• Use the appropriate cooking utensils in your kitchen.  Most electric stoves are equipped with two small burners, and two large ones.  Make sure that you are using your small pans on the small burners, and large pans on the larger burners.  Using a small pan on a large burner wastes energy, adds heat to kitchen, and may cause the handles to warp on the pans if they become too hot.  Place lids on your pots and pans when they are on the stove, this will conserve the heat and decrease the workload on your cooling system.

• Repair dripping sink faucets in the kitchen.  You can replace the faucet in your San Diego real estate condo inexpensively.  A few drips on a constant basis adds up to gallons of wasted water.  Replacing the faucet can substantially decrease the amount of water you use.

• Run the dishwasher only when it’s full.  There are several ways to save energy with the dishwasher.  Make sure that the appliance itself is energy efficient.  Next, scrape the dishes before you load them.  This may allow you to set the wash cycle to a light or normal wash, instead of a heavy wash cycle.  Set the drying cycle to air dry.  Air-dry cycles decrease the amount of heat the appliance creates.  These tips will save a lot of water and energy.

It’s easier than you may think to update the kitchen in your San Diego real estate condo using green appliances and energy-saving methods.  Depending on what you buy, you may also qualify for a federal tax credit for energy efficiency.

Want to buy an energy-efficient home?  Call me now at 760-809-2788 or email me at CoastCondo@earthlink.net for more information.

Coastcondo@earthlink.net

My guess is that the typical American puts more thought into the search for a flat-screen TV than into the choice of a mortgage lender.

Shopping for a TV is fairly straightforward. You read reviews online or in Consumer Reports; you eyeball a few models in the store to see if the image looks sharp; then you buy from whichever merchant has the lowest price. If the TV doesn’t work, the merchant gives you a new one.

Shopping for a mortgage is more complicated, less fun and infinitely more dangerous to your long-term financial interests. At the end of the process, you probably have no idea of whether you got the best deal available. Was the upgrade on those cherry kitchen cabinets really worth the high rate and fees you paid to the lender affiliated with your friendly home builder? Probably not, but that salesman sure was persuasive, and you were glad to be relieved of spending the next three days shopping for mortgages.

Now help is on the way from a most unlikely source: The U.S. Department of Housing and Urban Development, or HUD.

Federal rules that take effect Friday mandate a standard, three-page Good Faith Estimate that urges consumers to shop around for the best loan and helps them compare lenders’ offerings. The rules, announced by HUD in November 2008 but just taking effect this week, are an update of the Real Estate Settlement Procedures Act, a 1974 law known as Respa.

One difficulty of shopping for mortgages is that the lender with the lowest rates often isn’t offering the best deal. High fees can wipe out the benefits of low rates, and little-noticed features such as prepayment penalties might blow up on you later on. Even for members of Mensa, it’s hard to compare different combinations or rates, “points” (paid in exchange for a lower rate), fees and other terms. Lenders often sprinkled in lots of confusing charges, such as processing and messenger fees, to pad their margins. Dickering over theses “junk” fees distracted borrowers from the bigger picture of total costs.

All of these complexities favor lenders, of course. The more confused you get, the less likely you are to realize you just got fleeced.

To address those problems, the new estimate form requires lenders to wrap all the fees they control into one “origination charge.” That lets you compare one lender’s fees with another’s. Jack Guttentag, a finance professor emeritus at the University of Pennsylvania’s Wharton School, recommends that borrowers focus on two items as they shop: the interest rate and the “adjusted origination charge,” which includes any points paid to lower the rate.

Good Faith Estimates have been around for decades, but there was no standard format. Under the new rules, lenders and mortgage brokers are required to give consumers the standard estimate forms within three days of receiving a loan application.

Lenders aren’t allowed to increase the origination fee from the estimate. Some additional charges, including title services and recording charges, can increase by as much as a combined 10%. Estimates for other charges, such as homeowner’s insurance and other services provided by third parties selected by the borrower, aren’t subject to such limits.

Title insurance typically is the largest fee, and the new forms let consumers know they don’t have to accept the insurer suggested by the lender. Mr. Guttentag says title insurance can be “vastly overpriced” and consumers should take the time to shop for it.

Settlement firms, which organize the closings of home sales, will be required to issue a new version of the HUD-1 form used in closings. This new HUD-1 includes a comparison of the estimated and final costs, as well as a summary of the loan terms.

Will all this make a big difference? Mr. Guttentag, who has been exposing the tricks of lenders and brokers for decades, thinks the new rules will help, though they aren’t a cure-all.

Much depends on whether Americans want to put in a bit of effort rather than simply accept the often biased mortgage advice of a real estate agent, home builder, broker or banker. The real estate agent may urge you to use an affiliate of his firm, or recommend the lender most likely to grant a loan quickly rather than the one with the best terms. The builder wants you to use his in-house lender. The brokers and loan officers are working for themselves, not for you.

When you’re trying to pick a new TV, you don’t rely on a TV manufacturer to give you an impartial review of the alternatives.

If you’d like more tips on how to buy San Diego real estate, subscribe to this blog.  It’s free and easy.  Just enter your email address in the subscription section, and you’ll automatically receive tips like this in your email inbox a couple of times a week.

Coastcondo@earthlink.net

Pre-qualified Loans
Before shopping for Encinitas homes for sale, you want to look at lenders. Not all mortgage lenders are created equal. Especially now, with the rocky economic times, you have to be especially careful who you get your mortgage through.  When you find a lender you’re comfortable with, you have two choices: start shopping for houses or get pre-qualified for a loan.

Pre-qualification for a loan is based on the best estimate of the loan officer, not “set-in-stone,” verified facts. The officer believes, because of the information you tell them, that you have good credit and can financially afford a specific loan amount. For this reason, because it isn’t verified, pre-qualification doesn’t hold as much weight with buyers. As well, you could still end up wasting a lot of time looking at houses you can’t afford.

Pre-approved Loans
The second step in getting a mortgage loan is pre-approval. With pre-approval, the lender has received verification that, yes, you are credit worthy and yes, you can afford up to a specific loan amount.

Pre-approval not only gives the seller the idea that you’re a good prospect, but it also helps you out while looking for a home:

• You already know how much home you can afford.

• You already know that you’re qualified to buy any home you look at that falls within your verified loan amount.

• You have better negotiating power with the seller (who may be more willing to accept less than list price knowing that you are already pre-approved).

• The closing period can happen faster, narrowing the typical 30-day period to less than three weeks.

In short, when looking at Encinitas homes for sale, it’s better to be pre-approved, but you can’t get pre-approved for a mortgage without being pre-qualified.  So do yourself (and your new home) a favor and do both.

Need help selecting a mortgage lender?  I can help. Call me at 760-809-2788 or email me at CoastCondo@earthlink.net for more information.

Coastcondo@earthlink.net

Unfortunately, a lot of homeowners are also choosing to forego the legal building permit process, trying to further save money.

Every building, occupied or unoccupied, has a set of building codes. Any changes that you make to your home must comply with those building codes, which means most home improvements, whether done by you or by a professional you hire, needs a permit. Depending on your locality, the home improvement that requires a permit could be as simple as installing a water heater.

Hire Someone to Get the Permit
The National Association of the Remodeling Industry (NARI) says hiring a contractor can actually save you money and time, even if all they do is handle the permit process. They also warn that a contractor that expects you to handle the permits is a contractor you don’t want to use.

Get the Permit Yourself
So how do you get a home improvement permit if you’re doing your own remodeling for your home for sale in North County San Diego? Submit a building plan for big projects or a description of the work for smaller projects. The plans are approved for a fee (if they comply with building codes). Building inspectors will look over the job while it’s in progress, after it’s finished or both, and make sure you used the right materials and techniques.

Cost of Not Getting a Permit
It may sound like a lot of trouble to go through, but the cost of not getting a permit can be a lot worse. For instance, if a potential buyer hires a home inspector to look over your property, the home inspector may see signs of your remodeling. They might then look for the permit record. Without one, you could lose the deal.

As well, home appraisers may look for permit records to see if a remodel changed the property value. If the work wasn’t covered by a permit, there’s a very real possibility of the escrow not going through.

If illegal home improvement is found, you might end up paying hefty fees for further inspections. You might even have to tear down sheet rock inside the house so framing, insulation and other interior work can be seen. In addition, you might have to tear out what you’ve done just so you can legalize the work and sell the home.

If you have a home for sale in North County San Diego and are thinking about sprucing it up to attract more buyers, a word of caution. Don’t skimp on the permits!

If you’re ready to sell your home, I can help. Call me now at 760-809-1788 or email me at CoastCondo@earthlink.net for more information.

Coastcondo@earthlink.net

Ownership
When you purchase a San Diego real estate condo, you own the space within your condo’s walls.  The actual walls are co-owned with your neighbor, as well as the common areas like the hallways; building exterior; yard and amenities such as the pool, gym, and walking trails.

Condo Association Fees
Each condo has Association fees that are in addition to the mortgage.  These fees are used for maintenance and repairs of the common areas.  The Association fees also pay for the landscaping and, usually, trash removal.

Condo Association Rules
Associations also have rules.  They have regulations about what you can do with your property, including what kind of pets, if any, are allowed.  Most Associations don’t allow making changes to the exterior of the property.  You can paint the walls inside your condominium, but can’t paint the outside.

Neighbors
So you’ve found the condominium that works for you.  The next thing to consider is what kind of neighbors you’ll have.  Disruptive and noisy neighbors can ruin even the perfect condominium.  A good thing to do is stop by the condo at different times on different days, so you can get an accurate impression of what living there is really like.  Think about looking at the Association’s board meeting minutes.  They’ll list what complaints the other owners have, and by looking at those you can get the big picture of life there.

Don’t let Association fees and close neighbors scare you away from condominium life.  While purchasing a San Diego real estate condo is not simpler than buying a single-family home, living in one may be.

Thinking of buying a condo?  I can help.  Call me now at 760-809-1788 or email me at CoastCondo@earthlink.net.

Coastcondo@earthlink.net

Over half of those surveyed went at least $2,000 over budget for room additions. On basement finishing, 56% spent $1,350 over budget. Kitchen remodeling also had 56% going over budget, by $1,200. Lastly, 45% went over budget by $700 on deck additions. What was the reason? Surprisingly, they all had similar reasons:

• Plan adjustments
• Underestimated labor
• Increased cost of materials
• Special tools needed
• Unexpected system upgrades

If you plan to remodel your San Diego real estate in the near future, keep these tips in mind so your home improvement goes as planned:

Do your research – Factor in delivery and removal fees.  Make sure you know which products the contractor should have and plan ahead.

Don’t deviate – Once you have a well-developed remodeling plan, don’t deviate from it. Those who did ended up going anywhere from $2,000 to $10,000 over budget.

Check the contract – Make sure your contractor’s contract has a set amount for materials. Some have open-ended amounts, which makes it quite easy to go over budget. Read the contract before you sign it!

Check up on the remodeling contractor – Get the referrals and then put them to work. In other words, don’t just get a list of numbers and names, and then forget to check up on the contractor. Follow through and make sure the contractor is a good one.

A little remodeling can go a long way in helping you sell your San Diego real estate. Just make sure you know what you’re doing before you hire anyone to do it!

If you’re trying to sell your home, or looking for a great home to buy, I can help. Call me at 760-809-1788 or email me at CoastCondo@earthlink.net for more information.

Coastcondo@earthlink.net

Candle Placement Preparation
It may sound silly, but you need to prepare before you light that candle.  First figure out where you want to place the candle in your San Diego real estate condo.
•    Find a heat resistant surface.
•    Make sure there aren’t any books, papers, curtains, or bedding nearby.
•    Watch out for flammable holiday decorations.
•    Keep the candle away from windows and vents, and check for signs of a draft.
•    Place the candle where children and pets can’t reach and where it isn’t likely to be bumped into.

Getting Ready to Light the Candle
•    Before burning the candle, review the manufacturer’s instructions.  Most recommend that the wick be trimmed to ¼ inch before lighting.
•    Make sure to use only approved candle holders.  Using an unapproved glass holder could cause it to burst and send glass everywhere.
•    Place candles at least three inches apart so the additional heat doesn’t cause them to melt improperly.

Burning the Candle
Now that the candle is lit, make sure to never leave it unattended.
•    Watch the candle to see if it smokes or flickers a lot.  This could be a sign that the candle isn’t burning properly.
•    Leave about two inches of wax when you extinguish the candle.  Most manufacturers recommend that you don’t burn the candle all the way down.

Putting the Candle Out Safely
The safest way to put out a candle is with a candle snuffer.
•    Don’t use your fingers or blow out the candle; the flame may travel and cause a fire.
•    Never use water to put out a candle; the wax may splatter and burn you.
•    Wait until the wax is cooled before you move the candle.

Candles are a beautiful way to decorate for the holidays in your San Diego real estate condo.  By following these simple safety suggestions, you can help to ensure that your holidays are happy and safe.

If you’d like to be in a new condo before the next holiday rolls around, I can help. Call me at 760-809-1788 or email me at CoastCondo@earthlink.net for more information.

Coastcondo@earthlink.net

With temperatures dropping and leaves falling, there are plenty of things to add to your “to do” list. Just in case your list is empty, here are a few “to do’s” to get you started on your fall San Diego real estate condo home care:

•    Sealing Your Driveway – If you have a blacktop driveway, you probably already know it isn’t going to be smooth forever. The asphalt cracks, the color fades and the asphalt sags to create potholes. As winter rolls around and snow begins to fall, you’ll probably be putting down salt, which will further break down your driveway. Sealing it now, either by hiring a company to do it or sealing it yourself, can help keep your driveway smooth and beautiful.

•    Winterizing Your Sprinklers – Sprinkler systems do wonders in keeping your lawn green. However, leaving water in the system over the winter can cause a big, expensive mess, especially if the pipes aren’t buried below frost level. If you don’t feel comfortable winterizing the sprinkler system yourself, you can hire a professional for under $500.

•    Cleaning Gutters and Roofs – Everybody knows that fall brings leaves that fill your gutters and cover your roof. If you haven’t been on the roof of your house lately, now’s the time to do it. You want to make sure all the debris is gone before the snow hits, so the strength of your roof isn’t tested further. For that matter, now is a great time to install gutter guards; you’ll never have to clean your gutters again!

Preparing your San Diego real estate condo home for the winter can be a tedious process, but the money you’ll save with proper maintenance will put a smile on your face.

If you’re looking for a home to call your own, I can help. Call me at 760-809-1788 or email me at CoastCondo@earthlink.net for more information.

Coastcondo@earthlink.net

What are EEMs and EIMs?
An EEM adds a home’s energy efficiency into the mortgage, giving you the ability to finance energy efficient measures as part of the mortgage payment. One of the good things about an EEM is that it stretches the debt-to-income qualification ratio, which means that you can qualify for a larger loan and a more energy efficient home.

An EIM is for existing San Diego bargain real estate that you plan to make energy efficient improvements to. You can include the cost of the improvements into the mortgage without raising the down payment. In addition, whatever you save in utility costs from the improvements can go to finance more improvements.

Qualifications
If you’re trying to qualify for an EEM or EIM, you’ll need to have a home energy rating conducted first. This is to give you an estimated Energy Savings Value – the value of the measures and the estimated monthly energy savings.

Types of Energy Mortgages
There are several types of energy mortgages available:

•    Conventional – sponsored by Fannie Mae and Freddie Mac, these EEMs give the Fannie Mae approved lender the ability to raise your income, matching a dollar for each estimated dollar gained through efficiency.

•    FHA – Lenders can add 100% of the cost of improvements to an approved FHA loan, up to $4,000 or 5% of the home value (maximum of $8,000). FHA loan limits won’t stop you from getting the EEM. You can find out more about the FHA EEMs on their website.

•    VA – Veteran’s Administration EEMs cap energy improvements at $3,000 to $6,000, and are for buying existing San Diego bargain real estate. If you’re a qualifying reservist, veteran or military personnel, you can find more information on the U.S. Department of Veteran’s Affairs website.

•    Last but not least, there is the Energy Star mortgage pilot program. Currently, it is only available in a few states, but it’s growing to include others.

If you’re interested in making energy efficient improvements to an existing home or buying a home that’s already energy efficient, I strongly recommend that you look into EEMs and EIMs.

If you’re looking for an energy efficient home or one you can make energy efficient, I can help. Call me at 760-809-1788 or email me at CoastCondo@earthlink.net for more information.

1.   Use an ottoman for your coffee table.  It can double as storage.
2.   Put shelves above the doorways rather than somewhere else on the wall.
3.   Low bookcases along the back of your couch can double as a couch table.
4.   Use glass shelves in deep-set windows as additional storage space for knickknacks.
5.   Buy larger, but fewer, pieces of furniture.
6.   Use a magazine rack.
7.   Leave the views of windows and doors uncluttered.
8.   Stay away from bright, vibrant prints for furniture fabric.
9.   Use corner bookcases where possible.
10.  Remember that, with a San Diego Real Estate Condo, less is more.
11.  Maximize space in the kitchen with apartment-size appliances.
12.  Consider under the counter appliances or a pullout pantry unit.
13.  Use magnetic strips to wall-mount large knives.
14.  Consider a futon or Murphy bed rather than a huge mattress.
15.  If you have a big bed, use the space underneath as storage.
16.  Purchase pull out drawers or storage bins as under-the-bed storage areas.
17.  Add shelving and wall cabinets to your bedroom to minimize clutter.
18.  Use knobs and hooks in your bathroom for hanging towels or robes.
19.  If you have the room, use a tall thin corner tower in your bathroom for towels and cleaning products.
20.  Use a clothes hamper rather than a basket.

Just because you live in a San Diego Real Estate Condo doesn’t mean you have to feel crowded or settle for a less than gorgeous décor.

If you’re considering buying or selling a condo, I can help.  Call me at 760-809-1788 or email me at CoastCondo@earthlink.net for more information.