First-Time Home Buyers: Don't Overlook This Step!

Most home buyers go through the experience of buying or selling a home only a few times in their life. Add to that the fact that those events are separated by a span of several years and it’s easy to forget the myriad of details involved. That’s where an experienced real estate agent proves an invaluable guide through the world they navigate every day. If you’re a first-time buyer, don’t attempt this journey alone!

Important First Step

In my many years as a real estate agent in Orange County, probably the most critical step I’ve seen first time home buyers overlook is the pre-qualification or pre-approval stage of the lending process. Knowing up front what type of loan and amount your lender will approve for you can really make or break your successful search for a home.

Why Pre-qualify or Pre-approve?

In this competitive real estate market where cash players and even multiple bids are common, sellers are more likely to consider buyers who come to the table with their financing prepared. Until you’ve talked to your lender, you won’t have defined that important piece of the home buying process.

It is actually preferable to get pre-approved for a loan rather than pre-qualified -- it involves gathering more detailed financial information and in some cases may even involve running a credit report. When you have a letter from your lender stating that you are pre-approved for mortgage financing, you put yourself and your agent in a better position for making a legitimate offer on your dream home when you find it.

What Does The Lender Want?

The lending business is based on risk assessment. The lower your risk of defaulting on a loan, the better the rates and terms the lender will offer you. Your risk level is estimated by examining your borrowing habits, credit history, employment history, and amount you’re able to apply to a down payment on the property, to name a few. If you have a lot of debt in relation to your income, outstanding judgments, child support or alimony, or any other financial contingencies, the loan approval process gets trickier.

The Market Is Changing, Are You Ready?

Orange County home sales volume for May was up over 11% compared to 2012, and the median price increased 24% compared to last year.* If you’re thinking of buying soon, talk to your lender and get your financial piece of the puzzle sorted out. Then find a trusted agent and begin your search!

A professional, licensed real estate agent has the experience, the knowledge, and the time and resources to help you find the home that meets your needs and help guide you smoothly through the entire process. For example, my clients not only benefit from my 15+ years’ experience in Orange County real estate, but they also have access to proven trustworthy and reliable lenders, escrow and title companies, as well as contractors and home inspectors. Choose someone who will remain committed to you throughout the journey, and who will treat your search as if it were for their own home.

Nanette Shapiro

(714) 924-0781

nanette.shapiro4@gmail.com

www.homesbynanette.com

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*Source: DataQuick

First-Time Buyer? How to make your Dream Home a reality:

June is upon us: Famous for all the dads, grads, and brides who are celebrating this time of year. College graduates and newlyweds are just starting out in a new life, full of big plans and dreams. Home ownership is usually a major item on their to-do list, but there are often hurdles to overcome on the way to fulfilling this dream.

Hurdle #1: REALITY

Most young adults face a gap between what they want in their first home and what they can realistically find, afford, and be pre-qualified for in their neighborhood of choice.

Before starting out on your home search, write down your list of top features in order of preference. Property location, number of bedrooms and baths, yard size, garage size, single or multi-level, detached house or condominium are all important questions the list should answer. Be prepared to compromise on some points on the list if your search fails to locate a property that miraculously meets every one of your requirements.

Hurdle #2: CREDIT & LOAN PRE-QUALIFICATION

Unless you’re in the position to pay cash for your home, you’ll need to borrow money in order to make the purchase. How much you’re able to borrow, the interest rate and terms of the loans available to you will depend on a number of factors, your individual (or combined in the case of a married couple) credit score being one of them. Your credit score is determined by your history of borrowing and repaying on things like revolving charge accounts, car or school loans, and so on.

Another crucial factor affecting your borrowing power is your ratio of debt to income. Lenders have strict limits on that number, and most borrowers with a ratio of 55% or more will not qualify for a loan, even if they believe they can afford the monthly payment. 

For example, let’s say you’re a newlywed with a combined income of $80,000 and $50,000 in school loan debt. Your income-to-debt ratio is 62.5% and would likely prevent you from qualifying for a mortgage. You can understand now why it’s so important to have your lender pre-qualify you for a loan BEFORE beginning your search: it not only saves time, but it also spares you any disappointment in finding a dream home that is beyond your reach.

A number of internet sites can help you with preliminary loan calculations based on your income, expected down payment on the property, and other factors such as debt and property taxes. The FDIC (Federal Deposit Insurance Corporation) offers some valuable information about credit for consumers here: http://www.fdic.gov/consumers/consumer/ccc/establish.html

Hurdle #3: INEXPERIENCE

Face it, the home buying process can be extremely complicated, time-consuming, and overwhelming, especially for first-timers. A professional, licensed real estate agent has the experience, the knowledge, and the time and resources to not only help you find the home that meets your needs, but to also help guide you smoothly through the process. Choose someone who will remain committed to you throughout the journey, and who will treat your search as if it were for their own home.

Are you ready to search for your first home? I can e-mail you my First Time Buyer Packet for a complete understanding of my services and what to expect from me in helping you navigate your way to owning your first home!

Nanette Shapiro

(714) 924-0781

nanette.shapiro4@gmail.com

www.homesbynanette.com

THE CURB: Where every home sale begins!

"Curb Appeal." You read about this in articles about real estate news, hear about it from realtors and friends who have sold homes before, but what does it all mean? And how does it affect you?

When you drive through a neighborhood, some homes whiz past unnoticed, while others manage to catch your eye, almost forcing you to turn your head for a better look. That’s curb appeal! 

If you’re thinking of selling your home, you definitely want yours to be one of the properties that grab the attention of passers-by. It’s that first impression that can make or break the buyer’s interest and ultimately affect the price they’re willing to offer for your home.

So what is it about these stand-out properties that set them apart from their neighbors?

COLOR

Color is usually the biggest eye-grabber. It could be the color of the structure itself, but you want to be sure that the color is noticeable for all the right reasons! Any exterior color that stands out in the extreme from neighboring properties is likely to be a poor choice. 

Painting your trim chartreuse when most of your neighbors’ homes are painted in muted desert tones is something to avoid! That’s not to say you have to match the neighborhood (unless, of course, HOA codes dictate specific color choices), but you should aim for exterior colors that are both contemporary and harmonious with neighboring properties. Take pictures of neighboring homes with you to the paint store to help with decision making, or ask your professional painter or paint supplier for guidance.

LANDSCAPE

Landscape is the second biggest visual element that gets noticed from the street, with color, arrangement, and even the current state of maintenance that affect overall impressions. Are the plants colorful with interesting visual texture? Are they laid out in an organized pattern or flow based on height, form or color? Are they well fertilized and watered? Are they well groomed? Does the front yard look like every other home on the block, or do unique and appealing elements like an arbor, fountain, sculpture, special structural materials or colorful and creative plant arrangements catch your eye and draw you in?

Tend to any overgrown trees and shrubs. Add color that complements the exterior paint in the form of flowers or plants with colorful foliage. Vary the texture of any plants you decide to add to create more visual interest. If you’re unsure about your choices, consult with your local plant nursery and bring photos of your property to give them an idea of what your landscape already has.

DETAILS

Finer details on the front of your property really become critical when you’re ready to show the house to prospective buyers. As a buyer approaches the front door, what they see along the way will reinforce the initial impression they felt from the curb. That’s where peeling paint, weathered door hardware, dirty windows and walkways, a cluttered porch area, sagging rain gutters, loose shingles or house numbers, worn out mailboxes, spent blossoms and dead leaves or debris will make the whole house feel very unappealing.

LIGHT

You also want to consider how your home looks after dark, since showings to prospective buyers don't necessarily stop when the sun goes down. Is the front porch well lit? Are there landscape lights to accentuate features like dramatic plant shapes, shadows, architecture or other focal points? Do you have lights on inside every room to create an inviting living environment?

Your real estate agent or even a professional home stager can be an invaluable resource for helping you pinpoint the areas that need attention prior to showing your property.  

Feel free to call me for a complimentary consultation on your home’s curb appeal. If you think you might be ready to sell your home, know that expert home staging to maximize the appeal to buyers is also included in my services for every client.

Nanette Shapiro

(714) 924-0781

nanette.shapiro4@gmail.com

www.homesbynanette.com

The links in this article are not an endorsement of the featured programs and services but are meant only to serve as an example.

Memorial Day Weekend Kicks Off Yorba Linda Summer Fun

Yorba Linda summer fun kicks off Memorial Day weekend!

Memorial Day Weekend kicks off the unofficial start of the summer season. With only a month left in the school year, it’s time to map out your plans for the summer!

Yorba Linda residents really do have the best of southern California fun right in their own back yard.  Besides the usual Orange County attractions like theme parks, beaches, shopping districts and historical points of interest, Yorba Lindans can also choose from hundreds of enrichment programs and activities for children, teens, adults and seniors through the city’s library, parks & recreation department, and other area merchants and organizations.

There are also programs available in the neighboring communities of Anaheim Hills, Brea, Placentia and Fullerton. (See list below). These summer-time activities fill up quickly, so check the listings and sign up soon!

Another summer highlight in Yorba Linda is the city’s July 4^th celebration and fireworks display at Veterans/Valley View Sports Park. The festivities begin in the afternoon with picnics on the grass, live music and dancing, and food concessions through the early evening. The event culminates with a thrilling patriotic musical and pyrotechnic display.

Beginning mid-July, the city hosts Concerts in the Park on Sunday evenings, featuring local musical groups at the Hurless-Barton Park amphitheater.  You can spread out a picnic on the grass, toss a Frisbee, sing along and dance to music on a warm summer night.

This year, on July 26th the Yorba Linda Chamber of Commerce hosts the "Taste of Yorba Linda." This annual showcase event offers attendees a sampling of all the delicious dining destinations available to enjoy in the city.

With so many fun and interesting activities to choose that are so close to home, it’s no surprise that summer “stay-cations” have become very popular among Yorba Linda residents! 

Thinking of moving to the area? Feel free to call me with your questions about neighborhoods, schools, activities or anything else your family might need. I’ve lived in this wonderful city for over 15 years and would love to talk to you about it!

Nanette Shapiro

(714) 924-0781

nanette.shapiro4@gmail.com

www.homesbynanette.com

YORBA LINDA

Area Businesses & Organizations

Art classes

Boys & Girls Club

Equestrian camps and classes

Fitness gyms, classes, boot camps

YMCA

Youth Sports & Leagues -- Aquatics, baseball, basketball, bowling, football, golf, gymnastics, hockey, ice skating, lacrosse, martial arts, tennis.

City of Yorba Linda

Black Gold Municipal Golf Course

Par 72 Golf Course

Junior Golf Camps

Lighted Driving Range

Private Lessons

Tournaments

Department of Parks & Recreation Summer Activity Guide 2013

Animals:

Dog Training & Obedience

Dance:

Youth, Teen, Adult, Senior -- Ballet, Ballroom, Cheerleading, Hip-Hop, Jazz, Latin, Preschool, Tap, Western

Day Camps:

Adventure Playground – Popular day camp where kids can enjoy being kids, build forts, mud pit, water slide, rope swing, whiffle ball, dodge ball, capture-the-flag, squirt gun battles.

Animation

Area Field Trips – Universal Studios, Knott’s Berry Farm, Beach, Mall Shopping & Movies, Bowling, Mini Golf, Baseball Game, Raging Waters, Orange County Fair

Art

Chess

Legos

Preschool

Science

Sports -- Baseball, basketball golf, multi-sport, soccer, tennis, volleyball

Special Themes -- Harry Potter, Star Wars

Education:

Computer skills, foreign languages, math, public speaking, reading, test prep, writing.

Fitness & Sports

Aquatics, bowling, flag football, golf, gymnastics, hockey, ice skating, indoor soccer, kickboxing, martial arts, self defense, tennis, yoga, Zumba.

Music

Yorba Linda Community & Senior Center

Computer Skills

Dance

Fitness

Games -- Bridge, Canasta, Cribbage, Mahjong, Ping Pong, Pinochle.

Troy Club (membership-based, some public programs)

Swim Lessons (public)

Member Family Activities

Club House

Yorba Linda Country Club (membership-based, some public programs)

Camps – Junior golf, tennis (limited space-available public sign-ups; call the Tennis Shop (714) 770-2311 or Pro Shop (714) 779-2467 for details).

Golf – 18-hole championship course, junior golf camps, tournaments.

Member Social Events

Pool – Junior Olympic-size, kids’ swim teams, family swim, public swim lessons.

Tennis – Clinics, league play, lessons.

Yorba LindaPublic Library

Author Lectures & Book Signings

Book Discussions

Children’s Programs -- Pajama-Rama, Family Story Time, Stuffed Animal Sleepover.

Computer Courses

Contests -- Poetry, film/video, creative writing.

Family Funtime -- Puppet Shows, Bubble Show, Animal Shows, Balloons & Jugglers, Music Programs.

Music Exploration

Summer reading programs (all ages)

Teen Activities -- Balloon Art, Cartooning, Board Game Night, Book Discussions, Teen Iron Chef, Short Story Workshop, Talent Show & more.

Writing Workshops

ANAHEIM

Parks & Recreation Guide -- Summer 2013

BREA

Parks & Recreation Guide -- Summer 2013

FULLERTON

Parks & Recreation Guide -- Summer 2013

PLACENTIA

Parks & Recreation Guide -- Summer 2013

This list is not an endorsement of the featured programs and services, and is by no means exhaustive but meant only to serve as a sample of area amenities.

Don't Wait Too Long To Buy!

Mortgage interest rates are still at historical lows. That said, according to Zillow.com, California mortgage rates (as of May 15) have increased 19 basis points just since last week.¹  While it may not sound like much, it could be an indicator that market conditions are beginning to shift. Anyone who has been sitting on the real estate sidelines waiting for the “perfect” time to buy may miss that opportunity if they wait much longer.

WHAT’S A BASIS POINT? AND WHY SHOULD I CARE?

A basis point is equal to 1/100^th of 1%. In terms of interest rates, when you apply even a small increase over thousands of dollars in a typical mortgage, the net effect can mean a significant bump in the monthly payment of principal and interest, and a higher cost for the loan over time. Unless you enjoy paying more for things, you should pay close attention to basis point activity.

Take a look at the chart on the right, created by the California Association of Realtors, and you’ll see a great example of what happens when an interest rate jumps by 50 basis points, or ½ percentage intervals.

WHAT’S HAPPENING WITH PRICES?

In Yorba Linda, Zillow.com reports that home prices are up over 15% compared to the same period in 2012. Furthermore, the city’s 2013 sales volume increase is nearly a full percentage point higher than Orange County as a whole²; Yorba Linda homes are in high demand! Of course, if you read last week’s blog, you already know some of the reasons why.

Even more telling of a possible market shift is DataQuick’s report that Southern California median home prices in April nearly reached a 5-year high.³ 

MAYBE I’D BETTER GET MOVING!

If you think it’s time to get moving before rates and prices move any higher, you may be right. Give me a call if you’re ready to start looking for your next home in Yorba Linda. I’ve lived in this wonderful community for over 15 years and would love to help you find your home here, too!

Nanette Shapiro

(714) 924-0781

nanette.shapiro4@gmail.com

www.homesbynanette.com

¹http://www.zillow.com/mortgage-rates/ca/

^2,3http://www.dqnews.com/Articles/2013/News/California/Southern-CA/RRSCA130514.aspx

Moms ❤ Yorba Linda

MOTHER’S DAY is nearly here in Yorba Linda, and that means a WONDERFUL day of celebration for everyone, especially the city’s nearly 23,000¹ children and their moms. That’s a lot of heartfelt hugs and kisses, hand-drawn cards, flowers, gifts, and just-slightly-burnt-toast breakfasts in bed!  

Many of Yorba Linda’s residents moved here because it is such an ideal place to raise a family. With California’s 24^th-lowest city crime index ranking², award-winning schools, proximity to southern California landmarks and attractions, and quality lifestyle, Yorba Linda’s appeal to families is one of the strongest in Orange County.

Pride of home ownership and a strong sense of community are also cherished qualities of many Yorba Linda neighborhoods. Summertime block parties, neighborhood book clubs, Bunco groups, preschool play groups, and walking and hiking groups are just some of the activities residents enjoy together.

Moms especially, both workforce and stay-at-home types love it here. There are seemingly endless family resources and choices for their children’s enrichment as well as their own within the city boundaries:

Activity Centers - Year-round youth activities and enrichment classes, including fine arts, dance, theater, music, summer camps, and sports.

• Yorba Linda Community Center
• Travis Ranch Activity Center
• Thomas Lasorda Jr. Field House

Annual Community-wide Events

• Eastlake HOA Holiday Boat Parade
• Fiesta Days Parade
• July 4^th Celebration @ Valley View Sports Park

Award-winning Schools

• Placentia-Yorba Linda Unified School District

Equestrian Activities

• Phillip S. Paxton Equestrian Center
• Riding trails throughout the city
• Yorba Country Riders

Golf Courses

• BlackGold Golf Course
• YorbaLinda Country Club

Grocery Stores & Markets

• Albertsons
• Main Street Saturday Farmer’s Market
• Sprouts
• Stater Brothers
• Trader Joe’s
• Vons

Libraries & Museums

• Richard M. Nixon Presidential Library & Museum
• Susanna Bixby Bryant Ranch Museum and Garden
• Yorba Linda Library

Music & Fine Arts

• McCoy Rigby Conservatory of the Arts
• Mosaic Music
• The Music Lab
• Southern California Youth Philharmonic
• Yorba Linda Spotlight Theater

Parent Support Groups

• MOMS Club – Moms Offering Moms Support (Central and East YL)
• North Orange County MOPS – Mothers Of Preschoolers
• North OC Mommies

Parks  & Playgrounds

• Arroyo
• Box Canyon
• Brush Canyon
• Bryant Ranch
• Eastside Community
• Fairmont Knolls
• Hurless Barton
• Jean Woodard
• Jessamyn West
• Las Palomas Tennis
• Roland E. Bigonger
• San Antonio
• Shapell
• Travis Ranch Youth
• Veterans
• Vista Del Verde

Preschools - Huge variety of choices, including non- and for-profit organizations, Montessori, academic and faith-based.

Youth Groups

• Boys & Girls Club
• Boy Scouts
• Girl Scouts
• YMCA
• Faith-based - Most Yorba Linda religious organizations offer family and children’s programs representing many faiths, including Buddhist, Christian, Jewish and Muslim.

Youth & Adult Sports and Outdoor Activities

• Youth Baseball
• Bowling
• Youth Football
• Golf
• Youth Gymnastics
• Hockey
• Ice Skating
• Equestrian
• Youth Lacrosse
• Martial Arts
• Youth Soccer
• Youth Softball
• Swimming
• Tennis
• Walking/Hiking/Biking trails

Thinking about moving your family to Yorba Linda? Feel free to call me if you have questions about the community or would like to begin your search for a home. I’ve lived in this wonderful city for over 15 years and would love to show you around!

Nanette Shapiro

(714) 924-0781

nanette.shapiro4@gmail.com

www.homesbynanette.com

¹2010 US Census http://quickfacts.census.gov/qfd/states/06/0686832.html

²USA.com http://www.usa.com/rank/california-state--crime-index--city-rank.htm

This list is not an endorsement of the featured programs and services, and is by no means exhaustive but meant only to serve as a sample of area amenities.

What Do Home Buyers Want?

LAST MONTH I wrote about getting the most out of your springtime remodeling choices when it's time to sell your home. Some projects make your life more comfortable and convenient, and some will also contribute to a higher selling price later.

But let's say you're going to sell in the near future and want to add some updates to further enhance the appeal of your property. What are buyers looking for in today's real estate market?

Buyers' Wish List

The National Association of Realtors recently conducted a survey of home buyers to learn just what features they look for in their search for a home.

Topping the 2013 list of features:

• Central air conditioning
• New kitchen appliances
• Large clostes
• Extra storage space

Interesting to note, more than half of home buyers undertook an improvement project within three months of their home purchase, and most of those projects were in the kitchen. Also, nearly half of all home buyers felt that a laundry room was an important feature for a property to have.

The next question to ask yourself: How much to spend to fulfill the wish list?

Keeping Up With The Joneses

On April 28, 2013, USA Today's Samuel Weigley reports in his 24/7 Wall St. column that home buyers are "willing to pay for some desirable extras, but they may not be willing to pay as much as you think."

If your soon-to-be-listed property doesn't already boast the "latest and greatest" amenities, think well on the return you'll get for the dollars you plan to spend. It's important to be competitive with the neighbor's house for sale down the street. If their kitchen has granite counter tops, new or updated cabinetry and stainless steel appliances, you would be wise to swap out your old tile counter, worn out cabinet facings and mismatched appliances for new materials and finishes to create a fresher appeal for buyers. You don't have to spend a small fortune, but you should spend smartly!

Save Those Receipts!

Don't forget: Any major improvements you make can potentially be added to your property's basis, which will help you out at tax time. Save receipts and any other project records, and/or consult your tax professional before you start a project if you have any questions or doubts about how to treat the expenses when it comes time to file.

Feel free to call me if you have any questions about the home features popular right now in Yorba Linda or other areas of Orange County!

Nanette Shapiro

(714) 924-0781

nanette.shapiro4@gmail.com

www.homesbynanette.com