LA Schools And Real Estate: What You Need To Know.

                                                   
                                                     Attention Parents!

Attention Parents To-be!

   Attention People Who Know People With Children! 

I work with so many people who would like to buy a home in a "Good School District".  And, I work with people who don't have young children, however, they are curious about the future resale value of their home based on the district it is in.  So, if you would like to know about about the Los Angeles Schools, this is for you. I've personally worked with this organization before for my own family needs. I've also held events where I invited them to come speak about how to get into the school of your choosing. And most of of their seminars are FREE.  They cover a wide variety of topics regarding school and here are just a few:

1. How to navigate Public elementary schools and admissions

2. How to navigate Private elementary schools and admissions

3. Understanding typical language development in preschool and elementary school ages

4. LAUSD gifted/talented programs

5. Summer is Coming! What do I do with my kids now? (okay, I made up the title but the event is real) 

Parent's Education League is a non-profit organization that helps parents in LA understand our schools and what they have to offer.  For a list of calendar events they offer click HERE 

Best Time To Buy A Home Is When It Is Raining

Yes, that's right.  The best time to buy a home is when it's raining.  And here's why...if you haven't heard, most people in LA melt in the rain. So there typically aren't a lot of people looking at homes when it's rainy.  So if you happen to see a home on a weekend when it's been raining and put an offer on it, you are likely to be up to less competition from other buyer.  Another great reason to buy a home during a rainy time is that is the best time to see what an inspector has to say about the home when it's been through some wetter weather.  Can he see any leaks from the roof? Are there any areas of the home where water intrusion is happening? Does the landscaping or slope of the property puddle or hold water? And if you are in the hills, what does the street the home is on look like during a down pour?  Do you see any structures you would worry about because of the rain? So, while we love our sunny warm weather here in LA, our city and homes weren't always designed with a lot of rain in mind and therefore something as simple as rain can tell us a lot about whether or not a home will be a good buy.  So, while it's raining, get out there and see some houses. I have my rain boots and jacket ready to go so call me when you are ready to buy or sell. 

Rebates and Credits For Your Home

I have put together a list of where you can look for possible rebates and credits for your home.  From A/C units to a new roof and even pool pumps, you may find great value here in one of these.

1. Home upgrade package up to $3,000 or Advanced Home Upgrade Package up to $6,500 toward energy saving upgrades Click Here or Click Here

2. Turf Replacement Programs Click Here

3. Clothes Washer Rebate Click Here

4. Premium High Efficiency toilets rebates Click Here

5. Rain Barrels Click Here

6. Electrical Vehicle Charger Click Here

7. Get Free Trees For Your Yard Click Here

8. Refrigerator Exchange Click Here

9. Pool Pumps Click Here

10. Solar Rebates Click Here

11. A/C Unit Click Here

13. Smart Thermostats Click Here



                                                                   

New Earthquake Retrofit Requirements May Have You Paying Out Some Hefty Fees Soon

Earthquakes are an inevitable part of living in LA.  And our city is always trying to stay on the safer side of things when it comes to a major earthquake.  There are a lot of buildings, most of which are in the valley, that are going to need upgrades in order to comply with the city's new standards for earthquake retrofitting.  

Owners of condo units that will need these earthquake retrofits will have to cover the costs needed to make the building comply with the city.  Renters may also be asked to cover the costs as well.  

According to the LA Times "The law requires owners to front the retrofit costs, which can range from $60,000 to $130,000 — possibly even more for larger buildings. The city recently agreed to allow owners to pass on half the costs to tenants through a rent increase of up to $38 more per month."

Is your building on this list? Find out here
And you can read the full article from the LA Times Here

Free Hiking On Black Friday

Are you one of many who will NOT be going to a mall on Black Friday?  Well, then go for a hike. Literally.  116 California State parks are offering free parking and admission on that day.  Here is a link where you can book your visit http://www.greenfriday.org/

                                                                           

Loans Specifically For Doctors

I know most people think doctors must be doing quite well in terms of livelihood but fact is, most doctors can be strained by high student loans.  And those can take a very long time to repay.  Unfortunately for them, student loans are one of those forms of debt that can make getting a loan difficult.  But there is a new program out there that can help.  Here are some of the guidelines.

DOCTOR LOAN PROGRAM FEATURES:

-95% Financing up to $1,000,000 with no mortgage insurance

-89.90% Financing up to $1,500,000 with no mortgage insurance

-85% Financing to $2,000,000 with no mortgage insurance on 2 Units

-Close on your home up to 60 days prior to new employment start date (with an executed contract)

-Eligible professions include Residents, MS, DDS, DO, DS, and Veterinarians

-Student loans may be excluded from the DTI with proof of 12 months deferment/forbearance

– 700 + FICO score required for 89.90% financing, 720+ FICO for 95% financing

– Eligible Properties Types: One Unit Single Family, PUDs, 2 Unit Attached, Condos

– Eligible Products: 5/1, 7/1, and 10/1 ARM with fully amortized payment.

So, if you are a doctor and looking to buy a home, give me a call

How To Find A Home That Is Not Listed To The Public

Shhhhh!! It's a secret.  

I have been very successful at helping both buyers and sellers with pocket listings.  Over the years, I have been able to get a great deal of buyers into homes that were not listed to the public.  In fact, I have another one at this very moment that I found for my buyer.  So, what is a "pocket listing" you ask?  They are homes for sale that aren't listed to the public.  And why would someone want to sell their home and not list it publicly?  Well, there are a lot of reasons.  Such as: Someone may have a small baby or sick family member and they don't want a lot of people in and out of their home.  They may be strategizing the sale of their home in hopes that if they find a buyer who is getting a home that no one else knows about, the buyer will put their best-foot-foward to make the deal happen.  The sellers may be asking to put the home on the MLS but, through word of mouth and close-working relationships, an agent could get a buyer into a home before it becomes listed on the MLS. 

And I have a wide reach of people I know that help me find homes not listed on the MLS.  And it's not just about finding a home that isn't listed...but also getting the other agent to accept my offer rather than putting it out for the public and hoping to get multiple offers.  It's not an easy task.  So, call me if you are ready to find that home that no one knows is out there.  

Did you hear me on NPR?

Ben Bergman from NPR called me the other day to ask me about sales in Porter Ranch after the gas leak.  He read my name in an article from the LA Times when they called me to ask about the same subject a few months back.  I had a number of people reach out to me telling me they heard me on the segment on the radio.  I've been very lucky to be the go-to realtor in the valley for many media sources like the LA Times, Trulia, Realtor Magazine and more.  Adding NPR to that list makes me very proud and I am blessed that I keep getting the opportunities.  But more so, I work hard to stay on top of what is going on the market in my area.  And when you are looking for a realtor, they should know all the things about the local market and what may be causing a change or any foreseeable changes that may come.  All these media sources trust that I am in-the-know of real estate here in the valley.  So if you are looking to buy or sell your home, give me a call. Listen here (corrected link if you read this before) http://www.scpr.org/news/2016/10/07/65419/home-prices-in-porter-ranch-not-effected-by-gas-le/

                                                                               

Something To Keep In Mind While Trick or Treating This Year

We live in LA where there are a gazillion people.  So, with that many people, there are bound to be some you'd like to avoid especially if they pose a potential threat.  When going out trick-or-treating with kids, please be aware of any neighbors you may have that are on the sexual offenders list.  You can search by radius around an address or using someone's name.  Here is the website https://www.nsopw.gov/en/Search

Loan Approvals For Condos May Be About To Change

For years, there have been restrictions on buyers being able to get a loan on certain condos.   One of the big obstacles for buyers and sellers has been that if the building had more than 50% of the units being occupied by renters, then loans could be denied for prospective buyers on a unit in that building.  This is a harsh restriction for many reasons.  If the building was small, such as a 6 unit building, then if 3 were rented, that would be 50%.  Plus, if you need to sell your unit and these restrictions are in place, then you may be stuck having to rent your unit yourself which could be a domino effect on the entire building causing a building to have more and more renters over time.   But the FHA has proposed a change in the rules and this is what the US Department of Urban Housing and Development said on the issue:

"FHA currently requires that approved condominium developments have a minimum of 50 percent of the units occupied by owners. While having too few owner-occupants can detract from the viability of a project, requiring too many can harm its marketability. Through this proposed rule, FHA is specifically inviting comment on this issue and is proposing to establish an allowable range between 25 and 75 percent. The range allows FHA to choose a specific percentage that is responsive to future market changes."

Another big change that may come is in the ability for a buyer to get an FHA loan on condos.  As the way things stand today, an entire building must be "FHA approved" in order for a buyer to use an FHA loan.  This process requires the building pay fees and pass an inspection before approval.  Most buildings have decided to not go through this process since the market has been on the rise and units are able to sell to buyers not using FHA loans.  But this leaves FHA buyers with very little to choose from. We may be seeing "spot" approvals for condos soon which means the whole building may not need to have the FHA approval in order for a buyer to purchase a unit.  The US Department of Urban Housing and Development posted this:

Under certain circumstances, FHA is proposing to insure mortgages for selected condominium units in developments that are not currently approved. An individual unit may be eligible for Single-Unit Approval if:

• The Condominium Project is not on the list of FHA-approved Condominium Projects, or the unit is not in a project that has been subject to adverse determination for significant issues that affect the viability of the project;
• The individual unit is located in a completed project that has not yet been approved;
• The unit is not a manufactured housing condominium project or located in a two-to-four-unit project;
• The condominium unit is not a manufactured home and is in a project that has at least five dwelling units; and
• The unit is in a project in which the amount of Single-Unit Approvals is limited to a maximum of 20 percent of the total number of units in the project, which may be reduced to as low as zero percent via subsequent notice.
• 
  

To read more about changes coming to loans on condos, read here http://portal.hud.gov/hudportal/HUD?src=/press/press_releases_media_advisories/2016/HUDNo_16-146

                                                                               

What Is Happening In The Market Today? - September 2016

We've been on a rising trend with home prices for quite some time now.  I remember in January of 2012 I wrote an offer for a home that was just over $2 million.  My buyers had all cash and they offered over asking price for the home.  There were several offers on that home and our offer was not the highest. In fact, the other offer that was higher than ours was also all cash.  That was my first sense that the market was making a turn.  From then on, it's pretty much been on the rise and we've been in a seller's market.  I'm now starting to see another change.  Sure, the season is slowing down as it naturally does around labor day and after the kids get back in school but I've seen this new wave in the market for a couple months now.  And here is what I'm seeing: Homes that are priced right at the price they will most likely sell for may get an offer or two or may sit for a few weeks.  Homes that are priced barely over where they would most likely sell are getting offers but the offers are lower than the asking price or the home sits for quite some time and either lowers the price eventually or the owners take it off the market.  This is a big change in where we've been for the past 4 years in real estate.  Up until now, most buyers knew that making an offer under the asking price would just leave them out on the curb, so-to-speak.  And sellers had a big upper hand for so long, that they could sell their homes and get the buyers to agree to many interesting terms that otherwise would seem over-the-top.  But there is a good chance that we may be getting into a market where buyers and sellers are on a more level playing field.  What does this mean for you? 

First, if you are buying a home, you still need to come in with a strong offer.  That doesn't mean offering up your first born either.  It just means that your offer needs to be attractive and fair.  You're most likely not going to be met with crazy expectations from the sellers either because sellers are learning that buyers are getting picky and walking away when sellers behave boastfully.  

Sellers...you need some great guidance as to what to do to make your home look appealing to buyers. Before now, sellers would look past a messy kitchen or shotty gardening job. That isn't the case right now.  They expect to see a clean home unless you are selling your home as a fixer.  You will also need to price it very well.  For the past couple of years, I've advised sellers to price the home just under where it should sell for.  I still say the same today.  If you price and advertise your home well, then you should hopefully get a few offers.  This will still give you the chance to pick from the most qualified buyer.  But if you are pricing your home too high, then you may see it sitting around for a while and possibly still get negotiated down quite a bit after it sits.  

But both buyers and sellers should really be working with an agent that is in tune with where the market is today so they know how to give the best advice possible.  And the market is different in the Westside than it is in the Valley so keep that in mind as well.  And if you need help finding or selling your home, call me.  I'm always happy to help.  

                                                                           

If Home Prices Fell, What Would That Mean To You?

What Would You Do If Prices Fell?
 Talking about real estate is always a hot topic. And everyone seems to have an opinion on where things will go.  I too have an opinion but fact is...these are all just opinions.  If anyone had the crystal ball, they would be rich. But let's talk about reality and "what-if".  I promise, you will find this VERY interesting. 

 

• If prices fell at the end of this year by just a bit, say a home that is worth $500,000 fell to $475,000, then what does that mean to you?
•  
• If you own your home, then it means you just lost $25,000 worth of equity to buy that next home.
•  
• It may mean that you will have to wait to move.  If that is the case, are you okay staying where you are?
•  
• I know what you are thinking though...if prices fell then my next home's price would be relevant, right? (We will take a look at that below)
•  
• If you own an income property, then you just lost money.
•  
• If you don't own, but want to buy you may think this is great for you, right? (We will take a look at that below)

 

But there are two main factors people consider when buying a home.  One- how much will the monthly payment be? Two- how much down payment will I need?

Follow me here:  If that $500,000 house fell to $475,000 you would go from $100k down payment to $95k.  That's only $5,000.  And chances are you just lost roughly $25k in equity.

And if prices fell but interest rates went up only 1%...well, let's take a look at what that means. 

This first screen shot shows interest rates at 3.5% for a $500,000 home. 




This second screen shot shows interest rates at 4.5% for a $475,000 home. 


So, in my example of everything you've seen, if a $500,000 home fell to $475,000 and interest rates went up only 1% then you would be paying more per month for your mortgage and as for your down payment, you would only save $5,0000.

Let's talk more about real estate and the what-if's.  If you are wanting to buy or sell a home, then my job is to help you accomplish that.  And you need to be informed of all the possibilities that could affect you and your decisions.  So call me and I'll be happy to go over this with you

Tips And Tricks For Your Home

Over the years selling real estate I've picked up a few simple tips and tricks that can really make a big difference and in some cases, save a lot of money.  Here are some of my favorites.  

Have a scratch on your wood floors?  Try taking a little bit of olive oil and vinegar and rubbing it in the scratch.  The magic potion is 1/4 cup vinegar and 3/4 cup olive oil. 

How about marks on your walls?  From hand prints, to crayon and scuff marks, try the Mr. Clean Magic eraser. One of my personal favorite products. 

A tear in the window screen?  Maybe you don't need to get a whole new screen. After all, that can be expensive.  Try buying a screen patch. You can find them in most hardware stores. And if your tear is too large to fix or it's just time for a new screen, see if you have a local Mobile Screen Maker. I have found the prices and convenience of the mobile screen makers to be much better than that of a hardware store when it comes to windows and door sizes that aren't the most common ones.  

Troubles Hanging that picture frame straight? Take a piece of tape such as painters tape and tape it across the back of the picture frame covering the area used to hold onto the nails.  Now take a pen and poke a hole where the nails on either side would hang.  Take that piece of tape off the back of the picture frame and put it on the wall where you want to hang it.  Viola! Instant marker for where to put your nails. 

Tired Looking Brass Hardware Not your Thing?  Take apart your door handles and separate them into pieces on a large piece of cardboard. You'll need the handle, the flat plate/ring that is on the main part of the handle attached to the door and the striker plates.  You can buy spray paints that mimic the look of most metals from rubbed brass, satin nickel and antique iron.  Figure out the best way to position your hardware and spray it down.  You will be amazed how you can look as if you have all new hardware just from spray paint.  (be sure to google how to remove your hardware if you don't already know how. It's not always as easy as it looks)

Need to Keep Your Bathroom Drains Running Smooth?  Pull up the stoppers on the drain and run hot water in the tub or sink.  Pour bleach into the water and then let the water drain slowly. Doing this once a month is a great way to prevent clogs.

                                                                         

When you are ready to start thinking about buying or selling, call me. I'm always here to help

All Cash Buyers Using An LLC

The Federal Government starting doing some looking around and found that there is a possibility that people have been using LLC's to purchase property and launder money from the transaction.  So as of recently, a couple of major cities in the US have made it so that when an LLC wants to purchase a property using all cash, the individual behind the LLC must identify themselves and show proof of their identity by means of a passport, driver's license and so forth.  Recently here in Los Angeles, it was reported that there was an LLC that purchased a large property using cash and that the cash that was used, may have been "stolen" or "laundered" (I'm not too clear on the specifics of what happened) But the point is that the Federal Government is now cracking down and will require anyone using an LLC to purchase a property with all cash over the amount of $2 million to show proof of identity to the title company.  So, if you fall into this category, just take note that this is how things are going to be done from here on out.  And if you have any other questions, feel free to call me anytime.
                                                                             

Housing Opportunity Through Modernization Act of 2016

Well, that is a mouth full..."The Housing Opportunity Through Modernization Act of 2016" But what does this mean?  There are a lot of new things about this Act that have to do with rental units, public housing and assistance programs.  And these things are important and good but there is another thing in this that is eye catching.  For many many years, if you wanted to purchase a condo using an FHA loan, the entire building had to go through an application process that involved time, money and meeting certain requirements.  When the economy recovered, most buildings felt they could sell to people who weren't using FHA loans and subsequently they decided to not have their buildings certified to be "FHA approved" since it was a hassle with the time and money to do so.  But that left people who were using FHA loans very limited choices on what they could buy.  If a house was not an option to purchase, and condo buildings weren't allowing people with FHA loans, then they were not able to make a purchase.  But this new Act could possibly loosen those tight strings and red tape and have it be that the entire building doesn't need to go through an application to have someone buy a unit using an FHA loan. But instead, the loan would be solely based on the unit the person is interested in purchasing.  This is quite a big deal and would allow people who need to use an FHA loan to purchase many more options.  Call your loan officer for more information if you would like to use an FHA loan on a condo.  Also, you can read more about it here https://www.congress.gov/bill/114th-congress/house-bill/3700

And when you are ready to buy or sell, please call me.  I'm always here to help