February 2013
ARE YOU AWARE?
Home clothes dryers account for more than 22,000 home fires per year. When lint builds up in
the dryer or the exhaust duct which can block the dust flow, it can result in a fire.
You can avoid the risk of starting a fire in your dryer by following a few simple preventative
measures.
1. Always remove the lint from the filter before drying a load of clothes.
2. Have your dryer vent checked and cleaned once a year. If clothes are taking longer than
normal to dry, there could be significant lint build up in the vent. It is advisable to clean around
and under your dryer periodically.
3. Never store flammable materials close to your dryer.
4. Clothes that are soiled with gasoline or other flammable liquids should be washed more than once and dried on the lowest possible heat setting.
5. Rigid metal or flexible metal duct work is preferable to the plastic accordion type.
6. Ductwork vented through the roof will require cleaning more often as some of the lint will fall back down when the dryer completes the cycle.
Following these few simple tips will help to keep your home and family safe from a
catastrophic fire.
Owen Brennen
BPG Home Inspection Services
818-472-7338
SHORT SALE MYTHS
MYTH 1 – You have to stop making payments in order for the bank to approve a short sale.
The banks need a pivotal reason in order to approve a short sale (loss of job, relocation, divorce, etc.). With current market conditions, banks generally understand the request of a short sale regardless of a missed payment.
MYTH 2 – I have two mortgages…there is no way I can do a Short Sale.
When the short sale process was just beginning, many people did not try a short sale if they had a second trust that was going to be shorted. After the huge wave of foreclosures, 2nd trust holders wised up. Now instead of foreclosing on a property and receiving $0, they have started to accept pennies on the dollar…which is better than getting nothing. In situations when the first is also going to be shorted, the 2nd will usually ask for a low dollar amount from the first or from the seller. Usually a repayment plan can be worked out that is very favorable to the seller.
Gene Bleecker
First American Title
661-510-5628
genetitle@gmail.com
NATURE INSPIRED
HOME TREND
This years home design trend is nature inspired living using color and texture. Emerald green was named the color of the year. This color represents nature, balance and harmony. It can be a beautiful backdrop for any room and is extremely versatile. The rich color has the ability to be both elegant and casual. You don’t want to overuse a trending color or style, but used in moderation can refresh any space. A few ideas for a quick update, is to add emerald toned pillows in a velvet fabric or graphic print. Accent elements placed on a mantel or sideboard add interest. For example, picture frames lacquered in the accent color or grouping vibrant vases together of the same color tone, but different shapes, adds another layer. One of my favorite ideas is to re-work a unique piece of furniture you may already have or purchase at a flea market. Explore painting or re-upholstering it in a vibrant color for a unique "wow" in a room. When using color remember to marry it with texture to give the space harmony and balance. The emerald green is a beautiful spring board for other colors such as tangerine, lemon yellow or grays. Don’t be afraid to experiment, some of the best ideas come from taking a chance.
Debbie Borreson
Borreson Design
661-510-0656
borresondesign@sbcglobal.net
BUYER BEWARE OF
FLIPPED HOMES
With the recent foreclosure many homes have been purchased from banks by investors. The investors buy distressed homes at a discount, fix them up and resale them for a profit. It works for many of us who do not want to buy a home that needs major work from a bank. However, recently I have noted a disturbing trend. Homes that have been recently purchased are now discovering they have a costly termite or other wood destroying organism (WDO) problem.
Why it’s happening.
• Homes purchased without a termite
inspection.
• No requirement to correct termite issues.
• Some (not all) flippers ignore or hide
problems.
• Refurbished homes keep problems hidden
from inspectors.
What to do.
• Always have home inspected by a reputable
WDO termite inspector.
• Get copies of previous inspections reports.
Here: www.wdopestboard.ca.gov
• Ask your termite inspector to review the
history of the home, if possible. Go over any
issues and make informed decisions.
Dan Caballero
General Manager
CVA Exterminators, Inc
danc@cvaexterminators.com
HOW TO PROTECT YOURSELF AND YOUR FAMILY WITH HOME INSURANCE
Your home policy protects you in six primary ways; this month I’ll cover the Other Structures Coverage.
Other Structures
The most common Other Structures are sheds, stand-alone garages (known as "detached" garages in insurance terms), barns, pool houses, etc. These structures are not directly attached to your home, the "dwelling".
Other Structures have their own protection limit – the most your company will pay to rebuild them – as stated on your Declarations page. This limit will be significantly less than the dwelling limit… usually 10% - 20% of the dwelling.
For most people that’s plenty of insurance for other structures, but not for everyone. You need to know what it would cost to rebuild or replace those structures if they’re destroyed. Discuss it with your agent’s office. You can buy more protection for your other structures if you need it.
Tarrell Florent, ChFC, CLU
State Farm Insurance
Office: 661-255-2660
www.ScvInsuranceGuy.com
WHAT IS THE VELOCITY OF MONEY AND HOW DOES IT
IMPACT HOME LOAN RATES?
If you’ve been watching the economic news, you’ve probably noticed that market experts and traders have been keeping a close eye on the Commerce Department’s Personal Spending and Personal Income reports. Obviously, those reports provide insight into the health of our economy, but did you know they also influence home loan rates? That’s right, personal spending can actuall influence the interest rates that are available when you purchase or refinance a home.
Here’s why. It has to do with something called the velocity of money. Even though the government keeps pumping money into the system, nothing happens until that money is spent or lent – and passes from one hand to another or one business to another. The speed at which this money passes between parties is called the velocity of money.
With the job market still very sluggish, consumers aren’t spending much money these days, and businesses are still reluctant to spend money to make investments in their business. With the present velocity at low levels, inflation remains subdued and that’s good for home loan rates. That’s because rates are tied to Mortgage Bonds and inflation is the archenemy of Bonds, so low inflation is good for Bonds and rates. However, once velocity increases, the excess money in the system will cause inflation – which is bad for rates, since even the slightest scent of inflation can cause home loan rates to worsen.
While we certainly want to see better economic recovery news in the near future, we have to remember that there’s an inverse relationship between good economic news and Bonds and home loan rates. Weak economic news normally causes money to flow out of Stocks and into Bonds, which helps Bonds and home loan rates improve. Strong economic news, on the other hand, normally has the opposite result.
Currently, home loan rates are at a historically low level, but that situation won’t last forever. That means now is an ideal time to purchase a home or refinance before the velocity of money – and rates – change.
Terry Bleecker
661-287-1900
Branch Manager
Golden Empire Mortgage
Designed By Breanne DeMack • 661 251 8080