If you are asking the question - FHA vs Conventional Loans, which one is better? You are not alone. I was speaking at an FHA seminar for real estate agents in Fremont, CA recently. The topic was "How FHA loans are playing a big part in qualifying more First Time Home Buyers". At the end of the presentation, I was asked this question - "Are FHA loans really better than conventional". I had similar questions asked by Buyers and Real Estate agents in other forums too. There is no black & white answer to it - because it all depends on your situation. Below, I have compiled a table to compare the loan features of both the programs. As you would see depending on your specific situation, either one could be better. ** Since I wrote this post FHA Up front Mortgage Insurance Premium (UFMIP) requ... 07/01/2009

After a recent spike seen in mortgage rates, some consumers are wondering whether they've missed their chance to refinance into an ultra-low rate. Fear not: While the conforming 30-year fixed-rate mortgage hit a daily average of 5.81% last Thursday 06/18/09, it averaged 5.53% on Tuesday 06/23/09, and it's possible that rates could continue to fall. Predicting interest rates is like predicting who is going to win the World Series in January,I feel the recent spike is somewhat of an aberration, I expect rates will continue to drift down. Why the recent run-up in rates? Over the past month or two, the economic skies have brightened somewhat, and the threat of trillion-dollar budget deficits for the foreseeable future, the potential for significant inflation, and few clues as to how the gov... 06/29/2009

Are Tighter Appraisals Hurting Home Sales? June 26 2009 No comments Subscribe Make sure your home is in top condition so you have a better chance to get a good appraisal......... Less than a week after putting his newly renovated house on the market, "Rick" accepted a full-price offer of $242,900 on the 1940 bungalow. But the appraisal on the 1,780-square-foot home came in at just $206,000. The buyer couldn't come up with enough cash to make up the difference and Rick wasn't willing to drop the price, so the deal fell through. On top of sluggish home sales, are appraisals becoming the newest threat to the local housing market? Real estate experts say sales are collapsing as appraisers are being more conservative and valuing homes for less than what buyers have agreed to pay. Owners can'... 06/26/2009

 A surge in home sales that started in some of California's more affordable inland areas has begun to spread to several more expensive coastal areas, another indicator that the state's real estate market may be in recovery mode.  •·         Many homes in the lower end of the market are receiving multiple offers, with some prospective buyers bidding well above asking prices. Inventory levels for homes priced under $500,000 stood at 3.2 months in May 2009, compared with 9.4 months in May 2008. •·         Some buyers, especially those in historically higher-priced markets such as the San Francisco Bay Area, are newly optimistic about buying homes and are realizing that the combination of low interest rates, favorable home prices, and first-time home buyer tax credits may not realign for ma... 06/25/2009

Happy thursday!  here is some more info on the existing home sales. Some good some bad news. Sales of existing homes showed another gain in May, benefiting from favorable affordability conditions and a first-time buyer tax credit, according to the National Association of Realtors®. May's increase was the first back-to-back monthly gain since September 2005. Existing-home sales-including single-family, townhomes, condominiums and co-ops-rose 2.4 percent to a seasonally adjusted annual rate of 4.77 million units in May from a downwardly revised level of 4.66 million units in April, but remained 3.6 percent below the 4.95 million-unit pace in May 2008. Historically low mortgage interest rates clearly drew buyers into the market, and housing remains very affordable even with a recent uptick... 06/25/2009

A few years ago, many were seeing their real estate investments appreciate at incredible rates, and in turn, were doing 1031 tax-deferred exchanges to defer their capital gains liabilities into new investment properties. But in today's market, many investors see limited or no appreciation in their investment property. In times like this, does it make sense for an investor to sell their property and do a 1031 exchange? In many cases, the answer is "yes."With almost all real estate sales involving improved property, there is the recapture of depreciation. Section 1250 of the Internal Revenue Code requires that depreciation be recaptured at the current rate of 25%, which is higher than the current long-term capital gains rate. For this reason, the ability to defer the recapture of deprecia... 06/22/2009

Hi all, I just heard June is National Homeownership Month! and, like many other consumer advocates, I urge consumers to get informed as they prepare to buy a home. Today, there are a growing number of obstacles for home buyers, including a higher credit score standard and more restrictions on credit. Despite current challenges in the secondary mortgage market, home loans are available to credit-worthy buyers and banks stand ready to assist prospective home buyers. Whether you live in California, Oregon, New Jersey, or anywhere else in between, it's crucial that you have a thorough understanding of the changing market when shopping for a mortgage. Here are seven tips to help you do exactly that: 1. Learn about first-time home buyer programs. Consider taking a first-time home buyers cours... 06/22/2009

First-time home buyers wanting to take advantage of the state's $10,000 tax credit may have less time than originally expected.  California set aside $100 million to help home buyers purchase newly built homes, hoping to jump start the residential-construction market.  According to state officials, the tactic has worked well and is helping to get  home buyers into the market.  However, there only is approximately 20 percent of the program's funding remaining. The program launched in March, and as of June 3 nearly $24 million in tax credit certificates already had been issued, according to the state's Franchise Tax Board, leaving nearly $76 million in credit available.  Many applications still are in the pipeline awaiting approval.  If all of the submitted applications are approved, onl... 06/20/2009

California is imposing a 90-day moratorium on housing foreclosures under a new law that takes effect Monday, June 15th. The law is expected to make lenders try harder to keep borrowers in their homes. Loan companies must prove they tried to modify the delinquent loans before they can begin foreclosing. But supporters acknowledge the California Foreclosure Prevention Act won't stop thousands of foreclosures from eventually happening. There have been more than 365,000 foreclosures in California since early 2007.   Brian Ripp, CRS, GRI, Broker - your Bay Area Realtor www.BrianRipp.com serving Fremont, Newark, Union City & surrounding communities. Real Estate & Property Management. Real Estate Market Weekly Update Webcast: http://realtytimes.com/REUv/BrianRipp 06/15/2009

If you are purchasing a home, obtaining a loan is a big part of the process.  Before you choose a mortgage lender, you may want to talk to a few lending institutions and ask them some questions.  Then use the information you gather as a basis for comparing loans and choosing the one that's right for you.  Here are some questions to consider:              What documents will I need to provide?  You will need to provide proof of income and assets, but the amount of necessary paperwork will vary somewhat from lender to lender.             How much time will it take to process my mortgage loan application? It typically takes between 30-90 days, however, the actual time will be determined by how soon the lender can receive an appraisal of the property, verify your information, and obtain a c... 06/12/2009

Before closing escrow on your new home, it may be wise to walk through the house for a final look.  This gives you the chance to make sure that everything is still as it was when you agreed to buy the home.  Usually this walk-through is an informal procedure and not a contingency of your contract. The walk-through is your chance to check that the sellers completed all the repairs as promised.  It also gives you a chance to get important information about the house from the sellers.  This might include something as detailed as how to program the automatic sprinklers or something as simple as what time the mail is typically delivered.  This may be the last time the sellers are available to you, so it is your chance to make sure you are comfortable with all the mechanics within the home. E... 06/08/2009

The surrounding neighborhood is just as important because it can have a big impact on your lifestyle -- safety, available amenities, and convenience all play their part, according to the National Association of Realtors (NAR). NAR also says you can keep your home value stable if you find the right neighborhood. And you can find the right neighborhood by getting information direct from the best sources -- rather than from second hand and often incomplete data bases professing to offer you one stop shopping for all your neighborhood checking needs. * Make a list of the activities -- movies, health clubs, churches -- you engage in regularly and stores you visit frequently. See how far you would have to travel from each neighborhood you're considering to engage in your most common activitie... 06/03/2009

The pattern gets clearer week after week: We are looking at a slow-motion housing recovery that should have us out of the recession later this year. Now that's not to ignore the fact that there are markets in the country that still face very challenging economic dynamics - with no real turnaround in view yet on housing sales, prices and unemployment. But the national numbers are telling us something important, and they increasingly look postive.   Brian Ripp, CRS, GRI, Broker - your  Bay Area Realtor www.BrianRipp.com   serving Fremont, Newark, Union City & surrounding communities. Real Estate & Property Management. 06/01/2009

LONGER STAY FOR TENANTS OF FORECLOSED HOMES: Effective immediately, an REO lender or buyer who acquires title through a foreclosure sale must give at least a 90-day notice to terminate a bona fide tenant as defined. A 90-day notice to terminate is sufficient for a month-to-month tenant or if a new owner will occupy the property as a primary residence at the end of the 90 days. Otherwise, a tenant with a one year or other fixed-term lease with a remaining lease term exceeding 90 days can stay in the premises until the remaining lease term ends. This new 90-day notice requirement applies to foreclosures of a federally-related mortgage loan or residential real property, except for properties under rent control, rent-subsidized programs (such as Section 8), or other state laws that provide ... 05/30/2009

What Are Ventilation And Its UseWhat Is The Need Of VentilationAir Conditioning And Preventive MeasuresWhat Are The Different Kinds Of VentilationHow To Avail Complete Efficiency Via AC Systems Ventilation is actually a process through which fresh air is intentionally pushed inside a space and stale air is thrown out. The ventilating process can be achieved naturally or mechanically. The ventilators and Ac have been used since a long time to maintain a nice air flow inside a building or a house. Fresh air helps to lower down the temperature of the house. Ventilation is very essential part of home improvement. Artificial infiltration: apart from intentional ventilation, air also enters the building through infiltration process. Infiltration process is uncontrollable air flow in a certain... 05/22/2009

I’ve gotten a number of requests from prospective homebuyers to provide more information about Fremont.  So, I’ve put together a brief overview below that describes the five districts (Mission San Jose, Irvington, Niles, Centerville and Warm Springs) that comprise Fremont.  Each district has its own atmosphere and unique attributes, making the Fremont experience greater than the sum of its parts. See my previous post for more information about the Mission San Jose district. As well as being a great place to find a home, the Irvington district is Fremont’s largest shopping area, with everything from small locally-owned shops and restaurants to the mainstream shopping stores available at The Hub shopping center and Gateway Plaza, both located close the BART station.  Irvington is also ho... 04/20/2009

I’ve gotten a number of requests from prospective homebuyers to provide more information on the various communities that I have expertise on.  So, I’ve put together a brief overview for Fremont’s Mission San Jose district below.  Please feel free to contact me with any questions that you may have. Fremont has 201,334 residents situated over 92 square miles, according to the census of 2008, making it the fifth largest city on the Bay Area.  Its established itself as the Bay Area home of many high-tech and bio-tech firms and is known for its attractive, manageable commutes to other tech companies located in the South Bay and on the Peninsula. In addition, San Francisco, Oakland and Berkeley are accessible within 60 minutes on BART.  The historic Mission San Jose district is a very desira... 04/06/2009

I’ve gotten a fair number of requests from prospective homebuyers to provide more information on the various communities that I have expertise on.  So, I’ve put together a brief overview for Union City below.  Please feel free to contact me with any questions that you may have. Union City contains 19 square miles and is a part of the Tri-Cities area, along with Fremont and Newark.  The current population is about 73,402 (According to the most recent census).  With 45.3% of the 18,642 households having children under the age of 18, it is a good place to raise your family.  The city has nicknamed itself “Gateway to Silicon Valley” due to its location in the heart of the Bay Area, with manageable commutes to the various tech companies located in the South Bay, the Peninsula and Fremont.  ... 03/29/2009

The City of Fremont and President Obama want first-time home buyers to achieve their dreams.  Now is a fantastic time to purchase your first home. As part of the economic stimulus package, President Obama signed into law a first-time home buyers tax credit of $8,000. First-time homebuyers who purchase a home this year between Jan. 1 and Dec. 1 may be eligible for the tax credit. Additionally, The City of Fremont offers loans through its First Time Home Buyer Program of up to $40,000 to eligible homebuyers for down payment assistance UPCOMING WORKSHOP - CITY OF FREMONT FIRST TIME HOME BUYER PROGRAM Tuesday, April 21, 2009.  Registration is now open.  Registration is mandatory. Visit the City’s First Time Home Buyer webpage to register for the April workshop. As I mentioned in my previou... 03/27/2009

The San Francisco Chronicle recently listed Fremont’s own Lake Elizabeth (Central Park) as one of the best urban outings in the Bay Area (March 5, 2009).  The park is set on 450 acres with an 83 acre lake. It is noted for its relaxing, natural atmosphere, walk-ability, separate dog park, boating, and ample bird watching. The park grounds also contain a number of sporting fields, a golf course and a water park opening in May of 2009. As a Fremont realtor, I understand how appealing and important access to an open park setting can be to those who are looking to buy a home here. The park is a short driving distance from most Fremont homes and many are within walking distance. The surrounding area has a good mixture of residential homes and shopping at Gateway Plaza and The Hub.  Families ... 03/26/2009