Jeanean Gendron, Your Shasta County Real Estate Specialist: July 2008

We will be closing an escrow on a nice property in Anderson near the Sacramento River. It's just under an acre and is a newer three bedroom, two bath, 2 car garage home with an additional workshop/2 bay garage. This was a short sale and the sellers came to me in April hoping that I could help them get a short sale approved. They had moved out of the home in January and had not been making payments.

The hardship for these sellers was established and we listed the home and had offers within weeks. We accepted an offer in early May and received approval two weeks ago. We've done inspections and will be closing next week. When the numbers are correct and the bank has process and procedures in place to handle the short sale, you can make good progress.

I am Jeanean Gendron and I can be reached at 530 276-7417. I answer my phone. Visit our websites to learn about Redding and Shasta County Real Estate and about Short Sales.

A small bear cub with burned paws was rescued in the fires surrounding Shasta County by a forester from the Department of Forestry and Fire Protection. Adam Deem, ran across the small cub while moving through heavy brush. The cub raised a burned paw as if to show Adam he was hurt. Adam moved through the brush to scoop up the cub and bought him out wrapped in his jacket. The cub is now recovering at the South Lake Tahoe rehabilitation center with 4 burned paws. Different treatments are being used on each paw to evaluate which is most effective and the small cub is being sedated and provided with antibotics to fight infection. The greatest danger is infection at this point.

We wish Li'l Smokey a speedy recovery and re-introduction back into the wild. We thank Adam Deem for being in the right place at the right time.....saving this cub is a good story during hard times.

I am Jeanean Gendron and you can reach me at 530 276-7417. Visit our websites to learn about Redding and Shasta County real estate.

While there is some questions about the National Down Payment Assistance Programs remaining viable for first time home buyers, Shasta County will still be able to continue to help first time home buyers with down payment assistance. This is very good news to first time home buyers in Shasta County and Redding, CA. With the support of these programs first time home buyers still have good opportunity to purchase in this declining market. There is still 100% financing available to those who qualify or through negotiations with the seller. The Buyer has opportunity to ask the seller for seller concessions to cover closing costs. Owning a home can become a reality for the first time home buyer.

The Shasta County Down Payment Assistance Program--requires a final puchase price of $225,000 or less. The Buyer must be in a qualified areas of Shasta County. Property must pass the termine and home inspection. They Buyer must not have owned a home in the last 3 years and must meet income guidelines. There is credit criteria that must be met and the Buyer must contribute 3% of the purchase price. The Buyer must take a class in homeownership, have a stable income and be able to obtain mortgage financing for the purchase. The buyer must use the home as a principle residence.

The Annual Income Elligibility Requirements

Family size

1      $30,150

2      $34,450

3      $38,750

4      $43,050

5      $46,500

6      $49,950

7      $53,400

8      $56,850

Loan Details--The program provides up to 40% of the purchase price with a maximum loan of $80,000. The loan is due when the title changes hands, the home is sold or refinanced, or recipient moves out of the home.

I am Jeanean Gendron and you can reach me at 530 276-7417. I answer my phone. Visit our website to learn about Redding and Shasta County Real Estate.

Working with an exprienced Realtor who has taken specialized short sale training or successfully closed short sale transactions is an important element of your success in buying a short sale property. If your Realtor has this experience or training, they will be able to help you determine whether you have a good opportunity for approval and that the property is priced correctly (10% below market value or more). Your Realtor will be able to determine by talking with the Listing Agent if they are using a financial model that the bank will approve.

Get your financing in order and be able to present your purchasing strength and ability to perform. The lender is looking for the strongest buyer that can reassure them they can perform and are committed to buying the property.

The sale will most likely be an "AS IS" sale (sold in present condition). The lender typically does not pay for inspections or repairs and usually will not accept lower than 10% below market value. Be prepared to do a whole house inspection and a pest inspections. These inspection will determine if other inspections are required.

Make sure you are committed to waiting and that you are not in a time critical situation. You may get approval within 3-4 weeks and it may take longer. Some banks cooperate better and respond quicker than others.

I am Jeanean Gendron and you can reach me at 530 276-7417. I answer my phone. Visit our website to learn about Redding and Shasta County Real Estate and our Short Sale website.

Bank Owned Properties are properties that have been foreclosed upon. The bank has completed the costly foreclosure process and either auctioned or seized the property. Often times the properties set abandoned for many months during the process and vacancy invites vandalism and damage to the property. The properties usually receive no level of maintenance.

Once the bank finally lists the property, they will normally list with one of a number of REO agents in the area that either they have worked with or that they have contacted through REO websites (which require submission on the agents part and sometimes money to subscribe). At this point the property is not in good shape. The seller may have stripped the property or allowed the property to decline from vacancy and lack of maintenance. 

The Listing Agent may bring in clean up crews in order to get the property in as good of a condition as is reasonable in order to list the property. Often times they must do this at their own expense and may not get this money back. Not all agents will do this and some go on the market in their present condition.  Until that occurs, the property sets with overgrown weeds, grass and in a generally unloved condition.

Sometimes the property gets listed for a below market value in order to move it quickly and sometimes it gets listed at market value or above. In the latter case, it will set on the market for perhaps a year or more until the Bank/agent gets the price right.

REO agents generally put one photo up of the property. The do no marketing other than listing it on the MLS and putting up a sign. The commissions and listing agreements on REOs place the listing agent in a precarious position of having to accept liabilities and some expenses in maintaining the listing. With commissions often times below industry standards the agents have little choice in providing a higher standard for these properties. The best strategy on their part is to help the Bank get the price correct in order to move the property. The Bank will sometimes dictate what the price will be and therefore handicap the agent further.

In addition to handicapping the listing agent, the Bank uses their legal resources to basically take away most of the rights of the buyer in California. They dictate most terms. The property is sold "AS IS" with no disclosures (the Bank has not occupied the property). Typically there is a long counter offer removing most of the contractual safeguards for the Buyer in the State of California. Often times the Bank will specify and demand a certain Title Company be used out of your local area. Many times the title and escrow fees are substantially more. No negotiation is allowed.

The Banks do not foster good business nor operate under the preview of the California Department of Real Estate. In most cases, they are out of state entities with hugh legal resources to out maneuver any individual and I would guess the State of California DRE.

It would appear to this Realtor that some regulation of these counter offers and protection of the Buyer's rights would need to be reviewed and maintained by the State of California DRE.

The resulting set of legal issues with REOs leaves me with an overall hesitancy to recommend purchasing or dealing with Bank Owned Properties or REO agents. This is not meant to be inflammatory against REO agents and as mentioned above, I have sighted the same legal abuse that occurrs from these Banks with regards to REO Agents.

Banks need to work with sellers, loan officers, work out specialists and Realtors to provide sellers with options to avoid foreclosure. Foreclosure is a negataive influence on the real estate market trend in every concievable way. It does not benefit the Bank, the seller or the buyer many times. If a foreclosure does occur, the Bank should adher to the same law that have been developed within the state the property is located in for the protection of all within the real estate transaction. They should not abuse the REO agent nor the consumer.

If I have a client that is enterested in REOs, I counsel them on the process and make sure that they fully understand the rights they will be giving up and that we will be going through a very negative experience. If the house is worth it, we can do it however. The abusive power of the Banks is not a pleasant experience.

If you are a first time home buyer thinking of buying, you may want to talk with your Realtor or Loan Officer. The new "rescue bill" currently in the Senate (aimed at providing troubled sellers) may bring about the end of Down Payment Assistance Programs. The national, state and local program may no longer be available. The current end date is said to be October 31st.

If you have applied or have been thinking to apply, speak with your Realtor or Loan Officer soon. Hopefully, you will be able to use these benefits prior to October 31st. Another change will be that FHA will now require 3.5% instead of 3% down for first time home buyers.

I am Jeanean Gendron and I can be reached at 530 276-7417. I answer my phone. Visit my website to learn about Redding and Shasta County Real Estate.

I am in the completion state of a short sale. We have approval and are doing inspections. I double-ended the tansaction. The bank has cut our commission to 3% due to dual agency and a policy they have. I worked hard for this transaction, to help the seller and the buyer. The process nets a better result for the lender than a foreclosure. Why would the lender think that by cutting the commissions and the livlihood of the agent that know how to accomplish the objective and giving the bank/lender the bottom line number they need, justifies cutting the commision or life blood of the agent.

I will complete this transaction and when the next one comes along, I will do the same. In my opinion the best thing helping this market is the short sale. Until some other means of stablizing the market comes along, we do the best work in a short sale. We help the seller out of a difficult situation, the buyer to find opportunity and the lender to save money and remove an liability from their books.

Why would you bite the hand that feeds you. Food for thought!

I am Jeanean Gendron. I can be reached at 530 276-7417. Visit my website to learn about Redding and Shasta County Real Estate.

Trader Joe's Opening in Redding has now been post poned until next year. BUMMER! We've been living for Trader Joe's to open in October. I've got my shopping list all made out and planning on lifestyle changes with the opening of my fave food/health store. Tap, tap, tap with impatience on my part. Well, I guess good things are worth waiting for, however almost three years seems long enough!

I am Jeanean Gendron and I can be reached at 530 276-7417. I answer my phone. Visit our website to learn about Redding and Shasta County Real Estate.

A new bill is in the Senate that is designed to help troubled sellers avoid foreclosure. The bill will require the lenders to work with sellers to keep their homes. Some of the details are that the FHA loans coming from Fannie Mae and Freddie Mac will now require a 3.5 % downpayment and will not allow "Down Payment Assistance". While helping the current sellers in trouble this will bring more difficult conditions for first time home buyers. Through local and national "Down Payment Assistant" programs are currently helping buyers get into their first home.

This is not what our market needs at this time. First time home buyers are a segment of the market that are new due to the downturn and new opportunity. Why on earth would we look at stiffling that part of the market?

I am Jeanean Gendron and you can reach me at 530 276-7417. I answer my phone. Visit our websites to learn about Redding and Shasta County Real Estate.

My husband sent this link to me. It shows the amazing photos of the fires in California. It truly feels heavy here in California, much like the Loma Prieta earthquake in 1989. You could feel your fellow man hurting. It is much like that now and my perception is that it is not just on the human level, but animal, plant and earth level. You hunger in your responsibility to know how it is and these photos compel us to engage our heart and spirit in the containment of this distruction.

I am Jeanean Gendron and I can be reached at 530 276-7417.

Photo Link