Something For Everyone

October 30, 2009

It seems to me that each weekend, there are more and more events occurring in our Inland Empire. I can only mention a very few, but the local newspapers are getting much better at setting aside space to inform their readers of happenings in our area. The variety this weekend truly offers something for everyone.

Now that fall is here and we are beginning to see cool, if not cold nights, the ski resorts are opening in the mountains. Mountain High Ski Resort in Wrightwood has been making snow all week. They claim to be the first to open in Southern California and one of only three resorts open in the country. There are 18 to 24 inches of snow on the ground. The resort is open from 8:340 a.m. to 10 p.m.tosay, 8 a.m. to 10 p.m. Saturday and 8 a.m. to 4 p.m. on Sunday. Prices are $25 for children ages 7 to 12, $30 for night tickets and $35 for a four hour ticket.

If you love rocks - like minerals and gems, the 34th annual Joshua Tree Gem and mineral Show takes place today through Sunday at the Sportsman's Club, 5225 Sunset Street., Joshua Tree. Show hours are 8 a.m. to 5 p.m. today and Saturday and 8 a.m. to 3 p.m. on Sunday. Admission is free. For more information you can call (760) 366-2915 or on the Internet http://www.jtsportsmanclub.com/

On Sunday at the University of Redlands there will be a free concert which is entitled "Two Worlds". This concert is free to the public and will feature a Native American flutist R. Carlos Nakai. Nakai is a Grammy Award nominee and he will perform two of his compositions, "Fourth World: Rainbow World" and "Shaman's Call, Whippoorwill. All of the music presented in the concert will be music composed by Native American and Latino composers. The concert is at 3 p.m. in the University of Redlands Memorial Chapel.

And lastly, remember that at 2 a.m. Sunday morning it is time to "Fall Back". Time to reset your clocks from daylight saving time to standard time. You gain one extra hour.

Forbearance, Loan Modifications and Foreclosure

October 29, 2009

Forbearance agreements have been around for a long time, but it seems that only in the recent financial crisis has it come into prominence. On the surface, it sounds like a benefit to a homeowner who can no longer keep up with the monthly mortgage payments. Lenders will offer the borrower a forbearance agreement whereby the lender agrees to postpone, reduce or suspend payment on a loan for a limited and specific time period. By entering into such an agreement with the lender, the borrower avoids foreclosure; at least for the limited and specific time. These agreements may be beneficial for borrowers who believe that their financial duress is only temporary and that they will eventually be able to resume their mortgage payments plus repay the missed payments. Sometimes these missed payments are added to the existing mortgage balance. In a forbearance agreement, the borrower usually must agree that he will pay the lender all that is due. Sometimes the agreement also asks the borrower to not contest any actions taken by the lender to collect the debt. A borrower would be well advised to have an attorney review any forbearance agreement prior to signing it. An agreement to repay the entire debt may create a judgement lien against the borrower if the debt cannot be satisfied by the sale of the house or in a foreclosure proceeding.

Loan modifications have been the big news for 2009 as the government's Hope for Homeowners program and Making Homes Affordable Program have offered incentives to lenders to modify loans for borrowers who can no longer afford their payments or who cannot refinance their home because the existing loan is greater than the present value of the property.

Loan modifications can involve reducing the interest rate so as to reduce the payment. They can also involve reducing the amount of the loan. Lenders seemingly have been reluctant to do either of these loan modifications. However, the news articles do state that some 500,000 loan modifications have been done nationwide.

Foreclosure is the historical action that is taken by lenders when a borrower ceases to make payments on a loan. Since most homes in California are financed through deeds of trust, the lender will notify the trustee who then begins the foreclosure process. A Notice of Default is sent to the borrower. The borrower has 90 days to bring the payments current. After the 90 day period has passed, the trustee may then send and record a Notice of Trustee's Sale. The sale will be published in a local newspaper 3 times during a 21 day period. The published notice will include the date the property will be sold and where the sale will take place. Generally there will be an amount in the notice. However, lenders in today's environment have often reduced that amount when the sale actually takes place on the court house steps.

Short sales will be a topic for another day.

Packing to Move - When to Begin?

October 28, 2009

You have decided that it is time to sell your home. However, you ave heard that at the present time, it may take a while before your home sells. Should you start packing now, or wait until you know for sure that you will be moving and you know where you will be going?

The answer that most real estate professionals will give you is "Start now".

Whether you have been in your home for 40 years or for 2 years, you probably have accumulated "stuff". A walk-thru your home with a pad and paper will be a good beginning process. Decide what you will not be using in the near future but that you do want to take with you. Put it on a list to box it up. Either rent a storage spot or set aside a part of the garage for these boxes. Make a second list of the items that you no longer need or want. Box these up and take them to your favorite charity. Both lists can include those clothing items that may be crowding your closets.

Once you have removed these items, your home should begin to show its actual amenities which is what you really want to sell.

As for your actual furnishings and the remainder of your belongings, it is wise not to complete your move until your escrow closes. I know that this is sometimes difficult in this market as closing dates have a tendency to be fluid. Keep this in mind when you are negotiating with a buyer. Hopefully you can obtain a move-out date a few days after close of escrow. Hopefully your moving company can also offer a bit of flexibility. In the best of times (which right now is not) moving is traumatic. If you have sorted and boxed the items that you do not need for maintaining your daily life, you will have a start on the process.

Even though your property may be competing with the vacant, distressed foreclosure listings, keeping it furnished and uncluttered will make it more attractive to buyers. Especially the buyers who would prefer to be able to move in and not have to tackle repairs.

Coordinating your move with your agent, your buyer and your buyer's agent is an important and sometimes overlook part of a sale transaction. Paying attention to the above suggestions can help smooth the process.

Don't Just Fret - Here's Something to DO

October 27, 2009

Homeowners who have found themselves facing loan re-sets, and the possibility of losing their homes can be at a loss as to where to seek advice. Unfortunately there are folks out there who have conjured up ways to take advantage of a homeowner's distress. Scams such as offering to help to obtain a loan modification and charging a fee to do so and then doing nothing seems a popular strategy for these scammers. Frustrated homeowners become easy prey when they have been unable to reach their lender to seek help.

This Thursday the Inland Economic Recovery Corporation and the state Assembly are sponsoring an event at the National Orange Show Event's Center Valencia Room. This event will bring together credit repair and debt counselors who will be available to discuss loan modifications and to provide valuable "how-to" information on short sales, credit repairs, debt relief, work force development and other topics that are pertinent to recovering from this economic downturn.

There will also be job-search experts on hand to advise how to start preparing for the economic recovery and the job opportunities that may become available.

There will also be a booth sponsored by the Homeownership Education Learning Program, a local non-profit that helps buyers, sellers and real estate professionals.

The event will be from 3 p.m. to 8 p.m. on Thursday, October 29, 2009.

For more information you can call (877) 418-7943

The "Wishful Thinking" Syndrome

October 26, 2009
I subscribe to an on-line newsletter called Inman News. Recently, Dian Hymer had an article entitled "Sellers stung by wishful thinking". The expression, "wishful thinking" caught my attention. It seems to me that sellers are not the only individuals that are in a wishful thinking mode. Buyers and agents can also qualify as "wishful thinkers".
Agents wish that sellers would listen to them when they present a market analysis. They wish that asset managers (bank representatives) would respond to their clients offers in a timely manner. They wish that buyers would understand that they are not in charge; i.e. that the sellers will be so happy that someone wants their property that they will accept any offer, no matter how out-of-whack- the offer might be with the comparable sales data. They wish that the real estate market would start an upward price trend. Etcetera, etcetera, etcetera.
Buyers are wishful thinkers when they think that they can offer 20% under a listed price and have a seller accept their offer. They wish that they could purchase a property with nothing down. They wish that they can be a successful bidder on a property if they offer the listed price.
They wish that there were more homes on the market. They wish that sellers would make all the repairs that they request, so that they could move right in. Etcetera, etcetera, etcetera.
Sellers, of course, having been wishing for two years that the appraisal they obtained in 2006 would be the price at which they could sell their property in 2009. They wish that buyers would not make an offer 20% under their listed price. They wish that they would not have to negotiate repairs. They wish that the market will recover in a year. Etcetera, etcetera, etcetera.
There is an old nursery rhyme that goes something like: "If wishes were horses, then beggars would ride..."
This has been a traumatic real estate market, but wishing it to be different is not helpful. It has given some an opportunity to become homeowners. It has given some an opportunity to reduce their debts. Taking advantage of programs designed to keep homeowners in their homes and to allow folks to become homeowners is the first step to get out of the "wishful thinking' syndrome.

What? Another Car Show

October 23, 2009
It has become apparent that residents of the Inland Empire love their cars. I don't mean the vehicle that takes you from point A to point B. I mean the historic, the unique, the restored cars that show up at the the car shows that seem to be occurring quite frequently.
This Saturday, at the 1918 Santa Fe Train Station in San Bernardino, more than 100 classic cars will be displayed out side this building which is on the National Register of Historic Places.
Unlike many car shows that are sponsored by not-for-profit organizations, this car show is free for both participants and spectators. Should you want to attend the Juan Pollo dinner in the museum at 5 p.m., there will be a cost of $20. At the dinner there will be a slide presentation.
The coming of the railroads to San Bernardino was the impetus for the growth of the city.
The purpose of the event is to get people to visit the Santa Fe Depot and Museum. According to Steve Shaw, President of the San Bernardino Historical and Pioneer Society, the huge size of the restored depot will furnish a great backdrop for the car show. There will also be a live auction, some raffles and awards.

Being Greener - Longer Life for Your Patio Furniture

October 22, 2009

Over time, the white plastic or resin patio furniture gets really grungy looking. The white turns yellowish and the dirt in the air seems to embed itself on the surface. On trash pick-up days, you can see these grungy patio pieces sticking out of trash cans on there way to the landfill.

Before you cast them away, you might try some of these cleaning strategies. They come from a book by Jerry Baker called "Cleaning Magic".

I quote from page 244 of this book:

"Wash the plastic with a mixture of 3 tablespoons of dishwasher detergent in 1 gallon of hot water. Let the solution sit for about 15 minutes, and then rinse it thoroughly. Be sure to wear long rubber gloves to protect your skin.

Scrub the pieces with a mixture of 3 tablespoons of powdered oxygenated bleach (Like OxiClean Versatile Stain Remover) in 1 gallon of warm water. Use a nonabrasive plastic scrubbie and plenty of elbow grease.

Restore the shine by wiping the surface with a cloth that's been sprayed with WD-40. Buff off the solvent with a clean, dry cloth."

If it is possible to renew some of our plastic furniture and have it looking fresh again, we will have helped reduce the amount of stuff ending up in the landfills.

Fall Clean-Up Days

October 21, 2009

This is the time of the year for a major clean-up of your property. Several communities in San Bernardino County are offering Community Recycling and Clean-up days for their residents. Proof of residency in the community will be a requirement, but this opportunity to dispose of your large unwanted items is priceless (meaning there is no charge).

In Redlands, this event will permit you to take old furniture, , water heaters, large appliances, tires, concrete and other household refuse. Electronics and other hazardous waste will not be accepted at this event, but these items may be dropped at the City of Redland's Household Hazardous Waste site which is open every Saturday (weather permitting) from 9:30 a.m. to 12:30 p.m. This drop off site is located at 500 Kansas Street in the city yards. The large waste recycling and amnesty event will be at the city's Corporate Yard located at 1270 W. Park Avenue from 7 1.m. to 12 p.m. It will close promptly at noon, so it will be wise to be there no later than 11 a.m.

The cities of Fontana and Victorville are also sponsoring community clean-up days . Fontana's is from 8 a.m. to 1 p.m. and Victorville's is from 8 a.m. to 12 p.m. In Fontana the weekly Household Hazardous Waste collection will also take place from 8 a.m. to 12 p.m. There will also be a Hazardous Waste Collection in Hesperia from 9 a.m. to 3 p.m.

The County of San Bernardino will also be hosting its free County Clean-up Day at all its landfill facilities. Residents may bring regular household trash to any Solid Waste Management Disposal site free of charge.

Let's all be good citizens and aid in the effort to clear our communities of junk and to help make our environment both attractive and safe.

Confused? Pre Approved or Pre Qualified?

October 20, 2009

Many sellers in today's real estate environment are requesting that "pre approval" from the buyer's lender. Asset managers for the bank owned properties will not even submit offers without a "pre approval" letter which includes the buyer's credit score. "Pre approval" is quickly becoming an important element in any offer to purchase real property.

I believe that I have outlined "pre approval" in previous blogs, but it seems that buyers and sellers still have a bit of confusion about the difference between a"pre approval" letter and a "pre qualified" letter. The difference is in the process that takes place with the lender and the buyer.

Way back when it was much simpler to submit an offer to purchase and when lenders were eager to make loans, "pre qualified" was all that seemed necessary. Here is the process that was the usual method of obtaining a "pre qualification" letter from a lender. The buyer would be interviewed by a loan representative, either in person or by phone. Typically, the loan rep would ask the buyer what his monthly or yearly gross income was. The buyer would be asked about credit balances and debts such as car loans that were outstanding. Using this buyer supplied information, the lender would determine the income to debt ratios for the buyer. The letter would basically state that, based on the information received, the buyer would qualify for a purchase price of a stated amount with a loan of a stated amount, at particular interest rate and a monthly payment of so much including taxes and insurance. For a "pre qualification" usually none of the information given to the loan rep has been verified. The loan rep is relying on the accuracy of the information supplied by the buyer.

A "pre approval" letter is one that carries a great deal of weight. The buyer has filed an application with the lender, the information as to income, debts, employment has been verified.

The letter should also contain a commitment from the lender to make the loan within a specified period of time subject only to the appraisal of the subject property.

Buyers who can supply a seller with a "pre approval" letter are looked at favorably by sellers.

Buyers in today's real estate arena want to complete the pre approval process as early in their home buying search as they possibly can.

Just one caveat for sellers. A "pre approval" is not an absolute guarantee that the lender will make and ultimately fund the stated loan. Those of us in the business may have experienced the denial of a loan to a "pre approved" buyer. So the caveat for both buyers and sellers is the famous quote "It isn't over til it's over." Until a loan is funded and the deed recorded, events can occur that change the lender's approval of the loan. It doesn't happen often, but it can. It is not that buyers and lenders were being deceitful. In this market it is more likely that lending guidelines changed from the time of the pre approval until the funding of the loan.

Competition Seems to be the Name of the Game

October 19, 2009

As the deadline for the government's first time home buyer's tax credit nears, the competition for purchasing a home has increased. All year long, as lenders but repossessed homes on the market at prices that seemed lower than similar properties, multiple offers became the name of the game. Anecdotally, I have heard of a property receiving as many as 80 offers. I suspect that this number is an exaggeration, but having 8 or 10 offers is a real situation.

Again, anecdotally, I have heard of a buyer submitting an offer on at least 10 different properties and still not being the winning offer. Frustration is high for these unsuccessful buyers as the tax credit deadline looms.

As a buyer, you need to be aware that your offer may be in competition with other offers. This means that it is important to decide how much you want to purchase the property as you may not have a second chance to change your offer.

Banks may come back with a counter offer asking for your "highest and best" offer. They might also come back with a counter offer to multiple offers with a price greater than the list price. Or they may choose one of the offers that was submitted. All of these strategies are possible.

There is really no way to know how to make an offer the winning offer. I have heard that convention wins or FHA and cash may win over any other offer. Investors are definitely taking advantage of the great prices and are in the pool of competitors.

There are many good properties for sale. Buyers who understand the parameters of the present market may be more successful in the purchase of a home.

Be pre approved. That means your credit has been checked, your income has been checked and your down payment verified. Have your past 2 years tax returns ready to submit. Write your offer with the shortest length of escrow time that your agent and lender thinks can be achieved.

Know that you will not be "stealing" a property, but you will be paying a fair price that willing buyers and willing sellers have set.

Home Improvement and Remodeling Show

October 16, 2009

If you have any thoughts of remodeling or making improvements to your home, this weekend offers an opportunity to check all sorts of ideas and products. The Pomona Home Improvement & Remodeling Show opens today at Building #9 of the Fairplex, 1101 McKinley Avenue, Pomona. Exit Interstate 10 at Fairplex Drive, go north to McKinley and turn right. The hours are Friday, 2 p.m. to 7 p.m; Saturday, 10 a.m. to 7 p.m. and Sunday, 10 a.m. to 6 p.m. Admission is free.

You will be able to see exhibits of kitchens, bathrooms, pools, spas, patios, etc. There will also be cooking demonstrations, entertainment and prizes. These large trade shows are truly great to see and to ask questions of the vendors.
For additional information you can call 1-800-358-7469 or http://www.homeshowconsultants.com/


Visiting these kinds of home improvement shows could be really helpful to the first time homeowner who purchased a bank repo "as-is' and now has repairs to be made. It is just plain fun to see the exhibits and to dream of improving your home.

Once Again - The Great California ShakeOut

October 15, 2009

At 10:30 a.m. this morning, a simulated 7.8 earthquake will occur on the San Andreas Fault.

This will be the second year for a mobilized disaster drill. According to a news release, more than 518,000 San Berardino County residents are expected to duck, cover and hold as the temblor hits. Emergency staff and governmental entities are participating in this exercise in which a scenario has nearly 2,000 folks killed, 50,000 injured and damages are to exceed $213 billion.

As a resident not actively involved in this simulation, the event is a reminder to update your personal disaster preparedness. Where will your family meet? How will you be in contact? (It is wise to choose an out-of-state phone number as local numbers may be impacted. Even cell phones may be impacted if cell towers fall.) Are your disaster supplies up to date (water, food, clothing, first-aid, etc.)? Have you checked your home for loose objects that could fly through the air?

Unlike such disasters as tornadoes and hurricanes and even floods, earthquakes do not give warnings. They just happen. The U.S Geological Survey scientists take preparedness very seriously. All of us need to do the same.

Smoothly Sliding Doors

October 14, 2009

Sometimes, when showing a home, those sliding doors to the patio are really a challenge. Sometimes they won't budge at all. Sometimes it takes a real push-pull to move them. Not a positive impression for the potential buyer of the property. (If it is a bank repo, the buyer might feel that the price reflects the condition. However, if you are a seller who is competing on the basis of the better condition of your property, this slider needs attention.

From a book by Jerry Baker entitled "Cleaning Magic", here are a few suggestions.

Run a bar of white soap over the track; open and close the door several times to work the slippery soap into the moving parts.

If the track is already filled with gunk, use a screwdriver and dig the gunk out. Use a spatula or some sort of flat blade to lift the loosened gunk out of the track or vacuum up the loose debris. Wrap a damp cloth around the screwdriver blade and run it through the track. Then apply a sliding door lubricant like Ultra Glide* and the door should be ready to roll.

You could also try Scrubbing Bubbles* bathroom cleaner. You may still need the screwdriver to reach into the corners.

A sliding door that glides smoothly in its track may seem like a minor detail, but it is the minor details that give a property a competitive edge.

Numbers Have an Impact

October 13, 2009

I post numbers such as yesterday's median prices or the past month's transactions in the local real estate market. I share the data with my readers in the belief that the numbers can indicate how the real estate market is trending. These numbers do impact buyers and sellers, but they are always about the past, not the future. Unfortunately, because they can influence the decisions that buyers and sellers make, they they do impact the future.

A buyer, watching the value of homes decline, very likely will make a low offer for a property.

A seller, since the numbers show a slight uptick in median prices, may reject a low offer and lose a sale.

Both parties to a real estate sale need to adjust their expectations to reflect the current home values in the local market. The sale of property has typically occurred after successful a negotiation that arrives at a price that each can accept.

This is a market that is influenced by the numbers. Buyers and sellers are at the mercy of lenders. An appraiser evaluates a property based on homes that have sold in the past three months (the past). What has helped future numbers (selling prices) has been the sale of properties that have attributes other than just a low price (location, condition, amenities) and for which a buyer is willing to pay more, if necessary, to be the successful purchaser.

Other numbers that are impacting sales are the $8,000 tax credit for first time home buyers and the lowest thirty year mortgage interest rates. When 62% of persons in the Inland Empire could qualify for the median priced home, the volume of sales is impacted.

Numbers do impact, but each successful sale of a single family residential real estate property
is an individual event. Someone has to desire the property and someone has to realistically want to sell the property. Numbers are the starting point at arriving at the buyers and sellers common goal for that piece of real estate and they can only point to value, not fix the final selling price.

Median Prices - October 1, 2009

October 12, 2009


Based on the data reported through the IMRMLS, the following are median prices from 2002-2009 for the 14 communities that I have been tracking. I do not have a scientific methodology. I simply find the transaction that is at the halfway point of the number of closed transactions reported for October.


Banning/Beaumont........2009/165,000......2008/195,000......2007/290,000......2006/330,000


...........................................2005/308,000.....2004/235,000.......2003/164,000......2002/139,000


Bloomington...................2009/135,000......2008/190,000.......2007/360,000......2006/385,000


...........................................2005/350,000.....2004/270,000.......2003/185,000......2002/145,000


Colton...............................2009/110,000......2008/159,000.......2007/250,000......2006/340,000


...........................................2005/330,000.....2004/215,000.......2003/170,000.......2002/125,000


Fontana............................2009/195,000......2008/257,500.......2007/391,500.......2006/412,000


...........................................2005/405,000.....2004/325,000.......2003/235,000......2002/170,000


Grand Terrace.................2009/171,000.......2008/238,000......2007/340,000......2006/381,000


...........................................2005/249,900......2004/289,900......2003/240,000......2002/189,900


Highland..........................2009/140,000......2008/202,900......2007/339,000.......2006/364,500


..........................................2005/346,000......2004/284,900.......2003/194,950.......2002/175,000


Loma Linda.....................2009/240,000.....2008/219,000.......2007/319,000.......2006/429,900


..........................................2005/419,000......2004/322,000.......2003/250,500......2002/133,000


Mentone..........................2009/105/195......2008/250/210......2007/350/490......2006/250,000


..........................................2005/358,000.....2004/173/210........2003/75/150.........2002/134/180


Moreno Valley...............2009/140,000......2008/175,000........2007/319,900.......2006/380,000


.........................................2005/359,000......2004/280,000.......2003/199,900.......2002/157,200


Redlands........................2009/235,000......2008/310,000........2007/359,900.......2006/385,000


.........................................2005/395,000......2004/314,000........2003/255,900.......2002/197,500


Rialto..............................2009/123,000......2008/195,000........2007/316,000........2006/385,000


.........................................2005/360,000......2004/281,599........2003/195,000........2002/155,000


Riverside........................2009/180,000......2008/234,000........2007/259,900.......2006/420,000


.........................................2005/365,000......2004/325,000........2003/239,500.......2002/191,000


San Bernardino.............2009/75,000........2008/125,000.........2007/279,999........2006/319,000


.........................................2005/299,000......2004/255,000........2003/149,000........2002/110,000


Yucaipa/Calimesa.........2009/210,000......2008/264/275........2007/310,000........2006/382,500


.........................................2005/385,000......22004/315,000......2003/211,000.........2002/174,500


Three of the communities had a median price higher on the first of October 2009 than the median price at the end of the first half of 2009.


Riverside was $180,000 at the end of September versus $274,000 for the first half of 2009


Moreno Valley was $140,000 at the end of September versus $137,500 for the first half of 2009. Redlands was $235,000 at the end of September versus $225,000 for the first half of 2009.


Median prices are always influenced by the mix of what is selling, but we are hopeful the the slightly upward trend will continue or at least, not decline further.

Sample !9th Century Living in the 21st Century

October 9, 2009

This weekend there will be opportunities to sample some 19th century experiences. On Saturday at the San Bernardino County Museum, visitors can learn about adobe making and can actually make an adobe brick to take home. From 11 a.m. to 4 p.m. visitors can also beat a rug, wash clothes with a tub and washboard and participate in other 19th century activities.

Also taking place this weekend, today, Friday October 9 through Sunday, October 11, the old silver mining town of Calico will be hosting the "Calico Days" event. By 1907, Calico was a ghost town, but it was restored in the mid 20th century and for 43 years an historical recreation takes place. Visitors can see how miners and their families lived. There will be a competition for those who dress in period costumes. There will be burro races on both Saturday and Sunday. Getting a burro to race is a challenge and this is a fun event, both for the on lookers and for the racers. There will also be a Miner's Triathlon and many other events. When the sun sets, Western movies will be featured under the stars at the CAlico Silver Bowl. Bring warm clothes as it is likely to be quite chilly. The calico Ghost Town is 10 miles north of Barstow, just exit Interstate 15 at the Ghost Town Road. Admission is $10 for adults and $5 for children ages 6-15 and $5 for military adults and $3 for their children. Children under 5 are free. This event is a great way to introduce your family to the mining days of California. For more information you can call 1-800-862-2542 or on the Internet http://www.calicotown.com/

A Look at the Upper End of the Real Estate Market

October 8, 2009

This year the bottom end of the real estate market has been doing phenomenally well. As you could tell from yesterday's posting, the volume of sales has been very high for the past year. However, much of the activity has been in the $350,000 or less price range. In June I decided to begin watching the over $400,000 data. In this short amount of time, the number of sales has begun to increase. On most of the 14 communities that I track, listings were available, but sales were quite slow. While this over $400,000 market is not robust, it does indicate that it is improving.

Here is the data of numbers of listings, pendings, back-up postings (Properties that have an accepted offer, but perhaps have significant contingencies.), and closed transactions.

Banning/Beaumont......Listings/22.......Pendings/1........Back-up/0........Closed/1

Bloomington..................Listings/2.........Pendings/0........Back-up/0........Closed/0

Colton.............................Listings/6..........Pendings/2........Back-up/1........Closed/0

Fontana..........................Listings/21........Pendings/10......Back-up/1........Closed/2

Grand Terrace...............Listings/2..........Pendings/0........Back-up/0.......Closed/0

Highland........................Listings/19........Pendings/3........Back-up/0.......Closed/2

Loma Linda...................Listings/10........Pendings/3........Back-up/0.......Closed/2

Mentone........................Listings/2..........Pendings/0........Back-up/0.......Closed/0

Moreno Valley..............Listings/10........Pendings/0........Back-up/1........Closed/0

Redlands.......................Listings/86........Pendings/13......Back-up/13......Closed/14

Rialto.............................Listings/2..........Pendings/1.........Back-up/0.......Closed/0

Riverside.......................Listings/188.....Pendings/70.......Back-up/15.....Closed/24

San Bernardino............Listings/16.......Pendings/2..........Back-up/1.......Closed/0

Yucaipa/Calimesa.......Listings/66.......Pendings/8..........Back-up/5.......Closed/4

Many of the communities with low numbers in the present over $400,000 market, also had low numbers in the years prior to 2005 and 2006. The recovery of this market will be interesting to watch.

Today, this segment of the real estate market has been slowed by the reluctance on the part of many lenders to make loans and the inability of move-up buyers to sell their existing home. Even if a homeowner could sell the existing home, the equity may have been too small to allow for the amount of down payment needed for a purchase.

Closed Transactions for September - 2002-2009

October 7, 2009

Here are the numbers for closed transactions for the month of September as reported through the IMRMLS. In most areas, volume has returned to levels of a more active real estate market. The volume became the lowest in 2007 and has continued as a fairly consistent number since Spring of 2008.

Banning/Beaumont.......2009/156......2008/133......2007/42......2006/87......2005/110......2004/94

..........................................2003/76........2002/61

Bloomington..................2009/37.........2008/27........2007/10.......2006/17......2005/29.......2004/24

.........................................2003/18.........2002/17

Colton.............................2009/50........2009/43........2007/11........2006/45......2005/52.......2004/54

.........................................2003/51........2002/43

Fontana..........................2009/303......2008/354.....2007/61........2006/191.....2005/303.....2004/269

.........................................2003/225......2002/221

Grand Terrace...............2009/10.........2008/12.......2007/4..........2006/14.......2005/28.......2004/12

.........................................2003/10.........2002/10

Highland........................2009/66.........2008/59......2007/13.........2006/50......2005/92.......2004/49

........................................2003/60.........2002/55

Loma Linda...................2009/18.........2008/20......2007/2...........2006/15.......2005/13.......2004/8

........................................2003/16..........2002/10

Mentone........................2009/7............2008/9........2007/3...........2006/8........2005/3.........2004/7

........................................2003/5............2002/6

Moreno Valley............................2009/326.......2008/435....2007/77.........2006/188....2005/370.....2004/244

.......................................2003/267.......2002/226

Redlands......................2009/58.........2008/61.......2007/43........2006/56.......2005/83.......2004/87

.......................................2003/90.........2002/59

Rialto............................2009/118........2008/143....2007/36........2006/83.......2005/142......2004/107

.......................................2003/119........2002/101

Riverside......................2009/428.......2008/492....2007/137......2006/389.....2005/540.....2004/404

.......................................2003/393.......2002/364

San Bernardino..................2009/276.......2008/279....2007/72........2006/189......2005/244.....2004/255

......................................2003/244.......2002/225

Yucaipa/Calimesa......2009/43.........2008/51......2007/29........2006/54........2005/69.......2004/79

......................................2003/64.........2002/60

Slowly, but surely, our real estate market seems to be stabilizing.

A Green Lawn for the Winter

October 6, 2009

For a number of years it has been customary for homeowners to want a green lawn in the fall and winter. To accomplish the rich, green and lush looking lawn, they overseed their lawns with annual rye grass or some other type of grass. With the emphasis this year on water conservation, a green lawn may not be entirely politically correct. However, for a seller who wants to enhance the curb appeal of a property, overseeding is an inexpensive way to create an attractive appearance.

So, if you want to rejuvenate an old and tired lawn, now is the time to prepare the present lawn and spread the seed. The cooler temperatures provide favorable conditions that allow the seed to germinate.

Before planting, you need to scalp your lawn by mowing the existing grass to less than one inch above the soil. Running a pronged rake over the surface can also help to create small trenches for the seeds. It is critical after spreading the seed, to keep the lawn moist for approximately three weeks - while the seeds are germinating and getting rooted. You can rest from your mowing chores for the first three weeks plus an additional three to four weeks so as not to uproot the new seedlings. (six to eight weeks total should allow the seeds to develop good roots.) It is critical not to allow these tender seedlings to dry out.

Obviously, you must pay attention to the development of the lawn if you want good results.

We are not yet at a place where brown lawns are valued for their water conservation. IN the meantime, the winter grasses give a very desirable appearance to the most tired lawn.

Fall Is Definitely in the Air

October 5, 2009
Our Southern California Fall Season is here. Cool nights, warm days, clear skies with a few puffy clouds are a real treat after the 100 degree weather of just a week ago. For homeowners, Fall is a time to do some yearly maintenance before the rainy season is upon us.
It was once the case that very few homes actually had rain gutters, but they have become more popular. Not necessarily because we have so much rain, but because when it does rain, gutters and downspouts keep the rain from pouring off the roof everywhere and allow for directing it for use in the garden or collecting it in a rain barrel.
However, from time to time, gutters become filled with leaves and dirt and downspouts become clogged. So, in these beautiful cooler days, it is a great time to clean them out.
Choose a sturdy ladder, preferably a step ladder, but if you have to use an extension ladder, don't lean it against the gutters as you are likely to cause a dent. Wear heavy gloves, since gutters are often made of metal (although nowadays there are ones made of fiberglass) and the metal could have some sharp edges at the seams. It is also a good ides to wear safety glasses or goggles. Most often, gutters can be cleaned by simply using your hands and scooping out the accumulated debris and then rinsing them out. Using a garden trowel can also be very effective. Some folks get fancy and use a leaf blower. If you have a leaf catching system consisting of screening, hopefully the screening can be lifted out and rinsed off with a hose. If the down spouts are clogged, shooting water with a high powered nozzle on the garden hose should clear out the debris.
If you notice that some of the gutters have separated from the house, either nail them back in place or call a gutter installer to tighten them up.
Do it now and you will be grateful when your gutters are doing a proper job when "El Nino" brings us a true rainy season.

It Isn't "Moon Over Miami." It's Moon Over Riverside".

October 2, 2009
On Fridays I always try to point out some fun, and often unusual, events that are occurring in the Inland Empire. Yesterday The Press Enterprise Newspaper had an article about a unique event occurring in Riverside this weekend. The " Chinese Moon Festival was held last year and attracted about 2000 folks attended the event held in Riverside. This year the event will be held Saturday, October 3 from 6 to 8 p.m. at the Heritage House located at 8193 Magnolia Avenue in Riverside. The event is free to the public and will include students from the San Diego Huaxia Chinese School's Riverside campus performing folk songs and reciting poetry. There will also be a cooking demonstration on preparing egg rolls and dumplings.
The event is a family festival celebrating the harvest and the 15th lunar day of the 8th Chinese lunar month which is typically a day when the moon is at its brightest and fullest. Besides celebrating the harvest, the Moon Festival also celebrates the Chinese uprising against the Mongols and the beginning of the Ming Dynasty in 1368 A.D.
There will be the opportunity to sample the traditional "moon cake. This is an oolong tea cake with a black bean filling. It is a rich dense pastry with a variety of fillings.
The Riverside Astronomical Society will also set up high-powered telescopes for moon gazing.
For more information on the Internet go to www.riversideca.gov/museum

Listings and Pendings on October 1, 2009

October 1, 2009

As we begin the fourth quarter of 2009, the listing and pending data as it has been reported through the IMRMLS shows that sales have increased dramatically over 2008. If you go to the blog post of October 3, 2008, you can compare the numbers. At that time, listings outnumbered the properties reported as pending sales by 60 to 75 percent. Today, the pendings in six of the fourteen communities that I have been tracking exceed the number of active listings.

Here are the numbers.

Banning/Beaumont..........Listings/467...........Pendings/250...........Ratio/.535

Bloomington......................Listings/56.............Pendings/74..............Ratio/1.321

Colton.................................Listings/132...........Pendings/95..............Ratio/.720

Fontana..............................Listings/417...........Pendings/657............Ratio/1.575

Grand Terrace..................Listings/15..............Pendings/21..............Ratio/1.4

Highland.............................Listings/163...........Pendings/103............Ratio/.632

Loma Linda........................Listings/51.............Pendings/33..............Ratio/.647

Mentone.............................Listings/16.............Pendings/23..............Ratio/1.438

Moreno Valley...................Listings/492...........Pendings/741............Ratio/1.506

Redlands.............................Listings/205..........Pendings/112............Ratio/.546

Rialto...................................Listings/233..........Pendings/306............Ratio/1.313

Riverside.............................Listings/977..........Pendings/930............Ratio/.952

San Bernardino..................Listings/708..........Pendings/564............Ratio/.797

Yucaipa/Calimesa.............Listings/204..........Pendings/108............Ratio/.529



There is another category for reporting. It is the "back-up" category. These are properties that have an offer that has been accepted but, for one reason or another, the seller will still show the property and consider accepting an offer as "a back-up" in case the previously accepted offer cannot go forward. If I had included these transactions in the "pending" sale category, it would have increased the ratios. These numbers are reflective of a substantial increase in real estate activity which is a good sign that the real estate market in our region is stabilizing.