Steven Mogavero Blog

Prices Stepping Up in California

Tue, 05 Oct 2010 00:00:00 -0700

Anyone looking to buy a home in California might feel a bit of urgency after hearing the latest news on sales trends in the state. Sales are up a bit, though not as strong as they could be – but prices are getting hotter by the minute.

The statewide median home price increased 1.2 percent from July and was up 8.6 percent from a year ago, according to a recent report from the California Association of Realtors.

This news, along with the incredibly low interest rates on long-term mortgages should be enough to push anyone off the fence. Sales are still slow enough to offer many buyers a good deal, while the price trend shows strength in our underlying market forces.

Is it a good time to buy in California? My instinct is to say "you bet it is." Market conditions agree. But of course, this is now and always will be a highly personal question with an answer that is unique to the person asking.

Buyers today need to be prepared for a rigorous mortgage process – one that requires reams of documentation, stellar credit and an impressive cash deposit. You'll need to have worked at this for some time (good credit and cash unfortunately don't fall from the sky).

If you're interested in a home in California, don't rule it out, though, if you think you don't qualify. FHA, for example, is still writing mortgages, which don't require as high a downpayment as those made from private lenders.

I urge you to act – though not in haste and not alone. Today's market is perhaps the most confusing time in our industry’s history. But don't view this as an obstacle – view it as a potential opportunity. Real estate is alive and well in the Golden State. But it's murky, slow and full of unexpected twists and turns. Don't risk missing out, though, because it all seems so unfamiliar. Enlist the my help and get the insight you need to navigate these rocky waters.

Foreclosures Get a Real Rescue!

Wed, 15 Sep 2010 00:00:00 -0700

Some good news came on the housing scene the other day: federal housing officials announced nearly $1 billion in funding to buy up foreclosed properties. The money will go to state and local governments so they can purchase, redevelop or demolish these properties.

Foreclosures have become the face of this recession. They can be like a disease that whisks in and infects an entire neighborhood or metropolitan area. The anti-American Dream, foreclosing on a house symbolizes rock bottom for a family’s financial situation.

But the new cash infusion should help to turn it around. Foreclosure is bad, but it can also symbolize a new beginning. If the funds can help state and local governments to transform foreclosures into much-needed affordable housing and rentals, then ultimately it’s better for the community, the local housing markets and local economies.

So far, the money seems to be headed in the right direction. Nearly half of the $970 million will go to the states hit hardest by foreclosures: Arizona, California, Florida and Nevada. Another big chunk is going to states in the Rust Belt, which have also been hit hard by foreclosure and tremendous job loss.

The government said funds can be used to buy property, demolish or rehab abandoned properties, and provide down payment and closing cost assistance to low-to moderate-income buyers, which should help to pump some life into this market segment.

I think it’s a much-needed boost and money well spent. We’ve said all along that there are opportunities in this market despite the gloomy numbers and forecasts. Here’s an opportunity for the state and local governments not only to create a better housing situation for some residents, but to create jobs associated with demolishing and rebuilding, boost confidence and improve their communities.

That’s real forward motion!

Don't Miss the BIG Opportunity!

Tue, 10 Aug 2010 00:00:00 -0700

In this type of market, it’s best to focus on what’s working, what’s favorable, what’s reality. And when preparedness meets opportunity you get success. Whether you’re a buyer, investor, seller or agent trying to make sales, you strive to find the opportunity for success.

Distressed home sales continue to represent this opportunity. Distressed homes – those homes that are in danger of going into foreclosure or are for sale because the homeowners defaulted on their mortgage – were 32 percent of home sales last month, compared with 31 percent in May, according to a recent report from the National Association of Realtors.

What’s happening here and why should we pay attention?

In a word: inventory. Distressed properties more and more are making up a huge chunk of the inventory in many markets around the world (not just here in the U.S.). But wait! Remember that great Warren Buffet quote about when to get interested in an investment? He said:

“Most people get interested in stocks when everyone else is. The time to get interested is when no one else is. You can’t buy what is popular and do well.”

At first thought, you’d think that something that already represents a third of the market for home sales is past the tipping point. But I don’t believe that. We’ve been doing very well at Intero by studying the market and moving swiftly to seize distressed opportunities. So should you. In fact, the true real estate lovers saw this coming long ago and stashed cash accordingly.

And sure, for the average consumer, buying a distressed property is going to be a mind-boggling experience (if it even happens in the first place). But all the more reason to study the process and figure out how to make it work if you’re really interested in pursuing this opportunity. When preparation meets opportunity you get success.

You just have to remember another quote from the great Warren Buffet:

“Risk comes from not knowing what you’re doing.”

Which takes us back to that studying process and being prepared.

Where can you learn about the market for distressed properties? We have knowledgeable agents who can help. Many are specializing in this field right now for this very reason. Even so, I’d advise you to do some reading on your own as well. Take the time to choose the right agent and be sure you’re armed financially.

Just because we’re in a “slow” housing market, doesn’t mean you can’t profit in the end.

CALL ME to discuss how I can help you!

Life After the Homebuyers Tax Credit

Tue, 29 Jun 2010 00:00:00 -0700

It's safe to say now that the action brought to the nation's housing markets by the Homebuyer Tax Credit is over. Any buyers who wished to take advantage of this credit had to have been in contract by April 30 and now must close by June 30.

But please remain seated before exiting this ride and declaring the housing market D-O-O-M-E-D (as several headlines have cried this week). See, there is still a very key factor in place that is working in homebuyers' favor:

Historically Low Interest Rates

This often-overlooked little fact is actually a really important point to ponder. That's because when you look at today's rates, which average around 4.75 percent on a 30-year fixed rate mortgage, according to the Mortgage Bankers Association's latest survey, you realize what a win this is for borrowers – even for those who missed the tax credit deadline.

These low rates are far more significant than any tax credit in terms of savings and incentive to stoke demand. How is that? Well, let's look at the math:

Let's say today's buyer is looking at a 5 percent interest rate on a 30-year fixed loan of $285,000. He's disappointed at missing out on the tax credit, but since he's able to lock in at a lower rate than he would've gotten two months ago at 5.25 percent, he's actually saving $15,782 in interest over the life of the loan, which according to my math is significantly higher savings than what that tax credit would've gotten him ($8,000).

So today's buyer nearly doubles his savings in interest compared with the April tax-credit buyers? Doesn't spell D-O-O-M to me.

Let's look at another scenario:

This buyer would be able to lock in a 5.25 percent rate on a 30-year fixed loan of $400,000 in July. There's no tax credit to light a fire under his decision, but say the economic news circles expect a slight uptick in rates by the end of August. If he waits, he'll risk increasing his rate to 5.35 percent, thereby adding $8,943 in interest to the life of his loan.

I'm not saying that rates will save the day. Remember: There are no quick fixes. But we also have to be sure we understand the forces that are working in the market's favor.

Tax credits may come and go, but at the end of the day it's things like historic low interest rates that will keep buyers interested.

Self-employed have a tough time landing mortgages, but it's still possible

Tue, 11 May 2010 14:16:00 -0700

Your Home, Your Money..

For a brief heady period, freelancers and the other self-employed folks found it easy to secure a mortgage: all that borrowers with a reasonably good credit score had to do was write in their income and swear with all the power of their own signature that, indeed, that was what they made. Also known as "stated income" mortgages, they were obviously susceptible to fraudulent borrowers and those whose income was unstable or temporary. By 2008, when the term "liar loans" started appearing in headlines and teaser clips, the boom was over, and for many hopeful borrowers -- even the honest ones -- so were the chances of owning a home.

The real pity is that when the recession cost so many people their jobs, it also cost them their ability to get a mortgage or refinance an existing one. Many unemployed workers turned to entrepreneurship and launched their own businesses -- putting them in the ranks of the self-employed. Yet, many of these new business owners haven't worked in this capacity long enough to rack up the two years of tax returns for their small business that lenders require. Worse, if they spent significant amounts of money to start up their business -- and ended up with a loss on paper, or just a nominal amount of income -- they will be evaluated skeptically by even the most small business-friendly of lenders.

But all hope is not lost. Believe it or not, the self-employed and freelancers of the world can still get a mortgage. It will, however, take a little blood, sweat and (possibly) a few tears. A pair of freelancing friends of mine bought a house near my home in 1997, and the process took several months but they're still ensconced in their sweet little home in a great neighborhood. Here's what you'll need to remember:
Can your partner get a W-2? My friends, Larissa and Martin, are both grant writers in the non-profit world. They had planned for years to start freelancing so Larissa could spend a few days a week working on her art projects. Martin had a few clients already and Larissa was about to quit a job she didn't much like when they found a great house. Larissa agreed to stay in the job months longer than she would have liked just to secure the loan (she quit the day they closed on the house.) Says Sally Aquire of Moneycrashers, if "there is one steady income that can be relied upon, lenders have greater confidence that you won't default on your mortgage payments and can look on your self-employed status more favorably."

Do you have a regular client, or several? If you're self-employed, you'll have to document your income far more carefully than those who get W-2 statements. A few years of tax returns is just the beginning. You'll also need invoices from clients and even a few letters written by them, assuring your lender that you're a good person who will likely continue to be paid for your great work. If you have one or two that have paid you monthly or quarterly, and you can demonstrate a relatively steady stream of cash coming from them, your lender will be more likely to approve a loan. When I worked for a company that employed a large number of freelancers, I provided several letters indicating that an individual had been paid monthly for years, and as far as I was concerned would continue to receive those payments. The reliable freelancers got the loans, financial meltdown be damned.

If you don't have regular clients but can demonstrate your regular income with a variety of clients -- using tax forms and profit and loss statements -- you may still have a chance. If you don't have a knack for balance sheets, get a good bookkeeper to prepare some for you; the investment will be worthwhile.

Good credit is a must. A credit score that is lower than 700 will make it extremely hard for you to get a mortgage as a self-employed individual. If your credit is much lower than that, you may as well just get a great apartment and work on improving your credit.

A track record of bank-approved success is required. If you've managed to slide most of your family's expenses into your business -- I'm a food writer, for instance, so I have put most of the cost of groceries and kitchen implements into my self-employment expense column -- that's probably not going to work for a lender. One WalletPop writer tells me that she's been described as "unmortgageable" because her income just isn't provable for the banks, despite that fact that she makes enough to carry mortgages on two homes and has a great credit score.

Another writer's son, a musician, wasn't even able to secure a $40,000 FHA loan. "The rules are the rules," she says, mourning that she couldn't co-sign for him. If a mortgage is really important to you, holding down a job for a few months (even if you hate it) is probably the best way to go. Failing to list things you've considered expenses for a few years -- and paying lots of taxes as a result -- is an expensive route to the American Dream.

Save up a big deposit. Without a W-2, lenders typically look for at least 20% down. You may need even more if you haven't been making more than $50,000 to $60,000 in gross income a year. It doesn't seem fair, but you can comfort yourself in the knowledge that you'll probably never end up with an underwater mortgage.

Getting a loan as a freelancer is definitely not easy. But once you've signed the documents, you can do as you like. And as long as you pay each month, your lender no longer will have you under the magnifying glass. As they say, nothing worth doing is easy, and it goes double for a pretty house in a neighborhood you love -- one that you can afford, and have the life you want, too

HAFA Spells Relief … Or Does It?

Tue, 04 May 2010 08:54:00 -0700

HAFA Spells Relief … Or Does It?

At the beginning of April, the Federal Government introduced new measures aimed at helping Americans avoid foreclosure. Sort of lost in all of the news about how great the real estate market's been doing, Home Affordable Foreclosure Alternatives (HAFA), are designed to help struggling homeowners who, regardless of effort to keep their homes, simply can't afford to.

"A short sale would really help … if only the bank would agree."

Now, maybe it will. Banks already participating in the Government's HAMP program are required to participate in HAFA, as well. Mortgage holders have been notoriously difficult to deal with when it comes to short sales. One hand doesn't know what the other is doing, approvals take virtual eternities (if they ever come at all), homeowners who're feverishly trying to sell their homes or face the spectre of foreclosure are lost in a sea of confusion about how to proceed in the process.

With a glut of foreclosed homes (over a million at last count), banks are having to rethink their options. Each foreclosure costs banks upwards of $100,000 more than a short sale, but until now, they've not been enthusiastic about approving them.

The HAFA program should make things a bit easier on everyone. Whether it'll work is another matter altogether.

The new guidelines institute a timeline, so that all parties involved will know about what they can expect and when. Sellers will be able to get pre-approval and know what the absolute bottom-line acceptable prices will be. Junior lienholders, who typically get left out in the cold and who are, typically, the factors in denying short sales, will be able to recoup some of their losses. Improvements are definitely being made to the system (although "system" is far too precise a word to pin on the old way of doing things).

A major benefit to HAFA is that it will, hopefully, allow homeowners to leave their properties with their heads held high, and with their dignity intact by fully releasing them from the liability of their loan.

In California, which has been one of the 4 states hardest hit by the foreclosure crisis, there's a bit more to the program.

The recipients of $700 million dollars in additional aid, the State of California has proposed assistance to low-to-moderate income level homeowners through means such as principal write-downs for those who owe more on their home than it is worth (it'll be interesting to hear reactions from people who are in the same situation but who are still making their payments on time), relocation assistance, subsidized mortgage payments, or temporary aid for the unemployed who are at risk of foreclosure.

They are, sadly, many more homeowners affected by this crisis that won't be helped, for one reason or another, by this program or any other.

If you're a homeowner in distress, please contact me to find out what alternatives you have before it's too late.

Village At-A-Glance

Tue, 27 Apr 2010 14:06:00 -0700

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
77 E 39TH AV	850,000			0	1-Active
3977 MARTIN DR	749,000	3	2\|0	1622	1-Active
212 SANTA CLARA WY	719,000	4	2\|1	1710	1-Active
42 ANTIOCH DR	655,000	3	1\|0	1080	Pending
4101 BRANSON DR	620,000	3	1\|0	1480	Pending
3708 BRANSON DR	719,000	3	2\|0	1540	Pending
10 ANTIOCH DR	599,000	3	2\|1	1350	Pending
3964 MARTIN DR	589,000	3	2\|0	1140	Pending
82 E HILLSDALE BL	575,000	4	2\|0	1580	Pending
19 ANTIOCH DR	566,000	2	1\|0	1190	Pending
309 SANTA CLARA WY	798,000	3	2\|0	1200	5-Sold
3961 MARTIN DR	749,000	4	2\|0	1741	5-Sold
50 OTAY AV	735,000	3	2\|0	1580	5-Sold
3800 ORINDA DR	669,800	3	1\|0	1080	5-Sold
118 OTAY AV	659,000	3	1\|0	1080	5-Sold
3969 BRANSON DR	658,000	3	2\|0	1442	5-Sold
51 POINSETTIA AV	589,950	3	2\|0	1440	5-Sold

PLEASE CALL FOR MORE INFORMATION ABOUT ANY OF THESE LISTINGS!

Quick Guide to Buying a "Short Sale"

Thu, 11 Mar 2010 14:31:00 -0800

Thinking of Making an Offer on a Short Sale? What You Need to Know

Are you looking to buy a new home? Are you thinking that now's a great time to find bargains? That's true, but it pays to know a little about the seller's situation before you make an offer.

If a home is being sold for below what the current seller owes on the property—and the seller does not have other funds to make up the difference at closing—the sale is considered a short sale. Many more home owners are finding themselves in this situation due to a number of factors, including job losses, aggressive borrowing against their home in the days of easy credit, and declining home values in a slower real estate market.

A short sale is different from a foreclosure, which is when the seller's lender has taken title of the home and is selling it directly. Homeowners often try to accomplish a short sale in order to avoid foreclosure. But a short sale holds many potential pitfalls for buyers. Know the risks before you pursue a short-sale purchase.

You're a good candidate for a short-sale purchase if:

· You're very patient. Even after you come to agreement with the seller to buy a short-sale property, the seller’s lender (or lenders, if there is more than one mortgage) has to approve the sale before you can close. When there is only one mortgage, short-sale experts say lender approval typically takes about two months. If there is more than one mortgage with different lenders, it can take four months or longer for the lenders to approve the sale.

· Your financing is in order. Lenders like cash offers. But even if you can’t pay all cash for a short-sale property, it’s important to show you are well qualified and your financing is set. If you're preapproved, have a large down payment, and can close at any time, your offer will be viewed more favorably than that of a buyer whose financing is less secure.

· You don’t have any contingencies. If you have a home to sell before you can close on the purchase of the short-sale property—or you need to be in your new home by a certain time—a short sale may not be for you. Lenders like no-contingency offers and flexible closing terms.

If you're serious about purchasing a short-sale property, it's important for you to have expert assistance. Here are some people you want to work with:

· A qualified real estate professional.* You may have a close friend or relative in real estate, but if that person doesn’t know anything about short sales, working with him or her may hurt your chances of a successful closing. Interview a few practitioners and ask them how many buyers they've represented in a short sale and, of those, how many have successfully closed. A qualified real estate professional will be able to show you short-sale homes, help negotiate the purchase when you find the property you want to buy, and smooth communications with the lender. (All MLSs permit, and some now require, special notations to indicate that a listing is a short sale. There also are certain phrases you can watch for, such as “lender approval required.”)

· Title officer. It’s a good idea to have a title officer do an initial title search on a short-sale property to see all the liens attached to the property. If there are multiple lien holders (e.g., second or third mortgage or lines of credit, real estate tax lien, mechanic’s lien, homeowners association lien, etc.), it's much tougher to get that short sale contract to the closing table. Any of the lien holders could put a kink in the process even after you’ve waited for months for lender approval. If you don’t know a title officer, your professional should be able to recommend a few.

Some of the other risks faced by buyers of short-sale properties include:

· Potential for rejection. Lenders want to minimize their losses as much as possible. If you make an offer tremendously lower than the fair market value of the home, chances are that your offer will be rejected and you’ll have wasted months. Or the lender could make a counteroffer, which will lengthen the process.

· Bad terms. Even when a lender approves a short sale, it could require that the sellers sign a promissory note to repay the deficient amount of the loan, which may not be acceptable to some financially desperate sellers. In that case, the sellers may refuse to go through with the short sale. Lenders also can change any of the terms of the contract that you’ve already negotiated, which may not be agreeable to you.

· No repairs or repair credits. You will most likely be asked to take the property “as is.” Lenders are already taking a loss on the property and may not agree to requests for repair credits.

The risks of a short sale are considerable. But if you have the time, patience, and iron will to see it through, a short sale can be a win-win for you and the sellers.

* Not all real estate practitioners are REALTORS®. A REALTOR® is a member of the NATIONAL ASSOCIATION OF REALTORS® and is bound by NAR’s strict code of ethics.

Note: This article provides general information only. Information is not provided as advice for a specific matter. Laws vary from state to state. For advice on a specific matter, consult your attorney or CPA.

Help for "Underwater" Homeowners

Thu, 11 Mar 2010 10:12:00 -0800

In today's economy, you need to know all your options with respect to the real estate market and your mortgage. I am a Certified Distressed Property Expert, and I can help you determine how to handle your situation.

If you're a homeowner on the brink of foreclosure, refinancing your loan at a lower interest rate could be your last chance to keep your home. But for millions of homeowners refinancing may seem impossible because they are "underwater' - the value of their home is now less than their mortgage.

Nearly one-in-four people with home loans have this problem, according to First American Core Logic. But the federal government's Home Affordable Program may be able to help.

Underwater but still employed
The Home Affordable Refinance Program (HARP) lets qualified borrowers refinance a first home mortgage even if the size of that mortgage is as much as 125 percent of a home's value.

The program aims "to provide access to low-cost refinancing for responsible homeowners suffering from falling home prices," according to President Barack Obama. It's designed to lower the interest rate and payments on your home loan. It could also help you replace an adjustable rate mortgage with a more stable fixed rate mortgage.

However, potential borrowers must show that they are employed and will be able to make their payments. There's no minimum credit score to participate though a low score could effect your interest rate. Applicants are immediately disqualified if they have been more than 30 days late on any home loan payments in the past 12 months.

The structure of the current loan also makes a big difference. For example, the loan has to be owned or guaranteed by Fannie Mae or Freddie Mac to benefit from this program. Don't panic - there's a good chance that your banker sold your loan to one of these two mortgage giants after they made the loan to you.

Contact your lender or loan servicer to apply for the program - you should find the phone number on your monthly mortgage statement. You should have the numbers on your current income and expenses ready before you call.

You may also be able to work with a new mortgage company to refinance a Fannie Mae loan, provided the new lender is capable of making a Fannie Mae Desk Underwriter Refi Plus loan.

Difficulty making your payments
If your loan is bigger than the value of your house and you've already missed or made late payments on that mortgage, you may still qualify for the federal Home Affordable Modification Program (HAMP) available through mortgage lenders.

It's not a refinance program - instead the original mortgage is left in place while the terms of that loans are changed to lower the contract terms.

Once again, you will work with your mortgage company. Your monthly payments may be lowered to a rate you can now afford for as long as five years. Starting in year six, the interest rate on the loan, and the amount of your payments, may begin to increase by up to one percent until the rate reaches "the market rate at the time the modification agreement is prepared," according to the program Web site.

Your lender may also lower your payments by spreading them over a longer period, for example extending a 30-year loan term to 40 years. It could even forgive part of your debt.

Applicants will have to demonstrate financial hardship that puts your mortgage in imminent danger of default - your current monthly mortgage payment must be more than 31 percent of your current gross income and you must demonstrate that you are having difficulty making the payments. Also, you can't live in a mansion - the mortgage must be for an amount less than $729,750. Also, just like HARP, your loan must be owned by Fannie Mae or Freddie Mac.

Call your lender or loan servicer to find out of it is participating in the program - most are. You can find the number to call on your monthly mortgage statement.

Other options
If you don't qualify for either of the governments Home Affordable programs, you may still be able to negotiate a loan modification with your lender. Remember, if the lender seizes your house in a foreclosure, it is unlikely to be able to sell the house for the full value of the home mortgage in an auction.

Ask about the possibility of a short sale, in which you would sell your house at market value even though the price is likely to be less than the amount of the mortgage. In a short sale, the left over loan balance is forgiven. The mortgage company loses money on the deal, but usually not as much money as it would lose in a typical foreclosure and both you and the mortgage company are spared the expense and damage of the foreclosure process.

FOSTER CITY HOMES AT-A-GLANCE

Wed, 03 Mar 2010 14:10:00 -0800

CURRENT MARKET STATISTICS FOR HOMES IN FOSTER CITY.

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status	Sale Price
1330 MARLIN AV	1,148,888	4	3\|0	2,450	1-Active
396 SAILFISH IS	999,000	5	3\|1	3,900	1-Active
919 GULL AV	959,000	4	2\|0	1,930	1-Active
892 CONSTITUTION DR	888,000	3	2\|0	1,540	1-Active
609 PLYMOUTH LN	949,000	2	2\|1	1,710	2-Pending
527 NOTTINGHAM LN	899,000	4	2\|1	1,970	2-Pending
491 PORT ROYAL AV	849,000	4	2\|1	2,200	2-Pending
911 CLIPPER LN	1,198,000	3	2\|1	2,360	2-Pending
1156 DOVER LN	930,000	3	2\|1	1,790	2-Pending
740 POLARIS AV	879,000	3	2\|0	1,540	2-Pending
50 WILLIAMS LN	859,000	3	2\|1	1,550	2-Pending
512 GIBRALTAR LN	819,900	3	2\|0	1,620	2-Pending
612 GLOUCESTER LN	1,379,950	5	2\|1	2,540	4-Pending
1307 MELBOURNE ST	1,190,000	4	2\|1	2,700	4-Pending
386 MENHADEN CT	1,149,500	5	3\|0	2,540	4-Pending
1020 WINDJAMMER CI	918,000	3	2\|0	1,810	4-Pending
1067 EGRET ST	785,000	5	2\|0	1,930	4-Pending
GULL AV	1,298,000	4	4\|0	2,750	5-Sold	1,150,000
BROUGHTON LN	1,225,000	4	2\|1	2,350	5-Sold	1,205,000
PORT ROYAL AV	1,149,000	5	2\|1	2,680	5-Sold	1,075,000
TRYSAIL CT	1,058,000	4	3\|0	2,250	5-Sold	965,000
DE SOTO LN	949,000	4	2\|1	2,760	5-Sold	866,000
WILLIAMS LN	899,000	3	2\|1	1,550	5-Sold	865,000
CATAMARAN ST	888,000	4	2\|0	1,900	5-Sold	906,000
WILLIAMS LN	628,000	2	2\|0	1,240	5-Sold	610,000

FOSTER CITY CONDOS/TOWNHOUSES AT-A-GLANCE

Wed, 03 Mar 2010 10:56:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status	Sale Price
1145 NIMITZ LN	799,000	3	2\|0	1,530	1-Active
973 MARQUETTE LN	748,000	3	2\|1	1,640	1-Active
653 CELESTIAL LN	715,000	4	2\|1	1,700	1-Active
216 VILLAGE LN	699,000	2	3\|0	1,630	1-Active
818 RIGEL LN	688,000	3	2\|1	1,470	1-Active
1105 EMERALD BAY LN	639,000	2	2\|1	1,530	1-Active
663 SCORPIO LN	585,000	2	1\|1	1,270	1-Active
905 EMERALD BAY LN	580,000	2	2\|1	1,530	1-Active
880 MERIDIAN BAY LN #210	508,800	2	2\|0	1,350	1-Active
1217 ADMIRALTY LN	488,000	3	2\|1	1,505	1-Active
1171 COMPASS LN #314	470,000	2	2\|0	1,270	1-Active
1061 BEACH PARK BL #107	439,000	2	2\|0	1,286	1-Active
1025 SHELL BL #7	410,000	2	2\|0	1,042	2-Pending
606 PAVO LN	699,000	3	2\|0	1,370	2-Pending
733 CELESTIAL LN	649,950	3	2\|1	1,430	2-Pending
1002 GULL AV	648,000	4	2\|1	1,460	2-Pending
1001 LIDO LN	599,000	2	2\|0	1,395	2-Pending
105 CITYHOMES LN	599,000	2	2\|1	1,410	2-Pending
744 CELESTIAL LN	548,000	2	1\|1	1,270	2-Pending
18 DORY LN	748,000	3	2\|1	1,860	5-Sold	760,000
1036 HELM LN	698,000	3	2\|1	1,670	5-Sold	710,000
660 CYGNUS LN	688,888	3	2\|1	1,600	5-Sold	660,000
1171 COMPASS LN #112	589,000	3	2\|0	1,593	5-Sold	580,000

BAY MEADOWS AT-A-GLANCE

Wed, 03 Mar 2010 10:32:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD *

* Data reflects 12 months. There are currently no Active listings.

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Sale Price	Status
WAYNE WY	699,999	3	2\|1	1,750	699,999	5-Sold
YATES WY	668,000	3	2\|1	1,312	645,000	5-Sold
YATES WY	668,000	3	2\|1	1,312	634,888	5-Sold
YATES WY	668,000	3	2\|1	1,312	605,000	5-Sold
WAYNE WY	590,000	2	2\|1	1,540	595,000	5-Sold
WAYNE WY	589,900	2	2\|1	1,540	600,000	5-Sold
WAYNE WY	568,888	2	2\|1	1,250	545,000	5-Sold

FIESTA GARDENS AT-A-GLANCE

Wed, 03 Mar 2010 10:19:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status	Sale Price
1072 FIESTA DR	669,000	4	3\|0	1,670	1-Active
2215 PORTSMOUTH WY	629,000	3	2\|0	1,530	3-Pending
SULLIVAN ST	788,000	3	2\|0	1,500	5-Sold	730,000
KENT CT	739,000	3	2\|0	1,390	5-Sold	710,000
FIESTA DR	725,000	3	2\|0	1,560	5-Sold	715,000
ANNAPOLIS DR	719,950	3	2\|0	1,330	5-Sold	711,000
TRINITY ST	688,000	3	2\|0	1,280	5-Sold	689,750
SOUTHAMPTON WY	678,888	3	2\|0	1,530	5-Sold	675,500
FIESTA DR	665,000	3	2\|0	1,240	5-Sold	675,000
LAFAYETTE ST	648,000	3	2\|0	1,530	5-Sold	648,000
BERMUDA DR	589,900	3	2\|0	1,240	5-Sold	560,500

VILLAGE AT-A-GLANCE

Wed, 03 Mar 2010 09:55:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD!

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status	Sale Price
215 POINSETTIA AV	890,000	4	2\|0	1,930	1-Active
3800 ORINDA DR	669,800	3	1\|0	1,080	1-Active
55 POINSETTIA AV	739,000	3	2\|0	1,420	1-Active
605 SANTA CLARA WY	849,000	5	2\|0	2,470	1-Active
10 ANTIOCH DR	599,000	3	2\|1	1,350	2-Pending
605 E 40TH AV	499,900	2	1\|0	860	3-Pending
118 OTAY AV	659,000	3	1\|0	1,080	3-Pending
309 SANTA CLARA WY	798,000	3	2\|0	1,200	3-Pending
3606 OSO ST	719,000	4	2\|0	1,520	3-Pending
3961 MARTIN DR	749,000	4	2\|0	1,741	3-Pending
3969 BRANSON DR	658,000	3	2\|0	1,442	3-Pending
50 OTAY AV	735,000	3	2\|0	1,580	3-Pending
51 POINSETTIA AV	589,950	3	2\|0	1,440	3-Pending
59 ANTIOCH DR	748,500	3	2\|0	1,260	3-Pending
CUPERTINO WY	675,000	3	2\|0	1,340	5-Sold	675,000
MARTIN DR	629,950	4	2\|0	2,110	5-Sold	655,000
SAN MIGUEL WY	799,000	4	3\|0	1,780	5-Sold	778,000
POINSETTIA AV	739,000	3	2\|0	1,260	5-Sold	716,000

FOSTER CITY HOMES AT-A-GLANCE

Fri, 12 Feb 2010 10:21:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
161 BEACH PARK BL	1,165,000	4	2\|1	2,620	1-Active
850 GULL AV	1,138,000	4	3\|0	2,160	1-Active
1020 WINDJAMMER CI	918,000	3	2\|0	1,810	1-Active
937 CONSTITUTION DR	888,000	4	2\|0	1,700	1-Active
740 POLARIS AV	879,000	3	2\|0	1,540	1-Active
609 PLYMOUTH LN	949,000	2	2\|1	1,710	2-Pending
648 MATSONIA DR	928,000	4	2\|0	1,760	2-Pending
491 PORT ROYAL AV	849,000	4	2\|1	2,200	2-Pending
1017 GULL AV	1,298,000	4	4\|0	2,750	3-Pending
911 CLIPPER LN	1,198,000	3	2\|1	2,360	3-Pending
257 PUFFIN CT	1,065,888	4	3\|0	2,450	3-Pending
37 WILLIAMS LN	899,000	3	2\|1	1,550	3-Pending
1121 CATAMARAN ST	888,000	4	2\|0	1,900	3-Pending
50 WILLIAMS LN	859,000	3	2\|1	1,550	3-Pending
512 GIBRALTAR LN	819,900	3	2\|0	1,620	3-Pending
250 TRYSAIL CT	1,058,000	4	3\|0	2,250	3-Pending
1067 EGRET ST	785,000	5	2\|0	1,930	3-Pending
						SALE PRICE
THATCHER LN	1,299,000	4	2\|1	2,730	5-Sold	1,250,000
BARKENTINE ST	1,178,000	6	4\|0	3,873	5-Sold	1,100,000
PORT ROYAL AV	1,149,000	5	2\|1	2,680	5-Sold	1,075,000
CUTTER ST	1,068,000	4	3\|0	2,450	5-Sold	1,040,000
FLYING MIST IS	1,049,950	5	3\|0	2,600	5-Sold	1,000,000
PORTSMOUTH LN	975,000	3	2\|1	1,800	5-Sold	1,020,000
SWORDFISH ST	776,000	3	2\|0	1,700	5-Sold	790,000
WILLIAMS LN	628,000	2	2\|0	1,240	5-Sold	610,000

FOSTER CITY CONDOS/TOWNHOUSES AT-A-GLANCE

Fri, 12 Feb 2010 10:08:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
1003 STERN LN	749,800	2	2\|1	1,580	1-Active
606 PAVO LN	729,000	3	2\|0	1,370	1-Active
880 MERIDIAN BAY LN #309	639,000	3	2\|0	1,606	1-Active
744 CELESTIAL LN	618,000	2	1\|1	1,270	1-Active
885 BALBOA LN	618,000	2	2\|0	1,270	1-Active
105 CITYHOMES LN	599,000	2	2\|1	1,410	1-Active
860 MERIDIAN BAY LN #123	580,000	2	2\|0	1,245	1-Active
1151 COMPASS LN #201	559,000	2	2\|0	1,286	1-Active
141 ALBACORE LN	489,999	2	2\|0	1,050	1-Active
1131 COMPASS LN #202	448,888	2	2\|0	1,286	1-Active
1025 SHELL BL #7	410,000	2	2\|0	1,042	1-Active
815 SEA SPRAY LN #209	399,000	1	1\|0	941	1-Active
820 SEA SPRAY LN #114	394,000	1	1\|0	953	1-Active
908 BEACH PARK BL #116	379,500	1	1\|0	810	1-Active
5102 ADMIRALTY LN	367,000	1	1\|0	748	1-Active
1191 SW COMPASS LN #108	399,000	2	2\|0	1,286	2-Pending
19 BINNACLE LN	778,000	3	2\|1	1,860	3-Pending
18 DORY LN	748,000	3	2\|1	1,860	3-Pending
1120 FORRESTAL LN	705,000	3	2\|0	1,350	3-Pending
660 CYGNUS LN	688,888	3	2\|1	1,600	3-Pending
9 E COURT LN	619,000	2	2\|1	1,410	3-Pending
650 CELESTIAL LN	614,900	3	2\|1	1,430	3-Pending
17 E COURT LN	589,500	2	2\|0	1,230	3-Pending
1599 BEACH PARK BL	535,000	2	1\|1	960	3-Pending
860 MERIDIAN BAY LN #229	528,000	2	2\|0	1,350	3-Pending
1129 POLYNESIA DR	519,988	2	1\|1	980	3-Pending
						SALE PRICE
BONITA LN	698,900	3	2\|1	1,630	5-Sold	655,000
GULL AV	599,000	2	2\|1	1,290	5-Sold	570,000
PERSEUS LN	499,000	2	2\|1	1,196	5-Sold	499,000
Shell BL #6	420,000	2	2\|0	1,042	5-Sold	384,000

BAY MEADOWS AT-A-GLANCE

Fri, 12 Feb 2010 09:45:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status	Sale Price
1337 WAYNE WY	590,000	2	2\|1	1,540	4-Pending
1371 WAYNE WY	699,999	3	2\|1	1,750	5-Sold	699,999
1115 YATES WY #1115	668,000	3	2\|1	1,312	5-Sold	645,000
1137 YATES WY	668,000	3	2\|1	1,312	5-Sold	634,888
1025 YATES WY	668,000	3	2\|1	1,312	5-Sold	605,000
1213 WAYNE WY	589,900	2	2\|1	1,540	5-Sold	600,000
1347 WAYNE WY	568,888	2	2\|1	1,250	5-Sold	545,000

FIESTA GARDENS AT-A-GLANCE

Fri, 12 Feb 2010 09:34:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
1072 FIESTA DR	669,000	4	3\|0	1,670	1-Active
2215 PORTSMOUTH WY	629,000	3	2\|0	1,530	7-Canceled
2215 PORTSMOUTH WY	629,000	3	2\|0	1,530	3-Pending	Sale Price
1083 ANNAPOLIS DR	719,950	3	2\|0	1,330	5-Sold	711,000
317 CUPERTINO WY	675,000	3	2\|0	1,340	5-Sold	675,000
3924 MARTIN DR	629,950	4	2\|0	2,110	5-Sold	655,000

VILLAGE AT-A-GLANCE

Fri, 12 Feb 2010 09:24:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
215 POINSETTIA AV	890,000	4	2\|0	1,930	1-Active
605 SANTA CLARA WY	849,000	5	2\|0	2,470	1-Active
55 POINSETTIA AV	759,000	3	2\|0	1,420	1-Active
3961 MARTIN DR	749,000	4	2\|0	1,741	1-Active
3969 BRANSON DR	658,000	3	2\|0	1,442	1-Active
127 POINSETTIA AV	648,000	2	1\|0	1,600	1-Active
4004 MARTIN DR	625,000	4	2\|0	1,690	2-Pending
10 ANTIOCH DR	599,000	3	2\|1	1,350	2-Pending
309 SANTA CLARA WY	798,000	3	2\|0	1,400	2-Pending
3606 OSO ST	719,000	4	2\|0	1,520	2-Pending
59 ANTIOCH DR	748,500	3	2\|0	1,260	2-Pending
62 POINSETTIA AV	739,000	3	2\|0	1,260	2-Pending	Sale Price
61 SAN MIGUEL WY	799,000	4	3\|0	1,780	5-Sold	778,000
317 CUPERTINO WY	675,000	3	2\|0	1,340	5-Sold	675,000
3924 MARTIN DR	629,950	4	2\|0	2,110	5-Sold	655,000
173 E HILLSDALE BL	432,630	2	1\|0	1,100	5-Sold	435,000

BAY MEADOWS AT-A-GLANCE

Tue, 02 Feb 2010 11:04:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

No Active Properties as of 2/2/10

Street Address	List Price	Beds	Baths	Bldg SqFt	Status	Sale Price
1337 WAYNE WY	590,000	2	2\|1	1,540	Pending
WAYNE WY	699,999	3	2\|1	1,750	5-Sold	699,999
WAYNE WY	568,888	2	2\|1	1,250	5-Sold	545,000

VILLAGE AT-A-GLANCE

Tue, 02 Feb 2010 10:50:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths	Bldg SqFt	Status
215 POINSETTIA AV	890,000	4	2\|0	1930	1-Active
605 SANTA CLARA WY	849,000	5	2\|0	2470	1-Active
309 SANTA CLARA WY	798,000	3	2\|0	1200	1-Active
55 POINSETTIA AV	759,000	3	2\|0	1420	1-Active
3961 MARTIN DR	749,000	4	2\|0	1741	1-Active
10 ANTIOCH DR	599,000	3	2\|1	1350	1-Active
59 ANTIOCH DR	748,500	3	2\|0	1260	Pending
62 POINSETTIA AV	739,000	3	2\|0	1260	Pending
3606 OSO ST	719,000	4	2\|0	1520	Pending
127 POINSETTIA AV	648,000	2	1\|0	1600	Pending
4004 MARTIN DR	625,000	4	2\|0	1690	Pending
325 E 39TH AV	540,000	2	1\|0	860	Pending

Street Address	List Price	Beds	Baths	Bldg SqFt	Status	Sale Price
SAN MIGUEL WY	799,000	4	3\|0	1780	5-Sold	778,000

What is a Strategic Mortgage Default?

Wed, 27 Jan 2010 10:19:00 -0800

Is California Rebounding? Is It Really?

By Steve Mogavero
Intero Real Estate Services

Last month, home sales in California were up almost 17% over November, and more than 10% over December 2008. This would indicate that progress is being made. Indeed, lots of people are predicting (as many do at the beginning of each year) that there will be a marked turnaround in market value and that things will do nothing but get rosier.

But there’s a problem that not a lot of people are talking about.

Raise your hand if you’ve heard of Strategic Mortgage Default.

No? Let’s talk about it.

Strategic Mortgage Default occurs when a homeowner, finding his home worth less than he owes on his mortgage, intentionally allows it to go into foreclosure. Let me repeat that: intentionally. Right or wrong, lots of people have done it. And many, many more are considering it. The thinking, typically, is that throwing good money after bad will just lead to ... nothing. Many people believe that their homes will never again be worth what they paid for them. As such, they think, “Huh. No more property taxes, maintenance, insurance? That sounds good.”

In 2010, based on when many parts of California saw their real estate markets “top out”, many homeowners will have adjustments in their mortgages kick in. One saving grace here might be that interest rates are quite low, so payments mightn’t change all that much. But these adjustments, coupled with new taxes just passed in the state and the realization that their homes aren’t worth close to what they paid might be enough to have many people throwing in the proverbial towel.

While all of this might sound bleak, it would be naive to issue feel-good platitudes and not face the reality of the situation head-on. Strategic Mortgage Default will do its part to radically raise the number of bank-owned for sale in California. And there are lots already.

If you’re planning on selling your house this year, these homes -- part of what we call “shadow inventory” -- could play a big role in where you can, realistically, set your price. If you’re planning on buying, you’ll want to know how to position yourself to get the best price possible on your purchase.

Strategic Mortgage Default is going to be something you’ll hear more and more about in 2010. Like “short sale”, “REO”, and “foreclosure”, it’ll become part of the daily vernacular.

Pretending that the world is draped in sunshine and rainbows won’t solve anything. It might make people feel better for a while, but it won’t solve anything. Facing reality is the only thing that gets the job done. Your Intero Real Estate professional is ready to deal with reality. Let us know how we can help.

FOSTER CITY CONDOS/TOWNHOUSES AT-A-GLANCE

Tue, 26 Jan 2010 12:07:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD. CALL ME TODAY FOR MORE DETAILS.

CONDO/TOWNHOUSES IN FOSTER CITY:

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
606 PAVO LN	729,000	3	2\|0	1,370	1-Active
862 BALBOA LN #15A	630,000	2	2\|0	1,270	1-Active
9 E COURT LN	619,000	2	2\|1	1,410	1-Active
744 CELESTIAL LN	618,000	2	1\|1	1,270	1-Active
650 CELESTIAL LN	614,900	3	2\|1	1,430	1-Active
860 MERIDIAN BAY LN #123	580,000	2	2\|0	1,245	1-Active
1131 COMPASS LN #316	396,000	2	2\|0	1,286	1-Active
908 BEACH PARK BL #116	379,500	1	1\|0	810	1-Active
1170 FOSTER CITY BL #103	479,999	2	2\|0	1,286	2-PendingWithRelease
1191 SW COMPASS LN #108	399,000	2	2\|0	1,286	2-PendingWithRelease
18 DORY LN	748,000	3	2\|1	1,860	3-PendingWithoutRelease
660 CYGNUS LN	688,888	3	2\|1	1,600	3-PendingWithoutRelease
952 DIAZ LN	624,000	2	2\|0	1,260	3-PendingWithoutRelease
59 COMMONS LN	615,000	2	2\|1	1,410	3-PendingWithoutRelease
800 SEA SPRAY LN #215	570,000	3	2\|0	1,546	3-PendingWithoutRelease
805 PERSEUS LN	499,000	2	2\|1	1,196	3-PendingWithoutRelease
800 SEA SPRAY LN #112	464,888	2	2\|0	1,213	3-PendingWithoutRelease
800 SEA SPRAY LN #217-E	319,950	1	1\|0	1,053	3-PendingWithoutRelease
5205 ADMIRALTY LN	309,900	2	1\|1	998	3-PendingWithoutRelease
1036 HELM LN	698,000	3	2\|1	1,880	4-PendingDoNotShow
126 ALBACORE LN	495,000	2	2\|1	1,370	4-PendingDoNotShow

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status	Sale Price
FORRESTAL LN	765,000	3	2\|1	1,700	5-Sold	735,000
TILLER LN	745,000	3	2\|1	1,530	5-Sold	723,000
TILLER LN	699,999	3	2\|1	1,540	5-Sold	650,000
BONITA LN	698,900	3	2\|1	1,630	5-Sold	655,000
BALBOA LN	618,888	2	2\|0	1,395	5-Sold	630,000
GULL AV	599,000	2	2\|1	1,290	5-Sold	570,000
CANIS LN	599,000	3	2\|1	1,563	5-Sold	600,000
COMMONS LN	559,900	2	2\|1	1,530	5-Sold	580,000

FOSTER CITY HOMES AT-A-GLANCE

Tue, 26 Jan 2010 10:54:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD. CALL ME TODAY FOR MORE DETAILS!

SINGLE FAMILY RESIDENCES IN FOSTER CITY:

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
161 BEACH PARK BL	1,189,000	4	2\|1	2,620	1-Active
850 GULL AV	1,178,000	4	3\|0	2,160	1-Active
609 PLYMOUTH LN	1,100,000	2	2\|1	1,710	1-Active
1134 POLYNESIA DR	988,000	3	2\|0	1,640	1-Active
1156 DOVER LN	968,000	3	2\|1	1,790	1-Active
1121 CATAMARAN ST	888,000	4	2\|0	1,900	1-Active
50 WILLIAMS LN	859,000	3	2\|1	1,550	1-Active
512 GIBRALTAR LN	819,900	3	2\|0	1,620	1-Active
1067 EGRET ST	785,000	5	2\|0	1,930	1-Active
1100 BLYTHE ST	899,000	4	2\|1	2,120	2-Pending
1017 GULL AV	1,298,000	4	4\|0	2,750	3-Pending
37 WILLIAMS LN	899,000	3	2\|1	1,550	3-Pending
61 WILLIAMS LN	628,000	2	2\|0	1,240	4-Pending

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status	Sale Price
SURFBIRD IS	1,475,000	4	3\|0	3,200	5-Sold	1,350,000
THATCHER LN	1,299,000	4	2\|1	2,730	5-Sold	1,250,000
BARKENTINE ST	1,178,000	6	4\|0	3,873	5-Sold	1,100,000
SHOOTING STAR	1,125,211	4	2\|1	1,990	5-Sold	1,010,000
CUTTER ST	1,068,000	4	3\|0	2,450	5-Sold	1,040,000
FLYING MIST IS	1,049,950	5	3\|0	2,600	5-Sold	1,000,000
PORTSMOUTH LN	975,000	3	2\|1	1,800	5-Sold	1,020,000
PELICAN CT	900,000	4	3\|0	2,250	5-Sold	888,888
CRANE AV	808,000	3	2\|0	1,760	5-Sold	808,000
WILLIAMS LN	799,888	3	2\|1	1,550	5-Sold	800,000
SWORDFISH ST	776,000	3	2\|0	1,700	5-Sold	790,000

City of San Mateo Design Review Process

Tue, 26 Jan 2010 10:18:00 -0800

Homeowners frequently ask me about Selling vs. Remodeling or adding on to their existing home. Well, here is some information regarding the process of Design Review in the City of San Mateo.

If you would like a Free Evaluation of your home, call me at 650-377-4888.

Single-Family Dwelling Design Review

What is Subject to Review?
Any second story addition greater than 50 square feet or "substantial removal" of an existing single family residence in any residential (R) zoning district requires a Single Family Dwelling Design Review approval.

Early Consultation with City Staff (before starting plans)
The San Mateo City Council, Planning Commission and Planning staff encourage property owners to visit the Planning Division prior to developing plans for modifying an existing single family residence. Staff is available to assist property owners by providing information about City regulations and procedures for making such modifications. Early review of the City of San Mateo’s Single Family Dwelling Design Guidelines and Zoning Code requirements can help property owners and their designers develop plans consistent with the City’s requirements and guidelines.

Required meeting with Planning Division Staff
Once schematic plans have been developed, the applicant should meet with the City’s Planning Division staff in order to receive all submittal information, requirements and materials about the Single Family Dwelling Design Review process and to provide staff with information about the proposed project. This provides an opportunity for staff to conduct a preliminary review of the project design. Staff may provide verbal comments, which should be addressed prior to submittal of the application. Please note that these comments will be general and additional issues may arise upon application submittal when staff conducts a thorough review of the application. Additionally, at this initial meeting staff will determine what level of review is required for your project (see Design Review Matrix at the end of this document).

Pre-Application Neighborhood Meeting and Notification Process
A pre-application neighborhood meeting is required prior to submittal of a Single Family Dwelling Design Review Application with the City. This process is intended to allow neighbors to be informed of a pending project in their neighborhood and be given an opportunity to comment directly to the applicant. The applicant then has the opportunity to resolve issues prior to submittal of a formal planning application, thereby reducing the potential for public controversy and the possibility of an appeal. Please refer to the Single Family Dwelling Pre-Application Neighborhood Meeting handout for requirements.

Submittal of Single Family Dwelling Design Review Applications
The next step in the Single Family Dwelling design review process involves submittal of a Single Family Design Review Application, which can occur no sooner than 5 calendar days and no later than 45 calendar days after the Pre-Application Neighborhood Meeting. The application shall include the information required in the Application Guide for Single Family Dwelling Design Review available from the Planning Division.

Single Family Dwelling Design Review Process

1. Planning Application. Applicant submits a complete Single Family Design Review Application, subject to the required information in the Planning Application Guide for Single Family Dwelling Design Review.

NOTE: Applicants are encouraged to use the services of licensed design professionals when preparing and processing Single Family Dwelling Design Review applications.

2. Project Planner. The City assigns a "project planner" to the application. The project planner:

Reviews the application for completeness;

Verifies that the Pre-Application Neighborhood Notice was done correctly;

Visits the site;

Determines if an environmental assessment is necessary. This is unlikely unless demolition of the exiswting house is involved or is a historically significant structure.

Reviews the plans to ensure conformance with the Single Family Dwelling Design Guidelines and Zoning Code;

Coordinates the review of the application with other City departments including the Building Division, Fire Department and Public Works Department;

Meets with the applicant, as needed

Coordinates all public noticing; and

Prepares the written decision, with Findings and Conditions of Approval, and any subsequent staff reports if needed.

3. Environmental Document. The Project Planner prepares any required environmental document (as noted above, the requirement for such a document is unlikely unless demolition of the existing house is involved). Most Single Family Dwelling Design Review projects are categorically exempt from CEQA (California Environmental Quality Act).

4. Public Notice. Prior to the formal decision on the Single Family Dwelling Design Review application, the project planner sends a notice to all property owners within a minimum of 500 feet from the property, the neighborhood association(s) and the United Homeowners Association (same list as the pre-application neighborhood notification list). This notice informs neighbors that the Planning Division is preparing to approve the planning application. Staff or the Zoning Administrator will make a decision on the application no sooner than 10 days after the public notice. This is normally done without the need for a public hearing. However, the Zoning Administrator may refer the project to the Planning Commission if there is public controversy or a finding is made that the project is not consistent with the Single Family Dwelling Design Guidelines or other City requirements.

5. Staff or Zoning Administrator Approval and Conditions. If the application is approved, a copy of the decision, findings and any conditions of approval shall be sent to the applicant. The applicant should call the project planner within 10 days if there are any questions or comments about the approval or conditions. Any staff or Zoning Administrator’s decision may be appealed within 10 calendar days. The requirements for an appeal may vary depending on the level of review required for the proposed project (see Single Family Dwelling Design Review Matrix for the appropriate appeal body). Any person wishing to appeal a project is required to contact the Planning Division at City Hall to submit the appropriate forms and fees. Please note that Tier II Single Family Dwelling Design Review projects are evaluated by staff for conformance with the Single Family Dwelling Design Guidelines and then cleared for Building Division submittal.

6. Planning Commission. The project may be considered by the Planning Commission as a result of a Zoning Administrator referral, an appeal of the Zoning Administrator’s decision, Planning Commission decision to review the Zoning Administrator’s action, or if a Special Use Permit is required. Any time a Single Family Dwelling Design Review application is to be reviewed by the Planning Commission, the applicant’s project plans shall first be reviewed by a design consultant hired by the City and paid for by the applicant (see next section). After the design consultant’s review, a Planning Commission public hearing date is set. Ten days prior to the hearing, a meeting notice is sent to all property owners within a minimum of 500 feet from the property, neighborhood association(s), and the United Homeowners Association (same list as the pre-application neighborhood notification list). In addition, the applicant will be required to place a placard at the project site at the same time the notice is sent. Planning Staff will prepare the placard.

The Planning Commission will make a decision on the application at a public hearing. The applicant, applicant’s architect or other representative, and any interested parties should attend. The Planning Commission decision may be appealed to the City Council within ten (10) calendar days of the Planning Commission decision. An appeal of a Planning Commission decision is filed through the City Clerks office by filling out the appropriate form and paying the associated fee.

7. Design Consultant. Prior to any Planning Commission review of a Single Family Dwelling Design Review application, a design consultant selected by the City and paid for by the applicant shall review the proposed plans. The consultant shall meet with the applicant, evaluate the proposed plans for consistency with the Single Family Dwelling Design Guidelines, and recommend necessary changes for consistency with the Single Family Dwelling Design Guidelines. After the applicant has completed any changes, the consultant shall prepare a short written report for the Planning Commission regarding the proposed plans consistency with the Single Family Dwelling Guidelines and any additional modifications needed to achieve such consistency.

8. City Council. The City Council’s review and public hearing process is the same as the Planning Commission’s process described above. The City Council will review the Planning Commission decision and reason for appeal. The City Council’s decision is final.

9. Building Permit. After the project is approved, the applicant’s next step will be to apply for a building permit. The Building Division staff (650) 522-7172 should be contacted for information about the plans and forms needed for the building permit application. Prior to issuance of the building permit, final drawings are checked by City staff to make sure that the plans are substantially the same as those approved as part of the Planning Application. In addition, all Conditions of Approval must be fulfilled and noted on the building permit plans.

An applicant or successor-in-interest must apply for a building permit within two years of the Single Family Dwelling Design Review approval, and a building permit must be issued no later than six months after that two-year date.

BAY MEADOWS AT-A-GLANCE

Fri, 22 Jan 2010 11:21:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
WAYNE WY	590,000	2	2\|1	1,540	3-Pending
WAYNE WY	699,999	3	2\|1	1,750	5-Sold
WAYNE WY	568,888	2	2\|1	1,250	5-Sold

FIESTA GARDENS AT-A-GLANCE

Fri, 22 Jan 2010 10:53:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths (F\|P)	Bldg SqFt	Status
FIESTA DR	699,000	4	3\|0	1,670	1-Active
PORTSMOUTH WY	629,000	3	2\|0	1,530	1-Active

* No homes have closed in the past 3 months.

VILLAGE AT-A-GLANCE

Fri, 22 Jan 2010 10:31:00 -0800

CURRENT MARKET ACTIVITY IN YOUR NEIGHBORHOOD! CALL ME TODAY FOR MORE DETAILS!

Street Address	List Price	Beds	Baths	SqFt	Status
POINSETTIA AV	890,000	4	2\|0	1,930	1-Active
SANTA CLARA WY	849,000	5	2\|0	2,470	1-Active
MARTIN DR	749,000	4	2\|0	1,220	1-Active
POINSETTIA AV	739,000	3	2\|0	1,260	1-Active
POINSETTIA AV	648,000	2	1\|0	1,600	1-Active
ANTIOCH DR	599,000	3	2\|1	1,350	1-Active
MARTIN DR	625,000	4	2\|0	1,690	2-PendingWithRelease
E 39TH AV	540,000	2	1\|0	860	2-PendingWithRelease
OSO ST	719,000	4	2\|0	1,520	3-PendingWithoutRelease
ANTIOCH DR	748,500	3	2\|0	1,260	4-PendingDoNotShow
SAN MIGUEL WY	799,000	4	3\|0	1,780	5-Sold
CASANOVA DR	645,000	3	1\|0	1,130	5-Sold

New Rules for FHA borrowers!

Thu, 21 Jan 2010 11:36:00 -0800

Now may be the right time to SELL! CALL me today if you have any questions about these changes!

The Federal Housing Administration (FHA) today outlined future changes to the FHA home loan program. The changes first were proposed last month by Secretary of Housing and Urban Development (HUD) Shaun Donovan.
Rising defaults on FHA loans have led to the FHA’s cash reserves falling below federally mandated levels. FHA officials hope that policy changes will ensure borrowers have a stronger equity position and are less likely to default.
Policy changes include:

Raising the up-front mortgage insurance premium: The premium will rise to 2.25 percent from its current 1.75 percent. HUD is expected to release a Mortgagee Letter on Jan. 21 making the premium increase effective in the spring.
Raising the minimum credit score requirements: New borrowers will be required to have a minimum FICO score of 580 to qualify for the FHA’s 3.5 percent down payment program. New borrowers with less than a 580 FICO score will be required to put down at least 10 percent. FHA expects this to take effect in early summer after it goes through the normal regulatory process.
Reduce allowable seller concessions: The agency is lowering the maximum permissible level to 3 percent from its current 6 percent limit. FHA expects this to take effect in early summer after it goes through the normal regulatory process.

For the full story, go to http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-016

Home Sellers and Real Estate Professionals

Tue, 19 Jan 2010 12:28:00 -0800

Selling a home can often be just as complicated and confusing as buying a home. This was particularly true during the recent economic recession. Most home sellers turn to real estate professionals to help them sell their home.

Why They Sell

Home owners sell their homes for a variety of reasons. Some sellers sell their home because they are "trading up" to a larger property, because of changes in their financial or family situations, a job relocation, or to be closer to family and friends. The most frequently reported reason for selling a home was job relocation, cited by 21 percent of recent sellers. Nineteen percent of sellers reported they sold their home because it was "too small" and they wanted a larger property. (This reason was even more frequently cited by sellers aged 44 or younger.)

What Sold

Eighty-two percent of sellers sold a detached single-family home, with the townhouse/row house the second most frequent type of home sold. Sales of detached single-family homes accounted for a slightly larger share of sales in suburbs, small towns and rural areas than in other areas. Although single-family sales still dominated in each type of location, condos accounted for a much higher share of sales in urban and central city areas and resort areas.

The Selling Market

Among recently sold homes, the sales price was a median 95 percent of the listing price. The 2008 Profile reported that sales prices were typically 96 percent of the listing price. This is reflective of the final price the home was listed for and is a good indication that real estate professionals are pricing homes competitively in the current market. More than 44 percent
of homes sold for 94 percent or less of the listing price while one-third sold for 95 to 99 percent of the listing price.

Additionally, before settling on a final listing price, 60 percent of sellers reported they reduced the asking price at least once during the home sale process. About one-quarter reduced their asking price only once.

The median time on the market for recently sold homes was 10 weeks-up from eight weeks as reported in the 2008 Profile. One-third of homes were on the market for 17 weeks or more.

For homes on the market less than one week, the median sales to listing price was 100 percent; 58 percent of homes sold at the listing price. As time on market lengthened the difference between sales and listing price grew. For those homes that were on the market for at least 17 weeks, for example, the median sales to listing price was 90 percent with just 4 percent selling at the listing price.

Method of Home Sales

In a complex and difficult housing market, sellers understand the importance of working with real estate professionals. Eighty-five percent of home sellers sold their home with the assistance of a real estate agent, a share that has shifted more in favor of using a professional in the last several years. The share of For-sale-by-owner (FSBO) decreased - from 14 percent in the 2003 and 2004 survey to 11 percent in the current Profile.

Finding a Real Estate Professional

The Internet, open houses, for-sale signs, newspaper advertisements, and direct mail are all methods by which sellers find their real estate agent. But a referral from family or friends who knew the agent or if the seller used the agent in a previous transaction were still the most frequently cited. Forty percent of sellers who used a real estate agent found their agents through a referral. Twenty-six percent had previously worked with the agent either to sell or purchase a home.

And what do sellers want most from their real estate professional? Help with pricing the home competitively and finding a buyer for the home were the most frequently reported services with which sellers wanted help from their agents (22 and 21 percent, respectively). An equal share of sellers - 19 percent - most wanted help with marketing their home to potential buyers and assistance in selling their homes within a specific time frame.

Going it "Alone" -- FSBOs

As mentioned above, 11 percent of home sellers who sold a home between July 2008 and June of 2009 went the FSBO route. That is slightly less than in last year's survey. But in keeping with FSBO-trends, the median sales price of FSBO homes was less than those sold through a real estate professional, $172,000 vs. $215,000 respectively. One reason the typical FSBO home sold for much less than the typical agent-assisted home was because many FSBO homes were lower priced ones and nearly half were sold between buyers and sellers who were acquainted with each other. About half of FSBO sales were to buyers whom the sellers knew.

Why go FSBO? The primary reason that sellers chose to sell their home without the assistance of a real estate agent to a buyer they did not know was because they did not want to pay a fee or commission. This reason was cited by 49 percent of FSBO sellers.
.
However, FSBOs face challenges in selling their homes themselves. Eighteen percent of FSBOs reported that preparing or fixing up their home for sale was their most difficult task. Pricing their properties right and dealing with the paperwork were each cited by 15 percent of FSBOs as the most difficult task in selling their homes themselves.

Even successful FSBO sellers are not necessarily sure they will "go it alone" the next time they sell a home. While the majority of FSBO sellers who knew their buyers (56 percent) indicated they weren't sure, only 15 percent said they would sell their current home themselves. Twenty-nine percent indicated that they would use a real estate professional for their next home sales transaction.

Building on Reputation

More than a third of recent home sellers who used an agent said the real estate professional's reputation was the most important factor in selecting that agent, and one-fifth of sellers indicated that the agent's honesty and trustworthiness were most important. That high level of integrity and professionalism will likely translate into repeat business for real estate professionals. Among recent sellers who used an agent, 81 percent reported they would definitely (59 percent) or probably (22 percent) use that real estate agent again or recommend their agent to others. To drive this point home, about two-thirds of sellers only contacted one agent during the home selling process.

Conclusion

The housing market has certainly seen its share of trials and tribulations during the recent recession. High levels of inventory, tight credit, and a weak job market have all presented challenges to homeowners who wanted to sell a home, and to the real estate professionals who assist them in those transactions.

But the situation has improved. Interest rates are at historical lows and - perhaps most important for housing - the first-time home buyer tax credit has been extended and expanded (so many trade-up buyers may qualify). While it is still a buyer's market, things are looking up for home sellers as demand remains high and home prices are on the road to stabilization. Going forward, real estate agents can be confident that their expertise and professionalism will also be "in demand" for home sellers.

What's in Store for 2010?

Thu, 14 Jan 2010 09:27:00 -0800

What’s In Store In 2010?

By Steve Mogavero

Intero Real Estate Services

After two solid years of unmitigated distress in the real estate market, 2009 gave us some positive signs that we’ve seen the worst of it and that, while it’ll be slow, recovery has started. It was the year in which prices seem to have hit bottom and began to stabilize.

But what’s coming in 2010?

One of the biggest stories of 2009 was the Federal home buyer’s tax credit. The credit likely spurred the real estate market along, as buyers were anxious to take advantage of it. But the credit’s been expanded, and it now has a benefit to current homebuyers, should they choose to move up to a higher-priced home. With many of those homes at prices that are, comparatively, very low, 2010 could be just the time to make the move.

2010 could well show marked improvements as people clamor to take advantage of the credit before it expires in the Spring. Though small increases have been seen in mortgage interest rates, they are still at historically low levels. There is wide speculation, however, that these rates are nearing their end. With heightened demand from buyers and housing inventory on the decline, 2010 could very well be THE time to buy.

There could be great news for sellers, as well. While it’s not likely that we’ll ever return to the feverish seller’s market of 2005 & 2006, increased buyer demand will likely help to ease the losses that many sellers have taken in the past couple of years. It’s probable that many neighborhoods will start to see some increases in their prices. These gains will be more reflective of actual worth -- numbers based in reality -- as opposed to the artificially-created sales figures of the early 2000s.

It’s important to note that, as a nation, we’re not out of the woods just yet. But the end of 2009 gave us many signs that its edge is near. At Intero, we look forward to making the journey toward recovery with you.

Happy New Year, and the best to you in 2010.

Buying a Short Sale or Foreclosure - Buyers should consider the Advantages and Disadvantages

Thu, 07 Jan 2010 10:42:00 -0800

In today's market, almost half of the homes listed for sale are distressed sales - meaning they are either short sales or foreclosures. The percentage varies depending on the city and region, but foreclosures and short sales generally make up a large part of the home inventory in many metropolitan areas in the United States, including the Dallas - Fort Worth area. This will likely remain the case for at least the next couple of years.

And while it is true that many foreclosures and short sales are great homes, buyers should know the possible advantages and disadvantages of entering into these types of transactions.

Foreclosures and short sales are not the same thing. A foreclosure occurs when a home owner is unable to make their mortgage payments to the point that they default per the terms of their note. At that point, the trustee forces the property to be sold at auction on the courthouse steps and the lender places a minimum bid equal to the amount of the delinquent mortgage. If the lender happens to be the highest bidder, then they end up owning the property (called an REO or "Real Estate Owned" property). Sometimes the lender will negotiate with the guarantor, such as Fannie Mae or FHA, to take over the task of selling the asset. Other times, they will keep it on their books and sell it themselves. A HUD home is a property where the previous owner had an FHA loan, the property was foreclosed and the lender negotiated with HUD to take over and sell the home. And likewise, a Fannie Mae, Freddie Mac or VA foreclosure is essentially the same situation.

A short sale occurs when when a home is still owned by the home owner, but the amount of money they owe on their mortgage plus the costs to sell the home exceed the total market value. When this happens, the home owner usually either has to come up with the deficiency balance in cash or they must negotiate with their lender to accept a payoff that's "short" of the amount they owe. So a short sale is exactly what it sounds like-a home owner is selling the property short of the total cost to liquidate the home.

In a non-distressed sale, a home buyer usually just has to deal with negotiating the offer with an individual seller. For example, if I wanted to sell my house right now, I would hire an agent to market my home and obtain an offer. Once a buyer came along with an offer, I would instruct my agent to negotiate per the terms I was willing to accept. I do not have an asset manager or a department of people in my living room tasked with making this decision - it's a somewhat simple decision that I would make quickly and efficiently because it's the only home I have to sell.

In the case of a foreclosure, the seller is usually a bank or asset manager, so the process is often somewhat different. Some foreclosures do not take much longer, sometimes no longer, to close than a transaction with an individual seller. It ultimately depends on several factors, mainly the bidding and paperwork process required by the lender. Often times, the bidding process is very straightforward and efficient (as in the case of HUD Homes). Other times, it can be a complete beaurocatic nightmare.

In the the case of a short sale, the seller is still the individual who owns the home, but they must negotiate with the lender to allow a portion of their loan balance to be forgiven (written off). This is the main drawback to short sales - they can take an extraordinary amount of time to close in some cases because it may take the lender weeks or even months to perform all of the internal steps they must complete in order to make their decision. I've heard stories of extreme cases, some here on Active Rain, about short sales taking upwards of six to nine months to close. In my experience this is not typical, but they almost always take significantly longer than sales involving individual sellers and even most foreclosures.

For home buyers looking to take advantage of the tax credits and the low interest rates, time is of the essence and this may not be the route they should choose if trying to close as quickly as possible. Having said that, there are instances where short sales may only take 30-60 days to close. It all depends on the lender and also whether or not the process of negotiating the reduction in payoff was started prior to the buyer entering into the transaction.

BUYING A FORECLOSURE - ADVANTAGES AND DISADVANTAGES

Possible Advantages:

Some lenders offer incentives to home buyers purchasing their foreclosures, such as the HUD $100 Down program. Fannie Mae and Freddie Mac also offer incentives to owner-occupant purchasers, such as reduced down payments and extended home warranties.
In the case of a HUD Home, HUD may allow certain repairs to be escrowed (rolled into the loan).
Homes are sometimes sold below market value. In some cases, they may require few, if any, repairs or upgrades. This is not typical but it does happen in some cases. It is a myth that all foreclosures are in an advanced state of disrepair.

Possible Disadvantages:

Depending on the lender, the transaction may take longer to close. Lenders often require loan documents to be at the title company far in advance of closing. Furthermore, inspections may take longer becuase utilities must be turned on in many cases. Other circumstances may arise that can cause delays.
Lenders are not required to complete a seller's disclosure on foreclosures, so the buyer must rely on their home inspection, agent advice and intuition to assess the condition of the property.
Lenders may require the buyer to sign certain addenda which may supercede some of a buyer's rights contained within the state promulgated real estate contract.
Buyers who close late may have to pay per diem penalties, or worse yet, may lose their earnest money and forfeit the contract if they do not close on time. Of course, this may be the case in any transaction but per diem fines seem to be very common on foreclosures. Buyers purchasing foreclosures should make sure their lender has the capability to close their transaction in the time required by the seller.
The lender will often refuse to make any repairs to the property. In some cases, such as in the case of FHA loans, the buyer's lender may refuse to complete the loan if certain deficiancies exist, such as foundation problems or other issues that may jeopardize the home owner's safety.
In cases where a home is in a severe state of disrepair, it may be hard or impossible to obtain traditional financing.

BUYING A SHORT SALE - ADVANTAGES AND DISADVANTAGES

Possible Advantages:

As is the case with some foreclosures, short sales may also be priced below market. This depends on a bank's final judgment as to whether or not a short sale would be more of an advantage to them over proceeding with a foreclosure. Banks do not negotiate short sales for the benefit of home buyers or home sellers - it is strictly a business decision from their standpoint.
Buyers who are willing to tolerate a long approval process may find they have less competition since many buyers do not have the stomach nor the time to deal with a short sale transaction.

Possible Disadvantages:

The seller may not be able to make any repairs, especially since they may already be in a distressed financial state. The lender will usually not agree to make any repairs either, and may also refuse to pay a portion of the buyer's closing costs.
Not only do many short sales take a long time to close, many lenders also take a long time to physically accept or reject a buyer's offer. So in the above cases where I mentioned some short sales may take months to close, most buyers do not know whether the bank has accepted their offer until the last minute. And furthermore, many banks will demand a quick closing after they have let the buyer and seller languish in limbo for months.
Buyers stuck in limbo waiting for an answer may miss out on low interest rates and/or the home buyer tax credit. Banks will typically not lock loans for longer than 60-90 days, and even ones that do will require a premium to lock in a rate for this long. Add that to the risk of missing out on the tax credit and it may not be worth it to some home buyers.
Banks may refuse to honor an agreement if the buyer fails to close within the time required by the agreement.
Imagine waiting 30, 60 or even 90 days for an answer....and the answer is "NO". Buyers in this position must now start from square one and they've lost all of that valuable time.
In some rare cases, banks have foreclosed on properties while in the middle of negotiating a short sale. Sounds crazy, but some banks' left hands don't know what their right hands are doing if you can believe that....

As with anything else in real estate, every transaction is different. This is not meant to discourage home buyers from attempting to purchase foreclosures or short sales, it is merely meant to show the possible advantages and disadvantages. I have worked with foreclosure and short sale transactions on both the loan and real estate side, and each one had its ups and downs. In every case where the buyer was prepared, they were typically pleased with the outcome. But buyers should be aware of the drawbacks, especially the long waiting periods associated with some of these transactions, mainly short sales. Buyers who need to close within a certain time frame should always evaluate the risks before beginning negotiations.

* THIS ARTICLE WAS ORIGINALLY PUBLISHED AT http://dfwhomefinder.info *

Making Sense of Loan Modifications

Wed, 06 Jan 2010 08:46:00 -0800

Making Sense of Loan Modifications
By Steve Mogavero
Intero Real Estate Services
Losing one’s home is a gut-wrenching experience. It’s something no one should have to go through. Now, sadly, many, many people are having to do just that. In many cases, however, there is another answer.
The Home Affordable Modification Program, or HAMP.

Part of the Federal Government’s economic stimulus plan, HAMP is an option that has yet to pick up a head of steam. It’s possible that it hasn’t gotten the necessary publicity, which is a shame, because keeping homeowners in their homes is vital not just to their well-being, but to the well-being of our economy.

Here’s how HAMP works:

Not a refinance, which replaces your loan with a brand-new mortgage, a loan modification happens when your lender reworks the terms of your existing loan. Generally speaking, this lowers payments and makes the home more affordable for you. Often, the lower payments are the result of a lower interest rate, an extension in the loan term, a reduction in principal, or any combination thereof.

If your home is your primary residence and the balance of your first mortgage is less than $729,750, then you may qualify for the program. Additionally, you’ll have to demonstrate that you’re facing hardships that are affecting your ability to make payments on your mortgage. From there, your lender will ask for documentation about your income, bank statements, as well as other financial data. You’ll also be asked to complete a Hardship Affidavit, in which you’ll describe extenuating circumstances with which you’re dealing.

“I’m doing just fine with my mortgage payments. Why is this important for me?”

Why? I’ll tell you why. The prospect of tens of thousands (yes, that many) homes suddenly appearing on the market is a pretty gruesome specter for our economy. Part of the problem of “shadow inventory” that we mentioned several weeks ago - a tidal wave of foreclosed homes entering the marketplace - would be a crushing blow to a real estate market that is only just showing signs of recovery.

Also, unoccupied homes are blights on communities. Too many can splinter a neighborhood, driving down everyone’s property values -- not just those that are empty. And make no mistake: this isn’t just a problem of lower-income communities. No. Foreclosure is just as much of a problem in higher-end neighborhoods.

As Bloomberg reported late December - Homeowners with mortgages of more than $1 million are defaulting at almost twice the U.S. rate. This brings the rate of default for these considerable loans up to a skyrocketing level of 12 percent as of September, compared with 6.3 percent on loans less than $250,000 and 7.4 percent on all U.S. mortgages. This is quite a jump from the year prior where the rate for default on the $1 million dollar plus mortgages as only 4.7 percent.

So, take a look at HAMP. HAMP is offering distressed homeowners a second chance. A chance to keep a roof over their family’s head. A chance to keep the sense of pride instilled by owning your own home.

It’s not a cure-all. But it’s a place to start.

Congratulations students from Bowditch!

Tue, 29 Dec 2009 13:29:00 -0800

A team of students representing Bowditch Middle School recently won highest honors in the WordMasters Challenge — a national language arts competition entered by over 230,000 students annually.

Coached by teachers Maggie Markham and Debby Freesmeier, the school’s sixth graders placed first in the nation in the year-end cumulative standings among 416 school teams participating at this grade level and in this division. In addition, five of the school’s students won highest honors for individual achievement as well: Sandra Kung, Jason Miao, Ilya Rosenblat, Mieka Voges and Chihiro Yoshiba all earned perfect scores in the meet among only 67 sixth graders nationwide.

Others students who also achieved outstanding results in the final meet included Valerie Chen, Tamlyn Chew, Mark Helsel, Eddie Huang, Mia Maramba, Bailey Nestor, Charis Nixon, Nicholas Petrini, Farid Qobti, Kina Simonson, Pryanka Takle, Evan Tang, Christinia Tian, Anastasia Tsepalov, Chris Woodward, Kathryn Aarons, Tejas Badadare, Peter Ryan Chebi, Tiffany Chen, Laure Diep, Aria Farahani, Daniel Finer Faabio Gallardo, Samir Hede, Katie Hsu, Risako Emily Kawakatsu, Bryan Lau, Lisa Leung, Michale Maramba, Sarah Park, Julia Yermash, Owen Zhai and Angela Zhang.

The WordMasters Challenge is an exercise in critical thinking that encourages students to become familiar with a set of interesting new words (considerably harder than grade level), and then challenges them to use those words to complete analogies expressing various kinds of relationships. Working to solve the Challenge analogies helps students learn to think both analytically and metaphorically.

What's Next for Bay Meadows!

Wed, 16 Dec 2009 10:42:00 -0800

As many of you know, the Bay Meadows race track was demolished recently and the debree has been removed. You are probably wondering what is in the works for the Bay Meadows Racetrack area.

Bay Meadows Phase I

The Phase I project is the development near the Whole Foods Market and Gold’s Gym, located on the corner of Saratoga Drive and Franklin Parkway. This project includes several restaurants, office space, open space, Bay Meadows townhomes, Bay Meadows homes and the Bay Meadows Archstone Apartments.

Before this area was developed into what it is today, it was the location of the Bay Meadows practice horse racetrack. When the practice track was torn down a few years ago, developers came in and made this area one of the nicer places to live in San Mateo. San Mateo residents who enjoy being able to walk to grocery shopping, restaurants and the gym should consider buying a home or townhome in the Bay Meadows area.

Because Phase I was a success, the developers for Phase II of the project have decided to do more of the same.

What Will Be Included in Bay Meadows Phase II?

Bay Meadows Phase II will be located on the same property which, until recently, housed the Bay Meadows Racetrack. This area is between Saratoga Drive and the Caltrain tracks that run parallel to El Camino Real.

Bay Meadows Phase II Will Include…

Residential Units in Bay Meadows Phase II

Condominiums with depressed parking above ground floor retail and office spaces
Townhomes, much like the townhomes in Bay Meadows Phase I

Green Space Included in Bay Meadows Phase II

12 acres of parks and green space
Linear park connecting residential and non-residential buildings, much like what separates the residential from commercial areas of Bay Meadows Phase I
Large community park
Several smaller parks located throughout the development

There will also be several thousand square feet of office and retail space and also easy access to public transportation.

When Can You Expect to See Any Progress on Bay Meadows Phase II?

The rest of 2009 will be spent building infrastrcture including grading of the lot and roadway construction. Then, in 2010 the developers plan to do utility work and site improvements such as parks, the town square and continuing roadway construction. It probably won’t be until 2011 when residential units go up. Likely the townhomes will be constructed first, followed by the condominiums. The developers feel there will be a greater demand for the Bay Meadows townhomes and want to get those built first.

Service is #1

Thu, 30 Oct 2008 05:26:00 -0700

What is YOUR home worth? Call me for a FREE Analysis!!

Amazing Opportunities Exist for Buyers!

If you have friends, family, neighbors, or co-workers thinking of buying or selling a home, please have them call me to discuss their real estate needs!

My goal is to help you receive the highest price for your home in the shortest amount of time, with as little stress to you as possible.

Selling homes on the Peninsula since 1988 with over 400 successful sales!
Your home will be professionally staged at NO COST TO YOU!!
Extensive Media advertising, Professional color brochure, Virtual tour and all needed inspections done at NO COST TO YOU!!
Impeccable references and testimonials.

Steven Mogavero Blog

Prices Stepping Up in California

Foreclosures Get a Real Rescue!

Don't Miss the BIG Opportunity!

Life After the Homebuyers Tax Credit

Self-employed have a tough time landing mortgages, but it's still possible

HAFA Spells Relief … Or Does It?

Village At-A-Glance

Quick Guide to Buying a "Short Sale"

Top 10 Questions answered about Short Sales

Steven C. Mogavero

Help for "Underwater" Homeowners

FOSTER CITY HOMES AT-A-GLANCE

FOSTER CITY CONDOS/TOWNHOUSES AT-A-GLANCE

BAY MEADOWS AT-A-GLANCE

FIESTA GARDENS AT-A-GLANCE

VILLAGE AT-A-GLANCE

FOSTER CITY HOMES AT-A-GLANCE

FOSTER CITY CONDOS/TOWNHOUSES AT-A-GLANCE

BAY MEADOWS AT-A-GLANCE

FIESTA GARDENS AT-A-GLANCE

VILLAGE AT-A-GLANCE

BAY MEADOWS AT-A-GLANCE

VILLAGE AT-A-GLANCE

What is a Strategic Mortgage Default?

FOSTER CITY CONDOS/TOWNHOUSES AT-A-GLANCE

FOSTER CITY HOMES AT-A-GLANCE

City of San Mateo Design Review Process

BAY MEADOWS AT-A-GLANCE

FIESTA GARDENS AT-A-GLANCE

VILLAGE AT-A-GLANCE

New Rules for FHA borrowers!

Home Sellers and Real Estate Professionals

Why They Sell

What Sold

The Selling Market

Method of Home Sales

Finding a Real Estate Professional

Going it "Alone" -- FSBOs

Building on Reputation

Conclusion

What's in Store for 2010?

Buying a Short Sale or Foreclosure - Buyers should consider the Advantages and Disadvantages

Making Sense of Loan Modifications

Congratulations students from Bowditch!

What's Next for Bay Meadows!

Service is #1