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There's one BIG change that would make the Santa Cruz Real Estate recovery faster, smoother and more vigorous. All short sales should be at pre-approved prices. They shouldn't be allowed to go into the multiple listing service until the banks have agreed to the price, terms and conditions -- including and especially how deficiencies and seller contributions will be handled.
Why? Because we have too many willing and able buyers who get their hopes up and then are trapped in a short-sale contract, with slim chances of successfully owning the house. Unless the Santa Cruz buyer is in contract on multiple houses, they're out of the market waiting for something that probably won't happen.
Having multiple contracts hurts the sellers, as these buyers are going to drop out as soon as one of their "deals" comes together. Massive time and energy is being spent by Santa Cruz real estate agents, with little chance of success.
The strategic default problem would be reduced if the Santa Cruz sellers knew that they'd be foreclosed on quickly. They're taking advantage of the prospect of making out better by doing a short sale. They're the most likely to have the banks requesting funds from the seller, or refusal to waive deficiency judgment -- terms that the seller will probably turn down, anyway.
If we knew in advance that the seller was truly qualified for a short sale, that the bank didn't have some other agenda, and was motivated to not get the property back in foreclosure, then I'd be happy to bring my strongest Santa Cruz buyers to the short-sale deal. Meanwhile, the real buyers are fighting over the REOs (bank-owned properties), flips and equity transactions, of which there are actually too few.
Prices keep falling because the short-sale agents are listing at 5 to 10 percent below comps in order to try to get an offer, and often are accepting offers at even less. The banks come back at a higher price, and then the buyer walks. The downward momentum has been coming from the short sales, not from the REO listings.
It would be nice if the banks would just do as suggested, or the government forces them to do it. The reality is that the real estate community is going to have to tell the banks that we're not going to facilitate their craziness any longer.
We'll take the listings, we'll process the short sale to approval or denial, but we won't put it on the MLS or tie up a buyer, or spend money to advertize and promote it until we know there's actually a huge chance that a closing could take place.
That was the premise, and the promise of the Home Affordable Foreclosure Alternatives program (HAFA), but HAFA has been just as big of a joke as the way we do it now.
Let's only sell houses that can actually, really, truly be bought. If the banks can dictate to us that they won't even consider a short sale till there's an offer, then we ought to be able to dictate to them that we won't look for an offer without a pre-approval of the sale.
Are you interested in Santa Cruz Real Estate,Buying or Selling Homes in Santa Cruz? Feel free to email me at Contact Me and I will be happy to provide you with information,listings and a FREE market analysis.
Friday, June 3, 2011
Friday, May 27, 2011
Making the Offer
Real Estate is a fickle friend. I can remember back to the good old days when every email or phone call was someone wanting to buy a Santa Cruz Home I had listed or someone who wanted me to list their Santa Cruz Home. Sometimes it was overwhelming, looking back I loved it and should have paid closer attention to the joy I felt.
Today, is different, very different. The call comes from a Santa Cruz Home Seller, wanting to meet, to consider the possibility that they might, think about, maybe, someday listing their home for sale...someday. The preparation for these meetings is exciting, you spend time reviewing sales, driving by the house, taking pictures and creating a report so you can explain that their wonderful, glorious home is worth about what they owe on it and nothing more. You are hopeful that they need to move so badly that they are okay with that.
Sometimes, your Santa Cruz Home Seller owes that house free and clear (whew) now you can help them understand how their home will be viewed bu the numerous buyers who will stop by during the open houses, you talk terms and pricing and if I have done my job correctly they will choose to list this wonderful for sale.
After what seems like a million years, the offer comes to purchase the Santa Cruz house. Wait a minute, the offer seems to be for another house, why would a buyer make an offer $65,000.00 under the list price? The very same buyer wants all the furniture and the car in the driveway?? Slight exaggeration, but you get the point.
I wonder sometimes what the Santa Cruz Home Buyer agents are telling their clients, just pick a random number and we will see what the seller is willing to take, why not ask for the moon and the stars while your at it.
Don't get me wrong, Santa Cruz Home Buyers should structure their purchase offers so they can afford the Santa Cruz Hone of their Dreams, but reality must always play at part at the end of the day.
As we like to say, and a motto we run our businesses by, it has to be a win-win or it is no deal.
Are you interested in Santa Cruz Real Estate,Buying or Selling Homes in Santa Cruz? Feel free to email me at Contact Me and I will be happy to provide you with information,listings and a FREE market analysis.
Today, is different, very different. The call comes from a Santa Cruz Home Seller, wanting to meet, to consider the possibility that they might, think about, maybe, someday listing their home for sale...someday. The preparation for these meetings is exciting, you spend time reviewing sales, driving by the house, taking pictures and creating a report so you can explain that their wonderful, glorious home is worth about what they owe on it and nothing more. You are hopeful that they need to move so badly that they are okay with that.
Sometimes, your Santa Cruz Home Seller owes that house free and clear (whew) now you can help them understand how their home will be viewed bu the numerous buyers who will stop by during the open houses, you talk terms and pricing and if I have done my job correctly they will choose to list this wonderful for sale.
After what seems like a million years, the offer comes to purchase the Santa Cruz house. Wait a minute, the offer seems to be for another house, why would a buyer make an offer $65,000.00 under the list price? The very same buyer wants all the furniture and the car in the driveway?? Slight exaggeration, but you get the point.
I wonder sometimes what the Santa Cruz Home Buyer agents are telling their clients, just pick a random number and we will see what the seller is willing to take, why not ask for the moon and the stars while your at it.
Don't get me wrong, Santa Cruz Home Buyers should structure their purchase offers so they can afford the Santa Cruz Hone of their Dreams, but reality must always play at part at the end of the day.
As we like to say, and a motto we run our businesses by, it has to be a win-win or it is no deal.
Are you interested in Santa Cruz Real Estate,Buying or Selling Homes in Santa Cruz? Feel free to email me at Contact Me and I will be happy to provide you with information,listings and a FREE market analysis.
Sunday, May 15, 2011
What's it going to take?
I have discovered walls in real estate. Yes, there are real walls, rock walls, brick walls, but the walls I refer to are the walls that surround decisions in real estate.
There are always obstacles in Buying and Selling real estate, but in the last few years the very nature of the business has created hurdles, fences and real honest to goodness walls.
Recently, I read an article about a Realtor who had qualified a buyer with a lender and then spent over 6 months showing properties, previewing and searching out the perfect home for this ready willing and .... buyer. Guess what, the buyer was a fraud. The buyer was working on a project for her advance degree in Social Science and decided to study the Real Estate Industry from the buyers point of view. I would imagine that someone else was doing the same project from the seller's point of view.
Ouch! time, money, energy and who knows what else was wasted on this "project".
Oh, I know how much fun there is in helping Santa Cruz Home Buyers and Santa Cruz Home Sellers fulfill their goals and dreams. Looking forward to helping the next person succeed is the entire reason that Realtor's do what we do every day.
Our plan for the next few years, pulling up the boot straps, putting a smile on our faces, filling the gas tanks..and going for it!
Are you interested in Santa Cruz Real Estate,Buying or Selling Homes in Santa Cruz? Feel free to email me at Contact Me and I will be happy to provide you with information,listings and a FREE market analysis.
There are always obstacles in Buying and Selling real estate, but in the last few years the very nature of the business has created hurdles, fences and real honest to goodness walls.
Recently, I read an article about a Realtor who had qualified a buyer with a lender and then spent over 6 months showing properties, previewing and searching out the perfect home for this ready willing and .... buyer. Guess what, the buyer was a fraud. The buyer was working on a project for her advance degree in Social Science and decided to study the Real Estate Industry from the buyers point of view. I would imagine that someone else was doing the same project from the seller's point of view.
Ouch! time, money, energy and who knows what else was wasted on this "project".
Oh, I know how much fun there is in helping Santa Cruz Home Buyers and Santa Cruz Home Sellers fulfill their goals and dreams. Looking forward to helping the next person succeed is the entire reason that Realtor's do what we do every day.
Our plan for the next few years, pulling up the boot straps, putting a smile on our faces, filling the gas tanks..and going for it!
Are you interested in Santa Cruz Real Estate,Buying or Selling Homes in Santa Cruz? Feel free to email me at Contact Me and I will be happy to provide you with information,listings and a FREE market analysis.
Sunday, May 8, 2011
It is Mother's Day
Today is Mother's Day.I am going to share a little about my mom today-not Santa Cruz Real Estate.
On Friday I was driving home and had the opportunity to hear a radio broadcaster share a tribute to her Mother who is no longer alive, it was very touching and made me realize how fortunate I am to still have my Mother in my life.
My mom was born 78 years ago in Mountain View California,she is the middle child and only girl. Her life was not easy-her father was in and out of their lives, money was tight and she fought for everything she ever had or wanted.
They moved to Santa Cruz at some point in time, probably for a job one of her parents. She did not graduate from high school, but is defiantly one of the smartest people I know. She left school to work in order to help support my Grandmother and her youngest brother.
When my parents married my mom was 24 and my father was 27, very old for the times. My mother the was the disciplinarian-nothing ever got by her, still to this day she can give me "that look" and stop me dead in my tracks. I am never sure what I may have done I just know I should not have done it.
There was a time several years ago, seems like another life time, that we did not have contact with one another any contact we did have was not pleasant. I am glad those times are past, but also think that there was some good that came from those years. I learned that I needed to make my own way, and that way, was going to be different from hers, that I did not need to share every detail of my life or choices with her, and that when she did not like or approve of what I was doing, life still moved forward and that she still loved me even if she was mad or disappointed.
When people ask me how my mom is, or if she is still alive I tell them that she is too mean or spunky to die. I know that one day that will happen, and when it does life will still move forward-I won't like it but my job will be to pick up and keep on.
Are you interested in Santa Cruz Real Estate,Buying or Selling Homes in Santa Cruz? Feel free to email me at Contact Me and I will be happy to provide you with information,listings and a FREE market analysis.
On Friday I was driving home and had the opportunity to hear a radio broadcaster share a tribute to her Mother who is no longer alive, it was very touching and made me realize how fortunate I am to still have my Mother in my life.
My mom was born 78 years ago in Mountain View California,she is the middle child and only girl. Her life was not easy-her father was in and out of their lives, money was tight and she fought for everything she ever had or wanted.
They moved to Santa Cruz at some point in time, probably for a job one of her parents. She did not graduate from high school, but is defiantly one of the smartest people I know. She left school to work in order to help support my Grandmother and her youngest brother.
When my parents married my mom was 24 and my father was 27, very old for the times. My mother the was the disciplinarian-nothing ever got by her, still to this day she can give me "that look" and stop me dead in my tracks. I am never sure what I may have done I just know I should not have done it.
There was a time several years ago, seems like another life time, that we did not have contact with one another any contact we did have was not pleasant. I am glad those times are past, but also think that there was some good that came from those years. I learned that I needed to make my own way, and that way, was going to be different from hers, that I did not need to share every detail of my life or choices with her, and that when she did not like or approve of what I was doing, life still moved forward and that she still loved me even if she was mad or disappointed.
When people ask me how my mom is, or if she is still alive I tell them that she is too mean or spunky to die. I know that one day that will happen, and when it does life will still move forward-I won't like it but my job will be to pick up and keep on.
Are you interested in Santa Cruz Real Estate,Buying or Selling Homes in Santa Cruz? Feel free to email me at Contact Me and I will be happy to provide you with information,listings and a FREE market analysis.
Sunday, May 1, 2011
Santa Cruz Home Buying
Recently I received a phone call from a past client who is ready to purchase a home in Santa Cruz. This in itself was thrilling for me, since we real estate agents are never sure that when the time comes, our phones will ring.
So off we went to look at this picture perfect little Santa Cruz Home on an amazing large parcel. The opportunities for this Santa Cruz property are endless. Happily, it is zoned for multiple units, imagine a lovely income producing 4 unit rental dwelling, set among other multi-unit income producing units.
I am sure however that this buyer is not going to even consider tearing down this house to build those income producing units, he is already planning where the hot tub and chicken coop will be.
It actually is a perfect little grandma house, complete with what appears to be a working Wedgewood stove.My client is having flash backs. He grew up just down the road, and has wonderful memories of days spend at a near by beach, the outside shower he helped build in order to save the inside plumbing from the "sand" baths after a day in the surf. He is a practical man, so I am not too concerned about his trip down memory lane, but homes like these has pitfalls that buyers can easily fall into.
We talk about the possibility of termites, wall heaters and huge bills to restore this Santa Cruz beach cottage to it's former glory. No doubt there will be bills for a new roof, new windows and a front door that will keep the cold out and the heat in.
There is a chance that a major remodel will need to take place since the bedrooms are not large enough for a queen size mattress, and where would you hang your clothes since not much will fit in those tiny little closets.
Tomorrow, we will see if this is the perfect first home for him or not. We are taking a side trip to see another, larger home on a much smaller lot, bye bye chickens. I keep reminding him the hard part is already done, he has taken the first step to owning his first home. The first step, the hard part was deciding to start shopping, now the fun part begins.
Santa Cruz Real Estate is RED hot right now, do not miss this opportunity. Contact Me and I will be happy let you know what the value of your home is, and what else is out there for the ready buyer.
So off we went to look at this picture perfect little Santa Cruz Home on an amazing large parcel. The opportunities for this Santa Cruz property are endless. Happily, it is zoned for multiple units, imagine a lovely income producing 4 unit rental dwelling, set among other multi-unit income producing units.
I am sure however that this buyer is not going to even consider tearing down this house to build those income producing units, he is already planning where the hot tub and chicken coop will be.
It actually is a perfect little grandma house, complete with what appears to be a working Wedgewood stove.My client is having flash backs. He grew up just down the road, and has wonderful memories of days spend at a near by beach, the outside shower he helped build in order to save the inside plumbing from the "sand" baths after a day in the surf. He is a practical man, so I am not too concerned about his trip down memory lane, but homes like these has pitfalls that buyers can easily fall into.
We talk about the possibility of termites, wall heaters and huge bills to restore this Santa Cruz beach cottage to it's former glory. No doubt there will be bills for a new roof, new windows and a front door that will keep the cold out and the heat in.
There is a chance that a major remodel will need to take place since the bedrooms are not large enough for a queen size mattress, and where would you hang your clothes since not much will fit in those tiny little closets.
Tomorrow, we will see if this is the perfect first home for him or not. We are taking a side trip to see another, larger home on a much smaller lot, bye bye chickens. I keep reminding him the hard part is already done, he has taken the first step to owning his first home. The first step, the hard part was deciding to start shopping, now the fun part begins.
Santa Cruz Real Estate is RED hot right now, do not miss this opportunity. Contact Me and I will be happy let you know what the value of your home is, and what else is out there for the ready buyer.
Friday, April 22, 2011
Blogging...
Anyone that knows me would think this Blogging business is right up my alley.I get to have a one sided conversation where I can share random thoughts, express ideas or concepts about the world, business or the weather. Sounds like just my cup of tea. The difficult part comes when I have to think of something somewhat meaningful and then attempt to express that thought in a way that I hope will attract some attention.
There is one person I know who regularly shares his "blogging" via You Tube. I think this is a fun, easy quick idea where you do not have to concern yourself with correct(sorta) grammar or punctuation. The thought of a "live" video feed freaks me out. I would be concerned with my hair, what shirt to wear and earrings. I would end up spending so much time getting ready that when it came time to share my ideas there would not be much left.
Then we have Facebook, this may be the place for people like me. You get to pick a photo to be your "face" to the world, and share ideas in short quick little bursts, and with any luck you actually get a response from your "friends" who usually like you and offer a level of support and "atta boys"
Forget Tweeting, that concept just confuses me. I am pretty sure no one care that I am wearing a purple T shirt with my orange hoodie.
Now I must stop rambling and get on with the topic of Real Estate in Santa Cruz, Home buying, Home Selling, all the wonderful areas within out Santa Cruz County communities, Aptos, Soquel, Capitola, Scotts Valley, Ben Lomond, Felton, Watsonville and more. We can talk about Real Estate Market conditions, market analysis. There is always the topic of home values, what your home is worth. I can tell you there is a large amount of cash hitting our area with all cash offers on some higher priced Santa Cruz Homes.
Bottom line, we are very luck to live in such a wonderful place such as Santa Cruz. Yes, I wish we had more sunny days, and maybe a white sand beach. But a thought occurs if we had those things where would I go on vacation?
Santa Cruz real estate is RED hot right now, do not miss this opportunity. Contact Me and I will be happy let you know what the value of your home is, and what else is out there for the ready buyer.
There is one person I know who regularly shares his "blogging" via You Tube. I think this is a fun, easy quick idea where you do not have to concern yourself with correct(sorta) grammar or punctuation. The thought of a "live" video feed freaks me out. I would be concerned with my hair, what shirt to wear and earrings. I would end up spending so much time getting ready that when it came time to share my ideas there would not be much left.
Then we have Facebook, this may be the place for people like me. You get to pick a photo to be your "face" to the world, and share ideas in short quick little bursts, and with any luck you actually get a response from your "friends" who usually like you and offer a level of support and "atta boys"
Forget Tweeting, that concept just confuses me. I am pretty sure no one care that I am wearing a purple T shirt with my orange hoodie.
Now I must stop rambling and get on with the topic of Real Estate in Santa Cruz, Home buying, Home Selling, all the wonderful areas within out Santa Cruz County communities, Aptos, Soquel, Capitola, Scotts Valley, Ben Lomond, Felton, Watsonville and more. We can talk about Real Estate Market conditions, market analysis. There is always the topic of home values, what your home is worth. I can tell you there is a large amount of cash hitting our area with all cash offers on some higher priced Santa Cruz Homes.
Bottom line, we are very luck to live in such a wonderful place such as Santa Cruz. Yes, I wish we had more sunny days, and maybe a white sand beach. But a thought occurs if we had those things where would I go on vacation?
Santa Cruz real estate is RED hot right now, do not miss this opportunity. Contact Me and I will be happy let you know what the value of your home is, and what else is out there for the ready buyer.
Saturday, April 2, 2011
Looks Like Everyone in Santa Cruz is Selling
Have you noticed recently that there seems to be an increase in the amount of real estate for sales signs in your Santa Cruz County neighborhood? I thought I would share the reason for this.
Normally, there is a slight bump in the for sale inventory as soon as we feel that winter has passed. Given the horrid weather in Santa Cruz last weekend particularly in Capitola, along with the glorious days we have had recently I would expect to see a few more signs pop up.
The overall increase though has more to due with the economy. As more signs pop up fewer signs are coming down. The average days a property is for sale in Santa Cruz has doubled in the last two years.
This increase in days on the market, along with a one third increase in overall listings creates a glut on the market. There are a few different ways to analyze these local Santa Cruz real estate statics.
The first is to understand and acknowledge that a traditional real estate sale will take between 30 and 45 days to close escrow once the buyers and sellers have agreed to price and terms of the transaction. However, a short sale could take upwards of 9 months or more from start to finish. The very nature of this type of transaction adds months to the bottom line.
Currently the average days a property is on the market for sale is 138 days in Santa Cruz county. Some for a few as 7 days, others upwards of 2+ years. What does all this mean if you are considering the possibility of selling your home in Santa Cruz?
Take the time to meet and speak with at least three Santa Cruz Realtors. You should ask your friends and neighbors who they know and have worked with that they would recommend. Visit a few open houses that seem to be like yours in size, condition and location. Ask the Santa Cruz Realtor at the open house how long the property has been for sale, see if you can find out what the average number of days the Realtors your are interviewing take to sell a home.
The good news is that if you are buying a home in Santa Cruz, there are many options and opportunities for you. If you are selling, take a deep breath and relax. You need to trust that your Realtor is working diligently to market and expose your home to buyers looking to own a home in Santa Cruz you will know that is true based on your agents communication.
In short do your homework, there are a number of ways to prepare your Santa Cruz home for sale, but that is another blog.
Do you need help in deciding if now is the time to sell, feel free to email me at Contact Me and I will be happy to run the numbers for your home and area.
Normally, there is a slight bump in the for sale inventory as soon as we feel that winter has passed. Given the horrid weather in Santa Cruz last weekend particularly in Capitola, along with the glorious days we have had recently I would expect to see a few more signs pop up.
The overall increase though has more to due with the economy. As more signs pop up fewer signs are coming down. The average days a property is for sale in Santa Cruz has doubled in the last two years.
This increase in days on the market, along with a one third increase in overall listings creates a glut on the market. There are a few different ways to analyze these local Santa Cruz real estate statics.
The first is to understand and acknowledge that a traditional real estate sale will take between 30 and 45 days to close escrow once the buyers and sellers have agreed to price and terms of the transaction. However, a short sale could take upwards of 9 months or more from start to finish. The very nature of this type of transaction adds months to the bottom line.
Currently the average days a property is on the market for sale is 138 days in Santa Cruz county. Some for a few as 7 days, others upwards of 2+ years. What does all this mean if you are considering the possibility of selling your home in Santa Cruz?
Take the time to meet and speak with at least three Santa Cruz Realtors. You should ask your friends and neighbors who they know and have worked with that they would recommend. Visit a few open houses that seem to be like yours in size, condition and location. Ask the Santa Cruz Realtor at the open house how long the property has been for sale, see if you can find out what the average number of days the Realtors your are interviewing take to sell a home.
The good news is that if you are buying a home in Santa Cruz, there are many options and opportunities for you. If you are selling, take a deep breath and relax. You need to trust that your Realtor is working diligently to market and expose your home to buyers looking to own a home in Santa Cruz you will know that is true based on your agents communication.
In short do your homework, there are a number of ways to prepare your Santa Cruz home for sale, but that is another blog.
Do you need help in deciding if now is the time to sell, feel free to email me at Contact Me and I will be happy to run the numbers for your home and area.
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