John Sisson, Realtor®, Salesperson,
The Scoop is in! It's a short youtube video where local experts discuss the recent activity, trends, and events of interest as relates to our residential real estate market. Here's the May 2015 issue;|
Get informed, get
video courtesy of YouTube and Greater San Diego Association of Realtors®.
DataQuick through their site DQNews.com provides statistical information (among other things) regarding sales in this area for the past month and in comparison to a year ago. For sales trends by zipcode for detached homes and/or condominiums, see the |
Articles this page
|Distressed homeownership resources||Discounted appliances|
|9 Reasons to buy now||Battery recycling|
|Credit recovery after foreclosure||San Diego water conservation 2015|
''Hi from Bruce. We still love the house. The yard is a lot of work and a lot of weeds, but we still love it. Rochelle planted a lot of vegetables. The chard did so well that she needed to cut it down because it was taking over too much. Then when it grew back, it got aphids. The tomatoes got slugs. We just got some apples off the tree. They tasted great, but they were a lot of money for those six little apples.''
''It turns out that our water heater was 20 years old. We just bought a new water heater. Wow, everything is so expensive now. Anyway, I thought this would be a good one to add to your website since water heaters could be a big concern for homeowners. Let me know if it gets added. I am smiling already just thinking of it.''Fast Water Heater, 1-800-think-fast, fastwaterheater.com
''We bought the water heater at Sears, and the sales clerk chose FAST for our installation, as they always give good service for her customers. Everyone there was friendly. They arrived EARLY after calling to ask if it was okay to start early. Chad was our installer. He explained everything he needed to do based on ''Code'' and gave us options all along the way. Everyone went the extra distance to make us happy. I would give them highest marks and I would not deal with anyone else for my water heater needs.''
Oftentimes a home seller will offer a home warranty plan as part of the deal in the selling of a home. These plans typically guarantee some amount of service and cost coverage in the event of failure of the newly purchased home's appliances, air conditioner, heater, plumbing, roof, whatever was covered in the home warranty plan policy. American Home Shield, one home warranty policy provider company, offers fair discounts on kitchen appliances to those who have attained one of their home warranty policies. Policy holders might by buyers who wrote in that the AHS policy be provided by the seller as part of the sale, or sellers who buy a seller's policy to cover their home during the sale period.
See this PDF entitled AHSappliance.pdf for more information.
In this section I'll list different articles, programs and options pertaining to mortgage assistance, re-negotiation, etc.
#1: The U.S. Treasury Department has approved CALHFA's plan to use nearly 2 billion dollars in federal funding to help California families who are struggling to pay their mortgages.
#2: Fannie Mae's site isKnow Your Options.com, a general homeowner and buyer assistance site which includes a free, interactive multi-media tool designed to educate homeowners about their options to avoid foreclosure, empower them to make informed decisions and motivate them to take action and seek help in 2015.
This site explains the options of Refinancing, Repayment Plan, Forebearance, Modification, and Deed-for Lease.
1. Prices are good.
2. Mortgages rates are low.
3. Loan requirements are softening.
4. FHA loans make it easier for 1st timers.
5. Buying around the holidays lessens competition.
6. Rates will rise (5.1% by 2016?).
7. Inventory will decrease.
8. Buying can be cheaper than renting.
9. You invest in yourself and build up equity.
I've bought a C/D/AA/AAA charger and a 9v. charger and have rechargeable batteries of all of those types. You can use them with abandon, leave their devices on until they're dead as doornails, and then just take the batteries out and recharge them. Once you buy the rechargeables it will be years before you'll have to buy anymore. Use rechargeables, save money, save the planet. Buy American-made goods wherever and whenever possible, save our country, be patriotic, quit supporting countries which push drugs and usurp human rights. Go on the internet, find American companies, call them up and ask them where their stuff is from.
At the bottom of this City of San Diego page there are remarks about where non-San Diego City residents can dispose of their batteries.
I. Conventional (Fannie Mae/Freddie Mac) guidelines have changed with respect to obtaining a new mortgage after a bankruptcy, pre-foreclosure/short sale or full foreclosure.The major change is that if the client has had a full foreclosure (not a short sale or deed in-lieu), they may not obtain a new conventional loan for 7 years.If the borrower can prove extenuating circumstances, they may be able to obtain a new mortgage in 3 years.
Here are the full details:
Effective for new registrations on or after September 10, 2010, the requirements for re-established credit after a bankruptcy, foreclosure, pre-foreclosure, deed-in-lieu, or short sale have been updated to align with GSE requirements and current market conditions. These guidelines will apply to all conforming loans. Non-conforming loans will follow these guidelines unless stated differently within the product description.
Chapter 13 Bankruptcy guidelines are being enhanced to allow a recovery period of 2 years after a dismissal or discharge when extenuating circumstances are documented. Previously, there was no reduced recovery period for extenuating circumstances.
Enhanced guidelines for pre-foreclosure, short sale, and deed-in-lieu of foreclosure now allow a shorter recovery period based on the Loan-to-Value ratio (LTV) of the loan. Previously, a deed-in-lieu required a recovery period of 4 years.
Foreclosure guidelines have been updated to reflect the requirement for a full 7-year recovery period. Previous guidelines allowed a 5-year recovery period. The recovery period with documented extenuating circumstances remains unchanged at 3 years. For help and expertise re/ foreclosure recovery call:
First Capital Mortgage
619-296-9055 - Office
619-807-4584 - Cell
619-296-5831 - Fax
What is a FICO Score?
A FICO score is a number representing the creditworthiness of a person or the likelihood that person will pay his or her debts. The three credit reporting agencies, Equifax, Experian, and TransUnion, collect data about consumers in order to compile credit reports. The credit agencies use FICO software to generate FICO scores, which are then sold to lenders. Actually FICO is just one of the several credit scoring systems available. The Fair Isaac Corporation (known as FICO) created the first credit scoring system in 1958. Others are NextGen, VantageScore, and the CE Score. They all evaluate the creditworthiness of a borrower. However, FICO appears to be the most-used credit scoring system. A FICO score is between 300 and 850. The higher the score, the better the credit.
Each consumer has three credit scores at any given time for any given scoring model because the three credit agencies have their own databases, gather reports from different creditors, and receive information from creditors at different times.
What factors go into determining a FICO score?
Credit scores are designed to measure the risk of default by taking into account various factors in a person's financial history. Although the exact formulas for calculating credit scores are closely-guarded secrets, FICO has disclosed the following components and the approximate weighted contribution of each:
35% -- Payment History - Late payments on bills, such as a mortgage, credit card or automobile loan, can cause a consumer's FICO score to drop. Paying bills as agreed over time will improve a consumer's FICO score.
30% -- Credit Utilization - The ratio of current revolving debt (such as credit card balances) to the total available revolving credit (credit limits). Consumers can improve their FICO scores by paying off debt and lowering their utilization ratio. The closing of existing revolving accounts will typically adversely affect this ratio and therefore have a negative impact on the FICO score.
15% -- Length of Credit History - As a consumer's credit history ages, assuming the consumer pays his or her bills, it can have a positive impact on the FICO score.
10% --Types of Credit Used (installment, revolving, consumer finance) - Consumers can benefit by having a history of managing different types of credit.
10%---Recent search for credit and/or amount of credit obtained recently - Multiple credit inquiries for a consumer seeking to open new credit, such as credit cards, retail store accounts, and personal loans, can hurt an individual's score. Applying for lots of new credit in a short period of time is also viewed as risky and can cause a drop in an individual's score. However, persons shopping for a mortgage or auto loan over a short period will likely not experience a decrease in their scores as a result of these types of inquiries. (Source: http://www.myfico.com/CreditEducation/WhatsInYourScore.aspx)
How does a mortgage modification affect my FICO score?
FICOš credit scores are calculated from the information in consumer credit reports. Whether a loan modification affects the borrower's FICO score depends on whether and how the lender chooses to report the event to the credit bureau, as well as on the person's overall credit profile. If a lender indicates to a credit bureau that the consumer has not made payments on a mortgage as originally agreed, that information on the consumer's credit report could cause the consumer's FICO score to decrease or it could have little to no impact on the score. (Source: http://www.myfico.com/crediteducation/questions/Mortgage_Modification.aspx)
How does a bankruptcy affect my FICO score?
A bankruptcy is considered a very negative event regardless of the type. A bankruptcy is factored into your FICOš score until it is removed from your credit report. As long as the bankruptcy is listed on your credit report, it will be factored into your score. If you are considering bankruptcy as an alternative to foreclosure, keep in mind that it may have a greater impact on your FICO score. Typically, you can expect bankruptcies to remain on your credit report, from the date filed, as follows:
(1) Chapter 11 and Chapter 7 bankruptcies up to 10 years.
(2) Completed Chapter 13 bankruptcies up to 7 years.
These time periods refer to the public record item associated with filing for bankruptcy. All of the individual accounts included in the bankruptcy should be removed from your credit report after 7 years. (Source: http://www.myfico.com/crediteducation/Questions/Bankruptcy-Types.aspx)
If you plan to file a bankruptcy, here are some things you should do to make sure your creditors are accurately reporting the bankruptcy filing:
(1) Check your credit report to ensure that accounts that were not part of the bankruptcy filing are not being reported with a bankruptcy status.
(2) Make sure your bankruptcy is removed as soon as it is eligible to be ''purged'' from your credit report.
. After a bankruptcy has been filed, the sooner you begin re-establishing credit in good standing, the sooner you can expect your FICO score to rebound. A good practice is to obtain a secured credit card and continually make all of your payments on time. As time passes and the impact of the bankruptcy lessens, you might apply for a traditional credit card and also continually make all of your payments on time. (Source: http://www.myfico.com/crediteducation/questions/Bankruptcy-Reach.aspx)
How does a short sale, deed-in-lieu-of foreclosure. or a foreclosure affect my FICO score?
The alternatives to foreclosure, such as a deed-in-lieu of foreclosure or a short sale, aren't any better as far as a FICO score is concerned.
The common alternatives to foreclosure, such as short sales, and deeds-in-lieu of foreclosure are all ''not paid as agreed'' accounts, and considered the same by your FICO score. This is not to say that these may not be better options for you from a financial or tax perspective, just that they will be considered no better or worse for your FICO score.
If you are considering bankruptcy as an alternative to foreclosure, that may have a greater impact on your FICO score. While a foreclosure is a single account that you default on, declaring bankruptcy has the opportunity to affect multiple accounts and therefore has potential to have a greater negative impact on your FICO score. (Source: http://www.myfico.com/CreditEducation/Questions/foreclosure-alternatives-fico-score.aspx)
What won't affect my FICO score?
The following information is not considered by the FICO scoring formula:
. Your race, color, religion, national origin, sex, or marital status
. Your age
. Your salary, occupation, title, employer, date employed, or employment history
. Where you live
. Any interest rate being charged on a particular credit card or other account
. Certain types of inquiries (such as promotional, account review, insurance or employment-related inquiries)
. Credit counseling
. Any information not found in your credit report
. Any information that is not proven to be predictive of future credit performance
Where can I get more information?
This article is just one of the many legal publications and services offered by C.A.R. to its members. For a complete listing of C.A.R.'s legal products and services, please visit C.A.R. Online at www.car.org.
Jerry Brown, dba the State of California, has recently passed some bills designed to conserve water during these times of drought, and in response the City of San Diego has put into effect as of June 1, 2015 their mandatory water rationing plan, so it might be worth it to look into non-traditional, water-wise landscaping.
The San Diego County Water Authority (SDCWA) offers a number of water-wise incentives and programs for homeowners.