However, the overall score of 3.71 out of 5 clearly shows room for improvement.

The gains in the overall housing market reported by California Realtors came on the heels of other studies finding similar boosts in confidence throughout the nation.

Realtors reported that they were seeing more buyer demand due to the lower down payment requirements for Freddie Mac and Fannie Mae-backed loans—from 5 percent to 3 percent—and lower Federal Housing Administration monthly mortgage insurance

premiums, which have also trimmed costs for home buyers. Indeed, in most markets across the U.S. confidence is on the rise.

“The seasonal uptick in market activity during spring and summer, low interest rates

and a sustained growth in jobs … are likely also underpinning the improved market confidence,” a national report found.

Overall, the Realtor confidence index was above 50 across all property types for the six-month outlook. That indicates more respondents view the market as “strong” than “weak.”

Despite an uptick in overall optimism regarding the market, real estate professionals did note several concerns, including:

• Tight inventory in most states, especially for move-in ready and “affordable” units;

• Significant lender delays and many instances of delayed closings;

• Appraisal valuation issues and delays due to “question-able” comps—especially for FHA/VA loans, use of “out-of-town appraisers” and second appraisal requirements;

• More stringent home inspection, repair, and insur-ance required, especially for older homes;

• And, slowing demand from international buyers, particularly Cana-dians, due to the strong U.S. dollar.The Southland Regional Association of Realtors® is a local trade association with more than 9,100 members serving the San Fernando and Santa Clarita valleys. SRAR is one of the largest local associations in the nation.

Charity Tournament—Fun in the Sun!Nearly thirty foursomes recently teed off under sunny skies at Wood Ranch in Simi Valley, making the Southland Regional Association of Real-tors’ 2015 Charity Golf Classic a roaring success. Between the individual support and the backing of multiple organizations—in-cluding Ace sponsor CRMLS and Eagle sponsors CBS Studio Center, SUPRA, and Logix Smarter Banking—the SRAR Charitable Foundation will be able to make a handsome donation to Hope of the Valley Rescue Mission’s Genesis House, which puts a roof over the head of local homeless mothers and their children.

Sean Fortier, Rob Betancourt, and Izzy Gamliel shot the lowest score in the Eagle flight; Birdy flight honors went to Don Ireland, Jim Morrow, Ralph Gould, and Steve Packard; while the Par flight winning foursome, pictured to the right, in-cluded Sharon Baron, Susan Dahlman, Suzanne Whit-man, and Cara O’Donnell.

The foursome that came in dead last also received an award, but they prob-ably will be most grate-ful not to have their names in print. The Golf Classic is the As-sociation’s largest fund raiser of the year. Thank you to all sponsors, golfers, volunteers and staff !

Still Tight, Yet Fewer Bumps Landing a LoanBy Gaye Rainey, President, and David R. WalkerSouthland Regional Association of Realtors®

Landing a home loan got easier as distressed sales disappeared from the local market, so much so that Realtors statewide have reported a continuous improvement in the lending process and their relationships with lenders.

No doubt the lending environment has improved over recent years, yet Realtors believe there still remains much room for open-ing up credit for well-qualified, responsible home buyers.

The Lender Satisfaction Sur-vey conducted by

the California Association of Realtors found a years-long continuous improvement in the lending process, due primarily to steady gains in the housing market.

The index has inched up from its low point of 31 in 2010, rising to 33 in 2011, 41 in 2012, 56 in 2013, and 66 at the end of 2014.

For all transactions—which include distressed and traditional equity sales —on a scale of 1 to 5, with 1 being very dissatisfied and 5 being very satisfied, Realtors average overall satisfaction with lenders was 3.7 in

2014. That was up from 3.2 in 2013, 2.7 in 2012, and 1.9 in 2011.

The 3.7 score was the highest perfor-mance since 2011 when C.A.R. launched the Lender Satisfaction Survey.

ADVERTISING SUPPLEMENT

Realtors believe there still remains much room for opening up credit

Realtor® Gaye Rainey 2015 President, SRAR

REALTOR® is a federally registered collective membership mark which identifies a real estate professional who is a Member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics.

THE VOICE FOR REAL ESTATE IN THE SAN FERNANDO AND SANTA CLARITA VALLEYSwww.SRAR.com | Real Estate Questions? E-mail Gaye Rainey, SRAR 2015 President, c/o DavidW@SRAR.com

www.srar.com Realtor® Report

2015SRAR Charity Golf Classic

April 13, 2015

4 2014 - Lender Performance Index

Analysis The Lender Performance Index (LPI) has more than doubled since C.A.R. began tracking REALTOR® satisfaction with lenders in 2010. The LPI has been consistently increasing year after year suggesting a continuous improvement in the lending process. The index continued its upward trend in 2014 after registering a 15-point improvement in 2013 and another 10 points in 2014. In 2014 the index stood at 66 and was closer to a satisfactory performance level of 75 (or above) than to the median value of 50. The median value is an important benchmark for the Index to exceed because it evidences more efficient lending protocols, higher REALTOR® satisfaction, faster communication between parties involved, and improvement in the ease of closing transactions, which in turn leads to a smoother transaction for the consumer. Such an improvement can also be largely attributed to the disappearance of stressful situations or transactions pertaining to distressed properties. Satisfaction with short sales has had little to almost no change when compared to the previous year as seen in Exhibit 3 shown later in this report. However, only nine percent of REALTORS® dealt with a distressed sale1 (i.e. short sale or foreclosure) and 91 percent dealt with traditional sale for respondents to the 2014 Lender Satisfaction Survey when reporting on their most recent home sale transaction. By comparison, short sales made up more than half of reported transactions in 2012 and traditional equity sales merely 30 percent that same year. The share of distressed sales, including short sales, has clearly shrunk year over year since the peak in early 2009. This translates a higher LPI, given that traditional sales tend to be simpler and shorter when compared to short sales and other distressed transactions. Exhibit 1: Lender Performance Index (LPI)

1 According to the 2014 Lender Satisfaction Survey – Q: In your most recent transaction with a mortgage lender / servicer (closed, pending, or fell out of escrow), was the property a …?

31 33

41

56

66

2

7

15

10

0

2

4

6

8

10

12

14

16

0

10

20

30

40

50

60

70

2010 2011 2012 2013 2014

Chan

ge

Lend

er P

erfo

rman

ce In

dex

Lender Performance Index - LPI LPI Change

5 2014 - Lender Performance Index

As shown in Exhibit 2, across all the various categories including overall satisfaction with lenders, REALTORS®’ average satisfaction rating2 not only improved from last year but registered its highest performance since 2011 when C.A.R. launched the Lender Satisfaction Survey. However, the overall score of 3.71 out of 5 clearly shows room for improvement.

Exhibit 2: Lender Satisfaction: All Transactions

There is scant evidence to support some improvement in satisfaction among short sale transactions as mentioned earlier in this report. The improvement is almost insignificant and in fact, in a few categories REALTORS® even reported a set-back when compared to last year’s average satisfaction rating. The Exhibit 3 below evidences that satisfaction with short sales had minimal contribution to this year’s increase in the Lender Performance Index, again a function of the smaller proportion of overall sales short sales played in 2014. Exhibit 3: Breakout: Lender Satisfaction with Short Sales

2 Rating is based on a 1 to 5 scale, where 1 = Very Dissatisfied and 5 = Very Satisfied

1 2 3 4 5

The timeliness of responses to your inquiries

Knowledge/professionalism of the representative you

worked with

Length of time to obtain approval/disapproval of the

short sale transaction

Expectations of financial contributions from the seller

at or after closing

Timeliness of buyer's financing approval

Your overall satisfaction with this lender

3.74

3.92

3.5

3.7

3.64

3.71

3.30

3.57

2.92

3.39

3.42

3.23

2.80

3.10

2.38

3.09

2.73

2.10

2.40

1.80

2.30

1.90

Lender Satisfaction: All Transactions

2011

2012

2013

2014

Very Satisfied Very Dissatisfied

5 2014 - Lender Performance Index

As shown in Exhibit 2, across all the various categories including overall satisfaction with lenders, REALTORS®’ average satisfaction rating2 not only improved from last year but registered its highest performance since 2011 when C.A.R. launched the Lender Satisfaction Survey. However, the overall score of 3.71 out of 5 clearly shows room for improvement.

Exhibit 2: Lender Satisfaction: All Transactions

There is scant evidence to support some improvement in satisfaction among short sale transactions as mentioned earlier in this report. The improvement is almost insignificant and in fact, in a few categories REALTORS® even reported a set-back when compared to last year’s average satisfaction rating. The Exhibit 3 below evidences that satisfaction with short sales had minimal contribution to this year’s increase in the Lender Performance Index, again a function of the smaller proportion of overall sales short sales played in 2014. Exhibit 3: Breakout: Lender Satisfaction with Short Sales

2 Rating is based on a 1 to 5 scale, where 1 = Very Dissatisfied and 5 = Very Satisfied

1 2 3 4 5

The timeliness of responses to your inquiries

Knowledge/professionalism of the representative you

worked with

Length of time to obtain approval/disapproval of the

short sale transaction

Expectations of financial contributions from the seller

at or after closing

Timeliness of buyer's financing approval

Your overall satisfaction with this lender

3.74

3.92

3.5

3.7

3.64

3.71

3.30

3.57

2.92

3.39

3.42

3.23

2.80

3.10

2.38

3.09

2.73

2.10

2.40

1.80

2.30

1.90

Lender Satisfaction: All Transactions

2011

2012

2013

2014

Very Satisfied Very Dissatisfied