Tag: home

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Market Activity Report for December 28, 2009 to January 3, 2010

Last week brought us 4 truly new listings, 4 pending sales, and 5 closed sales. Kudos to the brave souls who were out working and busy over the holidays. And to my client who managed to schedule his moving day for the exact date and time of our brief snow storm.

Here is the latest market activity for Lake Oswego (see below the tables for additional notes):
NEWLY LISTED (Dec. 28—Jan. 3, 2010)

Address List Price # Beds # Baths Total SF Prop Type List Date
100 KERR PKWY $102,500 2 1.1 823 CONDO 12/28/2009
4 TOUCHSTONE $160,000 3 2.1 1,350 CONDO 1/2/2010
19415 SW DOGWOOD CT $529,900 5 3 3,517 DETACHD 1/1/2010
19288 SW Megly CT $579,900 5 3 3,657 DETACHD 1/1/2010

PENDING SALES (Dec. 28 – Jan. 3, 2010)

Address List Price # Beds # Baths Total SF Prop Type CDOM
65 Church ST $159,900 2 1.1 1,040 CONDO 250
952 A AVE $350,000 2 2 2,912 DETACHD 241
5506 ROYAL OAKS DR $399,900 4 3 2,535 DETACHD 19
8 BUCKINGHAM TER $427,900 4 2.1 3,186 DETACHD 144

SOLD (Dec. 21 – Dec. 27, 2009)

Address O/Price Sold Price # Beds # Baths Total SF Prop Type CDOM
4000 CARMAN DR $129,900 $123,000 1 1 836 CONDO 103
364 NORTHSHORE RD $629,900 $355,460 2 2 2,220 DETACHD 465
106 GREENRIDGE CT $489,000 $441,000 4 3 3,127 ATTACHD 136
279 EVERGREEN RD $689,000 $615,000 3 3.1 2,136 ATTACHD 129
1980 TWIN POINTS RD $4,987,500 $4,987,500 4 5 6,600 DETACHD 0

Criteria: Homes in the 97034 and 97035 zip code, listed, pending or sold between the dates listed above as reported by the Regional Multiple Listing Service (RMLS). DETACHD refers to Single Family Detached Residence, MFG refers to manufactured housing, and ATTACHD refers to single-family residences with some portion of the structure attached to another property, but not constituting CONDO ownership. DOM stands for days on market, or the number of days from when the listing became active and when it received an acceptable offer, with CDOM standing for “cumulative days on market” accounting for “refreshed” listings.

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Open Houses for January 3, 2010

Happy New Year one and all!  It looks like it’s going to be a bit quiet this Sunday. For those of you who are hoping to attend an open house or two, there will be 5 homes held open in Lake Oswego, according to the RMLS.

Address List Price # BR # BTHS Total SF Prop Type Open
1950 BONNIEBRAE DR $200,000 2 1.1 1,056 ATTACHD 2 to 4
1547 BOCA RATAN DR $208,900 2 1.1 1,008 ATTACHD 11 to 1:30
65 GREENRIDGE CT $215,000 2 2 1,314 CONDO 11 to 1
5373 LAKEVIEW BLVD $335,000 3 1 2,176 DETACHD 2 to 4
17755 HILL WAY $339,900 4 3 1,831 DETACHD 1 to 3
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Looking Back at the LO Real Estate Market of 2009

Red man statueI think the best thing I can say about the Lake Oswego real estate market of 2009 was that it wasn’t 2008. Remember a year ago? We’d seen the collapse of some of the Nation’s largest banks, the first bailout/stimulus package had been put into play, and the entire Nation was in a wait and see mode as the country transitioned to a new Presidency. It was a very difficult time. And it makes today’s market feel, well, pretty darn good.

Let’s start by looking at the Portland Metro area.

  • At this time last year the RMLS was reporting 19.2 months of inventory.  In other words, to sell all of the active listings at the pace that properties were then selling, it would take 19.2 months.  Today that same inventory is just 7.1 months.  Whew!
  • Closed sales from November of 2009 (the most recent report available at the RMLS) are 72.4% greater than they were in November of 2008.  Don’t get too excited about that one.  It’s a reflection of just how horrible sales were in November of 2008 and how great they were comparatively in 2009.  Putting better perspective on it requires doing a 11 month average of January-November for 2008 and then 2009.  When this is done the closed sales are greater in 2009 by 2.6%.  Still, an improvement.
  • November of 2009 compared to November of 2008 has pending sales up by 19.9%
  • November of 2009 compared to November of 2008 has new listings down by 7%
  • We have continued to see a decline in home values of 11.4%, year over year.

Looking at the specifics of Lake Oswego:

  • There are currently 396 single-family homes for sale and 130 condos.  Of the single-family homes, 96 are priced at over $1,000,000 and 54 are priced at $350,000 or less.
  • There are currently 49 single-family homes and 12 condos with pending sales.
  • In the last 12 months 393 single-family homes and 95 condos have sold and closed.  Of those 42 cost $1,000,000 or greater and 93 were priced at $350,000 or less.  In those high-end homes, 7 were priced over $2,000,000.
  • At the pace that $1,000,000 and greater homes are selling, based upon the performance of the last 12 months, there is still 2.2 years of high-end inventory.  And that also means that the less expensive homes ($350,000 or less) has just 7 months of inventory.
  • The average sales price is $419,300.
  • Property values saw a decline of 12.9% in the last 12 months.
  • Average days on the market (length of time between listing a home for sale and accepting an offer) is 163 days.

I just can not leave this subject entirely without doing my compulsive comparison of affordable homes in Lake Oswego versus Sellwood, a neighborhood in SE Porltand.  I like to do this because I used to live in Sellwood, so I think I have a good idea of the area, and because I remain convinced that Lake Oswego is misunderstood by buyers.  Many people assume that Lake Oswego is just too expensive for their budget.  This is, in fact, not true at all.  At this time there are currently 54 houses for sale in Lake Oswego priced at $350,000 or less, whereas in Sellwood there are currently just 27.  Lake Oswego is a good place to find an affordable home.

  • The least expensive home in Lake Oswego is a short-sale property that needs work.  It’s priced at $169,000 and has 1382 square feet with 3 bedrooms and 2 full baths.  It’s on a quiet street near Waluga Junior High School.  Offers have been submitted to the lender for 3rd party approval.
  • The least expensive home in Sellwood is a short-sale property that is being sold “as is”.  It looks to me like it needs some work but is in better condition than the LO property.  It is priced at $209,000 and has 850 square feet (120 of that in the basement) with 2 bedrooms and 1 bath.  It too has received an offer and is waiting for lender 3rd party approval.
  • The most expensive home in Lake Oswego remains the 5.5 acre private island in Oswego Lake that is priced at $19,500,000.  Built in 1929, it has 13,500 square feet with 5 bedrooms and 6 1/2 baths.  There are waterfalls and a lake side pool.  To arrange a showing, buyers must provide verification of funds. Yep, LO has those kinds of houses too.

We will never be able to foresee the future.  We can only look at the present and the recent past to get an idea of what to expect ahead.  My prediction is that the tax incentives for 1st time buyers, and now for repeat buyers as well, will continue to boost sales.  I think people intending to sell who are serious will continue to price their homes at reasonable levels that will attract an offer.  I also think that people have been beat up in the last couple of years and realize that many mistakes were made.  Even if the economy improves, I predict caution from home buyers for many years.  People will shop carefully and make home choices carefully.  I will also tell you that from my perspective, having survived the housing market of 2008, and now the market of 2009, I am really looking forward to 2010.

Linda and I want to wish you a safe, healthy, and happy New Year.

Yours in real estate, Dianne

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Holiday Notes from Lake Oswego

OrangesA very merry Christmas and holiday season to each of you from Dianne and me!

Here are a few notes from Lake Oswego:

Millenium Park Plaza in Final Phase! ~ The improvements include a small grove of Fuji cherry trees, a water feature and an ADA standard ramp to improve accessibility.  Views of Lakewood Bay will be enhanced, and there will be even more room for Lake Oswego’s famed Farmers’ Market and the Lake Run. The park will re-open in May of 2010 in time for Farmers’ Market.

Historic Belluschi House Moves to Marylhurst ~  A home built by noted Portland architect, Pietro Belluschi will stay in Lake Oswego after all.  Many thanks to Marylhurst University, where it will receive a permanent home on campus, and be restored as a lasting reminder of Belluschi’s architectural legacy.  It is truuly a work of mid-century modernist art, and was about to be demolished until Marylhurst came to the rescue.  Fund-raising efforts are now underway to move and restore the house.  Here is a link to a photo in ModernHomesPortland.com:  Belluschi House

Coat Drive ~ Lake Oswego will be collecting coat for Clackamas County Women and Children’s Centers through the month of February.  If you wish to donate, please stop by City Hall at 380 A Avenue, or call 503 635 0257.

Tree 09 bAdult Community Center New Year’s Luncheon ~ Doors open on Wednesday, December 30th at 11:30 for this fabulous feast & opportunity to celebrate with your neighbors.  Suggested donation is $4.00 for those 60 & older, and $5.00 for all other attendees.  The Community Center is located at the intersection of 5th & G Avenues.

Safety ~ The Lake Oswego Fire Department reminds us to consider safety and the safety of those around us as we move through this beautiful holiday season fraught with its own unusual circumstances.   We are not usually stringing lights all over our homes for instance, and do not usually place trees in our living rooms adorned with lights of their own.  The snaps of really cold weather (which broke many pipes in town a week or so ago) add another twist as we haul out our space heaters on those super frosty days.  Here is a link to some safety tips for you and your family:   Safety at Holiday Time

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Seeing the Christmas Lights

christmas shipLet’s face it, December is dark. The sun comes up about 7:30 and sets about 4:30. That’s just 9 hours of daylight. And that’s why Christmas lights are pretty darn important to me. I know they are put up to celebrate religious traditions. But as far as I am concerned they are put up for ME. I love them and need them to get through the month of the year with the shortest daylight. My own turkey barely has a chance to go cold on the counter before I am putting up my own Christmas lights. And I push the boundary on the other end too by leaving them up past Christmas. (Yes, one year I had them up until Valentine’s, but haven’t been that extreme in quite awhile.)

So when Linda and I first designed the propertyblotter, and had to think about what links we wanted permanently attached, the Christmas Ship Parade came immediately to mind. You will see our link to the Christmas Ships year around on our left tool bar. However, I don’t want to just assume that you have used it to see what it is all about. This year I want to point it out and suggest that you load up your car with family and a thermos of hot cocoa and drive over to Foothills Park on December 19th at about 6pm. This is the evening that the parade of lighted ships are scheduled to come as far South as George Rogers Park on the Willamette River. You can view them from George Rogers Park, and also from Roehr Park, but you would probably need to get out of your car. Personally, I love to sit in the car to watch them. Just find some Christmas music on the radio and stay toasty warm. When my children were little, we commonly did this with both of them bathed and in their pajamas.

There are about 20 or so ships that are organized and captained by volunteers. They do a nightly parade of both the Willamette and the Columbia Rivers with the evening parade location changing daily. I think the only time between now and Christmas that they will be as far South as LO is the 19th. If you are willing to drive North, you will be able to find them in other locations on other evenings. For a complete schedule, click here.

And if you want to find what I consider to be the top decorated house light displays, I want to recommend driving down Edenberry Drive in Westlake. The homeowners on the street go all out. It is gorgeous. Many of the side streets are also decorated. So swing through when you get the chance.

Enjoy the season. I know that I do: especially the Christmas lights.

Ho Ho Ho, Dianne

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Holidays+Food=Recipe Secrets Fm Lake Oswego To You

manicotti aOk, so, it’s the holidays, and the Realtors are all running around serving their clients with Christmas trees on their car roofs… well, at least I am! Or was, earlier today. I visited another real estate office and noticed that I’m not the only one juggling real estate business and “extra” holiday activities and errands… and frankly we all are right now. So, I was thinking- What am I going to write about in the Property Blotter this time?  I’ve got to take care of my clients and go shopping for Manicotti ingredients, champagne, Martinelli’s and all manner of other Christmas Party necessities. What will I write about?   Food comes to mind of course.

I confess, I have been overextended into giving away some of my cooking secrets, and other hopefully interesting tidbits for the sake of expediency! What has the world come to? Anyway, here are a few little things I usually do not pass on to people… but for YOU??? Our Property Blotter reader? Here you go:

Manicotti:  I make a killer Manicotti. It’s a well-known fact if I do say so myself, which is due to my dear Grandmother’s guidance and recipe… and which I am NOT giving you (she’d come after me from the afterlife!). So, you’ll have to come up with your own sauce and blend of cheeses, but I WILL tell you the biggest secret of all: ~How To Stuff Manicotti Noodles~ Basically, you stuff them while they’re hard. Using a pastry tube is something I incorporated last year and it worked much better than the “old country” method my Grandmother and I used, which was little by little with teaspoons. You stuff the noodles, line them up in a buttered pan till its filled with one layer, and pour your sauce over them all. Here comes the secret part: You then pour hot water… about 3/4 cup of it, around the edges of the pan, cover tightly with foil and bake according to your directions. The water steams the noodles, and your sauce retains the consistency you intended. Voila! (oops… not an Italian expression)

Hungarian Mushroom Soup:  There is a restaurant in Portland called Old Wives Tales that is famous for this soup. I used to drive all the way there and take home large cartons of it. “Anything else, Miss?” “No. Just the soup please.” One day I experimented till I came up with nearly the same flavor. Sophisticated cooks will balk at this part, but I use 2 large cans of Cream of Mushroom Soup from the store. I then add several cloves of garlic (at least 5) chopped, at least a cube of butter, a 16 oz. carton of sour cream, 3 cartons of fresh sliced mushrooms from the produce section, one can of milk, and several tablespoons of paprika. Ta da! Secret, easy Hungarian Mushroom Soup.

Brussel Sprouts: For this I am going to give you a link to a great local cooking blog. A lot of people like to serve brussel sprouts during the holidays, and I believe there is some kind of superstition having to do with good luck when you eat them on New Year’s Eve. Anyway, this recipe is so good I can hardly describe it. The way you cook them is easy, involves lots of heavy cream and freshly squeezed lemon juice at the end. This method takes some of the “bite” our of them, and ends up sending you back for more till there are no leftovers. It’s that good (if you like brussel sprouts that is… and if you don’t, I’d suggest trying them this way to see if you change your mind). Here’s the link: Creamy Braised Brussel Sprouts

Ok, Addendum- Check.  Closing Coordination- Check. Research- Check. Repair schedule- Check. Update Clients- Check. Documents Emailed- Check… Off to decorate the tree!

Happy Holiday Cooking to each of you.

Very Best,

Linda

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Market Activity Report for Nov. 30th to Dec. 6th, 2009

With just 5 pending sales and 8 closed sales last week, activity seems to be settling into the slower months of winter. However, we still had 20 new listings (not refreshed, truly new). At this time of year, people typically hold off on putting their house up for sale until after the holidays. To list your home now, you have got to be pretty motivated. I am suspicious that some of these homes are in financial trouble. I also know that corporations often move employees during the holidays if they are trying to close out a corporate year that matches the calendar year. Whatever the cause, we are back to more new listings than sales activity.

Here is the latest market activity for Lake Oswego (see below the tables for additional notes):
NEWLY LISTED (Nov. 30—Dec 6, 2009)

ADDRESS
LIST PRICE
TOT. BEDS
TOT. BATHS
TOT. SQ FT
 PROP TYPE
LIST DATE
Address List Price # BR # BTHS Total SF Prop Type List Date
59 GALEN ST $99,000 1 1 550 CONDO 12/2/2009
334 CERVANTES CIR $144,900 2 1 832 CONDO 12/4/2009
75 GALEN ST $159,900 2 2 995 CONDO 12/1/2009
4 TOUCHSTONE $190,000 3 2.1 1,351 CONDO 12/1/2009
287 CERVANTES $195,000 3 1.1 1,144 CONDO 12/4/2009
45 SW EAGLE CREST DR $205,000 3 2 1,348 CONDO 12/2/2009
100 LEONARD ST $264,900 2 2 1,364 CONDO 12/3/2009
16890 CORTEZ CT $324,900 4 3 2,016 DETACHD 12/4/2009
1841 CLOVERLEAF RD 349000 5 3 2,186 DETACHD 12/1/2009
837 OAK ST 380000 3 2 2,816 ATTACHD 11/30/2009
15 CHURCHILL DOWNS 380000 4 2 2,014 ATTACHD 11/30/2009
17942 SAINT CLAIR DR 524900 4 2.1 2,533 DETACHD 12/1/2009
1250 PINE ST 539000 4 2.1 2,856 DETACHD 12/3/2009
339 6TH ST 599900 3 3.1 2,258 ATTACHD 12/1/2009
18081 WESTMINSTER DR 599950 4 2.1 2,713 DETACHD 12/1/2009
15393 DIAMOND HEAD RD 756400 4 2.1 3,192 DETACHD 12/2/2009
1010 HOODVIEW LN 875000 4 3 3,058 DETACHD 11/30/2009
17802 SW Marylcreek DR 887900 3 4 3,825 DETACHD 12/6/2009
18175 PILKINGTON RD 899900 4 3.1 3,164 DETACHD 12/1/2009
444 6TH ST 1095000 4 4.1 4,541 DETACHD 12/1/2009

PENDING SALES (Nov. 30 -Dec 6, 2009)

ADDRESS
LIST PRICE
TOT. BEDS
TOT. BATHS
TOT. SQ FT
 PROP TYPE
DOM
Address List Price # BR # BTHS Total SF Prop Type CDOM
668 MCVEY AVE $143,550 3 1.1 992 CONDO 59
5077 W SUNSET DR $299,900 2 2.1 1,720 ATTACHD 102
4051 VIRGINIA WAY $339,900 3 2.1 1,658 DETACHD 58
2753 VALE CT $402,000 3 3 2,786 DETACHD 31
1575 IVY CT $515,000 4 3 2,432 DETACHD 56

SOLD (Nov. 30-Dec 6, 2009)

ADDRESS ORIG. PRICE SALE PRICE
TOT. BEDS
TOT. BATHS
TOT. SQ FT
 PROP TYPE
DOM
Address O/Price Close Price # BR # BTHS Total SF Prop Type CDOM
4 TOUCHSTONE CT $137,900 $105,000 3 2.1 1,350 CONDO 371
14 POLONIUS ST $300,000 $288,000 4 3 2,754 DETACHD 254
5096 SW TREE ST $334,900 $318,000 3 1.1 1,410 DETACHD 462
1990 WEMBLEY PARK RD $399,900 $390,000 4 3 3,162 DETACHD 27
2981 VALE CT $512,450 $475,500 5 2.1 3,516 DETACHD 436
5382 ROYAL OAKS DR $555,000 $492,500 4 2.1 2,970 DETACHD 194
135 FURNACE ST $709,900 $647,000 2 2.1 1,927 CONDO 97
827 8TH ST $898,000 $835,000 5 3.1 3,852 DETACHD 38

Criteria: Homes in the 97034 and 97035 zip code, listed, pending or sold between the dates listed above as reported by the Regional Multiple Listing Service (RMLS). DETACHD refers to Single Family Detached Residence, MFG refers to manufactured housing, and ATTACHD refers to single-family residences with some portion of the structure attached to another property, but not constituting CONDO ownership. DOM stands for days on market, or the number of days from when the listing became active and when it received an acceptable offer, with CDOM standing for “cumulative days on market” accounting for “refreshed” listings.

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Open Houses for Sunday, December 6, 2009

There are 15 homes being promoted in the RMLS as Open Houses this Sunday.  I will be holding open my condominium listing in Mt. Park:  4447 Golden Lane.  I’ll be there from 1 to 4.  I’d love to have you stop by.

Address List Price # BR # BTHS Total SF Prop Type Open
1950 BONNIEBRAE DR $200,000 2 1.1 1,056 ATTACHD 1 to 3
4447 GOLDEN LN $229,000 2 2.1 1,980 ATTACHD 1 to 4
13821 REGENCY CT $409,000 4 2.1 2,139 DETACHD 1 to 3
106 GREENRIDGE CT $449,000 4 3 3,127 ATTACHD 1 to 4
34 HILLSHIRE DR $565,000 3 2.1 3,822 DETACHD 1 to 3
18209 SIENA DR $1,178,950 5 3.1 3,839 DETACHD 1 to 4
18143 SIENA DR $1,197,000 5 4.1 4,152 DETACHD 1 to 4
18246 BELLA TERRA DR $1,294,000 4 3.1 4,196 DETACHD 1 to 4
17464 RIDGEVIEW LN 1298950 4 3.1 4,407 DETACHD 1 to 3
622 OAK MEADOW DR 1325000 4 3.1 4,171 DETACHD 1 to 3
664 OAK MEADOW DR 1355000 4 3.1 4,198 DETACHD 1 to 3
657 OAK MEADOW DR. 1395000 4 3.1 4,371 DETACHD 1 to 4
17364 RIDGEVIEW CT 1425000 4 3.1 4,436 DETACHD 1 to 3
15825 OSWEGO SHORE CT 1985850 4 3.1 4,317 DETACHD 2 to 4
2572 GLEN EAGLES PL 2395000 5 4.2 6,490 DETACHD 2 to 4
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Changes to the lending environment

stafford rocksBoth in my personal experience, as I see transactions through escrow to closing, and in the continuing education classes I have lately been taking, I am seeing some very strong changes in lending guidelines. These changes are coming from the Federal Government as part of addressing the mortgage crisis that our country has recently endured. I think that it is important, no matter where you fit into the real estate picture, to understand these changes and adapt your expectations and behavior to accommodate them. The days of having a credit score and a pulse to get a mortgage are over. The days of a 30 day escrow are going to be rare, and here is why:

The first big change in lending practices happened June 1 of 2009 with the implementation of MIDA, the Mortgage Improvement Disclosure Act. This Federal law requires that every time a borrower receives a Good Faith Estimate (the paperwork that lays out estimated costs to obtain a mortgage) the borrower must be given a 7-day disclosure period in which to become knowledgeable of the terms of the mortgage and either accept those terms or shop for a better deal. It makes sense. Buyers are faced with a very large and important financial decision. They need to understand what they are doing and approve of the loan product that they will be obtaining. It gives a borrower some breathing room in the process so that they are not pressured into a loan that they will later on regret. Where it gets dicey is if any changes happen to the loan while it’s in escrow. Every time a change occurs that affects the APR by more than 1/8th, a new Good Faith Estimate must be issued and a new 7 day disclosure period must pass. So let’s say that a buyer does not lock their interest rate until just prior to closing and the rate changes. The lender can not allow closing of the sale until that 7-day disclosure period has passed. A more common variable would be if the buyer has a home inspection and chooses to have the seller pay some of his closing costs in lieu of repairs. When the seller pays the buyers closing costs it changes the buyers Good Faith Estimate and a new 7-day disclosure period must pass. This is not going to be a big deal if all parties go into the escrow period understanding how important it is to allow time for disclosure periods and being aware of what can trigger them. I think it is more important than ever to lock in your interest rate early in the escrow period so that you don’t get thrown for a loop at the last minute.

The other changes that are occurring are a result of the Real Estate Settlement Procedures Act, which goes into effect on January 1, 2010.

The Federal Government has now defined what constitutes a pre-approval on a loan application. In the past a buyer would make a loan application prior to making an offer on a house. That buyer could then provide a letter of pre-approval from a lender showing that they are approved as a borrower but subject to finding a house. The Federal Government is now saying that no loan approvals can be given without an address attached to the approval. So a borrower can get pre-qualified for a loan (credit report pulled and debt to income factored to estimate that they can be approved in the future) but they can not get pre-approved.

The next big change is the change to required Federal forms for both the Good Faith Estimates and for final HUD Settlement Statements. I have seen the new Good Faith Estimate forms and I like them. They look more like a worksheet. And they have very clear sections where the lender must put in total sum numbers for “all other settlement charges”. So many lenders call their fees by different names. So a borrower, when comparing loan programs, would have to compare a variety of charges that, because they had different names, were confusing. By requiring a lump sum figure it doesn’t matter the names of the charges or even the quantity. What matters is the bottom line and this new form makes it easy for a borrower to see the sum total and compare sum totals between lenders. Once the Good Faith Estimate is given the lender is required to allow the borrower 10 days to shop other loan programs. The Good Faith Estimate has blank columns that line up next to the estimate given that allows a borrower to write in the fees they find with other lenders. The finished form will clearly show the borrower the various costs for various programs. I think it is an improvement.

Another change is that there is a 3-day disclosure program for the appraisal. This means that the borrower must be given a copy of the completed appraisal at least 3 days prior to closing so that they can look it over and understand it. The days of the appraisal being given to the borrower when they sign the loan papers, or perhaps even having to request that it be mailed to them, are over. Again, I think this is an improvement. Not only do buyers deserve to see the documentation of value, it just seems like professional courtesy to take this extra step.

Finally, there is what is called the 10% Tolerance. At closing the numbers given in the Good Faith Estimate are lined up against the actual settlement charges on the HUD Settlement Statement. If there is a difference in the charges of 10% or greater, the lender must absorb the difference. This can be done by reducing the lender charges at closing or by reimbursing the borrower within 30 days of closing. Seriously, this is a big IMPROVEMENT for borrowers.

All of these changes are going to mean that if there is a mortgage involved, it will take a little longer to close a transaction. Realistically, you should expect escrow to last about 45 days. And as much as the buyer and seller might be willing to close sooner, the process can not be rushed. These are Federal guidelines that preclude the terms of the written contract.

I have got to share one more word of advice. If you are buying a home and you have made an offer that has been accepted, do not purchase ANYTHING using credit. Lenders are now pulling credit reports just prior to funding the loan. If your credit score has changed or your credit card balances have increased, it can kick your new mortgage right back into underwriting. This recently happened to a buyer of one of my listings. Not only did he have to pay off the new credit card charges, but we had to wait an entire week for the lower credit card balances to be reflected on a new credit report from one of the National credit reporting bureaus. It delayed closing on the purchase for 2 weeks. So much for moving in by Thanksgiving……

So be aware, be patient, and be realistic about what to expect. There is a new lending environment, but for the most part it does benefit the borrower. Change can be a good thing.

If you would like a pdf of the Real Estate Settlement Procedures Act, click here.

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Oh, To Be Thankful

ThanksgivingThis week we get to take a  step back from our daily routine… usually we take a few days to kick back & enjoy family, friends, and good food… and at the very minimum, we enjoy a few extra moments or hours to reflect on all we have to be grateful for.

This has been quite a year. I don’t think there are many who have not been affected, or had a loved one affected by the roller coaster ride that has been our economy. Now that things are starting to turn, and we hear “the recession is over”, we may or may not be seeing big changes in our own lives yet, but we can look around, and take stock. Do we have shelter? A roof over our heads, warmth and food? Do we have family? And if so, do we remember to tell them each and every day that we love them? Do we have friends… real friends? If so, do we remember to let them know that they make our lives richer just by being themselves? Do we have a job? & If so, do we think about all the ways that job enriches our lives, providing goods and/or services to others and supporting our family? Do we have beauty in our lives? Do we remember to actually look at those hanging baskets in downtown Lake Oswego, or the beautiful lights and holiday dressing the town takes on this time of year? Do we see the beautiful little things that cross our paths everyday… often escaping our notice? Ok, I’ll stop, but hopefully this gets you thinking a bit. Maybe this year would be the year to start a Gratitude Journal. I have a friend who records everything that happened that day for which he is grateful every night before bed. He swears that it has turned his life around! Maybe this year we might start a new tradition with our children, and have them fill out two lists… one being everything for which they are thankful, and the other being, well, you know… the one that goes to the North Pole (make sure to address it to City Hall/North Pole this year though : )

I am grateful for so many things, and I know I speak for Dianne and I both when I say we are so thankful for our Property Blotter readers & clients. You make it all worthwhile.

I’ll leave you with a few quotes to start your holiday season off just right:

“Stand up, on this Thanksgiving Day, stand upon your feet. Believe in man. Soberly and with clear eyes, believe in your own time and place. There is not, and there never has been a better time, or a better place to live in.” –Phillips Brooks

“Gratitude makes sense of our past, brings peace for today, and creates a vision for tomorrow.”
—Melody Beattie

“A thankful heart is not only the greatest virtue, but the parent of all the other virtues.” –Cicero

“Not what we say about our blessings, but how we use them, is the true measure of our thanksgiving.” –W.T. Purkiser

“Serenely full, the epicure would say, Fate cannot harm me, I have dined today.”
–Sydney Smith

Happy Thanksgiving!