Posts from — June 2010

FHA loans have dominated the local market in the Sacramento area lately, haven’t they? This is why many buyers and sellers are paying careful attention to FHA guidelines. I get calls all the time from concerned sellers, prospective buyers, and real estate agents about FHA compliance issues. The question is usually, “will _________ be an issue for an FHA loan?”

FHA has a very specific set of minimum requirements. If you are planning to sell your house and you think the most likely buyer is going to be using an FHA loan, then strap on your “FHA goggles” to view your property like HUD does. Or if you are purchasing a house, it’s important to be aware of condition issues that may impact qualification for an FHA loan.

What does it take for a property to meet FHA minimum guidelines? FHA is primarily concerned that everything in a house functions properly and that there are no health and safety issues. FHA continually says, “Soundness, Safety & Security” as their motto. It’s okay if there is some deferred maintenance, but if there is any issue that may pose a threat to health, safety, soundness or security, then it needs to be solved. Examples might include chipping paint, mold, missing appliances, an inoperable HVAC, a broken water heater, dangling wires, trip hazards, etc… You can see a more detailed list of specific requirements in a previous post.

Quiz Time: Now that you have just a bit of information about FHA compliance, take a look at the image below. What do you see that might pose a safety risk and be unacceptable to FHA? Comment below.

Keep me in the loop if you have any questions or if you need to hire my “FHA goggles” to help you make a decision when selling or buying a house. And don’t worry, I don’t actually wear goggles like this on inspections. You can reach me at 916.595.3735, on Facebook, or ryan@LundquistCompany.com.

I’m getting ready to head out to Kansas City in a couple of weeks for the All-America City Awards. The City of Rancho Cordova was selected as a finalist in the competition this year, and I am honored to be a part of the delegation to make the trek to Missouri. My role on the team will be to represent Project 680. I’m very excited to get to travel for a few days, be a team player for my city, and meet so many wonderful people.

Here is a synopsis of the All-America City Award competition from their website:

The National Civic League recognizes ten communities each year for outstanding civic accomplishments. To win, each community must demonstrate innovation, inclusiveness, civic engagement, and cross sector collaboration by describing successful efforts to address pressing local challenges.

I’ve never been to Missouri. What should I expect in KC? Is there anything I should definitely try to do while I’m there?

There are marketers out there who call themselves gurus, specialists, experts, and even ninjas. I don’t have a huge problem with titles like this for the most part, but my sense is that if you’re going to use a title, you better be what you’re claiming.

There are so many voices to listen to when it comes to marketing our businesses, so it’s important to sift through what the ”gurus” are telling us. My sense is that good marketing is about being in touch with what is sincerely relevant for potential clients while also being true to your personal style of making a sale. There’s really little creativity in simply copying what others are doing, and the truth is that a winning formula for someone else may not be good for you anyway.    

Business is changing rapidly and technology (especially social media) is often challenging us to adapt our model for business and the way we connect with people. In this economy and internet-driven world, if we sit on the sidelines for too long and don’t adapt, we will no longer be relevant (just think of Blockbuster vs. Netflix vs. Red Box).

In short, be encouraged today to be yourself in business. Listen to what the marketing voices are saying, but do what makes sense for your clients and your personality. Take a small risk in coming days or weeks to get out there a bit more with your business.

By the way, what marketing voices or resources are you listening to?

A local Realtor called me yesterday asking if I had any resources to help her find the owner occupancy rates for a particular zip code in the Sacramento area. One of her investor clients needed more specific information about a neighborhood he is considering buying in.

Off the top of my head, I suggested the Census Bureau or maybe the Post Office or city websites (for free resources), but through the course of research and conversation with colleagues on the REAA forum, I now have a pretty good list to give to my Realtor contact. I figured this information might be useful to others, so here you go.

United States Census Bureau
Motovo “neighborhood” search (www.movoto.com)
Brainy Zip (www.brainyzip.com)
Neighborhood Scout (www.neighborhoodscout.com)
City Data (www.city-data.com)
Tax Records Search (www.realist.com) – paid service – available through MLS

Do you have any other resources to add? Comment below. Also, what other websites do you think investors or home owners should take a look at before making a purchase?