Every action creates a reaction, and the San Diego County real estate market is no exception. As home sales have cooled this past year, housing rents have risen 5.8 percent, according to the San Diego County Apartment Association. This hefty annual increase is the average rental income for all types of residential rentals in this area. That brings the average to $1237. per month. One and two-bedroom apartments are predominant in the market and have increased by an even loftier 6.2 percent, to an average of $1229.We knew it was going to happen sooner or later. Too many former homeowners have moved into rental properties to wait out the market. They join other San Diego home buyers who are waiting for the real estate market to bottom. Combine those people with others who simply choose to ... 12/12/2006

    We shake our heads in wonder with the news that legendary toy store FAO Schwarz has moved into the custom homebuilding business. With prices starting at $10,000, we scratched our heads and wondered what responses might come from the likes of Toll Brothers, Hovnanian and Centex. What fun might this ultimate toy store have up its sleeve?  A little more research reveals that FAO has cleverly moved into the "mini-me" end of the homebuilding business and may have trumped Neiman Marcus for the coolest gift of the season. As an exclusive service to their customers, FAO Schwarz will now build an "exquisitely detailed scale model of your own home, beach house, or ski chalet." The process and results appear to be pretty amazing.  During the first step of the homebuilding process, the toy emp... 12/07/2006

A consumer protection complaint has just been filed with the FTC against Zillow by the National Community Reinvestment Coalition (NCRC). They allege that Zillow, the "Internet financial services and real estate provider(sic) is misleading consumers, real estate professionals and financial service providers in online home valuations."Uh oh....they go on to charge that:"Zillow is placing the American dream of homeownership at risk for countless working families," says John Taylor, NCRC President and CEO. "For a company that represents to consumers that they are the 'Kelley Blue Book of Homes,' this is a very dangerous situation. We call upon the FTC to intervene and ensure that Americans receive accurate appraisals and valuation information to protect the single most important investment ... 10/26/2006

Anybody who knows me will know that I ask that question a lot when it comes to getting borrowers approved for loans.  The second C of underwriting, capacity, from the Three C's of Underwriting, is fast overtaking the first C, credit, as the preeminent qualification for mortgage approvals.  Here's the reason why:Stated Income loans, once a favorite of the self-employed and commissioned borrowers have been frightfuly abused in the past 3-4 years.  It used to be that these loans required above average credit and a loan-to-value of no greater than 80% (meaning 20% downpayment).  Wall Street, in its infinite hunger for yield, started offering to securitize loans for high credit borrowers.  Mortgage bankers appeased them and thus, the birth of "exotic loans".It used to be that a borrower "sta... 10/02/2006

Tonight I released the beta version of our new website about trust deed investing.I built it through register.com with their 5-page now website kit.  I have no doubt that it looks amateurish to all of you e-pros out there but I got it upand running within 2 hours.  I had nothing before.I spend a lot of time on the phone and in person networking with investors and brokers to build my private money lending business.  Now I have something to show people.  It may not be perfect but you all know the old saying..."An imperfect plan today is better than a perfect plan tomorrow (or whenever we get around to it) I'm not a tekkie.  I'm a mortgage broker.  I'll appreciate any comments you folks might have.www.SoCalDeeds.com  09/25/2006

For those times when you would like to bypass computer-managed calls and SPEAK TO A REAL PERSON without having to tap through a maze of options, keep this site handy. It is a personal favorite, but keep it under wraps because I'd hate to see the companies change their codes:Get the codes!  08/31/2006

For almost two years now, there have been serious rumblings and grumblings about Option ARM and interest-only loans that could put a number of buyers in default. I initially gave the issue detached interest, because our clients tend to be a conservative lot when it comes to borrowing. We deal with few real estate speculators and most of our clients are solid buyers of primary and secondary homes. My interest in these "instant gratification" loans is no longer a detached one, because the fallout from these ARMs is contributing to market weakness. Our conservative clients are seeing their San Diego home values stagnate or decline, in part due to these lending practices.   It has been reported that 7 out of 10 option arm borrowers are sticking to the minimum payment schedules--and in so do... 08/20/2006