Great question. The truth is that, lately, the number of sales is quite a bit higher than the number of listings. Our inventory is shrinking and this is not a condition that leads to a lot of obvious deals.

So, where is the opportunity?

I think it is time to think about moving up to the next house! The conditions to move have never been better:

1. We have the first EVER tax credit for move up buyers ($6500)
2. Presumably your current home is in the lower price range, where there is high demand and multiple offers
3. The “gap” between your current home’s value and your new homes purchase price has never been so small.

Truthfully, most of you Chitlins only fantasize about moving up.  You’ll go only if “the right house comes along”.  I am not talking to you.  I am talking to the people who really need to move, but have put it off because the market is “bad”.

The market is great, but you need to be smart and you need to plan ahead.  You can’t buy your dream home contingent on your current home selling.  If that is a condition for moving, you are not going to move.  Here are the questions you should ask:

1. Why do I want to move?
2. If I find my dream home, what am I willing to do?
3. Is there any way I can buy without the sale of my home?
4. Do I have an equity line, 401k, savings or short term loan from relatives?
5. What do I want more- the ability to buy my dream home or the comfort/convenience of staying where I am?

If you would like to be in a position to strike while the iron is hot, call me for a consultation today.

**Tip** I e-mail a list of the best deals of the week every Friday. Click on the “E-Mail Updates” link on the right to get this letter!

Here’s a move up idea! Search Foreclosured Homes in La Canada!

Out in the Twitterverse, however, I came across an interesting article that posits the idea (documented, according to the author) that this is just a myth.  There is no “shadow inventory of foreclosed homes”.

The article was posted on ForeclosureTruth.com and it tells us that far from having a lot of homes to buy…

As a result, the pendulum has swung to the other side. Instead of a glut of properties hitting the market, as so many have warned, we currently don't have enough inventory for those who want to buy homes, and homeowners are still in trouble because the so-called solutions (foreclosure moratoriums, loan modification, refinancing) don't fix the real problem, which is negative equity.

The article is certainly interesting in an of itself.  However, I found the comments even more enlightening.  A fascinating tidbit was in the last comment where the author responds to a critic:

One thing that she may not understand is that it does take some time from the date the property is foreclosed on, until it is listed. Evictions are getting lengthier right now, especially with recent legislation that protects renters from eviction for the remainder of their lease. It also takes a little time to clean trash out, and list the property as well. Properties in this process aren't being 'withheld' by banks in the 'shadows'. As we point out it takes banks on average 7 months to resell these properties, and they have less than 5 months of inventory on hand. There is no excess, hidden, inventory of bank owned homes in CA, whatsoever.

Not only is this true, it is not possible to buy the home while it is being “processed”.  A lot of buyer demand can build up while we wait for these homes to wend their tortuous way through the bank’s gauntlet.

What does this mean?  The same thing I always say.  If it is the right time to buy, buy.  If the right house is in front of you for a price you can afford, buy. If you need to sell, sell.  It is not likely to get worse, but, darn it, we aren’t on the cusp of a renaissance either.

Here are the foreclosures available for sale in Glendale- is one of them right for you?

Out in the Twitterverse, however, I came across an interesting article that posits the idea (documented, according to the author) that this is just a myth.  There is no “shadow inventory of foreclosed homes”.

The article was posted on ForeclosureTruth.com and it tells us that far from having a lot of homes to buy…

As a result, the pendulum has swung to the other side. Instead of a glut of properties hitting the market, as so many have warned, we currently don't have enough inventory for those who want to buy homes, and homeowners are still in trouble because the so-called solutions (foreclosure moratoriums, loan modification, refinancing) don't fix the real problem, which is negative equity.

The article is certainly interesting in an of itself.  However, I found the comments even more enlightening.  A fascinating tidbit was in the last comment where the author responds to a critic:

One thing that she may not understand is that it does take some time from the date the property is foreclosed on, until it is listed. Evictions are getting lengthier right now, especially with recent legislation that protects renters from eviction for the remainder of their lease. It also takes a little time to clean trash out, and list the property as well. Properties in this process aren't being 'withheld' by banks in the 'shadows'. As we point out it takes banks on average 7 months to resell these properties, and they have less than 5 months of inventory on hand. There is no excess, hidden, inventory of bank owned homes in CA, whatsoever.

Not only is this true, it is not possible to buy the home while it is being “processed”.  A lot of buyer demand can build up while we wait for these homes to wend their tortuous way through the bank’s gauntlet.

What does this mean?  The same thing I always say.  If it is the right time to buy, buy.  If the right house is in front of you for a price you can afford, buy. If you need to sell, sell.  It is not likely to get worse, but, darn it, we aren’t on the cusp of a renaissance either.

Here are the foreclosures available for sale in Glendale- is one of them right for you?

Bill and Elizabeth, who are these terminally cool residents of Northwest Glendale, love the way I work.  (Thank you guys, I love you too!).  Bill’s best friend grew up in the Palisades and needed to sell the family estate.  Bill told his friend about me, I pulled in a phenomenal local expert and, badda boom badda bing, I have a total Deal Alert in the Palisades.  In case you were wondering.

So, why is this special?  This 1936 LOL house is located in a fancy (to my eyes) neighborhood of 2-5 million dollar mansions.  The wide, 14,000 sf lot backs to Will Roger’s State Park and would have ocean views to the front if it had a second story.  In an area where people are stacked up upon each other like pieces of wood in a wood pile, this house affords precious privacy and elbow room.  We, here in Glendale, would consider this home in reasonable condition.  Over there, this home is probably a tear down (**sigh**).  We are Event Pricing this home at $999,000- WOW!!

Details, like size, address and open house dates (this Sunday, Novemeber 15 is the first one!)  can be found at www.BeachHomeFixer.com.  Take a look at this video for a sense of what we have.

The main story continues to be the dropping number of homes for sale and the rising number of homes being sold.  In fact, we had a high of 10.4 months of inventory on the market in February of this year- we are now at 2.3 months of inventory.  We have had a steady rise in the number of homes sold each month for most of this year.

Prices, however, seem quite stable. The average price rose 1.2% over the last 6 months. You see the “dip” that we are in right now? That reflects sales, or lack thereof, in August. If there was ever a dead month in Real Estate it’s August- not December.