Tucson Kent's World

In Episode 2 of THE Tucson Real Estate Show, Tom Heath and I visit Tucson's Historic Train Depot downtown to help illustrate how to be "On The Right Track" for getting a home mortgage.

Our mission with THE Tucson Real Estate Show is to provide consumers with information they can use about the local Tucson real estate market, while highlighting the people, places and things that make "The Old Pueblo" a special place.

Tom Heath is a mortgage professional with Sunstreet Mortgage and current President of the Southern Arizona Mortgage Lenders Association.  Kent Simpson is a REALTOR® who is awaiting trial for impersonating someone who knows how to do a real estate show.

On our next video, follow along as we ride the Historic Tucson Trolley in search of Mr. An - while Conductor Karen Rodack tells us the trolley's history.  Do we find Mr. An?  Will he invite us to the grand opening of An Congress?  Watch & see!

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Episode 1 - Introducing THE Tucson Real Estate Show

Are you a first time homebuyer?  Are you looking to purchase a new home or existing home in Tucson or elsewhere in Pima County?  The Pima County Bond Program is b-a-a-c-k!  How does a mortgage at 4.55% interest over 30 years sound?

Thought so - check it out:

Pima County Bond Program has money available for first-time homebuyers. Some features of this program are:

• 30 Year Fixed Loan at 4.55% *
  
• First-time buyers only - cannot have owned a property in the last 3 years (this requirement is waived for qualified veterans)
  
• Can be used with FHA, VA or Rural Housing loans
  
• New Homes, Existing Homes, Foreclosures & Short Sales Eligible**
• Maximum income restrictions apply – $69,000 / year for 1-2 person household $79,675 / year for 3+ person household

Combine this with the First Time Homebuyer Tax Credit (up to $8000), and you’ve got some real incentive to get moving towards purchasing your first home!

Now this program can be used for single family homes, townhomes, condos or duplexes (sorry, no triplexes or fourplex properties) – which opens up more options to first time homebuyers than there were before. Yes, you can buy foreclosures with this program, and no, unlike the Your Way Home AZ loan program, you aren’t required to buy a foreclosure.

One thing to keep in mind is that while this program does not provide DPA (downpayment assistance), there are DPA programs available in Tucson and Pima County that can be used with the Pima County Bond Program to help first time homebuyers purchase a new home.

Give me a call and I’ll be glad to put you in touch with one of the local down payment assistance program counselors to help you get started.

*Check with your lender for specific APR figures
**To qualify for the First Time Homebuyer Tax Credit, you must have a fully accepted contract no later than April 30, 2009 and close by June 30, 2009 - short sales may not meet these deadlines

With home prices very low in the Tucson Metro, historically low interest rates & the First Time Homebuyer Tax Credit - this is the "Real Estate Trifecta."  You might not find a better time to buy your first home - call me & lets get to work finding your home!

FHA is going to make it easier to finance the purchase of a condo - at least temporarily.

In an article by Marilyn Alva, Investors Business Daily reported today that the new loan guidelines released by the Federal Housing Administration on Monday will relax the restrictions that have kept condos from being purchased by buyers with low down payments.

While FHA's new guidelines will ease back to 30% of units sold (from 50%) before the possibility of approving loans in condo projects, there is also a new clause that will allow condo associations to have "right of first refusal" to turn down an offer they might deem too low - as long as it doesn't violate anti-discrimination rules.

While Tucson doesn't have a very large amount of condominiums, there are several complexes in highly desired locations at good prices - especially near the University of Arizona.  It will be interesting to see if this measure helps to get the condo market moving again - especially while there is still a tax credit available as an incentive to buyers!

Yesterday my broker forwarded an email that she received, announcing the forthcoming restoration of DPA from sellers.  I wrote her back with a "hold your horses" tone, being skeptical of all things coming through Washington...especially with promises of "help."  Programs like Nehemiah & Ameridream are lobbying hard to get it through Congress...mainly because it is their very existence that is on the line.

It is w-a-a-a-a-a-y too early to get all hot & bothered about Seller Down Payment Assistance being revived.  For one thing, with prices being what they are, how many properties will appraise at a level high enough to allow sellers to contribute more than closing costs anyhow?  How many rules, exceptions, clauses and regulations will be attached....and how many revisions will be done before the bill comes to a vote?

There's absolutely no reason to get worked up about DPA until it becomes a reality.  Then take a look at how it is allowed (assuming it even makes it through the voting process).  Could be a boon, could be a bust.  It certainly is too early to tell.

In the Tucson Metro area, we are fortunate to have a program designed for First-Time Homebuyers of modest means to finance home purchases at low interest rates using FHA & VA loan programs - without having to come up with a huge downpayment OR relying on grants or seller assistance:  The Pima County Bond Program!

Back in August, I wrote about this opportunity for buyers:  100% Financing For First-Time Homebuyers

At that time, there was approximately $10 million in funds available, but the response has been so great that funds are being used up at the rate of roughly $1 million per week!  As of this week, there is about $5 million left for 2008...so it is time to move, buyers:  The clock is ticking on 5.99% guaranteed 30-year fixed loans. 

After the funds dry up, we'll have to wait until next year to see how much will be in the kitty...and at what interest rate!

My friend & colleague, Paul Dunn, is a big proponent of the USDA Rural Development Loan program - and is quite knowledgeable about it.  USDA Loan Program Can Save You A TON Of Cash! 

In this day and age, finding a true zero-down loan is going the way of the albatross, but this loan program offers 100% financing...as long as the property is eligible.  You can even buy a new home in Tucson with it!  Okay, in the Tucson Metro, not right in town...but the whole towns of Vail, Sahuarita, Green Valley, most of Marana and lots of other areas qualify for this loan.

Here is the website to see whether the property you are considering is in an eligible area:  USDA Property Eligibility Site  Just click on the appropriate link in the left column, accept the terms of use and plug in the address.  Yes, it is that simple!

This should help folks to determine whether the property in question can be financed with this particular loan package.

Good luck & Good Hunting!