The Real Folsom Blog

$8,000 First-Time Home Buyer Tax Credit: Get It Now!

Guest blogger Barbara Van Duyn, a certified mortgage planner with First Priority Financial, has some good news about the first-time home buyer tax credit. Read on. If you have any mortgage questions, you can reach Barbara through her Web site, www.BarbaraVanDuyn.com.

Let’s say you are a first-time home buyer, you purchased a home in 2009 and you qualify for part or all of the $8,000 First-Time Home Buyer tax credit. Did you know you can get your refund check NOW instead of waiting until next year when you file 2009 taxes? YES… it’s true! Just think of what you could do with that money … fix up the house, buy some furniture, or put it in savings for a cash cushion. According to the IRS, you can file an amended 2008 tax return and get your refund now. To learn more go to the IRS Web site. Then talk with your CPA or tax professional for advice. If you have no clue what the $8,000 FTHB Tax Credit is all about, then you need to Click here for a free report to learn how to qualify for the $8,000 tax credit. Until the next time, take care, Barbara

Recent Folsom Home Sales June 7-13 '09

Another busy week of sales as 16 sales were recorded the second week of June. Of those 3 were bank-owned properties and 4 were short sales. These home sales were recorded by MetroList, our local multiple listing service. The properties were listed and sold by various multiple listing service brokers. DOM stands for days on the market and cumulative DOM reflects how many days the property has been on the market, whether with the current agent or previous listing agent. Only a sale or the property being off the market for 30 days will reset the DOM number.

* 131 Price Way, 3 bed/1 bath, 1001 sq ft, sold 6/11/09 for $196,000 (103 percent of list price) after 4 days on the market for $196 per sq ft.
* 313 Vessona Circle, 2-3 bed/2 bath, 1519 sq ft, sold 6/12/09 for $219,900 (100 percent of list) after 9 DOM for $145 per sq ft.
* 101 Rivage Circle #101, 2 bed/2 bath, 1313 sq ft, sold 6/08/09 for $225,500 (90 percent of list) after 132 cumulative DOM for $172 per sq ft.
* 210 Oxburough Drive, 3 bed/2 bath, 1693 sq ft, sold 6/08/09 for $315,000 (93 percent of list) after 28 DOM for $186 per sq ft.
* 102 Kennar Way, 4-5 bed/3 bath, 2535 sq ft, sold 6/11/09 for $360,000 (104 percent of list) after 4 DOM for $142 per sq ft.
* 2086 Horseshoe Glen Circle, 4 bed/3 bath, 1851 sq ft, sold 6/11/09 for $370,000 (99 percent of list) after 104 DOM for $200 per sq ft.
* 321 N. Lexington Drive, 4 bed/2 bath, 2023 sq ft, sold 6/09/09 for $370,000 (97 percent of list) after 18 DOM for $183 per sq ft.
* 491 Hall Street, 3 bed/2 bath, 1897 sq ft, sold 6/11/09 for $371,000 (101 percent of list) after 4 DOM for $196 per sq ft.
* 736 Morningside Court, 2-3 bed/2 bath, 1973 sq ft, sold 6/10/09 for $385,000 (100 percent of list) after 134 DOM for $195 per sq ft.
* 1079 Limestone Drive, 3 bed/2.5 bath, 2347 sq ft, sold 6/09/09 for $415,000 (98 percent of list) after 10 DOM for $177 per sq ft.
* 689 Sands Way, 4 bed/3 bath, 2560 sq ft, sold 6/12/09 for $425,000 (100 percent of list) after 139 cumulative DOM for $166 per sq ft.
* 424 Porter Road, 4 bed/2 bath, 2024 sq ft, sold 6/08/09 for $427,000 (96 percent of list) afer 6 DOM for $211 per sq ft.
* 1760 Pentland Court, 4 bed/2.5 bath, 2375 sq ft, sold 6/11/09 for $460,000 (98 percent of list) after 25 DOM for $194 per sq ft.
* 2052 Branding Iron Court, 5 bed/4 bath, 3230 sq ft, sold 6/11/09 for $497,000 (100 percent of list) after 26 DOM for $154 per sq ft.
* 101 Fath Court, 5 bed/3 bath, 2585 sq ft, sold 6/11/09 for $529,000 (97 percent of list) after 16 DOM for $205 per sq ft.
* 816 Travis Street, 5 bed/3 bath, 3425 sq ft, sold 6/09/09 for $532,000 (94 percent of list) after 43 DOM for $155 per sq ft.

The median price of these homes was $378,000 and the average days on the market was 34. In all 11 of the 16 sold in under 30 days. With a low inventory, buyers are moving fast when they see what they like!

Recent Folsom Home Sales for June 1-6 '09

Fourteen sales were recorded the first week of June--sales keeping at a steady pace from the previous week. Of those 7 were regular sales, 3 were short sales and 4 were bank-owned. These home sales were recorded by MetroList, our local multiple listing service. The properties were listed and sold by various multiple listing service brokers. DOM stands for days on the market and cumulative DOM reflects how many days the property has been on the market, whether with the current agent or previous listing agent. Only a sale or the property being off the market for 30 days will reset the DOM number.

* 317 Vessona Circle, 2 bed/2 bath, 1314 sq ft, sold 6/05/09 for $215,000 (98 percent of list price) after 37 day on the market for $164 per sq ft.
* 1005 Persifer Street, 2 bed/1 bath, 1280 sq ft, sold 6/01/09 for $255,000 (98 percent of list) after 30 DOM for $199 per sq ft.
* 111 Moylan Court, 3 bed/2 bath, 1198 sq ft, sold 6/01/09 for $261,000 (97 percent of list) after 118 DOM for $218 per sq ft.
* 118 Mesquite Court, 3 bed/2 bath, 1371 sq ft, sold 6/04/09 for $278,000 (103 percent of list) after 30 DOM for $203 per sq ft.
* 124 Blakeslee Way, 3 bed/2 bath, 1467 sq ft, sold 6/04/09 for $295,000 (100 percent of list) after 1 DOM for $202 per sq ft.
* 419 N. Lexington Drive, 3 bed/2 bath, 1577 sq ft, sold 6/04/09 for $300,000 (95 percent of list) after 85 DOM for $190 per sq ft.
* 101 Gold Creek Circle, 4 bed/2.5 bath, 2875 sq ft, sold 6/05/09 for $379,000 (101 percent of list) after 34 DOM for $132 per sq ft
* 1105 Penrod Court, 4 bed/2 bath, 1976 sq ft, sold 6/05/09 for $391,000 (95 percent of list) after 16 DOM for $198 per sq ft.
* 1317 Muirkirk Court, 4 bed/2.5 bath, 2672 sq ft, sold 6/01/09 for $408,000 (102 percent of list) after 77 DOM for $153 per sq ft.
* 106 Bayline Circle, 5 bed/3 bath, 2327 sq ft, sold 6/01/09 for $410,000 (96 percent of list) after 35 DOM for $176 per sq ft.
* 112 Miller Way, 4 bed/2.5 bath, 2573 sq ft, sold 6/01/09 for $413,000 (98 percent of list) after 49 DOM for $160 per sq ft.
* 115 Arrowsmith Drive, 4-5 bed/2.5 bath, 2442 sq ft, sold 6/02/09 for $475,000 (97 percent of list) after 63 DOM for $195 per sq ft.
* 2108 Tarbolton Circle, 4-5 bed/4.5 bath, 3860 sq ft, sold 6/03/09 for $550,000 (110 percent of list) after 12 DOM for $142 per sq ft.
* 2033 Tarbolton Circle, 5-6 bed/4.5 bath, 4000 sq ft, sold 6/05/09 for $650,000 (97 percent of list) after 73 DOM for $162 per sq ft.

What Could Be Better Than June in Folsom

We've had glorious weather for one thing--not too hot with a touch of the Delta breeze. But there's more. Three good reasons in fact. First is the Sunday morning Old Town Farmer's market. Every Sunday from 8 a.m. to noon (through October 4), you'll find a selection of fresh produce and flowers in the 900 block of Sutter Street. Second, Thursday night market is back running from 6 to 9 p.m. on Sutter Street in historic Folsom through the summer. Now in its 15th year this event blends art, fun, food and commerce. And, third, kick off your weekend with a Friday evening concert in the park. Now through July 31, there is live music in the gazebo at the City Lions Park (E. Natoma and Stafford Streets) starting at 6:30 p.m. There you have it: three good reasons to love June in Folsom!

Quick Snapshot of the Folsom Real Estate Market

Been a hectic Monday so far and just have time for a quick post so thought I'd take a quick snapshot of the Folsom housing market. Here's what I found:

* Total number of properties for sale: 301
* Median price of those homes: $399K. The properties range in price from $96,900-$2,500,000 (something for everyone is the way I like to look at it)

* Number of those properties that are bank-owned: 11 (that inventory is not likely to grow much until the banks start releasing that ever-enlarging inventory of properties they're holding onto)
* Median price of bank-owned properties: $349,900 (average days on the market: 36)

* Number of those properties that are Short Sales: 113
* Median price of short sale properties: $334,900 (average days on the market: 115).

* Number of total homes for sale that are "regular" sales: 177
* Median price of those regular sales: $445,000 (does someone need a reality check?) and an average days on the market of 76

The one interesting trend that I've seen develop is that short sales are increasingly being priced very competitively--to the point where they may be a better deal than foreclosed homes. Now the trick is still getting them closed.

In other interesting news, today is day 1 of the 90-day California moratorium on housing foreclosures. The goal of the law is to make lenders try harder to keep borrowers in their homes. Lots of skeptics out there. Will the law work? Only time will tell...

Home Ownership After a Short Sale or Foreclosure

Losing your home whether through a short sale or foreclosure is a hard hard thing. Our guest blogger Barbara Van Duyn, a certified mortgage planner with First Priority Financial, answers the question of how long you will have to wait before you can become a homeowner again, If you have any mortgage questions, you can reach Barbara through her Web site, www.BarbaraVanDuyn.com.

The downward slide in real estate values over the past two years has touched us all. Many homeowners have been faced with difficult financial decisions leading to a short sale or foreclosure in order to get on with their lives. With the passage of time, more people are asking the question, “How long do I have to wait before I can buy again”. The answer depends on the kind of loan you’re applying for, the lender you’re applying with and your credit history after the event. The waiting period begins once change of ownership has been recorded. You will find this information in the real estate documents you were given when your home was sold. Look for a HUD-1 or Settlement Statement.

In the case of foreclosure, Fannie Mae requires five (5) years to pass before becoming eligible for conventional financing. They also want a minimum FICO score of 680 and a down payment of at least 10 percent. FHA says the wait is three (3) years while VA applies the same rules as a Chapter 7 bankruptcy … wait 2 years after discharge. If the foreclosure was on a VA loan, full entitlement may not be restored.

Conventional guidelines treated short sales the same as foreclosures. In June of 2008, Fannie changed the policy and added a new category called “Pre-Foreclosure”. It established a wait period of two (2) years. FHA views a short sale the same as foreclosure … wait three (3) years. VA doesn’t have a separate rule either so short sales and foreclosures are handled the same … wait two (2) years.

In addition to the above guidelines, most mortgage banks will add tougher rules that vary from bank to bank. Bankruptcy and/or credit counseling occurring after a short sale will change the timeline and need to be addressed too. In my opinion the best way to approach homeownership again, is to consult with a mortgage professional. Have them review your credit report, determine your wait period and understand what changes need to be made to ensure you meet all credit requirements within your timeline.  
 
Note:  These are basic credit guidelines for conventional, FHA and VA underwriting and subject to change. A conventional loan with a loan to value ratio greater than 80% requires mortgage insurance and additional credit guidelines will apply.

Until the next time … take care, Barbara

Recent Folsom Home Sales May 24-31 '09

Fifteen sales were recorded the last week of May. Of those 9 were regular sales, 2 were short sales and 4 were bank-owned. These home sales were recorded by MetroList, our local multiple listing service. The properties were listed and sold by various multiple listing service brokers. DOM stands for days on the market and cumulative DOM reflects how many days the property has been on the market, whether with the current agent or previous listing agent. Only a sale or the property being off the market for 30 days will reset the DOM number.

* 621 Wales Drive, 3 bed/2 bath, 1393 sq ft, sold 5/26/09 for $242,500 (100 percent of list price) after 3 day on the market for $174 per sq ft.
* 451 Parker Drive, 2 bed/2 bath, 1207 sq ft, sold 5/28/09 for $268,000 (97 percent of list) after 48 DOM for $222 per sq ft.
* 501 Picasso Way, 2-3 bed/2.5 bath, 1501 sq ft, sold 5/27/09 for $268,000 (97 percent of list) after 7 DOM for $179 per sq ft.
* 1827 Orchard Terrace Court, 4 bed/3 bath, 2654 sq ft, sold 5/26/09 for $300,500 (86 percent of list) after 30 DOM for $113 per sq ft.
* 120 Rhoades Way, 3 bed/2 bath, 1891 sq ft, sold 5/29/09 for $308,000 (103 percent of list) after 106 DOM for $163 per sq ft.
* 1409 Rutsey Court, 3 bed/2 bath, 1327 sq ft, sold 5/27/09 for $338,000 (99 percent of list) after 10 DOM for $255 per sq ft.
* 149 Gilded Rock Circle, 4 bed/2.5 bath, 1938 sq ft, sold 5/29/09 for $345,000 (110 percent of list) after 11 DOM for $178 per sq ft.
* 194 Westbury Circle, 4 bed/3 bath, 2279 sq ft, sold 5/28/09 for $405,000 (96 percent of list) after 56 DOM for $146 per sq ft.
* 1732 Langholm Way, 4 bed/3 bath, 2756 sq ft, sold 5/29/09 for $412,000 (97 percent of list) after 60 cumulative DOM for $149 per sq ft.
* 1905 Wesley Drive, 4 bed/2.5 bath, 2433 sq ft, sold 5/27/09 for $417,000 (101 percent of list) after 13 DOM for $171.39 per sq ft.
* 1233 Galston Drive, 3-4 bed/2 bath, 2134 sq ft, sold 5/26/09 for $420,000 (96 percent of list) after 5 DOM for $197 per sq ft.
* 764 Morningside Drive, 4 bed/2.5 bath, 2407 sq ft, sold 5/29/09 for $420,000 (98 percent of list) after 152 cumulative DOM for $174 per sq ft.
* 109 Honey Cook Circle, 5 bed/3 bath, 2473 sq ft, sold 5/29/09 for $427,000 (99 percent of list) after 9 DOM for $173 per sq ft.
* 163 Silberhorn Drive, 4 bed/3 bath, 2256 sq ft, sold 5/29/09 for $440,000 (99 percent of list) after 45 DOM for $195 per sq ft.
* 140 Dunstable Way, 3-4 bed/2.5 bath, 2634 sq ft, sold 5/29/09 for $450,000 (96 percent of list) after 196 cumulative DOM for $171 per sq ft.

Homes are continuing to sell fairly quickly. Of the 15 sales, 8 sold in under 30 days, 4 in 31-60 days, 1 in 91-120 days, and 2 took more than 120 days to get an accepted offer. That's it for today. Make it a great day!

Folsom May Home Sale Stats Are In

The May Folsom home sale statistics are in. It's mixed news. If you are a seller, the news is not so good as the median price of homes sold in Folsom in May dropped to $350,000--down 26% from May 2007. That's the second lowest monthly median price in two years. The low-water mark was in January when it hit $320,500. On the flip side, buyers should rejoice as they are able to afford more and more home for the buck. In April, the median price was $356,000, down from $362,500 in March. Back to May--61 homes sold and 61 homes were put under contract, and 410 properties were on the market at some point during that month.

Now a look at the months supply of inventory (MSI) for Folsom: In April, the inventory improved and we are up to 5 months' of inventory (mirroring the national number)--so finally a little more selection for buyers.

Now for the supply and demand picture. The number of homes (61) that went under contract in may dropped from 76 in April. As did the number of homes sold 61, down from 68 in April. Overall, the number of homes sold in May is down 29.4% from May of '07.

This market is still proving hard to read and predict. The number of notices of default being issued is increasing, as is the bank-held inventory of foreclosed homes. Many questions unanswered: Will prices continue to drop? How much will they drop? Or will the prices stabilize? When will that inventory of foreclosed homes hit the market? Will they be dumped on the market? Or will the feds exert some control over the banks and force a slow and steady release so as not to cause prices to plummet? My best advice, which is true no matter what kind of market we are in, is to buy without agonizing about all this too much. Whether you are buying your first home or want to downsize, or move to a nicer neighborhood, when you're ready just get all the info you can on the market and make the best decision you can.

HVCC Has Arrived … The News Isn’t Good

On the surface, it doesn't sound like a change to existing appraisal rules would be that big a deal--administrative minutae you might think even. But as our guest blogger Barbara Van Duyn shows us these new rules are having some disastrous impacts on the real estate purchases of people just like yourselves. Read on to see why. Barbara is a certified mortgage planner with First Priority Financial, If you have any mortgage questions, you can reach Barbara through her Web site, www.BarbaraVanDuyn.com.

I told you back in March that new appraisal rules were coming May 1st   for any loans sold to Fannie or Freddie. Of all the changes the real estate industry and consumers have had to endure, I put the enactment of HVCC as the second worst event since the credit markets came to a halt back in August of 2007. As a consumer, if you think HVCC doesn’t affect you … check out this website www.hvccpetition.com where you will find thousands of stories from people directly impacted by the new appraisal requirements. It’s also worth noting the petition was created May 29th and after only 6 days attracted more than 16,000 signatures from across the country.

Whether you are buying a home or refinancing an existing one appraisals cost more, take longer to get, and are being performed by inexperienced and unlicensed people. Most of all, values are not coming in at the market causing deals to fail. After you finish reading the horror stories on the petition, don’t forget to add your name. This is NOT law. Help us get it overturned. Thank you! Until the next time … take care, Barbara

Recent Folsom Home Sales May 17-23 '09

Sales continued on an even pace during the second week of May with 19 recorded home sales in Folsom. Of the 19 sales recorded 13 were regular sales, 3 were short sales and 3 were bank-owned (as in the greater Sacramento region, it's clear buyers in Folsom have gone through the inventory of REOs or bank-owned properties).  These home sales were recorded by MetroList, our local multiple listing service. The properties were listed and sold by various multiple listing service brokers. DOM stands for days on the market and cumulative DOM reflects how many days the property has been on the market, whether with the current agent or previous listing agent. Only a sale or the property being off the market for 30 days will reset the DOM number.

* 457 Slocum Drive, 3 bed/2 bath, 1313 sq ft, sold 5/20/09 for $260,000 (98 percent of list price) after 1 day on the market for $198 per sq ft.
* 160 Vierra Circle, 3 bed/2 bath, 1463 sq ft., sold 5/22/09 for $260,000 (81 percent of list) after 14 DOM for $177 per sq ft.
* 105 Harcourt Way, 3 bed/2 bath, 1198 sq ft, sold 5/19/09 for $277,000 (95 percent of list) after 10 DOM for $231 per sq ft.
* 104 Fargo Way, 3 bed/2 bath, 1311 sq ft, sold 5/22/09 for $282,000 (97 percent of list) after 15 DOM for $215 per sq ft.
* 138 Cobble Ridge Drive, 2-3 bed/2 bath, 1245 sq ft, sold 5/21/09 for $289,000 (99.7 percent of list) after 48 DOM for $232 per sq ft.
* 749 Ward Way, 3 bed/2.5 bath, 1573 sq ft, sold 5/19/09  for $299,000 (100 percent of list) after 5 DOM for $190 per sq ft.
* 304 Caples Drive, 3-4 bed/3 bath, 1718 sq ft, sold 5/19/09 for $308,000 (97 percent of list) after 40 DOM for $179 per sq ft.
* 109 Snow Bar Court, 4 bed/2 bath, 1572 sq ft, sold 5/21/09 for $320,000 (94 percent of list) after 78 DOM for $204 per sq ft.
* 326 Leckenby Way, 4 bed/3 bath, 1834 sq ft, sold 5/22/09 for $342,000 (100.6 percent of list) after 10 DOM for $186 per sq ft.
* 1107 Fong Court, 3 bed/2.5 bath, 1868 sq ft, sold 5/22/09 for $345,000 (105 percent of list) after 14 DOM for $185 per sq ft.
* 1167 Oak Knoll Court, 3 bed/2 bath, 1604 sq ft, sold 5/22/09 for $350,000 (91 percent of list) after 188 DOM for $218 per sq ft.
* 616 Fisher Circle, 3-4 bed/2 bath, 1710 sq ft, sold 5/20/09 for $350,000 (97 percent of list) after 54 DOM for $205 per sq ft.
* 650 Hays Way, 4 bed/2 bath, 1732 sq ft., sold 5/22/09 for $355,000 (96 percent of list) afer 68 DOM for $205 per sq ft.
* 118 Canyon Rim Drive, 4 bed/3 bath, 2281 sq ft, sold 5/18/09 for $399,900 (100 percent of list) after 18 DOM for $175 per sq ft.
* 1420 Kilrenny Court, 4 bed/2.5 bath, 2568 sq ft, sold 5/20/09 for $467,500 (98 percent of list) after 22 DOM for $182 per sq ft.
* 1616 Broder Circle, 4 bed/2.5 bath, 2381 sq ft, sold 5/21/09 for $470,000 (94 percent of list) after 44 DOM for $197 per sq ft.
* 115 Chambersburg Way, 4 bed/3 bath, 2952 sq ft, sold 5/18/09 for $480,000 (99 percent of list) after 83 DOM for $163 per sq ft.
* 102 Tower Rock Court, 4-5 bed/4 bath, 3927 sq ft, sold 5/18/09 for $618,000 (98 pecent of list) after 151 DOM for $157 per sq ft.
* 1652 Manasco Circle, 5 bed/4.5 bath, 3927 sq ft, sold 5/20/09 for $647,000 (96 percent of list) after 7 DOM for $165 per sq ft.

One of the things that struck me as I input these sales is how quickly a lot of these homes are selling. The days-on-market breakdown as far as regular sales (45 days) versus short sales (70 days) versus bank-owned sales (24 days) is what you'd expect.