While there are certainly rays of sunshine on the horizon for our local and national housing markets with increasing home prices and strong sales numbers, not everyone feels the warmth, especially the thousands of Southern Nevadans who have already lost their homes to either a short sale or a foreclosure and those prepping for a similar fate in 2013.
“2013 has continued to show a growth in both housing prices and home sales, reasons for optimism that our real estate market is getting back on track. While this may be great news for our economy and home shoppers, it is bittersweet for others,” Rick Piette of Las Vegas-based Premier Mortgage Lending said, citing statistics released in the past week by the Greater Las Vegas Association of Realtors.
GLVAR reported a total of 3,232 sales in February, up from 2,821 in January. Last month’s median sales price for a single-family home was $150,000, up 24 percent compared to February 2012, while median sales price for condominiums and townhomes were up 36.7 percent within the same one-year period.
“These statistics show that our market is in an upswing with a strong demand among buyers seeking to buy homes at today’s lower prices. They’re also a reminder of the misfortune of the thousands of Southern Nevadans who suffered the loss of their homes through short sales and foreclosures. Since the start of the housing downturn, literally hundreds of thousands of Nevadans have lost their homes. Getting these people back into homes of their own is fundamental to the success of our recovery, and a primary goal for Premier Mortgage,” Piette said.
“I expect the sales to remain steady because short sales and foreclosures will continue to hit the market with as many as 80,000 homeowners currently underwater and delinquent on their mortgage payments, possibly facing a short sale or foreclosure in the near future. I believe that Congress’ extension of the Mortgage Forgiveness Debt Relief Act will prompt some who are currently weighing their options to finally move forward with a short sale or foreclosure before the act expires Dec. 31,” said Piette, a longtime Nevadan who has worked in the mortgage industry for more than 25 years.
He said uncertainty often follows a short sale or foreclosure because of emotions and conflicting information.
“Many people who have experienced a short sale or foreclosure think that they don’t have any option other than rent for at least two or three years, but more realistically at least five years. But, this is not true. New loan programs such as Premier Mortgage Lending’s Another Chance Nevada make it possible to purchase a home right after a short sale or foreclosure and to take advantage of today’s great home prices.”
Another Chance Nevada connects individuals who have experienced a short sale or foreclosure with private and institutional portfolio lenders who offer 15- or 30-year, fixed-rate loans at interest rates that are typically higher than traditional mortgage rates, according to Piette.
Full-documentation guidelines are followed and at least a 20 percent down payment is required. The down payment can come from personal funds or can be obtained as a gift from family members. Borrowers may close within 30 days from the time of loan approval, and may refinance the loan at any time without penalty.
An Another Chance loan may be used on the purchase of a resale or a new home. The lender is currently working with Beazer Homes, D.R. Horton, Dunhill Homes, Harmony Homes, KB Home, Pardee Homes, Pulte Homes and Del Webb, Richmond American Homes, Ryland Homes and William Lyon Homes.
“While the decision to purchase now using nontraditional financing or to wait until you can qualify for a traditional loan is a very personal one, recent data suggests that now may be a good time to buy. Plus, if the housing prices continue to increase in 2013, it might make more financial sense to buy a home with an Another Chance loan now and then refinance when your situation allows,” Piette said.
As a full-service lender, Premier Mortgage Lending provides complimentary mortgage prequalification to help people determine if they may qualify for a traditional mortgage or Another Chance Nevada, and to weigh if buying a home is the right decision for them.
For additional information or to schedule an appointment for mortgage prequalification, call Premier Mortgage at 702-485-6600 or visit www.another chancenevada.com.
Premier Mortgage Lending is at 8689 W. Sahara Ave., Suite 100.