Professional Investors Move Into Flipping Foreclosed Properties

An August article in the LA Times noted a surge in “flipping foreclosed homes” by wealthy individuals and equity funds. Flipping is a buy- low, fix- up, sell-high strategy that has worked for entrepreneurial types, who often move from house to house along the way. Today’s “flippers” are taking advantage of deeply discounted prices at public auctions to buy extremely low, make wholesale improvements and turn a quick profit. To read the complete article, click here: Professional investors move into flipping foreclosed homes - latimes.com



The article definitely caught our attention since we are seeing the very same thing with our Probate and Trust listings. This is especially so with our probate sales in South Los Angeles County. For example, a property we sold recently on 29th Street, near USC generated huge interest from investors. We had at least five over- bidders in court and the property went for nearly twice what we listed it for! The investment group that purchased it will turn it into student housing.



The heirs and professional fiduciaries we work with put a lot of trust in our ability to sell these properties quickly and at the best possible price. This is validation of The Sanborn Team’s commitment to negotiating deals, anticipating roadblocks and getting top dollar for the estate’s number one asset.



For more information about the Sanborn Team and the probate properties we have available, please visit our website at: http://www.sanbornteam.com/

Orange County Business Journal Report

Home Prices Increase $5,000 in July, Sales Fall
Tuesday, August 17, 2010

Orange County’s median home price inched up $5,000 in July from a month ago, but sales levels fell by nearly 26%, loosing the boost of federal home buyer tax credits.
The median price for an OC home was $450,000 in July, about a 1% gain from a month ago, according to San Diego-based MDA DataQuick, a unit of Canada’s MacDonald Dettwiler and Associates.
The median price here now is $30,000 or 7.1% higher than a year earlier, but still is about 30% below OC’s highest median price, set in the summer of 2007.
Sales in OC totaled 2,527 in July. That’s a 26% decline from a month ago and a 19% drop from a year ago.
June’s sales volumes were boosted by buyers facing a June 30 deadline to take advantage of an $8,000 federal tax credit, which has since been extended to this fall.
For all of Southern California, the median price for a home was $295,000 in July, down $5,000 from June’s prices but up 10% from a year ago.
Southland sales totaled 18,946 in July. That’s down nearly 21% from June’s totals, and also about a 21% decrease from a year ago.
It was the steepest year-over-year decline for Southland sales since March 2008, according to MDA DataQuick’s figures.
Foreclosure resales accounted for a 34% of the Southland’s resale market last month. That’s down from a high rate of 56.7%, set in early 2009, according to MDA DataQuick’s figures.

There has never been a better time to buy a home! We at the Sanborn Team understand the Real Estate market very well, specifically Probate and Trust sales. For more information about us and to view our properties, please visit our website at: http://www.sanbornteam.com/

Elder Law Committee of the Trusts and Estates Section Meeting

The Care and Feeding of Engagement Letters - Conflict Waivers, Fee Agreements and Exit Strategies

Speaker
Margaret G. Lodise, Sacks, Glazier, Franklin & Lodise, LLP

Date

Tuesday, August 17, 2010

Time

11:45 a.m.- 12:30 p.m. 12:30 - 1:30 p.m.

Place

LAWRY'S 100 N. La Cienega Blvd., Beverly Hills (1/2 block North of Wilshire Blvd.) Free underground parking.

As the official sponsors of the Beverly Hills Bar Association, Elder Law Section, we are here to assist you with all your real estate needs. We are probate and trust real estate specialists selling and marketing real estate throughout Southern California.
To learn more about our probate real estate services, please visit http://www.sanbornteam.com/

Southland home sales edge up, prices level off

	Sales Volume Median Price All homes Jun-09 Jun-10 %Chng Jun-09 Jun-10 %Chng Los Angeles 7,636 7,849 2.8% $320,000 $335,000 4.7% Orange 2,958 3,423 15.7% $418,000 $445,000 6.5% Riverside 4,694 4,645 -1.0% $185,000 $210,000 13.50% San Bernardino 3,438 3,179 -7.5% $140,000 $160,000 14.30% San Diego 3,692 3,885 5.2% $314,250 $335,500 6.8% Ventura 844 890 5.5% $365,000 $384,000 5.2% SoCal 23,262 23,871 2.6% $265,000 $300,000 13.20%
	Per DQ news.com, “The market was wildly out of kilter a year ago, now it’s just somewhat out of kilter. We’re still seeing lots of bargain hunting, and we’re not seeing much discretionary buying. The single-biggest issue is still mortgage financing. Rates may be at record lows, but that doesn’t mean much if the lender won’t qualify you." The Sanborn Team is here to help you with all of your real estate needs! For more information about us and to view our probate listings, please visit our website at: www.sanbornteam.com

Aug. 15: Last day to apply for state first-time buyer tax credit

The Franchise Tax Board (FTB) recently announced it will accept applications for the California first-time home buyer tax credit through midnight on Sunday, Aug. 15, 2010. The FTB believes it will have received more than enough applications to cover the $100 million allocated for eligible first-time home buyers. It will continue to accept applications for the new-home portion of the state tax credit.
Due to the high volume of faxes the FTB is receiving, consumers may experience some delays and difficulties in connecting to the fax number during normal business hours. It can take several minutes or possibly up to an hour to connect and transmit the fax. Buyers who receive a busy signal are advised to try again later. The fax number is open 24 hours a day, so consumers may fax applications during non-business hours when the line is not as busy.
For more information about the California state tax credits for first-time buyers and buyers of new homes, including eligibility requirements, please visit http://www.ftb.ca.gov/individuals/new_home_credit.shtml.
_home_credit.shtml.

We at the Sanborn Team are here to help you with all of your real estate needs. Our website at: www.sanbornteam.com offers great information about probate and trust sales and how they work. We have over 30 years of experience working with heirs, conservatorships, professional fiduciaries as well as administrators of an estate. We look forward to hearing from you!

June Home Sales Report

Following is a excerpt from an LA Times article that reports home sales numbers for June of this year compared to last year.

Per the LA Times........

Existing, single-family home sales decreased 4.2 percent in June compared with June 2009.

The statewide median price of an existing single-family home increased 13.6 percent in June to $311,950 compared with June 2009.

“Buyers who scrambled to close escrow in May to take advantage of federal and state tax credits before they expired impacted the number of homes sold last month,” said C.A.R. President Steve Goddard. “Although we expect sales to be lower in the second half of the year because of the absence of the government stimulus, they should remain above the long-run average and be significantly higher than the trough in 2007, when sales bottomed out.

“Although the tax credits are no longer available, it’s important to keep in mind that home prices are substantially below their peaks and interest rates remain at historic lows, making this a very affordable time for many first-time buyers to purchase a home of their own,” he said.

Closed escrow sales of existing, single-family detached homes in California totaled 492,800 in June 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 decreased 4.2 percent from the revised 514,230 sales pace recorded in June 2009. Sales in June 2010 decreased 11.1 percent compared with the previous month.

It's clear that both home prices and interest rates will remain low for some time. We at the Sanborn Team have over 30 years of experience with Probate and Trust Sales of Real Property. Time and again we've been able to get top dollar for the estates we work with. For more information about us, please visit our website at: www.sanbornteam.com