Vertical Neighborhoods a Solution to Sprawl

Daily Real Estate News March 12, 2007

Developers are embracing "vertical neighborhoods" to meet demand for downtown living at a time when undeveloped parcels of land are scarce.

These high-rises feature residential units, retail space, and scores of amenities, aiming to ensure that occupants are in the middle of the action.

An example comes courtesy of MGM Mirage, which is erecting a vertical neighborhood on 66 acres on the Las Vegas Strip. CityCenter will feature a 4,000-room hotel casino, 2,700 condominiums and condo-hotel units, and 500,000-plus square feet of commercial space.

"Developers here realized that you can't look at the cost of land on a per-acre basis but should look at it as a percentage of total project cost," says MGM Mirage President James Murren. "We're creating an urban environment that's dense, diverse and pedestrian-friendly.

"The first large-scale vertical neighborhood was put up four years in Manhattan by Apollo Real Estate Advisors and Columbus Center LLC. The $1.7 billion, 2.8-million-square-foot Time Warner Center on ColumbusCircle offers upscale condos in the two towers along with a Mandarin Oriental hotel, retail space on seven floors, and TimeWarner's headquarters. Vertical neighborhoods are also popping up in Dallas, Salt Lake City, and other cities nationwide.

Source: Investor's Business Daily, David Devoss (03/09/07)

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Buyers Splurge Where it Counts: Kitchen and Bathroom

Daily Real Estate News March 12, 2007

slowdown in the housing market hasn’t curbed consumers’ desire for upscale kitchens and baths, says American Institute of Architects Chief Economist Kermit Baker.

“Households continue to emphasize size, features, and high-end products used in their kitchens and baths even as the overall housing slowdown has encouraged many to scale back on their overall housing investment,” he says.

No longer just a place to cook, the kitchen has evolved into the most popular room in the house. “There’s a strong desire to integrate the kitchen with living space that allows for a more open home environment with the ability to converse and access entertainment options while in the kitchen,” says Baker.

In the most recent AIA design trends survey, 40 percent of architects report a trend toward larger kitchens. Almost one-third see separate kitchen facilities (other than the main kitchen) or secondary food preparation or food storage areas as also increasingly appearing in homes.

Kitchens also are an area where owners are likely to upgrade. “Upper-end appliances are becoming more popular, even for homes that aren’t at the upper end of a price range,” says Baker.

Survey: Most Popular Kitchen Features

AIA rated the most popular kitchen features by subtracting the number of survey respondents who say a feature is decreasing in popularity from the number who say it’s increasing.

• Upper-end appliances: 65%
• Increased pantry space: 64%• Renewable flooring material: 53%
• Wine refrigerators/wine storage: 53%
• Integration with living space: 53%
• Recycling center: 48%
• Island work areas: 43%
• Natural stone countertops: 42%
• Drinking water filtration systems: 37%
• Duplicate appliances: 34%In the Bath:

What Buyers Want

In the bathroom, “accessibility features and universal design to accommodate an aging population are on the rise ,” Baker says. “From an amenities standpoint, heated floors lead the way, followed by multiple showers and towel warming racks. The popularity of whirlpools has dropped for the second consecutive year.”

Here's the complete list of the most popular bath features:

• Radiant heated floors: 62%
• Multihead showers: 62%
• Accessibility/universal design: 48%
• Doorless showers: 47%
• Linen closet/storage: 36%
• Hand showers: 36%
• Multiple vanities: 26%
• Dressing/cosmetic areas: 23%
• Towel warming drawers/racks: 22%

Growing, too, is the desire to incorporate green features into kitchens and baths. Increasing, according to architects, is consumer demand for renewable flooring material, such as bamboo or concrete, and drinking water filtration systems.

— By Camilla McLaughlin for REALTOR® Magazine Online

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Zero Down Mortgages Getting Harder to Find

Daily Real Estate News March 12, 2007

Countrywide Financial Corp. has instructed its brokers to no longer offer zero-down mortgages as an option for borrowers, the Wall Street Journal reports.

That's because such loans are among the biggest reasons for a recent and sharp increase in the level of delinquencies at U.S. home lenders. Countrywide joins such other companies as General Electric Co.'s WMC Mortgage and Washington Mutual Inc. in requiring that loan applicants have at least a 5-percent stake in their homes.

Previously, "if you breathe and have a Social Security number . . . you were going to get a house," notes Mark Cady of Market Street Mortgage in Houston. Now, lenders are demanding that applicants have higher credit scores and contribute a bigger down payment, among other requirements.

While the flow of money available to the subprime borrower community is likely to slow considerably as a result of this trend, observers note that lenders not subject to federal regulation will continue to offer higher-risk products such as 100-percent financing and interest-only loans.

Sources: Wall Street Journal, Houston Chronicle

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

7 Ways to Get Rid of Pet Odors

Daily Real Estate News March 12, 2007

When a house you’re trying to sell smells like a pet, there are some tactics that can improve the odor situation. Don Aslett, owner of Varsity Contractors, one of the country's largest cleaning companies, offers up these tips for identifying the source of the smell and then eliminating it:

Use a fluorescent black light (pet-supply stores sell them), to expose odor-producing spots on the carpet, couch, floorboards and even on drapes.

Remove all solids and blot up as much liquid as possible with a clean towel. Apply an appropriate odor neutralizer or cleaner according to directions.

Never use ammonia, which takes on the smell of what it's supposed to be cleaning, can trigger more accidents.

Choose the best product to remove the problem. On water-safe surfaces, try Simple Solution stain and odor remover. The problem area must be thoroughly soaked and left to dry.

Bramton's Oxy Solution Pet Stain and Odor Destroyer can remove odors and stains from surfaces that won’t withstand soaking, but test first in an out-of-the way place.

The most effective and safest disinfectant for use around pets is Chlorhexidine, which is sold under such names as Nolvasan, Chlorasan and Chlorhex by veterinarians and medical-supply outlets. Use these for problems that demand deep cleaning.

When all else fails, temporarily neutralize odors using a product such as Fresh Wave.

Source: St. Louis Post-Dispatch, Sarah Casey Newman (03/10/2007)

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Landscaping That Sells

Attractive landscaping is one of the best ways to make a good first impression on prospective buyers and show that a home is loved.

Though a well-designed landscape can be simple, it also can move far beyond a velvety lawn and colorful flower beds to encompass trees, shrubs, irrigation, hardscaping, and lighting.

By making informed choices, home owners can tranform their properties, whether they’re selling or just moved in and plan to stay for years. Before jumping into a landscaping-improvement project, it helps to have a general knowledge of what kind of plants would thrive on the property, says Steve Jones, (a.k.a. “The Plant Man”) owner of Greenwood Nursery in McMinnville, Tenn. Home owners should do some research to learn about their yard’s various components: Read more ....

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Are You Ready to Buy Your First Home?

For most young people, buying their first home can be a scary proposition. It not only represents the biggest purchase most people make, it is a decision they literally have to live with every day.

This is why experts advise taking the time to make the most informed decision possible — it can reduce costs, aggravation and regret. These days, it is advice more easily followed given the recent slowdown in home sales. Read more ...

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Subprime Lending's Next Act

Sour subprime loans have devastated lenders, dashed the hopes of borrowers, disappointed banks, and demanded tighter standards—but has the recent shake-up altered the risky mortgage landscape for good? Read more here ...

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

The Global Real Estate Boom

Real Estate crash? What crash? In the world's top cities, real estate has never been hotter. Read more here ...

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

The Beauty of a Bungalow

What is a bungalow, exactly? You can still get one that's well over 100 years old in for less than $100,000 in Ogden, if you hurry. Here's a great article on the nuances and special attributes of sweet little Bungalows ...

Click here to see all available Ogden Bungalows for under $100,000!

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Experts Predict Big Foreclosure Fallout

As home prices fall and lenders tighten credit terms, some observers close to the subprime market predict that things are going to get worse before they get better.

The delinquency rate for all types of mortgages rose to 4.67 percent in the third quarter of 2006 from 4.39 percent in the prior three months, a gain of 6 percent, according to the Mortgage Bankers Association.

Foreclosures last year were up 42 percent from 2005 levels, and will likely rise another 20 percent to 25 percent this year, predicts RealtyTrac Inc., a real estate information service.

"It's going to be a bloodbath this year," says Renae Gorney, director of loss mitigation at Freedom Foreclosure Prevention Services in Mesa, Ariz.

Christopher Cagan, director of research and analytics at First American CoreLogic, estimates that adjustable-rate mortgage resets will trigger some 1.1 million foreclosures over the next 5 or 6 years, wiping out $110 billion in equity.

While that may sound like a lot, Cagan doesn’t believe the fallout will significantly slow the U.S. economy or even severely damage the mortgage industry because it’s actually a pretty small percentage.

Source: Reuters News, Emily Kaiser (03/12/07)

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Some Subprime Lenders Face Bankruptcy

Big banks and investors that purchased subprime mortgages originated by small lenders over the last couple years are responding to an increase in defaults on the products by ordering the lenders to buy them back.

Many subprime originators are now facing bankruptcy because they lack the money necessary to comply, and some experts argue that the subprime mortgage market is weakening at a faster pace due to these repurchase demands.

New Century Financial Corp., for instance, is among the lenders on the brink of bankruptcy, fielding repurchase orders from Morgan Stanley, Citigroup Inc., Goldman Sachs Group Inc., Credit Suisse Group Inc., IXIS Real Estate Capital Inc., and Bank of America Corp. The company reportedly owes a total of $8.4 billion to these creditors, and Piper Jaffray analyst Robert Napoli says that repurchasing the loans at a 20-percent loss would eliminate New Century shareholders' equity.

Source: The Wall Street Journal, Carrick Mollenkamp, James R. Hagerty, and Randall Smith (03/13/07)

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Informed and Knowledable Public Using Internet to Find and Sell Real Estate

According to a recent study conducted and presented by Leslie Appleton-Young, Chief Economist and Vice President of the California Association of Realtors® (CAR®) in her analysis of the Real Estate Market in California for 2006, customers have moved their real estate transactions almost entirely to the Internet. Is your REALTOR using the Internet to sell your house to the world 24/7/365?
You might want to ask him or her about a few of the report's interesting findings:

* 92% of Internet buyers found their agent on a web site; 63% found them through an Internet search engine; 0% of Internet buyers found their agent through brochures, flyers, yard signs or mailers to their home

* In 2000, 28% of people said that they used the Internet as an important part of their home-buying and selection process. In 2006, 70% said they did

* 86% of home buyers started using the Internet as part of their process BEFORE they started looking for a specific home; the other 14% did after they started looking, but BEFORE they contacted a real estate agent; that means that 100% of buyers surveyed started looking at homes first, agents second.

* Internet buyers spent an average of 4.8 weeks doing research before contacting an agent; traditional buyers only 1.7 weeks.

* Internet buyers bought a home on average after spending 2.2 weeks looking for a home with an agent; traditional buyers spent an average of 7.1 weeks

* Internet buyers previewed an average of 6.7 homes with their agent (they had already eliminated ones they did not wish to see), traditional buyers previewed 15.4 homes

* Only 3% of all Internet connections available at the primary computer used for the home-buying process were dial-up: Internet home buyers and searchers are not sticking with dial-up, just as they are not sticking with traditional methods

* The approximate distance between previous residence and new residence for traditional buyers was 25 miles; for Internet buyers, it was 242 miles

* 69% of Internet buyers said response time was extremely important. 83% of those buyers chose email as their favored communication method with their agent. 0% chose "in person."

* Internet buyers were more satisfied with their agents: 4.3 to 3.3 for traditional buyers, on a scale of 5 where 5 is "surpassed expectations."

* 35% of traditional agents listed "faster response time from my agent" as the one thing they would change, if they could, about their experience; Internet buyers? 0%!

* Internet buyers were far more satisfied in every important researched category of satisfaction than traditional buyers were; when asked the number one reason for satisfaction with their agent, 91% of Internet buyers said that satisfaction was because their agent "was always quick to respond." Traditional buyers? Their number one reason was "worked hard on my behalf", chosen by 62% of them, leading us to conclude that traditional buyers did not find their agents "quick to respond."

How does your agent rate?

Jennifer Bunker. CRS, GRI
Utah Real Estate Broker

Condos Still a Popular Option With Buyers

According to an article in REALTOR Magazine: "With lifestyle and affordability driving demand, more than half of all condo buyers say they didn’t consider any other style of housing, according to a recent National Association of Home Builders' survey of condo buyers. Continued demand by both young, well-paid professionals (singles or couples), who want to own their first home close to urban amenities, and older households, who want to remain in the suburbs but shed the maintenance burden of a house, is expected to stabilize the condo market..."

I couldn't agree more! Many of my buyers are opting more and more for the condo lifestyle. Young professionals aren't so interested in lawn work, and guess what? Neither are retired folks. In today's world, we want a beautiful environment, but aren't willing to sacrifice our time to get it. In many cases, the HOA fees are worth every penny paid to free up condo owners to do other things. Read more of this interesting article here ...

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Check Your Car's Safety Rating Here

Not real estate related, but interesting. Check out your car's safety rating here.
"Come rain or shine, you count on the safety of your vehicle every time you get behind the wheel. Use this guide to find government crash test ratings and safety features for hundreds of vehicles." Vehicle Safety Guide

Jennifer Bunker. CRS, GRI
Utah Real Estate Broker

Eight Cell Phone Sales Tips from a Sales Rep

Here's an interesting read from The Consumerist for anyone who will be buying a new cell phone and service plan from Verizon Wireless sometime soon.

A former Verizon Wireless sale rep wrote the consumer web site with tips for consumers to get better deals than you'd think possible just by reading the phone price tags and service contract costs. It all boils down to haggling with the sales rep, something many of us may not think to do in a cell phone service store.
Read all "eight confessions," but here are a few prime tips:

• Negotiate a better price on the phone of your choice by agreeing to buy accessories and the text message plan. Then, return the accessories and cancel the text package over the phone with customer service. The sales rep get props for selling accessories and plan add-ons.
• If you're on a service plan that costs $59.99 a month, you can get a new phone and a new contract after 12 months, not two years.

• If you're getting a Palm Treo, the store may be offering $100 off the phone if you sign up for the unlimited data plan. Get it, then switch to a different data plan the next day over the phone. The data plans are not contractual.

Seems to me any request is worth a shot because you never know what the sales reps are trying to push on a certain day, but these are good tips to remember when you do your own haggling.

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Top 10 Home Updates That Pay Off (video)

Not all decorating or remodeling projects are created equal. Can you guess which home update has the highest rate of return on investment when it comes time to sell? According to the HGTV.com experts the answer is...a minor bathroom remodel. Coming in at a whopping 102% rate of return, this tops our list of updates that lucky home owners can expect to reap rewards from at resale time. A couple of key points, tips and tricks to get you started: Read more ...

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Mortgage Rates Remain at 3 Month Lows

A lack of definitive economic data helped keep mortgage rates at the lowest point since mid-December, Bankrate.com reports. Read the story ... See also: 30-Year Mortgage Rates Drop to 6.14%

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

2006 annual median home prices for Weber, Davis, and Salt Lake Counties, compared to 2005

The Salt Lake Tribune has posted annual homes sales figures. They prove what Utahn's have know all along: 2006 was a heck of a year for appreciation and we're still going strong!

Weber County

Davis County

Salt Lake County


Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

Utah Rated Most Dynamic Economy in the Nation

Despite the woes on Wall Street this week, a new national report says Utah's economy is poised for a promising future. Read more at KSL.com ...

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker

There's Something Horsey Going on in Utah

I receive a lot of emails from people outside of Utah who are thinking of moving into the state. One common theme a lot of these folks have is the romantic idea they'll move right in and get some great horse property. After all, it is Utah, right?

Right, it is Utah. But our metropolitan areas are filling up fast with housing tracts. That is because not only is Utah is a gorgeous place to live, but also many people are attracted by Utah's affordable housing prices, recreational opportunties, and plentiful job situation. The problem along the Wasatch Front (defined as a track of densely packed together cities approximate 100 miles long) is that we've got steep mountains on one side, and the Great Salt Lake on the other side. Where to put new houses for all the new people?

As a result of this growing demand, new developments are creeping over once treasured horse property. This is because everything else is nearly taken. Simply put, the metropolitan Wasatch Front is on the move. At a gallop, I might add.

That's not to say there isn't plenty of Utah land to plant a horse or two on. Just not in the metropolitan "creep zone." If you look south of Utah county, or in northern counties such as Cache, Box Elder and Rich counties, there's still lot of land for them thar horses. However, would-be wranglers shouldn't dawdle, the creep is trotting ever closer on its way to claim that land, too.

Jennifer Bunker, CRS, GRI
Utah Real Estate Broker