North Idaho Janna

Here's a snapshot of the real estate market activity in different North Idaho municipalities.  The first three columns are the stats as of November 21, 2009.  The next twelve columns show the activity over the past 30 days.   Exp is Expired, DOM is Days on Market, Pend is pending which means under contract and waiting to close, BOM is back on the market. Call me if you would like the stats for an area not included here.  (208) 651-9700     

                  As of 11/21/2009                              10/21/2009 to 11/21/2009

Something to keep in mind when you look at DOM (Days on Market) stats is that a great number of Realtors will take their listing off the market periodically and relist it so as to set the counter of Days on Market back to zero.  When the DOM are tabulated as of the Sold date, the DOM of the previous listing period aren't counted.  So quite often, the DOM is significantly higher that the stats reflect for certain homes.  But the fact remains, homes that are SOLD are the homes that are priced correctly, and those homes sell significantly FASTER than the average DOM.  You can see that the average DOM of the SOLD homes is about 4 to 6 months.  Call me if you would like to find out what the average DOM is for homes in your price range and town! (208)651-9700

If you're a numbers person, here is the chart for you.  The List to Sold Price ratio is always interesting.  This chart shows the AVERAGE of the entire MLS area and all price ranges.  The REAL story is when you see that ratio broken down by price range, and by town.  The List to Sold price ratio is always very high, usually 98% or better, in the entry level priced homes.  It also varies from town to town within the price ranges.  It is usually much lower, mid-80's, for the high end homes over $1 million.  Call me if you'd like me to email you a specific report for a particular town or price range!

(My goal for next month is to learn how to turn these stats into beautiful charts and graphs that look fabulous and hold their format on ActiveRain!  Wish me luck!) 

The column headings going from left to right are:  New Volume; Active Volume; Sold Volume(list price);
Sold Volume(sale price); New Avg List; Active Avg List; Sold Avg List; Sold Avg Sale; SP/LP Ratio

These stats cover the entire Coeur d'Alene MLS which takes in all of Kootenai County and surrounding Counties.  You can see that current inventory levels are significantly lower than last year.  If you could see the break down by price range, you'd see clearly that it is the sales in the starter home price ranges that have fueled a lower inventory this October over last.  It is interesting to me to see how similar this September was to last September. 

And I happen to know that there were at least 364 homes that sold this October, because the listing agent for a home my Buyers purchased on October 12 still hasn't found time to change the status in the MLS from pending to SOLD!

If you'd like more information on the real estate market in Coeur d'Alene Idaho and the surrounding areas, just give me a call, I'd love to chat!  (208)651-9700

A Coeur d'Alene Idaho Short Sale VICTORY ~ but no smiling photos this time....

On my drive home to North Idaho from a spring break trip to Colorado I began a journey I couldn't have even imagined.  Somewhere along I-25 in the middle of Wyoming I received a call from Boise agent Brian Brumpton. 

"How do you feel about short sales?" he asked. 

That call lead to a referral of a California woman who had two investment properties in Coeur d'Alene Idaho that she needed to short sale.  She was wiped out financially - every dime she had saved for retirement. 

And thus my incredible journey began. 

In my wildest dreams I couldn't have imagined what would unfold over the next 8 months.  Like layers of an onion, one bit at a time, a story unraveled of a con artist and scammers.  I went about my business of simply trying to get two homes sold for my client before they were lost to foreclosure.  But people, details and circumstances would appear before me, unsolicited, and peel another layer off an onion that I never asked for and wasn't interested in peeling.

The houses were a mess.  One had burst pipes and inoperable plumbing, the other no functional heating system.  Yet she had paid top dollar for them in their undisclosed condition of disrepair, in 2008.  In fact, it is unbelievable to me that they could have appraised for what she paid for them.  Unbelievable that the real estate agent that did a lousy job of looking after her best interest didn't know what was going on. Unbelievable in that I simply don't believe it.  (A strong claim, I know, and I stand by it.) This particular con artist is a master of what he does.  My client is no dummy, she has a PHD.

I found buyers.  Lots of them.  We lost them to delays for one reason or another.  I posted about one withdrawal here.  I lost count of how many would-be buyers moved on down the road.  Times two.  And every time I would turn around another piece of onion skin would fall away and the bogus lease option scam would come more into focus.  Ah ha!  My client was just the patsy they needed to buy the houses so they could skim the equity from the Sellers! 

As the months dragged on, the saga of these homes took on a life of its own.  It drained me and emotionally exhausted my distraught client. Associates of mine would advise me to wash my hands of the whole mess.  She should just let the houses go into foreclosure.  It's not worth how much of my time and energy it was sucking up.  Just not worth it.  And maybe it wasn't. 

But here's the deal.  I had told my client that she would finally have someone she could trust to protect her interests.  That I would be there for her and see her through to the end, come what may.  She had her reasons for wanting a short sale and not a foreclosure.  I also had an obligation to Brian, who had referred this client to me, to do everything in my power to get these homes closed and get a referral fee to his little family.  If it were just ME, was it worth it?  No question, no. 

Today has been an emotional day as we closed on the first house.  An incredible 8 month journey that has involved a really bad dude; a large cast of complicit characters; a judge; the sheriff; phone calls to the executive board at PMI Insurance Company; frivolous accusations against me to my broker; a request from my broker for me to cancel the listings; me defying my broker and not canceling the listings; a lis pendens; grand theft; tears behind closed doors; the sheriffs department; judicial eviction of squatters; a crumbling foundation; rotted sill plate & floor joists; failed septic inspection; last minute lien; threats; obsenities and protection order discussions.  Honestly, I have just scratched the surface.  It's big and ugly, and it's not over.

Finally, after a series of last minute delays out of left field, including a disapproval of the final HUD, we closed on the first house.  This time, there won't be any happy pictures of my client at the closing table.  Today was a huge victory against overwhelming odds, but it is really no cause to celebrate.  Somehow, Congratulations just doesn't work.  But she is one giant step closer to closure of this horrible chapter of her life, and for that I am grateful.   

We hear daily the war stories and rants about the dreaded Third Party Creditors.  This story wouldn't be complete without my mentioning just how fabulous it has been to work with Wells Fargo Loan Adjustor Specialist Monique Spenard. Monique was assigned as the negotiator of the first offer I submitted.  Buyers and negotiators came and went as months dragged on.  When we had reached a seemingly hopeless dead end, disapproval of a short sale by the mortgage insurer, I tracked down Monique with a plea for her help. She personally took on the files for both houses, kept in communication and I can only imagine all she has done behind the scenes to bring about the impossible. 

Sandy Watts is our buyer's agent and I marvel at how she has kept these buyers in the game, one contract extension after another, and another, and another, and another....  I lost count.  Sandy, you are my hero!

While I am giving credit where credit is due, Heidi Simon at Pioneer Title has been a trooper.  How many estimated HUDs has she done for these houses?  I don't know, I lost count!  I called her the other day, for a new HUD to submit with a new offer on the other house and we both burst out laughing!  How is it POSSIBLE to lose so many buyers?  Well, it's kind of hard for a buyer to overcome an issue like an inoperable in-floor radiant heating system when trying to get loan approval.  Just sayin...  We have a good offer, I expect to hear a response from Monique tomorrow.  I will keep beating this horse until it's dead. The funeral foreclosure sale date is December 15, but don't count us out yet!

Today was a good day.

I opened my email this morning and found a note that left me puzzled for a minute. 

LOL you so had me freaked out that day!! I'm sorry i didn't get this until today. We just had our internet re-installed in our new house and we had actually been living in our camp trailer since July. I am so thankful and amazed about this. Please send me a stack of your cards. We meet over 1000 customers a year and would be more than happy to hand them out.
 
Matt Surplus
The Gutter Guys

What?  Who?  OH!

Back in August, I was participating in the Local Business Challenge on ActiveRain, writing a series of posts about local businesses.  It was a great challenge, and I really had to scramble to get the required number of posts done according to schedule.  I don't think I got them all done, but I had fun doing the ones I did complete, and met some great people in the process of promoting their businesses on my blog. 

On August 7th, while stopped at a red light, I whipped out my camera and took a photo of The Gutter Guys Truck in the lane next to me.  The guys in the cab had very puzzled looks on their faces and I got a chuckle thinking of them trying to figure out what I was up to!  After I posted their story on my blog, I sent off this email:

Hey Matt,
 
Sorry I didn't have time to chat before the light turned green the other day!  Check out my post, hope you like it.  When I get back to town next week I'll add more and better photos, hopefully a nice one of your truck since the one I took stinks!  If you Google gutter guys you come up on the first page out of all the gutter guys in the world!  Not too bad.  Haven't had time to see where you are on other phrases.....
http://activerain.com/blogsview/1185542/the-gutter-guys-for-rain-gutter-installation-and-service-in-hayden-idaho
 
Janna

Better late than never!  Unfortunately, it's been more than four months since that post and The Gutter Guys in Hayden Idaho aren't still coming up on the first page out of all the gutter guys in the world for Matt to see and enjoy.  I'll have to work on that for my new friend. 

Hmmm. Do you think I really should send him 1000 cards to hand out?  

The Gutter Guys

The Roosevelt Inn Bed & Breakfast

MJs Fresh Market

Valentinos

The Enaville Resort Snake Pit 

My sister Kerri keeps a police scanner on in her kitchen. Last night I received this email from her: 

I don't always "hear" things on the scanner in the background but for whatever reason picked up on this right away jotting notes from the initial call about 10:15 p.m. by a 15-year-old saying his father had shot himself. He and his 11 year old brother and 13 year old cousin were in a back bedroom waiting for the police and ambulance to arrive. The mother was out of town. I jotted down the address and then Googled it. Came up as a listing of a gorgeous log house on the market for $800,000+. It was weird to be looking at pictures of this beautiful home overlooking the lake and picturing those frightened boys in the house. The dispatcher said the boys' grandpa was on his way from the "Coeur d'Alene area." Then the dispatcher said neighbors were on the scene and were with the boys in their car in the driveway. The neighbor had gone into the house and "saw blood and the gun but didn't touch the body."
 
Just a very sad real life drama. Those boys' lives will forever be marked by what life was like before their dad and uncle killed himself and after. So say a little prayer for the boys, they've been through more trauma in the last 90 minutes than anyone should ever see.

When I read the email, my first thought was that this was possibly another distressed homeowner who had come to the end of his rope.  I looked up the home and saw that it was built at the height of the upswing in prices, and it's current assessed value was half of what it cost new.  That's a tough spot to be in. 

A wise man once told me to treat everyone I come in contact with as if they are distressed, and more than 50% of the time I will be correct.  That was 5 years ago, I bet today I'd be right a much higher percentage of the time. The holiday season is especially hard for those struggling and feeling beaten down by life.  Let's all be sensitive to those around us.

I recently had a client of mine tell me that she thought everyone would be better off if she were dead.  That she just couldn't take the financial pressure anymore.  Please learn to recognize the warning signs and how to help.

A good resource for help is the National Suicide Prevention Lifeline.   

Are you in crisis? Please call 1-800-273-TALK

Are you feeling desperate, alone or hopeless? Call the National Suicide Prevention Lifeline at 1-800-273-TALK (8255), a free, 24-hour hotline available to anyone in suicidal crisis or emotional distress. Your call will be routed to the nearest crisis center to you.

• Call for yourself or someone you care about
• Free and confidential
• A network of more than 140 crisis centers nationwide
• Available 24/7

Coeur d'Alene Idaho Real Estate Short Sale Q&A: If it sells for full price, does the seller still make a little money?

I regularly feature my blog posts on my Facebook page, and sometimes the comments they bring come in the form of questions. 

Last week I posted a link to my post, Coeur d'Alene Real Estate Short Sale Heart Warming Moment.  It was a story about some of my current clients who had just received an approval from their lender to short sale their house.  I mentioned that we got their house under contract at full listing price.  Then came the question as to whether or not those sellers would then make a little money since it sold for full price. The answer, no. 

The home price was set at its value today in the Coeur d'Alene real estate market, not at what the sellers needed to pay off the mortgage.

The definition of a Short Sale is the sale of a home for less than is needed to pay off their mortgage(s).  So if it's a short sale, it goes without saying that the seller will always be short of enough proceeds to satisfy their mortgage and/or closing costs.  In a short sale, the lender will usually cover all closing costs.  The lender's stipulation is that the seller doesn't receive any of the money from the sale of their home.

So then, what does it mean that it sold for full price if it wasn't enough to pay off the mortgage and closing costs?

A seller can be in a short sale situation for a number of reasons.  It always has to do with the CURRENT market value of the home versus what they owe on the home. 

Anyone who bought a home in 2005-2007 in Coeur d'Alene, at the top of the price run-up and feeding frenzy, has seen their home value decline.  Let's use two of my clients as real life examples:

One bought a new home for $200,000 in 2006.  It is now worth only $160,000.  When he purchased it, he put $50,000 down and currently has it for sale at $160,000.  It's not a short sale because he will be able to sell it for enough to pay off his mortgage, pay his closing costs and be done with it.  A traditional sale, not a short sale.  Although, this seller will still have lost his $50,000 down payment.

Another client purchased a home for $200,000 with 100% financing at the top of the market.  That home is now only worth $160,000.  Not having put any cash down, it's not possible for him to sell it for enough to pay off the mortgage.  In order sell it, his lender will have to agree to take less than is owed. As with the guy in the example above, SOMEONE is going to lose $50,000 to sell it now - in this case the lender who loaned $200,000 to mortgage the house.  In the other, it's the homeowner.

That's why two houses built and sold at the same time for the same price, can be For Sale side by side today for the same price, with one being a short sale and the other a traditional resale. 

(Someone who bought a house at the top of the market, no matter how much they put down, isn't necessarily in a bad situation if they can afford to make their payments and don't have to sell right now.  History has always shown that home values appreciate over time.  After this rough market correction, they will rise again.  It's just going to take some time, but values will come back.)

In this crazy market, you are bound to have real estate related questions from time to time.  Don't hesitate to call or send an Email if there is something you would like help understanding.  Knowledge is Power!

Links to recent posts of mine dealing with Coeur d'Alene Idaho Short Sales:

What does a short sale Realtor do?
Can I Short Sale My House To Avoid Foreclosure if I Have an IRS Tax Lien?
Coeur d'Alene Short Sale Success Story~ Today was a good day!
Is the FDIC killing short sales and loan modifications in Coeur d'Alene Idaho?
The Joy of Short Sales ~ Today was a GOOD Day

I wanted to pass along this great opportunity to send some holiday cheer to a service member.  For the cost of a card and a stamp, you can make a difference! 

In this season of hope and giving the American Red Cross and Pitney Bowes, Inc. have joined forces to invite Americans to "send a touch of home" to United States service members and veterans across the country and abroad. In its third year, the Holiday Mail for Heroes program is an opportunity to share joy and thanks with our service members throughout the holiday season by way of a greeting card.

Take a look at what people are saying about the program:

How Holiday Mail works

Holiday cards will be collected through a unique P.O. Box address from Monday, November 2 through Monday, December 7*.

First, cards from across the nation must be sent to this address:

Holiday Mail for Heroes
P.O. Box 5456
Capitol Heights, MD 20791-5456

Every card received will be screened for hazardous materials by Pitney Bowes and distributed to participating Red Cross chapters nationwide. Once the cards arrive at the Red Cross chapters, they are sorted and reviewed by volunteers who then distribute them to service members, their families and veterans in communities across the country.

Do...

• Sign all cards
• Entitle cards "Dear Service Member, Family or Veteran"
• Limit cards to 15 per person or 50 for school class or business group
• Bundle groups of cards in single, large envelopes

Don't...

• Send letters
• Include personal information such as home or email addresses
• Use glitter - excessive amounts can aggravate health issues of wounded recipients
• Include inserts of any kind as they must be removed in the screening process

Please join me in this simple project.  Let's put a smile on the face of of our hometown heros, wherever they may to be this holiday season. 

Some of my happiest childhood memories involve huge piles of leaves under the ancient poplar trees that framed our house at 9th and Sherman.  They're all gone now, our home and those trees.  But each fall as the leaves pile up around town they live on in my memories.

The city's annual leaf pick-up program has begun. Residents are asked to rake their leaves and pine needles into the streets, about a foot out from the gutter line to allow for water drainage.  Please do not put bagged leaves, branches, rubble or refuse in the street.  There is no cost to you.

City crews will be moving fast, beginning south of Sherman and working their way north.  Once an area has been cleared they won't return, so if you're too late you're just out of luck.  City crews are unable to provide an exact schedule but there will be morning updates on the KVNI 1080 radio morning show. 

Please note that there is no charge to residents to haul leaves, pine needles, limbs, branches, or debris to the landfill.  Waste Management WILL charge to haul bagged leaves.

For more info you can contact the Street Maintenance Department at 769-2233.  And thanks to my sister Kerri Thoreson for the great photos!

Coeur d'Alene Real Estate ~ Long-Term Interest Rates Fall to Lowest Level in Five Weeks 

According to Freddie Mac's Primary Mortgage Market Survey, the 30-year fixed-rate mortgage averaged 4.91% with an average 0.7 point for the week ending November 12, 2009.   Last week, it averaged 4.98%, and a year ago it was 6.14%. 

"Mortgage rates eased further over the week, helping to promote an affordable home-purchase market and stimulate refinance," said Frank Nothaft, Freddie Mac vice president and chief economist. 

"This comes at a time when house price declines are moderating and consumer demand for prime mortgages at commercial banks has picked up."

With declining interest rates and an extension and EXPANSION of the first time homebuyer tax credit, renters just might be surprised to find that they can qualify for a home purchase for the same payment they are making in rent.  And move-up buyers who have been sitting still now have a $6500 incentive to explore their options! 

To read the complete Realty Times article click here.

Coeur d'Alene Real Estate Short Sale Heart Warming Moment - It's not often I have a chance to use the terms "heart warming" and "short sale" in the same sentence! 

 There are so many distressed homeowners right now.  They are embarrassed, ashamed and they tend to suffer in silence.  Frozen in fear.  Not knowing what they can do, not realizing how many others there are that are living the same financial nightmare.  Afraid of their friends finding out.  Wondering what the neighbors will think.  In many cases a short sale is a good solution to get you onto the next chapter of your life.

On September 17th I opened my email and found this message:

You've received a contact message from your Contact Form on the ActiveRain network.  Message details: From: xxxxxxx xxxxxxxxx
Email: xxxxxxxxx@aol.com
Subject: Short Sale (Sent via Activerain)

My wife and I are interested in a short sale of our home. I'm wondering what we need to do to get started with this process, with you as our Realtor. We have researched a little bit and you seem to be very experienced in this area....

I made an appointment with this local police officer and his wife to discuss their situation.  It was a an awful story of being harassed for most of the past year by their mortgage company following a successful loan modification.  There were discrepancies in payment amounts, payments received, the modification details - and these homeowners who had been trying to get this resolved for the better part of a YEAR were getting no help with the resolution.  They were getting up to nine hostile calls a day from the lender's collection department.  But no one would LISTEN to them, or help them.

They were both fighting back tears while we talked.  They had accepted the reality that they were going to lose the modest home they built 8 years earlier, and loved.  They didn't have the means to pay what their lender claimed they needed to bring their mortgage current, although they have records showing they had paid what they had been told they needed to pay.  They had come to the end of their emotional ropes and couldn't hang on any longer.  They were hopeless, which is not a good place to be. They had found a rental and were making plans to move out.  Hoping to avoid foreclosure and make the best of a bad situation, we listed their house as a Coeur d'Alene short sale.

A week later we had a solid offer for full listing price.  A good start.  Nothing left to do but find out if their lender would approve them for a short sale, and at what price.  After their grueling and frustrating experience trying to get someone to sort out their mess this past year, they were realisticly expecting the worst. A process that drug out forever.  Short sale terms and conditions that they couldn't meet. 

Today I received the approval letter.  Accepted offer.  No harsh terms or conditions, just a request for a notarized Arms Length Transaction form and a closing within 30 days. 

I made the call to my Seller.  As I told her the news, she broke down on the other end of the line.  She was overcome with a huge flood of relief after such a prolonged period of mental exhaustion. 

I may not have found a cure for cancer today, or pulled someone from a burning building.  But to this frazzled homeowner I was a hero.  A hero, because I had simply helped her find a resolution to her nightmare.  Because FINALLY someone was willing to listen, and help. 

Please, if you just can't keep up your mortgage payments and think you have no option but foreclosure, contact me!  I can help you explore your options, whether it be a loan modification, short sale or something else, and advise you as to a course of action to bring the best possible outcome to a bad situation.  

Holiday Toy Drive to benefit CASA (Court Appointed Special Advocates)
November 2 - December 4

Join me and the Coeur d'Alene Association of Realtors
as we collect unwrapped toys and gift cards for Kootenai County
children and teenagers this holiday season.  
                                   

Make a difference in a child's life!

There are over 600,000 abused, neglected children in the U.S.  Over 260 of these children are in Kootenai County.  CASA volunteers represent these children in court, focusing exclusively on the child's best interest.  They research their background & serve as fact finders for the judge.  Volunteers continue to monitor during the life of the case, helping to ensure that the child makes it to a safe, permanent home as soon as possible.

Click on the link to the CASA website to find out more information about the organization and volunteer opportunities you can become involved in.

If you would like to join me in making a difference, please consider a donation of toys for children to age 12 or gift cards for teenagers, with a $15 value.  Gifts should be unwrapped, gift bags are appreciated.  Call me if you have questions or need more information.  You can drop off toys and donations to me at my office.  I'd love a chance to shake your hand and thank you personally!

Keller Williams Realty Coeur d'Alene
1044 Northwest Blvd. Suite F
Coeur d'Alene, ID 83814
208-651-9700

Thank you for whatever you can do to
bring a smile to a child's face this holiday season!

One question that we Realtors get asked regularly by folks who are listing their homes for sale is what do-it-yourself home improvements would be most beneficial in selling their home. 

HomeGain just released the results of their annual survey, Home Sale Maximizer.  This survey covers the top do-it-yourself home improvements as recommended by Realtors, and the expected monetary return on investment.  After reading the survey results I have to say that based on my personal experience I would have to agree.

According to the HomeGain survey, the top five home improvements that Realtors recommend to home sellers based on cost and return on investment (from highest to lowest ROI) are: 

1. Cleaning and de-cluttering ($200 cost / $1,700 price increase / 872% ROI)
2. Home staging ($300 cost / $1,780 price increase / 586% ROI)
3. Lightening and brightening ($230 cost / $1,300 price increase / 572% ROI)
4. Landscaping ($320 cost / $1,500 price increase / 473% ROI)
5. Repairing plumbing ($385 cost / $1,250 price increase / 327% ROI) 

"Many Realtors agree, especially in a buyer's market, that sellers who make these recommended home improvements often get their homes sold faster and at higher prices," stated Louis Cammarosano, General Manager at HomeGain.

Rounding out the top 12, the list of low cost, do-it-yourself home improvements includes: updating electrical, replacing or shampooing carpets, painting interior walls, repairing damaged floors, updating kitchen, painting outside of home, and updating bathroom's.

The home improvement projects with the highest price increases to a home's resale value are updating the kitchen ($1,200 cost / $2,850 price increase), followed by painting the outside of the home ($900 cost / $1,815 price increase) and home staging ($300 cost / $1,780 price increase). 

I offer all my clients a complimentary evaluation of their home and what things they can do to increase their odds of selling in the least amount of time and for the most money.  I also can offer a list of good, professional stagers and home organizers.  Some sellers are very receptive, and some are not. 

Keep in mind that we Realtors are showing and touring hundreds, if not thousands, of homes each year.  We understand the condition of your competition.  We've seen first hand the homes that have sold as well as the homes that are languishing on the market.  Many times it is the simple things on the list above that make all the difference. 

A few days ago I posted about a local loan modification company, HomeModifier, being busted by the attorney general.  Today I came across this post by my cyber friend Konnie Mac.  It seems some folks were so upset with the people they hired to modify their loan that they KIDNAPPED and TORTURED them!  Although I certainly don't condone that behavior, I do have to admit that I understand their frustration!