Redlining is a term that describes the unethical if not illegal practice where lenders red line a neighborhood or community, making it very difficult for buyers to purchase in these afflicted areas.
I have recently heard from a couple of direct lenders, Countrywide Home Loans and Bank of America, that most if not all of San Diego County real estate is in the red zone.
Qualifying for current red zone status simply means that the subject property is located in a declining market area. The impact of this colorization is significant to both the San Diego real estate market as a whole and to first time home buyers in particular.
How this version of redlining works creates a no-win situation for buyers putting down less than 5 percent.
Even if a buyer has negotiated a bargain purchase price, say 10 percent under market value, the appraiser will automatically deduct another 5 percent from the contract price to determine a value. In other words, a borrower cannot get away with putting less than 5 percent down.
I spoke with Brian Brady a couple of weeks ago about this matter. I had been told by a representative from a large direct lender that San Marcos, CA was in a red zone, and would be subject to different lending standards. Brian bristled at the thought of redlining, declaring it an illegal practice unless an entire region were painted red.
Well, it seems that most, if not all of San Diego County real estate, is swimming in blood.
One of our agents is struggling with a couple seeking to buy their first home in the Shadowridge area of Vista, CA. The buyer is an automobile service manager in nearby Carlsbad and his wife is an attorney. They are conservative in lifestyle, and can afford payments on a $417,000 home. However, they are short on down payment. And with current lending guidelines and the unavoidable prospect of buying in a red zone, they can no longer qualify for the 100 percent loan Countrywide Home Loans had promised.
And what makes this particular case so interesting is that the home is a foreclosure held by Countrywide as an REO (real estate owned). Any reasonable person would think that Countrywide Home Loans would jump through hoops to get this liability off their books especially with buyers like these.
Wouldn’t reasonable minds agree?
Listed below are all current listings of homes for sale in Shadowridge area of Vista:
WOW, JUST WOW! This property is special from the moment you walk on the premises. If you are looking for horse ranch property with plenty of space around you this is it. There are 2 houses on the property, one is not permitted but in use by family members (3 Bed,2 baths). The other is permitted (2 Bed,2 baths). The horse stable holds approx. 20 horses, all in separate stalls. The office and tack rooms are also part of the stable. There is one HUGE riding arena, and more. Call Mia Worley 760.688.9077 Neighborhoods: Rancho Mar Vista Equipment: Shed(s) Other Fees: 0 Sewer: Septic Installed Topography: LL, Guest House Est. SQFT: 1800
Beautiful community in Shadowridge neighborhood, 4 bedrooms 2.5 baths, private patio, sliding glass doors, vaulted ceilings. Swimming pool and spa, close to shopping centers, schools, churches, golf course and easy access to Hwy 78
Up and coming town of Vista just S of the 78 on corner lot. The property consists of a 2bd, 1 bth detached home built in 1950 with a total square footage of 656 sq ft. The lot contains two APN #s totaling to just over 2 Acres. Are you looking for the convenience close to freeway access & shops? Calling all developers/investors this property is zoned C-2 and is proposed commercial cannabis location depending on Nov 2018 vote. Visit city website to verify property use, zoning, and characteristics.
Wow! Beautiful and rarely available VIEW home with backyard access to the fabulous SHADOWRIDGE GOLF COURSE! Enjoy this spacious 3 BR/3 BA, open floor plan home, with MASTER BEDROOM DOWNSTAIRS, vaulted ceilings and large upstairs loft. This home features views from most all living spaces and has been highly upgraded with new flooring, remodeled kitchen, fireplace, powder, wrought iron fencing and more. Situated on the 8th hole overlooking the pond, the home is in one of Vista's best neighborhoods.
Opportunity. Estate flat lot or build 3 new homes, sewer connected and underground electric installed for new development. Call the City of Vista, zone variance for multiple units have been issued to many owners,use your imagination.Room for contractors to park your vehicles and have extra income from the home.
ATTN: BUILDERS / INVESTORS - Great opportunity for new construction/spec homes on large open lot in prime location! Rezone application for R-1 to an E-1 estate currently in progress (approval hearing scheduled for April 2019). Upon approval, this beautiful 2.97 acre property can be split to build up to 4 single family homes. Property currently has a 5 bd/ 3.5 bath home which produces monthly rental income. See attached for tentative site map.
Experience a wealth of opportunities that can lead to a lifetime of memories for you and your family at Verano at Skyline, a flourishing new community in Vista. Parents will find the perfect setting to arrange play dates and watch their children build friendships at the community pool. You can enjoy nearly perfect year-round weather as you explore the Southern California beaches less than 10 miles away. For those who enjoy culinary delights, endless dining options can be found just minutes away. When you
Great opportunity to own in Vista Del Mar Community! Very nice quiet street! Come relax in the community pool, spa or play a game of pickle ball with your neighbors! Great for entertaining guests! Has great ocean breezes! Has skylights in kitchen with recessed lighting too. Also has a nice portable island, custom fireplace, beautiful flooring, granite counter tops and much much more. Nice gazebo in back yard along with a driveway. On top of that, this house has SOLAR to keep your expenses down! Solar will
Great opportunity to own in Vista Del Mar Community! Very nice quiet street! Come relax in the community pool, spa or play a game of pickle ball with your neighbors! Great for entertaining guests! Has great ocean breezes! Has skylights in kitchen with recessed lighting too. Also has a nice portable island, custom fireplace, beautiful flooring, granite counter tops and much much more. Nice gazebo in back yard and also a driveway. 13; On top of that, this house has SOLAR to keep your expenses down! Seller will pay off in full before escrow closes. Great location with plenty of things to explore in San Diego County! Shows nice!
Welcome to Shadowridge! Light & bright turnkey home located walking distance to grocery store, restaurants, coffee shops, and schools. Large floor plan with both spacious living room and family room downstairs. Kitchen features granite counters, crisp white cabinets, stainless steel appliances and large social island. Private backyard provides perfect setting for relaxing or recreation.
Great location with no rear neighbors. Separate Living & Family rooms! The Kitchen was previously updated. Wet bar. Most walls have been painted white. New carpet in Living & Master Bedroom. Double sinks, tub, & step in shower in Master. Two outdoor porches (Front & Back) + enclosed porch. The Back porch is shaded by an avocado tree & feels very peaceful & private. Extra wide carport w/ curved supports. Convenient location close to Costco, TriCity Medical, Carlsbad Mall & movie theater, Beaches, & more!
This beautiful single level home in the desirable community of Shadowridge Greens is ready to move in. An end unit with newly painted walls, cabinets, doors and baseboards and new plush carpet just installed. Many upgrades make this a beautiful home. The kitchen has granite counter tops, stainless steel appliances, newly painted white cabinets with glass doors and wood floors. Shutters on all the windows, brick fireplace, vaulted ceilings and open floor plan make this a wonderful home.