This Memorial Day, please set aside some time to observe a moment of silence in honor of our heros and heroines who sacrifice(d) or risk(ed) their lives for our country and our freedom. We, your business partners at WRT, wish you and your families a very safe and enjoyable Memorial Holiday weekend.
Please be advised that our office as well as all county recorders offices will be closed on Monday, May 27, 2013 in observance of this federal holiday!
As seen in DQNEWS.com
Southern California homes sold at the fastest pace for an April in seven years amid the release of pent-up demand for move-up homes and high levels of investor purchases. The median sale price rose to a 58-month high, reflecting both home price appreciation as well as the simultaneous plunge in foreclosure resales and surge in mid- to up-market buying, a real estate information service reported.
A total of 21,415 new and resale houses and condos sold in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties last month. That was up 4.1 percent from 20,581 sales in March, and up 9.5 percent from 19,562 sales in April 2012, according to San Diego-based DataQuick.
On average, sales between March and April have risen 1.0 percent since 1988, when DataQuick’s statistics begin.
Last month’s sales were the highest for the month of April since 27,114 Southland homes sold in April 2006, but they were 11.8 percent below the April average of 24,291 sales. The low for April sales was 15,303 in 1995, while the high was 37,905 in April 2004.
“This is a market that is still re-balancing. Sales of deeply discounted properties in affordable neighborhoods are way down. Activity in middle and high-end communities is on its way up. Now it’s catch-up time, with a healthier economy spurring more demand and rising prices tempting more people to put their homes up for sale,” said John Walsh, DataQuick president.
The median price paid for all new and resale houses and condos sold in the six-county Southland was $357,000 last month, up 3.3 percent from $345,500 in March and up 23.1 percent from $290,000 in April 2012. Last month’s median was the highest since June 2008, when the median was $360,000.
The median has risen on a year-over-year basis for 13 consecutive months, and those gains have been double-digit – between 10.8 percent and 23.5 percent – since last August. Still, last month’s median remained 29.3 percent below the peak $505,000 median in spring/summer 2007.
It appears that well over half of last month’s 23.1 percent year-over-year gain in the Southland median sale price reflects rising home prices, with the balance reflecting the change in market mix.
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“Mothers hold their children’s hands for a short while, but their hearts forever.” -Unknown
A limited Liability company (LLC) is a flexible form of enterprise that blends elements of partnership and corporate structures. An LLC is similar to a corporation in that it provides limited liability to its owners for the debts and actions of the LLC. Other features of an LLC are more like a partnership, providing management flexibility and the benefit of pass-through taxation.
An LLC is often incorrectly called a “limited liability corporation” (instead of company), when in fact it is a hybrid business entity having certain characteristics of both a corporation and a partnership or sole partnership.
With regard to real estate, LLCs are usually formed by owners of investment/income –producing property to protect them from certain financial risks and provide them with pass-through taxation (see IRS LINK below).
It is important to understand that limited liability does not imply that owners are always fully protected from personal liabilities. Courts can and sometimes will pierce the corporate veil of an LLC when some type of fraud or misrepresentation is involved. Similarly, LLC rules and laws may vary from state to state.
As seen on DQnews.com
The median price paid for a Southern California home hit a 56-month high in March, rising 23.4 percent from a year earlier as the impact of foreclosures continued to fade and sales of mid- to high-end homes shot up. Total sales were the highest in six years for a March despite a sharp drop in sub-$300,000 deals, a real estate information service reported.
A total of 20,581 new and resale houses and condos sold in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties last month. That was up 29.1 percent from 15,945 sales in February, and up 3.1 percent from 19,953 sales in March 2012, according to San Diego-based DataQuick.
Sales normally jump between February and March, with that month-to-month gain averaging 36.4 percent since 1988, when DataQuick’s statistics begin.
Last month’s sales were the highest for the month of March since 21,856 Southland homes sold in March 2007, but they were still 15.1 percent below the March average of 24,254 sales. The low for March sales was 12,808 in 2008, while the high was 37,030 in March 2004.
The median price paid for all new and resale houses and condos sold in the six-county Southland was $345,500 last month, up 8.0 percent from $320,000 in February and up 23.4 percent from $280,000 in March 2012. Last month’s median was the highest since July 2008, when it was $348,000.
The median has risen on a year-over-year basis for 12 consecutive months, and those gains have been double-digit – between 10.8 percent and 23.5 percent – since last August.
“It’s remarkable how much the housing scene has changed in a year. At this point in 2012 there were still plenty of folks sitting on the market’s sidelines, waiting to be sure the recovery was real. But gradually the psychology shifted as the economy picked up steam and mortgage rates fell to historic lows. We’re seeing the release of a lot of pent-up demand, especially in the middle and higher-priced neighborhoods where activity had been sluggish for years,” said John Walsh, DataQuick president.
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The following 3 title terms -all beginning with the letter “e” – are common terms related to the title insurance industry. They are also terms that people tend to confuse with one another. Here are brief definitions of each to add to your real estate glossary:
Encumbrance: is the legal technical terminology for anything that affects or limits the title of a property. There are voluntary encumbrances, such as mortgages, deeds of trust, leases, easements, liens, or restrictions and involuntary encumbrances, which include judgments, tax liens and child support liens. Also, those things considered as potentially making the title defeasible are also encumbrances e.g., charging orders, building orders and structure alteration.
Encroachment: a term which implies, “advance beyond proper limits,” in American real property law describes an instance in which real property hangs from one property over the property line of another landowner’s premises. The actual structure that encroaches might be a tree, bush, bay window, stairway, steps, stoop, garage, leaning fence, part of a building, or other fixture.
Easement: is the right to use the real property of another without possessing it. Easements are helpful for providing pathways across two or more pieces of land. An easement is considered as a property right in itself at common law and is still treated as a type of property in most jurisdictions. The most important thing to know about easements: there are many and varied types of easements and the rights of an easement holder vary substantially among jurisdictions from state to state.
Western Resources Title is proud to announce we are now licensed to service all 58 counties in California!
What happens when you refinance and you have a second mortgage? Homeowners often miss this important point about having a second mortgage, home equity loan, or home equity line of credit.
If you refinance your existing first mortgage, the lender that holds the second mortgage lien must sign a subordination agreement, or this second loan must be paid off with your new mortgage.
A subordination agreement basically says that the lender agrees to stay in second lien position on the property’s title while the new lender assumes the first position. Your refinance loan cannot close until this signed legal document has been received by your lender. It’s important that your lender know upfront that you have a second mortgage so they can expedited the process. You don’t want this condition to delay funding especially once your mortgage rate has been locked!
Subordinating a second mortgage can have other issues, requirements and guidelines which vary from lender to lender. There is a fee for the subordination of second loans which also varies from lender to lender.
As seen on DQNEWS.com
La Jolla, CA—Southern California logged the highest February home sales in six years last month amid relatively strong sales of mid- to high-end properties and a record share of homes sold to absentee buyers. The median sale price edged slightly lower from January but rose nearly 21 percent from a year earlier, marking the 11th straight month in which the median has risen year-over-year, a real estate information service reported.
A total of 15,945 new and resale houses and condos sold in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties last month. That was down 0.7 percent from 16,058 sales in January, and up 1.0 percent from 15,780 sales in February 2012, according to San Diego-based DataQuick.
Typically there’s not much change in the number of sales between January and February. On average, sales have risen 0.7 percent between those two months since 1988, when DataQuick’s statistics begin.
Last month’s sales were the highest for the month of February since 17,680 homes sold in February 2007, but they were 9.9 percent below the February average of 17,696 sales. The low for February sales was 10,777 in 2008, while the high was 26,587 in 2004.
“Our January and February stats certainly indicate housing remains a big target for investors. But typically those two months don’t offer much insight into how the market will behave the rest of the year. These are sales that closed in January and February, meaning many of the buyers were out home shopping during the holiday season late last year. That’s when many traditional buyers and sellers drop out of the market, leaving a relatively high concentration of very motivated market participants, especially investors,” said John Walsh, DataQuick president.
“March and April will offer a better view of how broader market trends are shaping up this year. One of the real wild cards will be how many more homes go up for sale. More people who’ve long been thinking of selling will be tempted to list their homes at today’s higher prices. Fewer people will be underwater and therefore could at least break even on a sale. Some investors who’ve held for a while will consider cashing in. A meaningful rise in the supply of homes on the market should at least tame price appreciation.”
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Supplemental property taxes have been with us since 1983, but you and your neighbors still may not know what they are, what they do and how they affect you and your property. To help you better understand this confusing subject, here are the answers to some of the most frequently asked questions about supplemental real property taxes.
The Supplemental Real Property Tax Law was signed by the Governor in July of 1983 and is part of an ambitious drive to aid California’s schools. This property tax revision is expected to produce over $300 million per year in revenue for schools.
If you buy a new property or undertake new construction you will be required to pay a supplemental property tax which will become a lien against your property as of the date of ownership change or the date of completion of new construction.
“When” is not easy to predict. You could be billed in as few as three weeks, or it could takeover six months. When will depend on the individual county. The assessor will appraise your property and advise you of the new supplemental assessment amount. At that time you will have the opportunity to discuss your evaluation, apply for a Homeowner’s Exemption and be informed of your right to file an Assessment Appeal. The county will then calculate the amount of the supplemental tax bill. The supplemental tax bill will identify, among other things, the amount of the supplemental tax and the date on which the taxes will become delinquent.
There is a formula used to determine your tax bill. The total supplemental assessment will be prorated based on the number of months remaining until the end of the tax year, June 30th.
No. Unlike your ordinary annual taxes, the supplemental tax is a one time tax which dates from the date you take ownership of your property or complete the construction until the end of the tax year June 30th.
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