2013 Year In Review

By Gino Blefari President & CEO Intero Real Estate Services, Inc. It's hard to believe another year has come and gone. Looking back, 2013 indeed was a pivotal year for housing markets nationwide. Many markets saw an incredible bounce back, homeowners regained equity and mortgage rates for the most part remained incredibly low. Here's a look back at the highlights that stood out and will help us understand how housing will perform in 2014. 1. Home sales soared for the most part Despite the fact that home sales have hit some seasonal slippage here near the end of the year, it's hard not to remember the amazing summer that took place in many markets. Home sales hit their highest level in over six years in August, and took prices along for the ride. NAR data showed that end-of-summer sales hit an annual rate of 5.48 million in August, the highest pace since February of 2007. 2. Home values inched toward record highs Perhaps even better news for America's homeowners and sellers was that the national median price for existing homes made major strides in 2013. After a hot summer, the median price was $212,100 in August, up 14.7% from the same month in 2012. 3. Negative equity eased  Of course, one of the best side effects of the rising strength of home values was the easing of negative equity for homeowners. One of the big stories of the fall was data released from RealtyTrac that showed 8.3 million homeowners – or about 18% of homeowners with mortgages – were on track to gain enough equity to sell their homes in the following 15 months without resorting to short sales. Of course, this doesn't mean that 8.3 million homes will come on the market for sale next year. But it does mean a lot more options for sellers who've wanted to sell. 4. Seasonal cooling landed The year was not immune to occasional doses of more sobering news. An expected period of cooling off indeed took place in the fall. It almost had to, given the booming summer that real estate markets experienced. Total existing home sales fell to a rate of 5.29 million in September from August, though it's worth noting they remained 10.7% above year-ago levels. 5. Access to mortgage improved, despite pockets of interest rate increases This month, we saw two great pieces of news that have to do with improving overall access to mortgages. Federal housing officials said they would leave the GSE loan limits as is, which means borrowers in higher-cost areas will still continue to see opportunities for Freddie Mac and Fannie Mae-backed loans. And a report showed that loan eligibility continued to increase for borrowers in the first half of the year. 6. Smaller cities took the lead In NAHB's fall housing index, the builders group found that smaller cities are leading the way to a housing recovery. Smaller cities accounted for 43 of the top 50 markets in the NAHB's index released in October, underscoring how much local economies play into housing activity. 7. House flipping made a comeback – at the high end A Reuters story in August investigated a rising trend in flipping homes, revealing that the number of flipped homes valued at $1 million or more had risen nearly 40% nationwide since 2011. RealtyTrac also cited a few specific markets where high-end flipping has become rampant. Luxury flipping was up 867% in Orlando between 2011 and 2012, and increased 456% in Phoenix. 8. 'Boomerang' buyers returned What's a boomerang buyer? A former homeowner who's gone through short sale, foreclosure or bankruptcy in the past few years who is now preparing to buy a home. 2013 saw many more of these folks coming into the market – a good sign as it shows positive sentiment for homeownership from a group of folks who perhaps have the biggest reason to run far far away. Wow, 2013 was exciting, fast-paced and overall really positive for our housing markets. Of course, there's still more work to be done in 2014. www.JulieWyss.com   |  Julie@JulieWyss.com

What is a Supplemental Tax Assessment

State law requires the Assessor's Office to reappraise property immediately upon change of ownership or completion of new construction. The Assessor's Office must issue a supplemental assessment which reflects the difference between the prior assessed value and the new assessment. This value is then prorated based on the number of months remaining in the fiscal year, ending June 30th.

For example, if property is purchased on September 15th with a market value of $150,000, and it has a prior assessed value of $50,000, this will result in a supplemental assessment for the difference ($100,000) prorated for the remaining months in the fiscal year (9 months from October through the following June):

$150,000 New Purchase Price/Market Value
-$50,000 Prior Assessed/Taxable Value
$100,000 Supplemental Assessment
x 9 1/2 Remaining months in Fiscal/Tax Year
$75,000 Supplemental Assessment
x 1% Tax Rate
$750 Supplemental Tax Bill

This supplemental tax bill is in addition to the regular tax bill which is based on the assessed value as of March 1st of each year. If a second sale or transfer of the property occurs during the same fiscal year, but before the mailing of the first Supplemental Tax Bill, the taxes will be prorated between May 31st, a second Supplemental Assessment will be required for the next fiscal year.

408.687.2026   |  Julie@juliewyss.com  |  www.JulieWyss.com

Real Estate Documents: Definitions & Abbreviations

The following is a list of some documents that may be recorded and a description or definition of each document. The descriptions are general and are not intended to be complete legal definitions.

Abandonment of Homestead

ADB HOMESTEAD

Document recorded to terminate a homestead.

Abstract of Judgment

ABST JDGT.

A summary of the essential provisions of a money judgment. When recorded, it creates a general lien on real property of the judgment debtor in the county in which the abstract is recorded.

Assignment of Rents

ASSIGNMENT RENTS

A documents which gives the beneficiary the right to collect rents of the secured property in the event of a default.

Certificate of a Tax Lien

CTF TAX LIEN

A lien for nonpayment of property taxes. Attaches only to the property upon which the taxes are unpaid.

Covenants, Conditions, and Restrictions

(CC&R's) RESTRICTIONS

A term used in some areas to describe the restrictive limitations, which may be placed, on property. In other areas, they are simply called restrictions.

Declaration of Homestead

HOMESTEAD

Document recorded by a homeowner to protect his home from forced sale in satisfaction of certain types of creditors claims

Deed

Written instrument which, when properly executed and delivered, transfers title to real estate

Deed of Reconveyance

RECON-RECONVEYANCE

An instrument used to transfer title from a trustee to the equitable owner of real estate, when title is held as collateral security for a debt. Most commonly used upon payment in full of a trust deed.

Deed of Trust

See Trust Deed

Easement

The granting of a right which one has in the land of another. It is either for the benefit of land, such as right to cross, or "in gross," such as public utility easement.

Federal Tax Lien

A lien attaching to property for nonpayment of a federal tax (estate, income, etc...)

Fictitious Deed of Trust

FICTITIOUS TR DD

A deed of trust recorded by a trustee which discloses all the terms of the trust deed but does not relate to a specific transaction and is used for reference only.

Grant Deed

Form of deed, common in California, that contains implied warranties to the effect that the grantor has not previously conveyed or encumbered the property.

Judgment

The final determination of a court of a matter presented to it. Money judgments, when recorded, become a lien on real property of the defendant.

If you have a need for a real estate professional, please contact me. I would also appreciate your vote of confidence by passing my name to anyone you may know who would benefit from my services.

www.JulieWyss.com  |  Julie@JulieWyss.com   |  408.687.2026

The Latest Edition of Intero's Prestigio Magazine

The new issue of Intero’s Prestigio Magazine features Exotic Living on the California Coast.  Click the image below to browse through over 60 pages of content, with oversized photos and detailed information describing some of Intero’s most extraordinary luxury properties.

The Wyss Weekender for September 20th-22nd ~ Enjoy!

What Can I Afford?

There is a rule of thumb that says that if you have the capacity to repay the mortgage, you can afford a single-family house that costs up to two and one-half times your annual gross income. (Annual gross income is the amount you make before taxes are deducted.) Like other rules of thumb, this is a general idea of how large a mortgage you can afford. But, because it is so simple, it doesn't take into account all the information that will help you feel comfortable with your mortgage payments.

If you are buying a house with someone else (spouse, parent, adult child, partner/companion, brother or sister or other relative), you should consider your co-purchaser's earnings and existing debts as well. Remember, if you apply for a loan with somebody else, you and your coborrower are both legally responsible for repayment of the mortgage.

Your buying power depends on how much you have available for the down payment and how much a financial institution will agree to lend you.

Your down payment

If you are a first-time home buyer, the price you can afford to pay for a house may well be limited by your ability to come up with the required down payment and closing costs. If you haven't accumulated much savings, you may want to set aside funds for a down payment on a regular basis from your paycheck. Monies in your checking and savings accounts, mutual funds, stocks and bonds, the cash value of your life insurance policy, and gifts from parents or other relatives may all be suitable sources for a down payment.

Private Mortgage Insurance

Depending on the lender and loan type, you may be able to get a mortgage with as little as 3 percent or 5 percent down. However, putting less than 20 percent down often means you will be required to purchase private mortgage insurance. Private Mortgage Insurance (PMI) helps protect the lending institution in case you fail to make payments on your mortgage.

Avoiding PMI

It is possible to get financing with 0-10% down and not pay PMI (Private Mortgage Insurance). This is why 80-10-10 financing was created. It is called 80-10-10 because a lender provides a traditional 80% first mortgage, a 10% second mortgage, and makes a cash down payment equal to 10% of the home’s purchase price. The same principle applies if the borrower can only afford to make a 5% down payment: 80-15-5 financing is also available.

Your closing costs

In addition to the down payment, you will also need to consider closing costs. The closing is the final step during which ownership of the house is transferred to you. The purpose of the closing is to make sure the property is ready and able to be transferred from the seller to you.

Closing costs generally range from 3 percent to 6 percent of the amount of the mortgage. So, if you were to buy a $100,000 house with a 5 percent ($5,000) down payment, you could expect to pay between $2,850 and $5,700 on your $95,000 mortgage. Sometimes, you can negotiate with the seller of a property to pay some of your closing costs, which will reduce the amount of money you will need to bring to closing.

How much a financial institution will lend you

Apart from having available funds for a down payment and closing costs, the other major factor limiting how expensive a house you can buy will be how much you can borrow.

When you apply for a mortgage, the lender will consider both your earnings and your existing debts in determining the size of your loan. Lenders generally use the following two qualifying guidelines to determine what size mortgage you are eligible for:

The amount of money you owe for mortgage payments, property taxes, insurance, and condominium or co-op fee, if applicable, should total no more than 28 percent of your monthly gross (before-tax) income. This is called the Housing Expense Ratio. The amount of money you owe for the above items plus other long-term debts should total no more than 36 percent of your monthly gross income. This is called the total Debt-to-Income Ratio.

Basically, lenders are saying that a household should spend no more than about one-fourth of its income (up to 28 percent) on housing and no more than about one-third of its income (up to 36 percent) on total indebtedness (housing plus other debts). Lenders feel that if they follow these guidelines, homeowners will be able to pay off their mortgages fairly comfortably.

These lender ratios are flexible guidelines. If you have a consistent record of paying rent that is very close in amount to your proposed monthly mortgage payments or if you make a large down payment, you may be able to use somewhat higher ratios. Some lenders offer special loans for low- and moderate-income home buyers that allow them to use as much as 33 percent of their gross monthly income for housing expenses and 38 percent for total debt.

Don’t Despair, There is a Loan For You

When you go to apply for a mortgage, the lender will use all the relevant data -- your income, your existing debts, the purchase price of the house, your down payment, the interest rate on the loan, and the cost of property taxes and insurance -- and calculate whether you qualify to borrow the amount of money you need to buy the house.

If you have a need for a real estate professional, please contact me.  I would also appreciate your vote of confidence in my service by passing my name to anyone you may know who would benefit from my services.

The Wyss Weekender - Enjoy!

See what's happening in the Bay Area this weekend!

Have a safe and fun holiday!

"If you have a need for a real estate professional, please contact me. 

I would also appreciate your vote of confidence in my service by passing my name to anyone you may know who would benefit from my services."

Julie Wyss Broker Associate

Top 1% Intero Real Estate & Santa Clara County Realtors!

Intero Real Estate Services, Los Gatos Branch

Cell: 408-687-2026 Assistant: 408-357-6151

Julie@JulieWyss.com  I  www.JulieWyss.com

Team Wyss wouldn't miss this for Anything!

Come Out and Support the Los Gatos- Monte Sereno Police Foundation Next Sunday!

809 Area Code Fraud Alert!

809 Area Code Fraud Alert

 

Some scam artists are using the 809 area code to trick consumers into running up high charges on their phone bills- sometimes thousands of dollars. Be alert when responding to e-mails, phone calls, numeric pages or voice mail messages that tell you to call a phone number with an 809 area code.

The Scam Works Something Like This:

You get an e-mail, voice-mail, or page telling you to call a phone number with an 809, 284, 876 (or some other three-digit) area code to collect a prize, find out about a sick relative, etc. You assume you are making a domestic long distance call as 809, 284, 876 (and other three-digit area codes involved in this scam) appear to be typical three-digit U.S. area codes.

When you dial the 809, 284, 876 (or other three-digit) area code plus the number, however, you’re actually connected to a phone number outside the United States, often in Canada or the Caribbean, and charged international call rates. (In this case, 809 goes to the Dominican Republic, 284 goes to the British Virgin Islands, and 876 goes to Jamaica.)

You don’t find out about the higher international call rates until you receive your phone bill.

To Minimize the Risk of This Happening to You:

• Check all area codes before returning calls.
• If suspicious of area codes you do not recognize, check the telephone directory or call the operator to determine the location of the area code before making your call.
• If you do not typically make international calls, ask your local phone company to block outgoing international calls on your line.

Get Help

If you've been scammed, first contact the carrier, with whom the charge originated, whose name and toll-free telephone number should be printed on the same bill page as the charge in question. Often, the problem can be resolved with a single phone call.

If the carrier with whom the charge originated does not agree to resolve the problem, contact your local phone carrier. They will work with you and the originating carrier to help get fraudulent charges removed from the phone bill.

To file a complaint with the Federal Communications Commission about this and/or related phone scams, visit: http://www.fcc.gov/cgb/consumerfacts/809.html.



In the market to buy, sell or invest? Contact Julie Wyss and get the power of Team Wyss on your side.

 

Julie Larsen Wyss, Broker Associate

Recognized Among The TOP 5% Of All Intero Agents, 2012  

 

408.687.2026 I julie@juliewyss.com I www.juliewyss.com

 

      Connect with Team Wyss. Click an icon below.

                            

 

 

 

 

 

Have some Fun this weekend - Check out Team Wyss Weekender and see what's going on in the Bay Area!

Yesterday, Intero Real Estate announced the TOP 1% for June, 2013-

Team Wyss placed #10.

Today, we found out TEAM WYSS is #14 YEAR-TO-DATE!

 

We are so thrilled and grateful for all of your support!

 

 

Team Wyss made the #10 slot of the TOP 1% Producing Realtors

of Intero Real Estate Services for June, 2013!

 

Thank YOU for your Unconditional Support and Referrals-

Please Call Team Wyss for Any of your Real Estate Needs.

Team Wyss Welcomes our new executive Assistant Madison Ann Souther!

Madison has received over 5 years of High Level Real Estate Training at the “Intero Real Estate Services” located in Los Gatos California and brings a wealth of knowledge to Team Wyss.

As firm believers in the power of talented, committed individuals working together to make an extraordinary difference, Team Wyss welcomes Madison’s contribution and assistance in making our Real Estate transactions exciting & completely clear, paying close attention to every detail resulting in World Class Real Estate Services.

Relax as we manage the flow of information & remains connected to you, guaranteeing the smoothest transaction possible.

You can reach Madison Ann at:

madison@juliewyss.com

(408) 357-6151

Team Wyss Gets Rave Reviews

   

All activity occurred within the first half of 2013.

 Team Wyss: Offering Unparalleled 5 Star Service.  

                                        

Pending: 21889 Lone Oak Circle #1, San Jose, CA  95120 $2,700,000

Pending: 7615 Tiptoe Lane, Cupertino, CA 95014 $1,650,000

2418 New Jersey Avenue, San Jose, CA 95124 $1,300,000

Julie did an absolutely incredible job in getting us the house of our dreams! She was friendly, professional, efficient (responding to our emails at 6AM sometimes!) and made the complicated home-buying process seem easy, which we really appreciated as first-time home-buyers. Even after closing, she has been very helpful in getting the house set up the way we want it, by arranging for carpet service, etc., and referring us to other vendors. We would definitely recommend Julie to any of our friends looking for homes in the Bay Area.

Pending: 24 Coronado Avenue, San Carlos, CA $1,300,000

1460 Montego Drive, San Jose, CA 95120 $$1,260,000

Julie and her team did an amazing job in helping us find our new home. Julie accomplished something unheard of in this market...our offer, which was contingent on us selling our home, was accepted! We are very thankful to Julie and her team for not only finding but also securing our dream home for us.

 Pending: 6470 McAbee Road, San Jose, CA 95120 $1,030,000

1762 Duvall Drive, San Jose, CA 95130 $805,000

Julie and her team did an amazing job of selling our home. They held three super sized open houses and garnered some great offers on a very tight timeline as the sale of the mandatory in the purchase of our new home. Julie and her team get great results!

Pending: 4068 Page Court, Pleasanton, CA 94588 $755,000

Julie's team and her very reliable network worked hard and helped us beat very aggressive contract. We are very pleased working with her team, especially her hardworking Lynsey, who guided us, helped us and has been with us through the end. Thanks a lot!!!

651 Murphy Ranch Road Milpitas, CA 95035 $710,000

Julie is definitely someone you want on your side. Being a 1st time homebuyer, she made it real easy because she was extremely proactive, patient, and professional during the entire process. Met all my needs and I would definitely work with her again in the future.

1073 Saginaw Terrace #102, Sunnyvale, CA 94089 $658,000

Julie is an excellent agent. We were purchasing our first property, doing it while living abroad and in a seller's market! This purchase was a real challenge for all of these reasons and Julie managed the process in an impressive manner. She has great knowledge of the Silicon Valley real estate market, was always super responsive and helped us make a decision and complete the transaction very quickly. I highly recommend her!

6259 Mahon Drive, San Jose, CA 95123 $610,000

Julie helped us buy a house in a pretty tough market. Went through several offers on different places but got an offer accepted and it was pretty smooth after that. Much appreciated and recommended.

5341 Escover Lane, San Jose 95118 $570,000

Julie did an excellent job for us. Very responsive. Great follow up. We were looking for a rental property to purchase. With each house we looked through, she would point out the pros AND cons. Not pushy whatsoever. Very professional. We definitely recommend her.

7318 Moen Court San Jose, CA 95139 $550,000

We got in touch with Julie to sell our rental home in San Jose. Since we were living overseas, we had additional constraints in time and expense in the process.
Julie and her team did an amazing job ! Julie understood our specific needs and advised us on the market situation and brought in the options that made us comfortable with our decision. She was quick to respond to our queries, always reachable (from overseas) and made the whole process look easy. Thanks to Julie, we sold our home in much shorter time than we anticipated. We couldn't have asked for a better experience.
We would highly recommend Julie and her team to our friends.

5001 Granite Creek Road, Scotts Valley, CA 95066 $549,000

5228 Adalina Court San Jose, CA 95124 $566,000

We engaged Julie to help us sell our condo. We were living out of the area while the sales process was going on, so we communicated primarily by phone. We found her to be knowledgeable, she responded to our phone messages promptly, and provided us with a very good "stager" who did a great job. We are convinced that staging was big factor in a prompt sale. Also, Julie was instrumental in how the buyer structured their offer to accommodate the rapidly changing market. This led to a smooth sale with a positive outcome for both the seller and buyer.

Active: 5636 Orchard Park Drive, San Jose, CA $525,000

101 Morrow Court San Jose, CA 95139 $512,000

If it weren't for Julie, we wouldn't have gotten our house so fast. End to end, we closed the deal in less than 45 days...It was fantastic! Her widespread network and negotiating skills come in handy when you are fighting for a house in an aggressive market. She'll get you in on a house when no one else can. I have already connected her to 3 of my dearest friends so they can find a home as quickly as I did.

1116 Malott Drive San Jose, CA 95121 $510,000

Julie was fantastic to work with! Super professional, presentable, and always chipper, Julie brought her ‘A Game’ to every meeting we had with her. I was impressed that she had us both full out "wish lists" describing our dream house, separately. Then, she went over them together with us and helped us narrow down and refine what was truly important and obtainable for our budget. She did her absolute best to help us find our dream home, and while in the end, we stumbled upon it by accident ourselves, she was more than diligent and dutiful when it came to handling the daunting short sale process. I think my favorite moment of working with Julie was the day the house closed and we got our keys. She met us at the house, took the tour and hugged us both. She presented us with an enormous, overflowing gift basket full of goodies. Tied to the front was a Christmas tree ornament for our impending first holiday in our new home. Such a thoughtful, genuine gesture that really went the extra mile to say, “Thank you for letting me be a part of this process with you”. It was a pleasure having Julie as our agent and we would use her again in a heartbeat.

Pending: 1113 Alonso Drive, San Jose, CA 95126 $505,000

Active: 357 River View Drive, San Jose, CA $505,000

605 San Conrado Terrace #1, Sunnyvale, CA 94085 $482,000

We selected Julie Wyss to help sell our home in Sunnyvale after contacting several agents. Throughout the entire process she was open and up front about the details and next steps, quick to respond to any questions, friendly, and very professional. 

Since we were relocating to a different state, we wanted to leave quickly. She helped us take care of all details and arranged for everything to happen in our stead. The entire sale process was entirely painless! This was a huge relief for us as it gave us one less thing to worry about.

We really appreciate that she kept in contact with us throughout the sale and was always reachable. Julie and her team handled our sale promptly and professionally. Even after the sale, she called to see how we were doing in our home search in our new state. We would definitely and highly recommend her and her team.

3293 Kathleen Street, San Jose, CA 95124 $465,000

Pending: 709 San Conrado Terrace #6, Sunnyvale, CA 94085 $459,00

606 San Conrado Terrace #8, Sunnyvale, CA 94085 $450,000

We selected Julie Wyss to help sell our home in Sunnyvale after contacting several agents. Throughout the entire process she was open and up front about the details and next steps, quick to respond to any questions, friendly, and very professional. 

Since we were relocating to a different state, we wanted to leave quickly. She helped us take care of all details and arranged for everything to happen in our stead. The entire sale process was entirely painless! This was a huge relief for us as it gave us one less thing to worry about.
We really appreciate that she kept in contact with us throughout the sale and was always reachable. Julie and her team handled our sale promptly and professionally. Even after the sale, she called to see how we were doing in our home search in our new state. We would definitely and highly recommend her and her team.

1591 Delante Terrace, San Jose, CA 95118 $438,000

We chose Julie to assist us in finding our first home and our experience couldn't have been more positive. We weren't familiar with the area, market, or process in general, which can be quite intimidating for first time homebuyers. Julie was there to help us navigate through the process every step of the way.
She's very good at determining what a family needs in a home, is realistic with budgets, and is extremely flexible when it comes to calls and appointments. I think she goes above and beyond to ensure quality and satisfaction. 

We just purchased our first home, have settled in, and are very happy :-) We will definitely work with Julie in the future and recommend her to anyone looking for a home.

701 San Conrado Terrace #1, Sunnyvale, CA 94085 $430,000

Julie sold our condo in less than a week. She is an expert in her field and knows the market well. She tells you exactly what you need to do to get your maximum selling price. Her team is knowledgeable, fast & responsive. Julie Wyss and team are amazing! Great experience!

192 Goularte Way, San Jose, CA 95116 $295,000

Pending: 368 Carroll Street, Mountain House, CA 95391 $280,000

Coming Soon! 59 Pearce Mitchell Condo, Stanford University Housing, Palo Alto, CA Price TBD

Contact us today for World Class Real Estate Services

408.687.2026

 Julie@JulieWyss.com

www.juliewyss.com

All activity occurred within first half of 2013.