At first it looked like the price point that was affected the most are the homes in under $750,000. But, our office is seeing more activity in the over million dollar range. The number of new pending sales is up by 13% compared to 2011.

What is causing this increase in demand? Three reasons in my opinion.

1.I believe people realize we will not see lower interest rates than now and it won’t last forever!

2.. Prices could very well be at the bottom.

3. Rents have gone up over the last several years and it just makes sense to buy now.

Right now there is very low inventory, so if you are thinking of selling you may want to look seriously at this current Spring market time. Of course, the reasonable thought would be “Well that means prices should be going up…. hold on!” Well there is no data supporting that idea. Buyers today are very cautious, they study the last sales and are not willing to overpay at all! Sorry to disappoint homeowners but do not read this as an opportunity to cash in on a higher price, it will not work this time!

Let’s face it, there are still high unemployment numbers and consumer confidence is still weak. Also, there is the concern about the “shadow inventory” that we have been hearing about for years. Shadow inventory is the term describing homes not currently on the market but are is some kind of loan distress. They may be in a pre-foreclosure or homes that have already been foreclosed on but not on the market yet.

This could be due to the number of sellers now trying to “short sale” their home. Short sales are the homes in which more is owned on the home than what the home is worth. Short sales tend to keep the pricing down also.  Anyway you look at it, it is a complex real estate market!

If you are a buyer still thinking about it get off the fence! You will most likely never see a better time! If you are thinking about selling now may be the time to move forward.

Call me and we can discuss the current dynamics in the market and review the current trends in your neighborhood. I’m happy to chat with no obligation. Sometimes it’s just important to know what your options are!

Watch for the newest micro market reports on my web page. Our tech people are working frantically to get us the newest data on what is happening compared to this time last year!

Linda

This 3 bedroom, 1.75 bath home is meticulously remodeled with GREAT taste & all the right touches. Move in condition is often used to describe homes in real estate, but it’s SERIOUSLY true about this gem!

Walk into the living rm with the vaulted ceilings, custom paint, crackling fireplace & a spacious dining area.

Keep walking on the diagonally laid tiles to the GOURMET kitchen with a large granite island with seating for 3, stainless appliances & rich maple cabinetry. A family room area is located off the kitchen & boasts high cathedral ceilings & lots of natural light.

The spacious master bedroom has a private bathroom featuring a separate vanity, a light & bright shower w/glass enclosure, shampoo nook & gorgeous pebble flooring. The hall bath has also been tastefully remodeled with neutral tilework, a glass enclosure & upgraded vanity.

Other great touches include ceiling fans, newer vinyl dual pane windows & sliders, speakers wired for sound throughout home, 6 panel doors, two tone paint, & on & on.

Currently listed at $439,900, and is located on 5930 Camino Correr in Anaheim. Please give me a ring at 714-906-3061 if you would like a private tour!

Linda

TAX RELIEF ON MORGAGE DEBT FORGIVENESS ENDS IN 2013 SO HURRY!

Although the 2007 law that allows taxpayers to exclude from income the amount of debt that is forgiven or canceled by their lenders doesn’t expire until Dec. 31, it’s likely to take every bit of the next 11 months for financially troubled homeowners to persuade their banks to either foreclose or allow their houses to be sold for less than they are worth.

Under the tax code, borrowed money need not be reported as income because you have an obligation to repay. But if the lender subsequently cancels what you owe, the IRS requires that you report that debt as income because the duty to repay it no longer exists.

So, if you owe $250,000 and your lender forgives $50,000 of that debt in a $200,000 refinancing, that $50,000 is considered income. If your combined federal and state marginal tax rate is 36%, you would owe $18,000 in taxes.

Under the Mortgage Forgiveness Debt Relief Act of 2007, though, taxpayers are allowed to exclude from income the discharge of debt on their principal residence — at least until 2013.

So when your lender agrees to a short sale, there is no tax on the difference between the selling price and the amount you owe. When your lender forecloses, there is no tax on the canceled debt. Even when you refinance at a lower loan balance, there is no tax on the difference between what you owed on the old loan and what you owe on the new one.

But unless Congress extends the law — and there is no indication lawmakers are even thinking about that — all residential mortgage debt relief that takes place on or after Jan. 1, 2013, will once again be considered taxable income.

Why worry about this nearly a year before the law changes? Because the timelines on debt forgiveness decisions by lenders are absolutely horrendous.

According to a nearly year-old survey by Equi-Trax Asset Solutions, a Santa Barbara analytics company, it can take four to nine months for underwater borrowers to persuade their lenders to sign off on a deal in which the lender will net less than what the borrower owes.

There are many factors besides a tax break to consider when deciding whether to give up your house. What will a foreclosure or short sale do to your all-important credit score? How long will you be precluded from buying another house? Will the extra income push you into a higher tax bracket?

As always when it comes to such matters, you should consult a tax professional before making any decisions.

For a complete version of this article, go to http://www.latimes.com/business/realestate/la-fi-lew-20120129,0,7465348.story.

Not only do they have a full marathon and a half marathon, but they also have a kids run, surf bands, great food, a beer garden and a great beachside expo the entire weekend.  Pacific Coast Highway is actually shut down for a large portion of the race, so don’t plan on any beach cruising this weekend!  It’s a fun local event to attend.  So think about having some breakfast down on Main Street and then walking down to see what all the fuss is about.

This remodeled home is located on a cul-de-sac & will exceed your expectations! Walk up the gorgeous stone driveway, thru the double entry doors, & into the newly tiled entryway. Make your way around the corner to the gourmet kitchen. It will seriously knock your socks off with granite counter tops, rich cherry wood cabinetry, all black appliances & beautiful tiled floors. It’s rich and warm & would be a pleasure to cook in.

The dining room is large & has room for a large table & buffet. It’s located off of both the living room and kitchen, so it’s great for entertaining! Also don’t miss the inviting living room with a crackling fireplace.

The master bedroom shines with lots of natural light & boasts a private bath with a tastefully remodeled shower & large vanity. A large permitted patio enclosure adds approx 561 sq. ft to this home.  It features a bar (with a refrigerator) & built in cabinetry. It could be family room, bonus room or game room. The possibilities are endless.  It’s insulated and even has air conditioning units to keep you cool in the summer. Total sq. footage of home is approx. 2369 sq. ft.

Step outside into the luscious landscaping in the backyard with lots of palms & a cascading waterfall feature. Plus a stone covered patio & even a miniature putting green!  At night it’s like you are in your own private oasis!  All very professionally & tastefully done.  

The home is currently listed at $633,500.  The address is 9189 El Tango Circle, Fountan Valley, California, 92708. If you can’t make it to the open house, feel free to contact me at 714-906-3061 for a private tour!  For more pics and detailed information go to www.9189ElTangoCircle.com

Linda

Curious if 2012 will be the right year for you to buy a home (first or not)? Why not use the new year as an excuse to meet your home buying goal! Here are some things you’ll need to do to set yourself on the right path!

1. Check your credit. PLEASE…..don’t delay doing this! You will be happy to avoid a surprise problem on your credit DURING a real estate transaction. Do it BEFORE it causes you to loose that dream home. You can catch and correct the score-lowering errors and other derogatory items while you still have time on your side.

2. Talk to the REAL ESTATE pros BEFORE you look at ANY homes!
If you don’t already have your realtor picked out, now is the time to get on the horn or drop an email or Facebook message to your circle of contacts, asking them for a referral to a broker or agent they love. Check out their references, have a face to face meeting and find out how they like to work. There can be a huge difference in realtors and you need to have a professional who you not only can work with but will fight for that dream home for you!

3. Talk to the MORTGAGE pros before you look at any homes! can read a bunch of You can learn a lot about mortgages on line and get yourself pretty far down the path toward qualifying for a home loan, but you can only get a personalized action plan for a smooth road ‘home’ by talking with a local mortgage broker and having them assess your basic financials. They might say you need to move funds around, pay a bill down or off or produce some sort of documentation from your employer. And the time to start all that is now.

I would LOVE to be part of making your home buying dream a reality. Feel free to call or email me if you are ready to make that move!

Linda

 I also wouldn’t be able to make it happen without the loan officers, escrow officers, title officers and of course an office staff that is outstanding.  Their support is essential in making a well oiled machine pull off some really difficult real estate transactions.  Of course my better half, also known as my husband makes it all possible also.  I’m a lucky person too have such amazing support.

Thanks everyone and I am looking forward to what surprises and events the new year brings us all!

Linda

This stunning contemporary property is walking distance to the beach, shops and restaurants. It’s a 3 bedroom 4 1/2 bath home and is approximately 2875 sq. ft.

Totally remodeled throughout… new carpet, designer paint. Gourmet kitchen with state of the art Viking appliances, wine cooler, custom cabinetry and granite countertops. Travertine floors, pre wired for security, internet and TV system. Spacious master with fireplace and 3rd floor loft with private bathroom. Beautiful ocean view from balcony.

Located at 221 20th St, Huntington Beach, CA 92648. Asking $1,080,000.

Linda