Caroline Ruhl, President of Ruhl&Ruhl REALTORS, is pleased to announce the addition of a Burlington Office.

Ruhl&Ruhl, the largest privately-owned real estate company in Iowa, has other residential sales offices located in Bettendorf, Davenport, Cedar Rapids, Clinton, Coralville, DeWitt, Maquoketa, Muscatine and Dubuque, Iowa; and in Moline, Illinois. The Burlington Office, located at 1013 S. Central Avenue, will be the company’s 11^th office.

Doris Mosley-Johnson is Ruhl&Ruhl’s Managing Broker and Eric Schlutz is Ruhl&Ruhl’s Regional Manager.

“We are excited to open an office in Burlington so we can better serve our current and future clients in the area,” said Ruhl, adding that some Realtors from the company’s Muscatine Office had already been working in the Burlington market.

The company belongs to 12 different Multiple Listing Services and properties for sale in all these markets are available to the public on their website at RuhlHomes.com. The 280 agent company has been serving families in the region since 1862 and Caroline Ruhl is the 4^th generation of Ruhl’s to lead the organization. Her son, Chris Beason, the manager of the company’s Maquoketa and DeWitt offices, is the 5^th generation.

The people at Ruhl&Ruhl are committed to making the home buying and home selling experience easy, fun and hassle free. “Our clients need sales associates they can trust who will be their knowledgeable advocates, guiding them through the home sale or home purchase process. Our people really care about our clients and strive to exceed expectations. At Ruhl&Ruhl, our people are the difference,” said Ruhl.

The public in Burlington is already somewhat familiar with Ruhl&Ruhl because the company’s Real Estate Today TV Show airs daily on KWQC at 6:55 am, just before The Today Show on NBC.

In addition to residential sales, Ruhl&Ruhl specializes in relocation services, working with top companies such as Cartus, Primacy, Prudential and SIRVA. The company manages many foreclosure properties for HUD and FNMA – and their foreclosure inventory can be accessed online at RuhlHomes.com/Foreclosures. Ruhl&Ruhl also offers services in real estate investments, new home sales, land development, builder services, farm sales, senior services, property management, home vendor services, mortgage services through 1862 Mortgage and insurance services through the Nelson Ruhl Agency.

 Ruhl&Ruhl is a family-owned company that annually sells nearly 3,800 homes in eastern Iowa, western Illinois and southwestern Wisconsin. The company started in a little German grocery store in west Davenport, Iowa, from which insurance and real estate also were sold. Now, Ruhl&Ruhl has grown to more than 280 sales associates, 52 employees and 11 offices, yet their commitment to providing service with quality, value and integrity remains firmly rooted.

 For more information on Ruhl&Ruhl, visit our new office at 1013 S. Central Avenue, Burlington, Iowa, call 319.752.9933 or visit us online at RuhlHomes.com.

 “Housing is more affordable than it’s been in a generation. I think it is a good time to become a home owner because it’s so affordable today compared to where it’s been for generations,” stated HUD Secretary Shaun Donovan.  This is a great time to buy in our region – and here is why:

1. Our Region’s Real Estate Market is healthier than the rest of the country.  Take a look at how our 4 MSA’s (Metropolitan Statistical Areas) compare to the 309 MSA’s that HUD tracks on page 7. Based on appreciation over the past 5 years – we rock!

Percent Change in House Prices in 5 Years:

Cedar Rapids              + 2.73 %

Quad Cities                 + 6.35 %
(Davenport, Moline, Rock Island)

Dubuque                     + 8.51 %

Iowa City                     + 3.68 %

USA                                17.5 %

2. Inventory is up, including many foreclosure properties (REOs).  As shown in our Real Estate Activity Chart on page 2, the number of properties available for sale is up in most of our markets. Foreclosure properties have been especially attractive to investors, as they sell on average at a 35.1% discount from market value according to Realty Trac who tracks foreclosure sales. This is problematic to property values in the neighborhoods of foreclosure sales, as it pulls down their values. Hence we urge sellers to attempt to work out a short sale with their lenders instead, as these typically sell for 9.5% below market value, and do less damage to the seller’s credit and less damage to the neighboring property values. Typically, homes sell for 94% – 97% of their list price. This varies by market, Ruhl&Ruhl REALTORS currently has 62 foreclosure properties listed for sale. They can be seen on our website at RuhlHomes.com/Foreclosures.

 Additionally, we are managing 59 more properties in the process of foreclosure, and have 41 foreclosure properties under contract but not yet closed. Interestingly, about 22% of Ruhl’s buyers this year have paid cash, many of whom are investors. Out of town investors have identified our markets as a great investment opportunity – due to strong rental demand, stable and increasing property values and low prices of properties.

3. Interest Rates are So Low! As of this writing, July 20, here are available rates and programs:
          
• 30-year fixed            4.5%    no points rate mortgage

• 15-year fixed            3.75%  no points rate mortgage

We advise anyone contemplating refinancing to look at this product. Borrowers can save 60% of their interest payments on a 30-year mortgage over the life of the loan.

• 5/1 ARM       3.25%  no points conventional                                               

• 10/1 ARM     3.5%    no points conventional                                               

• VA Loan        4.5%    no points

• 100% financing available

• $5,000 grant available for eligible veterans from the state of Iowa

Rates vary daily and are impacted by credit scores.  Buyers and refinancers are encouraged to seize this opportunity before rates and closing costs go up!

 4. Regional Real Estate Market is Active – Don’t Miss Out! At Ruhl&Ruhl sales pending in June 2011 were up 54% in sales volume and up 48% in units over June 2010.  As we anticipated, sales closed in the first 6 months of 2011 were down from 2010 because most buyers wanted to close before the tax credits ended June 30, 2010.  But this year is back to normal and the summer and fall sales will be much stronger than last year.

 5. What is Holding Back Buyers?  The big sticking point inhibiting a rebound in home prices and home sales is the availability of mortgages. Lenders currently are offering attractive terms only to extremely qualified buyers with credit scores of 640 and higher. The reason isn’t the lenders – it’s the government! They have swung the pendulum too far to the point of discouraging lenders to lend to qualified buyers.    

Hopefully, the government will revise their policies to encourage rather than discourage, offering mortgage loans. Since next year is an election year, we think there is a good chance. The president is no doubt aware that his odds of re-election improve dramatically if unemployment falls significantly. One way to reduce unemployment is to increase home sales and home construction, which in normal times provides huge numbers of jobs… and the most effective way to boost home sales and home construction is to make it easier for would be buyers to obtain mortgages.

 Keep checking RuhlHomes.com for more information on the housing market.

In their never ending quest to “simplify” the confusion surrounding the borrowing of money, the Fed has released their Final Rule for Risk Based Pricing Notices, as well as Adverse Action Notices. More paper work filled with CYA, legal terminology that winds up baffling people more than giving them any clarity. Let’s take a peek….

Risk Based Pricing Notices are required under the Fair Credit Reporting Act (FCRA), and now, because of provisions in the Dodd-Frank Act, they must include language that relates to credit scores IF those scores were used to determine the interest rate (and resultant APR) given the customer. Also, the language can’t simply be “the lower your credit score, the higher rate you will pay”. That would be too easy. You see…lower credit scores have statistically proven to have higher defaults (more risk), so charging those clients more makes sense. But in the world we live in, the government wants to inundate the customer with mumbo jumbo, and insists on a form that gives the following information:

1. The credit score used in making the credit decision;
2. The range of possible credit scores under the model used to generate the credit score;
3. All of the key factors that adversely affected the credit score. Note that the risk-based pricing notice generally may not list more than four key factors. However, if one of the key factors is the number of inquiries made with respect to the consumer report, up to five key factors may be used.
4. The date on which the credit score was created; and
5. The name of the consumer reporting agency or other person that provided the credit score.

Further, if there is more than one borrower, each receives their own, personalized disclosure.

Adverse Action Notices are basically Rejection Letters. They used to say things like “your file was turned down because your credit/income/assets/appraisal does not fit the guidelines under which we approve borrowers”. Now, when credit scores are a reason for denial the language is slightly more confusing but essentially the same 5 things stated above for Risk Based Pricing. But, the really good news is that they added up to 5 different, new forms to tell the consumer where they can inquire about the score in their “consumer report” (the new term that replaces the old “credit report”).

Who gets paid for this stuff?  More paper work, more muddied explanations, all to protect the consumer? Or to protect the jobs of the bureaucrats and law makers? Am I alone in thinking that often the efforts to protect wind up frustrating instead? Simply stated, if your credit is bad because you made late payments, you can be turned down or your may be approved and be forced to pay a higher rate. Now, if your credit score is bad because of errors in the credit report, you should be directed on how to fix it. But that’s a topic for a different day.

Sometimes through all the confusion things can seem blurry and out of site but the end result is always worth the while, and Ruhl&Ruhl wants to help get you there!  Keep checking RuhlHomes.com for the most up to date information on the housing market and to start your home search.

Provided by: KCM Blog

A photo of the Rock Island Arsenal.

Ruhl&Ruhl REALTORS is proud to congratulate the Rock Island Arsenal for being awarded the Best Overall Chapter Award in their category from AUSA National.

This award demonstrates their commitment to assist Soldiers and families throughout eastern Iowa and western Illinois – from Active Army, Reserve, and National Guard personnel to ROTC, Veteran Support, CBWU, and other military personnel. The Rock Island Arsenal has provided volunteers and financial support to help meet the needs of those who serve.

Ruhl&Ruhl is a proud supporter of AUSA and we are honored to support the Voice For the Army!

A family-owned company since 1862, Ruhl&Ruhl REALTORS annually sells nearly 3,800 homes in eastern Iowa, western Illinois and southwestern Wisconsin and is the largest privately-owned real estate company in Iowa. Caroline Ruhl is the President and owner of Ruhl&Ruhl REALTORS, and is the fourth generation of the Ruhl family to lead the residential brokerage and home services company.  Headquartered in Davenport, Iowa, the company has 280 sales associates and 50 employees based in sales offices located in Bettendorf, Cedar Rapids, Clinton, Coralville, Davenport, DeWitt, Dubuque, Maquoketa, and Muscatine, in Iowa, and in Moline, Illinois. In addition to residential sales, Ruhl&Ruhl offers services in relocation, new home sales, farm and land sales, senior services, real estate investment and mortgage services through 1862 Mortgage and insurance services through Nelson Ruhl Agency.  For more information on Ruhl&Ruhl, visit their website at www.RuhlHomes.com.

It seems that every time we talk about real estate today the conversation immediately goes to the financial aspects of buying a home. Where are prices headed? Where are interest rates headed? Should I wait to try and get a ‘better buy’? Should I wait until I can get a ‘steal’?

The odd thing about all these questions is that survey after survey keeps telling us that price is not the reason families actually buy a home. When money is considered at all, it is in light of not paying rent to a landlord. Let’s look at two recent surveys as examples:

National Housing Survey

The top five reasons given in the survey for buying a home, in order, are:

• It means having a good place to raise children and provide them with a good education
• You have a physical structure where you and your family feel safe
• It allows you to have more space for your family
• It gives you control of what you do with your living space (renovations and updates)
• Paying rent is not a good investment

The Myers Research and Strategic Services Survey

The top five reasons given in the survey for buying a home, in order, are:

• Home ownership provides a stable and safe environment for children and other family members
• Home ownership means the money you spend on housing goes towards building equity, rather than to a landlord
• Home ownership creates the opportunity to pay off a mortgage and own your home by the time you retire
• Home ownership creates the opportunity to live in a neighborhood that you enjoy
• Home ownership allows you the right to decorate, modify and renovate your home as you see fit

Bottom Line

Price dominates conversation when we talk about buying a home. However, when it comes down to it, we actually buy for the same reasons our parents and grandparents did – we want a better lifestyle for ourselves and our families.

For more information on the housing market please visit RuhlHomes.com.

Provided by: KCM Blog

Making predictions can be the ‘kiss-of-death’ for a blog. Even if we get four out of five correct (80%), there are those in the industry who will kill us on the one we got wrong. We believe strongly that when making a real estate decision for you and your family you must look forward and take into consideration how the housing market may change.

For this reason, we are willing to take on the possible wrath of our counterparts by sticking out our necks and predicting these will be the major real estate news stories from now until the end of the year.

Interest Rates Rise

Many, including us, have been surprised that rates have not risen already. However, the next several months are going to see three distinct changes that will propel rates upward.

1. As the government starts to leave the mortgage market, private industry will step in. Private industry demands a higher rate of return on their investments. Mortgages will be no different. Studies have shown that 30 year mortgage rates could increase by 1 to 3% over the current rate.
2. In many higher priced markets, rolling back Conforming Loan Limits means that rates for the mortgages on these properties will resort back to the rates on private jumbo loans. The FHFA informed us that last year, the difference between mortgage rates for jumbo loans and jumbo-conforming mortgages has varied between about ½ and ¾ of a percentage point.
3. As the economy gets better (and we believe it will), the pressure to keep rates low to stimulate growth will abate.

Some Loan Requirements Tighten but More Can Now Get a Loan

Lending institutions have already started to introduce stricter mortgage guidelines. Whether the Quality Residential Mortgage (QRM) requirements are instituted as originally proposed or eased somewhat, there is no doubt that guidelines will continue to tighten as we work through the year. However, we believe the private sector will again start introducing alternative mortgage financing but at a greater expense to the consumer. You WILL be able to get a mortgage. It will just cost you more.

Housing Sales Increase

Contracted sales have shown consistent improvement over the last six months and we feel this will continue and actually begin gaining even greater momentum. We believe there is a ‘pent-up’ buying demand caused by the volatility of the market over the last several years. When interest rates start to move upward and alternative financing becomes more available, these buyers will start to jump off the fence. We believe there will be a major upswing in sales over the next six months.

Distressed Properties Increase Markedly 

More people are paying their mortgage on time and that is great news for housing in the long term. However, the numbers of distressed properties currently in the foreclosure process is still very swollen. These properties will begin coming to the market in the second half of the year as short sales and foreclosures. The numbers will be staggering in some areas.

Prices Continue to Soften in Most Markets 

The current housing inventory for sale and the distressed properties about to come on the market will vastly outnumber the increased supply of purchasers we will see over the next six months. There will be more houses for sale then there will be buyers purchasing them. That oversupply will continue to put downward pressure on prices through the rest of this year and into 2012.

Ruhl&Ruhl has now stepped out and spoke up on what we think consumers will see in the housing market in the next six months.  What headlines do you predict?

For more information on the housing market please visit RuhlHomes.com.

Provided by: KCM Blog

Cedar Rapids Ruhl&Ruhl REALTOR, Peg Cretin certainly went out of the ordinary with the listing of the Church on Fire Christian Center.  With a recent deal under way the property is now pending, but Ruhl&Ruhl wanted to share an article ran in the “Cedar Rapids Gazette” on July 2, 2011.

The article reads – Cedar Rapids Realtors still are in negotiations and sales are not yet final, but the 200-some members of Cedar Rapids’ Peoples Church Unitarian Universalist have planned their final service at the historic downtown building with expectations to relocate to the northwest side of town.

With the sanctuary at 600 Third Ave. SE under contract to be sold in August and the Peoples Church planning to relocate to the building that once housed the Church on Fire Christian Center at 4980 Gordon Ave. NW in mid-July, the last day of services under the familiar wooden rafters is set for Friday.

Once they’re moved in to their new church, church leaders intend to integrate stained glass, pews, art and other mementos from the original Peoples Church, which was built in 1875 into the Gordon Avenue building.  The plan, according to Rev. Tom Capo, is to have the old church sold and the new building bought by August, although nothing is final until all the real estate documents are signed, he said.   “We hope to have those negotiations finalized next week,” said Capo.

Capo said the Gordon Avenue space became available when the pastor of the Church on Fire Christian Center decided to close its doors and do “community ministry” rather than “parish ministry.”

Last summer, the Peoples Church was close to selling its building and relocating its membership.  Steve Emerson, president of Aspect Architecture, was expected to take ownership of the property for $705,000 in July, but the deal fell through, Capo said.

He wouldn’t elaborate on why the building didn’t sell at that time.  It was originally listed at $795,000.  “When we thought the deal was done, it was not,” Capo said.

And so the church went back on the market and leaders continued looking at other possible locations for its members.

Capo would not provide details of the Church of the Fire Christian Center purchase until the sale closes. The congregation will move to a temporary facility if something holds up the permanent relocation, he said.   “We have learned in this process that we need to be open to all kinds of experiences and dream what we want for our future,” Capo said.

Church leaders began looking for a new church more than a year ago when maintenance needs mounted and rising costs to fix the aging building seemed greater than the cost to relocate.  The final straw, Capo said, was the discovery of mold growing in the children’s area and the insurance company’s requirement to take out an entire wall to remedy the issue.

“We don’t have the money to do that” he said.  “And there are not many parents who want their kids to go some place where there is a lot of mold.”

The new building has more square feet and more classroom space.  Capo said he doesn’t expect to lose any congregation members in the move, but to gain some.    “Moving is a little stressful,” he said.  “I’m hoping we will see some of the folks who will come back after the stress is gone and we’re back in the community.”

For more information on Ruhl&Ruhl and Peg Cretin please visit RuhlHomes.com.

We have reached the midway point of the year. Today, we want to look back over the first six months and give you what we believe were the five items which have had the biggest impact on the real estate industry so far this year.

The Government Wants Out of the Mortgage Business

From the original outline of the Dodd-Frank regulations to the talk of closing Fannie Mae and Freddie Mac to the proposed Quality Residential Mortgage (QRM) guidelines, the government has made it very clear that they want to dramatically limit their involvement in the mortgage industry. What will come of this? Will private industry step up and fill the void created? What will be the increased cost to the consumer? Only time will tell.

Despite Early Headlines, Sales are Increasing

Headlines earlier in the year announced the total collapse of the housing market. To those in the know, it was obvious that comparing sales numbers in the first four months of this year to the same period last year made absolutely no sense. The largest tax credit ever given to home buyers expired on April 30, 2010. Large numbers of transactions were dragged forward last year so buyers could take advantage of the credit. Pending home sales (transactions going into contract) on the other hand have done quite nicely and many institutions (ex. Fannie Mae, Freddie Mac, NAR and Moody’s Analytics) are projecting good sales numbers throughout the rest of the year.

Amid Warnings of a ‘Double-Dip’, Prices Began to Stabilize

Prices continued to retreat for the first few months of the year and brought the bears out. Some called for another major fall in prices (15-20%) and almost all recalculated their projections to show continued depreciation. Just as these new projections were made available, some pricing indices announced that values actually increased (though by a rather minimal percentage). Again, those with the best understanding of the market were quick to explain…

Foreclosures Were Delayed Longer Than Originally Projected

Distressed properties (foreclosures and short sales) have a major impact on the values of all properties in an area. Because of paperwork challenges, the flow of these properties to the market was virtually shut off. At the beginning of the year, most experts believed the banks would correct these challenges by the end of the first quarter. That didn’t happen and therefore many of these properties were delayed coming to the market. This is a major reason why prices seemed to recover: there were fewer discounted properties available for sale. Most now believe that the banks are within 60-90 days of releasing this inventory and those prices will again begin to soften.

Main Stream Media Begins to Announce “Now Is the Time to Buy!”

With prices and interest rates at historic lows and the chance that mortgages will become more costly as the private sector steps in, many in the main stream media are announcing that buying a home now makes sense. In the last 45 days, the Wall Street Journal, Forbes Magazine, National Public Radio (NPR) and CBS Money Watch have all ran articles calling for the readership to consider buying now!

Next week, we will share what we believe will be the top 5 stories in the second half of 2011.

Keep checking RuhlHomes.com for the most up to date and interesting information on the housing market.

Ruhl&Ruhl REALTORS is proudly sponsoring the 2011 Quad Cities marathon! The marathon will consist of 5 different races and all proceeds will benefit the Erika Kate foundation and US Too prostate cancer education and support group.

“We are thrilled to be a part of this exciting event,” said Caroline Ruhl, President of Ruhl&Ruhl REALTORS. “These organizations have helped so many different people and are very close to my heart.”

The Quad City Marathon’s five races will consist of:

• Quad City Marathon – The 26.2 mile run is a USATF certified course.  It will cover 4 cities, 3 bridges, 2 states and 1 island.
• The Half Marathon – This 13.1 mile course parallels the first 9 miles with the marathon course.
• The Marathon Relay – Recruit your team of five runners and make the 26.2 mile run a team effort.
• The 5K Run/Walk – Enjoy all the benefits of the big races with an out-and-back course.
• The 1 Mile Walk – A fun and non-competitive “Walk for Cause.”

You can register for all 5 races or just 1, either way it is a great way to get out and show your support for these amazing charities.  To register please visit the Ruhl&Ruhl office closest to you or click on www.QCMarathon.org.

Ruhl&Ruhl will also be working for the cause! There will be numerous volunteer opportunities since the entire event is run strictly by volunteers.  If you are interested in helping, send an email to volunteercoordinator@qcmarathon.org.

For more information please visit RuhlHomes.com/QuadCityMarathon.

A family-owned company since 1862, Ruhl&Ruhl REALTORS annually sells nearly 3,800 homes in eastern Iowa, western Illinois and southwestern Wisconsin. Caroline Ruhl is the President and owner of Ruhl&Ruhl REALTORS, and is the fourth generation of the Ruhl family to lead the residential brokerage and home services company.  Headquartered in Davenport, Iowa, the company has 265 sales associates and 50 employees based in sales offices located in Bellevue, Bettendorf, Cedar Rapids, Clinton, Coralville, Davenport, DeWitt, Dubuque, Maquoketa, and Muscatine, in Iowa, and in Moline, Illinois.  In addition to residential sales, Ruhl&Ruhl offers services in relocation, new home sales, farm and land sales, senior services, real estate investment, property management and mortgage services through 1862 Mortgage and insurance services through Nelson Brothers Insurance.  For more information on Ruhl&Ruhl, visit their website at www.RuhlHomes.com.

There has been much confusion as to where housing prices are headed. We have actually blogged on the issue recently. Today, we want to give our opinion on this subject for the short term. We believe sellers have a window of opportunity for the next 90-120 days in which to sell their homes for maximum price. We believe there will be increased downward pressure on home prices later this year and the first half of 2012.

Why renewed downward pressure?

Any item’s price is determined by ‘supply and demand’. In many parts of the country existing housing inventory is already high and actually increasing. In addition, an inventory of distressed properties (foreclosures and short sales) will be coming to market later this year. This inventory has been delayed for the last several months because of faulty paperwork by the banks when they originally attempted foreclosure proceedings on these homes.

Celia Chen, of Moody’s Analytics explains:

“Foreclosures are weighing on the outlook for U.S. house prices, and the slow resolution of issues surrounding the so-called robo-signing scandal is keeping distressed homes off the market”.

The New York Times also recently reported on this issue. They looked at the delays in certain states. As an example, this is what they found in New York:

“Last September, before the documentation crisis, nearly 1,500 New Yorkers lost their houses as a result of foreclosure, according to LPS. The average over the last six months: 286. That is far lower than at any point since the recession began.”

Banks are now correcting these errors.

There is evidence that the banks are getting their documentation in order and about to again increase their foreclosure repossessions. Housing Wire reported:

“Since major lenders delayed foreclosures to fix a broken process late last year, the amount of filings declined, but in May signs emerged the effect might be wearing off.”

They went on to quote RealtyTrac CEO James Saccacio:

“…lenders are somewhat unevenly pushing batches of bad loans through foreclosure as they overhaul their paperwork and documentation procedures and as they determine that some local markets are able to absorb more foreclosure inventory… Foreclosure processing delays continue to mask the true face of the foreclosure situation, although there were some clues in the May numbers of what lies behind that mask.”

What will this mean to home prices?

As this inventory comes to market, it will impact prices in two ways:

1. It will provide discounted competition for buyers
2. It will impact the appraisal values of all homes in the area

Again, we quote Celia Chen:

“It is quite possible that house prices will pick up slightly in the second or third quarter of this year, as foreclosure sales remain depressed while nondistress sales pick up…By the fourth quarter of this year, however, the distress share will rise, sending the house price index back down…

House prices will founder until early next year and start rising in earnest at the end of 2012.”

Bottom Line

There is a window of opportunity currently which sellers should take advantage of. Waiting until later this year or until next year will not guarantee a higher sales price. If anything, it probably guarantees the exact opposite.

Keep checking RuhlHomes.com for the most up to date information on the housing market.

Provided By: KCM Blog