David Home Inspection: October 2009

Top 10 Scary Homebuying Mistakes

1) Not Getting Pre-Approved by a Lender-Don't get your heart set on a certain neighborhood or type home until you have talked to a lender. Have you ever seen Property Virgins on HGTV? The host starts the show walking the homebuyers down a street in their favorite neighborhood. She asks them how much they think homes in the area cost and they are usually WAY more expensive than they thought! We all have Champagne taste right? A lender will look at your income, assets, debts and credit to determine a monthly payment you can afford.

2) Not thinking Long Term-If you fall in love with a home but it sits next to the electrical plant or has a major road next to it you might want to think again. This is a huge investment, you want to make sure future buyers will want to buy this home too.

3)Deciding Not to Buy-If you are waiting on the market to improve you could wait forever! If you have the finances and are ready to quit renting, now is the time to buy. Home ownership builds equity, gives you tax deductions and so many other benefits! 

4)Not Getting a Home Inspection-Even if it is a new home or looks perfect, get a home inspection.  It is better to know before closing that something is wrong or if not corrected could go wrong in the future.  An inspection is well worth the money!

5) Not Checking Out the Neighborhood-Before you buy drive the neighborhood at different times of the day, drive to work and back to check out the commute. See where the nearest grocery store or dry cleaners is. Nothing is worse than moving in a home and finding out your favorite store is miles away.

6) Buying the First Home You See-You can always come back to it after you have looked at 3 or 4 more in the area you like.  Shop, compare and make sure the home is not overpriced.

7) Buying a Foreclosure Without Completely Checking It Out-Lenders and government owned properties don't have to have a sellers disclosure as most states require.  Just because it is a great price does not mean it won't have problems.  Get an inspection and an estimate on any repairs. Just because you got a good deal on price doesn't mean you will make a fortune if the home has issues that cost you money!

8) Picking the Wrong Real Estate Agent-If you are with an agent who is not answering the phone or seems reluctant to take you out to see homes chances are they aren't the professional you want. Pick an agent whom is knowledgeable about the area you want to move to. If you have to drive over 20 miles from the agents office to see a home ,the agent probably does not know that area very well.

9) Not Agreeing With Your Significant Other-Sit down with the person you will be buying with, look through magazines or at homes online. Find out what each other likes and doesn't like before you go out.  Most important agree on a price range you want to stay in to make your payment affordable. This saves time for everyone involved.

10) Not Neogiating To Make the Deal Work-Don't walk away from a home over a couple thousand dollar difference. Usually the seller and buyer can meet in the middle. Each party wants to think they are getting something from the pot. Your agent can help negotiate the best deal for you!

Compliments of

~Russell & Tracy Lee Parker~

~RE/MAX By The Lakes~

 

(214)477-5609 Russell      (972)365-7198 Tracy Lee

~ residential sales, short sales, land purchases, commercial sales, leasing & property management~

Let someone local manage your property!

Rate Lock Advice and Mortgage Market Update

October 27, 2009, 8:25 PM PT

RATE LOCK ADVISORY

Lock Advice:  LOCK
MBS prices are up +2/32.
Consumer Confidence will be released at 10:00 AM ET

RATE NOTES:
When MBS prices are up, Rates are down.
Lock advice changes throughout the day .
Good economic news = Bad Rate News.

National Average Fixed Rate Mortgage
Unchanged at 5.06% on Oct.26

Fannie Mae Mortgage Backed Securities
MBS Opened at 4.808% Up 0.034%.

10 Year Treasury currently 3.510% Down -0.08%

DJI Stocks $9,914.06,  Up 46.1, 0.47%

European and Asian Markets Down -0.314%

Nymex Crude Oil currently $79.07 Up $0.39

Rates 10-27-09, 8:20 AM PT 
30 Year Fixed to $417,000
Rate 5.00%  Point 1.00,  APR 5.154%
APR Based on $350,000 Loan at 80% LTV
Above Rate can be locked  for 30 days.
Call for Quotes on FHA and VA loans With Detailed Good Faith Estimates.
 No Application or Credit Report required

Rate Survey Where you will find the best rates

 

Education is the Only Effective Consumer Protection

Teach Your Clients to Find Legitimate Rate Quotes Read Story

 

IS THE FDIC KILLING SHORT SALES To Profit Billionaire George Soros
and His Merry Band of Financial Thugs? Read Story

Bill Introduced to Increase FHA Down Payment to 5.00% from 3.50 Read Story.


New FHA Condo Rules have been extended to November 2, 2009 - Story

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Your Fha Guru

Bill Ladewig
800.664.SAVE (7283)
Bill@yourfhaguru.com

 

 

The Mortgage Markets and Rate Lock Advisory is updated several times a day and is available at http://www.yourfhaguru.com

October 2009, Rate Lock Advice and Mortgage Market Update

San Diego FHA and VA Home Loans Escondido Mortgages Escondido Localism San Diego FHA and VA Home Loans San Diego Localism San Diego UFMIP Escondido Mortgages Escondido Localism San Diego Mortgage What is APR

This just in!  Wachovia finally launches the Obama Home Affordable Modification Plan!  All of you Wachovia loan modification applicants can finally get a break and see some headway on your application.  Just when you were about to give up the lender announced that it has implemented Obama's Home Affordable Modification Plan effective October 17, 2009.  I know-the program has been out since March-but for some unknown reason Wachovia has been behind the curve in getting their system up and running.  What does this mean to you?  Now is the time to prepare your financial statements and gather all of your documents and contact the bank to re-apply for help!

It has taken a long time, but the Wachovia loan modification process has been streamlined under the Obama plan.  Effective October 17, 2009, the loss mitigation department will take your basic financial information right over the telephone.  If your financial information fits the guidelines, then you will be sent the trial modification paperwork.  This could be mean a lower interest rate, all the way down to 2%-and a new modified payment that you can actually afford.

Here's an important tip that could be the difference between approval and denial!  The best way to get a quick approval is to be prepared before you call the bank.  It is never a good idea to slap some paperwork together and start giving your financial information to Wachovia until you have had the chance to fine tune your budget and make sure you fit the approval guidelines.   This is finally your chance at some real help-don't blow it now by saying the wrong thing and being denied.

Did you know that a loan modification approval depends on qualifying using a standard 4 step formula outlined by the Treasury Department.  Did you know that you can learn this very same formula and use it to prepare your own loan workout application?  This is the key to success-learn how to adjust your budget so that you have the best chance of getting approved.  Homeowners who can instantly tell the loss mitigation the correct information get fast results.

The good news is that the wait is finally over for Wachovia loan modification borrowers-make sure you don't miss out on this opportunity to get a low affordable mortgage payment.  The lender is following Obama's Home Affordable Modification guidelines and even offering principal reduction to qualified homeowners.  Do you homework, prepare an acceptable application following the 4 step formula and get back on track to secure home ownership!  You can do this-use the #1 resource for homeowners and get started today.

People wonder what it's like to be self-employed. Having freedom from a boss is often quoted as one of the reasons that real estate agents go into the business. An associate in Sacramento says that being her own boss means that she's free to choose any block of 12 hours out of the day to work. It's not unusual for busy, full-time agents in today's market to put in 16 to 18 hours a day.

I often start work at 5 AM. It's quiet. I can answer emails and questions from my About.com homebuying site. It's also when I write my Land Park blog and post it on Active Rain. At night, I turn off my cell phone at 7 PM and settle in to watch a movie, but I still answer emails until 9 PM. Every day is generally a long day for me.

Holidays come and go. Leaves drop from the trees; then suddenly they are budding out. The sun goes down early; then the sun comes up early. It's raining, no, it's 115 in the shade. Sometimes, it's hard to keep track. I find there are times when I'm driving past a school that I have to stop to think whether I should slow down to 25 MPH because I don't know whether it's a month when kids are supposed to be in school. I guess you could safely say that I'm pretty focused on real estate.

This is why I look forward to vacations. At least once a year. The more exotic, the better. Come November 30th, I will be in Vietnam. I chose that date last summer because it's when the first-time home buyer tax credit is set to expire. Seems the safest stretch of time to get away.

People ask me if I think the home buyer tax credit will be extended. A bill is already in works but whether it will pass is hard to say. I don't see any reason to try to stimulate the December market. This is a time when many sellers take their homes off the market and the number of buyers dwindle. It would make more sense to motivate the spring-time market buyers.

But whatever happens with the home buyer tax credit, I'll be touring rice fields, experiencing the many diverse cultures in Vietnam and most likely devouring a daily bowl of Pho for breakfast, confident that my associates will competently handle my escrows and Sacramento short sales in my absence.

Until November 30th, though, the market in Sacramento will probably continue to be a mad house. This week especially. Because this is the last week that many first-time home buyers have to get into escrow, with any hopes of closing by November 30th.

Photo: Stan Goodwin

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Elizabeth Weintraub is an author, home buying columnist for The New York Times-owned About.com, a Land Park resident, and a Land Park real estate agent who specializes in older, classic homes in Land Park, Curtis Park, Midtown and East Sacramento. Weintraub is also a Sacramento Short Sale agent who lists and successfully sells short sales throughout Sacramento. Call Elizabeth Weintraub at 916.233.6759. Put 35 years of real estate experience to work for you. DRE License # 00697006.

The Short Sale Savior, by Elizabeth Weintraub, available through bookstores everywhere and at Amazon.com.

Photo: Unless otherwise noted in this blog, the photo is copyrighted by Big Stock Photo and used with permission.

 

If you're a buyer, here is some good news for you and it could save you money!

On Monday, October 12, 2009 Governor Schwarzenegger signed AB 957, The Buyer's Choice Act and it's now in place. The Buyers Choice Act allows by law the buyers of foreclosed (bank owned) properties to choose the title and escrow company in their transaction. 

Until now, sellers have been requiring a buyer to purchase title and escrow services from a company chosen by the seller as a condition to receiving offers or selling the property. The banks and asset managers no longer can direct buyers to title and escrow companies of their choice. 

Here are the highlights: 

• It applies only to residential property and covers title insurance and escrow services
• A buyer can agree to accept the recommendation of the seller as to which title or escrow company to use provided that a written notice of the right to make an independent selection of those services is first given by the seller to the buyer.
• A seller who violates the law is liable to the buyer for three times all charges made for the title insurance or escrow service.
• A purchase transaction cannot be invalidated solely because of the failure to comply with the law.

But why the Act? The Legislative findings and declarations state that the recent troubled real estate market has resulted in a concentration of the majority of homes available for resale withing the hands of foreclosing lenders and has dramatically changed the market dynamics affecting ordinary home buyers. The Act says that the potential for unfairness occasioned by the resale of large numbers of foreclosured homes required that protection against abuse be made effective immediately.

If you have any other questions regarding this Act, please don't hesitate to contact me.

To Your Success - 

Maria