Interest Rate Changes to Be Aware of in 2018

Though interest rates have risen, the introduction of new lending programs and the loosening of lending guidelines mean now is a great time to buy or sell a home. 

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One of the most common questions we’re getting right now is how interest rates are affecting buyers and sellers in our market, so I’ve once again brought in our preferred lender Brandon Moss to shed some light on this topic. 

Interest rates have gone up by roughly 0.5% since the start of 2018, and they’re still sitting in the mid-4% range for 30-year fixed mortgages. Stocks have also continued to hit all-time highs, and the 10-year yield nearly reached 3%, which is the highest point it’s been in four years. 

According to Brandon, this means it’s a great time for buyers and sellers to get off the fence while affordability is at an all-time high. If you’re a seller, you can get top dollar now while buyers can still qualify for higher-priced homes and afford low interest rate payments.  

There have been some notable changes to conforming loans that are advantageous to buyers. Their guidelines have become more flexible, and their limit was raised from $634,000 to $679,000. This helps buyers qualify for higher loan amounts with less of a down payment and, due to rising prices in LA County, increases their purchasing power. 

It’s a great time for buyers and sellers to get off the fence.

If you’re a buyer, Fairway Mortgage is offering some new programs this year that you might be interested in, including programs designed for self-employed buyers who can’t show enough income to qualify, reduced documentation programs, and reduced down payment programs.

Though interest rates have gone up, the introduction of these new programs and the loosening of lending guidelines has opened up more doors for buyers and made now a great time to get a loan and buy a house.

“You’d be surprised what you might qualify for nowadays and how easy it might be to get a loan,” Brandon says.

If you have any lending questions for Brandon, you can call him at (818) 256-4330. If you have real estate questions for me or you’re thinking of buying or selling a home, feel free to give me a call or send me an email. I’d be happy to help you.

10 Terms First-Time Homebuyers Need to Know

Today, I want to share a list of the top 10 terms that all first-time homebuyers should understand.

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If you are buying a home for the first time, there are 10 important terms that you need to know: 1. Fixed-rate mortgage: This is a mortgage with a fixed-rate term. If you have an interest rate of 4.5%, you typically have a five-, 10-, 15-, or 30-year time period on your mortgage, and your interest rate won’t change unless you refinance. 2. Adjustable rate mortgage: This is the opposite of a fixed-rate mortgage. With the adjustable-rate mortgage, you’ll have a shorter term for your loan, maybe five to 10 years. Once that term concludes, your interest rate will adjust according to other interest rates charged by the bank. This can get confusing, so I always recommend that you talk to a lender if you want more clarification. 3. Pre-approval: This is different from a pre-qualification. When you’re pre-approved, that means you’ve talked to a lender and given them all of your paperwork, including tax documents, bank statements, your W-2, and other documents the lender may require so they can verify whether or not you are qualified to buy. If you make $10 an hour, you’re probably not qualified to buy a $1 million home. If you earn $1,000 an hour, then you probably are. 4. Conventional loans: These loans typically carry a 15- or 30-year time period. You generally need a 650 FICO score to qualify for a conventional loan and a 20% down payment. The average down payment for a first-time buyer is only about 5%, so if you don’t have 20% down or a high credit score, there are a lot of other loan programs out there. 5. FHA loan: This is a great loan for anyone who has gone through some credit dings. FHA stands for Federal Housing Administration, and with this loan, you can put down a minimum of 3.5%. You will have to carry mortgage insurance, but you can take that off later down the road.

Closing costs are usually 2% to 5% of the purchase price.

6. Appraisal: An appraisal is when a third-party company, working on behalf of the bank, analyzes your property and compares it to comparable properties within a certain radius. The home’s condition, style of the property, and lot size are just a few of the factors taken into consideration. If you offer $500,000 for the home and the appraisal comes in at $475,000, either the purchase price has to come down or you have to bring another $25,000 in cash to make the deal work. 7. Mortgage insurance: This type of insurance exists to protect the bank. If you don’t want mortgage insurance, you have to put at least 20% down. If you don’t put 20% down, you will get anywhere from 0.03% to 1.15% mortgage insurance tacked onto your rate. There are always ways around it and plenty of programs out there that don’t require mortgage insurance, so again, make sure you talk to your lender. 8. Closing costs: What you pay in closing costs depends on you and what third-party vendors you may have brought in for expenses such as escrow, title, lender fees, and inspections. Whatever it may be, you can expect closing costs to be between 2% to 5% of the purchase price. 9. Buying down the rate: If your credit score isn’t great or it’s not where you want it to be and you have a lot of cash on hand, then you have the opportunity to take a high interest rate and reduce it. You are literally paying to buy a better interest rate. 10. Escrow: This means that you are at the table and signing away. An escrow account is a locked account that holds the buyer’s deposit so the seller can’t pull it out and the buyer can’t spend it. It’s kept safe through non-conflicting instructions regarding the buyer and seller releasing that cash, and that’s usually when the deal ends. I hope you found this top 10 list helpful. If you have any questions about buying a house or real estate in general, just give me a call or send me an email. I would be happy to help you!

How Does the California Pool Safety Act Impact Real Estate Transactions?

How does the California Pool Safety Act affect the home buying process? Keith Morgan from Property Inspection Consultants is here to help me explain.

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I hope you all had a happy holiday season. Today, I’m joined by Keith Morgan from Property Inspection Consultants to discuss the California Pool Safety Act and how it affects buyers and sellers. 

These changes were made on October 11, 2011, when Governor Brown signed Senate Bill 442 into law. This law modifies the business professionals code as it applies to the home inspection profession. 

At this point, any time a home inspector conducts an inspection of a single-family residence that has a pool on the property, that inspector has to identify a certain number of pool safety access provisions. It doesn’t matter whether the home inspector conducts an investigation of the pool in addition to the home inspection or not. A minimum of two safety items must be included on the home inspection report in order to pass the general home inspection. 

This law is in place to prevent as many child drowning deaths as possible.

Here are seven possible safety items that could be included in the home inspection report: 

1. An enclosure that isolates the swimming pool or spa from the private single-family home, i.e., a fence or wall. 
2. Removable mesh fencing. 
3. An approved safety pool cover that prevents someone from entering the water. These are not the same as pool heating covers, which offer no safety protection. 
4. Exit alarms on the private single-family home’s doors that provide direct access to the swimming pool or spa. A typical home security system does satisfy this requirement. 
5. A self-closing, self-latching device with a release mechanism placed no lower than 54 inches above the floor on the doors providing direct access to the swimming pool or spa. 
6. An alarm that, when placed in a swimming pool or spa, will sound upon detection of an accidental or unauthorized entrance into the water. 
7. Other means of protection verified by ASTM or the American Society of Mechanical Engineers (ASME). 

It is the inspector’s job to point out these items and let you know which safety features are available for the pool. 

If you are a homebuyer looking at properties with pools, make sure that you work with an inspector who is aware of and conversant with the new requirements. This law does not require you to make corrections or upgrades. You simply need to be aware of the pool’s safety features. 

At the end of the day, the California Pool Safety Act is there to prevent as many child-drowning deaths as possible. 

Thank you to Keith for stopping by today. If you have any questions for him, you can give him a call at (818) 363-6670.

As always, if you have any real estate questions, just give me a call or send me an email. I would be happy to help you!

Is It Better to Build or Buy?

When it comes to choosing between buying and building a home or between buying a new or resale home, there are a lot of variables to consider.

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Is it better to buy or build a house? Or is it better to buy a new or existing home?

One of the pros of building a house from scratch is that you’re allowed to pick out the details of the home, such as the floor plan and other certain amenities. 

Personally, however, I always think it’s a little more expensive to build a home, and I wouldn’t look forward to picking out the thousands of details necessary to build a house. These include all the building codes and regulations from the city that you have to deal with. 

More importantly, with all the recent natural disasters in Florida, Texas, and California, I believe that hiring people to build a home will be more expensive than normal. Due to the shortage of supplies created by these natural disasters, the cost of materials will be more expensive as well.

I wouldn’t look forward to picking out the thousands of details necessary to build a house.

When it comes to buying a new or existing home, buying new construction is like buying a new car because it’s a brand-new property. No one has ever lived in it before, and projects like landscaping will need to be done after the fact. If you can find a similar home that’s maybe three to 10 years old in a similar neighborhood, you’ll find that projects like that have been taken care of. 

When buying a brand-new property, landscaping can cost anywhere from $25,000 to $75,000. Adding upgrades to the home itself can also cost you thousands of dollars. If you buy a resale property, there’s a good chance those upgrades will already have been done. Because that resale home isn’t brand new, the list price will also be lower too.

There are a lot of variables to consider, so what’s best for you depends on what your specific needs are and what you’re willing to do and pay for. 

If you’re trying to weigh the options of each of these scenarios or you have any other real estate questions, feel free to give us a call or shoot us an email. Until then, have a happy new year and we look forward to seeing you again in 2018!

Is Now a Good Time to Take Advantage of Current Interest Rates?

Interest rates are low right now, but they won’t stay that way for long. Whether you’re a buyer or a seller, take advantage of them while you still can.

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What are interest rates like in our current market?

According to Brandon Moss, our preferred lender, 2017 has been a great year for interest rates. We’ve seen them hover just above historic lows the entire year. 30-year fixed rates are still right around 4%, and fixed-rate adjustable-rate mortgages (or ARMs) are in the mid-to-lower 3% range.

However, the Federal Reserve is scheduled to meet this December, and there is a very good chance they’ll hike up interest rates. Because of this, Brandon suggests that all buyers and sellers get out there and take advantage of these rates while you still can. 

Right now is a great time to be a seller,  because more and more buyers are jumping off the fence and entering the market. It’s also a great time to be a buyer because you won’t face as much competition due to the season. 

You don’t need a large down payment to get into a property these days.

Another question we often get from buyers is, “Do I really have to come in with 20% down?”

No, you do not. There are a lot of great mortgage programs out there that don’t require you to put 20% down. If you’re a first-time homebuyer, you can put as little as 3% down. If you’re a move-up buyer buying a jumbo property, you can put down just 5% or 10%. Even investors can get in with just 15%. You don’t need a large down payment to get into a property these days. 

If you have any more questions about loan programs, feel free to give Brandon a call at (818) 256-4330. If you have any other questions about our Southern California market, don’t hesitate to give me a call or send me an email. I’d be glad to help!

What Is a Pocket Listing?

Pocket listings can relieve a great deal of stress from the seller. However, there are several things to consider before listing in this way.

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Today I wanted to talk to you a little bit about pocket listings. A pocket listing is one that the seller intends to sell but hasn’t yet officially listed or put into the MLS. 

Therefore, these listings won’t be found anywhere online. When it comes to a listing like this, the seller has often met with an agent who they’ve asked to find them a buyer. 

Pocket listings have their own set of advantages and disadvantages. One of the biggest advantages is that you can maintain your privacy throughout the sale.

Since pocket listings aren’t readily available to just anyone in the public, you have a lot more control over who sees your property and who sees your home. 

Pocket listings can work very well depending on your circumstances.

This also means you have fewer buyers and fewer showings to deal with. Days on market is much less of an issue for this kind of listing since they aren’t on the MLS. 

When my team and I work with these kinds of properties, we put them on something called the off-market property list. As soon as a person tells us they’re interested, we do our best to match the listing with homebuyers who we’re working with. 

This has been very successful for us and many of our sellers. However, there are clear disadvantages to pocket listings. While fewer buyers do mean less stress, it also means that certain benefits associated with higher exposure are greatly reduced. 

With pocket listings, our full, aggressive marketing package doesn’t work. These kind of listings naturally see less activity and foot traffic. 

Ultimately, pocket listings can work very well depending on your circumstances. The decision whether or not to list in this way is really up to the seller—as only they can truly know and understand their individual situation. 

If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.

3 Questions You Should Ask Yourself Before Listing on Airbnb

Are you thinking about buying or listing an Airbnb property? There are a few questions you should ask yourself first.

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You’ve probably heard of the property website Airbnb before. You may have even stayed in an Airbnb property before. My own family has stayed in Airbnb properties all over the world. It’s a great way for homeowners and investors to make a little bit of extra money, and more buyers are purchasing properties lately to use for this sole purpose.

If you’re thinking of listing your current home on Airbnb or buying a rental property to use as a rental property for Airbnb, there are a few questions you should ask yourself to know if you’re making the right choice.

First, have you picked a good location? As the first rule of real estate goes: location, location, location. In order to be a successful investment, demand for lodging has to exist in your specified area. It wouldn’t make sense to have an Airbnb property in a place that has very little tourism. Your property should be close to attractions and transportation. A good view helps, as well. 

For your Airbnb to be a successful investment, it has to be in the right area.

Second, how much time and energy are you willing to invest? Airbnb properties don’t rent themselves. You’re expected to provide a clean space, and guests will expect certain things like clean towels, tourist information, and a way to reach you in case they have any problems. Hosting can be difficult and time consuming. You can hire a service to remove some of that burden, but that doesn’t come cheap. 

Third, are you hosting Airbnb by the book? In places like New York and San Diego, they’re cracking down on properties because they’re greatly affecting the hospitality industry. Laws and regulations are always changing, so you need to make sure you’re following all of the rules and paying all necessary taxes in your area. 

Renting out your place on Airbnb may not be a full-time business endeavor, but make no mistake—it requires effort and attention to detail. Consider that before buying or renting a property on Airbnb. 

If you have any questions about Airbnb properties or want to take a look at some Airbnb properties on the market, feel free to give us a call or shoot us an email. We look forward to helping you.

What Are Some Important Tips for Purchasing a Fixer Upper?

Buying a fixer upper can be a stressful task, but there are certain tips you can follow to make sure the process goes smoothly.

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We’ve all seen those shows on HGTV where a lovable team of construction-savvy husbands and wives, fathers and sons, or siblings and business partners buy a rundown house and in 30 minutes of TV time turn it into a masterpiece and create tens of thousands of dollars of instant equity. 

While that scenario is certainly possible, these shows gloss over some of the most stressful parts of actually buying a fixer upper. Lots of people overlook the expenses that are involved and the expertise needed to handle so many different facets of the process. In the end, though, the allure of a fixer upper can be irresistible. If you budget your renovations right, you can get a steal of a deal on a rundown house and customize it in any way you desire. 

Do your homework before embarking on a fixer upper.

Here are some tips to be mindful of if you’re going down the fixer upper path so you can be prepared for what’s ahead:

1. Get a home inspection. This will help you find out what you’re in for behind the scenes, such as the plumbing system, electrical framework, and the HVAC units. You may have been able to turn on the water and flip on the lights when you made the offer, but the electrical system could be a recall, or the HVAC might be on its last leg. Older homes might not be up to code with electrical systems and could have dangerous materials in them. If you don’t know about these things up front and deal with them, it can come back to bite you. 
2. Bring in an architect and/or contractor. Many buyers of fixer uppers want to make big structural changes, and an architect or contractor can help you with this kind of thing. They can estimate the cost involved and help with design elements. Do your research when hiring contractors—the cheapest is rarely the best option. A good contractor can give you an honest estimate for your projects and help you stay on schedule.
3. Check the zoning. This isn’t the most fun process, and you rarely see it on TV, but zoning can go a long way in determining what is and what isn’t permitted to do on a property. Zoning laws vary from city to city, but you can do a lot of research about it online. 
4. Look into some tax incentives. Depending on the area you live in, you might be eligible for a tax abatement or a tax credit for improving a property’s value. 

A fixer upper can be a long and stressful project, but if you have the patience to research what you need to research, you can find yourself in your own custom dream home with a good amount of free instant equity. 

If you’re considering buying a fixer upper or have any other questions, don’t hesitate give us a call. We’d be happy to help you.

Why Are Home Warranties Important for Buyers?

What are home warranties? How important are they to home buyers, really?

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What are home warranties? Are they really important for buyers? 

A home warranty is essentially an insurance policy that protects your home from problems with electrical wiring, plumbing, appliances, etc. Even if no issues are spotted during your initial home inspection, complications can arise unexpectedly, and they often do. In fact, it always seems like something goes wrong right after a buyer closes escrow. The home warranty can help you with that. 

Generally speaking, home warranties last for one year. The cost of the home warranty really depends on the type and size of the property, but typically range from $350 to $700. Adding extra features, such as a pool, spa, roof, or refrigerator, can increase the cost of the home warranty as well. Prices may vary depending on what you want to be covered. 

Home warranties also provide peace of mind for homeowners. Typically, we ask the seller to pay for the home warranty as part of our offer. That is negotiable, but when you buy a home, the seller usually pays for the one-year home warranty. 

A home warranty will give you peace of mind.

It is important to keep in mind that home warranties are not catch-all insurance policies. They do not cover everything, and there is a service fee attached to each claim. So, every time you call someone from the home warranty company to come out, they do charge you a $65 to $90 fee each time their contractor has to inspect your property. 

Still, home warranties do offer peace of mind to new homeowners, even if they are not a perfect solution to every problem you may encounter. You do need to read the fine print. That said, home warranties have replaced many water heaters over the years, so it is important to get one when you buy a home. 

If you have any other questions about home warranties or about the real estate market in general, give me a call or send me an email. I would be happy to help you!

The True Cost of a Southern California Home

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What are the hidden costs in a home purchase? Once you've had your offer accepted, there are additional fees you are responsible for.

First, there are home inspections. A lot of buyers forget about the fact that they are expected to pay for the home inspection out-of-pocket. Sometimes there are additional auxiliary inspections, such as main sewer line or chimney inspections. All told, inspections can run from $1,000 to $2,000, so make sure you have that money in your savings account. These inspections are not mandatory, but we highly recommend having them done. A home inspection can save you tens of thousands of dollars in repairs down the line.

Buyers also need money for home maintenance upon close of escrow. Home maintenance includes cleaning, yard care, or pressure washing, just to name a few. These can add up quickly. In fact, the National Association of Realtors estimates that American homeowners pay an average of $3,500 a year to outsource home maintenance. Of course, it's cheaper to do it yourself, but you will still need some money. We recommend that our clients ask the seller how much gardening or pool services cost so you can factor it into your monthly payments. 

When buying a home, don't forget about utilities.  When you buy a home, ask the seller for a copy of the last two utility bills. If you can, get the bills for peak months in the summer and winter so you can plan ahead.

Finally, there are HOA and escrow fees that are the buyer's responsibility. As you can see, there are a lot of other costs to take into account when purchasing a home.

If you have any questions about today's video or real estate in general, give us a call or send us an email. We would be happy to help you!

Now Is a Good Time to Be a Move-Up Buyer in Southern California

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Now is a great time to become a move-up buyer. Here's why.

According to the National Association of Realtors, Generation Y and Millennials are 34% of the entire buyer pool. People between 35 and 49 years old, aka Generation X, make up 27% of the buyer pool. People between ages 50 and 68 make up 29% of buyers while buyers aged 69 years and up are 10% of the market.

Overall, 88% of recent buyers financed their home purchases. When you look at Generation Y, 97% of buyers financed their home. The Silent Generation, or buyers aged 69 and older, only saw 61% finance home purchases.

When it comes to a home purchase, the National Association of Realtors says that younger buyers finance larger shares. The typical Generation Y down payment is 7% while the Generation X down payment is 10% and the Silent Generation down payment is usually 22%.

Buyers have a variety of sources for a down payment on a home. Younger buyers typically draw from savings, while older buyers use proceeds from the sale of a previous home. Younger buyers are more likely to use a gift or loan from a friend for their down payment.

What does this all mean? Since we're seeing a large group of Millennials buying homes, it makes sense for you to move up into a new property. 2015 was the first year where we saw a lot of contingent sales go through without any issues. Sellers are beginning to accept contingencies easier than in years past.

If you're a move-up buyer looking for something bigger, this is the time to buy. Interest rates are low right now, but they are expected to rise in 2016. With so many Millennials looking for their first homes, now is a good time to sell yours and move up into your dream house.

If you have any questions, give me a call or send me an email. I would be happy to help you!

3 Important Questions When Hiring a Home Inspector

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Today we'll be speaking about some very important questions that you need to be asking your home inspector when you have them come out and inspect your property, or your potential property. 

To help us with this, we have my preferred vendor: Keith Morgan of Property Inspection Consultants.

1. Look at their credentials. There is no such thing as a licensed home inspector in the state of California, so you want to look for the California Real Estate Inspection Association. This places credentials on inspectors after a rigorous exam. This is the same exam that home inspectors nationwide must take, and only 50% of people pass it.
2. Review their experience. Everybody has to start out somewhere, but you're better off picking a more experienced inspector. They will be more familiar with structures, as well as different builders in the area.
3. Pick an inspector that communicates well. Written reports are required in California, so you need to have someone who can communicate well in writing and in person. There are many things that you'll have to discuss with the inspector in order to determine if the house is desirable or not, so pick someone that you're comfortable with and able to communicate with.

If you need any more information about this subject, or if you require any other sort of real estate assistance in Porter Ranch, please don't hesitate to contact me!

Are You Ready for the New TRID Changes this October?

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There are going to be some big changes this year if you're looking to finance a home later this year. In order to discuss these changes, I've invited Brandon Moss with Prime Lending. 

The Consumer Finance Protection Board has instituted some changes that are going to change how buyers must go through the lending process. They have introduced a revamp of the disclosure process called the TILA-RESPA Integrated Disclosure. 

The Good Faith Estimate is being replaced by a form called the Loan Estimate, and the estimated HUD-1 Closing Settlement is being replaced by the Closer Disclosure. These forms are much more consumer-friendly, so it's a good thing for the consumer out there, but you need to be prepared ahead of time in order to reap the benefits.

There are some new rules and regulations at play, and one important one is that the new loan estimate must be issued three days after the initial application date. There is also a three day waiting period between when the closing disclosure is issued and the closing documents are drafted. In the past you could get a final approval on the loan the same day you applied, but now there is a three-day waiting period. 

This mean's that you'll need to take care of Homeowner's Association fees as well as insurance payments ahead of time in order to avoid delays in the closing process. 

If there are any interest rate changes or loan amount changes, your three day waiting period will start over, and this is why you need to be prepared up front.

If you have any questions regarding these new guidelines that will be affecting us on October 1st, 2015, please don't hesitate to contact me. I'd be happy to help you!

Are You Prepared for Escrow?

There are many great San Fernando Valley area homes for sale. Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call me at 818-720-9922 for a FREE home buying or selling consultation to answer any of your real estate questions.

Just because you've made it to escrow doesn't mean the deal is done. Many people are unaware of the handful of things that could go wrong during this stage. Today, we're here to share how to avoid them.

So, you have a fully executed contract and have opened up escrow - now what? Lately, we've seen an increasing number of homes fall out of escrow once a deal has been accepted, which is a frustrating experience for the buyer and seller alike. 

This can happen for several reasons - the dollar value of the transaction, physical inspections, buyer's nerves, and loan issues are just a few examples. We typically tell our seller clients that they need to treat everyone like they're a customer. Even if a buyer throws a really lowball offer at you, it's important to remain respectful because the buyer will often come up in price.

There are two BIG issues that may keep the sale from going through once you've reached escrow: the home inspection and the loan. Something usually comes up during the inspection, and as a seller, you need to realize it's understandable for a buyer to have a problem with a defect and be prepared to renegotiate if necessary. As a buyer, you need to realize that no house is perfect and that the house you're living in now probably has defects of its own. 

Whether you're buying or selling, keep in mind that it's not uncommon for there to be bumps in the road during escrow. When they inevitably come up, think them through, don't make a quick judgement, and keep the bigger picture in mind. Take a deep breath, a step back, and make a smart decision for everyone involved.

Here at the Scott Himelstein Group, we're really good at coaching our clients through situations like this, as well as negotiating through these mitigating circumstances so escrow closes with as few complexities as possible.

If you have any questions about the process, or would like real estate assistance of any kind, don't hesitate to give us a call or shoot us an email. We would love to hear from you! 

Thanks, and have a great day! 

6 Pitfalls Most Home Buyers Fall Victim To

There are many great San Fernando Valley area homes for sale. Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call me at 818-720-9922 for a FREE home buying or selling consultation to answer any of your real estate questions.

Today, we share some of the pitfalls you'll face after being pre-approved, and how you can avoid them to ensure a smooth buying experience.

Here are a few things you need to keep in mind after being pre-approved:

1. Don't make any major purchases: Whether it's a car, boat, jewelry, furniture, or other expensive items, these are the kind of purchases you need to avoid when applying for a loan. If the lender sees a huge purchase, they will be forced to rerun your credit, which could be detrimental to your pre-approval. 
2. Don't apply for credit or other loans: This seems obvious, but you need to avoid doing this for the same reasons mentioned above.
3. Don't pay off any charges or collections: Unless specifically notified by your lender to do so, do not pay off any charges until after your purchase is complete.
4. Don't make any changes to your credit profile: A lot of people have an online credit service that monitors their credit. You don't want to make any changes to this profile during the approval process. Changing simple things like your address and your name could change your pre-approval status.
5. Don't change bank accounts: If you do, your lender will have to validate why you changed from one account to another. If this is something you want to do, make sure you wait until after you have closed escrow.
6. Don't make unusual deposits: Don't move large sums of money from one account to another, or deposit large amounts of money into your account, until after the deal is done. 

Thanks again for watching our video blog! We want to wish you a happy holiday season, and we look forward to seeing you next year!

Does it Make Sense to Invest in Solar?

There are many great San Fernando Valley area homes for sale. Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call me at 818-720-9922 for a FREE home buying or selling consultation to answer any of your real estate questions.

Many of our clients ask us whether solar panels are worth the investment. It really depends - there are a few things to consider if you are thinking about investing in solar technology for your home:

• Buying: If you buy solar panels for your home, it's going to take a long time before you see a return on your investment. If you plan on moving within the next 10 years, you're not going to save any money on your electricity bill. You have to live in your home a long time before the $200 dollars a month you save will pay off the panels.

• Leasing: Leasing the panels can create many problems when you try to sell your home because the buyer will have to qualify for the lease payment. The buyer loses some of their purchasing power because it will have to be factored into their loan approval.

If you're looking to get solar panels simply to make an environmentally friendly decision, there's no reason not to. However, if you're trying to save money on your electric bill, it will take a very long time before you'll see a return on your investment.

If you have any further questions about solar, or simply have a general real estate question, please give us a call. We look forward to hearing from you soon!

Who Can You Trust When it Comes to Real Estate?

There are many great San Fernando Valley area homes for sale. Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call me at 818-720-9922 for a FREE home buying or selling consultation to answer any of your real estate questions.

As you've probably heard, Zillow has merged with Trulia in a $3.5 billion deal. With over 140 million unique visitors in the second quarter of this year alone, the two biggest home search sites have joined forces. Data shows that 94% of people start their home search online before calling an agent. We don't have a problem with this because these sites provide some pretty good information - including tax records, sales data, schools, pictures of available homes, etc. We understand that times are changing, that people are going to use these convenient sites at some point during their real estate experience.

One thing that hasn't changed, however, is the importance of working with a real estate professional for the smoothest experience possible. Trulia and Zillow can't help you negotiate, get your offer accepted, understand the terms of your purchase agreement, or get the best deal in your transaction. If you want a personalized and successful real estate experience, you need to work with an agent - that will never change.

If you want to be as knowledgeable as possible so that the process is smooth and stress-free, don't hesitate to give us a call for any help you might need. We are always available to chat and would love to give you a hand. Thanks, and have a great week!