Congratulations to Michelle Nantz – Associate of the Week!
This week’s Associate of the Week was nominated not only by our Leadership Team, but also by her friend and associate. This week’s recipient has definitely earned the title for her commitment and professionalism! This week’s Associate of the Week is Michelle Nantz. Nominated by the Leadership Team and Eric Taylor, here’s what Eric had to say about Michelle:
Michelle is:
-At the office before 9am almost daily
-Balances work schedule with her family’s needs on top of her husband working out of town all week. And since her Mom passed she has a LOT of family needs placed on her!
-Prospects daily and drives the other agents around her to perform at a higher level both professionally and in their daily interactions within the office and out in public
-She is never seen in the workplace in less than professional attire
-She pushes both agents and admins. to be better by providing suggestions instead of just complaining about a situation
-She takes her clients needs extremely serious and works hard to get them the best results
We couldn’t agree more! Congratulations Michelle!

Lake Norman Realty, Inc. is the only brokerage firm in the Lake Norman/Charlotte region Associated with the renowned International Who’s Who of Luxury Real Estate.

Click here to View our Luxury Property Presentation

Start your Luxury Home Search Now… http://www.lnrluxury.com/Listings.cfm

Looking for a Professional Luxury Real Estate Specialist?  Look no further.  Call Michelle at (980) 722-4971.

Listing by Lake Norman Realty, Inc. at a mere 8 Million.  Waterfront on Lake Norman.

Beyond the Headlines: Recognizing Opportunities in Today’s Real Estate Market

By Abigail Jennings

It never fails. Wherever I go I am asked, “So, how’s the market?” I always enjoy

answering this question and discussing the “new normal” of today’s real estate market.

Our market today offers historical opportunities rich with possibility.

Perhaps one reason I’m asked this question so often is that news reports have a way of

confusing the issue. Many times we hear sound bites announcing definitively, “Home

prices on the rise,” or, ”Sales were up last month,” only to hear a seemingly conflicting

report the very next week! When evaluating what we hear on the news, it is critical to

listen for the data behind the report. Were the statistics local or national? Did the

numbers refer to units sold or the total volume of sales? Was the report based on the

average or median sales price? Often, the news report is so short it fails to mention these

very important pieces of information, rendering the headlines somewhat hollow to say the

least. The cumulative effect of these often-too-superficial reports is to make the real

estate market seem more volatile than it actually is.

In a nutshell, our real estate market continues to be affected by the Wall Street downturn

our country experienced several years ago. The 100% loans made to homeowners at the

height of inflated home prices, and the job loss created by the ripple effects of the

banking crisis have both been key components defining our current housing market.

Most homeowners who are secure in their jobs and homes do not fully understand the

repercussions of their neighbors’ misfortune on their home’s value. Unfortunately, the

sale prices from these distressed sales become the market comparables for all the homes

in the community and continue to lower home prices. Until the thousands of pending

short sales and foreclosures become finalized, it will not be possible for our home prices

to finally settle.

With that being said, I hope I did not scare any potential buyers or sellers off! Although

this news paralyzes some into steering clear of real estate today, in fact, it is quite the

opposite. Now is truly a phenomenal time to buy. Growing up in the Lake Norman

region, I always heard people talking about missed opportunities to buy a waterfront lot

for a few thousand dollars in the 1970’s. Today, I believe our real estate market offers

possibilities similar in their historical importance. Even homeowners who are waiting to

sell their home hoping for more equity in the future may want to rethink their delay in

entering the market. Today’s money will buy “more house,” and when combined with

interest rates at extraordinary lows, the opportunities are truly historical.

Speaking of history, let’s take a look back in time and see what we could have gotten in

2006, 2008, and 2010 in one of Lake Norman’s finest luxury waterfront communities. In

2006, $1.75 million would have bought a gorgeous home with a total square footage of

around 6500. In early 2008, considered by many to have been the peak of real estate

values, a neighboring home of 5300 square feet sold for almost the same money (just

over $1.7 million). In late 2010, the most recent comparable home on this street sold for

$1.4 million. But this one weighs in at over 7500 square feet, considerably more

spacious than either of the first two examples. And this pattern is fairly consistent in all

neighborhoods and price points throughout our region over the same time period. As you

can see, your money will buy you more in today’s real estate market.

For those of you with something a bit more luxurious in mind, a new property has just

entered our local real estate market which further illustrates my point. Chateau Lyon

offers not only the grandeur of scale, but also lavish attention to details beyond anything

else offered in our region. Built by furniture entrepreneurs Larry and Jane Hendricks,

this home cost over $22 million to build with elements and architectural features from

around the world. Situated on perhaps one of the loveliest sites in Alexander Island, a

cozy and exclusive neighborhood on the shores of Lake Norman, Chateau Lyon’s views

are as breathtaking as the home itself. The Hendricks spared no expense when building,

importing pinion stones hand-carved in the fields of Mexico, eighteenth century

handmade roof tiles from France, reclaimed 250 year-old heart pine plank flooring,

Biblical stone floors from the Middle East, as well as original paintings, gold-leaf

paneling, and fixtures directly from a 1901 reproduction of Marie Antoinette’s summer

home in Lyon, France; and much, much more. Although many of the home’s details are

precious antiques, this home is an astounding modern wonder with every “smart home”

feature you could imagine; creating the ultimate in the best of both worlds.

A rare gem of a home, Chateau Lyon captures the heart and mind of all who enter its

awe-inspiring halls. Its magnificent rooms each embody the spirit of this grand estate,

which feels like a visit abroad and a step back into history. It’s a historical bargain too,

as the once $22,000,000 castle is now offered at $8,000,000. So if you’re considering

calling Chateau Lyon home, don’t let the headlines dissuade you. After all in 30 years,

you don’t want to look back with regret on your missed opportunity to own a waterfront

castle for a mere $8 million.

Immaculate & Charming! This is a home you don’t want to miss.  Freshly Painted!  All Rooms throughout this home are Hardwood or Tile – NO CARPET!!  Attractive Hardwood Staircase with runner.  The Gas Log Fireplace with an intricate Wood Mantle. Bay Window Breakfast Nook looks out over the back yard. Open Floor Plan. All Appliances are Included – Built-In Microwave, Refrigerator, Range/Oven, and Dishwasher – all Like New. Warm Oak Cabinetry with Neutral Formica Counters.  Don’t miss the Powder Room on the Main floor which includes formica topped cabinetry.  A bonus room is located to the left of the foyer.  It makes a great Study, Formal Dining Room or play room with French Doors.  Upstairs the hallways include hardwood floors.  A Tray Ceiling is a lovely finishing touch in the  Master Suite. The lavish bath includes a Big Garden Tub and Cultured Marble Dual Vanity.  Separate Shower with Door.  Varying Ceiling Heights and Moldings in the bath are handsome.  Tile Floors in all baths. Don’t Miss the Walk In Closet. The Secondary Bathroom includes a Tub/Shower Combo, Linen Closet and Cultured Marble Vanity. Good Size Secondary Bedrooms. Over Sized Garage with a Man Door to the rear yard.  The Fenced Yard is Peaceful and Private Yard with Mature trees and bushes.  Patio for Entertaining.

Super Motivated! Superior Waterfront Home with Splendid Big Water Views from Both Sides of this Full Brick Home with Walk Out Finished Basement and Patio! Almost 300 Feett of Shoreline. Open Living Areas with Gleaming Hardwoods & Soaring Ceiling Heights Embellished with Intricate Trim and Arched Openings. Master on Main with Secondary Bedrooms and a Bonus Up. Basement is Planned as Second Living Area with Full Kitchen, Two Bedrooms, Den, Rec Rm and Full Bath!

This Waterfront Lot is Far Superior to Most on the Market with large Shoreline and Massive Views. Rip Rap Shoreline, Pier, Covered Boat Slip with Trex floored deck. Large Patio off Walk Out Basement with Hot Tub and Trex Floored Deck off Main Level Living. Substantial Windows throughout with a Perfectly Situated House to Take Full Advantage of a Beautiful Location.

SHORT SALE!  MLS 951478  $262,000 Firm

Situated in Bensons Creek, one street of Handsome, Custom Full Brick Homes. This Lush Lot has a hardwood canopy and a back yard that is Simply hard to leave w/a kidney shaped pool, large concrete patio & deck, lots of nooks for entertaining (incl one covered porch off the Master Suite) and incls the delightful sound of water passing over river rock into a goldfish pond. Gorgeous Upgrades thru out!

You are greeted by varying ceiling hgts and embellished columns with this open floor plan. Stylish hardwood floors and tile in the wet areas. Gas Log FP in the Great Room opens to a Breakfast Nook/Bar  & Custom Cabinetry topped with a Rich Granite Choice & Tile Back Splash. The Master Suite Includes an Interior & Exterior Sitting Area with Tray clg. Unique Tile Choices really make this a lovely BA.

Call for more information.

This information was posted on FinancialStability.gov.  You will find foreclosures continuing to come on the market, but it seems more homeowners are taking advantage of Counseling, HAFA and HAMP.

Press Releases

OBAMA ADMINISTRATION HOUSING SCORECARD SHOWS CONTINUED PROGRESS IN HOUSING MARKET, BUT CHALLENGES REMAIN
Impact of Administration efforts seen in increased affordability and continued house price stabilization; data underscores more work ahead to stem foreclosures, delinquencies

WASHINGTON – The U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of the Treasury today released the August edition of the Obama Administration’s Housing Scorecard (www.hud.gov/scorecard), a comprehensive report on the nation’s housing market. In July, housing prices remained level after 30 straight months of decline, while some price predictions have improved. In addition, historic low interest rates continued to promote home affordability and refinancing options for the nation’s families.  However, the market remains fragile with foreclosure starts showing a slight increase and serious delinquencies continuing to work through the pipeline.
“While there has been some stabilization in the housing market, it remains clear that we have more work ahead,” said HUD Assistant Secretary Raphael Bostic. “Through the Obama Administration’s efforts over the past 16 months, we have seen increased price stabilization and improved home affordability for prospective, qualified homebuyers. At the same time, we know that we must continue to provide support to underwater borrowers, unemployed homeowners, and to the nation’s hardest hit neighborhoods.”

The August Housing Scorecard features key data on the health of the housing market including:

• Stabilizing housing prices drive improving expectations in some regions. After 30 straight months of decline, home prices have leveled off in the past year; futures indices have shifted upward since January 2009 as signs of recovery continue, although overall housing outlook measures remain mixed.
• More than twice as many modification arrangements begun compared to foreclosure completions. More than 3.15 million modification arrangements were done from April 2009 through the end of June 2010.  This includes more than 1.3 million trial Home Affordable Modification Program (HAMP) modifications started, over 472,000 Federal Housing Administration (FHA) loss mitigation and early delinquency interventions, and 1.4 million proprietary modifications under HOPE Now. The number of agreements offered continues to more than double foreclosure completions for the same period (1.24 million).
• More than 4.2 million families have benefited from housing counseling since April 2009. Working with a HUD-approved housing counselor can help borrowers manage debts apart from a mortgage – car payments, credit cards and personal loans, for example – and help them avoid falling into default.
• More than 37,000 homeowners received a HAMP permanent modification in July. While the pace of program entry has slowed due to upfront documentation requirements in place since June 1, this policy change streamlines the process to help more eligible homeowners convert to a permanent modification.  Homeowners in permanent modifications are experiencing a median payment reduction of 36 percent, or more than $500 per month. “HAMP, which represents just one, targeted piece of the Administration’s larger efforts on housing, has so far offered more than a million and half responsible homeowners the chance to modify their mortgages. This program has helped to stabilize a housing market that remains fragile and has redefined the modification standard for the industry – both of which are delivering real benefits to struggling homeowners in communities across the country,” said Treasury Assistant Secretary for Financial Stability Herb Allison.  “Currently servicers are working through their pending modifications, and while Making Home Affordable works for a number of homeowners, many others are offered other means of avoiding foreclosure. As careful stewards of the scarce resources of the American taxpayer, we see this as prudent progress – and we will keep working to help the Americans hardest hit by this crisis.”

“HAMP, which represents just one, targeted piece of the Administration’s larger efforts on housing, has so far offered more than a million and half responsible homeowners the chance to modify their mortgages. This program has helped to stabilize a housing market that remains fragile and has redefined the modification standard for the industry – both of which are delivering real benefits to struggling homeowners in communities across the country,” said Treasury Assistant Secretary for Financial Stability Herb Allison. “Currently servicers are working through their pending modifications, and while Making Home Affordable works for a number of homeowners, many others are offered other means of avoiding foreclosure. As careful stewards of the scarce resources of the American taxpayer, we see this as prudent progress – and we will keep working to help the Americans hardest hit by this crisis.”

Data in the scorecard show that the recovery in the housing market continues to remain fragile, with some measures suggesting recovery will take place over time.  For example, foreclosure starts went up slightly in July from the previous month, but remain well below July 2009 levels.

Foreclosure completions also inched upward as the volume of serious delinquencies continues to work through the pipeline.

Each month, the Housing Scorecard incorporates key housing market indicators and highlights the impact of the Administration’s unprecedented housing recovery efforts, including assistance to homeowners through the FHA and HAMP.
The Obama Administration’s complete Housing Scorecard available at: www.hud.gov/scorecard

This is great information:
HAFA short sale rules may help sellers
By Michele Lerner • Bankrate.com

Homeowners struggling to sell their homes in a short sale are getting some relief, thanks to the federal government’s Home Affordable Foreclosure Alternatives, or HAFA, program.

Up to now, many short sales — in which the lender accepts a sale of the property for less than the full amount owed — have taken months to complete. Sometimes, the complex and lengthy process has failed, resulting in foreclosure.

HAFA establishes streamlined short sale rules and incentives borrowers and lenders to work together to avoid foreclosure. The rules — in effect between April 5, 2010, and Dec. 31, 2012 — also are intended to speed up the short sale process.

“The streamlined short sales process will definitely help homeowners,” says David Liniger, Re/Max International chairman and co-founder.

Prior to HAFA, homeowners often listed their home for sale without an idea of what the lender would accept.

“A lot of sellers and their Realtors have not been able to sort out the problems with short sales and have given up on the process because, even after sending in the correct paperwork, they have sometimes waited three or four months for their lender to respond,” Liniger says.

Under HAFA, borrowers receive preapproved short sale terms from the lender prior to putting the home on the market.

Lisa Matykiewicz, a Realtor and Certified Distressed Property Expert in Gilbert, Ariz., says the updated short sale rules establish an easy-to-understand process with predefined steps that “make it easier for everyone to understand.”
Eligibility requirements
The HAFA guidelines apply to lenders who voluntarily participate in the HAMP program. The Department of Housing and Urban Development says more than 100 servicers have signed up to participate in HAMP, covering more than 89 percent of mortgage debt outstanding in the country.

To be eligible for HAFA, homeowners must first apply for a loan modification through the Home Affordable Modification Program, or HAMP. Owners who do not qualify for a loan modification or miss payments during the initial loan modification period qualify for HAFA.
Other HAFA requirements include:

* Property is principal residence.
* Mortgage originated before Jan. 1, 2009.
* Mortgage is owned or guaranteed by Fannie Mae or Freddie Mac.
* Borrower is delinquent or default is foreseeable.
* Homeowner demonstrates hardship.
* Borrower’s total monthly housing payment exceeds 31 percent of gross income.
* Unpaid principal does not exceed $729,750.

According to HAFA rules, lenders now must offer a short sale in writing to the borrower within 30 days if the borrower does not qualify for or complete a loan modification. Borrowers then must respond within 14 days to the lender’s short sale agreement.

When lenders agree to do a short sale on real estate it means the lender is accepting less than the total amount due. Not all lenders will accept short sales or discounted payoffs, especially if it would make more financial sense to foreclose; moreover, not all sellers nor all properties qualify for short sales.

If you are in a situation where a short sale would make sense, you should speak to an attorney and an accountant to understand how a short sale will affect you legally and financially.

Except for certain conditions in the Mortgage Forgiveness Debt Relief Act of 2007, be aware the I.R.S. could consider debt forgiveness as income, and there is no guarantee that a lender who accepts a short sale will not legally pursue a borrower for the difference between the amount owed and the amount paid.  This amount is known as a deficiency. A lawyer can determine whether your loan qualifies for a deficiency judgement or claim.

I found a pretty comprehensive list of what to do and expect when dealing with a short sale on About.com.  Please note that every lender has different requirements.

“

• Call the Lender
  You may need to make a half dozen phone calls before you find the person responsible for handling short sales. You do not want to talk to the “real estate short sale” or “work out” department, you want the supervisor’s name, the name of the individual capable of making a decision.
• Submit Letter of Authorization
  Lenders typically do not want to disclose any of your personal information without written authorization to do so. If you are working with a real estate agent, closing agent, title company or lawyer, you will receive better cooperation if you write a letter to the lender giving the lender permission to talk with those specific interested parties about your loan. The letter should include the following:
  • Property Address
  • Loan Reference Number
  • Your Name
  • The Date
  • Your Agent’s Name & Contact Information

• Preliminary Net Sheet –

This is an estimated closing statement that shows the sales price you expect to receive and all the costs of sale, unpaid loan balances, outstanding payments due and late fees, including real estate commissions, if any. Your closing agent or lawyer should be able to prepare this for you, if you do not know how to calculate any of these fees. If the bottom line shows cash to the seller, you will probably not need a short sale.

• Hardship Letter
  This statement of facts describes how you got into this financial bind and makes a plea to the lender to accept less than full payment. Lenders are not inhumane and can understand if you lost your job, were hospitalized or a truck ran over your entire family, but lenders are not particularly empathetic to situations involving dishonesty or criminal behavior.
• Proof of Income and Assets
  It is best to be truthful and honest about your financial situation and disclose assets. Lenders will want to know if you have savings accounts, money market accounts, stocks or bonds, negotiable instruments, cash or other real estate or anything of tangible value. Lenders are not in the charity business and often require assurance that the debtor cannot pay back any of the debt that it is forgiving.
• Copies of Bank Statements
  If your bank statements reflect unaccountable deposits, large cash withdrawals or an unusual number of checks, it’s probably a good idea to explain each of those line items to the lender. In addition, the lender might want you to account for each and every deposit so it can determine whether deposits will continue.
• Comparative Market Analysis
  Sometimes markets decline and property values fall. If this is part of the reason that you cannot sell your home for enough to pay off the lender, this fact should be substantiated for the lender through a Comparative Market Analysis (CMA). Your real estate agent can prepare a CMA for you, which will show prices of similar homes:
  • Active on the market
  • Pending sales
  • Solds from the past six months.
• Purchase Agreement & Listing Agreement
  When you reach an agreement to sell with a prospective purchaser, the lender will want a copy of the offer, along with a copy of your listing agreement. Be prepared for the lender to renegotiate commissions and to refuse to pay for certain items such as home protection plans or termite inspections.

Now, if everything goes well, the lender will approve your short sale. As part of the negotiation, you might ask that the lender not report adverse credit to the credit reporting agencies, but realize that the lender is under no obligation to accommodate this request. Credit report status is not always negotiable.”

This can often be a stressful process, choose a real estate agent that is willing to go the extra mile to help with this process and has experience.  The same goes for the accountant and attorney.

Having sold many short sales, I can help you with the information necessary to provide to the lender and point you in the right direction with a list of accountants and attorneys to help.  Don’t take it all on your own shoulders.  Especially when there are people here to help.