GDP has dropped this quarter. What does this mean for the housing market? Gross domestic product has decreased by 0.9% this quarter after falling 1.6% in the previous quarter. Many homeowners are concerned about how this will affect the value of their properties. Will it cause home prices to drop? The short answer is no. The number of home sales may have slightly decreased due to rising rates, but home prices are not as affected as you might think.  What does this mean for the housing market? This will depend on your goals. For home sellers, you have to understand that prices are now mov ..read more

How I helped recent clients find a fantastic deal on a new home. How can you be sure that you’ve picked the best agent for you? In my opinion, I think I’m the right person no matter your real estate needs. However, don’t just take my word for it. Today I want to share a client success story that illustrates what I can do for you.  I first started working with this couple 642 days ago. They were living in Costa Mesa and either wanted to stay in their town or move to Huntington Beach. A short distance from the beach was important to them because they wanted to bike there.  I believe t ..read more

Here are a couple purchases buyers should (and shouldn’t) make before closing. On the tail end of the home-buying process, there’s often a two-week window when there’s not a whole lot for the buyer to do beyond the final walk-through. Sometimes, they’ll take that period to go shopping for furniture and other home goods online. Today we’ll talk about what you should (and shouldn’t) purchase as you’re waiting to close on your home. You shouldn’t buy furniture or other expensive items on your credit card before your transaction is closed since doing so could negatively affect your debt-to-i ..read more

Here’s how you can find your debt-to-income ratio and qualify. “What exactly does it take to qualify for a mortgage?” Interest rates are rising, and I’ve received this question a lot recently as a result. Many buyers want to find a new home before rates increase further. If you’re in that boat but don’t know what you qualify for, today I want to break down what you need to qualify for a mortgage. If you want to find out what you can qualify for, the first thing you need to do is calculate your debt-to-income ratio. If you’re a traditional employee, your lender will use something called a gros ..read more

Where the market is now and where it’s headed in the future. Over and over, people have been asking me about what’s happening in the market. Where have we been, and where are we headed in the future? Today I’ll address a few points that will help answer these questions. The average interest rate was 3.17% on December 27, 2021, which was extremely low. At the same time, the supply of homes in Orange County was the lowest it had been since 2004—there were only 996 homes available on the market. Today interest rates have risen to 4.55%. Historically speaking, that’s still an incredibly low rate ..read more

Here are a few things you should not do until your home purchase is final. If you’re in the process of trying to secure financing for a home purchase, there are certain things you should avoid doing at all costs. There are three, in particular, that you should watch out for: 1. Avoid making large purchases. It’s exciting to be so close to the finish line, but don’t count your chickens before they hatch. If your debt-to-income ratio changes due to a large purchase, your financing may not go through. I’ve seen it happen before, and it’s a nightmare. 2. Avoid planning trips out of the country. D ..read more

Here’s what buyers and sellers need to know about rent-back agreements. Today we’re going to talk about renting a home back. Typically, renting is something that you want to avoid as a seller, but when you rent a home back, you’ll be renting it from the buyer. This gives you more time to find your new home and transition smoothly into it. Let’s go over some of the specifics and advantages of rent-back agreements. “A rent-back gives the seller more time to move and makes the buyer’s offer more appealing.” When you’re renting back, the cost typically falls into three categories. Sometimes the b ..read more

Here are the basics about what buyers will pay for in closing costs. What do buyers have to know about closing costs? In addition to the down payment, buyers need to factor in closing costs of 1.25% and 2.5% to pay for prepaid items, lender fees, escrow fees, and title fees.  Here’s an example of prepaid items: If you’re closing on your purchase in July, the seller has likely already prepaid their taxes until November, so you need to pay them back for that. Another prepaid item is for if you set up a new escrow impound account. With that, you’ll be paying one-twelfth of your taxes and in ..read more