Zulma Villegas

On July 30, 2009, the new Housing and Economic Recovery Act (HERA) Mortgage Disclosure Improvement Act requirements will go into effect. Certain provisions of the Act require all mortgage lenders and mortgage brokers to help prevent deceptive lending practices and protect consumers by helping them become more informed. We're proud to say these goals align with the responsible lending practices for which Wells Fargo Home Mortgage - the nation's #1 residential mortgage lender* - has long been recognized.

Most of the changes will be transparent to the consumer and real estate agent. The new changes will impact settlement agents, so it is imperative that they have a strong understanding of the requirements of the Act and how they impact the closing process for consumers. Settlement agents will be required to do the following:

--Ensuring all fees impacting the APR are accurately communicated to the lender as soon as fees are identified. Any increase in the APR of more than .125% will require a re-disclosure of the Truth in Lending (TIL) and could delay closing. The re-disclosure requires the consumer be given an additional three (3)-business-day review period prior to closing, after receipt.

--Providing a preliminary settlement statement with accurate fees to the lender, allowing the lender sufficient time to issue a revised TIL disclosure (if necessary) seven (7) business days prior to the scheduled closing date.

--Scheduling signing/closing dates as accurately as possible in order to best estimate prepaid interest and avoid TIL re-disclosures.

Picture this: a 1400 sf single family residence, 3 bdrm, 2 bath, dried up front lawn, located in Anaheim drew in 63 offers before accepting an all cash offer for $320,000. And that, my friends, was actually $21,000 over asking price. The home actually sold for $608,000 during the peak of the market over 2 years ago.

The reality is that for months, all agents have been experiencing multiple offers on bank owned properties for quite some time now. And with the current moratorium in place, it looks as if it's going to continue. In fact, properties in Orange County priced below $300,000 commonly receive 10-20 offers. And condos under $200,000 are enjoying the all cash offers.

Last year my husband had a fantastic listing on a corner lot in the Mesa Verde area of Costa Mesa. That property drew in 33 offers in less than a week. That home had some nice upgrades (loved the river rock in the bathroom), large corner lot, and the highly sought after school district. That was the first listing we received in which we literally had to cut off offers after a specific date because they all started to look the same after a while. All buyers had FICO scores over 730 with 30% down, most offering asking or slightly above asking price.

The low asking prices on homes is drawing back former Orange County residents that had moved to cities in Riverside and San Bernardino Counties in search of affordable housing during the peak housing market. Unfortunately, many of these well qualified buyers are making several offers before they actually get one accepted.

Through the C.A.R. Housing Affordability Fund's Mortgage Protection Program, first-time home buyers who lose their jobs due to layoffs may be eligible to receive up to $1,500 per month, for six months, to help make their mortgage payments. A qualified co-buyer also can participate in the program, and receive a monthly benefit of $750 per month for up to six months. Program benefits also include coverage for accidental disability and a $10,000 death benefit.

For more information including eligibility requirements please visit

www.car.org/aboutus/hafmainpage/carhafmortgageprotection/

New to Orange? Zulma's Favorite Spots in the OC- Salon Gabriel Anthony

If you're new to Orange and in need of a great new salon then Salon Gabriel Anthony is your best bet. Although I've lived in Orange County for three years now, I still hadn't found a stylist or salon that I absolutely loved. That is of course, until I found Salon Gabriel Anthony which I absolutely love!

I actually found Salon Gabriel Anthony by accident while having lunch in Old Town Orange in December 2008. I was looking for a former builder that was now gone and in it's place was this hip new salon. I walked in and was greeted by the owner, Gabriel Anthony, who was kind enough to let me know where the previous tenant had gone. Unhappy with my current cut I looked around this gorgeous salon and scheduled an appointment with Gabriel.

I walked out of that salon a week later with an absolutely perfect bob and a salon I love. The salon itself is hip and trendy and a welcome addition to historic Old Town Orange. The owner, Gabriel, is absolutely fantastic. He strives for perfection in everything he does and is committed to giving his clients the best possible style, service and atmosphere.

Salon Gabriel Anthony is located in historic Old Town Orange, on the corner of Glassell and Almond. For more information call (714) 532-1332

Technology is definately changing the way we work, socialize, shop and even date. And for those of us that don't catch on to all the new technology we can get left behind. No other industry in the world is more impacted by all this new technology than real estate. It impacts the way we enter and market our listings in the MLS to the way we receive potential leads. Agents in their 20 somethings have no problem catching on to all the new websites, MLS changes, supra keys or cell phones. But for those of us that are part of Generation X (like me) or the Baby Boomers (think your grandparents), some of the new technology can be somewhat frustrating. But many agents are still struggling to maintain a successful real estate career in today's market.

The reality is, in order to keep up with todays' generation of buyers and sellers, Generation X & Y, you definitely need to keep up with technology in order to effectively do business with them. Afterall, Gen Y numbers nearly over 70 million and they are completely tech savvy. They're all armed with Blackberrys, laptops, iPhones, among many other gadgets. And trust me, they're plugged in 24/7.

Yet early in my real estate career, I had taken a course from a very successful real estate mentor that said, "Text messaging and email are for losers. Rain makers use the telephone." So that message stuck and I vowed never to use those two mediums to communicate with clients, after all I wanted to be a rain maker.

Now, I myself am from Gen X but didn't initially utilize technology in my initial contact management system. As my database grew, I started helping a lot of young families or singles in their mid twenties and thirties and came into a rude awakening. Although my initial contact with them was always either face to face (from an open house) or on the phone, I eventually started receiving emails and text messages by them from the handful. And when dealing with Gen Y, believe me they expect instant communication. They all have Blackberry's and iPhones and expect their Realtors and lenders to have the same. If I didn't respond to them within 10-15 minutes they started calling. So I did what my clients did. If they text, I text...if they email I email...if they IM, I IM....if they add me as a Friend on Facebook..I accept. OH and on occassion I Tweet. And you know what? That type of communiaction is not for losers...it's for those of us that want to keep up with todays generation of consumers. Think about it. Look at the facts:

• 97% own a computer
• 69% have a Facebook account and typically logon twice a day
• 76% use instant messaging
• 92% of those reported multitasking while IMing.
• 94% own a cell phone
• 56% own an MP3 player

So trust me, baby boomers, jump on the band wagon, talk to your grandkids, take classes or do whatever it takes to learn today's technology. If you don't, you leave, you'll be left in the dust.