Jun 16
0

Updates in underwriting

By | Buyers, Economy, Financial news, Sonoma County info | No Comments

Pete Phillippe from Indymac Bank was so kind to send an extensive overview with updates in underwriting as of June 1, 2008 Industry wide General Loan guidelines by the Secondary market (some variance with specific Lenders).

  • With Foreclosures , reestablished credit history now 3 yrs after event before a new loan given
  • No 60 plus mortgage lates within the last 12 months
  • Authorized users of credit trade lines will no longer be considered in credit decisions. Can’t piggyback on someone’s good history. FICO now is “not using” card holders good scores for the authorized user to improve their own scores
  • On interest only loans, borrowers have to be qualified on the full principal and interest payment
  • Min. credit scores 640 for 1 to 2 unit properties, 680for three to four units . . .620 if LTV less than 75% of property value
  • Stated income loans max. 80% ltv for w-2 wage earners and self employed or commissioned borrowers, or combinations of salaried and commissioned. Usually 700 middle ficos required. Cash out? 75% ltv’s
  • With FHA loans 580 and above FICOs still ok with alternative credit documentation and “good” credit explanations

Dont’ forget, these are general guidelines, exeptions are possible with every lender. For more info, you can also contact Pete Phillipe @ Indymac bank 707-535-1263. He will give all his client free credit reports.

More to come in the coming days.

Mirjam (mirjam@c21alliance.com)

May 30
0

Better to buy than to rent

By | Buyers, Economy, Sonoma County info | No Comments

David Leonhardt had an interesting thought in this morning’s NY times.

After being a renter for all the good reasons, he finally decided to buy. The article did make sense, however he forgets the rules of inflation. How much was a 3 bedroom 2 bathroom home in the area where you live 30 years ago? How much was the rent at that time? How much is the rent for that same home right now? To my opinion, in the long run it’s better to buy than to rent, however, if you only plan to live in an area for 1 year (for work or other reasons) you’re probably better of renting.

The New York Times also featured an interesting graph (Buying vs renting). It’s fun to play with it, don’t forget about the rules of inflation though…

And by the way… today is a great day to buy real estate in Sonoma County!

Have a great day!

mirjamnew.jpg Mirjam (707-486-2638)

May 25
0

You first home is free!

By | Buyers, Economy, RE by the numbers, RE Investing | No Comments

George Houghton a CPA in town who is specialized in Real Estate gave a seminar this Friday. His concepts on Real Estate and Real Estate investing in the Bay area are profound and supported by numbers. Please remember, these are concepts, give or take a few years.

Rules of inflation (excluding high tech stuff and salary) : every 30 years add a zero. Think about the value in gold, rent, ticket to the movies etc

For Real Estate: every 10 years values double , every 30 years ad a zero.

Your first house is free. You have to live somewhere and if you take the cost of renting a home, compare that to all the tax benefits of owning a home, it’s almost the same. Rent is paid to someone else, mortgage is paid ‘to yourself’. Of course this does not work for a million dollar home but for an entry level/median home.

Every rental cost about 10% of the value. Yes, this is true, think about it, I look forward to your reaction!

And last but not least: every $10K spend on a car is the same as $100,000 is Real Estate and 1 million in retirement… I know you have to enjoy life but it gives something to think about an spend more consciously.

By the way: George Houghton wrote a book: Unleash the power of Real Estate.

Have a great weekend!

 Mirjam de Rijk Mirjam (mirjam@c21alliance.com)

May 18
0

Green living in Sonoma County

By | Buyers, RE Investing, Sonoma County info, Visit WineCountry, Wine, Winery with picnic place | No Comments

picture-5.png Did you see the new homes at Bridge Trail at the North Village ? It’s developed by Hugh Futrell, a great developer who does unusual projects. He also build The Burbank on seventh street in Santa Rosa. Both developments have something special. All the homes at Bridge Trail come with solar panels a great way to lower your PG&E bill, actually there are tax rebates that can be claimed too!

The homes in the newer subdivisions are built on small lots (post stamp lots), the beauty of the Bridge Trail projects that it comes with open space/trails, kids will be able to walk to the Jack London Elementary and Piner Olivet Charter Middle school. And don’t forget the North Village club community center with pool gym etc.

The homes are priced in the low $400K range, should you be looking for a new home: there is lots of value that come with these homes. Tell them Mirjam de Rijk sent you and say hi to Stan and Juan.

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Yesterday’s Wine club party at Seghesio Winery in Healdsburg was great, 400 pounds of crawfish was flown in from New Orleans (Peter’s wife comes from New Orleans) and that was served cajun style with red potatoes, corn and sausage. It came with Gumbo, that was absolutely the best I had.Last time I mentioned the 2004 Venom, a Sangiovese from Rattle snake hill (sold to members only), this time I need to tell you about Defiant, a new wine that will come out next year. Peter shared some of it to sample: it is still very young but already delicious and my expectations are extremely high for when it come out next year. It’s a mix from some Italian vines, will have to ask again what’s in it since I did not write it down.

Oh, Seghesio is also a great place for a picnic: enjoy you picnic with a great glass of wine while enjoying a nice game of Bocce. It doesn’t come better than that: Sonoma County living at it’s best!

Have a great day!

Mirjam (707-486-2638)