Wisdom for a New Year

The 2005 residential real estate market was filled with anticipation of the much-predicted "real estate bubble." Though only a market correction has begun to occur, home buyers and sellers did make some ...

[via Real Estate - Topix.net]

Metro: Schools vie for Fresno subdivision

A dispute is brewing between the Sanger Unified and Fresno Unified school districts over boundary lines within a 351-home subdivision under construction in southeast Fresno.

[via FresnoBee.com: Metro]

Future Uncertain for 144th Fighter Wing

Earlier this year, Fresno's Air Guard Base and its supporters put up a fight to survive BRAC, the Base Realignment and Closure Commission. But this year's victory didn't secure a long-term future for the 144th Fighter Wing.

[via KFSN Front Page headlines]

158 E. Hampton Way, Fresno "FIXER-UPPER!

It's a listing delemma! Should the seller bite the bullet and complete several thousand dollars of termite repairs or just sell it "as-is" and provide the reports only. We decided to try selling as-is for 2 or three weeks first, while we get estimates to complete the repairs. Most lenders will require the termite clearance to be done, but if I can find that buyer with cash down or all cash, and willing to negotiate a deal as-is, that is what would be ideal for the sellers. I have this listing priced below all other homes in the area. For additional information on this property, visit my website featured listings

Fresno developers to pay new fees

Developers in the Valley will now have to pay millions in fees, in an effort to control air pollution.

[via KSEE.com RSS Feed]

Outlook Good For Fresno Job Market

Good news for Fresno's unemployed: Manpower expects Fresno to hire at a fast pace during the beginning of 2006.

[via KFSN Front Page headlines]

How to Play an Uncertain Real Estate Market

Have home prices peaked? Or is there still life in one of the greatest equity booms ever? For the real estate mogul in us all, FORTUNE looks at the 100 top U.S. markets."> FORTUNE - Investing INVESTOR'S GUIDE ...

[via Real Estate - Topix.net]

A Bad Inspection Should Not Be The End Of The World (Cont)

Do not give up on your dream house just because the inspection report is less than dreamy. Money can fix most problems and your seller may be willing to pay his share.

That inspection contingency on your offer to purchase is not a permission slip to nit-pick. Chipped paint, a dead tree, stained countertops are things that are easily visible to the untrained eye and should have been noted by the buyer before the offer, not used as a reason for withdrawing or renegotiating it. Rotting cills, non-functioning built-in appliances, outdated wiring, small but urgent repairs that add up to more than two or three percent of the offering pri... Read More Now

[via MortgageNewsDaily.com]

What owners and buyers really want this season

Diamonds are dazzling, but homeowners and prospective buyers may be more impressed with gifts of granite and stainless steel.

[via Real Estate - Topix.net]

Real Estate: Office space in demand

A Bay Area company that specializes in small office developments has found a niche in the central San Joaquin Valley, where it has four projects and could do more.

[via FresnoBee.com: Real Estate]

Metro: Home building may be halted at Shaver Lake

Fresno County supervisors heard Friday that there's not enough water in the Shaver Lake area to support future development.

[via FresnoBee.com: Metro]

Housing Sales Down For Existing Homes But Up Sharply For New Construction

NAR and HUD-Census Bureau release October sales figures. Existing home sales slow a bit but new homes continue to sell at a record pace.

The news on Monday was not good. It looked, in fact, like the housing boom was over and that was the thrust of a lot of the media headlines. Not that a market crash seemed likely, but it did seem as though the housing bubble had developed a tiny little leak.

The National Association of Realtors released its monthly report on the sales of existing homes for the month of October and NAR figures showed a "moderate" decline in activity... Read More Now

[via MortgageNewsDaily.com]

Bush's tax reform appears dead on arrival

President Bush's Federal Tax Reform advisory panel issued two sets of recommendations this month.

[via Real Estate - Topix.net]

Lowest Price and Great Area..Near Tower District

Just Listed 11/18/04 2004 N. Fruit, Fresno Ca $169,900
The home is 2 Bedrooms, 1 Bath and approx 689 SF Asking price $169,900, is well below the median price in Fresno. The home is currently rented for $720 per month. The tenant would like to stay if sold to investor.

Fresno Home Market Changing Fast!

The Fresno real estate market, like most other areas is changing from a sellers market to a buyers market. We now have nearly 1900 active listings in the Fresno MLS, nearly twice the inventory of a year ago! It's been a great ride for sellers and owners the last few years, but now we are in an adjustment period that is flattening prices. It's a great time to be a buyer in today's market. There are many more homes for sale now, and buyers have more to choose from. I don't think prices will drop drastically, but this is a healthier market, where competitive pricing is the key to making a sale happen.

Nation's luxury homes prove a tougher sell

Most open houses feature a hovering real estate agent, a stack of listing sheets, and -- if you're lucky -- a pot of coffee and some cheese and crackers.

[via Real Estate - Topix.net]

Real Estate: Home costs getting higher

With the cost of building materials escalating, developers are finding it harder to calculate the final cost of their projects — causing some analysts to wonder whether the price increases are realistic.

[via FresnoBee.com: Real Estate]

Forget about housing boom or bubble -- data say a bit of normalcy likely

The Las Vegas housing market has traded in its go-go performance of 2004 for a little sanity, local analysts said.

[via Real Estate - Topix.net]

Mortgage Defaults on the Rise in California

Mortgage defaults in California rose for the first time in more than three years during the third quarter, as slower price gains and riskier loans gave struggling homeowners less margin for error, data released Thursday showed. A separate report released Thursday showed other signs of a cooling housing market, as inventories of unsold new homes nationwide rose to a record. During the July-September ...

[via KnowledgePlex.org News]

Real Estate: Urban villages welcome

Across the street from Freedom Elementary School are the beginnings of Clovis' innovative southeast urban village.

[via FresnoBee.com: Real Estate]

Metro: Fair offers tools to owning a home

First-time home buyer Judy Lopez of Fresno can describe exactly what she and husband Omar are looking for in a home.

[via FresnoBee.com: Metro]

Metro: San Joaquin flood plain to expand

Proposed Federal Emergency Management Agency guidelines about how far floodwaters might reach could hinder building and farming and spike flood insurance rates along the San Joaquin River.

[via FresnoBee.com: Metro]

More Homeowners With Good Credit Stuck With Higher-Rate Loans

Low interest rates and aggressive marketing campaigns have driven home lending to record levels. But increasingly Americans with good credit are being saddled with loans designed for high-risk borrowers. These higher-cost loans have been the fastest-growing segment of the mortgage market — accounting for 20% of the home loans issued last year, up from 10% a decade ago. Freddie Mac, the government ...

[via KnowledgePlex.org News]

Metro: Clovis gears up for new schools

Clovis Unified School District's new education complex is under way at International and Willow avenues, the booming district's latest push into vineyards and orchards as it tries to keep pace with growth in northeast Fresno and Clovis.

[via FresnoBee.com: Metro]

Real Estate Agents May Face Big Shakeout

The easy money may be disappearing. In recent years, Sacramento's high-priced housing market has lured thousands to train as real estate agents, many hoping to cash in on the real estate boom. But now that homes are taking longer to sell and the market appears to be cooling off, many real estate professionals are predicting a shakeout that will force new agents to leave the business and veteran sellers ...

[via KnowledgePlex.org News]

Federal Courthouse Completed in Downtown Fresno

The new federal courthouse is the tallest building in Fresno, and maybe the most impressive.

[via KFSN Front Page headlines]

No time for greed

Economist and Sarasota resident John Tucillo puts it bluntly. "Sellers are always the last to know" when the market has turned, says the former chief economist of the National Association of Realtors.

[via Real Estate - Topix.net]

Metro: Justice has new home in Fresno

The heart of California has a stunning new federal courthouse worthy of the region's growing national stature.

[via FresnoBee.com: Metro]

Fearing peak is near, more homeowners selling

With some homeowners fearing prices are peaking, the number of local homes for sale jumped 23 percent in September compared to the previous month, according to Multiple Listing Service statistics.

[via Real Estate - Topix.net]

Home Prices Place Harsh Demands On Would-Be Buyers

Record-breaking home values have jeopardized the American dream for more and more Southern Californians who aspire to the security and stability of homeownership but find the prices and sacrifices too much to bear. The hot real estate market has generated unimaginable wealth for homeowners but has left others priced out of the market, feeling they'll never get their piece of the dream. Five years ...

[via KnowledgePlex.org News]

Valley becomes more costly for home buyers

The latest consumer alert reveals it's getting tougher to find affordable housing in the valley.

[via CBS 47: Local News]

Metro: Dispute clouds casino proposal

A dispute between two local Indian tribes each claiming to have historical ties to a piece of land in the Fresno County foothills could jeopardize plans for a new $250 million casino and hotel.

[via FresnoBee.com: Metro]

New city fees to increase housing costs

Fresno is imposing a new fee on developers. That means if you're looking to buy a new home, you could be charged an extra $3,200.

[via KSEE.com RSS Feed]

Fresno in talks with development company

The city of Fresno met with Forest City Development Friday. Officials hope to bring some big name stores to Downtown Fresno.

[via KSEE.com RSS Feed]

Read Those Homeowner and Flood Insurance Policies Before It Is Too Late

Actual cash value versus replacement costs; deductibles, and valued policies are only a few of the things you need to know as an informed consumer of homeowner and flood insurance.

People who do not fully understand their homeowner's or flood insurance policies would be wise to invest in a good life insurance policy as well. If a disaster strikes, the truth could kill you.

Even if you have both a homeowners' policy and a flood policy on your home, you may be less protected than you think. There are restrictions that can affect the amount you collect from either following a disaster.

The first loophole is the deductibleRead More Now

[via MortgageNewsDaily.com]

Metro: Fresno panel backs land-use changes

Fresno planning commissioners are recommending changes in land-use plans and zoning for three new subdivisions proposed in rapidly developing southeast Fresno.

[via FresnoBee.com: Metro]

Note to amateur "flippers": Know IRS rules

Dow Jones Newswires Amateur "flippers" in the real-estate market have more to worry about than a bubble burst.

[via Real Estate - Topix.net]

Governor's office files brief against new casino

CBS 47 has obtained a copy of a 13-page brief filed by the Governor's office of Legal Affairs. It argues at length against the proposed $250-million casino in Fresno County.

[via CBS 47: Local News]

Real estate agents have specialized role

You wouldn't choose a surgeon to diagnose your car's engine. Nor would you ask your accountant for a physical exam.

[via Real Estate - Topix.net]

Metro: Clovis schools to redraw lines

The Clovis Unified School District will reconfigure middle and high school boundaries over the next several months as it plans for the opening of a seventh- through 12th-grade complex in the northwest part of the district in 2007.

[via FresnoBee.com: Metro]

Prices Squeezing Middle- and Low-Income Workers

The gap between high-income and low-income Americans is widening, the ranks of the poor in California and nationwide are swelling, and middle-class workers have lost ground compared with the 1970s, several national and state studies show. A disturbing new picture of low- and middle-income family finances is emerging from U.S. Census studies and from analyses of census and other data by the California ...

[via KnowledgePlex.org News]

Froth Report: A Little Foam Never Hurt Anybody

A scant three months ago, it seemed a near certainty that Alan Greenspan's declaration that there were "at a minimum, signs of froth in some local markets" would become the "irrational exuberance" of this housing boom gone wrong -- i.e., code for "this will not end well." But it turns out that froth (so light! so airy!) isn't really scaring anyone, least of all Greenspan.

Yesterday, the Fed Chairman presented some good, old-fashioned empirical research that shows that most homeowers are not in fact overextended, and that should home prices dip, the increased equity built up during the boom times should shield most homeowners from severe injury. "The vast majority of homeowners have a sizable equity cushion with which to absorb a potential decline in house prices," he said.

Now, let's not sugar-coat this. Interest-only and piggy-back loan holders? Greenspan thinks they're screwed. But, the rest of us? We shouldn't be embarrassed about sticking our noses in the froth, slurping it up, even, dare we say, adding a little cinammon.
· Most Homeowners Not Overly in Debt, Fed Chief Says [NY Times]
· BarbaraWatch: And What's the Deal with Bubbles? [Curbed]
· Greenspan: Housing Debt Okey Dokey [Curbed]
· Greenspan: Real Estate Is, Or Is Not, Inflated [Curbed]

[via Curbed]

Housing market in balance?

With more houses available, prices starting to deflate Out of Valley Markets The Southern California market continues to be strong in August, as it rounded out the summer buying season with record prices and a ...

[via Real Estate - Topix.net]

Metro: Project stalls in council meeting

Until last week, a proposal for a major mixed-use development at Nees and Palm avenues in north Fresno was moving fairly smoothly through the city bureaucracy.

[via FresnoBee.com: Metro]

Greenspan: Most Homeowners in Good Shape

"The vast majority of homeowners have a sizable equity cushion with which to absorb a potential decline in house prices," he said in remarks delivered via satellite to a banking conference in Palm Desert, ...

[via Real Estate - Topix.net]

Real Estate: Center will help home buyers

Wages in Fresno County increased an average of 3.7% in the past year.

[via FresnoBee.com: Real Estate]

Fresno Real Estate Market Changing!

Our market is changing slowly but surely as we now have 1466 "active" listings in the Fresno/Clovis area as of 9/23/05. This is at least double the inventory we had from a year ago! Consequently, it's cooling the market and making it easier for us agents to find properties for our buyers. There's not as much "overbidding" going on with the increased inventory. Frankly, I like it better. We are also starting to see some price reductions on listings that remain on the market over 30 days. I like seeing a more balanced ratio between buyers and sellers! There still remains a lot of buyers because interest rates are still historically low. Sellers in the "sellers market" we had were getting too greedy with their pricing, now they are facing more competition with the increased inventory. Fresno remains one of the lowest price markets in the state, keeping us very busy.

Metro: Four-mile Freeway 180 extension opens

The newest link in Fresno's metropolitan freeway system is now opening.Barring last-minute delays, a four-mile stretch of Freeway 180 from the Freeway 168 junction east to Clovis Avenue will open in time for rush-hour traffic this morning, officials from CalTrans and the Fresno County Transportation Authority said at a Thursday morning ribbon cutting.

[via FresnoBee.com: Metro]

Builder Plans Condos for Central Valley, California

The nation's largest home builder plans to construct condominiums in the Fresno area, which could provide a lower-cost alternative for would-be homeowners. D.R. Horton, which is establishing an office in Fresno and developing traditional housing subdivisions in Fowler, Sanger and other local communities, also has condominium projects planned in Sanger and northwest Fresno, said Tony Wyman, division ...

[via KnowledgePlex.org News]

Slower Rise in Home Prices Forecast for California, West

Experts up and down the state have warned that the housing market is starting to lose steam. And the latest forecast Wednesday from the California Assn. of Realtors predicted that home prices would moderate in 2006, rising a mere 10% after four years of hefty gains, on slightly lower sales. But as the old real estate adage goes, it's all about location, location, location when it comes to cooling ...

[via KnowledgePlex.org News]

Metro: Hospital to be built in Clovis

A $22 million hospital that would create 350 good-paying jobs is planned at the southwest corner of Temperance and Alluvial avenues in Clovis.

[via FresnoBee.com: Metro]

Metro: Road work frustrates residents

Tony Petrosino doesn't hesitate to move "Road Closed" signs or drive in the unfinished lanes along Copper Avenue.

[via FresnoBee.com: Metro]

Real Estate: Expiration of law to cut notice for evicting renters

California tenants are about to lose one of the biggest protections they've won in the state Legislature in the past decade.

[via FresnoBee.com: Real Estate]

Sellers should consider an agent

The value of a real estate agent is constantly discussed - especially in neighborhoods where prices seem to be going up every day.

[via Real Estate - Topix.net]

Real Estate: Rent increases losing steam

The steep rent increases that bedeviled apartment dwellers over the past four years are diminishing because more units are being built, giving people additional options for housing.

[via FresnoBee.com: Real Estate]

Metro: Fireplaces face new limits

Fireplaces in new homes will be restricted beginning next month after new rules were approved Tuesday by the Fresno County Board of Supervisors.

[via FresnoBee.com: Metro]

Metro: Hearing set Thursday on Fresno Co. foothill casino

Residents will have the opportunity to voice their concerns this week about plans by the Big Sandy Band of Western Mono Indians to build a $250million casino-hotel in the Fresno County foothills.

[via FresnoBee.com: Metro]

Real Estate The Right Way!

The new marketing tagline for my office Realty Concepts is "Real Estate The Right Way" which was just unveiled in September along with a marketing campaign of mixed media coverage. In the coming months we will be branding our message on 6 radio channels, 7 cable TV channels, Fresno Bee newspaper, billboards in choice locations, and 30 second video ads at local movie theaters. Our message is emphasizing that our business is that of high quality and full service oriented and pointing out that "cheaper isn't better" when it comes to real estate fees and the limited service of discounted brokers in the Fresno, California area real estate market.

Real Estate: Sellers should price homes realistically for their markets

WASHINGTON — If you're thinking about selling a house this fall, keep in mind this real-life real estate parable. It's all about pushing the envelope — being too greedy — at the very moment that your local market may be past its price-growth peak and is slowly cooling off.

[via FresnoBee.com: Real Estate]

Real Estate: Industrial park enjoys hot market

The hot real estate market is proving to be a boon to the developers of Three Crowns industrial park on Freeway 99 just south of Fresno.

[via FresnoBee.com: Real Estate]

Metro: Housing prices plague Fresno's working poor

Diana Jimenez lived in a trailer park with gas leaks and a home where sewage from broken pipes regularly collected on the floor. Her journey across Fresno's low-rent landscape included another stop, where firefighters warned her that the house she was renting could collapse at any time.

[via FresnoBee.com: Metro]

Free Credit Reports For All - But Watch Your Step

Now everyone can get a free credit report - just watch your typing fingers.

The Northeast, the last region of the country to be entitled to yearly free credit reports, became eligible on September 1. Effective that date, under the Fair and Accurate Credit Transactions Act (FACT Act) everyone in the country is finally entitled to access their credit information once a year from each of the three major credit reporting companies (Equifax, Experian, TransUnion). This right has been rolled out on a regional basis since January, 2005. Read More Now

[via MortgageNewsDaily.com]

Metro: UC Merced shines on opening day

MERCED — The University of California officially opened UC Merced on Labor Day with state and university speakers vowing that this 10th UC campus will jolt higher education and research in the San Joaquin Valley.

[via FresnoBee.com: Metro]

California Realty Experts Say Houses Linger Longer, Prices Drop

Modesto home sales begin to shift

[via RISMedia.com RSS FEED]

Metro: Valley air has clean streak

The summer of 2005 might well be remembered most for Fresno's three-week streak of triple-digit heat, if not for this startling news:

[via FresnoBee.com: Metro]

Metro: Old Hilton may house condos

An empty hotel in the heart of Fresno may soon come back to life with 77 condominium units on upper floors and a mix of office and commercial activity below.

[via FresnoBee.com: Metro]

Fresno Considering Building Fee Increase

The city of Fresno has a new plan to raise more than $100 million to build new parks, but it's a plan developers won't like because they'll be footing the bill.

[via KFSN Front Page headlines]

Real value growth or rotten reckoning?

Click image for enlargement. Illustration by Anton . The national and local housing markets continue to make headlines for the appreciation records they set each quarter.

[via Real Estate - Topix.net]

Valley Home Prices Continue to Increase

Cities across the Central Valley realized record high prices for homes in July.

[via KFSN Front Page headlines]

In Trouble With Your Mortgage? Call Your Lender - Now!

Title: In Trouble With Your Mortgage? Call Your Lender - Now!
Description-----------
There is never a shortage of sharks waiting to take advantage of the troubled. If you are having problems with your mortgage payments, please listen to us, not them.Last month we did a two part article on foreclosure. The bottom line was, if you are in financial trouble, take control of the situation and get in touch with your lender the very minute that problems loom. That message has been upper-cased, bold-faced, and underlined by a recent report from the National Consumer Law Center.The Center's recent report "Dreams Foreclosed: The Rampan... Read More Now
Source: http://www.MortgageNewsDaily.com/8192005_Foreclosure_Scams.asp---------------------------------------------------------------------

Fresno condo project proceeds

Apartments could be converted with council approval.

By Russell Clemings / The Fresno Bee
(Updated Friday, August 19, 2005, 5:59 AM)

A San Diego developer has won tentative approval to convert a southeast Fresno apartment complex to condominiums — the fourth such project for the company in the city in two years.
United Development Group plans to convert the 106-unit Winery Estates complex on the northwest corner of McKinley and Winery avenues to condos that are expected to sell for $165,000 to $200,000 and bear association fees estimated at $200 per month.
The conversion was approved unanimously Wednesday night by the city's Planning Commission and awaits review by the City Council.
Two previous conversions by the same company — the former Villa Santa Fe complex at Huntington Boulevard and R Street and Emerald Estates at First Street and Pratt Avenue — won unanimous council approval. The company is also converting part of the Crystal Springs complex at Peach Avenue and Kings Canyon Road.
Under the city's condominium-conversion law, the Winery Estates project will offer lifetime leases to elderly tenants and extended leases to students who don't want to move or buy their units. Those who do move will be eligible for help finding new apartments.
That shouldn't be a problem, said commission Chairman Lee Brand, who said the commission had approved the construction of "probably 3,000 apartment units" over the past three years.
"If you convert everything over to condominiums, you solve one problem [by providing low-cost housing to buyers] and create another problem, because then you have a shortage of rental units," Brand said. "But that isn't the case here. … I think there's a good balance in the market right now."
The commission also approved plans for almost 600 new homes in five tracts, three of them in rapidly growing southeast Fresno.
Among them were two subdivisions proposed by Roseville-based Dunmore Homes, which plans to build 256 houses on about 67 acres between Armstrong and Temperance avenues north of Dakota Avenue, and 116 homes on about 39 acres north of Clinton Avenue between Armstrong and Temperance. The first will require City Council review because it entails rezoning from agriculture.
Also in southeast Fresno, the commission recommended rezoning and approved a subdivision map for 41 lots proposed by Dennis Bennett on about 11 acres along both sides of Church Avenue between Minnewawa and Peach avenues.
In northwest Fresno, on the southeast corner of Barstow Avenue and the future Veterans Boulevard, the commission approved a 105-lot tract on about 26 acres and recommended that the council approve rezoning for a project by Rexford Development of Encino.
Farther south, an 80-lot subdivision proposed by H&P Properties for 10 acres on the south side of Shields Avenue between Marks and Valentine avenues also won approval.
The commission also recommended that the City Council approve rezoning for less than 1 acre on H Street between Amador and Sacramento streets in downtown Fresno for Granville Homes, which plans apartments, offices and shops next to the Vagabond Lofts project, now under construction.

Protecting Yourself from a Housing Bubble

By Greg McBride, Bankrate.com
RISMEDIA, August 16 –

The run-up in home prices in many markets around the country makes it a matter of when and where, not if, the housing bubble bursts. Consider this comment from economist Joel Naroff after new-home sales hit yet another record high in June, "Welcome to our worst nightmare. It is the housing market." In that vein, we cannot ignore the potential for a housing bust any longer. Like procrastinators living in a hurricane-prone area that eventually scramble to stock up on supplies as a storm nears, it is time to look at some strategies homeowners and home buyers can adopt to weather the housing market storm. If you live in Ohio, you're probably wondering what all the fuss is about. But if you live in California, New York, Massachusetts, South Florida or Washington, D.C. – and plenty of people do – it is all anyone ever talks about. If you call one of these or many other frothy markets home, unless you've lived in the home long enough to pile up substantial equity, you have reason to worry. So let's establish some frontline defenses against a housing bust busting your financial picture. First, don't borrow against home equity. This means no taking out of home equity lines of credit to pay off credit card bills, no cash-out mortgage refinancing to fix up the house, and, by all means, no tapping home equity to pay for summer vacation. This is a drastic measure, I know, but these are desperate times, my friends. Home equity has a much lower after-tax cost than credit card debt or other forms of debt, but the cushion provided by home equity will be invaluable when home prices decline. The bottom line on debt consolidations is that it just shifts the debt, it doesn't reduce the debt. If you managed to get yourself in a little too deep on the credit card debt, it's time to figure out how to get out of it. And not by relying on home equity borrowing. The second rule is to build equity through principal repayment. Interest-only and option ARM borrowers, I'm talking to you. Every month, a larger portion of your monthly payment should be going toward reducing the principal on your loan, and if it isn't, then you're doing something wrong. This leads into my next point. Making steady progress on paying down the balance is largely dependent upon having a loan with a fixed rate. Therefore, we have rule No. 3: It is time to move away from adjustable rates. There is nothing worse than the payments increasing when the value of the home is declining. This means refinancing out of the short-term adjustable-rate loan that pressures your budget and retards the process of building equity through principal repayment as interest rates climb and getting into a fixed-rate mortgage or hybrid ARM where the fixed-rate period is no less than seven years. Why so long? I'll come back to this point later on. First-time home buyers are especially vulnerable to a downturn in home prices because of minimal down payments and the lack of established equity that buyers rolling over from a previous home would have. Small down payments and large loan balances increase the likelihood of relying on interest-only loans and the like for affordability. So the message to first-time buyers, and rule No. 4, is this: Make a larger down payment. If you don't have the scratch for a down payment and you can't afford to borrow with a fixed-rate mortgage -- don't buy. It's that simple. The fifth rule is to live in your home for the longer haul. Whenever you're upside down on a car because you owe more than it is worth, the cure-all is to literally drive your way out of it by keeping the car until the loan balance falls below the market value. Be prepared to do the same with a new-home purchase. If your feeling is that you're going to move in three years, it is time to make plans for other contingencies. Can you afford a mortgage that offers a fixed rate for a longer period, such as a 10/1 ARM or a 30-year fixed-rate mortgage? If not, continue renting. The transaction costs of buying and selling are steep, and any downturn in price over such a short holding period will clobber the unsuspecting buyer. The home is first and foremost where you live. Get past the "my home is an investment" mentality to protect against the bursting bubble. The home is indeed an investment, but a long-term investment. Treating it as such will vanquish many of the worries about a bursting bubble. This article was reprinted by permission of Bankrate.com

Neighbors seek piped-in water

600 homes north of Clovis could pay $1,500 a year
By Marc Benjamin / The Fresno Bee

(Updated Monday, August 15, 2005, 6:01 AM)

Residents in a neighborhood of about 600 homes north of Clovis will likely be asked to pay more than $1,500 a year to pipe water to their community to end water shortages.
Ground-water shortages have existed for years in the neighborhood that includes Appaloosa Acres, Horseshoe Bend and Shenandoah Farms, as well as hundreds of individual parcels north of Shepherd Avenue and roughly between Sunnyside and Armstrong avenues.
Water there hides in a labyrinth of underground rock fissures. There are no subterranean rivers — known as aquifers — and wells for some residents have slowed to a trickle.
Tiring of the continuous problems, the community last year began seeking solutions. A study, which residents paid $25,000 for, gave three preferred options:
Piping water from either Clovis or Fresno, both of which have water-treatment plants.
Or building a stand-alone water-treatment plant for the community.
The engineer's report suggested removing two options, one proposing recharge, and another plan to pipe in water from Garfield Irrigation District.
Residents prefer piping water, which could be less expensive than the treatment-plant option.
Peter Hammar, secretary of the Dry Creek Rural Water Association, is nursing four trees and brown grass on his 2.5-acre parcel.
"My well is very weak, and I would rather spend that money on a permanent solution instead of trying to punch a $15,000 well in, and I may hit nothing," he said.
Piping from a city will relieve residents of the expense of trucking water to their homes, having wells deepened or replaced, enlarging storage tanks or finding no water at all on their properties.
Fresno County supervisors Tuesday will discuss forming a community service area to serve these neighborhoods. That will create a community that could later vote to tax itself to pay for water service.
Fresno County will negotiate with the cities of Fresno and Clovis and the Fresno Irrigation District on piping and treating the water that goes to the community.
"This group of people is at the mercy of the negotiators for their solutions," said Al deHaai, the engineer who coordinated the report for Fresno-based Provost & Pritchard.
The expense for residents could be between $100 and $150 per month depending on costs for water development, acquiring water, water treatment, piping and other construction costs.
Residents will be metered and billed for water they use. The assessment also will pay $150,000 in annual administrative costs for a community service area.
Supervisors also might vote to limit growth in the area.
Janet Dailey, Fresno County's design division manager, said one hookup per parcel will be allowed under the county's proposal, meaning additional growth will not occur.
If new homes are added, she said, it might trigger more in-depth environmental documentation, requiring additional time and money.
All residents will pay an assessment even if their wells are functioning properly, she said.
The $100 to $150 monthly price is not much more costly than what residents are now paying for electricity to run their wells.
"I probably spend a third or half of that for the pump on my well, and then I have the whole issue of having to replace the pump for $1,000 to $2,000 every four or five years," said Vernon Crowder, chairman of the Dry Creek Rural Water Association. "And then there is the whole question of reliability."
Getting water piped to the neighborhood as soon as possible is the top priority, Crowder said.
It's also important because home values remain threatened by the lack of water.
"With every sale out there, the question is about the water supply," he said. "I can't put a percentage out there, but if we weren't already working on this pipe, there are some homes out there that would not have already sold … the key is it takes the question mark away."
Gary Serrato, Fresno Irrigation District general manager, said his agency wants to help the neighborhood, which is north and east of the district's boundaries.
"The less they [residents] have to pump, the better off the entire community is, including FID," Serrato said. "It makes our ground-water tables more sustainable."
But, he said, the report underestimated costs to make water available over the long term, and may mean residents have to pay more.
And, the agencies need to work out who can best serve the neighborhood despite boundary issues.
The neighborhood is outside the Clovis sphere of influence, the logical expansion for the city's future growth. And if Fresno's water plant is chosen as the location for piping water to the neighborhood, another turf conflict could occur.
In negotiations over future city borders with Fresno County and Clovis, the city of Fresno pledged it would not develop east of Willow Avenue. The neighborhood's western edge is about 2 miles east of Willow.
"There are just a lot of jurisdictional boundary issues that need to be taken care of," said Lon Martin, Fresno's water system manager. "We are more than willing to treat the water, but you have to provide the entitlement [to the water] and infrastructure."
But efforts to assist the neighborhood are groundbreaking, Martin said.
"This is going to force the city [of Fresno], the county, Clovis and FID to put our heads together and resolve this one," he said.

Bakersfield, Calif., Homes Top Nation in Price Gain

By Misty Williams

The Bakersfield Californian

RISMEDIA, August 15 – (KRT) – Bakersfield, Calif., still on top. Home prices here rose 38.1 percent from the second quarter of 2004 through the same period this year, according to the latest figures from mortgage finance giant Fannie Mae. That's higher than any other metropolitan area in the nation, said Fannie Mae chief economist David Berson. "I used to live in Southern California," Berson said. "The Central Valley was not the hot spot. Now it is." Areas like Los Angeles, San Bernardino-Riverside and the Bay Area showed strong gains but didn't make the top 10, Berson said. Bakersfield is attractive because prices are so low compared to other areas of the state, said James Barth, a senior fellow who studies housing economics at the Milken Institute in Santa Monica. The percent increase may also be larger than other areas because home costs were so low to begin with, Barth said. Another reason why valley prices may be rising so fast? Investors. The number of investors in the valley is nearly double the national average, which has helped push prices up, Berson said. Both Stockton and Modesto also showed home price gains of more than 30 percent. Recent data on home sales, prices and home builder attitudes show no sign of slowing down, Berson said. But the end of the year or beginning of next could bring a slowdown in the national market, he said. "We're probably real close to the peak in sales right now," he said. Copyright © 2005, The Bakersfield Californian Distributed by Knight Ridder/Tribune Business News.

Estimating Fresno Home Values!

The most popular conversation topic is "the value of your house" these days. Fresno, like everywhere else has had their real estate values increase at phenomenal rates. One of my common jobs is to estimate the value of peoples homes in the Fresno and Clovis area. I receive requests almost daily from my website www.FresnoHomes.net for a "Home Value" analysis. I am uniquely qualified for the position, having been a Fresno Realtor for 24 years and a Fresno native, and having personally seen the city grow over the last 50 years. I do this market analysis, without cost or obligation, hoping to secure their confidence in me as a Realtor should they decide to sell their property at some point. Fortunately, the computer and internet has helped make this job much easier and faster. I access sales and listing data from the Fresno MLS as well as the public Fresno County tax records. I like to use only the very most recent sales comparables (1-6 months), the current "pending sales" and the active listing inventory to analyze. In the current "sellers market" of 2005, a substantial consideration is given to what is currently available as well, because of supply and demand. The number of buyers overweights the number of sellers today, which is keeping our prices strong and seemingly ever increasing. Prices have gone up in the first half of 2005, but I beleive they are leveling off somewhat, due to the active listing inventory increasing.

California Median Pushes into $500,000 Territory

The median price of a detached single family home in California moved past the $500,000 threshold in April and sales advanced at a near record pace, as the market moved into the peak season for 2005. For the first time ever, the median price surpassed $500,000, reaching $509,230 in April. The median rose 2.6 percent over the March median of $496,550, and 12.5 percent over the April 2004 median of $496,550. While the year-to-year percentage increase was the smallest in just over 2 years, this was due in part to the surge in home prices a year ago when the median rose by 25 percent.The market advanced at the second highest monthly pace on record with 658,060 units, a 2.7 percent year-to-year increase over April 2004 figure of 640,710 units. Year-to-date sales were ahead of last year by 5.1 percent. The market has been driven since the start of the year by low interest rates, improved inventories, and strengthening economic conditions statewide. Despite a brief interval in late March and early April when the fixed rate exceeded 6 percent, the fixed rate remained in the 5.75 to 6.00 percent range, while the 1-year ARM ranged from 4.10 to 4.25 percent.At the same time, inventory levels were roughly double the record-low levels of a year ago, offering buyers and sellers alike more wiggle room in the market. Still, inventories were well below the long-run average of 6.5 months, and continued to drive price appreciation, which has been well in excess of the 7.5 percent long-run average for most of the past three years.In addition to favorable market conditions, statewide economic conditions have improved over last year. Year-to-year nonfarm job gains of 1.5 to 1.75 percent have been consistent since October of last year, while the unemployment rate in California has fallen faster than the US rate. The growth of nonfarm jobs may not be as spectacular as in the late 1990s and first part of the decade here in California, but there has been considerable improvement over the job losses of 2002 and 2003 and the anemic growth rates of early 2004.With the recent advances in the median price, housing affordability has drawn ever closer to its all-time low. The C.A.R. Housing Affordability Index, which measures the percentage of households that can afford to buy the median priced home, fell to 17 percent in April after hovering around 19 percent since May of last year. While the Index is unlikely to hit the record low of 14 percent that was set in the summer of 1989, low affordability readings for the state and many of its regions have reinforced ongoing concerns about the difficulty first-time buyers have had in getting into the market.

C.A.R. REPORTS MEDIAN HOME PRICE INCREASED 12.8 PERCENT IN MAY

The median price of an existing, single-family detached home in California during May 2005 was $522,590, a 12.8 percent increase over the revised $463,320 median for May 2004, C.A.R. recently reported. The May 2005 median price increased 2.5 percent compared with April's revised $509,630 median price."The California housing market passed an important threshold in April, when the median price rose above $500,000 for the first time," said C.A.R. President Jim Hamilton. "This trend continued in May, with the median price approaching $525,000. At these prices, eroding affordability and concerns about rising interest rates are constraining sales."

Fresno Real Estate Market Continues Booming!

Inventory of homes and condos for sale in the Fresno and Clovis area remains low, continuing the boom market we have been seeing for nearly 5 years straight. The number of available homes in the Fresno MLS today was 862 "active listings". This is a low number for all of Fresno and Clovis area. This limited supply, along with low interest rate loans is the reason prices have been increasing steadily again this year.

Realty Concepts Unveils New Programs for Clients!

My office, Realty Concepts has unveiled two new programs in June 2005, that are benefits to our clients. We have a "Guaranteed Sale" program, in which we will guarantee the sale of your home within 30 days or we will credit you up to $2500 at the close of escrow. The other program is called "Love it or Leave it", in which if you purchase a home from us and within 90 days of closing, if you are not 100% happy with your new home purchase, we will list the property for free. Both of these benefit programs are currently available under certain guidlines.

More and More People Becoming Realtors!

Can you believe that as of today 6/3/2005, there are over 3600 Realtors in Fresno MLS, and to make it worse there are less than 800 active listings available in all of Fresno and Clovis. The market is very HOT with activity. Properties are still increasing in value and the real estate business is attracting many new licensees. If I were a buyer or especially a seller, I would want to work with an experienced Realtor, not a "newbie". Why would you trust your biggest investment to be handled by a rookie? I'm certain that my experience benefits my clients because I know the business well and have many contacts in all areas of the field, from service vendors, to contractors, to lenders and everyone affiliated in our local real estate market. I generally can save my clients money in the long run. Just a couple years ago we had less than 1000 agents working the Fresno market. I know that as the market cools down, and it eventually will because it can't increase forever, many of these newer agents will leave the business and get into something else. I don't feel threatened by the current number of agents, as I am in this business for the long run, I've seen the market go up and down over the last 24 years and I have the skills to make money in any kind of market

Investors Buying Up Fresno Properties!

I've never seen anything like it in all my experience selling homes in the Fresno area. Most of the sales activity, seems to be from out of town buyers. I'm seeing most buyers coming from the bay area or San Jose. I estimate that 50% of the business is from out of towners. Our prices are considerably lower than most cities in California, with our median price currently just under $300,000, and slightly over $300,000 for Clovis. For this reason, investors have flocked here and are able to make good, solid investments .

Median price of a home in California increases 15.7 percent in March, sales up 7.5 percent, C.A.R. reports

LOS ANGELES (April 25) – The median price of an existing home in California in March increased 15.7 percent and sales increased 7.5 percent compared with the same period a year ago, the California Association of REALTORS® (C.A.R.) reported today.
“The median price of a home was just shy of a half-million dollars in March, although the annual rate of increase was the smallest we’ve seen since June 2003,” said C.A.R. President Jim Hamilton. “The inventory of homes for sale has increased compared to a year ago, which has lessened the upward pressure on home prices, but consumers’ perceptions that interest rates will increase continues to drive the market.”
Closed escrow sales of existing, single-family detached homes in California totaled 634,700 in March at a seasonally adjusted annualized rate, according to information collected by C.A.R. from more than 90 local REALTOR® associations statewide. Statewide home resale activity increased 7.5 percent from the 590,220 sales pace recorded in March 2004.
The statewide sales figure represents what the total number of homes sold during 2005 would be if sales maintained the March pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.
The median price of an existing, single-family detached home in California during March 2005 was $495,400, a 15.7 percent increase over the revised $428,060 median for March 2004, C.A.R. reported. The March 2005 median price increased 5.2 percent compared with February’s revised $470,920 median price.
“Year-to-date sales are 6 percent ahead of last year’s pace, reflecting the continued strength of the real estate market and the improving economic fundamentals of the California economy,” said C.A.R. Vice President and Chief Economist Leslie Appleton-Young. “Demographic growth in the state’s population also is fueling much of this activity -- California has absorbed three million new residents since 2000.”
Highlights of C.A.R.’s resale housing figures for March 2005:
. C.A.R.’s Unsold Inventory Index for existing, single-family detached homes in March 2005 was 2.7 months, compared with 1.3 months (revised) for the same period a year ago. The index indicates the number of months needed to deplete the supply of homes on the market at the current sales rate.
. Thirty-year fixed mortgage interest rates averaged 5.93 percent during March 2005, compared with 5.45 percent in March 2004, according to Freddie Mac. Adjustable mortgage interest rates averaged 4.23 percent in March 2005 compared with 3.41 percent in March 2004.
. The median number of days it took to sell a single-family home was 31 days in March 2005, compared with 25 days (revised) for the same period a year ago.
Regional MLS sales and price information is contained in the tables that accompany this press release. Regional sales data are not adjusted to account for seasonal factors that can influence home sales. The MLS median price and sales data for detached homes are generated from a survey of more than 90 associations of REALTORSâthroughout the state. MLS median price and sales data for condominiums are based on a survey of more than 60 associations. The median price for both detached homes and condominiums represents closed escrow sales.
In a separate report covering more localized statistics generated by C.A.R. and DataQuick Information Systems, 97.5 percent or 396 of 406 cities and communities showed an increase in their respective median home prices from a year ago. DataQuick statistics are based on county records data rather than MLS information. DataQuick Information Systems is a subsidiary of Vancouver-based MacDonald Dettwiler and Associates. (The top 10 lists are generated for incorporated cities with a minimum of 30 recorded sales in the month.)
Note: Large changes in local median home prices typically indicate both local home price appreciation, and often, large shifts in the composition of housing market activity. Some of the variations in median home prices may be exaggerated due to compositional changes in housing demand. The DataQuick tables listing median home prices in California cities and counties are accessible through C.A.R. Online at http://www.car.org/index.php?id=MzQ4NDY.
. Statewide, the 10 cities and communities with the highest median home prices in California during March 2005 were: Los Altos, $1,605,000; Saratoga, $1,559,000; Manhattan Beach, $1,451,500; Laguna Beach, $1,350,000; Beverly Hills, $1,320,000; Palos Verdes Estates, $1,302,500; Newport Beach, $1,200,000; La Canada-Flintridge, $1,100,000; Palo Alto, $1,059,000; Los Gatos, $1,025,000.
. Statewide, the 10 cities and communities with the greatest median home price increases in March 2005 compared with the same period a year ago were: Laguna Hills, 75.1 percent; Adelanto, 66.1 percent; Atwater, 63.1 percent; Hesperia, 62.3 percent; Twentynine Palms, 60 percent; Selma, 58.9 percent; West Sacramento, 56.6 percent; Desert Hot Springs, 56.1 percent; Arroyo Grande, 52.5 percent; Barstow, 50.3 percent.
Leading the Way...® in California real estate for 100 years, the California Association of REALTORS® (www.car.org) is one of the largest state trade organizations in the United States, with more than 165,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles.

Realty Concepts Scores Highest in Production

The "Home of the Valley's Professionals", Realty Concepts has once again shown the Fresno Real Estate competition who's #1, by acheiving the highest "production per agent" for 2004.

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C.A.R. REPORTS CONDO MARKET GOING STRONG

Though condominiums represented just 16 percent of California home sales in 2004, about the same share as in recent years, the California condominium market is going strong, according to a recent C.A.R. report. Annual sales of condominiums were 20 percent higher in 2004 compared with 2000, and annual price appreciation of condos has surpassed that of detached homes in all but one of the past five years. With lower sales prices -- the median price for condos is generally 75 to 80 percent of the median for detached homes -- condos tend to appeal more to first-time homebuyers, who accounted for 37 percent of all condominium buyers in 2004."The condominium market segment appeals more to a slightly different customer base compared with the detached home market, with single-person households accounting for 44 percent of all condominium buyers, compared with 24 percent of all detached homebuyers," said C.A.R. President Jim Hamilton. "According to C.A.R. research, while married households accounted for 64 percent of all detached homebuyers, they accounted for just 42 percent of all condominium purchases."

PENDING HOME SALES INDEX SHOWS MODEST UPTREND

Home sales will remain strong in the months ahead, according to NAR's Pending Home Sales Index (PHSI), a new leading indicator for the housing market. Based on the number of transactions that have signed contracts but are not yet closed, the PHSI gauges home sales activity for upcoming months, as sales typically close within one or two months of contract signing.In February, the PHSI stood at 123.2, a 10.4 percent increase over the PHSI one year earlier. An index of 100 is equivalent to the average level of contract activity in 2001, the first of four consecutive years of record home sales, and therefore coincides with a historically high level of home sales activity.Regionally, the PHSI was highest in the West, where it increased 16.8 percent from one year earlier to 129.9. In the South, the PHSI increased 10.5 percent to 127.6. The Midwest and Northeast regions also experienced annual increases, reaching 121.1 and 108.4, respectively.

Discounted Commissions?

You have noticed the ads: “List your home for 4%”, “We will sell your home for 2%” or other
such headlines. With claims like that, it is only reasonable to wonder “why not?”

While all real estate commissions are negotiable, it is important to understand the effect of low commissions on your transaction, and most importantly, the impact on your net proceeds.

First, let’s take a quick look at the role of commissions in the real estate industry. When listing a property for sale, the total commission is split in half with that amount offered through the Multiple Listing Service (MLS) to any agent that brings a ready, willing, and able buyer and successfully completes the sale transaction. The other half is retained by the listing office as their compensation for the listing, marketing, and advertising of the property and their representation of the seller. These separate halves are then split again between the individual agent and their office/broker. Consequently, the average agent only earns just over one quarter of the total commission. This is their only professional compensation in real estate. There is no other income. No vacation or sick pay. No benefits. No minimum wage or employer paid health plan. That net commission paid at closing is their entire compensation, from which they pay their work expenses.

The most common commission for single family homes in this part of the country is 5-6% total commission, with 2.5 to 3% offered to the agent that brings a buyer. When a “bargain broker” says they will list your home for less, the offer a lower percent in the MLS to the selling agent. If you want to sell your home for top dollar, how does that affect you? Very simply, the “discount” commission offered will assure that many potential buyers will never see your home or will see it only after all others choices that offer a higher commission have been ruled out. Many agents, especially the best and most experienced agents (with the best clients) choose not to show these listings. Even those that will reluctantly show the property, will do so only after first trying to sell everything else that pays them more. If your occupation gave you a choice of income based on your choices, would you not choose the higher income when it represents the same responsibilities and liabilities?

Our goal in marketing your home for top dollar is to increase the exposure to as many agents and buyers as possible. We want every real estate agent in the area to aggressively want to show your home, not steer people away from it. One of the best methods to put your home at the top of every buyer’s agent’s list is to offer a good commission. It sis possible to price the property low enough that it will sell regardless of commission, but you will lose far in excess of the small difference in commission. Simply put, you will earn much more in sales price than the 1 to 2% difference between the “bargain brokers” and your full service Realty Concepts agent.
As in most areas of professional service, you get what you pay for. Do you really want the cheapest mechanic working on your car, or the cheapest doctor treating your family, or the cheapest attorney defending your rights? Real estate is no different. The cheapest is never the best. Let us focus on getting you the highest price using all of our marketing and negotiation skills. Our priority is for you to walk away with the maximum amount in your pocket.

Available MLS Listings Decreasing

I ran a search in the MLS today for all available home and condo listings in the Fresno/Clovis area and the results were "659 listings". The number was over 700 a couple weeks ago. Prices will continue to be strong.

Loan agents doubling as realtors??!!

Several times this year, I've received offers from loan agents representing buyers as "selling agent" in transactions. What do you think about loan agents representing buyers in their real estate transactions and also earning fees from their loan financing?

2-4 Unit listings are HOT items in our market right now!

The market is crazy for 2-4 units right now. I'm frustrated because my investor clients offer full price or more, and it's not high enough over the asking price. I keep getting overbid by others. It's almost like an eBay auction. Several times I make an offer at price or above and I'll get a counter-offer back fromt the listing agent that reads: "we have multiple offers, so make your best and final offer" This has happened several times over the last few months. It used to be we couldn't sell units very easily, but in todays market there are very few listings and it seems everyone and their brother wants to own investment properties.

Will Fresno Home Prices Continue Rising?

According to California Association of Realtors (CAR), our home prices will increase at an estimated 15% in 2005. The last couple of years, the prices have gone up approx 25% each year. What do you think? How long can this go on?