Real Estate Agent – Orange County, California – Pat Monahan

The market for Orange County real estate has seen a turn around lately. Properties are selling more quickly, many with multiple offers and some for all cash! The most activity is in the price range below $600,000. The fiercest buyer competition is in the under $400,000 price range where first-time home buyers with low down-payments are competing with seasoned investors with cash. The REO and short sale listings are attracting offers within the first few days on market. If you want to purchase coastal real estate in Orange County, be ready to act fast, have statements to prove your purchase-cash and/or be pre-approved for a loan with a direct lender. Buyers who qualify under FHA guidelines must compete with all cash buyers. Be ready to offer above asking price and accept the property in “as is” condition.

Equity sellers who have maintained and up-graded their home may benefit from this buying frenzy, if they are willing to price their home competitively. Special marketing is essential with strong internet presence and the creative techniques of the “New Rules” of real estate. I know how to utilize the “New Rules” and I can provide you with the internet presence that will get your home widely seen. Learn how you can benefit from this specialized knowledge.

If you are having difficulty making your current mortgage payments, contact your lender before you fall behind in your payments. Ask if you qualify for a loan modification from your lender. If you do not, then you have options. Call me to find out about your options. I can help you steer a path in this sea of confusion and shine some light in the right direction. I can be reached at 714-932-5529.   

The Making Home Affordable plan released recently by the Obama Administration has two primary goals.

1. to help homeowners who are current on their mortgage payments to refinance at today’s lower interest rates.  2. to help homeowners at risk of foreclosure.

The intention of the plan is to help people stay in their home under an affordable payment plan. However, the requirements are high and difficult for most folks to qualify  – in many cases through no fault of their own.

The Government is warning homeowners to beware of foreclosure scams: There should never be a fee charged for information or assistance regarding the Making Home Affordable Program. Never make your payment to anyone other than your mortgage company without their approval. Do not sign over the deed to your property to any organization or individual unless you are working directly with your mortgage company to forgive your debt.

First-time home buyers are the fortunate ones in today’s market. Interest rates are at historically low levels – below 5% – and home values are affordable and considerably below the high prices of 2006 & 2007.  Those first-time buyers are also eligible for a $10,000 federal tax credit, if the purchase is concluded before December 1, 2009.  The State of California is also helping the New Home market by offering an $8,000 tax credit for purchase of a “new” home from March 2009 to March 2010.

The mortgage market has money to lend to credit-worthy buyers. The dream of homeownership is very attainable for those with good credit, qualifying income from steady work (a good job), and money in a savings account for a downpayment. The downpayment can be as little as 3.5% of the purchase price if the loan is financed through the FHA program and under the loan amount limit placed on it by Congress. 

The Congress temporarily raised the limit from $625,500 to a maximum loan amount of $729,750 in high-cost areas. The extension is good through December 31, 2009 for loans generated through Fannie Mae, Freddie Mac and FHA.

If you want to purchase or refinance a larger amount than Fannie, Freddie or FHA allows then jumbo financing is what you want. Jumbo loans are available to eligible home buyers for homes valued from $730,000 to $1.5 million through Bank of America.  Other institutions are involved with the jumbo loan market at  higher amounts. B of A’s new program requires hefty liquid resources – six months of principal and interest, property tax and insurance payments in reserve plus fully documented income and solid credit.

As you can see, there is mortgage money available for almost any need. There are also excellent buying opportunites available from bank owned to foreclosure homes to realistic equity sellers. 2009 is the time to buy!