SANPETE HOME OWNER SAVVY

CREDIT WOES TO THREATEN HOUSING RECOVERY?

Oh, I HATE articles like this, but to be fair, I want you to read it.  Hmmm...

September 30, 2009—Nearly two-thirds of single-family home builders are reporting a severe lack of credit for housing production, threatening the fragile housing recovery before it has time to take hold, according to a new builder survey of acquisition, development and construction (AD&C) financing conducted by the National Association of Home Builders (NAHB).

“Across the country, home builders and developers are reporting a deterioration in credit availability and intensifying pressure on borrowers with outstanding loans,” said NAHB Chairman Joe Robson, a home builder from Tulsa, OK. “Lenders are cutting off loans for viable new housing projects and producing unnecessary foreclosures and losses on AD&C loans. With the pending expiration of the $8,000 first-time home buyer tax credit, these challenges threaten to halt any positive developments we have seen in the housing market in recent months.”

In the latest NAHB survey of AD&C financing conditions, 63% of builders stated that the availability of credit for single-family construction loans worsened in the second quarter of 2009.

Builders reporting deteriorating credit conditions cited the following reasons: 80% said that lenders are lowering the allowable loan-to-value ratio, 76% reported that lenders are not making new loans, 75% stated that lenders are reducing the amount they are willing to lend and 62% said that lenders are requiring personal guarantees or collateral not related to the project. Two-thirds of respondents reported putting single-family construction projects on hold until the financing climate gets better.

While federal banking regulators continue to maintain that they are not instructing institutions to stop making loans or to indiscriminately liquidate outstanding loans, builders responding to the survey cited the top reason that lenders have given them for restricting the availability of new loans or for tightening the terms of outstanding loans is that “regulators are forcing lenders to do it.”

NAHB believes that regulators and lenders should provide leeway to residential construction borrowers who have loans in good standing by providing flexibility on re-appraisals, loan modifications and perhaps forbearance on loans to give builders time to complete and sell their inventory.

“There can be no meaningful economic recovery until the flow of credit is restored to housing,” said Robson.

For more information, visit www.nahb.org.

FALL MAINTENANCE...So SOON??

 Home Maintenance Tip -

It's Fall: Time to Prepare Your Home for Winter

Fall maintenance is important because it helps make homes more energy efficient during the winter months, and will safeguard homes against potential seasonal 'disasters' such as leaking roofs or home fires caused by neglected chimneys. Here are ten tips to a safer, warmer winter.

TIP #1 -- Check the heating system. Check the filter, pilot light and burners in a system fueled by gas or oil. Fireplaces, boilers, water heaters, space heaters and wood burning stoves should also be serviced every year. Have the specialist inspecting your unit show you how to change the filter and then you should change it at least once every 2 months. Clean ducts in the heating system. Clean and vacuum dust from vents, baseboard heaters and cold air returns. Dust build-up in ducts is a major cause of indoor pollutants. Ducts should be professionally cleaned about every three years.

TIP #2 -- Have the chimney inspected by a qualified chimney professional. Chimneys should be checked and cleaned, if necessary, on an annual basis. If you are using a wood stove this season, be sure that the stovepipe was installed correctly according to the manufacturer's recommendations and local codes. If there is any doubt, a building inspector or fire official can determine whether the system is properly installed. If you have a chimney that will not be used, consider having it sealed shut.

TIP #3 -- Test fire alarms, smoke detectors and carbon monoxide detectors, and vacuum out the dust. Batteries should be checked every six months to ensure that they're working.

TIP #4 -- Remove excess leaves and damaged branches from trees surrounding the house. Dead branches have the potential to break and fall, ruining roofs, decks, or vehicles and the possibly causing injuries to people.

TIP #5 -- Maintain gutters. Remove all debris that can slow or impede the ability of water to drain effectively from the roof. Trapped water can be destructive not only to the gutters themselves but to the adjoining roof as well. Make sure gutter water drains away from your home.

TIP #6 -- Inspect the roof. Look for damaged or loose shingles, gaps in the flashing at joints with siding, vents and flues, as well as damaged mortar around the chimney.

TIP #7 -- Inspect exterior walls, doors and windows. Check walls and window sills for damage such as cracks, gaps, loose or crumbling mortar, along with splitting and decaying wood. Caulk exterior joints around windows and doors, which helps keep the home weather tight and lower heating bills. Check windows and doors to make sure locks work properly and that they are in good condition. Clean tracks and lubricate hinges. Repair or replace any cracked windows.

TIP #8 -- Maintain steps and handrails. Repair broken steps and secure loose banisters and handrails. Broken steps can cause a dangerous fall. Similarly, a person slipping will grab a handrail for support.

TIP #9 -- Inspect the attic and basement or crawlspace. Insulate voids in the attic - the entire attic floor above a living space should be insulated with at least six inches of insulation, except around electrical fixtures such as recessed lights that aren't rated for contact with insulation. Damp basements and crawl spaces can become mold and mildew problems. Watch for leaks from your water heater, plumbing system and seeping rain water from the roof. Locate and maintain a clear access to your main water shut off valve. If you have a sump pump, test, clean and lubricate it.

TIP #10 -- Shut down sprinkler systems and outside faucets. Homeowners can shut down outside faucets, however weatherizing the underground sprinkler system is best performed by industry professionals who will flush the system before the cold sets in, preventing cracked pipes.

TODAY'S INTEREST RATES 09/10/2009

Rates for 9/10/09    

 

Based on a 30 Yr. fixed / 30 day lock / > 740 Credit /  > 160k loan amount

 

FHA –                    4.875%

VA –                      5.00%

Rural Housing -   5.00%

Conventional -  5.00%

 

What to do with a KITCHEN OIL FIRE

I received this via email today, and it's the sort of thing you want EVERYONE YOU KNOW to see.  Please read the attached letter first.  You will need to copy and paste the link.

http://www.youtube.com/watch?v=sZGzbd0IvUE

Lifesaving tip

 READ BEFORE YOU WATCH THE VIDEO!!

Dear Friends,

I was Executive Director of the Institute for Burn Medicine for San Diego and Imperial Counties when we lived in
California ..  Besides raising the money to establish a Burn Treatment Center at the University Hospital there, I conducted extensive public education campaigns in Burn Prevention.

A friend recently sent me the attached short video - and like an old fire-horse I heard the bell ring and am rushing to send this excellent prevention piece to each of you. It is well worth watching! And it could save your life.

This is very stunning - please read first and then watch the very short clip.

I never realized that a wet dishcloth can be a one size fits all lid to cover a fire in a pan!

This is a dramatic video (30-second, very short) about how to deal with a common kitchen fire ...oil in a frying pan. Read the following Introduction, then watch the show ...It's a real eye-opener!!

At the Fire Fighting Training school they would demonstrate this with a deep fat fryer set on the fire field. An instructor would don a fire suit and using an 8 oz cup at the end of a 10-foot pole toss water onto the grease fire.

The results got the attention of the students. The water, being heavier than oil, sinks to the bottom where it instantly becomes superheated.

The explosive force of the steam blows the burning oil up and out. On the open field, it became a thirty foot high fireball that resembled a nuclear blast.

Inside the confines of a kitchen, the fire ball hits the ceiling and fills the entire room..  Also, do not throw sugar or flour on a grease fire. One cup of either creates the explosive force of two sticks of  dynamite.

This is a powerful message----watch the video and don't forget what you see.

Tell your whole family about this video.  Or better yet, send this to them. 

 

http://www.youtube.com/watch?v=sZGzbd0IvUE