Barry's Luxury Desert Homes Blog

Desert Home Sales Are Up in the Palm Springs Surrounding Cities

2011-11-24T12:30:00.000-08:00

Happy Thanksgiving!

Bargain hunters helped home sales rise 1.9 percent across the Coachella Valley in October compared to the same month a year ago, even as sales declined through the rest of the inland region.

About 735 homes sold in the valley last month, San Diego-based real estate information provider DataQuick reported.

Sales were particularly brisk in Indio, Palm Desert and Rancho Mirage.
Riverside County, meanwhile, saw 3,026 homes sell, a 7.3 percent drop from a year ago. About 2,300 homes sold — a 1.8 percent decline — in San Bernardino County.
About 54 percent of single-family home purchases and 45 percent of condo transactions in the valley were bank-owned or other distressed properties — down 6 percent from October 2010 — the California Desert Association of Realtors reported.
Greg Berkemer, executive vice president of the group, said as distressed properties continue to comprise a smaller share of sales, it's a sign the market is slowly stabilizing.

Just over half — 52.5 percent — of sales in Southern California were distressed properties, DataQuick reported. Nearly one out of three homes in the Southland that resold in October was a foreclosure, while about one in five was a short sale.
As many buyers sought bargain prices, Coachella Valley's median price — half sold for more, half for less — fell 8.5 percent to $166,000, DataQuick reported.
CDAR, which compiles home sales figures somewhat differently, reported the valley's median price at $179,975 in October, with the average sales price at $281,360.
The median price in Riverside County was $187,000 last month, down 5.6 percent from October 2010. The median price in San Bernardino County was $150,000, the same as August and September, and the same as a year ago.

The inland region's median sales price hit its lowest level since January, which analysts said was due in part to Fannie Mae, Freddie Mac and the Federal Housing Administration lowering loan limits as of Oct. 1 for government-backed mortgages.

Mike Perrault
The Desert Sun

Leasing in La Quinta and Palm Desert available

2011-10-29T16:16:00.000-07:00

This is the season for travel and relaxation in the Coachella Valley. La Quinta, because of it's ambience and numerous Tour level golf courses, remains the most sought after desert city, followed by Palm Desert and Indian Wells.

I currently have two outstanding prioperties available for lease:

The Tradition in La Quinta:

The Master bedroom overlooks the spa, pool and golf course beyond. Two other bedrooms, both with private baths, complete this home.Fully furnished. $8,500.00 for a 6 month lease, $9,000.00 for a 3 month lease and $10,000.00 for a monthly lease from January through April.

Home is available from November 15 to May 15 with one month minimum rental. call for pricing. Former home of Mark O'Meara, there are fabulous views and a great pool and setting. Three large bedrooms and three and a half bathrooms.

Palm Desert:

4 Bedrooms, 4.5 Baths (Sleeps 8-10). Oct - Apr $5000/monthMay/ Sept $4500/monthJune - Aug $3500/month Cleaning Fee $225 Utilities charge (pool in winter, A/C in summer) $900/monthHoliday Rates: Christmas/New Years, Easter, Thanksgiving $3500/w

Call me for a tour of each property. 760.574.7676

The Canadian Land Rush is still on in the Desert!

2011-10-29T16:04:00.000-07:00

USEFUL INFORMATION for Canadians:

For the past four years Canadians have been purchasing homes in droves in the desert cities that make up the Coachella Valley. Of my client base, 75% are Canadians, primarily from the western states of Canada. One of the many reasons Canadians are investing in a second home or investment property here in the desert is because it is fairly simple for a Canadian citizen to purchase property in the United States.
My goal is to make the purchasing process simple, straightforward and rewarding both in terms of value and long term investment potential for my clients. I regularly assist Canadian clients in finding excellent real estate opportunities, be it a condo, townhome, home or a prime lot for a custom home.

Canadian buyers generally do not need a U.S. Social Security number, unless you plan to rent your local property. You just need your valid passport. Additionally, there are a few forms that I will help you complete, but the process overall is straightforward and fairly simple. The services of an attorney, while always recommended, are not usually needed, since my team is trained to process all the escrow papers.

There are numerous reasons Canadians are choosing the Desert:

• A strong Canadian Dollar
• The best inventory selection of homes and condos in many years
• Historically low real estate prices in the United States
• A perfect sunbelt location for your dream home away from home
• A strong resort rental market for owners wishing to rent their property
• Phenomenal weather, numerous activities and the cultural attractions

Favorite desert cities are La Quinta, Indian Wells, Rancho Mirage, Palm Desert and Sun City Shadow Hills, especially La Quinta and Sun City Shadow Hills due to utility costs being 35% to 40% lower than the other desert cities.

Using a Buyer's Agent such as myself, will get you a home at the best possible price with the least amount of hassle.

The 5 Most Common Complaints of Short Sale and REO Buyers (and How to Avoid Them)

2011-05-05T05:21:00.000-07:00

Roughly forty percent of the homes for sale on today's market in the Palm Springs area are short sales and foreclosures! Distressed properties are well known for their value (a reputation which is sometimes accurate, and sometimes not), but they also have a reputation for causing buyers to become distressed, too!

Transactional snafus, last-minute surprises and long, drawn-out escrows that never close seem to be par for the course.

Instead of avoiding these properties altogether, get educated about the most common dramas that go down in these deals, and how you can avoid falling victim.

1. Run-on (and on, and on) escrows. When you’re buying a home (or selling one, for that matter), time is absolutely of the essence. And buyers reasonably expect that the big time suck in real estate is in the house hunting process itself; seems like once you find a home you want to buy and the seller agrees to your price and terms, things should move pretty quickly, right?

Not so much, when it comes to some distressed property sales. I’ve heard tell of the occasional, swiftly-moving escrow on an REO (real estate owned - by the bank). But for the most part, these transactions take anywhere from a few days to a few weeks longer than “regular” sales, because of the extra signatures, supervisor-level approvals and even investor involvement required to seal the deal. Banks don’t have the same sense of urgency individual home sellers do, and it’s not uncommon for the people who need to sign on the dotted line to be on vacation or scattered across the country, adding days’ or weeks’ worth of time to the escrow.

And short sales are also an entirely different animal when it comes to escrow timelines. While a standard sale from an individual seller to an individual buyer might take 45 days from contract to closing, a short sale can take anywhere from 45 days to 6 or 8 months (!) to get the deal closed, after the seller has accepted the contract.

Avoid the drama by: expecting your escrow to run long, and being pleasantly surprised if it doesn’t. Expectation management is everything. Make sure you take these extended timelines into account when you’re working with your mortgage broker on the issue of when to lock your interest rate, and how long your rate locks will last. You might even need to plan on and/or set aside an allowance for the cost of extending your low interest rate, if rates are rising rapidly during the time you’re waiting for the deal to be done.

2. Bank won't take lowball offer. If I had a dollar for every time I’ve received a question from an outraged reader to the effect that a buyer has had their short sale or REO offer rejected on grounds that it was too low, even though the bank has no other offers, I could buy a foreclosure myself (admittedly, it’d be one of those $150 foreclosures in some blighted town with tax liens and no plumbing, but still).

Banks owe their shareholders and investors a duty to get as much as they can for these properties. Just because you see it’s on the market and listed as a short sale or a foreclosure doesn’t mean they’re going to give it to you for a fraction of its worth. The bank’s goal is to get a purchase price as close as possible to the home’s fair market value, as determined by the recent sales prices of similar, nearby homes, with some adjustments made for the property’s condition. Fact is, many banks would rather see the listing agent reduce the price by a moderate amount, and wait to see what offers come in, than to accept an offer 30 percent below the asking price just because there are no other offers on the table.

Avoid the drama by: working with your agent to make a realistic offer, based on recent comparable sales in the neighborhood, not just on what you think you can get away with. You can waste a lot of time, spin a lot of wheels and lose out on a lot of properties making lowball offer after lowball offer on distressed homes. Sit down with your broker or agent, review the ‘comps’ and make a smart offer that reflects a good value for you, is within your budget and is not bizarrely out of the realm of the fair market value of the property.

3. Last minute postponements/cancellations. These transactions have an uncanny way of being delayed at the last minute - or never going through at all, through no fault of the wanna-be buyer. You signed docs yesterday, put your dog in the crate this morning and just hopped in the moving truck, only to get a text from your broker that the deal didn’t close because the escrow company which was selected by the bank flubbed the checkboxes on a single sheet of paper (it happens). Or, you’ve been in contract (with the seller) on a short sale for four months, and the bank refuses the sale entirely because the seller refuses to kick even $1 of their own cash into the deal, despite having a flush savings account.

Avoid the drama by: staying as flexible as possible with your moving plans as long as possible. Best practice is to plan on some overlap between the time you can be in your last place and your scheduled move-in date. Also, if you’re in contract on a short sale, you should take the point of view that you don't have a firm deal until you get the bank’s approval of the transaction. So don’t even think about starting to make moving plans or paying for home inspections and appraisals until you know the bank has greenlit the deal and that the purchase price and terms they’ve approved work for both you and the seller.

4. The bank’s black box. Make an offer on a normal home and you’re likely to know what the outcome will be within a few hours or a few days, at the outside. If things take longer because the seller is out of town or some such, the listing agent tells you that, and you at least know what’s going on.

Make an offer on a bank-owned property or a short sale? It’s a crap shoot - could be days, but could also, easily, be weeks or months before you know what’s going on. And no amount of calling, pleading, prodding or nudging is likely to get you much information on how your offer or the seller’s short sale application is being handled or what (if any) progress is being made. And that “black box” into which your offer disappears at the benk level is very frustrating.

Avoid the drama by: continuing your house hunt until you have an answer back. Maniacally pestering the listing agent for answers or harrassing your buyer’s broker into spending hours on hold with the bank is highly unlikely to get you any insight. (With that said, it does make sense for your agent to check in regularly - sometimes even daily - with a short sale or REO listing agent to stay updated on any developments with the property and to make sure your offer/transaction stays in the front of their mind.)

Most of the angst in these situations arises when a buyer feels they passed on properties that would have really worked for them when they pinned their hopes on a distressed home. You can only control your efforts and activities, not the bank’s. So, consult with your own broker or agent about staying proactive in viewing and even pursuing other properties until you have a firm “yes” from the bank on your short sale or REO offer. Until that time, and usually for a short time after you get the bank's approval, you have the right to back out of the transaction if you need to (make sure your broker briefs you on precisely when your right to rescind your offer or exercise contingencies - i.e., bail - will expire).

5. Double standards. In a “regular” equity sale with no bank involvement, both buyer and seller are obligated to meet various timelines. Seller has to provide disclosures by X date, open the property to inspections - with utilities on - by Y, and close and move out by Z. REO and short sale buyers, on the other hand, are often dismayed to find that even though the bank might take weeks or months to sign or handle its deliverables, the bank will insist that the buyer show up, sign or send a check quick-like.

Avoid the drama by: chalking it up to the (admittedly irritating) way things are - the price you pay to buy from the bank. Realize that working with the bank on the bank’s terms is unavoidable when you buy a distressed property. Then, go into the deal with realistic expectations - including the expectation that the bank will drag its feet, despite expecting you to keep every deadline - and you’ll be less frustrated, and less likely to make poor decisions out of frustration.

Also, make sure you do respond in a timely manner to the bank’s requests and your obligations under the contract. I’ve seen banks capitalize on buyer delays in returning signatures and removing contingencies to accept higher offers they received in the interim. Don’t lose your home on a technicality because you assume that the bank’s lackadaisacal timelines apply to you as well.

Trulia Tara

5 Foreclosure Myths

2011-03-16T09:52:00.000-07:00

1. Myth: Buyers with bad credit can’t qualify for home loans. Obviously, mortgage guidelines have tightened up, big time, since the housing bubble burst, and they seem likely to tighten even further over the long-term. But just this moment, they have relaxed a bit. In the last couple of weeks, two of the nation’s largest lenders of FHA loans announced that they’ve dropped the minimum FICO score guideline from 620 (which allows for some credit imperfections) to 580, which is actually a fairly low score.

At a FICO score of 620, buyers can qualify for FHA loans at many lenders with only 3.5 percent down. With a score of 580, the lenders are looking for more like 5 to 10 percent down – they want to see you put more of your own skin in the game, and the higher down payment lowers the risk that you’ll default. However, if your credit has taken a recessionary hit, like that of so many Americans, this might create a glimmer of hope that you’ll be able to take advantage of low prices and interest rates without needing years of credit repair.

2. Myth: The Mortgage Interest Deduction isn’t long for this world. Homeowners saved over $85 billion in 2008 by deducting their mortgage interest on their income tax returns. A few months ago, the National Commission on Fiscal Responsibility and Reform caused a massive wave of fear to ripple throughout the world of real estate consumers and professionals when they recommended Mortgage Interest Deduction (MID) reform, which would dramatically reduce the size of the deduction.

Fact is, the Commission made a sweeping set of deficit-busting recommendations to Congress, a few of which are likely to be adopted. Fortunately for buyers and sellers, MID reform is not one of them. Very powerful industry groups and economists have been working with Congress to plead the case that MID reform any time in the near future would only handicap the housing recovery. Congress-folk aren’t interested in stopping the stabilization of the real estate market. As such, the MID is nearly universally thought of as safe – even by those who disagree that it should be.

3. Myth: It’s just a matter of time before loan guidelines loosen up. The US Treasury Department recently recommended the elimination of mortgage industry giants Fannie Mae and Freddie Mac. I won’t get into the eye-glazing details of it here, but the long and the short is that (a) this is highly likely to happen, and (b) it will make mortgage loans much harder and costlier to get, for both buyers and homeowners. It’s possible that loans are as easy to get as they’re going to get. So don’t expect that if you hold out, zero-down mortgages will come back into vogue anytime soon. Fortunately, Fannie and Freddie aren't likely to disappear for another 5-7 years, so you have a little time to pull your down payment and credit together. If you want to get into the market, the time to get yourself ready is now!

4. Myth: If you don’t have equity, you can’t refi. Much ado is being made about how stuck so many people are in their bad loans, because they don’t have the equity to refinance their way out of them. If you’re severely upside down (meaning you own much, much more than your home is worth), stuck may be the situation. But there are actually a couple of ways homeowners can refi their underwater home loans. If your loan is held by Fannie or Freddie (which you can find out, here), they will actually refinance it up to 125% of its current value, assuming you otherwise qualify for the loan. That means, if your home is worth $100,000, you could refinance a loan up to $125,000, despite the fact that your home can’t secure the full amount of the loan.

If your loan is not owned by Fannie or Freddie, you might be a candidate for the FHA “Short Refi” program. While most mortgage workout plans are only available to people who are behind on their loans, the Short Refi program is only available to homeowners who are current on their mortgages and need to refinance up to 115 percent of their homes’ value. So, if you owe $250,000 on your home, you can refinance via an FHA Short Refi even if your home’s value is as low as $217,000. If you think you’re a good candidate for a short refi, contact your mortgage broker, stat – there are some in Congress who think that this program is so underutilized (only 245 applications have been submitted since it rolled out in September – no typo!) that its funding should be diverted to other needy programs.

5. Myth: If you’ve lost your job and can’t make your mortgage payment, you might as well mail your keys in. Until recently, this was essentially true – virtually every loan modification and refinancing opportunity required that your economic hardship be over before you could qualify. And documenting income has always been high on the requirements checklist. But there are some new funds available in the states with the hardest hit housing and job markets, which have been designated specifically for out-of-work homeowners.

The US Treasury Department’s Hardest Hit Fund allocated $7.6 billion to the states listed below – all of which are now using some portion of these funds to offer up to $3,000 per month for up to 36 months in mortgage payment assistance to help unemployed homeowners avoid foreclosure. Contact the state agency listed below if you need this sort of help:

•Alabama: http://www.hardesthitalabama.com/
•Arizona: https://www.savemyhomeaz.gov/
•California: https://www.keepyourhomecalifornia.org/
•Florida: https://www.flhardesthithelp.org/
•Georgia: http://www.dca.state.ga.us/housing/homeownership/programs/hardesthitfund.asp
•Illinois:http://www.ihda.org/
•Indiana: http://www.877gethope.org/
•Kentucky: http://www.kyhousing.org/
•Michigan: http://www.michigan.gov/mshda/buyers/save_the_dream/helping+hardest+hit+homeowners+-+contact+your+mortgage+servicer+for+assistance
•Mississippi: http://www.mshomecorp.com/firstpage.htm
•Nevada: http://www.nahac.org/
•New Jersey: http://www.state.nj.us/dca/hmfa/home/foreclosure/homekeepers.html
•North Carolina: http://www.ncforeclosureprevention.gov/
•Ohio: http://www.savethedream.ohio.gov/
•Oregon: http://www.oregonhomeownerhelp.org/
•Rhode Island: http://www.hhfri.org/
•South Carolina: http://www.scmortgagehelp.com/
•Tennessee: http://www.thda.org/
•Washington D.C.: http://www.dchfa.org/

Courtesy Tara Nelson

Tax Time Info

2011-03-16T09:46:00.000-07:00

Top Tax Deductions for Investment Property Owners

Since we are in tax season, I thought it best to review some of the top tax deductions for real estate investors. When filing your taxes, don’t forget to take full advantage of all the deductions available for owners of rental property.

Mortgage Interest – The interest owed on a loan used to acquire or improve an investment property is a tax deductible expense. In addition, interest payments on credit cards for goods or services used in rental activity is also deductible.

Depreciation – Residential income property can be depreciated over 27.5 years; commercial 39 years. Depreciation is often the largest deduction a real estate investor can take.

Repairs - The cost of repairs to rental property are fully deductible in the year in which they are incurred. The repairs must be ordinary, necessary, and reasonable in amount. Some examples of deductible repairs include painting and fixing broken fixtures. Replacing a roof would not be considered a ‘repair’, but rather a capital improvement and the cost associated with replacing the roof would increase the basis of the property.

Travel Expenses - Property owners are entitled to deduct the costs associated with traveling to and from the rental property. The drive to a property to deal with a tenant complaint would qualify as a tax deductible expense. Likewise, flying to Hawaii to repaint a rental property would also qualify as a tax deductible expense. For overnight travel, you can deduct your airfare, hotel bills, meals, and other expenses. If you plan your trip carefully, you can even mix landlord business with pleasure and still take a deduction. Please note however that IRS auditors closely scrutinize deductions for overnight travel. To stay within the law and avoid unwanted attention from the IRS always properly document long distance travel expenses.

Home Office – Landlords may be able to deduct home office expenses provided certain minimum requirements are met.

Employee, Independent Contractor and Professional Services Expenses – Fees paid to gardeners, painters, attorneys, accountants, property management companies, real estate investment advisors, and other professionals can be deducted as operating expenses as long as the fees are paid for work related to the rental activity.

Advertising – Any advertising costs associated with marketing the property for rent or for sale can be deducted.

Insurance – Insurance premiums can be deducted for almost any insurance policy related to the rental property. This includes, fire, theft, and flood insurance for rental property, as well as landlord liability insurance.

Vacant Property -Keep in mind: if the property is vacant either because the property is either up for sale or is waiting to be re-tenanted, the owner may still be able to deduct all ordinary and necessary expenses (including depreciation) for managing, conserving and maintaining the property while the property is vacant.

This is offered as information and not to be construed as legal advice. Always check with your CPA or attorney as to your needs.

Market Status for Desert Homes in La Quinta, Palm Desert, Rancho Mirage, Indian Wellsand Palm Springs

2011-02-06T08:39:00.000-08:00

The Desert’s high-end market has been much stronger than the previous year. For homes priced above $3 million, there were 25 reorded closings in 2010, compared with just 17 in 2009, an increase of almost almost 50%! However, looking back over several years, the sales are still way down: There were 38 closings in 2008 and 63 in 2007. I am anticipating 30-40 closings this year, which will get us back to 2008 levels. At this point in time there are currently 127 homes listed in the Coachella Valley above $3 million, which extrapulates to a 5 year inventory.

With regard to foreclosures, they are increasing, 1870 in total as follows:
676 foreclosures in Palm Springs, 170 foreclosures in Rancho Mirage, 54 foreclosures in Indian Wells, 477 foreclosures in Palm Desert and 493 foreclosures in La Quinta.

As for new listings, there are 555 new listings in the past 7 days:
171 new listings in Palm Springs, 57 new listings in Rancho Mirage, 127 in La Quinta,16 new listings in Indian Wells and 154 new listings in Palm Desert.

The average listing price, the median sales price and average price per square foot are still trending downwards.

What this means is simply that exceptional buying opportunities exist in all price ranges provided you spend the time to evaluate the opportunities. This is where I can be of service. I know the market inside and out.

If you are looking to build, I have exceptional opportuniies for lots in the Hideaway and La Quinta Polo Estates for under $200,000.00.

Need to Sell Fast?? Understanding your options

2011-01-31T17:28:00.000-08:00

If you need your property to SELL FAST for whatever reason, or get out of your monthly mortgage payments; there are many conventional and unconventional options available for you. Although these options are able to help many sellers in a wide variety of situations, no one solution is perfect – they all have their positive and negative features. It is highly recommended that you are aware of them and seek outside professional assistance when deciding which route is best for you and your family.

Below is a brief overview of ALL conventional and unconventional options that are available to those who need to sell fast – not just the ones that the average real estate agent knows about. For more information on any of the programs below contact us; check out the supplemental articles to the right or contact your local real estate professional.

1. Conventional Sale

Putting your home for sale on the market is by far the most common solution for owners looking to sell their property fast. The seller can either do this on his own or hire a local real estate agent to assist him in the transaction. Whichever route he chooses to take, the owner is looking for someone with cash or approved for a mortgage loan to purchase his property for a certain price. In a good housing market, the home should sell within an acceptable amount of time in which the seller is able to walk away from the home while retaining most of his equity in cash. However, in a down market, houses can sit for months, declining property values can eat away at the seller’s equity and real estate commissions, and closing costs as well as other expenses can make selling a home pricey.

Here is an example to demonstrate the true cost of selling your home. The figures below are estimates based on a home that is listed for $100,000.

Sales Price Discount at 3% of the list price:
$3000
Realtor Commissions at 6% of the list price:
$6,000
Closing Costs at 2.25% of the list price:
$2250
Monthly Payments while the home is being marketed (Average time on market is about 90 days):
$2250 ($750 x 3 months)
Repairs requested by the buyer after a home inspection:
$1000
Adding up the numbers above, the total cost to sell is about $14,500. So, with a list price of $100,000 the seller can expect to net $85,500. If your loan to the mortgage company is more than what you expect to net, then you probably need to look for another option for your home to sell fast.

2. Investor Purchase

This is another conventional sale where an investor will come and make a cash offer for your home – many times in its current condition. Many homeowners think this is the best way to sell their home fast and solve their problems. This is rarely the case. The vast majority of investors follow a formula where they purchase homes at 65% of current market value minus any repairs that may be needed.

For instance, a home valued at $100,000 that needs $5000 in repairs. An investor will offer 65% of $100,000 – $5000 or $60,000. If you or your bank is going to need more than that, then you will need another option for your home to sell fast.

3. Renting Your Home

In a down economy or if you cannot sell fast, many people may choose to rent out their home until the market recovers and they can sell. This way, you are able to keep your home and find another residence while your monthly mortgage payments are covered. Keep in mind, renting takes time and can be expensive and demanding. You may have to pay an agent commission to help rent your home, cover any repairs needed to the property, and locate a property management company (usually a charge of 10% of the rent amount). If you would like more information on renting your home please contact us.

4. Short Sales

Short sales are technically not a way for homeowners to sell fast, but can be a real solution. Essentially, the bank agrees to accept an amount less than what the seller owes for the home. If a homeowner owes the bank $95,000, but the current market value of their home is only $85,000, the bank might allow the person to sell the home and pardon the remaining $10,000.

For sellers in a down real estate market trying to avoid foreclosure, short sales can be a resolution, yet carry significant consequences. Short sales take on average of 6 to 9 months to complete and have no guarantees of being successful. Also, in most cases the seller’s credit will be severely damaged enabling them to purchase another home through conventional methods for 2 to 7 yrs. Click here for our article explaining Short Sales in more detail.

5. Loan Modification

A loan modification is not considered a sale and is not a way for property owners to sell fast. However, this is a great conventional method that can give a seller relief from his monthly mortgage responsibility. If you are having trouble making your mortgage payments, many times the bank will drop your interest rate, move delinquent payments to the back of the loan, or use other methods to help you catch up and for the future. For home owners that have had recent financial difficulty or overwhelming mortgage payments due to high or increasing interest rates, a loan modification can help save a home from foreclosure and get the seller back on track. However, sometimes the banks may not allow a seller to modify his loan. In most cases, modifying your loan is a temporary solution to a bigger problem that will have many owners still looking to sell fast. For more information, click here to view our article explaining the loan modification process in more detail.

In many cases, the conventional options above can be extremely helpful; however, there are many home owners in unique situations who still need to sell fast. The unconventional options below can be helpful and applicable solutions because the buyer and seller are able to remove the bank from the process and work with one another directly.

8. Owner Finance

Owner financing is when the seller of a home agrees to lend all or part of the purchase price to the buyer. Whether there is an existing mortgage on the property or not, the owner is able to sell his home and the buyer is able to buy without having to go through a bank. Owner financing not only allows the homeowner to sell fast, it also allows him to save his credit, money, and equity. For more information contact us or click here for our article explaining owner financing in more detail.

9. Rent to Own and Lease Purchase

A Rent to own or lease purchase sale is a type of owner finance transaction that combines the basic elements of a rental agreement with an exclusive option to purchase the property at a later date. This is a cheaper option allowing a seller to rent out his property to a future buyer with less stress and responsibility. Many times, this method is the fastest way for a property to sell. For more information contact us or click here for our article explaining rent to own and lease purchase sales in more detail.

10. Mortgage Assignment

A mortgage assignment is when a seller transfers title to a buyer in exchange for the buyer to take over or “assume” the monthly payments. There are qualifying and non-qualifying assignments (meaning bank approved or non-bank approved) transactions, with non-qualifying assignments being the most common today. More often, the buyer is an investor that will agree to come in and start making mortgage payments on your behalf. For the seller that needs to sell fast, is not interested in making money on his home, would like to preserve his credit, and would like to just walk away from the property with the smallest amount of responsibility, a mortgage assignment is probably his best bet. Please contact us if you would like to receive more information about mortgage assignments and possibly having someone take over your monthly payments.

THIS INFORMATION ABOVE IS FOR INFORMATIONAL PURPOSES ONLY AND SHOULD BE CONSTRUED AS SUCH. SHOULD YOU HAVE ANY QUESTIONS CONCERNING AN OWNER FINANCE TRANSACTION, ASSOCIATED RISKS, BENEFITS, OR OPTIONS ON HOW TO PROTECT YOURSELF, SEEK COMPETENT LEGAL ADVISE FROM AN ATTORNEY OF YOUR CHOICE.

By Karlos Knox

Sun sets on McMansions

2011-01-30T19:30:00.001-08:00

Flickr image courtesy of kretyen.The ongoing recession has done the country one good turn. It has -- at least for the time being -- killed off the McMansion Era.

The decade that brought us those monstrous homes of little architectural distinction in far-flung suburbs had surprisingly begun to unwind as early as 2006, but it took a five-year run of collapsing home prices and rampant foreclosures to kill it off. Maybe not forever, but at least for the time being.

"The median-sized home being built today is smaller," reported Paul Bishop, vice president of research for the National Association of Realtors. "And our survey of homebuyers indicates that as well. People buying new homes today tend to purchase slightly smaller homes than homebuyers of even a few years ago."

NAR's research gets empirical backing from the American Institute of Architects, which does a quarterly survey of home-design trends. One of the questions in its survey is: "Are the homes you are working on in your area getting bigger, smaller, about the same?" Every year since the AIA first added this question to its survey in 2005, a higher share of architects noted homes were getting smaller.

In the 2010 survey, almost 60 percent of the respondents said homes were getting smaller, while the rest reported home sizes were about the same. Virtually none of the responses indicated homes were getting larger.

There were a number of reasons for the McMansion phenomenon, the most apparent being so much cheap money was available.

By Inman

Las Vegas is No. 1 hot spot: foreclosure filings for 1 in 9 properties

2011-01-30T19:28:00.000-08:00

The number of U.S. properties with foreclosure-related filings rose about 1.7 percent in 2010, to an estimated 2.87 million -- approximately one in every 45 households, or 2.2 percent of all U.S. housing units, foreclosure data company RealtyTrac reported today.

The Las Vegas metro area, despite a 7 percent drop in foreclosure filings activity in 2010, still was ranked as the No. 1 foreclosure hotspot, with 1 in 9 housing units there receiving a foreclosure filing in 2010.

Inman

Cheaper to buy than to rent in 72% of largest U.S. cities

2011-01-30T19:24:00.000-08:00

Despite the rising number of renters across the country, it is cheaper to buy a home rather than rent one in 72 percent of the 50 largest cities in the U.S., according to an index released by real estate search and marketing site Trulia.

"Since the start of the 'Great Recession,' many former homeowners have flooded the rental market. Following the principles of supply and demand, renting has become relatively more expensive than buying in most markets," said Pete Flint, CEO and co-founder of Trulia, in a statement.

By Inman

Top 10 Do's and Don'ts During The Loan Process

2011-01-07T09:13:00.000-08:00

Good credit is critical when it comes to obtaining the best interest rates and terms on a mortgage. Here are the top 10 do's and don'ts when looking to secure a mortgage.

1.) Don't Apply For New Credit
Every time that you have your credit pulled by a potential creditor or lender, you can lose points from your credit score immediately.]

2.) Do Join a Credit Watch Program
Then, you may check your own credit reports regularly (you won't get dinged for a "hard" inquiry.) Plus, if something unexpected does show up, you can address it promptly.

3.) Don't Pay off Collections or "Charge Offs."

If you want to pay off old accounts, do it through escrow, making sure that the debt is your. Request a "letter of deletion: from the creditor.

4.) Do Stay Current On Existing Accounts.

Like your mortgage and car payments, one 30-day notice can cost you

5.) Don't Max out or Over Charge Credit Card Accounts

Try to keep your credit card balances below 40 percent of their limit during the loan process. If you pay down balances, do it across the board

6.) Do Continue To Use Your Credit As Normal

Red Flags are raised easily with the scoring system. If it appears that's you are changing your pattern, it will raise a red flag and your score could go down

7.) Don't Consolidate Your Debt.

When you consolidate all of your debt onto one or two credit cards, it will appear that you are "maxed out:" on that card and you will be penalized.

8.) Don't Close Credit Card Accounts.

If you close a credit card account, it may appear that your debt ratio has gone up. Closing a card will affect other factors in the score, including credit history

9.) Don't Do Anything That Will Cause A Red Flag To Be Raised By The Scoring System.

This included adding new accounts, co-signing on a loan or changing your name or address with the bureaus.

10.) Do Call your Loan Officer

Your loan officer may be able to supply you with the resources you need to stop any derogatory reporting to the bureaus. Ask for details.

from Millennium Mortgage

2011 Great Real Estate opportunities in Palm Springs

2011-01-06T10:35:00.000-08:00

15 Good Real Estate Buys in the Palm Springs area in January, 2011

As with in all the desert cities, Palm Springs has some interesting and outstanding buying opportunities. Listed below are 15 properties in Central and South Palm Springs that I think offer buying opportunities. Some are these are remodels, some need remodelling, some are small, some are big, but they are all good values!

Look for more good buys in 2011!

Under $1million

1. Andreas Hills $699,999 400 3/3 E Bogert Trl .
2 Desert Park Estates $269,900 3/3 2030 N Whitewater Club Dr
3. Chino Canyon $996,500 3/4 1011 W Racquet Club Rd
4. Flora Vista $217,900 3/2 1597 E Racquet Club Rd
5. Luminaire $699,000 4/52992 Searchlight Ln.
6. Monte Sereno $829,000 3/4 3056 Arroyo Seco
7. Ruth Hardy Park $985,000 6/6 1040 E Via Altamira
8. Village Traditions $419,000 3/3 507 Acorn Way
9. The Villas in Old PS $419,000 3/3 507 Acorn Way
10. Village Traditions Condo $249,900 3/2 404 Calle Traditions #15

Over $1 million

11. Movie Colony $1,199,000 5/5 343 E Via Colusa
12. Old Las Palmas $1,350,000 4/6 201 Camino Norte
13. Taquitz Canyon $1,279,000 4/4 359/394 595 Camino Calidad
14. Bellamonte 1,499,000 5/6 64375 Via Risso
15. Las Palmas Heights 4/5 $1,795,000 4/5 694 W Stevens Rd

Source: Desert Area MLS. Listings are not necessarily those of Barry Lotz and/or Power Brokers International.

Contact: 760-574-7676 for further details

The Preliminary Change of Ownership Report: An Explanation for Buyers

2011-01-06T09:44:00.000-08:00

During the past few weeks the most asked questions was "What is a PCOR?"

Herewith is an explanation:
In every purchase/sale of Real Estate, a Preliminary Change of Ownership Report (PCOR) must be filed. The PCOR must be filed for other types of transfers as well, but in this blog we will consider only purchase/sale transactions. After opening escrow, a buyer can expect to find the PCOR in the opening document package.

What is the PCOR?

Ordinarily, at the time of transfer when sales of property are recorded via the grant deed with the county recorder, the grantee (buyer) fills out and files a PCOR. It is a two-page questionnaire requesting information on the property, principals involved in the transfer, type of transfer, purchase price, and terms of sale.

The PCOR normally satisfies the change of ownership reporting requirements unless the form is returned incomplete. The PCOR is to be completed, signed and certified by the buyer, as the buyer is signing the document under penalty of perjury. It is then filed in the county recorder’s office for the county where the property is located. The county assessor may also request other information about a deed or other matters related to the transfer after reviewing the PCOR. The PCOR is confidential and is not available for public inspection.

What is the purpose of the PCOR?

Each county assessor’s office reviews all recorded deeds for that county to determine which properties require reappraisal under the law. Once the county assessor has determined that a change of ownership has occurred, Proposition 13 requires the county assessor to reassess the property to its fair market value as of the date of ownership change. The PCOR is important to this process and it must be filed at the time of recording, otherwise an additional $20 recording fee will be assessed.

If the PCOR is not filed at the time of recording, the county assessor will send a Change of Ownership Statement (COS) to the transferee (buyer). If the COS is not filed by the transferee within 45 days of the county assessor’s request, then penalties can ultimately range from $100 to $2,500.

Understanding how to complete the PCOR

The section at the top of the first page of the document is used to identify the buyer (transferee) and seller (transferor), and the property being transferred. The information may be typed in the areas provided. Enter this information as it appears correctly on the grant deed. Be sure to enter the 10-digit Assessor’s Parcel Number (APN), which can be found in the title report provided by the escrow officer, and is also usually also found on the buyer’s purchase contract for the property. Also enter the mailing address to which property tax notices are to be sent.

Part I of the PCOR is used to provide transfer information, and it can be confusing. The assessor uses the information in this section to determine if the transfer may be excluded from reassessment. If a buyer has questions about Part I, the county assessor’s office can be contacted for assistance, or the buyer’s real estate agent or escrow officer may be consulted. Parts II, III, and IV of the document will help the county assessor better understand the nature of the transfer and the purchase price.

Finally, the buyer’s name must be printed at the end of the form, and the buyer must sign it to certify that the information provided is true and correct.

Some of our recent sales have been in Sun City Shadow Hills, which in my opinion, offer the best value for money as do homes in La Quinta and Palm Springs followed by Rancho Mirage, Palm Desert and Indian Wells.

THERE ARE SOME GREAT BUYS AVAILABLE SO CALL OR EMAIL FOR A LIST.

By CV Escrow

Short Sales in 2011 - Understand what's going on

2011-01-02T06:43:00.000-08:00

Short Sale updates for 2011:

1. Equator System – This is the automated system that B of A, GMAC and a few other Lenders are currently using. It’s an easy way to track your short sales if you are Short Sale savvy, but certainly it is not an easy program to work with. I do, however, like their automated task reminders. I don’t like that it is still dependent upon a knowledgeable negotiator and with this system, it is even harder to actually have personal contact with your negotiator. It IS an improvement, however.

Getting B of A employees to look in the library (if you can find the library) is next to impossible. They haven’t quite figured out that working with the same negotiator until the sale is complete is the fastest and most cost efficient/organized way to close a short sale. Why do you have to start over every time a buyer walks when they walk 50% of the time..heck even more? B of A needs to change their policy where one negotiator handles the file until it sells, or until it forecloses…period.
Getting B of A employees to look in the library (if you can find the library) is next to impossible. They haven’t quite figured out that working with the same negotiator until the sale is complete is the fastest and most cost efficient/organized way to close a short sale. Why do you have to start over every time a buyer walks when they walk 50% of the time..heck even more? B of A needs to change their policy where one negotiator handles the file until it sells, or until it forecloses…period.

2. HAFA – New Guidelines just came out about HAFA extending the time they have to approve or disapprove the short sale from ten days to 30. They have extended the time, they have taken away the 6% rule but remain at 6k total to junior lien holder. Investment or vacant properties are now elegible if the homeowner lived in the property within the last twelve months.) This must be documented. HAFA is still paying the homeowner relocation monies, up to $3,000. The trick for HAFA is to allow it to run alongside your Standard Short Sale and then ask upon acceptance, if the Seller can qualify for HAFA..sometimes this works. I had several close in 2010 with full relocation fees paid out to the Sellers, but it needs stream lining.

3. SB 931 in CA – Sellers are no longer responsible for ANY deficiency judgments on first mortgages starting Jan 1 2011. Primary or secondary homes with PML’s used to purchase them (Purchase Money Loans). This is a huge incentive for people to short sale and will decrease or eliminate most strategic foreclosures. Banks need to lessen the need for confirmed hardship. If the seller is going to walk, they will. I had short sales rejected because “they weren’t in financial hardship” Well, who cares, as long as Seller is willing to bring some cash to close and the home is maintained..it’s much better than letting it sit vacant and decomposing and dragging neighborhoods down.

4. Federal MARS Laws – Prohibiting anyone but the listing agent or an attorney from processing loan mods and now short sales in certain states as well as prohibiting any upfront fee collection. New disclosures are required on any websites, emails, sales contracts, and when and if approvals come in.

5. Promissory Notes and Cash Contributions - Due to the number of short sale requests the banks are constantly hiring new negotiators. Most of the new negotiators are asking for promissory notes and cash contributions from the sellers. In CALIF, the seller will have no deficiency pursuit if they choose to foreclose, so why would they agree to pay money out of their pocket, or agree to pay a promissory note? Best to have a Buyer that has agreed up front that they can and will throw in some cash at the time of Offer If the Lender is adamant that Seller pay a promissory note too, the notes are usually for ten or more years at 0% interest. Remember that the notes are unsecured and more often than not, can be negotiated for approx. 10% of the notes value AFTER you close your Short Sale.

6. Vacant properties – Letters are being sent out to many homeowners right now stating that the locks will be changed on vacant properties. This is to protect the lenders interest, secure the property, and make sure the old renters or current homeowners’ don’t remove attached fixtures etc. from the property. Be prepared to see these letters. Put Tenants in the properties..if possible.

7. Hardships – I have had many banks declining files due to lack of hardship or reserves being too high. This has a lot to do with inexperienced negotiators. Sellers must go over their finances and monthly Income/Loss ratio carefully. Usually, if the negotiator isn’t a complete novice, (that’s the catch), an approval will be forth coming because it is more cost effective to short sale than it is to Foreclose and becoming more so each year..however, Sellers may have to be prepared to add some cash..

8. Mortgage Insurance – A loan with MI takes longer than a normal short sale to receive a counter and in many cases the MI company wants a promissory note from the seller. Find out at Listing if there is MI attached to your loan (usually it’s attached to the 2nd)

So the bottom line is that Short Sales in California will increase in number and the numbers of closed Short Sales will also increase in 2011. Lenders and Agents are figuring out the system, and Agents that specialist in Short Sales and have done so for several years at the minimum, will be able to close the deals in less time which is advantageous to the Sellers AND the Lenders.

For personal Short Sale information, give me a call at 760-574-7676

Home-buying paralysis? Tips for getting the best deal faster

2010-12-24T04:47:00.000-08:00

The inventory of homes for sale has increased in recent months, causing some buyers to hesitate before making an offer on a home for fear a better home at a more favorable price will become available.
KEEP THIS IN MIND
• Although real estate agents are showing more homes to clients, people still are buying homes, especially first-time buyers. According to the latest figures from the NATIONAL ASSOCIATION OF REALTORS® (NAR), first-time buyers now account for 50 percent of all home sales.

• Some agents claim that today’s buyers are having a problem staying committed to the home search. During the height of the market, home buyers were more apt to make housing hunting a priority and to move on a good deal. Real estate experts advise today’s home buyers do the same to be successful in their home search.

• Making a list of “musts” and “wants” for home features will help home buyers narrow down the search. Identifying key features, such as the number of bedrooms or bathrooms, will help buyers avoid being overwhelmed by the number of homes available.
• Buyers are best advised to work with a REALTOR® who is familiar with the area.

Media reports that home prices will decline further may be true for some areas, but not necessarily in all areas. All real estate is local, so finding out what’s happening in a specific neighborhood is most helpful.

Read the full story:
http://www.latimes.com/business/realestate/la-fi-lew-20101219,0,7137667.story
From LA Times

Lenders now biased against short sales

2010-12-21T08:47:00.000-08:00

Tuesday, December 21st 2010 Lenders are opting to “delay and deny” in more and more short sale cases as the real estate market continues to be uncertain[1]. While many homeowners, real estate agents and housing advocates continue to argue that a short sale deal, which sells the home at a loss to the lender but removes the existing, delinquent homeowner from the property and places a paying homeowner in it, is in the best interest of most lenders, the banks themselves are not so sure and, in an increasing number of cases, are opting out of short sales to repossess and sell the home themselves. JPMorgan Chase, whose official stance on short sales is that “the company generally prefers short sales over foreclosures because they cost less and benefit the community,” has recently been citing its responsibility to investors to “get a fair price for the property,” pointing out that this may mean “seeking more than the short sale price – even if it puts the sale in jeopardy.”

Not surprisingly, this angers all sorts of people from homeowners to Hope Now advocates, who believe that “the short sale process is hampered by lenders’ concerns about fraud, difficulties in determining property values and the confusing lineup of players typically involved in a real estate deal.” One lawyer who represents sellers and lenders in short sales said simply, “The irrationality in which these applications can be dealt with is absurd.”

However, points out Frank McKenna, vice president of fraud strategy at CoreLogic, lenders are losing about $310 million each year in short sale fraud, with 1 in every 53 sales “plagued by problems” including flopping (short sale flipping), and a failure to get “the right valuation” on a property thanks to “shady investors.”

By: BEREL News Team

Fast Facts

2010-11-25T12:34:00.000-08:00

Calif. median home price: October 2010: $304,220 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region October 2010: Santa Barbara So. Coast $864,000 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region October 2010: High Desert $125,060 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - Third quarter 2010: 64 percent (Source: C.A.R.)

Mortgage rates: Week ending 11/18/2010 30-yr. fixed: 4.39 Fees/points: 0.9% 15-yr. fixed: 3.76% Fees/points: 0.7% 1-yr. adjustable: 3.26% Fees/points: 0.6% (Source: Freddie Mac)

Foreclosure sales drop in Western states.

Foreclosure sales declined across the Western states in October amid foreclosure suspensions by some lenders, according to a report by ForeclosureRadar. ForeclosureRadar's monthly reports cover California, Arizona, Nevada, Oregon, and Washington.

In California, notice of default filings declined 25.5 percent year-over-year in October to 27,217. Nevertheless, overall bank-owned (REO) inventory in California rose 16.5 percent year-over-year and 1.5 percent from September.

Foreclosure time frames in California continued to rise compared with the same period last year. An average of 279 days passed between the filing of a notice of default and a sale at auction, up from 211 days in October 2009. An additional 210 days passed on average between the sale at auction and when the bank resold the property, up from 183 days.

About Impound Accounts

2010-11-25T05:44:00.000-08:00

Happy Thanksgiving!

Recently I have had a lot of inquiries about Impound Accounts especially from distressed home owners and purchasers of REOs, Short-sales and bank owned properties.

Irregardless of whether you have a 10% of value mortgage, most lenders will require a Impound Account.

An Impound Account, also known as an Escrow Impound Account, is an account set up and managed by mortgage lenders to pay property taxes and insurance on behalf of the home buyer. These accounts are set up with the lender during escrow to ensure that the home buyer’s property taxes and insurance are paid on time and in full. The biggest misconception with the Impound Account is that it is managed by the escrow company. However, after escrow collects the initial deposit for the Impound Account and after the transaction is closed, the escrow company is no longer involved.

How It Works:

Each month, an amount equal to about 1/12 of the total sum of the annual property taxes and insurance due is collected from the buyer, along with their mortgage payment, and placed inside the account. When the time comes to pay the annual property taxes and insurance, the lender makes the payment from the funds accumulated in the account on the behalf of the buyer.

Setting up an Account
The account is set up by the mortgage lender during escrow. Escrow collects an Escrow Impound Deposit, which is typically a deposit of 2-6 months worth of taxes and insurance. Due to the fact that property taxes can be adjusted and insurance rates can change, this deposit ensures there are sufficient funds to make the payments in full when they are due.

Common Questions Regarding an Escrow Impound Account:

Is it mandatory to have an Escrow Impound Account?

No. The buyer may elect to pay property taxes on their own, and there is usually a small fee when waiving the account. However, based on the type of loan, the lender may require the buyer to have one.

Is it a good idea to have an Escrow Impound Account?

Since the property taxes and home insurance bills only come about twice a year, many average Americans have a hard time saving for them, and gladly give their money to the loan company interest free. This is one less thing to worry about, as the lender makes the payments for the buyer.

Do I have to decide now whether or now I wish to set up an account?

If it is not a condition of the loan, the buyer does not have to make an immediate decision. However, depending on the lender, there may be a cost to set it up at a later date.

The purpose of impound accounts is to help home owners pay their annual property taxes and insurance on time. For more information on your account, payments and more information on how they are managed, contact your mortgage lender or seek legal advice.

6 Reasons Buyers are not pulling the trigger on buying

2010-10-28T05:21:00.000-07:00

Interest rates are at historic lows: less than 4.5% on a 30-year-fixed and below 4% on 15-year fixed rate loans. And prices are low, too - at or near bottom in most of the country. Together, these items mean that affordability is near an all-time high.

It's like a massive, pre-holiday sale on real estate!

Nevertheless, home sales are only "gradually" creeping up, according to the most recent data published by the National Association of Realtors. And sellers are clearly still feeling price pressures; on Trulia's October price reduction report, an all-time high 27% of American homes listed for sale had had their price cut at least one time!

So, what's stopping buyers from running out to grab up all these affordable homes at affordable rates? And what can savvy sellers (and listing agents!) do to offset these obstacles?

1. (Perceived) difficulties in qualifying for a mortgage. Mortgage guidelines have tightened up significantly over the last few years, now requiring good (but not perfect) credit, documented income, a proven stable job history and cash for down payment and closing costs. Some buyers find it difficult to scrape the down payment money up; others find that they can qualify, but not for a large enough mortgage to buy any home worth owning (banks have tightened up debt-to-income ratios, too). Many would-be buyers don't even consider themselves serious prospects, disqualifying themselves in their own heads because they heard somewhere that a 20 percent down payment is necessary - in actuality, many buyers can qualify for a 3.5 percent down, FHA loan. Between actual difficulties qualifying and perceived difficulties that don't actually exist, lots of buyers are not biting because of loan "issues."

Seller Solution: Ask your agent to have a mortgage broker colleague prepare flyers reflecting various loan options, to give open house attendees a reality check about what it would actually take - including down payment, closing costs and monthly payment - to buy your home. Also, consider offering closing cost credits or being willing to chip in for lender-required repairs to empower buyers who are struggling with mortgage qualifying to close the deal.

2. Fear of buying a foreclosure. The ongoing robo-signing/foreclosure fraud scandal and the resulting foreclosure freeze is beginning to play a role. If you haven't heard, two of America's largest mortgage servicers have frozen foreclosures and resales of foreclosed homes in 23 states, and Bank of America, the largest lender in the land, has frozen them in all 50 states, all because sweeping fraud and improprieties have been revealed in the way the banks are processing foreclosure documentation.

More and more, buyers are fearful that if they buy a foreclosed home, that sale could be reversed down the road if it comes out that the banks wrongfully foreclosed on the former owner. And that could be stopping buyers from, well, buying foreclosed homes.

Seller Solution: If your home is not a short sale, all of your home's marketing materials should be trumpeting this fact - especially if most of your home's competition (e.g., similar homes in the area and in the same price range) are bank-owned homes and short sales. Seeing 'Not an REO/Not a Short Sale' on a listing or flyer is quite magnetic to buyers right now.

3. Waiting for the shadow inventory to come out. The phrase 'shadow inventory' refers to the homes that have been (or will soon be) foreclosed on by the banks, which are not yet on the market; some estimate this inventory to be as high as 7 million homes! Many buyers who are actively house hunting -- and who are disappointed with the homes that are available -- are fearful of pulling the trigger because they believe the banks are going to start releasing their 'shadow inventory' soon, and that those homes will be better than what's out there on the market right now.

Seller Solution: Work with your agent to strategically stage your home and even do basic, inexpensive repairs, to make it stand out against the competition as a desirable property. Also, ensure that your pricing is in line - or even slightly below - similar homes on the market right now, to ensure that your home seems like a very strong value for the price.

4. Waiting for the bottom. Given the trajectory of home prices over the past couple of years, there's a large contingent of buyers who are afraid that after they buy, home price will continue to fall and they will lose their hard-earned investment in the home. These are folks who are still waiting for the bottom (although by some accounts, including that of the Case-Shiller Price Index, the bottom is here or has already passed, in many cities).

Human nature is always to wait too long for the bottom, miss it, and then end up wishing we had bought sooner. The behavioral economics theory of myopic loss aversion explains this phenomenon as being due to the fact that the pain of losing money generates a greater psychological fear and avoidance than the prospect of gaining the same amount of money. Buyers can set themselves up to gain over time, even if they lose equity in the very near term, by making smart decisions about the home they buy and how much they pay for it, and planning to stay in their home for a longer term than previous generations of buyers did.

Seller Solution: This is a difficult one to counter, because it's really more about the would-be buyer's interpretation of the market than about their reaction to your home. If you live in a market that has had recent increases in home values, include that data in your marketing - make sure buyers are aware that they may already have missed the very bottom, and create a sense of urgency to buy your home before prices go up even more.

5. Unemployment/underemployment. Take California, for instance. The national unemployment rate is 9.6%; California's is a whopping 12.8%. But right around the same number of Californians are underemployed, meaning they work part-time, but want full-time work. That's right, a quarter of Californians are unemployed or underemployed, and -- right again! - none of those people are buying homes. On top of that, many people who do have jobs lack job security, the confidence of believing they'll be able to keep their jobs in the future. Interest rates could be zero, and people will not buy homes as long as they have no jobs or job security.

Seller Solution: If there are major employers in town that are within an easy commute of your home, both you and your agent should consider marketing it directly to employees there. Share your home's listing with Facebook friends who work there or even send an email out to your own contacts, if you work there yourself! Major companies' Human Resources Departments might help you get the word out to their employees - especially if you offer some incentive to an employee who buys your home, like a year's worth of subway passes. If you have universities nearby, there are likely online bulletin boards that offer housing options directly to relocating professors and employees.

6. Need to keep options open. Because home values are so volatile, currently, there's no guarantee that you can resell today's new home tomorrow without taking a loss. If we've learned anything from this crisis, we all know that it just doesn't pencil, financially, to buy a home on today's market unless you plan to own the home for at least 7 years (give or take a year or so, depending on how your market has fared in the housing recession).

Many Americans don't want to be tied to one location, given the changes in the job market, because they simply don't want to be stuck in one place, geographically speaking. They want to be free to meet someone via online dating and move if the match sticks. They want the freedom to move across the country or even to the next city or state for a job, if that's the direction their career takes them. The more mobile the person, the less likely they are to buy a home.

Seller Solution: Price your home well - if it's been lagging on the market, make sure you get aggressive and cut the price below a common buyer search cut-off price point (see this post for more details: Sellers: 5 Signs It’s Time to Cut the List Price of Your Home). Even buyers who are seriously in the market, get nervous about buying a home when it seems a bit overpriced, because they fear the price will drop some more in the coming months and years, extending the period of time before they can sell it at a break even or (hope beyond hope) a profit! Don't let overpricing cause you to lose buyers who otherwise would have bitten the bullet, pulled the trigger and hopped off the fence in order to buy your home.

Tara-Nicholle Nelson

The Majority of Property Iinvestors Target Bank-Owned Properties Rather than ShortSales

2010-10-17T08:04:00.000-07:00

You should be aware that billionaire property investors love snapping up cheap bank-owned properties.

Even if you not planning to become a billionaire property investor, what is interesting to note is that those billionaires made their fortunes by looking for and buying cheap repossessed and distressed properties, both in residential and commercial sectors.

These are additional traits of billionaires have in common – and each is very easy to copy and use yourself.

Set all emotional influences aside - real estate is a commodity!

When you’re buying a home to live in, it is inevitable that you’ll be swayed by some emotional factors. When you’re buying as an investment, reason and logic must play a dominant role.

Shrewd investors are seldom rushed into purchases but have the ability to act immediately when the right deal comes along. http://www.financeweb.com/

Stay updated on the most recent property trends - stay involved and read everything:

The other trait that more investors share is the desire to be a step ahead of the market. To do that you need to stay updated on the recent property trends in your area and know your market and replacement cost values. wWith the advent of the Internet its much easier to stay in the loop as information is just a click or two away.

If you haven’t already done so, subscribe to our property newsletter – its our job to keep you updated on property trends in La Quinta, Palm Springs, Indian Wells, Palm Desert and Rancho Mirage! http://www.realestateforsaleinpalmsprings.com/

Build a closer relationship with an knowledgeable Realtor in the market areas you are interested in investing.

Another great way to find bargain deals is to build a close relationship with a property expert such as myself. Most of the best property deals are sold before they even reach the market. To get first to those ‘low hanging fruits’ you’ll need to stay in contact on a routine basis. http://www.luxurydeserthomes.com/

Get ready for a bumpy ride in the housing market.

2010-10-17T05:15:00.000-07:00

The growing number of freezes on home foreclosures is likely to shake up the struggling U.S. housing market. Experts say home prices could rise in the short term, but the eventual glut of foreclosure sales could hurt the market in the long run.

The move by some major lenders such as Bank of America (BAC, Fortune 500), JPMorgan Chase (JPM, Fortune 500) and Ally Financial to put some of their foreclosures on hold could help temporarily lift prices, by removing the inventory of bargain-basement foreclosed properties from the market.
"Home prices are likely to be firmer than otherwise would be the case in the fourth quarter and into early next year," said Mark Zandi, chief economist at Moody's Analytics.
While that's good news for the economy, the effects might be short lived. That's because the foreclosure freezes are also likely to delay sales of the huge inventory of foreclosed properties, which would hinder a long-term recovery in prices.
"It'll probably push out the distressed sales into 2011 and 2012," said Zandi.

Questions about the validity of some of the lenders' affidavits in foreclosure cases has caused the banks to announce moratoriums over the last two weeks.

Friday, Bank of America expanded its freeze on home foreclosures to all 50 states from the 23 states where foreclosures must be approved by the courts. Some of the states that were added are among those with the highest rates of foreclosure sales, including California, Nevada and Arizona.

If freezes spread to other home lenders, or if other lenders follow Bank of America and expand their moratoriums, it could greatly increase the impact on the market.
Freezing foreclosures? What does that mean?

Distressed sales through foreclosures or short sales http://www.luxurydeserthomes.com/ now make up nearly a third of the residential real estate market, according to an estimate from home sales research firm RealtyTrac, which estimates they are depressing home prices by about 26%.

Any short-term rise in overall home sales is likely to be misleading, said Rick Sharga, RealtyTrac senior vice president, as the numbers might be skewed by the loss of rock-bottom foreclosure sale prices from the market.

"You might get a false positive read on fourth quarter home prices because you'll be eliminating a lot of sales at the bottom of the market," he said. "There are so many factors distorting the market, it's tough to get an accurate read."

He thinks the freezes could cause lenders to move toward more short sales, in which the bank agrees to a sale for less than the balance of the mortgage. That could lead to a more substantial impact on market prices.

"It might stimulate a little more short sale activity, as lenders and servicers look for ways to more efficiently move the property outside the foreclosure," said Sharga. "Typically your discount on short sales is only 15%, compared to 35% for a [foreclosure sale]." http://www.realestateforsaleinpalmsprings.com/

Just the level of uncertainty about the halt in foreclosures has the potential to depress home sales as buyers wait to see what foreclosed homes might be coming on the market in the future.

A prolonged delay in foreclosures could also hurt long-term prices by driving investors who had been returning to the real estate market to invest elsewhere.
"Some of the money that is waiting to go to [into foreclosure sales] might evaporate and those sales could be lost," said Zandi. http://www.financeweb.com/

And the delays could further depress the value of all homes in areas with high numbers of foreclosures by keeping the houses vacant longer and delaying a correction in the market.

"I would think anything that delays the disposition of these properties has the potential to further depreciate surrounding home value," said Sharga

By Chris Isidore

La Quinta Events in March

2010-03-10T05:53:00.000-08:00

The La Quinta Art Festival starts this week.
28th La Quinta Arts FestivalThu Mar 11th, 10am - Sun Mar 14th, 5pmLa Quinta Civic Center Campus
Art Under the UmbrellasSat Mar 27th, 10am - 4pmOld Town La Quinta
Art Under the UmbrellasSat Apr 10th, 10am - 4pmOld Town La Quinta

Tennis Tournament Starts this week.
March 19–21, 20102010 BNP Paribas Open Trilevel Championships

To visit any homes go to http://www.luxurydeserthomes.com/ or call me at 760-574-7676

Not all the real estate news for 2010 is doom and gloom.

2010-03-08T12:09:00.000-08:00

Not all the real estate news for 2010 is doom and gloom. Sure, the foreclosures are predicted to continue and even increase in 2010, and stabilizing home values will depend on the area in which you live. These three trends to expect in 2010 should help balance out the increasing foreclosures and home values:
3. 99% of short sales do not go through to closing. The other 9% are those where the lender has ALREADY approved the short-sale amount. I only work with this type of short sale as all the parties concerned at least know where they stand in a relatively short period of time rather than wondering how long before an answer is received and how much the market could change upwards to downwards. La Quinta, Palm Desert,Rancho Mirage and Indian Wells offer many approved short-sales and these can be found on http://www.luxurydeserthomes.com/ .
We currently have an approved short sale that was originally listed for $2.595 million in the Tradition available for $1.5 million!

2. More Buyers in 2010 - Expectations are for more home purchases in 2010. With the Home Buyer tax credit (originally slated to end in November of 2009) extended until April 30, 2010, the next few months should find an increase in home purchases. Additionally, the tax credit now applies to some existing homeowners, and also to some higher income owners. The market will not only see new buyers purchasing a home, but some current home owners buying up as well. And, since the Fed has kept interest rates at the current all-time low, mortgage rates are another reason for well qualified buyers to jump into the market now!

1. Continued Buyer’s Market – With the large inventory of homes on the market today, the buyer is securely in the driver’s seat. Sellers must be on their toes and always trying to entice buyers into their "move-in-ready" homes. In this type of market, many owners will offer a price reduction on properties that have been on the for-sale list over 30 days. Well qualified buyers can negotiate with these owners for a lower price, can request contingencies, request credit clauses for worn out carpets and the like, ask the seller to share closing costs, and ask for a home warranty. Actually, that is just the beginning of the list of perks a buyer can request in this market!

The Desert is Experiencing a Perfect Storm!

2009-10-05T11:51:00.000-07:00

Wednesday, October 7, 2009
By Barry Lotz,J.D.,Ph.D. www.luxurydeserthomes.com
This is the perfect storm for home buyers!
Our summer is officially over and we are getting ready for our 2010 season here in the Palm Desert. The temperatures are in the comfortable high 80’s and the golf courses are being prepped and seeded for our new season and the majority of courses should be open between November 5-10.
A recap of last month sales here in the desert!
The summer of 2009 was one of the best summers I have seen so far in the last 3 years. Of the total sales, 866 were recorded in the Coachella Valley — up 12 percent over September 2008, and slightly up from August of this year.
The median home price paid for a Coachella Valley home or condo was $178,000 in August, slightly down 1.5 percent from July.
Now, in a few local areas like Bermuda Dunes, La Quinta, Palm Desert and one section of Palm Springs — recorded sales that resulted in median home prices in the $200,000 to $275,000 range.
We have seen a small increase of sales in the luxury home market in September versus the same month in 2008. Luxury home sales aren't easy to snare in these times, but they are happening.
Residential inventory in the desert area is down to just over 5,000 units. Take the current housing inventory and divide by the 866 closed sales for August resulting in an inventory of just 6 months…. a number that most would suggest we are reaching a neutral market.
Bank Owned Homes and Short Sales still makes up for the majority of sales here in the desert with the majority of homes being sold for under $500,000.00
It’s the perfect storm for home buyers. Deep discounts on properties, historic low interest rates and great tax incentives are driving home buyers to snap up these great opportunities both for investment and personal use.
To receive a complete list of Bank Owned Homes here in the desert visit: http://www.luxurydeserthomes.com
We are also observing the following:
• An increase of appraisals from banks for distressed homes over 4,000 sq. ft.• Interest rates will stay where they are through next year• Unless extended by Congress, this is the final month to take advantage of the first-time home buyer $8,000 Tax- Credit.• The highest-priced property out of the 866 sales sold $2.2 million. • The Canadian dollar is still very strong. (1 Canadian dollar = 0.93 U.S. dollars)
There are still deals to be made! Don’t miss the opportunity this time!
Please call or e-mail me with any questions .
Barry

Pending home sales index rises again in June

2009-08-04T09:12:00.000-07:00

Pending U.S. home sales rose in June for the fifth straight month, another encouraging sign of life for the embattled U.S. housing market, the National Association of Realtors reported Tuesday.
For June, the Realtors group said its pending home sales index rose 3.6 percent to 94.6, from an upwardly revised reading of 91.3 in May. The last time there were five consecutive monthly gains was July 2003.
The results were far better than analysts expected. Economists surveyed by Thomson Reuters expected the index to come in at 91.2.
The report tracks signed contracts to purchase previously owned homes and is considered a barometer for future home sales. Typically there is a one- to two- month lag between a sales contract and a completed deal.
The jump in pending home sales coincides with other positive trends in the residential real estate market.
"The housing market is healing and the patient is getting healthier at an accelerating pace," said economist Joel L. Naroff, president of Naroff Economic Advisors Inc.
For the first time in five years, home resales have risen for three months in a row, increasing almost 4 percent in June. Low prices, attractive mortgage rates and a first-time homebuyers tax credit of up to $8,000 have kick-started sales.
"Because housing is so affordable in today's market, job security and the first-time buyer tax credit are bigger factors in influencing home sales," said Lawrence Yun, the Realtors group's chief economist, in a statement.
Also Tuesday, homebuilder D.R. Horton Inc. said its fiscal third-quarter losses shrank from the year-ago period, as it took smaller charges against the falling values of its land and unsold homes.
D.R. Horton's results followed similar numbers from Pulte Homes Inc. and Centex Corp., which reported quarterly earnings Monday that showed new-home orders picked up during the first half of the year.
Yun said he expects existing home sales to gradually rise over the balance of the year, with conditions varying around the country.
"It appears home sales are on a sounder footing and inventory is gradually being absorbed," he said.
Regionally, the pending home sales index jumped 7.1 percent to 100.7 in the South and 2.9 percent to 100.4 in the West. The index inched up 0.4 percent to 81.2 in the Northeast, and up 0.8 percent to 89.9 in the Midwest.

Welcome to the bottom: Housing begins slow rebound

2009-08-02T22:51:00.000-07:00

It was — note the past tense — the worst housing recession anyone but survivors of the Great Depression can remember.

From the frenzied peak of the real estate boom in 2005-2006 to the recession's trough earlier this year, home resales fell 38 percent and sales of new homes tumbled 76 percent. Construction of homes and apartments skidded 79 percent. And for the first time in more than four decades of record keeping, home prices posted consecutive annual declines.

A staggering $4 trillion in home equity was wiped out, and millions of Americans lost their homes through foreclosure.

Now take a deep breath and exhale. The worst is over.

For years Las Vegas symbolized the boom, as mile after mile of desert gave way to three-bedroom homes and swimming pools. Then came the crash and it symbolized something else: a decade of speculation and excess.

Now, Las Vegas is one of the hottest housing markets in the region again. This city has always profited from others' misfortune, and the same can be said of the current housing market.

In Clark County, Nev., home to Sin City, one in every 11 homes had received at least one foreclosure-related notice in June, according to RealtyTrac. The glut of deeply discounted foreclosures has almost doubled sales activity for most of this year.

"In January the market was busy, and since that time, it's gone a little haywire," says Brad Snyder, an agent with ZipRealty in Las Vegas. "There's (sales) activity now that we haven't seen even since '04."

The situation is similar in California's Riverside, San Joaquin and San Bernardino counties, where one out of every 14 homes was in foreclosure.

After falling 18 percent in the second half of 2008, monthly home prices were flat in the first half of this year, on a seasonally adjusted basis, according to the National Association of Realtors.

Markets like these have seen a surge this year in all-cash buyers, many of them investors, scooping up the sharply discounted properties. It's not uncommon to see multiple offers on a single property, and that's helped slow the rate of price declines a little. The demand also has helped whittle down the inventory of homes for sale to the lowest level since the boom.

"We have seen such a steep decline in supply right now, that when a home comes on the market it's first day there could be seven or eight or 10 people there in a matter of hours," Snyder says.

To lure buyers away from foreclosures, homebuilders have slashed prices or are simply tearing down vacant homes. New home sales jumped almost 59 percent in the first half of the year, while construction in these grossly overbuilt markets slid 12 percent.

By ADRIAN SAINZ, DAVID TWIDDY, DANIEL WAGNER, ALEX VEIGA, Associated Press Writers

Pending Home Sales Up 4th Month; Housing Bottom is Here

2009-07-06T06:57:00.000-07:00

Just today the pending home sales show a sustained uptrend, rising for the fourth month in a row, from our very favorable housing affordability and a first-time buyer tax credit boosting activity, according to the National Association of Realtors®.

The Pending Home Sales Index based on contracts signed in May, increased 0.1 percent from an upwardly revised reading in April, and is 6.7 percent higher than May 2008. The last time there were four consecutive monthly gains was in October 2004. Wow, this market is really heating up. And if you haven't already jumped in to get your deals, you need to do that NOW.

Regional Breakdown:
Northeast rose 3.1 percent May over April and is 6.8 percent above May 2008.
Midwest slipped 1.3 percent May over April, but is 11.4 percent above May 2008.
South declined 1.7 percent May over April, but is 7.9 percent higher than May 2008.
West rose 2.2 percent May over Apri, and is 0.7 percent above May 2008.
NAR’s Housing Affordability Index remains at historic highs. The affordability index fell to 171.6 in May from an upwardly revised 178.8 in April, which was the highest on record dating back to 1970. “Under these conditions the typical family would devote only 14.6 percent of gross income to mortgage principal and interest, which is one of the lowest percentages on record,” Yun said.
A median-income family, earning $60,800, could afford a home costing $296,700 in May with a 20 percent downpayment, assuming 25 percent of gross income is devoted to mortgage principal and interest. Affordability conditions for first-time buyers with the same income and small downpayments are roughly 80 percent of what a median-income family can afford. The affordable price was significantly higher than the median existing single-family home price in May, which was $172,900.

The first-time buyer tax credit also is benefiting the market. “Strong activity by entry level buyers is helping to absorb inventory and allow some existing owners to make a trade,” Yun said.

Pending home sales is a forward looking report. Therefore you should see existing-home sales continue to trend up through the rest of the year. Even with all the new foreclosures hitting the market, with builders not building, supply is shrinking. In some parts of the country, like California, housing supply is less than a 4 month supply.
La Quinta, Palm desert and Rancho Mirage have wonderful opportunities. Homes can be bought from $56 per square foot!!!!
I know I am buying and you are invited to become involved in the investment aspect of single family homes. Visit www.financeweb.com to see what I am planning.

Questions I get asked that are not all real estate specific

2009-06-01T06:55:00.000-07:00

Finding the right contact or the right information can mean the difference between the success or failure of a business, product or service. Networking is invaluable, and so is relevant information that might prompt you to see a challenge in new light or find a new approach that you had overlooked before.

I hope you benefit from the resources. Please check back from time to time because I will be updating information as people request and as I'm inspired by topics that are relevant in this challenging times.

Web Resources and Blogs for Entrepreneurs:

* Inc.
* Wall Street Journal – small business financing
* Guy Kawasaki’s blog
* VentureVoice podcasts
* Vador.tv Voice of the Entrepreneur
* Yahoo! Small Business

Market Research:

* http://www.google.com/insights/search
* http://www.google.com/trends

For Golfers:

* Become a Golf Teacher www.pgtaa.com

* Golf News on Equipment and Travel www.connoisseurgolfandtravelreport.com

* Palm Springs Top Ten Golf Courses www.luxurydeserthomes.com/downloads/PStoptenflyer_Layout-1.pdf

Research what funding your competitors/friends/enemies got:

* TradeVibes
* PE Week News
* Venture Wire

Books:
Reality Check – see the chapters on “The Lies VCs Tell” and “The Lies CEOs Tell”– by Guy Kawasaki

Articles:

* Angel Investing 2009
* Top Ten Legal Mistakes Made by Entrepreneurs

Bidding Wars Are Emerging on Foreclosures

2009-05-23T05:12:00.000-07:00

Prices Are Generally Falling, But a Few Markets Have Shortages of Midpriced Homes

Falling home prices are starting to ignite bidding wars in a few parts of the U.S. as first-time buyers compete with investors for the same foreclosed properties.
In most of the nation, the supply of unsold homes continues to swamp demand. Home prices in many markets continue to fall, and foreclosures, which slowed in late 2008 as mortgage companies delayed taking action against delinquent borrowers, are picking up again.
But real-estate brokers say multiple offers on certain homes have recently become more common in parts of California and Arizona and the Washington, D.C., and Minneapolis-St. Paul metropolitan areas.
Where Housing Is Headed
See changes in the housing markets in 28 major metro areas.

Early Signs of a Turnaround?
Some home buyers are bidding against each other on foreclosures:
The action is confined to certain markets, including parts of California, Arizona and the Washington, D.C., and Minneapolis-St. Paul metro areas.
Many markets, including South Florida and New York City, remain glutted.
The supply of bank-owned homes is expected to grow over the next few months.
MORE
Homeowners Refinance in Droves
Real Time Econ: Why Some Home Prices Are Up
Tamby Leonard of Santa Ana, Calif., southeast of Los Angeles, says she has been outbid four times since January when trying to buy a home for her family of five. The more appealing bank-owned homes in her price range, around $300,000, tend to be sold quickly to investors who can pay cash. The market for homes in the Santa Ana area in that price range is "blazing hot," says Ed Mixon of Altera Real Estate, Ms. Leonard's agent.
On Wednesday, the Federal Housing Finance Agency reported that home prices nationwide rose a seasonally adjusted 0.7% in February from January, led by gains on the West Coast. When compared with a year earlier, however, home prices were down 6.5%.
Bidding wars -- common during the housing boom -- had all but disappeared soon after the market peaked about three years ago. Even now, they remain the exception rather than the rule.
The Wall Street Journal's quarterly survey of 28 major metro areas shows that there is still a glut of homes available in most markets. But the glut has shrunk, and some areas are running into shortages of moderately priced homes in middle-class neighborhoods.
Many housing economists expect the market to bottom out gradually over the next couple of years, with some parts of the country stabilizing well before others. California and Washington, D.C., for instance, are likely to recover faster than South Florida, which has an immense glut of vacant condominiums, and the New York City area, which has been hurt by Wall Street's collapse, says Kenneth Rosen, chairman of the Fisher Center for Real Estate at the University of California, Berkeley.
Across the nation, there is still a tug of war between bullish and bearish forces. On the bullish side, falling prices and the lowest mortgage rates since the 1950s have made homes far more affordable, luring shoppers like Ms. Leonard, who has been renting for years. Adding to the attraction, the U.S. government is offering tax credits for certain people who buy homes before Dec. 1. The credit -- equal to 10% of the purchase price, up to a maximum of $8,000 -- is available to buyers who haven't owned any other primary residence in the U.S. during the three years before the date of purchase.
On the bearish side, rising unemployment has knocked many people out of the housing market and made those who still have jobs skittish. Even those with secure jobs who want to buy can't always get loans on attractive terms because of today's tightened credit standards.
Associated Press
A foreclosure sign sits outside a home for sale in Phoenix.
In addition, the supply of bank-owned homes is expected to grow over the next few months because many mortgage companies have ended moratoriums during which they refrained from proceeding with foreclosures.
The moratoriums artificially reduced the supply of foreclosed homes listed for sale, says Chad Neel, president of LPS Asset Management Solutions Inc. in Westminster, Colo., which sells such properties for banks. Now "there's a flood about to come on the market," Mr. Neel says. Foreclosures are likely to weigh on the market for years as courts and mortgage companies struggle to catch up with huge backlogs of unresolved cases.
Foreclosures, though far above normal levels in most of the country, are heavily concentrated in a few states, including California, Arizona, Nevada, Florida and Michigan. In areas with large numbers of bank-owned homes, buyers are mainly concentrating on those properties. That leaves ordinary homes languishing as owners generally refuse to slash prices enough to compete with banks.
In the Sacramento, Calif., metro area, about two-thirds of all March sales were foreclosures, says Michael Lyon, chief executive of Lyon Real Estate. The supply of foreclosed homes currently listed for sale is enough to last only about a month at the recent sales pace, he calculates. But there are plenty of homes listed for sale that aren't bank-owned, enough to last more than eight months.
In West Sacramento, a buyer represented by Cherie Hunt of Prudential California Realty recently competed against two other bidders for a three-bedroom home built in 2001. Ms. Hunt's buyer won by agreeing to pay about $220,000, or nearly $10,000 above the asking price. But that's still way down from $405,000, the price at which the same home sold in 2005.
"I have 20 buyers looking desperately," says Ms. Hunt.
Frank Borges LLosa, owner of FranklyRealty.com, a real-estate brokerage in Arlington, Va., is advising clients that banks favor all-cash bids or offers from people who seem certain to qualify for financing. Sellers may well choose the offer least likely to fall through rather than the highest bid, he says. He and other brokers say banks appear to be deliberately setting asking prices low in some cases to provoke bidding battles.
"There are a lot of buyers who think they can lowball," says Connie Vaughn, an agent at ZipRealty in the Los Angeles area. But in some cases mortgage companies already have cut asking prices enough to generate multiple bids. One of her clients recently prevailed over more than 30 other bidders by offering about $86,000 -- or $20,000 above the asking price -- for a four-bedroom house in Adelanto, Calif., that had sold for $200,000 in 2004.
A mortgage company recently slashed the asking price on a two-family home in Norwich, Conn., to $73,900 from $144,900. That price cut prompted five offers that the company is now considering, says Linda Davis of Re/Max Realty Group, the listing agent. She says the price cut was unusually steep but adds, "At some point, [banks] just decide to let it go."
That's encouraging, says Ronald Peltier, chief executive of HomeServices of America Inc. in Minneapolis, which owns real-estate brokerages in 19 states. "We do need to flush out the distressed inventory," he says, before the rest of the market can stabilize.
One positive trend is affordability. A family earning the national median pretax income of $52,800 a year needs to spend 25% of that income to buy a median-priced home, down from 44% in mid-2006, according to John Burns, a real-estate consultant in Irvine, Calif. For the Los Angeles metro area, that ratio has dropped to 45% from 102%. In Phoenix, it is down to 19% from 46%.
Among the markets Mr. Burns expects to recover earliest are the metro areas of Washington, D.C.; San Antonio; Raleigh, N.C.; Denver; Sacramento; and San Diego.
By James R. Hagerty at bob.hagerty@wsj.comPrinted in The Wall Street Journal, page B9

7 Tips to Negotiate Your Way to a Mortgage Loan Modification

2009-05-05T10:30:00.000-07:00

For some small business owners, trouble on the home front (as in home mortgage front) threatens already precarious business conditions. Home mortgages that once seemed a good source of money for the business now could result in the need to layoff workers or even close. Homeowners with trouble making mortgage payments often hear that their best bet is to contact their lender about a loan modification, but they should be well prepared when they do so.

Whether the problem making mortgage payments is short term or long term, the best option for homeowners often is to contact their lender to try to work out a new payment agreement. Lenders are not obligated to make mortgage modifications, however it is often in their interest to work out a feasible payment plan for the homeowner rather than foreclose and sell the property.
The Obama Administration’s Homeowner Affordability and Stability Plan included refinancing of qualifying mortgages owned or securitized by Fannie Mae or Freddie Mac to a lower fixed interest rate. As reported by the Washington Post, the Obama Administration announced that the program will apply to previously excluded second mortgages.

In part to help those outside this program, the Obama plan also included $75 billion in matching cash to encourage lenders to agree to mortgage modifications.

Here are a few tips to keep in mind when seeking a mortgage loan modification:
1. Don’t fall for any mortgage modification scams (such as advanced fee scams).
2. To learn how to best make your case for a loan modification, contact one of the HUD Approved Foreclosure Avoidance Counselors in your area. They can also inform you about any federal, state or local programs that may assist you.
3. Get an accurate picture of your finances. Your best chance at getting a modification is to demonstrate the ability to repay and a thorough understanding of the costs and income you face going forward.
4. If the problem making payments is short-term, ask your lender about forbearance or postponement of payments for a limited period. Be prepared to demonstrate when you’ll be able to start making payments again.
5. If the problem is long term, and what you need is modification, be prepared to make an offer and demonstrate how you could repay the modified loan. Be sure your lender is up to speed on incentive programs that may be available to help.
6. When negotiating a modification, make sure to understand how it will deal with any fees or penalties that may have accrued. Know what fees are in play and whether the modification will eliminate, reduce or tack them on for repayment.
7. If the lender won’t modify and foreclosure looms, consider asking the creditor to “produce the note,” (particularly when a creditor other than the original lender seeks foreclosure). It’s a stalling tactic, but can sometimes encourage creditors to negotiate.
For more information, visit www.findlaw.com.

Written by Caleb Groos

Warren Buffet's opinion of the housing market

2009-05-04T14:14:00.000-07:00

"In the last few months you've seen a real pickup in activity although at much lower prices," Mr. Buffett said, citing data from Berkshire's real-estate brokerage business, HomeServices of America Inc., which is one of the largest in the U.S.

In California, medium and lower-price homes -- under $750,000 -- have been selling more, though there hasn't been a bounce back in sale prices, Mr. Buffett said. "We see something close to stability at these much-reduced prices in the medium to lower part of the market."

These remarks are from Berkshire Hathaway Inc. shareholder meeting this past weekend.
Copyrighted, Dow Jones & Company, Inc. All rights reserved.

As seen on Youtube.com

2009-05-02T07:05:00.000-07:00

Please visit: http://www.youtube.com/watch?v=ZiH3pfYcRrs

I would love to hear your comments and suggestions.

So we don't forget..

2009-04-27T08:00:00.000-07:00

When down markets end, almost all investors regret not buying during the hard times. Too many investors want to wait until they are sure values won’t fall any more. But by that time, they probably have climbed back up. Then everybody wants back in, and the bargain goes away like a wet spot on a blackboard. Timing markets is impossible. What you need to do is buy when the numbers are good enough, not try to time it perfectly such that the numbers won’t get any better. In some markets today, the numbers are good enough regardless of whether they will get even better in those markets in the future.

April/ May Upcoming Events in the Desert

2009-04-21T07:47:00.000-07:00

April/ May Upcoming Events
Stagecoach Festival, April 25 - 26
10th Annual Golf Classic, April 27
"Joe & Mustard" April 27
Annual Elvis Honeymoon Weekend May 1 - 3
Cops and Kids 13th Annual Charity Golf Tournament May 3
"Ted Herman and his Orchestra" 1st and 3rd Tuesday in May
.David Copperfield May 12 - 14
Smooth Jazz Festival May 16
"Salute to America" May 21
"My Name is Eartha But You Can Call Me Miss Kitty" May 23
Palm Springs Film Noir Festival May 28 - 31
"A Mystic Weekend" May 29 - 30
Palm Springs Restaurant Week May 31 - June 9
Annoucement:Indian Wells Theater Announces Exciting New Upcoming Season

Entry level sales take off

2009-04-13T16:56:00.000-07:00

April 15, 2009

Entry-level sales take off
Sales of property priced under $500,000 double in Coachella Valley
Debra Gruszecki • The Desert Sun as of March 15
Sales of entry-level homes dominated the Coachella Valley real estate scene during the fourth quarter of 2008, while big-ticket properties turned in a disappointing performance, new data shows. "It's almost like the original tale of two markets,” said Patrick Veling, president and founder of Brea-based Real Data Strategies, which provides and analyzes real estate data for The Desert Sun.

“Except, it's flipped: Entry-level home sales are robust” with a 58 percent gain over 2007. “High-priced real estate sales took it on the chin.”

The company has tracked real estate trends across the nation for more than 16 years and provides data to The Desert Sun for a comprehensive look at the Multiple Listing Service market. It made its observations from the 1,867 sales tracked in the last three months of 2008:

Sales of property priced under $500,000 doubled compared to the fourth quarter of 2007.
Real estate activity mushroomed in west Desert Hot Springs, where sales prices averaged $108,247.
Sales of mid-range homes dropped nearly 50 percent.
Sales in the market between $750,000 and $1million fell by one-third.
Homes priced above $1 million declined nearly 56 percent.
“I have never seen prices tumble so dramatically in such a short time,” Veling said. “There has never been such a clear indicator that price is driving this sales phenomenon.”

Greg Berkemer, executive director of the California Desert Association of Realtors in Palm Desert, has described the market as one that can be unfairly harsh and hugely rewarding at the same time.
“It depends on what line you happen to be standing in,” he said.

“The line for buyers is better now than the line for sellers. Even so, the non-serious buyer or seller should get out of line to allow those that need and want to sell or buy to meet.”

2009 Sales over $1,000,000 prepared by www.luxurydeserthomes.com
January - 13
February - 11
March - 24

Call for specific details as to where these occurred. Barry 760-574-7676

Buy a Home NOW or WAIT?

2009-03-21T10:47:00.000-07:00

Buy a Home NOW or WAIT?

Saturday, March 21, 2009

This is really the million dollar question. Should I buy a house now, or should I wait and see if prices fall further?

But what if interest rates go up (per Bernanke's 60 Minutes interview March, ‘09) then where do I stand?

I did the math, and after listening to Ben Bernanke's interview on 60 minutes last week - it’s clear that if housing improves, interest rates will have to go up. And, what if prices drop, did I mess up and buy to early?

This chart REALLY shows the benefits of buying a home now versus waiting.

It’s rather interesting, yet what it does not take into account is when the market does pick up, and when rates do start to go up, there will be much more competition on homes, so the "price advantage" will be gone. (My current observation as one of the desert’s top Realtor, is the market IS picking up, in fact it’s picked up a lot in the last month based on reported sales to the MLS).

For more information or to find some homes that really make sense to buy now, with built in equity, give me a call.

The Top 5 Housing-Market Hopes for 2009

2009-01-05T05:59:00.000-08:00

Here are the five best reasons to be hopeful about housing in 2009:

1. Cheap mortgage rates: With inflationary pressures easing and economic concerns mounting, shell-shocked investors are seeking the protection of government securities, such as 10-year treasury notes, driving down yields. The lower yields, coupled with the Fed's recently announced plans to buy up debt and mortgage-backed securities from Fannie Mae and Freddie Mac have dragged mortgage rates to multi-year lows. Thirty-year, fixed mortgage rates hit an average of 5.47 percent last week, the lowest they've been since 2004, according to Freddie Mac.
To be sure, not everyone will be able to take advantage of these attractive rates: Tougher lending standards will prevent many would-be buyers from getting into the market, while homeowners whose houses are now worth less than what they owe on their mortgage won't be able to refinance. Still, the rates present a welcome incentive for qualified borrowers to step up to the plate. "Lower mortgage rates mean more people with those credentials will be able to qualify," says Patrick Newport, a U.S. economist at IHS Global Insight. While that might not make a dramatic impact on the market, it could be enough to keep home sales from declining as much as they otherwise would, Newport says.

2. Lower prices: Home prices at the national level have already fallen 21 percent from their 2006 peaks. And in certain bubble markets, the crash has been even steeper-prices have fallen more than 30 percent in Phoenix and Las Vegas over the past year alone. Although that's a big blow to homeowners-the housing bust is expected to wipe out more than $2 trillion in home values in 2008-lower prices do help stimulate buyer demand, which is badly needed to mop up the excess housing inventory. And while home prices are expected to drop further in 2009, values in certain markets are already at levels low enough to tempt bargain hunters. "Falling home prices aren't part of the problem, they are part of the solution," says Mike Larson, a real estate analyst at Weiss Research.

3. Fewer housing starts: In the face of dwindling demand, home builders have been forced to sharply pull back on new construction. The government reported Tuesday that November housing starts dropped to their lowest level since 1959, when officials started keeping the statistics. While that's bad news for the economy-because it means fewer jobs for builders and others-it's an important step in bringing housing supply back in line with demand. The cutback will limit the supply of new homes coming into the market, which helps to reduce the glut of unsold homes that is putting such downward pressure on housing prices. "In order to get rid of the inventory, builders have to cut back even further and prices have to drop," Newport says. "It's very painful, but there is no way to get around the fact that that's what you need to do to equilibrate the market."

4. Obama stimulus: In an attempt to hoist the economy out of its rut, President-elect Barack Obama has announced plans for a massive federal spending program. The initiative is expected to put between $500 billion and $1 trillion into infrastructure repair and other projects in an effort to keep Americans working. Should this program succeed in preventing unemployment from skyrocketing and keeping the economic contraction from hitting the dourest projections, certain housing markets may firm up quicker than expected, says Susan Wachter, a professor of real estate at the University of Pennsylvania's Wharton School of Business. In the best-case scenario, "the housing market declines become contained to those markets where house price declines are significant," Wachter says.

5. Credit programs: It will be tough for the housing market to come back to life until the credit markets-which have been log-jammed by fear for more than a year-begin to unlock. Like the fight to limit unemployment, reviving the credit markets is a daunting challenge. But remember, the federal government has already taken a number of steps designed to do just that. The Federal Reserve has slashed its benchmark interest rate to between 0 and 0.25 percent and committed nearly $2 trillion to new lending programs, bailouts, and additional measures designed to bolster the financial markets. Meanwhile, Congress passed a $700 billion bailout and the Treasury has already injected a chunk of that money into banks of all sorts. While these efforts haven't been enough to restore the credit markets to health, they have produced results. Interbank lending, for example, has eased. And should this modest victory lead to a broader recovery in the credit markets, the economy-and the housing demand that comes with growth-could turn around quicker than expected. "Right now, panic is driving the credit markets," says Moody of Mission Residential. "If, for whatever reason, confidence were to resume and people's appetite for risk was starting to increase, then you could start all of a sudden seeing credit flowing much more freely, which obviously supports spending in both business and households."

By Luke Mullins, USNews.com

New Low Mortgage Rates Out of Reach

2008-12-08T04:48:00.000-08:00

RISMEDIA, Dec. 8, 2008-(MCT)-Many of the would-be borrowers who have bombarded mortgage lenders with phone calls since interest rates dropped last week are finding they don’t qualify for loans.Credit standards remain significantly tighter than they were two or three years ago. Some types of loans, such as adjustable-rate balloon mortgages, are difficult to obtain, and millions of homeowners cannot qualify for refinancing because they owe more on their current mortgages than their houses are worth.

“A dramatic tightening of underwriting standards and a rising number of underwater homeowners will eliminate more than half of the people” who could benefit from the new lower rates, said Guy Cecala, publisher of Inside Mortgage Finance.

To qualify for a conventional 30-year loan for $400,000 at a fixed rate of 5.5%, a consumer would need a credit score of 680, a down payment of 10% and a debt-to-income ratio of 45% or less, said Brian Bonnet, president of Signature Mortgage Services in Alexandria.

While acknowledging that credit standards had tightened this year, Bonnet emphasized that a buyer with solid credit could obtain a Federal Housing Administration-insured loan of $625,000 bearing a 5.5% fixed rate and requiring a down payment as low as 3.5%.

Mortgage rates fell immediately Nov. 25 after the Fed announced its extraordinary plan to spend $600 billion purchasing debt and mortgage-backed securities guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae.

“This is as big as it gets,” said Bob Walters, chief economist of Internet lender Quicken Loans. Mr. Walters reported that mortgage rates instantly dropped three-quarters to 1 percentage point, reaching 5.4% to 5.5%, after the Fed announced its program.

Many lenders expect rates to keep dropping.

“Mortgage rates have been artificially high this year mostly due to panic and disruption in the credit markets, especially for anything with a mortgage label on it,” said Cecala. “A more appropriate rate for 30-year fixed rate mortgages would have been 5 percent or less,” given how the rate on the Treasury 10-year note has plunged, Cecala said. Cecala expects rates to reach 5% by the end of the year.

For those who do qualify, the savings can be substantial, especially if their initial below-market “teaser” rate is scheduled to adjust upward in the near future.

A 30-year, $350,000 mortgage bearing a fixed rate of 5.25% instead of 6.5% would save a borrower $280 per month. A half-percentage-point reduction to 5.5% would yield a monthly savings of $111.

“Many people have been sitting on the sidelines, and they are now the ones who can take advantage of this opportunity,” said Mr. Walters. “It’s an early Christmas present.”
Mortgage brokers in some areas of the country were quoting 30-year fixed rates as low as 5.25% late last week for borrowers with stellar credit and substantial equity in their homes. As recently as July and August, 30-year fixed-rate mortgages averaged about 6.5%, according to national surveys by Freddie Mac.

“Consumers should not be holding out for a lower interest rate,” Bonnet cautioned. “In the last 50 years, rates have not been appreciably lower than they are today,” he said. “Waiting for a lower rate could be a fool’s game,” especially given the extreme volatility that has characterized the mortgage market during the past year.

Walters also cautioned against delay. “You are betting against history if you are waiting for interest rates to go lower,” he said.

“Mortgage rates dropped a lot in a matter of a day, which is just what the Fed wanted,” said Patrick Newport, an economist at IHS Global Insight who specializes in housing. “However, it will only affect mortgages eligible to be purchased by Fannie and Freddie,” Newport said. Although that is a huge market, it likely will exclude many of those who need the most help to avoid foreclosure.

For example, subprime loans and many exotic mortgages, which required the homeowner to pay interest only for several years, will not be affected by the Fed’s initiative, Newport said.
Jumbo loans that are too big for Fannie and Freddie to buy (more than $730,000 for now, and more than $625,000 beginning Jan. 1) will continue to command interest rates in the neighborhood of 8%, analysts said.

The interest-rate decline also will be of no benefit to millions of troubled homeowners who want to refinance their mortgages in states that have been hammered by the bursting of the housing bubble, including California, Florida, Arizona and Nevada, where housing prices have plunged by 30% to 40% in many markets.

Adjustable-rate mortgages requiring little or no down payments were wildly popular during 2005 and 2006 in the bubble states, and many homeowners in these states are now “under water,” owing more on the mortgages than their houses are worth.

About 12 million U.S. homeowners are in that situation, said Mark Zandi of Moody’s Economy.com. That’s a big increase compared with the 6.6 million homeowners who owed more than their houses were worth at the end of last year. Only about 3 million homeowners were under water at the end of 2006, Mr. Zandi said.

David M. Dickson
Copyright © 2008, The Washington TimesDistributed by McClatchy-Tribune Information Services.

Dropping price of houses in Palm Springs driving sales

2008-12-05T05:40:00.000-08:00

Palm Springs could be an example of how price is driving Coachella Valley real estate sales.

One area of the city, where the median price of housing fell by 11.5 percent in October to $250,000, reported an 8.8 percent increase in sales: 62 new and resale homes and condos closed escrow.

The other area of the city — within the 92264 zip code — had 41 sales, representing a year-over-year drop of more than 16 percent. There, the median price rose by 1.8 percent to $290,000.
Valleywide, the theory played out.

The median price of homes in the Coachella Valley fell 34 percent in October to $225,000, a level not seen since 2003, while sales were up significantly from a year ago for the second month in a row. October housing sales stood at 853, up 32 percent from 2007.

“The rise in sales indicates that buyers continue to take advantage of bargains in the marketplace, as the inventory continues to trend upwards and as more properties with troubled loans contribute to the number of properties for sale,'' said Greg Berkemer, executive vice president of the California Desert Association of Realtors.

Fifty-one percent of the homes that closed escrow in October across southern California had been foreclosed on at some point during the year, according to MDA DataQuick, which has provided The Desert Sun local housing data back to 1988.

DataQuick spokesman Andrew LePage said the percentage of all resales in Riverside County that have been foreclosed on in the prior 12 months was higher. It stands at 67.7 percent, he said.
“We've had a huge jump in sales over the last two months, but we're seeing a market where foreclosures and short sales are bolstering the numbers,'' said Sam Schenkl, executive officer of the Palm Springs Regional Association of Realtors.

“I (also) think consumers are holding the better properties off the market until the spring.”
Locally, there have been big ticket sales: The highest priced property in the city sold for $1.6 million.

“All of this is playing out against a global backdrop of tough economic times,'' Berkemer said.
“The good news is buyers are responding to the best deals I've seen in real estate in the last several years,'' he said, remarking that it will be tough to see these kinds of prices again.
“I think buyers have gotten the message and have gotten into the marketplace.”

The Desert Sun December 5, 2008

Sales in the Desert are UP!

2008-11-19T05:48:00.000-08:00

Coachella Valley-specific numbers have yet to be compiled by DataQuick for October. The latest valley figures, reflecting September sales, showed:

A total of 865 homes were sold in the Coachella Valley in September, a 65.4 percent increase from September 2007.

That was the strongest year-over-year showing in nearly two decades.

The valleywide median hit $230,000 in September, down 37.8 percent from September 2007.

Desert Sun - November 19

Housing sales in La Quinta jumped 42.6 percent in September

2008-11-02T13:41:00.000-08:00

Housing sales in La Quinta jumped 42.6 percent in September from the year before, a strong year-over-year showing driven by ever-lowering prices and buyers nabbing entry-level foreclosures.

A total of 87 homes were sold in the 92253 ZIP code last month, which was up 6.1 percent from August sales figures, according to an analysis released this week from MDA DataQuick.

Experts say the rise in sales is directly related to lowering prices: In September, La Quinta's median price hit $285,500, down 31.9 percent from the year before.

DataQuick's monthly housing report also shows:
A total of 865 homes were sold valleywide, a 65.4 percent increase from September 2007.
That's the strongest year-over-year showing in nearly two decades.

La Quinta's median price remains higher than the valleywide price, which hit $230,000, in September. That's down 37.8 percent from September 2007.

The median price per square foot in the city was $163. That's above with the valleywide price per square foot, which hit $125 in September.

The most expensive home sold in the valley in September was a $2.49 million single-family home in La Quinta.

Despite a large jump in September sales valleywide, October inventory numbers are up slightly indicating the market is still dealing with “people with troubled loans,” said Greg Berkemer, executive vice president of California Desert Association of Realtors.

La Quinta Sun October 30, 2008

Visit http://dqnews.com/Charts/Monthly-Charts/CA-City-Charts/ZIPCAR.aspx for a breakdown of monthly sales of all California cities

Great Bargains - Bank Owned Properties

2008-11-02T13:37:00.000-08:00

Times have changed! (The understatement of the year!)

Bank Owned Properties

Now is a great time to buy with the growing number of bank owned properties in Cathedral City, Palm Desert, Palm Springs, Indio, and Rancho Mirage. My 38 years of experience (and going through this market situation for the third time) have given me the knowledge and resources to help you find your next home or real estate investment.

I would also like to take this opportunity to let you know that we'll be sending out quite a few of these REO/Bank Owned properties each week ranging from $200,000 to $5,000,000.

If you have any questions, especially about Short Sales, call or email me today to learn more about Bank-Owned homes, Short Sales, Foreclosures and property showings.

Click here to try out the link to REO/Bank-owned/Foreclosure properties now . This will take you directly to all such properties on my website

TEN GOOD REASONS TO USE A BUYER'S AGENT SUCH AS MYSELF

2008-04-06T09:02:00.000-07:00

1)
You will incur NO OUT-OF-POCKET COSTS in return for client-level, buyer-agent services.
2)
You will SPEND NO MORE than you choose: you will be encouraged to SPEND LESS than you are able to.
3)
You will be discouraged from buying incorrectly or paying too much. YOU WON'T BE SOLD ANYTHING.
4)
You will have EXCLUSIVE, DETAILED INFORMATION about all the homes (and areas) you consider.
5)
You will be exposed to ALL YOUR OPTIONS - listed or FSBO - not steered to (or away from) choices.
6)
You will be served by someone CAPABLE OF MAKING GOOD ON GOOD INTENTIONS.
7)
You will be served by a handpicked SUPPORT TEAM of inspectors/vendors – not just handed a list of names.
8)
You will know that you purchased the BEST HOME for you on the BEST TERMS at the BEST PRICE.
9)
A BUYER'S AGENT'S duties to you can never conflict with duties to a seller. Should a conflict arise, you will be given the option of working with another non-affiliated agent.
10)
YOUR INTERESTS will be placed above all others, including the agent's. This is how Professional Buyer’s Agents operate!

What to Do if Your Home Isn't Selling...

2008-04-06T08:58:00.000-07:00

From rethinking your color scheme to holding open houses on weeknights, here are 10 tips for sparking interest in your home.

Whether you're in a bone-dry market or a sizzling selling season, if you haven't received any offers on your home you're probably facing the question of whether to take it off the market. A house that goes too long without selling begins to appear "stale" and can actually damage your future chances of a sale.

How long is too long? It's not an exact science, but there are some helpful indicators. In a dry market, a sales period of six months to one year isn't unusual. Look at recent sales reports of similar homes nearby to determine a reasonable selling interval. In a hot seller's market, a house that hasn't sold within one month indicates a problem. In either case, there are several steps you can take before putting up the white flag.

10 tips to improve your selling karma

1. Videotape your house, inside and out, and watch the tape as if you were a prospective buyer. Is the lawn weedy or the garden bare? Is your home uncluttered and spotlessly scrubbed? Sparkling-clean houses sell faster than those that look too lived-in or show an abundance of the owner's personality.

2. Take a second look at your listing price. Visit open houses in your neighborhood. Are similar homes priced lower? Selling prices may have dropped since your first comparative market analysis. In a hot market, if you haven't sold your home within one month, chances are good that you've overpriced it. If you do lower your asking price, consider a figure slightly below those of other comparable homes if you are interested in a speedy sale.

3. Do whatever it takes to be away from your home during showings and open houses. The presence of sellers makes it difficult for prospective buyers to take their time or talk openly with their partner and agent. Leave some treats out to make potential buyers more comfortable: beverages, nuts, cookies -- anything that won't lose freshness or be too messy.

4. Ask your listing agent to talk to buyer agents in his or her firm who have shown your home. The feedback from their clients can guide you in making home repairs, toning down your decor, making landscaping improvements and the like.

5. Hold an open house on a weeknight. Competition is lower, and you'll attract the interest of buyers who can't make weekend appointments because of other commitments.

6. Take out some extra online ads or print ads, even if your agent is doing a good job with promotions. Look for out-of-the-ordinary places to advertise, such as trade magazines, company newsletters and other alternative resources. You can even offer perks to buyers, such as a cash bonus or a season ski pass.

7. Neutralize your color scheme. Most buyers prefer pale, neutral colors that make it easier to imagine a new home as their own. Houses with white exteriors are the highest sellers; for interiors, try whites, off-whites or pale grays.

8.If you've had offers but you considered them too "lowball," try readjusting your sights.

Determine the lowest price you find acceptable, and consider anything more as icing on the cake. In a longstanding dry market you may even have to sell at a loss, so it's important to take every offer seriously. You don't want to alienate a potential buyer who has solid financing because you've set your sights unrealistically high.

Is your listing agent giving your house adequate attention? If not, start by having a candid talk. If there's no change, discuss the problem with the firm's broker. As a last resort, wait until your listing agreement expires and find an agent with a proven track record in your area. On the other hand, if you have a fabulous agent but the market is underwater, consider offering an increased commission or a bonus for your listing agent as extra incentive.
If you do sweeten the pot for your agent, amend your listing contract to reflect the change, and be sure it's added to the Multiple Listing Service (MLS) book -- buyer agents will also be inspired to give your house extra attention.

8. Relist your house to give it a kick-start. When it was listed on the MLS, it was assigned a number reflecting the date and year of the listing. By now it may appear outdated to buyer agents; relisting will provide you with a new number. Check into the policies of your local MLS: You may need to make a change to qualify for relisting, such as temporarily taking your home off the market, adjusting its price or changing listing agents or firms.

Taking your house off the market. If you've tried the tips above, you're confident that your asking price is competitive, you have an ace agent and you're still not getting any action, it's probably time to take your house off the market. Here are some ways to make the most of it:
Choose your selling season.

If you can afford to do so, relist during a more dependable selling season. After warming up in late winter, the market typically starts to peak from the ides of April (yep, tax season makes a difference) until June, when longer days and splashes of garden color make homes look their best. In summer, the market slows to a crawl, followed by a second peak from September to Thanksgiving. From then until January, the market tends to be as cold as a Midwestern winter, but it can also be advantageous to list while the competition is sleeping.

Research the trends in your area: If you live near a winter resort, for example, winter may be the savviest time to sell.

9. If you're a senior, consider a reverse mortgage. Designed to help seniors who have more home equity than they do cash, a reverse mortgage is a loan against your home. The money is disbursed as either a single payment or a monthly sum, and the loan comes due (with interest, of course) only when the house is sold or upon the death of the owner.
Rent out your home until the market bounces back.

10. If you must leave your home because of a job transfer or other extenuating circumstance, renting is an excellent option as you wait for the market to regain some heat. If you don't have the time or the talent it takes to be a good landlord, contact a reputable company that specializes in screening applicants and managing properties.

By Sally Anderson

Sun City Shadow Hills - Best Value in the Desert!

2008-04-06T06:50:00.000-07:00

Sun City Shadow Hills is the latest active 55+ community in the Del Webb tradition. Located in the foothills of the Shadow Mountains with easy access to the 10 freeway from the Jefferson off-ramp. Its just 2.5 hours from LA and San Diego.

The community is set on 800 acres and will have approximately 3,200 homes and two golf courses when complete. One is currently open for play. The course is a well designed course that is maintained in excellent condition.

The recreation center has pool tables, meeting rooms and lounging areas. The tennis courts get a lot of use. This is a very social enviroment and the average age is about 59/60 compared to Sun City Palm Desert where the average age is 70+ walkers.

The fitness center overlooks panoramic views of the mountains and has state of the art equipment and features both indoor and outdoor pools.

There are 19 models, 10 of which are still available with the Avalino beingthe most popular.

Ther are some great opportunities and discounts available that are not advertised at Shadow Hills so call me if you would like to visit Shadow Hills and click on this link: http://www.luxurydeserthomes.com/home-buyer-best-value.asp

Wrap yourself in a blanket of artwork at Indian Wells Arts Festival

2008-04-06T06:47:00.000-07:00

Indian Wells Arts Festival founder Dianne Funk likes to change things up a bit each year to keep the festival fresh.

For this year's event, which runs Friday through Sunday, there's the Braille Institute's "Art Beyond the Visual" interactive display, the S.C.R.A.P. Gallery's "Tour De Trash" and Yucca Valley muralist Linda Shrader, who will work live on a trompe l'oeil (literally deceiving the eye) mural.

"I really believe that the experience should be more than just looking at art," Funk says.

Festival goers of all ages should, she says, have the opportunity to touch and be touched by the many mediums represented. "That's whether they're young children just discovering the world of art, or adults who already have an appreciation for all art brings to everyday life."

It's the ability of art to bring people together that gives Funk pleasure. "These artists work so hard," she says of the 200 juried artists at this year's festival. "(The festival) is a chance for people to come out and interact with them."

More than 10,000 Coachella Valley art lovers and visitors attended the 2007 festival. Sales, Funk says, topped more than $900,000.

The interactive side of the festival includes glass-blowing demonstrations by Bruce Freund and the third "Chef Masterpieces" private tasting presented by local chefs.

Incendio will once again provide the background sound.

There's also the S.C.R.A.P. Gallery's "Tour de Trash - Recycle Bicycles" exhibit, which turns old bike parts into art.

One activity that Funk is excited about is the Braille Institute's "Art Beyond the Visual."

"It's a hands-on exhibit to view art as a visually impaired or blind person would," she says. The Braille Institute's Mobile Solutions Van will display art created by the Institute's clients.

"It's a chance to renew a very colorful relationship," Funk says.

Desert Sun - April 3

Palm Desert spots nab kudos in Best of Valley contest

2008-04-06T06:40:00.000-07:00

The people have spoken, and Palm Desert businesses were among those honored in this year's Best of the Valley contest in Desert Magazine.

The 15th annual contest drew more than 100,000 votes in more than 70 different categories.

We hope you enjoy the results and find some of your own Best of the Valley favorites here and on mydesert.com/bestof.

Here are some of Palm Desert's bests:

Dive bars

The Red Barn received an honorable mention.

The Fire House received an honorable mention.

Happy hour
Sullivan's Steakhouse, 73-505 El Paseo, won first in this category.

Margarita
Armando's Bar & Grill received an honorable mention in this category.

Martini
Sullivan's Steakhouse received an honorable mention.

Live Theaters
McCallum Theatre, 73-000 Fred Waring Drive, took first place in this category.

Local Band
Eagles of Death Metal took first place in this category.

Dance spot
Costa's, JW Marriott Desert Springs, 74-855 Country Club Drive, took first place in this category.

Live music
Sullivan's Steakhouse received an honorable mention.

Italian Restaurant
Le Donne Cucina Italiana, 72-624 El Paseo, placed first in this category.

Mario's Italian Restaurant received an honorable mention.

Castelli's received an honorable mention.

Thai Restaurant
Pepper's Thai Cuisine received an honorable mention.

Japanese Restaurant
Mikado received an honorable mention.

Seafood Restaurant
Fisherman's Market, 44-250 Town Center Way, placed first in this category.

Pacifica Seafood Restaurant received an honorable mention.

Sea Grille at JW Marriott Desert Springs received an honorable mention.

French Restaurant
Cuistot Restaurant received an honorable mention.

Chez Pierre received an honorable mention.

Pizza
Papa Dan's Pizza received an honorable mention.

Haus of Pizza received an honorable mention.

Ice Cream
Baskin-Robbins received an honorable mention.

Bagels
Benny's Bagels, 72-785 Highway 111, placed first in this category.

New York Bagel & Deli received an honorable mention.

Bakeries
Jensen's Finest Foods received an honorable mention.

Coffee
Starbucks, which has 23 valley locations including some in Palm Desert, placed first in this category.

Steakhouses
Ruth's Chris Steakhouse, 74-740 Highway 111, placed first in this category.

Chop House received an honorable mention.

LG's Prime Steakhouse received an honorable mention.

Romantic dinner
Jillians, 74-155 El Paseo, received first place in this category.

Chop House received an honorable mention.

Dinner deal
Sullivan's Steak House received an honorable mention.

Elephant Bar & Grill received an honorable mention.

Brunch
Lakeview received an honorable mention.

Continental Restaurant
Cork Tree Restaurant received an honorable mention.

Hot Dogs
Costco, 72-800 Dinah Shore Drive, took first place in this category.

Fish Taco
Fisherman's Market & Grill, 44-250 Town Center Way, took first place in this category.

Rubio's received an honorable mention.

Frozen Yogurt
The Yogurt Café received an honorable mention.

Barbecue Place
Tony Roma's Famous For Ribs received an honorable mention.

Car Wash
Executive Car Wash received an honorable mention.

Shoe Repair
Super Service, 73-725 El Paseo, took first place in this category.

Quick Massage
Jay McEarchen, Serenity Massage, 73-925 Highway 111, placed first in this category.

Massage Envy received an honorable mention.

All About Massage received an honorable mention.

Dry Cleaner
Escalade, 72-790 El Paseo, placed first.

Nurseries
Moller's Garden Center, 72-235 Painter's Path, placed first in this category.

Children's Clothing
Old Navy, 72-349 Highway 111, placed first in this category.

Limited Too received an honorable mention.

Target received an honorable mention.

Art Galleries
RE Welch received an honorable mention.

Coda Gallery received an honorable mention.

Women's Shoe Store
DSW, 72-399 Highway 111, placed first in this category.

E&J's Designer Shoe Outlet received an honorable mention.

Snookie's Footsies received an honorable mention.

Specialty Food Stores
Trader Joe's, 44-150 Town Center Way, placed first in this category.

Bristol Farms received an honorable mention.

Jensen's Finest Foods received an honorable mention.

Florists
Jensen's received an honorable mention.

Jewelry Stores
Leeds & Son, 73-670 El Paseo, placed first in this category.

Tiffany & Co. received an honorable mention.

Pet Stores
PetSmart, 34-900 Monterey Ave., placed first in this category.

Three Dog Bakery received an honorable mention.

Kitchen Shops
Upper Crust received an honorable mention.

Williams Sonoma received an honorable mention.

Place to buy chocolate
See's Candies, Westfield Palm Desert, 72-480 Highway 111, placed first in this category.

Valley High School
Palm Desert High School, 43-570 Phyllis Jackson Lane, placed first in this category.

Private Schools
Sacred Heart School, 43-775 Deep Canyon Road, placed first in this category.

Public Parks
Palm Desert Civic Center Park, Fred Waring Drive, placed first.

Freedom Park received an honorable mention.

Public Golf Courses
Desert Willow Golf Resort received an honorable mention.

Place to Take Kids
The Living Desert Zoo and Gardens, 47-900 Portola Ave., placed first.

Hikes
National Monument Visitors Center, Highway 74, received an honorable mention.

Fitness Center
Next Level Fitness, 74-050 Highway 111, placed first in this category.

Desert Sun - April 3

U.S. housing news: a bump and dip

2008-03-25T06:25:00.000-07:00

In a surprise, February sales improved but the median price continued to slide

WASHINGTON - After falling for six straight months, sales of existing homes posted an unexpected increase in February, which may have reflected more aggressive price cutting by sellers in some parts of the country, a real estate trade group reported.

The National Association of Realtors said that sales of existing homes rose by 2.9 percent in February to a seasonally adjusted annual rate of 5.03 million units. It was the biggest increase in a year and caught economists by surprise. They had been expecting a small decline.

The trade group reported that the median existing sales price in February fell to $195,900. That was the largest year-over-year drop on records that go back to 1999.

Lawrence Yun, chief economist for the Realtors, said that prices in some formerly hot markets in California and Florida were seeing significant price declines now as sellers try to attract buyers.

Analysts cautioned against reading too much into the one-month rise in sales. Many economists are predicting that the steep slump in housing will not bottom-out until later this year after prices fall further and allow huge levels of unsold inventories to be reduced.

By region of the country, sales surged by 11.3 percent in the Northeast and were up 2.5 percent in the Midwest and 2.1 percent in the South. The only region of the country to see a decline in the sales was the West, where they dropped by 1.1 percent.

Sales of existing homes fell by 12.7 percent in 2007, the biggest decline in 25 years. Over the past two years, housing has been in a steep downturn made worse by a severe credit crunch as financial institutions tightened their lending standards in reaction to their multibillion-dollar losses on mortgages that have gone into default.

Martin Crutsinger • the associated press • March 25, 2008

Best Buys in La Quinta, CA

2008-02-05T07:57:00.000-08:00

Dear Bloggers seeking the best buys in La Quinta,

The Quarry...The Tradition...The Hideaway...

These are Magical Names of The Desert - where everybody aspires to live.

Presently there are actually some great opportunities available in the aforementioned developments plus some of the other excellent communities in La Quinta.

The homes included in this email are the lowest priced in their respective developments. FYI, the home at the Quarry has an extremely motivated seller and as they say, "it's always better to own the least expensive home in the most expensive community rather than the most expensive home in that community".

If you'd like to view any of these homes, or if you have additional questions, please email or phone me today.

All the best,
Barry

Mountain views
Mountain View Country Club
Type: Single Family Home
Location: La Quinta, Mountainview CC, 80340 Via Valerosa
Price: $745,000

Fairway and mountain views
The Citrus
Type: Single Family Home
Location: La Quinta, The Citrus, 79330 Toronja
Price: $799,000

Made for outdoor living
The Palms
Type: Single Family Home
Location: La Quinta, The Palms, 81997 Couples Ct
Price: $839,900

Water and golf views
Rancho La Quinta Country Club
Type: Single Family Home
Location: La Quinta, Rancho LaQuinta CC, 79890 Rancho LaQnta
Price: $975,000

Panoramic views
Andalusia
Type: Single Family Home
Location: La Quinta, Andalusia, 81460 Carboneras
Price: $1,365,000

Peaceful interior
The Quarry
Type: Single Family Home
Location: La Quinta, The Quarry, 79620 Tom Fazio Ln
Price: $1,495,000

Stone accents inside and out
The Estancias
Type: Single Family Home
Location: La Quinta, The Estancias, 79420 Briarwood
Price: $1,799,000

On Clive Clark golf course
The Hideaway
Type: Single Family Home
Location: La Quinta, The Hideaway, 80597 Via Savona
Price: $1,850,000

Enjoy the view from the top
The Tradition
Type: Single Family Home
Location: La Quinta, The Tradition, 78210 Pinnacle
Price: $1,975,000

Secluded with beautiful views
The Enclave
Type: Single Family Home
Location: La Quinta, The Enclave, 77201 Calle Flora
Price: $2,299,000

--------------------------------------------------------------------------------
Don't worry about timing the market in real estate.
It's about the time IN the market that will matter for you.

--------------------------------------------------------------------------------

Barry Lotz, J.D.,Ph.D.
Rothman Realty
Phone: 760.574.7676
Toll Free: 1.866.525.BUYHOMES (1.866.525.2894)
Email: barry@luxurydeserthomes.com
Website: www.LuxuryDesertHomes.com

The growth rate is a whopping 32 percent since 2000

2007-11-04T05:59:00.000-08:00

Make no mistake about it: The Coachella Valley is booming.

Since 2006, an estimated 33 people daily have become desert residents. And our growth rate since 2000 - standing at 32 percent - is moving faster than the state average, the surrounding Inland Empire and the national average.

Such growth has acted like a giant rock in a pool of water: The ripple effects touch numerous aspects of our economy - from home construction to commercial development, road improvements and more service-oriented companies and retailers relocating to the desert.

And more growth is coming.

Economist John Husing, a Southern California expert on demographics, business and labor trends, told business leaders last month at the Coachella Valley Economic Partnership luncheon, "Like it or not, the edge of urban Southern California is now quite close to the Coachella Valley."

In an analysis included in CVEP's economic report for the year, Husing wrote: "Today, the Coachella Valley has an economy that has become increasingly prosperous. However, it is one that is still overly vulnerable to seasonal and national cyclical fluctuations."

Here's a closer look at population trends in the valley, information from the California Department of Finance that's been analyzed by CVEP and Husing.

They are part of The Desert Sun's weekly analysis of economic and demographic trends, a snapshot that reflects the opportunities and the challenges of our regional economy.

Desert Sun

Simply Feng Shui: Doors: Gateways to health and more

2007-10-27T07:57:00.000-07:00

The front door of your home or office, the architectural front door that is, is an extremely important feature feng shui-wise. It is where the life force energy, the "chi", enters your home. Even though you probably use an interior garage door, primarily, it is the architectural front door that is considered the "mouth of chi."

In China, home of feng shui, doors are red. Your home owners' association may take a dim view of your having a red door. To attract the benefits of life force energy in your home, it is enough to have the finish of the front door in marked contrast to the rest of the house. Your garage door, on the other hand, should blend in with the exterior wall finish. You want the chi to be attracted to the front door, not distracted by the garage door.

If your front door has a lock that sticks which makes it difficult to open with one hand, it takes two to wrestle it open, it is irritating to you and slows the flow of opportunities in your life. Once the door is fixed, you'll be amazed at the simple pleasure of opening it with ease and notice good things flow more easily and continually to you.

Here in the desert, many front doors open directly into the living room/great room and a gorgeous view out large windows. If there is nothing to capture your eye between the door and the window, the life force energy enters your home through the front door and whooshes out the windows directly opposite.

You want the life force energy to meander or stroll through your home rather than whoosh through. An entry table with a sculpture or flowers either in the center of the entry or as a console table to one side captures your attention - and that of the chi as well. A distinctive and dramatic chandelier in the entry is also effective.

If you wonder whether the life force energy is strolling through or zooming out the window, pretend you are a guest coming to your home for the first time. Go outside. Close the front door. Then open it and see if your eyes go directly to the view outside or if your interest is captured by something, ideally a series of somethings, before it gets to the view.

If the entranceway is obstructed by boxes just delivered by UPS, your gym bag, assorted mail, magazines, and several days of newspapers, or anything else that could be described as clutter, that translates to headaches, respiratory ailments, and birth/delivery complications. All really good reasons to keep the entrance cleared.

Doors also represent our ability to make clear and considered choices in life. It is important that all the doors in your home have a full range of motion. That is, they can open completely and easily. When all your doors can open fully, you will find yourself dithering less and being more decisive.

Doors directly opposite one another across a hallway are "fighting." No, you don't need to remodel your home. A piece of art, eye level, placed to the right of each door as you face inward, creates a truce!

One last tidbit about doors: Take the time to clean any smudges or visible fingerprints off of them within 48 hours of your noticing them. Doors also represent communication between adults, so for clarity and fewer misunderstandings, keep your doors clean!

Visit www.luxurydeserthomes.com

Desert Sun

TODAY’S REAL ESTATE MARKET: THE BEST TIME TO BUY IS NOW

2007-10-17T10:39:00.000-07:00

The latest economic forecasts suggest that the real estate market correction is coming to an end, offering consumers a once-in-a-lifetime buying opportunity.
The time for prospective buyers to enter the market is right now; and here’s why:

MORTGAGE INTEREST RATES ARE CLOSE TO 40-YEAR LOWS.

* The average 30-year fixed rate mortgage rate remains near 40-year lows. Currently
at 6.4%, this is more than an entire percentage point below 2000 levels.

* Low interest rates allow a substantially larger population of Americans to own
their own homes.

* For example, with a $250,000 mortgage, a rise in interest rates from 6.5% to 7.5%
means an additional $2000 in annual payments. This may boost currently
available homes out of financial reach for potential buyers. Today’s low rates offer
a unique opportunity for buyers.

INVENTORY IS ONCE AGAIN ON THE DECLINE.

* In recent months, there has been a record inventory of nearly four million homes on the market. However, total housing inventory levels fell 2.4% at the end of September to 3.75 million existing homes available for sale. As inventory continues to decline, the selection of homes will once again become limited. For prospective buyers, there may never be a better time to buy a home than right now.

* Taking advantage of the variety of homes available on the market today allows buyers the unique opportunity to find the home of their dreams.

* Expanded selection combined with low interest rates offer buyers an opportunity that may never be available again
in their lifetime.

TODAY’S REAL ESTATE MARKET: THE BEST TIME TO BUY IS NOW!

Average 30-year Fixed Mortgage Rate

‘75 ‘80 ‘85 ‘90 ‘95 ‘00 ‘06

NOVEMBER

9.15
14.21
11.78
10.01
7.38 7.75
6.40
* conventional, conforming 30-year fixed-rate mortgage statistics by Freddie Mac

REAL ESTATE REMAINS THE BESTINVESTMENT AVAILABLE.

* The average home purchased five years ago has appreciated 49%. Even with the recent 2.2% decline in the median home price, this still equates to a more than 45% return on investment for the average homeowner. Media reports of a vast market decline are deceiving,and consumers will benefit from purchasing a home now before
prices begin to rise once again.

* According to Forbes magazine (using U.S. Department of Housing and Urban Development statistics), U.S. real estate sale prices increased more than 56% from the beginning of 1999 to the end of 2004.

The S&P 500 index dipped nearly 6% during that same period.

n While year-to-year fluctuations are normal, real estate remains one of the best performing and consistent long-term investments.

Median existing U.S. home sale prices have increased on average 6.5% each year from 1972 through 2005, and 88.5% over the last 10 years combined. For consumers looking for long-term and stable growth rates, real estate is still their number one choice.

WITH THE MARKET CORRECTION NEARING AN END, HOME PRICES ARE EXPECTED TO RISE AGAIN.

* Research indicates that home prices will not go any lower. While certain local markets may see limited price declines, the national picture remains bright. Pending home sales were up 4.3% in August, an early indication that buyers are returning to the market.

* The national median home price will rise 1.6% in 2006 and prices are expected to
rise again in the first quarter of 2007. As prices begin to rise again buyers who do
not act now could be making a costly mistake.
(c) N.A.R. www.luxurydeserthomes.com

Current Sales - Homes Are Still Being Sold - Median Price Continues to Rise

2007-10-17T05:23:00.000-07:00

LOS ANGELES - Southern California home sales plummeted in September to the lowest level in two decades as lenders balked at financing the most expensive homes, a real estate tracking firm said Tuesday.

A total of 12,455 new and resale houses and condos were sold in September in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties, according to Data Quick Information Systems.
It was the slowest month since the firm began keeping records in 1988, DataQuick said.

Local experience may be different, however.

"It's a different desert," Greg Berkemer, executive vice president of the California Desert Association of Realtors, said. "It's not always apples to apples when you compare back 10 to 15 years. Some of these cities look dramatically different than they did back then. While those numbers are mathematically correct, I don't know how relevant they are."

The previous low for the six-county measurement region was in February 1995 when 12,459 homes sold. The September sales average is 25,258.

Home sales volume across the Coachella Valley fell 16.8 percent in August compared to the same month last year, according to the California Association of Realtors. The trade group also reported that the valley's median price rose 6.4 percent to $377,920 in August, the last month for which local figures are available.

Berkemer said that the five-year boom in local prices and volumes has created a situation for which there is no local precedent. Homeowners, he said, if they bought in the last five to seven years, have seen a nearly 80 percent to 100 percent appreciation in home value.

The current downtown in sales, he said, is not, like other downturns in the early 1990s, led by an overall recession.

"Because there is no historical reference in recent times, real estate agents, mortgage lenders and builders may not be able to conduct their business the same way they did in a recession-led housing downturn," Berkemer said.

"It is a new market that requires new ideas. Buyers, sellers and the Realtors who represent them, along with builders, developers and lenders need to reset their expectations and think and do business differently."

The six-county drop last month came as lenders cut the availability of so-called "jumbo" mortgages by half, a reflection of wider uncertainties in the housing market, DataQuick said.

"Some of last month's drop was part of the longer-term slowing trend, but most of it was due to mortgage market turbulence and difficulties in getting jumbo financing," DataQuick president Marshall Prentice said.

The nationwide credit crunch particularly has hurt jumbo mortgage loans - exceeding $417,000 - which fell by 50 percent from August, DataQuick reported.

The drop in jumbo loans also hurt the median sales price for September in Southern California, DataQuick said.

The figure fell to $462,000, down 7.6 percent from August and 4.0 percent from September of 2006.

"There's a good chance there will be some 'catch-up' sales activity between now and the end of the year as jumbo loans become more available," Prentice said.

Prentice said: "Still, we can't expect the market to re-balance itself until sometime in 2008."

Desert Sun October 17,2007

How To REALLY Sell Your Home

2007-10-16T18:18:00.000-07:00

The No Hassle – No Problem Listing®

Home Marketing System

• Sell your property yourself, while is listed, and pay no commission.
This does not apply to a buyer exposed to the property by my office or another agent.

• Cancel the listing at any time!

Either you or I can cancel by calling and saying “I want to cancel the listing”. It’s that simple. The cancellation becomes effective at the time you call. (Please allow 3 business days to have the sign removed and the listing withdrawn from the Multiple Listing Service).

• No advance fee of any kind.
You only pay if I procure an offer that is acceptable to you.

• “No Pressure” presentation.
I will never allow you to be “pressured” by the buyer’s agent. All offers will be faxed or delivered to my office and presented to you by phone, so
you can make your decisions privately.

TRY THIS SPECIAL NO-RISK OFFER!

Put more money in your pocket with the No Hassle – No Problem Listing® exclusively with Barry Lotz. Most brokers will charge you the same fee no matter how your home sells…. even if you find the buyer. With the…. No Hassle – No Problem Listing® you have complete flexibility…. From “Full Service” to “Do It Yourself”

4% We find the buyer and write the contract. There is no other agent involved.
Our commission is just 4%.

1% You find the buyer and there is no other agent involved. We write the
contract and walk it through escrow for you.
Our commission is 1%.

6% Another agent represents the buyer. Our commission is 3% and the other
Agent also receives 3%.

0% You find the buyer and there is no other agent involved. You don’t want
our assistance. You pay nothing.
*Limited Time Offer. Other terms and conditions may apply - Offer subject to change at any time. Applies only to homes listed by Dr. Barry Lotz valued at $700,000 or more. I will consider meeting or beating any written offer by a licensed Real Estate Agent. Please call for details. Any and all reimbursements paid at COE + 3 days. I will sell your home for the best price and terms possible!

Limited-Time Seller's Listing Package Deal for Executive Homes listed over $750,000*

$2000 cash moving allowance* paid directly to you at closing!
FREE Maid Service for entire Listing Period* (up to $250 per month reimbursed to you at closing)
FREE Virtual Tour Package Upgrade to Showcase your home
Platinum Marketing Program with print advertisements and up to 20 pictures posted to the MLS, and up to 6 pictures posted to Homes.com and Realtor.com. Your Home Featured on my award-winning Website with a 10-picture Slide Show (site has had over 42,980 hits so far in March 2007)
Unique 24-Hour Toll-Free number for Buyers to obtain more information on your listed property (easy national exposure and tracking at no cost to you)
Exceptional, personalized service that will exceed your expectations (priceless)
Call Dr. Barry Lotz at 760.574.7676 for a FREE consultation regarding selling your home

We service zip codes:
92201, 92203, 92210, 92211, 92225, 92230, 92234, 92236, 92240, 92241, 92252, 92253,92254, 92256, 92260, 92261, 92264,92266, 92268, 92270, 92274, 92275, 92276, 92277, 92282, 92284, 92285, 92314, 92315, 92324, 92352, 92508
Specializing in Palm Springs Real Estate, Palm Springs Homes, Palm Springs Properties, Palm Springs Realtor, Palm Springs Real Estate Agent, Palm Springs , Palm Desert Real Estate, Palm Desert Homes, Palm Desert Properties, Palm Desert Realtor, Palm Desert Real Estate Agent, Palm Desert , Indian Wells Real Estate, Indian Wells Homes, Indian Wells Properties, Indian Wells Realtor, Indian Wells Real Estate Agent, Indian Wells , Rancho Mirage Real Estate, Rancho Mirage Homes, Rancho Mirage Properties, Rancho Mirage Realtor, Rancho Mirage Real Estate Agent, Rancho Mirage, La Quinta Real Estate, La Quinta Realtor, La Quinta Real Estate agent, La Quinta, La Quinta Homes, Real Estate Sales and Service, Buyer Broker, Buyer's Agent, Real Estate, Realtor, Real Estate Agent, Relocation Specialist, Residential Real Estate, Residential Properties, House, Homes, Single Family Residence, Homes with Views, Split Levels, Ranchers, Pool Homes, Golf Homes, Waterfront Homes, Estate Homes, Luxury Homes, Estates, Investment Real Estate, Investment Properties, Foreclosure, Repo's, Short Sales, Fixers, Commercial Real Estate, Commercial Properties, 1031 Exchanges, Duplexes, Tri-plexes, Four-plexes, Apartments, Multi-Family, MLS, Multiple Listing Service.

http://www.luxurydeserthomes.com/home-seller_offers-indian-wells-la-quinta-palm-springs-california-real-estate.asp

House calls

2007-09-09T16:50:00.000-07:00

After a historic run-up in prices, the housing market has come back to earth. The following are the key steps that you can take to attract offers;
1. Find and use a realtor who's actually sold a few high-end homes in the past six months, like myself, then ask them to delineate their market plan for your home and what the contingency plan will be if the home does not sell within the desired time frame.
2. Find out about Internet and TV spots as well as premier magzine ads that will be employed by the realtor to sell your home.
3. Put together with your realtor an attractive brochure, virtual tour, street specific web site and at least eight photos to be used for flyers, brochures, e-mail flyers and for posting on the MLS as well as Google Base, Yahoo and Realtor.com plus ancillary hubs as we at Number ! Expert employ.
4. Decide on an asking price that is realistic by using CMAs - comps, that are no older than 90 days.
5. Stage the home with a professional stager or hire a decorator. Remove personal "clutter", clean out closets to make them appear asthere is plenty of space.
Add mulch to flower beds, paint, stain or varnish the front door, make floors and light fixtures sparkle, remove crowded furniture and store all political and religous mementoes as well as any business, sports and personal awards. Lastly, store small counter-top appliances under the cabinets.

Summer Hot Buys!

2007-06-27T08:50:00.000-07:00

Sweltering temperatures are not scaring purchasers away from the desert. On the contrary, savvy purchasers are realizing that this window of opportunity ( June - Aug) is the best time to buy.

Those preferred and popular communities such as The Tradition and Rancho La Quinta are holding their value. A possible 5% discount is the norm.

Most other desirous communities are seeing between 8% and 12% discounts at the most. The sellers are fully cognizant of the market, realize that their community is in demand and therefore feel that their prices are logical. Moreover, based on LA and Orange County prices, the Desert is still a good buy.

Now is the time to visit the desert if you find, through my daily updates, a home that is appealing.

I will do a comparable market study and confirm both the asking price and in my opinion, what offer we should begin with on that home.

I also maintain a "best buy" list so give me a call.

There are two extraordinary homes that are wll below market price in La Quinta - one for $669,000 and the other for $475,000 in golf course communities.

Call if interested

New Market Snap Shot Available

2007-06-27T08:47:00.000-07:00

What is Your Home Worth?
Let us know about your home and we will be happy to give you a current value based on recent home sales and market activity.

Just sign in on the front page of www.luxurydeserthomes.com

March 2007 -State of Market in Palm Springs Area

2007-02-28T11:10:00.000-08:00

Reflections on the Desert Real Estate Market

“What’s going on in the Desert Market Place in March 2007?

From time to time on my blog, you will find my personal observations regarding the state of the real estate market in Coachella Valley – Palm Springs, Cathedral City, Rancho Mirage, Palm Desert, La Quinta, Sun City and Indio, e.g. our local market.

These are derived from both my personal experiences in the field, observations and studies of data out-puts by various groups. These comments and observations are meant to be just what they are, my views and feelings on current market conditions.

The information in this space is not to be deemed a comprehensive study or absolute conclusion on the subject, but a timely snapshot of local conditions that will, hopefully, be of interest and of value to you, whether as a buyer or seller of residential real estate in the Coachella Valley cities.

Additionally, by visiting the “Latest News” button on my web site, you will also find selected articles on our specific market from the experts, the local newspaper, and assorted pundits.

Barry

March 1, 2007

Market Conditions are a Matter of your Perspective

Despite numerous headlines trumpeting a market recovery, a slump continues for some people.

After reading the upbeat article that appeared in the Desert Sun on February 11, 2007, entitled "Housing not really in slump", I offer my comments and observations.

If you are familiar with the ageless real estate adage: "What's the difference between Recession and Depression? Recession is when your neighbor is unemployed; Depression is when you are unemployed!" your perspective is determined by your own situation.

So, if you are active in the real estate market today, it's the same thing. If you are a buyer having finally found your dream home at what seems to be a bargain price aka “steal”, things look pretty good.

On the other hand, if you are a seller whose home is still on the market after nine months and if, in spite of several price reductions, you still don't have an offer, the market is definitely depressed.

Or, if you are a buyer looking for an affordable home in an attractive neighborhood and after searching for months, still haven't found anything, the market is still in a slump.

Simply stated, this is the point; it's not helpful to generalize or oversimplify as to what is happening in the real estate market here in the Coachella Valley. The market appears to be improving, albeit in some areas more than others, so let's be patient a little longer before drawing any conclusions.

When engaging in this type of exercise of market conditions, one should look carefully at conclusions that are based upon "statistical averages", especially if they are national or regional in scope. In many cases, they may not be relevant to your specific situation.

All real estate markets are local in nature. Whether you are buying or selling, get the facts and evaluate the factors that relate to your own city and your specific neighborhood of interest. For example, what is relevant in the Montage neighborhood in Indio may have little in common with what is happening in Rancho Santana in La Quinta, and Sun City Palm Desert is quite different from Sun City Indio.

This is an opportunistic market environment that adjusts seasonally. This is not a bad market for either buyers or sellers. You must make the effort to understand what's happening in your particular market and plan accordingly. With an experienced realtor, you lessen the risk just by bouncing ideas around with another person/Realtor. Whether one is in a slump or a rebound, it really doesn't matter. What does matter is your understanding of the relevant factors that are going to have an impact, either positive or negative, on the achievement of your specific goals.

Lastly, remember that a real estate professional with specific local market/city knowledge, is the best resource to help you achieve those goals.

Feel free to call or email me with any and all questions.

Over 8,000 homes for sale in the Desert!

2006-10-30T17:01:00.000-08:00

FACT: There is an abundance of inventory in the Palm Springs area.

FACT: There are, after careful research and analysis, just 29 homes that I found that are extremely well priced that are deserving of your attention.

They range from $539,000 to $3,500,000 in great developments.

If you would like to see a few or all of them, just email me at barry@luxurydeserthomes.com and I will rush them to you upon receipt of your email OR call me at 760-574.7676.

Barry

Unbelievable Buy in Palm Desert! - Won't Last Long

2006-06-17T11:37:00.000-07:00

A great buy is available in Palm desert:

Almost 4,000 square feet with 5 bedrooms, 41/2 bathrooms, pool and in the Desert Sands School District all for less than the replacement cost - $196.00 square feet!

First-come, first-served.

La Quinta is Still the Blue-Chip Stock of the Desert

2006-06-02T05:27:00.000-07:00

La Quinta's median price is $500,000. This is a 11.5% increase from April 2005.
There were however 24.7% less units sold.

With the exception of La Quinta Cove (an ungated 7000 unit development) and La Quinta North, finding a single family home with a private backyard in a gated community at the median price is rather difficult.

The best buys in La Quinta for gated golf course communities, are currently in The Citrus whilst for non-golf gated communities, Laguna La Paz has great opportunities.

Buyers Market Gaining Traction

2006-05-27T05:27:00.000-07:00

All housing indicators showed that the once hot market has cooled. Sales of existing homes fell 2% last month. Half of the country sales were cooled off while the other half of the country sales heating up. Places where sales were hot are in Texas, Ohio, South Carolina, North Carolina, Georgia and Utah.

What's scary though..according to David Lereah, NAR's chief economist, for April, the number of unsold homes hit a record of 3.38 million units that represented a 6-month supply.

READ WHOLE STORY

* Sales of Existing Homes Drop in April; Price Increases Slow [USA Today]

This Weeks Bargains

2006-05-12T07:05:00.000-07:00

Lake La Quinta - Beautiful 3 Bedrooms 3 Baths $639,000

Mountainview Country Club - Wonderful views, over lake with Infinity Pool. 2863 sqare feet - 3/3 bath plus formal dining and study. Best buy in a country club today. Just reduced $100,000!

Bighorn Country Club - Under $2million! Motivated Seller.

The Times Are a Changing

2006-03-31T09:57:00.000-08:00

The best buys currently in the Desert due to oversupply are as follows:

Toscana in Indian Wells

Rancho La Quinta - La Quinta

PGA West - La Quinta

The Citrus - La Quinta

The Hideaway - La Quinta especially in lot availability

The Most Solid Developments still are:

Bighorn Golf Club - Palm Desert

Mirada - Rancho Mirage

Mountainview Country Club - La Quinta

The Tradition - La Quinta

Please call me or email with any questions and for a list of the best opportunities available in these developments.

Words of Wisdom

2006-03-30T19:38:00.000-08:00

Live out your imagination, not your history.
~ Stephen Covey

If you don't like something, change it. If you can't change it, change your attitude. Don't complain.
~ Maya Angelou

Happiness is not having what you want, but wanting what you have.
~ Rabbi H. Schachtel

There is no scarcity of opportunity to make a living at what you love; there's only a scarcity of resolve to make it happen.
~ Wayne Dyer

Got no check books, got no banks. Still I'd like to express my thanks - I got the sun in the mornin' and the moon at night.
~ Irving Berlin

Let us be grateful to people who make us happy; they are the charming gardeners who make our souls blossom.
~ Marcel Proust

We have not really budged a step from home until we take up residence in someone else's point of view.
~ John Erskine

Once a human being has arrived on this earth, communication is the largest single factor determining what kinds of relationships he makes with others and what happens to him in the world about him.
~ Virginia Satir

A lot of people like snow. I find it to be an unnecessary freezing of water.
~ Carl Reiner

HOMES SALES hit a four-year low last month while the median price skyrocketed to an all-time high of ... $418,500

2006-03-28T07:30:00.000-08:00

The Coachella Valley's housing market continues in an equilibrium phase, moving in favor of buyers. But the region is far from a bargain-hunter's paradise, with only 10 percent of local households able to afford the median-priced home based on working income, according to the California Association of Realtors.

Home sales in the Coachella Valley hit a four-year low in February, while in the same month the median price of a home hit an all-time high.

The median sales price reached $418,500 - up 21 percent from a year ago, according to newly released figures from DataQuick Information Systems.

High-end homes dominated the ranks of those sold locally in February. Continuing a trend of the past several months, the 312 homes sold in the over-$400,000 range outnumbered the combined totals of four other lower-priced categories.

Resale single-family homes, resale condos, and new construction homes all saw year-over-year drops in total sales, with resale condos down 42.3 percent. Still, all three categories saw rises in median price, led by new construction homes, up by 20.3 percent to $446,500.

Lou Hirsch -The Desert Sun -6.23

An Expensive Lesson..

2006-03-28T06:05:00.000-08:00

You've no doubt heard the saying "A wise man learns from his own mistakes, and a really wise man learns from the mistakes of others". Here is a rather painfull real life lesson that a local seller just learned. Their home was put on the market at $1,300,000 about 30 days ago (I changed the price slightly to protect their privacy). They had several people look at the home the first week it went on the market, and received an offer immediately for $1,250,000. Of coures, the seller thought that since they had so many buyers look at it, that they would no doubt get multiple offers, and more than the asking price. So they decided to wait and not respond to the offer.After waiting two more weeks, no other offers materialized. Worse yet, the original buyer, no doubt offended at the lack of response from the seller, had moved on. Now the home has been on the market for more than 30 days, and they had to reduce their price to $1,200,000 or $50,000 below the offer they had on the table. Often you hear the old adage "the first offer is always the best offer". That is often true, and it was certainly true in this case. I can think of 50,000 reasons why they should have taken the first offer.

Foreclosures up, at least for Actors....

2006-03-28T06:03:00.000-08:00

Don Johnson, the star of Miami Vice and Nash Bridges, is apparently in default on his 10.6 million dollar loan on his aspen estate. A lot of things happen when you don't make your payments, and most of them are bad...