Green Tips for Homeowners

I just received the condo sales report for Orange County for the month of September and the average Condo in Orange County is listed for $315,528 while the median list price is $299,000.  Just for comparison sake, the average condo in Laguna Woods Village is listed for under $200,000 – that is 1/3rd off what the “average” condo is listed for in Orange County.  I have always said that Laguna Woods Village was a bargain!

Also out this week was the sales report for September.  30 condos sold in Laguna Woods Village for an average purchase price of $240,000.  839 Condos sold in all of Orange County last month for a median  purchase price of $300,000.  Once again, Laguna Woods Village comes in almost 1/3rd less in price on the “buy” side than any other condo in Orange County.  BUT, prices are rising, especially the condos on the low end of the market.  Average days on market has gone down to 102 days, a little more than 3 months on the market for the average listing…  That is down from 150 average days on market 3 months ago.  So we are seeing a trend develop!  WE ARE AT THE BOTTOM OF THE MARKET RIGHT NOW.  I will put that in caps because I really believe it!  Inventory is going down and there is pent up demand to purchase – at least in Laguna Woods Village – remember, Real Estate is very local, and what is happening here might not be happening everywhere…  If you would like to purchase a home in Laguna Woods Village, call Patrick McNamee at 949-293-7814 or visit his web site at: www.leisureworldre.com

The senior community of Laguna Woods Village is all about the “Country Club” amenities it offers.  These include the 27 hole championship golf course ($8 for residents), the fact that it is a gate guarded community – AND – one of the Top 10 safest cities in America!  The Horse stables, 7 clubhouses, 5 swimming pools, tennis courts, 2 state of the art fitness centers, and only 7 miles to Laguna Beach, California.  But how much is all this going to cost me? Good question!  The HOA dues for Laguna Woods Village are $528 per month for a Co-op and $553 per month for a Condo.  Besides all of the fabulous amenities mentioned above (and that is only a partial list), they also cover the following:

Building Insurance (fire and damage other than earthquake)
Cable television
Water
Trash pickup
Exterior building maintenance (painting and roof care)
Grounds maintenance
Plumbing and electric repair
Appliance repair and replacement (Co-op only)
Free Bus transportation, Maintenance of streets, sewers, exterior lighting, Around-the-clock security, Full replacement fire & hazard insurance on buildings
NO MELLO ROOS

The only thing more residents pay for is electricity, phone, and property taxes.

The “average” HOA dues for other condo developments in South Orange County are $275 per month.  When all expenses have been added up, Laguna Woods Village is actually $87 cheaper per month than the average South County Condo!  And $112 cheaper per month than an average Single Family Home!

Furthermore, the average price of a Laguna Woods Condo is $205,000 verses $317,000 for a condo in South Orange County.  That is a difference of  $112,000!  That extra $112,000 mortgage (at a 30 year fixed rate @ 5.2% interest) would run you an extra $615 per month!  You add this extra mortgage amount to the cost of the HOA dues of $275 and you get $890 – So Laguna Woods Village is actually $362 cheaper per month! That is a big difference! 

So when you add it all up, the expenses in Laguna Woods Village are actually less than they would be in a similar South Orange County Condo or Single Family Home.  For more information about Laguna Woods Village, please see my web site: www.leisureworldre.com

Hello fellow Americans.  We have been hearing a lot of talk about the government “bail out” of the mortgage market as a solution to this current financial crisis.  I’ve got a better idea, give the people who are in crappy ARM’s that they can’t afford the option of a gov’ment secured 60 year mortgage (at the prevailing interest rate)!  This will lower their mortgage to a manageable amount of money each month with the hopes that in another 7-10 years the prices of homes will go back up and then they can sell for a profit or at least what they owe on the home…  Also, make the 60 year mortgage “assumable” so another person can buy the home if the person just wants out entirely…  As an “incentive” for taking on this 60 year loan – for the new person that wants to buy the distressed property – throw them a “bone” of only having to come up with like 3% down or something – since they are taking a risk by purchasing this home and will have to stay in this house for another 7-10 years lets say, until the housing prices come back up again!

I am a real estate agent in Laguna Woods, Calif. (www.leisureworldre.com) so I know a bit about the mortgage market and how it works.
 
I am so surprised the “big wigs” in Washington have not thought of this idea.  Don’t “dismiss” the bad debt, keep it until prices rise again and then nobody looses!!  Shout it from the roof tops fellow Americans and pass this Blog entry around the Internet!

By Patrick McNamee, Realtor, Century 21 Rainbow