Real Estate

Nicoles Cage Loses Home On Courthouse Steps

The Bel-Air mansion, at 11,817 square feet, has a central tower, custom wine cellar, 35-seat home theater, six bedrooms, nine bathrooms and an Olympic-size pool.

How does such a talented actor such as Nicolas Cage wind up losing his beautiful home.  Nicolas blames it on his manger Samuel J. Levin who he is suing. Nicolas accused Levin of having “lined his pockets with several million dollars in business management fees while leading Cage down a path toward financial ruin”

Levin filed his own counter suit, describing Cage as setting off “on a spending binge of epic proportions” and states that by July 2008 Cage owned “15 palatial homes around the world,” four yachts, an island in the Bahamas, a private Gulfstream jet and millions in art and jewelry.

It was up for auction Wednesday morning — along with a handful of other foreclosed properties — on the steps of the county courthouse in Pomona, Calif.

After a rapid-fire spiel by the auctioneer, the bidding was opened at $10.4 million, far less than the $35 million that Cage had tried unsuccessfully to sell the house for.

To put it mildly, the house, though impressive, was not to everyone’s taste. Real estate agent Bret Parsons, who toured it most recently in October, described the interiors as “fascinating and bizarre.”

“The design was ‘frat house bordello,’ ” Parsons said. “There must have been 300 comic book covers elaborately framed and hanging on the walls.”

Model train sets on raised tracks a couple of feet below the ceiling circled the inside of the breakfast room and two bedrooms.

There were also no takers in the courthouse sale, and in less than a minute the auction closed, with ownership reverting to the foreclosing lender — just one of six holding a total of $18 million in loans on the property.

This is not the only property lost to foreclosure by Cage, who was ranked last year by Forbes as the fifth-highest paid actor in the U.S. with earnings of $40 million.

The Bel-Air manse, at 11,817 square feet, has a central tower, custom wine cellar, 35-seat home theater, six bedrooms, nine bathrooms and an Olympic-size pool.

Borrowing against it included a first mortgage of $425,000 in 2005 and, in 2007, a second of $10.35 million and a third of $5.5 million.

The fourth, fifth and sixth loans, totaling $2.1 million, all came in 2008.

The courthouse event practically eliminated the lenders’ chances to collect on the last four loans because they’re no longer secured by the real estate.

” It was once owned by singer Dean Martin, who in 1974 commissioned Colcord to add a 2,500-square-foot entertainment complex. When another singer, Tom Jones, owned it, a $60,000 wall was erected around the property to keep adoring fans at bay.

Parsons blames the pricing for the fact that Cage couldn’t unload the house, even after it came down to $17.5 million. But the real estate agent also noted that the lot was squeezed with the addition of the entertainment complex. And, he said, there was no room left for a tennis court.

“People at that level want all the requisite amenities,” he said.

Still, he thinks it’s a rare find for the right buyer. “It is a superb home,” he said. “The floor plan, craftsmanship, location. It’s a great house.”

So it seems like Cage followed in the footsteps of many people who used their home for a piggy bank.  The prices on homes appreciated so fast before the bubble burst and money was so easy to get, that the temptation to borrow on a home and buy new cars and other toys was too much for some people.

Source: stlToday

John J. O’Dell
Real Estate Broker
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Real Estate

What Do Buyers Want in a Home? Survey Offers Clues


A recent study of more than 22,000 homeowners who bought their homes within the last nine years found that current homeowners plan to be “more practical” in their next purchase, focusing on livable space rather than unnecessary upgrades.

MAKING SENSE OF THE STORY FOR CONSUMERS

  • Many of the luxury amenities once considered necessities among home buyers, such as community clubhouses, dog parks, golf courses, and 24-hour security, are no longer priorities, according to the survey.  Repeat buyers also said a swimming pool isn’t a must, but a children’s playground with walking paths are essential.
  • One of the takeaways from the survey, according to an architect firm, is that buyers nowadays should rethink space.  For example, buyers should look for kitchen cabinets that go all the way to the ceiling for added space and efficiency.  They also should pass on high-priced focal stairways, opting instead of steps that are tucked away and out of sight.
  • Buyers also should be on the lookout for dead space.  If the dining room or media room is eliminated, at least some of the square footage should be dedicated to secondary bedrooms.  The once-standard 10-by-10 bedroom no longer is acceptable to most buyers.
  • The survey also found that many buyers have transitioned toward green features, such as high-efficiency appliances, insulation, and windows that are not large areas of glass.  However, many buyers did not report the use of recycled materials as a necessity.
  • Other findings from the survey show that large kitchens, with islands, are desirable, as are main-floor master bedrooms, and two-car garages.

To read the full story, please click here.

John J. O’Dell
Real Estate Broker
Do you have a question about real estate
Call me today 530-263-1091

Bits & Pieces

New IPad Smashed With a Baseball Bat

I don’t understand the purpose of this, since an IPad costs $500. However, maybe they want to become famous, since this video has had over 1,300,000 views.

Well, they managed to destroy a perfectly good Apple IPad in a few minutes. What do you think?

John J. O’Dell
Real Estate Broker
Need help with real estate
Call me at 530-263-1091

Business

Now That Tax Season is Here, Be Careful of Companies Offering Tax Relief

As tax day approaches, Attorney General Edmund G. Brown Jr. today urged Californians to avoid “phony tax-relief companies” that charge taxpayers up to $3,000 in up-front fees to reduce or eliminate back taxes owed to the Internal Revenue Service (IRS), but provide no actual relief.

“Every tax season, phony tax-relief companies emerge to exploit cash-strapped Californians who owe back taxes to the IRS,” Brown said. “Taxpayers should be on high alert, avoid paying up-front fees to these companies and never ignore notices from the IRS.”

Throughout the tax season, tax-relief companies advertise on the radio, television and internet promising help for taxpayers in distress. For an up-front fee ranging from $2,000 to $3,000, these companies claim to reduce or even eliminate tax debts to the IRS and stop back-tax collection.

However, soon after collecting up-front fees, these companies typically inform taxpayers that they do not qualify for a relief program or that the IRS has rejected their attempt to reduce or eliminate the back-tax debt. Often these companies never even contact the IRS directly. Rather than reduce or eliminate the amount owed in back taxes to the IRS, these companies increase taxpayers’ debt burden.

Brown offered the following tips to taxpayers who owe back taxes and are having trouble paying:

– Don’t ignore notices from the IRS. Call and ask about collection alternatives, as you may be eligible for a monthly payment plan. In some cases, it is possible to pay less than the total amount you owe.
– Don’t trust promises from companies that imply that you are “qualified” or “eligible” for an IRS program to resolve your back-tax debt. Only the IRS can make that determination.
– Don’t pay up-front or advance fees for tax-debt relief services.

Continue reading Now That Tax Season is Here, Be Careful of Companies Offering Tax Relief →

Real Estate

George Stephanopoulos’ Home Sells For $5.45 Million

George Stephanopoulos’s home in Washington’s Georgetown neighborhood, just listed in January, has sold for $5.45 million, about 14% less than the $6.35 million asking price.

The new anchor for ABC’s “Good Morning America” bought the five-bedroom home in 2006 with his wife, actress Alexandra Wentworth, for $5.2 million. The four-story brick home of roughly 5,600 square feet has a terrace and a private elevator.

Prior to his move succeeding Diane Sawyer, Mr. Stephanopoulos, 49 years old, helmed the ABC Sunday morning show “This Week” and, before that, advised President Bill Clinton. Ms. Wentworth’s films include the recent “It’s Complicated.”

The couple recently bought a 4,500-square-foot shingled home in the resort town of East Hampton, N.Y., for $3.5 million. He declined to comment. Giorgio Furioso of TTR Sotheby’s International Realty represented the couple.

Source: Wall Street Journal

John J. O’Dell
Real Estate Broker
Looking for real estate in Nevada County?
Search  at JohnOdellRealty.com

Real Estate

Help for Short Sales Start Today

April 5, 2010

A short sale, also known as a pre-foreclosure sale, is a solution to avoid foreclosure in which the bank allows a person (the homeowner or a third-party investor) to satisfy a loan by paying off a percentage of the loan amount

The Federal government has a program called Home Affordable Foreclosure Alternatives Program or HAFA

Starting today

  • Complements HAMP by providing a viable alternative for borrowers (the current homeowners) who are HAMP eligible but nevertheless unable to keep their home.
  • Uses borrower financial and hardship information already collected in connection with consideration of a loan modification.
  • Allows borrowers to receive pre-approved short sales terms before listing the property (including the minimum acceptable net proceeds).
  • Requires borrowers to be fully released from future liability for the first mortgage debt (no cash contribution, promissory note, or deficiency judgment is allowed).
  • Uses standard processes, documents, and timeframes/deadlines.
  • Provides the following financial incentives:
    • $3,000 for borrower relocation assistance;
    • $1,500 for servicers to cover administrative and processing costs;
    • Up to $2,000 for investors who allow a total of up to $6,000 in short sale proceeds to be distributed to subordinate lien holders, on a one-for-three matching basis.
  • Requires all servicers participating in HAMP to implement HAFA in accordance with their own written policy, consistent with investor guidelines. The policy may include factors such as the severity of the potential loss, local markets, timing of pending foreclosure actions, and borrower motivation and cooperation.

Further Requirements:

— Sellers must be unqualified for a loan modification under the Home Affordable Mortgage Program or be unable to afford the modification.

— The bank will set an acceptable value of the home upfront, based on an appraisal or broker’s price opinion.

— Lenders must approve or deny a purchase offer within 10 days of it being submitted.

— Once the bank approves a home for short sale, sellers may stop paying all related mortgage payments, and unpaid mortgage debt will be forgiven.

— These mortgage payments will not be shown as late on credit reports.

John J. O’Dell
Real Estate Broker
Looking for short sales or foreclosures
Go to JohnOdellRealty.com

Real Estate

Big Houses For the Comman Man

The upper price homes are coming down in price. Like the four bedroom villa with marble imported from Italy, a winery and a fruit orchard on 14 acres reduced in price from $4 million to $3.2 million.  Now this is a deal, since the seller states that $4 million is the amount of money he spent for the land and construction. So, if you happen to have $3.2 million in your wallet and you just need to spend it, here’s the deal for you.

This is a great video from the Wall Street Journal

Read the full story at Wall Street Journal Online

John J. O’Dell
Real Estate Broker
Searching for real estate in Nevada County?
Searching for short sales or foreclosures?
Find it on JohnOdellRealty.com

animals, Local Writers & Contributors

Pets, Allergies, and You

by Lisa J. Lehr

It’s spring!

While most people are busy doing little happy dances about the longer days and warmer, sunnier weather, allergy sufferers often have a different reaction: dread.

For people with year-round allergies to pets, however, spring just adds insult to injury. Tragically, allergies are among the most common reasons people give up their pets, and the misguided fear that a child may develop allergies prevents some people from having pets in the first place.

The good news is that this is all totally unnecessary. Some education about pets, people, and allergies will save a lot of pets from the animal shelter, and a lot of kids from the deprivation of growing up without pets.

Recently, numerous studies have found that kids who grow up in a home with dogs and cats actually have a significantly lower risk of developing common indoor and outdoor allergies. This means not only to cats and dogs, but also to dust mites, grass, ragweed, and Alternaria, a fungus found in the air.

Many studies have found lower rates of allergies and asthma among children who grew up on a farm and were around lots of animals, as well as among people who have continually owned a pet as compared to new pet owners or to people who had pets earlier in life but not currently.

In the February 2006 issue of Reader’s Digest, “Scratch Those Allergies” (page 208), with advice from allergist Clifford Bassett, MD gives the following suggestions:

–Ban pets from the bedroom, and get a HEPA air purifier.

–No pet is completely hypoallergenic, but those that shed more trigger more symptoms.

–Vacuum and dust often to eliminate sneeze-inducing dander and fur.

–Bathe and brush your pet often, especially if he sheds. If your symptoms are severe, have someone else do it for you.

I’d like to add a few points:

Continue reading Pets, Allergies, and You →

Real Estate

Uncharted Waters for Home Mortgage Interest Rates

Just as we are getting some signs of stabilization in the housing market, we are charting into unknown waters starting next week. The Federal Reserve will end its purchase of mortgage securities this week. This could mean that mortgage rates will rise and put a damper on home sales.

However, it’s expected that private investors will step in to buy mortgage securities. If they do, analysts expect they will rise less than a quarter of a percentage point in the next three months. That gain would increase a monthly payment on a $250,000 mortgage by $30.

In a statement released March 12, Freddie Mac predicted that mortgage rates would average 5.2 percent on a 30-year fixed loan after the Fed stops buying. Fannie Mae put the rate slightly higher at 5.13 percent.

We’ll have to see what happens in the next few weeks as we go through this transition of selling mortgage securities and how it will affect mortgage interest rates.

John J. O’Dell
Real Estate Broker
Looking for short sales and foreclosures?
Go to JohnOdellRealty.com
Call 530-263-1091