My Dog Is A Good Sport And Loves To Please - Just Like Me...

My Halloween Bow

 Here it is Halloween again.  Of course I have to dress up my baby for the holiday.  She's seen here to the left with her Halloween bow - straight from the groomers - still intact.  Honestly, it won't last until Halloween but at least we tried.  

My St. Patty's Day Hat

Earlier this year, we gussied up the old girl for Saint Patty's Day.  You can see how excited she was.  

My Valentines Day Flower

Even earlier, it was Valentines Day and she was such a sweet gift.  

My Bunny Ears

But Easter was the topper!  She was "all ears" for that one.  It's amazing how patient our dogs are with us.  Always willing, always excited to please.  I wonder what goes on in their heads though...might be good not to think about that.

I don't think there is a National Dog Day but there should be.  They do deserve it.  Happy Haunting this month.  Take advantage of the government shut-down and get some stuff done while things are at a standstill.  You can see that's what I'm doing.  Don't worry, I'll make up for it in the fourth quarter.  

Meantime, if you know anyone that needs to buy or sell a home this month, call me!  I'm not shut down, I'm ready, willing and able to take care of business.  I want to set an example.  We're more than happy to make your home purchase or sale put a smile on your face or we'll eat a bug!  

Team South Bay Realty  310-534-3940

Perspective - Perspective - Perspective!

As a Realtor, I have to keep reminding myself not everyone views life as I do.  For example... interest rates today are so low they seem silly to me.  Maybe that's because I started selling homes in 1979 when interest rates were 16-17%.  We couldn't even get loans on most of the homes then and had to use "creative financing" to close those escrows.  Every sale closed with a major party for me and the buyer or seller!  And celebrate we did ... it seems amazing today as we remember how happy we were just to be able to put together a transaction in those times ... sometimes you don't know what you don't know and it doesn't matter.  We all visualize things differently and therefore we all see the outcomes from those perspectives.  I was walking my beautiful Great Pyrenees dog the other day and was stopped by a lady walking down the street toward us.  "What an amazing animal that it is" she remarked.  "It looks like a wolf walking down the street."  I laughed - you should look at her from behind I said, from this angle with her long legs and dewclaws she looks like a hooker in high heels.  We both laughed.  How different she looked from each perspective.  

I was working with a first time buyer showing homes this month.  He was so excited and worried as he looked at each home we were previewing from the perspective of what it would be like to live in that house, in that neighborhood and with that mortgage.  We looked at quite a few homes over a few weeks and finally we found one that seemed to appeal to him.  We parted ways for the weekend and regrouped on Monday.  I asked him which home he liked best out of three we saw the previous week.  I started with helping him remember how the houses appeared from the street, how big the garages were, how many bathrooms and then he stopped me.  "I know" he said "which one I really liked."  Which one? I asked - he hesitated for a moment and then explained  "I liked the one with the kittens the best - remember the kittens in the backyard?  I hope they are still there.  That was the house I liked the best."  I laughed because I remembered the kittens too, they really pulled at our heartstrings knowing someone had left them behind.  But the big surprise was how he was processing all the previews and what made him remember his favorite house.  He remembered the home quite well too but his trigger was the kittens.  

I try to remind myself to slow down and smell the roses from time to time but sometimes the greatest help is to stop and try to see the world through someone else's eyes for a change.  It can make such a difference.   

Blessings for a wonderful summer!  

Team South Bay Realty
24214 Hawthorne Blvd. Suite B
Torrance, CA 90505
310-378-4440

SPRING HAS SPRUNG

and our Market Is On The Move!

4000Newton.com
 

Everyone is wondering what the 2013 real estate market will deliver.  So far, it looks like we have definitely bottomed out and are seeing significant increases in pricing in some areas already.  Some sellers are reluctant to put their homes on the market, worried they won't be able to get their price.  Of course that means fewer homes for sale and the competition can be fierce in the lower price ranges.  The sellers looking to move up in the market will benefit even if the pricing hasn't met their expected levels for their home sale.  The difference in purchase price on a higher value will make up for the lower sales price in most cases. 

Another important issue this year is interest rates.  So far we are still seeing the lowest rates in history for mortgage money.  That will change.  As the interest rates begin to rise, prices will be affected as the affordability for buyers will change.  Right now, we are even seeing 100% loans back in the market.  Unbelievable opportunity for financing right now if you have decent credit (FICO scores in the mid-600 range plus) and verifiable income.  Even those with distressed credit from previous short sales can benefit (must be longer than two years since recorded sale) as long as they have kept their spending to a minimum and paid all their accounts on time.  The financing is out there for everyone from first time buyers to jumbo refinances - take advantage while you can.

Some Fun Facts About the Market*

Who's Moving In The Next Two Years? 

48%  18-34 year olds

26%  35-49 year olds

16%  50-64 year olds

10%  65 and older

 

 

Team South Bay is looking for homes for our South Bay buyers!  If you are thinking about moving up or downsizing please give us a call.  We'll prepare a full market analysis for your home and neighborhood free of charge.  We also have a list of Income Property Buyers too.  Let us help you take advantage of this HOT real estate market. 

 

 

p.s. Dyna says the South Bay is

Heaven on Earth and we agree! 



*courtesy of the Demand Institute 





DON'T FORGET ABOUT THE 203K LOANS!

Tis the time of vast foreclosure opportunities. Since most of these properties needs some fixing, don't forget about this little-known loan program for fixer-uppers.


Home buyers thinking of purchasing a distressed property in need of repair, but who are concerned that the cost of the repairs could drain their savings account may qualify for the Federal Housing Administration’s (FHA) 203(k) rehabilitation program.

KEEP THIS IN MIND

• The FHA’s 203(k) rehabilitation program provides loans for covering renovation costs as well as the purchase price of the primary residence. Investors are not eligible for this program. Additionally, similar to traditional FHA loan programs, the rehab program allows for a down payment of as little as 3.5 percent.

• A common misperception about the program is that the house needs to be unlivable. Realistically, the property just needs to be outdated, according to a lender familiar with the program. The property “just has to appraise below market value and then at market value with the repairs.”

• Improvements deemed “luxury” are ineligible; however, the program has a wide range of definitions for “repairs” and “modernization.” Covered repairs include items such as a new roof or heating system, as well as decorative changes, like replacing vinyl with ceramic tile on the kitchen floor or painting the interior.

• In addition to putting down at least 3.5 percent of the current value of the property, buyers also must use a HUD-approved lender, appraiser, and a contractor approved by the lender for the repairs. One list of approved businesses can be found at 203kcontractors.com.

• Borrowers considering the FHA rehab loan program should be aware that loan rates typically run around a percentage point higher than conventional loans, and come in 15- to 30-year terms, either fixed or adjustable. Additional paperwork for inspection, appraisal, title updating, and the like can increase closing costs by $1,000 or more higher than the average.

• For additional information about the FHA 203(k) rehabilitation program, please visit HUD 203K INFO

So if you're looking at a good buying opportunity but worried about how to find the money to fix it up, this is a great program for you.  Call me with any questions.  I have access to 203K approved contractors and lenders for this program.  It's worth your time to investigate the possibilities. 

Call Charlie, your friend in the Neighborhood with all your real estate questions.  If we don't have the answer, we'll find it for you!

Governor Signs Home Tax Credit Bill!

Governor Schwarzenegger today signed AB 183 providing $200 million for home buyer tax credits. The bill allocates $100 million for qualified first-time home buyers who purchase existing homes and $100 million for purchasers of new, or previously unoccupied, homes.

 

Eligible taxpayers who close escrow on qualified principal residences between May 1, 2010 and December, 31, 2010, or who close escrow on a qualified principal residence on and after December 31, 2010 and before August 1, 2011, pursuant to an enforceable contract executed on or before December 31, 2010, will be able to take the allowed tax credit.

This credit is equal to the lesser of 5 percent of the purchase price or $10,000, taken in equal installments over three consecutive years. Under the bill, purchasers will be required to live in the home as their principal residence for at least two years or forfeit the credit (i.e. repay it to the state). Buyers also must be at least 18 years old and be unrelated to the seller. First-time buyers are defined as those who have not owned a home in the past three years.

Governor    “I have been up and down the state pushing this important housing bill that will get people off the fence and into homes while creating jobs and stimulating our economy – and today I am proud to take action and put it into law,” said Governor Schwarzenegger. “Creating jobs is my number one priority and I am glad that I have been able to sign two job-creating bills in two days. I applaud the legislature for their great work and encourage them to keep it up and pass the remaining job-creating elements of my California Jobs Initiative.”

If you are a first time home buyer - call me!  Let's put you in escrow before all our First Time Home Buyer initiatives run out.  If you're a move-up Buyer, the clock is ticking on the $6500 federal tax credit for you this year as well. 

LOVE THY NEIGHBOR ...

Being a Christian, I love the Christmas season.  It brings hope and laughter and love, even in economic recessions.  It reminds us to be kind, faithful, patient.  After all, Jesus is the reason for the season! 

We think about our neighbors more during the Christmas season.  We reflect on their choice of decorations (indoor and outdoor.)  We listen more intently to their declarations (in church and out .)  We have expectations of their kindness and consideration.  We are reminded of bible verses and hymns. Unfortunately, we are also sometimes reminded of the old addage, "keep your friends close and your enemies closer."  This, my friends, is a "high profile" season.  Whether you're a shopkeeper, neighbor, relative, teacher, fellow student, employee, sports fan, politico or zealot of one sort or another, this season shines a light on you in so many, many ways. 

I recently wrote about my experience with a local business owner in my Facebook...how I felt wronged by his less than stellar business policy and questionable ethics...how I felt cheated by his treatment, not just financially but emotionally as well.  I pledged a vendetta of negative marketing as my revenge.  I had all the tools at my disposal.  I devised a plan to bring him to justice.  Then I realized how much energy it takes to wage such a war or to even envision it.  I began to rethink my plan.  How much better might it be to try to help people avoid being ripped off by simply educating them about the problem.  How short lived my vendetta would have been versus how long lasting and far reaching my informational tips could be.  I reflected on various ways to help others avoid being ripped off both during the Holiday Season and throughout the year instead. I relected on a quote by Isaac Bashevis Singer...

Life is God's Novel, Let him write it! 

In that decision was my clarity.  How we move forward in life is a statement of who we are and how we love.  In checking our own perspective, we can influence others as well.  As the cat in the photo teaches us, there's a lot more going on than we'll ever really understand individually.  With the help of our friends and neighbors and relatives and yes, even those who disparage us or rip us off, comes life's lessons to be learned and shared for their worth and value - as opposed to their pain and suffering.  In this season, as in all seasons, We Are Not Alone.  

God Bless Us Everyone and

 Merry Christmas!!

Oh, and by the way, if you want my recommendations for businesses and service people in the South Bay, please visit my Online Business Directory

and I'm NEVER too busy for your referrals!

Charlie and Team South Bay

Wish you a safe and joyous Holiday

 and a Prosperous and Engaging 2010!

First Time Homebuyer Tax Credit Extended Into 2010!

Plus...A New Tax Credit for Certain Existing Home Owners!

It's official. President Obama has signed a bill that extends the tax credit for first-time homebuyers (FTHBs) into the first half of 2010. This program had been scheduled to expire on November 30, 2009.

In addition to extending the tax credit of up to $8,000 through June 30, 2010, the extension measure also opens up opportunities for others who are not buying a home for the first time.

So Who Gets What?

The program that has existed for FTHBs remains intact with the one exception that more people are now eligible based on an increase in the amount of income someone may now earn.

Additionally, the program now gives those who already own a residence some additional reasons to move to a new home. This incentive comes in the form of a tax credit of up to $6,500 for qualified purchasers who have owned and occupied a primary residence for a period of five consecutive years during the last eight years.

Deadlines

In order to qualify for the credit, all contracts need to be in effect no later than April 30, 2010 and close no later than June 30, 2010.


Higher Income Caps in Effect

The amount of income someone can earn and qualify for the full amount of the credit has also been increased. Single tax filers who earn up to $125,000 are eligible for the total credit amount. Those who earn more than this cap can receive a partial credit. However, single filers who earn $145,000 and above are ineligible.

Joint filers who earn up to $225,000 are eligible for the total credit amount. Those who earn more than this cap can receive a partial credit. However, joint filers who earn $245,000 and above are ineligible.

Maximum Purchase Price

Qualifying buyers may purchase a property with a maximum sales price of $800,000.


Frequently Asked Questions...

What is a tax credit?

A tax credit is a direct reduction in tax liability owed by an individual to the Internal Revenue Service (IRS). In the event no taxes are owed, the IRS will issue a check for the amount of the tax credit an individual is owed. Unlike the tax credit that existed in 2008, this credit does not require repayment unless the home, at any time in the first 36 months of ownership, is no longer an individual's primary residence.

What is the tax credit for first-time homebuyers (FTHBs)?

An eligible homebuyer may request from the IRS a tax credit of up to $8,000 or 10% of the purchase price for a home. If the amount of the home purchased is $75,000, the maximum amount the credit can be is $7,500. If the amount of the home is $100,000, the amount of the credit may not exceed $8,000.

Who is eligible for the FTHB tax credit?

Anyone who has not owned a primary residence in the previous 36 months, prior to closing and the transfer of title, is eligible. This applies both to single taxpayers and married couples. In the case where there is a married couple, if either spouse has owned a primary residence in the last 36 months, neither would qualify. In the case where an individual has owned property that has not been a primary residence, such as a second home or investment property, that individual would be eligible.

How do I claim the credit?

For those taking advantage of the tax credit in 2009, you may choose to either apply for the credit with your 2009 tax return or you may apply for the credit sooner by filing an amended 2008 tax return with Form 5405 http://www.irs.gov/pub/irs-pdf/f5405.pdf

Can I claim the tax credit in advance of purchasing a property?

No. The IRS has recently begun prosecuting people who have claimed credits where a purchase had not taken place.

 Can a taxpayer claim a credit if the property is purchased from a seller with seller financing and the seller retains title to the property?

Yes. In situations where the buyer purchases the property, even though the seller retains legal title, the taxpayer may file for the credit. Examples of this would include a land contract, contract for deed, etc. According to the IRS, factors that would demonstrate the ownership of the property would include: 1. the right of possession, 2. the right to obtain legal title upon full payment of the purchase price, 3. the right to construct improvements, 4. the obligation to pay property taxes, 5. the risk of loss, 6. the responsibility to insure the property and 7. the duty to maintain the property.

Are there other restrictions to taking the credit?

Yes. According to the IRS, if any of the following describe your situation, a credit would not be due.

You buy your home from a close relative. This includes your spouse, parent, grandparent, child or grandchild.

You do not use the home as your principal residence.

You sell your home before the end of the year.

You are a nonresident alien.

You owned a principal residence at any time during the three years prior to the date of purchase of your new home. For example, if you bought a home on July 1, 2009, you cannot take the credit for that home if you owned, or had an ownership interest in, another principal residence at any time from July 2, 2006, through July 1, 2009.

Can you buy a home from a step-relative and be eligible for the credit?

Yes. Provided the person you are buying a home from is not a direct blood relative, the purchase would be allowed.

Can parent(s) who will not live in the property cosign for a mortgage for their child and the child that is a qualifying FTHB still be eligible for the credit?

Yes.

Can a separated spouse who has not owned a home for four years qualify for the FTHB tax credit if the spouse has owned a property anytime in the last three years?

No. However, the spouse may be eligible for the repeat buyer credit. The best path to take in any situation regarding income taxes is to speak with a professional tax preparer or CPA.

If you have any additional questions about the First Time Home Buyers Credit or any other real estate related questions please call me anytime.  If your question needs to be answered by a CPA or tax preparer and you do not currently have one, I'll be glad t refer to you in my network. 

And of course, I am NEVER too busy for your business or referrals.  Please let me know how I may be of service to you with any of your South Bay or Southern California Real Estate Needs.  I also have a great network of brokers outside our area ready to handle your business as well. 

California Association of Realtors 2010 Market Forecast

Here's a summary of the 2009-2010 Market Analysis and Forecast by the California Association of Realtors Chief Economist Leslie Appleton Young.  I have the 100 page document in PDF for all areas of California.  If you would like information for any particular area or market, let me know and I'll send it to you. 



By Leslie Appleton Young

The median home price in California will rise 3.3 percent to $280,000 in 2010 compared with a projected median of $271,000 this year, according to C.A.R.’s "2010 California Housing Market Forecast," presented today at CALIFORNIA REALTOR® EXPO 2009 in San Jose. Sales for 2010 are projected to decrease 2.3 percent to 527,500 units, compared with 540,000 units (projected) in 2009.


“California’s housing market continued its strong sales rebound this year, resulting from the continued pace of distressed properties coming to market,” said C.A.R. President James Liptak. “This follows two years of double-digit sales declines in 2006 and 2007. Looking ahead, we expect sales to moderate to a more sustainable pace.”


“After experiencing its sharpest decline in history, we expect the median price to rise modestly next year,” Liptak added. “2010 will mark the beginning of the ‘new normal’ for California’s housing market. This ‘new normal’ likely will feature a steady stream of sales driven by distressed properties in the low end of the market, coupled with moderate home-price appreciation.”


“With distressed properties accounting for nearly one-third of the sales in 2010, inventory will be relatively lean, under six months during the off-season months, and a roughly four-month supply during the peak season,” said C.A.R. and Vice President Leslie Appleton-Young. “We expect the median price to decrease slightly through the remainder of 2009 and into next year, then rise before leveling off next summer. For the year as a whole, home prices are forecast to reach $280,000. The wild cards for 2010 include foreclosures, loan resets, the labor market, and the California budget crisis, as well as the actions of the federal government.”

(The photo at the top is for my new listing at 12 Avenida De Camelia in Rancho Palos Verdes.  You can view all the additional pics and information at http://www.12avenidadecamelia.com/ or call me for your private preview today!) 

It's a Dog's Life!!

Buttons is my first born. She's a mixed breed; what's playfully called a "Pekapom" which is a Pomeranian Pekingese mix. Buttons found me through an ad in the Penny Saver. We were both in need of a best friend. I found her at what I thought to be a private home with a batch of newborn pups. Later I found out it was really a "puppy farm." I picked her (or I should say she picked me) from inside a cardboard box, surrounded by squealing siblings with teary eyes and matted squashes of fur, all begging for attention. She eyed me quietly and drew me in by her lack of fussing. I know now that was her personal pattern of passive aggressive behavior. We rode home quietly with my 16 ounces of fluff hanging from my shoulder, fast asleep and breathing in my ear. When she wasn't sleeping, she was bouncing around like a rubber ball. To avoid stepping on her, I carried her around the house on my shoulder. My shoulder became her quiet place, her safe place, her happy place.

One day I returned home from work and found her in a puddle of blood and vomit in the middle of the kitchen floor. I wrapped her in a towel and rushed her to the vet. It was then I found out she was from a "puppy farm" and had not been cared for properly. She had been infected with Parvo which is a virus and usually deadly to little tiny pups like her. The vet said she needed to be quarantined and I could visit her daily. Each day I would come, walk through the pan of bleach solution to prevent introducing more germs into her environment, and we would visit. We both cried each time I had to leave. After about 10 days, the vet said there was nothing more to do. He told me to take her home and hope for the best. That was twelve years ago. She's still my boss today.

Eleven years ago, Buttons and I moved into our new home in Lomita Pines. We moved in the day after Christmas Day. We spent the day unpacking boxes - stacking them in each appropriate room. Buttons had a box too, a big box of puppy toys. I opened her box and left it on the floor in the family room. Later in the day, tired and sleepy I put Buttons on my shoulder and headed for the bedroom. As I past her box in the family room, I noticed it was empty. I was confused. I began looking for her toys, thinking I had dumped them somewhere by accident. As I went from room to room I noticed something peculiar. Every room had at least one puppy toy. Buttons was sleeping on my shoulder and I didn't want to wake her to ask the question, but I knew...she had made Lomita Pines her new home too!

Buttons and I would love to help you find a special home in Lomita Pines too, or any of the great South Bay cities. Visit our websites: www.yoursouthbayteam.com, www.lomitahomes.com, www.inthepines.com or call us anytime for a personal tour.