Archive for June, 2008
Foreclosure Time Schedule.
June 13th, 2008 Categories: "Say What? Just Some Real Estate Talk
Listed below are the key elements that are applicable for California Non-Judicial Foreclosures under Deed of Trust.
The foreclosure process is initiated by the borrower (called trust-or) not making payments to the lender (beneficiary). The first missed payment is designated as a default, but most lenders do not begin the foreclosure process until the third payment is missed.
The lender will attempt to resolve the defaulted payments and if this cannot be done the lender will instruct the Trustee to begin the foreclosure process.
The schedule of events are:
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Monday Morning Coffee Break: Ventura County Real Estate Doing’s For the Week Ending June 7, 2008
June 8th, 2008 Categories: Weekly Real Estate Activity In Ventura County
This weeks economic events were startling with oil running up to $ 130 per barrel and the increase in unemployment.
A double whammy but the impact on Ventura County real estate through the past week was uneventful.
The unemployment number increase is due in part to the various educational institutions summer vacation. Part time instructors will seek unemployment during this period.
Other services related to real estate (escrow, title, mortgages, etc.) continue to lay people off because of slow sales.
During the previous week (ending June 7) home sales in the County grew slightly; the number of total listings remained the same. Days that sold properties were on the market stayed at 3 months but the variance between list and sales price of sold homes increased. Same stuff for the last several weeks.
The increase in the variance was due to a sale in the Santa Rosa Valley. Excluding that particular sale the variance remained at approximately 5%.
Overall Ventura County real estate appears to be strengthening and over the next few months, excluding any grand scale negative news, the market should continue to strengthen.
I would expect further basing to continue until the 4th quarter, 2008, maybe the first quarter of 2009, then the market will head upward. See historical comments below.
The chart below is a historical review of Ventura County real estate for the last 14 years.
With the current real estate cycle (which began around late 1992, early 1993), home prices peaked in the County around the year 2006 although the sales variance between years notes that the real estate decline started earlier, around the year 2005.
Assuming real estate works in cycles of 10 years, then the year 2003 would have been the peak year. This then suggests that the down cycle will end about the last quarter of 2008.
Based on the data below peak home (unit) sales per month occurred in the year 2003 with a small decrease in the year 2004. So it appears that the peak of the market occurred around the latter part of 2003, early 2004 and continued as a plateau until 2005.
There was a price blow off in 2005 and 2006.
Sales (units) began to decrease but prices continued rising, peaking in the year 2006. Now we are in the midst of a variance adjustment between list and sales price and this adjustment has to play itself out before one can say the downside has ended.
Sellers will continue to discount properties for the next several months. Some buyers will be able to take advantage of the correction but many will have difficulty getting mortgage loans. Banks are holding the hard line. 
When the above data is analyzed it suggests that the bottom of this market will occur between the 3rd quarter of 2008, no later than the first quarter of 2009 and then the market will go up.
This gives some credence to the markets cycle……we are in the bottom of the cycle, strange things will occur and then UP!
The appreciation of Ventura County real estate can be viewed by looking at May 2008 Selected Cities Real Estate Appreciation Trends Report. It is expected that between the 1st quarter, 2009 and the 3rd quarter of 2012, Ventura County real estate will appreciate approximately 24%.
This appreciation factor is dependent on the overall national economy but based on current information this appears to be the projected real estate picture.
Your comments are welcomed.
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Wright Mortgage Compnay
June 7th, 2008 Categories: Residential and Commercial Mortgages
John Duffner’s Mortgage Brokerage, Inc. has associated itself with The Wright Mortgage Company.
Both companies are brokerages and jointly their focus is residential and commercial loans.
Why Use A Broker?
Independent mortgage brokers have had a significant impact on the lending industry. Today, the use of a professional (licensed) mortgage broker is one of the key strategies used by sophisticated borrowers.
What Is A Mortgage Broker?
A mortgage broker is an independent real-estate financing professional who specializes in the origination or residential (or commercial) loans. Mortgage brokers normally pass the actual funding and servicing of loans on to wholesale lending sources. A mortgage broker is also an independent contractor working with (on average) as many as 40 lenders at any one time. By combining professional expertise with direct access to hundreds of loan products, a mortgage broker provides the most efficient way to obtain financing tailored to a borrowers specific financial goals.
What Do Mortgage Brokers Do?
In the volatile mortgage market, mortgage brokers can serve as safeguards, offering clients security, safety, and peace of mind. One of the broker’s most important functions is escorting a borrowers loan application through the entire process, constantly patrolling the component transactions for possible breakdowns. A professional mortgage broker can wade through the mountains of rate data and program options, researching current market conditions to find the most accurate and up-to-date information about cost-effective loan options.
Brokers Handle the Details!
There are literally thousands of variables that can affect the outcome of a mortgage transaction. That’s why you need a mortgage broker to act as a liaison between the title and escrow company, real estate agent, lender, appraiser, credit agency, the underwriting, the processors, attorneys (when utilized), and any other services which may affect the transaction.
Other Items A Mortgage Broker Does:
- Discuss and explain financing program options
- Informs the borrower, in writing, of lock-in options
- Explains all documents of the loan application
- Explains all associated costs of the loan application
- Explains the disbursement of all loan applications
- Explains the loan process, from application to closing
- Provides the borrower with a good faith estimate of cost and fees
- Communicates with the borrower throughout the loan process in a timely manner
- Coordinates the final closing of borrowers transaction
For mortgage information call 805-933-1385.
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Reduce Noise and Prying Eyes…..
June 7th, 2008 Categories: Home Fixin's, Findings and Planting
Today many homes are being built on top of each other so privacy can become an issue.
Look at what Mother Nature (pictured is a viburnum in snow) can offer to help screen out both the noise and perhaps unwanted prying eyes from the neighbors. One can most certainly add beauty to your surroundings.
Listed below are some shrubs and vines that could be considered.
Before doing anything check with the local nursery and see if the selection(s) is adaptable for your location. Select those that require the least amount of water when matured.
Stay clear of invasive type plants such as wisteria and privet. I would also add running bamboo.
Mother Nature suggests looking at the following:
- Photina (Photinia fraseri)
- Evergreen euonymus (Euonymus japonica)
- Lemon bottlebrush (Callistemon citrinus)
- Fern pine (Podocarpus gracilior)
- Viburnum (Biburnum tinus “Robustum)
- Oleander (Nerium oleander): Note–if you have children you may want to re-think this offering from Nature.
- Honeysuckle (Lonicera) (pictured)
- Holly oak (Quercus ilex)
- Potato vine (Solanum laxum)
- Carolina jessamine (Gelsemium sempervirens)
- Pink jasmine (Jasminum polyanthum)
- Shrubby yew pine (Podocarpus macrophyllus maki)
A number of these selections will attract bees so again be careful and ask the local nursery.
Source of list: Sacramento Bee who in turn got the information from: farmerfred.com, “Sunset Western Garden Book”.
Please submit your comments
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Paprika Pork
June 4th, 2008 Categories: Recipes
BBQ is in the air. This dish may suit your taste buds as well as give you a break from chicken and fish.
- 1 1/2 pounds of pork tenderloin (pork chops can be used)
- 1 1/2 of paprika. Watch out if you use the hot or smoked…..too much can ruin a good thing.
- 1 teaspoon grated lemon zest (lime is good too)
- 1 teaspoon of dried thyme
- 1 clove garlic, crushed (use fresh and not the stuff that comes in the bottle)
- fresh ground pepper
- 1 teaspoon dried oregano (if it’s been in the pantry for over a year get a new oregano)
- salt to taste (usually 1 to 2 teaspoons)
- 1 1/2 tablespoons of oil
Mix all the spices with the olive oil. Rub onto the pork and put pork in a plastic bag and marinate in the refrigerator (over night preferred but for a minimum of 4 hours).
Remove from the refrigerator about 30-45 minutes before cooking. Juices that are in the bag can be used for basting.
Pre-heat grill and cook 7-8 minutes on each side. Cook longer if you want pork to more well done. This is all a judgement call…..thickness of the pork dictates the time.
Cut, serve and enjoy.
Recipe from LedgeStone Grille and Nicol’s Fine Dining.
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Monday Morning Coffee Break: Ventura County Real Estate Doing’s For the Week Ending May 31, 2008
June 1st, 2008 Categories: Weekly Real Estate Activity In Ventura County
Changes continue in the Ventura County market place and a big change has been made in the presentation of the statistical data made in this weekly column.
The data has been divided into two charts.
The first chart focuses on the activity just for the previous week. In this case the week of May 25, 2008 thru May 31, 2008.
The information includes all new listings contracted during the week; total recorded sales for the week; the average list price of homes sold; the average sales price of homes sold and the variance between list and sales prices.
The second chart contains the same information but differs in that it is a summary view of Ventura County activity since the beginning of the year thru May 31, 2008.
This change will help the reader to view weekly data in its context in addition to providing a birds eye view of the cumulative activity occuring within Ventura County by major area.
Comparatively speaking Ventura County real estate is doing well. When looking at areas such as Merced, Stockton, Modesto, Yuba City, Salinas, Bakersfield, Vallejo, Riverside, Sacramento, Fresno and Madera, Ventura County has held up extremely well in this period of adjustment.
But things are changing positively for these areas. Refer to the article May 2008 Selected Cities Real Estate Appreciation Trends Report and Major Cities Real Estate Appreciation Trends Report, in particular the California sections.
Likewise when viewing real estate thorughout the United States (refer to Quarterly Changes To United States Real Estate Landscape article) most of the US is projected to see real estate growth of 1% to 4%.
Closer to home there were 104 recorded sales in Ventura County during the week of May 25 thru May 31, 2008. The variance between average list price and average sales price approximated 4.6%. Days on the market for sold homes was about 3.4 months.
There was a 6% increase (264) in new listings during the week for a County total of 4,430 listings for the period ending May 31, 2008.
Overall the variance between list price and sales price appears to be diminishing. Listing price are being corrected in accordance with what the market will bear. Days on the market for homes appears to have stabilized at about 3 months. (Note: Review articles Fix The Little Things To Sell Your Home And Add Value and Buyers Love Neatness for suggestions to make your property stand out from the competition).
Since January 1 thru May 31, 2008 there have been 2241 properties sold, or an an average sales of 448 homes each month. If this continues the total projected sales in the County will approximate 5,378 homes. This annual total will be less than the year 2007.
This may occur since individuals have to adjust to higher fuel and food prices. In addition lenders have implemented stricter standards for purchases and refinancing. For example, mortgage loans based on stated income for all practical purposes is a thing of the past. Likewise first time home buyers are having difficulties finding financing for purchases.
Activity in the County since the beginning of the year.
For your real estate or mortgage needs call me at 805-933-1385.
Your comments are welcomed.
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May, 2008 Selected Cities Real Estate % Appreciation Trends Report
June 1st, 2008 Categories: National and Local Real Estate Appreciation Forecast
Changes are happening. A review of the latest OFHEO (Office of Federal Housing Enterprise Oversight) report listed the following cities as the highest ranking but not necessarily the best investment areas. The general areas are:
- Houma-Bayou Cane-Thibodaux, LA
- Grand Jucntion, CO
- Wenatchee, WA
- Autstin-Round Rock, TX
- Billings, MT
- Provo-Orem, Utah
- Anderson, SC
- Mobile, AL
- Ogden-Clearfield, UT
- Hickory-Lenoir-Morganton, NC
When viewing Quarterly Changes To United States Real Estate Landscape and coupling it with the list of cities noted in the table below it is evident that the real estate landscape has changed.
For real estate investments, dollar for dollar the areas to consider are Louisiana, Mississippi, Oklahoma, Texas (although it appears that this State may be starting to change downward) and Michigan (this State appears to be coming out of a depressed state and it appears now on an upward change).
If push came to shove and I was told I could only select one area to invest in, at this time it would be Oklahoma. Michigan is becoming a very interesting area but I would wait for about a year. Keep an eye on Michigan.
Oklahoma is selected because of the increasing job market, real estate taxes are reasonable, single family home prices are relatively low, and based on current rents the opportunity exists for a monthly positive cash flow.
There are a number of people that feel Idaho and Wyoming are the places to be so it becomes a personal preference. Properties in these area tend to be higher in price (5 to 20%) and with the higher down-payment money needed because the price variance, monthly cash flow could be a problem especially if home owner association dues are added.
Read the article How To Invest In Real Estate for added insights one should consider prior to investing in any location.
Specific cities which I track and their 12, 24 and 36 months projected trends are:
Restricting one view to California it appears that San Luis Obispo and Ventura are the areas with the greatest prospects for appreciation, followed closely by Santa Maria and Santa Barbara.
On the national scale Hawaii appears not to favor investors for the next several years.
Data for the above charts was derived from Ed’s Forecast.
Your comments to this article are welcomed.
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