This historic settlement will provide immediate relief to homeowners – forcing banks to reduce the principal balance on many loans, refinance loans for underwater borrowers, and pay billions of dollars to states and consumers,” said HUD Secretary Shaun Donovan.

The settlement, however, does not preclude the government from pursuing criminal or civil claims outside of the agreement, and borrowers and investors can still pursue individual or class action suits against the banks for robo-signing grievances, according to a statement from Iowa Attorney General Tom Miller, head of the attorney general negotiating committee.

It “preserves extensive claims related to mortgage securitization activities, including the claims that will be the focus of the new Residential Mortgage-Backed Securities Working Group,” Deputy Attorney General Eric Holder stated Thursday.

In addition to the $25 billion, the five servicers have agreed to a new set of servicing standards.

“These new customer service standards are in keeping with the Homeowner Bill of Rights recently announced by President Obama – a single, straightforward set of commonsense rules that families can count on,” Donovan stated Thursday.

The new standards call for an end to robo-signing, proper documentation procedures for foreclosure and loss mitigation, and enhanced communication with borrowers.

Source: http://www.dsnews.com/articles/robo-signing-settlement-finalized-2012-02-09

One in three first-time buyers received either a gift or a loan from their families to help buy a home in 2011, according to the National Association of Realtors.
Parents can step in and lend a hand by giving cash to their children. The Federal Government has a limit on the amount of money you are allowed to give away tax-free in any one year. In 2012, a taxpayer is allowed to give $13,000 to an individual without triggering the so-called gift tax.  Married couples can underwrite a child up to $26,000 a year.

Parents can offer better terms than the bank. The IRS insists that you charge an "applicable federal rate" minimum for various loan  maturities. The minimum interest range as of January is anywhere from .19% for loan terms of three years or less to 2.63% for loan maturities over nine years. The lender still pays income tax on the interest earned.

Experts stress the importance of drawing up a formal promissory note that spells out the terms. If the loan is properly structured as a mortgage and filed, the interest will be tax-deductible for your child. Having a contract also makes estate planning easier. The last thing you want to leave behind is a family squabble over a well-intentioned loan according to an article @ Fortune Magazine by Janice Revell

Source:
http://money.cnn.com/2012/01/31/real_estate/mortgage_lending_kids.fortune/

In the article, Schoen quotes Diggle as saying that there has been. " A 33 percent drop fall in home prices, a plunge in mortgage rates and 15 percent rise in rents since the housing crash has evened the scales. Today, the median monthly mortgage payment of about $700 has fallen to about the level of a median monthly rent check. If mortgage rates keep falling and rents keep rising, the equation will tip even further toward owning."

                                         

When you take those factors into account — which Diggle has done with a homegrown “calculator” — someone who plans on staying put for seven years would come out ahead by about $9,000 if they bought a median-priced home rather than being a tenant in a median-priced rental. Diggle’s calculation assumes that rents keep rising by about 3 percent a year and that house prices stay flat in 2012 and 2013 and begin rising in 2014 at about 3 percent a year.

“A large share of the population has dropped out of the pool of potential buyers,” he said. “Given that the choice between owning and renting a home is a luxury that many Americans simply do not have, the fact that this does appear to be the time to buy will have only a minimal effect on actual sales. Accordingly, we expect only a modest housing recovery over the next few years."

Source: http://bottomline.msnbc.msn.com/_news/2012/01/23/10217301-home-buying-could-soon-beat-renting

6 Brand New Townhomes!

Brand New Townhome features 2 bedrooms, 2 bathrooms.  An elegant yet contemporary style is utilized throughout the large open spaces. The townhome has a versatile design that can be decorated for modern style or shabby chic comfort. Gourmet Kitchen has granite counters and stainless steel appliances with custom cabinetry. Tile flooring accents the living area and open kitchen. The open floor plan leads you to an over-sized master suite, with large closets, hardwood floors, spacious baths with custom cabinetry & high ceilings. All bedrooms are spacious with high ceilings. Spacious laundry room is conveniently located upstairs next to the bedrooms. Additional storage & a large roof top deck are perfect for entertaining or simply relaxing. The building has secure access and gated parking with additional guest parking.

                               FEATURES:
   • 2 Bedrooms                                                      • Master Suite    
   • 2 Bathrooms                                                     • Large Closets
   • Open Floor Plan                                               • Hardwood Floors
   • Gourmet Kitchen                                              • High Ceilings
   • Granite Counters                                              • Laundry Room Upstairs
   • Stainless Steel Appliances                             • Additional Storage
   • Custom Cabinetry                                            • Large Roof Top Deck
   • Tile Flooring                                                     • Additional Guest Parking
                        



 

Brand New Townhome features 2 bedrooms, 2 bathrooms.  An elegant yet contemporary style is utilized throughout the large open spaces. The townhome has versatile design that can be decorated for modern style or shabby chic comfort. Gourmet Kitchen has granite counters and stainless steel appliances with custom cabinetry. Tile flooring accents the living area and open kitchen. The open floor plan leads you to an over-sized master suite, with large closets, hardwood floors, spacious baths with custom cabinetry & high ceilings. All bedrooms are spacious with high ceilings. Spacious laundry room is conveniently located upstairs next to the bedrooms. Additional storage & a large roof top deck are perfect for entertaining or simply relaxing. The building has secure access and gated parking with additional guest parking.

                               FEATURES:
   • 2 Bedrooms                                                      • Master Suite    
   • 2 Bathrooms                                                     • Large Closets
   • Open Floor Plan                                               • Hardwood Floors
   • Gourmet Kitchen                                              • High Ceilings
   • Granite Counters                                              • Laundry Room Upstairs
   • Stainless Steel Appliances                             • Additional Storage
   • Custom Cabinetry                                            • Large Roof Top Deck
   • Tile Flooring                                                     • Additional Guest Parking
                        



 

Brand New Townhome features 2 bedrooms, 2 bathrooms.  An elegant yet contemporary style is utilized throughout the large open spaces. The townhome has versatile design that can be decorated for modern style or shabby chic comfort. Gourmet Kitchen has granite counters and stainless steel appliances with custom cabinetry. Tile flooring accents the living area and open kitchen. The open floor plan leads you to an over-sized master suite, with large closets, hardwood floors, spacious baths with custom cabinetry & high ceilings. All bedrooms are spacious with high ceilings. Spacious laundry room is conveniently located upstairs next to the bedrooms. Additional storage & a large roof top deck are perfect for entertaining or simply relaxing. The building has secure access and gated parking with additional guest parking.

                               FEATURES:
   • 2 Bedrooms                                                      • Master Suite    
   • 2 Bathrooms                                                     • Large Closets
   • Open Floor Plan                                               • Hardwood Floors
   • Gourmet Kitchen                                              • High Ceilings
   • Granite Counters                                              • Laundry Room Upstairs
   • Stainless Steel Appliances                             • Additional Storage
   • Custom Cabinetry                                            • Large Roof Top Deck
   • Tile Flooring                                                     • Additional Guest Parking
                        




  


 

“The American electorate is sending a clear message that owning a home remains a cornerstone of the American Dream and preserving a federal commitment to homeownership is essential to maintain a thriving middle class and get housing and the economy back on track,” said Neil Newhouse, a partner and co-founder of Public Opinion Strategies.

“With the 2012 election season in full swing, candidates running for the White House and Congress would be wise to heed the will of the American voters, who have expressed broad support for government policies that encourage homeownership and oppose efforts to make it more difficult to get a home loan and to tamper with the mortgage interest deduction,” said Celinda Lake, president of Lake Research Partners.

“Even in a down housing market, homeownership remains a core American value, with the vast majority of citizens who do not currently own a home saying they want to buy a home,” said Bob Nielsen, president of the National Association of Home Builders and a home builder from Reno, Nev. “Those running for office in November need to understand that voters will not look kindly on any candidates who seek to dismantle the nation’s long-term commitment to homeownership.”

Poll results can be downloaded at www.nahb.org/homeownershippoll.
Source:  http://www.nahb.org/news_details.aspx?newsID=14563

Dienhart and Lee surmise that between investors searching for yields and current tight lending standards, cash purchase of homes (especially distressed properties) became even more common in 2011.

Reporters Dienhart and Lee also stated that according to data from Housing IntelligencePro, 38% of homes purchased in 2011 were bought with all cash.  That is up from 34% in 2010 and double the 19% rate in 2006. 

They also note that this trend is likely to continue in the near term, with investors being responsible for an increasing share of home purchases as prior home owners abandon the ownership market and head back to rentals.

Investors have good reasons to purchase a house with all cash.  One of these reasons is that there is no loan processing to slow or stall the transaction. The buyer does not need thirty to forty five days to qualify and obtain a loan.

Sellers will often accept an all cash offer over a higher priced offer, because they know the cash offer is more likely to close.

A faster closing puts the money into the seller's pocket sooner and there are fewer things that can go wrong in a short escrow period.

Source: www.housingintelligence.com/economics/38-of-homes-purchased-with-cash-2.html
http://homebuying.about.com/od/investmentproperties/f/062308_pay-cash.htm

This Historic Arts & Crafts property originally built in 1910. Pierpont Inn offers a unique collection of beautiful architecture from every decade with 76 elegant rooms including two garden cottages and The Luxurious Ocean View Austen Pierpont Suite.  This 70,000 SF of beauty is sitting on 6.2 ACR with the most amazing gardens perfect for all occasions. Pierpont Inn is known to have the largest kitchen in Ventura County. 

Featuring:

• Panoramic Coastal Views
• Award Winning Dining
• Fitness & Spa Services
• Flexible Meeting Space
• 10 Conference Rooms
• Pierpont Pavilion
• DSL Internet Connection
• Complete Catering Services
• Business Retreat Center
• Team Building Activities
• Historic Architecture & Décor

From exclusive executive retreats to grand gala events in the Pierpont Pavilion, experience business and pleasure at it's finest.

Management companies carry out the duties of the association.  They collect HOA dues, manage maintenance, and handle the owner/tenant complaints as well as evictions.  Good property management companies have a wide range of experience to be able to handle any problem that may come up concerning the property.  Another advantage, the property management company is an independent contractor.  This eliminates the Homeowners Association’s need to hire any employees. 

There are risks in not knowing all the ins and outs of property management.  The management company will have experience dealing with liabilities, paperwork, employment, and the right vendors for maintenance, as well as professionals who know the tax issues, local rules and laws concerning the property.  The Homeowners Association might not have the expertise or may not want to be involved with the many details of hiring and coordinating the services required.

Often it is well worth the fee a property management charges, considering all the duties they perform. Paramount Real Estate & Property Management is here to meet all your Homeowners Associations needs.  We are able to handle the property service requirements so that you can enjoy your home worry free.

Source:http://www.nolo.com/legal-encyclopedia/landlord-hire-property-management-company-29885.html

Located on Malibu's pristine shore this property has a spectacular setting. The home offers an open floor plan with 2 Bedrooms, 2 Bathrooms, spacious beach front deck, large master bedroom with large master bathroom, jet tub with separate shower, large kitchen, wood cabinets, stainless steel appliances, granite countertops, tile floors and much more.
 

• 2 Bedrooms
• 2 Bathrooms
• Beach Front Deck
• Master Suite
• Jet Tub with Separate Shower
• Large Kitchen
• Wood Cabinets
• Stainless Steel Appliances
• Granite Countertops
• Tile Floors
   

Despite the challenging economic times the company continues to be rewarded.  Paramount Real Estate and Property Management is delighted with their accomplishments.  Our goal is to continue the upward momentum in both real estate sales and property management business.  2012 looks even more promising than this past year and we continue to be proud of our achievements.

Without the dedication and commitment of our client base and our loyal team this fantastic year would not have been achieved.  Paramount Real Estate and Property Management would like to Thank You for all your continuous assistance, because we could not have been victorious without your support.

On behalf of all of us at Paramount Real Estate and Property Management we would like to wish you a

HAPPY and PROSPEROUS NEW YEAR!

BANK OWNED TOWNHOME COMPLEX
Stunning 3 Detached Units on a beautiful street built in 2007. Each unit has 4 Bedrooms and 2.5 Bathrooms with approximately 2,294 Sq. Ft. of Living Space. Each unit is offering Open Floor Plans, Formal Living Rooms with Fire Places, Formal Dining Rooms, Stunning Kitchens with Granite Countertops, Stainless Steel Appliances, Walk-in Pantries, Huge Master Bedrooms with Large Bathrooms & Grand Walk in Closets, Large Bedrooms. Each unit has an attached 2 Car Garage along with 6 Additional Guest Parking's. Each unit has its own Front Porch & Private Yard.

Each Unit has:

• 4 Bedrooms
• 2.5 Bathrooms 
• Approximate 2,294 SF Living Area
• Each Unit has a 2-Car Garage 
• Additional 6 Guest Parking in the site
• An Appraisal Value as of 9/21/2006 was $2,130,000

To establish or reestablish credit, the best thing is get a secured credit card from a bank where you have a checking account. Pay your bills on time. Late payments can cause your credit score to drop as much as 100 points.

Maintain 4 to 5 revolving accounts with a zero balance and have no more than 3 accounts with balances of 30% of the high credit. Do not open new accounts unless you have to and do not close accounts. Having two installment loans will help create a good score, any more than that will have a negative effect. Do not co-sign loans. If the co-signer makes a late payment it will end up on your credit report.

A good thing to know, inquiries in a 45 day period for the same industry will only count as 1 inquiry.  So, when shopping for an auto or mortgage loan try to do it within a 45 day period.  When purchasing or refinance your home, hold back on acquiring additional credit card debt until the close of the loan.

Be sure to check your credit report with each of the 3 credit bureaus. Make sure all the information is current and up to date. The credit bureaus will allow you to sign up for a security freeze.  The security freeze cost $5 to open and an additional $5 reinstate.  Once the freeze is put on the account no additional credit can be obtained. The security freeze will help limit your risk to fraud.

Source:  http://www.epropertysites.com/blogs/1283475807/73/How-to-Maintain-and-Create-a-Good-Credit-Score.html

Distressed property sales accounted for 52.5% of the Southland resale market last month, up from 50.8% in September but down from 53.7% a year earlier. Nearly one out of three homes resold last month was a foreclosure, while roughly one in five was a “short sale” according to DataQuick , a real estate information service.

Indicators of market distress continue to move in different directions. Foreclosure activity remains high by historical standards but is lower than peak levels reached over the last few years. Financing with multiple mortgages is very low and down payment size are stable, DataQuick reports.

“For a few months now, lower prices and amazingly low mortgage rates have kept resale activity slightly ahead of last year,” said John Walsh, DataQuick president.

Source: http://www.dqnews.com/Articles/2011/News/California/Southern-CA/RRSCA111115.aspx
 http://pacificpalisades.patch.com/articles /los-angeles-county-home-sales-jump-prices-dip-in-october-back-up-story-71097c26

Midnight shopping was the gimmick that got the shoppers out early. Cyber shoppers were also out in force, creating a 24 percent increase in online spending according to IBM, which tracks sales at 500 online retailers.

Bill Martin, who founded ShopperTrak, said he was surprised by the strong showing. He had expected the weak economy to dent consumer confidence and keep more shoppers out of the stores, or at least from spending much. Instead, he said, they responded to a blanket of promotions, from 60 and 70 percent off deals to door-buster savings on electronics.

An extremely important start of the upcoming sales season, Black Friday often indicates how consumers will spend during the remainder holidays.  This day is usually the biggest sales day of the year. In 2010 Thanksgiving shopping resulted in being 12.1 percent of the entire holiday sales. About half of that was directly from Black Friday.

Source: http://www.huffingtonpost.com/2011/11/26/black-friday-sales-up-seven-percent_n_1114349.html?ref=business
http://latimesblogs.latimes.com/money_co/2011/11/black-friday-holiday-weekend-shoppers-sales-traffic-records.html

Many spectators bring their chairs and blankets and sit on the sidewalk. The local restaurants will be open and there is parking available in the open city parking lots, on the side streets and in the surrounding neighborhoods. This parade is well attended so officials suggest arriving early.

Many local bands, celebrities and organizations participate in this annual event including the traditional arrival of Santa Claus in his famous Glendale Police Department Helicopter.

Hope to see you there!

Happy Holidays from all of us here at Paramount Real Estate & Property Management.

Source:
http://www.directoryofglendale.com/blog/local-news/33rd-annual-montrose-christmas-parade
http://www.montrosechristmasparade.com/2011Event.htm
http://www.shopmontrose.com/old-town-christmas.html