Big Bear Real Estate Blog

30 Year Home Loan Interest Rate History

Thu, 04 Sep 2008 18:27:31 -0500

Interest Rates for Residential Loans from 1976 - 2008

Year Rate Year Rate

1976-77 8.50% 1994-95 8.34%

1978-79 9.00% 1996-97 8.50%

1980-81 12.25% 1998-99 7.30%

1982-83 15.25% 2000-01 7.69%

1984-85 13.00% 2002-03 6.31%

1986-87 10.26% 2004-05 5.98%

1988-89 10.45% 2006-07 6.53%

1990-91 9.77% 2008 6.44%

1992-93 7.95%

Interest Rates for Home loans for the past 32 years has averaged 9.03%.

Interest rates are near historic lows.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

stevehirschler@gmail.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

The price is wrong!

Sun, 31 Aug 2008 18:41:41 -0500

It doesn't matter what you do right, if the price is wrong. All the marketing in the world will not sell an overpriced house. The single most important factor in selling your house is the price.

Lately I have noticed some similarities to this game going on in our market. The price will have the right numbers, just the wrong sequence.

A client of mine and I started playing this game the other day while we were looking at the homes available here in Big Bear. The house that started this humor was priced at $329,000. My client looked at me as we were leaving the house and said:

I'd like to move the 2 to the front and the 3 to the middle Bob. I looked back at him and said: Ding!, Ding!, Ding! The Price Is Right!

This started a series of fun that allowed me to build some trust and camaraderie with my client. The truth was not always far from the game that we were playing.

It also reminded me of this funny scene from Happy Gilmore...

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

stevehirschler@gmail.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Affordable Mountain Get A way in Big Bear Area

Fri, 29 Aug 2008 19:02:06 -0500

A CABIN IN THE MOUNTAINS FOR UNDER $90,000! GREAT PRICE FOR THIS CLEAN MOUNTAIN GET AWAY. NEW ROOF, EXTERIOR PAINT, MOST WINDOWS. REMODELED BATHROOM. QUIET LOCATION IN BEAUTIFUL SUGARLOAF. THIS IS NOT A SHORT SALE OR BANK OWNED PROPERTY.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Bank Owned Beauty in Upper Moonridge, Big Bear Lake

Fri, 29 Aug 2008 18:53:47 -0500

GREAT SECLUDED UPPER MOONRIDGE LOCATION. TREE TOP VIEWS FROM THE WRAP AROUND DECK. LARGE BEDROOMS WITH NEWER CARPET AND PAINT. DUAL PANE WINDOWS. EAT IN KITCHEN WITH REMODELED CABINETS. 2 CAR OFF THE STREET PARKING AREA. LARGE 7300 SQ FT LOT. ROCK FIREPLACE IN THE LIVING ROOM. STORAGE / WORKSHOP IN THE BUILDUP AREA UNDER THE HOUSE.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

1046 Heritage Trail, Mountain Retreat in Big Bear Meadowbrook Estates

Sat, 23 Aug 2008 13:37:55 -0500

YOU'LL LOVE THE FEEL OF THIS 2006 CONST. IN PRESTIIGIOUS MEADOWBROOK ESTATE. THIS HOME SITS ON 1.52 ACRES. SPACIOUS LAYOUT W/ SOARING VAULTED CEILINGS.SLATE AND GRANITE. ENORMOUS GAME ROOM W/ WET BAR. SPA ON BACK DECK.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Big Bear Deed Recordings information for July 2008

Fri, 22 Aug 2008 13:46:35 -0500

Above is the most recent deed recording information for the Big Bear Lake area. July recordings jumped up to 55% of the 10 year average. This is a 9% increase in the number of recordings over 2007! Year to Date we have had 483 deed recordings and that represents a 56% decline from the 2007 numbers. It is also a 58% decline from the 10 year average.

What does this mean for buyers and sellers in this market?

For Buyers, it is still the best market in decades. Inventory is stable, and opportunities are abundant.

Seller's are not seeing activity until they price their property at or below market value. Price is the single most important factor in selling your home.

If you would like to discuss Big Bear market trends, please feel free to call me.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Abbott and Costello 2008

Sat, 16 Aug 2008 12:36:52 -0500

If Bud Abbott and Lou Costello were alive today, their infamous sketch,
'Who's on First?' might have turned out something like this:
COSTELLO CALLS TO BUY A COMPUTER FROM ABBOTT

ABBOTT: Super Duper computer store. Can I help you?

COSTELLO: Thanks. I'm setting up an office in my den and I'm thinking about
buying a computer.

ABBOTT: Mac?

COSTELLO: No, the name's Lou.

ABBOTT: Your computer?

COSTELLO: I don't own a computer. I want to buy one.

ABBOTT: Mac?

COSTELLO: I told you, my name's Lou.

ABBOTT: What about Windows?

COSTELLO: Why? Will it get stuffy in here?

ABBOTT: Do you want a computer with Windows?

COSTELLO: I don' t know. What will I see when I look at the windows?

ABBOTT: Wallpaper.

COSTELLO: Never mind the windows. I need a computer and software.

ABBOTT: Software for Windows?

COSTELLO: No. On the computer! I need something I can use to write
proposals, track expenses and run my business. What do you have?

ABBOTT: Office.

COSTELLO: Yeah, for my office. Can you recommend anything?

ABBOTT: I just did.

COSTELLO: You just did what?

ABBOTT: Recommend something.

COSTELLO: You recommended something?

ABBOTT: Yes.

COSTELLO: For my office?

ABBOTT: Yes.

COSTELLO: OK, what did you recommend for my office?

ABBOTT: Office.

COSTELLO: Yes, for my office!

ABBOTT: I recommend Office with Windows.

COSTELLO: I already have an office with windows! OK, let's just say I'm
sitting at my computer and I want to type a proposal. What do I need?

ABBOTT: Word.

COSTELLO: What word?

ABBOTT: Word in Office.

COSTELLO: The only word in office is office.

ABBOTT: The Word in Office for Windows.

COSTELLO: Which word in office for windows?

ABBOTT: The Word you get when you click the blue 'W'.

COSTELLO: I'm going to click your blue 'w' if you don't start with some
straight answers. What about financial bookkeeping?
You have anything I can track my money with?

ABBOTT: Money.

COSTELLO: That's right. What do you have?

ABBOTT: Money.

COSTELLO: I need money to track my money?

ABBOTT: It comes bundled with your computer.

COSTELLO: What's bundled with my computer?

ABBOTT: Money.

COSTELLO: Money comes with my computer?

ABBOTT: Yes. No extra charge.

COSTELLO: I get a bundle of money with my computer? How much?

ABBOTT: One copy.

COSTELLO: Isn't it illegal to copy money?

ABBOTT: Microsoft gave us a license to copy Money.

COSTELLO: They can give you a license to copy money?

ABBOTT: Why not? THEY OWN IT!

(A few days later)

ABBOTT: Super Duper computer store. Can I help you?

COSTELLO: How do I turn my computer off?

ABBOTT: Click on 'START'.............

Big Bear Lake Area Market Condition Report August 2008

Mon, 11 Aug 2008 13:18:58 -0500

The Big Picture

Supply: Holding Steady

Demand: Declined 6 units from July

Failures: Increased Moderately

Prices: All price indicators are very negative. Declines can no longer be confidently predicted or projected. Take note of the large increase in the pending price.

Close per 100 listed: Market speed declined slightly and continues slow and sluggish.

Percent selling: Declined 7 points from previous month due to spike in failures.

Future closings (SALE PENDING): Current pending inventory levels declined by 12 units.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

* Report Provided by Chicago Title / Robert Maletti

Pedestrian Safety in the Mountain Communities of Big Bear

Sun, 10 Aug 2008 18:20:12 -0500

The reason that I am writing this post today is to try to help people understand the importance of walking, running, or cycling on the correct side of the road (with the traffic).

In Big Bear, we have very few sidewalks and even less street lights. Often people like to get outside and walk through the neighborhood, especially in the mornings and evenings. Since we have few sidewalks, and relatively low traffic, pedestrians often will walk in the traffic lanes. With many sharp corners and a number of them being blind corners, coming around a corner and seeing a pedestrian facing you head on can be dangerous. Being an avid cyclist and hiker, I love to see people out taking advantage of the beautiful Big Bear sites, smells and views, but I shiver at the thought of one of these folks being hit by a vehicle.

First, let's assume we are fortunate enough to have the vehicles travel at the 25 miles per hour, the legal residential speed limit. An average walker travels at about 3-4 mph lets call it 3.5 mph for the moment. Walking into oncoming traffic at this 3.5 mph gives the pedestrian a feeling of security since they can see the oncoming traffic, but this is a false since of security. This actually increases the speed between the pedestrian and the car to 28.5 mph.

Walking with the flow of traffic turns this equation around and gives the speed a reduction to 21.5 mph, almost 25% less speed. Can we all agree that this is a safer equation? Reaction time is increased and the likelihood of being hit decreases.

The equation is amplified if you are running or bicycling at higher speeds, or happen to be in an area that has higher speed limits.

Wear clothing that doesn't blend with the surroundings and take a flash light if you are walking at night or early mornings. Keep children close and ears and eyes open.

Moonridge, Big Bear Lake Sales Information for July 2008

Tue, 05 Aug 2008 16:12:26 -0500

The chart below shows the closed transactions in the Moonridge area for July 2008. There were 15 sales with an average price of $293,580. Sales averaged 8.33% below list price for these transactions.

Below is the chart for the 17 pending and contingent sales currently in Moonridge. Since these have not closed, we don't have the closing prices posted or accurate price differential information.

With 214 active listings in the Moonridge area, and 15 closings last month, we currently have a 14 month supply in this area. Moonridge is seeing some of the best buys in years during this buyer's market. With a good amount of inventory, and motivated sellers, it's a great time to consider a purchase.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

508 Kean Way, Big Bear City, CA

Tue, 15 Jul 2008 13:30:10 -0500

NICE, SECLUDED GET-AWAY ON A LARGE WELL-TREED LOT. EXTERIOR PROFESSIONALLY PAINTED. GARAGE AND REMODELED KITCHEN DONE IN 1991 BY HOUSTON CONSTRUCTION. LARGE GAMEROOM,BUNKHOUSE ROOM DOWNSTAIRS. GREAT VIEWS OFF THE FRONT DECK. TWO FULL BATHROOMS, OVERSIZED TWO CAR DETACHED GARAGE, SEPARATE LAUNDRY ROOM,ALARM SYSTEM AND FURNISHED PER INVENTORY.LOCK BOX IS ON UPPER DOOR.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

229 Turlock, Big Bear City, Ca

Sat, 12 Jul 2008 13:37:27 -0500

THIS CHARMING 3 BEDROOM, 2 BATH HOME IS LOCATED IN A GREAT NEIGHBORHOOD. SLATE FLOORS, RUSTIC ACCENTS, UPGRADED CARPET, ROCK F.P. WITH AIR TIGHT INSERT, LAUNDRY, OUTDOOR SPA, FENCED YARD, HUGE STORAGE SHED AND 24'X32' OVERSIZED GARAGE ALL ON A 65'X117' LEVEL LOT. PLEASE CALL AGENT TO SHOW, OWNER HAS 2 LARGE DOGS

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Fox Farm, Big Bear Lake Location under $350,000

Sat, 12 Jul 2008 11:13:49 -0500

OUTSTANDING LOCATION IN BEAUTIFUL FOX FARM, GREAT SINGLE LEVEL FLOOR PAN WITH GREAT ROOM, VAULTED CEILINGS, FORMAL DINING AREA, NICE LEVEL LOT, OVER SIZED GARAGE, ATTACHED STORAGE AREA, WOOD BURNING FIREPLACE INSERT, CENTRAL HEATING, LARGE BEDROOMS, DUAL PANE WINDOWS, SPRINKLER SYSTEM, WASHER DRYER AND APPLIANCES INCLUDED, BACKS TO LARGE PRIVATE PARCEL

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Buyer's, Seller's and Lister's

Tue, 01 Jul 2008 14:15:22 -0500

Buyer's often ask the question "What should I offer?" before they find a specific house that they want to place an offer on. They want to know the formula for the list price verses the actual purchase price that they will pay. They ask questions like "If we shop in the $400,000 range, what price do you think we can get it for?" I always respond the same. It depends on the house and if it is priced correctly. How long has the house been on the market at this price? This is a more important question than, "How long has the house been on the market?"

Home owners don't have to price their home correctly, they just won't sell their house until they do. Maybe we should just call them Lister's. Unlike seller's, Lister's waste an agents time and inflate the price's of other Lister's.

Question's that I ask a home owner that says they want to sell is "Do you want to list your home, or sell it?" Do you want to be a lister or a seller? When do you want me to start telling you the truth?

Once I have explained to a buyer that selling prices are set by the market and not the sellers or their agent, I will let them know that sellers and their agents will list property (incorrectly) based upon other criteria. They will list based upon the debt on the property, what they paid, the improvements that they have done, the amount that their neighbor (a lister) has listed at, what they need or want to have to be able to fulfill their future plans etc. This is a mistake that will cost the Lister's money in the long run, if they ever sell.

Keep in mind that a lister is in charge of what price they will ask, but the buyer will decide how much the house will sell for. Lister's are different than seller's, because they don't need to sell.

We have a lot of Lister's in our current market. With 1207 homes on the market and only 51 closings in June, it appears that we have about 4% sellers and 96% Lister's.

One thing is for sure, you can sell your house if you are willing to price it correctly.

So, back to the question, "What should I offer?"

Once you have found that house you want to buy, the question really is, what is the current market value?

Spend time looking at homes in the area that you want to buy.
Have your agent show you recent comparable sales.
Be reasonable based upon the information that you have collected.
Ask your agent their opinion.
Have your agent contact the seller/Lister's agent to see if there has been any activity previously that will help understand the seller's motivation.

Some good numbers to know in Big Bear

Year to date sales prices vs. list price / price differential.

Area Percentage #of sales

Big Bear Lake (West , Central and East) 80.58% 56

Moonridge 93.47% 61

Fox Farm 76.16% 25

Sugarloaf 92.27% 44

Fawnskin 92.38% 8

Big Bear City 97.11% 55

Erwin Lake 91.45% 26

Whispering Forest 94.85% 1

Baldwin Lake 96.39% 4

Steve Hirschler

Big Bear Market Specialist / Inventory Expert

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

43846 Canyon Crest, Moonridge Area with Ski Slope Views, Big Bear Lake

Sun, 29 Jun 2008 18:55:05 -0500

ONE OF THE BEST AVAILABLE SKI SLOPE VIEWS FROM THIS MOONRIDGE GET-AWAY. THIS CABIN HAS ROOM FOR A BIG GROUP. MANY UPGRADES INCLUDING SLATE FLOORING, T&G VAULTED CEILINGS,STACK WASHER/DRYER, HOT TUB,DISHWASHER,LARGE DECK W/UNBEATABLE MTN VIEWS. THIS HOME HAS BEEN A SUCCESSFUL RENTAL. BRING YOUR PET..FENCED BACKYARD. HIGH QUALITY STORAGE SHED INCLUDED.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Moonridge Area, Big Bear Real Estate Market Snapshot

Sun, 29 Jun 2008 18:46:20 -0500

As shown above, currently there are 18 pending sales in the Moonridge area.

59 properties have sold year to date in Moonridge.

Closed Sales have included:

7 under $200,000

21 between $200,000 - $300,000

17 between $300,000 - $400,000

7 between $400,000 - $500,000

2 between $500,000 - $600,000

1 between $600,000 - $700,000

2 between $700,000 - $1,000,000

2 over $1,000,000

Interesting Facts

We have 216 active listings in the Moonridge area. Using the average sales of 10 per month through June, the absorption rate tells us the we have a 21 month supply.
Closing prices are within 7% of list price.
Almost 65% of the sales in Moonridge are now under $400,000.
With 271 residential sales in Big Bear, Moonridge has had 21.8% of the total number of sales year to date.
Last year in the same period Moonridge sales where only 17.5% of the total, that is a 24.5% increase over last year.

If you would like to discuss Real Estate in the Big Bear area, feel free to e-mail or call me.

Steve Hirschler

Moonridge Market Specialist

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Real questions and Real answers regarding Real Estate Commissions.

Sun, 15 Jun 2008 12:35:47 -0500

Worrying about what you pay, instead of what you get, is a mistake that will cost a seller thousands in the current Real Estate market.

Pick a quality agent from a local brokerage and expect professional service.
List with a discount brokerage and expect a discounted offer.
Put a sign in your yard that says "I'm cheap" or "I'm desperate" and expect cheap buyers writing cheap offers.

Q. Is a Real Estate commission negotiable?

A. Yes. First let's look at the services being provided and the costs that are associated with them. We should talk about the commission that you are requesting and I will need to decide whether or not I am willing to work for the commission that you want to pay. It's a business decision for both of us.

Q. Should I increase the commission offered to the buyers agent?

A. No. The commission must be the same as other homes in the area and price range, and anything above that should be applied to a price reduction. Extra commissions are bonuses, but I can't sell a house because it pays me more.

Q. Will you list my house for a lower commission?

A. Yes. The commission is negotiable. If we set the price well below market value to reduce the costs associated with marketing the house. Most seller's would benefit from listing closer to market value and paying the extra commission.

Q. What if you list the house and sell it, will you take less?

A. No. If we are lucky enough for this to happen Mr. Seller, you win. If I bring a qualified buyer to your house and we have the luxury of having the agent the knows the house the best show it, you win. If I can tell them why it is worth the list price and show them the comparables that where used to establish the list price, you win.

Q. What is more important, the price or the commission?

A. The Price. Don't make the mistake of focusing on commission when listing your house. Pricing your home correctly is the single most important factor in determining when or if your home sells.

If you are a seller and your first concern is the commission (big red flag) , you will start out with the wrong agent and end up with less money in your pocket. Experienced agents want to help you get the most they can for your property and just want a fair commission from the close of the deal.

Seller's that allow their agent to guide them through the sales process will benefit. Successful Real Estate agents in today's market bring local knowledge and transaction skills that net sellers more and provide smooth timely closings. If you want less service and less knowledge, go with a discount service, and expect to get what you pay for.

Steve Hirschler

465 Crystal Lake, Big Bear Lake, Fox Farm Area

Sun, 15 Jun 2008 11:47:51 -0500

GREAT VALUE ON THIS FOX FARM HOME. 2 CAR DETACHED GARAGE PLUS CARPORT. DETACHED GUEST AREA WITH 1/2 BATH IS THE 3RD BEDROOM. CORNER LOT IS CENTRALLY LOCATED MINUTES FROM BOTH SKI AREAS,RESTAURANTS AND SHOPPING. FAMILY ROOM WITH WET BAR AND LIVING ROOM BOTH HAVE WOOD BURNING FIREPLACES. LOTS OF PINE TREES AND QUIET LOCATION. WASHER/DRYER HOOKUPS AND FURNISHED PER INVENTORY.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

What is the difference between a good faith deposit and a down payment?

Sat, 07 Jun 2008 11:32:05 -0500

Often buyers have asked me this question, so I thought I would write a post on this subject.

In California a good faith deposit is given at the time an offer is made. A good faith deposit will show a seller that you are a serious buyer, and building the seller's trust is important. A deposit paid by a buyer to a seller to demonstrate intention to complete the purchase. also called earnest money. While good faith deposits can be as little as one dollar, I recommend a 3% good faith deposit. When I review an offer for a seller, the good faith deposit gives me an idea as to the strength of the buyer, and a weak deposit sends up a red flag. The good faith deposit is held in the escrow. The liquidated damage clause (if initialed by both the buyer and seller) states that if the buyer fails to complete the purchase because of buyer default, the seller shall retain the good faith deposit not to exceed 3%. If the liquidated damages are not initialed and the buyer breaches the contract, the seller could sue for more than the 3% if the sller can prove default by the buyer. Contingencies must be removed in writing before a buyer is in default. If the buyer has not removed their contingencies and has stated one of the contingencies as their reason for not performing, the seller is not entitled to retain the good faith deposit. If you want to get the sellers attention, and purchase the property at the best price, the good faith deposit can help. Weak good faith deposits tell the seller that you may be a buyer that is not qualified, lacking funds to close, or fishing on a number of different properties. The good faith deposit will be applied to the down payment and closing costs at the close of escrow.

Down payments are paid as final funds at the close of escrow. Depending on the loan amount down payments can be any amount. Obviously the larger a down payment the stronger the offer. All cash offers are the strongest offers, but a well qualified buyer with a strong down payment of 20% are welcomed by most sellers and lenders. With new lender requirements a strong down payment helps reduce the risk for the lender by creating equity in the property and decreasing the loan to value equation.

If you would like to discuss Big Bear Real Estate , please give me a call.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

What is an REO?

Sat, 31 May 2008 13:05:35 -0500

Many consumers are unclear with some of the terms in today's Real Estate market.

"REO" (Real estate owned) is property that the bank acquires through foreclosure. The bank has already had an auction on the property and did not find a buyer. Currently REO properties are abundant in most California markets. These homes are often priced well and represent some of the best values.

REO's are far easier transactions than short sale properties. REO escrows are often completed in 30 days or less.

One problem the banks are having with properties in the Big Bear area is our member only MLS (Multiple Listing Service) access. Many local Realtors only see the properties that are listed in the Big Bear MLS and are unaware of REO properties that are listed in other areas. It really is a disservice to the bank that owns the property to not have the home listed in the local MLS. Access to these properties is sometimes difficult for local agents, because it can be difficult to connect with the agent that is out of the area to get the showing instructions.

One solution that works well in this situation is for the out of the area listing agent to team up with a local agent that is available and knowledgeable in the Big Bear Real Estate market.

Most bank owned properties have an addendum that is presented to the buyer as a counter offer. Usually the addendum reduces the contingency period for buyers inspections to 5 - 7 days. Most bank owned REO properties are sold "AS IS". Buyers that need a loan to purchase a Bank owned REO may be required to pre-qualify with the bank that is selling the property.

Just because a property is a REO doesn't make it a deal. Most are, but you still need to do the research and establish value. Some hit the market and have multiple offers in the first week, while others just sit. It is the same old story, pricing is the most important thing your Big Bear Real Estate agent can do to help make the sale.

First impressions are everything, so I would think that a little cleanup would benefit the seller (bank). having the utilities on and the yard cleaned up of debris will help a buyer see the potential of the property. I see quite a few of these properties that are literally trashed and no attempt is being made to do any cleanup. Without power or water it is difficult for the buyers to inspect the property.

Recently, I got a copy of an addendum on a bank owned property that states that the buyer will be responsible to pay for all aspects of the transaction and the selection of services. I told my buyer that we would just need to reduce our offer to accommodate these fees.

On another recent transaction with a bank owned property the bank chose the escrow company and selected a company that is 2 hours away from the property. I think that the banks are selling off the escrow rights to all of their properties in bulk. This nets the escrow and title company a predetermined / negotiated fee for each property and reduces service levels. The escrow company is very busy and doesn't seem to push things along, the bank has a Per Diem charge daily to the buyer if we don't close on time.

If you are looking at bank owned properties or short sale properties in Big Bear, be prepared to exercise patients once you find the property that you want to make an offer on.

Opportunities are abundant, but don't try to bring an out of the area agent to a location like Big Bear and expect to get the best deal or knowledge of the area. The Tim Wood Group sells Big Bear and we know the inventory and the Real Estate market that we work.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Is anything selling in Big Bear? 5/27/2008

Tue, 27 May 2008 15:03:09 -0500

Sold year to date in Baldwin Lake, Big Bear City, Big Bear Lake Central, Big Bear Lake East, Big Bear Lake West, Erwin Lake, Fawnskin, Fox Farm, Lake Williams, Moonridge, Sugarloaf, and Whispering Forest.

QUICK FACTS

Closed residential sales in 2008 for Big Bear Valley. 210 sold YTD as of 5/27/2008.
Average list to sold price is 95%.
Average days on the market 140.
There are 105 pending (in escrow) and 1188 active listings.
The top 3 highest price sales YTD have had representation by Coldwell Banker Mountain Gallery Realtors / The Tim Wood Group.

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

What is a short sale?

Sat, 24 May 2008 11:05:11 -0500

A simple description of a short sale is a home that is on the market for less than the debt owed to the lender. The seller is hoping that the bank(s) will accept less than the note(s) and allow the seller to be forgiven the difference between the note and the sales price.

When the seller accepts a short sale offer, the sale is contingent on the approval of the bank that holds the note. At this point the home should show a pending status in the MLS since it has an accepted offer. The bank doesn't own the home, they approve the sale and accept the loss on the note or they don't approve and the seller can cancel the escrow because of the short sale contingency. Often a response from the bank can take 40 - 60 days. This can be very frustrating for a buyer and their agent.

Buyer's should be cautioned not to make multiple short sale offers once they have an accepted offer. If a seller approves the offer, technically you have opened an escrow in California and have a binding contract. That is why the contract reads California Residential Purchase Agreement and Joint Escrow Instructions. Placing additional offers on other properties while waiting for the bank approval is not recommended.

Sellers that want to sell a home in a short sale situation should start negotiations with the bank holding the note(s) prior to getting an offer / as early as possible. Good comunication with the lender will be crucial to a successful short sale.

Below is a set of paperwork that I give to my sellers that might need a short sale:

Preparation and communication are critical to the success of your short sale transaction.

Regards,

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Big Bear Video Tour

Thu, 22 May 2008 13:32:25 -0500

Big Bear Lake is near full and a great place to visit and get out of the summer heat. We have cabins in Big Bear starting under $200,000. I can show you any home in Big Bear regardless of the listing agents. For a free search of the Big Bear MLS listings with no obligation, just click here Big Bear MLS search

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

San Bernardino County Real Estate Sales Information April 2008

Tue, 20 May 2008 16:59:01 -0500

In April Big Bear's Moonridge area was the highest price per square foot sold in all of San Bernardino County and Big Bear Lake is in the second slot. Big Bear's beautiful lake and pleasant weather continue to draw visitors consistently through the summer months.

If you know anyone that is looking to buy or sell Real Estate in the Big Bear area, please give me a call.

Regards,

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Big Bear Real Estate 10 year deed recording information 5/20/2008

Tue, 20 May 2008 14:26:54 -0500

Year	1998	1999	2000	2001	2002	2003	2004	2005	2006	2007	Monthly	10 Year	2008	% of
Year	1998	1999	2000	2001	2002	2003	2004	2005	2006	2007	Rank	Average	2008	Average


Jan	96	125	125	158	130	194	163	128	139	77	12	134	44	33%
Feb	97	126	158	128	148	169	173	147	112	80	11	134	43	32%
Mar	132	183	174	168	187	197	219	186	118	99	9	166	59	35%
Apr	110	159	169	150	213	227	238	170	131	81	10	165	65	39%
May	129	151	193	182	269	200	268	171	132	99	8	179		0%
Jun	154	161	198	207	224	199	246	188	148	78	7	180		0%
Jul	188	195	180	187	247	228	275	171	108	95	6	187		0%
Aug	185	191	256	264	292	246	263	198	159	106	1	216		0%
Sep	202	231	248	199	274	281	263	228	121	82	2	213		0%
Oct	216	188	270	224	302	227	236	199	123	77	3	206		0%
Nov	221	227	217	187	241	231	224	192	115	87	4	194		0%
Dec	179	237	194	199	276	216	214	186	111	68	5	188		0%
Total	1909	2174	2382	2253	2803	2615	2782	2164	1517	1029		2163	211	10%

Yr Rank	8	6	4	5	1	3	2	7	9	10

2006 vs. 2007 68%

This is the latest information for deed recording activity in the Big Bear area. As you can see, the number of recordings is still well below the 10year average. Year to date we are 37% below 2007 recordings and 58% below 2006. While we have seen a slight increase in April over January Februray and March 2008 numbers, we still can't say that the market has improved. Traditionally April is busier than the first three months of the year, so a slight increase in transactions is to be expected. According to the Big Bear MLS 50 of the 65 deed recordings were residential, and 6 were vacant land. There was one condo sold in April, 2 commercial, and one business. If you would like to discuss Real Estate in Big Bear, please give me a call.

Regards,

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

steve@bigbeargallery.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com/