Kent Simpson REALTOR®, CNS®, AHS®, RECS®

Tucson, Arizona...one of America's oldest continuously inhabited cities. We like to celebrate the new, the modern and thrive on the cutting edge of aerospace. One of the world's best equipped optics labs is the newest jewel of the campus at University of Arizona. The stunning achievement of a city at the center of space exploration is highlighted by the latest NASA Mars expedition...yet it is the ancient history that gives Tucson its soul.

Surrounded by tall buildings to the south and east, these soaring monuments to the modern downtown, banks, government offices, stylish downtown lofts, eateries, cafes and nightspots, the ruins of the Presidio de Tucson are preserved and cherished as a reminder of those who came before us. An ancient Hohokam Tribe dwelling discovered beneath the old fort gives time-honored proof that this very spot is a good one for living.

One of the blessings of life in Tucson is the blending of cultures, a celebration of life that is enhanced by recognizing and including the best of what others have to offer...melding them into something unique and special. This site seems to showcase that blend, the assimilation of variety into a harmonic coexistence that softly speaks to those who will listen: "Welcome to Tucson, see what we have to offer, and feel free to contribute."

To the north and west of the Old Presidio, old adobe buildings are well maintained and their character intact. Perhaps a law office, maybe still a family home. An 80-year old restaurant or an engineering firm. As this city evolves, pride is evident is remembering where it sprang from, and that a lot of what came from yesterday is still good today.

Welcome to Tucson. You might just want to stay for a lifetime or two.

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In today's market, short sales and foreclosures make up a sizable portion of the inventory.  Many of them have the utilities turned off to save the seller some money, especially if it is taking a while to sell...little do they know that this could possibly cost them more than they bargained for...

In Tucson, if the electric is off for 6 months or more, one must obtain a "Re-connect Permit" from the city or county before service can be restored.  It used to be that you went down to the Public Works Building, paid your $75 and an inspector would be out the next day to look at the panels, check around the house for possible major problems and give the OK to have the electric company turn on the juice...not anymore, buddy!

the home has to be brought up to standards BEFORE a permit will be issued.  No if's, &'s, but's or exceptions.

For newer homes, this isn't such an issue...but for older homes, it can be an expensive proposition for a seller already strapped for cash (or a bank holding a lot of real estate in its portfolio).  For buyers, well...who wants to put money into a home that you aren't even sure you want to buy without seeing if everything works or not?

Most of the general public doesn't know about this rule...which was implemented just this past April.

In the case that a seller cannot afford, or refuses to bring the home up to code, the house is going to sit...and sit.....and sit........and deteriorate..........and be worth less money...........become a target for vandals....................you get the picture.

The smart buyer and agent, knowing this regulation, will check the age of the prospective home AND call the utility company to see how long it has been without power before even thinking about viewing it.

The smart seller will keep the utilities on, so that their returns don't diminish even further.  Saving a few bucks now can cost a whole whale of a lot down the road a few months.  Make it possible for buyers to have solid inspections done without the hassle of having the basics turned on for a day.

Foreclosure companies can save themselves a lot of headaches down the road if they take Tom Bodette's saying to heart:  "We'll leave the light on for you!"

"Where's the bargains?" "I want to look only at foreclosures." "I hear from my friend who knows real estate that the only way to go these days is with bank-owned properties." -- an almost daily mantra heard by agents representing buyers in today's marketplace.

Great! There's plenty of them to choose from...in all shapes, sizes, neighborhoods, price ranges...and in all manner of conditions, too. Educating a client in what to expect when viewing foreclosures is key to making the experience time well-spent and not disheartening to a buyer. In a majority of the REO's that I have seen in my market, you can generally expect the appliances to be long gone. Dishwashers too. Sometimes cabinets, vanities, countertops, closet rods...you name it. Not always, mind you, but a majority of the time (that means over half the time, the coin comes up "tails" for those prone to flipping coins).

Be prepared to take into account the condition of the home when looking at whether it is a "bargain" or not. What will it cost you to bring the landscaping back from the jungle? Will that drained pool need replastering?

Will the property meet the requirements necessary for the loan? Most loans, ya gotta have a functioning oven...and that place where the dishwasher used to be?...got to put something there, too. Fridge? Not usually an issue whether it is there or not...don't ask me why, thats just the way it is.

There are lots of other things to keep in mind to protect and prepare your client when buying an REO property, too:

• No Seller's Property Disclosure Statement (SPDS) or C.L.U.E report (here's a hint...Listing Agents can get a C.L.U.E. report if you ask them)
  
• The contract that is used by the owner usually is one of their own...read it carefully & thoroughly. Contingencies and clauses usually present in your association's standard approved contracts are probably gone or worded differently. Make sure your buyer's rights and interests aren't being stripped completely.
• AS-IS: what if the roof leaks, or the electrical system is a nightmare? Will that affect the buyer's loan?
• Who provides the title insurance...and what type of policy?
• How about the utilities? Are they on, and will they be for inspections? Who is turning them on if you need them?
• Lead-Based Paint, Mold and other affidavits or disclosures need to be used if applicable.
• Inspections - don't start them until you have a fully signed, executed contract. Verbal doesn't cut it! Also make sure that the inspection period doesn't start until you have the full contract.
• Which escrow service is being used? Is it even in your town or city? (Whether the seller has the right to demand a particular escrow is fodder for another post)

Lender-owned properties can be great opportunities for finding value. The thing to remember is to always be aware before going into the "arena" with your buyer. Do your due diligence...and then some. Just because it looks like a "deal" on the MLS doesn't always mean it will be one in reality.

Preparing your buyers beforehand and watching their backs during the process is the reason they came to you in the first place. Imagine the referrals you can earn when your happy clients are showing off their new home to their friends and "the great deal their REALTOR got them" on it!

This morning, on my way to meet a client from out of town, I saw something incredible! 

I thought I'd never, ever see this again...wondering if perhaps I was seeing somebody's mistake or cruel joke instead...

During a delightful day of showing my client some of the finest horse properties in their price range that the Tucson Real Estate Market has to offer, I saw the same thing in 2 other places!

"It can't be," my mind spoke, "things have been topsy-turvy lately...but not to this extent!"

Wanna see what I saw?

Here it is...

...careful now...

Oh the joys of putting in about 20 gallons...and having enough change to avoid the "Dollar Menu" at Mickey D's!
Better enjoy it while it lasts!

Relaxing on my back porch last night as I am wont to do after a busy day (or any day, for that matter), the clouds lingering after a windy day hovered in my vista in the northeast foothills of Tucson.  Courtesy of Hurricane Norbert in the Sea of Cortez, these last wisps of the day were spectacular when lit by the moon and the glow from the city lights.

One of the best things about living in Tucson is the variety of its scenic beauty...day or night!  Enjoy.