the Bullet The Weekly Newsletter of the Silicon Valley Association of REALTORS® September 21, 2007
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GOVERNMENT AFFAIRS NEWS THANK YOU FOR ANSWERING THE CALL TO ACTION: HOUSE PASSES FHA REFORM BILL WITH LOAN LIMIT HIKE On Tuesday, September 18, 2007, the U.S. House of Representatives passed H.R. 1852, “Expanding American Homeownership Act of 2007,” a bill to modernize and update the National Housing Act and enable the Federal Housing Administration to use risk-based pricing to more effectively reach underserved borrowers, and for other purposes, by a 348 - 72 vote. Representatives Anna Eshoo and Mike Honda voted AYE. The House by voice vote also adopted an amendment offered by Representatives Barney Frank, Gary Miller, and Dennis Cardoza to raise the FHA single family loan limit, by “establishing such limit in each area as the lower of (a) 125% of the local median area home price or (b) 175% of the national GSE conforming loan limit; retain the FHA loan floor provision in the reported bill of 65% of the GSE conforming loan limit; and also gives HUD authority to raise these resulting loan limit amounts by up to $100,000 by area and/or by unit size `if market conditions warrant.” Last week, the National Association of REALTORS® (NAR) sent out a Call for Action in support of H.R. 1852. Over 500 REALTORS contacted Representatives Eshoo and Honda in response to the Call for Action. Thank you for making your voice heard on this important measure that would help revitalize the Federal Housing Administration (FHA) to compete in the 21st Century housing market. Despite the successes of the FHA program, many potential homeowners in underserved populations and high cost areas continue to be excluded from the American dream of owning a home. FHA’s market share has dwindled because its loan limits, inflexible down payment requirement, and fee structure have not kept pace with the current mortgage marketplace. H.R. 1852 modernizes the FHA mortgage insurance program, once again providing American homeowners with safe, affordable mortgage alternatives. Without reform, FHA would remain unavailable to many homebuyers or those needing to refinance. FHA products are safe, thanks to appropriate underwriting and loss-mitigation programs, and fairly priced without resorting to teaser rates or negative amortization. The bill would 1) increase the FHA loan limits nationwide and in high cost areas; 2) eliminate the three percent down payment requirement on FHA loans for first time homebuyers; 3) extend the loan term to 40 years; 4) allow FHA to risk-base price their products; 5) eliminate the cap on the number of reverse mortgages that FHA can insure; and 6) streamline usage of the FHA condominium loan program. It would also allow excess FHA funds to be put into an affordable housing fund, rather than go to the US Treasury.
SILVAR member Dan Dykwel is running for Palo Alto City Council	SILVAR PAC City Council Endorsements On September 12th, the Silicon Valley Association of REALTORS® Political Action Committee officially endorsed candidates running for local office in four Peninsula and South Bay cities and one school board for the November 6th Consolidated Election. One of the endorsed candidates is SILVAR REALTOR Dan Dykwel, who is running for Palo Alto City Council. SILVAR PAC endorsed candidates in Cupertino, Los Altos, Palo Alto and Sunnyvale for City Council and for the Palo Alto Unified School District. SILVAR PAC’s endorsement process was open to all candidates running for local office who sought SILVAR PAC’s support, completed a questionnaire, and were interviewed by Realtors from their community.
SILVAR PAC endorsed the following candidates: Cupertino City Council Candidates (Two Seats) - Gilbert Wong and Kris Wang Los Altos City Council (Three Seats) - David Casas, Ronald Packard and Randall Hull Palo Alto City Council (Four Seats) - Pat Burt, Dan Dykwel, Sid Espinosa, Mark Nadim and Greg Schmidt Palo Alto Unified School District (Three Seats) - Melissa Baten Caswell, Wynn Hausser, Barbara Klausner and Camille Townsend Sunnyvale City Council (Four Seats) - Seat 4: Dean Chu, Seat 5: Otto Lee, Seat 6: Ronald Swegles and Seat 7: Melinda Hamilton
MEMBER NEWS
Text Tour Violations to SILVAR at violation@silvar.org Reporting tour violations has now become easier! SILVAR members can now report tour violations from their cell phones, as long as their phones have text messaging capability. If you want to report a tour violation, simply send a text message to: violation@silvar.org. The text message must include the following: 1. Agent’s name 2. Tour date (violation date) 3. MLS # or address 4. Violation 5. Name of person reporting complaint SILVAR hopes the introduction of this new and easy method of reporting will make the process more convenient for Realtors. By facilitating the process, SILVAR hopes tour violations will be reduced.
You can own this beautiful painting by SILVAR member Carson English. Come to Monday's golf tournament and buffet dinner and bid on this and other items at the auction! Sign-up now!				Come to SILVAR’s 9th Annual Charity Golf Tournament Exquisite Painting by SILVAR Member is One of Many Special Auction Items “California Coast,” a 24x30 oil painting by SILVAR member Carson English, is one of the items being auctioned on Monday’s Ninth Annual Charity Golf Tournament, which will be held at the Palo Alto Hills Golf & Country Club, 3000 Alexis Drive, Palo Alto. English is a Realtor with Cashin Company in Palo Alto. Although he has been a real estate broker in the Bay Area for over 27 years, English has pursued his passion for painting even longer. His paintings capture images of places that have made a lasting impression on him. “I think beauty in the hands of a true artist can be found in the familiar. When painting, I experience an emotional connection with my realistically depicted scenes,” English says about his paintings in his Web site: www.carsonenglishfineart.com. Visit the Web site and view his paintings, which can be ordered online. Better yet, come to SILVAR’s Ninth Annual Charity Golf Tournament – play some golf, bid on the painting and other special auction items this year! (See the list of other auction items below.)
Members are invited to spend the entire day enjoying golfing, lunch, a banquet dinner, awards, raffle and live and silent auctions. The fun-filled day begins with registration at 10:30 a.m., a Shotgun Start (Scramble Format) at 11:30 a.m. A no host cocktail reception will begin at 5 p.m., followed by a buffet dinner at 6 p.m. and awards ceremony and auction. This year’s Hole-In-One Sponsor is Red Hawk Real Estate (formerly Red Hawk Realty in Menlo Park), which is based in Portola Valley, and founded by SILVAR member, Lisa Keith. Other sponsors are: Wells Fargo Home Mortgage, Birdie Sponsor; Indymac Bank, Prize Hole; RSM McGladrey, Putting Contest Sponsor; The Sereno Group, Corporate Sponsor. Tee and Hole Sponsors are Alain Pinel Realtors-Los Gatos Office, Alliance Title, First American Title, Old Republic Title, Palo Alto Affiliate Bank, Princeton Capital, Sand Hill Financial, State Farm Insurance and Washington Mutual. Program Sponsors are Coldwell Banker- Los Altos office (San Antonio Road) and First American Exchange. Tickets for the golf tournament are selling quickly, so if you haven’t already signed up, please do so. There is limited seating available. Cost is $275 per participant, which includes golf, lunch, the awards ceremony, banquet dinner and auction. It’s $60 per person for dinner-only guests. All proceeds from the event will go to the Silicon Valley REALTORS® Charitable Foundation. Support SILVAR’s golf tournament. It’s one way you can give back to the communities SILVAR serves! VIEW AUCTION ITEM LIST
Second C.A.R. Health Plans Open Enrollment for the Year Offered  Blue Cross and Kaiser have agreed to allow C.A.R. to offer two open enrollment periods each year. This allows insured members to make plan changes for the upcoming calendar year, and allows members who don't have C.A.R. medical coverage to enroll now. The plan year remains June 1st to May 31st and rates will change June 1st.B C.A.R. Health Plans Open Enrollment period will run from October 15 to November 30. Coverage will start on January 1, 2008.  This Open Enrollment period is for medical plans only. Those who wish to enroll in the dental or vision coverage can do so now if they are new members to the Association (enrolling between the 60th and 120th day of membership), or if they have experienced a qualifying event.  Otherwise, they will need to wait until the June Open Enrollment period to add those ancillary products. Members who wish to enroll in the life insurance program may do so on a guaranteed basis if they are new members. Otherwise, members can apply for coverage, but must qualify medically. You may also request an information kit by contacting SILVAR at (408) 200-0100.
Pictured left to right are SILVAR President Mark Burns, SILVAR Executive Officer Paul Cardus, California Association of REALTORS® President Colleen Badagliacco, Silicon Valley Director Gene Lentz, President-Elect Leannah Hunt and Past President John Tripp.					Silicon Valley Still Good Market, Realtors Just Need to Bring Information to Buyers Despite reports that Bay Area home sales are at their slowest pace in 15 years, many markets in the area are doing well and now is actually a good time to buy a home, California Association of REALTORS® President Colleen Badagliacco told SILVAR members at Monday’s Menlo Park/Atherton District Meeting. “Bad news gets eyeballs. … It’s turned out to be a media cycle drama and Realtors just have to have a conversation with consumers and bring the numbers and information to them,” Badagliacco said. While there are areas in the state that are experiencing a downturn in home sales, Badagliacco said Northern California, particularly Silicon Valley, is actually leading California’s housing market. Only a relatively small portion of Silicon Valley is affected by subprime lending problems and foreclosures, compared with the rest of the state, she said.
Badagliacco noted, unlike the economic slump in the 1990s, where the state experienced massive job losses, “the bottom line is that we are adding jobs and the economy is strong. We know that things are not that bad in Northern California.” The demand for housing is still strong overall in California, but negative news about the housing industry has intensified market uncertainty, forcing more buyers, sellers and lenders to the sidelines, said C.A.R.’s president. Badagliacco said the market continues to have four strong groups of buyers: seniors, who have a long history of buying homes and are in the market to sell their homes, buy new homes and perhaps downsize; the boomers, who have a strong history with real estate, have lots of money and are seeking secondary homes for investment or vacation purposes; and Generation X and Y, who have seen the market go straight up, but are hesitant to make an investment. “This is a time to have a conversation with Generation X and Y,” Badagliacco told SILVAR members. “Real estate is an excellent investment, but if you plan to flip the house in a few months, maybe you ought to rethink your strategy. As rents increase, you need to take a closer look at the renting versus buying equation. If you can save and build some equity, you should take advantage of the softer market.” Badagliacco also advised Realtors to use this time to improve their skills and become more astute with new technology and the Internet, upon which Generation X and Y rely. She said Realtors would do well by establishing interactive Web sites, utilizing online transaction management, PDAs and other up-to-date technological equipment. “As the world continues to change, when the market turns, who are your best buyers? Generation X and Y, the first-time home buyers and the second home buyers,” said Badagliacco. “You have got to be able to move ahead - even if we’re in a slow market, by upgrading yourself, so you can bring value to your clients and be ready to provide that information for the next generation.” Realtors need to move forward and learn new technology, she stressed. “Do not be afraid of it; embrace it. Be open to it and the higher the trust level you will have, and you will be ready for the next home buyer who is just sitting there waiting.” Badagliacco recommended the following readings: Wikinomics by Don Tapscott and Satisfaction by J.D. Powers.
Learn about Asian American Buyers and Sellers The Asian American population is among the fastest growing in Silicon Valley. Many Asians are settling in the counties of San Francisco, Santa Clara, San Mateo and Alameda. Recent news reports have disclosed Santa Clara County gained more Asians than any other county in the nation. There were nearly 18,000 new Asian residents in Santa Clara County between July 2005 to July 2006, bringing to the county’s Asian population to over 550,000. Now is a good time to expand your knowledge and skills. Learn about the demographics, business practices, important tips and dos and don’ts when dealing with Asian American clients by attending “Emerging Sunrise,” a presentation by Jenevene Gular, Multicultural Marketing Manager of Fidelity National Financial. This presentation is being sponsored by SILVAR’s Cultural Diversity & Equal Opportunity Committee on Thursday, September 27, 2 – 3:30 p.m. at SILVAR. Cost is $10. Refreshments will be served. Limited seating is available, so register now by calling SILVAR at (408) 200-0100, or register online at http://ims.silvar.org. VIEW FLYER
			Mustangs Receive Trophy Again Paul Skrabo and his team claimed another victory for the Mustangs in 2007. The Menlo Mustangs and the Menlo Oaks vied for the coveted title of winner at this year’s Day on the Diamond, held on August 8 at Burgess Park in Menlo Park. The Mustangs received the honors, 7-4. Skrabo, who is manager of Cashin Properties in Portola Valley, is pictured here receiving the trophy this week from the event’s co-chairs, Lehua Greenman and Judi Kiel (far right).
NOW IN THE SILVAR STORE: 2008 ENTERTAINMENT BOOKS $25.00 each SILVAR Weekly Store Specials!: San Mateo County Barclay Locaide $38.00 (Normally $40.95) Menlo Park and Saratoga/Los Gatos Barclay Maps 5 for $10.00 or 10 for $15.00
		EDUCATION AT SILVAR Featured Classes: October 4-5, 2007: SILVAR and CRS Northern California Chapter Present “Building an Exceptional Customer Service Referral Business” 8:30 am - 5:00 pm both days (check-in time 7:30 - 8:30 am both days) Cost - $300 Early Bird (before 9/17/07) - $325 (9/17/07 through 10/4/07) Register online: http://www.norcalcrs.com/events.html VIEW FLYER ALSO: FREE REIL TRAINING @ SILVAR: October 8: Listing Management Version 3.0 An overview of the new version of Listing Management, now released. Choose from one of two sessions: 9:00 - 10:30 am OR 11:30 am - 1:00 pm Call SILVAR at 408-200-0100 or go to http://ims.silvar.org to sign up for classes unless otherwise indicated. SEE FULL SCHEDULE OF UPCOMING CLASSES
		UPCOMING EVENT SCHEDULE Featured Event: September 24: 9^th Annual Charitable Foundation Golf Tournament Palo Alto Hills Golf & Country Club SPONSORSHIP INFORMATION AND FORM DINNER AND GOLF REGISTRATION DINNER ONLY REGISTRATION Questions for Colleen? E-mail them to mp@silvar.org prior to the meeting Call SILVAR at 408-200-0100 to or go to http://ims.silvar.org to sign up for events. SEE FULL SCHEDULE OF UPCOMING EVENTS
		UPCOMING TOUR AND DISTRICT MEETING SCHEDULE HERE © SILICON VALLEY ASSOCIATION OF REALTORS®. 19400 Stevens Creek Blvd., #100.  Cupertino, CA. 95014. 408-200-0100.  We thrive on your feedback! Send us a note at bullet@silvar.org PRINT THIS PAGE