Friday, February 29, 2008

Spring Training in Tucson



Spring is in the air in Tucson! Temperatures are warm, the birds are singing and Spring Training has begun at Tucson Electric Park. About this time every year you'll see a lot of the Tucson work force playing hooky to take in an afternoon of sunshine and baseball.




The is the first weekend of the 2008 spring training season in Tucson. Teams including the Chicago White Sox, Colorado Rockies and the Arizona Diamondbacks come to Tucson each spring to get in a few practice games before the start of the official baseball season in April. Spring Training starts the last week of February and continues through March, when Tucson weather is at its best. These games are really popular with Tucson residents and visitors alike; just a laid back atmosphere with lots of mountains, sunshine and ball park food. What more can you ask for? Don't forget the sun screen!
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Wednesday, February 27, 2008

Tucson home price declines not as significant as some

The latest report by the Office of Federal Housing Enterprise Oversight (OFHEO) shows Arizona home prices are dropping fast. Arizona saw a 1.21% decrease in home prices in the fourth quarter of 2007, and home values dropped an average of 2.4% for the entire year.

While Phoenix was hit hard, Tucson saw better numbers. The Phoenix metro area suffered priced declines of 1.8% for the fourth quarter and 3.42% for the year. Tucson home values saw a small increase of .31% for Q42007, and a minimal decrease of only .01% for the year. When you compare these numbers to each of the cities appreciation over the last five years, the decreases are really insignificant. Phoenix saw 82.76% appreciation and Tucson saw 71.65% appreciation since 2002. The national average for appreciation over the last five years was only 41%, so Arizona as a whole is way ahead of the game.



Although this report shows that the real estate market as a whole is suffering, Tucson fairs on the better end. Tucson is a destination city that draws in large numbers of new residents each year. Local homeowners that purchased before 2003 and plan to hold on to their homes for awhile should still see a large amount of appreciation (as long as they didn't max out that equity!) For those that bought during the real estate boom of 2003-2006 and had planned on selling in the next year or so, think again if you want a profit. 2008 is going to be a tough year for real estate, in Arizona as well as the rest of the nation. If you don't have to sell in the next year or so, DON'T! If you're patient and can ride out the wave you and your pocketbook will be much happier!


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Tuesday, February 26, 2008

Foreclosure rescuers; the latest scam


As if it's not bad enough that so many people are faced with the thought of losing their homes right now, it's even worse to hear that there are phony "bail out" companies taking advantage of homeowners that are trying to avoid foreclosure. Unfortunately "foreclosure rescuers" are popping up everywhere, preying on homeowners when they're at their weakest.


Foreclosure Rescue Management is the latest addition to these scam groups that trick needy homeowners into signing away their most precious asset. These companies approach struggling homeowners and tell them they can help them to avoid foreclosure by refinancing their debt. All homeowners need to do is sign over their home's title for a year while the company cleans up the debt. Problem is that during the year these companies sell the titles to buyers who in turn demand high rent from the original owners. When they can't afford to pay it, they receive eviction notices. Once homeowners have fallen for the scam it's almost impossible to get out.

It's really a shame that these companies are thriving right now, but what should we expect. In Cleveland over 20 mortgage fraud companies opened last year alone. Currently there are twelve states fighting back with new anti-fraud laws. Unfortunately Arizona is not yet on the list. Nothing worse then these bottom feeders in my opinion...


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Sunday, February 24, 2008

How foreclosure affects your neighborhood


As I was perusing through home listings the other day I came across a property close to my neighborhood that had apparently been repossessed. I looked at the sales history and noticed that the home was currently bank owned and had been previously purchased for an extremely low price. Like anyone who might live around a home that's fallen into foreclosure, I was curious about how this would impact my home's value.

Still today there's a stigma about homes that fall into foreclosure. Many people assume that homes in foreclosure are dirty and damaged or located in bad parts of town, but it's not necessarily true. During the last several years a lot of buyers purchased homes they really couldn't afford, and circumstances have now put them in a position where they can't keep their homes. Foreclosures come in all shapes and sizes, from starter homes to mansions, and the impact they have on surrounding properties is being seen all over the nation.

So how do foreclosures affect neighboring properties? Surprisingly they really don't impact home prices too much unless there is a large concentration of them in a specific area. Most appraisers try to avoid using distressed homes in their comparables if they can. They'd rather pull comps from adjacent neighborhoods and adjust them for value before they'd include short sales or foreclosures in the mix. If there are other home sales to choose from the appraiser will use those and the impact should be minimal. If there's a larger ratio of foreclosures then there are normal home sales, then unfortunately those sales prices become the market value. Communities with high foreclosure rates can also affect house values because often they're neglected. Many times the homes are vacant so no one is maintaining the property. Sometimes these vacancies are drawing crime to the area. Too often buyers look at these neglected properties and see diminished value of the entire neighborhood, not just the homes in foreclosure.

So if you happen to notice a foreclosure in your neighborhood, don't worry too much about how it will impact the value of your home. One distressed property shouldn't affect your value at all. But if you notice that the home is vacant, it might be wise to work with neighbors to maintain the exterior by pulling weeds or keeping debris out of the yard. It's too easy for the landscape to get out of control, and that's the first thing home buyers see when they're researching a community. Better to focus on preventative maintenance now and keep those home values up!
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Friday, February 22, 2008

The problem with polybutylene pipes

I was out showing property the other day and came across a home that was in the process of having it's polybutylene pipes removed. Luckily the listing information had mentioned these repairs were being made so I had the opportunity to tell my clients about polybutylene before we entered the house.


If you're not familiar with polybutylene pipes, you're probably haven't lived in any of the Southwestern states. Polybutylene was a very popular type of plastic resin piping that was used for home plumbing systems in the "Sun Belt" states between 1978 and 1995. It was the material of choice in those days because it was cheap and easy to install. Problem is that several different factors can cause the pipes and their fittings to burst, in turn flooding your home and potentially causing mold. Chlorine and other chemicals in the water supply are the biggest contributors because they're known to cause the pipes to deteriorate, eventually causing leaks. Bad installation is another contributing factor.

Unfortunately there's not quick fix for a home that has polybutylene; the only remedy is to replace the pipes. It's really not a matter of "if" these pipes will burst, it's more a matter of when. Besides being expensive it's just a big hassle because plumbing companies must cut holes in various walls of your home to get access to the bad pipes. Estimates say that polybutylene pipes exist in anywhere from 6 to 10 million homes. I guess it's not hard to figure out that there are a lot of homes in the Tucson area that have polybutylene pipes. These homes tend to sit on the market longer because most buyers don't want to deal with them. Having a home inspection prior to buying is no guarantee that you'll know if the home has polybutylene pipes; some home inspectors have difficulty identifying them. You're best bet is to contact a local plumbing company that specializes in polybutylene replacement.

There are several sites that provide great information about polybutylene pipes

Everything you want to know about polybutylene (I'm not promoting the plumbing company, just their informative site!)


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Tuesday, February 19, 2008

Tucson Real Estate Sales Statistics for January

Just got the latest Tucson Real Estate Sales Statistics for January (seems like they're coming out later and later each month). Looks like everything but Pending Contracts was down from January 2007, but some areas showed increases over December 2007.


Let's just get down to the facts -

- Tucson's average sale's price for January was $266,450, a 2.4% increase from December 2007's average sales price of $260,196. (I'm having trouble with my graph but I will include it as soon as I can fix the problem)

- Tucson's median sales price for January '08 was $203,500, a 3% decrease from December's median price of $210,000, and a 7.65% decrease from January 2007's median price of $220,365.

- There were 1,079 Pending contracts in January 2008, an increase of 35% over the number of Pending's in December (799). It's also a 25% increase over the number of Pending contracts in January 2007 (863).

- The average days on market increased to 83 in January 2008, a 9% increase over December and a 22% increase over January 2007.


Tucson Average Days on Market January 2008




- Tucson had 9,168 Active listings in January, a 5.3% increase over December's number of 8,708, and a 6% decrease from January 2007 (9,742).

- Tucson saw 3,744 New listings in January 2008, a huge increase (135%) over December 2007, but a 7% decrease from January 2007. Everyone waits until the holidays are over to sell their homes!

- The number of units sold in January increased by 15% over December's number of 682. It's still a 36% decrease from January 2007.

Tucson real estate usually picks up in late Winter/early Spring when the weather is great here and horrible everywhere else. The last two months I've been swamped with visitors looking for second homes. Most of these people plan on buying something now and using it for vacation purposes short term, then retiring in it later.

Several of the major events in Tucson are scheduled in January and February; the Tucson Gem and Mineral Show and Accenture Match Play golf tournament. Many of my clients have been visiting these events and decided they want to purchase in Tucson while it's a buyers market. There's a great inventory of homes right now, and sellers are willing to negotiate. It you don't need to sell a home to buy another then you're in an ideal position right now.

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Friday, February 15, 2008

Tucson Gem and Mineral Showcase; a big boost to local economy


Only two days left to check out the 2008 Gem, Mineral and Fossil Show in Tucson. I visited a few of the sites on Wednesday, and spotted some really interesting pieces of jewelry. The Tucson Gem show is a HUGE event for our city...

The two week gem and mineral showcase draws about 50,000 participants and attendees to the Tucson area, making it the largest show of its kind in the world. You can always tell when the gem show vendors arrive in January because you'll begin to see white tents popping up in parking lots and empty fields all over Tucson. The event brings in approximately $100 million a year, so it's had a major impact on the Tucson economy since it first began in 1955. Certain shows are open to only wholesale buyers, while others are open to the public. As you can expect, parking can be difficult to find, so the City of Tucson provides a free shuttle service that stops at all the key gem show locations.



You can find some amazing things at the Tucson Gem and Mineral Show; gold and silver, pearls and beads, diamonds and other gemstones, really cool fossil and mineral pieces, and much more. These show owners come from all over the world to display and sell their pieces. My husband and I were once in the San Juan Puerto Rico airport and we met a gentleman that was bringing his Tanzanite jewelry display to the Tucson Gem Show. He was actually from South Africa, but he had stopped in the Caribbean to check out gem stone jewelry at some of the island retailers before heading to the states.




If you've got time this weekend I suggest you stop by at least one of the showcase sites just to see what the gem show is about. During the last few days of the event the vendors are more likely to haggle down their prices because they don't want to ship all the merchandise back home. It's better if you know what you're looking for before you buy; that way you'll be better prepared to negotiate a fair price. Most sellers are honest but there are a few that will take advantage of inexperienced shoppers. When the salesman starts telling you how beautiful you look in their $350 necklace, take a walk around the site before you buy. You might find a better deal at the booth next door.

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Thursday, February 14, 2008

Happy Birthday Arizona!


Today is our fair state's 96th brithday!

Arizona became the 48th state when it joined the union on February 14, 1912. Only Alaska and Hawaii are younger then we are. Hard to believe we've been around for 96 years. It's amazing to think that the entire population for the state of Arizona was around 1 million in 1960. That's the population of Tucson now. Kind of exciting that we share this special day with Valentine's Day!
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Tucson's best florist (IMHO)



Happy Valentine's Day to everyone! Hopefully you all have some type of exciting or romantic plans for your day. I've noticed a lot of people are wearing red today in honor of the holiday, and I've already seen three florists trucks out on the road, busy delivering little bits of love and happiness to unsuspecting recipients


Since flowers are usually the most common Valentine's Day gift, I thought I'd mention our favorite local florist. I think most everyone has ordered flowers for someone and been disappointed in what they've gotten for their money. I've found the majority of florists give you very little for what you pay, but you never really know any better unless you actually see the arrangement. There's been a few times when I've gotten flowers for clients and been embarrassed when I saw what the arrangement looked like. I'm not going to bash any local florists, but I will give kudos to one I think is great. We like to order flowers from Darlin's Flowers in NW Tucson. They're actually located up in Catalina (which is a little North of Oro Valley) but they deliver pretty much anywhere. They have consistently created the most beautiful floral arrangements; they are HUGE arrangements and very reasonably priced. I've never once been dissapointed in anything I've gotten from Darlin's, and everyone I've sent flowers too have been amazed at the size and quality of the arrangements. These babies last more then two or three days!

I hope everyone enjoys spending time with their significant other today. We'll be heading to our favorite restaurant North for dinner and coming home to watch our favorite movie The Bridges of Madison County. It's the one movie that makes both my husband and me cry!
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Sunday, February 10, 2008

Rancho Sahuarita; a community with lots to offer!


Just helped a client purchase a new home down in Rancho Sahuarita and I thought I'd make a note about the community for those of you that aren't familiar with the area.

Rancho Sahuarita is a master planned community about 20 minutes South of Tucson off Interstate 19. Though Rancho Sahuarita consists of only about 3800 homes right now, the community should have about 11,000 when it's complete. Rancho Sahuarita is a popular choice with homebuyers for several reasons. Homes are generally less expensive then you'd find closer to Tucson, so you get more bang for your buck. Buyers can easily find a new construction, 4 bedroom/ 2 bath, 2000 sqft home priced in the high $100's or low $200's, so it's a really appealing area for growing families. Builders include Richmond American, Pulte, DR Horton and KB Homes. Most homes are two story and the yards are very small, but there's really no need for a big back yard with all the community amenities.

Rancho Sahuarita prides itself on the incredible number of amenities they offer in the community, hence their slogan "It's all in your backyard." This is one of the features that really attracts families and active adults. Besides the endless number of paved walking/running paths, there's an incredible fitness center with all the latest state of the art equipment, tennis and basketball courts, volleyball, and dance and aerobic studios. There are four pools located at the main clubhouse, including a lap pool and three "kiddie" pools with water slides and a water train. There's also several smaller neighborhood centers with pools scattered throughout the community. In the main clubhouse you'll find a sports bar with a billiard table and a big screen TV, which residents can reserve for private gatherings. One of the most popular features is the huge lake that's situated in the center of the community. The lake's a popular meeting place for neighbors and is used for fishing, sail boating and even a triathlon each Spring. There are a million other amenities that Rancho Sahuarita offers its residents; there's just too much to list so here's a link to the community's site.


Safari Trail at Rancho Sahuarita





Lake at Rancho Sahuarita



Though Rancho Sahuarita is located a bit South of Tucson, it's still a great location for those working at several of Tucson's largest employers, including Raytheon, University of Arizona and Davis Monthan Air Force Base. Since it's right off I-19, most driving will be on the interstate so it makes for an easy commute. This area was once considered a little isolated from services like shopping, but there's been a lot of growth, and a new Fry's Marketplace recently opened. There's more growth planned, with a new urgent care center and other retail development in the works.

To get more information about Rancho Sahuarita visit here.

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Thursday, February 7, 2008

Check out the SAHBA 2008 Parade of Homes


I think everyone would agree it's just plain fun to look at other people's homes, but it's even more fun when the homes you're looking at are million dollar homes with all the latest and greatest gadgets and gizmos. That's why my friend and I decided to check out the 2008 SAHBA Parade of Homes in Marana yesterday. The Parade of Homes is basically seven custom homes built by several of Tucson's finest builders, each displaying some of the latest concepts in home design, construction and energy savings.



The high end homes included in the Parade of Homes are all for sale and range in price from 1.5 to 2.1 million. There are several different home designs including Tuscan and Southwest Contemporary, and all are distinctly interesting and unique in their own way. I think visitors enjoy seeing these exclusive homes (that most could never afford) and taking some of the ideas to use in their own homes. It's hard not to look at all the professional decorating and landscape and not want it in your own home. There were some "interesting" design concepts that were a little odd to me, but it's all personal taste. One thing I was really confused about was the number of televisions in each home; I swear each property had at least five flat screens mounted on one wall or another. Who needs that many TV's, especially in the bathroom? I know it's just part of the show, but can we say overkill?


My personal taste drew me to the Tuscan style home built by Bauer Homes and the Old European design by JD Raney Construction (pictures of the Bauer home are above). Still there were a lot of neat features in most of the homes. I have to say if I had 1.5 million burning a hole in my pocket I don't think I would buy any of these homes, but I might build one using some of the ideas I saw. Another concept that I noticed in three of the home models was this "coffee station", which is actually located right off the master bedroom as you head into the master bath (picture below). This is one idea I would skip; it makes me feel like I'm staying in a hotel.



If you have the opportunity I would highly recommend visiting the 2008 SAHBA Parade of Homes before it ends on February 17. To see the Parade of Homes you head out to Dove Mountain and follow the signs to the designated parking area where you'll be shuttled to the home site area. Visitors pay admission here; the cost is $12 for adults, $10 for Seniors and kids under five are free
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Wednesday, February 6, 2008

Even the credit worthy are struggling

Every day we're bombarded with more news about stricter lending practices and how difficult it is now for individuals to qualify for home loans. Most of the time we assume that only those with less then stellar credit or those looking at 100 percent financing are facing these problems.

I think a lot of us forget that this big mortgage mess impacts even those with good credit. USA Today had a great article in Tuesday's paper about the effects that tighter lending practices are having on credit worthy borrowers. A quarterly Federal Reserve study showed 55% of US lenders had tightened standards for prime mortgages, which impacts borrowers with good credit. The study reports that about 60% of US Banks have instituted tougher criteria for revolving home-equity credit lines.
Read more about USA Today's report and the hurdles faced by credit worth borrowers
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Tuesday, February 5, 2008

Tucson is for snowbirds


One of the great things about Arizona is our weather; you can usually count on it being nice and sunny with mild temperatures most of the year. That's why so many snowbirds visit Tucson during the winter months. I've mentioned snowbirds in an earlier post; these are folks from the cold weather states that make warm weather states like Arizona their home for the winter months. I can spot winter visitors wherever I go; it's not usually that hard to pick them out in a crowd -

The most obvious way to recognize a snowbird is by their out of state license plates. I've recently seen a lot of visitors from the Northeast, Northwest and upper Midwest, just trying to escape their own crazy weather by moving to Tucson for a few months. I've also seen more RV's with compact cars in tow off the back. These vehicles are usually being driven by seniors, so I'm assuming they're snowbirds, but it's just a guess.

It's easy to recognize snowbirds by the way they dress. Just this weekend I was out with clients, and while I was wearing pants, boots and a jacket, one of them was wearing shorts, flip flops and a short sleeved tee shirt. The client was from Washington State, where it's been cold and snowy, so he loved our weather. Guess you can tell that I'm acclimated to the Tucson temperatures; it was 60 degrees and I was cold. Snowbirds are never fazed by Tucson's cold weather snaps. No matter how cold it gets here, it still warmer then wherever they came from!

Yesterday Tucson saw an interesting weather mix that caught us a little off guard. Storms rolled in one after the other, bringing cold temperatures, rain, hail and even snow to some of the higher elevations. This left us with really cold temperatures last night and this morning (think high 20's). I decided to take my daily run a little later in the morning, hoping for warmer temperatures, and that's when I saw it, that one individual that in my mind epitomizes the term snowbird. The temperature was still only 39 degrees, so I was amazed to see a shiny new, bright red Mustang convertible cruising the streets of Oro Valley with it's top down. The driver looked relaxed and pleased with himself while he basked in the sun (and breeze) in a short sleeved shirt. Makes me feel kind of wimpy, running in my multiple layers of clothes, a hat and gloves. That's okay, I'll let these fair weather friends enjoy their precious four months of the beauty that's Tucson. I'll settle with knowing that it's mine all year long!

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Friday, February 1, 2008

Tucson sky is perfect for stargazing



If you're into astronomy or just you're just someone that likes to stare up at the night sky and gaze at the stars, Tucson is a great place to live. This morning I watched as Venus and Jupiter passed each other only .6 degrees apart. That's pretty close according to most astronomers; basically I could raise my hand in the "thumbs up" position towards the planets and my thumb blocked both planets. Our city doesn't have many street lights, which allows for some incredible sites in the night sky.

The Tucson area was once known as the "astronomy capital of the world" and is home to several different observatories including Kitt Peak, and Mt. Graham. To get better views of the night sky, we need less nighttime lighting, so Pima County installed ordinances that restrict light pollution. Tucson and Pima County have some of the strictest lighting codes in the nation, with the goal of curbing light pollution and preserving Southern Arizona's night skies. Recently there's been a big focus on extending these codes to Phoenix and northern Pinal County where extensive growth is causing light pollution that's already affecting viewing at Kitt Peak.


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