Sales are increasing as the interest rates remain stable and prices are stabilizing. In fact we are seeing an 80 percent increase in the total number of sales from last year in Sacramento. Foreclosures and short sales on new homes are a percentage of these statistics, however, the resale market is doing very well in 2009. In East Sacramento and other older established neighborhoods we have found that sales continue to thrive as long as houses are priced right. Buyers are finding opportunities that haven't existed FOR YEARS as interest rates are at an all time low. I seriously believe that we have hit bottom if we aren't there already. Timing is critical and we all wish we all could have the crystal ball but I am going to put my neck on the line and call it.......We have officially hit the Bottom in residential real estate.
For insight and opportunities coming up call me 916 247 8048.
Coming Soon to East Sac. A Historical piece of property like no other. Completely turn-key with a large lot and built custom to the new buyers desires.
I recently ran into a past client of mine that is an accomplished producer and actor that proposed an idea.... Make a video about yourself. At first I had some serious hesitation because the first word that came to my mind was Korny. He said just let me do it and it will give your customers just another perspective of who you are, how you work, and what you stand for. Differentiation is a key element to marketing in the industry.
He also explained that while people may copy you at least you remain on the cutting edge and ahead of the curve by trying new things.
Here is the finished product and I would love any feedback.
As a first time homebuyer, I have to admit I was a little leery about everyone and worried about being taken advantage of. Luckily, I was referred to Tim by a friend of mine, which I believe is always the best way to go. Tim contacted me before I ever found the time to call him - that really impressed me. Right away, I appreciated his energy and enthusiasm! I have to say, looking into house couldn't have been more convenient through the website that he set up for me. I could click in my email and go to the site to view all the homes and immediately filter out my favorite homes. The main things that stand out to me about Tim Collom is that he always had current updates on all the homes, he even found the home that I bought before it reached the MLS, he was flexible with my tight schedule, he was very knowledgeable, and he was exceedingly willing to walk me through all the details of buying a home. I would recommend him to any one of my friends and family and actually already have!
For Sellers: Pricing is paramount in this market. Prices softened, more so in the higher end, due to initial unrealistic pricing. Properties still on the market from last summer had subsequent incremental price reductions and never got ahead of the curve. They have followed the market down, and this in turn trickles down to every price range. The market has corrected itself from the highs of 2004 and 2005. Consider the location, condition, design, access, age and size of your property. Price it right, and combine it with the extensive marketing exposure that I offer, and you will have an excellent opportunity to sell.
For Buyers: Regardless of whether your timeframe is five weeks or five months, you should ascertain your budget, get preapproved, identify your "Must Have List", and familiarize yourself with the market. When the timing is right, you will be prepared. We recommend speaking with a mortgage broker before looking at property. Short Sales and REOs: While we have seen an increasing presence in short sales, East Sacramento, Land Park, and Downtown has had only a handful of REOs (bank owned). Short Sales can be a very drawn out process, taking several months to close (important for interest rates and loan locks). They can present unique opportunities for buyers, but are not always the ‘Best Deal'. There are many factors that contribute to value. Price alone does not determine whether it is a "good buy".
With an understanding of your needs I can inform you when that "right property" comes along... and advise you on what "deals" to avoid. Online resources have come a long way, but they cannot tell you about the great "pocket listings" that are not on the market.
By Bob Shallit bshallit@sacbee.com Published: Tuesday, Jan. 13, 2009 | Page 1B
Tim Collom meets Mary Locke and her dog Libby in east Sacramento as he passes out fliers Monday on a new listing from Windermere Dunnigan. Collom uses such personal contact to help find clients
Bob Shallit: Knock, knock! ... Who's there? ... A door-to-door realty salesman!
Sacramentan Tim Collom is 31, a young guy.
But when it comes to his job, the Windermere Dunnigan real estate agent is decidedly "old school."
A rarity among local real estate pros, Collom looks for business the old-fashioned way: walking neighborhoods five days a week, knocking on doors and introducing himself.
"I like to get face to face with people," says Collom, who has a boyish face and boundless energy. "It's still the best way to build relationships."
He hits about 100 houses each weekday morning, mostly in east Sacramento. When someone answers the door, he shares information about new home listings and recent sales in the neighborhood and offers his referrals for plumbers, painters and other home improvement contractors.
Collom's game plan: Offer a service - and gain a customer when that homeowner needs to buy or sell.
On a recent morning, he's knocking on a door on 57th Street. A woman answers, recognizes him, even remembers his name. They exchange pleasantries before he moves on to the next house.
Not everyone is so nice. He's had doors slammed in his face.
"I had one man tell me if I didn't leave, he'd turn a hose on me," Collom says, adding with a laugh: "I haven't gone back there."
Although rare, that kind of experience can make a guy nervous. Collom says he psyches himself up every morning before his hour of house calls.
It's like a workout, he says. Hard to go and do, but "it feels great when you're done."
And Collom says the system he's followed during an eight-year real estate career pays off.
Collom says he completed more than 20 sales in 2007 - most of them a direct result of his door-to-door work. His numbers were down a little in 2008 but still ahead of most agents in his American River Drive office, says the firm's owner-broker Geoff Zimmerman.
Even so, she's ambivalent about Collom's approach.
"It's not the way I teach (sales)," she says of door-to-door marketing. Zimmerman thinks other methods - weekend open houses and online marketing, for example - are a better use of an agent's time and don't risk offending people who dislike unexpected visitors on their doorstep.
But she concedes Collom gets results. "With his personality and his enthusiasm," she says, "it works."
It's been two years since our last deal together and I wanted to thank you so much for the incredible job you did selling my property in McKinley Park. Even in what was an already challenged marketplace, you managed to sell my duplex for $150k more than what I had paid only four months prior. I can't thank you enough for everything you've done. I look forward to many more deals with you in the future Tim. Any homeowner would be crazy to work with another realtor, I mean that. As always please feel free to refer any prospective clients to me if they want to hear about my experience working with you. Thanks again and be in touch. Best regards, Todd Scalia
Foreclosures, short sales and REOs remind me of, "Lions and tigers and bears, oh, my!" The latter are dangerous animals but different from each other -- just as foreclosures and short sales and real-estate-owned (REOs) are distressed sales but different from each other.
However, they are also similar because without knowledge about handling foreclosures, short sales and REOs, you could find yourself in dangerous territory. For example, while most short sales are foreclosures, not all foreclosures are short sales. To further complicate matters, REOs are not short sales either, but some intended short sales can end up as an REO.
What is a Foreclosure Property?
A foreclosure property is a home in foreclosure -- when a notice of default has been filed in the public records. It means the owner has stopped making mortgage payments and the lender has given notice that unless the payments are brought up to date, it will sell the property to the highest bidder.
Lenders can foreclose for other reasons, but the most common reason lenders file a notice of default is when a borrower is at least two payments in arrears.
If the home owner does not bring the loan current, the lender will take the property away from the owner. The final step the lender takes after a certain period has passed is to try to auction the property at a public sale.
Not all homes that fall into foreclosure go to public sale because owners have the right to make up back payments up to a point, the time which varies from state to state.
Real estate investors and home buyers see profit in buying foreclosures because they can often buy the property for the amount owed, picking up the home owner's equity for free.
How California law Affects Foreclosure / Short Sale Investors
States have varying laws governing foreclosures and some follow California law. To completely understand your rights as a foreclosure buyer, contact a local real estate lawyer. However, realize that for a long time in California, a real estate agent could not represent a foreclosure investor if all of the following four statements were true:
The home qualifies as the seller's personal residence.
The property is a single family home or 2 to 4 units.
A Notice of Default has been filed in the public records against the property.
The investor buyer will not occupy the property.
However, if any of those four statements were false, an agent in California would be allowed to represent buyers, especially if the buyer was going to occupy the home. But to represent an investor, CA law requires that a real estate agent post a bond. No such bond is available in the state of California. Therefore, as a pre-foreclosure investor in California, many buyers were forced to act on their own.
A California court ruled in 2007 that the bond requirement was unenforceable. The California Association of Realtors then made available a special package of forms that agents can use to represent investors. Realize, as an investor, you are required to comply with the Home Equity Sales Act. Among other requirements, sellers who are in foreclosure have the right to rescind (cancel) a transaction within five days. Investors must give the seller notice of that right, including a copy of the form that will let sellers cancel.
Failure to comply with the Home Equity Sales Act carries severe penalties, including a provision that gives the seller the right to cancel the sale up to two years after the sale to the investor has closed and get the property back. You read that correctly. Two years.
As an investor, before you decide to buy a home in foreclosure by making up the back payments to the lender, giving the seller a few dollars and recording a deed, call a real estate lawyer.
What is a Short Sale Property?
A short sale occurs when a home owner is in foreclosure but before the property goes to public auction. Under a short sale, a lender must agree to accept less than the amount that is owed on the property.
Unlike a foreclosure, investors typically buy the home for even less because investors are not paying off the existing loan nor making up the back payments. Investors are striking a deal with the existing lender to take less than what the lender has coming to avoid dealing with a foreclosure.
It's a myth that lenders are not going to make a deal with an investor unless the seller has fallen behind on the seller's obligation to make timely mortgage payments. Sellers don't need to be in default for a short sale to occur. For a buyer who wants to occupy the home, buying a short sale makes financial sense.
What are REOs - Real Estate Owned?
Buying an REO is similar to buying a short sale except the property is already owned by the lender.
The property was acquired by the lender through a foreclosure action.
Often lenders will sell repossessed homes for less than the past loan balance.
Bank-owned properties are called REOs, meaning real estate owned by the lender.
Banks end up owning the property when nobody at the public auction bid enough to cover the amount owed against the property. REO homes are often considered the best way to buy a distressed property because the seller is already out of the picture. It's just the investor, the investor's agent, the bank and the bank's agent who are negotiating the transaction. Some REOs can be purchased directly from the lender.
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
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