By Ryan Rockwood

Most of my clients never know that I don’t eat meat or dairy or any animal products. I also chose not to buy or wear products and clothing made from animal products. It’s a personal decision I made some years ago.

These days there are great alternative options for everything from protein to Jello. So it’s not usually a big deal. But today that is not the case. I’m in massive pain.

The reason for my agony? Vegetarian Shoes.  Take a second and try to get over your amazement that such a thing exists. Indeed! What did you think we did?

Anyway, no surprise they are terrible quality and incredibly rough on the feet. They look OK for a couple months. But leather continues to be a tough product to beat. Leather rules the garment industry.

So why this discussion of my footwear and why should you care? Because I spent the day walking around announcing a remarkable free seminar we are going to hold for the community on Monday, March 16. You are invited. But I’ll be wearing my leather-free sneakers and I apologize in advance for the fashion faux pas.  

What you need to know:

Heard of the Housing Bailout? Well, for most non-Bernard Madoff folks like you and me the bailout is only going to benefit you if you are approved for a Loan Modification. What is a Loan Modification, you ask? Geez, what rock are you living under? Did I sell you that rock?

Loan modification is a process whereby a home-owner’s mortgage is modified and both lender and homeowner are bound by the new terms. The most common modifications are lowering the interest rate, reducing the principal balance, ‘fixing’ adjustable interest rates, increasing the loan term, forgiveness of payment defaults & fees, or any combination of these.

————-That’s courtesy of Wikipedia. Learn more by clicking here.

Now you are probably wondering something along the lines of, ‘Gosh, could I get a loan modification?’ And I’ve got GREAT news for you: Maybe.

We have personally done a bunch of loan modifications (including 6 of our own personal mortgages). And we proceeded to write a book on How to Get a Loan Modification. (I wish I could say my expertise was on the topic of being super wealthy and not knowing what to do with all that cash lying around. *Sigh* Oh well, maybe someday)! Until then, when life hands you lemons…..well, you know the rest.

So here are the details you’ll need to determine if our free seminar (that could change your life) is worth missing reruns of CSI Miami.

FREE – Mortgage Modification workshop  March 16th at 7 p.m.

Hosted by Loan Modification Expert Author Mike Rockwood

60-Minute Loan Modificationauthor, Mike Rockwood, will show South Bay homeowners how to apply for and negotiate a loan modification with less than 1 hour of work.

Mike says: “I’ve already modified 6 of my own mortgages, and my system makes it utterly painless to lower your interest rate, lower your monthly payment, and save your home.”

How it Works: You have two options (1) come and learn exactly how this works so you can do it on your own afterwards (2) bring your W2 forms from the past 2 years along with your last 2 pay stubs and you can do your application right there on the spot.

Time: 7:00  p.m.
Where: 500 Silver Spur, Suite 303, Rancho Palos Verdes, CA.
Cost: $97 Free of charge!
For:Southbay Homeowners with Bad Mortgages.                  

Limited Space! You MUST reserve your place by calling 310.634.0362

Still not sold?

Well for goodness sake, read our flyer below this very minute: 

 

How Bad is Your Mortgage?

“Learn How I Modified my Mortgage down to 5.125%, Knocked $199,433 off my Total Loan Expense, and Lowered my Monthly Payment by $686 all with No Fees and Only 60 Minutes of Prep Work!”

To: Struggling South Bay Homeowners
From: Mike Rockwood (Torrance, CA)

Dear Homeowner,

Let me guess… you’re struggling to make your mortgage payments each month, your house is dropping in value by the day, and you’re not sure what to do?

 

Don’t worry—you’re NOT alone!I used to feel physically ill when the 1st of the month rolled around. I’m an honest, hard-working person like you, but I got caught up in the buying frenzy of 2004-2007. I borrowed too much, my lender lent me too much, and I nearly foreclosed on all 5 of my properties…… but I was lucky enough to attend a workshop where I learned about mortgage modification, and within weeks, everything changed!

Here’s the truth: President Barack Obama has made mortgage modification the easiest way to save your home, lower your monthly payments, and lift you out from under water.

 

Times are tough, for sure, but there’s finally hope for people like you and me. Enough talk… let me show you some of my own successes to date:

 

My Indy Mac Loan Modification:

     Before: 6.5% fixed (not bad… but not good enough)
     After: 5.125% fixed
     Monthly Savings: $638 (and $199K over life of loan)

     *primary residence

 

My Wells Fargo Loan Modification:

     Before: 6.5% fixed

     After: 4.5% fixed

     Monthly Savings: $262

 

My Litton Loan Services Loan Modification:

     Before: 7.35% fixed

     After: 7% fixed

     Monthly Savings: $140 ($27K over life of loan)

     *Rental property

 

My 2^nd Litton Loan Modification:

     Before: 12.5% fixed

     After: 7.0% fixed

     Monthly Savings: $95 ($12K total over life of loan)

     *Rental property

     *PLUS I reduced my principal by 20%

 

Why Are Banks Giving Away Money Like This?

With five million homeowners facing foreclosure right now, and each foreclosure costing lenders a minimum of $50K just in fees, banks are so desperate to keep you in your home that they’re literally handing out money to people who are organized and ask the right questions.

My FREE Mortgage Modification Workshop works like this:

7:00-7:30 P.M. – I’ll show you how to quickly (we’re talking minutes here) put together a well-presented loan modification application that is guaranteed to get reviewed by your lender

7:30-7:45 P.M. – Together, we’ll write your hardship letter communicating to your bank your situation very clearly (this part is super easy… like filling in the blanks).

7:45-08:00 P.M. – I’ll take questions and give answers to any and all loan modification questions. I am an authority on loan mods, so if I don’t know it, it’s probably not important—and if it is important, I’ll find an answer for you before the evening is over!

Why Are You Doing This For Free?

I’m very proud of my new book, the 60-Minute Loan Modification, and I’m doing this as a means of publicity and promotion. As great as my book is, I realize that in about 12 months, loan modifications are not going to be offered anymore (banks aren’t THAT crazy), so I have to spread the word as fast as possible.

PLEASE NOTE: you do NOT have to buy my book, and this is not a sales presentation. This is a rare opportunity to get 100% free help from me. I’m an expert on mortgage modification, and I can help you.  

Reservations Required:  Call 310.634.0362 or email help@60MinuteLoanModification.com

 

 

 

 

 

 

By now, you’ve probably heard all about flipping real estate for a profit, but have you considered other ways of using real estate investing to make money?  Here are five South Bay real estate investment methods that can also make you quite a bit of money.

#1:  Buy a large piece of not yet developed South Bay Real Estate, split it into lots and sell it.

This method will earn you an extremely large return on your original investment.  The downside is that it can take quite a bit of time to sell off each of the lots.  This means your capital can get tied up for quite a bit of time.

#2:  Turn a larger house into a into a boarding house.

Boarding houses can earn you quite a bit of money because you are renting out individual rooms instead of renting the whole property to a single person or company.  The downside is that you might end up losing money during down time when the boarding house isn’t full.

#3:  Invest in Torrance Commercial real estate.

The longer term triple net leases mean that you won’t have to do a lot of site management and will provide you with a larger return on your original investment.  The problem is that commercial real estate can be a tough market to get started in, and you can lose quite a bit of money while you wait for someone to lease your storefront.

#4:  Purchase a Torrance home, live in it and then sell it.

The biggest advantage to this is that when you actually live in the home before you sell it, you won’t have to pay as many taxes on your profits.  The downside to this South Bay real estate investing method is that you will have to move quite a bit and that can be rough on you and your family.

#5:  Purchase an outer lying piece of South Bay real estate and then sit on it.

Eventually the property values on the land you have purchased will go up and you can make quite a large return on your original investment.  The problem is that the market isn’t predictable and you could end up sitting on a vacant lot for quite a long time before you can make a profit. 

Flipping houses is one of the best way to make a profit in Torrance real estate. The Rocky Rockwood team has experience in real estate investing and is happy help you decide which method is best suited to your financial situation. For a free and complete financial consultation, call 310-809-0203 or e-mail ryanrockwood@kw.com to set up your appointment.

Good News, Bad News…or, One man’s trash is another man’s treasure!

Good = Southern CA home sales skyrocketed a record-setting 65 percent in September, compared to a year ago! Wow!

Bad = However, the median price dipped below $300,000 – plunging more than 33 percent, according to DataQuick. Throughout the region a full 50 percent of all home sales were in some stage of foreclosure. That’s what is driving home prices down now. There’s plenty of demand…just too many foreclosures.

Good = The foreclosure numbers do show a 12 percent decline from August to September.

Bad =  ”Much of the 12 percent decrease in September can be attributed to changes in state laws that have at least temporarily slowed down the pace at which lenders are moving forward with foreclosures,” said James J. Saccacio, chief executive officer of RealtyTrac. “Most significantly, SB 1137 in California took effect in early September and requires lenders to make contact with borrowers at least 30 days before filing a Notice of Default (NOD). Follow this link to view current Torrance Foreclosures. In September, we saw California NODs drop 51 percent from the previous month”, he added.

That reduced number of foreclosures may not amount to a hill of beans, according to the blogger Sean O’Toole, founder/CEO of ForeclosureRadar.com.

“Be careful with drawing any conclusions from the declines. The reality is that this only delays the process, and unless lenders radically change their position on loan modifications with principal balance reductions, it will likely have little impact other than a delay of the inevitable,” O’Toole writes.

So, trash for South Bay sellers and treasures for South Bay buyers! Call me to help you do either!

Ryan ‘Rocky’ Rockwood

310-809-0203

Ryanrockwood@kw.com

The first question you should ask yourself is why you want to invest in South Bay real estate. Most people are seeking financial independence. Some people want their assets to grow, some want an ongoing income stream and some want tax advantages. The good news about Real Estate is you can have all three!

Many people save and invest their entire working lives so that they can retire with enough money to live whatever lifestyle they want when they stop working. The big question is “How much money do I need to put away to support that lifestyle?” Well, if you want to have $100,000 a year to live on, you will need to have about 20 times that ($2,000,000) invested to meet that income need at retirement. Then, whatever annual dollar amount you need today, you will probably need double that every 15 years. 

One of the best things about real estate investing is it offers you leverage. Think of it this way, if you have $10,000 invested in a stock or bond that returns 5%, you will earn a 5% return or $500. If you put $10,000 down on a $200,000 piece of property and it goes up 5%, you just doubled your money or $10,000. That’s 100% return! Then, if you take into consideration that you could have received some cash flow, and your tenants are paying down your loan, and you get to write off depreciation and other expenses, 200% annual returns are not uncommon.

A good indicator for buying cash flow properties is what we call a “cash on cash” return. If it took $10,000 out of your pocket to buy a property that cash flows $250 a month ($3,000 a year), that’s a 30% return on your cash. 

The first thing that needs to be done is to find out how much money you can borrow. You need to talk to a lender that is familiar with investment real estate. A good lender can advise you as to what strategies you should employ based on your credit scores, savings and income. Once you know what you can qualify for, then you are ready to go on to the next step.

Determining which is the right area to invest is the next step. If you are primarily looking for appreciation, you will want to focus on the high-demand coastal areas. If you are looking for cash flow you may want to look in more established areas inland. I always advise looking for homes/units near major transportation centers or employment centers or universities, etc. 

Finally, you need to conduct due diligence. There are no short cuts here. It’s very important to investigate what you intend to invest in. What is the property really worth, what are the vacancy rates, what are the property tax rates, what does the owner typically pay for – utilities, lawn care, etc., is there a Home Owners Association and how will you manage the property and how much will a management company cost you?

 

The South Bay is a region just South of the City of Los Angeles that encompasses the smaller regional areas Beach Cities and the Palos Verdes Peninsula. Torrance is a large enough city that it is usually not included in these subcategories of the South Bay.

The Importance of Lawyers in Real Estates for Your South Bay Real Estate Transactions

 

The growth of the South Bay real estate market has accelerated over the last couple of years, causing
the skyrocketing of related real estate prices. Therefore, if you’re one of those who still haven’t secured your dream property in the South Bay area — that sprawling home in the Palos Verdes Peninsula (Palos Verdes Estates, Rancho Palos Verdes, Rolling Hills and Rolling Hills Estates) or top-of-the-line condominium in the Beach Cities (Manhattan Beach, Hermosa Beach and Redondo Beach), then you must hurry. Investing in real estate is an excellent opportunity to gain profits from reselling as prices continue to soar in the South Bay. After some years, you can resell the same South Bay property at a higher price.

Read Also: Important components of your South Bay Real Estate Closing

Regardless of the role you play – buyer or seller — in the South Bay real estate process, each transaction requires having to deal with a variety of legal requirements. The federal government and the state have regulations and laws that guide the conduct of the real estate market. Knowledge of the law, clearly, is an advantage in real estate transactions.

Read Also: Finding a Good Real Estate Lawyer for Your South Bay Real Estate Business

Each party signs a wealth of legal documents during real estate transactions. Often, these contracts and other agreements include complex clauses that may require the need for legal expertise for interpretation. Moreover, negotiations as regards the inherent benefits and responsibilities in the contract often occur. Lawyers may be necessary to successfully go through this negotiation process, as for many individuals, negotiations are not only difficult but also scary.

Read Also: Torrance Real Estate : Foreclosure Scams and How to Avoid Them

California Real estate lawyers, however, have had experience and training not only in interpreting legal clauses but also in negotiating agreements. They help you, whether you’re buying or selling property in South Bay, by facilitating the smooth progression of your transaction. Many have come to realize how real estate lawyers are to any real estate transaction. As such, real estate lawyers have been mainstays in many negotiations.

Things Lawyers in
Real Estates Can Do

Lawyers can do a variety of tasks to help facilitate the progression of the deal successfully.

• Lawyers can offer legal advice and representation in
  courts to their clients. Often, they can suggest an optimal plan regarding ways
  for you to ensure maximum profits from any real estate property you hold. These
  real estate lawyers are capable of handling both commercial and residential
  properties in the South Bay area, regardless of the nature of the concern:
  buying, selling, foreclosure, domain disputes, mortgage negotiations, leasing,
  zoning, and even the allocation of commercial property.
• Transferring property to another individual requires the
  creation of a representative illustration of the land for execution and
  delivery. Your lawyer may be able to tell you the limitations and freedoms you
  have regarding what to do with the property you own. He or she can clarify what
  rights you hold, so that you may be able to avoid errors or avoid being
  exploited in future disputes that may require you to appear in court. A real
  estate lawyer may also help you assess the South Bay property and give you a
  ballpark figure regarding costs associated with the transactions you intend to
  pursue.
• These real estate legal experts are equipped with the
  experience and education to apply the appropriate laws and resolve issues. This
  only proves the argument as to why real estate lawyers are an absolutely
  necessary service that you must hire should you pursue any real estate
  activities in the South Bay area.

Steps and Players Involved in Closing A South Bay Deal of Real Estate

Real estate deals have various steps involved and the most important step is the closing deal. In the closing of a South Bay real estate deal, there are important people you need to work with.

• A Real Estate lawyer is an important professional you need to have by your side during the closing of a South Bay real estate deal. He is an expert who can look into various legal matters. Aside from that, he’s also the person who supervises the exchanges of money and other important documents.

        Read Also: Finding a Good Real Estate Lawyer for Your South Bay Real Estate Business

• Another person you need to be working with is an escrow agent. The escrow agent is responsible for overseeing financial matters as well as all other legal matters of the deal. The importance of an escrow agent is tied to being an arbiter between the two parties, the buyer and the seller. The escrow agent neither represents the rights of the buyer nor the seller, but looks more into the common misconceptions of both parties. His function is more of giving an objective and unbiased judgment for the two parties involved. He is more like a neutral third party with no interest of protecting the rights of either the buyer or the seller.

Before the final step of a South Bay real estate deal ends, it is important to carefully search and verify the title or the legal ownership of the property in the property record of the county courthouse. Various title insurance companies offer their services to search these property records and provide information on issues related to the property. In these searches, you may find preliminary title reports that provide the details on the constraints tied to the property as well as the indebtedness against the real estate property.

Read Also: Understanding South Bay Real Estate Contracts

After Closing a Deal of Real Estate…

At the end of the real estate deal, the insurance company may issue title insurance. This title insurance is important as it functions as a protection against risks of financial loss such as on occasions that you need to pay more expenses during court battles. The many serious hidden issues or risks that are neither discussed during the final deals nor covered by the record issued from the courthouse may surprise you if you are not prepared. These issues include claim for labor, claims for materials, etc.

Other risk factors include issues on unrecorded easements, rights of the seller of the property and the constraints on the use of the property. The role of a lawyer is very important in these issues especially to calm down the tension as well as to give counsel and direction to their client. Real estate lawyers who are assigned in these deals can give counsel on several aspects such as on extended policies as well as on additional premiums that may be part of a South Bay real estate deal.

Read Also: The Value Your California Real Estate Attorney Brings to your Home Purchase

During the closing of the deal, there are several ownership documents that need to be filed and recorded in the document diary of the county of the actual location of the South Bay property. It is important that these documents are properly recorded and documented in the county or you will face lawsuits, fines, and even loss of the property.

409 West 224th Street
Carson California 90745
MLS#: V08076663

$354,900

 

This wonderful carson home is in a great location – near Veteran’s Park, schools and shopping. Large living room with fireplace, formal dining room. 4 bedrooms, 2.5 bathrooms plus an office.

This is an approved pre-foreclosure, short sale. Open escrow in 3 days.

Read Also: Carson real estate investor’s delight: Foreclosure

 

 

 

 

Read the rest of this entry »

Looking for a Bargain with Your Second Home in South Bay

The current American real estate market is no longer monopolized by the upper classes. Indeed, the boom in the American real estate industry has been due largely to the increasing participation of middle-income Americans. These middle-income Americans have jumped in on the trend of owning second homes. They usually choose to invest on second homes located outside of their home state, such as in the Palos Verdes Peninsula area (Palos Verdes Estates, Rancho Palos Verdes, Rolling Hills and Rolling Hills Estates), the Beach Cities area (Manhattan Beach, Hermosa Beach and Redondo Beach),or another other area in South Bay (Lomita, San Pedro and Torrance).

There are people who jump into the real estate investment business head first with very little information about what they should invest on in South Bay and how to properly go about it. The first thing that must be put into consideration is how much you can afford in purchasing your second home in the South Bay area. A budget should be taken into consideration, as this defines the limits of what you can and cannot buy; it might be the difference between purchasing a home in San Pedro or Redondo Beach. This amount that you can spend on a second home usually depends on your economic well-being. However, there are a variety of factors that contribute to the shifts in house prices.

Read Also: Turn your Torrance Second Home into a Vacation Rental

Location! Location! Location!

If you want a home near a picturesque spot in the Beach Cities for instance, or in a locale that is frequented by tourists, it is likely that these South Bay homes will cost more than homes located elsewhere in South Bay.

Important Things to Consider When Buying a Second Home

Once you’ve decided to purchase your second home, look for communities that offer owners an environment with sufficient facilities. Facilities and amenities include not only places to buy supplies, but also laundry, food, and cleaning services. Being in the proximity of structures that offer amenities can spell the difference between living in a box and living comfortably in your second home. Your home’s value obviously increases should it be found near skiing sites, golf courses, or beach areas. Advertising your second home for rent can benefit from proximate locations that may be of interest to vacationers in the area.

Read Also: For all those South Bay Frustrated Time Share Owners….

Many people want to buy second homes just so they can have a place they can call home away from their real domiciles. Before you jump in, you should consider the facilities that are near the South Bay home. This is because it is unlikely that you will want to do chores in your second home when you are there on vacation. Services to take care of cleaning your house, doing your laundry, or cooking meals should be found near the area before you finalize a deal to buy a second home in South Bay. That way, you can comfortably enjoy your vacation while your basic needs are being fully serviced at the same time.

More importantly, choose a home in a South Bay community in which you feel comfortable and safe. Some basic considerations that buyers of new homes always keep in mind are low crime rates, the friendliness of the roads for pedestrians, and the like. If you want to sell the South Bay home in the future, the resale worth of the house should be considered: choose a house in a South Bay community where real estate property prices are expected to increase over time. This is the best way to ensure a good resale price once you choose to sell the house.

Advice on Buying Real Estate in South Bay

The value of real estate in South Bay is variable. Real estate may cost more in the Beach Cities (Manhattan Beach, Hermosa Beach and Redondo Beach), for instance, than in the other South Bay areas like Lomita, San Pedro and Torrance. A lot of factors have to be taken into consideration in the valuation of real estate. Those situated in first-rate and major areas in South Bay make up what is known as prime property. You will have to pay more for real estate situated in such places.

The purchase of a South Bay real estate means using up your earnings and hard-earned savings. As such, very thoughtful considerations have to be made. If you you’re a first time buyer, the process isn’t easy. So foremost is to look for a credible and reputable real estate agent. Talk to him. Tell him what you are looking for in a South Bay area home, including location, budget, family preferences, and such other matters that you consider important in the choice of the real estate you will be purchasing. The purchase of a property in the Palos Verdes Peninsula area, for instance, can be different from the purchase of a property in the Beach Cities. Thus, a real agent can guide you along the way.

Read Also: First Time Homebuyers Tax Credit: Torrance, Palos Verdes and Beach Cities

Buying Real Estate on Your Own

Opting to do the purchase a real estate property by yourself can be very difficult. In the long run, it may prove tedious and instead of making a saving, you can end up paying more. Getting help from a professional can prove beneficial and advantageous to you as a first time buyer.

The value of real estate in the Palos Verdes Peninsula (Palos Verdes Estates, Rancho Palos Verdes, Rolling Hills and Rolling Hills Estates) can be high. The value of real estate properties in this South Bay area may even go higher on a daily basis. You may not have a hard time finding a Palos Verdes Peninsula property to your liking, but the price may be what would stop you. Still, a real estate agent can provide you with a range of prices for properties in this South Bay area that you can afford or are willing to pay.

If you are going to deal in the buying or selling of any property in South Bay, it is also wise to get the services of a real estate lawyer. He can give you assistance with the necessary papers needed in the consummation of the deal. You can have him review all the papers before signing. It is also important that you are accompanied by your own lawyer when you meet with the other party and the other party’s lawyer.

When you are properly advised and represented, searching for that dream property in South Bay will become a realization. And you will be spared of all the ensuing headaches and heartaches.

South Bay Real Estate Investing: Be Wise and Escape the Timeshare Trap

If you’re new to real estate investing in the South Bay area, you should know that buying a timeshare is one of the worst mistakes a real estate investor can make. In the beginning it seems like a fantastic idea. For a predetermined amount, which seems dirt cheap, you get the right to stay for free at a resort or holiday apartment.

Usually the deal is that you get a couple of weeks out of every year. It sounds like a great bargain, considering how expensive hotels can be. This is precisely the reason why many people continue to fall for the timeshare trap. It is only when they have been lured into signing the contract and giving up their hard-earned cash that they realize how completely they have been deceived.

Timeshares: Why They’re Bad Investments

Why is timeshare considered such a huge hoax? The bottom line is that you as a buyer are not making any sort of investment at all. The only thing you achieve when you sign a timeshare contract is to put money in the pockets of both the sales personnel who push you into purchasing and the proprietors who own the resorts.

Many buyers fail to completely take into account the annual payments the have to make on top of the initial purchase price. You get so excited by the idea of free getaways that you do not realize that you will also have to pay keep the resort running. This can reach anywhere from $500 to $1000 annually. It is only when the bills for the payments come in that they discover how much they have been misled.

Think about it for a second — do you really want to keep going to the same location, stay at the same hotel in say, Hermosa Beach, every year? Even the most breathtaking of vistas eventually lose their power with constant exposure. Furthermore, timeshare buyers may be shocked to learn that they are restricted to visiting the resort only in the off season. Slick sales personnel are wise to downplay these sorts of things, and will often fail to inform you of facts like you will be paying too much and that you will not be allowed to visit during the best times of the year.

Is it too late to get rid of my Time Share?

Unfortunately, this information may be reaching you too late. You may have already taken the bait and sealed the deal. If you have already fallen for the timeshare trap, what do you do? The best strategy seems to be to find some other poor schmuck who is naive enough to buy your South Bay timeshare from you. This is easier said than done, as many investors are now quite savvy about the downside of timeshare deals. It is unlikely that you will find anyone willing to buy your timeshare from you, at least not at the same price you paid.

Your only recourse is to bite the bullet, slash 30-50% off your asking price, and charge it to experience. It seems like a drastic measure, but there is really no other way to escape the money-sucking predicament you have gotten yourself into. Your only choices are to sell at a loss, and be glad of the many potential buyers you will get, or swallow your disgust and take advantage of some resort’s resale programs.