Do you know about the increase of impending property tax assessments?
A precedent setting California court case allows county assessors to recapture tax cuts as real estate values recover their losses.
Citing a practice called “value restoration” or recapture”, County Assessor's offices throughout the state are sending out notices this week.
County Assessor's offices say they can raise taxes by more than Proposition 13's two percent limit when home prices rebound for properties that had prior assessment reduction; plus two percent each year for every year they‘ve owned the property.
Many homeowners who got tax cuts during the recession will see their taxable values rise as much as seventeen percent this year.
The California Supreme Court affirmed assessors' right to do this after Seal Beach lawyer Robert Pool lost his court fight to block the Los Angeles County Assessor (and all California assessors) from recapturing lost assessment values after the 1990s housing market crash.
This week 31,803 Orange County homeowners face that same shock via a “blue notice” in the mail.
The Assessor's Office must notify property owners by mail by July 20th.
Property owners have until Sept. 16, 2013 to file an appeal with the Clerk of the Board of Supervisors.
7/22/2013
7/09/2013
C.A.R. Mid-Year Market-Update July 2013
Here is the California Association of REALTORS mid-year market update, it's quick and easy to follow, by analyst Leslie Appleton-Young. While one projection by CAR anticipates a slowing in home price increases, this presentation also points up the continuing lack of home inventory. With the increase in prices since one year ago, investors are having a harder time finding bargains, and we are seeing a majority of sales as "standard" transactions, with short sales being 25% or less of the market statewide. Where will the home increase be in 2014? With supply and demand coming to closer balance (inventory increased about 2 percent between April and May), CAR's projection is a four percent annual increase in 2014.
This is a good quick summary and easy to follow:
This is a good quick summary and easy to follow:
7/08/2013
New Fannie Mae and Freddie Mac Loan Modification Guidelines for July 1, 2013
If you're still an "underwater" homeowner of a single family residence, a condominium, a second
home, or an investment property with a mortgage owned or guaranteed by Fannie Mae or Freddie Mac, you might be eligible for sweeping new changes as of July 1, 2013, known as the "Streamlined Modification Initiative."
Past programs for helping borrowers modify their loans met with less success than hoped for, and Fannie Mae/Freddie Mac are now offering eligible borrowers the opportunity for less documentation and document collection which also removes administrative issues for the lender. Under this new program, borrowers are not required to document their hardship or financial situations.
This program ends August 1, 2015, so it's basically in effect for 2 years.
What are the borrower eligibility requirements?
If you are considering selling, and are not yet 90 days delinquent on your loan, you should carefully consider your plan of action. The proposed monthly payment may or may not be satisfactory to you under this Streamline program, and as a seller, you would ideally have a very clear picture in your mind as to the direction you are going to take. Borrowers should be aware that "strategic defaulters" will be screened for in advance, so if someone is purposely defaulting in order to obtain this program, Fannie Mae and Freddie Mac will be on the lookout for that.
Interestingly, some property owners are not aware of current selling prices in their local market, so obtaining a good market valuation on your property should be a first priority. If your property is a candidate for a non-short sale transaction, you could move on. If on the other hand, you would rather stay put and not sell if you obtained a better mortgage payment, you should find that out as soon as possible to avoid being an unmotivated seller at this time.
For more details about this program, or to find out if you have a Fannie or Freddie mortgage, please contact me via e-mail or phone, I will welcome the opportunity to help you. I serve the Long Beach, Lakewood, Cerritos, Cypress, Seal Beach, Los Alamitos, and San Pedro areas, including adjacent cities such as Huntington Beach.
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| Did you buy when the market was high? |
Past programs for helping borrowers modify their loans met with less success than hoped for, and Fannie Mae/Freddie Mac are now offering eligible borrowers the opportunity for less documentation and document collection which also removes administrative issues for the lender. Under this new program, borrowers are not required to document their hardship or financial situations.
This program ends August 1, 2015, so it's basically in effect for 2 years.
What are the borrower eligibility requirements?
- The loan must be owned or guaranteed by Fannie Mae or Freddie Mac.
- Homeowners must be 90 days to 24 months delinquent.
- There must be a first-lien mortgage that is at least 12 months old with a loan-to-value ratio equal to or greater than 80 percent.
- Loans that have been modified at least two times previously are not eligible.
- The borrower must participate in a trial payment plan period of 3 months.
If you are considering selling, and are not yet 90 days delinquent on your loan, you should carefully consider your plan of action. The proposed monthly payment may or may not be satisfactory to you under this Streamline program, and as a seller, you would ideally have a very clear picture in your mind as to the direction you are going to take. Borrowers should be aware that "strategic defaulters" will be screened for in advance, so if someone is purposely defaulting in order to obtain this program, Fannie Mae and Freddie Mac will be on the lookout for that.
Interestingly, some property owners are not aware of current selling prices in their local market, so obtaining a good market valuation on your property should be a first priority. If your property is a candidate for a non-short sale transaction, you could move on. If on the other hand, you would rather stay put and not sell if you obtained a better mortgage payment, you should find that out as soon as possible to avoid being an unmotivated seller at this time.
For more details about this program, or to find out if you have a Fannie or Freddie mortgage, please contact me via e-mail or phone, I will welcome the opportunity to help you. I serve the Long Beach, Lakewood, Cerritos, Cypress, Seal Beach, Los Alamitos, and San Pedro areas, including adjacent cities such as Huntington Beach.
7/01/2013
In Long Beach, What Can You Buy Under $300,000?
There have been several articles talking about this price range in the last few years since the market downturn. With both limited inventory, and an increase in the real estate market, there is a declining number of single family homes available under $300,000 in Long Beach, California. There are 47 listings as of July 1 in this category, in various areas of Long Beach. One of the best values in this range is really Windward Village, a secure planned unit development (PUD) park which offers open space and recreational facilities.
As of July 1, 2013 (check for any updated information) the home in the photo is listed in the MLS for $239,000, and at the listed 1600 sq. ft. for 2 bedrooms and 2 baths, is an unbelievable value.
Windward Village homes may qualify for FHA, VA or conventional financing, and because it's a PUD, the new owner owns the land too. Individual lot sizes vary from 2500 sq. ft to 3800 sq.ft., equal to or more than lot sizes in Belmont Shore. While older models feature the carport style, newer models offer closed door garage parking.
The complex has a 24-hour guard entry where all entrants are checked in by staff; there is a community center for activities and gatherings, an outdoor pool, grassy green areas, outdoor play areas for children, basketball and tennis courts, car wash center, guest parking, and a putting green. For the unit shown above, the HOA dues are only $188/month. Contrast that figure to the average condominium HOA fee of $250/month elsewhere in Long Beach, without all the recreational facilities.
Because these are manufactured home purchases, there are some differences from a regular single family home process which are normal to this type of purchase, such as the foundation system. But because it is a PUD and the owner owns their own land, there is absolutely no space rent, a monthly cost of $900 or more per month in similar complexes.
The common areas are very well kept with well-maintained and patrolled asphalt roads, and has the feel of a small single family residential community. It's a great opportunity while prices are still low, and nowhere else in Long Beach can you buy your own private home and have such advantages.
Please contact me about this complex!
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| Windward Village Home--Click on photo for info |
Windward Village homes may qualify for FHA, VA or conventional financing, and because it's a PUD, the new owner owns the land too. Individual lot sizes vary from 2500 sq. ft to 3800 sq.ft., equal to or more than lot sizes in Belmont Shore. While older models feature the carport style, newer models offer closed door garage parking.
 |
| Community Center |
The complex has a 24-hour guard entry where all entrants are checked in by staff; there is a community center for activities and gatherings, an outdoor pool, grassy green areas, outdoor play areas for children, basketball and tennis courts, car wash center, guest parking, and a putting green. For the unit shown above, the HOA dues are only $188/month. Contrast that figure to the average condominium HOA fee of $250/month elsewhere in Long Beach, without all the recreational facilities.
Because these are manufactured home purchases, there are some differences from a regular single family home process which are normal to this type of purchase, such as the foundation system. But because it is a PUD and the owner owns their own land, there is absolutely no space rent, a monthly cost of $900 or more per month in similar complexes.
The common areas are very well kept with well-maintained and patrolled asphalt roads, and has the feel of a small single family residential community. It's a great opportunity while prices are still low, and nowhere else in Long Beach can you buy your own private home and have such advantages.
Please contact me about this complex!
6/12/2013
Long Beach Summer 2013 Schedule for Concerts in the Park
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| Stearns Park |
Did you know that Long Beach parks rate as the 22nd best among the 50 largest cities in the United States? Park size and access are among the reasons for such a favorable review. According to the Trust for Public Land, 78 percent of Long Beach residents live with a 10-minute walk of a park (the national average is 64 percent). Long Beach spends more ($125) than the national average per resident. The city has more than 3,100 acres for recreation, equivalent to 9.7 percent of the city's 50 square miles.
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| Stearns Park, one of many LB parks |
See below for this summer's Concert in the Park schedule, offered by one of the few cities that has its own municipal band led by Larry Curtis:
| Theme: Star Spangled Special | |
| Tuesday, July 2: | Whaley Park |
| Wednesday, July 3: | Los Cerritos Park |
| Thursday, July 4: | Marine Stadium |
| Friday, July 5: | El Dorado Park West |
| Sounds of Cinema | |
| Tuesday, July 9: | Bluff Park |
| Wednesday, July 10: | Los Cerritos Park |
| Thursday, July 11: | Marine Stadium |
| Friday, July 12: | El Dorado Park West |
| Cartoon Musical Madness | |
| Tuesday, July 16: | Bluff Park |
| Wednesday, July 17: | Los Cerritos Park |
| Thursday, July 18: | Marine Stadium |
| Friday, July 19: | El Dorado Park West |
| The Voices | |
| Tuesday, July 23: | Bluff Park |
| Wednesday, July 24: | Los Cerritos Park |
| Thursday, July 25: | Marine Stadium |
| Friday, July 26: | El Dorado Park West |
| Swing is the Thing | |
| Wednesday, July 31: | Los Cerritos Park |
| Thursday, August 1: | Marine Stadium |
| Friday, August 2: | El Dorado Park West |
See more at http://www.longbeach.gov/park/recreation/lb_municipal_band.asp
6/07/2013
Checking Your Credit Report is Important for Buying Long Beach Real Estate
Unfortunately, there is always potential for errors and negative information to be entered onto your credit report. And even though credit reports and scores as they currently exist came into usage in very recent history, after the economic downturn in the 1990s, they now have a major influence in our lives.
Obtaining a mortgage is one of the best known times when credit scores are reviewed, but also employers check credit scores to evaluate job candidates, insurance companies evaluate prospective insureds, and auto loan makers also pull credit. I was once in the position of paying all cash for an automobile with a guaranteed check, yet the auto dealer still consulted my credit score online before finalizing the deal to make sure my overall profile fit who I said I was--they didn't want another "buyer" driving a new car off the lot on a phony check, never to be found again.
Protecting your credit, and your credit cards, may take additional work. You may be at risk if you pay restaurant bills--where you have to give up your card momentarily while it's taken away out of your sight by the waiter for processing--and it's out of your hands. It's an opportunity for a dishonest person to write down your card account number and use it later. I rarely ever have had such problems to worry about, but this happened to me recently when I discovered my account number had been used by someone else to establish an account for, guess what, checking their credit at an Equifax site and I was billed a small amount monthly. It went on for some time before I caught it (another reason to balance your account every month) and fortunately I got my money reimbursed. But of course I had to cancel that card, write checks for a few days, and wait for a new card to be issued. It was a time in which I was reminded that this is increasingly a plastic card world. Writing checks is less common, and in fact there are some circumstances where checks or cash are not accepted and merchants want payment only by your credit card. So keeping your credit in good shape is so important.
My bank offers a service where I now have credit card alerts sent to my email so that I can spot a problem right away--if you have Smartphone or mobile tablet, you don't have to wait until you get to a desktop computer to check your email or messages. It's working great.
Here is the entire article at DS News.
5/31/2013
Update to HAFA Short Sale Program in 2013
The "Home Affordable Foreclosure Alternative" (HAFA) program is a program for distressed homeowners to sell their homes and avoid foreclosure.
This program applies only to participating lenders who agreed to participate in the government's "Home Affordable Modification Program" (HAMP). There are currently about 100 participating lenders, including Chase, Wells Fargo, Bank of America. On February 1, certain rules were changed for these lenders (who are not Freddie Mac, Fannie Mae, or FHA/VA lenders, which are excluded from this post), which simplified some of the steps.
One change now in effect is that the property is no longer required to be owner-occupied, in fact, it may be vacant or tenant-occupied, to be eligible for a HAFA short sale, and the tenant/borrower/non-borrower occupant may qualify for the $3,000 in relocation assistance. Payment to subordinate mortgage lienholders (do you have a 2nd mortgage?) has been increased to a maximum of $8500.
Borrowers are no longer required to successfully complete an initial trial loan period or be eligible for a HAMP loan modification in order to be eligible, and the borrower may apply directly for the HAFA program.
The hardship must be verified by the borrower's lender, with no convictions relating to mortgage fraud or real estate transaction within the past 10 years. A hardship means the borrower must show, among other things, they no longer have sufficient assets to make the mortgage payment (these are not supposed to include retirement funds).
The current program cutoff date is December 31, 2013 for submission of request for a short sale, or request for approval of an executed sales contract, with conclusion of the transaction by September 30, 2014.
There are specific procedures and forms the borrower must cooperative with during the approval process, which includes about 12 steps including all borrower document submission and lender deadlines. Additional information may be requested depending on the particular loan investor on the borrower's loan.
For a more complete fact sheet on a HAFA short sale, please contact me and I will be happy to e-mail the information, plus links to informational sites.
This program applies only to participating lenders who agreed to participate in the government's "Home Affordable Modification Program" (HAMP). There are currently about 100 participating lenders, including Chase, Wells Fargo, Bank of America. On February 1, certain rules were changed for these lenders (who are not Freddie Mac, Fannie Mae, or FHA/VA lenders, which are excluded from this post), which simplified some of the steps.
One change now in effect is that the property is no longer required to be owner-occupied, in fact, it may be vacant or tenant-occupied, to be eligible for a HAFA short sale, and the tenant/borrower/non-borrower occupant may qualify for the $3,000 in relocation assistance. Payment to subordinate mortgage lienholders (do you have a 2nd mortgage?) has been increased to a maximum of $8500.
Borrowers are no longer required to successfully complete an initial trial loan period or be eligible for a HAMP loan modification in order to be eligible, and the borrower may apply directly for the HAFA program.
The hardship must be verified by the borrower's lender, with no convictions relating to mortgage fraud or real estate transaction within the past 10 years. A hardship means the borrower must show, among other things, they no longer have sufficient assets to make the mortgage payment (these are not supposed to include retirement funds).
The current program cutoff date is December 31, 2013 for submission of request for a short sale, or request for approval of an executed sales contract, with conclusion of the transaction by September 30, 2014.
There are specific procedures and forms the borrower must cooperative with during the approval process, which includes about 12 steps including all borrower document submission and lender deadlines. Additional information may be requested depending on the particular loan investor on the borrower's loan.
For a more complete fact sheet on a HAFA short sale, please contact me and I will be happy to e-mail the information, plus links to informational sites.
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