Real Estate Guide

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Real Estate Matters

www.realtyguide.com • Saturday, May 8, 2010 • Reporter-Herald

ILYCE GLINK TRIBUNE MEDIA SERVICES

Q

uestion: Let’s say a parent is still alive but has dementia, and the parent’s children want to sell the parent’s home. One child has power of attorney. Does the parent still have a say, or can the children just agree and sell the home? Answer: The child who has power of attorney for financial matters is supposed to do what is in the best interests of the parent, not the children. If the child with power of attorney is later sued and is found to have acted not in the best interests of the parent, there could be trouble. There are times that a parent may no longer know what is in his or her best interests. If all of the children agree on what needs to be done, and the child with the power of attorney also agrees, as long as the actions are taken in the best interest of the parent, the parent under I See GLINK/Page E7

Inside this week’s Home & Real Estate Realtor of the Week Kurt Albers, Broker Associate with Century 21 Humpal, Inc.

Will Homebuyers Checkout? Realtors, consumers remain optimistic as government tax credit ends

first-time home buyers taking advantage of the tax credit. Prudential’s survey, which polled 1,000 Americans ages 25-64 with at least $35,000 household JADE CODY fulfilled its duty, and he SPECIAL SECTIONS EDITOR income, was conducted expected home sales to during April 15-20. The remain on an upward study also found: trend. ccording to con• More than 90 percent “I think it (the tax sumers and area of consumers believe that Realtors, the effect credit) got us through the homebuyer tax credthe time period that we of the federal tax credit its have helped both firstprogram concluding will needed it to,” he said. “I time homebuyers and the feel that we’ve kind of be minimal. Consumers U.S. housing market recently surveyed by Pru- bottomed out,” he said overall. about the state of Northdential Real Estate and • Among consumers Relocation Services, Inc., ern Colorado’s real estate actually shopping for said the expiration of the industry. “Our sales have homes, 65 percent bebeen up quite a bit.” tax credit is unlikely to lieve that the end of the put off Americans lookAlbers said there was a tax credits will have little ing to purchase homes. big flood of home sales or no effect on their inThe study also noted that toward the end of the tax terest in purchasing a consumers are confident credit availability, which home. that home prices will helped to reduce the • Forty-six percent of continue to rise. area’s abundant housing consumers expect real esKurt Albers, Broker As- inventory, especially tate prices in their area sociate with Century 21 among lower priced to increase over the next Humpal, Inc., said he year, while 12 percent exhomes — likely influthought the tax credit pect prices to decline. enced by the number of

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H&RE Regional Real Estate Report REGIONAL SNAPSHOT FOR LOVELAND/BERTHOUD RESIDENTIAL Jan, 2010

Feb, 2010

March, 2010

Active Listings Previous Year Active Listings

941 970

1042 1010

1099 1099

Number of Sold Listings

57

80

126

$195,000 $236,000

$192,500 $195,000

$234,500 $220,000

Median Sales Price Previous Year Median

Average Days on the Market (ADOM) Previous Year ADOM

133 109

125 127

123 123

Year to Date Listings Sold Previous Year YTD Listings Sold

57 56

137 143

263 231

$13,173,437 $14,957,944

$19,241,626 $21,741,273

$34,334,746 $22,712,094

Monthly Volume Previous Year Monthly Volume

Page E2 REGIONAL SNAPSHOT FOR LOVELAND/BERTHOUD ATTACHED DWELLING

Research Title Insurance Titles protect buyers and sellers

Page E6

Director y Page E6

Jan, 2010

Feb, 2010

March, 2010

115 84

133 96

125 115

8

12

16

$129,500 $65,000

$146,900 $140,000

$150,000 $125,000

Average Days on the Market (ADOM) Previous Year ADOM

91 91

107 97

108 102

Year to Date Listings Sold Previous Year YTD Listings Sold

8 2

20 12

36 20

$1,103,400 $233,000

$1,868,700 $1,455,050

Active Listings Previous Year Active Listings Number of Sold Listings Median Sales Price Previous Year Median

Monthly Volume Previous Year Monthly Volume

* Updated statistics will be available after the 15th of each month.

$2,475,100 $1,130,656

Over the next five years, 79 percent expect real estate prices to increase, with 20 percent expecting that prices will increase substantially. Sarah Warnock, Broker Associate with Prudential Rocky Mountain, Realtors, said the end of the tax credit will allow a genuine healing of the market without the assistance of a government program. She said the larger issue in keeping the market flowing might be continued low interest rates. “I think the interest rates are really keeping things going right now,” Warnock said. She was cautiously optimistic when asked whether she expected rates to stay low. “Lenders have said they may go up a little bit, but it’s expected to be gradual,” she said. Rates for a 30-year mortgage dropped on Friday to 5.03 percent, down from 5.14 percent at this time last week. In a press release, James Mallozzi, chairman and chief executive officer of Prudential Real Estate and Relocation Services, said “the survey underscores the key role the federal home buyer tax credits played in stimulating residential real estate market activity and the U.S. economy.” “It also shows that most consumers believe the market has hit bottom and are more optimistic about the future.” Albers said job creation, an increase in new home construction and gains in the mid-priced housing market were paramount for keeping

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the ball rolling with rising home sales. Survey respondents agreed, citing rising interest rates and unemployment as the most important factors affecting their decision to purchase a home. Among those who have recently purchased a home, 61 percent identified low mortgage interest rates as “very important” to their decisions, more important than either the tax credit or cheaper home prices. “The tax credits clearly helped stimulate the market when consumer confidence was low and housing inventory was high,” said Earl Lee, Prudential president, in the press release. “While the tax credit expiration is a concern for many, the bigger issues now are the availability and cost of financing as well as if they will have a job. Warnock said employment is critical to the real estate industry, especially with stiffened loan requirements. As long as employment strengthens, however, she expected real estate sales to continue rising. “When one’s healthy the other is healthy,” she said. They are directly related. Lee reiterated, “While the market is picking up in terms of sales and confidence, and the majority still believe that owning a home is a good investment, the outlook for the market remains highly dependent upon the direction of the economy overall.” For more detailed information, visit www.news .prudential.com.

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Power of attorney must be in best interest of parent


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