RESPONSE: The information about spending came from Public Radio International. The report did not include any estimates on how much Romney would spend. If it did, I would have included it. The report did, however, project spending for all races nationwide, which I added. The numbers are staggering. This important election cycle will be quite intrusive.

Nuisance Politics #2. I wanted to thank you for taking the time to devote a portion of your weekly newsletter to political campaigning. You are right, we are in an “election year.” And I feel that the 2012 Presidential election is going to be quite critical. I happen to be a third generation political activist, so I always encourage everyone to get out and vote. My grandmother was the first woman to run for congress in Pennsylvania during the Great Depression. My niece Lindsay is carrying on the family tradition, she’s the campaign manager for California State Assemblywoman Betsy Butler and you bet I’m proud of her! I always enjoy your take on Davis-Stirling issues. Keep up the good work! -Ellen M.

RESPONSE: Thank you Ellen. You have good reason to be proud. Go Betsy Butler! (Oops, that might be viewed as political.)

Nuisance Politics #3. Can any member in good standing request a copy of the membership list with all pertinent information that management has such as address, phone, email? I realize they probably will want to charge for the cost of producing it. -David A.

RESPONSE: Any member, whether in good standing or not, can inspect and copy the membership list. Members do not have a right to phone numbers, and their right to email addresses is uncertain. Associations can bill the requesting member for direct and actual cost of copying the membership list. Civ. Code §1365.2(b). Any person who misuses a membership list is liable for any damage caused by the misuse, including punitive damages for a fraudulent or malicious misuse. Corp. Code §8338(b).

Nuisance Politics #4. Do you recommend that the prohibition of fliers door-to-door and posting of fliers in the common ares be in the association’s governing documents? -Patsy O.

RESPONSE: When you say “governing documents,” that covers CC&Rs, Articles of Incorporation, Bylaws, Rules & Regulations, etc. Adding a restriction to your Rules is sufficient. The board must give proper notice before doing so.

Adrian J. Adams, Esq.
ADAMS & KESSLER LLP

Sign-Up. Select a time and then sign-up by clicking on one of the following links: Tuesday, May 15th at 11am (2:00 p.m. EST) or Tuesday, May 15th at 1:30pm (4:30 p.m. EST).

Adrian J. Adams, Esq.
ADAMS & KESSLER LLP

Our listings are down compared to other years, but sales are still strong. Because listings are in such short supply, deals are bringing multiple offers in most cases.

Here are the numbers the week of 5/16/12:

• 3 new listings ($899,000, $1,500,000, $1,895,000)
• 21 ratified sales (pending) (average price $1,358,571, low $395,000, high $3,825,000)
• 14 closed sales (average price $865,571, low $300,000, high $1,925,000)
• 1 reduced ($750,000)

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NAR found that the national median family income was $61,000 in the first quarter. If a buyer wanted to purchase a home at the national median price, he or she would need an annual income of $34,700 if making a 5 percent down payment. A 10 percent down payment would lower the requirement to $32,900, while a 20 percent down payment requires about $29,300.

The information on qualifying incomes to purchase a median-priced single-family home on a metropolitan area basis assumes a favorable credit rating and an interest rate of 4 percent with 25 percent of gross income set aside for principal and interest.

The NAR report also found that 32 percent of home purchases paid all-cash in first quarter 2012, and investors, who make up the bulk of cash purchasers, accounted for 22 percent of all transactions in the first quarter.

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Serious delinquencies rose from 9.2 percent in June 2011 to 9.7 percent in December 2011 for the nation’s 100 largest metropolitan areas. While the 90-plus delinquencies component of the percentage is flat at 3.8 percent and has remained largely unchanged for the past four quarters, foreclosure rates continue to rise and now stand at 5.9 percent. In June 2011, the foreclosure rate was 5.5 percent.

Analysis with the data suggested the build-up of foreclosed homes in judicial states is the main reason behind the rising foreclosure rate.

Metros located in judicial states had foreclosure rates averaging 7.2 percent in December 2011 compared with 4.7 percent for metros in non-judicial states.

Also, when separating metro trends in judicial states from non-judicial, the foreclosure rate in judicial areas has actually increased since March 2009, when Foreclosure-Response.org began tracking the data, while the rate has been roughly flat in non-judicial metros for the last five quarters.

Nearly half, or 46, of the 100 largest U.S. metro areas are located in judicial states.

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The agency’s latest estimate came in one month shy of the liquidation timeline determined in the fourth quarter of 2011.

While national residential mortgage liquidation rates appeared stable over the first three months of this year, these rates varied widely between local markets, which prevented any significant reduction in S&P’s months-to-clear estimate, the agency explained in its report.

Regional variations in how quickly servicers can clear the backlog of nonperforming loans are primarily due to differences in foreclosure procedures, judicial vs. non-judicial.

As of first-quarter 2012, S&P says its months-to-clear estimate in judicial states was almost two and half times as long as non-judicial states.

S&P includes in the shadow inventory all outstanding properties on which the mortgage payments are 90 or more days delinquent, properties in foreclosure, and properties that are REO. The agency also includes 70 percent of the loans that became current, or “cured,” from 90-day delinquency within the past 12 months because S&P says these loans are more likely to re-default.

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The percentage of home buyers who could afford to purchase a median-priced, existing single-family home in California rose to 56 percent in the first quarter of 2012, up from 55 percent in fourth-quarter 2011 and from 53 percent in first quarter 2011, according to C.A.R.’s Traditional Housing Affordability Index (HAI). The index was the highest since C.A.R. began tracking this statistic in 1988.

Home buyers needed to earn a minimum annual income of $55,688* (based on fourth quarter 2011 income data) to qualify for the purchase of a $276,040 statewide median-priced, existing single-family home in the first quarter of 2012. The monthly payment, including taxes and insurance on a 30-year fixed-rate loan, would be $1,392, assuming a 20 percent down payment and an effective composite interest rate of 4.16 percent. The effective composite interest rate in fourth-quarter 2011 was 4.30 percent and 4.90 percent in the first quarter of 2011.

In the San Francisco Bay Area, housing affordability rose or remained stable in all counties except Contra Costa County, where affordability declined by one percentage point. At 78 percent, San Bernardino County was the most affordable, while San Francisco County was the least affordable, with only 29 percent of households able to purchase the county’s median-priced home.

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