March '09 Newsletter
March In Tahoe, Spring of a Different Sort
The Snow is Back! Hip, hip, hooray! Just as we were convincing ourselves that brown golf was better than no golf, the clubs have found themselves back in the closet and the skis are waxed and ready to go. The snow is back, skiers are back and the smiles are everywhere. In this article, we provide a South Tahoe real estate market update, an explanation of loan modifications, an update in regards to the recently passed school bond and a list of some upcoming area events. Be sure to check out the quick links to articles from the National Association of Realtors in regards to the evolving stimulus plan. Enjoy and we hope to hear from you soon.
February's Market Update
 February sales showed positive and not so positive results. When comparing solely the month of February sales in 2009 with those sold in February of 2008, the GOOD NEWS was based on the number of closed transactions. The South Lake Tahoe Association of Realtors' MLS reported a total of 28 sales as compared to only 16 the previous year. The average time on the market for these sales was similar, 176 days in 2009 and 165 days in 2008.
The most notable difference was in the "bang for the buck." While the median home price in February 2009 was $418,161, down from the median $443,875 in 2008, (a decline of 5.8%) the dollar per square foot in 2009 was $229 as compared to $279 in 2008, an 8% decline. Basically, folks are spending nearly the same yet getting a great deal more home. From our observations, this is due primarily to the sale of bank-owned properties (which may not always be homes in the greatest of condition.)
Click Here to Read More About Statewide Home Values
What's Happening with the School Bond?
An agreement for preliminary services was reached with a contractor for the improvements to the high school. The board chose to pursue a Lease- Leaseback method of construction for the bond projects because the traditional bid process forces the District to accept the lowest bidder, no matter who they are or from whence they hail.
The Lease-Leaseback process allowed the board to narrow the applicants down to 12 applications down to 4 highly- qualified firms, and finally down to one company - SMC Contracting, Inc., which has major ties to the local community. Joe Stewart, a partner in the firm, is a 13-year resident of South Lake Tahoe (although he went to kindergarten at Sierra House before moving to Placerville) and has 4 children in the school district. Since 2003 the company has built nearly every major project in the Redevelopment area and they employ many union and non-union local workers. They have teamed up with Tom Haen, who has performed many projects for the District over the years, for this project.
The overview of the construction timeline follows:
- Phase 1 - (May 1st - June 18th) - Construct new fire road to south end of campus without disruption to campus activities.
- Phase 2 - (June 18th - August 18th) - Summer construction season - Demo existing front entry drop off road. Remove 8 existing portables, reroute utilities through campus, construct foundations and structures for the new ORG and CTE buildings, construct new front entry turn around and drop off area (to be open for 2009/2010 school year). Most of campus will be closed except lower lot, athletic fields and tennis courts.
- Phase 3 - (August 18th - August 1st, 2010) - School is in session. Campus is fully open except southern end of the upper lot and the construction sites for the new ORG and CTE buildings. Campus access road near ORG will be rerouted through the basketball courts to facilitate construction space required for ORG building. Construction workers will park off site and be bused to the campus to minimize the amount of lost parking spaces for the students and faculty. Removal of 7 portables and covered walkways on SW corner of the campus to take place in the Summer of 2010 season. Construction of new ORG and CTE buildings to be completed by August 1st, 2010 and ready for student use in the 2010 / 2011 school year.
Click Here to Read the Article Posted in the Tahoe Daily Tribune
The Survey Results Are In
 If you haven't already done so, please visit our website from time to time (www.HomeInTahoe.com) and check out our Tahoe Real Estate Blog. Among the variety of topics featured, are short articles discussing weekly real estate market updates,benefits of living in Lake Tahoe, featured properties, and local news affecting home owners.
We would love to hear your feedback from time to time (just post a quick comment.) By hearing from you, we know which topics are of most interest - not to mention the positive effects we receive in regards to organic search engines which help to push our website higher in rankings. Hey - we don't necessarily understand this stuff but we listen really well.
Visit our Blog & Find a Topic of Interest, and Send Us a Comment
Loan Modifications - What are they??
 Pinnacle's Dede Bacon has spent the past year training of negotiating loan modifications for homeowners currently struggling in today's troubled economy. We asked, and she wonderfully agreed to allow us to pass along the following article she wrote for our local newspaper.
What is a Loan Modification and how it can help you save your home? A loan modification may be an alternative for home owners facing foreclosure in 2009. If you are behind on your mortgage, or, if you see that you will be soon, you may have options available to you to prevent foreclosure. A loan modification is an agreement that is negotiated with your lender that changes the terms of your current loan. Your options may include loan modification, forbearance, a short sale, or even a deed in lieu agreement.
The loan modification process is relatively new and guidelines are changing at light speed. Unfortunately, the loan modification business is not exempt from predatory and dishonest business practices.Fraudulent loan modification companies are charging advanced fees which may or may not guarantee loan solutions.The California Department of Real Estate has a list of companies who follow the state's requirements for "advance fee agreements". Consumers should use caution prior to paying advanced fees.
Each individual lender has specific criteria for loan modification qualifications. There is hope that the new housing stimulus monies will provide encouragement and accountability for lender loan modifications. Lenders may not necessarily want to foreclose if there is a potential work out solution. You must be able to show your lender why it would be in their best interest to agree to a modification. Lenders may be willing to reduce the interest rate, monthly payment or change other terms.
- You may want to consider looking into a loan modification if:
- Are behind on your mortgage
- Cannot refinance
- Have an adjustable rate mortgage
- Your mortgage payments are too high
- Have a hardship
- Are self employed
- Have no equity in your home or are "upside down"
- If your lender refuses to accept partial payments
- If you are in or about to go into foreclosure
March Highlight Events
This may be the last hurrah for some superb Tahoe skiing so check your schedules, check out these events and come on up to the Lake. Spring Skiing or Spring Eye-Candy, It's all good!
Mar 14 - Love & Special Sauce - Harrahs So. Shore room, 7:30 pm
March - 15, 17, 22 - Royal Talent's Rat Pack Tribute, Harrahs, 7:30
March 17- St. Patrick's Day Race - Wear the green and compete for prizes in the Irish obstacle course all with the background of classic rock & roll.
March 21 - Polar Bear Plunge, Special Olympics. Contact 925.944.8801, ext. 215 for more information
March 28 - WAR, good ole funk from the 70's, Harrahs, 7:30
April 1-5 - Carnival Cabaret - Back by popular demand. A MUST SEE in our books. Horizons
April 4 - Neil Sedaka, Harrahs 7:30
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