Jefferson's Blog

got any clients looking for a used police station???

Fri, 04 Dec 2009 19:07:52 -0600

"Looking for an office building with bulletproof windows, mirrored interrogation rooms and a big vault? It could be yours for just $4.5 million. The seller is motivated."

FHA 3.5% down payment in jeopardy?

Fri, 04 Dec 2009 18:55:14 -0600

The Los Angeles Times ran an article yesterday reporting that the Federal Housing Authority backed loans, which have become increasingly important in getting the real estate market moving again, may soon begin requiring more cash from buyers up front the the current 3.5% buyers pay as a down payment. This could certainly spell bad news for many buyers, as well as for sellers looking to get their properties moved, and the market in general. From what I can glean from the article, it doesn't seem especially likely that it's going to happen anytime soon. That said, as buyers continue to default on loans, including FHA loans, FHA's reserves have fallen below mandated levels.

I personally hope ths does not happen, for obvious reasons. However, I understand the need for buyers to have more skin in the game. I think the simple answer is strict FICO and income requirements, for a start at least.

Full story HERE.....

elton john's sierra towers condo published in AD

Sun, 29 Nov 2009 01:10:13 -0600

Those who consider themselves either Elton John fans, or devotees of the high falutin' Sierra Towers condo building off of Sunset Blvd will enjoy the photo spread in this month's Architectural Digest of Elton and partner David Furnish's 20th floor unit, which they purchased in February 2007. The unit has been completely remodeled into a much more contemporary, "70's inspired" modern by designer Martyn Lawrence-Bullard.

For those not local, Sierra Towers is pretty much THE only high rise condo building on the Sunset Strip west of Crescent Heights. Currently there are 12 listings in the 146 unit building ranging from $1,350,000 for a 2br/2ba 1,672 sqft 16th floor unit all the way up to $4,995,000 for a 2br/2.5 bath junior penthouse (31st floor) with 2,101 sqft.

For the entire spread, go HERE.

foreclosures in california may be slowing down...

Wed, 21 Oct 2009 13:11:19 -0500

The LA Times is reporting today that an expected flood of foreclosures may not come to pass, as financial institutions work to help owners stay in their homes. The number of foreclosures in California for the 3 months ending September 30th was down 37% over the same period last year, when foreclosures in the state reached an all time high.

"It's not out of the goodness of their hearts," John Walsh, president of MDA DataQuick, which provides real estate research, said of lenders' reluctance to foreclose. "It's because they've concluded that flooding the market with cheap foreclosures in this economic environment may not be in their best financial interest."

Well, no duh.

Full article here....

a primer for first time buyers....

Tue, 06 Oct 2009 15:34:15 -0500

Another worthy story in the LA Times last week that I wanted to get posted for clients on the fence, and Realtors who are welcome to re-post. As we ALL know, this is the time for first time buyers to take the plunge. Prices are down (possibly all the way before they start back up) and interest rates are insanely low. Factor in the $8,000 first time homebuyers credit, and you have the perfect storm for first time buyers ready to get into the market.

This is a great article that will help consumers get an idea of what they need to be prepared for as they begin their search. From analyzing what you can afford to preparing yourself for the initial expenses you'll incur during the purchase (and after), this is a great read.

Full story HERE....

CALL TO ACTION: $8,000 tax credit...the clock is ticking. or is it??

Tue, 06 Oct 2009 15:02:07 -0500

By now everyone is aware of the $8,000 tax credit being offered to qualifying first time home buyers. Originally it had to be repaid, now it's a freebie that is part of the larger economic stimulus plan. The official end date for the program is November 30th, 2009. This means that transactions have to be CLOSED by that date. Given how long it's taking many loans to get approved even for the most stellar of candidates, that means that time is running out for those looking to cash in on the program before it expires.

There is, however, talk of extending the program. The Washington Post reports that with a dip in sales in August over July, we are reminded of the delicate state that the housing market remains in. controversy over how much the program is really bringing buyers in abounds, with some of the belief that it's not enough of a factor in the decision making process to warrant continuation. Others feel strongly that it's pushing buyers off the fence in huge numbers, including the National Association of Realtors. And we're the ones dealing with these buyers on a daily basis.

NAR has even issued a call to action on all Realtors® to email their Senators and Congresspersons regarding this issue. Go HERE to participate. It takes literally 20 seconds to do.

LA times reports on increasing availability of architectural gems...

Tue, 06 Oct 2009 14:25:15 -0500

I wanted to get this posted last week after the article ran, but didn't get to it, so here it is. LA Times ran a great piece about a steadily increasing supply of architecturally significant properties. With the drop in prices that the Southland has seen in the past couple of years, the possibility of purchasing a property by a well-known architect has become a greater possibility for many buyers.

Who knew an original Schindler could be had for $265,000. They're out there, folks!

Go here for the whole story....

it's not a buyer's market everywhere....

Mon, 04 May 2009 18:50:40 -0500

The Los Angeles Times ran a great article on Sunday that just reiterates the fact that a) real estate is an extremely LOCALIZED market, and b) it pays NOT to let the media get you all whipped up into a froth, because they often oversell a trend, and/or are a day late and a dollar short on reporting them.

Many buyers have become very frustrated and disenchanted with the market right now after finding out that, despite what the broad strokes painted by the national media would indicate, sellers are for the most part NOT desperate, NOT having fire sales, and are NOT about to give their properties away for a song. It is a scenario I've seen play out more than a few times with potential buyers I've spoken to. Especially buyers from out of town, who somehow have it in their heads that they are going to waltz into a $900,000 house in West Hollywood, offer $350,000, are going to be greeted as liberators by the seller.

Not. Gonna. Happen.

There are great deals to be had out there if you're realistic AND patient. There are many properties out there listed at as much as 40% less than what they sold for few years ago. Realism and tenacity will take you far in this market!

cute lil' house in weho...grab it now.

Tue, 21 Apr 2009 17:45:26 -0500

I mean, really. When was the last time you could buy a cute, done house on your own little piece of land for $460,000? I'll answer that for you. In the past 5 years, you had exactly 1 chance, and THAT was a 727 sqft lot.

Here's a sweet little gem, completely remodeled in West Hollywood. Really cute 2 bedroom, 1 bath . According the listing, it has new Stainless steel kitchen with top of the line KitchenAid Fridge, dishwasher, stove,& microwave hood. New hardwood floors, gorgeous tiled bathroom, separate laundry area w/washer/dryer hook-ups, a small enclosed backyard, new plumbing, roof & landscaping with automatic sprinklers, prewired for phone & network throughout the house, ADT alarm system & new forced A/C & Heat. A great condo alternative, perfect for a couple, or single artist, professional. Walking distance to Melrose & SM best cafes & shops.

At just $459,000, this one will probably go fast, so get in now if you like it! Give me a call and I'll set up an appointment for us...

now THIS is effective marketing...

Mon, 20 Apr 2009 20:54:39 -0500

Look, I know we've all come across, and tried to get listings from, For Sale By Owner properties. Some have more of a handle on what they're actually doing than others, but at the end of the day, few really know what they're getting themselves into, and as we all know, a large marjority of those eventually end up hiring a Realtor.

Here's one in desperate need of some marketing tips...

how low can you go???

Tue, 14 Apr 2009 13:38:14 -0500

Just when I think I see the best deal I've ever seen on West Hollywood's desirable Kings Rd along the strip of condo buildings that run from Santa Monica to Melrose, another one pops up seemingly more unbelievable than the last. A brand new listing just hit the MLS yesterday at 740 Kings Rd that is probably the least expensive 1 bedroom I've seen on Kings Rd. since I got into real estate 5+ years ago. The unit is a 3rd floor unit with a balcony and is 664 square feet.

Price? $289,900

It's a foreclosure and sold for $410,000 back in March 2006. If you want to see it and get in on the action, give me call. Interest rates are INSANELY low right now. It's time to JUMP!

yet another hot deal in weho...

Thu, 09 Apr 2009 01:57:18 -0500

It's been a while since I've blogged, and now I'm going to try to get back into it, in conjuction with my new Twitter account (follow me at twitter.com/jphendrick). I hate that I'm at the age where I feel a bit overwhelmed by technology. No worries...I'll figure it all out.

Anyway, WeHo has been one hot deal after another, and the ones that are priced right don't last long. This one just hit the market today and it is an exceptional deal. Here are the specifics:

1131 Alta Loma Rd.

2nd Floor unit

Balcony w/city views

1 block from Sunset Strip, walk to restaurants, Equinox gym, all the best shopping

Designer done

Full service building (concierge, valet)

$389,000

The unit sold for $650,000 in July 2007. This one will go quick, quick, quick. If you're interested, get in touch and I'll get you in.

sometimes real estate's a superbitch...

Thu, 20 Nov 2008 13:59:05 -0600

Back in May, I blogged about Christina Aguilera's house in the Hollywood Hills, which is STILL on the market after 205 days. Well, it appears that she (or her Realtor, or business manager) finally got the memo that the economy's in the crapper and if it wasn't selling at $7.995 BEFORE the economic meltdown, it sure ain't now. They hacked a cool million off the asking price this week, bringing it down to $6.995. As you may recall, she and husband Jordan Bratman purchased the old Osbourne estate in Beverly Hills a couple of years ago.

Now, hack another million off, and let's get that house SOLD!

civil war erupts in toney beverly hills enclave.

Thu, 20 Nov 2008 13:34:34 -0600

...or "when stars collide."

Residents of upscale gated community Beverly Park (price range: $14m - $50m) are in a battle over use of an entry gate to North Beverly Park, which for two decades has been freely used by residents of South Beverly Park. Under new restrictions, the residents of South may still use the entrance, but guests, deliveries, gardeners, etc may only use the South gate entrance, requiring detours of as much as 7 miles on Benedict Canyon and Coldwater Canyon Drives.

Everything was hunky-dory until March of 2006, when the North BP's HOA fired off a letter to South BP, demanding that they “pay their fair share of costs we [the north association] are incurring for maintenance of the roads, gates and security.” The amount specified was $121,000 a year.

Blah blah blah and cut to HOA members of South counter that restricting access to this gate would be detrimental to their property values and cause great inconveniences.

Can't we all just get along??

For the whole story, go here.

THIS is the time to buy

Fri, 05 Sep 2008 11:33:23 -0500

Quote of the Day:

"I would say that this is an opportunity that you only see every ten years. Don't wait for the very low end of the market. Once it's recognized, it's too late to go in at the low. Put in a low bid, go out shopping. There's lots of houses. If you've got good credit, you can get a mortgage. If you don't buy now, when will you buy?? THIS IS THE TIME TO BUY."

- Barbara Corcoran, Today Show Real Estate Contributer, when asked by Billy Bush for one piece of advice for young buyers considering entering the market.

real estate agents like to be fed!

Sun, 31 Aug 2008 16:26:00 -0500

Saturday's Los Angeles Times ran a story focusing on something near and dear to my heart...broker's opens that serve lunch!! I will be the first to admit that often (not always), I plan my caravan route around who is serving lunch. I mean, come on. Caravan runs from 11am to 2pm here. And anyone who knows me knows I have to be fed about 5 times a day or I get fussy and cranky (not to mention shaky - I think I have low blood sugar). How better to get as much out of that 3 hour window, and get to as many properties as possible, than to be able to squeeze lunch in WHILE checking out properties.

As the article mentions, some agents really do go all out. Just a couple of weeks ago, an agent in my office had his new $4.995m listing open to brokers for the first time and had a full sushi lunch catered by Sushi-Ya. He also had Starbucks there making drinks for people. Especially in a time where there are more listings competing for the attention of agents, anything you can do to get more traffic through, eyes on and tongues wagging aboiut your listing can only be a good thing.

It's noted in the article that one pitfall of this is that you get a lot of agents who aren't there to do business, but to do lunch. That's bound to hpapen, but as stated above, the more people who see your property, the more people are talking about it.

Full story here.

mystery buyer plunks down $750,000,000 for new digs

Wed, 20 Aug 2008 14:20:28 -0500

An anonymous Russian buyer has paid $750,000,000 - the highest price ever recorded for a home - for a home on the French Riviera. Local real estate agents were left pretty much aghast it seems, and fueling local concerns that the invasion of Russian money is getting out of hand. The property, called Villa Leopolda, and located on the heights of Villfrance, was previously owned by Edmond Safra, a Lebanese banker who was killed by an arsonist's fire in Switzerland in 2003. It's being sold by his wife.

More about this ridiculousness HERE. It's actually a great read with some excellent insight into the increasingly astonishing amounts of Russian money coming into this playgrounds of the rich and famous, including Cap Ferrat, Cap d'Antibes, Saint-Tropez.

UPDATE: Reports have come out claiming that the mystery buyer is Russian bazillionaire Mikail Prokhorov, though his spokesperson denies it. Guess we'll see.....

socal home sales jump 13.8% in july

Tue, 19 Aug 2008 10:51:31 -0500

The Los Angeles Times is reporting this morning that Southern California home sales jumped an amazing 13.8% in July (over July 2007). Falling prices and foreclosures are reportedly the main catalyst in the first year over year increase the region has seen since 2005. Riverside county saw an astounding 48.6% jump, while Los Angeles County actually saw a 3.2% decline.

Full story HERE.

do you believe....

Mon, 18 Aug 2008 19:04:43 -0500

....that after much speculation, Cher has finally put her Malibu home on the market?

The price?

A mere $45,000,000 will get you in. Make no mistake though...this is one hell of a property. One of a kind, and it wouldn't even be allowed to be built according to today's coastal commission restrictions. So, what is $45m buying you? The Italian Rennaisance style mansion sits on 1.7 acres and features 14,000 square feet of living space with 6 bedrooms, seven bathrooms, a theater, gym and verandas from just about every possible window and door. There's a tennis court, pool, spa and a detached guesthouse.

The home was featured in Architectural Digest way back in August 2002. Will it bring in it's estimated asking price? Honestly, I wouldn't be surprised. Normal rules don't really apply in the 'Bu. Stay tuned...

The pictures are from the AD spread, with the exception of that last one, which really gives you an idea of the enormity of this property...

millionaires helping millionaires

Thu, 14 Aug 2008 23:56:32 -0500

Well, the AP is reporting that none other than Donald Trump has stepped in to rescue Ed McMahon from the jaws of foreclosure. According to the report, the Donald will be purchasing the home for an undisclosed amount (if I find out, believe me you'll see it right here) and allowing McMahon and his family to live there. Apparently Trump does not personally know McMahon, but acted out of compassion because "helping would be an honor."

Seems like a win-win to me. Ed stays in his home, and the Donald picks up a pretty sweet deal on a nice pad in The Summit.

Can You Spare Some Change For A Broke Multi-Millionaire?

Mon, 11 Aug 2008 18:49:43 -0500

I almost had a stroke when I opened this week's MLS Open House Guide. Right there adjacent to the inside cover is a full page, full color open letter from Hilton & Hyland's Alex Davis, pleading for agents all over the city to scour their rolodexes and PLEASE find a buyer for the home of Hollywood legend Ed McMahon before he gets foreclosed on.

While I think it's wonderful that someone would make this effort, and I feel for anyone about to lose their home, I don't know about this. I mean, what about all the other people across the country who are losing THEIR homes, and never had multi-millions that were mis-managed? I'm really not sure how I feel about it either way, more posting it as something I think people have been following for a few months now.

For those not here in LA, the letter reads as follows:

Dear Friends,

Over the last several years I have worked on endless transactions all over this city. Never in my career have I been faced with anything like this,

The great Ed McMahon and his large family live at 12000 Crest Court in a wonderful gated community called the Summit at Beverly Hills. As many of you know, Ed is an American icon, somebody who has made us all laugh, and in many ways, has entertained all. Unfortunately, as many of you have read, the McMahanons are in financial trouble and are in default on their home. The situation has nearly hit rock bottom, as if it's not sold in the next two weeks or so (or in escrow), they will not only be foreclosed on, but lose everything in their home including all personal items.

We had a buyer lowball us at $4.6 million and thought we had no chance of making the deal due to the amount of debt on the house as well as the current value being so much higher. After vigorous negotiations, all fo the junior lein holders are miraculously willing to allow for a short-sale at this pre-determined price rather than allow the home to go to auction at a significantly higher price. Coutnrywide, who holds the first and second mortgates, have been working tirelessly to help this deal go through and it could be all for nothing as a speculator decided to pull the plug at the 11th hour.

Now, we have 2 weeks to find a new buyer and sell the estate. We will show the proprety to anyone with the resources to close the deal in a timely manner. It's a rare offer to own a piece of Hollywood history for an incredible price. Within my budget, I am able to pay the selling broker a $115,000 commission and want you tall to know that you will be the hero of a man who's been the hero of so many others if you could help bring this deal to fruition.

Again, time is of the essence, and it's not just a home, it's an opportunity, an investment, and a piece of history.

I sincerely thank you for taking the time with your most imporatant clients in presenting this opportunity. In a business where people trhive on money and commissions, the reward is infinite, as you are truly changing someone's life.

Respectfully,
                    Alex Davis
                    Alex Davis Estates
                  Hilton & Hyland

LA Times Reports Condo Buyers Are In The Drivers Seat....

Mon, 11 Aug 2008 18:17:24 -0500

The LA Times has finally caught on to what I've been telling MY buyers for months now. This is YOUR time to shine. There is a glut of new construction right now from developers and projects that began 2-3 years ago, and until those are gone, there are going to be deals and incentives for those ready to make the jump. After those are gone, well, the sellers will once again be in control.

I personally have been pushing several projects to my buyers that I think are such great deals, and really cool spaces. the WA Lofts on Wilcox Ave are some of my favorites, as well as the Sunset Silverlake project near Sunset Junction in Silverlake.

Full article here.

picture it...

Tue, 22 Jul 2008 15:38:13 -0500

Sad news from TV land today, as Estelle Getty, best known as Sophia Petrillo on The Golden Girls passed away after suffering Lewy Body Dementia for years. The world is a little less funny today, and there will be an empty seat at the kitchen table as we sit down for one last midnight piece of cheesecake.

R.I.P. funny lady.

santa monica realtor pays $200,000 in tenant harrasment case.

Tue, 22 Jul 2008 13:00:40 -0500

I've advised more clients than I care to remember about the dangers of messing with the city (Los Angeles, Santa Monica, West Hollywood, wherever) when it comes to tenants rights. More often than not, tenants who have been firmly entrenched in rent controlled apartments for years or even decades know the laws better than you could ever hope to. And tenants in the know know that the city always favors them, pretty much (especially in West Hollywood - I would NEVER want to own income proprerty there).

Unfortunately for a Santa Monica Realtor who is also the owner of the subject property here, he not ONLY broke tenant harrasment laws, but he also did it to a senior. YIKES! Why didn't he just BURN his money up front? What makes is so bad is that as a Realtor, he should have known the chance he was taking. I'm guessing he did, and just didn't think he'd get caught.

Anyway, here's what happened. Stacey Vales and his wife Megan own a 4 unit income property on Colorado Avenue in Santa Monica. Just after they purchased the property, they induced an 82 year old woman named Winifred Goodman into vacating the unit under the pretense that they were moving into the unit as owner-occupants. After relocating to Simi Valley, Ms. Goodman found out she'd been deceived, and that the unit had been re-rented for $2,400/mo. She'd been paying $529.

The Vales' were sued by both the City of Santa Monica and Ms. Goodman, resulting in a settlement before the case could go to trial. Under terms of the settlement, the Ms. Goodman was paid $160,000, and the City of Santa Monica received $40,000, which will go to it's Consumer Protection Fund.

Let this be a lesson to you, kids. If you're a landlord, don't be trying to pull a fast one. Tenants are not stupid, and they WILL watch to see what happens after you evict them.

UPDATE: capitol studios protected

Wed, 16 Jul 2008 13:17:54 -0500

A few weeks ago, I posted a story about a development project in Hollywood that was threatening the acoustic integrity of the famed Capitol Records Studios at Hollywood and Vine.

Well, HITS Magazine is reporting that an agreement has been reached between developer Second Street Ventures and Capitol Records that will preserve the studio. The Los Angeles City Council approved the development, while providing protective measures to the design plan to protect the recording studios under the building.

EMI and Hollywood preservations had fought plans for the condo development on Yucca, concerned that the construction, and its underground parking garage, would damage the famed studio's acoustics. Second Street Ventures, the developer, has agreed to a number of efforts to address construction concerns, including no activities after 10 a.m. within 40 feet of the property line, as well as using steel-tracked equipment and a foam-lined sound buffer to ensure the echo chambers adjacent to the studios aren't damaged. According to a statement released by the music group: "The agreement will protect the acoustic integrity and operations of the Capitol Records Studios and ensure it continues as one of the world's premiere recording facilities, as it has for more than 50 years."

Great news for music buffs and Hollywood historians alike.