Urban Naples Homeownership

2007-08-29T10:42:00.001-04:00

SPANISH

El índice de confianza del consumidor cayo en Agosto/2007 en medio de la volatilidad experimentada por el mercado

financiero,...

Segun reporta Prensa Asociada, la confianza del consumidor, en los E.E.U.U., se debilitó en Agosto cuando los mercados

financieros e inmobiliarios se hicieron sentir, afirmo el martes un grupo de investigación financiera privado.

El groupo New York Base, desde Nueva York dijo que el indice de confianza del consumidor bajo a 105.0, de 111.9 en Julio

pasado, que fue el mas bajo en los ultimos seis años.

A pesar de que este indice esta bajo, era levemente más fuerte que los 104.5 que los analistas de Wall Street habian

presagiado.

“El ablandamiento en las condiciones de negocios y mercados de trabajo ha frenado la confianza de los consumidores, este

mes,” dijo a Lynn Franco, director del Conference Board Consumer Research Center. “Además, la volatilidad tanto en el mercado

financieros y las aflicciones continuadas sobre los prestamos inmobiliarios de alto riesgo, pudo haber desempeñado un papel

en el sentimiento negativo de los consumidores.”

Este examen es seguido muy de cerca porque el consumo representa dos tercios de la economía de los E.E.U.U. y los niveles de

de confianza tienden a influenciar el gasto.

“Esta bajo, pero era lo que se esperaba dado los inconvenientes en el area inmobiliaria,” dijo a Richard Huber, Economista de

A.G. Edwards, de St. Louis. “Esto tiene un gran peso en la reaccion de los consumidores.”

Aunque baja, el resultado del mes de Agosto permite que los planificadores de la Reserva Federal abrir un compas de espera

sobre si cortar los tipos de interés a corto plazo, cuando se reuna el Comité Federal de Mercado Abierto el 18 de septiembre

proximo, dijo Huber.

“Les elimina la opcion de tener que cortar las tasas de interes debido a la fusión en la confianza del consumidor,” agrego el

Economista.

El índice de expectativa (Expectation Index), que mide los sentimientos de los compradores con respecto a las condiciones

económicas, bajo a 130.3 en Agosto, de 138.3 de julio.

El índice de expectativa, que mide la perspectiva de los consumidores en los seis meses próximos, cayó de 94.4 a 88.2.

La evaluacion de los consumidores del mercado laboral, por su parte, se debilitó levemente. Quienes dicen que los trabajos

son “difíciles de obtener” aumentarons al 19.7% en Agosto, de 18.7% el mes anterior. Por el contratos aquellos que dicen el

trabajo es abundante bajo a un 27.5% de de 30.0% en Julio, y los que afirmaron que trabajos no son tan abundantes subieron de

52.8%, a partir de 51.3% el mes pasado.

Los precios de casas en los EEUUU, vistos en un informe separado, bajaron un 3.2% en el segundo trimestre del 2007, el índice

más escarpado de la declinación visto por Standard and Poor, que analiza este indice a nivel nacional desde 1987.

Robert Shiller, economista responsable de este reporte de la firma MacroMarks LLC, afirmo que la declinacion del mercado de

propiedades inmobiliarias, area residencial, no “mostraba ningun signo de desacelerarse.”

La encuesta sobre confianza de consumidor se baso en una muestra representativa de 5000 casas de los E.E.U.U. con las cuales

se midio el sentimiento del consumidor en las actuales condiciones económicas, y la perspectiva del gasto para los seis meses

próximos. En 1985, este indice abarcaba 100 casas.

En la red: http://www.conference-board.org

=============

English

Consumer confidence index drops in August amid financial market volatility, housing problems

NEW YORK (AP) – Aug. 28, 2007 – Consumer confidence in the U.S. weakened in August as volatile financial markets and housing

problems took a toll, a private research group said Tuesday.

The New York-based The Conference Board said that its Consumer Confidence Index, declined to 105.0, from a revised reading of

111.9 in July, which was a six-year high.

Although the index was down, it was slightly stronger than the 104.5 that Wall Street analysts expected.

“A softening in business conditions and labor market conditions has curbed consumers’ confidence this month,” said Lynn

Franco, director of The Conference Board Consumer Research Center. “In addition, the volatility in financial markets and

continued subprime housing woes may have played a role in dampening consumers’ spirits.”

The survey is closely watched because consumer spending represents two-thirds of the U.S. economy and confidence levels tend

to influence spending.

“It was down, but that was widely expected with what’s going on with housing,” said Richard Huber, an economist with A.G.

Edwards in St. Louis. “That’s weighing on consumers.”

While lower, the August reading allows Federal Reserve policymakers to take a wait-and-see approach about cutting short-term

interest rates when the Federal Open Market Committee meets Sept. 18, Huber said.

“It removes their having to cut rates because of a broad-based consumer confidence meltdown,” Huber said.

The Present Situation index, which measures how shoppers feel now about economic conditions, decreased to 130.3 in August

from 138.3 in July.

The Expectations Index, which measures shoppers’ outlook for the next six months, fell to 88.2 from 94.4.

Consumers’ assessment of the labor market only weakened slightly. Those saying jobs are “hard to get” increased to 19.7

percent in August from 18.7 percent. Those saying jobs are plentiful fell to 27.5 percent from 30.0 percent in July and those

saying jobs are not so plentiful rose to 52.8 percent from 51.3 percent.

A separate report released Tuesday said U.S. home prices fell 3.2 percent in the second quarter, the steepest rate of decline

since Standard & Poor’s began its nationwide housing index in 1987.

MacroMarkets LLC Chief Economist Robert Shiller, an architect of that report, said the declining residential real estate

market “shows no signs of slowing down.”

The consumer confidence survey from The Conference Board is based on a representative sample of 5,000 U.S. households to

measure consumer sentiment on present economic conditions and the spending outlook for the next six months. The index was

based at 100 in 1985.

On the net: http://www.conference-board.org

This might be the best time to buy Real Esate

2006-09-21T17:30:00.000-04:00

Here I am with a few good news and some bad news too.

One of the good news is that we in a BUYERS MARKET. The next good news is that SELLERS ARE UNDERSTANDING WHAT A BUYERS MAKERT MEANS. Among the bad news is that there an inventory "mountain" that is hard not to see!.

South West Florida, mainly in the Fort Myers-Estero-Bonita Springs-Naples corridor had a bonanza of development with all kinds of construction going, with the usual mess that all that brings about. Last year, during the Sellers Market (the period defined by greedy sellers and investors flipping homes like pancakes) developers, resellers, as well as listing agents were in a feeding frenzy. They were all asking outreageous prices for their properties. Now they are partiently waiting, and waiting. and waiting for the buyers to show up. Even the ethernal optimist "National Association of Realtors" is recognizing that the market has "slowed down a bit"... that's been an optimist, allright!

In the last couple of weeks, I have seen all kinds of games going on. Listing agents stuck with a bunch of properties, trying to sell them by offering bonuses of all kinds to the surviving bunch of us (the bonuses included a vintage Jaguar, a new Toyota, travel to exotic places and of course CASH$$$$$). Sellers were also trying to put their two cents in the form of seller contributions (sellers paying all buyers closing costs). buydowns (sellers putting some money in the buyers pockets to help them carry their mortgages), and cutting down to more realistic figures their asking prices.

At the same time, Institutions like Banco Popular were opening their doors to undocumented borrowers seeking mortgages. I'm applauding Banco Populars efforts, provided their executive reps were complying with the spirit of Banco Populars vision!.

A side bar of that will be that the other reason why I applaud Banco Populars initiative is simple economics, idiot!
Undocumented aliens are a reality in our society. Nobody can denied that. The chinese build the Great Wall of China to keep invaders from coming in and they did, the Soviets built the Berlin Wall and it falled and people were getting kill trying to go thru it... are we loosing it now?
Undocumented aliens, specially from Central America, are sending billions of dollars to their native countries. Even supporting the economy of these countries. The main reason why they do that is that they feel isolated here and afraid. They want to build something, somewhere. They look at their country of origen as the solution to that. So they send money to build homes or buy businesses there. That's the main reason why they do that. We need to counter that! Good chunk of that money send overseas will stay here given the right opportunities -- one of these opportunities, I'm sure is buying a home. Remember -- my home is my castle; home is where my heart is!

Other lenders were also doing something to entince prospects to buy homes -- decreasing their no doc limitations, decreasing the minimum credit score needed to apply to certain loans, and so for. My conclusion here is that the Housing component of our economy will do just fine!. See the graphics below.

Now, going back to the real estate market. I believe this is the best time to buy. Even for investors. Since the interest rates are not so kosher for most mortals and we need to remember that like 60% of our population have regular to poor credit scores. So people unable to buy a house for this reason, are back as renters in the market. Enter the investor, who now can cover their expenses well and back into the game for good.

Determining values in a cooling market is not easy

2006-09-18T17:58:00.000-04:00

Sept. 18, 2006 -- In cooling real estate markets, it's the hottest question: How do you value a specific piece of property when local home sales are down 20 percent to 40 percent from last year, inventories of unsold homes have ballooned by 200 percent or more, and all the trend lines are pointing negative?

It can be tough. Traditionally, real estate appraisers focused heavily on sales of similar properties -- "comparables" that closed in recent months -- to make their valuations. But that doesn't work well in markets that had been superheated -- prices rising at 1 percent to 2 percent a month -- but are now stalled or falling.

It also doesn't work well in markets where recent closed sales prices often were inflated by incentives provided by sellers to buyers -- contributions to closing costs, for example, "buydowns" of mortgage interest rates and other sweeteners not always on the public record.

"It's getting pretty dicey out there," said John D. Bredemeyer, a residential appraiser and spokesman for the Chicago-based Appraisal Institute, the largest professional group for the industry.

'Just looking at historical data can be perilous. You've got to open up the window and see what's really happening now. You've got to answer the question: `Where are we in this cycle?' And you've got to factor that into your valuation."

Some mortgage lenders and relocation companies now expect appraisers to examine a wide range of data that they never emphasized during the boom years. Gary Crabtree, owner of Affiliated Appraisers, based in Bakersfield, Calif., says that besides the traditional "recent comps," he now factors in at least eight other types of data in reaching the current valuation of a house:

* Pending sales under contract.

* Current listing prices of houses in the area.

* Market supply and demand.

* Length of time unsold on the market for current listings.

* Price reductions or increases on current listings.

* Notices of defaults and notices of trustees' sales.

* Known concessions provided to buyers to facilitate sales.

* Interviews with realty agents on what they're experiencing with sellers and buyers.

Even some of these factors can be tricky, however. For example, Crabtree said in an interview, some realty agents increasingly are playing what he calls "the re-list game." Since multiple listing system data reveals how long each property has been on the market, agents with unsold houses now sometimes cancel the listing -- take the property off the market for a short period of time -- and then list it again with a different price and MLS code.

"Now the house no longer looks like it's been sitting dead in the water for months on end," said Crabtree. "It looks like a new listing," and it's reported in that misleading way in the data that appraisers use to gauge the overall market.

Crabtree said one house he tracked was first listed last October at $299,900. It sat unsold for 122 days. Then the listing agent pulled it out of the system briefly and brought it back as a new listing, but this time at $269,000. When it didn't sell in 30 days, the agent again yanked the listing and reported it as a new one with an asking price of $259,000.

Currently the house is on the market for $229,000, "but it's still not selling."

Crabtree, who holds the Appraisal Institute's prestigious SRA (senior residential appraiser) designation, also is constantly on the prowl for concessions that may have puffed up the price of houses he's using as comparables.

"There's just a tremendous number of them out there right now" -- some of them under the table and tough to detect -- "but they've got to come off the valuation."

In other words, if the recorded contract price on a pending or recently closed sale is $395,000, but the seller is kicking in $25,000 in concessions, the value of the property for comparable purposes is $370,000.

Another emerging challenge for appraisers in cooling markets: Some relocation companies and lenders are asking them not only for current market values, but forecasts of where the property value will be in the coming 60 to 120 days.

Crabtree does that by feeding all the realty data at his disposal into a computer spreadsheet program to produce a linear regression "scatter pattern" chart showing the most probable valuations during the months ahead.

Lately, Crabtree's scattershot trend lines have been pointing down. But like most experienced appraisers, he knows that real estate moves in cycles. Booms typically have been followed by corrections -- but not busts.

The unanswered questions twisting in the wind: Where exactly are we in the current correction phase? And when do prices stabilize and move up again?

John Nunez

e-Xellent Realty, LLC

239-207-8471 (Voice)

866-224-7935 (Fax)

We Make Clients for Life… (c)

5 easy ways to improve your credit

2006-09-13T07:44:00.000-04:00

Q. How can I rebuild my credit if I am having a problem getting a credit card?

A. What a great question. Your situation is not uncommon and there are a few simple things you, and anyone having trouble establishing a good credit history, can do to get your credit back on track. This includes not only people with bad credit, but also people with no credit history at all. Young people, those who pay cash for most purchases, the recently divorced or widowed and immigrants are also among those who may need help with credit.

Here are five suggestions anyone can use to rebuild credit.

1. Get a secured credit card. Secured credit cards report your credit payment history information to the credit bureaus just like a regular credit card. They are "secured" by your money, which you deposit in a FDIC or NCUA insured bank account for this sole purpose. You can get one for free if you look around. Do a search in Google.com or any other Internet search engine for “…secured credit cards”

2. Get a department store card. These cards are often easier to qualify for than a general-purpose bankcard. Be aware though, that they may carry a high interest rate. Be sure to pay your charges on time, and in full, each billing cycle to avoid paying interest. You will still accomplish your goal of building positive credit in your name, with the added bonus of staying out of debt.

3. Give yourself a loan. Open a passbook savings account in a bank or credit union. Then take out a low-interest loan using the passbook as security. The bank will report the loan payment experience to the credit bureaus and your credit will improve.

4. Get a copy of your credit report. If you are being turned down for credit you need to be sure the reason is valid. Many credit reports have errors. With over a billion items a month showing up at each bureau, it's no wonder some end up in the wrong credit report. Dispute any inaccuracies you find.

5. Get a credit report from all three bureaus. Each one may have different information and maybe errors in your file. You can't know which bureau's data will be used to evaluate your credit application, so check them all.

One last suggestion: don't apply for every card offer that comes your way. Each one generates an inquiry in your file. Too many inquiries can hurt your credit.

The thing to remember about your credit report is that time is your best friend, as you keep adding positive information to your credit report over time, any negatives will first be diluted and then begin to recede in importance. They won't drop off completely for seven years in most cases, but they do become less important to future creditors evaluating your credit-worthiness.

I also suggest that you develop a workable budget if you don't have one yet to keep surprise expenses from sabotaging your efforts to rebuild your credit.

John Nunez

Florida Licensed Mortgage Broker

239-207-8471 (Voice)

866-224-7935 (Fax)

We Make Clients for Life… (c)

When you feel ready to search for a home! NOW MAY BE THE BEST TIME!

2006-09-13T07:28:00.000-04:00

Home Search Checklist

Prepared for You by:

John & Grace Nuñez

e-Xellent Realty, LLC

(239) 207-8471 (Cell)

The Real Estate Transaction Components

o Mortgage - Pre-qualification

o Home Acquisition - Agency

Starting the Home Search Process

BENEFITS

o 10 Reasons for Home Ownership

§ Estate Building

§ Rent Money is Burnt Money

§ Get a free ride with inflation

§ Tax advantages—THE BEST!

§ Home ownership gives you security

§ Home Equity building – the domino effect.

§ Improve your credit rating!

§ Price, Taxes, Homeowners Insurance, Condo Fee

§ Lifetime rent payments could pay for more than 4 homes!

§ We are in a BUYERS MARKET.

FINANCING

o 5 Reasons for Pre-qualify

§ You will know exactly in advance what your payments will be.

§ You won’t waste time considering homes you cannot afford.

§ You can select the best loan package without being under pressure. There are multiple options to choose from in today’s market

§ Peace of mind.

§ Your credit score opens the door.

§ Qualification involves applying for a loan.

THE REAL ESTATE PROCESS

o Coordinate best time to inspect homes, talk to Real Estate Agent, talk to Mortgage Broker.

o Your expectations à When do you need to move

o Types of home you’d like

o Location, Location, Location

o Convertibility

o Your Real Estate Agent Work For You! à without YOU PAYING FOR IT!

o Agency

o Your availability to inspect homes.

ONCE YOU FIND WHAT YOU’D LIKE

o Present the offer à Offer a Price (Market Value), Terms, Settlement Company & Date.

o Earnest Money Deposit (Escrow)

o Go over components of the process again:

§ Mortgage Broker

§ Realtor à Listing and Buyer

§ Home Inspector

§ Pest Inspector

§ Home Appraiser

§ Settlement Agent (Attorney)

· Abstract Search à Liens, Encumbrances & Encroachings (Defects) or Variances or Zoning Problems, Assesments.

· Clear Title and Title Insurance

· Settlement Table

· Transfer of Title

· Deed

§ Insurance Agent

o Offer Counter

o Offer acceptance, RATIFICATION

o To Inspect or Not to Inspect, that is the QUESTION? à INSPECT.

o Work with Mortgage Broker à supply necessary documentation.

Credit Score Modeling - How it works?

2006-06-23T15:41:00.000-04:00

Credit Score Modeling
By John Nunez

- The credit score is a measure of various factors involving the consumers use of his/her credit.

This score goes from 350 to 850.

It is generated and maintained by three repositories.
These are known also as Credit Bureaus and they are Experian, Empirica and Trans Union. Their job is to both process and serve as repositories of consumer credit information supplied by creditors like VISA, Master Card, American Express, major store credit cards, mortgage companies, etc.

Their processing side involves "running" the information received from creditors thru a secret
algorithm that produces the credit score.

The five mayor areas in the composition of the credit score are:

1. Payment History = 35%
a. Late Mortgage or rent payments are considered worst cases of bad payment.

2. Outstanding Debts = 30%
In this respect you should:
a. Never close an old trade line (you'll wipe out your credit history!)
b. Pay to ZERO your accounts. These are your best option, but by the same token, never use your credit card as a 30-day pay window.
c. Never go over your assigned limit, you'll be double penalized.
d. Best call == keep your balances between 40%-50% of the available credit limit.
e. Look to increase credit limit (of course, when your account is ZERO or around that area, never when it is maximized!)
f. DO NOT max out your credit line.
g. Reject any mail request to move balances, in order
to keep yours down. Beware of these 'teaser' rates.

3. Length of Credit History = 15%
a. A solid credit history starts in 2 years.

4. Good Credit Source Mix = 10%
Ideally one or more mortgages and 3 revolving lines of credit (like credit cards).

5. Amount of Hard Enquiries = 10%
Repeated credit pulls by creditors (those pesky credit card mail offers that you accepted!).
When shopping for a new mortgage each pull can cost you between 10 and 50 points.

IN SUMMARY:
I. Go to http://www.myfico.com and pull your own credit, before applying for a loan. The request must be, what it is known as tri-merge (scores from the three Credit Bureaus) or a '3-report pull' and it will cost you NO POINTS, but you yourself MUST DO IT, using a credit card with your name to pay for on line.
II. If you are shopping for a mortgage do it in a 14-day limit. Multiple credit pulls done within 14 days will be consider as one.
III. Check your credit at least once a year.
IV. Put your mortgage on auto-payment and make sure the mortgage holder does not charge you for setting this system up.
V. Make pass due accounts current.
VI. Keep your credit account balances between 40% and 50% or below the total available limit.
VII. Use your credit cards at least once a month.
Unused credit cards (idle) will generate a negative score in your credit.
VIII. Never cancel your old revolving credit cards.
IX. Avoid going over the credit limit.
X. Never accept pre-approved credit mail offers.
XI. Do NOT consolidate your accounts.
XII. Never pay your collections, judgments, or other old debts after signing your mortgage loan
application -- do it at least 30 days before that. Be proactive not REACTIVE!

8 Steps to Getting Your Finances in Order

2006-06-19T09:47:00.000-04:00

According to Realtor® Magazine these are the 8 Steps Recommended for Getting Your “House” in Order:

Develop a family budget. Instead of budgeting what you’d like to spend, use receipts to create a budget for what you actually spent over the last six months. One advantage of this approach is that it factors in unexpected expenses, such as car repairs, illnesses, etc., as well as predictable costs such as rent.

Reduce your debt. Generally speaking, lenders look for a total debt load of no more than 36 percent of income. Since this figure includes your mortgage, which typically ranges between 25 percent and 28 percent of income, you need to get the rest of installment debt—car loans, student loans, revolving balances on credit cards—down to between 8 percent and 10 percent of your total income.

Get a handle on expenses. You probably know how much you spend on rent and utilities, but little expenses add up. Try writing down everything you spend for one month. You’ll probably see some great ways to save.

Increase your income. It may be necessary to take on a second, part-time job to get your income at a high-enough level to qualify for the home you want.

Save for a downpayment. Although it’s possible to get a mortgage with only 5 percent down—or even less in some cases—you can usually get a better rate and a lower overall cost if you put down more. Shoot for saving a 20 percent downpayment.

Create a house fund. Don’t just plan on saving whatever’s left toward a downpayment. Instead decide on a certain amount a month you want to save, then put it away as you pay your monthly bills.

Keep your job. While you don’t need to be in the same job forever to qualify, having a job for less than two years may mean you have to pay a higher interest rate.

Establish a good credit history. Get a credit card and make payments by the due date. Do the same for all your other bills. Pay off the entire balance promptly.

Budget Basics Work Sheet

The first step in getting yourself in financial shape to buy a home is to know what you make and what you spend now. List your income and expenses below.

*Income*
Take-Home Pay/All Family Members
Child Support/Alimony
Pension/Social Security
Disability/Other Insurance
Interest/Dividends
Other
*Total Income*

*Expenses*
Rent/Mortgage
Life Insurance
Health/Disability Insurance
Vehicle Insurance
Homeowners or Other Insurance
Car Payments
Other Loan Payments
Savings/Pension Contribution
Utilities
Credit Card Payments
Car Upkeep
Clothing
Personal Care Products
Groceries
Food Prepared Outside the Home
Medical/Dental/Prescriptions
Household Goods
Recreation/Entertainment
Child Care
Education
Charitable Donations
Miscellaneous
*Total Expenses=*
*Remaining Income After Expenses=*

John Nunez

On the Web at:

http://www.gracesalesnaples.net/

Please let me know if this was of some help to you at: jnunez@gracesalesnaples.net

THANKS!!!!!

Loan Write-Off to Remember by John Nunez - Florida Licensed Mortgage Broker

2006-06-17T08:37:00.000-04:00

Deductions in the Loan Process

Write-offs. They’re the government’s way of rewarding you when you’ve done something they like. And to judge by the write-offs, the government likes it when you borrow money to buy a house. There are plenty of write-offs aplenty, which people often forget.

Make the most of it—take every break the IRS says you’ve got coming. Here are a few deductions that people often forget:

Loan fees (aka, points). If you’re the broker, they’re your bread and butter. If you’re the borrower, you try to avoid them. But if you ended up having to eat some points, the good news is they’re a total write-off. Whether you’re buying a new home, refinancing the one you already own, or just borrowing to do some home improvement, you can take your “points” right off the top. Score one for you.

Pre-payment penalties. Just when you were doing so well, and manage to pay that loan off early, they slap you with a pre-payment penalty. Ouch! Well, if it’s any consolation, you can itemize that away, which should ease the pain.

Pro-rated real estate taxes. Even if the seller was the one who sent the tax collector the check, chances you paid a pro-rated portion of the taxes for the year at closing. Be sure to deduct your fair share.

Pro-rated mortgage interest. Depending on when in the month you closed on your house, you paid either a hefty or a tiny amount of pro-rated mortgage interest for that month. Big or small, you can write that off. The Final Closing/Settlement Statement will show you how much you’re due.

Home construction loan interest. As long as the construction period doesn’t last more than two years before you make the new place your “principal residence,” you can write off the interest for that construction loan. And really, if it takes more than two years, you’ve probably got bigger problems—like telling your architect you don’t care how cool it looks, you’re not shingling your house with cocktail stirrers.

It pays to pay attention—all these write-offs can add up to some serious savings when tax time comes around.

John Nunez – also on the web at http://www.gracesalesnaples.net/

P.S. John is also a Real Estate Broker in Florida. He can be also reach by e-mail at jnunez@gracesalesnaples.net or by phone at (239) 207-8471.

Getting the Best Interest Rate on Your Home Loan?

2006-06-12T19:38:00.000-04:00

For immediate release June 12, 2006

Qualified Mortgage Advise Can Help Boost Credit Scores

By John Nunez, Licensed Mortgage Broker
Loans, Inc.

Naples, Florida – Consumers interested in purchasing or refinancing a home will pay an interest rate based on current market conditions and their ability to pay back the loan. The borrower’s income and debt ratios are taken into consideration by the lender, as well as the predictability factor provided by credit scoring. It’s important to have a mortgage professional in your corner that has a keen eye for solutions to improving credit scores in an effort to get the best interest rate possible.

Interest rates associated with various loan programs are broken down into schedules based on credit score ratings. While each lender has its own guidelines, it’s safe to assume that as the consumer’s credit score goes down, interest rates will go up.

A borrower with an outstanding credit rating will get what is called an A-paper loan. This type of borrower is rewarded with a lower interest rate because they have a proven track record of using credit sensibly and paying their bills on time.

Loans designed for consumers with less-than-perfect credit – sometimes referred to as “sub-prime” – can range anywhere from A-minus, B-paper, C-paper or D-paper loans.

If you have already taken out a mortgage loan with a higher interest rate because your credit score was a little under par, you will really appreciate the value in doing a little work to improve your credit score. Refinancing from a D-paper loan to a B-paper classification can save literally thousands of dollars in financing fees over time, even though the B-paper loan is still considered sub-prime.

A qualified mortgage consultant will guide you through the nuances of the process of improving your credit score to refinance and save money. First and foremost, he or she will want to review the terms of the existing mortgage loan to determine if you have a pre-payment penalty clause written into your contract. In general terms, that means that if you sell the home or try to refinance before the pre-payment penalty expires and you have not already paid off 20 percent of the original loan amount, you will most likely have to pay a 3 percent fee back to the lender to compensate for the high risk and high costs incurred to provide that financing.

Next, you should obtain free copies of your credit reports from http://www.myfico.com/ and start working on improving the credit score six months prior to the expiration date on your existing pre-payment penalty.

There are five factors that make up the credit score and your mortgage consultant can coach you through some basic strategies to improve your credit score. This means very conservative use of credit cards, paying off debt as much as possible and not applying for additional credit cards unless you will benefit from such action. You will want to verify that negative items you have paid off are being removed from your credit report, and that good credit history is being reported to all three bureaus. You’ll also want to dispute any errors that appear on your credit reports and seek to have those removed entirely.

Once your credit score improves, it’s time to refinance at a better interest rate. Your mortgage professional should look for a program that carries no more than a two-year prepayment penalty so you can continue to refinance as your credit score increases. You can repeat this process until you reach A-paper status and secure the best interest rate available.

This is a strategy that also works well for first time home buyers who do not have enough credit history under their belt to get an A-paper loan at the time of purchase. The important thing is to work with a mortgage consultant who can give you a roadmap to follow and a strategy for success in building personal wealth.

John Nunez, is a Licensed Mortgage Broker with Loans, Inc. and Realtor(R) with the National Association of Realtors(R) and Naples Board of Realtors. You can contact John at 239-207-8471 or jnunez@gracesalesnaples.net

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The Pristine Beaches of Naples, Florida

2006-06-05T09:23:00.000-04:00

Naples, Florida. Located in SW Florida, half hour drive from SW Florida International Airport in Fort Myers.

These pictures were taken on Sunday June 4, 2006 show the pristine beaches of Naples. Ranked high by most travel magazines. The "snowbirds" are gone (from places like MI, MA, NY, CT, WI, Quebec and Toronto). Beaches are always spectacular and the fishing season has just started. Watch for pictures next saturday from the Fishing Pier in downtown Naples!

Hurricane season is upon us, but we have no fears since authorities here are very good at prevention as well as preparations).

NAR - Housing taking a breather but staying strong

2006-05-11T13:34:00.000-04:00

WASHINGTON -- May 10, 2006 -- The housing market is settling but should experience its third best year in 2006, with job creation and a growing economy offsetting some of the effects of rising interest rates, according to the National Association of Realtors® (NAR).

David Lereah, NAR’s chief economist, says the market is adjusting to higher mortgage interest rates. “Coming off a prolonged period of record sales, housing is taking something of a breather this year,” he says. “Even so, interest rates remain historically low, we’ve added about 2 million jobs over the last 12 months and the economy continues to grow -- that will sustain healthy levels of home sales in 2006, but they’ll stay below the peaks experienced during the last two years.”

Lereah forecasts the 30-year fixed-rate mortgage to rise to 7.0 percent this summer and hold at that level during the second half of the year. The unemployment rate is expected to average 4.7 percent, compared with 5.1 percent in 2005, while growth in the U.S. gross domestic product is seen at 3.5 percent in 2006, the same as last year.

Existing-home sales are likely to fall 6.4 percent to 6.62 million in 2006 from a record 7.08 million last year. New-home sales are projected to drop 11.6 percent to 1.13 million from last year’s record of 1.28 million. Housing starts should decline 3.7 percent to 1.99 million this year compared with 2.07 million in 2005.

NAR President Thomas M. Stevens says home prices are returning to normal patterns. “Since the supply of homes on the market has improved to roughly balanced levels, overall home price appreciation has cooled to single-digit rates,” says Stevens. “Most of the country is now entering a period of equilibrium in the housing market, which is good for the long-term health of the sector. Owners in most areas can now expect steadier and more normal rates of return on their housing investment.” Click to read more at Florida Association of Realtors

How much is my home worth?

2006-05-11T08:39:00.000-04:00

Do you live in Naples, Florida or surrounding areas and you'd like to know how much is your home worth please click here to email me the information below:

1. Property address
2. Your e-mail or phone number where we can contact you, as well the convenient time to talk.
Thanks
Grace Nunez
Realtor (R)

NAR -- Existing-Home Sales Rise Again in March

2006-05-11T08:33:00.000-04:00

Existing-Home Sales Rise Again in March

WASHINGTON (April 25, 2006) – Sales of existing homes edged up in March following a strong rebound in February, according to the National Association of Realtors®.

Total existing-home sales – including single-family, townhomes, condominiums and co-ops – rose 0.3 percent to a seasonally adjusted annual rate1 of 6.92 million units in March from a pace of 6.90 million in February, but were 0.7 percent below a 6.97 million-unit level in March 2005.

In the South, existing-home sales slipped 0.7 percent in March to a level of 2.67 million, but were 1.5 percent higher than a year ago. The median price in the South was $181,000, up 6.5 percent from March 2005.

Existing-home sales in the West eased 0.7 percent to an annual pace of 1.43 million in March, and were 12.3 percent below March 2005. The median price in the West was $341,000, up 8.3 percent from a year ago.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing more than 1.2 million members involved in all aspects of the residential and commercial real estate industries.

1The annual rate for a particular month represents what the total number of actual sales for a year would be if the relative pace for that month were maintained for 12 consecutive months. Seasonally adjusted annual rates are used in reporting monthly data to factor out seasonal variations in resale activity. For example, home sales volume is normally higher in the summer than in the winter, primarily because of differences in the weather and family buying patterns.

Existing-home sales, which include single-family, townhomes, condominiums and co-ops, are based on transaction closings. This differs from the U.S. Census Bureau’s series on new single-family home sales, which are based on contracts or the acceptance of a deposit. Because of these differences, it is not uncommon for each series to move in different directions in the same month. In addition, existing-home sales, which generally account for 85 percent of total home sales, are based on a much larger sample – nearly 40 percent of multiple listing service data each month – and typically are not subject to large prior-month revisions.

2National and regional monthly median existing-home prices have been revised back to 1989. The fixed reporting sample of representative multiple listing services has been updated to reflect geographic changes over time so that the monthly samples for regional price measurements are as accurate as possible. In addition, regional weights have been updated and aligned to the 2000 Census. The changes in price patterns are consistent with previously reported data. Non-media inquiries for historic data should be directed to data@realtors.org.

The only valid comparisons for median prices are with the same period a year earlier due to the seasonality in buying patterns. Month-to-month comparisons do not compensate for seasonal changes, especially for the timing of family buying patterns.

3 Because there is a concentration of condos in high-cost metro areas, the national median condo price is higher than the median single-family price. In a given market area, condos typically cost less than single-family homes.

Existing-home sales for March will be released April 25. The next Pending Home Sales Index will be on May 2 and the forecast will be revised May 9. Via National Association of Realtors

Pebblebrook Lakes Listing

2006-05-10T17:18:00.000-04:00

Huge Home in Pebblebrook Lakes, gated community in North Naples. Next to shopping!

Has been reduced to $575,000 (reduced for quick sale!)

4+Den 3 bath and 1 half bath. Great family room on second floor. Sizeable eat-in kitchen with bar. 2 garages.

Please call John or Grace Nunez @ 239-207-8470 or 239-207-8471

Latest Trends in Housing Market!

2006-05-10T16:29:00.000-04:00

Housing market heating up in cities that missed boom

By James R. Hagerty
The Wall Street Journal
Posted April 30 2006

James R. Hagerty of the Wall Street Journal reports ..
As home sales cool on the East and West coasts, some cities that missed
out on the real-estate boom are becoming the strongest markets.

A look at inventories of unsold homes, prices and employment trends
points to generally positive signs in Houston, Dallas and Atlanta --
cities that have seen only modest home-price gains in recent years.

Metropolitan areas whose housing markets look less healthy, at least in
the short term, include Boston, Los Angeles, Miami, Minneapolis, New
York, Philadelphia and San Francisco. Houses that a year or two ago
might have sold in hours now are languishing on the market for months,
and some sellers are cutting prices.

To produce a snapshot of residential real-estate prospects for 18 major
metro areas, The Wall Street Journal examined inventories of homes for
sale at the end of the first quarter from a variety of local sources;
pricing trends based on surveys of real-estate agents by Daniel
Oppenheim, an analyst at Banc of America Securities in New York; and
projections of job creation by Moody's Economy.com, a research firm in
West Chester, Pa. Inventory data provide a broad picture of the overall
supply of housing, while job trends are the biggest driver of demand.
The pricing data show how markets are adjusting to recent shifts in
supply and demand.

Texas has been a laggard in recent years, partly because job markets
were weak in some cities and land for new houses is plentiful. Now, the
state's job market is strong, as cities there are benefiting from the
oil boom and an influx of people from abroad and elsewhere in the U.S.,
and housing demand is keeping up with the relentless spread of new
subdivisions. Investors, many from California, are adding to the demand.

Texas home prices could rise 6 percent to 9 percent annually over the
next several years, up from an average of 4.5 percent over the past 15
years, says James P. Gaines, an economist at Texas A&M University's Real
Estate Center in College Station. He says the state is attracting
residents and employers because its housing remains very affordable by
national standards.

"I don't see a slowdown coming," says Lorraine Abercrombie, chairwoman
of the Houston Association of Realtors and director of marketing for
Greenwood King Properties. Last week, Greenwood listed a five-bedroom
home in Houston's Wilchester West neighborhood. Within three days of the
first showing, the home was under contract for $465,000, well above the
asking price of $449,000.

Atlanta also benefits from a healthy job market, due partly to the
city's role as a regional hub and a magnet for immigrants and
conventions. J. Lewis Glenn, president of Harry Norman Realtors, says
the total value of homes sold by the big local firm in March was up more
than 10 percent from a year earlier. Unlike Dallas and Houston, though,
Atlanta's inventory also is up substantially -- 15 percent -- from a
year earlier, according to SmartNumbers LLC, a local research firm. That
bulge should restrain price increases.

For the nation as a whole, many real-estate executives and economists
continue to predict a fairly soft landing for the housing market. Among
those taking this view are Ronald J. Peltier, chief executive of
HomeServices of America, a chain of real-estate brokerage firms owned by
Warren Buffett's Berkshire Hathaway Inc. But Peltier warns that prices
in parts of Southern California could fall as much as 5 percent to 10
percent this year.

One coastal market that remains strong is Seattle, where jobs are
plentiful and home inventories remain lean, though they have crept up
from a year earlier. But many other coastal markets are suffering
hangovers from the boom of recent years. Rising interest rates have
priced some buyers out of these markets and deterred speculators, who no
longer can count on fast profits and are dumping properties. Via SunSentinel.com, Ft. Lauderdale, Florida

Palmetto Ridge - North Naples Listing

2006-05-10T15:56:00.000-04:00

Click here to access more details on this wonderful property in Naples, Florida.

Location, Location, Location. Next to Immokalee & I75. Right on a corner lot with a wonderful view to a luscious landscaped area. Enjoy the birth singing while having breakfast in a covered lanai.

11104 Palmetto Ridge Dr., Naples, FL 34110

Spacious 3+ bedrooms 2 bath, with eat-in kitchen, 2 car garage. Vulted ceilings. Built in 1998.

Call Grace or Juan @ 239-207-8470 or 239-207-8471.

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How much is my home worth?

NAR -- Existing-Home Sales Rise Again in March

Pebblebrook Lakes Listing

Latest Trends in Housing Market!

Palmetto Ridge - North Naples Listing