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CATHERINE REAGOR REAL ESTATE
Arizona’s refinancing demand low in stricter era
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THINKSTOCK
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FEALTY REALTY
Using friend or family member as your agent can be tricky DOLORES TROPIANO
SPECIAL FOR THE REPUBLIC
inding a friend or family member with a real-estate license is like running into a cactus in the Valley. They are everywhere, and there are both positive and prickly sides to using them for your home purchase or sale. According to Michael Orr, director of the Center for Real Estate Theory and Practice at Arizona State University’s W.P. Carey School of Business, there are 50,840 active real-estate licensees in Arizona. So you don’t have to go far to find someone in the business. The upside of using friends and family is that they have your back in a business deal in a way others might not. The downside is that people often feel obSee FRIEND AGENT, Page R3
efinancing is tougher now for many homeowners because of tighter lending guidelines. Even former Federal Reserve Chairman Ben Bernanke says he is having trouble lowering the interest rate on his house. This month, he told a crowd at a Chicago conference on senior housing that lending guidelines are so tight he hasn’t been able to refinance. “Unfortunately, Bernanke, like many, found that tightened credit guidelines do not discriminate, especially to those who recently became self-employed,� said Amy Swaney, manager of the Scottsdale office of Citywide Home Loans. She said the stricter mortgage requirements that went into effect in January have caused many lenders “to go overboard� on income documentation, particularly for borrowers who run their own businesses. Justin Oliver, a mortgage adviser with the Chandler-based Oliver/Whalen team at Nova Home Loans, said it’s hard for some to understand why people who own a business, have high FICO credit scores and equity like Bernanke can’t qualify for a mortgage. “It’s much harder to prove income when you own a business. Other than tax returns, there isn’t a lot more that we can use to verify a potential borrower’s income,� he said. “In 2008, everyone was upset we didn’t ask for any documentation, which was one of the many reasons that resulted in the mortgage meltdown. Now, a majority of people get upset that we do ask for documentation.� Arizona mortgage lenders and brokers say concerns from borrowers about tighter guidelines are partly why there hasn’t been as much interest from homeowners in refinancing. “The refinance market in Arizona is almost non-existent,� said Marcia Volin, a mortgage banker with Chandler-based V.I.P Mortgage. “There are still many people who could benefit.� Mortgage interest rates dropped to a low for the year last week, something that could prompt more Valley homeowners to see whether they qualify to refinance. “Due to Bernanke’s comments, so See REAGOR, Page R3
Luxury Retirement Community for Active Adults Over 62 Come And Experience The Hospitality!
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CAVE CREEK | 4601 East Desert Forest Trail | Open Today 1-4PM
EXCEPTIONAL LUXURY FINISHES. Masterfully finished on MLS# over an ACRE, this gated executive home is surrounded by tranquil Bedrooms Sonoran Desert and magnificent mountain views. Tumbled Bath Travertine, thick granites, Alder cabinetry, beautiful fireplace, high Pool ceilings and custom window treatments. Dream island kitchen. Professional stainless Dacor appliances and cabinet-front side-bySq. Ft. side Sub-Zero fridge/freezer. Convection oven, warming drawer, Parking butler’s pantry and Franke stainless triple sink. Enormous master. Lot Size En-suite guest quarters. Bonus room. Extended brick paver patio ZIP Code with sail shade screens. Dual pane low-E windows/skylights, double roofing and three AC units. Horse privileges. – Joseph Online Pics Callaway Price
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- 5127225 -5 -4 - No - 4,380 - 3-Car Garage - ACRE-PLUS - 85331 - ThoseCallaways.com - $750,000
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PARADISE VALLEY | 6071 East Cheney Drive | Open Today 12-4PM
COMFY-COZY ARIZONA RANCH-STYLE HOME. A true MLS# Paradise Valley gem, this original Arizona ranch-style cottage is Bedrooms ready and waiting for you to move right in and enjoy, fix-up and Bath modernize/personalize, or use as a venue for your view-rich dream Pool home. Large, level lot with mountain and city lights views. Very private, surrounded by pristine natural desert. Living room with Sq. Ft. floor-to-ceiling fired-adobe fireplace, polished concrete floors, tall ZIP Code sliding glass doors to generous patios. Bright and sunny kitchen. Each bedroom opens to patios, some of which have desert-stone Online Pics Price pony walls. Separate guest quarters with own bathroom. Romantic “Old Arizona� ambience. Visit tourfactory.com/1117622. See inside for full details and directions.
Brought to you by Sandra Baldwin, Russ Lyon Sotheby’s International Realty
- 5182551 -3 -3 - No - 1,995 - 85253 - BaldwinTeam.com - $1,095,000
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