The Bottom Has Passed in Santana Row

Three sales of the popular "A" model just closed escrow. These three were on the market as distressed sales (financial difficulty, short sale, etc). They were also on the market through the late part of 2007 when gloom and doom thoughts were more prevalent. The lowest sale recorded at $500,000 for a model in the Margo building which overlooked the trash dumpster and the east foothills. Another Margo unit - also east foothills - closed at $569,000. And the third was a DeForest building unit facing the west foothills which closed at $525,000. These were models A2, A1 and A1. The recent pending sales are in escrow much higher than this. The last closing, yesterday 2/28/08 was for an A1 unit overlooking SR in Margo for $616,000. I doubt any other SR facing A unit will sell below this from now on. As I've mentioned before, there is a bottom evident out there folks - time to step up and fast!

Short Sales vs. "Normal" Sales

Agents and their buyers are far more apt to make an offer on a "normal" property than a potentially more lucrative short sale especially in a 1031 exchange situation. The best values in the market right now tend to be the most difficult. The "deal" that you see may not even be deliverable - full price or otherwise. This is because a short sale listing is probably not sanctioned by the true seller - the bank or more difficult - the banks. Therefore, a valid offer may languish in committee and a straight forward acceptance or rejection may never come. If you are in an exchange - this is not for you. 45 days go by fast. Therefore, the perhaps not so well-priced, yet deliverable normal sale seems far more attractive when you need or want to act quickly. Of course, there are strategies to counter act this - and that is for another blog entry - I've got to keep my numbers up!

Blossom Valley San Jose Price Support

Where is the bottom? I can tell you it is evident in Blossom Valley single family homes just under $500,000 list price. This is for your typical 40 year old ranch house, 3 bedroom, 2 bath, 1200ish square feet on a quiet street (IE: not on a freeway or on Blossom Hill). The homes that are listing at $499k are getting strong offer activity and going in to escrow! So what's the big deal? This: when the general populous realizes that a bottom has been achieved, a spring board effect will occur - not the 10 meter board height of course - but this will put confidence in the market. And if Palo Alto, Mt View, Cupertino, Saratoga and Los Gatos have confidence on the west side, then confidence starts in Blossom Valley, Campbell, Cambrian - we are at the beginning of stability. Don't crucify me if you think I'm nuts - it's just what I see...

2 bedroom short sale condo Mountain View

At $345,000 for a 2 bedroom, 1 bath, 796 square foot condo in a good Mountain View location - this is a great deal. Check out this lucrative opportunitiy. Very few short sales and foreclosures in Mountain View and Palo Alto. This would be a very good rental property to buy as an investment. Then sell in a few years when prices come back.

Los Gatos Short Sale Pre Foreclosure Condo

Walking distance to downtown Los Gatos - this wonderfully located large one bedroom 2nd floor condo is an excellent value. Offered at $390,000 on a short sale basis - needing bank approval - is $30,000 less than what it sold for one year ago. 789 square feet makes for a very large one bedroom unit. Association fee is a reasonable $390 per month. Call for a tour.

Open House Saturday Feb 16th and Sunday Feb. 17th

This beautifully remodeled 3 bedroom 2 bath home located at 2098 Arrowood Lane San Jose,CA 95130 in west san jose in the campbell area is open this weekend both saturday and sunday from 1:30pm to 4:30pm. Come and stop by bring your agent and agents bring your clients... You will love it

First Time Home Buyer Class Feb 21, 2008

Tony Guaraldi of Intero Mortgage is hosting a very informative first time home buyer class to talk about the great lending programs available. He will talk specifically about the CalHFA program which allows excellent financing terms for first time home buyers. Tony is wonderfully qualified on this subject and can get you understanding how much you can afford with the assistance of this program.

* California State 1st Time Buyer Program
- 103% Financing to $693,000 Purchase Price
- All Fixed Interest Rates
- Down Payment & Closing Cost Assistance
- City & Non-Profit Assistance Programs
- Credit Scores Down to 620 with Zero Down
* Credit Reports and How They Score You
* Role of the Realtor
* Title and Escrow Process
* Tax Benefits of Home Ownership

Please RSVP at mario@interorealestate.com

10275 N De Anza Blvd
Cupertino, CA 95014
6:30-7:45pm
Thursday, Feb. 21st

TIC investments

The National Association of Realtors is working on a new regulation to allow CCIM Realtors to sell TIC investments. The reason behind this effort is to have competent commercial investment Realtors represent securities products that are essentially real estate investments. Right now the current representatives are stock brokers and securities dealers - people who are inherently not real estate experts. I think this a good move to bring expert guidance to this booming industry.

Mario Pinedo, CCIM

Intero Real Estate

415-269-6249 cell

408-342-3155 office

Sent via my BlackBerry

Short sale condo deal in Mountain View

We are tracking a very well priced 2 bedroom 1 bath top floor condo in Mt View for $360,000. It is a pre-forclosure short sale that will make someone a great buy. Let us show you what you can get in pricey Mt View for... ahem... next to nothing...
Mario Pinedo, CCIM
Intero Real Estate
415-269-6249 cell
408-342-3155 office
Sent via my BlackBerry

2098 Arrowood Lane, San Jose Open House This Weekend

2098 Arrowood Lane will be held open Saturday and Sunday from 1:30 - 4:30. This wonderfully remodeled home in west San Jose is offered at a very reasonable $815,000. A huge master suite with two closets and a wonderful new bathroom. Two other bedrooms and a new hall bath. There is a large open kitchen with all new appliances. Spacious area for a dining table adjacent to the living room. Large lot over 6,900 square feet. All this walking distance to Baker Elementary. Come and be impressed.

Short Sale Townhouse in Milpitas $319,000

We just listed a wonderful 2 bedroom, 1 bath, two story townhouse in Milpitas off Calaveras and Abel. This unit has a one car garage, a fenced patio, access to the community pool and is very welll located. It is not on the MLS yet. Give me a call for a preview.

Silver Creek Valley Country Club Open House Feb 9th

Please come see this wonderful home within the gates of Silver Creek Valley Country Club this Saturday from 1:30-4:30. 4 large bedrooms plus a wonderful office, 3.5 baths, 3 car garage, black bottom pool and spa, views of the valley, quiet street - everything you could ask for - offered at $1,349,950. Address is 5230 Birkdale Way, San Jose, CA 95138. With interest rates this low - the lowest in 3 years - this is a great time to buy your new home in the valley.

Team in Training San Diego Marathon Run for a Cure

My goal for the first half of this year is to raise $5,000 through Team in Training for cancer cure research. Please visit my webpage and make an important donation to this cause.
I ran my first real race on Thanksgiving morning in San Jose - the Turkey Trot 10K. After that, I knew I wanted to accomplish more. This coming from a kid who in high school could not finish one mile during football tryouts - no - I didn't make the team!
I also just turned the ripe old age of 40 two days ago. I was surrounded by some of my best friends and the love of my life. I cannot ask for more love and happiness. What I can do though, is give something back to those who are not so fortunate. This may be with a grueling 4 hour run in San Diego and it very well may be with some other challenge to myself in the future. It is also done with the support of my friends, coworkers, clients, family and sometimes an annonymous but wonderful donor.
Please do what you can and help me help the researchers and caregivers to find a cure.
Thanks,
- Mario

Open House 2098 Arrowood Lane, San Jose, CA

Come to this wonderfully remodeled home walking distance to the impressive Baker Elementary in west San Jose. New price at a very attractive $815,000. Huge master suite with office addition and two other bedrooms. Almost everything was recently upgraded to virtually new condition. All appliances in the kitchen are new plus new washer & dryer in the garage. Harwood floors throughout, new bathrooms, new lighting and paint. Also, all new landscaping in the front and back. Open today and tomorrow from 1:30-4:30.

1031 Exchange Identification Rules 101

3 property rule - identify 3 properties and then close escrow on one, two or three of them. This is the most commonly used rule.
200% rule - identify up to an aggregate of 200% of the value of the relinquished property. You then must close escrow on one or more of them. No limit to the number of properties identified as long as they total in value no more than 200% of the relinquished value. Common when going in to a lower priced area or coming from a high priced single property.
95% rule - unlimited number to be identified and you must close escrow on 95% of the properties that are identified. Common when buying a block of condos with separate parcel numbers which are run as an apartment building.
If you want any guidance on how to use these rules or how to navigate the dates of the 1031 exchange process, give me a call or drop me a line. I think I've seen it all!

Santa Clara County (REO) Bank Properties Available

This is our updated list of bank owned REO homes available in Santa Clara County:

Address, City, bedrooms/baths, square feet & asking price:

KNIGHTSBRIDGE LN, SANTA CLARA 3/2;1369 $515,900
QUICKERT RD, SARATOGA 6/5.5;4707 $2,175,000
ALDRICH WAY, SAN JOSE 3/2;1220 $513,900
BERRYWOOD DR, SAN JOSE 3/1;900 $439,900
CHAPEL HILL WAY, SAN JOSE 5/2;1593 $477,500
CHULA VISTA DR, SAN JOSE 2/1;1168 $574,900
CURTNER AVE, SAN JOSE 3/1.5;1635 $564,900
EASTON PL #42, SAN JOSE 2/2;975 $269,900
FLEDERMAUS, SAN JOSE 3/1;1176 $319,900
FLORENCE AVE, SAN JOSE 2/1;896 $419,900
FOOTHILL CT, SAN JOSE 4/2.5;2124 $649,900
JUDITH ST, UNIT #3, SAN JOSE 2/1;903 $249,900
LANIER LN, SAN JOSE 3/2;4791 $499,900
LANTERN WAY, SAN JOSE 3/2;1152 $459,900
N 14TH ST, SAN JOSE 2/1;1064 $399,000
ORLEANS DR, SAN JOSE 4/2.2;1352 $539,900
PEBBLE CT, SAN JOSE 2/2;1045 $369,900
S. 12TH ST #109, SAN JOSE 2/2;1130 $384,500
S. 20TH ST, SAN JOSE 3/2;1247 $500,900
SPIRO DR, SAN JOSE 2/1;938 $400,000
SUTTER ST, SAN JOSE 2/1;928 $369,900
TERILYN AVE, SAN JOSE 3/1;960 $374,900
TERILYN AVE, SAN JOSE 3/2;1178 $399,900
WARRING DRIVE #3, SAN JOSE 2/1;903 $284,000

Give us a call to see any of these great opportunities.

Zillow and Intero Real Estate

Only certain companies are posting all their listings on mega sites such as Zillow and Trulia. Intero has a bulk feed into both these sites. Alain Pinel and Coldwell Banker do not. How can you pass up approximately 7 million unique real estate visitors every month combined???
Mario Pinedo, CCIM
Intero Real Estate
415-269-6249 cell
408-342-3155 office
Sent via my BlackBerry

Jumbo loans under 5%

There is a very aggressive lender offering jumbo rate home loans with 1 point under 5%! The jumbo rates which had a spread of over 200 basis points over conforming rates in the last 6 months are now falling in line with their smaller amount brethren loans. This is attributed to the secondary market coming back to life. This is a very good sign.
Mario Pinedo, CCIM
Intero Real Estate
415-269-6249 cell
408-342-3155 office
Sent via my BlackBerry

Palo Alto Homes No Foreclosures Here

Silicon Valley companies are doing very well as is evident in premier communities like Palo Alto. Here's an interesting scenario for both the home buyer and the investor. A coworker just bought a home in midtown for $1,425,000 - not huge at all - 3 bedrooms, 1 bath and maybe 1,300 square feet on a normal lot. One day's rental listing on Craigslist.com generated 4 applicants all willing to pay her $4,800 asking rent! Does this make "investment sense"? Not if you consider cash flow as the only aspect of return on investment. Investment return also involves appreciation, debt reduction, tax benefits, depreciation deductions and holding period. Will my coworker make money on this deal - in my opinion - absolutely yes - does it take guts and risk - yes also - but markets like Palo Alto will forever be in demand - so the risk is quite mitigated.

The 88sj.com or just THE 88

Kudos to the marketing team behind The 88 condo building in San Jose. The ad in the San Jose Business Journal is brilliant.
"A 22 story Declaration of Independence. I want my city without the white picket fence. Without three-car garages, trips to the hardware store, to big-box chains, and every trip to anywhere that looks exactly like where I just came from. You can take your rakes, mowers, blowers and your leaf-packed gutters and keep them far away from me. And while you're at it, keep the minivan, the outskirts, and your keeping up with the Joneses, and keep it all to yourself. Just leave me to my own devices, leave me the skyline, spontaneity, and a lust for life, and all its experiences. Leave me a home above, the city below. And leave me THE 88."
Very cool way to market a building.