All posts by jd

Real estate broker, civil engineer and general contractor.
Real Estate

Sacramento Man is Sentenced to 18 Years in Prison for Ponzi Scheme

Charles Ponzi the man from whom the name "Ponzi Scheme" comes from.
Charles Ponzi, the man from whom the term “Ponzi Scheme” came from.

SACRAMENTO – In a case prosecuted by the state Department of Justice, William Arthur Sassman II, who looted the life savings of dozens of investors to bankroll his own lavish lifestyle and finance his own investments, was sentenced today to 18 years in prison.

Sassman convinced people who had painstakingly saved for their retirement that he could make a lot of money for them. Instead he used their money for his fine clothing, his expensive cars, his several homes and his own illegal investments.

Sassman, 42, of Sacramento, appeared in Sacramento County Superior Court today where he had previously entered a guilty plea on 13 felony counts of grand theft.

Judge Lloyd G. Connelly sentenced Sassman to prison and ordered him to pay more than $4.45 million in restitution to 48 victims. No funds have been found, however, and it is unlikely victims will receive repayment.

An investigation by agents of the Department of Justice revealed that Sassman, a licensed insurance agent, operated a Ponzi scheme starting about 10 years ago in which he repaid current investors with money from new investors.

Using a book he wrote, “Secrets of a Worry Free Retirement,” Sassman convinced investors, many of whom were senior citizens, to shift their life savings to “high return” investments. These investments included foreclosed properties and real estate on Mare Island (Vallejo) and in other states, commercial property in El Dorado Hills near Sacramento, the production of a laptop computer stand called the “Notefloat,” which never sold, and annuity, stock and foreign currency investments.

Read the rest of the article Office of Attorney General

Real Estate

Real Estate: Finally a Good Investment


The housing market still looks pretty bleak:  There were a record 1 million foreclosures last year, home prices are still falling in many regions, and the number of “underwater” properties is at a record high.

And things don’t look much better in other areas of real estate. The number of construction jobs continues to decline, even as other parts of the economy have added jobs. And mortgage rates have moved higher as long-term Treasury yields have backed up during the past few months.

Basically, the real estate market remains a mess.

Real estate encompasses a wide range of markets – homes, apartments, hospitals, office buildings, strip malls, dormitories and other properties. But for our purposes, let’s focus on residential real estate, or homes. Here are four reasons to think residential real estate might represent a bargain – with one big caveat.

MAKING SENSE OF THE STORY FOR CONSUMERS

• Everyone hates homes – When the housing market is in the doldrums, people tend to avoid thinking about the value of their home.  Sellers complain they’re not getting offers and buyers bemoan the strict lending requirements.  However, prospective buyers should be contrarian and take advantage of a down housing market.

• Smart people are buying real estate – A prominent hedge-fund manager said in a speech last fall:  “If you don’t own a home, buy one.  If you own a home, buy another one, and if you own two homes, buy a third and lend your relatives the money to buy a home.”  He believes that interest rates and home prices will rise this year, so real estate bargains won’t last much longer.

• Real estate performs well during inflation – Convention says Treasury Inflation Protected Securities, commodities, and real estate do well in an inflationary environment.  Real estate performed well during the period in the 1970s, when persistent inflation and high unemployment occurred.

• Demand may be coming back – Job creation and getting people employed are the two major factors in the housing rebound.  There’s much debate about when the job market will recovery.  Optimists say the recovery will happen this year, while pessimists say it won’t happen for several years.

Read the full story

For all your real estate needs Call

John J. O’Dell
Real Estate Broker
(530) 263-1091

DRE# 00669941

Real Estate

Living Room of Home Cantilevers 45′ Into Space

This home, built in West Stockbridge, Mass seems to be built with expense as an after thought. Why would anyone want to cantilever a living room, other than to say I can? The elevation of the living room can be constructed much cheaper in many different ways. However, if you have a dream and have money, here’s what you get according to the Wall Street Journal

“The home is a slim, 17-by-90-foot rectangular volume of glass and steel, the house slopes down a hill in the Berkshires before dramatically cantilevering for 45 feet. The great room floats 14 feet above the ground and has walls of glass on three sides with sweeping views of the surrounding, hilly countryside. The home’s poured concrete floor vibrates when the couple’s 65-pound Standard poodle, Oberon, bounds with enthusiasm after a ball. (Mr. Schwartz blames Oberon’s particular bounding style.)

Living room cantilevered out 45'
Living room cantilevered out 45'

“I thought it was going to be a ranch house,” said the 59-year-old Ms. Fiekowsky, a violinist who plays with the Boston Symphony Orchestra, admitting she, too, was nervous when her husband told her he wanted to have half the house float in the air. Mr. Schwartz, whose firm Schwartz/Silver Architects has completed projects for clients including the Massachusetts Institute of Technology and Princeton University, noted that the house’s cantilevered space is counterbalanced by a massive concrete basement hidden in the hillside. He said it’s “over designed” for stability and can hold 60 people safely, plus several thousand pounds on the home’s rooftop terrace.”

For all your real estate and construction needs, Call
John J. O’Dell
Real Estate Broker
(530) 263-1091

DRE# 00669941

Real Estate

Home Buying Paralysis? Tips for Getting the Best Deal Faster


The inventory of homes for sale has increased in recent months, causing some buyers to hesitate before making an offer on a home for fear a better home at a more favorable price will become available.

  • Although real estate agents are showing more homes to clients, people still are buying homes, especially first-time buyers.  According to the latest figures from the NATIONAL ASSOCIATION OF REALTORS® (NAR), first-time buyers now account for 50 percent of all home sales.
  • Some agents claim that today’s buyers are having a problem staying committed to the home search.  During the height of the market, home buyers were more apt to make housing hunting a priority and to move on a good deal.  Real estate experts advise today’s home buyers do the same to be successful in their home search.
  • Making a list of “musts” and “wants” for home features will help home buyers narrow down the search.  Identifying key features, such as the number of bedrooms or bathrooms, will help buyers avoid being overwhelmed by the number of homes available.
  • Buyers are best advised to work with a REALTOR® who is familiar with the area.  Media reports that home prices will decline further may be true for some areas, but not necessarily in all areas.  All real estate is local, so finding out what’s happening in a specific neighborhood is most helpful.

Read the full story

For all your real estate needs Call
John J. O’Dell
Real Estate Broker
(530) 263-1091

DRE#00996641

Real Estate

A Little Known Strategy for Cutting Mortgage Payments

Merlin The Dog Photo by Cheeriotown
Merlin The Dog Photo by Cheeriotown

Homeowners looking to lower their monthly mortgage payments and reduce their interest rate may be able to do so without refinancing.  A little-known strategy called recasting or re-amortization is available through some mortgage lenders and servicers, and eliminates the hefty fees and daunting credit requirements of refinancing.

  • Re-amortization requires borrowers pay off a lump sum of the principal amount on the mortgage and asking to have the monthly payments reset according to the original interest rate and loan terms.  The lump sum reduces the principal, so the new monthly payments decrease slightly and interest paid over the life of the loan is reduced.
  • Lenders typically charge an administrative fee of $150 or more to re-amortize a mortgage; however, borrowers are not required to pay closing costs or submit to another credit check.
  • Re-amortizing works well for homeowners unable to qualify for refinancing, especially those who are self employed or have low poor credit.
  • Homeowners consider re-amortizing their mortgage should be aware that some lenders require a minimum amount to be paid toward the principal in the lump sum.  JPMorgan Chase, for example, charges a $150 fee and requires a minimum $5,000 payment toward the principal.
  • Another challenge is finding a lender, or loan servicer, that offers re-amortizing.  JPMorgan Chase and Bank of America exclude loans backed by the Federal Housing Administration and Dept. of Veterans Affairs, and loans that were sold off and securitized may also need investor approval.

    • Read the full story

    For all your real estate needs Call
    John J. O’Dell
    Real Estate Broker
    (530) 263-1091
    E-mail jodell@nevadacounty.com

    DRE #00664491

    nevada county fair

    Nevada County Fairgrounds Receives Top Honors at the Western Fairs Association’s Annual Achievement Awards


    Fairgrounds recognized in industry for work in community partnerships, Fair competitions

    The Nevada County Fairgrounds received 28 awards through the 48th Annual Western Fairs Association’s (WFA) Achievement Awards Program. The Nevada County Fairgrounds took home first-place honors for its community partnership with the Nevada County Library’s summer reading program, its Lego Experience exhibit, its “Decorative Chair” exhibit competition, its “tree” exhibit displays at the Fair entrances, and several of the Fair and Draft Horse Classic promotional pieces.

    For this year’s WFA Achievement Awards Program, offered to recognize excellence and to share fair ideas and programs, the Nevada County Fairgrounds competed against more than 50 Fairs with similar attendance numbers within the Western United States and Canada.  At the WFA Achievement Awards Ceremony, held later next week, the Nevada County Fairgrounds will collect a total of 10 first place awards, 10 second place, and four third place awards. The Fairgrounds will also receive four Honorable Mention awards.

    The Western Fairs Association is a non-profit trade association serving the Fair industry throughout the Western United States and Canada.

    With a theme of “Gold! Rush to the Fair,” the 2011 Nevada County Fair is August 10 – 14.

    By Wendy Oaks

    Publicist, Nevada County Fairgrounds

    (530) 273-6217

    wsoaks@gmail.com

    Nevada County Fair                          August 10 – 14, 2011

    Draft Horse Classic                            September 22 – 25, 2011

    Halloween at the Fairgrounds      October 29, 2011

    Country Christmas Faire                  November 25 – 27, 2011

    nevada county fair

    Enter Nevada County 2011 Fair Artwork Design Contest

    Art work by Janene Powell

    WIN $250 IN ARTWORK DESIGN CONTEST
    Submit the winning artwork for the 2011 Nevada County Fair and you could win

    There’s still time to enter the Nevada County Fairgrounds artwork design contest. If you’re a talented or aspiring artist, and you’d like $250, this is the contest to enter! All you need to do is create the best artwork to illustrate the 2011 Nevada County Fair slogan, “Gold! Rush to the Fair.”

    The contest is open to Nevada County residents only and takes place until January 14. If you submit the winning artwork, you will win $250 and a 2011 Nevada County Fair package. Additionally, the winning artwork will be used on various Fair promotional pieces, print ads, buttons, t-shirts, banners, posters, and flyers.

    Interested artists may use any medium and can submit up to three entries, which must be on 8-1/2 by 11-inch paper. Entries can be delivered to the Fairgrounds Office at 11228 McCourtney Road or mailed to the Fair Office at PO Box 2687, Grass Valley, CA  95945. A complete set of rules can be found on the Fair’s website at www.NevadaCountyFair.com, or by calling the Fair Office at (530) 273-6217.

    The 2011 Nevada County Fair is August 10 – 14.

    By Wendy Oaks

    Publicist, Nevada County Fairgrounds

    (530) 273-6217

    wsoaks@gmail.com

    Website: www.NevadaCountyFair.com

    Blog: www.NevadaCountyFair.blogspot.com

    Facebook: Nevada County Fairgrounds

    2011 Nevada County Fair                August 10 – 14

    2011 Draft Horse Classic                  September 22 – 25

    2011 Country Christmas Faire       November 25 – 27

    Real Estate

    Some Reverse Mortgages Are Now Cheaper

    A reverse mortgage has long been considered a loan of last resort because of its high fees. Now, a new type of reverse mortgage is attracting the attention of more-affluent borrowers eager to extract cash from their homes. But older homeowners—and the adult children who advise them—need to be aware of the new trade-offs.

    Reverse mortgages allow people age 62 or older to convert their home equity into cash. The homeowner can elect to receive a lump sum, a line of credit or monthly payments. The loan is due, with interest, when the borrower dies, moves, sells the house or fails to pay property taxes or homeowner’s insurance. (With a conventional loan, such as a home-equity line of credit, a borrower can tap into a home’s equity but must make monthly repayments.)

    One of the biggest criticisms of reverse mortgages is their upfront fees, which can total as much as 5% of a home’s value. Last fall, the Federal Housing Administration, which insures virtually all reverse mortgages, introduced the “Saver,” which reduces these fees by about 40%. Lenders such as MetLife Bank, Bank of America and Wells Fargo have since begun marketing them.

    To cover its potential losses on a reverse mortgage—which can occur when a home isn’t worth enough to repay the loan—the FHA traditionally pockets as much as 2% of the value of the property. This “mortgage insurance premium” is typically the largest upfront charge in a regular reverse mortgage.

    With the Saver, the FHA has cut this insurance premium to 0.01%. That is because homeowners who apply for a Saver are typically limited to borrowing about 80% to 90% of what they could get with a regular reverse mortgage, says Peter Bell, president of the National Reverse Mortgage Lenders Association. On a $500,000 home, for example, a 75-year-old New York resident would receive about $262,000 with a Saver, versus $331,500 with a traditional reverse mortgage, according to MetLife Bank.

    Source: Wall Street Journal

    For all your real estate needs Call
    John J. O’Dell
    Real Estate Broker
    (530) 263-1091

    DRE# 00669941

    Bits & Pieces, Recreation

    Exercise: Good, Leg Pain, Bad – Here’s How to Get One and Avoid the Other

    by Lisa J. Lehr

    Exercise is good. Some of us have undoubtedly made a New Year’s resolution to exercise more. And walking is, for most people, the best choice because it:

    1. Doesn’t require much training;

    2. Doesn’t require special equipment;

    3. Doesn’t (usually) require travel to a special place, such as a gym, pool, or recreational area.

    Now, number 3 is somewhat qualified because, while most people in Nevada County live on or near a road with reasonably little traffic, walking on a paved road poses its own set of problems. If you get your regular exercise by walking along a public roadway, you may have noticed persistent or intermittent pain in the joints or muscles of your right leg.

    In most places, public roads are constructed with “crowning”; that is, the road is higher at the center and slopes down to the sides. This is to help rain and melting snow run off more quickly instead of pooling in the middle, creating a driving hazard and damage to the road.

    We learned as children to walk facing traffic, for obvious safety reasons: if an approaching car is too close to you, you can see it in time only if it’s approaching from the front—unless you have eyes in the back of your head (or wear a little tiny rear-view mirror, as cyclists sometimes do). The problem for walkers is that, as you walk along the edge of the road, one foot is always landing on a higher surface than the other. And over time, this can lead to pain in the hip, knee, and/or other parts of your leg. That, in turn, may discourage you from exercising; or you may just “live with” the pain, having no idea that it’s fixable. I actually lived with this problem, off and on, for a couple decades before it dawned on me what might be causing it!

    Here are some suggestions to avoid one-sided leg pain:

    1. Traditional wisdom suggests that pedestrians “should” walk on the side facing traffic. Laws may vary from one locality to another, although I’ve never heard of anyone being ticketed for walking on the “wrong” side of the road—and I certainly see lots of people doing it. Safety is our primary concern; however, I spoke to a physical therapist about this matter, and he recommends alternating sides every quarter mile.

    2. If you walk on a rural road and/or exercise very early in the morning or late in the evening, you may be able to get away with walking in the middle of the road. Be aware of your surroundings, turn off your iPod so you can hear any approaching vehicles, and get out of the way if one comes.

    3. Look ahead as you walk and try to spot places where the shoulder flattens or slopes back up; adjust your path to give your right leg a rest. Much of Nevada County’s roadways have irregular curbing (meaning none, or covered with dirt, etc.), and there are often places where you can walk off the pavement.

    4. Whenever possible, walk at a park or other place that has designated walking paths. Yes, this may require a trip in a car, but it may be the solution for you.

    5. Do not walk on the sidewalk. Sidewalks may be flat, but concrete is an even harder surface than blacktop, and the resulting foot and leg pain may be even worse.

    6. Make sure you’re wearing good shoes—shoes that are designed specifically for walking and not for some other sport. Wear good socks too (not too thin). Interestingly, I just read an article in the Sunday Bee about running barefoot. The practice seems to have a lot of followers! Speaking for myself, the fear of foot injury is too great, but feel free to investigate this.

    Whatever you decide to do, don’t use one-sided leg pain as an excuse to stop exercising. Simply try the above suggestions to work with the problem. See a physical therapist if necessary. As a last resort, choose another type of exercise, at least until the leg pain eases.

    Lisa J. Lehr is a writer, copywriter, and fitness enthusiast living in Grass Valley. She can help you promote your business with a full range of online and offline marketing pieces. A member of Empire Toastmasters, she’s available to speak to your business or professional group. Visit her website www.justrightcopy.com for more information, opt in for a message series, and receive a free Marketing Guide.

    —
    Lisa J. Lehr
    I write words that make you money–just ask me how.
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