Buyers, Canadian Home Buyers, Lifestyle

Why Is Palm Springs California The Best Place For A Retirement Vacation Home

Palm Springs Mid-Century ModernWhy Is Palm Springs California The Best Place For A Retirement Vacation Home?

Time For An Update:

This past week, I attended the State Of The City event at the Convention Center.  Over 400 interested citizens were there with me as we looked at out progress of last year and then looked forward to the good things on the horizon.

So here are the highlights of what I heard:

  • The economy couldn’t be better. Tax revenues up, airport arrivals up; hotel room nights and activity is off the charts.
  • The downtown project will begin to see things go vertical very soon. And the Kimpton will be open by October, 2016.  How very exciting.
  • Most of the subterranean work for the entire parcel is about done.
  • The first tenant to announce their lease is West Elm.
  • The new Trolly is a HUGE success with 35,000 riders so far. (2/20)
  • Lots of new bike lanes coming and more street resurfacing than ever.
  • New construction in other areas is off the charts.  New businesses, hotels and restaurants abound.

So, yes, the time is right here in Palm Springs. We are not only back, we are on course to become the a top-tier vacation spot. The demand for all types of rentals remains very strong meaning if you have a rental, it is booked.  And with so many events to choose from, this place is FUN!

Give us a call if any of this makes you want to buy your next home. Or if you want to move up, let’s talk!
Easy, It’s all about location, affordability, weather and lifestyle!

Palm Springs got its vacation/get-away chutzpah for being a playground from the Hollywood set back in the 40’s, 50’s, 60’s and beyond. The stars and the movie moguls came here for fun, sun, relaxation and to get away from the Hollywood spotlight, the city mayhem and the Smog not to mention we are actually sunnier than LA!.  What grew up from that was what we have today, this wonderful mix of hotels, resorts, shopping, eateries, homes and condos all playing to the crowd who wants to play.

We Have the Location

Our location makes us ideal for buying a vacation or retirement property.  Palm Springs is 2 hours from Los Angeles,  a bit more from San Diego and we’re a half day drive from Los Vegas and Phoenix.  Then there’s the California coast and all its beauty…..What a deal!

Palm Springs is Affordable

It’s all about affordability, correct?  Right now in this place and in this time, there is no better time to buy here or in any of the desert cities. The prices per square foot are at an all time low and won’t get any cheaper.  And if financing is a must, with rates at 4-5%, how good does that get?

We’ve Got The Weather

Palm Springs sports about 330 days of sunshine per year and our average rainfall is about 5 inches per season.  Like to live outdoors a lot? This is the place.  Now mind you, summer is hot and for some, it’s too hot but many find it OK and even relish the heat.  The winter months are warm, with daytime highs often between 73 °F and 86 ° and corresponding nighttime lows of 50°F to 60°F while the coolest days tend to average from 62 °F to 71 °F and corresponding nights falling to the mid 40s°F.  Summer often sees daytime temperatures between 106 °F  and 112 °F, with overnight lows ranging from 77 °F to 90 °F.  The mean annual temperature is 74.7 °F.  There are 180 days with a high reaching 90 °F or more.

And Then There’s The Lifestyle

We’ve got the life and it’s all about the outdoors.  Many of us live here for the outdoor lifestyle.  Golf, Tennis, hiking, biking, walking, running, swimming, sunning, entertaining and even outdoor shopping such as El Paseo or our Certified Farmers Markets.  WOW!  What more can you ask for?  And I’m sure it’s not a complete list either.  Want more?  Palm Springs has one of the best and finest assortments of eating establishments anywhere.  We’re not talking about the usual corporate schmaltz.  Nope these are all fine independently owned serving food of all prices ranges, types and styles; something for every palette too.

So there you have it.  Now your next step is to talk to us about buying you home tight here in our Paradise called Palm Springs California.

Want more information about the Desert Cities?

Buying or Selling Palm Springs Real Estate?

Buying or Selling in today’s real estate market is a challenge and a process that is easily accomplished with the help of a Palm Springs real estate agent focusing on the neighboring desert cities. You will need an expert who has lived in the area, knows the lifestyle and the unique housing market.

The market for real estate in the desert is alive and the values are exceptional especially for those who are looking for an ideal investment or a vacation/retirement property. We have many Palm Springs real estate properties available for every need, budget and amenity list.

Buyers: Are you searching for your primary residence? We have a variety of Palm Springs homes for sale and have what it takes to get you settled in the neighborhood of your choice.

Selling your home? Your home selling experience will be one that is easy, friendly and professional. Our mission is to offer outstanding service while utilizing the best practices and Internet technology available. We are totally connected to the Internet and will market your home on every venue available! Results is what you expect and results is what you will get.

If you are planning to buy Palm Springs investment property, or property in the surrounding area, we have the staff partners who will help with any project or property management tasks while you are away. We have helped with the small properties all the way up to the multi-million dollar projects.

I’m not here just to sell you a home. I’m here to help you find the dream home you’ll love then make it yours!

For more information on how we can best serve your Palm Springs Real Estate and surrounding area needs, please fill out the online contact form or give us a call at 760-413-2871.

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Buyers, Canadian Home Buyers, Concierge Services

Managing Your Palm Springs Investment Property – Our Concierge Service May Be For You

managing your palm springs income property

Managing Your Palm Springs Investment Property –

Why Our Concierge Service Makes Sense.

 

Whether you are in the process of buying an income property this fall or are already an owner, your decision about whether to work with a local property manager is pivotal. And you may ask: How to go about managing your Palm Springs Investment Property?  Do I need a property manager or is there another way? Continue reading “Managing Your Palm Springs Investment Property – Our Concierge Service May Be For You”

Canadian Home Buyers

Investing In A Palm Springs Vacation Rental- Palm Springs CA

Is a Palm Springs vacation rental easy to rent? In a word YES! Consider these things…

 

There are many factors that control how long it will take your investment rental property or Palm Springs vacation rental property to rent.  Some of them are listed and discussed below but by and large, if you do your homework, it will rent as often as you like. Palm Springs is all about vacation rentals and investment properties and we have the tourists to fill them up all year round, yes in summer too!

  • Price- Is it priced fairly and accurately based on location, amenities and features?
  • What’s the best way to secure renters?  Nowadays using Air BnB or VRBO gets you all the business you need and their online tools make selection, booking and calendar management very easy.
  • Is it priced for short-term or long-term occupancy? That is what really decides price.  A weekend price differs from a one week price which  differs from a 30 day price and so on.  In season a nice Condo in a nice community in a good location can bring $600.00 to $800.00 a week.  A home can fetch as much and more depending on size and location.
  • Condition and product.  For a short-term rental, the condition must be impeccable to demand the best price and what are you renting out?  Condo or home?  Private pool?  Golf course?  Views?  Walk to downtown?
  • The home owner must be prepared to equip the condo with very nice everything! No compromises on furnishings clear down to silverware and bedding or else they may not come back next year.  The most important part of having a vacation rental is to get your renters to return so an example of some of  what you will need is:
        1. Sets of at 6 for everything
        2. Every imaginable accessory in the kitchen and bath
        3. Good electronics.  Not high-end but at least is should have a flat screen TV, Internet and a good DVD player
        4. Condos compete with Hotels (they don’t offer the privacy of a private pool and spa) but they can offer a great rate and maid service so you must stand out in other ways
  • MAJOR AND SURPRISING are renters qualifications and how they affect occupancy
      1. Yes, FICO score is very important. Tenants come out of the woodwork but their credit scores are at times quite low thus limiting the available renter pool
  • Is a pool important is renting a home?
      1. Depends on what kind of tenant inventory, Young families with young children, (is the house close to elementary or high schools?)
      2. Young families don’t want a pool, they want an enclosed large grassy lawn
      3. Teenage families want a pool
      4. Pools add about $150 to $200 a month in expenses that the owner must plan on.

Is it a good idea to buy a Condo for an investment rental or Palm Springs vacation rental property?  Well Yes and NO

  • Let’s discuss the No answer first.  There are lots of things to consider when renting a condo, things that make it a challenge to rent:
      1. First is does the HOA allow it?  Many have a stay requirement of 30 days or more so that may limit the short-term rentals
      2. Is there sufficient privacy?  How close is the pool?  Is it nice?
      3. Does it have a great patio and views?
      4. Are you OK with the fact it takes 3 or 4 seasons to build up a good inventory of guests?
      5. Is it easy to find and does it have good parking?
  • Now let’s discuss the YES answer
      1. Again a nice Condo in a nice community in a good location can bring $600.00 to $800.00 a week.
      2. It keeps the place fresh while you are away thus making your visits easier when you want to stay there yourself.
      3. It will off-set your HOA fees and the costs of owning a second home which is nice
      4. Your friends will like you and you will far more BFF’s… (just kidding)
We’ve included some listings below that will show you some great buys for Condos and Homes.  Give us a call any time if you want to discuss this topic further.

First are the Condos priced as a great investment rental or Palm Springs vacation rental:

 

And now the Homes that are priced for Palm Springs vacation rental and as great investment rentals

 

 

 

Buyers, Finance/Lending

How To Present A Solid Mortgage Application & What To Expect From The Process

The FICO ScoreToday we attended a Realtor’s meeting in Palm Springs, CA and learned what is happening with mortgages and underwriting in today’s lending environment.  In reality, the loan process is all about the underwriting and quality control departments.  Your loan must pass through certain stages and its closely scrutinized especially before funding which is the final step.  

Here is a summary of what we took away from that meeting.

  1. Sourcing deposits is important. Money used for your down payment must show a source.  That means it has come from an allowed source such as savings,  payroll, etc.  If it just appears in your account and they can’t trace it, it is not allowed.  This stops buyers from borrowing the down-payment thus incurring 2 loans and not being able to pay.
  2. Have income documents going back 2 years especially if self-employed.  Be ready  to explain anything unusual up front.  They look at every detail so if you think you can hide it from the underwriters, think again!
  3. Be able to explain any large deposits. Again, they look at the source of all monies.
  4. Make no major purchases just before or during the process especially a car.  Its better to wait.
  5. FICO Scores and Clean Credit.  The two links in this line to the left are articles we’ve written on the subject.  You can not get a mortgage without a good FICO score and good credit.  For help on those and to learn more, read the articles and of course, call us with any questions. 
  6. Income and self employment issues.  What you show on your tax return is what gets used as your income.  If you’ve hidden some income, it is not used for your loan qualification so keep it all above-board
  7. Advise your lender of any job changes including the fact that you are about to retire.  It really does matter
  8. If using rental income on a property you own, be ready to go back 2 years or the mortgage on that rental property will work against your approval amount.
  9. Appraised value vs repair costs. Repair costs of a property will offset the appraised value and decrease the amount you can borrow so be ready.
  10. Showing you have the required assets to close.  You will not get a loan if you can’t show you have the required closing costs up front.  For more information, ask your lender or give us a call.
  11. FHA will lend if your FICO score is under 600 but 5% down is necessary and a gifting of the  deposit is not allowed.
  12. When buying a Condo, they check the HOA solvency and must have underwriting approval.  A bank will not want to lend you money for a Condo if the HOA is in deep trouble financially or has lawsuits pending.  Ask your Realtor for information.
  13. Stated income loans are back but with proof via your bank statements.  In the past, no proof was required.
  14. Buy all furniture outside of contract.  Banks do not allow an Appraiser to up the value of a property based on the fact it’s furnished.  
  15. Pest work must be done if reported.  They will deny the loan if you decide the recommended work from the pest inspection can wait.

How to prepare a borrower for the process.

  • Be Patient!  Know that this is a 4-6 week ordeal and that you will feel like your privacy is violated when it done.  It’s just the facts of life in this new lending environment
  • Respond to your lender’s request right away.  If you delay, the loan gets delayed
  • Don’t blame us or your lender for the process or any challenges. It will be a bit tough. Guidelines set by Fannie Mae and Freddie Mack and unless you are borrowing from a private lender, everyone gets the same treatment.
    • One note: If the lender you have is tough to get hold of or does not return calls, I’d think twice about using that lender or officer. you want someone who will be responsive to your needs and requests just as they need you to be there 100%
  • Have more than the standard pre-approval letter. Ask for one based on Desktop Underwriting using good back-end scores and solid ratios.  What’s involved is your loan officer can run a program that will produce similar results to what an Underwriter sees.  This way, there are fewer surprises at the end of the loan underwriting process.
So the take-away here is be ready and get your financial house in order.  By working with your Realtor and loan officer together, your dream of buying a home will become reality.

Buying or Selling Palm Springs Real Estate?

Buyers: Are you searching for your primary residence? We have a variety of Palm Springs homes for sale and have what it takes to get you settled in the neighborhood of your choice.

Selling your home? Your home selling experience will be one that is easy, friendly and professional. Our mission is to offer outstanding service while utilizing the best practices and Internet technology available. We are totally connected to the Internet and will market your home on every venue available! Results is what you expect and results is what you will get.

If you are planning to buy Palm Springs investment property, or property in the surrounding area, we have the staff partners who will help with any project or property management tasks while you are away. We have helped with the small properties all the way up to the multi-million dollar projects.

We’re not here just to sell you a home. We’re here to help you find the dream home you’ll love then make it yours!

For more information on how we can best serve your Palm Springs Real Estate and surrounding area needs, please fill out the online contact form or give us a call at 760-413-2871.

Canadian Home Buyers

What Does It Cost To Own A Home Or Condo In Palm Springs California?

What Does It Cost To Own A Home Or Condo In Palm Springs California?

We do a few considerations here that may differ from where you live.

 

When considering the purchase of a vacation or retirement home in Palm Springs the cost of home ownership is a very important consideration.  Why?  Well let’s say you buy a home for retirement purposes and can afford the payment and taxes but you didn’t know the condo has an HOA fee.  That could shoot a big hole in your budget.  Or let’s say you forgot to estimate Air Conditioning costs here in the desert.  Big Oops! This post will help you to ask the right questions before you make a big mistake buying your retirement or vacation home.

Taxes, Utilities and Insurance

Always find out what these costs are up front.  Property taxes are about 1.25% of the purchase price and are easily calculated but what about other assessments?  Those are laid out early in the offer process and are easily determines or easily overlooked.  When in doubt, ask your Realtor!

Utilities costs are available via the former home owner, if available, or the Utility company.  Or, a neighbor in a similar home will be able to give you ballpark figure on AC costs in the summer.  Ballpark figure use $3.00 to $6.00 per day depending on the house.

For insurance costs, contact your agent for an estimate.  One thing to really remember is if you pay cash for your home, an Earthquake policy is a very good option.

Cost of Living

Here in the Coachella Valley, our living costs are in line with those in other parts of inland Southern California but not as high as Los Angeles or San Diego.  I find my living costs are average here for food, auto insurance, entertainment and other purchases but a bit higher for gasoline.  I also find I drive less here so the costs may even out for most.

Other Costs

Condos and housing developments have something called a Homeowners Association or HOA.  The range of fees varies widely depending on services and features so be sure to understand what they are and what they include.  That list includes such things as trash collection, cable, exterior maintenance, roof repairs, etc.  Also, common areas, community pools, golf courses, tennis courts, etc.  These types of amenities may add to the cost but if you use them as part of your living style, they me be well worth it.

Land Leases

What is a land lease?  In Palm Springs, many of the parcels of land, (about half) are on Indian owned land.  More condos are on Leased land and more homes are on Fee land (land that you own).  Know this: Be sure you set your purchase price based on the fact of the type of land.  Homes on Fee land cost more because you own the land and those on leased land are accordingly lower but you have a lease payment to contend with. Know that and remember when figuring your living budget.

So there you have it, a primer on the cost to own in Palm Springs, Ca.  and remember this, a good Realtor is your best source of information when it comes to answering these questions.

Want more information about the Desert Cities ?

Buying or Selling Palm Springs Real Estate?

Buying or Selling in today’s real estate market is a challenge and a process that is easily accomplished with the help of a Palm Springs real estate agent focusing on the neighboring desert cities. You will need an expert who has lived in the area, knows the lifestyle and the unique housing market.

The market for real estate in the desert is alive and the values are exceptional especially for those who are looking for an ideal investment or a vacation/retirement property. We have many Palm Springs real estate properties available for every need, budget and amenity list.

Buyers: Are you searching for your primary residence? We have a variety of Palm Springs homes for sale and have what it takes to get you settled in the neighborhood of your choice.

Selling your home? Your home selling experience will be one that is easy, friendly and professional. Our mission is to offer outstanding service while utilizing the best practices and Internet technology available. We are totally connected to the Internet and will market your home on every venue available! Results is what you expect and results is what you will get.

If you are planning to buy Palm Springs investment property, or property in the surrounding area, we have the staff partners who will help with any project or property management tasks while you are away. We have helped with the small properties all the way up to the multi-million dollar projects.

I’m not here just to sell you a home. I’m here to help you find the dream home you’ll love then make it yours!

For more information on how we can best serve your Palm Springs Real Estate and surrounding area needs give us a call at 760-413-2871.

 

WHY DOES RON JESSER LOVE THE GREATER PALM SPRINGS AREA?

Why Does Ron Jesser Love Palm Springs