I know some of these people did not realize, but surely there are some taking advantage of the current situation!!
"A report earlier this month from the Treasury Inspector General for Tax Administration estimates that 73,799 taxpayers have incorrectly claimed the first-time home buyer tax credit. The report concludes: “The IRS is unable to verify eligibility for the majority of Recovery Act benefits at the time a tax return is processed.”
The IRS didn’t dispute the claim, but said it was studying the matter further. Some have suggested that this report and others will encourage Congress to put some safeguards in place before more claims result from the extension and expansion of the tax credit.
Source: The New York Times, Lynnley Browning (12/22/2009)
Daily Real Estate News | December 28, 2009"
http://www.realtor.org/RMODaily.nsf/pages/News2009122801?OpenDocument
Monday, December 28, 2009
Interest Rates Predicted to Reach 6%
Something to keep in mind...
"Interest rates are likely to rise to 6 percent by the end of 2010, predicted Amy Crews Cutts, deputy chief economist at Freddie Mac.
The end of the Federal Reserve program that buys mortgage-backed securities will drive rates higher because private buyers will demand more return than the Fed.
"Extraordinary resources have been put into keeping the rates down and supporting the mortgage markets and it's hard to imagine that the rates can go much lower than they are," Crews Cutts said. "Anything we get at or below 5 percent is a gift at this point."
Source: Washington Post, Dina ElBoghdady (12/26/2009)
Daily Real Estate News | December 28, 2009"
http://www.realtor.org/RMODaily.nsf/pages/News2009122803?OpenDocument
"Interest rates are likely to rise to 6 percent by the end of 2010, predicted Amy Crews Cutts, deputy chief economist at Freddie Mac.
The end of the Federal Reserve program that buys mortgage-backed securities will drive rates higher because private buyers will demand more return than the Fed.
"Extraordinary resources have been put into keeping the rates down and supporting the mortgage markets and it's hard to imagine that the rates can go much lower than they are," Crews Cutts said. "Anything we get at or below 5 percent is a gift at this point."
Source: Washington Post, Dina ElBoghdady (12/26/2009)
Daily Real Estate News | December 28, 2009"
http://www.realtor.org/RMODaily.nsf/pages/News2009122803?OpenDocument
Sunday, November 29, 2009
TAX CREDITS FOR REPEAT HOME BUYERS :)
Do check this out, especially if you are thinking of buying another primary residence before the end of April 2010!!
"Frequently Asked Questions
About the Move-Up/Repeat Home Buyer Tax Credit
The Worker, Homeownership, and Business Assistance Act of 2009 has established a tax credit of up to $6,500 for qualified move-up/repeat home buyers (existing home owners) purchasing a principal residence after November 6, 2009 and on or before April 30, 2010 (or purchased by June 30, 2010 with a binding sales contract signed by April 30, 2010).
The following questions and answers provide basic information about the tax credit. If you have more specific questions, we strongly encourage you to consult a qualified tax advisor or legal professional about your unique situation."
http://www.federalhousingtaxcredit.com/faq2.php
"Frequently Asked Questions
About the Move-Up/Repeat Home Buyer Tax Credit
The Worker, Homeownership, and Business Assistance Act of 2009 has established a tax credit of up to $6,500 for qualified move-up/repeat home buyers (existing home owners) purchasing a principal residence after November 6, 2009 and on or before April 30, 2010 (or purchased by June 30, 2010 with a binding sales contract signed by April 30, 2010).
The following questions and answers provide basic information about the tax credit. If you have more specific questions, we strongly encourage you to consult a qualified tax advisor or legal professional about your unique situation."
http://www.federalhousingtaxcredit.com/faq2.php
TAX CREDITS !!!
They are here for awhile more, but not forever...
"Frequently Asked Questions
About the First-Time Home Buyer Tax Credit
The Worker, Homeownership, and Business Assistance Act of 2009 has extended the tax credit of up to $8,000 for qualified first-time home buyers purchasing a principal residence. The tax credit now applies to sales occurring on or after January 1, 2009 and on or before April 30, 2010. However, in cases where a binding sales contract is signed by April 30, 2010, a home purchase completed by June 30, 2010 will qualify.
For sales occurring after November 6, 2009, the Act establishes income limits of $125,000 for single taxpayers and $225,000 for married couples filing joint returns.
The income limits for sales occurring on or after January 1, 2009 and on or before November 6, 2009, are $75,000 for single taxpayers and $150,000 for married taxpayers filing joint returns.
The following questions and answers provide basic information about the tax credit. If you have more specific questions, we strongly encourage you to consult a qualified tax advisor or legal professional about your unique situation."
http://www.federalhousingtaxcredit.com/faq1.php
Wednesday, October 28, 2009
Tax Credit likely to continue in a form
"Tax Credit Extension Seems Likely It seems likely that the U.S. Senate will approve a deal to extend the First-Time Homebuyer Tax Credit, but the devil is in the details.
Florida Democrat Sen. Bill Nelson told reporters traveling to Florida with President Obama on Monday that he thought that the extension would be approved, but both senators and representatives are among those who think that there should be some fiscal offset for the cost of the extension. Spending any more money on the stimulus effort also could stir up a hornets' nest in some circles. The proposal in the Senate that appears to have the most likelihood of passage would extend the $8,000 credit through March 31, then its value would drop by $2,000 for each of the subsequent three quarters of 2010. This plan was offered by Senate Majority Leader Harry Reid of Nevada and Senate Finance Committee Chairman Max Baucus, a Montana Democrat."
Source: Associated Press, Andrew Taylor (10/26/2009) and The Wall Street Journal, John D. McKinnon (10/27/2009)
http://www.realtor.org/RMODaily.nsf/pages/News2009102701?OpenDocument10/27/09
Florida Democrat Sen. Bill Nelson told reporters traveling to Florida with President Obama on Monday that he thought that the extension would be approved, but both senators and representatives are among those who think that there should be some fiscal offset for the cost of the extension. Spending any more money on the stimulus effort also could stir up a hornets' nest in some circles. The proposal in the Senate that appears to have the most likelihood of passage would extend the $8,000 credit through March 31, then its value would drop by $2,000 for each of the subsequent three quarters of 2010. This plan was offered by Senate Majority Leader Harry Reid of Nevada and Senate Finance Committee Chairman Max Baucus, a Montana Democrat."
Source: Associated Press, Andrew Taylor (10/26/2009) and The Wall Street Journal, John D. McKinnon (10/27/2009)
http://www.realtor.org/RMODaily.nsf/pages/News2009102701?OpenDocument10/27/09
Wednesday, October 21, 2009
Jumbo Loan changes??
"Jumbo Freeze Might be Thawing
October 15, 2009 by Robert Freedman · 4 Comments
Filed under: Economics, Mortgage Financing
By Robert Freedman, senior editor, REALTOR® Magazine
It’s still early but there are signs the availability of jumbo financing might be improving—although underwriting standards probably won’t ease any time soon. That means the days of creditworthy borrowers having a tough time getting financing for an amount over the conforming loan limit might be ending but they’ll still have to come up with a significant down payment and be prepared to show lots of documentation, like three years worth of tax returns instead of the customary two.
NAR Chief Economist Lawrence Yun says lenders are slowly getting back into the game because the climate of dread is lifting: Wall Street analysts and business executives have recalibrated their performance scenarios to reflect the greatly improved conditions among lower-priced homes (thanks to the home buyer tax credit and steeply discounted pricing). That in turn is creating a virtuous cycle as the improved scenarios help relax concerns over the economy, pushing up equities, which in turn creates the wealth that further increases confidence.
In other words, the improving lower-end housing market and the rising stock market are helping to push big financial services companies back into the business of loaning money rather than hoarding cash. As a result, it’s not just safe agency loans that lenders are willing to make (Fannie, Freddie and FHA) but also non-conforming jumbo loans. That helps further the narrowing of the interest rate spread between comforming and non-conforming loans.
I spoke with Las Vegas luxury home sales specialist Kenneth Lowman yesterday and he says the jumbo market has a long way to go before it’s back to where it needs to be, but, importantly, big loans are being made again. Earlier this year, that wasn’t so clear-cut.
“We recenty did a jumbo loan in record time,” he says. It was for a home listed at a couple of million dollars—obviously not an everyday deal for most salespeople—but it closed in just 22 days. Six months ago, he says, that never would have happened.
Yun predicts that financing for jumbo loans, second homes, and commercial real estate will show marked improvement by the middle of 2010. By late 2011 or early 2012, we might even see more non-agency, private-label loans securitized by Wall Street.
Yet the mortgage market by then will surely be different than it was during the housing boom, and in a good way. Buyers will be far more careful about staying within budget and lenders will be far more cautious about making loans to buyers who aren’t staying within budget.
Yet there remains a big concern: inflation. Although prices remain stable because of continuing slack in the economy (high unemployment, excess business capacity), once the enconomy starts growing again federal budget deficits will create inflationary pressure. The main way to head that off, says Yun, is for the government to produce a credible plan for getting the deficit under control."
http://speakingofrealestate.blogs.realtor.org/2009/10/15/jumbo-freeze-might-be-thawing/
October 15, 2009 by Robert Freedman · 4 Comments
Filed under: Economics, Mortgage Financing
By Robert Freedman, senior editor, REALTOR® Magazine
It’s still early but there are signs the availability of jumbo financing might be improving—although underwriting standards probably won’t ease any time soon. That means the days of creditworthy borrowers having a tough time getting financing for an amount over the conforming loan limit might be ending but they’ll still have to come up with a significant down payment and be prepared to show lots of documentation, like three years worth of tax returns instead of the customary two.
NAR Chief Economist Lawrence Yun says lenders are slowly getting back into the game because the climate of dread is lifting: Wall Street analysts and business executives have recalibrated their performance scenarios to reflect the greatly improved conditions among lower-priced homes (thanks to the home buyer tax credit and steeply discounted pricing). That in turn is creating a virtuous cycle as the improved scenarios help relax concerns over the economy, pushing up equities, which in turn creates the wealth that further increases confidence.
In other words, the improving lower-end housing market and the rising stock market are helping to push big financial services companies back into the business of loaning money rather than hoarding cash. As a result, it’s not just safe agency loans that lenders are willing to make (Fannie, Freddie and FHA) but also non-conforming jumbo loans. That helps further the narrowing of the interest rate spread between comforming and non-conforming loans.
I spoke with Las Vegas luxury home sales specialist Kenneth Lowman yesterday and he says the jumbo market has a long way to go before it’s back to where it needs to be, but, importantly, big loans are being made again. Earlier this year, that wasn’t so clear-cut.
“We recenty did a jumbo loan in record time,” he says. It was for a home listed at a couple of million dollars—obviously not an everyday deal for most salespeople—but it closed in just 22 days. Six months ago, he says, that never would have happened.
Yun predicts that financing for jumbo loans, second homes, and commercial real estate will show marked improvement by the middle of 2010. By late 2011 or early 2012, we might even see more non-agency, private-label loans securitized by Wall Street.
Yet the mortgage market by then will surely be different than it was during the housing boom, and in a good way. Buyers will be far more careful about staying within budget and lenders will be far more cautious about making loans to buyers who aren’t staying within budget.
Yet there remains a big concern: inflation. Although prices remain stable because of continuing slack in the economy (high unemployment, excess business capacity), once the enconomy starts growing again federal budget deficits will create inflationary pressure. The main way to head that off, says Yun, is for the government to produce a credible plan for getting the deficit under control."
http://speakingofrealestate.blogs.realtor.org/2009/10/15/jumbo-freeze-might-be-thawing/
Housing Starts are rising
Well, not everything is bad in the real estate news, at least!!
"Housing Starts Rise
Single-family home construction, which accounts for 85 percent of the market, increased 3.9 percent to a 501,000 annual rate. Multi-family housing fell 15 percent to an 89,000 rate.
Building permits, an indicator of future construction, declined 1.2 percent from the August rate to a 573,000 annual rate in September.
Most of the gain in single-family starts was attributable to a 7.1 percent increase in the South. The other regions fell with the West declining 8.8 percent.
Source: Bloomberg News, Courtney Schlisserman (10/20/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009102001?OpenDocument#
First Time Tax Credit further infomation
Here, here! Let's hope that we do keep the tax credit, and keep on going forward :)
"NAR: Housing Tax Credit Is Working
One of the key ways to do that is for Congress to extend the home buyer tax credit, “The data on the present home buyer tax credit show that the credit has had its intended impact—sales have jumped in recent months to a projected 5.1 million for the year and housing inventory has been trimmed, thus stabilizing home prices noticeably,” Phipps said. He also pointed out that each home sale generates approximately $63,000 in additional economic activity, providing a tremendous economic boost to the national economy.
“But it is a fragile recovery, and now is the time to build on home sales momentum by extending the tax credit throughout 2010 and expanding it to all home buyers,” he said. The present credit, due to expire on November 30, cannot help new purchasers now who write a contract today—they won’t be able to close before the deadline, and will lose out on the credit, said Phipps. “Without congressional action now, the market and our national economy may freeze again—possibly as soon as this month.”
Make Loan Limits Permanent
Phipps called upon Congress to take action on a number of additional fronts to strengthen the recovery. First, make the FHA and Fannie Mae/Freddie Mac loan limits permanent; these are set to expire on December 31. “Maintaining current loan limits would ensure that families have access to low-cost financing to purchase homes and can refinance problematic loans into safer, more affordable mortgages,” Phipps said.
Secondary Mortgage Markets
In addition, Congress should continue the federal government's involvement in the secondary mortgage market. “Without the government’s involvement in the secondary mortgage market, market participants will have no incentive to reach out to lower-income, creditworthy consumers. We must ensure that the housing market works in all markets and at all times, and that mortgage capital is provided to all potential and qualified purchasers in a way that promotes sustainable homeownership,” said Phipps."
http://www.realtor.org/rmodaily.nsf/pages/News2009102101?OpenDocument
Daily Real Estate News | October 21, 2009
Tuesday, October 6, 2009
Mortgage Brokers and Mortgage Bankers
http://www.nga.org/Files/pdf/0805FORECLOSUREBANKER.PDF
"Mortgage Bankers and Mortgage Brokers Perform
Different Functions in the Mortgage Process
■ Brokers Act as Intermediaries between Consumers and Mortgage Bankers
Mortgage brokers are independent intermediaries who bring together prospective borrowers and
mortgage bankers. According to NAMB, a mortgage broker has “a working relationship with
numerous banks and other mortgage bankers and provides the consumer with access to hundreds
of options when it comes to financing a home.”6 Mortgage brokers tend to be small businesses and
frequently have little capital.
Mortgage brokers help arrange loans, performing application-related services, such as requesting
verification of the borrower’s employment, requesting credit and other information, and compiling
borrower documentation.7 Brokers typically do not provide loan funds.8
Brokers can — and do — provide substantial benefits to borrowers and mortgage bankers and contribute
to the efficiency of the mortgage industry. Brokers are an important distribution channel for
6 http://www.namb.org/namb/Mission.asp?SnID=1411867994
7 Until recently, brokers often arranged for property appraisals. Freddie Mac and Fannie Mae recently announced several
changes in their appraisal requirements, including a new policy that prohibits brokers from selecting or compensating appraisers.
See http://www.fanniemae.com/media/pdf/030308_agreement.pdf
8 In most instances, the mortgage broker assigns the mortgage to the mortgage banker at settlement and the mortgage broker
is paid for his or her origination services. This process is known as “table funding.”
A Report on Mortgage Bankers and Mortgage Brokers from the Mortgage Bankers Association
© Mortgage Bankers Association May 2008. All Rights Reserved.
...mortgage bankers’ loan products and, in particular, can enhance mortgage bankers’ ability to serve
traditionally underserved borrowers and communities.
■ Mortgage Bankers Provide Mortgage Funds
Mortgage bankers lend money through various channels: directly to consumers through their own
retail sales forces, by funding loans arranged by brokers or other mortgage bankers, and by purchasing
loans originated by other mortgage bankers. In most cases, mortgage bankers offer their own
products.9 Regardless of the lending channel, mortgage bankers are responsible for underwriting the
loan, which involves evaluating the borrower’s credit worthiness and the value of the home.
Once a loan is funded, mortgage bankers — depending on their business models — pursue various
paths. Some mortgage bankers hold the loans in their own portfolios; others sell the loan to a secondary
market investor. Separately, a mortgage banker may service the loan or sell the servicing rights.
Mortgage banking is highly competitive — mortgage bankers compete with each other and at times,
with mortgage brokers, for customers. Nearly 8,900 mortgage lenders reported under HMDA in
2006.10 Mortgage bankers compete for consumers through price, products, and services. Mortgage
bankers seek to offer attractive interest rates and loan terms and to develop innovative loan products
and services to meet a variety of consumer mortgage needs. Additionally, if a mortgage banker
services loans, they provide continuous customer service and support to borrowers during the life
of the loan.
Mortgage bankers are organized in many forms, such as federal- and state-chartered banks, thrifts,
credit unions, and other depository institutions, as well as non-depository mortgage companies.
Mortgage bankers come in many different sizes, from small businesses to large multinational
corporations.
Differing Functions of Mortgage Bankers and Brokers
Lead to Vastly Different Consumer Expectations
The different functions and services of mortgage bankers and mortgage brokers lead consumers to
have vastly differing expectations of each. Consumer expectations of mortgage brokers often do not
match brokers’ actions and responsibilities, which effectively limits the consumer’s ability to protect
his or her own interests.
9 Mortgage bankers sometimes function as mortgage brokers, offering the loan products of other, larger mortgage bankers.
Where a mortgage banker performs the function of a mortgage broker, MBA believes that the banker should be subject
to the same disclosure requirements as a broker.
"Mortgage Bankers and Mortgage Brokers Perform
Different Functions in the Mortgage Process
■ Brokers Act as Intermediaries between Consumers and Mortgage Bankers
Mortgage brokers are independent intermediaries who bring together prospective borrowers and
mortgage bankers. According to NAMB, a mortgage broker has “a working relationship with
numerous banks and other mortgage bankers and provides the consumer with access to hundreds
of options when it comes to financing a home.”6 Mortgage brokers tend to be small businesses and
frequently have little capital.
Mortgage brokers help arrange loans, performing application-related services, such as requesting
verification of the borrower’s employment, requesting credit and other information, and compiling
borrower documentation.7 Brokers typically do not provide loan funds.8
Brokers can — and do — provide substantial benefits to borrowers and mortgage bankers and contribute
to the efficiency of the mortgage industry. Brokers are an important distribution channel for
6 http://www.namb.org/namb/Mission.asp?SnID=1411867994
7 Until recently, brokers often arranged for property appraisals. Freddie Mac and Fannie Mae recently announced several
changes in their appraisal requirements, including a new policy that prohibits brokers from selecting or compensating appraisers.
See http://www.fanniemae.com/media/pdf/030308_agreement.pdf
8 In most instances, the mortgage broker assigns the mortgage to the mortgage banker at settlement and the mortgage broker
is paid for his or her origination services. This process is known as “table funding.”
A Report on Mortgage Bankers and Mortgage Brokers from the Mortgage Bankers Association
© Mortgage Bankers Association May 2008. All Rights Reserved.
...mortgage bankers’ loan products and, in particular, can enhance mortgage bankers’ ability to serve
traditionally underserved borrowers and communities.
■ Mortgage Bankers Provide Mortgage Funds
Mortgage bankers lend money through various channels: directly to consumers through their own
retail sales forces, by funding loans arranged by brokers or other mortgage bankers, and by purchasing
loans originated by other mortgage bankers. In most cases, mortgage bankers offer their own
products.9 Regardless of the lending channel, mortgage bankers are responsible for underwriting the
loan, which involves evaluating the borrower’s credit worthiness and the value of the home.
Once a loan is funded, mortgage bankers — depending on their business models — pursue various
paths. Some mortgage bankers hold the loans in their own portfolios; others sell the loan to a secondary
market investor. Separately, a mortgage banker may service the loan or sell the servicing rights.
Mortgage banking is highly competitive — mortgage bankers compete with each other and at times,
with mortgage brokers, for customers. Nearly 8,900 mortgage lenders reported under HMDA in
2006.10 Mortgage bankers compete for consumers through price, products, and services. Mortgage
bankers seek to offer attractive interest rates and loan terms and to develop innovative loan products
and services to meet a variety of consumer mortgage needs. Additionally, if a mortgage banker
services loans, they provide continuous customer service and support to borrowers during the life
of the loan.
Mortgage bankers are organized in many forms, such as federal- and state-chartered banks, thrifts,
credit unions, and other depository institutions, as well as non-depository mortgage companies.
Mortgage bankers come in many different sizes, from small businesses to large multinational
corporations.
Differing Functions of Mortgage Bankers and Brokers
Lead to Vastly Different Consumer Expectations
The different functions and services of mortgage bankers and mortgage brokers lead consumers to
have vastly differing expectations of each. Consumer expectations of mortgage brokers often do not
match brokers’ actions and responsibilities, which effectively limits the consumer’s ability to protect
his or her own interests.
9 Mortgage bankers sometimes function as mortgage brokers, offering the loan products of other, larger mortgage bankers.
Where a mortgage banker performs the function of a mortgage broker, MBA believes that the banker should be subject
to the same disclosure requirements as a broker.
10 Robert B. Avery, Kenneth P. Brevoort, and Glenn B. Canner, “The HMDA Data,” Federal Reserve Bulletin, December 2007."
http://www.federalreserve.gov/pubs/bulletin/2007/pdf/hmda06final.pdf
Time to buy is now!
"Daily Real Estate News | October 6, 2009 | Share
A Historic Time to Buy
Young people just starting to invest and buying their first homes are potentially the winners in this recession.
First-time homebuyers, most between the ages of 25 and 45, accounted for about 45 percent of home sales from January through July 2009, according to the National Association of REALTORS®
"This is a historic time," says George Jaramillo, a 35-year-old business analyst in Atlanta, who recently bought three homes, two of them foreclosures. "It's a great opportunity to make some great gains in the future."
A study by investment company T. Rowe Price points out that investing when prices are low can result in amazing gains. For instance, between 1970 and 1990, the annualized rate of return for the S&P 500 was 11.5 percent.
"We need to be shouting from the rooftops that this is not the time to get out of the market if you're young," says Christine Fahlund, a senior financial planner with T. Rowe Price. "This is the time to be in the market."
Source: The Associated Press, Chip Cutter (10/05/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009100601?OpenDocument#
A Historic Time to Buy
Young people just starting to invest and buying their first homes are potentially the winners in this recession.
First-time homebuyers, most between the ages of 25 and 45, accounted for about 45 percent of home sales from January through July 2009, according to the National Association of REALTORS®
"This is a historic time," says George Jaramillo, a 35-year-old business analyst in Atlanta, who recently bought three homes, two of them foreclosures. "It's a great opportunity to make some great gains in the future."
A study by investment company T. Rowe Price points out that investing when prices are low can result in amazing gains. For instance, between 1970 and 1990, the annualized rate of return for the S&P 500 was 11.5 percent.
"We need to be shouting from the rooftops that this is not the time to get out of the market if you're young," says Christine Fahlund, a senior financial planner with T. Rowe Price. "This is the time to be in the market."
Source: The Associated Press, Chip Cutter (10/05/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009100601?OpenDocument#
First Time Buyer Tax Credit expiring??
"First-time home buyer tax credit set to expire
Robert Selna, Chronicle Staff Writer
Wednesday, September 30, 2009
(09-29) 20:28 PDT -- The $8,000 federal tax credit for first-time home buyers is soon to expire, causing anxious house hunters to hustle and prompting a debate in Congress over extending a program that some say is central to the fragile real estate recovery.
The rebate is available to anyone who has not owned a home in the past three years. The government introduced the program in February as part of the stimulus package, and several studies estimate that by the Nov. 30 expiration date, it will have spurred several hundred thousand home sales.
The real estate industry in California and across the nation is lobbying Congress to extend the credit through next summer. Meanwhile, local Realtors and prospective buyers are eager to complete sales - which sometimes take months - not knowing whether the credit will be continued.
"The refund has had a tremendously positive impact," said James Liptak, president of the California Association of Realtors. "Home prices are down considerably, and one of the big things that has made people jump into the market is the credit."
Critics argue that American taxpayers are simply footing a windfall for purchasers who would have bought homes anyway. Real estate industry statistics suggest that approximately 1.8 million people are expected to receive the credit. They also indicate that the rebate spurred 350,000 home sales.
"That means that about 85 percent of the people who got the credit were already going to buy homes," said Ted Gayer, a Brookings Institution economist who focuses on housing and public finance. "The idea of a subsidy is to get people to change their behavior. This subsidy costs a lot of money and is only getting small number of people to change their behavior."
New homeowners Nicole Kitchen and her husband, Jared, said the tax rebate was a significant factor in pushing them to buy their Martinez house this summer. The credit allowed them to purchase a new washer, dryer, refrigerator, stove, television, two couches and other furniture.
The couple amended their 2008 taxes and received the benefit almost immediately.
"We would have had to pay for the new things with a credit card or put a smaller payment down on the house," said Nicole Kitchen, a 31-year-old teacher in Martinez. "This is a great way to boost the economy."
The Kitchens had additional motivation for buying a house, including the fact that the couple's first child was nearly a year old, interest rates were low and prices had fallen dramatically from years past.
Members of the House and the Senate have proposed more than 20 bills to extend and/or expand the credit.
A proposal by Rep. Ken Calvert, R-Corona (Riverside County), mirrors a bill sponsored by Sen. Johnny Isakson, R-Ga. The lawmakers want to offer the tax credit for another year, increase it to $15,000 and make it available to any buyer who stays in a home for at least two years.
Gayer from Brookings estimates that such a program could cost $30 billion. As it stands, the government is on track to spend $15 billion.
"California needs to stimulate demand; there's a lot of inventory out there and increasing the program to $15,000 could help (decrease) some of that supply," said Calvert's spokeswoman, Rebecca Rudman.
Others agree. They say that extending the tax incentive program is worthwhile given the importance of the housing market to the overall economy and the relatively small cost of the credit.
The housing market is unpredictable. It slumped in August after four months of gains. Nationally, sales of existing (not new) homes dropped 2.7 percent. The Bay Area saw a 15 percent decline.
Additional foreclosures also are on the horizon. In 2010, many option adjustable rate mortgages, which were popular in the Bay Area, will begin to readjust. When they do, borrowers will be hit with much higher monthly mortgage bills, possibly triggering the next big wave of foreclosures.
"The economy is trying to gain traction and the housing market is a big piece of that," said Mark Zandi, chief economist at Moody's Economy.com. "We are likely to have a lot of foreclosures next year, so it's good to give everyone who wants to buy a chance to buy."
© 2009 Hearst Communications Inc. | Privacy Policy | Feedback | RSS Feeds | FAQ | Site Index | Contact
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/09/30/MNCH19U14D.DTL&type=printable
Monday, September 28, 2009
LAKE COUNTY Foreclosures
Lake County Foreclosure / Bank Owned Properties~
More of the Higher Priced Homes are Selling in Sonoma Co
Did a bit of searching today... and confirmed that many of the buyers who would be looking in Mendocino County are possibly looking in Sonoma County right now... and this may continue until those good deals and distress sales have slowed to a crawl there!
Searching BAREIS for Residential over $700,000 that has sold in both Mendocino and Sonoma Counties for 2008 and 2009 reveals:
25 sold in Mendocino County for 2008 and 586 sold in Sonoma County for 2008
9 sold in Mendocino County for 2009 and 307 sold in Sonoma County for 2009 so far...
What does this tell us? That Mendocino County has seen a 74% reduction in sales, while Sonoma County has only seen a 47.6% reduction. Which means that those buyers seem to be sticking around Sonoma County as opposed to buying in Mendocino County! Until the bank owned and short sales are cleared out in Sonoma County, I expect this to continue for awhile, too...
Friday, September 25, 2009
Mortgage Rate Info
"Daily Real Estate News | September 25, 2009 | Share
Mortgage Rates Hold Steady
The average rate on 30-year, fixed mortgages held at 5.04 percent for the week ended Sept. 24—down from 6.09 percent a year ago, according to Freddie Mac.
Interest on 30-year, fixed loans has declined in the past three weeks, according to Freddie Mac chief economist Frank Nothaft, and the Mortgage Bankers Association reported a 13 percent increase in application volume last week.
Other rates performed as follows:
15-year fixed loans dipped for the week from 4.47 percent to 4.46 percent.
Five-year hybrid adjustable-rate mortgages were flat at 4.51 percent.
One-year ARMs fell from 4.58 percent to 4.52 percent."
Source: Wall Street Journal (09/25/09)
http://www.realtor.org/RMODaily.nsf/pages/News2009092503?OpenDocument
Mortgage Rates Hold Steady
The average rate on 30-year, fixed mortgages held at 5.04 percent for the week ended Sept. 24—down from 6.09 percent a year ago, according to Freddie Mac.
Interest on 30-year, fixed loans has declined in the past three weeks, according to Freddie Mac chief economist Frank Nothaft, and the Mortgage Bankers Association reported a 13 percent increase in application volume last week.
Other rates performed as follows:
15-year fixed loans dipped for the week from 4.47 percent to 4.46 percent.
Five-year hybrid adjustable-rate mortgages were flat at 4.51 percent.
One-year ARMs fell from 4.58 percent to 4.52 percent."
Source: Wall Street Journal (09/25/09)
http://www.realtor.org/RMODaily.nsf/pages/News2009092503?OpenDocument
Thursday, September 24, 2009
Foreclosure Homes coming on another wave...
More Foreclosures on the way...
"Daily Real Estate News | September 24, 2009 | Share
Legal entanglements and well-intentioned home-owner-assistance efforts have slowed the pace of foreclosures, but eventually many of these distressed homes will hit the market anyway.
Some observers say these delays are prolonging the housing crisis and creating a “shadow” inventory that will cause more housing market pain.
"There's going to be a flood [of bank-owned homes] listed for sale at some point," says John Burns, a real-estate consultant based in Irvine, Calif.
Burns believes that when the onslaught hits, it will drive down home prices still further. On average, he expects home prices to fall another 6 percent next year.
Ivy Zelman, CEO of Zelman & Associates research firm, estimates that there are 3 million to 4 million foreclosed homes that will hit the market in the next few years. How traumatic the impact will be depends on whether the flow of homes going up for sale resembles "a fire hose or a garden hose or a drip," she says.
Source: The Wall Street Journal, Ruth Simon and James R. Hagerty (09/23/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009092403?OpenDocument
Thursday, September 17, 2009
Building Confidence?
"Daily Real Estate News | September 17, 2009
Builder Confidence Is Building
Home builder confidence in the housing market rose in September for the third month in a row from 18 to 19, which is the highest level since May 2008, according to the monthly index calculated by the National Association of Home Builders and Wells Fargo.
The index hit a low of 8 in January. Any number below 50 is considered negative.
The NAHB credits the first-time home buyer tax credit for this summer’s market improvement, as well as low interest rates and home prices, says Joe Robson, NAHB’s chair.
The index also projects the strength of the market going forward. That measure fell one point in September to 29 because of the expiring tax credit. In a statement, Robson says, “Builders are concerned about what will keep the market moving once the credit is gone.”
Source: Bloomberg, Bob Willis (09/16/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009091702?OpenDocument
Builder Confidence Is Building
Home builder confidence in the housing market rose in September for the third month in a row from 18 to 19, which is the highest level since May 2008, according to the monthly index calculated by the National Association of Home Builders and Wells Fargo.
The index hit a low of 8 in January. Any number below 50 is considered negative.
The NAHB credits the first-time home buyer tax credit for this summer’s market improvement, as well as low interest rates and home prices, says Joe Robson, NAHB’s chair.
The index also projects the strength of the market going forward. That measure fell one point in September to 29 because of the expiring tax credit. In a statement, Robson says, “Builders are concerned about what will keep the market moving once the credit is gone.”
Source: Bloomberg, Bob Willis (09/16/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009091702?OpenDocument
Coldwell Banker JD Power and Assoc Award
Good to hear! I know that I certainly do try to give the best I can in terms of service, and it' s great that Coldwell Banker in general has a good reputation, too!
Take care,
Karena
"J.D. POWER AND ASSOCIATES RANKS COLDWELL BANKER HIGHEST IN HOME SELLER SATISFACTION
PARSIPPANY, N.J. – Sept. 17, 2009 – Coldwell Banker Real Estate LLC ranked highest among real estate companies in satisfying home sellers according to the recently released J.D. Power and Associates 2009 Home Buyer/Seller StudySM.
“This recognition is a testament to the brand’s legacy as an industry leader, our commitment to innovation and, above all, our powerful network,” said Jim Gillespie, president and CEO of Coldwell Banker Real Estate LLC. “With unsurpassed local knowledge, expertise and work ethic, we at Coldwell Banker have always felt that our network of professionals is the greatest in the industry, and we’re pleased J.D. Power and Associates recognized it.”
The independently administered study measured customer satisfaction of homebuyers and sellers among the largest national real estate firms. The study incorporates more than 3,100 evaluations from 2,801 respondents who bought or sold a home between April 2008 and June 2009. The survey was fielded between April and June 2009.
J.D. Power and Associates examined four factors in the home-selling experience including: agent; marketing; office; and package of additional services. Among home sellers, Coldwell Banker Real Estate ranked highest with a score of 815 and performed particularly well in all four factors.
Coldwell Banker Real Estate also ranked particularly high in the home-buyer segment. The brand ranked second with a score of 801 on a 1,000-point scale, performing particularly well in the office factor.
Complete results for the study can be found here.
About Coldwell Banker®
Since 1906, the Coldwell Banker® organization has been a premier full-service real estate provider. In 2008, Franchise Times magazine’s prestigious Top 200 issue ranked the Coldwell Banker system No. 1 in real estate for the ninth straight year and 12th among franchisors in all industries. The Coldwell Banker System has approximately 3,500 residential real estate offices and approximately 100,000 sales associates in 47 countries and territories. The Coldwell Banker System is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. It is a pioneer in consumer services with its Coldwell Banker Concierge® Service Program and award-winning Web site, www.coldwellbanker.com. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction. The company's quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on home building and home improvement, car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.
### "
From cbnet@email.coldwellbanker.com email dated 9/17/09
Take care,
Karena
"J.D. POWER AND ASSOCIATES RANKS COLDWELL BANKER HIGHEST IN HOME SELLER SATISFACTION
PARSIPPANY, N.J. – Sept. 17, 2009 – Coldwell Banker Real Estate LLC ranked highest among real estate companies in satisfying home sellers according to the recently released J.D. Power and Associates 2009 Home Buyer/Seller StudySM.
“This recognition is a testament to the brand’s legacy as an industry leader, our commitment to innovation and, above all, our powerful network,” said Jim Gillespie, president and CEO of Coldwell Banker Real Estate LLC. “With unsurpassed local knowledge, expertise and work ethic, we at Coldwell Banker have always felt that our network of professionals is the greatest in the industry, and we’re pleased J.D. Power and Associates recognized it.”
The independently administered study measured customer satisfaction of homebuyers and sellers among the largest national real estate firms. The study incorporates more than 3,100 evaluations from 2,801 respondents who bought or sold a home between April 2008 and June 2009. The survey was fielded between April and June 2009.
J.D. Power and Associates examined four factors in the home-selling experience including: agent; marketing; office; and package of additional services. Among home sellers, Coldwell Banker Real Estate ranked highest with a score of 815 and performed particularly well in all four factors.
Coldwell Banker Real Estate also ranked particularly high in the home-buyer segment. The brand ranked second with a score of 801 on a 1,000-point scale, performing particularly well in the office factor.
Complete results for the study can be found here.
About Coldwell Banker®
Since 1906, the Coldwell Banker® organization has been a premier full-service real estate provider. In 2008, Franchise Times magazine’s prestigious Top 200 issue ranked the Coldwell Banker system No. 1 in real estate for the ninth straight year and 12th among franchisors in all industries. The Coldwell Banker System has approximately 3,500 residential real estate offices and approximately 100,000 sales associates in 47 countries and territories. The Coldwell Banker System is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. It is a pioneer in consumer services with its Coldwell Banker Concierge® Service Program and award-winning Web site, www.coldwellbanker.com. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction. The company's quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on home building and home improvement, car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.
### "
From cbnet@email.coldwellbanker.com email dated 9/17/09
Wednesday, September 16, 2009
Tax Credit information
More information regarding the tax credit...
"The tax credit does not have to be repaid.
The tax credit is equal to 10% of the home purchase up to a max of $8,000.
...available until December 1, 2009.
... The buyer must live in the house for 3 years, or they will be obligated to pay back the credit.
Just claim it on your return. No other forms or papers have to be filed..."
Thanks, lender Rick Costa for this information. He can be reached at 707 529 3374 (cell) for further questions.
Thanks, and have a great day!
-Karena
"The tax credit does not have to be repaid.
The tax credit is equal to 10% of the home purchase up to a max of $8,000.
...available until December 1, 2009.
... The buyer must live in the house for 3 years, or they will be obligated to pay back the credit.
Just claim it on your return. No other forms or papers have to be filed..."
Thanks, lender Rick Costa for this information. He can be reached at 707 529 3374 (cell) for further questions.
Thanks, and have a great day!
-Karena
tax credit to stay around ??
Will the tax credit stay around for awhile? Here are some thoughts...
"Daily Real Estate News | September 16, 2009 |
Economists: Extend the Housing Tax Credit
More than 40 percent of all home buyers in 2009 will qualify for the federal tax credit, costing the government about $15 billion, twice the original estimate, but most housing experts applaud the policy and favor expanding it.
Now the decision is up to Congress.
Mark Zandi, chief economist for Moody’s Economy.com, believes that the credit should be expanded to all homebuyers, even investors, through summer of 2010. “The risks of not doing something like this are too great,” he said. “I don’t think the coast is clear.”
James Glassman of JPMorgan Chase also favors expanding the credit but continuing to limit it to first-time buyers.
Industry members who are lobbying for the extension are optimistic and say they believe an extension will be approved in some form. “There will be a lot of water under the bridge, a lot of compromise, between now” and a final bill, said Richard A. Smith, chairman of the Business Roundtable’s Housing Working Group.
Source: The New York Times, David Streitfeld (09/15/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009091601?OpenDocument
"Daily Real Estate News | September 16, 2009 |
Economists: Extend the Housing Tax Credit
More than 40 percent of all home buyers in 2009 will qualify for the federal tax credit, costing the government about $15 billion, twice the original estimate, but most housing experts applaud the policy and favor expanding it.
Now the decision is up to Congress.
Mark Zandi, chief economist for Moody’s Economy.com, believes that the credit should be expanded to all homebuyers, even investors, through summer of 2010. “The risks of not doing something like this are too great,” he said. “I don’t think the coast is clear.”
James Glassman of JPMorgan Chase also favors expanding the credit but continuing to limit it to first-time buyers.
Industry members who are lobbying for the extension are optimistic and say they believe an extension will be approved in some form. “There will be a lot of water under the bridge, a lot of compromise, between now” and a final bill, said Richard A. Smith, chairman of the Business Roundtable’s Housing Working Group.
Source: The New York Times, David Streitfeld (09/15/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009091601?OpenDocument
Wednesday, August 26, 2009
More information on those Appraisal rules...
Here is some more information about the newer appraisal rules that went into effect earlier this year... there are some additional loan rules/etc that will be introduced soon that will increase the length of escrow time and possibly interfere with the buyer's timing of rate locks/etc. yikes!!
Take care, Karena
"Realtors: Home Appraisal Rule "Destroying" Recovery
Written for the web byPosted By: George Warren, Reporter
CARMICHAEL, CA - Real estate agents say a new regulation aimed at reducing mortgage fraud is hampering the market's recovery.
"I've never seen a market like this where a ready, willing and able buyer couldn't buy the property," said veteran broker Bert MacBride.
MacBride just lost three deals in a row because of the Home Valuation Code of Conduct (HVCC), which establishes restrictions on appraisals for conforming home loans. The HVCC took effect May 1.
The HVCC prohibits mortgage brokers and Realtors from contacting local appraisers to prevent undue influence. Instead, lenders draw from a pool of appraisers through an intermediary known as an appraisal management company.
"These appraisers may be 200 or 300 miles from the marketplace," said Rick Cunningham, a Fair Oaks appraiser who has seen his business drop by two-thirds since the HVCC took effect. "They (out-of-town appraisers) lack the data to do a competent report."
MacBride spoke to News10 in front of the Carmichael duplex where his latest transaction collapsed. The duplex was listed at $180,000 and attracted four offers. MacBride's was the highest at $188,000.
But a Bay Area appraiser valued the property at $165,000. The lender balked and the deal fell through.
MacBride said the appraiser probably used comparable properties that were bank-owned or in Citrus Heights, which is just a block away.
"There's something wrong with this appraisal process that needs to be corrected," MacBride said.
Tracey Saizan, the Keller Williams agent listing the duplex, said the seller has now dropped his price to $165,000 to reflect the appraisal and will lose $23,000 as a result. She said the seller also spent $4,400 unnecessarily on pest repairs before the deal fell apart.
"This (the HVCC) is destroying any chance we had of turning this market around," Saizan said. "We're going backwards."
Rep. Doris Matsui, D-Sacramento, has sent a letter to HUD Secretary Shaun Donovan asking him to review the HVCC.
by George Warren, GWarren@news10.net
Created: 8/25/2009 4:13:24 PM Updated: 8/25/2009 7:25:33 PM "
Wednesday, August 19, 2009
Say No to Spending More Money on Appraisals
Remove the insane Appraisal Rules~
Please take a moment and go to
http://www.hvccpetition.com/SignPetition.aspx
and say NO to this regulation that has already cost consumers and buyers needless hundreds of additional dollars...
"URGENT HVCC UPDATE:
Thanks for signing our petition. HVCC Continues to devastate home values across the US. We fear that with higher Fannie and Freddie loan limits it will carry through to our former “jumbo” markets, leading the country even further into recession. As we’ve shared, Representatives Childers (D-MS) and Miller (R-CA) introduced legislation (H.R. 3044) requesting an 18 month moratorium on the Home Valuation Code of Conduct (HVCC). H.R. 3044 now has over 54 co-sponsors and now is the time to forward our petition to every person you know and every representative in the country. Read some of the comments in the petition and you will soon understand the harmful nature of this horribly misguided code.
ThinkBigWorkSmall applauds the introduction of H.R. 3044 and would like to thank Representative Childers (D-MS) and Representative Miller (R-CA) for their continued efforts and leadership on this issue but it is not enough. Tens of thousands of consumers have already been robbed of their opportunity to enjoy historically low rates by Attorney General Andrew Cuomo’s rule. HVCC needs to be permanently reversed in order to restore lower costs to the consumer and to protect the thousands of real estate transactions stalled by this horribly misguided code.
Please sign and forward the following petition and forward to everyone you know in the industry and ask them to forward to their representatives:
www.hvccpetition.com"
Please take a moment and go to
http://www.hvccpetition.com/SignPetition.aspx
and say NO to this regulation that has already cost consumers and buyers needless hundreds of additional dollars...
"URGENT HVCC UPDATE:
Thanks for signing our petition. HVCC Continues to devastate home values across the US. We fear that with higher Fannie and Freddie loan limits it will carry through to our former “jumbo” markets, leading the country even further into recession. As we’ve shared, Representatives Childers (D-MS) and Miller (R-CA) introduced legislation (H.R. 3044) requesting an 18 month moratorium on the Home Valuation Code of Conduct (HVCC). H.R. 3044 now has over 54 co-sponsors and now is the time to forward our petition to every person you know and every representative in the country. Read some of the comments in the petition and you will soon understand the harmful nature of this horribly misguided code.
ThinkBigWorkSmall applauds the introduction of H.R. 3044 and would like to thank Representative Childers (D-MS) and Representative Miller (R-CA) for their continued efforts and leadership on this issue but it is not enough. Tens of thousands of consumers have already been robbed of their opportunity to enjoy historically low rates by Attorney General Andrew Cuomo’s rule. HVCC needs to be permanently reversed in order to restore lower costs to the consumer and to protect the thousands of real estate transactions stalled by this horribly misguided code.
Please sign and forward the following petition and forward to everyone you know in the industry and ask them to forward to their representatives:
www.hvccpetition.com"
People Still Want to Buy Homes
LOOK!! People still want to own homes out there :)
Take care,
Karena Jolley
MendoGroup team
CBMR
http://www.MendoGroup.com
"Daily Real Estate News | August 19, 2009 | Share
Study: Americans Still Want to Be Home Owners
Despite all of the bad news in the media about homeownership and mortgages, most Americans still believe buying a home is a great investment, according to a new study commissioned by Bankrate.com.
Among the findings from the study:
92 percent say that a home is a good investment for the future.
48 percent worry about losing or being unable to afford their homes.
"These results provide an interesting illustration of the public's mindset in a difficult economy," says Julie Bandy, editor in chief at Bankrate. "While nine out of 10 still believe in the American dream of homeownership, nearly half worry about losing their homes.”
Source: Bankrate.com (08/18/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009081901?OpenDocument
Take care,
Karena Jolley
MendoGroup team
CBMR
http://www.MendoGroup.com
"Daily Real Estate News | August 19, 2009 | Share
Study: Americans Still Want to Be Home Owners
Despite all of the bad news in the media about homeownership and mortgages, most Americans still believe buying a home is a great investment, according to a new study commissioned by Bankrate.com.
Among the findings from the study:
92 percent say that a home is a good investment for the future.
48 percent worry about losing or being unable to afford their homes.
"These results provide an interesting illustration of the public's mindset in a difficult economy," says Julie Bandy, editor in chief at Bankrate. "While nine out of 10 still believe in the American dream of homeownership, nearly half worry about losing their homes.”
Source: Bankrate.com (08/18/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009081901?OpenDocument
Water Shortage issue in CA
Below is an article on the water shortage crisis in CA and the affects on farmers, too. A difficult situation, and no easy answers...
Take care, and talk to you soon,
Karena Jolley of the MendoGroup team
Coldwell Banker Mendo Realty
707 354 2999
www.MendoGroup.com
"Severe water shortages draw renewed focus
Issue Date: August 19, 2009
By Kate Campbell
Assistant Editor
With reservoirs at alarmingly low levels, a key official said the federal government will make it a top priority to restore the Sacramento-San Joaquin Delta and ensure reliable water supplies in California. Deputy Interior Secretary David Hayes told people who packed a Sacramento water forum last week that the Obama administration considers the delta ecosystem to be of national significance.
"It's the largest estuary on the west coast of the Americas, north and south," Hayes said. "It provides important ecological benefits and more than 20 million Californians rely on the delta for part of their water supply."
More Information
Storage in Key Reservoirs (PDF, 2.4 MB)
Storage in San Luis Reservoir has been hurt by restrictions on water pumping from the Sacramento-San Joaquin Delta. Other key reservoirs also hold less water than average for mid-August.
He likened the delta's importance to that of the Everglades, the Great Lakes and Chesapeake Bay.
Hayes said Interior Secretary Ken Salazar will hold a public forum in Washington, D.C., next month to discuss delta restoration plans and improve supply reliability.
He said solutions must involve both ecosystem restoration and structural improvements to the state's water system.
"This ecosystem is one of the jewels of the West Coast," Hayes said. "Some new engineering may be what saves California."
Water storage behind Oroville Dam stands at less than 60 percent of average for this time of year.Presentations during the forum included a summary of the findings of the Governor's Blue Ribbon Task Force on the delta and highlighted ongoing efforts to shape the Bay Delta Conservation Plan, in which the California Farm Bureau Federation has been heavily involved.
Chris Scheuring, CFBF managing counsel for the Natural Resources and Environmental Division, who attended last week's forum, said the event may help build momentum for solutions to the state's ongoing water crisis.
"Farm Bureau continues to work toward water supply solutions. Regulatory relief remains a concern, but the real solution is probably a physically improved infrastructure, including more surface water storage, if we are to get California out of crisis mode," Scheuring said.
"That also means conveyance improvements that restore delivery to points south of the delta, while taking care to protect our delta farmers and stabilize the delta ecosystem along the way," he said. "Like many other organizations and government agencies, Farm Bureau is devoting a great deal of its resources toward that end."
State officials also said a series of public information workshops on the Bay Delta Conservation Plan will update the public on progress toward action steps. The workshops are slated for later this month in Brentwood, Stockton and Walnut Grove.
In addition, the state Department of Water Resources has been holding a series of "get ready" workshops that stress drought emergency planning and stepped-up water conservation aimed at water agencies.
Ron Milligan, operations manager of the U.S. Bureau of Reclamation's Central Valley Project, said that as the 2009 water year ends there is "serious concern about water supply levels" and the limited resources being carried into the 2010 water year.
Because of multiple dry years and declining reservoir levels, he said the CVP has carryover this year of about 1 million acre-feet less than the historic average for this time of year.
"The past year has been challenging," Milligan said, because new regulations based on a U.S. Fish and Wildlife Service biological opinion limit water transfers from the delta to protect delta smelt.
"Clearly, some areas of the state have had record low water allocations, but in other areas contractors were getting their full allocations," he said. "But right now, our most significant reservoirs only have about 22 percent of normal water storage for this time of year."
The DWR Drought Operations Center reported statewide reservoir storage as of Friday stood at about 75 percent of the historic average for the date, but with individual key reservoirs much lower.
Milligan said the Bureau of Reclamation is doing everything it can to remove institutional and regulatory barriers to help move water from districts that may have supplies to those that are short. The drought water bank and private water users north of the delta have been able to make about 600,000 acre-feet available for transfer in 2009 to districts in need.
Wendy Martin, DWR statewide drought water coordinator, outlined preparation efforts for the 2010 water year.
"The reality is we just don't know what next year will bring, but whatever is done to prepare must be done now," Martin said. "I hope it rains like crazy, but I'm afraid it might continue dry."
She said water conservation continues to be a "critical part of the equation" for drought response. Programs to improve conservation by districts, industries and local communities are being rolled out now. A statewide public awareness campaign is being launched on radio and television. The federal government has just made $140 million available for the state's drought response.
"We have tremendous opportunity to save water, by individual water delivery systems, businesses, agriculture," Martin said.
Officials stressed at last week's forum that the state's water supply is static and, given continued population growth and the unknown impacts of climate change, future water shortages are likely if something isn't done.
In a separate action last week, more than 50 mayors from the San Joaquin Valley called on President Obama to visit the area himself, saying three years of drought coupled with court-ordered protections for threatened fish species have sapped critical irrigation supplies.
With idled land have come thousands of lost jobs on farms and in related businesses. Unemployment rates have reached 40 percent in some western San Joaquin Valley communities, and local officials issued the invitation to the president as part of continuing efforts to call attention to the economic impact of water policy.
(Kate Campbell is an assistant editor of Ag Alert. She may be contacted at kcampbell@cfbf.com.)
Permission for use is granted, however, credit must be made to the California Farm Bureau Federation when reprinting this item."
http://www.cfbf.com/agalert/AgAlertStory.cfm?ID=1365&ck=CF1F78FE923AFE05F7597DA2BE7A3DA8
Take care, and talk to you soon,
Karena Jolley of the MendoGroup team
Coldwell Banker Mendo Realty
707 354 2999
www.MendoGroup.com
"Severe water shortages draw renewed focus
Issue Date: August 19, 2009
By Kate Campbell
Assistant Editor
With reservoirs at alarmingly low levels, a key official said the federal government will make it a top priority to restore the Sacramento-San Joaquin Delta and ensure reliable water supplies in California. Deputy Interior Secretary David Hayes told people who packed a Sacramento water forum last week that the Obama administration considers the delta ecosystem to be of national significance.
"It's the largest estuary on the west coast of the Americas, north and south," Hayes said. "It provides important ecological benefits and more than 20 million Californians rely on the delta for part of their water supply."
More Information
Storage in Key Reservoirs (PDF, 2.4 MB)
Storage in San Luis Reservoir has been hurt by restrictions on water pumping from the Sacramento-San Joaquin Delta. Other key reservoirs also hold less water than average for mid-August.
He likened the delta's importance to that of the Everglades, the Great Lakes and Chesapeake Bay.
Hayes said Interior Secretary Ken Salazar will hold a public forum in Washington, D.C., next month to discuss delta restoration plans and improve supply reliability.
He said solutions must involve both ecosystem restoration and structural improvements to the state's water system.
"This ecosystem is one of the jewels of the West Coast," Hayes said. "Some new engineering may be what saves California."
Water storage behind Oroville Dam stands at less than 60 percent of average for this time of year.Presentations during the forum included a summary of the findings of the Governor's Blue Ribbon Task Force on the delta and highlighted ongoing efforts to shape the Bay Delta Conservation Plan, in which the California Farm Bureau Federation has been heavily involved.
Chris Scheuring, CFBF managing counsel for the Natural Resources and Environmental Division, who attended last week's forum, said the event may help build momentum for solutions to the state's ongoing water crisis.
"Farm Bureau continues to work toward water supply solutions. Regulatory relief remains a concern, but the real solution is probably a physically improved infrastructure, including more surface water storage, if we are to get California out of crisis mode," Scheuring said.
"That also means conveyance improvements that restore delivery to points south of the delta, while taking care to protect our delta farmers and stabilize the delta ecosystem along the way," he said. "Like many other organizations and government agencies, Farm Bureau is devoting a great deal of its resources toward that end."
State officials also said a series of public information workshops on the Bay Delta Conservation Plan will update the public on progress toward action steps. The workshops are slated for later this month in Brentwood, Stockton and Walnut Grove.
In addition, the state Department of Water Resources has been holding a series of "get ready" workshops that stress drought emergency planning and stepped-up water conservation aimed at water agencies.
Ron Milligan, operations manager of the U.S. Bureau of Reclamation's Central Valley Project, said that as the 2009 water year ends there is "serious concern about water supply levels" and the limited resources being carried into the 2010 water year.
Because of multiple dry years and declining reservoir levels, he said the CVP has carryover this year of about 1 million acre-feet less than the historic average for this time of year.
"The past year has been challenging," Milligan said, because new regulations based on a U.S. Fish and Wildlife Service biological opinion limit water transfers from the delta to protect delta smelt.
"Clearly, some areas of the state have had record low water allocations, but in other areas contractors were getting their full allocations," he said. "But right now, our most significant reservoirs only have about 22 percent of normal water storage for this time of year."
The DWR Drought Operations Center reported statewide reservoir storage as of Friday stood at about 75 percent of the historic average for the date, but with individual key reservoirs much lower.
Milligan said the Bureau of Reclamation is doing everything it can to remove institutional and regulatory barriers to help move water from districts that may have supplies to those that are short. The drought water bank and private water users north of the delta have been able to make about 600,000 acre-feet available for transfer in 2009 to districts in need.
Wendy Martin, DWR statewide drought water coordinator, outlined preparation efforts for the 2010 water year.
"The reality is we just don't know what next year will bring, but whatever is done to prepare must be done now," Martin said. "I hope it rains like crazy, but I'm afraid it might continue dry."
She said water conservation continues to be a "critical part of the equation" for drought response. Programs to improve conservation by districts, industries and local communities are being rolled out now. A statewide public awareness campaign is being launched on radio and television. The federal government has just made $140 million available for the state's drought response.
"We have tremendous opportunity to save water, by individual water delivery systems, businesses, agriculture," Martin said.
Officials stressed at last week's forum that the state's water supply is static and, given continued population growth and the unknown impacts of climate change, future water shortages are likely if something isn't done.
In a separate action last week, more than 50 mayors from the San Joaquin Valley called on President Obama to visit the area himself, saying three years of drought coupled with court-ordered protections for threatened fish species have sapped critical irrigation supplies.
With idled land have come thousands of lost jobs on farms and in related businesses. Unemployment rates have reached 40 percent in some western San Joaquin Valley communities, and local officials issued the invitation to the president as part of continuing efforts to call attention to the economic impact of water policy.
(Kate Campbell is an assistant editor of Ag Alert. She may be contacted at kcampbell@cfbf.com.)
Permission for use is granted, however, credit must be made to the California Farm Bureau Federation when reprinting this item."
http://www.cfbf.com/agalert/AgAlertStory.cfm?ID=1365&ck=CF1F78FE923AFE05F7597DA2BE7A3DA8
Tuesday, August 18, 2009
More taxes we don't need in real estate
Hello, check this out-- new bills that cost us more money in the long run!!
Can they just work to fix our economic situation WITHOUT always thinking of new ways to tax us to death?? This one sounds like its small in the beginning, but DO NOT allow this ball to roll downhill... more and more transfer taxes/etc will really add up...
"How AB 827 & 985 affect your business:
AB 827 allows counties to collect up to an additional $3 for the recording of a real estate document, on top of other existing recording fees. Counties will then be allowed to use the proceeds from the additional "fees" to pay for the archiving of historical documents, including those from local agency meetings, records pertaining to transportation or "other records of public or historical" interest. Again, since the charge doesn't directly pay for the RECORDING of documents, it is a TRANSFER TAX, and under existing law must be approved by the voters.
In the case of AB 985, county recorders are using computer scanning now to search for, and expunge, social security numbers from records and C.A.R. has sought to have the same mechanism applied to illegal restrictions. The author has refused. C.A.R. has continued to oppose the bill because it does not utilize modern data processing methods to search for illegal restrictions and is a disguised tax. Over the last three years only about two dozen correction requests have been received statewide. AB 985 will encourage local government to overcharge for a correction program and use these funds for other programs. The $60 million the bill will raise in the first three years far exceeds the costs of actually correcting the property records in question. Again, since the fee collected does not directly pay for the RECORDING of documents, it is a TRANSFER TAX, and under existing law must be approved by the voters."
http://takeaction.realtoractioncenter.com/carealtors/notice-description.tcl?newsletter_id=42608098&r=Fp3nAn6aN5kj
Can they just work to fix our economic situation WITHOUT always thinking of new ways to tax us to death?? This one sounds like its small in the beginning, but DO NOT allow this ball to roll downhill... more and more transfer taxes/etc will really add up...
"How AB 827 & 985 affect your business:
AB 827 allows counties to collect up to an additional $3 for the recording of a real estate document, on top of other existing recording fees. Counties will then be allowed to use the proceeds from the additional "fees" to pay for the archiving of historical documents, including those from local agency meetings, records pertaining to transportation or "other records of public or historical" interest. Again, since the charge doesn't directly pay for the RECORDING of documents, it is a TRANSFER TAX, and under existing law must be approved by the voters.
In the case of AB 985, county recorders are using computer scanning now to search for, and expunge, social security numbers from records and C.A.R. has sought to have the same mechanism applied to illegal restrictions. The author has refused. C.A.R. has continued to oppose the bill because it does not utilize modern data processing methods to search for illegal restrictions and is a disguised tax. Over the last three years only about two dozen correction requests have been received statewide. AB 985 will encourage local government to overcharge for a correction program and use these funds for other programs. The $60 million the bill will raise in the first three years far exceeds the costs of actually correcting the property records in question. Again, since the fee collected does not directly pay for the RECORDING of documents, it is a TRANSFER TAX, and under existing law must be approved by the voters."
http://takeaction.realtoractioncenter.com/carealtors/notice-description.tcl?newsletter_id=42608098&r=Fp3nAn6aN5kj
Thursday, August 13, 2009
zillow... good for some areas, bad for others
Hey, everyone. Zillow can be great for residential neighborhoods, and now there are statistics to show where it can fall short: rural Counties like Mendocino, where the houses and properties are not all cookie-cutter, has a much larger margin or error for Zillow.
Look at
http://www.zillow.com/howto/DataCoverageZestimateAccuracyCA.htm
and see for yourself. It does not mean that everyone should stay away from Zillow-- it has great uses! But, just be aware... that's all!
Take care, and until next time,
Karena Jolley
MendoGroup team
Coldwell Banker Mendo Realty
707 354 2999
mendogroup@yahoo.com
www.mendogroup.com
lic 01482063
Look at
http://www.zillow.com/howto/DataCoverageZestimateAccuracyCA.htm
and see for yourself. It does not mean that everyone should stay away from Zillow-- it has great uses! But, just be aware... that's all!
Take care, and until next time,
Karena Jolley
MendoGroup team
Coldwell Banker Mendo Realty
707 354 2999
mendogroup@yahoo.com
www.mendogroup.com
lic 01482063
Thursday, August 6, 2009
Confidence, Everyone!!!!!!!!!
Okay, I had not known about this one before (and they have not asked for my opinion, either!!)
The Real Estate Confidence Index at http://agent.point2.com/reci.asp shows what real estate professionals are feeling every month. "They rate the current local real estate market, what they expect over the short-term (3-6 months), and what they expect over the medium-term (6-12 months)."
How are you feeling?? Depending on the day, I have a slightly different viewpoint!
Take care,
Karena Jolley of the MendoGroup team
at Coldwell Banker Mendo Realty, Inc.
707 354 2999888 590 3334 fax
www.MendoGroup.com
http://mendogroup.blogspot.com/
dre# 01482063
The Real Estate Confidence Index at http://agent.point2.com/reci.asp shows what real estate professionals are feeling every month. "They rate the current local real estate market, what they expect over the short-term (3-6 months), and what they expect over the medium-term (6-12 months)."
How are you feeling?? Depending on the day, I have a slightly different viewpoint!
Take care,
Karena Jolley of the MendoGroup team
at Coldwell Banker Mendo Realty, Inc.
707 354 2999888 590 3334 fax
www.MendoGroup.com
http://mendogroup.blogspot.com/
dre# 01482063
Wednesday, July 29, 2009
Don't forget, you first-time buyers... if you are interested at all, now is the time!! the deadline is this year, and if not extended, that will be that for this great tax credit that does not have to be repaid (in years past, it did)... check out this article, and check in with me if/when you have questions... and want to know the local market conditions.
"First-Time Homeowners Offered Tax CreditsBy Holden Lewis, bankrate.com Published: 5/14/2009This year some first-time homebuyers will charge their down payments to the taxpayer.Buyers will be allowed to use their first-time homeowner tax credits as down payments when they get FHA-insured loans, Secretary of Housing and Urban Development Shaun Donovan announced this week. Depending on the buyer's tax-filing status and the price of the home, the tax credit can be as much as $8,000.
The National Association of Realtors hailed the announcement, and asked taxpayers to subsidize all home purchases, and not just for first-time buyers.
The decision to finance first-time homebuyers' down payments with tax dollars was a highlight of a week that saw little change in mortgage rates.
Mortgage rates have been remarkably steady in the last few weeks. The Obama administration successfully adopted a policy of driving mortgage rates down and keeping them there. Observers believe that the Treasury and Federal Reserve are keeping rates in a narrow range by buying mortgage-backed securities whenever rates threaten to rise.
Donovan boasted about the effort to keep mortgage rates low when he spoke this week before a meeting of the National Association of Realtors. "And we are taking action to further help the housing market recover," he said as he introduced the down payment subsidy.
The down payment initiative is built onto this year's first-time homebuyers' tax credit, in which qualified buyers can get an income tax credit of 10 percent of the home's price, or $8,000, whichever is less. The credit is half that for spouses filing separately, and the credit phases out for higher-income filers.
Under the plan announced by Donovan, buyers can get a piggyback mortgage or an unsecured bridge loan for the amount of the tax credit when they get a Federal Housing Administration-insured mortgage. The piggyback or bridge loan can take the place of a down payment. Typically, FHA-insured loans require a down payment of at least 3.5 percent.
Borrowers will be expected to pay off the piggyback or bridge loans when they claim the tax credit on their 2009 returns next year or their amended 2008 returns this year. To claim the tax credit, buyers have to buy by the end of 2009.
"We think the policy is a real win for everyone, ensuring that borrowers can tap into the numerous organizations that are already part of the FHA network," Donovan told the Realtors. He cited a home builders' study that claimed that the tax credit will stimulate 101,000 sales to first-time buyers, and another 59,000 home sales to people who will be able to buy homes because first-time buyers bought their homes.
By using tax credits as down payments, buyers won't have to put some of their skin in the game by shelling out their saved-up cash to make down payments.
For years, the FHA grudgingly allowed down payment assistance programs, or DPAs, to operate. DPAs were a mechanism by which home sellers could indirectly fund buyers' down payments. A seller isn't allowed to supply the buyer's down payment money.
But DPAs exploited a loophole that allowed charitable organizations to make down payments for needy buyers. The DPAs accepted "charitable contributions" from sellers, then gave equivalent "donations" to the buyers to cover their down payments.
After years of griping about higher default rates on loans that used down payment assistance, the FHA persuaded Congress to ban DPAs last October as home sales were declining precipitously. Now it appears that the FHA will let the IRS replace down payment assistance programs.
The DPA business was dominated by two nonprofits: AmeriDream and Nehemiah. AmeriDream president Ann Ashburn told Bankrate: "By setting this policy, the FHA is tacitly acknowledging the mistake it made last October when it convinced Congress to ban charitable down payment assistance. That mistake cost hundreds of thousands of Americans the opportunity to become responsible homeowners, accelerated the decline in home prices, and likely delayed the housing market's recovery."
Ashburn added, "Down payment assistance must be a long-term, privately funded program, not a short-term subsidy funded by the U.S. taxpayer." She supports H.R. 600, a bill that would allow DPAs to resume their activities.
In response to the FHA's new down payment policy, the National Association of Realtors patted itself on the back. "Last year, NAR asked Congress to pass housing stimulus legislation, which passed and is beginning to show results," the Realtors' president, Charles McMillan, said."
http://www.frontdoor.com/Home-Finance/FirstTime-Homeowners-Offered-Tax-Credits/55087
Take care, and until next time,
Karena Jolley of the MendoGroup team
Coldwell Banker Mendo Realty Inc
lic 01482063
phone 707 354 2999
www.mendogroup.com
"First-Time Homeowners Offered Tax CreditsBy Holden Lewis, bankrate.com Published: 5/14/2009This year some first-time homebuyers will charge their down payments to the taxpayer.Buyers will be allowed to use their first-time homeowner tax credits as down payments when they get FHA-insured loans, Secretary of Housing and Urban Development Shaun Donovan announced this week. Depending on the buyer's tax-filing status and the price of the home, the tax credit can be as much as $8,000.
The National Association of Realtors hailed the announcement, and asked taxpayers to subsidize all home purchases, and not just for first-time buyers.
The decision to finance first-time homebuyers' down payments with tax dollars was a highlight of a week that saw little change in mortgage rates.
Mortgage rates have been remarkably steady in the last few weeks. The Obama administration successfully adopted a policy of driving mortgage rates down and keeping them there. Observers believe that the Treasury and Federal Reserve are keeping rates in a narrow range by buying mortgage-backed securities whenever rates threaten to rise.
Donovan boasted about the effort to keep mortgage rates low when he spoke this week before a meeting of the National Association of Realtors. "And we are taking action to further help the housing market recover," he said as he introduced the down payment subsidy.
The down payment initiative is built onto this year's first-time homebuyers' tax credit, in which qualified buyers can get an income tax credit of 10 percent of the home's price, or $8,000, whichever is less. The credit is half that for spouses filing separately, and the credit phases out for higher-income filers.
Under the plan announced by Donovan, buyers can get a piggyback mortgage or an unsecured bridge loan for the amount of the tax credit when they get a Federal Housing Administration-insured mortgage. The piggyback or bridge loan can take the place of a down payment. Typically, FHA-insured loans require a down payment of at least 3.5 percent.
Borrowers will be expected to pay off the piggyback or bridge loans when they claim the tax credit on their 2009 returns next year or their amended 2008 returns this year. To claim the tax credit, buyers have to buy by the end of 2009.
"We think the policy is a real win for everyone, ensuring that borrowers can tap into the numerous organizations that are already part of the FHA network," Donovan told the Realtors. He cited a home builders' study that claimed that the tax credit will stimulate 101,000 sales to first-time buyers, and another 59,000 home sales to people who will be able to buy homes because first-time buyers bought their homes.
By using tax credits as down payments, buyers won't have to put some of their skin in the game by shelling out their saved-up cash to make down payments.
For years, the FHA grudgingly allowed down payment assistance programs, or DPAs, to operate. DPAs were a mechanism by which home sellers could indirectly fund buyers' down payments. A seller isn't allowed to supply the buyer's down payment money.
But DPAs exploited a loophole that allowed charitable organizations to make down payments for needy buyers. The DPAs accepted "charitable contributions" from sellers, then gave equivalent "donations" to the buyers to cover their down payments.
After years of griping about higher default rates on loans that used down payment assistance, the FHA persuaded Congress to ban DPAs last October as home sales were declining precipitously. Now it appears that the FHA will let the IRS replace down payment assistance programs.
The DPA business was dominated by two nonprofits: AmeriDream and Nehemiah. AmeriDream president Ann Ashburn told Bankrate: "By setting this policy, the FHA is tacitly acknowledging the mistake it made last October when it convinced Congress to ban charitable down payment assistance. That mistake cost hundreds of thousands of Americans the opportunity to become responsible homeowners, accelerated the decline in home prices, and likely delayed the housing market's recovery."
Ashburn added, "Down payment assistance must be a long-term, privately funded program, not a short-term subsidy funded by the U.S. taxpayer." She supports H.R. 600, a bill that would allow DPAs to resume their activities.
In response to the FHA's new down payment policy, the National Association of Realtors patted itself on the back. "Last year, NAR asked Congress to pass housing stimulus legislation, which passed and is beginning to show results," the Realtors' president, Charles McMillan, said."
http://www.frontdoor.com/Home-Finance/FirstTime-Homeowners-Offered-Tax-Credits/55087
Take care, and until next time,
Karena Jolley of the MendoGroup team
Coldwell Banker Mendo Realty Inc
lic 01482063
phone 707 354 2999
www.mendogroup.com
Wednesday, July 22, 2009
Okay, this one is a bit scary-- however, most of us experienced agents have come in contact with a property that left us wondering... obviously, it is so difficult because we are not experts!! and therefore see many situations where personal property is left behind, homes are damaged, etc... but we don't necessarily know what the story is behind the mess. Now, I can say that I have seen yellowing on walls before, but the older couple that had lived there were persistent smokers (the place smelled like old, stale cigarette smoke, too)-- so, sometimes there can be another explanation? But, that house certainly did not have yellowing sinks and showers, too! Bon apetit, and I'll try to find a "lighter" article for next time.
"5 Signs Your Listing May Have Once Been a Meth LabJuly 16, 2009 by Melissa Tracey By Melissa Dittmann Tracey
The New York Times ran an article this week (”Illnesses Afflict Homes With a Criminal Past” by Shaila Dewan and Robbie Brown) that details a story about a family who moved into a spacious home in Winchester, Tenn., only to soon start battling years of illness — from breathing problems to seizures and migraines to kidney problems.
Their home was making them sick.
Five years after moving into the home, the family discovered the home had once been used as a meth lab.
And apparently these contaminated residences are not all that uncommon. What’s more, some may even be hitting your local market.
“Federal statistics show that the number of clandestine meth labs discovered in the United States rose by 14 percent last year, to 6,783, and has continued to increase,” the New York Times reports.
View a U.S. Drug Enforcement Administration map of meth lab incidents by state to see how prevalent it is in your area: http://www.usdoj.gov/dea/concern/map_lab_seizures.html
Chemist Lynn Riemer Of The North Metro Drug Task Force provides the following list of signs a meth lab may have been present in a home:
1. Yellow discoloration on walls, drains, sinks and showers.
2. Blue discoloration on valves of propane tanks and fire extinguishers.
3. Fire detectors that are removed–or taped off.
4. Burning in your eyes, itchy throat, a metallic taste in your mouth, or breathing problems when in the home.
5. Strong odors that smell similar to materials often found in a garage, such as solvent and paint thinner, or odors of cat urine or ammonia.
About 20 states have passed laws that require meth contamination cleanup. Cleanup can be costly, though. The family described in The New York Times article would need $30,000 or more to get the necessary cleanup, and that amount doesn’t even take into account their medical bills from living in a contaminated house for so long.
Have you ever come across a house you suspected was once used as a meth lab?"
http://styledstagedsold.blogs.realtor.org/2009/07/16/5-signs-your-listing-may-have-once-been-a-meth-lab/
Take care, and until next time,
Karena Jolley of the MendoGroup team
at Coldwell Banker Mendo Realty, Inc.
707 354 2999
www.MendoGroup.com
http://mendogroup.blogspot.com/
dre# 01482063
"5 Signs Your Listing May Have Once Been a Meth LabJuly 16, 2009 by Melissa Tracey By Melissa Dittmann Tracey
The New York Times ran an article this week (”Illnesses Afflict Homes With a Criminal Past” by Shaila Dewan and Robbie Brown) that details a story about a family who moved into a spacious home in Winchester, Tenn., only to soon start battling years of illness — from breathing problems to seizures and migraines to kidney problems.
Their home was making them sick.
Five years after moving into the home, the family discovered the home had once been used as a meth lab.
And apparently these contaminated residences are not all that uncommon. What’s more, some may even be hitting your local market.
“Federal statistics show that the number of clandestine meth labs discovered in the United States rose by 14 percent last year, to 6,783, and has continued to increase,” the New York Times reports.
View a U.S. Drug Enforcement Administration map of meth lab incidents by state to see how prevalent it is in your area: http://www.usdoj.gov/dea/concern/map_lab_seizures.html
Chemist Lynn Riemer Of The North Metro Drug Task Force provides the following list of signs a meth lab may have been present in a home:
1. Yellow discoloration on walls, drains, sinks and showers.
2. Blue discoloration on valves of propane tanks and fire extinguishers.
3. Fire detectors that are removed–or taped off.
4. Burning in your eyes, itchy throat, a metallic taste in your mouth, or breathing problems when in the home.
5. Strong odors that smell similar to materials often found in a garage, such as solvent and paint thinner, or odors of cat urine or ammonia.
About 20 states have passed laws that require meth contamination cleanup. Cleanup can be costly, though. The family described in The New York Times article would need $30,000 or more to get the necessary cleanup, and that amount doesn’t even take into account their medical bills from living in a contaminated house for so long.
Have you ever come across a house you suspected was once used as a meth lab?"
http://styledstagedsold.blogs.realtor.org/2009/07/16/5-signs-your-listing-may-have-once-been-a-meth-lab/
Take care, and until next time,
Karena Jolley of the MendoGroup team
at Coldwell Banker Mendo Realty, Inc.
707 354 2999
www.MendoGroup.com
http://mendogroup.blogspot.com/
dre# 01482063
Tuesday, July 21, 2009
Lease Options, anyone??
These lease options can be a great deal, but are not the most common out there. Not every seller is comfortable with this option, and not every seller has the financial ability to offer this to a buyer-- but there can be incredible flexibility with the details of a lease-option, which of course I can go over with anyone who has questions :)
"Daily Real Estate News July 21, 2009 ShareLease-Purchases on the Rise One way that buyers without enough money to get a mortgage can purchase a home is with a lease-purchase agreement.
Usually, the terms of the deal include a lease and an option to buy with part of the rent going toward the downpayment. The forced savings helps buyers amass enough to buy the house in the specified time frame, usually three to five years.
Cindy Walker, an associate with South Island Real Estate in Melbourne Beach, Fla., recently helped a young couple negotiate such a deal. She received a rental commission for the lease arrangement, and she will get a sales commission if the purchase option is executed.
Some real estate professionals find this arrangement unacceptable, but Walker says, “I look at it as money in the bank."
She offers these tips for anyone contemplating using a lease-purchase option:
Don’t be afraid to ask the seller if the owner would accept a lease-purchase agreement. Sellers might find it attractive once they understand it will generate regular rental income. Negotiate how much money will go toward the downpayment and whether the buyer or the seller or both will handle maintenance and repairs. Avoid prepayment penalties. No prepayment penalty increases the incentive to do the deal quickly. In most cases, that’s a good thing from both the buyer’s and the seller’s points of view.
Source: Florida Today, Anne Straub (07/19/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009072103?OpenDocument
Take care, and talk to you later,
Karena Jolley of the MendoGroup team
at Coldwell Banker Mendo Realty, Inc.
707 354 2999
www.MendoGroup.com
dre# 01482063
"Daily Real Estate News July 21, 2009 ShareLease-Purchases on the Rise One way that buyers without enough money to get a mortgage can purchase a home is with a lease-purchase agreement.
Usually, the terms of the deal include a lease and an option to buy with part of the rent going toward the downpayment. The forced savings helps buyers amass enough to buy the house in the specified time frame, usually three to five years.
Cindy Walker, an associate with South Island Real Estate in Melbourne Beach, Fla., recently helped a young couple negotiate such a deal. She received a rental commission for the lease arrangement, and she will get a sales commission if the purchase option is executed.
Some real estate professionals find this arrangement unacceptable, but Walker says, “I look at it as money in the bank."
She offers these tips for anyone contemplating using a lease-purchase option:
Don’t be afraid to ask the seller if the owner would accept a lease-purchase agreement. Sellers might find it attractive once they understand it will generate regular rental income. Negotiate how much money will go toward the downpayment and whether the buyer or the seller or both will handle maintenance and repairs. Avoid prepayment penalties. No prepayment penalty increases the incentive to do the deal quickly. In most cases, that’s a good thing from both the buyer’s and the seller’s points of view.
Source: Florida Today, Anne Straub (07/19/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009072103?OpenDocument
Take care, and talk to you later,
Karena Jolley of the MendoGroup team
at Coldwell Banker Mendo Realty, Inc.
707 354 2999
www.MendoGroup.com
dre# 01482063
Next wave of foreclosures coming while Investors dive in...
What a crazy world we live in right now!! Here we are, with prices the best in years, and multiple offers on the lower priced homes right now... and the next wave of foreclosures looming at us. My hope is that we all learn something from these times, so that we are not doomed to repeat in 20 years or so!!
"Investors Drive Foreclose Prices Up Home shoppers in parts of the country with lots of foreclosures are finding it increasingly difficult to buy. Investors are bidding up prices thousands above the original asking price.
Federal legislation slowing the number of foreclosures is adding to the problem by reducing the number of homes on the market. For instance, in Las Vegas, one of the areas where the bidding problem is greatest, home inventories are down 10 percent since March, according to the Las Vegas Association of REALTORS®.
When a bidding war erupts, the problem is particularly difficult for traditional buyers because investors are usually cash purchasers. They can bid up a property without concern whether the appraisal will prevent them from getting a loan.
Experts say the problem is not unlike the situation at the height of the housing bubble. "This market is about as abnormal as the hypermarket that we came out of a few years ago," says Jay Butler, director of the Realty Studies program at Arizona State University.
Source: The Associated Press, Jonathan J. Cooper (07/20/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009072102?OpenDocument
Take care, and talk to you next time,
Karena Jolley of the MendoGroup team
at Coldwell Banker Mendo Realty, Inc.
707 354 2999
faxwww.MendoGroup.com
dre# 01482063
"Investors Drive Foreclose Prices Up Home shoppers in parts of the country with lots of foreclosures are finding it increasingly difficult to buy. Investors are bidding up prices thousands above the original asking price.
Federal legislation slowing the number of foreclosures is adding to the problem by reducing the number of homes on the market. For instance, in Las Vegas, one of the areas where the bidding problem is greatest, home inventories are down 10 percent since March, according to the Las Vegas Association of REALTORS®.
When a bidding war erupts, the problem is particularly difficult for traditional buyers because investors are usually cash purchasers. They can bid up a property without concern whether the appraisal will prevent them from getting a loan.
Experts say the problem is not unlike the situation at the height of the housing bubble. "This market is about as abnormal as the hypermarket that we came out of a few years ago," says Jay Butler, director of the Realty Studies program at Arizona State University.
Source: The Associated Press, Jonathan J. Cooper (07/20/2009)"
http://www.realtor.org/RMODaily.nsf/pages/News2009072102?OpenDocument
Take care, and talk to you next time,
Karena Jolley of the MendoGroup team
at Coldwell Banker Mendo Realty, Inc.
707 354 2999
faxwww.MendoGroup.com
dre# 01482063
Wednesday, July 1, 2009
Wednesday in Real Estate
The wall next door is shaking as the construction workers intently continue with their remodeling job. The sheetrock, I fear, is taking a beating, though! Being in my office right now, subjected to the noise and shaking, is preferable to being outside in those hot, blistering temperatures. Just when it starts to feel warm in here, I stick my toe outside and am grateful all over again for an air-conditioned office that comes with coffee and cool water :)
Had to make a call earlier to a client, asking if his house has a sprinkler system (yes, and timers as well). So many things I try to remember about a listing that I have for sale, so that on a moment's notice, I can talk about it to an interested party... but there are always details that escape me. Good to check, and now I shall let the agent who asked the question know-- yes!
Lots of people out there looking for properties right now-- sometimes it can be tricky to get financing for some of these low priced fixers, but there are some great deals! http://www.ushud.com has a great ability to search for foreclosure and bank-owned homes, but if you want specific information for Mendocino or Lake Counties, just email me-- MendoGroup@gmail.com and I can set you up with an automatic email service that lets you know when those great buys come on the market (or you can go to http://www.mendogroup.com and search for properties).
okay, enough with the pitching. it's just that several people have told me in the last few days that they like searching both sites.
Had to make a call earlier to a client, asking if his house has a sprinkler system (yes, and timers as well). So many things I try to remember about a listing that I have for sale, so that on a moment's notice, I can talk about it to an interested party... but there are always details that escape me. Good to check, and now I shall let the agent who asked the question know-- yes!
Lots of people out there looking for properties right now-- sometimes it can be tricky to get financing for some of these low priced fixers, but there are some great deals! http://www.ushud.com has a great ability to search for foreclosure and bank-owned homes, but if you want specific information for Mendocino or Lake Counties, just email me-- MendoGroup@gmail.com and I can set you up with an automatic email service that lets you know when those great buys come on the market (or you can go to http://www.mendogroup.com and search for properties).
okay, enough with the pitching. it's just that several people have told me in the last few days that they like searching both sites.
Subscribe to:
Posts (Atom)