Buying or selling a home is a significant financial and emotional investment, and having a competent and trustworthy realtor to guide you through the process is crucial. However, sometimes things don't work out as planned, and you may find yourself in a situation where you want to switch realtors. The good news is that, in most cases, you can switch realtors. Here's what you need to know.

The first step in switching realtors is to determine why you want to make the change. Perhaps your current realtor is not meeting your expectations, is not communicating effectively, or is not available when you need them. Whatever the reason, it's essential to have a clear understanding of why you want to switch and what you're looking for in a new realtor.

Once you've identified the reasons for wanting to switch, the next step is to communicate with your current realtor. Let them know your concerns and give them an opportunity to address them. Sometimes, a simple conversation can resolve the issue, and you may not need to switch realtors after all.

If your concerns are not addressed, and you still want to switch realtors, the next step is to review your contract. Most real estate contracts have a clause that outlines the terms of the agreement between you and the realtor. It's important to review the contract to understand your obligations and any penalties for terminating the agreement early.

If you decide to switch realtors, you'll need to formally terminate the agreement with your current realtor. This can typically be done by sending a letter or email to your realtor, stating that you're terminating the agreement and the reasons why. It's important to keep a copy of the letter or email for your records.

Once you've terminated the agreement with your current realtor, you're free to work with a new realtor. It's essential to find a realtor who meets your needs, has experience in the market, and is someone you feel comfortable working with. Be sure to ask for referrals and read reviews before making your decision.
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In conclusion, switching realtors is possible, but it's important to communicate your concerns with your current realtor and review your contract before making any changes. Working with a competent and trustworthy realtor can make all the difference in the home buying or selling process, so take the time to find the right fit for you.

If you're planning to buy or sell a home, you may have heard about closing costs. Closing costs are fees associated with the purchase or sale of a home that are typically paid at closing. One question that often comes up is whether realtor fees are included in closing costs. Here's what you need to know.
Realtor fees are not typically included in closing costs. Realtor fees, also known as commission, are paid by the seller of the home, not the buyer. The amount of the commission is usually a percentage of the sale price of the home and is negotiated between the seller and their real estate agent.
While realtor fees are not typically included in closing costs, there are other fees that may be. Some common closing costs include:

1. Loan origination fees: These fees are charged by the lender to cover the cost of processing and underwriting the loan.
   
2. Appraisal fees: An appraisal is typically required by the lender to determine the value of the home. The cost of the appraisal is usually paid by the buyer.
   
3. Title search and title insurance: These fees are charged to ensure that the title to the property is clear and that there are no outstanding liens or claims against the property.
   
4. Home inspection fees: A home inspection is typically required by the buyer to identify any issues with the property. The cost of the home inspection is usually paid by the buyer.
   
5. Recording fees: These fees are charged by the government to record the transfer of ownership of the property.
   

It's important to note that the exact closing costs can vary depending on a variety of factors, including the location of the property, the type of loan, and the specific terms of the sale.
If you're a seller, it's important to factor in realtor fees when determining your asking price for the home. If you're a buyer, it's important to budget for closing costs in addition to your down payment and other expenses associated with buying a home.
In summary, realtor fees are not typically included in closing costs. If you have questions about the specific fees associated with buying or selling a home, it's always a good idea to consult with a local real estate professional who can provide guidance and advice.

f you're considering buying or selling a home in Arizona, one of the first things you'll likely want to know is the current state of the housing market, including home prices. While home prices can vary significantly depending on the location and other factors, here's a general overview of home prices in Arizona.

According to Zillow, as of March 2023, the median home value in Arizona is approximately $365,000. However, it's important to note that this is an average and home prices can vary widely depending on the location. For example, the median home value in Phoenix is around $360,000, while in Scottsdale, the median home value is closer to $650,000.

The cost of living in Arizona is relatively affordable compared to other states, which can be a significant draw for those looking to relocate. Arizona also offers a wide range of housing options, from urban apartments to sprawling suburban homes and rural properties.

One factor that can impact home prices in Arizona is the state's economy. Arizona's economy has been growing steadily in recent years, with a low unemployment rate and strong job growth in industries like healthcare, education, and technology. Additionally, Arizona's warm climate and natural beauty continue to attract retirees and vacationers, which can also impact the housing market.

Another factor that can affect home prices in Arizona is the state's real estate market conditions. For example, if there are more homes for sale than buyers, this can lead to a decrease in home prices. Conversely, if there are more buyers than homes available, this can lead to an increase in home prices.
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Overall, while home prices in Arizona are on the rise, the state still offers affordable housing options compared to many other areas of the country. If you're considering buying or selling a home in Arizona, it's always a good idea to consult with a local real estate professional who can provide insight into the specific market conditions in your area of interest.

The housing market has been a hot topic in recent years, with home prices soaring to record highs. However, with the ongoing COVID-19 pandemic and its economic impact, many are wondering if the trend will continue or if home prices will go down in 2023.

First, it's important to understand the factors that affect home prices. Supply and demand are the primary drivers of home prices. When there are more buyers than available homes, prices tend to rise. Conversely, when there are more homes than buyers, prices tend to fall. Other factors that can impact home prices include interest rates, economic conditions, and government policies.

So, will home prices go down in 2023? It's difficult to predict with certainty, but there are a few factors that could contribute to a potential decrease in home prices.

1. Oversupply of homes: The COVID-19 pandemic has led to a surge in new home construction. While this has helped to address the shortage of homes in many areas, it could also lead to an oversupply of homes if demand does not keep up. If there are too many homes on the market and not enough buyers, prices could decrease.
2. Rising interest rates: Interest rates have been at historic lows for several years, which has helped to drive up demand for homes. However, if interest rates start to rise, this could make mortgages more expensive and deter some buyers. This could lead to a decrease in demand and potentially lower home prices.
3. Economic conditions: Economic conditions can have a significant impact on the housing market. If the economy experiences a downturn, this could lead to job losses and decreased consumer confidence, which could result in a decrease in demand for homes and lower prices.

While these factors could contribute to a potential decrease in home prices, it's important to note that the housing market is complex and affected by many variables. Additionally, certain areas may experience different trends than others. Some cities or regions may see a continued increase in home prices, while others may experience a decrease.
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Ultimately, it's impossible to predict with certainty what will happen to home prices in 2023. However, it's always a good idea to stay informed about market trends and consult with Andrew if you're considering buying or selling a home.

As a real estate agent in Phoenix, Arizona, I am often asked whether the costs associated with buying a home are tax deductible. The answer to this question is not as straightforward as you might think.
First and foremost, it's essential to understand that the tax laws surrounding home buying costs are subject to change, and you should always consult with a tax professional to ensure you're making informed decisions. However, as of 2021, here are some of the home buying costs that may be tax deductible:

1. Mortgage interest: One of the most significant tax deductions for homeowners is the mortgage interest deduction. This deduction allows you to deduct the interest paid on your mortgage from your taxable income, potentially reducing your overall tax bill. To claim this deduction, you must itemize your deductions on your tax return.
2. Points: If you paid points to lower your mortgage interest rate, you may be able to deduct those points on your tax return. However, there are specific requirements you must meet to be eligible for this deduction, such as the points being paid as part of the closing costs, and the loan being used to purchase or improve your primary residence.
3. Property taxes: Property taxes are also tax deductible. If you purchased a home during the year, you can deduct the property taxes you paid for the portion of the year you owned the home.
4. Closing costs: While many of the costs associated with closing on a home are not tax deductible, some may be. For example, any prepaid interest or property taxes you paid at closing may be deductible.

It's important to note that there are limits and restrictions on these deductions, and they may not be available to all taxpayers. Additionally, some deductions may only be available in certain circumstances, such as for first-time homebuyers or those who meet certain income requirements.
In conclusion, while not all home buying costs are tax deductible, there are some deductions that homeowners may be able to take advantage of. As with any tax-related question, it's always best to consult with a qualified tax professional to ensure you're making informed decisions and maximizing your tax benefits.

Are you buying or selling a home during these uncertain times? Use these tips to remain safe during the spread of COVID-19 aka Coronavirus. ​

Heeding the call of some of the largest mortgage lenders in the industry, the Consumer Financial Protection Bureau (CFPB) is moving to back the elimination of debt-to-income (DTI) requirements in mortgage underwriting.

In a letter CFPB Director Kathy Kraninger sent to Congress today, the CFPB asked to amend the Ability to Repay/Qualified Mortgage rule (ATR/QM rule) in order to remove DTI as a qualifying factor in mortgage underwriting.

This rule was created in response to the financial crisis of a decade ago as a way to prevent lending money to borrowers who might not be able to afford the loan. The ATR/QM rules includes eight separate borrower qualifications that lenders must examine when approving a loan. The rule includes things like verification of income, credit history and DTI, among others. The only portion the CFPB is asking to amend is the DTI requirement as a powerful coalition of lenders deems the rule unfair and constraining.

In September, a group of lenders and industry groups, including Wells Fargo, Bank of America, Quicken Loans, Caliber Home Loans, the Mortgage Bankers Association, the American Bankers Association, the National Fair Housing Alliance, and others, sent a letter to the CFPB, asking the bureau to remove the 43 percent DTI requirement on both prime and near-prime loans.

One reason for the request is that GSEs Fannie Mae and Freddie Mac are not subject to this rule, under a condition called the “QM Patch.” This patch allows loans sold to Fannie and Freddie to exceed the 43 percent DTI requirement, which some lenders say is unfair for those loans backed by private capital.

The 43 percent DTI rule also doesn’t apply to government-insured loans such as FHA, VA or USDA mortgages.

The Risks of Eliminating DTI Requirements

During the height of the financial crisis, in 2008 and 2009, some 3 million foreclosures were filed each year. As a way to prevent another catastrophe, the Dodd-Frank Wall Street Reform and Consumer Protection Act was enacted, which created the CFPB.
Although the economy has recovered, some argue that easing important lending safeguards could pave the way for problems in the future.

“Eliminating debt-to-income ratios from underwriting guidelines will result in more loans to consumers with already heavy debt loads and is reminiscent of Congress requiring Fannie and Freddie to buy more subprime loans. That didn’t end well,” says Greg McBride, CFA, Bankrate chief financial analyst.

McBride says that the DTI requirement has long been a standard in borrowing, so removing it outright could mean a free-for-all in the mortgage lending space.
“The 43 percent DTI standard came about after the goal posts were moved from the previous, long-held standard of 36 percent,” McBride says. “Now they want to just take the goal posts off the field altogether.”

Although DTI is an important measure in determining a borrower’s ability to repay a loan, McBride points out, it’s important to understand what’s behind the number. For instance, two people might have the same DTI but a very different financial profile.

“Take two different borrowers, each with a 43 percent DTI,” McBride says. “One has a monthly income of $10,000 and the other just $4,000. The higher income borrower has $5,700 remaining after monthly debt obligations whereas the lower income borrower has just $2,280 left over. Through that lens, the lower income borrower might look riskier than a higher-income borrower with more financial wiggle room.”
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Source: BankRate.com