CO Foreclosures | Denver Colorado Foreclosures | Investment Property Specialist

Recent home buying trends are showing that there are more home loan applications right now than there have been in the past few months. Along with that rise in home loan applications, interest rates on home loans have dropped below 5 percent on a 30-year fixed mortgage, according to one industry group.

The increase over the past few weeks marks approximately an 8 percent increase in mortgage applications since the previous year. This is good news, as the housing market around the country has been hit pretty hard during the current economic crisis. This increase suggests that the housing market is starting to stabilize, after having been in a slump for the past three years.

Still, there is always the possibility that we may not be entirely out of the woods. Some argue that the government programs, such as the new home buyer credit, have propped up the market, and that the market will turn sour again once the program expires at the end of November. There is talk in Washington of trying to extend the program well into 2010.

The rise in the past few weeks comes on the heels of an unexpected rise in the sale of previously owned homes in September, according to statistics provided by the National Association of retailers. Previously owned home sales were at their highest levels Read the rest of this entry »

One of the unfortunate facts about the home buying market is that there are scam artists and frauds who seek to prey on folks just trying to buy a new home. While not all forms of mortgage fraud affect home buyers, there are some that do. In addition, there are some cases where a home buyer has to be careful they don’t accidentally break some of the mortgage rules, thereby breaking the law themselves.

During 2009, mortgage frauds have been on the rise. In April 2009, for example, there was double the amount of mortgage frauds that there were in April 2008.

Here are some examples of mortgage fraud cases that have come out over the past year or so:

• Many cases involve mortgage brokers one broker in California originated more than a billion dollars in fraudulent home loans in six states, including Colorado. The man tried to flee to Canada, and was stopped at the border with $70,000 cash stuffed in his boots.
• Some brokers have stolen identities to originate mortgage fraud. Another broker in California used the social security numbers of 25 children to originate loans.
• One woman in Maryland originated $30 million in fraudulent mortgages. She used the money to pay for her wedding, which cost nearly $800,000, and featured music by Patti LaBelle.
• There were smaller cases of mortgage fraud, too. A bank vice president from Minnesota forged her husband’s name on a $200,000 home loan, for example. Read the rest of this entry »

If you’re looking for a new home, chances are you have some idea of what you want. You might want a certain neighborhood with access to a certain school district, or you might need a certain amount of space. Whatever your situation, there are several factors that will go into determining if a particular home is the right one for you. Here are some of the major factors to consider and weigh against one another when you’re house hunting:

• Price. If you’re smart about it, you’ll get pre-approved for a home loan and know how much you have to spend. Of course, don’t just accept the number that the lender gives you. Make sure you can plug that number into a realistic budget for yourself or your family and that you really can afford it.

• Condition. This should be one of the top considerations when you’re looking at a new home. If the home needs extensive upgrades to the wiring, or if it needs a new roof, you could be shelling out quite a bit of money just to make it livable A fixer-upper can be a great opportunity, or it can be a money pit. Try to have the house inspected by an expert contractor you trust.

• Configuration and Size. This is the area most folks think about first. How many bedrooms and bathrooms is key, especially if you have several people that will be living in the home. You should also think about cupboard and counter space in the kitchen, closet space in the bedrooms and even the size of the garage. Read the rest of this entry »

Loan Rates, Points and Fees

Before you choose a home mortgage loan, you need to understand the rates, points and fees that are associated with your loan.  All these costs can add up to a substantial amount of money so you shop around and compare loan products.

Purchase Points

Points are also called discount points or buy downs. You pay upfront fees to the lender in order to buy down your interest rate over the entire life of your loan. One point is equal to 1% of your loan. So if your loan is $100,000, 1 point is $1,000. If you are going to keep your home more than five years, you may want to buy points to get a lower interest rate.

Interest Rate

Interest rates changes on a daily basis. The lower your interest rate, the lower your monthly mortgage.  Lenders determine your interest rate by Read the rest of this entry »

Good News for Denver

According to a recent study by S & P-Shiller Home Price Indices, Denver home prices have actually risen approximately 29% since January of 2000.  While prices are not as high as a few years ago, inventory is low keeping prices level.  The Denver housing market really never experienced the housing boom like Las Vegas, Arizona, California and Florida and the rest of the country so when the bubble burst in 2007, Denver did not feel the hard hitting effects of the real estate crash.

The report reflects that 20 metropolitan cities in all have seen an increase of 44.23% since 2000. Denver lies somewhere in the middle with 10 of those markets increasing more than Denver and 11 of those markets trailing behind Denver. For instance, while Denver home prices were off 2.9% in July 2008 to July 2009, Las Vegas saw their market take a fall to 31.4%.  Detroit has lost almost 30% of their home value since 2000. All in all, the Denver market remains a healthy and stable real estate market in comparison to other markets nationwide.    That is really good news for Denver homeowners and buyers who are Read the rest of this entry »

Recently Forbes ranked Colorado #4 out of 10 best states for doing business. The rankings are based on the following criteria: costs, labor supply, regulatory environment, current economic climate, growth prospects and quality of life.  Costs including labor, energy and taxes had the most impact on the ranking. Colorado rates number 1 in the entire nation on labor supply, number 2 regarding growth and number 5 on favorable economic climate.  Other contenders on the list were the following states:

• 1. Virginia.
• 2. Washington state.
• 3. Utah.
• 4. Colorado.
• 5. North Carolina.
• 6. Georgia.
• 7. North Dakota.
• 8. Texas.
• 9. Nebraska.

Forbes also ranked Denver, the Mile High City, as one of 10 U.S. cities where more Americans are relocating.  Five Colorado cities made the Forbes Magazine top 40 best places for business and careers.  Fort Collins ranked No. 2, Denver ranked  No. 14 and Boulder ranked No. 20.

Forbes is not the only company ranking Denver Read the rest of this entry »

If you own an older Denver home, you especially need to be prepared in case your home requires costly home repairs. By having your home systems checked and maintained periodically, you can find out if there are any problems and prepare for these costly repairs. Sewer lines and water lines are areas underneath your home that most people forget to check on a routine basis. The cost to fix these items can be expensive.

Sewer Lines and Main Water Lines

Prior to 1975, Denver sewer lines were made of vitrified clay pipe. This pipe is especially susceptible over time to tree-root infiltration, ground settling and erosion, which cause it to move or collapse.  Have your lines checked periodically.  It is well worth the service call fee of a few hundred dollars to know what is going on under your home.

Here are some signs that you may have a sewer line problem:

• Your plumbing backs up frequently
• Water pooling in the tub or shower.
• Water or sewage leaking and coming up through a basement floor drain

Here are some signs that you may need a new water line:

• Poor water pressure
• Low volume
• Any wet spots in your yard which mean there may be a pipe leaking.

Inspections

A pipe inspection service will run a camera attached to flexible tubing through your pipes to the city’s main line to find out what the problem is. Ask to see the video before agreeing to make any repairs, and get a couple estimates if the bid sounds too high.

Denver and Arvada’s waste management department will review the video for you for free and Read the rest of this entry »