Don’t Forget to Check Out This Weekend’s Open Houses !!!

Don’t Forget to Check Out This Weekend’s Open Houses !!

Our Open House Directory offers full access to all Surterre Properties’ upcoming open houses in Orange County, and is updated with new inventory on a weekly basis. Whether you’re touring Newport BeachLaguna BeachCorona del MarNewport Coast, Laguna NiguelDana PointIrvineSan Clemente or other neighboring coastal communities, this directory should be your first stop in helping you find your final destination.

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This Week’s Best Buys in Orange County Real Estate

This Week’s Best Buys in Orange County Real Estate

“ECONOMIST SEES SIGN OF ACTIVITY”

“ECONOMIST SEES SIGN OF ACTIVITY”

  • Housing starts up 19% from the pace over the prior 12 months
  • At current pace, apartment construction in 2012 would be highest since 2005
  • National Association of Realtors February confidence index at highest level since survey began in 2008


“FORECAST SAYS RENTS WILL RISE FOR 2 YEARS”

“FORECAST SAYS RENTS WILL RISE FOR 2 YEARS”

Renters, beware! Landlords will have the upper hand in the pricing game for the next 2 years. Rents are to rise 5.1% over the next 2 years

Marina Hills Market Update 1/1/12 – 3/2/12

“APARTMENT RECOVERY IN 2012 LOOKING SOLID”

“APARTMENT RECOVERY IN 2012 LOOKING SOLID”

The national rent growth in 2012 will be 5.5%. Orange County is projected to have a 4% rise to an average of $1,576

Housing Crisis to End in 2012 as Banks Loosen Credit Standards

Housing Crisis to End in 2012 as Banks Loosen Credit Standards

Capital Economics expects the housing crisis to end this year, according to a report released Tuesday. One of the reasons: loosening credit.

The analytics firm notes the average credit score required to attain a mortgage loan is 700. While this is higher than scores required prior to the crisis, it is constant with requirements one year ago.

Additionally, a Fed Senior Loan Officer Survey found credit requirements in the fourth quarter were consistent with the past three quarters.

However, other market indicators point not just to a stabilization of mortgage lending standards, but also a loosening of credit availability.

Banks are now lending amounts up to 3.5 times borrower earnings. This is up from a low during the crisis of 3.2 times borrower earnings.

Banks are also loosening loan-to-value ratios (LTV), which Capital Economics denotes “the clearest sign yet of an improvement in mortgage credit conditions.”

In contrast to a low of 74 percent reached in mid-2010, banks are now lending at 82 percent LTV.

While credit conditions may have loosened slightly, some potential homebuyers are still struggling with credit requirements. In fact, Capital Economics points out that in November 8 percent of contract cancellations were the result of a potential buyer not qualifying for a loan.

Additionally, Capital Economics says “any improvement in credit conditions won’t be significant enough to generation actual house price gains,” and potential ramifications from the euro-zone pose a threat to future credit availability.

Tenants vs. Former Owners rights after a foreclosure

Directions with Chase and B of A is a little more tenant friendly and outlined below. Typically and former owner does not have the rights as a tenant who pays fair market value and is arms-length.

  • Per PTFA (attached) the tenant is given  a 90 day notice, if they are being evicted.
  • There are a few other things that are clarified under the PTFA, which is the legal description of a lease period, normally the courts will not honor a lease term of over 12 months.
  • I have found that Chase will accept a lease of any amount over the 12 months, as they are very accommodating and go above and beyond in all aspects of taking the conservative approach on things.
  • In this ‘Act’ the bank is allowed to request the FMRV (Fair Market Rental Value) for a property, which is not always the same amount the tenants were paying in the lease with the former owner.
  • There is nothing built into this ‘Act’ that accounts for tenant rights with purchasing the property.  When this property is sold, if the buyer wants to move in the home they may not have to abide by these same rules as long as they are not renting out the property to someone else.  They can evict the tenants much faster than we would be able to, as the eviction after a foreclosure is much for strict.
  • The only thing that will not happen, is the lender/owner will not keep this property out of the marketing phase.  As soon as the occupant is approved as a rental it will be put into marketing.
Click the Link Below to view Protecting Tenants at Foreclosure Act

protecting_tenants_at_foreclosure_act

Marina Hills Feb ’12 Market Update