Noel Crider's Blog

Auburn CA Real Estate is seeing multiple offers over asking price.

Noel Crider (Better Homes & Gardens Real Estate) — Mon, 14 May 2012 13:36:09 -0700

Multiple Offers Gaining Momentum in Auburn CA, and other hot real estate markets.

Remember the “Roaring 90’s”….. Those days when you could list your house on Friday and on Saturday people would be parked in your driveway writing offers and good faith checks on the hood of their cars? Multiple offers were the norm and offered sellers a generous selection of offers from which to choose.

Believe it or not we are experiencing a trend toward multiple offers even in this still difficult market and there is evidence that this trend will continue as buyers compete in a market with limited inventory.

What are the fundamentals driving this “Multiple Offer” revival?

Are you experiencing the same in your market?

Buy a home after short sale - no waiting period.

Noel Crider (Better Homes & Gardens Real Estate) — Fri, 24 Feb 2012 10:25:44 -0800

Staying current on your mortgage provides options for underwater homeowners.

Recently I learned about a program where an underwater homeowner can short sale their home, and buy their next home immediately. There are qualifying criteria, however:

Your present property is financed through a conventional mortgage.
You finance the new home through an FHA loan.
You have not missed any mortgage payments.
All other debt is current.
The decision is the right decision for your family, i.e.,

The new home is less expensive.
The mortgage payment is lower.
The property is closer to work.
There is an increase in room count to accommodate a growing household.

If you think you might benefit from learning more about this program, contact me and I'll put you in touch with a lender who has access to this program. Not all lenders do, especially not the big banks.

To read the entire blog post, click here.

Upside-down in your home? You may be able to qualify to buy another!

Noel Crider (Better Homes & Gardens Real Estate) — Mon, 05 Dec 2011 12:20:53 -0800

Many upside-down homeowners have found a way to take advantage of this incredible buyer's market!

I talk to people daily who express frustration about the fact that they must continue to make payments on a home that is significantly upside-down. They watch as their neighbors abandon properties, either due to hardship, or because they are simply sick of paying for a home that will possibly never be worth what it once was. Then they watch helplessly as new buyers come in and buy the abandoned home at a deep discount, further submarining their property value. So, why don't they follow suit? For many, walking away from their responsibility is not something they can comfortably do.

What is an upside-down homeowner to do?

Many homeowners decide that the best strategy is to call their bank and try a loan modification. Unfortunately, the reality is that 96% of loan modifications fail. Typically, as a condition of being considered for a loan modification, they are told by their lender that they must miss payments, which causes havoc to their credit score. And in many cases where the modification is granted, the new payment ends up being higher due to the fact that the accumulation of missed payments is lopped onto the new loan balance. You may be like these frustrated homeowners who don't want to ruin their credit by defaulting on a loan. You may not qualify for a short sale. Or you may not feel right about walking away. However, you wish you could take advantage of the best buying market in decades. Guess what? You may be able to!

What?! I can buy an investment property?

Quite possibly. I had lunch today with my favorite lender, Roland Benson, with iMortgage (916) 768-1578. He said that while most large banks will not fund this type of loan, iMortgage is a direct lender and does NOT impose extra restrictions. Because of this freedom, Roland's company has success getting these loans funded and closed!

Here's how it works:

Find a property you would like to buy. If you don't have an agent, I can help you. Contact me.
Contact Roland Benson with iMortgage (916) 768-1578.
Most properties in this market can cover their own mortgages through rental income.
As long as your credit is intact (i.e., you have not missed payments by attempting a no-win loan modification), you are likely good to go.

Many people have no idea that this is an option. I sure didn't until I talked to Roland today. Take advantage of this great market and go buy an investment property today!

Auburn, CA Home Retention Workshop this Thursday!

Noel Crider (Better Homes & Gardens Real Estate) — Mon, 05 Dec 2011 12:09:15 -0800

Local Auburn, CA Attorney and other professionals will answer your questions FOR FREE

Many homeowners today are struggling to make their mortgage payments. They are losing sleep night after night, wondering what to do: Loan Modification? Short Sale? Foreclosure? Bankruptcy? Because they are uninformed about their options, they may not do anything. Unfortunately, time marches on, and the situation only gets worse. Come join us on Tuesday, December 8th, from 6:00 - 7:30 to learn about real options options. This is a great opportunity to ask questions of professionals who are out there helping homeowners every day.

Click here for more information and to register!

You're buying a home! Here are the 10 Steps to Closing Escrow.

Noel Crider (Better Homes & Gardens Real Estate) — Tue, 15 Dec 2009 22:08:28 -0800

Today's the day! Your offer has been accepted! Now you wonder...what happens next? It's time for the team to get to work. Your lender, title company and realtor is the Dream Team that works to get the job done!

Here are the steps to getting the keys to your new home.

Buyer's remorse. Expect it. Everyone gets it. Then get over it! You've wanted to get to this moment through months of looking, writing offers, getting beat out, writing more offers, and on and on. You're where you want to be! Let's get the escrow closed!
Contract and Earnest Money to Escrow. Your agent will arrange for the fully executed contract (signed by both buyer and seller) to be delivered to the title company handling the escrow. Your deposit check is deposited with the title company and cashed at this time. Keep in mind that if the contract is cancelled, the escrow officer must receive mutual agreement from both buyer and seller before earnest money can be returned. Your agent is responsible for making sure you stay within the bounds of the contract so that your money is protected.
Loan Approval. As soon as possible after agreement, meet with your lender to proceed with loan approval. Loan approval has the longest lead time in the escrow process, so it is important that you get on this as soon as possible to avoid any delays. Your lender will also schedule an appraisal to ensure that the purchase price is supported which is necessary for loan approval.
Inspections. Your agent will schedule any desired inspections that you are responsible to pay for. You are free to choose the inspectors, or your agent may have referrals for you. He or she will receive reports of any inspections coordinated and paid for by seller. You are welcome to be present at the inspections, and most inspectors welcome any questions you might have.
Disclosures. The seller must deliver to your agent required disclosures about the property such as the Transfer Disclosure Statement (TDS) and Seller Property Questionnaire (SPQ), usually within 7 days of agreement. Through these disclosures, the seller must reveal any material facts that might influence your decision to purchase the property.
Negotiate repairs. Should any of the inspections reveal items needing repair, you may ask the seller to address them through a "Request for Repair" form provided by your agent.
Contingency Removal. Once the loan is approved, the appraisal comes in at value, and all inspections and disclosures have been reviewed, it is time to remove all contingencies and move to close the escrow. This must be done in writing by your agent and usually occurs at Day 17. At this point your earnest money deposit is now committed to the contract, and the seller has a right to pursue this money should you cancel the contract past this point.
Moving to Close. The loan documents are prepared and sent to the title company, and you will be contacted by the title company to set an appointment to sign them. You will also need to bring necessary closing funds in the form of a cashier's check in the amount given to you by the escrow officer The seller will also set a separate appointment to sign their necessary closing documents.
Final Walkthrough. Within 3 days before the close of escrow, you and your agent will visit the property one last time to make sure it is in the same condition as when you made the decision to purchase it.
Utilities. Make sure to call the appropriate utility companies to schedule your utilities to be transfered over. Your agent will be able to supply you with a list of local companies.
Closing. A few days after signing, depending upon the lender and title company and their schedules, your loan will be funded and the deed will be recorded at the County Recorders Office.
It's all yours! Your realtor will meet you to hand over the keys to your new home!

Remember that you don't have to do all this alone! Your agent will help you through every step of the way. He or she will keep you on track with the timelines of the contract, and protect your interests throughout the process. Nothing ever goes completely as planned, so your agent and other professionals on the team will help navigate any pitfalls and get the transaction back on track.

Find more homebuying information here!

Reduced to $317,000! 1470 El Camino Verde Drive, Lincoln, CA

Noel Crider (Better Homes & Gardens Real Estate) — Tue, 15 Dec 2009 21:55:51 -0800

Now $317,000!

Spacious & stunning 5 bedroom, 4 bath home, 3,566 SF, near new and move-in ready!

This beautiful Fosket Ranch home is bright and welcoming from the moment you walk in, with custom paint, soaring ceilings, a sweeping staircase and much more! The kitchen is open and spacious with plenty of room for cooking and entertaining. With 5 bedrooms and 4 full baths, there is plenty of room for everyone. The laundry/utility room is quite large, with storage and access to the outside. The master bedroom is lovely with a large bathroom and huge closet. This home is a must-see! No HOA dues.

Features:

5 Bedrooms, 4 full baths, 3,566 SF
Gorgeous custom paint
Large open kitchen flowing into family room
Granite countertops in kitchen
Breakfast nook & butler's pantry
Large separate living room with attached dining area
Beautiful master suite with huge walkin closet
Jack and Jill setup
Spacious utility/laundry room with outside access
Security system installed
3-car garage

Call, text or email me to see this beautiful home!

Noel Crider
(530) 305-8409
ncrider@kw.com

The wonderful tax benefits of homeownership.

Noel Crider (Better Homes & Gardens Real Estate) — Sat, 12 Dec 2009 11:39:11 -0800

The tax benefits to homeownership are almost too good to be true!

When you purchase a home, in most cases, loan discount points and origination fees are tax deductible to the buyer, regardless of who pays them.
You can deduct mortgage interest charged on a loan used to acquire or improve your principal residence in the year that it is paid. In the early years of a loan, most of your monthly payment is interest, so this can really add up.
Finally, when you sell the home, as an individual you can earn up to $250,000 and pay no taxes on it, and as a couple, it's $500,000. Learn more.

For more information about buying a home, please contact me.

1470 El Camino Verde Drive, Lincoln, CA

Noel Crider (Better Homes & Gardens Real Estate) — Sat, 12 Dec 2009 10:16:42 -0800

$325,000

Spacious & stunning 5 bedroom, 4 bath home, near new and move-in ready!

Features:

5 Bedrooms, 4 full baths
Gorgeous custom paint
Large open kitchen flowing into family room
Granite countertops in kitchen
Breakfast nook & butler's pantry
Large separate living room with attached dining area
Beautiful master suite with huge walkin closet
Jack and Jill setup
Spacious utility/laundry room with outside access
Security system installed
3-car garage

Call, text or email me to see this beautiful home!

Noel Crider
(530) 305-8409
ncrider@kw.com

Why now is the time to buy a home.

Noel Crider (Better Homes & Gardens Real Estate) — Fri, 11 Dec 2009 11:00:36 -0800

"If you wait until you see the robin, spring is over." Warren Buffet

You may be sitting on the sidelines waiting for the right time to buy a home. Here are some reasons you shouldn't wait.

Interest Rates. Today's record low rates are under 5% for most loan types, with jumbo loans and those for investment properties slightly higher. We haven't seen rates this low since Freddie Mac started tracking them in 1971. The federal government has been injecting $1.25 trillion into mortgage-backed securities to push down mortgage rates, but that money is set to run out next spring, and rates are expected to go up.
Home Prices. With median home prices bouncing around all-time lows, there is no reason to wait. Think about this: "even a 10% decrease in home prices is immediately nullified by a mere 1 percent increase in interest rates on a 30-year loan," says Gary Keller.
Tax Credits. The government has extended the $8,000 first-time home buyer credit through April 30, 2010, and has added a $6,500 credit for repeat buyers. Read about it here.
Tax Benefits. When you purchase a home, in most cases, loan discount points and origination fees are tax deductible to the buyer, regardless of who pays them. In addition, you can deduct mortgage interest charged on a loan used to acquire or improve your principal residence in the year that it is paid. In the early years of a loan, most of your monthly payment is interest, so this can really add up. Finally, when you sell the home, as an individual you can earn up to $250,000 and pay no taxes on it, and as a couple, it's $500,000. Learn more.
Timing the Market. It's ironic that when prices were escalating in the seller's market a few years ago, buyers were clammoring to buy! No one can time the market, but statistics show that the worst is over, and we are bouncing around the bottom. The time is now to purchase a great value.

For more information about buying a home in today's market, contact me.

4 Important Tips for Repairing Your Credit

Noel Crider (Better Homes & Gardens Real Estate) — Sun, 15 Nov 2009 20:02:14 -0800

By Scott Cooper

Scott is a regular contributor to my blog.

Credit repair does not have to be complex and can be boiled down two basic ideas: First, positive accounts will counteract the negative accounts. Second, time heals all credit.

If you have positive accounts, keep them. Do not close any accounts that have good payment histories as they will help balance the negative. In addition, older, unused accounts with a zero balance may help improve your score.
If some of your positive accounts are credit cards, keep the balances below 50% by paying them down, or transfer part of the balance to another card so the balance does not exceed 50% of the limit.
If you do not have at least 3 accounts that report to the credit reporting agencies, open up more accounts. With negative credit, opening new accounts may be difficult, so open a "secured" credit card. With a "secured" credit card you will need to send the credit card company a specific amount of money, and then you will receive a credit card in that amount. The new accounts will help you establish a positive credit history.
WAIT. While this may not seem like a plan packed with insider secrets, the fact of the matter is...time heals credit. Remember, this is a marathon not a sprint. If you maintain at least 3 accounts with perfect payments, your credit will progressively improve.

So, now you are 2 to 3 years in the future and what is the payoff for sticking to the plan? Your credit will be good enough to buy a home again. Don't let the setback of a short sale or foreclosure make you feel hopeless. You have options, and with the proper course of action, you may become a homeowner again much sooner than you thought possible.

If you need further information, or would like assistance with credit repair, contact me:

Scott Cooper

Buying a home after a Short Sale or Foreclosure???

Noel Crider (Better Homes & Gardens Real Estate) — Sun, 15 Nov 2009 19:29:55 -0800

by Scott Cooper, Big Valley Mortgage

Scott is a featured contributor to my blog.

Many people believe they won't be able to purchase a home for at least 7-10 years after a short sale or foreclosure, however, I am happy to inform you that is not the case.

Although your credit will be affected, you will be surprised how quickly you can buy again. The following are some commonly asked questions and answers you may find useful:

Q. How long after a short sale before I can buy another home?

A. New FHA guidelines state there is no minimum wait period after a short sale before you can buy another home if you do not have late payments on your mortgage and your credit history is acceptable.

Q. If I have late payments along with a short sale, how long before I can buy again?

A. The current guidelines require a two-year waiting period.

Q. How long after a foreclosure before I can buy again?

A. With an FHA loan, the minimum wait period is 3 years after a foreclosure.

If you need further information, or would like assistance with credit repair, contact me:

Scott Cooper

5 Tips to Getting Your Short Sale Offer Accepted

Noel Crider (Better Homes & Gardens Real Estate) — Tue, 03 Nov 2009 13:32:31 -0800

Why is it so competitive for buyers? The answer is that 68% of distress sales are receiving multiple offers. This is especially true in the affordable home range. Here are some strategies for your offer to make its way to the top of the pile.

Ask your lender to provide FULL loan approval and submit it with your offer. Your offer will have a huge advantage over others because it shows that financing will not be an issue in closing the transaction.
Submit your offer with Direct Lender approval. If your lender is not a direct lender, you can seek a preapproval from a direct lender, such as Bank of America, but you are under no obligation to use that lender.
Use Rebate Pricing to help pay for closing costs and minimize seller contribution. As a buyer you pay a slightly higher interest rate (.25 or so) and the lender credits additional commission back the buyer to assist with closing costs.
Ask your lender to contact the listing agent on each offer you submit. A good lender will communicate the highlights of you as the borrower and instill confidence about closing on time.
Communicate to the seller through your Realtor® that you are a committed buyer and will stay the course through the sometimes difficult transactions we are experiencing in this market.

If you have questions, or need a referral to a lender who can assist you with this high level of service, contact me and I will forward you on to the right person.

How do I file for the First Time Homebuyer Tax Credit?

Noel Crider (Better Homes & Gardens Real Estate) — Tue, 03 Nov 2009 13:15:04 -0800

If you are a First Time Homebuyer who qualifies for the First Time Homebuyer Tax Credit, here's how to file and receive your credit.

You have two choices: you can file to amend your 2008 tax return, or wait and file in 2009.

How to amend your 2008 tax return:

Download Form 5405 "First -Time Homebuyer Credit" from the IRS website. Use this link to determine the amount of your credit.
Then download Form 1040X "Amended U.S. Individual Income Tax Return" to amend your 2008 return.
Fill out the amended credit amount on Line 15 under Payments.
File Form 1040X along with Form 5405.
Any refund due will be sent to you.

Filing for your credit in 2009:

File Form 1040 as usual.
On Line 69, enter the amount of your credit calculated using Form 5405;
Be sure to attach Form 5405 to your return.
Your refund will be sent to you.

Be sure to consult your tax professional for further information.

Contact me for assistance in purchasing your first home.

9 Alternatives to Foreclosure - Things to think about before you "Just Walk Away."

Noel Crider (Better Homes & Gardens Real Estate) — Mon, 19 Oct 2009 10:22:26 -0700

Before you decide to "Just Walk Away," here are some alternatives that you might not have considered that could reduce the negative impact to your credit score, and allow you to get back in the housing market sooner.

1. Loan modification - The lender and the homeowner agree to change one or more of the original terms of the note in order to make payments more affordable. (Be careful when hiring a loan modification company!) Common loan modifications include:

Adding missed payments on top of the existing loan balance
Turning an adjustable-rate mortgage into a fixed-rate mortgage
Extending the number of years the homeowner has to repay the loan

2. Forbearance - This allows the homeowner to pay less than the full amount of their mortgage payment temporarily for a prescribed period of time. Forbearance might be considered if the homeowner can show there is some source of future income that will bring the mortgage payments current.

3. Reinstatement - The homeowner brings current the amount they are behind, usually by an agreed upon date. A reinstatement is often in conjunction with forbearance.

4. Repayment plan- The lender gives the homeowner an agreed upon period of time to repay the amount they are behind by combining the homeowner's delinquent portion along with their regular monthly payment. At the end of the repayment period, the homeowner should then be current.

5. Refinance - Refinancing requires income, credit and equity to support a new mortgage or deed of trust. If your current income cannot pay your present mortgage, it may be difficult to convince another lender to offer you a loan with a reasonable interest rate. Based upon the tightening of qualifying criteria for loan applications, refinancing in today's market is becoming less and less of a viable option. It goes without saying that the only reason to refinance is to lower your monthly payment.

6. Short-Refi - This is the latest trend for lenders in working with delinquent borrowers to avoid foreclosure. The lender agrees to refinance the home with a reduction in the principal balance. Sometimes the lender will also reduce the interest rate as well on the new loan. The borrower needs to provide proof of a "hardship" and fully document the ability to pay the new mortgage.

7. Short Sale- If the sale proceeds are less than the total amount owed to the lender, the lender(s) may agree to a short payoff or "short sale" and write off the portion of homeowner's mortgage that exceeds the net proceeds from the sale.

8. Deed-in-lieu of Foreclosure - If the homeowner agrees to voluntarily transfer title of the property to the lender in exchange for cancellation of their mortgage debt, the lender may agree to a deed-in-lieu of foreclosure. In most cases though, the homeowner must attempt to sell the home for its fair market value first (at least 90 days before a lender will consider this option). This option might not be available if there are other liens on the home, such as judgments, second mortgages or tax liens.

9. Bankruptcy - A bankruptcy may allow the homeowner to discharge some debt and reorganize others to keep the property. However, if a homeowner doesn't or can't make the house payment after the bankruptcy, the home is foreclosed on anyway. It is not recommend for real estate agents to list the property and try to negotiate a short sale while the homeowner is going through this process. Homeowners need to seek legal counsel if they want to pursue this option.

Contact me if you have any questions, or need a referral to a trusted professional such as a loan modification specialist or bankruptcy attorney.

What is a Short Sale?

Noel Crider (Better Homes & Gardens Real Estate) — Mon, 19 Oct 2009 10:12:15 -0700

Are you considering a short sale? Here are some basics to get you started.

What is a short sale?

When a homeowner owes more on their mortgage than their home can sell for in the current market (a.k.a, upside-down), the homeowner can try to avoid foreclosure by negotiating with the lender to accept a "short" payoff.

Are you a candidate for a short sale? Ask yourself this question:

Do you have a true hardship that is keeping you from making your payments?
Think job loss, job transfer, illness, or other challenge. Discuss your particular situation with your lender. Loss in value due to market condition does not qualify as hardship.

What do you need to do to prepare for a short sale?

First, find a Realtor® who is experienced with the short sale process, who knows how to negotiate with banks, and will be your partner to get the transaction closed.
With the help of your Realtor®, compile your hardship letter and other necessary documentation which comprises the Short Sale Packet.

What goes in your hardship letter?

In your own words (and in your own handwriting is best), describe the circumstances that have caused you to be unable to make your monthly mortgage payments.
Be personal and sincere about your situation, and include as much detail as possible. We want them to want to help you.

What goes into the necessary Short Sale documentation packet?

Proof of income & assets, including:
- Bank Statements
- Pay Stubs
- Assets (investment accounts, stocks, CDs, other properties)
Proof of hardship, which might include:
- Bills
- Unemployment Records
- Death certificates
- Divorce papers
Preliminary net sheet, prepared by your Realtor®, reflecting the price you hope to get, less the cost of the sale. Include a comparative market analysis, prepared by your Realtor®.

Prepare your home for sale

With the help of your Realtor®, price your house to generate an offer.
Prepare your home for sale.
If you do not get showings and/or an offer in the first 2-3 weeks, lower the price.
Keep lowering the price until you receive an offer.

Submit offer to the bank along with the short sale package

Your experienced Short Sale Realtor® will take it from here
- They will submit the package to the bank
- They will follow up to make sure it has been received
- They will be assigned an asset manager with whom they will communicate throughout the short sale negotiation
- If all goes well, the lender will approve the short payoff, and your Realtor will follow the transaction through to a successful close

For more information, contact short sale specialist Noel Crider or visit my website at http://www.viewfromthefoothills.com.

Marketing advice for a luxury home rookie...

Noel Crider (Better Homes & Gardens Real Estate) — Wed, 19 Mar 2008 10:28:03 -0700

I have an opportunity to propose a marketing plan to a current client (spec builder) who is finishing a home in the $2.8M range in California. Does anyone have any great luxury marketing resources and/or advice for me? I am scouring the web for ideas and resources. Thanks in advance.

A short sale miracle!

Noel Crider (Better Homes & Gardens Real Estate) — Tue, 18 Mar 2008 19:59:33 -0700

On Friday, March 8th, I placed the first call to the lender on my short sale listing, with listing agreement, offer, hardship letter and authorization in hand (along with all other required paperwork). Tuesday, March 12th I had the first call from my point of contact. Friday, March 14th I had an approval letter in my email inbox!!! And all of this happened with politeness and efficiency, contrary to all of the groans of misery and frustration I hear around my real estate community. Now I wait for response on the four offers I have out there on other short sale opportunities. Back to the real world. But hey, there's hope! Maybe lenders are starting to realize that if they drag their feet too long, the buyer will be long gone.

Any Senior Real Estate Specialists out there?

Noel Crider (Better Homes & Gardens Real Estate) — Tue, 18 Mar 2008 19:28:43 -0700

Hi KW family! I would like to set up a referral network of KW agents who are specially trained with an SRES designation to cater to the Senior community. My goal is to have a national network of lead agents who have set up a team of ancillary service providers who they know are kind, patient, honest and big-hearted, and who love seniors. These include a home stager, professional organizer/down-sizer, financial counselor, trust attorney, among others. Are you or someone you know in that category? If so, let me know! We are in the infancy stage, but I am excited about the future. This market segment is growing, and it is somewhat economy proof. I am closing my first deal this month from a senior seminar that my stager, organizer & I put on a couple of months ago. It was a blast!