Real Estate News for Friday, December 30th, 2005

The big question for real estate in 2006 has to be whether or not the real estate bubble is a real thing. The answer is not nearly as simple as yes or no but the big properties may stay on the market even longer, after all most of the big properties that we saw in 2005 are still on the market. One thing we may see is that the condo market could take a deep dip. Already there are rumors of trouble in Las Vegas due to overambitious condo plans. And some ambitious big-city-style projects slated for smaller towns might not be as successful as they would be if they were in big cities.This was a huge year for condo projects. We will continue to see plenty of fractional vacation home options including even more co-tels in 2006 and, especially if the real estate market gets deeply stagnant, more home auctions. We are also hoping to see more intriguing housing options moving in two different directions, the stripped down minimalist elegant prefab and the luxed-up, teched-up smart home. Click here to read more.

Knowing your home’s value: some tips. Know your market sub-segment - the general price band or locational niche for your property. To stay in touch with movements in multiple sub-segments, study industry data on recently closed sales and time on market, and talk to agents who are grass-roots experts in specific areas and price bands. Agents are in daily touch with active sellers and buyers, and they really have a very good grasp of where things are heading. They also can tell whether particular sale prices were influenced by exceptional circumstances - a divorce, for example, or an estate sale in which the players involved wanted the deal done fast. That fine-grain information gets factored into the appraisal process, giving perspective to price variations within the comparables, or comps, he's selected for an appraisal project. Another piece of advice for sellers and buyers: If you're in doubt about pricing, you can hire a licensed, long-established appraiser as a consultant for an hourly fee. Though most appraisers work on contract for lenders, they are not prohibited from working as consultants for consumers, either to provide a second opinion or to nail down a listing price. Chris Call, of AREAS Appraisers Inc. of Springfield, Va., has this three-word piece of wisdom for sellers and buyers in softening markets: "Just be realistic." Don't be greedy as a seller, unless you want to sit dead in the water for months without an offer. As a buyer, don't expect sellers to bleed for you. Generally they won't unless they absolutely have to. And sellers: Don't blame the messengers - appraisers or realty agents - when your generous, tax-free capital gains turn out to be slightly less than you planned on. Click here to read more.

How real estate can save you money in taxes. As always, before using these tax saving techniques, please consult your personal tax adviser for details. 1. BUY A PRINCIPAL RESIDENCE BY YEAR-END. 2. SELL YOUR PRINCIPAL RESIDENCE BY YEAR-END. 3. USE A HOME EQUITY LOAN TO CONVERT NON-DEDUCTIBLE LOANS INTO TAX-DEDUCTIBLE INTEREST. 4. REFINANCE YOUR HOME LOAN; DEDUCT ANY UNDEDUCTED LOAN FEE. 5. PREPAY YOUR 2006 PROPERTY TAXES IN 2005. 6. PREPAY YOUR JANUARY 2006 MORTGAGE PAYMENT IN 2005. 7. DEDUCT ANY UNINSURED CASUALTY OR THEFT LOSS. 8. DELAY TAXABLE HOME SALES UNTIL 2006. 9. IF YOU CHANGED JOB LOCATION IN 2005, DON'T FORGET YOUR MOVING-COST TAX SAVINGS. 10. A TAX-DEFERRED EXCHANGE AVOIDS TAX ON A BUSINESS OR INVESTMENT PROPERTY SALE. Click here to read more.

As the New Year Approaches, Some Predictions for the Local Real Estate Market. Real estate continued its unbelievable boom this past year. Prices of houses soared. Mortgage interest rates -- albeit moving slightly above 6 percent -- remained steady. Even Federal Reserve Board Chairman Alan Greenspan expressed surprise that the rates stayed low, especially because the Federal Open Market Committee has been raising its target for the federal funds rate, the short-term interest rate it controls. Click here to read more.

Rooms with million-dollar views. In Marin County, an affluent enclave north of San Francisco, nothing is more coveted than a view of San Francisco Bay. And standing on the crest of Belvedere Island, the 19th-century Locksley Hall estate has all but 360-degree views of the area's scenic splendor. To the west, fog banks cascade over the Marin Headlands and spread, fingerlike, under the Golden Gate Bridge. San Francisco stretches across the horizon, from the Presidio to the skyline of the city's center. Just ahead, sailboats round Angel Island and glide steadily through Raccoon Strait. And the two yacht clubs in Tiburon, one of the area's priciest communities, are easily spotted below. The estate, listed at $65 million, is one of the most expensive properties for sale in the United States. Click here to read more.

~Tina Jan~
Coldwell Banker Kivett-Teeters
1655 E. Sixth St.
Beaumont, CA 92223
Work: 951-845-5520 Ext. 105
Fax: 951-845-4916
Cell: 909-446-2666
Toll-Free: 1-877-TINAJAN
tina.jan@coldwellbanker.com
www.tinajan.com