Lance Matzdorff's Blog
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What's Hot in Havasu?!
Posted Under: Market Conditions in Lake Havasu City | May 8, 2011 1:56 PM | 447 views | No commentsWe are talking about a vacation destination used in the winter as a winter haven and in the summer as paradise on the lake. A place where expansion and growth of the town is limited, clean air is abundant and blue water in the middle of an arid desert stretches forty-five miles. This place has lake side restaurants & bars, several golf courses, a very nice shopping mall, RV campgrounds like no other, and much more. This place is real, it is what your neighbor said it was on their vacation, and it is Lake Havasu City, AZ.
The weather is not hot yet in Havasu but the real estate deals are smokin'! I can not recall in my 23 years of real estate practice when buyers had such an awesome "second chance" to buy real estate at rock bottom prices.
This will be the first time I have ever said this, but multiple-family lots and residences can be exceptional buys right now. Multiple-family lots that have nothing to hide are available for purchase in the $30,000 range and some selling in the $20k range (three-plex, four-plex, etc). Duplexes are in the low $100,000 range for nice ones and under for older units. When you get into some of the four- plex and larger units, some of these can be purchased and support them selves almost immediately.With the number of properties that went into foreclosure over the last four years, I anticipate a market that will need rental properties. The nice thing about rental properties is they have one of the most advantageous real estate tax advantages over most all other real estate investments. Lake Havasu also has the three essential elements everyone knows, location, location, location (between Phoenix, AZ, Las Vegas, NV and Los Angeles, Ca).
Both single family lots and multiple-family lots are great investments for the low expense investor. There is no maintenance or hassles with owning land and the risk of the investment is minimal.
Lastly but not least important, this is also a great time to build with construction at an all time low. Think about this; only the best of the best contractors and sub contractors are able to stay in construction and their prices are more competitive then ever (don’t wait for the building industry to get busy, you won’t like it).
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HAVASU REAL ESTATE: WORST DAYS ARE OVER
Posted Under: General Area in Lake Havasu City, Market Conditions in Lake Havasu City | May 8, 2010 12:12 PM | 711 views | No commentsHAVASU REAL ESTATE: Worst days are over
Officials: Price drop, sales good for area marketBy NATHAN BRUTTELL
Today's News-Herald
Published Friday, May 7, 2010 10:31 PM MSTThe deadline for the first-time homebuyers tax incentive has come and gone, but real estate officials believe it jump-started Lake Havasu City’s housing market.
The number of residential homes on the market dropped by more than 260 in the last year as 189 residential homes sold in April, according to real estate figures. There are currently 757 homes on the market, down from 1,021 in April 2009. Officials say the continued drop in homes on the market, combined with speedy sales (207 residential homes sold in March, marking the first time in five years that more than 200 homes sold in a single month) are strong signs that the Lake Havasu City market has seen its worst days.
“More people are buying homes and there are fewer homes to sell, so eventually the market will start to turn away from the buyers’ market we’re in,” said Suzanne White, president of the Lake Havasu Association of Realtors. “I think you’re looking at a couple of years before we see a major turn but I also think you’re going to see the median go up a little and higher-end homes starting to move a bit more now.”
While the median price for residential homes dropped quickly in the past few years, White said, the gap is narrowing because of fewer homes on the market. The median closing price in April came in at $139,266, down from $149,900 in April 2009. The approximate $10,000 gap narrowed, however, from the $14,000 drop seen in March ($136,000) compared to March 2009 ($150,000).
Former LHAR president Pat Landry said that is a positive sign.
“If you take a look at those year-to-year numbers in the median closing prices, you can really see a consistent drop. But I think we’re done dropping now,” she said. April marked the fourth straight month the gap narrowed. “I think it’s a sign that our market in Lake Havasu City is turning. I’ve spoken with people all over the U.S. and things are picking up in other states also.”
Landry said the deadline to qualify for the first-time homebuyers $8,000 tax credit was April 30 and it most likely contributed to the improvement of markets around the country.
“I think it also helped Havasu a little bit, but not like it did other places,” she said. “I think it’s a good sign for us because I don’t think our market will miss it as much as others. It’s all done now and it helped us a little, but I think we’re getting better on our own now.”
Foreclosures in April (76) made up about 40 percent of the total residential sales, similar to March, and officials say the trend could be another sign of improvement.
“We also have 167 pending, compared to 96 last month, so you can see they’re being utilized more and more,” Landry said. “It’s led to fewer foreclosures on the market and that’s very important for us.”
White agreed.
“They’re getting to be fewer and they’re giving our regular sellers more of an opportunity to sell their homes,” White said. “I think the banks are finally figuring out how much releasing so many foreclosures hurt the market. It’s much steadier now, and I think we’ll continue to see the market improve and that’s a big part of it.”
The numbers aren’t all positive, officials say, as real estate agents are still having difficulty with banks on approving short sales, which increased to 76 active, up from 61 in March.
“That has not changed and that’s hurting a bit,” White said. “I think eventually it’s going to need reform, but the rest of the market is very stable right now so it’s not hurting us as badly.” -
Benefits of owning an ENERGY STAR home, More than just monetary!
Posted Under: Home Buying in Lake Havasu City | February 6, 2010 12:45 PM | 755 views | No commentsBenefits of owning an ENERGY STAR qualified home are More than just monetary!Behind the walls….
Well-sealed and properly insulated walls, ceiling, and floors help maintain even temperatures throughout the house and save you up to 20 percent on heating and cooling costs. A tighter home also reduces the amount of humidity, dust, pollen, pests, and noise that can come inside.
Wires in Wall: Holes for wiring are sealed with expanding foam. In typical homes, air leaks are often found at holes and penetrations for plumbing, wiring, lighting, and ductwork.
Mold: When warm air leaks into construction assemblies, it can come in contact with cooler surfaces where condensation can occur. The buildup of moisture encourages mold growth, ruins insulation, and even compromises the structural elements of the home.
Air Duct Work:
Your home's ducts move heated and cooled air to the living areas to make you feel comfortable. But in a typical house, 20 percent of the air that moves through the duct system is lost due to leaks, holes, and poor connections. Below lists many common duct problems, such as:
A. Leaky duct connections
B. Leaky return ducts
C. Furniture blocking registers
D. Leaks at furnace and air filter slot and duct tape failures
E. Fallen duct insulation
F. Leaky supply ducts
G. Kinks in ductwork restricting airflow
Air leaking from ducts reduces heating and cooling efficiency by up to 20 percent. Leaky ducts also let dust, moisture, pollen, pests, and noise into your home.
ENERGY STAR windows, doors, and skylights keep your home cooler in the summer and warmer in the winter, reduce moisture condensation on window panes and sills, and minimize interior fabric fading.
Independent Testing and Inspection to Ensure Quality Construction
Most builders will tell you that they build energy-efficient homes. But builders whose homes earn the ENERGY STAR back up their claims. ENERGY STAR qualified homes are inspected and tested by an independent Home Energy Rater to meet EPA's new and more rigorous guidelines for energy efficiency. Many communities don't even have requirement for energy efficency or inspections.
In an ENERGY STAR qualified home...
The builder's construction crews know that their work will be tested for performance, quality, and attention to detail. Home Energy Raters inspect insulation installation, perform tightness tests on the home's envelope and duct system, and ensure that all energy-efficient features and equipment are properly installed in your new home.
A blower door test evaluates the leakiness of the house. A duct blaster test evaluates the leakiness of the duct system.
More Rigorous EPA Guidelines…
With new and more rigorous EPA guidelines to earn the label, ENERGY STAR qualified homes are quieter and more comfortable than ever, have lower utility bills, and help protect the environment by reducing greenhouse gas emissions.
When you add it all up, you can not get a better return. When building, build with an Energy Star qualified contractor.
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Make Sure It's in the Contract!
Posted Under: Home Buying in Lake Havasu City | November 30, 2009 4:04 PM | 772 views | No commentsMake Sure It's in the contract! How easy that sounds. Saying or hearing a promise is not the same as having it in writing.
In buying an existing residence you want to make sure, for example, the tool shed stays, it may not be affixed to the property so it may not stay, or a large beautiful potted plant, or a fountain that can be moved. To avoid a misunderstanding and possibly a big dispute, put in descriptive writing what you want to be included in the offer.
If you are obtaining financing you will have to check with your lender or agent to see how to include furniture without having a monetary value placed on it. Furniture can not be included in the appraised value of the home since it is not part of the structure.
New construction is extremely important to have everything in writing. In essence, the customer is buying what is written on paper. You should be allotted allowances for fixtures and floor coverings, cabinets, insulation, windows, a/c unit, counter tops and roof covering. Some contractors may or may not include landscaping.
If you are comparing one contractor against another make sure to compare apples to apples. One contractor may build their base home for less but charge high for upgrades that are standard in another builder's home. Make sure the upgrades are quoted to compare with what another builder may consider to part of their base price and that ALL allowances are listed.
There is also a huge difference in the efficiency of air conditioners and windows, carpet & tile quality and same goes for their price tag. You will also want the approximate build time in writing. Build time can vary by several months which is a whole bunch of interest that is lost on a construction loan.
Whether you are buying an existing home or building new, make sure to have what matters to you in writing. -
Why is Energy Star Certification so important for you?
Posted Under: Home Buying in Lake Havasu City | November 24, 2009 9:24 AM | 787 views | No commentsMost can relate to buying a car. Important factors to consider is practicality. Will the vehicle meet your needs. Another consideration might be keeping a higher resale value. And of course, affordability.
Now compare side by side the building or buying an Energy Star Government Certified home. Same concerns but costing ten to twenty times more. Digest that thought for moment. What would you think if you could possibly get 15% higher resale value on you home and not costing you more?
Read straight from the source in a simplified, easy to understand explanations of how Energy Star Government Certified homes can benefit you in a big way. An Energy Star Partner is not the same as an Energy Star Government Certified builder. Only the certified homes are the only homes that have been tested and rated. Who is Lake Havasu City's, AZ Energy Star Certified custom home Builder? Copy, paste & enjoy http://www.energystar.gov/index.cfm?c=new_homes.hm_index -
Before buying, consider this.
Posted Under: General Area, Home Buying | November 13, 2009 12:41 PM | 781 views | No commentsWHAT IS A GOOD DEAL ON A HOME?
Is it the price you paid for a home? A good investment has many factors to consider. Some thing to consider when getting a "good deal" on a Pre owned home is how much money will it cost to change the home to fit your taste? Depending on the age of the home, how much will it cost you in Plus & repairs? And a big concern lately is the energy efficiency of a home. Utilities prices will continue to climb and most resources relied upon for energy are not in unlimited supply. Going solar or wind is an option if you have a big enough bank roll.
NOW, CONSIDER THIS:
With lot prices at a several year low, & builders more competitive than ever, a new home may cost less to build than one may expect. With new construction being slow, the right contractor can build a home in less than half the time it took just a few years ago. When you think about it, only the very best of the best and most skilled subcontractors are still building and want to start working yesterday. Plus, everything is new which will eliminate the "guess work" on which repair will rear it's ugly head next on an older home.
THE WAY OF THE FUTURE STARTS TODAY, GO ENERGY STAR CERTIFIED
ENERGY STAR CERTIFIED homes are independently set by the U.S. Environmental Protection Agency. These homes save money on utility bills and provide a more comfortable living environment with better indoor air quality and help protect the environment. These homes require more inspections than the regular city inspecions.
BETTER PERFORMANCE, LOWER OWNERSHIP COSTProperly installed energy-efficient improvements deliver better protection against cold, heat, drafts, moisture, pollution, and noise. An energy- efficient home helps ensure consistent temperatures between and across rooms, improved indoor air quality, and greater durability.Compare with standard homes, ENERGY STAR qualified homes use substantially less energy making you & your wallet more comfortable.
To learn more, please visit www.HavasuRealEstateSales.com