AZ Real Estate 06-26-16

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R E A C H U S || P H O N E : 6 0 2 - 4 4 4 - N E W S || E M A I L : N E W S T I P S @ A R I Z O N A R E P U B L I C . C O M || A Z C E N T R A L . C O M / R E A L E S TAT E

CATHERINE REAGOR REAL ESTATE

Homeowners turning right side up on mortgages

a distant

Guessing or even bragging a bit about how much our homes were worth was fun office or party talk a decade or so ago. Kitchens were renovated. Swimming pools built. And new cars were bought by metro Phoenix homeowners, who tapped their equity to fund big-ticket purchases right before and during the housing boom. Then came the crash in 2008, and we started talking about how much more we owed on our mortgage than our house was worth. Phrases like “upside down” and “underwater” dominated hushed conversations with friends and co-workers about homes in the Valley. But that era is coming to an end. New data shows only 12.4 percent of Phoenix-area homeowners are upside down or underwater — owing more than their house is worth — according to national data firm CoreLogic. I say “only” because almost 50 percent of Valley homeowners were upside down with their mortgages in 2011, when the market hit bottom. Steadily rising home prices and falling foreclosures since 2012 have pulled many of us above water on our mortgages. Just a year ago, more than 17 percent of metro Phoenix homeowners owed more than theIr house was worth. “In just the last four years, equity for (U.S.) homeowners with a mortgage has nearly doubled to $6.9 trillion,” said Frank Nothaft, chief economist for CoreLogic and former economist with government-owned mortgage giant Freddie Mac. I couldn’t find an updated figure for how much equity metro Phoenix homeowners have accrued since 2012, but the area’s median home price has climbed 56 percent since then. If you want to see how much your home is worth now, check out Street Scout. But please remember, we don’t know if you renovated your kitchen or put on a new roof. A real-estate agent or an appraiser can help you factor that into your home’s value. There still are 115,000 metro Phoenix homeowners underwater. Valley home prices need to climb another 11 percent to reach the height of the boom in 2006. Metro Phoenix home prices climbed almost 10 percent last year. Maybe by next summer, prices will rise enough to right most of the rest of the area’s upside-down homeowners.

DREAM As home values rise and pay stalls, moving up a struggle JOSH BOAK | ASSOCIATED PRESS

MOUNT PLEASANT, South Carolina - It’s a troublesome story playing out across America in the 10 years since the housing bubble peaked and then burst in a ruinous crash: As real estate has climbed back, homeowners are thriving while renters are struggling. For many longtime owners, times are good. They’re enjoying the benefits of growing equity and reduced mortgage payments from ultra-low rates. But for America’s growing class of renters, surging costs, stagnant pay and rising home values have made it next to impossible to save enough to buy. The possible consequences are bleak for a nation already grappling with economic inequality: Whatever wealth most Americans possess mainly comes from home equity, meaning that the increase in renters gives fewer people that same level of financial security. Nearly two-thirds of adults still own homes. And some who rent do so by choice. Yet ownership has become a more distant dream for many Americans, as rental prices and demand have surged in areas that offer the best job prospects, See DREAM, Page 3R

SCOTTSDALE | 5033 East Charter Oak Road | Open Today 1–4PM

ORIGINAL OWNER BEAUTY in the Magic 85254 Zip Code. MLS# Scottsdale mailing address, Phoenix taxes/utilities, and Paradise Bedrooms Valley schools. Plantation shutters, and charming arched Bath passageways throughout this popular split floor plan. Beautiful Pool kitchen with glass-front cabinetry and granite counters opens to the family room. An impressive beamed ceiling and fireplace are Sq. Ft. in the family room. Lovely master with walk-in closet and redone Parking bath with impressive tiled shower. Updated hall bath just as pretty. Lot Size Mature trees tower over the back yard. Sparkling pool, covered ZIP Code and open-air dining patios and large grass lawn. RV gate/parking. Storage closet and built-in cabinetry in the garage. Oversized cul- Online Pics de-sac lot. – Joseph Callaway Price

Brought to you by Those Callaways, (480) 596-5751

- 5441288 - 4 -2 - Yes - 2,156 - 2-Car Garage - 15,779 - 85254 - ThoseCallaways.com - $425,000

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PARADISE VALLEY | 6744 North Invergordon Road | Open Today 12–4PM

AMAZING CAMELBACK MOUNTAIN VIEWS. Boasting MLS# - 5459863 amazing Camelback Mountain views, this stunning estate sizzles Bedrooms - 4 with a sophisticated floor plan ideal for entertaining or luxuriously Bathrooms - 5 laidback everyday living. Dramatic pillar-framed entry. Grand foyer Pool - Yes w/gorgeous tiered ceiling motif. Elegant living room w/wall-width sheer glass windows and doors. Magnificent kitchen. Breakfast Sq. Ft. - 7,504 room w/huge Camelback Mountain views. Family room w/swank ZIP Code - 85253 bar, volume view windows. Master retreat w/exercise room. Pubstyle game room/billiards parlor. Lush lawns, manicured privacy Online Pics - BaldwinTeam.com Price - $2,800,000 shrubbery, barbecue island, dining patios, beautiful pool, spillover spa…all set against to-die-for Camelback Mountain views. Visit tourfactory.com/1590987. Inside: details, directions.

Brought to you by Sandra Baldwin & Kyle Caldwell, Launch Real Estate see

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