A Random Act of being Neighborly – Taking the Lead in Protecting Your Neighborhood’s Value

I read an article today that I found fascinating.  It was just a little snippet of an article, only 4 short paragraphs.  It was entitled, “Survey:  Well-Kept Yards Most Important Factor in Determining Neighborhood Safety.”  The survey conducted by relocation.com , reported by RIS Media and sponsored by Lowes, found that,  ”75% of Americans believe the most important factor in determining a neighborhood’s safety is the up-keep of surrounding homes, especially the front lawns.”  The Chairman and Founder of Relocation.com was quoted as saying, “It’s interesting to see how home buyers determine neighborhood safety based on the neighborhood’s appearance and not as much based on police statistics or crime reports.” As a Realtor® who happens to have a foreclosure or two in my own neighborhood, I couldn’t help but think how the increase in distressed homes in our neighborhoods is a variable that we can’t control.  What used to be an anomaly, has become the norm.

For a couple of years the government has been trying to stop the downward spiral that is our housing market.  The government has infused billions of dollars into housing programs, kept interest rates low, shored up the banks making real estate loans and offered cash incentives for home buyers.  Yet, we still find that foreclosures top the news on a daily basis and that more and more people are either being forced out of their homes or are voluntarily walking away from homes.  The phenomenon is no longer something we hear about on the news, but one we drive through everyday on our way to work as we exit our neighborhoods…. our very own neighborhoods.

So what about our neighborhoods?  What about the value of our homes? What about those homes that sit with the lawns overgrown, leaflets stacking up at the front door, empty driveways and that eerie sense of abandonment we drive past everyday?   My Grandmother used to say that asking the right questions was often the beginning of the finding the right answer.  If my Grandmother was right ,and she almost always was; the internal questions we ask ourselves as we drive past these abandons homes could be the key to the solution.

When is the government going to fix this housing crisis so my housing value stops free-falling?

… or …

Is there anything I can do to stop the value of my homes decline?

 

When is someone going to start taking care of that home?

… or …

Is there anything I can do to take care of that home?

 

Could the answer be as simple as a random act of being neighborly?  What if you cleaned up that yard?  Maybe a neighbor seeing you work on the yard would offer to help, or maybe they might do it in a week or two?   What if neighbors took turns occasionally parking their cars on the street out in front of the home lending a ‘presence’ to the home? What if several neighbors got together and made a rotating schedule of when they would do some front yard maintenance?  [Although it irritates me to no end to have to make this side note, I must.  I am not a lawyer and I can't give legal advise - but you do need to have a property owner's permission before trespassing or working on another's property and you do need to be aware of the fact that there might not be any kind of homeowner's insurance policy on that home. Don't give up easily though, contact some local authorities to see if there is a way you can work around such a dilemma.  Is there a neighborhood task force that the City helps underwrite and insure to clean up these properties?  If not should there be one...hint, hint, hint? Contact the bank that own the property, contact the local health department if there is garbage left, see if a local boy scout troop could do a clean-up....Let's think outside of the box folks, this is important.  There, done - now back to the benevolent spirit of this post]

Starting with abandoned homes is a great first step, but let’s take it a step further, a BIG step further.  What about those homes in your neighborhood where there are still people living in them and you see them start to deteriorate?  Oouch, that is a lot harder.

We had a home in our neighborhood that has always been maintained start to go into dis-repair.  I knew something must be going on because for 6 years the home had always been maintained.  My gut reaction was that I needed to check in with these neighbors and see if everything was OK; but then I immediately started talking myself out of it.  They might think I am being nosy, what if they think I just want to gossip to the other neighbors? What about their privacy?  What business is it of mine?  We had only ever chatted about our kids and the weather….I took a risk and called them up and as non-threatening as I could be, asked them if there was anything I could do to help.  I let them know that my attention was not to intrude, but that if they had some kind of need that I might be able to help with, I would sure like to know about it so I could help.  They were so relieved that I had asked. I was a little shocked at how relieved they were.  What followed was an hour-long conversation and several follow-up conversations after that.   It turned out that in fact there was something I could do to help, and 4 months later that yard looks better than it has in years.  Their mailbox has been replaced, the yard looks fantastic and those neighbors of mine have some hope again and they are taking pride in their home as they once had.  It made me feel really good.  The government couldn’t help my neighbors out, but I could and in doing so, I helped my whole neighborhood out.

I thought that worked out pretty good, so when the opportunity arose again a month later I again forced myself to take the initiative.  In another home just outside of my neighborhood I had seen an elderly gentleman struggle in and out of his car.  His whole property was in disrepair and had been for quite some time.  While I had often muttered to myself as I drove by that I wished he would clean it up, I had never stopped to ask myself, “Can he clean it up and might he need some help?”  So, I forced myself to stop one day when I saw him outside and chatted with him for a while.  I had never met or spoken with this man before.  We had a lovely conversation and I was able to at one point say to him, “You know I have been driving past here almost everyday and have always meant to stop.  You have a really large yard and I hope you don’t mind me asking if you need help with the yard or anything else?”  He very kindly told me he was,”good” and didn’t need any help.  I left feeling glad to have made the connection with him and to let him know that a neighbor cared about him.  Do you know that he was out there working on his yard not two days later with a big smile on his face?  Possibly he just needed to know that the neighbors cared and in turn that caused him to want to care about us back by cleaning up his yard a bit.  I actually have had several really good interactions with him since then and he has spotted me at the store since then and come over to say Hi and chat.  Not only did I make a new friend, but I also think that in the future if he ever does feel he needs some help, he might just be a little more willing to accept it from me or maybe feel comfortable enough to ask.

You decide... waiting for something or offering something.

I want to be a good neighbor, I love my neighborhood.  I want my kids and my family and my neighbors to take pride in our lovely neighborhood.  What starts out as a random act of being neighborly can morph into so much more.  Let’s take pride in our neighborhoods.  The responsibility for our neighborhoods start with us not the government or the banks.  Let’s start locally by loving on our neighborhoods again …. I dare you….

Tell me after reading this post… are the hands in this picture waiting for something to be given to them or are they outstretched to lend a hand to a neighborhood or neighbor in need?  You decide.

What other ways can you think of to impact your neighborhood for the good in this depressed housing market.  Please do share.

After You Close Your Arizona Home – Updating Your Information with the DMV

According to Arizona Revised Statute 28-448 a person is required to notify the Arizona Department of Motor Vehicle (DMV) within 10 days (calendar days, not business days) of an address or name change.  A violation of this is considered a civil traffic violation.  At the very least a civil traffic violation could be a hassle to get removed or could cost you a lovely Saturday in traffic school or up to a $250 fine.

There are several acceptable ways to notify the DMV of your address change.  You can do it the traditional ways by driving down to your closest DMV office, calling or mailing in your current information.  The easiest way to update your current address with the Arizona DMV is to go to their website  ServiceArizona.com

Screen Shot of Landing Page for Service Arizona

In addition to keeping your Driver’s Licence up to date, you can change your voter registration, renew your vehicle tags, obtain a duplicate Drivers License to be mailed to you, select and order personalized or speciality license plates, check on a license plate credit, obtain a ‘sold notice’ for a recently sold vechile, obtain a vehicle tab replacement and more.

I know there is a lot to think of when your are in the process of moving that is why I send all my clients an email with this link and many other useful information to make getting  their new home established as easy as possible.

Reasons a Bank Might Agree to a Short Sale

In the last 3 years I have been confronted or involved with short sales for a variety of reasons.  While most people  understand The definition of a short sale.  [A short sale is making an arrangement with the lending institution(s) that has loaned you money on your property to accept a payoff for the property that is less than what is owed on that property.]  There is still a lot of mystery surrounding the reasons a bank might allow a homeowner to do such a thing.  What reasons make a short sale a viable option to the bank?  Can anyone do a short sale?  Why do banks allow some people to sell a home for less than what is owed and not others?

Below are some reasons a bank might allow a homeowner to complete a short sale:

1. Increase in Mortgage Payment

• Interest Rate Adjustment – is the most common reason for a mortgage payment increase. 
• Increase in taxes
• Increase in Insurance

2.  Relocation

• Military Service – See the Servicepersons Civil Relief Act (SCRA) for help in some cases, but for others an unexpected mandatory extension of active duty, change in assignment, etc can cause hardship.
• Job Relocation – If you have negative equity in your home and are forced to relocate for a job.
• Incarceration – It happens.

3.  Severe Illness or Death

• Death of a Family Member or Spouse – Wage earner or not this can cause duress and turmoil in a family.
• Severe Illness of a family member – Medical bills and time taken away from earning wages.

4.  Family Status Change

• Divorce – Often involves a separation of assets and income.
• Separation – Can involve dividing income and taking on a new household
• New Family Member– This might be a newborn,  an adult child forced to move back home and that you must support financially, adult/senior parents that need financial aid or support.

5.  Loss of Employment,  Earnings or Benefits

• Termination of Employment
• Loss of benefits – Social Security, unemployment, child support, insurance payments, insurance coverage, etc…
• Business Failure
• Reduction of Income – Some employers are forcing employees to take a mandatory cut in wages or are not giving bonuses that were regular/customary.  A commission based employee or an independent contractor can also see a reduction in income.

6.  Excessive Debt

• Credit Cards
• Judgments
• Tax Liens
• Medical Bills

Now most banks are going to want to see if you qualify for a loan modification before they allow you to pursue a short sale.  Realize also that you will have to prove or DOCUMENT, with a paper trail, that you have one or more of the hardships mentioned above.  Short Sales can have legal and tax consequences that can vary from state to state so it’s always a good idea to consult an attorney and tax professional when deciding if a short sale is right for you.

Thanks for reading.