Thursday, November 3, 2011

Primary advantage of Homeownership - The Equity.

Primary advantage of Homeownership - The Equity.



When you are renting the rent that you pay every month  - you never see that money again.
Your rent money helps your landlord build equity in the property that you are living in.
What is equity?
It is the Market Value of the property less the balance of all  the liens on the property.
Here is a very simple example: Your purchased a property 5 years ago for $100,000 on a 30yr fixed rate home loan and have made regular monthly payments on it. Lets say after 5 years hypothetically you have paid off 10,000 off the $100,000 loan and your current loan balance is $90,000. But now after 5 years since you purchased the property the current market value of your property is now $120,000. Therefore your equity is $120,000 - $90,000 = $30,000
So if you sell your home today your will make $30,000 of this property less the closing costs and real estate agent commission of course.
A lot of people so agree that buying a home may come with some hefty initial costs (downpayment, closing costs, inspections), but you will make that money back over time in equity built in the home. Historically, homes appreciate by about 4 to 6 percent a year. Some areas are still experiencing normal appreciation rates. For the areas that have seen harder times since the recession, experts feel that the housing market will recover. Homeownership is not about making a quick profit - so don't pay too much attention to those house flipping strategies, rather homeownership is about building long-term wealth. A home bought for $25,000 in 1950 is most likely worth 10 times that in today's real estate market. You do the math!


I look forward to hearing from you.

Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Loan Signing Agent.
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com  
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com






Tuesday, October 4, 2011

Do You Know a Veteran?

If you know of someone who has served for our country, in the past or present, they may be eligible for a VA loan for purchasing of their home!

Some of the benefits of a VA Loans are:

- Low interest rate

- Lower qualifying credit score (620), and more flexible income qualification.

- Requires ZERO Downpayment, and minimum savings in the bank.

- Has No monthly mortgage insurance; The VA funding fee can be financed into the loan!

Let's thank our veterans for their service with benefits they can really use. A VA loan does just that. Contact me to find out how we can make a veteran's home ownership dream a reality.


I look forward to hearing from you.

Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Loan Signing Agent.
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com  
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com


Thursday, August 4, 2011

How to Build a Deck, Part 1: Design a Deck and Build Deck Plans

How to Build a Deck, Part 1: Design a Deck and Build Deck Plans

   
   

Monday, July 25, 2011

6 Creative Ways to Afford a Home

 
   


1. Investigate local, state, and national down payment assistance programs. These programs give qualified applicants loans or grants to cover all or part of your required down payment. National programs include the Nehemiah program, www.getdownpayment.com, and the American Dream Down Payment Fund from the Department of Housing and Urban Development, www.hud.gov.

2. Explore seller financing. In some cases, sellers may be willing to finance all or part of the purchase price of the home and let you repay them gradually, just as you would do with a mortgage.

3. Consider a shared-appreciation or shared-equity arrangement. Under this arrangement, your family, friends, or even a third-party may buy a portion of the home and share in any appreciation when the home is sold. The owner/occupant usually pays the mortgage, property taxes, and maintenance costs, but all the investors' names are usually on the mortgage. Companies are available that can help you find such an investor, if your family can’t participate.

4. Ask your family for help. Perhaps a family member will loan you money for the down payment or act as a co-signer for the mortgage. Lenders often like to have a co-signer if you have little credit history.

5. Lease with the option to buy. Renting the home for a year or more will give you the chance to save more toward your down payment. And in many cases, owners will apply some of the rental amount toward the purchase price. You usually have to pay a small, nonrefundable option fee to the owner.

6. Consider a short-term second mortgage. If you can qualify for a short-term second mortgage, this would give you money to make a larger down payment. This may be possible if you’re in good financial standing, with a strong income and little other debt.

Call me for a Complimentary Email List of Available homes in your favorite city, and your preferred options.


I look forward to hearing from you.

Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Loan Signing Agent.

Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 


FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Member of NAR, SRAR, CAR and NNA.


Reprinted from REALTOR® magazine (REALTOR.org/realtormag) with permission of the NATIONAL ASSOCIATION OF REALTORS®. Copyright 2008. All rights reserved.

Friday, July 15, 2011

For Home Buyers - The Importance of the Final Walk-Thru


  
   
Imagine taking possession of your newly purchased home and finding that every light bulb has been removed, the place is filthy, and the dining room light fixture that was to have been included in the sale is gone. Not only frustrating and disappointing, it's natural to wonder what else might be missing and what to do next.

First, call your real estate agent and report the general condition of the property. The purchase contract should specify what condition the property should be in when the sellers turn it over to you. The contract might specify that sellers' personal property that isn't specifically included in the sale and debris must be removed. If an item like a dining room chandelier that is permanently attached to the house is not included in the sale, this should be spelled out in the contract.

If you're unable to resolve the issue directly with the seller or with the help of the agents involved, check your purchase contract for the section that deals with dispute resolution. Then call a knowledgeable residential real estate attorney for advice.

Situations like this rarely occur. That is, unless you're buying a foreclosure property on the courthouse steps. These buyers rarely have a chance to preview the property before it's purchased. These properties are often stripped free of appliances, bath fixtures -- anything that has salvage value. This sort of purchase should be left to savvy investors and avoided by inexperienced home buyers.

In a conventional home sale, the buyers' contract should include a provision for the buyers to take a final walkthrough of the property within five days or so before closing. This is not a contract contingency. It gives the buyers an opportunity to confirm that the property is in substantially the same condition it was when they entered into contract to buy the home.

Also, if the sellers completed any repairs on the property between contract acceptance and closing, like fixing a leaking plumbing pipe, the buyers can confirm that this work has been done. Sellers should document in writing any such repairs, and the buyers should sign that they received this information.

HOUSE HUNTING TIP: Unless you've made numerous visits to the property to take measurements or figure out furniture arrangement and are confident the sellers will leave the property in good condition, you should not forgo your right to do a final walkthrough. Many sellers won't vacate until closing takes place. So, you may not be able to see the property vacant on your final walkthrough. But, you should have an indication if there are any red flags, like the sellers haven't even started packing.

You should not take possession of a tenant-occupied property unless you're buying the property as a rental and have made arrangements with the tenant to stay on. Otherwise, you could have difficulty evicting an obstinate tenant, which can be costly and time consuming.

Ideally, the sellers will plan to meet with you at some point during or after your walkthrough to point out anything about the house that you might have difficulty figuring out on your own: the location of a light switch that isn't obvious; how often certain systems -- furnace, water heater, roof gutters, drainage systems -- need maintenance; and how to operate the irrigation system, to name a few. This will save you time.

If the sellers moved out early, ask them to leave a list of items you should be aware of. This should not include new disclosure information, merely operating manuals for appliances and utilities and copies of all transferable warranties.

THE CLOSING: Ask for a list of contractors, and their contact information, who have worked at the property that the sellers recommend. This is invaluable information.

Call me for a Complimentary Email List of Available homes in your favorite city, and your preferred options.


I look forward to hearing from you.

Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Loan Signing Agent.

Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 


FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Member of NAR, SRAR, CAR and NNA.
 
Dian Hymer, a real estate broker with more than 30 years' experience, is a nationally syndicated real estate columnist and author.
    
    
    

Friday, July 8, 2011

Home security tips for when you’re away from home for an extended period


   
Summer travel season is here. The following home security tips will help keep your home and belongings safe while you are away:


Try not to give too much of a visual impression to outsiders that you’re away. Put your newspaper subscriptions, mail and other deliveries on hold.

Be very cautious about posting your whereabouts on social media sites. It’s probably better to talk about your trip on social media sites after you return home.

Arrange to have a trusted neighbor or close friend keep an eye on your home.

Have your lawn mowed and your garbage taken out while you are away. Have your trusted neighbor bring out and take back the garbage cans on trash day that gives the visual impression that there are people in the home. If your trip starts on trash day, remind your trusted neighbor to take the garbage cans back to the garage in the evening.

Use timers to turn on indoor lights in the evening and late night, and even turn on a radio, stereo or a television. Remember a TV running at night in a dark room shows a lot of movement in the house from outside.

Some local police departments offer a “house watch” program. Contact your local police department to see if this program is available for your home while you’re away.

Unplug garage door openers.

•     If possible, try to park all your vehicles in the garage.

Have a safe and fun summer season. Always use your best judgement and common sense when considering safety and security for your home and family.

 Call me for a Complimentary Email List of Available homes in your favorite city, and your preferred options.

I look forward to hearing from you.

Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Loan Signing Agent.

Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 


FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Member of NAR, SRAR, CAR and NNA.

Wednesday, July 6, 2011

7 Reasons to Own Your Home




     
1. Tax breaks. The U.S. Tax Code lets you deduct the interest you pay on your mortgage, your property taxes, as well as some of the costs involved in buying your home.

2. Appreciation. Real estate has long-term, stable growth in value. While year-to-year fluctuations are normal, median existing-home sale prices have increased on average 6.5 percent each year from 1972 through 2005, and increased 88.5 percent over the last 10 years, according to the NATIONAL ASSOCIATION OF REALTORS®. In addition, the number of U.S. households is expected to rise 15 percent over the next decade, creating continued high demand for housing.

3. Equity. Money paid for rent is money that you’ll never see again, but mortgage payments let you build equity ownership interest in your home.

4. Savings. Building equity in your home is a ready-made savings plan. And when you sell, you can generally take up to $250,000 ($500,000 for a married couple) as gain without owing any federal income tax.

5. Predictability. Unlike rent, your fixed-mortgage payments don’t rise over the years so your housing costs may actually decline as you own the home longer. However, keep in mind that property taxes and insurance costs will increase.

6. Freedom. The home is yours. You can decorate any way you want and benefit from your investment for as long as you own the home.

7. Stability. Remaining in one neighborhood for several years gives you a chance to participate in community activities, lets you and your family establish lasting friendships, and offers your children the benefit of educational continuity.


Call me for a Complimentary Email List of Available homes in your favorite city, and your preferred options.

I look forward to hearing from you.

Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Loan Signing Agent.

Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.DavidNewHome.com


FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Member of NAR, SRAR, CAR and NNA.

Online resources: To calculate whether buying is the best financial option for you, use the “Buy vs. Rent” calculator at www.GinnieMae.gov.

Blog.DavidNewHome.com is now mobile phone ready


   
Blog.DavidNewHome.com is now  mobile phone ready. And by mobile, I mean it’s optimized for your smartphone. Whether you have a Blackberry, iPhone, Android - now you can view my blog on the small screen on your smartphone.

Times are changing, and so is my blog. More and more homebuyers utilize their smartphone and mobile internet connection to find the information they’re looking for, on the go. And now I am part of this mobile trend, just as much as my clients. Before this change to blog.davidnewhome.com, one would visit our site on their iPhone for instance, and have to zoom in, zoom in, and zoom in some more, just to see some of the applicable search fields, when home shopping. No longer is this the case, and you’re experience will now be so much better.

View from your laptop, and you get the full site experience. Go from your phone, and you get the trimmed down user friendly experience.

Check it out. Go to blog.davidnewhome.com from your desktop computer or laptop. Ok. Now, go to the same URL from your smartphone. Pretty cool, huh?

I am always innovating and bringing you my A game, to improve your home buying or selling experience. One thing won’t change, however. You can always expect the best service from me.


Call me for a Complimentary Email List of Available homes in your favorite city, and your preferred options.


I look forward to hearing from you.

Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Loan Signing Agent.

Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 



FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Member of NAR, SRAR, CAR and NNA.

Thursday, June 9, 2011

What is a Loan Rate Sheet?

   
    
Every morning loan officers get a number of rate sheets. On some days, these rate sheets are revised more than five times a day depending on how volatile the interest rate it.

These rate sheets are not for public view but for loan officers' only. Mainly because it represents the 'cost' of the loan to the loan officer - not the cost to the borrower.

Below is a hypothetical sample of a section of a rate sheet for a 30 yr fixed rate loans:


Rate Cost
6.25% 2.25
6.50% 1.75
6.75% 0.00
7.25% (1.75)
7.50% (2.375)

The above chart shows the interest rate and the 'cost' to the loan officer, stated here as points. 1 point is equivalent to 1 percent of the loan. Therefore a $200,000 loan at 6.50% is going to cost the loan officer 1.75 points or 1.75% of $200,000 which comes to$3500.

As you can see, as the interest rates rise, the cost of the loan  (to the loan officer) decreases because  with the higher interest rates the lender is going to earn more interest over the life of the loan so they charge less. On the flip side, on the lower interest rates, the lender is going to earn less interest over the life of the loan hence they charge some money up front.

Zero points are called 'rebate' pricing because instead of having a 'cost' to the loan officer, money is actually paid back to the loan officer and the branch for originating a loan at that rate.

Before a loan office quotes an interest rate to you, they will add how much they want to earn on the loan. Each branch and company sets the minimum and maximum price they will charge. The range between the maximum and minimum gives the loan officer the flexibility as to how much they will charge.

For example, lets assume the loan office decides they want to earn 1 point (1 percent) of the loan amount. When we call and ask for a mortgage rate quote - they will add 1 point (1 percent) to the cost of the loan and quote us that rate. Looking at the rate sheet above, at 6.75% the loan will cost us 1 point. Now, at 7.25% the loan office will get 1.75 points back from the lender therefore that will cover the loan office's 1 point fee and have .75 point left over that can be used to pay for of the fees (processing, documents, etc.) and it will cost you 0 points. This is how loan office's offer NO Fees - No Points Mortgages - You are paying a higher interest rate.

If you have any further questions about this topic or any other Real Estate related matter, please do not hesitate to contact me.

Call me for a Complimentary Email List of Available homes in your favorite city, and your preferred options.

I look forward to hearing from you.

Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Loan Signing Agent.

Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Member of NAR, SRAR, CAR and NNA. Bilingual in English, Hindi and Urdu.

Wednesday, June 1, 2011

Home Buying CheckList

   
    
So you have finally made the decision to buy a home, but you are not sure exactly where to start !?

The first step you should take is to contact a realtor in your area. Not sure why you need a Realtor to buy your home? Read this to see the pros and cons of not working with a Realtor. You do not have to go with the first realtor you meet, but rather the one you feel most comfortable working with. Your Real Estate agent will guide you through the entire home buying experience but here are a few pointers that you must pay close attention to:

___ Prepare your budget.
Write down all your income and expenses (deduct the rent your are currently paying) and see how much money you have let over every month - this is going to be the monthly payment you can afford. When you calculate your expenses, always set aside some savings as part of your monthly expense so you will be able to save some every month. Read this to figure out how much mortgage can you afford.

___ Your Credit score
One of the most important factors in buying a home is your credit score. Here are some tips on how to improve your credit score.

___ Decide on what you want in your home.
Make a list of what you want or need in a home, and then prioritize it in case you cannot get everything you want in a house.

___ Choose the neighborhoods in which to focus your search.
What do you need in a town or neighborhood? Click here for my online resource to investigate towns. 
Prioritize aspects of the neighborhood that is important to you in the event you are not able to find them all in the neighborhood.

Check out:
___ Get preapproved. Nowadays, it has become necessary to get pre-approved before a realtor will physically show you properties. Gather pay stubs for the last few months. Find recent bank statements, tax returns, w-2 forms, proof of other income. Ask questions about loan options (take notes). You will need a pre-approval letter to submit offers. Your realtor will be able to guide you more in detail in this process.

___ Start shopping.
At this point, your Realtor will start sending you property listing that are currently available for sale in the market. Browse through them and take notes on the homes you like - listing the pros and cons and then discuss with your Real Estate Agent - he/she will be able to provide on insight to your likes and dislikes.

___ Look at the home physically. When you have narrowed your list of the homes you like, your Realtor will setup the appointments for you to go see the property physically. Remember, when you see the property; ask these questions: Does the home meet your requirements? How does it feel when you walk through it? Look at the neighborhood. Ask the agent about any problems the home may have. Take a photo, or write a description, so you’ll remember the home after looking at others. Ask a lot of questions. Use a home inspection checklist, taking notes to pass on to a professional home inspector.

David Akram
Realtor, DRE# 01891274
Notary Public, Certified Notary Signing Agent.
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com 

  
   

Sunday, May 22, 2011

Amgen Tour of California comes to Santa Clarita


 
Amgen Tour of California comes to Santa Clarita. Read more here.

Reason #1 Why you should hire me for your Real Estate Transaction


Monday, May 16, 2011

What is a Property Appraisal?



A real estate appraisal is done to establish a property's current market value – the price it will sell for if offered in an open and competitive real estate market.

Your lender will require an appraisal whenever you use a home or other real estate property as a security for a loan. The lender wants to make sure that the property will sell for at least the amount of money it is lending.

An appraisal is not the same as a comparative market analysis, or CMA. Real estate agents use CMAs to advise sellers on setting a realistic asking price. Some CMAs often come very close to an appraisal price, but an appraiser's report is much more detailed--and is the only official information that a bank will consider when deciding on whether or not to lend the loan money on that property.

Appraisers are licensed by individual states after completing coursework and internship hours that familiarize them with their real estate markets. The appraiser must always be a neutral third party - someone who has no financial or other connection to any person involved in the transaction, i.e. the lender, the seller or the buyer.

Although appraisers considers the obvious problems they see in a property, but the appraisal report is NOT the same as a home inspection. An appraiser does not check the functionality of appliances, check the condition of the roof, chimney or do any other tasks that are done by a home inspector.


FREE Complimentary Email List of Available homes based on your preferred options. I am also available to answer any questions you might have. Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, CNSA
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Friday, May 13, 2011

Canyon Country, California Tour






A brief virtual tour of Canyon Country, California. 
Presented by David Akram, Realtor - Century 21 All Moves.
Contact me for a Complimentary Email List of Available homes in your city of choice and preferred options. I am also available to answer any questions you might have.

Now lets Find Your Dream Home!


Thank you.


David Akram 
Realtor, DRE# 01891274 
Notary Public, CNSA
Cell: 661-505-8550 
Century 21 All Moves
Contact: http://contactme.davidnewhome.com  
Web: http://www.DavidNewHome.com 
Blog: http://blog.davidnewhome.com  
Facebook: http://facebook.com/davidnewhome 




Monday, May 9, 2011

I am buying a new home - do I still need a Realtor?



When you buy your home you will either be considering a used home or a new one from one of the New Home Builders.
Currently there are a number of new home communities in the Los Angeles area.

If you decide to buy a new home you should consider having a Realtor with you - so you can have someone representing you in the purchase transaction and during the entire escrow process. Builders usually welcome/cooperate with Realtors mainly because a number of the new home sales are to clients brought in by Realtors. You do not pay anything for a Realtor to represent you in the purchase of a new home - It is entirely free and you get all of the benefits of having a Licensed Realtor working for you and your best interest. You now have a third party - someone other than the seller of the new home (the builder) looking out for your best interest.

Now don't get me wrong - as a professional I think the people who work for the new home builders are very hard working and honest. But consider this - when buying a new home, the builder (also the seller of the new home) has someone working on their team – the SALES STAFF. Don't you want someone working for you and on your team!

FREE Complimentary Email List of Available homes based on your preferred options. I am also available to answer any questions you might have. 
Now, lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, CNSA
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Tuesday, May 3, 2011

What is Loan to Value Ratio (LTV)?



The Loan to Value Ratio (LTV) is determined by dividing the sales price or appraised value into the loan amount, expressed as a percentage. For example, with a sales price of $100,000 and a mortgage loan of $80,000, a borrower loan to value ratio would be 80%. Loans with an LTV over 80% may require Private Mortgage Insurance (see Private Mortgage Insurance). The loan-to-value (LTV) ratio expresses the amount of a mortgage lien as a percentage of the total value of real property. Loans with an LTV over 80% may require Private Mortgage Insurance (see Private Mortgage Insurance).

The lower the loan-to-value ratio means you have more ownership (home equity) in the property. Also banks and mortgage lenders set up different lending pricing tiers based on loan-to-value ratios.

If you have less than excellent credit score, you will get higher interest rates as the loan-to-value ratio of your purchase price increases. Banks and mortgage lenders look at higher LTV as a greater risk.

The key to getting a low LTV ratio is to give as much of a down payment as possible to bring the LTV ratio to less then 80%. Couple that with an excellent credit score and you will have a better chance to get a very low interest rate for your mortgage.

FREE Complimentary Email List of Available homes based on your preferred options. I am also available to answer any questions you might have. Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Notary Public, CNSA
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com




Thursday, April 28, 2011

What are HOA Fees?



Homeowners Association (HOA) fees are funds that are collected from homeowners in a condominium complex to obtain the income needed to pay (typically) for master insurance, exterior and interior (as appropriate) maintenance, landscaping, water, sewer, and garbage costs. These fees are considered personal living expenses and are not tax-deductible.
HOA fees are typically paid monthly and are set by the HOA's board of directors and adjusted annually. Any excess HOA fees that exist after paying for pertinent services as described above are stored in an account and called reserve funds.
Please check the CC&R of your community to get the details as to what is being paid for in your community.
If, however, an association has a special assessment to make one or more capital improvements, condo owners may be able to add the expense to their cost basis.

Cost basis is the money a home owner spends for permanent improvements throughout their time in the home and is used to reduce eventual capital gains taxes when the property is sold. For example, if the association puts a new roof on a building, the expense could be considered part of a condo owner's cost basis only if they lived directly underneath it. Overall improvements to common areas, such as the installation of a swimming pool, need to be considered on a case-by-case basis but most can be included in the cost basis of any owner who can show their home directly benefits from the work.

FREE Complimentary Email List of Available homes based on your preferred options and area. I am also available to answer any questions you might have.
Now lets Find Your Dream Home!

Thank you.

David Akram
Realtor, DRE# 01891274
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Sunday, April 24, 2011

Closing Costs that are usually paid by the Seller


 
CLTA Title Insurance
Realtor Commissions
Document preparation fees for deed
Doument transfer tax
City transfer tax
Required lender fees
Loan Payoff
Termite inspection
Termite work
Home warranty
Judgements, tax liens    
Recording charges
Tax prorations
Unpaid homeowner's dues
Assessments
Delinquent taxes
Escrow fee (50%)
Seller's sub-escrow fee
Demand fees


I am available to answer any questions you might have about the current Real Estate Market and I look forward to the opportunity to helping you find you next dream home.

Thank you.

David Akram
Realtor, DRE# 01891274
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Friday, April 15, 2011

I never buy Warranties....



We have all said this when we buy electronics or other household items but we should be more careful when it comes to purchasing a home warranty because it can be a life saver to any homeowner. Things can go wrong and by Murphy's law it will go wrong.... escpecially right after the escrow closes.

A home warranty is an inexpensive way to protect ourselves from our new, broken down house and a more econmical way to get it fixed. When the home warranty company sends out a repair service to repair the specific item that needs attention, typically your out of pocket expense is just a service call fee of approximately $50-$60 (vaires by city/state) even if the repair itself costs hundreds of dollars  or even a few thousands but generally you will only have to pay the service call fee.

Always ask the seller to pay for your home warranty for the first year so this way you have a little peace of mind of going into a new home but a old house. Home warrantis vary in cost and some have add-on options. But generally you can buy a home warranty for around $500 per year. This $500 can save you from a lot of headache and excessive repair costs down the road.

I am available to answer any questions you might have about the current Real Estate Market and I look forward to the opportunity to helping you find you next dream home.

Thank you.

David Akram
Realtor, DRE# 01891274
Cell: 661-505-1001
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

Saturday, April 9, 2011

Gotta have that 55" Flat Screen TV!

 
 
You fall in love with the home you just saw with your Realtor. Not only the home itself but also the nice entertainment center the seller has in the family room including the 55" Flat Screen TV. Or you just gotta have that pool table in the garage...Do not be shy to ask your Realtor to include these items in the Offer. Sometimes the seller does not need these items anymore and they will be happy to leave it behind for you where they’re moving to.
The seller might also be obliged to let you have these items especially when you’re making a great offer on the home. Always let your Realtor know about any items in the home you like and he or she might be able to negotiate those items for you in the deal.

I look forward to the opportunity to find your dream home. Please do not hesitate to contact me if you have any question about the current real estate market.

David Akram
Realtor, DRE# 01891274
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Wednesday, March 30, 2011

Get a pre-approval and call me in the morning!


Nowadays, Realtors are very reluctant to show properties to buyers unless they have a pre-qualification or a pre-approval from a lender.
Mainly because everyone's time is important - the buyer, the seller and the agent. Before we start taking up everyone's time looking, writing and presenting offers on properties  it is best  to make sure the prospective buyer is  financially capable to purchase the property in question. Also it helps to know how much home the buyer can afford so that the Realtor can provide the accurate property search to the buyer to look at. There is no point in looking at homes in the $900K range when the buyer can only afford the mortgage on a $500K home.

Nowadays, almost every seller requires a pre-approval letter with every offer that is presented. So it is best to have this letter ready and in-hand before you start looking at your first property because lets say you absolutely fall in love with the first home you see and want to make an offer - without a pre-qualification or pre-approval letter, your offer is not going to be accepted. You get the idea....

Plus you are in a much stronger position to negotiate with a seller if you have a pre-qualification or preapproval letter stating that you are qualified for the mortgage you will need to close the sale. This is a key point if you are in a multiple-offer competition. A prequalification letter may suffice in an area where there is a surplus of inventory of unsold homes. Your goal is to buy in the best neighborhood you can afford without overextending yourself financially.

And Do not buy a home that you will outgrow in the next couple of years. The economic recovery is going to take years. You don't want to be caught having to sell at a price lower than what you paid. Even if prices don't decline further, you won't break even if you sell for the price you paid after taking the costs of sale into account.

You should buy a home that has potential for a  good resale price. Many homes that aren't selling in today's market have incurable defects, such as a steep or shared driveway, is located on a busy street or next to a freeway or too close to a commercial zone. An incurable defects cannot be cured easily hence...incurable. On the other hand - a curable defect includes such things as getting a new paint job on the inside and outside or an outdated d├ęcor. These can be 'cured' easily and with not too much expense.

I look forward to helping you find your dream home. Please do not hesitate to contact me with any question you might have.

Thank you.

David Akram
Realtor, DRE# 01891274
Cell: 661-505-8550
Century 21 All Moves
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Monday, March 21, 2011

What is an Adjustable Rate Mortgage?



Adjustable Rate Mortgage is better known as an "ARM" in the real estate lending industry.

Just as the name suggests - "adjustable", it is just that - An interest rate that is adjusted by your lender over the life of the home loan, depending on various factors. This means that while you may start out with a low monthly payment of $1,000 it could easily rise by hundreds, or even thousands, of dollars.

So why get an ARM loan?

Borrowers generally enjoy a lower initial rate and these loans may be available for shorter loan periods. This is beneficial to buyers who plan on staying in a home for only a short period.

ARMs can also be a good option for those who expect a rise in their salary in foreseeable future. Borrowers are able to rest easier knowing their rate could rise but so will their income.

And the risks are....?

The interest rate of the adjustable rate loan could rise so high that the borrower would not be able to make their payments.
Check if there are caps on your loan - meaning there is a maximum cap on how much the lender and increase the interest on the loan. Another risk is prepayment penalties. In some cases ARM's will charge you a penalty to pay off the loan early.

If interest rates are low, then the risk from an ARM remains low. But you are gambling that rates won't rise. If they do, you will see your payments rise as well.

I am available to answer any questions you might have about the current Real Estate Market and I look forward to the opportunity to helping you find you next dream home.

Thank you.

David Akram
Realtor, DRE# 01891274
Cell: 661-505-8550
Century 21 All Moves

Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com

Tuesday, March 15, 2011

Tips on how to build up your credit score to get the best interest rates


 

Credit score requirements for loans are higher now than they have been in the past, therefore a good credit score is more important than ever. In today’s economy most lenders are looking for credit scores of 720 or higher to secure a low mortgage interest rate. Here are some ways to build up your credit score so you can enjoy the best interest rates available.


Request your credit reports so you can view and assess the situation.
Credit bureaus (www.experian.com, www.transunion.com, www.equifax.com) are required to provide you with a free credit report every year. Nationwide consumer reporting companies get their information from different sources, the data in your report from one company may not reflect the same data in your reports from the other two companies, so request all three.
Check to verify all of the information is correct. If there are any errors, contact the bureaus immediately.
Your payment history accounts for 35% of your score, so make sure payments are on time every month.
The amount owed is 30% of your score. A good rule is to use less than 10% of your credit available on each individual card.
The length of your credit history accounts for 15%, so maintain your accounts instead of closing them. You are not penalized for available credit.
New credit is 10% of your score and every time you apply for credit an inquiry is added to your report, which drops your score.
Types of credit used accounts for 10%. Installment loans like vehicle and personal loans demonstrate you can manage various long and short-term credits.

If I can be of assistance in your real estate inquiries please do not hesitate to contact me.



David Akram
Realtor, DRE# 01891274
Cell: 661-505-8550
Century 21 All Moves
Contact: http://contactme.davidnewhome.com 
Web: http://www.DavidNewHome.com
Blog: http://blog.davidnewhome.com 
Facebook: http://facebook.com/davidnewhome

FREE Monthly Newsletter:  http://newsletter.davidnewhome.com
Search for homes: http://searchforhomes.davidnewhome.com