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It Pays To Own A Home

LENDER’S VIEWPOINT

By Broker, Forest Tardibuono

It Pays To Own A Home

I tout the big three reasons to buy a home: #1. Pride of ownership appreciation; #2. Tax benefits and #3. Appreciation. There is a 4th though that may well trump them all.

I have had the pleasure to work with many, many private money investors for more than 20 years. These are men and women who have made their fortunes in a variety of ways and lend those funds to borrowers who have equity in a property and an ability to repay the loan.

Many of them have told me that the day you can retire is the day you pay off your home. That is a very future minded goal. It’s difficult to see when you are 29 years old, have 2 kids in diapers, own your own boat which you never use because you have 2 kids in diapers, credit card debt, and a car payment of $329 per month. Plus you have to buy all those diapers! And handi-wipes. And little sets of clothing. And teeny-tiny shoes.

But if you had the good sense to buy the home you live in, then all of a sudden – and believe me as a Grandpa it’s all of a sudden – your kids are grown up and now in college and you’ve paid 20 years on that mortgage. Then a bit later on, you no longer have the kids at home, you have a bit of extra money and can start throwing it at the mortgage to get it gone. So say at age 55 you no longer have a house payment. Priceless!

My Dad bought a home in Chandler Arizona in 1968 for $16,900. He took out a 30 year mortgage with a monthly payment of $159. With 7 kids at home, the payment was difficult for him to afford at that time. But what strapped him in 1968 was almost a breeze in 1978 as his and Mom’s incomes had risen. It was even easier in 1988 for the same reason. After another 10 years Dad finally paid off their 30 year fixed rate loan. No house payment and a very low property tax basis on their home.

You cannot accomplish the above as a renter. Here is some astonishing math. Let’s say your rent is $1,300. In 30 years you will have paid $468,000 on some other guys mortgage. That’s if rent over 30 years stays at $1,300. I bet not. Let’s say it goes up $250 every 10 years. That’s $570,000.

Those numbers alone should compel you to figure out how to be a buyer, but there is more. Ever been told you have to move because the landlord is selling the home? Or the rent increases come quicker than $250 every 10 years?

Buy a home and let it work for you, quietly in the background, being paid down, increasing in value, until that glorious day arrives when the mortgage is no more! Then retire.

Priceless!

Forest Tardibuono- the Guy in the White Hat – is a CA DRE Broker with more than 23 years of experience in real estate and lending. His phone number is (707) 523-2099. Email is Forest@sunpacmortgage.com. See website @ www.sunpacmortgage.com.

The importance of Pre-Approval

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Getting pre-approved for a loan – be it for a mortgage or other – is key and sometimes, unfortunately, skipped or event skimped!

This has caused unnecessary hardships and losses in the log-run so I stress to get pre-approved before you buy a home.  It CAN be a PLEASURABLE experience and worthwhile if done right and with a knowledgeable Agent/Loan Officer.

Feel free to call me for pre-approval qualifications at (707)523-2099.  I’m here to help you.

How “The Guy In The White Hat” Came To Be

Hi. My name is Forest Tardibuono and I am the proud Co-owner and Broker of Sun Pacific Mortgage & Real Estate since 1988 – established in Sonoma County, CA!

Thought I’d tell you a bit about myself as my kids have nagged at me to let people know my interesting life history up to now…they say it answers why I came to be a Broker, taking a sincere interest in helping others. So here I go:

I was born in 1957 in Irumagawa, Japan at the Johnson Air Force Base. I have 7 siblings – with 2 sets of twins – so I had my hands full helping out as the eldest!

As my father was in the Air Force, we travelled a lot. One can say I was a military brat until 1972 when my Dad retired at Williams Air Force Base outside of Chandler, Arizona. We had moved back and forth, living in Illinois, Japan and finally settled down in Arizona.

My Mother was a teacher at the Catholic Grade school I attended and she was my teacher through my 7th and 8th grades for English, art and music.

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I graduated Chandler High School in 1975 and I lettered in football, wrestling and believe it or not, in Debate!

I also must mention my 7 proud years of newspaper delivery of “The Phoenix Gazette” and the Sunday morning paper “The Arizona Republic” every single day! I was paperboy of the month several times out of hundreds of carriers and also paperboy of the year. Guess you could say I liked to excel at everything I put my mind to!

After College I went to Arizona State University on a debate scholarship. Graduated with a Bachelor of Science Degree in Business and Public Administration in 1982 and also joined the national social fraternity Phi Sigma Kappa.

I moved to La Jolla, California and did first year’s law studies at Western State University College of Law where I met my lovely future spouse and co-owner, Lynn. We married in 1987 and chose to move to Santa Rosa, CA. in December of 1987 because they had a law school with a night program as well as how beautiful it was here.

Our daughter, Megan, was born January 30, 1989 and happily joined our family of Lynn’s two sons of her previous marriage: Ken 7 and Phillip 3.

We opened Sun Harbor Mortgage on January 11, 1988 which was a branch of a San Diego Mortgage company. Since we had a true personal desire to help others in this county with honest financial services, we bought them out in June 1990 and changed the name to Sun Pacific Mortgage which has since evolved in 2004 to Sun Pacific Mortgage & Real Estate as we offer both real estate and mortgage/lending services!

Throughout my tenure as the Broker, I worked diligently to deliver the best service to all our customers and received the prestigious Model-Of-Admin-Know-How Award from WISE International for 10 consecutive years, beginning in 1997.

I take pleasure in working hard to help others during the week and on weekends enjoy fishing, gardening and golf – as well as a variety of other activities including spending joyful time with my 1st grandson, Braden, who was born July 2009.

Having helped literally thousands of customers, I continue to strive to deliver the most honest and friendly service to all Borrowers, Buyers, Agents, Brokers, Investors and other affiliates I am in contact with on a regular basis. I enjoy what I do and am sincerely happy to help in any way I can.

I look forward to doing the same for you!

Feel free to call me up at 707/523-2099 for a free consultation, ask any question you have about mortgages, lending or real estate, to refer a friend or family member in need of my services or to get help yourself!

My website is regularly updated with timely information, tips, articles and videos about the current market of real estate and lending so take a moment to check it out: https://www.sunpacificmortgage.com//. You can also sign up there to receive emails and videos with timely information about the real estate and mortgage and lending markets.

Sincerely,

Forest

BUY LAND. THEY AIN’T MAKING ANY MORE OF IT

LENDER’S VIEWPOINT

BUY LAND. THEY AIN’T MAKING ANY MORE OF IT

 

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  Will Rogers, world famous humorist in the twenties and thirties, said, “Buy land, they ain’t making any more of the stuff.” Land back then was “dirt” cheap, especially during the Great Depression. History repeats itself and now you have the opportunity to make it work for you. Of course, we are talking about land with a home on it.

And what better investment is there that you have ready access to? The average joe does not have money in the stock market or bond market. They may have a retirement account through their work, but that’s it. If you do not own a home you’re making someone else’s house payment. An average rent in Sonoma County of $1,300 per month adds up to $93,600 in 5 years – for someone else’s benefit.

The Median Price in Sonoma County has gone from the bottom of $305,000 in February 2009 up to $370,000 in August 2010. That was an increase of 21% in that time. 21%! The Median price has come down a bit from those more recent highs but you can see that the market here can take off! The number of foreclosures on the market in Santa Rosa has gone down from 350+ in November and December of 2008 to 60 as of last Thursday (May 5, 2011).

You know, A LOT of people made money during that Great Depression. How? They did not follow the pack. This is very hard to do. The best managers of money (Boone Pickens, Warren Buffet, and Bill Gates – for example) are a different breed of cat. They seem to operate opposite of the crowd. They buy when no one else is and they will freely tell you to do the same. It takes a brave soul to not follow the crowd.

There are statistics that show things are not as bad as they seem, and for sure not as bad as misleading headlines make it out to be. Compare the national statistics to those of Sonoma County and you should be moved to buy if you are in the market for a home at all. If the appreciation demonstrated by the increase in the median price is the same 21% for the same period of time, then we could see median home price way up in 18 months. Prices had to come down to a point where the person or household of average verifiable income could afford a home. That did occur but the bounce off the bottom has also happened – back in February 2009!

The moral of the story is – “Buy land, they ain’t making any more of the stuff.”

Forest Tardibuono is a CA DRE Broker with over 23 years experience in real estate and lending. His number is (707) 523-2099. See his website @ sunpacmortgage.com.

The Truth About Buying – RIGHT NOW

If you were to ask anyone that you considered had financial savvy whatsoever if real estate was a good buy, they would have to say “Yes”.  They might qualify that by saying, “…in the long run.” Or “…in the long-term.”  But it would be “YES”!

                That savvy person would also know that the main reasons you buy a home are appreciation, tax-advantages and pride of ownership. 

                The real truth, the most current compelling reasons to buy right now, are that prices are at or near the bottom of the market and interest rates are still at historic lows. 

                Many Buyers – and their agents too – have realized that right now.  One proof for this is that the phones at my office are ringing off the hook with Buyers looking to buy or their agents are looking to get offers in on our listings or Buyers are getting prequalified to Buy.

                This is the real truth.

                Do not buy the negative press you see or hear.  If you are a newspaper reader look at what the article with the negative headline really says.  In real life you might ignore this article because you think it will just describe more bad news.  I’ll give you a good instance of this.  You live in a big city in California.  Your local newspaper has a headline that says “Real Estate Sales Down 8%”.     So you take that as fact and you don’t bother to read what the article says as it’s probably more bad news.  You forget that headlines about bad news are what sells newspapers.   If you had thought to be a Home Buyer, it might make you want to wait before doing anything.

What was the real truth?  As you read that article it states the downturn in sales happened in Florida and Texas!  It said in your big California City that the median price for a home actually rose 4% for the last quarter!   You missed that good news!  The good news that would get you active right now.  Why didn’t they print the good news as the headline?  Well, bad news sells newspapers!  Here is an exercise that proves that point.  Pull out your local newspaper.  Count the number of headlines that appear to be bad news and/or alarming.  You will likely be shocked by how many there are.  I’m looking at the front page of my local paper right now.  There are 5 main articles with headlines.  4 out of 5 spell out bad news or are alarming.  I don’t know why I even bother with the newspaper anymore.  Habit I guess.  But I have learned that the headlines with bad news sell newspapers and try to glean the truth of the matter from the article.

But I digress (my almost favorite thing to do).  The truth is that there are more compelling reasons to buy right now than there have been since the purported debacle in real estate happened 5 plus years ago.  Don’t let the gloom and doom experts or people who are negative sway you from what you can or have observed for yourself.    

The truth can set you free.

Forest Tardibuono- the Guy in the White Hat – is a CA DRE Broker with more than 23 years of experience in real estate and lending.  His phone number is (707) 523-2099.  Email is Forest@sunpacmortgage.com.  See website @ www.sunpacmortgage.com.

BUY DIRT, THEY AIN’T MAKING ANY MORE

Will Rogers, world famous humorist in the twenties and thirties, said, “buy land, they ain’t making any more of it.” Land back then was dirt cheap, especially during the Great Depression. History repeats itself and now you have the opportunity to make it work for you.

The Median Price has gone from the bottom of $305,000.00 to $350,000.00 in February 2009 up to $350,000.00 by end of May 2009. The number of foreclosures on the market in Santa Rosa has gone down from 350+- in November and December 2008 to 101 as of last Thursday.

You know, A LOT of people made money during that Great Depression. How? They did not follow the pack. This is very hard to do. The best managers of money (Boone Pickens, Warren Buffet, and Bill Gates – for example) are a different breed of cat. They seem to operate opposite of the crowd. They buy when no one else is and they will freely tell you to do the same. It takes a brave soul to not follow the crowd.

There are statistics that show things are not as bad as they seem. In Sonoma County home sales are up – way up. First time buyers can finally afford to buy and they are. There are multiple offers on many homes. Homebuyer loans are getting approved and people are moving into these homes. There are not as many homes on the market as there were at the peak in November 2008, which will serve to drive the prices up.

The moral of the story is – “buy land, they ain’t making any more of it.”

Forest Tardibuono is a CA DRE Broker with over 20 years experience in real estate and lending. His number is (707) 523-2099. See website @ sunpacmortgage.com.

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