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Best Home Sales Since ‘07

by Rob Zwemmer

According to the National Association of Realtors (NAR), the sale of previously owned homes was up 128 percent from last year. Full-year sales totaled 4.65 million, up 9 percent from 2011. It was clearly the best year for home sales since 2007. Record-low mortgage rates and a rebound in home prices are enticing buyers who have been waiting for the window of opportunity. Years of depressed home prices, and the low mortgage rates combined, have created the most affordable housing market on record. Strong sales in 2013 is the prediction… a forecast of 5.1 million existing home sales this year, and 5.4 million for the following year. The improved home demand in December led to the inventory of homes for sale to fall to 1.82 million homes on the market, the lowest supply since January, 2001. One factor in tightening supplies is a drop in foreclosures and other distressed home sales, which made up only 24 percent of home sales in December, as compared to 32 percent in the previous year. Tighter supply, and the drop in distressed sales, have helped to raise home prices so that the median sales price for the year rose to $176,600, up 6.3 percent from 2011... the biggest gain in prices since the bubble year of 2005.

The window of opportunity is open, so why not start shopping now for the home of your dreams.


Begin your search at www.desertonline.com - Zwemmer & Associates has a full staff of agents, marketing and administrative professionals to guide you through the process of buying a desert home anywhere in the Coachella Valley. The video below is just a snapshot of the lifestyle you could be enjoying every day!
Talk to you soon!


Rob Zwemmer
Zwemmer & Associates

Planning a New Patio?

by Rob Zwemmer

Think of your patio as if it were another room in your home. It should have a design/color scheme and enough outdoor furniture to comfortably accommodate entertaining, dining and relaxation. Fire pits, barbecue stations, water features and the right plantings are additions to carefully consider in enhancing your new outdoor living area. Draw a sketch of what you envision. One area may be allocated as the barbecue area; one section may have the dining table with chairs or benches; another section may be for lounging and tanning. Your new patio will serve you in a number of ways. Assess where you will want to plant trees, flowers or agave plants. Natural rock accent treatments add character to a patio area. Research the types of plants and whether they can take full sun or require partial shade; are drought tolerant or require constant watering and attention. Sketch your plants into the patio design you are planning that can be shared with a professional landscape designer, or to use as a “go-by” if you are tackling it yourself. Treat your patio as if it were an outdoor room, created to suit the needs of everyone in the family. 

Palm Springs Valley Homes for Sale can be found on our website: www.desertonline.com

Rob Zwemmer
Zwemmer & Associates

Need a Pep Talk? Video ..........

by Rob Zwemmer

Feeling low on energy today?

http://www.desertonline.com/Blog

Andalusia at Coral Mountain

by Rob Zwemmer

A renovation of the current model homes signals a new day at Andalusia at Coral Mountain. Modern and classic desert golf course homes of distinctive style and sophistication are situated within the peaceful Coral Mountain area where majestic mountains rise to meet the sky, and frame the encircling fairways of the Rees Jones-designed championship course. Renovated model homes reflect an updated look with a more contemporary modern feel. Take a tour and discover the Andalusia lifestyle centered on recreation and leisure entertainment.

Contact Zwemmer & Associates for more information about La Quinta Properties and other luxury properties all around the Palm Springs area. Visit www.desertonline.com.

Rob Zwemmer
Zwemmer & Associates

Leased Land vs. Fee Simple

by Rob Zwemmer

Many ask what is the difference between Leased Land & Fee Simple land?

Leased land reduces the cost of a home by about 25 percent. Once a home is built on the parcel, the land can be of no other use to the homeowner. They benefit from the use of the land without the capital outlay, and purchase a home for a lot less than if it was situated on leased land.

Resales of Palm Springs Valley homes on leased land (such as properties located at Canyon Estates, Mission Hills, Seven Lakes and Cathedral Canyon) have maintained the value of other homes in the area. There is no need to feel that the value of a property on leased land will be hindered by that fact.

Here are frequently asked questions about Indian-leased land:

WHAT ABOUT MY CHILDREN AND GRANDCHILDREN AND WILL I BE ABLE TO PASS A LEASE HOLD ESTATE ON TO THEM?
You can give or sell your home on leased land just as easily as on fee land. However, if you are concerned about your heirs 65 years from now, there are four realistic questions you should think about:

1. Will they really want a 65 year-old home when the average life of most California residences is estimated at less than fifty years?
2. Considering that most residences change ownership about every five years (which would be more than 10 turns of ownership during the life of your lease) is this home really likely to stay in your family for 65 years?
3. If you have a savings of $206 per month ($2472.00 per year) by leasing land vs. purchasing, over the life of a 65-year lease, your savings would be a total of $160,680.00, even if it earned no interest. If you kept this monthly savings in an account paying 10% annual interest,your savings would exceed $1,250,000 over 65 years (and even more if interest were compounded monthly).
4. What happens at the end of the lease? Since there is no legal restriction prohibiting the tribe from selling its land, you or your heirs may have the option to purchase. You probably would be offered a new lease based on conditions existing at that time. There would be no financial advantage to taking the land back.

WHY DO SOME PEOPLE COMPARE A HOME ON LEASED LAND TO A VARIABLE ANNUITY LIFE INSURANCE POLICY?
Just as a variable annuity gives you the possibility of gaining from both fixed interest rates and asset appreciation, a home purchased on leased land gives you a monthly savings along with the possibility of home appreciation. It can be an investment hedge whether home prices are rising or falling. During an "up" period, your home will increase in price. In a "down" period, the dollars you did not spend on land, but invested in a fixed interest savings, will continue to increase. Today, building on leased land is no longer an advantage reserved for business and investment buyers.

View our latest Featured listings at desertonline.com and take a look at our snapshot of Rancho Mirage.

Rob Zwemmer
Zwemmer & Associates

Valley Foreclosure Rates Falling

by Rob Zwemmer

The Coachella Valley’s Real Estate market continues to get healthier, with foreclosure activity falling 44 percent year-over-year in December and about 41 percent during the fourth quarter.

The final three months of 2012 saw 601 notices of default, 582 trustee sale notifications and 582 bank repossessions. Those 1,765 foreclosure-related filings compared with 3,070 during the fourth quarter of 2011, Irvine-based Real Estate information firm RealtyTrac reported.


In December, the valley had 487 total foreclosure filings, a 44.5 percent drop from December 2011.

Be sure to check our Featured listings, Community Information and more at www.desertonline.com

Rob Zwemmer
Zwemmer & Associates

Mortgage Rates Remain Low

by Rob Zwemmer

According to Freddie Mac’s latest Primary Mortgage Market Survey, 30-year fixed-rate mortgage rates averaged 3.34 percent (with 0.7 points) last week versus 3.91 percent a year ago, down from 3.35 percent at the end of 2012 and within a few basis points of an all-time low.

The average 15-year fixed mortgage rate dropped to 2.64 percent last week versus 3.23 percent a year ago, down from 2.65 percent at the end of 2012.

Humana Challenge Set to Start

by Rob Zwemmer

 

The stars will be shining bright when the long-awaited Humana Challenge tees off this weekend. The roster of celebrity players will include singer Michael Bolton, TV host Carson Daly, rock legend Alice Cooper, and comedian Ron White. Former President Bill Clinton may also play in the tournament. Celebrity players will be in the amateur field of the three-day pro-am portion of the PGA Tour event at three different La Quinta courses, Jan. 17-19. Pros only will be featured in the Jan. 20 round.

For the second straight season, Phil Mickelson, ranked 15th in the world and two-time champion of the event, will open his PGA Tour season at the Humana. He will be joined by defending FedEx Cup champ, Brandt Snedeker, and 2012 Humana champ, Mark Wilson.

Formerly the Bob Hope Classic, the tournament was founded as the Palm Springs Golf Classic in 1960, created out of the Thunderbird Invitational held in the 1950s. The first tournament was won by Arnold Palmer with a final score of 338, or 22 under par. Bob Hope added his name to the tourney in 1965, and acted as the Bob Hope Classic’s Chairman of the Board. Today, the Humana Challenge, in partnership with the William J. Clinton Foundation, hosts courses at Palmer Private and Nicklaus Private at PGA West, and the La Quinta Country Club. Since 1960, Desert Classic Charities, the nonprofit entity that organizes the Humana Challenge, has donated more than $52 million to Eisenhower Medical Center and other local nonprofit organizations. The 2012 Humana Challenge announced record donations of nearly $2.1 million to local organizations.

See you on the green!

Tournament Schedule of Events

Saturday, January 12
Humana Day at Certified Farmers’ Market
La Quinta Community Park
Registration: 7:00 a.m. Walk starts at 8:00 a.m.
FREE admission!

Sunday, January 13
Humana Day at the Certified Farmers' Market

Old Town La Quinta
8:00 a.m. to noon
FREE admission!
Tournament Week
January 14 - 20, 2013
Monday, January 14
8:30 a.m. – Couples Challenge Pro-Am
Nicklaus Private at PGA WEST

Practice rounds on all courses
FREE admission!

Tuesday, January 15
8:30 a.m. – Practice rounds on all courses
FREE admission!

Wednesday, January 16
8:30 a.m. – Bob Hope Legacy Pro-Am
Palmer Private at PGA WEST

Practice rounds on all courses

Thursday, January 17
Novo Nordisk Seniors' Day

8:30 a.m. – First Round
Pro-Am play on all courses

Friday, January 18
KMIR6/KPSE MY 13 Women's Day

8:30 a.m. – Second Round
Pro-Am play on all courses

Saturday, January 19
Humana Military Appreciation Day

8:30 a.m. – Third Round
Pro-Am play on all courses

Sunday, January 20
Barbara Sinatra Children's Center Kids' Day

8:30 a.m. – Final Round
Professionals only – low 70 and ties
Palmer Private at PGA WEST

Bob Hope Memorial Trophy Presentation
immediately after play on the 18th green of
the Palmer Private at PGA WEST

*All times approximate. Check Daily Pairings Sheet or The Desert Sun for specific times.

Searching for Palm Springs Real Estate? Check our Featured Listings and view your favorite properties while you are in town.  There are beautiful golf course resort La Quinta Homes, where all the Humana Challenge action is.

Rob Zwemmer
Zwemmer & Associates

Where Have the Foreclosures Gone?

by Rob Zwemmer

I always hear the question: “How’s the state of the Real Estate business?”, but lately there has been another common question, “Where have all the foreclosures gone around the desert?” Recent numbers show that properties going into foreclosure have been at the lowest level in six years, and the desert area is no exception. Banks and lenders are still adjusting to the new rules set by the $25,000,000 settlement for claims on processing foreclosures without verifying properly filed paperwork. Once confidence is established regarding the new rules, we will begin to see banks moving forward more rapidly. Desert home sales are reflecting this trend right at this time. November posted an increase in 11 percent from October, and 5 percent in November this same time last year—the first annual increase since October, 2010. Our desert home foreclosure rates could also be trending down as banks and lenders are more open to settling short sales and working through loan modifications as late payers begin to find employment, regroup their financial state, and begin paying back their obligations on time.

In 2008, banks were foreclosing on approximately 27,000 properties a month throughout California. In 2012, the number decreased to an average of about 5,500 properties a month. The rumor mill has cited another wave of foreclosed properties on its way, but the numbers just don’t bear this out. It takes the banks over a nine-month period to resell a foreclosure in California. If this new wave were on its way, there would be a major increase in “Notice of Default” filings at this time, and we aren’t seeing that fact.

Fourth quarter 2012 began with foreclosure activity in September falling across the valley 27.9 percent as compared to the same time period in 2011, according to RealtyTrac, a foreclosure tracking firm. Distressed properties made up 42 percent of the valley's single-family home sales in October, down from 55 percent this same time in 2011.

Distressed inventory has not been this low since June, 2007. It currently represents just 15 percent of the total active inventory and 39 percent demand. This time last year it represented 34 percent of the inventory, and 51 percent of the demand. Right now the story is: limited supply and strong demand, clearly signaling a transition into a more positive economic state ahead.

Check out our latest video showcasing our desert valley. Visit www.desertonline.com to view our latest golf course community listings.

Rob Zwemmer
Zwemmer & Associates



Who Pays What?

by Rob Zwemmer

A very common question from both buyers and sellers is “who pays for what during a Real Estate transaction?”

Let’s clear up the questions and gray areas for both buyers and sellers.


The Seller is generally responsible for:

•    Real Estate Commission
•    Document preparation fee for Deed
•    Any City Transfer/Conveyance Tax (according to  contract)
•    Any loan fees required by buyer’s lender
•    Payoff of all loans in seller’s name (or the existing loan balance if assumed by buyer)
•    Interest accrued to lender being paid off; Reconveyance Fees, Statement Fees
•    Termite Inspection and any Termite Repair (According to Contract)
•    Home Warranty (According to Contract)
•    Any judgments, tax liens, etc. against seller
•    Tax Proration (for any unpaid taxes at time of title transfer)
•    Any unpaid Homeowner’s Dues
•    Title Insurance Premium
•    Recording charges to clear all Documents of Record against seller
•    Any bonds or assessments (According to Contract)
•    All delinquent taxes
•    Notary & Escrow Fees

The Buyer is generally responsible for:

•    Title Insurance Premium
•    Notary & Escrow Fees
•    Document Preparation
•    Recording charges for all documents in buyer’s name
•    Termite Inspection (According to Contract)
•    Tax proration (From Acquisition Date)
•    Homeowner’s Transfer Fee
•    All new loan charges (except those required by lender for seller to pay)
•    Interest on new loan from date of funding to 30 days prior to first payment date
•    Assumption/Change of Records fees for takeover of existing loan
•    Beneficiary Statement Fee for assumption of existing loan
•    Inspection Fees (property inspection, roofing, etc.)
•    Home Warranty (According to Contract)
•    City Transfer/Conveyance Tax (According to Contract)
•    Fire Insurance Premium for first year

For more answers and explanations on Real Estate Transactions, please contact:

Zwemmer & Associates
www.desertonline.com


We are here to help!




Displaying blog entries 1-10 of 11

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