Buyer Resources
Creative Financing Solutions to Help You Buy a Home in LA
For most people, buying a home is the most significant investment of their lives. And seeing that the average home cost in LA is $902,989, it's no wonder that people often struggle with finding the necessary funds to make their purchases. But, while most are aware of home loans and mortgages, few consider other financial options. Well, to help shine some light on this topic and hopefully increase your budget, we will take a look at a couple of financing solutions to help you buy a home in LA.
Buying a house from a family member
Many things can happen when buying a home from a family member. But, do not worry - we are here to help you out. We will share with you some tips on how to make this process as stress-free as possible.
Buying a home with your significant other
There are many things to consider when you are buying a home with your significant other. When chosen correctly, your new property can improve your living standard in numerous ways. You can choose a home that suits your needs better than the one in which you currently live, and you are simultaneously making a prudent financial decision. However, it is one of the most significant decisions you will ever make, especially if you are making a new step in your relationship.
All you need to know about moving to California
California’s diversified scenery, culture, and climate make it appealing to newcomers. The state has a booming economy, a vibrant nightlife scene, and numerous national parks to visit. If you're ready to pack your belongings and go to the Golden State, here's what you should have in mind.
Understanding Title Insurance
The purchase of a home is one of the most expensive and important purchases you will ever make. You and your mortgage lender will want to make sure the property is indeed yours and that no one else has any lien, claim or encumbrance on your property.
Understanding Preliminary Reports
After months of searching, you’ve finally found it -- your perfect dream home. But is it perfect? Will you be purchasing more than just a beautiful home? Will you also be acquiring liens placed on the property by prior owners? Have documents been recorded that will restrict your use of the property? The preliminary report will provide you with the opportunity, prior to purchase, to review matters affecting your property which will be excluded from coverage under your title insurance policy unless removed or eliminated before your purchase.
Title Insurance - Where Does Your Dollar Go?
Title Insurance: As a homebuyer, the term is probably familiar - but is it understood? What is your dollar actually paying for when you purchase a title policy?
Creative Financing
Creative financing: You’ve heard of it, and, as a seller, the idea sounds pretty attractive. But, do you know everything you need to know about carrying back a second; essentially, about becoming a lender? You better know the same things that financial institutions know - you better know about lender’s title insurance.
Your Savings and Down Payment
When preparing to buy a home, the first thing many homebuyers do is look at the real estate ads in newspapers, magazines and listings on the Internet. Some potential buyers read how-to articles like this one. The next thing you should do - before you call on an ad, before you talk to a realtor, before you shop for interest rates - is look at your savings. Why? Because determining how much money you have available for down payment and closing costs affects almost every aspect of buying a home - including how you write your purchase offer, the loan programs you qualify for, and shopping for interest rates.
Which ARM is the Best Alternative?
Adjustable rate mortgages all have certain similar features. They have an adjustment period, an index, a margin, and a rate cap. The adjustment period is simply how often the rate changes. Some change monthly, some change every six months, and some only adjust once a year. Indexes are simply an easily monitored interest rate that moves up and down over time. Adjustable rate mortgages have different indexes. The margin is the difference between your interest rate and the index. The margin does not change during the term of the loan.
Where Does the Money Come From for Mortgage Loans?
In the old days, when someone wanted a home loan they walked downtown to the neighborhood bank or savings & loan. If the bank had extra funds lying around and considered you a good credit risk, they would lend you the money from their own funds. It doesn’t generally work like that anymore. Most of the money for home loans comes from three major institutions.
What's a FICO®?
FICO® stands for Fair Isaac & Company and is the name for the most well known credit scoring system, used by Experian. The credit bureau’s computer evaluates a complete credit profile and assigns a score, which is used to estimate credit worthiness. Each of the three bureaus (Experian, Trans Union, Equifax) employs its own scoring system, so a given person will usually have 3 separate scores.
Types of Mortgage Lenders
Mortgage Bankers are lenders that are large enough to originate loans and create pools of loans, which are then sold directly to Fannie Mae, Freddie Mac, Ginnie Mae, jumbo loan investors, and others. Any company that does this is considered to be a mortgage banker.
The No-Cost Thirty Year Fixed Rate Mortgage
There really is no such thing as a no-cost mortgage loan. There are always costs, such as appraisal fees, escrow fees, title insurance fees, document fees, processing fees, flood certification fees, recording fees, notary fees, tax service fees, wire fees, and so on, depending on whether the loan is a purchase or a refinance. The term “no-cost” actually means that your lender is paying the costs of the loan. All a no-cost loan means is that there is no cost to you, the borrower. Except that you pay a higher interest rate.
Simple Tips to Manage your Home Buying Anxiety
There’s no better feeling than becoming a homeowner in your own right and owning a piece of residential property. That’s when you know that you’ve truly made it! However, as many first-time homeowners will tell you, the entire process of buying a house can be quite nerve-wracking.
Mello-Roos
In purchasing your new home, your future monthly payments will be made up of principal, interest, real property taxes, and insurance. But what is the tax for the Community Facilities District, otherwise known as a Mello-Roos District? The Land Title Association (LTA) has answered some of the most commonly asked questions about the Mello-Roos Community Facilities Act.
Buying a Vacation Home in California - Tips and Tricks
If you have decided on buying a vacation home in California, you have made the right choice. California boasts of the seaside, mountains and worldwide famous places. And of course the weather.
Why You Should Not Make Any Major Credit Purchases
Don’t go on a spending spree using credit if you are thinking about buying a home, or in the process of buying a new home. Your mortgage pre-approval is subject to a final evaluation of your financial situation.
Use a Buyer's Agent
It’s important that you choose an experienced agent who is there for you. Your agent should be actively finding you potential homes, keeping you informed of the entire process, negotiating furiously on your behalf, and answering all of your questions with competence and speed.
Thinking About Buying a Foreclosure?
It is true that foreclosed properties can be priced at a significant discount, but they are also a much riskier investment. Before making an offer on a foreclosed property, do your due diligence.