Home prices show increase again

U.S. home prices rose 0.3 percent in July compared to June, the Federal Housing Finance Agency said Tuesday.

The index is 4.2 percent below what it was in 2008 and 10.5 percent off its peak in April 2007. The index excludes most expensive homes from its calculations, so prices appear to have declined less than they have by other measures.

The report "supports other evidence that the three-year long decline in prices has come to halt," Paul Dales, U.S. economist with Capital Economics, wrote in a note to clients.

Other economists were less positive. "We think house price indexes are likely to edge somewhat lower in the fall when foreclosures become a larger share of home sales," Barclays Capital economist Nicholas Tenev wrote in a note to his clients.

Source: The Associated Press, Alan Zibel (09/22/2009)

Be Alert in Parking Lots

Realtors and avid shoppers like my wife spend a lot of time getting in and out of the car at office and/or mall parking lots.

While this is usually perfectly safe, it can also be dangerous. By staying aware of risks associated with approaching and opening your car, you may avoid dangers before they occur. Here are six steps you can take:

1. Don’t approach your vehicle if a van or other large vehicle with tinted windows is parked next to it. Instead find a security guard to walk you to your car, or look for a nearby couple walking to their car and say something like, “That vehicle wasn’t there when I parked. Would you mind making sure I get into my car safely?”

2. Have your key ready to open the car door. Never stand next to your car searching through your purse. Robbers, carjackers, and sexual predators all watch for this type of distraction.

3. Once in your car, lock the doors immediately.

4. Get moving. Don’t sit inside of your vehicle adjusting the stereo, rummaging through shopping bags or your purse, or talking on your phone, especially if the lot is not well populated.

5. If you have an unlocking button or keyless entry system, make sure you unlock only the driver door. Unlocking all doors allows a predator to simply slide into your car from the passenger side.

6. Make sure that your dome light is always functioning properly. As you unlock your vehicle at night, glance into the back seat and make sure that an attacker has not gained access to your car.

Source: Road and Travel magazine (adapted)

Foreclosure-Prevention Scams...Beware

Here’s how the most common foreclosure-prevention scams work:

The desperate home owner gets a letter that says something like, “We know you’re having a hard time. We have a pipeline to your lender and can help you save your home. Call this toll-free number now.”

Home owners call the number and agree to pay $1,200 to $1,500 upfront for help with their mortgage. Nothing happens. Their home still goes into foreclosure.

Harold Kirtz, a lawyer for the Federal Trade Commission who is prosecuting these scammers, says victims are often well educated and financially savvy, but they also are “in a very vulnerable state.”

Here are some red flags that should make a home owner run in the opposite direction:

If the company guarantees success. Nobody can guarantee a lender won’t foreclose or will modify a loan.
If the company wants money upfront. "We can't say all advance fees are illegal," Kirtz says, “But in most cases they're probably bogus."
If the company wants the home owner to send mortgage checks directly to the modification firm. The only certainty there is that the company will cash the checks.

Source: Washington Post Writers Group, Kenneth R. Harney (09/13/2009)

Solar Panel Prices Drop Dramatically

Prices for solar panels are falling fast. Compared to a year ago, prices for panels and installed systems are about 25 percent less, retailers and installers say.

Combined with a 30 percent rebate offered by the U.S. government, plus rebates offered by many states, some buyers are paying a little less than $16,000 for systems that would have cost twice that a year ago.

"Solar is now affordable for people for whom it wasn't before," says Jeff Wolfe, CEO of groSolar, a Vermont solar-panel system installer and distributor.

California entrepreneurs, who call themselves One Block Off the Grid, are getting even better prices by organizing home owners into buying groups.

Source: The Wall Street Journal, Cassandra Sweet (09/08/2009)