29. March 2011 by Michael McFarlane.

Recently we published an article pointing out some of the issues involved with choosing which Realtor® you might have represent you.  Something not covered in that post was the question of why choose a Realtor® at all.

For Sale by Owner (FSBO) is no doubt a method you have seen employed.  Is this the right approach for you?  Chances are…NO.  The legal issues are enormous!  It is the largest financial decision most people will make in their LIFETIMES!  Are these issues you feel comfortable handling yourself?  Or would you rather have the assistance of trained professionals at your disposal?  Especially since the cost is ZERO!  (More on that later.)

While there are thousands of licensed real estate salespeople and brokers in the state of California, only about 1/2 of them are Realtors®.  As with most trade groups, there is a standard that must be met and maintained in order to belong.  That elevated standard for a Realtor® is well above that required by the state for a license.  And it reaches across state lines as NAR, the National Association of Realtors®.

$ read more  ð

Above I stated that the cost of hiring a Realtor® is ZERO!  No, we don’t work for free.  But the monies we make come from the transaction, not your pocket.  Just like the steering wheel is a part of the cost your car, transactional costs are figured into the selling price of a home.  It is a statistical fact that transactions involving a Realtor® produce a higher profit than those that don’t, and  a much higher completion rate.  SO, not only were the Realtor’s® services at no cost to you, you actually profit!  How good is that?

Questions about YOUR best action?  Contact us today for your free analysis.  We will happily provide you with the information you need to make an informed decision.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Selling Your Home | No Comments »

26. March 2011 by Michael McFarlane.

We think that most would agree that the term generally means to use our resources more efficiently.  But that is where the paths seem to part.  Part of this is commercialism; the need to make money.  Part may be due to a lack of knowledge (who knows EVERY impact a given change will make?).

Most of us would agree that making our homes more energy efficient is a good thing, a green thing.  There is a negative here to watch for also, a cost (not just dollars) that must be considered.  Sealing your home totally from that outside would reduce that energy required the heat and cool it.  But what about the are quality? 

Many substances used in our homes are toxic.  If we are to live in our home (isn’t that the purpose?) we need to clean this toxic environment from our home.  If our home is sealed to the outside, the we must filter the air to remove contaminates.  Filtering and air circulation cost money and require the use of energy. 

And what do we do with the toxic substances we removed from that air?  Land fill, burning, and other methods of disposal have their costs, both in money and environmental issues. 

Another issue we think often overlooked is the impact in the production of the materials we use for these energy savings or going green procedures.  What toxic materials are used in the manufacturing processes?  How are those wastes handled.  What about the materials that are being replaced as one retrofits one’s home to be more green?

Whether you consider yourself a “tree hugger”, are trying to save money,  or are just interested in being more environmentally responsible we think ALL these questions must be considered.  It does little good to spend more than what is saved, either in dollars or (and?) environmental impact.

What it means for YOU?  We are all for going more green.  Not only is it the responsible thing to do, we believe it necessary for the survival of the earth (at least in conditions humanity can live in).  As with most things worthwhile, proper research is required to actually get your desired results.  We are in the process of putting together a list of vendors and resources for this very topic.  Call us today for more information. 530 315-2808

Questions about YOUR best action?  Contact us today for your free analysis.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Home Maintenance, Home Improvement | No Comments »

24. March 2011 by Michael McFarlane.

While there are many benefits to owning your home, saving at tax time is doubly appreciated by many.  Save money, build personal wealth, invest in your own retirement, building better communities, and many more advantages rate right up there, but the stress relief and the monetary gains of home ownership are hard to beat.

These savings are NOT just for the rich!  Interest paid on your mortgage is tax deductible.  (As you have probably seen, in the first years of paying your new mortgage nearly all of it goes to interest!)  Maintenance on your home is deductible.  Upgrades and repairs too.  Of course these statements are general; consult your tax advisor (whether that be a paid professional, your aunt Mary, or yourself) for your specific benefits.

Where else do you get paid for saving money?  Yes, if you installed a new energy efficient water heater to save on your power bill, you can often also claim tax rebates and/or deductions if these were added to a home you own.  Many other appliances fit this group: A/C, heating, laundry, kitchen, etc.

Making your home more green (energy efficient) pays double also!  Like the energy saving appliances, you save on power costs, maintenance costs, get tax rebates, and tax deductions.  Yes, you really do get paid to save money!

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Please remember while these statements will apply to most, they are general in nature; consult your tax advisor (whether that be a paid professional, your aunt Mary, or yourself) for your specific benefits.

Questions about YOUR best action?  Contact us today for your free analysis.  We will happily point out possibly overlooked items for your tax professional.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Finance | No Comments »

22. March 2011 by Michael McFarlane.

That lack of an adequate down payment is the primary obstacle to many new or first time home buyers.  While most may have heard that assistance is available, many don’t know where to turn.

The mortgage industry has become very complicated.  Often a loan agent doesn’t know of programs outside of what their company offers.  They may be reluctant to steer someone outside their company if they do know.  Even your Realtor® may not know (while many have general mortgage awareness, most are not trained in loans).

A new resource (Down Payment Resource) has been created just for this reason.  If you are interested and can qualify, assistance comes in many forms.  Cash, deferred loans, grants, and other terms might be available.  There are city and county programs available in addition to the FHA terms usually bantered about. 

$ Source: Inman News™  ð

What it means for YOU?  Click the link above or contact Yuba Sutter Homes And Loans to see if you qualify.  Or maybe you are interested in selling your home: knowing what programs are available might make the difference to your potential buyer!  Call us today to find out. 530 315-2808

Questions about YOUR best action?  Contact us today for your free analysis.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Buying a Home, Finance | No Comments »

16. March 2011 by Michael McFarlane.

The Real Estate Activity Report was just released for the Yuba Sutter area.  Grab your FREE copy now!  Click on over to Over the Back Fence for yours.

Questions about YOUR best action?  Contact us today for your free, no obligation consultation.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Real Estate Market | No Comments »

16. March 2011 by Michael McFarlane.

We all prefer to do business with someone we like.  It helps take some of the stress out of the equation.  And if you like someone, you usually trust them.  So wouldn’t it be great if your friend was a licensed and knowledgeably Realtor®?  Someone who has the experience, connections, and resources to get the job done for you?

Most of us know someone who dabbles in real estate.  Is this the person you want to handle your transaction?  What do you believe is their competency level?  Were they able to provide you with the information you needed?  Were they honest enough to say “I don’t know but I will find out” when needed; and then follow through on that promise?

Everyone makes mistakes!  The difference is what happens afterwards.  Is the mistake acknowledged?  Is it then corrected?  That is how we grow, how we learn.  And that is the secret: to LEARN.  That brings us back to the question: How do you choose YOUR Realtor®?

Buying a home usually requires time to research, look, and compare.  Who provided you with the information you used most?  During the course of your research have you found this person’s attitudes to be compatible with yours?  If so, you are probably comfortable working along side this person.  This doesn’t mean you are pals, just that there is a mutual trust and comfort level that is needed (if not required) to make it through a real estate transaction today.

Big company or small or independent isn’t what matters most.  It is the individual you are working with.  Do they appear competent?  Are they trustworthy?  Of course we know you have verified that they are legal, licensed, and knowledgeable of the area you are interested in.  Do you feel that they are putting YOUR INTERESTS ahead of any other in your transaction?  If so, you have found your Realtor®!

Questions about YOUR best action?  Contact us today for your free, no obligation consultation.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Buying a Home, Selling Your Home | 1 Comment »

12. March 2011 by Michael McFarlane.

Do you know what those numbers mean?  Do you understand how to go about changing them, to the positive?  Do you know what a difference of only one point can cost?

A recent survey by Opinion Research asked 22 credit score related questions to consumers.  The average was only 60% right.  Many did not understand the financial cost of a low score.  For instance, a $20,000 car can cost $5,000 or more in extra interest because of a lower score.  That lower score could cost $100,000 on a $200,000 home, or prevent one from purchasing a home at all.

Many consumers did not know how to increase their score according to the survey.  Some believe paying cash is the best, or that having more than one credit card would lower their score.  In fact, using credit responsibly is THE way to boost your score.  It is not the amount of credit you have, but the relationship of available credit to income.  It isn’t how much credit you have but how you use it that counts.

The recent banking meltdown and following recession has lowered scores nationwide.  The lack of available jobs, or hours for those still working also contributes to this lower overall score.  Today nearly one quarter of consumers have a “poor” rating; a score at or below 599.

$ Source: Detroit Free Press  ð

Our take on what it means to YOU?  Did you know that a low credit score could even prevent you from getting a job?  Or that it could cause you to loose the job you have?  How much does it effect you?  Call us today to find out. 530 315-2808

Questions about YOUR best action?  Contact us today for your free analysis.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Buying a Home, Finance | No Comments »

10. March 2011 by Michael McFarlane.

Not having a home to sell has actually been a plus for those looking to purchase a home recently.  That meant the first time home buyer had the advantage.  That may be changing with the new rules and fees going into place.  First time buyers are down to 29% of the market from 40% just recently.  And that number is expected to drop even more. 

Increased fees for low down payments and increasing interest rates constitute part of that.  Higher down payments are also being expected.  These are in response to the recent mortgage melt-down.  Banks and lenders are trying to recover the money they lost to bad loans.  In addition, they will likely be required to buy back many bad loans sold to Freddie Mac & Fannie Mae.

Put more money down.  Not because you have to but because it makes economic sense.  You can still get the .5 to 5 per cent down loans, but why pay that mortgage insurance and interest premium if you don’t need to?  For instance, paying 3.5% down will now cost you $30,000 more than last September on a $300,000 mortgage.  A larger down payment can eliminate this.

Plan to live there longer, a decade or more.  Gone are the days of day-trading home shopping.  Real estate is an investment that usually requires time to pay off.  Those days have returned.  Even today, after the big “crash”, homes are worth more than they sold for ten years ago.  Actually, this is a good thing.  This is sustainable growth.

Prepare for competition in purchasing your home.  The days of free-falling prices are behind us.  Programs to help the borderline homeowners are beginning to be put into place.  Downsizing retirees and empty-nesters are looking at these homes also, and many of them have sizable down payments available.

$ Source: The Wall Street Jounal  ð

Our take on what it means to YOU?  If you are thinking about buying in the very near future, this is your get moving call!  This increase will not only cost more money, this increase could increase your DTI to the point that you will have to let go of your dream house and settle for something lower in price.  How much does it effect you?  Call us today to find out. 530 315-2808

Questions about YOUR best action?  Contact us today for your free analysis.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Buying a Home | No Comments »

1. March 2011 by Michael McFarlane.

Federal Housing Administration (FHA) mortgages are set to increase by .25% this April.  This follows an increase last November from .50% on 30 year fixed rate loans to .85%.  For 15 year fixed rate loans those figures were from .55% to to .9%.  That brings the new rates to 1.1% for 30 year fixed rate loans and 1.15% for 15 year fixed rate loans.

Although this is not an interest increase, it’s effect is virtually the same.  For a home costing $157.000 (the average FHA purchase loan) the monthly payment will increase by $33.  While this does not sound like an insurmountable increase, it will put buyers into a higher DTI (Debt to Income) bracket.  This is one of the most important numbers in loan qualification.  This increase could put some buyers out of the market.

FHA loans are generally used by those unable to qualify for conventional loans or make the down payment required by them.  FHA allows a down payment of only 3.5% while Fannie Mae requires 5 to 15% on the typical loan.  FHA also allows for lower credit scores: a minimum of 500 vs. 580 minimum for Freddie Mac and Fannie Mae loans.  The banks and conventional lending are often looking for a minimum of 680-720.

The effect of the increase has is amplified because of the typical borrower using the loans.  Those that can more easily absorb the increase are getting their loans elsewhere.  In today’s market more and more buyers are using the FHA backed loans, so the impact of the increase will be greater than past instances.

$ Source: the New York Times ð

Our take on what it means to YOU?  If you are thinking about buying in the very near future, this is your get moving call!  Remember, it’s not just the extra $33 a month you will be paying for the same thing (although that is pretty good incentive to most of us), this increase could increase your DTI to the point that you will have to let go of your dream house and settle for something lower in price.  How much does it effect you?  Call us today to find out. 530 315-2808

Questions about YOUR best action?  Contact us today for your free analysis.

For ALL your real estate related needs and/or questions call ((530 315-2808) or visit us8 on line at EncoreRES.com or any of the links below.  Please note: all visits to our sites are secure AND confidential.  We do NOT track your activity!

Subscribe to Listings Updates           Free Home Warranty

                  Search the MLS                                     Over the Back Fence 

 Home Rescue Group               Free Home Market Analysis  

             Yuba-Sutter Real Estate Today

Posted in Buying a Home, Finance | No Comments »