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SECTION RE SUNDAY, 03.16.14 THE ARIZONA REPUBLIC MONEY.AZCENTRAL.COM
catherine reagor REAL ESTATE
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Time frame for buyers on rebound BY ME GA NM AT TO X/G AN NE TT
Appraisal Primer
Simple repairs, list of improvements can help boost home’s valuation
By Dolores Tropiano
Phoenix-based company that provides real-estate valuations to etting an appraisal can mortgage lenders. seem like playing keno at Miller said people who are hopthe casino. Chances of geting to refinance may not have ting the numbers you want seem time for improvements such as random and rare. painting, but sellers may find that But according to appraisal exinexpensive and easy fixes go far. perts, there are steps that sellers The most important thing to do, can take to ensure they strengthshe said, is offer information to en their residential appraisal and your appraiser about improvehave a winning experience. ments that have been done on Appraisals are important when your house. She recommends that selling your home, because a lend- homeowners put together a list of er won’t cover a mortgage that’s items that have been remodeled higher than the appraisal, and or repaired as well as upgrades sellers are often forced to lower that contribute to the property their asking price if the appraised value. Dates, prices and receipts value comes back lower than the are helpful. asking price. Low appraisals can Miller said the homeowner or also hurt a homeowner’s ability to real-estate agent can leave the list refinance a mortgage. of improvements and documenta“If they are trying to achieve tion on the counter for the aptheir highest price, they might praiser or e-mail the list to the apwant to look and see if basic repraiser. pairs need to be made and have “If they replaced things like the those items fixed,” said Sue Milcarpet, the water heater or the airler, a residential appraiser and president of Miller Pipher Inc., a See APPRAISALS, Page RE3
Special for The Republic | azcentral.com
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ore than 40,000 people who lost houses to foreclosure or short sales in metro Phoenix during the crash will be eligible to buy again this year. The housing market could use the boost right now. That tally, which comes from WilcoxReport.com, is based on the three-year waiting period required by the Federal Housing Administration for people who had a foreclosure or short sale. This group of potential home shoppers has a nickname, “boomerang buyers.” Early in the housing crisis, financial experts estimated it might take up to seven years for people who lost a home through a foreclosure or short sale to qualify for a mortgage to buy again. But FHA and other federal-loan guarantors are lending to boomerang buyers earlier than expected. Here are some useful facts about federal-agency requirements for boomerang buyers: » FHA: Homebuyers can take out loans for up to $271,060 in Maricopa County. People who went through foreclosures must wait three years and have a 3.5 percent down payment. Some borrowers who completed short sales with special circumstances, such as a deed-in-lieu situation or problems with a loan modification, are eligible for a loan within a year. » Fannie Mae: Borrowers can obtain loans for up to $417,000 in the Valley. People who lost a house to foreclosure must wait seven years to qualify and put 10 percent down, unless there was a special circumstance. Former homeowners who completed short sales have to wait two years and have a 20 percent down payment or four years and a 10 percent down payment. » Freddie Mac: Borrowers can take out loans for up to $417,000 in the Valley. Borrowers with a foreclosure on their record must wait seven years unless there’s a special circumstance; then the wait is three years. People who went through a short sale must wait See REAGOR, Page RE3
Deb Van Tassel, AZ Real Estate editor, 602-444-NEWS or deb.vantassel@arizonarepublic.com
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