Archive for November, 2009

Realtor Economist Predicts Home Price Rise

Sunday, November 15th, 2009

Lawrence Yun, economist for the National Association of Realtors, predicted Friday that home prices would begin rising next year for the first time in 4 years, as reported in the San Diego Union-Tribune. He based his prediction, given before the annual convention of the NAR in San Diego, on low interest rates, low prices causing improved affordability, and the federal $8000 tax credit for first-time home buyers recently renewed by Congress. Forty percent of the buyers who used the credit were influenced to buy because of the credit.

Yun feels there is pent up demand of first-time buyers for homes, both new and resale. While prices should rise, it is also likely that mortgage interest rates will also rise slightly to around 5.7% from the current 5.2%.

Other experts, such as Patrick Nugent of IHS Global Insight, Michael Lea of the real estate center at SDSU, and James Hamilton at UCSD, are not as sure that prices will recover next year, although there is a consensus that we are near the bottom.

This is an excellent time to consider buying, with low interest rates, low prices likely to rise in the future, and the federal first-time home buyer tax  credit.

Local Encinitas Realtor Guides Sellers Through the Short Sale Process

Saturday, November 14th, 2009

A home owner in Encinitas had received a Notice of Default and a Trustee Sale date on his property and was facing an auction and possible eviction in nine days. He had spent many months applying for a Loan  Modification from his lender and had just foundout that the lender would not agree to the loan modification.

Marilyn Dashe, a local Encinitas realtor from Century 21 Sea Coast, worked with this homeowner to list his house as a Short Sale. In three days, he listed his home on the market, had an open house for 70 possible buyers and agents, and received 10 offers on his property. With his agent’s help, he chose the strongest offer, submitted it to the lender, and postponed his date of Trustee Sale.

This Encinitas homeowner is now in the process of having his Short Sale negotiated by a team of processors at Century 21 Sea Coast in Encinitas and expects short sale approval soon. He will then have 30 days to move out of his house and will only experience two years of damage to his credit instead of 7-9 years of damage expected from a foreclosure.

If you are an Encinitas homeowner facing possible foreclosure, please call Marilyn Dashe from Century 21 Sea Coast in Encinitas to learn more about your options. She is certified by the National Association of Realtors as a Short Sale and foreclosure resource.

Local Carlsbad Realtor Guides Home Buyers Through the Short Sale Process

Saturday, November 14th, 2009

Local Carlsbad realtor,  Marilyn Dashe, from Century 21 Sea Coast, recently helped a young couple buy their first home in California, a Short Sale in Harbor Pointe in Carlsbad.

She helped them through every step of the Short Sale, explaining the extended timeline of the process since the lender needs to approve the Short Sale and then after lender approval, the property proceeds through the normal 30-day escrow.  It’s often not a smooth process, and the buyers had many questions along the way.

Here’s what the buyers said at the close of escrow: We could not have asked for a better agent to represent us on the purchase of our new home. Marilyn was completely on top of everything from day one and was there for our every need. Short Sales are often long and arduous to deal with, but she handled the entire process professionally and proficiently. We especially appreciated her constant communication with us and her knowledge of Short Sales. She helped us really understand the details of the contract, and made sure that all the decisions made were for our best interest.

If you are a potential buyer of a Short Sale or Foreclosed property in Carlsbad, please consider Marilyn Dashe who is certified as a Short Sale and Foreclosure resource.

Local Cardiff Realtor Helps Make Cardiff Short Sales and Foreclosure A Smooth Process

Saturday, November 14th, 2009

Marilyn Dashe, local Cardiff realtor, recently helped a Cardiff homeowner through a Short Sale and helped to make the Short Sale process smooth and painless.

Homeowners in Cardiff who are behind on their mortgage payments become very anxious and stressed and need the help of a real estate professional experienced in Short Sales and Foreclosures.

One Cardiff homeowner chose Marilyn Dashe from Century 21 Sea Coast. The homeowner was afraid of how to handle multiple showings, the ups and downs of having her house on the market, and how long the Short Sale process would drag on. With Marilyn Dashe’s help, this homeowner chose the route of not having a lockbox, having two open houses to collect offers, and selecting the best offer from those submitted.

Here’s what this Cardiff homeowner said: “I wouldn’t have believed it, and Marilyn didn’t promise it, but she sold my house in what was one of the easiest, smoothest events regarding real estate I have ever experienced. She whipped together a plan with the right people to support the process, and we closed in less than six weeks from the first time we met. It’s true. Oh, sure, there were bumps along the way, but she managed to handle everything, leaving me only to feel it was seamless. Oh, and we had fun along the way!” (Sara B.)

If you are considering selling your home in Cardiff as a Short Sale, please contact Marilyn Dashe, certified Short Sale and Foreclosure resource.

Extension of First-Time Buyers Tax Credit May Pass as Early as This Week

Thursday, November 5th, 2009

After two weeks of delay, The Senate voted to pass a seven month extension and expansion of the tax credit for homebuyers. The legislation should reach President Obama for his signature this week.

The current homebuyer tax credit is scheduled to expire on November 30th. This new bill would extend it until April 30th of 2010. First-time buyers who are in the process of making a purchase will still qualify for the $8000 tax credit even if they close after the November 30th deadline.

The expanded tax credit will allow more people to qualify for the credit. Move-up buyers do not have to sell their current homes to qualify, but the money must be used to buy a primary residence, not a vacation home.

The new legislation included provisions to address complaints of fraud. The IRS is given greater authority to oversee the the process to root out fraud, and provisions are added in response to past abuses of false sales or underage buyers.

The new legislation should continue to fire up the housing market and continue to bring new buyers into this fast-paced market.

Controversy Remains Over Impact of Possible Extension of $8000 Tax Credit

Wednesday, November 4th, 2009

Congress may be closer to extending the $8000 first-time buyer tax credit, but analysts disagree over the effect the extension may have.  One analyst, Robert Stevenson, said the Senate Committee’s proposal for extending the tax credit will have a “limited impact”on home sales.

Stevenson said that the main pitfall of the proposal is that it only pushes back the expiration of the tax credit to the end of April. He is skeptical that the extension will drive homebuyer activity over the slow winter months. He does agree that Congress could come back and extend it again.

Jerry Howard, President of the National Association of Home Builders, offers a different view. He believes that “failure to act now could derail the fragile housing recovery even before it has time to take root…the consequences would be devastating for both housing and the economy.” Homebuilder stocks were up sharply in the wake of the news of the Senate comprom,ise.

The compromise on extending the tax credit doesn’t mean it’s a sure thing, and the proposal still faces a vote in Congress. One potential snag is a recent government report that uncovered fraud and abuse associated with the tax credit. Thousands of ineligible taxpayers may have received millions of dollars under the program, according to the report.

Pres. Obama to Sign Extenson of Loan Limits

Monday, November 2nd, 2009

CA Assoc. of Realtors reported last week that Pres. Obama was expected to sign an extension through 2010 to the current loan limits for Fannie Mae, Freddie Mac, and FHA, which are set to expire at the end of 2009. These loan limits are set at 125% of local median home sale prices, up to a maximum of $729, 750, in high cost areas, such as CA. These higher loan limits allow buyers to purchase homes that would otherwise be beyond their means.

There is also hope that Congress may extend the $8000 First Time Home Buyer Tax Credit beyond its current November 30 expiration date. This credit has encouraged first time home purchases and has contributed to the strengthening of the residential real estate market and the stabilization of prices. In a C.A.R. survey, 40% of first-time home buyers reported that they would not have made their home purchase were it not for the tax credit.

These incentives to home purchase, along with low interest rates and lower prices, make this a good time to consider home purchases, especially for first- time  buyers.