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SD Realtor
Participantirvinesinglemom, try an experiment… Just sit tight for say 6 months and see what happens. Perhaps even go and pick out 10 or 15 different homes you would really like and then track them on realtor.com or a similar website. Then just sit tight and see if they sell. If they do sell see what the final sales price is… Then take a look at the results 6 months from now and see how it went. Most of us here would bet money that in 6 months you will be glad you held out.
Sometimes patience and breaking out of a certain mindset is the hardest part of the battle.
Participantirvinesinglemom, try an experiment… Just sit tight for say 6 months and see what happens. Perhaps even go and pick out 10 or 15 different homes you would really like and then track them on realtor.com or a similar website. Then just sit tight and see if they sell. If they do sell see what the final sales price is… Then take a look at the results 6 months from now and see how it went. Most of us here would bet money that in 6 months you will be glad you held out.
Sometimes patience and breaking out of a certain mindset is the hardest part of the battle.
Participantirvinesinglemom, try an experiment… Just sit tight for say 6 months and see what happens. Perhaps even go and pick out 10 or 15 different homes you would really like and then track them on realtor.com or a similar website. Then just sit tight and see if they sell. If they do sell see what the final sales price is… Then take a look at the results 6 months from now and see how it went. Most of us here would bet money that in 6 months you will be glad you held out.
Sometimes patience and breaking out of a certain mindset is the hardest part of the battle.
Participantirvinesinglemom, try an experiment… Just sit tight for say 6 months and see what happens. Perhaps even go and pick out 10 or 15 different homes you would really like and then track them on realtor.com or a similar website. Then just sit tight and see if they sell. If they do sell see what the final sales price is… Then take a look at the results 6 months from now and see how it went. Most of us here would bet money that in 6 months you will be glad you held out.
Sometimes patience and breaking out of a certain mindset is the hardest part of the battle.
ParticipantGuys it is the classic 5 stages of grief. Unfortunately the majority of sellers are in denial right now. Personally I think the realization will start to set in next summer. People who listed this spring/summer and who sat and did not sell because they refused to price competitively are still of the mindset that they can come back next spring and test the market again. Also there are still plenty of “soft landers” and other real estate professionals who are not acknowledging the market data in the same way that many of us do. The best thing for the entire market will be for people to accept it. I guess they have to go through thier own denial.
Participantbarnaby33 as a relatively new parent I really cannot understate your words. To be honest guys, I really cannot put purchasing a home anywhere close to having a child. In my opinion it is like driving to the park verses flying to the moon. Seriously, they cannot even be in the same conversation. While it is important to be financially stable but I have seen some f**d up rich families and some very poor but very loving families.
ParticipantPerry I am not sure what inactive means on Zip. The categories for our (Sandicor) MLS are
active – actively for sale (or in escrow with 72 first right of refusal, sales contingency)
pending – in escrow
sold – closed escrow and sold
expired – listing period of the contract has expired
cancelled – broker and seller mutually agreed to cancel the contract
withdrawn – seller is still under contract with broker but the home is not actively for saleFor the sake of zip I bet inactive is expired, cancelled or withdrawn.
*****
Also remember, Zip, Realtor, Housevalues, all of the on line providers get downloads daily from each MLS that they advertise. There is always a time lag. Usually it is only a day or two but I have seen 72 hour lags at most.
Finally even when you go to a brokers site, big guy, little guy, full service or limited service, all of those listings are provided by a service called IDX. IDX also receives thier downloads from the MLS in the exact same manner as the sites we listed above.
In ALL cases some of the information is distilled by the MLS before being downloaded. This of course is the CBB, confidential remarks and a few other but less important items.
ParticipantX1Y2Z3 I thought you had a very cool post and I enjoyed reading it.
ybc I am not a mortgage broker but my speculative answer would be as follows…(x1y2z3 or anyone else feel free to correct me on alot of what I am about to write)
– Long term mtg rates are not based on the prime. As a barometer I use the 10 year treasury yield and add 1.3 to come up with an approximate standard 30 year conforming rate.
– Most (if not all) HELOCs ARE prime rate based.
– So yeah actually two things may help those people who are in big trouble. First off if the recession we all discuss does indeed happen then we may indeed see the 10 year treasury dip down again or at least stay low. If it does then that would be good for mortgage rates.
– If the fed does indeed lower the prime it will at least REDUCE some of the runaway HELOCs that people are now started to get hammered on.
HOWEVER… even if long term rates go down or stay at a decent value, if your home doesn’t appraise then you will need to come up with cash to refinance and get out of your ticking time of a mortgage.
So my humble opinion is that yes the recession could indeed help people out but it is hard to pinpoint how many will be saved. It all depends on how much depreciation occurs prior to the homeowner wising up and dealing with the problem.
ParticipantSomeone can feel free to modify this particular posting and make it it’s own thread.
SD Renter Sandicor does own the MLS but SDAR monitors and enforces the rules. When you take a listing you (the agent can edit the listing at any time. Recall your broker owns the listing and can do the same)
You cannot simply change the market time ad hoc. When you first enter the listing information the user interface is a template. Most all of the entries are pull down tabs. Some of them you can type in fields such as in the remarks or supplements. Anyways one of the fields you fill in is the expiration date.
Now once your listing goes active the market time will never reset to zero until the listing expires. Once the listing expires the listing goes from active to expired status. At this point only the broker may move it back to active status, AND the market time will not go back to zero.
HOWEVER, if the listing agreement has been renewed or a new one is put in place, the agent may submit a new listing on the MLS and that WILL have a market time of zero days.
Alternately the listing may be moved to the cancelled status. This means that either the broker or the seller cancelled thier listing agreement. Again, the listing will now move from active to cancelled status. Only the broker may move it back to active at this point if the two parties reconciled and market time would resume and NOT revert to zero. However once a new listing agreement is signed whether it is with the same broker or a different brokerage, the listing would be entered as a new listing on the MLS and market time would go to zero.
Anyways just letting you guys know how it works.
ParticipantThanks ALOT guys
Cool so the PATs worked pretty much like I thought they did. The trickiest thing to me is how to figure out the annuity payments which is what I figured. Privatebanker you mentioned that the calculations were calculated by the IRS? I would figure then that they are based on mortality rates. Yes I did know (and should have mentioned) that the trust is irrevocable.
A few more questions, (sorry if they are dumb)…
– you mentioned that the interest earned on the investments that the trust makes is also taxed. Is the entire interest earned each year taxed or do you take part of that interest in your annuity and that is also taxed?
– also I can you tell me what happens if you pass away? I recall that the trust can be passed on to your hiers. Also is the cost basis recalculated or no? I guess no since the cost basis of the home that was sold no longer has any meaning.
Also yes to everyone that mentioned that make sure you have a good trust attorney and CPA for these vehicles. I agree. Both my CPA and trust attorney are good but both have admitted to me they have not had experience with PATs.
ParticipantHi PS –
Right now mom is changing diapers on number 1 and I am feeding number 2. If I have time later on tonite I will see if I can give you a few numbers for a couple of zip codes…
BTW let’s also thank John H who posted some EXCELLENT information on months of inventory. As stated (by both you and him) I think it is a much more accurate method to gauge individual areas.
ParticipantEqualizer –
Totally agreed with you… To be honest I am prety suprised the yield is as low as 4.9… I would assume big Ben is none to happy about that… Like I said though, I just wonder if it is an early sign that maybe some think the upcoming recession will be a bit harsher then we all believe…
I am just wondering, if the bond market stays strong and then there is a recession, and energy prices stay high, and unemployment ramps up that will put old Ben in a real pickle…If the topper is that inflation doesn’t abate what steps will, or can, Ben take? Aye caramba…. Wouldn’t that be a trip… The 10 year down at 4.25 or 4.5 and the prime a half point above it! I guess not… Ben would HAVE to drop the prime… I am not to savy on stuff like that so I am not sure what the proper actions are for him to take.
Anyways yeah I hear the same thing about PATs…..I asked my CPA and the attorney for our trust about them and the answers I got were all pretty vague… I asked Powayseller about them to, so if anyone can find out about them I am hoping she can.
My wife and I actually have used Rick Plum for some work and are currently working with Rob Butterfield as well so I am very familiar with Ray’s show. I asked him about it one time when we saw him speak at the Marriot in La Jolla but he didn’t really give me an answer.
Participantsdrealtor –
Yes you shoot from the hip as you say… even though just about every reply you have put in this posting has your nice backhanded compliments… no I am not here shilling for clients as you have implied.
Our styles are different. When someone asks about selling a home on thier own, a FSBO, your response is that you could buy thier FSBO and then sue the pants off them. My response is yeah you could FSBO it but cover yourself with a real estate attorney. Additionally yes if you someone wants to just get on the MLS at a low price they can call Jeff Karchin.
I think that people should have alternatives whether it is someone like myself, an I Pay 1, a Help U Sell, or a full service brokerage like a Prudential, or the company you work for. Meanwhile your posts pretty much universally imply that anyone who is not a full service brokerage will be out of business in a slow market.
In one reply you will talk about all the extras a full service brokerage provides but when I ask you to break it down by the numbers you don’t really do that. In another post you talk about all the overhead of a full service brokerage and in another you talk about how two years ago you could literally stick a sign in front of your home and it will sell… however even in those good times that same ease of selling a home justified that full service commission.
Your implications that I will not be around and thus leaving my clients out in the cold in a slow market, and your other back handed comments are you from the hip I suppose. You speak your mind and that is well understood by me.
Like I said we have different styles.
ParticipantI would agree with Powayseller…. Price it correctly then every 30 days correct the pricing as needed.
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