F.A.Q.s

Misc

If you do not wish to purchase a home until next year or "some time in the future" when you can qualify for "a better loan," the market may have changed in your price range due to the Stimulus Package Assistance to Sellers - precluding them from losing their homes.

Keep in mind: When you purchase a home, you become eligible to file a "Long Form" (IRS Form 1040) - thus increasing your tax write-offs considerably - allowing you to receive, as a refund, a much larger portion of your already paid-in (withholding) taxes. If your income is less than $75K/year, as a first time buyer, you are qualified to receive the $8K Stimulus Package Credit.

No one knows what the interest rates will be next year.

Hesitation may result in the payment being much higher than what you will pay today - no matter what type of loan you qualify for in today's market..

NOW is the time to BUY.

Rents will probably continue to go up. You have little control over the rent you pay.

A property in pristine condition demands a higher price.

You can expect more offers on a home in move-in condition.

A minimum amount of labor and money will still increase the value of many homes in need of cosmetic improvement.

VA is historically conservative in Southern California. Buyers as well as the property must meet their precise guidelines. VA does not insure properties in need of repairs.

FHA has accommodated the purchase of homes by reducing their property requirements as well as the condition of the property they insure.

FHA will only insure homes which are habitable; health and safety are most important, even if they are in need of some repairs.

Pools historically are a problem in a foreclosed home. It is understood there is no way to judge its condition thoroughly unless the pool is filled and the pump is running. A pool inspection is recommended. Lender/owners are forced by city governments to bear the cost of upkeep on a pool - as well as further blight brought on by weeds, brown grass and fallen tree limbs.

A Real Estate Purchase Agreement is a legal document. Cancellation of such an Agreement is costly. Return of deposits generally is acceptable only when the buyers cannot qualify for the loan set forth in said Agreement. Hence, it is mandatory to prove to owners and their agents that you as a buyer are qualified to purchase through the documentation submitted to your lender.

Monies deposited in escrow can/will be "eaten" up by fees, as well as seller's damages, when the escrow term has progressed through the "Signing of Loan Documents" stage.

Q. Does everyone get buyer's remorse?
A. Yes. When you sign your name to any contract, it is stressful and fear begins to settle in. Reason usually takes hold within a few days and joyful expectation replaces the doubts.
i.e. Remember when you bought your last car, boat, trailer, motorhome, your wedding and honeymoon?