BENEFITS OF OWNING REAL ESTATE A 1964 article from the Van Nuys Green Sheet today known as the Los Angeles Daily News. Some of the numbers need to be changed to protect the public, but the thought is still current. The depreciating benefits of owning real estate are not completely understood by many prospective investors. […]
Archive | Finances
Non-Recourse Loans; A Special CA Regulation
When a normal person buys a normal home in CA and gets a normal home loan from a normal lender, California Law states that if there is a default in payments, the normal lender can “only look to the home”. They can not get a judgment against normal owner’s other assets even if they do […]
OC People, Your Assets Increased In Last Year
Our trusted Orange County Register Columnist Jonathan Lanser headlined an April article, “OC hits record price of $820,000”. However, I read the smaller print and it said that single-family homes hit $910,000 after increasing 10% in one year. That is an increase of about $82,273 for the median home. NB, LB, Villa Park, etc. your […]
Question for Working MLO’s
Refinancing In current advertising MLO’s are touting unbelievable low interest rates for homeowners. There are some as low as 2.19% on 30 year loans and 1.975% on 15 year loans. Now those are low rates. My question: In all of the ads I very rarely ever see any information on rental home interest rates. Being […]
Cost Foolish
I wrote a post about someone who saved $10 when buying a R.E. Education course and is now getting no service or bad service costing him lots of time. When making decisions, I believe you must know the value of your time so you can evaluate real costs. For example, if you want to gross […]
Forbearance
Definition Homeowners should understand this term as it applies to home loans. Wikipedia states that it is, “The action of refraining from exercising a legal right, especially enforcing the payment of a debt”. The Bible has a definition that states it concerns patience, leniency, tolerance and showing mercy. Where is a resource for information on […]
Test Your Knowledge of Real Estate
Questions Can a person without a real estate license sign on a broker’s trust fund?According to DRE which is a more serious violation in a trust fund? Conversion or Commingling?Many people have paid off their California houses. What percentage do you think have mortgages on their homes now?A person leases a furnished apartment for one […]
Prop 60 and Then Prop 90
Inter-County Previously I discussed Prop 60 where a homeowner could sell a home and under certain conditions, keep their low tax assessment in the same county. This was passed in 1986. As always California taxpayers were not satisfied, they wanted to be able to sell and move to another county with their low assessment. In 1988 […]
Prop 60 and Why It Is Becoming More Important
Tax Base Transfer Proposition 60 pertains to a regulation passed in California in 1986. It pertains to someone over the age of 55 who sells a house that has a comparatively low tax assessment to the current fair market value. This is due to the restrictions placed on property tax increases by Prop 13. The homeowner […]
FINANCIAL ASSESSMENT FOR RM’S IS WORKING
Acquiring Date In its fifth year, FHA’s policy of requiring the financial assessment of the borrower’s ability to pay has cut tax and insurance defaults by over three quarters and serious defaults by over two-thirds. This article by New View Advisors quotes Ginnie Mae data, they state, “We grade Financial Assessment’s performance as a solid […]