Equity Planner

_________________________________________________________

Steve shares the first of five great tips for real estate agents to help them have the best chance of getting their buyers’ purchase offers accepted.

News and Events

Our FREE* workshops for Real Estate Agents continue to be very popular! Steve’s upcoming workshops include:

• September 2nd, 9am – 12pm Building a Lead Generating Machine 9am – 12pm – IVAOR in Riverside
• October 13th - 9am – 12pm- Alternative Purchase Options including the new FARJHO Option - SRCAR in Murrieta – NEW ADDRESS
• October 19th, 9am – 12pm  Alternative Purchase Options including the new FARJHO option 1pm – 4pm – IVAOR in Riverside
• November 3rd - 9am – 4pm – 2nd Annual Symposium for Real Estate Professionals - SRCAR in Murrieta
• November 29th, 9am – 12pm Master Planning 2011 for Real Estate Agents 9am – 2pm – IVAOR in Riverside
• December 1st - 9am – 2pm-  Master Planning 2011 for Real Estate Agents - SRCAR in Murrieta

We may also be having these workshops at other locations, so please call us at 951 695-1371 or just email Virginia@VintageMortgageGroup.com for the dates and times and we will email you a flyer.

*Steve does not charge for his workshops or sell materials at them. Everything is free of charge. However, some of the Realtor Associations where we hold these workshops charge a nominal fee such as $5 for members and $10 to non-members. We do not receive any part of these charges, it goes directly to the Board. At this writing, Corona and Vista have these fees.

NEW!

InvestorsAlly and FARJHO training for Realtors

__________________________________________________
InvestorsAlly and FARJHO Training for Real Estate Investors

Happy Tuesday!

I had two separate conversations this weekend that refreshed in my mind how many people are overlooking the importance of the combination of the current interest rate market and the now much lower purchase prices for houses.  This morning I put some numbers together to help quantify to real savings.

To make this as simple as possible we have to make a hand full of assumptions.  First, let’s assume the housing prices have fallen by 25%.  Depending on where you live this number could be significantly higher.  Next, let’s assume that the average 30 year fixed interest rate was 5.75% back before housing values and mortgage rates started to fall.  Next, let’s use a $350,000 purchase price today, which would have been $437,500 at the top of the market when everyone was eager to buy.  For simplicity’s sake we are going to also assume a 20% down payment.

There are many ways we could look at this number but let’s just compare principal and interest payments.  At the top of the market, the $437,500 purchase price with 20% down would have had a principal and interest payment of $2042.51 assuming the 5.75% interest rate.  Today, the discounted $350,000 purchase price of the same house with 20% down and using the average interest rate for all 30 year fixed loans I locked last week of 4.375%, the payment would be $1398.00.  This payment is a 31.6% savings vs. buying the same house at the top of the market.  In dollars, that is a $644.51 savings for the same exact house today.

Nobody knows how long prices and interest rates are going to stay at today’s levels.  Maybe they stick around for a couple months…maybe they stick around a couple years.  What I do know, is everyone likes to buy when things are on sale.  With nearly every house on the west coast currently on sale for at least 1/3 off, and many areas over 50% off, now definitely feels like a great time to buy.  When was the last time you saw something on sale at Nordstroms at 30% off and the asked the sales associate if it was going to be cheaper soon?

Whether you are a first time home buyer, a move up buyer or an investor I would love the opportunity to discuss with you if now is the right time for you to make a move.  If you or anyone you know is thinking about or has mentioned possibly making a purchase please call me.  I will do a very objective analysis to see if now is the time.  Also keep in mind the possibility of refinancing if you already have a mortgage.

_________________________________________________________

News and Events

Our FREE* workshops for Real Estate Agents continue to be very popular! Steve’s upcoming workshops include:

• August 26th 9am-12pm- Alternative Purchase Options including the new FARJHO Option – Meadowview Clubhouse in Temecula LUNCH at noon Sign up for one or both!
• August 26th 1pm – 5 pm- Building a Lead Generating Machine – Meadowview Clubhouse in Temecula
• September 2nd, 9am – 12pm Building a Lead Generating Machine and Alternative Purchase Options including the new FARJHO option 1pm – 4pm – IVAOR in Riverside
• October 13th - 9am – 12pm- Alternative Purchase Options including the new FARJHO Option - SRCAR in Murrieta
• October 19th, 9am – 12pm Alternative Purchase Options including the new FARJHO option – IVAOR in Riverside

We will also be having these workshops at other locations, so please call us at 951 695-1371 or just email Virginia@VintageMortgageGroup.com for the dates and times and we will email you a flyer.

*Steve does not charge for his workshops or sell materials at them. Everything is free of charge. However, some of the Realtor Associations where we hold these workshops charge a nominal fee such as $5 for members and $10 to non-members. We do not receive any part of these charges, it goes directly to the Board. At this writing, Corona and Vista have these fees.

NEW!

InvestorsAlly and FARJHO training for Realtors

__________________________________________________
InvestorsAlly and FARJHO Training for Real Estate Investors

_________________________________________________________

Steve’s associate Bill Provost speaks about the unique opportunity today’s low interest rates offer to prospective homeowners.

News and Events

Our FREE* workshops for Real Estate Agents continue to be very popular! Steve’s upcoming workshops include:

• August 26th 9am-12pm- Alternative Purchase Options including the new FARJHO Option – Meadowview Clubhouse in Temecula LUNCH at noon Sign up for one or both!
• August 26th 1pm – 5 pm- Building a Lead Generating Machine – Meadowview Clubhouse in Temecula
• September 2nd, 9am – 12pm Building a Lead Generating Machine and Alternative Purchase Options including the new FARJHO option 1pm – 4pm – IVAOR in Riverside
• October 13th - 9am – 12pm- Alternative Purchase Options including the new FARJHO Option - SRCAR in Murrieta

We will also be having these workshops at other locations, so please call us at 951 695-1371 or just email Virginia@VintageMortgageGroup.com for the dates and times and we will email you a flyer.

*Steve does not charge for his workshops or sell materials at them. Everything is free of charge. However, some of the Realtor Associations where we hold these workshops charge a nominal fee such as $5 for members and $10 to non-members. We do not receive any part of these charges, it goes directly to the Board. At this writing, Corona and Vista have these fees.

NEW!

InvestorsAlly and FARJHO training for Realtors

__________________________________________________
InvestorsAlly and FARJHO Training for Real Estate Investors

____________________________________________

Here is a very insightful article from Bill Provost.

102-4 represents where the Fannie Mae mortgage bond closed yesterday.  While the vast majority of the general public (including me, until I really began studying the interest rate markets) has absolutely no idea the significance of this number, it represents a very important decision point for buying a home or deciding on whether now is the time to refinance.

We don’t have to get really technical to give you all you need to know about 102-4.  The most important thing you need to know…102.4 is within an extremely small margin of the all time best close of any trading day for interest rates ever.  In plain terms anyone that is considering buying real estate or refinancing an existing mortgage can understand, interest rates are insanely low right now.  While MortgageNewsDaily.com is showing yesterday’s average 30 year fixed rate a 4.68%, I have locked several loans in the past couple days under 4.5% and those loans didn’t have a bunch of “points.”  Who would have imagined that?

For anyone considering buying real estate (first time home buyers, move-up buyers, second homes, investment/rental) in the next couple years, 102-4 may be the last excuse you need to jump off the fence and make the purchase in the very near term.  Of course everyone is still very nervous about home values, but with interest rates where they are today and very few experts predicting another huge drop in prices this may be exactly the right time to make a move.  Nobody is going to ring a bell at the absolute bottom of the housing market, but the combination of the already dramatically lower prices vs the highs of several years ago and the current interest rate market has me extremely bullish about buying real estate right now.

If you currently have a mortgage, we should probably look at whether a refinance would make good economic sense.  For anyone that intends to stay in their house for more than 2-3 years and has a rate of 4.75% or greater, it may very well make sense to refi.  The interest savings of even .5% on your interest rate could be thousands of dollars over the life of the loan.  If, and only if, the analysis shows a clear benefit with a solid break even point against all fees for a refinance will we even consider moving forward.  For those of you that may be at or near underwater in your mortgage, we should also check the possibilities.  There are many programs available for very high loan to value loans.  The worst thing you can do is wonder whether a refi would make sense and never ask someone that can help you sort through the possibilities.  It cost $0 to ask.

While 102-4 doesn’t appear to mean much, it should have a huge impact on any real estate related decision.  Mortgage rates today represent a huge discount in the purchase of real estate, don’t wait to take advantage of this opportunity.  It won’t be here forever.  I hope to talk with you soon even if you’re not completely sure now is the right time.  Let’s think through the possibilities.

Please also feel free to forward this email to anyone you think might this message might resonate with.  I always appreciate referrals.

Bill Provost
Vintage Mortgage Group
Loan Consultant
CA DRE License # 01867503 * WA DFI License# MLO-101876
425-241-1922 Direct * 951-880-0813 Fax

provostb@live.com

News and Events

Our FREE* workshops for Real Estate Agents continue to be very popular! Steve’s upcoming workshops include:

• July 27th, 9am-12pm- Alternative Purchase Options including the new FARJHO Option – IVAOR in Riverside
• August 4th, 9am – 12 pm- Government Loans & Top Ten Ways to get your Offers Accepted- IVAOR in Riverside
• August 11th, 9am – 12 pm-Alternative Purchase Options including the new FARJHO option – SRCAR in Murrieta
• August 26th 9am-1pm- Alternative Purchase Options including the new FARJHO Option – Meadowview Clubhouse in Temecula
• September 2nd, 9am – 12pm Building a Lead Generating Machine and Alternative Purchase Options including the new FARJHO option 1pm – 4pm – IVAOR in Riverside
• October 13th - 9am – 12pm- Alternative Purchase Options including the new FARJHO Option - SRCAR in Murrieta

We will also be having these workshops at other locations, so please call us at 951 695-1371 or just email Virginia@VintageMortgageGroup.com for the dates and times and we will email you a flyer.

*Steve does not charge for his workshops or sell materials at them. Everything is free of charge. However, some of the Realtor Associations where we hold these workshops charge a nominal fee such as $5 for members and $10 to non-members. We do not receive any part of these charges, it goes directly to the Board. At this writing, Corona and Vista have these fees.

Timely news and tips coming up in future installments, and also interviews with top Realtors! Stay Tuned!

Steve would also like to tell you about one of his favorite internet shows – Think Big, Work Small. They have a great daily video – check it out!

You can follow Steve and become a friend or fan on these social networking sites. More to come!

____________________________________________

News and Events

Our FREE* workshops for Real Estate Agents continue to be very popular! Steve’s upcoming workshops include:

• August 4th, 9am – 12 pm- Government Loans  & Top Ten Ways to get your Offers Accepted- IVAOR in Riverside
• August 11th, 9am – 12 pm-Alternative Purchase Options including the new FARJHO option – SRCAR in Murrieta
• August 11th, 7 pm – Comedy Club for Realtors at Pechanga, Temecula, CA on – RSVP required
• August 26th 9am-1pm- Alternative Purchase Options including the new FARJHO Option – Meadowview Clubhouse in Temecula
• September 2nd, 9am – 12pm  Building a Lead Generating Machine and Alternative Purchase Options including the new FARJHO option 1pm - 4pm – IVAOR in Riverside
• October 13th - 9am – 12pm- Alternative Purchase Options including the new FARJHO Option - SRCAR in Murrieta

We will also be having these workshops at other locations, so please call us at 951 695-1371 or just email Virginia@VintageMortgageGroup.com for the dates and times and we will email you a flyer.

*Steve does not charge for his workshops or sell materials at them. Everything is free of charge. However, some of the Realtor Associations where we hold these workshops charge a nominal fee such as $5 for members and $10 to non-members. We do not receive any part of these charges, it goes directly to the Board. At this writing, Corona and Vista have these fees.

Timely news and tips coming up in future installments, and also interviews with top Realtors! Stay Tuned!

Steve would also like to tell you about one of his favorite internet shows – Think Big, Work Small. They have a great daily video – check it out!

You can follow Steve and become a friend or fan on these social networking sites. More to come!

Realtors, do you have buyers who have a down payment and the ability to make monthly payments, but can’t qualify for a loan under today’s tight underwriting guidelines? You may be able to help them and still earn a full commission. Alternative Purchase Options such as All Inclusive Trust Deeds and Lease Options were perfected in the 80’s but haven’t been needed much until now. If you are in Southern California, why not attend Steve’s Alternative Purchase Options workshop and learn what you NEED to KNOW to help your clients get into a home. Estimates are that only about 25% of all buyers can qualify for a loan – here’s how you may be able to help the other 75% of motivated buyers!

Watch my video for an introduction to Alternative Purchase Options. Download a Workshop Flyer here! Username is realtorfiles, password is Realtor3 (cAse SenSitive). Or just email us and we’ll send it to you!

Sincerely,

Steve Gronlund

____________________________________________

News and Events

Our FREE* workshops for Real Estate Agents continue to be very  popular! Steve’s upcoming workshops include:

• Alternative Purchase Options -  TIGAR  in Corona on Jun 11th
• Building A Lead Generating Machine – SRCAR in Murrieta on June 23rd
• Building  a Lead Generating Machine – TIGAR  in Corona on  July 16th.
• Building  a Lead Generating Machine – NSDCAR in Vista Jul 21
• Alternative Purchase Options – TIGAR  in Corona on Aug 11th

We will  also be having these workshops at other  locations, so please call us at 951 695-1371 or just email Virginia@VintageMortgageGroup.com for the dates and times and we email you a flyer.

*Steve does not charge for his workshops or sell materials at them. Everything is free of charge.  However, some of the Realtor Associations where we hold these workshops charge a nominal fee such as $5 for members and $10 to non-members. We do not receive any part of these charges, it goes directly to the Board. At this writing, Corona and Vista have these fees.

Timely news and tips coming up in future installments, and also   interviews with top Realtors! Stay Tuned!

Steve would also like to tell you about one of his favorite internet shows – Think Big, Work Small.   They have a great daily video – check it out!

You can follow Steve and become a friend or fan on these social networking sites. More to come!

The deadline for the Tax Credits has passed, and so far they have not been extended.

Sincerely,

Steve Gronlund

____________________________________________

News and Events

Our FREE workshops for Real Estate Agents continue to be very popular! Steve’s popular Government Loans is being held at TIGAR in Corona on May 13th. Alternative Purchase Options will be held on June 11, and Building a Lead Generating Machine in July 16th, both at Corona. We will also be having these workshops at other locations, so please call us at 951 695-1371 for the dates and times.

Timely news and tips coming up in future installments, and also interviews with top Realtors! Stay Tuned!

Steve would also like to tell you about one of his favorite internet shows – Think Big, Work Small. They have a great daily video – check it out!

You can follow Steve and become a friend or fan on these social networking sites. More to come!

Heads up folks.  Let me bring some clarity to a very cloudy area.  Namely - “Condos”.

There have been a lot of questions recently about condos and whether they will go the way of manufactured homes or not. BIG rule changes have just come out in the last 60 days that have done their best to make your mortgage professional look like an idiot. Please, don’t give them such a hard time as these rules change so quickly, it’s really difficult to stay on top of these almost daily changes.

That said, here’s the answer to one of the big condo questions. In many ways manufactured homes are easier to finance today than condos. In almost all cases regarding traditional lending, the following new rules apply to Condos. Be aware and be wary of them. With just two exceptions, the following rules must apply to all FHA, Conventional, Portfolio, and USDA loans for Condos whether they are owner occupied, or non-owner occupied.

1.      The development must be approved either by Fannie Mae or HUD

2.      The development must not have more than 15% HOA delinquency

3.      The development must not have more than 49.9% Non-Owner Occupancy.

4.      The development must not have ANY litigation

For those of you in normal areas of Southern California this means that Condos are pretty much not financeable at this time. This is why they are so cheap right now and why, for at least the time being, they are not a good alternative to non-condo Single Family Housing which will likely appreciate much better than condos for as long as these rules stay in effect.

There are two exceptions I’ve found;

First exception is with Fannie Mae Home Path Financing. It appears we only need the development to be Fannie Mae approved and the Condo HOMEPATH approved. All other rules then do not apply. HOMEPATH can be used for owner-occupied or non-owner occupied properties, including condos.

The second exception is for VA loans. Some lenders don’t agree with this, but right now I have one lender that is following the VA guidelines, and none of these rules apply to VA either, but the development must be approved on VA’s website as an approved Condo Development.

Both of these exceptions will likely go away soon.

So there you have it. The market is still strong even with this information. Just don’t waste your time on things you can’t close.

Sincerely,

Steve Gronlund

News and Events – our FREE workshops for Real Estate Agents! Steve’s popular Government Loans workshop is being held at the SRCAR office in Murrieta on April 14th, and at TIGAR in Corona on May 13th. Alternative Purchase Options will be held on June 11, and Building a Lead Generating Machine in July 16th, both at Corona. (TIGAR, the Corona Realtor Board charges $5 for Members and $10 for Non-members – sorry, that’s their charge and none of it goes to us!)

We will also be having these workshops at our Ridge Park conference room in Temecula, so please call us at 951 695-1371 for the dates and times. These are completely free of charge and Steve is not selling anything at any of these workshops (or anywhere else!), so come and enjoy all this great FREE and EXTREMELY USEFUL information! Get up to speed and stay a jump ahead of the competition!

Steve is also co-sponsoring another fantastic Comedy Club event for Realtors at Pechanga Resort and Casino in Temecula, CA next month on April 7th, in conjunction with our good friend Kathy Lansford of Old Republic Home Warranty. (Don’t forget to ask Kathy to perform her rap number for you next time you see her!) Everyone had a ball at the one last month. Steve provided the delicious pizzas for the event, Pechanga provided the comics, and a good time was had by all. Email Virginia at virginia@vintgemortgagegroup.com or call 951 695-1371 for more details on all events, or to RSVP! Hurry, these events are filling up FAST! Don’t miss out! The last Comedy Club in particular was COMPLETELY full – we had to turn many people away.

Timely news and tips coming up in future installments, and also interviews with top Realtors! Stay Tuned!

Steve would also like to tell you about one of his favorite internet shows – Think Big, Work Small. They have a great daily video – check it out!

You can follow Steve and become a friend or fan on these social networking sites. More to come!