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Show Friday, September 17, 2004, HOME CHOICE WEEKLY Page E3 HoisittyS ESSENTIAL ROLE INTHE 2004 ELECTIONS for' S. There it growing need for affordable boosing for Amerkaa workers. many families, the home is the center famihi iiitifr Vr mntfM rther Mnf thtr y ing the housing indus try one of the employers. 8. Housing generates wealth. MAin i jyfg ' ry process. Sensible growth management policies will meet a community's housing needs and allow for construction of a mix of different types of housing in various price ranges. 3. Credit Is die Hfeblood of the housing market Maintaining an adequate flow of credit is funda-- , mentally important. During the next decade, America's families will need 125 million mott- -' gage loans, or an average of $3 trillion annu ally, for home purchases and refi nancings. xx i makers - . x W- i Therefore, must l.; HOME BUILDERS 3UTS ASSOCIATION meht-sponsor- Housing accounts for 32 percent of household wealth in the nation. Homeowners have a total of about $8 trillion in home equity, which is often used as a nest egg for retirement or to cover college expenses. 7. Our country has major housing gap. While the national homeownership rate stands at a record 68 percent, millions of working families are still struggling to obtain decent shelter. The homeownership rate for minorities lags 25 points below white households. In addition, more than 14 million still spend more than 50 percent of their income on housing or live in seriously substandard housing. The job of housing America i. b far from housing enterprises in a way that impedes the ability of lenders and ensures an affordable steady flow of credit for home mortgages. 2. The government should meet the housing needs of the underserved. The federal government should also support special programs and tax incentives that promote homeownership or help low and moderate-in1. Leaders should elevate housing as a national priority. Like other basic human needs, housing should be a top national and local priority. The Housing Act of 1949 set a goal of "a decent home and a suitable living environment for every American Family." will require $3 trillion annually in new mortgage Such a growth rate will loan originations. require strong primary and secondary mortgage markets and an ongoing commitment by the sional builders and trades government to support the housing finance sector. kiUer deal? Fueled the banks arejhot aware the problems," Adams said. "Buyers should get a professional completed, of all inspection." buyer wanting to purchase a property should already be by a lender before offer: making an According to Mendenhall, most banks want a letter and proof of funds submitted with the A foreclosure offer. The kind of loan you use makes a difference, Adams said. "Freddie Mac and Fannie May will sometimes offer loans with no mort- gage insurance premiums,vs'iying buyers substantial money Ofttheir foreclosure homes," Adams said. Furthermore, buyers should look into what the lender they choose offers, Murray counseled. "Most banks require no more than a thirty day escrow and some charge a per diem holding penalty if you fail to close within the RE ALTO I? families. come complete. Home builders will have to construct 18 million new home and apartment units over the next decade just to keep up with rising population and household growth. Financing this housing federal policy guard against any backdoor attempts to alter L 1 mml minority and households continues to grow over the next decade, demand for starter homes and affordable rental housing will increase. This, group includes teachers, firefighters, nurses, police officers and other public servants. 4. Housing needs demand smart growth. New household formations are expected to average between 1.3 million and 1.6 million per year during the next decade. To satisfy this robust housing demand, local and state government need to enact sound land-us- e policies and reform and streamline the zoning and regulatofemale-headed Utab-Valle- mak- to buy a home for a real by night "Get rich quick" advertising and by real estate investment seminars, many buyers think the foreclosure market will make them wealthy quickly. "This is the biggest misconception," said Eric Adams, principal broker of REMAX Central Real Estate. "Buyers will get a fair deal, but very seldom will they steal a property." Jeff Mendenhall, principal broker of Osmond Real Estate, agreed. "The biggest mistake buyers make is making a ridiculously low offer," he said. "Most banks do an as is appraisal and market the property appropriately for its condition." Kevin Call, executive vice presi dent of the Utah County Association of Realtors, said an agent helps buyers to understand the market. "The job of the buyers agent is to help them understand fair market value of any property they want to buy," he said. The buyers agent should be able to show information on reasonably comparable properties in order to make an educated offer, whether it is a traditional sale or a bank foreclosure. Buyers should not be shy about asking for this kind of professional advice." Bank owned properties are almost condition. This always sold in "as-imeans that many of the usual warranties do not apply. "I counsel all buyers to do a thorough professional inspection on any bank owned property," said Scott Murray, principal broker of Rock Cm As the number of immigrant, it represents stability; the generation of wealth, or the achievement of a dream. Delegates to this year's Democratic and ftepublican national conventions and all candidates for political office need to know about the enormous Impact of the housing market To that Home Builder's Association end, the ha crafted this top ten list to underscore the affect arid value of housing to our nation. 10. Housing Is leading the nation's economic recovery. Home builders constructed more than 1.8 million new homes and apartment units in 2003, and a record 1.1 million new homes were sold last year. Production and sales are expected to exceed those figures in 2004. To sustain this level of production, a healthy overall economy with low interest rates and rising real incomes is absolutely Critical. In 2003, housing activity accounted for 16 cents of every dollar spent in the U.S. economy. 9. Housing creates good paying Jobs., The 215,000 members of the National Association of Home Builders employ about 8 mil lion Americans, THE FORECLOSURE MARKET s" .. The Utah Valley Home Builders Association is committed to providing affordable, decent, quality constructed homes. Contact any of our profes- Canyon Real Estate. contractors at Adams agreed. "While most bank owned proper- www.UtahParade.com ties have been cleaned up with new paint and carpet, and known repairs -- Scot Jones 2004 President of Utah valley Home Builders Association SALT LAKE CITY - aeai j spoKen . Kiner i i 'riii-Aif- oi oy ine stinuiai people. Buyers also need.tofbeawarev of the inherent riSKS' of &ffv&recl6-Y- - '; sure market." - The home in Utalu i fforeclo sere rate 30 days," Murray said. "A' buyer needs to make sure the lender chosen can move quickly to avoid penalties. Most lenders are offer managenow using Web-base- d ment systems and will respond to your offer quickly." "Most importantly, buyers in the foreclosure market should keep their expectations realistic," Call said. "The multiple listing system used by Realtors shows approximately 85 properties in Utah County that are either bank owned or require bank approval," he said. "This is a significant portion of our market. Buyers can get good solid deals on foreclo sure homes but very seldom get the it. dowiu- nearly fell to 4.65 percent in I would anticipate that highest ranking anjjfhe'351,000 loans the second quarter, we'll continue this first quarter. y f the - -- , ;; . serviced in the compared to 5.10 per- trend of improvement state for the three cent last year during on into the third quar- Utah economic figures ter." on such matters;-- ; as months ended June the same quarter. foreclosures 30, the percent of of Nationally, the fore- bankruptcies tene.Wv rate loans in foreclosure Utah's was 1.56 percent, improvement in the closure rate fell to 1.16 be worse than the down from 2.03 per- second quarter mirrors percent, the lowest national average: t- -. cent during the same a trend from the first rate since the end of least in part because quarter in 2003 and quarter, when foreclo- 2000 and down from the state has a much down from 1.80 per- sures and delinquen- 1.35 percent a year younger population cent in this year's first cies fell by nearly the earlier, said Douglas due to its high birth same amount Duncan, MBA's chief rate. quarter. economist. The figures are from ft I I the quarterly national "I mink that's really Utah's foreclosure rate delinquency survey good news," said Kelly of 1.56 percent ties last Matthews, executive with North Carolina released Wednesday by the vice president and as the 10th- Bankers economist at Wells highest rate Mortgage the Association Fargo. "I would take in that as a really positive n a t i on, America. sign that we've now d Utah's delinquency had two consecutive rate mortgage loans 30 quarters of really sig- Utah's days or more past due nificant improvement. eighth year-over-ye- ar. ifit ; own , mil"' from $ |