Dale and Tyler's Story

Dale and Tyler wanted the right home to get settled into. Esquire Real Estate had the priviledge to represent them. Hear their story from their own words:

It was a pleasure to work with Esquire Real Estate during the purchase of our first single family home!  Not only is Esquire Real Estate knowledgeable about the Orange County Real Estate Market, but they treated our search as if it was their own. Compassionate, friendly and focused, they helped us to find our dream home within our budget and location, fulfilling all aspects of our wish list! They demonstrated utmost professionalism, promptly responding to emails and phone calls and advocating for us throughout the entire buying process.  Esquire Real Estate is a top notch agency that we have and will continue to refer to all of our friends and family!

Click here to read more advocates stories.

Happy New Year - 2015

We would like to wish you a Happy New Year.  May you be resolute to make this year the best one yet!  Check out our 2014 blog postings and let us know if you have any questions.

Can you afford more house?

After talking with some friends about the possibility of selling their existing home and purchasing a larger home, we thought that we should help others consider the financial factors in moving up to a larger home.

Interest rates remain at historically low levels and buyer demand, at least in Southern California, has remained relatively stable.  Many homeowners in Orange County and other areas of Southern California have at least some equity in their homes.  So when considering whether to move up to a larger home, consider a few financial factors:

Debt to Income Ratio (DTI)

This calculator will provide you a debt-to-income percentage.  This is one of the factors that lenders look at to decide if you are a good candidate for a mortgage.  For most of Southern California, you want to keep your DTI under 50% and the lower it is the better candidate you are for a loan.  For your new home, you'll want to calculate your new mortgage (see below) and use that figure in the calculator.  Click here:  http://www.bankrate.com/calculators/mortgages/ratio-debt-calculator.aspx

Equity Value of Your Current Home

Consider how much equity you have in your current home and whether you want to use some or all of it toward your down payment for your new home.  Contact us to get a complimentary Comparative Market Analysis with an estimate of your current home value and the estimated proceeds that you would receive upon selling your home. 

New Mortgage Payment

Using the equity in your current home as well as any other funds to put toward the down payment on your new home, you will have a clear picture what your monthly mortgage will be.  Use this calculator to figure your new mortgage payment: http://www.bankrate.com/calculators/mortgages/mortgage-calculator.aspx.  Remember, the first factor - you want to keep your DTI under 50%.

With these three financial considerations, you should have a clear financial picture to enable you to make an informed decision if purchasing a larger home is right for you and your family.  Esquire Real Estate is here to help you analyze and understand the multiple factors that might influence your decision.  Please don't hesitate to call.  We are here to help you.

2015 Loan Limits

The Federal Housing Finance Agency recently announced that it will maintain the 2015 maximum conforming loan limits for mortgages acquired by Fannie Mae and Freddie Mac at $625,500 in certain high-cost areas, including Orange County and Los Angeles County.  This is great news for homeowners looking to refinance or purchase in these areas!

The conforming loan limit determines the maximum amount of a mortgage that government-sponsored enterprises Fannie Mae and Freddie Mac can buy or “guarantee.”  Loans greater than $417,000 but less than the limit for the high-cost areas, such as $625,500 in Orange County and Los Angeles County, are commonly termed high-balance conforming loans.  High-balance conforming loans will typically have a slightly higher rate than a traditional conforming loan, but the rates will be significantly less than a jumbo (non-conforming) loan. You can view more information on the high-balance conforming loan limits here: http://www.car.org/newsstand/newsreleases/2014releases/2015loanlimits?view=Standard. 

If you would like to view the conforming loan limits for any other counties, you can find the information here: http://www.fhfa.gov/DataTools/Downloads/Documents/Conforming-Loan-Limits/FullCountyLoanLimitList2015_HERA-BASED_FINAL.pdf 

When considering your next real estate purchase or sale, be sure to have a strategy in place with advisors you can trust to provide you the most accurate market information. Esquire Real Estate works to be that Advocate-Informant on your behalf.

CAR Contract Changes

A significantly revised California Residential Purchase Agreement and Joint Escrow Instructions (RPA) from the California Association of Realtors will be released on Monday, November 24, 2014.  Here are three of the more significant revisions:

1. The new RPA removes the option for the parties to assign corrections for and payments of Section 1 versus Section 2 work from the Wood Destroying Pest report.  Some have decried the “blank check” for Section 1 work that a Seller would agree to in the previous RPA.  Essentially, responsibility for Section 1 and Section 2 work must be negotiated by the parties or agents during escrow with knowledge of the actual required Section 1 versus Section 2 work.

2. The default time to remove the loan contingency has been extended from 17 to 21 calendar days, while the default time for removal of the appraisal contingency remains 17 calendar days.  This change likely accounts for the necessary time between an appraisal report and approval by a lender.

3. The Buyer must disclose any credit that the Buyer receives from any source for closing or other costs that is agreed to be the Parties.  Different provisions apply if the total credit allowed by the Buyer’s lender is less than the credit amount on which the parties agree.

As your broker, you can trust that Esquire Real Estate will identify the new revisions to this form contract and advise you regarding any important, applicable contractual provisions for your real estate transaction. Check out 7 Reasons why you should choose an attorney to represent you as your broker when buying or selling real estate.