Matt Hodges

I have tracked foreclosures closely for the past few years and obviously trends all over the Country are moving up. Well, Grand Traverse County is no different in that aspect.

With the 90 day moritorium ended and many of the ARM's coming due we are set for a busy fall and winter 2009-2010! As of August 4th (the last update with the Register of Deeds) we (Grand Traverse County) are just above the pace set from 2008; however, we must remember the two factors I mentioned above. One being the moritorium held back many of the foreclosures that were headed towards default as well as many 5 year ARM's that have come due will hit the market soon.

What we will see more of later this year is much of the same, but we will also see some larger properties, such as second homes and certainly some of the JUmbo loans that weren't affected by the "bailout" this past year. My crystal ball is showing that we will see more and more prime loans slip into foreclosure and the more "desireable" areas will be on the market at a reduced or distressed rate. This will have a couple different effects on our market -1) It will likely pull the market value down in these nicer areas more that what was first prediced and, 2) It will certainly spur some great buys for move up buyers and of course the investors that are looking for "the deal".

It has been interesting following the foreclosure laws in the past year or so and watching how it has effected the market - It is ever changing, but the trends seem to be pretty clear. More foreclosures to come and your going to see some major lakefront and executive deals in the very near future.

This is an interesting market and I am looking forward to working through it!

Matt Hodges

Exit Realty Paramount

Matt@MattHodges.net

www.MattHodges.net

I have always wanted to get involved somehow in my community, but never have for some reason or another. Yesterday I went to a Luncheon that the Young Professional group put on at the Garfield Township office yesterday, which included 13 non-profit agencies looking for volunteers on all levels. I didn't know, but there are over 200 non-profit agencies in our community, many of them are looking for folks, like you and me, to get invloved in some capacity.

With the economy the way it is in Michigan the need for support people are great right now. Like I said, I have looking for some way to get involved in my community and now I have found a few groups that my wife and I will be looking at to lend our time and energy to.

I am very busy in my Real Estate career and my wife owns her own business along with our two and four year old girls we are always busy. Even with all of that I figure we can all donate a few hours a month/year of our time to one or more great orginazations locally.

I think as young people in our community we can be advocates for volunteerism.

The may 1st deadline is fast approaching for buyers purchasing homes that maybe a bank foreclosure and is non-homestead for 2009.

If you are buying a foreclosure and it is slated to become non-homestead in 2009 you have to close by May 1st to file your new home as a homesteaded residence. Otherwise you will inherit the non-homestead taxes for 2009-10.

Call the township office in which the home is located and ask how the taxes will be for the coming year, so you can be prepared for whats to come.

I would suggest trying to close prior to the deadline in possible.

Since no one really will come out and say it - I guess I will.

In my area (Grand Traverse, Michigan) I think we have hit the bottom of the market. At least in the home prices under 130-150K. Most of the homes that I have been looking and offering on have had multiple offers and are going for at least the listing price!

I also think that many of the true investors ore coming out of the wood work and snooping around. Everyone knows of an "investor" that will come in and low ball any and EVERY home they offer on, but a true investor will recognize value or margins. I have seen more margin buyers, with cash, come out and begin to look. When these guys get off the fence, we will see a great up turn with every pricepoint in the market!

For the most part the stock market is beginnning it's climb and consumer confidence is really getting better evey week. With confidence comes spending and spending creates jobs, jobs create more spending and the wonderful circle continues!

All the buyers that have been thinking of buying - IT IS NOW TIME TO BUY! With prices down your opportunity's are at the highest levels I have seen! RATES are still extremely LOW - who knows how long that will last...

Since were at the bottom, there is no where to go but up - that includes prices and likely rates! If your in the market you will want to strongly consider buying soon.

2009 will be a great year for the Real Estate Industry and I am really looking forward to the rest of the year!

LANSING - Attorney General Mike Cox today announced a major settlement between the State of Michigan and Countrywide Financial, the nation's largest mortgage lender, resulting from allegations of predatory lending. The settlement will provide relief for more than 10,000 current and former Michigan homeowners who are struggling with the national home foreclosure crisis.

"Through our negotiations, we have provided a helping hand to thousands of Michigan families who are struggling with the foreclosure crisis," said Cox. "And, unlike the Wall Street mess, this was no bailout. Countrywide is paying, not the taxpayers."

Cox conducted national negotiations with Countrywide and other state attorneys general due to allegations of questionable lending practices. Those lending practices included misleading marketing techniques and incentives for selling loans with risky features, which may have contributed to the national increase in foreclosures.

As a result of the negotiations, Countrywide must offer to refinance thousands of Michigan mortgages, provide millions in financial assistance and stop questionable loan practices.

Under the terms of the settlement, Countrywide will:

• Refinance as many as 9,700 mortgages in Michigan, giving families an opportunity to keep their homes, and saving them approximately $129 million as a result of more favorable terms.

• Pay more than $9.8 million to assist Michigan homeowners who lost their homes to foreclosure. These funds will also be used for borrower education programs and neighborhood rehabilitation efforts.

• Pay relocation assistance payments to certain homeowners who go into foreclosure after the date of this settlement, costing Countrywide up to $70,000,000 nationally.

• Stop selling subprime and option ARM loans in Michigan for two years, and impose new limits on the sale of low or no-documentation loans.

• Cap the amount a broker can earn to 4% of the amount borrowed.

• Stop an automatic foreclosure process until certain details regarding the mortgage holder's situation have been verified.

• Report quarterly to the Attorney General on the status of its troubled mortgages and what it is doing to keep them from going into foreclosure.

• Maintain a specified number of staff focused on helping troubled homeowners avoid foreclosure proceedings.

Homeowners who acquired a loan from Countrywide Financial can call the Countrywide hotline for more information at 1-800-669-6607.

Citizens who feel they are victims of questionable lending practices can file a complaint with the State of Michigan Office of Financial and Insurance Regulation at 1-877-999-6442 or the Attorney General's Consumer Protection hotline at 1-877-765-8388.

http://www.michigan.gov/ag/0,1607,7-164--201239--,00.html