Buyers Need to Get Serious with Offers

The market has once again changed how buyers who need a loan need to write an offer to get into contract. In Sacramento County we have less than 1 month supply of inventory. Many properties are getting upwards of 30 offers -- no exaggeration. This is unprecedented even in the hey day of the boom of 2005. A healthy market has an inventory of 3 to 6 months. To say this is a seller's market is an extreme understatement.

The typical buyer/seller fees and contingencies are out the door if a buyer wants their offer accepted. It takes the typical buyer a few rejected offers to finally be willing to write a strong offer -- especially a first-time buyer.

Here are some tips for getting an offer to even have a chance of being accepted:

1) Offer a purchase price that is your highest and best; don't  hem and haw over $5K, just do it as it doesn't make that much difference in your mortgage
2) Increase the earnest money deposit well over the typical 1% to 2-3% or more
3) Ask for nothing -- no home warranty, no pool table, no chandelier that was explicitly stated in the listing doesn't stay
4) Pay for everything -- escrow, title policy, transfer taxes
5) If possible, make the offer non-contingent on the appraised value

I know all this seems like lunacy, and it is; however, it's the only way to even have a chance at this market with very little inventory and not buying with cash.

Tips for Lowering Your Property Taxes

Great article from the Mercury News on how to get your property taxes lowered:
http://www.mercurynews.com/real-estate/ci_19829800

Help for Unemployed Homeowners

Fannie and Freddie are looking to give some assistance with delayed foreclosure for distressed homeowners, among other help.

For more info: http://www.nytimes.com/2012/01/22/realestate/mortgages-a-reprieve-for-unemployed-borrowers.html?_r=2&ref=realestate

Chase and Wells Fargo to Shorten Foreclosure Timelines

This is important info if you have a distressed loan with Chase or Wells Fargo.

For more info: http://realtormag.realtor.org/daily-news/2012/01/24/2-big-banks-slash-foreclosure-sale-timelines&WT.cg_n=RMO&WT.cg_s=RSSDaily?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+DailyRealEstateNews+%28Daily+Real+Estate+News%29&utm_content=FeedBurner

So Many Buyers So Little Homes

If you're a buyer, it's tough out there. If you're a seller and your home is priced right, you will receive multiple offers over asking price. We have 1.8 months of inventory, which is a sellers market. This means it would take only 1.8 months to sell everything listed for sale if nothing else came on the market. A neutral market for both buyers and sellers is between 3 and 6 months of inventory. Our inventory goes down each month.

This doesn't mean buyers aren't getting homes, they are. But, it's a bit of a challenge. If you're a buyer, be patient -- your house is out there.

Great Wachovia Fast Track Short Sale

98 Summer Rim Circle, Sacramento

Property in mid-remodel just waiting for your finishing touches. Home features recently remodeled kitchen with quartz counters, newer cabinetry, and all stainless steel appliances; recently installed laminate flooring throughout living/dining room and all bedrooms; newer dual pane windows throughout; 4 years new roof; and partially removed popcorn ceilings in hall, kitchen and bedrooms.


More info: www.ScottAndKimSellHomes.com

BofA Distressed Borrower Outreach

For homeowners who have a distressed loan with Bank of America, there is a free three-day workshop being held next Thursday to Saturday at the Sacramento Convention Center.

For more info: www.bankofamerica.com/outreachevent or call 855-201-7426