Monthly Archives: February 2014

Feb 6
Ladera Ranch Real Estate Market Report – January 2014

Sales
Single Family Residences
Town-homes/Condominiums
On Market
 0%
48
Newly Listed
 +55.2%
29
Avg Listing Price
 +9.9%
$1,222,958
Month-of-Inventory
 +21.7%
2.3
Avg Sqft
 +6.3%
3,509
Avg Price per Sqft
 +4%
$349
Avg Bed(s)
 -3.2%
4.1
Avg Bed(s)
 0%
4.31

On Market
 -16.2%
37
Newly Listed
 +71.9%
32
Avg Listing Price
 -8.4%
$480,888
Month-of-Inventory
 +21.7%
2.2
Avg Sqft
 -8.9%
1,555
Avg Price per Sqft
 +0.3%
$309
Avg Bed(s)
 -4.5%
2.66
Avg Bed(s)
 -13.1%
2.75

Solds
Single Family Residences
Town-homes/Condominiums
Sold
 -23.8%
21
Avg Listing Price
 +7.5%
$1,163,800
Avg Sqft
 +10%
3,400
Avg Price per Sqft
 -2.9%
$342
Avg Days-on-Market
 -6.7%
90
Avg List vs. Sold Price
 +5.1%
95.2%
Avg Bed(s)
 -0.2%
4.14
Avg Bed(s)
 +1%
4

Sold
 -41.2%
17
Avg Listing Price
 +5%
$480,355
Avg Sqft
 +1.9%
1,594
Avg Price per Sqft
 +3%
$301
Avg Days-on-Market
 +2.3%
87
Avg List vs. Sold Price
 -0.6%
98.15%
Avg Bed(s)
 +9.4%
2.76
Avg Bed(s)
 -7.2%
2.76

Should you require more detailed Ladera Ranch Real Estate information, or are in need of superior real estate services, please do not hesitate to contact us at 949.444.9694. Thank you.

Feb 2
Ladera Ranch 7 Day Real Estate Activity Report: New Listings 01/26 – 02/01/2014

Feb 2
Ladera Ranch 7 Day Real Estate Activity Report: Sold Listings 01/26 – 02/01/2014

Feb 1
What to expect with Dodd-Frank as a home buyer or seller

Passed as a response to the late 2000s recession, the Dodd-Frank Wall Street Reform is the most significant change to financial regulations in the United States since the reform that followed the Great Depression. This new reform, in regards to real estate, was written to protect the industry from predatory lenders, unqualified borrowers, and to hold banks more accountable by increasing their due diligence work.

As a logical consequence of the Real Estate crash in 2008, the pendulum of loan lending shifted. All major banks, to eliminate risk, are since exclusively underwriting loans through the government sponsored organizations Fannie Mae and Freddie Mac. As mortgage funds are provided from these institutions, the banks are subject to their strict underwriting rules, and eligibility requirements for these mortgages have now changed as of January 10th, 2014.

The guiding principle behind Dodd-Frank is to ensure the borrower has enough financial strength to fulfill the loan’s obligations. The borrower must prove a debt-to-income ratio of 43% or less (must be fully verified), loans must not exceed a 30 year term, must be amortized and points and fees are not to exceed 3%.

The Good News

How these changes ultimately impact the housing market has yet to be seen. With certainty we can state that it is generally harder to qualify for a loan, resulting in less qualified buyers.

However, it is not all bad news. While these new rules are restrictive to lending, the impact on real estate transactions is expected to be minimal, as

  • Lenders have pro-actively adjusted long before the regulations took effect.
  • Already 95% of the pre-Dodd-Frank loans are compliant with the new regulations.
  • Private mortgage lenders are not subject to these new regulations and can underwrite loans according to their own comfort level.
  • Banks are starting to once again underwrite non-compliant loans, especially for their high net worth clients.

What You Can Do

If you are in need of a loan, you are well advised to work with a lender early in the process. This will set realistic expectations and ensure a smooth process.

You can always take advantage of our lending network. Please contact us for more information and to connect with a highly qualified loan officer.