San Fernando Valley Real Estate

2007 N. 6th in Burbank is sold, we think.*

noreply@blogger.com (Judy Graff) — Sun, 29 Jan 2012 17:19:00 +0000

The serious fixer property that I listed in the Burbank hills sold in a last-minute bidding war on Wednesday. I never thought it would happen. It has been listed since November. Although we had many all-cash offers from qualified buyers, we didn't get close to the price the sellers would accept until last week.

Then, the activity got heated and there was a lot of drama. Potential buyers began to bid against each other in small increments. Seventy emails were sent and received about the offers on Wednesday a.m. alone. Old offers rose from the dead. Some players withdrew their offers and left the playing field only to reinstate their offers later in the day. Friendships and professional relationships were skewed (well, mine with some of the other agents). Buyers were unhappy. Sellers were unhappy. There was weeping, wailing and gnashing of teeth (okay, I'm exaggerating). But at the end of the day, it sold for a price acceptable to the sellers and buyer, and we all either drowned our sorrows or celebrated, or both.

*This is a probate and all heirs (there are several) need to okay this. They probably will, but you never know. Stay tuned.

I predict the short-term future of the local real estate market

noreply@blogger.com (Judy Graff) — Wed, 25 Jan 2012 01:13:00 +0000

Although I don't have a crystal ball, I think we're in for a strong first and second yearly quarters, as far as San Fernando Valley and Los Angeles real estate goes. Why do I say that? It appears that buyers are coming out of the woodwork. There's a nexus right now between low interest rates and lower-than-in-recent-memory home prices and short inventory. Everything is going into multiple offers. There are lots of cash buyers out there. Plus, I think that potential buyers may just be tired of sitting on their hands and may be feeling a little more confident than they have in the recent past. I wouldn't be surprised to see prices go up before the summer. We'll see...

Yet more info on Southland property flippers

noreply@blogger.com (Judy Graff) — Wed, 18 Jan 2012 21:51:00 +0000

I've been posting about flipped properties lately, and here's more info and statistics about that very thing from today's L.A. Times. The short of it: investors, most of whom are likely property flippers, are crowding the low end of the market. The title should link; if not, click here. Some salient quotes:

"The one thing that is certainly true at the moment — because rents are rising and house prices are flat or falling — is yields on houses are pretty good right now," said Richard Green, director of the USC Lusk Center for Real Estate. "It creates a problem for ordinary people, because a lot of investors are buying with cash, and so cash buyers can buy for less money." So if it seems like there are no inexpensive homes on the market, that's why.

And "...buyers who paid all cash purchased 29% of all Southland homes in December." Statistically, many of those cash sales were in the middle- and high-price catagories, too. I am constantly amazed by how much cash is out there.

And, perhaps the most important stat of all: "Nearly 1 in 3 homes sold last month on the resale market was a foreclosure and about 1 in 5 was a short sale."

The article also discusses price declines in December, but that usually happens at the end of the year. My take-away is good and bad. Obviously, even though there should be great deals on properties out there, the competition for true bargains in all price catagories is fierce and cash is king. The good news for regular buyers is that many/most of these investors are doing some very nice rehabbing of properties. They are spending their cash on the fixes needed so you can spend yours on your mortgage -- and tax deduction.

I think I need to start going to foreclosure auctions.

Real estate word for the weekend: flip

noreply@blogger.com (Judy Graff) — Tue, 17 Jan 2012 01:39:00 +0000

I showed property all over the San Fernando Valley this past weekend. It seems that just about everything I saw was a professionally rehabbed home. And they were mostly nicely done, too. The one above is on Buffalo, just south of Chandler, and it's already in escrow. The other noted trend: most of the flippers are also real estate brokers with their own companies -- no longer are these groups of flippers giving their properties over to large real estate brokerages to sell, they are creating their own companies and selling the properties themselves. Back to the rehabbing: all in all, I think it's a good trend -- most buyers today have neither the time nor money to fix a home after they purchase it.

Cutest house of the week, in Echo Park! But my clients didn't get it. Bah.

noreply@blogger.com (Judy Graff) — Fri, 13 Jan 2012 20:04:00 +0000

This is 1801 Bellevue in Echo Park and it's the cutest house I saw this week. It's a rehab/flip, and it's adorable. It has 3 beds, 2 baths, a den, a separate studio, and an oversize garage plus a front and back yard. It also has been really well-staged, and I'm crazy about good staging. I know that some people don't care for Echo Park, but this street feels really safe -- it's a cul-de-sac at both ends. Recently, the community has attracted many buyers who like both the traditional family housing stock and the urban feel. Plus, the city is re-doing Echo Park Lake.

Enough about how great this is. Here's how our transaction went. Or didn't go. The house was listed at $499k. It received 10 offers right away. One was from my very well-qualified buyers. Unfortunately, the bidding went up to (and maybe passed) $550k and the sellers took another offer. Damn. Damn. Damn. My buyers are disappointed but will live to fight another day. I'm disappointed, too -- this is something I would have bought if I were (much) younger and wanted the neighborhood!

Cheaper to buy than to rent? Just about...

noreply@blogger.com (Judy Graff) — Thu, 12 Jan 2012 22:32:00 +0000

With interest rates down to 3.85%, it may be cheaper to buy -- yes, including property taxes and insurance -- than it is to rent. Some clients of mine have made an offer on a $525k home. They are putting 20% down, and their lender has given them a rate of 3.85% with no points. Unheard of. Their lender's estimate showed that their monthly nut, including property taxes and insurance, will be $2500 plus change. This is for a redone 3+2 with a separate studio! Considering that barely decent 2 bedroom homes are renting for around $2k, could the housing market turn around this spring?

Seen in Echo Park: this tree! What is it?

noreply@blogger.com (Judy Graff) — Tue, 10 Jan 2012 03:56:00 +0000

I showed property in Echo Park yesterday and spotted this tree. What is it? A poinsettia tree? Whatever it is, it's beautiful. Yes, Echo Park is still a bit edgy but it's coming around. I wanted to buy the rehabbed property I saw with my buyers -- it was that cool, and staged perfectly -- I'll publish the pic and address once I know whether or not my clients want to make an offer on it.

Best performance by an actor playing a Realtor - the Oscar goes to Matthew Villard!

noreply@blogger.com (Judy Graff) — Sat, 07 Jan 2012 00:28:00 +0000

Have you seen "The Descendants" yet? The Realtor character was so accurate that it had me both horrified and laughing at the same time. The actor's real name is Matthew Villard. He has the high-end salesman with the 1000-watt phony smile down cold. Congrats, Matt. I have another biz in mind for you in case the acting thing doesn't work out for you.

About our next favorite thing after real estate: Food! And what's the best Mexican restaurant in the SFV?

noreply@blogger.com (Judy Graff) — Thu, 05 Jan 2012 18:08:00 +0000

Are you thinking about food when you're not thinking about Southern California real estate? Today's L.A. Times Food section has a great article about the best smaller, ethnic food places in the L.A. area. Note how many are in the San Fernando Valley! Title should link; if not, click here.

Along these lines, does anybody know of a really good Mexican food place in the east SFV besides Don Cuco's and Mucho Mas? We went to El Cholo in Pasadena the other day but it has become very corporate.

Happy New Year! Where do you stand on the great home buyer/seller divide?

noreply@blogger.com (Judy Graff) — Sun, 01 Jan 2012 20:24:00 +0000

I hope 2012 is a great new year for us all! To start the new year off right, here's an article about a study of the divide in expectations between home buyers and sellers. It appeared in today's L.A. Times; the title should link but if not click here. The article starts out this way:

"Where do you side in the great real estate buy-sell divide of 2012? If you're a homeowner considering selling sometime in the new year, are you apprehensive that you won't get the price you need or want, and therefore it's possible you won't even try to sell? If you're a buyer, do you agree that with 30-year fixed mortgage rates now below 4% and home prices near cyclical bottom in many areas, 2012 offers extraordinary opportunities, even if listings are fewer than you might prefer?" Boy, that certainly hits the nail on the head. In my experience, the sellers' sentiment is extremely common.

The article also states, "Many owners "have not adjusted their price expectations downward" to keep pace with local declines in property values after the mortgage bust." I'll say. But in fairness, many owners can't go down much on price without being upside-down, either.

And here's a final take that I'm seeing more and more of: "...agents sometimes walk away from unreasonable listing price demands, but they also use a technique that seeks to bridge the seller-buyer divide: pre-authorized price reduction clauses in the listing contract that ratchet down the asking number."

In your opinion, what was the best and worst real estate trend of the year?

noreply@blogger.com (Judy Graff) — Thu, 29 Dec 2011 23:53:00 +0000

Friends and fans, what did you think about real estate this year? Short sales and foreclosures: too much, not enough? Real estate prices: too high or too low or just right? Real estate agents: too many, too few, too dumb? The real estate market in general: good, bad or indifferent? I'll post my bests and worsts in the next few days.

The short sale on Verdugo in Burbank has closed, and my nightmare is over.

noreply@blogger.com (Judy Graff) — Wed, 28 Dec 2011 19:18:00 +0000

Well, okay, 2012 W. Verdugo in Burbank wasn't really a nightmare, it was just a typical short sale. Took way too long, involved a bitter divorce, a seller that wouldn't commit to moving, a loan that was sold at the last minute, etc. etc. Kudos to our buyer, George, for hanging in for six months. Thanks to everybody who expressed interest in the house.

Cougar Cubs in Burbank

noreply@blogger.com (Judy Graff) — Wed, 21 Dec 2011 19:02:00 +0000

Two baby mountain lions were found in Burbank this week (their mother obviously wanted to raise them in a neighborhood with excellent schools), and are now safely ensconced in a wildlife rehab facility. Title should link; if not, check the L.A. Times story here. These poor babys hadn't eaten in quite awhile, so the mother is presumed missing or dead. Somebody was hitting these poor little things with a broomstick, which makes me want to hit whomever was doing it with a really big broomstick. Note to all wildlife in the San Fernando Valley: I may not take you into my home, or feed you, but I won't hurt you and promise to call the wildlife rehab folks for you, and I hope every other human will do the same.

Love Tudor-style architecture? Check out my pocket listing in Burbank

noreply@blogger.com (Judy Graff) — Sun, 18 Dec 2011 18:15:00 +0000

This beauty is just as adorable inside as it is outside and yes, it's for sale but not on the multiple listing service. And it's huge: 4 bedrooms, 2.5 baths, guest house with 3/4 bath (permitted as rec room), basement, built-out loft, and about 2900 square feet. Other features include hardwood floors, newer dual-zone a/c and heat, formal dining room, updated bathrooms, tons of storage space, fireplace, country kitchen and fabulous hillside neighborhood. Asking $780,000; please call me for a private showing or more info. I'll have more pictures in January.

More drama on the Verdugo short sale, or why is BofA still selling toxic junk?

noreply@blogger.com (Judy Graff) — Sat, 17 Dec 2011 18:44:00 +0000

Just when I thought the short sale on 2012 W. Verdugo, Burbank was finally going to close, we had another crisis this week.

Backstory: Lender Dana Dukelow had told me the following story: he had funded a loan on a short sale, and it was about to close, when the title company discovered that the lien/loan was no longer owned by the bank that had approved the short sale on the property. That bank was BofA.

Why is this important? Because there is no longer a valid short sale approval since the original approving bank has nothing to do with it anymore. The transaction can’t close until – and if – the new bank approves it. People are trying to move, their cash is tied up, etc, etc.

Dana’s story alarmed me and I decided to check on Verdugo’s BofA loan. (Citimortgage owns the second loan; it too has been approved for short sale.)

Sure enough, it showed that BofA sold this non-performing loan to HSBC on November 4, 2011, several days before BofA issued the short sale approval – on a loan they no longer owned.

We all were running around with our hair on fire. I spent several hours on the phone, and so did the short sale negotiator and escrow officer. There was no record of the loan at HSBC (just so you know, HSBC’s customer service is very spotty). BofA had no record of the loan being sold, although it had recorded as such at the county recorders.

The story has a happy ending due to a series of coincidences. Turns out that BofA is the servicer of HSBC/Merrill Lynch loans. So their guidelines meet HSBC’s guidelines, and the original approval still stands.

We are some of the lucky ones. Other Realtors that I’ve talked with are in limbo/hell on their BofA transactions. One was told by BofA, “We sold 9000 Freddie Mac loans and are behind on our coding.” Great, just great. So while the bank processes paperwork, buyers and sellers are sitting on boxes, holidays are ruined, foreclosures are proceeding, etc.

Okay, I’m not so savvy on the inner workings of high finance, but this brings up another question: why are the banks selling these ~~toxic assets~~ underperforming loans to other banks? Who benefits?

And yes, we're on for a 12/23 closing. Please cross your fingers and hold your breath.

Is the Burbank Board of Realtors tone deaf? Or are they really secret members of the 1%?

noreply@blogger.com (Judy Graff) — Fri, 16 Dec 2011 22:00:00 +0000

I received the above engraved invitation to the annual Burbank Board of Realtors installation dinner. WTF? Lakeside Country Club? Black Tie? Big Band? Really? For Burbank, which is not exactly the hoity-toity-est of cities to begin with? Is this appropriate in this economic environment? When we're in the middle of a recession and most of our seller clients have lost 10-20% of the value of their homes? And our buyer clients can't afford to buy no matter how low interest rates are? No wonder there's such a downward pressure on the Realtor commission structure.

Thinking about moving to get your kid in a great LAUSD school? Read this first.

noreply@blogger.com (Judy Graff) — Wed, 14 Dec 2011 18:06:00 +0000

This appeared on the editorial page of today's L.A. Times, and describes -- sort of -- the point system that's used to select children for the "better" LAUSD schools. Yikes! I'm glad that I have cats instead of children.

Burbank real estate in the 1950's - check out this photo!

noreply@blogger.com (Judy Graff) — Tue, 13 Dec 2011 21:23:00 +0000

OMG, who were Funk and Thielbert? And check out the prices! The only thing that's the same as now is the sidewalk.

Check out this beauty in Burbank

noreply@blogger.com (Judy Graff) — Tue, 13 Dec 2011 01:38:00 +0000

Former clients Anika and Todd are in the process of giving their Burbank house a facelift. They've pulled out some old landscaping (new landscaping is on the way), painted the door, porch and trim, removed the porch overhang, installed the planter boxes, etc. Here are the adorable results (picture is crooked because I had too much coffee). I'm envious of their design talent and will be excited to see their additional renovations.

Home owners association meetings -- what really happens

noreply@blogger.com (Judy Graff) — Fri, 09 Dec 2011 19:39:00 +0000

Have you ever wondered what goes on at an HOA meeting? I bet you think it’s all wonky budget review and discussions of how to beautify the complex over coffee and cookies. Good laughs all around and concensuses reached, right? Think again. Here’s an edited version of our complex meeting last week. Names changed to protect the ~~inane~~ innocent.

President: We need to discuss upcoming repairs.

Interrupter #1: The hot water is too hot.

President: That’s because we just had the recirculating pump replaced. Remember when we had no hot water at all?

Interrupter #2: I never noticed; I only take cold showers.

Interrupter #1: The hot water is too hot. A toddler could get burned (Note: no toddlers live in the complex)

President: The stolen metal garage grates need to be replaced and we have quotes here.

Interrupter #1: Let’s just get plastic grates made and painted to look like wood, sort of like they do at Disneyland. Cars can roll over plastic grates, right?

Interrupter #2: We need to put up fake security cameras so nobody will steal them again.

Vice President: But people still steal from 7-11 all the time and they have real cameras.

Interrupter #3: I have a “sniper” sticker on my car and an NRA sticker in my window.

Interrupter #4: What kinds of guns do you have? (Long digression about preferable guns ensues. Several residents appear to have a survivalist streak and we all discover that the complex is extremely well armed).

Interrupter #2: The dumpster area is too dark and I can’t take out my trash anymore.

Vice President: There are several hours of daylight every day wherein you can take out your trash.

Interrupter #2: We need a better light over the dumpster.

President: I’ll have the management company get a quote. Now, back to the grates…

Interrupter #1: We have a lot of new bugs around. It’s probably because nobody is taking out their trash because the dumpster area is too dark.

President: What do the bugs look like?

Interrupter #1: They are long green things with many legs. They look like centipedes, but are not. They are probably here for the garbage.

Vice President: Those are caterpillars. They will turn into butterflies and fly away, and it will be beautiful, just like in the 1960’s…

Interrupter #2: Somebody peed on the garage gate.

Interrupter #1: It was probably a coyote.

Interrupter #2: No, it was too high up for a coyote. I’m tired of the building being attacked. We need fake security cameras…

The meeting went on just like this for another 30 minutes. The interrupters continued to interrupt, but eventually repairs were discussed and a sort-of consensus was reached. Stay tuned for next month’s updates from our complex. Here’s hoping all HOA members either bone up on Roberts’ Rules of Order before then or take their meds.

Major price reduction on 2007 N. 6th, Burbank

noreply@blogger.com (Judy Graff) — Thu, 08 Dec 2011 17:29:00 +0000

Big news: 2007 N. 6th Street in Burbank has just had a price reduction to $450,000. That's down from $485,000, folks. We received several all-cash offers -- this is a serious fixer and won't qualify for a loan -- but they were all lower than what the sellers want to take. Some details about the house: it's a 3 bed, 2 bath, 1712 sf, on an 8989 sf. lot. It's in a great neighborhood and has a lot of upside potential. But it is a serious fixer and not a DIY project. Do you know anybody that would like to live here and is a contractor?

Lowest price and highest price active listings in Studio City, Sherman Oaks, Valley Village and Toluca Lake

noreply@blogger.com (Judy Graff) — Wed, 07 Dec 2011 20:48:00 +0000

Thanks to our manager, I have the stats on the lowest and highest prices for homes for sale in Sherman Oaks, Studio City, Valley Village, and Toluca Lake as of this day. These are all active as of today, and it lumps condos and single family homes together. Sorry, Burbank, no stats for you right now:
Sherman Oaks lowest home price: $329,923
Sherman Oaks highest price: $2,495,000

Studio City lowest price: $489,000
Studio City highest price: $10,000,000

Valley Village lowest price: $379,000
Valley Village highest price: $1,595,000

Toluca Lake lowest price: $525,000
Toluca Lake highest price: $8,299,000

OMG! The 2012 W. Verdugo, Burbank short sale is fully approved!

noreply@blogger.com (Judy Graff) — Wed, 07 Dec 2011 19:49:00 +0000

We received the short sale approval from the 2nd lender today! Yay! This will close at the end of December. It's the longest short sale I've ever been involved with and has taken nearly six months for both approvals -- and that's with an outside negotiator. More details to come.

4604 Norwich in Sherman Oaks closed yesterday at $592,000

noreply@blogger.com (Judy Graff) — Thu, 01 Dec 2011 23:02:00 +0000

4604 Norwich in Sherman Oaks closed yesterday for $592,000. It was listed at $550,000. We had six offers in the first week from qualified buyers and the lowest was $565,000. Although that sounds like it was probably an easy-peasy deal for me, it had serious challenges all the way through. I blogged about the weird appraisal earlier and may expand on that some day. Other issues: there was no money in the HOA reserves -- this was my very first time dealing with that, and we had to come up with ways to get it funded. Oh, the list goes on. As I said, I may blog more about this in the future.

How can I use catvertising to promote my real estate services?

noreply@blogger.com (Judy Graff) — Thu, 01 Dec 2011 04:18:00 +0000

The burning question on my mind...how to use cats in my advertising?