Laguna Homes|Laguna Condos| Laguna Real Estate|Marlene Bridges

Many people in California after raising their families discover that they no longer need the large homes they once had. If you've been in your home for a long time, you probably have a very low tax base. If you're considering moving into a new home, even though it's less expensive than your current home could create a property tax price tag that's higher than what you're accustomed to...Unless, you apply for Proposition 60 or 90 tax relief. You may be able to retain your current tax base when you move into your new residence. So, if this is one of the reasons you've decided not to make a move, let's see if you may qualify to take your current tax base with you.

When considering a move, here are a few questions to see if you may qualify for the tax benefit:

• Are you or your spouse 55 or over? (At least one of you must be 55 or older)
• Is your replacement home of equal or lesser market value than your existing home? (Market Value is not necessarily the purchase price.)
• Does your existing home qualify for the Homeowner's Exemption? Is it your Primary Residence?
• Was your replacement home constructed within two years either before or after the sale of your original home?
• Are you moving within the same county? If not, your real estate professional can help you to research which counties share reciprocity.
• Have you ever made a claim for Proposition 60 or 90 in the past? This is a one time benefit that can only be claimed once by you and/or your spouse. (In the case of divorce, a choice must be made who will choose to receive the benefit - it cannot be divided or used on two replacement homes.)

These are just some of the guidelines. It is important that when considering using either Proposition 60 or 90 benefits when planning your move, you work with a REALTOR® who understands the process and assists you in assuring that you meet all criteria necessary in order to receive the tax benefits.

If you have moved recently, you may still qualify. Claims must be filed within three years following the closing date of your replacement home. Claim forms are available from local Assessor's Offices in participating counties.

If you are considering a move and are seeking a real estate professional with experience in buying and selling Orange County, California homes and condos, I'm here to help. It's important for you to know that as a Seniors Real Estate Specialist®, I've received specialized training for working with the specialized needs of seniors and their families. If you have questions or concerns or want to begin planning for a move, I'd be pleased to give you information without obligation.

Marlene Bridges, REALTOR®

800 777-1775

Orange County Real Estate Website

Orange County Seniors Lifestyles Blog

SRES - Seniors Real Estate Specialist®

CRS-Certified Residential Specialist®

President - Laguna Hills/Laguna Woods Chamber of Commerce 2007-2009

Marlene is a highly experienced and respected South Orange County CA REALTOR® specializing in residential Real Estate and the sale of Homes and Condos in South Orange County, California and Saddleback Valley cities of: Laguna Woods, Laguna Hills, Laguna Niguel, Laguna Beach, Rancho Santa Margarita, Lake Forest, Dana Point, San Juan Capistrano, San Clemente, Aliso Viejo, Mission Viejo.

This week I received an inquiry from my website. So I immediately picked up the phone trying to respond quickly and demonstrate professionalism. When the man on the other end of the line answerd, he seemed pleased with my prompt reply to his web inquiry. I asked him how I might be of service to him as it appears from his inquiry that he is interested in selling his home and buying another one.

The would-be-client (We'll call him Ted) responds with, "No, I like the home I live in and have no intention of selling it, I just want you to sell my house." Huh? Pardon me, Ted, but I don't understand. Well, the conversation that ensued took about 25 minutes so I won't bore you with it in real time. Here's the gist:

Ted had used a wayyyyyy out of area broker to place his rental home in MLS. He paid $99 for this service. Ted was sending emails to all the agents within a reasonable radius of his rental home to ask them to sell his house.

Ted couldn't figure out why agents were unwilling to show his property and why this property wasn't selling. Since I had recently been working with a buyer who was looking for a home in the same area and in the same price range, I was curious why this listing had not been one of the ones my client chose to see. So, I took a look at his listing on MLS and here's what I found:

1. There were only 4 photos in MLS. Front of the house, a picture of a stairway, a picture of a granite counter in the kitchen and a picture of a small backyard that was landscaped with only grass and no shrubs and a 2 ft. by 1 ft. piece of concrete next to the back door...very sparce to say the least.
2. In Ted's email he had sent me a link to a lovely video of the home done on RealEstateShows.com. Yet this wonderful video was not on the listing.
3. Since the home was a rental, Sam didn't want anyone disturbing the tenants, so he was restricting showings and prequalifying anyone who wanted to see the property.
4. In the agent remarks (a portion of the listing that only agents and brokers can see) it read, "Agents to negotiate all terms of sale with the Seller."

Ted couldn't understand why the local agents weren't flocking to him with fistfuls of offers. I politely told him that in trying to save the commission he thought he was saving in not being represented by a listing agent he had:

1. Originally Overpriced his rental home and although he'd recently had dropped the price by $150,000 he needs to drop it by an additional $150,000 in order to get the property shown. And, had he used the services of a listing agent, he would have most probably priced it right to begin with six months ago and not been subject to the significant price drop we've experienced in the past 6 months while he's been on the market. Ted's rental home was originally priced at $1,300,000. He just dropped the price to $1,150,000. In my opinion Ted really needs to drop the price to just below $1,000,000 to even get it shown. It just does not compare with area homes currently listed in the $1,150,000 price range.
2. In sending emails to real estate agents who are working hard to market the properties they actually have listed and giving the impression he has a sincere desire to work with them, he's only wasting his time and ours. Most full time, practicing agents have wonderful clients that are willing to pay for our services to assist them in marketing their homes and appreciate utilizing the advantage of our expertise. I asked Ted if he'd be willing to work for months without receiving a paycheck and possibly never be paid for his work. The question of course was rhetorical and hopefully helped Ted to reconsider his options.
3. Hard to Show - There are homes on the market with tenants in the property. Most agents agree that typically, these listings are not as easy to show, but this is not always the case. If you are a landlord who is attempting to sell your rental home while it is still rented, make it worth the tenants while by offering them a slight reduction in rent for the inconvenience to them during the marketing period. A couple hundred dollars in rent reduction saves you thousands in price decline during a declining market. I also ascertained from Ted that there was no lockbox on the property so if the tenants were unavailable, the property was not available to be seen by prospective buyers. There was no sign on the property so neighbors who might know someone interested in moving to the area or anyone driving by would have no idea the property is even for sale.
4. Seller Trying to do the Job of a Professional - Buyer's Agents know that when they will be negotiating directly with the Seller in a transaction that invariably we must work twice as hard at best. Anyone who is unlicensed and not working in the real estate business daily is unfamiliar with the process and really need someone to help them to correctly furnish the necessary paperwork to complete the transaction. This is not the job of escrow, it is not the job of the Buyer's Agent, and do you honestly think the broker who placed the listing in MLS for Ted for $99 is going to be of any assistance? Trying to handle the sale of your own property is much like trying to do open heart surgery on yourself. Even if you have the skills, it is very difficult to make unemotional decision.

If you are a seller attempting to sell the property yourself, a word of caution...this is a very tough market. Seasoned professionals are having a hard time getting properties into escrow, pre-qualifying buyers, and once the properties get into escrow getting them to actually close is not happening with regularity. If you are seeking to save yourself a few dollars consider that in a declining market the dollar you believe you are saving in not hiring a listing agent to represent you and properly market your property could be costing you thousands in lost equity for every extra month the property lingers on the market.

If you need assistance in selling your home or condo in Orange County, California I'd be pleased to give you information without obligation.

Marlene Bridges, REALTOR®

800 777-1775

Orange County Real Estate Website

Orange County Seniors Lifestyles Blog

SRES - Seniors Real Estate Specialist®

CRS-Certified Residential Specialist®

President - Laguna Hills/Laguna Woods Chamber of Commerce 2007-2009

Marlene is a highly experienced and respected South Orange County CA REALTOR® specializing in residential Real Estate and the sale of Homes and Condos in South Orange County, California and Saddleback Valley cities of: Laguna Woods, Laguna Hills, Laguna Niguel, Laguna Beach, Rancho Santa Margarita, Lake Forest, Dana Point, San Juan Capistrano, San Clemente, Aliso Viejo, Mission Viejo.

The City of Laguna Woods is home to one of the country's largest Active Senior Communities, Laguna Woods Village (formerly Leisure World). The wonderful climate, close proximity to the ocean with Laguna Beach only 10 minutes away, the mountains only 1 1/2 hours away and the comfortble lifestyle are just a few of the reasons people settle in this wonderful community. But, hands down, probably one of the biggest draws is the golfing. You can play 18 holes of golf in Laguna Woods for only $8...that's not a typo...only $8 for 18 holes of golf.

COMPARISON

FEBRUARY 2008 AND FEBRUARY 2008 MARKET SUMMARY

SUMMARY:

1. Total number of sales declined from 39 sales in February 2008 to 37 in February 2009.
2. The ratio between list price to sales price is holding fairly steady with only a 1% reduction in February 2009 at 93% versus 94% in February 2008.
3. The average Days on Market (DOM) has increased from 89 days in February 2008 to 112 days in February 2009.

There are currently 425 active listings in Laguna Woods Village. If we divide that by the 37 sales in February 2009, that calculates 11.49 months of inventory (assuming no other properties come on the market.)

As in any market, properties are selling as long as they are priced well, in good condition, and easily available for agents to show.

Many people in Laguna Woods Village have asked me to prepare a no cost/no obligation evaluation of their home value prior to making a decision whether they would like to make a move.

If you are considering purchasing or leasing in Laguna Woods Village, it would be my pleasure to provide you with information to assist you in your search.

Marlene Bridges, REALTOR®,

Certified Residential Specialist®,

Seniors Real Estate Specialist®,

President Laguna HIlls/Laguna Woods Chamber of Commerce 2007-2009

Sherman Smith & Associates-Laguna Niguel, CA

800 777-1775 or text me at 714 745-2592

www.LiveTheCaliforniaDream.com

All statistics compiled from SoCal MLS and are deemed accurate but not guaranteed.

The graph below tracks market activity from January 2008 through February 2008 in South Orange County California. Here's a quick recap:

• New listings coming on the market in February were down from January by 15.6%
• Properties that went under contract in February were up from January by 43.5%
• Closed Sales for the month of February were down from the month of January by 11.28%
• Average Days on the market for February increased slightly from the month of January by 3.66% - The days on market dropped in July of 2008, then began an upward trend in August 2008.

Lets take a closer look and compare the months of January and February 2008 to January and February of 2009.

• The chart above is positive as we see that new listings and Days on Market are lower for both January and February of 2009 over the same months in 2008.
• On another positive note, the number of properties that went under contract and reported sales increased in January and February 2009 over the same months in 2008.
• These facts certainly show that the housing market is not at a standstill in South Orange County, CA. To the contrary, our market is beginning to show signs of improvement in increased sales volume and shorter days on market compared to the same months last year.

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Marlene Bridges, REALTOR®

800 777-1775

Orange County Real Estate Website

Orange County Seniors Lifestyles Blog

SRES - Seniors Real Estate Specialist®

CRS-Certified Residential Specialist®

President - Laguna Hills/Laguna Woods Chamber of Commerce 2007-2009

Marlene is a highly experienced and respected South Orange County CA REALTOR® specializing in residential Real Estate and the sale of Homes and Condos in South Orange County, California and Saddleback Valley cities of: Laguna Woods, Laguna Hills, Laguna Niguel, Laguna Beach, Rancho Santa Margarita, Lake Forest, Dana Point, San Juan Capistrano, San Clemente, Aliso Viejo, Mission Viejo.

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The annual Laguna Hills Mayor's Breakfast was graced by a list of local dignitaries both in the audience and on the stage. The event is presented each year by the City of Laguna Hills and the Laguna Hills Chamber of Commerce (which is part of the South Orange County Regional Chambers of Commerce). If you're in business in Orange County and haven't been to one of these events, you may be mission out on something. It's a great opportunity not only to learn, but to meet and greet some of the most influential business leaders in our community. See the star-studded list of some of the attendees on the list at the bottom of this post.

This year, Mayor Joel Lautenschleger chose to chair a panel.discussion as opposed to a State of the City Address and invited three incredible women to share the stage. (My account of Mayor Lautenschleger's wrap-up was posted previously.)

(L-R) Mayor Lautenschleger, Senator Mimi Walters, CEO Lucy Dunn, Professor Linda Cohen

Senator Mimi Walters (R) was on hand to offer up a her insight on California Budget Deficit. She shared that while an agreement was reached after 40 plus hours in debate, if the budget initiatives do not pass in the May 19, 2009 Special Election, we'll be back to a stalemate...again. One of the things Ms. Walters shared (besides an extra pen with yours truly---imagine being able to be seated next to a real live State Senator at a breakfast? Now that's the power of the Chamber of Commerce) was an interesting fact regarding COLA - Cost of Living Increase - She said that each year we give a cost of living increase to social programs. Senator Walters suggested that in not giving raises for the next year, there would be no need for any additional budget cuts or to raise taxes. Two of the increases that will begin April 1^st are a 1 cent sales tax increase and a vehicle tax (licensing) will increase from .65% to 1.15%. Personal income tax will increase .25% beginning in 2009. Senator Walters, as most of the political figures I've heard of late also said that the issues at hand are not partisan and we must work together to solve our California budget deficit.

Lucy Dunn - CEO Orange County Business Council regaled us with her humor, high spirits and positive prediction of better days to come. She commended the City of Laguna Hills for their dedication to creating infrastructure despite the economic downturn. Lucy said that Orange County is losing a middle class and that despite the 39% drop in median sales price of homes, this could actually be a good thing. She further stated that this is possibly the best time ever to buy a home in Orange County. Affordability has long been an issue for people working in Orange County to actually be able to afford to live where they work. She also said that while the Economic Development Departments latest figures reflected that we have an unemployment rate of 6.5% in Orange County, this is not a terrible statistic. We are actually third lowest in the state and that unemployment rate is not unusually high historically. There are 31 counties that have double-digit unemployment rates. She attributed this to our diversified businesses. Our county once relied heavily on aerospace and that's what hit us hardest in the last recession. She says we have certainly improved our position dramatically since then. Lucy also shared that 96% of the economists are predicting the recession will end in late 2010.

Linda Cohen - Professor of Economics and Law, University of California at Irvine

Professor Cohen said that we are well-situated to come out of this recession. She stated that the challenge is the economy and the problem is state government. She further stated that while the short run looks grim, recent creation of jobs in the real estate and construction sector coupled with our economic diverse base including manufacturing, trade and strong technology will help to see us through. Taking a poke at her fellow economists she said, "It has been said that if you laid all of the economists end to end, they still wouldn't reach a conclusion."

On hand for the festivities were:

Senator Mimi Walters

Assemblywoman Diane Harkey

Orange County Supervisor Pat Bates

District Representative, Congressman John Campbell's Office - Lou Penrose

Office of Assemblyman Chuck Devore - David Taylor

Mayor of City of Laguna Woods - Bob Ring

Mayor of City of Lake Forest - Mark Tettemer

City Council Member-City of Rancho Santa Margarita Neil Blais

Council Member City of San Juan Capistrano Sam Allevato

Trustee, South Orange County Community College District Marcia Milichiker

President El Toro Water District Ted Martin

Vice President El Toro Water District Scott Goldman

Treasurer El Toro Water District Bill Kahn

Director El Toro Water District Jerry Werner

Director Moulton Niguel Water District Larry Mc Kenny

SPONSORS:

Chairman South Orange County Regional Chambers of Commerce Jim Leach (Cox Communications)

CR & R Dean Ruffridge

AT & T Carol Tagayun

Saddleback Memorial Center Susie Caskey

OCTA Dave Simpson

Southern Calfiornai Edison Frank Wasko

Transportation Corridor Agencies Sheldon Pines

El Toro Water District Bob Hill (Supplied our California Native Plant Centerpieces)

City of Laguna Hills:

Mayor Joel Lautenschleger

Mayor Pro Tem Randal Bressette

Council Member Melody Carruth

Council Member R. Craig Scott

Council Mmeber L. Allan Songstad, Jr.

Traffic Commissioners Pam Dow, Donald Froelich, Tim Hillis

Community Services, Historical and Arts Commissioners Larry Bertino, Dan Cooper and Carol Meyers

Laguna Hills Chamber of Commerce Board of Directors:

President Marlene Bridges, REALTOR®

President Elect/V.P. Governmental Affairs Brad Timmons of Ware Disposal & Madison Materials

Ambassador Liaision Keli McCall of PCM Realty

Director Juergen Oswald Manager of the Holiday Inn Laguna Hills

Director Jeff Turner of O'Connor Mortuary

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Marlene Bridges, REALTOR®

800 777-1775

Orange County Real Estate Website

Orange County Seniors Lifestyles Blog

SRES - Seniors Real Estate Specialist®

CRS-Certified Residential Specialist®

President - Laguna Hills/Laguna Woods Chamber of Commerce 2007-2009

Marlene is a highly experienced and respected South Orange County CA REALTOR® specializing in residential Real Estate and the sale of Homes and Condos in South Orange County, California and Saddleback Valley cities of: Laguna Woods, Laguna Hills, Laguna Niguel, Laguna Beach, Rancho Santa Margarita, Lake Forest, Dana Point, San Juan Capistrano, San Clemente, Aliso Viejo, Mission Viejo.

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