Terry Bishop

[gallery] Life is full of things we promise ourselves we are going to do, or promise others, and so is the case with George Zoritch to whom I promised a roast lamb dinner...and never delivered.

I first met the acclaimed ballet dancer after I had ordered "Ballet Russes" from Netflix. I watched it with fascination; the graceful movements of the participants of the Ballet Russes, and the difficulties they endured with long hours, low pay, but profound love for their craft. These were the days when people performed for the love of performing, not for exhorbitant salaries.

George was interviewed on the documentary and from the locale and his dialogue, I thought I knew where he lived. So checking sources, I found I was correct, less than a mile from my home.

With a friend, I excitedly went to purchase a huge bouquet of flowers ... as a thank you to this gentleman who had brought me pleasure just watching "Ballet Russes". And I realized what a magnificient career he had and the pleasure he has brought to thousands of others.

We approached the wrought iron gate and rang the bell, and some time later, a wiry gentleman appeared and I knew instinctively he was George Zoritch. Bewildered, he wondered why this woman and friend were standing at his gate with flowers and he graciously invited us in where we sat and chatted for a long period of time.

Regaling us with stories of his career, telling us he still did his exercises every morning in bed before he rises, talking about his days at the Unversity of Arizona, and his impressions of people with whom he danced, George enthralled us.

We looked at awards and memorabilia, and fixed the flowers in a vase for him. And he brought out his recording, "Ballet Mystique Behind the Glamour of the Ballet Russe" A Memoir by George Zoritch. It is "the piano music performed during the barre and centre exercises by Vladimir Kudryavtsev, the Concertmaster" of the Bolshoi Ballet, according to the accompanying insert. It also includes thirty one compositions by Semeon Gravilovitch Zoritch who "founded Classical Ballet at the Place in St. Petersburg Russia" according to another insert. This gentleman was George's Great Grandfather who founded Classical Ballet at the Palce in St. Petersburg, Russia.

The Premier Danseur was a protege of Mr. Leonide Massine, "who created 11 leading roles for him". As George told us stories, his eyes danced obviously in delightful memory. He talked about his relationship with George Balanchine, the leading ballerinas with whom he partnered, his life in Europe, and his coming to America and dancing here.

I saw George at the post office one day mailing his letters and we all remarked upon his photo stamp, a replica of the famous photo "Le Spectre de la Rose". Truly I am grateful the little Russian boy, born in Moscow in 1917, graced this world with the beauty of his movements and dance interpretations. We are all richer for this creatively unique life.

Resources: http://www.GeorgeZoritch.com

http://en.wikipedia.org/wiki/Ballets_Russes

http://en.wikipedia.org/wiki/George_Zoritch

Videos of George Zoritch: http://video.google.com/videosearch?hl=en&q=Geroge+Zoritch&um=1&ie=UTF-8&ei=xmf0SpmqFZSusgOi-s0R&sa=X&oi=video_result_group&ct=title&resnum=4&ved=0CBwQqwQwAw#

New York Times Obituary http://topics.nytimes.com/topics/reference/timestopics/subjects/d/deaths_obituaries/index.html

The new Mortgage Disclosure Improvement Act (MDIA) promulgated by the federal government is not much of a change for lenders who were ethical and disclosed costs initially; but for those unscrupulous lenders who performed "bait and switch" during the home buying heyday, lamentations are rampant.

"The purpose of the new Mortgage Disclosure Improvement Act is to insure buyers are fully aware of closing costs and interest rates which they will be charged on their mortgage loan," said Courtney Walker, Vice President of Nova Home Loans. "They don't get to the closing table and are surprised by the numbers", Walker continued.

Within three days of applying for a loan, a full cost disclosure must be given to the applicant. The cost disclosure must be given before any fees are collected, with the exception of any fee charged for pulling the consumer's credit report, according to the amendment to Regulation Z, Truth in Lending. Closing cannot take place for seven days unless specifically requested for an emergency.

In the heyday, reputable lenders provided cost estimate sheets for their clients with the closing costs and loan costs spelled out, including the interest rate. Good Realtors helped clients by providing clients with names of honest lenders and kept an eye on closing costs, making sure there were no pre payment penalties or other charges unless the client understood the terms of the loan.

This legislation comes as a result of the numbers of people who said they did not understand the terms of their loan and the loan costs, such as the option arm loans or the first 80% fixed rate loan with an adjustable rate for the second loan.

"The point of the MDIA is that whenever closing costs or interest rates change, the APR reflects these changes in the closing costs and interest rate." Walker gave the following example: A person is offered a fixed rate and the APR is stated, and then offered a 2% rate with a $10,000 up front charge. How does that person know which loan to choose? "How are they going to compare an apple with an orange? The APR will help do that", Walker said.

Under the new legislation, if the APR moves 1/8 of a point either up or down, the lender must redisclose to the client "to insure that the buyer is fully aware". The borrower must be given a reasonable amount of time to review the new numbers. "The buyer must receive, review and acknowledge in writing the new disclosure" and if the new numbers are not approved, then the buyer must change courses.

Escrow fees are included in the APR so it is important that the Title Company named in the buyer contract documents is not changed. Title companies in the Phoenix area charge different rates than the title companies here in Tucson. For people purchasing foreclosure or short sale properties, any costs the buyer pays, such as allowable seller closing costs, must be included in the APR.

If the market moves tremendously, and interest rates go down, redisclosure is mandated, even if to the borrower's advantage. Lenders cannot collect upfront fees from borrowers at the time of application. These include appraisal fees and lock in fees.

Lock in fees are relatively new and are similar to earnest money, Walker said. The purpose of up front lock in fees is because investors (of the loans which the borrower is applying) are beginning to penalize lenders for not delivering on loans for which borrowers apply. This is often due to borrowers shopping rates. "Time, money, and effort is put into getting a loan approved" Walker said, and the lock in fee shows good faith on the part of the borrower. The fee is remitted at the close of escrow as a credit on the closing statement.

The new requirements do not add time to the loan process, Walker said. "Nova underwrites locally, draws the docs locally, and funds from its own money," she added. "Even with FHA and VA loans, we have basically a 30 day turn around time".

Some lenders are recommending a 45 day closing time, so that if a contract is written August 1, closing should be stated September 15. A Realtor who works closely with the lender is your best advisor, knowing the turn around times of lenders is even more imporant, and it underscores the need to use local lenders.

Resources:

Nova Home Loans http://www.lancedickson.com

Federal Reserve Board Press Release

http://www.federalreserve.gov/newsevents/press/bcreg/20090508a.htm

Federal Register: http://edocket.access.gpo.gov/2009/pdf/E9-11567.pdf

I posted this to my blog this morning: http://www.terrybishop.com/blog

Many out of town people come to Tucson with the idea of purchasing property. In today's real estate market, they can cherry pick amongst bargain properties. But now, with new requirements set forth by lending institutions and the federal government, a little planning goes a long way.

From the comfort of one's home in Anytown, USA, a future Tucson resident can use the websites provided by local lenders to apply for home loans. It should be emphasized, local lenders, regardless of where you are moving, are the people who know and understand the quirks of the marketplace. If applying for a loan in Tucson, the lender in upstate New York has no idea what our market conditions are, nor should he/she be expected to know. Conversely, a lender in Tucson does not know the market in upstate New York.

Many of the lenders advertised on television or the internet do not know the local market. They sit in a huge room with a computer screen and sometimes the borrower does not even talk with the same person twice. This may not be true for all internet and lenders advertised on television, but real estate agents have a bevy of horror stories because these lenders do not know or understand Arizona law.

Using local lenders, (three are provided below) and talking with a Realtor who can make initial contact with these lenders, will get you the very best service. A pre approval and LSR (Loan Status Report) for the Realtor prior to looking at property, will insure the buyer of being able to make an offer without delay.

A LSR is required for all offers. This tells the seller and the seller's agent, that the buyer has been preapproved for the loan requested and that the buyer has talked with a lender and provided the lender initial data requested. Unless financial conditions dramatically change, the buyer should be able to consumate the transaction. The purpose of the LSR is to prevent people from making offers on properties, (and tying up properties from future potential buyers) , which the original buyer cannot afford.

While in the armchair comfort of home, the newcomer to Tucson can determine what documents will be needed by the lender and can either fax or mail copies of those documents. Being pre approved streamlines the entire process, and in a market where interest rates jump from day to day, or from morning the afternoon, plus the new lending requirements regarding time frames and disclosures by lenders to the borrower, the soon to be new Tucson resident, sits in the cat bird's seat.

Lenders:

Lance Dickson Nova Home Loans http://www.lancedickson.com

Tom Heath http://www.theheathteam.com

Jerry Sundt http://www.sundtmortgagegroup.com

Realtor: http://www.terrybishop.com

e-mail: terry@terrybishop.com

We have been working for a few weeks now trying to determine what type of property to purchase...single family, duplex, home with a guest house...for an investment property. Trying to sort out what is most advantageous for a new investor is not always easy since there are so many things to consider.

What area?

What type of property? A property= high end; B property=middle of the road; or C property= lower end.

What price range?

Who is the audience to whom the rental is targeted?

Laying the appropriate groundwork is paramount to success; understanding the accounting when one owns rental property; understanding the advantages of a 1031 tax deferred exchange; deciding whether to form an LLC, all are important considerations. This means talking with professionals; the accountant, the facilitator for information, and possibly an attorney. Formulating some type of long term plan with short term goals so we are all on the same page regarding the map to success comes next.

But in the meantime, we have been looking at various types of property to familiarize my client with the maket. There seemed to be plenty of potential candidates for purchase on the market a month or so ago, but suddenly, she said, everything she liked has a contract on it.

The real estate market is definitely stirring. Properties priced correctly and which show well are not languishing on the market as they were a few months ago. Second homes and retirement homes are showing signs of life. Adding steam to the market is Tucson's AARP designation as the number one place to live which is both an affordable and desirable retirement area.

Real estate prices are still low, interest rates remain below 6%, and although requirements for loans have tightened somewhat, money is available. People are putting their homes on the market, there still is an abundance of short sales and foreclosure properties, and savy investors are purchasing properties on the steps of the courthouse.

A good cross section of housing is available and Tucson remains a buyer's market. It is time to scoop up there bargains because this market will not last. It always boils down to supply and demand.

If you are thinking Tucson, now is the time to act. Use a local lender who knows and understands our market here, and a good Realtor who listens to your needs and wants. Take a look at my web site to garner information which will help you as well as provide the opportunity to input your own criteria and see what is out there, and if you don't have a Realtor now, contact me. I am always willing to help!

Take the comments of my client seriously..."all the good properties suddenly have contracts on them!"

Lenders:

Lance Dickson - Nova Home Loans - http://www.lancedickson.com

Tom Heath - The Heath Team - http://www.theheathteam.com

Jerry Sundt - VIP Mortgage http://www.sundtmortgage.com

Realtor: Terry Bishop http://www.terrybishop.com

Purchasing real estate is one of the prirmary reasons the consumer should make sure the credit score does not contain errors. A difference of 1 % between a 5.5% loan and a 6.5% loan is $128.56 a month. At 5.5%, payments principal and interest are $1135.57 and and 6.5%, $1264.13 a month, Over a 30 year loan, this totals $46,283...that is a lot of money!

When information on a credit report is inaccurate, it should be corrected by the consumer as soon as possible. The consumer can correct and request deletion of information. The Federal Trade Commission has a web page devoted to credit report including a brief online video. According to the FTC, check the credit report annually

"Because the information in your credit report is used to evaluate your applications for credit, insurance, employment, and renting a home, you should be sure the information is accurate and up-to-date. In addition, monitoring your credit is one of the best ways to spot identity theft. Check your credit report at least once a year to correct errors and detect unauthorized activity."

The site provides information on what to do, how to request information. and how to dispute and correct the credit report mistakes. This should be done by the consumer, turning the problem over to a credit counseling agency costs money and may not rectify the inaccuracies.

Writing letters to each of the credit agencies detailing the inaccuracies and requesting an investigation into the problem is preferable. The consumer should include name, address, social security number, spouse's name, previous addresses for the last five years, and phone number and request a corrected copy of the credit report.

According to Patrick Ritchie, "42% of the credit problems are medically related". Many people put medical costs onto credit cards or are reported as delinquent by medical professinals including hospitals because of disputes between medical providers and insurance companies. The consumer may believe bills have been paid, but the insurance company has not anted up and the debt is outstanding. Even when the debt is paid, the provider often does not contact the credit reporting agencies to correct the inaccurate report.

Parents often co sign for their children. The purpose of co signing should be a red flag; this person cannot get the credit requested on his/her own. Real Estate agents see this situation all to frequently when people wanting to purchase a property cannot do so because they have co signed for a friend or relative who did has not meet the debt obligation. In many instances, the would be purchaser of a home had stellar credit which was decimated by the friend or relative defaulted and had no idea of the default until the credit report was pulled for loan information.

Divorce can bring credit issues as well. Each spouse should insist his/her name is removed from all joint credit accounts and new cardsestablished in each individual's name. Any joint debt should be resolved if possible, prior to the dissolution of the marriage. Debt holders can go after either party, and people contemplating divorce are trying to build a new life which can be difficult with derogatories on credit reports. Credit card companies are not bound by the terms and conditions of a divorce decree.

Credit is a necessity of life in today's world. We need it to rent a car, sign up for cable, rent or buy a place to live. Credit is also a convenience, it is the roadway to lower interest rates, and it should be managed carefully and protected like gold.

Resources:

The Federal Trade Commisison: http://www.ftc.gov/freereports

Patrick Ritchie http://www.TheCreditRoadMap.com

About credit cards and divorce: http://www.creditcards.com/credit-card-news/dividing-credit-card-debt-divorce-1282.php

Equifax Credit Information Services, Inc. http://www.equifax.com

P O Box 740256 Atlanta, GA 30374 -0241 (800) 685-1111

Trans Union Corporation http://www.tuc.com

P O Box 2000 Chester, PA 19022 (800) 916-8800

Experian Http://www.experian.com

P O Box 2104 Allen, TX 75013 (888) 397-3742

I posted this to my blog this morning at: http://www.terrybishop.com/blog