Colorado Springs Real Estate

Colorado Springs: One of the Forty Strongest U.S. Metro Economies

The decline in the United States economy in the past few years has affected our country more than any of us had anticipated. Business Week recently released an article discussing the top forty cities least touched by this difficult recession. While no market completely dodged this tough time, Colorado Springs made it to 24 on the list.

Colorado Springs, CO

Overall rank: 24

Colorado Springs, the state's second-largest city, is 80 miles south of Denver's International Airport and about 90 minutes east of popular ski resorts. Employment in the Colorado Springs metro peaked in the first quarter of last year. Gross metropolitan product in the second quarter was down just 2.7% from the peak in the third quarter of last year. Home prices were flat in the second quarter compared with the same period a year earlier. And the unemployment rate in June was 8.3%, up 2.4 points from a year earlier. (Please see below for the various criteria used by the Brookings Institution to determine the overall ranking.)

Job growth (since peak) rank: 52
Gross Metro Product (since peak) rank: 20
Unemployment change (year over year) rank: 10
Home price change (year over year) rank: 43

Forbes had also listed Colorado Springs as the third highest city for housing recovery in August.

Park Avenue Properties

Tanya Stevenson-Becht & Sandy Daniels

www.ColoradoSpringsEhomes.com

office@parkavehomes.net

 The Language of a Purchase and Sales Contract

It is very important that you know exactly what you are agreeing to do when you are completing your purchase and sales contract. If you are following the steps outlined in my book then there is simply no reason why you should be blind-sided by anything that is written in your contract, but just to make sure, I will go over the basic terms and definitions.

• Parties - You and the sellers name and contact information.
• A legal description of property - Explains exactly what you're buying and how the city officially views the property.
• Offer or purchase price of property - How much you agree to pay for the property.
• The date of the contract - The date you signed the contract.
• The closing date - The date you and the seller are expected to transfer payment and ownership to each other.
• Down payment amount - The amount you will contribute towards the purchase price in the form of cash or down payment assistance.
• The terms of any escrow agreement - The exact actions and or professional services used in order to hold the deposit money and perform certain services.
• Contingencies - Conditions to be met before transferring money and ownership.
• Title Condition - The agreement that the seller will be able to sell a clear and trouble-free title of ownership to you.
• Loan amount and conditions - How much you are borrowing from a lender and the terms of your mortgage.
• Resolving disputes - How you and the seller will handle any issue which arises and cannot be resolved peacefully.
• Personal property and fixtures - What is included with the house when you buy it.
• Usage rights - What exactly you own and can use when you buy the property - more of an issue when buying condos, town homes and co-ops.
• Payment to agent - The amount the real estate agents are getting compensated.
• Additional Fees - Covers various fees such as title insurance, deed preparation fees, notary fees, transfer taxes, escrow fees, title search fees etc.
• Escrow holder - The party holding the deposit funds.
• Assessments and pro-rations - Details how the yearly taxes the sellers may have already paid, mortgage interest etc. will be paid and by whom.
• Contract expiration date - When the contract expires and is no longer legally binding.
• Damage to property - Details what will happen if the house is damaged or destroyed while in escrow or under contract with you before closing.
• Possession - When the seller will move out and you can move in.
• Time is of the essence - You and the seller must have the closing before the expiration date or the contract is null and voided.
• Seller representations - Details the promise the seller states to be true about the condition of the house you are buying.
• Entire agreement - Statement insuring that the purchase and sales contract is the only agreement between you and the seller.
• Signatures - The final action that makes the contract legally binding.

Park Avenue Properties

Tanya Stevenson-Becht & Sandy Daniels

www.ColoradoSpringsEhomes.com

office@parkavehomes.net

Foreclosure Can Be Avoided!

Few things are as devastating as losing your home. Sadly, it's not always inevitable. In many cases the foreclosure could've been avoided with some outside help.

Here are some basic guidelines to be aware of to keep from losing your biggest investment!

Finding a new home. Don't believe that it will be better to let the foreclosure happen, because after you lose your home, you will still need to find a new place to live. All too often, the price you will need to pay in rent will be almost as high if not higher than your current mortgage payment. Remember: The owner of the property needs to make his mortgage payment, too, so he's going to charge a rental payment that's higher than his mortgage costs.

Deficiency judgment. It's not uncommon that the sale of the home is insufficient to cover the remainder of the mortgage. When the property has been damaged, or market values have dropped, the owner may end up with a bill in the tens of thousands for the difference.

Despite what many people think, most lending institutions are not anxious to foreclose. It's a last-ditch effort to recover their money and minimize their losses, and it's an incredible hassle. Most lenders would rather avoid it, if possible. There are multiple sources for help that your client should be aware of, and most lenders will be happy to hear that their clients are going to try to keep their home rather than just await a foreclosure.

Housing Counseling Agency. The US Department of Housing and Urban Development maintains a list of HUD-approved counseling agencies. You can call (800) 569-4287 to find the agency nearest them.

FHA-Insurance fund. FHA borrowers may qualify to have HUD make a one-time payment to bring their mortgage current. See www.hud.gov/foreclosure for more information on the requirements to qualify.

Different mortgage program.  Talk to a loan officer about the possibility of refinancing their mortgage to a more affordable program.

Special Forbearance. Many borrowers can qualify for a new payment structure if they've had an increase in their cost-of-living, such as unexpected medical expenses, or a decrease in wages. This payment structure will allow the owner to repay the lender in a given time frame

Park Avenue Properties

Tanya Stevenson-Becht & Sandy Daniels

www.ColoradoSpringsEhomes.com

office@parkavehomes.net