1314 Ward Place Escondido, CA 92026

5 Bedroom, 4 Bath, and approx. 3,309 square feet

For pricing and more information contact The Lund Team:

REO@lundteam.com or call (760) 438-0800

Awesome investment opportunity for an investor or anyone looking to purchase a steady income property:

1. 11.8% monthly return for cash buyers
2. Approximately $500 – $700 per month cash flow for credit buyer with 30% down

About the community: Private gated community, separate residence club house,  junior sized Olympic pool, spa, and four tennis courts. From golf villas to turnkey custom homes, luxury and elegance carry the day at The Crosby. Inspired by the legendary Rancho Santa Fe architecture of Lillian Rice, residential designs at The Crosby embrace the casual elegance so long associated with the region.

17028 Blue Shadows Lane

2 Bedroom + 1 Optional Room, 3.5 Bath, and approx. 3,034 Sq. Ft.

Home site on golf course, Mediterranean / Santa Barbara style architecture, large rear yard, landscaped front and rear, spa, and interior courtyard.

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16908 Simple Melody Lane

4 Bedroom, 4 Bath, and approx. 3,121 Sq. Ft.

Detached villa, former model home, travertine and wood flooring , gourmet kitchen with upgraded appliances, executive style master suite, panoramic views, and much more.

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Contact the Lund Team for more information and pricing

REO@lundteam.com or call (760) 438-0800

However, if you have been looking then you know finding and securing a property can be extremely frustrating. Not only is inventory low in North County, but many sellers are turning down higher FHA offers and accepting inferior all cash or conventional financing offers.

Also, FHA financing requires the property to be in good condition. This rules out foreclosures that have been stripped or properties with any missing appliances. Investors are also purchasing low priced homes in poor condition and then fixing them up and putting them back on the market. This is commonly known as “flipping” a property.

These properties are also not options for FHA buyers because FHA financing requires that the property not have transferred ownership within the last 90 days. This is known as the FHA anti-90 day flip rule. All these factors combined make for a frustrating first time home buyer market.

Buyers stick with it because there is light at the end of the tunnel if you have an experienced agent who is on top of the new inventory.

Above is a picture of my very happy clients. They spent 6 months looking for their perfect first home. They had made two previous offers on other properties, but lost out to competing all cash offers. In their search they learned a lot about the different areas they were interested in and decided that for a little bit more money a month they could get a lot more house. It was a learning process and in the end they secured a wonderful detached home in Shadowridge, Vista. They couldn’t be more excited with the end result and the night after escrow closed they got engaged in their new home!

So, if you are a first time home buyer experiencing some heart ache, don’t give up! As long as you have good representation and a little patience you too will find your home sweet home in time to take advantage of the tax credit and today’s great financing opportunities.

Built by John Laing Homes (known for quality product)  in 2003. this is a neighborhood to keep on your 2010 radar.

Market update:
2009 – average sales price for last 6 months Dec – July = $710,000 at $302 per sq. ft.

2005 – average sales price for Dec – July = $925,000 at $382 per sq. ft.

(10) NOD, Bank Owned, Preforclosures notices currently on tax records. – Be on the lookout for more in 2010…

I used numbers based on same time period of the year to illustrate the value one can now find at the beach. Over $200,000 off the selling price just a few years ago. With no new additional land being added at the coast please consider this as a wonderful place to live and invest.

**Water’s End deal of 2009 – Over 2,300 sq. ft. sold at $660,000 (cash sale) in September – Bank Owned! **

The Lund Team has represented buyers, sellers, builder (John Laing Homes) and currently owns an investment home in Water’s End.   Please consider us for any of your buying or selling needs.

Contact Contact@LundTeam.com or call 760.438.0800.

Water's End by Lund Team

Today’s Morning Email from our Short-Sale Specialist:  Note – the homes lost to auction were not Lund Team clients.

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Date: Sun, Dec 20, 2009 at 9:12 PM
Subject: 911-Regarding Sale Dates

Hi Team,
 
I want to give you a heads up.  The banks are making it more and more difficult to postpone sale dates. We just lost 2 listings to foreclosure this week and we had an all cash buyers for both who could have closed prior to the sale date if the bank would have just issued an approval.  In the last two years I have only lost 5 files to foreclosure…2 were this week.  There is a huge shift in the industry right now.  Foreclosure postponements and approval extensions will be harder and harder to obtain.
 
I was also just on the phone with a rep at Bank of America who stated that Fannie Mae was no allowing for the postponement of most of there sale dates. She also stated not to quote her, but she saw a memo that Fannie Mae would not be postponing any sale dates!
 
This is HUGE! We will do everything we can to keep pushing the files along, however in the mean time, please make sure the sellers are on board and send in any paperwork the bank asks for with in 24 hours. We are at there mercy to have sale dates postponed and approvals issued. ”

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Postponements have helped the success-rate of short-sales, as getting a buyer to stick with the property for 90 days is difficult.  If the buyer drops out of the escrow close to the auction date, we are able to postpone the auction and get a new buyer to commit.   With the new changes, the approval will take crackerjack timing to get approval and close escrow before the home goes to auction.  

I can almost hear the Mission Impossible theme song right now. 

We will discuss the impact and further details in follow-up posts. 

Tyson Lund

This may affect the condition of the house at close of escrow. With a traditional sale (not a short sale or foreclosure) you can expect a house to be in the same condition it was in when you wrote your offer. With a short sale, however, you have to be prepared that the home will be in much worse condition. Per the purchase contract everything that is attached to the property conveys in the sale including window coverings, ceiling fans, fixtures, built in speakers, etc. These items are not guaranteed to be left by the seller when purchasing a short sale. 

Also, the seller may turn off all utilities to the property prior to closing. As a result the landscape may be dead and you may be required to turn on utilities in your name to complete the required appraisal for your loan.

In the end most short sales can be bought at a great price, but be prepared to do some work before it becomes the original house you fell in love with months before.

Buyer: So I’m seeing a new home (detached and attached) which would qualify condition wise, complex approved for FHA sales and so on. Why is the listing agent saying no FHA offers for at least 90 days?

Check out the Housing and Urban Development site for all the details.

But basically it’s likely a “flipper” or investor purchased home on the “court steps” at a deep, “cash-only” discount… then cleaned up and re-listed the property. FHA will not provide a loan on this home until it has been owned for at least 90 days. Conventional, VA and other loans don’t have this requirement. But it sure makes it very difficult for the large FHA buyer pool to purchase these homes.

** FHA buyer suggestions: When limited to the FHA loan and wanting to purchase a home… Search market time in the MLS in the 30-60+ days and/or cross reference with the recorded sale date in tax records. Keep in mind an escrow can take 30-60 days. So if you work a deal before you’ll want to work with the lender/agent while under-contract so they hold off on appraisal or paperwork submittal to FHA till after the 90 day time. Large initial 3% (based on sale price) deposits will help the seller feel comfortable about a longer escrow and may give you the opportunity to beat out another offer **

These “flipper” or “court steps sales” are dominating the resale market currently. Look for additional updates shortly on additional steps, concerns, and valuations of these homes.

For additional information contact reo@lundteam.com or call 760.438.0800. Thanks.

The idea is to encourage negotiations between a buyer looking at the bottom end price and a seller hoping to negotiate to the higher end. In 2005, value range pricing was the preferred way to price a home in San Diego County with over 50% of the properties utilizing a range.    It was common to have multiple bidders bid over the “top end” of the value range. 

The current real estate market is remarkably different than 2004 and 2005.  Buyer’s are bargain hunting and look to the low part of the value range and negotiate down.  And the Seller risks overpricing the top of the range and alienating buyers from the offset.  

But range pricing began in a similar down market in 1995.  It proved effective in increasing the number of property showings.  What was found is that with more people walking through a property, even if it was only to “bottom fish” the low price, it increased the opportunity for an emotional attachment to occur and an offer to commensurate. 

The argument for range pricing is the subjective value element of residential real estate.  What is a ”big” backyard? And is it a headache or blessing for it’s owners.  The most common requirment for buyers over the past 24+ months has been:  What are the “comps” and is it less than what someone else paid. 

With the current shortage of property in the under $800,000 market, today’s buyers are not always finding what they want in their initially conservative price range.  Homeowners have the opportunity to push conservative buyers to come physically view a home that they may have disregarded. 

And fall in love and write an offer.

A Plan 2 closed for $420,000 last month! As a resident of Mystic Point, I am happy to see prices on the upward move. I have served on the HOA board since 2005 (initially Treasurer, then President, now Vice President). I am optimistic prices will continue to climb into 2010. Where else in Carlsbad can you purchase newer construction under $500k with excellent schools, central location, etc?

Mystic Point is a solid investment.