Phil Sharp

THURSTON COUNTY

For The Period of February 1-28 2009

•· Data prepared by Phil Sharp, provided by NWMLS

MARKET SNAPSHOT: To receive an email report on the value of your home and other homes in your neighborhood, recent sales and sales statistics.....CLICK> Custom Market Snapshot

IF YOU WOULD LIKE DETAILED INFORMATION ABOUT A SPECIFIC PROPERTY TYPE OR NEIGHBORHOOD, PLEASE CALL ME AT (360) 970-9977 or Email.

I have included new foreclosure listings and price reductions that would normally be part of the foreclosure newsletter in place of top 10's. We are still seeing a great deal of activity in the market. Well priced listings, especially REO's and Short Sales, are experiancing somewhat of a sellers market; good deals are bringing multiple offers and escalation clauses, something we haven't seen for quite a while. I am sure that low interest rates, coupled with realistic pricing are what is driving this activity. There are of course over priced homes still languishing on the market, but those who are priced right are making sales. When the time is right, and you are ready to start looking for spring deals, let me know. Shoot me an email and I will send you all of the distressed properties that we are currently tracking.

New Short Sales & Price Reductions:

Olympia, Lacey & Tumwater: View Listings Yelm, Rochester & Tenino: View Listings

New Bank Owned Homes & Price Reductions:

Olympia, Lacey & Tumwater: View Listings Yelm, Rochester & Tenino: View Listings

THURSTON COUNTY

For The Period of January 1-31 2009

·Data prepared by Phil Sharp, provided by NWMLS

MARKET SNAPSHOT: To receive an email report on the value of your home and other homes in your neighborhood, recent sales and sales statistics.....CLICK> Custom Market Snapshot

IF YOU WOULD LIKE DETAILED INFORMATION ABOUT A SPECIFIC PROPERTY TYPE OR NEIGHBORHOOD, PLEASE CALL ME AT (360) 970-9977 or Email.

Short Sales & Bank Owned :

Olympia, Lacey, Tumwater View Listings

Yelm, Tenino, Rochester View Listings

Nationwide Agent Network
January 2009 Vol 3 Issue 3 Download PDF File
6 month National Foreclosure Trends NOD NTS NFS LIS REO Search for Investment Properties>	FORECLOSURE ACTIVITY INCREASES 81 PERCENT IN 2008 A total of 3,157,806 foreclosure filings" default notices, auction sale notices and bank repossessions" were reported on 2,330,483 U.S. properties during 2008, an 81 percent increase in total properties from 2007 and a 225 percent increase in total properties from 2006, according to the RealtyTrac U.S. Foreclosure Market Report. The report also shows that 1.84 percent of all U.S. housing units (one in 54) received at least one foreclosure filing during the year, up from 1.03 percent in 2007. Foreclosure filings were reported on 303,410 U.S. properties in December, up 17 percent from the previous month and up nearly 41 percent from December 2007. Complete Story
New Ultimatum Hits Lenders: Buy Loans or Foreclose By Peter G. Miller It was in early October when Bank of America said it would modify 400,000 mortgages originated during past few years by its newly acquired Countrywide subsidiary. Between interest-rate cuts and principal reductions borrowers would save $8.4 billion. That's just great, says William Frey, but there's one problem: Bank of America wants to change the terms of a lot of loans it doesn't own. To be specific, it wants to change the terms of mortgages owned by Frey. Complete Story	Here are some of the most recent Investment opportunities in the area. Bank-Owned Greenbriar St SE Olympia, WA 98503 Market Value Default Amount $208,000 N/A Beds/Bath Sq. FT 0/0 0 Property Type Address Market Value Default Sq. Ft. Auction Auction Date: 4/17/09 22nd Ave SE, Lacey, WA 98503 $208,000 N/A 1,372 GET DETAILS View more properties in Thurston County
Which Remodeling Projects Pay Off? Anyone planning to buy or invest in a foreclosure property should budget for the basic cosmetic repairs" a fresh coat of paint, new carpet and maybe some simple touches like new light fixtures. But many foreclosure buyers and investors need to go far beyond the basic repairs to transform the property into a profitable investment" while spending as little as possible to do so. A new survey from LowesTM home improvement chain shows which remodeling projects cost the least and which add the most value to a home. Complete Story
Foreclosure Trends : November, 2008 National Washington Thurston CTY NODs 44,825 105 1 NTSs 85,487 2,457 74 NFSs 27,860 0 0 LISs 63,112 0 0 REOs 90,727 1,283 52	Notice of Default (NOD) A non-judicial document filed by a trustee that starts the foreclosure process. More about NOD Lis Penden (LIS) Notification of pending lawsuit. A judicial document filed by an attorney or trustee that starts the foreclosure process. More about LIS Auction / Notice of Trustee's Sale (NTS) A filing by notice announcing a public auction. More about NTS Notice (Judgment) of Foreclosure Sale (NFS) An order signed by a judge directing to sell the property at public auction. More about NFS Real Estate Owned (REO) The final step in foreclosure process in which property ownership returns to lender. More about REOs
30 yr fixed mtg 4.96% 15 yr fixed mtg 4.65% 5/1 ARM 5.25%

As we approach the new year, I won't dispute the fact that these are trying times. We are all hoping that with the inaugaration of the new president, that sentiment about the welfare of the country and the economy will improve. I believe that it will, and that although we face a difficult climb out of this hole that we're in....it could be worse. As the numbers in the market trends report show, things are improving some in the real estate market. Based on the time of year the numbers are really quite good. It took a global economic meltdown for our local market to experiance a price correction, and that correction has been 3-8%, depending on what segment of the market you look at. This really bodes well for both property owners as well as buyers in our area. While other markets have declined by as much as 50%, ours has remained strong, a clear sign that it will be strong in any recovery.

The sense that I get from almost all of my clients is that there is a lot of pent up demand (buyers waiting for the bottom), and barring any unforseen catastrophies, I think that we are very near that bottom. I have seen a big increase in people searching the MLS for listings, and correspondance from my internet audience indicates that quite a few are looking aggressively, and hoping to take advantage of good deals and low interest rates in the new year.

As you review the numbers in the report, note that inventory has come down significantly from last summer, and although home sales in Thurston county are off by 20% from a year ago...the market certainly isn't dead. As sentiment improves, past real estate cycles have shown that we typically start with a bang. All of the "really good deals" get snapped up very quickly. Although timing is not a method that I recommend, "be prepared to take action" should be part of your plan. Have a prosperous and happy new year, Phil Sharp

First Time Home Buyer Incentive; $7500 from the Fed: http://www.federalhousingtaxcredit.com/glance.php .

THURSTON COUNTY

For The Period of November 1-30 2008

·Data prepared by Phil Sharp, provided by NWMLS

MARKET SNAPSHOT: To receive an email report on the value of your home and other homes in your neighborhood, recent sales and sales statistics.....CLICK> Custom Market Snapshot

IF YOU WOULD LIKE DETAILED INFORMATION ABOUT A SPECIFIC PROPERTY TYPE OR NEIGHBORHOOD, PLEASE CALL ME AT (360) 970-9977 or Email.

In a previous post I discuss Tours of Foreclosure Properties in the Olympia and Lacey Wa area. The following is general information about foreclosures in general and about properties on the tour.

Foreclosures:

People use the word foreclosure very loosely in this business. The real definition of a foreclosure is a property that has been taken back by a lender because of non-payment. The property is owned by the bank, and is typically listed for sale with a local realtor at fair market value. The bank or lender is most certainly a motivated seller, but you have to keep in mind their bottom line. (and remember that the bank is operating as a business, without too much emotional baggage.) Bank Owned properties, or REO's, can generally be purchased at slightly below full market value.

Short Sales:

A short sale refers to the sale of a property before foreclosure. The home owner is in trouble, recognizes that they are in trouble, and are trying to negotiate a sale that will get them out of the property without too much of a black mark on their credit report. In a short sale situation, the lender has agreed to a sale, usually at a loss, and has approval authority over any offers. Purchasing a home as a short sale is usually where you will find the best deals. There is some urgency on the part of the homeowner and lender to "stop the bleeding".

Default properties (Pre-foreclosure):

A property in default is a prime candidate for a short sale. Sadly, many home owners refuse to acknowledge or accept that they will loose their home, and take no action. A home owner is considered to be in default once they become 30 past due on a payment, and the mortgage lender typically starts legal action (by serving a notice of default) when the payment is 60-90 days past due. Default properties are good to watch (and I keep a data base of every home in default in Thurston County), for obvious reasons. A strategy found in many real estate investment books is to approach properties owners in default and attempt to negotiate a sale (a technique I call a "cold short sale"). When working this technique, be aware of what you are competing with. The homeowner is being hounded by bill collectors, receiving calls, mail and email promising solutions, and is also being called by every realtor in town asking to list the property. Needless to say, these people are gun-shy, and are in denial about their situation...or they would have listed and tried to sell the home themselves.

Real Estate owned by banks and lenders (REO's):

Following Short sale, Real estate owned (REO) property is the best source of financially distressed properties. As I said before, the bank is operating following a business plan, or model, that clearly spells out how they will deal with foreclosed properties. They of course want to get as much as possible for the property (they will almost inevitably loose money, but they try to limit the loss), and they will hire a local real estate agent knowledgeable of the market and able to protect their interests.

The bank will try to get as much as they can for properties they own, only makes sense. But they also consider holding costs, taxes, insurance, and other expenses when deciding how to price a home, and in the offer that they ultimately accept. A good way to look at it (and you should look at your own investments the same way) is that every month that you hold a property, the price should go up by the amount of holding costs. Conversely, a price decrease now may make sense rather that taking a month to month loss waiting for a higher price....it's all in the numbers.

All of the homes on the tour are listed on the MLS, and are either short sales or bank owned. If you are interested in making an offer on any of these properties, or if you would like to visit properties that more closely fit your needs, please contact me at the number below. The properties on the tour are a cross section of what is currently available. I have avoided severely distressed properties and properties with less than enthusiastic sellers. We will visit 8-12 homes of over a hundred that are short sales or REO's...in other words please call if you would like to scratch deeper; today we are just scratching the surface.

If you would like to participate in one of our weekend tours, or if you would prefer a one on one tour of homes that are specific to your needs, please visit Olympia-HomesOnline, or email Phil at Phil@PhilSharpHomes.com. You can also RSVP by calling 360-455-1366. The tour has been consistently booked about a week in advance so please RSVP as soon as possible.