October 13, 2009 by Carol VanAusdal
The median price in Santa Cruz County increased to $535,000 after a one month dip in August. Sales are still being driven by bank owned properties and short sales.
The average price was the highest it has been all year at $595,425 and unit sales are 13% higher than they were one year ago.
This increase seems to be driven by the fact that the lower end is finally drying up with one-third the inventory of a year ago and almost 20% of September sales were in the $500,000 price range.
Statistical Highlights for Single Family Homes:
* Inventory decreased 5.1% from Aug ‘09, and down 25.1% from Sep ‘08
* Unit sales decreased from Aug ‘09, but increased 6.5% over Sept ‘08
* Days on the market decreased to 86 from Aug, prior year 99
* Median price increased 7.5% from Aug ‘09 and increased 17.2% compared to Sept ‘08
* Sales price vs. listing price ratio increased over Aug ‘09 to 98.1%
* 5.9 mo’s of inventory available at the end of Sep ‘09 as compared to 8.5 in Sep ‘08
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(These statistics are believed to be accurate but not guaranteed)
Posted in Housing Market Updates, Santa Cruz Real Estate Stats | Tagged bank owned, home sales, median prices | Leave a Comment »
September 22, 2009 by Carol VanAusdal
Just listed close to La Selva Beach in Santa Cruz County. A wonderful contemporary home with attractive landscaping and a mature tree lined quiet street. Amenities include: Oak floors; Decorator lighting; Designer colors; Custom draperies; Granite countertops; Black Chrome Gas Range/Convection Oven and matching appliances; High ceilings and Skylights throughout; French doors in Master Bedroom off private deck; Double Jacuzzi tub w/large glass brick shower in Master Bath. 3 Bedroom, 2.5 Baths, 2100+ square feet, 2 Car Garage.
Come by the Open House on Sat/Sun, September 26/27, from 1-4pm or call Carol directly at 800-318-7052.
Posted in Just Listed | Tagged 3 bedroom home, Homes For Sale, just listed in santa cruz | Leave a Comment »
September 8, 2009 by Carol VanAusdal
Americans lose more than $1B to identify theft each year. There crooks thrive on paper trails that we all leave. So cover your trails!
Here are some tips on what you should keep and what you can destroy:
1- The IRS has 3 years to challenge information in your return and 6 years to conduct an audit based on unreported income. Keep tax returns and supporting records, like W-2’s and 1099’s for at least 7 years.
2- Most brokerages and mutual fund companies send annual statement summarizing the year’s transactions. Once you have these, you should destroy your monthly and or quarterly statements.
3- Keep bank statements that back up information on your tax returns for up to 7 years. Other bank statements can be destroyed after reviewing for errors.
4- Keep credit card statements for big purchases, like jewelry or large appliances. You might need them for warranties. Other monthly statements can be destroyed once you’ve reviewed them for errors or unauthorized purchases.
5- While many people say to save pay stubs, it’s a huge mistake. They contain everything an identity thief needs to open an account. Keep 3 months of history only if you are applying for a mortgage.
6- Destroy ATM receipts after your balance your bank statement.
7- If canceled checks have no significance for tax or other purposes, these should be destroyed after 1 year.
8- Keep retirement plan contributions records such as Roth IRA’s indefinitely. Without them, you may find yourself paying taxes again when the money is withdrawn. Some financial institutions keep records of IRA contributions, but it’s best not to count on it.
9- Insurance policies, wills and other legal documents should be kept indefinitely.
One of the best ways to destroy documents is with a shredder, but your can burn them, soak them in water for a while then mix into a mash, tear them into tiny pieces or use your imagination.
For the documents you are saving, you may want to consider a fireproof box or something similar to stash them in. You may also want to put them in a safety deposit box.
Posted in Home Buyers, Home Sellers | Tagged identity theft | Leave a Comment »
September 2, 2009 by Carol VanAusdal
As banks try to stabilize their portfolios, minimize losses and keep stockholders happy, they are planning to cut credit limits by $2 Trillion between now and 2010.
A reduction of credit limits may negatively impact credit scores for some. One of the components used to measure credit worthiness and your FICO score is your Debt to Credit Ratio. This ratio is determined by dividing the total amount of your debt by the amount of available credit. Ideally, you should try to keep this ratio at no more than 30-50%.
If one or more of your credit card companies were to drop your credit limit, it could have a major impact.
For example:
You have $2,000 of debt and $5,000 of available credit, your debt to credit ratio is 40%. ($2,000/$5,000 = 40%)
If the limit is cut in half to $2,500, your debt to credit ratio would jump to 80% ($2,000/$5,000 = 80%).
This change could make you a higher debt risk causing a possible drop in your FICO score. A lower FICO score means you pay higher interest rate for any type of credit including a home loan, car loan or new credit cards. If you or the credit card company cancels an account, you could see a similar impact.
More information on FICO scores:
MSN Money-Your 5 minute Guide to Credit Scores
Bank Rate-Fico Score Estiamtor
Real Estate in Santa Cruz County-Free reports on Improving Your FICO
This Blog-How is Your Credit Report Determined?
Posted in Uncategorized | Leave a Comment »
August 31, 2009 by Carol VanAusdal
Credit Scores Decoded:
In a market restricted by tightened lending standards, a solid credit score has played a much larger role in mortgage qualification and interest rates than in recent years past. Many people don’t fully understand how the credit reporting companies determine their FICO score and thus can damage it unintentionally.
A FICO score is comprised of 5 components, each with a different weight toward the final score. The weighting will vary by individual.
- Payment History
- Amounts Owed
- Length of Credit History
- New Credit
- Types of Credit
Important information to be aware of about credit scores and mortgage qualification:
- Don’t be afraid to shop around for the best rate. Multiple inquiries about the same type of loan only count as one request if done within a short amount of time.
- During the process of qualifying for and obtaining a mortgage, play it safe and wait until after your contract has closed and the mortgage is secured to open new credit.
- Checking your own credit score will not harm your score if you order reports directly through the credit-reporting companies.
- If you don’t have a long history of credit, don’t open too many cards too quickly. This can lower the average “account age.”
- Don’t open or close credit as a short-term strategy for improving credit. Open what you need, when you need it. Pay your bills on time.
For more information on improving your score, check out our website (www.RealEstateInSantaCruzCounty.com) We have over 10 reports that will provide you with more information and you can also visit the my fico.com website.
If you are interested in purchasing a home or want a referral to a lender, we are more than happy to help. Contact us.
Posted in Home Buyers, Mortgage News | Tagged buyers, credit history, credit rating, credit reporting company, credit score, debt ratio, Fico score, first time home buyers, interest rates, mortgage, mortgage qualification | 2 Comments »
August 27, 2009 by Carol VanAusdal
Contact us for a list of Bank Owned properties in Santa Cruz County
Many buyers interested in purchasing bank owned properties or other great deals often discover these homes need some work. Many homes on the market in Santa Cruz County fall into this category.
I was recently involved in a real estate transaction that fell through on an older home. The home inspection revealed typical findings for a 60-year old house. Since the sale was “as is”, the buyer chose to cancel. Even if the buyer had chosen to move forward, the home would still have to appraise at the purchase price or above to qualify for a loan.
What is a buyer to do? …A little known Federal Housing Administration loan program called a FHA 203(k) can help buyers who want to purchase a “fixer up” type property. The 203(k) lets an owner-occupant borrow money for both the purchase and renovation in one loan, and put down only 3.5 percent.
The program requires the use of credentialed contractors and can include cosmetic improvements as well as major renovations like replacing plumbing or electrical. The loan amount is based on what the property would appraise for once the improvements are complete.
The loan process is a little more complex than a typical FHA loan, but in this lending environment, more home buyers are finding 203(k)s worth the hassle. This loan is gaining in popularity. The government insured about 6,700 of these loans in fiscal 2008. This year, more than 11,000 loans have already been completed.
If you want to know more about this program or find a qualified lender that offers this program, please feel free to contact me.
Posted in Foreclosure Info, Home Buyers, Housing Market Updates, Mortgage News, Santa Cruz CA Real Estate, Santa Cruz Real Estate Stats | Tagged affordability, bank owned properties, borrower, construction, FHA 203k, FHA Loans, first time home buyers, Fixer loan, foreclosure, freddie mac, Home Buyers, home prices, homes, housing, market, mortgage, prices, properties, purchase, real estate, santa cruz, statistics | 3 Comments »
