year but have rebounded the next month every time.  There seems to be a reaction from the buying
public when prices fall to this point. 
Buyers step in and start bidding prices back up. My intuition is that
this is primarily investor bidding but only have anecdotal evidence of this.


Foreclosures continue to be strong. Year to date
foreclosures have been 22.6% of all sales even though they only make up 5.27%
of all listings.  Price is obviously why.
The median selling price on foreclosures is 44% LESS than the median selling
price of non-foreclosure homes.


Interest rates continue to be remarkably low with the 30
year fixed rate loan hovering around 4%. The principal and interest payment on a 30 year, $100,000 loan at 4% is only $477.42!  Consider that homes in this price range can rent from $800 to $900 per month.  Even after tacking on for taxes and insurance you can still own for potentially $200+ per month less than renting the same home!  Although it's a bit of a cliché, these
rates coupled with the fall in prices really do represent a great opportunity
in home affordability.  


Jim StewartCertified Distressed Property ExpertBroker/OfficerAssist 2 SellNew Home Sales, LLC417-889-7000 
 ]]> </description>
            <pubDate>Mon, 07 Nov 2011 15:55:59 -0600</pubDate>
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            <guid>http://www.springfieldassist2sell.com/blog/renewed-trust-for-tough-times.html</guid>
            <link>http://www.springfieldassist2sell.com/blog/renewed-trust-for-tough-times.html</link>
            <author>jstewart@assist2sell.com (Jim Stewart)</author>
            <title>Renewed Trust for Tough Times</title>
            <description> <![CDATA[ 
Does it feel like trust is one of the major casualties
of the economic meltdown of 2008 – followed by the “Great Recession,” the
“Jobless Recovery” and now the threat of a “Double Dip Recession?” 


Weren’t we assured that home values were destined to go up
and up and up?


There have been lots of promises that help is on the way—and
lots of warnings of scams and schemes that have only served to confuse the
matter. So where’s a homeowner who’s underwater or overleveraged to turn?


Here’s the bottom line: the choices that homeowners make
when they feel they are at the end of their rope will have ramifications for
years to come on their ability to qualify for credit, their job prospects,
their security clearance and their overall finances. When a family’s financial
trajectory is rapidly heading in a negative direction, there’s no substitute
for the helping hand of a knowledgeable expert who has the integrity, the
experience and the training to reverse the course—someone who is tapped into
regulatory initiatives and can separate fact from fiction. 


It is my mission to serve as a credible source of
information and perspective to homeowners who have found themselves in a tough
situation and need help sorting through their options. That’s why I sought out
the Certified Distressed Property (CDPE) designation—the most renowned and
recognized credential in the distressed property field, and it’s why I continue
to stay on top of regulatory and industry developments that impact options
available to homeowners who are struggling with their current financial
situations.


My message to homeowners who do not know where to turn:
there is hope. Foreclosure is not inevitable and neither the
government nor your bank wants to see that happen. No one expected to find
themselves on the brink of foreclosure, but I have worked with countless
clients who have managed to turn their financial trajectory around and get on a
path of financial recovery.  


It CAN be done! If you or someone you love is being dragged
down by an unaffordable mortgage, call me! 
I can help!  I may very well be
able to get you out of that mortgage and owe nothing to the bank.  417-889-7000. 
It would be my privilege to help. 



Jim Stewart
CDPE
 ]]> </description>
            <pubDate>Thu, 01 Sep 2011 09:59:13 -0500</pubDate>
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            <guid>http://www.springfieldassist2sell.com/blog/handling-the-stress-of-an-unaffordable-mortgage-payment.html</guid>
            <link>http://www.springfieldassist2sell.com/blog/handling-the-stress-of-an-unaffordable-mortgage-payment.html</link>
            <author>jstewart@assist2sell.com (Jim Stewart)</author>
            <title>Handling the Stress of an Unaffordable Mortgage Payment</title>
            <description> <![CDATA[ 



Whenever I research the latest foreclosure and distressed
property statistics, the sheer number of Americans facing the stress of losing
their homes amazes me.  Additionally, somewhere between one in four and one in five of all homeowners owe more on their home than it is worth.  It is my goal to
help as many homeowners I can either stay in their homes or relieve the burden
of their mortgages. Knowing that there are so many that need my help is a
driving force for me to continue doing what I do.


In fact, I just released a new report that I’ve made
available here. It explains the CDPE designation and lists 10
options that homeowners can take advantage of to relieve the stress that comes
with owing their mortgage lenders more money than they can afford to pay.


The report also draws a contrast between short sales and
foreclosures. Unfortunately, there’s a growing trend of “strategic defaulters”
who think it’s smart to let their home go into foreclosure. As any one who
follows this blog knows, there is nothing strategic about foreclosure; it’s one
of the most long-lasting, negative financial challenges you can go through.



I’m
excited about acting as a resource for more homeowners who have questions about
what they should do. As always, if you know homeowners who may need my help,
have them contact me immediately! Together, we can put them back on the path to
financial stability.


Jim StewartCertified Distressed Property Expert (CDPE) 
 ]]> </description>
            <pubDate>Tue, 09 Aug 2011 13:59:46 -0500</pubDate>
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            <guid>http://www.springfieldassist2sell.com/blog/article-2012-budget-could-limit-mortgage-interest-deduction.html</guid>
            <link>http://www.springfieldassist2sell.com/blog/article-2012-budget-could-limit-mortgage-interest-deduction.html</link>
            <author>jstewart@assist2sell.com (Jim Stewart)</author>
            <title>Article: 2012 Budget Could Limit Mortgage Interest Deduction</title>
            <description> <![CDATA[ 
Below is an article from Realty Trac, a foreclosure tracking company, regarding the potential future of the home mortgage interest deduction.  Very interesting stuff.  What are your thoughts??


 


2012 Budget Could Limit Mortgage Interest Deduction  


 


While President Obama’s proposed 2012 budget plan doesn’t specifically target the mortgage interest deduction by name, many believe it could be collateral damage from the 30 percent reduction in itemized deductions on income taxes — which the budget said is necessary to pay for a “three-year patch to prevent an increase in taxes on middle-class families through the Alternative Minimum Tax (AMT)."


 


The Obama budget plan argues that the reduction “would bring these rates back to where they were during the last year of the Reagan presidency, and if enacted, this provision would be the largest single reduction in revenue-spending since the 1986 tax reform.”


 


But while most observers agree that the new budget plan could reduce the mortgage interest deduction for some homeowners, they differ on whether this is a good policy for the country and the housing market.


 


Keep the Mortgage Deduction “As the leading advocate for housing and home ownership issues, NAR firmly believes that the mortgage interest deduction (MID) is vital to the stability of the American housing market and economy,” said Ron Phipps, president of the National Association of REALTORS® in an official NAR statement opposing any mortgage interest deduction (MID) cuts. “NAR is actively engaged on behalf of the nation’s 75 million home owners and 1.1 million Realtors® to ensure that the current deduction is not modified as was recommended in the Deficit Reduction Commission report."


 


Ditch the Mortgage Deduction“When you look at other countries, like Canada, that don’t have the mortgage-interest deduction, they have similar, if not higher mortgage rates,” said Mark Calabria, director of financial regulation at the Cato Institute, who wants to eliminate the MID. “All it does is run up house prices, which to me makes housing less affordable, not more. It also increases the volatility of prices.” 
 ]]> </description>
            <pubDate>Thu, 10 Mar 2011 15:38:56 -0600</pubDate>
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            <guid>http://www.springfieldassist2sell.com/blog/2010-springfield-area-home-sales-end-lower.html</guid>
            <link>http://www.springfieldassist2sell.com/blog/2010-springfield-area-home-sales-end-lower.html</link>
            <author>jstewart@assist2sell.com (Jim Stewart)</author>
            <title>2010 Springfield Area Home Sales End Lower</title>
            <description> <![CDATA[ 
2010 Home Sales Review	


Sales of residential homes in the Greater Springfield metro area fell in 2010 by 4.62% to 5,796 units compared with 6,070 units in 2009.  The 2010 sales number represents a fall of 35% from the peak selling year of 2005 (8,915 units).  	


The 2010 average selling price fell by 4.81% to an average of $125,423 compared with the 2009 average selling price of $131,622.  Interestingly, even though sales peaked in 2005 average selling prices did not peak until January, 2007.  The average sales price in that month was $162,946.  2010’s average selling price represents a 23% drop from the absolute peak.  	


The bulk of sales occurred in the first half of 2010 while tax credits for buying a home being were available.  55% of sales occurred in the first six months of 2010 with 45% occurring in second six months compared to a roughly 50/50 split which is more typical.  Sales of homes priced at $100,000 or less were the largest selling category as would be expected given that the vast majority of the tax credits were aimed at first time home buyers.  Sales in this price category rose by over 9% in 2010.  What was unexpected, however, was that sales of homes priced between $100,000 and $200,000 fell by 15.8% compared with 2009.  In 2009 homes in the $100k to $200k category outsold homes in the under $100k category by a whopping 25%.  However, the under $100k category slightly outsold the $100k to $200k category in 2010.  In fact, the main reason sales fell in 2010 was specifically due to the weakness in homes priced from $100k to $200k.  Sales in the $200k to $300k category were down a modest 4.35% to 527 units and sales above $300k were down 2.5% to 233 units.


2011Outlook


Given the lack of government intervention in the real estate market at this time, I would expect 2011 to represent a more “typical” year, following more traditional patterns of home sales.  The big question mark is this: was 2010 the low point or will sales and prices continue to decline in 2011?  Signs point to continued weakness in prices as bank foreclosures undercut the rest of the market.  Bank foreclosures only make up about 6% of homes currently on the market but they make up close to 25% of all sales!  A study done by the Wall Street Journal in October, 2010 says it will take banks 107 months just to sell the foreclosures they already have on their books.  That’s one month shy of nine years.  Unless something else happens to help sop up that supply (anybody have some bulldozers they aren’t using?) it’s hard to see how foreclosures won’t continue to negatively impact real estate prices.  Adding to the foreclosure problem are underwater homes.  RealtyTrac.com, a foreclosure tracking website, says that 22.5% of all homes in America with a mortgage are underwater, meaning the owners owe more on the mortgage than the home can be sold for.  Many of those homes will end up being foreclosed as well.   	


On the positive  side, interest rates are outstanding and home affordability is better than it’s been in decades.  30 year fixed rate mortgages are being quoted in the 4.75% range as of this writing and have been as low as 3.75% within the last 90 days.  Now, it is true that mortgages are harder to get today than they used to be, but that’s probably a good thing in the long run.  Also, banks aren’t as draconian in this area as they may be in other parts of the country.  Buyers with good jobs and decent credit can still get mortgages with as little as 3.5% down.  In Ozark, Republic, Strafford and other outlying areas you can still get a mortgage with zero down at rates very close to the rates noted. What’s hard to say how long these rates will last.  Given the full one percent rise within the last 90 days or so you might want to act sooner rather than later.  If rates continue to climb the cost of buying a home will increase and the number of qualified buyers will decrease creating a one-two punch of foreclosures and higher rates further depressing prices.  	


The last elephant in the room to affect housing prices is jobs.  Jobs, jobs, jobs, jobs, jobs.  If the employment picture continues to improve, even modestly, housing will be helped to a degree.  Look at it this way:  If you are concerned about losing your job or have lost your job you aren’t going to buy a house, are you?  But if you have a job and it is stable and your bills are paid then you at least might consider it.  I fully believe the one thing that government can do to improve the real estate market is create jobs.  Until jobs come back real estate won’t.  We’re long past the time when the collapse of subprime loans and liar loans were the largest cause of declining housing prices.  Now, it’s unemployment and the continuing economic downturn causing the bulk of foreclosures.  If the politicians can create an effective job creating program you will see real estate start to recover.  If not….	


Ultimately, what I think will happen in 2011 is that prices and sales will be mainly flat to slightly down.  Again, though, if a successful jobs program gets underway that could change in a positive way though it will still take quite a bit of time before meaningful home appreciation starts again.  If you’re a potential home seller sitting there “waiting for the market to come back” you’re going to be waiting a loooong time.  You’d be better off biting the bullet, selling the home you have now and taking advantage of the low interest rates available on your next home.  They won’t last forever and a one percentage point increase in interest rates on a new home will usually way more than make up for any lost equity in your old home.  And if you’re more careful about the next home you purchase you just might be able to make up a whole bunch of that lost equity from the last home.  Likewise, if you’re a buyer and you’re waiting for prices to drop another 20%, I think you’re going to be disappointed and you’ll may miss out on the buying opportunity of a lifetime given the combination of low rates and low prices.  Ask yourself why you’re thinking about buying a home in the first place.  If it’s because you’re expecting it to fund your retirement you might want to rethink unless you’re a professional real estate investor.  If you’re buying to have a place to hang your hat that is yours, not somebody else’s and because it makes financial sense for you to do so, then this is the time to be doing it. 


Written by Jim Stewart,  Marketing Director, Springfield Assist 2 Sell, Home Sales, Inc.
 ]]> </description>
            <pubDate>Fri, 18 Feb 2011 15:00:26 -0600</pubDate>
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