Snohomish County Real Estate Blog

All of us here at Golf are looking forward to another great week and we hope you are too.  Golf has a few new products that we are offering.  We have come out with a 7/1 ARM for our Premier Tier.  Our Premier Tier is a basic jumbo product intended for high quality loan purchases.  We are also offering a 5/1 and 7/1 ARM product for refinances.  So contact your local Golf Savings Bank Loan Officer for more details about these products and how they can help you make your dreams of homeownership come true.

Have a great week,

Jason Tsang - 425.673.8288

Choosing a Fixed Rate Loan

Fixed rate loans generally come with one of two options; the 30-Year Fixed and the 15-Year Fixed. If a borrower is planning on being in the same home for a long period of time, a 30-Year Fixed may be more attractive because it offers stability. The monthly payment will remain consistent over the life of the loan. If interest rates are at historic lows at the time the borrower is seeking to obtain financing, this is a good program to consider.

A 15-Year Fixed loan program offers the same stability, but the accelerated amortization schedule makes the monthly payment substantially higher. While the interest rate may be lower on this type of loan, the borrower must be willing to commit to a higher monthly payment. If the borrower wishes to retire in 15 years and be debt-free at that time, this loan program may be more suitable to the borrower's long-term needs.

It is also possible to make pre-payments on a 30-Year loan and reduce the life of the loan, as well as the overall interest payment, without committing to the higher monthly payment of a 15-Year program. As long as there is no pre-payment penalty associated with the 30-Year mortgage, pre-payment offers the borrower the latitude to make additional payments when it is affordable. If cash flow becomes difficult, this arrangement will not put the borrower in a compromising position.

To apply for a fixed rate loan, please feel free to visit my website: www.golfmortgagepros.com

Thanks!

Jason Tsang - 425.673-8288

By: Jason Tsang

Now is the time to buy!  There is only 10 weeks left of the Homebuyer Tax Credit ($8,000 to first time buyers and $6,500 for current homeowners wanting to move).  You might not have another opportunity like this.

In January there was an 8.9% increase in home building in the West.  It is said this is due to the small drop in the unemployment rate and low mortgage rates.  Some builders think the low mortgage rates are due to the Home Buyer Tax Credit.  Experts are worried the increase in home building will halt if mortgage rates go back up once the government fails to renew the Home Buyer Tax Credit and discontinues it's support.  The tax credit expires April 30, 2010.  So don't miss out on this chance to take advantage of the tax credit and the low rates available. 

To learn more, go to www.golfmortagepros.com

By: Don Sieb

Lakeside at Wonderland

Lakeside at Wonderland is located in Snohomish, WA in the Three Lake area in Snohomish County.   This sited is being developed on 55 acres of mature evergreen forests at the edge of Flowing Lake. Nearly 40 acres of the natural environment is preserved in Protected Open Space and Habitat areas. Large 2/3-acre home sites merge living spaces amongst tall evergreen.

Seven Hundred Thousand people now live in Snohomish County and Three Hundred Thousand more are estimated to be living here by 2025. A hundred thousand new homes will be needed for the new families and of those new homes ONLY 20 WILL HAVE THE AMENITIES provided in Lakeside at Wonderland.

What is a Sustainable Lifestyle Community?

A sustainable lifestyle community is an outcome of a design that focuses on increasing the efficiency of resource use — energy, water, and materials while reducing impacts on human health and the natural environment. Large portions of natural areas are protected in Open Space and developed areas have been designed to minimize impacts by incorporating Low Impact Development (LID) techniques for locating roads, homes, and other infrastructure like the management of storm water.

Low Impact Development (LID)

The primary goals of Low Impact Development are to first maximize protection of the natural environment (save the trees) and minimize the creation of impervious surfaces (less asphalt). Even the greenest developments clear land and create impervious surfaces. Mitigation of these impacts through proper management of the changes in storm water runoff are accomplished in water sensitive landscapes—“Rain Gardens”. Use of Rain Gardens or Bio-cells also re-creates a more natural groundwater hydrology that allows a natural recharge of the local water features and aquifers.

Accepting Advanced Reservations

If you are considering building a custom home you owe it to yourself to preview this new gated community. 
Lakeside at Wonderland provides homes with the perfect marriage between recreational amenities and family living. If you want lakeside living on one of four fully recreational lakes in the county; if you want golf out your backdoor; if you want commune with wildlife on trails through mature forests; if you want resort style living everyday; if you want to live close to trees and nature; you need to make sure to Reserve your home site at Lakeside now; this type of living will not be available for long.

To Learn More please visit www.lakesideatwonderland.com

By: Don Sieb

 
News on Thursday that the Fed would raise the interest rate that it charges banks for temporary loans was seen by lenders as a sign that their long, profitable period of ultralow rates was coming to an end. The discount rate applies to loans the Fed makes for very short terms, to sound depository institutions, as a backup source of financing.
While the move will not directly affect home mortgage, credit card or auto loan rates, it was a clear sign to the markets and the country as a whole that the era of extraordinarily cheap money necessitated by the crisis was drawing gradually to a close.

The Fed’s board of governors raised the discount rate on loans made directly to banks by a quarter of a percentage point, to 0.75 percent from 0.50 percent, effective Friday.
The modifications are not expected to lead to tighter financial conditions for households and businesses and do not signal any change in the outlook for the economy or for monetary policy.
 
Despite that attempt at reassurance, there were some early signs after the announcement that investors were already beginning to anticipate broader interest rate increases. Stock futures fell in after-hours trading; yields on 10-year Treasury notes rose about seven basis points, or seven-hundredths of a percentage point, to 3.8 percent; and the dollar gained slightly.

My suugestion...If you are considering purchasing a home I would recommend you do so soon. The Tax credits for buying homes is set to expire on June 2010.  We still have no indication is these tax credits will be extended. 

To learn more about Local industry home tends visit us at Market Watch.

By: Don Sieb

Starlite Crest has announced a New Home Construction community located Snohomish County-Lynnwood, WA

Starlite Crest is snuggled within a vibrant friendly community and is designed for homebuyers that want the conveniences and advantages of urban in-city lifestyles with space to enjoy outdoor activities.  With your own game court and the community park, activity and fitness is always just a few steps away.  Starlite Crest has fantastic shopping & dining opportunities at the nearby Alderwood Mall.

Starlite Crest Offers 26 New Homes Starting at $299,950.

This new home construction community offers 26 new home sites with homes starting at $299,950.  Starlite Crest homes are available with 3 and 4 bedroom floor plans and several choices of exterior elevations.  The first release of six (6) new homes will be move-in-ready in late February 2010.

Customize Your Home
One of the most exciting aspects of buying a new home in Starlite Crest is the opportunity to customize your home to make it yours. Homebuyers can select from a number of custom options available to personalize their new home.  With a focus on creating homes suited to individual lifestyle, and a willingness to listen to customer needs, Starlite Construction homes quickly became known as the builder of quality and choice.

Starlite Crest Has Set Aside Significant Space for Outdoor Activities
Image a short walk from your home where the young and old can enjoy a round of Basketball in the Sport Park or relax as the younger children work off some energy in the Community Playground area.

Special Financing Available
Special Financing is available through the Starlite Crest preferred lenders. FHA and VA financing is also available. Homebuyers purchasing these homes are eligible for a Homebuyer Tax Credit – Providing Outstanding Opportunities for Homebuyers who act before 4-30-2010 and complete their transaction before 6-30-2010.

Please visit StarliteCrest.com to learn more about this new community in Lynnwood.

HomeSeeker Center, Co-op marketing program designed for participating real estates agents in the King, Pierce and Snohomish Counties

HomeSeeker Center was formed to serve the needs of participating real estate agents in (King, Pierce and Snohomish Counties). If you are actively promoting your business services you no doubt have found that it takes a lot of time and money to develop a personal website, drive traffic to your website and to capture new business.

HomeSeeker Center dedicates itself to marketing programs designed to get results so you don’t have to. We leverage all the technology tools, affiliated partner programs, blogs, SEO and Pay Per Click (PPC) campaigns to create and sustain web visibility and traffic. Our relentless pursuit of analyzing traffic, testing new programs and maintaining a content rich website has resulted in HomeSeeker Center being one of the top Real Estate sites in Snohomish County.

Affordable Co-Op Marketing

HomeSeeker Center developed its Co-Op marketing program to maximize the online marketing exposure while minimizing marketing cost. This “Group Ad” approach creates the opportunity to fill the top of the sales funnel with prospects and does so at a fraction of the cost an individual agent would have if each agent runs similar online marketing programs.

Competitive Advantage

As Real Estate professionals, you realize that the Internet heavily influences today’s consumers. That’s why you have a personalized website. But to get results, you need to stand out from your competitors and attract a higher volume of visitors on your website. Otherwise, your site is a needle in a haystack.

Lead Management and Referral System

Leads within the agents “Sponsored City” are forwarded to the participating agent. Those leads that are in the early stages of a search are incubated by HomeSeeker Center until the timing is right for the consumer…then forwarded to the Sponsoring real estate agent.

To Learn More About How HomeSeeker Center Lead Referral and Co-Op Marketing System Works…please see us at www.hsc-leads.com

Lakeside at Wonderland is located in Snohomish (sno-HOH'-mish) County in northwest Washington State.   Just 40 minutes north of Seattle.   Nestled on the sparkling blue waters of Flowing Lake and the rugged, snow-capped peaks of the Cascade Mountains…Lakeside at Wonderland is a unique and rare community created for Living and Recreating so seldom found…All this plus you are within minutes of all the connivances of services are you need.  It truly is the best of both worlds. 

Lakeside at Wonderland, is accepting advanced reservations for lots for sale. Lakeside is sited on 55 acres of mature evergreen forests at the edge of Flowing Lake. Nearly 40 acres of the natural environment is preserved in Protected Open Space and Habitat areas. As one of only four ski-boat lakes in Snohomish County, and the only community featuring both lakefront and a neighboring golf course, Lakeside is a setting created for Living and Recreating seldom found.

Lakeside at Wonderland has over 7,000 feet of Nature Trails connected to each Resident Home site and ending at the Community Park. Nestled among tall firs trees and mature evergreen forests, the trails provide a perfect setting for healthy living. This is truly your sanctuary to recharge your soul and relax your mind. Revitalize your body through a range of hiking, trail-running and exercise installations while communing with nature. According to American Trails Organization “trails are the most popular amenity preferred by homeowners; natural surface trails are the preferred surface by 80% of homebuyers”.

Lakeside strives to preserve and enhance the natural qualities of the land to ensure families will be able to enjoy their spot in paradise for generations to come. Lakeside is merged into 55 acres of mature evergreen forests with 321 feet of shoreline. Low Impact Development (LID) practices with 40 acres of open space and habitat preserve; minimization of paved surfaces; and low level LED outdoor lighting enable an unparalleled sense of privacy rarely found in other communities provides a Lifestyle unmatched anywhere else in an elegant playground of spectacular amenities and serene mature evergreen forests.

To learn more about this planned gated community visit www.lakesideatwonderland.

A growing list of experts calling for the Obama administration to scrap its failed foreclosure-prevention plan in favor of one that would actually help troubled homeowners keep their homes.

The Congressional Oversight Panel that Warren heads issued a new report Wednesday, concluding that the government's $700 billion bailout program did in fact help stabilize the financial system -- but has largely failed to boost lending or prevent foreclosures.  The latest report spelled out just how dramatically the administration signature foreclosure effort, called the Home Affordable Modification Program, has fallen short:

•    Nationwide, only 10,187 homeowners have received permanent mortgage modifications. That's only 4.7 percent of those enrolled in three-month trial plans. In October, Herbert M. Allison Jr., the Treasury Department's assistant secretary for financial stability, told the panel that Treasury had internally forecast that "up to 75 percent" of trial modifications would achieve permanent status.

•    Of the 79 mortgage services enrolled in the program, only 10 have received payment for successfully modifying loans on a permanent basis. They earned $2.3 million for their efforts. By contrast, the administration had set aside $50 billion in bailout money for modifications on mortgages not owned by government-backed mortgage giants Fannie Mae and Freddie Mac.

The data is through the end of October. The administration launched its foreclosure prevention drive in March.
HAMP was supposed to help three to four million homeowners avoid foreclosure by modifying their mortgages, enabling them to make lower monthly payments. But with 10 percent unemployment (a 26-year-high), mounting foreclosures and as many as one third of all homeowners with a mortgage currently owing more on the mortgage than the underlying property is worth, the program simply "isn't working," Warren said.

"The program that Treasury has designed does not have the scope, the scale, or the permanence needed to deal with the foreclosure problem," she said.  It's a stinging indictment of a program launched to great fanfare not even a year ago, as President Obama sought to help aggrieved homeowners on Main Street who had watched for months as massive infusions of taxpayer dollars went to Wall Street instead.
Even though the Treasury Department every month touts the numbers of homeowners signed up for trial plans as a sign of progress, Warren's panel notes in its report that monthly foreclosures still far outpace the number of new trial modifications.  "The Panel emphasizes that it is the number of foreclosures averted, not the number of trial modifications offered or even trial modifications commenced, that is the proper metric for evaluating HAMP," the report reads. "As currently structured, HAMP appears capable of preventing only a fraction of foreclosures."

By contrast to the program's target of three or four million homeowners helped, the report notes: "Projections for foreclosure range from 8.1 million over the next four years to as high as 13 million over the next five-plus years."  So even if Treasury actually hit its target the program would still only be dealing with a third of projected foreclosures.

A major source of the panel's frustration is the program's failure to adequately address the problems of unemployed homeowners and those with negative equity.  Those without a job typically don't have enough income to qualify for the program.  And what homeowners who owe more on their houses than they are worth really need is to have their total debt reduced. But HAMP doesn't incent lenders to reduce principal. So "underwater" homeowners might see their interest rates reduced through HAMP, but if their principal remains unchanged, they are at increased risk of defaulting again.

"No one is helped by a program that kicks foreclosures down the line.  The panel's report suggests that Treasury (like the FDIC is doing) should consider principal reductions.

Snohomish County, WA.Real Restate Short Sale Program

The Obama administration laid out guidelines that should make it easier for some financially troubled borrowers to sell their homes.

Guidelines for Short Sales

The guidelines are designed to encourage the use of short sales, transactions in which the borrower with lender approval sells the home for less than what is owed on the loan. The program also makes it easier for borrowers to voluntarily transfer ownership of properties through a “deed in lieu of foreclosure.”

Short sales can result in higher prices than foreclosures and can be less damaging to local neighborhoods, in part because homes aren’t left vacant and exposed to vandalism. But these transactions are often difficult to complete.

Borrowers and mortgage companies to receive funds from Government Under the plan

Borrowers will receive $1,500 from the government if they sell their homes for less than the amount of their mortgages. Mortgage-servicing companies will also receive $1,000 for each completed short sale.

The program is open to borrowers who may be eligible for the government’s loan-modification program, but don’t end up qualifying, or are delinquent on their modification, or request a short sale or deed-in-lieu transaction.

The short-sale program is the latest addition to the Obama administration’s $75 billion foreclosure-prevention plan, which includes incentives for mortgage companies and investors to rework troubled loans.

The government first said in May that it would include short sales in the program, but it has taken months to finalize the details.

Second Mortgage receive up to $3,000 to release their liens Under the new guidelines, second-mortgage holders can receive up to $3,000 of the sales proceeds in exchange for releasing their liens.

Investors who hold the first mortgages, meanwhile, can collect up to $1,000 from the government for allowing such payments. Borrowers who complete a short sale under the program must be “fully released” from future liability for the debt, according to the guidelines.