january 2016 real estate update

7/23/2019 January 2016 Real Estate Update

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Your REALTOR ®

Steven Aslanian

January 2016

“May all your Summer dreams come true"

www.aslanian-team.com

Copyright 2016 Realty Time All Rights Reserved.

818-879-0800

Note: Simply click on the title of a story below to go directly to that page.

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January Real Estate Update

Important Clauses In Your Real Estate Contract

How To Keep Your Home Clean And Refreshed 24-7

What Kinds of Mortgages are Available?

Dealing With Powers Of Attorney

6 Tips For Selling Your Home In Winter 2016

Home Sellers: How Your REALTOR Does It Better

Understanding Smart Home Technology So You Can

Explain It to Buyers

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How To Keep Your Home Clean And Refreshed 24-7





Understanding Smart Home Technology So You Can

Explain It to Buyers

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Equal HousingOpportunity

Steven [email protected]://www.aslanian-team.com

RE/MAX Olson & Associates818-879-080030699 Russell Ranch Rd.Westlake Village, CA 91362



Your REALTOR ®

Steven Aslanian

January 2016



Copyright 2016 Realty Tim All Rights Reserved.

818-879-0800

Rates: Little Changed

In Freddie Mac's results of its

Primary Mortgage Market Survey the30-year fixed-rate mortgage averaged3.96% for the week ending December 24, 2015.

A year ago at this time, the 30-year FRM averaged 3.83 percent.Treasury yields dropped slightly as the

holidays approach. Mortgage ratesremain largely unchanged, with the30-year mortgage rate ticking down abasis point to 3.96 percent. While weexpect the 30-year mortgage rate to

Mortgage RatesSource: Realty Times

U.S. averages as of December 24, 2015:

30 yr. fixed: 3.96%15 yr. fixed: 3.22%1 yr. adj: 2.68%

be above 4 percent in early 2016, weanticipate rates will gradually increase,averaging 4.4 percent for the year.

3 Trends Sellers ShouldKnow in 2016

There are three

dominant trends that sellers should beaware of going into the new year:

1. A seller's market dominates.Home prices have been climbing. Thegreater a region's economic futureappears to be, the easier you can expecto sell a home.

2. Mortgages will get pricier . Lowmortgage rates have been the standardn the last few years, but that will soonchange. The Federal Reserve isgradually beginning to raise rates, whichwill move mortgage rates higher anddampen affordability.

3. Tax benefits still abound. Theargest tax break remains the exclusionon capital gains for the sale of personalresidences. Single taxpayers are able toexclude a maximum of $250,000 in gainsrom the sale of a home. Joint filers get

double that: $500,000.

How to Improve TheOdds of an Offer

Pay attention to

the following importantdetails for the best offer on your home:

Price it right. Set a price at the lower end of your property's realistic pricerange.

Prepare for visitors. Get your housemarket ready at least two weeks beforeyou begin showing it.

Be flexible about showings. It's oftendisruptive to have a house ready to showat the spur of the moment. But the moreamenable you can be about lettingpeople see your home, the better.

Anticipate the offers. Decide inadvance what price and terms you'll findacceptable.

Don't refuse to drop the price. If your home has been on the market for morethan 30 days without an offer, you shouldat least consider lowering your askingprice.

Housing Outlook for 2016: Expect Change

While change

is coming to the mortgage market,Freddie Mac says in its 2016 housingforecast that it's too soon to tell whethmarketplace lending is the next Uber

just another flash in the pan. The new year will undoubtedly brinchanges. New startups will look for wato improve upon current marketplacelending business models. Large bank lenders may incorporathe most successful of the marketplaclending innovations. It's difficult to saywhere all this will lead, but one predicis indisputable. Expect change. Here are five more predictions for 2016 from the mortgage giant:

1. The 30-year fixed-rate mortgagelikely average below 4.5 percent for 2on an annualized basis. 2. Mortgage rates will gradually mohigher posing an affordability challengBut expect a strengthening labor markand pent-up demand to carry momeninto 2016. 3. Home prices will likely moderateslightly to 4.4 percent in 2016, driven part by the reduction in home buyer affordability and reduced demand as aresult of Fed tightening. 4. But industry activity will grow in2016 despite monetary tightening.Expect total housing starts to increasepercent year-over-year and total homsales to increase 3 percent. 5. While home purchases will increnext year, higher interest rates willreduce the refinance volume pushingoverall mortgage originations lower in2016 than in 2015.

Equal Housing

Opportunity

Steven [email protected]

http://www.aslanian-team.com

RE/MAX Olson & Associates818-879-080030699 Russell Ranch Rd.

Westlake Village, CA 91362



Your REALTOR ®

Steven Aslanian

January 2016




818-879-0800


By Benny L. Kass

You have just found your dream house, and would like tobuy it. What to do now?

When dealing with real estate matters, the law is clear:everything has to be in writing. Thus, you will need a sales

contract, which will spell out all of the terms, conditions andspecial requirements you may (or will) need in order to concludehe transaction and go to closing (settlement) on the house.

If there is no real estate agent involved, your attorneyshould be able to assist you in preparing the contract offer. If here is a real estate agent, you can get a form sales contractrom the agent. In fact, the agent should be able to assist you inpreparing the document for presentation to the seller, althoughyour attorney should review it before you sign. Typically, thebuyer makes a written offer to the seller. The seller has threealternatives:

1. The contract can be accepted; 2. The contract can beejected in its entirety, or 3. The contract offer will be countered,

with different terms.

It is rare that the seller will opt for alternatives one or two; inmost cases, the potential buyer will receive a counter-offer.Then, the buyer has the same three alternatives.

There are certain things which must be included in anysales contract.

The property must be clearly identified, preferably by streetaddress.

The contract must be contingent upon your obtaininginancing. You should allow yourself some time -- usually 30-45days -- in which to make application from a mortgage lender and get a written commitment that you have been approved for he loan. Under the new Consumer Financial Protection BureauCFPB), it will take more time, so you may want to give yourself

up to 60 days in which to finalize the deal.

Unless you are an experienced contractor, it is advisable thatyou make the contract contingent on your obtaining asatisfactory home inspection. You should give yourself 5-7 daysafter the contract is signed to have the property inspected. If you are not satisfied for any reason after you receive a writteneport from the inspector, you should have the right to terminatehe contract, and get back your earnest money deposit.

How much earnest money should you put up when you sthe sales contract? There is no magic formula and no lawdictating a certain percentage of the purchase price. When ysign a contract, in order to make it a valid, legal document, t

buyer should put up some money as a good faith earnestmoney deposit. These funds will be held by the real estatebroker or the settlement attorney until settlement takes or uneither the buyer is entitled to a return of the deposit (becausthe contingencies cannot be met) or the buyer is in breach othe contract, in which case the moneys would go to the selle Real estate agents and brokers usually ask that the buyeput up 10 percent of the purchase price as this earnest mondeposit. However, buyers can put up more or less, so long athe seller agrees with the amount. Indeed, in many real estacontracts, the earnest money deposit consists only of apromissory note signed by the buyer, to be redeemed at thesettlement itself. Buyers should understand that although everything in re

estate is negotiable, the earnest money should be large enoto convince the seller you are seriously interested in goingforward with the purchase. I usually recommend this depositapproximately five percent of the purchase price. Finally, the contract should be contingent upon the buobtaining -- no later than the date of settlement -- a "termite"letter. This is a report from a licensed pest inspection compaindicating that the house is free and clear of termites and othwood-boring infestation. Some contracts require the seller toobtain and pay for this report; other contracts put the burdenthe purchaser. Either way, this is a critical report which allbuyers should receive -- and carefully review -- beforesettlement is completed. Obviously, in a high-rise condo, suctermite letter would not be required. Many of these contingencies are time-sensitive. You -- abuyer -- have so many days in which to get financing and somany days in which to complete the home inspection. Markyour calendar with these due dates, and make sure you act these contingencies before the time has expired. Otherwise,will be too late and you will be legally bound to comply with tterms of the contract, and proceed to settlement.






Your REALTOR ®

Steven Aslanian

January 2016




818-879-0800

How To Keep Your HomeClean And Refreshed 24-7

By Andrea Davis

Keeping your home spic and span can sometimes feel likeoo tough a challenge. No matter how often you clean, thehouse seems to get dirty again before the floors have evendried. For those who don't have hours to spend cleaning, worry

not! There are simple, effective ways to keep your home cleanon a daily basis. Here are some tips to consider:

Invest in doormats. Placing doormats at your back and frontdoors helps cut the amount of dirt and debris trailing into your home. Placing additional mats outside can help cut even more.

Groom pets daily. Pet hair -- especially cat and short-haireddog hair -- can invade your home in an instant. Brushing your pets every day -- and giving your dogs a bath every now andagain -- can do a lot to help.

Keep ducts and fans clean. Air vents and ceiling fans buildup dust over time. When they're turned on, that dust is then

ransferred to your floors and furniture. Cleaning them regularlywill reduce the amount of dirt flowing throughout your home. If you need professional help, you can generally get your ductsand vents cleaned for about $330 (the national cost average).

Replace air filters. If the air feels stale or musty, there's achance you need to replace your air filter. Do so frequently toavoid too much debris entering into the air. You can also hire apro to do this for you.

No more window screens. Window screens don't really

prevent dirt and debris from entering your home -- just bugsreally. Unless you have small children, it's better to removethem; removing the screens will keep your windows cleaner

Keep storage handy. Storage boxes are always good tohave on hand. Keep some broken down in your closet or unthe bed for easy access. You can also build shelves for arelatively inexpensive cost.

Organize the coffee table. Coffee tables get clutteredquickly. Make sure you keep only the bare essentials on thetable -- and clean the table's surface often.

Make sure your floor is showing. If you have kids or pethere's a good chance that your floor is littered with toys. Yocan teach kids how to pick up after themselves, depending otheir age. But with pets, you may need to keep another storabox handy.

Dust! You shouldn't have to spend hours dusting your hoon the weekends. Take a moment or two to wipe off surfaceonce a week. This keeps the dirt down and makes your houslook a bit shinier.

Create a place for every item. You should have adesignated place for every item you use. Racks, shelving --whatever you need to keep everything organized. That way,items don't end up piled on your dining room table or in theliving room.


Steven Aslanian818-879-0800

[email protected]://www.aslanian-team.com




Your REALTOR ®

Steven Aslanian

January 2016




818-879-0800


By Benny L. Kass

Once you have signed a contract for the purchase of your new home (or condominium or cooperative apartment), andassuming that you do not have all of the cash in your bank

account, you will need to obtain a mortgage loan.

There are many different loans on the market - and manydifferent loan programs from which to choose. You shouldcontact at least three different lenders, and ask them to give youa list of the loans which they can offer you. Take careful notes,and remember one important thing: do not give any lender anymoney until you are absolutely certain that this is the lender -and this is the loan - you want to obtain.

Under the new mortgage lender rules issued by theConsumer Financial Protection Bureau CFPB), it is actually veryeasy to shop and compare. Oversimplied, the three basic loanprograms are as follows:

1. Conventional: this type of loan in generally availablerom a bank, a mortgage broker, or a credit union. Within thecategory of conventional loans, there are various optionsavailable, such as a fixed 30 year loan, or an adjustable rateoan (called an ARM).

ARMs adjust on a periodic basis, although in most caseshey will run for a period of thirty (30) years. Generally speaking,he shorter the term of the adjustment (such as a one year ARM) the lower the initial interest rate will be. However, whenhe adjustment period comes around, the interest rate for thenext adjustment will either go up or down, depending on theeconomy at the time of the adjustment. When interest rates arealling, an ARM seems like a good deal. However, when interest

ates are rising (as it appears they will be increasing as early ashe end of this year), the consumer who obtains a one-year ARM is almost guaranteed to see the interest rate hike as highas 2 percentage points at the end of the first year.

This is not a complex issue, and all lenders are nowrequired to provide you with a written explanation of the waytheir particular ARM works. Read it carefully and seek

assistance from your financial and legal advisors if you haveany questions

2. VA Loans: This type of loan is generally available frommortgage brokers, It is called a VA loan, since only militaryveterans can obtain such loans. They are guaranteed by theVeterans Administration. There are certain conditions whichmust meet if you want a VA loan, and you should make surethat your potential lender provides you with all the details, upfront.

3. FHA loans: This loan is insured by the Federal Housi Administration. FHA will guarantee the lender against a defaby the borrower, but the borrower will have to pay an insuranpremium for this coverage. Once again, there are conditionswhich must be met before such loans can be obtained, and yshould discuss all these terms with the potential lender.

It is not possible in a short article to fully discuss all thevarious mortgage loans on the market. Furthermore, creativelenders are always coming up with new programs in an efforbe competitive. However, not all these loans are in your besinterest.

You should shop around, and don't accept the first loan is offered. While the real estate agent and often the seller mgive you loan information - and the name of potential lendersonly you can make the final decision as to what is best for yo After all, remember that the life of the loan may be as long a

30 years - and that's a long time to be stuck with anuncomfortable loan. For more information, go toconsumerfinance.gov, and search "Know before you Owe".






Your REALTOR ®

Steven Aslanian

January 2016




818-879-0800


By Benny L. Kass

You and your spouse own your home and you would like tosell it. However, your spouse is currently unable to sign thesales contract. This is because he is either out of the country insome exotic far-away-place where fax and overnight delivery is

unavailable, or because he is physically and mentally unable tomake decisions or sign legal documents.

What to do?There is a document called a "power of attorney", whereby

your spouse signs a legal document authorizing you to act onhis/her behalf. The giver of the power of attorney is called thePrincipal. The receiver is generally called the "attorney in fact".The latter is given the right to act on behalf of the principal, for he purposes and functions spelled out in the legal document.

There are two types of Powers of Attorney:1. General -- here, the principal authorizes the attorney in

act to take any and all actions as if the principal was takinghem himself. This is also known as a Durable Power of Attorney. Keep in mind that your own State law may have

specific requirements in order to sell real property by way of aPower of Attorney. Some states will not permit real estate to beconveyed by a General power of attorney.

2. Specific -- here, the principal gives specific informationand instructions to the attorney in fact. For example, sell myhouse located at 123 ABC Street; or write a $1,000 check to mynsurance company from my bank account. The specificnstructions are contained in the legal document, and theattorney in fact has no authority to exceed those instructions.

If you plan to sell your house, and find yourself in thesituation where one party in title will not be available to signcontracts, deeds or other legal documents pertaining to thesale, it is best to have your attorney draw up a Power of Attorney that meets your needs, as well as the legal

equirements in the State where your property is located.The principal may want to put a time limitation on the Power - for example one or two months. However, with a durable

power of attorney, the principal normally does not place any

such limitations. The purpose of a durable Power is to assurthat in the event the Principal becomes incapacitated, hisattorney in fact will be able to step in without having to go toCourt.

Let's go back to our example. If your spouse knows inadvance that he/she will be out of the country when you wansell your house, have the Power of Attorney executed beforethe trip starts -- and give a long lead time before the Power expires. However, if you do not have a Power of Attorney and yospouse suddenly has a stroke -- or is otherwise unable tocomprehend and sign legal documents, then you will have toto your local Court and seek permission to become theConservator of the Estate of your spouse. This is a relativelyeasy (but potentially time consuming and expensive) procesThe Courts, however, want to make absolutely sure that youare sincere in your efforts to represent your spouse and thatyour spouse is, in fact, not able to sign any legal documents

There is a lot of fraud involved, such as situations wherechildren try to use the conservatorship route to take awayproperty from their parents; accordingly, the Court will also locarefully at all of the facts, and if possible, will even interviewthe person to whom the conservator will be appointed. I oncattended an interview where the Judge went to the hospital tmake sure that no one was taking advantage of the sick pers Preventive law is the key; consider obtaining a durablepower of attorney now, while you both are in good health. Easpouse should sign a separate document, making the other spouse the attorney in fact. However, an alternative attorneyfact should also be designated, just in case both of you becoincapacitated at the same time. Your local attorney should be consulted to make sure yo

are using the proper forms and that you fully understand theconsequences of your actions. A Power of Attorney givessomeone else the right to sell your house, and you want tomake sure that you are not giving away the store.






Your REALTOR ®

Steven Aslanian

January 2016




818-879-0800


By Andrea Davis

Winter can be a harsh, unappealing time of year to sell your home. With 2016 about to rev up, it's especially important tomake your home stand out if you want to sell in the New Year.Here are some essential tips for making your house #1 on the

market as the year begins:

#1 Warmth is top priority: Your home should always bewarm when a realtor conducts a walkthrough with buyers. Set aimer on your thermostat so it's warm when they arrive. Alsomake sure to check there are no leaks or problems with your ducts and vents, as this could make rooms cold during awalkthrough.

#2 Keep the house bright: It's also important to ensurehat your home is adequately lit in each room. You want buyerso feel welcome and impressed with the kitchen, bathroom andbedrooms of your home. If a room has dim lighting or aburned-out bulb, it could take away from the overall appeal of he room. You should also consider spending a little extramoney to upgrade your lighting fixtures -- installing recessedighting in certain rooms will give your home a little extra "pop."Standing lamps are also a fantastic, affordable alternative toighting additions

#3 Try to make your landscape appealing: Although your yard will be mostly winterized during this time of year, there areseveral ways to spruce up your cold weather landscaping. Startby clearing your yard of any broken branches or large patchesof fallen leaves. It's also important to ensure that any ice or snow on or near your home's walkway is removed. If needed,you can hire a weekly snow removal service to keep your homesafe for buyer walkthroughs.

#4 Make the interior cozy: In addition to keeping your house well-lit and warm, there are other ways to make your

home cozy and welcoming to buyers. This includes: classicamusic (at a low volume), homemade treats (candy, cookies)holiday decorations (tinsel on the mantle, for example). Youwant buyers to feel as though they already live in your home

when they walk through the door. When you offer them a cosetting, they will want to spend more time in your home andadmire its features.

#5 Keep the fireplace lit: While you should have the heon during a walkthrough, another warm and cozy feature is tfireplace. If you've got a wood-burning model, this means yoneed to have coal or wood handy. You don't want to havemultiple showings a day and a fireplace that roars for only hathe visitors. This is especially important if the fireplace is cloto the entrance (all of that cold air gets in!).

#6 Prepare for any storms: Make sure there's anemergency kit on hand in your home in case your home suffan outage during a winter storm. This should include items l

Extra candlesMatchesBlanketsCar charger Canned foodFlashlightWater

While your REALTOR® will be prepared for inclementweather, it's important that you be prepared to keep everyonsafe should the worst happen during a showing. And don'tforget to keep a secondary travel emergency kit to take wheyou're leaving for showings as well.






Your REALTOR ®

Steven Aslanian

January 2016




818-879-0800

Home Sellers: How Your REALTOR® Does It Better

By Blanche Evans

As you think about selling your home, it may have crossedyour mind that you should just sell it yourself. In 2015,

approximately 89% of home sellers hired a REALTOR®

. Whatdo they know that you don't?

To sell your home yourself, you'll be competing againstexperts who have more tools and connections than you do. Inaddition to multiple listing services, broker Websites, real estateWebsites, personal Websites, and professional-grade videosand photos, real estate professionals network with each other tosell many homes before they are introduced to the marketplace.

You'll have to perform all the jobs a professional would door you, along with adopting a professionalism you haven't beenrained for, all while holding down your own job. When will youhave time to study the market, create a marketing plan, buyadvertising, show your home, and negotiate with buyers?

It's no problem for a Realtor when a buyer wants to see your home at any time, but will your boss let you take off in themiddle of the day to show your home? Will she allow you to usehe company's graphics and editorial team to whip out a topquality listing presentation for you? Will you have the long-termprice trends to defend your price to buyers?

You won't know whom you're allowing to see your home.Even if you could arrange a time to show your home to buyers,how do you know they aren't coming into your home to stealyour prescriptions or worse?

Serious buyers are vetted through their real estate agenand bankers so only buyers who are qualified to buy your hocan be allowed to see it. Do you know how to put a buyer through instant credit checks so you'll know whether or notthey're suitable before you let them in your home?

Real estate transactions are rife with opportunities to malegal mistakes. Do you know what you have to disclose to thbuyer to be compliant with state laws? If you did add-onsyourself and didn't get a building permit, you might be inviolation of city codes that could come back to bite the buyeand you.

Closing in a garage doesn't mean you can add squarefootage to your home without subtracting market value for nlonger having a garage. Your local taxing authority shouldreassess your home so that the size and amenities match th

marketing materials and disclosures you've provided about yhome.

Once you have a contract, you have to get to closing anmany contracts don't make it that far. The buyer can declinebuy for a number of reasons, including FHA or VA requiremethat your home might not meet. An agent can help negotiateproblems and make sure every entity in the pipeline is doingtheir jobs in a timely fashion so there are no bad surprises.Those are only a few of the many reasons sellers hire realestate professionals.






Your REALTOR ®

Steven Aslanian

January 2016




818-879-0800

Understanding Smart Home TechnologySo You Can Explain It to Buyers

By Realty Times Staff

The Internet of Things is quickly becoming a reality, andhere's no place where this is more obvious than in our homes.According to predictions from market researcher

MarketsandMarkets, the global smart home market will grow toabout $58.7 billion by 2020, fueling a 17 percent compoundannual growth rate and creating a significant consumer marketor smart homes. Buyers know the benefits that come with thesesystems, and they want them in their homes — do you knowhow to sell it to them?

Here are a few of the more common smart home featureseal estate agents should be familiar with:

Smart Thermostats

Smart thermostats are one of the quickest and cheapestways to upgrade a home. A smart thermostat l ike Nest learnsrom the homeowner's habits and preferences and adjusts its

settings accordingly. It can also pull the weather forecast fromhe Internet to set the optimal temperature and create monthlyeports, all of which help the home be energy-efficient and savehe homeowner money.

Homeowners who use a smart thermometer can savebetween 10 and 12 percent on heating and 15 percent oncooling bills, according to the company website. Show potentialbuyers an example of the monthly report that Nest generates todemonstrate how much money they can save with this smartdevice. If you're showing a house that already has a smarthermostat installed, show the potential buyer how he or she willeap the savings benefit without having to invest in the upfront

cost of the device.

Smart Lighting

Being able to control your lights with your mobile device

wonderful smart home feature. Philips Hue is probably the mpopular example of this type of smart lighting. Homeowners use a smartphone app to turn the lights on and off as well aschange the colors and brightness of the lights. If you have apotential buyer with young children, you could light up one othe bedrooms with a bright pink light to make it feel fun andyouthful. If you're trying to show off a home theater experienin the living room, put LED light strips behind the TV and synthem to music or a video for an immersive experience. This especially great for highlighting a movie or entertainment rooor showing a client that the space is great for entertaining.

If your buyer isn't interested in the aesthetics, explain themore practical features of smart lighting. For example, they cset schedules or set up sensors, so the lights automatically ton when they get home.

Smart Appliances

While getting a new appliance is a good way to increasevalue of a home, going one step further with smart appliancemakes it a selling point. Whirlpool has developed washers,dryers and kitchen appliances that monitor energy costs anddelay or start their cycles when it is most energy-efficient timUsers control these appliances with an app, which enablesalerts and remote commands from anywhere there is a dataconnection. You should point out any smart appliances topotential buyers because they will save them money in enercosts and add value to the home.






Your REALTOR ®

Steven Aslanian

January 2016



Copyright 2016 Realty Tim All Rights Reserved.

818-879-0800







Rates: Little Changed

In Freddie Mac's results of its

Primary Mortgage Market Survey the30-year fixed-rate mortgage averaged3.96% for the week ending December 24, 2015.

A year ago at this time, the 30-year FRM averaged 3.83 percent.

Treasury yields dropped slightly as theholidays approach. Mortgage ratesremain largely unchanged, with the30-year mortgage rate ticking down abasis point to 3.96 percent. While weexpect the 30-year mortgage rate to

Mortgage RatesSource: Realty Times

U.S. averages as of December 24, 2015:

30 yr. fixed: 3.96%15 yr. fixed: 3.22%

1 yr. adj: 2.68%

be above 4 percent in early 2016, weanticipate rates will gradually increase,averaging 4.4 percent for the year.

3 Trends Sellers ShouldKnow in 2016

There are three

dominant trends that sellers should beaware of going into the new year:

1. A seller's market dominates.Home prices have been climbing. Thegreater a region's economic futureappears to be, the easier you can expecto sell a home.

2. Mortgages will get pricier . Lowmortgage rates have been the standardn the last few years, but that will soonchange. The Federal Reserve isgradually beginning to raise rates, whichwill move mortgage rates higher anddampen affordability.

3. Tax benefits still abound. Theargest tax break remains the exclusionon capital gains for the sale of personalresidences. Single taxpayers are able toexclude a maximum of $250,000 in gainsrom the sale of a home. Joint filers get

double that: $500,000.

How to Improve TheOdds of an Offer

Pay attention to

the following importantdetails for the best offer on your home:

Price it right. Set a price at the lower end of your property's realistic pricerange.

Prepare for visitors. Get your housemarket ready at least two weeks beforeyou begin showing it.

Be flexible about showings. It's oftendisruptive to have a house ready to showat the spur of the moment. But the moreamenable you can be about lettingpeople see your home, the better.

Anticipate the offers. Decide in

advance what price and terms you'll findacceptable.

Don't refuse to drop the price. If your home has been on the market for morethan 30 days without an offer, you shouldat least consider lowering your askingprice.

Housing Outlook for 2016: Expect Change

While change

is coming to the mortgage market,Freddie Mac says in its 2016 housingforecast that it's too soon to tell whethmarketplace lending is the next Uber

just another flash in the pan. The new year will undoubtedly brin

changes. New startups will look for wato improve upon current marketplacelending business models. Large bank lenders may incorporathe most successful of the marketplaclending innovations. It's difficult to saywhere all this will lead, but one predicis indisputable. Expect change. Here are five more predictions for 2016 from the mortgage giant:

1. The 30-year fixed-rate mortgagelikely average below 4.5 percent for 2on an annualized basis.

2. Mortgage rates will gradually mohigher posing an affordability challengBut expect a strengthening labor markand pent-up demand to carry momeninto 2016. 3. Home prices will likely moderateslightly to 4.4 percent in 2016, driven part by the reduction in home buyer affordability and reduced demand as aresult of Fed tightening. 4. But industry activity will grow in2016 despite monetary tightening.Expect total housing starts to increasepercent year-over-year and total hom

sales to increase 3 percent. 5. While home purchases will increnext year, higher interest rates willreduce the refinance volume pushingoverall mortgage originations lower in2016 than in 2015.




January 2016 Real Estate Update

Copyright © 2016 Realty Times. All Rights Reserved.




By Benny L. Kass

You have just found your dream house, and would like tobuy it. What to do now?

When dealing with real estate matters, the law is clear:everything has to be in writing. Thus, you will need a salescontract, which will spell out all of the terms, conditions andspecial requirements you may (or will) need in order to concludehe transaction and go to closing (settlement) on the house.

If there is no real estate agent involved, your attorneyshould be able to assist you in preparing the contract offer. If here is a real estate agent, you can get a form sales contract

rom the agent. In fact, the agent should be able to assist you inpreparing the document for presentation to the seller, althoughyour attorney should review it before you sign. Typically, thebuyer makes a written offer to the seller. The seller has threealternatives:

1. The contract can be accepted; 2. The contract can beejected in its entirety, or 3. The contract offer will be countered,

with different terms.It is rare that the seller will opt for alternatives one or two; in

most cases, the potential buyer will receive a counter-offer.Then, the buyer has the same three alternatives.

There are certain things which must be included in anysales contract.

The property must be clearly identified, preferably by street

address.The contract must be contingent upon your obtaininginancing. You should allow yourself some time -- usually 30-45days -- in which to make application from a mortgage lender and get a written commitment that you have been approved for he loan. Under the new Consumer Financial Protection BureauCFPB), it will take more time, so you may want to give yourself

up to 60 days in which to finalize the deal.Unless you are an experienced contractor, it is advisable that

you make the contract contingent on your obtaining asatisfactory home inspection. You should give yourself 5-7 daysafter the contract is signed to have the property inspected. If you are not satisfied for any reason after you receive a writteneport from the inspector, you should have the right to terminate

he contract, and get back your earnest money deposit.

How much earnest money should you put up when you sthe sales contract? There is no magic formula and no lawdictating a certain percentage of the purchase price. When ysign a contract, in order to make it a valid, legal document, tbuyer should put up some money as a good faith earnestmoney deposit. These funds will be held by the real estatebroker or the settlement attorney until settlement takes or uneither the buyer is entitled to a return of the deposit (becausthe contingencies cannot be met) or the buyer is in breach othe contract, in which case the moneys would go to the selle

Real estate agents and brokers usually ask that the buyeput up 10 percent of the purchase price as this earnest mondeposit. However, buyers can put up more or less, so long athe seller agrees with the amount. Indeed, in many real estacontracts, the earnest money deposit consists only of apromissory note signed by the buyer, to be redeemed at thesettlement itself. Buyers should understand that although everything in reestate is negotiable, the earnest money should be large enoto convince the seller you are seriously interested in goingforward with the purchase. I usually recommend this depositapproximately five percent of the purchase price. Finally, the contract should be contingent upon the buobtaining -- no later than the date of settlement -- a "termite"

letter. This is a report from a licensed pest inspection compaindicating that the house is free and clear of termites and othwood-boring infestation. Some contracts require the seller toobtain and pay for this report; other contracts put the burdenthe purchaser. Either way, this is a critical report which allbuyers should receive -- and carefully review -- beforesettlement is completed. Obviously, in a high-rise condo, suctermite letter would not be required. Many of these contingencies are time-sensitive. You -- abuyer -- have so many days in which to get financing and somany days in which to complete the home inspection. Markyour calendar with these due dates, and make sure you act these contingencies before the time has expired. Otherwise,will be too late and you will be legally bound to comply with t

terms of the contract, and proceed to settlement.








How To Keep Your HomeClean And Refreshed 24-7

By Andrea Davis

Keeping your home spic and span can sometimes feel likeoo tough a challenge. No matter how often you clean, thehouse seems to get dirty again before the floors have evendried. For those who don't have hours to spend cleaning, worrynot! There are simple, effective ways to keep your home cleanon a daily basis. Here are some tips to consider:

Invest in doormats. Placing doormats at your back and frontdoors helps cut the amount of dirt and debris trailing into your

home. Placing additional mats outside can help cut even more.

Groom pets daily. Pet hair -- especially cat and short-haireddog hair -- can invade your home in an instant. Brushing your pets every day -- and giving your dogs a bath every now andagain -- can do a lot to help.

Keep ducts and fans clean. Air vents and ceiling fans buildup dust over time. When they're turned on, that dust is thenransferred to your floors and furniture. Cleaning them regularlywill reduce the amount of dirt flowing throughout your home. If you need professional help, you can generally get your ductsand vents cleaned for about $330 (the national cost average).

Replace air filters. If the air feels stale or musty, there's achance you need to replace your air filter. Do so frequently toavoid too much debris entering into the air. You can also hire apro to do this for you.

No more window screens. Window screens don't really

prevent dirt and debris from entering your home -- just bugsreally. Unless you have small children, it's better to removethem; removing the screens will keep your windows cleaner

Keep storage handy. Storage boxes are always good tohave on hand. Keep some broken down in your closet or unthe bed for easy access. You can also build shelves for arelatively inexpensive cost.

Organize the coffee table. Coffee tables get clutteredquickly. Make sure you keep only the bare essentials on thetable -- and clean the table's surface often.

Make sure your floor is showing. If you have kids or pethere's a good chance that your floor is littered with toys. Yocan teach kids how to pick up after themselves, depending otheir age. But with pets, you may need to keep another storabox handy.

Dust! You shouldn't have to spend hours dusting your hoon the weekends. Take a moment or two to wipe off surfaceonce a week. This keeps the dirt down and makes your houslook a bit shinier.

Create a place for every item. You should have adesignated place for every item you use. Racks, shelving --whatever you need to keep everything organized. That way,items don't end up piled on your dining room table or in theliving room.








What Kinds of MortgagesAre Available?

By Benny L. Kass

Once you have signed a contract for the purchase of your new home (or condominium or cooperative apartment), andassuming that you do not have all of the cash in your bankaccount, you will need to obtain a mortgage loan.

There are many different loans on the market - and manydifferent loan programs from which to choose. You shouldcontact at least three different lenders, and ask them to give youa list of the loans which they can offer you. Take careful notes,and remember one important thing: do not give any lender anymoney until you are absolutely certain that this is the lender -and this is the loan - you want to obtain.

Under the new mortgage lender rules issued by theConsumer Financial Protection Bureau CFPB), it is actually veryeasy to shop and compare. Oversimplied, the three basic loanprograms are as follows:

1. Conventional: this type of loan in generally availablerom a bank, a mortgage broker, or a credit union. Within thecategory of conventional loans, there are various optionsavailable, such as a fixed 30 year loan, or an adjustable rateoan (called an ARM).

ARMs adjust on a periodic basis, although in most caseshey will run for a period of thirty (30) years. Generally speaking,he shorter the term of the adjustment (such as a one year ARM) the lower the initial interest rate will be. However, whenhe adjustment period comes around, the interest rate for thenext adjustment will either go up or down, depending on theeconomy at the time of the adjustment. When interest rates arealling, an ARM seems like a good deal. However, when interestates are rising (as it appears they will be increasing as early ashe end of this year), the consumer who obtains a one-year ARM is almost guaranteed to see the interest rate hike as highas 2 percentage points at the end of the first year.

This is not a complex issue, and all lenders are nowrequired to provide you with a written explanation of the waytheir particular ARM works. Read it carefully and seekassistance from your financial and legal advisors if you haveany questions

2. VA Loans: This type of loan is generally available frommortgage brokers, It is called a VA loan, since only militaryveterans can obtain such loans. They are guaranteed by theVeterans Administration. There are certain conditions whichmust meet if you want a VA loan, and you should make surethat your potential lender provides you with all the details, upfront.

3. FHA loans: This loan is insured by the Federal Housi Administration. FHA will guarantee the lender against a defaby the borrower, but the borrower will have to pay an insuranpremium for this coverage. Once again, there are conditionswhich must be met before such loans can be obtained, and yshould discuss all these terms with the potential lender.

It is not possible in a short article to fully discuss all thevarious mortgage loans on the market. Furthermore, creative

lenders are always coming up with new programs in an efforbe competitive. However, not all these loans are in your besinterest.

You should shop around, and don't accept the first loan is offered. While the real estate agent and often the seller mgive you loan information - and the name of potential lendersonly you can make the final decision as to what is best for yo After all, remember that the life of the loan may be as long a30 years - and that's a long time to be stuck with anuncomfortable loan. For more information, go toconsumerfinance.gov, and search "Know before you Owe".









By Benny L. Kass

You and your spouse own your home and you would like tosell it. However, your spouse is currently unable to sign thesales contract. This is because he is either out of the country insome exotic far-away-place where fax and overnight delivery isunavailable, or because he is physically and mentally unable tomake decisions or sign legal documents.

What to do?There is a document called a "power of attorney", whereby

your spouse signs a legal document authorizing you to act onhis/her behalf. The giver of the power of attorney is called thePrincipal. The receiver is generally called the "attorney in fact".The latter is given the right to act on behalf of the principal, for he purposes and functions spelled out in the legal document.

There are two types of Powers of Attorney:1. General -- here, the principal authorizes the attorney in

act to take any and all actions as if the principal was takinghem himself. This is also known as a Durable Power of Attorney. Keep in mind that your own State law may havespecific requirements in order to sell real property by way of aPower of Attorney. Some states will not permit real estate to beconveyed by a General power of attorney.

2. Specific -- here, the principal gives specific informationand instructions to the attorney in fact. For example, sell myhouse located at 123 ABC Street; or write a $1,000 check to mynsurance company from my bank account. The specificnstructions are contained in the legal document, and the

attorney in fact has no authority to exceed those instructions.If you plan to sell your house, and find yourself in the

situation where one party in title will not be available to signcontracts, deeds or other legal documents pertaining to thesale, it is best to have your attorney draw up a Power of Attorney that meets your needs, as well as the legalequirements in the State where your property is located.

The principal may want to put a time limitation on the Power - for example one or two months. However, with a durable

power of attorney, the principal normally does not place any

such limitations. The purpose of a durable Power is to assurthat in the event the Principal becomes incapacitated, hisattorney in fact will be able to step in without having to go toCourt. Let's go back to our example. If your spouse knows inadvance that he/she will be out of the country when you wansell your house, have the Power of Attorney executed beforethe trip starts -- and give a long lead time before the Power expires. However, if you do not have a Power of Attorney and yospouse suddenly has a stroke -- or is otherwise unable tocomprehend and sign legal documents, then you will have toto your local Court and seek permission to become theConservator of the Estate of your spouse. This is a relativelyeasy (but potentially time consuming and expensive) procesThe Courts, however, want to make absolutely sure that youare sincere in your efforts to represent your spouse and thatyour spouse is, in fact, not able to sign any legal documentsThere is a lot of fraud involved, such as situations wherechildren try to use the conservatorship route to take awayproperty from their parents; accordingly, the Court will also locarefully at all of the facts, and if possible, will even interviewthe person to whom the conservator will be appointed. I oncattended an interview where the Judge went to the hospital tmake sure that no one was taking advantage of the sick pers Preventive law is the key; consider obtaining a durable

power of attorney now, while you both are in good health. Easpouse should sign a separate document, making the other spouse the attorney in fact. However, an alternative attorneyfact should also be designated, just in case both of you becoincapacitated at the same time. Your local attorney should be consulted to make sure yoare using the proper forms and that you fully understand theconsequences of your actions. A Power of Attorney givessomeone else the right to sell your house, and you want tomake sure that you are not giving away the store.

Equal Housing

Opportunity

Steven [email protected]

http://www.aslanian-team.com

RE/MAX Olson & Associates818-879-080030699 Russell Ranch Rd.

Westlake Village, CA 91362






By Andrea Davis

Winter can be a harsh, unappealing time of year to sell your home. With 2016 about to rev up, it's especially important tomake your home stand out if you want to sell in the New Year.Here are some essential tips for making your house #1 on themarket as the year begins:

#1 Warmth is top priority: Your home should always bewarm when a realtor conducts a walkthrough with buyers. Set aimer on your thermostat so it's warm when they arrive. Alsomake sure to check there are no leaks or problems with your

ducts and vents, as this could make rooms cold during awalkthrough.

#2 Keep the house bright: It's also important to ensurehat your home is adequately lit in each room. You want buyerso feel welcome and impressed with the kitchen, bathroom andbedrooms of your home. If a room has dim lighting or aburned-out bulb, it could take away from the overall appeal of he room. You should also consider spending a little extramoney to upgrade your lighting fixtures -- installing recessedighting in certain rooms will give your home a little extra "pop."Standing lamps are also a fantastic, affordable alternative toighting additions

#3 Try to make your landscape appealing: Although your yard will be mostly winterized during this time of year, there areseveral ways to spruce up your cold weather landscaping. Startby clearing your yard of any broken branches or large patchesof fallen leaves. It's also important to ensure that any ice or snow on or near your home's walkway is removed. If needed,you can hire a weekly snow removal service to keep your homesafe for buyer walkthroughs.

#4 Make the interior cozy: In addition to keeping your house well-lit and warm, there are other ways to make your

home cozy and welcoming to buyers. This includes: classicamusic (at a low volume), homemade treats (candy, cookies)holiday decorations (tinsel on the mantle, for example). Youwant buyers to feel as though they already live in your homewhen they walk through the door. When you offer them a cosetting, they will want to spend more time in your home andadmire its features.

#5 Keep the fireplace lit: While you should have the heon during a walkthrough, another warm and cozy feature is t

fireplace. If you've got a wood-burning model, this means yoneed to have coal or wood handy. You don't want to havemultiple showings a day and a fireplace that roars for only hathe visitors. This is especially important if the fireplace is cloto the entrance (all of that cold air gets in!).

#6 Prepare for any storms: Make sure there's anemergency kit on hand in your home in case your home suffan outage during a winter storm. This should include items l

Extra candlesMatchesBlanketsCar charger

Canned foodFlashlightWater

While your REALTOR® will be prepared for inclementweather, it's important that you be prepared to keep everyonsafe should the worst happen during a showing. And don'tforget to keep a secondary travel emergency kit to take wheyou're leaving for showings as well.


Steven Aslanian818-879-0800

[email protected]://www.aslanian-team.com







By Blanche Evans

As you think about selling your home, it may have crossedyour mind that you should just sell it yourself. In 2015,approximately 89% of home sellers hired a REALTOR®. Whatdo they know that you don't?

To sell your home yourself, you'll be competing againstexperts who have more tools and connections than you do. Inaddition to multiple listing services, broker Websites, real estate

Websites, personal Websites, and professional-grade videosand photos, real estate professionals network with each other tosell many homes before they are introduced to the marketplace.

You'll have to perform all the jobs a professional would door you, along with adopting a professionalism you haven't beenrained for, all while holding down your own job. When will youhave time to study the market, create a marketing plan, buyadvertising, show your home, and negotiate with buyers?

It's no problem for a Realtor when a buyer wants to see your home at any time, but will your boss let you take off in themiddle of the day to show your home? Will she allow you to usehe company's graphics and editorial team to whip out a topquality listing presentation for you? Will you have the long-termprice trends to defend your price to buyers?

You won't know whom you're allowing to see your home.Even if you could arrange a time to show your home to buyers,how do you know they aren't coming into your home to stealyour prescriptions or worse?

Serious buyers are vetted through their real estate agenand bankers so only buyers who are qualified to buy your hocan be allowed to see it. Do you know how to put a buyer through instant credit checks so you'll know whether or notthey're suitable before you let them in your home?

Real estate transactions are rife with opportunities to malegal mistakes. Do you know what you have to disclose to th

buyer to be compliant with state laws? If you did add-onsyourself and didn't get a building permit, you might be inviolation of city codes that could come back to bite the buyeand you.

Closing in a garage doesn't mean you can add squarefootage to your home without subtracting market value for nlonger having a garage. Your local taxing authority shouldreassess your home so that the size and amenities match thmarketing materials and disclosures you've provided about yhome.

Once you have a contract, you have to get to closing anmany contracts don't make it that far. The buyer can declinebuy for a number of reasons, including FHA or VA requiremethat your home might not meet. An agent can help negotiateproblems and make sure every entity in the pipeline is doingtheir jobs in a timely fashion so there are no bad surprises.Those are only a few of the many reasons sellers hire realestate professionals.








Understanding Smart Home TechnologySo You Can Explain It to Buyers

By Blanche Evans

The Internet of Things is quickly becoming a reality, andhere's no place where this is more obvious than in our homes.According to predictions from market researcher MarketsandMarkets, the global smart home market will grow toabout $58.7 billion by 2020, fueling a 17 percent compoundannual growth rate and creating a significant consumer marketor smart homes. Buyers know the benefits that come with thesesystems, and they want them in their homes — do you knowhow to sell it to them?

Here are a few of the more common smart home featureseal estate agents should be familiar with:

Smart Thermostats

Smart thermostats are one of the quickest and cheapestways to upgrade a home. A smart thermostat l ike Nest learnsrom the homeowner's habits and preferences and adjusts itssettings accordingly. It can also pull the weather forecast fromhe Internet to set the optimal temperature and create monthlyeports, all of which help the home be energy-efficient and savehe homeowner money.

Homeowners who use a smart thermometer can savebetween 10 and 12 percent on heating and 15 percent oncooling bills, according to the company website. Show potentialbuyers an example of the monthly report that Nest generates todemonstrate how much money they can save with this smartdevice. If you're showing a house that already has a smarthermostat installed, show the potential buyer how he or she willeap the savings benefit without having to invest in the upfront

cost of the device.

Smart Lighting

Being able to control your lights with your mobile device wonderful smart home feature. Philips Hue is probably the mpopular example of this type of smart lighting. Homeowners use a smartphone app to turn the lights on and off as well aschange the colors and brightness of the lights. If you have apotential buyer with young children, you could light up one othe bedrooms with a bright pink light to make it feel fun andyouthful. If you're trying to show off a home theater experienin the living room, put LED light strips behind the TV and synthem to music or a video for an immersive experience. This especially great for highlighting a movie or entertainment rooor showing a client that the space is great for entertaining.

If your buyer isn't interested in the aesthetics, explain themore practical features of smart lighting. For example, they cset schedules or set up sensors, so the lights automatically ton when they get home.

Smart Appliances

While getting a new appliance is a good way to increase

value of a home, going one step further with smart appliancemakes it a selling point. Whirlpool has developed washers,dryers and kitchen appliances that monitor energy costs anddelay or start their cycles when it is most energy-efficient timUsers control these appliances with an app, which enablesalerts and remote commands from anywhere there is a dataconnection. You should point out any smart appliances topotential buyers because they will save them money in enercosts and add value to the home.






january 2016 real estate update

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