What is HUD?

It might be a short texting acronym for How yoU Doing.

It is actually The Department of Housing and Urban Development.

 Check them out yourself here:  www.hud.gov

What exactly is a HUD Home?

HUD is a government agency.  The Department of Housing and Urban Development.  They back up FHA Loans and when these default, HUD can end up liquidating the assets on the open market or through other channels.  They also promote home ownership, so they can offer first time home buyers some good options through their various program.  In addition in these tough times they are heading up the government directives like “Making Home Affordable” program. 

Learn more about Making Home Affordable here:   http://www.makinghomeaffordable.gov/

According to their web site:

“HUD’s mission is to increase homeownership, support community development and increase access to affordable housing free from discrimination. To fulfill this mission, HUD will embrace high standards of ethics, management and accountability and forge new partnerships–particularly with faith-based and community organizations–that leverage resources and improve HUD’s ability to be effective on the community level. “

So what does this mean to you.    Well HUD works with FHA (The Federal Housing Authority) and when someone defaults on their FHA guaranteed Loan or Mortgage, then the house can end up going back to HUD to liquidate if it hasn’t been successfully sold previously by the bank or the home owner in a short sale.

If a house is very upside down, it may be destined to go to HUD, because FHA has minimums they are allowed to take in a Short Sale based on the original purchase price, appraisal and loan amount.  So if a house was way over-priced a couple years ago or has really declined in value, no buyer will be willing to pay what FHA is required by law to take as a minimum amount.  Then the home goes back to HUD to liquidate.

For the State of Colorado and in Montrose the REO Management Company used by HUD is MCB  (Michaelson, Connor and Boul).  They handle all the liquidation for HUD in a region of the United States including Colorado.  http://www.mcbreo.com/st_comain.htm   According to their website, they also cover Arizona, Michigan, Montana, Nevada, Utah and Wyoming.

HUD hires through their REO Asset Management Company one Real Estate agent for a very large multi-county region, they get a small amount of money for listing each of the properties in the MLS.    For Montrose Colorado this agent is Marilyn Hammar.  (Please don’t call her.  She just puts them into the MLS for the Government.  She doesn’t do photos, she doesn’t inspect the properties, she doesn’t have knowledge of them beyond what she is provided…)    Here is a link to a list of all the local listing Brokers for MCB REO in Colorado.  Use these names for your local agent to easily search (by agent) all the HUD homes in an area…

http://www.mcbreo.com/colorado/collb.htm

HUD typically has the homes winterized and secured with a standard key that is the same for all HUD homes in an area.   This allows any agent to show the home (as long as they have a HUD key in their office). 

A Real Estate office and its Broker Owner (Here at Century 21 Action Realty in Montrose Colorado, that is Ninah Hunter) must be registered with the company responsible for liquidating HUD assets in your region in order to make offers on properties.  This is not hard but does require some paperwork.  Once done any of the employed agents or brokers can submit HUD offers on behalf of their buyers.

Sometimes HUD properties will be featured in Auctions, online or offline.  Here in Colorado MCB allows electronic bidding.

Just like with Bank Owned properties don’t expect HUD to fix a lot of things for you.  You are better off documenting the need and reducing your offer price and then taking care of these things yourself.

HUD/FHA do offer a “K” Loan (a small version of their 203K Rehabilitation Loan).  The “K” Loan allows a buyer to finance in and escrow the repair costs for the home.  The repairs must be cosmetic and not structural in nature.  The FHA 203K Loan will handle structural repairs but it is a lot more paperwork.  The “K” loan is perfect for repainting, replacing carpet, built in appliances, tile or linoleum, etc.   The 203K grown up version can be used on a complete gut and remodel.  They lend based on the “after repaired appraised value“, then the draws are handled like a construction loan.

So what are you waiting for go out and buy a HUD home today… Just kidding, but it sounded good. 

If you are in the market already for a house and you are looking for something that might need a little work, a HUD home is a great place to look…

But a Realtor is really the best place to start, because they will have HUD homes, Bank REPOs, Short Sales, Desperate Sellers (Divorce, Illness, Death), etc.   They allow you the best shot at looking at the whole market.  But it never hurts to look around a bit on your own.

Check out my websites for properties and homes in the Montrose Colorado area.

www.SoldCORE.com

www.COrmsbee.c21actionrealty.com

www.MontroseGoldTeamBlog.com

Hope this helped you get a better understanding of what a HUD Home is and how you might go about looking at one.

If you want to buy or sell a home in Western Colorado, especially in Montrose and the surrounding areas, give me a call.  My name is Chris Ormsbee and I can be reached on my Cell phone at (970) 209-0252.

New Salvation Army Store

Montrose Colorado

Opens February 2010.

The lease is signed and move in and setup has begun!

Salvation Army Store Plans Grand Opening of its new Montrose Colorado Store location at

1210 N. Townsend Unit E, Montrose,  Colorado 81401

in February of 2010. 

This location is on the NE Corner of San Juan Ave and N

Townsend Ave.  

(For locals this was most recently “Stone Mountain Flooring” and before that for you old timers who have been around Montrose forever… the Old Vurls Farm Supply and Hardware Store…  Wow that takes me back.)

They have quadrupled their size (almost 18,000 SF) from their old location on S 1st and anticipate being able to offer not only a better selection of clothing, furniture and household goods but hopefully with time they plan to bring additional services for the community. 

Plus the entire store and space will just feel more freindly and open with better lighting and elbow room.  Be sure you check it out no once but throughout the year as I am sure the store will evolve and improve on an incremental level with time as it adapts to its new larger space.

Stop by and see the new store, (Say hi to Eric or Dan if they are there), pick up something you need or don’t need and know that you are helping the community.  Or better yet make a donation of time, money or something you don’t need and help out.

Many of you saw the Bell-Ringers for the Salvation Army in front of local stores recently around Christmas and all of these people were volunteers many Realtors, trying to pitch in. 

The Salvation Army is a great organization that helps many people in need.  Please stop by and congratulate them on their new location at

1210 N. Townsend Unit E, Montrose,  Colorado 81401

Let them know you appreciate them being here to help the community!

Their Phone Number is (970) 249-3891

http://www.salvationarmyusa.org/

The link above is to the USA Salvation Army Website - currently when viewed it is showing me pictures from the Haiti Earthquake Disaster and talking about their relief efforts and fundraising. 

This is exactly how Salvation Army responds to disasters around the USA and around the Globe.  They are an International Non Profit Organization.

Similar to Good Will and in disaster releaf to the Red Cross all of these organizations and thousands of other smaller ones help to make the world a better place.

Here is a direct link to make an online donation for the Haiti Relief Fund.  Please donate if you can.

https://secure20.salvationarmy.org/pages/makeDonation/usa/makeDonation.jsf

Thank You and God Bless!

Chris

www.SoldCORE.com

Big Banks Setup and Robbed American Taxpayers

I have argued for a long while that Big Banks essentially setup and then robbed Amercan Taxpayers.  This is what started the wave of foreclosures and dropping real estate prices.

They pushed easy loans from the top of their organizations down to loan originators that were given incentives and bonuses for selling these high front end income loaded products.  The banks made money and then repackaged and resold the loans as bonds and made more money.  The bond holders are the ones that lose out when the home goes into foreclosure, not the banks. 

Underwriters were told to turn their heads and look the otherway while people that had no business buying a home got approved for 100% or even 110% financing.  Often structured with interest only or as an adjustable rate mortgage that for many home owners was a setup for failure. 

If they had been marketed a reasonable loan product, many would not face foreclosure today.

It irritates me to no end when I hear the main stream media talk about the “investors” and “fraudulent home owners”, those “losers” that took us down with the “liar’s loans” that started all the foreclosures.

What constitutes a lie on a loan application?  If you are estimating income… it is an estimate…  If you are a Realtor or a Contractor or anyone that works on commission or owns their own business, how can you ever be CERTAIN of your income.  You cannot.  I also like to point out that even a government employee who thinks his job is safe can meet hardship in life, whether it is personal or professional.  There are too many types of hardship that accompany foreclosue to list them all here, but the most common is becoming unemployed, or not having work, because construction of new homes stopped, because buying and lending stopped…. 

If the public buys this crap that individuals should be able to predict the future any better than the government can balance its budget, then I guess they deserve what they get… “Dis-information…”  The media ALWAYS puts the banks in the best light.  The only reason there is any negative information about them at all is because of the iternet and the huge wave of foreclosures occuring in the country.   The public is starting to know and demand more honest information. 

Then there was more setup, when the public is told they can half their mortgage payment with a loan modification, but many people think you have to fall behind on a mortgage to get a loan modification. 

Many of these that don’t get approved turn into a foreclosure.

In my opinion the banks were at the root of the problem in the beginning, so what do we do to fix the problem, give them more money so they can pay themselves more bonuses and record “Record Profits”. 

This is the biggest money grab in American history…  The Banks have Robbed the American Taxpayers and are getting rewarded for it.

Greg Gordon an investigative journalist was interviewed by Alex Jones (portrayed by some as a radical conspiracy theorist - but I like him and agree with much of what he says).  

This lays the whole picture out very nicely.  It portrays what I believe happened.  Watch these three video clips and let me know what you think.  Please share your opinion in the comments. 

I hope you watched the three videos (about 30 minutes) that clearly demonstrate how the banks probably set us up or at least saw this coming while they were talking out of both sides of their mouth.

I think the Banks Robbed America! They have caused the biggest flood of foreclosures our country has ever seen.  And we have paid them 100s of billions as a reward for doing so. I think we should call for an audit of the Treasury Department and the Federal Reserve.

Let me know what you think!

Chris Ormsbee is a licensed realtor in the State of Colorado and is employed by Century 21 Action Realty.  He is not a mortgage broker, a lawyer or accountant.

How do you Sell a Manufactured Home in a Park?

Selling a manufactured home in A Mobile Home Park where you rent the spaces offers many unique challenges compared to selling a stick built home.  Financing, Target Market and Park Rules can hamper a sellers efforts to sell their home.

What are the specific Challenges to selling a manufactured home in a park? 

1. These homes are very difficult to finance especially right now. 
2. Most people shopping in this segment of the market aren’t flush with cash.
3. Buyers only get a partial benefit of home ownership.
4. You often cannot target investors as many parks don’t allow rentals.

Well to sell a Manufactured Home in a Mobile Home Park I believe you must do the following:

• Price the home to sell.  See what the recent (6 months) solds are and decide how yours compares.
• As a seller you need to Finance the home for the buyer. 
  • If you owe a bank on the manufactured home you are trying to sell, you may need their permission or a lawyer to draft a contract that wraps the note.
  • If you own it outright, then it is easy to finance for the buyer, just decide what you need down and how long you can stretch the payments out for.   I often recommend someone finance a manufactured home for 5-10 years at 10% interest with 10% down payment.    Seems reasonable to me at this time (10/29/09).
  • If you really need the cash, drop your price more, or offer down payment assistance to the buyer and find a lender somewhere that will finance the home for at least some buyer.  Often Credit Unions will do it and treat it as a vehicle loan.  Many commercial sources have dried up…  There is also the option of private lending, a relative, etc. that has the cash that can be the bank.
• Advertise and market to potential renters because this should be a comparably affordable option for them and at the end of 5-10 years their rent gets cut in half once their home is paid off.  They do accumulate some amount of equity as well (If they take care of their home).
• Point out all the freedoms and benefits of home ownership to buyers:  Remodeling, no shared walls with neighbors, equity accumulates monthly as you make the payments…

So Really Its not “That Hard” to sell a Manufactured Home!

You just need to get creative and address the buyer’s key needs:  Price and Terms. 

Good Luck!

Thanks for Reading!  Contact Chris Ormsbee or Diane Haynes with the Montrose Gold Team at Century 21 Action Realty in Montrose Colorado.  Call us at (970) 249-7777 and be sure and say you saw the blog!

Free Foreclosure List

So you want to buy a home and get a great deal?

I think this should be coming close to an end just because every buyer walking through my door wants to buy a home for .50 on the Dollar and they think the answer is a Foreclosure…  This might be possible, but in our area, highly unlikely you will find a “cherry” house at this price.  

Still I got you here because you wanted a list, specifically a Free Foreclosure List.

Aren’t you tired of sites that try make you pay for a Foreclosure List?

There is usually a FREE way to get this list from the County you are interested in. 

At least in Colorado, the County probably has a Public Trustee that handles the Foreclosure Process.

In Montrose Colorado you can find a list of Foreclosures in process at the following web site.

http://www.montrosecounty.net/treasurer/foreclosures/

Then there is a link that says “Active”.   (Unfortunately they don’t keep the old ones that have been sold or withdrawn on their for very long…)  If you click on this “Active” link it opens (if you have Microsoft Word) a text file that shows the active foreclosures being processed.   If you don’t have Microsoft Word, then you can right click and select “Save As” to save the file as a .doc file then you can download “Open Office” and open this file with SWriter (A free word processing program that is a lot like Microsoft Word, but free… and it opens Word (.doc) files.

Some Counties make it much easier than this.  The best advice I have that is generic is to google the County name and find their site, navigate around to the Treasurer or Trustees page and look for a link… However many are trying to move this inventory off the market and make it easier.  Many Counties are providing map based tools that provide all the info… But Start with the County and go to their main site first and it will usually be free or very cheap.  If you are having trouble then call a local Realtor and ask them how to do it.

Now You Have a “Free” List of Foreclosures

So what good does this Foreclosure List do you.  Actually not much! 

All this list really tells you is that these people have fallen behind on their payments on their Mortgage or Note and the Lender has filed a Notice of Election and Demand with the County Public Trustee.  This starts the process.  The Trustee then has 110 to 125 days to set the sale date.    During this period the person has the right to “cure” the default by catching up all the payments, fees and penalties.

So there is no guarantee that this property will go through the “sale” at the Trustees.

Other factors to consider are that there may be second or third mortgages on the property or other liens such as home owners association dues or tax liens.

So basically the best you can do with just this list or most foreclosure lists are either investigate it yourself by calling the owner and/or going to the Courthouse or doing an online search to determine a reasonable level of title research to decide if you want to proceed.

 The Research - Takes Work From Here 

During the Foreclosure process you can work with the owner directly or through your Realtor, to determine if they have a loan you could “assume” and catch up by making up their deficiency.  If they are upside down and have negative value in their home, then you can pursue a Short Sale, where you get the cooperation of the Owner/Seller and the Bank.  The Bank essentially agrees to take less money than they are owed to avoid having to proceed with the Foreclosure and then liquidate the property as an REO.

These sale dates can get postponed.  The owner can apply for a Loan Modification or they might file for  Bankruptcy.  There could be some other communication with the bank that gets the bank to tell their lawyers to delay the sale.   If the home owner can prove the Public Trustee didn’t file all the proper notices in the proper fashion they can force the trustee to postpone the sale.  I have heard but not witnessed the borrower asking their lender (version 4 - i.e. the first lender sold to the second, etc.) to produce the original note.  This has caused some delay, but in Colorado there are provision for the lender to bond for this, so it is temporary. 

I have seen some foreclosures drag on for more than a year with various delays.

What The Foreclosure List Wont Do For You

The list will not tell you the reason the sale was delayed.

The list will not tell you the reason the Owner hasn’t been able to make the payments or if they are interested in selling their home, or if they want to stay. 

This is where the research has to take place.

Other Options for Great Real Estate Bargains

If you are a cash investor you can go to the Public Trustees office and bid at the Sale.  In Montrose County these sales are held on Wednesdays at 9:00 AM (I think… call to be sure).

You need a deposit and good funds by the end of the day.

Some banks are bidding less than they are owed on the notes to try to get other bidders to show up and take it off their hands.

If it goes past the Sale Date and shows up as Sold, it will probably show up as a REO listing on the MLS in about 1-3 months, sometimes longer… Banks do not move real rapidly, sometimes they need to evict people who stay, sometimes, they have tenants to deal with.  Sometimes, they are just busy and it is at the bottom of the pile… 

Patience is a Virtue

Neither You or Your Realtor will likely be able to “hurry up” the Bank.  Patience is a definite virtue for a Short Sale, Foreclosure or REO investor.

If you have specific questions please put comments below and I will try to answer them for you.

Happy Investing!  Chris

Chris Ormsbee is a license Real Estate Broker in the State of Colorado who works at Century 21 Action Realty in Montrose Colorado.  There address is 1245 E Main St, Montrose, CO 81401 and their phone number is (970) 249-7777.  

Chris Ormsbee is not a lawyer or an accountant but he is a “real” person and an Internet Marketer and he has occasionally slept at THE Holiday Inn Express!

Buy a House and check out his other blogs and stuff at:

On Facebook as himself: ChrisOrmsbee

Real Estate Blog: http://www.YourCOREAdvisor.com/blog

Divorce Advice Blog: http://www.thedivorceworkshop.com/

Wacky Ideas, Thoughts and Whatevers: http://ideasthoughtswhatevers.blogspot.com/

Should You Refinance Your Home Mortgage?

Drop it by at least 1% on a comparable Mortgage.

Typically a good mortgage broker will tell you that you need to drop your interest rate by 1% to make it worth your while and pay all the fees (origination, appraisal, recording, etc.).  So if your rate is 7% or more and you are planing on staying in the home, it should be a no-brainer… refinance!

Consider the Terms of Existing Mortgage

You also need to consider the terms of the existing loan.

Are there any prepayment penalties, or prepaid mortgage insurance?

Is the Mortgage (Note and Deed of Trust)  a fixed or a variable rate loan?

Right now the variable rate loans are still in the 4%-5% range and some HELOCs (Home Equity Lines of Credit) are running even lower.

Variable Rate Loans - are not by definition bad and can be useful for the right circumstances.  For example if you know you will sell your home (due to kids leaving, divorce or marriage plans, etc.), then a 3 or 5 year fixed rate loan that is a lower than a fixed rate loan now and adjusts later might be the best decision for you.  A good mortgage broker or lender should discuss your overall financial picture with you and try to help you determine what will best fit your needs.   The bottom line is you are borrowing money and the lowest interest you can pay on that money is the best deal… but you need to look at both the short term and long term realistically.

A key problem with these ARM (Adjustable Rate Mortgages), that has given them a lot of bad press and even the blame for the flood of foreclosures on the market, is that they were sold to people unscrupulously (not explained accurately) or the people were just more optimistic about their futures than they should of been, but they have been used successfully by millions of people.  

You have to pick the right tool for the Job.  As a rule for the average homeowner, first time home buyer, etc. I would recommend a fixed rate 30 year note and suggest strongly to them that they should regularly pay in an extra couple hundred dollars to pay it off in 15 years. 

What position is the loan you want to refinance and are their others that will be affected?

If you have a second or third mortgage, It is rare but possible for them to complete a subordination agreement, to allow the first to be “re-written” and/or remain in “first” position.  It might also be possible to consolidate multiple loans into one loan, however if you go over 80% of the value then you will be paying mortgage insurance often called MIP or PMI. 

The Mortgage Insurance Premium, effectively raises your interest rate, but will go away after you reduce the mortgage principle balance to 78% of the LTV (Loan to Value).  It is like the Credit Card “Insurance” protection that if you lose your job they will “hold” the account “for only .89 per 100″ (just pitched to me today on an account with a balance of over 13,000, so for only…. $115/MO insurance, I can have the surety that if I cannot pay, I won’t have to.   It is basically an extra 1% (.089) of interest monthly which is effectively raising my interest rate by 10% annually…. Thanks but NO THANKS… I never do this!)

The MIP or PMI is not that expensive but is usually about 1 to 1 1/2 percent additional interest or at least cost to you, which is a cost of borrowing the money, so I call it interest even though it is actually insurance.

Insurance Sucks, but is a necessary evil in our society.  But Credit Card Insurance and Mortgage Insurance in general should be avoided wherever possible.

Other Considerations…

It is amazing but very few people actually read their Note and Deed of Trust, but they really should…

The Note and Deed or Trust or in some cases a Mortgage, defines all the terms surrounding your debt and its expected repayment as it relates to the lender (usually a bank). 

The Note and Deed of Trust also defines what constitutes a default of the terms and what the default interest rate and penalties are.  The other critical thing is when the Deed of Trust is recorded, this defines the order…. So your primary loan is usually in the first position.  Subsequent loans would take, second, third, etc.

A Deed of Trust is a three party document, you have the Lender, the Borrower and the Public Trustee (at least in Colorado).  This is a publicly recorded document and it defines essentially a contract of your repayment.  If you should default on this contract, i.e. not pay your mortgage, then the lender/bank has the right to foreclose on the Note and Deed of Trust by filing a Notice of Election and demand.  

PLEASE NOTE:  If you are behind on your current mortgage your chances of refinancing are probably very low.  Your best bet is to try to do a Loan Modification.  A late mortgage payment is a big credit score ding that stays with you for about 2 years, it is essentially the same as a Short Sale.

So how low will Mortgage Rates go?

Rates are low and no one knows for sure when they will go up but the consensous is that they will eventually go back up.  Based on the fact that they are at historic lows it seems inevitable.  Yet with the housing market being what it is, with a flood of Foreclosed, Reposessed, REO properties, often in “rough” condition, but still selling at a significant discount to the neighbors house that is a FSBO (For Sale By Owner) or the other neighbor who is trying to get the price from two years ago when the market was vibrant and a “sellers market”.  It is without doubt a “buyers market” right now.  Prices are down, bargains and deals are all over the place and interest rates are low.   

A key problem is the money supply is very tight.  The required credit score is much higher than it was two years ago.  Stated Income or “Liars” loans are a thing of the past, which I think sucks, cause a self employed Realtor has to “Project” or “Plan” on an income, but obviously is not in full control of that destiny, and for that matter neither is the guy who has worked for the County for 20 years or the big Corporation, etc…   None of us know the future, so I think the bias to W2 employees, by completely ditching the “stated income loan” is BS…. But that is just my opinion! 

I think this whole default debacle was created on Wall-street, when they packaged up ”crap” loans with a few “mid” rated loans and a few “good” loans and called it a “better than average” portfolio of loans and sold off these 100 million dollar packages at a higher than fair or market rate and then the crap loans in the portfolio started to default, now we have essentially a B rated “Bond” that is really a “D” or ”F” and it screwed up the trust and rate factors in the secondary market.

Overall is was a Madoff like plan to rob wealth from the masses…  This was done by Investment Banks, that our government Republican and Democratic has decided to “Bail Out” with our money… So now the Government is incentivising the banks to “work with people” and in my opinion promoting further default.

Its scary folks, but all we can really do is play the game as best we can amongst the rules and players that are present here and now.

I just heard today that many banks are currently holding onto some of their REO properties waiting to get a higher price… Apparently they are getting tired of losing money.   Those big bonus checks from the TARP money must be stopping…

Sorry about the rant.

So where will rates go?

Easy answer no one knows…  I think up eventually, I just don’t know when.  If you do an ARM you are betting they will go down or hold basically flat so you can redo the ARM or convert/refinance into a fixed rate mortgage if you stay in the home.

I remember paying 12% in the late 80s and thinking I had a good rate.  So everything is relative.  Right now rates are running in the low 5% range, but I also have a variable rate HELOC that is only charging me 3.5% right now. 

My General Advice on Mortgages is:

I usually recommend to my clients to get a fixed rate 30 year loan even if they intend to pay it off in 15 or 20 years.  Most loans allow prepayment of the principle without any penalties (you want this kind of loan). 

So if you have the 30 year loan and amortize your payments for the 15 year loan then you should payoff your home in 15 years, but if you get laid off or otherwise lose your income stream then you have a lower mandatory payment. 

Realize however, that even if you have been paying an extra 200 per month for 20 years if you don’t make the required minimum payment, they don’t count the extra you have paid toward the amount due.   Therefore every home owner should try to save up 3-6 months of mortgage payments to cover rough times.  

This is also where a second line of credit or HELOC (Home Equity Line of Credit) can come in handy and could be drawn down to cover the monthly payment of the first mortgage.  It can and should be used as a type of safety net.  Its best to construct or define your net before you need it.  Once you need it you may not qualify for it.  In otherwords they too look at ability to repay and employment, etc.   If you lose your job you might not qualify for a HELOC.  If you get the HELOC first, then lose your job, you can draw from the HELOC.  (They seldom if ever based on my knowledge - requalify the individual before drawing actual funds.  Therefore the static qualification now to establish the HELOC is good until you either close the account or try to refinance your first mortgage.

So happy borrowing and while I love cash buyers, they are typically retired people that have had a whole “successful” life to save up money or gain equity in their prior home, so for the proponents of ony ever buy anything with just cash…  My advice is think about borrowing, there are bargains everywhere and rates are low.  Keep you cash so you can be sure you can make the payment.  Borrowing and Lending and even charging interest aren’t evil as some would suggest, they are just business.

Good Day!  Chris

Chris Ormsbee is a license Real Estate Broker in the State of Colorado.  He works for Century 21 Action Realty in Montrose, CO 81401 at 1245 E Main St, right on the NW corner of Main St. and San Juan Ave.
Chris Ormsbee is not a lawyer or an accountant but he is a “real” person and an Internet Marketer and he has occasionally slept at THE Holiday Inn Express!

Check his other stuff out at:

On Facebook as myself: ChrisOrmsbee

Real Estate Blog: http://www.YourCOREAdvisor.com/blog

Divorce Advice Blog: http://www.thedivorceworkshop.com/

Wacky Ideas, Thoughts and Whatevers: http://ideasthoughtswhatevers.blogspot.com/

The Stress in Montrose

Look at this CRAZY commuting traffic in Montrose Colorado!

Saw an article the other day on yahoo at

http://realestate.yahoo.com/promo/americas-most-stressful-cities-2009.html

Titled “America’s Most Stressful Cities 2009″ by Sarah Lynch with Forbes.com

She identified the following:
1.  Chicago, IL
2.  Los Angeles, CA
3.  New York, NY
4.  Cleveland, OH
5.  Providence, RI

Now I know very little about these places in general, but I have spent a fair time living in the Denver CO area so I have had to deal with bumper to bumper traffic jams and type A drivers, similarly I have experienced #2 Los Angeles CA traffic first hand on business or pleasure trips to Cali! 

Here is what I do know…

The picture above is driving into work this morning around 7:00 AM and the horrific traffic on Main St in Montrose Colorado… Scary isn’t it. 

Actually in all fairness, South Townsend is busier and the crowd here is more intense around 8:00 AM, occassionally you do actually have to sit through a cycle on a light, or the City of Montrose will redo a medium and block off two lanes of traffic to actually cause a slight increase in blood pressure… but overall Montrose is pretty mellow as far as traffic induced stress is concerned.  

Real estate prices and unemployment are another matter, while we are not in a free fall, It is definitely a buyers market. 

While we don’t have the highest unemployment rates, we are ahead of the state and behind the nation (per the official stats…)

If you work remotely like say your an internet marketer… a computer programmer… a vagabond… a trust funder… Be Creative! 

Then Montrose could be a perfect place…  If you are just looking for a job, its worth a visit to Montrose first.   It is probably a real good idea to land the job before you try to move here…

Or maybe you can make a bunch of money as a Money Trader with the Forex Ninja Mega Mega Bot:

http://budurl.com/ForexMBot

Definitely call when you have the cash for that million dollar mansion.

Good day!

Chris Ormsbee is a license Real Estate Broker in the State of Colorado.  He is not an Accountant or an Attorney or a Certified Stress Analyst, but he is a Person and an Internet Marketer.

Check me out as well at:

Tweeting on Twitter as:  ChrisOrmsbee, ProfRealEstate, YourCOREAdvisor
http://profile.to.ChrisOrmsbee
http://www.YourCOREAdvisor.com/blog
http://www.TheDivorceWorkshop.com
http://ideasthoughtswhatevers.blogspot.com/

An Instruction Manual for a Home!

This is sweet!  And a great idea for anyone with custom features in a home that could use a little explaining.

OK THIS video is kind of crude.  It is for  a Bank Owned, REO (foreclosed, repossesed from a former owner (Not the one in this film… ))  This was the original owner, who had left a VCR tape for its future guests, inhabitants or owners.   I just filmed it playing on a TV with my flip camera so the quality isn’t as good as it is on the original tape (which will go with the home).   

If the buyer of this home requests it, I may delete these videos from Youtube later but wanted to have it available on the web for a client or all clients for that matter (who might be interested in living “Off the Grid” and decided this would be the easiest place to pop it up there for now. Plus I said I would post regularly.

So what good does this do you… Well if your thinking of buying a Solar Powered Home near Telluride Colorado, then this is the instruction manual to your new home… Otherwise the main benefit would be some general education about having a solar and wind generated home and ways or ideas on how to conserve energy.  

VIDEO 1:

Solar System Operations Manual 312 Elam Ridge Rd Part1

VIDEO 1:

Solar System and Stereo Instruction Manual 312 Elam Ridge Rd

VIDEO 3:

Solar System and Kitchen Manual 312 Elam Ridge Rd

Cant afford this home?

You could also check out this cool looking ebook I found on saving energy in your existing home (with or without solar power) at http://budurl.com/SaveElectricity  I haven’t bought it yet, but for $20 I plan to.  The video sales pitch seems to be talking about the same kind of issues of saving energy by keeping some appliances and items from drawing electricity even while they are shut off.   If you buy it before I do, let me know what you think of it. 

Or if you want to help me out, check out these clickbank products on solar, wind and energy saving products in this little hoplink widgets… Note if you do buy something I will make a commission off of the product, thus you would be helping me keep on bloggin.

Thanks, Chris Ormsbee

Hello, if you don’t know my name is Chris Ormsbee. 

I am a Realtor working for Century 21 Action Realty in Montrose Colorado. 

We/I am located at 1245 E Main St and our office phone number is (970) 249-7777 (lucky sevens)… I have a partner too.  Her name is Diane Haynes so feel free to call her too… (970) 596-3521.  Our Team name is “The Montrose Gold Team”  and we have the website www.MontroseGoldTeam.com but I just checked and it is “parked” at GoDaddy… still… oops… Gotta fix that (put it on the todo list).  Will probably point it to www.SoldCORE.com my original website, which does point to this blog under the button on the right. 

BTW SoldCORE is kindof underconstruction as well.  If you want to search properties in the area, check out www.C21ActionRealty.com it has the IDX service all hooked up.  I am going to try to offload this to the office site soon from my site (its on the todo list…) 

Today is my Birthday!  Yeah I officially cleared another year!  Still breathing!  Still not perfect (but its a goal to keep getting better all the time - like fine wine, scotch or whiskey!) I am now 46 and have been selling Real Estate for over 4 years now.  Wow! 

On bad days, I Often I wonder why I picked this profession (the pay has been less than great lately), but deep down I know why… I love Real Estate, I love learning, I love variety, and I love people in general.  I especially like helping people. 

I hope my blog (this blog) helps people, including myself.  It provides a means for me to share what I know and what I want to know, with more than one person at a time (more efficient).  I have recently become addicted to Facebook and had a stint on twitter (that I need to revive as well).  I am trying to embrace social media in an attempt to educate as well as drum up business and I suppose make my life more fulfilling in general.

So here are other ways to keep up with me:

Facebook  - Name:  Chris Ormsbee  Web address:  http://profile.to/chrisormsbee

I kind of over twitterized and have several accounts (don’t think I have touched any since March sorry guys…)  but I had flavors of interest I was trying to use… think they all still work.  And I will follow you back eventually I need a tool here too.

Twitter 1 - ChrisOrmsbee - To be or not to be an internet marketer!  (to peddle real estate and whatever I can believe in and make money off of).

Twitter 2 - ProfRealEstate - Professional Real Estate (”dude” I guess!)

Twitter 3 - YourCoreAdvisor - To tie into and brand with this blog (I hope!)

Twitter 4 - ProForeclosure - (Trying to niche in on foreclosures - but a lot more money is to be made investing in foreclosures, than as a Realtor… Takes lots of time with a lot of uncertainty of return, still I know a lot about the process and how to deal with the various issues… and help people in this situation)

So follow me or be my friend there!  I am pretty friendly, but sometimes strange (especially my sense of humor), and I am definitely opinionated and most of you will probably not agree with all of them (but thats cool).

Other social sites to come (once cloning is a reality or I find a tool to integrate better across the sites to share my thoughts and ideas…)  Or if someone gives me a personal geek for my Bday!  haha (did you know I used to be a geek [I have a BS in Computer Science from CSU 1986], so I like it.  I just don’t have enough waking hours to do it all).

So here it is! 

I was never big on New Years Resolutions so I am going to do a

Birthday Resolution…

As we get older “regularity” can be a problem for some, so I am going to try to dedicate some time on a regular basis to tweeting, sharing my thoughts on facebook and posting here.   My goal is 8 hours per week as follows (2 hours for blog posts, 2 hours for tweeting, 4 hours for facebook (cut back from about 16 now), and 2 hours for other social media (TBD).   I am going to post this “Schedule” on my wall. in an effort to make it a reality.   And of course about 40-50 hrs/week straight up real estate dealing.  The rest is mine, and my kid’s and my girl friend’s…   Its a lofty goal and so often we just jump when a client calls (so it kills our schedules), but I am going to try real hard to be more regular as I age…

Your job is to send buyers and sellers to me, or if thats you call us!

Also please make helpful suggestions (like how to stop the viagra spammer comments) and where you think I should focus (for your benefit).   BTW Diane is less than convinced that this Social Media is worthwhile - so please feel free to drop her an email to convince her otherwise (NO SPAM PLEASE).  She can be emailed at: DianeHaynes@C21ActionRealty.com

I can be emailed at ChrisOrmsbee@SoldCORE.com

Thanks in Advance!  Chris

Diane Haynes and Chris Ormsbee

From where I am sitting, I am still seeing a relatively high number of foreclosures in our area.   I think our market tends to lag the general market by about a year to 18 months. 

Some predict a further mushrooming of this effect as many banks have been waiting to test the water and see what is coming next.

Montrose Colorado is a beautiful place to live and was growing at a good pace and is still expected to double in size over the next 10-20 years. 2 Years ago this was easy to believe.  Now I think it will be pushing clear to the 20 year mark, unless the money supply situation straightens itself out.

Banks supposedly have money to lend (hundreds of millions of it financed off the tax payers backs).  But Banks are not lending as much as they want to because of new regulations and policies enforced by underwriters to ensure safer loans.  Whether you are for or against this doesn’t really matter. Tight lending it is stopping people from buying and selling homes, that would of otherwise been bought rather than rented.

At the same time Credit Card companies are squeezing already strapped people (including me), by cutting their credit limits down and raising interest rates.  Eliminating peoples “Cushion” or “Float” Capital.  This is particularly important for the small business owner with one or two employees who’s cash fluctuates with jobs as they come and go or pay or delay… 

This means people like Realtors and small contractors who rely on credit to finance their business are unable to finance their business and are tapping into any savings or reserves they may have.    They are probably losing out on some jobs because of this lack of available credit.

Many also do not understand that once their credit limit is cut, if their balance exceeds 50 % of the allowable credit, then it docks their credit score, possibly preventing them from getting a home loan.

The credit crunch is real and its affecting hundreds of millions of people and guess who is making money off of it… The banks, the same banks that got us into this mess.  I know there are thousands of “preachers” out there who support that everyone have a “strong” or even entirely cash position and boy wouldn’t that be nice, but Credit is a lot like a drug, they get you hooked and used to using it and then when they cut you off you are in real trouble.  Its unfortunate that they are using the current housing crisis as a time to try to make more money off the backs of the struggling American and that they have overtightened the money supply for home loans.

Montrose Colorado really didn’t have a foreclosure problem, until the money supply dried up.  This stopped construction and caused lots of layoffs and for people like Realtors, their income was halfed, quartered or even eliminated, leaving the them with a deficit.

I personally had a sizable chunk of savings and available credit for “down times”, but it has been eroded and used up and I can’t just force people to use me or to even decide to buy a house. 

I have never worked harder and been paid less in my life.

There is a glut of inventory on our market and many prices have not fallen yet to where I feel they will actually be purchased.   Most shoppers are looking for a 50 cent on the dollar deal…  Few exist.  Those that do are offered from “motivated” banks, but they usually require a great deal of repair and fix up, so this usually cuts out the first time home buyer and focuses on the investor.

Then President Obama decides that we will incent or attempt to force banks to do Loan Modifications with their borrowers, but the process is extreamly slow, uncharted territory and many are getting ripped off by shisters advertising on the radio, internet or otherwise that they will take care of everything and they are not, the people still get foreclosed out.  Others upon ill advice of attorneys or other counselors or spinners are suggesting to people to miss a payment to begin negotiations.  While this kinda makes sense it is just increasing the problem and it screws ones credit up BAD for about two years.  This is basically the same as a short sale on your credit based on my understanding. 

If you are going to do a Loan Modification, either do it yourself or call the state hotlines first.  Get references for companies from real people (preferably in your area and trust me its worth your time particularly if you REALLY want to keep your home).   Ensure that the hired negotiator will take no upfront moneys from you.  They only get paid when they get the Loan Modification with the exception of a small fee (under $150).  If they want more upfront money be very careful and require joint notification of each submittal and call the bank yourself to follow up with it.

Of course you can always call a Realtor for advice!  Ask a few questions to see if they know what they are talking about and if your not convinced, try another.

You can reach me at (970) 209-0252. 

Thanks Chris