The OCRegister.com just published a nice article about our family trip last year:
http://ochomes.freedomblogging.com/2010/01/27/star-real-estate-top-producer-returns-from-around-the-world-trip/1521/
Wednesday, January 27, 2010
Monday, January 25, 2010
Want to Get Away? How About Cabo?!
This is product outside of our normal geographic business focus but notable nonetheless.
Newer home for sale on the corridor area of Cabo San Lucas with a private pool, spa and ocean views.
In Orange County this would cost at least $1.5M.
In cabo, this is for sale for $735K.
Check out the video tour:
http://www.youtube.com/watch?v=8mtPu6BKB7Q
Newer home for sale on the corridor area of Cabo San Lucas with a private pool, spa and ocean views.
In Orange County this would cost at least $1.5M.
In cabo, this is for sale for $735K.
Check out the video tour:
http://www.youtube.com/watch?v=8mtPu6BKB7Q
Weekend Update
The market over the past week and weekend continues to favor the distressed properties as most of the transactions initiated and completed were either short sales or foreclosures.
The buyer activity - i.e. buyers walking through open houses, pursuing homes - has increased and is busy after the start of the new year.
It is my feeling that the end consumer has started to believe that if we are not at the bottom of the market, then the bottom is close. People are starting to re-learn the market, starting to evaluate product and the general feeling is that "the worst is behind them."
However, that sentiment has not translated into a flurry of purchase activity, except for the low-hanging fruit on the pricing scale - i.e. inventory under the $500K mark. There are still more buyers sitting on the sidelines than actually writing contracts but that too is evolving as consumers become more comfortable with housing forecasts.
Interest rates on loans did very well last week and actually dipped below 5%.
The buyer activity - i.e. buyers walking through open houses, pursuing homes - has increased and is busy after the start of the new year.
It is my feeling that the end consumer has started to believe that if we are not at the bottom of the market, then the bottom is close. People are starting to re-learn the market, starting to evaluate product and the general feeling is that "the worst is behind them."
However, that sentiment has not translated into a flurry of purchase activity, except for the low-hanging fruit on the pricing scale - i.e. inventory under the $500K mark. There are still more buyers sitting on the sidelines than actually writing contracts but that too is evolving as consumers become more comfortable with housing forecasts.
Interest rates on loans did very well last week and actually dipped below 5%.
Tuesday, January 12, 2010
Short Sales versus Foreclosures: Pros and Cons
Information Outline on Short Sales and Foreclosures
What is a Short Sale?
A short sale means the lender is accepting a discounted payoff to release an existing mortgage.
Short Sale Advantages:
1. The seller is in control of the sale, not the bank (like in a foreclosure)
2. The impact on a sellers credit is less than a foreclosure
3. Credit bureaus do not typically show 'short sale' on your credit. Bureaus will show 'late payments'
4. The sales process, once approved by the bank, is handled like a typical sale
5. As a buyer, you can sometimes purchase properties at discounted rates relative to other closed sales
Short Sale Disadvantages:
1. Sellers credit will be impacted - average impact on credit is reported to be between 50-150 FICO points
2. Sellers must typically wait 2 years before buying another home
3. Some banks will take several weeks to months to respond to offers, frustrating some buyers in the process
4. State taxation of debt relieved via a short-sale is negotiable with bank during short-sale process
It is imperative to use a skilled agent to help guide you through the purchase and/or sale aspects of a short-sale. Please contact our office for additional information on short sales.
What is a Foreclosure:
A foreclosure means the seller has defaulted on the loan and the bank will seize and sell the property to re-pay the debt. The bank will initiate a 'Notice of Default' with the homeowner and then try to sell the property at an auction (Trustee Sale). If the property is not sold at the auction, the bank then takes the property into their inventory and it becomes an REO(bank-owned) property which they will then market and sell on the public MLS (real estate multiple listing service).
Foreclosure Advantages:
1. There are no advantages to a seller in a foreclosure.
2. There are major advantages to buying foreclosures. Sales take place within 15-45 days once they are put on the MLS and are usually deeply discounted. Once properties are on the MLS, buyers can use loans to purchase properties, as opposed to an all-cash purchase at an auction.
Foreclosure Disadvantages:
1. The bank will repossess the home to satisfy their outstanding debt on the property.
2. The sellers credit will be impacted with a foreclosure - typical impact on credit is 200-400 FICO points
3. Sellers must wait an average of 5-7 years to purchase a new home
4. Unless exempt or filing bankruptcy, sellers will have state taxation issues with debt relieved from bank
Buyers can purchase foreclosures either via local public auctions directly or via the public MLS using our real estate services. Buyer beware: properties purchased at auctions are typically all-cash 'as-is' purchases and may have hidden liens not disclosed in a sale, becoming the responsibility of the buyer. It is very important to use our services or complete significant due diligence prior to purchasing a foreclosure.
Please contact our office at: 714-500-3332 with any follow-up questions or to obtain more details on purchasing or selling short sales and foreclosures.
What is a Short Sale?
A short sale means the lender is accepting a discounted payoff to release an existing mortgage.
Short Sale Advantages:
1. The seller is in control of the sale, not the bank (like in a foreclosure)
2. The impact on a sellers credit is less than a foreclosure
3. Credit bureaus do not typically show 'short sale' on your credit. Bureaus will show 'late payments'
4. The sales process, once approved by the bank, is handled like a typical sale
5. As a buyer, you can sometimes purchase properties at discounted rates relative to other closed sales
Short Sale Disadvantages:
1. Sellers credit will be impacted - average impact on credit is reported to be between 50-150 FICO points
2. Sellers must typically wait 2 years before buying another home
3. Some banks will take several weeks to months to respond to offers, frustrating some buyers in the process
4. State taxation of debt relieved via a short-sale is negotiable with bank during short-sale process
It is imperative to use a skilled agent to help guide you through the purchase and/or sale aspects of a short-sale. Please contact our office for additional information on short sales.
What is a Foreclosure:
A foreclosure means the seller has defaulted on the loan and the bank will seize and sell the property to re-pay the debt. The bank will initiate a 'Notice of Default' with the homeowner and then try to sell the property at an auction (Trustee Sale). If the property is not sold at the auction, the bank then takes the property into their inventory and it becomes an REO(bank-owned) property which they will then market and sell on the public MLS (real estate multiple listing service).
Foreclosure Advantages:
1. There are no advantages to a seller in a foreclosure.
2. There are major advantages to buying foreclosures. Sales take place within 15-45 days once they are put on the MLS and are usually deeply discounted. Once properties are on the MLS, buyers can use loans to purchase properties, as opposed to an all-cash purchase at an auction.
Foreclosure Disadvantages:
1. The bank will repossess the home to satisfy their outstanding debt on the property.
2. The sellers credit will be impacted with a foreclosure - typical impact on credit is 200-400 FICO points
3. Sellers must wait an average of 5-7 years to purchase a new home
4. Unless exempt or filing bankruptcy, sellers will have state taxation issues with debt relieved from bank
Buyers can purchase foreclosures either via local public auctions directly or via the public MLS using our real estate services. Buyer beware: properties purchased at auctions are typically all-cash 'as-is' purchases and may have hidden liens not disclosed in a sale, becoming the responsibility of the buyer. It is very important to use our services or complete significant due diligence prior to purchasing a foreclosure.
Please contact our office at: 714-500-3332 with any follow-up questions or to obtain more details on purchasing or selling short sales and foreclosures.
Subscribe to:
Posts (Atom)
