Rancho Cucamonga, CA

Rancho Cucamonga - Alta Loma zip code 91737 single-family home inventory showed continued signs of price stability in January 2010 with sales remaining consistent month-over-month and up compared to January 2009.

January 2010 Summary Results:

• Sold prices ranged from a low of $340,000 to a high of $932,500
• Price per square foot ranged from a low of $154.50 to a high of $231.36
• Days on market ranged from a low of 8 days to a high of 142 days
• Sale-price to list-price ratio ranged from a low of 0.93 to a high of 1.08
• Total sales were 13 single-family homes

Average selling price in January 2010 was $543,269. The lowest priced sale was located at 6105 Sherry Court which sold at $340,000 vs. the listed price of $349,000 and was a standard sale listed by a Los Angeles based broker. The buyer financed using a conventional loan. The highest priced sale was located at 9629 Norbrook Drive listed by a Rancho Cucamonga based agent which sold for $932,500, well above the asking price of $862,000. The listing office also represented the buyer who financed the transaction with a conventional loan for this bank owned home.

Average price per square foot was down from December's $195.51 per square foot to January's $187.84 per square foot. Year-over-year results are also down with average price-per-foot decreasing from 2009's $192.19. The decrease in average-per-square-foot is primarily due to the mix of homes currently selling as overall average price increased significantly from $441,021 in December 2009 to January's $543,269. The average selling price is slightly down fron the year-ago average price of $554.363. The lowest price-per-foot sold home was a bank owned property at 5786 Beryl Street which languished on the market before finally selling for $650,000 which was a discount of $50,000 from listed price. The highest priced per square foot sale was a short sale at 11748 Mount Gunnison which at 1556 square feet was the smallest home sold in January 2010. It sold for $10,000 above asking price to an FHA financed buyer.

Average days on market was 49 days but a deeper look into the data is required to understand what is actually happening as short-sale listings distort the data and bank-owned REOs continue to sell quickly. Here is the break-down of days on market when looking at sale type:

• REO Listings: 26 days on market
• Standard Listings (investor owned): 32 days on market
• Standard Listings (investor & other): 59 days on market
• Standard Listings (not investor owned): 72 days on market
• Short-Sale Listings: 80 days on market

Average sale-price to list-price ratio was 1.01 which reflects the competitive nature of all listings in Rancho Cucamonga & Alta Loma. Bank owned properties are continuing to generate overall overbidding:

• REO Listings: 1.01 sale-price to list-price ratio (range 0.93 to 1.08)
• Standard Listings: 1.00 sale-price to list-price ratio (range 0.97 to 1.02)
• Short-Sale Listings: 1.02 sale-price to list-price ratio (range 1.02 to 1.03)

Total sales of single-family homes in January 2010 were 13 homes versus 14 homes in December 2009 and 8 home sales in January 2009. Of the 13 homes sold in January 2010, 2 were short-sale, 5 were REO, 2 investor-owned standard sales and leaving 4 homes sold as standard listings.

In this time of fast information and in some cases fast "mis"information I have provided below a few links contain information on loan modifications.

These sites DO NOT charge anything and are a valuable source of information.

www.fanniemae.com

www.freddiemac.com

www.makinghomeaffordable.gov

https://www.hmpadmin.com/portal/index.html

If after reviewing the provided information you still have questions regarding your pre-foreclosure options, please do not hesitate to contact me today!

Regards,

Jason

In recent news Foreclosure is all the buzz. Not only in the news, but also with our community, neighbors, and for some even in our own homes. Having dealt with a personal foreclosure myself I can attest to the huge range of emotions one feels when faced with a foreclosure. Emotions range from confusion, anger, frustration all the way to desperation. Bottom line is that there is no way of look at a foreclosure without a creating a negative emotion.

To the bank your home is an asset, a commodity, a line item at the end of a balance sheet. To you your home is just that YOUR HOME! In some cases in is the accumulation of your hopes, dreams, and your most trusted place of comfort. However, for millions of Americans, this most trusted place of comfort has become an anchor of discomfort and stress.

This whole situation has gone far beyond those who simply purchased more than they could afford. Variables such as unemployment as well as a rising cost of living are just a couple factors contributing to an astonishing about of foreclosures.

It seems like everywhere (inside the real estate community as well as out in the general public the topic of discussion is whether walking away from your mortgage makes sense.

Below is an interesting article from US News & World Report:

http://www.usnews.com/money/personal-finance/real-estate/articles/2010/01/19/strategic-defaults-and-the-foreclosure-crisis.html

At the center of this debate is no only the moral, social, and credit impact of a foreclosure, but also what makes the most long term financial sense and benefit to the homeowner. Loan Modifications have/had made their appearance and simply did not work! Banks are now in the process of creating a streamline the short sale process.

The financial thought process of the lenders is that if home owners are going to default, it may be of a benefit to economy as a whole if they default with a strategy. This involves a COOPERATIVE effort between the homeowner and the lender to create a plan via a short sale that limits loss, vandalism, lender recourse and long term negative credit reporting.

The options to foreclosure are confusing, ever changing, and in some cases a long process. Government legislation and lender participation are aimed at facilitating the process of foreclosure avoidance. If you would like a no pressure compassionate consultation as to your available options, please contact me today.

Currently there is a lot of buzz about the government legislation and lender participation in a streamlined short sale process. HAMP & HAFA have taken center stage. Although the most recent addition HAFA (Home Affordable Foreclosure Alternative) does not "officially" take effect until April 5th, 2010 certain lenders such as Wachovia and soon to follow Wells Fargo have started early. HAFA was designed for homeowners who did not qualify for a loan modification as alternative to foreclosure.

A few facts about HAFA:

• Borrowers will receive pre-approved short sale terms from their lender
• Borrowers will be fully released from any future liabilities from their first mortgage
• Financial Incentives will be provided to borrower $1,500 for relocation expenses
• All servicers participating in HAMP will be required to implement HAFA in accordance to their own written policy.

If you have any questions as to how HAMP & HAFA may apply to your current situation, please do not hesitate to contact me so I may further explain this otherwise confusing process.