How low can we go? 30 yr fixed at 3.75% with no fees...
- Thread starter ps99472
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NEW -> Contingent Buyer Assistance Program
Yeah I know I'm sort of seen as a perma bear on this forum, but that's simply not the case. If I was I would not have just closed on a home in CDM.
That being said, I'm not saying there are great deals out there right now, because with the exception of short sale fraud, or a unicorn, the deals out there aren't great. There are some homes on the market that are simply priced fair when you compare the alternative (renting). I'd say USCTrojan's list makes the cut, I'd also add north and south Laguna Niguel, non-coastal areas of Dana Point, Foothill Ranch, and even some parts of Irvine (older Irvine). Ladera Ranch is getting close, but when you figure in their tax rate, MR, and HOA, Ladera has another 5% to go before it starts looking better. Mission Viejo is still too bubbly for some reason when compared to rents but even in that city there are communities at rental parity.
Places not their yet, but could be there in the next 12-24 months, just off the top of my head: Columbus Grove, Tustin Fields, any of the Woodbury communities, Quail Hill, Northpark, Northwood, and Tustin Ranch. If you are planning to buy in those communities, I'd say a solid no for right now.
Still there are some pie-in-the-sky knife catchers that put their homes on the market and sit for 6 months because they still think it's 2007, just let those guys sit, their homes will be REO inventory in 2013-2014.
The market is becoming more friendly towards buyers. I wouldn't say we've turned the corner yet, because if not for these artificially low rates rental parity would not exist.
So if you're buying simply for a place to live and not trying to build a profit driven rental empire, now isn't a horrible time, it might not be the best time, but it's not going to destroy you financially as long as your are realistic about what you can afford, and have the down payment (and reserves).
usctrojancpa
Well-known member
Just to name a few....Yorba Linda, Anaheim Hills, Orange, Aliso Viejo, RSM are a few. There are properties that trade below rental parity in those cities too.rkp said:
IndieDev
New member
rkp said:
Yeah I know I'm sort of seen as a perma bear on this forum, but that's simply not the case. If I was I would not have just closed on a home in CDM.
That being said, I'm not saying there are great deals out there right now, because with the exception of short sale fraud, or a unicorn, the deals out there aren't great. There are some homes on the market that are simply priced fair when you compare the alternative (renting). I'd say USCTrojan's list makes the cut, I'd also add north and south Laguna Niguel, non-coastal areas of Dana Point, Foothill Ranch, and even some parts of Irvine (older Irvine). Ladera Ranch is getting close, but when you figure in their tax rate, MR, and HOA, Ladera has another 5% to go before it starts looking better. Mission Viejo is still too bubbly for some reason when compared to rents but even in that city there are communities at rental parity.
Places not their yet, but could be there in the next 12-24 months, just off the top of my head: Columbus Grove, Tustin Fields, any of the Woodbury communities, Quail Hill, Northpark, Northwood, and Tustin Ranch. If you are planning to buy in those communities, I'd say a solid no for right now.
Still there are some pie-in-the-sky knife catchers that put their homes on the market and sit for 6 months because they still think it's 2007, just let those guys sit, their homes will be REO inventory in 2013-2014.
The market is becoming more friendly towards buyers. I wouldn't say we've turned the corner yet, because if not for these artificially low rates rental parity would not exist.
So if you're buying simply for a place to live and not trying to build a profit driven rental empire, now isn't a horrible time, it might not be the best time, but it's not going to destroy you financially as long as your are realistic about what you can afford, and have the down payment (and reserves).
IndieDev
New member
Just to add, there are communities that won't hit rental parity no matter how long you wait, and weren't even at rental parity before the bubble: Balboa Island, Balboa Peninsula, CDM, Newport Coast, Laguna Beach, Monarch Beach(Dana Point). Obviously low inventory, and being beach communities are the real price props there. Not saying prices in those communities won't come down, because they will, but I don't see rental parity being part of the discussion there.
irvinehomeshopper
Well-known member
Should the rental parity of your new castle be in the range of $50,000/month?
irvinehomeshopper
Well-known member
I totally agree the exclusivity of the pool should be an extra. The hammock between the 2 trees I think you should throw in as a constellation incentive. I hope you don't charge me extra for the Catalina view because you begin to sound like the local developer who nickel and dime the heck out of renters and home buyers. I think I just broke the cardinal rule by using the word rent or should I say lease. Because rent is for the lower class rip raffs while you and I are much higher class than the population living east of the 405.
BTW Johns Creek is also considered east of the 405.
BTW Johns Creek is also considered east of the 405.
irvinehomeshopper
Well-known member
Yes, John's Creek is nice and the homes there compared to wasteland east of the 405 deserve a higher level of recognition.
irvinehomeshopper
Well-known member
I was right the first time. The weather is just the same like irvine but how about your neighbors? Are they super nice just like irvine being friendly, talkative, out going and super nice.
IHS - Johns Creek doesnt have the Asian density of Irvine yet. They are more like this right now: http://www.southparkstudios.com/clips/387860/little-tokyo
usctrojancpa
Well-known member
For detached SFRs, you get hit it a .25% fee if put less than 25% down. You get hit with that same fee plus a .75% fee if you put less than 25% on a condo. I believe this covers both purchase money loans and refi's, but I'll let SPIG confirm.freedomcm said:
sgip
Well-known member
SPIG - Spider Pig? D'oh!
25% down is the breaking point for most Fannie / Freddie Loan Level Price Adjustment hits. Yes, although you've got a 850 FICO score and 20% equity, the Agencies will increase your fees by .25 for having a FICO over 740. Counterintuitive, but what do you expect from this bunch!
My .02c
SGIP
25% down is the breaking point for most Fannie / Freddie Loan Level Price Adjustment hits. Yes, although you've got a 850 FICO score and 20% equity, the Agencies will increase your fees by .25 for having a FICO over 740. Counterintuitive, but what do you expect from this bunch!
My .02c
SGIP
irvinehomeowner
Well-known member
So how easy is it to refi with Provident?
I've been getting calls from my current lender (Wells) to refi (we just refi'ed last at the end of 2010) and I'm wondering if it's easier to go with my current lender or switching.
I've been getting calls from my current lender (Wells) to refi (we just refi'ed last at the end of 2010) and I'm wondering if it's easier to go with my current lender or switching.
usctrojancpa
Well-known member
From what my buyers told me, Provident is one of the most conservative and strict lenders out there. That being said, they have one of the best rates out there. If you are a W-2ed person with a high credit score and nothing crazy going on with your tax returns, it should be no problem with them. Big bank interest rates aren't the best (Wells, BofA, Chase, etc).irvinehomeowner said:
usctrojancpa
Well-known member
Opps, fat finger post.Soylent Green Is People said: