Declining home prices aren’t all doom and gloom. Forbes used the National Association of Home Builders (NAHB) Housing Opportunity Index (HOI) to take a look at which of the 50 largest U.S. cities were changing the most with regard to affordability.

Affordabilty in this case means what percentage of homes sold are affordable by a median-earning household.

The Phoenix real estate market affordability came in at 30% in 2007. That number is now up to 60%, ranking Phoenix at #3.

For the nay-sayers, it’s not just housing price declines that lead to greater affordability. Increased buying activity can be a factor, influxes of first time home buyers (who tend to buy less expensive homes), and a relatively stable local economy all come in to play.

Yes, many of the markets listed below have been hammered hard. But increasing affordability is a good thing and a nice step toward helping stabilize and correct the housing market. 

Here is the Forbes article on home affordability.

And here are the “Top 10” increasingly affordable real estate markets:

1. Las Vegas, NV
2. Sacramento, CA
3. Phoenix, AZ
4. Washington, D.C.
5. Tampa, FL
6. Providence, R.I.
7. Riverside, CA
8. Orlando, FL
9. Boston, MA
10. San Diego, CA

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Trulia Voices, a conglomeration of Q&As from real estate consumers and frequent shameless grovelings by real estate agents is often a source of amusement, frustration and head scratching.

It’s also frequently provides insight into the minds of home buyers, sellers and real estate agents.

Here was a recent question from “Todd”, a “Home Buyer in Arizona”:

I am trying to buy a house from a FSBO and we have agreed on a price and agreed to buy as is. After an inspection, I don’t want to pay that much can I send an addendum to see if they will lower the price or should I cancel the contract and then send a new contract for the lower price taking into account the inspection items? Thanks.

It would appear Todd is an “unrepresented buyer” — meaning he has decided to not use the services of a real estate agent. And Todd is attempting to buy a home from an “unrepresented seller”, a “FSBO” — For Sale By Owner.

So we have both sides of a real estate transaction going it alone, both deciding for whatever reason that they do not need the services of a real estate professional.

I do find it curious that Todd, who ventured off on his own, is now seeking free advice from real estate professionals as he finds his real estate deal beginning to swirl down the drain.

The problem is, no matter how many agents think (for whatever bizarre reason) that they will somehow secure Todd’s business, no one can possibly answer his question.

Why? Because we haven’t seen the contract between these unrepresented parties.

Oh, several agents have answered assuming the standard Arizona Association of Realtors Residential Resale contract was used. An interesting assumption given that no Realtors are involved in the transaction. Even more interesting when one considers that anything in the AAR contract form can be modified.

Did Todd and Mr./Ms. FSBO take a quick trip to OfficeMax and pick up a “real estate contract”? Maybe they went online and found one. Maybe they wrote their own contract on the back of a napkin.

We don’t know what is in this contract. Therefore there is no possible way to give Todd the free advice he so desperately seeks.

There are a few things we can glean from Todd’s situation:

You agreed to buy a home in “as is” condition — now you are finding “as is” means “needs repairs”. This should not have been a surprise.

You are now considering re-negotiating, or possibly canceling a contract. Contracts are, well, they are contracts. They generally aren’t designed to just be canceled on a whim. Often you can’t “just cancel” a contract.

My favorite part of this question is, “…and then send a new contract for the lower price…” You can’t just send a new CONTRACT for a lower price. You can send a new OFFER, which Mr/Ms FSBO can then soundly reject (and likely would — why enter into a contract with the same guy who bailed on your previous contract?).

Todd is frustrated. He may even be concerned, asking himself, “What am I going to do? Am I going to be stuck in this thing and get a home I don’t want?”

I feel bad for Todd. I really do. Buying a home is a lengthy, involved process jam-packed with potential pitfalls. It’s not a process most people go through on anything close to a regular basis.

What I can’t understand is why Todd decided to go through the home buying process alone. Yeah, of course I am biased, I’m a real estate broker for Pete’s sake. But honestly, I see things like this all the time. People come through this very blog all the time, with questions, and with very valid and deep concerns. I know Realtors are a group that many love to hate. Part of that we’ve brought on ourselves. Some of that, not-so-much.

I’m not going to beg and grovel for your business. But I am going to plead with you to at least look into using the services of a real estate agent. The ramifications (in cost, time, stress, legalities and more) of not using an agent need to be explored. We are not all evil twisted devil-spawn. Yes, there some lousy agents out there. But there are some brilliant ones too. Interview a few, find one that you can work with and trust and they will work their butt off to make sure you aren’t relegated to asking unanswerable questions on an Internet message board.

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Hat tip Phil Hoover via Joe at Sellsius.

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We are quite pleased to announce the latest addition to the Thompson’s Realty brokerage.

Michele Guss was with Coldwell-Banker for almost three years. Immediately upon meeting her it was clear that Michele takes her job as a Realtor seriously and makes customer service her top priority. She’s also just an all-around great person.

So she’s a natural fit for our growing family.

To top it off, Michele lives in Fountain Hills, which gives us additional geographic coverage of the North East Phoenix Valley.

Michele has a BA in Criminology and Psychology from the University of Maryland. She’s not a real estate blogger, yet, but she’s anxious to learn and we hope to have her going on PhoenixRealEstateHome.com shortly.

She’s a natural, trust me.

Welcome aboard Michele!

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Looking for fun and fireworks this July 4? Below is a partial list of places to watch fireworks across Phoenix (and some other places in Arizona as well). (source = azcentral.com)

Phoenix Fireworks

Freedom Wireless Fabulous Phoenix Fourth: 6-9:35 p.m. July 4. Kids rides, food court, scheduled events and fireworks at 9:15 p.m. Steele Indian School Park, 300 E. Indian School Road, Phoenix. Free. 602-534-3378. phoenix.gov.

East Valley Fireworks

CBS5 July Fourth Tempe Town Lake Festival: 4-11 p.m. July 4. Seven hours of live music, inflatable village for all ages, and fireworks. Tempe Town Lake, Rio Salado Parkway and Mill Avenue, Tempe. $6; age 12 and younger are free. 480-350-8625. www.tempe4th.com.

Mesa’s Fourth of July Celebration: 6 p.m. July 4. Entertainment and kiddie rides ending with fireworks at 9 p.m. Also offers food and drink for purchase. No bags, backpacks, coolers, fanny-packs or alcoholic beverages. Mesa Community College, 1833 W. Southern Ave., Mesa. $5 for parking and admission; $1 for admission if not parking on campus. 480-461-7000. www.mc.maricopa.edu.

Independence Day Celebration and Fireworks Spectacular: 4 p.m. July 4. In addition to fireworks at 9:30 p.m., the event features live music, a kids carnival and a bike parade. Activities include a 35-foot waterslide, 24-foot rock-climbing wall, a dunk tank and water games. Tumbleweed Park, 2250 S. McQueen Road, Chandler. Free. 480-782-2735. www.chandleraz.gov.

Red, White and Boom: 5:30 p.m. July 4. Features live music, a cowboy costume contest, a barbecue, decorated buggy rides, face painting and balloon sculpturing. Fireworks start at 9:30 p.m. Rawhide at Wild Horse Pass, 5700 W. North Loop Road, Chandler. $3-$65. 480-753-7676. www.rawhide.com.

Fourth of July Celebration and Anniversary Party: 11 a.m.-11 p.m. July 4. Families enjoy carnival games, prizes every 15 minutes, live music by the Weezul Brothers from 6-10 p.m. and hotdogs and hamburgers grilled outdoors. Benefits The Choir Boys of Arizona. Red, White & Brew, 4850 S. Gilbert Road, Chandler. Free. 480-305-6993. www.rwbaz.com. www.azchoirboys.org.

West Valley Fireworks

Fourth of July Celebration: 7 p.m. July 4. Celebration includes swimming, water slides, food, music, a patriotic program, a F-16 flyover by a Luke Fighter Squadron and fireworks. Free swimming at GCC pool begins at 1 p.m.; doors open for night events at 6 p.m.; fireworks at 8:40 p.m. Glendale Community College Community Pool, Glendale Community College 6000 W. Olive Ave., Glendale. Free. 623-930-2299. www.glendaleaz.com/events.

All-American Festival: 5-10 p.m. July 4. Kids zone, concessions, two stages of live music, fireworks and water activities. Fireworks begin at 9:15 p.m. No alcohol or glass containers are permitted. Peoria Sports Complex, 16101 N. 83rd Ave., Peoria. $5 for ages 13 and older. 623-773-7198. www.peoriaaz/specialevents.

Surprise’s Fourth of July Celebration: 6-8:30 p.m. July 4. Enjoy live music, water zone and food. Surprise Recreation Campus, 15850 N. Bullard Ave., Surprise. $5 for children; $10 for adults. 623-266-4500. www.surpriseaz.com.

Independence Day: 6:30 p.m. July 3. Live music, food and activities. Fireworks set for 9:15 p.m. Bring a blanket. Estrella Lakeside Amphitheatre, 10300 S. Estrella Parkway, Goodyear. Free. 623-386-1000. www.ci.goodyear.az.us.

Scottsdale Fireworks

Grand Ol’ Fashioned Picnic: 5-7:30 p.m. July 4. Celebrate with old-fashioned games, patriotic arts and crafts, and watermelon, chili and pie-eating contests. Bring your homemade chili to be judged. Scottsdale Stadium, 7408 E. Osborn Road, Scottsdale. Free. 480-312-2771. www.scottsdaleaz.gov/events.asp.

July Fourth Celebration: 5-8 p.m. July 4. Tug-of-war, live music and crafts, watermelon eating contest and more. No fireworks. Eldorado Park, 2311 N. Miller Road, Scottsdale. Free. 480-312-2771.

Valley-wide Fireworks

Red, White and Blue Family Parade: 7:15 p.m. July 2. The parade features floats, scooters, bikes, kids and dogs. Paul Mason Sportsplex, 2525 N. Pinal Ave., Casa Grande. Free. 520-421-8677. www.cir.org/seasonal-fourth.html. 

Annual Fireworks Celebration: 8:45 p.m. July 3. Watch the fireworks show overlooking the lake. Lake Pleasant Regional Park, 41835 N. Castle Hot Springs Road, Morristown. $5 per vehicle park entry fee; $2 per watercraft. 928-501-1710 or 602-372-7460. www.maricopa.gov/parks/EventsDetailPublishers.aspx?date=7/3/2008&eventID=6422.

Fourth of July Festivities: 6 p.m. Thursday, 7:30 a.m. Friday, July 3-4. Watch a youth talent show, followed by a street dance with the band Train Wreck Thursday. Friday activities include the Pets and People Parade at 7:30 a.m. and entertainment all day long. Fireworks start at dusk at the Paiz/Stone Complex. Veterans Memorial Park, 3105 E. Fry Blvd., Sierra Vista. Free. 520-266-2304. www.visitsierravista.com.

Third of July Fireworks: 6 p.m. July 3. Live entertainment, outside barbecue, drink specials, and prizes. Reservations required, recommended time: 6-9 p.m. For all ages. Fireworks begin at 9 p.m. Harold’s Cave Creek Corral, 6895 E. Cave Creek Road, Cave Creek. Free. 480-488-1906. www.haroldscorral.com.

Other Arizona Celebrations

Fourth of July: 4 p.m. July 4. Bring a blanket or chair for a fireworks display. Food and beverage available. Tubac Golf Resort & Spa, 1 Otero Road, Tubac. $65 for VIP ticket, which includes special meal, seating and parking; $5 for parking. 520-398-3522 or 520-398-2704. www.tubacaz.com.

July Fourth Celebration: 9 a.m.-9:15 p.m. July 4. Parade starts at Fifth Street to Gila to Seventh Street, which is followed by a water fight at Lions Park. Entertainment and music continues all day with fireworks at 8:45 p.m. Benson, Benson. Free. 520-586-4293. www.bensonvisitorcenter.com.

Fire Over the Water: 4 p.m. July 4. Information, exhibits, kids activities, souvenirs, and raffle. Rubber duck race begins at 6 p.m. and fireworks at 8:30 p.m. Lyman Lake State Park, 11 miles south of St. Johns on U.S. 191, St. Johns. Free. 928-337-4441. www.pr.state.az.us. 

July Fourth Celebration: 10 a.m.-1 p.m. July 4. Clarkdale celebrates its Fourth of July with a parade at 10 a.m., a barbecue at the Verde Valley Railroad station at 11 a.m., and music by a Dixieland band at 12:30 p.m. Clarkdale, $7 for barbecue. 800-320-0718.

Rockets Over the River: 9 p.m. July 4. Fireworks over the Colorado River. Best viewing is along the river, south of the Laughlin Bridge. Bullhead City, Free. 702-298-2214. www.bullheadchamber.com/calendar.htm.

Fourth of July Family Day: 5 p.m. July 4. Old-fashioned celebration with food, games and live entertainment. Fireworks at 8 p.m. Paul Mason Sportsplex, 2525 N. Pinal Ave., Casa Grande. Free. 520-421-8677. www.cir.org/seasonal-fourth.html.

July Fourth at the Fort: 2 p.m. July 4. Event features kids zone, food-eating contests, limbo, and entertainment. Event for all ages, however contest participants must be age 21 and older. Fireworks at 9:45 p.m. Fort McDowell Casino, 10424 N. Fort McDowell Road, Fort McDowell Reservation. Free. 800-THE-FORT or 480-837-1424. www.fortmcdowellcasino.com.

Red, White and Boom: 5-10 p.m. July 4. Fun booths, vendors, food, beer garden, music and fireworks. Old Home Manor Fields, 2100 Old Home Manor Drive, Chino Valley. Free. 928-636-9780. www.cv4th.com.

Freedom Fest: 10 a.m. July 4. Start the day in the pool for open swim and water games before forming teams for the Mud Volleyball tournament. Also participate in the horseshoe tournament, and country-singing contest. A parade will begin at 6:45 p.m. Fireworks start at 8:30 p.m. Heritage Park, 600 N. Main St., Florence. $30 per volleyball team; $10 per horseshoe team; other events free. 520-868-7589. www.town.florence.az.us.

Star-Spangled Spectacular: 6-11 p.m. July 4. Inflatable games, face painting, food, arts and crafts booth, and watermelon-eating contests. Fireworks start at 9 p.m. Ora Mae Harn Park, 13250 N. Lon Adams Road, Marana. Free. 520-382-1950. www.marana.com.

Patagonia’s Fourth of July: 11 a.m. July 4. Begin the day with a parade and hanging of Grand Marshall at the Town Gazebo. Also enjoy music, food and vendors in the park. Fireworks start at 8 p.m. at Patagonia High School. Omitted, Free. 888-794-0060. www.patagoniaaz.com.

Independence Day Celebration: 6 p.m. July 4. Includes hot dogs, watermelon, a waterslide and music. Fireworks start with an F-16 flyover at 7:30 p.m. Tolleson Veterans Park, 8601 W. Van Buren Ave., Tolleson. Free. 623-936-7111. www.tollesonaz.org.

Fourth of July: noon July 4. Dive for soda, candy and money in the pool. Activities include arts and crafts, bouncers, games and a DJ. Food available. Fireworks begin between 9-9:30 p.m. Kenilworth Sports Complex, 671 E. Coolidge Ave., Coolidge. Free. 520-723-4551. www.coolidgeaz.com.

Old-Fashioned Fourth: noon-9 p.m. July 4. Food, dunk tank, bouncy house, rock climbing wall and live bands. Fireworks start at dark over Green Valley Lake. Green Valley Park, 600 N. Green Valley Parkway, Payson. Food ranges in price from $1-$5. 928-474-5242, ext. 7. www.paysonrimcountry.com.

July Fourth Block Party: 4 p.m. July 4. Art and antique walk, classic car displays, magician at Deming History Park, food, watermelon eating and seed-spitting contest and carnival games at Presbyterian Church and live bands. Main Street, between Meadow and South Mclane, Payson. Free. www.paysonrimcountry.com.

Celebrate Freedom: 10 a.m.-midnight July 5. Family activities during the day followed by musical performances and fireworks in the evening. Marks the kick-off of the two-month Miller Lite/Harley Davidson anniversary giveaway. Old Tucson Studios, 201 S. Kinney Road, Tucson. $16.95; $10.95 for age 4-11. 520-883-0100. www.oldtucson.com.

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