What does the government shut down mean for your home search or sale?

Yes, it has come to pass that Congress has failed to approve a Continuing Resolution (BUDGET TO OPERATE) providing funding for most government operations. So, the first thing I'll recommend here, is that you go to your representatives websites and message them that you want this resolved ASAP. I keep seeing reports that the American public wants this, but I can't find anyone that says that! My recommendation to my congressmen is that they become volunteers accepting no pay or benefits for the days the government is shut down and do so in goodwill to show the American people that they work for them.  My guess is with no pay our congressmen/women would quickly end this travesty of a government shut down.

So if you are buying or selling a home right now, how does this impact you?
From the reports I'm reading, including one I've included below for your review, the government shutdown will not stop the processing of single family home loans, BUT (there is always a but right?) you should expect the process to move more slowly and plan accordingly. To avoid the stress of asking for an extension to close on your home, and most likely due to cause and effect, causing stress for the seller because they now have to ask for an extension on their next home purchase, make sure you are planning on a longer period of time to close from the beginning. Instead of 30 days to close in your contract, you'll want to have in 45 or 60 days to close. If you can close sooner, everyone is usually happy about that and this is a less stressful issue to resolve. So for now, we are hoping the housing market will not be significantly impacted by the gov shutdown. I'll post new information as it comes out.


So many government programs, including some that impact federal housing and mortgage programs, have been suspended or slowed due to the lapse in government funding. The information I am sharing comes from the National Association of Realtors staff review of agency agency contingency plans for the current shutdown and past experience with previous shutdowns and near-shutdowns.

From the NAR:
Federal Housing Administration
HUD’s Contingency Plan states that FHA will endorse new loans in the Single Family Mortgage Loan Program, but it will not make new commitments in the Multi-family Program during the shutdown. FHA will maintain operational activities including paying claims and collecting premiums. Management & Marketing (M&M) Contractors managing the REO portfolio can continue to operate. You can expect some delays with FHA processing.
VA Loan Guaranty Program
Lenders will continue to process and guaranty mortgages through the Loan Guaranty program in the event of a government shutdown. Expect some delays during the shutdown.
Flood Insurance
The Federal Emergency Management Agency (FEMA) confirmed that the National Flood Insurance Program (NFIP) will not be impacted by a government shutdown, since NFIP is funded by premiums and not tax dollars. Changes to the flood insurance program scheduled to take effect on Oct. 1 will be implemented as scheduled.
Rural Housing Programs
For the U.S. Department of Agriculture programs, essential personnel working during a shutdown do not include field office staff who typically issue conditional commitments, loan note guarantees, and modification approvals. Thus, lenders will not receive approvals during the shutdown. If the lender has already received a conditional commitment from the Rural Development office, then the lender may proceed to close those loans during the shutdown. A conditional commitment, which is good for 90 days, is given to a lender once a USDA Underwriter approves the loan. If a commitment was already issued, the funds were already set aside and the lender may close the loan at its leisure. If Rural Development has not issued a conditional commitment, the lender must wait until funding legislation is enacted before closing a loan.
It is important to note that the traditional definition of “rural” for qualifying communities for assistance will be continued in effect during the shutdown.  We expect that language to continue the current definition will be included in whatever funding measure is eventually enacted.
Government Sponsored Enterprises
Fannie Mae and Freddie Mac will continue operating normally, as will their regulator, the Federal Housing Finance Agency, since they are not reliant on appropriated funds.
Treasury
The Making Home Affordable program, including HAMP and HAFA, will not be affected as the program is funded through the Emergency Economic Stabilization Act which is mandatory spending not discretionary.

IF YOU HAVE QUESTIONS ABOUT SELLING YOUR HOME, BUYING OR BUILDING A NEW ONE, DON'T HESITATE TO CALL, TEXT OR EMAIL ME. 614-657-2005

My promise to my clients: I try to always remember what it is like to walk into this incredibly complex world of buying and selling with little or no knowledge of how the process works. I know that behind the door of your home and in your life there is much more going on than just your real estate transaction. I work with each person, not the house, and with the whole person, not just the issues surrounding the transaction. When I attempt to put myself in your shoes and contemplate what you are dealing with I am most effective.

The Benadum & Bumpus Team

Amy Bumpus

Straight Talk—Always

614-657-2005

Rate Update!

The Feds Surprised Us Today!

From Home Mortgage Consultant David Dikeman at Insight Bank:

"To the surprise of investors yesterday, the Fed decided not to begin tapering their purchasing of Mortgage Backed Securities (MBS) Market this month as they will look for additional evidence that the economy is improving. They will continue to purchase $85B in Treasuries and MBS each month and continue to reinvest their holdings. The Fed has also decided to leave their unemployment rate threshold at 6.5% before hiking short term rates (ie: the Prime Rate).

This was great news for MBS investors and the MBS market is improved dramatically. The 30 year fixed dropped to 4.5% and appears to be holding." David Dikeman, Home Mortgage Consultant, NMLS # 488101

614.310.7655 phone  | 150 W. Wilson Bridge Rd.  | Worthington, OH 43085  |  insightbank.com

Website: www.insightmortgage.com/ddikeman

So, if you have been waiting for a rate dip, this is it! Don't hesitate to contact me with any questions.

IF YOU HAVE QUESTIONS ABOUT SELLING YOUR HOME, BUYING OR BUILDING A NEW ONE, DON'T HESITATE TO CALL, TEXT OR EMAIL ME. 614-657-2005

My promise to my clients: I try to always remember what it is like to walk into this incredibly complex world of buying and selling with little or no knowledge of how the process works. I know that behind the door of your home and in your life there is much more going on than just your real estate transaction. I work with each person, not the house, and with the whole person, not just the issues surrounding the transaction. When I attempt to put myself in your shoes and contemplate what you are dealing with I am most effective.

Benadum/Bumpus Team

Amy Bumpus

Straight Talk—Always

614-657-2005

Update on FHA...Please stand by...

Update on FHA...Please stand by...
If you've participated in a foreclosure, short sale or bankruptcy with some changes from FHA you may not have to wait the 3-7 years that often followed these to purchase your next home.

There has been a lot of talk about the new FHA reduced waiting term of 1 year after foreclosure, short sale, or bankruptcy (see below). There are some strings attached. The biggest being:

“The lender must verify and document a reduction in the borrower’s Household Income of twenty (20) percent or more for a period of at least six (6) months that resulted from the Loss of Employment, Loss of Income, or a combination of both.”

The biggest issue is the fact that the investors (the ones that ultimately buy these mortgages) have not implemented these changes so it’s not yet offered by lenders. I suspect that won’t happen for another couple months.

But here is some info on the change that could help so many borrowers!

FHA Releases Mortgagee Letter 2013-26

Due to The economic downturn that the country has experienced over the past few years, FHA had issued changes to their requirements for borrowers who have experienced a foreclosure, bankruptcy or short sale; as a result of loss of income. FHA will allow borrowers to obtain a FHA loan one (1) year after the date of a foreclosure, deed in lieu, short sale or discharge of a bankruptcy. All of these events must have been a result of an Economic Event.

Borrowers must be able to document that:

• certain credit impairments were a result of loss of employment or significant loss of household income beyond the borrower's control,
• the borrower has demonstrated full recovery from the event; and,
• the borrower has completed housing counseling

Mortgagee Letter 2013-26 can be found in its entirety at HUD.gov at:

        http://portal.hud.gov/hudportal/HUD?src=/program_offices/administration/hudclips/letters/mortgagee

Questions?  Please don't hesitate to contact David, and tell him Amy sent you!

David Dikeman, Home Mortgage Consultant , NMLS # 488101

614.310.7655 phone   |  614.330.7999 cell   | 614.310.7755 fax

150 W. Wilson Bridge Rd.  | Worthington, OH 43085  |  insightbank.com

Website: www.insightmortgage.com/ddikeman

IF YOU HAVE QUESTIONS ABOUT SELLING YOUR HOME, BUYING OR BUILDING A NEW ONE, DON'T HESITATE TO CALL, TEXT OR EMAIL ME. 614-657-2005

My promise to my clients: I try to always remember what it is like to walk into this incredibly complex world of buying and selling with little or no knowledge of how the process works. I know that behind the door of your home and in your life there is much more going on than just your real estate transaction. I work with each person, not the house, and with the whole person, not just the issues surrounding the transaction. When I attempt to put myself in your shoes and contemplate what you are dealing with I am most effective.

The Benadum Team

Amy Bumpus

Straight Talk—Always

614-657-2005

Update on the Central Ohio Market

Record Breaking Sales in Central Ohio...

Year to date sales as of 8/21/13 of 15,988 homes are 24.2% ahead of last year's sale data! And, are the highest for any year to date sales since the Columbus Board of Realtors® has been collecting data.  

July's 2,825 home sales made for a record month, coming in a close 3rd to August 2005's sales of 2,875 and June 2006's 2,872. WIth last month being 19% higher than last July's sales, it suggests that the high sales trend is continuing.

Our current median sales price for Central Ohio is $145,000, up 4.4% from a year ago. 

In addition to sales, home prices are also on the rise. June's average sales price was $196,377, 6.6% higher than last year, and places June 2013 as the highest sales price month on record.

During the first six months of the year, 334 homes sold for $500,000+ which is 31% higher than the 255 that sold from January to June of 2012 – and 36.2% (121) of them sold in June alone. 

The Columbus Board of Realtors is expecting to see gains across Central Ohio at approximately 3-6%, which should significantly help home owners and allow for more homes to be listed as sellers move out of a negative equity position. There seems to be pent up demand that low rates are the threat of rising rates has put more buyers into the market.  The only concern that seems to be abound is the talk of rising rates slowing our housing market, but overall Central Ohio is having a very good year.

If you have questions about lending..

Call David Dikeman,  Insight Bank

614-807-3891 Direct

Please tell him Amy referred you.

IF YOU HAVE QUESTIONS ABOUT SELLING YOUR HOME, BUYING OR BUILDING A NEW ONE, DON'T HESITATE TO CALL, TEXT OR EMAIL ME. 614-657-2005

My promise to my clients: I try to always remember what it is like to walk into this incredibly complex world of buying and selling with little or no knowledge of how the process works. I know that behind the door of your home and in your life there is much more going on than just your real estate transaction. I work with each person, not the house, and with the whole person, not just the issues surrounding the transaction. When I attempt to put myself in your shoes and contemplate what you are dealing with I am most effective.

The Benadum Team

Amy Bumpus

Straight Talk—Always

614-657-2005

10811 Keller Pines Ct, Galena, OH

Embracing Video! 



I am excited to share this listing in a beautiful community that is the perfect country atmosphere near quaint Galena, with city amenities nearby...Polaris, Uptown Westerville, New Albany, Easton. Located near two reservoirs for fishing, boating and water sports...ample golf courses and parks nearby too! Call or email me with any questions.


A side note...Jan and I just attended the Coldwell Banker Technology Summit and are excited to keep being innovative with the most up-to-date opportunities to increase the people we reach with your information on homes or land for sale! We stay on top of trends and are are continually improving our options to reach potential buyers for you!

Do you YELP! If so, please take moment and provide a review for me...just click this link:
Amy Bumpus, Straight Talk. Always. Review your experience with me!

IF YOU HAVE QUESTIONS ABOUT SELLING YOUR HOME, BUYING OR BUILDING A NEW ONE, DON'T HESITATE TO CALL, TEXT OR EMAIL ME. 614-657-2005

My promise to my clients: I try to always remember what it is like to walk into this incredibly complex world of buying and selling with little or no knowledge of how the process works. I know that behind the door of your home and in your life there is much more going on than just your real estate transaction. I work with each person, not the house, and with the whole person, not just the issues surrounding the transaction. When I attempt to put myself in your shoes and contemplate what you are dealing with I am most effective.

The Benadum Team

Amy Bumpus

Straight Talk—Always

614-657-2005

Market Update! And WHY your home may not be selling in today's market!

Update from some of my most trusted lenders today--rates are rising.  They are telling me the recession is over....people are running from the bond markets back to the stock market!  The past two weeks have been hard on the mortgage business since they have seen about a 1/2% increase...Ouch!  Economists were predicting a stable rate environment, but half of a percent is significant to borrowers.  So, talk to your lenders if you are interested in a new home loan, and don't hesitate to contact me any questions!

Why isn't your home selling?

For the most part there is a pretty short list of reasons that cause most slow-to-sell homes to linger on the market. You’ve probably heard at least a couple of them before, maybe you just need to hear it few times, or hear it from different people. But make no mistake if your home isn't selling  you need to make some changes so that you are not in the situation of your home sale is stuck - and your life plans stuck with it.

1.  You’re listing price is too-high. If your home has been sitting on the market for longer than average days on the market, make no mistakte....THE MARKET is speaking and it’s saying: the price is too high vis-a-vis the current condition of the market and the property.  Period.

There are only three variables in this equation - which is helpful, because it means there are really only three ways to fix this situation:

• change the condition of your property
• wait until your market conditions change to support a higher price
• change the list price.

That’s it. That’s all there really is. For most sellers the simplest, most sensible of these three variables is to modify is the list price. Pricing your home is not an exact science. You take variables into consideration while comparing your home to those that have sold, then you try for the best possible price on list......AND THEN LISTEN to the market for feedback.  If you home is in good condition, is well-staged for showings, and other homes nearby are flying off the market.  The fact that you don’t want to hear that your home is overpriced doesn’t mean it’s not the truth. 

Today’s market is ascending in most areas, which simply means that prices are on the rise. Some sellers are waiting to list their homes, hoping that prices will be higher in the years to come. Economist note this is a risk due to the potential for interest rates to rise. So if you want or need to sell your home sooner than later, or you are hoping to sell in time to buy your next home before prices and interest rates rise much higher, holding out for a higher price probably doesn’t make sense. 

In fact, your resistance to making a necessary price cut could backfire. Buyers often keep their eye on overpriced but otherwise nice homes, waiting until they suspect the seller’s desperation will make them more receptive to a lowball offer. 

Jan and I strive to analyze your home against recent sold homes and your current competition to start your home sale at the best possible price! 

2.  Your home is not be fully exposed to the market.  So the truth that the market has spoken on the matter of overpricing does have one caveat: it assumes the market has actually been exposed to your home.  If your home’s marketing plan has been limited to that red-and-black For Sale sign you got at the hardware store and stuck in the lawn, chances are good that your home is lagging because your area’s community of buyers and brokers have no idea it is on the market!  

Other common conditions of home sale-preventing underexposure include:

• Homes that are not listed on the area’s Multiple Listing Service or MLS
• Homes that are not listed on major real estate search engines, like Trulia
• Homes that are very difficult to show or are rarely made available for viewing
• Homes that are listed online with no, few or poor quality property photos.

Jan and I always hire a professional photographer, so quality photos, check.
Great exposure, check!
We have your home listed on every major home site from our local MLS to Realtor.com to Trulia to Zillow to Coldwell Banker to JanBenadum.com and you'll have your own personal home page that we use to market your home to other real estate agents, our past clients, and buyers searching the internet. 

We always suggest you show your home upon request, so that it won't be your home for long!
If you haven't engaged the services of a professional listing agent, give us call, we'd love to discuss helping you with a plan to sell your home. 

3.  Your home has a glaring issue that needs resolving.  Many times, a big condition issue can cause a home to sit on the market unless and until the seller either (a) fixes the issue OR reduces the price so low that a buyer thinks the bargain is worth the hassle.  Some situations are too costly for a seller to fix (e.g., foundation needs replacing), and others are not fix-able (high tension towers or that nuclear power plant next door!).  In these situations, reducing the price might be the only resolution.

But other issues can be changed, but many sellers don't want to hear them.  You might love the hot pink or bright green room with the zebra stripe bedding and accents! Or the colored laminate counter tops, and oh there are some damaged areas, like where your daughter placed the hot pizza pan right out of the oven directly onto the counter??? Oh well! And you love the grass green or powder blue sculpted  wall-to-wall carpet or the “rustic” look of the weathered paint, fences and trims on the exterior.  Or maybe you don’t love them anymore either, but you think buyers should just look past these issues.  

Your home’s slowness to move is the market's wake-call to you.  The average buyers’ tastes might be different from yours. But in our market area most buyers don’t have to look past issues in your home, they can find a home that is move-in ready.  So, to concern yourself about what buyers “should” be willing to do is to live in a fantasy world - and as long as you’re there, your home won’t move in real life. 

4.  You’re not really ready to move on.  If none of your agent’s advice about how to shift your home’s sale makes sense, if everything on this list strikes you as outrageous, if even your friends’ and family members’ urgings to cut the list price or make some changes to your home makes you think the whole world must be crazy, ask yourself this question:  are you really, truly ready to move on?  

I've had a few sellers over the years that truly didn't want to sell for various reasons from not wanting to leave their beloved community, family and friends to move to the new location of a spouse's job.....to a divorce where one party was not willing to let go of the family home and memories, and some other odd circumstances tossed in there too! So, if you find yourself in a situation where your head is telling you that cutting the price is the right thing to do, but  your heart makes you do everything possible to keep the home from being shown, consider whether you are truly ready to move on. Just take the home off of the market if you really don't want to sell it. 

IF YOU HAVE QUESTIONS ABOUT SELLING YOUR HOME, BUYING OR BUILDING A NEW ONE, DON'T HESITATE TO CALL, TEXT OR EMAIL ME. 614-657-2005

My promise to my clients: I try to always remember what it is like to walk into this incredibly complex world of buying and selling with little or no knowledge of how the process works. I know that behind the door of your home and in your life there is much more going on than just your real estate transaction. I work with each person, not the house, and with the whole person, not just the issues surrounding the transaction. When I attempt to put myself in your shoes and contemplate what you are dealing with I am most effective.

The Benadum Team

Amy Bumpus

Straight Talk—Always