Mortgage Rates Report: July 24, 2007

Lower earnings reports by Google, Dupont, and a warning from Countrywide Financial is causing money to flow from stocks and into bonds.  That is positive for mortgage rates.  The conundrum is that weaker economic news can be potentially beneficial to Long Beach mortgage applicants. 

If you are buying a Long Beach home or refinancing your mortgage, we are advising you to cautiously float your interest rate, pending tomorrow's economic data.  Data we're watching tomorrow include:

Existing Home Sales for June, 2007 ( 5.9 million expected, down from 5.99 million in May)

Crude Oil Inventories

Both are out by 7:30 AM California time so I"ll post if we change our stance to locking.  If nothing's here by 8AM, our position of cautiously floating still stands.

Posted on July 24, 2007 15:22:15 by Brian.Brady

Long Beach Home Bathroom Remodels

Long Beach Homes - Bathroom Remodels

Long Beach Homeowners want more space in their kitchens and bathrooms.  Bathroom remodels are reflecting many of the same design trends and choices as kitchens. 

Long Beach Homeowners want their bathrooms opened up.  They want more space, more light and room for more than one person to be comfortable in the room at the same time.  Adding windows and skylights, or enlarging existing windows brings light into the room, cheering it up and creating the illusion of more space.  Using lots of glass and glass block helps achieve this goal. 

We all know that the choice to live in a beach close Long Beach Home generally means higher prices and less square footage.  How can we create more viable living space when we only have just so much in the way of usable square footage?  

Adjoining closets are being eliminated and used to increase bathroom square footage while closets and storage space are reconfigured in other areas of the home.   At a loss for space but want to open up your bathroom?  Consider opening up the ceiling, utilize that wasted attic space and add cubic square footage.  Sometimes this is enough to remove the oppresive feeling and open up the room.

The Master Bath is the homeowners retreat, they want a little luxury here.  Homeowners are insisting on most of these items:

• Heated floors
• Towel Warmers
• Multiple shower heads
• Mounted Flat Screen TVs
• Recessed Lighting
• Dual sinks
• Soaring ceilings
• Decorative Fixtures

Consumers are leaning toward nickel and antique bronze fixtures, chrome is still popular but is waning.  Brass is so out!

Eco friendly, green remodeling is playing a role in bathroom remodels with an increase in interest in renewable materials and water conservation.  Dual-flush toilets and other technologies have become very popular.  In Japan over 70% of all homes now have Toto heated bidet toilet seats.  These seats come complete with remote control and have a rather hefty price tag. 

Homeowners are paying special attention to ventilation, many installing central exhaust fans or environmentally friendly fans that run constantly on low and adjust automatically to cycle up or down when someone enters or leaves the room.  Whole house fans have become very popular aiding in the ventilation and temperature control of the entire home. 

Baby Boomers considering remodeling are having bathtubs removed and are replacing them with large glassed-in showers with multiple heads.  Boomers like to spend a lot of time at home and are craving more luxury accomodations in their home.  Other features the Boomers are seeking are:

• Raised vanities and toilets
• Lower upper cabinets
• Larger Doorways

Boomers are expanding first floor baths and adding guest rooms on the first floor with the idea that this could eventually become a master suite. 

A well thought out and nicely designed kitchen and bath remodel can make the difference in whether a buyer decides to write an offer on your Long Beach Home or another.  These are upgrades worth considering. 

If you are considering a future sale and are remodeling in anticipation of that sale, it is wise to consult with your Realtor.  We work with and know what Long Beach Homebuyers are looking for in their new homes.  A consultation could make the difference in the amount you net at the closing table. 

Thinking about a remodel of your Long Beach Home?  You may also find this article helpful: 

Long Beach Home Kitchen Remodels

Posted on July 21, 2007 07:32:56 by Laurie.Manny

Long Beach Home Kitchen Remodels

Long Beach Homes - Kitchen Remodels

Nothing increases the appeal or salability of a Long Beach Home more than a great kitchen and bath remodel.  With all of the information and choices out there it can get pretty confusing for a consumer. 

Where do you start?

The key is in the design.  If your kitchen is the center of activity in your home then the design needs to accomodate that.  Consumers are seeking more integration, more space and more high-end features in todays kitchen remodels.  They want a kitchen they can be proud of and show off. 

In most older Long Beach Homes kitchens are very closed off, seperate rooms, removed from the activities of the family, Formal Dining rooms sit largely unused.  Many Long Beach Homeowners are opting to tear out the doors and walls between the kitchen and dining room and are incorporating the square footage into a more useful, functional and attractive space, integrating the kitchen with the rest of the home. 

Allowing more natural light to stream in can create the illusion of more space.  Many are adding additional windows, skylights or are just increasing the size of existing windows. 

While some homeowners are still opting for white cabinetry, the current trend is towards the darker woods, cherry and maple are the most popular with some interest in hickory as well.  Oak is so out! 

Consumers are concentrating on the design and style, choosing more streamlined cabinets with less detail, instead placing more emphasis on pulls and hinges. 

Granite countertops have long been a favorite and still are.  Other popular countertop materials such as glass, wood and concrete are providing options for one of a kind looks.  Many homeowners are combining and incorporating different materials together for a unique look. Use of decorative concrete is very popular in the Downtown Long Beach Lofts, greatly enhancing the appeal of the Manhattan style loft lifestyle. 

Hewn and Hammered, a subsidiary of Rejuvination.com recently did a wonderful article on unique remodeling materials which I thought was outstanding.  While you may or may not be interested in their suggestions, the read really gets the mind working on the endless possiblities that are available in todays market.  Rejuvination.com is a great resource if you are considering a home remodel of an older or historic home. 

Consumers are purchasing Energy Star rated appliances with their kitchen remodel.  The majority are leaning toward the higher-end stainless models which work best with the more streamlined designs.

Green building materials are becoming more available, for instance Richlite countertops, which are made from paper believe it or not.  These countertops blend well with the sleeker look consumers seem to crave. 

Green building choices have not made the impact that many have hoped that they will.  I wonder if it is because we are just not as familiar with what is available or because we just have our minds set on granite or another equally as popular surface?  They certainly are a viable option. 

This Downtown Long Beach Condo Kitchen Remodel reflects some of the above mentioned design styles and materials:

Some of the design elements of this beautiful kitchen include:

• Slate Flooring
• Cherrywood Cabinetry
• Sleek long pulls.
• Top of the line stainless appliances.
• Openness

Posted on July 21, 2007 05:36:44 by Laurie.Manny

Transpac Yachts Bearing Down On Hawaii

LONG BEACH CA REAL ESTATE

The 44 annual Transpac Yacht Race is well under way.  Before the start a tribute was paid to Wendy Siegal, a successful competitor and promoter of recent Transpacs, who was found drowned last Thursday near her ship the Willow Wind in Downtown Long Beach at Rainbow Harbor. 

The July 19th standings can be viewed here. 

Transpac history and archives can be viewed here.

Transpacs official press release is full of information for you Transpac junkies. 

 Thank you Karin

Posted on July 19, 2007 14:37:43 by Laurie.Manny

Long Beach mortgage lenders are watching the Fed Thursday

Why do mortgage rates for Long Beach real estate go up and down?    Here are four questions to ask any lender (and the current answers):

What are mortgage rates based on...is it Treasury Bonds or the Federal Reserve Bank?

Neither.  Mortgage rates are based on mortgage-backed securities.  Ultimately, the mortgage markets are less worried about the Fed than they are about their ability to fight inflation.  Inflation is the number one enemy of low mortgage rates.  Subsequently, the Fed can raise rates and mortgage backed securities can gain value because they think the Fed is doing a good job fighting inflation.  So...mortgage rates drop...weird huh?

What is the next economic report that can severly move the market?

Tomorrow morning. Thursday, is a big deal for mortgage rates, especially if you're looking to purchase a Long beach home.  fed Chairman, Ben Bernanke, will be testifying to the Senate Banking Committee.  We'll be listening and analyzing his words more than Gorbachev analyzed Reagan's words during the Cold War.  We want to know if he thinks he has a handle on inflation.

When the Fed "changes rates" does that mess me up?

Sure, if you have a home equity line of credit, your rate will be affected.  The Fed only controls short-term rates.  They've raised them so much , they think they have inflation under control but the higher oil prices are surprising everyone.  It's not the action of the rates, it's the ability to proactively fight inflation that mortgage markets seek.  The Fed has been relatively "hands off" in their policy, lately and that makes the mortgage markets fear that they aren't fighting inflation enough.  If the Fed raised rates, your HELOC would rise, and longer term mortgages may actually drop. 

What's happening in the mortgage market today?

I'm cautious short-term and advising an aggressive locking posture for mortgage rates.  This means that I think you shouldn't gamble with the mortgage rate game.  If you're pre-approved, and have a property, lock the rate.  Floating the rate or playing the interest rate game is risky right now.  Lock your loan and demand written proof from the lender; it takes about 48 hours to get.  We issue a mortgage loan commitment reflecting a locked interest rate.

This could all change tomorrow when Fed Chairman Bernanke speaks.  If it's clear that he has a handle on inflation, I'll change my posture about locking your mortgage rate but for now, lock your loans.

Oh, by the way...if you're talking to a lender and they don't know the answers to these questions...run, don't walk away from them.

Posted on July 18, 2007 17:24:43 by Brian.Brady