Antonio & Alexia's Blog

Funds from a bond measure that passed in 2008 by East Bay Regional Park District voters is finally arriving for the city of San Leandro. This small town in the middle of the San Francisco bay will improve it's Walkability Level hence improving its home values. A new report by CEO's for Cities, a national network of urban leaders, reveals that homes in so-called walkable neighborhoods may be more valuable than homes in car-dependent ones.

According to the report, Walking the Walk: How Walkability Raises Housing Values in U.S. Cities, found that higher levels of walkability, as determined by a walk score, were directly linked to higher home values. Walk scores are calculated based on a home's proximity to community amenities such as schools, retail shops, parks, libraries, banks and restaurants.

Measure WW provides money for park projects throughout the district. In early January the City Council approved spending for several projects, that will beautify and enhance city parks and will include getting a fenced dog park by the Marina. The city's $3.7 million dollars share will be spend on approximately 10 city park projects that were suggested by the Recreation and Parks Commission with input from local residents.

There will be new asphalt walkways in the parks, new equipment in some areas, and irrigation and drainage improvements in others. New aluminum bleachers will be installed, plus new lockers and restroom refurbishments. There will be new picnic areas in some parks, and repairs in others.

San Leandro, a city just 20 minutes from downtown San Francisco, already has easy access to fishing, boating, camping and walking trails along Anthony Chabot Regional Park and Lake Chabot. There is even a 20 mile mountain bike trail that crosses the entire park. The 5+ mile Bay Trail on the west side of the city offers beautiful panoramic views of the San Francisco bay.

These improvements will allow the city of San Leandro to offer its residents a more comfortable and healthy way to enjoy the outdoors. There are a lot of dogs wagging their tails in anticipation of the opening of the dog park, a park with views of the San Francisco bay This will be a great place to take those important family members who need a daily walk. (I'm talking about the 4 legged ones) kibbles anyone?

Home buyers applying for a loan should be prepared to be screened, x-ray-ed, frisked, sworn, read their Miranda Rights and hooked to a lie detector before their loan is approved no matter how well qualified they think they are. A loan approval for a well qualified home buyer used to be almost like a formality but not anymore, due to the mortgage meltdown of the last few years, we have seen a dramatic change in the way home loans are underwritten. 

Going from the infamous liars loans, I mean "Stated Income" to now "Full Documentation" for every single loan has had a tremendous impact on the real estate industry because it reduces the already small pool of potential home buyers. But, is there anything that the applicant for a home loan can do to smooth the process and to stand a fair chance of getting a loan approval?

Today's loan officers are playing detective and their job now includes fraud prevention. They have been extensively trained to read and analyze tax returns, bank statements, application forms, job evaluations and written explanations. If you are ready to open your soul, here are 7 steps to get you prepared for such an ordeal, and this is what you are going to look like after the process ---->

1. Declining Income - As companies, downsize and reduce their number of employees, and sometimes reduce the number of hours worked for those who stay, only the current lower income will be considered. This situation actually creates a Red Flag for the underwriter who would now question weather the company the applicant works for is going out of business, this investigation can delay the entire process. 
   
2. Credit report - Well before home buyers apply for a loan they should be very careful as to how many inquires are made and for what reason, they should keep documentation to show the reason for the inquiry or if they had any dispute for items showing in their report. Minimum FICO scores are about620.  
   
3. Continuous Job History - Buyers have to be ready to explain in writing every single gap in their employment in the last 2 years that is longer than 2 months, more than 2 months out of work and the loan is denied.                                                                                                                               
   
4. Bank Statements and Deposits - Any large deposit into the buyers account within the last few months will raise a red flag for the lenders, they will ask to see where it come from and why, they call this a "paper trail" so make sure you can explain it and prove it. Any notice of "insufficient funds" on a borrower's bank statements is bad, almost lethal to the loan being applied for.                                                      
   
5. Buyer's Tax Transcripts - Let's face it: nobody trusts anybody anymore! The lender will ask the IRS for a copy of your last 2+ years tax returns. The lender wants to see if you have had unreimbursed Business Expenses and/or Business Losses for example. The number of the form to remember here is: 4506T
6. Lower Debt to Income Ratios -  Most loans are now analyzed via a Desktop Underwriter, a maximum approval ratio of 45% of income is the rule. The borrower however has to have extremely great compensating factors to even try for a higher approval ratio but it will never go above 50% anymore.
7. The Appraisal ... or Appraisals - On May of 2009 the appraisers come under a new government rule called HVCC. These rules have created more havoc for Realtors than any other factor. Low appraisals are now the norm and buyers sometimes have to pay for more than one appraisal if the first one come in low and the seller could or would not negotiate, moving onto another property means another appraisal without guarantees.

 Even if you are not thinking about buying a house right now, start saving all your papers,   clean your credit, and be careful who you co-sign with. Don't go asking for a credit report too many times, if there are issues on the report, make sure you document your dispute and keep  a neat and clean file for future reference. If you are trying to get money for a down payment from friends or relatives, start early enough so as to show that those funds have been in your account for a while. Unfortunately, you must go through this process before you can enjoy the fun of looking for homes to buy.

And finaly, if during your first loan application meeting the loan officer begins with the following sentence: You have the right to remain renting, anything that you say or give to us could be used against your dream of owning a house, if you cannot afford this loan, nobody will ever loan you anything, etc. etc ... don't run! It is simply the new way of getting a new loan. You are considered guilty of not having enough money or income or credit until proven house-worthy.

A Sunday afternoon Open House Tour can give the serious home buyer the right information about the neighborhood the buyer is interested in. There are many benefits to opening a house for sale on a Sunday afternoon. It saves having to make an appointment to see it and it makes it convenient for everybody in the family to come together to tour properties, the seller benefits by having more people see the house in one afternoon instead of individual appointments.

Home buyers unfortunately miss a great opportunity to gather information that can help them accomplish their goal of buying the best home available for the best price at the most convenient time in the right neighborhood. Most of the time they dismiss the help offered by the Realtor hosting the Open House and are reluctant to provide any information or ask any questions.

When visiting my Open House, don't be shy! ask questions and listen carefully, the information you need to make an informed decision is right there in front of you! I am the "Mobile Real Estate Information Center" and I am here for a reason: I want to give you all the information you need to help you purchase a home, maybe even this one. I know this house very well, I know when it was built, how long it is been on the market, what type of inspections are available, what type of work is needed, why the seller is moving. I also know the neighborhood well, ask me about proximity to schools, shopping centers, public transportation, demographics, theaters, I also know exactly how far is the library or the post office for example.

Before the Open House I print and bring with me a CMA (Comparative market Analysis) of the property so not only I can show how this house compares to others in the same area, but also what other houses have sold recently in the proximity. If this particular house is too big or too small, I have a list of other homes available for sale, I can share some addresses with you right there and then.

I might even have valuable and timely "inside information" of homes about to come on the market, bank owned or foreclosed properties that I know are going to be listed soon. This information is potentially profitable for you Mr./Ms. home buyer... Just talk to me!

Even thought I am not a loan officer, I know what the prevailing interest rates are and can quickly calculate your monthly mortgage payments with taxes and insurance, I can give you an idea of what your closing costs would be, I can even prequalify you on the spot! If I know what type of financing you need, I can tell you what type of documents you will need to get ready.

I am NOT just a Door Greeter, I can talk to you about investment properties, I can tell you some of the biggest tax consequences and/or benefits of owning a residence or an investment property. I can highlight to you the benefits of a tax deferred 1031 exchange and much more. For me being at an Open House is like bringing my real estate office out on a road trip... Who benefits the most from my experience? Those who dare to talk to me about their real estate goals and dreams, you can pick my brain, I am committed to stay on that house for 4 hours so take your time!

Studies have shown that people are far more relaxed and willing to communicate with others on a weekend, they are more autonomous, they have time to slow down and smell the flowers... so don't rush through the Open House, slow down and take full advantage of my 25+ years of experience and knowledge, it is all there for the taking!