Brookside Escondido – Lower Rates Mean Increased Purchasing Power
May 21st, 2010 Categories: Brookside Escondido, Escondido, Mortgage News
Great news going into the weekend. We have seen a nice drop in rates over the last week, about 0.50% across the board. This drop equates to an increase in buying power and an increase in buying options.
Increased buying power, four examples with a 30 year fixed:
- A payment of $1,565 at 5.25% equated to a loan amount of $283,400. Same payment but at 4.75% equates to a loan amount of $300,000. Loan amount increase of $16,600.
- A payment of $2,175 at 5.25% equated to a loan amount of $393,875. Same payment but at 4.75% equates to a loan amount of $417,000. Loan amount increase of $23,125.
- A payment of $3,440 at 5.375% equated to a loan amount of $614,300. Same payment but at 4.875% equates to a loan amount of $650,000. Loan amount increase of $35,700.
- A payment of $5,577 at 6.00% equated to a loan amount of $947,000. Same payment but at 5.50% equates to a loan amount of $1mil. Loan amount increase of $53,000.
Increased buying options:
Let’s say the buyer was already going to borrow $417,000 or $650,000. The reduction in interest rates would lower their payments by $127 at $417,000 and almost $200 at $650,000. This loan payment reduction might now allow buyers to look at communities with amenities such as a community pool, tot lot/playground, and common ground landscaping; amenities that many families are looking for but were unable to afford due to the $50 to $200 additional HOA fee. The lower mortgage payment now leaves room to absorb that HOA fee. This gives the buyer more properties from which to choose.
I wrote a very similar email in July of 2008. In that email, the rate decrease for conforming loans was from 6.25% to 5.875%. We are still a full percentage point lower! Please have your buyers contact me as soon as possible to see how much more they can afford at today’s rates.
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Escondido Street Faire May 16 – Faire Information Here
May 15th, 2010 Categories: Community Events, Escondido, Escondido Street Faire, Real Estate News
Visit the state’s second largest street fair in downtown Escondido tomorrow from 9am till 5pm! The Faire is sponsored by the Escondido Chamber of Commerce and the Downtown Business Association. More than 60,000 people converge to check out the 600 unique vendors, who have a little of everything: arts and crafts, home improvement area, unique clothing, food from around the world, and more. 
Children’s rides, animal demonstrations by the San Diego Wild Animal Park, and an old-fashioned pancake breakfast guarantee that you’ll find fun for the whole family!
The twice-a-year event, which has taken place each May and October since 1988, typically attracts as many as 60,000 people to Grand Avenue from Centre City Parkway to Ivy Street. The fair is expected to provide a boost to the many downtown businesses still struggling from the recession.
The weather is expected to be nearly perfect for the fair, according to forecaster Dan Apkin of the National Weather Service office in Rancho Bernardo. There will be some low clouds and fog in the morning, but they will give way to sunny skies and temperatures in the 70s during the afternoon, he said.
The fair will run from 10 a.m. to 6 p.m., a change that began in October. Organizers said the previous schedule of 9 a.m. to 5 p.m. was unpopular because crowds had to be sent home before they dissipated. But an attempt to have the fair run from 11 a.m. to 7 p.m. failed because crowds were sparse after 6 o’clock, organizers said.
For more information on the Faire, please contact us below:
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When Is It Time To Short Sale My Home? Top Three Questions Answered
May 7th, 2010 Categories: Bel Etage, Brookside Escondido, Foreclosures & Short Sales, Real Estate News, Salviati, Santa Fe Valley, Savenna, bank owned
How would I initiate the short sale process?
A. To initiate the short sale process, contact your lender(s). Typically, the department to contact is your lender’s Loss Mitigation Department. Either you or your authorized representative needs to ask the lender for a short sale package or kit. Most lenders will make their particular processing forms and procedures pertaining to their required short sale documentation available to homeowners. 
Unlike what many people believe, some lenders will also allow you to apply and get approval for a short sale even when the homeowner has never been late or missed a mortgage payment. Please note that lenders will typically only consider a short sale after the borrower has: missed two mortgage payments; has no means to continue paying the mortgage; provided all the necessary financial and hardship documentation to the lender; agrees that they will not derive any proceeds from the sale.
Q. Should I contact a real estate agent?
A. Absolutely. But before selecting a real estate agent to represent you, determine whether or not they are knowledgeable about preforeclosure, foreclosure and bankruptcy options. Your agent should not be giving you advice regarding your personal financial situation. Any real estate agent who asserts that he or she is prepared to assist you as a homeowner in a potential short sale outcome must also be willing to follow the specific administrative procedures of the particular lender involved. In addition, the real estate agent should also acknowledge that they essentially confine their guidance to determining the property’s value and how to best market the property, versus advising the homeowner on the best preforeclosure/foreclosure resolution.
Q. Should I contact an attorney?
A. Absolutely. We recommend that you contact an attorney with the understanding that the attorney needs to not only be well versed in real estate law and foreclosure law in your particular state or province, but also needs to be a proven negotiator on behalf of their clients. Not all short sales or other pre-foreclosure or foreclosure options are structured alike. Therefore, the role of a highly competent attorney in such matters-one who can skillfully negotiate on your behalf-can make a world of difference.
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