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You Must Be Pre-Approved Before You Make An Offer To Purchase Your Dream Home...


Why Getting Pre-Approved Should Be Your First Step

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Thinking About Buying Your Dream Home? Important To Know Your Credit Score...

Thinking About Buying? Know Your Credit Score

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The #1 Reason To List Your Home Today! Would you Sell Your Home For The Right Price???

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HOME PRICES CONTINUE TO RISE YEAR OVER YEAR IN SOUTHERN CALIFORNIA...

Home Prices Up 7% from Last Year

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WHY THE FEDS REQUIRE SO MUCH PAPERWORK TO GET A HOME MORTGAGE IN TODAY'S MARKETPLACE?

Why Is There So Much Paperwork Required to Get a Mortgage?

Why Is There So Much Paperwork Required to Get a Mortgage? | MyKCM

Why is there so much paperwork mandated by the lenders for a mortgage loan application when buying a home today? It seems that they need to know everything about you and requires three separate sources to validate each and every entry on the application form.

Many buyers are being told by friends and family that the process was a hundred times easier when they bought their home ten to twenty years ago.

There are two very good reasons that the loan process is much more onerous on today’s buyer than perhaps any time in history.

1. The government has set new guidelines that now demand that the bank proves beyond any doubt that you are indeed capable of paying the mortgage.

During the run-up to the housing crisis, many people ‘qualified’ for mortgages that they could never pay back. This led to millions of families losing their home. The government wants to make sure this can’t happen again.

2. The banks don’t want to be in the real estate business.

Over the last seven years, banks were forced to take on the responsibility of liquidating millions of foreclosures and also negotiating another million plus short sales. Just like the government, they don’t want more foreclosures. For that reason, they need to double (maybe even triple) check everything on the application.

However, there is some good news in the situation.

The housing crash that mandated that banks be extremely strict on paperwork requirements also allowed you to get a mortgage interest rate around 4%.

The friends and family who bought homes ten or twenty years ago experienced a simpler mortgage application process, but also paid a higher interest rate (the average 30-year fixed rate mortgage was 8.12% in the 1990s and 6.29% in the 2000s).

If you went to the bank and offered to pay 7% instead of around 4%, they would probably bend over backward to make the process much easier.

Bottom Line

Instead of concentrating on the additional paperwork required, let’s be thankful that we are able to buy a home at historically low rates.

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Winter In Souther California...Warm & Sunny...5 Reasons To Sell Your Home This Winter!


5 Reasons to Sell This Winter!

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IS IT TOO EASY TO GET A HOME MORTGAGE TODAY?

Bubble Alert! Is it Getting Too Easy to Get a Mortgage?

Bubble Alert! Is it Getting Too Easy to Get a Mortgage? | MyKCM

There is little doubt that it is easier to get a home mortgage today than it was last year. The Mortgage Credit Availability Index (MCAI), published by the Mortgage Bankers Association, shows that mortgage credit has become more available in each of the last several years. In fact, in just the last year:

  • More buyers are putting less than 20% down to purchase a home
  • The average credit score on closed mortgages is lower
  • More low-down-payment programs have been introduced

This has some people worrying that we are returning to the lax lending standards which led to the boom and bust that real estate experienced ten years ago. Let’s alleviate some of that concern.

The graph below shows the MCAI going back to the boom years of 2004-2005. The higher the graph line, the easier it was to get a mortgage.

Bubble Alert! Is it Getting Too Easy to Get a Mortgage? | MyKCM

As you can see, lending standards were much more lenient from 2004 to 2007. Though it has gradually become easier to get a mortgage since 2011, we are nowhere near the lenient standards during the boom.

The Urban Institute also publishes a Home Credit Availability Index (HCAI). According to the Institute, the HCAI:

“Measures the percentage of home purchase loans that are likely to default—that is, go unpaid for more than 90 days past their due date. A lower HCAI indicates that lenders are unwilling to tolerate defaults and are imposing tighter lending standards, making it harder to get a loan. A higher HCAI indicates … it is easier to get a loan.”

Here is a graph showing their findings:

Bubble Alert! Is it Getting Too Easy to Get a Mortgage? | MyKCM

Again, today’s lending standards are nowhere near the levels of the boom years. As a matter of fact, they are more stringent than they were even before the boom.

Bottom Line

It is getting easier to gain financing for a home purchase. However, we are not seeing the irresponsible lending that caused the housing crisis.

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CARLSBAD CA REAL ESTATE UPDATE FOR WEEK ENDING NOV 27 2017

The City Of Carlsbad Real Estate Update...

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Why Are Home Prices Increasing Significantly In Southern California?

The Real Reason Home Prices are Increasing

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The Truth About Home Affordability...

2 Charts That Show the Truth about Home Affordability

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You Will Be Surprised How Much House You Can Now Afford with Extremely Low Mortgage Rates...

Low Interest Rates Have a High Impact on Your Purchasing Power

According to Freddie Mac’s latest Primary Mortgage Market Survey, interest rates for a 30-year fixed rate mortgage are currently at 3.92%, which is still near record lows in comparison to recent history!

The interest rate you secure when buying a home not only greatly impacts your monthly housing costs, but also impacts your purchasing power.

Purchasing power, simply put, is the amount of home you can afford to buy for the budget you have available to spend. As rates increase, the price of the house you can afford will decrease if you plan to stay within a certain monthly housing budget.

The chart below shows what impact rising interest rates would have if you planned to purchase a home within the national median price range, and planned to keep your principal and interest payments between $1,850-$1,900 a month.

Low Interest Rates Have a High Impact on Your Purchasing Power | MyKCM

With each quarter of a percent increase in interest rate, the value of the home you can afford decreases by 2.5% (in this example, $10,000). Experts predict that mortgage rates will be closer to 5% by this time next year.

Act now to get the most house for your hard-earned money.

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BUYING YOUR DREAM HOME MAKES MORE FINANCIAL SENSE THAN RENTING A HOME...

The Cost of NOT Owning Your Home

The Cost of NOT Owning Your Home | MyKCM

Owning a home has great financial benefits, yet many continue to rent! Today, let’s look at the financial reasons why owning a home of your own has been a part of the American Dream for as long as America has existed.

Zillow recently reported that:

“In reality, buying or renting a home is an intensely personal decision, with emotional and even financial considerations that go beyond whether to invest in this one (admittedly large) asset. Looking strictly at housing market numbers, there is a concrete point at which buying a home makes more financial sense than renting it.”

What proof exists that owning is financially better than renting?

1. We recently highlighted the top 5 financial benefits of homeownership:

  • Homeownership is a form of forced savings.
  • Homeownership provides tax savings.
  • Homeownership allows you to lock in your monthly housing cost.
  • Buying a home is cheaper than renting.
  • No other investment lets you live inside of it.

2. Studies have shown that a homeowner’s net worth is 44x greater than that of a renter.

3. Just a few months ago, we explained that a family that purchased an average-priced home at the beginning of 2017 could build more than $48,000 in family wealth over the next five years.

4. Some argue that renting eliminates the cost of taxes and home repairs, but every potential renter must realize that all the expenses the landlord incurs are already baked into the rent paymentalong with a profit margin!!

Bottom Line

Owning a home has always been, and will always be, better from a financial standpoint than renting.

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The Cost of RENTING vs. BUYING...

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Home Buying & Selling By Generation...

What Generation Do you and Your Family Belong Too???

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Existing Home Sales Slowed by a Lack of Listings For Buyers...

Existing Home Sales Slowed by a Lack of Listings For Buyers...

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Southern CA Homes Continue To Increase In Value Due To Low Inventory...

Low Inventory Causes Home Prices to Maintain Fast Growth

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Your Home May Not Appraise At A Value You Think It Is Worth...

Homeowners: Your House Must Be Sold TWICE

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Start Your Home Renovations Now...To Sell In The Spring...

Top 4 Home Renovations for Maximum ROI...

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Access To Your Home For Buyers...Can Be More Important Than Price...

Access: A Key Component in Getting Your House SOLD!

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For Sale By Owners Don't Save On The Real Estate Commissions...

FSBOs Don’t Save Real Estate Commission

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NOW IS THE RIGHT TIME TO PURCHASE YOUR DREAM HOME...

Your Friends Are Crazy Wrong If They're Telling You Not to Buy

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Tis The Season...12 Great Reasons You Should List Your Home During The Holidays....

12 Reasons to List During Fall & Winter Months
Why Acting NOW Could BENEFIT You… NOW!
1. Inventory of Competition is Lower. Law of Supply and Demand works! Your home stands out with serious buyers who have less to choose from now. Your odds of selling go UP during this time of year. The % of total inventory sold is great during these months.
2. Only SERIOUS Buyers are out in the fall/winter. Fewer people are in the house, yet are more likely to make an offer.
3. Taking Exterior Photos with Holiday Decorations. This can be a big asset before being left with full-on-winter, dead landscaping… and nothing to dress it up!
4. Homes Show Better While Decorated. Fireplaces, evergreens, and scented candles, all add to the beauty inside… when it’s not so pretty outside. This Contrast can cause YOUR home to show BEST NOW.
5. Little Know Fact: It’s perfectly OK to have specific “no showings-times” during the Holidays. In fact, it’s expected. Just because you’re planning a few days of no showings is no reason to not be for sale the REST of the time. “None this weekend” is perfectly OK.
6. Houses Feel More Like “Homes”. Coming in from the cold… some cozy-home-feelings causes emotion you can’t get other time of the year. People are generally just grateful and happier during this time of year. That can equal a Sale since a lot of Buyers buy on emotion.
7. Online Searches Go Way Up. People stay indoors and tend to do more home research online during times they were outdoors over the spring/summer. If you aren’t listed, they can’t find you online. If you don’t play, you can’t win!
8. End of Year Buyers May Even Pay More. End of year buyers may have mental or actual deadlines they want to meet. With less time to negotiate AND fewer homes competing that could = the BEST price for YOU. Often the % of asking price received is statically higher Nov-March.
9. More Day-time Showings mid-November through January. With holiday time-off, daytime showings increase during this time of year leaving your home free for you during evenings and weekends.
10. End of Year Buyers often has an “urgency factor” they must meet. Many employers hire to start January. There are also tax benefits and other urgency factors that may affect Buyers in Nov/Dec. If you don’t list now, you miss those buyers. They’ve already bought before you ever go on the market if you wait until the new year.
11. Late occupancies are common during this time. Many that need to buy by end of year don’t have to occupy right away, allowing a real win-win. They win buying now, and you may be able to negotiate your move for later while taking your profit out now. This happens over the holidays more than any other time of year.
12. Decreased Demand on Vendors means easier quicker closings. Lenders, appraisers, home inspectors, movers and other vendors are less busy during this time of year, resulting more time for YOUR transaction to be smoother & easier. A huge reason to do this NOW rather than with the “crowds”.


Think of the Peace of Mind you’ll have to be “all done” while others are just starting! --- Not listing now could cause you to miss YOUR perfect buyer who needs to buy NOW.

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Feeling ?Stuck In Place"? Should you continue to Rent or Renovate...

Feeling ‘Stuck in Place’? You Aren’t Alone… And There’s Hope!

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Mortgage Interest Rates Are Going Up...Should You Wait to Purchase Your Dream Home?

Mortgage Interest Rates Are Going Up… Should I Wait to Buy?

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YOUR FREE PERSONAL PATH TO THE MLS TO SEARCH FOR YOUR DREAM HOME...

YOUR PERSONAL PATH TO THE MLS TO SEARCH FOR YOUR DREAM HOME...

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7 Great Reasons To Sell Your Home This Holiday Season...

7 Reasons to List Your Home This Holiday Season

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Experts Say We Are Not In a Housing Bubble...

A Housing Bubble? Industry Experts Say NO!

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HIGHER HOME PRICES ARE BRING FAMILIES TOGETHER...

Multigenerational Households May Be the Answer to Price Increases

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HOME PRICES CONTINUE TO RISE ON LOW INVENTORY OF HOMES AVAILABLE TO BUYERS...

Low Inventory Causes Home Prices to Maintain Fast Growth

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Another VA Success Story...Helped Marine Vet Chris & his wife Karen Purchase Their Dream Home near the Beach in Oceanside

Conversion with Nick Dawson VP at First Choice Loan Service discussing our mutual friends Chris & Karen Graves New Beach Condo in Oceanside.  This is New Home Construction and Nick Dawson approved their VA Loan so they could purchase their Dream Home.

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Considerable Buyer Interest in Purchasing a Home...Continued Low Inventory of Available Homes...

The #1 Reason to List Your House, NOW!

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WE CAN HELP YOU FIND YOUR DREAM HOME - WE HELP BUYERS CLOSE ON NEW HOME CONSTRUCTION

Great time to look at New Home Construction. Rates are low, Builders have inventory to sell. New Luxury Home in North San Diego County. This Beautiful Home has a 5/4, 3,606 sq ft, with Granite Countertops, Stainless Appliances, and Upgraded Flooring. To get more info, pictures, pricing and mortgage info go to http://bit.ly/2sujUFw

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PRICES ARE GOING UP…INTEREST RATES ARE LOW…AND DAYS ON MARKET IS GOING DOWN...

PRICES ARE GOING UP…INTEREST RATES ARE LOW…AND DAYS ON MARKET IS GOING DOWN...

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BEAUTIFUL EXECUTIVE HOME COMING SOON TO PRESTIGIOUS CALAVERA HILLS IN CARLSBAD

COMING SOON TO PRESTIGIOUS CALAVERA HILLS...

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THE CARLSBAD REAL ESTATE MARKET IS ON FIRE!!!!

Attention Home Sellers... The Real Estate Market in Carlsbad and all of North San Diego County is on FIRE!!!  We are receiving multiple offers on all of our Listing. 

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REAL ESTATE MARKET UPDATE FOR CARLSBAD CA ZIP CODES 92008, 92009, 92010, 92011

The Real Estate Market in Carlsbad continues to be on FIRE!!!  We continue to have a very limited inventory of homes available for numerous buyers interested in purchasing their Dream Homes. As of Monday the 29th of May, the Median List Price in the City of Carlsbad is $1,092,500. Prices continue to rise. The 224 properties have been on the market for an average of 59 days.  The average DOM/Days on Market continues to go down on average in Carlsbad. 

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Beautiful Executive Home in Prestigious Evans Point - VIDEO

Welcome home to 5142 Frost Avenue in Prestigious Evans Point in Carlsbad, CA. This Beautiful home has views of the rollings hills, city lights, ocean breezes and all the privacy you could ask for. This desirable property is located a short distance from Award Winning Kelly Elementary and Valley Middle Schools, and the new beautiful Sage Creek High School that specializes in S.T.E.M. education.  

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Escrow Wire Fraud Is On The Rise

Great Information from Fidelity Title who is one of our Title and Escrow Partners relative to Wire Fraud.

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MARKETING UPDATE FOR CARLSBAD CA ZIP CODES 92008, 92009, 92010, 92011

ALTOS MARKETING UPDATE FOR CARLSBAD CA ZIP CODES 92008, 92009, 92010, 92011

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HOME PRICES IN CARLSBAD CA CONTINUE TO RISE...

As we enter into the latter months of 2016, the Real Estate Market has tighten and property values continue to rise in all (4) Carlsbad Zip codes: 92008, 92009, 92010, and 92011

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Contact
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Mike Brown

(760) 822-8734

MikeBrownBroker@gmail.com

Find Your Dream Home