Scarcity+Historic Low Interest Rates+Huge Demand=$Price$ Appreciation!

  • Scarcity+Historic Low Interest Rates+Huge Demand=$Price$ Appreciation!

    Sonoma County “The Wine Country” ,California–Sellers are reporting offers in ALL Price Points. Distressed Market activity nose dives! The return of the “Normal or Equity” Seller is upon us.

    Sellers! If you’ve been holding off bringing your House to Market due to all the negative press revolving around the “Distressed” real estate market, then take solace in the above slide–NON-BANK contracts or opened escrows–UP A WHOPPING 57% over last year at this time. What is significant about this slide is the “Normal” or “Equity” Seller is BACK in the market and the contracts we are seeing going into escrow are across all price points. This bodes well for a very healthy market. Now is the time to determine your true market value. We offer a free service called “Market Snapshot”. This will give you updated, regular comparable sales PLUS all the competition in your area. Visit our blog and sign up for “Market Snapshot”. You’ll see it in the right hand column of our blog: www.TheRealEstateHourBlog.com and don’t forget to listen to the “Kelly-Norman Team” (Mike Kelly & Allison Norman), every Sunday, 9 to 10am, KSRO, 1350AM or streaming live at www.KSRO.com 

As discussed with Trust Attorney Janne O’Neil last week..The Heggstad Petition can be filed if a property was not properly put into a trust.

Heggstad petition

One of the required elements of a California revocable trust is that the trust be funded with some piece of property, whether real or personal. Prob C §15202. Often times, a person who creates a trust without the assistance of counsel will fail to formally transfer their assets into the trust because they are either unaware of the requirement or are unsure as to how to effect the transfer from themselves as an individual to themselves as trustee of their trust. A famous California probate case was the result of the failure to formally fund a trust. In Estate of Heggstad (1993) 16 CA4th 943, the trust drafter failed to formally transfer his home into his revocable trust but his revocable trust included a declaration of trust in which it listed his home as an asset of the trust. The Heggstad opinion said that this declaration of trust was sufficient to transfer his home into the trust even though he never formally transferred his home through a deed into the trust. Consequently, many California attorneys now file Heggstad petitions on behalf of their clients to formally transfer an asset, namely a house, into the decedent’s trust so as to avoid probate. Prob C §850.

Recently a California appellate court decision has expanded the reach of Heggstad petitions to include personal property, namely shares in a public held company.

 

One more indication of a “healthy” market is this graph showing “Equity or Traditional” sellers and the May “Sold Properties”–Note the huge surge, up 40% over last year at this time! yahoooooo! This means we are seeing MORE activity amongst the non-bank real estate community as they retire, move up, take advantage of super low interest rates and properties values which have hit the low end of the Trough! Now’s the time to Call Allison (707-799-3617) and see how YOU can take advantage of these super rates and home values.

“Traditional” or “Equity” contracts UP 57% WOW! This bodes well for a “healthy” and prosperous Real Estate Market.

Sonoma County, California–Great news for those seeking a more “traditional” marketplace. The number of properties “UC” or Under Contract “Non-Bank” meaning NO Foreclosures OR Short-Sales, is up a whopping 57%!!! Yeah! We like this as it means the distresssed market, though certainly NO gone by any means, is on the wane in Sonoma County as the Big Attorney Geneal’s settlement means the banks will work something out with a distressed homeowner or f

Buying a home?…”How would you like to take title?”… Be prepared to answer this question?

When you sit down with your Realtor and your Escrow Officer, this question will come up….We are delighted to have attorney and friend, Janne O’Neil back on the show. We will be discussing the common ways to take title to California real estate. Click HERE to go to a chart describing the various methods to take Title. Janne will go into more depth on them!  Please call in with your questions to: 707-636-1350!

Janne can be reached at:

(707) 577-8805‎
2300 Bethards Dr
Santa Rosa, CA 95405-9000

Short Sales UP OVER last Year but STILL NOT Dramatic Numbers!

Here in the “Wine Country” of Sonoma County, California–our short-sales are UP but NOT that dramatically. The recent collective settlement of the Attorney Generals of the United States, promising some 250,000 MORE short-sales has YET to hit home. The HUGE $28 Billion settlement may see bigger numbers coming about in the next quarter. So this SUMMER will be critical. Here’s the run down from all of 2011 and INTO this year up to May, 2012:

THE BIG $28 Billion Settlement with the big banks may result in More Short-Sales. Time will tell. The last Three Months are ON THE RISE so let's hope more is to come!

First time ever, 15 year Mortgage Interest Rates fall BELOW 3%…Really??

As reported, May 31, 2012;
Mortgage rates plummet —– 15 year mortgage falls below 3%!  30 year conventional financing at 3.75% I’m not sure how much lower my jaw can drop!

If you can get a new mortgage or refinance an existing one, There has really NEVER been a better time. Interest rates have fallen to  incredible new lows.

The 15 year mortgage is traditionally lower than the 30 year mortgage….The theory is; Make bigger payments, at a lower interest rate, and have your home payed for in 15 years. Well..to make that a little easier, The interest on a 15-year loan has dropped below 3 percent for the first time ever, according to data from Freddie Mac.

The average rate on the 30-year loan fell to 3.75 percent. That’s down from 3.78 percent last week and the lowest since long-term mortgages began in the 1950s.

The 15-year mortgage rate is down to 2.97 percent this week from 3.04 percent last week.  All we can say is WOW!!!