No Bull Agent

Home Buyer FAQ’s: Should I Rent or Buy?

People all around San Diego County and, frankly, the United States are looking at their respective markets and trying to decide whether they should buy or rent.  It can be a difficult decision and one that can alter the way you and your family live day-to-day for years to come.  Interest rates are historically low and home prices have dropped (search current San Diego County home prices), but is it the right time for you?  As the summer moving season approaches, let’s discuss the positives and negatives to the question, “Should I Rent or Buy?”

Positives to Owning a Home, Negatives to Renting…

In a “typical” market, home ownership allows you to gain equity over time as you pay down your mortgage and your home value increases.  We cannot ignore that for the last few years the  real estate market in San Diego and most of the country has been far from “typical.”  Depending on who you talk to and where in San Diego County…the market is nearing the bottom, at the bottom or rising from the bottom.  Frankly, there are arguments for and against each.  The point is, I believe San Diego County is entering into a phase where the market will begin on a more “typical” path.  You will not see the equity increases of four or five years ago, but instead a more sustained increase over time.  We counsel all potential and current clients that they should be willing to hold on to their home for at least five years.  If not, now is probably not the best time to buy.  The bottom line is that the opportunity for equity, over the long term, is once again a reality. Read the rest of this entry »

Tags: home buyer, own, question, rent, san diego

California Debt Relief Extended for Distressed Homeowners

Senate Bill 401, which was signed into law on April 12, provides help for distressed homeowners by waiving their California state income tax owed on debt forgiven in a foreclosure, short sale or loan modification.  This news will help many during this tax season as it could mean the difference between owing money and getting a state tax refund.  This law mirrors the federal exemption, but is different in that the federal is for indebtedness up to $2 million and the state is for indebtedness up to $800,000 and forgiven debt up to $500,000.

As we do not give tax and/or legal advice, it is important to contact an accountant or real estate attorney to determine whether you qualify.  The basics, however, as stated by the California Association of Realtors are that this bill is for debt forgiven on a loan secured by a “qualified principal residence.”  What is debt on a “qualified principal residence?”  It is defined as, “debt incurred in acquiring, constructing, or substantially improving a principal residence.  It includes both first and second trust deeds.  It also includes a refinance loan to the extent the funds were used to payoff a previous loan that would have qualified.”  These tax breaks will continue for three years as they “apply to debts discharged from 2009 through 2012.” Read the rest of this entry »

Tags: debt relief, distressed, home owner

San Diego Home Buyer 30 Day Guarantee

The current climate for home buyers in San Diego offers a few unique opportunities.  First time home buyers, through April 30, have the opportunity to take advantage of overlapping state and federal tax credits up to $18,000.  Once that window closes, these buyers still have the opportunity to take advantage of the state tax credit of up to $10,000 through December 31, 2010.  Please remember that the state tax credit only applies to those with tax liability and is applied to that liability in annual installments over three years.  These tax credits combined with historically low interest rates and depreciated home prices make it an exciting time to be a buyer.  To take advantage of these programs, time is of the essence.

We have introduced the “30 Day Buyer Guarantee.”  If we can’t find you your home in the first 30 days and open escrow, we’ll credit you a portion of our commission. Read the rest of this entry »

Tags: guarantee, home buyer, san diego