Flagstaff Top Producers Real Estate Update

Flag one of best cities for young people

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Programming for local young people is being recognized with funding and plaudits.
Today, the Coconino Coalition for Children and Youth will celebrate Flagstaff being named as one of the nation's "100 Best Communities for Young People" for its attempts to keep kids and young adults engaged.
Next week, the early childhood education and welfare organization First Things First will hand over nearly $2 million for the state agency's Coconino region programs for the next fiscal year.
More than 300 applications came in from around the country for the "100 Best" honor. The Coconino Coalition for Children and Youth headed up Flagstaff's application, which contained a lengthy list of social support services and positive diversions for youth.
Ruth Ellen Suding, the Coalition's executive director, said it's important for caring adults to be friends and neighbors with youth. She said the "100 Best" title is a testament to the work of many and, it is hoped, a morale-booster.
"It's such a tough time right now for social service providers and for people who are trying to keep programs and activities going, particularly for children and youth," she said. "And with budget cuts and constraints financially I think it was a really good time to highlight all the really great things that we are doing and are able to do."
Suding recognized Nancy Tabor, a sixth-grade teacher at Sinagua Middle School, for assigning all of her students to write an essay about what makes Flagstaff a good place for youth. Suding said she appreciated the effort on the relatively small project.
"It's people like that who push our youth to be better and to be more involved that really makes a difference," she said.
COLLABORATION ON 'TRANSITION' SCHOOL
Recognizing that young people face serious crisis and more adult-like challenges, Flagstaff's application mentioned the variety of services for youth who are abused, runaways, homeless or in jail. That includes the Alternative Center and the Flagstaff Youth Shelter, Project Safe Place and outreach.
Robert Kelty works with at-risk youth as the Coconino County Superintendent of Schools. The "accommodation" school district under his supervision includes the compulsory schools for minors inside the adult and juvenile detention centers, a transition program for youth who have just been released from custody, and the alternative Ponderosa High School (and its sister school in Page, Tse'yaato' High). He said it's unique for the school district to work so closely with the county court system to provide a safety net.
This is the first year Ponderosa made "Adequate Yearly Progress," according to the federal government, and enrollment is up to between 65 and 70. Students are generally between ages 17 and 21, and they may have already dropped out, had a child, or been in jail.
Kelty has held office for about a year. In that time, he has partnered with the Ponderosa High arm and the juvenile court office to create a day program at the court and detention facility that allows recently released offenders to ease back into school.
"I think it's that type of attitude of everyone saying, 'Let's put our best ideas on the table and then implement them and then see if they're going to be successful' that really makes us stand out," he said.
LENGTHY LIST OF SERVICES
The application, at 14 pages long, included student-written essays, a nod to Paula Stefani, an Arizona Daily Sun Citizen of the Year and local child and family advocate, and a wide range of opportunities for youth of diverse backgrounds. Here's a non-exhaustive list:
-- Social, recreational and cultural outlets: the city's "Youthfest;" the YMCA and the Club 4Twelve youth center connected to Grace Fellowship Church; Big Brothers/Big Sisters; scouting; sports leagues; programming for youth through Parents, Families and Friends of Lesbians and Gays (PFLAG); Outta Your Backpack filmmaking and social justice programs; Girls on the Run; Flagstaff Youth Theater and Theatrikos; the NAU Community School of Music and Dance; and enrichment opportunities with the Second Chance Center for Animals, the Museum of Northern Arizona, Lowell Observatory and Willow Bend Environmental Education Center.
-- Educational: robotics and Odyssey of the Mind teams at many schools; the Kinlani Dormitory that allows students from the nearby reservations to attend school in town; and opportunities for motivated high school students to take classes at Coconino Community College. Flagstaff Unified School District was mentioned for its Teenage Parent Program, Project New Start alternative school, many services for low-income families, the before and after-school FACTS care program and Camp Colton, the sixth-grade science camp.
-- Civic leadership: the city's Flagstaff Youth Advisory Council, the Sunnyside Neighborhood Association's I.A.M. Youth program, Grand Canyon Youth, Teen Court, Project Citizen (which has encouraged kids to research and advocate for real current events, such as bike lanes and school closure), and the Coconino Youth Conservation Corps.
-- Health: the county health department's traveling immunization clinics and dental varnish and fluoride treatments; low-cost checkups from North Country HealthCare and Native Americans for Community Action and Sacred Peaks; Flagstaff Medical Center's Fit Kids and Maternal Child Health programs; the city's youth bike helmet ordinance and Foodlink school gardens and nutrition lessons.
The competition was first held in 2005 and is sponsored by the America's Promise Alliance, which is dedicated to mobilizing Americans to end the high school dropout crisis and prepare young people for college and the 21st century workforce.
Flagstaff will receive a $2,500 grant, signage identifying it as one of the nation's 100 best communities for young people and access to the alliance's community development resources.
Hillary Davis can be reached at hdavis@azdailysun.com or 556-2261.
$2M to boost early childhood services
The local council of the early childhood wellness-focused First Things First is preparing to divide up its $1.9 million allocation for fiscal year 2013.
Julianne Hartzell is the council chair for the Coconino region. Next week, she will be on hand when the statewide First Things First presents the check.
First Things First is a state agency funded by a voter-approved tobacco tax, with monies having gone toward the KinderCamp kindergarten preparation program, oral health outreach, training for child care providers, childcare scholarships and in home visits to support families. The agency has regional councils, with the Coconino region covering all of Coconino County (aside from the Navajo Nation), Winslow and the Hopi, Kaibab-Paiute and Havasupai tribes. The Navajo Nation has its own council.
The agency builds in lead time - FY13 doesn't begin until next July, and revenues are being collected now for FY2014 - to make sure the money is in hand before it is disbursed. The local team, now aware of how much they have to work with for the coming year, will begin proposing how to spend it this week. The state First Things First board will review and possibly approve the plan in January or February.
Hartzell said the allocation varies every year, depending on a formula that takes into account poverty rates and number of kids in the region. The funding is slightly lower next year compared to this year.
The planning sessions for how to spend next year's money will take several meetings.
"There are so many needs out there and we have to make sure that we're doing the best we can to the best of our ability," she said.

Source: http://azdailysun.com/news/local/education/flag-one-of-best-cities-for-young-people/article_b3f39e97-7971-5c19-ade0-ef4d91e40f92.html

Labels: Az Daily Sun, Flagstaff

A substantial majority of both home owners and current renters agree that owning a home is a smart decision over the long term. That’s according to the results of a National Association of Realtors® survey of 3,793 adults conducted online by Harris Interactive. The "American Attitudes About Home Ownership" survey found that in today’s challenging economy, 95 percent of owners and 72 percent of renters believe that over a period of several years, it makes more sense to own a home. In addition, an overwhelming majority of home owners are happy with their decision to own a home – 93 percent of owners surveyed would buy again.

“Home owners and renters agree that home ownership benefits individuals and families, strengthens our communities, and is integral to our nation’s economy,” said National Association of Realtors® President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I. “The results of this survey illustrate just how important issues related to home ownership are to people in this country.”

The survey uncovered some differences between home owners and renters, as well. While more than half of owners are “very” or “extremely” satisfied with the overall quality of their family life, only one-third of renters report the same levels of satisfaction. Similarly, 43 percent of home owners are very/extremely satisfied with their community life, compared with 30 percent of renters.

A majority of renters – 63 percent – said that it was at least somewhat likely that they would purchase a home at some point in the future. Among this group, young adults (18-29 years old) have the strongest aspirations for home ownership; only 8 percent of young adults said that it was “not at all likely” that they would purchase a home at some point in the future.

In today’s market, many aspiring home owners are faced with worries about job security and creditworthiness. Among renters who are very or extremely likely to buy a home in the future, three out of five consider confidence in job security and creditworthiness to be an obstacle.

One point of agreement between renters and home owners was support of the mortgage interest deduction (MID). Seventy-four percent of owners and 62 percent of renters say it’s “extremely” or “very” important that the MID remain in place.

“At a time when the middle class is under increasing economic pressures, both home owners and renters agree that the mortgage interest deduction should not be targeted for change,” said Phipps. “Given strong public support of and aspirations toward owning a home, we need to keep policies in place that support and encourage responsible, sustainable home ownership for our future.”

This survey was conducted online within the U.S. and fielded October 6-20, 2010. A total of 3,793 adults, 18 and older were surveyed, including 1,880 home owners, 1,115 renters, and 798 young adults. All samples came from the Harris Poll online database and were weighted for age, sex, race/ethnicity, education, region and household income to be representative of the U.S. general population of adults 18 and older. Propensity score weighting was also used to adjust for respondents’ propensity to be online.

Labels: NAR, owning, renting, surveys

In a mortgage market that changes as quickly as this one, today’s fact is tomorrow’s fiction. For buyers, misinformation can be the difference between qualifying for a home loan or not. Sellers and owners, knowledge is foreclosure-preventing, smart decision-making power! Without further ado, let’s correct some common mortgage misconceptions.

1. Myth: Buyers with bad credit can’t qualify for home loans. Obviously, mortgage guidelines have tightened up, big time, since the housing bubble burst, and they seem likely to tighten even further over the long-term. But just this moment, they have relaxed a bit. In the last couple of weeks, two of the nation’s largest lenders of FHA loans announced that they’ve dropped the minimum FICO score guideline from 620 (which allows for some credit imperfections) to 580, which is actually a fairly low score.

At a FICO score of 620, buyers can qualify for FHA loans at many lenders with only 3.5 percent down. With a score of 580, the lenders are looking for more like 5 to 10 percent down – they want to see you put more of your own skin in the game, and the higher down payment lowers the risk that you’ll default. However, if your credit has taken a recessionary hit, like that of so many Americans, this might create a glimmer of hope that you’ll be able to take advantage of low prices and interest rates without needing years of credit repair.

2. Myth: The Mortgage Interest Deduction isn’t long for this world. Homeowners saved over $85 billion in 2008 by deducting their mortgage interest on their income tax returns. A few months ago, the National Commission on Fiscal Responsibility and Reform caused a massive wave of fear to ripple throughout the world of real estate consumers and professionals when they recommended Mortgage Interest Deduction (MID) reform, which would dramatically reduce the size of the deduction.

Fact is, the Commission made a sweeping set of deficit-busting recommendations to Congress, a few of which are likely to be adopted. Fortunately for buyers and sellers, MID reform is not one of them. Very powerful industry groups and economists have been working with Congress to plead the case that MID reform any time in the near future would only handicap the housing recovery. Congress-folk aren’t interested in stopping the stabilization of the real estate market. As such, the MID is nearly universally thought of as safe – even by those who disagree that it should be.

3. Myth: It’s just a matter of time before loan guidelines loosen up. The US Treasury Department recently recommended the elimination of industry giants Fannie Mae and Freddie Mac. I won’t get into the eye-glazing details of it here, but the long and the short is that (a) this is highly likely to happen, and (b) it will make mortgage loans much harder and costlier to get, for both buyers and homeowners. It’s possible that loans are as easy to get as they’re going to get. So don’t expect that if you hold out, zero-down mortgages will come back into vogue anytime soon. Fortunately, Fannie and Freddie aren't likely to disappear for another 5-7 years, so you have a little time to pull your down payment and credit together. If you want to get into the market, the time to get yourself ready is now!

4. Myth: If you don’t have equity, you can’t refi. Much ado is being made about how stuck so many people are in their bad loans, because they don’t have the equity to refinance their way out of them. If you’re severely upside down (meaning you own much, much more than your home is worth), stuck may be the situation. But there are actually a couple of ways homeowners can refi their underwater home loans. If your loan is held by Fannie or Freddie, they will actually refinance it up to 125% of its current value, assuming you otherwise qualify for the loan. That means, if your home is worth $100,000, you could refinance a loan up to $125,000, despite the fact that your home can’t secure the full amount of the loan.

If your loan is not owned by Fannie or Freddie, you might be a candidate for the FHA “Short Refi” program. While most mortgage workout plans are only available to people who are behind on their loans, the Short Refi program is only available to homeowners who are current on their mortgages and need to refinance up to 115 percent of their homes’ value. So, if you owe $250,000 on your home, you can refinance via an FHA Short Refi even if your home’s value is as low as $217,000. If you think you’re a good candidate for a short refi, contact your mortgage broker, stat – there are some in Congress who think that this program is so underutilized (only 245 applications have been submitted since it rolled out in September – no typo!) that its funding should be diverted to other needy programs.

5. Myth: If you’ve lost your job and can’t make your mortgage payment, you might as well mail your keys in. Until recently, this was essentially true – virtually every loan modification and refinancing opportunity required that your economic hardship be over before you could qualify. And documenting income has always been high on the requirements checklist. But there are some new funds available in the states with the hardest hit housing and job markets, which have been designated specifically for out of work homeowners

The US Treasury Department’s Hardest Hit Fund allocated $7.6 billion to the hardest hit states, which are now using some portion of these funds to offer up to $3,000 per month for up to 36 months in mortgage payment assistance to help unemployed homeowners avoid foreclosure. Contact the state agency listed below if you need this sort of help

www.savemyhomeaz.gov

From Trulia.com

Labels: credit, FICO, foreclosure, mortgage

Ask a roomful of homeowners what's so great about owning versus renting, and you'll hear them holler in unison: "the tax deductions!" And it's true – homeowners who itemize their taxes are able to deduct 100% of their mortgage interest and property taxes from their income tax returns.

That means that if you're in a 28% tax bracket, Uncle Sam effectively subsidizes about a third of your borrowing costs or more, making your home more affordable or allowing you to buy a larger home than you could have otherwise. Also, big chunks of your closing costs are tax deductible, and hundreds of thousands of dollars of any profit (or capital gains) that you realize when you sell your home are exempt from income taxes.

At tax time, it's critical to know what you're entitled to, so you can claim it. So, here are five essential need-to-knows about home-related income tax tips to help you get the most tax-reducing bang out of your home-owning buck – and to avoid hefty home ownership-related tax traps.

1. You Have to Itemize Your Return to Claim Your Deductions

During the recent debate on Capitol Hill about whether the mortgage interest deduction should be eliminated (it won't be, not anytime soon), it came out that nearly 40% of homeowners lose out on their major tax advantages every year when they fail to itemize their income taxes. If you own a home and otherwise have a fairly simple return, it might be tempting just to take the standard deduction – and if your mortgage, property taxes and income are low enough, the standard deduction might outweigh your homeowners' deductions. But you'll never know if you're losing out on the tax advantages of itemizing unless you try; before you grab a pen and start filling in that 1040-EZ grab those forms from your mortgage company and answer the questions on tax software like TurboTax, which will automatically do the math on whether itemizing or taking the standard deduction will result in the lowest tax bill – or the highest tax refund – for you.

2. Plan Ahead and Be Strategic When Taking a Home Office Deduction

According to the Small Business Administration, the average home office deduction is $3,686 – multiply that by your tax bracket – 15%, 20%, 30% or whatever it is, and that's what you'll save on your taxes by writing off your home office. Know, though, that the space you designate as your home office cannot be exempted from capital gains tax when you sell your home later. The $250,000 (single)/ $500,000 (married filing jointly) income tax exemption for capital gains is only good on your personal residence, after all – not including any space in your home you've claimed as your tax-advantaged office. If you foresee selling your home for much more than you bought it in the future, near or far, discuss this with your tax preparer to see if the few hundred bucks you save is worth the capital gains complication later.

3. Tax Relief for Loan Modifications, Short Sales and Foreclosures Is Only Around Through 2012

While the long-term housing outlook is beginning to look up, 2011 is projected to be the peak year for foreclosures during this market cycle. Distressed homeowners who are on the brink of a short sale, loan modification or foreclosure should be aware that normally, any mortgage balance that is wiped out by one of these outcomes is taxed as what the IRS calls Cancellation of Debt Income, or CODI.

Under the Mortgage Debt Forgiveness Relief Act of 2007, the IRS is currently not charging income taxes on CODI incurred through a loan mod, short sale or foreclosure on most primary residences through 2012. But right now, banks are taking many months, or even years, to work out mortgages in all of these ways; the average foreclosure in New York state right now occurs only after 22 months of missed mortgage payments. If you foresee any of these outcomes in your future, don't put things off. Do what you can to get to closure on your distressed home and loan, ASAP, while you won't have income taxes to add as the insult on top of your significant housing injury.

4. Project the Income Tax Consequences of a Refinance or Property Tax Appeal

Homeowners everywhere are working on applying for a lower property tax bill on the basis of the last few years' decline in their home's value. Those who have equity have flocked en masse to refinance their 7% home loans into the 4% to 5% rates of the last few months. These strategies offer some of the heftiest household savings out there for the corresponding investment in time and money they take. But here's a caveat for savvy homeowners who slash these costs: remember that property taxes and mortgage interest, the very costs you're minimizing, are also the basis for the major tax benefits of being a homeowner. So plan ahead for your income tax deductions to go down along with your taxes and interest.

5. Don't Forget Those Closing Costs

If you bought or refinanced your home in 2010, you may be so focused on your mortgage interest and property tax deductions that you forget all about your closing costs. Any origination fees or discount points that were paid to your mortgage lender at closing are tax deductible on your 2010 return, get this – even if the seller paid your closing costs. If you can't figure out exactly what you paid, look for your HUD-1 settlement statement, that legal sized paper full of line item credits and debits that you should have received from your escrow provider or title attorney at, or just after, closing. Can't find it? Drop your real estate agent or mortgage broker an email; they can usually get a copy to you quickly.

Note: This post first appeared on WalletPop.com on 2.28.2011.

Labels: deductions, homeowner, tax tips, taxes

Congratulations to Tyrone and his daughter Ileana!

Arizona Daily Sun

March 2, 2011

Johnsons head All Region Team

The Flagstaff High School girls basketball program cleaned up when it comes to the 2010-11 Grand Canyon Region All Region basketball awards.

Head coach Tyrone Johnson was named the Coach of the Year after taking the Eagles to their fourth straight Class 4A Division II state semifinal game. The Eagles lost to Phoenix Thunderbird.

Senior guard Ileana Johnson was named the GCR Most Valuable Player in girls basketball, and headlined the First-Team All-Region Team.

Senior forward Sarah Mong and junior guard Amber Tso, both of the Page Sand Devils, joined Johnson on the All-Region First-Team. Michelle Blanton, a Flag High senior forward, and Jasmine Golding of Coconino were also First-Team selections.

Bill Harris, Sun Sports Editor

Labels: basketball, coach, Flagstaff High School

ADAPT OR DIE

Courtesy of the Arizona Daily Sun

Feb 27, 2011

It is 20 minutes before dawn on a Tuesday morning and there is already a man barking at Valerie Caro.

The local Realtor calmly sifts through one of three stacks of papers piled up on her desk as the man offers positive, real-estate-centric tips with the subtlety of a drill instructor -- all via voicemail.

"You only have yourself to blame if you don't sell today," the man says before hanging up.

Oddly enough, Caro says the daily motivational messages from a Las Vegas-based real estate coach are one of the reasons she is having one of her best years on record as a Realtor.

Her small team sold a total of 83 homes in northern Arizona, a personal best for Caro.

She already has an ambitious goal of selling 17 more than that in 2011 -- an even 100 -- despite less-than-rosy forecasts for the national housing market.

With the overall housing sales flat, Caro will need to capture a big slice of the real estate pie to sell more houses.

REALISTIC PRICING

The centerpiece to that goal is on the corner of her desk -- a stack of expired listings that didn't sell with other Realtors.

She calls the owners, using a script to briefly introduce herself and gauge whether they still want to sell their house.

In this economy, it is often a difficult decision.

Many don't want to hear "the comps" -- what similar houses in the same neighborhood recently sold for -- after trying to sell their house for months or even years.

"I'm the doctor telling them they have cancer," she said.

The size of the price reductions vary, Caro says, because she ties the prices to what the market will bear. Some Realtors, she says, will list houses for whatever the seller wants.

She won't take the listing if the seller can't be realistic about the current value of their house.

"My business model is not to tell them something that's not true," Caro said.

It is a hard decision for many to list their houses for less than they think it is worth, but Caro reminds the seller there are other costs associated with not selling when they need to, ie, mortgages, utilities and lost opportunities to move, etc.

She said for every 10 phone messages she leaves, roughly three return her call.

Those relistings now account for roughly 60 percent of her business.

CONTINUAL SELF-IMPROVEMENT

Caro has been receiving the phone messages from a real estate coach named Mike Ferry for the last 2 1/2 years.

There have been other coaches in the 25 years she has been selling real estate in Flagstaff, but she chose to work with Ferry for his advice on how to sell more homes in less time.

Caro has always been open to improving herself and the services she offers her clients, she says, continually shifting with the ebb and flow of the local real estate market. It is why she spends $2,000 a month on real estate coaching with Ferry.

She spends several thousand more on an annual basis traveling to workshops Ferry hosts.

Ferry emphasizes pursuing expired listings and for-sale-by-owner properties using scripted cold calls in the current market.

PAYING THE HEATING BILLS

It's a stark change from five years ago, when some owners were getting multiple offers on the same day they listed their homes.

This is in addition to the usual costs: Staffing, rent and advertising.

There are different costs, too, like paying to keep bank-owned properties warm throughout the winter so that they can be shown to potential buyers.

This is another contrast with five years ago, when Caro spent part of her budget on raffles to attract crowds during the white hot real estate market when nearly everyone qualified for a house.

Today, Caro has as many as a half-a-dozen homes with utilities in her name at any given time.

She also employs "runners" to hang signs, turn on utilities and run errands.

"It is not all popsicles and ponies," she said.

The coaching has kept her motivated, helping her to make some of her first calls of the day before other Realtors get out of bed.

"People were excited to meet with me back then," she said. "It is a very hard conversation now because the home values are very different than in 2005."

LASER-LIKE FOCUS

Caro's four-person staff, including dad Joe Haughey, starts shuffling in shortly after 7 a.m. last Tuesday.

By then, she is ready to start making calls to her clients. Caro wants to be the first Realtor potential clients hear from in the morning.

She banters back and forth with a member of her staff, trying to discern which client to call and which cell number to use. It is 7:24 a.m. and she has received a cash offer for $210,000 on one of the houses she is selling.

An hour later, the sellers, a retiree and his girlfriend, are in Caro's conference room to negotiate the details.

It is in this room where she is in her element, poring over a thick document detailing the buyer's offer.

She knows every detail of the offer: Real estate rules, banking requirements and, more importantly, her clients.

Deep into the multi-page agreement, the client changes his mind -- the fridge, the washer and the dryer, are coming with him to Prescott.

"Some of the places don't have a fridge, Valerie," says the lifelong Flagstaff resident.

She disappears for only a few minutes, the whir and clicks of the printer the only sign of life as Caro amends the contract to reflect the changes.

The ink is barely dry and the client again wants another change: He wants to keep the curtains.

Caro again disappears.

Whether it is curtains or holding out for a better offer, Caro has a laser-like focus when the client is in the room or the phone.

She is deaf to distractions like phones ringing or new mail chirps on her Blackberry.

Or holidays, apparently.

The client picks up on the fact that the bid on the house came in on Monday, i.e. Presidents Day. He thanks her, but Caro is coy.

"I didn't know it was a holiday. Nobody told me," she teased.

ADAPTING TO MARKET FORCES

Less than an hour later, Caro meets with another man who remembers her from several years ago.

At the time he didn't want to sell his house, a decision he clearly regrets now that the home value declined dramatically.

The current economy has meant the man could no longer afford to keep his house and he turned to her to sell it.

He said he remembered Caro from a chance meeting they had two or three years ago, but it was an impression that stuck.

"You seem to care," he told her before signing a thick stack of documents.

The veteran Realtor has always placed a high premium on personal, one-on-one contact, but she concedes she shifts her market focus depending on the economy.

Five years ago, for example, a major portion of her business was representing a condo-conversion project in west Flagstaff, selling converted apartments for between $100,000 and $200,0000.

Today, she represents homeowners trying to sell their houses.

The relationship with the conversion project ended several years ago when the ownership of the 300-unit development changed. She played down the change, saying it was common in the industry.

"Partnerships change all the time," she said.

The condo conversion market in Flagstaff never saw the buying frenzy of other major metro areas at the height of the housing market. Some complexes in town still have units for sale, launching in 2006 or 2007.

Many have been sold to investors, who are now renting out converted apartments.

FRESH ROUND OF CALLS

At the end of the day, Caro has made a dent in the pile of expired listings, but a fresh round of comps will be added to the pile by the end of the week.

The pile is never empty, so Caro will get up early the next day and start a fresh round of calls.

Joe Ferguson, Sun Staff Reporter

Labels: Az Daily Sun, home pricing, Valerie Caro