Source: The New York Times
California has a severe lack of affordable homes and apartments for middle-class families. The median cost of a home in the state has surged to $500,000—double the national cost.
A booming economy, home construction, and apartments that haven’t kept up with demand have all fueled a housing crisis throughout the state. Home prices in Los Angeles, San Francisco, San Jose, and San Diego have surged as much as 75 percent over the past five years alone.
Homelessness in California is also on the rise. In Silicon Valley, lines of parked recreational vehicles can be found with people living inside them. In Los Angeles, some local residents are reportedly installing makeshift kitchens and living in vans within quiet neighborhoods.
The state has introduced 130 housing measures this year. Among one of the most recent actions, the Senate approved a bill to crack down on communities that have delayed or derailed housing construction proposals. The bill would restrict the ability to use zoning, environmental, and procedural laws to kill projects that may be considered “out of character” with the neighborhood. The bill is expected to be voted on again later this summer.
Read the full story
Wednesday, February 21, 2018
Wednesday, February 14, 2018
How to dump private mortgage insurance ASAP
Source: Bankrate.com
If you bought a house with a down payment of less than 20 percent, your lender required you to buy mortgage insurance. The same goes if you refinanced with less than 20 percent equity. Private mortgage insurance is expensive, and you can remove it after you have met some conditions. Although you can cancel private mortgage insurance, you cannot cancel Federal Housing Administration insurance. You can get rid of FHA insurance by refinancing into a non-FHA-insured loan. There are steps you can take to cancel mortgage insurance sooner or strengthen your negotiating position such as refinancing, getting a new appraisal, prepaying on your loan, or remodeling.
Read the full story
If you bought a house with a down payment of less than 20 percent, your lender required you to buy mortgage insurance. The same goes if you refinanced with less than 20 percent equity. Private mortgage insurance is expensive, and you can remove it after you have met some conditions. Although you can cancel private mortgage insurance, you cannot cancel Federal Housing Administration insurance. You can get rid of FHA insurance by refinancing into a non-FHA-insured loan. There are steps you can take to cancel mortgage insurance sooner or strengthen your negotiating position such as refinancing, getting a new appraisal, prepaying on your loan, or remodeling.
Read the full story
Wednesday, February 7, 2018
First-year mistakes new owners make
Source: House Logic
Homeowners can make a lot of mistakes during that first year in homeownership, especially when eagerness can sometimes lead to ignorance. HouseLogic recently featured several of the most common and costly missteps homeowners most often make in their first year, including:
Always going with the lowest bid - Homeowners may be smart about gathering multiple bids when, say, that HVAC system needs repairs. But they may be tempted to always go with the lowest price. HouseLogic recommends ensuring that all bids include the same project scope. At times, one bid may be less expensive but may not include all of the actual cost or details of the project, or the contractor may lack the experience to do a good job.
Submitting small insurance claims - Owners shouldn’t be in a rush to submit an insurance claim every single time something goes wrong. Filing a claim or two, particularly over a short time, can prompt an increase to your premium.
Read the full story
Homeowners can make a lot of mistakes during that first year in homeownership, especially when eagerness can sometimes lead to ignorance. HouseLogic recently featured several of the most common and costly missteps homeowners most often make in their first year, including:
Always going with the lowest bid - Homeowners may be smart about gathering multiple bids when, say, that HVAC system needs repairs. But they may be tempted to always go with the lowest price. HouseLogic recommends ensuring that all bids include the same project scope. At times, one bid may be less expensive but may not include all of the actual cost or details of the project, or the contractor may lack the experience to do a good job.
Submitting small insurance claims - Owners shouldn’t be in a rush to submit an insurance claim every single time something goes wrong. Filing a claim or two, particularly over a short time, can prompt an increase to your premium.
Read the full story
Wednesday, January 31, 2018
Wednesday, January 24, 2018
Consumers vote for housing as top investment
Source: Bankrate.com
Consumers voted for real estate as their top long-term investment choice for a third year in a row, according to the latest Bankrate.com survey. No-risk cash investments came in second, and stocks came in third. Broken out by age group, younger adults divided their vote for the soundest long-term investments between real estate and cash at 30 percent each. Stocks trailed at 13 percent, behind gold. “Contrary to the notion that millennials don’t want to buy homes, their preference for real estate as a long-term investment is exceeded only by their counterparts in Gen X,” says Greg McBride, Bankrate’s chief financial analyst. Young adults split their vote evenly between real estate and cash (at 30 percent for each), with stocks trailing far behind (at 13 percent, behind gold). Compare that to baby boomers, who choose stocks second after real estate, with cash third.
Read the full story
Consumers voted for real estate as their top long-term investment choice for a third year in a row, according to the latest Bankrate.com survey. No-risk cash investments came in second, and stocks came in third. Broken out by age group, younger adults divided their vote for the soundest long-term investments between real estate and cash at 30 percent each. Stocks trailed at 13 percent, behind gold. “Contrary to the notion that millennials don’t want to buy homes, their preference for real estate as a long-term investment is exceeded only by their counterparts in Gen X,” says Greg McBride, Bankrate’s chief financial analyst. Young adults split their vote evenly between real estate and cash (at 30 percent for each), with stocks trailing far behind (at 13 percent, behind gold). Compare that to baby boomers, who choose stocks second after real estate, with cash third.
Read the full story
How high can Southern California home prices go?
Source: Orange County Register
For 62 straight months, Southern California home prices have gone in one direction. Up. Five years ago, you could snatch up a median-priced condo in Orange and Los Angeles counties for about $280,000, 76 percent less than today’s prices. A median-priced house cost $323,000 in L.A. County five years ago and $495,000 in O.C., about $260,000 less than today’s prices in both counties. Will prices keep rising or are they close to the top? Here’s what economists and industry analysts say about what the future holds for home prices in the region. Southern California home prices aren’t about to drop. In fact, they believe prices will keep rising for two more years, at least, and possibly longer. The market isn’t in a bubble — yet — although bubble talk is starting to “raise its ugly head” at cocktail parties, one economist said. Some analysts are saying Southern California home prices are showing signs of being overvalued. If you’re thinking about buying a home, now just might be the time to act — provided you don’t overextend yourself and you plan to live there awhile.
Read the full story
For 62 straight months, Southern California home prices have gone in one direction. Up. Five years ago, you could snatch up a median-priced condo in Orange and Los Angeles counties for about $280,000, 76 percent less than today’s prices. A median-priced house cost $323,000 in L.A. County five years ago and $495,000 in O.C., about $260,000 less than today’s prices in both counties. Will prices keep rising or are they close to the top? Here’s what economists and industry analysts say about what the future holds for home prices in the region. Southern California home prices aren’t about to drop. In fact, they believe prices will keep rising for two more years, at least, and possibly longer. The market isn’t in a bubble — yet — although bubble talk is starting to “raise its ugly head” at cocktail parties, one economist said. Some analysts are saying Southern California home prices are showing signs of being overvalued. If you’re thinking about buying a home, now just might be the time to act — provided you don’t overextend yourself and you plan to live there awhile.
Read the full story
Wednesday, January 17, 2018
How to know when to refinance
Source: Yahoo Finance
Is now the right time to refinance? If you’re a homeowner, it’s a question you’re bound to ask yourself at some point during the life of your mortgage.The short answer is … It depends on your specific situation and goals. There are a few reasons to refinance your mortgage– maybe interest rates have dropped since you took out your initial loan and you want to take advantage of the lower rate, or you want to shorten your loan’s term. For instance, if you have an adjustable-rate mortgage you might want to switch to a fixed-rate loan in order to lock in the lower interest rate.The good news is that mortgage rates are still near historic lows. The national average for a 30-year fixed mortgage is currently about 4%, according to Bankrate.com. But before you decide to take the plunge, you’ll want to ask yourself a few questions. First, do you own at least 20 percent of your home? Many banks won’t even consider refinancing until you do. Ask yourself how long you have left on your loan and how long you plan to stay in your home. If you have five years or more left on your mortgage and plan to live in your home for at least another three years, it may pay to spend the money and refinance now.
Read the full story
Is now the right time to refinance? If you’re a homeowner, it’s a question you’re bound to ask yourself at some point during the life of your mortgage.The short answer is … It depends on your specific situation and goals. There are a few reasons to refinance your mortgage– maybe interest rates have dropped since you took out your initial loan and you want to take advantage of the lower rate, or you want to shorten your loan’s term. For instance, if you have an adjustable-rate mortgage you might want to switch to a fixed-rate loan in order to lock in the lower interest rate.The good news is that mortgage rates are still near historic lows. The national average for a 30-year fixed mortgage is currently about 4%, according to Bankrate.com. But before you decide to take the plunge, you’ll want to ask yourself a few questions. First, do you own at least 20 percent of your home? Many banks won’t even consider refinancing until you do. Ask yourself how long you have left on your loan and how long you plan to stay in your home. If you have five years or more left on your mortgage and plan to live in your home for at least another three years, it may pay to spend the money and refinance now.
Read the full story
Subscribe to:
Posts (Atom)
Posts
