Laguna Beach Realtor in Action - 9.23.10 - Part 2

Here’s the recap: Buyer puts up $20,000 as a deposit for a Laguna Beach condo. Seller wants to remove all contingencies and tie up the security deposit if the buyer cannot perform. I need to get extensions and an addendum to the purchase contract in order to extend the problems with the loan conditions.

First of all, I totally understand why the seller made this request for the buyer to perform and remove all contingencies, including the loan contingency. It’s his way of locking in the deal as soon as possible. But that doesn’t help my client. So I shake my head – uh-uh. I’ve got to protect the buyer from losing the property and quite possibly losing her sizeable investment. Removing the contingences a day or two early might not seem like a lot. But in the world of Real Estate, every moment counts. Like gold. A lot can be discovered in a day. I want my buyer to have all the time necessary for this major decision. Because once those contingencies are removed, the buyer basically has committed to a home purchase. When the loan gets approved, the buyer is obligated to purchase the house or risk losing the deposit sitting in escrow. In this case, a hefty 20 g’s.

I stood my ground and set this goal – no removal of contingencies until full loan approval with no conditions. So we’re waiting and waiting and waiting for that all-important call from the bank. On top of that, I’m calling the lender twice a day, who in turn has to call the loan processor.

I had decided my best move was keeping the seller’s agent informed with frequent daily updates. The consistent phone calls and emails worked like a charm. The seller knew we were in the game 100%. All we needed now was full loan approval.

Once that happened on the 26th day, we confidently removed all contingencies. And five days later, all our hard work paid off. Escrow closed. Deal done. The upshot? Both sides emerged, feeling whole. The buyer got her beautiful Laguna Beach home, and the seller, a healthy sale. The buyer, seller’s agent, and the seller had trusted me and counted on my candidness.

CASE CLOSED

Would you like to seize one of your own opportunities in the Orange County Real Estate market? I’ll be happy to help. As somebody who is well-focused on this prime locale, I can answer all of your questions and help you discover the numerous opportunities the Orange County Real Estate market has to offer. Feel free to contact me at 949.922.8490 or hillary@thecoastalpropertyexperts.com.

Laguna Beach Realtor in Action -- 9.22.10

And now this week's Case From the Hillary Caston Archives…

Buyer A had seen her share of Laguna Beach homes. Nibbled on a few. Now she was ready to buy. Had her sites on a choice condo in a fantastic location, with an irresistible price tag to match. Yes, she was one serious player. And to prove it, she plunked down a serious amount of cash as a security deposit. $20,000 into the Escrow ‘vault’ it went.

We got off to a splendid start. Both buyer and seller signed all the necessary documents stipulating that all contingencies would be removed once the loan was approved -- in the customary 17 day period.

As the deal glided forward, the buyer took care of details like getting inspections done, negotiating a repair request, signing the full gamut of disclosures, and receiving all condo association documents such as budget and minutes. Things were progressing just as smoothly in the loan-approval realm. The bank had all the necessary paperwork from the buyer - tax forms,
verifications, credit scores, appraisal, etc. All in all, this Laguna Beach condo was looking mighty good.

Then the lender threw us a curve ball. Surprise! The loan documents would require another 3, very unanticipated days of ‘review'. According to the lender, we had loan approval – with conditions. We’d just have to wait. Unfortunately, our 17 day period to remove all contingencies was about to expire NOW! Time’s up. Whistle’s blown. Game over.

“What does that mean,” the buyer fretted. I go into ultra-soothing Hillary mode. “Well,” I calmly explain, “it means the bank still could deny the loan if the conditions are not met.” Then I brace myself and continue – “It also means, if you sign the removal of contingencies, your $20 grand security deposit is at risk. The seller could grab the cash because he’s kept the property off market.”

A worried frown from the buyer. This is not going as planned. I immediately shift into full protection mode and assure her we can circumvent this risk. But both seller and seller's agent would need to know they still have deal. Now at this point, they’re clamoring for removal of contingencies. Bottom line: I’ve got to protect my client's investment until we have full loan approval. This means getting the seller to feel confident enough to give us the extra time we needed. How did I pull off this delicate juggling act?

Find Out in Part 2 of Hillary’s Cliffhanger Case Studies.

And while you’re waiting, I’ll be happy to answer any of your questions or provide information pertaining to the bustling Orange County Real Estate market. Feel free to contact me at 949.922.8490 or hillary@thecoastalpropertyexperts.com.

Hillary's Pick of the Week

Welcome to another pick of the week. As always, my search for the best of the best has revealed some choice gems among the excellent selection of Orange County properties.


28862 Top of the World, Laguna Beach MLS # L34106







This is my personal favorite for the week. Wow! This one story charmer is tucked away in a soothing setting of secluded serenity, perfect for kicking up your heels and forgetting your cares. But be prepared to be carried away by breathtaking views of surrounding Laguna Canyon. You’ll also bask in the comforting luxury of an exquisite interior, which features a spacious open floor plan, vaulted ceilings, roomy dining area, and tumbled marble flooring in the bathrooms. At $1,195,000, an incredible buy for those who want get away from it all!

But Wait, There’s More: Other Orange County Properties That Caught My Eye –










18 Forest Hills Ct 53, Dana Point MLS #S619965

Yes, it’s located in the resort style community of Tennis Villas. But you don’t have to be a tennis buff to appreciate the lively sophistication of this single level Dana Point home. Thrill to spectacular views from every room as you savor the crisp ocean air. And you won’t have far to go for fun — this home is well within walking distance of Salt Creek Beach and the Monarch Links Golf Course. Step inside, and you’ll discover new carpet and paint, built-in appliances, and solid surface countertops. While all the other comparable properties in the community are lingering in the $700,000 range, this honey of a home is a standout at $589,000!

26882 Calle Maria, Dana Point MLS # S630875

Escape to your own beach hideaway in this stunning Dana Point home. Features a rose-lined walkway, four spacious bedrooms, 3 baths, and an outdoor patio that’s ideal for entertaining guests, marveling at a golden sunset, or enjoying the comfort of gentle sea breezes. You’ll also appreciate the convenience of being close to Dana Point Harbor, San Clemente Pier, championship golf courses, 5 star resorts, and miles of pristine beaches. But hold on. You’ll be journeying back to in time to 2003 prices! This spacious 4 bedroom, 2200 square ft. home is on the market at an amazingly low $863,000.

If you’d like to learn more about the many priced-to-sell Orange County homes that are available, I’ll be delighted to help. As somebody who is well-focused on this one-of-a-kind community, I can answer all of your questions and help you discover the numerous opportunities the Orange County Real Estate market has to offer.

Feel free to contact me at 949.922.8490 or hillary@thecoastalpropertyexperts.com.