VA: You Served Us, Let Us Serve You

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What is a VA Loan?

A Department of Veterans Affairs loan  is a special loan available to veterans, members of the military and surviving spouses of veterans. Unlike conventional loans, fees are limited by the government on a Veteran Loan, and no private mortgage insurance is required. VA Loans are available as a Fixed-Rate MortgageAdjustable Rate Mortgage, or a Home Refinance. Refinance up to 100% of your home, or purchase a new home.

What do you need to be eligible?

According to the U.S. Department of Veteran Affairs, “You must have suitable credit, sufficient income, and a valid Certificate of Eligibility (COE) to be eligible for a VA-guaranteed home loan. The home must be for your own personal occupancy. The eligibility requirements to obtain a COE are listed below for Service members and Veterans, spouses, and other eligible beneficiaries.”

Steps for buying with a Veteran loan:

  1. Contact your local lender to see what Veteran loan options they have.
  2. Get a certificate of eligibility
  3. Find a home of your liking and sign a purchase agreement
  4. Apply (get pre-approved in step 1 or 2)
  5. Wait for the loan to be processed and approved
  6. Close and enjoy your new home!

If you would like more information about our VA Loan program, feel free to call us NOW at (858) 500-4638 or apply here

 

U.S. Department of Veteran Affairs: http://www.benefits.va.gov/homeloans/purchaseco_eligibility.asp

 

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Tips for Getting Your Home Ready to Sell

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Today’s real estate market is swarming with great deals, especially here in San Diego. As you are preparing to sell your home, what are the most important factors in determining how long you will wait to get a bite? What are some of the things that you can do to improve the chances of selling within the first year? Obviously, you want to get what you put into it, and then some.

So, that being said, what’s next?

First, you should find out what exactly your home equity is, and then take up to 20% off of the price. Once this happens, there will be multiple bids all increasing the price of what you are asking.

Advice:

When your broker sets up an open house or walk through, you want to make sure that you turn up the light! Make your house cheery and welcoming. Have your belongings tidy and organized, no one likes a messy house—that is of course if it is not their own.

What is one of the biggest factors when choosing a home?

SPACE! A tip to open up some space and make your house look more roomy is to clear out unnecessary items from your bathrooms, closets, and cabinets.

Turn OFF:

Pets are not what a potential buyer wants to see when walking through their future house. Their hair gets stuck everywhere and whether you know it or not, it smells. Make sure they have a place to go if you have buyers coming by to check out your crib.

Always remember: the first impression is the only impression. This is the only chance you will get to show your stuff and gain a potential bid. We hope that these tips will help you when you are selling your home. Good luck!

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Cash Out and Win Big

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Since we have been discussing when to refinance, we thought it might be helpful to talk about a cash out refinance and whether the consumer—you—should pursue a new home loan.

If you have done your research, you know that if you have a good amount of equity in your home it can be beneficial to you as a homeowner to do a cash out refinance because it allows you to turn that equity into cash money. If that sounds like something you’re interested in pursuing, read on.

So just what is a cash out refinance?

A cash out refinance involves taking out a new home loan that is higher than what you currently pay. The benefit of this is that whatever the difference is between the old loan and the new loan will be given to you in cash. So, say you have a home worth $400,000 that you currently owe $300,000 on.  If you decide to go with a cash out refinance, you could receive a portion of the $100,000 in home equity that you have in actual cash.  If you wanted to take out $20,000 in cash, that would then be added onto the principal of your new loan, so keep that in mind when deciding how much to take out.

When should I use a cash out refinance?

Cash out refinances are good for a number of situations. If you are in a bind with a large purchase or investment, interested in lowering your monthly debt payments, or other financing options are just too expensive then cash out is the perfect solution for you. There is no catch, you can use the cash for anything you’d like.

Interested in learning more about cash out refinances? Call us now at (858) 500-4638 or fill out an online contact form!

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“Do it Yourself” Home Improvement Made Easy

Do you ever start on a home  improvement project and then become overwhelmed with the amount of work that goes along with it? Starting a new garden or retiling your kitchen may not be the best thing to begin unless you have a plan of execution. Sometimes we overextend ourselves and become weighed down by the task at hand.

The DIY network has created some great home improvement tips that are super simple and step-by-step to keep you in charge with the project that you set out to accomplish! Check out awesome videos, pictures and how-to guides here to knock those home projects out with ease: http://www.diynetwork.com/how-to/topics/home-improvement

What are some of your DIY home improvement projects? We would love to hear them!home-improvement-DIY-projects

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Should You Refinance…Again?

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Is refinancing your mortgage a good idea in the long run? Sometimes consumers are hesitant to refinance because they have heard that doing so can negatively affect your mortgage. This can be true if you are stuck with paying origination fees and thus are not able to make your mortgage payments. However, refinancing can be a blessing in disguise for many homeowners, saving you more than you are paying in fees and mortgage over the long term.

When thinking about refinancing your loan, you want to make sure that it is beneficial to you instead of hurting you financially. The rule to go by with refinancing is: if it takes an entire percentage off of your interest rate then GO FOR IT! On the other hand, if it only is going to save you a quarter of a percent on your interest rate then you want to consider keeping your current loan.

How often SHOULD you refinance?

The trouble with this is that every time you take out a new mortgage loan– whether as a refinance or not – you’ll be paying origination fees, which typically range from 3-6% of the loan amount.  You can choose to either pay it up front or, as most people prefer, have it added to your loan payments. This sometimes leads to you paying more money than it is worth. However, the main idea behind a refinance is that it should be saving you more than you are paying in fees.  You won’t see these savings immediately, but over the long term they can add up to a greatly subtracted rate.

Here is a breakdown of potential savings with refinancing:

If your mortgage is around $200,000, and you decide to refinance every 6 months, that’s an extra $6000 at minimum in fees that you’re paying on top of your mortgage. If that refinance saves you $100 in mortgage payments, it could take you over 5 years in payments before you break-even.  But if it saves you $150 a month, you could reach your break-even point in less than 3.5 years.

Ultimately, you should refinance your mortgage as often as it makes worthwhile financial sense to you.  If you can make the payments work, and it helps you save in the long term on mortgage payments, it’s absolutely worth considering.

Give us a call today at (858) 500-4638 if you have questions or are interested in refinancing!

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Guide for First Time Home Buyers

One of the most difficult decisions you will make in your lifetime is choosing a place that you will call “home.” Whether searching for yourself or your loved ones, you must consider all of your options with time and attention. To make things a little easier on you, Global Equity Finance has created five basic principles that you should seek out when purchasing your first home.

  1. First, decide what type of home you are looking to purchase whether it be dependent on size, location, front or backyard space, single or double story, condo, or a multi-family home. The most common concern with consumers is whether to purchase a small space for an individual or couple, or to invest in a larger space to accommodate a potential family. The neighborhood of your new home is also an important factor because it can greatly impact your decision to buy as well having the capacity to influence your home value in the long run.
  2. When searching for your dream home it is important to keep in mind what you are able to spend. Like the popular saying, “Don’t bite off more than you can chew,” as a buyer you never want to spend more than you can afford. The asking price of your new home is important, but other factors such as property tax, insurance, Home Owners Association, and improvements to your house should also be taken into consideration.
  3. Once you have considered the style and price, your next step is for a real estate agent to find a home that best suits your wants and needs. The process of purchasing a home can be a bit chaotic, but that’s why you have an agent who is experienced to guide you through the process.
  4. When you have finally made an offer on your future home, that is when escrow comes to play leading to the closing process. It is just a waiting game until you are finally able to call this house your home!
  5. Last but not least, it is time to celebrate! The most important thing is to enjoy this milestone in your life! Cheers, to your new home!

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