Do Buyers Now Pay for Termite Clearance?

Question: “A friend of mine told me that there are new home sale contracts and that now the buyer is responsible for paying for the termites instead of the seller…?” Answer: Not exactly. Before I answer your question, let me give you some context… When I became a Realtor in 1984, it had long been
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A New Change in Buying a Fix-and-Flip Property

Question: “I heard you can’t get a loan any more if you buy a flip property. Is that true?” Answer: No, but there was one change involving buying a flip, or renovated resale property. FHA announced that starting January 1st, if you want to get an FHA loan, you can’t even WRITE your offer until
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How to Know if Your San Diego Home is Your Principal Residence

Question: “Hi Gary, My wife and I want to sell our home in La Jolla. We live part of the year in Phoenix and part in San Diego. We want to get the $500,000 principal residence exclusion. How do we know which one is my principal residence?” Answer: According to industry journal California Real Estate
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Are 1031 Exchanges Hard to Do?

Question: “I’d like to sell my rental house here and use the money to buy to exchange into a fourplex. But I’m a little concerned about 1031 exchanges. I don’t know much about them. Are they hard to do?” Answer: Good news: 1031 tax deferred exchanges are easy! And they’re quite inexpensive to do too…usually
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Will Your Converted Garage Be a Problem When You Sell?

Question: “I converted my garage without a permit. Will this be an issue when I sell?” Answer: Assuming your conversion was of good quality, you will face a few minor to moderate challenges when selling: First, most homebuyers prefer a garage to a garage conversion. And the “nicer” the neighborhood, the more people will want
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Should You Use the BBB to Find an Agent?

Question: “Should I check with the Better Business Bureau to find an agent?” Answer: There are a range of opinions about the “BBB.” Some say it’s a fine consumer protection organization that provides a great service. Others say it’s really just a for-profit business that charges businesses to be listed. Some say it’s a relevant
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How to Refinance Without Paying Another 30-Year Mortgage

Question: “We’d like to refi and get our rate down, but we’ve had this loan 10 years. So we just have 20 years left and don’t want to start over on a 30 year loan. Is there a way to get our current lender to just lower the rate or refinance the loan in place?”
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Adding Up Selling Costs on Your San Diego Home

Question: “We’re trying to figure out the costs when we sell our home. What are they?” Answer: As a rule of thumb, figure 8% of the selling price for all selling costs, including a cushion of 1% to 1.5% for repairs and NOT including last mortgage payment and property tax prorations. Specifically, in San Diego,
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Buying a Home w/ Payment No Bigger Than Your Rent

Question: “Is it a realistic target to want to buy a home and keep my payment no greater than the rent I’m paying now?” Answer: I don’t know your current rent, your down payment, or what you want in a home to answer for your specific situation. But I can say it’s tough to buy
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Be Careful When Offering Incentives to Tenants

Question: “Due to the crazy laws in California, I have to give my tenant a 60-day notice to move. But I’d like to get her out sooner by letting her skip the last month’s rent. Good idea?” Answer: No and yes. Offering an incentive is a good idea, but never give a tenant an incentive
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