Doing a foreclosure in San Mateo is going to slam your credit to the mat.
Short Sale If At All Possible
The difference in credit score damage is huge. Wachovia reports you’ll be hit by a 300-350 point hit to your credit for a foreclosure versus 60-80 points for a short sale.
Importance of Credit
You’re at your wits end and want to walk away from the anchor of a house. You’ve tried everything to salvage the situation but it’s hopeless. Get help.
When you try to rent after dumping that ball and chain guess what they’re going to do. Pull your credit. With a 300 point drop good luck renting.
San Mateo County Lenders Are Desperate
They do not want to foreclose and they’re putting their money where their mouth is. Some lenders are making a sweep through San Mateo County and others throughout the state to tell Realtors how to help you avoid foreclosure.
Why don’t they want to foreclose? It’s too expensive. They save $38,000 per house by not foreclosing. You? You get to salvage some of your credit. Get help.
A San Mateo Short Sale house doesn’t refer to how long it takes for the house to sell. The name is misleading. Any unfortunate buyer or seller involved in one can tell you that.
Short Sale refers to the fact that the bank is going to be short money. The house is going to sell for less than the bank is owed.
Why Do Short Sales Take So Long?
It’s pretty typical to see a short sale house on the market for a long time – and I mean a long time. Some Daly City houses have been on the market for over a year.
But why do Short Sales take so long? Well, it’s a long story – just kidding. They take a long time because there are a lot of people involved – a lot more than a regular home sale. There are processes and procedures that have to be followed. And they’re not simple.
Just like any home sale there’s a seller. This seller happens to be the investor who gave the loan. And like any seller would be they’re not happy about the situation.
Want A Deal On A San Mateo Short Sale?
So does everybody else. Inventory has dropped steadily and multiple offers abound. Still want to buy or sell a short sale? Make sure you hire an agent who knows what they’re doing and be sure to get a bottle of Pepto Bismol.
Vicki Moore, Realtor
Certified Short Sale Expert
Alain Pinel Realtors, specializing in San Mateo, CA Real Estate.
Buying? Selling? Need real estate help?
Contact me at 650.888.9268 or Vicki[@]CallVicki.com.
The absorption rate is a quick way to see if San Mateo houses are climbing in inventory or declining. It’s just one piece used to evaluate pricing.
What you’re looking at is how many months’ inventory there is on the market. The assumption is that it will take X number of months for all of the houses currently on the market to sell. More inventory = longer to sell.
You can also see if San Mateo houses are in a buyer or a sellers’ market. The National Association of Realtors defines a balanced market as one is which there is 6 months of inventory. More than 6 months, it’s a buyers’ market; less is a sellers’ market.
Little inventory means more competition for buyers out there trying to find a home.
Belmont
1
Burlingame
2
Daly City
*
Foster City
2
Half Moon Bay
7
Millbrae
2
Pacifica
1
Redwood City
1
Redwood Shores
*
San Bruno
*
San Carlos
1
San Mateo
*
South San Francisco
*
Real Estate Is Local
Remember, real estate is local. It’s important to dig deeper, neighborhood by neighborhood. But this gives us a good snapshot that inventory is down in these areas making it – without any doubt – a seller’s market.
Vicki Moore, Realtor
Alain Pinel Realtors, specializing in San Mateo, CA Real Estate.
Need real estate help?
Contact me at 650.888.9268 or Vicki[@]CallVicki.com.
Everything’s done for you:designer paint colors, bamboo floors, neutral tile, new baseboard and crown molding. Fireplace with decorator mantle. Soaring ceilings and skylights keep it light & bright.
Inside LAUNDRY!
Master bedroom has a ton of closet and a deck too!
Two full baths plus the half bath downstairs have all been gorgeously remodeled with great colors, new fixtures, vanities and granite.
Extra large and perfectly private patio to relax or BBQ with friends and family.
One of just a few units with an attached garage. Shopping is close by and so is Highway 92.
Mariner’s Island
Mariner’s Island has it all: restaurants, shopping, running and biking trails, pretty landscape – and it’s all super conveniently located to get to bio tech and high tech central.
The most obvious trend to continue through November and December is the lack of inventory in what are considered first-time home buyer areas such as Colma, Daly City, East Palo Alto, San Bruno and South San Francisco.
Redwood City has such varied neighborhoods you can’t describe it as just one housing style or price point. But the inventory has gone down significantly over the year; without more research I can’t say for sure but I wonder if that drop is partly related to the first-time buyers and investors out there competing for those short sales.
I’ve read several reports. Seems that once again opinions are like ears. Some say they’ll stay the same; some say they’ll rise.
You’re Not Buying A House – You’re Buying A Loan
Let’s play with interest rates. If you’re getting a loan of $600,000 at 5% you’ll be paying about $3200 in monthly payments.
$600,00 at 5.5% is $3400 a month.
Jan
Feb
March
April
May
June
July
Aug
Sept
Oct
Nov
Dec
Atherton
25
18
8.6
10.8
4.6
2.8
3.4
3.7
2.3
4.6
3
3
Belmont
3
2
2.3
2
1.5
1.7
1.4
1
2.6
1
2
1
Brisbane
2
6
5
3
5
3
4.3
2.6
1.7
2
2
1
Burlingame
3.6
4
3
1.6
1.9
1.6
2
2.2
2.4
2
1
1.5
Colma
6
1
2.5
1
1
1
1
3
1
0
*
*
Daly City
1.3
1
1
1
1
1
1
1
1
*
*
*
East Palo Alto
1.3
1.6
1.4
2.4
1
1
1
1
1
*
*
*
El Granada
5
31
11
9
6
3.6
2.8
2.7
5.4
3
5
4
Foster City
6.5
10.7
10
2.8
2
1.5
1.4
2
2
2
1
1
Half Moon Bay
7.6
11
7.5
16
6
7.9
5.5
3.6
3.8
3
3
3
Hillsborough
7.7
12.8
5.9
5.9
4.3
4.7
5.9
2.8
4.4
3
3
3
La Honda
8
5
3.7
6
4.7
6
5.5
4
3.3
2
1.5
2
Loma Mar
1
1
1
0
1
1
0
1
1
1
1
*
Menlo Park
3.5
3.4
4
1.9
1.7
1.8
2.9
2.2
1.9
2
2
1.6
Millbrae
5.9
9.5
3
1.6
1.2
2.3
2
2.2
1.7
2
*
1.6
Montara
18
17
16
4.5
3.6
3.4
4.3
3.5
3.3
4
14
2
Moss Beach
10
16
7
5.5
12
4.5
5
3.7
6
13
3
9
Pacifica
2.8
2.8
1.9
1.3
1
1
1
1
1
1
1
1
Pescadero
8
4
5
2
3
3
2
2.5
9
2
3
4
Portola Valley
11
3.8
3.4
2.8
5.5
3.4
5.5
3.1
3
2
3
4
Redwood City
3.3
2.5
2.4
2.3
1.8
1.5
1.5
1.2
1.3
1
1
1
Redwood Shores
4.7
9
6
2
3
2.3
3.3
3.2
1.9
2
2
*
San Bruno
1.6
1.4
1.5
1
1
1
1
1
1
*
*
*
San Carlos
3.8
2.3
2.8
2
2.2
1.6
1.9
1.8
1.9
1.5
1
2
San Gregorio
2
2
1
2
3
1
1
2
3
3
2
2
San Mateo
2.9
3
2
2
1.6
1.3
1.3
1
1
1
1
*
So San Francisco
2.5
1.7
1.4
1
1
1
1
1
1
*
*
*
Woodside
16
6.8
7.3
7
7.6
6.8
9.3
13
7.7
5
7
6
Real Estate Absorption Rates
The absorption rate is a quick way to see if the number of homes for sale in San Mateo County is going up or down. It’s just one of the statistics used to evaluate pricing.
What you’re looking at is how many months’ inventory there is on the market. The assumption is that it will take X number of months for all of the houses currently on the market to sell. More inventory = longer to sell.
You can also see if the area is a buyer or a sellers’ market. The National Association of Realtors defines a balanced market as one is which there is 6 months of inventory. More than 6 months, it’s a buyers’ market; less is a sellers’ market.
Thanks for reading the San Mateo Real Estate Blog.
I love questions and comments. So please leave one!
Vicki Moore, Realtor
Alain Pinel Realtors, specializing in San Mateo, CA Real Estate.
Need real estate help?
Contact me at 650.888.9268 or Vicki[@]CallVicki.com.
With November’s median home price in San Mateo at $755,000 and the home prices higher here than most places in the US, people are always asking me where first time home buyers get the money.
My standard answer is everywhere and anywhere. The National Association of Realtors has the breakdown.
National Association of Realtors Reports:
61% of first time home buyers used savings; 22% got a gift from friends or family – 6% got a loan from them; 6% dipped into what’s left of their 401(k); 6%sold stocks or bonds.
First time home buyers also became a little more miserly by making financial sacrifices to purchase a home: 39% cut spending on luxury items, 38% cut back on entertainment and 30% cut spending on clothes.
Thanks for reading the San Mateo Real Estate Blog.
I love questions and comments. So please leave one!
Vicki Moore, Realtor
Alain Pinel Realtors, specializing in San Mateo, CA Real Estate.
Need real estate help?
Contact me at 650.888.9268 or Vicki[@]CallVicki.com.
You just bought a house. But did you know that you also may have bought the garbage bill?
Think Short Sale
The garbage bill – if there is one – goes with the house. So you’re buying a house – the sellers have had financial problems – and they haven’t paid the garbage bill for a while. Or the family is selling the house for grandma who passed away. The garbage bill got lost in the mix of a hundred other things to do.
Guess Who Gets to Pay the Bill?
You do. So call the garbage company before you get the keys to make sure you don’t get a stinky surprise after you move in.
Thanks for reading the San Mateo Real Estate Blog.
I love questions and comments. So please leave one!
Vicki Moore, Realtor
Alain Pinel Realtors, specializing in San Mateo, CA Real Estate.
Need real estate help?
Contact me at 650.888.9268 or Vicki[@]CallVicki.com.
To help provide first-time home buyers with peace of mind when purchasing a home, the C.A.R. Housing Affordability Fund (C.A.R.H.A.F.) is offering a new mortgage protection program to first-time home buyers.
Just In Case You Get Laid Off
Through the Housing Affordability Fund’s Mortgage Protection Program, first-time home buyers who lose their jobs due to layoffs may be eligible to receive up to $1,500 per month for up to six months to help make their mortgage payments. A qualified co-buyer also can participate in the program, for a monthly benefit of $750 per month for up to six months.
More Benefits
Program benefits also include coverage for accidental disability and a $10,000 death benefit. C.A.R.’s Housing Affordability Fund is dedicating $1 million toward its Mortgage Protection Program this year, and estimates that up to 3,000 families will benefit from the program throughout 2009.
How To
To qualify for the Mortgage Protection Program, applicants must:
. Be a first-time home buyer – someone who has not owned a home in the last three years
. Open escrow April 2, 2009, or later, and close on or before Dec. 31, 2009 Mortgage Protection Program (MPP) extended through December 2010. To date, more than 1,700 first-time home buyers already have been approved for the program.
. Use a California REALTOR® in the transaction
. Purchase the property in California
. Be a W-2 employee (cannot be self-employed or military personnel)
Contact Your Realtor
First-time home buyers must request an application for the H.A.F. Mortgage Protection Program from their REALTOR®.
Thanks for reading the San Mateo Real Estate Blog.
I love questions and comments. So please leave one!
Vicki Moore, Realtor
Alain Pinel Realtors, specializing in San Mateo, CA Real Estate.
Need real estate help?
Contact me at 650.888.9268 or Vicki[@]CallVicki.com.
2325 Armada Way is available now and if you come tomorrow between 10 and noon you’ll get one of these cool little cookies from Amy at Cookies By Design.
First-Time Home Buyers are the Growing Share of the San Mateo County Real Estate Market
Daly City, East Palo Alto, San Bruno and South San Francisco actually have more houses under contract than they do available for sale. Stats prove what we’re seeing: Inventory is at an unbelievable low; it’s a sellers’ market and multiple offers are common.
Leslie Says
Leslie Appleton-Young, the economist for the California Association of Realtors, sees this trend continuing. She advises that the first-time buyer home prices will continue to strengthen over the next two years.
Housing Absorption Rates Year to Date
Jan
Feb
March
April
May
June
July
Aug
Sept
Oct
Atherton
25
18
8.6
10.8
4.6
2.8
3.4
3.7
2.3
4.6
Belmont
3
2
2.3
2
1.5
1.7
1.4
1
2.6
1
Brisbane
2
6
5
3
5
3
4.3
2.6
1.7
2
Burlingame
3.6
4
3
1.6
1.9
1.6
2
2.2
2.4
2
Colma
6
1
2.5
1
1
1
1
3
1
0
Daly City
1.3
1
1
1
1
1
1
1
1
*
East Palo Alto
1.3
1.6
1.4
2.4
1
1
1
1
1
*
El Granada
5
31
11
9
6
3.6
2.8
2.7
5.4
3
Foster City
6.5
10.7
10
2.8
2
1.5
1.4
2
2
2
Half Moon Bay
7.6
11
7.5
16
6
7.9
5.5
3.6
3.8
3
Hillsborough
7.7
12.8
5.9
5.9
4.3
4.7
5.9
2.8
4.4
3
La Honda
8
5
3.7
6
4.7
6
5.5
4
3.3
2
Loma Mar
1
1
1
0
1
1
0
1
1
1
Menlo Park
3.5
3.4
4
1.9
1.7
1.8
2.9
2.2
1.9
2
Millbrae
5.9
9.5
3
1.6
1.2
2.3
2
2.2
1.7
2
Montara
18
17
16
4.5
3.6
3.4
4.3
3.5
3.3
4
Moss Beach
10
16
7
5.5
12
4.5
5
3.7
6
13
Pacifica
2.8
2.8
1.9
1.3
1
1
1
1
1
1
Pescadero
8
4
5
2
3
3
2
2.5
9
2
Portola Valley
11
3.8
3.4
2.8
5.5
3.4
5.5
3.1
3
2
Redwood City
3.3
2.5
2.4
2.3
1.8
1.5
1.5
1.2
1.3
1
Redwood Shores
4.7
9
6
2
3
2.3
3.3
3.2
1.9
2
San Bruno
1.6
1.4
1.5
1
1
1
1
1
1
*
San Carlos
3.8
2.3
2.8
2
2.2
1.6
1.9
1.8
1.9
1.5
San Gregorio
2
2
1
2
3
1
1
2
3
3
San Mateo
2.9
3
2
2
1.6
1.3
1.3
1
1
1
So San Francisco
2.5
1.7
1.4
1
1
1
1
1
1
*
Woodside
16
6.8
7.3
7
7.6
6.8
9.3
13
7.7
5
Real Estate Absorption Rates
The absorption rate is a quick way to see if the number of homes for sale in San Mateo County is going up or down. It’s just one of the statistics used to evaluate pricing.
What you’re looking at is how many months’ inventory there is on the market. The assumption is that it will take X number of months for all of the houses currently on the market to sell. More inventory = longer to sell.
You can also see if the area is a buyer or a sellers’ market. The National Association of Realtors defines a balanced market as one is which there is 6 months of inventory. More than 6 months, it’s a buyers’ market; less is a sellers’ market.
They take a long time because there are a lot of people involved – a lot more than a regular home sale. There are processes and procedures that have to be followed. And they’re not simple.
