California Real Estate Podcast with Karla Ferrando Karla Ferrando

Looking to sell your Home? Get a FREE home value report Looking to buy a Home? Search all homes for sale Buying your first home can be an incredibly exciting time. However, it also requires a huge commitment and investment, and can have repercussions in your life for years to come. That’s why I want to share my three top tips to help first-time homebuyers protect themselves during this crucial period: 1. Know what you can afford The fact is, your mortgage is only a part of what you will need to pay when you buy a home. Homeownership comes with other expenses as well, including closing costs, taxes, property insurance, maintenance costs, and homeowner association fees.  Once you have a clear idea of all of these items, you can compare this to your stable income and your current monthly expenses. This way, you can figure out the kind of home you can honestly afford, without getting carried away, and without getting bogged down in debt. 2. Choose your lender wisely Choosing a lender is not something you should base only on the lowest rate. A competent and trustworthy lender will offer you advice on how to improve your credit. The right lender will also help you take advantage of special homebuyer programs that might benefit you. And ideally, your lender will work with you to get pre-approval for your loan. This can strengthen your offer immensely, particularly in hot markets like the one we're seeing around Temeculah. So how do you find the right lender specifically for you? While it can be a good idea to start shopping online, it's often best to get recommendations from friends who have already worked with a lender, or from a real estate agent you trust. 3. Don't overlook the details There are many details that go into buying a home, and missing any of them can be a costly mistake. For example, I always advise buyers to get a professional inspection (this is separate from an appraisal, which the seller is likely to get). Yes, an inspection will set you back about $300, but it can save you thousands of dollars down the line, and it can even prevent you from making a decision to buy a home that you would later regret. A second example is understanding the fine print in the various contracts you will be signing. If there's anything that isn't clear to you, talk to your real estate agent and have it spelled out. Trust me — there are no dumb questions. The process of buying a home can be intimidating, and that's why professional real estate agents are there to help. These three quick tips are only the start of the things you need to watch out for when buying your first home.

If you have a pet and you're looking to sell your home, I’ve got some helpful advice. Looking to sell your Home? Get a FREE home value report Looking to buy a Home? Search all homes for sale Two out of three of us have a pet, and 61% of pet owners say they have trouble finding a home that is a good match for their pet. In fact, a recent survey noted that 31% of animal owners don't put in an offer because a home would not suit their pet. This means that if your home is a good match for a pet, it will be attractive to animal owners. On the other hand, 67% of Realtors also estimate that having a pet in your home can make it harder for you to sell. So what should you do? There are three things I typically recommend: Number one, repair any damage From the floors, to the walls, to the doors, and the yard — these are areas that pets love to chew on, scratch at, and dig up. Repairing this damage is an investment that will pay for itself many times over in terms of a higher sale price. Secondly, get a professional to remove pet odors “ Pet owners are less sensitive to odors in their home than prospective buyers are. ” Pet owners are less sensitive to odors in their home than prospective buyers are. That's why you should hire a professional cleaning crew to clean carpets, rugs, or upholstery that has absorbed pet smells. Once you're done, ask a friend or your Realtor to sniff around to make sure the job is really complete. Number three, take your pet out of your home during showings Some people are afraid of animals. Others might be allergic. Regardless of the time, money, and effort you've put in to clean and repair your home, some buyers will be prejudiced by simply knowing that a pet currently lives there. By following these simple guidelines, you will be able to sell your home for the highest price possible, whether the buyer is a pet owner or not. If you have any questions or concerns about preparing your home for a sale, give me a call or send me an email today.

According to a recent study, second-wave baby boomers have varied reasons for wanting to purchase a new home, and they feel that that new home should be able to adjust to their changing needs in the future. Looking to sell your Home? Get a FREE home value report Looking to buy a Home? Search all homes for sale Did you know that there are approximately 76.4 million baby boomers living in the U.S. today? Contrary to what many people think, there are many different segments within this generation, and one of the things that sets them apart is their housing needs. John McManus, editorial director of the Hanley Wood Residential Group, says his company is focusing on the preferences of the younger half, or second-wave baby boomers, as they exhibit different needs than the older segment of this generation. “ Second-wave baby boomers want homes that can adjust to their changing needs. ” What are second-wave baby boomers looking for? They are seeking a fun, dynamic lifestyle with a home that can also adjust to their changing needs in the future. Second-wave baby boomers say living space should either include accessibility features such as doorway space, lower shelves, and nonslip surfaces, or be easily adjustable when the time comes. In a home buyer study performed by the Farnsworth Group, second-wave participants revealed their reasons for purchasing a new home. In the video above, I’ve provided a graph that lists the top three factors that influence their purchasing decisions. 50.2% cited area or location, wanting their new homes to be near shopping, dining, medical services, and entertainment.  37.4% focused on price or affordability.  19% focused on the layout of the home.  The report also found that when buying a new home, they had other concerns too. 8.4% wanted a safer neighborhood, and 8.25% were looking for better floor plans, with the most important rooms or areas being the kitchen, the master bedroom, and the family room. Technology also plays an important role. Second-wave baby boomers prefer wireless security systems and integrated home technology, including smart thermostats and lighting controlled by a smartphone. The bottom line? If you are one of the many second-wave baby boomers who is starting to feel like your current home no longer fits your needs, take advantage of the low inventory of existing homes in today’s market by selling your current home and moving on to one that truly fits your new lifestyle. If you or anyone you know is thinking about buying or selling a home, call or email me today for a free real estate consultation. I look forward to talking with you!

Today I wanted to go over some advice self-made millionaire David Bach has for millennials about owning a home. Looking to sell your Home? Get a FREE home value report Looking to buy a Home? Search all homes for sale Last week, CNBC ran an article quoting self-made millionaire, David Bach, explaining that not purchasing a home is the biggest mistake millennials are making, because buying real estate is an escalator to wealth. Bach went on to explain that if millennials don’t buy a home, their chances of actually having any wealth in this country are little to none. The average homeowner to this day is 38 times wealthier than a renter. According to Bach, as a renter, you can easily spend $500,000 or more on rent over the years, and in the end, wind up right where you started, owning nothing. Or you can buy a house, spend the same amount paying down a mortgage, and wind up owning your own home free and clear. “ If you want to gain wealth, you need to quit renting. ” So who is David Bach He’s a self-made millionaire who has written nine consecutive New York Times Best Sellers. His book, The Automatic Millionaire, spent 31 weeks on the New York Times Best Sellers List. He is also one of the only business authors in history to have four books simultaneously on the New York Times, Wall Street Jorurnal, Businessweek, and USA Today best sellers list. Additionally, he has been a contributor to NBC’s Today Show, appearing more than 100 times, and has been on many other news networks as well. So, the bottom line is, whenever a well-respected millionaire gives investment advice, people are usually eager to hear it. This millionaire gives simple advice; if you don’t live in your own home, it’s time to buy one. If you or anyone you know is thinking of buying or selling a home, or if you have any other real estate-related questions, please don’t hesitate to give me a call. I would be happy to help!

What sort of impact did the election have on the market? I’ve got some good news and bad news to share with you today. Looking to sell your Home? Get a FREE home value report Looking to buy a Home? Search all homes for sale With the election over, it’s time to talk about what’s happening and going to happen with mortgage rates. There’s some good news, and there’s some bad news. Let’s get the bad news out of the way. Mortgage rates have shot up since the election. From a low of 3.4% on November 7th, the average 30-year mortgage rate increased to over 4% by the end of November. Economists say this kind of volatility is likely to continue, with day to day changes driven by the moves and statements of the incoming administration. The good news is that there are still plenty of reasons to stay optimistic. Promised tax breaks could reinvigorate sales of luxury homes, which have been in a rut lately. This could potentially have a ripple effect throughout the rest of the real estate market, spurring sales and new construction of mid-level, lower price housing. “ The election is finally over. ” Looser regulation could also make it easier to further stimulate construction and make it easier for buyers to obtain mortgages. Although those are long-term effects that we can look forward to, there’s something to be thankful for right now. The election is finally over. You might have seen that the stock market has been surging in the past few weeks. This might be a vote of confidence for the President-elect and his anticipated business-friendly policies. One thing is for sure; it seems like things are getting back to normal as people realize the world isn’t ending. In fact, people who might have been waiting on the sidelines during the election are now entering the real estate market. If you are a seller, you should take advantage of the influx of buyers. Prices are near record highs. If you are a buyer, there are two things you should know. First, even though interest rates have gone up, they are still historically low and worth taking advantage of. Second, many new homes have entered the market since the election, giving you more properties to choose from. If you or anyone you know is thinking of buying or selling a home, please call me or send me an email. I would be happy to answer all of your questions!

Many buyers are misinformed about what it takes to buy a home. You don’t need a FICO score over 780, nor do you need 20% down. Here’s what you do need. Looking to sell your Home? Get a FREE home value report Looking to buy a Home? Search all homes for sale If you’re thinking about buying a home but you’re concerned that your credit score might not be high enough, don’t automatically disqualify yourself. Over half of all approved loans have a FICO score under 750. According to KCM reports, countless studies have shown that potential home buyers and current homeowners have an inflated view of what is really required to qualify for a mortgage in today’s market. One such study at the Wharton School of Business at the University of Pennsylvania revealed many millennials had not yet considered buying a home because they didn’t believe they could qualify for a mortgage. There is a significant part of the population that doesn’t think they will be approved, so they don’t even try. The study also quoted the Fannie Mae CEO as saying, “I do think there is a sense among buyers that credit may not be available, especially to those with lower scores.” However, before assuming you don’t qualify for a mortgage, know your options. You don’t need a 750 score or a 20% down payment to qualify for a loan, but what do you need? “ We can make your dreams of homeownership a reality. ” The average FICO score for all closed loans last year was 724, with 50% of them being under 750. Many buyers believe they need at least a 780 to qualify, but that’s simply not true. Here’s the bottom line: if owning a home has always been a dream of yours and you are ready and willing to buy, let’s find out if you can qualify for a loan. We can make your dreams a reality sooner than you thought. If you have any other questions about buying or selling real estate in the Temecula Valley area, give me a call or send me an email. I'd be happy to help you!