the power is now
magazine VOL 16 | DECEMBER 2023
Nykia Wright Interim CEO, National Association of Realtors
DECEMBER 2023
HAVE YOU READ OUR PAST ISSUES YET? the power is now
magazine CENTRAL EDITION Vol. 09 | Issue 11
Eric Lawrence Frazier, MBA Publisher Office: (800) 401-8994 Ext. 703 Direct: (714) 361-2105 eric.frazier@thepowerisnow.com www.thepowerisnow.com EDITORIAL TEAM Sheila Gilmore Editor in Chief (800) 401-8994 ext. 711 sheila.gilmore@thepowerisnow.com Daniels George Managing Editor (800) 401-8994 ext. 712 daniels.george@thepowerisnow.com Timothy Hornu Graphic Artist and Design Manager tim@thepowerisnow.com
CONTRIBUTORS The Power Is Now Research Team
DECEMBRER 2023
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DECEMBER 2023
CONTENTS
DECEMBER 2023
MORTGAGE NEWS Down Payment Myths Debunked
REAL ESTATE NEWS Builder Confidence Wanes Amidst Mortgage Rate Surge
ECONOMIC NEWS Evolving Dynamics in the US Labor Market: Jobless Claims Reach Three-Month High
POWER TO YOU Top 10 Qualities of a Good Real Estate Agent
GREEN/SUSTAINABILITY Illuminating Progress: The Soaring Growth of Solar Energy in America
HEALTH NEWS Historic California Law Boosts Minimum Wage to $25 for Healthcare Workers
DECEMBRER 2023
RESEDNTIAL REAL ESTATE ARTICLES. MEET OUR CONTRIBUTORS
FLORIDA
MARYLAND
Adriana Montes: How Much Should I Spend on a House in Florida? pg 52
Emerick A. Peace: What Hurts Property Value? 5 Things to Address Now Pg 60
Francine Marsolek: Selling Your Home in Lino Lake, Minnesota: FSBO vs. Real Estate Agent pg 68 MINNESOTA
CONNECTICUT
Steven Rivkin: A Comprehensive Guide to Buying a Mobile Home in Connecticut. pg 76
Yvonne McFadden: 8 Psychological Traps in Home Buying and How to Avoid Them pg 84 ARIZONA
Brandy Nelson: What Is Mortgage Insurance and When Do You Need It? pg 90 CALIFORNIA
Ruby Frazier: What Buyers and Sellers Need to Know About Home Inspections in Riverside, CA pg 104 CALIFORNIA
Briana Frazier: Unlocking the Door to Homeownership: Mastering the First Steps to Buying a House pg 112 CALIFORNIA DECEMBER 2023
DECEMBER 2023
FROM THE EDITOR Dear Power Is Now National Magazine Readers,
A
s we bid farewell to 2023, a year that raced by with challenges, triumphs, and incredible growth, we welcome you to the final issue of the Power Is Now National Magazine for this memorable year. I am Eric Lawrence Frazier, the Editor In Chief, and I am thrilled to share with you the essence of this festive month.
December is not just a time of reflection but also a celebration of community, family, and shared traditions. In the spirit of “Hi Neighbor Month,” let’s take a moment to appreciate the connections that make our lives richer and more meaningful. As we embrace the holiday season, we also acknowledge Kwanzaa, the African Harvest Festival, a time for reflection on the values that bind us and the strength we find in our diverse heritage. December is also designated as National Stress-Free Family Holiday Month, a gentle reminder to prioritize joy, love, and the simple pleasures that make this season truly magical. Furthermore, we observe Universal Human Rights Month, a time to reaffirm our commitment to the fundamental rights and dignity of every individual, transcending borders and embracing the principles that unite us. As we turn the pages into the new year, let’s extend our heartfelt gratitude to the incredible team at Power Is Now Media. Their tireless efforts and unwavering dedication have shaped every issue of this magazine, bringing you insightful content that reflects our commitment to excellence. A special acknowledgment goes to our VIP Agents, whose invaluable insights and expertise have been a cornerstone of our success. Your partnership is the driving force behind our mission to empower and inform the real estate community. Looking ahead to 2024, we do so with optimism and excitement. The challenges of the past have only strengthened our resolve, and we are poised for even greater achievements in the coming year. Together, we will continue to navigate the ever-evolving landscape of real estate, turning challenges into opportunities and embracing the possibilities that lie ahead. In this issue, we proudly feature Nykia Wright, the interim CEO of the National Association of Realtors (NAR) and the former CEO of the Chicago Sun-Times, as our cover personality for December 2023. Her leadership and vision exemplify the spirit of progress and empowerment that defines our community.
DECEMBRER 2023
Additionally, take a moment to revisit some of the outstanding articles we’ve curated for you throughout the year. From insightful guides on home buying to explorations of real estate markets across the country, each piece is crafted with the goal of informing, inspiring, and empowering you on your real estate journey. As the curtain falls on 2023, I extend my warmest wishes to you and your loved ones. May the holiday season fill your hearts with joy, and may the new year bring you success, prosperity, and boundless opportunities. With gratitude and excitement for the future,
Eric Lawrence Frazier Editor-in-Chief The Power Is Now Magazine
DECEMBER 2023
DECEMBRER 2023
They told me to “Try someplace else.”
So I did. I called HUD.
SCAN HERE FOR MORE INFO
I found the perfect apartment near a park and public transportation. I asked for a reasonable accommodation for my service dog, but the landlord told me “no pets – try someplace else.” So I called HUD and found out it’s illegal for a housing provider to prohibit service animals. I filed a complaint, and now my dog and I have a great place to live.
Fair Housing Is Your Right. Use It. Landlords must make reasonable accommodations for persons with disabilities, such as allowing for service animals or providing an accessible parking space. Report housing discrimination to HUD or your local fair housing center.
Visit www.hud.gov/fairhousing or call the HUD Hotline 1-800-669-9777 (English/Español) 1-800-927-9275 (TTY)
A public service message from the U.S. Department of Housing and Urban Development in partnership with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. For more information, visit www.hud.gov/fairhousing.
DECEMBER 2023
PHOTO FROM 123RF
PHPTP FROM THEHILL.COM
MORTGAGE NEWS
Down Payment Myths Debunked: Navigating the Realities of Homeownership
E
mbarking on the journey to homeownership is an exciting venture, but it often comes with a fair share of myths and misconceptions, especially when it comes to the elusive down payment. Aspiring homeowners frequently encounter a myriad of information, some accurate and some veiled in myth. In this article, we aim to demystify the intricacies of down payments, unraveling common misconceptions that might be standing between you and your dream home. Let’s explore
DECEMBRER 2023
the truths behind down payments and equip you with the knowledge needed to make informed decisions on your path to owning a piece of real estate.
MYTH: YOU NEED A 20% DOWN PAYMENT TO BUY A HOME Reality: While a 20% down payment is often recommended to avoid private mortgage
insurance (PMI), it’s not a strict requirement. Many lenders offer options with lower down payments, NAVIGATING THE PATH FORWARD making homeownership more accessible. Understanding that a 20% down payment is not When it comes to the world of homeownership, a strict requirement liberates prospective buyers the myth that a hefty 20% down payment is an absolute prerequisite can be a significant deterrent from an unnecessary barrier. By exploring various for potential buyers. While the 20% benchmark is lending options and comprehending the nuances frequently touted as the gold standard, the reality of down payment alternatives, individuals can embark on their homeownership journey with is far more flexible and accommodating. confidence. The myth debunked, the path to owning a home becomes more navigable, 1.VARIED LENDING OPTIONS: fostering inclusivity and accessibility in the realm Contrary to the misconception, numerous lenders of real estate. understand the diverse financial circumstances of homebuyers. They offer a range of mortgage products with lower down payment requirements, MYTH: DOWN PAYMENT catering to individuals with varying financial ASSISTANCE PROGRAMS ARE ONLY capacities. 2.FHA LOANS: The Federal Housing Administration (FHA) is a key player in making homeownership attainable. FHA loans often require down payments as low as 3.5%, allowing buyers to enter the market with significantly less upfront capital. 3.CONVENTIONAL LOANS WITH LOWER DOWN PAYMENTS: Conventional loans, typically associated with higher down payment expectations, now come with options for down payments as low as 3%. This increased flexibility aims to accommodate a broader spectrum of homebuyers. 4.PRIVATE MORTGAGE INSURANCE (PMI) MITIGATION: For those opting for down payments below 20%, private mortgage insurance (PMI) is a common consideration. While it adds an additional cost, it serves to protect the lender, enabling buyers to secure financing with a more modest upfront investment. 5.AFFORDABILITY AND FINANCIAL PLANNING: A lower down payment allows potential homeowners to enter the market sooner, taking advantage of favorable real estate conditions. It also enables individuals to allocate their finances more strategically, balancing homeownership goals with other financial priorities.
FOR FIRST-TIME BUYERS
Reality: Down payment assistance programs exist for both first-time and repeat homebuyers. These programs vary by location and eligibility criteria, so it’s essential to explore available options, regardless of your buying history. In the realm of down payments, a pervasive myth suggests that assistance programs are exclusively reserved for first-time homebuyers. This misconception often dissuades repeat buyers from exploring valuable avenues of support. The truth, however, paints a more inclusive picture, highlighting the availability of assistance programs for a broader range of homebuyers. INCLUSIVE ASSISTANCE PROGRAMS Contrary to the myth, down payment assistance programs are not limited to those taking their first step onto the homeownership ladder. Many programs extend their support to repeat buyers, recognizing the diverse paths individuals may take in their real estate journey. VARIED ELIGIBILITY CRITERIA Each down payment assistance program comes with its own set of eligibility criteria. While some programs may focus on specific demographics or income brackets, others are designed to cater to a wider audience. Understanding these criteria is crucial to identifying programs that align with your DECEMBER 2023
unique circumstances. LOCAL AND FEDERAL INITIATIVES: Both local and federal entities contribute to down payment assistance initiatives, fostering a collaborative approach to making homeownership more accessible. These programs often reflect the nuanced needs of different communities, offering tailored solutions for prospective buyers. CONSIDERATION FOR MARKET DYNAMICS: Recognizing the evolving dynamics of the real estate market, assistance programs aim to adapt and remain relevant. Repeat buyers facing changing circumstances or market conditions can find support through these initiatives, promoting a more fluid and inclusive homebuying landscape.
GUIDANCE FOR HOMEBUYERS RESEARCH LOCAL PROGRAMS Start by researching down payment assistance programs in your local area. Many municipalities and states have specific offerings tailored to the needs of their residents, and understanding these options is a crucial first step. CONSULT WITH LENDERS Lenders often have insights into available assistance programs. Engage in conversations with mortgage professionals to explore options that match your financial profile, whether you’re a first-time buyer or someone looking to purchase again. STAY INFORMED ABOUT FEDERAL PROGRAMS Federal programs, such as those offered by the U.S. Department of Housing and Urban Development (HUD), provide a broader perspective on down payment assistance. Stay informed about these initiatives, as they may offer valuable resources for repeat buyers. In dispelling the myth that down payment assistance is exclusive to first-time buyers, a more inclusive narrative emerges. By exploring diverse programs and understanding the varied criteria, both first-time and repeat homebuyers can tap into valuable support systems, fostering a more accessible and equitable path to DECEMBRER 2023
homeownership.
MYTH: A HIGHER DOWN PAYMENT GUARANTEES MORTGAGE APPROVAL Reality: While a substantial down payment can strengthen your mortgage application, it doesn’t guarantee approval. Lenders consider various factors, including credit history, income, and debtto-income ratio. A well-rounded financial profile is crucial. The notion that a higher down payment serves as an infallible key to securing mortgage approval is a prevalent misconception in the realm of home financing. While a significant down payment can undoubtedly enhance your overall financial profile, the reality is far more nuanced. Mortgage approval involves a comprehensive assessment of multiple factors, with the down payment being just one piece of the puzzle. 1.COMPREHENSIVE FINANCIAL EVALUATION: Mortgage approval is a multifaceted process that goes beyond the numerical value of a down payment. Lenders conduct a thorough evaluation of your financial situation, considering factors such as credit history, employment stability, and overall debt. 2.CREDIT HISTORY SIGNIFICANCE: A higher down payment alone does not compensate for a less-than-ideal credit history. Lenders scrutinize your credit report to assess your creditworthiness, emphasizing the importance of maintaining a positive credit standing. 3.INCOME VERIFICATION: The stability and reliability of your income play a pivotal role in the mortgage approval process. Lenders assess your income sources, employment history, and the likelihood of consistent earnings to gauge your ability to meet mortgage obligations. 4.DEBT-TO-INCOME RATIO: A well-rounded financial profile considers
your debt-to-income ratio—a crucial metric in determining your capacity to take on additional debt. Even with a substantial down payment, a high debt-to-income ratio may pose challenges to mortgage approval. 5.RISK MITIGATION STRATEGIES: Lenders are primarily concerned with mitigating risk. While a higher down payment reduces their exposure, other risk factors, if not adequately addressed, can impact the overall decision. Demonstrating financial stability through various means is key.
NAVIGATING THE MORTGAGE APPROVAL PROCESS: ●HOLISTIC FINANCIAL PLANNING: Rather than focusing solely on the down payment amount, adopt a holistic approach to financial planning. Address any outstanding credit issues, stabilize your income, and manage existing debt responsibly. ●CONSULT WITH MORTGAGE PROFESSIONALS: Engaging in open communication with mortgage professionals provides valuable insights into the specific criteria lenders consider. Seeking advice allows you to tailor your financial strategy for optimal mortgage approval prospects. ●PRE-APPROVAL PROCESS: Prioritize the pre-approval process, which involves a preliminary assessment of your financial situation by a lender. This step offers clarity on the feasibility of mortgage approval and provides guidance on areas that may need attention. In dispelling the myth that a higher down payment guarantees mortgage approval, the emphasis shifts to the holistic evaluation of your financial health. While a substantial down payment is commendable, a comprehensive and well-managed financial profile remains the key to navigating the intricate landscape of mortgage approval.
MYTH: YOUR DOWN PAYMENT MUST DECEMBER 2023
COME FROM PERSONAL SAVINGS Reality: Down payments can come from a variety of sources, including gifts from family, employer assistance programs, or even certain loans. Understanding the acceptable sources for your down payment can open up additional avenues. The misconception that a down payment must exclusively stem from personal savings can create an unnecessary barrier for aspiring homeowners. In reality, the origin of your down payment is not confined to your personal savings account. Understanding the flexibility in acceptable sources broadens the horizon, allowing potential homebuyers to explore diverse avenues of financial support. 1.GIFTS FROM FAMILY: Contrary to the myth, down payments can be gifted by family members. Many lenders accept financial gifts as a legitimate source for down payments, provided they come from a close relative and adhere to specific documentation requirements. 2.EMPLOYER ASSISTANCE PROGRAMS: Some employers offer assistance programs to support employees in their homeownership journey. These programs may contribute to or match funds for a down payment, providing an additional avenue for securing the necessary funds. 3.GOVERNMENT AND NONPROFIT PROGRAMS: Various government and nonprofit organizations run initiatives to promote homeownership. These programs may offer grants or loans with favorable terms to assist individuals in meeting their down payment requirements. 4.DOWN PAYMENT ASSISTANCE GRANTS: Down payment assistance grants, available through certain organizations, can be a valuable resource. These grants aim to bridge the financial gap for homebuyers and are often designed to enhance accessibility to homeownership.
DECEMBRER 2023
5.CERTAIN LOANS: Depending on your financial situation, certain loans may be used for your down payment. For example, a personal loan or a loan against a retirement account could be considered, though it’s essential to evaluate the implications and risks associated with such options.
GUIDANCE FOR EXPLORING ALTERNATIVE SOURCES ●CONSULT WITH LENDERS: Engage in open conversations with lenders to understand their policies regarding acceptable sources for down payments. Different lenders may have varying criteria, and clarity on this aspect is crucial. ●DOCUMENTING GIFT FUNDS: If receiving a financial gift, be prepared to document the transaction thoroughly. Lenders typically require a gift letter specifying the nature of the gift, the relationship between the giver and receiver, and confirmation that the funds are not a loan. ●RESEARCH DOWN PAYMENT ASSISTANCE PROGRAMS: Explore available down payment assistance programs offered by government entities, nonprofits, and community organizations. Familiarize yourself with the eligibility criteria and application processes to leverage these resources effectively. ●UNDERSTAND LOAN IMPLICATIONS: If considering loans for your down payment, carefully assess the terms and implications. Be aware of the impact on your overall financial picture and mortgage affordability. By dispelling the myth that down payments must solely originate from personal savings, potential homebuyers can navigate a broader spectrum of financial avenues. Embracing alternative sources provides not only flexibility but also the opportunity to tap into various support systems, fostering a more inclusive path to homeownership.
DECEMBER 2023
MYTH: SMALLER DOWN PAYMENTS MEAN HIGHER INTEREST RATES Reality: While a larger down payment may result in a lower interest rate, the correlation is not linear. Many factors influence interest rates, and borrowers with smaller down payments can still secure competitive rates based on their overall financial picture. The belief that smaller down payments inevitably translate to higher interest rates is a common misconception in the world of home financing. While it’s true that a larger down payment can contribute to securing a lower interest rate, the relationship between down payments and interest rates is multifaceted. Borrowers with smaller down payments still have the opportunity to secure competitive interest rates by considering various factors that influence the lending landscape. INTEREST RATE DETERMINANTS: Interest rates are influenced by a myriad of factors beyond the size of the down payment. Lenders consider credit scores, debt-to-income ratios, employment history, and overall financial stability when determining the interest rate for a mortgage. CREDITWORTHINESS IMPACT: A borrower’s creditworthiness plays a significant role in shaping the interest rate. Even with a smaller down payment, individuals with strong credit profiles can negotiate favorable interest rates, highlighting the importance of maintaining a positive credit history. MARKET CONDITIONS: The prevailing market conditions also impact interest rates. Economic factors, central bank policies, and fluctuations in the financial markets contribute to the overall interest rate environment. Borrowers can secure favorable rates during periods of economic stability or favorable market conditions. LENDER POLICIES AND PROGRAMS: Lenders often offer various mortgage programs DECEMBRER 2023
with different terms and conditions. Some programs cater specifically to borrowers with smaller down payments, offering competitive interest rates as part of efforts to make homeownership more accessible. PRIVATE MORTGAGE INSURANCE (PMI): For borrowers with smaller down payments, private mortgage insurance (PMI) may be a consideration. While it adds an additional cost, it enables individuals to secure financing with a lower upfront investment and does not necessarily result in significantly higher interest rates. GUIDANCE FOR BORROWERS: Focus on Credit Management: Prioritize maintaining a positive credit history and a good credit score. A strong credit profile can contribute to securing a competitive interest rate, irrespective of the size of the down payment. EXPLORE LENDER PROGRAMS: Research and explore mortgage programs offered by different lenders. Some lenders may have specific programs designed to accommodate smaller down payments while providing competitive interest rates. Consider Long-Term Affordability: Evaluate the overall affordability of homeownership, considering factors beyond the down payment and interest rates. A holistic approach to financial planning ensures sustainable homeownership over the long term. By debunking the myth that smaller down payments inevitably lead to higher interest rates, borrowers gain a clearer understanding of the nuanced factors influencing mortgage terms. Recognizing the multifaceted nature of interest rate determinants empowers individuals to make informed decisions and secure favorable financing terms based on their unique financial circumstances.
MYTH: DOWN PAYMENTS ARE THE ONLY UPFRONT COSTS
Reality: Beyond the down payment, there are additional upfront costs such as closing costs, home inspections, and appraisal fees. Being aware of these expenses allows you to budget effectively and ensures a smoother homebuying process.
ESCROW ACCOUNTS: Some lenders may require the establishment of escrow accounts to manage property taxes and insurance payments. Buyers contribute an initial amount to these accounts at closing, adding to the overall upfront costs.
The misconception that down payments are the sole upfront costs in the homebuying process can lead to financial oversights and surprises. In reality, prospective homeowners should be mindful of additional expenses beyond the down payment. Understanding these upfront costs, including closing costs, home inspections, and appraisal fees, is crucial for effective budgeting and a seamless homebuying experience.
GUIDANCE FOR EFFECTIVE BUDGETING:
CLOSING COSTS: Closing costs encompass various fees associated with finalizing a real estate transaction. These may include loan origination fees, attorney fees, title insurance, property taxes, and other charges. Typically, closing costs amount to a percentage of the home’s purchase price.
●FACTOR IN INSPECTION COSTS: While home inspections are valuable, they come with a cost. Factor inspection expenses into your budget, recognizing them as a necessary investment in understanding the condition of the property.
HOME INSPECTIONS: Home inspections are a vital part of the homebuying process, providing a comprehensive assessment of the property’s condition. While not always mandatory, inspections help uncover potential issues that may impact the home’s value or require repairs. Buyers are typically responsible for the cost of inspections. APPRAISAL FEES: Lenders often require a home appraisal to assess the property’s market value. Appraisal fees, paid by the buyer, cover the cost of the professional appraiser’s evaluation. This step ensures that the home’s value aligns with the proposed mortgage amount. PREPAID EXPENSES: Homebuyers may need to prepay certain expenses at closing, such as property taxes, homeowners insurance, and mortgage interest. These prepaid items contribute to the upfront costs but are essential for ensuring ongoing financial obligations are met.
●REQUEST A LOAN ESTIMATE: Early in the homebuying process, request a Loan Estimate from your lender. This document provides an overview of the expected closing costs, helping you plan and budget accordingly.
●NEGOTIATE CLOSING COSTS: In some cases, buyers may negotiate with sellers to cover a portion of the closing costs. While this depends on the terms of the sale, it can help alleviate some of the financial burden. ●PLAN FOR PREPAID ITEMS: Prepaid expenses are part of the upfront costs, so plan for property taxes, homeowners insurance, and mortgage interest payments that may be due at closing. ●UNDERSTAND APPRAISAL FEES: Be aware of the appraisal process and associated fees. While it is a requirement for many loans, understanding this upfront cost ensures you are financially prepared. By dispelling the myth that down payments are the only upfront costs, homebuyers can navigate the financial landscape of real estate transactions more effectively. Awareness of additional expenses allows for informed budgeting, contributing to a smoother and more transparent homebuying process.
DECEMBER 2023
CONCLUSION
Embarking on the journey to homeownership is a significant and exciting venture, but it’s essential to navigate the process with accurate information. In this exploration of common myths surrounding down payments and upfront costs, we’ve unveiled the realities that shape the landscape of home financing. Understanding that a 20% down payment isn’t a rigid requirement opens doors for many aspiring homeowners who may have alternatives to explore. Down payment assistance programs, varied funding sources, and the flexibility of acceptable down payment amounts empower buyers to tailor their approach to their unique financial circumstances. Moreover, recognizing that smaller down payments do not automatically equate to higher interest rates emphasizes the importance of a holistic financial profile. Creditworthiness, market conditions, and lender programs all play pivotal roles in shaping the interest rates offered to homebuyers. Beyond the down payment, we’ve emphasized the significance of being aware of additional upfront costs. Closing costs, home inspections, appraisal fees, and other financial considerations contribute to a comprehensive understanding of the financial commitment involved in purchasing a home. As you embark on your homebuying journey, armed with accurate information and a clear understanding of the nuances involved, you’re better equipped to make informed decisions. Remember to consult with mortgage professionals, explore available programs, and plan your budget with the full spectrum of costs in mind. In dispelling these myths, our aim is to empower you to approach the homebuying process with confidence and clarity. Whether you’re a first-time buyer or navigating the real estate landscape once again, the keys to successful homeownership lie in informed decision-making and a well-rounded financial strategy. Here’s to unlocking the door to your dream home with knowledge as your guide. Happy homebuying! DECEMBRER 2023
AS COVID-19 MAKES IT
HARD FOR SOME PEOPLE TO PAY RENT, SOME LANDLORDS ARE SUGGESTING SEX INSTEAD OF RENT.
During the COVID-19 crisis, many people are struggling to pay rent. Unfortunately, some unscrupulous landlords try to force tenants to provide sexual favors in exchange for canceling or reducing rent. Sexual harassment in housing situations is illegal under the Fair Housing Act. If your landlord asks for sex or a maintenance person refuses to fix something in your apartment because you won’t provide sexual favors, that’s illegal. File a complaint with HUD and put a stop to it.
Go to hud.gov/fairhousing/sexualharassment or call 1-800-669-9777 Federal Relay Service 1-800-877-8339 If you fear for your safety, call 911.
FAIR HOUSING: THE LAW IS ON YOUR SIDE. A public service message from the U.S. Department of Housing and Urban Development in cooperation with the National Fair Housing Alliance. DECEMBER 2023 The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability.
DECEMBRER 2023
Empowering Communities through Financial Education: The Journey of Denise Hunt and Walking In Prosperity
I
n a world marked by financial challenges and disparities, there’s a shining beacon of hope in the form of “Walking In Prosperity,” a non-profit organization founded in 2023 with the mission of closing the wealth gap through financial education. This blog post delves into the heartwarming story of Denise Hunt, the driving force behind this movement, as well as the core
values and vision of Walking In Prosperity.
DENISE HUNT: A PASSIONATE ADVOCATE FOR FINANCIAL LITERACY DECEMBER 2023
Denise Hunt, the founder of Walking In Prosperity, is a passionate advocate for financial literacy. With 14 years of experience in the financial industry, a Bachelor of Arts in Sociology from the University of California, Los Angeles, and an MBA specializing in Finance from the University of Redlands, Denise is well-equipped to lead the charge for financial education.
A PURPOSE BORN FROM EXPERIENCE Denise’s journey to becoming a champion of financial literacy began with her upbringing in modest circumstances in Southern California. She witnessed firsthand the impact of the lack of financial education on generational wealth within her family and minority communities. This exposure ignited a deep-seated desire to make a change.
TRANSFORMATIVE KNOWLEDGE AND EXPERIENCE Denise’s academic journey and professional experience in the financial industry played a pivotal role in shaping her commitment to financial education. Her interest in investments, including real estate and the stock market, was awakened during her pursuit of an MBA with a specialization in Finance. Denise knows the transformative power of financial knowledge and responsible money management.
WALKING IN PROSPERITY: BRIDGING THE WEALTH GAP Driven by her extensive experience and a fervent desire to empower her community, Denise Hunt founded Walking In Prosperity. This non-profit organization is on a mission to provide free resources, tools, and guidance to help individuals of all backgrounds navigate the complex world of personal finance. Denise’s life purpose is to be an advocate for financial literacy and to work towards closing the wealth gap in her community.
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CORE VALUES: BUILDING HEALTHY FINANCIAL BEHAVIORS Walking In Prosperity is built on a strong foundation of core values that guide their work: 1.A PATIENT HEART “Wealth gained hastily will dwindle, but whoever gathers little by little will increase it.” (Proverbs 13:11) 2.A WISE PLANNER“A wise man thinks ahead; a fool doesn’t, and even brags about it.” (Proverbs 13:16) 3.A BUDGETER “Suppose one of you wants to build a tower. Won’t you first sit down and estimate the cost to see if you have enough money to complete it?” (Luke 14:28) 4.A SAVER “Precious treasure and oil are in a wise man’s dwelling, but a foolish man devours it.” (Proverbs 21:20)
BELIEVE AND RECEIVE: PROSPERITY & WEALTH Walking In Prosperity’s slogan, “Sowing Wisdom, Reaping Prosperity,” reflects their belief that prosperity and wealth are gifts from God. They encourage individuals to believe in themselves and the possibility of financial prosperity.
CONCLUSION In a world where the wealth gap is a persistent issue, Denise Hunt and Walking In Prosperity provide a beacon of hope through their commitment to financial education and empowerment. With their core values and unwavering dedication, they are working to bring financial literacy to those who need it most, ultimately closing the wealth gap and creating a more prosperous future for their community.
LA INUNDACIÓN DIO VUELTA NUESTRAS VIDAS. CUANDO INTENTAMOS ALQUILAR UNA NUEVA VIVIENDA, SEGUÍAMOS RECIBIENDO RECHAZO. Cuando llegó la inundación, tuvimos que huir de nuestro hogar. Afortunadamente, encontramos refugio temporal. Pero cuando comenzamos a buscar un lugar para vivir, nos topamos con discriminación en la vivienda, lo que no solo es injusto, es ilegal. Si sientes que tu propietario o agente inmobiliario te ha negado la venta, el alquiler o la financiación de una vivienda por motivos de raza, color, religión, sexo, nacionalidad, discapacidad o porque tienes hijos, repórtalo a HUD o a tu centro local de igualdad de vivienda.
Visita hud.gov/fairhousing o llama al 1-800-669-9777 Servicio de Retransmisión Federal 1-800-877-8339 IGUALDAD DE VIVIENDA: LA LEY ESTÁ DE TU LADO. Un mensaje de servicio público del Departamento de Vivienda y Desarrollo Urbano de los Estados Unidos en cooperación con la Alianza Nacional de Igualdad de Vivienda. La Ley Federal de Igualdad de Vivienda prohíbe la discriminación por motivos de raza, color, religión, nacionalidad, sexo, situación familiar o discapacidad. DECEMBER 2023
PHOTOS FROM 123RF
REALESTATE NEWS
Builder Confidence Wanes Amidst Mortgage Rate Surge
I
n the ever-evolving landscape of the housing market, the confidence of builders has taken another
DECEMBRER 2023
hit as mortgage rates flirted with 8% earlier this month. The latest data from the National Association of Home Builders
(NAHB)/Wells Fargo Housing Market Index (HMI) reveals a continuous decline, with builder confidence plummeting six
points to 34 in November. This marks the fourth consecutive monthly drop, bringing sentiment levels down by 22 points since July and reaching their lowest point since December 2022.
increase from 32% in the previous two months.
The surge in interest rates since August’s end has cast a shadow over builder perspectives on market conditions. The steep increase in rates has priced out a substantial number of potential buyers, creating a ripple effect across the market. Higher short-term interest rates have added to the challenges faced by home builders and land developers, exacerbating the scarcity of resale inventory.
reduction remains at 6%, unchanged from the
This marks the highest share of builders reducing prices during this cycle, tying the previous high set in November 2022. The average price prior month. In tandem, 60% of builders offered various sales incentives in November, a slight decrease from 62% in October. The NAHB/Wells Fargo HMI, drawn from a monthly survey spanning over 35 years, gauges builder perceptions of current single-family home
The Federal Reserve’s battle against inflation is ongoing, but the NAHB suggests that state and local policymakers could play a role in alleviating some of the burdens on the cost of land development and home building. By reducing regulatory constraints, policymakers could facilitate a more accessible housing supply for the market, potentially mitigating the challenges currently faced by builders. While November saw another dip in builder sentiment, recent macroeconomic data indicates a potential upswing in home construction conditions in the coming months. The 10-year Treasury rate’s return to the 4.5% range for the first time since September is anticipated to bring mortgage rates closer to or below 7.5%. This adjustment, combined with the shortage of existing home inventory, is expected to stimulate housing demand, potentially paving the way for an optimistic shift in builder views in December.
sales and sales expectations for the next six months. While challenges persist, any score above 50 indicates that more builders view conditions as good than poor. In November, all three major HMI indices experienced declines, reflecting the overall downturn in builder confidence. As the market continues to navigate challenges, the HMI index for current sales conditions fell six points to 40, sales expectations for the next six months dropped five points to 39, and the gauge measuring traffic of prospective buyers dipped five points to 21. A closer look at regional HMI scores, using three-month moving averages, reveals nuanced
The NAHB forecasts a roughly 5% increase in single-family starts in 2024 as financial conditions improve with better inflation data on the horizon.
trends. The Northeast fell one point to 49, the
Despite this optimism, the reality of mortgage rates exceeding 7% since mid-August, according to Freddie Mac data, persists. Many builders are forced to reduce home prices to stimulate sales, with 36% reporting price cuts in November—an
challenges, builders are adapting to a complex
Midwest dropped three points to 36, the South fell seven points to 42, and the West posted a six-point decline to 35. In the face of these market environment with cautious optimism for the road ahead. DECEMBER 2023
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Resources That Fit Your Needs
Keeping Our Home Is Our #1 Priority.
Dixon and Eunice Sanchez, Brentwood, NY
Last year we were facing foreclosure and we weren’t sure what to do, but we knew one thing – We wanted to keep our home, NOT LOSE IT. Then we found out about HUD-approved counselors. The expert advice we received helped us save our home. Contact a HUD-approved housing counselor for FREE advice. Get started today. Visit:
www.hud.gov/fairhousing or call 1-888-995-HOPE A public service message from the U.S. Department of Housing and Urban Development in partnership with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, family status or disability. For more information, visit www.hud.gov/fairhousing.
DECEMBER 2023
ECONOMIC NEWS
Evolving Dynamics in the US Labor Market: Jobless Claims Reach Three-Month High
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n a reflection of shifting dynamics, the number of Americans filing new claims for unemployment benefits surged to a threemonth high last week. This development suggests a gradual cooling of the labor market,
DECEMBRER 2023
adding a nuanced layer to the Federal Reserve’s ongoing efforts to combat inflation. The latest weekly jobless claims report from the Labor Department, a pivotal indicator of the
economy’s health, revealed an expansion of unemployment rolls to levels not witnessed in two years. The labor market’s deceleration aligns with higher interest rates, dampening demand and signaling a broader slowdown in economic activity. This data, coupled with earlier indications of subsiding inflation and a moderation in consumer spending, fuels expectations that the Federal Reserve’s tightening cycle may be reaching its conclusion. However, interpreting the rise in both initial and continuing claims requires a nuanced perspective. Economists caution against viewing it as a significant shift in labor market conditions. Challenges in adjusting the data for seasonal fluctuations, particularly after the unprecedented surge in unemployment benefit applications during the early stages of the COVID-19 pandemic, may be contributing to these fluctuations. Conrad DeQuadros, Senior Economic Advisor at Brean Capital in New York, noted, “Further modest progress has been made towards lowering inflation and rebalancing the labor market. We have reservations about the seasonal factors, which may have been distorted by claims during the Covid period.” The report highlighted that initial claims for state unemployment benefits rose to a seasonally adjusted 231,000, the highest since August. While this uptick may cause some concern, economists had anticipated 220,000 claims for the week, and the figures remain within the range observed throughout the year.
labor market might be cooling without necessarily signaling dire conditions. Daniel Silver, an economist at JPMorgan in New York, emphasized, “The initial claims data can be volatile, particularly around holidays like Veterans Day, so we never want to over-react to just one week of data.” Job growth experienced a slowdown in October, with the unemployment rate reaching an almost two-year high of 3.9%. While conditions remain relatively tight, with 1.5 job openings per unemployed person in September, concerns about the trajectory of the labor market persist. As financial markets anticipate a potential interest rate cut in May, according to CME Group’s FedWatch tool, the Federal Reserve’s series of rate hikes since March 2022 may be coming to a close. The number of people receiving benefits after an initial week of aid, a proxy for hiring, increased to the highest level since November 2021, suggesting a more prolonged period of joblessness for some. While uncertainties persist, and the data undergoes seasonal adjustments, the broader economic landscape is undergoing shifts. The focus remains on how policymakers will navigate these changes and sustain a balanced and resilient labor market amid evolving conditions.
Despite the challenges posed by seasonal adjustments, the data indicates that the
DECEMBER 2023
POWER TO YOU
Top 10 Qualities of a Good Real Estate Agent
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n the dynamic world of real estate, having a skilled and reliable agent by your side can make all the difference. Whether you’re buying or selling a property, the qualities of a good real estate agent can significantly impact your experience and outcomes. Let’s explore the top 10 qualities that set exceptional real estate agents apart.
1. EXPERTISE AND LOCAL KNOWLEDGE: A good real estate agent possesses in-depth knowledge of the local market. They are familiar DECEMBRER 2023
with neighborhood trends, property values, and the factors that can influence a real estate transaction in a specific area. This expertise allows them to provide valuable insights and guidance to their clients.
2. STRONG COMMUNICATION SKILLS: Effective communication is at the heart of successful real estate transactions. A good agent keeps clients informed, listens attentively to their needs, and communicates clearly and promptly. Whether it’s negotiating deals or explaining
complex terms, strong communication builds trust and ensures a smoother process.
3. NEGOTIATION SKILLS: Negotiation is a critical aspect of real estate. A skilled agent knows how to navigate negotiations to secure the best possible deal for their clients. This includes advocating for the buyer’s or seller’s interests, finding common ground, and creating win-win situations.
4. INTEGRITY AND PROFESSIONALISM: Integrity is non-negotiable in the real estate industry. A good agent operates with honesty, transparency, and a commitment to ethical practices. Professionalism extends to how they conduct themselves, manage deadlines, and prioritize their clients’ best interests.
5. ADAPTABILITY AND PROBLEMSOLVING: Real estate transactions often come with unexpected challenges. A good agent remains adaptable and excels at problem-solving. They can navigate obstacles, think on their feet, and provide creative solutions to ensure a seamless process for their clients.
6. TECH-SAVVY: In today’s digital age, a good real estate agent embraces technology. They leverage online platforms, marketing tools, and social media to reach a broader audience, showcase properties effectively, and stay ahead in a competitive market.
specifications. A good agent pays meticulous attention to these details to prevent errors, ensure accuracy, and safeguard their clients’ interests. 8. NETWORK AND CONNECTIONS: Establishing a strong network is a hallmark of a successful real estate agent. Whether it’s connections with other agents, mortgage brokers, or home inspectors, a well-connected agent can provide valuable referrals and resources to streamline the transaction.
9. CLIENT-CENTRIC FOCUS: Putting the client first is a foundational quality. A good agent prioritizes their clients’ needs, actively listens to their preferences, and tailors their approach accordingly. This client-centric focus fosters trust and long-term relationships.
10. MARKET AWARENESS AND PROACTIVE APPROACH: The real estate market is ever-evolving, and a good agent stays informed about current trends and changes. They take a proactive approach, anticipating market shifts and guiding clients on the best strategies to achieve their goals. In conclusion, finding a good real estate agent involves more than just industry knowledge. It’s about finding someone who embodies these key qualities, creating a positive and successful real estate experience for you. Whether you’re buying or selling, partnering with a real estate professional who possesses these qualities can make the journey not only smoother but also more rewarding.
7. ATTENTION TO DETAIL: The real estate process involves a multitude of details, from contracts and paperwork to property
DECEMBER 2023
GSFA Celebrates 30 Years Paving a Path to Homeownership in California
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olden State Finance Authority (GSFA) celebrates 30 years paving a path to homeownership for lowand-moderate income California households, having helped over 85,000 individuals and families to purchase a home and provided more than $660 million in down payment and closing cost assistance. Join us as we showcase our beginning, our mission, and the many achievements of the past three decades.
GOLDEN STATE FINANCE AUTHORITY’S BEGINNING GSFA was organized as a Joint Powers Authority (JPA) in 1993 by the Rural County Representatives of California, under the original name California Rural Home Mortgage Finance DECEMBRER 2023
Authority and represented 18 counties in California. As the JPA expanded its membership across the state, the name was changed to Golden State Finance Authority in February 2015. Today membership includes 56 counties and hundreds of cities across California with financial assistance programs throughout the state. Our vision to address housing affordability and the commitment of an innovative and missiondriven team over the span of three decades, hails a proven champion for affordable and responsible homeownership and economic development in California.
PRIMARY MISSION: EXPANDING HOMEOWNERSHIP OPPORTUNITIES The primary mission of GSFA was, and still is, to expand homeownership opportunities to Californians. To meet that mission, GSFA develops and administers programs to provide a source of financing for individuals and families to purchase a home or make energy efficiency improvements to their existing homes. GSFA has advanced homeownership opportunities to more than 85,000 individuals and families in California by delivering financial assistance to those needing funds for the initial cash investment necessary in homebuying. Over the past 30 years, GSFA has provided over $660 million in down payment and closing cost assistance to California homebuyers and participated in over $15.6 billion in loan financing of first and second mortgages. 85,000 Individuals and Families Helped $660 Million in Down Payment and Closing Cost Assistance Provided
WHY HOMEOWNERSHIP MATTERS Research compellingly supports that homeownership leads to positive social and economic outcomes for families, communities, and the country. The National Association of REALTORS® Research Division reviewed various studies on homeownership and concluded in their December 2016 paper “Social Benefits of Homeownership and Stable Housing,” that “Homeownership boosts the educational performance of children, induces higher participation in civic and volunteering activity, improves health care outcomes, lowers crime rates and lessens welfare dependency.” Homeownership Benefits:
z Brings Stability to Neighborhoods z Has a Positive Impact on Educational Achievement
z Promotes Civic Engagement z Yields Better Physical and Psychological Health z Reduces Crime
MAKING AN IMPACT – CHANGING LIVES “One of my favorite roles is when I receive letters or get to interview new homeowners who want to share their appreciation for the down payment assistance from GSFA,” said Carolyn Sunseri, GSFA Director of Marketing and Stakeholder Relations. “For many people, they don’t believe that down payment assistance is a reality. Or they think that because of some challenge they have faced in their life or their finances, they don’t think homeownership is a possibility. It brings me such joy to hear how proud they are to now own their own home.” 1. A COUPLE RETURNING TO THE HOUSING MARKET AFTER FINANCIAL HARDSHIP Greg and Christine Jefferson faced financial hardship during the great recession in 2009, ultimately losing their first home and filing for bankruptcy. A few years later, they were ready and wanting to own a home again, but with a fixed income as retirees, the prospect of saving up for the down payment seemed daunting. “It was horrible”,” said Christine. “We never even thought, we just figured we’re older now, we will just rent, we gotta live somewhere we will just rent a house. We had just resigned that homeownership was just out of our reach.” After seven years of renting, they learned that it only takes three years after a bankruptcy for someone to be able to apply for a mortgage again. Excited, they contacted a lender to get started, but ran into a problem coming up with the money for a down payment.
“At the time we had a “pre’ approved” loan from our lender. We had looked at several DECEMBER 2023
homes and finally settled on and submitted offers on them. It was at that point that although we had a “Pre Approval” amount from the lender it did not include the “Down Payment’ which turned out to be substantial as both of us are retired and living on a fixed income,” said Greg Jefferson. “Next entered our “Angels” in the form of The “Golden State Finance Authority”, said Greg. In 2017, GSFA furnished the Jefferson’s with a gift of 3.5% of their loan amount to cover the required down payment on their new home purchase, making homeownership possible again.
“There is a story in the Bible where Jesus healed 10 sick people. Only one came back to say thanks. I know that GSFA is not Jesus but you were Jesus to us on that day!!” said Greg.
2. A MOTHER DETERMINED TO SEE HER SPECIAL NEEDS SON THRIVE AT HOME As a single mom, Melanie Christian watched her severely disabled son become more and more depressed, afraid and hopeless living in a group home environment. She began to pray for a solution that would allow her to care for him at home, manage his medical issues, schooling and behavior.
“I was living in a room with roommates after placing my son with disabilities into a group home. It was the hardest thing I have ever done. I was grieved and sad and overwhelmed by the separation, but I was also dealing with so much stress that I couldn’t take care of him alone anymore,” said Melanie. “I had a great job as an interpreter for the deaf. However, living in the bay area was difficult to afford even with a good salary. I needed to be in a place that I could afford and that would allow me to feel financial relief on a minimal income so that I could stay home more and take care of my son. I had been looking in several areas as I worked on my credit and took care of my finances.” She heard about down payment assistance from GSFA from her loan officer, who was familiar with her situation and “her heart,” she said. In 2017, she bought a home for her family.
“She had so much compassion for my story and for Lukas. She worked so hard to help us in every possible way to get the loan and all the help available. She assured me I would be able to handle the closing costs with the help of your assistance,” said Melanie. “I am more than grateful. I prayed specifically for this. I did not want to seek help from my family in obtaining this loan for my new home. I knew God would provide. He did that through this assistance. Thank you!” DECEMBRER 2023
assistance from GSFA.
“I would have never believed that I could ever buy a condo. I love having this 3-bedroom, 3 bath home with 1,821 sq ft on a 2,911 sq ft lot. I thank Golden State Finance Authority Platinum Down Payment Assistance Program for their help to offset my down payment. I felt that I had attained the American Dream, which I had heard about, but never believe that I could accomplish, being a black man born and raised in the projects in Detroit,” said Marvin Randolph.
3. A DREAM COME TRUE FOR AN AFRICAN AMERICAN MAN FROM THE DETROIT PROJECTS Real estate is a larger factor in net worth. According to the Federal Reserve 2019 Survey of Consumer Finances, someone who owns a home has a median net worth of $255,000 versus a median net worth of $6,300 for someone who does not. But the U.S. Census Bureau also reported that the homeownership rates for Black, Hispanic and other non-white ethnicities falls far below those of white households. For the past three years, GSFA has engaged in a concentrated marketing and outreach campaign to bring education to underserved communities about down payment resources for homebuyers, with the goal to improve the homeownership rates of non-white households and help them build financial security through homeownership. The impact on individuals and families who once thought homeownership was out of reach is palpable, as noted by Marvin Randolph who purchased a home in 2021 with financial
FINANCING FOR ENERGY EFFICIENCY AND ENERGY STORAGE In 2010, GSFA expanded its operations into the provision of energy efficiency financing programs for residential and commercial properties. These programs were designed to help property owners improve energy costs, reduce the environmental DECEMBER 2023
impact of energy use and demand, and boost California’s economy through job creation. GSFA has participated in financing over 36,000 residential and commercial energy efficiency projects, totaling over $1 billion. Ten years later, GSFA expanded its services even further, becoming a conduit for developers and contractors to access rebates for the installation of energy storage technology at both residential and commercial facilities. By providing bridge financing between grant approval and reimbursement, the financial hurdles for qualifying residents would be lightened, resulting in getting services to those who need it the most as efficiently as possible.
“Providing the best products and services possible while developing strong relationships with business partners that make our endeavors viable is the heart of our organization. At times this means juggling challenging financial markets and shifting priorities as the real estate market fluctuates. I am proud to be a part of an organization that continues to innovate and evolve to improve the lives of so many.” - Craig Ferguson, GSFA Deputy Director
ECONOMIC DEVELOPMENT PROJECTS WITH A FOCUS ON RURAL CALIFORNIA The agency’s impact on California’s economy over the past 30 years, and especially that of rural California, extends well beyond establishing affordable homeownership solutions. GSFA is now involved in a variety of economic development projects indirectly related to housing that provide transformative services to local communities and meet the needs of California’s growing population.
DECEMBRER 2023
z Partnership with USDA to Provide Down Payment Assistance Gifts z Broadband Grant Funding for Rural California Counties z Volunteer Efforts with Charitable Organization z Emergency Disaster Assistance to Forest Fire Impacted Communitie z Loan Fund for County Infrastructure Projects In the last few years, GSFA provided over $3.5 million in emergency disaster assistance to address the impact of forest fires on California residents. These funds were provided to assist residents with temporary housing as well as rebuilding or obtaining future long-term residences. The agency has also invested millions in broadband deployment, provided millions to advance wildfire resilience efforts, and established a one-of-a-kind revolving loan fund to assist counties with implementing infrastructure projects. “All of these investments are designed to help rural California thrive. These milestone achievements would not be possible without the direction of our Board and the dedication of our amazing staff. I congratulate them all for their expertise and long-term commitment that has been integral to GSFA’s success.” - Patrick Blacklock, GSFA Executive Director FOR MORE INFORMATION ABOUT GSFA call toll-free (855) 740-8422 or visit www.gsfahome.org.
Join Our Mission
GSFA Celebrates 30 Years Paving a Path to Homeownership 85,000
Individuals and Families Helped to Purchase a Home
$660 Million
In Down Payment and Closing Cost Assistance Provided
Be Your Client's Link to Down Payment Assistance and Close More Sales • Learn more about GSFA Programs • Download marketing materials • Link up with GSFA Participating Lenders
Golden State Finance Authority (GSFA) is a duly constituted public entity and agency. Copyright © 2023
$3.5 Million
In Emergency Disaster Assistance Given Back to California Residents
gsfahome.org (855) 740-8422
DECEMBER 2023 20230623TPIN
GREEN | SUSTAINABILITY NEWS
Illuminating Progress: The Soaring Growth of Solar Energy in America
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n the past decade, America has experienced an astonishing surge in solar energy adoption, witnessing a remarkable 12-fold increase in solar power generation. The sun, once an underutilized resource, is now a major player in providing emission-free energy to the nation. Technological advancements, plummeting costs, and supportive policies have converged to propel the solar energy sector to new heights, illuminating a cleaner and more sustainable energy future for the United States.
DECEMBRER 2023
THE SOLAR SURGE The United States is basking in the glow of a solar revolution, harnessing abundant sunshine to produce a staggering amount of clean energy. In 2022 alone, the nation generated enough solar energy to power an impressive 19 million homes, marking an extraordinary leap from the levels recorded in 2013. This surge in solar energy production is a testament to the rapid evolution of technology and the economic viability of solar power.
THE TOP 10 SOLAR STATES Leading the charge in solar energy generation, the top 10 states in 2022 were at the forefront of this renewable energy revolution. California, Texas, Florida, North Carolina, Arizona, Nevada, Georgia, New York, Virginia, and Massachusetts shone brightly as beacons of solar progress, collectively contributing to the nation’s solar power boom.
DRIVING FORCES BEHIND SOLAR GROWTH: Three formidable factors have fueled the dramatic progress in solar energy utilization over the past decade: ●TECHNOLOGICAL INNOVATION: Solar energy technology has undergone a transformative evolution, exemplified by a 37% increase in the efficiency of new residential solar panels between 2010 and 2019. ●FALLING COSTS: The cost of utility-scale solar plummeted by a staggering 90% from 2009 to 2020, making solar energy not only more efficient but also significantly more affordable. ●SUPPORTIVE POLICIES: Initiatives like California’s Million Solar Roofs and net metering policies, which ensure fair
compensation for solar energy contributions to the grid, have played a pivotal role in fostering an environment conducive to solar growth.
WHY IS THIS IMPORTANT? The adoption of solar energy is significantly impacting the real estate sector, influencing property values, market demand, and sustainable practices. Here are key ways in which solar energy is affecting real estate: INCREASED PROPERTY VALUES: Homes equipped with solar panels often experience an increase in property value. Solar installations are seen as valuable additions that enhance a property’s appeal to environmentally conscious buyers. Studies have shown that solarequipped homes tend to sell at higher prices and faster rates than their non-solar counterparts. ENHANCED MARKETABILITY: Solar energy adds a desirable feature to homes, making them stand out in a competitive real estate market. Properties with solar installations are often marketed as energy-efficient and environmentally friendly, attracting buyers seeking sustainable and cost-effective living solutions. ENERGY COST SAVINGS FOR HOMEOWNERS: Solar panels allow homeowners to generate their own electricity, reducing reliance on traditional utility sources. The potential for lower energy bills makes solar-equipped homes more attractive to buyers and enhances the overall affordability of homeownership. The prospect of long-term cost savings can be a compelling factor in the decision-making process. RISING DEMAND FOR SOLAR-READY HOMES: As awareness of environmental issues grows, there is an increasing demand for homes that are equipped to harness solar energy. Homebuyers are actively seeking properties with existing solar installations or those that are designed DECEMBER 2023
to accommodate future solar panel additions. Builders and developers are responding to this demand by incorporating solar-ready features into new construction projects. SOLAR FINANCING OPTIONS: The availability of solar financing options, such as solar leases and power purchase agreements (PPAs), has made solar installations more accessible to homeowners. These financing models allow individuals to install solar panels with little to no upfront costs, making the adoption of solar energy a feasible consideration for a broader range of property owners. GREEN CERTIFICATIONS AND INCENTIVES: Green certifications, such as LEED (Leadership in Energy and Environmental Design), are becoming increasingly important in real estate. Homes with energy-efficient features, including solar installations, may qualify for green certifications, adding to their overall market value. Additionally, various local and federal incentives, tax credits, and rebates further encourage homeowners to invest in solar energy systems. IMPACT ON COMMERCIAL REAL ESTATE: The influence of solar energy extends beyond residential properties to commercial real estate. Businesses are recognizing the benefits of solar installations, not only in terms of cost savings but also as a demonstration of corporate social responsibility. Commercial properties with solar capabilities may attract environmentally conscious tenants and customers. RESILIENCE AND ENERGY INDEPENDENCE: The resilience offered by solar energy during power outages is increasingly valued in real estate. Homes with solar panels, coupled with energy storage solutions like batteries, can continue to function independently during grid disruptions. This aspect of energy independence contributes to the overall appeal of solarequipped properties. DECEMBRER 2023
The adoption of solar energy is reshaping the real estate landscape by influencing property values, market demand, and the overall sustainability of buildings. As solar technology continues to advance and awareness of environmental considerations grows, solar energy is likely to play an increasingly prominent role in shaping the future of real estate.
SUSTAINING THE SOLAR MOMENTUM While the strides made in solar energy are commendable, the United States has only scratched the surface of its vast solar potential. To accelerate this momentum, it is imperative to maximize solar installations across the country. Rooftops of warehouses, big-box stores, and expansive parking lots present prime locations for solar panels. Through initiatives like the Solar on Warehouses campaign, spearheaded by Environment America and its national network, large warehouse owners, including industry giants like FedEx, are urged to embrace ambitious goals for rooftop solar installations.
CONCLUSION As the sun continues to shine down, the trajectory of solar energy in the United States is nothing short of dazzling. The journey from harnessing 12 times more solar energy a decade ago to powering millions of homes today reflects a nation committed to a cleaner, greener, and more sustainable future. To keep the solar glow ablaze, continued technological innovation, falling costs, and steadfast policy support are essential. Together, we can tap into the full potential of solar energy, illuminating a path towards a brighter and more sustainable tomorrow.
Live life in full color. Encourage and accept diversity in your neighborhood and community. It will promote a greater sense of engagement, better prepare your children for the global community they will inhabit…give us all a richer life. To better understand how neighborhood diversity will benefit you and your family, please log onto www.ARicherLife.org.
Celebrating the 40th Anniversary of the Fair Housing Act
DECEMBER 2023
HOUSING DISCRIMINATION
UNMASKED.
Don’t let housing discrimination get covered up. “ When I went looking for an apartment, I wore a mask. But they could still see I’m Black. I was told that they wouldn’t rent to me because they heard Black people were disproportionately getting COVID-19.” COVID-19 inequity is real, and it shouldn’t be made worse because of housing discrimination. If you suspect housing discrimination because of your race, color or national origin, file a complaint with HUD or your local fair housing center so we can investigate it.
For more information, go to: hud.gov/fairhousing or call 1-800-669-9777 Federal Relay Service 1-800-877-8339 FAIR HOUSING: THE LAW IS ON YOUR SIDE. A public service message from the U.S. Department of Housing and Urban Development in cooperation with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. DECEMBRER 2023
WILDFIRES DON’T CARE ABOUT YOUR RACE. BUT WHEN WE TRIED TO RENT A NEW PLACE TO LIVE, WE LEARNED THAT SOME LANDLORDS DO. When the fire came, we had to run from our home. Fortunately, we found temporary shelter. But as we started looking for a place to live, we ran into housing discrimination, which isn’t just unfair – it’s illegal. If you feel that a landlord or broker has denied you the sale, rental or financing of a home based on your race, color, religion, sex, national origin, disability or because you have children, report it to HUD or your local fair housing center.
Go to hud.gov/fairhousing or call 1-800-669-9777 Federal Relay Service 1-800-877-8339
FAIR HOUSING: THE LAW IS ON YOUR SIDE. A public service message from the U.S. Department of Housing and Urban Development in cooperation with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. DECEMBER 2023
HEALTH NEWS
Historic California Law Boosts Minimum Wage to $25 for Healthcare Workers
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n a surprising turn of events earlier this year, what once seemed improbable is now a reality: Governor Gavin Newsom has officially signed into law a groundbreaking measure that will elevate the wages of hundreds of thousands of California healthcare workers, marking a decisive step toward a $25 minimum wage. This legislative triumph signifies a gradual wage increase for medical technicians, nursing assistants, custodians, and other vital support staff, with implementation set to commence next
DECEMBRER 2023
year. The momentous decision by Governor Newsom aligns with unions representing lowerpaid Kaiser Permanente employees, who concurrently announced a landmark contract, establishing a $25 minimum wage for the healthcare giant’s workforce in California. Tia Orr, Executive Director of SEIU California, expressed the significance of this development, stating, “Today California is putting a stop to the hemorrhaging of our care workforce by ensuring health care workers can do the work they love and pay their bills – a huge win for workers and
patients seeking care.” This newfound victory for healthcare workers materialized through a rare collaboration between the hospital lobby, healthcare providers, and labor unions. A 10-year moratorium on sponsoring local ballot measures, a concession made by unions, was instrumental in securing the support of health care employers. This agreement holds particular value, given that unions had proposed local pay ballot measures in several Southern California cities last year. With Governor Newsom’s recent approval of this minimum wage increase, healthcare workers join the ranks of those benefiting from enhanced wages, following the signing of a separate law mandating a new pay floor for fast-food workers, who will see a minimum hourly wage of $20 starting next April. Collectively, these industryspecific minimum wage boosts are anticipated to positively impact approximately 900,000 Californians. The legislation, known as Senate Bill 525 and authored by Senator María Elena Durazo of Los Angeles, garnered support from both labor and industry, emphasizing the potential for compromise to solve significant issues. Assembly Speaker Robert Rivas highlighted the collaborative nature of this accomplishment, encouraging a willingness to compromise for the greater good. The anticipated beneficiaries of this new law encompass around 469,000 employees statewide, according to UC Berkeley’s Labor Center. One such individual is Eneryk Santana, a medical assistant in Chula Vista, who now earns $25.50 an hour, up from $22 just a few months ago. Santana’s story mirrors that of many healthcare workers who endure cross-border commutes to mitigate high housing costs in California. The law outlines a phased approach to minimum wage increases through 2033, varying based on
the type of healthcare facility. Community clinics, dialysis clinics, large health systems, hospitals with specific patient demographics, and other healthcare employers each have unique timelines for reaching the $25 minimum wage. Despite the financial implications for the state, with public employees in state-run healthcare facilities and University of California hospitals included, the overarching sentiment is one of progress. This transformative legislation not only addresses the immediate needs of healthcare workers but also sets a precedent for collaborative efforts to bring about positive change in the California workforce.
INCREASED MINIMUM WAGES, INCREASED OPPORTUNITIES Here are some ways in which the increase in the minimum wage could potentially support healthcare workers in their pursuit of homeownership: 1.INCREASED AFFORDABILITY: The rise in minimum wage, especially to $25 per hour, may enhance the affordability of housing for healthcare workers. Higher wages provide workers with more financial capacity to meet mortgage payments, save for a down payment, and cover homeownership-related costs. 2.SAVINGS FOR DOWN PAYMENTS: One of the significant barriers to homeownership is the ability to accumulate a sufficient down payment. With an increased minimum wage, healthcare workers may find it easier to set aside funds for a down payment, accelerating their journey towards homeownership. 3.IMPROVED DEBT-TO-INCOME RATIOS: Higher wages can contribute to improved debtto-income ratios for healthcare workers, making them more attractive to lenders. This, in turn, may increase their eligibility for mortgage loans and improve the terms of their mortgage agreements. DECEMBER 2023
4.FINANCIAL STABILITY AND CREDIT SCORES: The stability that comes with higher wages can positively impact the financial well-being of healthcare workers. It may result in improved credit scores, a crucial factor in securing favorable mortgage terms and interest rates. 5.REDUCED HOUSING COMMUTE BURDEN: Some healthcare workers may opt for crossborder commutes or lengthy journeys to avoid high housing costs. With increased wages, they may have the financial means to explore housing options closer to their workplaces, reducing commuting stress and expenses. 6.ECONOMIC EMPOWERMENT: Beyond the direct financial aspects, an increase in minimum wage contributes to the economic empowerment of healthcare workers. This empowerment can translate into greater confidence and a more optimistic outlook on their ability to achieve long-term financial goals, including homeownership. The enactment of the new California law, ushering in a $25 minimum wage for healthcare workers, marks a pivotal moment in the quest for fair compensation and economic empowerment. As Governor Gavin Newsom’s signature solidifies this historic legislation, it sends a powerful message of acknowledgment and support to the dedicated individuals who form the backbone of our healthcare system. For healthcare workers, the wage increase signifies more than just a boost in income; it represents a step closer to realizing the American dream of homeownership. The ripple effects of this legislative triumph are expected to resonate through the lives of these professionals, enhancing their financial stability and expanding opportunities for personal and professional growth. The path to homeownership, laden with DECEMBRER 2023
challenges for many, becomes more navigable with this significant wage increase. As healthcare workers experience an improvement in their financial standing, the dream of having a place to call their own moves from aspiration to achievable reality. The combination of increased affordability, improved savings potential, and enhanced economic stability positions these essential workers on a trajectory towards fulfilling their homeownership dreams. In the broader context, the collaborative efforts between unions, healthcare providers, and legislative bodies underscore the potential for positive change when diverse stakeholders unite. This legislation serves as a beacon of progress, demonstrating that compromise and collective action can lead to transformative outcomes. As healthcare workers across California witness the positive impact of the minimum wage increase, the ripple effects extend beyond individual financial gains. The legislation not only honors the resilience and dedication displayed by healthcare professionals during the challenges of the pandemic but also paves the way for a more equitable and sustainable future. In closing, the $25 minimum wage for healthcare workers is more than a number; it symbolizes a tangible commitment to the well-being of those who dedicate their lives to the well-being of others. It propels them forward on their journey toward homeownership, turning a longstanding dream into an achievable reality.
“ WE DIDN’T EXPECT
HOUSING DISCRIMINATION
WOULD KEEP US FROM OUR NEW HOME.” “ As our family continued to grow, we started looking for a new home. The landlord told us he wasn’t comfortable renting to people with children because they might go to school or daycare and bring home COVID-19.” COVID-19 inequity is real, and it shouldn’t be made worse because of housing discrimination. If you suspect housing discrimination because of your familial status, file a complaint with HUD or your local fair housing center so we can investigate it.
Go to hud.gov/fairhousing or call 1-800-669-9777 Federal Relay Service 1-800-877-8339 FAIR HOUSING: THE LAW IS ON YOUR SIDE. A public service message from the U.S. Department of Housing and Urban Development in cooperation with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. DECEMBER 2023
Where Starting Over happens every day!
We’re Starting Over, Inc. - a 501(c)(3) organization dedicated to supporting and uplifting people experiencing the effects of mass incarceration, systemic racism, housing insecurity, substance addiction, and mental health issues. We believe that people impacted by these issues are the ones closest to the solutions, which is why we are a Black-led and criminal justice-impacted organization engaged in this work. From experience, we’ve learned that housing is critical, but alone, it is not enough to support those exiting prisons or the streets. We not only provide transitional housing, but also include holistic services such as peer support, case management, employment, wellness, and reentry services. We also work to address the root causes of our houseguests’ difficult situations, leading grassroots organizing and policy initiatives in the Inland Empire region and statewide. Established in 2009, we’ve served over 1,400 men, women, and families in Riverside and Los Angeles Counties through the reentry and transition process. We believe that the past does not define our future. We’re invested in creating safe and equitable opportunities for all members of our community, and especially those with past convictions. Housing opportunities are crucial for our community members and directly affect their ability to thrive. Starting Over, Inc. is committed to reducing and eliminating the many barriers to life after incarceration. We have a deep commitment to identifying and implementing evidence-based approaches to strong communities and families. We seek to creating program/project solutions where the need exists in our community. We do lots of things at Starting Over, Inc. - but our primary goal is to address the immediate effects and root causes of incarceration, be it through housing, employment, legislation, or community organizing. To get involved with our initiatives, access our services, or support our work through donations, you can reach us at (951) 898-0862 or office@startingoverinc.org.
www.startingoverinc.org
DECEMBRER 2023
6355 Riverside Ave Suite 100, Riverside, CA 92506
Our programming and projects include, but are not limited to:
Transitional Housing
We currently operate eight homes in LA and Riverside Counties open to men, women, and children, with options for sober living or harm-reduction housing. All of our services are available to our houseguests, many of whom have been unable to obtain housing after being released due to their conviction histories. Case Management
Our Case Management specialists provide support to our guests with obtaining necessary documents/identification and accessing insurance, education, healthcare, clothing, food, & more. Peer Support
Our houseguests are not alone - our support specialists, having experienced incarceration, addiction, and homelessness themselves - understand our guests' needs and the barriers they face. We’re here to meet our guests wherever they are in their journeys and to support them moving forward through empowerment, support with recovery, referrals, and mentorship. Family Reunification, Equity, & Empowerment (FREE) Project
Mass incarceration affects not just individuals, but families - many of our community members and guests experience family separation at the hands of the child welfare system. The FREE Project is system-impacted led and organizes parents and family members in a non-judgemental space, advising on best practices and dependency court procedures. We recently sponsored and passed a statewide bill that eliminates major barriers to child placement and allows family members with criminal convictions unrelated to caring for children to be considered as placement options allowing for suitable family members with criminal convictions to step up in times of crisis. Employment
Through our Path to SEED program, we connect guests and community members with employment opportunities and provide training & support regarding obtaining and retaining employment, often a major hurdle for formerly incarcerated individuals. Marshall Legal Clinic
Our free clinics provide relief for expungements, wills/trusts, immigration, and more with the support of local legal organizations. Policy Advocacy
In the past year, we’ve co-sponsored and/or supported nearly a dozen statewide bills to reduce the scale of mass incarceration and its collateral consequences. We’ve also worked locally to influence Riverside County to reduce criminal history look-back periods from 7 years to 3 years in 2017 and to enable youth coming out of probation to be able to stay with their family members in subsidized housing. Grassroots Organizing & Civic Engagement
Our Participatory Defense organizing model (based on Silicon Valley De-Bug) empowers family and community members in the courtroom to positively impact their loved one’s outcome and to bring them home. As fiscal sponsor and start-up organization of Riverside All of Us or None (a chapter of a national initiative of formerly incarcerated people, family members, and allies advocating for the rights of the currently and formerly incarcerated people) we ensure that system impacted leadership remains at the center of the fight to keep our community together and address the social problems that incarceration purports to solve. Our community outreach team also disseminates voter registration and public health information regarding COVID-19, and we organize food and clothing relief for community members in need.
(951) 898-0862 office@startingoverinc.org
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FLORIDA DECEMBRER 2023
VIP AGENT
ADRIANA MONTES JD MBA
Broker | Owner
License: DBPR #BK 3096165 M: [321] 689-6258 O: [407] 654-9992
www.floridadreamsrealty.com andriana@floridadreamsrealty.com
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DECEMBER 2023
How Much Should I Spend on a House in Florida?
PHOTOS FROM 123RF
By Andriana Montes
N
avigating the Florida real estate market is an exciting yet challenging journey. The Sunshine State offers a diverse range of properties, from beachfront condos to sprawling inland estates, making it a dream destination for homebuyers. However, before embarking on your Florida homeownership adventure, one crucial question looms: how much should you spend on a house in this vibrant state? In this blog, we will explore the key factors to consider when determining your budget for a home in Florida. From the influence of location and property type to understanding your financial situation, we’ll help you make an informed decision that aligns with your goals, ensuring that your Florida home becomes a sunny paradise
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tailored to your lifestyle and budget. So, let’s dive into the details and uncover the secrets to finding the perfect home in the Sunshine State.
THE FLORIDA REAL ESTATE LANDSCAPE The Florida real estate market is as diverse as the state itself, offering an array of options to potential homebuyers. Whether you’re drawn to the white sandy beaches of Miami, the cultural charm of St. Augustine, the bustling city life of Orlando, or the serene communities in Naples, Florida caters to a wide range of tastes and preferences. To determine how much you should spend on a house in Florida, it’s essential to grasp the broader real estate landscape of the
state.
property costs compared to suburban and rural areas. However, suburban living may require a longer commute, so your choice will depend on Florida’s housing market experiences variations from region to region, and these differences play a your lifestyle priorities.
significant role in house prices. Coastal areas tend 3.TOURIST HOTSPOTS: to have higher price tags, particularly in soughtafter beachfront communities. In contrast, inland Some areas in Florida are popular tourist areas may offer more affordable options, making destinations, making them attractive for vacation it crucial to identify your preferred location early in rental properties. This can lead to increased property prices. Conversely, quieter towns or your home buying journey. neighborhoods may offer more affordable options. Additionally, Florida’s real estate market can be influenced by seasonal trends, with winter attracting snowbirds and tourists seeking vacation homes, potentially impacting prices. Understanding these market dynamics and the unique features of each region will help you determine how much you should allocate for your Florida dream home. Whether you’re seeking a vibrant urban dwelling or a tranquil suburban oasis, your chosen location is the first step in shaping your budget.
LOCATION, LOCATION, LOCATION
4.INLAND VS. COASTAL: While Florida’s coastline is a major draw, the state’s inland areas have their charm. Inland homes, especially those further from the coast, tend to be more budget-friendly. If you’re willing to compromise on immediate beach access, you may find better value inland. 5.LOCAL AMENITIES: The presence of amenities such as schools, parks, shopping centers, and healthcare facilities can affect property prices. Homes in welldeveloped areas with convenient amenities typically come with a higher price tag.
The age-old real estate mantra, “location, location, 6.FUTURE DEVELOPMENT: location,” couldn’t be truer in the context of the Florida housing market. The state’s geographical Consider the potential for future development diversity and varied lifestyle offerings translate into in your chosen location. Areas experiencing significantly different home prices from one place growth and infrastructure improvements may see to another. Here are some location-related factors rising property values, providing an investment to consider when deciding how much to spend on opportunity. Understanding how different locations a house in Florida: influence property prices in Florida is crucial in determining your budget. Think about your 1.COASTAL PREMIUM: Florida’s extensive coastline is a significant draw lifestyle, preferences, and priorities, and choose a location that aligns with your goals and financial for many homebuyers, but it often comes with capabilities. a premium price tag. Beachfront properties and homes in coastal communities tend to be more expensive due to their proximity to the ocean, and prices can surge higher for properties with direct beach access.
BUDGETING FOR YOUR FLORIDA DREAM HOME
2.URBAN VS. SUBURBAN: Florida offers a range of urban, suburban, and rural settings. Living in major cities like Miami, Tampa, or Orlando typically means higher
Budgeting for your Florida dream home requires careful consideration of your finances and longterm goals. Here are some key factors to keep in mind: DECEMBER 2023
1.ESTABLISH YOUR BUDGET: Before diving into the real estate market, set a clear budget. This budget should be based on your current financial situation, including your income, savings, and any other assets you plan to use for the purchase. Consider speaking with a financial advisor to help determine a realistic budget that aligns with your long-term financial goals. 2.CONSIDER DOWN PAYMENT: In the world of homebuying, the down payment is a significant upfront cost. Traditionally, a 20% down payment is recommended to avoid private mortgage insurance (PMI). In Florida, where home prices can vary widely, a larger down payment can make your offer more competitive. However, many lenders offer options with lower down payments, which may be suitable for your situation. 3.FACTOR IN CLOSING COSTS: Beyond the purchase price and down payment, remember to budget for closing costs. These costs typically include fees for the home appraisal, inspection, title search, and legal documentation. In Florida, closing costs can range from 1% to 3% of the home’s purchase price. 4.UNDERSTAND PROPERTY TAXES: Florida is known for its favorable tax climate, with no state income tax. However, property taxes vary by county and municipality. Research the property tax rates in your desired location to estimate your ongoing tax expenses. Florida also offers a homestead exemption for primary residences, which can reduce your tax burden. 5.ACCOUNT FOR HOMEOWNERS INSURANCE: Florida’s exposure to hurricanes and tropical storms means that homeowners insurance can be more expensive compared to other states. It’s crucial to include the cost of insurance in your budget to protect your investment. 6.PLAN FOR HOME MAINTENANCE: DECEMBRER 2023
Florida’s climate can be tough on homes, with humidity, sun, and occasional storms. Budget for ongoing maintenance and repairs, such as roof inspections, air conditioning servicing, and pest control, to keep your home in top condition. 7.HOMEOWNERS ASSOCIATION (HOA) FEES: If you plan to buy a property in a community with an HOA, be sure to account for these monthly or annual fees. HOAs can provide various amenities and services, but they come with associated costs. 8.RESALE VALUE: Consider the potential resale value of your Florida home. While you’re purchasing your dream home, it’s essential to keep an eye on how the property’s value may appreciate over time. A real estate agent with local expertise can help you assess this aspect. 9.EMERGENCY FUND: Florida’s climate can bring unexpected challenges like hurricanes or flooding. Having an emergency fund in place is wise to address any unforeseen property damage or expenses. 10.AFFORDABILITY VS. ASPIRATIONS: While it’s tempting to aim for your dream home, be realistic about what you can comfortably afford. Striking a balance between your aspirations and financial capabilities is crucial to avoid becoming house poor. In summary, budgeting for your Florida dream home involves a comprehensive financial plan that accounts for the purchase price, down payment, closing costs, ongoing expenses, and potential resale value. Careful financial planning ensures that your investment in the Florida real estate market aligns with your long-term financial well-being.
GETTING THE MOST VALUE When determining how much to spend on a house in Florida, it’s essential to focus on getting
the most value for your investment. Florida’s real estate market is diverse, offering a wide range of properties in various price ranges. To maximize value, consider factors such as property condition, location, and potential for appreciation. Start by thoroughly researching the housing market in your desired Florida location. Different areas may have varying property values and growth potential. Take into account the neighborhood’s amenities, schools, safety, and proximity to your workplace or essential services. Additionally, evaluate the property’s condition and potential for renovation or improvements. A home in need of some TLC might offer a lower purchase price, allowing you to invest in upgrades that can significantly increase its value over time. By making informed decisions and carefully considering these aspects, you can ensure that your Florida dream home not only fits your budget but also holds strong potential for long-term value and appreciation.
CONCLUSION In conclusion, determining how much to spend on a house in Florida is a crucial decision that requires careful consideration. The Florida real estate landscape offers diverse options, from coastal paradises to bustling urban centers. To make the right choice, assess your budget, accounting for the down payment, closing costs, and ongoing expenses. Keep location in mind, as it significantly impacts property values and lifestyle. Budget realistically, but don’t forget to set aside an emergency fund for unexpected costs. The key is to find a balance between your budget and your dream home’s value. Whether you’re seeking a serene beachfront retreat or a vibrant city condo, Florida has a home that suits your needs. With thorough research and prudent financial planning, you can make your Florida real estate dreams a reality while ensuring a sound investment for the future.
DECEMBER 2023
ADRIANA MONTES
FLORIDA WITH
ADRIANA MONTES NEW EPISODES ON DEMAND EVERY 2ND & 4TH FRIDAY
DECEMBRER 2023
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EmERICK A. PEACE
OPERATING PATNER REALTOR # 320004 PHONE: (240) 882-0198
emerickpeace@kw.com
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DECEMBER 2023
What Hurts Property Value? 5 Things to Address Now
PHOTOS FROM 123RF
By Emerick Peace
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hen it comes to real estate, property value is a critical factor that can significantly impact your investment. Whether you’re looking to sell your home or simply want to enhance its long-term value, addressing certain issues is crucial. In this blog post, we’ll explore five common factors that can hurt property value and provide practical
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solutions to address them. CURB APPEAL MATTERS: First impressions matter, and the exterior of your property is the first thing potential buyers or renters see. A poorly maintained or unattractive exterior can significantly reduce your property’s value. To address this, invest
time and effort in enhancing your curb appeal. Consider landscaping, a fresh coat of paint, and well-maintained walkways to create an inviting entrance. OUTDATED OR POORLY MAINTAINED INTERIORS: The interior of your home plays a crucial role in determining its value. Outdated fixtures, appliances, and an overall lack of maintenance can turn off prospective buyers. Upgrade key elements such as the kitchen and bathrooms, replace worn-out carpets or flooring, and ensure that all systems (electrical, plumbing, HVAC) are in good working condition. LOCATION, LOCATION, LOCATION: While you can’t change the location of your property, you can highlight its positive aspects and mitigate any potential negatives. If your neighborhood has safety concerns or lacks essential amenities, consider emphasizing nearby attractions, public transportation access, or upcoming development projects. Provide potential buyers with a well-rounded view of the neighborhood’s potential.
CONCLUSION Taking proactive steps to address these common issues can go a long way in maintaining or even increasing your property’s value. Regular maintenance, upgrades, and strategic improvements can make your property more appealing to potential buyers or renters. By investing time and resources wisely, you can ensure that your property remains a valuable asset in the competitive real estate market. Are you looking to buy or sell property in Prince George County and want expert guidance to maximize your investment? Contact Emerick A. Peace, your trusted real estate professional. Contact Emerick A. Peace for Personalized Real Estate Assistance!
Whether you’re a buyer seeking the perfect home or a seller aiming to get the best value for your property, Emerick A. Peace is here to help. With a wealth of experience and a commitment to client satisfaction, Emerick is your go-to resource for all your real estate needs in Prince George County. Call Now for a Consultation PROPERTY STRUCTURAL ISSUES: Don’t let property value concerns linger – take Structural issues, such as a leaky roof, foundation action today! Contact Emerick A. Peace, and let’s problems, or plumbing issues, can drastically navigate the real estate journey together. Your decrease your property’s value. Addressing these dream property or ideal buyer may be just a call issues promptly is essential. Hire a professional away. inspector to identify and fix any structural problems. While it may require an upfront investment, it can prevent a more significant loss in property value in the long run. LACK OF ENERGY EFFICIENCY: In today’s environmentally conscious world, energy efficiency is a key selling point for homes. An inefficient heating and cooling system, poor insulation, or outdated windows can contribute to higher utility bills and reduce property value. Consider making upgrades to improve energy efficiency, such as installing energy-efficient appliances, upgrading insulation, and replacing windows with more energy-efficient options. DECEMBER 2023
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DECEMBER 2023
WHERE YOU LIVE IS YOUR CHOICE DON’T LET ANYONE TELL YOU DIFFERENTLY. We found the home of our dreams, but the real estate agent said she thought we would be more comfortable in a different neighborhood. But I know it’s illegal to steer prospective homeowners to or from certain neighborhoods based on race or national origin. Report racial steering and put an end to it. Like we did.
SCAN HERE FOR MORE INFO
Visit hud.gov/fairhousing or call the HUD Hotline
1-800-669-9777 (English/Español) 1-800-927-9275 (TTY)
Fair Housing Is Your Right. Use It!
A public service message from the U.S. Department of Housing and Urban Development in partnership with the National Fair Housing Alliance. The federal Fair Housing Act DECEMBRER 2023 prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. For more information, visit www.hud.gov/fairhousing.
DIFFERENT NATIONAL ORIGINS.
SAME FAIR HOUSING RIGHTS.
It is illegal for landlords and real estate agents to deny you housing opportunities because of your ethnicity. The Fair Housing Act prohibits housing discrimination based on national origin. If you believe you have experienced a violation of your rights, file a complaint.
Go to hud.gov/fairhousing or call 1-800-669-9777 Federal Relay Service 1-800-877-8339
FAIR HOUSING: THE LAW IS ON YOUR SIDE. A public service message from the U.S. Department of Housing and Urban Development in cooperation with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability.
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DECEMBRER 2023
VIP AGENT
FRANCINE MARsoLEK
BROKER I OWNER I REAL TOR®
Mobile: (612) 868-9344 Phone: (651) 797-4219 METRO REAL ESTATE SERVICES www.nhmres.com
francine@nhmres.com
OTA
DECEMBER 2023
Selling Your Home in Lino Lakes, Minnesota: FSBO vs. Real Estate Agent. By Francine Marsolek
S
elling your home is a significant decision, and if you’re in Lino Lakes, Minnesota, you’re likely weighing the options of going the For Sale By Owner (FSBO) route or enlisting the expertise of a real estate agent. Both approaches have their merits and challenges, and understanding the nuances can make a substantial difference in the success of your home sale. In this article, we’ll explore the pros and cons of FSBO and hiring a
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real estate agent in the specific context of Lino Lakes, helping you make an informed decision tailored to your needs and the local real estate market.
UNDERSTANDING THE LINO LAKES REAL ESTATE MARKET Lino Lakes, Minnesota, boasts a unique real estate landscape shaped by its scenic
surroundings, community atmosphere, and proximity to the Twin Cities. Before embarking on the journey to sell your home, it’s crucial to gain a deep understanding of the current market dynamics in this charming city. LINO LAKES PROPERTY VALUES AND TRENDS: Begin your exploration by delving into recent property values and trends. Understanding how home values have fluctuated in the past months or years provides valuable insights into the overall market health. Analyze data on median home prices, average days on the market, and any discernible patterns to gauge whether it’s a seller’s or buyer’s market. LOCAL AMENITIES AND ATTRACTIONS: Lino Lakes is known for its family-friendly atmosphere and an abundance of recreational opportunities. Consider how the proximity to amenities, parks, and schools affects property values. Buyers often prioritize these factors, making it essential to highlight the local advantages of your property in your sales strategy. ECONOMIC AND DEVELOPMENT FACTORS: Keep an eye on economic factors and development projects in and around Lino Lakes. Emerging businesses, infrastructure improvements, or upcoming developments can significantly influence property values. A growing local economy often translates to increased demand for housing, impacting your selling strategy. SEASONAL PATTERNS IN THE REAL ESTATE MARKET: Minnesota experiences distinct seasonal changes, and the real estate market is no exception. Understanding when the market tends to be more active or slow can help you time your listing for optimal results. Consider how weather and local events may influence buyer behavior in different seasons.
By delving into these aspects of the Lino Lakes real estate market, you’ll be better equipped to make informed decisions about when and how to sell your home. The unique characteristics of this community play a vital role in shaping buyer preferences, and tailoring your approach to these factors can give you a competitive edge in the local real estate market.
THE PROS AND CONS OF FSBO IN LINO LAKES For Sale By Owner (FSBO) can be an enticing option for homeowners in Lino Lakes looking to sell their property independently. However, it comes with its own set of advantages and challenges, particularly in this unique real estate market. Let’s explore the pros and cons of taking the FSBO route in Lino Lakes. PROS OF FSBO IN LINO LAKES: COST SAVINGS One of the primary attractions of FSBO is the potential cost savings. Without the need to pay a real estate agent’s commission, sellers can retain a larger portion of the sale proceeds. In a market where every dollar counts, this financial advantage may be particularly appealing. DIRECT CONTROL OVER THE PROCESS Going the FSBO route gives you direct control over the entire selling process. From setting the listing price to negotiating directly with potential buyers, you have the final say in every decision. This level of control can be empowering for sellers who want to manage the process handson. FLEXIBILITY IN SHOWINGS AND OPEN HOUSES FSBO sellers have the flexibility to schedule showings and open houses at their convenience. This can be advantageous, especially for those with busy schedules or specific preferences regarding when and how they showcase their home. DECEMBER 2023
CONS OF FSBO IN LINO LAKES: LIMITED MARKETING REACH: While online platforms offer avenues for FSBO listings, reaching a broad audience can be challenging without the extensive marketing networks of real estate agents. In a competitive market like Lino Lakes, this limitation may affect the visibility of your property. NEGOTIATION CHALLENGES: Negotiating the intricacies of a real estate deal requires skill and experience. FSBO sellers may find themselves at a disadvantage when navigating complex negotiations. Real estate agents bring expertise to the table, helping secure the best possible deal for their clients. LEGAL AND PAPERWORK COMPLEXITIES: Real estate transactions involve a substantial amount of paperwork and legal intricacies. FSBO sellers may face challenges in ensuring that all necessary documents are prepared accurately and in compliance with local regulations. Mistakes in this area can lead to delays or legal issues. Before deciding on FSBO, carefully consider these pros and cons, especially in the context of the Lino Lakes real estate market. While FSBO offers potential cost savings and control, it’s crucial to weigh these benefits against the challenges, particularly in a market where professional expertise and marketing reach can make a significant difference.
BENEFITS OF HIRING A REAL ESTATE AGENT IN LINO LAKES Choosing to enlist the services of a real estate agent in Lino Lakes can be a strategic decision that pays off in various ways. In this section, we’ll explore the distinct benefits of having a professional guide you through the intricacies of the Lino Lakes real estate market. LOCAL MARKET EXPERTISE Real estate agents bring extensive knowledge of DECEMBRER 2023
the local market to the table. In Lino Lakes, where neighborhood dynamics and property values can vary, having an agent who understands the nuances of the community is invaluable. They can provide insights into pricing strategies, market trends, and buyer preferences specific to the area. EFFECTIVE MARKETING STRATEGIES Successfully marketing a property requires a multifaceted approach. Real estate agents have access to comprehensive marketing tools and networks that can significantly enhance the visibility of your listing. From professional photography and online listings to traditional marketing channels, agents can craft a tailored strategy to attract potential buyers in the Lino Lakes market. NEGOTIATION SKILLS AND EXPERIENCE Negotiating the terms of a real estate transaction is a delicate process that requires skill and experience. Real estate agents are seasoned negotiators who can represent your interests effectively. Whether it’s securing the best possible sale price or navigating counteroffers, their expertise can make a substantial difference in the final outcome of the deal. WIDE NETWORK AND BUYER ACCESS Real estate agents in Lino Lakes often have established networks and connections within the community. This network can be a powerful asset in reaching potential buyers who may not be actively searching on public listing platforms. Agents can leverage their contacts to showcase your property to a broader audience, increasing the likelihood of finding the right buyer.
legal issues arising during the course of the transaction. In the dynamic and competitive real estate market of Lino Lakes, a real estate agent can be a valuable partner, bringing expertise, resources, and a commitment to achieving your selling goals. Consider these benefits when deciding on the best approach to selling your home in Lino Lakes. Are you ready to navigate the vibrant real estate market of Lino Lakes, Minnesota, with confidence? Whether you’re a prospective buyer, seller, or investor, make the journey smoother by partnering with an experienced professional. Contact Francine Marsolek, your dedicated real estate expert in Lino Lakes. Contact Francine Marsolek for Expert Real Estate Assistance! Francine brings a wealth of local market knowledge, negotiation skills, and a commitment to client success. Whether you’re looking to buy your dream home, sell your property for the best value, or explore investment opportunities, Francine is here to guide you every step of the way. Don’t navigate the Lino Lakes real estate landscape alone. Contact Francine Marsolek today and let’s turn your real estate goals into reality. Your next property move is just a call away!
STREAMLINED LEGAL AND PAPERWORK PROCESSES Real estate transactions involve a significant amount of paperwork and adherence to legal requirements. A real estate agent can guide you through these processes, ensuring that all documents are prepared accurately and in compliance with local regulations. This helps prevent delays and reduces the risk of DECEMBER 2023
DECEMBRER 2023
BROKER | OWNER | REALTOR
FRANCINE
MARSOLEK
MINNESOTA
TWIN CITIES REAL ESTATE SHOW NEW DEMAND NEW SHOWS SHOWS ON DEMAND EVERY 2ND WEEK AND 4TH EVERY FRIDAY
DECEMBER 2023
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CONNEC DECEMBRER 2023
VIP AGENT
Reo Broker
DRE# 1312180 Mobile: (203) 982-4985 Office: (203) 387-0200 www.greaternewhavenhomes.com srivkin@planetrealtyct.com
CTICUT DECEMBER 2023
PHOTOS FROM 123RF
STEVEN RIVKIN
A Comprehensive Guide to Buying a Mobile Home in Connecticut. By Steven Rivkin
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mbarking on the journey to buy a mobile home in Connecticut is an exciting venture, filled with unique considerations and possibilities. Mobile homes offer a flexible and often more affordable housing option, but navigating the buying process requires careful planning and insight. In this comprehensive guide, we’ll take you through the essential steps, considerations, and insider tips to ensure your mobile home purchase in Connecticut is a smooth and successful experience. UNDERSTANDING THE MOBILE HOME
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MARKET IN CONNECTICUT: Connecticut’s mobile home market presents a dynamic landscape shaped by diverse factors such as location, amenities, and regional trends. Before embarking on your journey to buy a mobile home in the Constitution State, it’s essential to delve into the nuances of the market to make informed decisions. LOCATION MATTERS Just like traditional homes, the value and desirability of mobile homes in Connecticut can
vary significantly based on location. Coastal areas might offer a different set of amenities compared to rural communities. Explore different neighborhoods, considering factors such as proximity to amenities, schools, and local services. This understanding will not only impact your lifestyle but also influence the long-term value of your investment. MARKET TRENDS AND PRICE POINTS Stay abreast of current market trends and price points for mobile homes in Connecticut. Analyze data on recent sales, price per square foot, and overall market health. This information provides a valuable benchmark when assessing the value of potential mobile homes. Additionally, understanding whether the market is leaning towards buyers or sellers can influence your negotiation strategy. AMENITIES AND COMMUNITY CONSIDERATIONS Mobile homes are often situated in communities that offer a range of amenities and services. Some may provide recreational facilities, community events, or maintenance services. Consider what amenities are important to you and your lifestyle. Whether it’s a tight-knit community atmosphere or proximity to urban conveniences, these factors contribute to the overall appeal and value of mobile homes in Connecticut. REGULATORY LANDSCAPE Connecticut has specific regulations governing mobile homes, including zoning laws and community restrictions. Familiarize yourself with these regulations to ensure that your intended use aligns with local guidelines. Understanding the legal framework will help you navigate potential challenges and make informed decisions regarding your mobile home purchase. FUTURE GROWTH AND DEVELOPMENT Explore the potential for future growth and development in the areas you are considering. Connecticut, like any other state, undergoes changes and development projects that can impact property values. Stay informed about
planned infrastructure improvements, commercial developments, and other factors that may influence the trajectory of the mobile home market in specific regions. By gaining a deep understanding of the mobile home market in Connecticut, you position yourself to make well-informed decisions that align with your preferences and financial goals. Whether you’re a first-time buyer or considering a relocation, the intricacies of the market will play a pivotal role in shaping your mobile home purchasing experience in the Nutmeg State.
FINANCING OPTIONS FOR MOBILE HOMES IN CONNECTICUT: Securing the right financing for your mobile home in Connecticut is a critical step that demands careful consideration. Mobile homes often have distinct financing options compared to traditional houses, and understanding these choices is essential for a smooth and successful purchase. 1.TRADITIONAL MORTGAGES: While not as prevalent as for traditional homes, some lenders offer conventional mortgages for mobile homes. These loans typically require a higher credit score and a larger down payment. Investigate local banks and credit unions, as they may have specific programs tailored to mobile home buyers in Connecticut. 2.CHATTEL LOANS: Chattel loans are a common financing option for mobile homes. These loans treat the home as personal property rather than real estate, allowing for more flexibility in terms of approval. Interest rates may be slightly higher than traditional mortgages, but chattel loans are specifically designed for mobile home purchases. 3.FHA LOANS: The Federal Housing Administration (FHA) offers loans that can be used to finance mobile homes, providing an accessible option for buyers DECEMBER 2023
with lower credit scores. FHA loans often have lower down payment requirements compared to traditional mortgages, making homeownership more achievable for a broader range of individuals. 4.VA LOANS: If you’re a veteran or an eligible servicemember, consider exploring VA loans. The U.S. Department of Veterans Affairs provides financing options with favorable terms, including no down payment in some cases. Verify your eligibility and explore the benefits of VA loans for purchasing a mobile home in Connecticut. 5.MANUFACTURER FINANCING: Some mobile home manufacturers offer in-house financing or have partnerships with lenders. While this option can simplify the financing process, be sure to carefully review the terms and interest rates. Manufacturer financing may be more accessible, especially for buyers with limited credit history. 6.STATE ASSISTANCE PROGRAMS: Connecticut may offer state-specific assistance programs or grants to facilitate mobile home ownership. Explore whether there are any initiatives aimed at helping buyers with down payments, closing costs, or securing favorable loan terms. Local housing authorities and government programs can be valuable resources. Before committing to a financing option, thoroughly research and compare the terms offered by different lenders. Evaluate the interest rates, down payment requirements, and repayment terms to ensure that the financing aligns with your financial goals. Additionally, consider consulting with a financial advisor to get personalized advice based on your unique circumstances. Understanding the range of financing options available will empower you to make an informed decision and move forward confidently with your mobile home purchase in Connecticut.
DECEMBRER 2023
INSPECTING AND EVALUATING MOBILE HOMES
As you embark on the journey to buy a mobile home in Connecticut, a thorough inspection and evaluation process are crucial to ensuring that your investment aligns with your expectations and stands the test of time. In this section, we’ll guide you through the key aspects of inspecting and evaluating mobile homes in the Nutmeg State. STRUCTURAL INTEGRITY Begin your inspection by assessing the structural integrity of the mobile home. Check for signs of wear, such as sagging floors, cracks in walls, or issues with the roof. Inspect the foundation, ensuring it is secure and level. A structurally sound mobile home is the foundation for a safe and durable living space. PLUMBING AND ELECTRICAL SYSTEMS Evaluate the plumbing and electrical systems to ensure they are in good working order. Check for any leaks, water damage, or issues with the electrical wiring. Confirm that appliances, outlets, and fixtures function properly. Addressing any potential issues at this stage can save you from costly repairs down the road. HVAC SYSTEMS AND INSULATION Assess the heating, ventilation, and air conditioning (HVAC) systems within the mobile home. Check for proper insulation, especially in regions with varying temperatures like Connecticut. Adequate insulation not only contributes to energy efficiency but also ensures a comfortable living environment throughout the seasons. EXTERIOR CONDITION: Inspect the exterior of the mobile home, including siding, roofing, and windows. Look for signs of damage, such as rot, rust, or loose components. Check the condition of windows and doors to ensure they provide proper insulation and security. A well-maintained exterior contributes to the overall longevity of the mobile home.
Compliance with Local Codes Verify that the mobile home complies with local building codes and zoning regulations in Connecticut. Ensure that any additions or modifications made to the structure meet the necessary standards. Non-compliance could lead to complications in the future, so it’s essential to address these issues during the evaluation process. MAINTENANCE HISTORY AND RECORDS Request the maintenance history and records for the mobile home. Understanding how well the property has been maintained over the years provides valuable insights into its overall condition. A well-documented maintenance history can also highlight any recurring issues that may need attention. COMMUNITY RULES AND RESTRICTIONS If the mobile home is situated in a community or park, review the rules and restrictions imposed by the management. Some communities have specific guidelines regarding home modifications, landscaping, and other aspects. Understanding and agreeing to these terms is vital for a harmonious living experience. A professional home inspector specializing in mobile homes can be a valuable ally during this process. Their expertise can uncover hidden issues and provide a comprehensive assessment of the property. By investing time and attention into inspecting and evaluating the mobile home, you set the stage for a confident and informed decision, ensuring that your new home in Connecticut meets both your expectations and safety standards.
Whether you’re a first-time homebuyer or an experienced investor, the unique aspects of mobile home ownership in the Nutmeg State require a tailored approach. Remember, each step you take in the buying process contributes to the overall success of your investment. From understanding the market trends in Connecticut to exploring financing options and meticulously inspecting properties, your commitment to due diligence ensures that you find a mobile home that not only fits your lifestyle but also aligns with your long-term goals. Are you ready to embark on your journey to buy or sell a mobile home in Connecticut? For personalized guidance, expert insights, and a seamless real estate experience, work with Steve Rivkin. With a proven track record and a commitment to client success, Steve is your trusted partner in the Connecticut real estate market. Contact Steve Rivkin for Expert Real Estate Assistance! Whether you’re a buyer looking for the perfect mobile home or a seller aiming to get the best value for your property, Steve Rivkin has the knowledge and experience to guide you through every step of the process. Don’t navigate the Connecticut real estate landscape alone. Contact Steve Rivkin today and let’s turn your mobile home dreams into reality. Your ideal property or perfect buyer may be just a call away!
CONCLUSION Navigating the process of buying a mobile home in Connecticut demands careful consideration of market dynamics, financing options, and thorough property inspections. As you embark on this exciting journey, our comprehensive guide has aimed to equip you with the knowledge and insights necessary to make informed decisions.
DECEMBER 2023
Keeping Our Home Is Our #1 Priority.
Dixon and Eunice Sanchez, Brentwood, NY
Last year we were facing foreclosure and we weren’t sure what to do, but we knew one thing – We wanted to keep our home, NOT LOSE IT. Then we found out about HUD-approved counselors. The expert advice we received helped us save our home. Contact a HUD-approved housing counselor for FREE advice. Get started today. Visit:
www.hud.gov/fairhousing or call 1-888-995-HOPE A public service message from the U.S. Department of Housing and Urban Development in partnership with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, family status or disability. For more information, visit www.hud.gov/fairhousing.
DECEMBRER 2023
STEVEN
RIVKIN
CONNECTICUT
NEW HA VEN CONNECTICUT
NEW EPISODES ON DEMAND EVERY 2ND & 4TH FRIDAY
DECEMBER 2023
Y
R
L O C
w
ARIZONA DECEMBRER 2023
VIP AGENT
YVONNE MCFADDEN
Realtor | Delex Realty
License: SA035043000 Office License: LC64980001 Contact: (408) 628-2619
www.yvonnemcfaddenrealtor.com
A DECEMBER 2023
8 Psychological Traps in Home Buying and How to Avoid Them By Yvonne McFadden
T
he journey of buying a home is an emotional rollercoaster filled with excitement, anticipation, and a touch of anxiety. In the midst of this significant life decision, it’s easy to fall into psychological traps that can cloud judgment and lead to regrettable choices. In this article, we’ll explore eight common psychological traps in home buying and provide insights on how to navigate them successfully. Understanding these pitfalls is the first step towards making a confident DECEMBRER 2023
and rational decision in what is often one of life’s most substantial investments.
PHOTO FROM 123RF
1.EMOTIONAL ATTACHMENT TO A PROPERTY:
It’s not uncommon to walk into a home and instantly feel a connection. While emotional resonance is essential, it’s crucial to balance that with a pragmatic assessment. Avoid fixating on aesthetics alone; consider practical aspects like location, future resale value, and whether the property aligns with your long-term goals.
2.FEAR OF MISSING OUT (FOMO):
The fear of missing out can be a powerful force, especially in a competitive real estate market. Combat FOMO by setting clear priorities and criteria for your ideal home. Remember that new opportunities will arise, and rushing into a decision can lead to regrets. Be patient, and trust that the right property will come along.
3.ANCHORING TO THE LISTING PRICE:
Anchoring occurs when the initial listing price influences your perception of a property’s value. Counteract this by conducting thorough market research and considering recent comparable sales. Don’t be afraid to negotiate based on the property’s actual worth rather than being anchored to the initial asking price.
4.OVERESTIMATING FUTURE PROPERTY VALUE:
While optimism is valuable, overestimating future property value can lead to financial missteps. Base your expectations on realistic market trends, historical data, and the property’s unique attributes. Consult with real estate professionals to gain a nuanced understanding of potential appreciation.
5.DECISION FATIGUE:
decisions, from choosing a neighborhood to negotiating terms. Combat decision fatigue by breaking the process into manageable steps. Prioritize decisions, take breaks when needed, and seek advice from professionals to alleviate the burden of constant decision-making.
6.IGNORING RED FLAGS:
Emotional investment in a property may blind you to potential red flags. Approach the home inspection with a critical eye, and don’t ignore signs of structural issues, water damage, or other significant concerns. Acknowledge potential problems early on to make informed decisions about the property.
7.COMPARING TO OTHERS:
Every home-buying journey is unique, and comparing yours to others can lead to unnecessary stress. Focus on your specific needs, budget, and priorities. Avoid making decisions based on others’ timelines or preferences, as this can detract from finding the home that genuinely suits your lifestyle.
8.TIMING THE MARKET:
Attempting to time the market perfectly is a challenging feat. Instead of waiting for the “perfect” time, focus on finding a property that aligns with your needs and financial capacity. The right home is more important than trying to predict market fluctuations, which can be unpredictable and influenced by various factors beyond your control. Navigating these psychological traps requires a balanced approach and a willingness to step back and assess decisions objectively. Remember that the home-buying process is a journey, and each step contributes to the overall success of your investment. Consult with experienced real estate professionals, trust your instincts, and approach the process with a well-informed and rational mindset.
The home-buying process involves numerous DECEMBER 2023
CONCLUSION In the intricate world of real estate, the psychological traps inherent in the buying and selling process are both common and consequential. By acknowledging and understanding these traps, you empower yourself to make decisions that align with your goals and avoid potential pitfalls. The journey to homeownership or property sale is not just about finding a space; it’s about making a wise and fulfilling investment. As you navigate the nuanced landscape of real estate, remember that knowledge, patience, and a clear mindset are your most potent tools. Are you ready to embark on your real estate journey in Scottsdale, Arizona, with confidence and expert guidance? Whether you’re a buyer searching for your dream home or a seller aiming to maximize the value of your property, Yvonne McFadden is here to be your trusted partner. Contact Yvonne McFadden for Expert Real Estate Assistance! Yvonne brings a wealth of local market knowledge, a commitment to client satisfaction, and a passion for helping individuals achieve their real estate goals. If you’re in Scottsdale and seeking personalized assistance in buying or selling real estate, Yvonne McFadden is the professional you can rely on. Your real estate aspirations deserve the attention of a dedicated and experienced professional. Contact Yvonne McFadden today, and let’s turn your real estate dreams into reality. Whether you’re buying, selling, or investing, Yvonne is here to guide you through every step of the process in the vibrant real estate market of Scottsdale, Arizona.
DECEMBRER 2023
YVONNE
MCFADDEN
ARIZONA
yvonne mcfadden real estate show NEW EPISODES ON DEMAND EVERY 2ND & 4TH FRIDAY
DECEMBER 2023
B
B
m o C b
CALIFOR DECEMBRER 2023
VIP AGENT
BRANDY NELSON
Broker | Owner
m: (760) 592-1571 o: (760) 660-6444 CalDRE#01471742 brandyn@windermere.com
RNIA DECEMBER 2023
What Is Mortgage Insurance and When Do You Need It?
F
or many aspiring homeowners, the journey to purchasing a house involves navigating a sea of financial considerations, and mortgage insurance is a term that often surfaces during these discussions. Understanding the role of mortgage insurance is crucial in the homebuying process, as it can significantly impact your
DECEMBRER 2023
overall investment. In this article, we’ll unravel the mysteries of mortgage insurance, exploring what it is, why it exists, and the circumstances under which you may need it. Whether you’re a first-time buyer or a seasoned homeowner, demystifying this aspect of the real estate landscape is essential for making informed decisions on your path to homeownership.
PHOTO FROM 123RF
By Brandy Nelson
THE BASICS OF MORTGAGE INSURANCE Mortgage insurance serves as a financial safeguard for lenders, creating a safety net in the event that a borrower defaults on their loan. This insurance mitigates the risk associated with low down payments, allowing individuals with less than a 20% down payment to access the benefits of homeownership. Here’s a breakdown of the key components that constitute the basics of mortgage insurance: 1.DEFINITION AND PURPOSE: Mortgage insurance, often abbreviated as MI or PMI (Private Mortgage Insurance), is a policy that protects lenders in the event of borrower default. Its primary purpose is to enable individuals who may not have a substantial down payment to qualify for a mortgage, promoting wider access to homeownership. 2.TYPES OF MORTGAGE INSURANCE: There are two primary types of mortgage insurance: Private Mortgage Insurance (PMI) for conventional loans and Mortgage Insurance Premiums (MIP) for government-backed loans, such as FHA loans. Both types operate with a similar principle but have distinct characteristics based on the loan program. 3.COVERAGE PERCENTAGE: The coverage percentage refers to the portion of the loan amount that the mortgage insurance covers. In the context of conventional loans, PMI typically covers 25% to 30% of the loan amount. The coverage percentage affects the premium amount, with a higher coverage percentage resulting in a higher premium. 4.PREMIUM PAYMENTS: Borrowers are responsible for paying the mortgage insurance premiums, and these payments can take various forms. For conventional loans, PMI premiums are often incorporated into the monthly mortgage payments. In contrast, government-backed
loans, such as FHA loans, may require an upfront premium as well as ongoing monthly premiums. 5.CANCELATION AND TERMINATION: It’s important to understand the conditions under which mortgage insurance can be canceled or terminated. For conventional loans, reaching a loan-to-value ratio (LTV) of 80% through a combination of payments and appreciation may allow for PMI cancellation. FHA loans, on the other hand, typically require mortgage insurance for the entire loan term. 6.IMPACT ON BORROWERS: While mortgage insurance offers a pathway to homeownership for those with limited down payment resources, it is an additional cost for borrowers. Understanding the financial implications, including how premiums are calculated and their impact on monthly payments, is essential for borrowers to make informed decisions. In essence, mortgage insurance is a mechanism that balances risk for lenders and borrowers, fostering a more inclusive landscape for homeownership. Whether navigating the realm of conventional loans or exploring governmentbacked options, a clear understanding of the basics of mortgage insurance is crucial for prospective homebuyers to make informed choices on their path to owning a home.
WHEN CONVENTIONAL LOANS REQUIRE MORTGAGE INSURANCE Conventional loans, often preferred by homebuyers due to their flexibility, can also require the inclusion of mortgage insurance under specific circumstances. Understanding these scenarios is crucial for borrowers aiming to secure a conventional mortgage. Here’s an exploration of when conventional loans may necessitate mortgage insurance: DOWN PAYMENT LESS THAN 20% DECEMBER 2023
The most common scenario triggering the need for mortgage insurance in a conventional loan is when the down payment is less than 20% of the home’s purchase price. Traditionally, a 20% down payment has been considered a benchmark for avoiding mortgage insurance. If the down payment falls below this threshold, lenders often require borrowers to obtain private mortgage insurance (PMI). LOAN-TO-VALUE RATIO (LTV) CONSIDERATIONS The loan-to-value ratio (LTV) is a critical factor in determining when mortgage insurance is required. LTV is calculated by dividing the loan amount by the appraised value of the home. For conventional loans, when the LTV exceeds 80%, lenders may insist on the inclusion of PMI. As borrowers make mortgage payments and the home’s value appreciates, reaching an 80% LTV ratio may trigger the opportunity to cancel PMI.
REFINANCING SCENARIOS:
Refinancing an existing conventional loan can also bring mortgage insurance into play, particularly if the new loan amount exceeds 80% of the home’s appraised value. Borrowers considering refinancing should carefully assess the potential impact on their loan-to-value ratio and the associated requirement for mortgage insurance.
CREDIT SCORE INFLUENCE
While not a direct trigger for mortgage insurance, borrowers with lower credit scores may find that lenders require a larger down payment to compensate for the perceived risk. In such cases, borrowers may need to contribute a higher percentage of the home’s purchase price to avoid mortgage insurance. MORTGAGE INSURANCE COSTS: The costs associated with mortgage insurance can vary based on factors such as the borrower’s credit score, the loan-to-value ratio, and the coverage percentage. Understanding the potential costs involved is essential for borrowers DECEMBRER 2023
to budget effectively and assess the overall affordability of the loan. OPTIONS FOR PMI PAYMENTS: Borrowers have flexibility in how they choose to pay for PMI. It can be structured as a monthly premium included in the mortgage payment, a one-time upfront premium, or a combination of both. Exploring these options with the lender allows borrowers to select a payment approach that aligns with their financial preferences. Navigating the landscape of when conventional loans require mortgage insurance involves a careful consideration of down payment percentages, loan-to-value ratios, and individual financial circumstances. As borrowers explore their options in the realm of conventional mortgages, a clear understanding of these triggers empowers them to make informed decisions that align with their homeownership goals.
FHA LOANS AND MORTGAGE INSURANCE PREMIUMS: Federal Housing Administration (FHA) loans are a popular choice for homebuyers, particularly those with limited down payment resources. However, FHA loans come with their own unique aspect of mortgage insurance, known as Mortgage Insurance Premiums (MIP). Let’s delve into the specifics of how FHA loans and 1.MIP INTERACT: Upfront MIP: FHA loans typically require an upfront Mortgage Insurance Premium (UFMIP). This is a one-time fee paid at the closing of the loan and is calculated as a percentage of the loan amount. The upfront MIP helps fund the FHA program and serves as an initial insurance payment. 2.ANNUAL MIP: In addition to the upfront premium, FHA borrowers are subject to an Annual Mortgage Insurance Premium (AMIP). The AMIP is an
ongoing, annual fee that is divided into monthly installments and included in the borrower’s mortgage payment. The amount of the annual premium depends on factors such as the loan amount, loan-to-value ratio, and loan term. 3.LOAN-TO-VALUE RATIO (LTV) IMPACT: The loan-to-value ratio (LTV) plays a crucial role in determining the duration of MIP payments. For FHA loans with a loan-to-value ratio greater than 90%, MIP payments continue for the life of the loan. If the LTV is 90% or less, MIP payments may be discontinued after 11 years. 4.MIP FOR DIFFERENT LOAN TYPES: FHA offers various loan types, including fixed-rate and adjustable-rate mortgages. The MIP structure can vary based on the loan type and its specific terms. Borrowers should carefully review the MIP requirements associated with their chosen FHA loan product. 5. MIP CANCELLATION CONSIDERATIONS: FHA borrowers may explore options for MIP cancellation under certain circumstances. For loans with an LTV ratio of 90% or less at the time of origination, MIP payments may be discontinued after reaching 78% LTV and a minimum of five years of payments. Refinancing to a conventional loan is another avenue for eliminating MIP payments. 6.MIP IMPACT ON AFFORDABILITY: It’s essential for FHA borrowers to factor in MIP costs when assessing the affordability of their loan. While FHA loans provide access to homeownership with lower down payments, the inclusion of MIP affects the overall monthly payment and should be considered in the budgeting process. Understanding the dynamics of FHA loans and Mortgage Insurance Premiums empowers borrowers to make informed decisions about their home financing. By weighing the benefits of FHA loans against the cost of MIP, individuals can navigate the landscape of government-backed loans strategically, making choices that align
with their financial goals and homeownership aspirations.
CONCLUSION In the intricate landscape of real estate financing, understanding the nuances of mortgage insurance is pivotal for aspiring homeowners. Whether you’re navigating the waters of conventional loans with Private Mortgage Insurance (PMI) or exploring the benefits of Federal Housing Administration (FHA) loans with Mortgage Insurance Premiums (MIP), clarity on these aspects is essential. As you embark on your homeownership journey, consider the impact of mortgage insurance on your financial strategy and overall investment. Are you seeking expert guidance in navigating the complexities of real estate financing in California? Brandy Nelson, your dedicated real estate professional, is here to provide the support and knowledge you need. Whether you’re a firsttime homebuyer exploring mortgage options or a seller looking to optimize your property’s value, Brandy brings a wealth of experience, local expertise, and a commitment to client success. Contact Brandy Nelson for Expert Real Estate Assistance! Brandy understands the California real estate landscape and is equipped to guide you through every step of your journey. From strategic mortgage solutions to maximizing the value of your property, Brandy is your trusted partner. Let’s turn your real estate goals into a reality. Don’t navigate the California real estate market alone. Whether you’re buying, selling, or investing, Brandy Nelson is committed to delivering personalized and effective solutions tailored to your unique needs. Contact Brandy today and let’s embark on your real estate journey together. Your dream home or successful property transaction may be just a call away!
DECEMBER 2023
THE FLOOD TURNED OUR LIVES UPSIDE DOWN. WHEN WE TRIED TO RENT A NEW PLACE TO LIVE, WE KEPT GETTING TURNED DOWN. When the flood came, we had to run from our home. Fortunately, we found temporary shelter. But as we started looking for a place to live, we ran into housing discrimination, which isn’t just unfair – it’s illegal. If you feel that a landlord or broker has denied you the sale, rental or financing of a home based on your race, color, religion, sex, national origin, disability or because you have children, report it to HUD or your local fair housing center.
Go to hud.gov/fairhousing or call 1-800-669-9777 Federal Relay Service 1-800-877-8339 FAIR HOUSING: THE LAW IS ON YOUR SIDE. A public service message from the U.S. Department of Housing and Urban Development in cooperation with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. DECEMBRER 2023
“ WE DIDN’T EXPECT
HOUSING DISCRIMINATION
WOULD KEEP US FROM OUR NEW HOME.” “ As our family continued to grow, we started looking for a new home. The landlord told us he wasn’t comfortable renting to people with children because they might go to school or daycare and bring home COVID-19.” COVID-19 inequity is real, and it shouldn’t be made worse because of housing discrimination. If you suspect housing discrimination because of your familial status, file a complaint with HUD or your local fair housing center so we can investigate it.
Go to hud.gov/fairhousing or call 1-800-669-9777 Federal Relay Service 1-800-877-8339 FAIR HOUSING: THE LAW IS ON YOUR SIDE. A public service message from the U.S. Department of Housing and Urban Development in cooperation with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. DECEMBER 2023
COVER STORY
EPITOME OF LEADERSHIP:
NYKIA WRIGHT’S JOURNEY FROM JOURNALISM TO INNOVATION EARLY YEARS AND SOUTHERN ROOTS Nykia Wright, a trailblazing executive, was born and raised in Atlanta, Georgia, where she cultivated a strong work ethic and problemsolving acumen from a young age. Growing up DECEMBRER 2023
just three generations removed from slavery, Nykia’s parents instilled in her and her siblings the belief that there were no limits to their potential and that hard work was the key to success.
DECEMBER 2023
ACADEMIC PURSUITS AND INTERNATIONAL EXPERIENCE After earning a finance degree from Carnegie Mellon, Nykia pursued an international business certification at the University of Cambridge. During this time, she collaborated with J.P. Morgan Chase in the City of London, gaining valuable insights into the global business landscape. Nykia’s analytical skills were honed as she delved into financial analysis back in Atlanta, examining the books of over 1,000 franchise concepts.
TUCK SCHOOL OF BUSINESS AT DARTMOUTH Nykia’s journey led her to the prestigious Tuck School of Business at Dartmouth, where she pursued her MBA. The decision to attend Tuck was influenced by the campus’s welcoming atmosphere and Nykia’s positive interactions during events like the Diversity Conference and the Women in Business Conference. Tuck not only provided her with a comprehensive business education but also gifted her enduring relationships that would shape her professional trajectory.
THE CHICAGO SUN-TIMES TRANSFORMATION Post-Tuck, Nykia embarked on a transformative journey at the Chicago Sun-Times. Hired initially as the Chief Operating Officer, she later assumed the role of CEO. Facing challenges of declining circulation and industry shifts, Nykia applied the problem-solving skills she acquired at Tuck. She made strategic decisions, such as terminating wasteful contracts and steering the newspaper towards a vision of becoming the voice of working-class Chicagoans.
LEADERSHIP BEYOND JOURNALISM DECEMBRER 2023
Nykia’s leadership extended beyond the realm of journalism. After her tenure at the Sun-Times, she assumed the role of Interim CEO of the National Association of REALTORS®, contributing her executive leadership and strategic advisory expertise. A seasoned strategy and business transformation professional, Nykia had over 15 years of experience advising Fortune 500 companies and institutes of higher learning.
ENTREPRENEURSHIP AND PHILANTHROPY Nykia co-founded SonicMESSENGER, a software-as-a-service (SaaS) startup focused on democratizing audience engagement through smart audio. Her entrepreneurial spirit and commitment to innovation shone through as she ventured into the dynamic world of startups. In parallel, Nykia dedicated herself to philanthropy, serving on the boards of esteemed organizations such as the American Cancer Society and the Better Government Association.
DEPARTURE FROM THE SUN-TIMES AND LEGACY After five impactful years at the Chicago SunTimes, Nykia announced her departure. During her tenure, the Sun-Times underwent ownership changes, embraced digital transformation, and joined forces with Chicago Public Media. Nykia left a lasting legacy, characterized by increased editorial staff, a commitment to community funding, and a nonprofit status. Her departure was met with gratitude from the organization’s leadership, recognizing her instrumental role in the successful transition.
RECOGNITION AND AWARDS Throughout her career, Nykia received numerous awards for her outstanding contributions. These accolades include the 2022 YWCA Chicago – Outstanding Leader in Business, recognition as one of Chicago’s most powerful women in
As Nykia departs from her role at the Sun-Times, her legacy is one of recognition and accolades, from the YWCA Chicago’s Outstanding Leader in Business to being named among Chicago’s most FUTURE VENTURES AND powerful women in journalism. These honors bear testament to her exceptional contributions and CONTINUING IMPACT the indelible mark she has left on each venture she undertook. As Nykia looks towards the future, her journey Looking forward, Nykia’s journey is far from over. continues to unfold. Her diverse experiences Armed with a wealth of experience, a commitment in journalism, business, entrepreneurship, and to innovation, and a passion for positive change, philanthropy have positioned her as a dynamic she stands as a beacon for future leaders. leader with a profound impact on the industries Nykia Wright’s story is not just a biography but she has touched. With a rich tapestry of a testament to the enduring power of vision, experiences, Nykia Wright remains a beacon of inspiration for aspiring leaders and a driving force tenacity, and the pursuit of excellence. for positive change. As the pages of her narrative turn towards new chapters, one can’t help but be captivated by the promise of future ventures and the unwavering CONCLUSION impact Nykia Wright continues to make in shaping the world of journalism, business, and beyond. Nykia Wright’s journey, intricately woven through the corridors of academia, business, and journalism, culminates in a legacy marked by resilience, innovation, and transformative leadership. From her roots in the South to the hallowed halls of Tuck School of Business at Dartmouth, Nykia’s story is one of determination and purpose. Her pivotal role at the Chicago Sun-Times saw her not only navigate the challenges of a changing industry but actively shape its future. Termed as a problem-solver with a keen analytical mind, Nykia’s imprint on the Sun-Times is evident in its digital transformation, increased editorial strength, and a renewed commitment to community funding. Beyond the realms of journalism, Nykia’s foray into entrepreneurship with SonicMESSENGER exemplifies her commitment to innovation. A cofounder of a software-as-a-service startup, she continues to pioneer solutions that democratize audience engagement through smart audio. Philanthropy, too, finds a fervent advocate in Nykia. Serving on the boards of esteemed organizations like the American Cancer Society and the Better Government Association, she extends her impact beyond the corporate sphere, embodying the spirit of a well-rounded leader. journalism in 2019, and being named in Chicago Crain’s 2018 40 under 40 list.
DECEMBER 2023
I’VE HEARD ABOUT
SEXUAL HARASSMENT
AT WORK... BUT I DIDN’T EXPECT IT
IN MY OWN APARTMENT. SO I FILED A COMPLAINT WITH HUD. If a landlord makes unwelcome sexual advances or if he threatens you with eviction or refuses to make repairs because you deny him sexual favors, he is violating the Fair Housing Act. Report sexual harassment and put a stop to it.
Fair Housing Is Your Right. Use It!
SCAN HERE FOR MORE INFO
Visit hud.gov/fairhousing or call the HUD Hotline 1-800-669-9777 (English/Español) 1-800-927-9275 (TTY) A public service message from the U.S. Department of Housing and Urban Development in partnership with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. For more information, visit www.hud.gov/fairhousing.
DECEMBRER 2023
“주택 거래 차별 때문에 새 집을 찾을 수 없을 것이라고는 예상하지 못했습니다.” “ 우리 가족이 성장하면서 새 집을 찾기 시작했습니다. 집주인은 자녀가 있는 사람은 학교나 보육 시설에 가서 코로나19를 집에 옮겨 올 수 있기 때문에 임대해 주기가 싫다고 했습니다.” 코로나19 불평등은 현실이며, 주택 거래 차별로 인해 악화되어서는 안 됩니다. 가족 조건에 따른 주택 거래의 차별이 의심될 경우, 조사를 할 수 있도록 주택도시개발부 또는 여러분 지역의 공정주택거래센터에 민원을 제기하십시오.
hud.gov/fairhousing 또는 전화 1-800-669-9777 을 이용해 주십시오 연방 중계 서비스 1-800-877-8339 공정한 주택 거래: 법은 여러분의 편입니다. 미주택도시개발부와 전국공정주택연합이 함께 하는 공익 메시지입니다. 연방 공정주택법은 인종, 피부색, 종교, 국적, 성별, 가족 조건 또는 장애로 인한 차별을 금지하고 있습니다.
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F I
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CALIFOR
DECEMBRER 2023
VIP AGENT
RUBY L. FRAZIER
FULL SERVICE | PROPERTY MANAGEMENT INTERIOR DESIGN | RENTING RESEDENTIALS
LIC#01761773 O: [952] 686-5261 F: [714] 908-7298
www.fraziergrouprealty.com rubyfrazier@fraziergrouprealty.com
RNIA
DECEMBER 2023
What Buyers and Sellers Need to Know About Home Inspections in Riverside, CA. By Ruby Frazier
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mbarking on the journey of buying or selling a home in Riverside, California, is a significant undertaking, and a crucial step in this process is the home inspection. Home inspections play a pivotal role in ensuring the transparency and integrity of a real estate transaction, providing both buyers and DECEMBRER 2023
sellers with valuable insights into the condition of a property. In this article, we’ll delve into the essentials that buyers and sellers need to know about home inspections in Riverside, offering guidance on navigating this critical phase of the real estate journey.
THE IMPORTANCE OF HOME INSPECTIONS IN RIVERSIDE Buying or selling a home in Riverside, California, involves a complex and dynamic real estate market. In the midst of negotiations and paperwork, the importance of a comprehensive home inspection cannot be overstated. Here’s why home inspections are pivotal for both buyers and sellers in Riverside. 1.UNCOVERING POTENTIAL ISSUES: Riverside’s diverse neighborhoods can present a range of housing styles and ages. A home inspection is a crucial tool for uncovering potential issues that may not be immediately visible. From the foundation to the roof, inspectors can identify structural concerns, electrical problems, plumbing issues, and more. This knowledge empowers buyers to make informed decisions about the condition of the property. 2.NEGOTIATING FAIR DEALS: Armed with insights from a home inspection, buyers can enter negotiations with a clear understanding of the property’s condition. This transparency is key to negotiating fair deals that account for any necessary repairs or improvements. Conversely, sellers benefit from a smoother negotiation process when they are upfront about their property’s condition, avoiding surprises that could potentially derail a sale. 3.FACILITATING TRANSPARENT TRANSACTIONS: Riverside’s real estate market thrives on transparency. Home inspections provide an objective and standardized assessment of a property’s condition. This transparency builds trust between buyers and sellers, fostering a positive and open transaction environment. It also helps prevent misunderstandings that can arise when the true condition of a property is unclear. 4.ENSURING COMPLIANCE WITH LOCAL REGULATIONS:
Riverside, like any other city, has specific building codes and regulations. A thorough home inspection ensures that the property complies with these standards, reducing the risk of legal issues for both buyers and sellers. It also ensures that any necessary permits for modifications or additions have been obtained, providing peace of mind for all parties involved. 5.PROTECTING LONG-TERM INVESTMENTS: Real estate in Riverside is not just a transaction; it’s a long-term investment. A home inspection serves as a proactive measure to protect this investment. Identifying and addressing issues early on can prevent small problems from turning into major headaches down the line. Both buyers and sellers benefit from knowing that the property is in good condition and will stand the test of time. In Riverside’s dynamic real estate market, a home inspection is more than a formality; it’s a strategic step towards a successful and transparent transaction. Whether you’re a buyer aiming for peace of mind or a seller looking to enhance your property’s appeal, understanding the importance of home inspections is a cornerstone of the Riverside real estate journey.
WHAT BUYERS SHOULD LOOK FOR IN A RIVERSIDE HOME INSPECTION When undertaking a home inspection in Riverside, California, buyers should be equipped with the knowledge to assess a property thoroughly. Here’s a comprehensive guide on what buyers should prioritize during a Riverside home inspection: 1.STRUCTURAL INTEGRITY: Begin by evaluating the structural elements of the home. Look for signs of foundation issues, such as cracks in the walls or uneven floors. Riverside’s diverse terrain can pose unique challenges, so ensuring the home’s structural integrity is a top priority. DECEMBER 2023
2.ROOF CONDITION: Riverside experiences a range of weather conditions, from warm summers to occasional rainfall. Examine the condition of the roof, checking for missing shingles, leaks, or signs of water damage. A well-maintained roof is essential to protect the home from the elements. 3.ELECTRICAL SYSTEMS: California’s strict building codes extend to electrical systems. Ensure that the home’s electrical wiring is up to standard. Check for any outdated components or potential safety hazards. An inspection of the electrical systems ensures the home is both safe and meets regulatory requirements. 4.PLUMBING SYSTEMS: Riverside’s climate variations necessitate reliable plumbing systems. Inspect pipes for leaks, check water pressure, and assess the condition of fixtures. A thorough examination of plumbing systems is crucial for preventing water-related issues in the future. 5.HVAC SYSTEMS: Riverside’s warm climate highlights the importance of functional heating, ventilation, and air conditioning (HVAC) systems. Verify that the HVAC systems are in good working order. A well-maintained HVAC system not only ensures comfort but also contributes to energy efficiency. 6.PEST AND TERMITE INSPECTIONS: Southern California, including Riverside, is susceptible to pests and termites. Include a pest and termite inspection in the process to identify any infestations or damage. Addressing these issues promptly can prevent long-term damage to the property. 7.SAFETY FEATURES: Prioritize the inspection of safety features, including smoke detectors, carbon monoxide detectors, and fire extinguishers. Ensuring these elements are in working order is crucial for the safety of the occupants and compliance with local regulations. DECEMBRER 2023
8.ENVIRONMENTAL CONCERNS: Riverside’s proximity to various natural elements necessitates consideration of environmental factors. Check for potential environmental concerns, such as radon, mold, or asbestos. Addressing these issues early on is vital for the well-being of the occupants and the long-term value of the property. Navigating a Riverside home inspection requires a discerning eye and a thorough understanding of the region’s unique challenges. By focusing on these key elements, buyers can approach the inspection process with confidence, ensuring that their prospective home meets both their expectations and Riverside’s rigorous standards. HOW SELLERS CAN PREPARE FOR A SUCCESSFUL HOME INSPECTION IN RIVERSIDE Preparing your Riverside home for inspection is a strategic move that can contribute to a seamless and successful real estate transaction. Here’s a guide on how sellers can ensure their property is inspection-ready: ADDRESS MINOR REPAIRS: Proactively tackle minor repairs before the inspection. Fix leaky faucets, replace missing shingles, and repair any cosmetic damages. Presenting a well-maintained home gives the inspector and potential buyers confidence in the property’s overall condition. CLEAN AND DECLUTTER: A clutter-free home not only creates a positive impression but also makes it easier for inspectors to access key areas. Remove personal items and excessive clutter to allow for a thorough examination of spaces like the attic, basement, and utility areas. COMPLETE ROUTINE MAINTENANCE: Ensure routine maintenance tasks are up to date. This includes servicing the HVAC system, cleaning gutters, and maintaining the landscape. A home that has been consistently cared for signals to the inspector that major issues are less
likely to be present. PROVIDE DOCUMENTATION: Gather and organize relevant documentation, including records of past repairs, receipts for recent upgrades, and maintenance schedules. Providing this information to the inspector demonstrates transparency and helps build confidence in the property’s history and upkeep. TEST SAFETY FEATURES: Verify that safety features such as smoke detectors, carbon monoxide detectors, and fire extinguishers are in working order. Not only is this essential for the safety of the occupants, but it also showcases the property’s compliance with safety standards. CHECK FOR PESTS AND TERMITES: Consider conducting a pre-inspection for pests and termites. Identifying and addressing these issues beforehand can prevent surprises during the official inspection. If any problems are detected, take the necessary steps to rectify them promptly. CLEAR ACCESS POINTS: Ensure that inspectors can easily access essential areas of the home, such as the attic, basement, and utility spaces. Move stored items away from these access points to facilitate a smooth and thorough inspection process. BE TRANSPARENT: Communication is key. Be upfront about any known issues with the property. Disclosing information transparently builds trust with potential buyers and allows for a more realistic negotiation process. CONSIDER A PRE-LISTING INSPECTION: To get ahead of potential issues, sellers in Riverside may opt for a pre-listing inspection. This proactive approach allows sellers to address concerns before listing the property, potentially reducing the likelihood of surprises during the buyer’s inspection.
Preparing for a home inspection in Riverside is a strategic investment that can positively influence the outcome of a real estate transaction. Sellers who take the time to address potential concerns and present a well-maintained property position themselves for a smoother selling process and increased confidence from potential buyers.
CONCLUSION Navigating the intricate process of home inspections in Riverside, California, is a critical aspect of any real estate transaction. Whether you’re a buyer seeking transparency or a seller preparing to showcase your property, understanding the nuances of Riverside’s real estate landscape is key. By prioritizing a comprehensive inspection, both parties can ensure a smooth and informed journey toward their real estate goals. Are you ready to embark on your real estate journey in Riverside, California, with confidence and expertise? Whether you’re buying, selling, or investing, Ruby Frazier is your dedicated partner. With a deep understanding of Riverside’s real estate market, Ruby is committed to delivering personalized and effective solutions tailored to your unique needs. Contact Ruby Frazier for Expert Real Estate Assistance! Ruby brings a wealth of local knowledge, a passion for client success, and a commitment to ensuring a seamless transaction. Whether you’re looking for your dream home, selling a property, or exploring investment opportunities in Riverside, Ruby Frazier is here to guide you every step of the way. Don’t navigate the Riverside real estate landscape alone. Contact Ruby Frazier today, and let’s turn your real estate aspirations into reality. Your ideal property or perfect buyer may be just a call away! DECEMBER 2023
How can we tell him that the color of his skin is keeping his family from the home of its dreams?
Image by Bernie Kleina
SCAN HERE FOR MORE INFO
Housing discrimination isn’t just unfair – it’s against the law. If you feel that you’ve been denied the sale, rental or financing of a home because of race, color, national origin, religion, sex, familial status or disability, report it to HUD or your local fair housing center.
Fair Housing Is Your Right. Use It. Visit www.hud.gov/fairhousing or call the HUD Hotline 1-800-669-9777 (English/Español) 1-800-927-9275 (TTY)
DECEMBRER 2023 A public service message from the U.S. Department of Housing and Urban Development in partnership with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. For more information, visit www.hud.gov/fairhousing.
When it comes to housing, little things shouldn’t make a difference. If you have children or are pregnant and a landlord refuses to rent to you, requires a higher security deposit, limits the use of facilities, or says you can only live in certain areas of a housing complex ... that could be discrimination. And housing discrimination because of familial status is against the law. If you believe you may be a victim of housing discrimination, contact HUD or your local Fair Housing Center:
Visit www.hud.gov/fairhousing or call the HUD Hotline 1-800-669-9777 (voice) 1-800-927-9275 (TTY)
Your Choice. Your Right. Your Home. A public service message from the U.S. Department of Housing and Urban Development in partnership with the National Fair Housing Alliance. The federal Fair Housing Act prohibits discrimination because of race, color, religion, national origin, sex, familial status or disability. For more information, visit www.hud.gov/fairhousing. DECEMBER 2023
DECEMBRER 2023
DECEMBER 2023
Unlocking the Door to Homeownership: Mastering the First Steps to Buying a House By Briana Frazier
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mbarking on the journey to homeownership is an exciting venture that marks a significant milestone in life. The dream of owning a house is one filled with possibilities, personalization, and the promise of a place to call home. However, for many, the path to buying a house may seem complex and daunting. In this article, we’ll unravel the mysteries of the homebuying process, guiding you through the crucial initial steps that pave the way for a successful and fulfilling homeownership journey. UNDERSTANDING YOUR FINANCIAL LANDSCAPE:
DECEMBRER 2023
Embarking on the journey to homeownership requires a solid grasp of your financial landscape. Before delving into the exciting realm of house hunting, take the time to master the essential components that shape your ability to buy a home. 1.ASSESSING YOUR CREDIT SCORE: Your credit score is a pivotal factor in determining your eligibility for a mortgage and the interest rates you may qualify for. Obtain a copy of your credit report and review it for accuracy. If your score needs improvement, identify areas for enhancement and work towards boosting your
creditworthiness. 2.DETERMINING YOUR BUDGET: Establishing a realistic budget is the cornerstone of a successful home buying journey. Consider your current income, expenses, and financial goals to determine how much you can comfortably allocate to homeownership. Factor in potential additional costs such as property taxes, homeowners insurance, and maintenance. 3.EXPLORING MORTGAGE OPTIONS: Familiarize yourself with the various mortgage options available. Fixed-rate mortgages offer stability with consistent monthly payments, while adjustable-rate mortgages may provide initial cost savings. Government-backed loans, such as FHA or VA loans, offer specific benefits for qualifying buyers. Research and compare mortgage products to find the one that aligns best with your financial situation and goals. 4.SAVING FOR A DOWN PAYMENT: Saving for a down payment is a crucial step in the homebuying process. While the traditional 20% down payment is a benchmark, there are various programs that allow for lower down payments. Evaluate your savings and explore down payment assistance programs that may be available in your area. 5.BUILDING A FINANCIAL SAFETY NET: Homeownership comes with unexpected expenses, and having a financial safety net is essential. Build an emergency fund to cover potential repairs, maintenance, and unforeseen financial challenges that may arise after purchasing your home. A robust financial safety net provides peace of mind and protects your investment. 6.CONSULTING WITH FINANCIAL PROFESSIONALS: Seeking guidance from financial professionals, such as mortgage advisors and financial planners, can provide valuable insights tailored to your specific situation. These professionals
can help you understand the intricacies of your financial landscape, optimize your budget, and make informed decisions as you progress towards homeownership. By thoroughly understanding your financial landscape, you lay the foundation for a successful home buying journey. This proactive approach not only enhances your eligibility for favorable mortgage terms but also empowers you to make informed decisions that align with your long-term financial goals. As you master the nuances of your financial situation, the path to unlocking the door to homeownership becomes clearer and more attainable.
NAVIGATING THE PRE-APPROVAL PROCESS Securing a mortgage pre-approval is a pivotal step on the road to homeownership. This process not only streamlines your house hunting but also signals to sellers that you are a serious and qualified buyer. Here’s a comprehensive guide to navigating the pre-approval process with confidence: GATHER NECESSARY DOCUMENTATION: Prepare the documentation needed for the preapproval process. This typically includes proof of income (pay stubs, tax returns), employment verification, credit history, and details about your assets and debts. Having these documents organized and readily available streamlines the process.
RESEARCH LENDERS AND MORTGAGE PRODUCTS: Explore different lenders and mortgage products to find the right fit for your needs. Compare interest rates, terms, and any additional fees associated with each option. Consider reaching out to multiple lenders to obtain pre-approval offers and choose the one that aligns best with your financial goals.
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SUBMIT A PRE-APPROVAL APPLICATION: Once you’ve selected a lender, submit a preapproval application. This involves providing the gathered documentation and consenting to a thorough review of your financial history. The lender will assess your creditworthiness and financial stability to determine the mortgage amount for which you qualify. UNDERSTAND THE PRE-APPROVAL LETTER: Upon successful review, the lender will issue a pre-approval letter. This document outlines the approved loan amount, interest rate, and other pertinent details. It serves as a powerful tool when house hunting, demonstrating to sellers that you are a credible and prepared buyer. SET REALISTIC EXPECTATIONS: While a pre-approval letter is a significant step, it’s important to set realistic expectations. The pre-approval amount is the maximum the lender is willing to offer, but it’s crucial to evaluate your personal budget and comfort level. Consider factors such as lifestyle, ongoing expenses, and future financial goals when determining a realistic home purchase budget. RESPOND PROMPTLY TO REQUESTS: During the pre-approval process, be responsive to any requests from the lender. Timely communication and submission of additional documents, if necessary, keep the process moving smoothly. A proactive approach demonstrates your commitment and cooperation. RENEW OR UPDATE AS NEEDED: Pre-approval letters typically have a validity period, often ranging from 60 to 90 days. If your home search extends beyond this timeframe or if there are changes in your financial situation, work with your lender to renew or update the preapproval accordingly. Navigating the pre-approval process is a strategic move that positions you as a serious contender in the competitive real estate market. Armed with a pre-approval letter, you can confidently explore DECEMBRER 2023
homes within your budget, streamline the buying process, and make informed decisions on the path to securing your dream home.
FINDING YOUR DREAM HOME Embarking on the journey to find your dream home is a thrilling adventure filled with possibilities and the promise of a place uniquely yours. To navigate this stage of the homebuying process successfully, consider the following strategies: 1.DEFINE YOUR PRIORITIES: Begin your house hunting journey by clearly defining your priorities. What features are nonnegotiable? What aspects of a neighborhood matter most to you? Whether it’s proximity to schools, public transportation, or specific amenities, knowing your priorities helps narrow down your search. 2.SET A REALISTIC BUDGET: Your pre-approval amount provides a guideline for your budget, but it’s crucial to set realistic expectations. Consider not only the purchase price but also additional costs such as property taxes, insurance, and maintenance. Striking a balance between your desires and financial capacity is key. 3.UTILIZE ONLINE RESOURCES: Leverage online platforms to explore available properties. Websites and apps provide a wealth of information, allowing you to filter properties based on your preferences. Virtual tours and detailed listings give you a preliminary understanding of homes before scheduling inperson visits. 4.WORK WITH A REAL ESTATE PROFESSIONAL: Collaborating with a real estate professional brings invaluable expertise to your home search. Realtors have access to comprehensive listing databases, market insights, and negotiation skills. They can guide you through the entire process,
from selecting homes to making competitive offers. 5.ATTEND OPEN HOUSES: Open houses offer a firsthand look at properties and provide an opportunity to gauge the feel of a neighborhood. Take advantage of these events to ask questions, assess the condition of the home, and envision yourself living in the space. 6.STAY FLEXIBLE AND PATIENT: House hunting often involves a degree of flexibility. Be open to exploring different neighborhoods or considering homes that may need minor renovations. Patience is key; the right property may not be immediately apparent, but perseverance pays off in the end. 7.CONDUCT THOROUGH INSPECTIONS: Once you identify a potential dream home, schedule a detailed inspection. Inspections go beyond the surface and help uncover any hidden issues. Working with a qualified home inspector ensures that you make an informed decision about the property’s condition. 8.IMAGINE YOUR LIFESTYLE: As you tour homes, imagine your daily life within the spaces. Consider how each property aligns with your lifestyle, both now and in the future. Visualizing yourself in the home helps determine if it truly resonates with your aspirations. 9.EVALUATE RESALE POTENTIAL: While buying a home is a personal decision, considering the resale potential is prudent. Life circumstances may change, and a property with strong resale value provides flexibility for future transitions. 10.SUBMIT COMPETITIVE OFFERS: When you find the home that feels just right, work with your real estate professional to submit a competitive offer. This involves a strategic balance between expressing your interest and negotiating favorable terms. Your pre-approval strengthens your position in negotiations.
combines practicality with emotion. By understanding your priorities, collaborating with professionals, and approaching the process with patience, you’ll be well-equipped to navigate the intricacies of the real estate market and unlock the door to homeownership.
CONCLUSION As you embark on the exciting journey of unlocking the door to homeownership, mastering the first steps is crucial for a successful and fulfilling experience. From understanding your financial landscape to navigating the pre-approval process and finding your dream home, each step shapes your path towards a place to call your own. Whether you’re a first-time buyer or a seasoned homeowner, the process is a blend of practicality, vision, and the joy of discovering the perfect home. Are you ready to turn the key to your dream home or navigate the complexities of selling your property in Riverside, California? Briana Frazier is your dedicated partner in the real estate journey. With a commitment to client satisfaction, local expertise, and a passion for helping individuals achieve their real estate goals, Briana is here to guide you every step of the way. Contact Briana Frazier for Expert Real Estate Assistance! Briana brings a wealth of knowledge about Riverside’s real estate market, a personalized approach to client needs, and a dedication to making your real estate dreams a reality. Whether you’re buying, selling, or investing, Briana Frazier is your trusted resource in the Riverside real estate landscape. Your dream home or successful property sale awaits with Briana Frazier by your side. Contact her today and let’s navigate the Riverside real estate market together. Your aspirations are within reach, and Briana is here to make them a reality.
Finding your dream home is a journey that DECEMBER 2023
FRAZIER GROUP REALTY
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DECEMBRER 2023