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Are you looking for an experienced agent to help you buy or sell a home? Contact Jim the Realtor!

Carlsbad
(760) 434-5000

Carmel Valley
(858) 560-7700
jim@jimklinge.com


Category Archive: ‘Thinking of Buying?’

manu

We need tent cities too! Hat tip to ‘just some guy; for sending this in:

http://www.mercurynews.com/business/ci_27860319/prefabricated-homes-provide-affordable-option-some-bay-area

SUNNYVALE — Two years of mounting rent increases pushed them out of their 800-square-foot apartment, but Emily Gwynn and Roderick Fox have now purchased their dream house.

“It’s 1,370 square feet, three bedrooms, two full baths, washer and dryer,” Gwynn said, excited to show off the spacious kitchen, as well as the master bedroom with its 14-foot cathedral ceiling.

The price: $219,000, in a county where median home prices hit $782,000 last month. The catch: It’s a manufactured home — a classy new spin on the old prefab “mobile” home.

“We were surprised,” Fox said.

Read full article here:

http://www.mercurynews.com/business/ci_27860319/prefabricated-homes-provide-affordable-option-some-bay-area

Posted by on Apr 7, 2015 in Modular Homes, The Future, Thinking of Buying? | 5 comments

Two Open Houses Today

2015-03-28 17.38.53

Pernilla Lindberg, above

If you have any interest in golf, or just like a good walk in the park, stop by the final round today of Kia Classic at the Aviara Golf Club in Carlsbad.

It is a challenging course, yet all but seven of the finalists are under par – and the leader, Mirim Lee, is 16-under!

We will be having open house right by the main entrance to golf, so stop by!

Mallard golf map

The single-level house at 1341 Mallard has been rejuvenated with new paint and fresh landscaping, and the price is down to $1,495,000.  Open house is 12-3pm – stop by!

1341-mallard-court-055

1341-mallard-court-027

http://www.sdlookup.com/MLS-150007764-1341_Mallard_Ct_Carlsbad_CA_92011

We’re also having open house 12-3pm at 6337 Greenhaven, which is the lowest-priced house for sale in Bressi Ranch at $291/sf.

6337-greenhaven-drive-001_web

http://www.sdlookup.com/MLS-150014431-6337_Greenhaven_Dr_Carlsbad_CA_92009

Posted by on Mar 29, 2015 in Interesting Houses, North County Coastal, One-Story, Thinking of Buying? | 4 comments

Zestimate Accuracy

Sellers shouldn’t get attached to any certain price – they aren’t the ones paying it.  Instead, select an attractive list price, and judge the market’s reaction – and adjust accordingly.

A story on the accuracy of zestimates:

http://www.latimes.com/business/realestate/la-fi-harney-20150208-story.html

In Carlsbad, Calif., Jeff Dowler, an agent with Solutions Real Estate, did a similar analysis on sales in two ZIP Codes. He found that Zestimates came in below the selling price 70% of the time, with disparities ranging as high as $70,000. In 25% of the sales, Zestimates were higher than the contract price. In 95% of the cases, he said, “Zestimates were wrong. That does not inspire a lot of confidence, at least not for me.” In a second ZIP Code, Dowler found that 100% of Zestimates were inaccurate and that disparities were as large as $190,000.

Posted by on Feb 8, 2015 in Thinking of Buying?, Thinking of Selling? | 6 comments

New Purchase Contract

gov

The C.A.R does make some minor changes every year to our purchase contract, but according to Gov Hutchinson, the lead attorney for C.A.R., they haven’t made any wholesale changes in 12 years.  Gov was in town yesterday to review the latest version.

Here are my notes:

1.  The form is written by C.A.R. attorneys and is meant to protect realtors.  There are 10x as many lawsuits filed today as there were thirty years ago, yet the State of California’s population hasn’t even doubled in the same time.  Home buyers file more than 90% of the lawsuits against realtors.

2.  Buyers used to have 17 days to release all contingencies, but now the new boilerplate gives 21 days to release the loan contingency.  Most lenders can hit the 17-day mark, but it’s usually tight; so the 21 days is probably more realistic. But it does add a second contingency-release date, and more paperwork.  We surmised that in the real world, all contingencies might drag to the 21st day.

3.  The separate termite form was deleted, and its contents added to the ‘Request for Repair’ form.  Previously it was customary to include the termite costs in the original offer (and assigned to the seller), but now they will be a negotiable item after the inspection, as is the custom in Northern California.

4.  You regularly see these remarks, “Seller is exempt from TDS”, which applies if the actual seller is a bank, or a successor trustee who has in effect inherited the house.  But they are only exempt from having to use our specific TDS form, they aren’t exempt from disclosing everything they know about the property.

5.  There are times when the sellers will occupy the home for days or weeks after closing (a subject to which I will devote a whole post), but it is now stated in paragraph 9F that keys and passwords be delivered to buyer on the day escrow closes, regardless of possession.

6.  The big-screen TVs have been excluded for a while, yet their brackets remain with the property.  But this version added a second choice, if the box is checked – “[bracket] will be removed and holes or other damage shall be repaired, but not painted.”  This is on the purchase offer that the buyer is submitting, so they will be guessing on whether the sellers intend to leave the bracket, or remove it and repair the holes or other damage.

7.  If the buyer adds a phrase about intending to occupy the property for 12 months, it will negate the 60-day notice required to give a month-to-month tenant who has been living there more than a year. Instead, only a 30-day notice is required.

8.  There are two stigmas that are required to be disclosed – death and meth.

9.  Sellers have to disclose any insurance claims over the last five years – whether they owned it or not.

10.  This is a first – they added verbiage about what happens when a party won’t sign off to cancel a sale.  If either party fails to execute mutual instructions to cancel, the other party can demand that escrow release the deposit.  Escrow shall promptly deliver notice of the demand to the other party, and give them 10 days to object.  If they don’t object, escrow can unilaterally release the deposit to the other party.  The form authors couldn’t resist adding a final paragraph that escrow companies can still require mutual cancellation instructions at their discretion, which we’re guessing that most will do.

11.  This rarely comes up, but if a buyer cancels after releasing all contingencies, and the seller gets their deposit – he has to split the deposit with the listing agent.

12.  It is in the boilerplate that every dispute goes to mediation.  If both parties initial the arbitration agreement, then the dispute goes there instead of going to court.  Arbitration is cheaper, quicker, and private, but it is binding – there is no appeals of an arbitration decision.  If you don’t like that, then don’t agree to arbitrate.  Small-claims court is excluded, so disputes under $10,000 can go there for resolution.

Once a seller has a signed agreement, there are no back doors – if the buyers can perform, then they are buying the house.  Once the buyers release all contingencies, they are committed too – and will lose their deposit if they cancel later.  There is always joking at these seminars that nobody reads the contract – including the agents.  Get Good Help!

Posted by on Dec 5, 2014 in Realtor Training, Realtors Talking Shop, Thinking of Buying?, Thinking of Selling?, Why You Should Hire Jim as your Buyer's Agent, Why You Should List With Jim | 5 comments

Did She Say Lower Prices?

sean

From PropertyRadar (ForeclosureRadar):

“Earlier this year we accurately predicted that 2014 would be a year of lower sales volume and flat prices because home prices rose too far too fast,” said Madeline Schnapp, Director of Economic Research for PropertyRadar.

“That’s exactly what’s happened and hopefully by next spring, prices will be more in line with what prospective homebuyers can afford.”

Read full report here:

https://www.propertyradar.com/reports/real-property-report-california-october-2014

Posted by on Nov 19, 2014 in Market Conditions, Thinking of Buying?, Thinking of Selling? | 3 comments

Housing Costs and the Future

In the last video, the presenter speculated that prices could go up 700% by year 2027, which would make homeownership all but impossible for regular folks.

Prices seem likely to rise over the long-term – what could keep a throttle on their gains?  Building more homes could slow down prices, and this week L.A. Mayor Eric Garcetti suggested a host of ideas and changes in order to achieve 100,000 new housing units by 2021:

http://www.latimes.com/business/realestate/la-fi-affordable-housing-20141107-story.html

The two best ideas?

1. The permitting of more granny flats is a viable solution for homeowners with larger lots.  An excerpt:

Dana Cuff, director of cityLAB at UCLA’s School of the Arts and Architecture, has spent years studying so-called backyard homes — or “granny flats” — that can house a renter, an in-law or a still-at-home 20-something. They exist all over town, often illegally, and regulations make them hard to build in many neighborhoods. Permitting more could go a long way toward helping L.A.’s housing shortage, Cuff said.

“There’s a half-million single family-houses in the city of Los Angeles,” she said. “If 10% of those added a granny flat, we’d be halfway [to Garcetti’s goal]. And it’s free land.”

2. The lack of available land located within driving range of San Diego is a real problem.  If there was a concerted effort by governments to make it easier to change zoning from commercial/industrial to residential, they could unlock additional parcels for development – like this one:

http://www.cbs8.com/story/26788497/upscale-residential-development-proposed-in-place-of-wal-mart-in-scripps-ranch

It’s likely that any new developments would be higher density, which would provide an interesting choice for future homebuyers. Are you willing to live like sardines to get a new or newer home, or will older homes on bigger lots be preferred – and retain their value better?

Rob Dawg said in the beginning, “Forget all previous assumptions about real estate”.  With the cost of living on the rise, will the newer, smaller, and less expensive homes topple the traditional SFR as the preferred choice of tomorrow’s homebuyer?

Posted by on Nov 9, 2014 in Market Conditions, The Future, Thesis, Thinking of Buying?, Thinking of Selling? | 2 comments