Tag: mortgage help

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7 San Diego Neighborhoods That Are Quirky, Interesting, Vibrant, and Fun!

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Although San Diego is known for its sun, surf, and beachfront vibes, the city has so much more to offer. San Diego is one of the most diverse counties in the United States, and each neighborhood gives off it’s own vibe. Some hoods cater to artists, some to foodies, some to nightlife enthusiasts, and some still to those who love their boardwalks and board shorts. If you’re looking to buy a residence, there are so many places to choose from. Whatever your preference, here are seven of the most exciting neighborhoods for those looking to reside in San Diego.

#1 – EncinitasScreen Shot 2018-12-20 at 12.33.20 PM.png

Encinitas, a city of over 61, 000 residents with a small town feel is a great neighborhood if you detest plastic, and drive a Prius. Streets are wide, the residents are extremely passionate about green living, and there are no power lines visible anywhere. It’s a best of both worlds situation here. Encinitas is a laid back beach community, however, the further east you go, the quirkier the neighborhood. The closer you get to the ocean, the higher the price. Cardiff-by-the-Sea and Leucadia are both very popular beach communities within Encinitas, and each have their own personal flair and feel. Cardiff houses the infamous Cardiff Kook statue and Leucadia’s motto is “Keep Leucadia Funky.”

 

#2 – North ParkScreen Shot 2018-12-20 at 12.41.43 PM.png

Southeast of downtown and bordering Balboa Park, you’ll find the diverse and eclectic uptown neighborhood of North Park. The lively streets here are stocked with locals, and lined with coffee shops, boutiques, art galleries, amazing restaurants, and craft beer pubs.  The epicenter of the neighborhood is the intersection of University Avenue and 30th Street, which holds claim to being “the best beer neighborhood in the nation. The hipsters in this neighborhood know their food and drinks, and consequently, the neighborhood homes some of the best restaurants and bars in San Diego. The homes in this area are cute but surprising large, and don’t be surprised if your neighbors actually want to get to know you!

 

#3 – South ParkScreen Shot 2018-12-20 at 12.05.18 PM.png

What South Park may lack in size, it makes up for with a tight-knit community of small indie businesses and events, like the South Park Walkabout, where local shops and restaurants open late and offer special deals and bites. This neighborhood, very close to North Park, pulses with shops, entertainment, and art blocks. The petite neighborhood manages to keep its cool factor high with eclectic shops and restaurants. Craft beer is also celebrated here at bars like Hamilton’s Tavern, consistently rated “best beer bar” on the West Coast, and the family friendly Station Tavern where burgers and beer are served in an old trolley station. The petite homes are some of the most adorable in the county and have a sort of old-fashioned comfy feel to them.

 

#4 – CarlsbadScreen Shot 2018-12-20 at 12.46.19 PM.png

Located in scenic North County, and known as “The Village by the Sea,” Carlsbad was named after a famous spa in Karlsbad, Bohemia. This quaint city has beautiful beaches, three unique lagoons, lots of shopping areas, and gorgeous golf courses. It also boasts the LEGOLAND® theme park, and the Flower Fields of Carlsbad Ranch that sports 50 acres of spectacular blooming flowers every spring. With new, widened, buffered bike lanes, more roundabouts, and community walkabouts and bikeabaouts around the village, Barrio, and beach areas; the idea being, to convince people to leave the car at home for errands and recreation.

 

#5 – Ocean BeachScreen Shot 2018-12-20 at 12.59.06 PM.png

Ocean Beach, often referred to as OB, is called the city where lifestyle is frozen in time, in fact, you’re more likely to see a co-op then a large chain here, and is definitely a place for the free spirited. This funky seaside town is one of San Diego’s best beach communities. It is laid back and less rowdy than it’s south neighboring neighborhoods of Mission Beach and Pacific Beach. Still, it is a great place to surf or sunbathe. OB sits on prime waterfront real estate, but the neighborhood exudes a small-town atmosphere. Where other beach communities have embraced commercialism, this town remains fiercely independent and skeptical of corporate change. The residents of OB call themselves “OBceans,” and are an extremely tight-knit community.

 

#6 – San MarcosScreen Shot 2018-12-20 at 1.01.56 PM.png

Home to award-winning San Elijo Hills and breathtaking lake, San Marcos is the leader in providing housing with a wide range of prices and designs, while being a community that takes environmental awareness to heart. The residents work hard to preserve the San Marcos Creek, ridgelines and sensitive habitat. It actively participates in state, federal and regional conservation programs as well as progressive local air and water quality programs. San Marcos is an excellent urban-rural setting with small town informality, plus easy access to San Diego city, southern Riverside and even Orange County.

 

#7 – Little ItalyScreen Shot 2018-12-20 at 1.08.44 PM.png

Little Italy is a place where past meets present and is one of the more vibrant neighborhoods in the city. Once home to San Diego’s flourishing tuna fishing industry and generations of Italian families who made their living on the sea, Little Italy is now a lively neighborhood filled with patio cafés, fantastic restaurants, craft brew stops, urban wineries, art galleries, sophisticated shops, boutique hotels and the beautiful Amici Park. It’s not unusual to stroll through this walker-friendly neighborhood and be greeted with a smile and a “saluto” or “ciao bella” by a stranger. The residents here seem to believe that they are in Italy, instead of just a few minutes away from downtown San Diego, and trust us, when you’re here, you will too.

 

 

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A Short Review

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Hi everyone!

Here is a review of our last brochure. We have a featured city, featured listing, featured loan, and a charity highlight below. Leave a comment and let me know what you think!

Featured City – Sunset Cliffs, CA

Screen Shot 2018-12-05 at 12.57.03 PM.png With its rugged coastline and panoramic views, this area is popular with surfers, ocean-gazers, and folks who like to cruise Sunset Cliffs Boulevard, which runs the length of the cliffs. The drive along Sunset Cliffs Boulevard, which begins at Adair Street and continues south to Ladera Street, offers breathtaking views and the most amazing sunsets that you will ever see.

Featured Listing 

710 Cordova St., San Diego, CA 921017 | $2,999,000

Screen Shot 2018-12-05 at 1.32.30 PM.pngInstant Equity for the ONLY property along Sunset Cliffs with a PRIVATE outdoor living space capturing views to the Coronado Islands. Recently appraised for $3.2M! This 5BR/5BA ranch-style home, overlooking Sunset Cliffs Natural Park & iconic surf breaks, has panoramic, up-close, ocean views from every room.

Featured Loan- Interest Only Mortgages

Screen Shot 2018-12-05 at 2.49.30 PM.pngDESCRIPTION:
The borrower only pays the intrerest on the mortgage through monthly payments for a term that is fixed on an interest only mortgage loan. The term is usually between 5 and 7 years.

After the term is over, many refinance their homes, make a lump sum payment, or they begin paying off the principal of the loan.

PROS:
-Monthly payments are low during the term.

-The borrower can purchase a larger home later by qualifying for a larger loan amount.

-Placing extra money into investments to build net worth.

CONS:
Rising mortgage rates increases risk if it’s an ARM.

-Many people spend extra money instead of investing it.

-The home may not appreciate as fast as the borrower would like.

 

November Charity HighlightScreen Shot 2018-12-05 at 2.47.11 PM.png

Family is the main focus of the Nice Guys. The majority of money we raise goes to help families who have somehow “fallen through the cracks.” A medicalbill, a car repair, clothes needed after a house fire, a wheelchair for a young man injured while being a Good Samaritan – this is the type of assistance offered by the Nice Guys. Our goal is always to get people back on their feet and to be, once again, self sufficient. | Donate Here

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Five Golden Keys… to Purchasing a Second Home

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Screen Shot 2018-11-24 at 1.19.45 PM

It’s hard to believe that the Holidays are already upon us. I know that buying a home right now is one of the furthest things on many of our minds right now. We’re thinking instead about Christmas gifts, decorating the house to get it ready for company, and not breaking the bank. I’m here to tell you that although mortgage rates are rising, they are still historically low, making this a great time to think about buying a second home. To make sure that your end-of-the-year-home-shopping a smooth process, instead of added Holiday stress, I’ve put together some key steps for you to follow:  

1. Find an Agent (Who Knows the Area)

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The best way to start the search for a second home is to hire a proper professional, and one who is familiar with your desired location. The necessary steps in the real estate process change over the years, so you might as well have someone on your side who’s well-versed in the nuances and can help ensure you get the best possible deal.

You always have the option to purchase a home without an agent’s help or put your house on the market as for sale by owner, however, if you’re not familiar with the buying or selling process, you may skip over necessary steps. An agent could provide you information about neighborhoods, market prices, and the pros and cons of particular properties. With their eye for the long-term value of a property, the agent could fill you in on price histories and how comparable sales have fared, as well as resale prospects.

As you may have found in purchasing your first home, agent services vary depending on the area you live in, price point, experience and availability of the agent and your ability to communicate your needs. While some agents will only help you get from point A to point B when finding and purchasing a house, others will attend inspections, tidy up the house in question, or even facilitate your entire move.

#2 – Determine Whether You Can Afford Two Mortgages

Screen Shot 2018-11-24 at 1.33.12 PM

First off, you have to qualify for a second-home mortgage, which will be an addition to any mortgage debt on your primary home. When you’re buying a home, mortgage lenders don’t look just at your income, assets, and the down payment you have. They look at all of your liabilities and obligations as well, including auto loans, credit card debt, child support, potential property taxes and insurance, and your overall credit rating.

You will need to make a down payment of at least ten to twenty percent, meet credit standards and debt-to-income requirements, and provide documents for income and asset verification. If you have a good relationship with the mortgage lender on your first home, that may be a good place to start in your quest for a second-home mortgage.

You can use a loan qualification calculator to check mortgage rates in your area.  Also, if you are thinking of tapping into your home equity you have built up on your primary residence to help pay for the second home, keep in mind that if you need that equity for an emergency, you may not be able to access it.

#3 – Factor in All Costs

Screen Shot 2018-11-24 at 1.30.30 PM

With trends like it is today, many second-home buyers are more interested in enjoying their property rather than simply obtaining a quick return on their investment. It’s important that you consider that you may still be away from the property a lot of the time, which usually entails additional costs, such as having a management company check the place in your absence for water leaks, frozen pipes or other problems.

Getting insurance for a second home may be more challenging than it is for a primary residence. This is because there are taxes that come with owning a second mortgage, and costs that will only apply to your second home. 

You should factor in costs that you may not have had to worry about with your first home. For example, if you are considering a second home on the beach, you’ll need flood insurance, in addition to regular home insurance. It has become more difficult to get flood insurance in coastal communities, and the cost has increased exponentially in some markets.

#4 – Consider Taxes and Tax Implications

Screen Shot 2018-11-24 at 1.35.58 PM

You may want to forget about deducting mortgage interest on a second home. If the home you were planning to buy is a vacation home, tax reform means you’ll pay more for your getaway.

While you could previously deduct mortgage interest on a second home as well as on a primary home — as long as your combined mortgages were under the $1 million cap — this is no longer permitted under the new rules. 

The Tax Cuts And Jobs Act caps to the mortgage interest deduction at $750,000. So if you already have a $750,000 mortgage and get a loan for a vacation home, you won’t be able to deduct the interest on the second mortgage. If you rent out your second home, you will have to consider additional tax ramifications, particularly if the rental period extends beyond 14 days a year.

The ban on deducting interest on a mortgage for a vacation home affects only new purchases, so if you already have a vacation home, you may want to hang onto it.

#5 – Consider Your Goals

Screen Shot 2018-11-24 at 1.38.26 PM

Whether you’re considering buying a second home to rent out, to move to and rent your old home, or what have you, there are some great benefits.

For one, you can sell your investment home and use the proceeds to buy another rental property without paying a capital gains tax. A rental property is a long-term investment, you could pay the mortgage with the rent income each month and pay off the mortgage without spending any of your own money. You will still be able to write-off the interest paid on your second home which is a huge plus.

When you’re ready to purchase a home, it may be beneficial to write out the goals you have for you and your family. Determine whether the second home will be a vacation home for you and your family, an emergency or guest home, or an additional income and for what purposes.

Know that writing down your goals isn’t the challenge. After all, with a word processing system, your laptop or even just pencil and paper, you can write down all the goals you like. The trick is coming up with effective goals you can realistically accomplish. Write down your needs (an adequate credit score, a substantial down payment and gross income that leaves enough for the house payment, etc.) and how you plan on going about fulfilling those needs.

I hope that all of this was helpful. If you have any questions or concerns, leave a reply below, as I’m always here to help.

 

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Everything You Need To Know About VA Loans

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Screen Shot 2018-10-30 at 11.53.33 AM

What is a VA Loan?

VA loans are the most powerful lending program on the market, and are a lifesaver for the majority of military borrowers. This flexible, $0 down payment mortgage option are available to Veterans, Service Members, select military spouses, and have helped more than 22 million service members become homeowners since 1944. The loans are issued by private lenders and are popular as they are guaranteed by the U.S department of Veterans affairs (VA).

Why Get a VA Loan?

The VA home loan was created by the US government to help returning service members purchase homes without needing a down payment or excellent credit. Today, this program has guaranteed more than 22 million Service Members and their families purchase homes or refinance their mortgages.

In recent years, it has become even more important. Lenders have tightened their requirements in the wake of the housing market collapse, making the VA loan a lifeline Military homebuyers, many of whom find difficulty when faced with tough credit standards and down payment requirements.

VA LOANS TRADITIONAL MORTGAGES
0% Down

VA Loans are among the last 0% down home loans available on the market today.

 Up to 20% Down

Conventional loans generally require down payments that can reach up to 20% to secure a home loan.
No PMI

Since VA Loans are government backed, banks do not require you to buy Private Mortgage Insurance.

 PMI Required

Private Mortgage Insurance is a requirement for borrowers who finance more than 80% of their home’s value.
Competitive Interest Rates

The VA guaranty gives lenders a greater degree of safety and flexibility, which typically means a more competitive rate than non-VA loans.

 Increased Risk for Lenders

Without government backing, banks are taking on more risk which, in turn, can result in a less-competitive interest rate on your home loan.
Easier to Qualify

Because the loan is backed by the government, banks assume less risk and have less stringent qualification standards for VA Loans, making them easier to obtain.

 Standard Qualification Procedures

Conventional options hold stricter qualification procedures that can put homeownership out of reach for some homebuyers.

 

How do VA Loans Work (What Steps Are Needed)?

Get prequalified with a VA lender to get an estimate of how much house you can afford based on your income, credit, entitlement and other financial factors. You can get a quote with Veterans United Home Loans online at any time.

Get pre-approved. It puts you in the driver’s seat to take action when you find a home you love. Lenders will verify income and financial information (to get a clear sense of your purchasing power) and send you a preapproval letter. The letter shows real estate agents and home sellers you’re a strong and serious buyer.

Put in an offer when you and your agent find the perfect VA loan approved home. It’s important to find a VA loan savvy agent you trust that also knows the ins and outs of VA loans.

Get an Appraisal (and Underwriting): Once you’re under contract, your lender will order a VA appraisal of the property. Underwriters will evaluate your income, financial and related documents along with the appraisal once it’s finalized. If everything checks out, you’ll be issued a clear to close.

Close: You’ll sign all kinds of legal documents and paperwork at your loan closing and get the keys to your new home.

 

What Are Some Other Important Things to Know About VA Loans?

  1. They’re reusable. Your full VA entitlement can be used over and over again as long as you pay off the loan each time.

 

  1. They’re only for certain types of homes. They are mainly designed for properties in “move-in ready” condition, including single-family homes, condos, modular housing, some multi-unit properties and more.

 

  1. They’re for primary residences only. VA loans are for primary residences, not for investment property or a vacation home in Mexico, although you can use this benefit to buy a duplex or another multiunit property, provided you live in one of the units. The VA does offer exceptions to this rule.

 

  1. They’re not issued by the VA. Instead, the agency provides a guaranty on each qualified mortgage loan.

 

  1. They’re guaranteed by the government. The agency typically guarantees up to a quarter of the loan amount. The guaranty gives lenders confidence and helps service members secure great terms and rates.

 

  1. They’re available despite foreclosure or bankruptcy. Service members with a history of bankruptcy or foreclosure can secure a VA loan. Even borrowers who have had a VA loan foreclosed on can still utilize their VA loan benefit.

 

  1. They don’t have mortgage insurance. The VA’s guaranty eliminates the need for any mortgage insurance or mortgage insurance premium, helping borrowers save even more money each month.

 

  1. They come with a mandatory fee. There’s no mortgage insurance with VA loans, but there is the VA Funding Fee. This fee helps the VA keep the program going and is required on both purchase and refinance loans. It can be rolled into the loan amount and waived entirely for those with service-connected disabilities.

 

  1. They have limits on co-borrowers. Ulike other loan programs, the VA loan program does not let you get a loan with just about anybody. Having a co-borrower who isn’t your spouse or another veteran with VA loan entitlement will require a down payment, and not every VA lender offers these.

10. They don’t have a prepayment penalty. You can make extra payments any time you want, saving you a ton of interest. You can even structure your payments to automatically deduct a little extra every month.

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10 Signs You’re Ready to Purchase Your First Home

loansbyjoanna

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We’ve already talked about how to prepare for your first home loan. Like I’ve mentioned before, buying a home will be one of the biggest and most important purchases of your life. That said, it’s important to consider whether it’s the right time for you. Here are 10 signs that may tell you you’re ready to buy into the American dream of owning a home.

 

#1 You’ve Wiped Out Your Student Loan Debt Screen Shot 2018-10-06 at 9.45.46 AM

First time home buying can be expensive. Being debt-free means that you can now cover your new homeowner expenses, property tax, insurance, and maintenance with that extra cash flow not going toward your debt.

It’s also about knowing yourself. Since you’ve have destroyed those outstanding credit card bills, slayed that disgusting car payment, crushed that horrendous student loan, you have proven to yourself that doing the work that goes into owning a home isn’t an impossible feat. Go you!

 

#2 You Have a Job (That You Actually Enjoy) Screen Shot 2018-10-06 at 9.47.04 AM.png

Experts say that you’re more likely to stay at a job that you enjoy doing, though we all know, it doesn’t take an expert to know that. While it’s important that you have a steady income in the present, knowing that you’ll have a steady job in the future, and that what you’re doing now is something you’ll be able to maintain long-term, is validation that you’re ready to make an ownership commitment.

 

#3 Your Credit Score has “Glowed Up” Screen Shot 2018-10-06 at 9.42.31 AM

You just pulled your credit score and found it strangely high. Can this be right? Has all of your hard work really been paying off? Then, great! Congratulations! This process will be much easier for you.

If you aren’t in this boat, there are steps you can take to change this. Before applying for a mortgage, request a copy of your credit reports — Experian, Equifax, and TransUnion are credit report agencies you can use. You’re entitled to a free credit report from each of the agencies once a year. Review them for inaccuracies or incomplete information. You can also check you credit score (for free) on CreditKarma.com. Then, make your payments on time and pay down your debt. Once you have done this, you’re in a much better position to purchase. Increasing your credit score means that you can now get a better interest rate, enjoy a lower monthly mortgage, and have the financial freedom to own a home.

 

#4 You Got That Raise You Finally Asked For Screen Shot 2018-10-06 at 9.42.45 AM

A rise in income can make the option to become a homeowner an affordable prospect. With a higher paycheck, you don’t have to put as large of a percentage into your mortgage budget. In fact, you never want to put more than 38-43 percent of your monthly income toward a mortgage payment (some loans go as high as 50%). The extra income can erase your financial vulnerability and make it possible to afford that home.

 

#5 Your Future Plans Aren’t Up in the Air Screen Shot 2018-10-06 at 9.42.59 AM

Not that you shouldn’t reach for very dream you have, but it’s important to be realistic in how many things you can accomplish at once. If your future goals involve any larger expenses than your new home does, you may want to regroup or determine which goal is most important to you.

Make sure that goals like starting a family, starting a business, or buying a hot air balloon to travel the next two years in, actually align with you owning a home. Having too many ideas can turn into too many expenses and may lower your chances of being able to afford a mortgage payment.

 

#6 You’re Thinking Long Term Screen Shot 2018-10-06 at 9.43.10 AM

If you’re planning on moving to a new city in a year, or your job likes to move you around from place to place, you may want to consider holding off on the house buying. Buying a house is a massive investment and considering most mortgages are 30 years, a home purchase is meant for the long-term.

I’m not saying that you have to decide to plant your roots firmly in the soil, but it’s definitely not something to take lightly. You should be able to reside in a place for at least five to ten years so as not to lose on your investment. Also consider what the rental market is in your neighborhood. Could you manage any negative rental cashflow if you did need to move? If you have a career that you enjoy, a relationship where you’re both able to stay planted, and kids who are grounded in a school and friends, this could be the perfect time to buy a home.

 

#7 You Know What You Want (and What You Can Afford) Screen Shot 2018-10-06 at 9.43.23 AM

Here’s the truth. People who get what they want tend to be the people who put in the effort to know what they want. At least, that’s what Oprah says. She calls it steps to the “aha” moment.

Knowing what you want is important because it can help remove some of the emotional stress that home ownership consideration can cause. It’s certainly exciting to fall in love with a home, but it’s crucial to have as much information going in as you can to prepare you for anything and keep you grounded about what you want in a home.

Proportional to knowing what you want, is knowing what you can actually afford. You can budget your mortgage payment, but other factors such as it being close enough to your job, what the neighborhood is like, weather and the wear and tear that could occur are all factors that should be considered when determining what you want.

 

#8 You Aren’t Struggling for Cashflow & Living Paycheck to Paycheck Screen Shot 2018-10-06 at 9.43.37 AM

Owning a home is not worth not being able to do some of your favorite things. If you can’t eat out once in awhile, go out with friends, take weekend vacations, or spend money on day-to-day items, purchasing a home is probably not something you want to do just yet. In fact, you need to factor in the hidden costs of owning a home. Put away a good amount of savings to ensure that you’ll still be able to take care of yourself before you tackle on the extra financial stress.

 

#9 You Can Afford that Hefty Down Payment Screen Shot 2018-10-06 at 9.43.56 AM

That savings you put away should be enough to cover your day-to-day and provide the deposit for the down payment. It’s important to meet with a mortgage professional to determine whether a minimum downpayment program will work for you. There are programs that require a minimal down payment (government down payment assistance grants).

Once you understand what you will need to invest in a down payment, there are closing costs and reserves, for your savings and emergency fund, to consider. Once you do, you are ready to buy a house. If you want to put 20 percent down, it can be even more beneficial because you can avoid the PMI (private mortgage insurance)* requirement.  

 

#10 Your Emergency Fund Isn’t Starving Screen Shot 2018-10-06 at 9.44.12 AM

Your emergency fund should not be hungry. Like I said before, there are always hidden, or unexpected costs that come with owning a home, that’s just life. It only makes sense to plan for this with a savings account and emergency backup.

It’s important that you consistently feed your emergency fund before owning a home. In other words, you don’t want to have to rely on a monthly income to cover those unexpected costs–your monthly income has already been calculated and is needed for the mortgage and your day-to-day bills and expenses. Having an income set aside that is the an equivalent of at least a year of monthly bills is a good position to have before buying a house.

If, after reading this, you can still answer “yes” to each of these factors, then congratulations–you may be ready to move on to the next steps of getting prequalified, realtor, and visiting potential homes. However, it’s always a good idea to consider letting a Mortgage Professional help you determine whether you are actually ready to buy. If you have any questions regarding any of the steps above, contact me and I will be happy to help.

**Private Mortgage Insurance: what borrowers have to pay when they take out a mortgage from a commercial lender and pay a down payment of 20 percent or less. PMI insures the mortgage for the lender in the event that the borrower defaults.