Will Bank of America Lower The Balance of Your Mortgage Loan?

Bank of America is offering…PRINCIPAL REDUCTIONS!

You read that right..the nations largest lender is now going to offer a program to bail out underwater owners…here are the details directly from BofA:   CALABASAS, Calif. — Bank of America, a leader in developing and carrying out programs to help financially distressed homeowners, is leveraging the federal government’s Hardest Hit Fund (HHF) initiative to begin pilot programs of principal reductions for customers in Arizona who owe considerably more on their mortgage than their property is worth in today’s depressed market.

The bank has become the first major mortgage servicer to send letters of interest to homeowners who may qualify for HHF-supported principal reductions in these states. Previously, Bank of America began testing and implementing new programs for unemployed homeowners in several other states receiving HHF support.

“Bank of America remains committed to helping distressed borrowers remain in their homes through a variety of programs,” said Terry Laughlin, executive vice president. “Since the Obama administration established the Hardest Hit Fund (HHF) initiative one year ago, Bank of America has worked closely with both the Department of Treasury and state housing agencies to design and implement the program to provide interim payment assistance to unemployed borrowers, as well as funding for loan modification assistance to delinquent borrowers. We are excited this program is coming to fruition.”

Through the Arizona pilot program, Bank of America customers experiencing financial hardship may be eligible to have the amount owed on their mortgage reduced through matching contributions from the state and from participating mortgage investors. Bank of America has begun mailing letters to customers in those states who may qualify for the assistance based on state program and investor guidelines. The offers are being made proactively in conjunction with the solicitation process for the federal government’s Home Affordable Modification Program.

Bank of America also is finalizing processes for a pilot principal reduction program with the Nevada Affordable Housing Assistance Authority and is in advanced discussions with the California Housing Finance Agency to begin a pilot program with that state.

Bank of America established its leadership in providing solutions for severely underwater homeowners last spring with an innovative principal forgiveness program for eligible customers under its own National Homeownership Retention Program. HHF will provide assistance to additional homeowners who, mainly due to drastic decreases in home values in the last three years, are upside-down on their mortgages.

The HHF unemployment program offers qualified borrowers mortgage payment assistance for up to 36 months while they are unemployed, depending on state program guidelines. Bank of America is currently involved in pilots of unemployment assistance programs in California, North Carolina, South Carolina, Ohio, Oregon, Lee County, Florida, and Washington, DC. Customers who are interested in these programs should work with their state housing finance agencies to determine their eligibility.

Bank of America will continue expanding these programs on a state-by-state basis as agreements are reached with interested housing finance agencies in other HHF-grant states. All HHF programs are targeted to low- and moderate-income homeowners, and eligibility also depends on investor participation.

Bank of America is one of the world’s largest financial institutions, serving individual consumers, small- and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 57 million consumer and small business relationships with more than 5,800 retail banking offices and approximately 18,000 ATMs and award-winning online banking with 29 million active users. Bank of America is among the world’s leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 4 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations in more than 40 countries.

When is Bofa going to start the pilot program in California? I hope it happens soon, since there is still plenty of homeowners in distress that need help as soon as possible.

FIND HOMES ON PROBATE, SHORT SALES AND BANK OWNED HOMES HERE

Bank Repossessions Down 29% Over 12 Months

Foreclosure filings experienced their eighth straight month of declines, according to RealtyTrac.In May, filings fell 33% from a year earlier and 2% month-over-month, according to the online marketplace of foreclosed properties. The number of homes that were repossessed (referred to as REOs or real estate-owned properties) in May also declined to 66,879, down 3.8% from April and 29% year-over-year, the firm said.

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The huge year-over-year drop in foreclosures doesn't necessarily mean the housing market is staging a recovery, however, James Saccacio, the CEO of RealtyTrac, says the declines are likely due to lingering effects of the "robo-signing" scandal, which broke last September, when it was discovered that banks were playing fast and loose with foreclosure documents.

In some cases, it was found that banks brought foreclosure proceedings upon homeowners when they had no standing to do so. Sloppy paperwork sometimes made it impossible to tell which entity was the rightful owner of the mortgage notes.

To help fix the mess, foreclosure proceedings were temporarily suspended. Even though the suspension has since been lifted, the pace of foreclosures remains significantly slower as banks more thoroughly review each case to ensure they are being handled legally and properly.

"Foreclosure processing delays continue to mask the true face of the foreclosure situation," said Saccacio. "Lenders are somewhat unevenly pushing batches of bad loans through foreclosure as they overhaul their paperwork and documentation procedures."

There's another factor at play, as well. The banks can't sell the homes they've already seized so they aren't as incentivized to repossess more homes.

"[There's] weak demand from buyers, making it tough for lenders to unload their REO inventory," said Saccacio. "Even at a significantly lower level than a year ago, the new supply of REOs exceeds the amount being sold each month."

The banks don't want to take on the expense of maintaining the homes -- property taxes, heating costs, repairs and insurance -- if they can't sell them quickly.  Selling off the inventory of repossessed homes is crucial to the housing market, said Jim Gillespie, CEO of Coldwell Banker. Sold at steep discounts, REOs compete with new homes for buyers and have severely depressed new home sales.

0:00 / 2:33 Foreclosure City, USA

"That's a critical element for the economic recovery," said Gillespie. "If new homes were selling anywhere close to their levels of five years ago, it would add a full point to the GDP."

The steepest drops in filings have come from judicial states, ones in which the courts are involved in repossessions. In these states, where foreclosure proceedings are subject to the scrutiny of the courts, it appears banks are taking special care to make sure they've stamped out the last vestiges of the robo-signing issues.

Nevada, where most cases are handled outside of court, continued to be foreclosure central. One of every 103 households received a notice of some kind in May. However, that was an improvement of 23% compared with May 2010. Arizona, with one filing for every 210 households, and California, one for every 259, were second and third.

The judicial state of Florida, where the housing market is no better, has seen a much greater drop-off in filings over the past year, down 62%. It now has the eighth highest foreclosure rate, of one filing for every 461 households. A year ago, it was in the top four, along with the other "Sand States." provided by cnn money.

Even though bank repossessions are down they are still going on since the unemployment rate is still high in the US up to 9.1%, Florida at 10.6% and California at 11.7%. When employment goes down then the repossession are going to be down as well.

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Los Angeles Home and Condo Sales Statistics as of 062411

As you can see the number of condo and condos sale in May 2011 went down 25% and the price also came down 9%. The home and homes market in May 2011 the number of units went 19% and the price went down 8%. That is showing us that the  market has slowed that a little bit and he reason are as follow: The bank are nor releasing all the foreclosures at once, that's why the number of units sold in going down.

Single Family Residence
Time Period	Number of Sales	Median Sale Price
May 2011	4,178	$324,000
May 2010	5,154	$350,000
Apr 2011	4,297	$333,000
Apr 2010	4,619	$335,000
2011 YTD	22,074	$325,000
2010	52,172	$340,000

Condominium
Time Period	Number of Sales	Median Sale Price
May 2011	1,312	$300,750
May 2010	1,731	$339,000
Apr 2011	1,378	$290,000
Apr 2010	1,408	$316,000
2011 YTD	7,293	$295,000
2010	17,507	$320,000

Mortgage Relief For Home Owners

Mortgage Workouts, Now Tax-Free for Many Homeowners; Claim Relief on Newly-Revised IRS Form


WASHINGTON — Homeowners whose mortgage debt was partly or entirely forgiven during 2007 may be able to claim special tax relief by filling out newly-revised Form 982 and attaching it to their 2007 federal income tax return, according to the Internal Revenue Service.

Normally, debt forgiveness results in taxable income. But under the Mortgage Forgiveness Debt Relief Act of 2007, enacted Dec. 20, taxpayers may exclude debt forgiven on their principal residence if the balance of their loan was $2 million or less. The limit is $1 million for a married person filing a separate return. Details are on Form 982 and its instructions, available now on this Web site.

“The new law contains important provisions for struggling homeowners,” said Acting IRS Commissioner Linda Stiff. “We urge people with mortgage problems to take full advantage of the valuable tax relief available.”

The late-December enactment means that reporting procedures for this law change were not incorporated into tax-preparation software or IRS forms. For that reason, people using tax software should check with their provider for updates that include the revised Form 982. Similarly, the IRS is now updating its systems and expects to begin accepting electronically-filed returns that include Form 982 by March 3. The paper Form 982 is now being accepted, but the IRS reminds affected taxpayers to consider filing electronically, which greatly reduces errors and speeds refunds.

The new law applies to debt forgiven in 2007, 2008 or 2009. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, may qualify for this relief. In most cases, eligible homeowners only need to fill out a few lines on Form 982 (specifically, lines 1e, 2 and 10b).

The debt must have been used to buy, build or substantially improve the taxpayer's principal residence and must have been secured by that residence. Debt used to refinance qualifying debt is also eligible for the exclusion, but only up to the amount of the old mortgage principal, just before the refinancing.

Debt forgiven on second homes, rental property, business property, credit cards or car loans does not qualify for the new tax-relief provision. In some cases, however, other kinds of tax relief, based on insolvency, for example, may be available. See Form 982 for details.

Borrowers whose debt is reduced or eliminated receive a year-end statement (Form 1099-C) from their lender. For debt cancelled in 2007, the lender was required to provide this form to the borrower by Jan. 31, 2008. By law, this form must show the amount of debt forgiven and the fair market value of any property given up through foreclosure.

The IRS urges borrowers to check the Form 1099-C carefully. Notify the lender immediately if any of the information shown is incorrect. Borrowers should pay particular attention to the amount of debt forgiven (Box 2) and the value listed for their home ( Box 7).

Note: Legislation enacted in October 2008 extended this relief through 2012. Thus this relief now applies to debt forgiven in calendar years 2007 through 2012.

Related Items:

Frequently asked questions on the Mortgage Forgiveness Debt Relief Act

Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness

1099-C

Publication 4681, Canceled Debts, Foreclosures, Repossessions, and Abandonments

For more update information on the Mortgage Relief Act check the Irs website: http://www.irs.gov/

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To All Fathers

I WISH TO ALL FATHERS

A

HAPPY FATHER'S DAY

FROM YOUR REAL ESTATE ADVISOR

I Invite You To Check My Newsletter

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Alberto Pacheco's Newsletter

Steps To Follow When Buying a Home

Buying a home can be stressful. There are so many questions to be answered and decisions to be made, such as where you should live, what can you afford, and how do you find a real estate agent. Eventually, a whole new set of questions start coming, like, what color should you paint the kitchen? Thankfully, there are more tools than ever to help buyers answer these questions right from the get-go. To make your home shopping process, from shopping to moving in, easier and less stressful, follow these tips:


Personal Finances – Make sure you’re financially ready to take on home ownership before you meet with an agent or starting looking at homes. That means cleaning up your credit and saving enough money for a down payment (20 percent is ideal), and extra costs like home insurance, property taxes and closing fees. Boost your credit score with help from an app like BillTracker which helps you manage when your monthly bills are due. A site like Mint.com lets you create a budget with specific savings goals in mind, such as buying a house.

Where to Live - Before you start looking at specific homes, narrow down the neighborhoods you’d like to live in based on your lifestyle. Transit Score can help you understand your commuting options, Walk Score will show you how many amenities, like shops and restaurants, are within close proximity, and Zillow Real Estate Market Reports lets you compare what’s happening with home value trends in different neighborhoods. But, don’t stop there. Continue your research when you are driving around town, by using real estate apps for iPhone, BlackBerry or Android to get a sense for home prices in different areas.

Finding an Agent - Hiring the right agent can be one of the most important decisions you will make during the home buying process. The right agent can save you precious time and money. So, in addition to following a recommendation from a friend or co-worker, check out local agent ratings and reviews. It’s helpful to know the experiences that other people have had working with a particular agent.

What Can You Afford? – When you’re standing in the living room of your dream home it’s easy to get caught up in the emotions of such an important investment. Before that happens, get a financial reality check using an app like the Zillow Mortgage Marketplace iPhone App to help you figure out if you can afford the home and how the mortgage payment would affect your monthly budget. Once you’re ready, you can get personalized loan quotes and then contact a lender to start the pre-approval process right from your phone.

Moving - Nobody likes moving. It’s a never-ending process with so many details to tie up. Thankfully, apps like Moving List, (iPhone, iPad) Moving Checklist (BlackBerry) and Moving Planner (Android) can help you get organized. These apps come with pre-populated to-do lists that you can edit and organize by categories or dates. Some even help you decide what to pack and what to throw away.


Decorating – You’ve bought the house, the boxes are unpacked, and now comes the fun part – decorating your house to reflect your personal style. And do-it-yourself home decorating has never been easier. A site like Decomash allows you to take a photo of your living space with your iPhone and the app will find complementary artwork that matches your room. Sherwin Williams Color Snap enables you to capture real-world colors and match them to one of 1,500 Sherwin Williams paint colors.

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Interest Rate For This Week

Fixed and adjustable-rate mortgages sank to new lows for the year, continuing a downward spiral for the eighth straight week, Freddie Mac reports in its weekly mortgage market survey.

Here’s a closer look at how rates fared for the week:

▪ 30-year fixed-rate mortgages averaged 4.49 percent this week, down from last week’s 4.55 percent average. A year ago at this time, 30-year rates averaged 4.72 percent.

▪ 15-year fixed-rate mortgage rates averaged 3.68 percent--its lowest level since November 2010. A year ago at this time, the 15-year rate averaged 4.17 percent.

▪ 5-year adjustable-rate mortgages averaged 3.28 percent this week, slipping from last week’s 3.41 percent average. A year ago at this time, the 5-year ARM averaged 3.92 percent.

LOW PRICED HOMES FOR SALE IN THE SAN FERNANDO VALLEY

Short Sales Tips For Seller

If you're thinking of selling your home, and you expect that the total amount you owe on your mortgage will be greater than the selling price of your home, you may be facing a short sale. A short sale is one where the net proceeds from the sale won't cover your total mortgage obligation and closing costs, and you don't have other sources of money to cover the deficiency. A short sale is different from a foreclosure, which is when your lender takes title of your home through a lengthy legal process and then sells it.

1. Consider loan modification first. If you are thinking of selling your home because of financial difficulties and you anticipate a short sale, first contact your lender to see if it has any programs to help you stay in your home. Your lender may agree to a modification such as: Refinancing your loan at a lower interest rate; providing a different payment plan to help you get caught up; or providing a forbearance period if your situation is temporary. When a loan modification still isn’t enough to relieve your financial problems, a short sale could be your best option if:

Your property is worth less than the total mortgage you owe on it.

You have a financial hardship, such as a job loss or major medical bills.

You have contacted your lender and it is willing to entertain a short sale.

2. Hire a qualified team. The first step to a short sale is to hire a qualified real estate professional and a real estate attorney who specialize in short sales. Interview at least three candidates for each and look for prior short-sale experience. Short sales have proliferated only in the last few years, so it may be hard to find practitioners who have closed a lot of short sales. You want to work with those who demonstrate a thorough working knowledge of the short-sale process and who won't try to take advantage of your situation or pressure you to do something that isn't in your best interest. A qualified real estate professional can:

Provide you with a comparative market analysis (CMA) or broker price opinion (BPO).

Help you set an appropriate listing price for your home, market the home, and get it sold.

Put special language in the MLS that indicates your home is a short sale and that lender approval is needed (all MLSs permit, and some now require, that the short-sale status be disclosed to potential buyers).

Ease the process of working with your lender or lenders.

Negotiate the contract with the buyers.

Help you put together the short-sale package to send to your lender (or lenders, if you have more than one mortgage) for approval. You can’t sell your home without your lender and any other lien holders agreeing to the sale and releasing the lien so that the buyers can get clear title.

3. Begin gathering documentation before any offers come in. Your lender will give you a list of documents it requires to consider a short sale. The short-sale “package” that accompanies any offer typically must include:

A hardship letter detailing your financial situation and why you need the short sale

A copy of the purchase contract and listing agreement

Proof of your income and assets

Copies of your federal income tax returns for the past two years

4. Prepare buyers for a lengthy waiting period. Even if you're well organized and have all the documents in place, be prepared for a long process. Waiting for your lender’s review of the short-sale package can take several weeks to months. Some experts say:

If you have only one mortgage, the review can take about two months.

With a first and second mortgage with the same lender, the review can take about three months.

With two or more mortgages with different lenders, it can take four months or longer.

When the bank does respond, it can approve the short sale, make a counteroffer, or deny the short sale. The last two actions can lengthen the process or put you back at square one. (Your real estate attorney and real estate professional, with your authorization, can work your lender’s loss mitigation department on your behalf to prepare the proper documentation and speed the process along.)

5. Don't expect a short sale to solve your financial problems. Even if your lender does approve the short sale, it may not be the end of all your financial woes. Here are some things to keep in mind:

You may be asked by your lender to sign a promissory note agreeing to pay back the amount of your loan not paid off by the short sale. If your financial hardship is permanent and you can’t pay back the balance, talk with your real estate attorney about your options.

Any amount of your mortgage that is forgiven by your lender is typically considered income, and you may have to pay taxes on that amount. Under a temporary measure passed in 2007, the Mortgage Forgiveness Debt Relief Act and Debt Cancellation Act, homeowners can exclude debt forgiveness on their federal tax returns from income for loans discharged in calendar years 2007 through 2012. Be sure to consult your real estate attorney and your accountant to see whether you qualify.

Having a portion of your debt forgiven may have an adverse effect on your credit score. However, a short sale will impact your credit score less than foreclosure and bankruptcy.

 

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Scammers Are Using For Sale Home Listings as Rentals

Some home owners are getting a surprise when a person shows up on their doorstep, with a lease agreement in hand, saying that he or she is renting out their home, which isn’t for rent but for sale.

Law enforcement and real estate professionals are finding a growing scam involving for-sale listings being promoted as rentals--without home owners’ consent.

Scammers are taking listing information of homes for-sale--including photos--and then reposting that information on rental sites and tweaking it to pass the home off as a rental. The scammers then use a fake lease agreement and collect rent from unsuspecting consumers.

And when the scammers don’t present keys for the property, they give the unsuspecting renter permission to call a locksmith to gain access to the home.

Les Sulgrove, president of the Des Moines Area Association of REALTORS®, recently issued a warning to association members about the scam. He suggested real estate professionals set up Google alerts for the home addresses they’re listing so they’ll learn if their clients’ information is being misused on another site.

“All it takes is cutting, pasting, and changing some key pieces of data,” Geoff Greenwood, spokesperson for the Iowa Attorney General’s office, told the Des Moines Register. “People find out the hard way what they paid for wasn’t for sale or for rent.”

Source: “Growing Online Scam Uses Legitimate for-sale Home Listings to Trick Renters,” Des Moines Register (June 5, 2011)

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El Gobierno Esta Presentando Una Ayuda Para Los Propietarios de Casa En Problemas

Noticias de última hora: Nuevo Programa de Obama rescata a los propietarios bajo el agua


05 de junio 2011 · Deja tu comentario Su fácil de leer esta historia y ser escéptico ... después de todo, 2012 es un año electoral. Muchos verán este programa propone como nada más que una buena compra de edad votación de moda .... Sin embargo usted lo ve, principales deducciones saldo de la hipoteca están de vuelta en el juego.   .. Eso es correcto, el programa de patrimonio neto negativo está de vuelta sobre la mesa.

¿Hay alguna forma en que algo como esto va a suceder dado el republicano (y Tea Parties) intentó pasar a un enfoque más conservador para el gasto? Recuerde que la gente, este es SU dinero del pagador de impuestos el dinero ... ... que se va a reducir los saldos de capital de la hipoteca.

Comparte tus pensamientos .. es hora de rescatar a los propietarios de viviendas?

La administración Obama quiere ayudar a más estadounidenses que luchan permanecer en sus hogares mediante la reducción de la cantidad que debe en sus hipotecas en problemas, un alto funcionario del Tesoro dijo el sábado.

"Estamos definitivamente tratando de facilitar la reducción de más capital," dijo Timothy Massad, en calidad de secretario adjunto del Tesoro para la estabilidad financiera. "Es una pieza muy importante de la solución global", dijo.

El gobierno está intentando a través de programas financiados por los contribuyentes para evitar que los propietarios pierdan sus casas. Casi $ 50 mil millones han sido retiradas del rescate de los bancos 700 mil millones dólares conocido como Programa de Alivio de Activos en Problemas, o TARP, para ayudar a propietarios en dificultades.

La persistencia de alto desempleo y un débil mercado de la vivienda suponen una amenaza para las perspectivas del presidente Obama reelección el próximo año.

Hasta ahora, uno de los programas ha ayudado a unos 670.000 propietarios en dificultades ganar más bajos pagos de la hipoteca. Pero eso ha hecho muy poco para ayudar al mercado de la vivienda en general, que se mantiene deprimida como en otras partes de la economía han comenzado a recuperarse.

Un exceso de casas en venta, las ejecuciones hipotecarias, la escasez de crédito y la demanda poco han impedido la recuperación de la vivienda. Los datos recientes muestran que los precios cayeron por debajo de la casa baja visto en abril de 2009 durante la crisis financiera.

"Este ha sido un mercado de la vivienda muy, muy difícil como consecuencia del hecho de que pasamos por una crisis financiera terrible", dijo Massad periodistas en el marco de un evento de prevención de ejecuciones hipotecarias en Washington.

Uno de los programas de la administración ayuda a propietarios en dificultades evitar la ejecución hipotecaria, proporcionando modificaciones permanentes préstamo.

Otro programa, el aumento gradual de ahora, da a los estados que han sido los más afectados por la caída de precios de las casas de financiación para ayudar a reducir el principal del préstamo de un prestatario, entre otras cosas.

"Creo que los va a hacer una gran diferencia en cuanto a los problemas de los propietarios de viviendas desocupados y la caída de precios de la vivienda", dijo Massad. Sin embargo, agregó que el proceso fue complicado.

CASAS DE PRECIOS BAJO A LA VENTA EN EL CONDADO DE LOS ANGELES

Zig Ziglar Quote

It's not what you've got, it's what you use that makes a difference.

Zig Ziglar

 

 

 

Homes For Sale, Real Estate News, Downpayment Assistant Programs, Property Taxes

Some Wise Quotes

You are brave...when you overcome your fear and help others to do the same.


You are happy...when you see a flower and are thankful for the blessing.

You are loving...when your own pain does not blind you to the pain of others.

You are wise...when you know the limits of your wisdom.

You are true...when you admit there are times you fool yourself.

You are alive...when tomorrow’s hope means more to you than yesterday’s mistake.

You are growing...when you know what you are but not what you will become.

You are free...when you are in control of yourself and do not wish to control others.

You are honorable...when you find your honor is to honor others.

You are generous...when you can take as sweetly as you can give.

You are humble...when you do not know how humble you are.

You are merciful...when you forgive in others the faults you condemn in yourself.

You are beautiful...when you don’t need a mirror to tell you.

You are rich...when you never need more than what you have.

You are you...when you are at peace with who you are and are not.

Homes For Sale, Mortgage Loans, Real Estate News

Investors Will Dominate The Real Estate Market In the Next Two Years

Investors are expected to outnumber traditional home buyers three to one in the next two years, according to a national survey by Move Inc.

These investors also are ready to compete with traditional first-time home buyers to snag the best deals. About two-thirds of investors say they expect the problems that first-time buyers are having with financing and getting mortgages will work in their favor in competing for properties. One in five investors say they plan to purchase properties using cash-only and 80.5 percent expect cash discounts on properties from sellers.

Some additional findings from the Move Investor survey about this growing segment of home buyers are:

--43.5 percent of investors expect it to get more difficult to find housing bargains in the coming months. Twenty-two percent expect prices to rise in the next six to 12 months, while 53 percent expect prices to stay relatively flat.

--Half of the real estate investors surveyed say they plan to hold their properties for five years or more. Only 11 percent expect to sell within 12 months of buying it.

--Nearly half of the investors surveyed expect a profit of 20 percent or more from their investment, 40 percent expect a profit of 10 percent, and 6.5 percent expect a 5 percent or less return on investment.

--Nearly half of investors say they plan to live in their investment property until it's sold or turned into a rental property.

--About 56 percent of investors plan to turn their investments into rental properties. Also, the survey found that 28 percent plan to purchase a vacation property and 30 percent reported an interest in buying retirement property as an investment.

--Nearly 60 percent of investors say they're new to real estate investing. About 33 percent are considering their first investment purchase and 8.5 percent are in the process of buying and selling their first investment property. Of those surveyed, only 36.5 percent had experience in more than one property transaction.

"This data suggests today's climate is hot for investing and is attracting a lot of new people that don't fit the stereotypical deal-driven flippers that buy and sell properties quickly," says Steve Berkowitz, Move Inc. chief executive officer. "They're mostly entrepreneurial individuals that will make vital contributions to local communities by investing their own money and sweat equity to improve and maintain properties. These personal sacrifices made over the long run will help improve housing stocks, home values, property tax bases, and thousands of local communities."

Source: “New Survey Shows Local Real Estate Markets Heat Up With Investors,” Move.com (May 26, 2011)

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Is the Fha Down payment Going To Increase To 5 % ?

Republicans on the House Financial Services Committee have drafted legislation that would raise the minimum down payment for FHA mortgages to 5 percent, cut FHA loan limits in most markets, and move the Agriculture Department's rural housing program to FHA's parent agency, HUD.


Though the draft bill has not been introduced, titled or assigned a number, it is expected to be the main subject of a hearing Wednesday before the Subcommittee on Insurance, Housing and Community Opportunity, chaired by Rep. Judy Biggert, R-Ill. After that, the bill is likely to be formally introduced and sped through subcommittee and committee votes and head for action by the full House.

The text of the draft bill appears to be a partial answer from House Republicans to the Obama administration's call earlier this year for a smaller federal government footprint in housing.

By lowering maximum FHA loan limits in large numbers of local areas -- well below even the limits that are already scheduled to kick in Oct. 1 -- the bill would squeeze down FHA loan volume across the country, cutting a resource for some home purchasers who can't obtain a conventional mortgage.

Here are some examples of current FHA loan ceilings, how they're scheduled to adjust in October, and where they'd end up under the Republican plan:

•In Los Angeles County, the present high-cost area maximum is $729,750, which was set by the federal economic stimulus legislation passed by Congress following the financial crisis of 2008. That ceiling is scheduled to drop to $625,500 Oct. 1. Under the new bill, however, the maximum FHA-insured loan amount allowed in Los Angeles would be $412,500 -- a $317,250 plunge from the current limit and $213,000 below the scheduled reduction this fall.

•Other counties in high-cost California would experience even sharper declines, such as Monterey, where the maximum would decline by $436,000 and Contra Costa, where the drop would be $379,750. Every county in California -- from big urban communities to rural areas -- would be on the losing end of the new FHA equation, and most reductions would be in the six figures.

•The lower limits would be significant in other states as well. Monroe County, Fla., would see maximum FHA loan limits go from $729,750 to $425,000. Under the scheduled Oct. 1 statutory decrease, the county -- which comprises the Florida Keys -- would have a $529,000 maximum. Sarasota, Fla., would see a $261,250 drop under the bill, Miami-Dade a decrease of $161,250, and Orange County (Orlando) limits would decline by $128,750.

•Large counties in the high-cost areas around Washington D.C. would see FHA limits drop by anywhere from $398,500 (Prince George's, Md.) to $366,250 in Baltimore. Most New England and mid-Atlantic states would end up with lower loan ceilings along with major markets in the Midwest and the Rocky Mountain states.

The FHA loan limit formula would be revised to 125 percent of the median home sale price in the local county under the bill, and the current $271,050 floor for loan limits nationwide would disappear.

Though major housing, real estate and lending groups had no comments pending the Wednesday hearing, they are likely to oppose the sharp cuts in loan limits.

Mortgage industry consultant Brian Chappelle, head of Potomac Partners in Washington, D.C., is scheduled to testify at the hearing and told Inman News that the higher loan ceilings are a bad idea.

Audits of FHA loan performance, Chappelle said, repeatedly have shown that higher-balance mortgages default and trigger claims against FHA's insurance funds at lower rates than smaller-balance loans.

"FHA is essentially an insurance company," he said, "and you need those (higher-balance) loans to spread the risk," just as private sector insurers do.

The Republican bill's call for a 5 percent minimum down payment on FHA loans also is likely to draw criticism from industry groups.

The National Association of REALTORS® and the National Association of Home Builders have opposed such a move in the past, arguing that there is no statistical evidence that adding 1.5 percent onto the current 3.5 percent minimum would significantly affect default probabilities of new FHA loans.

However, the higher down payments, along with the bill's prohibition of financing of closing costs, would make home purchases more difficult for substantial numbers of consumers.

Chappelle estimates that "40 percent of FHA borrowers would fall out" -- unable to afford the transaction -- "if they go to 5 percent down."

The bill also proposes shifting the Agriculture Department's rural housing program to the U.S. Department of Housing and Urban Development. A Republican staff member said "HUD has the housing responsibility and the expertise," so the change is logical.

However, proponents of the rural housing programs may not want to risk being swallowed up in an urban-oriented agency, nor is the Agriculture Department likely to want to lose a chunk of its traditional turf.

Where's the bill headed? Republicans say they are merely seeking to move the agenda they share with the Obama administration -- the smaller footprint concept -- which is, in turn, part of a larger agenda to phase out Fannie Mae and Freddie Mac.

Passage of the bill by the full House appears to be a real possibility, as Republicans are in control on that side of Capitol Hill.

But all bets are off in the Senate, where Democratic support for continuing FHA's role in the market is far stronger, and where dramatic cuts in loan limits in places like California, New York, Massachusetts and the East Coast's expensive markets likely won't fly.

Ken Harney writes an award-winning, nationally syndicated column, "The Nation's Housing," and is the author of two books on real estate and mortgage finance.

Alberto Pacheco

Realtor Calbre Lic 01200694

818 481 9211

Keller Williams Porter Ranch

Real Estate Consultant

http://www.granadahills.kwrealty.com  Real Estate News, Mortgages, Trends

Blog: www.losangelescountyrealestate.blogspot.com

albertopachecorealtor@gmail.com

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How do I know when is the best time to invest?

Very often I hear potential homebuyers ask the following questions:


• Is this the best time to buy a home or should I wait?

• I hear home prices are still declining and rates are going to be even lower, should I wait?

• What if I buy a home and prices go down, am I going to lose my home?

When we decide to invest, the first thing that we must accept is the fact that no one really knows when the absolute bottom of the market will be, or exactly when the market trends will change, until after it happens; still not sure? Let’s analyze what happened a few years ago:

1. The largest investment bankers of the country lost hundreds of billions of dollars funding risky loans based on the belief that homes would continue to appreciate in value and they didn’t

2. When the financial crisis started, most “experts” predicted that this was going to be the smallest Real Estate bubble in history and that prices would start appreciating soon, we all know what really happened.

Some of us like to wait until we hear in the News that it is a good time to invest, however we seem to forget that Newscasts only report things that have already happened, they never predict, they only report; still in doubt? Then ask yourself, do you remember hearing any news channel reporting about the financial crisis before it happened? Of course not, we only heard of it until after it was already happening.

A second important aspect about investing is to always remember the golden rule:”buy when prices are low and sell when prices are high”, unfortunately most of us will wait to purchase until we see prices are on the way up instead of when they are down.

Now that we know the basics, let’s review the other costs associated with owning a home, to make sure that we are being responsible; you will pay hazard insurance, property taxes, mortgage insurance (if you are investing less than 20% down payment) and last but not least, the interest that you pay on your mortgage; if we take in consideration the interest, the average homeowner will have paid 3 times the price of their home after the 30 years term, financial costs (interest) is therefore the highest cost of homeownership.

In conclusion, we can safely say that a good time to invest would be the combination of low home values and low interest rates, if we acknowledge that rates are at the lowest they have been in the last 50 years and home values are 40% of the peak of the market, would you agree that we are experiencing one of the best times to invest in a home?

Ruben Romero
Camino Real Mortgage Bankers

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All men are by nature equal, made all of the same earth by one Workman; and however we deceive

ourselves, as dear unto God is the poor peasant as the mighty prince.

Plato

 
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Dale Carnegie

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New Homes Competing Against Foreclosures

Builders broke ground on fewer homes in April as the new-home sector continues to face competition from a glut of foreclosures that in many markets has brought home values down.

Construction on homes and apartments dropped 10.6 percent to a seasonally adjusted annual rate of 523,000 units, the Commerce Department reported on Tuesday. In March, housing starts reached a 585,000-unit pace (an upward revised figure). Residential construction is down 23.9 percent compared to April of last year--its largest drop since October 2009.

Considered the “volatile part” of the new-home market at the moment, construction of multifamily homes (buildings with five or more units) particularly hampered housing starts last month, decreasing 28.3 percent. Single-family home construction--which generally makes up 75 percent of all housing starts--dropped 5.1 percent from a month earlier.

Regionally, the results were mixed. In the South, housing starts dropped 23 percent and 4.8 percent in the Northeast. However, the Midwest posted a 15.7 percent gain in housing starts, as well as the West with 3.7 percent.

Permits for future home construction dropped last month, falling 4 percent to a 551,000-unit pace last month, the Commerce Department reports.

The Distressed Sales Impact

New-home construction is being weighed down by an oversupply of existing homes on the market, particularly foreclosures, experts say. Buyers are increasingly choosing bargain-priced foreclosures and previously owned homes over--in general--pricier new homes.

“Builder confidence has hardly budged over the past six months as persistent concerns regarding competition from distressed property sales, lack of production credit, inaccurate appraisals, and proposals to reduce government support of housing," NAHB Chairman Bob Nielsen said Monday in statement about the National Association of Home Builder/Wells Fargo Housing Market Index, which shows builders’ confidence about the new-home market remains low.

Source: “U.S. Housing Starts, Permits Fall in April,” Reuters News (May 17, 2011

Homes and Condos Listing Update 05-12-11

Market Watch

New Listing (919)

Price Change (1037)

Back On Market (405)

Backup Offer (436)

Expired (160)

Pending (588)

Sold (539)


AVAILABLE HOMES FOR SALE IN LOS ANGELES COUNTY

Real Estate News For May 2011

Happy Mother's Day



Granada Hills, Mission Hills and North Hills Homes Sold on 3rd Quarter of 2010

Granada Hills

Homes Sold:  128          Average Sales Price: $ 405,000   Price Change From 3rd Quater 2009: 5.2%

Condos Sold: 12            Average Sales Price: $ 257,000  Price Change From 3rd Quarter 2009: 11.6%

Mission Hills

Homes Sold: 42             Average Sales Price: $ 321,000    Price Change From 3rd Quarter 2009:  7%

Condos Sold: 3             Average Sales Price:  $ 175,000   Price Change From 3rd Quarter 2009: -12.5%

North Hills

Homes Sold: 88            Average Sales Price: $ 375,000       Price Change From 3rd Quarter 2009: 4.5%

Condos Sold: 51           Average Sales Price: $ 185,000       Price Change From 3rd Quarter 2009: 14.6%


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Foreclosures , Auctions and Preforeclosures in Granada Hills CA as of 04-28-11

GRANADA HILLS  CALIFORNIA



 10636 Haskell Ave 

10544 Haskell Ave

 11312 Haskell Ave

11114 Haskell Ave

10928 Haskell Ave

10814 Haskell Ave

11156 Haskell Ave

11033 Haskell Ave

11001 Haskell Ave

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Granada Hills Demographics, Schools, Home Values, Income, Population and More

Recent Home Value Results According To Zillow

$963K - 11586 Rancho Del Valle Granada Hills, CA 91344

$588K - 12401 Littler Pl Granada Hills, CA 91344

$457K - 17100 Signature Dr Granada Hills, CA 91344

$457K - 17100 Signature Dr Granada Hills, CA 91344

$403K - 10435 Wish Ave Granada Hills, CA 91344

$369K - 10857 Blucher Ave Granada Hills, CA 91344

$369K - 11248 Balboa Blvd Granada Hills, CA 91344

$361K - 15806 Los Alimos St Granada Hills, CA 91344

$355K - 16421 Index St Granada Hills, CA 91344

$345K - 15650 Horace St San Fernando, CA 91344


Granada Hills Demographics

Total Population: 48,863

White Population: 32,238

Black Population: 1,764

Hispanic Population: 9,985

Asian Population: 7,980

Hawaiian Population: 45

Indian Population: 227

Male Population: 23,943

Female Population: 24,920

Median Age: 37.80

Median Age of Males: 37.0

Median Age of Females: 38.6


All Schools in Granada Hills 91344

Elementary Schools

Danube Avenue Elementary
11220 Danube Ave. Granada Hills, CA 91344 (818) 366-6463

El Oro Way Elementary
12230 El Oro Way Granada Hills, CA 91344 (818) 360-2288

Granada Elementary
17170 Tribune St. Granada Hills, CA 91344 (818) 363-3188

Haskell Elementary
15850 Tulsa St. Granada Hills, CA 91344 (818) 366-6431

Knollwood Elementary
11822 Gerald Ave. Granada Hills, CA 91344 (818) 363-9558

Tulsa Street Elementary
10900 Hayvenhurst Ave. Granada Hills, CA 91344 (818) 363-5061

Van Gogh Street Elementary
17160 Van Gogh St. Granada Hills, CA 91344 (818) 360-2141

Middle Schools

George K. Porter Middle
15960 Kingsbury St. Granada Hills, CA 91344 (818) 891-1807

Patrick Henry Middle
17340 San Jose St. Granada Hills, CA 91344 (818) 363-7401

Robert Frost Middle
12314 Bradford Pl. Granada Hills, CA 91344 (818) 360-2146

High Schools

Granada Hills Charter High
10535 Zelzah Ave. Granada Hills, CA 91344 (818) 360-2361

Jane Addams Continuation
16341 Donmetz St. Granada Hills, CA 91344 (818) 360-5244

John F. Kennedy High
11254 Gothic Ave. Granada Hills, CA 91344 (818) 363-6794

Other Schools

North Valley Charter Academy
16551 Rinaldi St. Granada Hills, CA 91344 (818) 368-1557

The Economics

Average House Value: $238,100

Average Annual Household Income: $78,213

Businesses: 904

Employees: 7,593

Annual Payroll: $187,266,000

The Politics

Congressional District: 27, 25

Congressional District Land Area: 150.0, 21484.0

Sr Senator: Barbara Boxer (D)

Jr Senator: Dianne Feinstein (D)

US House Representative: Brad Sherman (D)


Alberto Pacheco
Real Estate Consultant
http://www.stoppayingrentinla.com/ Granada Hills Real Estate
htttp://www.losangelescountyrealestate.blogspot.com

Become The Best Of You When You Think At a High Level

The Key To Become

Your Very Best Is To Think

At

A Very High Level

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Did Jesus Christ Died For Your Sins?

More Than 2000 Years Ago

JESUS CHRIST

Died On The Cross To Pay For My Sins

As Well As

For Yours When You Accept Him as Your Saviour

New Bill To Speed Up The Short Sale Process

A new bill to improve the process for approving short sales may soon bring relief to distressed homeowners who are unable to keep their homes and hope to avoid foreclosure. The bill, recently introduced in the U.S. House and strongly supported by the National Association of REALTORS®, would impose a deadline of 45 days on lenders to respond to short sale requests.


The legislation, the “Prompt Decision for Qualification for Short Sale Act of 2011,” was offered in Congress by U.S. Reps. Tom Rooney (R-Fla.) and Robert Andrews (D-N.J.).

“The current short sale process can be time-consuming and inefficient, and many would-be buyers end up walking away from a sale that could have saved a homeowner from foreclosure,” said NAR President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I.

“REALTORS® and consumers continue to raise issues about delays in the short sale process, because lenders are unable to decide whether to approve a short sale. After many months of delays, and with no response from lenders, potential buyers are losing patience and cancelling their contracts, often resulting in the property entering foreclosure. A short sale minimizes the negative impact on sellers and generally costs the lender less than a foreclosure,” said Phipps.

NAR has been actively pushing the lending industry to improve the process for approving short sales, which represent about 13% of recent home sales, according to NAR data. Phipps praised Reps. Rooney and Andrews for their efforts on the bill and urged Congress to pass the bill quickly.

“As the leading advocate for homeownership and housing issues, REALTORS® want to help more homeowners avoid foreclosure by facilitating a short sale when a family is absolutely unable to keep their home; however, that can only happen if lenders and servicers approve short sale offers in a reasonable amount of time,” said Phipps. “Streamlining short sales transactions will reduce the amount of time it takes to sell the property, improve the likelihood that the transaction will close and reduce the overall number of foreclosures. This benefits sellers, lenders, buyers and the entire community.”

For more information, visit http://www.realtor.org./


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This Month in Real Estate



Fha Mortgage Insurance Premium To Rise on April 18, 2011

FHA Mortgage Insurance Premium to Rise


Leave a Comment It is about to get more expensive for people to get an FHA loan.  Back in February, HUD announced that starting April 18, when you get an FHA loan, you can expect your monthly mortgage payment to be slightly higher thanks to higher Mortgage Insurance Premiums required by HUD.

FHA Mortgage Insurance Premium: Required on All FHA Loans When you get an FHA loan, there are two types of mortgage insurance that is required to be paid by the borrower:

■Up Front Mortgage Insurance Premium (also known as UFMIP)

■Monthly Mortgage Insurance Premium (also knowns as MI or MIP)

The change to FHA mortgage insurance starting on April 18 is a change to the monthly mortgage insurance premium, or MIP. Technically, the monthly mortgage premium is calculated as an annual amount and then paid monthly — but it is often referred to as a monthly mortgage insurance premium.

How much of a change will there be starting April 18? It depends on your loan term and how much money you are putting down (which will determine your loan-to-value ratio). Here is a simple breakdown:

■15-year loans with over 90% loan-to-value = 0.50% (up from 0.25)

■15-year loans with under 90% loan-to-value = 0.25% (up from 0)

■30-year loans with over 95% loan-to-value = 1.15% (up from .90)

■30-year loans with under 95% loan-to-value = 1.10% (up from .85)

FHA MIP Rising: How Much More Expensive?

In terms of monthly mortgage payments, how much more will these changes cost the average consumer? 
Here is what someone with an FHA loan would pay if they got their loan prior to the change assuming a $200,000 loan amount with a 30-year loan and 3.5% down payment:

200,000 x .90% = $1,800 annually or $150 paid in FHA MIP each month.

And here is what they look like after the April 18, 2011 change:

200,000 x 1.10% = $2,200 annually or $183.33 paid in FHA MIP each month.

Total difference in monthly payment due to the increase in FHA MIP?   $33.33  Same FHA loan. Same FHA fixed rate. Same 30-year loan term. Same FHA lender.  Just more expensive.



Justin McHood works for Academy Mortgage and is based in Chandler, AZ.

Burbank Probate and Foreclosed Homes

Probates

2121 N Evergreen St 3BR 1BA 1048 sqft Home 6000 sqft Lot,Priced $ 387,000
445 N Orchard Drive 3BR 2BA 1380 sqft Home, 6750 sqft Lot,Priced $ 429,000

Foreclosures

1819 N Brighton St 4BR,3BA, 3101 sqft Home, 7250 sqft Lot, Priced $ 534,900
333 Victory CT 6BR,5BA, 2867 sqft Home, 5500 sqft Lot, Priced $ 567,900

This homes are available, if you are interested on any one of them, just send me an email to: gapm@juno.com or call me at: 818 481 9211.

FOR MORE HOME CHOICES CLICK HERE

Banks Commited Mortgage Fraud on Many Mortgage Loans

Do you know who really owns your mortgage?


As Scott Pelley reports on “60 Minutes” this week, that question has become a nightmare for many homeowners since the invention of mortgage-backed securities. Yes, those were the exotic investments that sparked the financial collapse in this country. And the’re still causing problems.

As it turns out, Wall Street cut corners when it bundled homeowners’ mortgages into securities that were traded from investor to investor. Now that banks are foreclosing on people, they’re finding that the legal documents behind many mortgages are missing. So, what do the banks do? As Pelley explains in this video, some companies appear to be resorting to forgery and phony paperwork in what looks like a nationwide epidemic.

Even if you’re not at risk of foreclosure, there could be legal ramifications for a homeowner if the chain of title has been lost. Watch the “60 Minutes” report and listen to Pelley’s discussion with “60 Minutes Overtime” editor Ann Silvio about the findings of his reporting team.

This is a short video that discusses the problem. Watch the entire video here:

 

Spring Real Estate Market Conditions

Optimism about the housing market isn't quite sweeping the nation, but Americans remain sold on the value of home ownership at a good time to be bullish about buying a home. With home sales and prices still falling, the spring could shape up as an opportune time to make a deal.

The housing downturn hasn't shaken consumers' resolve to consider home ownership an integral part of an American Dream, even among home owners with homes that have lost value. The eighth quarterly "Allstate-National Journal Heartland Monitor Poll: The American Dream" revealed that nearly nine out of 10 homeowners say they would buy their same homes again.

Among those with homes with lost value, the same percentage said they would buy their home again. Also, seven of 10 Americans say they would advise a friend or family member to buy a home as a long-term asset.  The spring could be a good time to take that advice.

Existing-home sales, completed transactions that include single-family, townhomes, condominiums and co-ops, dropped 9.6 percent to a seasonally adjusted annual rate of 4.88 million in February from 5.40 million in January. February 2010 sales were 2.8 percent below the pace in February 2010, according to the National Association of Realtors (NAR).

The slow sales pushed the median price down to $156,100, the lowest level since February 2002, setting the stage for spring bargains.   Some experts say the housing market is years away from a full blown recovery and the home buyer tax credit is kaput. However, improvements in employment and manufacturing and other economic sectors, bargain home prices and affordable interest rates could light a fire under buyers who've been sitting on the fence.

"Housing affordability conditions have been at record levels and the economy has been improving, but home sales are being constrained by the twin problems of unnecessarily tight credit, and a measurable level of contract cancellations from some appraisals not supporting prices negotiated between buyers and sellers," said Lawrence Yun NAR chief economist.

The Allstate survey of 1,000 Americans also found.

- Buying a home was the best investment among 24 percent, behind "investing in retirement savings" (38 percent), but ahead of "saving money in the bank" (20 percent), and "investing in the stock market" (6 percent).

- A majority, 58 percent of those who believe the housing crisis will remain a serious problem would still recommend buying a home.

- Americans are evenly split on whether the federal government should continue policies to encourage home ownership at the same level (46 percent) or scale them back because they cost too much (46 percent).

- More than half of Americans (52 percent) blame the housing crisis on banks and lending institutions for misleading borrowers and approving bad loans, while 32 percent blame people who bought homes and took out mortgages they couldn't afford, and only 12 percent blame government policies that encouraged too many people to try to own their own homes.

"Owning a home continues to be the bedrock of the American Dream � even as incomes are down, jobs are scarce and families struggle to make ends meet," said Thomas J. Wilson , Allstate chairman, president and chief executive officer.

"Homeownership is viewed positively by the vast majority of Americans as both a place to raise a family and a sound investment," he added.


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Pending Home Sales All Over The US in February 2011

Pending Home Sales Surprise to the Upside:  Pending sales of previously owned U.S. homes unexpectedly rose in February, a trade group said Monday, pointing to a modest pick-up in home sales.

The National Association of Realtors said its Pending Home Sales Index, based on contracts signed in February, increased 2.1 percent to 90.8. Economists had expected the index, which leads existing home sales by a month or two, to fall 1.0 percent after a previously reported 2.8 percent decline.

"We may not see notable gains in existing-home sales in the near term, but they're expected to rise 5 to 10 percent this year with the economic recovery, job creation and excellent affordability conditions providing confidence to buyers who have been on the sidelines," said NAR chief economist Lawrence Yun.



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Home Values and Prices Around The USA

According to PMI Group Monthly Analysis:  In previous house price boom and bust periods,
house prices moved above their fundamental values only to fall below them for a while. While this simple analysis can help to identify areaswhere house prices appear to be out of line with incomes, it can’t tell us when a correction will occur.

As a result, while some areas appear to have already fallen well beyond their fundamental values, they could still fall further. What the analysis does say, however, is that at some point, there should be a recovery in house prices in these markets that will bring them back into balance with incomes.

States where house prices are too low, although they had no bubble Indiana is a good illustration of a surprising pattern seen for areas where prices tracked incomes quite closely even during the housing bubble, but then still got hit by declining house prices as a result of the Great Recession. Other states
with similar patterns include Arkansas, Kentucky, Kansas, Iowa, Mississippi, Nebraska, Ohio, Oklahoma, South Dakota, Texas, and Wyoming. It is likely that house prices in these areas will recover along with job growth, which is already happening in manufacturing and agriculture.

Since disposable income is not available at the state level, we made a minor adjustment to the state-level per capital income data by adjusting it for how national disposable per capita income compares to national per capita income over time. 

There are many measures of affordability, some based on prices relative to monthly house costs, including taxes, insurance and mortgage payments, while other measures compare house prices to rents. Here, we compare house prices and adjusted per capita income1 in order to study how they evolve over time. Over time, house prices and income should grow at similar rates, otherwise housing would become either increasingly affordable or unaffordable. We used two different measures of house prices, the CoreLogic House Price Index (HPI) built on all transactions and the CoreLogic HPI excluding distressed sales, since they tell somewhat different stories. 

States where house prices have over-corrected from the boom and are very affordable Michigan is an example of a state that had a housing boom, with prices moving upward at a pace much faster than the capacity of homeowners to pay for them – but where prices appear to have significantly over-corrected.

The data for Michigan suggest house prices were overheated in the decade before 2007, but have since
overshot too far to the downside of income, both relative to a 1995 base year of 100. 1995 as the base year because it was a relatively stable period for both housing and the overall economy). An index value of 120, for example, would signify that income or the HPI is 20 percent higher than it was in the base year of 1995.

Since there is some concern that the house price indices which include distressed sales undervalue properties not sold as short sales or from REO, we also show the CoreLogic HPI that excludes distressed sales.

Comparing the different HPIs, the index that excludes distressed sales lessens the underpricing
seen in most areas, but it only explains a portion of the under-pricing relative to incomes. Other states that have a broadly similar pattern to Michigan include Alabama, Georgia, Idaho, Illinois,
Missouri, Montana, Nevada, New Mexico, and West Virginia.
 
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If you have an hour, will you not improve that hour, instead of idling it away?

 Lord Chesterfield

 
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Real Estate, Mortgage, Airline, Financial and Other News

The dow jones closed with 11,774.59 points and Nasdaq close at 2636.05

Korean Air will start receiving the 787-900 from boeing starting 2016

The supply of popular hybrid and fuel efficient cars is fallin as demard for imports is increasing as well as the prices.

The us labor Labor Deparment reported that wholesale food prices jumped 3.9% in February over January, the highest monthly increase in 37 years.

Nordstrom Store is moving out of the Glendale Galleria to The Americana also in Glendale California.

Six more banks repay U.S. Bailouts. The Treasury Deparment said it had received proceeds of $ 475 million wen the banks repurchased prefered shares and other investments that the department got in exchange for its cash injection.

Apple shares fall afted been downgraded by JMP Securities, Apple shares dropped $ 15.42 or 4.5% to $ 330.01

Guess profit up but sales down. Revenue rose 18% to $ 756.9 million. Its current quarter profil forecast of 41 to 44 cents a share was below the 61 cents expected by analist.

Ex Freddie Mac chairman and chief executive has been notified by U.S. regulators that he may face civil claims for failing to fully disclose the company exposure to risky mortgages.

The Obama administration wednesday asked Congress to pass legislation to protect online consumers privacy.

U.S. businesses sold more industrial suplies,chemichals and farM products abroad in the final three months of last year, pushing the deficit in the broadest measure of foreign trade down for the first time since spring 2009.

Alberto Pacheco

Realtor Calbre Lic 01200694

818 481 9211

Keller Williams Porter Ranch

Real Estate Consultant

http://www.granadahills.kwrealty.com  Real Estate News, Mortgages, Trends

Blog: www.losangelescountyrealestate.blogspot.com

albertopachecorealtor@gmail.com

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Home Building Declines 22.5%

Home construction declines 22.5% in February 2011 comparing to January to a seasonally adjusted 479000 homes according to the Commerce Department. It was the lowest since April 2009 and the second lowest dating back more than a century.
Single family homes which make roughly 80 % of home construction, fell 11.8 % in February .

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Andrew Carnegie Quote For Today

And while the law of competition may be sometimes hard for the individual, it is best for the

 race

because it ensures the survival of the fittest in every department.

Andrew Carnegie

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Daylight Savings For The Spring of 2011

Daylight Savings Start on 03/13/2011 at

2:00 AM

 

Before you go to bed tonight make sure you adjust your watch and clocks One Hour Ahead

We Will Be Missing One Hour of Sleep.

DO NOT FORGET

 

GOD BLESS YOU ALL

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Quote of The Day

It was a high counsel that I once heard given to a young person, "Always do what you are afraid to do."

 Ralph Waldo Emerson

FIND THE LOWEST PRICED HOMES IN THE SAN FERNANDO VALLEY

Quote of The Day

For true success ask yourself these four questions: Why? Why not? Why not me? Why not now?

James Allen

 
IT IS THE TIME FOR YOU TO BECOME A REAL ESTATE INVESTOR, THERE ARE PLENTY OF HOMES TO FLIP

Investors Foreclosures, Bank Owned, Reo's, Repossessed Homes available in Arleta as of 03/02/2011

9235 Laurel Canyon Ave 3 Bedrooms, 2 Bath , 1222 sq ft Home and 6480 sq ft Lot

9333 Stanwin Ave  3 Bedrooms, 2 Bath, 1394 sq ft Home and 8460 sq ft Lot

9572 Lev Ave  3 Bedrooms, 2 Bath, 1472 sq ft Home and 7560 sq ft Lot

9640 Stanwin Ave   4 Bedrooms, 2 Bath, 1612 sq ft Home and 6473 sq ft Lot

9806 Woodale Ave  2 Bedrooms, 2 Bath, 1222 sq ft Home and 6300 sq ft Lot

13580 Bromwich Ave   3 Bedrooms, 2 Bath,  1236 sq ft Home and 6105 sq ft Lot

13655 Muscatine Ave   3 Bedroom,  2Bath,  1274 sq ft Home and 5616 sq ft Lot

The measurements  on homes and lots provided by tax assessors. I f you are thinking in buying and flipping these homes could be a good investment for you, if interested in getting more information, call me at 818 481 9211 or e-mail me at: alberto@sfvalleyhotproperties.com

The 83rd Oscar Awards 2011

Best Support Actor: Christian Bale

For Make up: the Wolf Man

For Custom Design: Alice in Wonderland

Best Animated Feature : Toy Story 3

Original Music Score: The Social Network

Sound Editing: Inception

Visual Effects: Inception

Best Original Song For Toy Story 3: We Belong Together

Best Director: Tom Hooper For The King Speech

Writing ( Adapted Screen Play): The Social Network

Actress in Leading Role:  Black Swan

Best Picture: The King's Speech

Quote of The Day

Men are anxious to improve their circumstances, but are unwilling to improve themselves; they therefore

remain bound.

James Allen

 
 
 
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DID YOU KNOW?

1. Notices of Default in California – 12/2010 – 21,510
   Notices of Default in California – 12/2009 – 27,182
2. Back to Bank – REO – 12/2010 – 9,261
   Back to Bank – REO – 12/2009 – 17,460 
3. Sold to 3^rd Party – 12/2010 – 2,140
   Sold to 3^rd Party – 12/2009 – 2,670
4. Notices of Default but no sale scheduled – 12/2010 – 128K
   Notices of Default but no sale scheduled – 12/2009 – 141K 
5. Bank Owned REO – 12/2010 – 110K
   Bank Owned REO – 12/2009 – 96K

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Happy Valentine's Day To You All



Lowest Home Prices In The San Fernando Valley

Quote of The Day

"The soul attracts that which it secretly harbors;

that which it loves, and also that which it fears."

 James Allen

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Quote of The Day

Man is the product of his thoughts. What he thinks, he becomes.

 Mahatma Gandhi

 
LOWEST PRICED HOMES ON SHORT SALE IN THE SAN FERNANDO VALLEY

Quote of The Day

All power is from within and is therefore under our control.

Max Planck

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