SevenThreeNumberTwo_IHB
New member
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Portola Springs Melloroos???
- Thread starter iceeman_IHB
- Start date
NEW -> Contingent Buyer Assistance Program
iceeman_IHB
New member
<p>almon,</p>
<p>I understand your point of view...i'm just relaying what i have read. I also know for a fact tha many of the undeveloped areas near the hills and the 241 is part of the conservation protection and considered permanently protected from development.</p>
<p>I know Irvine company isn't dumb enough to splash a headliner article just for the heck of it... there's some marketing and probably political intention with their statements. I also know that development will slow down far as residential development goes with the hope of controlling the price drops and rent control. </p>
<p>But if bloggers are right... Irvine should continue to remain one of the strongest real estate property in OC due to such large project like the Great Park and other communities. As for proximity... i am referring to the standard of living ( safety, schools, traffic, and so on). I grew up most of my life in Garden Grove and Fountain Valley...even L.A. ... so i know what is entailed in living a great city. Who would want to live next to Disneyland ? That'll be my worst nightmare... </p>
<p>when i'm talking about proximity..i am referring to the distance and traffic flow from various point of places that I consider valuable ( ie. the beach , malls, parks, my work, hills for mountain biking and so on). I personally feel that Irvine offers all that and more...although at a premium. </p>
<p> </p>
<p>I understand your point of view...i'm just relaying what i have read. I also know for a fact tha many of the undeveloped areas near the hills and the 241 is part of the conservation protection and considered permanently protected from development.</p>
<p>I know Irvine company isn't dumb enough to splash a headliner article just for the heck of it... there's some marketing and probably political intention with their statements. I also know that development will slow down far as residential development goes with the hope of controlling the price drops and rent control. </p>
<p>But if bloggers are right... Irvine should continue to remain one of the strongest real estate property in OC due to such large project like the Great Park and other communities. As for proximity... i am referring to the standard of living ( safety, schools, traffic, and so on). I grew up most of my life in Garden Grove and Fountain Valley...even L.A. ... so i know what is entailed in living a great city. Who would want to live next to Disneyland ? That'll be my worst nightmare... </p>
<p>when i'm talking about proximity..i am referring to the distance and traffic flow from various point of places that I consider valuable ( ie. the beach , malls, parks, my work, hills for mountain biking and so on). I personally feel that Irvine offers all that and more...although at a premium. </p>
<p> </p>
gec518_IHB
New member
I understand TIC will be developing some of the land off 133 near Quail Hill and the old Cat Country. You can see some of the future road plans near Laguna Canyon.
WeOnlyBuyNew_IHB
New member
iceeman,
The market is unpredictable. No one can predict the future of the market. However,
You are not unpredictable to yourself. You can predict the amount of happiness you will have by fullfilling your dream. And, the amount of unhappiness you will have if you don't (or you do and then the bottom drops out.)
This is the advice that I keep seeing on all the other discussions. So I will give it to you here. (it's just advice, I'm not a real estate agent or anything).
Good idea to wait until the end of the year. That is when builders are really desperate for sales to make their stockholders happy.
You have three huge things going for you.
1. YOu are non-contingent buyer
2. YOu have excellent credit.
3. You have fluid funds . ???
Around Oct., Nov. go looking around. Try to find a new home that the builders are desperate to get rid of, but can't. When you find one that you like (IMO there will be plenty at the end of '07). Make an offer on the home.
Keep the following things in mind.
1. Look for Broker Co-op. Basically, most places now will pay a broker up to 5% ($20,000 on a $400,000 home) back for bringing in a buyer who actually closes escrow. It should be easy to find a broker who will represent you for small fee, and then have them kick you back the rest of the money after closing. - Just don't ever give the sales offices your info when you walk in, because otherwise, the broker won't be able to represent you when you and your broker "walk in for the first time". (My sister-in law was going to do this for me for free and kick me back 45 grand!)
2. Don't just accept the incentives they are dishing out. Many have been able to negotiate 10% reductions in price, closing costs, landscaping, flooring upgrades, window coverings, etc. Be brave, when you make your offer. Give them permission to check out your credit, bring bank statements to show your fluid assets. Let them see how serious you are and that you are willing to close by the end of the fiscal year. Don't consider an offer too low. The worst they can do is say no. Then what have you lost? Remember They have everything to lose ( a well positioned buyer), you have everything to gain (a new home somewhere).
In this market, you don't have to pay the sticker price. Try to negotiate as much as possible so that you can minimize your losses if the real estate in Irvine takes a dump.
3. Look at homes in and a little above your price range. Basically, if you are looking for a townhome, you'll get stuck with 2 association fees. (neither of which is tax deductible. )
If you can find a home that is more detached condo style (read this as ally-loaded garage), you will have one association fee, and higher taxes. (taxes, even mello-roos are deductible.) The lack of a second association fee, might make the townhome the same payment as the detached condo. But you will get a better ride-off, have more space, and easier resale with home number 2.
A guy of your credit rating can get away with the following debt to income ratio: total monthly mortgage payment (incl taxes, association, insurance) + car payment + student loan payment +any other monthly payments = should be about 40-43% of your total gross salary. Generally, brokers don't like you to exceed a 33% debt to income ratio, but in my experience, good credit helps a lot.
Good choice to buy in Irvine. This place will always be in demand. Also, consider this, if the market takes a dump, and you have recently bought a place, your loss is not actual because you have not sold the place yet. It just means you have to live in it longer to ride out the storm. (keep this in mind when you are choosing your loan program. It's tempting to take a teaser rate of 3%, but in this market, I'd go for safe, and take a 5/1 arm atleast.)
As I said, the market is unpredictable. For example, I bought a house in 2000 for 360,000. My agent told me in about 7 years, I should be able to sell it for 420,000. In 2003, I sold the house for $600,000. and I told everyone, that thing will never be worth a million. Last week, I looked online and saw my old neighbors house (same as my old house) selling for a million!. The market is unpredictable. So just make yourself happy. No body else is going to do that for you. It's your money, so spend it the way you want.
The market is unpredictable. No one can predict the future of the market. However,
You are not unpredictable to yourself. You can predict the amount of happiness you will have by fullfilling your dream. And, the amount of unhappiness you will have if you don't (or you do and then the bottom drops out.)
This is the advice that I keep seeing on all the other discussions. So I will give it to you here. (it's just advice, I'm not a real estate agent or anything).
Good idea to wait until the end of the year. That is when builders are really desperate for sales to make their stockholders happy.
You have three huge things going for you.
1. YOu are non-contingent buyer
2. YOu have excellent credit.
3. You have fluid funds . ???
Around Oct., Nov. go looking around. Try to find a new home that the builders are desperate to get rid of, but can't. When you find one that you like (IMO there will be plenty at the end of '07). Make an offer on the home.
Keep the following things in mind.
1. Look for Broker Co-op. Basically, most places now will pay a broker up to 5% ($20,000 on a $400,000 home) back for bringing in a buyer who actually closes escrow. It should be easy to find a broker who will represent you for small fee, and then have them kick you back the rest of the money after closing. - Just don't ever give the sales offices your info when you walk in, because otherwise, the broker won't be able to represent you when you and your broker "walk in for the first time". (My sister-in law was going to do this for me for free and kick me back 45 grand!)
2. Don't just accept the incentives they are dishing out. Many have been able to negotiate 10% reductions in price, closing costs, landscaping, flooring upgrades, window coverings, etc. Be brave, when you make your offer. Give them permission to check out your credit, bring bank statements to show your fluid assets. Let them see how serious you are and that you are willing to close by the end of the fiscal year. Don't consider an offer too low. The worst they can do is say no. Then what have you lost? Remember They have everything to lose ( a well positioned buyer), you have everything to gain (a new home somewhere).
In this market, you don't have to pay the sticker price. Try to negotiate as much as possible so that you can minimize your losses if the real estate in Irvine takes a dump.
3. Look at homes in and a little above your price range. Basically, if you are looking for a townhome, you'll get stuck with 2 association fees. (neither of which is tax deductible. )
If you can find a home that is more detached condo style (read this as ally-loaded garage), you will have one association fee, and higher taxes. (taxes, even mello-roos are deductible.) The lack of a second association fee, might make the townhome the same payment as the detached condo. But you will get a better ride-off, have more space, and easier resale with home number 2.
A guy of your credit rating can get away with the following debt to income ratio: total monthly mortgage payment (incl taxes, association, insurance) + car payment + student loan payment +any other monthly payments = should be about 40-43% of your total gross salary. Generally, brokers don't like you to exceed a 33% debt to income ratio, but in my experience, good credit helps a lot.
Good choice to buy in Irvine. This place will always be in demand. Also, consider this, if the market takes a dump, and you have recently bought a place, your loss is not actual because you have not sold the place yet. It just means you have to live in it longer to ride out the storm. (keep this in mind when you are choosing your loan program. It's tempting to take a teaser rate of 3%, but in this market, I'd go for safe, and take a 5/1 arm atleast.)
As I said, the market is unpredictable. For example, I bought a house in 2000 for 360,000. My agent told me in about 7 years, I should be able to sell it for 420,000. In 2003, I sold the house for $600,000. and I told everyone, that thing will never be worth a million. Last week, I looked online and saw my old neighbors house (same as my old house) selling for a million!. The market is unpredictable. So just make yourself happy. No body else is going to do that for you. It's your money, so spend it the way you want.
nirvinerealtor_IHB
New member
<p>Advice on "kick back to the buyer": To make the kick back tax-deferred and maximized, have escrow distribute the commission to buyer direct. This amount reduces your basis of cost; therefore, no tax. Of course my usuall disclaimer - check with your CPA.</p>
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EvaLSeraphim_IHB
New member
I would just note that technically Mello-Roos bond payments are not tax deductible, but because they appear on the property tax bill, just about everyone includes them in their deductions as "property tax."
I also had a mortgage broker many years ago tell me that he wrote off his HOA fees because he brought clients over to the community facilities (e.g., clubhouse, etc.) to "entertain." YMMV.
I also had a mortgage broker many years ago tell me that he wrote off his HOA fees because he brought clients over to the community facilities (e.g., clubhouse, etc.) to "entertain." YMMV.
graphrix_IHB
New member
WeOnlyBuyNew makes some great points. The price is the most important factor when it comes to incentives! The only thing I can add for a tip with homebuilders is quarter end is very important as well. Not as important as year end but they are more willing to make the deal work than vs. a month ago. Make sure you know the builder's fiscal year end. Most are in December but not all are. March is a big month for Centex as that is their year end.
IrvineRenter_IHB
New member
KB Home's year end is November.
Personally, I wouldn't be surprised to see the various cash kick-back schemes disappear over the next couple of years. For one it should probably be illegal, but that aside, the lenders are not going to be willing to put out the money. As lenders start taking major losses over the next several years, they will stop giving out money like candy.
Personally, I wouldn't be surprised to see the various cash kick-back schemes disappear over the next couple of years. For one it should probably be illegal, but that aside, the lenders are not going to be willing to put out the money. As lenders start taking major losses over the next several years, they will stop giving out money like candy.