Crescent City/Del Norte County...The Other California

REO's - An Opportunity for Agents

2008-10-13T15:07:57Z

REO and short sale listings are 9% of the active listings in my market and growing by the day. They present a wonderful opportunity for buyers to get a home at a great price in many instances, especially REO listings (aka: foreclosed or bank owned).

Getting numerous REO listings would be great, but I've noticed that many lenders already have their go-to agents. In my market most of the agents who have a large number of REO listings have been in the biz a long time and have well-established relationships with the lenders and asset managers who are meting out these listings.

How can a relatively new agent get into the REO market? Here are two ways:

Beg, no just kidding. I had a phone call from an asset manager looking for an experienced REO agent in my market. I had never listed an REO and I wanted the listing, so I shared the listing with an experienced REO agent in my office. The asset manager was fine with that. What does he care? He got 2 heads for the price of one. The other agent is happy to share REO listings because of the amount of work and out of pocket expense involved. We sold the listing quickly and I how have REO experience.

Based on this experience, if you are a new agent, I would not hesitate to ask an experienced REO agent if they would consider sharing a listing. It never hurts to ask and they may be happy to have someone share the burden.
The second way to get in on the REO market is to find buyers for the listings. Since the bulk of my business has been working with buyers, this seems pretty natural to me.

First thing to do, make your clients and prospective buyers aware of the REO's in your market. One great way to do this is to email your clients a monthly market report with a summary of your market conditions and add a link to the REO listings in your market. This market report establishes you as an expert in your market and gives you a good reason to email your clients the listings.

Everytime I email a market report with a link to something particular on my website, such as REO's or custom home listings, my website traffic goes way up and I get calls. Of course you can only do this if you have the listings on your website (that is your homework assignment for today).

I have started emailing my clients whenever I add two new REO or short sale listings to my website, or if the current listings have a price reduction. This keeps my clients informed and continues to give me expert status on my market conditions.

I'm still working on getting asset managers to list with me, but in the mean time, I plan on selling as many REO listings as I can. My buyer's are looking for deals and REO listings are some of the best priced listings in my market.

Seacruise 2008 - You Should Have Been There

2008-10-12T22:43:35Z

I had a great time yesterday at the annual Seacruise Car show in Crescent City at Beach Front Park. There were about 400 entries, lots of delicious food, good music and fun.

This is a 1965 Cobra, one of my husbands personal favorites. He drooled over this car for a few minutes and then joined the Chief of Police in drooling over another Cobra not far from this one.

1963 Stingray Corvette. The weather was delightful. The ocean is a short distance on the other side of the structure in this photo.

Below: 1961 Corvette (my favorite)

1957 Nomad Wagon (Chevy)

My son, Jim Gatti. Seacruise is fun for the entire family, not just car enthusiasts.

There was a very nice crowd of friendly folks. My husband, Garry, and I saw a lot of people we know and a few of my clients. It was a very nice way to spend the afternoon.

Come check out Seacruise 2009 if you missed this years car show.

Houses are dropping like flies in Crescent City, CA

2008-10-07T23:29:55Z

Houses are dropping like flies in the Del Norte County real estate market.

I love this picture and felt it really gives the proper tone for what is happening in real estate.

Houses are dropping like flies in two ways:

One - Homes are dropping off the market. Our market is down 32 residential listings or 10% in less than 1 week. For a small market like ours that is notable. I'm noticing that the expireds are not relisting at the usual rate and that homes are being withdrawn more so than ever before.

Two - prices are dropping like flies. Homes that have been on the market for 6 months or more with the price never being reduced are now taking deep price reductions and offering incentives such as a flooring allowance, etc. to make the home stand out in this market. My guess is it's too little too late for incentives, but if you have to sell, it's certainly worth a try.

In my opinion it would be better to ask your agent for a current CMA (market analysis) using comps that are 1-2 months old and then price your home at the bottom end of the price range. There's nothing that will sell a house better than proper pricing.

The current economic woes of the U.S. are making it difficult for buyer's to get loans, that's if they even want one. With news like a recent CNN poll that states that 6 out of 10 Americans believe the U.S. is headed for a full blown depression, the expired listing owners are probably thinking, "Why bother trying to sell now." However, this decreasing inventory will help the seller's who are hanging in there, so don't give up if you need to sell.

The competition is fierce in every price range right now in the Del Norte County real estate market. Sellers, in pricing your home for sale, try to think like a buyer who is going out on a limb in this uncertain economy and wants the deal of the century and you may be one of the few listings to sell in this tumultuous market.

I am here to assist you with your real estate needs!

Brought to you by Fran Gatti at
Bus: 707-464-5400, Cell: 707-218-8162
Email: fgatti@charter.net
Website: Fran GattiHomes.com
My Blog: Fran's Blog
Fran is the #1 buyer's agent for 2007 per CCMLS

Julie Crabtree, Author of "Discovering Pig Magic" & new resident of Del Norte County

2008-10-07T00:20:36Z

Julie Crabtree is a new resident of Del Norte County, the author of "Discovering Pig Magic" and a very dear friend.

Julie and her husband Phil were looking for a slower paced, less complicated lifestyle from the San Francisco Bay Area and decided to look for a home in Del Norte County where Julie has spent many a summer vacation.

Julie found me on the internet and called to schedule some showings while on their annual summer vacation to Crescent City in 2007. We found the perfect home the second day and the rest is history.

Crescent City is blessed to have Julie, her husband Phil and their two children join the Crescent City/Del Norte County community. Julie is already active in her children's school and teaching yoga at the Healing Arts Center.

In their one year in Del Norte County, the Crabtree family has already done more cool stuff than I have in the 20 years I've lived here. Julie, the family and their dog Digby can be found at the Smith River swimming, fishing at the ocean or river, kayaking on the Rogue River, jet boating on the Chetco River, walking every beach in the county, taking the tram at Trees of Mystery and so much more.

Julie will be having a local book signing in the near future. I will be sure to do a post when I have the dates. It will be a unique opportunity to have a personally signed copy of her first novel, Discovering Pig Magic, winner of the 2008 Milkweed Prize for Children's Literature and named as a debut to watch by Publishers Weekly.

The Crabtree family is a welcome addition to our community.

Business Opportunity in heart of Crescent City, CA Business District

2008-10-06T16:52:12Z

Well Established Restaurant 4-Sale

722 3rd Street, Crescent City, CA 95531 View Map

This turn key business is ready for you. Located in the heart of downtown Crescent City's business district, Glen's Bakery and Restaurant has been serving loyal customers breakfast, lunch and bakery goods for over 61 years. All equipment and inventory is included. Give me a call for more information.

Details

Asking Price:

$450,000

MLS:

91829

Sq. Feet:

3600

Lot Size:

.14 acre

# of Floors:

Year Built:

1964

Contact Info

Fran Gatti
Realtor

Main 707-464-5400
Cell 707-218-8162
Dir 707-218-8162
Email | Website

Buyers Beware of Predatory Lenders

2008-10-04T13:56:34Z

Predatory lending is still out there and buyers need to be aware.

One of my clients decided to go with the services of a nice young man who contacted her by phone. He promised her a low interest rate along with many other enticements. She contacted me long after she had begun the loan process with Justin, her trusted lender.

It turns out that the interest rate promised is not even in the ball park of what is in the loan docs, the down payment has since increased from $30,000, to $50,000 and the loan fees for a $152,000 loan are in excess of $7500. Also, my client had no idea she was buying down her interest rate, which isn't cheap.

California is one of the 25 states that has adopted anti-predatory lending laws. These laws usually describe one or more classes of "high-cost" or "covered" loans, which are defined by the fees charged to the borrower at origination or the APR. While lenders are not prohibited from making "high-cost" or "covered" loans, a number of additional restrictions are placed on these loans, and the penalties for noncompliance can be substantial. However, this did not stop Justin from lying and in my opinion, overcharging. When I asked the owner of his company if they could lower some of their fees, he said, "Hey, everybody has to make a buck." Gee, how professional.

Buyers, there are so many wonderful mortgage brokers and lenders out there right now who actually have your best interest at heart. When choosing a lender, work with someone that has been referred by a trusted source. Make sure they've had a personal experience with that lender. Make sure you get all the promises made on a good faith estimate.

I've blogged about it before, and I'll continue to do so...a good lender is worth their weight in gold, now more than ever. If you need a referral to an honest, hardworking mortgage professional in my market, do not hesitate to call me... there are several.

I am here to assist you with your real estate needs!

Brought to you by Fran Gatti at
Bus: 707-464-5400, Cell: 707-218-8162
Email: fgatti@charter.net
Website: Fran GattiHomes.com
My Blog: Fran's Blog
Fran is the #1 buyer's agent for 2007per CCMLS

Crescent City/Del Norte County Market Report for September 2008

2008-10-02T20:16:10Z

The Crescent City/Del Norte County market report for September is better than August, however when you consider summer is our busiest time of year and sales were down 44% from September 2007, saying it was better is being kind.

The average DOM (days on market) for September sales looked better over Augusts report, which is good, but the absorption rate, the rate at which it would take to sell existing inventory at the current rate of 14 sales a month is still very high at 20 months.

It is very much a buyer's market although the current U.S. financial woes are negatively impacting the buyers ability to get a loan.

My guess after reading up on the subject is that the election isn't going to make a huge difference and that the economy will be in disarray for quite sometime. Liquidity is disappearing from our markets and loans are getting more and more difficult to find, although not impossible, hence the slowdown.

Here is the market at a glance:

Active List Price range	% of active listings	% of 2008 sold listings	Average DOM for 208 solds in the price range
199,000 & under	31%	52%	167
200,000 - 299,000	29%	33%	209
300,000 - 399,000	14%	10%	236
400,000 - 499,000	11%	2%	92
500,000 and up	15%	3%	294

The above stats show that the market is being driven by the lower priced properties. It also shows that the upper-end homes have a significant amount of competition.

More market stats:

	9/08 Sold	9/08 Median	9/08 Average	9/08 Avg DOM	8/08 Sold	8/08 Median	9/07 # Sold	9/07 DOM	9/07 Median
Residential	14	208,000	200,263	130	10	176,000	25	169	200,000
Vacant land	-	-	-	-	2	56,250	4	688	199,500
Commercial	-	-	-	-	-	-	-	-	-
Multi-family	-	-	-	-	1	295,000	2	137	383,500

If you are a buyer, now is the time to buy, but get pre-qualified with a reputable lender. I have a client who went with a lender who solicited her business over the phone and she is sorely regretful after having one lie after another convert into bringing far more money to the closing than was originally promised.

If you do not know a reputable lender, I know several who have integrity and are professional, so call me.

If you are a seller, especially in the upper price ranges, I know you don't want to hear it, but it may take awhile to sell your home. The average days on market for homes over $300,000 is 207 days. Buyers in that price range seem to be sitting back and waiting to see what is going to happen to their investments and the economy as a whole. Try to make your home the nicest in it's price range and give it good curb appeal and with property pricing it will find a buyer.

I am here to assist you with your real estate needs!

Brought to you by Fran Gatti at
Bus: 707-464-5400, Cell: 707-218-8162
Email: fgatti@charter.net
Website: Fran GattiHomes.com
My Blog: Fran's Blog
Fran is the #1 buyer's agent for 2007per CCMLS

Free House in Crescent City, CA, it just needs to be moved

2008-10-01T22:00:54Z

Yes, that's right, a free home that just needs to be moved (estimated cost if within 5 miles, $15,0000).

Here are some of the specifics:

2 car garage
2 bedroom
1 1/2 bathroom
1100 sq ft
2 car garage

There are parcels for sale where this house could be relocated, so give me a call.

If you would like to drive by, give me a call for directions.

I am here to assist you with your real estate needs!

Brought to you by Fran Gatti at
Bus: 707-464-5400, Cell: 707-218-8162
Email: fgatti@charter.net
Website: Fran GattiHomes.com
My Blog: Fran's Blog
Fran is the #1 buyer's agent for 2007per CCMLS

First American Title in Crescent City, another casualty of the financial crisis

2008-09-28T00:20:52Z

Thursday started out as usual, but my quick jaunt to First American Title to drop off some paperwork ended in disbelief when I was told that they were closing their doors next Tuesday, October 1st.

Unfortunately, the downturn in the economy is effecting all aspects of the housing industry, not just lenders and real estate agents and it isn't over yet, in fact many say it's just the beginning. After reading Matt Heaton's post today on the whole financial/bailout, my hope is that we can hang on through the shake out and come out stronger on the other side. If you haven't read Matt's post titled, Three More Massive Banks on the Brink and his very excellent post on why Failure is Important, give them a read. He does an excellent job explaining the current crisis in an easily understandable manner.

For the five lovely ladies at First American Title who have worked so hard and given professional, friendly and efficient customer service, many of them for almost 20 years, you will be very sorely missed and in our prayers as you move into this sudden, but hopefully exciting change in your lives.

"Central Park" West, Custom Home on 2.17 Park-like acres

2008-09-24T10:45:37Z

2.17 acre Retreat in the Redwoods, Fully Landscaped

103 Hill Side Drive, Off of South Bank Road, Crescent City, CA 95531 View Map

Golf course like property, fully landscaped with cedar sided home. This home has so many amenities: Fully landscaped with native plants and trees, river rock lined flower beds have drip or sprinkler systems on timers and redwood shaving weed barrier for ease in upkeep. The large circular driveway has room for plenty of parking and there is an RV pad with full hook-ups as well. The interior has lovely views of the landscaped grounds from every room and includes carpet, tan oak hardwood floors and vinyl. There are windows everywhere and 4 skylights that give the home a warm ambiance in every room. The kitchen has a gas Jen-air range, less than 1 year old Maytag dishwasher, oak cupboards with pull-out shelves, and solid surface counter-tops with oak trim. The floor plan is open and inviting, perfect for entertaining. The living room has large picture windows that let in loads of light and gives you a lovely view of the grounds. The living room ceiling is pine tongue and groove with 2 ceiling fans/light fixtures and there is a pellet stove that the owners say heats the home effectively, but there are cadet wall heaters in every room as well. The master bedroom has his and hers 8 x 8 closets and opens onto the 24 x 18 redwood deck that has an overhang to protect you from the elements when you are in the hot tub. There is an unfinished 680 sq. ft. bonus room above the garage currently used for storage. It has electricity and cable and is ready for your finishing touches to turn it into a family room, large bedroom, craft room, etc. The guest bedrooms are split off from the master and are 12 x 12 and 12 x 13. The indoor laundry has two pantry's and oak cupboards. The neighborhood is a peaceful,highly desirable place to live with the surrounding homes on like-size parcels. Please click on the additional photos link for more than 80 additional pictures of the home, grounds and landscaping.

Details

Asking Price:

$447,900

MLS:

61806

Sq. Feet:

1922

Lot Size:

2.17 acres

Bedrooms:

Bathrooms:

# of Floors:

Garage Size:

Year Built:

1994

Contact Info

Fran Gatti
Realtor

Main 707-464-5400
Cell 707-218-8162
Dir 707-218-8162
Email | Website

Mt. views, close to Smith River, lovely setting = Perfect

2008-09-23T23:45:54Z

Rare listing in Gasquet. 3/3 home w/shop on 1 acre

1675 Gasquet Flat Road, Gasquet, CA 95543 View Map

A rare Gasquet listing - this 3 bedroom, 3 full bathroom home sits on one acre close to the Smith River and with a view of beautiful French Hill. The living areas have solid wood tan oak flooring, kitchen has oak cupboards and breakfast bar, dining room is well lit with 3 large windows, the living room has a fireplace with raised brick hearth and french doors that open onto the expansive deck. There are two master bedrooms, each with their own full bath, plus another full bath for the guest bedroom. Master bedroom opens onto the sunny deck and has a lovely view of the landscaped backyard and French Hill. The gianormous shop has a 12' door, standard height door, it's own driveway, chimney for wood or pellet stove, windows and high ceiling. Other amenities, 1 car attached garage with laundry, forced air heat, apple, plum and cherry trees, garden area. All this for $350,000. Call for a showing.

Details

Asking Price:

$350,000

MLS:

61807

Sq. Feet:

1444

Lot Size:

1 acre

Bedrooms:

Bathrooms:

# of Floors:

Garage Size:

Year Built:

1975

Contact Info

Fran Gatti
Realtor

Main 707-464-5400
Cell 707-218-8162
Dir 707-218-8162
Email | Website

Crescent City loses one of its own - Bruno de Solenni

2008-09-23T10:20:57Z

Crescent City loses one of its own

Published: September 21, 2008
The Daily Triplicate

See related web site link(s) at the end of the story: Click Here

Click this picture to view a larger image.

Bruno de Solenni of Crescent City comes back from a recent patrol in Afghanistan. He was killed while on duty there Saturday.
Photo courtesy of Charlie Eckert

Fran's note: Please keep the de Solenni family in your prayers.

Capt. Bruno de Solenni of Crescent City has been killed in Afghanistan, his father said Sunday.

de Solenni, a 1994 graduate of Del Norte High School, was apparently killed Saturday by an improvised explosive device, said his father, local attorney Mario de Solenni.

Bruno de Solenni was helping train Afghan soldiers while engaged in frequent firefights with Taliban forces in Afghanistan's Helmand Province.

He had been expected home before Christmas.

As a member of the Oregon National Guard, he had also served in Egypt and Iraq.

Bruno de Solenni and his family were the subjects of a front-page feature story in The Triplicate on Sept. 6, and his letter from Afghanistan was reprinted with photos he sent on The Triplicate's features cover Sept. 13.

Letter from Afghanistan - Bruno de Solenni

2008-09-23T10:17:20Z

Letter from Afghanistan

Published in The Daily Triplicate: September 22, 2008

Editor's note: This is the unedited version of the letter emailed to Triplicate reporter Adam Madison on Sept. 11 from Afghanistan by Capt. Bruno de Solenni of Crescent City. Bruno died from an IED a week after The Daily Triplicate published this letter the first time.

Fran's note: Please keep the family in your prayers.

Hi Adam, my name is Capt. Bruno de Solenni and I am writing you in regards to your article that I finally was able to read online.

I really wasn't sure what to expect, especially nowadays with some of the crap that you read in the news. I will say that I was surprised and pleased that it wasn't over-sensationalized and you kept a good theme on the topic.

I guess the main reason I am writing you is to thank you for your support and the point of view that you took on the article. I know that sometimes it is difficult to actually print something without being biased and taking just one side. But I will tell you the truth and give you an honest opinion about my life in the National Guard, about the war over here and many of the decisions leading to my third tour in the Middle East.

First off, when I first joined the National Guard, back in 1996, I had no idea that I would be here today. I do remember making the decision on Christmas Day when I was about 20 years old and felt like I was going nowhere with my life and needed to take a new direction. As my father and mother had stated earlier, I was always fascinated with history and the military, and was amazed at some of the hardships my grandfather endured in both WWI and WWII.

So the following Monday on the 26th I called a recruiter, and took the asvab test on the 27th in Eureka. Three days later I was down at the Oakland Meps station getting sworn in as a 62E (heavy equipment operator). When they asked when I wanted to go to Basic, I told them, "how about next week?" and they kind of laughed at me and explained that the soonest they could get me in was 30 days. On the 29th I boarded a plane and my life was forever changed, without me even knowing what lay ahead.

Eventually, a few years after joining, I did decided to go back to college at Southern Oregon University in Ashland, Ore., where there was a GOLD (Guard Officer Leadership Development) program that allowed me to earn a federal commission as an Army officer while I continued to work toward my degree (which the National Guard also paid for).

In a sense, I was doing exactly what the National Guard said I could do if I joined ... Finally, on May 11, 2001, I received my commission as a young, immature, 2nd lieutenant full of piss and vinegar still not knowing exactly what I was getting into.

When Sept. 11 happened, it was then that I realized that things were going to be very different for me and the rest of this country. One month later our battalion received the alert order that we would mobilize the following year to fill in on the current MFO (Multi National Force and Observers) mission in Sinai, Egypt. After returning from Egypt, I was home for eight months before volunteering again to go to Iraq for OIF II. It was there I truly (became) an infantry officer and learned a lot about myself and people in general.

Upon my return from Iraq, I was positive about what was going on there but very resentful at the way the media was covering the war over there. In my own view, I personally feel that some of the media deliberately fueled that war based on their own biased political views and I still hold them accountable for their actions.

Something that still upsets me is the fact that they exploited some of the crimes soldiers committed over there as a reflective view to the rest of the world of what our armies stood for. I am not saying that we didn't make mistakes, we did make them and we have painfully corrected them.

After returning from Iraq I took a break and just stuck to the one weekend a month traditional Guard and used my experiences from Iraq to lead a recon/sniper platoon out of the Grants Pass Armory for about 2.5 years. Then I received the opportunity to come to Afghanistan and work as an Embedded Trainer with the Afghanistan Army.

Some of the biggest dilemmas that I think we have faced here are mostly the fact that Afghanistan seems to have been put on the back burner up until a few months ago when the casualties here began to exceed those in Iraq where there are four times as many soldiers. Our true problems here are definitely reflective of the Pakistani border and the lack of troops covering it, which has been an issue for years and is being exploited by the Taliban as they train freely in Pakistan, unopposed by anyone.

In my opinion, Afghanistan does need a troop surge of American soldiers as well, otherwise we will only be able to sustain combat operations with minimal effect of containing Taliban insurgents. As I speak about this, these are only my views and opinions based on my experiences.

Even though I am now recuperating in the rear and doing fine, much of my time along with other teammates has been spent in the Helmand Province working with a handful of British soldiers in small isolated FOBs conducting offensive operations with the Afghan National Army. Our task is to mentor them during combat operations and to provide both air support and indirect fire support, which seems to sometimes be a daily necessity over here.

The good days over here are when we are truly sticking it to the Taliban in a firefight that is in our favor and you just dropped 130 105mm rounds on their position. Or when a ... hot F-15 pilot flies over your head strafing the Taliban with his Vulcan cannons.

The (bad) days are when you are covering up your your sergeant major from being exposed to the dust-out of a Chinook helicopter that is landing to medivac him out. At the same time he cries because he doesn't want to leave his team as he lies there half paralyzed with shrapnel in him, while fluids are coming out of his eyes and ears signifying severe brain trauma, (meaning we cant give him morphine).

The bad days are when you put your buddy in a body bag and you don't even recognize him because his limbs are missing and there holes in him everywhere. The miracles are when his last words are, "tell my wife and kids I love them," before he dies in his best friend's arms after struggling for several agonizing minutes to get the words out because there is a fist-size hole in his head.

And last but not least, the best days are when an Afghan comes up to you thanking you for everything that you have done to help them and for making their (home) a better place now that the Taliban are gone.

If anything, this is probably the biggest reason why I proudly enjoy being over here. I can't explain it to anyone and there is no description of what it feels like, but it was the same feeling I got when I was in Iraq as well. And I am sure it's the same feeling that generations of American soldiers before me have gotten as they fought and sacrificed their lives for the freedoms that we enjoy today.

Perhaps the biggest thing that has made being over here much more bearable, is the amount of public support that we have received from people. Getting a care package or a letter of support when you are out in the middle of nowhere from a complete stranger, thanking you, does make the day seem a little better.

I would especially like to thank my Aunt Jan Martin, and The local Troop Support organization who have provided care packages to soldiers serving overseas and have volunteered endless hours of their time and energy making our lives easier. The British soldiers (who don't get anything) are extremely grateful as well.

Along with this, I would especially like to thank the members of the VFW who donated several hundred dollars of G.I. shirts to the company of Afghans that I have been mentoring. You have all truly made my life and my job easier. Without your support, life would not be as pleasant.

Last but not least I would truly like to thank everyone who has supported the soldiers and the efforts toward supporting these wars even when there wasn't an end in sight. Until about 6 months ago there wasn't a news outlet that was saying that the Iraq war was winnable and that this was another vietnam in the making. Had we let the politicians get ahold of this war it would have been.

Fortunately our president (who is not perfect) has stood his ground against the naysayers who deliberately exploited the death of American soldiers for their own political gain, showing no regard to their families and loved ones who are still mourning them to this day.

I can understand what it was like for Vietnam veterans who returned from the war and were spat upon for wearing their uniform and standing up for what they believed in. Unfortunately this is still all-too-true for many of the British soldiers returning home to their own country. There are even certain ethnic religious neighborhoods where they cannot even wear their uniforms because they will be beat up in their own country.

I pray to God we never come to that and thank the fact that what has changed drastically between Vietnam and now is that even if the public doesn't support the war, they still support troops which makes a huge difference. This is especially comforting if you are one of those soldiers walking through the airport wearing your uniform and coming home on leave or returning from a deployment.

Once again, I cannot thank everyone enough for their support and all that they have done ...

Sincerely,

Capt. Bruno de Solenni

To the de Solenni family,

Words can not express my sorrow for your family at this time. I am thankful for men of Bruno's caliber, who are willing to volunteer for our country and give the ultimate sacrifice.

You are in our prayers,

Garry and Fran Gatti

Brother, can you spare an $85 billion bail out?

2008-09-17T01:58:20Z

Some would say our economy resembles a house of cards. You certainly get the feeling after reading this press release:

The Federal Reserve Board on Tuesday, with the full support of the Treasury Department, authorized the Federal Reserve Bank of New York to lend up to $85 billionto the American International Group (AIG) under section 13(3) of the Federal Reserve Act. The secured loan has terms and conditions designed to protect the interests of the U.S. government and taxpayers [Oh sure. Don't you have every confidence in this statement? I just heard a lot of, "Hell No's"].

'Scuz me. 85 billion? This is scary stuff. I hope someone at AIG is getting more than a slap on the hand for this mess.

Everywhere you turn there are people who are hurting financially, who need to sell, who are getting a divorce from the stress, have health issues, have lost jobs, a loved one has passed and on it goes.

With all the stress in your life, do you want to repay your credit card debt, your mortgage, your car payment? Wouldn't you like to have the fed bail you out too? Is that unreasonable?

Many of us have financial problems due to poor decisions or just life coming at us. We're treading water, paying the bills, and keeping afloat, sort of. Most of us have been pretty responsible and heck, haven't missed any payments in years, but now we're sick of it. Can we just charge up the rest of the available balance on our credit cards, get a HELOC and buy a fishing boat or something and when we can't make the payments get a bail out? I think we should. Irresponsibility seems to get rewarded.

Don't you want a government bail out too!?

How will the Lehman Brothers Bankruptcy Affect You?

2008-09-15T22:33:00Z

My husband called me at work today and asked if I had heard the news? I wanted to sound intelligent, but no, I hadn't heard any news all day. I had been sitting at my computer trying to optimize my listings and assist buyers.

He told me that Lehman Brothers had filed bankruptcy and that I should read about it on the internet.

After we hung up, I thought why should I read this stuff? It makes me really anxious about my own financial situation and who needs to be more anxious? However, I figured it would affect my clients in one way or another, so I read up.

Why did Lehman Brothers have to file bankruptcy?[Here's my disclaimer. I am not an expert on financial markets. I gathered my information from several different internet sources that seem reliable and I am putting what I consider the meat of it all in this blog post. For a deeper look into the U.S. economy and banking woes, I suggest you do your own search and read up on what is happening.]

Banks, financial institutions and Wall Street firms have made trillions of dollars in loans to consumers who did not have the ability to repay the debt, hence, the subprime crisis. These institutions are now writing off these losses and many of them do not have the capital to keep functioning, hence bank failures. I am aware that this is simplistic. There are other considerations, but most experts agree the spark for our current state of affairs, including the Lehman Brothers bankrupcty, was/is the subprime fiasco.

The federal reservce opted not to assist Lehman Brothers as they did Bears Stearn. The fed gave several reasons for this such as the economy is better prepared at this time to deal with the Lehman collapse than at the time of the Bears Stearn debacle as well as the fed doesn't want to become the first response in similar disasters. Liken it to a parent with several children. You assist one child, then the others are all standing there with their hand out thinking they deserve the help too.

AIG, the leading US-based international insurance and financial services organization, is in trouble too. Their troubles began with big losses in their mortgage investment portfolio. They were managing these losses until AIG's very large position in the derivative market put them in a compromised position. If AIG's credit rating falls, and it is expected it will, they will be forced to cough up so much cash that the companies survival is in doubt.

A consortium of 10 of the worlds leading financial institutions, including AIG, are pumping money into a fund that is aimed at assisting at risk financial institutions, but this is seen by many as putting a finger in the bursting dike. The experts I read today all agree that the dike will not get fixed until a way is found to stabilize the ailing U.S. housing market and stop loan defaults. Until then, money will continue to tighten up keeping buyers out of the market, people who rely on the housing market for their income will be hurting, consumers who are in tough financial positions will continue to default, housing sales and prices will continue to decline, and banks who need consumers to repay their mortgage and credit card debt to stay in business will continue to fail.

Times are tough and it's going to continue for another year, maybe more. That seems to be the only thing you can take to the bank.

Chinook Salmon Fishing in California? Only on the Klamath River!

2008-09-13T15:48:54Z

Frustrated Chinook salmon sport fisherman are flocking to Del Norte County and the mouth of the Klamath River.

Sacramento fishing guide, Bob Sparre, headed to Klamath with his fishing boat and 25 of his clients because his chances for work this year in the Central Valley ended with the collapse of the Sacramento River salmon population. The colapse led to the closure of the ocean commercial season along with the entire coast and limited fishing throughout the state.

Barbara Stillwell made the journey to Klamath because she can't fish the Sacramento River.

"There's no fishing anywhere else," Stillwell said, along with the comment, "There's no salmon anywhere else."

Kai McGee, a fishing guide for 26 years in popular fishing haunts such as Alaska, Mexico and Costa Rica, said that while he's scouting the river he's noticed more big fish making it upstream. This is a good indicator for sports anglers anxious to catch fish.

"The last couple of weeks we've seen the big guys come up, 50-60 pounds, I mean they are huge."

McGee and the other fishermen are waiting for the salmon still in the ocean to run the river. Once that happens, crowds will gather.

Chris Reid said, "We're waiting for the run." Reid came from Reno, NV, to the Klamath and says he's been "slamming them" and is hopeful for more.

Larry Hanson, a senior biologist with the California Department of Fish and Game says the high number of jacks in the river is a sign of things to come next year. "I can't overemphasize what good news this is," Hanson said.

Hanson said fishers on the lower Klamath still have 10,577 fish to catch this season.

Chinook salmon season is alive and well in Klamath, Del Norte County, California.

Source: The Daily Triplicate

Crescent City/Del Norte County Market Report for August 2008

2008-09-09T21:43:47Z

Crescent City/Del Norte County Real Estate Market Report for August 2008 - still slow.

I have put off writing this report because I'm a little tired of constantly being the bearer of bad news for sellers, however, it behooves all of us who are involved in the home buying and selling process to know our market, good or bad.

August had 9 residential closings, which is very low. We currently, as of today, have 306 active residential listings, which is very high. The absorption rate, the rate it would take to sell all the active listings at the current rate of 9 a month, is almost 3 years, which is the highest I have seen since I have been tracking these statistics (about 2 years).

If you have tried to get a loan or know someone who has, you know that money has tightened up and it is much more difficult to get a loan than it was a year ago.

42% of the listings in our market are $300,000 and up, but have comprised only 16% of the sold residential listings for 2008. I know I sound like a broken record, but if you are selling a home in the over $300,000 price range, you have a lot of competition and you need to be at the lower end of your price spectrum if you want to sell.

If you are a buyer...the world is your oyster...sort of. Do yourself a favor and get pre-approved BEFORE you house hunt. With money as tight as it is, you may not qualify for the same amount you were approved for 4 month ago. Things have changed in lending quite a bit in the last few months and lenders are still failing. It would benefit you to go with a strong lender that will be there in 45 days when you need to have your loan funded to complete the purchase of your home.

There may be a brighter day approaching; there are 26 homes in contingency sale or pending status. That is encouraging, but as I previously stated, lenders are still failing and money is getting tight. Escrows are being impacted by these changes and just because a home is in escrow, it doesn't mean a thing until it reaches the Big Kahuna of real estate...recording title in the buyers name.

Here is the market at a glance:

	8/08 Sold	8/08 Median	8/08 Average	8/08 Avg DOM	7/08 Sold	7/08 Median	8/07 # Sold	8/07 DOM	8/07 Median
Residential	9	172,000	180,278	198	11	180,000	22	157	181,500
Vacant land	2	56,250	56,250	122	3	95,000	2	282	159,500
Commercial	-	-	-	-	1	150,000	-	-	-
Multi-family	1	295,000	295,000	181	-	-	-	-	-

Now, more than ever, you need a real estate agent who knows your market and can assist you with properly pricing your home. Please give me a call for assistance with the purchase or sale of your home.

I am here to assist you with your real estate needs!

Brought to you by Fran Gatti at
Bus: 707-464-5400, Cell: 707-218-8162
Email: fgatti@charter.net
Website: Fran GattiHomes.com
My Blog: Fran's Blog
Fran is the #1 buyer's agent for 2007per CCMLS

2nd Bridge and The Smith River - Series: 101 Reasons to Move to Del Norte County

2008-09-06T01:15:26Z

Hi Everyone. Here is another entry in my series: 101 reasons to move to Del Norte County. Undoubtably the Smith River is right up at the top of the list.

As residents of Del Norte County know, the river has many uses, kayaking, fishing, rafting, and of course jumping off rocks into the water.

Today is a balmy 85 degrees and it is Labor Day Weekend. I am about to demonstrate my jumping into the water technique. It's funny how I look 28 years younger in my swimsuit.

And there I go. Yippee. The water isn't too cold because it is late in the season, but just so you know, it's snow melt water. The Smith River is the ONLY undammed river in California. Notice the lovely emerald green color and how you can see the bottom.

Theres no pollution in that river.

Notice my technique, like I'm running. This is so I make a really big splash.

For the non-jumper, there is of course the option of walking into the water and swimming around that way.

This swimming hole is known as "Second Bridge," because, you guessed it, you go over another bridge before getting to this one and it's the 2nd Bridge.

There is a parking lot just a short distance away, then a kind of steep trail to get to the beach. If I can make it, anyone can.

If you don't feel like jumping or walking in, there is the option of swinging in. This option is for persons who have some upper body strength.

Notice how high I get in this photo. I sure appear to be in great shape. Funny, I don't feel that way.

And here is........the second bridge. I have seen many a teenager and 20 something person jump off of the bridge into the water.

I only recommend this for those who have paid up life insurance.

What would be a day at the river be like without sitting on the beach in the sun checking out the hot guys?

Second bridge has a nice sized sandy beach, but no bathroom facilities so keep that in mind.

OK. I can not tell a lie. The pretty girl in this post isn't me. I know you are shocked but hey, my bikini days are totally over.

These lovely pictures are courtesy of some really nice people.

The Smith River and the 2nd Bridge swimming hole is another of the 101 reasons to move to Del Norte County.

No Traffic, No Smog, Mild Climate...Del Norte County...Where the Redwoods Meet the Sea. Come check us out.

What Do Clients Want?

2008-09-05T23:34:28Z

What do clients want? As a real estate professional in a declining market, knowing the answers to that question is what sets you apart from your competitors.

I have the privilege of working with a lot of wonderful clients. I enjoy working with them so much and it is an honor to be entrusted with their home sale or purchase. Several of these clients have made the move to working with me and my office because they are looking for:

Honesty and candor- If you read my market reports, you know I am not giving the rosy picture of my market that some agents give. I have heard the theory that if you are upbeat, it will breed consumer confidence and help turn the market around. That theory is sort of like, "love your children and they will obey you." Hah, any parent of a teenager knows that theory doesn't hold water. Denial land isn't where we need to be when assisting clients who need to sell their home. An extensive knowledge of your market and sharing that knowledge honestly and articulately is what your clients need from you, their agent.
Genuine concern - I don't think we need to expound much on this one. If you don't have genuine concern for your clients, you are in the wrong business and you need to quit.
Business insights - Know your market, know your market, know your market. What more could a client ask for than an expert in their market? I have also gained clients recently who want someone who has a strong internet presence. The internet is the buyers #1 tool of choice in locating listings and an agent, so optimize this important tool to it's fullest.
Better communications - I am getting a lot of new clients who are bailing on their previous agent because they never heard from them. The client felt left on the back burner and unimportant. How difficult is it to drop an email to your client saying you appreciate their business and give them a little market update?
Partnership - The dictionary says a partnership is a joint concern. A joint concern definitely describes the relationship between a seller and agent as well as a buyer and agent. Treat these relationships with care as you would any partnership.
Diversity - Don't be afraid to show your clients there is more to you than real estate. I have become good friends with several clients because we found common ground other than real estate. It's a bonus when a client becomes a friend as well.

All these points are important, but the most important to my clients is that I communicate with them on a regular basis. I prefer email because I convey my thoughts better through my fingers, but if a client does not use email, then I force myself to make the call.

Now, more than ever, your clients need to hear from you regarding their listing, their escrow, their inspections, their offer, etc. Pick up the phone and give them a call.

I am here to assist you with your real estate needs!

Brought to you by Fran Gatti at
Bus: 707-464-5400, Cell: 707-218-8162
Email: fgatti@charter.net
Website: Fran GattiHomes.com
My Blog: Fran's Blog
Fran is the #1 buyer's agent for 2007per CCMLS