Squatters Settle Into Multimillion-Dollar Homes

Squatters Settle Into Multimillion-Dollar Homes

DAILY REAL ESTATE NEWS | TUESDAY, DECEMBER 06, 2011

Squatters are finding a loophole in a Texas state law and are moving into residences, choosing some of the priciest, most luxurious homes to settle down in.

A study by the Fort Worth Star-Telegram found that squatters have overtaken numerous suburbian homes, some valued at more than $8 million, in Tarrant County.

"It's the craziest thing how anyone could be so brazen as to just break into a home and start living in it," Tarrant County Precinct 7 Constable Clint Burgess told the Associated Press.

The state law allows squatters to claim property if no owner is on hand to challenge it. They’re targeting vacant properties where owners have died or home owners are away because of a job or even illness. In one incident in Houston, squatters threw away the owner’s belongings in a commercial garbage bin and moved in while the home owner was having chemotherapy.

“Squatters are claiming houses they insist are abandoned by filing affidavits of adverse possession with county clerks, paying a $16 filing fee, keeping current with property taxes and pledging to live in the house for at least three years,” the Associated Press reports.

Source: “Squatters Occupy $2.7 Million Mansion and Other North Texas Houses Worth More than $8 Million,” Associated Press Newswires (Dec. 4, 2011)

First Garden Update of the Year: April 2011

I am so excited that I already bought a few things for my garden this year!

Pansies : )

Spearmint

Dill

Garlic Chives - yummmmmmm!

Beautiful!

Cider vinegar to keep flies away!

I was reading how to keep fruit flies away, which is always annoying when you have plants indoors. I have a small spray bottle with a water and a free and clear dish-soap solution. It really helps when you notice the flies to mist the plant and cover the leaves with the solution. The plant won't get harmed and the flies and eggs will die. Also, I was reading that if you put a little bit of cider vinegar in a small dish and cover it with plastic wrap, leaving a small hole at the top, the flies will be attracted to it. They will fly inside the hole, but not be able to get out. So far, I haven't noticed many tiny flies, so I am not sure if it's working!

I also planted my sugar snap peas and green beans last week. I can't wait until I start getting sprouts! I'll be sure to post some pictures in time for my next monthly newsletter : )

- Ashley

NAR Applauds Short Sales Bill

Daily Real Estate News | April 13, 2011

NAR Applauds Short Sales Bill 

A new bill to improve the process for approving short sales may soon bring relief to distressed home owners who are unable to keep their homes and hope to avoid foreclosure. The bill, introduced in the U.S. House yesterday and strongly supported by the NATIONAL ASSOCIATION OF REALTORS®, would impose a deadline of 45 days on lenders to respond to short sale requests.

The legislation, the “Prompt Decision for Qualification for Short Sale Act of 2011,” was offered in Congress by U.S. Reps. Tom Rooney (R-Fla.) and Robert Andrews (D-N.J.). “The current short sale process can be time-consuming and inefficient, and many would-be buyers end up walking away from a sale that could have saved a home owner from foreclosure,” said NAR President Ron Phipps.

“REALTORS® and consumers continue to raise issues about delays in the short sale process, because lenders are unable to decide whether to approve a short sale. After many months of delays, and with no response from lenders, potential buyers are losing patience and cancelling their contracts, often resulting in the property entering foreclosure. A short sale minimizes the negative impact on sellers and generally costs the lender less than a foreclosure,” said Phipps.

NAR has been actively pushing the lending industry to improve the process for approving short sales, which represent about 13 percent of recent home sales according to NAR data. Phipps praised Reps. Rooney and Andrews for their efforts on the bill and urged Congress to pass the bill quickly.

“As the leading advocate for home ownership and housing issues,
REALTORS® want to help more home owners avoid foreclosure by facilitating a short sale when a family is absolutely unable to keep their home; however, that can only happen if lenders and servicers approve short sale offers in a reasonable amount of time,” said Phipps. “Streamlining short sales transactions will reduce the amount of time it takes to sell the property, improve the likelihood that the transaction will close and reduce the overall number of foreclosures. This benefits sellers, lenders, buyers, and the entire community.”

— NAR

Daily Real Estate News | April 11, 2011

Iowa Agent Killed at Model Townhome 

Police continue to investigate the shooting and death of a 27-year-old real estate professional at a model townhome in West Des Moines, Iowa, on Friday.

Ashley Okland of Iowa Realty was shot two times at 2 p.m. Friday inside a model townhome while working at Stone Creek Village, police say. She later died at Iowa Methodist Medical Center.

"We have not ruled out anyone or anything as a suspect or a motive," Lt. James Barrett told the Des Moines Register. Police released few details about the shooting and its investigation.

With scant details about a motive behind the shooting, many real estate professionals in the area were on edge over the weekend. Several of the largest real estate brokers in central Iowa canceled open houses that were scheduled for the weekend following news of the shooting.

This marks the second attack on a real estate professional in Iowa this year. In February, a real estate professional was assaulted when showing a home in Ottumwa, Iowa. The agent was able to break free and escape, and two men were later arrested and charged.

Source: “No Leads in Real Estate Agent’s Shooting,” Des Moines Register (April 9, 2011)

Daily Real Estate News | March 31, 2011

Housing Shortage on the Horizon? 

Mike Castleman, founder and CEO of Metrostudy, which tracks real-time data of the country’s inventory of new homes, says a housing shortage is looming that will soon will create a huge surge in demand for new homes. As such, now is the time to buy, he says.

In the 41 cities Metrostudy covers, 78,000 houses are either vacant and for sale, or under construction — that is less than a quarter of the new homes that fell in that category during the housing boom in 2006 and way below the level of a decade ago.

"If we had anything like normal levels of buying, those houses would sell in 2½ months," says Castleman. "We'd see an incredible shortage. And that's where we're heading."

The historic drop in new construction mixed with the decline in housing prices is laying the foundation for a dramatic recovery in residential real estate, Castleman told CNN. Castleman expects home owners soon will start returning, which will drive up prices in many markets later this year.

While demand remains low for new construction, he expects that to change. He foresees the recovery following a similar path as previous ones: A severe housing shortage will drive a big increase in demand.

“We'll get a big surge in demand and the drywall companies will take a long time to ramp up, and it will take years to get new lots approved,” he predicts. “Buyers will show up looking for a house in a subdivision, and all the houses will be sold. The builders will tell them it will take six months to deliver a house." But they’ll want the house so bad that they’ll “bid the prices up."

Source: “Real Estate: It’s Time to Buy Again,” CNN (March 28, 2011)

10 Tips for Saving Money in the Garden

10 Tips for Saving Money in the Garden
By: Laura Fisher Kaiser

Published: January 28, 2011
Carefully plan and plot your garden to add value to your home and make the most of your time and money.
So don’t impulsively drive to your garden center. Walk your land, consult an almanac, test the soil, and make a budget. You’ll save your back, your budget, and your home’s curb appeal.

Tip #1: Get to know your land

Before shelling out money for new plants, consider what’s thrived and died in past gardens. Ask, “Is this plant doing its job? Adding beauty? Providing shade? Creating borders?” Give a pink slip to landscaping that’s not pulling its weight.

If you’re a newcomer to gardening or to the area, scout the neighborhood to see which plants look happy and which wither on the vine.

Keep in mind that even plants appropriate for your growing zone might not work in your personal patch. Your particular soil conditions, sunlight patterns, pest populations, and available water will determine what will grow. Your local cooperative extension service can analyze your soil and recommend amendments and suitable plantings.

Tip #2: Become sun savvy

Even experienced gardeners make mistakes. They plant shade-loving plants in full sun or sun-loving plants in partial shade. Before planting anything in your garden, compare the amount of sunlight your landscaping needs for the amount you have.

Evaluating garden sunlight is tricky because daylight is a moving target: Seasons change and plants mature and cast different shadows.

So before plotting plant beds and tree locations, study the movement of the sun throughout the day and, if you have time, throughout the year. Calculate how many hours of sun each garden section receives. Then check planting directions to make sure your greenery will get what it needs.

Tip #3: Become water wise

Over-watering plants can kill your landscaping and budget. To avoid death by water, know how much and when your greens need to drink: Sales tags should have watering directions.

Drip hoses are thrifty ways to water plants, because the water goes directly to roots, drop by drop. Wind drip hoses around tree bases and bottoms of shrubs. Put hoses on automatic timers to avoid over-watering.

If you have an in-ground sprinkler system, install an ET (evapotranspiraton) controller. These systems, which use real-time weather data sent by satellite to control when sprinklers turn on and off, can cut water use by as much as 30%. The controller costs between $300 and $400, depending on system size, but many municipal water agencies offer rebates, particularly in the arid Southwest.

Tip # 4: Mulch much

Spreading a few inches of mulch in landscaping beds protects your plants and shrubs from drying out, and makes beds look tidy and uniform. Mulch also keeps down weeds and moderates soil temperature.
Organic mulches--grass clippings, wood chips, pine needles--eventually decompose and add vital nutrients to your soil and landscaping. Organics also encourage worm growth, nature’s own soil tillers and fertilizers.
Shredded bark mulch from the garden center provides a rich look for your beds, adding curb appeal. It also prevents dirt from splashing on leaves.

Tip #5: Color your garden

Stick to a simple color scheme for flowers and blooming shrubs in your garden. Your landscaping will look more cohesive and professional.
Massing plants of coordinated colors creates a sense of luxury and order. If you like pinks, add lavenders and blue-hued plants. If hot red is your color, mix with yellows and oranges.
Keeping to a single color family in your garden also narrows your focus when roaming plant center aisles. If you are a gardening newbie and can’t tell a tea rose from a trumpet vine, ask the store’s plant expert for help. Most will be glad to exchange their knowledge for a sale.
Also, gardening catalogs and websites often group complementary colors together. Some even provide a complete landscape plan, which you can faithfully recreate.

Tip #6: Avoid invaders

Ivies, grasses, and vines will fill in your garden quickly, and just as quickly take over your landscaping. Once these “invasives” take root, unearthing them is difficult, and in some cases, impossible.
Your garden center doesn’t call these spreaders “invasives.” They are billed as “fast growers” or “aggressives,” but often that’s code for non-native plants that take over the landscape and crowd out locals by stealing nutrients, light, and water.
The U.S. Department of Agriculture maintains a list of invasives that includes various ivies, grasses, weeds, vines, self-seeding varieties of bushes and shrubs, and even seemingly innocuous herbs, like mint. Your county extension service can steer you toward the species best suited to your garden. Warning: If you love growing mint, grow it in a pot on your deck or patio.

Tip #7: Beware of neighbors bearing green gifts

You should love thy neighbor, but don’t ever take cuttings from their gardens unless you know exactly what they are and how they grow. Self-seeding perennials, such as Black-Eyed Susans and coneflowers, will quickly fill bare spots with splashes of color. If you tire of them, just grab a spade and dig them out.
But if a neighbor extends a slender stalk of Rose of Sharon, or other invasive tree species, run away screaming. These trees will spread throughout your yard and grow roots so deep that only a professional--or the better part of your weekend--can dig and pull them out.
Tip #8: Plant shade trees for natural A/C

Shade trees planted on the south and west sides of a house reduce cooling bills--up to 25%--and lower net carbon emissions. So include shade trees in your landscaping plan.
Choose shade trees according to their size at maturity, which could be 20 years away. Dense deciduous trees--maples, poplars, cottonwoods--are good selections because their leaves cool your house in summer, and their bare branches let light in during winter. Plant them close enough to shade your house, but not so close that they will overwhelm the space.
If you want a faster growing shade tree, about 2 feet per year, select a northern red oak, Freeman maple, or tulip tree.

Tip #9: Power down your lawn mower

The Environmental Protection Agency says gas-powered lawn mowers contribute as much as 5% of the nation’s air pollution. Switching to new generation electric and push-reel mowers—which are lighter, quieter, and kinder to your lawn than power mowers—reduces emissions and cuts fuel consumption.
To mow three-quarters of an acre of grass with a power mower requires 1 gallon of gas. As gas prices head to $4 per gallon, you could save $100 a year by switching to a muscle-powered or electric machine. An electric or good push-reel mower costs $150 to $250, so it will quickly pay for itself.

Tip #10: Grade your landscaping

Once a year, walk your property, cast a hard eye on your garden beds and ask, “Is that plant doing its job? Is it growing into its space, or wandering wherever it likes? Are leaves healthy or spotted with mold and pests? Are these greens improving curb appeal or just making my house look overrun?”
If a plant or shrub isn’t working out, it’s compost. If shrubs are growing too close to your foundation--1 foot away is good--transplant or prune them.
Make sure trees are growing no closer to your house than the width of their mature canopies. Otherwise roots can burrow into foundations, and overhanging branches can trap moisture against the roof or siding, leading to rot and insect damage.
Check your flowering plants and shrubs to see if they are indeed flowering. Too few or dull blossoms should rally after a dose of fertilizer or layer of compost. An inexpensive alterative to commercial fertilizers is manure tea. Fill the foot of old pantyhose with a clump of cow or horse dung, tie the hose to the watering can handle, and let the manure steep in water. You can get weeks of nutrition from a little bit of dung.
Jeanne Huber is the author of 10 books about home improvement and writes a weekly column about home care for the Washington Post.

Survey: Sellers Fare Better With Agents

Daily Real Estate News | February 24, 2011

Survey: Sellers Fare Better With Agents 

Sellers have a better chance at getting their house sold by using a REALTOR® than opting for the do-it-yourself approach, according to a survey of 1,000 home owners by HomeGain.com, an online real estate resource. Nearly 60 percent of home owners who used a REALTOR® to sell their home were successful compared to 39 percent of FSBOs, the survey found.

In the survey, 83 percent of home owners said they used a REALTOR® to sell their home, whereas 17 percent said they tried to sell it themselves. This corresponds to results from NAR's 2010 Profile of Buyers & Sellers, which found 88 percent of sellers were assisted by a real estate agent. (Additionally, 83 percent of buyers bought their home through an agent.)

“It is especially striking that home owners fare significantly better in selling their homes using a REALTOR® than selling on their own,” says Louis Cammarosano, general manager at HomeGain. “Due to that relative success, the level of satisfaction in the home selling process is also higher for home sellers utilizing the services of a REALTOR® than those who try to sell their homes on their own.”

Among the findings in its For Sale by Owner vs. REALTOR® survey:

• 88 percent of home owners who sold their homes using a REALTOR® said they would use a REALTOR® again.
• 24 percent of FSBOs eventually contacted a REALTOR® to help sell their home.

Source: “HomeGain Survey Finds Home Sellers Fare 50% Better in Getting Their Homes Sold Using a REALTOR® Than Selling on Their Own,” HomeGain.com (Feb. 24, 2011)

FSBOs Vanish, Sellers Turn to Real Estate Pros

Daily Real Estate News | February 15, 2011

FSBOs Vanish, Sellers Turn to Real Estate Pros 

For-sale-by-owners are rare nowadays. In fact, the number of FSBOs dropped to record lows over the past year.

Unrepresented sellers make up just 11 percent of the market, down from 13 percent in 2009, according to the 2010 National Association of REALTORS® Profile of Home Buyers and Sellers.

With today’s more complex transactions--such as with short sales and foreclosures and frequent changes in mortgage lending--more sellers are finding comfort in the help of real estate professionals to guide them through the process.

FSBOs once were lured to try to sell themselves because they thought they could save on commission fees, but now sellers are realizing that if they don’t use an agent, it’ll likely cost them more in the long run, experts say.

"Selling by owner does not guarantee the seller will put 5 [percent] to 6 percent more in his or her pocket in trade for doing all the work and taking on potentially costly liabilities,” Margaret Woda, associate broker with Long & Foster in Crofton, Md., told The Washington Times. “On the contrary, prospective FSBO buyers have their eyes on that 5 percent to 6 percent as well. It's more likely the buyer will win this negotiation in a buyer's market with a huge price reduction--probably even larger than the saved commission."

Some FSBO sellers also often make the mistake of listing their home at a higher price than the market warrants. But even if they do find a buyer for that price, unless it’s a cash purchase, the home has to be appraised and many deals can then fall apart.

Source: “Fewer Sellers Going Do-it-Yourself Route,” The Washington Times (Feb. 11, 2011)

I really see this a lot in my market. For-Sale-By-Owner houses are pretty much nonexistent. It's true that there are a lot of factors going into deals nowadays and there are plenty of ways things can go wrong. As an agent, I deal with these factors on a daily basis, so I can easily deal with things and diffuse certain situations. Know someone looking to sell their home? Now is an ideal time to get it on the market to beat the spring rush. Have them contact me today at 708-307-9616 or sales@ashleywydra.com. 

Ashley

Landing Mortgage More Stressful Than Finding a Job?

Daily Real Estate News | February 9, 2011

Landing Mortgage More Stressful Than Finding a Job? 

Getting a mortgage in today’s lending market isn’t easy and can be a complicated, stressful process for borrowers, according to findings from a national survey by MortgageMatch.com of 1,000 adults.

About 70 percent of Americans say access to affordable mortgages is a serious problem, and that understanding the mortgage process and lenders’ requirements is even more difficult and stressful than getting the mortgage itself or even negotiating the sale price on the home.

Nearly 80 percent of recent home buyers, particularly those earning $50,000 a year or more, say getting a mortgage was much more difficult than they had expected. And nearly a quarter of home buyers said waiting to hear if they were approved for a mortgage was even more stressful than waiting to hear if they landed a job.

Among the survey’s other findings:

• 10.8 percent report their lender gave them a higher interest rate than what they were originally quoted.
• 22.9 percent said applying for a mortgage was challenging because documentation requirements from their lender kept changing.
• 21.6 percent of borrowers said their lender used too much technical jargon.

"Over the past few years, a lot of buyers have had a hard time not only getting a loan but getting through the process," says Sue Stewart, senior vice president at Move Inc., which is the operator of MortgageMatch.com. "This survey is a wake-up call and clearly points to the fact that borrowers want a process that's easy to understand and follow. They don't want surprises and they want to be able to depend on their mortgage lender. For most people, the home buying process isn't about the mortgage -- it's about getting a home."

Source: “Survey Shows Access to Mortgages Seen as a Serious National Problem,” PRNewswire (Feb. 8, 2011)

It's super important that you work with a lender that you can trust and who takes the time to help you understand the process. Email me or call me and I would be happy to give you the contact info for my mortgage professional whom I work with all the time! sales@ashleywydra.com 708-307-9616

- Ashley

Daily Real Estate News | January 28, 2011

Mortgage Rates Continue to Climb 

Mortgage rates are continuing their gradual climb upwards after reaching record lows. The 30-year fixed mortgage rate rose to 4.8 percent from 4.74 percent the previous week, Freddie Mac reports. The average on 15-year mortgage rates also rose slightly from 4.05 percent to 4.09 percent for the week.

In November, 30-year loans had reached a 40-year low at 4.17 percent and the 15-year mortgage rate was at 3.57 percent.

The average on the five-year adjustable-rate mortgages this week increased to 3.7 percent from 3.69 percent the previous week.

Meanwhile, the Mortgage Bankers Association says it expects mortgage lending to drop considerably in 2011, due to high unemployment, borrowers’ diminished credit coming out of the recession, and more lenders not willing to take on a high risk.

MBA says it expects new loans this year to decrease by 36 percent to its lowest level in more than a decade, falling to $966 billion in 2011 from $1.5 trillion this year.

Earlier in the week, MBA reported a drop in mortgage applications to the slowest refinancing activity in more than a year. Mortgage applications dropped 12.9 percent in the week ended Jan. 21, according to MBA’s seasonally adjusted index.

The index dropped 15.3 percent, which is the lowest level since January 2010. Refinancing activity has continued to decline since October from rising interest rates and tighter underwriting standards.

Source: “Bond Yields Rise and So Do Mortgage Rates,” Freddie Mac (Jan. 27, 2011); “U.S. Mortgage Applications Declined Last Week,” Reuters News (Jan. 26, 2011); and “Mortgage Lending Projected to Fall 36%,” Dow Jones Business News (Jan. 26, 2011)

Google to Drop Real Estate Listings

Daily Real Estate News | January 27, 2011

Google to Drop Real Estate Listings 

Google announced that it will drop real estate listings that real estate professionals upload to its classified site Google Base, as well as any for-sale, foreclosure, or rental properties through its search function on Google Maps.

The real estate listings at the site will discontinue by Feb. 10, 2011.

Google officials say they decided to stop featuring the real estate listings because of low usage and the popularity of other property-search tools on real estate Web sites. Google Base also is being replaced by Google Shopping APIs, which will not support real estate listings.

Google says visitors still will be able to be use Google to find real estate information and Web sites and explore neighborhoods through Google Street View.

"This does not come as a surprise to me,” Pete Flint, CEO of property search site Trulia, told Inman News. “Even with Google's huge audience, it shows having listing data is clearly not enough to deliver a good real estate search experience and build audience."

Source: “Google Drops Real Estate Listings,” Inman News (Jan. 26, 2011)

Daily Real Estate News | January 27, 2011

Foreclosures Jump in Unexpected Cities 

The foreclosure crisis is now spreading to cities that were once relatively unscathed from the crisis. Seattle, Houston, and Chicago have joined the list of other cities in the United States plagued by a growing number of foreclosures and home owners unable to make their mortgage payments.

Foreclosure activity increased in 149 of the country’s 206 largest metro areas last year, reported RealtyTrac Inc., a foreclosure listing firm.

In the Houston-Sugar Land-Baytown metro area, the foreclosure rate jumped 26 percent from 2009 — the largest increase in foreclosures among the top 20 metro areas, according to RealtyTrac.

In Seattle-Tacoma-Bellevue, the foreclosure rate increased nearly 23 percent — ranking second in areas with the largest increases. In Georgia, the Atlanta-Sandy Springs-Marietta metro area was third with a 21 percent spike.

In the Chicago-Naperville-Joliet area, foreclosure activity rose 16 percent and home repossessions climbed nearly 20 percent, making it the second-highest city with the largest number of bank repossessions. (Phoenix-Mesa-Scottsdale in Arizona had the highest number of bank repossessions overall.)

Bad mortgages are no longer taking most of the blame for the spike in foreclosures either.

"We've actually had a sea change in what's causing foreclosures, from the overheated home prices and bad loans to a second wave of foreclosures actually caused by unemployment and economic displacement," Rick Sharga, a senior vice president at RealtyTrac, told MSNBC.

As unemployment and the economy improve, Sharga expects metro areas like Houston, Seattle, and Chicago to bounce back quickly. However, he expects the traditional foreclosure hotbeds — California, Florida, Nevada, and Arizona — to take longer to recover. Those states account for 19 of the top 20 metro areas with the highest foreclosure rates in 2010.

The highest overall foreclosure rate in the nation? Las Vegas-Paradise, Nev.: One out of every nine households received a foreclosure-related notice in 2010, which is nearly five times the national average, RealtyTrac reports.

Source: “Foreclosures Spread Into Previously Safe Areas,” MSNBC (Jan. 27, 2011)

Recipe of the Month: January 2011

Fried Pickles

Seasoned Egg Wash:
1 Egg
1 teaspoon salt
1/3 cup milk
1/2 teaspoon black pepper
1/3 cup Worcestershire Sauce
1/3 teaspoon Tabasco

Seasoned Flour:
2 cup flour
1/2 teaspoon paprika
1 tablespoon garlic salt
1/4 teaspoon poultry seasoning
2 teaspoons black pepper

Oil for frying
Klauson Whole Pickles

Whip together all ingredients for seasoned egg wash, set aside. Mix ingredients for flour mixture in shallow dish. Slice pickles 1/8" thick. Dip into flour mixture, then egg wash, then flour mix again. Fry until golden brown, about 1 minute. Drain on paper towels. Serve with dipping sauce of ranch dressing, ketchup or horseradish sauce.

I did not buy Klauson brand like the recipe says because I couldn't find it. I just bought regular whole pickles that I sliced. Your hands get really gunked up with the flour and egg when you are dipping the pickle slices. I do not have a fryer so I used a deep pot with like an inch or two of vegetable oil, just enough to fry. They are super easy to make and I used a spoon ladle with holes to drain to remove the pickles from the fryer and set them on paper towels. My friends were eating them right off the paper towels before I could even serve them! LOL! We loved them. Let me know if you make them and what you think! Good luck!

- Ashley

Try My New FREE App!!!

Hey everyone,

I am super excited that my brand new app just went live! Text ASHLEY to 87778 to try it out. You can search through all for-sale and recently sold properties and there's a cool GPS function that shows you for-sale properties within a radius of your current location.

It's super convenient and easy to use. Best of all, it's completely FREE! Yay! Please test it out for me and let me know what you think of it!

Click here to enter your phone number: http://mobile.smarteragent.com/c21/ashleywydra/

- Ashley

Man Faces Charges After Trying to Raffle Home

Daily Real Estate News | January 19, 2011

Man Faces Charges After Trying to Raffle Home

A Long Island, N.Y., man is accused of collecting more than $100,000 in raffle tickets he sold to raffle off a million-dollar house he once owned. But no raffle took place, ticket holders say, and authorities are accusing the man of pocketing the cash and using it for luxury vacations.

Scott Cicerone, who has plead not guilty to the charges, faces 21 counts of petit larceny and one count of scheme to defraud.

Prosecutors say Cicerone sold $50 raffle tickets to thousands of people for a waterfront property he owned in Massapequa, N.Y. The property, however, had fallen into foreclosure.

After several postponements for the raffle drawing, ticket holders say Cicerone stopped replying to them and the raffle never happened.

Source: “NY Man Accused in $100k House Raffle Scam,” Associated Press (Jan. 13, 2011)

I think this is crazy! What do you think?

- Ashley

Buyers Try to Clear Out Bad Vibes

Daily Real Estate News | January 14, 2011

Buyers Try to Clear Out Bad Vibes 

Foreclosed homes may have a lot of negative energy lurking, from missing appliances, dirty carpets, cracked walls, and any number of other problems from not being cared for properly from the previous home owner.

The foreclosure crisis has sparked an increase in an unusual business: More buyers are asking for ritual house cleansings before they move in to rid the home of it’s bad auras.

Witches, psychics, priests, and feng shui consultants are being asked to come in to homes to bless or exorcise the homes of their bad spirits. Sellers are joining in too, in the hopes of trying to sell their home faster.

One buyer in Salem, Mass., two weeks before closing had a witch and warlock visit his three-story home to clang bells and spray holy water to cleanse the bad aura and break up the negative energy in the home. They poured kosher salt on doorways and raised iron swords at windows to keep evil spirits away.

"It's not entities or ghosts that we're dealing with anymore," Julie Belmont, who refers to herself as an intuitive, told The Wall Street Journal. "With foreclosures, a lot of it is energy imprints from past discussions, arguments, money problems. All of that is absorbed by the house."

Real estate pro Tamara Dorris in Sacramento, Calif., is a believer in feng shui for speeding up the sale of a property. For example, she placed a jade plant, which is believed to bring financial luck, in a designated “prosperity corner” in one home.

"Within two weeks, I had two offers," she says. "Most homes have at least one or two prosperity flaws. Foreclosed homes have five or six flaws."

Source: “The Housing Slump Has Salem on a Witch Hunt Again -- Buyers Worried About Bad Vibes From Foreclosed Homes Seek a Cleansing,” The Wall Street Journal (Jan. 13, 2011)

Although I've never experienced anything like this personally, I wanted to share it because I found it very interesting. What are your thoughts on these "cleansing" rituals? Would you have one done to your new home?

- Ashley

Top 10 Most Searched Markets at Realtor.com

Daily Real Estate News | January 12, 2011

Top 10 Most Searched Markets at Realtor.com 

When Web visitors come to Realtor.com, they most often are looking in the sunshine states for real estate, according to a list of the most searched real estate markets at Realtor.com for 2010.

Realtor.com, operated by Move Inc. and an official Web site of the National Association of REALTORS®, based its list on the number of visitors at Realtor.com that viewed properties in each metro area in the United States from January 2010 to December 2010.

Here are the top 10 most searched for cities at Realtor.com for 2010:

1. Las Vegas

2. Los Angeles

3. Orlando

4. San Antonio

5. Miami

6. Phoenix

7. San Diego

8. Austin, Texas

9. Tampa

10. Chicago

"Online search is a critical measure of interest in real estate, especially now that more than 90 percent of buyers search for their homes online," says Realtor.com President Errol Samuelson. "Changing conditions throughout 2010 in the sunshine states resulting from foreclosures, the tax credit, interest rates, and other factors created more interest in real estate compared to other states that we hope leads to increased activity and sales in 2011."

Source: “2010 Top Ten Most Searched Real Estate Markets Released by Realtor.com,” Move Inc. (Jan. 11, 2011)

This is the reason I pay to be a member of Realtor.com! My sellers can rest assured that their property listing will show up on Realtor.com and they almost always get the most hits there! Call me if you would like more information regarding listing your home. NOW is the time...don't wait until spring because that's what everyone else is thinking!!! Hope to hear from you soon : )

- Ashley

Lenders May Be Not-So-Fast to Foreclosure

Daily Real Estate News | January 11, 2011

Lenders May Be Not-So-Fast to Foreclosure 

After a pivotal court ruling last Friday in Massachusetts, lenders are likely to be more willing to help home owners who are struggling to make their mortgage payments.

Last Friday, the Massachusetts Supreme Judicial Court ruled that two foreclosures in the case were invalid because the banks didn’t follow proper steps to show they had the authority to foreclose on the homes.

The case likely has set a precedent for the rest of the nation’s lenders to follow: Before you foreclose on a home owner, make sure you have authority to do it.

“What banks are going to have to do is make sure they’ve dotted their I’s and crossed their T’s before going through with a foreclosure,” says Stuart Rossman, director of litigation at the National Consumer Law Center.

This could mean an even slower pace for foreclosures as banks take extra caution on their paperwork, says Roy D. Oppenheim, senior partner at Oppenheim Law in Weston, Fla.

Experts say the court ruling was a positive for home owners who are in the middle of the foreclosure process, those trying to work out modifications, refinance, or do a short sale. They say that reaching a deal with lenders may become easier.

“I am expecting the banks to do fewer foreclosures and to engage in serious conversation in pre-foreclosure with borrowers,” Oppenheim says. “We’re already seeing [some] modifications that included for the first time principal reduction.”

Source: “Foreclosure Ruling May Be Good News for Homeowners,” MarketWatch (Jan. 11, 2011)

I think it will be interesting to see what this year brings with short sales and foreclosures. I know that I personally deal with a lot of short sales and it seems like they really dominate the market. I feel that buyers are starting to shy away from these types of sales because of the length of some of the processes. Anyways, only time will tell what happens with these properties and the market we're in now!

- Ashley

Does it make more sense to rent or own in 2011?

Daily Real Estate News | January 6, 2011

Tables Turn in 2011 on Rent vs. Own 

Rents have surged as home prices have dropped, which have prompted some to ponder whether homeownership is really worth it. Moody’s Analytics data has suggested that it makes more financial sense to rent than buy in many U.S. cities, but Moody’s chief economist Mark Zandi now says that is about to change.

"By mid 2011 and certainly by end of 2011, buying will be superior to renting in most parts of the country," Zandi says.

Home prices are expected to fall further, making more homes affordable, whereas rent prices are expected to continue to rise this year.

The following are a few of the top cities where it makes more sense to buy than rent, according to Moody data. (Experts often recommend buying when the price-rent ratio is below 15 and rent when it’s above 20.)

▪ Cleveland: 11.43
▪ Pittsburgh, Pa.: 11.71
▪ Detroit: 12.32
▪ Phoenix: 12.35
▪ Atlanta: 12.82
▪ Tampa, Fla.: 13.08
▪ Orlando, Fla.: 13.1
▪ Cincinnati: 13.74
▪ Las Vegas: 13.89

Source: “Rent vs. Own Ratio to Flip in 2011?” Fortune (Jan. 4, 2011)

I definitely agree that rent prices will continue to rise because of the high demand of renting nowadays. Sellers who took a hit to their credit by short-selling or being foreclosed upon are now forced to rent since they cannot get a mortgage. Rentals do not last very long on the market and we often get several applications the first day being on the market! There are still amazing deals on homes out there that we may never see again. Especially for first time homebuyers, who have nothing to sell, the savings over their 30-year mortgage would be incredible right now! Call me if you are looking to buy! 708-307-9616

- Ashley

Recipe of the Month: December 2010

Here is a yummy recipe for homemade banana cake. It is perfect with some cream cheese frosting (super easy to make).

Banana Cake 

Ingredients: 1/2 cup butter
1 1/2 cups white sugar
4 eggs
3 bananas, sliced
1 cup sour cream
1 teaspoon baking soda
2 cups all-purpose flour

Directions: Preheat oven to 350 degrees F. Spray a 10 inch Bundt pan with non-stick cooking spray.
In a large bowl, cream together the butter and sugar until light and fluffy. Beat in the eggs one at a time. Beat in the sliced bananas, sour cream and baking soda. Beat in the flour. Pour batter into prepared pan.
Bake in the preheated oven for 60 minutes, or until a toothpick inserted into the center of the cake comes out clean. Let cool in pan for 10 minutes, then turn out onto a wire rack and cool completely.

Let me know what you think! : )

- Ashley