Posts Tagged ‘Relocation To Colorado Springs’

Study Your Relocation to Colorado Springs

Tuesday, January 31st, 2012

If you are thinking about moving to the state of Colorado, then relocation to Colorado Springs, which is its second most populous city, is a good choice.  Colorado Springs is known for its beautiful mountains, elegant restaurants, military installations, and historical buildings.  It is pleasantly located near Pikes Peak, which is one of the most famous mountains in the US, and lies at the foothills of the Rocky Mountains.  It is definitely a wonderful place to live, and is considered a good place to retire.

Relocation to Colorado Springs will require the services of movers, or of storage services.  The Colorado Springs Chamber of Commerce has information regarding relocation on its website. This resource also has directories listing economic facts, top businesses, recreational areas, and other helpful insights.
Of course one of the first things you want to do before relocating is to find yourself a good home.  You will have to decide very early if you intend to purchase a home or rent one.  It will all depend on whether your sojourn will be for a fixed time or for an extended period.

There are many nice neighborhoods to choose from and you can do your own search on the internet regarding property values in Colorado Springs.  However, if you are coming from out of state then in order to make the most suitable selection, you will definitely need sound advice from a Colorado Springs realtor.  A local realtor will be able to provide the advice you need in order to make an informed decision about purchasing a home.  Realtors can also provide information about town profiles, school districts, and businesses.

If you decide to purchase a home then you will have to consider the following:

Budget: This will determine the type of home you will be able to buy, as well as the area in which you will be able to afford to live.  To a large extent your budget will depend on your income.  However, it will also be impacted by other factors such as mortgage rates, the down payment required, as well as the size of any debt that you are already carrying.

Preferred Location:  You have to decide on the type of neighborhood you would like to live in.  Take time to find the one that has the amenities that you require to be comfortable.   Consider such things as the commute to your office, recreational areas, schools, property resale values. Once you have settled on a location, you can then seek out a reputable realtor in the area to help with your search.   If you intend to purchase a home, then opt for an area in which values are higher.

Relocating is never easy, despite your best efforts there will be some apprehension at the outset. However, if you make the effort to find out as much as possible about the city you are moving to, then it can be made a whole lot easier.  If you are considering relocation to Colorado Springs then if you follow these tips the transition can be made a lot smoother.

A Must See Homes Colorado Springs

Saturday, January 28th, 2012

Located in El Paso county Colorado, the city of Colorado Springs offers many scenic views, surrounded by wonderful mountains and forests.  There are some very lovely homes Colorado Springs, which only serve to enhance its attractiveness and make it more appealing to residents and visitors alike.  Homes Colorado Springs offer several options, there are places you can get away from it all, as well as other areas that are near to the city.  The choice is up to you.

The Powers corridor is a vibrant and growing area of Colorado Springs.  The Powers corridor has become an increasingly popular place to buy a home in Colorado Springs, because of its affordability.  In addition, it is conveniently located near to several shopping and recreational areas, as well as to Peterson Air force Base.  The fact that it lies in the Falcon School District 49 is another plus, as it is the fastest growing school district within Colorado.

There are many housing options available in the Powers corridor of Colorado Springs. The area has condos, townhomes, as well as single family homes.  Condos generally have 2 to 3 bedrooms and many are moderately priced at under $200,000.

Townhomes in the Powers corridors are also available in 2 and 3 bedroom options.  However, there are also some that have 3 and 4 bathrooms.  It is possible to purchase a nice 2 bedroom 3 bathroom townhome for about $150,000.

The Powers corridor also has some nice single family homes on the market.  These range from 2 to 5 bedrooms, with 2 to 5 bathrooms, and 2 car garages.  Many are reasonably priced from $250,000 to $350,000.

The neighborhood of Briargate is another nice residential community.  If you are looking for homes Colorado Springs then make sure to put it on your list.  Briargate is a well-planned region that boasts some wonderful amenities. If you have school age kids then this is an excellent choice as it is located in School District 20, which is one of the top school districts in Colorado Springs.

There are different types of homes located in Briargate including townhomes, condos, and single family homes.   Sizes also differ as there are homes available from a little over 1,000 sq. ft. to 3,300 sq. ft.  In terms of prices, it will all depend on the housing option you prefer, but it is possible to get 2 bedroom 2 bathroom homes for $220,000.  Of course if you opt for a larger home of say 3 bedrooms and 3 bathrooms, then the price may go up by an additional $100,000.

It is possible to get moderately priced homes Colorado Springs.  The price will depend on the type of house you decide to buy, or rent, as well as the location.  Colorado Springs also offers more rural home options, such as those that are available in Woodland Park and Ute Pass.  Real estate in these areas boasts large wooded acres that facilitate very private living.  They offer very scenic views with mountains on every side.

Learn the Top 10 Questions that VA home buyers ask Pink Realty Agents

Sunday, September 4th, 2011

With Colorado Springs houses County, Colorado being home to Fort Carson, Peterson Air Force Base, Schriever Air Force Base, Cheyenne Mountain, the Colorado Springs Air Force Academy, and countless military contractors who heavily recruit retired military personnel, VA Mortgage Loans are not only a common loan type, but local market driver. Because of the demand for these types of mortgages in Colorado Springs, we at Pink Realty want to answer the Top 10 questions that military and retired military home buyers have about VA mortgages.

Question 1: What is the VA Mortgage Lending Limit?

According to our in-house lending specialist, Tammy, the VA mortgage lending limit is $417,000 in Colorado Springs. While this limit is set for most areas of the country, the VA lending limit can be as high as $1M for other parts of the country that have higher average home prices, such as Washington DC, California and Hawaii. Additionally, while the VA sets their limit, this does NOT limit the veteran to a house priced at $417K or less. For example, let’s say you want to purchase a home priced at $500K. That’s $83K higher than the VA guarantee limit of $417K. If your VA eligibility is $417K and you qualify for the higher loan amount from your lender, you can purchase the $500K home with a down payment of 25% of the $83K difference ($20,750) and your lender will lend you the other 75% of the difference or $62,250. Therefore, your loan amount would be $417K, plus $62,250 or $479,250.00. As long as you qualify for the higher loan amount and have the cash for the down payment, you can buy that $500K house.

Question 2: What is the VA Funding Fee?

The VA charges a VA Funding fee of 2.15% of the mortgage amount to first-time users who do not put pay a down payment on the home. This fee covers the cost to operate the VA loan program. After the first VA loan, the funding fee is increased to 3.3% of the mortgage amount if the veteran does not pay a down payment. This fee does not have to be paid by the veteran out of pocket. It can be financed into the loan along with other closing costs, so there is no down payment required and no out of pocket expenses to the veteran.

Question 3: Can the VA Funding Fee be waived?

Did you know if you are discharged from service with at least a 10% disabled status you can get the VA funding fee waived? That’s right! Nearly 70% of the veterans today are discharged with at least a 10% disabled status. This not only gets the veteran a tax free check every month, but also allows them to purchase a home without having to pay the standard VA funding fee!

Question 4: Is my eligibility lost if I file Bankruptcy?

Filing Bankruptcy does affect your VA eligibility, but depending on what type of Bankruptcy you file, your VA eligibility is affected differently. If the veteran files Chapter 7 Bankruptcy, which is a total liquidation of their debts, the veteran must wait 2 years before they can qualify for another VA loan. If, however, the applicant files Chapter 13, which is a re-organization of their debts, the VA will consider lending to the applicant for another home purchase in as little as 12 months into the bankruptcy if the applicant receives permission from the bankruptcy court and can show they have paid 12 months of payments on the bankruptcy in a timely manner.

Question 5: Is my eligibility lost if I lose my house in foreclosure or sell my home as a short sale?

There have been a lot of foreclosures in Colorado Springs in the past couple so Pink Realty agents get this question quite a bit. Whether a veteran looses their home in a foreclosure or sells their home as a short sale, if the VA suffers a loss, they do not forgive or forget the loss. However, this does not mean the veteran loses their eligibility. The amount the VA loses on your home, whether via a foreclosure or short sale, gets subtracted from your total eligibility. What this means is if you were elegible for a VA guarantee of $200K and the VA lost $100K on your loan, your VA eligibility is reduced by the amount of the loss and is now $100K. If the deficiency is repaid to the VA, the veteran’s eligibility is fully restored.

Question 6: Can I use my VA eligibility more than once?

Yes! Veterans can use their VA eligibility as many times as they want but only on one house at a time. To use the eligibility again, the veteran must pay off the previous loan and provide proof to the VA, and your Pink Realty agent can help you with this. When a veteran has a VA loan on their home and they sell it, they must notify the VA that the home has sold and the mortgage has been paid in full. This restores the veteran’s VA eligibility so that it can be used again to buy their next home. If the veteran allows his VA mortgage to be assumed by another eligible veteran (and this is never a good idea) and the assuming veteran is not willing to substitute his own VA eligibility to the original veteran, the original veteran’s eligibility is reduced by the amount of the loan that was assumed. Once the assuming veteran pays the loan in full, the original veteran’s VA eligibility is restored.

Question 7: What kind of properties can I buy?

The VA does not lend on any property that is not intended to be used as the applicant’s primary residence. Should an applicant want to purchase a duplex, tri-plex or any 2 - 4 unit building as an investment, the VA will grant a VA mortgage loan as long as the applicant intends to occupy one of the units as their primary residence. The VA also requires that the home be in move-in and livable condition at the time the loan is made. The VA does not lend on uninhabitable properties, raw land, commercial property or any other property that will not be considered the applicants primary residence.

Question 8: Can I buy more than one property at a time?

The VA only issues mortgages on the veteran’s primary residence. This does not keep the veteran from being able to purchase other properties, though. If the veteran wants to purchase another property, such as an investment property, and they qualify for both mortgages, the veteran can secure other, non-VA financing to purchase other property. If you would like to discuss the other loan types that may be available to you, our in-house Pink Realty lender would be happy to help you. Just call our office at 719-393-7465 (Pink) and ask to speak to the lender.

Question 9: Who can apply for a VA loan?

VA loans are for military personnel and veterans. If a military applicant wants to include another person on their VA mortgage, the only acceptable co-applicants are the applicant’s spouse or another VA eligible applicant. Family members, friends, relatives and/or ’significant others’ can’t be on a VA Loan with the applicant. If there are
credit issues with an applicant’s spouse, the applicant does not have to include the spouse on the application.
However, the debts of the spouse must be included so the VA has knowledge of the total liability at stake. Sometimes, the spouse’s total debt causes the debt to asset ratio to be too high to qualify for the loan. In this case, if the spouse works and has been at their job at least 2 years, the spouse’s income, up to the total monthly debt liability, can be included on the application to offset the spouse’s debt. This generally allows the debt to asset ratio to fall back in line for approval of the loan.

Question 10: What does my Credit Score have to be?

At time this article was written, the VA looks for scores of 620 or higher. (Please feel free to call Pink Realty at any to check to see if loan guidelines have changed. We are always here to help.) If the applicant’s score is a little lower than this, Pink Realty lender will work closely with the applicant to see what can be done to raise their score, and many times we can help a borderline applicant buy a new Colorado Springs homee. The first item addressed is whether or not the credit report is accurate. More than 80% of the credit reports run today contain errors. Just removing the errors alone may raise the applicants score. Improving their credit score may also mean paying down a credit card balance so the outstanding balance is 50% less than the credit limit on the account or it may be as simple as paying a few low balance accounts off. Sometimes this is all that’s needed to bring the credit score up to the approval score limit. Remember that your credit score is very specific to you, and we would be happy to evaluate your situation for free any time. Just call our office at 719-393-7465 (Pink).

We hope this article answered some of your questions about VA mortgage loans so when you are in the market for a VA loan, you are ready. For more information on VA home loans, you can call a Pink Realty agent or lender at any time.Please stay tuned for more informative articles. Stop by the website regularly for new and updated information.

Investors Trending to Snag the Keepers

Sunday, September 4th, 2011

While the economy has created a ‘buyers’ real estate market with home values plummeting and Colorado Springs foreclosures soaring, who’s buying up the properties that are for sale? While first time home buyers are on the decline and previous buyers are being turned down because of tight credit conditions, Pink Realty agents are seeing that those with cash are the ones bringing the deals to the table. And today, it’s typically the investors that have the cash! Per Lawrence Yun, Chief Economist for the National Associate of Realtors (NAR), “Increases in all-cash transactions, the investor market share and distressed home sales all go hand-in-hand. With tight credit standards, it’s not surprising to see so much activity where cash is king and investors are taking advantage of conditions to purchase undervalued homes.”

On February 23, 2011, Jon Prior of the NAR summarized the housing sales for January 2011. All-cash sales increased to 32% of all sales in January, which was up from 29% in December 2010. Additionally, it was investors that grabbed more of the market share by accounting for 23% of all buyers in January, up from 20% in December 2010 and up 17% from one year ago.

While many investor home purchases will result in a traditional fix and flip sale, the current rental market and trends are also providing a great profit opportunity for investors. The demand for rentals in Colorado Springs is on the rise because more people are being turned down for home loans and more people are being displaced because of foreclosure or selling their home on a short sale. Colorado Springs has become a hot rental area because of the number of military personnel in the city, but also because the economy and housing market has caused so many homeowners to lose their homes to foreclosure or because they had to sell their home as a short sale. All these people are in need of housing and looking for rentals. This demand has resulted in less than 1% vacancy in Colorado Springs. Traditionally in Colorado Springs, the 3 bedroom home was always the highest in demand and considered the ’sweet spot’ in the rental market. The 3 bedroom homes were always rented, never vacant and there were never enough of them to meet the demand for them. The larger homes that were for rent were not in demand and stayed vacant.
However, today the demand for 4 and 5 bedrooms homes is increasing. As more and more middle class families are displaced, the need for the larger rentals increases. These larger rentals also bring a nice price point to the balance sheet. The current rental rate for a 3 bedroom single family home is $1140 per month and the 4 and 5 bedrooms are $1374 and $1789 respectively.

Call Pink Realty today at 719-393-7465 (Pink) to talk to an agent and see what great deal is out there waiting for you!

There is no doubt the opportunity for investors to ’snag the keepers’ is now.

While wholesaling and fix and flips bring fast and big profits, more investors are adding the right ‘keepers’ to their portfolio mix as rentals for additional long-term passive income. With the market trend shifting toward larger rentals, investors should also note that the larger homes with higher mortgages tend to get discounted more by the lenders when working a short sale. Many of these higher end homes are simply in need of paint and carpet. We have seen nice homes in the Stetson Hills area that needed as little as paint, carpet and linoleum flooring, but the homeowners couldn’t sell to a retail buyer because the buyers wanted a completely fixed home. Investors can buy homes for sale Colorado Springs for around $125K and get them turned into great rentals for about $10K. Cash flow on these short sales or bank owned properties would be very high.

If you call a Pink Realty agent, we would be happy to scour the market for you and find you a great property that will meet your needs.

Are you an investor who wants the upside of an investment property and today’s really cheap prices and huge cash flows but don’t want to at it alone?

The owners of Pink Realty are active, experienced investors and are always looking for partners on deals. Just give is a call at 719-393-7465 (Pink) and ask to talk to Russ or Monica about partnering on deals. We would be happy to talk to you. Just tell us what you want to bring to the table and we will see how we can work together.

• Do you qualify for the loan to buy the house? A common strategy investors are using now is to buy houses with cash, remodel the houses and then refinance the property with zero money out of pocket. We have investor friendly lenders ready to do these types of loans.

• Maybe you have a small amount of cash available and we can short a 2nd loan and bring the 1st mortgage current on a good property.

• Maybe you have a larger amount of cash available making 1% at the bank or in an IRA and you want to do something more productive with it but don’t know exactly how. We can find a really cheap house that we can buy, fix up, and rent.

10 Homebuyer Advantages for Buying a Short Sale Property

Friday, September 2nd, 2011

A short sale is when a lender agrees to allow a mortgaged property to be sold for less than what is owed on the mortgage. While lenders don’t like their mortgages ’shorted’, they do understand the benefits. Lenders know the loss incurred from a short sale is far less than the loss they will incur if they allow the property to go into foreclosure. Foreclosure is very expensive process for lenders as it not only incurs expensive legal fees, but also adds the expenses of maintenance, advertising and selling, insuring the home and paying property taxes. Lenders are not in the real estate business, they are in the business of making loans, so they know that selling a property as a short sale definitely has its financial advantages.

Today, everyone knows the real estate market is depressed. The majority of Colorado Springs homes are distressed properties that are either advertised as a short sale or a foreclosed home. Property values across the country have fallen and lenders have tightened their credit requirements. The market has increased the competition between selling a home as a short sale and selling a home at a retail price. While this market causes distress for sellers, it creates prime opportunities for Pink Realty agents home buyers to find great discounted deals on properties for their clients.

The current Colorado Springs real estate market also allows home buyers to seriously scrutinize the price of retail homes. They aren’t willing to pay retail price for a home unless it is in perfect condition as there may be several other similar homes in the same neighborhood selling at a steeply discounted price. This increases the competition between the short sale and retail properties for sale, however many buyers want to shy away from short sale properties because of some negative stories they may have heard. We won’t sugarcoat the short sale process for you. It can take time and be frustrating, however, if you work with a Pink Realty agent who is experienced and knows and understands the short sale process, it helps. A real estate agent who has a good success record for getting deals done (and the Pink Realty team has closed hundreds of short sales) can make the short sale process appear seamless.

With that said, there are many advantages for buying a home as a short sale. If you are aware that the process can take longer than a retail sale, you can be prepared and plan ahead. Below are the 10 top advantages for purchasing a home as a short sale:

1. With so many distressed properties on the market, you have a huge inventory of homes in a wide variety of neighborhoods to choose from.

2. Unlike foreclosed or REO homes, you have the opportunity to talk to the seller of seller’s agent about short sale homes and to find out more information about the home. This allows you to determine what, if any, repairs may be required. In many cases, the repairs needed for a short sale property are far less than those needed for an REO property.

3. You can obtain a home for a substantial discount which saves you thousands of dollars and offers you great future equity.

4. Since the seller is trying to avoid foreclosure, they are cooperative and play an active role in the short sale process, which moves the process along faster.

5. Because the homeowners are involved, they generally see the process through to the end. As a result, they tend to keep the properties in better condition than a home that has been foreclosed on.

6. When you work with a Pink Realty agent that understands short sales and works with an experienced short sale negotiation team, the short sale process is streamlined and takes less time. Oftentimes, homebuyers work with a real estate agent that is experienced in the retail market, not the short sale market. If a homebuyer wants to put an offer on a short sale property, but is working with a real estate agent that is not familiar with short sales and the process, it can end up being a nightmare for the buyer.

7. Another way to minimize the time a short sale takes is to search for short sale properties secured by a FHA loan. The FHA pre-foreclosure sale program requires that the lender provide the minimum sales price and the minimum net they will allow. Therefore, you know what offer must be made and it shortens the short sale process tremendously as the ‘price haggling’ part of the process is eliminated.

8. Additionally, if you purchase the home as a qualifying FHA buyer, meaning you are receiving a FHA loan to buy the property, the short sale lender agrees to pay 1% of your closing costs saving you additional money.

9. If you are pre-qualified for a home loan from your lender or intend to purchase the property as a ‘cash’ deal, the short sale process also moves along faster.

10. Buying a short sale property also helps stabilize the market and improve the condition of the neighborhood you are buying in because it keeps one more property from being foreclosed. Foreclosed properties lower the value of neighboring homes more because they are vacant, less maintained and increase the risk of crime and vandalism to the vacant homes.

Pink Realty is known for its talented and experienced short sale agents. Our real estate agents know the Colorado Springs foreclosures and they know and understand the short sale process. Additionally, we work directly with an experienced short sale staff that has a known tract record for successfully negotiating short sale deals. If you are a home buyer in the market to purchase a home, contact Pink Realty at 719-393-7465 (Pink). Our agents will help you find the home you are looking for.