Archives for posts with tag: money

Ron Wynn and WSA

Wow, what a difference.

Just in the last week and a half, there is a tremendous difference in activity and inquiries on our listings.  Open house last week was a mob.  Activity was at least 3 times the activity for any week in November and December.  Buyers are energetic, enthusiastic and ready to look at new listings.

The biggest complaint among Buyers is the lack of inventory.  Buyers are complaining that there are no new listings to look at and are very eager to look at anything new on the market.  Sellers are coming on the market slowly and properties that come on the market are selling quickly with multiple offers.  I have heard of at least 4 multiple offer situations just in the last week, all selling at full price or above.  I had a new listing in Westwood this week and we had multiple offers after three days.

We don’t know where the market is going to go over the next 12 months, but recent newspaper articles have lead the public to believe that the market has bottomed out and that prices are not going to decline any more.  Everyone knows that there is no such thing as “the bottom”, but Buyers are convinced that this is a good time to jump in.

Interest rates are still amazingly affordable and there is no guarantee that they will stay at this rate.  Financing is available and buying conditions are outstanding.  Again, the biggest complaint is lack of inventory.  We expect to see a continued strong demand from Buyers at open houses over the next few weeks and it would not surprise us at all to continue to see full price sales and multiple offers.

Although no one knows where this is going and what the long range outcome will be, overall, Buyers are tired of waiting around at the sidelines.  They are very eager to get into a home of their own.  As people say, life moves on and we can’t wait forever.  Buyers are satisfied with current day values and Sellers, who have motivation, are comfortable knowing that the market is currently stable.  We look forward to 2012 being a very good year for both Buyers and Sellers.  This really is a great time to buy and a great time to sell.  We are encouraging Buyers and Sellers to participate in this market and take advantage of the opportunity.

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Home sales in California last month were off 4.2% from October but up 4% compared with November 2010. The median home price was $244,000, up 1.7% from October and down 4.3% from a year earlier.

By Alejandro Lazo, Los Angeles TimesDecember 15, 2011

California’s housing market showed some signs of luster in November with sales picking up over the same month a year earlier, but prices declined and foreclosures remained prevalent.

Sales fell 4.2% from the prior month, though a decline from October to November is common, and compared with November 2010 they were up 4%, according to real estate research firm DataQuick. A total of 32,669 homes sold last month, about 18% below the average going back to 1988, when DataQuick’s statistics begin.

The state’s median home price was $244,000, up 1.7% from October and down 4.3% from November 2010.

“These days, buyers and sellers have to contend with two sets of problems, which sometimes play into each other and sometimes conflict with each other,” DataQuick President John Walsh said in a statement. “The first is the lousy economy and the opportunities it presents, for better or worse. The second is the dysfunctional mortgage finance system. Interest rates may be at record lows, but the types of mortgages that are available have been drastically reduced and qualifying is a true grind.”

The state’s median price — the point at which half the homes in the state sold for more and half for less — has declined year-over-year for 14 consecutive months.

The most recent low in the median price was hit in April 2009, at the height of the financial crisis. After that, the housing market began showing some strength as a tax credit mostly aimed at first-time buyers helped fuel a buying spree. The market has been weak ever since that credit expired in April 2010.

Foreclosures are a big part of that weakness, as those homes and other so-called distressed properties tend to sell at a discount. Of the previously owned homes that sold last month, about 1 in 3 were foreclosures and about 1 in 5 were short sales, in which the home is sold for less than the outstanding debt on the property.

In Southern California, sales rose 0.3% from October and 4.2% from November 2010, with 16,884 homes bought across the six-county region. The median home price for the region was $275,000 in November, up 1.9% from October but down 4.2% from November 2010.

The San Francisco Bay Area’s housing market picked up a bit of steam last month. A total of 6,317 homes were sold in the nine-county region, down 2% from October and up 3.4% from November 2010. The Bay Area’s median home price was $363,500, up 3.9% from October and down 4.3% from November 2010.

While discussions regarding finances don’t make their way to the top of the to-do list as often as they should, it’s more important than ever that couples take the time to sit down and discuss their finances and financial goals. Whether you already have a money management system in place-or you need help getting started-there’s no better time than the present. Not only will a well thought-out plan keep both of you moving in the same direction toward your goals, it will also help to open the lines of communication so that you and your partner can talk more freely about financial problems, concerns and decisions.

According to Jane Honeck, CPA and author of The Problem With Money? It’s Not About Money! offers the following money managing tips.

1. Talk, Talk, Talk. Money is still a taboo topic and we often don’t have a clear idea about how our partner thinks or feels when it comes to spending versus saving. Talking about your goals with your partner is a simple way to make sure you’re both on the same page when it comes to your finances.

2. Find Balance: Balance power around money. One person making all the decisions and having all the control when it comes to finances is often a recipe for disaster. Find ways for you both to be equally engaged in all money decisions.

3. Define Your System: Have a clearly defined money management system that covers everything from who handles the mail to who sends out the checks. Without a well thought-out plan in place, it’s more likely that things will fall through the cracks.

4. Address Problems: When problems arise, address them immediately (no secrets allowed). Avoiding the issue only makes it more toxic and drives a wedge in the relationship.

5. Perform Checkups: Schedule an annual money checkup. Things change and just like our physical health, money management needs an annual checkup to keep it healthy and relevant. Set aside time to sit down with each other and evaluate what’s working, what needs to be fixed and address any questions or concerns that either of you may have.

6. Keep the Lines of Communication Open. The most important thing to keep in mind when dealing with your finances is to continue to communicate with no blame or shame. We all have hang-ups around money, so it’s important to treat your partner with compassion when it comes to your finances.

As a Member of the Top 5 in Real Estate Network®, I, along with my team, have a wealth of real estate and home ownership information that may be of help to you. Feel free to contact our team any time to learn more about this important information, and be sure to forward this article on to any friends or family that may be interested as well.