The Utah Lieutenant Governor Gary Herbert gave a speech recently that seems to fly squarely in the face of what the national news media keeps broadcasting.  Here’s what he shared:

“Bank Closures at an All Time High in 2008”.  Hogwash!
In 1989 there were 1,004 bank closures.
In 2008 there were 30 bank closures
On average there are 94 bank closures per year

“Foreclosure Rates Show No Sign of Slowing”.  Baloney!
During the Great Depression Foreclosure Rates were 50%
Nationally today our Foreclosure Rates are 3% (1.4% in Utah)

“States Unemployment Funds Run Low”.  Ridiculous!
During the Great Depression Unemployment ran at 25%
Nationally today our Unemployment is 7.2%

If you listen to the national news media, from television to news print, all you hear is that the sky is falling.  The sky is not falling.  It's a bit tough out there right now, but it is not nearly as bad as the news media would like you to believe.  If they don't make it sound scandalous and alarming, no one will listen and there goes their advertisers.

If you want the straight scoop about what is happening in the real estate market in Boise, Idaho, please drop me an e-mail at Tim@TimBurroughsGroup.com or give me a call on my cell phone at 208-409-7653, and I'd be happy to bring you up to date with the truth about homes in Boise, Idaho and surrounding communities.  I've been a Realtor here for 14 years and there are some good things going on here.  Please, contact me and let me share them with you.

Steve Nassar of The Nassar Group at Cosmopolitan Funding wrote recently, "The market will have already reached bottom long before economic conditions appear to be getting better."  He cited Warren Buffet, the greatest investor of our time who recently released an article in the New York Times that explained this idea and outlined a few historic examples regarding the stock market.

Warren Buffet wrote:  "During the Depression, the Dow hit its low, 41, on July 8, 1932.  Economic conditions, though, kept deteriorating until Franklin D. Roosevelt took office in March 1933.  By that time, the market had already advanced 30 percent.  Or think back to the early days of World War II, when things were going badly for the U.S. in Europe and the Pacific.  The market hit bottom in April 1942, well before Allied fortunes turned.  Again, in the early 1980s, the time to buy stocks was when inflation raged and the economy was in the tank.  In short, bad news is an investor's best friend.  It lets you buy a slice of America's future at a marked-down price."

The economy and the real estate market are cyclical.  They go up and they go back down.  But historically, regarding real estate, when they go up they do go up higher than the previous peaks.

The real estate market in Boise, Idaho, is experiencing longer days on the market and prices in most areas continuing to slide down.  If you are thinking about moving up, you may get less for your home than you thought you could, but you will also pay less for the move-up home that you want.  There are some terrific deals out in the Boise real estate market right now.  Homes that were originally purchased for $800,000 a few years ago are now being sold for $600,000 or less.  A home that was selling for $385,000 in 2005 is now selling for about $275,000.

For people wanting to buy investment property and for first-time homebuyers, this is a dream market. Boise real estate has not been this affordable in years, interest rates are unbelievably low, and there are many loan programs out there for first-time homebuyers.  If you know someone who is on the fence about buying, they should think seriously about jumping in.  Have them contact me and I can advise them if this is a good time for them to purchase or not.  You can contact me at Tim@TimBurroughsGroup.com or call me on my cell phone at 208-409-7653.

Now is a great time to buy a home in Boise, Idaho.  The real estate market is beginning to heat up as the spring buying season is just around the corner.  Below is some news about interest rates dipping to 4.875% today on 30-year fixed mortgages from the mortgage professionals at Prime Equity Mortgage.

Mortgage Market Commentary

Mortgage Backed Securities (MBS) and Treasury prices are higher this morning, the stock markets are not doing well and are down on renewed concern the global economic downturn is deepening, prompting investors to seek safer assets. The Fannie Mae 4.5% coupon is up 25 basis points — interest rates are down quite a bit today.

MBS prices spiked higher after the NY Empire State index showed manufacturing contracted at the fastest pace on record as a lack of credit and sliding sales prompt companies to trim production and slash jobs, signaling the recession is intensifying.

Not the best news for the economy, but good news for interest rates.

30 year fixed rates are 4.875% today — down from 5.25% last week

(The 4.875% rate on a 30 year fixed loan has an APR is 5.022% based on 740 FICO, and a loan amount of $350,000 with 20% down-payment or 20% equity in home on a refinance, single family primary residence.)

Dean Tucker & Shanna Wroten-Tucker, Mortgage Banker / Owner

Prime Equity Mortgage Group

2535 W State Street

Boise, ID 83702

Phone: 208-388-0500

www.PrimeEquity.com 

Bizjournals.com last week released their list of 100 top cities in the U.S. to start a new business and do business.  After their doing much research, of the top 100, our own capital city of Boise, Idaho, ranked #5.

Having done my real estate business in this area for 14 years, I whole-heartedly agree that Boise, Idaho, is a great place to live and do business.

Is a Boise housing recovery on the horizon?  In a recent article in SmartMoney, the author, Kate Klonick, says we might see a stablization by the end of 2008.  Here is an excerpt from that article:

"Should the economic stimulus plan get passed, metro housing prices could start stabilizing as early as the end of the year, according to a report from Moody's Economic.com, an independent economic research agency, released Monday (2/9/09).

An infusion of cash by the government to lower mortgage rates, curb foreclosures and create jobs could be the push the housing market needs to turn itself around, the firm's economists said in the report.  In addition, they point out that the excesses of the housing bubble have already largely been corrected, with both inventories and prices at more realistic levels.

'Notwithstanding the intensifying economic gloom, the bottom of the housing downturn is within sight for the nation, ' the economists wrote.  They noted that construction should hit a bottom by the end of the first half of this year, while new housing starts won't pick up until 2011."

If you would like to read the rest of the article, click on this link:  http://www.smartmoney.com/personal-finance/real-estate/a-housing-recovery-on-the-horizon/

Spring is just around the corner, and with it will come a flood of new homebuyers, even in this difficult Boise real estate market.  Buyers are ready to jump into the market with the low interest rates, rising rental prices, and special financing options for first time homebuyers.  If you would like a free consultation with a highly professional Boise real estate agent, please contact Tim Burroughs of the Tim Burroughs Group at Keller Williams Realty Boise.  You can drop him an email to Tim@TimBurroughsSellsBoise.com or call him directly on his cell phone  at 208-409-7653 or toll-free 800-330-8104.

We just received news from one of our local lenders, Shanna Wroten and Dean Tucker of Prime Equity Mortgage, and this is what they said:

"Last night, the Senate added a significant homebuyer tax credit to the housing stimulus plan.  Here are the key elements of the credit:

- The tax credit is for the amount of $15,000 or 10% of the purchase price (whichever is less), with the option to utilize all in one year or spread out over two years.

- The credit does not have to be paid back.

- The tax credit is available to all purchases of any home from date of enactment for one full year - no longer just a first-time homebuyer credit.

- Able to claim the credit against the 2008 tax return.

- Buyers must occupy the home for two years as their principle residence.

- Includes a two-year recapture provision (if they leave the home in two years, they lost the credit).

- Purchases of homes by investors are ineligible.

- Sunsets the previous $7,500 Housing Tax credit on the date of enactment.

- The credit is not refundable. (The $7500 credit was refundable, but had to be paid back).

The bill is still working its way through Congress - The Houe of Representatives must still neotiate with the Senate, and the House bill does not contain the credit.  So, there may be additional changes.  But, this is an important step forward."

If you would like to contact Shanna or Dean at Prime Equity Mortgage, you can call them at 208-388-0500 or visit their website at www.PrimeEquity.com.

If you are thinking of buying a home in the Boise, Idaho area at this time, and would like the assistance of a top real estate professional, I hope you'll give us a call at the Tim Burroughs Group.  Tim Burroughs is in the top 1% of real estate agents in Southwest Idaho and would be happy to help you find a great home at a terrific price. 

There are many bargains to be had in the Boise real estate market right now.  Contact us at Info@TimBurroughsGroup.com and ask for our Best Buy List.  We'll be happy to send it to you.  Or if you would like to search the entire MLS yourself, just go to www.SearchBoiseListings.com for one of the most user-friendly websites on the internet.

According to a recent article in The New York Times, written by Ron Lieber, now may be the right time to think about buying a home.  The real estate market in Boise Idaho is picking up as inventory levels have dropped. 

Here is a short excerpt from that article:

"Five or 10 years from now, when the financial crisis has ended and housing prices are up smartly once more, we will look in the rearview mirror and realize that we missed a golden age for first-time home buyers.

Then, everyone who sat on their down payment savings accounts for a few years too long will kick themselves for not taking advantage of what may turn out to be the buying opportunity of a lifetime for those who can qualify for a mortgage.

Unfortunately, we do not know when this golden age will begin, because we will be able to identify a bottom to the housing market only with the benefit of hindsight.  But as it does with the stock market, the moment will probably arrive when everyone is feeling the most pessimistic.  That moment is certainly getting closer. 

If you're hoping for a recovery in the housing market, you ought to be cheering on the first-time home buyers.  When they purchase homes, their sellers are free to move on or move up, stimulating further sales."

If you find yourself sitting on the fence, not sure if you should take the leap, I hope you will take the author's advice and see that right now could possibly be the very best time for you to jump into homeownership.  Though slower than normal, the Boise Idaho real estate market is still moving.  In the last 7 days, 99 new listings have come on the market in Ada County, 114 homes have become pending sales, and 86 home sales have closed.  In the last 30 days in Ada County, 251 home sales have closed.  Homes are selling.

If you would like expert real estate advice from a trusted real estate professional in the Boise area, please give Tim Burroughs a call.  An experienced agent with a proven track record, Tim sold more than 30 times as many homes in 2008 as the average Ada County Realtor.   Tim Burroughs can be reached at 208-938-8800 or Tim@TimBurroughsSellsBoise.com.