Foreclosure Filings* have dropped over since February as shown by the Notice of Sale indicator down 32% from the previous year.
Foreclosure Outcomes* show cancellations are way up over the previous year possibly fueled by successful short sales. My own experience tells me that modifications made up a very small percentage of these cancellations. REO indicator also shows that properties are not going back to bank compared to the previous year again fueling my thought that properties are having success in short sale and modification attempts.
2011 Foreclosure Inventories* have stayed steady with a steady drop in scheduled sale dates possibly fueled by modifications or short sales.
Foreclosure Timeframes*
The interesting fact about this chart is how many months it’s taking for a bank to foreclose compared to the previous year there are clear signs that banks are moving though the foreclosure process much faster 5.97% compared to 21.66% from the previous year.
*Foreclosureradar.com
Michael and his son stand in front of their new home
I met Michael years ago and would say hello to him from time to time. Little did I know that Michael would inspire me in the way that he did when I handed him the keys to his new home.
You see about a year ago Michael had a stroke and it changed his life. Michael is a hard working single parent of two great kids. His Daughter just started college at SFU and his son lives with Michael.
The best part of this story is that Michael triumphed over his predicament and ultimately made changes in his life to prevent a reoccurrence of a stroke. One of the decisions that Michael made was to become a homeowner early this year and as a result contacted me. Michael was looking for a home under$250,000; a challenging task especially because this has been the hottest price range in 2009 and the competition is fierce.
After months of looking and making offers we were successful in finding a cool little 2 bed 1 bath remodeled home in Gilroy. The story doesn’t end there; we now had to navigate though the short sale gauntlet once we were successful in getting into contract.
Among some of the challenges we faced were appraisal issues and loan approval hurdles to overcome with the seller’s Short Sale investor. The entire process took three months to close escrow.
Michael’s faith and patience played a large role in helping him realize his homeownership dream. Thank you Michael for showing me that prayer, perseverance, and patience are the keys to life.
I’m so happy for you and your family. You are a wonderful role model and a hard working father. This will be a very happy Christmas for you.
Note: Michael is eligible for the Federal tax credit and I signed him up for the complementary California Association of REALTORS housing affordability fund. The C.A.R. fund is available through the end of the year and pays his mortgage up to $1,500 for six months should Michael lose his job or as a result of an injury. The only requirement is that Michael purchases his home with the assistance of a REALTOR.
Real Estate Relationships are Key in a Hot Market
Buyers experiencing a HOT market in our area continue to deal with one frustration after another as they wage a bidding war on the low inventory we are currently experiencing.
Within all of this chaos I have developed a relationship building approach both as a listing agent and with other listing agents. I have to know that the other REALTOR is willing to work as hard as I am prior to reviewing or submitting an offer.
For example; say you want to make an offer and there are multiple offers involved. The strategy I tend to take is to make sure I package the offer in such a way that the listing agent can see that I understand the way a Bank Asset manager or a Short Sale Negotiator prefers to see an offer.
The key is to understand the inner workings of the submission process to a Bank and as such covey to the decision maker that I am well versed in this process. Its not surprising to have a listing agent pass on a offer because of the way it was presented.
I have had more success by focusing on how I have package an offer and communicated with the other agent.
San Jose's Premere Jazz Festival this weekend
Its been a yearly tradition and the Jazz Festival arrives this weekend. For those of you who have not attended its well worth the trip out to one of San Jose’s Iconic events. I have personally experienced the joy of the many stages of this grand festival my favorite being the Latin Jazz stage. Among the most popular stages you will find are the main stage in Cesar Chavez Park and the HOT HOT HOT Salsa stage. The festival begins tomorrow Friday August 7th -9th. Weekend passes are available. Hope to see you out there.
San Jose Jazz Fest Website: Click Here
- NAR May 2009 Existing Homes Sales Data
NAR report credits interest rates, $8,000 tax credit, affordability, and distressed properties for the increased sales but the fuel for this fire is coming more from the lack of affordable homes causing a flurry of multiple offer activity on the sparse inventory in our area.
Read NAR report: REPORT
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