Archive for October, 2009
Is there really a drought?
October 27th, 2009 Categories: Real Estate News
SAN DIEGO- I have written in blog about my feelings towards water and its importance to our future. I am in full support of the new desalination plant that will be built in Carlsbad and would 
have no problem allowing the city of San Diego to hook me up to the toilet to tap network that has been proposed for years.
Now I know this will not sit well with many and I understand and respect that. However if this you, you need to take action now as our county supervisors are keenly aware that housing provides a huge portion of the economic fuel the San Diego economy needs to keep going and they are willing to sacrifice a lot for the money. In order to increase revenues, we need more homes for more property tax dollars and more construction also brings additional revenue through permits, taxes and fees. Reminds me of the Guns N Roses lyric;
I used to do a little, but a little wouldn’t do it, So the little got more and more
I just keep tryin’ to get a little better, Said a little better than before- Axl Rose
This week the county planning commission voted to put dollars ahead of natural resources and potential nature related disasters(since most wildfires are caused by us, I won’t call them a natural disaster here).
In a 5-2 vote, the commission voted to recommend the rezoning of 2300+ acres of chaparral covered hillsides off the I-15 near Lawrence Welk’s resort. This zoning change does not allow an increased density change of a few percent, but a change in excess of 750%!!!
Yes with the collective wisdom of 5 commission members, they approved RECOMMENDING a zoning change to the county master plan that would allow the construction of up to 2700 homes from 345. The project would also include commercial areas and graciously parks and 
fire station. This recommendation will go to the county board of supervisors who will have deciding vote.
Water attorney Wes Peltzer spoke against Merriam Mountains at a recent planning commission meeting. He says California is in a crisis and can’t afford water for more homes.
"Which do you need more? Do you need more houses and another commercial development, or do you need water?" Peltzer said- CBS8.com
I spoke with Bob Fry, board member of the Deer Springs Fire district, and he informed me that the predicted water usage of the development upon completion would be 1.3 million gallons a day. Additionally, he was told in a separate meeting that they will not be recycling their waste water or using grey water as building a treatment facility and the additional infrastructure “does not pencil out”. Because of the rural nature of the area, the local treatment facility would not be able to treat the increase of wastewater, so the waste water would be piped to a facility in Carlsbad adding an additional 500,000 gallons of sewage flowing into the Pacific from the facilities outfall pipe.
On the topic of wildfire, a condition placed on the approval is for the developer to create an 
evacuation plan with the help of the local fire district. In my conversation with Mr. Fry we discussed what all of this meant to the fire district. The first thing one needs to understand in this will increase the number of residence in the fire district that takes care of these remote areas from 12,000 to approximately 20,000. When I hear about a evacuation all I can picture is the folks trying to get out of New Orleans. Having ridden extensively through this area on bike rides, many of these existing roads would be backed with 100 cars on them as they are single lane and wind and weave their way through the back country.
I know growth is inevitable, but this is far from managed growth and is actually contrary to the approved county master plan. As opposing commissioner Peder Norby said;
“Why have a General Plan if we approve projects like this?”- San Diego Union Tribune, October 24,2009
| Currently No Comments »
Sellers, don’t be misled by high offers
October 23rd, 2009 Categories: Real Estate News
SAN DIEGO- I recently wrote about how low inventory levels in the under $400,000 home price range. There are many home buyers competing for properties in this price with investors and those with cash that some new tactics are being used.
When the real estate market was going crazy earlier this decade often times home buyers would 
make offers on a property just to ‘tie it up’. There was so much competition that while you were thinking about it, someone else was buying the home. So many buyers resorted to negotiating an offer, whether they truly wanted the home or not, and then used that time or the contingency period of the contract to decide if they liked the house. Often times it seemed like the only option one had. Additionally homes were often selling for more than the asking price so you had to be prepared to offer over the asking price if you truly wanted the home.
The new strategy being implemented by some when facing competition of multiple offers in our current market is to ‘hyper-offer’. This strategy involves making what can sometimes be a ridiculously high offer hoping that seller will just see dollar signs. The problem for the seller and the savoir for the buyer lies in appraisal contingency of the California purchase contract.
The sell of the home is contingent on the “…. property appraising for no less than the specified purchase price.”
So, you have a homes for sale for $375,000 that is actually worth about $415,000 and in the first several days you receive 4-7 offers. I call your agent, I AM USING THIS AS AN EXAMPLE AND DO NOT PRACTICE OR ADVOCATE THIS, to find out when they are presenting the offers. With this information, I submit an offer on behalf of my buyers a couple hours before the meeting at an inflated price such as $465,000. The sellers see this BIG number, starts counting their money and 
accept your offer.
A week goes by when you the buyer has your appraisal done, which comes in at $415,000. You then take this back to the seller and renegotiate your offer with the low appraisal. The buyer stresses that their not going to get more than the appraised value if they put decide to put their house on the market, so they may as well just continue on with you, the current buyer, at the new lower price.
To avoid all of this, work with an agent, ME, that understands these things and will work hard to make sure you are aware of all the terms that make up the real estate purchase offer as there is so much more than the money. Though, that’s a pretty important part!!!
| Currently No Comments »
$3500 for my dog?
October 20th, 2009 Categories: Real Estate News
SAN DIEGO- Have I told you I love my dog? I think I have, but this is ridiculous.
It seems a Republican Congressman has put forth a proposal to create a $3500 pet tax deduction.
"When you think about the relationship between people and pets and the humane way that it helps people think, it seemed to me to be a good idea,"- Rep. Thaddeus McCotter of Michigan
Now I am all for getting the maximum from your deductions but this is ridiculous. Yes owning a pet can be expensive, I just paid about $400 for medication related to a skin allergy, but Dave, my dog, is a luxury in my life and luxury are not deductions. He’s my friend and at times my therapist. He also makes me a better person 
as I have often thought back to the bumper sticker, “Let me be the person my dog thinks I am”.
Now I really don’t think there is a chance in heck that this will go anywhere but my two reasons of opposition are 1) we as a country and state can not afford this type of frivolous deduction and 2) much like not being able to adopt black cats at Halloween or bunnies at Easter, people would bring animals in to their lives for the worst reason of all only to discard them when they no longer are ‘profitable.
| Currently 1 Comment »
Get Your TCSD custom Cannondale Slice FREE!!!
October 16th, 2009 Categories: Real Estate News
SAN DIEGO- I am making this offer to any clients over the next year that purchase a Triathlon Club of San Diego Cannondale Slice this week from NYTRO. Call me or email for all the information.
| Currently No Comments »
If you are missing mortgage payments you need to TAKE ACTION!!!
October 13th, 2009 Categories: Real Estate News
ENCINITAS- A search for a couple clients turned up this home for sale located at 1025 
Melba in the Cardiff/ Encinitas area of coastal north county today. While the listing looks like a great deal, this falls in to that ‘too good to be true’ category. It’s funny, but under pricing homes similar to this is a quite common, yet unfortunate, marketing strategy. Four of the last 6 homes sold in this area sold for approximately 10% more than the asking price.
While not all of these homes fall into this category, one of the primary reasons for needing to implement this strategy is procrastination on the part of homeowners in financial distress. While I do not know this seller or agent, digging a bit deeper reveals some facts that support this theory. The bank judgment amount is over $540,000 and the home is scheduled to go to trustee’s sale on 10/21, yet the house has only been on the MLS for one day. Additionally in the comment field of the SANDICOR listing we see;
All showings will be between 9-3 on Wed. Oct. 14th. NO OTHER SHOWINGS. Offers to be submitted by 6:00 Wed. night. OPEN HOUSE WED 10/14, 9-3
With this information, and from seeing this pattern before, I am making the assumption there is a huge time crunch here and unfortunately it is most likely self-inflicted.
Knowing the foreclosure process is at least 90 days, homeowners who are in trouble financially would be wise to start the loan modification and short sale processes ASAP. The longer one waits to take action the less opportunity there is to implement an action plan which often leads to failure.
If you are having troubles keeping up with your house payments, contact Brian Long for confidential consultation. Again, action, as is often the case, is the key to a successful resolution.
| Currently No Comments »
