Posts Tagged ‘Crisis’

Does Anyone Have Some Tums? – a Palm Springs, Palm Desert, & Indian Wells California Finance Attorney Take on the Growing Financial Crisis

Sunday, September 5th, 2010

Does Anyone Have Some Tums? – a Palm Springs, Palm Desert, & Indian Wells California Finance Attorney Take on the Growing Financial Crisis

Pass me a couple of airsick bags, will you?

Watching the stock market drop like an airplane hitting an air pocket and then rising only to drop again is enough to give you heartburn, even for a California finance attorney. Business, real estate, corporate and finance lawyers, whether they practice in San Diego, Orange County, Palm Springs or Indian Wells think they have seen it all when it comes to seeing finance fraud in litigation cases. But the testimony we have been hearing about the fraud in the financial markets is enough to turn your hair white, if you have any left. The words I’ve been hearing are making people quake in their boots. Panic, stock crash, depression, bank runs…

Somebody, pass me the Tums, will you?

Yes, there were professors from esteemed institutions of higher learning saying that the bailout proposal Congress passed wouldn’t solve the problem, and yes, they may have been right, but neither them being right nor the passing the bailout bill hasn’t calmed the financial markets in the U.S. or the rest of the world. The Dow has been dropping 300, 500, 600, and nearly 700 points now for, well, I’ve lost track of how many days it has dropped. Many are now routinely calling it a stock crash. Others are now calling the Great Depression of the 1930s the First Great Depression. Has anyone seen my 401K or IRAs? Last I saw they were going down the sewer.

Does anyone have some milk for my stomach?

Yes, there are also people out there saying that the financial bailout was a bad idea all around. That it rewarded the rich, and those foreign investors who got sucked into buying our financial stocks. As it turned out, they may have needed it just as much as we do. Last I heard, Iceland was facing bankruptcy as a country and now that their markets are falling like leaves, it’s throwing more wood onto our own fire sale on Wall Street.

Does anyone know if alcohol and Tums are a bad combination?

Reports are that the Federal Reserve and foreign central banks are making hundreds of billions of dollars and euros and other currencies available for the world’s banking systems to boost the amount of money available for lending so banks will feel confident to start lending to one another and to businesses again. Anyone feel confident yet? Anyone tried to get a loan lately?

Has anyone seen my bottle of scotch?

I think we just learned what it was that scared Hank Paulson, George Bush and all the rest of the usual suspects who testify to Congress that the world was in effect going to come to and end if the bailout plan wasn’t passed. Well, it turned out they were almost right, despite passing the Bailout Plan. No the world isn’t coming to an end, and we don’t have a depression like in the 1930s, but in case there is something more that our leaders know that is still going to cause something else to implode, could they just tell us exactly when it is set to implode? I want to make sure I have my head ducked under something.

Isn’t Tagamet good for an upset stomach, or is that Pepto Bismol?

Yes, I know that all is not good in the world of credit card balances, student loan programs, home mortgages, equity lines of credit, construction loans, corporate debt, auto loans, commercial real estate loans and those swaps that you hear about but don’t really know exactly what they consist of on the financial channels. But, last I checked, hey, I’m still here. They still have groceries on the shelves, they still take my credit card and gas is getting cheaper by the day.

Hey, Houston, Ground Control, we’re still here!

Visit our website at http://www.californiaattorneyslawyers.com for business, corporate, real estate and finance legal matters. We have the knowledge, and resources to represent you as your Palm Desert Business Lawyer and Indian Wells Business Attorney in San Diego, Orange County, La Jolla, Carlsbad, Newport Beach, Anaheim, Palm Springs, La Quinta, Newport Coast, Irvine, Santa Ana, Westminster, Santa Barbara, Buena Park, Costa Mesa, Ontario, Yorba Linda, Ventura, Oxnard, Fullerton, Rancho Cucamonga, Temecula, Murrieta, Mission Viejo, Santa Monica, Laguna Beach, Corona del Mar and Huntington Beach.

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Alabama Serves as a Measuring Stick for the Real Estate Crisis

Thursday, August 26th, 2010

Alabama Serves as a Measuring Stick for the Real Estate Crisis

We are living in a tough economic time – fuel costs, real estate, and the spending trends across the country are not favorable to the future welfare of our economy. Real estate, in particular, brings a significant and immediate challenge that faces our economy. The subprime mortgage rate crisis, along with a borderline recession, make real estate a tough sell in the current market.


In Alabama, real estate is suffering just as it across the nation. The subprime mortgage crisis is making it very difficult for many people borrow money to purchase new homes. In short, the subprime mortgage crisis effects people who don’t qualify market interest rates due to low-level income, down payment size, and poor credit history. These people make up a significant portion of new home owners and therefore create a huge impact on the market.


Alabama ranks 47th in average household income as well as ranking among the bottom ten nationwide in credit rating. These factors add up to mean that the Alabama real estate outlook is very grim. Until something happens to heal the economy in Alabama, and nationwide, the subprime mortgage crisis will continue to get the best of Alabama, as well as the country as a whole.


Things are not all “doom and gloom” for the Alabama real estate market, however. Huntsville a metropolitan area in northern Alabama has seen very good real estate numbers over the past year. Homes in Huntsville are generally more affordable than comparable markets in the state, such as Mobile, where home prices are ,000 more on average. Keeping home prices down, however, is not the solution to solving the credit crunch, but at this point, thriving home sales by any means are a good sign.


In attempting to heal the recession, and the subprime mortgage crisis, it is important that we as a nation look to states like Alabama – that are on the lower end of the economic spectrum – in order to measure the effectiveness of proposed solutions. If we can heal the problems that face Alabama, then we should be able to find solutions for California, New York, and Florida – who find themselves much more malleable and capable of overcoming difficult economic times, including recessions and mortgage crises.


In short, the nation is heading for a recession, and the subprime mortgage crisis is showing no sign of relenting. But with any luck, real estate in Alabama and elsewhere will improve steadily and we will be able to find a way out of the toughest economy we’ve seen in 15 years.

Art Gib is a freelance writer, RE/MAX Mid-States and Dixie Regions is a real estate company offering Alabama real estate services.

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Real Estate Investing in a Crisis Market

Thursday, August 12th, 2010

Real Estate Investing in a Crisis Market

You’ve probably heard someone who invests in the stock market say, “There’s always a bull market somewhere.” That simply means there is a way to profit whether share prices are going up or down.

A few experienced real estate investors feel the same way about the real estate market. There are ways to profit not matter if property values are going up or down.

Real estate can be a better investment than stocks because some properties are always going to be as good as gold. I place the following in that category:

1. Beach Front

2. Lake Front

3. Property with a unique view.

Stop and think for a moment about what makes almost anything valuable? At the top of that list should be limited supply when compared to demand. That’s what you get with most any water front property.

Some of the world’s most valuable real estate is breach front property. There is no denying that even it may drop some value in a major financial crisis, but it won’t stay down long. How much value do you think a beach front home in Malibu, California lost during the housing crisis of 2008? Very little of any, is the answer.

Beach front property is very limited in supply and they aren’t making any more. It’s not like middle class housing where developers just move a little farther out from the city center and build a few thousands more homes to satisfy demand.

In an effort to protect costal ecology federal and state governments now make it very difficult to build on beach fronts. Those laws and regulations tend to drive up the value of the few homes and lots that are available.

The same holds true for prime lake front property. The value of a lake front home at Lake Tahoe, California has gone through the roof in the last ten years.

Blue chip quality even extends to some mountain side or cliff top properties that provide a dramatic view. Not quite the sure-thing as beach front property, but still a valuable investment.

Smart investor welcome a downturn in property values, because some of these uniquely located properties will become available at irreplaceable prices. Not rock bottom prices, but low enough to insure a “can’t miss” investment. These rare properties are the first to recover after a downturn, so investors often find themselves in a profit position within a few months.

What if you can’t afford the prices of waterfront property even during pull backs? All is not lost. Some of the world’s greatest beach front bargains are available right now in places like Costa Rica, Panama, Honduras, Belize, Ecuador, Uruguay, Brazil, Spain, Croatia, Malta and other countries around the world.

Wonderful countries with friendly people and stable governments, not to mention that each has a cost of living dramatically lower than that of North America or Western Europe.

For the cost of one beach front home in Fort Lauderdale, Florida, you could by 10 homes on the beach at Fortaleza, Brazil.

The sad truth is that many Americans will not be able to afford a comfortable retirement if they remain in the U.S. as the politician’s unbridled spending drives down the value of the dollar. The cost of living in many Latin American countries is a fraction of that in the U.S.

Retirees with modest savings will be looking for beach homes in these foreign countries. Demand will drive up value, but right now you can buy a modern beach front condo for as little as thousand U.S. dollars.

Low prices in Latin American beach areas are attracting offshore buyers from all over the world. It’s the chance of a lifetime for those adventurous investors who are willing to spend some time in an area and learn the local customs and buying procedures.

There’s always a bull market somewhere, and right now it’s at the beach.

Mark Walters is a third generation real estate investor and founder of CreatingWealthClub.com. For a limited time Mark is offering his big guide to finding hard money loans for real estate investing free. Free guide to private money loans. http://www.FindPrivateMoney.info

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The Sub-Prime Mortgage Crisis: What You Need To Know About Buying Real Estate

Tuesday, August 3rd, 2010

The Sub-Prime Mortgage Crisis: What You Need To Know About Buying Real Estate

The buzz word phrase that is causing so much sting these days is indeed, “the sub- prime mortgage crisis”. With far too many people having made impulsive and unwise decisions over the past few years, the economy is being led toward an unprecedented economic crisis. The spending wheels have now come off, the housing boom is bust, while foreclosures are at an all time high. If you are looking to buy in today’s market, you should be educated as to the risks and, yes, the potential opportunities. Consult a realtor and mortgage broker whom you can trust. There are still great options in such a market, but you may need to be flexible and you will certainly have to do some proper research.

What you needs to know:

– Yes, there is a situation here. But the sting is not equally distributed. Certain states are carrying the brunt of the bruise. If you are looking into purchasing in today’s market, be prepared to be flexible in terms of where you purchase. Before you buy, take a good look at what is, and has been going on in the state you and metropolitan area you are looking in. High unemployment and declining populations are driving prices and the market down in Michigan and Ohio. In California and Florida unchecked sprees of new development have hiked up supply, while demand is turning ever-southward. Investigate and find the safer states for your investment.

– It’s now a more difficult task and more expensive to borrow money than it was only a year ago. New mortgage fees have kicked in for people with low or marginal credit scores, bumping up the cost of their mortgages by thousands of dollars. You might want to consider some serious efforts to raise your credit score, if your below 700, before you get into a mortgage.

– In dark times, there is always a light, somewhere. The rash of foreclosures and sliding values have combined to create a serious buyers market. The surplus “well-priced” homes, alongside the Federal Reserves efforts to cut interest rates, will result in opportunities for some. This is a great time to buy if you meet certain criteria. You must have good credit, be planning to stay in, or hold on to your home for several years and have the funds for a decent down payment. This last point may not be mandatory. You can still find zero-down deals. But, to learn from our past would be a wise idea. Having a size able down payment up front reduces your monthly costs. If you can afford to invest and sit on your investment, now could be a good time to buy.

Joan C. Lonergan is a Managing Director and Associate Broker with Coldwell Banker’s Village Green Realty. Joan specializes in Upstate New York real estate. Search Upstate NY luxury homes and discover incredible properties nestled in the Catskills and along the beautiful Hudson River.

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Palm Springs, Orange County California Real Estate Lawyer and Realtor Discusses the Real Estate Crisis and Lawsuits in the Wake of the Credit Crunch

Saturday, July 31st, 2010

Palm Springs, Orange County California Real Estate Lawyer and Realtor Discusses the Real Estate Crisis and Lawsuits in the Wake of the Credit Crunch

In Rancho Cucamonga, Ontario, Garden Grove, Palmdale, Corona, Escondido, Orange, Fullerton, Costa Mesa, Victorville, Carlsbad, Temecula, Murrieta, Mission Viejo, El Cajon, Vista, Westminster, Santa Monica, Santa Barbara, Hesperia, Newport Beach, Buena Park, Indio, Coachella, Chino Hills, San Diego, Orange County, Palm Springs, Palm Desert, Long Beach, Santa Ana, Anaheim, Riverside, Chula Vista, Irvine, San Bernardino, Huntington Beach, Fontana, Moreno Valley, Oceanside and all across Southern California and the nation, if you own real estate, you’ve seen the value of your home get a short haircut and your investment in the stock market has fallen through the basement.

While most real estate attorneys and lawyers are feeling the economic slowdown just like the rest of the country, some lawyers, real estate and bankruptcy lawyers among them, are seeing a host of clients seeking to file new lawsuits and filings in the wake of the credit crunch. And while the stock market may have a sharp rebound sooner or later, the real estate market is going to crawl back much more slowly.

Calls are pouring in to California real estate attorneys and CA property lawyers for help to fight foreclosures or to file foreclosure actions, for bankruptcies filings, landlord-tenant problems, homeowner association issues, contractors struggling to understand how their bank could cut off their credit in the middle of construction, individuals having their credit card limits slashed, and real estate buyers seeking help to get out of contracts and mortgages.

“I need help to save my home,” is a common plea all attorneys are hearing. It is painful to tell such callers how limited their options are.According to a recent report, the latest problem is that delinquency rates are now rising dramatically on construction loans for single family homes.

Consequently, builders and contractors are filing lawsuits against their lenders for the damages they are suffering from this freeze in credit.More sub-prime related suits have now been filed in the 18 months that ended June 30th than in the savings and loan crisis of the 1990s. Class-action sub-prime related suits are soaring.

Class action lawsuits in California have been filed against some of the largest and now failed institutions alleging that their disclosures were misleading or that they practiced discriminatory lending practices.

It is expected that construction defect cases will be on the rise as well as builders try to cut corners to be able to make even a little profit on construction projects that have gone sour.There is, however, no quick relief for anyone filing such lawsuits. The courts are jammed and the State of California has little money to hire new judges. Criminal lawsuits take precedence and in some jurisdictions, only lawsuits running up against a requirement that they be resolved in five years are being sent to trial.

Every day, it is reported that a new wave of litigants or people are being affected by the economic crisis, whether it is people with prime as opposed to sub-prime loans, or people who are no longer able to obtain credit and who can no longer borrow money on their credit cards.

No matter what Congress does or doesn’t do, the fallout from this crisis will last for many years and create a substantially different climate for business and real estate for the foreseeable future.

Visit our website at http://www.californiaattorneyslawyers.com . If you have a real estate, mortgage, landlord-tenant, construction law or homeowners association issue anywhere in Southern California, we have the knowledge and resources to represent you as your Palm Springs Real Estate Lawyer and Orange County Real Estate Attorney in and around cities such as San Diego, Orange County, Palm Springs, Corona del Mar, Laguna Beach, Palm Desert, Long Beach, Santa Ana, Anaheim, Riverside, Chula Vista, Irvine, San Bernardino, Huntington Beach, Fontana, Moreno Valley, Oceanside, Rancho Cucamonga, Ontario, Garden Grove, Del Mar, Palmdale, Corona, Escondido, Orange, Fullerton, Costa Mesa, Victorville, Carlsbad, Temecula, Murrieta, Mission Viejo, El Cajon, Vista, Westminster, Santa Monica, Santa Barbara, Hesperia, Newport Beach, Buena Park, Indio, Coachella, Rancho Mirage, Indian Wells, La Quinta, and Chino Hills.

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Capitalize on the Mortage Crisis by building Home Equity Now

Thursday, July 15th, 2010

Capitalize on the Mortage Crisis by building Home Equity Now

There are hundres of thousands of people who are going to benefit from the current housing depression that has hit this country over the past year.  Although homeowners are struggling seemingly everywhere and the news has been going on forever about the drop in home prices. This downfall has openned an uprecidented home buying opportunity!!

If you are one of the fortunate few that is entering the market in this low period. Not, only are you standing to gain from the tax credits and low mortage rates that are still in effect. But, in a few years, once the news has passed and home sales begin to recover and the cycle starts to reverse..home prices will at some point rise.

I personally predict that banks are going to be continuing to raise interest rates and this will prevent home prices from making any quick rise. But, if you have put your time in and purchased a home at a reasonable price., you should gain equity and in such markets as Las Vegas and California you may see these markets make a semi-recovery.

Plan on several years in your investment and purchase a home that you can afford is the first step towards building a strong capital future position that will bear fruit. This is not a time to be sitting around waiting. The current tax credits won’t last long and interest rates are not going to be here forever at these prices.

Please keep in mind that buying a home is not instant equity. Equity is built over time and banks will only value your home in the first 3 years for pretty much what you paid for it. So, when making a home purchase keep that time horizon in mind. It’s important to realize that this is an asset that will apreciate over time. I recommend that people buy homes they will enjoy and not only will you gain the pride of home ownership, you will most likely gain in equity that will put your family in a better financial postition once the recovery is well under way.

I believe we are starting to see that recovery, and the word is going to get out once people see that interest rates are going to rise and home prices will also rise with them, just at a slower more historically correct rate rather than the ultra frenzied rate of 2006!

Michael Shawn is a writer for a variety of subjects including this article on loans and debt. You can find more useful tips on his affiliated website of www.EquityHomeLoan.pro

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The Person Responsible for the Mortgage and Real Estate Crisis in California, Uncovered at Last by a California Real Estate Lawyer

Saturday, July 3rd, 2010

The Person Responsible for the Mortgage and Real Estate Crisis in California, Uncovered at Last by a California Real Estate Lawyer

It doesn’t matter whether you live in Del Mar, California, Palmdale, CA, Corona, Escondido, Orange, Fullerton, Costa Mesa, Victorville, Carlsbad, Temecula, Murrieta, Mission Viejo, El Cajon, Vista, Westminster, Santa Monica, Santa Barbara, Hesperia, Newport Beach, Buena Park, Indio, Coachella, Rancho Mirage, Indian Wells, La Quinta, San Diego, Orange County, Palm Springs, Corona del Mar, Laguna Beach, Palm Desert, Long Beach, Santa Ana, Anaheim, Riverside, Chula Vista, Irvine, San Bernardino, Huntington Beach, Fontana, Moreno Valley, Oceanside, Rancho Cucamonga, Ontario, or Garden Grove, you don’t need to be a California mortgage attorney or a CA real estate lawyer to know that it’s next to impossible to sell your house in California and nearly as difficult to obtain a loan to buy another.

After months of investigation, I finally uncovered the person responsible for the Mortgage Crisis that has spread from California to Florida and from there to the rest of the country and now around the world.

Like investigating the cause of a fire, you can usually find the exact place where the fire started and from the evidence that is left, find the person who started it.In this case it wasn’t who you would expect.

It wasn’t someone named Fannie Mae or Freddie Mac who took on huge amounts of mortgage risk because it was pushed into it by Congress. It wasn’t just one bank executive or investment institution. It wasn’t just one congressman, or Secretary of this or that.It was someone who feels really bad about what he did. It was Steve.

Because of attorney confidentiality I’ll not state his last name. But Steve has admitted his fault and has already spoken to the authorities. Actually, the authorities contacted him and Steve is in hiding.

“I feel like a heel,” Steve said. “Everything was going so well in America. Home prices were going up and up. The price of oil was still relatively cheap. I just wanted part of the American dream.”

“So what exactly did you do, Steve?” I asked.

“I fudged,” Steve said.

“You mean you lied?” I asked.

Steve held his head in shame. “When I applied for a home loan I lied about how many times I’d been married.

“I laughed. “Did you lie about anything else?” I asked.

Steve nodded. “My income.”

“How much did you say you were making?” I asked.

“Five million,” Steve said. “A month,”

I must have looked shocked.

“I didn’t know they would believe me,” Steve said.

“How much were you making a month?” I asked.

“I wasn’t working,” Steve said.

“You didn’t just lie, you lied like someone on Wall Street,” I said.

“That’s where I got the idea,” Steve said.

“Didn’t the bank check your finances?” I asked.

Steve shook his head. “When I told them I was buying a 10 million dollar home, you should have seen everyone’s eyes light up with the thought of their commissions and fees from the sale and the loan.”

“I can imagine,” I said. “Did you buy the home?”

Steve nodded. “Got it on sale.”

“You turned it back over to the bank, right?” I asked.

“I wish,” Steve said. “But when it started to go up in value, I borrowed against it and bought five more just like it.”

“Criminey,” I said. “What happened next?”

“I was the toast of the banking world,” Steve said. “What would you do?”

“In hindsight?” I asked. “I would have unloaded them.”

“Not good old me,” Steve said. “The worse the financial condition became, the more the bank needed me so I borrowed some more. The way the bank figured it, I was good for it. They didn’t have any other customers with that much in loans. Who better to give money to?”

“You caused your bank to fail, didn’t you?” I said.

Steve nodded.  “They went under just like the Titanic,” Steve said. “Then their parent banking corporation in Florida flipped over on their back like a dead fish, then the bank in England that bought up all their mortgage backed securities got fried as well.”

“What happened to your mortgages,” I asked.

“Beats me,” Steve said. “Last I heard, three foreign banks and the U.S. Treasury own most of the paper from their various bailouts.”

Today, Steve apparently moves around a lot. Costa Rica one day, Belize another. Steve’s last e-mail said he was writing a book called, “I did it. Blame me.”

I told Steve, not to bother. Even if he was the last card added to a house of cards that our leaders in Washington D.C. put up, right now there’s plenty of blame to go around.

In addition to being the senior partner at the Law Offices of R. Sebastian Gibson, he is also a Realtor and the owner of Sebastian Gibson Properties, a Commercial and Residential Real Estate Brokerage.


Visit our website at http://www.californiaattorneyslawyers.com . If you have a real estate, mortgage, landlord-tenant, construction law or homeowners association issue anywhere in Southern California, we have the knowledge and resources to represent you as your Palm Springs Real Estate Lawyer and Orange County Real Estate Attorney in and around cities such as San Diego, Orange County, Palm Springs, Corona del Mar, Laguna Beach, Palm Desert, Long Beach, Santa Ana, Anaheim, Riverside, Chula Vista, Irvine, San Bernardino, Huntington Beach, Fontana, Moreno Valley, Oceanside, Rancho Cucamonga, Ontario, Garden Grove, Del Mar, Palmdale, Corona, Escondido, Orange, Fullerton, Costa Mesa, Victorville, Carlsbad, Temecula, Murrieta, Mission Viejo, El Cajon, Vista, Westminster, Santa Monica, Santa Barbara, Hesperia, Newport Beach, Buena Park, Indio, Coachella, Rancho Mirage, Indian Wells, La Quinta, and Chino Hills.

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La Quinta, Palm Desert and Palm Springs California Real Estate Attorney Looks at the Looming Crisis Facing Homeowner Associations in California

Saturday, May 1st, 2010

La Quinta, Palm Desert and Palm Springs California Real Estate Attorney Looks at the Looming Crisis Facing Homeowner Associations in California

If you live in a homeowner association development in cities such as Laguna Beach, CA, San Diego, Orange County, Palm Springs, Corona del Mar, Laguna Beach, Palm Desert, Long Beach, Santa Ana, Anaheim, Riverside, Chula Vista, Irvine, San Bernardino, Huntington Beach, Fontana, Moreno Valley, Oceanside, Rancho Cucamonga, Ontario, Garden Grove, Del Mar, Palmdale, Corona, or in Escondido, Orange, Fullerton, Costa Mesa, Victorville, Carlsbad, Temecula, Murrieta, Mission Viejo, El Cajon, Vista, Westminster, Corona del Mar, Santa Monica, Santa Barbara, Hesperia, Newport Beach, Buena Park, Indio, Coachella, Rancho Mirage, Indian Wells, or La Quinta you don’t need to be a California real estate lawyer or a homeowner association attorney in CA to know there are probably some homeowner associations in your city that are likely to have serious financial problems.

 A crisis is looming for homeowner associations in California and few homeowner associations are alert to how bad the crisis is about to become.

Judging from the homeowner association problems in Florida, this may be the largest problem they have ever had to face. And with most homeowner boards consisting of common individuals and retirees, few are prepared for the storm headed their way.

Most homeowner associations set aside reserves for roof repairs and other projects, both short term and long term. Many reserves are underfunded and even those that are properly funded out of homeowner fees and assessments are based on receiving the full amount of fees from the homeowners in their association each month.

Do you see the problem yet? As of six months ago, nearly fifteen percent of homeowners in such associations were in arrears or in foreclosure. Today that number is surely much higher and California has been on pace with Florida for the most part in all the worst statistics such as foreclosure rates, etc.

Once a homeowner association begins to feel the pinch of not being paid thousands of dollars in homeowner fees each month, problems like they’ve never faced before, become a catastrophe.

As of 2007, some 58.8 million Americans were living in association governed communities. Associations need to not just break even each month, they need to keep setting aside monies for yearly and longer term projects. If just ten or fifteen percent of the homeowners are delinquent in paying their dues, or if the banks that foreclose on properties fail to pay the dues on those homes, trouble ensues.

Homeowner associations have to either cut back on projects, services and costs, or assess the remaining homeowners. There is little they can do to reduce fixed costs such as taxes, or contracted services, so they cut back on landscaping, put off improvements, maintenance or asphalting of the roads, and repairs.

Homeowner associations can no longer count on loans from their banks, and heaven help those homeowner associations who kept reserves of over 0,000 in a bank that has failed and which had FDIC insurance on only the first 0,000 prior to the U.S. government increasing the amounts covered by the FDIC.Foreclosures of vacant property add another set of problems.

Foreclosures aren’t quick and while they drag through the process, properties become run down or infested with pests.

An association has a duty to keep solvent and keep setting aside money for future repairs. They must therefore continue to levy special assessments on the paying homeowners. When homeowners can no longer pay the additional assessments, the problem only compounds itself.

California homeowner associations need to anticipate and prepare for the storm headed their way. They need to live by the creed, “Things can always get worse,” because they almost certainly will.

If you have a homeowner association, real estate or mortgage issue in Orange County, San Diego, in Riverside, Palm Springs or anywhere in Southern California, we have the knowledge and resources to be your California Homeowner Association Lawyers, and Orange County and San Diego Real Estate Attorneys. For this reason, be sure to hire a California law firm with real estate and homeowner association lawyers who can represent you from La Quinta to Carlsbad, Anaheim, Irvine, Fullerton, Oceanside, Ontario, Rancho Cucamonga, Orange, Temecula, Westminster, Buena Park and Mission Viejo.

If you have a homeowner association or real estate issue, and need to know your rights, call the Law Offices of R. Sebastian Gibson, or visit our website at http://www.sebastiangibsonlaw.com and learn how we can assist you. You can also call us to speak directly to Sebastian Gibson on the phone about your legal matter.

The Sebastian Gibson Law Firm serves all of San Diego, Orange County, Palm Springs and Palm Desert, the Coastal Cities from La Jolla, Carlsbad and Del Mar to Laguna Beach, Newport Beach, Irvine, Santa Ana and up to Ventura, Oxnard, Santa Barbara and San Luis Obispo. We also serve the Inland Empire cities of Ontario, Rancho Cucamonga, Temecula, Riverside and San Bernardino and all the cities in the Coachella Valley and high desert, from La Quinta, Indio, and Coachella to Yucca Valley and Victorville.


Visit our website at http://www.sebastiangibsonlaw.com if you have a homeowner association or real estate legal matter of any kind. We have the knowledge and resources to represent you as your Palm Springs Homeowner Association Lawyer and Newport Beach Real Estate Attorney or your attorney in and around the cities of Palm Springs, Palm Desert, San Diego, Orange County, Corona del Mar, Newport Beach, Santa Ana, Laguna Beach, Anaheim, Riverside, Chula Vista, Irvine, San Bernardino, Huntington Beach, Fontana, Moreno Valley, Oceanside, La Jolla, Del Mar, San Marcos, Rancho Cucamonga, Ontario, Garden Grove, Palmdale, Long Beach, Corona, Yorba Linda, Escondido, Orange, Fullerton, Costa Mesa, Victorville, Carlsbad, Temecula, Murrieta, Mission Viejo, El Cajon, Vista, Westminster, Santa Monica, Malibu, Westwood, Hesperia, Buena Park, Indio, Coachella, Del Mar, Oxnard, Ventura, San Luis Obispo and Santa Barbara.

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