Eight Ways To Improve Your Home Appraisal

When I read this article I had to share it.  The Caton Team always provides comparable properties for our buyers appraisal.  But when you are refinancing on your own – don’t hesitate to call us – we’ll provide comparable properties for you!  What can the Caton Team do for you?

Eight Ways To Improve Your Home Appraisal

When Kellie and Michael May decided to refinance their home in the New York suburbs, they wanted to take advantage of historically low interest rates. But before landing a new 30-year fixed-rate mortgage, they had to get through a home appraisal.

“It was a major stumbling block,” says Kellie May, who has owned the 4-bedroom, 3-bath colonial for seven years. Not that she and her husband were unprepared; they’d been through an appraisal for another refinance in 2010, so they knew to point out improvements they’d made to the 3,400 square foot home, and supply prices for other neighborhood properties that had sold recently.

But the appraisal came back roughly $70,000 less than the $1,230,000 the Mays were expecting, and too low to support their new loan.

They responded with a paperwork arsenal aimed at their lender, asserting that the appraisal had been based on faulty recent sales data. The loan squeaked through, after the bank crafted an exception for the Mays. It was able to do that because their loan was a jumbo loan, not subject to the more rigid underwriting standards they would have encountered if it were a conventional loan aimed at secondary buyers like Fannie Mae and Freddie Mac.

Low appraisals are becoming a bigger problem for many would-be buyers and refinancers as home values have started to stabilize and rise in some markets.

In Leesburg, Florida, for example, low appraisals have caused the cancellation of as many as 15 percent of home sales for local real estate broker Gus Grizzard.

“We are seeing higher price appreciation and are starting to run into appraisal problems,” said Charlie Young, chief executive officer of ERA Franchise Systems, a firm with a national network of real estate brokerage offices, including Grizzard’s. The National Association of Realtors reported on Tuesday that inventories of homes were low and the median price a home resale was, at $180,800 in December, up 11.5 percent in a year.

Appraisals are based on recent sales prices of comparable properties. And in rising price markets, those sales prices might not be high enough to support the newest deals. Young said there were many places in California reporting appraisal problems.

On Friday, the federal government issued new rules aimed at improving the appraisal process as it pertains to high-interest mortgages on rapidly appreciating homes.

But those rules don’t go into effect for a year, and don’t apply to most conventional loans. It pays to protect your own loan before the bank even thinks about sending that guy with the clipboard over to your house.

“The reality is that the appraiser is only there for 30 minutes at most,” says Brian Coester, chief executive of CoesterVMS, a nationwide appraisal management company based in Rockville, Maryland. “The best thing a homeowner can do to get the highest appraisal possible is make sure they have all the important features of the home readily available for the appraiser.”

Here are eight ways you can bolster your appraisal:

MAKE SURE APPRAISER KNOWS YOUR NEIGHBORHOOD – SOOOOOOO IMPORTANT

Is the appraiser from within a 10-mile radius of your property? “This is one of the first questions you should ask the appraiser,” says Ben Salem, a real estate agent with Rodeo Realty in Beverly Hills, California.

He recalled a recent case where an appraiser visited an unfamiliar property in nearby Orange County and produced an appraisal that Salem said was $150,000 off. “If the appraiser doesn’t know the area intimately, chances are the appraisal will not come back close to what a property is really worth.”

You can request that your lender send a local appraiser; if that still doesn’t happen, supply as much information as you can about the quality of your neighborhood.

PROVIDE YOUR OWN COMPARABLES – Call The Caton Team – We’d be happy to help you!

Provide your appraiser with at least three solid and well-priced comparable properties. You will save her some work, and insure that she is getting price information from homes that really are similar to yours.

Websites including Realtor.com, Zillow and Trulia offer recent sales prices and details such as the number of bedrooms and bathrooms in a home.

KNOW WHAT ADDS THE MOST VALUE – Not sure where to put your money?  Call The Caton Team – We’ll help!

If you’re going to do minor renovations, start with your kitchen and bathrooms, says G. Stacy Sirmans, a professor of real estate at Florida State University. He reviewed 150 variables that affect home values for a study sponsored by the National Association of Realtors. Wood floors, landscaping and an enclosed garage can also drive up appraisals.

DOCUMENT YOUR FIX-UPS – Keep those receipts!

If you’ve put money into the house, prove it, says Salem.

“Before-and-after photos, along with a well-defined spreadsheet of what was spent on each renovation, should persuade an appraiser to turn in a number that far exceeds what he or she first called out.”

Don’t forget to highlight all-important structural improvements to electrical systems, heating and cooling systems – which are harder to see, but can dramatically boost an appraisal. Show receipts.

TALK UP YOUR TOWN

If your town has recently seen exciting developments, such as upscale restaurants, museums, parks or other amenities, make sure your appraiser knows about them, says Craig Silverman, principal and chief appraiser at Silverman & Co. in Newtown, Pennsylvania.

DISTINGUISH BETWEEN UPSTAIRS AND DOWNSTAIRS

Many homeowners covet that refinished basement, but that doesn’t mean appraisers look at it the same way. “Improvements and additions made below grade, such as a finished basement, do not add to the overall square footage of your house,” says John Walsh, president of Total Mortgage Services in New York. “So they don’t add anywhere near as much value as improvements made above grade.”

According to Remodeling magazine, a basement renovation that cost $63,000 in 2011-12 will recoup roughly 66 percent of that in added home value. That’s not as good as an attic bedroom, which will recoup 73 percent of its cost. Even similar bedrooms typically count for more if they are upstairs instead of downstairs.

CLEAN UP

Even jaded appraisers can be swayed by a good looking yard. “Tree trimming, cleaning up, a few flowers in the flower beds and paint touch up can all help the appraisal,” says Agnes Huff, a real estate investor based in Los Angeles.

That advice holds true indoors, too. “Get rid of all the clutter in your home,” says Jonathan Miller, a longtime appraiser in New York. “It makes the home appear larger.”

GIVE THE APPRAISER SOME SPACE

Don’t follow the appraiser around like a puppy. “I can’t tell you how many homeowners or listing agents follow me around in my personal space during the inspection,” he says. “It’s a major red flag there is a problem with the home.”

And while you’re at it, make the appraiser’s job as pleasant as possible by giving your home a pleasant smell. At a minimum, clean out the litter box. Baking some fresh cookies and offering him one or two probably won’t sway your appraisal, nor should it. But it couldn’t hurt.

I read this article at: http://www.reuters.com/article/2013/01/22/us-usa-housing-appraisals-idUSBRE90L0ZE20130122?VBd0T4I3F0KvenaC7w1NXQ=1

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

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Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

Bay Area Real Estate Market is Sizzling!

Found this great article by Carolyn Said of the San Francisco Chronicle.  Had to share and add my 2 cents are in italics.

Tight inventory – a dearth of homes for sale – is driving bidding wars throughout the Bay Area, sending prices up and leaving scores of disappointed would-be buyers. Homes that do hit the market sell within days.

So few homes are listed for sale that agents are resurrecting old ways of drumming up business – going door to door, leaving cards and flyers and writing personal letters, asking owners if they’re interested in selling. Social networking and e-mail blasts are being used to increase inventory as well.

This is all too true.  The Caton Team has started targeting areas, condo complexes, neighborhoods and individual homes to find the right home for our buying clients.  It’s that tough!  And with some first time buyers, the window is closing as prices creep up.  Not to mention we are on the edge of our seats worried if interest rates rise.

“People are going old-school, farming their territory,” said Lynda D, an agent in the East Bay, using real estate agent slang for canvassing neighborhoods.

While tight inventory is a national trend, it’s especially pronounced in the Bay Area.

Alameda County, for instance, had 949 homes for sale in February, down 64 percent from the 2,617 on the market at the same time last year, according to data from Realtor.com, the listings website of the National Association of Realtors. Contra Costa County had 899, down 58 percent from 2,152 in February 2012.

“Those are striking reductions in inventory,” said Errol Samuelson, president of Realtor.com.

While inventory numbers did tick up slightly from January to February, that was a normal seasonal change, not an indication of the logjam loosening.

“After seasonal adjustments, inventory is still falling; the underlying trend is still downward,” said Jed Kolko, chief economist with real estate site Trulia.com.

However, he thinks the rate of decline is slowing.

“Inventory tends to fall the most sharply after prices bottom, as no one wants to sell at the bottom, they just want to buy,” he said. Trulia shows that Bay Area prices bottomed more than a year ago.

Price a factor

Sellers remain reluctant and elusive for several reasons. Those who are still underwater – owing more than their house is worth – have the obvious impediment of not wanting to do a short sale.

But many others “feel underwater based on the price they paid,” Samuelson said. That is, someone who paid $700,000 for a home in 2007 won’t feel good about selling it for $625,000 right now, even though the sale would cover their remaining mortgage.

Some potential sellers, seeing prices surge, are hoping to hold out for more. Others who might want to move up to a bigger house fear that the market frenzy means they won’t be able to find or afford anything else.

This is such a dilemma.  If a seller has enough equity, finally, to sell – the next question is – Where do we go?  If a seller wants to stay in the Bay Area, selling now means jumping into the buying pool – and that pool is man eat man!  So this truly creates a problem.

Now that it’s spring, the busiest real estate season, more homes should start hitting the market. But many agents have been taking matters into their own hands, making pitches directly to potential sellers about why it’s time to get off the fence.

Although there are numerous online sites to track homes for sale, “the way the market is set up now is forcing us to go back to the beginning where (agents) walk up to a door and knock and say, ‘Hi, how are you, my name is … ‘ ” said Adelaida M, a Realtor in San Francisco.

Personal touch

She recently worked with a client seeking a home in San Francisco’s Clarendon Heights neighborhood, above Cole Valley. After losing out with bids, she walked the neighborhood with him and identified houses he particularly liked. Mejia looked up the homeowners and wrote personal letters to each, explaining that her client loved the area and was seeking a house there.

“Three weeks later, one person called me back and said ‘We loved your letter, we’d love to talk even though we’re not on the market, come on over,’ ” she said.

Rich and Renee G, the homeowners, said they received two or three agent solicitations a week after unsuccessfully trying to sell the house last year, but ignored them because they were form letters.

I couldn’t agree more.  The Caton Team has taken this stance and only solicits a seller when we have an actual buyer for their home.  We’re not trying to just get listings.  We are trying to unit buyers and sellers.  I personally experienced what it feels like to be a seller for the past three years.  Back and forth with my loan modification paperwork, we placed our home on the market and with no offers, pulled it off the market for a spell.  During that time I got stacks and stacks of form letters.  Truthfully, it was starting to frost my cookies.  It was evident all us Realtors are trying to drum up business, but the form letters were bothering me.  They were heartless and actually hurt me – because we didn’t really want to sell – but had to.  In the end we listed our home in October of 2012 and sold it within weeks!  Now, on the other side of the fence, I consider how a homeowner would feel when they get a form letter.  Therefore The Caton Team takes the time to write a real letter, talk about the buyers we are representing and take it from there.

“Adelaida’s note was different; more personalized,” Rich said. “We were planning to put the house on the market again, but the note just pre-empted that.”

Her client ended up visiting the house, making an all-cash offer and buying it. “It was a really stress-free experience for both” the buyer and seller, she said.

If you do ask The Caton Team of your Realtor to solicit homes for you – be prepared to pay fair market value or more because if you aren’t willing too – the seller will simply put the home on the market, get multiple offers and sell for top dollar.  So in other words, you need to ‘make them an offer they cannot refuse.’

Beating the bushes for sellers is an about-face from just 18 months ago, when the challenge was to find people who wanted to buy.

A corresponding trend is that homes are selling very quickly.

‘Unbelievable’

“The median days on market in Contra Costa is 13 days – that’s unbelievable,” Samuelson said. A year ago it was 33 days.

Redfin has identified another trend it calls “flash sales” – homes that sell within 24 hours of being listed, usually because a buyer swoops in with an offer too good to refuse. Often, those are buyers who have lost other bidding wars and are determined to land a property.

In the past six months, almost 1,000 Bay Area properties went under contract within one day, Redfin said.

That’s the truth.  The Caton Team has started showing homes the day they come on the market and are prepared, right then and there, to write an offer if our client likes the home.  Gone are the days, for now at least, that you could see a home, think about it, maybe sleep on it, then write the offer.  Lately it’s felt like – ‘you like it – let’s write’!   And with each offer we write for each buyer, we’re doing everything we can to make the offer more likable to the seller.  We are using every tool in our toolbox and the toolbox of our clients. 

“I just had that experience at a house in the Oakland hills,” DiVito said. “I held the brokers’ tour just before putting it on the market. A buyer and agent walked in and offered us our list price in cash on the spot.”

Underscoring how much the market has changed, she said her sellers had tried to sell the house a year ago “and could not move this property, even though they lowered the price three times.”

Been there done that.  It is amazing how much our real estate market has changed in one year alone.  In 2010 and 2011 I had my own condo to sell, and nobody was interested.  October 2012 – put it on the market and within days I had several offers.  In the end, 20 offers on the same condo.  Amazing what a year can do.

Same-day offer

The sellers, who were buying a new home and needed to sell quickly, were happy to take the same-day offer since a cash deal meant it couldn’t be derailed by problems with financing or appraisals.

“Flash-sale terms tend to be really good because (buyers) really want to lock down that property quickly,” DiVito said. “They’re more willing to meet the sellers’ needs to scoop it up before anyone else gets it.”

What happens next with inventory is a big question hanging over the real estate recovery.

“My best guess is that you’ll see an orderly return of inventory to the market,” Samuelson said. “I don’t expect that you’ll see the floodgates open and torrents of properties hit the market. But for each percentage point increase in price, there will be some people who for life reasons have wanted to sell for the past five years – their kids moved out, they got divorced – and now feel that the time is right and they have enough equity.”

Don’t be discouraged if you are a buyer out there.  Don’t sit back either.  The best education a buyer can have is living the market.  So if you are thinking of buying a home, get pre-approved, call The Caton Team or your Realtor and come up with a plan.  The more active you are today – the better prepared you will be tomorrow.

I read this article at: http://www.sfgate.com/default/article/Homes-sell-faster-than-ever-in-Bay-Area-4375058.php

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Instagram: http://instagram.com/sunshinesabby/

Pintrest: https://pinterest.com/SabrinaCaton/

LinkedIn:  http://www.linkedin.com/profile/view?id=6588013&trk=tab_pro

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

Home Buyers Face Dilemma with Housing Shortage – SF GATE sheds some light…

After a great open house yesterday with candid discussions with the buyers out there.  It was great to find this article this morning in the Sunday paper regarding what Realtors in the Bay Area were already thinking.  If you want to call our glorious SF Peninsula home – now is the time.  We hit bottom, whether it was 2009 or 2012.  With limited inventory and low rates driving renters from out under their rock – homes are selling with multiple offers and for over their listed price.  And with demand this strong – we don’t feel prices are going to fall anytime soon.  Take a read and let me know your thoughts.  Comment or email us at info@thecatonteam.com!  Enjoy!

Home Buyers Face Dilemma with Housing Shortage

The sharp drop in homes for sale poses a tough choice for buyers: Jump in now and compete with hordes of others or wait until inventory improves.  If you buy now, you might have to pay above asking. But if you wait, you could end up paying an even higher price and a higher interest rate if you need a loan. That’s because inventory won’t improve until prices rise enough to get more homeowners to sell and more builders to break ground.

The inventory shortage is especially acute in California. Of the 30 largest housing markets, the four with the biggest drops in homes listed for sale on Zillow in February compared with February of last year were Sacramento (48 percent), Los Angeles, San Francisco (41 percent) and San Diego.  Although listings are increasing on a month-to-month basis as the busy spring season gets under way, Trulia Chief Economist Jed Kolko predicts they won’t start rising on a year-over-year basis for a year or more.

An example of that: “In all of Millbrae, there was one listing two months ago. There are about a dozen now,” says Roger Dewes, a Coldwell Banker agent on the Peninsula. In a normal market, there might be 20. “We are not there yet, but going from one to 12 is quite a leap,” he says.

Experts cite five factors contributing to the inventory shortage:

Fewer foreclosures are hitting the market. “California did a good job of disposing of its backlog” of distressed properties, says Zillow Chief Economist Stan Humphries.

In California, where most foreclosures are handled out of court, the process is taking about 11 months on average, according to RealtyTrac. In New York and New Jersey, where foreclosures go through a court proceeding, the process is taking 36 and 32 months, respectively.

Many people still owe more than their homes are worth. If they sold now, they would have to come up with extra cash to pay off their loan. Although prices have rebounded from their lows, 23.3 percent of homes with a mortgage in San Francisco, San Mateo and Marin counties were still underwater in the fourth quarter of 2012, according to Zillow.

Even if they are not underwater, many owners won’t sell for less than they paid. If they bought near the peak, it may take a while before they are ready to budge.

The median price paid for a new or resale home or condo in the nine-county Bay Area was $415,000 in January. That’s less than halfway between its low of $290,000 in March 2009 and its high of $665,000 set in June/July 2007, according to DataQuick.

Many people, even if their homes are worth more than they paid, won’t sell because they are afraid they won’t be able to buy another house. “It becomes a game of musical chairs; they are afraid to get out because they can’t get back in,” Humphries says. This becomes “a self-reinforcing cycle” that keeps homes off the market.

The housing bust put new construction on hold.

The shortage comes at a time when demand is rising in the Bay Area, not just from regular buyers but from investors, second-home buyers and foreign buyers, especially from Asia.

‘Heck of a wreck’

The result is stories like this: A 1,500-square-foot home on Clipper Street on San Mateo’s east side, advertised as a “heck of a wreck,” attracted 97 offers in the first eight days, says listing agent Claire Haggarty of NBT Realty Services.

The home was listed in mid-January at $375,000, which Haggarty considered “a little under market.” It sold for $510,000 in an all-cash deal with no inspections, no contingencies and a 10-day close.

At some point, prices will rise enough to shake lose more inventory, but it won’t happen immediately.  Based on what’s happening around the country, Kolko says inventory tightens fastest in the first 12 months after prices hit a bottom. “Everybody wants to buy at the bottom and nobody wants to sell at the bottom,” he says.

About 12 months after hitting bottom, inventory continues to decline, albeit at a slower pace. But it won’t increase on a year-over-year basis until at least two years after hitting bottom, he predicts.  If you adjust for the mix of homes sold, Kolko says prices bottomed in February 2012 nationwide and in most parts of California and the Bay Area. (The San Jose metro area bottomed earlier, in June 2011.)

Although DataQuick shows Bay Area home prices bottoming in 2009, that’s when most homes being sold were low-priced. The middle and upper end of the market bottomed in early 2012, says DataQuick’s Andrew LePage.

If you believe Kolko’s two-year rule, inventory won’t begin increasing on a year-over-year basis until at least early 2014 in most areas.  Humphries says it might improve earlier, by the end of the year, but “this spring will still be challenging from an inventory perspective.” If you wait until next year to buy, the market may be cooler but prices are likely to be higher. There’s also a risk that interest rates will be higher, he says.

Sweet spot 

The sweet spot for buyers might be this summer. Even though inventory is falling year-over-year, “the seasonal pattern means there will be more homes on the market in the summer,” Kolko says. “Search traffic peaks in the spring, but inventory peaks in July.”  Many buyers also go on vacation in July and August, Dewes says.

The decision to buy or wait “really comes down to a fundamental decision about how long you will be in a home,” Humphries says. “If you want to be in a home long enough to make buying better than renting, make that decision as soon as you can.”

In the city of San Francisco, the breakeven point where it makes more sense to own is 3.7 years, Humphries says. “If you will be there more than 3.7 years, I’d say buy now.”

By Kathleen Pender SF GATE

I read this article at: http://www.sfgate.com/business/networth/article/Home-buyers-face-dilemma-with-shortage-4342162.php#page-2

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Pintrest: https://pinterest.com/SabrinaCaton/

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Please enjoy my personal journey through homeownership at:

 

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

New Short-Sale Program Offers Relief for Underwater Homeowners…

Please enjoy this article I found interesting….

The Fannie-Freddie program allows short sales for owners who are current on loan payments but are encountering a hardship that could force them into default.

WASHINGTON — Though there are still some snares and drawbacks for participants, one of the federal government’s most important financial relief efforts for underwater homeowners started operating Nov. 1.

It’s a new short-sale program that targets the walking wounded among borrowers emerging from the housing downturn — owners who owe far more on their mortgages than their current home value but have stuck it out for years, resisted the temptation to strategically default and never fell seriously behind on their monthly payments.

Industry estimates put the number of underwater owners across the country at just under 11 million, or 22% of all homes with a mortgage. Of these, about 4.6 million have loans that are owned or securitized by Fannie Mae or Freddie Mac. Eighty percent of these Fannie-Freddie borrowers, in turn, are current on their mortgage payments and meet the baseline eligibility test for the new short-sale effort.

Here’s how the program works and where the potential snares are. Traditionally short sales, where the lender agrees to accept less than the full amount owed and the house is sold to a new purchaser at a discounted price, are associated with extended periods of delinquency by the original owner. The new Fannie-Freddie program — designed by the companies’ overseer, the Federal Housing Finance Agency — breaks with tradition by allowing short sales for owners who are current on their payments but are encountering a hardship that could force them into default.

Say you are deeply underwater on your mortgage and recently lost your job or had your work hours reduced. Under the new program, you can contact your mortgage servicer and ask to participate in a Fannie-Freddie short sale for non-delinquent borrowers. You’ll need to find a qualified buyer for the house, typically with the help of a real estate broker or agent knowledgeable about short sales who will list the property and obtain an offer and communicate the details and documentation to the servicer. If the proposed short-sale package is acceptable, the deal would then proceed to closing weeks — or months — later.

Eligible hardships under the new program run the gamut: job loss or reduction in income; divorce or separation; death of a borrower or another wage earner who helps pay the mortgage; serious illness or disability; employment transfer of 50 miles or greater; natural or man-made disaster; a sudden increase in housing expenses beyond the borrower’s control; a business failure; and a you-name-it category called “other,” meaning a serious financial issue that isn’t one of the above.

Borrowers who take part in the new program can expect to rid themselves of the money-devouring albatross their mortgage has become — without going through the nightmares of foreclosure or bankruptcy — and to get a chance to start anew, better equipped to deal with the financial hardship that caused them to sell their house in the first place.

What about the snares in the program? There are several that participants need to consider.

•Credit score impact. Though officials at the Federal Housing Finance Agency are working on possible solutions with the credit industry, at the moment it appears that borrowers who use the new program may be hit with significant penalties on their FICO credit scores — 150 points or more. This is because under current credit industry practices, short sales are lumped in with foreclosures. According to Laura Arce, a senior policy analyst at the agency, the government is in discussions with the credit industry to institute “a special comment code” for servicers who report the new Fannie-Freddie short sales to the national credit bureaus that would treat participants more fairly on FICO scores.

•Promissory notes and other “contributions.” In the majority of states where lenders can pursue deficiencies, Fannie and Freddie expect borrowers who have assets to either make upfront cash contributions covering some of the loan balance owed or sign a promissory note. This would be in exchange for an official waiver of the debt for credit reporting purposes, potentially producing a more favorable credit score for the sellers.

•Second lien hurdles. The program sets a $6,000 limit on what second lien holders — banks that have extended equity lines of credit or second mortgages on underwater properties — can collect out of the new short sales. Some banks, however, don’t consider this a sufficient amount and may threaten to torpedo sales if they can’t somehow extract more.

By Kenneth R. Harney Distributed by Washington Post Writers Group.

I read this article at: http://articles.latimes.com/print/2012/nov/11/business/la-fi-harney-20121111

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-cityå

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

A Cinderella Story – Fredric and Heather

When it came time to sell their first home Fredric and Heather called the Realtor who helped them their first go around – Susan Caton. By then, Susan and I (Sabrina) had partnered up and became The Caton Team.  It was an exciting meeting, sitting around the dinning room table planing for the sale of their home and discussing the hopes, dreams and reality of their next home.
In the competitive Bay Area real estate market a buyer needs to be ready to make a fantastic offer the moment a home pops on the market.  If a buyer has to sell their current home – writing an offer contingent on the sale of a home is not as attractive to the seller as a non-contingent offer.  Therefore, we agreed that the best course of action was to sell their current home to be prepared to pounce when their next home came on the market.
This can be a scary moment – where will the family live if we don’t find the next home.  Nonetheless, the hunt for their next home began way before the for sale sign showed up in their front yard.
So Heather and Fredric did a fantastic job getting their home ready for sale.  Before our first open house The Caton Team had wind of interested parties.  Within a week their home was in contract.  Oh my!
So the serious house hunting hits.  We’re out day and night checking out everything on the market, new and old…and we start writing offers.  Good offers, solid offers.  But we keep getting out bid, sometimes by all cash, sometimes just larger down payments or out of the the ballpark offers.  Regardless, the sweat starts beading.  Now we’re talking short term rentals as the close of escrow on their current home slowly approaches….and we are very thankful for the 30-days of rent back we negotiated to give us a little more time.  That was extremely helpful, but not enough.  So, a short term rental was located.  More offers.  Out bid.
Suddenly there is buzz around a certain Silicon Valley IPO.  The weeks leading up caused a mini boom on the peninsula.  Offer dates, multiple offers, no contingencies, all cash – you name it – things were a bit nuts.  Then the dust settled, and as a boom of new listings flooded the market a week old listing was suddenly overlooked.  We wrote an offer.  Out of the blue, another offer comes in.  This house was awesome.  We couldn’t let it get away.  Proud to say our reputation preceded us and the Selling Agents knew we’d get the job done – when it came down the the nitty gritty, we helped our friends and clients prepare a terrific offer package and in the end their offer was accepted.
The phone call to your clients when you get to share the good news that they got the home of their dreams – well, it’s one of the best phone calls around.
Thank you Fredric and Heather for trusting The Caton Team with all your real estate needs.  Here’s to many happy years in your new home.
Got Questions? – The Caton Team is here to help.
Email Sabrina & Susan at:  Info@TheCatonTeam.com
Visit our Website at:   http://thecatonteam.com/
Please enjoy my personal journey through homeownership at:
Thanks for reading – Sabrina

5 Things Home Buyers Hate… oh this is a funny read especially if you are selling your home…

I had to laugh when I read this article.  Would love to hear what my readers think of this – please comment or share your stories at info@TheCatonTeam.com

5 Things Home Buyers Hate

1. Images that lie

Stretching photos to make rooms appear much larger than they actually are would be banned by listing services, if buyers had anything to do with it. And if your home is pristine and staged during the photo shoot (which it should be), it should still be pristine and staged when buyers come to see it in person.

Taking a photo of just one corner of a room that is shaped strangely or stuffed full of personal items is another way to confuse and irritate buyers, who hate nothing more than to feel like they were misled and tricked into wasting their time to see a place that is nothing like the photos.

* The Caton Team does not stretch our photos on our listings.  We do add extra photos from different angles so internet clients get the best idea of the home before they come and see it

2. Listings with no useful images at all

Listing photos of the piano or a piece of beautiful furniture that is not included in the sale is irritating to online house hunters, who might assume that the house had no other attractive features to furnish. Even worse: Home listings with no photos at all.

Nine times out of ten, when the listing has no photos buyers simply scroll or click right past those homes — even the ones that might perfectly meet their expectations.

Sellers, let’s be clear: Skilled listing agents who are getting homes sold in today’s market are putting 10, 20 even 30 photos of each listing online. That’s your competition. If a buyer only has time to see seven homes on a Sunday, and there are 20 listed in your area and price range, chances are good that those with the best, most numerous pictures will capture those valuable showing slots.

Often, listings with no photos are that way because of technical difficulties. Check on your home’s online listings on various real estate search sites and alert your agent if there’s a problem with the pictures.

* Our MLS allows 25 photos and I add them all.

3. Misleading marketing

Problems in the condition of the home that will be obvious when buyers enter, like a shifting foundation or clearly leaky roof, should be disclosed as such in the listing to minimize the inconvenience to you and those buyers who wouldn’t have bothered to visit if they knew. Disclosing such problems upfront will maximize your chances of finding the right buyer, who is willing to take them on.

Phrases like “immaculate” and “better than new” set you (and your home) up for failure when the buyer walks in and sees even normal wear and tear, or the smells and clutter of daily living.

* The Caton Team provides full up-front disclosures online so any interested party has all the information they need at their fingertips.

4. “Stalkerish” sellers

Sellers who are intrusive or follow buyers around during a showing were No. 1 on my own list, and on the lists of buyers. A seller might love the murals they’ve painted on your kids’ walls or the custom living room crafting area they’ve set up, and want to share their love with prospective buyers.

But the fact is that most buyers just aren’t interested, and would rather be able to discuss their plans to get rid of crazy customizations freely with their spouse and their agent than feel obliged to feign appreciation. (I’ve even had some buyers say they liked a house, but kept looking because they would have hated to pull out the sellers’ beloved personal touches.)

* The best way to sell your home is to not be there when buyers come through.  They are not buying YOUR home, they are buying THIER home.

5. Bizarro showings

Dogs, kids and sleeping residents all made recurrent appearances in the comments to my article. Nothing worse than showing a home and finding dog “leavings” on the interior carpets, and even once joined my out-of-shape clients on a foot chase to catch a wily little dog whose owner had left explicit instructions not to let “Fido” out (but left him roaming around the house, poised to dart out the front door the second I opened it). One reader related a showing in which she opened a hall closet door and out popped a dog that had been cooped up there for the occasion.

A short-sale buyer related the depressing tale of an 8-year-old boy who showed her the whole house, while another distressed property viewer told of the kid who ran after her and her husband, screaming, “You can’t have my house!” Multiple buyers told of walking into rooms where people were changing clothes, eating, frying up food or sleeping during the showing.  I’ve personally walked into a man coming out of the shower – and he was NO Brad Pitt – the scene still burns my retinas.

My heart does go out to the Short Sale Sellers – it is the hardest sale.   But I must be blunt – if you have your home on the market and truly want to get out from under your property – please treat your home as an equity seller would.  Present it in the best possible fashion and when an agent comes through to show this home – please leave.  They’re is nothing more uncomfortable than showing buyers a property and the buyer feeling bad for the sellers situation.  They can’t get excited and write an offer if they feel uncomfortable.

Showing bizarreness is tough for buyers to get past, even if the place is a palace.

I would love to hear your silly real estate stories – don’t be shy!  Email us at Info@TheCaton Team.com

Got Questions? – The Caton Team is here to help.  Email us at Info@TheCatonTeam.com or visit our website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

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Please enjoy my personal journey through homeownership at:  http://ajourneythroughhomeownership.wordpress.com/

This article is shared from Inman News – Tara-Nicholle Nelson is author of “The Savvy Woman’s Homebuying Handbook” and “Trillion Dollar Women: Use Your Power to Make Buying and Remodeling Decisions.” Tara is also the Consumer Ambassador and Educator for real estate listings search site Trulia.com.