You're not just buying the house, but you are becoming a member of the neighborhood. One of the best things you can do is drive through the neighborhoods at different times of the day on weekdays and weekends to really get a feel for the area and its traffic patterns. Taking the extra time to research the neighborhood will help determine if there is too much or too little social activity for your lifestyle.]]>
A study by Remodeling magazine found the average rate of return on value for an upgrade in a home declined from 87 percent in 2005 to 64 percent in 2009. Taking that into consideration, many real estate experts recommend homeowners remodel instead of adding on to their home. For example, having a large, formal living room and an everyday family room is less desirable than having one multi-use common space. So, rather than adding on, most homeowners are better served reconfiguring the existing floor plan or capturing unused basement or attic space.]]>
Unlike the national median home price, the month-over-month changes in California’s median home price for 2009 were stronger than the long-run average. Low interest rates and tax incentives led to a rise in the demand for housing. As a result, housing inventory was constrained and created upward pressure on home prices. Source: Reuters.com
]]>Homeowners with "underwater'' mortgages are more prone to defaults and foreclosures. They typically do not qualify for refinancings and are unable to sell their homes because they would need to cough up cash at closing time to pay off their mortgage.
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Here's some more info on Fannie Mae's Homepath properties... Fannie Mae recently announced that people purchasing a Fannie Mae-owned HomePath® property will receive up to 3.5 percent of the final sales price to be used toward closing cost assistance or their choice of appliances. The offer is available to any owner-occupant who closes on the purchase of a property listed on HomePath.com before May 1. Properties eligible for this incentive are listed on HomePath.com and most listings include detailed property descriptions; photographs; community and school information; and more. In addition, many Fannie Mae-owned properties are eligible for special HomePath Mortgage and HomePath Renovation Mortgage financing, which offers home buyers an opportunity to purchase with as little as 3 percent down. Pretty great news!
More info on Fannie Mae Homepath Properties
]]>3% Down Payment
90% 1-2 Unit Investment
No Appraisal
No Mortgage Insurance
For 1-4 unit properties
Loan to Value > 80% & 660 FICO score
2% sellers credit
Contact us to learn more, or search for properties here.
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Only 10 to 15 percent of the energy your washing machine uses is for actually washing your clothes. The majority of the energy goes toward heating the water. Throw cold water on your clothes and you save on your utility bill.
Source: California Association of Realtors www.car.org
]]>Nationwide, home sales in 25 metro areas increased 1.5 percent nationwide in November compared with the previous month, and 46.7 percent compared with November 2008, according to a report by Radar Logic Inc. Prices decreased 4.2 percent across all metro areas surveyed; however, eight areas experienced year-over-year price increases. Half of the areas with year-over-year price increases were in California, according to the report. Radar Logic’s Residential Property Index (RPX), which measures changes in the price per square foot of homes, shows that transactions increased in 9 of the 11 months ending in November.
"Affordability measures are at their highest levels in years and home sales are moving toward normal levels. Nationwide, foreclosure sales have declined from 29 percent of total sales in November 2008 to 23 percent of sales in November 2009," said Michael Feder, president and CEO of Radar Logic.
Looking for a home and unsure if you qualify? Here are the details of the extended tax credit:
(1) Both the $8,000 first-time homebuyer tax credit and the $6,500 tax credit for “move-up” buyers (see 4 below) would sunset on April 30, 2010. However, purchasers who have binding contracts as of April 30, 2010 (before May 1, 2010), would still qualify for the credit as long as they complete the transaction within 60 days (or June 30, 2010).
(2) The amendment establishes income limits of $125,000 for an individual or $225,000 for a couple for both credits.
(3) The cost of the home being purchased cannot exceed $800,000 for both categories in order to be eligible for the credit.
(4) “Move up” buyers (an individual or his/her spouse, if married) are qualified if he/she “has owned and used the same residence as such individual's principal residence for any 5-consecutive-year period during the 8-year period ending on the date of the purchase of a subsequent principal residence.”
For purchases made in 2010, taxpayers would be able to claim the credit on their 2009 income tax return. Homebuyers would not have to repay the credit, provided the home remains their principal residence for 36 months after the purchase date. However, this recapture provision would not apply in the case of a member of the Armed Forces, military intelligence or Foreign Service who is on qualified official extended duty. In addition, members of the military who have been deployed overseas for 90 days or more in 2008 or 2009 would have until April 30, 2011, to claim the homebuyer tax credit.
The amendment also includes anti-fraud language that gives the IRS the authority to do greater oversight during the processing of the return rather than waiting for an audit situation. The amendment requires the taxpayer claiming the credit to be 18 or older and requires a HUD-1 settlement statement to be attached when claiming the credit.
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