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| Wishing you and Yours a Peaceful, Joyful and Prosperous New Year!
I am looking forward to working with you or someone you refer to me in 2016.
Thank you for your loyalty and continued trust throughout the 38 years I have been a Realtor in Santa Cruz County!
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Thursday, December 31, 2015
Wednesday, December 23, 2015
Happy Holidays!
I hope that this Holiday season finds you and those you love in good company!
The recent rains give us hope that the drought may be over for California. There is nothing so satisfying as watching the hills turn green at this time of year!
If you are thinking about making a move in the coming year, please contact me so that we can discuss your plans. Besides the obvious concerns about staging or preparing your home for the market, there may be tax considerations which could effect your decisions.
For example, I have a client who decided to buy a property by sheltering proceeds from the sale of a rental she owned. She will eventually live in the new home but she can not move in for two years. Her husband will retire in two years. so we sold the income property last summer and she bought the replacement house as an income property. (Yes, it had to be rented through two tax years but she is sheltering the gain of approximately $300,0000- definitely a worthwhile plan!)
Propositions 60 and 58 can enable you to take your property tax base with you. This can have a huge impact on your housing choices for the future. If you buy first and sell later you must buy across or down in price, but if you sell first you have a 5% leeway for a year and 10 % for the second year. This makes timing important for some people.
I look forward to speaking with you soon!
Thursday, December 17, 2015
Big News on the Economic Front! rates are going to rise!
Happy Holidays!
I woke up this morning to check the New York times, and also my email.
Besides the general news, the Times published the article below, citing the Fed's c to raise interest rates for the first time since 2008. We have already seen slight raises ( 1/4% or so) over the past month, in the rates for thirty year mortgages, but this new decision will probably be the beginning of a trend.
http://www.nytimes.com/2015/12/17/business/economy/fed-interest-rates.html?&hp&action=cl ick&pgtype=Homepage&clickSource=story-heading&module=first-column-region®ion=top-news&WT.nav=top-news
In 1982, when my older daughter was born, interest rates rose to 19%. As a result, real estate prices plummeted overnight. ( Some people were not aware that they had done so, but the immediate effect of the drastic rise in rates from12% to 19% was an effective drop in the price of homes by 25% or more.) I was already a top producer, having been in the business since 1978.
Thanks to my father, who had drummed in to my head that "you have to earn 3 times the monthly payment" to afford your mortgage, I quickly figured out that if my listings were to sell, we would have to reduce prices. Fortunately, my seller clients " got it" and we were aggressive in changing prices, so that was a great year for me and my clients. At that time we did not even have a multiple offer form; because my listings were priced so competitively we would receive multiple offers and I would have to type out the language needed to protect the seller from inadvertently selling to more than one party on onion skin paper with black carbon paper underneath it to make copies.
Oh yes, in those days,we had NO fax machines, no computers, no cell phones and no NCR paper. We did everything by hand, and notes and deeds of trust were typed at the title company. ( When interest rates dropped to 12% for fixed rate financing closes were delayed by days, because there was a back up in the secretarial pools typing thn notes and deeds! This is true!
I found a variable rate loan at Bank of America for a client buying a major estate which had a start rate at 12% and a cap of 19%. I wish I had the letter in which I told them that this was the best loan I could find and advised them to take it! ( They did and the house they bought then for $375,000 just sold for $2,000,000. )
So how does this affect you as a buyer or seller? If you are buying and paying cash, it will strengthen your position as you will be competing with people whose borrowing ability may be affected. ( If you would like to contact me, I can show you how a rise in rates affects borrowing capacity). If you are a seller, be aware that unless your property appeals to the type of buyer who doesn't need to care about the cost of money, the price of the home you are selling may go down.
This is the reason that an aggressive marketing campaign that highlights the best features of your home to the most amount of people possible, is important to acheiving the highest possible price. For example, I recently participated in a negotiation for a home in rough condition in a very desirable neighborhood. ( The house needed a new roof, siding, and about $200,000 worth of updating). Offers came in ranging from under asking to $70,000 over asking. The lowest offer involved FHA financing. The seller did not even respond to it. Between the conditions reguired by an appraiser in order for the FHA to make the loan and the risk for qualifying based on interest rates it was clear that the offer that could be cash would be the one to go with. Price mattered, but terms were even more important.
I am off to prepare for my client appreciation dinner. Just a reminder that every year at this time, I host a sit-down dinner at a local restaurant, for everyone who bought, sold or referred a client in the year before! I would be honored to have your referral and hope to invite you next year. In the meantime, please let me know if I can be of any help with your real estate needs.
I woke up this morning to check the New York times, and also my email.
Besides the general news, the Times published the article below, citing the Fed's c to raise interest rates for the first time since 2008. We have already seen slight raises ( 1/4% or so) over the past month, in the rates for thirty year mortgages, but this new decision will probably be the beginning of a trend.
http://www.nytimes.com/2015/12/17/business/economy/fed-interest-rates.html?&hp&action=cl ick&pgtype=Homepage&clickSource=story-heading&module=first-column-region®ion=top-news&WT.nav=top-news
In 1982, when my older daughter was born, interest rates rose to 19%. As a result, real estate prices plummeted overnight. ( Some people were not aware that they had done so, but the immediate effect of the drastic rise in rates from12% to 19% was an effective drop in the price of homes by 25% or more.) I was already a top producer, having been in the business since 1978.
Thanks to my father, who had drummed in to my head that "you have to earn 3 times the monthly payment" to afford your mortgage, I quickly figured out that if my listings were to sell, we would have to reduce prices. Fortunately, my seller clients " got it" and we were aggressive in changing prices, so that was a great year for me and my clients. At that time we did not even have a multiple offer form; because my listings were priced so competitively we would receive multiple offers and I would have to type out the language needed to protect the seller from inadvertently selling to more than one party on onion skin paper with black carbon paper underneath it to make copies.
Oh yes, in those days,we had NO fax machines, no computers, no cell phones and no NCR paper. We did everything by hand, and notes and deeds of trust were typed at the title company. ( When interest rates dropped to 12% for fixed rate financing closes were delayed by days, because there was a back up in the secretarial pools typing thn notes and deeds! This is true!
I found a variable rate loan at Bank of America for a client buying a major estate which had a start rate at 12% and a cap of 19%. I wish I had the letter in which I told them that this was the best loan I could find and advised them to take it! ( They did and the house they bought then for $375,000 just sold for $2,000,000. )
So how does this affect you as a buyer or seller? If you are buying and paying cash, it will strengthen your position as you will be competing with people whose borrowing ability may be affected. ( If you would like to contact me, I can show you how a rise in rates affects borrowing capacity). If you are a seller, be aware that unless your property appeals to the type of buyer who doesn't need to care about the cost of money, the price of the home you are selling may go down.
This is the reason that an aggressive marketing campaign that highlights the best features of your home to the most amount of people possible, is important to acheiving the highest possible price. For example, I recently participated in a negotiation for a home in rough condition in a very desirable neighborhood. ( The house needed a new roof, siding, and about $200,000 worth of updating). Offers came in ranging from under asking to $70,000 over asking. The lowest offer involved FHA financing. The seller did not even respond to it. Between the conditions reguired by an appraiser in order for the FHA to make the loan and the risk for qualifying based on interest rates it was clear that the offer that could be cash would be the one to go with. Price mattered, but terms were even more important.
I am off to prepare for my client appreciation dinner. Just a reminder that every year at this time, I host a sit-down dinner at a local restaurant, for everyone who bought, sold or referred a client in the year before! I would be honored to have your referral and hope to invite you next year. In the meantime, please let me know if I can be of any help with your real estate needs.
Monday, December 7, 2015
Happy Holidays 2015
Happy Hanukkah!
As we move into the darkening time of year, and Christmas and New Year approach, it is good to be surrounded by light. Today we had our Coldwell Banker holiday party, and also the " toys for tots" we had gathered, were picked up to be wrapped and distributed to needy children.
It is wonderful to work in a company where so many care to help in our community.
Our manager, Greg Mann, and his dedicated staff, including Amy Jeske, worked very hard to create an holiday experience for all of us. They provided a caatered lunch, and a fun gift exchange.
What can I say? I am grateful to work in this great company! On December 17 I will host a client appreciation party. I will be inviting everyone who bought or sold a home or referred a friend in 2015. This is a fifteen year tradition; I hope to include you next year! If you know anyone who is thinking of buying or selling a home in the upcoming year. I would be so grateful for the referral and would love to include you in the dinner invitation! See my website www.aninasellssantacruz.com for information about my marketing program and to see referrals.
Saturday, August 22, 2015
Have Suitcase, will sell homes! I am a traveling Saleswoman!
Hello!
I apologize for the long silence!
It has been a busy Spring and Summer. Rather than go back to the past couple of months, during which I have been busy with both buyers and sellers, I want to share that last week I went to New York City, Philadelphia and Washington, DC.
The original trip was planned around a family wedding in Philadelphia. First, I stopped in NYC to visit my mother and my sister Carol Kane. Here is a photo of us at the Maison Kayser on Broadway with the brilliant Eugene Pack, creator of Celebrity Autobiography! Carol was about to go to the Hamptons to do a benefit show with Gene, then start filming the second season of " Unbreakable Kimmy Schmidt". ( If you haven't seen it, do catch it on Netflix. It is hilarious!)
In both NYC and in DC, I have clients who need to sell homes. Through the wonderful network of Coldwell Banker, I found great agents for them! I went to an apartment on Madison Avenue with a colleague, Robby Brown, at the Corcoran Group,to make an initial assessment while I was in NYC. Robby is a top producer and rides every where on his bike! We will be collaborating with a client who wants to sell on the East Side and move to the Upper West Side.
After a spectacular family wedding in Philadelphia, where we saw cousins, uncles and aunts from all over the US,
I took the train down to Washington DC and had dinner at the "Diplomate" restaurant with my dear friends and clients; Karen Cogswell is in the process of buying a home in Santa Cruz, and my other client will be selling in Friendship Heights. I stayed with her and we met with Brad Griffin, a great Coldwell Banker agent, to list her home. Brad has sold homes for other clients before and he does great work.
Brad and I came up with a " punch list" for prepping the house and on my second day, I worked with my client and shopped for materials to help. What an honor that my clients feel such trust and confidence.
Here is a picture of me on the back porch of the Friendship Heights home, enjoying dinner with my friend and her dog!
I apologize for the long silence!
It has been a busy Spring and Summer. Rather than go back to the past couple of months, during which I have been busy with both buyers and sellers, I want to share that last week I went to New York City, Philadelphia and Washington, DC.
The original trip was planned around a family wedding in Philadelphia. First, I stopped in NYC to visit my mother and my sister Carol Kane. Here is a photo of us at the Maison Kayser on Broadway with the brilliant Eugene Pack, creator of Celebrity Autobiography! Carol was about to go to the Hamptons to do a benefit show with Gene, then start filming the second season of " Unbreakable Kimmy Schmidt". ( If you haven't seen it, do catch it on Netflix. It is hilarious!)
After a spectacular family wedding in Philadelphia, where we saw cousins, uncles and aunts from all over the US,
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| Brad Griffin |
Brad and I came up with a " punch list" for prepping the house and on my second day, I worked with my client and shopped for materials to help. What an honor that my clients feel such trust and confidence.
Here is a picture of me on the back porch of the Friendship Heights home, enjoying dinner with my friend and her dog!
Dinner in Friendship Heights
Yesterday, I met with clients in Soquel to prepare their home for the market. Then got on the phone to find a realtor in East Hampton for a client there! I also interviewed a Realtor in the Gold Country!
If you are thinking of selling, anywhere, please contact me. I can help you interview realtors and find the best one for your project. It is wonderful to discover competent, ethical and hard working colleagues all over the world, and I can help you by being your advocate as well.
Have a great Fall!
Monday, January 5, 2015
Getting your house in order in 2015: how to hold Title! Consider the possibilities and creating a Trust.
Hello and Happy New Year.
With extremely low inventory and interest rates still hovering below 4 percent, 2015 will be a great time for both buyers and sellers in the Bay Area Market! Buyers should be aware that prices have appreciated significantly in the past year (over 15%!) and sellers may also rejoice in that fact. Obviously, you can never exactly guess the market; if you could, we would be millionaires. The old premise of " buy low and sell high" is an ideal, but the root of that is " idea"- markets are constantly moving and if you are buying and selling, the whole thing is relative!
That being said, if you do own a home, one thing you may be concerned about is the impact on your heirs of how you hold title. Many people assume, erroneously, that " Joint Tenancy" is the best way to hold title, as it guarantees the right of survivorship. However, for a married couple, they can ensure that by taking title as " Community Property with the right of Survivorship". The tax difference in the two methods can be significant. Other ways of holding property are as " Tenants in Common" or as Trustees of either a "Revocable" or "Irrevocable" Trust. You can also hold property as " Community Property". Please contact me for a printout from a title company for some details about these methods of holding title. ( As the way you hold title can have significant legal and tax ramifications and I am neither an accountant nor an attorney, I must refer you to those professionals to discuss the specific details of your situation. The title company print out is just for your basic information!
If you have significant equity or other assets, the best way to hold title is often as a Trust. Don't worry. No matter how you currently hold title, if you need to change the vesting, you can contact a local title company or even do it yourself at the County Recorders. Usually, a bank won't make a loan to a trust, so most people who get loans do so as individuals and then change the vesting within a couple of days.
Please contact me if you would like recommendations to attorneys who draw Trusts, and by all means, if you might need one, do consider generating one in the early months of the year. I can say from personal experience, having had to settle my father's estate ( he had a will and NOT a trust) the process of probate which is what happens if there is no trust, is expensive, time consuming and stressful.
I promise my next post will be a little less heavy, but for now...... take this to heart and also have a very happy 2015!
With extremely low inventory and interest rates still hovering below 4 percent, 2015 will be a great time for both buyers and sellers in the Bay Area Market! Buyers should be aware that prices have appreciated significantly in the past year (over 15%!) and sellers may also rejoice in that fact. Obviously, you can never exactly guess the market; if you could, we would be millionaires. The old premise of " buy low and sell high" is an ideal, but the root of that is " idea"- markets are constantly moving and if you are buying and selling, the whole thing is relative!
That being said, if you do own a home, one thing you may be concerned about is the impact on your heirs of how you hold title. Many people assume, erroneously, that " Joint Tenancy" is the best way to hold title, as it guarantees the right of survivorship. However, for a married couple, they can ensure that by taking title as " Community Property with the right of Survivorship". The tax difference in the two methods can be significant. Other ways of holding property are as " Tenants in Common" or as Trustees of either a "Revocable" or "Irrevocable" Trust. You can also hold property as " Community Property". Please contact me for a printout from a title company for some details about these methods of holding title. ( As the way you hold title can have significant legal and tax ramifications and I am neither an accountant nor an attorney, I must refer you to those professionals to discuss the specific details of your situation. The title company print out is just for your basic information!
If you have significant equity or other assets, the best way to hold title is often as a Trust. Don't worry. No matter how you currently hold title, if you need to change the vesting, you can contact a local title company or even do it yourself at the County Recorders. Usually, a bank won't make a loan to a trust, so most people who get loans do so as individuals and then change the vesting within a couple of days.
Please contact me if you would like recommendations to attorneys who draw Trusts, and by all means, if you might need one, do consider generating one in the early months of the year. I can say from personal experience, having had to settle my father's estate ( he had a will and NOT a trust) the process of probate which is what happens if there is no trust, is expensive, time consuming and stressful.
I promise my next post will be a little less heavy, but for now...... take this to heart and also have a very happy 2015!
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