ShirLee's Homes4SaleUtah BLOG

ShirLee McGarry's Homes4SaleUtah BLOG, features great articles for consumers, homeowners and Realtors® addressing community, local, state and national real estate news. Articles also include refreshing humor to encourage smiles and support for all real estate warriors in the trenches who do stand out to make a difference in their client's lives in the exciting and challenging world of the Realtor®. Penned by Associate Broker-Realtor®,and Registered Author, ShirLee McGarry® with RealtyPath in Sandy, Utah

Wednesday, May 30, 2012

Good News...Bad News


S&P Case-Shiller Home Price Index: Good News and Bad News (Video)


Tuesday’s S&P/Case-Shiller home-price indexes show a market in which U.S. home prices are still falling, but not as dramatically as in previous months. This is good news for homeowners and home sellers since it indicates that the market is bottoming out. It’s also a sign that the housing downturn, now in its fifth year, may be approaching the end.

Nationally, the average sale price of a single-family home fell 1.9% from a year ago. Some markets, including Phoenix, showed major growth in prices, while five of them — Atlanta, Chicago, Las Vegas, New York and Portland — fell to new post-financial crisis lows.

Tuesday, May 29, 2012

Weekly Event Update in Utah

Weekly Event Update

May 29, 2012


EVENT SPOTLIGHT:

Ninth Annual Ogden Arts Festival
June 8-9, 2012
Ogden Union Station - Ogden

Ogden Arts Festival

Visual, performing and culinary artists will descend on Ogden's Historic 25th Street and Union Station for the ninth annual Ogden Arts Festival. Northern Utah's largest multi-disciplinary event will feature more than 60 regional and local artists with award-winning fine art exhibits, the Foursite Film Festival, hands-on ARTivities for all ages, live musical performances, a plein air competition and silent auction, and the popular "Taste of Downtown" culinary event.





FEATURED EVENTS:

LMFAO
May 30, 2012
Maverik Center - West Valley City
LMFAO

LMFAO is ready to take their party rock anthems on the road as Redfoo and Cherrytree Present: Sorry for Party Rocking Tour featuring LMFAO and the Party Rock Crew and Special Guests Far East Movement, The Quest Crew, Sidney Samson, Eva Simmons and Natalia Kills.



 
2012 Annual Gala
June 2, 2012
Utah Museum of Contemporary Art - Salt Lake City

2012 Annual Gala

With five amazing exhibitions, live entertainment, an artisan meal, and the opportunity to dance until midnight--the UMOCA Gala is the most entertaining party of the year!  It's an evening you don't want to miss.



Million Dollar Quartet
May 29-June 3, 2012
Capitol Theatre - Salt Lake City

Million Dollar Quartet

Do not miss the national tour of Million Dollar Quartet, the Tony Award-winning new musical inspired by the true story of four rock 'n' roll icons when it makes its Salt Lake City stop at Capitol Theatre.



Friday, May 25, 2012

Supreme Court Rules...

Fee Split Required for RESPA Violation

From NAR Legal Affairs:
Resolving a circuit split in the manner urged by NAR, the Court rules that RESPA requires a fee split of a settlement-service fee for a §2607(b) violation.

In a case involving mortgage lending but which has direct application to real estate brokerage, the Supreme Court of the United States has determined that a violation of §2607(b) of the Real Estate Settlement Procedures Act (“RESPA”) only occurs when a split of a settlement-service fee paid by a consumer to a real estate settlement-service provider is split with a third party.

RESPA §2607(b) states that “[n]o person shall give and no person shall receive any portion, split, or percentage of any charge made or received for the rendering of a real estate settlement service [involving] a federally related mortgage loan”. “Real estate settlement services” are defined as covering all services connected to a real estate settlement, including real estate brokerage services.

Three married couples (collectively, “Consumers”) received mortgage loans from Quicken Loans, Inc. (“Lender”). The Consumers filed three separate lawsuits against the Lender, alleging that the Lender had charged fees for which no services were provided and therefore the fees violated RESPA. One such charge was labeled a “loan processing fee”, while another charge was a “loan discount fee”, even though it was alleged the Lender had not provided a discount. The Consumers did not allege that the Lender had split any of these fees with a third party.

The Lender argued that because it had not split its fees with any third parties there was no RESPA violation. The Consumers asserted that a 2001 policy statement issued by the United States Department of Housing and Urban Development (“HUD”) prohibited the collection of unearned fees for real estate settlement services and therefore any of the Lender’s charges where no services were provided violated RESPA. After the lawsuits were consolidated in federal court, the lower courts ruled in favor of the Lender and the Consumers appealed.

The Court affirmed the rulings of the lower court, resolving a split among federal circuit courts of appeal. Previously, some circuits had required a fee split with a third party in order for there to be a §2607(b) violation, while others had followed the HUD policy statement and prohibited unearned fees, even when a settlement-service fee was not split with a third party.

The Court rejected HUD’s policy statement and ruled that a §2607(b) violation requires the payment of a portion of a settlement-service fee by the party collecting the fee to a third party who performed no services in exchange for the fee. Looking at the plain language of §2607(b), the Court found that this section “unambiguously covers a settlement-service provider’s splitting a fee with one or more other persons; it cannot be understood to reach a single provider’s retention of an unearned fee.” Further, the Court stated that the language used by Congress in drafting §2607(b) describes two separate exchanges, where one party receives a settlement fee and then pays a portion of the fee to a third party. Without such payment to a third party, the Court determined that there is no violation of §2607(b).

The Court found the Consumer’s arguments unpersuasive. First, the Court declined to defer to HUD’s RESPA policy statement because HUD’s interpretation was inconsistent with the plain language of the statute. The Court also rejected the argument that the consumers were the ones making the prohibited payments when they paid settlement service providers unearned fees, as Congress could not have intended to make consumers potentially criminally liable when it banned both the payment and acceptance of certain types of payments.

Finally, the Court also stated that §2607(a) and §2607(b) contain separate prohibitions, rejecting the Consumers’ argument that the two sections must be read in conjunction with each other to ban unearned fees. Section 2607(a) broadly bans kickback arrangements in exchange for referrals of real estate settlement services, whereas §2607(b) covers arrangements dividing specific settlement service payments between two parties. Thus, the Court affirmed the rulings of the lower courts.
NAR filed an amicus curiae brief, arguing that a violation of §2607(b) occurs only when a real estate settlement service provider pays a portion of a settlement service fee to a third party who performs no services in exchange for the fee.

Freeman v. Quicken Loans, Inc., No. 10-1042 (U.S. May 24, 2012).

What the Freeman decision means for real estate brokerages
Suits alleging a violation of Section 8(b) of RESPA have been brought against real estate brokerages that charge consumers a flat fee in addition to a percentage-based commission. The first such suit, decided in 2009 in the case of Busby v. JRHBW Realty, Inc. d/b/a Realty South, sent shock waves through the brokerage community. In that case the court found that a fully disclosed administrative brokerage commission paid by a buyer violated Section 8(b) of RESPA because it was not sufficiently related to any specific service performed for the buyer’s benefit and could not be justified by the entire array of services provided to the buyer. In essence, the court found that a price increase violated RESPA merely because it was imposed as a flat fee added to a percentage-based commission as opposed to the brokerage simply charging a higher percentage-based commission. In spite of the fact that the ruling defied logic and was contrary to the language of the statute, other cases alleging the same violation soon followed, with equally troubling results. Today, in light of the unanimous Supreme Court ruling, such fees do not violate Section 8(b) of RESPA unless the broker who is paid the fee splits it and pays a portion of it to a third person outside of the brokerage firm who provides no services in exchange for the fee.

Today’s decision has no impact on any state laws that prohibit charging an administrative fee. Likewise, the decision does not in any way alter RESPA’s prohibition against the payment by a broker of anything of value in return for the referral of business to the brokerage.
Short message on the case from NAR President Moe Veissi.


Wednesday, May 23, 2012

Existing Home Sales, Median Price Increase of 10%!

National Association of Realtors breaking news: Sales of existing U.S. homes rose in April!



Just the facts:
* Purchases increased 3.4 percent to a 4.62 million annual rate.
* The median price jumped by the most in six years.
* The median price of an existing home climbed 10 percent to $177,400 from $161,100 in April 2011.
*  This was the biggest year-to-year gain since January 2006 and reflected a seasonal mix in demand toward bigger houses and fewer distressed sales. Note: there were fewer distressed homes for sale (REOs). That DOES NOT mean there are fewer distressed homes that must be sold.
* Inventory has increased. The number of previously owned homes on the market climbed 9.5 percent to 2.54 million.
* At the current sales pace, it would take 6.6 months to sell those houses compared with 6.2 months in March.
* Sales of existing single-family homes increased 3 percent to an annual rate of 4.09 million.
* Multifamily properties, including condominiums and townhouses, rose 6 percent to a 530,000 pace.





Thursday, May 17, 2012

Lots of New Business Downtown SLC Utah



"New Business Openings
in Downtown Salt Lake City"

 
04.17.2012
OPENING SOON:
  • Eborn Books - 254 South Main Street, moving to former Sam Wellers location, Coffee Garden is staying in its current location.
  • JMR Chalk Garden - moving into the former See's Candies space in the Crandall building on the corner of 100 South Main Street.
  • Starbucks - moving into the ground level of Crandall Building on the corner of 100 South Main Street.
  • Grilla Bites - Natural & organic soups, salads and sandwiches, opening on Gallivan Avenue this spring.
  • Bangkok Terrace - Thai restaurant, opening on Gallivan Avenue this spring.
  • Called to Surf - Modest swimwear and activewear for water related sports, Utah Co. store opening 2nd location at The Gateway, late spring.
  • La Jolla Groves - restaurant serving healthy American cuisine opening early summer at The Gateway.
  • Blickenstaff's - Vintage toy and candy shop, opening early summer at The Gateway.
  • Malawi's Pizza - restaurant serving Pizza's, salads & pasta, opening early summer at The Gateway.
  • Co2 Café - restaurant opening in the former Deseret Lounge space at 323 South Main Street - opening mid summer.
JUST OPENED:
  • Shapiro Luggage - moving back downtown into the US Bank building at 170 South Main Street.
  • Manhattan Finds - Upscale consignment shop, opening in the former Souvenir Stop location at 149 South Main Street - opened March 22, 2012.
  • The Gateway - Several new merchants opened in March 2012: Bettie Page, Epic Board Shop, Francesca's Collection and G-Star Raw.
  • City Creek Center - Opened Thursday, March 22, 2012. See full list of stores and restaurants here.
  • Questar moved operations into their new building at 333 South State Street in late March 2012.
  • Mountain America Credit Union - moved into the retail level of the new Questar Building in mid March 2012.
  • Pallet - Contemporary American Bistro - 237 West 400 South next to The Rose Est. coffee shop, opened in February 2012.
  • HARMONS - Opened February 2012 on the corner of State Street and 100 South.
  • Ray's Barber Shop - Opened a second location at 154 South Main Street in early March.
  • 10,000 Villages - Featuring fair-trade products from 130 artisan groups in 38 countries, opened at 120 South Main Street on Feb 6, 2012. 
  • Café Metro - coffee shop & café in the lower level of the Metro Condos at 350 South 200 East, opened mid-January 2012.
  • Plum Alley- a new Asian-inspired restaurant by the owner of Copper Onion in the former Sicilia Pizza location at 221 East Broadway (300 South) - opened in January 2012.
  • Roula's Café - Moved from the Questar building into former T's Grill location in the lobby of the Ken Garff building at the corner of 400 South Main Street.
OPENED IN 2011:
  • Southam Gallery - moved from Broadway to a new location at 152 South Main Street in late fall.
  • Beckett & Robb - Men's custom clothier opened at 150 South Main Street in late fall.
  • Twisted Roots - Reggae Clothing for Men, Women and Children, located at 156 South Main Street, opened this fall
  • The Leonardo - Science and Technology Arts Museum in the former library building at 209 East 500 South, opened October 8, 2011.
  • Toasters Deli opened a third location in the lobby of the building on 215 South State Street (formerly Anthony's Deli).
  • Sicilia Pizza moved to their new location at 35 West 300 South in early fall.
  • Zy: Upscale American restaurant specializing in wine and cheese- opened in late July in the former Five Star restaurant location at 268 South State Street.
  • Blooms & Co. floral moved into newly remodeled building at 357 South 200 East in August.
  • Michelangelo Ristorante opened a second location in the former Vienna Bistro location at 132 South Main Street in August.
  • Maxwell's East Coast Eatery opened in early July on the main floor of the Boston building at 357 South Main Street.
  • EZ Pawn - opened at 235 West 400 South in July.
  • Bourbon House Pub - 19 East 200 South in the old Monks House of Jazz location - opened early June.
  • Inferno Cantina - opened in the former SandBar location on Pierpont Ave. in mid April.
  • ONE Nightclub | Lounge - in the former Quantum Ultra Lounge location at 180 West 400 South - opened in April.
  • JoS. A. Banks: National men's clothing retailer - 136 South Main Street in the old Alpha Graphics space in the Kearns Building - opened April 15.
  • Wasted Space Bar: 342 South State Street - opened in the former Uprok location next to the Pie Hole in January 2011.
  • Pie Hole: New York style pizza by the slice. - 344 South State Street - opened in January 2011.
  • Washington Square Café: in the basement of the City County Building has opened under new management in January 2011.
  • Bar X at 155 East 200 South has been remodeled and reopened in January under new ownership 2011.

National Association of Realtors Midyear Legislative Meetings


Realtors(R) from across the country are meeting with legislators, public policy makers and industry leaders this week to address pressing concerns and issues that affect homeowners, aspiring homeowners and real estate investors everywhere as the Realtors(R) Midyear Legislative Meetings & Trade Expo begins.

“As leading advocates for homeownership, housing issues and private property rights, Realtors(R) come to Washington this week ready to engage on a number of pressing issues,” said National Association of Realtors(R) President Moe Veissi, broker-owner of Veissi & Associates Inc., in Miami. “Both residential and commercial real estate play important roles in our families, our communities, and our nation’s economy, and Realtors(R) want to ensure a bright future for our industry and our country.”

More than 9,000 Realtors(R) and guests are expected to attend the meetings, which run here through May 19. During the week, Realtors(R) will meet with legislators on Capitol Hill to urge action toward ensuring access to affordable financing, streamlining short sales, engaging in comprehensive secondary mortgage market reform, bolstering liquidity in the commercial and multifamily real estate market, and preserving the tax benefits associated with homeownership.

In addition, Realtors(R) are urging members of Congress to reauthorize the National Flood Insurance Program, which is currently set to expire on May 31. Millions of American taxpayers rely on the NFIP for flood protection, and NAR estimates that if the current extension is allowed to expire, 1,300 home sales will be at risk every day that the program is not in place.

Realtors(R) will also participate in sessions with a number of government officials and industry experts, including representatives from the Federal Housing Administration, Federal Housing Finance Agency, Federal Reserve Board, Mortgage Bankers Association of America, National Economic Council, and the U.S. Treasury.

One of the highlights of this year’s meeting will be a Rally to Protect the American Dream on Thursday, May 17. Approximately 10,000 Realtors(R) are expected to convene on the grounds of the Washington Monument from 9:30-11 a.m. to highlight the important role housing plays in the economic recovery. Many Realtors(R) will travel by bus from as far away as Florida, Maine, and North Dakota just to participate in the event.

“We need to keep housing and real estate first on the nation’s public policy agenda, because these issues affect all Americans,” said Veissi. “Realtors(R) are committed to working with members of Congress, regulators and industry leaders to ensure public policies and industry practices that promote responsible, sustainable homeownership and encourage real estate investment. We want to make sure that our country’s leaders, now and into the future, understand the vital role that real estate plays in both the long- and short-term health of this nation.”

For more information about the Realtors(R) Midyear Legislative Meetings & Trade Expo, visit www.realtor.org/midyear.nsf/pages/homepage .

The National Association of Realtors(R), “The Voice for Real Estate,” is America’s largest trade association, representing 1 million members involved in all aspects of the residential and commercial real estate industries.

Information about NAR is available at www.realtor.org . News releases are posted in the website’s “News and Commentary” tab.