Short Sale Benefits

Here are a few benefits for doing a short sale that may not have occurred to you:
You are in control of the sale, not the bank. You may sleep better at night knowing who is buying your home.
You will spare yourself the social stigma of the “F” word, foreclosure. Contrary to popular belief, you can be current on your payments and still effect a short sale. Your home sale will be handled like any other home sale.

Buying Again After a Short Sale
If your payments have never fallen behind 30 days late and the lender does not require that you pay back the loan, Fannie Mae guidelines may allow you to buy another home immediately. Finding a lender who will fund that kind of loan is very difficult. If you are current on your mortgage, you can qualify for an FHA loan immediately as well, but lender requirements can be weird such as you have to move more than 600 miles away.

If your payments are in arrears yet a short sale is granted by your lender, you may qualify to buy another home with a Fannie-Mae backed mortgage within two years, regardless of whether the home is your primary residence. The wait for FHA is 3 years.

Buying Again After a Foreclosure
With certain restrictions, you may be eligible to buy another home in 5 years if the home was your primary residence. Without restrictions, the wait is 7 years.

If you are an investor and do not occupy the home, the wait to buy with a Fannie Mae insured loan is 7 years.

Affects on Credit After a Short Sale
A short sale may be considered to be a derogatory mark on your credit even though credit bureaus do not show the word “short sale” on your credit report. It may say “paid in full for less than agreed” or “settled for less,” among other categories. Some clients have reported negative FICO score drops from 50 points to 130 points.

Major point drops are typically due to being in default, meaning you have fallen behind on your payments.

Affects on Credit After a Foreclosure
Depending on your credit history and other guidlines, Myfico.com shows 2 examples in which a credit score could fall 105 points to 160 points after a foreclosure. Generally, a foreclosure will remain on your credit report in the tradelines section for 7 years.

Credit Reports After a Short Sale
All lenders report short sales differently, with many reporting “paid in full for less than agreed,” and some report the short sale as a charge off. Negative credit, however, stays on your report for 7 years.

Credit Reports After a Foreclosure
If a prospective employer runs a credit check on you, your job application may be denied if you have a foreclosure on your record.

Deficiency Judgments After a Short Sale
Judgments are often negotiated between the seller and the short sale bank. In some cases, such as California, if the home is your personal residence and was financed through purchase money, there is no deficiency judgment.

Deficiency Judgments After a Foreclosure
Banks are generally unwilling to negotiate deficiency judgments with the homeowner after a foreclosure. In California, for example, according to the California Association of REALTORS, a deficiency judgment may be filed regarding a hard-money loan if the lender forecloses under a judicial foreclosure versus a trustee sale or if the second loan is a hard money loan and the sale takes place as a trustee’s sale.

Loan Application Questions After a Short Sale
Loan applications do not ask questions about a short sale. You may report that you sold your home.

Loan Application Questions After a Foreclosure
You are required to answer the question: “Have you ever had a property foreclosed upon or given a deed-in-lieu thereof in the past 7 years.” If the bank sees you have had a foreclosure, your loan most likely will be denied. If you lie, you may be subject to investigation by the FBI for mortgage fraud.

Length of Time to Move After a Short Sale
If you’ve had a foreclosure notice filed, you may be able to postpone that action while the bank considers your short sale. The wait for short sale approval can be from 2 to 3 months, or longer.

Length of Time to Move After a Foreclosure
Unless prior arrangements have been made, the bank may want you to immediately vacate the property and can commence eviction proceedings.

Taxation After a Short Sale
A personal residence is exempt from mortgage debt relief until the end of 2012 on a federal level. Some states will still tax you unless you qualify for an exemption. An investor is not exempt from mortgage debt relief, subject to certain conditions.

Taxation After a Foreclosure
Same as with a short sale. Except some lenders immediately send out 1099s, even if the owner is exempt.

In closing, always obtain legal and tax advice before making a decision between a short sale or a foreclosure.
By Elizabeth Weintraub

A short sale in real estate is not always a pleasant transaction.

There are many ways to lose a home but signing away ownership in a manner that destroys credit, embarrasses the family and strips an owner of dignity is one of the hardest. For owners who can no longer afford to keep mortgage payments current, there are alternatives to bankruptcy or foreclosure proceedings. One of those options is called a “short sale.”

More than half of my sales in Los Angeles over the past few years are short sales.

When lenders agree to do a short sale in real estate, it means the lender is accepting less than the total amount due. Not all lenders will accept short sales or discounted payoffs, especially if it would make more financial sense to foreclose; moreover, not all sellers nor all properties qualify for short sales.

If you are considering buying a short sale, there could be drawbacks. For your protection, I suggest that all borrowers: Obtain legal advice from a competent real estate lawyer. I am a licensed real estate attorney and can advise you as to the pros and cons of this type of sale. I would also suggest that you call an accountant to discuss short sale tax ramifications.

Except for certain conditions pursuant to the Mortgage Forgiveness Debt Relief Act of 2007, be aware the I.R.S. could consider debt forgiveness as income, and there is no guarantee that a lender who accepts a short sale will not legally pursue a borrower for the difference between the amount owed and the amount paid. When making a decision as to whether to proceed with the short sale it is important to know whether the lender will release the seller from all claims. In all of the short sales that I have brokered the lender has waived their right to the deficiency with a release of all claims. This is critical and one of, if not the biggest benefits of a short sale.

Process

Although all lenders have varying requirements and may demand that a borrower submit a wide array of documentation, the following steps will give you a pretty good idea of what to expect.

Call the Lender

You may need to make a half dozen phone calls before you find the person responsible for handling short sales. You do not want to talk to the “real estate short sale” or “work out” department, you want the supervisor’s name, the name of the individual capable of making a decision.

Submit Letter of Authorization

Lenders typically do not want to disclose any of your personal information without written authorization to do so. If you are working with a real estate agent, closing agent, title company or lawyer, you will receive better cooperation if you write a letter to the lender giving the lender permission to talk with those specific interested parties about your loan.

The letter should include the following:

Property Address
Loan Reference Number
Your Name
The Date
Your Agent’s Name & Contact Information
Preliminary Net Sheet/ HUD 1

A HUD 1 is an estimated closing statement that shows the sales price you expect to receive and all the costs of sale, unpaid loan balances, outstanding payments due and late fees, including real estate commissions, if any. Your closing agent or lawyer should be able to prepare this for you, if you do not know how to calculate any of these fees. If the bottom line shows cash to the seller, you will probably not need a short sale.

Hardship Letter

The sadder, the better. This statement of facts describes how you got into this financial bind and makes a plea to the lender to accept less than full payment. Lenders are not inhumane and can understand if you lost your job, were hospitalized or a truck ran over your entire family, but lenders are not particularly empathetic to situations involving dishonesty or criminal behavior.

Proof of Income and Assets

It is best to be truthful and honest about your financial situation and disclose assets. Lenders will want to know if you have savings accounts, money market accounts, stocks or bonds, negotiable instruments, cash or other real estate or anything of tangible value. Lenders are not in the charity business and often require assurance that the debtor cannot pay back any of the debt that it is forgiving.

Copies of Bank Statements

If your bank statements reflect unaccountable deposits, large cash withdrawals or an unusual number of checks, it’s probably a good idea to explain each of those line items to the lender. In addition, the lender might want you to account for each and every deposit so it can determine whether deposits will continue.

Comparative Market Analysis

Sometimes markets decline and property values fall. If this is part of the reason that you cannot sell your home for enough to pay off the lender, this fact should be substantiated for the lender through a comparative market analysis (CMA). Your real estate agent can prepare a CMA for you, which will show prices of similar homes:

Active on the market
Pending sales
Solds from the past six months.
Purchase Agreement & Listing Agreement

When you reach an agreement to sell with a prospective purchaser, the lender will want a copy of the offer, along with a copy of your listing agreement. Be prepared for the lender to renegotiate commissions and to refuse to pay for certain items such as home protection plans or termite inspections.

Now, if everything goes well, the lender will approve your short sale. As part of the negotiation, you might ask that the lender not report adverse credit to the credit reporting agencies, but realize that the lender is under no obligation to accommodate this request. Credit report status is not always negotiable.

Please contact Brad for more info. This article was originally written by Elizabeth Weintraub. I have edited it slightly to reflect my own practice.

May 2011 Roundup
Howdy Redfinnians!

Time for the latest round-up on real estate prices! But first, we want all of you to drop everything and upload your gorgeous photo to your new Redfin profile, so we can welcome you back to our site in style.

We Were Wrong
Now to the numbers! Let’s get this out of the way right off the bat: we were wrong. In February, we wrote that we expected prices to start bucking up in March and April. The March Case-Shiller numbers out Tuesday showed a .8% drop nationwide. But then we were right: a day later the numbers used by the Federal Reserve came out for April showing a .7% increase. Crazy, right? As we wrote last month, after nine months of falling prices, the next six will probably be up and down.

Few Buyers, But Few Sellers Too
It’s a bumpy ride because supply and demand are racing to the bottom. Our website added a million users in the first three months of 2011, then went flat, as buyers began to pull back. But new listings are falling too: bank-owned listings declined 6% this spring, and the regular stuff declined by 14%. Would you sell right now if you didn’t have to? If a pretty house does hit the market in one of the big cities, there’s usually a bidding war.

And when sellers won’t sell and buyers can’t buy, summer sales volume goes down the drain. From March to April, closed transactions declined .8%, and pending sales fell 11.6%. That’s the bad economic news. The good news is that even if prices are up and down, they aren’t going to drop another 9% from May – December, as some have claimed. We think the second dip isn’t going to be like the first one.

And No, We’re Not Lying Scuzballs
But before making our case, let’s remind everyone we’re not lying scuzballs.

When prices were still rising, Redfin went on national TV last June to say that the market would become like a fat man who couldn’t get up. In September, we emailed all of our customers in Seattle to say prices would decline another 10%. Many of our customers changed their minds about buying a home back then; it cost us a lot of money but we’re glad they did. So as John Kerry would say, we were for the double dip before we were against it.

How Do We Get Off the Bandwagon?
Now that the band-wagon is rolling downhill fast, we want off of it. The New York Times front page published a glum report on the Case-Shiller index likening the slump to the Great Depression, the day before the numbers came out. A day later, same newspaper, same reporter, but the headline was now: Bottom May Be Near For Housing Slide.

If you’re getting that here-we-go-again feeling, maybe it’s because you’ve just forgotten how sickening that feeling once was. In the West, check out how steep the drop was from 2007 – 2009:

Now focus on the last two years:

It’s the same story in the East and Midwest. The first dip was a doozy:

The second, not so much, at least not yet:

Now past performance doesn’t predict future results but does this look like the middle of a roller-coaster ride, or the end? Bubbles last longer than you’d think, and so do declines, because of the market’s emotions, what Robert Shiller calls “animal spirits.” So figuring out when greed trumps fear is never an exact science.

The Banks: Bleeding Out Inventory, Not Gushing
However much the market wallows in its misery, the truly catastrophic drops were driven the first time around by banks determined to liquidate assets at any price. There’s still plenty of shadow inventory, but new foreclosures hit a 40-month low.

Why? Foreclosures are now taking an average of 400 days to complete, compared to 151 in 2007, mostly because of load-modification regulations, not the robo-signing scandal. You could build a house, using crude stone tools, in the time it takes a bank to repo one. So most banks are shifting toward short sales, which hold their value a lot better than a foreclosure.

Sure the whole economy is getting scary again and the stock market run ended a month ago; all heck could break loose in employment, government credit and consumer confidence. But when there are reluctant sellers, bidding wars, declining distressed inventory — and mortgage rates just now dropping to 4.55% — we just don’t see what else could drive a steep drop in prices.

Feel free to disagree. We’ve been wrong before and you’ve been right. Just do it on our blog, where we post this whole newsletter for comment. If you write back, I’ll still respond but more slowly.

Have a good June and thanks for your Redfin support!

Best, Glenn
Glenn Kelman | CEO, Redfin

By NICK TIMIRAOS from the Wall Street Journal

Home affordability has returned to pre-housing-bubble levels in a growing number of U.S. markets over the past year, buoyed by several years of sustained price declines, according to data from Moody’s Analytics.

The data track the ratio of median home prices to annual household incomes in 74 housing markets. By that measure, housing affordability at the end of September had returned to or fallen below the average reached between 1989-2003 in 47 of those markets. Most economists believe the housing boom began in 2003.

During the housing boom, lax lending and speculation pushed house-price inflation far beyond the modest rise in household income. Nationally, the ratio of home prices to annual household income reached a peak of 2.3 in late 2005. But by last September, it had fallen to 1.6, well below the historical average of 1.9 between 1989 and 2003.

“Based on incomes, this is as affordable as it gets,” said Mark Zandi, chief economist at Moody’s Analytics. “If you can get a loan, these are pretty good times to buy.”

But the bad news is that those price declines are leaving more borrowers underwater or in homes worth less than the amount owed.

Most economists and housing analysts anticipate another 5% to 10% decline in prices before they reach bottom later this year or early next year. Housing demand remains weak because buyers are skittish about the economy and lending standards are tight.

Markets that now appear to be undervalued include Detroit, Las Vegas, Atlanta, and Phoenix. Even in such markets, high rates of foreclosure and underwater borrowers should keep downward pressure on prices. “They’re undervalued, but they’re going to get even more undervalued,” said Mr. Zandi.

Measuring home prices to income is not the only way economists measure housing affordability. They also examine the relationship between house prices and rents. By the price -to-rent ratio, or the price of a typical home divided by the annual cost of renting that home, prices are fairly valued—or undervalued—in around 20 markets. Nationally, the price-to-rent ratio stood at 14.85 at the end of September, above the 1989-2003 average of 12. The data suggests pockets of the country have further to fall.

Home prices still remain overvalued by both measures in several markets, including Seattle, Charlotte, New York and Portland, Ore.

Based on rents, “it’s still not a slam dunk to buy” in those markets, said Mr. Zandi. He said housing markets appear to be most overvalued in the Pacific Northwest, a region that was among the last to enter the housing downturn. Historical measures also show prices are still high along the Northeast corridor from Baltimore to Boston.

The cost of owning a home looks less affordable based on rents than it does on incomes, in part, because rents also fell throughout 2009 and the first half of 2010. As rents rise, that could tip the scale back in favor of owning in some areas.

Of the 74 markets, Baltimore appears to be the most overvalued housing market. By contrast, prices in Cleveland, the most undervalued market, have returned to 1991 levels based on the price-to-rent ratio.

Historical measures comparing rents and incomes to home prices provide a useful gauge of affordability, but they can be imperfect at measuring how close different markets are to recovering from a bubble. After a severe housing downturn, home prices rarely stop falling once they reach equilibrium level.

Some areas will stay undervalued for years as they deal with a glut of foreclosures and a paucity of demand. Historical trends show that housing could remain undervalued in many markets for six to seven years, according to housing economists at Capital Economics.

“It’s become cheaper to buy than to rent” in Phoenix, said Jon Mirmelli, a real-estate investor in Scottsdale, Ariz., who is renting out foreclosed homes. “But the question is: can you qualify for a loan?”

At the same time, some areas that appear to be overvalued relative to historic norms, such as Washington, D.C., may not completely return to pre-crisis levels thanks to structural changes in the economy that support higher prices.

Despite a warning from the City Attorney’s office that creating a new sign district could open up the city to more legal challenges from billboard companies, today the Planning Commission voted to approve the Wilshire Grand hotel/office project, as well as a new sign district for the AC Martin-designed building.

Following an exhaustive seven-hour meeting on the topic, the Commission approved the project, but rejected the large-scale signage proposed by developer Thomas Properties/Hanjin, instead adopting the recommendations of Planning Department, a proposal that dramatically scaled back the signage. But the Commission nixed the Planning Dept’s suggestion of so-called “architectural lighting,” (non-advertising but LED lights) that would have covered the upper part of the tower. “At this point, I’m not convinced by what I have seen,” said Bill Roschen, President of the Planning Commission, adding later: “This is changing the skyline in LA, and for us to make a decision [on the upper LED lighting] in one day? I am not prepared to do that.”
Commission also voted to consider expanding sign district.>>>

Overall, the Commission repeatedly praised the architecture and landscaping of the project, which drew dozens and dozens of supporters to the hearing, held at Van Nuys City Hall. And supporters liked the signage: Shiraz Tangri, a member of the Downtown Neighborhood Council said signage is right for the commercial corridor of Figueroa, while downtown developer Hamid Behdad urged approval of the project, calling the signage “elegant” and appropriate for the area.

If the creation of a new sign district didn’t generate much debate among Planning Commission members, the sign issue did get the attention of the city group at the forefront of the issue. At the start of the meeting, Chief Deputy City Atty. Bill Carter told the Planning Commission his office received the Planning Department’s recommendations and the developer’s proposal just last Friday, and hadn’t had time to review how it could impact the city’s oft-challenged sign code.

“We’re rushing this through without having the City Attorney review it,” said Carter, noting the Wilshire Grand sign district has already been seized upon by one sign company in litigation with the city as an example of LA’s “unfettered approval” of signage. (The case is with Vanguard Outdoor, according to Carter.)

But Mitch Menzer, lobbyist for the developer, said he didn’t believe the legal threat to the city’s sign laws was quite as dire as Carter made it seem, pointing out that the “remaining issues regarding legality can be resolved at the next stop,” referring to anticipated hearings on the project at the Planning and Land Use Committee or the City Council.

And Mark Mullen, Senior Advisor to Mayor Villaraigosa and COO of the Office of Economic & Business, also urged the City Attorney’s office to help see the project through. But Mullen’s comments irked Carter. “It’s not my job to approve projects, it’s my job to see that it’s legal,” Carter said later.

Meanwhile, today the Planning Commission also put forward a motion to study possibly creating a bigger sign district for the area. While the approval of the Wilshire Grand looked like a cart before the horse move following that proposal, the Commission said a more comprehensive sign district in this neighborhood may be appropriate.
by Dakota Smith via Curbed LA

http://la.curbed.com/archives/2010/12/amid_a_warning_from_the.php

Here is a look at the very initial designs submitted to AEG for its downtown NFL stadium–these are the images of the three firms that were chosen today (a total of nine firms submitted firms). The three firms that are finalists are: Gensler, HKS, HNTB. Notably, HKS did the Cowboys Stadium. We’re at LA Live for a press conference at this very minute. There are about 40 people at the press conference–everyone seems curious and intrigued. Still, a veteran journalist just told us that given how many times this stadium has been talked about before, this event “feels like groundhog day.” But maybe this will be the time a stadium actually happens? UPDATE: AEG has launched a web site for this thing. UPDATE 2: “These renderings will change,” says Ted Tanner, Executive Vice President – Real Estate, AEG, adding that these concepts were “developed in a vacuum.” The process was to “test creativity,” he says.

by Dakota Smith

see the full article at

http://la.curbed.com/archives/2010/12/three_architecture_firms_picked_aegs_nfl_stadium_designs_revealed.php#story-4

655 Hope

Ever since developer SECK opted not to accept many of those auction bids at 655 Hope, people have wondered what’s going on at this emerald tower of a building. An update: A tipster passes on word the building is now seeing move-ins. Three units have closed, and about a dozen more are in contract. [Curbed Staff]

El Dorado

Speaking of downtown, the El Dorado at 416 Spring Street, which famously canceled its auction, has closed 26 units and 10 more units are in escrow, according to Bill Stevenson, head of Downtown Properties. “We’re looking to be more than half closed by the end of the year,” he says. [Curbed Staff]

Industry Group Pegs Levels Going From Record Lows to Merely Historic Lows

Mortgage rates may be as low as they will go, with the average 30-year fixed-rate home loan on course to rise after hovering for months at historically low levels.

The Mortgage Bankers Association predicts rates on the 30-year fixed-rate mortgage will average 4.4% in the fourth quarter of 2010, increasing to a 4.7% average in the first quarter of 2011, and climbing to 5.1% by the end of next year. That is barring any “blockbuster” announcement from the Federal Reserve next month, said Jay Brinkmann, chief economist of the MBA, at the group’s annual convention here

Banks’ advertisements for mortgage rates could be rising to the level seen in this March 2009 ad for Northeast Bank in Maine.

The Fed has said it could take more policy actions to stimulate growth, and Mr. Brinkmann said that is likely to come in the form of an additional purchase of Treasury securities. But the market has already anticipated that, and the move has already been priced into current rates, he added.

Mr. Brinkmann said he expects a pickup in purchase originations next year, but 2011 volume for mortgages to buy a home will still only be roughly at its 2009 level. Refinance business, however, is expected to drop next year, as mortgage rates begin their rise from record lows.

Still, potential home-loan customers needn’t jump too fast. While the industry group predicts a steady rise from 4.25% on a 30-year fixed-rate loan, the second lowest level it has ever recorded, even a rate of 5.1% on a 30-year fixed-rate loan is historically low.

At the conference, many mortgage bankers commented that business right now is doing well, due mainly to high refinance volume in the low-mortgage-rate environment. A large concern for them, however, has been what happens when all the refinance business dries up.

“If [interest rates] do bump up a bit, it’s a big concern on the refinance side,” said E. Todd Chamberlain, executive vice president for Regions Financial Corp., speaking on a panel at the convention. Those who have recently refinanced may be in the same homes—with the same loans—for a long time, unwilling to give up their very low rates by moving or refinancing, he said.

Total mortgage volume is expected to be nearly $1 trillion in 2011, down from an anticipated $1.4 trillion this year and nearly $2 trillion in 2009.

The industry is expected to originate an annual $480 billion in purchase mortgages by the end of this year and $626 billion next year; it is expected to originate $921 billion in refinance mortgages by the end of this year, which is expected to shrink to $370 billion next year.

The MBA forecast predicts home sales will rise slightly next year, after dropping in 2010 from 2009 levels. Sales of existing homes will finish 2010 about 8% lower than last year, but sales should rise 2% next year and 16% in 2012. And sales of new homes will finish this year 13% lower than 2009, but sales should rise from that low base by 20% next year and 40% in 2012.

“We also see some upward indication on prices” in many markets, Mr. Brinkmann said. Nationally, prices are expected to decline 1% next year, but that decline is heavily weighed down by severely troubled housing markets, including those in Florida and parts of California, he said.

Mr. Brinkmann said that there has been a large decline in household formation throughout the country, with many adults who would rather live on their own sharing a roof with parents or roommates due to financial reasons. Others might be marking time in crowded apartments, though their families are increasing in size and they would rather move to a larger space, he said.

Those people might relocate as soon as the economy improves and more jobs are created: “There is tremendous pent-up demand that is going to respond quickly to job growth,” he said.

Offsetting that, however, are mobility trends. Homeowner mobility is down, partly because of diminished equity in homes and now also because of low interest rates—it is now going to be more difficult for people to move when it means they will be giving up a 4.5% interest rate on their mortgage, he said.

By Amy Hoak read @ http://on.wsj.com/dtG46I

As the countdown to close-out gets underway, strong combined sales averaging nearly 20 a month for the past quarter have positioned The Rowan and El Dorado Lofts at the forefront of the downtown LA market.

With less than 18% of the available residences remaining, time is running out on the opportunity to purchase one of the state-of-the-art lofts at The Rowan. Built in 1911, this Beaux Arts landmark was once home to many prominent law offices and brokerage firms. Today, re-polished Italian Carrera marble lines the hallway floors and the walls of the grand lobby, resulting in a dynamic fusion of historical and contemporary detail.

The Rowan’s studio, one- and two-bedroom floor plans range in size from approximately 541 up to 1,415 square feet. Showcased by ceiling heights from ten to seventeen feet, flexible configurations take advantage of nearly floor-to-ceiling windows that frame a host of cityscape views. Residents further enjoy the use of a private lounge, lush garden, hot and cold spa tubs, and outdoor barbecues.

Recording 38 sales since Grand Opening four months ago, El Dorado Lofts now offers residences ready for immediate move-in. Keynoted by magnificent public spaces and a wealth of Batchelder tiles, this stunning edifice opened in 1914 as the Hotel Stowell.

Artfully reconfigured with only six condominium homes per floor, this newest addition to Spring Street affords an exceptional intimacy with just 65 residences, each of which opens to a balcony or window-accessed landing.

Encompassing up to approximately 1,394 square feet, El Dorado’s floor plans include loft-style one-bedroom as well as traditional enclosed one- and two-bedroom designs. There also are a few penthouses with private roof decks. Nearly two-thirds of the residences overlook an adjacent 0.9-acre park site, scheduled for completion in the late summer of 2012.

Restored under the direction of Downtown Properties and Goodwin Gaw, both communities are keynoted by a meticulous level of design integrity. In addition to high-quality Italian cabinetry and Granite or CaesarStone countertops, the gourmet kitchens are complete with Franke stainless steel sinks and Bosch appliances. The generously sized bathrooms feature Toto toilets and faucets. Further pluses include large walk-in closets, space for washers/dryers, and extra sound attenuation.

Deeply rooted in the history of downtown Los Angeles’ Old Bank District, the two communities are situated in a vibrant neighborhood setting, replete with eclectic restaurants, theaters, art galleries and shops. Residents can walk to work in the Financial District or the Civic Center as well as to any number of popular cultural and entertainment venues.

Designated as a Mills Act historic building, The Rowan also provides for an approximate 80% reduction in property taxes. With only 30 homes remaining to be sold and the opportunity to take advantage of Builder Close-Out Specials, prices currently begin at just $239,900.

As move-ins continue and sales approach just under the 60% mark, prices at El Dorado Lofts start at $289,900.

Excellent financing includes fixed-rate loans with down payments as low as five percent and a 3% broker referral is available.

Located between 4th and 5th on Spring Street, the sales information centers for The Rowan and El Dorado Lofts are open from 11:00 a.m. until 5:00 p.m. and 6:00 p.m., respectively, and both are closed on Wednesdays.

For further assistance, call The Rowan at (213) 213-1898 or El Dorado Lofts at (213) 617-0535 or visit either www.Rowan-Lofts.com or www.eldoradolofts.com.