posted Feb 10, 2012 6:49 PM by WOLF V. PARLAR
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updated Feb 12, 2012 3:10 PM
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Home ownership in Los Angeles is not just a dream. If a buyer is willing to study the resale market with a good real estate expert the values available will begin to surface. Los Angeles is a great place to live and it still has all of the cultural and recreational amenities that anyone could desire. Once the premier destination for those seeking sun and fun it gave way momentarily to some unrealistic substitutes, but LA has now returned to be an excellent choice for buyers of every income level. Unlike other cities, LA has more real estate price diversity to attract everyone who has a sincere desire to find just that right property.
Although Los Angeles has been hit by short sales and foreclosures the overall market is so big that these unfortunate cases have had little impact on the overall worth of the cultural and entertainment giant. Certainly some neighborhoods may have suffered more than others, but these are places where the golden opportunity now awaits the diligent buyer. The Obama administration has recently announced plans to keep people in their homes and this is wonderful for those who can benefit from it. There those homeowners who are too deep in debt, or just tired of fighting the battle. So what the Obama plan will accomplish for the potential buyer is to surface the truly distressed homeowner. These are the homes that may become very attractive purchases now.
Housing affordability in California has never been high as it is now. The median home price in California is levels of 10 years ago. Mortgage rates hit a historic low in 2011. The print media continuously reports that potential buyers are having trouble obtaining loans. There is nothing wrong with the calculations of affordability; what is wrong is the more difficult mortgage criteria and the reluctance or indifference of buyers to take advantage of realtors’ services who know how to finance a house.
The well –respected Zillow Real Estate Market Reports show that Los Angeles property was selling for an average of $383,000 in 2011 but the percentage drop in value over 2010 was 6.7 percent or the lowest of any metropolitan area in the country. The current Zillow Home Value Index for California stood at $295,000, which is higher than many other western states.
Although many lenders have tightened their lending standards the majority of homes financed in the December 2011 sales report were financed without a congenital mortgage. Now is not the time to back away from the market because of concerns over credit. There are many financing programs available for buyers and a good agent knows where to find these. If there was a time to take the credit plunge it is now.
Over the past two years Los Angeles has come to realize what the housing crisis has cost the city and the merchants. There is a strong desire on the part of local and national government to make housing more affordable and easier to mortgage.
HOMES FOR SALE - MLS
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posted Feb 5, 2012 1:57 PM by WOLF V. PARLAR
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updated Feb 12, 2012 3:12 PM
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The government has announced a new plan to help home owners who are under water so that they can refinance. It is known that currently there are 25% home owners nationwide that are underwater in their mortgage. With the current plan all home owners that qualify will be able to refinance to a newer mortgage interest rate so taking advantage of the historically low mortgage rates. Lower mortgage payments will help home owners save money, keep them in their home as well as helping the economy. All these foreclosures in a given neighborhood has not helped the Real Estate market. One foreclosure in a neighborhood can distress other home values on the same block or other homes within close proximity therefore taking the Real Estate market down even further. It is estimated that more than 1 million home owners could get cheaper mortgages as a result once the plan is fully implemented. Los Angeles, CA alone has 378,230 underwater homes. Las vegas happens to be the leading nation with a 66% negative equity. This new program is called HARP and currently many home owners who's loan backed by fannie mei is already able to take advantage of it however not every one. Soon we may be able to say "You can refinance now" Los Angeles by the numbers; * Foreclosures harm all homeowners: Overall, Los Angeles homeowners are estimated to lose $78.8 billion in home values as a direct result of the 200,000 foreclosures for 2008-2012. * Foreclosures erode the property tax base and impact services for all: Property tax revenue losses are estimated to be $481 million in the wake of the foreclosure crisis. * Foreclosures cost local governments: The typical foreclosure costs local governments more than $19,229 for increased costs of safety inspections, police and fire calls, and trash removal, and maintenance. In Los Angeles, these costs are estimated to be $1.2 billion. * Foreclosures undermine an economic recovery and cost jobs: Los Angeles has 79,029 homeowners underwater by $7.3 billion. If banks wrote down those mortgages, it could pump $780 million into local economy and spur 11,353
SHORT SALES (BUY & SELL)
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posted Dec 29, 2011 8:45 PM by WOLF V. PARLAR
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updated Feb 12, 2012 3:13 PM
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Rates, Prices, and Loans Rarely has housing affordability in California been as high as it is now. The statewide median home price in California is at 2001-2002 levels and mortgage rates hit their lowest level ever in 2011. Yet, the media reports that households are having trouble obtaining loans and the share of first-time buyers in the market is much lower than expected, given such low prices and rates. Which begs the question, is this measure of housing affordability accurate?
Homes Are Very Affordable Now C.A.R.’s Housing Affordability Index (HAI) has been around since the 1980s, and was intended to be a predictive measure of housing, showing households’ ability to purchase a home at the prevailing market prices, rates, and incomes. The HAI assumes a 20 percent down payment, the median price for a geographic area (e.g. $292,120 for California’s 3rd quarter of this year), and the corresponding monthly payment for principal, interest, taxes and insurance should account for no more than 30 percent of a household’s income.
The latest index reading was 52 for the 3rd quarter, meaning that 52 percent of California households have sufficiently high incomes to afford the median priced home. The HAI is up from all of 2011 when it hovered just above 50, just shy of the historic high of 55 hit in 2009. The current HAI translates into 52 percent of households are able to purchase the median priced home given the underlying assumptions of price, rates, and income. And in the nation, where and for all of 2011 it hovered just above 50, registering close to the historic high of 55 reached in 2009.
Provided You Can Get The Loan Although statistics show that affordability may be near record highs, it does not account for underwriting standards implemented by lenders and banks. Today, there are extremely tough standards being placed on mortgage applicants by lending institutions. According to research from the National Association of REALTORS®, credit scores for approved loans in the last few years have been about 40 points higher than normal.
This is hindering the ability for many households, especially first-time buyers, to take advantage of the great affordability of housing at this time. In similar regard, the HAI did not account for the extremely lax lending standards that were the norm for most of 2000s decade, which consequently led to record low affordability at a time when home sales were through the roof. The recent lending environment is overriding the predictive value of the HAI, making it a less dependable indicator as it once was. Although it may be less reflective of current market conditions, the HAI does give a historical perspective and shows how California real estate is relatively cheap investment right now. For those who can qualify, there is a rare opportunity to capitalize on the discounted price levels and historically low mortgage rates over the next few months.
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posted Dec 25, 2011 5:58 PM by WOLF V. PARLAR
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updated Feb 5, 2012 2:44 PM
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CITY OF LOS ANGELES HOUSING DEPARTMENT (LAHD)
2011 LOW INCOME PURCHASE ASSISTANCE (LIPA) PROGRAM The City of Los Angeles Housing Department (LAHD) offers purchase assistance financing to eligible first-time, low income homebuyers seeking to purchase a home in the City of Los Angeles. LAHD provides assistance in the form of a deferred loan for purchase assistance which includes down payment, closing costs and acquisition financing. LAHD LOAN LIMITS * Up to $60,000 for purchase assistance, down payment and closing costs (loan funds may be used to cover closing costs up to 5% of the purchase price). * Up to $5,000 for lead-based paint stabilization (if needed) for homes built before 1978. LAHD will perform a Lead Visual Assessment of all homes built before 1978 to determine if potential lead-based paint hazards exist. If it is determined by LAHD’s inspectors that the paint stabilization will cost more than $5,000, the project will be deemed not feasible by LAHD. PROGRAM REQUIREMENTS * Applicant must be a first-time homebuyer, defined as someone who has not had an ownership interest in any real property at any time during the last three (3) years. * Applicants must attend an 8-hour Homebuyer Education Class provided by one of LAHD’s Approved Homebuyer Education Providers (see Approved List). * Applicants must occupy the property as their primary residence. * Total household income of all adults 18 years of age or older who will be living in the home must be at or below the limits shown on the table below. * Applicants must be a U.S. Citizen, lawful permanent resident alien, or other qualified alien. * If eligible, Applicants who apply for the LIPA Program will also be required to apply for a Mortgage Credit Certificate (MCC). 2011 MAXIMUM INCOME LIMITS | Household Size | 1 person | 2 people | 3 people | 4 people | 5 people | 6 people | 7 people | 8 people | | Annual Household Income | $47,850 or less | $54,650 or less | $61,500 or less | $68,300 or less | $73,800 or less | $79,250 or less | $84,700 or less | $90,200 or less | (For larger household size limits, please contact LAHD) MAXIMUM VALUE / PURCHASE PRICE LIMIT: $408,500 LAHD LOAN TERMS * Deferred, requiring no monthly payments. * Shared Appreciation applies to the LAHD purchase assistance loan. * Three percent (3%) simple interest will be charged on the paint stabilization loan. * Loan is due on sale, title transfer, first mortgage repayment, or in 30 years. * Refinancing of first mortgage is allowed by LAHD under certain conditions. DOWN PAYMENT REQUIREMENT * A minimum of one percent (1%) of the property purchase price is required as down payment. The one percent (1%) must come from the Borrower’s own funds. Please be aware that the Borrower may be required to contribute more than 1% of their own funds towards the down payment to complete the purchase. ELIGIBLE PROPERTIES * Property must be located in the City of Los Angeles. * Approved short sales/pays, Foreclosed and REO Properties and Regular Sales. * One unit, single family residences including town homes and condos. * Property cannot be occupied by tenants. * All properties applying under the LIPA program will be inspected by LAHD. LAHD does not charge for the property inspection. All properties must pass the LAHD inspection to be feasible. Any items that are required to be corrected or repaired on the property, excluding up to $5,000 for paint stabilization, will need to be done either at the cost of the owner or the homebuyer and must be completed before the LAHD application is submitted to LAHD. HOW DOES THIS PROGRAM WORK? LAHD provides purchase assistance up to a maximum of $60,000. LAHD’s loan provides the difference between the purchase price plus closing costs (up to 5% of sales price) and the amount of the buyer's first mortgage loan, down payment and other funding sources. In addition to the Purchase Assistance Loan, LAHD will lend the Buyer funds for lead-based paint stabilization (if needed). Example: Purchase Price of Home: $300,000 Buyer's Closing Costs: $ 9,000 TOTAL FUNDS NEEDED: $309,000 Funds Available: First Mortgage Amount (for which buyer qualifies): $244,000 Homebuyer Down Payment (1% of purchase price) $ 3,000 LAHD Purchase Assistance Loan $ 60,000 Family Gift or other source $ 2,000 TOTAL FUNDS AVAILABLE: $309,000 Total LAHD loan in the above example is $60,000.
CONTACT WOLF. V PARLAR AT 310 409 3649 AND YOU WILL BE REFERRED TO AN APPROVED LENDER THAT CAN ASSIST YOU WITH FINDING OUT IF YOU QUALIFY FOR THIS PROGRAM. |
posted Dec 9, 2011 8:21 PM by WOLF V. PARLAR
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updated Dec 10, 2011 9:04 PM
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| Sales Report For The Month of December | | | Beginning Date: 11/01/2011 | Board Number: All | Ending Date: 12/01/2011 | Price Range: $0 - All | | | County: LA | City: LA | Area: All | | | Residential Detached Sales | | Other Statistics | | Price Class | Bedrooms | | | | 2 OR Less | 3 | 4 OR More | | Attached | Detached Active | Attached Active | | $0 - $99,999 | 16 | 1 | 1 | | 1 | 50 | 22 | | $100,000 - $149,999 | 35 | 13 | 4 | | 14 | 259 | 43 | | $150,000 - $199,999 | 23 | 41 | 12 | | 7 | 484 | 86 | | $200,000 - $249,999 | 15 | 42 | 14 | | 5 | 400 | 74 | | $250,000 - $299,999 | 7 | 16 | 8 | | 11 | 266 | 65 | | $300,000 - $324,999 | 6 | 5 | 0 | | 3 | 66 | 28 | | $325,000 - $349,999 | 1 | 2 | 2 | | 4 | 72 | 35 | | $350,000 - $374,999 | 4 | 1 | 1 | | 3 | 50 | 30 | | $375,000 - $399,999 | 2 | 5 | 0 | | 3 | 49 | 66 | | $400,000 - $424,999 | 1 | 3 | 1 | | 4 | 34 | 30 | | $425,000 - $449,999 | 1 | 1 | 1 | | 3 | 47 | 38 | | $450,000 - $474,999 | 0 | 2 | 1 | | 0 | 34 | 35 | | $475,000 - $499,999 | 1 | 0 | 3 | | 5 | 66 | 43 | | $500,000 - $549,999 | 0 | 4 | 1 | | 0 | 67 | 49 | | $550,000 - $599,999 | 1 | 1 | 0 | | 4 | 81 | 48 | | $600,000 - $649,999 | 0 | 1 | 1 | | 3 | 59 | 41 | | $650,000 - $699,999 | 2 | 4 | 0 | | 1 | 72 | 47 | | $700,000 - $749,999 | 1 | 0 | 0 | | 0 | 53 | 26 | | $750,000 - $799,999 | 2 | 0 | 2 | | 2 | 62 | 19 | | $800,000 - $999,999 | 1 | 4 | 1 | | 0 | 130 | 47 | | $1,000,000 - $1,999,999 | 0 | 8 | 8 | | 1 | 317 | 90 | | $2,000,000 and over | 0 | 0 | 6 | | 1 | 261 | 60 | | Totals | 119 | 154 | 67 | | 75 | 2979 | 1022 | | Average Price | 216.2 | 330.9 | 850.9 | | 383.8 | 1048.7 | 733.4 | | (In Thousands $) | | Median Price | 159 | 225 | 260 | | 299.2 | 329 | 459 | | (In Thousands $) | | | | | | Time on Market | UNITS | | 1-30 Days | 132 | | 31-60 Days | 83 | | 61-90 Days | 62 | | 91-120 Days | 52 | | 121-180 Days | 41 | | More than 180 Days | 43 | | Total Units Sold | 415 | | Average Market Time | 78.3 | | | | Types of Financing | UNITS | | AITD | 3 | | ASSM | 0 | | CONV | 64 | | CASH | 118 | | FHA | 140 | | CAL | 0 | | LANDC | 0 | | OTH | 13 | | OWN | 0 | | PRVT | 3 | | TRUST | 0 | | VA | 4 | | NO FINANCING REPORTED | 70 | | TOTAL | 345 | |
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posted Nov 16, 2011 2:03 PM by WOLF V. PARLAR
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updated Feb 12, 2012 3:14 PM
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For many people out there their dream is to own their own home. They want the freedom to be in control of their future. They are tired of having to rent and report to someone else if anything goes wrong, or needs repairing. It is about time to pay to pay your own mortgage rather than your landlord's. We all want a piece of the pie, and the ability to choose what we are going to do in our own home. The wait is finally over. You can have your dream home in a few simple steps. You are on your way to home ownership.
If you are worried that you can't purchase a home because of your credit, don't be afraid to try. There are hundreds of lenders out there who all work with various situations, and forms of credit. You are never going to know if you don't try to take the leap. The lending programs available are truly amazing and offer a lot of solutions that will work with almost any type of credit, or financial situation.
There are programs available to first time home buyers, veterans, teachers and much more. What more could you ask for? You can have the home you want and without having to put much down. The picture couldn't get any better if you think about it. There are also a lot of creative financing programs that can assist you with purchasing, refinancing or debt consolidation. Most of these are for people who have impaired credit and could not obtain the traditional financing. Yet, there are still more options available.
A government supported home loan could prove to be very beneficial to you. Some of the loan programs allow you the option to pay the interest portion only on your loan. This would be wonderful if you ever got into a financial pinch down the road. You would still be able to keep your home while making smaller monthly payments. It is like the best of both worlds. If you are looking into purchasing a HUD home there are great programs to help assist you with financing. They offer partial down payment assistance and the rest is secured through FHA insured financing.
As you can see there are plenty of options available to a first time home buyer. Talk to your local real estate agent today and you could be on the path to home ownership quicker than you think. The housing market is at an all time low with historic low mortage interest rates so now is the best time to purchase. Take advantage of the prices and get in while you can. The path to home ownership has never been brighter.
Click the link below if you would like to see homes for sale anywhere in Los Angeles County
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posted Nov 6, 2011 7:08 PM by WOLF V. PARLAR
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updated Nov 7, 2011 12:58 PM
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I am glad to know that something is being done to help Real estate foreclosure crisis in this country. President Obama has recently announced a new plan to help stop the foreclsoure crisis nationwide. This new bill is directed to help millions of homeowners who face the possibility of a foreclosure on their homes as well as making it easy for homeowners to be able to refinance when they owe more on their mortgages than their homes currently is worth. The housing industry has been wracked by the recession the country is in so I beleive this will do some good for folks out there that are having hardship with their mortage payments. Lower payments, lower interest rates, get to keep your own home and I bet you can't bet on a better alternative on making it right when it comes to an individual loosing his or her home. Check out the video of the president below>>>>
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posted Nov 2, 2011 9:31 PM by WOLF V. PARLAR
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updated Nov 6, 2011 10:40 PM
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The U.S. homeownership rate rose a notch in the third quarter, with 66.1 percent of households owning a home – up from 66.0 percent in the prior quarter. However, the trend has clearly been downward since the bubble situation of several years ago. Just maybe, however, we’re starting to venture into sustainable homeownership, since the current ownership rate matches up with 1998 levels. Back in 1998, there was no mention of a housing bubble or unsustainability in the media or in the academic literature, so the current homeownership figures may indeed indicate the right stabilizing level for the country. Other housing data have also pointed to stabilization (though not a genuine recovery) in recent months – such as home prices, home sales, and housing starts. 
If the homeownership rate stabilizes at the current 66 percent or so level then the natural increases in population (3 million a year) and households (about 1.1 million a year during normal times) in the U.S. will bring about 700,000 additional homeowners each year. Total home sales and business opportunities for REALTORS® would arise from these new set of homeowners. Not to mention the added turnover rate among the existing 75 million home owning families, which was exceptionally low in recent years, due in part both to the weak economy and to the many underwater homeowners who have been unable to move without a short-sale approval from the banks. ©2010 NATIONAL ASSOCIATION OF REALTORS®. All rights reserved. |
posted Nov 1, 2011 9:46 AM by WOLF V. PARLAR
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updated Dec 4, 2011 11:07 AM
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Though our economy is still down but the real estate continues to be a good investment as it always was. With new rules and regulations in place, source of funding still remains with the lenders. They are lending, but according to the new rules and this leaves great scope of profit for all those who are interested in California real estate.
Let’s have a close look at the benefits for first time home buyers in the present economy:
Low Prices – Now it is the “buyers market” all around in California and Los Angles with multitudes of commercial properties and houses available in the market for all those who are interested in buying the real estate in these states. The best thing for home buyers in So Cal is that the property prices are at all time low and this is great for first time buyers. However, if you are not firm on your preferences, you may be spoilt for choice as you have lots of offers! Why? Because many buyers think that they are making a wrong choice and then become indecisive.
So, instead of going into a “freeze mode”, it is much better to buy now as prices won’t remain low always and may climb up next year.
Much wider choice- California has emerged as the most desired place in the US to own a property. You have varied choices as far as buying a house is concerned. Cities such as Los Angeles, Beverly Hills and Santa Monica have captured the attention of one and all. Aside from this, you have cities that are located in Orange County such as Mission Viejo, Laguna, Newport Beach and Huntington Beach.
You can get variety of property such as waterfront houses, estates, trendy condos and recent foreclosures at attractive prices in California.
DO you need a Housing loan? - No Problem- There are still many types of loans out there for all those who are first time home buyers. You can speak to a Realtor or a mortgage broker as they can advice you on the direct lenders of loans.
Using the services of an agent is quite beneficial and practical when you have specific preferences for your house. They can send you property listings as per your interests. They will also arrange time and date to enable you to view the home.
Each Realtor has huge list of resources and this saves you tons of time as you can spend your time in reviewing houses that match your criteria. Agents are more familiar with the process for negotiating price and this can help you in avoiding the stresses associated with the usual property search.
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posted Oct 21, 2011 8:55 PM by WOLF V. PARLAR
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updated Nov 6, 2011 10:43 PM
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Buying a home is one of the most fulfilling and rewarding experiences for people. When getting a home, people are able to enjoy many benefits such as property ownership, flexibility, freedom, and tax savings. The process of buying a home is quite long compared to some other transactions but once it is done, multiple parties walk away with a mutual benefit. Purchasing a home is a big ticket purchase and so buyers must be careful and fully evaluate their options before making a commitment. At times people may rush into this process due to wanting to get the home purchase closed and therefore people make mistakes when buying a home.
One of the first and most common mistakes that home buyers make is not knowing how much house they can realistically afford. In many cases first time homebuyers often focus on features and the appearance of the home rather then some more important aspects. The one in particular is the price of the home and how much they will need to pay in a mortgage to own the home. There are many scenarios where a homebuyer will buy a house and then realize that the mortgage is just too much of a strain on their budget. As a result the first mistake is buying a house that they can’t comfortably afford.
Believing that foreclosures are excellent deals is another mistake made by homebuyers. People who buy foreclosures often think that they are getting a bargain and have a can’t miss deal. However when buying a foreclosure, the home was previously owned and therefore it can have some problems such as damage to structures such as the roof and appliances that either don’t work or are not available in the unit. Buying foreclosures and thinking that they are a better deal than another home is a common mistake by homebuyers.
Another mistake made by homebuyers is not properly estimating the true cost of owning a home. When owning a home a homeowner needs to pay for not only the mortgage but also property taxes, insurance and maintenance. There will be times when things such as a damaged faucet or a leaky roof occur and they will need extra money to fix it. This can prove to be costly if the prospective homebuyer doesn’t keep these costs in mind. Therefore homebuyers often must need to evaluate the property’s condition in order to estimate any repairs that need to be made.
Failing to get a good buyer’s agent is another homebuyer mistake. Real estate transactions are complex and require many steps. Buyers need to be very savvy and make sure that they are getting the best possible deal including market value for the home and a mortgage with a reasonable interest rate. A good buyer’s agent will know of good lenders and be able to tell you what properties in the area are typically selling for and are worth. Not having a good and knowledgeable buyer’s agent is a costly mistake made by home buyers.
Other mistakes homebuyer’s make such as skipping the inspection, assuming the first offer will be accepted, not having contingency clauses in the purchase contract and going through the process too fast are among the typical errors made by people buying a home. When buyer’s skip the inspection they usually don’t bother to make sure that the property and its appliances are running properly. As a result there could be significant problems with these systems and therefore require costly repairs. Buyers often assume that the first offer will be accepted but in many cases the seller may reject it and want more.
It will be important for buyers’ and their agents to properly negotiate an offer that benefits both parties. Therefore buyer’s who make one offer and expect it to be accepted immediately can be in for a rude awakening. Another key mistake is not having any contingencies in their purchase contract. These are clauses that allow the buyer to get their money back in case they lose their job, an appraisal improperly estimates the home value or the loan falls through. Lastly many homebuyer’s are very eager to close the deal and get their new home. Due to this fact they will often rush through this process and get themselves into a disadvantaged situation by not using more time to evaluate their purchase. |
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