Many homeowners wonder how they can lower their mortgage that reflects current market conditions.  A Short Refinance is the solution.  A Short Refinance is simply as follows, straight from the guidelines:

The Short Pay Refinance is similar to a Short Sale with one major exception; the homeowner keeps their home! It is the same processes, along with the techniques used while negotiating a Short Sale or Loan Modification. Your broker will negotiate a settlement for a reduction of the principal loan balance on the current note. Once an acceptable settlement is reached a new loan is completed for the homeowner (thus the refinance portion of Short Pay Refinance.)

Both parties benefit from a Short Refinance; the homeowner reduced the principal amount owed (generally 95-97% of the current market value) as well as lower payments; the current lien holder actually nets an average of 10% more than they would with a Foreclosure or Short Sale so it is in their best interest to work out a settlement.

If you need help with your loan, we will gladly help you out. Call us at 310-295-9548 to get more information. Our friendly and experienced staff are waiting.

This week, mortgage rates continued to fall, indicating a drought in consumer spending, and the immense job losses nationwide.

According to Frank Nothaft from Freddie Mac, vice president and chief economist, the economy shrank by 0.3 percent in the third quarter.

Having the economy experiencing massive job losses, foreclosures, bankruptcies and financial distress, lenders have tightened their credit standards even further.

The Federal Reserve Senior Loan Officer survey from October states that about 70 percent of the banks raised their prime mortgage lending standards, and about 90 percent of the banks offering nontraditional mortgages also did the same.

With the economy in turmoil, it is crucial for consumers and homeowners to be wiser with their spendings for months to come. Even keeping their credits in good shape is important when economy does turn around. If your credit is shot, chances of getting a loan or a refinance are slim to none. You don’t want to miss out on opportunities.

Hang in there. This economy will turn around eventually. It’s just a matter of riding out the difficult times cautiously and keeping your eye out for that light at the end of the tunnel.

Going green is possibly the smartest thing any homeowner or property owner could do for today’s ecosystem. One of the easiest ways to go green and save are green roofs.

Green roofs are extremely beneficial, be it from trapping and filtering storm water, providing habitats for birds, insects and small animals, and especially bringing life to urban neighborhoods with color and life. These roofs are covered by grass and plants, which also provides insulation when winter comes around the corner and blocks out heat during summer. Chicago hopes to cover millions of square footages with these green panels, and already Germany has about 10 percent of all their flat roofs already set up.

You have options for installation in various ways, such as pre-planted modules to even setting them up in multi-layered systems. Although setting up is a bit pricey compared to normal, conventional roofs, however in the long run, having the green roof is much cheaper to maintain.  You can even get utility rebates, possibly get local or state government incentives. Green roofs can even double the life of your roof by creating a shield from harmful sunlight, wind, and extreme temperatures. Keep in mind though, your roof needs to support 30 lbs per square foot minimum, depending of the type of green roof you’re installing.

If looking after your wallet is your goal, then you might want to reconsider Solar Panels. These systems can last up to 30 years, also adding to your home’s value. Installing these panels are the easiest when putting on a new roof, but make sure they’re installed by professional licensed electricians that have dealt with solar panels. These electricity-generating photovoltaic (PV) solar roofs proof to siginifically reduce household carbon-dioxide emissions as well.

The way these PV roof panels are sold  are by “per kilowatt” increments. Four to five kilowatts covers about half of average homeowner energy needs. Installations runs from $8-$10 per watt, and costs and payback determines on electric rates, climate, and your local or state governments incentives. But stress too much about the costs, Federal gives up to $2,000.00 tax credits which are now available, along with many local credits. You can find out more information at www.dsireusa.org.

Find more ways to live green at: www.thedailygreen.com

Waiting for the homeowner bailout provisions to come down to you from the $700 billion Emergency Economic Stabilization Act of 2008 won’t be necessary. The $300 billion Housing Economic Recovery Act of 2008 can provide more to relieve you immediately if necessary. In fact, the $300 billion recovery act mandated mortgage modifying provision and a voluntary “Hope for Homeowner” (H4H) refinancing program, so homeowners an qualify.

The $300 billion recovery act signed in July is ready to take effect. It was mandated for mortgage servicers to modify loans for certain homeowners and help avoid foreclosure under these requirements:

1. A default on the mortgage either has already happened or is “reasonably foreseeable.”
2. The home owner lives in the property as his or her primary residence.
3. The lender is likely to recover more through the loan modification or workout than by forcing the home owner into foreclosure.

The institute further advises:

1. Your hardship letter should demonstrate job loss, a serious health condition, an ensuing balloon payment, a coming adjustable rate reset or some other financial calamity that will preclude you from making your mortgage payments as scheduled.

2. Send the letter along with documented evidence — your financial statements, employment records, tax returns and bank statements and other evidence that demonstrates how you can afford a modified loan under your present financial circumstances. Also send the lender a current appraisal of your home or otherwise document the current value of your home.

3. Deal directly with a representative of the lender’s “loss mitigation” or workout department– not a broker, loan originator or other mortgage staffer.

More help for homeowners can be found here: “Foreclosure Prevention Efforts Grow.

Source: http://realtytimes.com/rtpages/20081016_bailout.htm

According to the CALIFORNIA REALTOR® EXPO 2008, the prices for homes in most areas of California will decline next year, while the sales of actual existing homes continue to rise through out 2009.

“The current uncertainty about the financial system and economy is likely to persist over the next several weeks, and could extend into next year,” said C.A.R. President William E. Brown. “Our forecast assumes that the financial system will begin to show signs of stabilization late in 2008 and into early 2009.”

Based on forecasts, California median home prices will see a 6 percent decline to about $350,000 in 2009 when compared to this year’s median price of about $380,000. It’s been projected that in 2009, sales are to increase about 12 percent to 445,000 units when compared to 2008 projected units of 395,600.

“Sales in 2008 will be ahead of last year by 12 percent, with a further increase of 12.5 percent expected in 2009,” said C.A.R. Chief Economist Leslie Appleton-Young. “However, the next couple of quarters in late 2008 and early 2009 will be marked by seasonal decreases in activity, with a pickup expected by the second quarter of next year.”

Ownership at the CityCenter will provide you an unprecedented lifestyle experience. Residing at the CityCenter sets the pace for making Las Vegas a “greener” place to live. The CityCenter will submit eight projects to the U.S. Green Building Council (USGBC), attempting to earn the LEED (Leadership in Energy and Environmental Design) Certification.

Like the CityCenter, USGBC is trying to advance structures that environmentally responsible and  healthy places to live and work.

The following are CityCenter’s efforts to promoting a “greener” Las Vegas through your future residence:

• CityCenter will use a highly efficient drip irrigation system with  moisture control that will ensure landscaping is watered as much as needed;
• Paints, sealants, adhesives, carpet and composite wood products do not contain toxic substances;
• Volatile Organic Compounds (VOC) in order to not emit gas;
• Building facades have a glazing designed to reduce heat transfer;
• The development feature four designated recycled areas;
• There is preferred parking for carpools and alternative fuel vehicles to encourage alternative transportation methods;
• CityCenter favors the use of local and regional materials because they  help reduce pollution caused by transportation.

For more information on the CityCenter, please visit our website, http://CityRidge.com for electronic brouchures.

It’s no surprise that in today’s market, many listed homes are having problems closing escrow. Sellers need to know that the traditional way of buying homes are long gone…at least for now. They need to be aware of key factors regarding the market if they want to sell their home quickly. Otherwise, expect your property to linger around the market for quite some time.

The number one factor in selling your home successfully is pricing your home accurately. Many REALTORS® can help sellers determine a fair market value for their home in order to list their property with a proper price. REALTORS® will pull up comparable properties within the neighborhood that have been sold from the previous three to four months.  The market continues to fluctuate from each neighborhood, that’s why it’s crucial to stay current with recent sales and accommodate with the market demands.

Sellers, do have some control with contingencies. Buyers sometimes request their contracts to contain contingencies based on obtaining a loan. So in order to avoid these possible setbacks, requesting buyers to provide a pre-approval letter from a lender is more efficient. This proves that the buyer is likely get approved for a mortgage loan. However, make sure that their pre-approval is current and not past 90 calendar days.

Many buyers try to take advantage of the home inspection report to negotiate a lower price. Sellers usually offer the buyer some money for the repairs  needed rather than the seller repairing each item that has been listed on the report. But it may be wise for the seller to have the home pre-inspected before listing their property to avoid paying a lump of sum to the buyer. This allows the seller to get a proper estimate for their costs and repairs in advance.

Sellers who list their property in a slow or competitive market need to understand the market conditions. Buyers today are wiser and very picky about where their money is going, and they’re always looking for ways to find a good deal on houses. Sellers don’t have to struggle though. Just be as smart and realistic about your property in its current market, and with a help of a REALTOR®, you’ll see your property close escrow in no time.

President Bush signed a legislation that allows HUD’s Federal Housing Administration (FHA) to continue providing help for struggling homeowners with their mortgages. The Hope for Homeowners program, a.k.a “H4H,” allows FHA to continue it’s current efforts in providing assistance to struggling families with their mortgages which they cannot afford anymore.

This program allows certain borrowers who struggle with their current mortgage to refinance into affordable FHA-insured mortgages. This program has been implemented as of October 1, 2008.

Good news is that you don’t have to wait to find relief from this program. FHASecure, which is FHA’s existing refinancing program, can help homeowners determine whether or not they are eligible for this refinance right now. Here are several ways to obtain more information regarding this program:

1. Contact a local, HUD-approved housing counseling agency at HUD.gov;
2. Contact the HOPE NOW Alliance at (888) 995-HOPE; or
3. Call FHA at (800) CALL-FHA.

Hope for Homeowners requires that new loans needs to be based on a family’s long-term ability to repay the refinanced mortgage, and only owner-occupants are eligible for the FHA-insured mortgages. Borrowers must also meet the following eligibility criteria:

• Their mortgage must have originated on or before January 1, 2008;
• Their mortgage debt-to-income must be at least 31 percent;
• They cannot afford their current loan;
• They did not intentionally miss mortgage payments; and
• They do not own second homes.

Features of FHA-insured loans under the new program include:

• 30-year, fixed rate mortgage;
• Maximum 90 percent loan-to-value ratio;
• No prepayment penalties;
• $550,440 maximum mortgage amount;
• Extinguishment of any subordinate liens; and
• New home appraisals from FHA-approved appraisers.

Although this program is available for the current homeowner, FHA will continue to offer lenders the alternative option to foreclose on their borrowers. Also, similar to FHASecure’s recent additions, lenders are encouraged to write-down the outstanding mortgage principal balances to 90 percent of the new value of the property.

If we continue to slow down the foreclosures, this program supports FHA’s efforts to stabilizing our local housing markets.  According to U.S. Department of Housing and Urban Development, from September 2007 to June 2008, FHA has guaranteed more than $93 billion of mortgage capital.

FHA claims that they will insure up to $300 billion in new loans. Borrowers will end up pay an upfront premium of 3 percent of the original mortgage amount, and an annual premium of 1.5 percent of the outstanding mortgage amount. However, any other costs incurred by FHA can be reimbursed by Fannie Mae and Freddie Mac.

The program will last from October 1, 2008 through September 30, 2011. Since September 2007, FHASecure has helped more than 290,000 families obtain safer, more affordable mortgages. FHASecure hopes to help 500,000 families by the end of the year.

If you’re struggling, you’re not alone. Do not opt out this program! Hope for Homeowners will help you ease the burden of your faulty mortgage in today’s economy.

The thought of owning your first home seems very exciting. Newlyweds, small families, or even independents make  same, common mistakes when purchasing their first home. Without proper help from a professional, such as a Realtor, first-time homebuyers will come across complications.

These following 10 Tips will help your first home buying experience a breeze:

1. Be picky, but don’t be unrealistic. There is no perfect home.

2. Do your homework before you start looking. Decide specifically what features you want in a home and which are most important to you.

3. Get your finances in order. Review your credit report and be sure you have enough money to cover your downpayment and your closing costs

4. Don’t wait to get a loan. Talk to a lender and get prequalified for a mortgage before you start looking.

5. Don’t ask too many people for opinions. It will drive you crazy. Select one or two people to turn to if you feel you need a second opinion.

6. Decide when you could move. When is your lease up? Are you allowed to sublet? How tight is the rental market in your area?

7. Think long-term. Are you looking for a starter house with the idea of moving up in a few years or do you hope to stay in this home longer? This decision may dictate what type of home you’ll buy as well as type of mortgage terms that suit you best.

8. Don’t let yourself be house poor. If you max yourself out to buy the biggest home you can afford, you’ll have no money left for maintenance or decoration or to save money for other financial goals.

9. Don’t be naïve. Insist on a home inspection and if possible get a warranty from the seller to cover defects within one year.

10. Get help. Consider hiring a REALTOR® as a buyer’s representative. Unlike a listing agent, whose first duty is to the seller, a buyer’s representative is working only for you. And often, buyer’s reps are paid out of the seller’s commission payment.

Especially in today’s economy, it is crucial that you have the right guidance and advice to from a professional.

CityCenter is a 76-acre urban resort destination located on The Strip in Las Vegas and developed by MGM MIRAGE. Distinguished for creating unparalleled resort, dining and entertainment experiences, MGM MIRAGE and CityCenter offer a level of amenities, services and standards that undeniably defies expectations. CityCenter will encompass residential living, a shopping district, restaurants, bars, clubs, hotel and gaming, and art accessible to everyone.

With the continued expansion and development of CityCenter, Las Vegas is forever changed. ARIA Resort & Casino and Vdara Condo Hotel have recently topped off, bringing the completion of the ultimate resort residential opportunity on The Strip that much closer.

Check out their live site cam.

More information can be obtained by us at CityRidge.com or simply go to their website with detailed information.