In late June, Fannie Mae — the Federal National Mortgage Association — announced several policy changes to discourage strategic defaults.

Strategic defaults are defaults by borrowers who have the capacity to pay or who do not complete a work-out alternative in good faith. Borrowers who engage in strategic defaults will be ineligible for another Fannie Mae-backed loan for seven years from the date of the foreclosure. Additionally, Fannie Mae will seek deficiency judgments, which are allowed by New Mexico law. Fannie Mae plans to issue instructions to servicers outlining the new policies.


Numbers are up. June 2010 sales of single-family homes in both Santa Fe city and county increased by
20 percent: 99 home sales this June, compared to 82 in June 2009.

Prices are down. The overall median sales price of single-family homes in the city and county dropped from $434,500 in June 2009 to $395,000 in May 2010.

The total volume of home sales increased from $40.7 million in June 2009 to $47.1 million in June 2010. Condo and townhome sales decreased from 22 sales in June 2009 to 16 sales in June 2010. Bargain-hunters helped bring down values in June, but sales remained strong. Santa Fe home sales continue to stabilize, with the inventory of single-family homes down by 22 percent, from 1,694 in June 2009 to 1,380 in June 2010.


The National Association of Realtors has recently updated its online information related to meth labs to help property owners and the community better understand this serious housing issue. Unfortunately, the production of methamphetamine is relatively simple using common household items, but the chemicals can permeate nearly every surface of a home or property.

Exposure to these chemicals can result in the formation of cancer, organ damage, and other health problems, which can be more acute in children. Cleanup requires a hazardous materials team.

According to the Journal of Property Management, here are things to look for if you believe there is a meth lab on your property: strong chemical odors (for example, ether, cat urine, and ammonia); blacked-out windows; frequent visitors at odd times; rental payments made in cash; excessive trash (such as fuel cans, antifreeze containers, and other household products); red-stained walls; stripped batteries; and blue, corroded valves on propane cylinders.

Donna Reynolds is chief executive officer of the Santa Fe Association of Realtors (www.sfar.com).