$50,000 to San Francisco Property Owners!

Not in time for Christmas, but this is great new for San Francisco home owners. San Francisco property owners will be getting $150 million gift of green. Under "San Francisco Sustainable Financing Program", homeowners will have access to up to $50,000 apiece to install a variety of clean energy improvements. It's not free money, but the terms are agreeable: 20 years to pay, with bills attached to your property taxes.

And, no, this is not another unfunded mandate imposed on overburdened taxpayers. The $150 million will be privately funded, courtesy of an 18-month-old Oakland startup, Renewable Funding LLC, that specializes in such programs, utilizing a financial instrument it developed called Property Assessed Clean Energy (PACE) bonds.

5 Questions to ask before you purchase a home!

The following 5 questions may help you decide if right now is the time to buy a home.

Questions & Answers:

#1) Why are rates so low?

Since early January, the Federal Reserve has been purchasing mortgage-backed securities guaranteed by Fannie Mae, Freddie Mac & Ginnie Mae in an effort to stabilize the housing market. The bank plans on purchasing $1.25 trillion of securities allowing rate to be more affordable to consumers.

#2) Are rates expected to stay this low?

It's hard to tell, but don't count on it because lending landscape is likely to change next year. The Fed said it would wind down the purchase program by March 30, 2010.

#3) Why do different mortgage surveys come up with different average interest rates?

It depends on which lenders are in their sample, when the survey was taken and whether the rates quoted are the posted rate, the application rate or the commitment rate. Some surveys take points paid by the buyer to the lender into consideration.

#4) What else does the consumer need to know?

The lowest rates are offered to the most credit-worthy customers who can make sizable down payments. The lowest down program is FHA with 3.5% still comparable to a 30 years fixed!

#5) So is now the best time to buy a home?

It all depends on personal situations. Home buyers certainly have a lot of factors working in their favor right now - low interest rates, plenty of marked-down homes for sale and an extended and expanded federal tax credit that will expire in spring.

THE REAL ANSWER! If you can afford the monthly payment and have the ability to put down at least 3.5%. NOW would be the time to buy. Are you willing to bet that even if home prices continue to fall that interest rates will continue to remain the same? *We have seen home prices rise in San Francisco and the Bay Area over the past 6 months. You be the judge!

If You Don't Buy a House Now, You Are Stupid OR Broke!

Have you read this article yet?

It was featured in Business Week. My first thought, wow! what a blunt andbroke harsh statement! But the writer, Mark Roth, uses this headturning title to get your attention to make excellent points for those who are on the fence. Namely that interest rates are at an all time low, in fact, the lowest in 40 years. He noted that in the late 70s, rates hit a high of 18%! Can you even imagine buying a house at 18%? I personally can't fathom that possibility. In the 80s, when rates dropped from 12% to 9%, my parents practically danced their way to the 1st refinance of their home. Generation X'ers probably would never dream of purchasing a home above 7% given all we have ever known are super low rates hovering between 5-6%. Mr. Roth points out the history of previous interest rates as well as the impact of rates on one's purchasing power. I happen to agree with his prediction that as the economy becomes more stable, interest rates WILL rise to hedge inflation. My prediction has been that by this time next year, rates will have risen 1-2% at a minimum.

What is a Grant Deed? What is a Note?

When purchasing a home you will hear these two terms from your Real Estate Agent, Lender (Mortgage Broker) or the Escrow Officer at the Title Company. So what do they mean?

Grant Deed

The most commonly used property deed to transfer title in California is the grant deed, although it is not against the law to use other types of deeds. There are two guarantees contained in a grant deed:

* The grantor states that the property has not been sold to anybody else.
* The grantor states that the property is not burdened by any encumbrances apart from those the seller has already disclosed to the buyer.

Grant deeds do not need to be recorded to be valid, nor do they need to be notarized to be valid, but most sellers do ask a notary to witness the deed, acknowledging that the seller is the person who signed the deed. And most buyers want the protection of recordation, to give "constructive notice to the world" that the property has been sold.

Under California law, and your state laws may differ, to be valid, a grant deed needs to contain six essential elements. Those six items are defined as:

* A written document.
* A clause that transfers title, called a granting clause.
* The names of the Grantor and the Grantee.
* A description of the property being transferred.
* Execution, delivery and acceptance. It must be signed by a competent grantor, meaning minors and those declared incompetent cannot sign a deed; given to the buyer while the seller is still alive (not after death) and accepted by the buyer.
* Grantor's signature.

Promissory Note:

A written, signed, unconditional promise to pay a certain amount of money on demand at a specified time. A written promise to pay money that is often used as a means to borrow funds or take out a loan.

The individual who promises to pay is the maker, and the person to whom payment is promised is called the payee or holder. If signed by the maker, a promissory note is a negotiable instrument. It contains an unconditional promise to pay a certain sum to the order of a specifically named person or to bearer—that is, to any individual presenting the note. A promissory note can be either payable on demand or at a specific time.

In conclusion:

The deed is recorded when you purchase a home that shows the change in ownership from seller to buyer.

The Promissory Note is recorded as a payment or lien against the property to pay the bank (mortgage) on time for the disclosed amount and terms that have been negotiated.

Supplemental Tax Bill - You will get one when you Purchase a home!

What is a supplemental tax bill?

As the name suggests, a supplemental tax bill is a property tax bill issued in addition to the annual regular secured property tax bill. The Assessor-Recorder’s office reappraises property whenever a change of ownership occurs or new construction is completed. The Assessor will send you a “Notice of Supplemental Assessment” to inform you of the new assessed value. Following this notification, the Office of the Treasurer & Tax Collector will send one or more supplemental tax bills to collect the difference between the taxes on the old and new values for each year. Whereas the deadlines for payment of regular property tax bills fall on the same dates each year (December 10 and April 10) the deadlines for payment of supplemental bills can vary based upon the issue date of the bill. Please note that the regular secured property tax bill reflects only the assessment amount of your property as of January 1, 2007. You will not be liable for any supplemental taxes until the date that a supplemental tax bill is issued.

This is very important to keep in mind when purchasing a home. The supplemental property tax bill will be mailed to you several months after your purchase. You may get one or two statements depending on the close of escrow date. They are triggered by the change of ownership and will apply whether or not you take a loan to purchase the property. However, a subsequent refinance of the property will not necessarily trigger a new supplemental tax bill. The completion of permitted improvements to a property may cause a supplemental tax bill to be generated, corresponding to an increase in assessed value commensurate with the cost of the improvements, but this can occur whether or not the property is refinanced when the work is completed.

For more information please visit San Francisco Treasurer & Tax Collector Website!

Enter to win a $20.00 Starbuck Card! Tomorrow 1-4PM!

Enter to win a $20.00 Starbucks Card Tomorrow!

Open House from 1-4pm!

Lender On-Site to Answer Real Estate Questions!

LOCATION : 850 Corbett #1 San Francisco, CA

2 Levels
3 BD 3 BA
1 Master Suite
Ensuite Marble Bath
Large Private Slated Patio
Wood Floors and New Carpet throughout
Open Living Room Dining Room
Granite Gas Fireplace
Glass Atrium off Dining Room
Gourmet Kitchen, Stainless Steel Appliances
Large Family Den/Media Room
Independent Deeded Parking
Huge approx 2266 sq ft per tax records


Elegant 3 Bedroom/ 3 Bath, 2 level contemporary condo with a spacious floor plan Entry level: Open living area with wood floors, gas fireplace, large dining area all with ample natural light from atrium and large windows. 2BR/2BA. Gourmet kitchen: stainless steel appliances, travertine tiles, granite counters. Master Suite: marble finishes in BA, tranquil private slated patio. Lower level: media room and Bedroom/office and full BA. New carpet throughout.

Conforming or Jumbo Loan? What is the difference?

Conforming Loans:

Conventional loans may be conforming and non-conforming. Conforming loans have terms and conditions that follow the guidelines set forth by Fannie Mae and Freddie Mac. These two stockholder-owned corporations purchase mortgage loans complying with the guidelines from mortgage lending institutions, packages the mortgages into securities and sell the securities to investors. By doing so, Fannie Mae and Freddie Mac, like Ginnie Mae, provide a continuous flow of affordable funds for home financing that results in the availability of mortgage credit for Americans.

Fannie Mae and Freddie Mac guidelines establish the maximum loan amount, borrower credit and income requirements, down payment, and suitable properties. Fannie Mae and Freddie Mac announces new loan limits every year.

Loan Limits for Conforming Loans are $729,750


Jumbo Loan:

Jumbo Loans

Loans above the maximum loan amount established by Fannie Mae and Freddie Mac are known as 'jumbo' loans. Because jumbo loans are bought and sold on a much smaller scale, they often have a little higher interest rate than conforming, but the spread between the two varies with the economy.

For more information please Contact George Langford!

415.3363.8191

Housing Affordability - High Record for 3rd Straight Quarter!

November 19, 2009 - Nationwide housing affordability, bolstered by affordable interest rates and low house prices, hovered for the third consecutive quarter near its highest level since the series was first compiled 18 years ago, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI) released today.

The HOI showed that 70.1 percent of all new and existing homes sold in the third quarter of 2009 were affordable to families earning the national median income of $64,000, down slightly from a near-record 72.3 percent during the previous quarter and up from 56.1 percent during the third quarter of 2008.

"At a time when housing is at its most affordable, we applaud the recent actions taken by Congress and President Obama to stimulate housing by extending the federal tax credit beyond its Nov. 30 deadline and expanding it to a wider group of eligible home buyers," said NAHB Chairman Joe Robson, a home builder from Tulsa, Okla. "With interest rates now lower than last quarter, the tax credit will encourage even more home buyers to enter the market and help stabilize housing and the economy by creating new jobs, stimulating home sales, reducing foreclosures, cutting excess inventories and stabilizing home prices."

Maintaing Your Wooden Deck!

Maintaining Your Wooden Deck

A regular maintenance program can improve the appearance of your wood deck and significantly extend its life. The primary causes of wear are moisture and sunlight. Moisture can be trapped on the deck by leaves, debris, or items stored on the deck, such as planters. Debris tends to collect in the spaces between deck boards, trapping moisture, which causes decay in the deck framing. The shady underside of the deck is more likely to be damaged by decay. A putty knife, another narrow tool, or a hard spray of water from a garden hose can remove the debris from between the deck boards. If the deck boards are too close together, they can be widened to approximately 3/16 inch by using a circular saw.

To clean an older deck and improve its appearance, scrub it with a stiff brush and a solution of TSP (trisodium phosphate) in warm water; mix one cup TSP crystals into a gallon of water. Be sure to wear rubber gloves and, if you are scrubbing by hand, wear protective goggles. If you are going to be working on your hands and knees, rubber kneepads would be helpful. After scrubbing, hose off dirt and solution with water. If areas of the deck are discolored with mildew, apply a solution of one part water to three parts household bleach to the stained areas. Commercially prepared deck cleaners are also available. Some cleaners contain fungicides and mildewcides and others contain special bleaches to lighten the wood.

For large, heavily soiled decks, a power washer is ideal to clear off surface grayness and save a lot of scrubbing and effort. A power washer with a 2,000-pound per square inch pressure pump rents for about $25 per hour or $75 per day. These sprayers are very powerful and special care should be made to avoid damaging the wood. Be sure to wear safety goggles. After the deck is clean and dry, examine the surface carefully for loose boards, nails, and other damage. Use a nail set to punch nails below the deck surface.

Oxalic acid can make your just-cleaned deck look almost new. Oxalic acid is sold at paint or hardware stores and it lightens and brightens the wood as you apply it. It is also useful for removing stains. Oxalic acid causes skin irritation so wear rubber gloves and protective goggles when handling it. Avoid contact with nearby plants. Mix four ounces of crystals to one gallon of warm water. Apply liberally with a sponge, mop, or garden sprayer, but do not use metal buckets, wire brushes, or steel wool. The more time it takes to dry the better it works, so try to work in the early morning or on an overcast day, rather than in the full sun. Let the solution act on the deck; then thoroughly hose off the surface. The deck may look quite new when finished, but do not expect this to last. The deck will slowly gray with time and sun exposure.

There are stains that can restore the original color and keep it looking new. Water repellents or wood preservatives can help maintain deck appearance. Read the manufacturers' recommendations on these products for coverage and application methods. These products should be applied with a brush to allow for adequate penetration of the material into the wood. Do not apply these materials in direct hot sunlight, as you want it to soak into the wood instead of evaporating. Reapplication of these materials may be necessary every three to four years, depending on the amount of sun exposure and climate in your area.

The framing beneath the deck should be examined periodically for signs of decay. This is usually indicated by a white or brown growth on the surface of the wood, followed by softness and deterioration. Minor decay can be treated by wire brushing the surface and applying a fungicide such as copper napthenate (Copper Green) to the area. Probe the wood with a screwdriver to determine if it has weakened.

Any wood that is seriously weakened by decay should be replaced. If it looks like there are areas of significant damage it is probably best to hire a deck specialty contractor to make repairs, especially if the deck is high off the ground.