September 20th, 2010
It seems that you can’t go anywhere with out hearing someone discussing their hardship regarding their home. As a REALTOR(TM) and a Broker I find these conversations fascinating. It amazes me how people are quoting information to one another that 98% of the time is not correct. You hear people saying stuff like ” just walk away, a foreclosure is better than a short sale”, or ” just file bankruptcy and it will wipe out the mortgage payments.” Neither could be more wrong. Best advice is to speak with a Bankruptcy attorney and get the hard facts about how this will effect your current situation and your FUTURE ability to leverage money.
On the short sale vs foreclosure…. Well, this is a no brainer, if you can short sale your home this will be looked on much more favorable on your credit report then a foreclosure. You need to do everything possible to try and fulfill the commitment you made with your lender when you agreed to pay them back hundreds of thousands of dollars.
Worst thing to do is NOTHING. Be responsbile and communicate with your mortgage company about what ALL your options may be.
May 5th, 2010
From an article in the California Associaton of Realtors News Letter:
“A Zillow Mortgage Marketplace survey found that borrowers who obtained a home loan in the past five years typically spent five hours researching their options, unchanged from March 2008. Nearly one-third (31 percent) spent two hours or less. This is on par with the typical time spent researching a vacation or computer purchase, and half the time consumers typically allocate to research a car purchase. ”
This is an unbelievable stat to me, but I am sure it’s true. Your home loan is the most money you will most likely ever borrow. Your mortgage professional should show you at least 3 options (assuming you qualify for more than one option) and then review each with you. He/She should discuss the plus and minus of each option. If you are staying in the home for 3-5 years then a 30 year loan may not make sense. Points and fees are the most confusing for home borrowers. Take your time, put a battery in your calculator and don’t just say ok, ok, ok, I got it. Ask questions even better ASK THE TOUGH QUESTIONS. make them earn their commission.
Before you drive off with that mortgage you know nothing about, take your time to shop around for the not only the best interest rate, but the best professional who will take their time to make sure you are going to have a lemon.
April 28th, 2010
“The price index for San Diego was up 0.6 percent from January, the only market out of 20 surveyed nationally with an increase. The index locally was up 7.6 percent from February 2009, second only to San Francisco.”
I am not surprised to see these kind of stats being posted. Recenty, I have noticed a shift in perception from home buyers when it comes to home values here in San Diego. I am hearing “prices are going to go up, now is the time to get in before you lose out”. More and more you get the feeling that our market is turning around. You have a better chance of playing for the Padres then getting an offer accepted in the 350k and under price range. Seems like multiple offers are the norm and starting to feel like 2006 again.
The upper end seems to be still slightly sluggish but I assume as the stock market continues to recover, soon we will be seeing those buyers back in.
Recently, I was told from a mortgage banker that mortgage insurance companies are no longer using declining values on a national basis and will now lend 95% of the value of the home up to 417k. This shows you that we have made some serious headway from 2 years ago.
It is my opinion that once the tax credit disappears we won’t not see any significant chang. After all, it is the American dream to own your own home.
San Diego was the first city to have its “bubble” burst, now it only makes sense that we would be the first to show significant improvement.
It should be interesting Q3-4 of 2010.
April 15th, 2010
Just read an article about the 1st time home buyer tax credit for Californians. Just when you think things are going your way…..
“The $100 million allocated for California’s first-time tax credits may be depleted in about 10 to 20 days or sooner, according to C.A.R.’s Economics team. California’s Franchise Tax Board (FTB) plans to begin accepting applications on May 1, 2010 for tax credits up to $10,000 for first-time home buyers and for homes that have never been previously occupied. However, the total tax credit allocation for all taxpayers is $100 million for first-time home buyers and $100 million for new homes, both on a first-come, first-served basis.”
So, if you are trying to utilize this in conjunction with the federal tax credit, HURRY UP AND WRITE AN OFFER!
April 15th, 2010
What a shame that WAMU is being put on the chopping block for what was the industry standard back in the early 2000′s. What nobody wants to talk about is the fact that it was Wall Street who was demanding these type of loans. Stated income, stated assets otherwise known as “Liar Loans” were the norm not the exception.
Why are the Wall Street boys who made sure that there was a liquid market for these loans not on the chopping block?
I say leave WAMU alone unless you are going fishing with a huge net for all the other banks who did exactly the same thing. At this point, lets all just move forward and just realize that greed was the culprit, not the banks.
April 4th, 2010
April is National Autism Awareness Month
Most like likely with the staggering statistic of one in ever 110 kids is diagnosed with Autism, it is highly probable that you have been touched in some way by this devastating impairment. Spread the word. Helping the autism community can be as easy as updating your Facebook or Twitter status! On April 1, the Autism Society is asking supporters to change their status on Facebook and/or Twitter to “Autism affects 1 in 110. Text “AUTISM” to 50555 to donate $10 to the Autism Society. Help spread the word: http://bit.ly/bUAVRf.” For the first time ever, supporters can now simply text “AUTISM” to 50555 to donate $10 to the Autism Society. 100% of your donations will go to support the Autism Society’s mission of improving the lives of all affected by autism.