Rancho Cucamonga Real Estate

Rancho Cucamonga Real Estate, Community News, & Homes, Information

DIY : Home Improvements

 

 

Cheap Fun Home Improvements 

DIY hanging shelves instead of entertainment center // Love this idea. I bet it's cheaper than buying a big entertainment center, too.

Can you Afford to buy a home?

Buying a home is exciting, and it’s often the biggest financial transaction many people will ever make in their entire lives. That’s why when it’s time to consider purchasing your own home, the best first step is to take some of the emotion out of the equation. And speaking of equations, when it comes to figuring things out, the best place to start is with the numbers.

How much money do I need to purchase a home?

It depends on the cost of the home, the type of loan you get and the amount of your down payment. From the moment you write an offer on a house and it is accepted by the seller, you will need something called earnest money. This is the first check a buyer will need to write to accompany the offer to buy a home. Then there’s the cash needed to pay for a home inspection as well as upfront fees for credit reports and an appraisal.

Next comes the down payment, which is the amount of cash required by the lending institution securing your loan. Based on your credit score, debt-to-income ratio and available cash, lenders will advise which loan products, if any, are available and whether a down payment will be necessary. A down payment is separate from earnest money, and depending on the lender, it can be money gifted from parents or other sources.

In some instances, if you qualify as a first-time home buyer, you can receive down payment assistance and closing cost monies from the county you choose to live in. You can also qualify for below market value fixed interest rate loans.

The next consideration when buying is closing costs. These fees are not part of the financed amount of a purchase and can add 3-5 percent on top of the sale price of the home. While there are Veterans Affairs loans and some conventional loan products that offer “100 percent financing,” closing costs are still additional costs that can’t be completely wrapped up in the loan. (Note: Some fees, such as the VA funding fee, may be wrapped up in the loan.)

In some instances, closing costs can be part of the home purchase negotiations. Depending on market conditions, some sellers may consider paying for a buyer’s closing costs out of their proceeds. In fact, buyers can discuss with their real estate agents or whoever is representing them in the transaction whether to ask the sellers to cover the cost of a home warranty, HOA fees or other expenditures.

Are there any reasons why I should NOT buy a home?

Yes, there are many reasons why you should not buy a home:

  • You can’t afford it.
  • It makes more financial sense to rent.
  • You can only afford it with a risky type of loan (e.g., adjustable-rate, negative-amortization loan).
  • You plan on living in the house for fewer than 5 years.
  • The market is rapidly declining.
  • You have too much debt.
Get started

One of the best places to start analyzing whether you can afford to buy a house is with a detailed expense breakdown. Go over your budget by looking at how much you make and spend each month. This will serve as a reality check about what are fixed expenditures and where there’s wiggle room in your budget to accommodate the expenses associated with home ownership.

Debt-to-income ratio

Lenders use this ratio to see what kind of mortgage payment you can qualify for. It is good to note that what you qualify for may NOT BE the mortgage payment you are comfortable making. Many buyers have grown wisely cautious about making sure they are not locked into payments that cut too close to their bottom line.

For example, if you can comfortably afford your existing $1,600 rent payment (or existing mortgage if you are trading up), chances are you’ll qualify for a mortgage in the same range, or even higher. Lenders will determine how much loan you can afford by using debt-to-income ratios — basically what’s left in your budget after your monthly bills are paid. These include credit card payments, car payments, child support, etc.

  • Housing ratio (or “front-end ratio”): Lenders want your total mortgage debt (principal, interest, taxes and insurance) and condo fees, if applicable, to be no more than 30 percent of your gross monthly income; 28 percent is standard.
  • Overall debt ratio (or “back-end ratio”): These are revolving monthly payments, such as credit cards, car lease or loan payments, student loans, child support and alimony. (They do not include those lattes, but you might want to plug in your lifestyle expenses for your own sake.) The ratio should not be more than 36 percent.

Debt-to-income ratio standards differ from lender to lender and vary based on the loan program, but most lenders will give more weight to your credit history when determining your particular situation. Here is typical ratio for a first-time buyer:

Monthly gross household income $5,700
Mortgage debt ratio: 28 percent $1,596
Expenses and overall debt: 36 percent $2,052

The mortgage debt of $1,596 is right in line with the current monthly rent payment in the example above. As long as the monthly debt obligations and household expenses are no higher than $2,000-2,300, this borrower should have no problem qualifying.

If your credit is stellar, you will be rewarded. Lenders may stretch these ratios to 38/45, allowing you to purchase more home and take advantage of more lending programs. And if you are a first-time home buyer applying for an FHA or VA loan, you may also be able to qualify with a higher back-end ratio — up to 41 percent of your monthly gross income — and get approved for these federally-insured loans.

How It Works

So, back to the question: How much home can I afford?

Keeping in mind the variables on debt-to-income ratios and the many lending programs available, here are sample breakdowns for a mid-range home and a lower price-range home, both purchased with the same loan terms and interest rate.

You can research mortgage interest rates and property tax rates (usually by county) on the Web to find averages for your area, and make the table more accurate for your situation.

Monthly gross household income (pre-tax) $7,000
Mortgage debt ratio: 28 percent $1,960
Home price $350,000
20 percent down payment $70,000
Mortgage $280,000
Interest rate on 30-year mortgage 3.25%
Mortgage payment (principal and interest) $1,219
   
Monthly gross household income (pre-tax) $3,600
Mortgage debt ratio: 28 percent $1,008
Home price $150,000
10 percent down payment $15,000
Mortgage $135,000
Interest rate on 30-year mortgage 3.25%
Mortgage payment (principal and interest) $588
And the other costs

In addition to the monthly mortgage payment, remember to factor in the added costs of home purchase and ownership. If you don’t put 20 percent down, you will need to add private mortgage insurance, also known as PMI, to your monthly payment.

You’ll also need to tack on homeowners’ taxes, insurance and condo/homeowner’s association fees (if applicable).

Keep some money in reserves

Many buyers invest every cent they have into their new purchase, but it’s a good idea to keep some emergency cash, or “leaky faucet money,” aside in the event of emergency repairs or a job loss. With home ownership, it’s best to expect the unexpected.

Happy New Year Rancho Cucamonga !

January

Keeping It Real Estate – October Issue

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Rancho Cucamonga Halloween Events

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Victoria Gardens Is All Treats, No Tricks, for Its Spook-Tacular Halloween Bash!

Saturday, Oct 27, 2012 10:00a to 12:00p

On Saturday 10/27, join the Victoria Gardens Kidz Club for the ‘Spooky Town Square Bash’ from 10:00 am-12:00 pm in Chaffey Town Square. This free event will celebrate the season with activities for everyone, including a pumpkin patch, a maze & other Halloween-themed games. The first 300 kids (ages 2-10) will receive a free mini-pumpkin to decorate at the pumpkin decorating station. The bash will also include a balloon artist, Halloween music, prizes, & a face painter to give spooky makeovers.

Hope Halloween

Friday, Oct 26, 2012 5:00p to 9:00p
Hope IncRancho Cucamonga, CA

Hope Inc in Rancho Cucamonga, Ca is having their annual Halloween Event on October 26th from 5 pm – 9 pm. This event provides a safe environment where children can celebrate. This event is free. Come out and enjoy:

-Free Food
-Trick or Treating
-3 Bounce & Obstacle Houses
-Dunk Tank
-Carpet Bowling
-Awesome Raffle w/Many Prozes
-Music
-Themed Rooms
This will be a night to remember. Address for event is 10777 Civic Center Dr. Rancho Cucamonga, Ca 91730. Friday October 26th 5 pm – 9 pm.

Rancho Cucamonga Are you Ready for 2012 Big Bear’s Octoberfest?

Welcome to the 42nd Annual Big Bear Lake Oktoberfest!

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Enjoy one of the country’s most top rated Oktoberfest’s. Nestled high in the San Bernardino mountains, we pride ourselves in throwing one of the best German celebrations this side of Munich.

You’ve arrived . . . now what?

Come on in, grab yourself a seat and get comfortable for a full day of fun.

Big Bear Lake Convention Center
42900 Big Bear Blvd.
Big Bear Lake, CA 92315

The Convention Center is located on the corner of Division Drive and Big Bear Blvd.

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Dance, Sing, Eat and Be Merry.

You can’t help but participate in the fun at Oktoberfest.
Put on your dancing shoes, because you’ll definitely want to do the Chicken Dance or Circle Dance. Grab one of our Gaudi’s (Hostesses/Hosts) and learn to polka.

Enter one of our free contests. Saw a log, hold stein, or slam an O’Doul’s

After a few rounds of polkas, Macarana’s, Chicken dances, etc., get outside and take a big breath of fresh mountain air. Take a stroll down the Budenstrasse (Avenue of the Booths). The outside vendor and game area features everything from antique slot machines for purchase, to handmade jewelry and candies. Have your palm read or simply enjoy an Italian Ice.

Little Oktoberfest fans will enjoy the Kinder Garten complete with bounce houses, petting zoo, pony rides, face painting, airbrush tattoos and carnival games.

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Getting Hungry

We serve up a German feast fit for a king. All the favorites from Brats, to Sauerbraten, to pretzels, to pickled pig feets.

And, if you’re looking for something more than German food, we offer that too. Cafe Americana serves grilled 1/2 pd. burgers, monster nachos, chicken tacos, chicken strips, chili, fries, onion rings and a variety of other festival-type fare!

TICKETS,TICKETS, WHO HAS THE TICKETS?

All German food and alcoholic beverages are purchased with tickets. There are four convenient ticket booth locations within the building to purchase tickets. Ticket types include: Dinner, Sandwich, Beer, Wine and Burgermeister Bucks. Burgermeister Bucks can be used for both food and alcohol and can be purchased individually or in books of $60.00. Save time and enjoy Oktoberfest as you walk through the doors, by pre-purchasing Burgermeister Books or Ten-pack Beer booklets on line.

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Getting Thirsty

The Big Bear Lake Oktoberfest proudly pours both German and American bier & wine, as well as a variety of soft drinks, water, coffee and sports drinks.

There are two main inside bars and two outside bier gardens – the Warsteiner Bier Garten and the Sports Garten. Looking for the best deal on beer?
Nothing better than having a great time and saving a little too! Buy a stein. The beer cup sizes are 14 oz. and 32 oz. Our steins sizes start at 16.9 oz. and increase to
33.1 oz. You do the math. We also offer mini kegs, which are 5 liter cans. Mini kegs are $48.00 and pour 11+ 14 oz. cups. And finally, we offer Beer Booklets which consist of 10 beer tickets for $58.00 (a $2.00 savings).

Treasure a Memory

Be sure to stop by the Oktoberfest Shoppe and pick-up an Oktoberfest souvenir. We offer everything from Sweatshirts, to T-shirts, to hair wreaths, to magnets, to steins and much more.

Auf Wiedersehen

After a full day of Oktoberfest fun, leave the driving to us. Catch a ride on the O’Doul’s complimentary shuttle. The shuttles begin running at 6:00 p.m. on Saturday evenings and will take you door-to-door anywhere in the Big Bear Valley. The shuttles continue to operate until the last Oktoberfest fan is out of the building! Please note: The shuttle will NOT take you to any other establishment that sells alcoholic beverages.

Mom and I took new FUN pictures what do you think ?? Your Rancho Cucamonga Realtor

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Freddie Mac / Fannie Mae – New Mandated Law – November 1, 2012

 

Fannie Mae and Freddie Mac are adopting new guidelines to streamline the process for short sales, which most real estate observers expect will outpace foreclosures in the coming year.

The guidelines, required by the Federal Housing Finance Agency and effective June 15, would require servicers of mortgages backed by Freddie and Fannie to review and respond to requests for short sales within 30 calendar days of receipt of a buyer’s offer.

A short sale is a transaction in which a lender agrees to accept less than the amount owed on the mortgage. It is a “strategic default,” designed to get a borrower out of financial trouble without having to go through the drawn-out legal tangle of the foreclosure process.

A short sale does affect the seller’s credit score, reducing it as much as a foreclosure would, according to Fair Isaac Corp., which developed the system.

On average, according to recent data from foreclosure search engine RealtyTrac, short sales are taking 306 days from start to finish, compared with 113 days in 2006 as the housing market started to unravel.

Area real estate agents who handle such transactions have acknowledged that they do take a long time to complete, and that delays often result in loss of the sale.

But lenders are becoming more accommodating, though they have issues with short sales because they have been abused by unscrupulous investors and others, perhaps to the tune of $375 million in annual losses nationwide.

In January, there were more than 35,000 short sales nationwide, on pace for more than 105,000 pre-foreclosure sales for the first quarter. That would be the highest quarterly total since the first three months of 2009.

This is not the first time the government has acted to accelerate the short-sale process. In late 2009, the Treasury Department proposed financial incentives and simplified the procedures for completing them. That included a $1,000 payment to servicers and a maximum of $1,000 to go to investors who signed off on payments to subordinate lien holders, the Treasury said. Borrowers were to receive $1,500 in relocation expenses.

The rules, which took effect in April 2010, were supposed to reduce the short-sale process to 10 days, but didn’t.

The pending Fannie Mae/Freddie Mac guidelines will mandate weekly status updates to the borrower if the short sale remains under review after 30 calendar days.

Servicers also will be required to make and then inform borrowers of final decisions within 60 calendar days of receipt of an offer.

By the end of the year, Fannie and Freddie will announce other “enhancements” to the short-sale process, including borrower-eligibility evaluation, simplified documents, and payments to subordinate lien holders.

Housing Finance Agency acting director Edward J. DeMarco said the changes were being considered “additional tools to prevent foreclosure, keep homes occupied, and help maintain stable communities.”

Source: philly.com

#HappyClient #JobWellDone

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Congratulations to my happy happy client! Finished a successful short sale for her. Taking the debt off her shoulders and giving her 5,000 relocation assistance! What a pleasure is was to have helped her. She truly is an amazing person I know she will conquer her dreams! Congratulations Monica! #relocation #bankofamerica #happyclient #helped #5,000

 

Call Us to find out if you qualify for $5,000 –  $30,000 in relocation assistance

 

Christy & Melissa

909.222.0124

909.562.5757

 

Neighborhood Meet and Greet

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Once we help our clients get into the home of their dreams Mom and I throw a fab party for them. This allows them to meet and mingle with their neighbors. It’s a great way to welcome them into the neighborhood and show off their new home. This particular party was great because our clients Raymond and Nora moved into a very friendly community. We enjoyed working with Ray and Nora and look forward to a long lasting friendship for years and years to come.

P.S Neighbor Steve – We better be invited to the Christmas party :)

 

Christy and Melissa

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