Nevada leads U.S. in spiking home prices

Steady increases in prices are helping fuel the housing recovery. They’re encouraging some people to sell homes and enticing would-be buyers to purchase homes before prices rise further.

Nevada is currently ranked second in the United States for home price appreciation. Read more about the housing market forecast in this Las Vegas Review-Journal article. If you’ve experienced a foreclosure or short sale and are looking to get back into home ownership before prices rise, Premier Mortgage Lending and the Second Chance Loan program are here to help.

Premier Mortgage presents purchase options after short sale or foreclosure

Housing reports released last month have shed rays of optimism on the recovery of the Las Vegas Valley’s housing market, placing 2012 as a year with double-digit price increases and strong sales numbers. Not everyone looks at this news fondly, especially the thousands of Southern Nevadans who lost their homes to either a short sale or foreclosure and do not think they can obtain financing for a new home purchase right now.

“The statistics definitely show that now is a great time to buy a home in Southern Nevada as the prices are low, and those who can are doing just that. Thousands of Nevadans have suffered the loss of their homes to either a short sale or a foreclosure, and there are as many as 80,000 homeowners in the valley who are currently underwater and delinquent on their mortgage payments and may lose their homes, too,” Rick Piette of Premier Mortgage Lending said. “Getting these folks back into a home of their own will help stabilize our neighborhoods and keep the momentum in home sales moving forward.”

According to a Jan. 29 article from CNN Money, housing prices have posted their biggest jump in six years nationwide. Citing the Standard & Poor’s Chase-Shiller index, an increase in the Las Vegas market’s home prices landed the valley among the top 5 of the 20 major markets that it tracks nationwide, comparing

November 2012 sale prices to November 2011.

This national data complements statistics released locally by the Greater Las Vegas Association of Realtors, which recorded a 24 percent price increase from January to December 2012 and tagged 2012 as having the third most home sales in a year.

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“A lot of people who want to become homeowners as well as investors believe that now is a great time to buy a home and are contributing to the valley’s influx of home sales. There are thousands of others who also want to also take advantage of this window of opportunity to buy a home at today’s low prices, but because of a recent short sale or foreclosure they think they are locked out of homeownership as they’re waiting to qualify for a traditional home loan,” Piette said.

“If you are waiting until you can qualify for a traditional home loan, it may be quite a long time as there’s a growing disparity between what the lending manuals say in regards to waiting time and what we are seeing in actual practice. While the manuals state waiting periods of two to three years after a short sale or foreclosure, the reality seems to be more like three to five years for the typical Las Vegan to purchase again” Piette said. “Many do not have to wait thanks to non-traditional financing programs like Another Chance Nevada by Premier Mortgage Lending.”

According to Piette, Another Chance Nevada connects individuals who have experienced a short sale or foreclosure with private and institutional portfolio lenders who offer 15- or 30-year, fixed-rate loans at interest rates that are typically higher than traditional mortgage rates.

Full-documentation guidelines are followed and at least a 20 percent down payment is required. The down payment can come from personal funds or can be obtained as a gift from family members. Borrowers may close within 30 days from the time of loan approval, and may refinance the loan at any time without penalty.

An Another Chance loan may be used on the purchase of a re-sale or a new home. The lender is currently working with Beazer Homes, D.R. Horton, Dunhill Homes, Harmony Homes, KB Home, Pardee Homes, Pulte Homes and Del Webb, Richmond American Homes, Ryland Homes, and William Lyon Homes.

“The decision to purchase a home now using non-traditional financing or to wait until you can qualify for a traditional loan is an individual decision. For many, Another Chance Nevada makes financial sense because their mortgage payment may be the same, if not lower, than rent,” Piette said. “Plus, if housing prices continue to increase like in 2012, it might actually cost more to buy a home with a traditional loan down the road than one now with an Another Chance loan.”

As a full-service lender, Premier Mortgage Lending provides complimentary mortgage pre-qualification to help people determine if they may qualify for a traditional mortgage or Another Chance Nevada, and to weigh if buying a home is the right decision for them.

For additional information or to schedule an appointment for mortgage pre-qualification, call Premier Mortgage at 485-6600 or visit www.AnotherChanceNevada.com.

Premier Mortgage Lending (NMLS 393282) is located at 8689 W. Sahara Ave., Suite 100, Las Vegas, 89117 and is a member of the Las Vegas Chamber of Commerce, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors.

Association of Realtors pushing for clarification on robosigning

While AB 284 tops the Association of Realtors’ agenda for the legislative session, association officials recently told VEGAS INC that the law has not been nearly as destructive as many people think. They said foreclosures are falling for a number of reasons, including the improved economy and last spring’s $25 billion National Mortgage Settlement between the nation’s five largest mortgage service companies, a coalition of federal agencies and 49 state attorneys general.

According to Vegas Inc., one in every 37 housing units in Nevada received a foreclosure notice last year, down from 2011. The National Mortgage Settlement provides that banks must offer homeowner relief and refinance underwater borrowers. Foreclosures are down because after the Settlement, banks now have little incentive to foreclose due to credits given for short sales and principal reductions, not foreclosures. Read the article here.

Premier Mortgage Lending offers Second Chance financing to Nevada homeowners even to those with a recent history of foreclosure or short sale. Call for details: 702-485-6600

Realty execs: Mortgage Forgiveness Debt Relief Act extension to lead underwater homeowners to short sales, Another Chance Nevada program

Southern Nevada realty professionals expect that U.S. lawmakers’ extension of the Mortgage Forgiveness Debt Relief Act through 2013 will lead toward more short sales as homeowners who are delinquent on their underwater mortgages may finally decide their course of action before this tax break expires on Dec. 31. Those who move forward with a short sale may not be relegated to renting and have the option of buying another home due to new privately funded loan programs such as Another Chance Nevada.

PML-Bob Hamrick - July 2011“The extension should have a very positive impact on our market immediately,” Bob Hamrick, a longtime Realtor and owner of Coldwell Banker Premier Realty, said. “There were hundreds to thousands of transactions that closely missed the Dec. 31st (2012) deadline. Many of those sellers had selected to not proceed with their short sale void of the extension. On a short-term … basis, the extension will have a significant impact on helping underwater homeowners in their decision to move forward with their short sale or other remedies.”

The act, which was first signed into law in 2007 and extended as a part of the Jan. 1 bipartisan agreement to help avert the “Fiscal Cliff,” continues a tax break that exempts most homeowners who complete a short sale on their principal residence from having to pay federal taxes on the cancelled balance of their mortgage of up to $2 million (or $1 million if filing separately). Borrowers who receive partial loan forgiveness from lenders or those who experience a foreclosure may also benefit from this exemption. Without it, debt that is forgiven or cancelled by a lender is normally considered income by the Internal Revenue Service and may be taxable.

According to the Greater Las Vegas Association of Realtors, 45.8 percent of the 2,961 homes sold in December 2012 were short sales, with foreclosures dipping to 9.5 percent of all sales. Hamrick predicts that short sales will continue to dominate the market in 2013 as underwater homeowners decide how to proceed.

“2012 goes in my book as the year of apathy for most underwater homeowners due to many logical and justifiable factors. Primarily, banks holding underwater assets were either self-restricted or legislatively restricted in resolving their situation. Hence, less homeowners received foreclosure notices and were able to postpone their resolution,” Hamrick said. “I believe that 2013 will be the year of urgency, where underwater homeowners will have a defined period to resolve their matters or face worse peril.”

PML-RPiette-5-HeadLast year, Hamrick teamed up with Rick Piette of Premier Mortgage Lending’s Another Chance Nevada home loan program, an attorney and a Certified Public Accountant to present educational seminars that addressed the short sale and foreclosure process, its legal and tax ramifications, and the option of purchasing a home shortly afterward through Another Chance Nevada.

“Hundreds of residents attended last year’s seminars, most were either learning about their options as someone underwater in their mortgages or were figuring out how to move forward after a short sale or foreclosure,” Piette said. “Many were trying to determine what would be best for their situation, both in the short-term and in the long-term. They were surprised to learn that they have many options, and that they can indeed purchase a home without a waiting period through my company’s Another Chance Nevada program.”

According to Piette, the program connects individuals who have experienced a short sale or foreclosure with private and institutional portfolio lenders who offer 15- or 30-year, fixed-rate loans at interest rates that are typically higher than traditional mortgage rates.

Full-documentation guidelines are followed and at least a 20 percent down payment is required. The down payment can come from personal funds or can be obtained as a gift from family members. Borrowers may close within 30 days from the time of loan approval, and may refinance the loan at any time without penalty.

An Another Chance loan may be used on the purchase of a re-sale or a new home. The lender is currently working with Beazer Homes, D.R. Horton, Dunhill Homes, Harmony Homes, KB Home, Pardee Homes, Pulte Homes and Del Webb, Richmond American Homes, Ryland Homes, and William Lyon Homes.

“In 2012, many Southern Nevadans decided to purchase another home through Another Chance Nevada and to start re-building their equity by taking advantage of today’s low housing prices. We expect this to continue in 2013 as more underwater homeowners move forward in the short-sale process with the extension of the Mortgage Forgiveness Debt Relief Act,” Piette said.

As a full-service lender, Premier Mortgage Lending provides complimentary mortgage pre-qualification to help people determine if they may qualify for a traditional mortgage or Another Chance Nevada, and to weigh if buying a home is the right decision for them.

For additional information or to schedule an appointment for mortgage pre-qualification, call Premier Mortgage at 485-6600 or visit www.AnotherChanceNevada.com.

Premier Mortgage Lending (NMLS 393282) is located at 8689 W. Sahara Ave., Suite 100, Las Vegas, 89117 and is a member of the Las Vegas Chamber of Commerce, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors.