Market Economics in California - What You Need to Know

Today, Ian Kleine is bringing us a market update for the state of California.

California: Economics

by Ian Kleine

The economic state of California holds a direct influence on the monetary system of the United States of America, due to the fact that the state pays more than as to the benefits it receives from monetary funds and benefits.

There are at least four major economic regions surrounding California. Hollywood, whose movies and projects cost and create a lot of money. California Central Valley, responsible for agriculture and the produce that supplies the state and its surrounding neighbors. Silicon Valley, which deals with the production, creation and development of computer hardware and electronic devices. And the wineries of California, particularly Napa Valley, Sonoma Valley and others.

By 2002, these regions were divided and more were added to the classification system. Among these were: Trade, Transportation and Utilities, Government, Professional and Business Service Providers, Education and Health, Leisure and Hospitality, Manufacturing, Financial Services, Construction, Information, Internet Business and Marketing and Agriculture.

The state also draws a lot of its income from tourism and international trade; after all, California IS the ‘melting pot’ of cultures in the United States. The tourism department makes at least an annual income of 134 billion dollars; with one third of that only coming from exports. The 96 billion something dollars left comes from revenue from direct traveling in to California.

California also competes with the other states in terms of agricultural produce. This includes the production of wines, cheese, dairy products, fruits and vegetables. California has been known to lead in the dairy category, with milk being the number one farming commodity, and has generated jobs and employment for at least 400,000 people far across the state.

Prospecting oil, so called liquid-gold, has also been under development. So far, rich strikes have been made near the Californian Coasts, Long Beach and Los Angeles. Oil drilling is not something new, it has actually supported the state over the years, now only making a comeback due to reduced and cheaper costs in drilling for oil around these areas.

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Thanks for the update on the California economic climate, Ian!

If you’d like to learn more about how this affects your individual financial decisions, just drop us a line today to talk it over with a professional.

New Home Communities in Sacramento and Other Great Californian Cities

Check out these excellent new home communities in the Sacramento area (and throughout California).

California New Home Communities with Great Features

As the most populous state in the nation, California is one of the most desirable places to live. With close to 37 million residents, and growing, those wishing to relocate to the state, or within the state, need to be accommodated.

Lotus Walk is a townhome housing community found in the thriving city of Garden Grove, California. Located near to local entertainment, dining establishments, and shopping centers, Lotus Walk has over a dozen floor plans to select from. Lotus Walk is built by Olson Homes and range in size, from 2 bedrooms, 2.5 baths, and up to 1,683 square feet. Each townhome includes granite countertops, underground parking, ceramic tile flooring, and Whirlpool stainless steel appliances. The new homes located at Garden Grove start in the $300s.

Serenity, a Brookfield Homes master-planned luxury home community, is located at The Estates at StoneBridge in San Diego, California. Overlooking acres of preserved open space, Serenity provides single-family and two-story homes that emphasize both Italian and Spanish architectural design. Each home at Serenity offers a master retreat, ladies’ vanities, and a bonus living area downstairs. Homes range between 4,040 to 4,759 square feet, 5 bedrooms, 4.5 baths, and three-car or four-car plans. New homes at Serenity start in the $800s.

Cristallo is a desert-living community in Indo, California built by Ryland Homes. Cristallo is located in the master-planned golf community of Terra Lago, and provides new homes ranging from 1,987 to 2,619 square feet; the homes offer up to 5 bedrooms, and 3 baths. This Southern California community allows residents to live the country club lifestyle, without having to pay the country club price. Home-sites are currently available alongside the golf course and buyers can choose from 7 different floor plans. The homes at Cristallo start in the low $200s.

Elliott Homes’ Tuscany community in Rancho Cordova provides several new homes ready for immediate move-in, including the Bordeaux which is a 5-bed, 4-bath, 3-car providing two stories and 3,705 square feet of livable space. This new home community is located just east of Sacramento and includes many upgrades, such as high-quality carpeting throughout, tile flooring throughout, upgraded countertops, Jacuzzi tub, an alarm system, pre-wired 5.1 surround sound, plus upgraded kitchen appliances. The Bordeaux was listed at $723,950, but is now available for only $495,000.

William Lyon Homes’ Shady Lane at Whitney Ranch, a Rocklin, California new home community currently offers several move-in ready homes for sale. Located on lot 21 is Plan 2C which offers 4 bedrooms, 4 bathrooms, a 2-car garage, and 2,394 square feet of living space. This home is nearing its final stage of construction, meaning there is still time to customize many of the features such as carpeting, cabinets, and countertops. This home is particular home is priced at $332,990.

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Search new homes california, orange county new homes and Californai new homes today!

If you’re moving to California, I hope you found this to be an excellent resource on the new communities you can look forward to moving into.

To talk to a local mortgage broker about financing your next home, simply head over to our free consultation page, fill out some basic information, and they’ll get right back to you!

How to Save Serious Cash on your California Property Tax…

With the recent decline in housing prices, there isn’t a better time for home buyers! Wallace Rowan is with us today to show us how to take advantage of these low property values to the benefit of our tax refund.

Lower Property Taxes in California

California homeowners who are merciless to avoid the downward roller coaster housing market ride have an option. While some enjoyed the ride up and other entered at the peak of the housing market bubble, everyone is now currently in a free-fall. Luckily, there is small silver lining to benefit from in the coming years. As a property owner, it is your right to file for a decline in value in order to capitalize on a unique opportunity to reduce property taxes.

Expensive property tax appeal consultants who demand up front fees simply aren’t necessary. Homeowners can easily lower property taxes by asking for a property tax reassessment from the county assessor, by filing for a decline in value. With a little hard work and the correct instruction, homeowners can successfully file a professional property tax reduction appeal themselves.

Many California homeowners have benefited from the reassessment of their property values. Due to strict deadlines of the counties of California, you may be prevented from seeking a property tax reassessment if you wait too long. Act now before another deadline passes and the potential savings of another tax year vanishes.

This is not a gift or a benefit given by the state but your right as a California homeowner to be taxed fairly. Home values have dropped dramatically in California so a reassessment resulting in a property tax reduction is almost guaranteed if you purchased your home between 2004 and 2007. Usually, the state increases your property tax annually at a capped rate of 2 %. In rare cases will your assessor approach you to reassess your home. It does not benefit you to wait until they do.

Californian property owners have been bombarded by annoying advertisements from property tax appeal consultants asking for up-front fees to provide a service that they can do themselves. Now, more than ever, homeowners need to take matters into their own hands and find ways to save money on their homes. The time for over-spending and hiring out for everything has passed. Now is the time for people to take control of their home finances and weather the storm. It’s really pretty easy to save thousands on property taxes but it requires a proactive get-up-and-go mentality to demand a property tax reassessment and win.

Do it yourself! There’s a growing group of California homeowners who are about to save thousands of dollars! You too can save thousands on your property taxes by filing an appeal yourself, but you have to take action and demand a property tax reassessment before it’s too late. If you need help, there are great programs out there that will show you what to do step-by-step and provide all forms necessary for your property tax appeal letter. Do it yourself and save $1000’s. Yes, it is possible to take the roller coaster ride down and still survive the plunge.

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Don’t hire expensive consultants! It is your right as a citizen to file for a property tax reduction yourself and save thousands of dollars this year and in the coming years.

What an excellent optimistic article in a time when everyone else is seeing the glass as half empty. Thanks, Wallace.

If you’d like to discuss your personal situation in more detail, we have experts standing by to help. Just drop us a line today to get started.

Can You Find the Perfect Loan Without a Mortgage Broker?

Ron Mark is here with us today to show us how a mortgage broker can help us find the right home mortgage for our budget and goals. Ron has been working with mortgages locally in California for many years and, as many of us know well, recommends seeking professional assistance for something you’re not familiar with that has as large of a financial impact on your life as a mortgage. Let’s hand it over to Ron…

How can a mortgage broker help you? by Ron Mark

Whenever one mentions the term mortgage broker one thinks of a person that can help obtain a loan through mortgage. For most people mortgage means signing the house to a lender for a big sum of money that they can repay over a long period of time in small installments. However things are not as easy as they seem and knowing where to apply for a loan or when to apply for it as well as how to prepare your application successfully are extremely important steps in getting the loan you want under the terms you want. This is where a specialized broker comes to scene.

The mortgage broker can explain the process step by step, can help you get the necessary documentation; can explain all the terms used in the mortgage industry and help you make an informed decision. If you are looking to buy a home consider the homes for sale in California especially if you like the location. Of course there are homes for sale in all the states, but there is an advantage when searching through the homes for sale in California. The mortgage broker in California has fiduciary duties. This means that he is responsible toward you the client and has to have low service fees. He or she can also explain the difference between pre-approval and pre-qualification and can help you with both. The pre-approval follows all the steps of the full approval and can present you in a higher position when facing the lender. The broker is the mediator of the meeting and the one responsible of helping you get the better part of the deal.

Although the price of the homes for sale in California and other states in the United States is declining, most of the prices for houses are still obligated to take a mortgage loan. A mortgage loan or simply known as mortgage means that the loan has as a guarantee a valuable asset of the person that intends to take such a loan. A mortgage loan is given for a long period of time and the installments reflect the interest rate too. One of the most important things one needs to understand when thinking of a mortgage loan is the foreclosure or repossession clause the lender has. The characteristics of a mortgage may also differ from case to case. Since there are no specific rules when it comes to applying for a mortgage it is essential to contact a broker specialized in mortgage loans, a broker who works in the area where you intend to buy or build a home.

Another reason why you need a broker specialized in mortgage when buying a home is his or her ability of explaining the different types of mortgage loans. The general characteristics are similar from state to state, but these kinds of loans are subject to legal conditions and local guidelines. The general characteristics are the interest that can be higher or lower; the duration of the loan usually around 30 years, and the payment and regularity of payments. The most common loans are the fixed rate mortgage and the adjustable rate mortgage. The first one states that the payments are fixed and cannot change for the duration of the loan. The second one as the name explains it has an adjustable interest rate and the risk is taken by the borrower and not the lender. In most of the cases where houses are being bought or build, the borrower has to put a downpayment before getting a mortgage loan.
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Even though there are homes for sale all over the country the homes for sale in California are becoming more and more popular not only because of the weather and region but also because of the mortgage broker which has to act in the best interest of his or her consumers.

Thanks for that exceptional read, Ron.

If you’re a reader who would like to learn more about the mortgage industry before you go broker-hunting, just drop us a line and we’ll let you know our recommendations absolutely for free.

Ready to Choose a Mortgage Lender? Don’t Miss These 5 Vital Tell-Alls!

Brian Jenkins is here with us today to explain the vital aspects of choosing a mortgage lender. Sometimes this can be a touchy subject if you know people in the business. You might feel forced to use them even if there are better lenders out there. In the end, it’s obviously your decision, so choose wisely and use Brian’s 5 keys as an objective comparison tool.

Real Estate ~ Tips For Choosing A Mortgage Lender

When it comes time to apply for a mortgage, you may be confused as to where to begin. A home is most people’s most significant investment, and the deliberation of carrying a voluminous amount of arrears can be stressful. To keep the process as seamless as possible, it makes sense to choose a trustworthy and competent mortgage lender. How to choose the right one? Follow the tips below to help make you with your choice.

Know what type of lender you are looking for

Mortgages are available at your local bank, through national lenders, and through mortgage brokers. To make the best alternative for you it is important to take in the difference mid each type of lender. When applying for a loan, various people start their search at their local bank. A bank where you already hold bill is oftentimes a benefit choice, you know the people, they know you, and by having more than one account at a bank, you may save assets on fees and closing costs. There are drawbacks to working with your local bank as well. Small banks may not have as much denizen with mortgage practices, and may not be able to proposition a loan to someone with at the bottom than excellent credit. They may also have trouble competing with larger institutions in regards to interest rates and closing costs.

National banks have an advantage in that they every hour invitation lower rates as well as more variety of loans. The disadvantage is that you are not likely to work closely with your loan officer, and are ‘just a number’. Many of your dealings may be via email or telephone messages, with few, if any, face to face meetings. Mortgage brokers are a ‘go between’. They work with a variety of lenders. Their goal is to find the best loan package for your circumstance, whether it is of a first time home buyer, problem credit, or refinancing option. If you choose to go with a mortgage broker, it is important to ask how they will be paid for their work, so there are no surprises when closing day arrives.

Reputation is important

If you are going to trust a stranger to help you make the most important financial decision of your life, it is important to make the right choice. Once you have narrowed down your option of lenders to a few, ask acquaintances who have recently purchased homes who they recommend. Who they recommend, or who they do not recommend, can give you some insight into who would be a goodness alternative for you. While everyone is different, and has nonconformist expectations, if you give a hearing complaints about a particular lender that you were considering, it makes sense to occur up on those concerns. Before finalizing your decision in lenders, make a few more inquiries. Particularly in the case of a national lender or a mortgage broker, it is important to make sure that they are licensed to do business in the condition where you are located. Once you have confirmed this, typically through your state’s banking oversight division of mood master or the secretary of state’s office, you can move ahead in your inquiry. Next contact both the attorney general for your lot as well as your state’s Better Business Bureau. Complaints filed through these two agencies should be taken seriously before shifting ahead with a lender.

Communication and responsiveness

Once you have narrowed down your alternative in mortgage lenders, finalize the deal by choosing someone that you are comfortable with. The most well effusion mortgage lender on the planet will not do you any benefit if they do not render up your phone call or treat your questions as irrelevant. It is not unreasonable to expect your questions to be answered immediately, and calls and emails to be returned the same day. An important consideration is that if the mortgage lender is at a disadvantage than responsive or expensive than forthcoming when trying to win your business, what can you expect once they have your business?

Forthcoming

All mortgage lenders should be willing to forage you with a weal faith estimate. This is an estimate on the amount of capital that it will cost to occlude your loan. The weal faith estimate takes into consideration appraisal fees, any points you may pay to lower the interest rate, decoration insurance, and other fees that are included in the cost of the loan. If the mortgage lender wants a commitment from you before providing you with a interest faith estimate, it is time to look future for another lender.

Personality

It is perfectly okay to admit that you do not hit it off with someone. Even if family and friends have had excellent experience with a lender, if they make you uncomfortable, seem unwilling to answer your questions, or you just generally do not get along, there is no reason to feel obligated to choose them as your lender. The mortgage relationship is a permanentlyN Plurality one, and you should choose someone who you get along well with.

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Brian Jenkins is a freelance writer who writes about topics pertaining to the mortgage industry such as a Pennsylvania Mortgage

Brian, thanks for sharing those very important tips about choosing the right lender.

If your search for the right lender is coming up a little short, let us know, and we can help you choose the best individual or company to work with to achieve your personal goals. Drop us a line today to get started.

Think Appreciation - Think California Real Estate

Today we’re here with Raynor James to discuss the housing market in California. In the land of rock stars, dreams, and technology, the entire world sees California as THE place to live. Raynor describes a few of the finer details of life in California.

California Real Estate - Appreciation on Steroids

For the last five years, owners of California real estate have been hitting the ball out of the appreciation ballpark. Yes, a real estate market on steroids.

California

California is heavily populated from north to south along the coastline, but they state offers significantly different ecologies. In Northern California, one is much more likely to see signs of the four seasons, get cold temperatures and more historic feel in locations such as Sacramento. Southern California, on the other hand, has an extremely moderate climate with temperatures rarely dipping below 60 degrees even in the winter. Rainfall is also scant with San Diego receiving roughly 11 inches a year. If you are considering moving to California, there are two constants throughout the state.

Traffic

So many people have moved to the state that traffic can be a real issue even on weekends. Los Angles traffic is legendary, but San Francisco and San Diego have their own congestion problems.

Earthquakes

Earthquakes are a constant throughout the state as the San Andres Fault bisects much of the state. Earthquakes happen all of the time, but they are typically very small. If you live in California for more than a month, you won’t even notice them.

Beaches, Sun and Culture

There are serious benefits to living in California. Foremost, of course, are the beaches. If the thought of spending weekends and evenings on the beach appeals to you, this is the place. You’ll pay a premium for it, but there is nothing like it. For example, the temperature in San Diego on October 5, 2005, the day I am writing this, is 79 degrees!

California Real Estate

California is an incredible place to live and real estate prices reflect it. Single-family home prices average as follows for the three major metropolitan areas - $620,000 for San Diego, $1,300,000 for central San Francisco and $750,000 for central Los Angeles. As a general rule, the closer the home is to the ocean, the more it will cost.

As shocking as the prices are, the rate of appreciation is downright impossible to believe. In the last 12 months, California real estate has appreciated over 25 percent. For a 500,000 home, that is a gain of $125,000 in 12 months. Steroids indeed!

Real estate is all about location, location, location. While this is certainly a cliché, there is no doubt it is true in California.

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Raynor James is with the FSBO site - FSBOAmerica.org - homes for sale by owner. Visit our home buying page to view and buy California real estate.

Excellent article, Raynor! I know our readers were able to glean a lot of valuable information from your write-up.

If you’re reading this and you’d like more information about how you can take advantage of the excellent appreciation in California, drop us a line and we’ll be happy to provide you with a free consultation.