Cedar City Info

It’s amazing what happens when Cedar City residents work together, focusing on solving problems and moving past complaining!

http://www.thespectrum.com/article/20100604/NEWS01/6040302/Residents+speak+out+on+study

It is for us the living, rather, to be dedicated here to the unfinished work which they who fought here have thus far so nobly advanced. It is rather for us to be here dedicated to the great task remaining before us – that from these honored dead we take increased devotion to that cause for which they gave the last full measure of devotion – that we here highly resolve that these dead shall not have died in vain – that this nation, under God, shall have a new birth of freedom – and that government of the people, by the people, for the people, shall not perish from the earth. Abraham Lincoln, November 1863

http://www.thespectrum.com/article/20100325/NEWS01/100325009

Some builders think so! If our inventory keeps shrinking, and land prices stay low, there could be some new opportunity!

Mulling changes to mortgage relief. The Treasury may institute new guidelines for mortgage lenders that would give distressed borrowers more time to qualify for a federal foreclosure-prevention program. The proposal would give borrowers 30 days to respond after being denied a modification of their loan terms under the Home Affordable Modification Program. During that time, borrowers could appeal the decision and lenders would be unable to put the home up for sale. A Treasury spokeswoman said the idea is being considered but hasn’t been approved and no announcements are planned at present. (from Rachael Granby)

Looks like we’re still holding steady – but be prepared for some interest rate increases sooner rather than later! (The following are NOTE rates – not APR)

30-yr fixed: 5.125%
15-yr fixed: 4.375%
FHA 30-yr fixed: 4.875%
Jumbo fixed: 6.50%
5/1 ARM: 4.25%
Rural Housing 30-yr fixed: 4.875%
Construction: 6.00%
Lot Loan: 6.50%

Just ate at a brand new restaurant in Cedar City called the Whiptail. FABULOUS southwestern food. Had a spaghetti squash and goat cheese enchilada with green chili sauce. Dessert was a peanut butter-chocolate-habanero creme brulee. It’s definitely worth a visit to Cedar City just to try it!

It looks like there are some fairly significant changes in FHA rules coming at us. Because our area typically sees a lot of government-backed loans – specifically FHA and RDA – this could have an impact on local buyers.

*Watch for upfront Mortgage Insurance Premiums (MIP) to increase to 2.25% of the loan amount.
*Minimum FICO scores are going up to 580 for those who want to take advantage of the 3.5% down.
*Borrowers with FICO scores lower than 580 are looking at a required 10% down.
*Seller concessions will be lowered from 6% to 3% maximum.

Interesting changes – could have an effect on borrowers, but knowing in advance what’s going on will give us time to plan, and we can still get you to where you want to go!

Click on the link below to access a great article about local real estate. Featuring yours truly! There were actually more homes sold in Cedar City in 2009 than 2008. The median price was down to $145,000.

Enjoy!

http://www.thespectrum.com/article/20100112/NEWS01/100112004/Market-may-see-upturn

2010 has already started out to be a fantastic year! I’m very optimistic and excited about the great things that are happening in the world of real estate.

Some quick stats to end 2009:

*About 32% of our local market was comprised of foreclosed properties
*Another 20-25% of our sales were short sales – look for this trend to continue
*Our median sales price in 2009 was $145,000 – in 2008 it was $176,000
*In some parts of our market, for example a 1500 sf house listed under $200,000, we’ve only got about a 6-month supply! Compare this to over a 12-month supply 18 months ago.

All in all, 2010 looks like we’ll continue to have spectacular prices, good inventory, and great interest rates!

These are NOTE rates, NOT APR:

30-yr fixed: 5.25%
15-yr fixed: 4.50%
FHA 30-yr fixed: 5.125%
5/1 ARM: 4.25%
Rural Housing 30-yr fixed: 5.125%
Construction: 6.00%
Lot Loan: 6.50%

When I started in this business years ago, “good” rates were in the high 7% to low 8% range. I think we’re headed back there, but rates continue to be spectacular! There are such great deals in the Cedar City area right now, it’s worth taking a look.