Jolynne Ash, ABR CRS

I just heard KATU Radio report that housing prices in Portland, OR according to RMLS had dropped 16.2% since the high reported in August of 2007.

Yesterday, we all received the RMLS report, and on Page 20 it clearly stated that that THE AVERAGE SALES PRICE IN METRO PORTLAND DROPPED -3.7% in 2008.

What can we do to stop the media from scaring all the would be buyers and sellers into thinking the sky is falling when 3.7% is actually a great number?

Here is the link to the RMLS Report:

http://www.rmlsweb.com/temp%2Fdocuments%2F1500-1699%20Market%20Action%20and%20Statistics%20Menu%2F1512%20Market%20Action%20-%20December%202008.pdf

I'm so mad I could just spit, AS REALTORS we have to take action against this kind of attempt to sell newspapers and news stories at the expense of the housing market.

Jolynne Ash, Broker/Owner DreamStreet Real Estate Portland OR

I just thought I would share this knowledge in hopes that it may help other Agents with the process.

Foreign Nationals are those individuals that come to the US without a Green Card and don't intend to stay permanently. Most are job transfers or short term assignments. I just had a Buyer from Italy who will be working in the US for three years and wanted to buy a house for his family (the Euro makes this very attractive).

First off, the only Lender that we could find was Countrywide. Almost anyone will do a loan for a "Legal Permanent Alien" those with green cards, but no one wanted to touch this one. Not withstanding the usual international issues like credit reports and translations on all verifications, our biggest problem was that the Lender can not close a loan without a Social Security Number. Long story short, you can apply for a SS# at the time you apply for your Work VISA, but it won't arrive until three weeks AFTER YOU ARRIVE. Big problem if you want to move your family into a home the day you get here.

SOLUTION--A Foreign National can apply for an IRS Individual Taxpayer Identification Number using IRS Form W-7 (get it off the web). The form requires a reason for requesting the number. Check box 'H" and write "Exception 3 Mortgage Interest' on the line provided. Your client must also submit a letter from the Lender stating that they will not/can not close the loan without a taxpayers number. One page form, 10 day turnaround.

I would also have the Buyer appoint a person to use a Power of Attorney to sign the closing documents. Unless your Buyer has access to an American Notary (usually found at the American Embassy), the Lender will not accept the documents. Escrow Agents can help with this. When my Buyer was here looking, I had escrow prepare a POA with the address listed as 'Attachment A'. This must be done because the POA is only good for a 'specific address'. Since we had not done an inspection, I couldn't be sure we wouldn't end up with their second choice.

Give yourself at least 60 days start to finish to meet all the requirements. If you have any other questions just give me a call. I wouldn't mind saving you a few headaches!

Coming off a somewhat slow 2007, I see 2008 shaping up just like any other year. We usually start getting busy by the end of February and are in full swing by March. As a Buyer Agent my business this year is right on track if not a bit ahead. I talk to other Agents all the time and have found that they are experiencing the same up-tick in business. I'm beginning to think that we have hit bottom as far as the slow down and are now on our way back to a normal market.

As everyone knows, Portland was one of only three major cities to show real estate appreciation in 2007 (Seattle and Charlotte, NC). Even though our values held, we saw fewer homes sell. Our inventory is at an all time high of twelve months, making this a Buyers Market. You may want to know how Portland can be appreciating with so many homes on the market? The answer is quite simple. First, Portland did not experience the huge jumps in appreciation that other areas did. We tend to be conservative and keep a sense of 'normal' when it comes to real estate. The second reason is, what is selling is the 'good stuff'. By that I mean great houses in great condition, priced at market. Buyers are willing to pay a fair price for a great property. What isn't selling is the overpriced properties and those that are frankly in bad shape. No one wants to buy garbage. The third reason is the fact that Portland has an urban growth boundary. We have and always will have a limited supply of homes. Match that with the fact that our population is still growing and you have a recipe for a healthy real estate market.