Temecula, Murrieta, French Valley, Winchester Real Estate: David Northup (David Northup - Aim RE Group Inc, Temecula Realtors® (AIM))

This is a September 2011 market report for the French Valley area of Winchester California.

The past 5 months have been slower in volume than last year by almost 10%.  Previous months sales were 84 compared with 92 during the same time period in 2010. There seems to be some significant amount of inventory not being released by banks with REO properties.

 

As for Average Price and Days on Market: The average price in French Valley has remained pretty flat over the last 24 months with the actual figure for last month coming in at $241,000. The Days on Market continues to dance around quite a bit. I believe it’s just a matter of how many short sales actually closed in a given month that causes it to swing up so dramatically.

Finally, here is a look at the different types of sales in French Valley over the last 30 days.

 

For more information on the different types of sales in our local market see our article:
What you should know about REO vs Standard vs Short Sale

For more about French Valley Click Here for French Valley Articles on our site

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 Article originally posted on the AimREG.com blog

The homes for sale in Temecula, Murrieta and French Valley areas of Riverside county can be put into 3-4 main categories.

This image provides an example of the types of sales in French Valley Winchester California for the previous 30 day period.

1)      Foreclosure properties. When a bank has taken a property back they refer it as Real Estate Owned or REO. When a borrower has missed several payments, the note provides a mechanism whereby a trustee authorizes the sale of that home at public auction (called a Trustee’s Sale) – the proceeds of which are applied to the outstanding balance of the note. If a minimum “reserve” amount is not met at the auction and it does not sell, ownership of the property is transferred to the lender and it becomes an REO.  REO  properties represent about 31% of the sales last month. Since ownership is clear and the bank’s decision maker has already been assigned to liquidate the property, these transactions can typically close 30-45 days from the acceptance of an offer.

2)      Short Sale properties. When the home owner wants/needs to sell but there is not enough equity in the property to pay off the note(s) and the seller’s closing costs, the seller (through the listing agent) petitions the bank(s) to release the lien(s) on the property and the liability for the note for an amount that is less than the remaining balance on the note. The seller may or may not be in default on the note (if they’ve missed more than 3 payments). Because additional approvals need to be obtained from the seller’s lender, the seller will accept a purchase offer “Subject To” Short Sale approval(s)). Because the seller’s acceptance of an offer typically indicates the beginning of the approval process with the seller’s lender, these transactions can take 3-6 months to close. It’s also possible that the seller’s lender will not approve the Short Sale at all. Short Sale  properties represent about 35% of the sales that closed last month.

3)      Standard Sales. These can be broken into 2 groups. (Data on New Home sales is not always entered in the Multiple Listing Service database and represents a fairly small percentage of sales. So, it will not be addressed in this discussion.)

1. Standard, Owner Occupied, home owner sales. The owner has equity and is able to negotiate his own selling price. The owner is likely still living in the property. This was the “norm” up until 5 years ago. These transactions can typically close 30-45 days from the acceptance of an offer. These  properties represent about 8% of recent closings.
2. Corporate owned. An investor has purchased a property (either at a Trustee’s Sale or from a bank as an REO in need of repairs). They typically put in new carpet and paint, make any other necessary repairs and then sell it right away. They, like the traditional standard home owner sale and the REO, are looking to sell for as much as the market will support. The owner has equity and is able to negotiate his own selling price. These transactions can typically close 30-45 days from the acceptance of an offer. These  properties represent about 22% of the recent closings.

So What’s the Difference??

I actually got some unexpected results while doing the research for this article.

My assumption was that Short Sales would be “trading” for a little less in the market because of the difficulty associated with them on both the buyer’s side and the seller’s side. I was surprised to find out that they’re keeping pace with the REOs. As expected, Standard Sales (which have either been maintained due to pride of ownership or have had a corporate investment made in paint and carpet) are trending higher than REOs and Short Sales.

This chart represents sales in Temecula and Murrieta California that were 4 bedroom 3 bath and less than 3,000 Square Feet.

 

Originally posted on the AimREG.com blog

This is a Temecula Real Estate Market Report for MARCH 2010 with information about REO SALES in Temecula, California 92591-92592. This report does not include luxury properties priced over $500,000. For other Temecula Valley market reports go to http://aimreg.com/blog  and use the Categories drop down menu to select the desired market reports.

The volume of activity for Single Family Residences includes 60 Active listings, 74 properties in escrow and 36 homes that have closed in the last 30 days. Recent activity for Condos includes 3 Active listings, 5 homes in escrow and 4 homes that closed in the last 30 days.

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Pricing activity for Single Family Residences in Temecula shows an average list price of $298,391 for Active listings and an average list price of $284,028 for properties in escrow. For SFRs that closed in the last 30 days the average LIST price was $263,833 , the average SALE price was $270,209  and the MEDIAN selling price was  $255,000 .  Pricing activity for Condos shows an average list price of $102,297 for Active listings and an average list price of $178,742 for those properties in escrow now. For Condos that closed in the last 30 days the average LIST price was $145,450 , while the average SALE price was $149,000  and the MEDIAN selling price was $149,000 .

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Price per square foot calculations show that for SFRs the average $/SF of Active listings is $124.86 /SF, for properties in escrow the average is $122.12 /SF and for properties that closed in the last 30 days the average was $127.47 /SF. For Condos the average $/SF of Active listings is $83.16 /SF, for Condos in escrow the average is $122.14 /SF and for condos that closed in the last 30 days the average was $111.15 /SF.

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Sellers and buyers are both interested in how long it takes to close an REO transaction in Temecula, CA these days. Most market reports will evaluate the Days On Market (DOM) figure but this number doesn't give a full picture of how long it's really taking to get an escrow closed. The DOM number counts the number of days the property is marketed but ignores how long everyone waited for bank approvals while it's in escrow. The wait has been increasing for both buyers (for approval on new financing) and sellers (for approval on a short sale). The following statistics include the usual DOM figure as well as a "Total Days" value which represents the total number of days since the property was listed.

For SFRs that have closed in the last 30 days, the average number of days the property was marketed was 25 while the average number of days from listing to closing was 62. For Condos that have closed in the last 30 days, the average DOM was 29 while the Total Days average was 77.

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This information is provided by Aim Real Estate Group Inc. and is intended for use by those who may want to buy or sell property in Temecula, California 92591/92592. Statistics presented here do not include manufactured homes, For Sale By Owner or New Construction. All information deemed reliable but is not guaranteed.

Contact Temecula Realtors (covering the entire Temecula Valley) for more information.  Please call David Northup at (951) 326-0196 to speak with a listing agent, for a list of available properties or to schedule a tour of Temecula homes for sale that interest you!

This is a Temecula Real Estate Market Report for APRIL 2010 with information about SHORT SALES in Temecula, California 92591-92592. This report does not include luxury properties priced over $500,000. For other Temecula Valley market reports go to http://aimreg.com/blog  and use the Categories drop down menu to select the desired market reports.

The volume of activity for Single Family Residences includes 332 Active listings, 176 properties in escrow and 49 homes that have closed in the last 30 days. Recent activity for Condos includes 35 Active listings, 18 homes in escrow and 8 homes that closed in the last 30 days.

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Pricing activity for Single Family Residences in Temecula shows an average list price of $269,829 for Active listings and an average list price of $266,078 for properties in escrow. For SFRs that closed in the last 30 days the average LIST price was $270,851 , the average SALE price was $267,531  and the MEDIAN selling price was  $259,000 .  Pricing activity for Condos shows an average list price of $148,323 for Active listings and an average list price of $126,665 for those properties in escrow now. For Condos that closed in the last 30 days the average LIST price was $139,800 , while the average SALE price was $131,409  and the MEDIAN selling price was $138,138 .

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Price per square foot calculations show that for SFRs the average $/SF of Active listings is $116.94 /SF, for properties in escrow the average is $115.57 /SF and for properties that closed in the last 30 days the average was $118.98 /SF. For Condos the average $/SF of Active listings is $102.76 /SF, for Condos in escrow the average is $99.56 /SF and for condos that closed in the last 30 days the average was $102.48 /SF.

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Sellers and buyers are both interested in how long it takes to close a Short Sale transaction in Temecula, CA these days. Most market reports will evaluate the Days On Market (DOM) figure but this number doesn't give a full picture of how long it's really taking to get an escrow closed. The DOM number counts the number of days the property is marketed but ignores how long everyone waited for bank approvals while it's in escrow. The wait has been increasing for both buyers (for approval on new financing) and sellers (for approval on a short sale). The following statistics include the usual DOM figure as well as a "Total Days" value which represents the total number of days since the property was listed.

For SFRs that have closed in the last 30 days, the average number of days the property was marketed was 123 while the average number of days from listing to closing was 218. For Condos that have closed in the last 30 days, the average DOM was 120 while the Total Days average was 169.

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This information is provided by Aim Real Estate Group Inc. and is intended for use by those who may want to buy or sell property in Temecula, California 92591/92592. Statistics presented here do not include manufactured homes, For Sale By Owner or New Construction. All information deemed reliable but is not guaranteed.

Contact Temecula Realtors (covering the entire Temecula Valley) for more information.  Please call David Northup at (951) 326-0196 to speak with a listing agent, for a list of available properties or to schedule a tour of Temecula homes for sale that interest you!

This is a Temecula Real Estate Market Report for APRIL 2010 with information about STANDARD SALES in Temecula, California 92591-92592. This report does not include luxury properties priced over $500,000. For other Temecula Valley market reports go to http://aimreg.com/blog  and use the Categories drop down menu to select the desired market reports.

The volume of activity for Single Family Residences includes 74 Active listings, 60 properties in escrow and 46 homes that have closed in the last 30 days. Recent activity for Condos includes 7 Active listings, 2 homes in escrow and 4 homes that closed in the last 30 days.

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Pricing activity for Single Family Residences in Temecula shows an average list price of $332,645 for Active listings and an average list price of $300,610 for properties in escrow. For SFRs that closed in the last 30 days the average LIST price was $290,047 , the average SALE price was $286,476  and the MEDIAN selling price was  $287,950 .  Pricing activity for Condos shows an average list price of $191,527 for Active listings and an average list price of $199,450 for those properties in escrow now. For Condos that closed in the last 30 days the average LIST price was $142,400 , while the average SALE price was $138,750  and the MEDIAN selling price was $138,750 .

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Price per square foot calculations show that for SFRs the average $/SF of Active listings is $139.65 /SF, for properties in escrow the average is $133.61 /SF and for properties that closed in the last 30 days the average was $130.53 /SF. For Condos the average $/SF of Active listings is $127.09 /SF, for Condos in escrow the average is $68.13 /SF and for condos that closed in the last 30 days the average was $118.46 /SF.

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Sellers and buyers are both interested in how long it takes to close a transaction in Temecula, CA these days. Most market reports will evaluate the Days On Market (DOM) figure but this number doesn't give a full picture of how long it's really taking to get an escrow closed. The DOM number counts the number of days the property is marketed but ignores how long everyone waited for bank approvals while it's in escrow. The wait has been increasing for both buyers (for approval on new financing) and sellers (for approval on a short sale). The following statistics include the usual DOM figure as well as a "Total Days" value which represents the total number of days since the property was listed.

For SFRs that have closed in the last 30 days, the average number of days the property was marketed was 29 while the average number of days from listing to closing was 63. For Condos that have closed in the last 30 days, the average DOM was 59 while the Total Days average was 113.

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This information is provided by Aim Real Estate Group Inc. and is intended for use by those who may want to buy or sell property in Temecula, California 92591/92592. Statistics presented here do not include manufactured homes, For Sale By Owner or New Construction. All information deemed reliable but is not guaranteed.

Contact Temecula Realtors (covering the entire Temecula Valley) for more information.  Please call David Northup at (951) 326-0196 to speak with a listing agent, for a list of available properties or to schedule a tour of Temecula homes for sale that interest you!

Low participation in HAMP and homeowners who aren't really out of the woods when the Loan Mod is done mean more foreclosures ahead.

Thanks to Dave Rosenmarkle for the following details.

Owners of Murrieta Real Estate in Murrieta, CA who want to Stop Foreclosure may eligible for a loan modification under the Making Home Affordable - Home Affordable Loan Modification Program (or HAMP).

 

HAMP modification steps are:

• First, reduce the interest rate to as low as 2%,
• Next, if necessary, extend the loan term to 40 years,
• Finally, if necessary, forbear (defer) a portion of the principal until the loan is paid off and waive interest on the deferred amount.

Note: Servicers may elect to forgive principal under HAMP on a stand alone basis or before any modification step in order to achieve the target monthly mortgage payment.

With all the stories out there about the difficulties homeowners have had in trying to get a loan modification you may be wondering if your lender is even doing loan mods.

Are you interested in knowing if your bank is participating in the efforts to do Loan Modifications under the HAMP program?

The chart below shows a percentage of Active Trial Modifications or Permanent Loan Modifications done by each bank with regard to the total number of loans that are eligible under HAMP guidelines.

The results may surprise you.

It's pretty clear that while GMAC is not the biggest servicer, they are doing more loan modifications per loan they service than any other bank. It's also pretty clear that while Wachovia has become a Listing Agent's favorite bank to work with on a Short Sale (see my post on that topic here - Wachovia / Wells Fargo reaching out to Temecula Homeowners), they are far more interested in doing Short Sales (and foreclosures) than HAMP loan modifications.

For more statistics and to view my complete report, you can see it here - Making Home Affordable - The banks get another report card

If you're looking for a good company to help you with your Loan Modification, contact me. I don't do them myself but I can make sure you get teamed up with a reputable company that only gets paid at the end if they're successful in getting you the loan modification.

-Temecula CA Real Estate Pros

Owners of Winchester Real Estate in Winchester, CA 92596 who want to Stop Foreclosuremay eligible for a loan modification under the Making Home Affordable - Home Affordable Loan Modification Program (or HAMP).

HAMP modification steps are:

• First, reduce the interest rate to as low as 2%,
• Next, if necessary, extend the loan term to 40 years,
• Finally, if necessary, forbear (defer) a portion of the principal until the loan is paid off and waive interest on the deferred amount.

Note: Servicers may elect to forgive principal under HAMP on a stand alone basis or before any modification step in order to achieve the target monthly mortgage payment.

With all the stories out there about the difficulties homeowners have had in trying to get a loan modification you may be wondering if your lender is even doing loan mods.

Are you interested in knowing if your bank is participating in the efforts to do Loan Modifications under the HAMP program?

The chart below shows a percentage of Active Trial Modifications or Permanent Loan Modifications done by each bank with regard to the total number of loans that are eligible under HAMP guidelines.

The results may surprise you.

It's pretty clear that while GMAC is not the biggest servicer, they are doing more loan modifications per loan they service than any other bank. It's also pretty clear that while Wachovia has become a Listing Agent's favorite bank to work with on a Short Sale (see my post on that topic here - Wachovia / Wells Fargo reaching out to Temecula Homeowners), they are far more interested in doing Short Sales (and foreclosures) than HAMP loan modifications.

For more statistics and to view my complete report, you can see it here - Making Home Affordable - The banks get another report card

If you're looking for a good company to help you with your Loan Modification, contact me. I don't do them myself but I can make sure you get teamed up with a reputable company that only gets paid at the end if they're successful in getting you the loan modification.

-Temecula CA Real Estate Pros

According to the most recent Servicer Performance Report, there has been a dramatic increase in the number of loans modified under the Home Affordable Loan Modification Program or (HAMP). The HAMP program is part of the Making Home Affordable Program launched by the Obama Administration in February 2009.

So how are the banks doing? What level of participation are different banks demonstrating?

Let's take a look.

First an overview of the entire program. Here are some interesting statistics:

• The number of permanent loan modifications is up by 45% since last month
• More than 170,000 permanent modifications have been done (guaranteed lower payments for 5 years).
• 91,800 additional modifications have been approved and are pending borrower's approval/acceptance
• Over 1,300,000 borrowers have received Trial Modification Offers
• Median Savings for borrowers that received a  permanent loan modification = $518/month
• Making Home Affordable has a goal of offering 3-4 million homeowners loan modifications by Dec. 2012.
• 1,300,000 offers to date

Of the permanent modifications that have been done so far:

• 100% had an interest rate reduction
• 40.8% had the term extended
• 27.8% had some sort of principal forbearance

The Hardship reasons for permanent modification were:

• 57.4% Loss of income
• 10.8% Excessive Obligations
• 2.7% Illness

So how do individual banks compare?

One of the biggest questions homeowners have is "What are my chances of getting a loan modification with ------ Bank?". Here's how the different banks compare.

It's pretty clear that while GMAC is not the biggest servicer, they are doing more loan modifications per loan they service than any other bank. It's also pretty clear that while Wachovia has become a Listing Agent's favorite bank to work with on a Short Sale (see my post on that topic here - Wachovia / Wells Fargo reaching out to Temecula Homeowners), they are far more interested in doing Short Sales (and foreclosures) than HAMP loan modifications.

Here are the total numbers by servicer.

 

Here is a look at the types of Investors behind the loans that have been modified.

 

And one last chart to show the MSAs with the highest HAMP activity.

The numbers show that my area of Riverside/San Bernardino/Ontario is 5th in the nation with regard to HAMP activity.

If you want to see the entire report you can access it from my site at http://aimreg.com/-hamp.asp on the left sidebar. As of this post, the Feb 2010 report is the most recent.

-Temecula CA Real Estate

Wachovia has been very aggressive in recent months, training some Winchester Realtors® to work within the system they've set up to Fast-Track qualifying Short Sales. They've also sent out over sixty-six thousand packages to borrowers who are struggling with their payments, notifying them of their Fast-Track program.

Owners of Winchester Real Estate who are having a tough time paying their mortgage (or even those who can forecast a hardship in the near future) are advised to seek the help of a Wachovia Fast-Track Trained Realtor® who can help them understand their options.

Benefits to the seller include:

• Quick approval of hardship (3-4 days)
• Quick approval of sale price and purchase offer (5-7 days)
• Offer approval good for 30 days - Extensions are easy
• YOU DO NOT HAVE TO BE DELINQUENT
• DEFICIENCY IS RELEASED
• May be eligible to receive "Cash for Keys" payout
• Okay for investor to purchase and rent back (But the investor may not be a family member.)

Qualifying loans may have been originated by one of the following lenders:

• Golden West Financial
• World Savings
• Wachovia

Contact Aim Real Estate Group to speak with a Wachovia Fast-Track Trained Realtor® and see if this might be the right option for you!