January 17th, 2012 | 
Author: by Suzanne Stevens, Web Editor – Portland Business Journal
The foreclosure market in Oregon and nationwide improved in 2011, though foreclosures could tick higher this year.
The number of homeowners in Oregon who dealt with some form of foreclosure filing in 2011 dropped 39.14 percent from the previous year and 34.08 percent from 2009.
According to a year-end market report from Irvine, Calif.-based real estate data firm RealtyTrac there were 22,492 foreclosure filings in Oregon last year, or one for every 73 households. That ranked Oregon No. 14 nationwide in terms of the percent of homes in foreclosure.
The average price of a foreclosed home in Oregon is $171,044. According to the most recent data from the Regional Multiple Listing Service, the median price of Portland home not in foreclosure was $225,000 in November.
Multnomah County had the state’s highest level of foreclosure activity in 2011, with 3,335 foreclosed homes.
Nationally, there were 1.89 million homes in some stage of foreclosure last year, down 34.27 percent from 2010 and 33.17 percent from 2009.
While foreclosure activity in 2011 was at its lowest level since 2007, there could be jump in the numbers this year as lenders continue to work through a backlog of distressed mortgages.
“The lack of clarity regarding many of the documentation and legal issues plaguing the foreclosure industry means that we are continuing to see a highly dysfunctional foreclosure process that is inefficiently dealing with delinquent mortgages,” said RealtyTrac CEO Brandon Moore in a statement. “There were strong signs in the second half of 2011 that lenders are finally beginning to push through some of the delayed foreclosures in select local markets. We expect that trend to continue this year, boosting foreclosure activity for 2012 higher than it was in 2011, though still below the peak of 2010.”
by Matthew Kish, Portland Business Journal
Portland home prices in October were down 4.7 percent since the same time last year, according to Standard & Poor’s Case-Shiller Home Price data released Tuesday. Portland home prices were also 0.5 percent lower than in September.
Case-Shiller tracks monthly home prices in 20 markets.
Annual home prices improved in 14 of the markets, including Portland. Last month’s data showed Portland home prices were down 5.7 percent in the past year.
Nationally, annual home prices were down 3 percent and 3.4 percent, respectively, for the 10- and 20-city composite indexes. For the month, the 10- and 20-city composite indexes were down 1.1 percent and 1.2 percent, respectively.
The index is based on a base value of 100 in January 2000.
Portland has an index value of 135.44. That means a typical Portland home has appreciated in value 35.4 percent since January 2000.
From the Cedar Mill News
Between shipping holiday packages, planning the family trip and baking cookies, the holidays can be anything but happy. Fortunately, The UPS Store ® hopes to help keep your holidays happy and hassle-free.
For customers who prefer to do it themselves, Tim Kimble, The UPS Store owner, offers the following tips:
- Begin with the proper materials: a new cardboard box designed for shipping, professional-grade packaging tape and packaging material like foam packaging peanuts or bubble cushioning (at least two inches all around).
- Include a label on the inside of the package with the destination and return addresses.
- Use a shipping option that provides a package tracking number.
- Take batteries out of toys, electronics, etc., before shipping and wrap them separately to avoid contact with metal.
- Seal home-made holiday treats in an interior airtight container or plastic bag before packing them and use an expedited air service.
- Ship wrapped gifts and luggage ahead to your destination, especially if traveling by air.
With only 20 shipping days between Thanksgiving and Christmas, good timing is critical. Mondays are typically the busiest shipping days and Dec. 12-16 is expected to be the busiest week of the year, but Tim expects to see the holiday rush as late as Dec. 22 for delivery on Dec. 23.
The UPS Store is located at 10940 SW Barnes Rd., Peterkort Towne Square.
If you are looking to take advantage of today’s exciting real estate market and making your move next March or April, then now is the time to contact your broker.
Home preparation is the key to a quick sale at top dollar and the job to get one’s home ready takes a lot longer than most sellers realize. Clean up, bids, color sections, scheduling, the process of getting your home prepared for professional photographing and video filming is extensive and can easily take two to three months. While we see some homeowners rally in a few weeks, most believe they can have it done quickly, only to hit the market a month or two after their initial goal. This is where a good broker who is well connected and has design savvy can save you time and get you lined up to be one of the first fresh listings to hit the market this spring.
From Cedar Mill News
If you’d rather not fight the crowds at the malls or big-box stores this weekend, stop by Leedy Grange Hall, 835 NW Saltzman (the building with the mural!) for a great selection of gift items from local artists, crafters and entrepeneurs. We open up on Friday 3-8 pm — and there will be some special opening-night treats! “Just Us Flute & Guitar” duo will entertain from 4:30-6:30 with a selection of Celtic and Classical music, plus some favorite holiday tunes, too! And Mireille Nett, of Couleurs de Provence, is bringing her delicious French cookies called Madeleines – sample vanilla and lavender-flavored delicacies along with hot cider, coffee & tea, all free. The Bazaar continues on Saturday: 9-4; and Sunday: 11-4. Credit cards are fine.
Visit http://leedygrange.org/bazaar for more information.
By Lee Davies
As America comes upon hard times, many home owners have unfortunately had to sell and move into a rental home as they look to regroup and rebuild their nest egg. The result is that good single family home rental properties are tough to find, rents are going up, supplies are decreasing, and there appears to be a great opportunity for investors to step into the real estate market.
When one combines the sub 5% “non-owner occupied” lending rates, along with the home bargains presently in the marketplace, this is a fabulous time for investors. Prices are down 30-50% over the peak market in 2007 and are likely to stabilize. Renters are in desperate need of a good home to hold them over with little supply. And finally a fixed 30 year loan can provide a long term wealth building platform.
While it sounds too good to be true, one may wonder why everyone is not jumping into this venue. The answer is simple. An investor needs a minimum of 20%, and ideally 30-40% down, along with a stellar credit score north of 700, in order to easily obtain financing. Due to the financial crisis of the past four years, most folks have lost their liquidity and are not in the position to purchase investment real estate. It is for this reason that there lies a great opportunity; the demand is down due to the lack of buyers with liquidity and for those who can acquire, the time is right.
Because everyone needs a little fun heading into the weekend!
China’s Architectural Curiosities…
Check out more – http://www.inman.com/news/2011/11/3/chinas-architectural-curiosities
Hope you have a great weekend!
The Portland Business Journal published their annual rankings of residential real estate companies based on gross sales, but by taking a closer look and dividing gross sales by the number of brokers at each company, it becomes crystal clear as to which company has the most productive sales staff.
As you can see in the chart above, our brokers ranked number one and it is not an accident. Unlike other residential real estate firms, we are unique. At Lee Davies Real Estate our brokers do not act autonomously; we conduct business as a company with proven systems and protocols. Each of our client teams is led by one of our Senior Brokers, along with one of our highly trained Corporate Team Brokers who ensures that our company standards are executed consistently for every client. Additionally, we have a “backup” broker assigned to every client in the event that the Lead Broker is not available. The net result is that every client at Lee Davies Real Estate receives the services of three licensed brokers and the complete services of our corporate marketing engine.
The results are clear, while other companies continue to allow their brokers to run their independent businesses, our brokers are collectively ensuring that our clients receive exceptional representation along with around the clock service.
By Lee Davies
Yes, there are fabulous opportunities in the market today and many buyers have landed some incredible homes by buying a distressed property through the short sale process. A “Short Sale” occurs when the mortgage owed to the bank is larger than the actual value of the home. In these events, sellers are telling the bank that the only way they can get out from underneath the burden of the home is by selling it for less than the existing mortgage. Thus they would like the bank to “forgive” that shortfall in order to make the sale happen.
Several items typically need to happen for a short sale to occur. First, the homeowner, most likely, is or will need to be in default on their mortgage payments for the bank to treat the property as a distressed situation. Once an owner is in default, they are likely eliminating their possibility of getting a new mortgage on a future home for many years to come. At this time, the bank will typically want verification of the owner’s income and assets to determine if they are truly financially distressed. Once confirmed, the bank will entertain the possibility of accommodating a short sale.
Now while all this is going on, most homeowners have already listed the property for sale as a short sale. Buyers will usually race to the property which may receive several offers. All of the offers will be “contingent” upon the bank approving the sale. This essentially means that the seller may accept all of the offers, in hopes the bank will accept one. It is at this time that everything seems to come to a standing halt and nothing seems to happen for, in many cases, 3-9 months.
There are five things that typically slow the process down at this time.
- The bank is getting an appraisal and trying to determine what the real shortfall should be.
- The bank is determining if the homeowner, Realtor, and buyer are all legitimate.
- The bank is hoping there will be a better offer as the bank is often “open” for more offers.
- The work load is overwhelming and processing file after file is a “loss” for the bank.
- The work on the 2nd Mortgage cannot begin until the 1st Mortgage is settled. At that time the process starts again with the new lender.
Once an offer is accepted by the bank, then the sale enters the typical transaction cycle where the home is contingent upon a home inspection, appraisal, and financing. So the process is still far from over. In many cases, the seller and/or their Realtor prefer to submit only one offer to the bank for approval. It is for this reason that it is critical that the seller select a buyer who is not only excited about the great financial opportunity of the purchase, but is also truly passionate about owning the home. The chances are then much better that the buyer will stick with the short sale process and ultimately close the deal.
Due to the time involved and the lack of communication, many buyers tire and choose to terminate and move on to another property. This is why many homes today are selling as the buyers get excited about a “great deal” with a short sale, only to get burnt out and eventually just buy a nice home to move forward at today’s historically low rates.
