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Think of it as Jerry Weintraub’s last big production and sequel. The Beverly Hills estate of the late mega-producer was listed for sale earlier this month for $25 million. Now his Palm Desert home is being offered at $16 million.The Beverly Hills residence, renovated a decade ago, includes a contemporary-style house and a detached guesthouse that combine to offer five bedrooms and nine bathrooms in 7,300 square feet of interiors.Among the features are walls of glass, a media room with a wet bar, a wine cellar and an elevator. The master suite boasts a separate sitting room, a study and a gym.Renovated a decade ago, the two-story residence has five bedrooms and nine bathrooms in 7,300 square feet of space. (Jim Bartsch)A tennis cour...

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Two major banks have agreed to originate a new 15-year mortgage under pilot programs aimed at low- and moderate-income borrowers.In addition, the creators of the so-called Wealth Building Home Loan, which allows home buyers to build equity at a much faster clip than they would with a standard 30-year loan, are planning to bring their ideas to 10 other institutions over the next few weeks.Still, Edward Pinto thinks it might take months or even years for the product to become universal, if it becomes a regular offering at all. But Pinto and his co-conspirator, Bruce Marks, generated major buzz when they introduced the Wealth Building Home Loan at a mortgage conference in North Carolina in early September.The loan won the endorsement of sev...

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If you are buying or refinancing, you need to know how to get it right when it comes to the mortgage settlement process overhaul that starts Oct. 3.Known as TRID, the new rules originally were to start Aug. 1.As I originally wrote back in June, gone are the Good Faith Estimate and the Truth-in-Lending Disclosure, being replaced by one, easier to comprehend three-page form named Loan Estimate or LE.The mortgage broker or lender is obligated to send that to you within three business days after your application has been taken.LE wording is intent to beat you over the head, encouraging you to shop around for settlement services. Realty companies and builders have made fortunes by steering folks to affiliated companies, making huge profits at...

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Real estate-related industries are creating roughly 1 in 4 of Orange County’s new jobs.But that’s nowhere near a peak – and that balance is potentially good for the economy. Let me explain, using my trusty spreadsheet and Employment Development Dept. stats:• Real estate related industries – my tally of jobs in brokerages, construction, lending, design shops and janitorial firms – employed 237,400 workers last month, up 11,800 in a year – a change of 5.23 percent.• All Orange County bosses employed 1.54 million workers in August, up 48,500 jobs or a change of 3.25 percent.• That means real estate equaled 24 percent of the jobs created in the past year. Since 1990, my real estate grouping ...

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Real estate-related industries are creating roughly 1 in 4 of Orange County’s new jobs.But that’s nowhere near a peak – and that balance is potentially good for the economy. Let me explain, using my trusty spreadsheet and Employment Development Dept. stats:• Real estate related industries – my tally of jobs in brokerages, construction, lending, design shops and janitorial firms – employed 237,400 workers last month, up 11,800 in a year – a change of 5.23 percent.• All Orange County bosses employed 1.54 million workers in August, up 48,500 jobs or a change of 3.25 percent.• That means real estate equaled 24 percent of the jobs created in the past year. Since 1990, my real estate grouping ...

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The above charts track the home sales volume of single family residences (SFRs) on a month-to-month and annual basis. Sales volume includes the sale of all residential resales and new homes in California, including new homes sold directly by builders.
Annual real estate sales numbers since the 2008 recession suggest the upcoming years through 2016 will be characterized by the continuing bumpy plateau in home sales volume. Today’s market action, whether up or down, is reflected first in sales volume, followed by prices, and both fluctuate from month to month. [See Chart 1]
In 2014, home sales volume was 7% below the prior year. Sales volume will not significantly increase until after 2016, due to:

  • fewer participating first-time homebuyers than normal;

  • lower homeowner turnover to buy an upgrade or relocate due to continued negative equity and delayed retirement; and

  • static turnover in rental occupancies.

Much of these disadvantages are due to the slow jobs recovery. California finally regained all jobs lost in the 2008 recession in mid-2014, and has yet to return to pre-recession employment levels after considering the 1.1 million working-aged population increase. At the current recovery pace this will occur in 2019.
Buyer-occupants made up less and less of the sales market compared to speculator activity during 2013, lingering in 2014. This high level of speculation drove price increases beyond the borrowing capacity of occupying homebuyers.
Further, as of Q1 2015, 8% of California mortgaged homeowners were underwater. Thus, turnover by this chunk of owners is restricted. These homeowners cannot sell and relocate to purchase another home because their homes are worth less than the debt encumbering them. To rid themselves of the home and the debt, they have to endure damaged credit resulting from a short sale or foreclosure. The desire to avoid this embarrassment takes most out of the home buying market for years.
First Tuesday forecasts home sales volume will return to 2006 levels around 2020. The peak sales volume last seen in 2004, inflated by speculator acquisitions and excessive mortgage money, is unlikely to return for decades, and not until after interest rates cyclically peak.
Relocating Baby Boomers going into retirement later this decade will be the primary propelling force in both selling homes and buying replacements beginning around 2019. Their Generation Y (Gen Y) children will add to the sales volume at the same time as they find jobs and become first-time homebuyers. Gen Y influence will peak at the end of this decade.

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Ever-escalating home prices are helping some homeowners surface from being “under water” on their mortgages.
New CoreLogic figures show that as of June, 13,401 Orange County homes – or 2.5 percent of mortgaged residences – were under water, meaning their properties are worth less than they owe their lenders
That’s nearly 3,000 fewer underwater homes than at the end of March and 6,300 fewer than at the end of June 2014.
Foreclosures and “short sales” accounted for the bulk of homes surfacing from under water between 2009 and 2012, when home prices started to rise.
The number of underwater homes decreased by about 25,000 during that period, CoreLogic figures show.
But more than 87,000 homes surfaced from under water during the 3 1/2 years since median home prices resumed rising.
“The biggest reason for this improvement has been the relentless rise in home prices over the past three years,” said Anand Nallathambi, president and CEO of CoreLogic.
Nationwide, 4.4 million homes were under water as of June, or 759,000 fewer than at the end of March and 1.1 million fewer than the year before, CoreLogic reported.
Underwater homes – or homes with “negative equity” – accounted for 8.7 percent of all mortgage properties in the U.S., CoreLogic reported.

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Behold, it’s the traditional change of seasons for home shopping, as the prime time of spring and summer ends.Late summer is a time when life starts focusing on things outside of buying or selling a home. Industry data backs that up. In the four weeks ended Sept. 10, Steve Thomas’s ReportsOnHousing found widespread dips in activity by sellers, buyers and one measure of the market’s speed:• • 7,040 homes were listed for sale as of last Thursday, down 1.8 percent in four weeks.• • 2,645 homes entered into escrow in the 30 days ended last Thursday, down 4.2 percent in four weeks.• • Thomas calculates “market time” — the theoretical time it would take to sell all the supply at...

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