Before work thoughts

Survey: What would you tune into, given all three aired on three different channels at exactly 9:05pm on the news?

A.) A police officer walked an old lady across the street.

B.) Little Timmy hit a home run during practice

C.) Many first time buyers are finally getting places to call home

To be honest, some wouldn’t even tune in unless there was something gruesome about them or if nothing else was on. Well the media knows that, and so they cater to peoples desires to hear bad news. There is a lot of good news out there, it’s just a little harder to find. Please get informed! Just like the old milk commercial, it ‘does a body [and mind] good!”

FHA and GSE loan limits

This is a very recent bit of info on the stimulus package loan limits that we received from the National Association of Realtors.

http://www.realtor.org/GAPublic.nsf/files/new_loan_limits.pdf/$FILE/new_loan_limits.pdf

I could send it to you since it requires my login. If you want, I can email it since its a PDF. It gives the new loan limit for every county in every state as well as Puerto Rico. The ** means that they haven't determined how high it will go, but that the limit will be at least between $575,000 -$729,000.

This is very exciting, especially in high cost counties such as all coastal California counties (a bit of alliteration for you) and others scattered throughout. Mid-March should be the tipping point that will band-aid the housing market difficulties. It is far from a cure, but it will contribute to many potential buyers who either can't qualify or who can't come up with a serious down payment.

The Smartest (and most lucrative) Way to Rent for singles

Before delving into different facets of renting, I want to preface with a basic understanding: When the market is hot, renting is not. When the market corrects, rents tend to increase quite a bit since the demand to rent is up for people want to weather the storm. In Orange County, annual rents increase an average of 5.5%. LA increases at over 6% annually, while San Diego is around 5% as a whole. The Inland Empire is different right now it that there are many foreclosures out there, meaning many people are looking to rent.

Now back to the point. Renting serves a few purposes: You just can’t afford to buy with bad credit or lower income, you know you won’t be staying where you are living for more than two years, just temporary, or you lack commitment. The commitment issue sounds silly, but its true and you know who you are (or at least your past relationships do.) Now all humor aside, these are very good reasons to rent.

If none of those reasons apply to your situation, then considering getting in the market should be your goal. If you love your roommates and don’t want to leave them, don’t. Also, if you don’t currently have a roommate and wouldn’t mind having one, go for it.

The Smartest way to rent if you know you’ll be where you are for a while is to buy and rent out!! Not only will it reduce your mortgage payment, but will allow you to claim it for taxes, allow you to make money over time, and call the place yours. Just imagine…

Rent vs. Buy video, quite accurate

http://video.msn.com/video.aspx?mkt=en-US&brand=&vid=02c55d45-ec20-4a79-ae97-0f946829a004

Interest rates still creeping up, slowing applications

According to Inman News, mortgage application volume dwindled last week as interest rates increased, said the Mortgage Bankers Association.

The group's market gauge of home loan applications fell 2.1 percent last week on a seasonally adjusted basis from the final week of January. Leading the decline was a 3 percent drop in the index that tracks refinance applications, followed by a 0.3 percent decrease in the purchase-loan index.

Borrowing costs across all loan types rose last week, and consistently since it dropped to 4.80 for that Thursday after the largest rate cut. The average interest rate for 30-year fixed-rate mortgages increased from 5.61 percent to 5.72 percent; the average rate on 15-year fixed loans climbed from 5.09 percent to 5.18 percent; and the average rate on one-year adjustable-rate mortgages (ARMs) gained from 5.62 percent to 5.72 percent.

Points, or loan-processing fees expressed as a percent of the total loan amount, averaged 1.15 on the 30-year loans, 1.08 on the 15-year, and 0.9 on one-year ARMs. These points include the origination fee and are based on loan-to-value ratios of 80 percent.

According to the Mortgage Bankers Association, the refinance share of mortgage activity decreased to 67.4 percent from 69.2 percent the previous week, while the ARM share rose from 8.8 percent to 9.9 percent. (The Mortgage Bankers Association survey covers approximately 50 percent of all U.S. retail residential mortgage originations, and has been conducted weekly since 1990. Respondents include mortgage bankers, commercial banks and thrifts.)

Quick Fixes for a Great-Looking Kitchen

Cabinet Doors Damaged or dirty cabinet doors are a big turn-off for buyers. But that's easy to fix. Most cabinetry can be re-painted after cleaning it and applying a coat of primer. Just check that the materials can take paint or whether you need to give any special preparation to the doors first. Alternatively, you can just replace the doors. There are companies that provide doors to fit existing kitchen cabinets.

Hardware Another way to fix up cabinets is to replace the hardware, perhaps changing out-of-date fixtures for sleek, modern ones. This is a very cheap and easy way to update your kitchen.

Sinks and faucets Try trading your faucets for more modern designs and replacing a damaged or very dirty sink.

Appliances People love modern stainless steel appliances. It could be a good investment to upgrade your appliances to the most modern designs to give your kitchen the 'wow' factor.

Backsplash An easy way to update your kitchen is to replace the backsplash. Subway, mosaic tiles or a sheet of stainless steel are very popular right now, and this quick change can really lift the feel of the room.

Flooring Drab, tired linoleum floors will turn off buyers. Try updating with tough laminate flooring or some tiles that tie into the rest of the kitchen. Paint Change the décor easily by repainting in fresh, modern, neutral colors. A coat of paint can be a very cheap way to refresh the look of your kitchen. Clutter Just by simply removing the clutter that accumulates on your countertops, you can freshen up your kitchen. Throw out things you don't need; put away others you use only occasionally.