Heritage Night TITANIC Centennial Dinner

Join me Saturday, March 31st, 2012 along with my hosts, Fran Rondea, Blanche Crabe and Fred Runner as I wear my 'chef's' hat to prepare a menu inspired by the dinner service on the RMS Titanic's last night.

Location:  The Honeymoon Cabin at West Point Inn (Built in 1918 by Dr. Washington Dodge, RMS Titanic survivor).

Find out more here:  West Point Inn Menu

The mess left behind....

The mess left behind....

This article examines taxation of post-death foreclosures.

• Personal liability of the PR
• Probate section 10361 (very important to your's truly)
• Insolvency defense

The mortgage meltdown has produced so many upside down properties, many estates now have debt forgiveness tax issues, situations where there is no money to pay the costs of administration and other unforeseen issues. This article by Jim Lamping helps clarify the issues.

Click on the link above for the full text.

A good read.

Are there estate taxes due?

An interesting read. This article highlights the most common issues that estates face in the sale of real property. Who owns it? Is it subject to probate? Are there taxes owed?

 We found a will.....

Always best to consult with an estate planner or attorney to avoid serious pitfalls. It isn't for you, it is for those left behind that planning is important. I figure, what the heck, cut them some slack and make their life easier.

This is a column found at Len Tillem and Rosie McNichols website

New carbon monoxide law for home sales in California

New carbon monoxide detector requirement.

I checked with the California Association of Realtors legal department to see if probates are exempt as smoke detectors are for 1-4 unit residential properties. The answer was no. A reading of the new law confirmed this. So, we'll have to make sure this is done before cloes os escrow. Can it be pushed onto the buyer? No restrictions on this. Just has to be done before we close.

Here is a link to the new Carbon Monoxide law.

US Home Prices Bouncing Around, Case/Shiller Index

Take a moment to read this report. The Case/Shiller index has been on the bearish side of the market since its inception. This as opposed to the realtor associations which have been as bullish as possible.



http://library.constantcontact.com/download/get/file/1102752268866-14/Article+U.S.+Home+Prices+Bouncing+Around.pdf

Micro markets

I had an interesting conversation with a Portland, Oregon agent the other day. His comment about the bay area, San Francisco in particular, real estate was telling. He thought that all of San Francisco was on fire market wise. He had no concept of "micro" or "neighborhood" markets. A recent listing I had in the Outer Mission took 90 days to sell and that after a price reduction. Go over to Noe Valley and prices/sales are much stronger. I asked him about Marin County and he said, "huh?". Or Piedmont. Same response. Heck, there are some public parks in Oakland and Berkeley where parents and nannies take their young kids to play that drive the market in those neighborhoods. Just something to keep in mind when considering the market. Each micro market is different.

FHA 203K rehab loans

This type of loan pairs nicely with many probate properties. Many need extensive work and this loan can provide the funds. It is similar to other loans in that credit and income levels must be met. The escrow period is longer though. Up to 90 days.

The buyer must get a bid from a licensed contractor and set out the scope of work. Submitting this to the lender before the appraisal can be done. The appraiser needs this information in order to determine the FUTURE improved value of the property. For instance, if the property would sell for $350,000 not fixed up and the buyer borrows an additional $100,000 to do the rehab, the appraiser has to appraise the property at $450,000 or more in order for the loan to be approved. As you can see, it is helpful if the buyer has an existing relationship with a contractor. Otherwise this process could drag out forever! Appraisal is ordered once the scope of work has been defined and agreed to by the buyer, the buyer’s contractor and a HUD Consultant. The lender coordinates this process with the HUD consultant and if the scope of work is less than $35,000 and the work is not structural, then a HUD Consultant is not required. Appraisal is done on an after-renovated basis incorporating the scope of work and bid.

Also, we need to validate the buyer’s contractor which normally takes about 4-5 days once we receive the completed contractor documents.

Just another tool in the toolbox to close a deal.