Zen's Laguna Niguel and Orange County Real Estate Blog

Latest 'California Association Of Realtors' Orange County Statistics

Fri, 24 Jun 2011 11:06:00 GMT

The LATEST figures released by the California Association of Realtors (C.A.R.), based on contracts signed in May show twenty-eight percent of homebuyers in California who signed their name on the dotted line last month are buying REO properties. At the same time, short sale deals made up some 19 percent of the state’s pending home sales in May.

The group’s pending sales data is generated from a survey of more than 70 local Realtor associations and multiple listing services (MLSs) throughout the state.

The total share of distressed homes under contract in the Golden State last month was unchanged from April at 48 percent.

While the distressed portion of pending sales held steady, the number of individual transactions rose as the state’s overall pending sales numbers increased.

C.A.R. says its pending sales index, on the whole, was up 1.6 percent from April’s reading and up 12 percent from May 2010. It’s the first year-over-year increase recorded in 18 months.

“May marked the first year-over-year increase in pending sales since November 2009 and the largest annual increase since August 2009,” said Beth L. Peerce, president of C.A.R.

Peerce added, “May’s increase in pending sales is consistent with our expectation that home sales in the second half of 2011 should be higher compared with the second half of 2010, and as a result, annual sales for all of 2011 should match or exceed last year’s annual pace.”

While a 48 percent distressed market share is significant by all accounts, some areas of California are nearly fully saturated in distressed sales.

Pending home sales are forward-looking indicators of future home sales activity, and C.A.R. says the data offer solid information on future changes in the direction of the market. A sale is listed as pending after a seller has accepted a sales contract on a property. C.A.R. explained that the majority of pending home sales usually becomes closed sales transactions one to two months later.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

REDUCED ! EQUITY SALE ! FHA APPROVED ! A TRUE BEAUTY !

Thu, 23 Jun 2011 10:14:00 GMT

I've just reduced my Rancho Santa Margarita listing @

137 VIA CONTENTO

2 BR/ 2 BA; Highly Upgraded; Upper Unit; Tijeras Creek Villas; Equity Sale; FHA Approved Tract

137 VIA CONTENTO, RSM

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

Is Current Housing Market Here To Stay Through 2013?

Tue, 21 Jun 2011 10:50:00 GMT

As reported by the OC Register, June 21, 2011

At a recently concluded real estate writers conference in San Antonio, most analysts conclude that it is going to take a long time to recover from this housing market and home prices could continue to drop into 2013.

“Right now we are in a tremendous flux due to this overhang (of homes facing foreclosure),” said Jed Smith, director of quantitative research for the National Association of Realtors. “It’s going to take about four years.”

Meanwhile, with 1.2 million to 2.2 million U.S. homeowners becoming renters, apartment vacancies are going down and rents are expected to rise between 3.5% to 5.1% this year.

None of the experts at the National Association of Real Estate Writers’ annual conference in San Antonio, Texas, expected the housing picture to brighten until employment levels improve significantly. Some other projections made at the National Association of Real Estate Editors gathering:

Stan Humphries, the chief economist for the home-valuation website Zillow.com:

Projected that U.S. home values will continue falling on an annual basis until late 2012 or 2013: “We do foresee home price declines.”
Zillow figures show that home values in Orange County and across the nation now are lower than during the previous bottom in the winter of 2009. For example, Zillow’s index value for Orange County hit bottom at $467,000 in March of 2009. It’s now at $454,000.
U.S. home prices are projected to continue falling on an annual basis until late 2012 or 2013.
Homebuyer tax credits, which were meant to jump-start the housing market, could be having the opposite effect. At a cost of $15 billion to $20 billion, tax credits increased home sales temporarily, only to have them drop once the credits expired.
Meanwhile, most forecasters predict that rental rates in the nation are projected to climb 3.5% to 4.5% this year.

Smith, the NAR researcher:

Expect a very slow recovery, partly because of financial issues, but mostly due to high unemployment levels.
“We need jobs,” he said.

Mark Dotzour, the chief economist for the Real Estate Center at Texas A & M University:

“We’re not in a double-dip (housing recession) in my mind. We just never hit bottom in the first place,” he said.
He added: “Nobody wants to buy a house. … Everybody knows there’s this huge shadow inventory (of homes in foreclosure). At some point, the market’s going to start to clear. The foreclosed properties will be start to be sold.”

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

American Hotspots According to Non-Americans

Thu, 16 Jun 2011 10:03:00 GMT

Are international house hunters looking for a piece of the American Dream in your city? Most likely if you live in the Sunshine State.

As reported on Trulia.com

America is often called the land of opportunity, but these days, it might be more accurate to describe us as the land of dirt-cheap real estate. In the past 12 months, American home sellers cut about $24 billion from the homes they’ve listed on Trulia, of which a staggering $3 billion was slashed in Florida. Meanwhile, word on the street is – international buyers spent a whopping $41 billion last year to snap up U.S. homes left and right. Given this fun fact, we thought it’d be pretty fascinating to see where global house hunters are looking. The results will surprise you.

Florida, Not Just For American Retirees and Tourists
Right now, global house hunters make up about 5% of the window shopping that happens on Trulia. Aside from the usual suspects (e.g., Los Angeles, New York City and San Francisco), we saw a ton of interest in Florida … hmm?

In fact, 10 out of the 24 most popular American cities that have caught the eye of international homebuyers are in Florida – check it out for yourself. And yes, this list is based on popularity.

#	Most Popular Florida Cities
1.	Cape Coral, FL
2.	Miami, FL
3.	Fort Lauderdale, FL
4.	Naples, FL
5.	Fort Myers, FL
6.	Miami Beach, FL
7.	Kissimmee, FL
8.	Orlando, FL
9.	Jacksonville, FL
10.	Tampa, FL

Reportedly, Canadians, Europeans and Brazilians spent about $13 billion on homes in Florida last year. But what gives – are the oranges really that good? We can’t say for sure, but what we do know is that the houses in Florida are being sold at a super discount. Oddly, this blue light special is also happening in Arizona, but last time we checked, the interest in Phoenix and Tucson is pretty tiny. Just to throw it out there, but maybe, just maybe, this is because Florida might be perceived as as being friendlier to non-citizens.

So who wants to move to Florida? With the exception of Brazil, let’s just say that most of these global window shoppers hail from the northern hemisphere and/or across the pond (as in Canada, the United Kingdom, France, Italy and Russia, Germany, Sweden and the Netherlands). Judging by our findings, this interest from abroad isn’t slowing down and may be the jolt that revives the Sunshine State’s struggling housing market.

America’s Next Top Expat Community
Now, let’s talk about the usual suspects. Of the 1.4 million global house hunters looking (on Trulia that is) to buy a piece of the American Dream, most are eyeing LA LA LAND aka Los Angeles. Guess when it comes to “California dreamin,” everyone from the British and Australians to the Chinese and the Brazilians want to be part of Hollywood. More specifically, the British and the Australians would especially love a "90210" zip code since Beverly Hills is on each of their top 5 U.S. cities lists.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

87% of First-Time Homebuyers Don't Foresee Payment Troubles

Mon, 13 Jun 2011 09:38:00 GMT

Prospective homebuyers cite worries about future unemployment, concerns about property affordability, and the local economic outlook as issues that hold them back from jumping into the market, however, according to Genworth, an industry survey company, these economic concerns have not translated into excessive mortgage stress among recent U.S. homebuyers.

According to the survey, 87 percent of Americans who bought their first home in the past 12 months expect to easily meet their mortgage repayment obligations in the coming year.

The company says the U.S. is the most optimistic among all the markets surveyed about buying a home. According to the findings, nearly two-thirds of Americans polled believe now is a good time to buy a home.

Genworth says indebtedness colors how households around the world view their financial situation and how they approach buying a home. Western countries tended to have higher levels of debt, but were also more comfortable taking on debt.

Of the many factors that influence the decision to buy a home, Genworth notes that consumer confidence is one of the most important.

The company’s survey found that homebuyer confidence has eroded due to property market instability and worries about personal finances, leading consumers to adopt a wait-and-see attitude.

Still, nearly two-thirds of Americans surveyed believe now is a good time to buy a home for those who can afford it.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

The Foreclosure Saga....Is There Light At The End Of The Tunnel?

Tue, 07 Jun 2011 10:23:00 GMT

As reported on DSNews.com

According to researchers at the Joint Center for Housing Studies of Harvard University, this Great Recession has exacerbated the housing affordability challenges which buyers are facing.

The Center says its last measure of home-cost challenges showed that 9.3 million homeowners paid more than half their income on their mortgage – and that was in 2009. With the state of the labor market only worsening since then, and not only unemployment but underemployment plaguing more and more American families, the figure has undoubtedly risen.

While low-income households are most likely to have such severe burdens, the Harvard researchers point out that cost pressures have been moving up the ladder to affect more moderate- and middle-income households. In fact, rates of severe-cost burden among households making between $45,000 and $60,000 per year has nearly doubled since 2001.

In addition to longstanding and worsening affordability challenges, the academia report points out that the housing crash and ensuing economic downturn drained household wealth, ruined the credit standing of many borrowers, and devastated communities with widespread foreclosures.

According to the Harvard Housing Center’s study, the collapse of house prices has left nearly 15 percent of homeowners with properties worth less than their mortgages and eroded the equity of most others.

Overall, the amount of real home equity fell from $14.9 trillion at its peak in the first quarter of 2006 to $6.3 trillion at the end of 2010 – well below the $10.1 trillion in outstanding mortgage debt, according to the report.

Meanwhile, the foreclosure crisis continues. The report cites statistics from Lender Processing Services which show that as of the end of March, about 2 million home loans were at least 90 days delinquent and another 2.2 million properties were still in the foreclosure pipeline. The LPS study found that 67 percent of these owners had made no payments in over a year, and 31 percent had gone for two years without a payment.

On the foreclosure front, the Harvard report says the good news is that the share of home loans delinquent by at least three months dropped from 5.6 percent in early 2010 to 3.8 percent in March – a sign of light at the end of the tunnel, according to the researchers.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

WHO is Credited With Strengthening The Foreclosed Home Sale Market?

Tue, 31 May 2011 11:25:00 GMT

As reporte by DSNews.com

INVESTMENT BUYERS ARE!

According to the RPX Housing Market Report from Radar Logic Incorporated, a real estate data and analytics company based in New York, while home sales have slowed from the typical pace seen at the start of the spring buying season, the foreclosure market is performing better than the market for all other homes,

So far this year, the motivated transaction count within the firm’s RPX Composite, which assesses sales of foreclosed homes by financial firms and at foreclosure auctions, increased just slightly less than its average gain for the period over the last four years.

All other sales, on the other hand, increased by less than half as much as they usually do during the period.

Radar Logic credits investment buyers for these latest findings.

“Investment buyers are driving sales of foreclosed homes, but they have largely ignored the rest of the market,” said Quinn Eddins, director of research at Radar Logic.

“On average, foreclosed homes are priced at a 39 percent discount to other homes,” Eddins said. “Investors believe they can purchase these properties at a significant discount to their future value. Sellers in the rest of the market have not lowered their prices to levels where investors feel confident they can make an adequate return on their investment.”

Eddins explained that non-investment buyers are not as active this year.

“Widespread negative equity is reducing demand as it makes it difficult for would-be move-up buyers to sell their current homes,” he said. “And buyers in general are wary of making a down payment of 20 or 25 percent in an environment where home prices are widely expected to fall over the next 12 to 24 months.”

The report also revealed that home prices increased less than usual this spring.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

Local Real Estate Markets Heating Up With Investors

Fri, 27 May 2011 09:44:00 GMT

As reported on DSNews.com

Local reports indicate investors have been snapping up a larger share of foreclosure and REO homes in recent months, and an industry survey released Thursday suggests they are poised to become even more of a presence.

According to a study conducted by Move, Inc., which operates several online real estate sites, real estate investors will be more active in their local markets by a three-to-one margin compared to typical homebuyers over the next 24 months.

The National Association of Realtors reported just last week that all-cash transactions stood at 31 percent of all existing-home sales in April, with investors accounting for the bulk of cash purchases.

A separate report from Campbell Surveys found that investors accounted for 23 percent of the housing market in the month of April.

The research firm noted in its release that there’s a growing gap between the inventory of distressed properties on the market and the number of first-time homebuyers that typically target these homes. Campbell Surveys says when such a situation develops, it’s time for investors to step into the market to buy these properties, often at bargain-basement prices.

Only 43.5 percent say it will be harder to find bargains and 41.5 percent expect it’ll be easier to sell their properties in the next six months.

Meanwhile, 22 percent of investors are bullish and expect prices to rise in the next six to 12 months, and 53.5 percent expect prices to remain relatively the same. Twenty-three percent expect prices will fall over the next year.

The Move Inc. survey also shows investors are positioned to compete with traditional first-time homebuyers for hot deals. Two-thirds of investors said they expect the problems first-time buyers are having getting mortgages to make it easier for them to compete, while eight out of 10 expect cash discounts from sellers.

Contrary to the tactics used by investors known as “flippers,” 50 percent of today’s real estate investors plan to hold their properties for five-plus years, according to the survey results. Only 11 percent expect to sell within 12 months.

“This data suggests today’s climate is hot for investing and is attracting a lot of new people that don’t fit the stereotypical deal-driven flippers that buy and sell properties quickly,” said Steve Berkowitz, CEO of Move, Inc.

“They’re mostly entrepreneurial individuals that will make vital contributions to local communities by investing their own money and sweat equity to improve and maintain properties,” Berkowitz added.

While cash is king in many circles, the survey found that 75 percent of investors plan to combine cash and credit to purchase properties as they build their real estate portfolio. In fact, nearly 60 percent plan to put less than half down on their next buy and finance the rest. Finding financing, however, was cited as one of the most difficult challenges investors face.

Based on the investments they’re making in today’s environment, real estate investors expect high yield returns, according to Move, Inc. Nearly half – 48 percent — expect a profit of 20 percent or more from their property investments, a 4 percent annual rate of return over five years.

Move, Inc.’s survey results are based on 1,000 interviews conducted April 11 through 15 nationwide. The company says the margin of error on weighted data is +/- 3 percent.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

California Attorney General Forms Mortgage Fraud Strike Force

Tue, 24 May 2011 00:00:00 GMT

As reported by DSNews.com

This week started with an announcement by the California Attorney General Kamala Harris: A 25-person task force has been created to assist with protecting homeowners from mortgage fraud.

“Families are losing their homes, while those who perpetrated crimes and frauds against them walk free,” Harris said.

The Mortgage Fraud Strike Force will be staffed by Department of Justice attorneys and investigators and composed of both civil and criminal enforcement teams.

Harris has tasked the group with monitoring and prosecuting violations at every step of the mortgage process, from the origination of mortgage loans to the promotion of fraudulent foreclosure rescue services to the marketing of mortgage-backed securities (MBS) to the investing public.

Los Angeles Mayor Antonio R. Villaraigosa joined Harris at a press conference announcing the initiative and offered his support of the new strike force.

“With nearly 10,000 foreclosures in the city of Los Angeles last year,” he said, “this strike force is certain to help countless residents and families from becoming victimized.”

“The fingerprints of illegal activity are all over the foreclosure crisis,” said Paul Leonard, director of the Center for Responsible Lending’s California office. “The attorney general’s effort marries the need to punish bad actors for the practices that brought our economy to the brink with the need to eliminate the scam artists who have since attempted to profit from it.”

The attorney general’s office says California has not only been hit hard by the foreclosure crisis, but by predators looking to take advantage of the millions of residents who are underwater on their mortgages, in foreclosure, or at risk of losing their homes.

Last year alone, the attorney general’s office reports there were foreclosure filings against 546,669 California homes, and it is projected that between 2009 and 2012, a total of 2 million California homes will enter the foreclosure process.

In addition to scams on the default side of the business, the task force will be on the lookout for fraud related to unfair and predatory practices in originating loans, investment and money laundering schemes related to both origination and foreclosure prevention, and misconduct and false claims involving investments and securities tied to subprime mortgages.

The Mortgage Fraud Strike Force will operate out of Department of Justice offices in Los Angeles, Fresno, San Francisco, and Sacramento.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

REOs and Short Sales Slip to 37% of April's Existing-Home Sales Volume

Fri, 20 May 2011 11:26:00 GMT

According to the National Association of Realtors (NAR), sales of previously owned homes fell back 0.8 percent in April.
The share of distressed homes – bank-owned properties and pre-foreclosure short sales — also dropped last month, accounting for 37 percent of total sales volume, down from 40 percent in March and an average of 39 percent over the first quarter.

The trade group says an uneven recovery should be expected and notes that existing-home sales have risen in six of the last nine months.

The April decline brought the annual sales pace for pre-owned homes down to 5.05 million, compared to 5.09 million in March.

Existing-home sales are 12.9 percent below the 5.80 million pace recorded in April 2010, but NAR pointed out that sales surged during April and May of last year in response to the homebuyer tax credit, which skews the year-over-year comparison.

Realtors in the field say April’s existing-home sales numbers are being impacted by appraisal issues.

A parallel NAR practitioner survey shows 11 percent of Realtors report a contract was cancelled last month because the appraisal came in below the price negotiated between buyer and seller. Ten percent had a contract delayed and 14 percent said a contract was renegotiated to a lower sales price as a result of a low appraisal.

“[E]xisting guidelines from Freddie Mac and Fannie Mae must be fully implemented so all appraisals are done by valuators with local expertise,” said Ron Phipps, president of NAR.

According to NAR’s latest report, all-cash transactions stood at 31 percent in April, down from a record level of 35 percent in March. They were 26 percent in March 2010. Investors account for the bulk of cash purchases.

The trade group’s study shows that the national median existing-home price for all housing types was $163,700 in April, up from $159,600 in March – likely the result of fewer distressed property transactions.

Total housing inventory at the end of April increased 9.9 percent to 3.87 million existing homes available for sale, which represents a 9.2-month supply at the current sales pace. That’s up from an 8.3-month supply in March.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

NAR Implements New Rule When Listing Short Sales

Fri, 13 May 2011 11:26:00 GMT

The NAR is cracking down on the "mortgage relief scams" that some homeowners who are short selling their home, can get approached on......

As reported by DSNews.com, May 13, 2011

According to the National Association of Realtors (NAR), a new rule from the Federal Trade Commission that aims to protect homeowners from mortgage relief scams may impact real estate professionals who represent clients involved in short sale transactions.

The Mortgage Assistance Relief Services (MARS) rule, which applies to residential real estate transactions, took effect January 31.

Laurie Janik, NAR general counsel, overviewed the new rule Wednesday at a forum during the Realtors 2011 Midyear Legislative Meetings & Trade Expo in Washington, D.C.

“As the leading advocate for homeownership, NAR supports efforts to ensure that mortgage assistance relief services truly benefit consumers,” Janik said. “Nevertheless, NAR has some concerns about the rule and its application to real estate professionals involved in short sales transactions.”

Primarily directed at companies offering modification services to consumers, the rule bans all upfront fees for renegotiating mortgage terms and mandates that certain disclosures are made to consumers if a short sale is negotiated with a lender on their behalf or when advertising short sales experience.

But according to Janik, the rule may also impact real estate professionals who represent clients involved in a short sale transaction. Realtors MUST comply by not taking upfront fees.

She explained that it pertains to such practices as advertising short sale negotiation services or other short sale expertise, communicating with a consumer about a possible short sale before the listing agreement is executed, negotiating a short sale on behalf of a consumer, or arranging a short sale negotiation for a consumer.

A real estate professional now needs to include a clear and prominent disclosure in all commercial messages that advertise short sale services. In addition, second and third disclosures are required by real estate professionals before they begin mortgage assistance services on their clients’ behalf and at the time they present their client with the lender’s short sale approval letter.

“NAR is discussing with the FTC some language in the second and third disclosures as well as some other requirements found in the MARS rule,” Janik said. “The FTC is considering possible options to help make the rule more applicable to a real estate brokerage…when they are performing traditional real estate functions in a short sale transaction.”

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

Buyers, Buyers, Buyers...Time To Buy !!!

Tue, 10 May 2011 10:20:00 GMT

A new report from ZILLOW shows that home values in the United States fell faster in the first quarter of 2011 than they have in any quarter since 2008, when the housing market experienced its worst performance.

The Seattle-based company’s index of residential property values fell 3 percent nationally during the first three months of this year when compared to the fourth quarter of 2010.

As a result, negative equity hit a new high-water mark by the end of the first quarter, with 28.4 percent of homeowners with mortgages owing more on the loan than their home is worth, Zillow said. The company’s underwater ratio is up from 27 percent in the fourth quarter of 2010.

Zillow’s first-quarter index reading of home values came in at $169,600, 8.2 percent below where it was a year earlier. The company says home values have fallen 29.5 percent since they peaked in June 2006.

Meanwhile, foreclosures rose throughout the first quarter as banks unfroze moratoriums and allowed foreclosures to resume. Foreclosures had fallen in late 2010 due to the

slew of temporary suspensions brought about by the “robo-signing” controversy.

But by March, Zillow says activity had picked up once again, with one out of every 1,000 homes in the country lost to foreclosure during the month.

With the substantial home value declines, as well as increasing negative equity and foreclosures, Zillow says it is unlikely that home values will reach a bottom in 2011.

First-quarter data has prompted Zillow to revise its forecast, now predicting a bottom in 2012 “at the earliest.”

“Home value declines are currently equal to those we experienced during the darkest days of the housing recession,” said Dr. Stan Humphries, chief economist for Zillow. “With accelerating declines during the first quarter, it is unreasonable to expect home values to return to stability by the end of 2011.”

Humphries says he did expect a “substantial payback” from the federal government’s homebuyer tax credit initiative, which buoyed the housing market last year. But he warns that diminished demand post-tax credit, as well as rising foreclosures and high negative equity rates “make it almost certain that we won’t see a bottom in home values until 2012 or later.”

Zillow says very few markets were exempt from home value declines in the first quarter. Ninety-seven percent of the 132 markets covered by Zillow logged home value declines.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

Have Home Prices Across The Country Officially Double-Dipped?

Thu, 05 May 2011 13:01:00 GMT

According to the national home price index from Clear Capital it has officially entered double-dip territory, as reported in DSNews.com today.

The company says data through the end of April 2011 has pushed its reading of national home prices 0.7 percent below the prior low recorded in March 2009, as markets have become saturated with bank-owned properties.

Clear Capital’s report shows prices have fallen 11.5 percent over the previous nine-month period. A rate of decline this rapid has not been seen since 2008.

All the major metropolitan statistical areas tracked in Clear Capital’s report showed quarter-over-quarter price declines. The company says it’s a “sign of the continued volatility and fragility of home prices.”

At the regional level, home prices in the West, Northeast, and South regions have all crossed into double dip territory to record their lowest prices since the downturn began.

Clear Capital says the fact that the Midwest is the only region yet to double dip is largely a reflection of magnified gains it experienced during the last two years of tax credit activity.

Dr. Alex Villacorta, director of research and analytics at Clear Capital, says he continues to see evidence of an increase in the proportion of distressed sales taking hold in markets nationwide.

“With more than one-third of national home sales being REO, market prices are being weighed down as many markets have not regained enough footing to withstand the strain of the high proportion of REO sales,” Villacorta said.

“In light of the compounding effects of winter’s seasonal slowdown and increased distressed sale activity, the market now faces the true test of whether prices can rebound in the historically active spring season,” according to Villacorta.

While spring typically brings with it a resurgence in home sales – and home prices follow – Clear Capital warns that markets have entered uncharted territory since this spring homebuying season will be the first since 2008 without any tax credit incentive.

“A note of caution to those looking for a strong end to 2011: The last time no incentives were in place and distressed inventories were this high, home prices fell sharply,” Clear Capital said in its report.

The company’s home price report last month noted the subtle but rather ominous trend that distressed sales activity in the West, as a percentage of total sales, had climbed after a prolonged 18-month period of general improvements, and in turn, home prices in the western part of the country hit the double-dip mark in March.

“The housing market still faces many challenges that will only be solved through increased buying activity or a reduction in the distressed segment ― neither of which is assured in 2011,” according to Clear Capital.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

It's GOOD Friday.....Some GOOD Thoughts About Real Estate

Fri, 22 Apr 2011 00:00:00 GMT

It's 'GOOD' FRIDAY today, so I wanted to share some 'GOOD' & INSIGHTFUL information with you regarding our current and future real estate market, as posted on DSNews.com......Feel free to leave your comments and questions and I wish you and your families a HAPPY EASTER !

Greg Rand, a 20-year real estate veteran and CEO of OwnAmerica, says now is the time to invest in real estate.

Rand compares the current market to the years following the Great Depression when market conditions sparked a boom that sustained 65 years of appreciation in real estate.

“This economic crisis, while similar to the Great Depression, is also unique in the way that the housing market played a central role,” Rand said. “It is true that this is a once-in-a-generation crisis. It is also true that this is a once-in-a-generation opportunity. It’s time to focus on the other side of the coin.”

According to Rand, a little optimism can go a long way toward spurring real estate back to life.

“There is a very real economic force called irrational pessimism that is the cause of much economic hardship, not the effect,” he said.

“More people are unemployed because successful businesses are afraid to expand. More people are losing homes they can afford because they are underwater and believe their home will never appreciate again. People with job security are convinced they don’t have it and live in fear,” Rand explained.

He insists, “Irrational pessimism is one reason why today’s situation runs so parallel to the Great Depression.”

Rand contends there is no housing meltdown. Rather, there was a media and Wall Street meltdown centered on a predictable housing correction.

The real estate market changes hourly, he says, and investing in real estate is a matter of watching the trends.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

The Impact of Credit Scores From Short Sales & Foreclosures

Fri, 15 Apr 2011 10:18:00 GMT

A short sale and a foreclosure are seen as the same in terms of a credit score. Both will lower the score initially 100-150 points depending where the score originally started.

Being late 30 days on a house payment can cause the score to drop 100 points. Under all scenarios, the higher the original score the larger the initial point drop.

While the scores may be the same for both a foreclosure and a short sale, Fannie Mae sees someone with a short sale as a better credit risk. Financing is available after 2 years on a short sale as opposed to 5-7 years after a foreclosure.

In some cases, borrowers can get a higher credit score in just a few months and climb back to a good score depending on how the short sale is reported to the credit bureaus. After 7 years the foreclosure or short sale drops off the borrower’s credit file.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

Foreclosure Activity Falls to Three-Year Low

Thu, 14 Apr 2011 10:22:00 GMT

RealtyTrac just released data showing that processing delays have reduced foreclosure activity to its lowest level since the first quarter of 2008. During the first three months of this year, the tracking firm says one in every 191 homes in the United States received a foreclosure filing. Lenders completed foreclosure actions on 215,046 properties in the first quarter, a 17 percent decline from a year ago.

Commenting on the latest numbers, James J. Saccacio, RealtyTrac’s CEO, said despite the recent plunge in foreclosure activity, the nation’s housing market continued to languish in the first quarter.

“Weak demand, declining home prices and the lack of credit availability are weighing heavily on the market, which is still facing the dual threat of a looming shadow inventory of distressed properties and the probability that foreclosure activity will begin to increase again as lenders and servicers gradually work their way through the backlog of thousands of foreclosures that have been delayed due to improperly processed paperwork,” Saccacio said.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

It's TIME To BUY.. Fannie Mae Announces 3.5% Buyer Assistance on REO Properties

Tue, 12 Apr 2011 09:25:00 GMT

A great buyer incentive was announced by Fannie Mae on Monday....Borrowers purchasing a Fannie Mae-owned property through HomePath, the GSE’s REO disposition operation, will receive up to 3.5 percent in closing cost assistance.

The initial offer must be submitted on or after April 11, 2011, and the sale must close on or before June 30, 2011 to be eligible for the incentive. Fannie Mae said it can give no assurance on the time required to close, but initial offers submitted after May 15, 2011 are particularly questionable for closing by the incentive deadline of June 30.

To qualify, buyers must reside in the home as their primary residence; sales to investors are excluded.

Interest rates remain low right now, which helps this incentive go a long way toward helping even more families buy a new home.....This is a great time for Fannie Mae to offer some assistance.

In Arizona and Texas, there will be a $500 bonus available for selling agents whose buyers purchase and close on a HomePath property by June 30, 2011, and meet the terms and conditions of the closing cost incentive.

Retail and public entities are also eligible for the special buyer-assistance offer, however pool and auction sales are not eligible.

The D.C.-based government-backed mortgage firm rolled out a 3.5 percent subsidy for REO buyers in January of last year. Fannie Mae says it has seen considerable success with the program and as a result, has extended or restarted the temporary buyer assistance incentive several times – a strategy aimed at helping the GSE unload a bloated supply of repossessed homes.

The company acquired 262,078 single-family REO properties through foreclosure in 2010, compared with 145,617 in 2009. As of December 31, 2010, the company’s inventory of single-family REO properties was 162,489. Fannie says the carrying value of the company’s single-family REO was $15 billion as of the end of last year.

All Fannie Mae-owned REOs are listed on HomePath.com and most listings include detailed property descriptions, photographs, and community and school information.

Many Fannie Mae-owned properties are also eligible for special HomePath Mortgage and HomePath Renovation Mortgage financing, which offers homebuyers an opportunity to purchase with as little as 3 percent down.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

Zen Ziejewski Meets Mary Ann of Gilligan's Island at Video Marketing Workshop in Orange County.

Mon, 11 Apr 2011 10:59:00 GMT

This weekend I was fortunate to meet Dawn Wells AKA Mary Ann of Gilligan's Island at the Video Marketing Roundup Workshop in Orange County.

Dawn Wells was one of the guest instructors teaching agents and professionals techniques and tips about using video and film in their business. I was one of about 100 agents from across the country and California that were selected to attend this event which took place April 8th - 10th in Anaheim.

It was such a great learning experience and I am looking forward to adding a lot of video marketing techniques to really help benefit and educate my clients.

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

Distressed Properties Effect on Overall U.S. Housing Market...

Fri, 08 Apr 2011 10:00:00 GMT

As reported by DSNews.com

Analysis of home prices through the end of February by CoreLogic shows a year-over-year decline of 6.7 percent when distressed properties – REO and pre-foreclosure short sales – are included in the numbers.

Take out the distressed factor, and the company says home prices are “showing signs of stability,” down just 0.1 percent from a year ago.

A separate report released by Clear Capital Thursday also points to the impact of distressed property sales on home price trends.

Clear Capital’s data extends through the end of March, and the company says home prices in the western part of the country, where distressed homes account for some 40 percent of total sales, are continuing to steadily decline and have now fallen to a new, double-dip low for this cycle.

According to Clear Capital, the disparity between the West and the other regions can be found by looking at the extent distressed activity plays in western markets, where high levels of REO saturation continue to serve as a leading indicator of falling home prices.

February’s 6.7 percent drop marked the seventh straight month that CoreLogic has recorded a decline in its national home price index, counting both distressed and non-distressed properties.

On a POSITIVE spin....“When you remove distressed properties from the equation, we’re seeing a significantly reduced pace of depreciation and greater stability in many markets,” said Mark Fleming, chief economist with CoreLogic. “Price declines are increasingly isolated to the distressed segment of the market, mostly in the form of REO sales, as the stock of foreclosures is slowly cleared.”

Including distressed sales, CoreLogic says the five states with the greatest depreciation in February were: Idaho (-14.6%), Arizona (-12.0%), Florida (-11.2%), Michigan (-11.1%), and Illinois (-11.1%).

The five states with the highest appreciation were: West Virginia (+5.4%), New York (+4.7%), North Dakota (+4.1%), Maine (+3.6%), and Alaska (+1.2%).

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search

It's SPRINGTIME Purchase Time In Orange County!

Tue, 05 Apr 2011 00:00:00 GMT

The Orange County home inventory report dated March 31 proves positive that BUYERS ARE IN A "BLOSSOMING SPRING" PURCHASING MODE ! …

The number of new pending sales over the past month, increased by 13% in the past two weeks. In the past 30 days, demand has increased by approximately 22%.

Below is a “market time” benchmark tracking how many months it theoretically takes to sell all the inventory in the local MLS for-sale listings at the current pace of pending deals being made.

3.20 months for buyers to purchase all homes for sale at the current pace vs. 3.63 months two weeks ago vs. 2.46 months a year ago vs. 3.40 months two years ago.

Of the 8 pricing tiers: 7 had faster market time vs. 2 weeks ago; and 4 improved over a year ago.

Homes listed for under a million bucks have a market time of 2.85 months vs. 8.24 months for homes listed for more than $1 million. So, basically, it is 2.9 times harder to sell a million-dollar-plus residence!

FYI, the million-dollar market represents 17% of all homes listed and 7% of all homes that entered into escrow in the past 30 days.

Below is the recent data, as of last Thursday, for listings; deals pending; market time in months; last Thursday vs. 2 weeks ago, a year ago and 2 years ago (Note: k=thousand; m=million) …

Slice	Listings	Deals	Time (month)	2 week ago	1 yr. ago	2 yr. ago
$0-$250k	1,857	695	2.67	3.41	1.75	2.46
$250k-$500k	3,952	1,525	2.59	2.89	1.62	2.09
$500k-$750k	2,255	702	3.21	3.74	2.54	3.46
$750k-$1m	983	255	3.85	4.21	3.60	6.40
$1m-$1.5m	676	105	6.44	6.63	6.62	13.11
$1.5m-$2m	353	57	6.19	6.30	7.71	19.32
$2m-4m	492	48	10.25	10.58	12.04	25.57
$4m+	283	9	31.44	20.00	41.13	43.44
All O.C.	10,756	3,358	3.20	3.63	2.46	3.40

Your thoughts and feedback on this topic are greatly appreciated. Please feel free to post your comments.

Keeping you informed about the Orange County real estate market, economy and life in the OC is what I'm committed to doing.

For more great Orange County market insight and industry news visit Laguna Niguel Real Estate or view the Orange County Market Trends at Orange County Real Estate.

SEARCH ORANGE COUNTY'S BEST HOMES at Orange County MLS Home Search