Kathy Toth Ann Arbor, MI Real Estate

Many of our clients are bringing money from other countries and we want to provide a currency converter. Before transferring money for a transaction, check with your lender and the title company regarding homeland security issues. We just had a closing not close because the parents transferred $52,000 into the Ann Arbor condo buyers bank account. He only needed $12,000 so the lender had to have documentation for the additional funds which happened to be from China. Once documentation was secured (one week later) the son was able to close. He was thankful for the money, but the additional funds could have waited until after closing to prevent the delay.

One of the cool things about living here is having many international friends, some who are foreign language professors. Some of our professor friends have volunteered to help us with relocation buyers language translation needs. Talk about personalized service!

We like to be helpful whenever possible. One of the added values we carry is a measuring device. Our Ann Arbor Area Board does not require room measurments. Agents can take them and enter them, and we do. But when we are at other listings, it can be very useful to the buyers to know room measurments. I can’t tell you how often the electronic device has helped our Ann Arbor Real Estate buyer clients. Most buyers want to know if the bedroom furniture will fit, or if the side yard is big enough for the dog kennel, or if the garage is deep enough for their truck, or just generally to measure out room or yard dimensions. So if we’re working together and you’re wondering how big a room is – just ask! We’ll grab and measure to see if the property measures up.

We know, it’s just a little thing. But we think it’s kinda nice. If you are relocating to Ann Arbor, give us a call to find the best properties and make sure they work for you. And remember to come to the Ann Arbor Home Buyer Seminar Oct 7th.

Buyer Roundtable

United Bank and Trust and Top Ann Arbor Agents Host
Free Home Buyer’s Roundtable

Today’s market is extremely challenging for both sellers and buyers. Kathy Toth and Team will be hosting a round table discussion about current housing trends in hopes to arm buyers with knowledge about the changes in lending guidelines and programs.

Nationally known, Toth has been a real estate agent since 1989 and is consistently one of the top selling Realtors® in Michigan. With local knowledge and years of experience, Kathy Toth and Team provide this seminar to help potential buyers understand this difficult market. As part of one of the leading real estate teams in Michigan, Keller Williams Realty, the buyer agents take a personal interest in guiding Ann Arbor residents through purchasing a home.

During the seminar, United Bank & Trust and our Team will cover various home buying topics in clear, easy-to-understand language that will include:

• Gain the knowledge that will help them buy and/or sell a home in a slow market
• Discover ways to save money
• Learn how to buy a home with no money down and other helpful buyer tips
• Participate in our open discussion to dispel real estate myths

Home Buyer Seminars are open to everyone, whether or not a home purchase is in the foreseeable future.

The upcoming seminar is scheduled for the following date:

• Date: Wednesday, October 7th 2009
• Time: Seminar Begins at 6:00 p.m.
• Where: United Bank and Trust, 355 S. Zeeb Road, Ann Arbor, MI 48103 Come into the building’s South entrance to get into the bank.

To RSVP, please get your name on the list; call Diane 734-845-6542 or email Info@KathyToth.com.

Buyers will also find additional information and resources at Toth’s web site, www.KathyToth.com, where they can also sign up for her free monthly newsletter, search listings, as well as find additional information on buying or selling a home.

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What percent of recorded deeds are sheriff’s deeds? See video of James Dries, as he explains.

One in eight deeds that have been recorded in 2009 are foreclosure deeds. The number of sheriff’s deeds recorded in 2009 lag behind those recorded in 2008. Anticipated 2009 county tax revenues will be about $1,000,000 as compared to $4,000,000 in the recent past, according to James Dries of Washtenaw County. Transfer taxes are not collected on sheriff’s deeds. That combined with real estate price declines account for tax reduction revenues. Will the recent deferral laws stall the foreclosure inventory coming on the market? Is the market stabilized? Watch James monthly reports as we do to find out the most recent trends. What does Lawrence Kestenbaum, County Clerk/Register of Deeds do for Washtenaw County? Listen to Larry talk about transfer tax and deed recording history.

He has a political web site from colonial times to present, that you might want to check out. What else do you wonder? What did you think of the videos?

The Real Estate world is always full of confusing terms, part of our job is to de-mystify them for you, the client and reader, to allow you to understand the opportunities that are out there for you!

Being Short Sale and Distressed Property experts, we are the leaders in the Ann Arbor Bank Owned and Short Sale Market.

Realty Times has recently written an article discussing investing in Bank Owned Properties, (REO’s), and Short Sales. However with much press at the moment about foreclosures, how are you to know the difference? Well, here is, in short, a handy guide showing the salient points:

Bank Owned Properties:

Who Owns This Type of Property?: Typically a bank or a national servicer.

Offer Process?: Standard purchase and sale agreements are used as well as the banks’ own addendums and disclosures. Before a Bank forecloses they have one or more brokers provide an opinion of value. (BPO) Then at the time of foreclosure/listing they have the listing broker determine if that value is still valid. Most of the time the Bank is pricing the property near market value and is expecting to sell the property close to the asking price. Note that with regards to repair contingencies, the Bank prefers not to make repairs to the property so an “as-is” sale is common.

Money/Financing: Earnest money will need to be in the form of a cashier’s check. Proof of funds for the down payment and loan approval for the balance will also need to accompany the offer. If financing may be difficult for you then perhaps rethink this type of sale.

Closing Dates and Timing: The quickest turnaround time is best. Be prepared to move quickly. This is why there are so many cash deals for these types of transactions. Once a buyer’s broker has submitted all the appropriate paperwork in accordance with the bank’s rules you may receive an answer within hours or it may take up to a week. Be patient!

Short-Sales: (See our guide - Three Qualification for Short Sale)

Who Owns This Property?: Legally the property is owned by a person or entity (e.g. company - LLC, Corporation, Trust, etc) and the house could be occupied or it could be vacant. However, this is a negative equity situation and the owner needs lender approval to affect the sale.

Offer Process?: A standard purchase and sale agreement is used along with an addendum acknowledging the fact that this is a short-sale transaction. It’s listing price for the property may be well above, at or below market. As with REO’s, repairs are unlikely and uncommon. Therefore “as-is” contracts are common.

Money/Financing: Earnest Money should be in the form of a note that is converted to cash (check to Escrow) after acceptance or even after removal of the inspection contingency. Also you should supply proof of funds for down payment and pre-approval from the lender for any new loan to make your offer stronger. Being prepared with paperwork is key here and supplying as much information about how strong a buyer you are will help.

Closing Date/Timing: Closing can occur within 30 days but the 30 day clock will not start until the lender gives their approval – The approval process may take one week or it may take up to three months. Watch out that while you are waiting the bank does not foreclose making your deal void!

In short - have patience and persistence and you may be successful with short sales! The National Association of Realtors has published a “field guide for short sales” available here.

However the best thing for any complex transaction like bank owned properties or short sales is to have the assistance of a knowledgeable team behind you. So call us, today for assistance with bank owned properties and short sales.

To view Ann Arbor distressed sales this week, please go to http://kathytoth.com/foreclosure_deals. Click here to search Ann Arbor Real Estate using our complimentary Ann Arbor Real Estate MLS Search service. Alternatively please contact Kathy Toth and the team if you need more specific assistance in your Ann Arbor Real Estate needs.