The California Association of Realtors’ pending home sales index shows that the number of new deals going into escrow decreased 11% from March and was down 19.2% from April of last year.

After a furious rebound last year – juiced by state and federal tax incentives – market strength sagged this year just as the spring homebuying season began. Other recent indicators of market weakness include …

• Aliso Viejo broker Steve Thomas reported that pending deals in Orange County in April were down 5% from March and were down 15.6% from a year ago.
• The National Association of Realtors reported Thursday that completed existing-home sales dropped 0.8% last month from March levels and were 12.9% below the April 2010 sales pace.
• DataQuick Information Systems reported last week that Orange County closed home sales fell 5% from March and were down 6.9% from year-ago levels. In Southern California as a whole, home sales fell to a three-year low for an April. The region’s sales fell 5.5% from March and were down 9.2% from a year ago.
• The U.S. Commerce Department reported Tuesday that housing starts dropped 10.6% from March’s starts. Compared to April last year, residential construction was down 23.9 percent, the largest decline since October 2009.

• posted by C.A.R.  Lansner on Real Estate 

JOE MURIN - FORMER PRESIDENT OF GINNIE MAE

http://www.realecontv.com/videos/real-estate/foreclosures-accelerating-.html

The monthly housing costs ( principle, interest, taxes and insurance or PITI) associated with buying a median-priced home of $301,430 is $1,590. This assumes the buyer is making a 20% downpayment and financing wiht a 30-year fixed rate mortgage at 4.62 %. In comparison, the median rent on a 3-bedroom, 2 bath apartment with renter's insurance is $1,810. That means buying a home would save the homeowner $220 per month when compared to renting and the homeowner would save ocer $2,600 a year.

The mortgage rate is a significant factor in determining just how much a homebuyer can afford. Today's low mortgage rate environment tips the scale for some- in favor of buying versus renting. For a $400,000 home with a 20% downpayment and a 4% mortgage rate, the monthly PITI will be $1990 and a 5% interest rate the PITI jumps to $2,180... 

When you're thinking of buying... Call us 

The Gold Team   818-515-2006

But a Foreclosure freeze is still widening. 

The Federal Housing Administration has begun review of mortgage servicers in its program to ensure they are fully compliant with the law, and lenders are reviewing their foreclosure policies.

GMAC mortgage said tuesday that it has hired legal and accounting firms to conduct independent reviews of foreclosure procedures in every state.

JP Morgan Chase said it's expanding it's review of foreclosure paperwork to include states that don't require court approval to foreclose.

Wells Fargo and Bank of America is suspending foreclosure evictions in all 50 states.

The actions follow revelations that foreclosure documents have been signed by officials who never reviewed or verified the information. Banks say the problems with foreclosure documents are technical, and homeowners in default will still be foreclosed upon.

Lawyers representing Homeowners say filing flawed foreclosure documents with the court is fraud and homeowners who've been foreclosed upon could later assert that they still have property claims on the homes.

Housing and Urban Development Secretary Shaun Donovan said investigations into flawed paperwork were initiated as soon as concerns came into light.

Call for a nationwide moratorium on foreclosures have come from Governors, Secretaries of state and members of congress. Delays in foreclosures will be costly to banks; Freddie Mac could charge servicers for costs and fees related to a delay in foreclosure. Servicers could also lose Freddie's business if they were fradulently carrying out foreclosures. 

Attorney General from about 40 states are expected today to announce a hoint investigation into banks and flawed documents used in the foreclosure process.

Reach Communications / Reuters - Tim Dobbyn

Did you know that Valley Region High School #4 (VRHS#4), on the site of the former Granada Hills Community Hospital and set to open next August, could be operated by Granada Hills Charter High School (GHCHS) and that the community has a choice?

Did you know that GHCHS, the top comprehensive public high school in Los Angeles and one of the best in the state, has the opportunity to run VRHS #4 (on Balboa Blvd at San Jose Street) as a separate independent charter school?

GHCHS plans to share its best instructional and fiscal practices in a smaller, 1200 student body, grades 9-12 setting.   As a separate charter school managed by GHCHS, VRHS#4 will

• hire its own high quality staff in a competitive setting;
• be governed by local parents, community members and employees;
• serve all student populations including students with special needs and English learners; and,
• offer a rigorous, college-prep curriculum along with cutting edge, industry-driven career strands. 

The LAUSD Board of Education will decide in January who gets to operate this school. This is our community’s opportunity to better serve all students, improve local property values, and reform public education in Los Angeles one school at a time. 

Here’s what you can do to support the GHCHS application to run Valley Region High School #4:

• Let everyone know the community has a choice by spreading the word;

• Visit the GHCHS website (http://www.ghchs.com)  to sign the petition, give us your contact information, take the community input survey, and support our Facebook page 

• Contact the LAUSD Superintendent, at (213) 241-7000 or ramon.cortines@lausd.net, LAUSD Board Member at (213) 241-6386 or tamar.galatzan@lausd.net, and the rest of the LAUSD Board of Education

Do your part! Get involved in improving the future of our community by supporting GHCHS. 

Special Olympics is looking for coaches for the following fall/ winter sports: bowling, soccer, softball and Tennis.

The sport season runs August thru December. Special Olympics Tri-valley is a non-profit organization which provides sports and training programs for those with intellectual disabilities at no cost to the athlete or their families.

If you are interested in becoming a coach, volunteer or making a tax deductible donation - Please e-mail trivalley@sosc.org  or

call the office at 818-342-0017

For the record Greig Smith voted against the bill stating....

"I continue to oppose the City of Los Angeles Expending time and resources on a law passed in another State, especially at a time when we must focus our efforts on the City's fiscal crisis."

I have a very difficult time myself trying to understand why this would even be an issue in Los Angeles - when we are in financial turmoil and really should be focusing on our own issues.  

Teri Goldbaum

Pressure is mounting on loan servicers and investors to reduce troubled homeowners' loan balances... but the two largest owners of mortgages aren't getting the message. 

Looking for a loan modification - hoping to reduce your principle?  Not if your loan is a Freddie or Fannie Mae. 

But their stance is out of line with the Obama administration - which is seeking to expand the use of principle writedowns. 

Fannie Mae and Freddie Mac are controlled by the federal government, do not lower the principle, instead they are opting for interest rate reductions and term extensions when modifying loans.

Housing experts, however say it's time for Fannie and Freddie to start reducing principle. The treasury have already set aside $75 billion for foreclosure prevention, which can be spent on interest-rate reductions or principle write downs. 

Meanwhile, a growing number of loans backed by Fannie and Freddie are falling into default, so advocates argue, lowering loan balances now can actually save the companies and taxpayers money later! 

For more information on this:  click here

If you're not already aware of Granada Hills Charter High School - Let me give you a brief summary. GHCHS started as a charter school in 2003. It is currently accredited by The Western Association of Schools and Colleges and has an API  (Academic Performance Index) of 843.  It has outperformed most of LAUSD schools and many Private schools. It is a high performing school in academics and athletics which is why it is highly sought after by many families in and out of the district.  

GHCHS is currently seeking to run the "Valley High School #4" - that is the building LAUSD has built on Balboa Blvd between Chatsworth and San Fernando Mission Blvd.  

Last month LAUSD voted to award certin new and existing underperforming LAUSD campuses to both LAUSD and non-LAUSD organizations beginning in the 2010-11 school year through the public choice resolution. Because many Charter operators with strong credentials and records were not selected in this first round - The board action was viewed as a set-back to school reform in many circles.  Please see links below of some press articles. 

As a resident of Granada Hills and a parent who has several children now and previously attending GHCHS, I am supporting their efforts to gain this facility to further strong education in Granada Hills.   

My understanding is that LAUSD high school drop out rate is about 30% and while their student enrollment is declining their budget ballooned, among other things...

GHCHS is looking at this facility to possibly have a 9th Grade academy and increase the attendance district - I see this as a great advancement for Granada Hills and our children. 

Here are a few articles regarding Recent decision by LAUSD

LA Times Article - Click here

Daily News Article -  Click Here

To find out what you can do to support GHCHS - you can contact the school directly at:  818-360-2361

To take advantage of both tax credits, a first time home buyer must enter into a purchase contract for a principle residence before May 1st, 2010 and close escrow between May 1st, 2010 and June 30th, 2010. inclusive Buyers who are not first-time homebuyers may use the same timeframes to receive up to $16,500 in combined tax credits if they are long-time residents of their existing homes as permitted under federal law, and they purchase properties that have never been previously occupied as provided by California Law.

( according to the California Association of Realtors)

Under the federal law slated to soon to expire, a first time homebuyer may receive up to $8,000 in tax credits, and a long-time resident may receive up to $6,500 for certain purchase contracts entered into by April 30th that close escrow by Jun 30th, 2010. Additionally, under a newly enacted California law, a homebuyer may receive up to $10,000 in tax credits as a first-time homebuyer or buyer of a property that has never been occupied. The new california law applies to certain purchases that close escrow on or after May 1st, 2010 ( see Cal. Rev & Tax Code section 17059.1(a)(4). California law generally allows buyers of never-occupied properties to reserve their credits before closing escrow.

(see Cal. Rev & Tax Code Section 17059.1(c)(1)(A)

Other terms and conditions apply to both tax credits.

Here's some exciting news...

California Lawmakers have voted to extend a $10,000 tax credit for first-time homebuyers.

The credit will apply to first time buyers who purchase new or existing homes between May 1st and Dec 31st of this year.  ( the current buyer's tax credit ends 4/30/10)  

It is for 5% of the purchase price, or up to $10,000.

The bill received bipartisan support in the Assembly and Semate on Monday and will be sent to Gov. Schwarzenegger, who stopped in Salinas last monday to discuss extending the home buyer's tax credit.  Gov. said " We need to inspire people to buy home, the tax credit does that"

This should help the struggling housing market to stabilize and stem the downward slide of property values.

For more information you can go to :

http://www.kcra.com/money/22914818/detail.html  

WHAT IS A SHORT SALE OF A PROPERTY?

A homeowner is "short" when the amount owed on his/her property is higher than the current market value.

A homeowner pays NO fees or commissions to do a short sale.

A Real Estate Agent preferably one who is certified as a Short Sale Specialist - lists your home for sale at market value and negotiates on behalf on the homeowner with the lender to accept the difference. The Real Estate agent handles all phone calls and interventions with the lender.

The lender/bank pays all fees and commissions associated with the sale of the property and the homeowner walks away with zero proceeds. 

A short sale has far less consequences on your credit rating and future purchasing of a home than a foreclosure. 

The New HAFA program is promising homeowners $1,500 towards moving expenses if a short sale is completed. In addition to a lender receiving a bonus for accepting a short sale. 

We are certified Short Sale Specialists - Please call us today to discuss your options.

Teri & Steve Goldbaum         818-515-2006

FREE SEMINAR ON BUYING REO'S - INVITE YOUR FRIENDS, REALTORS, LENDER...

This forum will focus on: 

!   How to best structure offers for consideration. 

!   Identifying the deal makers and deal breakers involved with every offer. 

!  Reviewing the state of the REO market. 

Hear from Prospect’s REO expert, SVP of Financing Ivan Choi and a panel of our top REO Listing Agents - Steve Goldbaum of The Gold Team will be one of the speakers for the agent / panel.

who will speak to BUYERS about the secrets of the deal.  Our speakers will teach you how to navigate the REO 

process and buy an REO property!  

Saturday, March 20 

8:00am – 9:30am 

9:30am - 11:00am 

Airtel Plaza Hotel     

7277 Valjean Avenue 

Van Nuys, California  91406 

(818) 997-7676   

Self-parking available 

Contact Delmis Flores at (818) 742-3200 ext. 4857 

check out the following links:

"Flaws Plague Foreclosure Relief Program" 

National Consumer Law Center - servicer report

         Why should you buy a home now?            

• US mortgage rates averaged 5.04% in 2009, an all-time low since

•  Freddie Mac started tracking in 1971

• The $8,000 tax credit goes away on April 30th

• Affordability of homes was 4th highest in US on record.

• Good Inventory for Los Angeles area

• Call The Gold Team today to help your find your dream home

www.thinkbigworksmall.com/mypage/player/tbws/23088/1459883

Did you know that a foreclosure is much worse than a short sale on your credit report?

Did you know that the seller pays no fees or commissions on a short sale? 

Did you also know that it is illegal to charge a fee for a loan modification unless they have a license to do so and is on record with the Department of Real Estate?  

Steve and I have created FREE reports to educate you and help you get the right information.

You can visit our website at:  www.preforeclosurehelp.org

and you can have these FREE reports:

"Your first steps to Avoid Foreclosure"      

"Truth about mortgage modification"

"Short sales explained"