Author: Pam Buda

Wine Country and Roses

I am embarrassed about my infrequent posts as of late. I have been on the run, working with buyers and sellers of Sonoma County real estate. Out of town buyers are out in force, looking for that special retreat property, horse property or wine country second home, from Sebastopol to Healdsburg, Santa Rosa to Guerneville. In the last year I have worked with buyers from San Francisco, Berkeley, Marin County, Provence, St. Louis, New York, Las Vegas, Seoul, Los Angeles, Burlingame, Palo Alto and San Jose, all in one stage or other of the Sonoma County home buying or home owning process. Meanwhile, gardens are in peak bloom, the grapevines have leafed out. My neighbor's pinot has set fruit I noticed today. The ROSES are in full force. Everywhere you go, from country lanes to in town, there is a riot of roses. I'll leave you with a few pictures until my next post. [caption id="" align="alignnone" width="450" caption="Looking through a red rose and Russian River Zinfandel to a horse pasture beyond"][/caption] [caption id="attachment_931" align="alignnone" width="450" caption="A view of a Sonoma County horse pasture and vineyard through climbing rose New Dawn"][/caption] [caption id="attachment_932" align="alignnone" width="337" caption="A riot of roses climb the fences along a Sonoma County Driveway"][/caption]...

Distressed Properties Continue to Account for Vast Majority of Sonoma County Home Sales

The first quarter home sales figures are now available and we will take a more in-depth at them later this week, but I thought I would point out this article in today's Press Democrat newspaper, which reported the latest home sales figures as presented at the Santa Rosa Realtor's breakfast this morning by Rick Laws of Coldwell Banker. Rick uses data from the Bay Area Real Estate Information Services Multiple Listings, which is the same source I use for the reports I produce every month. (NOTE: Until this data was available to me, Rick kindly shared it with me every months when he was my broker at Coldwell Banker. We like to geek out on this data in an attempt to understand market trends ahead of the curve. Thanks Rick!) Rick took a look at the percentage of distressed property (euphemistically called "bank-influenced") sales, which refer to short sales and REO's or foreclosed properties. The data show at price ranges up to $1 Million, that the percentage that distressed properties make in the market is still very high, but declining as compared to the market bottom of Q1 2009. That is probably because buyers are coming out of the woodwork at the mid and upper ranges, and also because "normal" sellers (that is how agents refer to them in MLS comments!) have probably realized that now is as good a time as any to sell, that prices may have stabilized and we are not likely to see significant appreciation for some time. Also, they may realize it is good to sell when rates are down and buyer tax credits are in place. Inventory continues to be VERY tight and sales are up significantly. It is also interesting to note that distressed sales now make up 17% of sales above $ 1 million dollars, where as there were no distressed sales at that price range a year ago. There were also very few sales over a million a year ago! Stay tuned for more later this week and feel free to call me or email with your questions or comments. Bank "Influenced" Sales as a Percentage of Total Sales Condominiums ...

U.S. Home Sales Rose Sharply in February

Last month I posted the startlingly high "PENDING SALES" figure for the short, rainy month of February, in which the highest number of pending sales was recorded for the last two years. Today the national press reported that nationwide, pending sales rose sharply throughout the US. The interpretation is that the soon to expire Federal Tax Credit of $8,000 for first-time and $6,500 for existing home owner tax credits were promoting the increased buyer activity. Interestingly, the article reported that strong sales in the Midwest lead the charge, and that sales have declined in the Western States. As yet further proof that all real estate news is local, the numbers of pending Sonoma County home sales bucked the Western states trend. (Wait till you see the March numbers, coming soon!) ...

Important Changes in Lending and Tax Credits-Home Buyers Take Note!

(NOTE: Today I welcome Otilia Sullivan of Princeton Capital, as a first time contributor to Wine Country and Horses. Otilia has provided sage mortgage advice to many of my clients and I trust her ability to find the right mortgage for my clients in a timely manner. She is extremely knowledgeable about the mortgage markets and what it takes to qualify for a home, or to refinance. Since there are so many changes on nearly a daily basis, please don't hesitate to contact us with any questions you might have.) Welcome Otilia! Don't forget that the end of the federal home buyer tax credit is in sight. This credit provides $8,000 to first time home buyers. First time buyers are defined as those who have not owned a home in the previous 3 years, so the government's definition might be different than yours. The credit also provides $6,500 to current home owners. We have heard nothing about any extensions. Borrowers need to be in contract by April 30 and close by June 30. Click here to find the details of the federal tax credit, or ask your CPA if you qualify. Also the Federal Housing Administration, or FHA upfront Mortgage Insurance Premium (MIP) is increasing from 1.75% to 2.25% with case numbers issued after April 5. Many first time buyers in the North Bay are using FHA loans since the credit restrictions are not so steep, and the down payment can be as low as 3.5%. So if your loan is $200,000.00, your MIP would have been $3,500.00 last through April 5th. From today on it will change to $4,500.00. This is not an out of pocket cost. It is rolled into the loan payments, but nonetheless it is an expense of the loan. There is a lot of talk about how people can take advantage of the newly revised $10,000 California State Homebuyer Tax Credit. We will discuss the pros and cons in our next post! If you can't wait till then, here is a link to the California State Franchise Tax Board's latest memo on the revised credits....

If You Lived Here You'd Be Home by Now–Scenes from Barrel Tasting Weekend

Today's rain should clear up and bring sunny skies and warmer temperatures for the second weekend of this year's Barrel Tasting Event sponsored by WineRoad, a group of northern Sonoma County wineries from the Russian River, Dry Creek and Alexander Valley appellations. If you are like me, perhaps your first exposure to the Sonoma wine country and our gorgeous back roads came from visiting friends during tasting events such as this. After many repeat visits, you begin to think, after a long weekend of wine tasting, gee, if I lived here, I'd be home by now....

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