When It is The Time To Buy

Dear Friend:

Buying a home for the first time is a major decision that requires planning and preparation. Becoming a homeowner is an exciting process with many complexities that real estate agents are trained to manage.

We are experienced in working with first-time buyers and are well-versed in the creative financing that can make dreams become realities. For those who are low on cash, there may be a mortgage assistance program to help you purchase a home with limited funds. Your real estate agent is familiar with these programs, which have variable guidelines. There are many financing options available in today's marketplace. A little creativity can help you enjoy the freedom and security of owning your own home and building up equity as your property increases in value.

Jeny Milosevic

Realtor/Broker

JHM Business Services

http://www.jhmbusinessservices.com/

For Rent: 1BR/1BA Condo in Woodland Hills, CA, $1,700/month

For Rent: 1BR/1BA Condo in Woodland Hills, CA, $1,700/month

Happy Thanksgiving

To all my friends:

During this powerful season of thanks, we wanted to take a moment to say THANK YOU for making JHM Business Services a part of your business! We're thrilled and honored to be a great resource to all our sellers and buyers.

So from us to you: We wish you a very happy and safe holiday, tremendous abundance and a year ahead filled with realized goals.

Happy Holidays!

Warmly, 

JHM Business Services and Jeny Milosevic

Mortgage aid open to more Calif. borrowers

The state-run program, “Keep Your Home California,” which helps homeowners struggling to pay their mortgages now has broader eligibility guidelines.  Borrowers who did “cash-out” refinances and own multiple properties now are eligible for the program, according to California Housnig Finance Agency officials.

Making sense of the story

·         To date, Keep Your Home California has helped approximately 8,000 low- and moderate-income households that are behind on loan payments or close to default.

·         There are four parts to the program: Mortgage help for the unemployed, mortgage aid for homeowners with documented financial hardship, relocation help for those in the midst of a short sale or deed-in-lieu of foreclosure, and reduction of principal.

·         Homeowners who completed “cash-out” mortgage refinancing now are allowed to take part in the four programs outlined above, and borrowers who own more than one property also can apply for the program.  Previously, these two groups of borrowers were excluded from participation.

·         Mortgage aid to unemployed borrowers also has been extended to nine months, instead of six.  Such homeowners can receive up to $3,000 a month.  To qualify, borrowers must be receiving unemployment benefits.

·         Additionally, the program has reinstated up to $20,000 in past-due mortgage payments instead of the previous $15,000 cap.

·         To review qualification guidelines, visit www.KeepYourHomeCalifornia.org or www.ConservaTuCasaCalifornia.org.

What Is a Short Sale?

A short sale is discussed if the home owner is facing financial hardship and is therefore unable to make payments on the home loan. In the event that the bank or mortgage lender agrees to it, a short sale is an alternative solution when foreclosure is looming. “Short sale” literally translates to selling a piece of real estate just short of the remaining balance of the loan. Because the homeowner finds him or herself in a position where paying the loan just isn’t feasible, the lender will then discount the balance of the loan and the home owner will sell the property and forfeit all of the proceeds to the lender. By doing this, the lender concedes that selling the property at a loss is a better option than continuing to pursue the borrower.

There are four conditions of a short sale:

1. The home’s market value is down. This means that the home is worth less than the remaining balance on the home loan. Another way to say this is by saying that the home is "underwater".
2. The mortgage is in default or heading that way. A mortgage default occurs when the borrower stops making payments on the loan. At that point, the lender can seize the property from the borrower.
3. The home owner encounters hardship like divorce, death or serious illness, unemployment, bankruptcy, etcetera. It is important to note that personal lifestyle choices that cause financial strain are not considered.
4. The home owner has no assets. If the homeowner had assets, he or she could use these to make payments on the loan.

How do you know if you qualify for a short sale?
Whether or not a home seller can go through with a short sale ultimately depends on his or her bank or mortgage lender. They have to agree to the short sale process in order for it to come to pass. If the seller’s situation does not line up with the aforementioned four points, he or she may not qualify to sell their home on a short sale.
Any buyer can put an offer in on a home up for short sale so long as they are able to qualify for a loan. It is, however, up to the lender whether or not an offer will be accepted on the property.

Trick or Treat!!

Happy Halloween to All:

Los Angeles and the City of West Hollywood is famous for it's halloween parade. A full night of festivities, live concerts, food, drinks and a lot of fun...

The largest Halloween street party in the world happens in West Hollywood, located in the Los Angeles County Region. Each year, more than 500,000 people take to the streets of Santa Monica Boulevard to enjoy the craziest, most eccentric costume creations ever. The big draws of the evening are the Halloween Costume Contest and crowning of an Honorary "Queen of the Carnaval." Visitors can also expect fantastic live entertainment, food vendors, pumpkin-carving contests and children’s activities throughout the week previous. Admission is free and the event starts at 6 PM and runs until 11 PM.

HARP Refinance Program Expanded

Borrowers who are current on their home loans may be able to refinance for lower interest rates, even if they are seriously upside down.  The Federal Housing Finance Agency (FHFA) announced today that it will broaden the scope of the Home Affordable Refinance Program (HARP) by removing the current 125 percent loan-to-value cap for fixed-rate mortgages backed by Fannie Mae and Freddie Mac.  Other program enhancements include, among other things, reducing certain fees, eliminating the need for a new property appraisal if the FHFA has a reliable automated valuation model (AVM) estimate, and extending HARP until the end of 2013.  New federal guidelines for the HARP changes should be released to mortgage lenders and servicers by November 15.

The basic eligibility requirements for an enhanced HARP loan are as follows:

• Existing mortgage loan must be owned or guaranteed by Fannie Mae or Freddie Mac.  To check whether a borrower has a Fannie Mae or Freddie Mac loan, go to http://www2.realtoractioncenter.com/site/R?i=DMMZUtkne7wjXGC790nxGw.
• Existing mortgage loan must have been sold to Fannie Mae or Freddie Mac before June 1, 2009.
• Existing mortgage loan cannot have been refinanced under HARP previously (except for Fannie Mae loans refinanced between March and May 2009).
• Current loan-to-value (LTV) ratio must be more than 80%.
• Existing mortgage loan must be current, with no late payments in the past six months, and no more than one late payment in the past 12 months.

More information is available from FHFA at http://www2.realtoractioncenter.com/site/R?i=oOg4yGd11qn4_kN5Vn3eGQ.

Best Interests of the Buyer

Who represents the homebuyer in the transaction? The most common scenario is for homebuyers to purchase a home with the help of the seller's listing agent. In this case, known as "dual agent representation," the real estate agent assists both the sellers and the buyers. However, it is also possible for the buyers to ask another realtor to represent their interests exclusively, acting as the "buyer's agent," a service which is available at no additional cost to the homebuyer.

Any licensed real estate agent can act as your buyer's agent, helping you to locate and look at properties in your price range. However, if that real estate agent works for the same brokerage that is listing a particular property, dual agency or designated agent rules will then apply. The buyer's agent will advise the buyer if issues arise such as termite damage or significant material defects appearing on the home inspection report. If the home appraisal comes in at less than the asking price, the agent will represent the buyer's interest, working with the seller and the lender to negotiate a satisfactory resolution.

Do These Real Estate Tips Really Apply to YOU?

We've learned these tips through years of experience as top real estate agents. But we know that YOUR situation might be different. That's why we're here.

It's our job to personally advise homebuyers and sellers. Ask us if any tip that we've included here really applies to your situation.

Do any of these tips raise questions for you? Didn't find what you're looking for? Let us know! We am happy to answer ANY questions. It's our job! There's no obligation, and we promise to get back to you quickly...

A Strategy for a Successful Sale

There are three suggestions you can implement, that will make your sale take place quicker and put more money in your pocket at closing.

Typically, most sellers price their property based on an agent's recommendation or on their emotional investment in their home. 

The 1st suggestion is to get a certified appraisal before you list your property. The reason for this is that if the property is priced correctly from the beginning, your property will sell without the need for price reductions. Shorter marketing time means you will possibly save several monthly payments. Many Real Estate agents inflate their estimate of the value to "buy" your listing. Then they start "beating you up" on the price week after week until you reduce the price correctly. I recommend that you start at the right price and save your money.

The 2nd suggestion is to hire a home inspector before you list the property so you can address any concerns a potential buyer might have before they become an issue in escrow. If the repairs are done up front the property will show better, sell for more money, and sell in a shorter amount of time. It also gives you the opportunity to sell the property in "as is" condition. Waiting to do repairs the last week before closing, usually costs you more because you don't have the luxury of time to get competitive bidding.

The 3rd suggestion is to do your termite inspection at the time you list the property for all the reasons mentioned above.

If you follow these suggestions you will have a solid transaction at the time you sign the sales contract. No contingencies and no surprise repairs at the last minute. In addition, I will reimburse you for your out of pocket expense if you follow my suggestions. That means it costs you nothing when the property sells through me.

If this interests you and you have any questions or need clarification, please do not hesitate to contact me.

THANK YOU FOR THE OPPORTUNITY AND YOUR TRUST

About Appraisals!!

A Market Analysis

Setting the right price is an important first step in the process of selling a home. Is it necessary to spend $200 to $400 for a professional appraisal of your property before placing your home on the market?

A professional appraiser's opinion of a property's market value is based on the recent sales of similar homes in the neighborhood, and on the square footage and condition of the property. Different appraisers might come up with different figures. Even if all of them agreed on a value, there is no guarantee that you would receive that amount for your property.

An alternative to a professional appraisal is to ask a professional real estate agent for a written market analysis of your property. This analysis will include information about recent home sales in your neighborhood, as well as how those homes compare to yours. Real estate agents may provide this service with no charge or obligation. If you are still unsure of the value of your home, you may wish to pay for an appraisal.

Do These Real Estate Tips Really Apply to YOU?

We've learned these tips through years of experience as top real estate agents. But we know that YOUR situation might be different. That's why we're here.
It's our job to personally advise homebuyers and sellers. Ask us if any tip that we've included here really applies to your situation.
Do any of these tips raise questions for you? Didn't find what you're looking for? Let us know! We am happy to answer ANY questions. It's our job! There's no obligation, and we promise to get back to you quickly...

Have a great weekend

Jeny Milosevic
Realtor/Broker Associate
JHM Business Services
Lic. 01759329