For the first eight months of the year, the high-end La Jolla real estate market seems to be caught in a quagmire. This has been due to these major unknowns: unemployment, uncertainty of the credit restrictions on Jumbo loans, and the number of defaults and foreclosures.
In the past three months, the high-end home inventory in La Jolla has been decreasing as many homeowners perceive a loss in current value and see what the future value could be worth in the next three to five years. Thus, the trend for high-end homeowners in La Jolla has been to take their property off the market and wait for the values to return.
The good news for the La Jolla high-end market is that this past week, our economy has experienced the return of stated income loans up to $1.5M with 30% down, $100,000 in the bank, and a FICO score of at least 720. If this trend continues, in the next six to twelve months, there will be more stated income loans dispersed for high loan values. However, even as the La Jolla inventory shrinks, there are still some defaults and foreclosures due to the homeowners being over their leverage as their loan mounts exceed the home’s value. That said there is going to be another twelve month or so period for people to purchase properties in default and foreclosed homes. For savvy buyers with cash, this presents great opportunities to purchase luxury homes within the next year at steep discounts without buyers behind them trying to purchase the same property at a discounted price.
However, a year from now, we will start to see the foreclosed and defaulted properties diminish as more and more stated income loans come into play and more homeowners are obtaining loan modifications.
This opportunity only comes around once or twice in a lifetime to purchase luxury foreclosed homes in the La Jolla marketplace.
Tuesday, September 15, 2009
Thursday, July 23, 2009
Why Use Gregg and Lisa Whitney to help you buy foreclosures?
Gregg and Lisa Whitney of Billionaires Row La Jolla have been making real estate magic for the past 22 years. Being natives of La Jolla, Gregg and Lisa know the La Jolla market better than most, having grown up in La Jolla, attended school in La Jolla, and now raising their 2 children in La Jolla, one attends La Jolla High School the other attends Muirlands Middle School, Gregg and Lisa are very keen on the community, school system, and of course, the real estate market conditions.
Not only do they know the La Jolla market like the back of their hand, Gregg and Lisa’s numerous relations with everyone in the La Jolla community really sets them apart as agents. One of the most important relationships they have for helping to purchase foreclosed properties is that with the banks. They are one of only seven San Diego agents (out of roughly around 20,000 total) to handle JP Morgan’s La Jolla assets and banks such as Washington Mutual, Bank of America, Wells Fargo, and Countrywide have been working with us to obtain La Jolla foreclosed listings and help our buyers purchase those listings before any other agents or buyers have access to them. The trust that the Whitneys and the banks have developed due to the Whitney’s integrity and vast experience with foreclosed properties helps to create smooth and successful transactions in the foreclosure business.
Gregg and Lisa Whitney also have vast knowledge of the construction portion of real estate. This knowledge helps Gregg and Lisa work with the banks to make cost decisions and get done what is needed to expedite value. The Whitney team then assembles a team of engineers and other experts to inspect all of the possible constructional defects such as septic, electrical, plumbing, heating, roofing, and other main components to see if any defects are present that may allow [for the clients] a reduction in price or term changes in the loan.
Earlier this year, Gregg and Lisa helped a buyer reach a purchase price of only $385,000 on a foreclosed home that was approximately 3200 esf. With their knowledge of construction, they were able to find structural conditions of the home that were not up to par and in turn, the Whitney team got Washington Mutual to reduce the purchase price to $300,000. This was an absolute steal for their buyer as the property was great in size and in an impeccable neighborhood.
Back in 1993, when the housing market was at another significant downturn, Gregg and Lisa helped Debbie Ford, a well-known author, who has appeared on the Oprah Winfrey Show. Ms. Ford consulted their professional help to purchase a foreclosed home from EMC Mortgage on Costebelle in La Jolla. Due to a geological issue, The Whitneys were able to get the purchase price reduced by $125,000. They assembled their trusty team of experts to fix the problem and the home was good as new. A year and a half later, Gregg and Lisa sold the home for $725,000, even in the depressed economic times.
“Gregg’s got an impressive network of resources – structural engineers, staging experts, handyman, contractors for every need – all people he’s personally worked with and who seem to respond immediately because Gregg called. For about 2.5 months, Gregg did due diligence for us on a property with some slope/retaining wall concerns. At no point did he push us into the transaction; in fact it was my own enthusiasm for the property that caused Gregg to get so deeply involved. Overall, very high integrity from Gregg! He cautioned us throughout. From his own experience in construction, he was able to observe immediately some physical signs and reasons for concern, which only proved out in the subsequent inspections, engineering reports, and disclosures. After expending a significant amount of energy hoping that this property would come out clean, and with Gregg giving us a balanced view of the potential gains and risks, we pulled out of the property. But I have to tell you, throughout Gregg was so patient, and professional. We felt that we were in really good hands throughout. In fact, my husband and I were calling and texting him many times a day, and no matter how busy he was – even while on a family vacation – he always checked in with us on a timely basis and patiently worked with our concerns. We eventually ended up getting an amazing deal with Gregg’s help in upper Hermosa in Birdrock.”
~Wendy Wong and Han Chiu
Past Clients
Not only do they know the La Jolla market like the back of their hand, Gregg and Lisa’s numerous relations with everyone in the La Jolla community really sets them apart as agents. One of the most important relationships they have for helping to purchase foreclosed properties is that with the banks. They are one of only seven San Diego agents (out of roughly around 20,000 total) to handle JP Morgan’s La Jolla assets and banks such as Washington Mutual, Bank of America, Wells Fargo, and Countrywide have been working with us to obtain La Jolla foreclosed listings and help our buyers purchase those listings before any other agents or buyers have access to them. The trust that the Whitneys and the banks have developed due to the Whitney’s integrity and vast experience with foreclosed properties helps to create smooth and successful transactions in the foreclosure business.
Gregg and Lisa Whitney also have vast knowledge of the construction portion of real estate. This knowledge helps Gregg and Lisa work with the banks to make cost decisions and get done what is needed to expedite value. The Whitney team then assembles a team of engineers and other experts to inspect all of the possible constructional defects such as septic, electrical, plumbing, heating, roofing, and other main components to see if any defects are present that may allow [for the clients] a reduction in price or term changes in the loan.
Earlier this year, Gregg and Lisa helped a buyer reach a purchase price of only $385,000 on a foreclosed home that was approximately 3200 esf. With their knowledge of construction, they were able to find structural conditions of the home that were not up to par and in turn, the Whitney team got Washington Mutual to reduce the purchase price to $300,000. This was an absolute steal for their buyer as the property was great in size and in an impeccable neighborhood.
Back in 1993, when the housing market was at another significant downturn, Gregg and Lisa helped Debbie Ford, a well-known author, who has appeared on the Oprah Winfrey Show. Ms. Ford consulted their professional help to purchase a foreclosed home from EMC Mortgage on Costebelle in La Jolla. Due to a geological issue, The Whitneys were able to get the purchase price reduced by $125,000. They assembled their trusty team of experts to fix the problem and the home was good as new. A year and a half later, Gregg and Lisa sold the home for $725,000, even in the depressed economic times.
“Gregg’s got an impressive network of resources – structural engineers, staging experts, handyman, contractors for every need – all people he’s personally worked with and who seem to respond immediately because Gregg called. For about 2.5 months, Gregg did due diligence for us on a property with some slope/retaining wall concerns. At no point did he push us into the transaction; in fact it was my own enthusiasm for the property that caused Gregg to get so deeply involved. Overall, very high integrity from Gregg! He cautioned us throughout. From his own experience in construction, he was able to observe immediately some physical signs and reasons for concern, which only proved out in the subsequent inspections, engineering reports, and disclosures. After expending a significant amount of energy hoping that this property would come out clean, and with Gregg giving us a balanced view of the potential gains and risks, we pulled out of the property. But I have to tell you, throughout Gregg was so patient, and professional. We felt that we were in really good hands throughout. In fact, my husband and I were calling and texting him many times a day, and no matter how busy he was – even while on a family vacation – he always checked in with us on a timely basis and patiently worked with our concerns. We eventually ended up getting an amazing deal with Gregg’s help in upper Hermosa in Birdrock.”
~Wendy Wong and Han Chiu
Past Clients
Expertise in La Jolla Foreclosures
At Billionaires Row in La Jolla, our expertise of the area, extensive knowledge of the market, and impeccable client services, sets us apart from the rest. Not only have we been in the real estate business of La Jolla for 22 years, but we have handled La Jolla’s foreclosed properties for just as long. Having worked on foreclosures with major institutional lenders in the past such as TransAmerica, Home Savings, World Savings to name a few, we are now one of only seven agents in San Diego that work directly with Washington Mutual (now JP Morgan).
Working so closely with these financial institutions has helped us learn the mechanics of how each bank operates from the inside when it comes to foreclosures in La Jolla. We have a keen sense of what each bank allows as far as credits, extensions, and overall time periods to get a deal closed.
In this kind of market, we see a lot of overbids of foreclosed properties. Billionaires Row La Jolla has been successful by using escalator clauses. For example, we would write an offer for $5000 over the best offer presented not to exceed a certain amount. However, a number of banks are now requiring all buyers to submit their highest and best offers to be submitted for review. We try and beat out all other offers by making ours as clean as possible. For example, we may do a short close of escrow or not ask for the seller (in this case the lender) pay for termite inspections and termite work. This does not preclude the buyer from doing inspections and investigations. At Billionaires Row La Jolla, we use one of the best physical inspectors in the greater La Jolla area and conduct detailed investigations of the property you are buying. We use a camera to snake down the sewer line and check all sewer connections, search for mold or potential mold problems; extensively search for any structural issues, etc. All of the findings from these procedures could potentially change the valuation of the property from what we may have the home in escrow for. Conducting these intense investigations has helped make our strong reputation and allow hundreds of past clients or friends in La Jolla to refer new buyers to us looking for short sales and foreclosures in La Jolla.
We also have a customized website that notifies you, the potential buyer, of all La Jolla foreclosures and defaults on a daily basis. In addition to La Jolla foreclosures, we follow all of the defaults on homes in the La Jolla area. Having that list of defaults permits us to contact the La Jolla homeowner directly prior to the property going into foreclosure. We then negotiate directly with the La Jolla homeowner and help him or her into a short sale before the property is turned over to the lender.
If a property in La Jolla ends up going to foreclosure in a trustee sale- the home can be purchased directly on the court steps with a cashier’s check. Billionaires Row La Jolla can help you determine if the value is good or if it is still too high. If in fact the value is too high, we would advise you to wait and let it go into foreclosure. With our strong relationships with lenders, it allows us to go directly to the bank before it gets handed to another realtor. At that point, it’s very simple. We conduct a strategic Broker’s Price Opinion (BPO) to determine the value to best represent out La Jolla buyers.
It is extremely important when choosing an agent in La Jolla that you choose one who can determine the intrinsic value of a property, one who has vast experience in the La Jolla area, and one that can help you obtain the best value in the purchase of a La Jolla home or condo.
Values are the lowest they have been in the past 10 years with some La Jolla homes being discounted 60% of the value they were in 2005. Right now is a great time to buy foreclosed properties in La Jolla, we are here to help.
Working so closely with these financial institutions has helped us learn the mechanics of how each bank operates from the inside when it comes to foreclosures in La Jolla. We have a keen sense of what each bank allows as far as credits, extensions, and overall time periods to get a deal closed.
In this kind of market, we see a lot of overbids of foreclosed properties. Billionaires Row La Jolla has been successful by using escalator clauses. For example, we would write an offer for $5000 over the best offer presented not to exceed a certain amount. However, a number of banks are now requiring all buyers to submit their highest and best offers to be submitted for review. We try and beat out all other offers by making ours as clean as possible. For example, we may do a short close of escrow or not ask for the seller (in this case the lender) pay for termite inspections and termite work. This does not preclude the buyer from doing inspections and investigations. At Billionaires Row La Jolla, we use one of the best physical inspectors in the greater La Jolla area and conduct detailed investigations of the property you are buying. We use a camera to snake down the sewer line and check all sewer connections, search for mold or potential mold problems; extensively search for any structural issues, etc. All of the findings from these procedures could potentially change the valuation of the property from what we may have the home in escrow for. Conducting these intense investigations has helped make our strong reputation and allow hundreds of past clients or friends in La Jolla to refer new buyers to us looking for short sales and foreclosures in La Jolla.
We also have a customized website that notifies you, the potential buyer, of all La Jolla foreclosures and defaults on a daily basis. In addition to La Jolla foreclosures, we follow all of the defaults on homes in the La Jolla area. Having that list of defaults permits us to contact the La Jolla homeowner directly prior to the property going into foreclosure. We then negotiate directly with the La Jolla homeowner and help him or her into a short sale before the property is turned over to the lender.
If a property in La Jolla ends up going to foreclosure in a trustee sale- the home can be purchased directly on the court steps with a cashier’s check. Billionaires Row La Jolla can help you determine if the value is good or if it is still too high. If in fact the value is too high, we would advise you to wait and let it go into foreclosure. With our strong relationships with lenders, it allows us to go directly to the bank before it gets handed to another realtor. At that point, it’s very simple. We conduct a strategic Broker’s Price Opinion (BPO) to determine the value to best represent out La Jolla buyers.
It is extremely important when choosing an agent in La Jolla that you choose one who can determine the intrinsic value of a property, one who has vast experience in the La Jolla area, and one that can help you obtain the best value in the purchase of a La Jolla home or condo.
Values are the lowest they have been in the past 10 years with some La Jolla homes being discounted 60% of the value they were in 2005. Right now is a great time to buy foreclosed properties in La Jolla, we are here to help.
Thursday, July 9, 2009
Notice of Default/Foreclosures/Real Estate Owned
One thing we have been doing here at Whitney & Associates Real Estate is working with the owners of homes that are in foreclosure or have had a notice of default (NOD’s) as well as working with mortgage companies that now own homes after an unsuccessful foreclosure auction. We are diligently trying to place buyers in these homes and getting the buyers the best possible deal for their money.
As of April 2008 there have been 89 NOD’s and 58 foreclosures. We have been representing the clients directly before the homes hit the market with the banks. There are currently 31 REO’s in La Jolla as well and although this may seem like a lot, the La Jolla foreclosure market is very narrow compared to other areas. We have not seen anything like this kind of market in 10 years. This may be short-lived so my suggestion to eager buyers looking for a great deal is to act now. Within a year, the prices may shoot back up and there will not be many foreclosures left.
As of April 2008 there have been 89 NOD’s and 58 foreclosures. We have been representing the clients directly before the homes hit the market with the banks. There are currently 31 REO’s in La Jolla as well and although this may seem like a lot, the La Jolla foreclosure market is very narrow compared to other areas. We have not seen anything like this kind of market in 10 years. This may be short-lived so my suggestion to eager buyers looking for a great deal is to act now. Within a year, the prices may shoot back up and there will not be many foreclosures left.
Thursday, November 29, 2007
Changing Markets Mean Good News for Potential Buyers
Despite what you may have read in the newspaper about the “plummeting real estate market,” you should know that these changing markets mean good news for prospective Buyers. In some cases, properties have sold for 20% less than their original listing price this year. Furthermore, due to the high supply and stiff competition, more Sellers are offering Buyer incentives such as paid closing costs, seller carry-back options, and further discounts seldom heard of only two years ago. Needless to say, this is a great opportunity for Buyer-favored negotiations.
However, this opportunity may only exist for the next two years of 2008 and 2009, as financially sound high-end Sellers tend to take these properties off the market and rent them out, or they wait until the market bottoms out and starts heading up again to sell. This leaves only a small window of opportunity to take advantage of these steep discounts.
Furthermore, future rate cuts by the fed counteract the deeper perspective of a recession and coming election year. You can now take advantage of a great interest rate of 6.125% at 1 point as of 11/14/07 for a jumbo 30 year fixed loan, down from 6.5% with 1 point on 11/7/07; this is making for a financial boom for Buyers. If you don’t want to miss out on this stellar opportunity to get an exceptional value and make a profitable investment, call or e-mail today for my current list of Top 10 Best Buys in La Jolla.
Gregg Whitney
However, this opportunity may only exist for the next two years of 2008 and 2009, as financially sound high-end Sellers tend to take these properties off the market and rent them out, or they wait until the market bottoms out and starts heading up again to sell. This leaves only a small window of opportunity to take advantage of these steep discounts.
Furthermore, future rate cuts by the fed counteract the deeper perspective of a recession and coming election year. You can now take advantage of a great interest rate of 6.125% at 1 point as of 11/14/07 for a jumbo 30 year fixed loan, down from 6.5% with 1 point on 11/7/07; this is making for a financial boom for Buyers. If you don’t want to miss out on this stellar opportunity to get an exceptional value and make a profitable investment, call or e-mail today for my current list of Top 10 Best Buys in La Jolla.
Gregg Whitney
Tuesday, November 6, 2007
My Wife’s Battle with Breast Cancer
I would expect that anyone reading this blog has in one way or another been touched by the travesty of breast cancer. Whether you’ve known someone personally who has battled this disease or whether you just know someone who knows someone who has been affected, most people are within few degrees of separation.
Our devastation of the disease began in August of 2005 when my wife Lisa was diagnosed during a routine mammogram. The news shook our world. With two small children and having just reached our forties, a million questions raced through our minds about what our future would hold. Like so many others, we had obviously heard of the disease, but never in a million years thought that it would actually enter our home. We began discussing “options” and treatments and alternatives…a whirlwind of terms and “game plans” filled our minds with unfamiliarity. We were in and out of hospitals, seeing numerous doctors for all kinds of different reasons. I admittedly struggled somewhat to balance maintaining my real estate business with being there for all of Lisa’s appointments and watching the kids more since Lisa wasn’t well enough most of the time to do so. We were very fortunate to have such wonderful family, friends, and employees to help pitch in to relieve some of the burden. With their help, I was able to continue to offer my real estate clients the unsurpassed service they deserve, and they couldn’t even tell I was going through such an ordeal. I am grateful to my profession that I had the flexibility to be there for my wife and kids during this trying time.
My wife ultimately had to have a double mastectomy, chemotherapy, and radiation. The whole ordeal, from diagnosis to the last radiation treatment, endured about a year and a half. We are proud to say though that she is now cancer free!
Since this experience, we have definitely learned more about ourselves and our family. We learned that we are stronger than we ever thought possible. We learned to genuinely value our time together as a family because you never know what unexpected turns may come ahead in life. We also learned that although we have been blessed financially, this does not protect us from cancer’s grasp, for the disease has no prejudice to race nor class or religion. We were very fortunate that Lisa was able to beat this disease, and we are hopeful that it never returns. Every year now we coordinate a team to participate in the Susan G. Komen Race for the Cure in San Diego. If you, or anyone you know, would like to participate with us, we would love to have you on our team! Our hearts go out to those who have also battled cancer and those who are enduring it now. We wish you the best of success!
Gregg Whitney
Our devastation of the disease began in August of 2005 when my wife Lisa was diagnosed during a routine mammogram. The news shook our world. With two small children and having just reached our forties, a million questions raced through our minds about what our future would hold. Like so many others, we had obviously heard of the disease, but never in a million years thought that it would actually enter our home. We began discussing “options” and treatments and alternatives…a whirlwind of terms and “game plans” filled our minds with unfamiliarity. We were in and out of hospitals, seeing numerous doctors for all kinds of different reasons. I admittedly struggled somewhat to balance maintaining my real estate business with being there for all of Lisa’s appointments and watching the kids more since Lisa wasn’t well enough most of the time to do so. We were very fortunate to have such wonderful family, friends, and employees to help pitch in to relieve some of the burden. With their help, I was able to continue to offer my real estate clients the unsurpassed service they deserve, and they couldn’t even tell I was going through such an ordeal. I am grateful to my profession that I had the flexibility to be there for my wife and kids during this trying time.
My wife ultimately had to have a double mastectomy, chemotherapy, and radiation. The whole ordeal, from diagnosis to the last radiation treatment, endured about a year and a half. We are proud to say though that she is now cancer free!
Since this experience, we have definitely learned more about ourselves and our family. We learned that we are stronger than we ever thought possible. We learned to genuinely value our time together as a family because you never know what unexpected turns may come ahead in life. We also learned that although we have been blessed financially, this does not protect us from cancer’s grasp, for the disease has no prejudice to race nor class or religion. We were very fortunate that Lisa was able to beat this disease, and we are hopeful that it never returns. Every year now we coordinate a team to participate in the Susan G. Komen Race for the Cure in San Diego. If you, or anyone you know, would like to participate with us, we would love to have you on our team! Our hearts go out to those who have also battled cancer and those who are enduring it now. We wish you the best of success!
Gregg Whitney
Friday, October 19, 2007
Who I Am as a Person, Not Just a Realtor
Every once in a while, I’ll write a blog simply about myself and what’s going on in my life. I think it’s important that if you’re going to rely on me for important information about the luxury real estate market that could possibly affect your opinions and even your decisions, then you should have the opportunity to get to know me as a person as well, not just a realtor. So, here we go…
First of all, a little background information…I was born and raised in La Jolla, CA. My late father was a well-known lawyer and builder in the community, and I was one of three children. I graduated from La Jolla High School and then went on to earn my Bachelor’s Degree in Political Science and Communication from Oregon State where I received a basketball scholarship.
Upon college graduation, I returned to La Jolla where I eagerly entered the real estate business. I originally started out in 1986 with the McMillan Company in new home sales, then moved on to residential real estate with the Jelly Company from 1988 to 1992. From there, I signed on with Prudential California Realty, which is where I met my wife Lisa.
Lisa was a breath of fresh air. She had an unsurpassable energy that just exuded in everything she did. We were friends for about a year before she finally agreed to go out with me. We dated for a year and a half before we married in June of 1996 in Maui. We now have two great kids, Ryan who is 14 and Brooks who is 9, and we live in a house in Birdrock for which I was the builder and just completed about two years ago. I’m now working with Coldwell Banker Residential Brokerage and have over 20 years experience in the La Jolla real estate market. I consider myself to be a very fortunate man.
Well, that should catch you up to speed on my personal background. My future personal blogs will include more current information. Hope you enjoyed getting to know a little bit more about me. Take care…
Gregg
First of all, a little background information…I was born and raised in La Jolla, CA. My late father was a well-known lawyer and builder in the community, and I was one of three children. I graduated from La Jolla High School and then went on to earn my Bachelor’s Degree in Political Science and Communication from Oregon State where I received a basketball scholarship.
Upon college graduation, I returned to La Jolla where I eagerly entered the real estate business. I originally started out in 1986 with the McMillan Company in new home sales, then moved on to residential real estate with the Jelly Company from 1988 to 1992. From there, I signed on with Prudential California Realty, which is where I met my wife Lisa.
Lisa was a breath of fresh air. She had an unsurpassable energy that just exuded in everything she did. We were friends for about a year before she finally agreed to go out with me. We dated for a year and a half before we married in June of 1996 in Maui. We now have two great kids, Ryan who is 14 and Brooks who is 9, and we live in a house in Birdrock for which I was the builder and just completed about two years ago. I’m now working with Coldwell Banker Residential Brokerage and have over 20 years experience in the La Jolla real estate market. I consider myself to be a very fortunate man.
Well, that should catch you up to speed on my personal background. My future personal blogs will include more current information. Hope you enjoyed getting to know a little bit more about me. Take care…
Gregg
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