Dave Thurman's Real Estate Blog

Open House

On March 21, 2010 at 11:00 AM, you are invited to an Open House at 3320 Greenwood Street in Stockton. If you are looking for a Single-family property in this area, don’t miss this rare opportunity to visit this magnificent property. For a preview of this Single-family property, check out my site at DaveThurman.com. Please do not hesitate to Contact Me if you have any questions or wish to schedule a private showing.

On March 14, 2010 at 11:00 AM, you are invited to an Open House at 108 S Sinclair Avenue in Stockton. If you are looking for a Single-family property in this area, don’t miss this rare opportunity to visit this magnificent property. For a preview of this Single-family property, check out my site at DaveThurman.com. Please do not hesitate to Contact Me if you have any questions or wish to schedule a private showing.

Take a Virtual Tour

More news for the housing market…I found this article today on Recordnet.com 

WASHINGTON (AP) — Sales of new homes plunged to a record low in January, underscoring the formidable challenges facing the housing industry as it tries to recover from the worst slump in decades.

The Commerce Department reported Wednesday that new home sales dropped 11.2 percent last month to a seasonally adjusted annual sales pace of 309,000 units, the lowest level on records going back nearly a half century. The big drop was a surprise to economists who had expected sales would rise about 5 percent over December’s pace. Read more if you like bad news…

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Wow! Look what I found on the CAR (California Association of Realtors) website regarding foreclosures and short sales. Also, check out the info and progress of the statewide MLS (Multiple Listing Service).

California:

Press Enterprise: Inland foreclosure pressure eases; short sales rise
By Leslie Berkman
2/11/2010
In January, combined filings for defaults, trustee sales, and bank repossessions declined more than 24 percent in the Riverside and San Bernardino counties region. It was led by a nearly 50 percent decline in notices of default. Also, from December to January the amount of all foreclosure-related filings declined almost 13 percent.

National:

Los Angeles Times: U.S. aims to stop backing mortgages
By Walter Hamilton and Jim Puzzanghera
2/11/2010
The Federal Reserve plans next month to end a $1.25-trillion mortgage-bond-purchase program that has helped keep mortgage interest rates near a record-low 5 percent. 

Inman: ZipRealty: Fewer sellers slash prices
2/11/2010
Sellers reduced the asking price on 40.4 percent of available homes in January, down from 44.8 percent in December, to an average discount of $21,925, a rate of 6.54 percent lower than the month before, according to ZipRealty. The report covers 27 of 36 U.S. metropolitan areas in which the company operates.

Home prices fell in November for the first time in seven months, according to a industry report released Tuesday.

The S&P/Case-Shiller 20-city home price index recorded a decline of 0.2% from October. Prices were down 5.3% compared with 12 months ago. Read more from CNN.com…

I found this on my CAR website…

Testifying before the Housing Financial Services Committee yesterday, Secretary of Housing and Urban Development (HUD) Shaun Donovan announced possible policy changes for Federal Housing Administration’s (FHA) borrowers.

Rising defaults on FHA loans have led to the FHA’s cash reserves falling below federally mandated levels. FHA officials hope that policy changes will ensure borrowers have a stronger equity position and are less likely to default.

Proposed changes include:
· Raising the minimum credit scores requirements: Currently borrowers with FICO scores as low as 500 may qualify for an FHA-insured loan. The new minimum credit score has yet to be determined.

· Increasing down payment requirements: FHA borrowers currently can put down as little as 3.5 percent. A proposed change would raise that amount to a minimum of 5 percent.

· Limiting the amount sellers can provide as concessions: The agency is considering lowering the maximum permissible level to 3 percent from its current 6 percent limit.

· Raising up-front insurance premiums: Agency staff is reviewing whether to increase the monthly insurance premiums charged to borrowers, which come on top of insurance paid up front. The current up-front premium is set at 1.75 percent of the value of the loan. The FHA may decide to increase that premium. The amount has yet to be determined.

According to Donovan, the rules will not be finalized until the FHA determines how to craft them in a way that weeds out the most problematic borrowers while ensuring that qualified borrowers will not be inadvertently shut out, thereby derailing the housing market’s recovery.

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Image by inman newsvia Flickr

The Stockton, CA real estate market is sooo… crazy. Approximately 50% or more of the home buyers are pre-approved for FHA financing for the very low priced inventory available. They find homes for sale on the Internet, but become frustrated due to the fierce competition from other buyers. Most buyers have made offers 5-10 times before finally getting a chance to close. Many home buyers just give up after a while, but in my opinion, expect the market to stay very active right through the winter holiday season due to the extension of the tax credits from uncle Sam.

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Image by SARhounds via Flickr

The landlord dropped by to collect the rent and now knows all about Sam, the family pet!  He said, ” you better look for another house or get rid of that dog before next month.” 

Why not get rid of your landlord!!! I understand that President Obama was to sign the extension to the $8000 tax credit for first-time home buyers last Friday and also the bill included a tax credit to many other home buyers. Read more…

I found this fascinating quote today:

Congress must have been paying attention (or I tripped on something that other people agreed with!) and the $8,000 Tax Credit was extended this week. In addition, people who have owned their homes for 5 consecutive years (out of the last 8 years) can now get a $6,500 tax credit when they buy a new home.Bill Lublin, MOVEPHILLY, Nov 2009

You should read the whole article.

Image via Wikipedia

I found this fascinating quote today:

We have already seen the real estate market improve every quarter of this year to date, stimulated by the tax credit, great mortgage rates, and moderate prices. Though the lack of mortgage liquidity negatively impacted the attempts of some buyers to gain entry to home ownership, on the whole , the true worry was whether the gains in the market would be sustainable – with the extension of the tax credit through the spring, that question would be answered.Bill Lublin, MOVEPHILLY, Oct 2009

 You should read the whole article.

 

Image via Wikipedia

When I started in the real estate business many years ago; finding a customer or client was easy! I picked out a neighborhood that seemed likely to me that someone would need an eager real estate agent and I knock on the door and left my business card. If, I left enough cards with a little note on the back, eventually I would have some call backs about why I was at their home. I always tell the truth!!! I told the caller that I was looking for new clients who might be interested in buying or selling a home; and I was wondering if they knew anybody! This is known as “Door Knocking” which can work well for the agent and also for the customer who wants a hard working real estate agent.

I’m not sure if door knocking works today, because I have not done it on a regular basis for about 25-30 years. Also, most of the sellers’ these days are banks that usually are a little difficult to find. I’m not really sure where their front door is!

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