Jeffrey Tung's Real Estate Blog

According to Realty Trac, “A total of 340,740 California properties received a foreclosure filing in the first half of 2010, the nation’s highest total but down 15 percent from the previous six months and down nearly 13 percent from the first six months of 2009.”

It is encouraging to know that the foreclosures are on a decline, however is the real estate market going to survive the next wave of REOs? I think it will as long as the interest rates stay at today’s levels, unemployment declines, and the demand for housing remains strong.

The San Francisco market is a great example. Although the hardest hit areas in San Francisco, are in the lower and medium priced homes, the home sales have increased and spurred on the sales of the more expensive areas of the city. It is expected to continue for the rest of the 2010.

Great news!! Congress has finally approved a extension for those of you who have been in escrow since April 30th.

Are you going to make the June 30th deadline? Hopefully you will since it’s been a stressful process. If you don’t make it, then let’s hope that Congress votes to extend the deadline 3 more months.  The Senate has approved the extension because of the enormous back log of sales and now it time for Congress to consider the extension.

According to Vicki Cox Golder, president of the National Association of Realtors, said the extension was a matter of fairness.

“These are not buyers who just entered into the market. These are buyers who previously met all the qualifications for the tax credit, but find themselves at the mercy of a work-flow jam with the lenders or other delays and might not be able to complete the purchase of their homes.”

I think it’s the right thing to do, especally since it’s not the buyer’s fault for not meeting the deadline.

Related articles by Zemanta

• Home-Buyer Tax Credit Update: Senate Moves to Extend Closing Deadline  blogs.wsj.com)
• American Land Title Association Urges Congress to Extend Closing Deadline for Homebuyer Tax Credit eon.businesswire.com)
• Home Buyer Tax Credit close date extended? raincityguide.com)
• Senate approves home tax credit extension seattletimes.nwsource.com)
• Senate approves home tax credit extension sfgate.com)
• Congress Considers Extending Home Buyer Tax Credit Deadlines findwell.com)
• Senate votes to extend home tax credit deadline reuters.com)
• UPDATE 1-Senate votes to extend US home tax credit deadline reuters.com)
• Homebuyer Tax Credit Closing Deadline May Be Extended usnews.com)
• Homebuyers could get more time for tax credit money.cnn.com)

Are you planning to repair the fixer upper you just bought? Have you had that overwhelming feeling when you shop for kitchen cabinets, refrigerator, tile, etc.? Well, there are a lot of things to consider. You can spend more money then what you can get in return.

Related articles by Zemanta

• Marvelous Magnetic Kitchen Cabinets Flickr Find  apartmenttherapy.com)
• How to Transform Cabinets with Fabric Wallpaper Little Green Notebook  apartmenttherapy.com)
• Repurposed Orphaned Drawers  apartmenttherapy.com)
• Top Tools Under Ten Bucks  monicaricci.typepad.com)
• DIY Kitchen Upgrades  apartmenttherapy.com)
• Fjeldborg’s Old Meets New Kitchen  thekitchn.com)
• Alissa’s Athens Renovation House Call  apartmenttherapy.com)
• Muji Cleaning System Best Products  apartmenttherapy.com)
• Stuff on my readers’ fridges  timesunion.com)
• Vynebar Reveals New Vertical Wine Racks for Any Lifestyle  eon.businesswire.com)

President Obama has announced that he has a program design to help homeowners that have been unemployed and other struggling borrowers. This is a program that can help stabilize home prices. The White House is also considering a program that would suspend mortgage payments for a unemployed homeowners for 3 months and give them 3 opportunities to extend the payment difference for up to 1 year.

Related articles by Zemanta

• New Housing Aid Tackles Negative Equity, Second Mortgages  blogs.wsj.com)
• Brad Miller’s Old Solutions to New Mortgage Problems seekingalpha.com)
• Why Housing Is Still a Drag on the Economy seekingalpha.com)
• Gov’t mortgage plan aids 12 percent of borrowers seattletimes.nwsource.com)
• Gov’t Mortgage Plan Aids 12 Percent of Borrowers abcnews.go.com)
• U.S. Economy: Home Starts Depressed by Winter Weather (Update1) businessweek.com)
• One year later: Lasting help for 116,000 homeowners money.cnn.com)

Do you think that the governmental programs from the president are helping the economy to get better? Well, it seems like it has based on a study by Realty Trac. February’s forclosures have declined by 2% from the previous month but still 6% above the level reported in February 2009. This means one in every 418 U.S. housing units received a foreclosure filing in February.

I think we are heading in the right direction but I think it is still too soon to say that we are out of the woods.

Related articles by Zemanta

• Home Foreclosure Rates Slackened in February, But Misery Remains  dailyfinance.com)
• Foreclosures leveling off – but don’t cheer yet  money.cnn.com)
• Foreclosure Rates up by Smallest Amount in 4 Years  abcnews.go.com)
• US Foreclosure Activity Slows Considerably  247wallst.com)
• Summary Box: Foreclosures grow more slowly  seattletimes.nwsource.com)
• Foreclosure rates up by smallest amount in 4 years  seattletimes.nwsource.com)
• Feb. foreclosure filings rise just 6% in U.S., fall 13% in Washington state  seattletimes.nwsource.com)
• Foreclosures Dip Slightly in February  seattlebubble.com)
• Foreclosure-Filings Pace Slows  online.wsj.com)

In efforts to help everybody who needs help, HUD has updated their list of counselors.  This will help you find answers to help you with your financial problems.  This is a free service and should be your step in trying to get help from your government.

If you need guidance or more information about your options, HUD may have answers for your situation.

Related articles by Zemanta

• Having Trouble With Your Loan Mod? Read This  hsh.com)
• Changes to HAMP Attempt to Improve Lender-Borrower Communication  hsh.com)

 The real estate market is still not fully recovered but there are positive signs that we are at the bottom and maybe moving up. The prices of homes fell so much that it is tempting many renters to buy a home instead of renting. The monthly payments might be the same especially when you include your tax savings. Rates are still affordable and there are many homes to choose from. The only problem we have is that many of these homes have gone down so far in price that it is creating a buying frenzy. Many of the homes that are less then $400k are getting multiple offers. Be patient because there is talk that more REO’s and Short Sales are going to hit the market next year.

Buyers today have a great selection of homes that are for sale.

Some areas are flooded with Foreclosures, REOs and Short Sales, which increases the number of homes for sale and the prices are usually lower, therefore making the price range lower. As a result, many of the REOs are getting more then 1 offer. This is a sign that prices are at a point where it could go back up. Buyers are making offers above the asking price therefore stopping the downward spiral of the price range.

It is still a good time to buy because interest rates are still low and you have choices. Also, for a limited time, both the federal government and the state of California are providing buyers with a tax credit for purchasing a home. This could be as much as $18,000 combined. If you’re thinking about buying a home, don’t wait for the increase in interest rates. It may force you out of the market.

Here is a news cast about the market place, a survey from the California Association of Realtors and some information about the tax credits. Just copy and paste it in your browser.
     http://www.car.org/newsstand/newsreleases/jan09salesandprice/
     http://cbs5.com/video/?id=47401@kpix.dayport.com
     http://www.car.org/legal/2009-qa/homebuyer-tax-credit-chart/