Silver Lake Area Real Estate News And Information

The Mews Houses- Los Angeles small lot subdivision in Atwater Village

Tue, 27 Jul 2010 13:46:15 -0400

The Mews Houses- small lot subdivision in Atwater Village

There's another small lot subdivision in Los Angeles- this time in Atwater Village.

The Mews small lot subdivision is an eco-friendly community consisting of 23 brand new, fee-simple single family homes located in Atwater Village in the 4200 block of Perlita. The Mews Houses range in size from 1500 to 1600sf and have solar power and 2-car garages. Their open floor plans in include high ceilings and walls of glass and open to private courtyards. The modern style homes were designed by award-winning architects Corsini and Stark.

Do I like these new Mews Houses in Atwater? Yes- I think they are really nice, look great and have really nice layouts. My problem is that the location of these homes does not command the prices they are asking. Currently there are only 2 units listed in the MLS (though many others are available). These two are both 3 bedroom, 2 ½ bath. One is listed for $650,000 and the other is $675,000. Once again a developer is putting Silver Lake prices on homes outside of Silver Lake. Would you buy a house in a small lot subdivision on Perlita in Atwater Village if you could buy a home for the same price in Silver Lake? I certainly wouldn't.

If the prices come down to something more in line with the location, the Mews Houses in Atwater should have no problem selling. Right now I just don't see that happening.

To see any of the Mews Houses in Atwater Village or for more information on buying or selling property in Silver Lake, Echo Park,Los Feliz, and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

Short Sales In Los Angeles- Why a Short Sale is better than a foreclosure

Sun, 25 Jul 2010 14:15:03 -0400

Short Sales In Los Angeles- Why a Short Sale is better than a foreclosure

I've been exploring the Los Angeles Short Sale process, specifically short sales in the Silver Lake area. By now you know what a short sale is, what might qualify as a short sale hardship, and what goes into a short sale package.

If you are in the midst of financial issues and are having trouble paying your mortgage, a short sale is preferable to a foreclosure for a number a reasons. You may be feeling powerless and like everything is outside of your control. You can get some degree of control by working with an experienced Realtor and short selling your Los Angeles home. The worry of being evicted by losing your home to the bank can be eliminated if you are in the process of negotiating a short sale with your lender. The trustee's auction can be postponed or cancelled completely during the short sale process.

Working with a qualified Los Angeles short sale agent to sell your home will allow you to determine your own escrow closing date, much like a normal sale once the short sale has been approved by the bank, giving you time to pack and move without fear of eviction. You can also save yourself from any potential embarrassment of losing your home to foreclosure.

One of the main reasons to short sell your Los Angeles home rather than let it go to foreclosure is to protect your credit rating as much as possible. A foreclosure has major negative effects on your credit and will stay on your report for 7 years or longer. A short sale is normally reported as a settled account, having a much lighter impact on your credit. A successful short sale could allow you to buy another home in as little as two years!

Don't get me wrong, a short sale will definitely have a negative effect on your credit rating but it could allow you to buy another home much sooner than a foreclosure would. Fannie Mae requires a minimum of 2 years to re-establish credit after a short sale before allowing a new mortgage. However, if you meet specific criteria, you may be able to qualify for an FHA loan right away. FHA will loan to those who remained current in their mortgage and other installment debts throughout the short sale process, had a verifiable hardship that allowed for the short sale, and currently have a credit score of at least 620. A mortgage lender can give you complete list of requirements. Even if you don't fit this profile, you may be eligible for a new FHA loan in as little as three years.

Think about the advantages of a short sale over a foreclosure before it's too late and the decision is made for you. If you are in a tight position and are not sure if you qualify for a short sale in Silver Lake or surrounding areas, please contact me directly at 213-215-4758 and I will go over the specifics of your situation with you and make recommendations on your best course of action. For legal and tax advice you will need to speak with a CPA and/or attorney.

For more information on shorts sales in Los Angeles County and buying or selling property in Silver Lake, Echo Park, Los Feliz, and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
info@LApropertySolutions.com
http://www.LApropertySolutions.com

Short Sales In Los Angeles, CA - The short sale process

Sat, 17 Jul 2010 20:03:20 -0400

Short Sales In Los Angeles, CA - The short sale process

This information is pertinant to both short sale seller and buyers interested in an LA short sale. Both parties need to know what is involved in making an offer that will be acceptible to the bank and what the short sale process entails.

The seller has already completed the short sale package and their agent has can now show it as an active listin on the MLS and multile websites concerned with real estate such as Realtor.com, Trulia and Zillow. There are many more sites that list real estate for sale and if the listing agent does their job correctly, the new listing will be syndicated to many of them.

The listing will indicate that the property in question is a Los Angeles short sale. This will alert buyers to the fact that the sale may take several months to close and that some items which are customarily paid for by the seller in a "normal" transaction may become the responsibility of the buyer. (This holds true for bank -owned/ REO properties as well but that is for another post!)

The first thing to remember about a short sale is that the seller still owns the property, NOT the bank. The seller has a mortgage or multiple mortgages on the property and will need the approval of the lender(s) before a short sale can be consumated but the seller is still the person to whom the offer is being presented. The seller may accept any offer, but there must be 3^rd-party approval from the lender before the sale can close. In most cases, the property is being sold in as-is condition. The lender will absorb the seller's closing costs but may not be inclined to pay for termite, government required retrofit or any repairs.

Any short sale buyer will want to have a strong, clean offer that will be acceptible to the lender. Many times a seller is willing to accept an offer that is much lower than what the bank is willing to accept. It's best for the buyer to consult with his agent and look at recent comparable sales. Forget anything you heard about banks being willing to accept pennies on the dollar to "get rid of" properties. A Los Angeles short sale will generally not sell for much less than 70% of what is owed by the seller, depending on condition and how it compares to recent sold properties. Using this information, a strong short sale offer can be prepared that has a good chance of being accepted by the lender

The offer should be prepared by your Realtor on a California Association of Realtor residential purchase offer form which will include a short sale addendum. The short sale addendum can serve to protect the time frams of your contingencies but not allowing the clock to start until written acceptance from the lender has been received.

If you are obtaining financing and not paying all cash for the purchase, you will need a preapproval letter from your loan officer. This will require that you have submitted all of the necessary documentation to procure a loan and that a bank has approved you for the purchase price you are offering. Documentation normally includes W-2's, bank statements and tax returns. You may also need recent paystubs.

Normally, a 3% earnest money deposit is required. Make sure that your funds are available to be placed into escrow within 3 days of written acceptance by the bank of your short sale offer. Normally this may be paid to escrow with a personal check but it is not unusual for a bank to request funds in the form of a cashier's check or wire transfer.

Along with your offer and loan approval, your real estate agent will need a copy of your bank statements showing that you have the funds require for down payment and closing costs. Your agent will provide your offer and back up documentation to the listing agent who will in turn present it to the seller. If it is acceptable, the seller will sign as accepted. If not, there may be counter offers back and forth until the buyer and seller have agreed on price and all terms. At that point, the listing agent will send the lender the short sale package and offer and the waiting begins.

The next steps are between the listing agent and the lender(s).

Normally the first thing is for the bank to assign a negotiator to the property. The negotiator will hire an independent agent to prepare a BPO (broker price opinion) on which the bank will base the reasonableness of offers received. This can be a problem if the BPO agent is not fairly familiar with the neigbhorhood and comparable properties and does not turn in an accurate value range for the property.

The lender may hire an appraiser to determine fair market value of the short sale property as well. From here there are negotiations between the listing agent and the lender's negotiator. The bank may accept or reject the offer but what normally happens is they will provide the listing agent with a list of what they will pay for and what the final payoff to the bank must be if the short sale is to be approved. Many times the buyer will be asked to assume additional costs and/or raise their offer price. Negotations continue with the buyer and the bank (via the listing agent) until, hopefully,an agreement is reach and the house can be sold as a short sale. This allows the seller to walk away without a foreclosure on his credit record and a patient buyer a good deal on the house of his choice. It's a win-win situation for everyone!

If you are in a tight position and are not sure if you qualify for a short sale in Silver Lake or surrounding areas , please contact me directly at 213-215-4758 and I will go over the specifics of your situation with you and make recommendations on your best course of action.

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
info@LApropertySolutions.com
http://www.LApropertySolutions.com

What Is the Importance of a Home Inspection?

Thu, 15 Jul 2010 14:57:47 -0400

What Is the Importance of a Home Inspection?

What is the importance of having a home inspection? If you are a homebuyer, buying a home is one of the biggest investments you will be making so you have to make sure that you are getting your money’s worth. You need to know as much as you can about the home, whether newly constructed or an existing one, before paying for it. A home inspection could save you from buying a structurally unsound or defective home by identifying areas in need of repairs as well as maintenance requirements to keep the home in top shape. Only after a thorough home inspection could you make a well-informed and final decision on whether to buy the home or not.

For homeowners, a home inspection can help you identify structural problems waiting to happen and could suggest measures on how to prevent these problems, which in the long run could save you hundreds of dollars in future repairs.

If you are planning to sell your house, a home inspection could help you identify areas for improvement and repair, thus putting your house in a better selling condition.

What is a home inspection and what does it cover?

You could hire a professional home inspector to do a visual examination of the home’s physical structure and systems. This includes the roof, foundation, heating systems, plumbing, electrical systems, central air conditioning system, insulation, walls, floors, ceilings, doors, windows, attic, basement, and other structural elements.

How much does a home inspection cost?

Factors affecting the cost of a home inspection are: location, size of the home, and the age of the home. The fees may also go up if you opt for additional services such as well, septic, or radon testing. Do not let the cost hinder you from getting a home inspection. In the long term, the peace of mind and savings would be well worth the cost.

Could I do the home inspection myself?

Even if you have experience in homebuilding or repairs, there still might be some elements that might be overlooked by the untrained. It would be in your best interest to hire an expert or professional home inspector who is already familiar and experienced in the elements of proper home construction and maintenance. They will be able to give you unbiased suggestions on how to improve and maintain your home.

This unbiased judgment is also something that most buyers or homeowners might have a problem with. It is hard to remain objective about a house that a buyer wants and this may affect their judgment on buying the home. So it is best to hire a third party – a professional home inspector – to give objective and impartial reviews on the home.

What happens if the house fails a home inspection?

There is no such thing as a failed home inspection. A professional home inspection is only an objective visual examination of the present physical condition of a house. It should not be confused with a home appraisal which determines the market value of a home. A home inspector’s job is not to pass or fail a home, but only to give an objective description of its physical condition and from there, give suggestions on areas for repair or improvement or what items need maintenance or replacement.

Where do I find a home inspector?

Referrals from friends or family who have hired home inspectors are good resources. You could also call the American Society of Home Inspectors (ASHI) at 1-800-743-ASHI (2744) and have them mail a list of qualified home inspectors to you. You may also ask your real estate agent or broker to refer you to home inspectors if they have a list available. Make sure to choose a home inspector that is associated with ASHI to ensure their reliability and that they follow the standards in quality home inspection.

For more information on mold in the home and buying or selling property in Los Feliz, Silver Lake, Echo Park, and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

How to Deal With Mold In Your Home

Wed, 14 Jul 2010 13:35:36 -0400

How to Deal With Mold In Your Home

How do you deal with mold in your home? Is it really a problem? When most people think of threats and health hazards in the home, the last thing they think about is mold. Some people, on the other hand, are terrified by mold.

First of all, we have to understand what mold really is and how to deal with mold in our home.

Mold is neither plant nor animal. It is a kind of fungus. Mold will always be present anywhere, all it takes is the right amount of moisture, food, and humidity. According to the National Association of Home Builders , in just 48 hours, a moist environment combined with the right room-temperature conditions can lead to mold growth. Mold has existed for 400 million years and no one is exempt from being exposed to it.

Here are the proper ways of dealing with mold in your home:

1. Inspect areas where mold is likely to grow.

This includes areas that are moist and humid such as basements, bathrooms, kitchens, and in walls moistened by leaky pipes. Mold could also grow on paper products, wood products, ceiling tiles, fabrics, and carpets. Always check these areas if they are moist or damp. Keeping surfaces clean and dry is the best way to prevent mold. It is advisable that bathrooms, kitchens, and laundry rooms have proper ventilation or if not, have an exhaust fan to vent the air outside since washing, cooking, and bathing can put moisture into the air. Attics and basements also need to be properly vented.

2. Have a regular schedule for cleaning your entire home.

While you cannot totally eradicate mold spores from your home, regular cleaning, especially in areas with high humidity and moisture, will greatly lessen mold problems. The U.S. Environmental Protection Agency (EPA) recommends that you only deal with mold if the moldy area is less than 10 square feet. For larger affected areas, you may want to hire a professional mold removal contractor. Make sure that the people you hire are professionals. If the mold contamination is in heating ducts or other household systems, professional help is also required. When dealing with mold, avoid breathing in mold and mold spores. Use breathing masks, protective eye wear and gloves. Respirators are available in the hardware store for only $12-$25. While cleaning a room with molds, make sure to keep the area ventilated, open the windows or exhaust fans.

3. Be aware of the health hazards of mold.

Exposure to mold may lead to serious health risks - the most common is allergic reactions. Symptoms may include sneezing, runny nose, itchiness in the eyes, and skin rashes. Molds may also trigger asthma attacks in asthmatics. Other illnesses associated with mold, though not yet proven, are: headaches, dizziness, memory loss, cancer, and pulmonary hemorrhage.

It is also important to know about the home insurance policy on molds. Damage to property as a result of molds is excluded from the homeowner’s policy. The insurance industry justifies this by saying that damage due to mold is excluded to keep the homeowner’s insurance affordable. If a policy holder wants this coverage, they would have to pay extra for it.

Now that you know more about molds, make sure to do all preventive measures. Even if you don’t see mold, if you smell a musty odor, make sure to inspect all possible areas where it may be hidden and do the necessary clean up to avoid further damage to your property or potential health hazards.

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

Short Sales In Los Angeles, California - What is a short sale package?

Sun, 11 Jul 2010 20:27:04 -0400

Short Sales In Los Angeles, California - What is a short sale package?

If you are new to short sales and seek more information, you can read a prior post here to understand what a short sale is. If you already know what a short sale is and wonder if you qualify, read this point about hardships and qualifying for a short sale. Once you have determined that a short sale is the right thing for you, you can start gathering together the information necessary for your agent and your lender.

You should have already contacted your lender about the possibility of a mortgage modification. If that is not a possibility for you, then ask your lender for a short sale package. They will send you some paperwork to fill out along with a list of documents you need to provide. You can do this step on your own, or have your real estate agent request a package for you. In any case, you can begin gathering the information now with this basic outline of what is normally required. This step should be taken care of before you even list your property for sale so that your real estate agent will be able to submit an offer as soon as one is received. The short sale package must be complete and accompany any offer being sent to the lender for consideration.

The most important thing to fill out first is the Authorization to Release Information. This document will give your real estate agent the authority to speak with your lender on your behalf. If you have more than one loan, you will need to fill out an authorization for each loan. Your real estate agent will be able to provide you with the Authorization form if one was not provided with the package or you would prefer that yoru agent obtain the short sale package for you.

The next step is to write a letter to your bank, but don't mail it. This is the hardship letter that you will use to explain what has happened in your life since you bought the property that is making it impossible for you to continue to make the payments. If you have any paperwork to back up your hardship claims such as medical bills or divorce decree make sure you make copies to include in your package. For hints on what are acceptable hardships, read my post Short Sales In Los Angeles, California - Am I qualified to short sale my Silver Lake home? This is relevant to selling a home anywhere in California.

Your bank's short sale package will include a Seller's statement of financial information. Fill this out as completely and accurately as possible. You will need to provide information on your bank accounts, savings/retirement, income, assets, expenses etc.

Other items you will need to supply copies of include:

• Your W2's for the last two years

• The last two months' pay stubs

• The last two months bank statements

• The last two years tax returns

Make copies of these documents and provide them all to your Realtor. Each document should have your name and loan number written neatly at the top. Other items will be added to the short sale package by your real estate agent such as repair estimates, comparable property listings, the listing contract, a page showing the property is listed in the MLS, payoff amounts (if there are multiple lenders) and an estimate of closing costs to be paid for by the bank. Other items may also be included such as termite and physical inspection reports depending on what you and your Realtor have decided to do prior to submitting offers to the bank. Your agent will check the short sale package to make sure there is nothing missing prior to submitting it to the bank.

For more information on shorts sales in Los Angeles County and buying or selling property in Los Feliz, Silver Lake, Echo Park, and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

Short Sales In Los Angeles, California - Am I qualified to short sale my Silver Lake home?

Sat, 10 Jul 2010 15:03:52 -0400

Short Sales In Los Angeles, California - Am I qualified to short sale my Silver Lake home?

If you are not clear on exactly what a short sale is, please read my post about what buyers and Sellers should know about Los Angeles short sales.

You may own a house in Silver Lake and you now owe your lender more than the house is work, but that doesn't mean you automatically qualify for a short sale. Most people who bought property in Silver Lake and the surrounding areas during the height of the market are in that position. We can't all just decide we don't want to keep making our payments and expect our lender to take a huge loss.

Lenders have certain standards to determine whether they will approve a short sale or not. The main issue is that you must have some sort of hardship, meaning, there must be a verifiable reason that you can no longer keep your home. If you can qualify for a mortgage modification that would be the thing to do rather than short sell.

If you cannot qualify for a mortgage modification, your lender will want to make sure you pass The Hardship Test. Do any of these apply to you?

Since you bought the house:

Must you relocate to another city or state for work and you need to sell your house in order to move?

Has the interest rate on your home gone up so high that you could no longer qualify for the loan and you are no longer able to make ends meet?

Have you lost your job?

Has something happened to you that is keeping you from being able to work, like a major accident or illness?

Have you incurred large medical bills that are making it impossible for you to pay your mortgage?

Have you lost your spouse due to death, divorce or separation?

Each lender will look at every situation individually but any of the above could be reason enough for them to cooperate with you in the short sale of your home. However, there are things that are definitely NOT considered hardships which could prevent you from successfully short selling your home.

You took all of the equity out of your house to spend on something else

You bought your house when prices were high and now it's not worth as much and you are upside down in your mortgage

You were not honest on your loan application when you bought the property. It was so easy to get a no-doc loan that many people lied about their income and assets and bought homes they could not truly afford. If this was you, your odds of a successful short are limited.

You have money in the bank, stocks and bonds and/or equity in other properties. - You may still be able to get a short sale but chances are that the bank will expect you to shoulder some of the loss and bring money to the closing table.

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

Hollywood Hills Short Sale!

Thu, 08 Jul 2010 17:35:08 -0400

Hollywood Hills Short Sale!

If you thought that the only distressed properties in Los Angeles were in less desirable neighborhoods, this Hollywood Hills Short Sale should be a pleasant surprise.

Check out this private & secluded 3 bedroom and 2.5 bath Hollywoodland Mediterranean. 6218 Rockcliff boast serene city and canyon views. Built c. 1934 by architect Raymond "R.J." Kieffer the home was later restored by ASIDdesigner. This captivating home features a Formal Living room with high pitched beamed ceilings, wood-burning fireplace, wood floors and tall French doors that open to a Juliette balcony.

The formal dining room leads to a restored "Provence" Kitchen with concrete counters, vintage white octagonal tile and stainless steel appliances. The intimate Master bedroom with walk-in closet boasts custom cabinetry and built ins. There are also colorful, vintage tile bathrooms.

The house is 1,789 Sf and the private, wooded lot measures over 10,000sf. Previously sold for $1,168,000 in January of 2006, this lovely home is now an approved short sale for just $880,000. If you've been looking for a "deal" in the Hollywood Hills, now is your chance! You can also check out this other great short sale in Beachwood Canyon.

To see this property or for more information on shorts sales in Los Angeles County and buying or selling property in Los Feliz, Silver Lake, Echo Park, and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

Beachwood Canyon short sale!

Tue, 06 Jul 2010 22:07:17 -0400

Beachwood Canyon Short Sale!

Perhaps you thought you would only see short sale listings in places like Echo Park and Highland Park. As you can see from this Beachwood Canyon Short Sale listing, that is simply not the case. People got in over there heads through Los Angeles County. This seller's loss could be your gain!

This striking, contemporary home is located prime Hollywood Hills. A Beachwood Canyon short sale with 3 bedrooms, 3 baths and 2200+ sq feet of living space is certainly worth a look. The open floor plan features high voluminous ceilings, designer finishes, hardwood and slate flooring and windows that capture canyon views.

Located at 2866 WESTSHIRE DR, this Beachwood Canyon short sale was sold in 2005 for $1,210,000. The house is currently listed for $1,050,0000 and a search of title records shows the seller refinanced and owed much more than the original purchase price.

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

Short Sales In Los Angeles, California- What You Need To Know If You are Buying Or Selling

Mon, 05 Jul 2010 20:08:45 -0400

Short Sales In Los Angeles, California- What You Need To Know If You are Buying Or Selling.

If you live in Los Angeles, you most likely have heard about short sales in Silver Lake, Los Feliz, Echo Park, Eagle Rock and surrounding neighborhoods.

You may have heard about them from your friends, a newspaper, television, your neighbor or even a family member.

What is a short sale?

A short sale takes place when a homeowner sells his or her home for less than he owes on his mortgage(s). Since prices were so much higher 4 or 5 years ago, there are a lot of people who paid more for their houses at that time than they are now currently worth. If a homeowner needs to move or must sell because they can no longer afford their payments, it is unlikely the current market value of their house is anywhere near what they owe on it.

For example: You have a loan on your house for $650,000 but in the current market, a buyer is only willing to pay $450,000. Perhaps a similar home down the street recently sold for $435,000. Based on that, a buyer is not going to be willing to pay much more and even if they were, it's unlikely that a higher price would make it through the appraisal process. In order to get out from under your house, you would need to ask the lender to take less than you owe them or a "short payoff" amount against the existing loan (s). If the lender agrees, you have a short sale.

This is a truly simplified explanation as short sales are not always easy to get through. Every lender has its own policies and procedures. If you fall into this category and need to sell your home, you need to work with an agent who knows and understands the short sale process.

But don't short sales take "forever"? You may have heard that a short sale is such a long and drawn out process that it's not worth dealing with. If you are a seller, it's certainly worth attempting a short sale before allowing your home to go to foreclosure. If your real estate agents knows the ropes with short sales, your odds of success go up tremendously.

For buyers, it's possible that a short sale could take 3 or more months but it's also possible that the process can be streamlined and go much quicker. So much depends on where the property is in the process when you make your offer. Don't shy away or be turned off from a short sale property. The right agent can make all the difference in getting you through the process. Patience can truly pay off as many shorts sales can be had for less than their equivalent foreclosed property.

I have had some short sales in Silver Lake that have taken as short as one month while others have taken 3 or 4 months to complete. Some of the time is due to the fact that lenders are swamped with short sales and don't have enough staff to handle them. There may also be the situation that the lender to whom you send payments is actually the servicer of the loan and not the true owner. There may be investors that have to be contacted for their acceptance. Regardless, an experience agent knows how to get action and the squeaky wheel truly gets the grease!

If you have more than one mortgage on the property with different lenders, approval of a short sale must be granted by all lien holders. This makes the process more complicated and time consuming but still it is certainly possible and worth pursing both from the seller and the buyer perspective.

Why would a lender want to do a short sale in Los Angeles county in the first place? Short sales are by far cheaper and less time consuming than foreclosures. It can be much better for the bank's bottom line to accept less than is owed than to go through the foreclosure process at the courthouse steps. For the seller, it prevents a foreclosure showing up on your credit report and for a buyer, you may just get a better deal on a home than you dreamed possible.

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

Eagle Rock Old Fashioned 4th of July celebration

Fri, 02 Jul 2010 22:52:08 -0400

Eagle Rock Old Fashioned 4th of July celebration

So you live in Los Angeles but want to enjoy a good old fashioned 4^th of July? The patriotic spirit of America is alive and well in Eagle Rock. This small community will be celebrating our nation's independence in a big way.

Starting at 4:00pm on Sunday, July 4^th, there will be food, moon bouncers, kids activities, a car show and vendor booths galore. Come with you picnic blanket and goodies and spend the day.

At 6:00pm you can rock with the Beach Boys tribute band, Surfin Safari. This year the park will also be providing a fireworks display so be ready to stick around for the big show at 8:30. Fireworks are being sponsored by Sir Michael's Party Rental & LA City Council member Jose Huizar

If you are looking for free fireworks shows closer to home, check out one of these other venues:

Alhambra 4^th of July Extravaganza
o Saturday, July 3rd @ 800 S. Almansor
o 3 p.m. - food and beverage sales
o 9 p.m. - fireworks show

El Sereno Concert, Fireworks Show & Independence Parade
o Saturday, July 3rd @ El Sereno Park, 4721 Klamath Place,
o *4 p.m. - 9 p.m.
o *Parade @ 2 p.m., corner of Huntington Drive & Van Horne, ends at El Sereno Park
o Concert begins @ 4 p.m.
o Fireworks @ 8:30 p.m.

If you are willing to shell out a few bucks, here are a few more options:

Burbank, Starlight Bowl - Salute to the Soul of America
o 1249 Lockheed View Dr., Burbank
o *6:30 p.m. - 9 p.m. Concert
o Fireworks @ 9:00 p.m.

Hollywood Hills- Hollywood Bowl
o 2302 N. Highland Ave., Hollywood
o Concert begins @ 7:30 p.m. followed by fireworks

Pasadena- Americafest 2010 at the Rosebowl
o 1001 Rosebowl Dr., Pasadena
o *2:00 p.m. Family fun festival and food court
o *7:00 p.m. Drum performance and military tribute
o Fireworks @ 9:00 p.m.

For more information on Eagle Rock, Silver Lake, Echo Park, Los Feliz, and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

SHOULD YOU RENT IT OR FLIP IT?

Tue, 29 Jun 2010 12:33:20 -0400

Should you rent it or flip it? This is a dilemma faced by many novice real estate investors looking to earn from either renting out or flipping a property.

In a nutshell, to “flip” means to purchase a property that is undervalued compared to similar properties in the same area, make some minor repairs and cosmetic improvements, then list it at a higher price. Flipping property is a good way to earn quick cash, which could bring you around $20,000-60,000 or more in profits. But flipping is not for everyone. You may lose money on flipping a property if you end up with high repair costs or if the repairs take too long to finish, or the property stays in the market for too long. You wouldn’t want to end up like some flippers who, after spending on repairs, got stuck with the property during the recession and resorted to selling the property at a lower cost.

You need to take into consideration some key points before deciding whether to rent or flip, such as the price of the property, its location, physical condition, and the market value of other homes in the same area. You should also assess your skills and interests. If you have experience in renovating and construction and if you have contacts with contractors, repair services, landscapers, and other types of skilled laborers related to home improvement, flipping might be your cup of tea. If you think you have the patience to be a landlord in collecting rent and keeping up with different types of tenants, then renting out a property might work out for you.

If the property you are planning to buy is a bit pricey, the best thing to do is flip it as soon as possible. It is not an ideal rental property since the higher the cost of a home, the bigger the mortgage and property taxes. This would make it difficult to find renters, especially if your property is located in a middle class suburb. If you do find a renter, the risks are high if they are late in their monthly rent. Not only do you lose your profit, you could also take a huge loss if the property remains vacant for any length of time.

On the other hand, a home with a lower purchase price means lower mortgage payments and property taxes. This is a safer path to take if you plan to rent out a property. Make sure to consider other costs such as minor repairs and utilities when deciding on how much rent is needed to give you a nice profit and don’t forget to calculate in the property taxes you will be paying.

Another key factor in determining whether it is best to flip or rent is the area’s economic situation. A good indicator that the market is growing is if there are several new construction projects, new industries coming in, good public transportation system or, at least, plans of building one, and access to major establishments such as schools, shops, hospitals, and recreation areas. These areas are good places to invest in for a quick flip, but you may earn even more in the long term if you rent out your property first then sell it once the market value of the property appreciates. Renting property in these “growing market” areas will give you both continuous cash flow and long term profits while building equity at the same time if you can buy the property at a low enough price.

You also need to ask yourself what type of profit you are after. Do you need quick cash? Then flip it. Are you looking at a long term investment that could give you monthly cash flow and a bigger profit as the property appreciates in time? Then rent it.

In deciding whether to flip or rent, the bottom line is you should consider not just the price of the property and how much you could earn, but you should also make sure that the decision you make is based on what works out best for you – one that meets your budget, skills, and needs.

Auburn 7 Small Lot Subdivision in Silver Lake

Sat, 26 Jun 2010 11:22:04 -0400

Auburn 7 Small Lot Subdivision in Silver Lake

Have you heard of the Auburn 7 small lot subdivision in Silver Lake? This complex of seven single family homes designed by Silver Lake based MASS Architecture and Design is one of L.A.'s small lot subdivisions, located right here is Silver Lake. The seven homes are townhouse style, separated by just a small space and share walkways and a community garden on DWP land in front.

The Auburn 7 were built with ecology in mind. Green features include: radiant heating in the floor, tankless water heaters, low-flush toilets, and high-efficiency HVAC. The homes are also solar-ready for those owners choosing to install panels. Dual glazed windows and skylights add great ventilation and better efficiency.

If all of this appeals to you, you are in luck! One of the Auburn 7 in Silver Lake just came on the market. 2746 Auburn Street was recently listed Chris Furstenberg for $839,000. The home has 3 bedrooms, 2.5 baths in 2100+ square feet of living space and is in the coveted Ivanhoe School district! With it's solar power, you can expect a nice drop in your electric bill if you choose to call this home.

To see this home or for more information on small lot subidivions, Silver Lake, Los Feliz, Eagle Rock and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

IS IT BETTER TO GET A LOAN THROUGH A MORTGAGE BROKER OR A LOCAL BANK?

Wed, 09 Jun 2010 18:16:16 -0400

Is it better to get a loan through a mortgage broker or a local bank? Shopping for a mortgage loan could be as bewildering as shopping for the perfect pair of shoes. With hundreds of options and banks or financial institutions to choose from, looking for the best deal often leaves you tired and frustrated at the end of the day. New or first time homebuyers may also find themselves being too giddy with excitement over buying their first home that they could easily fall prey to unscrupulous lenders.

In my opinion it is best to use a mortgage broker to assist you in finding the perfect mortgage loan. Here are the main reasons why going through a mortgage broker is better than going directly to a local bank for your mortgage loan:

1. MORE OPTIONS

Mortgage brokers do not work for one specific bank or lending institution. They work independently and may represent a variety of financial institutions and banks. That means mortgage brokers can offer you more options and look for the best deals on mortgage terms and rates using their vast reservoir of connections with hundreds of different banks and financial institutions. On the other hand, a bank can generally only offer you a small selection of loan products available from that bank only so getting a loan from a mortgage broker provides more flexibility.

2. BETTER DEALS

Since mortgage brokers work solely on a commission basis, this means they do not get paid unless you get your loan, so you can rest assured that they will be working with your best interests at heart. A mortgage broker will search for the best lender. When you get a loan through a mortgage broker, the broker will analyse your income, assets, debts and credit, educate you on the mortgage process, and then match you with the lender that best fits your situation.

Some mortgage brokers only work with their established contacts but you will find many mortgage brokers who will actually search the entire market for the best deal possible. This gives you more options that you may not even be aware of before. Since these mortgage brokers have established long-standing relationships with mortgage lenders, they also have the power to negotiate better mortgage loan terms and rates than if you tried negotiating with a bank by yourself. Getting a loan through a mortgage broker can save you a significant amount of money on interest rates and other mortgage costs. A local bank may not be able match the most affordable interest rates and loan terms that the mortgage broker could offer.

3. TIME SAVING

Aside from saving you money by finding the most competitive mortgage terms and rates for you, getting a loan through a mortgage broker could save you a significant amount of time and effort in shopping around with different banks or financial institutions since mortgage brokers already have an established list of contacts to work with. They do all the legwork for you. All you have to do is sit back and relax, knowing that your mortgage broker is working to come up with the best loan options possible for you.

4. FLEXIBILITY IN REFINANCING YOUR LOAN

Should the need arise to refinance your mortgage loan, your mortgage broker could be a big help as he or she could easily shop around for the best interest rates and loan terms for you and come up with the best deal for your refinancing, allowing you to adjust your mortgage – be it with the same bank or mortgage lender where you took out your original loan, or with a different institution offering a better deal. Your mortgage broker can be your broker for life and assist you with refinancing or originating a new loan for you the next time you purchase real estate.

Referrals from your Realtor or family and friends who have got a loan from a mortgage broker in the past is the best way to find one. If choosing a mortgage broker referred by someone other than your Realtor, it’s best to let your agent know right away as your Realtor and mortgage broker will work closely together throughout the escrow process. Be sure to answer all questions honestly and provide your broker all of the documentation requested in a timely manner and getting your loan through a mortgage broker can be the simplest part of the home buying process!

For referrals to mortgage brokers or information on The Oaks, Los Feliz, and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com

Credit Management 101: Facts, myths and how to get around them

Sat, 10 Apr 2010 19:39:16 -0400

Credit Management 101: Facts, myths and how to get around them

Are you scared of your own credit report? While the exact ways with which credit scores are calculated are company secrets, there are things you can do to improve your score. Read on and find out!

Our credit scores determine if we can get something as big as a mortgage for a home to something as small as a new computer. While we have no way to find out the exact formulas used by particular banks or lending companies to compute our scores, there are some standard facts and myths about what will affect our credit scores.

Myths about your credit report. Relax, a credit report is not some Big Brother accounting of your life. Anything not related to credit is not in the report. This includes your savings account, personal information such as race, religion or your medical history, and information on other people you're associated with, provided you don't have any joint financial products. Employers or potential employers have no access to your report without your written consent. Other things not on your report are whether you've checked your file and if you've had declined applications (only the number of credit inquiries you've had).

What they look at. Here is an approximation of how your score is determined. Payment history accounts for 35% of your score. The lender will want to see if you have a stable record of paying your bills punctually. Also included is how much debt you have at the time of inquiry (30%). 15% of your score goes towards how long you've had established credit; the longer you've had it, the better. 10% is based on new credit. Opening new credit within six months of the credit inquiry is bad for your score. Hard inquiries or inquiries made by lenders also pull down your score. On the other hand, soft inquiries, which include you checking your own report, have no effect. It will also improve your score if the lenders see that you have and have had experience with several different types of credit (10% of score).

What helps and what hurts. Improve your credit score by regularly reviewing and correcting errors on your credit report. You're entitled to and should avail of one free annual report from each of the credit reporting agencies annually (Equifax, Experian and TransUnion) so you can better monitor your credit score.

Keep your oldest credit accounts even if you're not using them. However, remember that more than four or six credit cards can hurt your score. Additionally, always keep the balance of your cards to 25% or less of the limit and pay your bills on time! If you can't pay in full, you should at least pay the minimum.

Regulate the ratio of your debt in relation to your annual income to less than 20%. Any more than this and lenders may not give you the best rates on loans.

Keep hard inquiries to a minimum. Generally, the more hard inquiries you have, the lower your score because lenders may mistake this for you being financially strapped. This flags you as a high credit risk. However, when shopping for a loan, multiple inquiries which occur within 14 will count as a single inquiry so do your loan shopping within a 2-week period so as not to adversely affect your score.

If you are ready to buy property, don't make any other major purchases or pay off credit cards unless recommended by your lender. Sometimes something that seems like a good idea may actually do you more harm than good.

For more information on your credit score or The Oaks, Los Feliz, and surrounding areas, contact me directly at 213-215-4758 or check out LApropertySolutions.com

Broker Associate
Keller Williams Realty, Los Feliz
213-215-4758
http://www.LApropertySolutions.com