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Displaying blog entries 11-19 of 19

Do I have to re-register for the Do Not Call List?

Wednesday, April 9, 2008
by Carol or Jim Chamberlain
No. Your number will stay on the Do Not Call list unless you direct the Federal Trade Commission to remove it. The FTC no longer requires people to sign up every 5 years. (It is not necessary to register cellphone numbers, since telemarketing to them is illegal.) Sign up at the FTC website, www.donotcall.gov or call 1-800-382-1222. Check, too, to see if your state has a no-call list. Despite the lists, it's impossible to stop all telemarketing call. The best thing to do is hang up and report the offender's number to the FTC. To file a complaint go to www.donotcall.gov and click on the "File A Complaint" button and follow the instructions. 
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Do You Qualify For A Property Tax Reduction

Wednesday, April 9, 2008
by Carol or Jim Chamberlain

Due to recent housing market conditions within the County of Orange, Los Angeles, Riverside and San Bernardino the Assessor ‘s offices has begun to review the value of properties purchased within the last year in an effort to determine if value reductions are warranted under Proposition 8 (Prop. 8).
 
If you believe the assessed value of your home is greater than its current market value, you may request a review by filling out and returning a Decline-in-Value Reassessment Application (Prop. 8) form. The Assessors staff will review your request and provide written notification regarding their findings.

For Information and forms for your county click on the appropriate link below.

Orange County
Los Angeles   
Riverside 
San Bernardino

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Common Closing Costs for Buyers

Tuesday, April 8, 2008
by Carol or Jim Chamberlain

The lender must disclose a good faith estimate of all settlement costs. A check to cover your closing costs will probably have to be a cashier’s check. The title company or other entity conducting the closing will tell you the required amount for:
Downpayment
    • Loan origination fees
    • Points, or loan discount fees, you pay to receive a lower interest rate
  • Credit report
  • Private mortgage insurance premium
  •  Deed recording fees
  • Title insurance policy premiums
  • Survey
  • Inspection fees—building inspection, termites, etc.
  • Notary fees
  • Prorations for your share of costs, such as utility bills and property taxes

    A Note About Prorations

    : Because such costs are usually paid on either a monthly or yearly basis, you might have to pay a bill for services used by the sellers before they moved. Proration is a way for the sellers to pay you back or for you to pay them for bills they may have paid in advance. For example, the gas company usually sends a bill each month for the gas used during the previous month. But assume you buy the home on the 6th of the month. You would owe the gas company for only the days from the 6th to the end for the month. The seller would owe for the first five days. The bill would be prorated for the number of days in the month, and then each person would be responsible for the days of his or her ownership.
    • Insurance escrow for homeowners insurance, if being paid as part of the mortgage Property tax escrow, if being paid as part of the mortgage. Lenders keep funds for taxes and insurance in escrow accounts as they are paid with the mortgage, then pay the insurance or taxes for you.
    Appraisal fee
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    10 Steps to Prepare for Homeownership

    Monday, April 7, 2008
    by Carol or Jim Chamberlain

    1. Decide how much home you can afford. Generally, you can afford a home equal in value to between two and three times your gross income.

    2. Develop a wish list of what you’d like your home to have. Then prioritize the features on your list.

    3. Select three or four neighborhoods you’d like to live in. Consider items such as schools, recreational facilities, area expansion plans, and safety.

    4. Determine if you have enough saved to cover your downpayment and closing costs. Closing costs, including taxes, escrow fee, and transfer fees average between 2 percent and 5 percent of the home price.

    5. Get your credit in order. Obtain a copy of your credit report.

    6. Determine how large a mortgage you can qualify for. Also explore different

    7. Organize all the documentation a lender will need to preapprove you for a loan.

    8. Do research to determine if you qualify for any special mortgage or downpaymentassistance programs.

    9. Calculate the costs of homeownership, including property taxes, insurance, maintenance, and association fees, if applicable.

    10. Find an experienced REALTOR

    loans options and decide what’s best for you.who can help you through the process.
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    The Pros and Cons of Condos

    Monday, April 7, 2008
    by Carol or Jim Chamberlain

    Condominiums and townhouses offer an affordable option to single-family homes in most areas. But consider these facts before you buy.

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    Storage. Some condos have storage lockers, but usually there are no attics or basements to store belongings.Outdoor space. Yards and outdoor areas are usually smaller in condos, so if you like to garden or entertain outdoors, this may not be a good fit. However, if you hate yard work, this may be the perfect option for you.Amenities. Many condo properties have swimming pools, fitness centers, and other facilities that would be very expensive in a single-family home.Maintenance. Many condos have onsite maintenance personnel to care for common areas, do repairs in your unit, and let in workers when you’re not home.Security. Many condos have keyed entries and or even door attendants. Plus, you’ll be closer to other people in case of an emergency.Reserve funds and association fees. Although fees generally help pay for amenities and provide savings for future repairs, you will have to pay the fees agreed to by the condo board, whether or not you’re interested in the amenity or not.Resale. The ease of selling your unit is more dependent on what else is for sale in your building, since units are usually fairly similar. Single-family homes usually are more individual.Freedom. Although you have a vote, the rules of the condo association can affect your ability to use your property. For example, some condos prohibit home-based businesses. Others prohibit pets. Read the covenants, restrictions, and bylaws of the condo carefully before you make an offer.Proximity. You’re much closer to your neighbors in a condo or townhome. If possible, try to meet your closest prospective neighbors before making a decision.
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    What Your Home Inspection Should Cover

    Friday, April 4, 2008
    by Carol or Jim Chamberlain

    Siding: Look for dents or buckling

     

    Foundations: Look for cracks or water seepage

     

    Exterior Brick: Look for cracked bricks or mortar pulling away from bricks

     

    Insulation: Look for condition, adequate rating for climate

     

    Doors and Windows: Look for loose or tight fits, condition of locks, condition of weatherstripping

     

    Roof: Look for age, conditions of flashing, pooling water, buckled shingles, or loose gutters and downspouts

     

    Ceilings, walls, and moldings: Look for loose pieces, drywall that is pulling away

     

     

    Furnace/Air Conditioning: Look for age, energy rating; Furnaces are rated by annual fuel utilization efficiency; the higher the rating, the lower your fuel costs. However, other factors such as payback period and other operating costs, such as electricity to operate motors.

     

    Garage: Look for exterior in good repair; condition of floor—cracks, stains, etc.; condition of door mechanism

     

    Basement: Look for water leakage, musty smell

     

    Attic: Look for adequate ventilation, water leaks from roof

     

    Septic Tanks (if applicable): Adequate absorption field capacity for the percolation rate in your area and the size of your family  (Yes we do have Septic Tanks in OC)

     

    Driveways/Sidewalks: Look for cracks, heaving pavement, crumbling near edges, stains

     

    Electrical: Look for condition of fuse box/circuit breakers, number of outlets in each room

     

    Plumbing: Look for poor water pressure, banging pipes, rust spots or corrosion that indicate leaks, sufficient insulation

     

    Water Heater: Look for age, size adequate for house, speed of recovery, energy rating    Porch/Deck: Loose railings or step, rot
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    Choices That Will Affect Your Loan

    Friday, April 4, 2008
    by Carol or Jim Chamberlain

    Mortgage term. Mortgages are generally available at 15-, 20-, or 30-year terms. The longer the term, the lower the monthly payment if the same amount is borrowed. However, you pay more interest overall if you borrow for a longer term.

    Government-backed loans. Government-backed loans, sponsored by agencies such as the Federal Housing Administration (www.fha.gov) or the U.S. Department of Veterans Affairs (www.va.gov), offer special terms, including lower downpayments or reduced interest rates—to qualified buyers.

    Fixed or adjustable interest rates. A fixed rate allows you to lock in a low rate for as long as you hold the mortgage and is usually a good choice if interest rates are low. An adjustable-rate mortgage (ARM) is designed so that interest rates will rise as interest rates increase; however they usually offer a lower rate in the first years of the mortgage. ARMs also usually have a limit as to how much the interest rate can be increased and how frequently they can be raised. ARMs are a good choice when interest rates are high or when you expect your income to grow significantly in the coming years.

    Balloon mortgages. Balloon mortgages offer very low interest rates for a short period of time—often three to seven years. Payments usually cover only the interest, so the principal owed is not reduced. However, this type of loan may be a good choice if you think you will sell your home in a few years.

    Slight variations in interest rates, loan amounts, and terms can significantly affect your monthly payment. For help in determining how much your monthly payment will be for various loan amounts, use Fannie Mae’s  online mortgage calculators.

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    10 Questions to Ask Your Condo Board

    Friday, April 4, 2008
    by Carol or Jim Chamberlain

    Before you buy, contact the condo board with the following questions. In the process, you’ll learn how responsive—and organized—its members are.

    1. What percentage of units is owner-occupied? What percentage is tenant-occupied? Generally, the higher the percentage of owner-occupied units, the more marketable the units will be at resale.

    2. What covenants, bylaws, and restrictions govern the property? What grandfather clauses are in place? You may find, for instance, that those who buy a property after a certain date can’t rent out their units, but buyers who bought earlier can. Ask for a copy of the bylaws to determine if you can live within them. And have an attorney review property docs, including the master deed, for you.

    3. How much does the association keep in reserve? How is that money being invested?

    4. Are association assessments keeping pace with the annual rate of inflation? Smart boards raise assessments a certain percentage each year to build reserves to fund future repairs. To determine if the assessment is reasonable, compare the rate to others in the area.

    5. What does and doesn’t the assessment cover—common area maintenance, recreational facilities, trash collection, snow removal?

    6. What special assessments have been mandated in the past five years? How much was each owner responsible for? Some special assessments are unavoidable. But repeated, expensive assessments could be a red flag about the condition of the building or the board’s fiscal policy.

    7. How much turnover occurs in the building?

    8. Is the project in litigation? If the builders or homeowners are involved in a lawsuit, reserves can be depleted quickly.

    9. Is the developer reputable? Find out what other projects the developer has built and visit one if you can. Ask residents about their perceptions. Request an engineer’s report for developments that have been reconverted from other uses to determine what shape the building is in. If the roof, windows, and bricks aren’t in good repair, they become your problem once you buy.

    10. Are multiple associations involved in the property? In very large developments, umbrella associations, as well as the smaller association into which you’re buying, may require separate assessments.

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    8 Ways to Improve Your Credit

    Tuesday, April 1, 2008
    by Carol or Jim Chamberlain

     

    Credit scores, along with your overall income and debt, are a big factor in determining if you’ll qualify for a loan and what loan terms you’ll be able to qualify for.

    1. Check for and correct errors in your credit report. Mistakes happen, and you could be paying for someone else’s poor financial management.

    2. Pay down credit card bills. If possible, pay off the entire balance every month. However, transferring credit card debt from one card to another could lower your score.

    3. Don’t charge your credit cards to the maximum limit.

    4. Wait 12 months after credit difficulties to apply for a mortgage. You’re penalized less for problems after a year.

    5. Don’t purchase big-ticket items for your new home on credit cards until after the loan is approved. The amounts will add to your debt.

    6. Don’t open new credit card accounts before applying for a mortgage. Having too much available credit can lower your score.

    7. Shop for mortgage rates all at once. Too many credit applications can lower your score, but multiple inquiries from the same type of lender are counted as one inquiry if submitted over a short period of time.

    8. Avoid finance companies. Even if you pay the loan on time, the interest is high and it will probably be considered a sign of poor credit management.

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    Displaying blog entries 11-19 of 19

    Contact Information

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    Carol and Jim
    Preferred Home Brokers
    3230 E Imperial Hwy, Ste 125
    Brea CA 92821
    714-726-3144
    714-726-3144
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    Carol & Jim Chamberlain 714-726-3166 or 714-726-3144                  "Yes, We Can Be In Two Places At Once!"                                              BRE Lic Numbers: 00912962, 01015143