• Prohibit payments to the loan originator that are based on the loan’s interest rate or other terms (e.g. rebate). Compensation that is based on a fixed percentage of the loan amount is permitted.(e.g. origination points)
• Prohibit a mortgage broker or loan officer from receiving payments directly from a consumer while also receiving compensation from the creditor or another person. (e.g. a little rebate and a little points)
• Prohibit a mortgage broker or loan officer from “steering” a consumer to a lender offering less favorable terms in order to increase the broker’s or loan officer’s compensation.

Listen to your mentors, Santa Fe Buyers. Now is your time to act because of:  – moderate pricing – historic low interest rates – seller flexibility – excellent inventory.

How long will these prime Santa Fe real estate conditions last?

Jim Gay, of Superior Mortgage Services notes that when rates are this low, 30yr at 4.625%,  there is definitely only one direction for them to travel and that is up.

Jim also points out other factors that will force mortgage rates up:  foreign buyers of US Treasuries demand higher yields. Federal Reserve becomes concerned about inflation. When business and individuals understand the affects of new congressional legislation and taxes affect upon us all.

Also keep in mind, the government now charges new closing fees to cover new liabilities with: Fannie Mae, Freddie Mac, and the foreclosure environment around the United States. Further, there are new stringent financing rules requiring larger down-payments and lower debt rations. Perversely, this lowers Buyer’s purchasing power! What the hell is our government thinking???

Santa Fe Real Estate Buyers must never forget that Santa Fe is a bubble market within the US real estate market. Santa Fe market trends indicate market growth and stabilized pricing. According to Santa Fe Association of Realtors, total gross sales in Santa Fe city and Santa Fe County increased 40% in 2nd Quarter 2010 versus 2nd Quarter 2009.

Take advantage now to put your financial world in a stronger position. If you are considering a home purchase, do not wait another month or else you might suffer some financial splinters from fence sitting too long.

The answer to your secret lies on Cordova Road, in a white adobe building. There stands Maria’s, home to 111 types of Margaritas.  Choose from Blanco tequila, Reposado tequila, Anejo tequila. You can even try a tequila sampler to learn the finer points of Tequila.

Maria’s makes superior margaritas, because they use no mix, sugar, additives. Maria’s uses only REAL tequila, REAL triple-sec, REAL fresh squeezed lemon juice and ice made with filtered water.

After a fine dinner of Northern New Mexico food with green and red chile, make sure you purchase a copy of The Great Margarita Book. Robert Redford wrote the introduction, so you will be in good company as you make and enjoy your margarita masterpieces at home.

Housing Markets That Will Be Strongest by 2014

Santa Fe Hotels also rank well in the poll. Rosewood Inn of the Anasazi is ranked fourth on the list of top 10 small city hotels.

For home buyers this means our small Santa Fe home inventories will shrink sooner rather than later, then prices rise. This is especially true in Santa Fe, since there are very few new homes now under construction as commercial credit has become increasingly difficult to obtain.

For sellers these statistics indicate many of the homes that sold were below median values. Good news that there are now more sold comps, or this would have forced appraised values even lower. If you sell in today’s Santa Fe marketplace, you have to: price very competitive, keep the home in excellent condition, and offer buyer benefits.

Condo sales remain very flat. Many opportunities for investors, but most Santa Fe homes are better long term investments.

Land sales remain extremely flat and prices continue to fall lower. There are some great deals along the Las Campanas golf course and everywhere else.

See my latest video on the Santa Fe Real Estate Market.

MLS Statistics
2nd Quarter 2010
Santa Fe Association of Realtors

- Buy ENERGY STAR appliances

- Replace windows with double pane, low-e models

- Replace roof with reusable / recyclable materials

- Install solar photovoltaic panels

- Remodel kitchen or bathroom with sustainable materials and features

- Replace cabinets with sustainable harvested wood and low VOC finishes

- Install solar hot water heater

- Install a green roof

- Implement super energy efficient transformers

- Use wind turbine systems to supplement common area maintenance electric charges.

- Implement on-site water reclamation system

For more information on:  GREEN upgrades and Santa Fe properties, contact Anthony Atwell, tony@santafeone.com, 505-670-2177.

Serving You Santa Fe Lifestyle and Santa Fe Real Estate 20 years.

- Conduct a home and office energy audit

- Tune up HVAC

- Replace carpet wit no VOC carpet

- Replace hardwood flooring with bamboo or cork floors

- Install tank-less hot water heater

- Insulate attic and other areas

- Consider drought-resistant landscaping

- Install engineered window shading to reduce heat loss or gain

- Buy recycled office products and equipment

- Hire a consultant to conduct an assessment of lighting and heating and cooling systems for potential building upgrades and retrofits.

- Provide an on-site bike room to encourage environmentally friendly commuting.

For more information on:  GREEN improvements and Santa Fe properties, contact Anthony Atwell, tony@santafeone.com, 505-670-2177.

Serving You Santa Fe Lifestyle and Santa Fe Real Estate 20 years.

- Use CFC or LED light bulbs

- Install low-flow shower heads and faucet aerators

- Start a compost pile

- Plant trees

- Insulate hot water heater

- Weatherstrip and caulk doors and windows

- Collect Rainwater to water plants

- Paint with low or no VOC paint

- Replace filters

- Install programmable thermostat

- Plant a rain garden

- Plant native plants

- Place appliances or office equipment on power strip to reduce “phantom” load

- Install motion sensors in offices and other common area conference rooms to turn off lights when not in use.

- Install water efficient restroom fixtures

- Take advantage of day-lighting

- Provide recycle bins

For more information on:  GREEN improvements and Santa Fe properties, contact Anthony Atwell, tony@santafeone.com, 505-670-2177.

Serving You Santa Fe Lifestyle and Santa Fe Real Estate 20 years.

FIRST TIME HOMEBUYERS TAX CREDIT IS STILL AROUND: Members of the uniformed services, members of the Foreign Service and employees of the intelligence communityhave an extra year to buy a principal residence in the U.S. and qualify for the credit. It applies to any individual who serves on qualified official extended duty service outside of the United States for at least 90 days during the period beginning after Dec. 31, 2008, and ending before May 1, 2010.

FANNIE MAE LOAN QUALITY INITIATIVE AND HOW IT AFFECTS YOU:  In February, Fannie Mae announced an initiative to reduce fraud in the mortgage system.  You can read about all of it at; https://www.efanniemae.com/sf/guides/ssg/annltrs/pdf/2010/ll1003.pdf but the bottom line is borrower beware.

Prior to closing, lenders will not be pulling a new credit report. A material change in score or outstanding debt may put a loan in jeopardy and you may not know this until a day or two before closing. There are pricing hits for scores at different levels, for example, below 720.  Should a borrower’s score drop below 720, it may delay closing for repricing and redisclosure.  Should undisclosed debt appear on the credit report with a high Debt to Income loan, it could kill the loan completely.  Please make your clients aware and tell them not to change their credit in any way during the course of the loan process.

As a part of the Initiative, loan officers are responsible for listing all participants in the transaction, including buyer, sellers, agents on both sides, title officers, and appraisers.  These names are put through a search on a HUD website that will identify if any person has been involved in a fraudulent transaction.  Should a party be identified by this system, it may serve to cancel the transaction as it renders the loan as unsalable to Fannie Mae.  This could happen just before the loan is expected to close.  There’s really nothing that you can do to avoid this, but please be aware.

These two things are a part of a whole slew of compliance issues that happen behind the scenes in loan underwriting but serve to slow down the process and create uncertainty. Be aware!