Palm Springs Cities Real Estate Guide

Tax Benefits part of allure of 2nd home buyers in Palm Springs

The IRS allows taxpapers to claim deductions for mortgage interest and property taxes for two primary personal residences. If you have a main home, a desert home and a yacht you can get the benefit of the three interest deductions by borrowing extra from your home equity and paying cash for the boat. That way, you can claim all the interest without exceeding the rule on two primary residences. If you're buying a home with friends or relatives as partners, you can get a loan for that too. The lender will pool both incomes to qualify the borrowers for the price of the second home.

The advantage of using the property as an investment rental is considerable at tax time because you can deduct the full costs of utilities, maintenance and insurance and depreciation as well as the mortgage interest and taxes.

Of course each individual's tax implications are different, so check your details with a lender and tax advisor before investing.

If you've been dreaming about a second home in the desert, turn the dream into a reality now - with tax advantages. What are you waiting for?

Palm Springs Area Price Appreciation trend

Here is the latest...The Palm Springs Desert cities are still sustaining healthy price appreciation rates! I am happy to live and invest in such a beautiful resort and vacation destination!

No Housing Bubble Here

POPPING THE BUBBLE THEORY!

I attended a symposium in Palm Springs and we were discussing a fear that the general public has been feeling...are we in, or are we headed for the dreaded real estate bubble? I think not. Here's why:

A REAL ESTATE BUBBLE REQUIRES:

Rapidly Falling Demand
Job Losses
Unaffordable Interest Rates
Large Numbers of Overly Motivated Sellers
Negative Equity
Leveraged Builders with too much product.

Specific reasons that pop the bubble:

Demand: There is high demand for housing in our desert due to: Increased Population, Immigration, Affordability, a Retirement Destination and the fact that we are a Resort Community. Demand is expected to out pace supply since our build-able land is limited.

Sellers: The majority of residents are discretionary sellers who sell if they CHOOSE to, not because they have to.

2006 is still an exciting year in real estate. Don't miss it by sitting on the sidelines waiting to see what everyone else does. Your future starts with you. Get in the game.

Bright Future for Palm Springs Cities Residents

Executive Vice President of CAR, Greg Berkemer reports that our Median price remains competitive inside California compared to almost any other geographic regions. Supply over the long term will not keep pace with demand; interest rates are moving but sill in the range of historic lows, plus, it is an ever more incredible place to live and work.

We have a three sector market:

1. Year Round Residents.
2. Second Home residents.
3. Resort.

With a seasonal component that seems to be more and more blended into a year around market. Thus, if one sector takes a hit the others can help to offset the effect.

Palm Springs Has History

While Palm Springs is famous for the celebrities that visit, poolside parties and golf courses you probably think I am going to comment on the history of all the celebrities who partied here, or the best golf courses of all time.  Or perhaps you want to hear who was last seen at the Parker Hotel, and with who, but I don't read those tabloid magazine of gossip, and half-truths and I suppose its none of our business anyway, right?

No gossip here, I am talking about the architectural history of Palm Springs and recognizing the art in an architect's expression.  100 years of architectural history span this City from Adobe's to Contemporary design.  I recently read a post by Travel Writer, Karen J. Lee at Palm Springs Blog that focuses on this element of the City and enjoyed it.  Thanks for noticing Karen!

The Palm Springs museum is showcasing the work of Neutra this summer and I am proud to be associated with a new home development in Palm Springs designed by Narendra Patel called ALTA.  Patel has either worked or studied under Neutra, Lautner, Wexler and Cody.  Here our homes have been awarded the 2006 Home of the Year and honors the creative spirit and design of the builder and architect.  What is significant to me is of course the accolades but just as important is my new awareness of architectural enthusiasts and their appreciation of homes as art and builders complimenting the earth by blending art with nature.

I believe that builders and architects are much more than draftsmen, engineers and contractors, they can truly be artists expressing their spirit and themselves through their design that in turn become works of art to be collected.

The Blog Queen

Andrea is a great new contact of mine and is helping me get started in the blog world. I would recommend her to anyone looking for help exploring this new venture.

Coachella Valley Real Estate: If You're Not "Mental" You'll Miss Out!

In this Real Estate market or any market if you really think about it, it is all about mindset.

It’s true that listing inventory has increased and sales are down, but the market in my opinion is just correcting itself to a healthier more sustainable level.

Think of it as a “Goldilocks Market.”  Not too hot, not too cold, just right…

The truth is that amazing opportunities exist in this kind of market IF we're doing the right activities and we have the right mindset.

Many homes are coming up for sale each day. A year ago, these numbers were almost reversed. By the way, almost half of those homes are second homes; most were bought by investors looking to capitalize on a rising market. A majority of these listings are sitting vacant so some good deals can be negotiated. Look for the positive and you will find it!

In order to succeed in this market, realtors today really have to know their business; having an area of expertise, solid skill set and your experience and attitude will set you apart from the crowd.

Service and knowledge are required as they should be!

1. You must be educated and really know the market.

2. You must take the right actions daily.

3. You must understand it is a MENTAL market and work daily to keep your attitude strong and powerful.

If you are totally focused on your business, possess a positive mind set, and honorable and decent work ethic, and refuse to let the “Chicken Little’s” in the world convince you the sky is falling, then you can be successful and the slow down in the market will just make you work a bit harder and refine your skills, which never hurt anyone.

Think of it this way: It is not a good market. It is not a bad market...

It is a mental market!

Stay Tuned

Stay tuned... my first post will be coming soon!