If you have been sitting on your home waiting to Short Sale it, now would be a good time to consider making your move. Real Estate analysts are saying that indicators look good. Also, if you are looking to get a deal on buying a Short Sale, you may want to listen up too.
- For Sellers – some lenders such as Bank of America and Chase have now expedited short sale programs to where they pre-qualify their sellers and their homes at agreed-upon prices. This has greatly cut down on the time it takes to push all of the paperwork required for a Short Sale through. Also, these big banks are selectively choosing some of the more troubled properties for extra owner incentives. Banks may pay you as much as $45,000 to sell your distressed home.
- You must start soon – if you want to get your tax break. Lenders are also wiping out any extra debt left after the Short Sale is completed. For example, if you owe $200,000 on your home and you sell it for $150,000, then it would stand that the bank would still be able to come after you for the additional $50,000. What they are doing now is forgiving that debt, and that debt is typically subject to income tax. BUT, it will not be subject to be taxed under a special provision that expires at the end of this year. So, try your best to close your Short Sale this year – it can easily take 3 or 4 months to close once you have a buyer.
- Before a lender will approve a Short Sale, the Seller must make the case that financial hardship is keeping him from paying off his loan. In trying to expedite Short Sales, banks are now broadening their definition of what situations qualify as hardships – a job change or impending retirement could be considered as a hardship.
- For Buyers – you should be realistic in your expectations for a bargain. There’s more competition now that bankers and investors have caught on to what good deals these Short Sales are – usually better than foreclosures because more often they are owner-occupied and well cared for, as opposed to foreclosures which may have been stripped of appliances and other things. Expect to pay market price for a Short Sale – avg. price is $175,000, which is still 20% below avg. price of non-distressed properties.
- Try for long locks on your mortgage rates, Buyers, because it may take a long time to find a property you want to purchase – and you want to take advantage of today’s record-low interest rates. Even 60 day locks may not be enough to get you through to closing of a Short Sale. If you’re buying a house that has been pre-approved via one of the banks’ expediting programs, closing time can be cut down to as little as 10 days.
If you are thinking of a Short Sale of your home . . . or looking to Buy a Short Sale, choose a realtor who is knowledgeable and experienced in Short Sales specifically. Call Kim Kelly, an agent with HK Lane Real Estate at 760-285-3578 for a free consultation. She Lists, Works and Closes her Short Sales !!!
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La Quinta is fortunate to have an amazing art event held during season called “Art Under the Umbrellas.” About this time of year when we locals are weary from the incessant heat of our lovely desert clime, it’s nice to think of something bright and cheerful and fun that will be returning to Old Town La Quinta.
October 27th kicks off the first “Art Under the Umbrellas” for the new season. Trust me, that date will be here before you now it. Over 70 artists will be presenting their works . . . everything from painting, glass, ceramic, jewelry, wood, sculpture, photography, fiber and mixed media. The streets are closed off in Old Town just for this artistic venue.
Lovers of art can find amazing quality pieces for purchase at “Art Under the Umbrellas.” It is always a special day outdoors as those seeking to enjoy and experience the art . . . and to buy, amble along the streets taking in all of the incredible talent. It’s also a good time to explore the shops and dining opportunities in Old Town.
And guess what could be even better . . . admission and parking are FREE !!! The new “Art Under the Umbrellas” schedule is on the following Saturdays from 10am to 4pm: October 27, November 10, November 24 and Dec. 1 – all in 2012. The 2013 schedule is: January 12, January 19, February 9, February 16 and March 23.
So, just something to keep your mind occupied, thinking about those days that are coming when the weather is cooler and picture perfect – and “Art Under the Umbrellas” will be waiting for you.
For more information, go to www.lqaf.com/cultural-events/art-under-the-umbrellas/
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La Quinta Cove – Yes, another Short Sale submitted, just one note with Chase!
This home is so Cute, listed at $143,000, and is located at 52255 Avenida Obregon.
Built in 1993, this home has 3 bedrooms and two baths and has 1414 sf on a 4792 sf lot. You enter into its Enclosed Front Courtyard – and this home is charming, clean as a whistle and well designed and thought out. It boasts a separated Family Room and very large Kitchen with an Eating Area.
The Master Bedroom in this home is on opposite side of house from the two Guest Rooms and Bathroom, giving it a great flow. There are ceiling fans throughout, and home is beautifully maintained and very welcoming.
There is a finished double Garage with a Laundry Area within. The backyard is lush and green with ideal Western mountain views. The backyard even has a Storage Shed.
Deals like this one are still to be had in the Cove . . . if you are interested in buying or selling a home, contact Kim Kelly with HK Lane Real Estate in La Quinta. She Lists, Negotiates and SELLS her Short Sales !!!
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Yet another Short Sale submitted, this one in Indio . . . with only one note with Wells Fargo. This beautifully maintained single level condo at Indian Palms Country Club in Indio boasts frontage on the fairway, a front porch with an inviting double entry door and is an End Unit, making the entry and front door private.
This 3 bedroom/2 bath home has a vaulted ceiling, giving the condo a light and spacious feel. The kitchen is upgraded with granite slab counters, stainless steel appliances and a double sink. Ceiling Fans exist throughout and there are no popcorn ceilings. The dining area is separate and off the kitchen.
Two porches complete this lovely home, along with lots of storage and an interior laundry area. It has a single enclosed garage plus a single covered carport.
Location is everything, and this Indian Palms condo at 49020 Eisenhower Dr. in Indio is close to the restaurant and community pools. Built in 1981 and 1368sf in size, the list price is $110,000
Such a lovely living opportunity in a gated golf community where amenities are plenty and the the living is easy, all at an affordable cost. Monthly HOAs are only $285.
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These days, lenders are demanding historically high FICO credit scores from buyers looking to obtain a loan. With lenders Freddie Mac and Fannie Mae, the average they look for to approve a loan is around 760.
You want and need to know what can push your scores up or down if you’re in the position of shopping for a mortgage. Hearsay is that multiple credit inquiries by lenders and others to pull up your national credit bureau reports push your score down. Is this true? Could multiple inquiries do damage enough to prevent you from being approved for purchase of a home?
Since maintaining high FICO scores is so important now, let’s look at the key “rules” that govern how inquiries affect homebuyers and mortgage applicants.
- Accumulating large numbers of inquiries CAN lower your score. The FICO models consider them significant because research has shown that people who seek new credit accounts are more of a risk and more prone to defaults. Statistics show that people with 6 or more inquiries on their credit reports can be up to 8 times more likely to declare bankruptcy than people with no inquiries on their reports.
- Suppose you’re shopping for a home loan or refinancing and 6 lenders pull your credit reports – that doesn’t necessarily mean that you’ll be hit with 6 separate inquiries that will lower your score. The FICO models ignore all mortgage related inquiries during the 30 days prior to computation of the score. And all mortgage inquiries made during the 45 days prior to your loan application count as only one inquiry.
- Most often, a single credit inquiry is not a big deal, as it subtracts less than 5 points off of your score per inquiry. But, negative impacts can be had – especially on people who have thin credit files, such as those without extensive credit histories and young folks who are first time homebuyers and have thin credit files.
- You need to make sure your loan officer for auto loans, etc. properly codes the purpose of the inquiry when they report it to the national credit bureaus so it will be accurately identified in your credit file.
It’s highly advised that mortgage applicants avoid all credit-related shopping (home improvements, furniture, credit cards, etc.) in the weeks before their closing so that a string of inquiries won’t interfere with the home purchase process or delay it.
And last but not least, if you’ve checked your own credit before applying for a mortgage – through www.annualcreditreport.com (where once a year reports are free) or by buying them from Experian, Equifax or TransUnion, you FICO score will not be affected.
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The City of La Quinta has a proposed plan to put in a roundabout near the entry of the La Quinta Cove neighborhood at the intersection of Eisenhower Dr. and Calle Sinaloa. The roundabout would replace the existing four-way stop there.
Roundabouts are used extensively in Europe and are becoming increasingly popular in this country. They require those vehicles approaching it to have to slow down and yield to circulating traffic, thereby reducing accidents by up to 60%, according to traffic engineers
There are already four roundabouts located in La Quinta and they keep traffic moving without having a signal there. Because the roundabouts force traffic to slow down, there is a reduction in broadside collisions from drivers who run traffic stops.
The roundabout is expected to be installed later this year and will cost approximately $600,000. Additional landscaping could run the cost up more, and one design includes installation of an art piece that serves as an entryway to the Cove neighborhood.
Some Cove residents who got a look at the new road design are not in favor of it. Nearly 7,700 cares travel on Eisenhower Dr. up into the Cove during off-season, and city staff estimates that the number increases 10% during peak season. That’s a whole lot of cars coming in and out of the Cove.
FYI – the La Quinta Cover Neighborhood Association is in favor of the roundabout. Landscape designs will likely go before the City Council at its meeting on July 17.
What are your thoughts?
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Not to fear . . . despite budget restraints in the cities that make up our Palm Springs Valley here, there will still be fireworks to top off your Independence Day celebration !!!
On the east end of the valley, in La Quinta, there will be a Parade of Lights tomorrow at 6pm, with fireworks starting at 9pm. Both will be held at the La Quinta Community Center Park at 77-865 Avenida Montezuma, La Quinta. The events are free; for more info, call 760-777-7035
In mid-valley at Palm Desert, there will be live music starting at 7:30pm with fireworks following at dark – at Palm Desert Civic Center Park, 73-510 Fred Waring Dr., Palm Desert. The events are free; for more info, call 760-346-0611, ext. 416
On the west end in Palm Springs, there are fireworks scheduled at 9:15pm at the Palm Springs Stadium at 1901 E. Baristo Rd., Palm Springs. For more info, call 760-323-8272
Everyone have a fun and safe Fourth of July !!!
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The Gates are re-opening in New Home Developments in La Quinta..
New homes in La Quinta and the Palm Springs Valley have been languishing for the past 3-4 years. After working in the New Homes Industry for 5 years myself, it was like running into a wall.
But in the first quarter of 2012, the New Homes Industry is beginning to show much forward momentum. There are currently more Buyers than homes for sale in many areas of La Quinta and the Palm Springs Valley. Many Buyers are just getting tired of the “used and often tattered” conditions of resale homes..especially what’s left after the Investors have picked them over. The timing is perfect for the New Homes industry to pick up, as shown in today’s Desert Sun.
It might be the right time if you are considering buying a home in our beautiful winter paradise, to consider a new home once again..
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La Quinta Buyers..do you qualify for a mortgage with a 3 in front of it???
You too could qualify for a mortgage rate with a 3 in front of it. Refinance? Same thing. This is a very enlightening article from today’s New York Times talking about a young couple that did just that. Huge documentation will be required of course, but that’s true with ANY mortgage or refi.
The keys are…
1. Your Credit score..it needs to be in the 700’s minimum.
2. Money in the bank..prove you can cover a couple months’ payments.
3. Job Security..prove you’ve got a good job that seems secure
4. Other assets? The more cash, or paid off assets..the higher your odds.
The appraisals are starting to come in where they should here in the Palm Springs Valley, so if you’re qualified, why not give it a go? Of course..the paperwork will be equal to that of a Short Sale, so have your docs in order!
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Beautiful La Quinta
…and not just the City of La Quinta. All the desert cities through the Palm Springs Valley showed significant increases in Sales numbers (up approx. 6.1% from May, 2011).
My Equity Listings (standard sales) are generating multiple offers now too..it’s NOT just the short sales or foreclosures. If Sellers price their properties right..and I mean in the Luxury Market too..they WILL sell! Don’t get greedy, continue to be sensible and take a look at this article from today’s local paper about the Sales numbers and price changes for La Quinta and the Palm Springs Valley.
The number of distressed properties dropped from approx. 48% of sales to approx. 40% of combined sales. Inventory levels: Single Family homes: 2,266 and available Condos: 1,113.
The Median sales price in La Quinta jumped to $302,000 and there were a total of 165 Sales closed. Median sales numbers are up through the entire valley by approx. 6% from a year ago. This is due to more luxury properties selling. Good news for the Housing Market in our Valley.
Inventory has not been this low since 2005! Combine that with great mortgage rates and the heat is on!
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