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There are two FHA approved condos in Burlingame. If you want to use FHA financing to purchase a condo, it must be an FHA approved condo.

Parc Newlands is located at 107 El Camino Real. It is on the southwest corner of Newlands Avenue and El Camino Real. There are 17 units in this complex.

Pershing Park is located just west of this complex. It's a nice park for little kids.

Downtown Burlingame is nearby. Burlingame Avenue has many shops and restaurants that are enjoyed by mant residents and visitors.  

The FHA maximum loan amount in San Mateo County is $729,750. The FHA down payment requirement is 3.5%

Before you make an offer on an FHA approved condo, have your Burlingame loan officer double-check to make sure that the condo is still FHA approved. The approval status can change.

The other FHA approved condo complex in Burlingame is located at 777 Morrell Avenue. The cross street is Rollins Road. There are 28 units in this condominium complex. Burlingame High School is very close by.

Broadway Avenue, the other "main" street of Burlingame, is another street that draws many from the local neighborhoods for shopping and dining.

Broadway Avenue is a good walk from 777 Morrell Avenue.

FREE is good! Here's a great opportunity for you--but you have to act now!

When: Today, May 12, and May 19, 6:30-9:30 PM (2 nights)
Where: Veterans Memorial Senior Center, 1455 Madison Ave., Redwood City, CA 94061

This session of the Retirement Planning Today course taught by John D. Lee, Certified Financial Planner, did not fill up completely. John has very kindly offered FREE attendance to friends and colleagues of mine, waiving the $59.00 fee. He has space for 4 or 5 couples.

Just call John Lee's office, 650-227-0366 or email him at jlee@sgc-financial.com and he'll put you on the student roster free of charge.

This very valuable class will teach you how to:

• Determine the amount of money you need to retire
• Create your own goals for a "successful retirement"
• Eliminate debt and improve cash flow
• Properly convert your IRA to a Roth IRA
• Select the retirement plan distribution choice that is right for you
• Plan your retirement income to preserve a comfortable standard of living
• Transfer the risk of potential financial losses before or during retirement
• Reduce or eliminate taxes, expenses, delays and legal challenges with estate planning

My husband and I took the class last Fall, learned a ton, and are very impressed with Mr. Lee's knowledge, integrity and thoroughness.

Highly recommended at the regular price--super opportunity for FREE!

I hate to say I told you so but this week was how I saw things happening by looking at the chart of IWM and TLT about a week ago in two of my previous blogs.

See here what I saw looking at the IWM chart.

Here is what it looks like one week later.

From here a bounce is likely but I don't think we will be seeing new highs any time soon.

Mike

Are you looking for a mortgage for a property in Hillsborough CA? I can help you. I work at RMC Real Estate Loans, located  conveniently to Hillsborough on Burlingame Avenue in downtown Burlingame. Our company is a mortgage brokerage that has been existence since 1976.

A mortgage brokerage is a company that helps people that want to borrow money find the best terms for their needs. Our mortgage brokerage has partnerships with many of the largest lenders in the country, as well as others that are not as well known. Why would you call me to get your next mortgage? I will save you money, time, and hassle.

I will save you money in several ways. First, you will have access to the programs of many mortgage lenders. I can submit your application to the lender with the lowest rates for your needs. If you go directly to a bank, you will only be exposed to their particular mortgage programs. Their rates may not be competitive.

Another way I can save you money is by utilizing my ratewatch service to help you decide when to lock in your mortgage rate. This ratewatch service notifies me when their is a significant turn in the mortgage rate market. It makes no sense to let the rate float if rates are moving up. Conversely, it may not make sense to lock in your rate if rates are going down. By staying on top of the mortgage market, I can help you save money by making an informed decision about the best time to lock in your rate.

I can also save you money after you obtain your mortgage. I keep your mortgage information in my database. When the opportunity to save money with a refinance presents itself, I will let you know ASAP!

Time is money. You could spend your time calling a bunch of different mortgage lenders. How many should you call to get the best rate? Well, by the time you determine the right number of calls to make, guess what? The rates have probably changed any way! You're time is probably better spent delegating this task to your mortgage broker, whether it's me or someone else that you trust.

Getting a mortgage can be a real hassle. Now, more than ever, there is a lot of paperwork required - there is no avoiding it. What can be avoided is limiting the amount of phone calls to you asking for more and more documentation. I minimize these phone calls to you by asking for all of the documentation upfront that I know will be required to obtain your mortgage.

Although I can help you with all types of real estate loans, I specialize in jumbo mortgages. If you live in Hillsborough, you most likely need a jumbo mortgage. A jumbo mortgage is any loan amount above $417,000. Between a loan amount of $417,000 and $729,750, these loan amounts are called agency jumbo mortgages. Loan amounts above $729,750 are jumbo mortgages. Our lending partners offer competitive rates in all three categories.

I recently helped some clients obtain a private money loan for a home they own in Walnut Creek, CA. Here is the story why a private money loan was the best solution for them.

My clients purchased this home for their daughter and husband. They purchased it with cash, so there was no loan on the property. Title was held by the daughter. 

The husband became un-employed, and they were financially struggling. My clients wanted to help them during their rough economic time. Everyone decided that the best option was to deed the property back to the parents (my clients). They contacted me to help them obtain a cash-out private money loan.

A private money loan was the best solution for a couple of reasons. The first reason was we could close a private money loan fast! A private money loan is not as paper intensive and bureaucratic as obtaining a loan from a financial institution.

The other reason a private money loan was the best solution was qualification. My clients would not have qualified for a loan from a financial institution because of issues having to do with changing of how title was held.

The private money loan they obtained was at 11% with interest-only payments and a three year term. I expect they will be able to refinance out of this private money loan to obtain a better rate during the next year.

The private money loan solved the problem, at least in the short-term. Cash was obtained in order to help my client's daughter and her family. The payments are interest-only, which helps keep the payment lower. Most importantly, this private money loan eased the stress level during this rough economic time for this family from Walnut Creek, CA!

If you can't obtain a loan from a financial institution, and you really need money, a private money loan can be a short-term band-aid to meet your goals! 

If you live in San Mateo and you are interested in mortgage rates, here is a great article from Brian Brady. Somehow he is able to make an analogy about mortgage rate forces, and his daughter's actions/reactions at the beach! 

 Financial Advisors, CPAs, insurance agents, real estate agents, estate planning attorneys, and in-home care providers in California need to know that there is a reverse mortgage alternative available.

The reverse mortgage alternative is called Equity Access. Equity Access provides monthly income to homeowners above the age of 60 (the youngest homeowner must be at least 60) in return for a share of the future value of the home.

Here are some of the features:

• There are no closing costs to enter into an Equity Access Agreement
• No debt is incurred with an Equity Access Agreement
• The homeowner does not have to pay off their mortgage(s)
• The homeowner decides how long they want payments for (from 10 to 25 years)
• The homeowner decides how much equity they want to share
• An attorney is required to review the Equity Access offer to protect the homeowner
• There are no income requirements

1. The age of the youngest homeowner
2. The value of the home
3. The amount of mortgage balance(s)
4. The type of mortgage(s)
5. How long they want payments
6. How much equity they want to share

All of this information is placed into the Equity Access calculator. The calculator then determines the monthly payment.

If the payment is less than what the homeowner would like, there are ways to manipulate the calculation. For example, the homeowner could agree to share a larger percentage of the future equity. Or they could shorten the term of payments to be received. 

There are probably other professionals that could benefit from this information. If you know of a certain type I missed, I would love to know.

Which is better, a reverse mortgage or Equity Access Agreement? Like any financial tool, one product may be more suitable than the other. But it's nice to know that senior homeowners in California now have an alternative.

Spread The Word!

Contact Me

Jumbo Loan Blog

Normally, homeowners in Atherton don't want a 15 year fixed rate because the payments are too high. Now there is a twist on a 15 year fixed rate that can keep your payment low!

This loan has a 40 year term. Initially it is a 15 year fixed rate. During the 15 year fixed rate term, the payments are interest-only. Because the payments are interest-only, the payment is a lot lower than an amortized 15 year fixed rate. 

Here's the neat part - if you pay principal during the 15 year fixed rate term, the payment decreases because the payment is based on the reduced balance!

After the 15 year fixed rate term expires, the rate adjusts once. The rate is determined by adding .5% to the Fannie May 60 day rate.

The new payment is based on the new rate, amortized over 25 years. Hopefully you have paid off enough of the principal during the 15 year fixed rate period so that the payment doesn't increase! The new rate can't be more than 5% higher than the initial rate.

As you know, homes in Atherton are very expensive. This program works well here because the maximum loan amount is $5 million.

This loan program is available to purchase or refinance expensive homes, such as those located in Atherton. One of the nice features is that there is no limit on the dollar amount of cash-out. Many loan programs are limiting the amount of cash-out to refinancing homeowners.

Another nice feature is that this program can be used to finance second homes at a slightly lower loan-to-value percentage. It is one of the few competitive jumbo loan programs that I am aware of that allows cash-out on second homes.

If you own a home in Atherton or in other expensive areas of California, and like the idea of a 15 year fixed rate with interest-only payments to keep the payment low, contact me to see if this program is a good fit for you.

Contact Me

Jumbo Loan Blog

The last thing you want to worry about when you own a vacation home in California is the loan you have on it. You own a vacation home because you want a place to relax, not to add stress.

As I was sitting at my desk looking at the terms of this loan, I thought "this is perfect for vacation homes".

The rate on this loan is fixed for the first fifteen years. Fifteen years is a long time to hold a loan - wouldn't you agree? You can own that vacation home for 15 years and not worry about the interest rate changing! This part of the loan is what provides the stability.

Now for the affordability - the payments are interest-only for the first fifteen years. Most people don't realize that if you pay principal on an interest-only loan, the payment is less the next month! You do have this option.A vacation home loan with a rate that is fixed and with a payment that can decrease - grab the sunscreen and the blender, does it get any better?

This loan is for all types of vacation homes, small and large. You can finance that condo in Palm Springs, or the estate home in Lake Tahoe. The maximum loan amount is $5 million.

What happens with this loan after fifteen years, you ask? Well, it adjusts once. Then the rate is fixed, and you pay principal and interest for twenty five years. Remember, the payment will be based on the balance at the time of change. So if you have paid any principal down on your vacation home loan, the new payment will be based on the reduced balance!

This loan for vacation homes in California is available to purchase and refinance. You can even take cash-out, you just can't borrow as much of the property's value. 

To me, I picture a vacation home as a place to relax. One of the goals my wife and I have is to be able to buy a vacation home for ourselves and seven children some day. You can bet I will get a loan like this - long term stability with affordability!

Contact Me For A Vacation Home Loan Rate Quote

I have had real estate owners in San Mateo County ask me - what is a private money loan? A private money loan is a real estate loan funded by non-institutional sources.

Non-institutional sources of private money loans vary. The source could be an individual. Often it is a group of people who have pooled some funds together. 

There are companies that specialize in the placing and funding of private money loans. These companies serve at least two important functions.

The first function they serve is the marketing of the availability of private money loans. They often post ads on Craigslist, trade publications, and other marketing vehicles to let both the public and mortgage brokers know that they have funds to lend.

The second function they serve for the private money source is similar to a funnel. They receive loan scenarios and toss out the ones they know that the private money source will not be interested in. They package the files that fits the source's interests, present the file, and receive approval.

Why would someone become a private money lender? Generally speaking, a private money lender gets a generous percentage return that is secured by real estate. To the lending source, it is an investment of their money. It is an investment alternative, just like investing in the stock market is an investment alternative. 

Why would someone borrow private money funds? Well, that will be the subject of my next post that will tell the top ten reasons why someone would want or need a private money loan.

The terms of a private money loan are usually much different than the terms that banks offer. One major difference is the length of the term. Generally, private money loans are no longer than five years.

Another difference is the interest rate. Private money rates tend to be higher than the rates banks offer. Higher rates make sense because these loans are usually riskier.

The fees associated with a private money loan are usually higher than bank loans. It's not unusual to pay anywhere from three points to eight points to obtain a private money loan.

With the tightening of underwriting guidelines by banks, private money loans, I predict, will gain market share in the near future. 

If you need help with a private money loan in San Mateo county, or anywhere in California, you can contact me and I will try to help you.

Jumbo Loan Blog

Get Your Mortgage Phil