Governor Arnold Schwarzenegger signed SB 931 into law this past week, prohibiting lenders from pursuing deficiency judgements after short sales on all 1st liens in California, including “recourse” loans where the borrower has refinanced.
In California, once a seller has refinanced their mortgage, whether it is a cash out refinance or simply a refinance to a better interest rate, the loan becomes a recourse loan, meaning the bank can pursue the seller after the short sale for the deficiency, unless stated in writing that the debt is settled on the short sale approval.
Now, with the passage into law of SB 931, lenders are prohibited from pursuing sellers on all first mortgages in CA after a short sale.
Monday, October 18, 2010
TEMPORARY SUSPENSION OF FORECLOSURES
No doubt you’ve heard the news recently that a number of major banks have volunteered to temporarily suspend foreclosures in 23 states and Bank of America is temporarily suspending foreclosures nationwide.
While this situation is changing daily, I want to tell you what we currently know to answer any questions you may have.
• In late September and early October some lenders and servicers began voluntarily halting foreclosures in select states while they reviewed their foreclosure processes.
• So far, only Bank of America has extended its foreclosure moratorium to California, where the vast majority of foreclosures are conducted without a court order. Foreclosures in the other 23 states are processed through the court system.
• Non-judicial foreclosures in California, however, do have legal requirements that lenders must follow. For example, California law requires that lenders for certain mortgage loans made between Jan. 1, 2003, and Dec. 31, 2007, attempt to make contact with borrowers to discuss options for avoiding foreclosure at least 30 days before filing a notice of default. Lenders also must sign a declaration in the notice of default stating that they tried to contact the borrower, made contact with the borrower, or fall within an exception (such as a bankruptcy filing).
• The lenders and servicers that have placed their foreclosure moratorium on properties in the 23 states where courts are involved in the foreclosure process include: Goldman Sachs Group Inc’s Litton Loan Servicing, Ally Financial Inc.’s GMAC Mortgage unit, JPMorgan Chase, and PNC Financial.
• These lenders/servicers have only temporarily halted their foreclosures while they review their foreclosure process. This is in response to findings that questioned whether some lenders/servicers were following the correct procedures to foreclose on a property.
• This halting of foreclosures is a voluntary action taken on the part of these lenders/servicers and has not been mandated by either the states or the federal government.
• Some members have begun to report the immediate impact of this moratorium on transactions that involve foreclosed properties. Delays in escrow and the removal of listed foreclosures are temporary results of this moratorium.
• The immediate impact on the market will be the slowing of home sales, which could put upward pressure on home prices in the short term. The long-term effect on the market is uncertain at this point as it depends how long the moratorium remains in place.
• Assuming the moratorium is lifted in the next month, the flow of REOs to the market should resume, but the uncertainty created by the moratorium may cause hesitation on the part of buyers.
• Federal agencies, including the Office of the Comptroller of the Currency, the Federal Housing Administration, and the conservator of Fannie Mae and Freddie Mac, have asked lenders and servicers to review their foreclosure processes. This review would apply to all states including those like California where the vast majority of foreclosures are non-judicial.
• The participating lenders and servicers believe their internal review processes should take anywhere from a few weeks to 30 days to complete.
While this situation is changing daily, I want to tell you what we currently know to answer any questions you may have.
• In late September and early October some lenders and servicers began voluntarily halting foreclosures in select states while they reviewed their foreclosure processes.
• So far, only Bank of America has extended its foreclosure moratorium to California, where the vast majority of foreclosures are conducted without a court order. Foreclosures in the other 23 states are processed through the court system.
• Non-judicial foreclosures in California, however, do have legal requirements that lenders must follow. For example, California law requires that lenders for certain mortgage loans made between Jan. 1, 2003, and Dec. 31, 2007, attempt to make contact with borrowers to discuss options for avoiding foreclosure at least 30 days before filing a notice of default. Lenders also must sign a declaration in the notice of default stating that they tried to contact the borrower, made contact with the borrower, or fall within an exception (such as a bankruptcy filing).
• The lenders and servicers that have placed their foreclosure moratorium on properties in the 23 states where courts are involved in the foreclosure process include: Goldman Sachs Group Inc’s Litton Loan Servicing, Ally Financial Inc.’s GMAC Mortgage unit, JPMorgan Chase, and PNC Financial.
• These lenders/servicers have only temporarily halted their foreclosures while they review their foreclosure process. This is in response to findings that questioned whether some lenders/servicers were following the correct procedures to foreclose on a property.
• This halting of foreclosures is a voluntary action taken on the part of these lenders/servicers and has not been mandated by either the states or the federal government.
• Some members have begun to report the immediate impact of this moratorium on transactions that involve foreclosed properties. Delays in escrow and the removal of listed foreclosures are temporary results of this moratorium.
• The immediate impact on the market will be the slowing of home sales, which could put upward pressure on home prices in the short term. The long-term effect on the market is uncertain at this point as it depends how long the moratorium remains in place.
• Assuming the moratorium is lifted in the next month, the flow of REOs to the market should resume, but the uncertainty created by the moratorium may cause hesitation on the part of buyers.
• Federal agencies, including the Office of the Comptroller of the Currency, the Federal Housing Administration, and the conservator of Fannie Mae and Freddie Mac, have asked lenders and servicers to review their foreclosure processes. This review would apply to all states including those like California where the vast majority of foreclosures are non-judicial.
• The participating lenders and servicers believe their internal review processes should take anywhere from a few weeks to 30 days to complete.
Wednesday, September 8, 2010
Why do Short Sales Take so Long to Close?
Real estate professionals know that a short sale transaction can take months for it to be approved and closed.
The reality is that short sales usually take three to four times as much as a regular sale to finally get to the closing. From the time the Realtor actually gets the property under contract to the time the lender approves, it could take anywhere from 30 days to six months, depending on how fast the borrower provides critical information for lender and Investor approval.
Even then, you still have one more variable to account for which is the buyer waiting for all this time to get the contract approved by the lender. For this, setting the expectations is a key factor in any short-sale transaction.
Buyers Expectations
Buyers who make an offer on a short-sale property need to know that lenders have to "reverse underwrite" a short-sale and make sure that they are allowing the sale to happen close to market value. I say "reverse underwrite" because instead of determining affordability, they will look for "un-affordability."
They will check the seller's financials to verify that they can't afford the house anymore and consequently, they will order a price opinion from a broker or certified appraiser, commonly known as BPO (Broker's Price Opinion) to make sure the house is being sold close to market value. If the offer is too low compared to what is owed, it will make more financial sense to the Lender to just foreclose the property and re-sell it as an REO (Bank-Owned Property). All this will happen while the buyer is still waiting for a response so it is very important to set the expectations correctly from the beginning to avoid losing the buyer close to the end of the process.
Seller's Expectations
On the other hand, it is important to also educate the Seller and set the expectations with them from the beginning. They need to understand that the Lender takes its time responding, but when they do, they usually give a 72-hour timeframe to respond or provide the missing documentation. If the documentation is not provided within the specified timeframe, it usually ends up in a closed file and countless work-hours lost. Another common situation that is happening very often is borrowers being served with foreclosure paperwork from either the lender or homeowner's association while the short-sale is being processed. It is crucial to let them know that this might happen so that they are prepared for it and receive the documents knowing that they are in the best hands. Foreclosure and short-sale are parallel processes and one does not cancel the other. Sometimes a short-sale might delay a final sale date, but it will definitely not stop the Lender from starting the foreclosure proceedings.
Closing the Short Sale
Short sale success comes from educating not only the seller but also the buyer and everybody else involved in the transaction. Setting the right expectations is the most crucial part of a short sale. There are many hours involved in processing a short sale and the last thing you want is a seller or buyer walking away because the expectations were not set correctly.
RISMEDIA, September 8, 2010--
The reality is that short sales usually take three to four times as much as a regular sale to finally get to the closing. From the time the Realtor actually gets the property under contract to the time the lender approves, it could take anywhere from 30 days to six months, depending on how fast the borrower provides critical information for lender and Investor approval.
Even then, you still have one more variable to account for which is the buyer waiting for all this time to get the contract approved by the lender. For this, setting the expectations is a key factor in any short-sale transaction.
Buyers Expectations
Buyers who make an offer on a short-sale property need to know that lenders have to "reverse underwrite" a short-sale and make sure that they are allowing the sale to happen close to market value. I say "reverse underwrite" because instead of determining affordability, they will look for "un-affordability."
They will check the seller's financials to verify that they can't afford the house anymore and consequently, they will order a price opinion from a broker or certified appraiser, commonly known as BPO (Broker's Price Opinion) to make sure the house is being sold close to market value. If the offer is too low compared to what is owed, it will make more financial sense to the Lender to just foreclose the property and re-sell it as an REO (Bank-Owned Property). All this will happen while the buyer is still waiting for a response so it is very important to set the expectations correctly from the beginning to avoid losing the buyer close to the end of the process.
Seller's Expectations
On the other hand, it is important to also educate the Seller and set the expectations with them from the beginning. They need to understand that the Lender takes its time responding, but when they do, they usually give a 72-hour timeframe to respond or provide the missing documentation. If the documentation is not provided within the specified timeframe, it usually ends up in a closed file and countless work-hours lost. Another common situation that is happening very often is borrowers being served with foreclosure paperwork from either the lender or homeowner's association while the short-sale is being processed. It is crucial to let them know that this might happen so that they are prepared for it and receive the documents knowing that they are in the best hands. Foreclosure and short-sale are parallel processes and one does not cancel the other. Sometimes a short-sale might delay a final sale date, but it will definitely not stop the Lender from starting the foreclosure proceedings.
Closing the Short Sale
Short sale success comes from educating not only the seller but also the buyer and everybody else involved in the transaction. Setting the right expectations is the most crucial part of a short sale. There are many hours involved in processing a short sale and the last thing you want is a seller or buyer walking away because the expectations were not set correctly.
RISMEDIA, September 8, 2010--
Monday, August 30, 2010
Recent clients share their experience working with Susan Botticelli
08.29.10
Dear Susan,
Dianne and I would like to thank you so much for the outstanding results you provided to us on the recent sale of our home in Rancho San Diego. Most people who own real estate soon come to realize that our homes are much more than a financial investment. Homes are full of fond memories. Memories of children growing up, unforgettable times with family and friends, and holiday memories that will always remain close to our hearts are really what our homes become for us. Susan, your personal touch as our real estate agent preserved for Dianne and I everything our home was for us for fifteen years.
You provided three key factors to our successful closing: First, your marketing plan during the initial phase of the transaction was in complete alignment with current real estate conditions. You adjusted and tailored the details as the market changed, always keeping us well informed.
Second, your advice throughout the process was timely, technically accurate, and always presented clearly and completely. As you know, this transaction had a great deal of complexity involving three lending institutions, legal, tax, building code, and repair issues, as well as a variety of other circumstances unique even in today’s real estate market.
Third, and most critically, your ability to coordinate each and every detail of this complex transaction during the final phase leading up to the successful closing of the sale was tremendous. Your real estate and business acumen, and most importantly, your “personal touch”, provided us with the best service possible, and helped avoid a potential short sale and the resulting consequences.
Susan, I would strongly advise anyone who is interested in buying or selling a home in Rancho San Diego and the greater San Diego area to call you as soon as they possibly can! You and your team came through for Dianne and I, and I’m confident will come through for many other homeowners and future homeowners as well.
Warm regards,
George Fadok
Dear Susan,
Dianne and I would like to thank you so much for the outstanding results you provided to us on the recent sale of our home in Rancho San Diego. Most people who own real estate soon come to realize that our homes are much more than a financial investment. Homes are full of fond memories. Memories of children growing up, unforgettable times with family and friends, and holiday memories that will always remain close to our hearts are really what our homes become for us. Susan, your personal touch as our real estate agent preserved for Dianne and I everything our home was for us for fifteen years.
You provided three key factors to our successful closing: First, your marketing plan during the initial phase of the transaction was in complete alignment with current real estate conditions. You adjusted and tailored the details as the market changed, always keeping us well informed.
Second, your advice throughout the process was timely, technically accurate, and always presented clearly and completely. As you know, this transaction had a great deal of complexity involving three lending institutions, legal, tax, building code, and repair issues, as well as a variety of other circumstances unique even in today’s real estate market.
Third, and most critically, your ability to coordinate each and every detail of this complex transaction during the final phase leading up to the successful closing of the sale was tremendous. Your real estate and business acumen, and most importantly, your “personal touch”, provided us with the best service possible, and helped avoid a potential short sale and the resulting consequences.
Susan, I would strongly advise anyone who is interested in buying or selling a home in Rancho San Diego and the greater San Diego area to call you as soon as they possibly can! You and your team came through for Dianne and I, and I’m confident will come through for many other homeowners and future homeowners as well.
Warm regards,
George Fadok
Tuesday, July 27, 2010
Home and Design Videos
From green building to home staging, these home and design videos feature the latest industry trends and tips.
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Monday, July 12, 2010
July 2010 - San Diego Real Estate Market Update - July 2010
Avg time it takes for a homeowner in default to lose their home has gone from 251 days in Jan 2008 to 438 days in April 2010 – a 75% increase.
40% of all mortgages issued in 2010 are FHA (gov insured) – up from 20% in 2009, and 2% in 2005 & 2006
Because FHA loans only require a 3.5% down payment (“a subprime loan in sheep’s clothing”), 25% of 2007 & 2008 FHA loans have defaulted.
David Stevens, current FHA Commissioner, “This is a real estate market purely on life support, sustained by the federal government. Having FHA do this much volume is a sign of a very sick system.”
New Home Building Permits fell 10.9% in April & 5.9% in May, to its lowest level in over 50 years. Historically, new home building permits are the best leading indicator for the overall US economy.
New Home Sales dropped by 33% from April to May to their lowest point since WWII
As of mid June, mortgage purchase applications are down 42% since the April 30 end of tax credits (a 13 yr low).
The Pending Home Sales Index, a forward looking indicator, dropped 30% in May compared to April, the worst decline in 9 years.
40% of all mortgages issued in 2010 are FHA (gov insured) – up from 20% in 2009, and 2% in 2005 & 2006
Because FHA loans only require a 3.5% down payment (“a subprime loan in sheep’s clothing”), 25% of 2007 & 2008 FHA loans have defaulted.
David Stevens, current FHA Commissioner, “This is a real estate market purely on life support, sustained by the federal government. Having FHA do this much volume is a sign of a very sick system.”
New Home Building Permits fell 10.9% in April & 5.9% in May, to its lowest level in over 50 years. Historically, new home building permits are the best leading indicator for the overall US economy.
New Home Sales dropped by 33% from April to May to their lowest point since WWII
As of mid June, mortgage purchase applications are down 42% since the April 30 end of tax credits (a 13 yr low).
The Pending Home Sales Index, a forward looking indicator, dropped 30% in May compared to April, the worst decline in 9 years.
Tuesday, June 22, 2010
Continued Strong Pace for Existing-Home Sales According To NAR
Existing-home sales remained at elevated levels in May on buyer response to the tax credit, characterized by stabilizing home prices and historically low mortgage interest rates, according to the National Association of REALTORS®. Gains in the West and South were offset by a decline in the Northeast; the Midwest was steady.
Existing-home sales, which are completed transactions that include single-family, townhomes, condominiums, and co-ops, were at a seasonally adjusted annual rate of 5.66 million units in May, down 2.2 percent from an upwardly revised surge of 5.79 million units in April. May closings are 19.2 percent above the 4.75 million-unit level in May 2009; April sales were revised to show an 8.0 percent monthly gain.
Buyers Face Purchasing Delays
Lawrence Yun, NAR chief economist, said he expects one more month of elevated home sales. “We are witnessing the ongoing effects of the home buyer tax credit, which we’ll also see in June real estate closings,” he said. “However, approximately 180,000 home buyers who signed a contract in good faith to receive the tax credit may not be able to finalize by the end of June due to delays in the mortgage process, particularly for short sales.
“In addition, many potential sales are being delayed by an interruption in the National Flood Insurance Program. Florida and Louisiana, also impacted by the oil spill, have the highest percentage of homes that require flood insurance.”
As the leading advocate for homeownership issues, NAR is supporting Senate amendments to extend the home buyer tax credit closing deadline through September 30 for contracts written by April 30, and to renew the flood insurance program. “Sales and related local economic activity would have been higher without delays in the closing process or flood insurance issues,” Yun noted.
Housing Still Affordable
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 4.89 percent in May from 5.10 percent in April; the rate was 4.86 percent in May 2009.
The national median existing-home price for all housing types was $179,600 in May, up 2.7 percent from May 2009. Distressed homes slipped to 31 percent of sales last month, compared with 33 percent in April; it was also 33 percent in May 2009.
NAR President Vicki Cox Golder said home prices have been stabilizing all year. “With distressed sales at roughly the same level as a year ago, the gain in home prices is a hopeful sign that the market is in a good position to stand on its own without further government stimulus,” she said. “Very affordable mortgage interest rates and stabilizing home prices are encouraging home buyers who were on the sidelines during most of the boom and bust cycle.”
Pending home sales are expected to decline notably in May and June from the spring surge, but Yun added that job growth and a manageable level of foreclosures are keys to sales and price performance during the second half of the year.
Inventory Falling
A parallel NAR practitioner survey shows first-time buyers purchased 46 percent of homes in May, down from 49 percent in April. Investors accounted for 14 percent of transactions in May compared with 15 percent in April; the remaining sales were to repeat buyers. All-cash sales were at 25 percent in May, edging down from a 26 percent share in April.
Total housing inventory at the end of May fell 3.4 percent to 3.89 million existing homes available for sale, which represents an 8.3-month supply at the current sales pace, compared with an 8.4-month supply in April. Raw unsold inventory is 1.1 percent above a year ago, but is still 14.9 percent below the record of 4.58 million in July 2008.
Single-family home sales declined 1.6 percent to a seasonally adjusted annual rate of 4.98 million in May from a pace of 5.06 million in April, but are 17.5 percent above the 4.24 million level in May 2009. The median existing single-family home price was $179,400 in May, which is 2.7 percent above a year ago.
Single-family median existing-home prices were higher in 16 out of 20 metropolitan statistical areas reported in May from a year ago. In addition, existing single-family home sales rose in 18 of the 20 areas from May 2009.
Existing condominium and co-op sales fell 6.8 percent to a seasonally adjusted annual rate of 680,000 in May from 730,000 in April, but are 32.6 percent above the 513,000-unit pace in May 2009. The median existing condo price was $181,300 in May, up 3.4 percent from a year ago.
By Region
Existing-home sales in the Northeast fell 18.3 percent to an annual level of 890,000 in May from a surge in April, but are 12.7 percent higher than a year ago. The median price in the Northeast was $240,200, down 2.2 percent from May 2009.
In the Midwest, existing-home sales were unchanged in May at a pace of 1.33 million and are 22.0 percent above May 2009. The median price in the Midwest was $150,700, up 2.2 percent from a year ago.
In the South, sales increased 0.5 percent to an annual level of 2.15 million in May and are 22.9 percent above a year ago. The median price in the South was $159,000, up 1.0 percent from May 2009.
Existing-home sales in the West rose 4.9 percent to an annual rate of 1.29 million in May and are 15.2 percent higher than May 2009. The median price in the West was $221,300, up 7.4 percent from a year ago.
Source: NAR
Existing-home sales, which are completed transactions that include single-family, townhomes, condominiums, and co-ops, were at a seasonally adjusted annual rate of 5.66 million units in May, down 2.2 percent from an upwardly revised surge of 5.79 million units in April. May closings are 19.2 percent above the 4.75 million-unit level in May 2009; April sales were revised to show an 8.0 percent monthly gain.
Buyers Face Purchasing Delays
Lawrence Yun, NAR chief economist, said he expects one more month of elevated home sales. “We are witnessing the ongoing effects of the home buyer tax credit, which we’ll also see in June real estate closings,” he said. “However, approximately 180,000 home buyers who signed a contract in good faith to receive the tax credit may not be able to finalize by the end of June due to delays in the mortgage process, particularly for short sales.
“In addition, many potential sales are being delayed by an interruption in the National Flood Insurance Program. Florida and Louisiana, also impacted by the oil spill, have the highest percentage of homes that require flood insurance.”
As the leading advocate for homeownership issues, NAR is supporting Senate amendments to extend the home buyer tax credit closing deadline through September 30 for contracts written by April 30, and to renew the flood insurance program. “Sales and related local economic activity would have been higher without delays in the closing process or flood insurance issues,” Yun noted.
Housing Still Affordable
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 4.89 percent in May from 5.10 percent in April; the rate was 4.86 percent in May 2009.
The national median existing-home price for all housing types was $179,600 in May, up 2.7 percent from May 2009. Distressed homes slipped to 31 percent of sales last month, compared with 33 percent in April; it was also 33 percent in May 2009.
NAR President Vicki Cox Golder said home prices have been stabilizing all year. “With distressed sales at roughly the same level as a year ago, the gain in home prices is a hopeful sign that the market is in a good position to stand on its own without further government stimulus,” she said. “Very affordable mortgage interest rates and stabilizing home prices are encouraging home buyers who were on the sidelines during most of the boom and bust cycle.”
Pending home sales are expected to decline notably in May and June from the spring surge, but Yun added that job growth and a manageable level of foreclosures are keys to sales and price performance during the second half of the year.
Inventory Falling
A parallel NAR practitioner survey shows first-time buyers purchased 46 percent of homes in May, down from 49 percent in April. Investors accounted for 14 percent of transactions in May compared with 15 percent in April; the remaining sales were to repeat buyers. All-cash sales were at 25 percent in May, edging down from a 26 percent share in April.
Total housing inventory at the end of May fell 3.4 percent to 3.89 million existing homes available for sale, which represents an 8.3-month supply at the current sales pace, compared with an 8.4-month supply in April. Raw unsold inventory is 1.1 percent above a year ago, but is still 14.9 percent below the record of 4.58 million in July 2008.
Single-family home sales declined 1.6 percent to a seasonally adjusted annual rate of 4.98 million in May from a pace of 5.06 million in April, but are 17.5 percent above the 4.24 million level in May 2009. The median existing single-family home price was $179,400 in May, which is 2.7 percent above a year ago.
Single-family median existing-home prices were higher in 16 out of 20 metropolitan statistical areas reported in May from a year ago. In addition, existing single-family home sales rose in 18 of the 20 areas from May 2009.
Existing condominium and co-op sales fell 6.8 percent to a seasonally adjusted annual rate of 680,000 in May from 730,000 in April, but are 32.6 percent above the 513,000-unit pace in May 2009. The median existing condo price was $181,300 in May, up 3.4 percent from a year ago.
By Region
Existing-home sales in the Northeast fell 18.3 percent to an annual level of 890,000 in May from a surge in April, but are 12.7 percent higher than a year ago. The median price in the Northeast was $240,200, down 2.2 percent from May 2009.
In the Midwest, existing-home sales were unchanged in May at a pace of 1.33 million and are 22.0 percent above May 2009. The median price in the Midwest was $150,700, up 2.2 percent from a year ago.
In the South, sales increased 0.5 percent to an annual level of 2.15 million in May and are 22.9 percent above a year ago. The median price in the South was $159,000, up 1.0 percent from May 2009.
Existing-home sales in the West rose 4.9 percent to an annual rate of 1.29 million in May and are 15.2 percent higher than May 2009. The median price in the West was $221,300, up 7.4 percent from a year ago.
Source: NAR
Tips On Growing Your Garden
Garden improvements don’t have to dig a deep financial hole. Here are just two of the tips now available on gardening on a budget:
1. Understand your land. Before shelling out money for new plants, look at what has thrived and what has died in your garden over time. If you’re new to the area, ask neighbors with similar growing conditions what has worked for them.
Keep in mind that even plants appropriate for your growing zone might not work in your personal patch, depending on the soil composition, sunlight patterns, microclimate, pests, and available water. Your local cooperative extension service can analyze your soil and recommend amendments and suitable plantings.
2. Avoid invasives. No matter how big your hurry to see your garden fill in, be wary of a plant billed as a “fast grower” or “aggressive.” Often that’s code for an invasive species—a non-native plant that makes its way into the landscape and crowds out the locals by stealing their nutrients, light, and water.
The U.S. Department of Agriculture maintains a list of invasives, which include various ivies, grasses, weeds, vines, self-seeding varieties of bushes and shrubs, even seemingly innocuous herbs like mint. Your county extension service can steer you toward the species best suited to your plot. Tip: If you love growing mint in the garden, contain it in a pot.
1. Understand your land. Before shelling out money for new plants, look at what has thrived and what has died in your garden over time. If you’re new to the area, ask neighbors with similar growing conditions what has worked for them.
Keep in mind that even plants appropriate for your growing zone might not work in your personal patch, depending on the soil composition, sunlight patterns, microclimate, pests, and available water. Your local cooperative extension service can analyze your soil and recommend amendments and suitable plantings.
2. Avoid invasives. No matter how big your hurry to see your garden fill in, be wary of a plant billed as a “fast grower” or “aggressive.” Often that’s code for an invasive species—a non-native plant that makes its way into the landscape and crowds out the locals by stealing their nutrients, light, and water.
The U.S. Department of Agriculture maintains a list of invasives, which include various ivies, grasses, weeds, vines, self-seeding varieties of bushes and shrubs, even seemingly innocuous herbs like mint. Your county extension service can steer you toward the species best suited to your plot. Tip: If you love growing mint in the garden, contain it in a pot.
Friday, June 18, 2010
Federal Help For Homeonwers is Not Helping!
The following article explains in common sense ways the exact problem I am seeing with my clients as a real estate practioner. The modifications are not coming through, except for those few homeowners who have pristine credit and are just plain lucky because they have persisted through the complications and huge committment it takes to successfuly modify a mortgage!
Denied for Federal Mortgage Aid, Homeowners Seek Alternatives
By Stella M. Hopkins
RISMEDIA, June 18, 2010--(MCT)--Allison Rinehart's best hope for saving her home isn't the massive federal effort to stem foreclosures.
She's been denied, possibly in error, for that plan so she's banking on an alternative mortgage modification to keep her Charlotte townhouse.
"This is the only thing my daughter and I have," said Rinehart, who is 45. "I am a single parent, no child support, working as many jobs as I can take on."
The taxpayer-funded Home Affordable Modification Program, or HAMP, is the centerpiece of the nation's foreclosure prevention effort. But it doesn't work for many people.
For example, Bank of America estimated in April that more than half its 1.44 million delinquent mortgage customers weren't eligible for HAMP. Wells Fargo says about 80 percent of its roughly 500,000 modifications are non-HAMP. Combined, the two banks serve nearly 40 percent of U.S. mortgages.
HAMP also has seen a surge in homeowners failing the three-month trial period, and a decline in new trial enrollments. Critics blame servicers for the declines, saying they're doing a poor job and unfairly bouncing people from the program. Servicers acknowledge there were problems, especially early on. They also say homeowners aren't complying with payment agreements or document requirements.
Whatever the reason, the problem isn't going away. The number of struggling homeowners nationwide is expected to remain high because job growth remains sluggish and millions of people are out of work. That means alternative modifications are likely to become even more important tools for preventing foreclosure.
"The goal is just to get to affordability ... whether that happens through a modification through HAMP or outside of HAMP," said Tom Goyda, a Wells Fargo spokesman.
There are many reasons property owners can't qualify for the federal program.
For example, they might have refinanced or bought after HAMP's Jan. 1, 2009, cutoff. They might not meet income or debt requirements. HAMP modifications, subsidized by taxpayer dollars, also aren't available for investment property, vacation homes and high-end homes.
In April, Bank of America finalized more than 23,000 HAMP modifications and had more than 210,000 in the pipeline. The Charlotte bank also has been averaging about 13,000 alternative modifications a month this year, said spokesman Dan Frahm. Most are for customers with mortgages issued after the cutoff or above the HAMP limit or on properties that aren't their principal residence.
"HAMP is at the center of our modification efforts at Bank of America," Frahm said. "It's also important to recognize that no one solution or program can address the ... issues facing homeowners, who are experiencing hardship as a result of prolonged recessionary impacts."
President Barack Obama announced the HAMP program in February 2009, well into the financial crisis. Prior to that, lenders and mortgage servicers were already doing modifications so it's natural there are more of those. Many HAMP applicants also are still working through the slow, cumbersome process.
Servicers participating in HAMP must first consider homeowners for loan aid under that program. If that doesn't work for customers, servicers can consider them for their own programs.
Goyda said Wells is doing alternative modifications for about 60 percent of customers who reach HAMP's trial phase but don't ultimately qualify. About 10 percent find other solutions, and the balance are probably headed for foreclosure.
Of HAMP, he said: "It's only one part of our overall efforts to help customers find affordability."
Consumer advocates, while sharply critical of mortgage servicers for poor modification service, generally endorse HAMP's intent and its standardized approach.
"It's a useful template," said Julia Gordon, senior policy counsel with the Center for Responsible Lending in Washington. "It's by no means some kind of gold standard."
For example, a recent HAMP change eliminates unemployment benefits as a qualifying source of income for modifications.
"That's just crazy," she said.
Gordon cautiously welcomes alternative plans because they can potentially help more people. She's concerned homeowners won't have a consistent way to know what's available and how to qualify. She and others have seen instances where payments are actually higher under non-HAMP plans — not a workable solution for a struggling borrower.
She also frets about the lack of federal oversight for in-house plans. The U.S. Treasury oversees HAMP, but has been criticized for not penalizing servicers for mistakes.
Gordon urges people to review any modification offer carefully. What's the new payment? Has the principal been reduced if the loan balance exceeds the value of the house? How long does the modification last?
"It is conceivable you could have a proprietary product that's better," she said.
Under HAMP, the government pays servicers and homeowners for successful modifications. For homeowners who make all their payments on time, that can amount to $5,000 paid toward their loans.
Those incentives aren't available under alternative plans.
Al Ripley, with the nonprofit N.C. Justice Center, has been critical of HAMP's cumbersome nature. He's also concerned about the lack of consistency and transparency in alternative plans. He says all servicers should be required to disclose their guidelines and processes for all modifications.
"It would be very helpful for homeowners to have more predictability when applying for a modification," Ripley said.
Allison Rinehart's budget was tight in late 2004 when she paid about $136,000 for her Charlotte townhome.
She put $4,000 down on the home and took a 30-year mortgage at nearly 9 percent. Her monthly payments were $1,111. Rinehart and her daughter, Sydnea, now 15, got by on the roughly $30,000 a year Rinehart made as a longtime, self-employed hairdresser and middle-school coach.
Last spring, she noticed business dropping off more sharply as her clientele struggled in the downturn. In July, she asked for a modification from Select Portfolio Servicing, the Utah firm handling her mortgage. She received an unusually speedy offer of a trial plan, which is supposed to last three months.
Rinehart was told to make the first payment on Sept. 1 at her original amount. Subsequent trial payments were cut to $685. She made those payments through March, when she received a letter saying she was denied a HAMP modification. Soon after, she contacted McClatchy Newspapers.
"This has caused me sleepless nights, depression and anxiety," said Rinehart, who also works in her church's office and has been a nanny. "My 15-year-old doesn't know whether or not she will have her home the next day or not because of this."
SPS offered another trial, with monthly payments at an even lower $456. Rinehart started the payments in April but worried it was a delaying tactic and she'd be denied again. Meanwhile, she received notices from SPS saying that to keep her house she had to repay the thousands of dollars that hadn't been paid during the trials.
"It really scared me," she said. And angered her. If she had the money, she wouldn't have asked for help.
"It was a slap in the face."
In May, McClatchy Newspapers began contacting SPS, asking about Rinehart's case. After several weeks of messages and e-mails, the company said it would send Rinehart a response.
In that letter, SPS said Rinehart didn't qualify for HAMP because she failed to send documents by a certain date. Rinehart said that's not true, that she has copies and certified mail receipts proving she sent everything requested, on time.
The May 27 letter, which Rinehart provided the newspaper, confirmed Rinehart made the first two trial payments. The letter said once she made the third payment, due last week, "SPS will complete the modification process and you will receive the final modification agreement which requires your signature.
"Once this is received, SPS will permanently modify the terms of your note and bring your account current."
Her June payment cleared her bank shortly after the 1st of the month. On June 10, she arrived home to find the promised paperwork. She believes that happened only because she went public.
Last week, she was reviewing the papers and reflecting on what sustained her.
"I relied on my faith."
(c) 2010, The Charlotte Observer (Charlotte, N.C.).
Distributed by McClatchy-Tribune Information Services.
Denied for Federal Mortgage Aid, Homeowners Seek Alternatives
By Stella M. Hopkins
RISMEDIA, June 18, 2010--(MCT)--Allison Rinehart's best hope for saving her home isn't the massive federal effort to stem foreclosures.
She's been denied, possibly in error, for that plan so she's banking on an alternative mortgage modification to keep her Charlotte townhouse.
"This is the only thing my daughter and I have," said Rinehart, who is 45. "I am a single parent, no child support, working as many jobs as I can take on."
The taxpayer-funded Home Affordable Modification Program, or HAMP, is the centerpiece of the nation's foreclosure prevention effort. But it doesn't work for many people.
For example, Bank of America estimated in April that more than half its 1.44 million delinquent mortgage customers weren't eligible for HAMP. Wells Fargo says about 80 percent of its roughly 500,000 modifications are non-HAMP. Combined, the two banks serve nearly 40 percent of U.S. mortgages.
HAMP also has seen a surge in homeowners failing the three-month trial period, and a decline in new trial enrollments. Critics blame servicers for the declines, saying they're doing a poor job and unfairly bouncing people from the program. Servicers acknowledge there were problems, especially early on. They also say homeowners aren't complying with payment agreements or document requirements.
Whatever the reason, the problem isn't going away. The number of struggling homeowners nationwide is expected to remain high because job growth remains sluggish and millions of people are out of work. That means alternative modifications are likely to become even more important tools for preventing foreclosure.
"The goal is just to get to affordability ... whether that happens through a modification through HAMP or outside of HAMP," said Tom Goyda, a Wells Fargo spokesman.
There are many reasons property owners can't qualify for the federal program.
For example, they might have refinanced or bought after HAMP's Jan. 1, 2009, cutoff. They might not meet income or debt requirements. HAMP modifications, subsidized by taxpayer dollars, also aren't available for investment property, vacation homes and high-end homes.
In April, Bank of America finalized more than 23,000 HAMP modifications and had more than 210,000 in the pipeline. The Charlotte bank also has been averaging about 13,000 alternative modifications a month this year, said spokesman Dan Frahm. Most are for customers with mortgages issued after the cutoff or above the HAMP limit or on properties that aren't their principal residence.
"HAMP is at the center of our modification efforts at Bank of America," Frahm said. "It's also important to recognize that no one solution or program can address the ... issues facing homeowners, who are experiencing hardship as a result of prolonged recessionary impacts."
President Barack Obama announced the HAMP program in February 2009, well into the financial crisis. Prior to that, lenders and mortgage servicers were already doing modifications so it's natural there are more of those. Many HAMP applicants also are still working through the slow, cumbersome process.
Servicers participating in HAMP must first consider homeowners for loan aid under that program. If that doesn't work for customers, servicers can consider them for their own programs.
Goyda said Wells is doing alternative modifications for about 60 percent of customers who reach HAMP's trial phase but don't ultimately qualify. About 10 percent find other solutions, and the balance are probably headed for foreclosure.
Of HAMP, he said: "It's only one part of our overall efforts to help customers find affordability."
Consumer advocates, while sharply critical of mortgage servicers for poor modification service, generally endorse HAMP's intent and its standardized approach.
"It's a useful template," said Julia Gordon, senior policy counsel with the Center for Responsible Lending in Washington. "It's by no means some kind of gold standard."
For example, a recent HAMP change eliminates unemployment benefits as a qualifying source of income for modifications.
"That's just crazy," she said.
Gordon cautiously welcomes alternative plans because they can potentially help more people. She's concerned homeowners won't have a consistent way to know what's available and how to qualify. She and others have seen instances where payments are actually higher under non-HAMP plans — not a workable solution for a struggling borrower.
She also frets about the lack of federal oversight for in-house plans. The U.S. Treasury oversees HAMP, but has been criticized for not penalizing servicers for mistakes.
Gordon urges people to review any modification offer carefully. What's the new payment? Has the principal been reduced if the loan balance exceeds the value of the house? How long does the modification last?
"It is conceivable you could have a proprietary product that's better," she said.
Under HAMP, the government pays servicers and homeowners for successful modifications. For homeowners who make all their payments on time, that can amount to $5,000 paid toward their loans.
Those incentives aren't available under alternative plans.
Al Ripley, with the nonprofit N.C. Justice Center, has been critical of HAMP's cumbersome nature. He's also concerned about the lack of consistency and transparency in alternative plans. He says all servicers should be required to disclose their guidelines and processes for all modifications.
"It would be very helpful for homeowners to have more predictability when applying for a modification," Ripley said.
Allison Rinehart's budget was tight in late 2004 when she paid about $136,000 for her Charlotte townhome.
She put $4,000 down on the home and took a 30-year mortgage at nearly 9 percent. Her monthly payments were $1,111. Rinehart and her daughter, Sydnea, now 15, got by on the roughly $30,000 a year Rinehart made as a longtime, self-employed hairdresser and middle-school coach.
Last spring, she noticed business dropping off more sharply as her clientele struggled in the downturn. In July, she asked for a modification from Select Portfolio Servicing, the Utah firm handling her mortgage. She received an unusually speedy offer of a trial plan, which is supposed to last three months.
Rinehart was told to make the first payment on Sept. 1 at her original amount. Subsequent trial payments were cut to $685. She made those payments through March, when she received a letter saying she was denied a HAMP modification. Soon after, she contacted McClatchy Newspapers.
"This has caused me sleepless nights, depression and anxiety," said Rinehart, who also works in her church's office and has been a nanny. "My 15-year-old doesn't know whether or not she will have her home the next day or not because of this."
SPS offered another trial, with monthly payments at an even lower $456. Rinehart started the payments in April but worried it was a delaying tactic and she'd be denied again. Meanwhile, she received notices from SPS saying that to keep her house she had to repay the thousands of dollars that hadn't been paid during the trials.
"It really scared me," she said. And angered her. If she had the money, she wouldn't have asked for help.
"It was a slap in the face."
In May, McClatchy Newspapers began contacting SPS, asking about Rinehart's case. After several weeks of messages and e-mails, the company said it would send Rinehart a response.
In that letter, SPS said Rinehart didn't qualify for HAMP because she failed to send documents by a certain date. Rinehart said that's not true, that she has copies and certified mail receipts proving she sent everything requested, on time.
The May 27 letter, which Rinehart provided the newspaper, confirmed Rinehart made the first two trial payments. The letter said once she made the third payment, due last week, "SPS will complete the modification process and you will receive the final modification agreement which requires your signature.
"Once this is received, SPS will permanently modify the terms of your note and bring your account current."
Her June payment cleared her bank shortly after the 1st of the month. On June 10, she arrived home to find the promised paperwork. She believes that happened only because she went public.
Last week, she was reviewing the papers and reflecting on what sustained her.
"I relied on my faith."
(c) 2010, The Charlotte Observer (Charlotte, N.C.).
Distributed by McClatchy-Tribune Information Services.
Buyers Drive Hard Bargains in a Tough Market
Unrealistic buyers are ruining the deal for sellers who are unwilling to make extreme concessions, some real estate practitioners complain.
''We see buyers who must have learned their moves from the World Wrestling Federation,'' says Glenn Kelman, CEO of the online brokerage Redfin. ''They think the final smack-down occurs at the inspection, where the seller will be reluctant to refuse any demand because the alternative is putting the house back on the market as damaged goods.''
But buyers say they're simply being smart.
''We had the position, 'If the seller is willing to come down enough, we will buy this home.' If they weren't willing, we would have just moved on. In this market, you have a lot of options,'' says Chris Dunn, a consultant in Chicago, who sought a 10 percent reduction on a property priced at more than $500,000.
Source: The New York Times, David Streitfeld (06/17/2010)
''We see buyers who must have learned their moves from the World Wrestling Federation,'' says Glenn Kelman, CEO of the online brokerage Redfin. ''They think the final smack-down occurs at the inspection, where the seller will be reluctant to refuse any demand because the alternative is putting the house back on the market as damaged goods.''
But buyers say they're simply being smart.
''We had the position, 'If the seller is willing to come down enough, we will buy this home.' If they weren't willing, we would have just moved on. In this market, you have a lot of options,'' says Chris Dunn, a consultant in Chicago, who sought a 10 percent reduction on a property priced at more than $500,000.
Source: The New York Times, David Streitfeld (06/17/2010)
Tuesday, June 8, 2010
Troubled Homeowners Looking For Relief May Have Found Some!
The news is filled with information about homeowners in dire financial situations struggling to keep their homes from foreclosure. Obama rolled out his Home Affordable Modification Program with little actual success. The idea was to help modify mortgages so that payments remained no more than 31% of total income. The restricitons of this program proved to be so tight that few homeowners could actually be approved for a modification.
Bank of America announced 6/3/10 that it was rolling out a relief program for roughly 45,000 of its most troubled borrowers that would reduce mortgage principal by as much as 30 percent. To be eligible, homeowners must have missed at least two monthly payments and owe 20 percent or more than their home is worth. Homes must have been originally financed by Countrywide Financial Corp. under specific lending programs.
The offer is a result of an agreement with state attorneys general that settles charges over high-risk loans made by Countrywide. The federal government will pay 18 percent of the forgiven principal.
In another agreement Bank of America will pay $108 million to settle charges that Countrywide Financial Corp., which it acquired two years ago, charged large and unfair fees to borrowers facing foreclosure. The settlement, which will refund money to about 200,000 borrowers, was announced Monday by the Federal Trade Commission. This equates to about $540 per household.
Bank of America announced 6/3/10 that it was rolling out a relief program for roughly 45,000 of its most troubled borrowers that would reduce mortgage principal by as much as 30 percent. To be eligible, homeowners must have missed at least two monthly payments and owe 20 percent or more than their home is worth. Homes must have been originally financed by Countrywide Financial Corp. under specific lending programs.
The offer is a result of an agreement with state attorneys general that settles charges over high-risk loans made by Countrywide. The federal government will pay 18 percent of the forgiven principal.
In another agreement Bank of America will pay $108 million to settle charges that Countrywide Financial Corp., which it acquired two years ago, charged large and unfair fees to borrowers facing foreclosure. The settlement, which will refund money to about 200,000 borrowers, was announced Monday by the Federal Trade Commission. This equates to about $540 per household.
Tuesday, June 1, 2010
3 Simple Steps to Creating Your Ideal Income
3 Simple Steps to Creating Your Ideal Income
By Maya Bailey, Ph.D.
RISMEDIA, June 1, 2010--Are you interested in creating your ideal income this year? Are you tired of waiting for things to get better? Are you feeling like you have so much more potential than you are currently using?
Imagine for a moment achieving your ideal income. What would that look like and feel like? What would you be able to do that you can't do now?
Ask yourself what are the things you need to be doing right now to manifest that? Do you need to find a way to raise your motivation? Do need to stop procrastinating? Do you need to stop avoiding marketing? Do you need to be more accountable to yourself?
If you want to learn a simple way to create your ideal income, then read on...
Step I : Get clear on what you do want.
Do know exactly where you want to be professionally in 12 months from today? To achieve even more clarity, I invite you to this simple visualization.
Sit in a comfortable place where you won't be disturbed and ask yourself the following questions:
· In a year from now, what kind of work do you want to be doing?
· How many hours a week do you want to be doing it?
· Who would be your ideal clients and colleagues?
· What kind of people do you want to be around?
· What would be your ideal physical surroundings for work?
· Finally, ask your self what would be your ideal income? Pick a figure that is realistic but optimistic.
Here's an example from one of my clients of what your visualization might look like, "In one year from today, I see myself doing real estate, working mostly with listings, and being surrounded with people I like, people who are upbeat, responsible, committed and motivated. I have my own office, and I am looking out of a big window, looking at a garden. My income is $150,000 net."
How close is that to what you want to create?
Step 2: Overcoming the obstacles, challenges, self limiting beliefs, and self sabotaging strategies.
In Step 1, you got clarity on your ideal professional life. In Step 2, you identify the blocks you'd need to overcome to get there. So ask yourself what is stopping you? What are your self limiting beliefs? What are your self sabotaging strategies?
In my 14+ years of coaching real estate professionals to become successful , the self limiting beliefs that I hear the most are:
· "I'm not good enough"
· "I don't know enough"
· "I don't have what it takes to succeed"
· “I can't do marketing"
· "If I market myself , I'm afraid I'll be rejected"
Take a good look at the list and ask yourself which ones resonate with you? Here's the good news: "These are not facts, these are beliefs and beliefs can be changed". One of the things I help my clients to do is to reprogram their self limiting beliefs into Empowering beliefs. If you were to reprogram the beliefs above into Empowering beliefs what would they sound like? Anything like,
· "I am more than good enough"
· "I know all that I need to know and I can always research and find the answers"
· "I have all I need to succeed"
· "I'm learning to become a Master at marketing"
· "Since I have something of value to offer my prospective clients, most likely I'll be accepted"
How would it feel to have those beliefs as your foundation?
Step 3: Create your script
Once you have clarified what you want and reprogrammed your self limiting beliefs, the next step is to create your script. What is the area that you need to develop the most? Is it marketing, is it time management, is it confidence building? What ever you decide, you need a script to achieve it.
Why do I recommend a script rather than a plan? A business plan is a written document outlining a series of logical steps that lead to the realization of a goal in business. A business plan follows specific guidelines and requires certain information. A script, on the other hand, comes from your imagination. You can write what you want and not have to follow guidelines set by someone else.
Einstein once said, "Imagination is more important than knowledge". Imagination is an integral part of ourselves and our intuition. When we write a script, we feel what we are writing and those feelings create physical sensations that connect our body to our imagination. When we are free to imagine and feel what we want, not only do we become like magnets to draw it to us, but also we are guided by "inspired action".
What is the difference between "inspired action" and "frantic action"? The difference is between faith and fear. As you have probably heard, "Desperation doesn't sell". And yet, many of my clients have come to see me in a state of fear and panic. They have been taking action steps, frantic action, based on their fear and then they wonder why their marketing isn't working. Fear doesn't attract clients, it repels them.
"Inspired action" on the other hand are action steps that you feel inspired to do. What inspires you? Your vision, the reason why you're doing what you are doing.
Here's a tip, if you really want to be successful, focus on the service you're giving to others, not on the money. The money will follow if you are making a contribution and doing what you love.
One final thought on Faith vs. Fear. Here's a story that illustrates the message: a student goes to his teacher and says, "I'm having a terrible struggle between my fear of rejection and failure and my faith in myself. They are battling all the time and I don't know which one is going to win." The teacher says , "Why, the faith in yourself, of course." The student says, "How do you know?" The teacher says, "Because your self confidence is the one you're going to feed."
Here's a tip: How many creative ways can you find to feed your self confidence?
Dr. Maya Bailey, Master Business Coach for Real Estate Professionals, integrates her 20 years of experience as a psychologist with 14 years of expertise in marketing. Her powerful transformational work
creates a Success Formula for Real Estate Professionals ready to double and triple their incomes.
To get your free report: "7 Simple Strategies to More Clients in 90 Days" and to apply for an Initial Complimentary Consultation, go to www.90daystomoreclients.com.
By Maya Bailey, Ph.D.
RISMEDIA, June 1, 2010--Are you interested in creating your ideal income this year? Are you tired of waiting for things to get better? Are you feeling like you have so much more potential than you are currently using?
Imagine for a moment achieving your ideal income. What would that look like and feel like? What would you be able to do that you can't do now?
Ask yourself what are the things you need to be doing right now to manifest that? Do you need to find a way to raise your motivation? Do need to stop procrastinating? Do you need to stop avoiding marketing? Do you need to be more accountable to yourself?
If you want to learn a simple way to create your ideal income, then read on...
Step I : Get clear on what you do want.
Do know exactly where you want to be professionally in 12 months from today? To achieve even more clarity, I invite you to this simple visualization.
Sit in a comfortable place where you won't be disturbed and ask yourself the following questions:
· In a year from now, what kind of work do you want to be doing?
· How many hours a week do you want to be doing it?
· Who would be your ideal clients and colleagues?
· What kind of people do you want to be around?
· What would be your ideal physical surroundings for work?
· Finally, ask your self what would be your ideal income? Pick a figure that is realistic but optimistic.
Here's an example from one of my clients of what your visualization might look like, "In one year from today, I see myself doing real estate, working mostly with listings, and being surrounded with people I like, people who are upbeat, responsible, committed and motivated. I have my own office, and I am looking out of a big window, looking at a garden. My income is $150,000 net."
How close is that to what you want to create?
Step 2: Overcoming the obstacles, challenges, self limiting beliefs, and self sabotaging strategies.
In Step 1, you got clarity on your ideal professional life. In Step 2, you identify the blocks you'd need to overcome to get there. So ask yourself what is stopping you? What are your self limiting beliefs? What are your self sabotaging strategies?
In my 14+ years of coaching real estate professionals to become successful , the self limiting beliefs that I hear the most are:
· "I'm not good enough"
· "I don't know enough"
· "I don't have what it takes to succeed"
· “I can't do marketing"
· "If I market myself , I'm afraid I'll be rejected"
Take a good look at the list and ask yourself which ones resonate with you? Here's the good news: "These are not facts, these are beliefs and beliefs can be changed". One of the things I help my clients to do is to reprogram their self limiting beliefs into Empowering beliefs. If you were to reprogram the beliefs above into Empowering beliefs what would they sound like? Anything like,
· "I am more than good enough"
· "I know all that I need to know and I can always research and find the answers"
· "I have all I need to succeed"
· "I'm learning to become a Master at marketing"
· "Since I have something of value to offer my prospective clients, most likely I'll be accepted"
How would it feel to have those beliefs as your foundation?
Step 3: Create your script
Once you have clarified what you want and reprogrammed your self limiting beliefs, the next step is to create your script. What is the area that you need to develop the most? Is it marketing, is it time management, is it confidence building? What ever you decide, you need a script to achieve it.
Why do I recommend a script rather than a plan? A business plan is a written document outlining a series of logical steps that lead to the realization of a goal in business. A business plan follows specific guidelines and requires certain information. A script, on the other hand, comes from your imagination. You can write what you want and not have to follow guidelines set by someone else.
Einstein once said, "Imagination is more important than knowledge". Imagination is an integral part of ourselves and our intuition. When we write a script, we feel what we are writing and those feelings create physical sensations that connect our body to our imagination. When we are free to imagine and feel what we want, not only do we become like magnets to draw it to us, but also we are guided by "inspired action".
What is the difference between "inspired action" and "frantic action"? The difference is between faith and fear. As you have probably heard, "Desperation doesn't sell". And yet, many of my clients have come to see me in a state of fear and panic. They have been taking action steps, frantic action, based on their fear and then they wonder why their marketing isn't working. Fear doesn't attract clients, it repels them.
"Inspired action" on the other hand are action steps that you feel inspired to do. What inspires you? Your vision, the reason why you're doing what you are doing.
Here's a tip, if you really want to be successful, focus on the service you're giving to others, not on the money. The money will follow if you are making a contribution and doing what you love.
One final thought on Faith vs. Fear. Here's a story that illustrates the message: a student goes to his teacher and says, "I'm having a terrible struggle between my fear of rejection and failure and my faith in myself. They are battling all the time and I don't know which one is going to win." The teacher says , "Why, the faith in yourself, of course." The student says, "How do you know?" The teacher says, "Because your self confidence is the one you're going to feed."
Here's a tip: How many creative ways can you find to feed your self confidence?
Dr. Maya Bailey, Master Business Coach for Real Estate Professionals, integrates her 20 years of experience as a psychologist with 14 years of expertise in marketing. Her powerful transformational work
creates a Success Formula for Real Estate Professionals ready to double and triple their incomes.
To get your free report: "7 Simple Strategies to More Clients in 90 Days" and to apply for an Initial Complimentary Consultation, go to www.90daystomoreclients.com.
Wednesday, May 26, 2010
-
Tax Credits for Replacing Your Roof
Replacing your roof with a qualifying energy-efficient metal or asphalt roof can cut your cooling bill and earn you a $1,500 tax credit. Read
Visit houselogic.com for more articles like this.
Copyright 2010 NATIONAL ASSOCIATION OF REALTORS®
Thursday, May 20, 2010
1707 Augusta Court, El Cajon, CA 92019
3 Bedroom, 3 Bath, 1439 Square Feet
A lovely home inside and out featuring new windows and doors, fresh paint, new spa, new appliances with stunning new granite counter-tops, new air-conditioning and all copper plumbing. Floral display at the back and front entry is stunning.
$389,000 - $410,000
Tuesday, May 11, 2010
Home Staging Video and Tips By Susan Botticelli
One of the services I love to provide for my clients when they list a home with me is staging and home preparation. It's amazing what a little pre-market preparation will do to help a home look it's best when buyer's come through the door. My clients rave about the finished product and benefit greatly from selling their homes in a shorter time period while reaping a higher profit!
A few years ago I thought it might be fun to video the transformation of one of my listings to show a home in the before and after staging states. Click on the link provided here http://motionmediacommunications.com/botticelli/staging.wmv to view Susan Botticelli's video on home staging and tips on how to enhance your property for sale.
According to Brandon Cornett, editor of the Home Buying Institute, there are 6 key benefits that come with staging a home.
1. Staging forces you to think like a buyer.
When you are staging your home for sale you will be looking at your home through the buyer's eyes. Think of how a buyer walks through a professionally staged model home in a new subdivision. Work from room to room and ask yourself if this room has that "wow factor"!
2. Staging forces you to organize and de-clutter.
Cleaning shelves, closets and cabinets is a big part of the home staging process. It also helps with your moving process because you can pack items away in boxes as you de-clutter.
3. Staging increases the likelihood of a sale.
When you are selling your home you need to do everything you can to increase your chances of selling your home. A professionally staged home gives a seller an extra edge in the marketplace.
4. Staging reduces your home's time on the market.
When you put the extra effort into staging effectively, you are preparing your home for a quicker sale. A quicker sale will net you a higher profit.
5. Staging helps justify your asking price.
A professionally staged home for sale in a seller's market decreases the chances a buyer will haggle with you over price. In a market which leans toward the buyer, you need everything in your favor to justify the asking price. A properly staged home will position your home more favorably in the buyer's mind.
6. Staging can be fun!
While staging may sound like all work and no play, be sure to use your creativity throughout the process to make it more enjoyable.
So next time the thought of selling your home runs through your mind, think first about how important proper staging and presentation of your home is. Then call Susan Botticelli at 619-441-8473 to enlist her professional expertise in staging your home and selling your home for top dollar!
Tuesday, May 4, 2010
Home Sales Rise - Tax Credit Boosts Home Sales
Home Sales Rise due to Tax Credit, Favorable Market
Buyers responding to the home buyer tax credit and favorable affordability conditions boosted existing-home sales in March, marking the beginning of an expected spring surge, according to the National Association of REALTORS®. Existing home sales that include single-family, townhomes, condominiums, and co-ops, rose 6.8 percent to a seasonally adjusted annual rate of 5.35 million units in March from 5.01 million in February, and are 16.1 percent above the 4.61 million-unit level in March 2009.Lawrence Yun, NAR chief economist, said it is encouraging to see a broad home sales recovery in nearly every part of the country, with two important underlying trends. “Sales have been above year-ago levels for nine straight months, and inventory has trended down from year-ago levels for 20 months running,” he said. “The home buyer tax credit has been a resounding success as these underlying trends point to a broad stabilization in home prices. This is preserving perhaps $1 trillion in largely middle-class housing wealth that may have been wiped out without the housing stimulus measure.”
Rise in Inventories, Prices
Total housing inventory at the end of March rose 1.5 percent to 3.58 million existing homes available for sale, which represents an 8.0-month supply at the current sales pace, down from an 8.5-month supply in February. Raw unsold inventory is 1.8 percent below a year ago, and is 21.7 percent below the record of 4.58 million in July 2008. “Foreclosures have been feeding into the inventory pipeline at a fairly steady pace and are being absorbed manageably,” Yun said. “In fact, foreclosures are selling quickly, especially in the lower-price ranges that are attractive to first-time home buyers.”A parallel NAR practitioner survey shows first-time buyers purchased 44 percent of homes in March, up from 42 percent in February. Investors accounted for 19 percent of transactions in March, unchanged from February; the remaining sales were to repeat buyers. All-cash sales remain elevated at 27 percent in March, the same as in February.The national median existing-home price for all housing types was $170,700 in March, up 0.4 percent from March 2009. Distressed homes, typically sold at a 15 percent discount, accounted for 35 percent of sales last month – unchanged from February. “With home values stabilizing, a revival in home buying confidence will likely help the housing market get back on its feet even as the tax credit impact disappears,” Yun said.
A Great Time to Buy
NAR President Vicki Cox Golder said buying conditions are in near-perfect alignment. “Even with tougher loan standards, historically low mortgage interest rates with affordable prices and a sense that the market is turning have created optimal conditions in much of the country,” she said. “With the fast-approaching April 30 deadline to get a contract in place for the tax credit, REALTORS® are working harder than ever to negotiate transactions, arrange services and complete paperwork,” Golder said. “Because many repeat buyers need to sell their current home first, many will be purchasing later without the tax credit but now have the benefit of a more buoyant housing market.”According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage dipped to 4.97 percent in March from 4.99 percent in February; the rate was 5.00 percent in March 2009.Single-family home sales rose 7.3 percent to a seasonally adjusted annual rate of 4.68 million in March from a level of 4.36 million in February, and are 13.3 percent above the 4.13 million level a year ago. The median existing single-family home price was $170,700 in March, up 0.6 percent from March 2009.
Regional, Metro Area Performances
Single-family median prices rose in 14 out of 20 metropolitan statistical areas reported in March in comparison with a year earlier. Five metro areas experienced double-digit increases, including San Diego, St. Louis, and Boston.Existing condominium and co-op sales increased 3.1 percent to a seasonally adjusted annual rate of 670,000 in March from 650,000 in February, and are 39.3 percent higher than the 481,000-unit level in March 2009. The median existing condo price was $170,600 in March, which is 0.7 percent below a year ago.Regionally, existing-home sales in the Northeast increased 6.0 percent to an annual level of 890,000 in March and are 25.4 percent higher than a year ago. The median price in the Northeast was $249,800, up 8.9 percent from March 2009.Existing-home sales in the Midwest rose 7.2 percent in March to a pace of 1.19 million and are 15.5 percent above March 2009. The median price in the Midwest was $139,300, up 0.2 percent from a year ago. In the South, existing-home sales increased 7.1 percent to an annual level of 1.97 million in March and are 13.9 percent higher than a year ago. The median price in the South was $154,800, up 5.2 percent from March 2009. Existing-home sales in the West rose 6.6 percent to an annual rate of 1.30 million in March and are 14.0 percent above March 2009. The median price in the West was $209,400, down 7.9 percent from a year ago.
Source: National Association of Realtors
Buyers responding to the home buyer tax credit and favorable affordability conditions boosted existing-home sales in March, marking the beginning of an expected spring surge, according to the National Association of REALTORS®. Existing home sales that include single-family, townhomes, condominiums, and co-ops, rose 6.8 percent to a seasonally adjusted annual rate of 5.35 million units in March from 5.01 million in February, and are 16.1 percent above the 4.61 million-unit level in March 2009.Lawrence Yun, NAR chief economist, said it is encouraging to see a broad home sales recovery in nearly every part of the country, with two important underlying trends. “Sales have been above year-ago levels for nine straight months, and inventory has trended down from year-ago levels for 20 months running,” he said. “The home buyer tax credit has been a resounding success as these underlying trends point to a broad stabilization in home prices. This is preserving perhaps $1 trillion in largely middle-class housing wealth that may have been wiped out without the housing stimulus measure.”
Rise in Inventories, Prices
Total housing inventory at the end of March rose 1.5 percent to 3.58 million existing homes available for sale, which represents an 8.0-month supply at the current sales pace, down from an 8.5-month supply in February. Raw unsold inventory is 1.8 percent below a year ago, and is 21.7 percent below the record of 4.58 million in July 2008. “Foreclosures have been feeding into the inventory pipeline at a fairly steady pace and are being absorbed manageably,” Yun said. “In fact, foreclosures are selling quickly, especially in the lower-price ranges that are attractive to first-time home buyers.”A parallel NAR practitioner survey shows first-time buyers purchased 44 percent of homes in March, up from 42 percent in February. Investors accounted for 19 percent of transactions in March, unchanged from February; the remaining sales were to repeat buyers. All-cash sales remain elevated at 27 percent in March, the same as in February.The national median existing-home price for all housing types was $170,700 in March, up 0.4 percent from March 2009. Distressed homes, typically sold at a 15 percent discount, accounted for 35 percent of sales last month – unchanged from February. “With home values stabilizing, a revival in home buying confidence will likely help the housing market get back on its feet even as the tax credit impact disappears,” Yun said.
A Great Time to Buy
NAR President Vicki Cox Golder said buying conditions are in near-perfect alignment. “Even with tougher loan standards, historically low mortgage interest rates with affordable prices and a sense that the market is turning have created optimal conditions in much of the country,” she said. “With the fast-approaching April 30 deadline to get a contract in place for the tax credit, REALTORS® are working harder than ever to negotiate transactions, arrange services and complete paperwork,” Golder said. “Because many repeat buyers need to sell their current home first, many will be purchasing later without the tax credit but now have the benefit of a more buoyant housing market.”According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage dipped to 4.97 percent in March from 4.99 percent in February; the rate was 5.00 percent in March 2009.Single-family home sales rose 7.3 percent to a seasonally adjusted annual rate of 4.68 million in March from a level of 4.36 million in February, and are 13.3 percent above the 4.13 million level a year ago. The median existing single-family home price was $170,700 in March, up 0.6 percent from March 2009.
Regional, Metro Area Performances
Single-family median prices rose in 14 out of 20 metropolitan statistical areas reported in March in comparison with a year earlier. Five metro areas experienced double-digit increases, including San Diego, St. Louis, and Boston.Existing condominium and co-op sales increased 3.1 percent to a seasonally adjusted annual rate of 670,000 in March from 650,000 in February, and are 39.3 percent higher than the 481,000-unit level in March 2009. The median existing condo price was $170,600 in March, which is 0.7 percent below a year ago.Regionally, existing-home sales in the Northeast increased 6.0 percent to an annual level of 890,000 in March and are 25.4 percent higher than a year ago. The median price in the Northeast was $249,800, up 8.9 percent from March 2009.Existing-home sales in the Midwest rose 7.2 percent in March to a pace of 1.19 million and are 15.5 percent above March 2009. The median price in the Midwest was $139,300, up 0.2 percent from a year ago. In the South, existing-home sales increased 7.1 percent to an annual level of 1.97 million in March and are 13.9 percent higher than a year ago. The median price in the South was $154,800, up 5.2 percent from March 2009. Existing-home sales in the West rose 6.6 percent to an annual rate of 1.30 million in March and are 14.0 percent above March 2009. The median price in the West was $209,400, down 7.9 percent from a year ago.
Source: National Association of Realtors
Saturday, April 24, 2010
Susan Botticelli, Broker Opens New Real Estate Business!
With over 15 years of selling residential real estate and land throughout San Diego County, and more than 400 transactions completed, I can legitimately state that I have a wealth of real estate experiences to draw from when representing my clients! As of April 1, 2010 this wealth of experience and the desire to expand entrepreneurial opportunities has lead to the creation of my own real estate brokerage, San Diego Properties Group.
I have been a top producing agent throughout my career. With Coldwell Banker Real Estate I garnered the Distinguished Achievement Award for being the top real estate sales agent as a rookie. After 5 years with Coldwell Banker I moved to One Source Realty to work with a locally owned and operated firm. Monthly sales meetings with One Source Realty honored me as the top listing agent and top sales agent over 5 years of business. Then Keller Williams Realty lured me away to join the La Mesa office and begin the process of opening a Keller Williams office in Mission Valley, San Diego. It was at that time I obtained my broker's license to prepare to become the broker of that office.
I quickly realized it would be an impossible task for me to continue to serve the needs of my loyal clientele and be an effective broker of this new office, and be a great mom and single parent to my daughter Stefani and my son Andrew. I decided to keep my focus on selling real estate rather than managing a multitude of agents. I loved working with Keller Williams from the standpoint of that company's ethics and multilevel training programs. As with working with any company though, a successful business relationship is formed by staying within the companies corporate box and there are restraints on how you run your business.
My own brokerage, San Diego Properties Group, is a real estate services company providing expert guidance in the sale and purchase of single family homes, condos, investment properties and land. With California real estate values at a low point over the last 3 years, investors are acting on the opportunities to place their dollars in tangible assets like real estate. First time buyers have turned out in great numbers to take advantage of the available $8,000 tax credit for purchasing a home. Families who have outgrown smaller homes are now buying larger, newly built homes at lower market prices with their own tax advantage of $10,000 in tax credits.
Another focus of San Diego Properties Group is helping clients work through financial problems of the current economic downturn. New government programs are beginning this month to assist homeowners with modifications of their mortgages through the Home Affordable Modification Program (HAMP). This program is designed to assist homeowners with retaining their homes through a modification of their existing loan terms. For those who are unable to retain their home another program called Home Affordable Foreclosure Alternatives (HAFA) has been created to provide incentives for short sales and deed-in-lieu of foreclosures. Both government programs are focused on making the quagmire of steps required for successful loan modifications or short sales simpler. San Diego Properties Group has the experience of short sales helping homeowners get relief from burdensome property debt.
San Diego Properties Group not only handles transactions throughout San Diego County, but is also networked with other brokers and real estate companies across America in order to provide relocation assistance. My clients who need to sell their homes in San Diego County, in order to make a job-related move to other states, find that I can provide the services they need to make this transition as smooth as possible. With the network of agents in other cities and states I have created, I can research which real estate companies, but specifically which agents or brokers, have the expertise to best help them find the perfect replacement home.
Having lived in the community of Rancho San Diego in the East County for 15 years I have focused on making my community a better place to live and given back to the community in many ways. As a board member with the Cottonwood Homeowner's Association I saw the problem of this group dwindling away which resulted in it's dissolution. I have worked to bring back a sense of community by holding neighborhood meetings to discuss ways to monitor crime, improve the maintenance and use of parks and open spaces, as well as hosted parties in the parks and annual neighborhood garage sales.
My website http://www.ranchosandiegolifestyle.com/ has become a great source of information on community developments as well as a place where neighbors can network with each other. The monthly email newsletter is read by over 1,000 residents each month. The website provides neighborly referrals for business owners, updates on new companies and business in the community, real estate articles with data on changing values and trends, a job search site and lots of articles for homeowners.
As a board member for the East County YMCA I have worked for many years raising funds and helping to guide decisions on building and operating the new McGrath Family YMCA just open in April 2010. This state-of-the-art facility offers a much needed community site for families and individuals of all ages to gather for exercise, sports leagues, youth programs, senior social activities and other community based programs. This year I will co-chair the 16th annual fund raising event The Branding where over 600 area residents and companies will turn out for an evening under the stars and the shadows of this new facility to raise funds for this new facility
East County YMCA supporters have raised $8 milllion so far to fund this building project which is debt free! The facility includes the Tuttle Indoor Soccer Field, the Scott Mc Donald Baseball Field, the Dallas Pugh Gymnasium and the Hendrix Youth Center. An additional $3 million is being raised to build three pools at this site. Supervisor Dianne Jacob has committed to building a signature East County pool complex here which will include a kiddie splash pad, a 25 meter indoor pool and a competition pool. A total of $500,000 has been donated so far to build this pool complex. Contact Susan Botticelli at 619-441-8473 to discuss donation and naming opportunities and how you can participate in making this dream become a reality!
For more information on our changing real estate market, or to talk with Susan about selling or buying real estate, contact her at 619-441-8473 or email at sbotticelli@att.net today!
Friday, April 23, 2010
McGrath YMCA Ribbon Cutting Ceremony
Tears of joy and celebration flowed on April 7th, 2010 as over 400 Rancho San Diego residents, contributors and supporters welcomed the first YMCA kids into this state-of-the-art facility located on Campo Road and Jamacha. Basketball games, exercising on the new equipment, food and music were enjoyed by all.
What a gift to our community this $8 million facility is. Look for three pools to be built soon as promised by Supervisor Dianne Jacob.
Schwarzenegger signs Short Sale Bill SB401- Forgives CA Taxes on Short Sales
Governor Arnold Schwarzenegger has signed CA Senate Bill 401 into law, which conforms California tax law with Federal tax law on debt forgiveness from short sales and foreclosures on a primary residence.
Governor Schwarzenegger made the following the statement:
“”This legislation is a great example of what we can accomplish when we work together to solve problems that affect Californians, and I applaud Senator Lois Wolk, Senator Ron Calderon, Assemblymember V. Manuel Perez and Assemblymember Anthony Portantino for their work. It is important that we continue to provide all possible assistance to homeowners who were negatively impacted by the mortgage crisis, and this bill will provide them with necessary mortgage debt relief and protect them from thousands of dollars in unfair taxes,” said Governor Schwarzenegger. “SB 401 will also help promote the growth of renewable energy projects in California by providing tax assistance to businesses to get their projects of the ground, which is good news for our economy.”
Governor Schwarzenegger made the following the statement:
“”This legislation is a great example of what we can accomplish when we work together to solve problems that affect Californians, and I applaud Senator Lois Wolk, Senator Ron Calderon, Assemblymember V. Manuel Perez and Assemblymember Anthony Portantino for their work. It is important that we continue to provide all possible assistance to homeowners who were negatively impacted by the mortgage crisis, and this bill will provide them with necessary mortgage debt relief and protect them from thousands of dollars in unfair taxes,” said Governor Schwarzenegger. “SB 401 will also help promote the growth of renewable energy projects in California by providing tax assistance to businesses to get their projects of the ground, which is good news for our economy.”
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