Which Projects Are the Right Ones for Your Home?

When selling or buying, it's always good to think about remodel or fixup projects and how they fit with the home.  The return may vary with the region in the country, but there is a trend on what used to bring higher returns which may be lower now.  For instance, garage door replacements didn't used to be at the top of the list, but as kitchen remodels have become more common, other home features are getting more attention. For instance, vinyl windows are, in my opinion, a good investment whether house or condo--they block noise, keep a home better insulated and add attractiveness.

Long Beach Market Prices for Houses and Condos Feb. 2017

Long Beach prices Feb. 2017

The average sales price for a house in Long Beach in February was $672,000 (an increase of 7% over same time last year); the average price for a condo was $413,000 (an increase of 8% over same time last year.)

What is going to happen to interest rates?  For a while they were predicted to go up to 5% this year, but today (Friday), they are 4% or 4.125% depending on the loan level for conventional loans, and 3.75% or less depending on loan level for FHA/VA loans.  What will happen in the future depends on a lot things that are currently going on in Washington DC, and predicting the future is not a sure thing.

One of the biggest problems is still lack of inventory, as one can see on this report, it's gone down from last year (it can't get much lower, by the way), and it's not just the case in this city, this is across the board.  This has made the market get much more competitive (who thought it could get worse?), and the days on market figures are showing that, less time on market means the properties are getting snapped up faster and there are multiple offers.  The chart shows average figures, they vary greatly according to price range and location.  A $450,000 house in excellent showing condition will not last, but the $1,000,000+ range offers more selection and more time: there are 75 active listings in CRMLS in Long Beach over one million, and days on market is also 75.  Apparently, in Arcadia, per a conversation with a fellow Realtor this morning from that area, it's the $5,000,000 properties that are hot and moving fast.  Every market is different.

Lakewood: Average SFR selling price - $546,000; Condo $401,000.
Cerritos:  Average SFR selling price -  $743,000; Condo $335,000.
Huntington Beach: Average SFR price - $906,000; condo $510,000.

If you're thinking of making a change, please contact me

Help for Buyers Who Want a Condo

California Association of REALTORs Housing Affordability Fund’s Homeowners Association Grant Program will provide qualified first time California homebuyers up to six months of HOA dues, not to exceed $2,500.  C.A.R.’s Housing Affordability Fund has allocated one million dollars towards this program.

How to  qualify?
• Homebuyers must use a California REALTOR® in the transaction (REALTORS® must apply on behalf of their client)
• Purchase a primary single family residence* in California with the intent to occupy the property as your primary residence for 2 years
• Be a first-time homebuyer*
• Buy a home with applicable HOA dues/fees
• You must have used financing to purchase the single-family dwelling
• The purchase price of the Single-Family Dwelling* must not exceed 150% of the mortgage limit set by the FHA for one-family units in the county in which the Single-Family Dwelling* is located

Please note: HAF must receive all program requirements no later than thirty (30) days after closing escrow.
Want to know more? Please contact me by phone or email

New Credit Reporting Policy Change May Affect Many Consumers Positively

Equifax, TransUnion and Experience will, as of July 1, 2017, require tax lien and civil judgment data to contain three of four information requirements in order for that information to be included in an individual's credit report.  The consumer's name, address, and either a social security number or a date of birth must be included, and current data not reflecting that information will soon be removed from credit reports.  According to Mortgage News Daily, many liens and most judgments don't currently include that information, and their removal, although sparking a controversy, will probably be viewed as happy news by many consumers.  Already, other types of negative data have been addressed in settlements of lawsuits:

It appears that the changes announced by the credit reporting companies are at least partially in response to a recent report from the Consumer Financial Protection Bureau (CFPB). 

* * * *

The Wall Street Journal reports that settlements of lawsuits brought by various states have already pushed the credit reporting companies to remove some categories of negative data from reports such as information related to library fines and gym memberships, and required changes to the timing of medical collections information.

The net effect is that many consumers will have an increase in their FICO score, perhaps an upward boost of about 20 points.