Santa Clarita Valley Real Estate

HOME LOAN RATES REMAIN LOWER:    NOW MAY BE THE PERFECT TIME TO SEE HOW MUCH YOU CAN SAVE ON YOUR NEXT MOVE.  HAVE YOU BEEN CONSIDERING DOWNSIZING, UP-SCALING,  MOVING TO A BETTER NEIGHBORHOOD OR SCHOOL DISTRICT?   IF YOUR CURRENTLY RENTING THIS IS ALMOST A NO BRAINIER, WHEN YOU COMPARE YOUR RENT TO YOUR INVESTMENT IN OWN HOME.    TODAY'S  CONFORMING LOANS TO 417K OFFER THE FOLLOWING: 5/1 ARM: 3.25%with zero points 10 Year Fixed: 3.375% with zero points 15 Year Fixed: 4% with zero points 30 Year Fixed: 4.75% with zero points. JUMBO TO 729K 5/1 ARM: 3.5% with zero points 10 Year Fixed: 3.875% with zero points 15 Year Fixed: 4% with zero points 30 Year Fixed: 4.75% with zero points out-of-pocket cost is for the appraisal. SUPER JUMBO TO 1.5MM 5/1 ARM: 4% with 1/2 point 30 Year Fixed: 4.75% with 1/2 point    Special attention to consider the 30 year fixed rate on Super Jumbo. This rate has never been this low.  Usually rates on the Super Jumbo are at least .

Smaller and regional lenders are issuing more new jumbo loans and doing more refinancings, which could help bolster home sales in some areas. • Jumbo mortgages are mortgages deemed “too big” to be sold by lenders to government-supported agencies such as Fannie Mae and Freddie Mac. • The loan limit of a jumbo mortgage varies depending on location. In high-cost areas, including many areas in California, jumbo loans are generally considered those that exceed $729,750. In other areas, the jumbo loan limit usually is capped at $417,000. • Some borrowers applying for jumbo mortgages are finding the processing time at larger lenders can be as long as four months, while some smaller institutions can process a jumbo mortgage as quickly as 30 to 60 days. • Additionally, borrowers seeking jumbo mortgages for condos or vacation properties also may be better served using a local lender or contacting a mortgage specialist, as many large lenders have reduced their lending activity. • With

http://www.scvrealty.com   You're probably used to thinking that patience can be a virtue when you're shopping for a bargain on a large purchase. But when that purchase is real estate, the opposite is true. Today's conditions - attractive home prices and interest rates at historic lows - have combined to make the current housing market one of the most affordable in decades. It simply makes no sense to hold out for a better opportunity that isn't likely to come. Signs are already pointing to higher interest rates and, with home prices stabilizing or increasing in most markets, waiting to buy a home could easily cost you several thousand dollars each year. If buying a home is in your future, you won’t want to miss out on this once-in-a-lifetime opportunity. Comparison of cost at sample mortgage amount: $275,000 Mortgage At current low interest rate $1476.26 per month

Today Dec 11, 2009 the House of Representatives approved the biggest changes in financial regulation since the Great Depression on Friday, marking a win for the Obama administration and top Democrats in Congress. The sweeping bill, which will have to be reconciled with any measure the slower-moving Senate might eventually approve, aims to safeguard the financial system and ward off future crises of the type that punished the nation in the past year with its deepest recession since the 1930s. The House voted 223-202 to pass the 1,279-page bill, which was hammered out in the months since last year's crisis convinced Democrats of an urgent need for reform. All of the chamber's Republicans and 27 Democrats voted against bill. "This legislation brings us another important step closer to necessary, comprehensive financial reform that will create clear rules of the road, consistent and systematic enforcement of those rules, and a stronger, more stable financial system," Pr

For mortgages, 620 is the new magic number Near historic low mortgage rates, favorable home prices, and the federal tax credit for first-time home buyers have contributed to home purchases in the past year. However, the onset of the credit crisis, new regulations for home appraisals, and more stringent guidelines for purchases and refinances have resulted in confusion for some potential home buyers. While using a mortgage broker to find the best loan may work for some buyers, it may not always be the best route. In the past, mortgage brokers could “shop” a loan to multiple lenders to help find the best deal. However, new practices and procedures under the Home Valuation Code of Conduct (HVCC) have hampered mortgage brokers’ abilities, namely that lenders may no longer accept home appraisals commissioned by brokers. As a result, consumers may have to pay for new appraisals with each lender, which costs time and money. However, consumers who are very busy or need guidance may fin

Washington Report: $8,000 Home Buyer Tax Credit by Kenneth R. Harney Quick passage by the House last week of a bill extending the $8,000 home buyer tax credit next year for military, diplomatic and intelligence personnel serving overseas increases the odds that Congress will agree to an extension, maybe even an expansion, of the entire credit program well into 2010. The White House is also signaling that it sees the overall tax credit program -- currently set to expire November 30 -- as an important element in cutting the unemployment rolls and stimulating new jobs next year. After an economic policy strategy meeting last week in the Oval Office involving President Obama, House Speaker Nancy Pelosi and Senate Majority Leader Harry Reid, congressional aides said Democrats generally support an extension of the housing credit. Reid already has made clear he wants an extension. He is co-sponsoring a Senate bill that would do so for six months. Congressman Charles Rang

Despite home buyers being advised to issue down payments of at least 20 percent, many home buyers are finding that smaller down payments result in better interest rates—but also higher payments. Rules put in place in late 2008 by Fannie Mae and similar rules adopted by Freddie Mac are less favorable to borrowers who put down 20 percent to 25 percent--partially because the GSEs consider these borrowers to be more of a credit risk since they are not required to purchase private mortgage insurance. According to Fannie Mae, borrowers benefit from this industry practice because they are able to leave themselves a financial cushion by not issuing larger down payments, and can instead save the extra money for emergencies. It is important to note though that smaller down payments mean higher monthly payments because the loan itself will be larger. To read the full story, please click here Message David Hoshaw Broker, CRS, GRI, e-PRO Weichert, Realtors - Hos

CalHFA offering 30-year, fixed rate first-time home buyer loans The California Housing Finance Agency (CalHFA) recently announced it is offering Cal30, a fixed rate, 30-year loan with up to 95 percent financing. This new loan program is available for eligible first-time home buyers. In addition to the Cal30 program, CalHFA also offers the California Homebuyer’s Downpayment Assistance Program, which can provide loans of up to 3 percent of a home’s value to assist with down payments and closing costs; the School Facility Fee Down Payment Assistance Program, which provides conditional grants to buyers of newly constructed homes for down payments, closing costs, upgrades, or other costs associated with the first mortgage loan; and the Affordable Housing Partnership Program, a joint effort between CalHFA and more than 300 cities, counties, redevelopment agencies, housing authorities and nonprofit housing organizations to assist with down payments and closing costs. More info

Valuable information to for buyers and sellers. Homeownership has many advantages, including tax benefits and the ability to build equity. And now, current market conditions make purchasing a home an even more attractive option than ever before. In fact, a report earlier this week showed that the National Association of Realtors' Housing Affordability Index rose in April to the second highest monthly reading on record. That means homes are more affordable now than at almost any other time. What's more, the limited-time $8,000 first-time buyer tax credit makes purchasing a home an even better deal. Those considering a move from renter to homeowner should keep these factors in mind: Length of ownership : How long do you plan to own your new home? Because of the costs associated with a home purchase, buying now could be a great choice if you plan to own the home for at least five years. Cost: How much should you spend? Contact a mortgage professional to fi

First time home buyer is one who has not owned a home in three years or more... U.S. Dept. of Housing and Urban Development (HUD) Secretary Shaun Donovan recently announced that the Federal Housing Administration (FHA) will allow home buyers to apply the administration's new $8,000 first-time home buyer tax credit toward the purchase costs of a FHA-insured home. The American Recovery and Reinvestment Act of 2009 offers home buyers a tax credit of up to $8,000 for purchasing their first home. Families can only access this credit after filing their tax returns with the IRS. Home buyers using FHA-approved lenders can apply the tax credit to their down payment in excess of 3.5 percent of appraised value or their closing costs, which can help achieve a lower interest rate. Currently, borrowers applying for an FHA-insured mortgage are required to make a minimum 3.5 percent down payment on the purchase of their home. Current law does not permit approved lenders to monetize the

Don't Let This Opportunity Slip By! I've talked about this before, but I have now had the opportunity to participate in o ne. I am talking about the Making Home Affordable Program . This program is designed for borrowers who are upside down on their homes, have a higher interest rate than today's low rates or have an adjustable or intermediate ARM that will be adjusting soon. If your loan is owned by Fannie Mae or Freddie Mac, you've had no 30 day lates on your mortgage in the last 12 months, and your 1st mortgage is not greater than 105% of the current appraised value, you most likely will be eligible to par ticipate in this program. It typically doesn't require income or asset documentation if it is owned by Freddie Mac, but does if it is owned by Fannie Mae. The following lin ks will help you or someone you know determine if their loan is owned by Fannie or Freddie: Fannie: http://loanlookup.fanniemae.com/loanlookup/ Freddie: https:

$8,000 for first-time home buyers.(if you have not owned a home for three years or more) The first time buyer tax credit currently scheduled to end Dec 1, 2009 Home buyers could receive the tax credit from the Internal Revenue Service (IRS) only after the tax season or filing an amended return. To provide more incentives for first time home buyers, the Department of Housing and Urban Development has unveiled a policy change which will provide the tax credit up-front. According to the new policy, borrowers who avail mortgages from Federal Housing Administration (FHA) approved lenders can get advances from lenders in order to meet costs associated with home purchase. This will enable borrowers to receive the tax credit in advance, so they don't have to wait to get the money from the IRS. However, the advance from the lender cannot be used for the 3.5% down payment that borrowers have to make for FHA loans. A typical loan has $6,000 to $8,000 in closing costs, title insurance, and oth

Homeowners seeking to refinance their mortgages may be surprised by the amount of paperwork required. During the “easy credit” years, some lenders did not require proof of income or documentation. Nowadays, most lenders require borrowers to provide pay stubs, banks statements, brokerage statements, and possibly tax returns. Self-employed individuals may be asked for a profit-and-loss statement. Those relying on bonus income should expect that most lenders will assume this year’s bonus will be a lot less than last year’s, which could make securing approval more difficult. Determining the amount of equity in the home is key to being approved for a new loan. Homeowners whose mortgage obligations are less than 80 percent of the home’s value are more likely to have refinancing options available to them. Other homeowners who are current on their mortgages, owe 80 percent to 105 percent of the home’s value, and have a loan owned by Fannie Mae or Freddie Mac may be able to refinance unde

Getting a good mortgage rate is often a matter of good luck. After a series of increases starting April 30, mortgage rates finally took a dip Monday. It was a welcome surprise for home buyers that went under contract over the weekend. Same for homeowners looking to pull the refinance trigger.Versus mortgage rates on Friday afternoon, many lenders were already showing lower rates Monday morning before a late-afternoon rate sheet reprice even lower. The drop in rates lowered annual mortgage payments by roughly $180 per $100,000 borrowed. Rate dips like this aren't expected, of course, bringing us to the one of the most important axioms of shopping for a mortgage rate: You can't shop for good luck. This is because mortgage rates are inherently unpredictable. * On some days, rates are higher * On some days, rates are lower * On some days, rates are unchanged Occasionally, there are days when rates are all three. Monday's rate dip, though -- while sharp -- may not last. Early t

The real estate market has been showing signs of life in recent weeks with increases reported in both new- and existing-home sales, as well as pending home sales. Surveys and statistics show that government efforts to lower interest rates, and incentives such as the $8,000 tax credit for first-time buyers are strong factors in moving buyers off the fence. But, don't forget that the first-time buyer tax credit doesn't last forever. In fact, there are only a few months left for buyers to get under contract in order to close prior to December 1. Now is the time to reach out to take advantage of this powerful incentive and act soon if your a first time buyer who wants to take advantage of the $8,000. tax credit. Seize the opportunity! www.scvrealty.com

Current mortgage rates and changes in loan underwriting standards have led some borrowers to make mistakes when applying for a mortgage loan. One old adage that many borrowers fall into is not paying up-front points. In previous real estate cycles, paying one percentage point was equivalent to shaving off approximately a quarter of a percentage point of interest. In today’s market, one percentage point can lower the interest rate by as much as 1 percent, changing a 6 percent interest rate into one that is 5 percent. Another common mistake some borrowers make is not locking in an interest rate, especially when the rates are at historic lows, as they are currently. Many borrowers believe that if a favorable rate is available this week, a lower one will likely be offered next week. Mortgage experts advise clients to lock in a rate if the numbers work and not try to wait for a better rate that may not come. For details on financing and real estate deals in Los Angeles County, contact

Fannie Mae rolled-back one of its least popular mortgage guidelines updates of the last 12 months. Effective March 1, 2009, real estate investors can once again own and finance up to 10 individual properties. The restriction reversal does come with new minimum requirements, however. Homeowners buying a 5th, 6th, 7th, 8th, 9th or 10th home must meet the following standards, as set forth by Fannie Mae: 720 credit score 25% downpayment for a 1-unit (30% for a 2-4 unit) No mortgage delinquencies in the last 12 months 6 months of reserves for each investment property In other words, Fannie Mae is re-opening the lending spigot for real estate investors with good credit , a sizeable downpayment and ample reserves. According to Fannie Mae, the change rationale is that experienced investors can "play a key role in the housing recovery". Until now, foreclosure auctions have gone at less than full speed because investors unable to pay cash have been halted by the existing 4-property Fan

The Lenders we work with provide Conventional, FHA, VA fixed rate loans with rates often better than those offered by direct or correspondent lenders. We provide quick, smooth and ON TIME closings for our clients. We all should know how important FICO scores are, so here are some basic information to enhance your FICO knowledge and your score. Good credit scores help make it possible to qualify at better rates. For those with lesser FICO scores, we use more forgiving FHA loans. We can help you get qualified and ensure you get to move in or close escrow on the day you want. FICO Scores are weighted and structured with the following weight: 35% by Payment History 30% by Balances Owed 15% by Length of Credit History 10% by New Credit 10% by Types of Credit in Use And the overall calculated ranges: 720 - 850 Excellent, A-paper credit, the "good-guy" rates available; 680 - 719 Good, not much of a compromise on rates; 620 - 679 OK or Fair, clearly in range for FHA consideration;

FHA 203(K) rehab financing for Purchase and Refinance transactions. This government sponsored rehab program is a perfect for the purchase and rehab of of bank owned properties. FHA 203(k) renovation financing provides homeowners a cost-effective way to live in their dream home. And it gives homebuyers the opportunity to purchase properties in need of improvement. This is accomplished with a permanent mortgage that allows you to purchase or refinance a home and then immediately begin the renovation - all with just one application and one closing. The FHA 203(k) loan is a fully disbursed loan which allows a borrower to purchase or refinance a property and finance the cost of rehabilitation with one loan. Because it is fully disbursed at closing, the 203(k) loan can be insured by HUD as soon as the loan closes. The mortgage amount for these loans is based on the projected value of the property with the work completed, taking into account the cost of the renovation. Advantages of FHA 203

There's no doubt that sales are being driven by favorable prices. Purchases today indicates that buyers realize that housing remains a relatively rare commodity in Southern California, which is expected to add tens of thousands of new residents over the coming years.The median price of single-family homes sold during September declined 37.1 percent from a year ago to a median of $392,500. It was the first time since 2003 that the median dipped below $400,000. The real estate market received some welcomed good news yesterday; after U.S. Treasury Secretary Hank Paulson announced that the government would buy $500 billion worth of mortgage securities from Freddie, Fannie, and Ginnie, representing about 10% of all outstanding securities. That news sent interest rates dramatically lower, with many borrowers locking in 5.5% 30 year fixed mortgages yesterday. This action from the government should begin to increase real estate activity as fence sitters starting buying and locking availab