Larry Luenser

Across the country, farmers markets help encourage local farming as well as reducing your carbon footprint. By purchasing fruits, vegetables and other wares from local vendors, less gas is consumed to bring these products to the marketplace and you get the absolute freshest of ingredients. Luckily, Phoenix has its very own farmers market that takes place every Saturday in the downtown area (corner of Central and McKinley) from 8am-1pm. It's absolutely FREE to gain admission to the market. Vendors from all over Arizona congregate at the Phoenix Public Market to sell fruits, vegetables, flowers, honey, chocolate, bread, roasted coffee and even meat and dairy products. They accept cash, Visa, Mastercard, AZ Farmers Market Nutrition Program checks and even food stamps. Parking is also free at the market. For more information on the local Phoenix farmer's market, please call 602-493-5231. Come out and support all our local farmers and vendors.

Larry Luenser, your Phoenix real estate expert

According to the Arizona Regional MLS (ARMLS), home sales in Maricopa County for June 2009 have increased significantly from July 2008. There were a total of 7284 single-family homes sold in June 2009. This is a 59.7% increase over single-family home sales in July 2008 (4562). Likewise, sales of manufactured homes (52) and other residential units (950) showed a 62.5% and 59.9% increase, respectively, over July 2008 figures (manufactured home sales were 32 units while other residential units were 594). Active listings are down across the board and pending sales were up in June 2009 compared to July 2008. The median sold price for single-family homes, manufactured homes and all other residential units are still down from July 2008. This means there are alot of people out there taking advantage of the low prices in the marketplace. Don't miss out on your Phoenix dream home. This won't be a buyer's market forever. Contact me today!

Larry Luenser, Your Smart Choice for Phoenix real estate

The high rate of foreclosure filings in the Phoenix area as well as throughout the state tell us all that there are a lot of homeowners having trouble making their payments. Unfortunately, there are always unscrupulous people who are willing to take advantage of those in trouble. The FBI and local law enforcement agencies all over the country are well aware of the increase in loan modification scams. In fact, loan modification scams have become so prevalent, that Congress has just passed legislation giving the FBI a boost in combatting the problem.

* The FBI will be setting up task forces to deal with the problem in all 50 states.
* The FBI will ramp up investigations of mortgage and financial fraud.
* The bill will provide $75 million to the FBI to hire 190 special agents and more than 200 professional staff and forensic analysts.
* The FBI is expected to double the number of mortgage fraud task forces, from the current 26 to more than 50 nationwide.

Loan modifications are probably the best bet for homeowners who have missed one or more payments in Phoenix and its surrounding communities. However, distressed homeowners must beware and be aware.

* Beware of loan modification companies asking for out-of-pocket money.
* Beware of loan modification companies that guarantee a loan modification.
* Beware of loan modification companies that guarantee a reduction in your loan balance.
* Beware of loan modification companies that guarantee a reduction in your payments and/or your interest rate.
* Be aware that even a money back guarantee can be a scam. Although, the company may return part of your out-of-pocket fees, they may not have really earned any payment.
* Be aware that loan modifications are free; they do not incur any lender fees.
* Be aware that not even your lender can guarantee a loan modification, lower payments or interest rates.
* Be aware that you must complete a loan modification package from your lender, a company cannot do this for you.
* Be aware that you must qualify for a loan modification.
* Be aware that you must provide income documentation proving you qualify for the agreed mortgage payment.
* Be aware that free help is available through Making Homes Affordable for homes financed by Fannie Mae and Freddie Mac.
* Be aware that free help is available through HUD approved counselors, no matter your loan type.
* Be aware that lenders receive incentive payments from the government to help you stay in your home through a loan modification.
* Be aware that most people are qualified to handle the loan modification without assistance.

If you truly do not feel comfortable with the a loan modification process and feel that you need help, then you should seek help; after all it is free. Start with the Arizona Foreclosure Information Workbook or speak with a HUD approved counseling agency.

Larry Luenser, your Phoenix real estate expert!

Note - If you have been a victim of a loan modification or foreclosure scam, please contact the FBI:
FBI Phoenix office
FBI Offices in Arizona

The new numbers reported by Realty Trac place Arizona in the fourth position for highest foreclosure filings. One in every 164 homeowners in Arizona received a foreclosure notice. These new numbers may seem to be in contrast to my last blog, Phoenix Real Estate on the Upswing, so let me explain. Last week's blog concerned the upswing in home sales, which still remains true. Also my blog ended by letting you know that we were not out of the woods yet. The economy and job loss will certainly take it's toll and contribute to the foreclosure market.

When talking about foreclosures and the resulting numbers, there are some factors to consider:

* Foreclosure filings can be misleading. The numbers released today include Default Notices, Auction Sales and the number of homes lenders repossessed.

* Re-defaults. There is no report that gives us the number of homes that have re-defaulted. Unfortunately 60% of homes that recieve a notice of default and are able to stave off foreclosure for a period of time will go back in to the foreclosure process within one year. This keeps the number of foreclosure filings miscued.

* Foreclosure filings are different than the actual number of homes which are repossessed by the lender. Only 63,903 of the 342,038 foreclosure filings reported in Realty Trac's latest report were actually repossessed. Only repossessed homes go on the market.

What the future holds in regards to foreclosure inventory is what will determine the recovery of the Phoenix Metropolitan Area's housing market.

* Loan modifications for distressed homeowners will help to reduce foreclosed inventory. How many homeowners in the Valley of the Sun will actually be helped by loan modifications is unknown. But, whatever the number, it will help to keep inventory down.

* Loan modifications keep the flood at bay. On March 31, the moratorium on lender repossessions ended, but this helped to decrease the total number of homes coming on to the market. The loan modification process is not a short one. This will help delay foreclosed properties from coming on the market, which will help to keep the total number of housing inventory down.

* The Make Home Affordable program offers incentives to lenders to cooperate in loan modification. Every loan modification that is granted will help to keep the number of foreclosed properties down.

* Sub-prime loan defaults are on the decrease. Most sub-prime loans scheduled to adjust from fixed rates to adjustable rates were scheduled within 2 - 5 years from the time of purchase. The bulk of readjustments have already occurred and the number of foreclosures due to sub-prime rates will steadily decrease, However, foreclosures for these loans will continue through 2012.

Toxic loan filings are on the decrease and loan modifications will help not only to keep the number of foreclsoures down, but will also help to slow the number of foreclosed market coming on the market. If we can absorb the inventory at a steady pace, the housing market will be able stem the downward spiral and then begin to stablize.

Larry Luenser, the smart choice for your Phoenix real estate needs

I am happy to report that the upswing in the Phoenix area has nothing to do with golf and lots to do with the current the real estate market, which has experienced an upswing of late. This is not to say everything is rosy. But, recent figures are definitely on the upwswing, which means some figures are down.

* DataQuick Information reports that single-family home sales in the Phoenix area has increased 55.1%.
* The number of homes for sale has steadily decreased since November of 2008, with 13,297 homes on the market (the highest number of homes in the past two years). Currently, there are approximately 8,466 homes on the market,
* The months of standing inventory has steadily decreased from 19.7 months in January 2008 to a current inventory of 4.9 months.
* The number of homes sold has risen from 897 sold in November 2008 to 1,867 in March 2009, the highest number of sales in the past two years.
* Some neighborhoods have seen sale prices flattening and a few have even experienced an upswing in sales price.
* Arizona cities were some of the most searched areas on the internet in the first quarter of 2009, according to ZipRealty.com.

The recent activity seems to indicate Things Are Looking Better in the Valley of the Sun and the real estate market is on the upswing. The Phoenix area has not seen affordable pricing like this since 2001. The jump in sales volume shows that investors and buyers are seeing the Valley of the Sun as a "hot market" for their real estate dollars.

The new numbers seems to show that the Phoenix area may have already seen the worst of the market. Foreclosures due to sub-prime loans are on the decrease and the top of that wave has passed. I do not mean to say that we are out of the woods completely or a new boom is on the horizon. It will be a long road to the days of June 2006, when prices peaked.

The Phoenix Metropolitan Area is still among the top ten cities in regards to foreclosure proceedings. More foreclosures will be coming on the market in days ahead. Banks placed a moratorium on foreclosure proceedings last fall. In April, that moratorium was lifted so a new batch of foreclosures will be entering the market. However, there are some factors which I think will keep the inventory from reaching the sky high number seen in November 2008. I will address those factors in my next blog.

Larry Luenser, the smart choice for Phoenix real estate