March Edition- Latest update on the real estate market, lending and more...
If you own a business or know someone that does:
and you applied for the 1st round of the PPP loan, make sure to check with your bank where you got the PPP loan from as they are all processing the loan forgiveness forms. Some are faster than others but the submission process is pretty easy. SBA.GOV LINK ABOUT PPP FORGIVENESS
there is another round of PPP loans that was approved and most banks are taking applications now so if you missed out on the 1st round, don't miss this one. This round ends March 31st, 2021 SBA.GOV LINK ABOUT PPP
you can also apply for the EIDL - Economic Injury Disaster Loan, which is a great business loan at 3.75% interest rate spread over 30 years. SBA.GOV LINK TO EIDL
Small Business California Relief Grant is doing a round 2 of applications: March 25th to March 31st: https://careliefgrant.com/
lastly, private business owners helping other business owners fund is another unique way to get help and still accessible. This is a National Fund put together by a couple entrepreneurs that has now raised and funded over $37 million in grants: https://www.barstoolsports.com/the-barstool-fund
If you own a house or know someone that does:
Landlords and renters in CA can now seek financial help. Landlords can choose to accept 80% of any unpaid rent owed from April 1st, 2020 through March 31, 2021. First come, First serve! CA STATE PORTAL
national foreclosure and eviction moratorium for single family FHA insured mortgages is now till June 30, 2021 HUD PRESS RELEASE
California specific eviction moratorium has also been extended till June 30, 2021: CA.GOV ARTICLE
if you took advantage of the forbearance and are still struggling, most lenders are offering extensions through June 30, 2021. WHITE HOUSE RELEASE
If you are able to start making your mortgage payments, you can apply for a loan modification or a deferment on the missed payments. I personally recommend a deferment as it could be much easier. The lender takes the total of payments that you missed and puts them on the back of the loan. You won't have to come up with that lump sum of missed payments now. You will pay it back when you refinance or sell the house.
If you still want to learn how doing a deferment or a forbearance will impact your credit and your ability to refinance or buy another home. READ THIS ARTICLE
If you are planning on selling or know someone that does:
the market is absolutely STILL CRAZY and the sellers STILL definitely have the upper hand. The inventory in San Diego is slowly starting to increase in March but not by much. We still have a long way to go! (I attached a full detailed February San Diego real estate market report here if you want to dive deeper into all the data)
However, interest rates have been going up consistently now all through March (see attached chart) and we are watching this closely as this will make affordability much harder for buyers in San Diego. If this trend continues, expect for inventory to increase especially if you add the fact that CA is starting to open up with many getting the vaccine. So my logic is that when the fear of covid continues to diminish, inventory will increase as sellers will be more inclined to list.
so, if you were thinking about selling for a while, you might REALLY consider doing it now as I truly feel that all signs are pointing that this will be your last shot at the peak of the market before things start stabilizing or even dropping in value over the next few months. (reach out to me if you are ready to sell, my team is here to serve you)
ATTENTION Seniors, Homeowners with Disabilities, and Wildfire Victims: PROP 19 provides you massive tax savings and fully goes into effect April 1, 2021. caprop19
If you are planning on buying or know someone that does:
well, it's still very, very competitive out there despite interest rates increasing. However, interest rates in the 3's are still considered very, very low so focus on your monthly budget and still be prepared to tighten up your terms and be a bit aggressive if you want the seller to pick your offer. Continue to stick to 12 day inspection contingency, 17 day loan contingency and a 21 day close if at all possible, with a healthy deposit and don't forget to write that nice letter about yourself and your family. These really do go a long way, trust me! You might also want to consider bringing the difference to the table if the property does not fully appraise.
If you or someone you know wants to get pre-approved or look into a refinance, let me know and I can connect you to my trusted and well respected lender, Felisa.
If you are planning on relocating to another state even though I would be sad to see you leave, let me know and I can help locate a great agent in whatever city that you are planning to move to. I will actually identify a couple great agents there, interview them on your behalf and connect you to that agent once I feel like he or she can serve you as I would here. (Bonus: I would stay involved over-seeing your purchase transaction on top of it for you and consult you along the way. That's if you value my opinion, of course.)