Archive for the ‘Real Estate’ Category

Wilderness Ranch 2015 Report

February 29, 2016

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The Annual review of Real Estate sales in Wilderness Ranch and East Boise County for the 2015 year and the 2016 Forecast.
By: Paul Heim & Darcelle Sander of The New View Team at Silvercreek Realty Group

News and Headlines: Idaho Ranks #1 in Job growth at 4.7%.  Boise makes headlines again for best places to live.  Want to learn how Boise ranked nationally for 50 various categories such as ‘Most Caring city’, to ‘Most Artistic Mid Size City’ to ‘Healthiest City for Women to live’?

Great article can be found here showing where we ranked. http://www.bvep.org/facts/national-accolades.aspx


Year at a Glance:

graph$0 – $69,999 = 9
$70,000 – $89,999 = 4
$90,000 – $99,999 = 2
$100,000 – $119,999 = 13
$120,000 – $159,999 = 9
$160,000 – $199,999 = 15
$200,000 – 249,999 = 14
$250,000 – 299,999 = 7
$300,000 – $399,999 = 4
$400,000 – $499,999 = 6
$500,000 – $599,000 = 2
$600,000 – 699,000 = 0
$700,000 – $799,999 = 1
$800,000 – $900,000 = 1

graph2East Boise County Statistics
Sales Price VS. List Price 96.5% of list price
Average Days on Market 109•    There were 89 home sales in 2015 out of 143 listings.   That is close to a 63% absorption rate and ahead of 2014 by 13%
•    Of which 3 were Short Sales
•    13 of the homes sold were Foreclosed or HUD Home sales (distressed) on par with 2014
•    5 Current Pending Sales as of Jan 21st 2016
•    Highest priced sale $825,000 in Rocky Canyon and lowest priced $40,000  with 800 sq ft in Clear Creek area
•    31 Active listings as of this report
•    Average Days on Market (DOM) 105 days
•    Average list price to actual sale price was only 3.5% difference

We were privileged to be part of the great sales in Wilderness Ranch in 2015 and we look forward to many more slated to close by Spring 2016.

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Wilderness Ranch Statistics

• There were 15 Home Sales out of a Total of 24 Listings. Plus counting 3 pending sales in 2015 that closed in January 2016 that is a 75% absorption rate
• One Short Sale
• 3 of the homes sold were Foreclosed or HUD (distressed) of which one is pending still
• 3 Current Pending Sales as of Jan 21th 2015
• Highest Priced sale was $389,900 and lowest priced sale was $110,300 (HUD Home)
• Average non distressed home value was $282,927 up from 2014 average of $236,356
• With a average price per square foot of $121.72 up from 2015 average $118.36
• Average list price to sale was around 2.2%
• Currently there are 3 active home listings
• Average DOM, 93 days

bannerGeneral News and Local Economic Forecast:
2016 Forecast:  The Treasure valley is expected to see continued growth in the Real Estate Market but not as robust as the previous year that experienced double digit gains in some areas.  However last year was a pretty exceptional year.  For 2016 expected growth rates of 6 to 7% are predicted for the Treasure Valley, and if that holds true, it validates we are moving into a more stable and sustainable market.

Activity seems to have started early this year.  In January we closed two properties in Wilderness Ranch and put four additional pending. Already seeing some song birds and robins in abundance so maybe nature is predicting an early spring.  That would be welcoming.  If you’re considering Selling we are recommending to start early this year.  If you would like a free evaluation and consultation of your property on how to prepare your home prior to selling then call or write anytime.  Always happy to help.  We invest a lot into the community and want you to get the best back.

Interest rates are still being held low artificially, but consensus is we will see mortgage interest rates climb this year to around 5% to 5.25% which historically is still very low.  However if you were thinking of refinancing, this spring would be a good time if you have been procrastinating.

We are always easy to reach, so write or call. Often we may be driving up in the hills in Boise County but leave a message and we will always respond back quickly.

To stay up to speed remember to visit Idaho Mountain Real Estate and for Boise County in general visit homes in boise county and if you get a chance stop in and please give us a like on facebook www.facebook.com/WildernessRanchHomes .

Mortgage or a Note to a Deed of Trust?

June 16, 2014

Often people commonly use the word Mortgage when they take a home loan.  A true Mortgage however is much different from a ‘Note to a Deed of Trust’ which make up the majority of all home sales.

Mortgages typically deal with homes with 40+ more acres and were designed for Farm, Ranches and large Estates.  That will be another article….. today we will touch on a ‘Note to a Deed of Trust’ .  What is it?  How typical is it?  Why do banks use them’?

For real estate purchases, state law requires either a mortgage or a deed of trust to provide security for a home loan. In many ways, a deed of trust functions like a mortgage. However, one major difference between the two lies in who holds the legal title for the home while the loan is being paid. In a deed of trust, the legal title is held by the trustee, often an escrow company, while the equitable title is held by the borrower. Also, in a deed of trust, a foreclosure can be conducted outside of the courts, which is almost always faster and less costly than a judicial foreclosure.

A deed of trust secures repayment of the loan by placing a lien on the property. There are three parties to a deed of trust: the borrower, the lender, and a trustee. Some states permit both a deed of trust and mortgage, while others use just one or the other. A deed of trust is always used together with a promissory note, which is a contract that sets and controls the terms of the loan and repayment. The trust deed is simply a security instrument—without it, the note still creates indebtedness, but it is an unsecured debt. The money would still be owed, but a lender would not be able to force a sale in satisfaction of the note without going to court as an unsecured creditor.

When a note is secured by a deed of trust, it allows the loan holder to take back the property if the conditions for repayment aren’t met. Remember that with a deed of trust, this can be done without court proceedings.   The deed of trust, not the note, is recorded with the county recorder in the county where the property is located and indexed in the public records.

 

For more information on deeds and to purchase real estate deeds for your county and state, visit

deeds.com.

How to Prevent Becoming an Overwhelmed Home Shopper

May 2, 2014

Searching for a new home, while exciting as it can be, often can be a very emotionally exhaustive exercise for a Buyer.   How does a Real Estate Agent help a buyer with ‘Home Shopping Fatigue’?

Don’t know if you have ever had a chance to dine at the Cheesecake Factory.  Wow what a menu!  Choices upon choices and more choices; in fact about 50 pages of them.   As intoxicating as that may sound, you can spend a half hour just trying to decide what to order.  My waiter comes back after about five minutes and says ‘Are you ready to order yet’?  and I have to tell him “I’m only on page five of ten of the appetizer section of the menu sorry”.

Where an agent brings value to his client is by quickly learning and understanding the needs and wants of a buyer, which can often be two separate things.

The problem lies here: ‘What a Buyer doesn’t know, he doesn’t know’. An experienced agent realizes that a buyer often starts with an idea or picture in his head, but after viewing actual properties their ideas, needs and wants will tend to evolve.  It is important to listen and ask thought provoking questions which will require the Buyer to honestly evaluate and discern where they can be flexible and where they cannot.  No home will ever give you 100%, even if you build it from scratch, after you were done there would be things you wished you did different. Try this with each property:

  • A good technique is to give each home a nick name.  That will help you better recall them, because after viewing a number of homes they can blur.
  • Rate each home 1 to 5 stars and half stars count, even quarter stars if need be.  This will assist in the process of elimination as you rehash the homes you visited.  It will also help clearly define which things on the list are more important.

Once you have a clear picture of their needs, wants and desires, you as an agent can assist them by narrowing the search criteria to homes that will conform more closely to the items they cannot compromise on. Remember that your client is not just buying a house, their buying a home.  Happy House Hunting!

Closing a Real Estate Transaction – What to Expect

July 31, 2013

When you are purchasing a home, the closing is the last piece of the puzzle before you receive your keys to move into your new home. Your closing day may seem to move like a whirlwind, as there are many steps in the process that make sure everything is done professionally and accurately. What can you expect at closing? There are many things you need to know but here are a few of the basics.

First; the closing will generally be held at a Title Company, at an agreed location. However, depending on the circumstances, situation, and/or state you live in, it may also be conducted at your lender’s office, a real estate attorney’s office, or anywhere else that is legal and has been agreed upon.

There could be a number of different people who will attend the closing, such as your attorney, the seller and their attorney, both real estate professionals, your lender, the builder’s representative, the title company, a notary public and a closing escrow agent. It all depends on many different factors, such as; if it is a new construction home or existing, if there are attorneys involved, and the type of property that is being purchased. In many places the seller and buyer may sign at separate times. In some areas it may be customary for everyone to be at the same table at the same time.

Once the day and time has been scheduled for everyone at the agreed location, the closing process begins. Your closing escrow agent will review a settlement statement with you also known as the HUD (Housing and Urban Development) form, summarizing all the charges, credits and misc expenses that pertain to your particular purchase such as; title fees, loan fees, and other associated charges and credits that may apply based on the contracted details of your purchase.

When everything has been explained thoroughly and clearly so that everyone understands and is in agreement, then signing commences. The items you will have to sign may vary depending on the type of transaction. As an example; a cash deal will require a lot less forms to complete versus a standard ‘Conventional’ loan, but an ‘FHA’ (Federal Housing Authority) or ‘VA’ (Veterans Administration) loan will require a great deal more paperwork to review. Other documents you will also need to sign are the ‘Deed of Trust’ or mortgage, the promissory note, and the Clarity Commitment document. There might be other items to sign depending on your own specific situation and location.

Generally if you are financing your home then you will probably be required to provide evidence of homeowners insurance known as a ‘Binder; and in some cases the inspections that were performed on the home. Most all lenders require the buyer to have a homeowners insurance policy in place before they can sign over the home. This ensures that the lenders interests in the home are protected in case of a catastrophic event such as fire, water damage, etc.. This may also vary depending on your States requirements.

You will provide your down payment, closing costs, prepaid interest, taxes and insurance by using a certified or cashier’s check in most cases. Ask your closing agent what is the best form of payment that is acceptable. After all the parties involved have completed and signed all documents pertaining to the transaction, the lender (if applicable) will be notified to release funds to the closing escrow officer who will then distribute said monies as instructed by the agreement to the appropriate parties. The final step: Your new transaction will be recorded with the state, designating you as the rightful owner of your new home. In some states full funding may occur at the closing table, other states only after recording. Check with your agent for what is typical to expect in your State or area.

In order to cover everything, sign and delegate funds, the closing procedure may seem like a lengthy process. But once everything completed and all payments are distributed, the closing will be complete and you get the keys to move in to your new home.

About the Guest Author
Winter Park Colorado Real Estate Company, Coldwell Banker Mountain Properties is pleased to bring you this article on what to expect during a closing. Coldwell Mountain deals with Grand County Real Estate in Colorado. If you are interested in seeing their listings, check out their website today.

2012 Wilderness Ranch Idaho Annual Real Estate Sales Report

February 4, 2013

NewViewFBLogo                                                                     

Our Annual Review of Real Estate sales in Wilderness Ranch for 2012 and your 2013 forecast.

By: Paul Heim & The New View Team

Wow what a year!  While I had forecasted in last year’s report that we had passed the bell curve and would see an increase in market values for 2012, the market surpassed what anyone had expected or predicted.  We saw an unprecedented turn around in the Treasure Valley real estate market.  Overall values increased anywhere from 10% to 15%. These gains were primarily in homes under $350,000 but higher priced homes benefited also.

What were the causes and effects?  What we witnessed was a market correction.  It showed that homes had become undervalued.  I like to use the Circuit City analogy.  ‘Best Buy won the war’, … however I would bet Circuit City had way more customers the last four months they were open during  their  ‘Going Out of Business Sale’.  Best Buy had no way to compete with their prices those last months, but after their biggest competitor was finally gone, they knew they would see a spike in their growth and profit.

Likewise, as the banks ‘Going Out of Business Sales’ (foreclosed homes) were nearing a completion, the average seller was not able to compete with these prices.  We then entered a period of contraction.  This simply means we had more buyers than available listed properties.  Supply and demand rules ensued.

With the low inventory of listings on the market, we often dealt with multiple bids in the Valley when homes were priced competitively.  But how did Boise County and Wilderness Ranch fair in comparison? 

In 2012 East Boise County finally crossed an important barrier.  For 18 months we had no sales over $230,000 and that was causing difficulty in appraisals.  Not that the value wasn’t there in higher priced homes, just that appraisers couldn’t validate them for the lenders and the lenders need the appraisals to issue the loans.   The New View Team was able to complete two high-end sales (Boise County, but not in WR) very early spring, (cash deals) that helped remove that barrier and set precedence for every other sale and refinance that occurred moving forward in 2012.

Boise County tends to lag behind the Boise Valley (Ada County) by six to twelve months typically.   The Boise Valley saw a noticeable turn in the market starting the fourth quarter of 2011 so we anticipated it to carry over to Boise County by spring, but as summer set in it happened better than anyone had expected.  No complaints here!

Here are some graphs to illustrate key trends in the Boise Valley and East Boise County Real Estate Markets

Idaho Mountain Real Estate Stats

Homes in Idaho

How home sales compared in Boise County Idaho and Wilderness Ranch 2003 through 2012

2013 Forecast:

Boise is still seeing a contraction as developers try to re-group and get approval on new parcels through the hoops of planning and zoning for building.

I expect to see more homeowners (who were previously tight on the current value vs. what they owe) attempt to list in 2013, now that values have increased.  Nationally, home prices are predicted to increase 1% to 3%, but I predict Treasure Valley real estate increases to be somewhere between 3% to 5% conservatively.

In part, this projected increase will be due to a rebound in land values, which affects ‘over all’ home values.

Boise County, I believe, will see the START of a land recovery in Spring of 2013.  Whether it will do as good as housing did in 2012 is yet to be seen.  If you are looking to invest, then NOW may be a good opportunity to consider land, prior to a potential rebound.

I would suspect we will see more building and new construction homes taking place in Boise County in 2013.

There are some other exciting things happening in Boise County potentially for 2013 and we will keep you updated with them as the year progresses.  Some highlights are:

–          The opening of the Hot Springs in Idaho City which will help this end of the county economically.

–          Dr Matt Nelson’s new Family Practice office, which will be located directly across from the old Rock’s Lodge.

If you have any real estate related questions, please feel free to call or email us anytime, or visit our website!  We would love to hear from you.

Paul Heim & the New View Team

(208) 344-5700 – office

(208) 794-8175 – Paul Mobile

http://www.NewViewRE.com

What is there to do in Boise ID

October 14, 2012

What’s all the fuss about Boise Idaho?  Why is it always ranked high for best places to raise a family.  Is it the most beautiful place on the planet, no but it is very mountainous and beautiful and offers a quick easy escape to nature in almost any direction.  Is it the cheapest on the planet?  No, but the quality of life dollar for dollar is significantly better compared to most states and cities with the same amenities.  Did I mention the friendliness you find everyday.  You will find a large amount of big city amenities but still have the small town friendly feel. That is why many migrate here to raise a family and many others choose to retire here. But isn’t Idaho just a lot of potatoes?   Common misconception,… I know you were thinking that.    Actually Idaho is the largest exporter of wheat, so wheat overrules potatoes.

Idaho offers more wilderness land than any other US state outside of Alaska.  If you flattened Idaho out it would be larger than the state of Texas. You could spend a lifetime exploring it.

But what does it have to offer for day to day living you may ask?   Besides the great dining, I have compiled a list of places to go and explore when you make your way here for a visit.  Maybe you already live here, so here is a bucket list to complete.

Boise Zoo , Idaho Birds Of Prey Center, Idaho State Historical Museum, Basque Block, Egyptian Theatre,  Boise Idaho Ballet ,   Julia Davis Park,  Live After Five,  Boise Philharmonic,  Discovery Center of Idaho,  Idaho Dance Theatre Inc.,   Boise State Broncos football , Idaho Shakespeare Festival,  Boise Opera,  Live Music and Concerts,  Bogus Basin Ski Resort , Lucky Peak Reservoir , Ann Morrison Nature Park,  not to mention ‘Fly Fishing’, great Bike trails, hiking the Boise foot hills, ‘White Water Rafting, comedy clubs, restaurants and pubs with a relaxing night life and much much more.  Don’t forget to check out the Boise Greenbelt a 25 mile long paved path that meanders along the scenic Boise river.

These are a few of my favorite things.  What have you discovered in Idaho.  Please share.

Idaho Statesman reports about the recent real estate frenzy we are feeling in the Boise Treasure Valley area.

June 15, 2012

The Boise market has really been heating up.  An article written by the Statesman “Shortage of homes for sale creates fierce competition”  describes the current conditions we also are experiencing here.  Their article  refers to the L.A. area but mirrors the same frustrations many buyers are having here in Idaho.

Recommended reading.  There are a number of factors that are contributing to this in the treasure valley;
  • We are experiencing an all time low of viable home listings, so the law of supply and demand takes affect.
  •  Boise is an influx city with predictions of continued growth through 2020.
  • Many people are still migrating here,  a high number of which are either newly retired, about to retire in the next year or two and/or semi retired and buying now.  The upside to this is the strong capital they bring to the market as they generally either buy out right or borrow very little on a mortgage.  This in turn helps create a solid foundation in the market.
  • Boise also offers a lot of amenities for families.  I have dealt with many that have relocated here specifically because the environment fosters a great atmosphere to raise their children.
  • Cost of living is reasonable and very moderate compared to most other cities with a major airport.
  • Boise offers a mix of values and services that appeals to everyone but still maintains that small town politeness.

Boise is the only place I ever lived where I look forward to coming home from vacation.  Please let me know how you feel about Boise life and what are your predictions.  I look forward to viewing your opinion.

How Your Mortgage Limit Is Decided

May 28, 2012

Buying a home can require a huge capital investment, financially and emotionally.  People may use all their savings and most parts of their income to land their dream home. After all, this is what everyone cherishes in life, the American dream per-say. However, a person planning to buy a house has to ask himself; “how much house can I afford?”.  The individual’s ability to afford a house is decided, not by the prospective home buyer but it is the job of the mortgage lender to decipher one’s mortgage limit and buying capabilities. There are several factors that determine home affordability. Some of them are given below.

Determining the factors of home affordability:

Qualification ratios are one of the primary factors of determining the mortgage limit. Here is how the factors break down for approving the real estate loan limit for a person.

Backend Ratio: AKA your ‘Debt-to-income ratio’.   Banks and mortgage lenders will need to determine how much of your income is being allocated to repay your other debts like existing mortgages, credit card bills, medical expenses, car payments, etc….   Banks are looking for a debt-to-income ratio that does not exceed the 36% range. So if you need to get a quick idea of your ratios then you can make use of several free online debt-to-income tools, calculators and similar widgets.  This will give you a general idea about your home affordability.

Front End Ratio: This is also known as your housing expense ratio.  This will be used by your creditors to determine the amount of money you will spend towards making the actual mortgage payments.  The amount paid will encompass what is referred to in the industry as PITI, which stands for ‘Principle, Interest, Taxes & Insurance’ and any other obligatory charges.  A suitable home expense ratio should not exceed 28% of what you earn.

Credit Rating: Banks and Mortgage lenders will review your credit report before they approve your loan. Credit history and credit score play a vital role in deciding whether or not you are eligible for a loan. Based on your credit score and history, your prospective mortgage lender can evaluate the loan limit.

Financial Duties: Besides the above factors, mortgage lenders will verify whether or not you are regular in paying your taxes and other financial obligations such as child support or alimony if applicable. You will have to provide your tax returns to verify your income and establish your source of income.

Getting a mortgage isn’t that daunting but it is not always that easy either, especially if it is a second mortgage, but that is another article. So contact your Mortgage Lender today to discover “how much home you can you afford”, this will give you a sound idea about what and where you can start looking to buy your next house.
Disclaimer; This is solely an informative guest post by Peter Harper on the ‘Idaho Real Estate Blog’ and not an endorsement of services.

Is the Real Estate Market Shaping Up? Read the Realtors® Confidence Index Report and Market Outlook

May 25, 2012

Where is the housing market now and where will it go?  Read the comprehensive market forecast report by the Realtors® Association for the remaining 2012 and upcoming 2013 year.  It covers home sales, increases and decreases, distressed property reporting and buyer and seller confidence rankings.  Then it considers the current issues at hand.  

Boise Idaho – What’s The Hype About?

March 29, 2011

Boise Idaho Relocation Guide

Idaho is a beautiful state filled with mountains and lakes. The capital city of Idaho is Boise and the state is landlocked; it is surrounded by Monatana, Wyoming, Nevada, Oregon, British Colombia and Utah. The state has a population of approximately 1.5 million people. For families considering moving to Idaho, here are some practical facts that you`ll need to know.

The cost of living in Idaho is one of the lowest in all of the western states. This is based on groceries, transport, health care, average cost of housing, utilities as well as other services. Idaho has an extremely low crime rate, which is great news for families who are thinking about moving there; according to statistics from the FBI, this state has the lowest crime rate in the west of the country. The rate of crime which is serious is more than a fifth less than the national rate.

In terms of education, Idaho is one of the top states in the country for adults who are aged 25 and over that have received their high school diploma. Almost three fifths of the general fund of the state is used for educational purposes and the majority of children who are of school age go to public schools. Nearly every city in Idaho which has a population of more than 20,000 people has a university or a college as well as technical training centers which teach vocational work.

Idaho is an environmentally friendly state; due to its mountainous location, the water which flows from these higher regions is of good quality. Air quality is also of a high standard, bar during certain months when the pollen count is higher.

Housing in Idaho is very affordable and moderate; there is a wide range of choice available, from luxury estates to simple cottages, depending on your family`s budget.

The economy in Idaho is diversified and strong.  Some of the main industries include agriculture and manufacturing but retail, tourism, tech work, information services, business and health care are also sectors which are growing quite rapidly. There are plenty of employment agencies to help people with finding work all across the state.

In terms of energy supply, the state of Idaho has a distinct advantage over the rest of the country. Rates for residential electricity and natural gas are highly competitive and are some of the cheapest to be found.

If you and/or your family are thinking about moving to Idaho, consider the advantages and ensure that you plan your move well in advance. Hiring a moving company can take alot of the stress out of relocating, as alot of the hard work is done for you.