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The market if fraught with scary headlines and ominous news reports. Could the economy slip once more into a recession? Will home prices fall even further? It's enough to make even the bravest buyer a little squeamish. The truth of the matter is that now is a fantastic time to buy. Interest rates are wonderfully low and affordabilty rates are at record highs. Not only that, but there is an oversupply of homes on the market. Now is a great time to move up if you play host to the right set of circumstances. In order to evaluate if now is the time for you to buy, consider these five issues. 1. Interest Rates: Low rates translate into smaller monthly payments and less money over the long-term. The Federal Reserve has promised to keep interest rates low for the foreseeable future, but in the next few years we could see rates climb back upward. If you have excellent credit, you'll likely qualify for an exceptional rate. Better yet consider doing an all-cash purchase (like the nearly 30 percent of the market) and avoid interest rates altogether! 2. Why are you buying?: This is an important question to spend some time pondering. Don't move on a whim. What is the real need to move? Many move-ups need more space, want to claim a more prestigious address, or are ready to settle down for good and want to be exactly where they've always dreamed. Perhaps your current home is unable to be remodeled to accommodate your wants and needs. Regardless of the reason, be sure to spend ample time thinking about what move is best for your family. 3. Equity: Home values have fallen across much of the country and this could mean that equity you had built over the past few years is gone. Talk to a local real estate agent about the current market value of your home before deciding if now is a time to buy. Most sellers aren't willing to take a loss on their home. The good news? If you've owned your home for many years (at least five) then chances are you do indeed still have equity. 4. Financial Stability: There's a 9.0 percent unemployment rate that doesn't appear to be going anywhere fast. Moving up can mean bigger payments or heftier bills (energy costs, property taxes, etc). Are you ready to take on this new responsibility? Be sure that you have steady employment, adequate retirement savings, an 8+ month emergency fund, as well as savings for downpayment and other closing costs. 5. Family Concerns: There are many different stages to life and at each of these stages one must consider how actions will affect family members. A family with young children will need to consider school districts, sports teams, and friends. A couple nearing retirement may want to consider the needs of children or grandchildren that live nearby. Buying a home is about much more than making a sound financial decision, it's about creating the sort of life you desire. Moving-up can be part of the fulfillment of a life long dream. Many couples simply can't wait for the day they step inside their perfect home. Now is a great time to make those dreams a reality, just be sure to toss in a little sensibility with your dreaming. by Carla Hill |
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MCLEAN, Va., -- Freddie Mac (OTC: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing the average rate for the conventional 30-year fixed mortgage dropping below 4 percent for the first time in history amid increasing global economic concerns. The 15-year fixed, a popular refinancing option, also fell to the lowest level on record for the sixth consecutive week. 30-year fixed-rate mortgage (FRM) averaged 3.94 percent with an average 0.8 point for the week ending October 6, 2011, down from last week when it averaged 4.01 percent. Last year at this time, the 30-year FRM averaged 4.27 percent. 15-year FRM this week averaged 3.26 percent with an average 0.8 point, down from last week when it averaged 3.28 percent. A year ago at this time, the 15-year FRM averaged 3.72 percent. 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.96 percent this week, with an average 0.6 point, down from last week when it also averaged 3.02 percent. A year ago, the 5-year ARM averaged 3.47 percent. 1-year Treasury-indexed ARM averaged 2.95 percent this week with an average 0.5 point, up from last week when it averaged 2.83 percent. At this time last year, the 1-year ARM averaged 3.40 percent. Frank Nothaft, vice president and chief economist at Freddie Mac, reports, "Average 30-year conventional fixed mortgage rates fell below 4 percent for the first time in history this week following a sharp drop in 10-year Treasuries early in the week as concerns over a global recession grew. Average 15-year fixed rates fell to a record low in the PMMS as well. Interest rates for 1-year ARMs, however, rose, as the Fed began replacing $400 billion of its short-term Treasury securities, which serve as benchmarks for many ARMs. Also, in his testimony to Congress's Joint Economic Committee on Tuesday, Federal Reserve Chairman Bernanke said the recovery is close to 'faltering' and stressed the need for lawmakers to act." "Meanwhile, the Bureau of Economic Analysis (BEA) reported consumer spending inched up 0.2 percent in August, while personal income fell 0.1 percent, the first decline since October 2009. Also, pending home sales declined for the second consecutive month in August, with some of the decline attributed to Hurricane Irene." |
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One of the great mysteries of home buying, at least to those who have never been through the process, is closing costs. While nearly everyone has heard of them, few who haven't had to pay them really understand them. Even some people who have paid them aren't sure what they spent all that money on.
Closing costs are the various fees that a homebuyer must pay before the mortgage lender will finalize the mortgage. Generally speaking, these costs are about 3 to 6 percent of the amount borrowed. That is in addition to your down payment. Following are some of the components of your total closing costs.v The lender will charge an application fee to cover the costs of completing your mortgage application. This may or may not include the fee for your credit report. They will also charge a loan origination fee, also known as points. This covers the administrative costs of processing your mortgage. One point is equal to 1% of the total amount loaned.
Many lenders offer the option to purchase without points, but keep in mind that this will result in a higher interest rate. There are also lenders who will let you pay additional points to lower the interest on your loan.
Title insurance will be required by your lender. This protects you and the mortgage company in case the seller does not have the legal right to sell it. There could be unknown co-owners of the property, or it could have an unpaid lien against it that would prevent the seller from legally selling it.
An appraisal is also required by lenders. This is to ensure that the home is worth the amount loaned to you to purchase it. A home inspection is not usually required, but it's a good idea to have one. The cost of the inspection could also be considered part of closing costs.
Homeowners insurance is a standard requirement of mortgage lenders. They will require proof of it and may require you to pay the first year's premium before closing. Private mortgage insurance may also be required depending on the amount of your down payment, and part of the fee will be included in your closing costs.
Taxes associated with the transfer are usually the buyer's responsibility, unless other arrangements are agreed upon. You may also have to pay for a survey of the property. You will likely be required to pay the interest accrued between the time your mortgage was originated and the due date of your first payment. Attorney and notary fees may also be a part of your closing costs.
Closing costs are comprised of all of the expenses that must be paid before the purchase of your new home is finalized. Points are a fee charged by your lender that may be somewhat flexible and directly affect your interest rate. Knowing what these terms mean and what fees they consist of can help you be more prepared for them when the time comes |
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On Tuesday, Congress passed a continuing resolution that extends the National Flood Insurance Program until Nov. 18. The National Association of REALTORS® believes this program needs to be continued for at least five years to help stabilize the real estate market. NAR is asking all REALTORS® to respond to a Call for Action, which urges Congress to make a long-term commitment to the insurance program.
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On Tuesday, Feb. 17, President Obama signed into law H.R. 1 also known as the American Recovery and Reinvestment Act of 2009. This bill has several provisions that will directly impact real estate here in Alameda County. - Increased GSE Conforming Loan Limits: This bill raises the conforming loan limits for FHA, Freddie Mac and Fannie Mae loans. While HUD has yet to officially announce the new limits, we estimate that in Alameda County the conforming loan limits for 2009 will be $729,750. Even with the continuing decline in home sale prices throughout many of our communities, prices are still high enough that many buyers have to opt for non-conforming loans with higher interest rates. These higher conforming loan limits will make home ownership more affordable for many buyers in Alameda County and encourage potential home buyers to take advantage of current market conditions.
- Homebuyer Tax Credit: Income-eligible first-time home buyers who purchase a home between Jan. 1, 2009 and Dec. 1, 2009 may qualify for an $8,000 tax credit that could be used against their federal income tax liability. Unlike the $7,500 tax credit available to home buyers in 2008, this new credit will not have to be repaid. Additionally, the tax credit may be used in conjunction with other local and state-funded home buyer assistance programs. To view a detailed presentation prepared by NAR's Real Estate Services division about about the tax credit, please click here.
- Vacant Foreclosed Property Clean-Up: The Housing and Economic Recovery Act passed earlier this year established the $4 billion Neighborhood Stabilization Program (NSP) and the American Recovery and Reinvestment Act pumped another $2 billion into the NSP. The NSP will use the existing Community Development Block Grant program (CDBG) to provide funding to states and local cities for programs to address urban blight caused by vacant and abandoned foreclosed properties. Locally, the City of Hayward already is making plans for how to use these funds - including purchasing and rehabilitating vacant foreclosed homes then reselling them to low- and moderate-income home buyers.
- Residential Energy Efficiency Tax Credits and Grants: According to NAR, this bill provides state and local governments with $6 billion in energy efficiency and conservation grants for energy audits, retrofits and financial incentives. Through 2010, homeowners will be able to claim a 30 percent tax credit for purchases of new furnaces, windows and insulation. Details about this program and how property owners can access the tax credits and grants are not yet available.
Please click here for additional analysis by NAR of the American Recovery and Reinvestment Act.
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Foreclosures haven’t yet peaked despite a dramatic 57 percent increase in filings and a 129 percent increase in bank repossessions between March 2007 and March 2008, according to a report issued Tuesday by RealtyTrac. Nevada, California and Florida, respectively, experienced the highest level of foreclosure activity for March 2008, the report said. MAKING SENSE OF THE STORY FOR CONSUMERS - One of every 538 single-family households in the U.S. experienced some form of foreclosure filing during March, the report said. RealtyTrac officials predict record foreclosure activity in the third or fourth quarter of 2008 as subprime ARMs adjust upward.
- In most states, foreclosure occurs in three phases: a Notice of Default is filed after payments are missed, a notice of scheduled auction is filed if steps aren’t taken to remedy the default, and an REO filing occurs when the lender repossesses the property after failure to sell it at auction.
- Nevada, California and Florida experienced the highest foreclosure rates. In California, one in every 204 homes was subject to a foreclosure filing in March for a total of 64,711 properties. March filings were up almost 21 percent from February and approximately 106 percent from a year ago March.
To read the full story, please click here: http://money.cnn.com/video/#/video/news/2008/04/15/news.harlow.041508.foreclosure.cnnmoney
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We seem to be in an area where our local cities are adopting sign ordinances on how many and where the Realtors and the public can place their open house signs. Here is what Bay East Association is posting on the issue and our Local Government Relations Committee will be meeting on Monday mornign the discuss the issue. More to follow. Sign Ordinance Violations on the Rise: On Monday (3/17), the Bay East Board of Directors held their monthly meeting. One topic that was discussed was the increasing number of illegally-placed open house signs. This is an issue Bay East has been dealing with as the number of homes on the market and the number of open homes increases. REALTOR® Impact: Open house signs are a key component of most REALTOR® marketing plans. Continued violation of sign ordinances could lead to even more restrictive regulations or the out-right banning of signs. Next Steps: It is critical that all REALTORS® understand and comply with local sign ordinances. If our profession fails to follow these regulations it is likely that city governments will crack down on violators and, possibly, make their ordinances more restrictive or ban signs completely. Bay East has prepared an easy-to-use summary of sign ordinances for all of the cities in southern and eastern Alameda County. The summary is available online. Please feel free to chime and let us know what is going on in your area.
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Before you put your home on the market, take an impartial look at your property, inside and out. You may have only one chance to pique potential buyers' interest when they view your home, so don't let easily correctable flaws stand in the way. The NATIONAL ASSOCIATION OF REALTORS® suggests that sellers spend as little as possible on pre-sale repairs and improvements. While new tile might really spark up your kitchen, potential buyers probably won't increase their purchase offers enough to compensate your expenses. Instead, focus on the small, relatively inexpensive touch-ups that will give your house a polished, well-maintained appearance. A fresh coat of neutral paint in your bedrooms and new cabinet knobs in the kitchen and bathrooms are small changes that buyers will appreciate. Thoroughly clean the insides of appliances and wash and deodorize carpets. In addition, clean out closets and cabinets; this gives your home a more spacious appearance. Check for and repair cracks, leaks and other damage to walls, floors, paint and attic. You also need to ensure that your home's exterior curb appeal is attractive to buyers. Maintain the upkeep of your lawn, including mowing, watering and weeding. Fertilize and seed your existing vegetation/foliage, but don't plant new shrubs or trees. Examine doors, windows and the overall exterior for peeling paint. Repair loose or damaged roof shingles, siding and caulking. Your REALTOR® can assist you in recommending specific renovations and touch-ups that will make your house stand out to buyers. He or she should be able to explain expected returns on investments you make to enhance your home's salability.
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I was referred by a good friend who is a Holistic Veterinarian to http://www.trivita.com/. This website has great information and products to improve our health. The one item Ialways take daily is their vitamin B-12 and I feel it really works! Here is a little bit of Tivitas newsletter.
The inside scoop on calories and fats Do you know what a calorie is? It's a measurement of energy. More specifically, it's the amount of potential energy stored in any food we eat. Generally speaking, both protein and carbohydrate foods each contain about four calories per gram. Fats, in comparison, have more than twice the calories and twice the potential energy per gram (note: 28.3 grams=1 ounce). So for long-term energy and stamina, think fats!
Small snacks with powerhouse fats
English walnuts - It takes about 100 calories of energy for me to walk a mile, and about 130 calories to run one mile. A one-ounce serving of English walnuts (about 7 pieces) provides 180 calories of energy - that's enough fat energy for me to walk nearly two miles or to run 1¼ miles! Plus, walnuts are very high in Omega-3 fats.
Avocado - It takes about 250 calories of energy for me to ride a stationary bicycle for 30 minutes (average speed 10 mph). That's about the amount of energy in a small avocado, a very delicious fruit containing high levels of beneficial fats.
Green olives - It takes about 140 calories for me to swim 20 laps in the pool. That's about the same amount of energy found in a small serving of green olives (my favorites!). The olive oil is beneficial for your heart and brain, as well as serving as a natural antibiotic. It is one of the most healthful oils for your body and like other sources of fat, it's filled with lots of potential energy.
Calories in, calories out
For any single day, whenever you don't use up all the food energy you consume, the excess energy is stored in fat cells as triglycerides. In other words, you gain fat. Conversely, whenever you use up more energy in a day than you consume, that deficit will likely be taken from fat stored in fat cells (the exception to this is when you are under severe stress). Here, you'll lose fat, which is a very good thing for most North Americans.
The good, the bad and the uglyFats contain more than twice as much potential energy as protein and carbohydrates. For instance, Omega 3 fats are absolutely vital for your brain and heart - so much so that a neurologist said that "Omega-3 is to the brain what calcium is to the bones." Some sound advice: eat small portions of good fats every day and eat more fat when you need more energy - for instance, on a long hike.
Certain good fats are not found in the diets of people in developed countries. Or, at the very least, they are not eaten with the same regularity as they were in past times. If we do not have enough good fats in our diet, our health will suffer in many ways. The internal organs and hormones made up from these fats will not function correctly. Our brain will literally shrink without good fats. We will have blood sugar and hormone imbalances. We may even have a heart attack without enough good fats. Therefore, it's important that we select a good balance of fats in our diet and also include a high quality, Omega essential fatty acid supplement. Omega-3 supplements are perhaps the most important supplement we can take.
Some fats are inherently bad. No matter what foods they're found in they are always bad for you. Both trans-fats and hydrogenated fats fall into this category. Never eat them. Fortunately, neither of these fats occur in nature. So, as long as you are eating whole foods that have not been processed or over-cooked, you are unlikely to be poisoned by these bad fats.
Finally, as with all foods, you can over-consume even the good fats - it's like getting too much of a good thing. This is the ugly side of dietary fats. High fat foods provide a lot of energy. If you do not plan to burn off that energy, be sure to eat very little of these foods. Otherwise, unused stores of excess energy will appear in ugly places!
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St. Patrick's Day is fastly approaching and I went on the search to find out more about him and why the date is celebrated and here is what I found. Who is St. Patrick Anyway?
According to the World Book, St. Patrick lived about 389-461A.D., and is the patron saint of Ireland. Patrick was chiefly  responsible for converting the Irish people to Christianity. He became known as the Apostle to the Irish. His Latin name is Patricius. Patrick was born in Britian. His father was a wealthy alderman and a Christian. When Patrick was 16 years old, pirates captured him during a raid and sold him as a slave in Ireland. He served as a shepherd of an Irish Chieftain in Ulster. During his captivity, he dedicated himself to religion. After 6 years of slavery he escaped and returned home to Britian. As a result of his experiences in Ireland, Patrick became driven by the idea of converting the Irish to Christianity. To prepare himself for the task, he studied in the monastery of Lerins, an island off the coast of France. He also went to Auxerre, France and studied religion under Saint Germanus, a French Bishop. Partly because Patrick's earlier education was inadequate, his religious superiors were reluctant to let him return to Ireland as a missionary. After Palladius, the first Irish missionary bishop died in 431, Pope Celestine I sent Patrick to Ireland. Patrick began his work where no one had ever preached Christianity. He gained the trust and friendship of several tribal leaders and soon made many converts. He is said to have founded more than 300 churches and baptized more than 120,000 people. He brought clergymen from England and France for his new churches. He succeeded in his mission to Ireland, even though many British clergymen opposed him and the way he organized the churches. Patrick preached in Ireland for the rest of his life. Several of Patricks writing have survived and serve as the most important sources of information about his work and life. Patrick wrote "Confession", an account of his spiritual developement. In it he justified his mission to Ireland, and expressed his humility and thankfulness that God had called him to serve the Irish. Patrick also wrote a letter to Coroticus, in which he criticized a raid on Ireland conducted by Coroticus, a British chieftain. During the raid, several of Patrick's converts were killed. The letter also reflects Patrick's resentment of the scornful attitude of British clergymen and nobility toward the Irish. Where is St. Patrick Buried? One legend has it that he was buried in the same grave as St. Bridget and St. Columba, at Downpatrick, County Down. The jawbone of St. Patrick was believed to be preserved in a silver shrine and was often requested in times of childbirth, epileptic fits and as a preservative against the evil eye. Another legend says St. Patrick ended his days at Glastonbury and was buried there. The Chapel of St. Patrick still exists as part of Galstonbury Abbey. There is evidence of an Irish pilgrimage to his tomb during the reign of the Saxon King Ine in A.D. 688, when a group of pilgrims headed by St. Indractus were murdered. The great anxiety displayed in the middle ages to possess the bodies, or at least the relics of saints, accounts for the many discrepant traditions as to the burial places of St. Patrick and others. Legends about Patrick: Many of the stories about Patrick are based only on legends. One of the best known tales tells how he charmed the snakes of Ireland into the sea so that they drowned. Different tales tell of his standing upon a hill, and using a wooden staff, drove the serpents into the sea, banishing them forever from the shores of Ireland. One legend says that one old snake resisted, but the saint overcame it by cunning. He is said to have made a box and invited the reptile to enter. The snake insisted the box was too small and the discussion became very heated. Finally the snake entered the box to prove he was right, whereupon St Patrick slammed the lid and cast the box into the sea. While it is true there are no snakes in Ireland, chances are that there never have been snakes since the time the island was separated from the rest of the continent at the end of the ice age. As in many old pagan religions serpent symbols were common, and possibly even worshipped. Driving the snakes from Ireland was most likely symbolic of putting an end to that pagan practice. According to another tale, Patrick used a three-leaf shamrock to illustrate the idea of the Trinity. Many people believe the shamrock came to be the traditional symbol of Ireland as a result of this legend. Today, his feast day, March 17th is celebrated as a national holiday in Ireland. St. Patrick also introduced the Roman alphabet and Latin literature into Ireland. After his death, about 461AD, Irish monasteries flourished as centers of learning. Compton's Encyclopedia adds that despite a constant threat to his life, Patrick traveled widely, baptizing, confirming, preaching and building churches and monasteries. Patrick succeeded in converting almost the entire population of the island. His "Epistola" pleads the case of the Christian Irish at the hands of their British conquerors. Patrick's writings have come to be appreciated for their simplicity and humility.  The Shamrock
The shamrock (at one called the "Searoy" is a type of small herb with leaves made up of three leaflets, and is the common name for any of several three-leafed clovers native to Ireland. The Irish have considered shamrocks as good luck symbols since earliest times, and today many people of other nationalities have adopted that belief. It has become the national symbol of Ireland, because of the legend that St. Patrick used it to illustrate the doctrine of the Trinity. Preaching in the open air on the doctrine of the trinity, he is said to have illustrated the existence of the Three in One by plucking a shamrock from the grass growing at his feet and showing it to his congregation. It symbolizes the cross and blessed trinity. The legend of the shamrock is also connected with that of the banishment of the serpent tribe from Ireland by a tradition that snakes are never seen on trefoil and that it is a remedy against the stings of snakes and scorpions. The trefoil in Arabia is called shamrakh and was sacred in Iran as an emblem of the Persian triads. The trefoil, as noted above, being a sacred plant among the Druids, and three being a mystical number in the Celtic religion as well as all others, it is probable that St. Patrick must have been aware of the significance of his illustration. The Leprechaun  The Leprechaun is an Irish fairy. He looks like a small, old man (about 2 feet tall), often dressed like a shoemaker,with a cocked hat and a leather apron. According to legend, leprechauns are aloof, unfriendly, live alone, and pass their time making shoes. They also possess a hidden pot of gold. Treasure hunters can often track down a leprechaun by the sound of his shoemaker's hammer. If caught, he can be forced (with the threat of bodily violence) to reveal the location of his treasure, but the captor must keep their eyes on him every second. If the captor's eyes leave the leprechaun (and he often tricks them into looking away), he vanishes and all hopes of finding the treasure are lost. Legend has it that you can find the leprechaun and his pot of gold at the end of a rainbow.
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While low interest rates and depressed home prices have started to attract entry-level home buyers, the typical home in San Diego County remains out of reach for the average family. MAKING SENSE OF THE STORY FOR CONSUMERS
· Bleak economic news is usually followed by a downward turn in mortgage interest rates, but despite some fairly poor news this week about banks selling securitized loans at fire sale prices, the overall average of 30-year fixed-rate mortgages eased by just two basis points (.02 percent). The fact that news that would usually produce a significant decline in mortgage rates instead preceded only a modest drop could be a sign that rates may soon go up. Consumers should take advantage of low interest rates while they last. · According to home-finance corporation Freddie Mac, U.S. house prices have climbed 6.2 percent a year over the past 30 years. · The recently passed economic stimulus package raised the conforming loan limit to up to $729,750 in some areas. So-called "expanded conforming" loans should provide some borrowers with an opportunity to finance or refinance at lower rates than the jumbo market may currently offer, provided borrowers can meet the guidelines for a conforming loan, which are usually more restrictive than jumbo market underwriting criteria. Extracted from CAR Market Matters
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Home values have declined across the country, giving homebuyers the best buys they've had since 2004. NEW YORK (CNNMoney.com) -- It may be the best time to buy a house in more than four years. Home prices have dropped so quickly and so far that valuations - the difference between what a home should cost and its actual price - are the lowest they've been since 2004, according to a report. The Cleveland-based bank National City Corp. (NCC, Fortune 500), together with financial analysis firm Global Insight, revealed Tuesday that more than 88% of the 330 housing markets surveyed showed price declines and improved affordability during the last three months of 2007. Housing rescue: What you need to know 
"Housing valuations are almost back to long-term norms," said National City's chief economist, Richard DeKaser. He called current affordability "the best in the past four years." But DeKaser cautioned that home prices could fall even further. "This isn't to say home price declines are over," he said. "We could move below historic norms. By the end of 2008, housing markets could be broadly under valued." Prices still improving There are still 21 housing markets, or 6% of those surveyed, that are severely over valued, including Atlantic City and Madera, Calif. That's down from 56 overvalued markets at the peak of the housing bubble in 2006. The report compares actual median home prices with what the authors determine are proper home values based on population density, relative income levels and interest rates, as well as historically observed market premiums or discounts, to determine whether markets are over or under valued. The report also factors in market intangibles that make some areas more desirable places to live, and more expensive. "Declines are no longer confined to once-frothy markets," said DeKaser. The survey covered home valuations during the last three months of 2007, but DeKaser pointed out there's reason to believe that valuations are even more favorable for buyers today. Price declines have continued into 2008 and interest rates, although they have inched up lately, have been steady or lower compared to late last year. There have even been wage gains; personal income rose 0.5% in December. Soaring foreclosure rates have added inventory to many housing markets, depressing home prices further. The biggest gains in affordability occurred in California, Michigan and Florida, which are areas that have also been some of the hardest hit by foreclosures. Those states registered 43 of the 50 biggest price declines. Bend, Ore. currently tops the overvaluation list. Home prices there were judged to be about 59% higher than their fair-market value. Miami, despite a median home price decline of 5.7% last year, is the most overvalued big city, by 44%. All the best bargains were found in Louisiana and Texas. Houses in Houma, La. were under valued by 31.2%, according to the report. Dallas was the most undervalued big city, by 30%. Compliments of CAR Market Matters
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While low interest rates and depressed home prices have started to attract entry-level home buyers, the typical home in San Diego County remains out of reach for the average family. MAKING SENSE OF THE STORY FOR CONSUMERS
· Bleak economic news is usually followed by a downward turn in mortgage interest rates, but despite some fairly poor news this week about banks selling securitized loans at fire sale prices, the overall average of 30-year fixed-rate mortgages eased by just two basis points (.02 percent). The fact that news that would usually produce a significant decline in mortgage rates instead preceded only a modest drop could be a sign that rates may soon go up. Consumers should take advantage of low interest rates while they last. · According to home-finance corporation Freddie Mac, U.S. house prices have climbed 6.2 percent a year over the past 30 years. · The recently passed economic stimulus package raised the conforming loan limit to up to $729,750 in some areas. So-called "expanded conforming" loans should provide some borrowers with an opportunity to finance or refinance at lower rates than the jumbo market may currently offer, provided borrowers can meet the guidelines for a conforming loan, which are usually more restrictive than jumbo market underwriting criteria. Extracted from CAR Market Matters
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The East Bay is an ideal place to relocate to, there is diversity in everything from housing to food to climate. it is one of the most beautiful areas of California and everything is within a couple hour drive. The East Bay is a made up of two counties, Alameda and Contra Costa, as well as the TriValley region which includes the San Ramon Valley which is located along I-680/580 and is one of the premeire areas in Northern California. The greater San Francisco Bay Area counties include Contra Costa, Napa, Sonoma, Solano, Alameda, Santa Clara, Marin, San Benito, Santa Cruz, San Francisco and San Mateo. Buying Real Estate in California affords you the most in terms of lifestyle, job opportunities and real estate. The area consists of several micro-markets within the East Bay and many have weathered the recent housing market challenges. California's East Bay-Where the Sun Shines! If you are considering relocating you may want to consider the the San Ramon and Tri- Valley area. The weather is warm, lot's of activities to choose from whether you are a family, single or a couple looking for that place to enjoy. The schools are among the best in California. If you are thinking about buying in the East Bay or even considering selling or moving up, give me a call to assist you with the process.
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CMA is real estate shorthand for "Comparative Market Analysis." A CMA is a report prepared by a real estate agent providing data comparing your property to similar properties in the marketplace. The first thing an agent will need to do to provide you with a CMA is to inspect your property. Generally, this inspection won't be overly detailed (she or he is not going to crawl under the house to examine the foundation), nor does the house need to be totally cleaned up and ready for an open house. It should be in such a condition that the agent will be able to make an accurate assessment of its condition and worth. If you plan to make changes before selling, inform the agent at this time. The next step is for the agent to obtain data on comparable properties. This data is usually available through MLS (Multiple Listing Service), but a qualified agent will also know of properties that are on the market or have sold without being part of the MLS. This will give the agent an idea how much your property is worth in the current market. Please note that the CMA is not an appraisal. An appraisal must be performed by a licensed appraiser. The CMA process takes place before your home is listed for sale. This is a good assessment of what your house could potentially sell for. CMAs are not only for prospective sellers. Buyers should consider requesting a CMA for properties they are seriously looking at to determine whether the asking price is a true reflection of the current market. Owners who are upgrading or remodeling can benefit from a CMA when it's used to see if the intended changes will "over-improve" their property compared to others in the neighborhood.
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