Sandy Peckinpah

Clients pondering their own housing situation have asked the question:

"How long will it take to recover from a foreclosure, a short sale, bankruptcy, etc." and "When will I be able the buy again?"

The answer is crucial in making the right decision for their financial future. We, as agents, are not lawyers or accountants and always advise our clients to seek legal advice, but the following simple guidelines were offered by Haley Farnam at Coldwell Banker Home Loans. These are the guidelines for obtaining a new mortgages:

Action: Conforming/Non Conforming

Bankruptcy (except chapter 13) 4 years from the dismissal date of the bankruptcy action

Chapter 13 Bankruptcy 2 years from either the discharge date or 4 years from the dismissal date

Foreclosure 5 years from the completion date, Additional requirements that apply after 5 years up to 7 years following the completion date:

The purchase of a primary residence is permitted with a minimum of 10%f down payment and a minimum respresentative score of 680

Purchase of a second home or investment property is not permitted

Limited Cash-out refinances are permitted for all occupancy types pursuant to the eligibility requirements in effect at that time

Cash out refinances are not permitted for any occupancy type

Deed-in-Lieu of Foreclosure 4 years from completion date (date deed in lieu executed)

Additional requirements that apply after 4 years up to 7 years following the completion date:

Borrower may purchase a property secured by a primary residence, second home, or investment property with the greater of 10% minimum down payment or the minimum down payment required for the transaction

Limited cash-out and cash-out transactions secured by a primary residence, second home or investment property are permitted pursuant to the eligibility requirements in effect at that time.

Time Period after a Pre-Foreclosure (short sale) 2 years from the completion date. This will show on the credit report as a comment to the reporting of delinquency and will typically be reflected as "Paid in Full Less Than Full Balance" or as a "Deficient Payoff/Settlement."

FHA

Bankruptcies (Chapter 7) Fully discharged at least 2 years

Schedule of debtors and discharge date. The borrower must have re-established good credit or chosen not to incur new credit obligations. The borrower also must have demonstrated a documented ability to responsibly manage his or her financial affairs. Not delinquent credit after the bankruptcy. Detailed credit explanation.

Bankruptcies (Chapter 13) 1 full year timely payments made. Trustee approved. No delinquencies. Detailed credit explanation

Foreclosures/Deed in Lieu Released at least 3 years. Detailed Credit explanation.

Everyone needs a little hope in life right now. There's a rainbow waiting in knowing that you or your clients will recover.

Best wishes....

This information was provided by Haley Farnam, Mortgage Advisor, Coldwell Banker Home Loans. These guidelines may have changed or will be changing in the future. As always, we recommend you or your clients seek legal advise.

Here''s the information that could change your financial future! Experts say to always buy "up" in a "down" market! For those buyers who are still waiting for the prices to drop, an article in the Los Angeles Times this week said that demand may be slowly reviving. In February existing home sales rose 5%.

Here, in the Murrieta/Temecula area, we have seen the inventory change from a flood of REO's to a flood of short sales. Since shortsales have been difficult to negotiate, the buyers are flooding the market with offers on REO's.

Rick Hoffman, President and CEO of Coldwell Banker of San Diego, Temecula, and Desert Regions states now may be the time to buy. "Mortgage rates remain low (certainly by historical standards), prices have stabilized to the low prices of years ago, and there is a large selection of homes to choose from! If history is any indication, then real estate over the long run will continue to be a solid investment, especially at bargain prices.

Looking at the last 40 years of real estate in California, we have seen very few times in which real estate values have dropped. In fact, according to the California Association of Realtors, since 1970 the real estate market in California has only dropped seven times: six times under 3.7% and only once at 4.5%. "

A drop in the market can be a good thing...and we''ll tell you why...Because that is when you can create your real estate portfolio and ensure your abundant financial future! Millionaires are made in this market!

In 1970 the median cost of a single family home in California was $26,000. Today 37 years later, homes have seen 2,165% increase now selling for $588,970! Not a bad return on your money! Look at even narrower time frames: In 1990 the median price of a single family home in California was $194,952. Today, 17 years later, that same single family home is selling for $588,970.

Certainly in the last year we have seen a shift from a seller''s market to a buyer''s market, but that switch was necessary to continue a healthy flow of exchange amongst buyers and sellers.

The bottom line is that our economy couldn't maintain the double digit increases we saw in home prices in 2003 and 2004 without seeing a shift. If we continued to see an upstream of that magnitude, we would nearly eliminate the first-time homebuyers which could potentially drastically hinder our economy. Shifts in our market are what keeps this country's American Dream of still happening...owning real estate.

The statement we hear most often is "I want to wait for the market to hit bottom." Well, realistically no one knows when that will be, but in the Los Angeles Times on January 15, 2008, they said prices would rise 6.6% in 2009.

We, watch the market every day, and the truth is, houses are being bought by investors quickly. You can''t believe how many offers there are on well priced properties. Smart investors are recognizing the time to buy is now, while the inventory is abundant. As soon as the inventory starts to drop...that''s when prices will go up. Promise.

So here''s the challenge:

Don''t be left saying..."I wish I would have..."

Millionaires will be made in this market and we want you to be one of them!

Sandy Peckinpah & Kim Driussi

The RED TEAM

This last year, (or 2 years if I'm really expressing the truth) has been a very challenging market. As a realtor I have been forced to learn about things I never dreamed of knowing. Until this market hit, I had never had a buyer use an FHA or VA loan. Until this market hit, I never saw 50 offers on one house. Until this market hit, I never had a commission below $2000! Until this market, I had never listed a property for a bank. I didn't even know the terms "short sale" or " REO!"

I have been a realtor since 2003 and my business partner since 2000. I have been forced, by this market to become a better, more knowledgeable realtor. I have taken class after class to fully embrace what this market has to offer, and just about the time I feel I understand it, the cycle will be all new and the learning curve will start all over again.

Here's what I learned:

On Friday, I closed an escrow that brought me to my knees with joy. My partner and I had started working with this client about a month ago. He was a young father who tragically lost his young wife to a drunk driver nearly 5 years ago. He was left to care for his 4 young children, emotionally and physically. Five years have passed, and he found love again, and two additional children with that union. I am certain there was a power greater than ours, working with us. We had a property we had listed and sold for a bank that suddenly fell out of escrow! It was perfect for them...even the location and number of bedrooms!

Offer excepted, it was a 3 week escrow, and Friday we celebrated with balloons, sparkling cider, parents, kids, and dogs! I was in tears so many times that day, thinking about how this young family had been given a chance to find joy again.

It struck me that only in this market could that young family have afforded this house. Only in this market would I have listed a bank owned property. And most of all, because of this market, I learned that everything seems to come at the right time. Even this market.

My partner and I enjoy telling potential buyers...

Murrieta Real Estate is having a Half Price Sale! Hurry and be there when the doors open!

This truth is welcomed by buyers and dreaded by sellers.

It is more important than ever, as a buyer, to take advantage of the prices being rolled back to what they were 8-10 years ago!

Sellers...here's how you can justify your horrendous drop in value: You may be able to make up what you feel you lost, by the incredible value your are getting on a new home.

We've been knocked down hard in Murrieta. Forbes Magazine called us the "Foreclosure Boomtown!" We will recover, it may take a few years. Historically homes go up 3 to 5% a year after a drop like this.

There is a term I heard my stock broker say when I inquired about my portfolio drop. He called it a "Market Correction." Well that's what we have here in our beautiful community. We can buy homes at an affordable price for awhile. Real Estate was always considered a long term investment before the boom began. It will need to go back to that for our economy to stabilize.

Yes, there are multiple offers on bank properties. Yes, you may have to get into a bidding war. But think of the rewards. An investment that can improve the quality of your life for years to come.

We know how to get our offers accepted and have had nearly a 95% success rate at getting that to happen for our clients. Call us and we can set you up on an automatic e-mail that will alert you as soon as new properties go on the market. The second thing you need to do is get pre-qualified by a lender (we can recommend several). Take both of these steps and you will be armed and ready when you find the investment and home of your dreams.

Call us: Sandy Peckinpah 951-304-9683 Kim Driussi 951-316-2533

Red Team

e-mail us: redteam@ca.rr.com

For now...go ahead and search for property on our website; http://www.realestateisredhot.com