The Benefits of Working with a Certified Short Sales Professional

If you’ve never been in a position of needing a short sale arrangement from your bank before then you may not appreciate the ease with which a certified short sale professional can conduct the negotiations for you. If you’re interested in finding out you could try handling the arrangements yourself. Most homeowners who try that find themselves quickly up against a brick wall and end up believing that a short sale is not an option. You can avoid all that by just letting a pro do the job for you.

A short sale is almost always an option for those who have financial difficulties and cannot pay their mortgage. The banks don’t want to foreclose unless they absolutely have to and will agree to accept less than the original loan amount provided that just cause is presented to them. A short sale expert like your realtor knows exactly what the lenders are looking for and what guarantees they need to agree to allow you to sell the property short. That’s a benefit you don’t have if you try to negotiate yourself.

If you have legal problems, you hire a lawyer. If you have financial issues, you go to an accountant for advice. If you want to sell your home short you need a realtor with experience in doing that to not only negotiate with the bank for you but to also handle the sale. This may even be part of the arrangement the bank agrees to. If you don’t have a short sale realtor ready to sell your property they may be hesitant to give you the break in payments that you need to move the property in a timely manner.

The process of selling a home is never easy. When you are put under a time limitation like that which a bank will normally ask for in a short sales negotiation it becomes even more difficult. A professional can get it done for you. You can read all of the information published on short sales and still not have the knowledge that comes only from experience in participating in the process from start to finish. Hire a certified professional and step back from the process. It is by far the best way to make sure it is done right.

Tags: real estate agent, REALTOR, sales price, sell my home, selling my home, short sale, short sale expert

Obtaining New Credit and IRS Consequences after a Short Sale

Two of the most important questions you can ask when you are involved in a short sale are whether you’ll have any tax liabilities and when you can get credit again. The inquiries about IRS consequences short sales can create should be presented to a financial professional like your CPA. It is possible that since a portion of the original debt is being forgiven that it may now count as income. This is something that should be discussed between you and your accountant.

As far as credit is concerned, your credit report after a short sale is concluded will only show the late payments leading into the arrangement and then show the mortgage as “paid in full.” There are certain types of credit you’ll be able to get immediately. FHA is currently giving out loans the next day after a short sale is completed for those who kept up their mortgage payments before the short sale negotiator sought to make an arrangement with the bank or mortgage lender.

If you are refused for a short sale arrangement, the foreclosure that follows will be listed on your credit report for ten years. You will not be able to get a loan or a new mortgage for at least five years. With a short sale, you can get most credit in eighteen to twenty-four months, basically a fresh start after just two short years. You’ll also be debt free from your previous mortgage, minus any tax liability you may incur.

Seeking the advice of a professional is recommended in each of these aspects of a short sale. A short sale expert realtor can negotiate the actual deal for you but you’ll need to talk to an accountant or even an attorney to make sure that you understand your tax liabilities and the impact on your credit that a short sale will create. It’s a good option if you owe more on a property than you can afford to pay or that it is worth. Just make sure you know what you’re getting yourself into and what the consequences and benefits of your actions are.

Tags: REALTOR, selling my home, short sale, short sale expert

Why Buy a Foreclosure? A Real Estate Agent’s Response.

As a real estate agent I am always getting clients that ask me to search for foreclosed properties for them.   When I ask them why they are looking for a foreclosure, the answer is always that they want to find a good deal.

Well, listen up!  Foreclosures may have brought home prices down, but all the homes on the market are competing against each other.  And in order to be competitive, you will find regular home sales and short sales priced the same.  There really isn’t the big price difference that buyers are hoping for.

And there’s more.  When you are dealing with banks in foreclosures and short sales, the majority are not taking care of repairs, so my buyers may end up paying for garage doors not working, termite infestation, etc.  That adds up.

Then there is the additional financial burden buyers are often faced with when buying a foreclosed property – landscaping.  Water is often turned off in a foreclosed property.  The grass is dead, and plants have died off.  Re-landscaping can be costly. 

And finally, some people who have been foreclosed on are angry.  They take door knobs off doors, pull the lighting fixtures, remove sinks and toilets, and even kitchen appliances.  Many times big items are calculated into the asking price, but most of the smaller items aren’t. 

So, if I was out buying a home today, what would I choose to look for?  A regular sale.  Skip the foreclosures!

Tags: agent, foreclosure, real estate agent, regular sale, short sale

Home Sales in Rancho Carrillo, Carlsbad

Sales in Rancho Carrillo, Carlsbad are up 20% – when comparing the 4 month period of  January to May 2009 to the 4 month period of May to September.  The average time a home was on market in the first part of the year was 59 days, compared with the more recent 56 days.  The average sales price was $526,000 to $556,000 in more recent months.  The total number of homes sold in Rancho Carillo sold since January is 45.

Tags: average sales price, carlsbad, days on market, home sales, rancho carrillo, sales, sales price

Can’t Afford Carlsbad? Try Shadowridge!

Most clients I get looking to buy in North County, choose Carlsbad as their first pick.  Good schools, great recreation opportunities, proximity to the ocean, conforming neighborhoods, all add to the likeability and ambiance of Carlsbad.  But when it comes down to it, many realize they can’t afford their dream.

Right next door to Carlsbad, just north of Palomar Airport Road, you can take Melrose right into the heart of Shadowridge, a planned community built around a golf course.  It looks alot like Carlsbad, feels like Carlsbad, but it doesn’t have the expensive zip code that Carlsbad does! 

The average single family home in Carlsbad with 3 bedrooms and 2-3 baths, runs about $610,587.  Now compare that to the average price of a single family home, same size, in Shadowridge at $403,595!

So, if your budget can’t handle Carlsbad, shop next door at Shadowridge in the 92081 zip code area.  I think you might be surprised.

Tags: carlsbad, Carlsbad homes, compare prices, shadowridge

Avoiding a Home Inspection Nightmare

Last week my client hired a home inspector to inspect the home she is looking at purchasing.  I had given her 3 references, but she wanted to use someone she was familiar with.  Sounded good to me . . .

During the home inspection I started to become concerned, because there was no review with my client of what his inspection would and would not cover and whether he would review the results with us or not.  In other words, no introduction to the work he was going to perform.

Well, okay, maybe I am picky, but I like a professional start. . . and a professional wrap up – which there wasn’t.  He just started to leave!  I stopped him and requested a summary of what he found, and he wasn’t prepared to give me one.   So he left.

The next day we did get the report.  I liked the layout and photos which always help when there is a problem.  But then I noticed some surprises, like the brand new dishwasher wasn’t working, the heater wasn’t working, and there was a leak in the bathroom shower.  Yikes!

So I sent a copy of the report to the sellers agent and identified the issues pointed out by the home inspector.  He was a little surprised too.  He went immediately over to the home and did a quick inspection on the dishwasher and heater.  What did he discover?  They work!

There’s more. 

Later we learned from the seller’s disclosures that the home had polybutelene piping.  At this point I wasn’t too surprised to see that the  home inspector said it was copper piping.  I had lost all faith in the inspection that was performed.  I didn’t feel I could trust any of it. 

This hasn’t been a pleasant experience for anyone.  So, to avoid finding yourself in a similar situation, here are some tips on finding a good home inspector:

1. Ask for their credentials.  Personally, I recommend to my clients that a home inspector is either CREIA or ASHI certified. 
2. Second, ask your agent for referrals.  We work with these people all the time and know good inspectors.  You can still choose to use someone else, but if you don’t know how to interview an inspector, let your agent help you.
3. Find out what is and what is not included in an inspection.  Most people aren’t aware that the roof and many other items are not in the scope of what will be inspected, and after the inspection, it might be suggested that they hire 2 or 3 more inspectors!
4. Request a sample copy of a home inspection report.  It should be easy to read, preferably have photos of problems, and a summary section that identifies items that need attention.
5. Ask for referrals from satisfied clients.  If they are credible, they will have them for you.
6. Ask about what kind of guarantee they will provide for the inspection they are going to do for you.  (The people I use provide a 90 day guarantee.)

Buying a home is a big investment.  My recommendation?  Take the time to get a qualified home inspector whose findings you can trust!

Tags: agent, buying a home, good home inspector, home, inspection, real estate, REALTOR

Tips on having a great experience at the Moonlight Amphitheatre, Vista CA

I was really excited to go to the Moonlight Amphitheatre this summer.  The new construction on the Stage House was finished and I looked forward seeing Phantom.  I live about 3 miles from the Moonlight and if I was quietly standing in my backyard at night, I could actually hear the singing!  The sound system must be spectacular!

I wasn’t disappointed.  It turned out to be a perfect summer night with the moon and Mars in the sky.  Good friends, good food, and great wine made it complete.

Now I do have some secrets to share with you about how to have a great experience at the Moonlight.  First, getting out after the show is over can be a bit of a drag, with cars lined up trying to get out of the parking lot.  So my first tip on having a great evening is to park on Via Christina on the north end of the loop.  There will be a walkway between two homes that puts you right below the theatre.  When you leave, you won’t be waiting in line for a half hour to get out.

Second tip is that if you want good seats and don’t want to wait in line an hour or more before the gates open (which many people do), buy a seat instead of the lawn ticket.  It’s only a few bucks more, but it’s worth it.  Then you can arrive around 6:30-7:00, and go right in.  You can still picnic on the lawn, but you don’t have to worry about not having a good seat.  When the show starts, just scoot into your seats you bought!

Tags: homes for sale, moonlight amphitheatre, REALTOR, summer activies, theater, vista

Best Kept Secret in Carlsbad – It’s Airport!

One of the best kept secrets in Carlsbad is the Palomar Airport.  If you live or work in North County, why commute an hour (or more) to fly out of San Diego, fighting traffic and paying for parking, when you have the convenience of Palomar?  And there still isn’t a fee being charged for parking!

When I tell clients about the airport, most are surprised to learn that Palomar airport is one of the nation’s busiest single runways with a historical peak of 225,000 operations!

Carlsbad airport is continuing to open up new direct flights.  For most of the cross country travel I have done, I take a smaller plane up to LA, and then get a direct flight from there.  Two airlines currently fly out of Carlsbad – United and American West.  As it grows, more and more services are coming to Palomar Airport, including car rentals, now available through Avis. 

So next time you are planning a trip to Carlsbad, think twice about San Diego airport!

Tags: airport, carlsbad, carlsbad airport, palomar airport

7 Tips for Cleaning Up Your Credit

My clients know that in order to get a good loan, they need a good credit score.  But what most people don’t know is how to improve your score.    Here’s a few tips:

1. Clean up credit mistakes.  Get a copy of your credit score and review it to make sure it is accurate.  You might be surprised at what you find out.  Anything negative on your credit should not be visible after 7 years (or 10 years if it’s a bankruptcy). 
2. Don’t close unused accounts.  This is a common myth.  It won’t help your score to close them, but it might actually hurt your credit score.
3. If you do cut up credit cards, cut up the newer ones and save the older ones.
4. The fastest way to raise your credit score is to pay down balances.  That’s pretty obvious though. . .
5. Forget the grace periods to make payments!  Pay your debts before it’s due.
6. Keep your balances low.  (Okay, that’s kind of obvious too.  But some people might actually miss that!)
7. Don’t let a card max out.  Spread charges over several credit cards.

Remember, a small difference on your credit score might mean a big difference on your mortgage payment.

Tags: agent, buying a home, homes, real estate, real estate agent, REALTOR