Terry L. Osburn DRE#01255032

Martinez came out of its sleepy state during the real estate boom and has remained a popular area. From nostalgic older homes to newer construction to views of the hill, water , Martinez has a little bit of everything.

Amtrak Station is located in downtown Martinez.

Whether buying as owner occupant and/or as an investor this community appeals to many. Home of the oil refineries which has helped the local economy sustain itself during these past tough years.

Waterfront park is a popular area.

The downtown district holds a lot of history and various shops and boutiques and restaurants.

The beautiful Alhambra Valley is part of the Martinez scenery with large acreages and horse properties.

Depending on location in Martinez, the schools can either be part of the Martinez school district and/or the Mt. Diablo School District.

Pleasant Hill, known as the little”Lafayette” of Contra Costa County is a thriving , centrally located community. Boasts new downtown area and is excellent commute location to Hwy 680, Hwy 4 and Hwy 242 and  for Bart Commuter Train. Homes in various price ranges. Access to the Contra Costa County Canal Trail, parks and various events throughout the year.

Pleasant Hill is bordered by Walnut Creek, Lafayette, Martinez, Pacheco and Concord.

There is a variety of homes from condos, townhomes, to single family homes.

Diablo Valley College is located in Pleasant Hill and the regular schools are part of the Mt Diablo School System.

A delightful community with various shops and restaurants and specialty stores(Starbucks and Peet’s). A huge movie theater downtown Pleasant Hill.

If interested in homes in this area please contact me. Need a lender? I can refer you to a seasoned experienced loan officer.

Yes and No….Pools can be an asset or a deficit…….

There are many buyers with children who do not want the responsibility and/or liability of a pool.

There are significant costs in maintaining a pool that must be taken into consideration with a buyers budget.

A well designed pool with solar heat will bring more value than one without solar heat.

A homeowner needs to take into consideration many things before investing in a pool… the costs to install, the cost of maintenance, the increase in insurance liability, the cost of having a secure fence installed around the pool. The neighborhood, the historical values of home in the area all comes into play.

A spa uses a lot of energy. Must be maintained in order not to create bacteria that can cause infections. If well maintained and cleaned can be a selling  point.

Do to current market trends and cut backs in jobs and income many buyers are shying away from homes with pools and spas.

Before installing, think about how long you will be there, does other homes in the areas have pools and will it help to build value or take away from the value of my home.

There are many buyers seeking homes with pools who have no issue with the maintenance and liability and costs of upkeep. It helps to create a recreation area for guests and family as well as an exercise setting.

A pool and spa to some may be a hindrance, to others it is a definite selling point.   Make sure your pool and spa sparkles and is free from algae

Rents are starting to escalate due to the percentage of foreclosed and distressed homes bought up by investors. This is starting to present a dilemma to buyers who have been sitting on the fence. Coupled with that interest rates are starting to rise.

How does one decide whether to pursue purchasing or remain a tenant?

There is no cut and dry answer…. There are several factors to take in consideration……if you are paying $1700 or more in rent and your current job and income appears stable you definitely want to check out your options. It is always a good thing to check with a CPA or other tax adviser to weigh your advantages vs disadvantages in home ownership.

What we have seen is despite the tragedy of the recent years in foreclosures and short sales , those who were forced into short sale and/or foreclosure wanting to come back into the market and own their own home again.

Home ownership is such an integral part of our society and allows for freedom to make a living place personal to a persons taste and needs.

Buyers still need to do their homework, touch base with a seasoned and ethical loan officer as well as a seasoned and ethical Realtor . Unfortunately there are still scams out there and there are those whose intent is only for monetary gain at the expense of others.

A recent buyer whose needs involved only wanting a one bed room condo was able to take advantage of today’s market and is saving herself approx $500 to $600 a month in rent PLUS she has a tax break for home ownership. Not only that this condo had extensive upgrades with high end appliances and is in move in condition. She was able to locate a great complex, HOA is stable and provides her a better commute…PLUS the lender we worked with was able to approve the entire project for FHA Lending thus further stabilizing this community for owner occupant stability, increase values, and will allow for present homeowners who qualify to refinance thru FHA…. This particular buyer could have afforded more but she was thinking long term for her particular needs and finances and researched and made decisions based upon her own research .

Patience, home work, picking the right team to represent you as a buyer is crucial.

I can refer you to a great and seasoned loan officer if you do not presently have one.

If you are thinking of purchasing a home in today’s market please contact me to discuss with no obligation my services to assist you in one of the most important financial decisions of your life time.

I have been listing and selling real estate since 1999. I serve but NOT limited to Concord, Pleasant Hill, Martinez, Walnut Creek, Clayton, Antioch, Pittsburg, Bay Point, Lafayette, Orinda, Moraga, Danville, Alamo, San Ramon.

As always if you are thinking of entering the real estate market the number one thing you need to do is hook up with a seasoned loan officer. Not all loan officers are alike…

You MUST  know what your limitations are upfront…….You do not want to look at homes out of your price range. If you see a home you like and for your offer to be taken seriously you will need to provide proof of funds in form of a lender provided loan pre approval letter and/or bank statements if all cash buyer.

Interestingly the inventory is low in many areas again paving the way for multiple offers…….Not necessarily way over asking but heavy competition at its best.

Knowing exactly up front your strength, whether or not you need closing costs back , how to address the inspections etc  before producing an offer will set the stage as to how you and your Realtor can write up the offer with terms that are strong and will meet both the buyer and sellers needs.

If you need a referral to a loan officer I can provide you with a few to pick and choose from.

The median price of homes have gone down but there has been an increase of actual sales.  There are many investors purchasing, thus rents are being forced up prompting many who have been sitting on the fence to purchase.

Springtime through  June and July has historically been the busiest time for sales. If you play your cards right, do your homework, have a loan pre approval in hand, no matter what the competition by presenting a well designed offer can many times outshine the competition.  ALWAYS think long term in real estate.  If you think you need to sell in a 2-3  years you might want to reconsider whether purchasing a home right now is for you.

Depends on what areas …..The overall inventory in the Greater Walnut Creek is low and sales have not been that brisk . In some cases depending on price range, location and condition we are seeing multiple offers again.

Investors are still seeking those great  deals. A lot of the competition is cash buyers looking for investment property.

Interest rates are still low although FHA has increased some fees.

I suspect we will hit highs and lows over the next couple of years. The market will come back but there is still plenty of shadow inventory in the wings that most likely will take up to 2-3 yrs to still clean out.

It will remain to be seen as to how the new loan programs for distressed homeowners will work out etc and what percentage of those homes will come on the market as short sales.

It is a good time to buy due to low interest rates but you must be patient and be ready to jump when a home you really like becomes available.

Rent rates are starting to increase and may force more buyers off the fence and back into the market.

Until we see real jobs come back and backs loosen up a little more in home loans I don’t see how a full recovery can take place.

How many homes have you entered with stucco exterior that has moldy walls in various places…..Mold being more visible from the floor up vs roof down?

Stucco acts like a sponge……Exterior stucco should never be down to the ground………Homeowners will go to the trouble of replacing drywall and perhaps treating the interior studs but do not address the issue of WHY mold is there.

While leaky roofs and windows can be a cause, in many cases it is the stucco.

Whether you live in a home now fighting mold and/or seeking a new home one of the things you should pay particular attention to is the exterior and whether the stucco has been cut off several inches from the ground….Does the water sprinkers  soak particular areas and need adjusting?

I have entered several homes in the past years with stucco and mold on the wall. Each home the stucco was down to the earth and in some cases the dirt was built up above the stucco.

One party took a special saw and cut off the stucco approx 10 in from the ground before repairing interior walls. Solved their problem.

Check with a license contractor or home inspector as mold besides the musty odor  can be a serious health threat to you and /or your loved ones PLUS who wants to see black mold on their walls?

How does a FHA 203K loan differ from traditional FHA?   http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/sfh/203k/203kabou(for full details about this loan click on this link)

FHA 203K Loan allows borrowers to purchase a home in need of repairs and builds the price of repairs into the loan.  It is a very underused loan that has many benefits.

It is somewhat more expensive in terms of closing costs than a traditional FHA loan, but allows for purchases of homes buyers would not other wise qualify for.

How does it work–The purchase price which should be below market to allow for the issues, deficits and repairs is the first thing.

Once your lender receives a purchase offer they will send out an appraiser who is approved exclusively to appraise these loans who will take into account the repairs and upgrades needed and will then do a cost analysis and reappraise the home at what value in today’s market would bring if rehabbed per the list of repairs.

As long as the original appraisal without repairs and the new appraisal with repairs mirrors the true market value of the moment then your lender will do the loan and build in the costs and allocate and disburse those costs as the repairs are completed. The appraiser generally is involved throughout the whole process.

There are two types of  203K loans….. Streamline and Rehabilitation.

1-Streamline  - Amount needed to upgrade and repair does not exceed $35,000 and is a  little less complicated process

2-Rehabilitation Loan -Amount exceeds $35,000

The negative of this loan is it takes anywhere from 45 to 60 days to be approved. There are strict guidelines as to times project must be completed and specific forms and formulas that must be used by the FHA Consultant.

Some sellers or listing agents do not want to get involved with these loans….it is a shame as it is a very doable loan as long as the loan officer involved is an EXPERIENCED and APPROVED 203K loan officer.

Investors or buyers occupying homes can benefit from these loans.

If interested in this loan I have a an experienced loan officer I can refer you to .

As a listing agent I worked with a buyer and their agent  recently on a major rehab loan in the Berkeley area….It is a great program.

Home inspections are they worth it? YES-YES-YES………….

Providing you hire a competent licensed inspector can save you thousands and lots of heartaches later on.

Single Family Detached Homes: The older the home the more liklihood the need of replacement of items such as roof, HVAC, plumbing, windows etc.

In particular those homes older than 1970 seeing the need to replace lateral sewer.  Termites, beetles, mold etc are more likely in older homes and can cause a significant amount of damage.

Remember to have your agent give you enough time in your contract for inspection contingency when possible…….I realize that many bank owned properties (REO’s) will only allow a short period of time.

As a buyer you should try up front to get the seller to agree to pay for any Section One pest and termite damage… It is customary for buyer to pay and correct any Section Two items after they obtain ownership of the property.

Having inspection contingency will give buyer the opportunity to walk away and get their earnest money back and/or go back and renegotiate terms and price with seller for unknown items found on inspections.   Some sellers will cooperate others will put back on market and just disclose up front what your inspections found. More often than not, you can renegotiate terms that will satisfy both parties.

Even on short sales if we provide the sellers lender with a written home inspection by a licensed contractor along with estimates of costs of repairs we can go back and renegotiate . While there are always exceptions many banks have worked with us. The inspections MUST BE from a LICENSED Inspector/Contractor. There must be estimates of repair to present. Pictures of damages is a major plus.

Don’t slight yourself —get home inspections! Your realtor can recommend several inspectors for you to pick and choose from…..BUT REMEMBER, the inspector should be representing YOUR interests……..not the agent’s….

1-We will continue to see more bank owned properties(REO’S) coming on the market this year.

2-Short sales will be around for awhile.

3-Housing  prices are still adjusting in some areas.

4-For true housing stability , JOBS must come back…

5-What I have maintained from the start of  my real estate career in 1999- Homes are LONG term investments………What happened in the last several years was due to fraud and unethical behaviour as well as greed.

Those who found themselves in short sale situations 2-4 yrs ago are now ready to come back into the market. It appears many consumers still feel owning a home is a good choice despite the circumstances they found themselves a few years back.

The key now is playing it smart…….Have a good loan officer……..Stay within your means….Make sure you budget for repairs and upgrades etc…get pre approved ahead of time and then start the search.

Be wary of some of the flipped homes that have been renovated……MAKE SURE you have a good home inspector look at the home. NOT all but some of the investor flippers have used questionable practices in rehabbing the home.  (EX: mold infested wall- they will replace the drywall or clorox it , seal and paint it but NOT address the issue that caused the mold) Investors are typically exempt from disclosures as they have not lived in the home. So the Mold issue may never be revealed in your disclosures.

Buying a home should be from a business perspective…….do not get caught up in emotions……look beyond the cosmetics……..EX: two homes, exact floor plan, one has been painted neutral and has new carpet….the other home needs painting and new flooring….both homes are in good condition otherwise……..Do you really think House #1 is really worth $20,000 more because it has new carpet and paint? Think about it……..For $5000 or less you can repaint and replace flooring in House #2. Keep things in perspective.

There are some good values out there…….Plan ahead, hook up now with a good loan officer even you are not considering purchasing for several months….research the neighborhoods, contact the local police dept for crime activities  in and around the area…..Drive the neighborhoods now you are interested in during the day, evenings and weekends.

If the rent you are paying equals to and is higher than a mortgage payment, purchasing a home may be a good investment move……