Short Sales are selling, getting approved by the banks and closing! We just closed escrow on another Elk Grove Short Sale - 10128 Schuler Ranch Road, Elk Grove 95757.
Spacious 4 bedroom, 3 bathroom 2 story home. formal living and dining; huge family room with upgraded tile flooring & fireplace, bonus room at front of home could be office, spacious kitchen, window coverings throughout are upgraded, covered stamped concrete patio, 3 car tandem garage & more!
We listed this home on January 4th for $249,900...had multiple offers on it within 30 days and then went to work with Wachovia for approval of the short sale. We received approval from Wachovia on April 17th. Unfortunately, our buyer at that time had moved on to another home. With an approved short sale from Wachovia, we received another offer almost immediately and went into escrow with a new buyer. We were originally scheduled to close the escrow by 5/24 however the buyer's loan took a little bit longer, resulting in us having to get approval from Wachovia for an extension of closing. We received the approval and closed escrow last Friday!
It's great to see that the banks seem to be starting to get it! This seller's loan did not qualify for a loan modification, so consequently this was the best option for both the seller and the bank. The home was in much better condition than most of the bank owned listings out there currently, so the buyer won too!
For more information on short sales, make sure to check out our Short Sale series -
Who is Eligible for a Short Sale?
Are There Any Tax Consequences to a Short Sale?
How Much will a Short Sale cost me?
Short Sales - how long does the process take?
Your monthly payments and a short sale
Short Sale terms to be familiar with
What can a short sale do for you?
If you are facing difficulties with your mortgage, you need to KNOW YOUR OPTIONS! Call The Mode & DurhaM Team today for a private no-obligation consultation at (916) 230-0371 or visit our website at www.ElkGroveShortSale.com.
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The Mode & DurhaM Team in Elk Grove, CA
Last evening I gave a presentation at the Rental Housing Association 
for their first Sacramento Real Estate Investor Forum. It was a great meeting of about 50 investors and I was very pleased to be asked to talk to them about the current Sacramento real estate market and how it relates to investors trying to purchase REO's and Short Sales. I thought I would give you the highlights of the presentation.
First, we covered Why Buy Real Estate NOW?
1.Historically Low Prices at a Great Value! •Real Estate can be purchased well below replacement value of the structure alone!
2. Incredibly Low Interest Rates!
3. Shadow REO inventory Coming!
I gave them a couple of examples of real live deals I have helped investors with in the past couple of months. You can check out those deals - Working with Investors. Since REO's and Short Sales are the largest part of our market currently, we spent a few minutes discussing the advantages & disadvantages of both.
REO (Bank Owned):
Advantages: Low List Price-usually 5-10% below current market, Unemotional Seller-cares about "net" to bank and Vacant - can close quickly
Disadvantages: No disclosures/no property history, No repairs, Heavy competition currently-not uncommon to see 20+ offers at this time
Short Sales:
Advantages: Usually in better condition as seller still has stake in property, last one standing-investors can wait out the acceptance time from the bank, while 1st time homebuyers usually will move on, and could have built in tenant
Disadvantages: Long acceptance period, and again limited to No repairs-seller has no money and bank won't do repairs
Then we covered the state of the real estate market in Sacramento at this time -
Real Estate is localized so it's important to an investor to understand your local market. In Sacramento County, our prices have declined by at least 2% per month for the past 12 months...in some areas we have been declining by 3% per month. The lower end appears to have stopped declining at this time. At the height of the market, August 2005, Sacramento median home prices were $387,000. Today Sacramento Median home value is $163,350. Our prices have dropped over 50% from the height of the market.
Preforeclosures (NOD's & NOT's) had been increasing for 1st 3 months of 2009. In May 2009, Realty Trac reports that preforeclosures are down 6% from April 2009, but up almost 18% from May 2008.
And how long will these trends continue? Option ARM and Alt-A mortgage resets become a much bigger issue in mid 2009 as the trouble shifts away from the sub prime. Credit Suisse analysts are forecasting 8.1 million homes will be in foreclosure by end of 2012 - 16% of all households.
So the big question is - Have we hit the bottom? 
When will we know that we have reached the bottom? The media will start reporting it 3 - 6 months after we have actually hit the bottom.
People who buy during the buyer's market are the smart ones. This is where you will build wealth. If you wait until the media reports that we have "hit bottom", we will be back in a seller's market and you will have missed your opportunity.
The REO Inventory has dried up in most zip codes in Sacramento County over the past few months...we are seeing multiple offers on REO's and Short Sales often within the first 2-3 days they are on the market.. This has been fueled by the lender and state imposed moratoriums on REO's. Is this about to change? Is this an illusion? Is this a false bottom or have we actually reached the bottom?
We have been hearing and seeing "the shadow inventory" for some time now in Sacramento. Just driving through neighborhoods, reveals a large number of homes unsold but yet vacant. Due to lender and California moratoriums these homes have not yet come on the market. What do these numbers look like? This is just one zip code area - 95823.
Realty Trac as of 6/15/09 1,085 Bank Owned
Less Active Listings - Metrolist - 53 Active REO
Less Pending Listings - Metrolist - 129 Pending REO
Difference -Total Shadow Inventory 903 STILL TO COME ON MARKET
Plus the Preforeclosures Realty Trac as of 6/15/09 851 NOD's
And if we look at all of Sacramento County -
Realty Trac as of 6/15/09 10,031 Bank Owned
Less Active listings - Metrolist - 717 Active REO
Less Pending Listings - Metrolist - 1,681 Pending REO
Difference - Total Shadow Inventory 7,633 STILL TO COME ON MARKET
Plus the Preforeclosures Realty Trac - as of 6/15/09 9,397 NOD's
What does this mean to the Sacramento investor? OPPORTUNITY IS COMING. Now is the time to get your ducks in a row, so that you are ready to take advantage of the coming opportunities.
For more information on market statistics or prices in the Sacramento area, contact The Mode & DurhaM Team at (916) 405-5765 or Lori@ModeandDurhaM.com or visit our website at www.ModeandDurhaM.com.
If you are interested in finding out more about investing in the Sacramento area, make sure to check out our Sacramento Investor Boot Camp.
Search all Sacramento homes here! 
The Mode & DurhaM Team in Elk Grove, CA
While doing research this morning for a presentation that I am giving on Wednesday evening to Sacramento Rental Housing Association, I pulled these unbelievable statistics for the Sacramento County area regarding Bank Owned or REO properties.
Realty Trac as of 6/15/09 10,031 REO or Bank Owned homes
Less Active listings - Metrolist 717 REO
Less Pending Listings - Metrolist 1,681 REO
Difference - Total "Shadow Inventory"
Sacramento County as of 6/15/09 7,633 TO COME
Plus if you take into account the Preforeclosures
Realty Trac - as of 6/15/09 9,397 NOD's
There is going to be plenty of opportunity to come over the next several months, at least.
Currently today we have less than a 2 month supply of inventory on the market in Sacramento County, however as the banks start releasing more of their inventory, it will be interesting to watch the changes coming.
We have been seeing REO's or Bank Owned homes selling very quickly, 7 days or less, with multiple offers - sometimes as many as 20 offers. Will this change as the new inventory is released by the banks? Or will the banks release these slowly so we still have a pent up demand by first time homebuyers and investors? Only time will tell...and keeping your eyes on the statistics and market, of course!
For more information on market statistics or prices in the Elk Grove area, contact The Mode & DurhaM Team at (916) 405-5765 or Lori@ModeandDurhaM.com.
To check the value of your home, go to www.AllElkGroveHomes.com.
If you are a first time homebuyer, check out Use Your $8,000 Tax Credit at Close of Escrow!
Search all Sacramento homes here!
The Mode & DurhaM Team in Elk Grove, CA
As summer starts to heat up, so does the Elk Grove Real Estate Market! 
With incredible interest rates, affordability at a 40 year low and tax credits available, buyers are out there!
Here's the latest Statistical Summary for the Elk Grove, CA Real Estate market, based on data pulled on May 31st 2009 from California Metrolist
Active Listings:
There are currently 784 single family homes for sale in the Elk Grove area - this includes 95624, 95757 and 95758 zip code areas) . This active listing count is down by approximately 30% from 1 year ago.
Price Range - $106,000 to $4,999,000
2 bedroom, 1 bathroo.m, 917 square feet - 6 bedroom, 7 bathroom, 10,350 square feet
Average - 4 bedroom, 3 bathroom, 2277 square feet with an average price of $284,643
Of these 784 single family homes for sale, only 78 of them are REO's or Bank Owned Homes . This number has continued to decline weekly! 597 are Short Sale listings - this number is up by 10% over this time last year.
Pending Sales:
There are currently 530 pending sales in the Elk Grove area!
Price Range - $80,000 - $1,295,000
2 bedroom, 1 bathroom, 919 square fee - 7 bedroom, 7 bathroom, 5,698 square feet
Average - 4 bedroom, 3 bathroom, 2,190 square feet
Average asking price - $250,989 and Median asking price - $235000 with the average days on the market of these pending sales being 53 days.
Of these 530 pending sales in the Elk Grove area, 249 of them are REO's or Bank Owned Homes.
Sold Listings - May 1, 2009 through May 31, 2009 
There were 262 single family homes sold and closed from 5/1/09 through 5/31/09 n the Elk Grove zip code areas. SOLDS are increasing monthly!
Price Range - $75,000 - $650,000
2 bedroom, 1 bathroom, 1006 square feet - 6 bedroom, 5 bathroom, 4303 square feet
Average - 4 bedroom, 3 bathrooms, 2,172 square feet
Average Sales Price - $244,161 - still decreasing slightly
Median Sales Price - $239,995 - Median Sales Price is up slightly from last month
Average Days on Market - 21 days
Average List Price to Selling Price Ratio - Home sellers got an average of 101.82% of asking price for their Elk Grove area single family home.
Of the 262 single family homes that closed escrow in May 2009, 162 of them were REO's or Bank Owned homes.
For more information on market statistics or prices in the Elk Grove area, contact The Mode & DurhaM Team at (916) 405-5765 or Lori@ModeandDurhaM.com.
To check the value of your home, go to www.AllElkGroveHomes.com.
If you are a first time homebuyer, check out Use Your $8,000 Tax Credit at Close of Escrow!
Search all Sacramento homes here!
The Mode & DurhaM Team in Elk Grove, CA
Investors it is important for you to know what is going on in the market you are investing in! Just want to give you a quick update on the real estate market in the Elk Grove area (zip codes - 95624, 95757 and 95758). Currently, we seem to be down to about a 3 month supply of inventory. But is that true?
Here are the numbers -
Today there are 851 Active Listings
last month we had 258 Closed Sales
Today we have 566 Pending Sales
So right there it appears we might be down to about a 1.5 month supply of inventory. Then take in to account -
Of the 851 active listings, there are 377 that are listed as Short Sale Contingent - meaning these listings have offers, but have not been accepted by the bank for the short sale yet.
Of the 851 active listings, 260 are Short Sale listings
and only 80 are REO listings or Bank Owned
BUT, HERE IS THE REAL KICKER -
Today, RealtyTrac is reporting 1431 Bank Owned properties in Elk Grove, CA
If 284 of these are Active or Pending REO's in Metrolist
Then we have 1147 Bank Owned properties to still hit the market in the Elk Grove area...when is this going to happen? It seems as though it is starting...BPO's (Broker Price Opinions) and new assignments to agents from the banks have been up in the past 2 weeks. This process takes time, so it appears we should see a steady increase of bank owned listings coming on the market over the course of at least the next few months.
And RealtyTrac is reporting today 1458 Preforeclosure homes in the Elk Grove area
And didn't I say earlier that we have 637 Short Sale listings in the area (combination of the 377 Short Sale contingent and the 260 Active Short Sales.
So we may have over 800 other homes that are in distress currently in the area.
Are you confused yet? Don't be. NOW is the best time to buy an investment property in the Elk Grove area in years. Come and find out how and more about this current market on June 6th at our Sacramento Investor Boot Camp and Tour. We will be looking at several of these distressed properties.
For more information, contact Lori Mode and Bruce Durham, at (916) 405-5765 or send email to Lori@ModeandDurhaM.com.
Search all Sacramento homes here!
The Mode & DurhaM Team in Elk Grove, CA
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The team of Lori Mode & Bruce Durham, Is A Full Service Real Estate Team Serving Buyers & Sellers in Sacramento County. Specialties Include Resale, REOs, 1st Time buyers & Investor Buyers and Sellers.
Lori Mode and Bruce Durham of Keller Williams offer unsurpassed service to buyers and sellers of real estate in the greater Sacramento area. Lori and Bruce have a combined 45 years of experience in the real estate industry and their team is both experienced and energetic in helping buyers and sellers with new and resale residential single family and investment properties.
Meet Our Team -
Lori is a native of Sacramento, CA and has lived and worked in the Elk Grove area for over 30 years. Prior to real estate she worked as Branch Manager/Escrow Officer for area title companies for 20 years. She is a life time member of the Sacramento Association of Realtors Master's Club, serves on her Market Center's Agent Leadership Council and is Chairperson of the MC's Technology Committee. Lori is an active community member including serving as a Board Member on both the Elk Grove Piranha's Swim Team and the Elk Grove United Soccer Club and participaing in several other community organizations.
Bruce started in the real estate industry as General Manager for a property management company. This position steered him toward obtaining his real estate license and when the company was sold, on the advise of a friend, moved to Sacramento. Locally, he has worked for Great Western Real Estate in the early 1980's, then Coldwell Banker for over 12 years and currently Bruce is with Keller Williams Realty. Bruce is also a member of Sacramento Association of Realtor's Master's Club and has previously served on Keller Williams Realty's Agent Leadership Council.
Lori and Bruce have been business partners for 13 years in the Sacramento real estate industry.
Susan Easter, Accredited Buyer's Representative
Susan has been a resident of Elk Grove for over 18 years. Prior to choosing a career in real estate at Keller Williams, Susan was in retain management and merchandising for both Macy's and Gap, Inc. Susan obtained her designation as Accredited Buyer's Representative in December 2005 and has been with Keller Williams since the opening of their Elk Grove Market Center.
To search the entire MLS for not only Sacramento County, but also surrounding counties of El Dorado, Placer and Yolo Counties. Please browse through our website for area information, school information, area market statistics, and more! There you can also receive a free online valuation of your home or sign up for free emailed MLS alerts and very timely market condition reports. Make sure to visit often for updated information.
As an Elk Grove real estate team, we focus on residential resale, including homes for first time home buyers, move up buyers and investors. We work with both buyers and sellers on single family homes, condominiums and investment properties including duplexes, triplexes and fourplexes.
Buyers and Sellers need lots of information, whether buying or selling a personal home or investing in real estate. A big part of our job as a real estate professional is to make sure they get what they need so intelligent informed decisions can be made. We provide a variety of information through our website at www.AllElkGroveHomes.com, through our Market Analysis, our Free Reports for buyers and sellers, our market updates, and area statistics. We have weathered the ups and downs of the real estate market in the Sacramento area for over 20 years and know how to consult with our clients to get them what they want in the time they want. 
I was referred to Lori and was instantly impressed by her knowledge and experience in the real estate field. Lori was the best Realtor EVER! She was very knowledgable of the neighborhoods I was interested in. She was helpful, friendly, etc. etc. THANK YOU!
Kirsten Bosch, 4248 U Street, Sacramento, CA 95817
Lori and Bruce made the selling of our home on Lakepoint Drive in Elk Grove a painless transition. We were not looking forward to a long and tedious selling process and we were amazed at how quickly and efficiently the home SOLD. Their expertise and marketing techniques were very effective and we are very satisfied that we selected them to represent us! Thanks again for a job well done!
Jim & Cathy Eckman, 6711 Arboga Way, Sacramento, CA 95831
Our Realtors, Lori Mode & Bruce Durham, were extremely helpful in helping us buy our first home. We will be working through them again when buying our second home!
Ryan & Christine Goodwin, 9387 Soaring Oaks Way, Elk Grove, CA 95758
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