Ed Mikenas, Home Buyer in

I'm looking for a great deal on a home in Murrieta or Temecula. Has the market bottomed out yet?

Asked by Ed Mikenas, Mon Apr 21, 2008

I'm waiting for the flood of forclosed homes that will hit the market and drive down the price of homes further.

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Noah didn't sleep through the flood ... and neither should you!

Most define the bottom as 3 consecutive months of fewer listings than sales. SO what does the market look like in the last 30 days?

391 listings came on the market and only 161 sold. Definitely not the bottom, right?

Wait.

If we exclude short sale listings (because only 4 out of 100 close) we find that there were 162 listings and 161 sales in the last month! Today's short sale is likely to be tomorrow's bank-owned. But even so the market is now in balance, thus deals are harder to find and negotiate.

The key is to (1) get credit-aproved by a lender you know, like, and trust; and (2) carefully write reasonable offers at a price you are willing to accept.

Things you can adjust to give yourself an advantage are the escrow epriod, the contingency period, bringing in a deposit increase anfter you remove contingencies, and not asking for more than 3% in closing costs.

Another way to define the bottom of a market is price. Bank-owned homes are selling today for about 55% of what they sold for two years ago. Plus, interest rates are more affordable and sellers are paying more in closing costs.

You're rightly cautious, but get the right facts and be unafraid to act. You'll be glad you did!

Thanks for the opportunity to compete for your business. IF you have any other questions you can reach me directly at 951-571-9229 or sean.giorgianni@gmail.com
Web Reference: http://frclsrtv.com
2 votes Thank Flag Link Mon Apr 21, 2008
Keep waiting... it's coming. Just remember... in the stock market.. bulls make money, bears make money and pigs get slaughtered. If you try to time the market exactly, you may miss out.

Consider following Warren Buffet's simple wisdom of remaining fearful when others are greedy and greedy when others are fearful. It seems to have worked well for him.

Got questions?? Call me at 951-308-1917.
2 votes Thank Flag Link Mon Apr 21, 2008
I'd say so. The inventory is very low and the prices have increased. A lot of people have waited for the flood of foreclosures since 2009... Here's the most recent market update for Nov 1 2012.

http://www.come2temecula.com/temecula-market-update-for-nove…

You can still find great deals. We list and sell a lot of homes here in Temecula/Murrieta and we have a number of upcoming listings not yet on the market. We're personally currently buying homes for rental properties and have done so during the past 2.5 years. We continue to buy homes in this market. These investments offer great cash flow and probably excellent future appreciation.
1 vote Thank Flag Link Thu Nov 22, 2012
I don't think the market has totally bottomed out yet, but the news out there has been that it should go another 5-10 percent in the next several months. However, if you find a home you LOVE, you should purchase it because it may not be on the market if it is priced right if you wait too long. Think of it this way, if you plan on being in your house for the next 10-15 years or longer, you should make money. Real estate is cyclical and we always go through these ups and downs in this industry. Time usually pays off!
1 vote Thank Flag Link Fri Apr 25, 2008
Agents answered this a few years ago, but no one was on the money! Imagine that! Where's the local market at? In 2008 when you asked the question, Ed, the market was in the tank! Home builders were not buying land, let alone building. And dont let anyone 'fool' you, this was not a typical cyclical real estate adjustment period. This was a flat line, ghost town effect period never before seen in real estate that effected the entire nation. No inventory to speak of, the majority of resale homes for sale were not closing, because the banks didnt want them to. FACT: BofA is now being investigated by the Feds regarding the bonus pay to asset managers not allowing a NOD owner to modify their loans and letting them go to foreclosure and or auction. I would not be surprised if all banks are guilty of this. And waiting for the market to bottom and lots a great homes on the market at discounts, didnt happen due to two significant plays. One by the banks and feds to hold off releasing the foreclosed inventory. The banks held in order to send the message to the general public, that the market had bottomed. Secondly, the banks sold off huge portfolios to newly created investment firms at major discounts which in turn, investor groups would apply new paint and carpet, and list these homes for over $100,000 profits and over time listed these homes to create a shortage of inventory, and get the manipulated results they wanted, a frenzy of buyers all bidding on the same home and paying even more then the homes were worth to the extent that buyers were willing to waive appraisal values, and pay the void in cash! In case you still looking for a home, call me and let's discuss in more detail.
Michael Garcia, GRI
dre.# 01147104
951-757-2679
0 votes Thank Flag Link Sat Aug 24, 2013
Another question written years ago that still has relevance. Prices are up recently -
0 votes Thank Flag Link Fri Nov 9, 2012
Market is on its way up at the moment. See Temecula Market Update that was posted today.

http://www.trulia.com/blog/teamforss/2012/10/temecula_market…
0 votes Thank Flag Link Sat Oct 6, 2012
My question to you is do you want to buy
when the market is on its way down
or on its way up???

Nobody knows what the bottom is until
it is too late those and those are the people who find themselves
saying we could've, would've, should've.

One thing for sure there are multiple offers on homes;
that means it is not a stagnate market. My recent buyers
put in several offers before entering escrow; they couldn't compete
with all cash buyers.

AskNancyG@yahoo.com

Keep in mind rates are still low which with inflation on the rise
won't last forever. When rates increase your buying power goes down.
0 votes Thank Flag Link Thu Jul 24, 2008
Hi Ed:

We're in the midst of a challenging home-sale market in many areas. The homes that have what most buyers want tend to hold their value better in a down market than do homes that have defects. In the current environment, buyers are more cautious about what they buy because they know that the property they buy might drop in value before it starts appreciating. But many are buying for the long term knowing their home's value will increase and start building equity. Foreclosures are between 3-4% in the area where I work which is a relatively low number, and will you be interested in some of the homes that are in foreclosure because of the condition they are in and where they are located. If you find a home you love, why wait with interest rates at an all time low. Buying a home priced relatively low now with a lower interest rate might actually cost you more later if you wait to purchase but have a higher interest rate to pay.

From: "Carolyn"
To: "Carolyn Voet"
Subject: Trulia Response Signature
Date: Saturday, April 19, 2008 7:32 AM

BlankCarolyn Voet, ePRO
Committed to Excellence
Windermere Real Estate
Indian Wells
760/774-6510 (cell)
http://www.carolynvoet.mywindermere.com
MailTo:cvoet@sonic.net
0 votes Thank Flag Link Mon Apr 21, 2008
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