Ryan’s Mortgage Blog:
Beware of the Option ARM. These mortgages can get you in trouble pretty fast if you don’t pay attention. An Option ARM is an adjustable rate mortgage that typically has 4 payment options. Option ARMs became popular within the last couple of years, and lenders have recently created similar programs by changing a couple of the “options” or terms. So for the sake of this blog, I will be referring to the typical Option ARM. You can pay the min. payment, which is below the interest only rate (negative amortization), so your loan balance goes up if you make this payment. The 2nd option is an interest only payment (no amortization). The 3rd and 4th options are 15 or 30 year amortizing payments, which are fully amortizing. Usually your min. payment will stay the same for the first 12 months and adjusts annually there after.

Having 4 payment options a month can be nice, plus the minimum payment may be so attractive you end up opting to buy the bigger, more expensive house. These loans were designed for people who have variable income from month to month (i.e. sales person, small business owner, etc.). For example, one month you didn’t do good selling luggage and you opted to make the minimum payment which was only $1,500. The next month airline tickets dropped and luggage sales went through the roof so you opted for the 30 year amortizing payment of $3,000.

From what I have read, some people claim these loans were also designed for people who plan on selling their home fast (within a year or two), but I beg to differ. Many Option ARMs I have seen come with a pre-pay penalty, which wouldn’t make sense if you sold soon. You can get ones without pre-pay penalties, but it may cost you a little more in closing costs or in your rate. There are better programs available if your only concern is selling soon (3 or 5 year I/O ARMs just to name a couple).

I’d say nearly 75% of my clients that I refinance OUT of an Option ARM tell me their broker did not tell them all the facts about the loan and they felt tricked. If a broker is trying to talk you into an Option ARM, this should raise a red flag…unless you trust them completely. I would proceed with caution. Make sure they explain everything to you as well as offer you other programs. One thing some brokers “forget” to “remind” you is the interest rate is adjusting monthly. It is called an “Adjustable Rate Mortgage” for a reason. Even though your min. payment stays the same, your interest rate may be rising without you even noticing. Over the last year I have seen mortgage statements from clients where their rates increased monthly for nearly the whole year. Another problem with these programs is the rates are usually higher than the standard ARMs or fixed mortgages. Many times this is because of the margin, which is the rate that is added to the index to determine your interest rate. I have seen margins on the Option ARMS as high as 4.5, so even when the index is low and everyone else is getting good rates, your rate would be around 9.5%. Although I didn’t research the stats, I would assume rates are higher on these mortgages because borrowers tend to default more on these programs because of the negative amortization and adjusting rates. Also note, the lender will only let you pay the minimum option for a certain amount of time, otherwise you’d be digging too great of a hole in built up principle and interest.

A big problem is when you pay the min. payment your loan balance increases (neg. am.). I have seen cases where people made the min. payment for several months and before they knew it they were upside down in their new home because the value of their home depreciated, while their loan balance increased. This is obviously not a good scenario.

Don’t get me wrong these programs may be a good choice for certain people, but be VERY CAREFUL if you are thinking about one for yourself. I suggest looking into the HYBRID ARM, which is a cousin of the Option ARM. The main difference is you can get the interest rate fixed for a certain number of years, but you still have the payment options.

Many brokers may get upset with me telling you all this stuff, but as you will see, I only want what is best for my clients and that includes only offering them the truth. This is the most deceiving loan out there, and to be honest I do not recommend it to clients unless it fits their situation and they completely understand it. Every client is unique, so I don’t have a particular loan program I offer them or try to push on them…I first listen to what they want/need, and give them options based on their needs. If you have any mortgage related questions, feel free to ask me! Just so you know, we do mortgages in 48 states. My number is 805-540-0866 and my email is Ryan@GoMetroLoan.com

PS - If you are currently in an Option ARM feel free to contact me and I can help you figure out if there is anything better out there that would save you money. This is all free with no obligations…no tricks :)

If you looked at the Trib today, you probably read the article about January's real estate statistics. The article started out saying that January was "typically a slow month for real estate activity". The problem with this statement is that the statistics reported are about the activity in December since it uses Solds. Most homes closing escrow in January went into escrow in December and if they were 45+ day escrows, we're looking at some November activity too.

My statistics use Pending sales for the month as the indicator. The chart showed that activity picked up in January. I'll post February numbers in the next few days so you can see what the Trib will be writing about in May.

According to Trulia.com, these are the SLO County cities that were searched the most for real estate (week ending 2/14):

1. Paso Robles
2. San Luis Obispo (93401)
3. Atascadero
4. Arroyo Grande
5. Templeton
6. Nipomo
7. Pismo Beach
8. San Luis Obispo (93405)
9. Morro Bay
10. Grover Beach

If you're a Poly Parent looking to buy vs. rent, now is a good time to look. This is the time of the year when we see homes going on the market that have been used as student rentals. While there are lots of 2 bedroom homes and condos currently on the market in SLO, some Poly parents look for 3+ bedrooms to help bring in more rental income.

Here's a newer 5 bedroom that went on the market today at $774,900. This one even has a room with a seperate entrance.

See the home here (this link should be active on Tuesday when this MLS search updates the new listings. If not updated yet, it will say "listing not found". )

Congratulations to the Arroyo Grande Eagles girls water polo team for advancing to the CIF Division IV championship game! They travel to Long Beach to play Cabrillo in the championship game on Monday. My daughter was fortunate enough to have played with the AG JV water polo program this year and was moved up to be part of the CIF finals. My wife and I have nothing but praise for the coaches. It has been a wonderful experience for her. I'll be travelling to Long Beach to root for them. Goooooooo Eagles!

I recently purchased a vibration reducing zoom lens for my camera and took some photos of their games and posted them on Imagestation so that the girls and parents could order their own photos. In case you know someone on the team, here are the photos:

http://www.imagestation.com/members/keithbyrd

Top 7 Habits of People With Great Credit Scores

Here's a good article on what you can do to improve your credit scores.

Here's an article from USA Today on how the Internet is impacting the real estate market. In it, they say that the National Association of Realtors, 80% of Buyers used the Internet to help find a home. I'm not sure where they got this figure from as I haven't seen the 2007 research reports yet. Last year, the number was 72%.

Read the article here

I heard a rumour that we may have another grocery store strike. I haven't seen any mention in the local media about it though.

Ryan’s Mortgage Blog:
To go off the report Keith just posted, many lenders lowered their mortgage rates slightly last week based on the slow housing market (nationwide). As I stated in a prior blog, there was talk that the housing market may have bottomed out near the end of last year and some mortgage companies were optimistic. Well, as I also stated, no one has a crystal ball. Here is a quote I saw this morning on cnn.com:

"Last week's release of housing starts for January showed the weakest reading since August 1997, due to the abundance of homes already on the market to purchase," said Frank Nothaft, Freddie Mac vice president and chief economist.

The market is waiting on a few more reports to come out soon, new and existing home sales, and the second estimate of economic growth in the fourth quarter of 2006. I don’t see any drastic changes coming but I will let you know if something comes up. Feel free to contact me at Ryan@GoMetroLoan.com or 805-540-0866.

Here's a summary of the performance of 149 housing markets for 4th quarter of 2006 from CNN/Money. The statistics are from the National Association of Realtors (NAR).

See the report here

The bike tour speeds into SLO tomorrow. I went last year to see the finish. When I got there, I soon found out that I missed the leaders and just saw a few of the ones way back in the pack. I thought I got there early too! It's supposed to be a rainy day but who knows, the weather forecasts these days have been hit and miss, with the most on the "missed" side.

If you go, they make a left turn at the mission onto Monterey and then sprint to the finish (if they haven't changed the course). That is the place I'd recommend watching from.

I'm amazed how many empty flyer boxes I'm seeing on yard signs these days. Surveys say that yard signs are the 3rd most popular way that Buyers found their homes (a Realtor was #1 and the Internet was #2). If someone drove by my home that was for sale, I'd want them to take away something that they would remember it by. When I see a flyer box that is empty, the first thing I think is that the home is not on the market anymore.

An empty flyer box is "anti-marketing". Make sure you find out how the flyer box will be kept filled when you are interviewing agents to list your home. Also, have them show you what their flyers look like. Don't accept black and white printouts. I've also seen agents print out the cryptic listing detail from the MLS listing and call that their flyer. Unfortunately, there are agents out there that are looking to spend as little as possible to market a home and will use the cheapest method for the flyer. An empty flyer box is the cheapest option!

Also, there are some agents who use a yard sign to generate additional revenue by using it to advertise other companies. I've recently seen a yard sign that had signs from a title company and a mortgage company nailed to the post. I doubt the homeowner is getting a portion of the money that these companies are paying the Listing Agent to put their advertisement on their for sale sign.

Before the first of the year I was interviewed by a writer from National Geographic Adventure magazine about San Luis Obispo Real Estate. He was doing a city spotlight on SLO. It's supposed to be out in their March issue so keep an eye open for it!

Ryan’s Blog:
Subprime lending is the news of the week around here. We are seeing more and more late payments and foreclosures. Last year the US foreclosure rate rose 42% from the year 2005. One of the reasons for higher foreclosure rates is subprime lending. Many lenders have approved mortgages for borrowers that they probably shouldn’t have, especially these subprime lenders. These are lenders who take on the non-conforming, hard to qualify borrowers. It is easier than you think to get a loan. With little or no money down and stated income you can have your own home. In many of these cases the borrowers are most likely stretching themselves thin. I'm not trying to stereotype but if you don't have much money to put down, your credit isn't stellar, and you have to state your income, you may not be in the best position to take on an expensive mortgage payment. Many times this can work out and it was a good investment, BUT as I stated before the foreclosure rate is rising.

“Stating” your income means the lender only verifies employment and does not have to look at your tax returns or bank statements (in most scenarios), they go off of what you “state” you make. So a warehouse employee can “state” he makes x amount of dollars, which he may or may not...that is up to the lender to decide. Let's say he doesn’t make as much as he stated and he is drowning in credit card debt. Well, because of his subprime status he received a horrendous rate or a horrible negative amortizing mortgage. Now he can’t pay his mortgage, nor can he refinance because his credit score continues to drop and he has no more equity. I think you get the picture.

What I suggest you do no matter what your status is, is to talk with a mortgage broker and have them analyze your Debt to Income ratio and figure out what you can actually afford. They can also explain what programs would best fit your situation. Another reason for foreclosures is because borrowers didn’t actually know what kind of loan their broker got them in until they started paying the bill and realized it was way more than they expected. The best scenario would be to figure out why you are in sub-prime status and how you can get out of it, and until then, wait to buy the house, or opt for a cheaper one. As always, if you have any questions or comments, please contact me at Ryan@GoMetroLoan.com or 805-540-0866.

If you were in downtown SLO after 2 pm today, you probably saw the Lindsay Lohan movie being filmed. The scene is the celebration after winning the football game (which they filmed at SLO high last night).

I know of 2 other films that featured areas of SLO County. The upcoming Pirates of the Carribean was filmed at the dunes but I doubt the area will be very recognizable. I'm talking about movies where you'll see central coast landmarks.

The first movie is Personal Best. If I remember, they filmed it around 1981. They filmed at a home on Grove Street in SLO, Morro Bay High, Montana De Oro dunes, and downtown SLO. I saw them film one scene with the 2 main characters walking out of Fremont theatre and walking down Monterey Street. I can't remember if that scene made it into the movie. One scene that was in the movie was one shot at the old Cigar Factory (downstairs of course).

I rarely hear anyone that remembers the next movie, California Dreaming. If you want to see what Avila Beach used to look like, watch this movie. They filmed it on Front Street at that house that used to have all the paintings sitting outside, next to the motel. One of the stars was the guy that was in that bicycle movie, Breaking Away.

I'm not sure what this says about our area but ABC will be interviewing families this Saturday at the Santa Maria mall for that Nanny show with the out-of-control kids. If you're interested it's from 12-3 pm.

I just saw an ad on KSBY from Centex Homes saying they were lowering the price up to $100,000 on some "limited" number of homes that close escrow by March 21st. I went to the website they advertised and after some time, found the page for this promotion. This page is promoting an event they had last weekend so don't know how up to date the Sold info is.

Property Management owner arrested

An update on the post a few days ago about Lighthouse Property Management. They arrested the owner, Bonnie Tullos, today for embezzlement. If you are one of the unlucky ones that lost money, there is a website that has the contact info for the Grover Beach detective to call.

www.BewareofBonnie.com

Wow, Aerosmith is going to play on the opening day of the Mid State Fair this year (July 25th).

Other performers announced:

Main stage:
Martina McBride - 7/31
Phil Vassar - 8/4

Free stage:
Joan Jett and the Blackhearts - 7/25
Colin Raye 7/31

Beware of forms on real estate websites!

If you search the Internet for real estate you'll probably find a lot of websites that aren't owned by local Realtors. There are plenty of sites that are there for one thing... to collect your personal information. These are lead generating companies who will then sell your personal info to one or more real estate agents. These agents pay for your contact information and you become a Sales Lead. You don't know if the agents are Realtors as they'll sell leads to whomever will pay for them. Unfortunately, these lead generation companies are better in coming up in Google and other search engines than the majority of local Realtor websites so you are bound to visit more of these as you search. The challenge is knowing when to give your information and to what site.

One of the most successful lead generating websites is from HouseValues. They advertise to find the value of your home and then sell your info to an agent for about $100 a lead. They require a one-year contract from the agents which averages around $6000 a year. Housevalues went public, made the founders some money, but their stock has recently tanked. Their major problem was that they charged Realtors for leads that turned out to be bogus (like from Mickey Mouse). The majority of agents didn't renew their contracts. If you Google "housevalues complaints" you can see more things that people didn't like about them. HouseValues also has a another site to gather Buyer leads called JustListed.com.

Realestate.com is another lead generating site owned by Lending Tree. They differ from HouseValues in that RealEstate.com will sell a person's information to up to THREE agents. So now you have 3 people calling you trying to see who the best salesperson is that can "work the lead' the best.

There are plenty of smaller lead generation companies. There are many variations of the WhatIsMyHomeWorth.com sites. CraigsList is also becoming a place where you need to watch yourself when visiting. Check this CraigsList entry that's in San Jose. It supposedly advertises a property that's way below the market price but when you click on it, you get a form for a Just Listed service and they sell your information (they even say so in their Privacy Policy).

http://sfbay.craigslist.org/sby/rfs/276144519.html

I heard this week that the Department of Real Estate (DRE) is swamped with agent complaints because of the number of new agents that have received their licneses in the past few years. So we'll probably see more companies looking to mislead people to get their contact info since the DRE is too busy to followup on all complaints. Advertising a Bogus property surely isn't something that the DRE allows. In fact, if a licenses agent advertises a property, they must identify themselves as an agent and list the Brokerages name. If you look at the SLO Craigslist, you'll see many postings from agents that violate this DRE law.

So be careful on sites offering you information but putting forms in front of that info. Also, don't fill out a form on a real estate site where you don't know where your info is going!

I added Just Sold reports from January 1-February 7. They are in PDF format.

See the Just Sold reports here

I just heard on a local TV station (KCOY 12) that the Harlem Globetrotters are coming to the Central Coast. When I searched around I found that they will be at UC Santa Barbara next Thursday (the 15th). Is Santa Barbara really considered to be on the Central Coast??

Speaking of Santa Barbara, for those of you that are new to the SLO area I'd thought I'd mention that Highway 154 over San Marco Pass can cut 15-20 minutes off the travel time to Santa Barbara vs. taking Highway 101 all the way. It's a 2 lane road (with some passing lanes) so if you are looking for a relazing ride, you'd be better off staying on 101. If you take 154, Michael Jackson's Neverland is off a street on the left not to far after you get on 154.

I received a nice email from the PR department at Zillow today. They sent me the data they compiled for SLO County using their "Zestimates". I graphed the historical median Zestimates over the last 10 years and also included a chart that compared the Zestimates between the 3rd and 4th quarter of 2006.

You can find the graphs and charts here

Ryan’s Blog:
As you've probably heard, the Fed kept rates the same. Since then, we have seen a slight decline in rates, which is great. For “A-paper” or “good borrowers”, 30-year fixed rates are around 6%, give or take 1/8-1/4% based on your situation. In the future I will explain what a “good borrower” consists of, but in the mean time if you want to know, feel free to send me an email. One of the best deals out there right now is a 7-year ARM (Adjustable Rate Mortgage). Right now the 7-year ARM (fixed for first 7, then adjusting after) has a lower rate than the 5-year ARM (fixed for first 5, than adjusting after) at no additional cost. Right now these rates are around 5.75%, give or take 1/8-1/4% based on your situation. If you have any mortgage related questions feel free to contact me at ryan@GoMetroLoan.com or 805-540-0866 (direct line).

The Money Magazine article sure has brought out some discussions and stories. Here's one that raises my blood pressure...

A listing agent was contacted by a Buyers agent saying they had a client interested in looking at their million dollar listing. The Buyers agent told that listing agent that they would not "push the home" unless the seller raised the amount of commission they would receive by 33%.

I would love to call of up these Buyers and tell them they have a really, really, really BAD agent representing them but I'd put my licence in jeopardy if I did. This agent is looking out for themselves, not their clients. I feel embarrassed for the Realtor industry when I hear stuff like this.

People ask me why do I offer so much information on my website as I'm giving away a service that Realtors get compensated for. I look at it differently. Yes, offering information is part of a Realtors service and before the Internet, Buyers and Sellers had to rely solely on their Realtor for the info that they can get through SloCountyHomes.com today. Some Realtors (like the BAD agent above) would restrict the information that was given to a Buyer so they could steer the Buyer to the home that made them the most money, which is what the Money Magazine article is all about. I look at my website as if I was a Buyer. I put information on my website that I would want to have access to when I was looking to buy a home on the Central Coast. I provide this information for Buyers during their research phase so they can become more educated on the market and available homes. If I was going to execute a million dollar transaction, I would want to be as knowlegeable as I could be. There are things that you can't get from an Internet site which is why you need the assistance of a professional Realtor. Things like knowing the history of a neighborhood or getting a good home inspector that has inspected other homes in that subdivision are very valuable pieces of info.

While my website is able to help with the research phase, a Buyer is at risk in picking a Realtor to help them the rest of the way. They may end up with the really Bad agent from the above story. While the Buyer wouldn't have to depend on that agent to tell them about properties on the market since they can see them on SloCountyHomes.com, there are many important services that they will still need from a local Realtor.

So, how can you pick a Realtor that is one of the Good ones? Well, you won't find any credible Realtor giving you a list of the bad ones since the Realtor Code of Ethics prohibits us from giving this information but if you're in the business, you know who the good Realtors are. Stay tuned as I believe I have the solution and will be annoucing it soon....

Here is a great article ranking San Luis Obispo in the top 10! I truly feel San Luis Obispo is one of the top places to live anywhere in the World. The article is a couple months old, but I just came across it.

Here's a post from a Realtor message board about the Money Magazine article. Thought I'd give you another Realtors opinion.

"I guess the day I start doing business in this manner, I will also start charging a flat fee per house we look at, and maybe even a charge per listing I send to the buyer. Of course each time I have to redo the contract, change an addendum or heaven forbid talk to the client I will have to charge for that as well. Unfortunately as we all know so well the public perception of realtors is not great, and of course we are all drowning in all that money we are making. A couple of things I have found to be helpful- I explain that the commission that is paid on the sale of a house, actually pays 4 people (in my area at least- not that many teams). I also point out that as independent contractors we lack many of the "normal benefits" ie 401ks, health insurance as well as paying on average 45 cents out of every dollar for taxes. Perhaps this author would like to elaborate as to how much he is paid per word, and we can decide if his knowledge and experience is worth that. MAybe a poll taken after each article is published can establish his "value". "

Following is a link to a Money Magazine article on how a buyer should deal with a Realtor. Read the article first and then read my comments.

Is your realtor on your side? (Money Magazine)

The author suggests a Buyer to choose one of three techniques-
1) Go it alone
2) Set the fee
3) Put it in dollars

With the "Go it alone" technique, you call the listing agents to have you show the properties. Then offer on the one you want and ask that 3% (one half of the Realtor's double-ended commission) be taken off the price.

Ok, first this assumes the total commission is 6%, which as you know could be higher or lower. The article also assumes that the Listing Agent is getting the same % as they are offering the Buyers Agent. This isn't always true. A Broker may be keeping a higher percentage for themselves and offering the Buyers Agent less than half which is totally legal. The only amount that is listed in the MLS listing is the Buyer's Agent commission. The Listing Agent does NOT have to disclose how much the seller is paying them to anyone. So, if a home is listed in the MLS with 2% to the Buyers Agent, the Lisiting Agent may get 2%, or 3%, or 4%, or whatever. Note: If you list a home, make sure the percentage split for Buyer and Listing Agent is written on the Listing Agreement (there is a space for it on the form!). A Seller should know (and agree to) the amount given to the Buyers Agent.

Apart from not knowing how much commission the Listing Agent will get, this technique has you having the same Realtor as the Seller. This is not "Go it alone", it's "Get the agent that is representing the seller to represent you too". I've blogged about dual representation before. I can't think of any benefits in having the same Realtor represent the Buyer and Seller. It's TWICE the liability for the Realtor so why would they take the liability but get no fee. If you get a good Realtor to represent you and ONLY you, they'll probably be able to negotiate a better deal than trying to get the Realtor to take a reduced commission.

A Realtor that is working for both sides MUST be neutral or it's unethical. A neutral Realtor is not who I want negotiating and managing a million dollar transaction!

I'll also mention a risk in getting multiple agents to show you properties. Say you call the Listing Agent but they aren't available. You talk to another agent in their office and they show you the property. Later, you make an offer on that property using another agent you found. In this case, the agent in the Listing Agent's office that first showed you the home will claim the commission that your agent would have received. Yikes, now you have a total of 3 agents in the transaction with 2 of them in a commission dispute. But, that's the way it works in real estate with something called procuring cause. That's not a risk that I would want to take. I don't see either the Buyer or Seller benefiting if the agent's focus is on commission and not the transaction.

2) Set the fee
This technique suggests to set a percentage fee that the Buyer Brokerage/Agent will get. Some Brokers already do this but it's for a different reason than the magazine article uses. A Buyers Broker may ask for 3% to represent you. If the home they buy offers 3%, the Buyer doesn't pay anything to the Buyers Broker. But, if the home only offers 2%, the Buyer pays the 1% to bring it up to the 3%. This type of agreement also motivates Realtors to present For Sale By Owner (FSBO) homes to Buyers. They Buyer usually pays close to the full 3% to the Buyers agent. When Buyers realize they may need to come up with thousands of dollars a close to pay their Realtor, many don't opt for this type of Buyer-Broker agreement.

If you think that a bonus may effect the homes that your Realtor tells you about, I would either 1) Get another Realtor, or 2) Ask your agent what they will get if they sell this home, including any bonuses. Every buyer should know this. If it's a concern of yours, discuss it with your Realtor and then move forward with your offer. Issue closed!

3) Put it in dollars
This one suggests that you set a dollar amount that the Buyers Broker will be paid (by the Seller). The article doesn't bring up that the Buyer will pay the difference if the amount a Seller pays is lower than the agreed upon amount.

This article tries to suggest Realtors will push homes with bonuses. But, some of the techniques suggest that the Buyer take a portion of the commission. I don't think that you'll find a Good Realtor would offer a reduced set of services for a lower commission. If this is something that interests you, there are a few discount brokerages in the area that offer Buyer rebates. I think that would be smoother than telling your Realtor that you want part of their commission. I guess I could see that talk happening before the Realtor did any work for the Buyer but it would be a disaster if the Buyer waited until they were going to make an offer. "By the way, we think you shouldn't be paid so much so we want a part of your commission". I wouldn't want my Realtor hearing that right before they went to bat for me in a negotiation!

Over the past several years, I've been looking at the commissions that Realtors make and trying to justify it. Knowing what I do now about the real estate industry and the politics of Central Coast real estate, I would look for a Good Realtor to represent me. Someone with local knowledge, local contacts, experienced, and is a good negotiator. Although Realtors are not lawyers, a Good Realtor understands the contracts and knows what disclosures are needed to help keep you out of court! This is the type of service that I would want and wouldn't be looking to "cheapen" it by taking commission away from the Buyers agent.

I updated the inventory reports for the individual cities. The inventory reports now break down the Million $$+ homes in multiple price ranges. If you're tracking the million dollar inventory, this will allow you to compare activity in the million and multi-million dollar price ranges.

In addition, all the Sold reports for the cities have been updated with the second half of 2006 numbers.

To make it easier to find the statistics for individual cities, I also changed the layout of the statistics links on the home page and on the slowatch.com page.

Ok, I've now been running the new Microsoft Vista operating system for a few days. My recommendation...WAIT! I've run into numerous problems with both software and hardware. Some vendors, like HP, say they will have new printer drivers for Vista available in January 2007. Well, it's February and they don't have it yet. Printing flyers today took almost 2 hours when it used to take about 10 minutes, plus it wouldn't print double sided because the printer driver doesn't support it.

What really is bad is that it takes about 7-10 minutes to boot. My XP system was taking a couple minutes to boot which is why I thought I'd try upgrading to Vista. I'm not sure if Vista is better on new systems that don't have all the programs that I have on my computer but I'd wait to buy a new computer until Microsoft comes out with Service Pack 1, plus give time for the software and hardware vendors to fix their incompatibilities.

As soon as I have a day to work on it, I plan to reformat my harddrive and install XP from scratch (you can't deinstall Vista if you upgrade from XP). I usually buy a new computer every other year but will wait until the end of this year before I buy anything with Vista on it. Dell doesn't give you an option to have XP installed instead.

According to today's Tribune, the owner of Lighthouse Property Management (and former co-owner of SeaWave Property Mgmt) is AWOL. They left with over $50,000 of money owed to vaction rental owners and the city of Pismo. No one has been able to contact the business owner.

If you made reservations for this summer through this business, I'd be looking for different reservations.

Central Coast Residential MLS Statistics - January 2007

New Listings - 666
Pending - 475
Price changes - 714
Back on market - 362
Contingent - 47
Sold - 269
Expireds- 445
Inactive/cancellations- 256

I updated the graph on www.SloWatch.com with the January numbers.

Someone forwarded me an email they received from another agent stating that January results pointed to a "hot" market. While Pending have increased from December, we still are at a very low number of Pending Sales as compared to recent years. The number of new listings far exceeded Pendings for January, adding to inventory. We'll need to wait and see if the gap between New Listings and Pendings widens or stays constant in future months.

I'll be updating the individual city inventory numbers later. That should provide you a better look at the activity in different cities and price ranges.

Lindsay Lohan just cancelled plans for a future movie so she can take a break after her recent rehab. But, it's not the movie planned to film in SLO. Hopefully they won't cancel this one so the extras have a chance of experiencing a bit of Hollywood in our own backyard.

I've been in the Bay Area for the past few days and decided to go to Fry's Electronics for my geek-fix (as I always do). I purchased the new Windows Vista operating system and started the upgrade at 1 AM this morning. It's now 12 hours later and I'm staring at a message saying "Completing upgrade (35%)". I'm having to use my laptop as I never expected the upgrade to take more than a few hours. At this rate, it may be upgraded by the weekend.