Builders at Home Buyer’s Service

Most buyers who are in the market looking for a new home have a good idea of what it is that they want in their new house. Builders are now trying harder than ever to meet buyers wants. Builders are offering additional amenities, ranging from as small as wrought iron exterior lamps to large custom-built pools with lavish landscaping. It’s as much about the amenities as it is about the home. Builders can’t entice buyers with “cookie cutter homes” with three or four varying floor plans to choose from.

Today buyers are looking for more than just a new home. Buyers today are looking for a neighborhood that reflects who they are, including their personal tastes and desires. Deciding on the right new home community is often determined by the amenities and services available in that community. Amenities such as tennis courts, community pools, workout facilities, parks, golf courses, community club house, and so on.

As we know though, there are other home options available which appeal to new home buyers. The ability to alter a floor plan to, for example, change a teen’s bedroom into an office when they move out or go away for college. Because buyers are looking or homes that include options such as these, home builders will often pre-wire TV, Broadband Internet, speaker wires, and even alarm systems. More often than not, buyers are usually looking for open floor plans which allow them ample decorating space and room to entertain guests.

With the ever-growing green building trend, many builders are now making homes more environmentally friendly. Everything from recyclable carpets to a computerized landscaping system that is smart enough to only water when needed. It’s becoming the standard for many builders to have homes built with energy-efficient lighting, air conditioning, and equipped with EnergyStar Certified appliances. Builders are even building homes with ventilation systems in the master bedroom closet to vent potential toxins from dry cleaning.

Home buyers are also noticing the little touches that can separate one home from another. These touches can be as bold as offering stonework skirting on homes or as small as patio ceiling fans.

Home builders are going to continue integrating affordability, flexibility, lifestyle, green initiatives, and more into communities to entice homebuyers in this market. Because of this and current finance options, now is a great time to shop for a new home, if you can afford it that is.

Finding A Contractor To Build Your Home

If you’ve decided you want to build a home rather than buy one that’s already been occupied, you’re going to realize that sometimes you have a lot of choices, and other times you have no choice at all.

The reason you may not have a choice is because many home building companies buy up large plots of land, plan the community, and then start building homes, hoping to entice buyers looking for brand new, customized and designed homes by the company.

Sometimes, they’ll buy up the land, and then offer potential buyers the choice of housing plans, but often they won’t offer more than 5 plans for a particular area, trying to keep the housing rates close to each other. Every once in awhile, you may find a home builder that will let you go through their entire inventory, but not all that often unless you’re looking to build a really high end home.

At other times, though, you might be able to buy your own plot of land somewhere, and then have a choice of builders for your home. This can get scary and complicated, as there are not only usually lots of builders, and lots of styles, but you’re not always sure who you can trust, or who will work well with you.

The first recommendation is to go online and look at houses in your area that are priced in the area you’re hoping to buy. There will be a lot of older homes, but some of the homes you’ll find will be new, and most of the builders have probably put up houses in your price range. You should be able to select 3 or 4 home builders whose product you like the look of.

The second recommendation is to check with the Better Business Bureau to find out if any of the builders on your list have a negative rating, or have had other complaints. Sometimes you’ll find that large builders do get a lot of complaints about potentially shoddy work, even though they build some magnificently looking homes.

The third recommendation is to ask people you know who’ve had homes built how accommodating and easy the home builders were to work with. There are things you might want in your home that aren’t in part of their plans. Some will work with you to get those things in there, while others will stick with what they’re good at and not be flexible. But talking to others will help you make this determination.

The fourth recommendation is, if you can’t find someone whose design you like, hire a designer to work with you on building the house you want. Every designer knows someone who will build your house based on your wishes. It might cost you more money, but you’ll get exactly what you want.

The fifth recommendation is something NOT to do. Don’t ever just go with whomever your realtor recommends. Sometimes they’re not acting in your best interest, whether intentional or not. In this instance, it’s best to go with your own instincts and find the builder you really want to work with on your own.

Many Housing Markets Are Showing Improvement

The last couple of years have been rather tough on the housing industry. Throughout the nation, declining real estate values, foreclosures, and short sales has been the subject of real estate news. Home builders have especially been seeking a glimmer of hope, and in some markets this may just be a reality.

May 2009 housing figures have shown significant improvements in several housing markets across the country. Even markets that have experienced the highest value declines and foreclosure rates are beginning to show signs of life.

In Louisville, Kentucky, the median price of homes increase 1.5%, the first increase since January of 2008. Causing much optimism for many real estate professionals and home builders in the area.

In Naples, Florida, home sales increased 36% over last year’s figures. Pending home sales leaped an unbelievable 101% in comparison to May of 2008. Florida’s housing market is one which has been hit hardest during the housing market meltdown. Much of the areas problem lie with bad mortgage loans and bank failures. The area has also show a significant decline in median home prices, from $314,000 a year ago to $174,000 this year. Which is likely a major factor accounting for the recent activity.

Birmingham, Alabama experienced an 8% increase in homes sales in May over April. 29% of these sales were foreclosures, a good sign as 38% of home sales in April were foreclosures. Year over year, housing prices in the Birmingham area are down 14%.

Buffalo, New York, for the first time in over a year, has shown an increase of sales at 3.3%. In May, home sales increased 21% over April’s figures. Pending home sales are down 5.9% year over year, which has tempered expectations somewhat.

This new is being perceived by many as good new that effects the entire housing industry coast-to-coast. Home builders have experienced declining inventories and many companies have started new projects, even though home builder’s confidence declined in recent days.

First-time Home Owner Tax Credit Can Be Used For Down Payment

The Obama Administration recently announced that first-time homebuyers will be able to use the $8,000 tax credit for initial costs, such as closing costs and for a down payment when the borrower finances their new home through the Federal Housing Administration (FHA).

The Department of Housing and Urban Development stated on May 29 that buyers obtaining an FHA loan through private lenders would still need to invest their own funds toward the minimum 3.5 percent down payment.

For borrowers who have taken out a loan through one of about nine state housing agencies offering tax credit loan programs, you will be eligible for a bridge loan which can be used towards a down payment and/or closing costs. States that currently offer tax-credit monetization programs include Delaware, Idaho, Kentucky, Missouri, New Jersey, New Mexico, Ohio, and Tennessee.

Tax credit monetization programs offer the borrower a low-interest rate loan to be repaid using the proceeds from the $8,000 tax credit. If proceeds from the tax credit are not used to immediately repay the loan, the loan is converted into a long-term second mortgage backed by the property.

It is believed that many more people will be able to take advantage of the first-time homebuyer tax credit after the Obama administration’s recent announcement.

New Homes in Dallas, Fort Worth & Frisco

Are you looking for a new home in the Dallas / Fort Worth area? If so, you’ll appreciate the following information on move-in ready homes currently offered by home builders in Dallas, Fort Worth, and Frisco, Texas. The information that we have provided below is considered accurate as of the date of this post; however, we ask that you contact each home builder directly for updated availability, pricing, and new home incentives.

Sonya is a home ready for immediate move-in by Mercedes Homes and found at Traditions of Frisco, a new home community about 30 miles north of Dallas in Frisco, Texas. Traditions of Frisco provides home buyers with home lots ranging from 50’, 60’, and 70’. This community is located within the Frisco Independent School District and currently features only one home ready for quick delivery. Sonya is two-stories and 3,708 square feet with four bedrooms, three full-baths, one half-bath and was recently reduced $50,000 to $319,900. To learn more about this home, or having a new home built to order at Traditions of Frisco, click here to contact Mercedes Homes or call (877) 649-8722.

Brighton is a quick delivery home available from Cheldan Homes which is located at their Fort Worth, Texas new home community Marine Creek Ranch. The Brighton features a covered patio, open kitchen with dining area that leads into the family room, an extra room that can be used as either a study or additional bedroom, downstairs master bedroom, and Whirlpool stainless steel appliances. This home is a two-story plan offering five bedrooms, three full-baths, one half-bath, with 2,809 square feet of livable space and Energy Star certified with TechShield Radiant barrier and a 14-SEER Amana cooling system for only $182,719. For more information, click here to contact Cheldan Homes or call (817) 237-6791.

Boston is a move-in ready home offered by Ryland Homes at their Dallas, Texas new home community Wright Farms. Boston features a large family room that opens up to the kitchen and breakfast area, upgraded cabinets, and GE all black appliances. The master bedroom boasts a large walk-in closet and the master-bath is equipped with a shower and garden tub. This home is a single-story, three bedroom, two bathroom, 1,800 square foot home that is priced at $132,672. Receive additional information by clicking here to contact Ryland Homes or call (972) 913-5407.

Home Equity Loan Pros and Cons

A homeowner can obtain a home equity loan by committing their home to the lender as collateral to borrow money. Home equity loans make it possible for borrowers to borrow a large amount of money even if they have poor credit. This is made possible because the use of their home as collateral.

Home equity loans of credit are an amount of credit available based on a percentage of equity in the home (usually 75 – 80 percent of the equity in the home).

A home equity loan is a loan, not a line of credit or new home loan, and is usually considered a type of second mortgage on your home.

Lending institutions are often less concerned with losing money on home equity loans. If you default on your loan payments, you lose your home. With the use of your home as collateral, you are more likely to make those payments a primary concern.

Home Equity Loan Advantages:

• Characteristically lower interest rates or annual percentage rates are associated with home equity loans
• Having poor credit won’t necessarily exclude you from being able to qualify for a home equity loan
• Because you are using your home as collateral and this loan is viewed as a type of second mortgage, these loans will often have large sums of money available to you
• Maybe one of the best advantages of a home equity loan is that the payments may be tax deductible

Home Equity Loan Common Uses:

• Often home equity loans are used to consolidate debt - usually high-interest debt
• A common use for the money from a home equity loan is the remodeling or renovation of the home to improve the value of the property
• Another use that is common from monies obtained by a home equity loan is the purchase of property or another home

Before you consider taking out a home equity loan, you should keep in mind that if you default on the loan, you lose your home. If you do decide to use a home equity loan you should shop around carefully. Finding the right home equity loan could save you thousands. Make sure to compare offers found through banks, credit unions, brokers, websites, or other advertisements. Be picky and know what you’re signing. A home equity loan might be what you are looking for. Make sure you can make the payments, because you must realize that you will lose your home if you don’t.

The Home Depot Foundation

As the second largest retailer in the United States, second only to WalMart, The Home Depot boasts the largest home improvement retailer in the U.S. The Home Depot currently operates 2,193 warehouse stores in seven countries, employing 331,000 people in the U.S., Mexico, Canada, China, Puerto Rico, the Virgin Islands, and Guam.

Back in June of 1978 Home Depot founders Arthur Blank and Bernie Marcus opened the first two, 60,000 square foot warehouse locations in Atlanta, Georgia. The brand new home improvement retailer set out to build the largest construction supply and services warehouse and featured an astonishing 25,000 products in each of their stores.

When Blank and Marcus founded The Home Depot, the goal was to provide quality goods with superb customer service. But the two wanted to be a part of something much larger than simply a construction and home improvement retailer, Blank and Marcus wanted to give back to the communities that they represented.

In 2002, The Home Depot Foundation was established as a not-for-profit organization that funded and supported affiliated nonprofit organizations at rebuilding communities by offering affordable housing, the planting of trees in neighborhoods and schools, and building community parks and children’s playgrounds.

Furthermore, The Home Depot Foundation embraces communities and maintains relations through the improvement of long-term welfare in each supported community. The Home Depot Foundation long-term building approach constitutes designing and maintaining healthy, affordable housing in communities where residents want to live and thrive.

For additional information see:

The Home Depot Foundation

Home Depot Locations

The Home Depot U.S.

Loan Modification Program Now Covers Second Mortgages

The Obama Administration’s loan modification program is now expanded to cover homeowners with second mortgages. According to sources, not allowing banks to modify second mortgages was preventing many from issuing new loans to consumers.

A second mortgage loan is often referred to as a home equity loan, and in many cases, a home equity loan is easier to obtain than a regular mortgage. In the past, home equity loans were much easier to get than a line of credit; causing many consumers to choose this route when facing rising debt. The problem with the original loan modification program was that it did not take second loans into account, and banks did not want to refinance one part of the outstanding debt and not the second part.

Under the new loan modification program, the federal government will pay mortgage lenders $500 for granting a modification to the homeowner’s second loan, then provide $250 per year for three years if the modification is successful.

The expanded modification program will likely help reduce the monthly payment on second loans. An estimated 50 percent of people who attempted to get debt relief took out home equity loans, meaning as many as 1.5 million homeowners could benefit from modifying their second mortgage.

See more:
Mortgage Prevention Plan Now Helps Homeowners with 2nd Mortgage
US Govt Unveils New Mortgage Modification Incentives

$6,000 Home Purchase Grant for Utah New Home Buyers

The state of Utah recently passed a law that allows a $6,000 home purchase grant for a total of 1,600 buyers who purchase new homes in Utah. The new law was passed on March 12, 2009; the program officially began on March 16, and to date, 555 home buyers have been approved at a cost of $3.3 million. When all 1,600 grants are awarded, the state will have provided a total of $9.6 million in grant funds.

The $6,000 home purchase grant, also known as the Home Run Program, is being overseen by the Utah Housing Corp.

Intended on stimulating new home sales in Utah, homebuyers who purchase a single-family house are eligible to receive $6,000. The Home Run Program grant does not have to be paid back to the state. Funding for the project is provided by the Housing Relief Restricted Special Revenue Fund.

$6,000 Home Purchase Grant FAQs

How do I apply?

Home buyers apply for the program using an approved lender.

Is there an income level limit?

Yes. Single tax payers are limited to an annual income of $75,000. Married couples are limited to $150,000.

What types of homes qualify?

Newly constructed single-family houses, condominiums, twin homes, planned unit developments, townhomes, and manufactured homes that are permanently fixed to a foundation. A Certificate of Occupancy or a final inspection provided by an applicable municipality is required.

What You Should Know When Buying A New Home

Buying a new home can be a very exciting experience, but often requires a lot of time and effort to ensure that all of the buyer’s wants and needs are met. Below you will find four steps that every home buyer should read before taking on the daunting task.

Make a list of your needs

Don’t get distracted by a beautifully decorated home. If the home does not match your needs, do not consider the home. If you have large dogs that need a large backyard, don’t settle on anything less. Otherwise, shortly after moving in, you’ll find yourself having certain regrets.

Discover your builder first

80% of all homebuyers start their home search online. You should do the same. When searching for a new home in the area in which you wish to live, start by discovering the builder. What do previous buyers have to say about the builder? Has the Better Business Bureau received numerous complaints about the builder? When selecting home builders first, you are essentially eliminating multiple homes, hence narrowing your search.

Get pre-approval

The majority of buyers prefer not to get approved for a loan until after they have found their perfect home. When getting pre-approved for a home loan, you will know exactly how much home you can afford. This will help you in your new home search by eliminating the homes outside of your price range.

Get a real estate agent

A good real estate agent will be a great resource for you throughout your home search. Agents know their market, they know whether a home is accurately priced or overpriced. Real estate agents have home buying tools at their disposal. Agents can use their connections with listing services and home builders to help refine your search and save you valuable time.

Obama Administration's Loan Modification Program

The Obama administration has announced a $75 billion plan aimed to help struggling homeowners through a loan modification program. President Obama’s loan modification program is a portion of the administration’s economic stimulus plan, Tarp II.

Homeowners in trouble of foreclosing on their homes can now contact their lender and request to refinance to a lower interest rate. Homeowners who have not missed a mortgage payment are eligible to qualify for the loan modification program, which is funded through a portion of the $700 billion approved as part of Tarp I.

The Making Home Affordable program – the $75 billion project announced earlier this week – pledges to help make homeownership more affordable. It is estimated that up to 9 million Americans may benefit from this new program, which uses a combination of tax incentives and government subsidies to help lower interest rates and reduce the home’s principle.

The Home Affordable Refinance portion of Obama’s plan is intended to aid homeowners, current on their mortgage payments, who have lost equity in their homes. This portion of the Making Home Affordable program gives borrowers with conforming home loans, that are backed by Fannie Mae and Freddie Mac, the ability to have their homes refinanced.

2009 Southwest Build-it-Green Expo & Conference | Phoenix, AZ March 13th - 14th

Coming to the Phoenix Convention Center, on March 13th and 14th, is the 2009 Southwest Build-it-Green Expo and Conference. The largest green expo and conference in the Southwest!

Come and join the hundreds of green-building professionals, who are comprised of architects, home builders, designers, engineers, and contractors to learn about the latest eco-friendly technologies.

Vendors include manufacturers of green-appliances, and contractors everything green-related - green landscaping, green home builders, green home designers, green waste management advisors, and green commercial builders.

Top-notch speakers will discuss topics such as water efficiency, consumer awareness, solar power developments, and LEED certification requirements.

The Southwest Build-it-Green Expo and Conference is the best place for entrepreneurs, green-product developers, and housing industry professional to meet, share ideas, and form relationships.

To learn more about this year's expo, contact Tina Robinson, Exhibitor Director, at 602-424-8855. - trobinson@azbusinessmagazine.com

Fulton Homes Files Chapter 11 Bankruptcy

As a builder of new homes in Arizona for 35 years, Tempe-based Fulton Homes Corp. has filed for Chapter 11 Bankruptcy. Fulton is just one of the latest home builders in Arizona to file bankruptcy due to the collapse of the new-housing industry.

Many builders have blamed their banks, arguing that the banks are demanding additional capital so that their loan values do not exceed the declining property values of the builders’ inventory.
Fulton founder and Chief Executive Officer, Ira Fulton, is a well-known community figure and one of the state’s most highly recognized philanthropists. The Fulton Foundation has contributed more than $160 million to Arizona State University.

Court documents show that Fulton Homes owes between $100 million to $500 million to some 100 individual creditors, which includes Bank of America as their lead creditor. It is estimated that Fulton holds from $100 million to $500 million in assets.

Chapter 11 of the U.S. Bankruptcy Code allows for the company to remain in operation while the bankruptcy court determines creditor claims and resolves debt issues. There is, however, a high probability that Fulton will be challenged when attempting to secure new credit in order to continue building new homes.