Sunday, January 29, 2006

Top Mistakes of Home Sellers in 2005 per Broker Agent News

Top Mistakes of Sellers in 2005

1. Over-priced home. Sellers over-priced properties in record numbers. Realistic pricing based on sold comparable's in the last 6 months illustrates to buyers that you understand today's market.
2. No internet property marketing. Over 70% of all home buyers start their search on the Internet before contacting a real estate agent (per the National Association of Realtors). Require your agent to do a minimum of 8 indoor and outdoor photos in the internet.
3. Stop showings too early after contract. Buyers remorse was on the upside in 2005. Many sellers lost valuable time taking their home off the market too early after signing a purchase contract.
4. Refused to pay buyers closing costs. For the first time in many years buyers asked for and received give-backs from sellers. Closing costs and points on mortgages were the most popular. In 2006 expect owner-financing to be the next buyer perk.
5. Exclusion confusion. As prices dropped, seller began to strip fixtures and amenities in contract negotiations. If you plan on taking it with you, replace it before your home is put on the market.
6. Knowing your market and competition. Buyers in 2005 were very savvy with market times and available inventory. Some home sellers were out-of-touch with competition and "listening" to the market.

Call me at (805) 901-8805 if you have any questions. Or visit me at my web site at: .


Monday, January 23, 2006

Home Loan Rates

With Osama Bin Laden, Iran's nuclear program, and the continued civil unrest in Nigeria dominating the news last week, investors were looking for the perceived safe haven of bonds. This sent bond prices higher, stabilizing home loan rates for now.

Saturday, January 21, 2006

Sell Your Home for More $$$$$$$

According to the 2005 NATIONAL ASSOCIATION OF REALTORS® Profile of Home Buyers and Sellers "The median home price for sellers who use a practitioner is 16.0 percent higher than a home sold directly by an owner". I'm pretty sure when you do the math on this one, paying a professional means more cash in your pocket at closing!

Thursday, January 19, 2006

Loan Rates

According to Judy Friedrich at Gold Coast Home Loans, loan rates are declining! "Fixed rates have dropped over the last 6 weeks from an average of 6.25% to 5.75%!! Economists are predicting the average rate this year to be 6.25% - which we can certainly live with. Buyers are still leaning towards the Interest Only adjustable loans with the 5 - 10 year initial fixed rate." Judy can be reached at (805) 340-6411.

2006 CBIA Housing Forecast

California's housing production is expected to drop slightly in 2006 compared to the robust construction activity in 2004 and 2005, but still remain near 200,000 homes and apartments, the California Building Industry Association reported today.

The forecast, authored by CBIA Chief Economist Alan Nevin, projects that between 185,000 and 205,000 homes, condominiums and apartments will be built in 2006 - down from about 212,000 in each of the previous two years.

"The annual demand for new homes in California continues to be in the 240,000 range, but the homebuilding industry is able to provide only 80 percent of the total need," Nevin said.
He added that most of the decline would be in the high-end segment in coastal areas, while more-affordable areas, such as the San Joaquin Valley, should see construction continue at higher levels.

He also forecast that housing price increases would flatten out in some markets, and overall would be in the 5- to 8 percent range - well below the 25- to 30 percent increases seen in the past couple of years.

Wednesday, January 18, 2006

Fast Fact

According to the California Association of Realtors, the minimum household income needed to purchase a median-priced home at $548,400 in California in November was $133,390, based on an average effective mortgage interest rate of 6.26 percent and assuming a 20 percent downpayment. No wonder adjustable rate mortgages are so popular!

Tuesday, January 17, 2006

Good News for Registered Domestic Partners

More changes for 2006. Property Taxes for Domestic Partners: Beginning the lien date for the 2006-07 fiscal year, any transfer between registered domestic partners will not trigger a property tax reassessment. As a result, registered domestic partners will be treated the same as spouses under California property tax laws.

Monday, January 16, 2006

Meth Lab? Must Disclose!

Beginning Jan. 1, 2006, a property owner must disclose in writing to a prospective buyer or tenant if local health officials have issued an order prohibiting the use or occupancy of a property contaminated by meth lab activity. The owner must also give a copy of the pending order to the buyer or tenant to acknowledge receipt in writing. Failure to comply with these requirements may subject an owner to, among other things, a civil penalty up to $5,000. Aside from disclosure requirements, this new law also sets forth procedures for local authorities to deal with meth-contaminated properties, including the filing of a lien against a property until the owner cleans up the contamination or pays for the cleanup costs.

Sunday, January 15, 2006

The End of the 60 Day Notice

More changes. Starting Jan. 1, 2006, landlords may give a 30-day notice to terminate their month-to-month tenants, unless rent control or subsidized housing rules apply. Previously, the law requiring a 60-day notice of termination under certain circumstances has terminated.

Saturday, January 14, 2006

Affordability Index

The California Association of Realtors reported on the affordability of housing in our sunshine state. They reported that the percentage of California households that can afford to purchase a median-priced home stands at 14% as of November 2005. Ventura County stands at 13%, Los Angeles at 11%, and Santa Barbara at 7% (one of the lowest in the state). Although these numbers are dangerously low, the silver lining seems to be that Ventura County is keeping pace with the state, even though our neighbors in Santa Barbara and Los Angeles are not.

Friday, January 06, 2006

New Law's in 2006

Megan's Law required seller's to disclose that a database was available for viewing containing sex offenders and their location. New in 2006, this disclosure must also contain the website address. Click on the link I've provided to check your neighborhood.

Thursday, January 05, 2006

Happy New Year Everyone!

I hope everyone out there in the "Blogging" world has a great New Year. Business is picking up again and things are hopping. I wish the very best for you and your families!