Short-Sale Process Expected to Speed Up in June

Short-Sale Process Expected to Speed Up in June
We've rolled up our shirtsleeves and have helped many clients get some good deals on short sales.  What great news that the process is getting streamlined!

Stay cool this summer...

Don't forget to perform annual maintenance on your air conditioning units now, before the real heat hits and A/C contractors become busy!

There are a few things that most homeowners can do themselves to help maintain their air conditioner:

• Ensure the filter is clean or replaced regularly. Disposable filters are inexpensive and should be replaced once per month during high use periods.
• Trim back plants so there is at least one foot of clearance from the A/C unit – this allows proper air flow, reducing motor strain.
• Sand and other debris can get sucked into the condenser coils. To clean the coils, first disconnect the power to the A/C and then use a garden hose to spray the coils clean.

The best advice is to have an annual maintenance service performed by a professional air conditioning technician. It is recommended that the following items are included in the maintenance service:

• Condenser – check pressure, oil motor bearings, and current electrical draw; tighten all hardware and visually inspect wiring and condenser coils.
• Air Handler/Evaporator – Visually inspect wiring and oil motor bearings; clean or replace filter, tighten all hardware, inspect condensation drain, pan, pump, and auxiliary pan; clean drain system, and check that evaporator coils are clean and free of damage.

With proper maintenance, the air conditioner should run smoothly for years. However, should the unit break down due to normal wear and use, don't forget to consult your home warranty company.  Many will repair or replace the covered parts and components – saving your hard-earned money and keeping your home cool during the heat of summer!

Are Low-Ball Offers A Good Idea?

A low-ball offer typically involves a contract submitted to a seller where the price proposed by the purchaser is 25% or more below list. Low-ball offers increase sharply when there's a glut of properties available, asking prices are out of sync with local economic realities and values are depressed or uncertain. Buyers figure: Hey, why not? Maybe I'll get lucky.

Here in the desert our housing inventory (especially the desirable snowbird properties) has shrunk from above the usual 6 months of inventory down to 2 months! We're seeing multiple offers again.

Not all properties are over-priced. Which is the better deal?

Example A: Property A is worth $200,000. but is priced at $240,000 and reduced to $205,000. Wow, that's a $35,000. price drop!

Example B: Property B is worth $200,000. but is priced at $190,000.

Believe it or not, some people choose Property A because it's only a deal to them if they can get a property under the list price.

The message here is to consult your Realtor.   Ask them to check the comparables (comps) to see whether the list price for a property seems above, below or at market level. The square foot price is not always a reliable basis for comparison. There are many factors that can affect the true market value such as location (sun exposure here in the desert), condition of the property and enhancements (swimming pool, crown moulding, etc.).

Do you keep losing out on properties you're bidding on? One good way is to make sure your offer is realistic for the current market. 

 

 

 

 

The take-away here: Rolling low-balls at sellers may have been an effective approach between 2008 and early 2011. But in 2012's environment — at least in rebounding markets — it could be counterproductive if you truly want to buy. 

Source:
 http://www.latimes.com/business/realestate/la-fi-harney-20120422,0,7259627.story
See More

Low-ball offers decline in some housing markets

www.latimes.com

WASHINGTON — It's not something that economists routinely track, but it provides a rough sense of what's happening in local real estate markets. Call it the low-ball index.