Avon, the local r.e. board, IndyMac and the beach

Here's 934 N. Avon. It was listed for $699,000. Not that you care, but due to a clerical mls reporting error, it was reported as sold yesterday for $547,900. Not hardly. It is in escrow and is set to close on August 5 for much more than that. And for those of you that think the local r.e. boards are useless (now, who thinks that?), it has taken me a cumulative two hours and several faxes just to get the info corrected -- and the list price is still wrong. This has been so frustrating that it's making standing in line at IndyMac look as pleasant as a day at the beach.

Good news for buyers and sellers...

Even though there is turmoil in the financial markets, there are still loans to be had with small down payments. A buyer needs only 3% down for a conforming FHA loan and the seller can contribute up to 3% in closing costs. Other loans can be obtained with only 5% down.

And, interest rates are down a little bit. They are still fluctuating, but nobody expects much of a rise there over the next few weeks.

"Stated income" loans are also still possible. These are loans for people who don't get a regular paycheck, are self-employed, or small business owners, etc. A buyer needs 2 years' worth of tax returns and good credit to qualify.

So, if you need to buy a home now, you might find the lending possibilities to be broader than you thought.

...And not so good news for buyers

No, there's no news here about IndyMac or Fannie or Freddie. The news is that there are actually quite a few less listings in the east San Fernando Valley than there were at this time last year. According to the local mls's, we're down about 25% from the amount of listings we had at this time last year. (This is not true for Santa Clarita; the amount of listings are way up.) Traditionally, this part of the summer is slow for new listings. It will likely be worse in August and get a little better after Labor Day. But I think that sellers are reluctant to sell now if they don't absolutely have to.

Australia + Burbank = Wha?

This is a bad picture, I know. But can you read the sign? It says Australian Immigration Service and it's on Magnolia Blvd. here in Burbank. Why is this here? Are Australians clamoring to move to this country, specifically Burbank? If so, why? What do we have, except our just all-encompassing wonderfulness and Zankou Chicken, that they don't have in their own country? Can we get them to bring some koalas with them?

Lenders aren't listening. What a surprise.

For your Sunday morning reading pleasure, here's an article from the New York Times' Business section. No, it's not about Fannie, Freddie or IndyMac. It's about how impossible it is to get in touch with your lender to arrange a work-out on your mortgage. The article is long, but it contains lots of anecdotes, and I've heard stories like this from several people here. I've already blogged about how long it's taking to arrange a short sale, especially with Countrywide -- same thing here. The lenders are just not equipped to deal with what's going on.

Also for your reading pleasure, here's today's NYT Ben Stein's column. It's about applying investing advice to your love life. Why didn't I get this guy before?

Longest escrow ever, or when bad escrows happen to good sellers

Here’s the story of my client, Marc, who was caught in the crossfire of this transitioning market. Marc bought 1210 N. California (pictured above) in Burbank in 2002. Subsequently, he and his fiancée bought a home in a new development in February 2007, with a closing set for June 2007. They planned for the sale proceeds from 1210 to cover much of the cost of the new house.

So far, so good. The r.e. market was still humming along at this point, and we put 1210 on the market in March 2007 for $780,000.

By early summer 2007, we had lowered the price twice and had negotiated three low-ball offers. No sale. Marc refinanced 1210 to cover the down payment of the new house, and the new place closed as scheduled. A qualified buyer for 1210 soon appeared and we opened escrow with a purchase price of $700,000 in mid-July. The buyer wasn’t putting much down, but neither were any other buyers at this time.

Then August 2007 came, and the real estate lending market screeched to a halt. The buyer of 1210 couldn’t get a loan. Neither could anybody else. Marc was now making two mortgage payments, with no end in sight. What to do?

Marc rented the house to the would-be buyer on a lease-option deal. The buyer would then pursue getting a purchase-money loan in early 2008. Why the wait until then? Because we all hoped the lending market would loosen up by then.

Spring ’08 came, and the buyer began to work on getting another loan. The lending market had indeed loosened up. Sort of. Loans still aren’t that easy to get, and this particular one was no exception.

And, by this time, housing prices had come down. The house re-appraised at $630,000. Although he wasn’t happy about the price reduction, seller Marc is a realist. He didn’t want to be stuck paying two mortgages forever. Plus, he and his fiancée just wanted to get on with their lives. The Realtors involved (me, my brokerage and the buyer’s agent and brokerage) shared some of the pain by reducing our commissions (gulp).

The almost-a-year-long escrow finally closed last week. My seller took the hugest hit, obviously. I think this story is instructive as an excellent example of the pain absorbed by individual sellers in this new real estate market.

News on our old friend 2304 N. Sparks

Remember this house? It's a short sale which has been on the market for a very long time. It had an HGTV-redone kitchen. I blogged about it here last February and got in trouble for doing so by the listing agent. My bad. And when Peter Viles of L.A. Times blog LaLand rode along with me for caravan, he blogged about it, too.

It's in escrow, and here's the skinny. The buyer's agent is in my office, so that's how I got this info. The selling price is $485,000 -- way less than the $699,000 it originally listed for. There were apparently several offers. I was told there were offers on it back in February -- for $550,000, no less -- though I don't know why they weren't acted upon then. But short sales are taking a very long time to get approved these days.

The buyer is an investor who put down a lot of cash. I'm told he plans to have a relative with school-age children move in so the kids can go to Muir, the middle school.

No posts for a few days

I will not be blogging for most of the week. But I hope to return next week with a post about the longest escrow ever and another about selling junk- and trash-filed houses.

Short sales and Countrywide

The latest that I've heard on short sales is that it's taking Countrywide over 12 weeks to approve them. This info is from a Realtor colleague with 4 short sale properties where Countrywide has the 1st note. In other words, if you make an offer on a short sale property, don't expect to hear anything for, uh, awhile. OMG, why? Apparently, Countrywide is completely backed up on processing these -- I'd say they're more likely overwhelmed.

Foreclosure and homelessness

Many people who've been reading and posting on housing market blogs lately think that large numbers of foreclosures won't lead to serious social problems. The thinking seems to go, "If you're foreclosed on, no big deal because you can always rent." (Forget the kids' good schools and where the pets will live.) No-big-deal posters, here's an article for you. It's from AOL, and here's a quote:

"Nearly 61% of local and state homeless coalitions say they've seen a rise in homelessness since the foreclosure crisis began in 2007, according to a study released in April by the National Coalition for the Homeless. According to the study, which let respondents offer multiple replies when asked where they're headed once their property is foreclosed on, 76% of displaced homeowners and renters are moving in with relatives and friends. About 54% are moving to emergency shelters. About 40% are already on the streets. Nearly 61% of local and state homeless coalitions say they've seen a rise in homelessness since the foreclosure crisis began in 2007, according to a study released in April by the National Coalition for the Homeless. According to the study, which let respondents offer multiple replies when asked where they're headed once their property is foreclosed on, 76% of displaced homeowners and renters are moving in with relatives and friends. About 54% are moving to emergency shelters. About 40% are already on the streets."

Okay, you NBDs, if you think the government has no place in helping those whose homes are facing foreclosure, I think it's time for you to pony up and start contributing to homeless charities.

We have nothing to fear but fear itself...and high interest rates

Okay, in the grand scheme of things, my real estate world is pretty small. But in my experience: In the last week, three separate buyers of three separate properties got could feet about even making an offer. They're convinced that prices will go down, and are too afraid to buy now. I'm hearing this from every agent I work with.

And maybe there's good reason. Due to rising interest rates, another buyer client couple that I work with will be paying $500 more a month on the same mortgage amount that they would have paid in April, even though their own financial picture hasn't changed. Yikes.

Did you see me on the news last night?

If you saw Fox 11 news at 10 last night, or the Channel 13 news at 11, you saw an interview with me about the Countrywide lawsuit. I received a call from a reporter yesterday afternoon regarding this, and they met me at an early evening showing. I was quoted as saying that Countrywide gave away loans like candy, and anybody who could fog a mirror could get a loan. I also said that while Countrywide is the biggest mortgage lender who engaged in dubious loan practices, they were certainly not the only ones. I said more but it was edited down to sound bites, of course.

Your house hasn't sold? Maybe that's because it hasn't been shown.

If you are selling your home in the current market, you’ve probably spent lots of time and money getting your house in top condition. But if you have your agent conducting showings for you instead of installing a lockbox, you are not helping your sale.

As part of their services, most listing agent/Realtors in high-end areas set up appointments with buyers’ Realtors and their clients and then meet them at the property. However, it has been harder and harder to get showing appointments lately.

I’ve recently encountered the following:

• In trying to schedule showings of five properties with a day’s notice, only two appointments could be arranged;
• I had to call one agent five times to get one return call for a showing appointment.
• One agent insisted that we meet her at precisely 3:00 pm. While we were there at 3:00, she was 10 minutes late, announced that we only had 20 minutes to see the house, and had scheduled two other showings at the same time.

I could go on, but you get it.

In my opinion, there are only two reasons that a lockbox shouldn’t be installed: 1) if uncontrollable pets are home alone; and 2) if children are home alone. All valuables and collectibles should be removed from premises prior to showing. That’s just common sense.

Electronic lockboxes and key pads are safe and reliable – only licensed agents have them, and they all have a pin code that must be input each time one is opened. Identity of an entrant can be easily, quickly tracked on line. An agent can call the listing agent or occupant to say they will be showing the house at a particular time, and then go to see the property directly. So if you’re a seller, do yourself a favor and have your Realtor install an electronic lockbox. Your number of showings will definitely increase. And the more showings you have, the sooner you’re likely to be in escrow.

Readying a house for sale

From the "Maybe if you don't believe me you'll believe it if you read it in the LAT" Dept.: Here's yet more Sunday reading from the LAT regarding readying a house for sale. While I think the "door" example is a little extreme, this is terrific, accurate information that helps homes sell faster and for more money.

FHA may shut down "gift" programs

For your Sunday reading pleasure, here's an article from today's L.A. Times regarding the charitable gift "programs" that allow sellers to give a lot of money back to buyers. The way it works is this: a seller contributes up to 6% of the sales price to the organization like Nehemiah, which is set up as a charity. Then, for a fee, the charity gives it back to the buyer as a grant for their home. There are restrictions on both sides, of course -- but I've often wondered why this isn't looked upon as money laundering. So this comes as no surprise to me.

New listing at 13523 Bessemer, Valley Glen

I've just listed 13523 Bessemer in Valley Glen. I hope to have pictures and details up on the regular website later today. This great 3+2, 2000+sf has been immaculately maintained and features one of the nicest kitchens I've seen, which opens to a vaulted-ceiling den. There are gorgeous hardwood floors, updated bathrooms, new custom paint, a spa, and lots of upgrades. List price is $659,000.

And, the sellers of 934 N. Avon (see below) in Burbank have accepted an offer. We'll open escrow tomorrow. Plus, 848 Idlewood in Glendale is closing next week.

Another explanation of how it all happened -- population estimates were very inflated

For your Sunday reading, here's an article from the Arizona Republic (I'm in Phoenix). This is a fascinating look at how a government's own statisticians can be way off the mark in estimating future populations, and the serious consequences those predictions can have. It looks at the community of Buckeye, which was a hell hole and not even a suburb yet when I grew up in Phoenix. Somehow, however, the estimators predicted that this place would have a population of 2 million by 2030, and it began to grow accordingly. Now, it's ground zero for the foreclosure bomb (although I have to say, the other vast suburban metro areas of Phoenix don't appear to be hit that hard at all).

More from the LA Times clipping service here...

And here's another great column from today's L.A. Times about timing the real estate market.

The Short Sale Process

There's a very good article about short sales in LATimes.com. It will be in the Sunday LAT as well. Here's the link. Keep in mind, the banks lose more if they foreclose than if they allow a short sale. They have to manage the property, pay the costs of the sale, keep the insurance up, etc.

Don't open the champagne yet, but pending sales are on the rise

Let's not get too excited yet, but today's L.A. Times reports that pending sales rose last month. Here's the link to the story. The numbers are national, not local, but that would dovetail with what I've been seeing. Increased lending equals increased home buyers, equals increased sales. The end of the article contains a quote from L. Yun, the spokesperson for National Association of Realtors. I'm not sure he's right about a rebound in 2010, but let's dare to dream.

Another great open house

Attendance was terrific as yesterday's open house. See below for a picture and details about 934 N. Avon. I was a little nervous beforehand due to our gloomy economic news on gas and food prices, but attendance was actually better than it was at the first open house I held on Avon. It was actually even better than the usual attendance at open houses during the "boom" years. Once again, the majority of buyers were young couples with kids. No surprise, since this home is on the same street as Roosevelt Elementary, an outstanding public school. But did the house sell? Stay tuned...

Open house in great school district

If you've read any of my blog posts, here or elsewhere, you know how important good public schools are to a neighborhood's real estate market stability and a particular home's desireability. If you're looking for outstanding public schools, come see 934 N. Avon in Burbank. It will be open on Sunday, June 8, from 2:00 to 5:00. You can check the latest API ratings on my regular site on the public and private school page. Roosevelt Elementary, just down the street, posted APIs of 850.

This gorgeous tudor features 4 bedrooms, 2.5 baths, 1647 square feet, lots and lots of updates including a remodeled kitchen, dual zone a/c, all copper plumbing, newer electrical, newer windows, etc. It is listed at $729,000. You can find more pictures and info on my website, or call me for more info. I hope to see you on Sunday.

A little glamour here...

No, I have nothing to do with Britney Spears' real estate (how lucky could a little Realtor-from-the-Valley schmo get?). But for those of you that bemoan the lack of celebrity stuff on this blog, please check out "10 Most Beautiful, Unique and Amazing Celebrity Homes" here. This was sent to me by a new site, International Listings, or intlistings.com. What do you think?

From ICanHasCheezburger.com

Update June 12: This little guy/lady (or someone that looked just like him/her) was scampering across the top of my patio fence last night. I love urban wildlife.

My Downtown Trip

The husband and I spent two days at the L.A. Convention Center this weekend. The occasion was Book Expo America, the annual publishing business trade show convention. It rotates cities (NYC, D.C., LA, Vegas) every year and this year was L.A.'s turn.

This was my second BEA convention and my first trip to the L.A. convention center in many years. The crowd seemed to be about half that the NYC BEA had last year, and I'm told that NYC publishing industry people don't like to come to L.A. because of the vast distances, lack of public transport, etc. For me, I think the Convention Center has a really confusing layout. And believe it or not, it needs more Starbucks and eating options.

I worked downtown for many years and really enjoyed the area even before it was gentrified. It has truly changed since then and I can sorta see what attracts people to expensive lofts. What is still missing, though, seems to be essential services: drug stores, grocery stores (I didn't see the new Ralphs), dry cleaners, street parking, mechanics. Are they out there?

NYT: Letter from Buyer to Seller, and Response

Friday's New York Times featured a sample letter from a potential buyer to a seller of a home they wanted to buy. And the response back from seller to buyer. The title should link to the entire article, but here are the highlights:

Dear Seller:
I’m writing to let you know that I would like to make a bid on your property. I love the area and am committed to buying a house nearby. And your home fits my needs.
But given that my offer is well below your asking price, I also feel I owe you an explanation.
First, consider the big picture. Nationwide, home prices in the first quarter of 2008 fell 14.1 percent compared with the same period a year earlier, according to the Standard & Poor’s/Case-Shiller U.S. National Home Price Index.
That’s the biggest decline in the 20-year history of the data. And just in case you’re wondering, during the housing downturn of the early 1990s, the decline was never worse than 2.8 percent.
Not only that, earlier this month, the National Association of Realtors pointed to the huge number of existing homes on the market. As of the end of April, the total number was 4.55 million. At the rate people are buying right now, that represents an 11.2-month supply.
So buyers have options right now. A lot of them. I’m no different. Your home is great, but it isn’t unique. Few homes are. I know this may be hard to hear, since you’ve spent years creating memories here. But you may be waiting a long time if you hope to find a buyer with the same emotional connection that you have.
My mindset is hardly unique. We’ve all been reading the headlines. The accompanying articles appear prominently in major newspapers and sit on the Web pages where people check their e-mail every day. Everyone sees them, and the psychological impact is real.
Has your real estate agent laid any of this out for you? Maybe so, and you didn’t want to believe it. But it’s also possible that your agent, afraid of offending you and losing the listing, simply doesn’t want to initiate that sort of discussion. It may be worth sitting down for a candid reassessment.
It will be tempting to view my low bid as an insult. Please don’t make that mistake. Your home is genuinely appealing, and I wouldn’t have written this note unless I was serious about buying it. Getting a firm offer in this market is an accomplishment. So congratulations!
Oh, and one more thing. You presumably need someplace to move. My guess is that you’ll find these same points compelling when it’s your turn to buy. You just might succeed in buying for a better price, too.
I look forward to hearing from you soon.
Yours Truly,
The Realist

Dear Bidder:
Thanks so much for your note. I’m truly glad that you like our home as much as we do. You’re right that my family and I have many great memories of this place, and we hope someday you will, too.
And I just want you to know that I’m not insulted in any way by your offer. The fact is, none of us are very good at buying and selling homes. We don’t do it often, and as much as we know we’re not supposed to let emotions get in the way, it’s hard not to. After all, few people buy or sell anything else as expensive as a home in their lifetimes.
That said, your offer disappointed me. You seem to believe that I’m not aware of how bad things are out there or that I’m in denial. But I do read the headlines, and I priced the house accordingly. I knew I might have to wait awhile to sell it.
I should point out that your data draws on what has already happened in the housing market. Instead, I’d ask you to consider what’s about to happen.
One big reason for the falling prices is that it’s harder to get mortgages. Lenders went from giving money to anyone with a pulse to demanding higher credit scores and larger down payments. All sorts of buyers simply couldn’t make the numbers work anymore.
That may now change. Starting June 1, Fannie Mae and Freddie Mac, which buy mortgages from lenders and help make it possible for them to lend more money, are loosening restrictions on the sorts of loans they’ll buy in many markets. That is supposed to make it easier for people to buy a home with a down payment of 5 percent, or even less. Many more qualified buyers should mean more bids, and I’m willing to wait to see if it turns out that way.
I know you talked about having choices, but presumably we wouldn’t be engaging in this correspondence unless you liked my home best. Given that, I’d ask you to think about something: How often do you find a place that you can actually imagine living in? Sure, there are a lot of other properties out there. But an increasing number are in foreclosure and probably have problems lurking within the walls. So don’t let fear of a falling market keep you out of a home that you truly want.
It’s probably obvious by now that I’m not going to counter with a particular number. This doesn’t mean that I do not want to negotiate. I’d just like you to consider what I’ve said and see if you find it convincing. In the meantime, other shoppers who are interested in my home now have a price to beat. So thanks for helping me out with that.
Just one more thing. Please take another look at whatever mortgage calculator you’re using and see how your monthly payment will change if you brought your price up a bit. It almost certainly is not going to be enough to break you. But it may be enough to get us to a deal.
I look forward to your reply.
Yours,
The Undaunted

I'm reprinting this because I think it is indicative of the current mind-set out there in the real estate market. Of course, all markets are local, and I think any buyer writing such a letter should use local stats. I also think that sellers should almost always counter, even if an offer seems low. You can't win unless you get in the game.

I'm quoted again in the Burbank Leader

I was quoted again regarding house prices in today's Burbank Leader. The headline title here should link to the article. The article is also on my website.

Play banned in Burbank

Burroughs High in Burbank banned the production of a play about the murder of gay teenager Matthew Shepard (pictured, right). The critically-aclaimed play is called “The Laramie Project” and it was produced in 2002 at The Colony Theater here in Burbank – I saw it and remember it well. However, the students who proposed the play to the school in the first place have found a new venue for production – again at Burbank’s Colony Theater. Read the L.A. Times link here. Way to go, students.

The Burroughs principal was quoted as saying this production “would tear this community apart.” (He has subsequently supported the students’ off-campus production.) But Burbank, what’s going on? Are we living in Mayberry R.F.D.? Here’s the irony: the play is just as much about small-town narrow mindedness as it is about the actual crime – sound like anybody you know, Burbank?

C'mon, Burbank, get over it and enter the 21st Century. Theater was my major in college and I still believe it’s a vitally important form of artistic expression in our culture. I really believe that if you want students to learn, and love, this form of expression, don’t just give them big musicals to perform. Give them big ideas, too.

Yikes! My Visit to the Dreaded Americana

I visited the dreaded Americana in Glendale for the first time last Saturday. The husband and two friends from West Hollywood were along for the ride. Our friends frequent The Grove, and were interested to see how this new Caruso project stacked up.

First, is it possible that it truly has boosted Glendale? Local restaurants were packed. Far Niente was booked until 9:00 pm and Tam O’Shanter was packed at 5:30.

And Americana was packed, too, of course. Our friends thought the crowd was different from the usual Grove crowd. Not surprising. I thought it looked like a Disneyland crowd with fewer children. Of course, the Cheesecake Factory had a long wait, but traffic in most of the stores was kinda light. I didn’t get to do much poking around in the stores – except for Barnes & Noble -- as I was with 3 guys and my husband’s shopping mall anxiety kicked in pretty quickly.

My take: it seemed much more like Universal City Walk than a mall. I think that once the dust settles, it will be a destination for young people who want to hang out rather than a major retail hub. And as far as the retail outlets go, I think the few national chains like Barnes & Noble and Chico’s will survive, but the high-end local stores like Barney’s Co-Op and Michael Stars may not be the same in a year or so. I think most shopping dollars will still be spent across the street at the Galleria, with its plethora of major retail chains like Macy’s, Target, Gap, etc. The Galleria was still mobbed at 9:00 pm, btw. That’s just my opinion, though.

And the condos, priced from $600,000 to over $1 million. Will they ever sell them all? I just can’t see it at those prices. Again, they are going to have to attract affluent young people who want to live over Disneyland.

I was curious about the decisions to build this, so I asked Patrick Duffy, of MetroIntelligence, a commercial real estate consulting firm, for his opinion. He says “…I'm a big fan of The Grove, and saw how its development helped raise property values throughout the surrounding area …I'm also a big fan of Glendale due to its location, somewhat small-town ambience and mix of uses, but I think Americana will certainly pull retail visitors from throughout the SFV and SGV areas. What remains to be seen, however, is how successful the residential components are, although people have been willing to pay a nice premium (i.e, 20-30%) for living in mixed-use communities such as this. But do people want to live in Disneyland every day? I personally like my quiet, suburban neighborhood…that's still 20 minutes from most things I want to do, and prefer to avoid the noise/congestion/constant activity of downtown Hollywood, downtown L.A. and perhaps large mixed-use communities such as this…”

Thanks Patrick. It will be interesting to see how this all turns out.

Homes for Sale in South Pasadena and La Canada

In the last few days, I've looked at several properties in South Pasadena and La Canada/La Crescenta. These are not areas I look in often, but I'm working with a buyer who'd like the excellent public schools these lovely communities offer. I was amazed at how few properties are available for under $1 million. There's really not a lot of inventory at all in any price range. If home prices are coming down in these areas, I certainly didn't see any evidence of it, nor did I see any short sale or REO properties. I know this is anecdotal, but I think it's additional proof the current housing crisis has pretty much skipped over the more affluent areas of Southern California.

Coming soon: Judy goes to Americana

Short Sale, Lending and PMI News

Here's some more good news from the lending sector:

Fannie Mae scraps higher downpayment requirements
Friday May 16, 9:54 AM EDT
WASHINGTON (AP) — Fannie Mae says it is doing away with higher minimum downpayment requirements for borrowers in distressed real estate markets.
The government-sponsored mortgage financier said Friday it will require minimum downpayments of between 3 percent and 5 percent for all loans that it guarantees.
That replaces a December policy that required a higher minimum if the loan was for a home in a market with declining real estate prices.
Washington-based Fannie says the move is part of its effort to help resuscitate the flagging mortgage market. Thanks, Dana Dukelow, for the article.

Other lenders are doing the same; however, it appears that the market for second mortgages is shrinking. For the average buyer, this is a mixed blessing: once again, you can get a home with only 5% or 10% down. That's the good news. The bad news is that rather than have two loans (say, one for 80% and one for 10%), a buyer will now have just one loan, but will pay "private mortgage insurance" every month.

In short sale news, it appears that the lenders are finally streamlining the process and it isn't taking so long to get an approval on a purchase contract. Also, in short sale cases where there is both a first and second loan, the holders of the 2nd loan are pretty much giving up and going away for a pittance (about $1000). No wonder the lenders of 2nd loans are dwindling!

Open House Traffic is Better than Expected

Sunday, May 18, I held an open house for my listing at 934 N. Avon in Burbank. It's a great 4 bedroom, 2.5 bath Tudor with both character and modern updates, and it's in a fabulous area of Magnolia Park. I had it advertised in both print and on the internet, of course. The turnout was much better than I expected. Here are my numbers. We had about 19 to 20 groups in (a group can be 1 person or 10 people, but they are all together and represent one purchase). The "normal" number of groups last year, before everything went dead in August, was about 15 groups. It was a first open house, so usually the neighbors account for at least 5 to 6 of the groups. Here, there was only one couple who were neighbors. Everybody who came seemed to be a serious house-hunter. Almost every group was at least a 30-yr-old plus couple and at least half the groups had kids. Of those, several had infants. As we all know, couples with kids are the backbone of the middle-class real estate market. And, the temperature in Burbank was over 100 degrees. Nobody visits open houses when it's that hot except for serious lookers.

What does it mean? Is the housing/credit crisis over? No. But I think last month's loosening of credit -- the first since August -- is certainly responsible for buyer activity. Will we get an offer from this? I'll keep you posted. I expect at least several second looks.

Angry renters = scamming conservatives

I know I'm not the first to blog about this story (thanks, Peter, from LALand, for bringing it to my attention). But the site AngryRenter.com is produced by anything but. Here's the link to the WSJ story. And here's a quote.

"Though it purports to be a spontaneous uprising, AngryRenter.com is actually a product of an inside-the-Beltway conservative advocacy organization led by Dick Armey, the former House majority leader, and publishing magnate Steve Forbes, a fellow Republican. It's a fake grass-roots effort -- what politicos call an AstroTurf campaign -- that provides a window into the sleight-of-hand ways of Washington."

I love my Republican friends. And there are arguments to be made against a tax-payer funded bailout. But c'mon! This is just typical of the dirty tricks that a bunch of rich conservatives pull to make working people think they're on their side. Is it any wonder that we non-conservatives are always looking for conservative hidden agendas? It's because they're always there! And the agenda is to sell little people ideas that will enrich big people.

I don't believe arguments that "they all do it." I've never seen evidence that the progressives in this country have the lie machine -- or are even as organized, unfortunately -- as conservatives. Allright, enough rant.