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May

19
2009

This is not 'Missile Command'

By Glenn Roberts Jr., Tuesday, May 19, 2009.

TIP Strategies Inc., an economic development consulting firm, has mapped out U.S. job-loss trends using U.S. Bureau of Labor Statistics data. You can press the "play" button to watch as green circles (representing job growth) shrink and then blossom into red circles (job loss) over time.  more...

Buyer beware of location

By Bernice Ross, Tuesday, May 19, 2009.

Are you thinking about buying your first home? Perhaps you're considering buying a second home, retiring in a different area, or building your dream home. Even if you are purchasing in the same area, you must be vigilant during the purchase process.

In 2007, we decided to build a new home. I had specific requirements that I wanted: underground utilities; city sewer; and natural gas for heating. The subdivision where we purchased appeared to meet all those requirements. We received a list of utilities serving our MUD (municipal utility district). Because there were no visible propane tanks, I assumed that the area was on natural gas. When we were ready to move in, however, I was shocked to learn that our subdivision was on propane.  more...

Making the purchase pencil out

By Tara-Nicholle Nelson, Tuesday, May 19, 2009.
Cover image courtesy <a href="http://www.mhprofessional.com/product.php?isbn=0071603271&cat=106">McGraw-Hill</a>.

When I was in college, my statistics professor opened up the first day of the course with: "This is an equal sign. Whatever is on one side of the sign is the same as whatever is on the other side of the sign." Kinda basic, but she was a campus favorite in an otherwise dreaded subject, because her start-at-the-very-beginning approach truly left no student behind.

Similarly, Frank Gallinelli, in the 2009 edition of his almost-classic book, "What Every Real Estate Investor Needs to Know About Cash Flow … And 36 Other Key Financial Measures," starts out with the very most basic premise underlying real estate investing -- the concept of cash flow -- and builds slowly and logically from there. A serious investor at any level will not be left behind.  more...

FTC moves to protect mortgage relief site

By Inman News, Tuesday, May 19, 2009.

The Federal Trade Commission didn't know who was buying sponsored links for the search term "Making Home Affordable" and then redirecting traffic from the Web site of the Obama administration's free mortgage relief program to their own commercial sites. But the FTC wanted them to stop.  more...

Septic system liability looms for buyer

By Barry Stone, Tuesday, May 19, 2009.

DEAR BARRY: The home we're buying was built in 1947, and it still has the original septic tank. We plan to have a septic inspection but are still worried. We've never had a home with a septic system and don't know anything about possible problems with one. The seller promised to pay for a septic inspection and then backed out of his offer. So we'll be paying to have it inspected. But even if the inspection goes well, how difficult is it to live with a septic tank? --Raluca

DEAR RALUCA: People who move from the city to the country are often mystified by septic systems. With a municipal sewer system, you simply flush it and forget it. With a septic system, you still own what you flush. But that ownership is not necessarily a problem, as long as the system is in good condition.  more...

Economic climate prime for home gardens

By Marcie Geffner, Tuesday, May 19, 2009.
Flickr photo by <a href="http://www.flickr.com/photos/the_ewan/2962762666/" target=blank>The Ewan</a>.

Oregano and chives.

Those are the only two plants in my backyard. There are also two fruit trees, which produce abundant crops of plums and apricots in midsummer, and there was a lemon bush that I managed to kill a few years ago, possibly because I don't really like lemons all that much except in pies and on fish fillets.  more...

Picking the right mortgage rep

By Dian Hymer, Tuesday, May 19, 2009.

Just as using a top-notch real estate agent enhances the quality of your home-buying experience, so does working with an astute mortgage broker or loan officer. The 80-20 principle applies to most businesses: 20 percent of the practitioners are excellent; 80 are not.

How do you find the best person to help you through the rigorous mortgage approval process that has become the norm in today's housing industry? You need someone who knows how to work in the current environment. Getting a loan through the process to a successful closing requires grit and tenacity.  more...

Builder confidence hits 8-month high

By Inman News, Tuesday, May 19, 2009.

An index that gauges builder confidence for single-family homes jumped two points in May, to its highest level since September 2008, according to the National Association of Home Builders.

The May gain in the Wells Fargo-NAHB Housing Market Index followed a five-point rise in April.  more...

Even the smartest ones lose their homes

By Curbed.com, Tuesday, May 19, 2009.

First, Edmund Andrews, an economics reporter for the New York Times (who makes $120,000 a year), falls in love, and then he buys a $460,000 house in Silver Springs, Md., and then he takes out two mortgages (a primary mortgage of $333,700 and a "piggyback" loan for $80,300).

Here's how his broker convinces him not to worry about the loans: "'Don't worry,' " Bob reassured me, saying what almost everybody else in real estate was saying at that moment. "'The value of your house will be higher in five years. You'll be able to refinance.' "  more...

NAR postpones vote on Web indexing Premium Content

By Matt Carter, Tuesday, May 19, 2009.

The National Association of Realtors' board of directors has postponed until at least this fall a decision on whether brokers who participate in data-sharing agreements are violating NAR policy if they allow search engines to index other brokers' for-sale listings.

Convening at NAR's midyear convention in Washington, D.C., the Realtor association's Multiple Listing Issues and Policies Committee last week recommended that a 2005 policy be amended to clarify that brokers may allow search engines to index listings shared through Internet Data Exchange (IDX) reciprocity agreements (see story).  more...