5505 Costa Escondida - San Clemente, CA 92673

We just listed this great property in the Ridgemore area of Forster Ranch. More information can be found on this property by going to our website: www.bclh.com or email me at sam@bclh.com

Fed cuts short-term rate for 7th time

Short-term interest rates will come down again, for the seventh time since September.
The Federal Reserve cut its target for the federal funds rate by a quarter-point, from 2.25 percent to 2 percent. The prime rate will fall by a quarter-point, from 5.25 percent to 5 percent. The move spells good news to people who borrow money on loans, such as home equity lines of credit, that are linked to the prime rate. It's not such good news for savers who want to put their money in short-term certificates of deposit.
The rate-setting Federal Open Market Committee has been slashing rates to encourage consumers to borrow, and therefore stimulate the faltering economy. At the beginning of September, the federal funds rate stood at 5.25 percent; since then, the Fed has cut it by 3.25 percentage points. It has been an unusually rapid series of rate reductions, as the Fed has tried to catch up with the economic slowdown brought on by the housing slump.
"Recent information indicates that economic activity remains weak. Although readings on core inflation have improved somewhat, energy and other commodity prices have increased, and some indicators of inflation have risen in recent months. The substantial easing of monetary policy to date, combined with ongoing measures to foster market liquidity, should help to moderate growth over time and mitigate risks to economic activity," according to the Fed announcement.
This rate cut had been expected, with futures markets pricing in a 1-in-5 chance that the Fed would keep rates unchanged, and a 4-in-5 chance of a quarter-point cut. To the extent that anyone expected the Fed to keep rates unchanged, that sentiment stemmed from the inflation picture. As anyone who drives to the grocery store knows, prices for gasoline and food have been skyrocketing and threatening to eventually push up prices for everything.
Typically, rate cuts make inflation worse. That makes the case for holding short-term rates steady. But this isn't a typical situation. Prices aren't rising because the economy is booming; instead, they are rising despite an economic downturn.
"It's a compromise between two equally persuasive arguments," says Richard DeKaser, chief economist for National City Corp. "On the one hand, there's an increasingly legitimate argument that inflation needs to be pre-empted more aggressively." On the other hand, he says, "there is still risk to the economy in terms of weaker growth."
Downward-facing dollarOn the inflation side, DeKaser says, the Fed has been counting on a weaker economy holding wage growth down, which in turn is supposed to put a lid on inflation. By that reasoning, the Fed can continue to goose the economy by cutting rates, and can put off worrying about inflation until after economic growth resumes. But commodity prices are surging and the dollar is weakening in relation to other currencies. Both of those factors exert upward pressure on prices, especially for imports.
By cutting short-term rates while European central banks keep their rates steady, the Fed contributes to further erosion in the dollar's relative value. In turn, foreign companies either raise prices on exports to the United States to maintain profits, or they sell their goods to countries with stronger economies. Either way, through straight-out price increases or through scarcity, foreign-made goods become more expensive in the United States.
Inflation-fighting takes backseatHow do you turn that around? You could raise interest rates, which would eventually make prices of imports more competitive, but higher rates would restrict overall economic growth. Right now, the Fed prefers to stoke the economy by cutting rates again. Inflation-fighting is a secondary priority at the moment.
"The ongoing concerns related to inflationary pressures have to be weighing very heavily on their minds," says Jim Baird, chief investment strategist at Plante & Moran Financial Advisors in Kalamazoo, Mich.
"They've pumped a lot of liquidity into the system, particularly since the beginning of the year, and I wouldn't be surprised to see them take a step back and let this filter its way through the system at this point. They have to look at which of the battles they want to fight -- keep prices in check to a greater degree or reduce the risk of further softening of the economy and at the same time try to provide some liquidity and stabilize the credit markets."
Consumer impactThis rate cut's impact on consumers "is not likely to be very impactful, but in combination with past rate actions, it has quite a bit of impact," says DeKaser. He believes that a lot of this impact will come via reducing the monthly debt payments that some mortgage holders will have to make.
Specifically, rates on home equity lines of credit will go down again, and that will reduce the minimum monthly payments that borrowers carrying balances will have to pay. And declining short-term rates mean less payment shock for some people with adjustable-rate mortgages.
Long-term rates, such as those for fixed-rate mortgages, don't respond directly to the Fed's rate decisions. Instead, long-term rates are guided by inflation expectations. They could go either way, depending on whether the bond market decides whether the Fed's rate policy is too restrictive, too permissive or just right.
The federal funds rate is the target interest rate for banks borrowing reserves among themselves. The discount rate is the interest rate that the Fed charges banks to borrow reserves from the Federal Reserve. The Fed wants to be the lender of last resort: It wants banks to borrow from one another at the federal funds rate before borrowing from the Federal Reserve at the higher discount rate.

Is This The Last Fed Cut?

The Federal Open Market Committee meets today through tomorrow (April 29-30) and by now you're familiar with the drill -- they'll cut interest rates. But unlike recent Fed meetings that culminated with aggressive moves of the half-point and three-quarter point variety, the upcoming meeting is poised to produce a comparatively small quarter-point cut.
Exactly what will this mean to consumers? Rates for home equity lines of credit and variable rate credit cards will see further declines, though not all borrowers will benefit equally.
The biggest beneficiaries of the Fed's rate cut campaign -- homeowners facing resets on adjustable-rate mortgages -- will see no incremental benefit from another rate cut. The reason is that yields on Treasury bills that serve as the index for many ARMs moved lower well in advance of the Fed's actual moves as those yields reflect expectations about interest rates in the time that lies ahead. Those T-bill yields have already begun to move higher, reflecting concern about inflation and expectations that the Fed will transition away from further rate cuts. LIBOR rates have also increased notably off their 52-week lows, but for a different reason, as there is still tension in global credit markets amid questions about the accuracy of banks' self-reported funding costs. The bottom line is that another rate cut means nothing to borrowers holding adjustable-rate mortgages.
Savers, I haven't forgotten about you, though it seems the Fed has. While savers have become well-acquainted with the pounding that Fed rate cuts deliver to yields on cash investments, there is a moral victory close at hand. If the Fed cuts by just a quarter-point, and seems willing to move to the sidelines in order to evaluate the health of the economy before acting further, this will mark the bottom for yields on cash.
Although inflation concerns are growing and yields on Treasuries have moved higher, any sustained improvement is unlikely unless the Fed quickly begins to raise interest rates. Frankly, the Fed will have a hard time raising interest rates and imperiling the very ARM borrowers they've ushered out of harm's way with repeated interest rate cuts. Article courtesy of Bankrate.com

Carl's Jr.'s Founder (Carl Karchner) Summer Estate Is Now For Sale for $8,500,000 in San Clemente, CA

The Spanish Summer Estate of the founder of Carl's Jr. Fast Food Franchise & owner of Hardee's (Carl Karchner who died early this year just shy of his 91st birthday) has hit the market at $8,500,000.

4006 Calle Louisa Is An Expanisve Spanish Style Masterpiece Is Located In the exclusive Gate Guard Community of Cyprus Shore in San Clemente. It features 4 bedrooms, 6 baths and over 7500+ square feet of living space on a 16,000+ square foot lot!. The neat thing about this property is that is sits on a large corner lot that overlooks the ocean. It's hard to find such a large lot in this location. The lot is situated on 2 legal lots. The house itself features 2 master Suites, A large living, family & dining room along with a game room & spa!

The exclusive Cyprus Shore community is well known to have one of the most popular and beautiful beaches in all of California. This community features direct beach access to the beach and Is most widely known for the world famous surf break called Trestles. Of course, one can't mention this area without giving reference to the "Western White House" where former President Richard Nixon lived 40 years ago.

Interested in seeing more properties in this area? We have free mls access for all the homes in San Clemente at www.bclh.com/mls.php.

America's Wealthy See Buying Opportunities In Sluggish Real-Estate Market

CHICAGO (MarketWatch) -- Is now a good time to buy real estate? The size of your paycheck likely will play a big part in how you answer that question as reported in a recent Wall Street Journal Market Watch report.
While many average Americans are skittish about the housing market, some of the country's richest citizens see the current conditions as perfect for buying, according to the Annual Survey of Affluence and Wealth in America, released on Tuesday by the American Express Publishing Corp. and Harrison Group, a market research and consulting firm.Seventy-seven percent of the wealthiest people surveyed think real estate presents a "real opportunity" right now. In the survey, "wealthy" meant having discretionary household income of more than $500,000 a year.
And these high-income earners are putting their money where their mouths are: 40% said they are in the market to acquire real estate this year.
The survey was originally conducted late last year with 1,800 people representing the wealthiest 10% of American households. But the more recent figures are from a follow-up survey with a smaller sample of the original participants, conducted last week to ensure the study reflects rapidly changing market dynamics.
Other survey participants are "upper middle class," with incomes between $100,000 and $149,000; "affluent," with incomes between $150,000 and $249,000; and "super affluent," with incomes between $250,000 and $499,000.
The wealthy aren't alone in their belief that the real-estate market represents a buying opportunity: 67% of the upper-middle-class participants also agreed with that statement, as did 72% of the affluent and the super-affluent.
"There are bargains out there ... severe price pressure across the board," said Jim Taylor, vice-chairman of Harrison Group. That said, at the very top of the market, there is an abundance of buyers and that is holding prices steady at that level, he added.
Still, the wealthiest were the most committed to buying soon. Only 17% of upper-middle-class participants said they were in the market to buy real estate this year, while 24% of the affluent and 26% of the super-affluent said the same.
Home sweet second -- and third -- home
Forty-one percent of those in the wealthy category said owning a second home was "almost a requirement" for people of their economic means, according to the survey.
Thirty-three percent of the wealthiest who said they intended to buy this year are now in the market for a second home, and 25% said they are in the market for a finished third home, according to the survey.
"They're treating it as a portfolio play, rather than a recreation play," Taylor said. "They've moved off the notion that it's just pleasure real estate," he said, adding that the wealthy use second homes to help balance their overall investment portfolio.
Recession now, but rebound coming
Seventy-nine percent of the survey's respondents said the country is in a recession now, but 88% said they are confident that property values will eventually rebound. Still, 18% of respondents said the equity in their home is worth less than what they owe.
Many respondents expressed significant anxiety over the recession, Taylor said. That was especially true of the upper-middle-class and affluent groups, he said.
But not everyone is worried about their own financial stability. Taylor said he expects the number of millionaires to increase by another 6% this year.
Passion for home improvement
A separate survey of senior-level executives found that high earners often are passionate about improving their homes -- even more passionate than they are about spending time on the golf course.
Thirty-nine percent of 552 high-level executives said they were passionate about home improvement, compared with 32% who said the same about playing golf, according to a recent survey by Doremus, a business communications agency.
"Home is seen by most as a respite from the world, a place where people feel they can be themselves." said Hope Picker, director of research for Doremus, in a news release. "And high-powered senior-level executives are no exception.
"Golf is a game, but it's another form of competition and, in many cases, it's also a surrogate conference room where business is conducted and deals made. But home, even for many high-level professionals, is a safe haven. In addition, home-improvement projects tend to be both tangible and finite, in contrast to much of their work."
The company recommended that marketers interested in reaching these high-net-worth individuals should target them through publications, broadcasts and online sites that feature decorating and improvement ideas for the home and garden.

In Escrow: 134 W Avenida Barcelona - SW San Clemente By Sam Smith

Another property put into escrow by Sam Smith. This property was located on one of the best streets in Southwest San Clemente. The home features 2 bedrooms/2 baths & approx. 1283 square feet. Here is a brief description on the property "Mid-Century Beach Charmer On One Of The Best Streets In SW San Clemente. Yard Is Completely Gated With White Picket Fence. Living Room Is Light & Brite With Corner Windows. Large Master Suite With His/Her Sinks, Soaking Tub, Separate Shower & Walk-In Closet! Individual Laundry Room Is Adjacent To Garage. Owner Currently Has Set Up Office In Garage But Can Be Easily Taken Down. Great Price & Great Location!"

Thinking of buying or selling in San Clemente? Give Sam Smith a call today at 949-291-0424 or email sam@bclh.com

Just Sold - 4100 Costero Risco - Sam Smith of Beach Cities Luxury Homes

Another successful closing by Sam Smith of Beach Cities Luxury Homes. 4100 Costero Risco is located on one of the most beautiful streets in San Clemente. This property is located in the stunning Cantomar Area of San Clemente With Panoramic Views. The property featured 4 bedrooms & 4.5 baths with approx. 3,996 square feet. Beautiful Interior Design touches throught this home with an Incredible Gourmet Kitchen with Granite Countertops that double as Breakfast Bar, Stainless Steel Appliances, Double Oven & Rich Mahogany Cabinets. The Dining room had great views of the Oversized Pool Size Backyard And Opened Up To Formal Living Room. Dramatic Open Wrought Iron Staircase In the Entry way as It Lead You To Upstair Bedrooms. The property had a Very Large Master Suite With Views of The Hillside & Beyond. The Backyard Is Beautifully Landscaped with Center Gazebo Perfect For Entertaining & Relaxation. It was a newer built home finished in 2001. The best part about this home is that it had no Mello Roos Tax! Email sam@bclh.com for more info on this home or any other property in this neighborhood

Sea Pointe Estates New Listing - 28 Cresta Del Sol, San Clemente, CA 92672

28 Cresta Del Sol is back on the market in Sea Pointe Estates. If you love Mediternean Design & European Finishes then you will love this property! Listed at $2,150,000 This 4 bedroom/3.5 bath boasts 3,800 square feet on a 10,500 square foot lot. It has great curb appeal and is located on a beautiful single loaded street. Here is a brief description of the property "Straight from the rolling hills of Italy! This custom-built Italian masterpiece was constructed with many components imported from Italy and Europe and assembled with precision and care. Gorgeous views await from each and every room. Main floor bedroom with full bath. Chefs will love not only the gourmet kitchen with high-end applainces, but will enjoy the views while there. The great room has custom built-ins for the entertainment system. Several sets of French doors lead to the large, flat yard or the tranquil views of the canyon and the cool shade off the large patio. Don't miss the wine cellar! Enjoy romatic evenings and a twinkling lights view from the private deck off the master suite with fireplace, luxurious master bath and his and her walk-in closets. Prestigious guard-gate community with pool, tennis courts and clubhouse. Close to fwy access, beaches, shopping and theaters. Come enjoy luxury living near the beach! Listing text & photo courtesy of Coldwell Banker.

Sea Pointe Estates New Listing - 88 Marbella, San Clemente, CA 92672

Just Listed as of 4/23/08! A Brand New Listing Has Just Hit Sea Pointe Estates. This Mediterranean style home features 4 bedrooms & 4 baths & has approx. 4,466 square feet of living space and a huge 11,ooo+ square foot lot with a pool, jacuzzi and spectacular ocean views, wow!

Here is a brief description of the property: "Spectacular Ocean, Coastline & City Lights views from this enchanting custom home in guard gated Sea Pointe Estates. Spacious, bright and pristine condition await the buyer looking for majestic living in this entertaining home. Imported stone flooring, granite counters,decorator tiles and more are found through this residence. A newer kitchen with stainless appliances, granite counters, solid wood cabinets and the 'awesome view' make this property special. Large formal living room and dining room with dual fireplace, great family room with wet bar, built-in audio/visual cabinet and double sliding doors lead to the rear grounds. Lavish Master suite with new master bath, stone and granite shower, granite counters and two sided fireplace enhance this suite. Library with double glass french doors, game room and 3 additional bedrooms round-out the living spaces. Rear grounds include fabulous rock pool, waterfalls, water slide, spa, covered patio, granite and stone bbq area & firepit. Listing text & photo courtesy of Prudential California Realty.

Interested in seeing this incredible proerty? Contact Sam Smith at 949-291-0424 or sam@bclh.com today!

Sea Pointe Estates New Listing - 1 Madrigal, San Clemente, CA 92672

Just listed 4/21/08, 1 Madrigal in Sea Pointe Estates. This is a really great property. I have been to this property several times when owned by the previous owner. If you are looking for a very nice single level home with nice ocean views this is it!
Here is a brief description of the property: "Located in the guard gated community of Sea Pointe Estates,this exquisite custom home boasts views of the Pacific Ocean,Catalina Island & Dana Point Harbor. A private gated courtyard leads to this impressive single level design. Interior space includes 5 bedrooms, 5.5 baths plus bonus/media room. The gourmet kitchen is a chef's dream with a center island & breakfast bar surrounded by rich cherry wood cabinetry & granite counters. State of the art stainless appliances include a DCS stove,an additional Kitchen Aid oven,microwave,warming oven,refrigerator & more.The impressive design is enhanced with coffered ceilings,crown moldings,sky lights & 4 fireplaces.The designer flair is enjoyed throughout with additional custom features including travertine, marble,custom closets,surround sound systems, art lighting & camera security system. Designed for entertaining the rear yard includes a sit down BBQ. center, cozy fire ring & spa all perfect to enjoy sunset ocean views. The garage is 4 car." Listing text & photo courtesy of First Team Real Estate.

Interested in Viewing this property? It requires a 24 hour notice to show. Please contact Sam Smith at 949.291.0424 or sam@bclh.com

Go Green: Happy Earth Day

Happy Earth Day! We here at Beach Cities are making an effort to be earth friendly. We have recently incorporated DocuSign. Basically, instead of printing all of the numerous documents that are required for a real estate transaction, and then faxing them and having those printed up again on our clients fax machine we are incorporating all documents to be signed online! If you want to save trees, I recommend visiting http://www.docusign.com/ Here is their challenge: We’re challenging ourselves and our customers to save ten million sheets of paper by using the web to sign documents of all types electronically, without paper. Six million e-signatures delivered via DocuSign’s web-based service by Earth Day 2008 will make a real impact.
Every paperless e-signature has an environmental ripple effect. First there are the trees that won’t get cut down and can keep producing oxygen and absorbing CO2 greenhouse gas. Then there’s the prevention of pollution from paper manufacturing and the avoidance of resource use to transport trees and paper by truck or plane. And finally, secure online e-signing eliminates the need for additional planetary impact to print and overnight mail important documents. Listen to thier podcast: Join the eco-challenge! Click Here.

Credit Correcting: Doing It Yourself

Follow these steps to learn how many professional credit repair services remove negative items from credit reports!! A person’s credit-worthiness is shown by a credit rating, which is based upon present financial condition, experience, and past credit history. A credit report details the credit history of a person or business, and is used by a lender in evaluating a potential borrower. If you have negative items on your report there are some simple steps to get them taken off your report which will save you money when you go to buy your next house, car, or boat!

1) Requesting the Credit Report
The first step in correcting a credit report is to find out exactly which credit bureaus are used by lending institutions in the consumer’s area. The best way to do this is to ask a few lending institutions (banks, savings and loans), especially any at which the consumer has (or plans to have) accounts, which credit bureau they use. (Remember, there are literally hundreds of small credit bureaus nationwide.)
It is impossible to make any credit corrections unless it is known exactly what is contained in the credit report. Therefore, a consumer wishing to mend their credit history should request a copy of the report. Credit bureaus are not required to give the consumer a report, but they must tell the consumer what is contained in it.
Credit bureaus need complete information to insure they send the consumer the correct credit report. If a consumer has been turned down or denied credit in the past 30 days, they are entitled to receive a copy of the credit report free of charge. A copy of the credit denial should always be included with a request for the report. In order to comply with federal law, lenders must provide the consumer a report showing the name of the bureau from which they obtained the credit information. Each time a consumer applies for credit and is rejected, the creditor must advise the consumer why he was turned down and which credit bureau was used. This written rejection notice permits the consumer to get free credit reports. (Email sam@bclh.com for sample letter). If the consumer has not been denied credit in the past 30 days, a modest fee of $5 to $15 will be charged for the requested information. The consumer also has the option of going in person to the credit bureau. The visit should be made exclusively to pick up the report, not to become involved in a discussion or argument with the clerk regarding the content of the report.

2) Reviewing the Credit Report
Once the consumer has received the report, they should make sure they fully understand it. Since all credit bureaus have their own method of reporting, it is imperative that the consumer learn how to read and interpret the information collected for the report. Credit bureaus will provide the consumer with answers to any questions and explanations regarding the reporting format.
Then, the consumer should make a list of any items with which they disagree. Start with name, prior address, date of birth, social security number, employment, previous employment and any other personal items.
Next, review the credit inquiries. As you recall, each time a credit report is run by a subscriber, it is automatically recorded on the credit report. No one may run a credit report unless the consumer authorizes it. The consumer does not want excessive credit inquiries on the credit report. If a creditor sees a lot of activity in a file, he will begin to wonder why the consumer has been turned down so many times or why the sudden interest in so much credit; it may make the creditor uneasy.
The consumer should then carefully review the credit and payment history, writing down any items with which he disagrees.
All derogatory items must be removed after a specific period of time. Bankruptcies are removed ten years from the date of the bankruptcy. All other derogatory items including liens, judgments, late payments, charge offs, repossessions and convictions must be removed after seven years from the date of the last activity. Most credit bureaus have their computers programmed to remove these items automatically a few months prior to their anniversary date.
Few creditors, not to mention consumers, are aware that credit bureaus may report a consumer’s entire credit file since its inception (including all negative information) to a requesting subscriber if the subscriber is involved in granting the consumer certain items.

3) Addressing The Disputed Items
The next step is to send the credit bureau a formal letter listing all the disputed items and the reasons for disagreement. Sample letters addressing different inaccuracies follow as reference. The consumer should request investigation and resolution of all items. The wording should state that “these inaccuracies are highly injurious to my credit rating.” “Injurious” is the key word. The letter should also contain a request for an updated copy of the credit report once the investigation has been completed.
When writing a credit bureau, always write neatly (type if possible.) Be clear and write directly to the point. Never use foul language, make threats or recount personal stories. Always try to document the requests for investigation with copies of checks, bills, notes or any other type of proof that may be available.
Email sam@bclh.com for a "sample dispute letter for items in credit reports that have been inaccurately reported." Credit bureaus are required to investigate or reinvestigate all items the consumer disputes on his credit report. The Fair Credit Reporting Act clearly states that credit bureaus do not have to honor a request if the credit bureau feels the request is “frivolous or irrelevant.” Credit bureaus in actuality, however, seldom do so. The Federal Trade Commission (governmental agency responsible for overseeing The Fair Credit Reporting Act) has advised credit bureaus not to use this as an excuse to not investigate requests unless they are prepared to defend their refusal in court. Email sam@bclh.com for "sample letter for For Items in Credit Reports - Belonging to a Former Spouse."
Once the credit bureau receives the consumer’s letter, they have a reasonable amount of time (usually 4 to 6 weeks) to verify the validity of the disputed information with the original reporting subscriber. Remember, all information can only be added or deleted from a credit report by the subscriber (creditor); credit bureaus only report what they are told by the subscriber.
The consumer should always send all correspondence to a credit bureau via certified mail, return receipt requested. The consumer should also start a file and keep copies of all correspondence and make written notes of any conversations, giving the date, name of the person spoken with and the pertinent points discussed. Email sam@bclh.com for "Sample Dispute Letter for Items in Credit Reports - Not Belonging to the Consumer"
If, after a few weeks, the consumer has not received a response from the credit bureau, they should send a letter inquiring why. Or, the consumer may want to follow up with a telephone call. Whenever communicating with the credit bureau (verbally or in writing), regardless of what they say or do, never use foul language, threaten them or get upset. These actions can only hinder, not help. Email sam@bclh.com for "Sample Follow Up Letter No Response to a Dispute Letter "

4) Reviewing the corrections
When the consumer finally receives an updated investigated credit report, they should compare it with the initial negative report. On an average, about 50% of the disputed items will have been eliminated. Some credit bureaus will put “no response” if the subscriber did not respond to the credit bureau’s request for verification of the disputed item. Why were some items removed and others not? Simple. Credit bureaus must verify the disputed information with the subscriber; the subscriber, in many instances, will not bother to respond to the credit bureau’s request. The subscriber may not have the personnel available to fulfill the request, they may verify it without checking their records, or they may review their records and find the information is or is not accurate. (If an institution only keeps records for 24 months after the transaction has been terminated, how can they verify a late payment if the request for verification comes on the 25th month?)
The consumer then must “weed out” the subscribers who are accurately reviewing their records and those who are not. The next letter to the credit bureau should ask them to reinvestigate the items which are still disputed and clearly state the reasons. In this letter it is also wise to request the company names, address and telephone numbers of the subscribers with whom the credit bureau is verifying the disputed inaccuracies. This allows the consumer to follow up directly if the disputed items are not removed. Email sam@bclh.com for "Sample Dispute Letter For Items in Credit Reports - Inaccurately Reported After Investigation Request"
The step we have just described, is how many professional credit repair services remove negative items from credit reports true or not. The credit repair services will send the credit bureau letters denying everything derogatory including bankruptcies and foreclosures knowing about 50% of all items will be removed because of the reasons previously stated. They will continue to blitz the credit bureau with requests for reinvestigations until the credit bureau or the subscriber fails to comply in the allotted time. The best month of the year is December due to the heavy work load around the holidays!!!

5) Contact The Creditors Directly
If after completing these steps there are still items the consumer wishes to remove, it is time to contact the subscriber directly. If possible, this should be done in person; however, always make an appointment. This will ensure the subscriber is available and will also demonstrate to the subscriber that the consumer is driving there to see him exclusively to try to resolve the dispute. Only meet with a credit manager or someone in a position of authority who has the decision making ability to negotiate the debt.
There are three key words to remember at all times when dealing with a subscriber. Negotiate! Negotiate! Negotiate! As with credit bureaus, regardless of what the subscriber says or does, the consumer should never get mad, make threats or use foul language. Email Sam Smith at sam@bclh.com with any questions or copies of the sample letters

Proposition 60: Transfering Your Tax Base if 55 Years +

Looking to purchase a new home but concerned about higher property taxes? Look no further than Proposition 60 if you are over 55 years old. Homeowners who are at least 55 years of age may sell their homes and transfer their present base year property tax value to another home of equal or less value. The new home must be in the same county, or in a county that allows Proposition 60 to be used. The base-year property value is whatever the value of the home was on March 1, 1975, or in the year they purchased the property after that time. Thus, they are allowed to continue with the original figure as their tax base, adding a maximum of 2% every year, to arrive at their tax bill, rather than be required to step up to 1% of the value of their new purchase.

The Big Dig: Better Beach Access In San Clemente

Mariposa Beach in San Clemente will now have a new beach access thanks to the "Big Dig". From 10 p.m. Friday until late Sunday afternoon, Mariposa Point was a beehive of activity, round the clock, building a pedestrian access to the beach. They stopped the trains & the Railroad track was lifted off. Excavators dug deep. A crane hoisted heavy concrete blocks. Sections interlocked. Spectators gawked. The hole was refilled. By late Sunday afternoon, the track was put back.
That's how John S. Meek Co., working 24 hours a day, dug a ditch and inserted a pedestrian tunnel under the railroad track, over the weekend at San Clemente's Mariposa Point.
The underpass won't open until June. There are still finishing touches, plus extension of an elevated boardwalk over the tunnel.
"We're glad that it's in," project manager Tom Bonigut said Monday. "That was a big milestone."
Michael Metcalf, a neighborhood resident who lobbied the city to build the tunnel, said, "That's the most spectacular thing that's happened to Mariposa Point in decades – since El Niño. Magnificent." More photos at Sun Post News.

San Clemente Real Estate - New Listing - 5505 Costa Escondida

Just Listed! 1st Time On The Market!! True Pride Of Ownership In This Ridgemore Home. Great Location On Private Cul-De-Sac Street With Views of The Valley Below. 3 Bedrooms ~ 2.5 Baths with easy conversion of bonus room to 4th bedroom. Approximately 2200+ Square Foot House Built in 2001 with new exterior & Interior Paint. Large Designer Upgraded Kitchen With Granite Countertops, Professional Stainless Steel Appliance & Travertine Stone Floors. Quaint Family Room With French Fireplace & Open To Kitchen and Breakfast Nook. Large Backyard With Nobody Behind You. Large Wood gazebo & barbecue perfect for entertaining. Large 3 Car Tandem Garage on a Private Cul-De-Sac Street Location. Great Price! Call Sam Smith for more information this home. Property can be viewed at Luxry Real Estate.com or Beach Cities Luxury Homes company homepage. Click Here To View A Video Of This Home.

Where the Home Price Gaps Are Biggest

Not even the richest U.S. metro areas are immune from the housing downturn, recently reported by Business Week online.
Despite their glittering reputations, places such as Beverly Hills and Paradise Valley, Ariz., have seen their median home prices drop hard. But don't expect an Okie-style exodus of Ferraris and Range Rovers to cheaper neighborhoods any time soon. At the very top of the housing food chain, people are still buying—and spending—like it was 2005.
For super-rich buyers, both here and abroad, the credit crunch isn't much of a concern when buying a house because they have easy access to cash and debt. And even in the country's priciest markets, there aren't many houses worth $5 million or more, so demand nearly always outstrips supply.
Which means that even though housing market in states like California and Florida have been clobbered overall, certain exclusive enclaves remain unfazed.
Palmy Days
For example, it was reported Apr. 6 that the oceanfront Palm Beach (Fla.) estate of the billionaire founder and chairman of Jones Apparel Group (JNY), Sidney Kimmel, had found a buyer at $81.5 million, just 24 days after being put on the market. If the sale closes, it will be the highest price ever paid in Palm Beach.
And in Beverly Hills, where house prices dropped 8.7% in the fourth quarter of 2007 compared with a year earlier, the 29-bedroom, 40-bath former home of newspaper tycoon William Randolph Hearst and actress Marion Davies is on the market for $165 million, the most expensive listing ever.
In early March, the 29-room townhouse once owned by the late publisher of Penthouse, Robert Guccione, on Manhattan's Upper East Side sold to Harbinger Capital Partners founder Philip Falcone for $49 million. What makes the sale even more interesting is that the property was listed at $29.99 million in 2003. This means that, despite the general housing malaise, the property sold for 66% more than its asking price five years ago.
"Demand [for luxury real estate] is remaining strong, and even if [prices in elite Zips are] going down they're not going down as much as the overall market," said Laurie Moore-Moore, founder of the Institute for Luxury Home Marketing in Dallas, which trains agents to work in the high-end international property market. "What it means is there's a segment of the population that can afford the price point, and those folks are continuing to buy."
BusinessWeek.com, with the help of Fiserv Lending Solutions, evaluated the performance of some of the nation's most elite Zip Codes. We ranked communities based on the relative expense of houses compared to their surrounding metro area (The top ranked community, Paradise Valley, Ariz., had a median home price of $1.8 million, or 7.5 times the median for the Phoenix metro area). Of the 25 high-end enclaves on the list, all but one location performed better than its metropolitan areas in terms of 2007 home price appreciation.
General Slide
Still, prices in most of the high-end communities on our list, including Beverly Hills; Vero Beach, Fla.; and La Jolla in San Diego, experienced declines in the fourth quarter of 2007 compared with the same period a year earlier, according to Fiserv. Even so, the strength of the multimillion-dollar mansions at the top of the market appears to be tempering what might otherwise have been worse.
Median home prices in Santa Barbara, on California's Pacific Coast, fell 10% in the fourth quarter of 2007 compared with the same period a year earlier. But prices in the Santa Barbara-Santa Maria-Goleta metro area took a 20.6% nosedive during the same period.
Pricey markets in the Northeast, which saw more moderate price jumps during the housing boom, appear to be doing better. Selling prices in upscale Greenwich, Conn., rose 4.7% while prices in its local Bridgeport-Stamford-Norwalk metro area stayed flat.
the fashionable Boston suburb of Brookline, Mass., prices jumped 10% during the year that ended in the fourth quarter, 2007, even as prices fell 2.7% in the Boston-Quincy metro area.
Manhattan, one of the world's wealthiest property markets, didn't make the list because data were not available from Fiserv, which counts single-family home transactions (New York is primarily a co-op and condo market). In Manhattan's tight market, the median sales price in the first quarter rose 13.2%, to a record $945,276 compared with the first quarter last year, according a report by Prudential Douglas Elliman.
Holding Up
"High-end activity has boomed," said Greg Heym, chief economist for Brown Harris Stevens, a residential brokerage firm in Manhattan. "We're not saying it's recession-proof; we're not saying it will never go down. But it takes longer for the fundamentals to change."
Wealthy Zip Codes are generally less vulnerable to a serious slide because they have fewer subprime borrowers and, often, a tight supply of homes. But most communities have a mix of houses, including some cookie-cutter developments. The mega-rich are choosy and look for fabulous, distinctive properties that have lasting value even in markets that have been weakened by investor speculation and overstretched buyers losing homes to foreclosure.
"I would never say any property is immune to market forces," says Chad Roffers, president of SKY Sotheby's International Realty in Sarasota, Fla. "But a condo or single-family home that more looks like a commodity is seeing a greater correction in price. The unique, one-of-a-kind properties that are difficult to replace are bringing top dollar or setting record prices."
Christopher Hain, a real estate agent with Ramsey-Shilling Associates in the Hollywood Hills, says homes of $10 million or more are in short supply in the Los Angeles area. In Beverly Hills, house prices at the lower end of the market—that is, $1 million or so—are much weaker than the top of the market, he says.
"I'm working on three developments: $5 million homes in Brentwood, $6 million homes in Beverly Hills, and $27 million homes in Bel Air," he said. "Which one am I most confident in? The $27 million development. I know they're going to sell because there will be nothing compared to it."
See BusinessWeek.com's slide show to find out which metro areas have the greatest median home price gaps.

San Clemente Real Estate Market Update - April 2008

Inventory is low and buyer activity is on the rise! (as of right now....) The LA Times has reported that we may be close to the bottom of this market and what a great time to buy! We have never seen downturn pricing in combination with low interest rates!!! The time to negotaite with sellers is NOW!

Last summer, we had so many homes for sale that the buyers had so many properties to choose from. The Orange County register reported a drop in the median price of an Orange County home from the months of June through September from $640,000 to $570,000 in three short months.

There were a lot of factors that are in this current marketplace.

1) We saw a lot of adjustable rate mortgages coming due this year. I talked with many owners who's payments on a small condo went from $2,500 to $7,000/month! Most of these owners couldn't afford their payments so they were just walking away from their homes. For those that could hang on for a couple of months we saw them put their homes up for sale in desperation. The sad part about this is that their property values were less than what they paid for them two years ago. The hardest hit areas in San Clemente was Talega.

2) We saw a lot of REO's coming back on the market. REO's are Real Estate Owned properties that they banks bought back from foreclosure. The banks wanted to get rid of these properties this year so they were pricing them well below the current market values just to get them sold quickly. Most of these were able to sell but they brought down the homes values in doing so.

3) New home builders are also in the market. They are under financial obligation from the banks to keep building the homes they got financing for several years back when the market was good. In order to sell these homes they were offering huge incentives to induce people to buy their homes. It was hard for most re-sale homes to compete with this when the price was comparable to their home and on top of that they had unbelievable incentives to buy the new home and not the re-sale home. I saw one home builder offering to pay their mortgage up to 1 year if the buyer purchased their home.

Now, we are heading back into the summer months where we traditionally see a lot of home coming back on the market. Serious buyers are out in the marketplace and making offers on properties right now. It's simply supply and demand. The supply of homes is still low as of right now, so If you are thinking about selling your home, NOW is the time. If you wait until the summer time It will be too late and COST YOU MONEY. You will be competing with a very large number of homes and the price you get for your home, if you do get is sold, may be less.

If you want a free consultation on what your home is worth, give me a call:

Sam Smith
(949) 291-0424
or email me at sam@bclh.com.
You can visit me at San Clemente Realtor.com

I can help you with the timing of your sale that will get you the most money for your home!

WAMU Closes It's Wholesale & Retail Divisions

As reported in the New York Times, Washington Mutual, the nation’s largest savings and loan, was poised late Monday to grab a $5 billion lifeline from the buyout firm TPG and other investors in an effort to stabilize its finances, people briefed on the deal said.
But it was unclear whether the investment would be enough to steady Washington Mutual, which has suffered steep losses on mortgages. The thrift may end up being acquired by a larger rival, ending its 119-year run as an independent institution, analysts said.
TPG, formerly the Texas Pacific Group, put up the bulk of the money by buying new preferred stock. TPG, run by David Bonderman, will get one seat on Washington Mutual’s 14-person board. An announcement could come as early as Tuesday.
It is a remarkable turnabout for Washington Mutual, whose once highflying stock has swooned along with home prices. Under Kerry Killinger, its longtime chief executive, Washington Mutual grew rapidly in recent years by lending aggressively, particularly to low- and middle-income borrowers, and by buying smaller competitors.
But during the past year Washington Mutual’s stock price plunged more than 67 percent as the mortgage crisis spread through the financial markets. The stock closed up $2.98, at $13.15 on Monday.
The new funds — equal to more than half of Washington Mutual’s $9 billion market value on Friday — would probably offset losses on par with levels last seen during the savings and loan crisis of the early 1990s. Even so, Washington Mutual, based in Seattle, may yet seek out a diversified partner, given the risks of its big mortgage portfolio and its focus on the West Coast.
“Nobody really knows where the bottom is, but you are taking away the worst-case scenario,” said David Hendler, a financial services analyst at CreditSights, an independent research firm in New York. “This just stabilizes their businesses to cover the losses on the old business that were worsening. They haven’t shown the vision to execute on a growth plan to diversify away from mortgages.”
Washington Mutual is the latest financial institution to go hat in hand to outside investors. Since the sharp downturn in the credit and housing markets last summer, Wall Street giants like Citigroup, Merrill Lynch and UBS have raised tens of billions of dollars. But Main Street lenders have been hit hard, too. Many have slashed their dividends, and investment bankers say several are looking to raise money or are seeking out acquisitions.
The deal is a departure for TPG, which typically seeks to gain control of companies. It also poses significant risks.
Washington Mutual has been hit hard by losses stemming from mortgages made to borrowers with risky, or subprime, credit. The thrift pushed aggressively into products like interest-only and so-called negative amortization loans, which are now among the most toxic.
The lender also has significant exposure in California and Florida, where property values have declined the most.
And after acquiring Providian Financial’s subprime credit card business in 2005, Washington Mutual now expects a sharp increase in loan charge-offs. In response, Washington Mutual has cut its dividend, eliminated several thousand jobs and raised $3.7 billion in a separate preferred stock offering. Still, its stock price has continued to plummet.
The TPG investment was first reported by The Wall Street Journal.

Just Listed - 134 Avenida Barcelona - San Clemente

Just Listed This Mid-Century Modern Beach Charmer On One Of The Best Streets In SW San Clemente. It Features 2 Bedrooms & 2 Baths & Approx. 1283 Square Feet. The Entire Yard Is Comletely Gated With A White Picket Fence. The Living Room Is Light & Brite With Wonderful Corner Windows Typical of This Period. A Large Master Suite With His/Her Sinks, Soaking Tub, Seperate Shower & Walk-In Closet! There Is An Individual Laundry Room Which Is Adjancent To The Garage. The Owner Currently Has Set Up Office In Garage But Can Be Easily Taken Down. It's Walking Distance To T-Street Beach As Well. Don't Miss This Property, It's At A Great Price & Great Location in SW San Clemente! Listed at $789,000

Call Sam Smith at (949) 291-0424 to see This Great Property.

Orange County Real Estate Auction - April 6th 2008

Looking for the next deal? US Home Auctions are coming to California and holding auctions all throughout the state. Orange County dates will April 6, 2008 at the Anaheim Convention Center. There are properties from San Clemente to Newport Beach, and a lot of properties in Santa Ana. The cool thing about this auction is they provide instant financing on the spot. I have participated in this auction in Arizona and can give more insights on how this works. They also do give a 1% comission to Real Estate Brokers so I would love to work with anyone looking to purchase a foreclosure home. Please call or email me if you are interested!!

Sam Smith
(949) 291-0424
sam@bclh.com

Just Listed - 69 Marbella (Sea Pointe Estates)

(April 1st, 2008)
Just listed today 4/1/08, As The Lowest Price Home In Sea Pointe Estates! Here is the description of the property: "Sweeping ocean views from this exquisite custom home...THIS IS THE LOWEST PRICED HOME IN SEA POINTE ESTATES. Gorgeous custom wood craftsmanship throughout. Ocean coastline views all the way down to San Diego. Charming courtyard off the family room. Two beautiful brick fireplaces in family room and living room. Wonderful master suite with ocean views, with large walk-in closet, beautiful bathroom with large shower and spa bathtub...Beautiful oak bannister..ONE OF SAN CLEMENTE'S FINEST GATE GUARDED COMMUNITY WITH TENNIS COURTS, POOL, SPA AND COMMUNITY CENTER WITH BARBEQUE AREA...Nestled in the private rolling hills of San Clemente. Located in North San Clemente, close to Fwy access, shopping, ocean beaches, hospital and more...GREAT LOCATION..." Text & photos courtesy of Prudential California Realty.

To See This Home, Please Contact Sam Smith of Beach Cities Luxury Homes at (949) 291-0424 or email at sam@bclh.com We our your Sea Pointe Estates specialists!