Seven tips when considering a HELOC for Home Renovations

Homeowners looking to undertake home renovations can often use a home equity line of credit or HELOC to finance their projects. Here are six quick tips on how to shop for and manage a HELOC:

Shop around. Comparison shop to get the best rate.

Ask about the margin. If you’re offered a rate that’s lower than the competition, it’s probably just an introductory rate, so ask about the lender’s margin. For example, if the introductory rate is 3.5 percent and your lender’s margin is 2 percent, your final interest rate will be 5.5 percent.

Consider a conversion clause. Some HELOCs allow you to convert a variable interest rate to a fixed rate, usually during the draw period (5-10 years).

Watch out for balloon payments. Balloon payments mean that you must pay the balance in full when the draw period is up. Do not choose this option unless you have the financial means to handle it.

Create a family plan. Decide what the money will be used for and who will handle the funds. Keep in mind, you can lose your home if the HELOC is not handled properly. Create a payback plan. Come up with a reasonable plan for how the loan will be paid back.

Consider other options. Nowadays, some homeowners opt for a “Cash out Refinance” if they have substantial amounts of equity in their home. A cash out refinance allows the homeowner to refinance their existing home loan into a new loan for a higher amount. The homeowner is then paid the difference in cash. If you are renovating your home, consider this option as some contractors will offer a discount for services if paid in cash.

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Nicole Emanuel Real Estate

Coldwell Banker

(408) 410-2060

www.realestatebynicole.com

nicole.emanuel@cbnorcal.com

BRE# 01899594

Just Listed! Best Value in Cambrian at $625k. Open this weekend!

Best Value in Cambrian!
1695 Hillsdale Avenue, San Jose, CA 95124

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1695 Hillsdale Avenue, San Jose, CA 95124
3 bedroom, 1 bath
1,288 square feet
$625,000

Look no further….you’ve found the best value in Cambrian! Wonderfully updated house with award winning schools! This beautiful home features remodeled kitchen, updated bath, crown moulding throughout, double-pane windows, tile floors, office area with possible addition for bathroom or bedroom and a 600-square foot garage. Relaxing backyard with newer fence and pergola.

OPEN HOUSE
Saturday, March 21 (1 pm – 4 pm)
Sunday, March 22 (1 pm – 4 pm)

Top 10 Websites for Home Buyers, Sellers & Owners

Want to search for your next home without ever getting out of your pajamas? There’s a site for that. How much will the mortgage and taxes cost you each month? There’s a site for that. Or do you want to know approximately what your home is worth today? Yes, there’s a site for that, too. And once you move into that new home, there’s a site to help you find local schools, restaurants, even your next dentist.

Okay, with apologies to the iPhone app commercials, I thought it might be helpful to list 10 of my favorite websites for people interested in buying or selling a home, remodeling their existing residence, or just looking for local information on their new neighborhood. There are countless websites, of course, and I don’t claim to have the ultimate list – just ones that have good value for homeowners and those looking to become owners.

Here are 10 of my favorites:
• CaliforniaMoves.com. Okay, I admit I’m biased. But Coldwell Banker’s consumer website offers a myriad of tools for home buyers and sellers, including advanced search engines, tips on
buying and selling, relocation information, and even community facts, figures and links. • Realtor.com. In that same vein, Realtor.com is also a good consumer website, especially for those thinking about relocating to other regions or want advice on buying or selling, as well as hiring an agent. There are articles on the market, consumer tips, and even suggestions on gardening and remodeling.
• CaliforniaHome.me. This new blog, powered by Coldwell Banker Residential Brokerage, is a non-stop feast of all things California. From luxury home features and design ideas, to California events and celebrations, the blog if filled with everything that makes the Golden State such an incredible place to live.
• Zillow.com. Who isn’t interested in what their home might be worth, or even better, their neighbors? This website offers property valuations. While I’m not convinced that their estimates are always on target, they do give homeowners some general idea of its value, as well as tax records and other useful info.
• Bankrate.com. Now that you’ve decided where you’re going to buy, this site will help you figure out how much you can afford. This is one of my favorite financial websites because it offers mortgage rate comparisons, links to lenders, and literally dozens of different types of calculators to figure it all out.
• Local.Yahoo.com. So you’re ready to move into your new home. Now what? Go to this site to find a plethora of useful links and information on everything from local restaurants and coffee shops to city offices and police departments to public utilities to get the water and gas turned on.
• Yelp.com. Another great site for newcomers to an area is Yelp, which features customer reviews and ratings on every imaginable local business. Sure there’s the usual restaurant ratings, but you’ll come here to find favorite dentists, veterinarians, gardeners and yes, even real estate agents.
• ServiceMagic.com. For those homeowners planning to remodel or just looking for a contractor to do some routine work, this website can be quite useful. Service Magic prescreens a wide variety of contractors and also incorporates customer ratings in order to provide a list of recommended businesses.
• HomeTips.com. Run by Don Vandervort, a host on HGTV and well-known author of do-it-yourself books, this site – as you might guess – specializes in articles on how to maintain and remodel your home. One of the favorite search engines helps the weekend warrior figure out how to do a wide variety of repairs and save money.
• SFGate.com, MercuryNews.com and SacBee.com. I’d be remiss if I didn’t include our local newspaper websites. Not only do they offer the latest news, sports and business, but also good restaurant and movie reviews, job search engines, and valuable community information and links for all homeowners.

Real Estate Alert: Historically Low Inventory of Homes for Sale in Santa Clara County

Did you know that there are less than 550 single family homes on the market in Santa Clara County at the moment? That’s less than 1/5 the normalized market inventory of homes for sale in the County and is a historical low. If you are considering selling, there is no time to waste! Give me a call today to discuss how to get top dollar for your home. Don’t let this amazing market pass you by!

Remember to Fall Back & Fun Bay Area November Events

It’s time to fall back!! Daylight Saving Time ends on Sunday, November 2, 2014 at 2 a.m. Make sure to set your clocks. I’ve also attached some fun events for the month of November ( November Events Calendar). Hope you have a safe and fun Halloween!

To Buy A Home or to Rent: Questions to consider

“To buy or to rent?” That seems to be the million-dollar question these days. Recent graduates, young couples, relocating professionals and even current homeowners have likely considered both scenarios recently. While each option has its benefits, the decision to purchase a home as opposed to renting is complex. According to a recent survey from the National Association of Realtors®, nearly eight out of 10 respondents believe buying a home today is a good financial decision. But the question that remains is whether or not now is the right time for you to buy. Continue reading “To Buy A Home or to Rent: Questions to consider”