The foreclosure clean-up. Interesting Insights.......
0 Comments Published by Brian W. Barringer on Monday, May 05, 2008 at 3:01 PM.
$7,000 tax credit for those who purchase — and plan to live in — foreclosed homes.
$25 billion in tax relief over three years for banks and home builders.
$4 billion in grants for communities to buy and fix up abandoned homes.
from the wsj.com
The $7,000 tax credit is an incentive for the market to respond. It will inspire qualified buyers to get off the sidelines and enter the market. It will allow us to replace loan defaults with good mortgages, helping to stabilize housing prices for all homeowners. The tax credit for homebuyers worked in 1975 and it will work again today.The Senate, by a 82-12 vote last week, approved $15 billion Foreclosure Prevention Act of 2008 that recently passed the Senate. Once approved by Congress and the President you will be able to take a $7,000 tax credit with the purchase of EACH foreclosure property acquire.
Sen. Johnny Isakson (R., Ga.)
Washington
Here is a link to a great Q&A format article regarding what the goverment is currently working on. AP Associated Press:
Questions, Answers About Housing Crisis
By TOM RAUM – Apr 12, 2008
WASHINGTON (AP) — The Bush administration, Congress and the Federal Reserve are moving on separate tracks to calm troubled housing and financial markets and to help distressed borrowers. The three presidential candidates have weighed in, too.
Some questions and answers on the crisis, what has been done so far and the additional help that may be on the way.
Q: How did things get so bad?
A: Tumbling house prices have left many borrowers owing more on their homes than the homes are worth. With little or no home equity, these borrowers cannot refinance. That means higher payments for people with adjustable-rate mortgages. Among those who are facing foreclosure or who have lost their homes are many borrowers who had questionable credit histories and who obtained risky subprime loans.
Rising defaults have contributed to a credit squeeze that has spread throughout the financial system. That has made it harder on first-time home buyers and people seeking to refinance. It also has affected a range of financial transactions from business borrowing to student loans.
Q. What is the government doing to help? READ ON.......
Interesting Insights From NuWireInvestor.com.......
The $7,000 credit makes foreclosures more affordable as long as investors are willing to use the home as a principal residence for two years. Once those two years are up, investors could sell or rent the property for a profit. The other positive effect that this credit could potentially have is on the market itself. Foreclosures drag down the values of other homes in the vicinity, but with this incentive in place, it is likely that more buyers will purchase foreclosed properties. This, in turn, could raise the values of other homes in the area. Investors with existing real estate investments in areas devalued by foreclosures could stand to benefit as a result. READ THE FULL ARTICLE....
Brian Barringer
Tracy Real Estate Market Report for May 2ed 2008
0 Comments Published by Brian W. Barringer on Friday, May 02, 2008 at 4:12 PM.
ACTIVE Status:
Total # of Residential properties for sale in the city of Tracy: 809
854
# of REO (foreclosures): 319
328
# of Short Sales: 332
346
Average # of days on market: 87
87
The Median price of all Homes for sale in Tracy: $305,000
The Average price of all Homes for sale in Tracy:
$348,734
Lowest priced home: 1bd/1.ba/502 sq.ft/$100,000
Highest priced home: 7bd/6ba/5000 sq.ft/$1,949,900
Pending Status
# of properties currently under agreement: 334
299
# of REO: 269
225
# of Short Sales: 46
45
Average pending price: $312,102
$322,227
Avr. pending home is 4bd, 3ba, 2089 sq.ft at a price $322,102 and 61 days on the market.
SOLD Status:
Residential property sold over previous 30 days:
112 homes or 35,913,463 in sales
69 homes or $23,666,252 in sales
REO's Sold in last month: 93
54
Average sale price: $320,178
$342,310
Median sale price: $327,444
$350,557
High: 629K (5/5bd 3782 sq.ft home).
Low: 140K (810 sq.ft home)
Summary:
We are now deep into our foreclosure market. The banks have caved on there prices and are now successfully moving there inventory. One trend we are seeing is the banks are giving concessions to buyers as much as 6% of the purchase price, 3% toward closing costs and 3% toward buyers down payment. That makes it possible for a first time buyer to buy a home with a 97% loan. Also one thing we always do for our buyers is negotiate the bank paying all title fees. This is because the banks want to choose there own overpriced title company in a different state. Now a days the banks are making it so that you can buy a foreclosure with no money out of your pocket.
Another change in the market is the amount of offers received on each property. This is because of the simple fact that the pool of buyers in Tracy has increased two fold. There seems to be 3+ offers on each Xtreme home and they are usually getting bid up, so we think the days of making and getting a low-ball offer excepted are over for now.
One reason is because most of the overpriced REO's are at that price because they are not willing to sell at market value price. They want to spend a few months fishing for that imaginary buyer that is willing to pay over appraisal, is that smart? Just like regular sellers there are some people who are wishing and hoping. In this case they are hoping to IMPRESS there BOSS at the fact that they can get a higher price than the market allows. Well just as in a regular market this will not happen. Buyers from the web have the entire market at there finger tips so there is no way of fooling them. MARKET VALUE IS MARKET VALUE!
We are seeing a lot of buyer activity due to the low prices. Personally our office has been bustling with business.
Our Sold inventory over the last month increased 2X, from 69 homes to 120. Our pending inventory is also been holding steady at around 300 homes per month. So whether you are Buying or selling get the pros on your side and contact the Barringer Team.
E-mail us tiger@bpbarringer.com or you can call us @ our toll Free # 1-800-894-7282
Rates are down again.30yr fixed @ 5.87%
0 Comments Published by Brian W. Barringer on Tuesday, March 25, 2008 at 6:43 PM.
LONG-TERM MORTGAGE RATES PLUMMET
The principal and interest payment on a $250,000 loan has dropped by $88.99 per
month since September 28th on the 30 yr fixed.
McLean, VA – Freddie Mac (NYSE:FRE) today released the results of its Primary Mortgage Market Survey® (PMMS®) in which the 30-year fixed-rate mortgage (FRM) averaged 5.87 percent with an average 0.5 point for the week ending March 20, 2008, down from ast week when it averaged 6.13 percent. Last year at this time, the 30-year FRM averaged 6.16 percent.
The 15-year FRM this week averaged 5.27 percent with an average 0.5 point, down from last week when it averaged 5.60 percent. A year ago at this time, the 15-year FRM averaged 5.90 percent.
Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) averaged 5.56 percent this week, with an average 0.9 point, down from last week when it averaged 5.58 percent. A year ago, the 5-year ARM averaged 5.91 percent.
One-year Treasury-indexed ARMs averaged 5.15 percent this week with an average 0.8 point,
up from last week when it was 5.14 percent. At this time last year, the 1-year ARM averaged 5.40 percent (Average commitment rates should be reported along with average fees and points to reflect the total cost of obtaining the mortgage.)
"Mortgage rates fell this week as various actions were taken to improve market liquidity," said Frank Nothaft, Freddie Mac vice president and chief economist. "In addition, the inflation report from the Consumer Price Index (CPI) reflected weaker price increases than consensus expectations. Unchanged in February both including and excluding food and energy costs, it is the first time the core CPI did not report a monthly increase since November 2006.
"Meanwhile, retail sales fell by 0.6 percent in February, contrary to the consensus forecast of a 0.2 percent increase, signaling that the condition of the economy might be weaker than previously thought. Slowing consumer spending and weak employment conditions are among the concerns behind the Fed's decision to lower the target federal funds rate by 0.75 percentage points in the most recent Federal Open Market Committee meeting."
Freddie Mac is a stockholder-owned corporation established by Congress in 1970 to support homeownership and rental housing. Freddie Mac purchases single-family and multifamily residential mortgages and mortgage-related securities, which it finances primarily by issuing mortgage-related securities and debt instruments in the capital markets. Over the years, Freddie Mac has made home possible more than 50 million times, ensuring financing for one in six homebuyers and more than four million rentersScott Schumacher
Century 21 Mortgage
Brian Barringer
Byron Hotsprings revisited......
0 Comments Published by Brian W. Barringer on Wednesday, March 19, 2008 at 11:38 PM.
Read up first......I was browsing the Internet for images of the Byron Hot Springs in the
1970's. I used to live out there and knew John, Dixie and their little
girl Love. We lived in what was once the hospital, a sink in the corner of
the bedrooms and a wonderful enclosed front porch that we slept on in the
summer. I loved that place. We all seemed to be in the right place
at the right time back then. It was communal living at it's best. I
did make a trip there in the late 1990's and was so sad to see just about
everything gone. But the history, whether good or bad should be
preserved. All of us who were lucky enough to live there, raise our
animals and learn more about ourselves will forever remember the
Springs.
Weston Ranch(South West Stockton) Market Report for Friday March 14th 2008
0 Comments Published by Brian W. Barringer on Friday, March 14, 2008 at 1:14 PM.
The following information is from the local MLS database, as of March 14th as compared to February 14th 2008.
ACTIVE Status:
Total # of Residential properties for sale in Weston Ranch: 346 337
Average # of days on market: 79 82
The Median price of all Homes for sale: $236,000 $249,000
The Average price of all Homes for sale:$250,698 $267,919
Highest priced home: 6bd/4ba/3,376/$519,800
PENDING Status:
Number of properties currently under agreement: 90 60
Average pending price: $222,845 $236,562
Avr. pending home is 4bd, 3ba, 1908 sq. ft at a price $222,000 and 36 days on the market.
SOLD Status:
Residential property sold over previous 30 days:22 units or 4,963,900 16 units or $3,586,000 in sales volume.
Average sale price:$225,825 $218,100
Median sale price:$212,100 $213,098
High: $270,000 (4bd/3ba 2300 sq. ft home).
Low: $259,000 (2bd/2ba 1372 sq. ft home)
Summary: Prices still going down but sales arepicking up. This is a REO Market at its strongest.
_________
Weston Ranch(South West Stockton) Market Report for February 14th 2008 (not previously archived in the blog):
The following information is from the local MLS database, as of February 14th as compared to January 11, 2008.
ACTIVE Status:
Total # of Residential properties for sale in Weston Ranch: 337 331
Average # of days on market: 82 86
The Median price of all Homes for sale: $249,000 $275,000
The Average price of all Homes for sale:$267,698 $283,431
Lowest priced home: 3bd/2ba/1,023 sq. ft /$179,900
Highest priced home: 6bd/4ba/3,376/$519,800
PENDING Status:
Number of properties currently under agreement: 60 43
Average pending price: $236,845 $243,562
Avr. pending home is 4bd, 3ba, 1908 sq. ft at a price $239,000 and 36 days on the market.
SOLD Status:
Residential property sold over previous 30 days:16 units or 3,586,848 10 units or $2,401,000 in sales volume.
Average sale price:$218,825 $240,100
Median sale price:$213,100 $219,098
High: $270,000 (4bd/3ba 2300 sq. ft home).
Low: $259,000 (2bd/2ba 1372 sq. ft home)
Summary: Weston Ranch is still a little sluggish. But there is a big overall increase in activity.
The Weston Ranch Market went up Faster than all of the surrounding markets in the past 4 years. This is why the prices there are going down faster than the surrounding markets at present { surrounding Markets} Tracy, Lathrop, Manteca, Modesto, ect... If you are wanting to sell in this Market you have to compete with Bank owned homes as well as short sales. If you are a Buyer it is the BEST time in years to buy all things are in your favor Low interest rates and a huge amount of inventory to choose from. Which ever you are call the local EXPERTS to show you the way. The BARRINGER TEAM 1-800-894-7282
Real Estate Market Report For Lathrop, Ca: Friday, March 14th 2008
0 Comments Published by Brian W. Barringer on at 1:05 PM.
The following information is from the local MLS database, as of March 14th 2008, as compared to February 14, 2008
ACTIVE Status:
Total # of Residential properties for sale: 275 270
Average # of days on market: 90 97
The Median price of all Homes for sale: $299,000 $328,000
The Average price of all Homes for sale: $320,000 $344,063
Lowest priced home: 2bd/2ba/923 sq. ft /$140,000
Highest priced home: 6bd/5ba/3,900 sq. ft/ $1,600,000
Pending Status:
# of properties currently under agreement: 70 40
Average pending price: $317,000 $313,562
Avr. pending home is 4bd, 3ba, 2400 sq. ft at a price and 68 days on the market.
SOLD Status (for previous 30 days):
Residential property sold over previous 30 days: 10 units or $3,104,990 11 units or $3,468,900 in sales volume.
Average sale price: $331,000 $315,100
High: $474,000(5bd/4ba 3300 sq. ft home).
Low: $239,000 (3bd/2ba 1672 sq. ft home)
Summery: Foreclosures are being priced right and picked up by buyers taking advantage of the low prices.
_________________
Real Estate Market Report For Lathrop, Ca: Valentines Day (2/14/2008) (Previous Month not archived yet in blog but on other website): The following information is from the local MLS database, as of February 14 as compared to January 11, 2008.
ACTIVE Status:
Total # of Residential properties for sale: 270 263
Average # of days on market: 97 94
The Median price of all Homes for sale: $328,000 $340,000
The Average price of all Homes for sale: $344,000 $261,063
Lowest priced home: 2bd/2ba/923 sq. ft /$154,000
Highest priced home: 6bd/5ba/3,900 sq. ft/ $650,800
PENDING Status:
Number of properties currently under agreement: 40 21
Average pending price: $313,000 $381,562
Avr. pending home is 4bd, 3ba, 2200 sq. ft at a price and 79 days on the market.
SOLD Status (for previous 30 days):
Residential property sold over previous 30 days: 11 units or $3,468,990 6 units or $1,878,900 in sales volume.
Average sale price: $315,000 $318,100
High: $$479,000(6bd/4ba 3400 sq. ft home).
Low: $147,000 (3bd/2ba 1172 sq. ft home)
Summery: Its like a light bulb came on. The market activity for sold homes has gone up by 2X. Values are still decreasing but inventory is moving. The market is beginning to stabilize. There are still at least 4 or 5 builders still competing for buyers in this small boom town of 10,000 people. Its hard to tell what all of the builders out there are doing because some post there sales to the MLS, some don't. I am guessing that the builders do have more sales then what is represented. The majority of all homes pending and sold are Bank owned properties. These sellers are the only ones who can compete on the same cooperate level some builders such as KB and Pulte . If you are a seller you have to Compete with these big boys. If you are a Buyer it is the Best time in years to buy. Interest rates are at a all time low and there is a ton of inventory to choose from. Which ever one you are call the Local EXPERTS to Show you the way. We also can negotiate with the new home builders for you. So call us or e mail us and we will bring you to the new homes and represent you. The builder pays us but we act as your BUYERS AGENT! Call or e mail 1-800-894-7282 or e mail us at Tiger@bpbarringer.com
Contractor's Delight....
0 Comments Published by Brian W. Barringer on Monday, March 10, 2008 at 9:40 PM.
Brian Barringer
209.613.8945
brian@tracyhomes.com
1) 133 W Magnolia St, Stockton, CA 95202
4-PLEX
MLS Marketing Remark:Perfect for contractor-submit your as is offer. (seriously just the way it is.)
Listing Price: $159,900
2) 424-430 N Stanislaus St Stockton, CA 95202
Marketing Remark: Bank-owned foreclosure. Calling all investors & contractors...SUPER-FIXER FOURPLEX or perhaps a TEAR-DOWN! Not for the faint at heart. Numerous City code violations & civil penalties. Sold AS-IS. Listing Price: $159,900 reader comment: Is that a dead body in mow strip?
me: maybe. thats the bank for you, they dont move the bodies just work around them.....
3)914 N San Joaquin St Stockton, CA 95202
4-PLEX
Marketing Remark: Huge Price Reduction!!! come to check it out. REO. Investor Dream.Great Location. Bring your offer for this fixer upper, it could be once again a nice fourplex for good cash flow. sqft unkown, don't know of any code violation from the city but you can find from the city. Sold As Is. Listing Price: $175,0004)117 W Flora St Stockton, CA 95202
4-PLEX
Marketing Remark: This property needs some TLC! Listing Price: $175,000Tracy, ca Real Estate Market Report for March 3ed 2008
0 Comments Published by Brian W. Barringer on Monday, March 03, 2008 at 2:53 PM.
ACTIVE Status:
Total # of Residential properties for sale in the city of Tracy: 883 902
# of Short Sales: 251 221
The Median price of all Homes for sale in Tracy: $349,900 $369,975
The Average price of all Homes for sale in Tracy: $375,854 $398,734
Highest priced home: 7bd/6ba/6500 sq.ft/$1,699,000
PENDING Status:
Number of properties currently under agreement: 171 111
# of REO: 122 76
# of Short Sales: 14 12
Average pending price: $335,102 $386,227
Avr. pending home is 4bd, 3ba, 2089 sq.ft at a price $329,450 and 49 days on the market.
SOLD Status:
Residential property sold over previous 30 days: 42 homes or 14,413,463 in sales; 46 homes or $16,666,252 in sales.
Low: 150K (440 sq.ft home)
What it looks like from my prospective is in the last year the banks have been slowly testing the waters as they went lower and lower in price and now we have seemed to come to some sort of agreement between buyers and sellers on fair market for a home. Banks are putting prices slightly below market value and getting muli-offer situations. Its like buyers have been waiting for a good deal and the banks have caved to the market.
From the desk of Alex Alverez (National City Mortgage Banker) regarding interest rates:
Don't miss the boat. Mortgage bankers are always struggling with the mis conceptions of the media with respect to the mortgage rates. Bottom line is that the Federal government does NOT control our mortgage rates. When the Federal Reserve drops their rates they are dropping rates that they charge banks. Banks in turn drop their "prime" rate which immediately helps customers that have lines of credit, some credit card holders and business lines of credit and loans. The regular residential loans however drop, or increase, in reaction to what the Federal Reserve did. As of late there has been much volatility in our mortgage markets. My staff and I have found ourselves telling borrowers that rates are pushing UP while the media is telling them the rates are coming down.
Here is a scenario:
Three weeks ago a borrower was looking at a $300,000 loan at 5.375% P&I would be $1681.67. They really needed to bid up the price and take a loan of $330,000 to get the home they wanted. P&I would be $1821.67. They waited.
If they were to find that home today at the price they wanted they would get their $300,000 loan. Rates have moved up though. $300,000 at 6.375% is now $1873.06.
This means if they would have purchased that house 3 weeks ago and received a $330,000 loan they would have been better off than waiting! This is how the rates can come into play.
Now I believe rates will ease again. Not sure if they will reach the levels we had three weeks ago but the bottom line is this. We have great homes prices, we have low rates. The combination of the two is creating extraordinary opportunities for homebuyers. Beware though, if you wait for the perfect storm (low interest rates and low purchase prices) the boat will be history!! Get on that boat before the storm hits!!
Alex Alvarez
Branch Manager/ Mortgage Banker
Construction Mortgage Specialist
National City Mortgage, a division of National City Bank
2880 N Tracy Blvd Ste 2
Tracy, CA 95376
(209) 839-2880 Office
(209) 839-2889 Fax
(800) 399-1820 24 Hr Service
Alex.Alvarez@ncmc.com
www.TracyHomeLoans.com
A Hot List:
Here is a link to all of the REO(bank owned homes) I think are an excellent investment. I have seen most of these with other clients and some have offers on them already. It will be totally different next week. (link)
Century-21 M&M/Barringer Team/Buyers Agent
209.613.8945
800.894.7282
www.TracyHomes.com
800.894.7282
http://www.tracyhomes.com/ and www.tracyrealestate.blogspot.com
Real Estate Market Report for January 31st 2008
1 Comments Published by Brian W. Barringer on Thursday, January 31, 2008 at 12:52 PM.
ACTIVE Status:
Total # of Residential properties for sale in the city of Tracy: 902 (902)
# of REO (foreclosures): 328 313
# of Short Sales: 221 200
Average # of days on market: 88 91
The Median price of all Homes for sale in Tracy: $369,975 $380,000
The Average price of all Homes for sale in Tracy: $398,734 $406,552
Lowest priced home: 1bd/1.00ba/502 sq.ft/$119,000
Highest priced home: 7bd/6ba/6500 sq.ft/$1,699,000
PENDING Status:
Number of properties currently under agreement: 111 104
# of REO: 76 69
# of Short Sales: 12 16
Average pending price: $386,227 ($408,632) (($408,775))
Avr. pending home is 4bd, 3ba, 2238 sq.ft at a price $396,450 and 64 days on the market.
SOLD Status:
Residential property sold over previous 30 days: 46 Transactions or $16,666,252 in sales. (35 transactions or $16,107,700 in sales.)
REO's Sold in last month: 33
Average sale price: $362,310 $395, 159
Median sale price: $356,557 $362,500
High: 599K (5/5bd 3882 sq.ft home).
Low: 150K (440 sq.ft home)
A close look at a good little investment in Stockton, Ca for $89,900
0 Comments Published by Brian W. Barringer on Wednesday, January 23, 2008 at 3:52 PM.
This bank owned home just had a price reduction. Located in North Stockton near Wilson Way.
Details: 2 bd 1 ba
1031 sq.ft
0.110 acre lot
Built in 1943
Financing thoughts:
Based on current interest rates:
30-Year Mortgage
5.31
| Purchase price | |||||
| Down Payment | 10 | % | 8,900 | ||
| Loan Amount | $80,100 | ||||
| Interest Only | $354.44 | ||||
| Private Mortgage insurance | $34.71 | ||||
| Estimated Taxes+ Mello Roos (if applicable) | 92.71 | ||||
| Estimated Insurance | 13.35 | ||||
| Total PITI | $495.21 | ||||
So with $9,000 down you could own this place for about $500.00 a month. But wait, what about closing costs? In this market we ask the seller to pay them in our offer. Below is an estimate of what closing costs might be in this transaction:
| Points | 890.00 | ||||
| Appraisal Fee | 300.00 | ||||
| Credit Report | 16.00 | ||||
| Doc Prep/Processing | 750.00 | ||||
| CLTA Title Ins | 50 | % | Buyer | 650.00 | |
| Recording | 100.00 | ||||
| Tax Service, Flood Service, Wire | 140.00 | ||||
| Escrow Fee | 50 | % | Buyer | 187.00 | |
| ALTA | 100 | % | Buyer | 295.85 | |
| Prorated Interest | 15 | days | 194.22 | ||
| Home and/or Roof Inspection, Home Warranty (optional) | 360.00 | ||||
| Estimated Insurance (1 yr policy) | 400.00 | ||||
| Down payment | 0.00 | ||||
| TOTAL DOWN + CLOSING COSTS | $4,283.07 | ||||
But how much would this investment rent for?
Craigslist.com will have up to the minute current rent rates posted by actual landloards.. I got a few rental comps:
Jan 13 - $850 / 2br - house for rent (stockton)
Jan 18 - $1000 / 2br - 2 Bd/1 Ba One Block From Miracle Mile!!! (Stockton )
Jan 22 - $1050 / 2br - Charming Spanish-style home for rent (Victory Park)
I could not find too many good examples but lets say you can rent the home for more then a condo. I would say try for $950 and go down if you dont rent it out to $850. Shouldn't go for any lower with condos usually $650-$800.
Final Thoughts:
At the end of the year considering $850 for problems and rent loss, $600 for maintainace you will be $3,350 a head of the game. Pretty good to cash flow in California. You will have your down payment back in three years. Take the profit from the rental to pay down the mortgage then sell when the market is UP!
Budget For Year 1:PITI -$6000.00
Landscaping -$600.00
Rent Loss -$850.00
Rent $10,800.00
Total Positive Cash at the end of the year is $3,350. Taking into consideration $850 for problems and $600 for landscaping upkeep.
With warm regards,BrianBrian W. BarringerYour Personal Real Estate consultant for LifeBrian@tracyhomes.com
A documentary worth watching....
1 Comments Published by Brian W. Barringer on Sunday, January 20, 2008 at 8:07 AM.
And this absolutly has nothing to do with REAL ESTATE.
21 UP America
Super Rare Tracy Golf and Country Club Home!
0 Comments Published by Brian W. Barringer on Thursday, January 17, 2008 at 9:05 PM.
Wow, I have never seen one of these on the market! In fact, the last recorded MLS sale of a Tracy Golf and Country Club home was about three years ago. This home backs up to an 18-hole regulation length golf course just outside of town, at the base of the Altamont hills. On the course there are about 20 luxury homes that face the golf course and this is one of them. It will most likely be a long time before you see one of these for sale again. This is a good buy because its so unique.I would guess these places usually are sold by word-of-mouth.