Reduce Webpage Risk by Removing @

Computer search robots are crawling through text on the Internet looking for Web pages that contain the @ symbol so they can store the email addresses associated with that symbol.  Without realizing it you may be putting yourself at risk simply by listing your email address on your Blog site or other business related site. The best solution is to replace the @ symbol with the word "at".  For example, Marybrooks@msn.com now becomes Marybrooksatmsn.com.  This could keep some of the spammers out there away from your site.

Improving Air Quality in Your Home

Here are 3 tips for improving air quality in your home from the Environmental Protection Agency.

1 - Source control.  Eliminate individual sources of pollution....areas that contain asbestos can be sealed off or enclosed and gas stoves can be adjusted to decrease their emissions.

2 - Improved Ventilation.  Heating and cooling systems don't usually bring fresh air into your home.
Open windows and doors, operate window or attic fans weather permitting or run a window air conditioner with the vent control open.  Pollutant-emitting activities like painting, sanding, soldering or welding should be done outside.

3 - Air Cleaners.  There are many types & sizes of air cleaners on the market from relatively inexpensive tabletop models to sophisticated whole house systems.  Some air cleaners are highly effective while others are much less so.  Air cleaners are not designed to remove gaseous pollutants.

A simple solution would be to try a house plant.  There is some evidence that household plants can help remove significant quantities of pollutants from the air in your home.  But, over watering plants can be detrimental to your home's air quality...damp soil can promote the growth of microorganisms.

How to Select Window Coverings

A popular TV decorating show recommends that you focus on the four main options:  blinds, shutters, shades and curtains.  During Winter months, window treatments can affect the temperature in your home.  According to the US Department of Energy, using close-fitting drapes with a cornice can reduce airflow around your windows by 25% .  Mount your shades or blinds inside the window casting and you'll be able to minimize drafts and keep the room much warmer.

Color and pattern are important when deciding what window treatment to use.  Lighter colors will make a smaller room appear larger while darker colors tend to shrink a room.  Mix it up by playing with different textured shades such as rattan or bamboo.

Shades and curtains made from lighter fabrics allow more light to filter into the room.  A heavier fabric can look more elegant which longer drapery will look more formal.  Buy an amount of fabric two to four times the width of the window to make sure you have enough for overlapping.

You can spend anywhere from $16 for a light sheer to $400 for wood shutters.

Gender and Home-Buying Decisions

When it comes to making home-buying decisions, men and women often have different priorities.  A National real estate company's survey finds that most women are able to select a home much more
quickly than men.  Almost 70% of women need only one visit to a new home to decide that it is right for them, compared with 62% of men.  About 1/3 of men (32%) need two or more visits.  More than half of women (55%) believe it is more important to live closer to their extended family than to their job, compared with only 37% of men.  Women are also more likely than men (65% compared with 51%) to lose interest in the home of their dreams if there are concerns about the home's security.

Utilities - To Shut Off or Not to Shut Off

Almost every landlord has wanted to shut off a tenant's utilities for one reason or another.  Unlawfully shutting off utilities can result in severe consequences to the landlord except for a few unusual circumstances.

Normally utilities cannot be shut off and Arizona State Statute allows the tenant to sue for damages and/or terminate their rental agreement.

Here is the statute that protects the tenant:

A.R.S. 33-1374  Recovery of possession limited

A landlord may not recover or take possession of the dwelling unit by action or otherwise, including willful diminution of services to the tenant by interrupting or causing the interruption of electric, gas, water or other essential service to the tenant, except in the case of abandonment, surrender or as permitted in this Chapter.

Unforeseen Tax Issues Triggered by Foreclosures & Short Sales

 SURPRISE! SURPRISE! SURPRISE!  Individual homeowner's facing foreclosure, short sale or a Deed in Lieu of Foreclosure would be wise to check with their income tax professional to determine what income tax impact they might face down the road.  There are two tax situations (which can get quite involved...Principal residence? Business or Investment Property?, Recourse or Nonrecourse debt?) to review when looking at giving back a property to cancel or release debt.  


(1)  Recognition of gain or loss on the transaction


(2)  Recognition of cancellation of debt income (COD)



Only your tax professional can really determine how this affects you personally so spend a few dollars up front to determine your course of action.  It's like adding insult to injury...first you
lose your home and then you get zapped with an unexpected tax bill.


 Linda Shank is a Broker/Owner & Certified Residential Specialist in the Southeast Phoenix Valley who has been selling real estate since 1978.  She is experiencing her third down market cycle.

Buy a Fixer Upper with A FHA 203K Loan

The FHA 203K loan is a little known tool that many real estate and loan professionals have been using for many, many years.  A FHA 203K is very similar to the traditional FHA 203B loan...the only real difference is that with the FHA203K the home buyer is adding money upfront to their loan amount to finance any repair/improvement costs.  The traditional FHA203B loan requires that certain repairs to be done before the loan is made and the FHA203K loan allows the home buyer to purchase their fixer-upper and complete the repairs/improvements after the transaction closes. The other traditional FHA qualifications...appraisal guidelines, seasoning rules...still apply.  However, with the FHA203K loan the home buyer can fix up his/her home and not have to worry about the additional out-of-pocket expenses for the repairs/improvements.  A Fantastic Way to buy a Fixer-Upper!  Contact me on my blog site if you would like more info or check with your lender as there are two types of FHA203K loan programs.

BEING SUED BY YOUR LENDER

Some Arizona homeowners who have walked away from their homes have found themselves as defendants in lawsuits filed by one of their lenders.  These unfortunate borrowers wonder how that could have happened since Arizona has Anti-Deficiency Statutes.  Such lawsuits revolve around a type of loan called an 80/20 loan where one or two different lenders would lend the borrower an 80% first loan which would be secured by the residence.  The remaining 20% of purchase price was also financed & secured by the home in a second lien position.  The lenders that made these type of loans to borrowers were basically financing 100% of the purchase price of the home.  

When real estate values declined, homeowners stopped making loan payments and began walking away from their homes.  As one would expect, without payment, the holders of the first mortgage foreclosed on the homes.  Holders of the second loans were left with none or a small fraction of their 20% loan being repaid due to the declining value.  These lenders began filling lawsuits against the borrowers for the full amount of the second loan.  SURPRISE! SURPRISE!

While these homeowners should otherwise be protected from the deficiency lawsuits, their 20% second loans may not be the type that fit within the "Arizona Anti-Deficiency" laws...such as home equity loans that are made for some other purpose than to purchase a home.  Seeking legal advice to determine whether or not the lender has a valid claim against the borrower/homeowner is a MUST as many lenders are unaware of Arizona's "Anti-Deficiency" statutes.

Bankruptcy Won't Necessarily Save Your Commerical Property

A Chapter 11 bankruptcy may buy some time for commercial property owners facing a loan foreclosure, but it may not be the best option for those who are hoping to hang on to their property.

Why not? Chapter 11 was designed to help businesses continue to operate but not necessarily to protect the interests of the borrower.  A bankruptcy affords little protection for a property held as a single asset in a special purpose entity.  Also, continual attorney and advisory fees during a bankruptcy can impose an additional financial burden that may outweigh any benefit from the reorganization plan.

Best option is try to do all that you can to arrive at a workout option with your lender. Remember that there needs to be some justifiable reasons for the lender to consider giving concessions.

Try working with the lender in second place to reach an agreement with the first lien holder.  This strategy is very useful when the property's value has fallen below the amount of the first lien and a workout provides a better option for the secondary lender to be repaid.

Most lenders don't want to foreclose. A workout that lets owners and lenders ride out the downturn is often the best option for all parties.

NEED MORE INFO CONTACT ME AT MY I Sell AZ Sunshine website.

AZ BUYER--HOW BANKS SELL REO'S PART III

How Banks Sell REO's

Each bank/lender works a little differently but they all want to get the best price possible and have no interest in giving away the property. If the bank is very large they will have an entire department set up to manage their REO inventory.  After you make an offer to purchase, banks usually present a "counter-offer" and/or ask for your "highest & best" offer especially when there are several bidders on a property.   The Bank's counter may be at a higher price than you expect (especially the first week a REO is listed for sale) but they have to demonstrate to investors, shareholders and auditors that they attempted to get the highest price possible. You should plan to counter the counter-offer but when multiple offers exist you may not get the opportunity to make an additional counter offer.
Additionally, your offer will have to be reviewed and approved by several individuals and/or mortgage insurance companies.  Although an offer is accepted the bank may insert verbiage like “contingent upon corporate approval within 5 days" plus include there own "AS IS" addendum.

AZ Buyer---Bank Owns the Real Estate...Now What? Part II

REO Properties For Sale

The Bank now owns the property and the real estate loan no longer exists. The Bank will handle the eviction (if necessary) and may do some repairs. They will also negotiate with the IRS for removal of any tax liens which can take up to 6 months to achieve. If you buy a REO property, you will receive a Special Warranty Deed, Title insurance and the opportunity to inspect the property.
A bank owned property might not be a great bargain. Do your homework before making an offer. Compare the price that you will pay (if successful) to other home sales in the surrounding neighborhood.  Repair costs including time to complete them should also be considered plus factor in potential unknown issues. Avoid becoming involved in a ‘bidding war’ and paying over market value---very common in today's fast moving market.