Los Angeles, CA - Growth of rental rates between 2018 and 2019 shows no slow down despite a seasonal lull in the first quarter of 2019. US Bureau of Labor Statistics’ Consumer Price Index (CPI) for Los Angeles and Orange County shows the cost of rental of residences (Housing-Shelter-Owner’s equivalent rent of residences) increased year-over-year by 5.1% to 5.8% for April, May, and June in the two counties. The government has attributed this to strong job growth in the labor market.

In Los Angeles, overall CPI has only grown app 3.3% from June 2018 to June 2019. There were some numbers in the index that reduced through the quarter. Food prices decreased .3% from May 2019 to June 2019. The energy index decreased 4.1% and the bureau attributes this to lower prices of gasoline.

Lower vacancy, slow increase of supply, and the additional 1.19million jobs over the last decade have all attributed to the increases. Housing continues to account for the biggest share of household expenditures. Cost of home ownership has also increased higher at least 1% over the CPI.

439 N. Laurel Ave., Los Angeles, CA -

• 2300sqft home 6550sqft lot

• 3bd, 3bt, family room, office, skylit garage

Sophisticated, charming, modern Spanish home nestled in the heart of Beverly Grove!

Close to shops/restaurants, this home exemplifies luxury, entertainment & technology. Original 1930's Front Door opens to sleek White Oak wood flooring w LED recessed lights, 4-pane glass doors and the kitchen wows with Viking Professional appliances, 10' island & Carrara marble backsplash. Relax in your Master bath featuring dual showers w skylight, soak tub & Carrara Marble tiling. Entertain guests in the front patio w gas fire pit & VSSL wi-fi speaker controls w 10 ceiling speakers & Bose outdoor speakers.

Security includes motored driveway gate, Nest doorbell & 4 cameras. Further upgrades: 100% electrical, plumbing, HVAC & Spanish tile roof. Detached garage could be used as studio/office - upgraded w insulation, speakers, EV charge ready & custom wood carriage doors. Total sqft includes Garage (apx. 359sf) & House (apx. 2300sf).

Buyer to verify all permits & accuracy of all information.

Los Angeles, CA - Jeff L, our good friend and title agent at Fidelity National Title, updated us with some transaction numbers to confirm these last few months were the lowest transacted months since recovering from the recession over ten years ago.

We did start seeing signs after the first quarter of 2018. Especially in pockets that were contingent upon the sales of a main local market, we saw continuous price adjustments. Areas like Altadena or El Sereno, where buyers preferred Pasadena and were priced out, saw the biggest price adjustments. Through 2018, price adjustments of $75,000 on a $850,000 original asking price were not uncommon as homeowners found they had overestimated the value of their homes.

Condo and townhome appreciation also reversed its 2018 gains through this time. Though so many new construction in Los Angeles are the typical 3 story narrow lot developments in community subdivisions, detached single house number single family residences in tracts like these were a bit more resistant to the price normalization.

However, places that had continuous transportation development or great school districts were not as hampered by this. Builders of new construction have begun to increase incentives for buyers across Southern California.

So if you’ve been waiting on a slowdown to find a new home, 2019 is going to be a year with a lot less offers and more opportunities. Get qualified and Torcora will write your offer with you. Contact jason@torcora.com to start purchasing your property.

Curbed LA

Los Angeles - A home that served as a commercial music studio with living space was for sale in September 2018. With a beautiful skyline view of downtown Los Angeles and extremely high walkability score to the myriad of nightlife, restaurants, coffee shops on Sunset, this is a prime piece of real estate.

Zoned R2, the house could do with a second unit. Purchased no more than a decade before, the land has doubled in value. The home does have unpermitted additions along with a previously permitted addition that will need a new roof, new foundation, and subfloor. At 6700sqft on a hillside and 2300sqft interior, any addition we make will require additional permits and possible soil reports due to the property being on hillside.

Torcora partners with investors to acquire this property and expects entitlements, construction, and disposition to take approximately one year’s time.

California - As landlords, dealing with consistently late rent or repeated violations to the lease agreement is tough. But even tougher than letting it go, is evicting them. After dealing with two evictions this past year, Torcora’s Jason T has a few pointers as we are preparing your tenants for eviction. With our attorneys on staff, we assist clients through the legal process.

1. Your “3 Day Notice…” is not an enforceable court order.

But, you cannot begin the process without it. In California, tenants can only be legally evicted after the landlord wins an unlawful detainer case. However, your termination notices need to be consistent and correct to prevent the judge from throwing your case out. Torcora will create the appropriate “3 Day Notice to Quit”, “Notice to Cure”, or “30 Days Notice to Vacate.” In certain cases, 60 days notice is required. So that 3 Day notice really only sparks a months long process.

2. You must follow each step to the letter of the law.

After your first notice is served correctly, the next step is to file the paperwork with your county court for an unlawful detainer case. This paperwork for this case must then be served properly to all tenants, and you must initially attempt to serve in-person several times. Tenants will have a period of time to respond. After that, if you do not dismiss the case, file to set up a court date. Following the court date and judgement, the writ of execution is the judicial order that can be enforced by an official like a sheriff. The sheriffs’ office has its own processing timeline before assisting you to possess the property. If your tenant has abandoned personal possessions on the property, you will need to follow another list of procedures. You can’t just sell it or throw it out.

3. Technicalities and other landmines await.

Laws are protective of tenants’ rights. In each step of the way, tenants can appeal, refuse, rebuke, and take many other actions that will delay the process. If there is insufficient paperwork, inconsistent information, missed collection dates, or undocumented processes, you may be headed back to square one. There are many opportunities for mistakes such as serving documents improperly. None of this take into account the trial and sheriff waiting times. For context, currently the Los Angeles county court and Orange County courts are backed up 3 months and 2 months respectively. Sheriffs can even take two weeks to possess the property.

You may never need to worry about evictions. In Chairwoman TJ's decades of experience and tens of homes managed, she has processed two.

Questions? Ask away!

https://www.lamayor.org/mayor-garcetti-announces-new-100-million-insulation-rebate-program

Los Angeles, California - After seeing the success of our investment properties in Los Angeles, our brokerage clients have asked about investing here as well. One such property we looked at had a land lease. River Park is the center of the Taylor Yard, LA River revitalization program. Partnering with developers, the city is converting its old train yard into housing and park space. Upon deposit, we were given a “welcome book” that told us the land the single family residence homes are sitting on is under a land lease.

“What happens at the end of the lease period?” - Client

Bad News First:

I'll give you the bad news first. The mortgage on properties on land lease is different than a single family residence or a condo, so it is subject to stricter review by the lender. As the lease from 99 years winds down to about 50, because land ownership is not included, it can reduce the price of the home relative to market rates, as much as 20%. The price of these homes would not be based on value of the land like real property, but market demand. When the owner is ready to sell the home, the difference in mortgage type and land lease will narrow down your buyers. Barring any dramatic changes, or if there is an agreement for land lease purchase, this property should be looked at most as a 10-15 year investment.

Good News Next:

1. Comps show that appreciation has followed the market: Great thing about comping out the Riverpark development is that half of them were first completed in 2015/2016. This $585k property(sold in 08/2015) has appreciated to $759k(app price of new construction at River Park that your mom saw). The realtor/redfin/zillow estimate is approximately $800k. Using $759k to be conservative, we can see that that the appreciation in 21 months is 29.7%. In nearby Silverlake, our townhouse investments have increased about 30% in value. So the growth in this area is not far behind and the value proposition holds even though it is on leased land. Using comps like these, we can get a better look at the future. Because there have not been many resales recently, we cannot get comps on the sales process such as days on market. But, lease prices have followed, a 3 bedroom and 4 bedroom were listed at $3800 and $4000, respectively in the last two weeks.

2. Land owner is city government/ public entity: The land owner is a public city entity, not a private, for profit entity. The Taylor Yard developments are joint venture developments between the Los Angeles Metropolitan Transportation Authority, LA Urban Homes, and McCormack Baron Salazar. With app 95 private homes on this development, it is highly unlikely that a government entity will be able to threaten the livelihood of the residents by demanding unreasonable terms at the end of the lease.

3. All lease and land hold fees/ payments have been completely paid off: Often times in land lease agreements, the lessee is responsible for additional land improvement payments. These are often yearly payments as well as any additional maintenance payments. This often increases HOAs or Co-op fees. The developers and LA Metro have come to an agreement.

4. Taylor Yard is the center of the LA River Revitalization plan: These developments are very close to downtown Los Angeles and multiple hot spots of new gentrification. Within a 3 mile radius, you have a major city center, dodger's stadium, more than 10 state/city/local parks, Costco, multiple small walkable town villages, 3 Targets, etc. Here is a description of the revitalization plans up and down the River. Here is a picture of the immediate area of development that River Park is on. The River Park homes are immediately adjacent to the park, with 25,000 sqft of retail space committed another couple blocks away.

Interested purchasing a home in Los Angeles? Contact jason@torcora.com

Los Angeles, California - Torcora has been taking steps to acquire not only rental properties but also under valued assets. As part of our adventure to find a “fixer,” we found them consistently over valued. In fact the asking prices have risen a solid 20% over the last 18 months in some of the pockets we are searching.

2019 One Year Update: Had we purchased a single unit residence of this type up to $1 million, our results would be negative.

“LA home prices are overvalued,” notes Elijah C from Curbed. Los Angeles has long been well known as a top 5 most expensive urban area to live in. However, many real estate data trackers report that sales prices are 10 precent above where long term trends suggests they should be. Especially when mapped against the salaries of typical buyers.

“Prices are just so darn high… proceed with caution,” says CoreLogic’s chief economist.

By some calculations, Los Angeles area homes have been overvalued since June of 2017, when sale prices in the region hit an all-time high. Many attribute it to the historically low interest rates. We do expect prices to plateau, hopefully soon, when interest rates rise to a rate that potential buyers are wary of high prices and when they are no longer getting a “deal” on their loans.

Orange County, California - 4 years into the construction of the first agrihood in Southern California, The Ranch at Rancho Mission Viejo, is approximately 25% complete. The project has been ambitious, not just from a scale standpoint, but also from a community planning aspect.

What is an Agrihood? It loosely defined as a housing development centered around community farming. The first of its kind sprouted in Detroit with the goal of allowing its residents to grow its own food. The idea of this appeals to younger generations who have grown to be more health and eco conscious. However, planners and residents of agrihoods are also inspired by the communal atmosphere embodied by rural farming towns.

Many in our industry hype up this new style of living as a trend taking over the US. Let’s debunk this now. It is a new idea that is being implemented in its infancy. However, folks in their 20’s, 30’s and even 40’s overwhelmingly prefer agrihoods over golf course communities.

While the baby boomers were enamored by golf course communities, the demand for homes in golf course communities has drastically fallen over the last decade. Aside from being a status symbol, buyers prized the green space and views.

Apartments, townhouses, single family homes are all available in socal’s only agrihood. Pricing ranges from $400,000 to over $1m. There is a farm that is at the heart of each community. They have fruit trees, nut trees, toolsheds, composting sites, chicken coops, and other varieties of ranch style equipment. Outdoor activities are encouraged. Residents can subscribe to farming, farm-to-table cooking, and other types of activities.

Interested purchasing a home in an agrihood? Contact jason@torcora.com

Southern California - Let’s start with the cold hard facts… Artificial grass does not save you money. Per square foot, sods, seeds, and aerating on your lawn will cost $1 per square foot. However, if you have been experiencing the drought through the last decade and your lawn hasn’t been able to live through the summer, then you’ll want to look into this process. If your installation or installer does not do these 5 key steps correctly, you will easily exceed your budget by multiples.

Phase 1: Demolition

“But it’s just dirt!” Yes! and… No!!! You will need 3-5 inches of depth between the bottom of where you will start and top of where you’d like the grass to sit. So if it is next to a concrete pad or sidewalk, then measure 3-4 inches down. It sounds easy to dig but a cubic foot of dirt weighs what a 10 year old would (76lbs). 1000sqft of 3-4inches would be about 20lbs per sqft of just dirt. Wet dirt will be easier to dig but weigh more. Dry dirt will be lighter and cheaper for the haul away but harder to dig into. This is a significant part of your cost if you are converting lawns.

Phase 2: Create Framework

Be mindful of any electrical wires, plumbing, etc. Installation involves a framework. There are two ways to manage the task. One is to dig a small outline around the perimeter of your lawn and fit in thin planks of treated wood. They are kept in position by driving what’s known as ground stakes into the planks. This approach will mean the edges of the lawn are the same height as the rest of the expanse.

If you want a slightly raised effect around the perimeter, you can secure the planks on the ground and forget about that shallow trench. You’ll still use the stakes to keep the planks in position.

Phase 3: Prepare the Ground

Once the framework is finished, the professional will fill in the space with some type of aggregate. The product may contain several different elements like one or more types of sand, granite dust made from pulverizing old granite fragments, and limestone. The exact type or grade of aggregate will depend a lot of the soil underneath and the size of your yard. Definitely double, triple check that the ground is level.

Phase 4: Install the Rolls of Artificial Grass

In between prepping the ground and rolling the artificial grass, make sure there is a weed-resistant barrier. It is often a sheet made of plastic preventing life to sprout up from the the grass. Now that you see the team has the aggregate smoothed and in place, it’s time for the turf. Most types come in rolls. By securing one end of the roll to the frame, it’s easier to create lines of turf. During the process, the turf is stretched, much like the way carpet is stretched as it’s put in position. The professional will seal the seams between the rolls, creating what appears to be a perfect field of natural grass. One visual trick here is to point the grains of the blades toward the main viewing angle. It will help the grass look more natural.

Phase 5: Brush and Finish

Once the grass is nailed down with lawn spikes, spread out the turf blades. Use a professional turf brush with stiff bristles to fluff up the blades. Green silica sand should have been applied by the professional during installation. You may use the brush or a broom to spread the silica sand evenly over the artificial grass.

Southern California - Historic homes in Irvine are hard to come by. In the whole entirety of Orange County, there are less than a handful of tracts protected. Even the Eichler tracts in Orange are free to modification with the owners’ discretion.

One such home in Irvine is up for sale. Within a small gated neighborhood in Portola Springs is Lambert Ranch. The Lambert Family has owned the property at 55 Parsons Brown since 1925. It is best described as a one level craftsman home with a detached garage. Situated on 1.6 beautiful acres, it has 1,840 sqft of living space. The home has been the subject of much talk recently due to its uniqueness in the Orange area. On a clear day, you can even see Newport Beach.

However in Los Angeles, homes in the Historic Preservation Overlay Zones can affect ownership, taxes, and decisions made regarding your home. LA’s HPOZs first began in 1983 in the Angelino Heights district. After 30 years, there are over 30 of them.

According to the LA Office of Historic Preservation, home prices rise faster in these zones. Homes can also qualify for property tax reductions, decreasing the costs of home maintenance. But is your home a “contributing” or “non-contributing” member of the HPOZ? The two are subject to the same limitations but contributing members enjoy more benefits from the government.

There is a HPOZ board for each zone of 5-7 members. Minor repairs on contributing houses take about one month to approve. However there are alterations, such as changing the exterior paint swatch or window trim, it requires a formal process of approximately 3 months.

Thankfully the city provides resources and even FAQs to assist home owners’ maintenance. However, they will cite you and ask homeowners to restore property to original condition if any work is suspected to be done without permission.

You thought Irvine’s HOAs were strict…

LA Times Home of the Day Feb 10 2016

Los Angeles, CA -

1100 S. Hope St. Penthouse 204

• 3bd, 4bt, 2nd entrance, 650sqft patio w cooking space

• 3400 sqft living space

• 24 hour concierge desk, security, pool, garden

“This is the most beautiful, perfect penthouse in Downtown Los Angeles.” Managing Director Jason has the inside scoop on this one since he was a neighbor to the owner. Housed in the Luma building, it is one of the original developments from former Mayor Villagarosa’s plans to make downtown Los Angeles the “new Manhattan",” where numbered streets won’t just be ways out onto the 110 but actual home addresses.

A decade after his promise, Luma literally defined luxury in the Southpark neighborhood, as the flagship residential building just steps away from the Staples Center. The streets were still empty, albeit safer, stores only thrived during events but the residents truly enjoyed the 24 hour concierge, gym access, full size pool, landscaped outdoor deck.

Not only was the building special, this specific penthouse was unique. It sits on the entire north side of the building with the living, dining, and open kitchen exposed to the downtown LA Skyline. On 11th St., the office buildings were far enough to fit into your panoramic view, but close enough to fill up the majority of the 15’ ceilings. Along the west side of the penthouse, a 1000sqft deck allowed residents to enjoy the sunset, Hollywood sign, and sometimes even the Ocean view.

Why is this a “free” penthouse? This specific unit was such a gem that it was contracted in many TV shows and movies, earning as much as $100,000 a week. Do the math in any which way and you’ll find that it is a very appealing “investment.” However in recent years, more buildings are planned to rise and take up more of the skyline. Not only is this competition but also may be a hindrance to the wonderful views.

California continues to dominate the high end real estate market across the United States.

After analyzing the NAR (National Association of Realtors) Realtor Luxury Home Index, Los Angeles, Orange County and Santa Barbara are in the top 10 counties in the nation.

In Los Angeles the fall(September) 2016 sales price of the top 5% as defined by the luxury tier was $1.88 million, climbing from $1.83m the year before and 33% within 5 years from 2011. The increase in price in LA county has also been steady while the other two counties saw their 5 year lows in 2012.

In Orange County, the fall 2016 sales price of the top 5% topped $1.76m. The fall 2015 luxury tier sales topped $1.67m. Not to be outdone, in approximately 5 years, Orange County saw a growth of 38.5% growth in luxury home price from the 2012 low(March) of $1.27m.

Santa Barbara actually saw a high of $2.67m back in May of 2015. In September of 2016, this price has actually fallen about 11.6% to $2.36m. However, when compared to the 5 year low of $1.69m in 2012, Santa Barbara has in fact made the most significant gains of nearly $1m when comparing highs and lows between 2011-2016.

Other notable counties in Northern California - San Mateo, San Francisco - prices rose by 9% and 6.8%, respectively. Across the bay in Marin, prices fell by 7.1%. These three counties have indexed prices of $2.15m-$2.38m. Santa Clara’s prices closely Los Angeles at $1.83.

While Manhattan is king with $3.85m averages, Brooklyn was at $1.44m, Boston at $1.16m. Their growth rates since 2013 (the rebound of the economy) have been more than 40%, 30%, and 20%, respectively.

Irvine, California - On May 24, 2016, Irvine City Council was presented with an update of Short-Term Rentals in Irvine. Though it was brought up at a normal meeting, there has been a significant increase of complaints regarding the impacts of short-term rental (STR) properties in residential neighborhoods.

The market for short term housing has not only increased in Irvine but also across the nation due to platforms such as Airbnb, HomeAway, and VRBO. Though it is still managed within the existing framework, the jump in complaints raises the issue for discussion. Currently short term rentals are defined as rental of a residence for 30 days or less. These terms are prohibited in residential zones unless considered a hotel/motel use.

For Irvine City’s fiscal year 14-15, the city received 6 complaints, up from one just two years before. For the fiscal year 2015-2016, the city received 62 short term rental complaints. Not only is the market growing, but the awareness of neighbors has also risen.

Across Orange County, there has already been programs or ordinances enforced in Newport Beach, Anaheim, Laguna Beach, etc. Traditionally, this is an ongoing issue in beachside communities where many visitors flock to during the summer time.

It does seem as though in Irvine, the supply for short term rentals still outstrips demand. It looks as though many of these Irvine homes have been empty or partially empty and homeowners are simply utilizing the new tools as ways to reduce their expenses. Whereas in beachside towns, demand continues to far outweigh supply.

Los Angeles, California - Still fresh off the $45million remodel of Echo Park Lake, this area has seen a tremendous rise in real estate interest. Though the lake has been part of Los Angeles history for over 150 years, residents of this generation are only beginning to realize its beauty after its renovation. Just like any other community that has seen some new changes, residents are moving out as well as in.

From September 2015 to December 2015, median home prices in Echo Park jumped $77,100 to $813,000 according to Jeffrey M at Redfin. That’s over 10% within one quarter. The change has been astronomical. Any passer by can see the gentrification too. Food stands are being displaced with coffee shops sporting reclaimed wall accents and subway tiles with contrasting grout.

Oddly enough, historically high priced areas such as Brentwood and Holmby Hills have seen 17.9% and 33% decreases, respectively, in median home price since the year before. Meanwhile, Eagle Rock, Mt. Washington, Glassell Park are selling like hotcakes.

You want to get in? Better do it quick. Torcora had its crosshairs on an property just up the street from the park in Q1 of 2015. However, we were unable to acquire this home in Q1 of 2015. Within 1 year, the estimated value has jumped over $150,000.

Los Angeles, California - Before we shorten this discussion with a “buzzed” article, let’s define rent control. Rent control only applies to a small set of apartments in certain cities. The term may imply that rent never changes. However, it actually means stabilization - establishing a small percentage by which landlords can increase the rent every year. The term may refer to a list of ordinances, laws, regulations or just the general application. In Southern California, rent control or rent stabilization topics revolve around Los Angeles city.

1. Rental properties built on or before October 1, 1978

In 1978, the city of Los Angeles signed its first Rent Stabilization Ordinance(RSO). The goal was to reduce vacancy rates due to a lack of adequate “decent, safe, and sanitary housing.” The vacancy rate at that time was approximate 3.8%. The RSO regulated apartments, condos, townhomes, duplexes, multifamilies, mobile homes, etc.

Update: LA city simplifies RSO residences with an online tool. However, it may not apply to all units within the same building.

2. Tenants’ Rent Protections

Rents may not be increased to market rate unless tenant moves out, does not pay rent, is evicted, violated lease agreement, evicted for non compliance to city ordinances, or accepts a Tenant Buyout Agreement. Without further review by the city of Los Angeles, rents may be increased up to 3% per 12 months. A few surcharges for registration, smoke alarms, etc are allowed but these make little difference. There are certain improvements to the property that allow owners to increase rent. However, they require board approval. Under the Capital Improvement Program, additional benefits that last 5 years or more could apply. Seismic retrofitting or removal of hazardous materials also apply. Any violations or overcharges will come under the authority of the Rent Stabilization Board where tenants may file complaints. Under extreme conditions, the city has the ability to take ownership over the building.

3. Tenants’ Eviction Protections

There are only 12 reasons listed by the city that allows a landlord to evict a tenant. If you have ever evicted had to evict tenant you will know the process from the first day of unpaid rent to the moment the sheriff is legally and physically onsite to do so is approximately 4-6 months.

• Failure to pay rent

• Failure to fix or address a violation of the rental agreement

• Creating a nuisance or causing damage to the rental unit

• Using the rental unit for an illegal purpose

• Failure to renew a similar rental agreement

• Failure to provide the landlord reasonable access to the rental unit

• The person at the end of the lease term is a subtenant not approved by the landlord

• The owner, or immediate family member will move into the rental unit

• A resident manager will move into the rental unit

• Demolition and permanent removal from the rental market

• Government order

• Conversion to affordable housing

4. The Arguments For and Against

In a free market economy, rates will rise if there is more demand than supply. The majority of economists argue against rent control and point to the fact that there just aren’t enough homes where people want to live. Those for rent control also have valid points rooted in morality, culture, and community. Gentrification is just a nice way of saying displacement. Without an excess of housing in areas people want to live, pricing is sure to continue rising. This will be an on-going issue for decades to come.

After decades of investment in Orange County and San Diego, we are happy to announce our acquisition of two properties in Silverlake. Chairwoman TJ and Property Management Director Christine G led the search.

"Investing in Los Angeles is so different than our properties in Irvine. There is definitely progress but evaluating future outlook in gentrifying areas look so much different than a planned community,” remarked TJ.

63 homes are planned on 2753 Waverly Dr. in the Silverlake neighborhood of Los Angeles. This plot of land overlooks Glendale, Mt. Washington and the LA River. Homes from phase 1 just completed construction and include 2-4 bedroom condominums up to 1,900 sqft.

“It’s difficult to manage risk in new ventures because that’s what they are, new opportunities. We took a look at the neighboring Echo Park, Downtown LA’s Barker lofts, single family residences near Hollywood area. This part of the city of Los Angeles is accessible to multiple suburban shopping centers within 15 minutes, even during rush hour. It is also a stone’s throw for residents commuting to downtown Hollywood, or Burbank.”

Our all in acquisition cost was approximately $1.3m for 2 units. HOA costs will be approximate $260 per month. We estimate gross rental revenue to be close to $5,600 per month.

It sometimes feels like these two words are used interchangeably but there is an actual difference. As an agent the most important difference for the buyer is the strength of the offer. An approval letter from a lender will far surpass the a qualification letter.

Pre-qualification is based on data you submit to a lender, who will provide a ballpark estimate of how much you can borrow. Your pre-qualified amount isn't a sure thing because it’s based only on the information you've provided. The lender won't take a close look at your financial situation and history to determine how much mortgage you can reasonably afford until you reach the pre-approval stage. You’ll receive a conditional commitment in writing for an exact loan amount after you've been pre-approved.

Here’s a quick comparison chart from Investopedia:

Orange County, California - Whenever we help clients purchase their properties, they often ask us about blinds, shutters, or shades. The number one tip we have for them to save you multiple trips to the stores is to “measure 4 times, cut once.”

1. Get a pen, notepad, step ladder, and measuring tape.

   In an apartment, you may have about 5 windows. In a condo, you may have about 10 windows. In a home, you can easily have 20 openings. Be sure to decide if your shade will go over the opening or within the opening.

2. Measure and record 4 times at each opening.

   Openings are not always perfectly square. Even though they may appear to be perfectly straight, they often curve slightly at the sides or the ledge. Use the step ladder and measure the width at the top of the opening then the width at the bottom.

   After recording, measure the height on the left then the right. You will notice that these numbers can differ quite a bit. That is okay. If your blinds are inset, choose the smaller of the two distances for each length and each width. If you intend your blinds to be hung above the opening and cover the entire opening, then account for some overlap. If you have window casing and you are covering the opening with a top hung set above the opening, account for the extra gap that may be created with the increased depth.

3. Move clockwise around your home.

   You can easily lose track of windows by jumping room to room. Not all windows of a bedroom in homes are the same size, so no need to rush your process. This will ensure you can easily follow your labels for bedrooms as well.

Washington, D.C. - Federal Housing Finance Agency (FHFA) reported that the National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders was 3.36% based on loans closed in November. Using these numbers as an index in some adjustable-rate mortgage (ARM) contracts, this is a historic low. There was a decrease of 0.08 from the previous month. For more info on how FHFA collected this data please visit: www.fhfa.gov/DataTools/Downloads/Pages/Monthly-Interest-Rate-Data.aspx.