New marketing opportunity is here with higher commisions. If you are an agent in California it has been said 51% of the "pick a pay" loans were originated here with large balances. Resets and recasts have been put on hold due to the nature of our economy... but when they start to move these it could be a great sales surge. One caveat is they need buyers that can afford the homes even at sharp discount. Time will tell.

Full Story Here

Quoted "Dec. 17 (Bloomberg) -- Homeowners with mortgages of more than $1 million are defaulting at almost twice the U.S. rate and some are turning to so-called short sales to unload properties as stock-market losses and pay cuts squeeze wealthy borrowers.

“The rich aren’t as rich as they used to be,” said Alex Rodriguez, a Miami real estate agent with JM Group USA Inc., whose listings include a $2.9 million property marketed as a short sale because the price is less than the mortgage, leaving the bank with a loss. “People have reached the point where they can’t afford the carrying expenses of a $2 million home.”

Payments on about 12 percent of mortgages exceeding $1 million were 90 days or more overdue in September, compared with 6.3 percent on loans less than $250,000 and 7.4 percent on all U.S. mortgages, according to data from First American CoreLogic Inc., a Santa Ana, California-based research firm. The rate for mortgages above $1 million was 4.7 percent a year earlier.

As defaults on the biggest mortgages rise, borrowers such as Steve Holzknecht are turning to short sales to exit loans that now are larger than the market value of the house. In such a transaction, the lender agrees to accept less than a 100 percent payoff on a mortgage to expedite the property’s sale.

Holzknecht, 53, last month cut the asking price for his 7,280-square-foot home in Kirkland, Washington, by $550,000 to $1.25 million, lower than the balances of his two mortgages. Holzknecht, the former owner of Four Suns Inc., a Seattle luxury homebuilder that went out of business two months ago, constructed the Craftsman-style home in 2000. He declined to identify his lenders or the amount he owes. "

Many have signed up for Foreclosure Universities and Short Sales Universities and Loan Mod Universities and ... As our economy changes a new strategy seems to always over take the old one.. whats next? As we run out of options to deal with the housing situation and try and help people stay in their home many home-owners know they can just stop paying for a few years as the banks forestall any action.

An article on Broker Agent Social says that 1 in 7 have stopped making payments on their mortgage and banks cannot or will not keep up with forclosures and short sales with out sending prices even lower.. we have to ask ourselves is their a sales university program we can sign up for that can accomodate this trend??

Besides helping retail sales numbers with the extra cash home owners now have there has got to be a business model that fits this.. If you know of one we here would like to get in on the ground floor.. Let me know, Let me know...

No Joke.. link http://www.cnbc.com/id/35333195

Part of the article:

"LVG, which is a mortgage consultancy, is behind a program that would give future cash rewards to underwater borrowers who don't voluntarily walk away from their mortgage commitments.

It's called the "Responsible Homeowner Reward," and it's kind of a way around principal reduction, which happens to be getting more chatter these days. The payments would be on average less than $10,000, but LVG believes this is enough to keep borrowers from becoming "walkaways." 

We've talked plenty on the blog about walkaways or "strategic defaults" or whatever the industry chooses to call them next. There are supposedly around 10 million homes in the U.S. with "substantial negative equity," according to LVG. That's about $2 trillion in mortgage debt. LVG's release says the program, "is being launched with one of the largest investors in consumer and mortgage debt in the U.S. The client, who has asked for anonymity during the rollout phase, has purchased and sold over $5 billion of debt since 2008." ....

.... So who gets how much in reward? Well apparently, "The overall structure and execution of the program, including the customized size of each individual Reward, was designed by industry leaders in behavioral economic theory, consumer marketing, and mortgage finance." ....

.... Look, we all know that some borrowers consider their home to be an investment-gone-bad that should simply be dumped. There's a good argument there. Others consider they were defrauded and therefore feel no obligation to their lenders. I'm caught between more annoyance that we're now supposed to "reward" borrowers for paying their mortgages and skepticism that the reward is really going to make much of a difference to a borrower who is unlikely to see any equity in their home for a decade.

Thoughts?

What can you do while on hold... home project, take a bath and read, watch a show.. or my favorite, fish. Just have your account number handy a blue tooth and unlimited minutes, and of course the loan number handy and Viola! The short sales dept thinks you are slaving away in your office waiting for the loss mitigators to fumble through the file and request info already submitted. Save the PDF's to your phone and do wireless fax! Think of short sales as mini annuities.. that close over time and in the future.. all the while you "work" :)

2Bd 2Ba Wow! Honey.. Dont stop the car! Get to the lender for a pre-approval!

Two level unit in well located complex. Newer carpet and appliances. Easy access, looks over quiet, private common area.

Washer/dryer combo and refrigerator included.

Rohnert Park Ca Short Sale Search Here for Short Sales above 600K

Exterior Wood Siding Fee Includes External Bldg. Maint, Garbage, Grounds Maint, Roof Finance Terms Other Heat/Cool Central Heat Kitchen Cooktop Stove, Dishwasher Incl., Refrigerator Incl. Laundry/Appliance W/D Stacked Incl Lot Description Other Main Level Bath(s), Bedroom(s) Other Rooms None Other Structures None Possession Other Pool Type Comm Facility, In Ground #Garage Spaces 0 #Carport Spaces 1 #Off Street Spaces 1 Sale Conditions Notice Of Def, Short Sale Sewer/Septic Sewer Public Style Contemporary Upper Level Bath(s), Bedroom(s), Loft Utilities Internet Available, PG&E Water Source Water Public

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wow.. had a tough day in the Sonoma County Real Estate Market today. 4 offers rejected and two of the offers were conforming loans. Two of the offers were a little low ball and didnt have much faith in.. but the other 2 I thought were solid. Back to the drawing board. 2 of the clients have just started looking after waiting and watching for a while so like all my buyers they need to test the waters. Even after a 40-50% Sonoma County Home Value decline some home buyers start off wanting to offer less when the range they are buying in has stiff competion.

On the flip side I had one of my short sale listing with offer accepted and now we wait. : )

Search the Sonoma County MLS here

FYI  Some search terms I'm seeing in my RE Web stats have to do with credit repair.. start optimizing for the inevitable.

Reuters this morning picks up mention of a story by iMarketNews.com writer Steven Beckner saying the U.S. Federal Reserve may re-enter the market for mortgage-backed securities after its planned exit at the end of the first quarter. The Fed has had a program in place to support the $5 trillion market with purchase of $1.25 trillion worth of the securitized loans, which as kept mortgage rates low. Beckner writes the Fed is prepared to “contemplate changes … depending on conditions in the economy,” Reuters quotes. Beckner quotes “people in the know” (love it) as saying MBS purchase is one option on the table.

Gave the keys to another New Happy Home Owner that found me on the web..A beautiful Petaluma Ca home at killer price of 540K! Santas Home Gift!

   20930832     $540,000 4 4 (3 1) 3154 0.110 ac 2007 SFR 11/24/2009    

  Address: 1818 Nicola Dr Subdivision: Petaluma 94954   Property Description: Spectacular single family home built in 2007. Contemporary style with 4 bedrooms and 3.5 baths plus an open loft. The home is 3154 square feet (builder spec), 3 car garage. Located in newer subdivision and features central heat and A/C. Near golf course. Major freeway and shopping less than 10 minutes away.

Picture is worth a thousand words.. Just throwing it out there incase some cap and tax stimilus money may be floating around.. Here to serve!

Save our planet and Hire Green!

Time to gear up for REO/Short Sales

http://www.dsnews.com/articles/mortgage-deterioration-ratio-climbs-lps-report-2009-12-02

The nationwide loan deterioration ratio is higher than three to one, according to the latest mortgage market report from Lender Processing Services, Inc. (LPS). What this LPS indicator means is that for every one loan improved, three more loans are deteriorating.

Home for Sale 3 Bed and 2 Ba in Convenient Santa Rosa Location

This Pepperwood Creek home is conveniently located on a quiet street. It features newer roof, gas stove, cathedral ceilings, skylight and fireplace w/ insert in the living room. The master bedroom has a slider that opens to backyard. Relax on the front patio or enjoy the extra large deck for your backyard BBQ's. Additional Features:Cross Street: Copperfield DriveExterior Description: Wood SidingFireplace: YesGarage/Parking: 2 Car,Garage,Auto DoorHeating/Cooling: Central Heat,Fireplace(s)HOA Amount: 46HOA: YesKitchen: 220 V Wiring,Disposal Incl,Gas Range Incl.,Refrigerator Incl.Laundry/Appliances: Hookups only,In Laundry RoomLot Description: CityMap Coordinates: J5New/Resale: ResalePool: NoProperty Type: RESISale Conditions: Short SaleSchool District: Santa Rosa CitySewer/Septic: Sewer PublicResidential Type: Single FamilyStories/Levels: 1 StoryStyle: ContemporaryTotal Bathrooms: 2Total Rooms: 5Utilities: Cable TV Available,Internet Available,PG&EWater Source: Water PublicYear Built: 1986Zoning: CitysrProperty Status: Activewww.esonomacounty.com

Short Sale America

Santa Rosa Ca Real Estate - MLS Listings

 

Buying or Selling? Save Money Here
Sonoma County Real Estate

Santa Rosa Real Estate

Santa Rosa Ca Short Sale Options

Sonoma County Real Estate & Homes For Sale

Sonoma County Foreclosure Homes For Sale

Short Sale Home Listing 2 Bed - 2 Bath 1000 sq ft Beauty

How sweet it is!.. eh er was..

http://articles.moneycentral.msn.com/Insurance/InsureYourHome/toxic-drywall-goodbye-insurance.aspx

I saw a disclosure in our MLS about chinese drywall used from 2004 till now..??

Please tell me this is a joke..

Has anybody run in to this yet?

http://www.bloomberg.com/apps/news?pid=20601087&sid=aNanECYf1Ku4

By looks of things in Sonoma County this will pass easily!!

Taxpayers footing the bill again...

http://finance.yahoo.com/news/Government-unveils-new-apf-2353211474.html?x=0

Can you guess what the other 2 will be??

My guess is extending tax credits and moratoriums.. tbd

Sonoma County Real Estate

1650 sq ft - 3 Bed 2 Ba Home set in the Sonoma County Redwoods

Ask: 260,000 NEW PRICE as of 11/21/09

QUIET LOCATION at end of drive way off Mission. 2/1.5 Condo - With Upgrades. Ceiling fans w/ remote. Appliances
included, W/D hookups in unit. Bamboo floors! Large fenced yard with redwood deck & drip irrigation. Detached garage plus guest parking.
Convenient Rincon Valley location. Great schools. Close to shopping,parks and recreation, 1 block to bus and only minutes to downtown.

Santa Rosa Ca 95409

175000 ..or best offer

Sonoma County Real Estate & Homes For Sale
Santa Rosa Real Estate
Sonoma County Foreclosure Homes For Sale

Answer: Stuff to Realtors

Being from California and studying the gold rush, more fortunes were made selling tools and equipment to the folks busting their hump.

That being said it makes perfect sense why agents are bombarded with "You Can't Succeed With Out This" sales cry.  Or "Are You The Biggest Loser on the Web?", if so here is a tool to make that all go away. 

TIP: Any latest and greatest widely touted "SEO" thing or technique has been used and abused to the point of irrelevence.  Search engines like to offer uniqueness as they want to provide content so you come back to their search engine and hopefully click an ad.  period

If you are a new agent please check the success rate of these very time consuming activities if you are thinking of considering "Ramping Up Your Pipeline"..

Also, please consider your prospective clients time as everybody still only has 24hrs a day and is probably not as "Plugged In" or "Web Wired" as we would want them to be.

just a thought... and imho, based on surveys I have done with my web leads

Bank Owned Home For Sale

$550,000 3bed 2 on 1.5 ac.

Seeing is believing. Quiet retreat from the daily hustle and bustle.

Come and unwind and recharge in this country property.

Slab granite kitchen and bath counter tops, dual pane windows, custom lighting, french doors, custom laminated cabinets, updated plumbing,redwood deck, slate covered front porch, maple vanities in bathrooms, ceiling fans, custom textured finish through out and much more.

Craig Bassignani

(707) 974-8970

RE eBroker REALTOR®

lic 01428827

707-538-1196 fax

Craig@eSonomaCounty.com

www.eSonomaCounty.com

 Esonomacounty.com, Sonoma County Real Estate.com and Santa Rosa Ca Real Estate.com:  Proprietary 
CONFIDENTIALITY NOTICE: This transmittal is a confidential communication or may otherwise be privileged. If you are not the intended recipient, you are hereby notified that you have received this transmittal in error and that any review, dissemination, distribution or copying of this transmittal is strictly prohibited. If you have received this communication in error, please notify this office, and immediately delete this message and all its attachments, if any.

Santa Rosa Ca, Sonoma County $324,000

Contemporary Home on Cul de Sac with other beautiful homes with a tandem 3car/(2.5)garage.  Features: Tiled entry, dramatic ceilings in LR/DR, Island kit w/Oak cabinetry and white tiled counter tops, gas range, microwave, A/C, family room with gas fireplace, formal dining and more. Enjoy the private brick paver patio with KOI pond, perfect for an afternoon barbecue.

Home Foreclosure Services Coming to a Neighborhood Near You

Santa Rosa Real Estate

Sonoma County Real Estate & Homes For Sale

 

Craig Bassignani

(707) 974-8970

RE eBroker REALTOR®

lic 01428827

707-538-1196 fax

Craig@eSonomaCounty.com

www.eSonomaCounty.com

 

 Esonomacounty.com, Sonoma County Real Estate.com and Santa Rosa Ca Real Estate.com:  Proprietary 
CONFIDENTIALITY NOTICE: This transmittal is a confidential communication or may otherwise be privileged. If you are not the intended recipient, you are hereby notified that you have received this transmittal in error and that any review, dissemination, distribution or copying of this transmittal is strictly prohibited. If you have received this communication in error, please notify this office, and immediately delete this message and all its attachments, if any.

 

I've been trying to figure out where home prices will be and what will drive price appreciation going forward.

Reading about the government planning to hopefully stop buying MBS's says the rates should rise.. will it, probably. They have been able to keep the demand side up when others want to hold out for higher yeilds.. How long they can continue to do this and if they extend it will be 64K question.. Yes we have been borrowing to buy treasuries and MBS's and repay ourselves back the interest with the same or more borrowed money.  wha.. $-)

As far as price appreciation going forward we will either need to return to speculation lending like we had that got us into this mess or maybe a cheap dollar will bring in foreign buyers. Doesc anybody think incomes will increase faster than Taxes(fees, levies,mandates,etc)

Working out affordability and the fact lending is based on full docs(affordability) and debt to income ratios leads me to figure median home prices based on median income. Working this backwards is a stark realization..

Any thoughts..?

This is something you can't buy with stimilus money! :)

There is legislation in both the Senate and the House that would expand the tax credit. A proposal by Sen. Johnny Isakson, R-Ga., would raise the credit amount to a maximum of $15,000 for any buyer of any home over the next year. It would remove the income caps that currently apply (those limits are now $75,000 for an individual and $150,000 on couples).

"I think we've got a realistic chance of doing this," Isakson says. "Our problem is not with the first-time home buyer, it's the move-up buyer."

Lawrence Yun, chief economist at NAR, says extending or raising the tax credit would spur the housing recovery, which in turn would help bolster the economy.