The Big Discombobulation
32 Comments
Jim Klinge
Klinge Realty Group
Are you looking for an experienced agent to help you buy or sell a home?
Contact Jim the Realtor!
- 682 S. Coast Hwy 101, Suite #110
Encinitas, CA 92024 - (858) 997-3801 call or text
- klingerealty@gmail.com
CA DRE #01527365, CA DRE #00873197
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Trustindex verifies that the original source of the review is Google. We sold a home with Jim and Donna and from beginning to end they were consummate professionals. Their initial walk through the property resulted in a list of items to be repaired or updated. They supplied a list of vendors and job quotes to do the repairs and updates. We originally wanted to sell āas isā and just get it over with. They gave us a selling price for āas isā and options for doing a few updates/repairs to doing it all with the selling price for each option. We agreed to do all they suggested and we sold for the exact price they predicted. For every dollar spent we got back more than $2 back in the selling price. And they got that price in a rising interest rate environment! Donna and Jim are extremely detailed and guide you through ever aspect of the sale. There were no surprises thanks to their guidance. We couldnāt be more pleased with their representation. Thank you Donna and Jim, Jerry and MaryTrustindex verifies that the original source of the review is Google. We have known Jim & Donna Klinge for over a dozen years, having met them in Carlsbad where our children went to the same school. As long time North County residents, it was a no- brainer for us to have the Klinges be our eyes and ears for San Diego real estate in general and North County in particular. As my military career caused our family to move all over the country and overseas to Asia, Europe and the Pacific, we trusted Jim and Donna to help keep our house in Carlsbad rented with reliable and respectful tenants for over 10 years. Naturally, when the time came to sell our beloved Carlsbad home to pursue a rural lifestyle in retirement out of California, we could think of no better team to represent us than Jim and Donna. They immediately went to work to update our house built in 2004 to current-day standards and trends ā in 2 short months they transformed it into a literal modern-day masterpiece. We trusted their judgement implicitly and followed 100% of their recommended changes. When our house finally came on the market, there was a blizzard of serious interest, we had multiple offers by the third day and it sold in just 5 days after a frenzied bidding war for 20% above our asking price! The investment we made in upgrades recommended by Jim and Donna yielded a 4-fold return, in the process setting a new high water mark for a house sold in our community. In our view, there are no better real estate professionals in all of San Diego than Jim and Donna Klinge. Buying or selling, you must run and beg Jim and Donna Klinge to represent you! Our family will never forget Jim, Donna, and their whole team at Compass ā we are forever grateful to them.Trustindex verifies that the original source of the review is Google. WeI had the pleasure of working with Klinge Realty Group to sell our home in Carmel Valley, and I cannot recommend them highly enough! Jim and Donna demonstrated exceptional professionalism, offering expert guidance on market conditions and pricing strategy, which resulted in a quick and successful sale. Communication was prompt and we were well-informed throughout the entire process. For anyone looking for a dedicated and knowledgeable real estate team, look no further! ---Trustindex verifies that the original source of the review is Google. Donna and Jim Klinge of Klinge Realty Group have our highest possible recommendation. From Donna and Jimās first visit to our house through closing their advice and counsel was candid and honest in all dealings. They kept us fully informed throughout the process. The house sold less than three days after listing with a two-week closing. My wife and I have sold several houses during our lives. This was by far the best experience. Klinge Reality is a premium service realtor. You canāt make a better choice for someone to sell your home fast and for top dollar.Trustindex verifies that the original source of the review is Google. Donna and Jim provided exceptional support and professionalism throughout the entire process. We couldn't have been happier with their efforts. They made our house shine, and thanks to their expertise, it sold above the listing price in the very first weekend! Truly a fantastic experience from start to finish.Trustindex verifies that the original source of the review is Google. This year has been difficult on our family, mainly due to having to sell our home. Thankfully we knew God had a plan for us and working with the Klinge team was a key part of it. It was an obvious decision to work with them again after such an amazing experience when purchasing the same home we needed to sell. The challenge was, how will we do this in so little time with so much going on? Jim and Donna held our hand every step of the way. Whenever an unexpected issue arose they found and provided a solution. Never once did we feel pressured to make a decision and the Klinges were always reassuring after providing the information that the decision was ours to make. Despite the curve balls, they never panicked and exemplified the ācan doā attitude, making us feel optimistic and taken care of. Their expertise and professionalism was superb. But of all the reasons to work with the Klinges, the most impactful and valuable is their compassion and genuine care for their clients. We pray that we can one day purchase our forever home and you better believe that Jim and Donna will be representing us - as long as they will have us of course. Thank you again Klinge team! Your execution, experience, and care are unmatched.Trustindex verifies that the original source of the review is Google. Jim and Donna were fantastic! Jim understanding my needs, recommending potential places, pointing out the pros and cons of each property was invaluable. Then when the offer was accepted Donnaās organized guidance through the inspections, paperwork etc made the whole process seem effortless. So grateful that I had them on my side!Trustindex verifies that the original source of the review is Google. We first found Jim through his blog at bubbleinfo.com, which really showcased his knowledge of SoCal real estate. Since then we've done three transactions with Jim and Donna, and they are an incredible full service agency, with Jim's deep market insight and Donna's deft contract and project management. We trust them implicitly in their analysis and strategy, which is based on years of experience. They're always available and on top of things, and we strongly recommend them to anyone.Trustindex verifies that the original source of the review is Google. The Good The Klinge Realty Group operates like a finely tuned machine, with a very personal touch. We contacted them on a Sunday and they were talking to us about our family and our needs on our living room couch the following day. They carefully listened to us and worked with us to identify the best and quickest path to listing within 2 weeks to take advantage of the low inventory conditions in our South Carlsbad neighborhood. They knew our tract specifically and had many previous sales there over the years - they came prepared with a thorough analysis of comparative sales and recommended a pricing strategy that they felt confident would yield offers the first weekend on the market. The Great Over the next two weeks Donna coordinated a range of vendors who she knew from experience could get the preparation to list work we needed done on time and with high quality. Our light tune-up involved excellent experiences with their stagers, landscapers, contractors, electricians, and plumbers. Throughout this period Donna's daily communication was clear, concise, and responsive. Any time we had questions Donna picked up the phone or texted immediately - but almost always, she answered our questions before we even knew we had them. The Outstanding We had a tricky situation with a shared fence that could have delayed our escrow. Donna used superb mediation skills to negotiate the terms of replacement and was personally on site with the fence contractor to make sure everything went smoothly. The fence looks great and escrow closed on time. The Truly Exceptional Our house came on the market on a Wednesday and between then and Monday morning Jim was personally at all three open houses. He was in constant communication explaining potential buyer reaction and strength. As he predicted offers began to come in on Saturday and each one was incrementally higher than the last. At the end we had 5 offers, 4 of which were over list, and the final accepted offer was $100,000 over list. In addition to being over list it included rent back terms that met our needs. The Recommendation For all of these reasons we would strongly recommend The Klinge Team to anyone wanting to sell in North County Coastal San Diego. I had been reading Jim's bubbleinfo.com blog for 15 years and knew when the time came to sell that he would be our first call. Jim Klinge is not your standard realtor. He is keenly aware of market conditions and sales strategies. And, works his tail off - though not as hard as Donna . At this point he's gone from realtor to friend and I plan to have him over to grill and chill at our new place to talk real estate, but also just about life and raising kids in San Diego. He's more interested in relationships than his sales numbers - and that's why his sales numbers are so high. We have already recommended the Klinge's to some close friends and another successful sale is on deck right around the corner...Trustindex verifies that the original source of the review is Google. We recently had the pleasure of working with Jim and Donna from Klinge Realty Group to sell our house, and we couldn't be more satisfied with the experience. From the initial meeting, they listened attentively to our needs and provided invaluable guidance on specific improvements to get our home market ready. Their responsiveness throughout the entire process was truly impressive. Anytime we had questions or concerns, they were quick to address them, ensuring we felt comfortable and informed every step of the way. What stood out the most was their team and extensive network of tradespeople, which made addressing any necessary repairs or updates seamless and stress-free. Thanks to their expertise and dedication, our house sold quickly and at a great price. We highly recommend Jim and Donna to anyone looking to buy or sell a home. They are a fantastic team who truly care about their clients and deliver exceptional results.Load more
I have no doubt those will sell fast but for me no HOA MELLO ROOS,at least some sane prices for new construction.As land gets cheaper we will see lower prices therefore alot more losses for those poor banks and the CEO bonuses!
JTR, it seems you are heading further and further north looking for new home construction. While that is a good price point and I’m sure there will be plenty of buyers, I’m just not sure how much impact those houses will have on the more established areas in the locations closer to employment with prime school districts. If I was going that far north I would want something with some land or at least a nice view to make up for the downsides.
I’ve been carrying around the last press release Local Boy sent me about this new tract, and he linked this today in the previous comment section:
The first homes are now being framed for Rockrose at The Foothills, a Carlsbad new home neighborhood by Brookfield Homes. Rockrose new homes at The Foothills will offer 101 single family homes.
Del Mar, CA (PRWEB) December 3, 2009 — The first homes are now being framed for Rockrose at The Foothills, a Carlsbad new home neighborhood by Brookfield Homes. A sales center for the neighborhood is expected to open in January, and three model homes are scheduled to open in spring.
Located off Cannon Road, just east of El Camino Real and approximately three miles from the ocean, Rockrose at The Foothills will offer 101 single-family new homes in Carlsbad. Ranging from approximately 2,116 to 3,167 square feet, the three floor plans will have three to four bedrooms and two to 4.5 bathrooms. Pricing is anticipated to start in the low $600,000s.
Gravity will not be denied!
What is Mr. Obama doing to help the responsible savers who are flush with cash, have a job and a fico score north of 800 and would like to buy a home at a fair and reasonable price?
Has there been a definitive answer given as to why so much effort and attention is being given to save reckless borrowers who have no business remaining in a home they clearly cannot afford?
What happened to capitalism?
Jim – Any thoughts?
Capitalism? You’re looking right at it, Ginger.
Interesting idea that the new construction is going to start dictating pricing, Jim. Now that you bring it up, it makes all kinds of sense.
Ginger,
Definitive answer? They’re trying to create a softer landing, instead of a hard crash.
What’s Obama doing to help the more prudent?
He is doing one thing. Thanks to the trillion spent on MBS you can get a mortgage with the lowest 30yr fixed rate of all-time.
The government is compelled to do something. Yes, the loan mod programs are only E-and-P, but the buying of MBS to keep rates low does help today’s buyers.
I’ll answer the next question too, I don’t consider today’s buyers reckless.
If you look at how hot the market is today in the middle of the holiday season, you’d be convinced that the current demand has a lot of leg left.
If prices keep going lower, the demand will be higher, and it’ll make it even tougher to find, let alone buy, the right house at the right price.
The younger you are, the pickier you can be. If you are 50+ years old, time is running out, especially if you’re getting a 30-yr mortgage.
You can say it’s just sales talk from the sales guy, but it looks like common sense to me.
Ginger, frankly, I think SOME of the buyers right now are reckless. The ones putting 3.5% down fall into that category for me. If all they can rack up is 3.5%, they don’t have enough disposable income or enough willingness to live below their means to make a sensible long-term housing choice. Those paying full cash to get a great house in a good school district are the smart ones. They’ve protected themselves against wild swings in home value that drive others to make “business decisions.” People buying with only 3.5% or down payment assistance are speculating.
I fully believe that you can buy a decent house in this market for a reasonable price as long as you aren’t being too greedy. Coastal McMansions are still overpriced in my book, especially those that come saddled with HOA and Mello Roos as Paid off homoaner mentioned. There is plenty of product out there in the less desirable neighborhoods if you aren’t looking for 3000 sq ft and a granite/stainless kitchen. Large, coastal houses in high performing school districts are never going to be affordable. There is too much competition from people who make more money than you.
I say that as a responsible homeowner with a job, savings and FICO North of 800 who bought a tiny house in a dodgy neighborhood because it was what I could afford. You cannot compete with those who have higher incomes and trying to will only net you a trip to bankruptcy court and a foreclosure. As Sheryl Crow sang, the trick is “It’s not having what you want. It’s wanting what you’ve got.” Find a great house that you can afford and forget about marble bathrooms and three car garages.
If all they can rack up is 3.5%
I agree, but just because you went FHA doesn’t automatically mean that’s all the dough you had. I think there are some who are using FHA/low down payments as a hedge.
Great comment Art, thanks.
Jim,
In the video you described the “first mover advantage” described in the prisoner’s dilemma that I pointed out a while back.
If banks don’t take it, builders will. Houses are still above their economic value.
Chuck
With record low interest rates why put a big down payment down; save the money and later when rates go up buy cd’s.
Art–It not the Coastal McMansions that are overpriced, it is the 2000sf, 25 year old homes that sell all day long for $300+ per sqf that are overpriced. The McMansions, to me, seem like a bargain considering their alternatives!
New construction will play into all pricing, but remember the 25k in upgrades from vinyl flooring and cultured marble to something better and getting that dust bowl of a lot landscaped is another 50k to do it on a budget with no frills. 599k for a 3k sq ft new home looks pretty good at the front end, it gets deeper once you buy into it.
“just because you went FHA doesnāt automatically mean thatās all the dough you had.I think there are some who are using FHA/low down payments as a hedge.”
Yup. Even if you’ve got 20%+ for a down payment, why wouldn’t you take the option at 3.5% that the taxpayers pick up if you’re out of the money? The government has changed the rules of the game. I may be responsible, but I’m tired of being a sucker.
I’d also like to borrow as much money as I can at 4.5% and pay it back in tomorrow’s highly inflated, worthless dollars (thank you Fed.) It’s easy to beat 4.5% keeping the money in my own hands and investing it.
“I fully believe that you can buy a decent house in this market for a reasonable price as long as you arenāt being too greedy.”
Yes! The deals are out there but nobody is going to hand you one. You have to be patient, flexible, realistic and work hard. If you want to make it a little easier get a passionate realtor like JTR.
Just found this on the Williams lyon website. Blossom Grove at the Foothills in Carlsbad. with floor plans! We are renting in Calavera Hills so we’ve been watching the development near Cannon/College for over a year now. Construction has been busy lately.
http://sandiego.lyonhomes.com/homes/community.php/Blossom_Grove.html?c=335
I know it’s Carlsbad schools, just wondering which ones….
p.s. Blossom Grove 1992-2840 sq ft. Starting in the low 600’s.
Local Boy, I guess it’s a matter of perspective. I’d rather have the older house and do some updating than deal with questionable construction techniques that will reveal themselves in due time on a lot the size of a postage stamp. We got lucky on this coast and most of the Chinese drywall went to the Southeast part of the country…but it could just as well have been us. I don’t trust any of these large home builders as far as you can throw one of their houses.
I’d rather have a YARD, which most of these McMansion neighborhoods don’t have much of. I’d also like more than 3 feet between my bedroom window and the neighbor’s kitchen. Heck, you can barely call some of these places “detached” they are so close together. 2k sq ft with a big yard, in an established neighborhood with parks and close to shopping? Yes, please.
Different strokes for different folks. Obviously, plenty want the massive square footage and no yard, but plenty also want a different lifestyle than cookie-cutter. I think the latter is overprice because it doesn’t appeal to me, you think the former is overpriced because it doesn’t appeal to you. š
Jim / Blur, regarding FHA
My sentiments exactly. I had easily 20% to put down when I bought in June, but I went 3.5% FHA as a personal financial choice. I am extremely conservative and have large savings & excellent credit as well.
Nonetheless, Shadash keeps screaming all FHA buyers are idiots. Maybe I’m the exception. Or maybe I’m an idiot.
I think if you can get an FHA loan at 3.5% down that is great for the buyer! What some folks around here are questioning is whether the government should be in the business of writing free puts on home values. Its the classic heads I win tails you lose situation with the taxpayer as the bag-holder.
osidebuyer has a point.
I’m fine with questioning the government’s duty to provide generous financing options, but to bash every FHA buyer too isn’t right.
I agree, maybe the govt shouldn’t be doing it. They are probably just slowing the inevitable and like Peter Schiff says, we should let it all burn to the ground and get it over with.
Nevertheless I took advantage of it because it was there, in the same way I file my taxes so that I maximize my return.
Ok, so far this is what I’ve found.
The Foothills Community at College/Cannon in Carlsbad will have the following neighborhoods-
RockRose (Brookfield Homes)
Blossom Grove (Williams Lyons homes)
Alcea http://www.drhorton.com/corp/GetCommunity.do?pr=45157&utm_source=newhomesdirectory&utm_medium=cpc&utm_content=NHDListing&utm_campaign=newhomesdirectory_listings
and I’m sure more?
New homes I don’t mind, but I do want more than a patio for a backyard. I will be driving around this community checking out lot sizes; all the meanwhile continually looking for a “used” house with a decent yard in Carlsbad schools….
Will be interesting to see what kind of pressure this puts on sellers of existing homes?
“Iām fine with questioning the governmentās duty to provide generous financing options, but to bash every FHA buyer too isnāt right.”
Thank-you!
We are most likely going to use a VA loan. No, we don’t have 20% down (gasp, I know, sorry, being honest here), but we do have a downpayment. We are using a VA loan to avoid the PMI we’d have to pay with a regular loan, and we also qualify to have the typical VA funding fee waived. So for us, it seems like the smart thing to do.
Whatever people want to say to justify purchasing through FHA is fine by me. But, if you step back and look at what’s going on you realize that if FHA financing wasn’t available houses would be cheaper.
Home prices on the lower end where buyers typically use a mortgage are very sensitive to interest rates and down payment requirements. The lower the interst rate the higher sellers can charge. Also the lower the amout of down payment required the more potential buyers are able to buy.
It really is that simple.
FHA financing has been around since 1935. My grandfather was responsible for this bubble too.
Will the HOA require you to put fill in the backyard 6 months after you buy like the HOA in SEH did? Also with new homes, the builders tend to price the first phases low and then ratchet up the prices at least from what I have seen.
Jim,
Thanks for the answers.
By reckless buyers, I was referring to those that purchased from 2004-08 and are now receiving loan mod’s, etc. to stay in their homes (not today’s buyers).
Shadash–If there were no financing all toghether, prices would be REAL CHEAP!!!
Kingide,
I think you have missed the point completely. FHA was intended for low-income borrowers to get a leg up in a competitive market.
It has turned into dangerously incentivizing buyers at the high end of an inflated market.
I have no problem with high risk as long as it’s the risk-taker’s money being put up. This is a perfect example of moral hazard; taking risk with other people’s money.
Jim is right that it’s not the buyer’s fault for taking the free money. I would also buy with FHA at this point.
Shadash is also right that prices would be lower if the government would stay out of inflating the market.
You can take advantage of free money while simultaneously seeing how it creates longer-term imbalances that must sort themselves out eventually. We can only push our problems out so long; at some point they consume us.
The greater fear is that our children and theirs will pay for our imprudence dearly. That’s a terrible legacy to leave, and I do have some hope that our children will have some pride in our actions. Unfortunately, our leaders do not share the beliefs of their constituents and the game is rigged against prudence.
In the end, I think Shadash is right but he’s hating the player, not the game.
Chuck
osidebuyer,
You are considered an ‘Outlier’ by many. Problem is most of your type go on with daily life inconspicously – I’m guessing. Frankly, I’m tired of people trying to ‘steal’ one from the bank or gov’t. I wasn’t born with a silver spoon in my mouth otherwise I wouldn’t post here so much, but at some point people need to get off the can and get on with their lives, because money won’t do you in. The stress will.
jim – thanks for this video, this is me (family) in a nutshell. We are done with the 600K+ cbad/encintas homes built in 1990s that still have the original carpet, pink tile bathrooms, and 12×11 master bedrooms (and all the short sales). We are going NEW, thanks to the 4.5ish rate, and some good incentives. I’m OK paying 2-3 hundred bucks a month for HOA/MR, to get a brand new house with all the fixens, and hopefully some kind of yard.