Me

With all the economic news, how can anybody filter it or know how it is going to effect them? I just want to reiterate a couple of points as we begin to approach the real annual ” Holiday Season”

If [...]]]> I hope this Labor Day finds you employed and making all the income you need or want.

Me

With all the economic news, how can anybody filter it or know how it is going to effect them? I just want to reiterate a couple of points as we begin to approach the real annual ” Holiday Season”

If you are having problems keeping up, please, please, please do not let your house go in to foreclosure. If you have tried to do a loan modification and failed, Short Sell the property.

It will take 4 to 6 months so you have time to decide where you will live after you leave and your situation will be far better than if you allowed the bank to take back the property. And…almost nobody knows that you sold it short, they just know that you sold it.

Even high end properties are candidates for this process. It is an economic reality that some people (yes good people) are unable to continue paying their mortgage.  If you live in San Diego County, I am your short sale expert.

If you live elsewhere in the country, I can get you to the best Realtor to handle your situation. Call or email me now!

That said, the buying opportunity is incredible right now. The interest rates are ” Oh my God!” low and the housing prices are still near the bottom. If you are looking for investment or are on the fence about buying, get going now. In five years you will be so happy you made this choice.  In many places inventory is abundant and you have lots of choices. If you live in San Diego, your choices are limited, but I’m sure we could find something you like.

One last item today.  Mortgage Brokers have taken a hit as part of the cause of the “loan fiasco” over the last few years. That area seems to be taking the brunt of new legislation. I found a good article which explains the mortgage industry a little and shows where it is headed. Go read this blog by Phil Stevenson.

Well go enjoy the Holiday!!!

Luxurious contemporary gated canyon home overlooking Mission Valley and Qualcomm Stadium. The amazing views seem to go on forever. This very unique home is a must see as the pictures and descriptions can’t do it justice. The owner spared no expense in 2008 when the interior, landscaping and pool/w spa were [...]]]>

5392 Wilshire Drive San Diego

Luxurious contemporary gated canyon home overlooking Mission Valley and Qualcomm Stadium. The amazing views seem to go on forever. This very unique home is a must see as the pictures and descriptions can’t do it justice. The owner spared no expense in 2008 when the interior, landscaping and pool/w spa were completely remodeled! This home of dreams has it all including a theater, sauna, steam room, wine cellar, gym, pool and spa, privacy and incredible views!    Please take a look at the Virtual Tour! 

The entry to the property is controlled by an entry gate intercom system and monitored by cameras at each entry point. The environment is controlled by a triple zoned HVAC system and  features a tankless water heater. The  remodeled pool has a water feature and all new equipment, plumbing, and a remote control computer system & energy efficient heater. Outside, you’ll find a  glass wall enclosing the patio/pool area, and a BBQ island with Cal Flame appliances including a 6 burner grill with  rotisserie, side burner, warming drawer, sink, fire pit, and under counter lighting. There are also rock speakers around the pool to enjoy the outdoor sound system. The updated chef’s kitchen features Jenn-Air commercial appliances – built-in side by side refrigerator, built-in microwave, steam dishwasher, 6 burner range w/ dual ovens and granite counter tops with a 4 seat extension. You’ll also find a walk in pantry and custom cabinetry. The theater seats 8 with a 106″ projection system and surround sound. The remote controlled blackout system ensures a quality cinema experience. The living room has remote controlled solar shades and a remote controlled Fire & Ice fireplace with a stainless steel surround & architectural and a concrete hearth which is duplicated in the master. The master suite also has manual solar shades, a 48″ plasma TV with a remote controlled viewing bracket and most importantly a huge custom walk in closet. On the lower level is the complete gym, steam, sauna, laundry room, a hidden electric safe and more than 1200 bottle wine room. All information is not guaranteed by Seller or Seller’s agents. Buyer should verify all information including square footage and conveying items prior to COE. This home has it all and is a must see for anyone desiring to live in Metro with convenience to I-15, I-8, and the 163. Close to malls, shopping and many restaurants! MLS#: 100046364 for 5392 Wilshire Dr. The seller is entertaining offers from $1,900,000 to $2,200,876 on this luxury home in the heart of San Diego.

Please visit my website to view other properties in San Diego.

Why so much optimism?  Many reasons, no building is going on in San Diego, yet the [...]]]> San Diego is poised for double digit increases in housing prices again. It may not happen in 2011 but will certainly happen before 2014 and look for more than a 50% increases in housing costs over the next 3 to 4 years.

Why so much optimism?  Many reasons, no building is going on in San Diego, yet the population keeps increasing. People are still moving to this fine city in droves and the military plans only expansion in the area which already is one of the largest military communities in the world.

Many of the wealthier Mexicans are moving in to San Diego County to get away from the drugs and violence taking over their communities.

Oh and San Diego is a huge college town and will continue to be.  College towns always fare well during recessions. Biotech a major source of stability and is expanding and the small amount of manufacturing is stable and will remain. It is mostly defense oriented.  San Diego has a huge convention and visitor business that will continue to grow.

But…..there are no residential units being built and none in the foreseeable future.  With Pendleton to the north, the Ocean west, Desert east and Mexico to the south, San Diego County will need to build up much more than out.

Currently, it cost more to build the units in San Diego County than they can be sold for. So the builders have all left and we’re not sure when they will return.

It is true that as the prices increase, many of those who wanted to sell over the last few years will put their units on the market, but that won’t support the huge demand. As people pay the higher prices, the inventory will be gobbled up and there will be further upward pressure on price.

Right now in San Diego County there is a 3 month supply of inventory to meet current demand. Six months inventory is a balanced market so we are already starving for units to sell.

The moral of the story is, buy anything now!  The interest rates are at the lowest in our lifetimes. The prices are still at amazingly low levels.

Call me and even with this low inventory, we’ll find something that will work for you.

The last time mortgage rates were above 6% was in November 2008. At that time, the average rate was 6.33%, which meant a $200,000 loan would have carried a monthly payment of [...]]]> Mortgage rates hit a record low last week on increasing worries of a second recession.  The average conforming 30-year fixed mortgage rate dropped to 4.75%.

The last time mortgage rates were above 6% was in November 2008. At that time, the average rate was 6.33%, which meant a $200,000 loan would have carried a monthly payment of $1,241.86.

At today’s rates that payment would be $1,043.29, or a savings of $198 a month. Mortgage rates are closely related to yields on long-term government bonds, which have been in demand on increasing worries about the health of the global economy according to bankrate.com

“But despite the tremendous affordability brought about by record low mortgage rates and a sharp drop in home prices, consumers are reluctant to take the plunge into homeownership,” the group said.

So how many of the people you know will be passing on this once in a lifetime opportunity. These are record low interest rates.  Actually they are now at lifetime lows. If you are renting, don’t….go buy something.  If you’re in San Diego, call me. ( or anywhere else for that matter, I’ll still be able to help you.

More tomorrow!

Alan

When you sell your home as a short sale it seems your credit will be damaged approximately 60-200 points, especially if you were delinquent on your mortgage [...]]]> This is a good thing. Nobody wants to have to go through this, but if the homeowner is not going to be able to make it, this is a great choice.

When you sell your home as a short sale it seems your credit will be damaged approximately 60-200 points, especially if you were delinquent on your mortgage prior to the closing of the sale. While this may not seem very attractive, it is far better than letting the property go into foreclosure which may damage your credit anywhere from 200-300+ points for up to 7 years. Unlike a foreclosure, the short sale will not remain on your report even close to 7 years and if you work on rebuilding your credit after the sale goes through, it could be as if the short sale never even took place.

If you know anybody heading to foreclosure, cut them off at the pass – have them call a Realtor immediately or just have them call me, I can refer them to a short sale expert in their area.

On another subject, many people who don’t qualify are trying to get the $8,000 federal tax credit

Some homebuyers are trying to claim the $8,000 tax credit even though they missed the deadline. To claim the credit, buyers had to sign contracts by April 30 and close the sales by June 30. But…. real estate agents say some buyers were demanding quick closing dates to meet the June 30 deadline, even though they failed to meet the April 30 deadline. And because the IRS doesn’t require paperwork specifically proving the contract date, they might get away with it. Claiming the credit does require more than sending in your taxes and asking for the money. Buyers have to fill out a special form and attach a copy of their settlement statement, which they receive at closing.

The settlement statement does not require the contract date — just the “date of purchase,” which is the closing date.  I’m sure the IRS will have more to say on this soon.

If the credit applies to you, you can get most of your questions answered here.

Until Tomorrow

Alan

Don’t get too excited about the extension of the “closing” date on the Federal Tax incentive of $ 8,000, you still needed to be in escrow by April 30th.  [...]]]> Don’t forget that next year the capital gains tax goes from 15%  TO 20%. So sell it this year or think about doing an exchange in the future.

Don’t get too excited about the extension of the “closing” date on the Federal Tax incentive of $ 8,000, you still needed to be in escrow by April 30th.  California still has the $10,000 tax credit for purchases before 12/31, however, there isn’t much money left. Act quickly! See all the details at the State’s website .

If you are looking at “National Numbers” to try and figure out what is going on in California, you need to look again. Check out California real estate statistics at the California Association of Realtors website.  San Diego is leading the rest of the large markets by 3 to 6 months, but , we still can’t figure out exactly what San Diego is doing. Many of the forecasters think it is doing well though.  Prices are still very low, but finding inventory is not that easy as many homeowners do not want to sell at current prices. Interest rates are still rediculously low.