Los mejores vecindarios en Colorado Springs: Edición Northgate

Para continuar con esta serie, exploraré más vecindarios en el área de Colorado Springs. Como ya sabrás, Colorado Springs es una ciudad única con muchos lugares interesantes para visitar y vivir. Esta semana me enfocaré en otro de mis vecindarios favoritos: Northgate. 

Location

Northgate is located in the northern part of Colorado Springs. For those of you that read the last issue and know about Briargate, Northgate is north of the Briargate area, in fact, it’s named for the closeness to the Northgate of the United States Air Force Academy. The area is in the 80921 zip code. This neighborhood has been developing quickly in the recent years. In Northgate you will find larger, newer homes in close proximity to a wide variety of entertainment, restaurants and shopping. This neighborhood has easy access to the major roadways. You can easily get to Interstate-25, Powers Blvd, and Highway 83.

School District

Northgate is located within the very popular Academy School District 20.  Academy School District 20 continues to be one of the most sought-after school districts in Colorado Springs.

Night Life

Northgate is a fast growing area that offers a wide range of entertainment, shopping and restaurants. It’s easy to see why this neighborhood is quickly becoming a top favorite in Colorado Springs. From having two locations for movie theaters to boasting the popular Top Golf, Overdrive Raceway (Indoor Kart Racing), Bass Pro Shop and Boot Barn Hall at Bourbon Brothers (a wonderful venue to see an event or concert) you will not have to look far to find a fun activity to participate in. In fact, even the Scheel’s department store is a place for entertainment as inside you will find a 65 foot ferris wheel and 16,000 gallon saltwater aquarium tank that is definitely worth a visit. Northgate is only about 15-20 minutes from downtown, so if you do have a desire for a night out in downtown, it is very easy to hop on I-25 and be in the middle of Colorado Springs in no time at all. Another positive to living on the north side of Colorado Springs is being that much closer to heading north to Denver. Hop on I-25, head north and you will be in Denver in a short time; however, with all of the fun places to visit in Northgate, you will hardly have the desire to go anywhere else.

Other Recreation

You may already know that another one of my favorite things to do is to find a good hiking trail.  If you haven’t seen it yet, check out my other blog article about the best hikes in Colorado Springs. Now, you may have heard about the Santa Fe Trail… but did you know you can access this trail from the Northgate area? It is a unique entrance that can be found as you go through a tunnel underneath I-25. Be careful in the winter months, as there tends to be a good deal of ice and snow in the tunnel. This is another adventure that I highly recommend whether you are in the mood for a hike or bike ride, the Santa Fe Trail is always a good one!

Northgate is also where you can find The Club at Flying Horse. Flying Horse has a legendary private 18-hole golf course. You can also find fabulous dining, athletic club and a spa at Flying Horse. As a guest of the lodge, you have access to these services.

If Flying Horse isn’t the place for you, how about The Great Wolf Lodge? Also located in Northgate, this hotel and indoor water park is surely to be a hit with the kids and a place you will want to return for vacations, or a stay-cation, for many years to come. At the Great Wolf Lodge you are literally steps from more fun activities such as laser tag, bowling and movies at The Summit Interquest.

Did I mention the restaurants in the Northgate area? You may have heard about the Grand Openings of In-N-Out Burger and Whataburger… It’s all true… people were waiting in the drive thru lines for hours and hours as the lines wrapped around the block. There are at least 5 fabulous places to stop for a great hamburger in the Northgate area, plus you can find just about any type of food you’re craving. As I said before, you won’t have to look far to find many fun activities in Northgate.

Conclusion

Northgate is an incredible place to live or visit and growing in popularity everyday. Having lived in Northgate for more than several years myself, I highly recommend this neighborhood in the northern part of Colorado Springs. You will find great people, great food and great entertainment.

Los 7 mejores consejos para vender casas en el otoño

Selling a home in fall has unique challenges: there is less natural light and fewer daylight hours, most yards require more maintenance, and many people’s schedules are busier. But fall can be a great time to sell as well! With the right approach, you can turn many of these challenges into advantages. 

For example, there are generally fewer buyers and sellers in fall than in spring and summer, but those looking at homes are often shopping with more serious intent to buy. Additionally, a quieter housing market means processes like loans and inspections can happen faster. Here are some dos and don’ts for selling your house in the fall.

1. Make your house look inviting

When the weather can’t be counted on to beautify the property for you, some things that increase your house’s appeal as potential buyers arrive and enter include: landscape lighting, a clear driveway and paths, a warm, light, mildly fragrant interior, clean walls and windows, working drains, gates, and doors. 

2. Do visual touch ups inside and out

A clean yard is a must: rake leaves, collect loose sticks and debris, trim branches and bushes, mow the lawn. Consider spreading fresh mulch or laying turf, as these can make your yard pop.  Inside, clean and dust surfaces, recaulk, have carpets cleaned, replace air filters. In colder months, a clean and dry interior is even more important.

3. Photograph and show the house in good light

Spring is the best time of year for natural light, so consider photos of the property from earlier in the year if you have them. If you need new photos, pick a time with bright, even lighting, like a thinly overcast afternoon. The quality will be worth it to pay a photographer if you aren’t comfortable with cameras and lighting. For showings, maximize interior light, let in as much natural light as possible, set up additional lamps in dark spaces. If you decide to hire a realtor, often times the realtor will include professional photos in the services they provide at no charge to you.

4. Check the chimney, fix the furnace

Make sure your home’s heating system is working well and has clean filters and vents, so that you can keep it at a comfortable temperature with fresh air for showings. 

5. Hire a realtor

You increase your chances of selling your house when you price it right for the market, which means knowing the value of the property, and whether you’re in a buyers, sellers, or balanced market. A good real estate agent will help you price your home to sell without accepting a lowball offer. Here are some more reasons to hire a realtor. 

6. Feed prospective buyers’ imaginations

Help your house’s future owners envision themselves entertaining guests and celebrating holidays in the space by arranging furniture for group conversation and decorating tastefully. Making your space look and smell cozy is a great way to complement the natural beauty of autumn, but showing your house’s year-round appeal in October means not putting up the Halloween decorations all over the yard. Avoid holiday-specific decor, but embrace the season; arrange seating areas for conversation, not TV viewing. If the house has a gas or electric fireplace, that can be a great way to embellish fall ambience. Heating some cinnamon or pumpkin on the stove or burning a lightly scented candle can enhance this effect. 

7. Be flexible and stay on top of it

School, vacation, weather, and holidays increase pressure on schedules in autumn, so being flexible with meetings and your closing date can help. Keeping up with yard maintenance is important, as leaf and debris accumulation reduces the house’s curbside appeal. Keeping the space well lit and heated for showings will increase your chance of selling. 

With these tips and persistence, you can sell your house at a good price in the fall. 

¿Qué tan seguro es Colorado Springs?

Ubicación, ubicación, ubicación es un cliché en bienes raíces por una razón. Al comprar una casa, es importante comprender el vecindario donde está comprando la propiedad. La mayoría de la gente está interesada en la calidad de las escuelas de los alrededores, la seguridad y el entretenimiento cercano. Usted mismo probablemente esté haciendo una investigación similar. Para encontrar esta guía, es posible que se haya preguntado: ¿Qué tan seguro es Colorado Springs? ¿O cuáles son los suburbios más seguros de Colorado Springs? En esta guía, responderemos a la pregunta: ¿Colorado Springs es peligroso y veremos algunas formas de mantenerse seguro en una ciudad?

Is Colorado Springs Safe?

Let’s jump right to it, is Colorado Springs a safe place to live? Any reasonable person knows that there is never a guarantee of safety even in the safest places. With that being said, Colorado Springs is not a dangerous place. According to the 2022 crime statistics. Colorado Springs is slightly above the national average for crime with the safest neighborhoods falling far below the national average. Take a look at some of my neighborhood feature articles if you are interested in learning more about specific neighborhoods. 

Ways to Stay Safe

As long as we are thinking about potential dangers in Colorado Springs we should take a look at the dangers of living in any city and how to keep yourself as safe as possible.  Keep in mind that most of the issues with crime in Colorado Springs are related to drugs or vandalism as opposed to violent crimes. But here are some tips for staying safe in any city:

  1. Trust your gut

Have you ever gotten a funny feeling about someone or something? It might sound silly, but your subconscious can pick up on signs that your conscious mind might not be aware of.  Humans are especially good at picking up on body language and emotion, check out this article about listening to your subconscious if you want to learn more. But the basic takeaway is that if something feels off, trust your instincts and get out of there. It is always better to be safe than sorry. 

  1. Put your phone away – look up and pay attention

A lot of staying safe in a city depends on simply being aware of your surroundings. If you pay attention to what is happening around you, you can avoid a lot of sticky situations. An additional reason to put your phone away is so that you are not a target for pickpockets. Leaving valuables at home is the best way to keep them safe. The second best option is to keep them out of sight. Afterall, it is far easier to steal valuables that you know are there.

  1. Plan your route and tell someone where you will be going

An easy way to stay safe is to simply communicate with the people who care about you. If you are going somewhere alone, tell someone where you will be going, how you will get there and check in when you do get there. My daughter used to do this when she was living in a large city. She would share her location with a friend or family member before going on a date with a new person. This gives everyone peace of mind as they know where you are, when they should expect you to come back, and where to start looking if you do not come back when you said you would. 

  1. Drive Safe!

Finally, there is a slightly higher rate of deaths from car accidents in Colorado Springs so be especially careful when driving.  Watch out for black ice and look twice for people on bikes or motorcycles. Safe driving benefits everyone whether you are in a city or on an open road. 

Main Takeaways

So what is the conclusion? Is Colorado Springs dangerous? My answer is no. As long as you are taking appropriate actions like you would in any city, you should be perfectly safe in Colorado Springs. Moreover, if you are truly concerned about it, you can check out some of the beautiful and safe neighborhoods that exist all over Colorado Springs.

Cómo ganar una guerra de ofertas por una casa

Winning Bid: 5 Tips for Closing on a House in a Seller’s Market

En el mercado de un vendedor, los posibles propietarios pueden encontrarse ofreciendo una casa por encima del precio solicitado y aún así perder frente a una oferta superior. Aquí hay cinco consejos para obtener una ventaja sobre la competencia y ganar una guerra de ofertas por una casa. 

  1. Know your seller

The first tip will help amplify the benefits of the others. Research the seller, not just the property. Have your real estate agent talk with the seller’s agent to see if the seller has something they are wanting, like post-occupancy, a quick close, excluding items like the washer and dryer… If you understand your seller’s motives, you can make them a more desirable offer. To a seller, the smoother a transaction seems like it will go, the more attractive it is. The following tips are ways you can absorb some of the risk and stress to make your bid stand out. 

  1. Offer more money… and a cash offer

What would be the most obvious answer is now one of many tools at your disposal. Although not a guarantee, bidding above asking price is a surefire way to remain competitive. A CASH offer above asking price will put your offer to the top of the list for winning the bidding war. Many mortgage lenders have programs that will have your offer considered a cash offer. It definitely is worth doing some research to see what your lender offers. When you know what options you have with your lender, then speak with your real estate agent to get an idea of what price they think the house will sell for… a top agent knows what’s happening in the current market and how far above asking price the homes are selling for. Be sure to get pre-approved with your lender before you even start house shopping!  

Consider an Escalation Clause. The purpose of an escalation clause is for your offer to increase to a certain amount above all other offers. Real estate agents must follow certain regulations and must adhere to the code of ethics when using this. Be sure to speak with your real estate professional to see what options you have in your state. This is something you will also want to speak with your lender about so that you know what amounts you can go up to. 

  1. Have Fewer Contingencies

A contingency in a real estate contract is a condition that must be satisfied before the contract can move forward, such as a home inspection or an appraisal. There are risks involved with waiving contingencies, but being comfortable taking on more risk can make your offer much more appealing to sellers. 

Deciding how much risk you’re comfortable with is a good start. Knowing what your seller wants comes into play here as well: is there a particular aspect of the contract they’re unhappy with, or another barrier you could remove? A top real estate agent will be able to discuss the pros and cons with you so that you can make the best informed decision.   

  1. Cover the Appraisal Gap

In the best case scenario your offer would be a full cash offer and no appraisal is needed, however; if that isn’t your situation, you may want to consider covering the appraisal gap. An appraisal gap occurs when the fair market value determined by the appraiser is lower than the amount you’ve offered for a home. If your offer is more than the house appraises for, and you have the cash available, this will be very desirable for the seller. If you are using a lender, make sure to check with the rules about what the lender will allow for an appraisal gap. With these tips, patience, and a little luck, you can close on your dream home!

Los mejores vecindarios en Colorado Springs: Edición Briargate

Para esta serie, exploraré los mejores vecindarios para vivir en el área de Colorado Springs. Colorado Springs es una ciudad hermosa con muchos lugares interesantes para visitar y vivir. En esta serie compararé ubicaciones, actividades, distritos escolares y mucho más. Prepárese para la guía completa de los vecindarios de Colorado Springs. Esta semana me enfocaré en un área en particular: Briargate. 

Location

Briargate is located in the northern part of Colorado Springs. The area is between the 80920 and 80924 zip codes. This neighborhood is approximately 15-20 minutes from downtown. A great aspect of this neighborhood is that it has easy access to the major roadways. You can jump on both Powers Blvd and Interstate-25, no problem. It is by far one of the most accessible neighborhoods in Colorado Springs.

School District

One of the most important parts of finding a place to live for young couples is the school district. Where you buy a home can have a massive impact on your children’s lives for years to come. With that being said, Briargate has a fantastic school district. Briargate falls in the highly-acclaimed Academy School District 20. If you aren’t familiar with the school districts in the Springs, let’s just say this is a desirable one. In fact, it is one of the most sought after school districts in Colorado Springs.

Night Life

Let’s think about things to do for fun. Now, the nightlife in Briargate itself is not anything to write home about. In fact, the most visited places in the area tend to be restaurants. There are a few places to grab a drink (Abby’s Irish Pub y Back East Bar & Grill) if you are looking for something a little more relaxed. But overall this is a pretty quiet neighborhood. I like to think of this as good news. A nice, quiet neighborhood creates a peaceful atmosphere. Plus, Briargate is only about 15-20 minutes from downtown, so if you do get a hankering for a night on the town it will be easy to satisfy. Overall, the lack of nightlife is a small factor that is easily remedied.

Other Recreation

One of the best parts of living in Colorado is being able to enjoy the outdoors. Of course there is beautiful scenery to enjoy. Hiking, biking, rock climbing and horseback riding are just a few of the most common activities for residents of this Colorado Springs neighborhood. If you are interested, check out my other blog article about the best hikes in Colorado Springs. Obviously that article only scrapes the surface of all the amazing trails in the area. If you decide to live here I highly recommend doing some exploring of the lesser traveled trails as well. 

Other outdoor activities that might grab your interest are the Pine Creek Golf Course and John Venezia Park. This golf course is one of the most premiere public golf courses in the Colorado Springs area. If you like hitting the links this just might be the place for you. The John Venezia park is also a beautiful outdoor attraction. With playgrounds, a fun water park, tennis courts, soccer and football fields, this is a kid friendly location full of summer fun. 

Public Services

In addition to the other attractions we have already covered in this article Briargate also has public services that can be convenient to have nearby. There is a main library in Briargate as well as two smaller libraries. There are also two hospitals and 2 more medical centers right in Briargate. If you were worried about health and safety, then worry no more. There are convenient ways to take care of your health needs in the Briargate community. Finally, the Briargate post office is centrally located, allowing for easy access to all your postal needs. 

Conclusions

Overall, Briargate is a great place to live. There is a reason that I chose this as my first neighborhood feature and that is because it is my favorite neighborhood in Colorado Springs. It is where I lived when each of my three children were born and I wouldn’t change a thing. Briargate truly is one of the best neighborhoods in Colorado Springs to live in. 

6 cosas que solo puedes hacer en Colorado Springs

Colorado Springs alberga muchas atracciones que no puede experimentar en ningún otro lugar. Desde puntos de referencia al aire libre únicos como Garden of the Gods y Pikes Peak, hasta un parque temático donde siempre es Navidad, museos históricos y una de las iglesias más épicas del país, hay algo nuevo y emocionante para todos. Aquí hay seis cosas que solo puede hacer en Colorado Springs.

  1. Garden of the Gods

Garden of the Gods is a designated National Natural Landmark which surveyor Rufus Cable called “a fit place for the gods to assemble” when he came upon it in 1859. The stunning landscape is now a public park that allows guests breathtaking views as they participate in hiking, rock climbing, road and mountain biking, or horseback riding across its 1,300 acres. 

  1. Pikes Peak: America’s Mountain

Just twelve miles west of Colorado Springs, the mountain the Ute Indians call “Ta-Wa-Ah-Gath,” or “Sun Mountain Sitting Big,” sits above its neighbors, Ormes Peak, Almagre Mountain, and Cheyenne Mountain, at 14,115 feet. Though initially deemed impossible to summit by the explorer Lieutenant Zebulon Pike, for whom it’s named, the mountain is now a popular spot for climbers today.  

The mountain also inspired Katharine Lee Bates’ poem that became the song “America the Beautiful” that we know today. 

  1. North Pole

Nestled in the beautiful forest at the base of Pikes Peak is Santa’s Workshop North Pole, an amusement park packed with Christmas cheer from mid-May through the holiday season. North Pole offers something for people of all ages, with over 20 rides, ranging from infant-friendly rides like the train and ferris wheel to the wild Tilt-o-Whirl. Children can visit with Santa Claus, meet and feed his reindeer, and everyone can enjoy carnival fare like corndogs and burgers, and sweet treats like ice cream and funnel cakes. 

  1. Air Force Academy

The prestigious Air Force Academy is one of the premiere military institutions in the country. It hosts events year-round from conferences and symposiums, to daily planetarium shows, to sports. Cadets compete as the US Air Force Academy Falcons on 27 NCAA Division 1 teams in sports that include football, basketball, volleyball, and hockey. 

The campus’s most famous attraction is the 150-foot all-faith chapel, which made CNN’s list of most epic churches, and features four separate chapels with separate entrances that can host worship for multiple faiths simultaneously.

  1. Glen Eyrie Castle

Glen Eyrie, an English Tudor-style castle, was built by the founder of Colorado Springs, General William Jackson Palmer, in 1871. Today it serves as a hotel and conference center. Guests can reserve tea, tours, or an overnight stay in the historic castle, which sits inside over 700 acres of stunning nature.

  1. Cheyenne Mountain Zoo

At 6,714 feet, the Cheyenne Mountain Zoo is the highest zoo in the country, with views of Colorado Springs and the mountainside. Its 140 acres are home to 750 animals, including the largest giraffe herd in North America. Visitors can meet and even hand-feed the giraffes. In 2021, the Cheyenne Mountain Zoo was rated the fourth best zoo in North America by USA Today’s 10 Best Reader’s Choice Awards.

There are many, many more of my favorite places and things that you can only do in Colorado Springs that I haven’t even mentioned yet. Do yourself a favor and check out some of these fantastic, one of a kind sites the next time you are in Colorado Springs!

Las 5 mejores rutas de senderismo de Colorado Springs

Colorado Springs es un lugar hermoso con una gran variedad de cosas para hacer y ver. Pero mi parte favorita de vivir aquí es el senderismo. Hacer senderismo en Colorado Springs es fantástico porque hay tantos lugares para visitar y tantas vistas increíbles para ver. Para este artículo de blog, lo llevaré a través de algunas de mis rutas de senderismo favoritas de Colorado Springs. ¡Espero que los disfruten tanto como yo!

Garden of the Gods Park

If you can only go on one hike while you are in Colorado Springs it should be this one. The views are breathtaking and the paths are well maintained and it’s free. This area is famous in Colorado Springs hiking, and it’s no question why. As soon as you see the rocks and famous rock formations (like the kissing camels and balance rock) you’ll understand how they came up with the name, the Garden of the Gods. It also holds a special place in my heart because it is a place I have taken my kids many times since they were old enough to hike. The paths are well maintained and mostly paved. The traffic can be a bit busy, but if you don’t stay too long at the major attractions that isn’t a problem. Finally, you can hike for as long or as short as you would like. There are trails that involve getting out of your car for less than a mile and trails that you can take around the entire park for miles and miles of beautiful views. I highly recommend this area as a great place to start your Colorado Springs hiking adventures. As far as Colorado Springs things to see, the Garden of the Gods should be at the top of your list. 

Pikes Peak

As long as we are talking about iconic areas to visit in Colorado Springs we have to talk about Pikes Peak. Pikes Peak is iconic for several reasons. Did you know that in 1893, Katherine Lee Bates was inspired to write a poem called ”Pikes Peak” that later was adapted and became the famous “America the Beautiful” song that we all know today? Another reason is that Pikes Peak is the highest point in the southern front range of the Rocky Mountains. The views from the summit are incredible but I would not blame you if you decided not to climb all the way to the top to find out. The most common trail for hikers to use is the Barr Trail which is an out and back trail that is 13 miles long one way. In fact, this trail has been used for the Pikes Peak marathons since 1956. Luckily, you can plan a shorter hike if you still want to experience hiking in Colorado Springs at this gorgeous location but aren’t ready for a full marathon. 

Red Rock Canyon

If you are looking for Colorado Springs hiking trails that are a little less busy and a little farther off the beaten path you might be interested in Red Rock Canyon. Just like the other locations I have mentioned, there are a lot of trail options so you can customize your experience to whatever difficulty level you are comfortable with. The trails in Red Rock Canyon are shorter than Pikes Peak with the average trail length being between 1.7 and 5.4 miles long. A few of the best features of this beautiful hiking trail are that it has views of Garden of the Gods and is accessible to rock climbers (with permits). Definitely a worthy excursion if you are looking for great hiking in the Colorado Springs area. 

Cheyenne Mountain State Park 

We have talked about a lot of beautiful places so far today but Cheyenne Mountain State Park has something that none of the previously mentioned Colorado Springs hiking destinations has: campsites. You can’t go wrong hiking anywhere in Colorado Springs, but if you want to be truly immersed in nature you will want to check out this new addition to the Colorado State Park system. There are over 20 miles of trails to choose from and plenty of camping spots. If you are a lover of wilderness adventures I highly recommend this Colorado Springs hiking adventure. 

Bear Creek Canyon

Let me tell you a little history before we get into Bear Creek Canyon. This area was donated by General William Jackson Palmer, along with several other Colorado State parks (Prospect Lake, Palmer Park, Monument Valley Park, North Cheyenne Canyon Park and Pioneer Square South Park). I saved this place for last because it’s less well known than most of the other destinations that we have talked about so far. If you are looking for a beautiful area that is outside of the usual tourist destinations then hiking Bear Creek Canyon is a great option for you. 

Conclusion

One of the reasons that I love living and working in Colorado Springs is the beautiful scenery. No matter where you choose to hike, bike or ride horses you are sure to have a gorgeous view. I hope you enjoy the Colorado Springs hiking trails as much as I do. Happy adventuring!

Por qué la comunidad es tan importante: Exit Realty Donation Match

Todos somos miembros de nuestras propias comunidades (familias, trabajo, vecindarios, etc.) Como seres humanos, necesitamos tener un sentido de conexión y pertenencia. En mi opinión, las relaciones son de lo que se trata la vida. Según la definición del diccionario, las comunidades son grupos de personas que viven en el mismo lugar, tienen características específicas en común o comparten objetivos comunes. A medida que nuestras propias comunidades sociales y personales cambian constantemente, lo único que permanece igual es que las comunidades son lugares a los que podemos acudir en busca de conexión, apoyo y propósito. ¿Cómo eliges estar en la comunidad y cómo eliges apoyar a tu comunidad?

Have you ever thought about why is it important to support community? I imagine at some point in your life you’ve been a volunteer and had that experience of giving back to your community. It felt GREAT, right?! Whether it is contributing several hours of your time for an event, or contributing a donation, doing something for someone else is very rewarding. Making a difference in the lives of others is an essential part to having a fulfilling, satisfying life. When you support and invest in your community, it gives you the chance to connect with others, it strengthens your community and the people in it, you gain worthwhile experience and hey… it’s good for you, your mental health and boosts your self-esteem.

I am fortunate to be part of the EXIT Realty, Corp program called “The Spirit of EXIT”. A portion of my real estate earnings are directly benefiting my local community. A portion of each transaction fee collected at each real estate closing is applied to EXIT Realty’s charitable fund. I have the choice of designating which charity I would like my contribution to go to. This program makes it possible for any EXIT Realty agent to raise funds for local, approved, registered charities and submit a proposal for those funds to be matched from the pledged pool of funds. As of the end of 2021, EXIT Realty’s “Spirit of EXIT” program has pledged more then $6.8 million to charity.

I am proud to be a part of EXIT Realty’s “Spirit of EXIT” that supports my local community! How are you choosing to support your community?

La guía definitiva sobre ejecuciones hipotecarias

As a homeowner, foreclosure is a scary subject that most of us hope we will never have to be involved with in our lives. As an investor, foreclosure might sound like a great way to get a property at a low price. No matter why you are here, for one reason or another you need a deeper understanding of the foreclosure process. That is the purpose of this article, to untangle the mysteries of foreclosure. In this article we will discuss the definition of a foreclosure, the process of foreclosure, and ways that you might be able to stop it before it’s too late. Take a deep breath and let’s dive in.

What Exactly is Foreclosure?

Before we get into all of the details of foreclosures we should do some defining. What exactly is a foreclosure? In the simplest of terms, foreclosure is the legal process by which a lender attempts to recover the amount owed on a loan that the borrower has stopped making payments on. The end result of this process can be the seizure (lender taking possession) and sale of the property which was used as collateral on the loan. Now other failures to meet the terms of the mortgage can result in foreclosure, however, the most common case is in missed payments so we will focus on that today.  

That Doesn’t Seem Fair!

You might be asking yourself, “why can they take my home from me?” The answer to that actually lies in the deed of trust contract. This contract is usually one of the many closing documents that you sign in the process of buying a home. In the contract it says that if the borrower fails to uphold the terms of the mortgage contract the lender has the right to use a property as collateral. All of those legal terms put together boil down to, if you miss payments on your mortgage, the lender or bank has the legal right to seize and sell your property.

A Few More Definitions

Another key distinction that you should be aware of is the difference between a home in foreclosure and a foreclosed home (often referred to as a real estate-owned property or REO). The main difference between these two definitions is where they are in the foreclosure process. A home in foreclosure is a property that is currently going through the foreclosure process. In contrast, a REO is a property that has been through the foreclosure process and is now owned by the lender or the bank. An REO is usually what you would be buying if you are interested in investing in foreclosed properties. It is also beyond the point of being able to stop the foreclosure process. However, homes that are in foreclosure still have a chance to put a stop to the process. 

Foreclosure By State

The foreclosure process varies greatly depending on where you live. Just to start, the process can either be judicial or non-judicial and some states have both. Here is the difference:

Judicial

In a judicial foreclosure the lender must file a lawsuit in order to initiate the foreclosure. Both the lender and the borrower must attend court for the lawsuit. If the borrower loses the lawsuit the house will go into foreclosure and can be sold at auction.

Non-Judicial

In a non-judicial foreclosure, there is no court hearing and the process is generally much faster than in a judicial foreclosure. In this instance if the borrower stops making payments the lender is able to evoke the power-of-sale clause in the mortgage or deed of trust to recoup the balance owed. This clause allows a trustee appointed by the lender to sell the home to pay off the balance. In this type of foreclosure the lender must follow the out-of-court steps that are set forth by the state and in the mortgage agreement to begin the foreclosure process.

Laws By State

There are some aspects of the foreclosure process that are consistent no matter where you are in the United States. For example, each state has laws about the lender publicly posting notices, homeowner options for avoiding the foreclosure process by bringing the loan current, and the process for selling the property. 

However, as with many things in the United States the laws on foreclosures vary significantly by state. For instance, in 22 states (including Florida, Illinois, Hawaii and New York), judicial foreclosure is the norm.  Yet, in the other 28 states (including Colorado, Arizona, California, Montana, and Texas) nonjudicial foreclosure is the generally accepted practice. Because of these differences in state laws the timeline in which a foreclosure can occur varies greatly.

How Long Does It Take?

The length of the foreclosure process varies widely depending on state laws and willingness of the lender to work with the borrower. As of 2021, the average foreclosure spends about 922 days in process. This is longer than the 685 day average back in 2020. Let’s take a look at how foreclosure timelines vary based on judicial versus nonjudicial foreclosure processes.

Judicial foreclosure states tend to have the longest foreclosure processing time with Hawaii taking an average of 3,068 days, New York having an average of 1,822 days and Indiana taking around 1,217 days. In contrast, states with non judicial foreclosure laws take significantly shorter. In Wyoming the average time is 173 days, Arizona is between 90-120 days, and Colorado takes approximately 110-125 days. As you can see, the non-judicial foreclosure process decreases the wait time from years to only a matter of months. It is important to be familiar with the foreclosure laws and policies in your state if you are ever involved in this process. However, there are a few commonalities that we can point to in the process across all states.

Timeline

Although the length of the process itself can vary greatly, in all instances the lender has certain steps that they must follow in order to claim your property. It all starts with a missed payment.

Missed Payments

The process of foreclosure all begins with that first initial missed payment. If you miss a payment on your mortgage you will receive a missed payment notice from your lender. If you fail to make the appropriate payment and you miss a second payment you will receive another notice from the lender. This notice is known as a demand letter. At this point you should start looking into financial relief options. Some that are available in the area of housing are: HUD-certified financial counseling, government mortgage relief programs and home loan modification programs. 

The good news is that often, your lender will be willing to work with you to make up the missed payments. Especially if you live in a place with judicial foreclosures, the foreclosure process can be costly and time consuming for the lender. They are only interested in recouping their losses. If they can do so without a long and costly legal process they will. It is important to explore all repayment options with your lender as soon as you can to avoid going further into the foreclosure process. 

Public Notice

If you have received the demand letter and still have not begun making payments on your loan, the next step is for the lender to give a public notice of default or to file a lawsuit with the court. This usually follows about 90 days after the initial missed payment. From that notice of default you will have 30 days to settle the payments and reinstate your loan. This 30 day period is known as the reinstatement period. After this period ends the foreclosure process begins. If you have looked into all your other options up until now, it might be time for foreclosure mediation, short refinance and special forbearance. A short refinance is when you work out an agreement for a new loan amount that is less than the outstanding balance. In this case, the lender may forgive the difference which could allow you to avoid foreclosure. In a special forbearance you can claim a temporary financial hardship (medical bills, decrease in income etc.). In this solution the lender may agree to reduce or suspend payments for a set amount of time.

Foreclosure

At this stage in the process the lender has recorded the public notice of default and the foreclosure process has begun. From here, you have 90 days to take action to avoid a foreclosure sale and eviction from the property. Your options become more limited at this stage. You can attempt to reverse the default by paying the outstanding balance on your loan. You can also try selling the property and using the equity to completely pay off the loan. You can also sell the property in a short sale or sign the deed over to the lender in a deed in lieu of foreclosure. 

Short Sale

If none of the previously mentioned options are available to you, you might consider the short sale of your home. To clarify, a short sale is the voluntary sale of the home prior to foreclosure. The reason it is referred to as a short sale is because the sale price of the property is less than that of the balance owed. In that sense it is “short” the money owed. This particular sale must be approved by the lender and if it goes through, all proceeds go to them. 

Some upsides of a short sale are that you have a little more autonomy in the sale process. You also will not receive the damage to your credit score that a full foreclosure process would cause. And there is always the chance that the home sells for more than anticipated and you might get to keep the excess money after the mortgage is paid off. 

Deed In Lieu Of Foreclosure

Another option for avoiding full blown foreclosure is a deed in lieu of foreclosure. In this instance you as the homeowner would voluntarily sign the deed over to the lender or bank. This would release you from all mortgage obligations. The lender is less likely to pursue this option as it does not recoup the losses on the mortgage and frankly banks don’t want to be in the property management business. However, if all other options are unavailable to you, this might be a worthwhile final effort. 

Auction

You have tried everything, selling the home in a short sale, making up the late payments or pursuing a deed in lieu of foreclosure and have still not been able to to avoid foreclosure. That means your property will now go to public auction. At the auction the minimum bid is usually set as the balance owed on the loan. After that, the property is sold to the highest bidder. 

Post Foreclosure

If your home was sold at auction that is the end of the road for you. You must now move out of the property and allow the new owner to do with it as they please. If the home was not sold at auction the bank is now the full owner. 

Oh No, My Credit! 

As if losing your home isn’t hard enough, here is a look at what foreclosure does to your credit score. It turns out that a foreclosure will start affecting your credit before the process even begins. Your first missed payment will likely appear on your credit report within 30 days. As we mentioned earlier, you will likely not get a notice of default until you have missed payments for 90 days. After that the foreclosure process will begin and will show up on your credit report within a month or two. Depending on where your credit score started your score can drop anywhere from 100-160 points. And here is the kicker, a foreclosure will stay on your credit report for seven years after the date of the first missed payment.

Concluding Thoughts

The process of a foreclosure is a messy and difficult process for everyone involved. The best thing to do if you are faced with a tough situation like this is to take action as soon as you can. The longer you wait, the worse everything will become. If all of this sounds too complicated (which it very well might) it never hurts to seek professional help. Having someone who knows the laws and works through these things for a living could be a great asset. Best of luck out there!

5 preguntas que probablemente tenga sobre las tarifas de REALTOR®

If this is your first time buying a home you might be a little hesitant at the thought of all the costs that are involved. Afterall, a home is expensive enough, add in closing costs, insurance, and paying your realtor and you probably have a headache already. The good news is that with the right person helping you through the process, buying a home is a lot more fun than you would expect. Today we are going to break down one of the areas of buying a home that a lot of people have questions about: How exactly does the realtor get paid?

  1. What is a real estate commission?

The first thing you need to know about how a real estate agent gets paid is that it is by commission. Basically what that means is that the real estate agent is paid a small portion of the home’s sale price after the home is sold. Quick and simple, right? One thing to keep in mind is that the real estate agent does not get paid if no one buys a home. While it is perfectly fine to visit several houses to find the right one, if you do not eventually end up buying a home your realtor will not receive any compensation for their time. 

  1. What do realtor fees cover?

Your real estate agent will be a vital part of your home buying experience from taking the time to research properties that fit your needs to negotiating on your behalf. It is quite literally your realtor’s job to use their knowledge and resources to help you. As an expert in this area a realtor makes the home buying infinitely quicker and easier. One of the largest benefits that come from realtor fees is access to the MLS or Multiple Listing Service. This service gives your agent a list of all the houses for sale in your area. Needless to say, it is an invaluable resource. To summarize, the commission or realtor fees are there to compensate your agent for their expertise, time and effort.

  1. How much is it?

When I say a small portion of the home’s sale price that leaves a lot to the imagination. What it typically looks like is approximately 5-6% of the home’s sale price. Generally, the real estate agent for the buyer receives 2.5-3% and the seller’s agent also receives 2.5-3%. Obviously this can vary based on factors such as agent and location. 

  1. Who pays?

Okay so now we know what the commission is and how much it is, but who pays it? I mentioned this in another article about why you need a realtor when buying a home, but I’ll remind you just in case you haven’t seen that article yet. Generally, the commision for BOTH the buyer’s and seller’s real estate agents comes from the home seller. That’s right, the seller. The buyer does not usually have to worry about the commission for either real estate agent. 

  1. Is commission the same as closing costs?

The short answer to that question is no. Closing costs are a myriad of fees including the down payment (usually 20%of the price of the property) , appraisal fees, title insurance, taxes, lender fees and potentially other costs. Before closing, your mortgage provider will give you a Closing Disclosure, which will outline each of your closing costs and the total due at closing. Generally, the agent’s commission is not included in that list of fees. 

Conclusions

Hopefully this guide answered all of your questions about real estate commissions/realtor fees. They are actually simpler than most people think. Basically all you need to know is that they are a way for agents to be compensated for their expertise, time and effort. They are usually a small (5-6%) portion of the cost of the house. Generally, the seller pays the commission. And of course, closing costs and commissions are different but often lumped together in the world of real estate.