Pancake Breakfast in Encinitas February 12th 8-12pm

PANCAKE BREAKFAST sponsored by THE Encinitas Kiwanis Club and Encinitas Parks and Recreation Department

February 12, Saturday 8am to 12pm The Encinitas Kiwanis Club and the Encinitas Parks and Recreation Department of Encinitas are announcing their 4^th annual Pancake Breakfast. Proceeds support Encinitas Youth Basketball; and, the Encinitas Kiwanis Club’s “kids in need literacy program” and Captain Book; Rady Hospital, and other community service projects.

The Pancake Breakfast will be held at the Encinitas Community Center, 1140 Oakcrest Park Drive, Encinitas. Suggested ticket donation is $4.00. Come and help support our kid’s programs in Encinitas. You’ll have a great time!

Join us to continue helping the kids!

Contact Bob Chase for more details: bchase@cox.net or visit our web site at http://www.encinitaskiwanis.org/

FHA and 1099 Loan Qualification

FHA Loan Myths -- The Self-employed and FHA Loan Qualification One of the biggest myths about getting an FHA home loan? The idea that self-employed people are automatically disqualified for an FHA mortgage because of their employment status. While it’s true that it’s tougher for some in the early stages of a small business to make ends meet, being self-employed is not the kiss of death on an FHA loan application.

Proof of this can be found on the forms and FHA mortgage pages of lender websites—most financial institutions offering FHA loans offer a page on the bank’s website offering “FHA loan prep” checklists which include advice on what to submit if you are self-employed. The notion that you can’t qualify if you work for yourself isn’t shared by lenders.

That said, it can be more difficult for some small business owners to qualify for an FHA loan, FHA refinance or homeowner bailout program for one simple reason; not keeping good records. You may be quite successful in your small business or as a freelance contractor, but if you can’t show on paper that you have a consistent income, the FHA can’t conclude that you are a good risk.

Your FHA loan application requires you to show not only that you were gainfully employed, but also what your net income was compared to business expenses. Self-employed people will also need to show a profit-loss statement. If you don’t keep good records of legitimate business expenses, don’t have your taxes professionally prepared, and guesstimate your profits and losses, the FHA loan process could come to a halt very quickly for you. The question your loan officer will ask goes from “Can you afford your monthly FHA home loan payments?” to, “How long until my applicant needs some kind of homeowner bailout program?”

This is why self-employed people should take plenty of extra time when planning to buy a home. For some, the average prep time is about one year—especially if there are issues with credit repair or disputes on credit reports to deal with. For a self-employed person, showing reliable income for two years is a very good way to make conditions as favorable as possible to get approved for an FHA mortgage.

That means solid record-keeping, an aggressive approach to finding (and keeping) steady work, and paying strict attention to your taxes. Remember that unlike those with traditional careers, there’s an additional layer of scrutiny to the ebb and flow of steady income. If you went a long period between contracts, or if your business shut down for a time, your loan officer will want to know why and whether such periods of inactivity could happen again or how they affect your ability to make your FHA mortgage payments.

Is it more difficult for self-employed people to get an FHA mortgage? Yes. Is it impossible? Absolutely not, but you need to plan for extra scrutiny to your personal bottom line, keep good records, and be able to show your loan officer that you are indeed a good risk.

Now you can search for homes on any (3) of our web sites. www.thechaseadvantage.com
www.chasera.blogspot.com or www.topsolanabeachhomes.com

San Diego County 2010 Housing Reports signals Pricier Homes are Hot Deals

As reported by the California Association of Realtors less expensive inventory generally saw big jumps in median price from 2009 to 2010, but dipped in sales, while high priced homes were HOT sales but fell in median price. Although I personally view the real estate market as very dynamic in 2011, we should see aggressive sales in the higher priced homes over $1 million, which as reported in Rancho Santa Fe and Solana Beach were hot zones because sellers gave in and reduced their asking price, and buyers were eager to now capitalize on the reductions.

While Rancho Santa Fe's single family median price dropped 11% in 2010 from 2009; Solana Beach single family median price slipped 2.2% from $1,329,000 in 2009 to $1,300,000 in 2010, all the while the number of resale houses rose from 136 to 205.

Oceanside, Carlsbad and Encinitas all saw slight increases in median home sales from 2009 to 2010 of up to 9% in some cases.

I would be pleased to provide a study of your particular zip code or market area.