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Jeff Masich's Blog

By Jeff Masich | Agent in Scottsdale, AZ
  • Best "Patio Dining" with a View in Scottsdale

    Posted Under: Entertainment & Nightlife in Scottsdale, Home Buying in Scottsdale, Home Selling in Scottsdale  |  July 8, 2014 5:23 PM  |  60 views  |  No comments
    What are the best patio dining restaurants with a view in Scottsdale, Arizona. Well, see this list from the City of Scottsdale, Best Patio Dining in Scottsdale



    Olive and Ivy restaurant on the canal southwest of Camelback and Scottsdale Road. Wander across the bridge and stroll through the downtown Scottsdale entertainment and arts district before or after dinner. Scottsdale Fashion Square Mall is close by. Don't miss the Soleri Bridge and Plaza public art exhibit nearby in walking distance: http://www.scottsdalepublicart.org/permanent-art/soleri-bridge-and-plaza

    Jeffrey Masich, Realtor, GRI, MBA
    HomeSmart
    Scottsdale, Arizona
    www.ArizonaHomesLand.com
  • Getting started with a Real Estate IRA

    Posted Under: Home Buying in Scottsdale, Home Selling in Scottsdale, Financing in Scottsdale  |  April 22, 2014 1:24 PM  |  490 views  |  No comments

     Have you heard about self direct real estate IRAs and wondered how they work and how to get started?

    A real estate IRA provides and alternative to investing in traditional stocks and bonds and allows the account holder to invest in income producing real estate.

    Here is a short video from Vantage about the real estate IRA: http://youtu.be/7jMAVKUDb7w

    Real estate IRAs are often invested in with cash from the IRA without carrying a mortgage from the IRA or IRA account holder to comply with IRS rules. Per, Business Week and Lewis Braham, "Nor can investors employ a traditional mortgage to finance IRA properties. An IRA account doesn't allow its owner to be held personally liable for any unpaid debt. The only permissible loans are so-called non-recourse loans that use the property itself as collateral. These have higher interest rates than conventional mortgages, and any income earned with the portion of the property owned with this leverage is considered outside the IRA and fully taxable....As a result, most self-directed IRA real estate deals tend to be all-cash. For most people, the lack of easily available leverage creates concentrated portfolios of a handful of properties. That's why experts recommend multi-family rental properties with two to four apartments, instead of single-family rental homes; if you lose one tenant, you still have a second apartment rented."

    What is an self directed IRA? According to Wikepedia, "A self-directed Individual Retirement Arrangement is an IRA that allows the account owner to direct the account trustee to make a broader range of investments than other types of IRAs."

    There are limitations on the rules for investing in real estate IRAs that may result in penalties. Business Week reports, "Self-directed IRAs are complex legal structures that, if managed incorrectly, can lead to stiff penalties from the Internal Revenue Service. The primary mistake is any appearance of self-dealing, where you benefit financially or otherwise from the property in the account before the minimum distribution age of 59 1/2. That means if your IRA owns real estate, you or any immediate family members can’t live in it or get any rental income from it directly. Otherwise, you could invalidate the status of your IRA account and be subject to a 10 percent tax penalty for the account’s value.

    Moreover, all repairs, management and property tax costs must be paid with the IRA’s funds. So you must either have a buffer in the account to pay for unforeseen expenses, or hope that the annual maximum allowable IRA contribution, currently $5,000, will cover costs. You can’t even make repairs by yourself without your own “sweat equity” being considered a contribution to the account." 


    Some investors keep 5 percent to 10 percent of their property’s value in liquid securities such as cash or bonds to cover future repairs.


    An investor, will need to choose a custodian to invest their self directed IRA assets into before purchasing a property. The custodian does not determine the value of the real estate purchase. The IRA investor makes these decisions. As Business Week reports, "Perhaps the biggest risk of self-directed IRAs isn't tenants bolting or tax twists but what you choose to put into it." Choose a Realtor that can help you determine a good property for purchase, do your homework and look at costs to bring the property to maket and manage the rental income. If you choose correctly there is a good return in a real estate IRA as opposted to the traditional stock and bond portfolios and the risk associated with those traditional investments.

    For more information, check with your accountant and financial advisors.

    Jeffrey Masich, Realtor, GRI, MBA
    HomeSmart
    Scottsdale, Arizona
    http://ArizonaHomesLand.com



  • Getting Pre Qualified For a Home Mortgage

    Posted Under: Home Buying in Scottsdale, Home Selling in Scottsdale, Financing in Scottsdale  |  April 9, 2014 5:01 PM  |  515 views  |  No comments
    Getting ready to purchase a new home? If so it is time to get pre qualified to:

    1. Determine how much home you can afford
    2. Provide to your Realtor to start the home search
    3. Attach to your purchase contract to show the Seller that you are qualified

    HomeSmart, the largest real estate broker in Arizona reported on teh importance of pre qualification, "When you begin the search for a new home, there is much preparation involved.  The excitement of it can get to you and you want to dive right into the process.  Sure, you can look for homes online, have a real estate agent start looking for homes for you and even begin visiting open houses.  But, sometimes homes sell very quickly.  Especially if they are well-maintained or in a desirable location. You could attend an open house for a home, fall in love, begin dreaming of where you will put furniture and then three other prospective buyers may submit offers that same day on a home.

    Home sales can often be complicated and happen very quickly.  In order to put yourself in the best position to have your offer accepted, you should be pre-approved for a mortgage loan.  The process of getting approved can take some time and if the seller has to wait for your financing to come through, they may decide to go with someone else’s offer while waiting for you.  Losing a home you love because you are not pre-approved for a loan, or because you qualify for less than the cost of the home, is a truly heartbreaking and frustrating experience.

    When you prepare in advance and get pre-approved for a mortgage loan, your offer will be more desirable and you can be in your dream home sooner. The first step in the process of getting pre-approved for a home loan is to find a mortgage lender or bank that you want to work with.  A mortgage lender will discuss what size loan you are looking to acquire, what size loan you will actually get pre-approved for, the different types of loans available to you, and how much of a monthly payment you feel comfortable with.  One thing that will play a major role in mortgage loan pre-approval is your credit score.  Your credit score will influence how much you are approved for, the interest rate you are approved for and the type of loan you are approved for.  It is always wise to check your credit score beforehand and ensure there are no discrepancies.  If there are, dispute any discrepancies immediately.  Additionally, do whatever you can to improve your credit score before seeking loan pre-approval as this will help you qualify for the best loan possible.

    You will be responsible for providing a significant amount of documents to be pre-approved for a loan.  You will need to have proof of your income (recent pay stubs or W-2s from previous years work as proof of income) and you will also need proof of assets (bank statements or investment statements).  You will need proof of employment as well as documentation of who you are (drivers license or social security card).  Once a lender has all of this information, they will give you a number for which you are pre-qualified.  While this number is a good representation of how much home you can purchase, it is not the final word on the subject.  Once your documents and information have been submitted to an adjuster and considered and calculated, you will receive your loan pre-approval.  

    Loan pre-approval can take about one week but once you have this, you will be a much more appealing candidate for sellers.  With your pre-approval in hand, you can happily and confidently submit an offer on your dream home and wait for it to be accepted."

    See more at: http://blog.homesmartinternational.com/how-does-loan-pre-approval-work/#sthash.ZmDFiBhR.dpuf

    So, don't wait. It is time to get started. By the way if you have moderate income, ask your lender and/or Realtor for information about free grants that they are aware of and are currently available. For example, right now there is the Home In Five program for FHA, VA loans in Maricopa County offering a grant of 5% of the loan amount. This may be used for down payment and/or closing costs. These grants change, but it well worth asking about when you get pre qualified.

    Jeffrey Masich, Realtor, GRI, MBA
    HomeSmart
    Scottsdale, Arizona
    www. ArizonaHomesLand.com
  • Homes "For Sale" in Scottsdale Arizona

    Posted Under: General Area in Scottsdale, Home Buying in Scottsdale, Home Selling in Scottsdale  |  October 17, 2013 1:42 PM  |  323 views  |  No comments
    Scottsdale, Arizona one of the most recognizable tourist destinations in the world. Scottsdale is a wonderful place to live, with planned communities, top restaurants, shopping and golf courses, resort hotels and a mixture of the west, urban and "hipster" lifestyles.

    To see the single family detached homes for sale in Scottsdale with pictures, details and map locations: Scottsdale Detached Single Family Homes For Sale

    To see Scottsdale Townhomes, Patio Homes and Condos For Sale

    Enjoy living in the beauty, serenity and warmth of the great desert southwest.

    Jeffrey Masich, Realtor, GRI, MBA
    HomeSmart
    Scottsdale, Arizona
    http://ArizonaHomesLand.com
  • McCormick Ranch Homes For Sale in Scottsdale

    Posted Under: General Area in Scottsdale, Home Buying in Scottsdale, Home Selling in Scottsdale  |  August 22, 2013 4:12 PM  |  1,259 views  |  No comments
    McCormick Ranch in Scottsdale, Arizona, Homes for Sale with details and pictures: http://link.flexmls.com/x4hkvimgjbq,12

    For more information about McCormick Ranch in Scottsdale: http://www.arizonahomesland.com/mccormickranchhomes.html

    Nestled near Camelback Mountain, surrounded by golf courses, lakes and multi-use paths, McCormick Ranch was the first truly master planned community beginning in the 1970s, showing Scottsdale leadership in thoughtful and meaningful growth leading to a better quality of life and enjoyment for citizens. McCormick Ranch is in the heart of Scottsdale, close to Fashion Square Mall, Scottsdale resort hotels, marvelous dining, golf, hiking, lakes, parks and excellent education.

    McCormick Ranch bike path

    McCormick Ranch was started as an active ranch in 1942 by Merle Chaney and sold to the McCormick's in the mid-40's. It was the last large ranch located in the City of Scottsdale.

    The transformation of the McCormick's Ranch was based on a master plan developed by Gruen Associates of Los Angeles and Scottsdale Environmental Planners and Consultants. Development began with infrastructure and amenities. The amenities had a dual purpose by providing aesthetics, which included two championship 18-hole golf courses, more than 25 miles of bicycle paths, public tennis courts, 130 acres of man-made lakes, two of which can be used for sailing and several that are stocked with fish.

    When Kaiser-Aetna purchased the Ranch, it was the country's largest single piece of property sold for a planned community within city limits. Today McCormick Ranch contains 3,116 total acres. Kaiser-Aetna sold the remaining undeveloped acreage to Transcontinental Properties in 1980. Transcontinental then sold 1,120 acres to Markland Properties. (History excerpt from McCormick Ranch POA).

    Jeffrey Masich, Realtor, GRI, MBA
    HomeSmart
    Scottsdale, Arizona
    http://ArizonaHomesLand.com


  • Real Estate News In Arizona...July 2013

    Posted Under: Market Conditions in Scottsdale, Home Buying in Scottsdale, Home Selling in Scottsdale  |  July 9, 2013 1:05 PM  |  1,452 views  |  No comments
    Things are happening in Arizona, temperatures and Real Estate prices are rising. For Real Estate News in Arizona for July 2013 take a look. Information on real estate and thngs to do in Arizona.

    Home prices have increased 26% from a year ago to a median price of $185,000 through May in the Phoenix metro area.

    Jeffrey Masich, Realtor, GRI, MBA
    HomeSmart
    Scottsdale, Arizona
    http://ArizonaHomesLand.com
  • "Seller May Carry" Financing in Scottsdale, Paradise Valley and Northeast Valley

    Posted Under: Home Buying in Scottsdale, Financing in Scottsdale, Foreclosure in Scottsdale  |  June 20, 2013 6:12 PM  |  1,356 views  |  No comments
    "Seller May Carry" interim financing detached homes are available in Scottsdale, Paradise Valley and Fountain Hills as well as the surrounding Northeast valley metro area of Phoenix. To see the homes in the NE Valley currently for sale that the owner is willing to carry interim financing: http://link.flexmls.com/zq5a5a2p6cr,12

    For those buyers that are not yet ready to finance with a new Conventional or FHA mortgage, "Seller May Carry" interim financing of 3-5 years is a viable alternative. Sellers typically expect 15-30% down to accomodate the risk for those buyers that have cash but cannot obtain a new mortgage right now.

    For those buyers that see prices on the rise, a "Seller May Carry" home in Scottsdale or Paradise Valey may be something to consider. True, the home's price may be higher with the Seller having to wait for payment but the ability to purchase a home now can be accomplished.

    Yes, after the interim financing period is over the buyer with a job and good income may be able to qualify for a mortgage if they are waiting out the time period required after a short sale or foreclosure.

    Jeffrey Masich, Realtor, GRI, MBA
    HomeSmart
    Scottsdale, Arizona
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