Can a Homeseller Make Me Use a Certain Lender?

Question: “Can a homeseller make me use a certain lender? I’m looking at a home and the listing agent says I have to use their lender. Isn’t that illegal?” Answer: I just listened to a real estate legal seminar and they discussed that very topic. It is 100% legal for the seller to require you
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Getting a Reverse Mortgage

Question: “My wife and I are almost 70.  We don’t want to move for 1-2 years, but we saw a one-story home in Oregon that we’d like to buy now and move to later.  What do you think of getting a reverse mortgage to get the cash to buy that home?” Answer: Reverse mortgages can
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Will Starting a Short Sale Prevent Foreclosure?

“I’m several months behind on my mortgage and need to do a short sale.  I’m afraid the bank is going to foreclose, but an agent told me that once I start a short sale the bank it’s illegal for them to foreclose.  Is that correct?” ***ANSWER: I wish it was.  You’re talking about California Senate
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Hard to Get a Loan on a Fixer Upper?

Question: “Is it hard to get a loan on a fixer upper house?” Answer: It depends on the home’s condition and the loan type. If a home is ugly, worn, or dated that won’t impact financing. If there’s peeling paint, torn carpet, or various other items too lengthy to list here, you can’t get an
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Why Does the Seller Pay the Buyer Costs?

Question: “I just got an offer on my house, but the buyer wants me to pay $10,000 of his closing costs. Why should I pay his costs?  And why didn’t he just offer a lower price instead?  This seems kind of shady, like they’re trying to defraud their bank.  Have you heard of this?” Answer:
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Are There Down Payment Conventional Loans For 3% Down?

Question: “I keep hearing that there are low down payment conventional loans out there, for as little as 3% down.  Is that correct?” Answer: Mortgage lending programs keep “evolving.” A few months ago, Fannie Mae began accepting (buying) 3% down conventional loans up to $417,000 for the first time since the mortgage meltdown. Well, they’ve
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Will Running Your Credit Multiple Times Ruin Your FICO Score?

Question: “I recently had a realtor tell me that running my credit multiple times for the purposes of obtaining a home loan/mortgage would not take points off my credit score. Is this true?  Is this different than having my credit run several times for, say, an auto loan?” Answer: That Realtor was correct.  To get
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Can the Bank Require Home Repairs?

“I’m buying a house with 20% down and my bank just said that there’s a cracked window and some electrical items that need to be fixed.  Can they do that?” Answer: Remember the golden rule: “He who has the gold makes the rules.” So yes, the bank can require that. This is more common on
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You’re Taxed on Taxable Gain When Selling, Not Net

Question: “I have no mortgage on my home and I know when I sell I’m going to pay a lot in taxes.  Can I just put a big loan against it so I pay less tax when I sell?” Answer: Sorry, but you’re taxed on your taxable gain, not on your net. Here’s the basic
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Must You Stay in San Diego to Keep Your Low Tax Base?

Question: “I heard that if you’re over 55 and sell your home, you can keep your low Proposition 13 tax base.  Do you have to stay in San Diego County to do that?” Answer: (I’ve addressed this before, but so many seniors are unfamiliar with it, I’m happy to go over it again…) Many seniors
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