Julia Roberts Realtor in Lake Havasu

The end of the housing crisis is near!!

Julia Roberts — Tue, 20 Mar 2012 17:06:14 +0000

All the indicator are looking toward the end of the housing crisis this year. The lenders are loosening up and lending money!! People want to have the American Dream and own their own home. I love being part of that process. Here is a great article that I found. Hope you enjoy!

Julia Roberts

Housing Crisis to End in 2012 as Banks Loosen Credit Standards

01/24/2012 By: Krista Franks Brock

The analytics firm notes the average credit score required to attain a mortgage loan is 700. While this is higher than scores required prior to the crisis, it is constant with requirements one year ago.

Additionally, a Fed Senior Loan Officer Survey found credit requirements in the fourth quarter were consistent with the past three quarters.

However, other market indicators point not just to a stabilization of mortgage lending standards, but also a loosening of credit availability.

Banks are now lending amounts up to 3.5 times borrower earnings. This is up from a low during the crisis of 3.2 times borrower earnings.

Banks are also loosening loan-to-value ratios (LTV), which Capital Economics denotes “the clearest sign yet of an improvement in mortgage credit conditions.”

In contrast to a low of 74 percent reached in mid-2010, banks are now lending at 82 percent LTV.

While credit conditions may have loosened slightly, some potential homebuyers are still struggling with credit requirements. In fact, Capital Economics points out that in November 8 percent of contract cancellations were the result of a potential buyer not qualifying for a loan.

Additionally, Capital Economics says “any improvement in credit conditions won’t be significant enough to generate actual house price gains,” and potential ramifications from the euro-zone pose a threat to future credit availability.

To read the entire article CLICK here.

Things to know about mortgage debt forgiveness

Julia Roberts — Tue, 06 Mar 2012 16:56:40 +0000

With all of the issues going on with the mortgage industry today, it’s hard to navigate the what’s and who’s of the mortgage debt forgiveness. I found this list and decided to share this information. Hope it helps!

Julia Roberts Realtor

10 things to know about mortgage debt forgiveness

Real Estate Tax Talk

By Stephen Fishman
Inman News®

Over the past several years, millions of homeowners have had billions of dollars in mortgage debt forgiven, either through foreclosure, refinancing or short sales. It’s important for real estate professionals and homeowners to understand that mortgage debt forgiveness has significant tax consequences.

Here are 10 things the Internal Revenue Service says you should know about mortgage debt forgiveness:

1. Normally, when a lender forgives a debt — that is, relieves the borrower from having to pay it back — the amount of the debt is taxable income to the borrower. Thus, a homeowner who had $100,000 in mortgage debt forgiven through a short sale would have to pay income tax on that $100,000, as an example.

Fortunately, under the Mortgage Forgiveness Debt Relief Act of 2007, you may be able to exclude from your taxable income up to $2 million of debt forgiven on your principal residence from 2007 through 2012. This means you don’t have to pay income tax on the forgiven debt.

2. The limit is $1 million for a married person filing a separate return.

3. You may exclude from your taxable income debt reduced through mortgage restructuring, as well as mortgage debt forgiven in a foreclosure.

4. To qualify, the debt must have been used to buy, build or substantially improve your principal residence and be secured by that residence.

5. The Mortgage Forgiveness Debt Relief Act applies to home improvement mortgages you take out to substantially improve your principal residence — that is, they also qualify for the exclusion.

6. Second or third mortgages you used for purposes other than home improvement — for example, to pay off credit card debt — do not qualify for the exclusion.

7. If you qualify, claim the special exclusion by filling out Form 982: Reduction of Tax Attributes Due to Discharge of Indebtedness , and attach it to your federal income tax return for the tax year in which the debt was forgiven.

8. Debt forgiven on second homes, rental property, business property, credit cards or car loans does not qualify for the tax-relief provision. In some cases, however, other tax-relief provisions — such as bankruptcy — may be applicable. IRS Form 982 provides more details about these provisions.

9. If your debt is reduced or eliminated, you normally will receive a year-end statement, Form 1099-C: Cancellation of Debt, from your lender. By law, this form must show the amount of debt forgiven and the fair market value of any property foreclosed.

10. Examine the Form 1099-C carefully. Notify the lender immediately if any of the information shown is incorrect. You should pay particular attention to the amount of debt forgiven in Box 2 as well as the value listed for your home in Box 7.

The IRS has created a highly useful Interactive Tax Assistant on its website that you can use to determine if your canceled debt is taxable. The tax assistant tool takes you through a series of questions and provides you with responses to tax law questions.

For more information about the Mortgage Forgiveness Debt Relief Act of 2007, see IRS Publication 4681: Canceled Debts, Foreclosures, Repossessions and Abandonments. You can get it from the IRS website at irs.gov.

Stephen Fishman is a tax expert, attorney and author who has published 18 books, including “Working for Yourself: Law & Taxes for Contractors, Freelancers and Consultants,” “Deduct It,” “Working as an Independent Contractor,” and “Working with Independent Contractors.” He welcomes your questions for this weekly column

To view entire article CLICK here

Your Hands – Their Heart

Julia Roberts — Tue, 14 Feb 2012 21:00:36 +0000

Twenty three years ago when my husband and I first moved to Arizona we purchased a home with a pool. At that time our daughter was 7 years old. Being responsible parents we took a CPR class at our local fire department. Luckily we never had to use that knowledge. I recently attended a class at the local fire department that describes a new method to save lives without mouth-to-mouth involvement! Fire Captain Jasen Stello was our instructor. I encourage you to take the time to take this class.

Chest Compression Only or CCO. This way of helping is with your hands only. The pioneers for this method are Doctors/Professors at The University of Arizona College of Medicine.The one thing that I took away from the class was that doing something is better than doing nothing, because the person is on their way to dying. Makes sense to me.

So I have attached a link to the video. Please take a few minutes to watch it. It could save someones life.

Julia

Continuous Chest Compression Only

More ABC’s

Julia Roberts — Tue, 07 Feb 2012 17:00:05 +0000

I like the simple, easy read to the economy of the world. The Tea Leaf by Jeff Thredgold is my favorite way to stay in tune with what is going on globally. I would like to share another of this brilliant writings.

Respectfully,

Julia Roberts

Global ABCs

By Jeff Thredgold

America—the concept of “decoupling” has drawn a lot of attention in recent months as the American economy has strengthened somewhat, whileEurope,China, andIndia slow down

Banks (European)—one of the major incentives for German and French leadership to throw hundreds of billions of euros atGreece,Ireland, andPortugal? German & French banks own massive amounts of bonds issued by the smaller nations

China—yes, the economy has slowed a bit, but 8.9% growth since last year’s fourth quarter is not exactly shabby. Legit concerns about overheated real estate markets exist

Dollar—many forecasters previously thought the euro would rise in prominence versus the dollar… not exactly. The dollar will remain the global community’s primary currency for years to come

Europe—here’s thinkin’ the Germans and the French wish they had never heard of the “European integration” concept. A recession is looming…if not already begun

Fed (the)—this nation’s central bank and many others continue to think up new ways to keep the global economy from falling on its face…not an easy task

Germany—wants smaller euro nations to get serious about deficit reduction before it hands over many more billions of euros as “loans.” Chancellor Merkel doesn’t want to play this costly game again anytime soon

Hunger—a child starves to death every six seconds somewhere in the world. Can’t we work together to stop this travesty?

Inflation—higher oil and food prices have hurt hundreds of millions of people around the globe, while most global Interest rates remain at historic lows

Japan—very sluggish economic growth (at best) over the past 20 years, after powerful performance in the ’60s, ’70s, and ’80s. Tens of millions of Japanese citizens wonder, “What Happened?”

Korea (North)—massive failure of this centrally planned economy leads to frequent “saber rattling.” Will new leadership help at all? Meanwhile, the South Korean economy continues to prosper

Latin & South America—growth prospects from mild to solid, withBrazil leading the way. Excessive government bureaucracy and corruption in the region limits gains

Mexico—even as drug cartel violence dominates the headlines, economic growth has been the best in 10 years. Greater employment opportunities at home are most welcome

Click here to read entire article

Interest Rate Trend

Julia Roberts — Tue, 24 Jan 2012 17:00:33 +0000

I remember purchasing a home back in the 80′s. We could afford the payment and that was really all that mattered. However the interest rate on that loan was 12% !! Holy cow! Now days the interest rates are as low as ever. The BEST time to buy a home. Below is a 30 Year Fixed Interest Rate Trend. Looking at the chart I guess I should be happy that we only paid 12%.

So looking at this, it’s time to buy NOW!!!

Julia Roberts

Balloon Festival in Lake Havasu City

Julia Roberts — Tue, 10 Jan 2012 17:00:53 +0000

It’s our 2nd Annual Balloon Festival. Everyone is getting ready for the awesome event. More balloons than last year. The dates are January 19-22. Here are a few pictures that I took from last years event.

I have included a link to the Balloon Festival.

Balloon Festival 2012

Entertaining Movie References to the Economy

Julia Roberts — Fri, 30 Dec 2011 00:04:56 +0000

Are you a movie buff? Do you know your movie trivia? Well I really love this mans use of movie titles to explain the economy of the world. Hope you enjoy it too!

The Movie Piece

By Jeff Thredgold

27 December 2011, 12:12 pm

One of the painful realities of life as an economist and professional speaker is that the subject matter of economics is typically viewed (with good reason!) by the general public as confusing, intimidating, and boring. As a result, trying to present weekly economic and financial information with an unusual twist can occasionally be a most welcome change.

Warning!! This week’s Tea Leaf is my semi-annual economic, financial, and political update…using today’s current movie titles. My sincere apology in advance to anyone I might offend.

The Federal Reserve

THE VOW taken by Federal Reserve members to keep inflation at bay may be sorely tested in coming years. ONE FOR THE MONEY has taken on new meaning as more than two trillion dollars of mortgage bonds and U.S. Treasury securities have been bought by the Fed, the intent to push long-term interest rates lower.

Such bonds could ultimately be an ALBATROSS around the Fed’s neck if and when the general level of interest rates returns to more traditional levels. Fed Chairman Ben Bernanke could find himself a MAN ON A LEDGE at that time.

Europe

The financial mess continues, with debt CONTAGION spreading from one country to the next. Too many nations may find themselves CHIPWRECKED with little success in this dangerous game of MONEYBALL now being played across the Continent.

THE DARKEST HOUR has not as yet been felt acrossEurope. German and French leadership must wonder at times whether they BOUGHT A ZOO of problems much larger than the initial euro agreements suggested.

Hopefully, THE SITTER (German Chancellor Angela Merkel), also known as the 21st Century version of THE IRON LADY, will find believers in the idea of fiscal sanity before THE IDES OF MARCH roll in.

Youth Unemployment

One casualty long overlooked in the European financial CARNAGE is the lack of job opportunities for YOUNG ADULTs across Europe. Gaining that first job…getting that first valuable work EXPERIENCE…is crucial to longer-term success for workers.

The same is true in the U.S. and other parts of the world, where THE DESCENDANTS of hard working people from around the globe lack such opportunities. American teenage unemployment at 23.7% of the labor force (those actually seeking jobs) has a PARIAH impact upon their future employment options.

An End to Iraqi War…

The New Year finds a BREAKING DAWN of optimism coupled with fear in Iraq, now lacking an American military presence. Hopefully, THE DEVIL INSIDE too many diverse groups and religious persuasions will give way to moderation and civility and a COURAGEOUS approach to a lasting peace.

The idea of children FOOTLOOSE and fancy free, with HAPPY FEET TWO celebrate an end to war and suffering, with JOYFUL NOISE of children laughing, is a powerful image indeed.

…and Still in Afghanistan

What many might consider a MISSION IMPOSSIBLE, an end to war and death in Afghanistan, remains at play. The WAR HORSEs continue to fight in THE LAND OF BLOOD AND HONEY, with this conflict now being the longest in American history.

Here’s hoping the devastation of death can give way to THE FLOWERS OF WAR, a cessation of hostilities, while at the same time limiting the spread of venom and hate to nearby nations and their peoples.

The Congress

Leaders of the House of Representatives and the Senate continue their HAYWIRE relationship with one another. THE DIVIDE is as wide, and damaging, as at almost any other time in American history. A GAME OF SHADOWS and political intrigue among and between key PLAYERS serves not this nation.

EXTREMELY LOUD AND INCREDIBLY CLOSE whining and nay saying between members of the primary political parties must give way to what is in America’s best interests. A lack of cooperation approachingPARANORMAL ACTIVITY merely threatens another downgrade of American debt during 2012, with higher borrowing costs…and resultant even larger budget deficits…sooner rather than later.

In my mind, THE HELP in the U.S. Congress—people sent to the nation’s capital to do the peoples’ business—suffers from an ABDUCTION of common sense that needs to be turned around quickly.

ONCE UPON A TIME, Congressional members did work together better. Certainly they do not have to act asNEWLYWEDS. Nevertheless, an imminent DECLARATION OF WAR against disastrous future budget deficits is mandatory as THE GREYing of the population continues.

Perhaps new and positive individual resolutions adopted on NEW YEAR’S EVE by Congressional members will help turn the corner toward A SEPARATION between vile and biting comments…and those constructive comments, ideas, and actions that benefit all Americans. Time is short to avoid the type of chaos now engulfing Europe.

Click HERE to see entire article

What I want for Christmas

Julia Roberts — Thu, 15 Dec 2011 19:19:48 +0000

I don’t want much for Christmas, I just want the person reading this to be happy.

Friends are the fruit cake of life — some nutty, some soaked in alcohol, some sweet, but mix them together and they’re my friends.

At Christmas you always hear people talking about what they want & bought. This is what I want: I want people who are sick with no cure to be able to be cured. I want children with no families to be adopted. I want people to never have to worry about food, shelter & heat. I want peace and love for everyone!

Merry Christmas to all!

Julia

Looking to the Future!

Julia Roberts — Tue, 06 Dec 2011 21:20:33 +0000

During the year I receive a newsletter from Jeff Thredgold. I love this guy. He has an interesting way of presenting the economy. He gives a little humor with the bad news and pokes fun at everything!

I have included his latest post.

Enjoy!

Julia

Tea Leaf by Jeff Thredgold

The U.S. Economy

What we now call the Great Recession officially began in December 2007 and ended in June 2009. It was the longest, the deepest, and the most painful recession since the Great Depression.

By my count, that suggests that the current U.S. economic expansion is now reaching the two-and-a-half year mark. The current expansion has been less than satisfying both statistically and emotionally, with major headwinds still in play involving weak residential and commercial real estate markets, uncomfortably high unemployment, major European financial risk, and elevated levels of anxiety about the direction of the federal government.

The current U.S. economic expansion has been especially lackluster when considering the massive and unprecedented levels of both fiscal and monetary stimulus. While modest economic growth has returned, a “recession of confidence” remains center stage.

Economic growth in the new year about to unfold is likely to remain substandard, with most forecasts congregating around a 1.5%-2.5% real (inflation adjusted) rate of growth. More bearish forecasters see particularly anemic growth in 2012’s first half.

The size and scope of a possible European financial implosion could lead the U.S. and much of the world back into recession, although that is not the consensus view. Nevertheless, investors around the globe have taken a “shoot first, ask questions later” approach to European sovereign (national) debt markets and the contagion that has now spread to more and more members of the euro community.

Government

Political theater of the absurd has been commonplace in the nation’s capital, with extreme partisan politics today’s reality. The government’s ability to live within its means remains highly elusive, even as European developments should be sending strong signals to Washington DC about damaging annual budget deficits and a more than $15,000,000,000,000 gross national debt.

Various economic studies have suggested that any nation’s ability to prosper and grow at a satisfactory pace is endangered when its gross national debt reaches 90% of that nation’s annual economic output. We are now at 100%…and rising quickly.

Trillion dollar plus budget deficits of the past three fiscal years will continue for as far as the eye can see. The biggest threat to this nation is the financial cancer of irresponsible government deficits. As noted frequently, the need to slow the future growth pace of entitlement programs is mandatory.

2012 Elections

Already tired of the political battles underway? Just think…only 342 days until Election Day! The failure of the “super committee” was the latest in government missteps. An emotional national debate about 1) the size and growth pace of the federal government, and 2) who pays for it will be one key element of political discussion during most of 2012.

U.S. Employment

Wary business leaders and worried consumers have contributed to the weak level of American job creation during the current economic recovery. The nation has regained only one-fourth of the eight million jobs lost during the crisis of 2008 and 2009. Unless and until confidence levels improve, weak additions to employment will continue.

The nation’s unemployment rate has averaged 9.0% for the past three years. Most forecasters see an unemployment rate of not less than 8.5% by the end of 2012.

To read the entire article, CLICK here.

Life after a Short Sale

Julia Roberts — Tue, 22 Nov 2011 19:01:37 +0000

Is there life after a Short Sale? The answer is YES! Like everything else in life it just takes a little time to heal.

I think this is a really great article about life after short sales. So many people have been affected by the times. But we all want the” American Dream” , to own our home.

Hope you enjoy,

Julia

3 Options For Home Buying After Short Sale

By Tara-Nicholle Nelson
Inman News™

Q: I experienced a hardship two years ago and had to sell my house via short sale. I am now ready to purchase a home but heard I would have to wait another year because of FHA rules. I have been paying my rent on time and my credit is in the 700s. What programs or other options do I have in terms of obtaining a loan? I want to purchase a house for $70,000. –T. Jordan

A: I’m glad to hear that your hardship has passed, and that you’ve been able to get your finances back in shape. Whoever you’ve spoken to is correct: There is a three-year waiting period after a short sale before you can qualify for an FHA loan on a new home. As I see it, though, you have three clear options:

1. Wait a year. The fact is, time flies — and you’re only 12 months away from the expiration of the FHA waiting period. Frankly, there are so many homes on the market right now, including an enormous percentage of distressed properties with condition problems and such, that between getting their own financial ducks in a row and house hunting, it is taking many homebuyers more than a year from the time they get started to get into contract, even without any waiting period.

Unless you have an uber-urgent reason to move or are very flush with cash (see No. 2, below), my advice is to wait the year. In the meantime, pay your bills on time — every time — and work with your mortgage and real estate brokers to make sure all your other financial ducks are in a row so there are no surprises when your waiting period is up.

2. Get a non-FHA loan. FHA is popular — especially among those who only have the cash to make the FHA minimum 3.5 percent down payment — but it’s not the only game in town. The vast majority of conventional (non-FHA) loans available from mainstream lenders are insured by Fannie Mae and Freddie Mac.

Both these agencies impose a shorter, two-year, post-short-sale waiting period, as long as the borrower is coming in with a 20 percent down payment. If you wait an additional two years, the minimum down payment requirement comes down to 10 percent, but by then you will qualify for the 3.5 percent FHA mortgage.

3. Plead the case of extenuating circumstances. FHA guidelines do make an exception for the three-year, post-short-sale waiting period for former homeowners/wannabe borrowers who can document that they were forced to do the short sale by extenuating circumstances. The most common fact scenarios that fit the bill are a job transfer to another area (not job loss) or a natural disaster that affected the property (e.g., fire, flood, etc.).

Beyond that, whether a “hardship,” to use your terminology, rises to the level of an extenuating circumstance for purposes of qualifying for an FHA loan is up to the discretion of the lender, but things like a job loss, the adjustment of a mortgage or the decline of the home’s market value do not count.

If you had, say, an accident or illness that resulted in a temporary disability, it might be worth the effort to plead your case. Speak with your mortgage professional about whether you can make a credible argument in favor of shortening your waiting period.

To read the entire article click HERE