Interest Rates in the “Fours!”

December 23, 2008 by Mark Roknich

Four-Something has arrived! When we last wrote this column, we predicted the arrival of a mortgage interest rate BELOW five percent. It happened, and it happened quickly!

Just this past Friday, for the first time, I received an announcement via email for a mortgage, with the interest rate quoted at 4.375% with a typical 1-point origination fee (4.5% APR). That rate applies to a conforming loan under $417,000; higher rates apply to larger mortgage amounts.

Four-something for a 30-year fixed? That is a benchmark of historic proportion! It could be the beginning of the much needed bottom in Orange County housing prices, if the opportunity for rates like those lasts awhile, and if lenders regain their footing in the market.

It’s condo time! Investors, first-time buyers, and parents who want their kids to be nearby after graduating high school or college (but not THAT nearby…), now might be a great time to make an investment in the future.

Owner-occupied (think: the kids) purchases can be made with very little downpayment. VA and FHA-insured loans are available with only a small investment, but are accompanied by higher monthly payments, of course.

But with a larger downpayment and a conventional mortgage, break-even cash flow is closer to reality than any time in a decade.

Here’s another thought, for those of you who are inclined towards single family homes rather than condos: 20 percent downpayment will buy a single family residence in Orange County, and still get under the magic conforming figure of $417,000 to get those great 4.x% loans. And rates are still extremely low for loans above $417,000….lower than any time in the past few years.

Have we piqued your “interest?” Rates in the “fours” won’t last forever. What an opportunity! Call us at (949) 240-5892, or send us an email, and let’s start strategizing and building a real estate portfolio!

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Reflection on Our First Twenty Years as Realtors

December 22, 2008 by Christe Roknich

For the past 20 years, we have worked in an office that averages 120 full time agents. Our culture of teamwork and mutual respect is not common among agents in the real estate industry. As a result, our Dana Point/Laguna Niguel office at First Team continues to be the top selling office in the company of 30-plus offices as well as the top selling office in all of South Orange County!

First Team has always been at the head of the class when it comes to advertising and marketing designed to get our sellers the highest possible price. Because of this commitment and investment…more sellers and buyers end up working with a First Team agent. More buyers see our print and internet ads…more buyers see our signs..which means more opportunities and more SALES! Other agents jump from one company to another seeking “better deals” and better tools, or due offices or companies shutting its doors. We are still, after 20 years of service, right where we began!

Let’s start the next twenty years by looking forward! If you think that now might be the time to begin accumulating real estate for your future, call us at (949) 240-5892, or send us email. Let’s start working on our resolutions for 2009!

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Merry Christmas & Happy Holidays

December 22, 2008 by Christe Roknich

Everything has changed in 2008! And the residential real estate business that we have built over the past 20 years continues to change by the minute! Just when we think we know what to expect…we enjoy the opportunity to learn a new way of meeting a challenge and solving a new problem. Those 20 years of experience always give us a point of reference…and guidance for today’s challenging market.

Roknich Family Photo Know that we value your business and your referrals, and that we are interested in constantly earning both! We can and will answer questions about your home’s value, about buyers, distressed sales, purchases, and about real estate investment planning! Call us (949) 240-5892 for a confidential consultation.