Central Valley Real Estate

The first month of the year is almost over!

2012-01-27T14:39:00.000-08:00

The first month of 2012 is almost over; did you manage to keep your New Year's resolutions?

I, like many others, decided to make my physical health a priority this new year. Thankfully, I've got a good inspiration and motivation support at home. My wife and I invested in an elliptical late last year as well as fitbit activity trackers and since the start of 2012, the competitive nature in both of us has kept us moving! I've been waking up early for the last two weeks to 'run' on my elliptical, on average of three miles a day! I discovered, thanks to my fitbig ultra that during my "desk days" when I write blogs and meet with buyers in my office at PMZ Modesto, I only take 3,000 steps-it is recommended to take on average 10,000 steps! I was shocked to discover how sedentary my life was and I was, to be honest a little disgusted with myself. I let this disgust motivate me to get going and get active. Today, I've taken nearly 7,000 steps and its only mid afternoon, I am going to keep my New Year's resolution! Are you?

I was talking to my little sister and she too has been keeping up with her resolutions. She mentioned that she wanted to take more hikes and enjoy the outdoors more, especially since we live in such an ideal place (only miles away from some of California's beautiful state and national parks). She recently moved back to California and doesn't have too many "hiker" friends-but she didn't let that stop her! Evidently, there is something called Meetup, a website that connects people who want to do something, learn something, share something or change something in various regions of the states; she found that in the Central Valley there are groups of people of all ages who have get together and "meet up" depending on their interest. Here she found a group of Stockton based hikers and is now connected to 150 people who take bimonthly hikes in the wonders of Northern California! It's amazing how much the internet (that has in essence, been a reason for our sedentary lifestyles) can help us connect and get out there and stay active!

My sister and her friends at Mt Diablo

As the month comes to an end, reevaluate your goals for the year and determine if you are moving forward!

Best of luck and Happy New Year, don't let the year pass you by!

Studying law and investing in the future

2012-01-23T16:24:00.000-08:00

Jesse is a law student and a mother to two small children. She wanted a home that she could enjoy with her kids, but also something she could convert in a rental property depending on her future career decisions.

Jesse was renting a home for $1,200 a month, but after her investment in a new home, she'll be paying a monthly mortgage of $982, a savings of $218 dollars a month, totaling $2,400 a year. The two story, 3 bedroom, 3 bathroom home was listed at $142,900 but after negotiations, Jesse purchased her new home for $135,000, with 3.5% down, FHA financing at 4.5%, and the lender paid all the closing cost.

Jesse's new home is located in Modesto and is part of the Sylvan School District; eventually, her kiddos will attend Beyer High School

Congratulations, Jesse! I hope you and your kids are enjoying your own home!

Enjoy our California Winter

2012-01-10T14:07:00.000-08:00

Thursday, December 22, 2011 was the first day of winter, the winter solstice. Modesto has entered it's winter season yet the sun is shinning bright with highs in the 60's; granted you are sure to see winter fashion on the street, (scarves make a great accessory for both men and women) but we won't be needing our umbrellas this weekend.

Forecast for the week in Modesto show that the sun will not be hiding! Get out in the beautiful weather with your family and friends and enjoy the easy access we have to many California wonders! In fact, in honor of Martin Luther King, Jr. Day, Yosemite National Park is waiving it's entrance fee from Saturday, January 14th through Monday, January 16th!

Want to stay local? Go to the local park and in honor of the NFL Playoffs throw the ball around or pull out the BBQ and get together with friends to cheer on the Niners as they play the Saints!

Enjoy our beautiful winter now, before the rains and cold settle in!

When your family grows, your home will grow too

2012-01-02T14:56:00.000-08:00

Brian and Jessica adopted twins in early 2011 and as a result of their growing family, they needed a bigger home. They wanted something with a specific floor plan (an open floor plan) and they wanted their new home to be in a nice neighborhood in the Ripon area.

After four months of searching, we were able to find them a great two story home just under 3,000 sq ft. The home was built in 2004 has 4 bedrooms and 3 full bathrooms, as well as, a fireplace and a two car garage.

Their new home was originally listed at $324,900 but Brian and Jessica received a closing price of $310,000. They took a 30 year fixed conventional $248,000 loan at 4.375% interest. After their $62,000 down payment and $7,725 in closing cost (totaling $69,750 in cost up front) Brian and Jessica have a $1,658 monthly payment that includes taxes and insurance.

Congratulations on y'all's new home, Brian and Jessica. I hope you had a great holiday season and a beautiful start to the new year!

Young and Making Investments

2011-12-15T14:36:00.000-08:00

Joe is in his 20's and thinking about his future. In planning for his future he wanted to make his first home investment with money he'd been saving. He had money sitting in the bank and his bank was only giving him a 1% return; he knew investing in a property would give him a better return on his investment so he contacted me.

Joe wanted something in a good location and after some work, we found him a duplex near Rose Ave Elementary, in Modesto, CA

The duplex has two units. The first unit is a 2 bedroom, 2 bathroom home. Joe is now collecting $950/month on this first unit. On the second unit, a 2 bedroom, 1 bathroom unit, Joe receives an additional $800/month, totaling $1,750 a month. With a monthly payment of $845.75, Joe receives an additional $904 dollars after his investment.

After a $39,000 down payment and an additional $10,000 in closing cost and repairs, Joe invested nearly $50,000 but he'll be receiving 20% return on investment. (See below for the Investment Property Worksheet)

Great investment, Joe! I look forward to working with you again.

2011-11-15T09:48:00.000-08:00

Mission Statement

Del Real Group is known for their ability to get things done. They rank in the top 1% of one of the largest power brokers in the United States, PMZ Real Estate. They have accomplished this at such a young age because of their ability to think outside of the box, hard work and ability to listen to your needs. They will help you develop the best plan for you and your family while building relationships that last! The Del Real Group does most of his business by referral. “The best compliment anyone can give me is the referral of a family member or friend.”

Dicho Y Hecho! – Said and Done!

Daniel Del Real, CRS - Listing agent

Indalecio “Andy” Del Real, CDPE - Business Marketing Major – Buyers Agent

Enrique Del Real –VAE -Buyers Agent

Sonia Flores- Full time licensed Assistant.

Team Accomplishments

Named the National Associations of Realtors “ 30 under 30” class of 2010

2010 class of "30 Under 30" are a stellar collection of passionate and motivated young professionals at the vanguard of real estate. With their strategic vision, deep commitment to clients, outstanding leadership, innovative uses of technology, and active community involvement, these individuals provide a promising snapshot of the real estate industry's future

2004-2009 Masters Club Members

2009 Master Club Member (Life Member)

2007-New Home experience has work with Top local Developers to sell out over 15 Million in New Builder Business

2008 Sold over 190 Homes accounting for over 32 Million is sales

2009 Sold Over 218 Home accounting for $27 Million in sales

Average sales per year 95

CRS Designee – Certified Residential Specialist (3% of agents achieve this)

DEL REAL GROUP - PMZ Real Estate

2011-11-11T11:00:00.000-08:00

06099 - Foreclosure Outcomes

Foreclosure fillings have been on the drop since last year. See chart above with details. This is the main reason we are seeing the competitiveness of buyers in this market. Inventories still remain under 4 months as prices continue to stay stagnant. Interest rates are still low adding to the pressure of the market. Many professionals talk about shadow inventory and its arrival but its yet to appear.

Below you will get the explanations of all 3 lines on the graph above.

Foreclosure Outcomes—After the filing of a Notice of Trustee Sale, there are only three possible outcomes. First, the sale can be Cancelled for reasons that include a successful loan modification or short sale, a filing error, or a legal requirement to re-file the notice after extended postponements. Alternatively, if the property is taken to sale, the bank will place the opening bid. If a 3rd party, typically an investor, bids more than the bank's opening bid, the property will be Sold to 3rd Party; if not, it will go Back to the Bank and become part of that bank's REO inventory.

Mother and Daughter Join Forces

2011-11-11T08:48:00.000-08:00

Angelica and Nancy, a mother-daughter pair, had spent the vast majority of their life living in a rental property, having to pay rent and work with a landlord. They were ready for a change and I was honored to have them come to me seeking some real estate assistance. When they came in to see me, they were paying $950, nearly $1,000 in rent, to someone else; paying someone else's mortgage payment. After working with them, on January 10th, we closed escrow on their new home in Modesto, CA.

Now, Angelica and Nancy are living in a home built in 1996 with 1,112 square feet. This 3 bedroom, 2 bathroom home is a dream come true for both mother and daughter; they were ecstatic with their new purchase. Now, Angelica and Nancy are paying a mortgage payment of $657, in contrast to a $950 home rental fee; they are saving nearly $4,000 yearly and in 30 years, they'll be debt free.

Congratulations, Angelica and Nancy!

Quick Numbers

Purchase Price: $90,000

Loan Amount: $87,718 with a Interest Rate of 4.5% with a 30 year fixed FHA

Down Payment: $3,150

Seller Credit for Closing Cost: $3,500

Angelica and Nancy received $3,500 in seller credits for their closing cost.

Andrew's New Modesto Home

2011-11-01T15:29:00.000-07:00

Andrew was referred to me by his sister, Kristina, who is an old friend of my wife's and also a Zumba instructor for my sister. Andrew was interested in finding a home in Modesto, CA and I was very excited to help him find a great deal on his first home. We found a a wonderful two story home with three bedrooms and three bathrooms in approximately 1,392 square feet built in 1994.

The quick facts

Purchase price: $120,000

Loan Amount: $117,054 with a 4.75% 30 year fixed FHA

Down Payment: $4,200

Month Payment: $863

Seller Closing Credit: $3,600

New Modesto Homeowner!

2011-10-22T14:22:00.000-07:00

I had the pleasure to give the Guerrero family the keys to their new Modesto home last week.

Marcos's dad was client of mine, he referred Marcos to me early in April of 2010. He was looking for a larger home to accommodate his growing family. His wife was pregnant with their fourth child and needed a home with 4 bedrooms to give his teenage kids the opportunity to have a room to call their own. Our search took 3 months; he really wanted a home that was move in ready and had the upgrades he was looking for. When we showed the home on Geraldine they all instantly fell in love. It had 4 bedrooms, 3 full baths with a loft. The home was listed for $249,900-we purchased it for $246,000 and the seller contributed $5000 in closing cost.

Congratulations to the Guerrero family for their new beautiful daughter and new home!

Final Numbers

4 bedrooms 3-bath home with 2797 sq. ft. built in 2006

Seller contributed $5,000 in buyers closing cost

Down payment $8,600 plus $3,000 in closing cost not covered by seller’s credit

FHA Financing $242,000 at 4.5%

Monthly payment $1694/month

Purchasing a VA Foreclosure

2011-10-10T15:48:00.000-07:00

Leticia was interested in a new home and she came to me seeking a home in Manteca, CA. She found interest in a home owned by the Veteran's Department and I was excited to work with her on this transaction.

The quick facts

Purchase Price: $155,000

Loan Amount: $139,500 with a 4.375% 30 year fixed conventional rate

Down Payment: $15,500

Seller Closing Credit: $5,00

Monthly Payment: $969

Central Valley Investment purchase

2011-09-28T15:18:00.000-07:00

Congratulations to Hector on his investment purchase. He purchased this property with Enrique on my team and managed to work out a 25% ROI.

3 Bedroom 2 bath with 1625 Sq. ft. built in 1977.

Purchase price: $40,000
Repair budget $15,000
Cash Purchase
Closing cost: $400
Total cost $55,400
Total investment: $55,400

Two homes on 1 lot
Projected Rent: Front Unit $750 Back unit $600
Monthly expenses $100.00
Rent $1350/month $16,200
Positive cash: $1250/month $15,000/year

ROI: 27% on positive cash

10 Years Later. We will never forget!

2011-09-10T12:13:00.000-07:00

This is a must have Time issue. While reading it I could not help but to remember what I was doing and how I felt that day! It is important to remember the feeling of that day 10 years ago and pass that along to our kids. . Our county has come along way since that day both in negative and positive sides. We experienced a housing bubble and collapse, we have seen the stock market plummet almost 50%, 18% unemployment in Stanislaus county and a country still at war.

Now more than ever we need to remember what we have been through and what this long road has ahead of us. We need to come together as Americans and turn our economy/country around. Everyone talks about accountability of our public officials but I say lets start within ourselves. Control what is in your circle of influence not your circle of concern. Live beneath your means and do the right thing when people are not looking. Teach this to your children and we will change our country.

God Bless America.

Buying is cheaper than renting in most U.S. cities (CNNMoney.com)

2011-08-17T09:32:00.001-07:00

By Les Christie August 16, 2011: 6:07 AM ET NEW YORK (CNNMoney) -- Home prices have taken such a beating and demand for rental units has increased so much that it's now cheaper to buy a two-bedroom home than to rent one in most major U.S. cities.
According to real estate web site Trulia, buying was cheaper than renting in 74% of the country's 50 largest cities in July. In just 12% of the cities, including New York, Seattle and San Francisco, renting was cheaper. In the remaining 14% of cities, renting was less expensive but close to the cost of buying.
In addition to a continuing decline in home prices, rock-bottom interest rates have added a lot of weight to the buy side of the scale. The overnight average rate for a 30-year fixed was just 4.19% on Monday, according to Bankrate.com. A 15-year fixed averaged just 3.43%.
Add in the tax perks of home ownership and for those who can afford it (and who can actually qualify for a loan), it certainly is a buyer's market.
"It's a personal decision, of course. But if you have a steady job and you are planning to stay for seven years or more and have enough cash to put 20% down and enough left over for seven or eight months of expenses, you're better off buying in most places," said Daisy Kong, a spokeswoman for Trulia.

Top buyer's markets

Las Vegas offered the most compelling buy-side math, Trulia's survey found.
Prices there have plunged more than 59% from their August 2006 peak, according to the S&P/Case-Shiller home price index.
The median price of a two-bedroom, two-bath condo or townhouse is about $60,000, according to Trulia, a ratio of only six times the median annual rent of a similar rental apartment, which is $9,700.
Monthly mortgage payments on a median-priced Vegas condo would come to only $256 on a 30-year, 5% interest loan. Even factoring in property taxes and common charges of roughly $300 a month, the monthly amount is still much lower than the $810 in monthly rent they would pay on a similar place.
Detroit, according to Trulia, is another metro area where buying is better. The median price for a condo or townhouse is about seven times annual rent. Home prices in Mesa, Ariz. and Fresno, Calif. also clock in at seven times rent.
Arlington, Texas, Sacramento, Calif., Phoenix and Jacksonville, Fla. all had buy-rent ratios of eight, Trulia said.

Top renter's markets

Even though rents average $2,980 a month in New York (the highest of any of the 50 markets), it's still the best city for renters, according to Trulia's survey.
Paying for the same kind of two-bedroom Manhattan apartment would cost 36 times as much, nearly $1.3 million.

Big money towns

One surprising place where renting is cheaper is Ft. Worth, Texas; buying exceeds renting costs by 32 times. Part of the reason is there are relatively few condos in the city and they tend to be upscale and costly. That, combined with low rents of about $9,500 a year, make renting cheaper.
Omaha, Neb., where buying is 27 times annual rents, Seattle and San Francisco, which both clock in with purchase prices that are 24 times rents, and Kansas City, at 22 times rents, are other places where renting makes financial sense.

Should you rent or buy?

The buy-rent calculation is just one part of the decision-making process. Other factors include:

How long you plan to stay. If you're not keeping the home for several years, transactional costs of buying and selling (e.g; commissions, closing costs) can wipe out any buying edge.
Whether you have cash for closing. It's not easy to find banks willing to lend more than 80% of the cost of a home. That means buyers have to come up with 20% down, plus closing costs. On a $200,000 home, that's $40,000.
Whether you can cover all the homeownership costs. It's not just the mortgage: There are property taxes, insurance, heat, utilities and regular maintenance.
Whether you can claim the tax advantages of homeownership. Mortgage interest is deductible and can shave a lot off tax bills but this benefit accrues mostly to high income earners with substantial mortgage payments. Many borrowers claim the standard deduction on their taxes and so derive no savings from the deduction.

Even where it's cheaper to rent, it doesn't necessarily mean renters will come out ahead, according to Ken Johnson, a real estate professor at Florida International University and co-author of a new study on whether it's better to buy or rent.
"Paying off a mortgage is a kind of forced savings," he said. Each check homeowners write lowers the balance they owe and increases the value of their property holdings. That, unlike cash in a bank account, is not easy to tap.

Where the jobs are

Homeowners have to go through a lengthy and costly process to access it by taking out a home equity loan or a cash-out refinance -- actions they tend not to take unless there's a specific need.
Depending on where they live, renters may save on monthly expenses but, unlike the forced savings of mortgage payments, they won't have anything to show for their monthly payments in the way of savings.
Ultimately, however, the decision whether to buy or rent depends on each person's situation and their plans for the future.
While buying a home may be an attractively cheap option these days, many mortgage holders have found out the hard way that the joys of homeownership can turn sour should the unexpected strike.

Most Exclusive Modesto Home SOLD! $1,625,000

2011-07-14T13:18:00.000-07:00

Today we officially closed on our very exclusive listing in Del Rio! I want to thank Jerad Hill at Jerad Hill Photographer for making such a great video of the property. We definitely thought out of the box and it worked. This goes to show that by being creative and using technology we have changed our industry. Our sales price was $1,625,000.00 making our Modesto home the largest sale in Stanislaus County and San Joaquin year to date!!

Website: DiscoverRiverNine
Video Tour: TOUR

Filling by quarter

2011-07-12T14:43:00.000-07:00

06099 - Filings By Loan Origination Date

This is yet a better chard. Looking at the peak of the market foreclosure fillings are still heavy for 2005-2007 and they dwindle down in 2008. Depending on what our economy and rates do we will see what happens to 2008. If you notice the chart it looks like foreclosure fillings have already begun.

Filings By Loan Origination Date—The number of foreclosures that have received either a Notice of Default or Notice of Sale, shown in columns arranged by the quarter and year in which the loan was originally made.

Foreclosure inventory on the decline

2011-07-12T14:32:00.000-07:00

06099 - Foreclosure Outcomes

Retired United States Marshal, Purchases a New Home

2011-02-10T15:12:00.000-08:00

My client, Micheal, was in search of a new home in Stockton, California. After a couple of weeks of searching for a nice place, we found this wonderful home.

This home, with 4 bedrooms and 3 full bathrooms, is a wonderful two story home with 2,399 square feet built in 2000.

The quick facts
Purchase Price: $170,000
Down Payment: $5,950
Loan Amount: $165,690 with an interest rate of 4.75% on a 30 year fixed FHA
Monthly Payment: $1,226

Congratulations, Micheal! I hope you are enjoying your new home and thank you for your wonderful service to our country!

A New Year and a New Home

2011-02-08T19:19:00.000-08:00

Eleven days into the New Year, the Castillo family closed escrow on their new home in Modesto, CA

The Castillo's found this amazing 1993 home with a pool and approximately 1,910 square feet. This home, located off of Orangeburg sits on a lot of 6,970 square feet.

The property had an original price of $179,850, but after working with the seller, the Castillo's purchased this home for $175,000.

More of the numbers:
Down Payment (15%): $26,250
Loan amount: $150,237 with a rate of 4.875%
Monthly Payment: $1,150.16

Congratulations on your beautiful find!

Sarah Stallcup of Scenic Oaks Funding was the Loan Officer on this purchase, I enjoyed working with you, Sarah.

HUD Home has a New Homeowner in Ceres

2011-02-08T19:08:00.000-08:00

My client, Sheppard, was able to purchase this HUD Home, originally listed at $140,400 for $137,500. This Ceres home is located in a wonderful gated community and featured many upgrades including granite counter and higher end appliances (as pictured below).

The quick numbers

Property Price: $137,500

Down Payment (3%): $4,812.50

Loan Amount: $134,013 with a rate of 4.99%

Seller Closing Credit: $4,125

Monthly Payment: $987.34

Congratulations on your new home, Sheppard! Enjoy.

Sarah Stallcup of Scenic Oaks Funding was the Loan Officer on this purchase, I enjoyed working with you, Sarah.

A Young Johnson Purchases a New Home

2011-02-08T18:39:00.000-08:00

My client, Johnson, a 23 year old young man purchased his first home in December of 2010 in Ceres, CA

The home was built in 1965, but despite its age, Johnson took interest in the property. The home, in approximately 1,352 square feet fostered space for 3 bedrooms and 2 full bathrooms.

The quick numbers

Purchase Price: $129,900

Down Payment: (3.5%): $4,546.50

Loan Amount: $126,606 with a 4.25% rate

Seller Closing Credit: $3,897

Monthly Payment: $900.15

In honor to work with this young and successful young man, congratulations!

(Johnson and I worked with Sarah Stallcup of Scienic Oaks Funding.)

Another New Modesto Homeowner

2011-02-08T18:19:00.000-08:00

Just two days before Christmas, on December 23, 2010, the Lobaugh family closed escrow on their new home in Modesto, CA.

I wanted to share with you the quick facts from their beautiful purchase.

Final Numbers:

4 Bedroom [with an additional Office-room], 3-bath home with 2,318 square feet, built in 1994
Purchase Price: $156,000
Down Payment(20%): $31,200
Loan Amount: $124,80 with a rate of 4.875%
Monthly payment: $887.95/month

The purchase of this home was facilitated by Sarah Stallcup of Scienic Oaks Funding

Congratulations on your great home and thank you for allowing me to be part of this process!

Zillow Names 10 Best Places to Invest in 2011

2011-01-13T12:44:00.001-08:00

Well here you go. Modesto was ranked #2. For all those investors in Modesto well done. This market has opened a large window of opportunity to build wealth. - Daniel Del Real, CRS

By: Katie Curnutte, Zillow PR Manager | January 11, 2011

While it might be difficult to find good news coming out of the latest housing market data, there is a silver lining to the housing downturn. Affordability is at a historic high, and there are lots of opportunities out there for average homebuyers and investors alike.
Here at Zillow, our extensive real estate data allows us to take deep looks into housing markets across the country. Zillow’s research team decided to put together a list of the best places in the country to invest in 2011. To be clear, we’re not talking about people looking for a quick flip, but sophisticated investors who are interested in making a long-term investment in properties that will generate rental income. These types of investors usually expect modest value appreciation, so are focused more on regular positive cash flow.
We looked at four factors in individual markets across the nation:

Price-to-income ratio: We looked at the relationship between local incomes and home values over time, pinpointed the historic norm, and compared today’s price-to-income ratio. Places where home values are currently above that historic norm got high marks, because that suggests property values may have over-corrected in the housing downturn, so this year would be a good time to buy.
Foreclosures: We wanted places where foreclosure rates were falling, which means the local market is likely improving. But foreclosures are attractive to many investors, so we wanted to make sure there is still an ample supply available.
Price-to-rent ratio: We looked for places where the difference between the annual cost of renting or buying was small. That can be a double-edged sword for investors, since this means that current purchase prices are attractive now, but that rents could fall in the future. However, rents may be high now relative to the purchase price, so the property might generate income quickly.
Home value appreciation: We wanted to see the Zillow Home Value Index (which measures the median value of all homes in an area) increasing, since it’s more attractive for investors to buy in a relatively strong real estate market.

The best place to invest: The hard-hit metropolitan statistical area of Merced, CA. In Merced, home values are rising again after correcting substantially during the downturn. Foreclosures are falling, but sales of previously foreclosed homes made up 53% of all sales in October, so there are plenty of choices for investors. Below is our full list of metropolitan statistical areas that ranked highest and lowest for investors.

Thank You

2011-01-07T14:08:00.000-08:00

Well, we have officially closed out all of our 2010 transactions and I cannot help to think of how blessed we are to work with so many great families. Its such an honor to be part of this stage in someone's life and assist in, what will be, the largest purchase of his/her life.

Thanks to all my wonderful clients and all your referrals I was awarded the National Association of Realtors "30 under 30" award and closed out 2010 as the #1 agent at PMZ Real Estate.

If you know of a someone who would appreciate our services, please call me and I will be happy to help him/her.

To a prosperous and blessed 2011!

HUD GOOD NEIGHBOR NEXT DOOR PROGRAM

2010-11-08T15:44:00.001-08:00

About Good Neighbor Next Door


	Information by State Esta página en español Print version

Related Information

	Good Neighbor main page
	Good Neighbor Mortgages
	Homeownership Center
	Property Listings by State
	Revitalization Areas

Law enforcement officers, pre-Kindergarten through 12th grade teachers and firefighters/emergency medical technicians can contribute to community revitalization while becoming homeowners through HUD's Good Neighbor Next Door Sales Program. HUD offers a substantial incentive in the form of a discount of 50% from the list price of the home. In return you must commit to live in the property for 36 months as your sole residence.

How the Program Works

Eligible Single Family homes located inrevitalization areas are listed exclusively for sales through the Good Neighbor Next Door Sales program. Properties are available for purchase through the program for five days.

How to Participate in Good Neighbor Next Door

Check the listings for your state. Follow the instructions to submit your interest in purchasing a specific home. If more than one person submits on a single home a selection will be made by random lottery. You must meet the requirements for a law enforcement officer, teacher, firefighter or emergency medical technician and comply with HUD's regulations for the program.
HUD requires that you sign a second mortgage and note for the discount amount. No interest or payments are required on this "silent second" provided that you fulfill the three-year occupancy requirement.The number of properties available is limited and the list of available properties changes weekly.
To learn more, please see our Good Neighbor Sales Frequently Asked Questions!

Comments and Questions

New Ceres Homeowner

2010-10-22T14:49:00.000-07:00

Sandeep and I started working together in August of 2010. He was looking for a large home in Ceres with a full bedroom and bathroom downstairs. He needed the accessible downstair bedroom and bath, in order to care for his aging parents.
The family tends to spend most their time in the kitchen enjoying each other’s company so a large kitchen was also a very important item on his list. During our search we noticed Chase bank had a pre-listed property available near his family. We contacted the agent and made them aware of our interest, the agent did not have a price yet so we had to patiently wait. Sandeep was qualified for $270,000; we were crossing our fingers that the home would be priced under his approved amount. 14 days later Chase bank listed the home for $256,300, below what we expected. We quickly submitted a full price offer and agreed to go with Chase financing.

** Quick tip banks tend to favor buyers when they see that the buyer will be obtaining financing from them direct. In this case the bank benefits by retaining the mortgage and getting a new client!

Congratulations Sandeep! I’m glad to see that you are taking care of loved ones.

Final Numbers

4 bedrooms 3-bath home with 3547 sq. ft. built in 2006

Down payment 10% $25,630 Chase financing

FHA Financing $232,000 at 4.5%

Monthly payment $1624/month

Beautiful open kitchen!

Ceres Investment Property - Central Valley

2010-10-20T13:27:00.000-07:00

As many of you know we have a ton of opportunities to invest in the Central Valley and see outstanding returns. See attached closed purchase. This duplex was built in 2006 it has 2 units both are 3 bedroom/2baths with 2 car garage. Rents received at $950 per unit.

The Numbers

Price $138,900

Down payment 30% ( $41,670)

Repairs to property $2000

Amount financed $97,230

Monthly payments including impounds $755.93/month

Rents received: $1900/month

Positive ROI: $1,144.07/month = $13,728.79/year

ROI per year 31%

See attached spreadsheet!

We helped this investor purchase a sold property and gain them fantastic returns. If you know of anyone in need of some advice or would like to sit down and see what investment properties have to offer please let them know about us! We lead by example.

Daniel Del Real, CRS

Del Real Group – PMZ

209.204.0610

How to Reach the Millennials

2010-10-14T13:02:00.001-07:00

Daily Real Estate News | October 6, 2010 | Share

The millennial generation has entered the real estate market in a big way. The average age of first-time home buyers -- a dominant force in the current real estate market -- is 30, Joel Singer, the executive vice president of the California Association of REALTORS®, told a crowd at the “Tech Tuesday Opening Session” during the California Association of REALTORS® Expo in Anaheim, Calif.

But these tech-savvy millennials, born between 1980-2000, have different expectations and views when it comes to home buying and differ in how they communicate compared to previous generations. For example, younger generations tend to favor texting for its instant response and social networking for building relationships, Singer said.

The millennials represent a challenge, however, because they are often conflicted when it comes to real estate, Singer said. Many millennials know someone who has suffered in the current housing downturn from delinquency or losing equity in their home. Therefore, some millennials may be hesitant to jump into home ownership. And while they find home ownership desirable, they may think they should rent, Singer said.

Therefore, real estate professionals’ job becomes one of educating and emphasizing the value of home ownership. For example, real estate professionals might stress the desirable low mortgage rates and the drop in housing prices that has made homeownership more affordable. (View marketing materials from the National Association of REALTORS® latest Public Awareness Campaign, What Matters Most, about the value of home ownership).

A panel of young real estate agents also offered some tips to reaching the younger generation:

Educate: Daniel Del Real with PMZ Real Estate in Modesto, Calif., uses his blog to share first-hand experiences of buying, such as examples of clients who have gone through the short-sale process and the obstacles they faced and how long the process took. The stories give buyers a snapshot of what to expect in various transactions.

Expand your Web presence: More than half of millennial clients found their real estate agent on the Internet, said Singer, citing buyer research. So how are you broadening your web presence? Del Real generated a bigger audience for his blog by taking advantage of free profile pages on Trulia that he uses to feature his blog posts. Del Real, who closed about 200 transactions in one year and generated a lot of his business from Internet leads, encouraged agents to take advantage of companies that already rank high on search engine results and set out to get on those sites so you can rank higher too.

One way Shannon Williams King, with SchoolHouse Realty in San Diego, has expanded her Web presence in her market is by having a Facebook page that features “365 Things to Do in San Diego, Calif.” The Facebook page has attracted nearly 35,000 followers.

Improve your mobility: Del Real said that having remote access to all of your business systems from anywhere is key to help meet the instant expectations of younger clients. He’s able to send contracts from anywhere on the spot, and he takes advantage of technology tools and smartphone apps to keep him as mobile as possible. For example, he uses LogMeIn.com, which allows him to log onto his computer remotely from another computer or even from his smartphone.

King says she can run nearly all of her business operations from her iPad and iPhone remotely. She takes advantage of cloud computing networks, such as Google Docs and Dropbox.net, to store, access and share her documents online. She also uses such smartphone apps as Zosh, which allows her to sign contracts on her iPad or iPhone, and conducts paperless transactions usingDocuSign to close a deal from anywhere.

--REALTOR® Magazine Online

NAHREP and AREAA Expo in Las Vegas

2010-10-06T10:51:00.000-07:00

Just announced! Excited to talk on the Panel. If you're a Realtor and planning to be there email me!

ddelreal@pmz.com

If you would like more information on registration please visit: AREAA/NAHREP Convention

Stockton Short Sale Closed

2010-09-30T17:47:00.000-07:00

Stockton Short Sale Closed

I’ll keep this one short. This struggling homeowner was referred to me by a past client. She was transferred to southern California and was having issues making the payments on her Stockton property. After attempting to hold the property for a few months she finally decided it was time to short sale the property. She owed two mortgages both with Wells Fargo with a balance of $405,000. We initiated the short sale on November 30^th of 2009. See timeline of events.

The numbers:

$360,000 First mortgage to Wells Fargo

$45,000 Second mortgage to Wells Fargo

November 30^th- listed property on MLS $209,900

December 18^th – received an offer from a qualified buyer. Seller accepted.

December 19^th – sent short sale docs to Wells Fargo along with estimated proceeds.

** During the next 3.5 months we fought with Wells Fargo to get the short sale approved. They first wanted her to contribute money in order to grant short sale but after a few months of showing that she would not be able to do so they granted an approval!**

April 1^st- Short sale approved at $228,000 buyer accepts counter from Wells Fargo. FULL STEAM AHEAD.

May 12^th- Closed Stockton short sale.

Total time: 5 months 12 days!

I'm excited we could help this struggling homeowner get out of a very difficult financial situation. If you know of anyone in need of some advice, please let us know. We are here to help.

Daniel Del Real, CRS

Del Real Group – PMZ

209.204.0610

Riverbank Short Sale Closed

2010-09-30T17:26:00.000-07:00

Another successful Wachovia short sale. We initially spoke with the owners of this property in April of this year. They had a Wachovia first and a Chase second mortgage with a balance of almost $330,000. Our initial recommendation was to see if they could get a modification from Wachovia and they agreed to give that a shot. After a month of going through the modification process they received notice that they did not qualify the loan mod and were instructed to attempt to short sale their Riverbank property. We initiated their short sale and listed the home May 4^th. The short sale process took 3 months from start to finish! See timeline.

Wachovia balance $280,000

Chase balance $50,000 (line of credit)

April 1st - Attempted to modify

May 2nd– received denial of modification

May 4^th – Listed the property on MLS $170,000

May 10^th- Seller received a full price offer $170,000

July 17^th- received counter from lenders at $178,000 buyer accepted.

July 18^th- received approval from Wachovia with no deficiency judgment and $3,000 to Chase (Second lender)

July 19^th – Chase approved with a deficiency judgment. We countered them with no deficiency. They came back and asked for $2,000 from seller in order to waive the deficiency. Seller accepted.

July 21^st- Approval from Chase Mortgage. Gave notice to buyers agent.

FULL STEAM AHEAD.

August 26^th- Riverbank SHORT SALE CLOSED.

Total time from start to finish: 3 months and 24 days!

I'm excited we could help this struggling homeowner get out of a very difficult financial situation. If you know of anyone in need of some advice please let us know. We are here to help.

Daniel Del Real, CRS

Del Real Group – PMZ

209.204.0610

SHORT SALE - Wikipedia

2010-09-30T17:21:00.000-07:00

Ever wonder what a short sale is? Here it is.... direct from Wikipedia.

A short sale is a sale of real estate in which the sale proceeds fall short of the balance owed on the property's loan.^[1] It often occurs when a borrower cannot pay the mortgage loan on their property, but the lenderdecides that selling the property at a moderate loss is better than pressing the borrower. Both parties consent to the short sale process, because it allows them to avoid foreclosure, which involves hefty fees for the bank and poorer credit report outcomes for the borrowers. This agreement, however, does not necessarily release the borrower from the obligation to pay the remaining balance of the loan, known as thedeficiency.^[2]

[hide]

[edit]Process

In a short sale, the bank or mortgage lender agrees to discount a loan balance because of an economic or financial hardship on the part of the borrower. The home owner/debtor sells the mortgaged property for less than the outstanding balance of the loan, and turns over the proceeds of the sale to the lender. Neither side is "doing the other a favor;" a short sale is simply the most economical solution to a problem. Banks will incur a smaller financial loss than would result from foreclosure or continued non-payment. Borrowers are able to mitigate damage to their credit history, and partially control the debt. A short sale is typically faster and less expensive than a foreclosure. It does not extinguish the remaining balance unless settlement is clearly indicated on the acceptance of offer.

Lenders often have loss mitigation departments that evaluate potential short sale transactions. The majority have pre-determined criteria for such transactions, but they may be open to offers, and their willingness varies. A bank will typically determine the amount of equity (or lack thereof), by determining the probable selling price from an appraisal or Broker Price Opinion (abbreviated BPO or BOV).

Lenders may accept short sale offers or requests for short sales even if a Notice of Default has not been issued or recorded with the locality where the property is located. Given the unprecedented and overwhelming number of losses that mortgage lenders have suffered from mortgage failures that in part triggered the Financial crisis of 2007–2010, they are now more willing to accept short sales than ever before. For "under-water" borrowers who owe more on their mortgage than their property is worth and are having trouble selling, this presents an opportunity for them to avoid foreclosure as a result.

[edit]Additional parties

Multiple levels of approvals and conditions are very common with short sales. Junior lien-holders - such as second mortgages, HELOC lenders, and HOA (special assessment liens) - may need to approve the short sale. Frequent objectors to short sales include tax lien holders (income, estate or corporate franchise tax - as opposed to real property taxes, which have priority even when unrecorded) and mechanic's lien holders. It is possible for junior lien holders to prevent the short sale. If the lender required mortgage insurance on the loan, the insurer will likely also be party to negotiations as they may be asked to pay out a claim to offset the lender's loss in the short sale. The wide array of parties, parameters and processes involved in a short sale makes it a relatively complex and highly specialized type of real estate transaction. Not surprisingly, short sale deals have a high failure rate and often do not close in time to prevent foreclosure when they are not handled by a knowledgeable and experienced professional.^{[citation needed]} Short sale negotiators, Realtors who are short sale certified (a National Association of Realtors designation), loss mitigation specialists, and real estate lawyers who specialize in short sales are often brought in to handle these deals. Quite often, the average consumer is not aware that the lien holder pays the Realtor commissions, often exacerbating the difficulties.

[edit]Consent

Short sales are different from foreclosures in that a foreclosure is forced by a lender, whereas both lender and borrower consent to a short sale. However, this consent may change at any time, and negotiations may be ongoing between the lender and borrower even while the short sale is on the market. The borrower may decide to remain and refinance their house, or become obstinate and force foreclosure. The bank may renege as well if they decide to stick with the current borrower, or if they disapprove of the sale price. Any short sale contract includes a contingency where the bank must approve the sale.

In the state of California, short sales can be tricky in that it is important for the party handling the deal to advise the seller to seek the advice of an attorney and a CPA. There could be tax consequences if the loan(s) on the property are not purchase money (all the funds needed to purchase the property). On the other hand, if the loan(s) on the property are purchase money, then the loans are considered "non-recourse" and the debt is generally forgiven and satisfied at the end of the short sale.

Changing consent can present a perilous situation for potential buyers. It can waste considerable time and money for a prospective buyer who anticipated a sale. Typically, deposits with the bank will be refunded but money for paid inspections or other services cannot be.

There are several defenses against this. If the seller has moved out of a property, that is a clue that they have no intention of staying or negotiating further with the bank. "Bank Approved Short Sales" are advertised by real estate advertisements, indicating that a real estate broker has verified the selling bank's position. This still does not guarantee acceptance, and it often does not take junior lien holders into account, but it is better than situations where the bank holding the mortgage has only been lightly involved in the borrower's decision.

[edit]Credit implications

Short sales are a type of settlement, and they adversely affect a person's credit report. The negative impact may be less than a foreclosure, but in some cases the effect is the same. Like all entries except for bankruptcy, short sales do not show on a credit report according to the Distressed Property Institute. The credit will restore within 18 months or so. Depending upon other credit information, it is possible to obtain another mortgage 1–3 years after a short sale, or less if the borrower is current at the time of the sale.^{[citation needed]}

While lenders sometimes forgive the remaining loan balance, other lien-holders likely will not. Further, it is possible for a lender to omit updating mortgage balances zero balance after a short sale. However, willfully misrepresenting information on a credit report can constitute libel in some jurisdictions, and lenders may be sued in civil court for engaging in this behavior.^{[citation needed]}

Short sale success rates vary from state to state and from bank to bank. Bank of America short sales, as of 2009, had the longest approval times and the highest failure rate.^{[citation needed]} Smaller "local" banks tend to have their own rules, but will typically approve the short sale in days, not months.^{[citation needed]}

[edit]Business

Short sales are common in standard business transactions in recognition that creditors are not doing debtors a favor but, rather, engaging in a business transaction when extending credit. When it makes no business sense nor is economically feasible to retain an asset, businesses default on their debt. It is common for commercial debt to trade on the secondary market for a small fraction of their face value in realization of the likelihood of these future defaults. This is known as distressed debt.

Why is it taking so long for banks to release all the good houses?

2010-09-27T22:40:00.000-07:00

This is a great question I hear over and over. So I'll blog it and make it a sticky. Give me your opinion.

Q:
Why is it taking so long for the banks to release all the good houses? I am so ready to buy but keep waiting in case something better comes along. Anyone have a clue when the gates will open? I keep hearing they will but I am a doubting Thomas now.....cry wolf too many times and us consumers start to ignore you!!!

A:

This is the million dollar question. I this is something that banks do not want to do so they have been trickling them in while getting rid of a ton via the Short Sale process. In our market (Northern California) short sales account for 25% of sold properties this compared to 12% last year.

Fannie mae has been promoting their Homepath financing very hard which doesn't require an appraisal and yet at the same time overpricing their homes by 10%. Did you get that.... they're controlling the market and it makes sense for them. They retain a client and push values up. They see it at a way to lend on any price as long as they make interest on the money. Or in other words make money out of nothing. Why would they want to flood the market?

So to answer your questions. :) I would say 6 months. lol or at least thats what we have all been saying for the last 2 years. Only the market will dictate (not really... banks will).
Talk about a big chest match.

The question is are we winning or losing?

Daniel Del Real, CRS
Del Real Group - PMZ

Is this our market? How much inventory is really out there?

Stanislaus County Closing Statistics

2010-09-27T10:06:00.000-07:00

It's no secret Short Sales are on the rise. The question how much of the market do they account for? The surprising stat is that REO closings account for only 52%.

If you look at all Stanislaus County closings this is what you will see.

Stanislaus County Closings YTD

2009 2010

Total Closings 7114 5513

REO's 5413 76% 2866 52%

Short-sales 885 12% 1296 24%

Traditional 816 11% 1351 25%

Applications for Loans Fall

2010-09-23T22:03:00.001-07:00

Applications to purchase homes declined 3.3 percent last week on a seasonally adjusted basis compared to the previous week, according to the Mortgage Bankers Association weekly survey.

On an unadjusted basis, the purchase index increased 18.9 percent compared to the previous week, which included Labor Day, but was 38 percent lower than the same week a year ago.

Mortgage rates declined slightly compared to the previous week:
· 30-year fixed-rate mortgages decreased to 4.44 percent from 4.47 percent;
· 15-year fixed-rate mortgages decreased to 3.88 percent from 3.96 percent;
· 1-year ARMs increased to 6.96 percent from 6.89 percent.

Source: Mortgage Bankers A via www.Realtor.org

What do you think this means? I know we have seen and felt a drop of activity. With interest as low as they are now are we really seeing a drop in application.... I guess so... I know we are feeling the slow down. Multiple offer situations are becoming less tense. If you're a Realtor keep working if other agents are slowing and news is telling you that the market is slowing it should be good news for you. Less competition for you and your buyers. There's is still many good and qualified buyers looking for homes.

Happy Hunting

Daniel Del Real, CRS
Del Real Group - PMZ

Top 10 Most Stressful Jobs

2010-09-23T22:02:00.000-07:00

Another great article on the Realtor.org website! Welcome to my world Real Estate agent is number 10 on the list! OUCH.

Steep competition, long hours, and demanding schedules land the job of a real estate agent on this year's list of most stressful jobs.

By Melissa Dittmann Tracey | October 2010

The job of a real estate agent is considered one of the most stressful jobs you can have, according to CareerCast’s 2010 Jobs Rated report, which analyzed the stress level of 200 professions.

As the economy has softened, competition among real estate agents has risen, which was a major factor in landing it on this year’s list of top 10 most stressful jobs, according to the report.

Do you feel stressed? Take our quiz to see if your stress levels are spiraling out of control.

The report noted: “Real estate agents and brokers work long, erratic hours, spending much of their time showing properties to clients. They must be extremely independent, and able to handle sales quotas and deadline pressures.”

In compiling its stress rankings, CareerCast accounted for such factors as work environment, competitiveness, and job risk. Overall stress scores ranged from the low 18.776 to 110.936. (Real estate agent had a 73.063 overall stress score.)

Here are the top 10 most stressful jobs in 2010, according to the report:

1. Firefighter
Stress score: 110.936
Hours per day: 11
Time pressure: Very high
Competition: Low

2. Corporate Executive (senior)
Stress score: 108.625
Hours per day: 11
Time pressure: High
Competition: High

3. Taxi Driver
Stress score: 100.491
Hours per day: 9.5
Time pressure: Moderate
Competition: Moderate

4. Surgeon
Stress score: 99.463
Hours per day: 11
Time pressure: Moderate
Competition: High

5. Police Officer
Stress score: 93.893
Hours per day: 9.5
Time pressure: Moderate
Competition: Low

6. Commercial Pilot
Stress score: 85.350
Hours per day: 9
Time pressure: Moderate
Competition: Low

7. Highway Patrol Officer
Stress score: 80.651
Hours per day: 9.5
Time pressure: Moderate
Competition: Low

8. Public Relations Officer
Stress score: 78.523
Hours per day: 9
Time pressure: High
Competition: Very High

9. Advertising Account Executive
Stress score: 74.555
Hours per day: 9.5
Time pressure: Moderate
Competition: Very High

10. Real Estate Agent
Stress score: 73.063
Hours per Day: 9.5
Time pressure: High
Competition: Very High

'The Residential Specialist'

2010-09-20T15:08:00.001-07:00

I was excited to see Octobers issue of 'The Residential Specialist'! Mary Dixon Lebeau interviewed me along with 3 other CRS designees a few months back.

"High Hopes" -Newly minded CRSs who entered the profession in tough times talk about how they stay motivated and how they're setting themselves up for success!

Investment Purchases

2010-09-20T12:43:00.001-07:00

New Modesto Homeowner- Wachovia REO

2010-09-15T17:05:00.000-07:00

Carina and Martins home search was an interesting one! We initially started looking for a home in February of this year. Our first attempt to purchase was an Bank of America short sale property. We all knew the risk involved when dealing with a short sale but the home was perfect for them so we decided to wait for the short sale process. We waited for 3 months just to find out that in the last minutes Bank of America decided to take the property via foreclosure. Carina and Martin waisted no time they knew the risk involved when dealing with short sales so they just tied up their bootstraps and started the home search all over again.

It took us 2 weeks to find a Wachovia REO property. The property was very similar to our initial short sale property but it had new carpet, paint and appliances. We offered and quickly received an acceptance. Thanks to the Bernanke at the Federal Reserve the rates dipped from our initial short sale experience. They went from a 5.5% to a 4.75% which resulted in huge savings.

Congratulations to them both as they just received the keys to their new place this Monday!

Final numbers

3 bedroom 2 bath home with 1519 sq. ft. built in 1977. Home has fresh paint, carpet and appliances compliments from the Wachovia REO Department.

Purchase price $128,000
$3,000 closing credit from Wachovia
Down payment $4,480
30 year FHA mortgage at 4.75%
Monthly payment $916.89 taxes and insurance included.

New Modesto Homeowner

2010-09-15T16:29:00.000-07:00

Tig and Angie were referred to me by Chris Salas at Summit Mortgage. I first met with them to go over their home search criteria in mid June. Our search took 2 months as we ran into a ton of bank owned and short sale homes that did not really “wow” them. It’s always great to meet and work with really fun outgoing personalities Tig and Angie were exactly that! Angie was not timid when it came down to eliminating properties as she knew what she wanted. This made my job very easy. When I showed them a Fannie Mae home they instantly knew that was the home for them. Thanks to our relationship with Penelope Miller at Prudential we quickly got our offer accepted (Thanks Penelope). It was a very smooth transaction for everyone. Chris Salas at Summit Mortgage was very efficient thanks to everyone Tig and Angie received they keys right on time!

Congrats!!!

Final numbers

3 bedroom 2 bath home with 1398 sq. ft. built in 1974. Home had a newer roof, carpet and paint.
Purchase price $125,000
Closing cost credit from seller $4,000
Down payment $4,375
Loan FHA 30 year mortgage at 4.25%
Monthly payment $851.82 taxes and insurance all included.

Modesto Investment Purchase

2010-09-13T17:46:00.000-07:00

Just closed on a new investment property for a new investor. The Garcia family came to me to get more information on Real Estate investments. They were very interested in purchasing but didn’t know exactly how to start. In our initial meeting we had a crash course which I call “investing 101”. We went over a few investment strategies and talked about ROI (return on investment). As new investors we went with a more conservative strategy. We decided to purchase a property in a great location which would help them keep the property occupied.

** If you’re a new investor its good to start here as the biggest mistake new investors make is taking too much risk. Some investment show great returns but are located in less desirable neighborhood thus resulting a higher vacancy factor. It’s nice to see a 20% ROI but with a 1 month vacancy you see a huge reduction in ROI**

The Garcia’s received the keys to their first Real Estate Modesto investment property this month. The home is located in a very established semi custom neighborhood a few blocks from Sonoma Elementary school.

FINAL NUMBERS

3 Bedroom 2 bath with 1625 Sq. ft. built in 1977.

Purchase price: $144,900
Down payment 20%: $28,900
Closing cost: $5,000
Repairs: $5,000
Total investment: $38,900
Amount Financed: $115,900 @ 5.125%
Monthly payment: $832.11with taxes and insurance incl
Rent $1,200/month $14,400
Positive cash: $367/month $4,414/year

ROI: 11.38% on positive cash

Principle reduction: $130/month$1,560/year also an unrealized return (Savings).

REMEMBERING THOSE WHO LOST THEIR LIVES

2010-09-11T10:49:00.000-07:00

... and those they left behind

Watch The Videos So You Will Never Forget

"There is a sacredness in tears. They are not the mark of weakness, but of power. They speak more eloquently than ten thousand tongues. They are messengers of overwhelming grief...and unspeakable love."

--- Washington Irving

Positive Trend in one Modesto Neighborhood

2010-09-09T12:24:00.000-07:00

Made a 2 second appearance on CBS13 KOVR-TV last night spoke about a positive trend in one Modesto neighborhood. Signs of growth that he feels are a welcomed sign. Click the link below to watch the video, from CBS13 News:

CBS 13 NEWS; Hope in Modesto's neighborhoods

This is something positive that we have been seeing in our communities. As first time buyers or investors purchase properties in our communities they're doing so at a huge discount leaving money in their pockets for home improvements. First time buyers are actually improving their financial situation by purchasing a home. With the median price in Modesto being $130,000 first time buyers utilizing FHA financing are seeing payments at $875.00/month. Now compare this to renting that same home for $1,100.00/month. It adds up to a $225.00 monthly savings.

Investors in the other hand are purchasing properties receiving 10-15% returns per year leaving enough gains to do the same.

So what Modesto is seeing now are homeowners putting those savings straight into their investments which then becomes a domino effect with other neighbors. Instead of for sale signs on every other house you are stating to see the transformation of a City. It’s not a rapid transformation but slowly working our way to green yards and mildly updated homes. With new homeowners investing into their homes you’re also starting to see contractors get back to work all in all healthy growth for our community.

Daniel Del Real, CRS
Del Real Group - PMZ

Passion in your Real Estate Practice

2010-09-08T10:58:00.001-07:00

As Real Estate professionals we are in the business of building relationships. I found these two quotes very inspirational to my practice. Sellers and buyers need our advice and support, it's important to have heart and passion in your business especially in these hard economic times. If you help others the rewards will be endless.

"When people go to work, they shouldn't have to leave their hearts at home.” --Betty Bender

"Real success is finding your lifework in the work that you love." --David McCullough

Have a great day!

Daniel Del Real, CRS
Del Real Group - PMZ

Modesto Investment Property

2010-09-01T17:45:00.000-07:00

This one will be kept short, simple and to the point.

The Browns wanted to find an investment property that rendered them at least 10% ROI. We set out to find it and this is what they purchased.

Property details
Modesto Duplex
2 bedrooms 1 bath per unit
Projected rent $650/month per unit

Down payment 20%: $26,000 with $7,500 reserved for repairs.
Total out of pocket $33,500
Amount financed: $104,000 at 5.88%
Monthly payment $800.62 taxes and insurance included.

Total projected rents: $1,300/month
Liabilities: $800.62
Positive monthly return: $499.38
Positive yearly return: $5992.61

ROI: 17.88%

Well above projected 10%. Way to go Browns!

New Manteca Homeowner

2010-09-01T17:17:00.000-07:00

Alex Ochoa was referred to me by Sarah Stallcup at PMZ Home Loans. He was approved for $200,000 and was looking for his first home in Manteca CA. He worked in Pleasanton so one of his requirements was the proximity of the home to the FWY. When looking we came across many nice homes but they all needed a bit too much work. He had the money to cover his closing cost but it was important that the home was in as close to move in condition as possible. Our search took a 6 months. During those 6 months we looked at over a dozen foreclosed and short sale properties but nothing really stood out to him. The market was active but new inventory was coming on daily so he was great at getting out there with me to see them right away.

I called him on a new property on Lambdin Ave early in the morning; we were out there and looking at it by lunch time. When he saw the home he instantly fell in love with it as it had new hardwood floors, carpet and paint. We prepared our offer and packaged it as strong as we could. 48 hrs later we received a call from the listing agent letting us know that the seller accepted another offer and we were placed as back up! Alex was bummed by the news but he stayed focused on the home search. 5 days after that initial call the listing agent on the Lambdin Ave home called us with great news….. The buyer failed to return contract on time so they wanted to see if we wanted to exercise our position as backup offer! We quickly said yes. Alex was excited that he waited the six months.

Congrats Alex!

Final Numbers

Manteca Ca home built in 1999. 4 bedrooms 2 bath with 1981 sq ft.
Purchase price $199,900
FHA 30yr fixed mortgage 5%
Monthly payment. $1406 month taxes and insurance included.

New Riverbank Homeowner

2010-08-27T12:40:00.000-07:00

It’s been a very busy summer and I admit I’ve been neglecting my new homeowner articles. I promise to post as many as I can within the next 14 days so make sure you keep an eye on my blog.

David and Carmen were referred to my by a close friend in the business. I quickly set up our first sit down meeting to go over their needs and wants when looking for a new property. I found that they were looking for a home with a bit more room than their current home. Since they were in a move moving up they would make their current home a rental property. Our search took 3 months. We submitted and offer on a Riverbank home owned by Fannie Mae utilizing their Homepath financing. Homepath is a great product with very good rates only allowed on Fannie Mae owned properties. It eliminates appraisals and additional fees typically paid by the buyer like Mortgage insurance (THOUSANDS IN SAVINGS OVER THE LOAN PERIOD).

We ran into a snag during the escrow period. The Homepath underwriter was questioning the buyer’s debt to income ratios. It didn’t take long for the underwriter to straight reject the loan. When I received word about the rejection I made a call to the listing agent explaining the situation to him. I explained that this was a Fannie Mae home and the buyers where obtaining Homepath financing. We ran a few scenarios and finally came up with the winning formula. What we did is asked Fannie Mae to buy down the buyers interest rate, by doing their payment would drop which would reduce their debt to income ratios. It was a shot in the dark but they did it. Fannie Mae bought almost 2 points and dropped the buyers rate .75% (original was 5.5% was bought down to 4.75%).

FUN FACT: a .75% drop on rate is equivalent to a 7.5% drop in price.

Thanks to Homepath financing and Fannie Mae, David and Carmen received a fantastic deal on their Riverbank home.

If you’re a buyer looking at Fannie Mae REO properties ask about Homepath. It’s really a great product.

Final Numbers

Riverbank home with 3 Bedrooms plus office, 2 baths. Measuring 1743. Home was built in 2005.
Purchase price $196,000
Closing cost credit $6,000 plus 2 points in interest buy down ( $3,800)
FHA 30yr fixed mortgage 4.75
Monthly payment. $1252/month taxes and insurance included.

8 Mistakes To Avoid When Investing In Real Estate

2010-08-23T17:24:00.000-07:00

8 Mistakes To Avoid When Investing In Real Estate

by Creatin Wealth

Investors themselves often block the path to success with self-defeating attitudes, actions, and especially inaction, failing to "get out of their own way." While intelligent investing is obviously a better strategy than ignorance, succumbing to "the paralysis of analysis" thwarts any chance of success. Steering a balanced course between the two poles of over- and under-thinking is the key.

Focusing on Negative Experiences

Investors who focus on negative experiences and ignore successes suffer from a kind of tunnel vision that prevents them from seeing and understanding the big picture. Maintain perspective rather than allowing a single setback to inform your whole investment strategy.

Investing in Wrong Kind of Instruction

Investing time, energy and resources on the wrong kind of instruction is a common and costly mistake. Instead, pursue an education that teaches how to find success where others have failed, creating avenues for opportunity.

Excessive Greed

Excessive greed can be an expensive attitude for investors. Wanting to maximize profits is only natural, but the price of stubbornly trying to squeeze every dollar out of a rental property could be a costly vacancy.

Failing to Listen to Property Managers

Failing to take the advice of property managers can be as big a mistake as heeding only their counsel. Ideally, investment counselors draw on a wealth of information to provide impartial advice. But investors ultimately must rely on their own judgment. Enlisting the services of a qualified property investment adviser to help you manage your portfolio and keeping the lines of communication open is essential.

Panic Buying or Selling

Panic buying is deadly for investors, but panic selling is even more perilous and prevalent. While it's never wise to blindly rush into a deal, it's just as dangerous to react to a random setback with a knee-jerk decision to sell. Likewise, investors whose stock answer is "No" block access to opportunity, while "Yes" is the key that opens doors.

Becoming Over-Extended with Debt

Failing to respect the powerful investment tool of leverage by becoming over-extended is an all-too common pitfall. Maintaining adequate reserves is the best way to counteract being derailed by debt. 4% is the recommended minimum, and this reserve must be separate from funds for other expenses. Failing to adequately plan for contingencies is another mistake that violates the principles of prudent investing.

Making Investments During Major Life Changes

Making major career or life changes while pursuing investments disrupts the secure foundation crucial to success as an investor. Change itself is an inevitable part of life, but be sure to regain your solid footing before plunging into an investment.

Letting Your Personal Circle Influence Decisions

Letting your personal circle or "sphere of influence" affect your investment decisions can be dangerous. Be careful where you get your advice and consider the source. Failing to stay in control of your investments endangers your financial future. The way to avoid paying hefty fees, often for bad or even fraudulent advice, is by being a direct investor.

Knowing yourself will help launch you in the right direction as an investor, and steer clear of the self-sabotaging behaviors that derail even the best-intended plans.

It's always a good idea to sit down with a Real Estate professional that has Real Estate holdings in their own portfolio. They will understand what it takes to invest and the different obstacles you can face as a landlord.

Create a plan and executed. Don’t count on appreciation think long term. As a Real Estate investor be comfortable with the ROI (Return on investment) let the appreciation be a bonus. If you do this than you wont be as emotional during the holding period.

One of the oldest rules in real estate is that you make your money when you buy, not when you sell. Buy right and you'll always be able to rent the property out and eventually resell for good money. Buy wrong, and the property will be an alligator (it will eat you alive with payments) and give you trouble selling.

New modesto Homeowner.

2010-08-04T13:27:00.000-07:00

I started working with the Bravo Family May 15th in search for their first place. After carefully looking at their finances with Nathan Correa at US Bank we identified that they would be comfortable with a $130,000 purchase. We started our home search and quickly found a property that fit their budget. It was a clean investor owned property that was absolutely move-in ready. We submitted our offer at $125,000 with 3% in closing concessions and received an acceptance 24hrs later. The escrow process lasted 30 days. The Bravo family received the keys and moved in to their new Modesto home in July!

Congratulations to the Bravo Family!

3bedroom 2 bath home 1340sq ft. with fresh paint, carpet, granite counter tops and refurbished cabinets.
Purchase price $125,000
FHA 30 Yr Mortgage at 4.75%
Payment $882.63/ month
Closing credit 3% $3,750

City of Modesto Residential Metering plan.

2010-07-29T13:36:00.000-07:00

I just received a copy of the Residential Metering Plan to 2012 for the City of Modesto. If you are wondering when you will begin to get metered here's the map. It looks like most of North Modesto is already being metered. As for me it shoudl be around 2011 bofore I get metered. Make sure you pass this around to all your Modesto friends and family.

Modesto Bee- Median Price Falls in The Valley

2010-07-21T11:23:00.000-07:00

Sundays Modesto Bee article. Median home price falls in Stan County. I had a small part of the article at the very end. As Real Estate expert It feels good to have the Bee call for my input.

Modesto Bee- Median home price falls

Tax credit 'stole' demand

John Walsh, president of MDA DataQuick, said the impact of the federal tax credit for first-time home buyers has begun to fade in the Bay Area.

"The next few months should be very interesting," Walsh said. "We're about to see how well the housing market can fly on its own. The tax credits no doubt stole some demand from the rest of this year, and soon we'll have a better sense of just how much."

In the north valley, prospective owners have a great opportunity to get low-priced homes at low interest rates, said Daniel Del Real, an agent with PMZ Real Estate in Modesto.

He is arranging deals in which buyers will make monthly payments of less than what they pay to rent.
"Your living expenses actually drop by buying a home right now," Del Real said.
The Associated Press contributed to this report.

Bee staff writer John Holland can be reached at 578-2385 or jholland@modbee.com.

Is Social Media a Fad?

2010-07-15T13:26:00.000-07:00

So what do you think... We are all shifting the way we communicate and do business to different Media sources. I have friends that message me via Facebook simply because they know that I get it instantly on my I phone. My 59 year old uncle last year was trying to figure out how his very first cell phone worked, today he is an active Facebook user and is consistently sending me video messages. As my business grows my Internet presence grows.

I find myself very active on Trulia/Yelp/Zillow/Facebook and so on just keeping up with today's news and activities. My last 5 business transactions came from Trulia and Facebook.

Is it a fad or are we shifting the way we communicate.?? You decide... don't be left behind.

Salida Short Sale Closed

2010-07-13T14:49:00.000-07:00

Yet another successful short sale story! The short sale was initiated and home was listed on March 10th for $134,900 with a PMZ agent . The note holder was GMAC and loan balance was $296,900. The property was on the market for 3 days before it was under contract. After negotiation the final contract price was $139,900 with 3% in closing cost to the buyer.

Short sale timeline:
March 10th - Property was listed
March 12th - Negations where initiated with buyer
March 13th- Seller accepted offer and property went Short Sale Contingent.
Mach 14th - Escrow was open. HUD was prepared for GMAC negotiations department and package was sent for short sale review.
April 19th- Received short sale approval from GMAC. At this point the buyer initiated the loan process and escrow officially began.
May 28th - Escrow closed. Successful short sale complete!

Summary:
3 days to sell after initial list
35 days before receiving GMAC short sale approval
78 days closed short sale.

Congratulations to both parties as we have helped a struggling homeowner get out of an upside down investment and helped a first time buyer secure their new home.

Buyer Final numbers:
Purchase price $139,900
Closing cost credit $4,197
4.875 %FHA 30 year fixed
Total payment including Mello Roos/tax/insurance $1058/Month

Buyer also received the $8,000 Federal tax credit.

New Modesto, CA Homeowner!

2010-07-02T17:38:00.000-07:00

Ron was referred to me by Nathan Correa at US Bank. He had been recently engaged and was looking for a home where he could start his new family. Our budget for his purchase was $225,000. He wanted a two story home with a separate family and living room. Ron is from Fiji and its very common for them to have large family gatherings. It was very important to have a separate space where the men and women could go and talk. It was also important to be very close to most major shopping centers and hospitals as his finace does not drive. After a few months of searching we found Ron a place where he could call home. It was located in Modesto, CA and had everything he was looking for plus a few extras! The big bonus was that it was listed for only $199,900! We submitted our offer at asking price with no closing cost and quickly had it accepted.

Congrats Ron. Best wishes in your new home.

4 bedrooms 2.5 baths with 2207 sq ft.
FHA Purchase with 3.5% Down Payment, US BANK Nathan Correa
5.000% 30 Yr Fixed
$197,244 Loan Amt
$1,414.90 Total Payment including taxes and insurance.

New Ceres Homeowners

2010-07-02T17:11:00.000-07:00

Before we go on our nice long 4th of July break I’m going to take a minute and leave you all with a couple feel good stories.

Diego and Oralia were referred to me by Yolanda and Jesse, past clients of mine. While house hunting we quickly noticed how close this family was. She was very specific about finding a home near her sisters and family. Whenever I would show them properties it quickly became a family affair. The family would usually join us and advise Oralia about every home. When I would get them together they would always know how to have fun. They didn’t take themselves too serious which always made showing homes a good break from the daily hustle. I could clearly see why it was important for the families to live near by.

Our search took 30 days before finding them the perfect home in Ceres CA . It was large enough for them and only three blocks from just about every family member. The home was owned by Wachovia and had gone through a full renovation. It had fresh carpets, paint and appliances which made the purchase that much better for them.

Congrats on the new purchase. I’m truly going to the fun we had while looking at properties.

3 bedroom 2 bath with 1300 sq ft.

FHA Purchase with 3.5% Down Payment US BANK Nathan Correa

5.250% 30 yr fixed. Zero points and origination.

$115,000 Purchase Price

$856.93 Total Payment including taxes and insurance.

Received $8,000 Federal Tax Credit.
Previous rent for similar home $1050/month

Credit Mistakes to Avoid

2010-06-24T10:16:00.000-07:00

If you ever wondered what the biggest credit mistake buyers do while in contract you have to watch this video. When you're purchasing a home it is very important to not make any big or small moves on your credit. Inquiring more debt is always a bad thing even if it’s something as small as a $600 IPhone 4!!! When you’re purchasing its important to freeze your credit spending in order to not jeopardize your purchase. Lender are now pulling credit the day before funding so if they see something they don’t like they can pull the plug on your purchase.

Take a minute ans watch this video put on by Daniel Sosa and Tony Frerking at PMZ Home Loans and Approval411.com http://www.loanapproval411.com/home.html/

7449 River Nine Drive $1.75 Million

2010-06-22T13:30:00.000-07:00

Modesto Short Sale Closed

2010-06-21T11:35:00.000-07:00

Have you ever wondered if short sales are possible and if so what they consist of?

I know everyone has heard of the nightmare stories experienced when selling or purchasing a Short Sale. My team have closed over 20 short sales in the last 12 months so we have ran into our share of stories but not all of them are bad. Honestly with an educated and informed agent, buyer and seller Short Sales can be reasonably easy. Yes I said it. Short sale and easy in the same sentence but its true.. Banks are more willing to let a homeowner short sale their home these days. It makes sense for both parties it will save the bank thousands and spare the sellers credit record.

Read below on a step by step successful short sale.

Have you ever wondered if short sales are possible and what they consist of?
Showed this house to a first time home on January 19h. We wrote up the offer on the 21st and had the seller sign an acceptance that same day. Opened escrow that same day let the ride begin….

January 19th- showed home to buyer
January 20th – buyer wrote offer
January 21st- seller accepts buyers offer and send us signed contract. Opened escrow the same day.
January 26th – We asked for an update on short sale. Offer has been sent to the lender along with all required items. During this phase the lender will ask the listing agent for an estimated closing statement to see what expenses to expect during the transaction. At this point the title company will prepare the estimated statement to include all: closing cost, unpaid taxes, escrow and title fees.

January 27th – Update received appraisal has been ordered by sellers lender. This is good as it usually takes some lenders longer than one week to order.February 4th- appraisal is back but is confidential. It will take the lender 4-5 days to review the appraisal and another 14-21 days to review the full file..
March 8th- Negotiator assigned and BPO was done. This is great progress the file should start moving along now.
March 18th- Received short sale APPROVAL from Bank of America short sale department!!! This now triggers our contract. Our time periods will begin today and we will have 17 days to satisfy our loan, appraisal and inspection contingencies
March 27th- Received roof, A/C and full home inspection back all looks good minus some A/C issues that the buyer will need to sign off on.
March 28th – Appraisal was ordered by Sarah Stallcup PMZ Home loans we will need to get an extension of time due to the new HVCC rules. ** This is something we are seeing daily in the Real Estate market, appraisals cant be ordered as soon as they used to due to new rules and regulations**
April 2nd – Buyer signing off on all inspection and loan conditions.

Our close date is scheduled for May 17th 2010

May 7th Thanks to Sarah Stallcup at PMZ Home Loans we Closed EARLY.

Happy new homeowner and settled seller short sale!

Total times since offer was accepted and short sale was initiated- 68 days

Bank of America short sale approval in 53 Days

If you have considered exploring you short sale options or know of someone that would benefit from it feel free to contact me.

Ceres Short Sale Closed

2010-06-18T12:16:00.000-07:00

Lets keep the Ceres train going. I had a few Ceres homeowners in May so here’s another one! Katie and Dennis are my superstars. During our escrow process the Modesto Bee called wanting to interview me and one of my buyers. I called Katie early in the morning to see if she would be interested, she quickly said yes. The article was printed in May and was touching the topic of our economic recovery and the housing market. It’s a very good article so if you have a minute check it out here:

MODBEE.com – Long Road Back: owning a home in reach at last for some.

I won’t go in much detail on Katie and Dennis’s search as you can see the full video interview on the link above but none the less! (I do have to brag they submitted 20 offers during their search before they met me. We landed the second offer on a short sale home)

Congrats Katie and Dennis!

Final Numbers
Ceres home. 4 Bedrooms 2 baths measuring 1525 sq. ft.
Purchase price $140,750
FHA 30yr fixed mortgage 5%
Monthly payment. $990 included taxes and insurance
Also received the $8,000 Fed credit.

New Ceres Homeowners

2010-06-15T18:56:00.000-07:00

After many months of neglecting my blog I’m taking a stand! Time to catch up on all my recent buyer purchases! I hope you enjoy. If not change the channel.

Chris and Julie where referred to me by Tony Frerking at PMZ Home Loans. Our search lasted two months Facing the challengingb market and the lack of inventory we had to be very aggressive and looked daily at homes. We submitted 3 offers before getting one accepted. The property was owned by Capital One and was mildly rehabbed (paint and carpet) which was exactly what they wanted. It had a huge back yard with RV which totally excited Chris. Our budget was $165,000 our final price was $160,000 but thanks to an appraisal issue we where able to get the property reduced to $152,000!! This is why its very important to always have a loan, appraisal and inspection contingency.

Great Job to both of them. Enjoy the new house.

Final numbers
4 bedroom 3 bath home with 1890 sq ft. built in 1989.
Purchase price $152,000 with $2,500 in closing cost credit from seller
FHA 30 yr mortgage at 5%
Monthly payment $1,086.74 includes taxes and insurance

They also applied for the $8,000 Federal tax credit.

Today's Interest Rates

2010-05-27T08:20:00.000-07:00

I just received this video from Tony Frerking at PMZ Home Loans. I found it very interesting regarding today’s interest rates. If you have an FHA mortgage this will benefit you as you can streamline to a lower rate. Even if you have a standard conventional mortgage this is definitely something to look into.

Very cool fact:

If you have a 5.875% and its reduced to 4.875% its equivalent to a 10% drop in your home price. If you have an FHA loan with a higher rate than 5.5% call me and I can refer you to a good lender or a few websites with more information.

$300,000
Payments
5.75% $1750/month
4.875 % $1,574
Savings $176/month or $63,000 in savings over 30 years!!

Visit msnbc.com for breaking news, world news, and news about the economy

Happy Mother's Day

2010-05-09T18:07:00.000-07:00

Let's all take this day to remember the very beautiful women that gave us life and nurtured us! This is my wife's and my first mothers day since my son Aidan was born. I want to thank my wife for being the strong and nurturing women that she is. I'm truly blessed to have you in my life.

I love you Annie. Happy Mothers day.

I also want to tell my mother how blessed I feel to have her in my life. Thank you for being firm and showing me how how to trust in family and God. Thank you for always telling me that I can do anything I put my head to. I love you Mom.!

Housing bubble and the second wave.

2010-05-07T10:10:00.000-07:00

Well we survived... (if you want to say that) the first wave of foreclosures as the subprime mortgages are starting to fade out but are we aware of the second wave as option ARM loans start to reset?

Evey one is talking about the shadow inventory and the future of Real Estate the question always is:

Are we out of the housing crash?

Is our recovery a true recovery?

Was the our Government intervention a success or is it a brace for whats to come?

These are all great questions and I know there's people on both sides of this debate. What I suggest is to educate yourself with facts and brace for impact as we might test our previous lows again. If you're looking this this issue with the glass half full state of mind then GREAT! If we see lows again in 2011 and 2012 then all the individuals that lost homes in 2006-2008 will be able to purchase again using FHA financing (great reason to consider a short sale if your upside down now. It will only take 2 years for you to get back in the housing market). If you're an investor save your money because you will have more opportunities to invest in the Real Estate market.

How important will Short Sales be?

Very important as HAFA rolls out it will help homeowners get out of their bad investments. You will begin to see more and more short sale transactions take place which will soften the second blow to the housing market. If your underwater and are considering seizing to make your payments you need to look into HAFA as short selling your property will be a better alternative than foreclosure.

The option ARM is the king of toxic mortgages and is the ultimate financial time bomb. That is why default rates on option ARMs are now tracking subprime loans even though we have barely entered the first recast period:

GREAT FACTS from Dr.HousingBubble.com

Curious how the economy is ‘recovering’ when there are so many homes in default…and folks out of work? Well, many believe that the cash going into the economy is coming directly from homeowners not making their house payments!

Strategic defaults have also provided a short-term stimulus into the economy. After all, if you aren’t paying a $4,000 mortgage and now rent a $2,000 place you basically have increased your cash flow by $2,000 per month to buy more consumer goods. We’ve seen car sales jump up recently and we have seen spending tick up as well even though the unemployment situation is still near the trough and wages are stagnant. It would be one thing if people were spending more because they were earning more but this isn’t exactly what is happening.

Dr.HousingBubble.com

New Denair Homeowner!

2010-04-29T16:24:00.000-07:00

I had the pleasure of working with Rob and Amanda for a few months as we embarked on the journey to find them their very first home. Rob and Amanda where looking for something in more of a remote area with a large lot for their pets. We started looking at ranchettes but with a budget of $220,000 we quickly found that ranchettes in that price would require too much work. They weren’t afraid of fixer but they also didn’t want to get into a property that would put them in a financial hardship. With a budget of $220,000 and putting down 20% it would be very important that the home did not need an extensive amount of work. After looking at about 7 properties we came across the perfect home. It was located in Denair (remote), was move in ready and had a 1/5 acre which was large enough for their four legged babies to run free! The property was listed for $215,000 so we submitted our initial offer $209,000 with no closing cost credits. The seller within 48hrs accepted our offer! The escrow took 30 days with no issues to report. Amanda and Rob are now very excited homeowners. I’m glad I was able to help them find the right place.

Congratulations Amanda and Rob!!

The final numbers:
3 bedroom 2 bath with 1600 sq ft built in 2007,
Purchase price $209,000
Down payment was 20% $41,800
Loan Conventional 30 yr fixed $167,200. Rate 5.375%
Paymentt $1214 taxes and insurance included.

Will also be receiving the $8000 Federal tax credit

16641 Sonora Rd Oakdale

2010-04-28T16:47:00.000-07:00

I try not to post my listing on my blog but I have to do it on this beautiful estate. We just received a huge price reduction. Now listed at $665,000

16641 SONORA RD OAKDALE - Listing details

BEAUTIFUL ESTATE ON OVER 38 ACRES OF ROLLING HILLS. VIEWS! ALL CUSTOM INTERIOR. GOURMET KITCHEN. OPEN FAMILY ROOM WITH CATHEDRAL CEILINGS. UNIQUE OFFICE WITH CHERRY WOOD WALLS AND CEILINGS. A LOT OF TILE FLOORING. INGROUND POOL. SPORTS COURT. DETACHED SHOP WITH GUEST QUARTERS. ATTACHED 4 CAR GARAGE. PRIVATE ENTRY GATE AND PAVED 1/4 ROAD TO PRIVACY.

New Modesto Homeowner!

2010-04-28T10:36:00.000-07:00

Hello everyone! That’s right yet another successful real estate story. Carmen was referred to me by Sarah Stallcup at PMZ Home Loans back in March of 2009. When I initial met with Carmen we went through what she was looking for in a home. As a single mother it was very important that we found something within her $850 monthly budget and in an area that was in close proximity to her mother’s home. With such a tight radius both Carmen and I knew this would require more time that usual but she understood our plan and was patient. During the 12 months of our home search we looked at 10-12 properties in the area that she was looking for. If the property fit her style we would submit our offers but time after time we would get out bid by investors or cash buyers. On a Monday morning I did what I usually do and search the MLS. I didn’t see any new listings so I scrolled to the properties that had just fallen out of contract. To my surprise I came across a place that fit Carmen’s every need. It was a 4 bedroom 2 bathroom home only blocks from her parent’s house. I quickly called her and set off to show it to her. Within 5 hrs of it coming back on the market we submitted our offer. The seller responded within 12 hrs with an acceptance!! So after our 12 month search Carmen was officially on her way to homeownership. Our escrow was smooth Sarah at PMZ HOME LOANS was able to close early on Carmen’s FHA deal. I’m truly proud to say that Carmen after her long 12 month search is now a homeowner.

Congratulations Carmen!!

The final numbers:

4 bedroom 2 bath with 1356 sq ft built in 2000,
Purchase price $90,000
Down payment 3.5% $3,150
Loan FHA 5.25%
Payment $647/Month
She also received the $8000 tax credit

Is HUD taking too much risk on FHA loans.

2010-04-26T09:05:00.000-07:00

Interesting video on FHA loans and the risk they have taken over the last few years. The GOV is trying to put systems in place to streamline the short sale process for struggling homeowners but will it work? and who will pay for it???

Click on link. Very eentertaining website.

Video Marketing and Mortgage News Designed for Mortgage and Real Estate Sales

Very busy week in my Real Estate world and I’m glad it’s over.

2010-04-22T10:23:00.000-07:00

My week started with a 6 hour drive to Industrial City to meet with HSBC one of my REO accounts. The HSBC summit was a true power house session of small groups and very constructive discussion. We talked about our previous projections and compared it to what actually happened. Last year we where all sure that we would be hit by the big REO wave everyone has been talking about but it didn’t really happen! We did pick up in the beginning of 2010 but not at the level that HSBC was projecting. This was mostly due to HSBC initiative to keep buyers in their homes. Before going to foreclosure HSBC is putting their defaulted borrowers through loan modifications if the loan modification doesn’t work out they go to step 2 which is a Short Sale and as the last resort foreclosure. This being the reason we have not been slammed by the big REO wave of foreclosure.

Finished up my week with a quick trip to Chicago! I have to admit downtown Chicago is absolutely beautiful. I wish I had more time to visit but it was a very quick trip as it was for the National Associations of Realtors “30 under 30” photo shoot!! It was amazing to meet the rest of the class of 2010. All I can say is the Real Estate industry is changing and I’m very excited to be in the part of the pack leading our industry to new territories!

Thank you all for your continued support as. I would not be where I am today with out the help of my family, friends and past customers.

Daniel Del Real, CRS

The 2010 New Home Credit and First-Time Buyer Credit begins May 1, 2010.

2010-04-20T15:04:00.000-07:00

Rumor has it that these monies may go fast. I've seen a few articles where people are speculating that buyers will delay closing until May 1st in order to take advantage of the California Tax credit in addition to the Federal Credit!

You can also go on the State of California website to get more info.

http://www.ftb.ca.gov/individuals/new_home_credit.shtml

The New Home / First-Time Buyer Credits are available only for purchases that close escrow on or after May 1, 2010.

Applying for the 2010 New Home/First-Time Buyer tax credits: Applications must be faxed after escrow closes. The new application will be available by May 1, 2010. We will deny the application if the 2009 form is used or if we receive the 2010 application before May 1, 2010.
General Information: These tax credits are available for taxpayers who purchase a qualified principal residence on or after May 1, 2010, and before January 1, 2011. Additionally, these tax credits are available for taxpayers who purchase a qualified principal residence on or after December 31, 2010, and before August 1, 2011, pursuant to an enforceable contract executed on or before December 31, 2010. The purchase date is defined as the date escrow closes. Taxpayers may apply for the tax credits if they have entered into a contract before May 1, 2010, as long as escrow closes on or after May 1, 2010.

These tax credits are limited to the lesser of 5 percent of the purchase price or $10,000 for a qualified principal residence. Taxpayers must apply the total tax credit in equal amounts over 3 successive tax years (maximum of $3,333 per year) beginning with the tax year in which the home is purchased. The tax credits cannot reduce regular tax below tentative minimum tax (TMT). The tax credits are nonrefundable and unused credits cannot be carried over.

The total amount of allocated tax credit for all taxpayers may not exceed $100 million for the New Home Credit and $100 million for the First-Time Buyer Credit. However, since many taxpayers will not be able to utilize the entire tax credit, the legislation specifies that the $100 million cap for the New Home Credit will be reduced by 70 percent of the tax credit allocated to each buyer and the $100 million cap for the First-Time Buyer Credit will be reduced by 57 percent of the tax credit allocated to each buyer. For example, if a taxpayer is allocated $10,000 for the New Home Credit, the $100 million cap for the New Home Credit will only be reduced by $7,000. If a taxpayer is allocated $10,000 for the First-Time Buyer Credit, the $100 million cap for the First-Time Buyer Credit will only be reduced by $5,700. The 70 and 57 percent reductions do not impact the amount that can be claimed by the taxpayer.

We will allocate the tax credits on a first-come, first-served basis.

Only one tax credit is allowed per taxpayer. If a taxpayer qualifies for both tax credits, the law specifies that we will allocate the amount under the New Home Credit.

Taxpayers will not be eligible for either tax credit if any of the following apply:

The taxpayer was allowed a 2009 New Home Credit.

The taxpayer is under 18 years old. (A taxpayer who is married as of the date of purchase will be considered to be 18 if the spouse/registered domestic partner (RDP) of the taxpayer is 18 or older on the date of purchase.)

The taxpayer or the taxpayer’s spouse/RDP is related to the seller.

The taxpayer qualifies as a dependent of any other taxpayer for the tax year of the purchase.

New Home Credit:
A qualified principal residence, for purposes of the New Home Credit, must:
Be a single family residence, either detached or attached. This can be a single family residence, a condominium, a unit in a cooperative project, a house boat, a manufactured home, or a mobile home. A home constructed by the taxpayer is not eligible since the home has not been "purchased."

Have never been occupied. Sellers must certify that the home has never been occupied in order for a taxpayer to receive an allocation of the credit.

Be eligible for the California property tax homeowner’s exemption.

Be occupied by the taxpayer as their principal residence for a minimum of 2 years immediately following the purchase.

Tax credit allocation:

A Certificate of Allocation will not be issued if:

The seller does not certify the home has never been occupied.

We do not receive the application and a copy of the properly executed settlement statement within 2 weeks (14 calendar days) after the close of escrow.

We receive the application or reservation request after the total tax credits available have been allocated.

FTB's determination may not be protested or appealed.

First-Time Buyer Credit: A qualified principal residence, for purposes of the First-Time Buyer Credit, must:

Be a single family residence, either detached or attached. This can be a single family residence, a condominium, a unit in a cooperative project, a house boat, a manufactured home, or a mobile home. A home constructed by the taxpayer is not eligible since the home has not been "purchased."

Be eligible for the California property tax homeowner’s exemption.

Be occupied by the taxpayer as their principal residence for a minimum of 2 years immediately following the purchase.

A first-time buyer is any individual (and the individual’s spouse/RDP, if married on the date of purchase) who did not have an ownership interest in a principal residence, either in or out of California, during the preceding 3 year period ending on the date of the purchase of the qualified principal residence. If the buyer is married on the date of purchase and either the buyer or the buyer's spouse/RDP had an ownership interest in a principal residence during the preceding 3 year period, the buyer does not qualify for the First-Time Buyer Credit even if the spouse/RDP is not going to be on title.

Tax credit allocation:
A Certificate of Allocation will not be issued if:

We do not receive the application and a copy of the properly executed settlement statement within 2 weeks (14 calendar days) after the close of escrow.

We receive the application after the total tax credits available have been allocated.

FTB's determination may not be protested or appealed.

Applications: We will accept applications by fax only beginning May 1, 2010. Do not use the 2009 application. We will post more information by May 1, 2010.

Reservations: Taxpayers who qualify for the New Home Credit may, but are not required to, reserve a tax credit prior to the close of escrow. Reservations will become important as we near the $100 million cap for homes that may not close escrow before the cap is reached, as a reservation will "hold the taxpayer's place in line" until 2 weeks after escrow closes. To reserve a tax credit, the taxpayer and seller need to complete, sign, and fax to us a reservation request to certify that they have entered into an enforceable contract on or after May 1, 2010, and on or before December 31, 2010. A copy of the signed contract must be included with the reservation request. Taxpayers who reserve a tax credit still need to fax an application and a copy of the settlement statement within 2 weeks after the close of escrow. Taxpayers may not reserve a tax credit if the contract was entered into before May 1, 2010. We will post the reservation form and details about the process by May 1, 2010.

If you are only applying for the First-Time Buyer Credit, you will not be able to reserve the tax credit before escrow closes.

Claiming the tax credit:
The taxpayer must receive a Certificate of Allocation from us to claim the tax credit on their California personal income tax return. The Certificate of Allocation will state the maximum amount the taxpayer can claim listed by tax year.

The taxpayer should refer to the 2010 New Home / First-Time Buyer Credit Publication for instructions on claiming the tax credit (the publication will be available by December, 2010).

Special rules apply to married/RDP taxpayers filing separately, in which case each spouse/RDP is entitled to one-half of the tax credit, even if their ownership percentages are not equal. For 2 or more taxpayers who are not married/RDP, the tax credit amount will have already been allocated to each taxpayer occupying the residence on their respective tax credit allocation letter.

If the available tax credit exceeds the current year net tax, the unused tax credit may not be carried over to the following tax year.

The tax credit may not reduce regular tax below TMT.

The tax credit is not refundable.

Any disallowance of the tax credit may not be protested or appealed.

Contact Us

888.792.4900 888.792.4900 (press 1)

916.845.4900 916.845.4900 (not toll-free)

Email: wscs.gen@ftb.ca.gov

If you're a buyer taking advantage of this credit make sure you thank the TERMINATOR!

Owning a home is in reach at last for some people - Economy Stories - Modbee.com

2010-04-05T14:32:00.000-07:00

Hello everyone! If you haven't picked up the Modesto Bee yet do so. I had the pleasure of being part of the today's story along with Katie and Dennis Coyle.

"The housing market is still bloodied and dazed after the free fall of the past few years.

Median prices in the Northern San Joaquin Valley finally leveled off in recent months after hitting the bottom with a thud, plunging by two-thirds from 2006 to 2009.

Out of that dizzying downward spiral came something positive. The low prices it created provide an opportunity, perhaps of a lifetime, for purchases by first-time buyers, families of modest means and those hoping to get back into a home after losing it all.

Read more ON MODBEE.com
Owning a home is in reach at last for some people - Economy Stories - Modbee.com

2nd part of our short sale story!

2010-04-02T09:49:00.000-07:00

I hope you all didn’t think I forgot about part 2 of our short sale roller coaster ride. If you would like to follow from the beginning check out the links below it’s a fun ride so make sure you ready for it!

Click here for initial post 2/5. Ride with me..
2/8 update
2/12 update
2/17 update
2/28 update

Short sale #1

NEWQUAY- As you know short sale is closed.

You can read all about the happy family here. NEWQUAY CLOSED.

Short sale #2 - Christiansen Dr

March 8th- Negotiator assigned and BPO was done. This is great progress the file should start moving along now.

March 18th- Received short sale APPROVAL from Bank of America short sale department!!! This now triggers our contract. Our time periods will begin today and we will have 17 days to satisfy our loan, appraisal and inspection contingencies

March 27th- Received roof, A/C and full home inspection back all looks good minus some A/C issues that the buyer will need to sign off on.

March 28th – Appraisal was ordered by PMZ Home loans we will need to get an extension of time due to the new HVCC rules. ** This is something we are seeing daily in the Real Estate market, appraisals cant be ordered as soon as they used to due to new rules and regulations**

April 2nd – Buyer signing off on all inspection and loan conditions.

Our close date is scheduled for May 17th 2010 so we are way ahead of scheduled looks like we might be closing this one early!!

Total times since offer was accepted and short sale was initiated- 68 days

Bank of America short sale approval in 53 Days

$18,000 IN COMBINED HOMEBUYER TAX CREDITS FOR A LIMITED TIME

2010-03-31T09:27:00.000-07:00

"Brought to you by the CALIFORNIA ASSOCIATION OF REALTORS®"

CAR.ORG- Website

Californians have a brief window of opportunity to receive up to $18,000 in combined federal and state homebuyer tax credits. To take advantage of both tax credits, a first-time homebuyer must enter into a purchase contract for a principal residence before May 1, 2010, and close escrow between May 1, 2010 and June 30, 2010, inclusive. Buyers who are not first-time homebuyers may use the same timeframes to receive up to $16,500 in combined tax credits if they are long-time residents of their existing homes as permitted under federal law, and they purchase properties that have never been previously occupied as provided under California law.

Under the federal law slated to soon expire, a first-time homebuyer may receive up to $8,000 in tax credits, and a long-time resident may receive up to $6,500, for certain purchase contracts entered into by April 30, 2010 that close escrow by June 30, 2010. Additionally, under a newly enacted California law, a homebuyer may receive up to $10,000 in tax credits as a first-time homebuyer or buyer of a property that has never been occupied. The new California law applies to certain purchases that close escrow on or after May 1, 2010 (see Cal. Rev. & Tax Code section 17059.1(a)(4)). California law generally allows buyers of never-occupied properties to reserve their credits before closing escrow, but buyers seeking to combine the federal and state tax credits will not be able to satisfy the timing requirements for such reservations (see Cal. Rev. & Tax Code section 17059.1(c)(1)(A)). Other terms and restrictions apply to both tax credits.

For more information, C.A.R. offers a Homebuyer Tax Credit Chart with a side-by-side summary of the federal and California laws. C.A.R. also offers a legal article entitled Homebuyer Tax Credit Update.

C.A.R. provides REALTORS® with many other legal articles covering a wide range of topics of interest. Some of the new or newly revised legal articles available at http://qa.car.org are as follows:

•

Modesto Real Estate Purchase

2010-03-30T22:17:00.000-07:00

Time for another real first time buyer purchase!

Remmy and Lissette where referred to me by their friends and past clients of mine. At the young age of 25 they where looking for their first place. It was very important to have enough roof for the family to grow but also equally important to keep with in budget. Our home search took 3 months and over 7 offers before that made our find that much more sweeter! We found the perfect place. Great example that patience is very important when finding the perfect place to call home.

Final numbers
Fully rehabbed 3 Bedroom 2.5 bathroom home with 1430sq. ft. built in 1992.
Purchase price $100,000
Seller closing cost credit $3500.00
Down payment 3.5% FHA via Academy mortgage
Financing at 5%
Payment $705. / Month taxes and insurance included.
Monthly rent $1,000 thats almost a $300/month savings!!

They will also be getting $8,000 compliments from our Government.

Very interesting news report.

2010-03-25T15:36:00.000-07:00

My last post was about price increases in Modesto but I also want to address a question I get over and over.

Do you think prices will continue to rise?

My answer is no…

We have "shadow" inventory that banks are holding off the market. I try to attend Stanislaus Trustee sales daily and notice that only 1/3 of the homes scheduled for sale actually sell. The other 2/3 of homes get postponed by banks. This is causing a lack of inventory and prices to rise. Banks are trying to cut losses before getting to foreclosure by doing Short Sales as you have read in my previous post they are going much smoother. We will see prices bouncing in this price range for sometime. My answer is simply... if it makes sense to buy people will buy. Homebuyers today are purchasing for lower than what it cost to rent and investors are making respectable returns resulting in increasing home sales.

Housing prices increase in 2010!

2010-03-23T14:21:00.000-07:00

Well CNN has it... The 2010 list of biggest real estate price gains. Modesto and Merced made both made the list at 11 and 4! Modesto ranks third in California for gains. Merced comes in second. Not bad for the MOST AFORDABLE CITY IN THE US!!

CNN , REAL ESTATE 2010

Realtor "30 under 30" Finalist!

2010-03-23T09:33:00.000-07:00

Hello everyone! I'm excited to announce that I was selected as the class 2010 Realtor Magazine's "30 under 30". This is a true honor as it recognizes rising top talent in the Real Estate industry nationwide. Please take a minute and vote for yours truly!!! Thanks for all your support.

TELL A FRIEND!!

Realtor Magazine "30 under 30"

My Profile

New Salida Home Owner

2010-03-16T07:59:00.000-07:00

Ok I have to admit this post is a bit behind. Gustavo and Maria where referred to me by is cousin who I helped purchase a home in early 2009. Gustavo was looking for a larger home to accommodate his growing family. We had our targets set for Manteca and Salida. He wasn’t afraid to do some work so fixers where also on our radar. We found a few homes in Manteca and Salida but the market was very competitive. During our two months of house hunting we submitted three offers... and yes... it was on the lucky number thee when we received acceptance to a beautifully remodeled Fannie Mae home. This property had everything we where looking for: 4 bedrooms, 3 baths, over 2000 sq. ft and a large lot. Fannie Mae has been over pricing most their homes to push our market higher so we initially submitted an offer under their asking price. Fannie Mae's initial list price was $184,900 we submitted our initial offer at $170,000 our accepted price was $174,900! That’s under $100.00 per sq ft. in Salida! Gustavo is now living very comfortably in his new home! Congrats and enjoy.

Final numbers
Fully rehabbed 4 Bedroom 3 bathroom home with 2070sq. ft. built in 1984.
Purchase price $174,000
Seller closing cost credit $5818.00
Down payment 10% Conventional via Bank of America
Financing at 4.875%
Payment $1,142. / Month taxes and insurance included.
$829.0 just mortgage payment without impounds.

CLOSED Short Sale.

2010-03-12T15:45:00.000-08:00

Newquay

Read the previous story here
.
Thank you ladies and gentlemen for joining me on this fun and fulfilling ride. Please stay in your seats until the ride comes to a complete stop!. I'm glad to report that we are officially on record! All in all it was a very smooth transaction both loans were with Wells Fargo which is a bank that is really working on Streamlining their short sale process. So the lesson learned during this transaction was..... if you see a Wells Fargo short sale, GO FOR IT!

Congrats to Marcus, Joy and Jake. Enjoy the new home!!

The final price was $215,000. Seller paid $6,450 in buyers closing cost

Loan amount was $207,475 @ 5.25% interest
The payment including principal, interest, taxes, insurance, mello roos and mortgage insurance was $1,629.98.

Short Sale Update

2010-03-09T09:21:00.000-08:00

Newquay Lane

Lnks for previous posts.

Click here for initial post 2/5. Ride with me..
2/8 update
2/12 update
2/17 update
2/28 update

March 5th- Buyer did final walk of home and signed loan documents at title. Buyer will be wiring funds on Monday. We are expecting his lender to fund the loan Tuesday for a Wednesday recording!! This one will close

March 9th- BUYERS LOAN HAS FUNDED! Deed will be sent to the county for a March 10th recording!!!

Christiansen Drive

March 8th- Negotiator assigned and BPO was done. This is great progress the file should start moving along now. Keep an eye on the blog for our next update…

Short Sale Updates...

2010-02-26T07:59:00.000-08:00

Newquay Lane

Previous post

Click here for initial post 2/5. Ride with me..
2/8 update
2/12 update
2/17 update

2/18/2010- Buyer conducted inspection and walked home with seller. Everything looked great.

2/22/2010- Received signed addendum reducing price from sellers. Now we wait for Wells Fargo's approval on new price.

2/26/2010- Received approval from Wells Fargo! So we have a green light to go full steam ahead. The buyers lender Academy Mortgage is in its last step of underwriting. Our schedule closed date is March 31st! You heard it right folks not only are we closing on this Short Sale but we are doing so early. I'll keep you updated as we get word from Academy Mortgages Underwriters.

Stay toned and read below as our second Short Sale case is not moving very fast. This is something buyers need to know. "Some" Short Sales do go smooth and some even though banks are taking more of an initiative to move Short Sales along don't. So educate yourself and know what your out comes can be...

Christiansen Drive

2/23/2010- We received an email from the seller’s Real Estate agent asking for my buyers first 5 of his social security number and date of birth. Short Sale lenders do this in order to do their due diligence regarding arm's length transactions.

2/26/2009- No new updates.

2/26/2010- No new updates.

New First Time Salida Homeowner!

2010-02-22T10:56:00.000-08:00

I have to admit I’ve been a bit overwhelmed with work since the beginning of the year and I have been neglecting my new homeowner’s postings!!! I have 5-6 of them to enter. I promise to have them in with in the next few weeks.

Our new homeowners name is Raymond! Raymond was referred to me by Cruz a past client of mine (Read her story here). Ray was in search of a nice starter home and wanted an open floor plan with at least 1200 sq ft. He was qualified using his well deserved VA loan. Our search took only 2 months we did have to submit a total of six offers before getting in contract with the property he now calls home. The home was listed as a Wachovia Short Sale and thanks to Chris Hall the Asset Manager with Wachovia Bank it was a very fast and smooth transaction.

Final numbers

3 Bedroom 2 bathroom home with 1278 sq. ft. built in 1994.
Purchase price $140,000
Seller closing cost credit $5,000
Seller paid pest work $2500
Down payment 0% VA
VA Financing at 5.375%
Payment $1,006 / Month taxes and insurance included.

NO DOWN VA LOAN

Short Sale Update.

2010-02-17T09:10:00.000-08:00

Newquay Lane

Previous post
Click here for initial post 2/5. Ride with me..
2/8 update
2/12 update

February 15th- We schedule buyers inspection for Thursday the 18th at 9:00 a.m.
February 16th- Appraisal was received by lender. Property appraised at $215,000 our purchase price is $226,000.

What does this mean for us and what will the buyer have to do?

The buyer has two choices:
1. He can pay the difference of the appraised value and contract price.
2. Or sign an addendum to reduce the price to appraised value.

Which one do you think we went with....... ding ding ding!! Of course we went with number 2.

The buyer will need to sign an addendum to the contract reducing the price to the appraised value and send it over to the sellers.

Now the listing agent and seller will now need to go back to their bank and see if they can modify the Short Sale approval to the appraised value. This will take Wells Fargo the sellers lender a few weeks to figure out.
Whats next you ask....

We continue the fun game of waiting!

Stay tuned...

Short sale number 2 as much fun as watching paint dry...

Christiansen Drive

No new updates

Stanislaus County Real Estate Snap Shot

2010-02-12T15:04:00.001-08:00

Inventory looks to have gone up in December and January as well as pending sales.

New inventory increase 10%

Pending sales increase 30%

As banks put them up the buyers are purchasing them. If you're a buyer looking make sure you're seeing homes as soon as they hit the market.

Happy hunting.

Short Sale Update

2010-02-12T14:42:00.000-08:00

Newquay Ln

Click here for initial previous post.

Previous update

2/11/2010- Buyer signed all disclosures provided by seller as well as the Natural Hazards Report (NHD). Acadamy Mortgage (buyers lender) has also ordered the property appraisal. Home inspections will follow.
Stay tuned..

Christiansen Drive

No New updates.

Short Sale Update..

2010-02-08T17:18:00.000-08:00

Newquay Ln

Click here for previous post.

February 8th - Recevied an email with a full Short Sale APPROVAL! Yes this is just about a miracle. Gave the buyers the good news this morning. Both loans are with Wells Fargo Mortgage they gave us until 3/22 to close this.

Whats Next?

Contract period officially begins. The buyer will need to start his loan and inspection process as the 17 day contingency period begins today. In most cases Short Sales take longer than this so the buyer would need to provide his lender new updated statements. The lender will submit the loan to his underwritter for approval as soon as they have this they will oder for an appraisal to be done. Inspection to follow.

Count down till closing 42 days..

Stay tuned..

Christiansen Drive

February 8th- No new updates.

Ride with me....

2010-02-05T17:32:00.001-08:00

Listen up now! I’m going to do a Real Estate experiment. I’ve been asked over half a dozen times with in the last 24 hrs to explain what a Short Sale consist of when you’re a buyer and honestly its my blog so I can really do what I want.. so here we go lets look at two of my active short sales. My goal will be to walk you through a play by play Short Sale as a buyer.

** Warning** the outcome of these Short Sales are yet to be determined. You will be getting updates on this blog as my buyer’s get updates. As you know Short Sales are not for the weak at heart. If you can’t handle the heat please step out of the kitchen! It’s very possible these might not go very smooth... you will see it first hand.

Enjoy the ride please keep you feet and hands inside the vehicle at all times.

Christiansen Drive

Showed this house to a first time home on January 19h. We wrote up the offer on the 21st and had the seller sign an acceptance that same day. Opened escrow that same day let the ride begin….

January 19th- showed home to buyer
January 20th – buyer wrote offer
January 21st- seller accepts buyers offer and send us signed contract. Opened escrow the same day.
January 26th – We asked for an update on short sale. Offer has been sent to the lender along with all required items. During this phase the lender will ask the listing agent for an estimated closing statement to see what expenses to expect during the transaction. At this point the title company will prepare the estimated statement to include all: closing cost, unpaid taxes, escrow and title fees.
January 27th – Update received appraisal has been ordered by sellers lender. This is good as it usually takes some lenders longer than one week to order.
February 4th- appraisal is back but is confidential. It will take the lender 4-5 days to review the appraisal and another 14-21 days to review the full file..
Stay tuned...

Newquay Ln

January 23rd- showed home to buyer and wrote offer the same day.
January 25th – Sent offer to sellers agent for review. Seller sends buyer counter offer with conditions below:

January 26th -after sleeping on it buyer’s decide to accept the sellers counter. We are now in contract; escrow was open that same day and buyers deposit was sent to title. The listing agent sent the contract to the lender along with all required items and estimated closing statement. At this point the title company will prepare the estimated statement to include all: closing cost, unpaid taxes, escrow and title fees.
January 29th – Received an addendum from seller’s lender. The addendum was an affidavit that the buyer was not related in any way or form to the seller. It also stated that the property was subject to short sale approval.

February 1st- met with buyer and send addendum back.
February 5th – No new news!
Stay tuned…

90 Day Flip Rule Update

2010-02-05T17:14:00.000-08:00

Well today I spent all day trying to find out what lender would do a FHA loan on an investor owned flip home. The answer was the same from everyone, "the big boys have not done it.. so we cant!". My Wells Fargo rep said that all her loan officers are ready to do them but they’re afraid to be the first Ginny Pig to the slaughter. In order for loan officers to start packaging these FHA loans they will need to see what conditions investors will be placing when purchasing these loan packages. This is yet to be determined. I will keep you all updated but for now only Conventional or VA programs will work.

Have a great weekend.

REAL ESTATE BOWL SCORE:
Ginny Pigs 1
Lenders 0

HUD changes 90 day flip rule

2010-01-20T17:28:00.000-08:00

The Central Valley’s flip market is about to change. This change will be good for investors rehabbing these properties and for FHA buyers that will be purchasing them. During the last year investors have been buying distressed REO properties for a discount and repairing for profit. This has helped local neighborhoods not only by creating jobs for the individuals that are rehabbing these properties but by taking the eyesore on the block and turning it to a beautiful gem. For the last year FHA buyers have not been able to take advantage of these move-in ready properties as FHA did not insure properties owned for less than 90 days from purchase. Thanks to HUD Secretary Shaun Donovan and his staff they have temporarily lifted the 90 day clause.

For more information on the new rules and restrictions go to http://www.hud.gov/

HUD TAKES ACTION TO SPEED RESALE OF FORECLOSED PROPERTIES TO NEW OWNERS

With certain exceptions, FHA currently prohibits insuring a mortgage on a home owned by the seller for less than 90 days. This temporary waiver will give FHA borrowers access to a broader array of recently foreclosed properties.

"This change in policy is temporary and will have very strict conditions and guidelines to assure that predatory practices are not allowed," Donovan said.
In today's market, FHA research finds that acquiring, rehabilitating and the reselling these properties to prospective homeowners often takes less than 90 days. Prohibiting the use of FHA mortgage insurance for a subsequent resale within 90 days of acquisition adversely impacts the willingness of sellers to allow contracts from potential FHA buyers because they must consider holding costs and the risk of vandalism associated with allowing a property to sit vacant over a 90-day period of time.

The policy change will permit buyers to use FHA-insured financing to purchase HUD-owned properties, bank-owned properties, or properties resold through private sales. This will allow homes to resell as quickly as possible, helping to stabilize real estate prices and to revitalize neighborhoods and communities.

Young new Modesto Homeowner.

2010-01-14T11:12:00.000-08:00

Yet another new homeowner! I met Brad through his father a season Real Estate investor and very good client of mine. As a graduation present Brad’s dad gave him some money for all his hard work and instead of buying a hot new car or the latest toy he decided to purchase a home. Throughout the years I have helped Brads father purchase many investment properties so it was not surprise to me that Brad at only 18yrs of age was ready to purchase his first home. Brad’s house search was fairly simple he wanted something with 3 bedrooms 2 baths and a 2 car garage. He wasn’t afraid to get his hands dirty so if it needed a bit of work he was willing to put some elbow grease for his equity. The plan was to rent out two of the rooms to friends and live rent free (smart kid huh!). After a few weeks of looking I found him a nice house in East Modesto it was exactly what he wanted plus it had a pool and bonus room. Good buy and great start Brad. Congrats. The final numbers

3 bedroom 2 bath with 1400 Sq. Ft.
Purchase price $135,000
20% down payment $27,000 30 Yr fixed conventional at 5.25%
Monthly payment $776.00 taxes and insurance included.
Projected rents from roommates $400 per room = living mortgage free!

Again well done.

New Ceres Homeowners

2010-01-12T11:11:00.000-08:00

Well now that the New Years work load has died down a bit I have sometime to blog about a few recent home buyers. At the end of last year I had the pleasure in giving Lorraine and Jose they keys to their new home. They where referred to me by a Claudia a past client of mine. Jose and Lorraine where looking for a home in Ceres that offered them more space to roam. Lorraine’s hobby and side business is making cakes for all sorts of festivities so having a kitchen with enough counter space was definitely a must! To our surprise a home came up for sale right around the corner from where they where renting. Lorraine and Jose both loved that neighborhood so it was a perfect fit. Now the family has enough room to play while Lorraine has plenty of space to do what she loves.

Congrats and happy cooking.

The final numbers

4 Bedroom 3 bathroom home built in 1990. Tile roof. 2 car garage with over 2000 square feet of living space.

Purchase price $153,000 with seller paying all buyers closing cost
Loan FHA 3.5% down - $5,400
FHA 30 year fixed at 5.375%- $1,111.00/month

Lets get the NEW YEAR STARTED!

2010-01-06T19:03:00.001-08:00

This year is going to be GREAT!!! Remember half the battle is your attitude.
There is a ton of buzz going on in the Real Estate industry word is mortgage rates will begin to increase sometime this year. As of now we have seen a .25 point increase since last quarter. Interest rates for a 30 year mortgage are sitting at a 5.35% on a national level. I project this number to decrease for a short period only to be followed by months of FED rate increases (they need to control inflation somehow…).

As its part of my obligation to my friends, fellow investors buddies and clients to keep on top of the NOD (Notices of Default) and foreclosure filing in our county and all I have to say wow!!! The whole month of December my daily Foreclosure radar list was about 1 page (27 -30 foreclosures at the court house steps a day). My list on January 1st was 8 pages long…. that right your math was right the math adds up to almost 250 homes auctioned at the court steps. I hope the auctioneer had some salt water and a few bathroom breaks in between properties! I’m not saying this will continue but it does confirm what the SVP said at the Chase meeting I attended in Colorado last year, 2010 is going to be a big year as banks are starting to lift all those pesky self imposed moratoriums.

Happy hunting for 2010 as many investment opportunities will be around.

Stay toned as I need to finish posting all final closed sales in 2009 I’m guilty of taking an early Recess.

Merry Christmas

2009-12-25T11:21:00.000-08:00

Lets take sometime during this very special time of the year and express our gratefulness and love to the friends and family around us.

From my family to yours... May your Christmas and New Year be filled with Love and Joy. GOD BLESS!

Thank you for all your support during 2009 on the 2010!!!

Kind Heart!

2009-12-18T13:51:00.000-08:00

I was referred to Leslie by one of my lenders. Leslie was looking for an investment property for her family and at the same time was trying to help a friend get out of a difficult situation. Leslie was looking to purchase a property and let her friend stay in it while she went through nursing school at no cost! What an amazing friendship. Those who give will be blessed ten fold and if you ever met Leslie you would see she is a giving and very blessed individual!

The final numbers.

Purchase price $137,000
4 bedroom 2 bathroom home built in 1988.

Investment Purchase

2009-12-18T11:12:00.000-08:00

Simple numbers for today. Just closed escrow for another investor. Amazing numbers!

Great investment JJ!

The numbers:

Duplex 2 bedrooms 1 bath on each side with carport. Needed minor repair.
Purchase price $58,140
Projected repair $5,000
Total out of pocket $53,140
Projected rent $650/unit. $1300 month for property
Yearly taxes and insurance $1,300
Yearly return $14,300

ROI : 23%

will need to consider vacancy factor and yearly repair.

Central Valley Real Estate

The first month of the year is almost over!

Studying law and investing in the future

Enjoy our California Winter

When your family grows, your home will grow too

Young and Making Investments

Mother and Daughter Join Forces

Andrew's New Modesto Home

New Modesto Homeowner!

Purchasing a VA Foreclosure

Central Valley Investment purchase

10 Years Later. We will never forget!

God Bless America.

Buying is cheaper than renting in most U.S. cities (CNNMoney.com)

Big money towns

Where the jobs are

Most Exclusive Modesto Home SOLD! $1,625,000

Filling by quarter

Foreclosure inventory on the decline

Retired United States Marshal, Purchases a New Home

A New Year and a New Home

HUD Home has a New Homeowner in Ceres

A Young Johnson Purchases a New Home

Another New Modesto Homeowner

Zillow Names 10 Best Places to Invest in 2011

Well here you go. Modesto was ranked #2. For all those investors in Modesto well done. This market has opened a large window of opportunity to build wealth. - Daniel Del Real, CRS

Thank You

HUD GOOD NEIGHBOR NEXT DOOR PROGRAM

About Good Neighbor Next Door

How the Program Works

How to Participate in Good Neighbor Next Door

Comments and Questions

New Ceres Homeowner

Ceres Investment Property - Central Valley

How to Reach the Millennials

NAHREP and AREAA Expo in Las Vegas

Stockton Short Sale Closed

Riverbank Short Sale Closed

SHORT SALE - Wikipedia

Contents

[edit]Process

[edit]Additional parties

[edit]Consent

[edit]Credit implications

[edit]Business

Why is it taking so long for banks to release all the good houses?

Stanislaus County Closing Statistics

Applications for Loans Fall

Top 10 Most Stressful Jobs

'The Residential Specialist'

Investment Purchases

New Modesto Homeowner- Wachovia REO

New Modesto Homeowner

Modesto Investment Purchase

REMEMBERING THOSE WHO LOST THEIR LIVES

Positive Trend in one Modesto Neighborhood

Passion in your Real Estate Practice

Modesto Investment Property

New Manteca Homeowner

New Riverbank Homeowner

8 Mistakes To Avoid When Investing In Real Estate

New modesto Homeowner.

City of Modesto Residential Metering plan.

Modesto Bee- Median Price Falls in The Valley

Is Social Media a Fad?

Salida Short Sale Closed

New Modesto, CA Homeowner!

New Ceres Homeowners

Credit Mistakes to Avoid

7449 River Nine Drive $1.75 Million

Modesto Short Sale Closed

Ceres Short Sale Closed

New Ceres Homeowners

Today's Interest Rates

Happy Mother's Day

Housing bubble and the second wave.

New Denair Homeowner!

16641 Sonora Rd Oakdale

New Modesto Homeowner!

Is HUD taking too much risk on FHA loans.