Home Buyer Tax Credit and How It Works

Home Buyer Tax Credit: How It Works

First-time homebuyers in 2008 can take an income-tax credit on their purchase, thanks to passage in Congress earlier this year of the first-time home buyer tax credit.

The definition of first-time homebuyer is generous. To get the credit, the homebuyer cannot have owned a home in the previous three years. The home must be a principal residence and purchased between April 9, 2008 and July 1, 2009.

The credit is equal to 10 percent of the purchase price, up to $7,500. Single taxpayers with modified adjusted gross income up to $75,000 and couples with MAGI up to $150,000 will qualify for full credit. Singles with MAGI up to $95,000 and couples with MAGI up to $170,000 will get a reduced amount. Those with higher incomes don’t qualify.

If the amount of tax a homebuyer owes is less than the amount of the credit, they get to keep the difference in the form of an IRS refund.

The homebuyer must begin to repay the credit in two years in increments of about $500 a year over a 15-year period for those who received the full credit

Homebuyers who sell their home before the credit is repaid must pay off the loan with any profits. If they sell the home at a loss, the loan is forgiven.

[Editor's Note: The credit is set to expire in mid-2009, although industry groups, including the NATIONAL ASSOCIATION OF REALTORS®, are encouraging Congress to extend it. NAR is also encouraging Congress to make the credit available to all buyers and to eliminate the repayment requirement. More detail on how the credit works is available from NAR on REALTOR.org.]

Source: Chicago Tribune, Mary Umberger (12/28/2008)

How low will interest rates go!?!

30-Year Rates at Lowest in 4 Years
Freddie Mac reports a decline in the 30-year fixed mortgage rate to 5.47 percent during the week ended Dec. 11 from 5.53 percent last week and 6.11 percent a year ago.

Some lenders are locking in even lower rates as they build on momentum started when the Federal Reserve announced plans last month to purchase a substantial number of mortgage-backed securities. HSH Associates and Inside Mortgage Finance are reporting interest on 30-year fixed loans at 5.33 percent and 5.09 percent, respectively.

Freddie Mac chief economist Frank Nothaft says mortgage rates also were driven downward by the recession and rising unemployment.

Source: The Washington Post, Dina ElBoghdady (12/12/08)

© Copyright 2008 Information Inc.

Open House This Weekend!

Here's your chance to see a pristine home on rarely available street. This executive home features great views of golf course and lush landscaping. As you enter the stone courtyard you see this home is special. Formal entry, gound floor office with sliders to courtyard, formal dining room, large eat in kitchen with granite, custom window treatments, 4 bedrooms plus loft upstairs, laundry room, security system and so much more. Come see this wonderful home, you will not be disappointed you'll be home!

Open House Saturday Dec. 13th, 11:00am - 4:00 pm

1691 Emerald Point Ct, El Cajon, 92019

For more information or directions, call Kimberlee (619) 987-5143.

Investor 4 Loan Limit

Investors Not Happy With 4-Loan Limit


Some real estate investors are up in arms over a new Fannie Mae-Freddie Mac policy that limits to four the number of real estate loans that can be held by a single person.

The rule, which took effect Dec. 1, prohibits an investor from obtaining even a fifth mortgage no matter how much money he puts down or how much income documentation he provides. It offers no exceptions for assets or history of success as a real estate investor.

“The four-house rule is going to keep us in a recession longer,” said Tom Hutchens, an Atlanta-area investor. “It’s going to keep qualified buyers out of the market.”

Some investors are trying to work around the rule by partnering with other investors to either buy in cash or use their eligibility to borrow.

Source: The Atlanta Journal-Constitution, D.L. Bennett (12/05/08)

Happy Thanksgiving

I wanted to take a moment and wish everyone a Happy Thanksgiving. I hope you all have a chance to relax and spend some quality time with your family and friends.

Take Care,
Kimberlee

Log Home For Sale - Jamul

Citigroup Plans to Rescue 500,000 Home Owners

Citigroup Inc. announced Monday that it is putting a moratorium on most foreclosures as it reaches out to 500,000 home owners who are not currently behind on their mortgages but who are deemed to be a potential risk.

The company will assign 600 salespeople to assist the targeted borrowers by adjusting their rates, reducing principal, or increasing the term of the loan.

Citigroup reported losses in the last four quarters. Monday’s action is designed to stem the flow of red ink.

"Typically the lender loses the most money when a house goes into foreclosure," says Barry Zigas, director of housing policy at the Consumer Federation of America.

Source: The Associated Press, Sara Lepro (11/10/08)

Rancho San Diego Home For Sale

Call Kimberlee for all the details (619) 987-5143

Buyers With Great Credit Scores in Driver's Seat

Daily Real Estate News | November 5, 2008 | Share

Potential home buyers with great credit scores, enough cash for a 20 percent down payment, and some determination can get a very good deal right now.

"There are a lot of hungry mortgage originators, so great credit-quality borrowers are in the driver's seat,” says Keith T. Gumbinger, vice-president of HSH, a mortgage market analyst.

Borrowers need a credit score of at least 750 to get the best deals. Keeping credit-card balances below 35 percent of their credit line is very important, but 20 percent is the maximum allowed for a top score.

Buyers in a strong-enough position can ask sellers to agree to a contingency clause that gives them an out if they can’t get the best interest rate on a mortgage.

Source: BusinessWeek, Lauren Young (11/03/2008)

Good News for Some Borrowers

Daily Real Estate News | November 4, 2008

Action Suggests Seriousness on Refinancings

JPMorgan Chase & Co. has announced that it will rewrite 400,000 mortgages from Washington Mutual totaling $70 billion, following in the footsteps of Bank of America Corp.'s plans to rewrite 400,000 mortgages from Countrywide beginning next month.

JPMorgan Chase will reduce interest rates, suspend payments for a time, refinance mortgages through programs that write down loans to current home values, and halt foreclosure proceedings for borrowers who qualify for such assistance.

SMR Research President Stuart Feldstein expects the program to make an impact because Bank of America/Countrywide and JPMorgan Chase/Washington Mutual account for 29.2 percent of the nation's mortgages, and another 22.6 percent are tied to Citigroup Inc. and Wells Fargo & Co.

"You don't need all of the nation's 8,000 mortgage lenders to make these announcements," notes Feldstein. "You only need a handful to influence the majority of the mortgage market."

Source: Sacramento Bee, Jim Wasserman (11/04/08)

What You Should Know About VA Loans

VA Loans – The Veteran’s Best Friend!


No Down Payment required to $697,500!
Maximum Seller Contributions may exceed 6%!
100% Gift Funds Allowed!
No Minimum Reserve Requirements!
Not Limited to First Time Homebuyers!
Reservists Qualify for VA Benefits!
Quick Closings!



* The seller must pay all escrow fees and non allowable charges. In a $400,000 transaction this
will total about $3,000

* The seller may pay 4% over and above all the closing costs. Closing costs are not counted
towards the 4% seller contribution. This means the seller may pay all of the closing costs and
up to 4% towards discount points or the VA funding fee. This is the classic “VA No-No”

* The appraisal must be done by a VA approved appraiser. If the property does not appraise, the
borrower may cancel escrow with no loss of deposit.

* Repairs requested by the appraiser must be completed and re-inspected before closing.

* Termite report and clearance is always required for VA approval.

* Non occupant borrowers are not permitted to help the borrower qualify.

* Borrowers must occupy the property. No investment property purchases allowed. VA is often
confused as a “first time homebuyer” program, but this is not the case. VA borrowers may own
other property as long as the subject property will be owner occupied

* VA loans can be closed quickly. They don’t take longer to close than conventional loans.

* VA loans are assumable -

* Condos must be on the VA or FHA approved list.

* Condos must have 51% owner occupancy or greater, and 90% of the units must be sold and
closed. Some exceptions to the sold and closed ratio can be made for newly constructed
projects.

* To get a condo project approved, the loan officer must obtain a completed condo cert, and the
seller will have to provide CC&Rs, HOA Budget, By-Laws, and Articles of Incorporation.

If you would like more information regarding VA or other loans, feel free to call Patti Matta.

Patti Matta
858-831-0083 x104
Sr. Mortgage Advisor
Your Government Loan Expert!

List of lenders who are participating in HOPE for homeowners program

List of Lenders Who Are Participating in the HOPE for Homeowners (H4H) Program


NOTE: Homeowners, contact your existing lender and/or a new lender to discuss how you may qualify for the H4H program.


The lenders listed below have indicated an interest in refinancing loans under the HOPE for Homeowners program. When contacting any of the lenders listed below, you are strongly encouraged to contact your servicing lender and any subordinate lien holders since their participation is vital for you to refinance into a HOPE for Homeowners mortgage. It is important to remember that the HOPE for Homeowners program is voluntary and your servicing lender may offer different solutions for avoiding foreclosure.

If you are experiencing difficulty in communicating with your current servicing lender and/or subordinate lien holders, you may wish to contact a housing counseling agency to ask for advice and assistance in reaching a mutually agreeable solution for avoiding foreclosure.

To view the list of lenders who are participating in the HOPE for Homeowners program click on the link below. Your browser will open an Excel Spreadsheet.

http://portal.hud.gov/pls/portal/docs/PAGE/FHA_HOME/LENDERS/LIST_OF_LENDERS_WHO_ARE_PARTICIPATING_IN_THE_HOPE_FOR_HOMEOW/LIST%20OF%20H4H%20PARTICIPATING%20LENDERS.XLS

The H4H Lender List was updated on October 17, 2008. We will refresh the list on most Fridays.

10 Ways to Increase Property Values

With home prices down, anything you can do to increase your property value can really help. Here are 10 things you can do to increase what your home is worth.

RISMEDIA, Oct. 23, 2008-Homeowners play an important part not only in how their home is perceived by prospective buyers, but also its actual appraised value. To help sellers better maximize their profit potential, Robert Jenson, CEO of luxury Las Vegas realty The Jenson Group at RE/MAX CENTRAL, offers 10 tips for readily increasing a home’s worth:

1. Paint the exterior - A fresh coat of paint can give even a relatively new home a much needed facelift, and can often be done for as low as a few thousand dollars. Select a neutral tone that is consistent with other residences in the neighborhood. Also be sure to pay close attention to eaves, gutters and drains that may also need painting.

2. Complete all needed repairs - To maximize a home’s worth, it should be in good condition both inside and out. Don’t wait until there is an offer on the home. Hire an inspector now, and fix any and all problems, such as roof deficiencies, leaky plumbing and electrical concerns.

3. Purchase a home warranty - Establish peace of mind that comes with knowing a home and its contents are adequately covered in the event of a loss. A transferrable home warranty protection plan can provide added security to the home owner - and buyer - in this regard.

4. Furnish the home to sell - Appeal to the buyer’s emotion. Furnishing a home can go a long ways to getting your home sold, actually increasing the odds of it selling. Give buyers the option to procure the property with or without furnishings, and have a pre-established sale price set for either scenario.

5. Upgrade front yard landscaping - Curb appeal plays a big role more so than people realize. Potential buyers driving the neighborhood may never call on the For Sale sign, if your home doesn’t look appealing from the outside. As well, buyers waiting for their Realtor to show up will often spend a good amount of time critiquing the landscaping while waiting. In addition to purposeful foliage, add landscape lighting and a weather and soil moisture-based landscape irrigation scheduling device to boost value even more.

6. Create a quick kitchen makeover - Kitchens are one of the number one room in the home where you’ll get the most bang for your remodeling buck. Countertops and appliances are the quickest fix, as are faucets, fixtures, door knobs and other easily changed items that can have a large impact on the space.

7. Think spa, not bathroom - The master bath is an important a factor in a home’s worth. Think spa, or private sanctuary, where the master bath is concerned. A space meant to be relaxing, rejuvenating and more. Give buyers something to be excited about with upgraded faucets, fixtures, lighting, cabinetry, mirrors and the like. Then dress it up with plants, candles and other inexpensive, high impact décor.

8. Install soft and hard window treatments - There’s nothing more boring than a plain window. Take advantage of this easy opportunity to give the home’s interior design more impact, while also increasing the home’s actual worth. In addition to “hard” treatments such as blinds and shutters that offer privacy, also add soft treatments hung from decorative fixtures, which can alter the appeal of a room entirely. Look to a professional to ensure the best outcome.

9. Replace carpet rather than just cleaning - Rather than simply steam cleaning old, used carpet, replace it with fresh, neutral-toned carpet with an upgraded pad for an extra luxurious feel. Spending the extra money on new carpet will really make your home stand out from the crowd, in sight, feel and even smell.

10. Don’t overlook your closets - The better organized a closet, the larger it appears and the better it reflects on a home overall. Now is the time to box up those unwanted clothes and shoes and donate them to charity. Then, invest in a closet organization system - either by a professional or self-installed - which will positively impact an appraisal.

Try again to modify your loan!

Have you tried to modify your loan with your current lender but didn't have any luck? Maybe you should try again.

Daily Real Estate News | October 22, 2008
Mortgage Workouts Increase as Banks Ramp Up

Banks, faced with rising foreclosures, government pressure and economic realities, are growing more willing to modify loans to keep borrowers out of foreclosure.

More than three million U.S. homeowners over the last 15 months have either received loan modifications or are involved in programs where that will be the result.

* About 2.26 million mortgages have been modified under the Hope Now program, an alliance of mortgage servicers, counselors and investors.

* An estimated 400,000 homeowners are expected to participate in a new Federal Housing Administration program that allows borrowers in trouble to refinance into a 30-year FHA loan.

* Nearly 400,000 borrowers whose loans came from Countrywide Financial will be refinanced through new owner Bank of America as part of an agreement resulting from a class action lawsuit.

Source: USA Today, Stephanie Armour (10/22/2008)

Home Sales Skyrocket in Southern California

Daily Real Estate News | October 21, 2008


Home sales in southern California rose 65 percent in September compared to the same month a year ago.

A total of 20,497 new and existing houses and condominiums sold last month in Los Angeles, Riverside, San Diego, Ventura, San Bernardino, and Orange counties. It was the largest increase MDA DataQuick has recorded in the 20 years it has been keeping records, the company said Monday.

The increase was fueled by foreclosures, which drove down prices, MDA DataQuick said, pushing the median price down 33 percent from a year earlier to $308,500.

Sales so far this month appear to have been slowed by bad financial news, says Andrew LePage, an analyst with MDA DataQuick.

Source: Bloomberg, Daniel (10/20/08)

Bank of America Will Modify Troubled Loans

Daily Real Estate News | October 6, 2008


Bank of America on Monday said it is launching a "home retention program" on Dec. 1 to modify troubled mortgages for nearly 400,000 customers of Countrywide Financial Corp.

Bank of America acquired Countrywide on July 1.

The program, which can reduce up to $8.4 billion in interest payments and principal, was developed in partnership with state Attorneys General to help borrowers that financed their homes with subprime loans or adjustable rate mortgages.

The goal is to "help as many Countrywide customers as possible stay in their homes," says Barbara Desoer, president, Bank of America Mortgage, Home Equity and Insurance Services.

The centerpiece of the program is a proactive loan modification process to provide relief to borrowers who are seriously delinquent or are likely to become seriously delinquent as a result of rate resets or payment recasts. For more information, visit Bank of America's Web site.

Source: Bank of America

Santee Open House

Join me on Sunday for an open house at 7962 Woodpecker Way in Santee.

Do you know someone looking for an affordable, updated, move in ready home? Bring them by to take a look. This home is immaculate. The kitchen has been updated and the stainless appliances stay. Both baths have been updated as well. Other updates include, newer roof, windows, heat and AC. There is also a cozy fireplace. Outside, you will not believe this relaxing backyard and the spa stays. All of this and you are located on a quiet cul-de-sac.

Drop by and see for yourself on Sunday, October 5th, from 1:00-4:00. Call me if you need directions.

VA Home Loans

Daily Real Estate News | September 22, 2008
VA Loans Still Don't Require Down Payment

The U.S. Department of Veterans Affairs, whose loans remain one of the few no-down-payment options in this tight market, have made more than 162,000 home loan guaranties this year, an increase of more than 31 percent over the same period last year.

The VA has tried to streamline the loan process by allowing veterans to apply for a loan before they obtain a VA Certificate of Eligibility.

Once the borrowers have demonstrated that they are otherwise eligible, lenders can access the program's Web portal to use VA's online Automated Certificate of Eligibility (ACE) system and obtain the certificate for the veteran.

Many times, lenders can receive the certificate within seconds. The VA can process the application in less than 24 hours.

VA-guaranteed home loans are made to eligible veterans, service members, and surviving spouses through private mortgage lenders throughout the United States.

Source: U.S. Department of Veterans Affairs (09/21/2008)

Mortgage Rates drop to under 6! Are you excited!

Mortgage Rates Drop Below 6%

For the first time since early spring, mortgage rates have fallen below the 6-percent threshold.

Freddie Mac reports that 30-year fixed loans came in at an average of 5.93 percent this week, down from 6.35 percent a week ago and 6.31 percent at the same time last year.

A borrower taking out a $200,000 mortgage at 5.93 percent would pay $1,190 for monthly principal and interest payments, which is $54 less than the payments on last week's rate.

"Consumers see a five in front of mortgages, and they get excited," says Keith Gumbinger, a vice president at research firm HSH Associates.

Source: The Washington Post, Dina ElBoghdady (09/12/08)

Buyers FYI

Daily Real Estate News | September 11, 2008
Mortgage Rates Drop--At Least for Some

In the days since the government assumed control of Fannie Mae and Freddie Mac, the 30-year fixed mortgage rate has dropped to about 6 percent, says HSH Associates.

While many borrowers are rushing to lock in the new rates, experts point out that only those borrowing less than $729,750--the new conforming loan limit--will qualify for the lower rates.

Moreover, with lenders implementing rules slated to take effect at Fannie Mae in 2009 that mandate 15-percent down payments, more borrowers will face a cash hurdle to secure financing.

Source: Los Angeles Times, Scott Reckard (09/11/08)

Jamul Home For Sale

End in Sight for Seller-Funded Down Payments

Daily Real Estate News | September 2, 2008


Prospective homeowners have until Oct. 1, 2008, to use down payment assistance from a seller to purchase a house.

The Housing and Economic Recovery Act of 2008 signed into law in July bars such seller-funded aid on Federal Housing Administration-backed mortgages.

Lawmakers added the provision to the housing relief package because about 40 percent of FHA borrowers who went into foreclosure in the past year received down payment assistance from a seller.

However, some industry professionals are worried that the rule change will keep some buyers out of th market.

Scott Syphax, president of The Nehemiah Corp., which runs a privately funded down payment assistance program, cites a report by housing research firm Zelman & Associates.

The report found that 10 to 25 percent of potential home buyers will have no way of securing home ownership without seller-funded down payment assistance, and stated that the rule change will have far-reaching implications for the real estate industry at large.

Source: Augusta Chronicle (GA), Tim Rausch (09/02/08)

Did we miss the bottom?

There are lots of indicators that the bottom has hit in real estate sales. Read below to learn more about the indicators that the real estate market is definately improving.

Existing-Home Sales Hit 5-Month High

Existing-home sales rose in July to the highest level in five months, although they continue to be well below the numbers from last year at this time, according to the NATIONAL ASSOCIATION OF REALTORS®.

Existing-home sales – including single-family, townhomes, condominiums and co-ops – increased 3.1 percent in July to a seasonally adjusted annual rate of 5 million units from a downwardly revised level of 4.85 million in June. Sales were 13.2 percent lower than the 5.76 million-unit pace in July 2007.

NAR President Richard F. Gaylord, a broker with RE/MAX Real Estate Specialists in Long Beach, Calif., said the up-and-down pattern may break soon.

“We hope the new tools in the hands of home buyers from the recently enacted housing stimulus package will spark a sustained sales uptrend in the months ahead,” he said. “Buyers who’ve been on the sidelines should take a closer look at what’s available to them now in terms of financing and incentives. Given some of the inventory on the market, we also strongly encourage buyers to get a professional home inspection.”

Median Price Down 7.1% from Year Ago

The national median existing-home price for all housing types was $212,400 in July, down 7.1 percent from a year ago when the median was $228,600.

Lawrence Yun, NAR chief economist, said home prices in some regions could soon increase.

“Sales have picked up significantly in several Florida and California markets. Home prices generally follow sales trends after a few months of lag time,” he said. “Still, inventory remains high in many parts of the country and will require time to fully absorb. We expect more balanced conditions in 2009 and will eventually return to normal long-term appreciation patterns.”

Analysis of NAR price data since 1968 shows home prices normally rise 1 to 2 percentage points above the overall rate of inflation, building wealth over the typical period of homeownership.

11-Month Supply of Homes for Sale

Total housing inventory at the end of July rose 3.9 percent to 4.67 million existing homes available for sale, which represents an 11.2.-month supply at the current sales pace, up from a 11.1-month supply in June. The rise in supply results from a sharp increase in condo inventory; the single family supply declined.

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage rose to 6.43 percent in July from 6.32 percent in June; the rate was 6.70 percent in July 2007.

Single-family home sales rose 3.1 percent to a seasonally adjusted annual rate of 4.39 million in July from 4.26 million in June, but are 12.4 percent below the 5.01 million-unit level a year ago. The median existing single-family home price was $210,900 in July, down 7.7 percent from July 2007.

Existing condominium and co-op sales increased 3.4 percent to a seasonally adjusted annual rate of 610,000 units in July from 590,000 in June, but are 18.6 percent below the 749,000-unit pace in July 2007. The median existing condo price4 was $223,400 in July, which is 2.7 percent below a year ago.

In Detail: Regional Sales, Prices

West. Regionally, existing-home sales in the West jumped 9.7 percent in July to a level of 1.13 million and are 0.9 percent higher than July 2007. The median price in the West was $273,200, down 22.2 percent from a year ago.

Northeast. In the Northeast, existing-home sales rose 5.9 percent to an annual pace of 900,000 in July, but are 11.8 percent below a year ago. The median price in the Northeast was $278,700, which is 4.9 percent lower than July 2007.

Midwest. Existing-home sales in the Midwest increased 0.9 percent to an annual rate of 1.12 million in July, but are 17.0 percent lower than July 2007. The median price in the Midwest was $175,400, up 1.0 percent from a year ago.

South. In the South, existing-home sales slipped 0.5 percent to an annual pace of 1.85 million in July, and are 18.1 percent below a year ago. The median price in the South was $179,300, down 3.5 percent from June 2007.

— NAR

You Have Options To Foreclosure

With all the doom and gloom in the news it is no wonder that homeowners who are struggling to keep their home, feel there is no help. Many people are faced with higher mortgage payments, inflation and or course who can forget the crazy price of gas. All of these things are putting a real strain on many families. When the strain becomes too much many simply walk away from their home and let it get foreclosed on. This is so sad because there are other options available to consider. Maybe you can renegotiate the loan with the current lender, get a forbearance loan, bankruptcy, a deed in lieu, or sell the home short. Of course there are pros and cons to all of the options but at least there are options. If you know of someone who is struggling and needs some help let them know they have options. If you would like more information regarding any of the options please give me a call to arrange a time to discuss.

Buyers Hurry to Beat New Law

There is a new law that is going to take effect and it is not going to help buyers. Many buyers have been sitting on the fence and waiting for various things to occer before making the move to purchase a home. With the new law going into effect on Ocotber first I encourage you not to wait. See below... If you need assistance in purchasing a property call me. I am here to help.

New Mortgage Law Has Buyers Scrambling

Housing industry observers expect that prospective buyers will scramble to take advantage of seller-funded down-payment assistance before a federal ban on such programs takes effect on Oct. 1.

The federal housing bill signed into law in July sews up a loophole that allows nonprofit organizations to gift mortgage down payments, and industry experts believe markets that have relied heavily on the programs could see new-home sales cut by as much as half.

Seller-funded downpayment assistance has served as a surrogate for subprime loans in some ways and has helped builders put first-time and low-income buyers into new homes.

"We will eventually go back to the mind-set of a society where you have to have 3 percent up-front to buy a home," says Phoenix real estate analyst Jim Belfiore.

Source: Poughkeepsie Journal (N.Y.) (08/18/08)

© Copyright 2008 Information Inc.

Properties for UNDER $100,000

It is hard to believe that school is starting again but it is. As the summer activity winds down, now may be the time to consider buying an investment property. I have a list of El Cajon properties that are listed for UNDER $100,000. Call or email me and I will send you a copy. If you would like me search other areas or if you need more information just give me a call. Also, if you know of anyone thinking of buying or selling, please feel free to forward my contact information. Call me, I am here to help you achieve your real estate goals.

5 Moving Mistakes

5 Big Mistakes Consumers Make When Moving

By Fayette Wester

RISMEDIA, August 11, 2008-Moving may seem like an overwhelming experience for some home buyers, so we’ve compiled a list of “don’ts” to help consumers gear up for a smooth move.

1. Getting a quote over the phone or Internet: A big mistake that consumers make, when planning their moves, is obtaining a quote over the phone or the Internet. Any quote obtained in this manner is a non-binding quote. The only way to obtain a guaranteed or binding quote is to have a visual survey of your household goods by a reputable mover. If you choose to accept a quote over the phone or Internet you are setting yourself up for a nasty scenario when the mover shows up at your new home and demands more money.

2. Waiting too long to line up a mover: Allowing time for a visual survey, receiving a written and binding quote, and reserving a truck for your move takes a lead time of 4-6 weeks. Although moves can be arranged in a shorter period of time, many consumers find that their choices are limited by availability, especially in the busy summer months. In our current real estate market many homes are taking longer to sell, but once sold are closing very quickly. The time to obtain estimates for your move is before your home sells so that you are prepared when it does.

3. Misrepresenting what you are moving: It is very important to show the surveyor or estimator everything you are planning to move. If you forget to show items in a basement, garage, attic, or off-site storage unit and then add those items at time of pick-up, your estimate will no longer be binding. In the same vein, if you commit to packing your own items but don’t have time to finish, the van line will pack your items and charge you for the service. If you are uncertain of whether you will be taking something, or are not sure if you will have time to pack everything, ask the surveyor to put the items or service in the estimate. If you decide not to take something, or do not require the packing, the cost will be adjusted downward.

4. Paying a deposit up front: Reputable movers do not ask for payment up front to reserve trucks or dates. This is a classic red flag in moving. A reputable mover will expect payment upon delivery.

5. Finding a mover based upon price rather than reputation and service: If a mover gives you a price that is significantly lower than other movers it is likely that you are being low-balled. If a surveyor has underestimated your weight in order to give you a lower price you may find, on moving day, that the moving truck does not have enough room for your shipment. This is called an overflow. An overflow means that your items will not all travel together, will not all arrive at the same time, and will generally just cause you a big hassle. Another way to lower cost is to compromise service. Look for a competitive bid from a professional mover who is certified and reputable. Although price is an important factor, don’t base your decision on price alone.

The Move Advocate was designed to help you and your clients navigate your way to a smoother move. Call 800-617-1918 to discuss your moving needs with a professional moving coach, and to obtain multiple binding quotes at no cost and with no obligation.

For more information, visit www.moveadvocate.com.

Foreclosure Scams

The Daily Real Estate News reports that foreclosure scams are on the rise. It never ceases to amaze me the scum bags that come out of the woodwork to take advatage of people in desperate situations. But unfortunately this is not the first time it has happened and it will not be the last. It seems that every time there is some sort of disaster, the con artists are never far behind.

If you know of anyone who is at risk of loosing their home to foreclosure help them realize that if it sounds too good to be true...it probably is. Help them to find a reputable real estate agent to discuss their options. Many times people who are faced with foreclosure are embarrassed about the situation. This leads them to avoid talking to the people who can really help, instead they look for the solution in all the wrong places. Don't let your friends and neighbors fall victim to devastating scams.


Daily Real Estate News | August 5, 2008
Foreclosure Rescue Scams on the Rise

Foreclosure rescue scams, in which con artists prey on struggling home owners, are becoming more of a problem, according to the Federal Trade Commission.

The FTC has already filed three major foreclosure rescue cases this year, compared with zero a year ago; and one case involves thousands of victims and property worth millions of dollars, according to FTC regional director Brad Elbein, who heads the agency's foreclosure rescue campaign.

Some scammers promise to negotiate with a lender for a fee, then just take the money and run. In other cases, home owners pay rent to live in the house but sign title to a rescue company that is supposed to pay the mortgage. Instead, the company sells the house, taking whatever equity is left.

At least 14 states have passed new laws this year to protect home owners, including a new one in Idaho that requires a written contract with a rescue company and gives homeowners five days to change their minds.

"The scope is probably going to be potentially as large as the mortgage fraud problem itself," says Sharon Ormsby, the FBI's chief of financial crimes.

Source: USA Today, Donna Leinwand (08/04/08)

Palo Verde Ranch - Alpine

I recently spent the day at the lake in Pala Verde Ranch Development in Alpine. This was not the first time I had been. My daughters have had soccer parties and get togethers there before. But this time it struck me that many people who live in San Diego may not even be aware it exists. For residents of the "Ranch" this private lake is a great perk to buying a home in this development. It has everything to make for a great family outing. The water is warm and fresh. There are docks to swim out to, and it it not crowded. Residents and their guests can relax in the sun or shade, eat lunch at the picnic table or play volley ball on the sand court. There is a outside kitchen available with a refrigerator to keep your salads cold. Some residents have their canoes or small fishing boats docked there. What a great way to spend a summer day!

30-Year Mortgage Rates Rise Again

Freddie Mac reports a more than 0.25-percentage point gain in the 30-year fixed mortgage rate to 6.63 percent during the week ended July 24 from the prior week, marking the highest level since it reached 6.68 percent last August.

The 15-year fixed mortgage rate also increased, climbing to 6.18 percent from 5.78 percent.

Meanwhile, the five-year hybrid adjustable mortgage rate rose to 6.16 percent from 5.80 percent; and the one-year ARM surged to 5.49 percent from 5.10 percent.

Freddie Mac chief economist Frank Nothaft attributes the jump to "market concerns about rising inflation, further weakness in the housing market and greater probability that the Federal Reserve will raise short-term rates this year."

Source: Wall Street Journal (07/25/08)

Buyers What Are You Waiting For?

I read this today and felt very sad. Many home buyers are sitting on the fence waiting for the "bottom". But what they don't realize is the rise in interest rates will have a much bigger impact on their monthly payment. Buyers, if you are considering buying in the near future, do it now. There are great prices on properties and many properties to choose from. Don't wait for interest rates to go up further and put homebuying out of your reach.



Loan Applications Fall as Mortgage Rates Rise

As mortgage rates neared their highest level in a year, loan applications fell 6.2 percent on a seasonally adjusted basis to 489.6 from 522.2 the previous week, according to the Mortgage Bankers Association weekly survey.

On an unadjusted basis, the index decreased 6.1 percent from the previous week and was down 19.6 percent compared with the same week a year ago.

The refinance index decreased 5.6 percent and the seasonally adjusted purchase index declined 6.7 percent.

Mortgage rates generally rose:
30-year fixed-rate mortgages increased to 6.59 percent from 6.22 percent
15-year fixed-rate mortgages increased to 6.10 percent from 5.74 percent
1-year ARMs remained unchanged at 7.16 percent

Source: Mortgage Bankers Association (07/23/2008)

Olympic Schedule

I have mailed out the schedule for the upcoming Olympic games. If you have not received one give me a call and I will get it out in the mail to you immediately. The games begin on Friday August 8th with the opening ceremony. I have been watching the trials and I am already getting wrapped up in the stories of the athletes. Call if you need a schedule!

New Listing

Have you seen this great property? Call me for more information!

San Diego Fireworks

Here is a list of the 2008 Fireworks. Please let me know if I have missed any. Enjoy and have a fun and safe 4th of July!


CENTRAL SAN DIEGO

California Fireworks Cruise (Maritime Museum of San Diego): 6:30 to 10 p.m. $65; available to ages 7 and up. Check-in is at 6:15 p.m. (619) 234-9153.

Embarcadero Marina Park South: 7:30 p.m. Fireworks are presented to synchronized classical music. $15-$75. (619) 235-0804.

Fireworks Cruise by the Bay: 7 p.m. Hornblower Cruises & Events presents this event, which features food and music. Boarding time starts at 6:30 p.m. $71.40 for children 4-12; $119.00 for ages 13 and over. (800) 668-4322.

Glorietta Bay (Coronado): 9 p.m. Daylong festivities include a half-marathon, rough water swim, Art in the Park and live music. The annual Independence Day Parade takes place at 10 a.m. (619) 437-8788.La Jolla Cove: 9 p.m. (858) 454-1444.

Mira Mesa Recreation Center: 9 p.m. Celebration begins at 12 a.m. with a parade, followed by food, rides, games and entertainment in Mira Mesa Community Park. (858) 538-8122.

Mission Bay Yacht Club: 9 p.m. (858) 488-0501.

Ocean Beach Pier: 9 p.m. (619) 226-8613.

Paradise Point Resort and Spa: 9 p.m. Fireworks follow an All-American Barbecue that starts at 6 p.m. ($72 for adults; $29 for children younger than 12). (858) 274-4630.

San Diego Bay: 9 p.m. (858) 751-5755.SeaWorld: 9:30 p.m. $47-$57; parking is $10. Viewing also available along Crown Point. (800) 25-SHAMU.

EAST COUNTY

Town Center Community Park Ballfields (Santee): 9 p.m. (619) 258-4100, ext. 201.

Spring Valley Park: 9 p.m. (619) 479-1832.

NORTH COUNTY

Bradley Park (San Marcos): 9 p.m. Food and music are part of the celebration earlier in the day. Amazing Dana the Magician will perform at 6 and 7:30 p.m. (760) 744-9000 or ci.san-marcos.ca.us.

Brengle Terrace Park (Vista): 9 p.m. Daylong festivities include food, live entertainment and children's games. (760) 726-1340, ext. 1574.

Del Mar Beach (Camp Pendleton): 9 p.m. Daylong activities include music, food and games. (760) 725-2134 or mccscp.com.

Grape Day Park (Escondido): 9 p.m. Afternoon festivities, including game and food booths, music and entertainment for all ages. (760) 745-1159.

Julian: No fireworks. All-day Fridays festivities, beginning at 10 a.m., include a gunfight on Main Street, flyovers by World War II aircraft, a parade at noon, horses, a quilt show and a deep-pit barbecue. (760) 765-1857.

Legoland: 8:30 p.m. Regular park admission applies, though non-park guests are welcome to view fireworks from the parking lot for $2 after 7 p.m. $49.95-$59.95. (760) 918-5346.

Oceanside Pier: 9 p.m. The O'Fest Carnival on the strand includes a lineup of live music at the Oceanside Pier Amphitheater, 2 to 9 p.m. (760) 754-4512 or msoceanside.com.

Olive Pierce Middle School (Ramona): 9 p.m. Grounds open at 5 p.m. for town picnic including food booths and games for the whole family. 760-789-1311.

San Diego County Fair (Del Mar Fairgrounds): 9 p.m. A 7:30 p.m. performance by the Navy Band Southwest will be followed by fireworks and a concert by KC & the Sunshine Band. The show is free with fair admission for unreserved seats on the third and fifth levels, and for the standing area in front of the stage. $6-$12; parking is $9. (858) 755-1161.

SOUTH BAY

Kimball Park (National City): 9 p.m. The National City Community Concert Band will play during the fireworks. Carnival rides, games and food booths will be open at various times from July 2-6. A parade will be held July 5 at 6 p.m. (619) 336-4290.

Listings compiled by Gwen Jackson, Jason Ilgenfritz and Marcia Manna, Union-Tribune

More To Do This Summer

1. Stomp grapes at Orfila Vineyards & Winery (760) 738-6500

2. Hike or Bike Mule Hill at San Pasqual Valley Trail (858) 674-2270

3. Discover the Quail Botanical Garden in Encinitas (760) 436-3036

4. Visit the Chula Vista Nature Center www.chulavistanaturecenter.org
(619) 409-5900

5. Take a hike on oeceanview trails at Torrey Pines State Park (858) 755-2063

6. Enjoy a concert at Humphrey's on the Bay on Shelter Island
www.humphreysconcerts.com (619) 224-3577

7. Listen to live music at the Belly Up Tavern in Solana Beach
www.bellyuptavern.com (858) 481-9022

8. Take a tour of the Hotel Del Coronado (619) 435-7242

9. Go camping at Palomar Mountain State Park (800) 444-7275 reservations
(760) 742-3462 information

10. Hey Dude, admire the surf boards at California Surf Museum www.surfmuseum.org(858) 721-6876

11. Go Whale Watching with Morning Star Charters (619) 296-4052

12. Get a double decker bus tour of our city (619) 296-2400

Things to do in San Diego

Here are some fun things to do with the family this summer. Do you have something to add to this list? Send me your ideas.

1. Gather up the kids and go to the Children's Museum (619) 233-8792
2. Go wild at the San Diego Zoo (619) 234-3153
3. Enjoy the Stephen Birch Aquarium Museum (858) 534-3474
4. Visit your favorite orca at Sea World www.seaworld.com
5. Get soaked at Knott's Soak City (858) 674-2270
6. Build something great at Legoland www.lego.com
7. Check out the "new" ballpark and support the Padres (619) 795-5000
8. Have a ball at a Chargers game (858) 874-4500
9. Go on Safari at the Wild Animal Park (619) 231-1515
10. Find your inner scientist at the Rueban H Fleet Science Center (619) 238-1233
11. Satisfy your need for speed at Miramar Speed Circuit (858) 586-7500
12. Experiment at San Diego's Children Museum (760) 720-0737
13. Hurry, don't forget the San Diego Fair www.sdfair.com
14. Have a picnic at San Dieguito Park (858) 565-3600
15. Go old school at the San Diego Natural History Museum (619) 232-3821
16. Go for a ride at Belmont Park in Mission Beach (858) 228-9283

This is just a start of fun things to do this summer. More will be added to this list. Have a great summer!

Real Estate Sales on the Rise

Many buyers are getting off the fence, feeling that this is the "bottom". If you are considering buying a home, don't wait until interest rates go up again. Great properties are getting multiple offers and moving quickly. Call me and I will help you take advantage of this great market.

Daily Real Estate News | June 19, 2008
Calif.: Sales Rise as Home Prices Bottom

As foreclosures push down California housing prices, first-time home buyers surge into the market.

The California median home price fell 30 percent in May, the sharpest decline in 20 years, since DataQuick Information Systems began keeping records.

The drop in home prices has sparked a home-buying rally that's beginning to reverse more than two years of monthly year-over-year sales declines.

"Inland markets hit hardest by foreclosures and falling prices are now the most likely to post higher sales than last year," says Andrew LePage, a DataQuick analyst. "These communities have been attracting first-time buyers, first-time move-up buyers and investors."

Richard Cosner, president of Prudential California Realty, says buyers of homes whose prices have declined in the last 18 months from $400,000 to $200,000 must compete with multiple bidders.

"For the first-time homebuyers and for that bottom tier of homes, we've found what the bottom of the pricing is," Cosner says.

Source: The Associated Press, Alex Veiga (06/18/2008)

Mortgage Interest Rates Are On The Rise

Mortgage rates rise to 10-month high
By Holden Lewis • Bankrate.com


Those low mortgage rates were fun while they lasted.


Mortgage rates went up for the fourth week in a row and have risen well over half a percentage point in the last month. The 30-year fixed is at its highest point in 10 months.

The benchmark 30-year fixed-rate mortgage rose 10 basis points, to 6.62 percent, according to the Bankrate.com national survey of large lenders. A basis point is one-hundredth of 1 percentage point. The mortgages in this week's survey had an average total of 0.39 discount and origination points. One year ago, the mortgage index was 6.76 percent; four weeks ago, it was 6.02 percent.

The benchmark 15-year fixed-rate mortgage rose 8 basis points, to 6.2 percent, and the 30-year jumbo went up 11 basis points, to 7.71 percent. The benchmark 5/1 adjustable-rate mortgage rose 17 basis points, to 6.24 percent.


Weekly national mortgage survey


Results of Bankrate.com's June 18, 2008, weekly national survey of large lenders and the effect on monthly payments for a $165,000 loan:

30-year fixed 15-yearfixed 5-year ARM
This week's rate: 6.62% 6.20% 6.24%
Change from last week: +0.10 +0.08 +0.17
Monthly payment: $1,055.97 $1,410.26 $1,014.86
Change from last week: +$10.89 +$4.18 +$18.16

This is the highest rate for the 30-year fixed since Bankrate's Aug. 15 survey, when it was 6.68 percent.

Just five months ago, in the middle of January, the 30-year fixed was 5.57 percent. It has gone up more than a percentage point since then.

Inflation and credit move the needle
Many factors govern mortgage rates, and two of those factors are inflation and credit quality. Both are pushing rates higher. Most consumers are aware that prices are rising, even if the government says inflation is still relatively low. That's the inflation factor.

And millions of homeowners are behind on their mortgage payments, or their homes are in foreclosure. That's the credit-quality factor.

Mix inflation with a foreclosure wave, and you get higher mortgage rates, with lenders reluctant to lend.

It reminds Daniel Pantoja, a manager for Advent Mortgage, in Louisville, Ky., of the 1970s, "when people couldn't afford to buy a house because of where rates were at, and there were economic issues, with inflation, rising rates and high fuel prices."


One big difference is that mortgage rates were much higher in the late 1970s, topping 18 percent. Back then, high rates kept people from borrowing; now, strict lending standards make it hard to qualify for a mortgage.

"Now banks don't want to do mortgages," says Alan Rosenbaum, president of GuardHill Financial, a mortgage brokerage in New York City. "That's pulling our economy deeper and deeper into recession."

Rate rise on the horizon?
The Federal Reserve's rate policy panel meets next week, and is expected to keep short-term rates unchanged. But some Fed members have begun to talk of the imperative to fight inflation -- implying that the central bank might raise short-term rates sometime this year.

"I think that's a mistake," Rosenbaum says. "Yes, there's inflation -- but there's also recession here. Raising interest rates is not going to promote people into spending more money."

There's another way of looking at it: A Fed rate hike this summer or fall might be seen as anti-inflationary, which could cause long-term mortgage rates to fall. Short-term and long-term rates don't always move in the same direction.

Pantoja isn't yet advocating for a Fed rate hike, but he doesn't mind when Fed officials jawbone about the perils of inflation. A few days of that, he says, might send mortgage rates lower.

Bankrate.com's corrections policy -- Posted: June 12, 2008

What are you doing this summer?

Okay, the girls are bored and I am out of ideas. Lets come up with some fun things to do and share them. What are your fun, go-to-ideas? Let's try to keep it fairly inexpensive and unique. Send me your ideas and I will post them here. Try to keep it local to the San Diego Area. Let's have FUN!

SD United Woman's Soccer Schedule

JUN. 15 Sunday La Rampage * Granada Hills 6PM
Jun. 21 Saturday San Diego Sea Lions Cathedral High TBD
JUN. 22 SUNDAY CLAREMONT STARS* Valhalla Stadium 4PM
Jun. 28 SUNDAY WEST COAST FC Valhalla Stadium 6PM
Jun. 29 Sunday OPEN
JUL. 5 SATURDAY MONTEREY Valhalla Stadium 6PM
JUL. 6 SUNDAY S.F. NIGHTHAWKS Valhalla Stadium 4PM
Jul. 12 Saturday West Coast FC TBD TBD
Jul. 13 SUNDAY LA RAMPAGE * Valhalla Stadium 4PM
Jul. 19 Saturday Conference Playoffs 1st RD TBD TBD
Jul. 20 Sunday Conference Playoffs Final TBD TBD
Jul. 26 Saturday WPSL Final 4 Sacramento TBD
Jul. 27 Sunday WPSL Championship Sacramento TBD

Santee Foundation

Happy Summer everyone!

WEBSITE IS UPDATED AND PACKED WITH NEWS!

I would be grateful if you would do two things
1- read the articles and get to know what the foundation is about and how it is directly impacting programs at all the Santee School Sites- AND email me your comments/ideas/etc

2- It is important that we are visable to all Santee parents/children/staff/administration/friends/grandparents....you get the idea :).....

FORWARD THIS EMAIL AND THE LINK TO ALL THE SANTEE PEOPLE IN YOUR ADDRESS BOOK.... PLEASE .... I NEED YOU.

http//www.santeefoundation.net


WITH SINCERE THANKS
MARIA LENHOFF
PRESIDENT
SANTEE SCHOOL DISTRICT FOUNDATION

Mortgage Rates Climb to 8-Month High

The Daily Real Estate news is reporting that interest climbed to an 8-month high. What does that mean to you? It means that if you have been sitting on the fence, considering buying a home but have not made the move, the time is now. When interest rates go up it can really affect your monthly mortgage payment. Stop waiting for interest rates to go any higher.

In San Diego East County we are seeing signs that the market is turning around. The number of pending sales are up, time on the market is down and we are seeing multiple offer situations. If you are considering buying your first home or moving up to larger home, don't wait! Call me today so we can start the process.


Daily Real Estate News | June 13, 2008


Speculation that the central bank could reverse its rate-cutting campaign later this year as a way to keep inflation in check drove up mortgage borrowing costs during the past week, according to Freddie Mac.

Interest on 30-year loans settled at 6.32 percent in the latest survey, climbing from 6.09 percent the previous week to the highest level seen in eight months.

Meanwhile, rates on 15-year fixed loans moved up to 5.93 percent from 5.65 percent for the week; while one-year adjustable-rate mortgages drifted up to 5.09 percent from 5.06 percent. Five-year ARMs floated up to 5.70 percent from 5.51 percent.

Source: Philadelphia Inquirer (06/13/08)

Home Prices Starting to Rise

Daily Real Estate News | June 10, 2008
Calif. Home Prices Rise in Coastal Areas

Home prices in California are rising significantly in key areas, according to mortgage technology company FNC Inc.

FNC's new Residential Price Index, which measure home prices monthly, points out that 15 percent of ZIP codes in San Diego, 25 percent in Orange County, and 24 percent in L.A. County appreciated from January through April.

“We are seeing signs that certain ZIP codes, typically in coastal areas, are beginning to stabilize and even appreciate from their end-of-2007 lows," said Robert Dorsey, executive vice president for Data and Analytics at FNC.

Source: FNC Inc. (06/09/08)

Pending Sales are UP

Daily Real Estate News | June 9, 2008
Pending Sales Up 6.3% in April

A modest gain in the level of home sales is possible over the next couple months, and an improvement is forecast for the second half of this year as more buyers are able to access affordable mortgages, according to the latest forecast by the NATIONAL ASSOCIATION OF REALTORS®.

The Pending Home Sales Index, a forward-looking indicator based on contracts signed in April, rose 6.3 percent to 88.2 from a reading of 83.0 in March. It’s the highest index since last October, but remains 13.1 percent lower than April 2007, when it stood at 101.5.

Lawrence Yun, NAR chief economist, says pending sales contracts have picked up notably in areas undergoing significant price drops.

“Bargain hunters have entered the market en masse, especially in areas that have experienced double-digit price declines, but it’s unclear if they are investors or owner-occupants,” he says. “Sharp price reductions are leading to a quicker discovery of price equilibrium points. The West is already seeing year-over-year gains in pending contracts.”

The Pending Home Sales Index in the West rose 8.3 percent to 98.8 in April from March, and is up 4.0 percent from April 2007. In the Midwest, the index jumped 13.0 percent to 83.7 in April but remains 13.1 percent below a year ago. The index in the South increased 4.6 percent to 88.8 but is 22.5 percent below April 2007. In the Northeast, the index declined 1.9 percent in April to 79.3 and is 12.2 percent below a year ago.

Here are some other market predictions from Yun and NAR:

Affordability getting better. NAR’s housing affordability index has been trending up this year and is projected to rise 15 percentage points to 128.0 for all of 2008. “It appears that more buyers are realizing they can take advantage of a favorable combination of mortgage interest rates, home prices and family income,” says NAR President Richard F. Gaylord. “Overall affordability conditions are the best we’ve seen since the middle of the housing boom in 2004, but with far more choices and much less pressure than buyers experienced four years ago to make an investment in their future. Recent declines in mortgage rates on conforming jumbo loans and a return to sound but not overly stringent underwriting standards will permit more people to qualify for a loan.”
Mortgage rates to go up. “Although mortgage interest rates will remain historically favorable, they will start to steadily inch up,” Yun said. The 30-year fixed-rate mortgage should rise gradually to 6.3 percent by the end of this year, and then hold at that level for most of 2009.
Demand for homes only rising. Yun said the underlying fundamentals point to a pent-up demand. “Home sales are at about the same level as they were 10 years ago, yet the population has grown by 25 million people and we have over 10 million more jobs,” he said. “The housing market has been underperforming by historical standards, partly because buyers were hampered by mortgage availability issues, but that’s improved and an upturn is more likely. On the other hand, it’s unclear what role consumer confidence will play in the coming months.”
EHS to see healthy gains in ’09. Existing-home sales should increase from an annual pace of 5.05 million in the second quarter to 5.83 million in the fourth quarter. For all of this year, existing-home sales are expected to total 5.40 million, and then rise 6.3 percent to 5.74 million in 2009. “Sales gains will be greatest in areas that underwent sharp price declines,” Yun said.
Prices to stabilize in second half of this year. After unprecedented home price declines in the first half of the year, many markets can anticipate stabilizing price trends in the second half. The aggregate median existing-home price is likely to decline 8.4 percent in the first half of this year, and then begin to stabilize in the second half before rising 4.4 percent next year to $213,900. “Policymakers need to be attentive to the fact that many homeowners have seen a reduction in housing equity, or are in an ‘underwater’ situation. More needs to be done on the policy front to alleviate hardships and bring fence-sitters back into the marketplace,” Yun says.
New-home sales slow to recover. New-home sales will probably fall 31.7 percent to 529,000 in 2008 before rising 12.5 percent to 595,000 next year. Housing starts, including multifamily units, are projected to drop 27.2 percent to 987,000 this year, and then slip 0.6 percent to 980,000 in 2009. “Rising construction costs will provide less room for price cuts on new homes,” Yun said. The median new-home price is forecast to decline 3.1 percent to $239,500 in 2008, and then rise 5.4 percent next year to $252,400.
A better economic picture. Yun sees an improving economy. Growth in the U.S. gross domestic product (GDP) should be 1.7 percent in 2008 and 2.0 percent next year. The unemployment rate is estimated to average 5.3 percent this year and 5.6 percent in 2009.
Inflation growing. Inflation, as measured by the Consumer Price Index, is expected to be 3.6 percent this year and 2.4 percent in 2009. Inflation-adjusted disposable personal income should grow 1.4 percent in 2008 and 2.5 percent next year.

Existing-home sales for May will be released June 26; the next forecast and Pending Home Sales Index will be released July 8.

Before you Head To The Beach

Although yesterday it was cold and cloudy, we are heading into summer and for many that means heading to San Diego's beautiful beaches. Before you go, take some time to read the article below. You can never be too safe.



By Kathy Van Mullekom

RISMEDIA, June 5, 2008-(MCT)-You’re all set for a day at the beach or on the boat. Snacks and beverages are packed, towels are tucked into your tote bag and you’ve got sunglasses and a book or two to browse.

Is your protective sunscreen in there, too? Hopefully it is. Your skin is something you really want to protect from sunburn even moderate tanning.

“There is no such thing as a `healthy tan,’” says Leslie Coker, a dermatologist and the mother of a 2-year-old daughter in Hampton, Va. “Tanning of the skin is a result of ultraviolet ray damage to the DNA of your skin cell. Sun damage is cumulative. A golden tan while you are young could mean skin cancer and a leathery hide when you are middle aged.”

Q. What makes a good sunscreen and how should you use it?
A. Look for a broad-spectrum sunscreen-one that blocks UVA and UVB rays—with a SPF of 15 or more. Remember that waterproof sunscreens protect up to 80 minutes in the water, while water-resistant ones are good for only 40 minutes. As for makeup with sunscreen, the more the better.

Q. What protection do kids need?
A. They need sun-protective clothing and swimsuits, hats and sunscreens. Zinc- and titanium-based sunscreens are best for kids and adults with sensitive skin. Spray sunscreens make life easier but need to be used liberally.

Q. What’s your opinion on tanning lotions?
A. I like them. They are safe but still a little messy.

Q. How does being on the beach or in a boat change what the sun does to your skin?
A. You are getting direct sunlight plus you’re exposed to reflective rays off the water. Sweating and swimming rinses sunscreen off so reapplying it is important. Unfortunately, reapplication on sandy or wet skin is tough. Go for sun-protective clothing for large body areas. Wind breaks down the outer protective layer of skin and this magnifies sun damage; lube up with a heavy sunscreen and wear a hat.

Q. What are the visible signs of sun damage to skin?
A. Age spots, freckles, wrinkles and fine superficial blood vessels are the typical signs. Ultra violet rays also accelerate the breakdown of collagen and elastin, causing the skin to become thin and not as elastic.

Q. Do people use too much sunscreen, at the risk of not getting enough Vitamin D from the sun?
A. Most people get adequate amounts of sun exposure with daily activities like getting your mail or walking to and from your car. For anyone who never sees the light of day, Vitamin D deficiency is possible. Women and men with a personal or family history of osteoporosis should have their Vitamin D levels checked.

Q. What is good and bad for skin in general?
A. Many people over wash. The skin is a barrier that prevents moisture loss and protects us from infection, etc. Detergents and scrubbing, as in exfoliating, is so popular and, in most cases, I find it detrimental. Smooth pink skin exfoliated or raw skin is not healthy. I recommend using soap in body folds but discourage my patients from lathering up their entire body. A thin layer of petroleum jelly on wet skin traps moisture and when used correctly leaves skin soft and smooth.

Q. What summer skin-care regimen do you follow for yourself and child?
A. I hate to name products because there are many good sunscreens available at drugstores. I like zinc oxide and titanium dioxide products (sun blockers) and I have found a very sheer product that I use first thing in the morning. Ellie and I both wear sun protective clothing and hats because even I dislike rubbing creams on my arms and trunk. Ellie and I reapply our 30+ SPF every two hours when we are outside and we always search for shade! My skin-care maintenance routine includes tretinoin cream (like Renova) alternating with topical Vitamin C serum nightly.

Summer Skin Care

Wear your sunscreen. Find a sunscreen you like. If something is thick, stinky or sticky, you are less likely to use it frequently. One to two ounces of sunscreen, about the size of a golf ball, covers your body and needs to be reapplied every two to four hours. So, obviously, one tube of sunscreen shouldn’t last much more than a weekend at the beach.

Also, overcast days provide plenty of harmful rays so remember your sunscreen when it’s cloudy outdoors.

Protect your lips and ears. Skin cancers in these areas are often aggressive so wear a hat over your ears and/or use sunscreen on these vulnerable parts.

Seek shade. Cover up with clothing. A typical cotton T-shirt only provides protection equal to about an SPF 15 sunscreen and when wet, it can drop to an SPF of 8. Sun-protective clothing is ideal if you dislike lathering up with lotion especially great for kids who won’t stand still as well as athletes and outdoorsmen. Some of these fabrics are as light as tissue paper and provide optimal ventilation.

Learn to perform a good skin exam. It’s like doing a tick check; look for anything that appears out of place. Learn the warning signs for melanoma, as well as basal or squamous cell skin cancers; Google or go to the Website www.aiderm.com for photos.

Schedule checkups. Get a baseline exam by a dermatologist to ensure your skin stays healthy.

- Dermatologist Leslie Coker of Hampton, Va.

© 2008, Daily Press (Newport News, Va.).
Distributed by McClatchy-Tribune Information Services.

What the news won't tell you

I am so tired of the doom and gloom about the real estate market that the news reports. When the news puts such a negative spin on it I am not sure where they are coming from. What they fail to mention is that there isn't just one real estate market. "The Market" varies from state to state, zip code to zip code, neighborhood to neighborhood and sometimes street to street. They also fail to mention that the local activity is picking up. Inventory is shrinking, pending sales are up and time on market is down. We are running into multiple offer situations when the property is attractive and priced correctly. Homes are recieving offers and selling sometimes above list price. There is no denying that the mortgage issues put many home sellers in horrible situations. But if you are currently looking to buy in our market you will see there is a lot of activity and competition for homes. But the news continues to preach the doom and gloom scaring many buyers and sellers and giving them misinformation.

Visit the link below and you will see the positive reality in the San Diego market.


Daily Real Estate News May 28, 2008
Plenty of Positive Market News Today

Hungry for a little good real estate news? Leon d’Ancona, president of IMS Inc., has something to cheer you up.

D’Ancona, who provides real estate information to the industry, has set up a Web site http://www.happyrenews.com/ that lists 2,319 markets in the United States where homes are selling well.

For instance, Loganville, Ga., homes sold 38.5 percent faster in April than they did in March, and sales of homes in Avondale, Ariz., increased by 64 percent in April compared with March

"The problem with glass-is-half-empty stories is that they have an undue psychological impact on markets that is not borne out by all the facts," says d’Ancona. "We know, because it's our business to know, that there are hundreds of cities and thousands of neighborhoods in the United States right now where the market is very healthy, thank you.”

Positve Cash Flow

I just helped a client purchase an investment property that will immediately give him positive cash flow. The condo was sold for $140,000, the HOA’s had been paid for 4 years in advance. He is planning on renting for $1400 per month. (Other units in the complex are currently renting for $1300-$1500.) The cost of the loan, taxes and insurance is approximately $1050. This leaves $350 in positive cash flow.

Many believe this is the “bottom”. Prices are beginning to stabilize. Inventory is shrinking, pending sales increasing and time on market is shortening. We are also running into multiple offer situations.

The point is that if you or someone you know is considering taking advantage of lower prices, now could be the time. If you want to move up to a larger home or buy an investment property there are some great deals out there. Call me and let me know what you are looking for and I will help you find it.



I am here to help!

Short Sale Information

You may be hearing more about Short Sales. i found this article that you might find informative. If you are considering selling your home "short" or buying a short sale property, call me. I can answer your questions and help you with the process.

Short Sales Rise as Homeowners Seek Alternative to Foreclosure


RISMEDIA, May 22, 2008-(MCT)-In real estate, it’s the sale of a home or property for less than the amount owed the lender. The owner nets nothing on the sale and until recently, it also meant a tax liability, as the IRS considered the difference between the sale price and outstanding loan amount as income.

It’s not a favorable option, but a short sale can be the best way for a homeowner to get out from under a loan and avoid foreclosure, according to local real estate representatives.

Trouble is, a successful short sale is entirely dependent on the lender’s authorization. A seller may find a willing buyer, but unless the lender agrees to take a loss on the property, the sale won’t happen.

And as more homeowners near foreclosure — in Deschutes County, there were 528 notices of default, a precursor to foreclosure proceedings, filed between Jan. 1 and Thursday, a 303.5 percent increase over the same period last year — more homeowners are pursuing short sales.

Tom Greene, the president of the Central Oregon Association of Realtors, said roughly 7 percent of the homes currently listed in Deschutes County are short sales. That represents a huge jump, he said, as short sales used to be exceedingly rare.

“This is a new phenomenon,” Greene said. “You used to run into them once every six months.”

Short Sale 101 The reason most homeowners ask a lender for a short sale — be it hardship, a job transfer or a bad investment — is to avoid foreclosure, said Cat Zwicker-Grant, principal broker with Desert Sky Real Estate in Redmond.

The upside of a short sale is it doesn’t negatively affect a homeowner’s credit score, the way a foreclosure would.

The downside is the homeowner surrenders their investment in the home and has to certify he or she has not profited from the sale in any way. In addition, most lenders want proof a homeowner doesn’t have other financial means to pay for the loan, Zwicker-Grant said.

“You are asking the bank to accept a loss on your behalf, so if they do that, they want to know you are worthy,” she said.

In other words, if it’s a second home a homeowner is trying to short-sell, the chances a bank would accept one are slim, Zwicker-Grant said.

Filing for bankruptcy won’t help, either. If you can’t make mortgage payments, you can’t keep your home, said Deidra Cherzan, a Bend attorney who specializes in bankruptcy filings.

Bankruptcy law does provide exemptions for primary residences but only if the mortgage is in good standing and the filer can continue to make payments, she said.

The key to a successful short sale is to start the process early, Zwicker-Grant said. Contact the lender, and begin the application process. The next step is to list the house and find a buyer. If one is found, the buyer submits the offer to the lender, which approves or rejects the sale.

The trick is timing, Zwicker-Grant said. Most homeowners don’t begin the short-sale process until they are behind on payments. This often puts homeowners up against the clock.

A notice of default is generally sent out after 90 days of nonpayment, and a house can be put up for auction by a lender 90 days later. If no one bids on the home, it is foreclosed on by the lender and the lender assumes ownership.

Banks or lenders typically don’t want to own real estate, so even though they may take a loss on a short sale, it’s often less costly in the long run, considering the amount a bank would pay for title fees, to maintain a home, cover its taxes and pay real estate commissions when it sells, Zwicker-Grant said.

Zwicker-Grant said banks can be choosy when it comes to approving short sales and accepting bids. Like other sellers, they often hold out for the best possible deal.

“Just because the first offer came in, (the lender) looks at what’s going to close the quickest and get them the most money,” Zwicker-Grant said. “The bank is really in the driver’s seat.”

As of Wednesday, there were 131 short-sale homes listed in Bend and 68 in Redmond, representing roughly 9 percent and 7 percent of the listings in those markets, respectively, Greene said. Since Jan. 1, 17 short sales have closed in Bend and 34 in Redmond, according to Greene.

Valerie Hunter, principal broker at H & H Preferred Real Estate in Redmond, said she has helped close nearly 40 short sales in Central Oregon in recent months, the most she’s seen in the eight years she’s specialized in them. But as banks back up with short-sale applications, Hunter said the process is getting harder.

“Seventy-five percent don’t get successfully negotiated,” Hunter said.

“It’s a lot of work to do a short sale, and I try not to do them anymore because they are becoming more of a headache.”

If a short sale is approved, and a buyer purchases the seller’s home, the seller is not completely out of the woods. In past years, the amount of the loan forgiven by the lender — the difference between the outstanding loan amount and the sale price — was considered taxable income by the IRS.

That changed in December when President Bush signed the Mortgage Forgiveness Debt Relief Act of 2007. The act excludes income derived from debt forgiveness on a principal residence from taxation, but only for debt forgiven in 2007, 2008 or 2009.

For that reason and because of market conditions, Zwicker-Grant is seeing more homeowners take advantage of the process.

“Short sales have always been around, but we’ve never seen it so prevalent,” Zwicker-Grant said.

Copyright © 2008, The Bulletin, Bend, Ore.
Distributed by McClatchy-Tribune Information Services

Foreclosure Help

Here are some tips for you if you are facing foreclosure. Let me know if you have any questions or if there is anything I can do to help.


Daily Real Estate News | May 19, 2008
Advice for Anyone Facing Foreclosure

Jacob Benaroya, president and managing partner of Biltmore Capital Group, which purchases distressed loans from a wide array of lending companies, offers these seven tips for home owners facing foreclosure.

Don’t hide. Open the mail; answer the phone. Respond.
Be proactive. Contact the bank or lending institution and discuss your financial situation.
Know your mortgage rights. Review loan documents so you know what your lender may do if you can't make payments.
Avoid foreclosure prevention companies. Don’t pay money for foreclosure advice..
Contact a HUD-approved housing counselor. The U.S. Department of Housing and Urban Development (HUD) funds free or very low cost housing counseling nationwide. They’ll help you understand the law and your options, organize your finances and represent you in negotiations with your lender if assistance is required.
Prioritize spending. After health care, keeping your home should be your first priority. Review your finances and see what spending can be cut in order to make your mortgage payment. Look for optional expenses - cable TV, memberships, entertainment - that can be eliminated. Delay payments on credit cards and other "unsecured" debt until you have paid your mortgage.
Use other assets. Do you have assets such as a second car, jewelry, a whole life insurance policy-that can be sold to help reinstate the loan? Can anyone in the household bring in additional income?

Source: Biltmore Capital Group (05/16/2008)

Spring Gardening Help

Spring is in the air and we are all starting to spend more time outside. When we head outside we may notice that our yards could use a little help. Before you take off to your local nursery, read below for some valueable tips that could save you time and money.

Green in the Thumb, Not the Wallet? Top Tips for Smart Garden Shopping
By Beth Botts

RISMEDIA, May 15, 2008-(MCT)-For beginners, especially, a garden center can be overwhelming and bewildering: the colors and dazzle, the crowds, the high spirits, the pie-in-the-sky fantasies, the peer pressure, the devil-may-care impulse buying that can leave a wallet gasping. But some preparation, a bit of planning and a little knowledge can cut the problem down to size and improve the odds for plants (and wallets).

We asked Elizabeth Hoffman, owner of West End Florist & Garden Center in Evanston, Ill., (800-228-8755 or westendflorist.com) and George Rumsey, perennials co-chair for the Hyde Park (Ill.) Garden Fair (May 16-17; hydeparkgardenfair.org) for advice on smart shopping.

Read Labels. The conditions the plant needs are listed on the label (often as symbols). If you don’t understand the symbols, ask. And never buy a plant without a label.

Annual of Perennial? This is a key distinction. Annuals bloom all season and then die (and require more fertilizing and, often, watering). Perennials live from season to season, but they bloom only for a few weeks each year. Different perennials bloom at different times. “You buy perennials for the long term, not for instant satisfaction like you do annuals,” says Rumsey.

Resist Seduction. Retailers know gardeners are suckers for flowers, so many plants are manipulated to bloom way too early at prime shopping time. That may leave them weak, stressed and sickly in your garden. A perennial that is in bloom way ahead of time-say a daylily or a coneflower flowering in May- won’t bloom again this summer. So read the label and don’t buy perennials that are blooming outside their natural time.

Check Bloom Color. For annuals, it can be important to see the flower color, so find a six-pack or flat with one or two blooms, but the rest just buds. You want the plant to save most of its blooming for your garden.

Leaf Color. Leaves should be a healthy, fresh green-unless the plant has been bred to have chartreuse or purple or white leaves. Check the label.

Shape. Plants should be full, fairly compact, with balanced growth in proportion to the pot. “I don’t want anything that looks overgrown or rangy,” with stalky stems and lots of space between leaves, Rumsey says. That usually means the plant has been stretching to get light. If it hasn’t been given the right light, it may have been neglected in other ways.

Pests and Disease. Don’t buy a plant if there are spots or brown edges on the leaves, or if you see crawling or flying bugs.

Roots. The root system is more important than the top growth. Roots should be white and mostly fill the pot, but not be a solid mass circling the pot wall or showing at the surface of the soil. Ask, though, before you remove a plant from a pot to look at the roots. If a lot of roots are coming out the holes in the pot, “it probably means it’s an old plant that’s been in the pot too long,” Rumsey says.

Small vs. Large. There are trade-offs in pot size. Flats of annuals and vegetables sold for about the same price may contain 36 plants or 48 smaller, younger ones. More plants may not be a better deal; the larger plants will have better-developed roots. Perennials usually are sold in 1-gallon pots. You can save money by buying them in 3-inch pots, but they likely won’t flower until next year. And bear in mind that a larger pot doesn’t always mean a larger or more mature plant.

Don’t shop just by price. A cheap, hastily grown plant, with oversized, chemically boosted foliage and out-of-season flowers but poor roots, is no bargain.

© 2008, Chicago Tribune.
Distributed by McClatchy-Tribune Information Services.

Drop Price and Sell, or Find a Renter?

Today's market can be tough on sellers. Some will be faced with the decision to either drop the price of their home to get it sold or to rent it out until the market goes back up. Read below for some interesting thoughts on makin this decision.

--------------------------------------------------------------------------------


Daily Real Estate News | May 12, 2008


Home owners who are having a tough time selling their homes face a hard decision – should they drop the price in hopes of attracting a bargain hunter, or should they find a renter and hold on until prices go back up?

Benny L. Kass, real estate attorney and columnist for the Washington Post, offers these reasons why selling now is better than waiting it out.

Tax implications. Living in a home has its tax benefits. A home owner who has lived in a house for at least two of the five years before it is sold and files a joint income tax return can exclude up to $500,000 of the gain from taxation. Single people can exclude up to $250,000.
Tenants can make a sale tough. Some tenants don’t keep a home in the same condition as an owner would. Also they may not cooperate with showings, even if the lease says they must.
Being a landlord can be a challenge. Calls in the middle of the night with demands to repair the toilet are tough.
Carrying costs are daunting. Some months the house will be vacant, but the owner still has to pay the mortgage, real estate tax and insurance. Maintenance bills don’t stop either.
No one has a crystal ball. The real estate market may take a long time to recover.

Source: The Washington Post, Benny L. Kass (0510/2008)

El Cajon Concerts on the Green Schedule

Are you looking for something fun to do on a warm summer night? Consider the El Cajon Concerts on the Greens series. See below for the schedule. See you there!


Presented by Sycuan Resort & Casino

FREE on Friday Evenings
May 23 - September 5, 2008
6:00 - 8:00 pm
Prescott Promenade


2008 Schedule
May 23
The Stiletto's Rockabilly

May 30
Stars on the Water Tropical Rock

June 6
Eve Selis Roadhouse Rock

June 13
Sue Palmer Boogie Woogie

June 20
Breez’n Variety

June 27
The Cathryn Beeks Ordeal Rock

July 11
The Cat-illacs Rock & Roll

July 18
Theo & the Zydeco Patrol Zydeco

July 25
The Screamin' Primas A Tribute to Louis Prima

August 1
The Hayriders Country

August 8
The Corvettes Doo Wop and Motown

August 15
Bill Magee Blues

August 22
The Coolrays Beach Boys Tribute Band

August 29
The Variations Big Band

September 5
The Mar Dels Dance

* Schedule Subject to change

Question: How can I save on closing costs?

Answer:
Studies show that the closing costs, which can average 2 to 3 percent of a total home purchase price, are often more costly than many buyers expect. But there are some ways to save:
* Negotiate with the seller to pay all or part of the closing costs. The lender must agree to this as well as the seller.
* Get a no-point loan. The trade-off is a higher interest rate on the loan and many of these loans have prepayment penalties. But buyers who are short on cash and can qualify for a higher interest rate may find a no-point loan will significantly cut their closing costs.
* Get a no-fee loan. Usually, though, these fees are wrapped into a higher interest rate though it will save you on the amount of cash you need upfront. * Get seller financing. This kind of arrangement usually does not entail traditional loan fees or charges.
* Rent the property in which you are interested with an option to buy. That will give you more time to save for the upfront cash needed for the actual purchase.
* Shop around for the best loan deal. Each direct lender and each mortgage brokerage has their own fee structure. Call around before submitting your final loan application.

Copyright © 2008 Inman News Features

Mortgage Applications Rebound

There seems to be a buzz growing among home buyers and I am definately feeling it in the office. The article below confirms what I have been feeling. The buyers are back!


Mortgage Applications Rebound

After a couple of down weeks, the spring buying season kicked in and mortgage application volume rose last week 15.6 percent on a seasonally adjusted basis to 655.4 from 567.0 the previous week, according to the Mortgage Bankers Association weekly survey.

On an unadjusted basis, the index increased 15.9 percent compared to the previous week, but was down 4.4 percent from the same week a year ago.

Last week’s increase reflected a rise of 19.3 percent in refinances with the refinance share of mortgage activity rising to 47.1 percent from 45.7 the previous week. Purchase applications rose 12.1 percent.

Interest rates declined slightly:

30-year fixed-rate mortgages decreased to 5.91 percent from 6.01 percent;
15-year fixed-rate mortgages decreased to 5.49 percent from 5.53 percent;
1-year ARMs decreased to 6.77 percent from 6.86 percent.

MISSING CHILD

Jose Manuel Murgas
Last Seen: May 2, 2008 Time 8:15 PM
Last Location: el Cajon, CA 92020
Date of birth: December 28, 1994 Height: 5’ 4"
Hair Color: Black Weight: 105 lbs.
Eye Color: Brown Gender: Male
Race: Hispanic
Jose Manuel Murgas
If you have any information on this child, please contact:
Contact: Angelica Phone # : (619) 520-8979
City / State: el Cajon, CA Alternate Phone # : (619) 520-8873
Zip Code: 92020 FAX # :
Email: angelicak@cox.net
Additional Information:
R U N A W A Y _ T E E N! Please help us find him. Needs psychiatric assessment.
Last seen wearing black t-shirt, black Adidas pants with two white stripes on sides, black shoes.
Suffers from exercise-induced asthma.
Call 619-520-8979 or El Cajon Police Department at 619-579-3311
-----------------------------------------------------------------------------
Ayudenos a encontrar a mi hijo. Se fue de la casa el viernes, 2 de mayo.
Necesita una evaluacion sicologica y tiene asma.
Vestia con camiseta, pantalon y zapatos negros.
LLame al 619-520-8979 or departamento de policia al 619-579-3311
Created by a parent using BeyondMissing’s Parent Flyer Tool - 5/03/2008 1:19 PM
www.beyondmissing.com

10 Red Flags for Home Buyers

RISMEDIA, May 5, 2008-The average home buyer views at least 10 homes over an eight week search so it isn’t practical to get a professional inspection of every house they tour. FrontDoor.com, a new real estate website powered by HGTV, comes to the rescue pointing out things to look for in your own pre-inspection that will help identify potential problems before calling in the pros.

FrontDoor.com’s Top 10 Red Flags for Home Buyers

1) Mass Exodus from the Neighborhood

Don’t let a home’s curb appeal keep you from glancing down the street. Are there several other homes for sale? Are nearby businesses boarded up or vandalized? Get the scoop from the neighbors. If everyone else wants to leave the street, maybe you should, too - before you’re stuck with a bad investment.

2) Mediocre Maintenance

Three layers of roofing and gutters with plants growing in them are signs the owners aren’t big on maintaining their home. What else did they neglect?

3) Foundation Failures

Check out the yard grading. If the yard slopes towards the house, it could cause water to run down the foundation walls or into the basement, which will be costly to repair. Scour the foundation for damage. Bulges or cracks bigger than 1/3 inch can mean the house has serious structural issues.

4) Bad Smells - Inside or Outside

Take a big whiff of the air inside and outside the house. Do you smell anything funky? If you can’t smell anything but the huge baskets of potpourri all over the house, this could be a red flag.

5) Faulty or Old Wiring

While you’re probably not an electrician, make sure all the switches and outlets in the house function properly. Flickering lights, circuits that don’t work and warm or hot outlets or faceplates are all symptoms of wiring problems.

6) Fresh Paint… on One Wall

New paint can really spruce up drab walls, but it can also hide bigger problems, like water damage, mildew or mold. If the room smells strange or if you see stains or saggy walls or ceilings, have an inspector look for mold and leaks.

7) Locked Doors and Blockades

Ask about any rooms that are “off limits” during your home tour, and arrange to see them later if you’re interested in the house.

8) Foggy or Non-Functioning Windows

Check for water in between double-paned windows and make sure all the windows are functional.

9) Structural Walls or Floors have been Removed

Sure you love the open floor plan, but was the house always open or did the homeowners renovate? If they removed a load-bearing wall without adjusting the framing, it can shift weight to other parts of the house. Hire a structural engineer if you think any renovations are questionable.

10) Bugs!

No one wants a house with a pest problem - be it roaches, mice or worst of all, termites. Be on the lookout for unwelcome creatures as you tour the house. Even if no foes pop out while you’re there, consider a separate termite inspection if you’re thinking of purchasing the property.

The Bottom Line

Always get a professional inspection for the house you choose to buy. Skipping a home inspection is not a good way to cut costs. You’ll end up paying more in the long run when problems arise.

For more information, visit http://www.frontdoor.com.

The First $2-billion Home is Coming

So, you want to buyt a home. Have you considered building? Do you have an extra 2 Billion dollars? That is Billion with a "B". The first 2 Billion dollar home is almost complete. Read below for the details.


The First $2-billion Home is Coming

The world’s largest and most expensive home will be completed in January.

The 27-story skyscraper in downtown Mumbai, India, will be the residence of Mukesh Ambani and his wife Nita. Ambani, head of Mumbai-based petrochemical company Reliance Industries, is the fifth richest man in the world.

The couple who have three children, are custom designing their $2 billion property with help from architecture firms Perkins + Will and Hirsch Bedner Assoc., based in Dallas and Los Angeles respectively.

The home will have 400,000 square feet of interior space, nine elevators, a ballroom and a section for security guards and assistants to relax.

There will also be an ice room where residents and guests can escape the Mumbai heat and be dusted by man-made snow flurries.

8 Quick Fixes to Increase Value

In today's market is is even more important that you get every penny out of the sale of your home. Below are 8 quick fixes to help you do just that.


8 Quick Fixes to Increase Value

With buyers scarcer, sellers must up the ante to convince them that their property offers what many want most — top value for dollar expended. Here are eight fast fixes:

1. Buff up curb appeal. You’ve heard it before, but it’s critical to get buyers to want to look on the inside. Be objective. View listings from the street. Check the condition of the landscaping, paint, roof, shutters, front door, knocker, windows, house number, and even how window treatments look from the outside. Add something special—such as big flower pots or an antique bench — to help viewers remember house A from B.

2. Enrich with color. Paint’s cheap, but forget the adage that it must be white or neutral. Just don’t let sellers get too avant-garde with jarring pinks, oranges, and purples. Recommend soft colors that say “welcome,” lead the eye from room to room, and flatter skin tones. Think soft yellows and pale greens. Tint ceilings a lighter shade.

3. Upgrade the kitchen and bathroom. These make-or-break rooms can spur a sale. But besides making each squeaky clean and clutter-free, update the pulls, sinks, and faucets. In a kitchen, add one cool appliance, such as an espresso maker. In the bathroom, hang a flat-screen TV to mimic a hotel. Room service, anyone?

4. Add old-world patina. Make Andrea Palladio proud. Install crown molding at least six to nine inches in depth, proportional to the room’s size, and architecturally compatible. For ceilings nine feet high or higher, add dentil detailing, small tooth-shaped blocks used as a repeating ornament. It’s all in the details, after all.

5. Screen hardwood floors. Buyers favor wood over carpet, but refinishing is costly and time-consuming. Screening cuts dust, time, and expense. What it entails: a light sanding, not a full stripping of color or polyurethane, then a coat of finish.

6. Clean out, organize closets. Get sorting—organize your piles into “don’t need,” “haven’t worn,” and “keep.” Closets must be only half-full so buyers can visualize fitting their stuff in.

7. Update window treatments. Buyers want light and views, not dated, fancy-schmancy drapes that darken. To diffuse light and add privacy, consider energy-efficient shades and blinds.

8. Hire a home inspector. Do a preemptive strike, since busy home owners seek maintenance-free living. Fix problems before you list the home and then display receipts and wait for buyers to offer kudos to sellers for being so responsible.

Bankrate: Mortgage Rates Rise for Second Straight Week

RISMEDIA, April 25, 2008-Fixed mortgage rates moved slightly higher for the second week in a row, with the average conforming 30-year fixed mortgage rate rising to 6.11%. According to Bankrate.com’s weekly national survey of large lenders, the average 30-year fixed mortgage has an average of 0.43 discount and origination points.

The average 15-year fixed rate mortgage popular for refinancing increased to 5.70%, while the average jumbo 30-year fixed rate inched higher to 7.34%. Adjustable mortgage rates were no exception, with the average 1-year ARM rising to 6.55% while the average 5/1 ARM moved up to 5.92%.

Mortgage rates were higher over the last week due to persistent concerns about inflation, as oil prices approached $120 per barrel, and hopes that the housing market is bottoming. Bond yields, to which mortgage rates are closely related, moved up in response. With another interest rate cut expected from the Federal Reserve at their meeting next week and a full economic calendar into early May, mortgage rates could be volatile. Further signs of economic weakness would likely push mortgage rates down, but inflation could propel rates higher.

Mortgage rates have been on a wild ride since the beginning of the year. The average 30-year fixed mortgage rate was as low as 5.57% in January, meaning that a $200,000 loan would have carried a monthly payment of $1,144.38. In February, the average 30-year fixed rate got as high as 6.41%, which meant the same $200,000 loan would have carried a monthly payment of $1,252.32. Today, with the average rate at 6.11%, a $200,000 loan would mean a monthly payment of $1,213.28.

SURVEY RESULTS

30-year fixed: 6.11% — up from 6.03% last week (avg. points: 0.43)
15-year fixed: 5.70% — up from 5.65% last week (avg. points: 0.41)
5/1 ARM: 5.92% — up from 5.85% last week (avg. points: 0.51)

Bankrate’s national weekly mortgage survey is conducted each Wednesday from data provided by the top 10 banks and thrifts in the top 10 markets.

For more information, visit http://www.bankrate.com/mortgagerates.

Why Selling Now Makes Sense

Daily Real Estate News | April 16, 2008


Home owners who are reluctant to sell because prices have fallen, should do the math, and realize that the market downturn could work in their favor, say practitioners in hard-hit, but still pricey Boston.

Their reasoning may work in many other parts of the country as well.

"People are finding houses at prices they thought they'd never see again," says David W. O'Neil of Century 21 Spindler & O'Neil Associates in suburban Boston.

O’Neil points out to potential sellers that if the house a buyer covets used to be $500,000 but its price has fallen 20 percent to $400,000, it is a deal, even if the buyer’s own home also has lost 20 percent of its value.

In general, the toughest sell is people who bought about four years ago at the height of the market, says Zur Attias of The Attias Group at Barrett & Co. in Concord, Mass. But even for these home owners, selling now may make sense as long as they can at least break even.

He argues that almost everyone forgoes something, and probably several things, that he or she wanted when buying a house. For instance, the home may be in the right school district, but on a busy street. Or it may in a great neighborhood, but it's a Cape, not a Colonial. These are things Attias calls "unchangeables."

He says it’s a good time to sell if a seller can get rid of the most negative unchangeables in his current home, and replace them with better unchangeables in a new home. Once the market really turns around, the growth will be bigger in the better house, he predicts.

Source: The Boston Globe, Vanessa Parks and Jonathan Wiggs (04/13/2008)