March 21, 2012
Written by Becki Wheeler with Keller Williams Realty
Big Bear Lake, CA. – We sprang forward and got snow! Homeowners and renters received almost 3 feet in the Moonridge area and other higher elevations. Sugarloaf and Big Bear City received about a foot! Not quite spring here yet in Big Bear so visitors are still enjoying the ski resorts, snow shoeing and sledding along with all the other fun activities you can do with lots of snow.

Business owners are preparing for our second year of hosting the Amgen tour here in Big Bear May 13-20. Click on this link to read up on that exciting event that brings tourists from all over the country http://www.bigbear.com/things-to-do/special-events/amgen-tour-of-california/

Real estate continues to improve with more home sales this year than this time last year. From January 2011 to March 20, 2011 there were 175 sales in our local Big Bear MLS and those same dates this year shows 201 sales. Prices continue to stay low as well as the interest rates. Lenders are requiring more documentation, so be prepared when you go for your preapproval so you have a smooth process.

The Club in the Village of Big Bear Lake has had a lot of controversy over the years and sales were down. Our local MLS hasn’t shown a sale in 3 years! Recently, since November, two of the 4 bedroom Villas have sold. Keep your eyes on The Club, it could be making a comeback!

The lake and public boat launches open back up for boaters to enjoy on April 1. Make sure to get your boat permit and get Quagga checked prior to launching your boat! You can click on this link for more info on our lake and launching http://www.bbmwd.com/Launching.html

Come up and enjoy the beautiful blue skies and skiing and fishing all in the same month!

by Becki Wheeler

January 15, 2012 - Skiers and snowboarders come to Big Bear to enjoy the day at the slopes and go back to their hotel or Big Bear rental cabin. Why not consider owning a home of your own? Whether you are using the cabin as your second home, vacation rental or an investment property, winter in Big Bear is a great time for buyers. Prices and interest rates are lower than they have been in decades.  What better time to invest then now?

There are currently 574 homes on the real estate market in the Big Bear area and out of that 33 are bank owned or foreclosure properties and 57 are short sales.  The average sales price is $232,000 in Big Bear Lake and average days on market is 136.  

The regular seller is having to compete with these distressed properties. I see several buyers who are only interested in the distressed properties. Did you know that a regular resale homeowner can be distressed too? They may not be in a short sale or foreclosure situation but something has prompted them to have to sell. They need to sell their homes too! Some of these sellers are pricing their homes competitive with the bank owned and short sale properties, so don't disregard those homes.

Did you know there are 4 different cities and more different sub-cities in Big Bear? They are: Big Bear Lake, Moonridge, Big Bear City, Sugarloaf, Erwin Lake, Baldwin Lake, Lake William, Boulder Bay and Fawnskin. The City of Big Bear Lake includes Boulder Bay and parts of Moonridge, zip code is 92315. Big Bear City includes Erwin Lake, Baldwin Lake, Lake William and parts of Moonridge zip code is 92314. Sugarloaf zip code is 92386 and Fawnskin zip code is 92333. All these cities and sub-cities are within about 10-20 minutes from Big Bear Lake depending on the time of year.  

Buying and selling Big Bear Cabins
Our goal is to make your Big Bear real estate purchase easy for you.

We help you find your property and assist you with finding a vacation rental management company or a full time renter for your investment properties.

If you like using the Internet use our Website option: Search Big Bear Real Estate via this website or fill out this form and we'll send you an online tour of all the Big Bear real estate that matches your search criteria. If you prefer the assistance of a a Big Bear Real Estate agent you can email us and we'll get in touch with you right away.  If you are looking for real estate in surrounding areas please also visit Lake Arrowhead Real Estate 

We are here to make your search for Big Bear Real Estate an enjoyable experience. Buying real estate can somewhat be overwhelming, so we are trying our best to be of assistance with resources and information to make it easier for you.

When you buy real estate in Big Bear you might also need some info about loans and financing to make your real estate investment a reality. We'll put you in touch with a loan officer to help you get the right info for the right type of loan.

Big Bear Real Estate can be found starting at a bit over $100,000 and a cute 2 bedroom cabin can be found starting around $150,000 to $200,000. Prices will vary depending what location you want to buy your Big Bear real estate. Big Bear lakefront cabins are of course more then a quaint home in Erwin Lake or Sugarloaf, but that doesn't mean they are less of an investment tool. If you plan to buy a 2nd home in Big Bear, then consider a home that is suitable for a vacation rental program so that you can use it when you want to come to Big Bear and a management company can rent it out for you when you can't visit your Big Bear real estate to help pay the mortgage.

Big Bear real estate as a full time rental:

If you don't need to use it, consider a full time rental for your Big Bear real estate, since that will ensure that you get a monthly rent check to cover your mortgage. Most popular for renters are 2 and 3 bedroom homes with a garage. Full time rentals are sought after and you should not have a problem renting it out to many of the local residence. Some workers are temporary for the winter season so you can always rent it out for parts of the year and enjoy it the rest of the time.

Big Bear real estate as a full time home:

Why not buy a home instead of renting one? In most cases, if you have a job and have made rent payments, you will qualify for a home purchase. There are so many loans geared to get renters into their own. Take advantage of it. The interest payments of your mortgage payment is tax deductible. Your rent payment isn't. Contact us and we'll get your pre qualified and assist you in owning your home.

Big Bear real estate as a 2nd home:

If you are interested in a second home in Big Bear then you have lots of options as well. You'll have too decide if you want to perhaps rent it out occasionally on weekends and holidays and help pay the mortgage. There are a lot of vacation rental property management companies around that will rent and maintain the home for you.  These companies ensure the marketing and management of the home and we can help you find a home that match your needs and work as an investment property as well.

Big Bear Real Estate News:
If you are considering buying Big Bear Real Estate, then consider taking some time and read through our many real estate articles provided to you on "Big Bear Guide.com".

Capital Economics expects the housing crisis to end this year, according to a report released Tuesday. One of the reasons: loosening credit.
The analytics firm notes the average credit score required to attain a mortgage loan is 700. While this is higher than scores required prior to the crisis, it is constant with requirements one year ago.

Additionally, a Fed Senior Loan Officer Survey found credit requirements in the fourth quarter were consistent with the past three quarters. However, other market indicators point not just to a stabilization of mortgage lending standards, but also a loosening of credit availability. Banks are now lending amounts up to 3.5 times borrower earnings. This is up from a low during the crisis of 3.2 times borrower earnings.
Banks are also loosening loan-to-value ratios (LTV), which Capital Economics denotes “the clearest sign yet of an improvement in mortgage credit conditions.” In contrast to a low of 74 percent reached in mid-2010, banks are now lending at 82 percent LTV. 
While credit conditions may have loosened slightly, some potential homebuyers are still struggling with credit requirements. In fact, Capital Economics points out that in November 8 percent of contract cancellations were the result of a potential buyer not qualifying for a loan.
Additionally, Capital Economics says “any improvement in credit conditions won’t be significant enough to generate actual house price gains,” and potential ramifications from the euro-zone pose a threat to future credit availability.

Capital Economics expects the housing crisis to end this year, according to a report released Tuesday. One of the reasons: loosening credit.

The analytics firm notes the average credit score required to attain a mortgage loan is 700. While this is higher than scores required prior to the crisis, it is constant with requirements one year ago.

Additionally, a Fed Senior Loan Officer Survey found credit requirements in the fourth quarter were consistent with the past three quarters.

However, other market indicators point not just to a stabilization of mortgage lending standards, but also a loosening of credit availability.

Banks are now lending amounts up to 3.5 times borrower earnings. This is up from a low during the crisis of 3.2 times borrower earnings.

Banks are also loosening loan-to-value ratios (LTV), which Capital Economics denotes “the clearest sign yet of an improvement in mortgage credit conditions.”

In contrast to a low of 74 percent reached in mid-2010, banks are now lending at 82 percent LTV.

While credit conditions may have loosened slightly, some potential homebuyers are still struggling with credit requirements. In fact, Capital Economics points out that in November 8 percent of contract cancellations were the result of a potential buyer not qualifying for a loan.

Additionally, Capital Economics says “any improvement in credit conditions won’t be significant enough to generate actual house price gains,” and potential ramifications from the euro-zone pose a threat to future credit availability.

More homeowners try ‘reluctant landlord’ role
WASHINGTON – Nov. 23, 2011  
More sellers who are tired of their home lingering on the market – or who don’t want to take a loss on their home sale – opt to become landlords instead. For example, one couple told NPR that they owned a two-bedroom bungalow in Oakland, Calif. They purchased it for $500,000, but it was recently appraised at $260,000. When a job relocation sent them across the country, they decided to rent instead of sell.

But becoming a landlord isn’t an easy role to step into, as some “accidental landlords” describe difficult tenants and constant problems or maintenance issues that require fixing.

The number of unintentional landlords is growing. About 2.3 million single-family homes became rentals during 2005 to 2009 – a significant increase compared to about 700,000 single-family homes that became rentals during 2001 to 2005, according to Eric Balky with Harvard’s Center for Housing Studies.

“The good news for the owners or the reluctant landlords has been that the rental market has been so good, they’ve been able to cover pretty much all their expenses and just been able to basically go on with their lives,” Ron Abrams with the Chicago Association of Realtors® says.

Source: “Would-be Sellers Become Reluctant Landlords,” NPR (Nov. 13, 2011)

By Dr. Steve Sjuggerud
Tuesday, December 13, 2011
You don't believe me? Really? OK, I'll prove it…
You probably won't believe my proof, either. But it is absolutely true. Let me explain…

Yesterday, I wrote, "The U.S. housing bubble is completely over." I said, "Now is time to buy." Houses in America are "the best value they've been in many generations." And I said that you can "pay below-market prices as banks try to unload properties."

Apparently, you don't believe me…
Some readers have told me: "Steve, you keep talking about these real estate deals, but you never show any actual details. Show me some proof."
So today, I'll show you two deals I just heard about. They are incredible…

First up… Grandma's house:
Over the weekend, I got a call from my brother… "Steve, you're not going to believe this… but Grandma's house is up for sale. A bank now owns it. The size of the loan was like $270,000. But the bank is asking just $105,000. So I put an offer in."
"Grandma's house" isn't a code word between my brother and me… He was talking about our actual grandmother's house.
It's a three-bedroom, two-bath house that's a mile from downtown Orlando. It has a huge backyard. It's the house my mom grew up in… I was bathed in the sink at this house. And it's where I spent my first 20 or so Christmases. Years after my grandmother died, when I was grown up, I rented the house from our family. Five years ago, my mom sold the house for $285,000. The buyer probably spent $60,000 upgrading it… new bathrooms, new kitchen, new deck. And then the buyer lost it to the bank. Now the bank is asking $105,000. My brother just put his offer in.

The realtor told him, "I could rent this place tomorrow for $1,500 a month." Renting it is probably my brother's plan. But he will likely make substantial profits on the house, too, as it goes up in value someday...

The house is roughly 1,500 square feet, with a great lot. So if you assume $100-a-foot building costs, plus a $50,000 lot – that gets you to $200,000. In a good real estate market, it should be worth a lot more than that. So my brother doubling his money is not out of the question.

Stepping back and looking at the big picture, you can see it's finally happening in America. You knew it would someday. The real estate market is clearing. Banks are finally getting their real estate off their books… at any price.

Right now is the moment to make your deal. The time for extraordinary deals like this will pass… quicker than you think.

Here's another example…

"You're not going to believe the deal I just got," a friend here on the Florida coast told me yesterday. "I bought a three-bedroom/two-bath house close to the beach for exactly $100,000. It was a bank-owned property. The bank's original loan on it was something like $270,000."

The story gets crazier… He told me, "The guy who defaulted on the loan still lives in the house. He's paying me rent. I offered to sell the house back to him for $125,000 next year, and higher the next, and so on."

My friend got a great deal. And as he pointed out to me, "The guy who defaulted wins, too… He'll be able to buy his house back from me someday if he wants, for half of what he owed the bank – and it's a nice profit for me. It's crazy."

This is it. This moment, right now, is the bottom in U.S. real estate.

Deals like these only happen at the "V" bottom – the quick dip down and quick recovery at the very bottom. If you want one of these deals, now is the time.

They will NOT be advertised in your local newspaper. You have to seek them out. You have to make the offers on properties. You have to roll up your sleeves and dirty your boots. But it will be worth the effort… if you can swing it.

These are real deals I've described to you. They are happening, right now. I heard about these two in the last 48 hours, and I wasn't even asking these guys what they were up to.

In Florida, some banks are selling houses with $270,000 loans for $100,000. These two stories are proof. But trust me… You will not be able to buy houses for half of replacement cost much longer.

Now is your moment to buy. Get out there. Don't let this moment pass!

Good investing,

Steve