Issue #202
In This Issue
Welcome / This Week's Special Offer
Welcome To The Latest Issue
Our seminar Wednesday night was a smashing success. We had a couple dozen attendees eager to learn “How To Sell Your Home In A Slow Market.” If you missed it but want the info, give me a call.
Also—WOW—lots of people referred us friends and family this week to buy and sell homes. Thank you for your trust!
Would you prefer a
"printable version" - Click here
Two Foreclosures
See the two foreclosures we have in the Hot Properties section below!
True Story: Sure, But Can You Afford The Payments?
One of our clients mentioned his father had built a home in Bay Park on a lot he
bought for not $670,000…not $67,000… but for all of $67.00 back in 1939! What
would the payments on that lot be? A whopping 40¢/month!
ATTENTION INVESTORS:
Positive Cashflow Apartments With Zero Management
Want a hands-off real estate investment with positive cashflow AND appreciation?
I and dozen clients have personally invested in this great opportunity. If you
have $100,000 to $3,000,000 to invest and want to find out more... Call me at
(858)457-KENT
Save On Your Property Taxes: Proposition 13, 60, 90, 110
Summary: Prop 13 limits property tax increases to 2%/year. Prop 60 lets people
55+ sell their home and buy another of similar or less value in the same county
and keep their low Prop 13 tax base (a one-time right, except Prop 110 gives
disabled people a 2nd time). Prop 90 expands Prop 60 to buying in another county
if that county “reciprocates”. The list changes occasionally; current
reciprocating counties are Alameda, L.A., Orange, San Diego, San Mateo, Santa
Clara, and Ventura. For more info click here:
http://www.boe.ca.gov/proptaxes/faqs/reappraisal.htm
FREE MLS Online Search
For A San Diego or Riverside Home
To search for a home right now,
click here: Free
MLS Homesearch
A MUST FOR HOMEBUYERS:
Free Guide To Understanding & Improving Your FICO Credit Score When You Buy A
Home
The guide “Your Personal Credit” explains a simple 3-step process to improving
your credit score and helping you get a home loan at the best rates and terms.
Improving your credit is easier than you think—if you know how. You’ll learn:
- How to get a free or low-cost copy of your FICO credit report
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- How to repair / improve your credit
- How to find & correct errors in your credit report
- How to handle a credit dispute
- Your rights if your credit report is wrong
- How to actually add positive info to your credit report
- How to add an explanation directly onto your credit report
- How to get free counseling and advice about your credit
- How to find out who’s been looking at YOUR personal credit file
Call (800)748-1340 to have this sent to you FREE via mail.
Call 24 hours / 7 days a week; free recorded message. It should arrive at your
home within 72 hours.
Send This Free Newsletter To A Friend
Subscribe them with a quick email to
TellAFriend with their email address in the subject line.
Remember to email your questions, comments, compliments, corrections,
critiques, & rebuttals to
Questions.
(Check Back Next Week)
Homebuying Question
"Hello Mr. Kent, I have an opportunity to purchase a home by using a Rent-To-Own, or a lease option transaction. Do you know the difference between the two? Are there any "experts" in this field? I will need it in the simplest terminology possible, as I am working with an older lady who is the landlord, and I don't want to confuse her (or myself)? Also, your opinions on these transactions would be appreciated. Do you see this as advantageous? This way, I could put less money down (as compared to an outright purchase), and dedicate more funds to making improvements to the home. Thanks in advance for any help."
***ANSWER:
“Rent-to-own” and “lease-option” are the same. I don’t know of any experts in the field, so I’ll have to suffice.
With a lease-option, you rent a property with the option or right to buy it at some point in the future. Done correctly, a lease-option has 3 components:
1. A LEASE
2. An OPTION to buy the property
3. A PURCHASE AGREEMENT (this is what gets people in trouble)
The LEASE is no different from any other lease.
The OPTION agreement sets forth the terms of the option, such as how long it’s for, the “consideration” or payment for the option, whether there is a lease, etc. Consideration for the option is typically either:
a) up-front non-refundable “option money” (often 1-3% of the price)
b) above-market rent (part is often applied toward the down-payment if the purchase happens, and forfeited if it doesn’t)
c) both a & c
The PURCHASE AGREEMENT gets people in trouble because they don’t do one up front. So when the tenant/buyer decides to exercise the option, there are lots of loose ends to argue about. Little things like price, escrow period, repairs, termites, etc.
A lease-option can be advantageous to a buyer who’s unable to obtain financing now but can likely do so before the option expires. I caution you about making improvements to the home because if you don’t exercise the option, your time and money is lost. Also, get permission to make improvements so you’re not liable to the owner if you don’t exercise your option.
As you can see, a lease-option is NOT simple. I recommend you have an agent write up the contract for you. Since I’m an agent, you may want to call me at (858)457-KENT.
HomeSELLING Question
"Hi Gary, my husband and I will be calling you in April to sell our home in La Jolla. I’m doing my homework now and have a question: What are we supposed to disclose? We want to do the right thing and also avoid any problems after we sell..."
***ANSWER:
You're legally required to disclose anything that could "materially effect the value or desirability" of your property. I realize that’s rather vague, but that’s what the law says. My advice is, if you have to debate whether to disclose something, go ahead and disclose it.
We provide our clients with all the legally required forms, plus a few “bonus” ones to give you added protection. You’ll get them before your home goes on the market because we need them the moment we have a buyer and don’t want to rush you for them later.
The disclosure forms do NOT tell you how to fill them out correctly and safely. So we also give clients seven simple tips to filling out disclosures. How you do it makes all the difference in whether you later find yourself on the losing side of a judge’s gavel, or can rest easy knowing you’re protected.
To my readers:
Be careful. Believe it or not, many agents do NOT even give their clients all the LEGALLY REQUIRED forms, let alone the extra ones. This could leave you vulnerable to a lawsuit.
Investing or Financing Question
"I've seen in a couple of real estate ads the phrase "owner will carry". What does that mean?"
***ANSWER:
It means that if you buy a property, the seller acts like a bank and loans you part of their proceeds for a first or second loan on the property.
For example, your banker tells you that you can get a good 80% first loan, but you only have 10% to put down. You propose to the seller that the bank loans 80%, the seller loans you 10%, and you put 10% down. This is called an “80-10-10”.
Good, bad, good news…
Good news: sellers typically charge attractive rates and don't charge points.
Bad news: few sellers will "carry" and they usually expect you to pay a small premium for the property in return.
Good news: financing is still so flexible out there that you probably won’t need the seller to carry.
Hot Properties + New Listings BEFORE They Hit The Market
|
THIS WEEK'S FEATURED PROPERTY! | |
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Carlsbad Harbor Pointe Beautiful family home in desirable & gated 'Harbor Pointe'. Offers remodeled kitchen w/ granite, custom tile & pergo, French shutters, fresh paint inside & out, quiet cul-de-sac
|
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View more beautiful
Carlsbad Homes online right now. | |
"COMING SOON"
(Click
Contact Me to be contacted BEFORE these properties hit the market!)
- Clairemont – FORECLOSURE!
FORECLOSURE! 3BR/2BA home with 2-car garage.
Contact Me
- Oak Park – 3BR/3BA house w/ ocean & fireworks view deck, remodeled
kitchen, hardwood floors: 450-490K
Contact Me
- Pacific Beach - Large 5BR/3BA house on culdesac. Family room, bonus room,
2 FPL, 3-car garage, & more!
Contact Me
- North Park – 4 units, including 2 large detached houses. Price to be
determined. Contact Me
- Scripps Ranch – 3BR/2.5BA townhome with 2-car garage. Spacious MBR w/
cathedral ceilings. 385-425K!
Contact Me
NEWLY LISTED (Your Home Here!)
- Carlsbad – Spacious 1766sqft, 3BR/2.5BA townhome in “Harbor Point” near the beach. 695K-705KContact Me
- Temecula – Turnkey 3BR/2BA model home with pool, gourmet kitchen, large
family rm w/ FPL, community tennis. 385-399K Contact Me
MORE GREAT HOMES & INVESTMENTS (Your Home Here!)
- Bonita area – 2BR/2.5BA condo a short stroll to Plaza Bonita! Offers oversize garage, in-unit laundry, FPL, tennis. 355-375K ViewContact Me
- SOLD/Clairemont - 3BR/2BA home w/ dbl-garage on quiet street. Nice bkyd, wood parquet floors, new carpet. Low price: 475-520k
Contact Me
- Clairemont - Spacious 3BR/2BA home w/ HUGE 580sqft family room/ "great room"! Quiet street, 2-car garage. Reduced: 575K Contact Me
- La Jolla – Cute 2BR condo end unit. Offers hardwood floors, new carpet, xtra windows, security garage: 430-470K
Contact Me
- La Jolla – Newly redone 2BR/2BA condo, heart of downtown La Jollawalk to shops, restaurants! Marble, granite, etc. 675-750K Contact Me
- SOLD/La Jolla - 3BR/2BA 1-level home on quiet street. Large lush private bkyd, redone kitch & BAs, valley vu, tennis! 720-750K Contact Me
- Mission Hills – Build your dream home on this 9500 square foot buildable view lot. $395,000. Contact Me
- Mission Hills –6251 square foot view homesite! Ready for you to build your custom home. $345,000. Contact Me
- Mission Hills - Attention Contractors / Developers / Investors! Buildable lot suitable for 10-11 homes. 950k-1.15m! Contact Me
- Pacific Beach - Development Opportunity! Redone 3BR home w/ room to build 2 condos. Resell or rent. Reduced: 775-850K Contact Me
-
Pacific Beach - FORECLOSURE! FORECLOSURE! 3BR/3BA townhome condo w/ 2-car garage on quiet street. Extra room. A BARGAIN at $625,000. Contact Me
- Phoenix, AZ - 30 apartments, large 3BR & 2BR units, well-maintained complex, Mesa area. Do a condo conversion? $2.1M. Contact Me
- Phoenix, AZ - Cashflow apartments, zero management, under-market prices. 1031 exchange OK. $100K to $5M down. Contact Me
- Pt. Loma - Stunning triplex w/ breathtaking ocean vu. Live in 3BR house, rent 2BR & 1BR units for income. $1.45M-1.575M. Contact Me
- SOLD/Pt. Loma - Point Loma Tennis Club ground-floor corner unit w/
remodeled bath. Big rooms. Looks like a model! 275-300K! Contact Me
- University City
- Striking 2004 full remodel 3414sqft home: 1/2-acre culdesac lot, flowing
floorplan, vivid colors. 988K-1.15M Contact Me
- Vista - No Payments ‘til 2007!
Seller makes your payments! Secluded hilltop 4br/3ba, 3000sqft, home on big lot: 790-820K Contact Me
Call me at (858)457-KENT to find out more or arrange a private showing . . .
Thank You For Your Referrals
Thank you Joe & Marsha, for referring a neighbor to sell a home…
Thank you Juan L., for referring a friend to sell her home…
Thank you Ron V. for referring your brother to buy a home…
Thank you Ron V. (again!) for referring a friend to sell a home…
Thank you Raul P. for referring a friend to buy a home…
Thank you Chris J. for referring your mother to sell a home…
Thank you Noel J. for referring your sister to buy a home…
Thank you Reggie D. for referring your sister to buy a home…
Thank you Chuck & Elaine for referring your clients to buy & sell..
Have a great week...
GARY KENT
"The Agent You See EVERYWHERE"
All-Time #1 Agent/Team In San Diego County for RE/MAX
21 Years Experience -- 3,000+ Homes Sold
Gary Kent Team --- RE/MAX Associates
(858)457-KENT --- (858)457-5368
GaryK@GaryKent.com -- http://www.garykent.com/
Due to production and shipping expense, free items are available only to residents, owners, and people planning to purchase real estate in San Diego.
