Planing on selling your home? This table was create so you could get an idea of who the buyers for your property are and what they can afford. The taxes and insurance are based on homes in the Ventura County - Simi Valley Area. Insurance rates may vary due to different conditions i.e. flooding.
Table 1
Purchase Price | 20% Down Payment | Interest Rate | Monthly Payment | Monthly Taxes & Ins. | Yearly income needed to qualify |
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$300,000 | $60,000 | 6.25% | $1,477.72 | $400.00 | $91,200 |
$400,000 | $80,000 | 6.25% | $1,970.30 | $500.00 | $106,000 |
$500,000 | $100,000 | 6.25% | $2,462.87 | $600.00 | $122,000 |
$600,000 | $120,000 | 6.25% | $2,955.44 | $700.00 | $138,000 |
$700,000 | $140,000 | 6.25% | $3,448.02 | $825.00 | $154,000 |
$800,000 | $160,000 | 6.25% | $3,940.59 | $930.00 | $171,000 |
$900,000 | $180,000 | 6.25% | $4,433.16 | $1,040.00 | $189,000 |
$1,000,000 | $200,000 | 6.25% | $4,925.74 | $1,155.00 | $204,000 |
Table 2
Purchase Price | 20% Down Payment | Interest Rate | Monthly Payment | Monthly Taxes & Ins. | Yearly income needed to qualify |
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$300,000 | $60,000 | 5.50% | $1,362.69 | $400.00 | $88,000 |
$400,000 | $80,000 | 5.50% | $1,816.92 | $500.00 | $103,200 |
$500,000 | $100,000 | 5.50% | $2,271.16 | $600.00 | $117,600 |
$600,000 | $120,000 | 5.50% | $2,725.39 | $700.00 | $133,200 |
$700,000 | $140,000 | 5.50% | $3,179.62 | $825.00 | $150,000 |
$800,000 | $160,000 | 5.50% | $3,633.85 | $930.00 | $162,000 |
$900,000 | $180,000 | 5.50% | $4,088.08 | $1,040.00 | $177,000 |
$1,000,000 | $200,000 | 5.50% | $4,542.31 | $1,155.00 | $193,000 |
I love this market. I love Real Estate!. My great grandfather moved to Los Angeles in 1882 from Ireland. His first job was to drag a log down the streets behind a horse to keep the streets flat. He later was part of the fire department and the police department and his job was cut short by his wife after he caught a woman jumping from the second floor of a burning building and broke both his arms. At that point he got into Real Estate, into the rental business. The rest is history. Each generation of Mackels have made their mark on the real estate market in southern California since. My rich family history has proven this fact - Real Estate goes up and it goes down but it goes up more than it goes down over the course of time.
Are You a Contrarian? If you are, then you should be out buying right now.
As defined by http://www.investopedia.com/ Contrarian - An investment style that goes against prevailing market trends by buys assets that are performing poorly and selling when they perform well.
We are in a time where the contrarians will be out picking up deals on homes and they are the ones that everyone claims were the smart ones for buying homes when the market rises.
Now let's get our heads screwed on straight. We are seeing multiple offers on certain homes, but this does not mean that if you don't get out there tomorrow you are going to lose out on a home. Jumping in line when every one else jumps in line is not contrarian. When there are programs on TV called "Flip this House", then be careful to not get hyped out of a true contrarian purpose.
Take for example my local market (Simi Valley); you will find here that many of my collegues thinking a turn in the Simi Valley home sales market has happened and if you don't get in quick, you'll miss out. Wrong.....let's look at the facts.
Single family detached homes in Simi Valley, closed sales YTD = 109 homes, monthly average = 42 homes. Last year our monthly average was 67 closed home sales per month.
We are off pace and this is good news to contrarians like myself. There are great buys, there are going to be many great home buys and there is absolutely no reason to let homes with multiple offers hype you into thinking the market is going to go racing up tomorrow. Let's make smart home buying decisions in this contrarian haven so we can all reap the rewards of Southern California Real estate.
After 4 years with the coveted "Gold Jacket" I have moved my shingle to Keller Williams Realty in Simi Valley. It was a tough decision, but one that will benefit my clients as I believe that this company is probably the only Franchisor in the business positioned to move with the major paradigm shift that the Real Estate business is going through currently.
The old brokerage models run on razor thin margins and do not foster the kind of comradery which is going to be very important in the coming years. A Keller Williams press release from last year is very telling:
AUSTIN, TEXAS (July 11, 2007) - Keller Williams Realty Inc., announced today that both the Stanford Graduate School of Business and the Yale School of Management have added a Keller Williams Realty Case Study to their core MBA curriculums.
"Case studies are fundamentally teaching materials," Tayan explains. He adds that he anticipates that the most predominant impact of this case study will be a realization among MBA students of the "significant impact that culture can play in the strategy of an organization."
Baron noted, "One of the things I heard from several students was how refreshing it was for them to hear the perspective of a highly effective executive with a leadership style so different from the formulaic one they encounter over and over throughout business school."
This company is growing despite the declines in the real esate market:
"Research shows that the U.S. residential real estate market peaked in late 2005. In 2006 and 2007, the market experienced a two year decline of more than 20 percent in closed units," says Willis. Yet, during that same period, Keller Williams Realty's sales increased 8.4 percent. That means that over the last two years our company's market share has increased by 36 percent nationwide."
"We have been overwhelmed by the positivity of our associates and their willingness to think outside the box to continue growing despite this market," says Mary Tennant, president and COO. "We are optimistic that the trend will continue upward if we give our associates the highest level of support and cutting edge tools."
The business model of open financials to the associates, profit sharing combined with a high level of training and support is not found at the larger real estate franchisors.
Consumers are more educated, more likely to do more research and are depended on technology. It will take forward thinking to stay ahead of the pack in our changing industry. I believe that Yale and Stanford both have shown who they think the emerging company is for the future of the real esate business.
The Simi Valley Senior Center went out as a giant community bonfire. The planned burn took place last Sunday and attracted many spectators. The police department had been using the obsolete building all week as practice for the SWAT team and bomb squad. After the police department had their way with the building it was turned over to the fire department for the grand finale. This spectacular show will make way for a new building to better serve our community.
Montinoring your credit is good. It is necessary today on a semi annual basis to make sure you do not fall victim to identity theft. If you are in the middle of credit rehab, then a daily monitoring service with the ability to pull a fresh consumer report every 24 hours is a must.
The reason why free reports are bad is because when you need to file a dispute with Transunion, Equifax or Experian, they now have 45 days to do their research rather than 30 days. If you are playing the loophole game in credit rehab, this is very important. If you have a problem you want clear up, it is reasonable to get it cleared up a quickly as possible.
There are two types of credit report pulls. One is known as a "Hard Pull" and one a "Soft Pull".
Hard Pull - This is when you apply for credit. This pull (inquiry) will show on your report and after certain numbers of pulls will start to affect your score. Typically if you are shopping for a loan for a home or car, multiple hard pulls within a short time frame will not decrease your score. These pulls will stay on your report for two years before dropping off.
Soft Pull - This is when you as a consumer pull your own report through a thrid party service such as myFICO.com or TrueCredit or order your report directly from Transunion, Equifax or Experian. You can pull daily through a service like TrueCredit and monitor rehab or changes in real time. SOFT PULLS have no (ZERO) impact on your score. In fact they can help your score on Transunion and Equifax. Continual daily soft pulls on TU and EQ will eventually bump off Hard pulls, so if you have too many hard pulls and do not want to wait 2 years for the hard pulls to fall off, you can bump them off early through daily soft pulls. It takes as many as 100 or more soft pulls, but I have seen it work.
Remember FREE REPORTS are BAD. If you cannot afford to pony up the whopping total of $30.00 to get the three reports directly from each Credit Reporting Agency, then you should not be applying for new credit.
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Simi Valley Real Estate Specialist Licensed over 12 years, California DRE 01224852. Dedicated to earning your trust and respect long before I ask for your business. Simi Valley homes for Sale.
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