40% Drop in Price for High End Marin House

40% Drop in Price for High End Marin House

Just a quick post:

Here is a listing for a high-end house in Kentfield (rather, a house that will be built) whose price has dropped 40% in one month if you can believe the realtor’s November, 2005 appraisal claim that is (makes one think twice about the possibility of appraisal fraud in Marin County). I’ve already entered it into the Marin Address Pricing History thread for future reference.

(Click on the image for a larger view)

Terms of Use: The purpose of the Marin Real Estate Bubble weblog (located at URL http://marinrealestatebubble.blogspot.com/ and henceforth referred to as “MREB” or “this site”) is to present and discuss information relating to real estate and the real estate industry in general (locally, state-wide, nationally, and internationally) as it pertains to the thesis that recent real estate related activity is properly characterized as a “speculative mania” or a “bubble”. MREB is a non-profit, community site that depends on community participation and feedback. While MREB administrators do strive to confirm all information presented here and qualify all doubtful items, the information presented at MREB is neither definitive nor should it be construed as professional advice. All information published on MREB is provided “as is” without warranty of any kind and the administrators of this site shall not be liable for any direct or indirect damages arising out of use of this site. This site is moderated by MREB administrators and the MREB administrators reserve the right to edit, remove, or refuse postings that are off-topic, defamatory, libelous, offensive, or otherwise deemed inappropriate by MREB administrators. You should consult a finance professional before making any decisions based on information found on this site.

The contributors to this site may, from time to time, hold short (or long) positions in mentioned and related companies.


Ponzi Debt: Ponzi borrowers are defaulting in larger numbers

Whenever a borrower is unable to make current debt-service obligations from current income, they have two choices: either declare bankruptcy, or use more debt to pay their debt service. Once a borrower starts using debt to pay debt, they’ve gone Ponzi. During the housing bubble, many…
Ponzi borrowers are defaulting in larger numbers


Visit the OC Housing News, and read the OC Housing News blog. Learn why you should use a home guide. Meet the Akason Realty Consulting home guides and housing market analysts, and read our real estate agent testimonials. Discover why you should register with the OC Housing News and how to use the OC Housing News. Utilize the advanced property search, or the MLS map search.

See our special real estate offers: property search guide, housing market reports, home ownership cost guide, guide to rent or own decision, home financing guide, foreclosure 101, short sale guide, how to sell your home without a realtor, The Great Housing Bubble free PDF, 1.5% rebate on new home construction, no cost home sale program, and maximum impact real estate marketing.

Also read Renter News, SD Housing News, Housing Bubble News & Information, Housing Market Forecast US, Housing Market News & Information, Real Estate Ruin, USA Housing News, California Real Estate News, Housing Market News, USA Foreclosure News, Mortgage and Foreclosure News, Mortgage Refinance News, Real Estate Loan News, Debt Default News, Ponzi Debt, Loan Modification and Default News, Mortgage News Clips, and Fay Mortgage News.


Ask Erin: What is an "Arm’s Length" Short Sale Transaction?

In any given week, I receive a dozen calls or emails from folks seeking more information about the possibility of doing a short sale for their Sacramento home. Most folks are just doing fact finding to weigh their options (short sale, vs. foreclosure, vs. loan modification, etc.)…often times they know someone in the process of a short sale, or perhaps they are nearing default on their mortgage and their lender has suggested they try a short sale, or they have just suffered a financial hardship. These folks are on information gathering missions…cool – I am happy to answer questions about the procedural ins and out of short sales. I refer these folks to qualified professionals to answer their tax and legal questions since I can not address those issues.

About a quarter of the inquiries I receive take on a much different tone…they tend to start something like this…”I bought my house in 2005 when it was worth $X. Now in 2009, its worth substantially less. I married my spouse in 2008 and he/she is not on the loan or on the title for my house. I would like to do a short sale and sell my house to my spouse.”

SORRY!

Number one…doesn’t a scenario like that sound like fraud? Sorry, but I will not participate in that. Number two…I did not hear anything about a hardship necessitating a short sale. Number three…most lenders entertaining short sales require that the transaction be at “Arm’s Length.” A short sale lender I have worked with several times requires a document to be signed called an Affidavit of Arm’s Length Transaction.” It reads – “All parties to the contract on the premises dated ______ hereby affirm that this is an “Arm’s Length Transaction.” No party to this contract is a family member, business associate, or share a business interest with the mortgagor. Further, there are no hidden terms or special understandings between the seller or buyer or their agents or mortgagor. The Buyers and Sellers nor their Agents have any agreements written or implied that will allow the Seller to remain in the property as renters or regain ownership of said property at anytime after the execution of this short sale transaction. None of the parties shall receive any proceeds from this transaction except the sales commission.”

I hope this clears up any confusion regarding this issue…the seller can NOT benefit in any way from a short sale transaction.

OCHN: San Bernardino County Housing Market News: October 2014

Historically, properties in this market sell at a 25.7% discount. Today’s discount is 33.8%. This market is 8.1% undervalued.
Median home price is $256,200 with a rental parity value of $386,000. This market’s discount is $129,800.
Monthly payment affordability has been improving…
San Bernardino County Housing Market News: October 2014


Visit the OC Housing News, and read the OC Housing News blog. Learn why you should use a home guide. Meet the Akason Realty Consulting home guides and housing market analysts, and read our real estate agent testimonials. Discover why you should register with the OC Housing News and how to use the OC Housing News. Utilize the advanced property search, or the MLS map search.

See our special real estate offers: property search guide, housing market reports, home ownership cost guide, guide to rent or own decision, home financing guide, foreclosure 101, short sale guide, how to sell your home without a realtor, The Great Housing Bubble free PDF, 1.5% rebate on new home construction, no cost home sale program, and maximum impact real estate marketing.

Also read Renter News, SD Housing News, Housing Bubble News & Information, Housing Market Forecast US, Housing Market News & Information, Real Estate Ruin, USA Housing News, California Real Estate News, Housing Market News, USA Foreclosure News, Mortgage and Foreclosure News, Mortgage Refinance News, Real Estate Loan News, Debt Default News, Ponzi Debt, Loan Modification and Default News, Mortgage News Clips, and Fay Mortgage News.


They Ran Out of Stupid People

They Ran Out of Stupid People

Well, if Business Week has stopped referring to the housing bubble as a hypothetical, then it must be real.

Some choice quotes:

Psssssfffffft. That’s the sound of the air finally leaking from the real estate bubble in Loudoun County, Va.

What’s happening in Loudoun is a rapid shift in psychology — a classic sign of a market turn. The buoyant optimism that fueled speculation and expectations of ever-rising prices is now succumbing to the fear of being left standing when the music stops. Real estate, the hottest play of the century in Loudoun, is rapidly cooling.

The same signs of a slowing market can be seen in hot spots across the country…

Loudoun’s real estate community insists the market is merely reverting to a more normal state. “We’re coming back to more of a balance,” says Karen Overheu, a Long & Foster Realtor with listings in Loudoun County.

“There’s another explanation”, says insurance agent Joe Kelly… “They ran out of stupid people.”

Terms of Use: The purpose of the Marin Real Estate Bubble weblog (located at URL http://marinrealestatebubble.blogspot.com/ and henceforth referred to as “MREB” or “this site”) is to present and discuss information relating to real estate and the real estate industry in general (locally, state-wide, nationally, and internationally) as it pertains to the thesis that recent real estate related activity is properly characterized as a “speculative mania” or a “bubble”. MREB is a non-profit, community site that depends on community participation and feedback. While MREB administrators do strive to confirm all information presented here and qualify all doubtful items, the information presented at MREB is neither definitive nor should it be construed as professional advice. All information published on MREB is provided “as is” without warranty of any kind and the administrators of this site shall not be liable for any direct or indirect damages arising out of use of this site. This site is moderated by MREB administrators and the MREB administrators reserve the right to edit, remove, or refuse postings that are off-topic, defamatory, libelous, offensive, or otherwise deemed inappropriate by MREB administrators. You should consult a finance professional before making any decisions based on information found on this site.

The contributors to this site may, from time to time, hold short (or long) positions in mentioned and related companies.


New Listing – 2749 Via Villaggio, Sacramento / Arden, CA 95864

Great 3-4 bedroom, 3 bath home in Arden area gated community! You will fall in love with its open layout, stunning kitchen with granite counters and stainless appliances (Incl built-in refrigerator), downstairs bedroom, upstairs loft/possible 4th bedroom, grand master suite with dual sided fireplace, tub and separate stall shower, walk-in closet, and dual sinks. Low maintenance backyard with composite deck and rose garden. Offered at $275,000 subject to lender approval of short sale. For more photos and detail, please visit http://2749ViaVillaggio.com.

USA Housing: Will increasing use of adjustable-rate mortgages lead to future delinquencies?

When mortgage interest rates spike suddenly, many buyers move away from fixed-rate mortgages to adjustables because the interest rate is more favorable, and ARMs allow them to complete the purchase they negotiated before the rates went up. As one might expect, the sudden increase in rates from…
Will increasing use of adjustable-rate mortgages lead to future delinquencies?


Visit the OC Housing News, and read the OC Housing News blog. Learn why you should use a home guide. Meet the Akason Realty Consulting home guides and housing market analysts, and read our real estate agent testimonials. Discover why you should register with the OC Housing News and how to use the OC Housing News. Utilize the advanced property search, or the MLS map search.

See our special real estate offers: property search guide, housing market reports, home ownership cost guide, guide to rent or own decision, home financing guide, foreclosure 101, short sale guide, how to sell your home without a realtor, The Great Housing Bubble free PDF, 1.5% rebate on new home construction, no cost home sale program, and maximum impact real estate marketing.

Also read Renter News, SD Housing News, Housing Bubble News & Information, Housing Market Forecast US, Housing Market News & Information, Real Estate Ruin, USA Housing News, California Real Estate News, Housing Market News, USA Foreclosure News, Mortgage and Foreclosure News, Mortgage Refinance News, Real Estate Loan News, Debt Default News, Ponzi Debt, Loan Modification and Default News, Mortgage News Clips, and Fay Mortgage News.


Californians Infest Nevada

further extends one of this blog’s themes — the eroding quality of life caused by the housing bubble.

Simply not content with destroying their own state, Californians are descending on Nevada and destroying their quality of life. And why not? We’ve been doing it to Oregon, Washington, Arizona, Idaho. I know it’s not “politically correct” to say it and I’m not making any friends by doing so. Here’s an idea, one we should have learned in kindergarten: clean up your own mess.

Nevada…has long been a magnet for Golden State refugees fleeing what they see as an eroding quality of life amid growing congestion, burdensome business regulations and high costs. But increasing numbers of Bay Area residents like the Dunns and the Barbers have had an extra incentive to head east: large sums of real estate equity.

“The California housing market diaspora has transformed the West, and it’s moving to different midtier and even larger metro areas,” says Robert Lang, an urban planning expert at the Metropolitan Institute at Virginia Tech.

Reno stands on the front lines of a migration of affluence that has also affected such places as Boise, Idaho; Phoenix; and Portland, Ore., where home prices are rocketing and new ideas and businesses are taking root as newcomers buy houses that are bargains by Bay Area standards.

Although much of the windfall from rising house prices has been spent on everything from college educations and cars to kitchen renovations and European vacations, many people have simply cashed out and started over.

While couples like the Allisons seem content to retreat from the Bay Area to live in dream mansions, for others the migration to Reno represents a fantasy of a different sort: the first rung of the homeownership ladder that is all but unreachable in the Bay Area for middle-class families without sizable assets for a down payment.

A recent study by the Public Policy Institute of California found that high housing costs are forcing one-third of state residents between the ages of 18 and 34 to ponder a move from their region or out of the state.

Many of the reasons newcomers enjoy Reno sound familiar to anyone attracted to the Bay Area: the natural beauty, proximity to great hiking and skiing, good airport service. Others sound less familiar: kind people, good schools, a slower pace of life, low or nonexistent taxes, the state’s conservative political bent and, of course, less expensive homes.

Some complain that there are few good wine stores, places to buy organic meats and vegetables, and even fewer dining choices. Shopping is hardly a strong suit, either: Earlier this year, Bay Area transplants were abuzz about the mere possibility that Nordstroms would open its first store in the area.

..some longtime Reno residents have bemoaned the “Californication” of their city, a vague notion that wherever California refugees mass, they bring unwanted attention and traffic, wacky political ideas and, on some level, an in-your-face affluence that spoils a pristine area.

I am a chemical engineering graduate of the University of Nevada, Reno so I feel I have to say something here.

These California migrants are bringing increased housing costs with them, but they are not bringing increased job opportunities for middle class people. A common complaint of young people in Reno is that the area has dramatically increasing housing costs but the job opportunities and pay levels have not improved enough to match. The real reason for anti-California sentiment is this: they increase housing costs but do not increase job opportunites and thereby reduce the standard of living of local young people.

I expect that Reno is especially vulnerable to a price crash because local wages simply do not support the $399K median house price than Reno now has. Without the continuous flow of California bubble equity, I expect that Reno cannot support house prices much above $250K.

Just another perspective. This housing boom screws us young people.

Loan Mod Default: The failure of loan mods caused a new wave of foreclosures

I am constantly amazed by the ignorance of the mainstream media when it comes to housing issues. They consistently cheer-lead, take the NAr’s statements at face value, and fail to question their rosy assumptions. This behavior provides people bad information and may cause someone to buy…
The failure of loan mods caused a new wave of foreclosures


Visit the OC Housing News, and read the OC Housing News blog. Learn why you should use a home guide. Meet the Akason Realty Consulting home guides and housing market analysts, and read our real estate agent testimonials. Discover why you should register with the OC Housing News and how to use the OC Housing News. Utilize the advanced property search, or the MLS map search.

See our special real estate offers: property search guide, housing market reports, home ownership cost guide, guide to rent or own decision, home financing guide, foreclosure 101, short sale guide, how to sell your home without a realtor, The Great Housing Bubble free PDF, 1.5% rebate on new home construction, no cost home sale program, and maximum impact real estate marketing.

Also read Renter News, SD Housing News, Housing Bubble News & Information, Housing Market Forecast US, Housing Market News & Information, Real Estate Ruin, USA Housing News, California Real Estate News, Housing Market News, USA Foreclosure News, Mortgage and Foreclosure News, Mortgage Refinance News, Real Estate Loan News, Debt Default News, Ponzi Debt, Loan Modification and Default News, Mortgage News Clips, and Fay Mortgage News.


Sacramento Real Estate Statistics – October 2009


Well…once again the price per square foot statistics in Sacramento County sure seem to be leveling off. For about the last 7 months, the average price per square foot has been stable, and actually increasing just slightly. There is a bit of a trough begining to form. Perhaps now we have enough data to think this little upward bounce we have been experiencing is more than a fluke – and stability is here to stay? Time will tell. I can tell you that most of the transactions I have been representing for both buyers and sellers, (in all price ranges, short sales, foreclosures, and “regular transactions with a traditional sellers”) are mostly met with multiple offers often resulting in pushing the price over the listing price.

If you would like me to email you the Facts and Trends graphs for specific zip codes in Sacramento County, just shoot me an email and I am happy to provide them.

Source: Trendgraphix