Real Estate Insights and Trends: Your Guide to Market Success

How to Secure a Mortgage in Los Angeles: Step-by-Step Guide

by CRESTICO | Jul 18, 2025 | Mortgage

Buying a home in Los Angeles can be both an exciting and overwhelming journey. With high Real Estate prices and fierce competition, understanding how to secure a mortgage is crucial for homebuyers, real estate investors, and even those looking to refinance. Whether you’re a first-time buyer, a seasoned investor, or a retiree considering a reverse mortgage, this guide breaks down the process step-by-step to help you get approved, lower your mortgage payment, and choose the right loan for your situation.

Crestico, a leading Mortgage Broker in Los Angeles, offers an extensive range of mortgage programs tailored to fit every buyer’s needs. Let’s dive in.

Why Understanding a Mortgage Matters

A mortgage is a loan used to purchase a property, typically paid off over 15 to 30 years. Understanding how mortgages work helps you make informed financial decisions that affect your long-term stability.

Los Angeles presents a unique housing market with diverse real estate opportunities but also significant challenges, including high home prices and competitive bidding. Having a solid grasp of mortgage fundamentals puts you ahead of other buyers and can help you secure the most favorable home loan terms available.

Step 1: Assess Your Financial Readiness

Before diving into mortgage applications, take a detailed look at your financial situation. This includes your:

Credit score: A higher score can help you secure better mortgage rates.
Debt-to-income ratio (DTI): Lenders typically prefer a DTI below 43%.
Savings for down payment and closing costs.

Use a Mortgage Calculator to estimate what you can afford monthly and the total loan amount you might qualify for. Crestico’s online tools make this easy.

Step 2: Get Pre-Approval

Pre-approval is a lender’s written offer to loan you a specific amount under certain terms. This shows sellers you’re a serious buyer and gives you a competitive edge in hot markets like Los Angeles.

Required Documents:

Proof of income (W-2s, pay stubs, 1099s)
Bank Statements
Tax returns
Credit report

Crestico streamlines this process by offering a digital application and a dedicated loan originator to walk you through it.

Step 3: Choose the Right Mortgage Program

There are many types of mortgages, and the best one depends on your financial goals and qualifications. Here are some common options available through Crestico:

Fixed-Rate Mortgage

Stable interest and monthly payments.

Adjustable-Rate Mortgage (ARM)

Starts with a lower rate, adjusts annually.

FHA Loan

Low down payment, government-backed. Ideal for first-time buyers.

VA Loan

For veterans and active military with $0 down.

Jumbo Loan

For high-value homes above conforming limits.

Non-QM Loan Options

1099 Only Loan
WVOE Only Loan
Asset Depletion Loan
Bank Statements Loan
DSCR Loan (Debt Service Coverage Ratio)
Fix and Flip Loan
Construction Loan
Profit and Loss Loan
Bridge Loan

These alternative Loan Programs are designed for self-employed individuals, real estate investors, and others who don’t fit traditional lending molds.

Step 4: Shop Around for Mortgage Brokers

Working with a mortgage broker gives you access to multiple lenders and helps you find competitive mortgage rates. Crestico compares offers from dozens of lenders to find the most suitable match.

Don’t just accept the first quote—compare Interest Rates, loan terms, and total costs. Use a mortgage calculator to run the numbers.

Step 5: Lock in Your Interest Rate

When you find a favorable interest rate, ask your lender to lock it in. Rates can fluctuate daily based on economic conditions, so timing is crucial.

A rate lock typically lasts 30 to 60 days. Make sure you can close within that timeframe to avoid losing your locked rate.

Step 6: Complete the Mortgage Application

After selecting a loan, complete the full application process. This includes:

Home appraisal
Home inspection
Title search
Underwriting

During this stage, it’s crucial to avoid major financial changes such as opening new credit lines or making large purchases.

Crestico ensures a streamlined and quick process with expert guidance at each step.

Step 7: Closing and Beyond

At closing, you’ll sign final documents and pay any remaining costs. Your lender will fund the loan, and you’ll officially become a homeowner!

Afterward, focus on:

Setting up mortgage payments
Exploring options to refinance later to a Lower Interest Rate
Considering a cash-out refinance for renovations or debt consolidation

Tips for First-Time Homebuyers & Special Cases

Down Payment Assistance

Los Angeles offers multiple programs such as:

CalHFA
Greenline
Local city grants

These help lower upfront costs for first-time buyers.

Low Credit or No Down Payment

Programs like FHA and VA loans are forgiving of lower credit scores and offer minimal or no down payments.

Self-Employed Borrowers

Crestico specializes in Self-Employed Loans, offering flexibility with documentation like bank statements, P&L statements, and 1099s.

Investment & Commercial Loans

Investors can benefit from Crestico’s expertise in:

DSCR Loans
Fix and Flip Loans
Bridge Loans
Commercial Mortgage options

Reverse Mortgages for Seniors

Available to homeowners aged 62+, this option provides tax-free income while retaining homeownership.

Why Choose Crestico in Los Angeles

Crestico has over a decade of experience helping clients navigate the complexities of real estate financing in Southern California. Here’s what sets them apart:

Extensive loan program variety
Quick pre-approvals
Transparent process
Expertise in Non-QM loans
Personalized service from licensed loan originators
Local market knowledge for areas like Woodland Hills, Encino, and beyond

Explore more about Crestico’s services at www.crestico.com.

Final Thoughts

Securing a mortgage in Los Angeles doesn’t have to be overwhelming. With the right preparation, tools, and guidance from a trusted broker like Crestico, you can move confidently toward homeownership, investment, or Refinancing.

Take the first step today by getting pre-approved and exploring your loan options. Whether you want a low rate, flexible terms, or access to specialized loans like Self-Employed Loans, Crestico is ready to help.

5 Home Building Trends for 2018 that Every Real Estate Needs to Know About

by David Glenn | Jan 3, 2018 | CRESTICO

As we spend the last few days of 2017, Real Estate moguls and property managers can’t help but wonder what 2018 has in store. The home décor industry is also in an anticipatory mood for the coming year. 5 Home Building Trends for 2018 that Every Real Estate Needs to Know About For instance, home décor companies are brainstorming on new kitchen finishes and trendy paint colors for the New Year. The main reason why homeowners do a significant design remodel or engage in the construction of a custom home is to create a holistic personal space. This means that any home décor or remodeling firm should keep their consumers with the most current trend in the real estate industry. In this article, we will talk about the designs and decors in the home building industry that are going to revolutionize the real estate industry in the coming year of 2018.

Treatment and Finishes

Modern, sleek and aesthetic looks have taken over in the human life all thanks to technology. All these advancements have become a cliché, and now people want to get back to their original roots. Due to this fact, wood finishes will be a home décor incentive that no real estate firm should ignore in 2018. The home improvement décor may come in different forms including wooden plates, a rustic wooden lamp, a solid wooden table or exterior accents that are made from wood such as corbels, columns. The home designs of 2018 are likely to be all about wooden interior finishes and natural accents. Wood interiors compliment the desire by most homeowners to integrate with nature in today’s world where technology has almost made our lives artificial.

Iridescent Accents

While some owners plan on using earthly accessories to connect with the natural environment, there is a group of people who are willing to use the modern look of bright accents to embrace the future of home décor. Although lustrous accents give your home that aesthetic look that you are yearning for, it will cost you more than the available alternatives in the market. Most homeowners will prefer to start with a shiny tiled backlash or an iridescent pillow. This type of home décor is a mermaid-worthy look and is likely to gain traction in the future as homeowners are slowly embracing it.

More Open Spaces and Clean Lines

Even in traditional homes, spacious floors are becoming the trend going into the future. According to experts, the home construction industry is holistically becoming contemporary. Home builders are now focusing cleaner lines and the increased use of standing-seam roofs and Austin stone and doing away with turrets. Even the homeowners that chose to retain the traditional home exteriors have decided to go with open and modern concepts on their interiors. This always translated to tiny, wasted rooms and hallways. More usable space is still afforded by open floor designs to the dining areas and possibly to the living area. Designers have also brought the outdoors inside the home by the incorporation of more glass interior doors which are designed in such a way that they disappear after opening. As with any other system, efficiency is critical, and homeowners have realized that 100% of the floor space in their houses should be usable.

Geometric patterns

The day when geometric pattern designs would make a comeback in the home décor industry is finally here. These form of models can be seen in almost every part of the home area including in furniture and wallpapers. You can have the geometric pattern designs incorporated in your home using a wallpapered accent wall to give your house that new and fresh look. You can also make use of a new rug or some throw pillows to improve your aesthetic standing. If you are committed to having this new rend incorporated into your home, you can use a kitchen backsplash or a floor that is geometrically tiled. In 2018, this trend in home improvement will give a vintage and modern feel that anyone from any generation can appreciate.

Easy Ways to Invest In Real Estate

by David Glenn | Nov 14, 2017 | CRESTICO

As an investor, real estate is one of the many options you can consider to expand your portfolio. It comes with many benefits including securing your future, buying a home and making money from renting out the real estate property you buy. If you are starting out, it is imperative to keep in mind the advantages and risks that come with real estate investment so that you make the best decision for your money. Once you have decided to invest, here are a few easy ways you can start out with:

Buy to rent

With buy-to-rent properties, you will be able to pay the mortgage on your property through the income generated from the tenant. If you select this option, you will be responsible for the expenses that come with renting out, including maintenance costs and taxes Ensure that you do your due diligence to make sure that the investment is worth it. Remember, the rent will depend on the market rates without affecting your mortgage. You should also make sure that you choose a property in an area where people would like to live so that you can get tenants easier. Consider the kind of tenant you want on your property before making a decision.

Consider investment groups

If you do not want a rental property, consider joining an investment group. With these groups, a company buys or builds property and lets a group of investors buy them through the company. Although you can own one or multiple units, all management responsibilities fall on the company. The company will also take a percentage of the monthly rent to cater for the maintenance, mortgage insurance, advertisement of vacant units and others. It is important to note that mortgage insurance is different than homeowners insurance, also known as home insurance, and it is wise to have both. Keep in mind that some investment groups require a percentage of the rent for vacant units. Ensure that you find out more about the agreements before signing up for such an investment.

Buy to Sell

If you are not interested in the two options above, consider flipping properties as a way of investing in real estate. This is the process of buying property, holding it for a few months with the intention of selling for a profit. It comes with a number of pros including the potential to make quick money and you will be able to learn a thing or two about Construction, real estate and market demand. However, you need to be careful not to make mistakes that might cost you. Keep in mind that you will need adequate time, as renovation is important to boost the value of your home when reselling. From finding the right house, buying the property and fixing it up, you will need quiet time and patience so that the investment can be worth it.

Real Estate Investment Trust

A real estate investment trust (RIET) will invest your money to buy and operate income property. It is a good plan as it allows both small and large investors to own real estate and commercial property as well. REITs come with a number of regulations, including having at least 100 shareholders; at least 75 percent of the assets must be in real estate, cash and government securities and 75 percent of the gross income come from rent, mortgage, and real estate investments. With REIT, you will benefit from high yields, simple tax improvement, and diversification.

Leverage

You can also consider leverage as an investment strategy to increase your potential of earning returns on your investment. This means that you use borrowed money to pay a significant percentage of the cost that enables you to buy a more expensive property that you could have bought using the available funds. If you are not comfortable with using leverage directly, you can invest in companies that use leverage to finance their operations. Depending on the decision that you take, make sure that you weigh your options, do your research on the benefits and costs of each before making your investment.

Here’s How To Grow Your Real Estate Company Organically

by David Glenn | Oct 17, 2017 | CRESTICO

New Real Estate agents are often so thrilled to begin a new career that they go to great lengths to attract potential clients. Experienced realtors are also striving to grow their companies and, as such, spend thousands on marketing campaigns that attempt to convince new customers to come their way. While there is nothing wrong with taking measures such as effective email marketing campaigns to attract new customers, the best advertising practices revolve around attention to detail along with your willingness to learn and be proactive in the industry. Studies show that upwards of 80 percent of your company’s consistent revenue comes from less than 30 percent of your existing customer base. That means that of your 100-person client list, about 20 satisfied customers drive growth that takes your business to the next level. With so much riding on happy customers, it is vital that you develop ongoing strategies that place clients at the forefront of everything you do in the industry. Here are five ways to improve relationships, and hence business, in real estate.

Continually evolve

Despite what you were taught, maintaining a business is impossible. Your company should always be on the cutting-edge of the industry, which may at times feel as if you are not an expert in your field. Do not despise these uncomfortable times as they present opportunities for growth. The most successful real estate agents thoroughly study their craft and attend seminars that help them better complete their jobs. Salespersons and brokers also invest in books and other educational resources on a consistent basis to keep up with the industry.

Bolster the needs of others

You will not get far in business unless you put the needs of your current customers and potential clients ahead of your comfort. A good way to satisfy customer needs is to ask yourself what the average client would expect from you, and then determine the best way to go about serving your public.

Follow up with clients

It does not matter how many times you call or send correspondence, your efforts to attract customers via follow-ups never grows old. It may be the time that you feel as if your email marketing tactics are doing little to accomplish your goal of growth that a customer calls you in need of a consultation. Rewarding current clients who refer new buyers is another way that real estate agents grow their businesses. Even if the incentive is only two movie tickets, the fact that there is a benefit attached to your customers working to garner leads for your business is enough motivation to convince your client base to help with increasing business.

Establish new relationships

Networking is key in real estate. Not only is it important for you to develop new relationships with buyers, but it is also essential that you connect with fellow agents. There may be times when a salesperson or broker has a client who has requests outside of his scope. He may refer such individual to you and, as a result, bolster your business. The correlation between you and the customer cannot take place, though, without you making the first link between your co-worker. Such is the reason for establishing new relationships with both buyers as well as agents and brokers.

Take action

Proactiveness is the glue that holds everything together when you are a real estate agent. You can educate yourself on the latest trends in the industry and distribute flyers throughout the neighborhood, but such acts mean little if you do not work proficiently once you have hooked the client. Taking the laid-back approach is a good way to encourage customers to look for another agent who can answer all of their calls and accurately communicate their wishes and demands to sellers. You must be fierce and always one step ahead of proceedings if you want to close a deal quickly. Your ferocious attitude is what may convince clients to tell their friends and, hence, further grow your company. Bringing increase to your real estate business is no easy feat. You must set a goal and be determined to see it through if you plan to go far in the industry. Focusing on customer service is the best way to secure your company’s longevity in real estate.

5 Real Estate Markets That Are Currently Underpriced

by David Glenn | Aug 8, 2017 | CRESTICO

Investing in Real Estate by purchasing your own home can be a great long-term investment option. While buying a home in most markets and planning on owning it for a long period of time is almost always a great option, there are some real estate markets across the country that are now considered undervalued and provide more potential. The following five real estate markets are poised to experience higher than average increases in real estate values over the next 5 to 10 years. Detroit, Michigan One city that has had one of the hardest hit real estate markets over the past two decades has been Detroit. Detroit was one of just a few cities that actually saw value declines during the real estate bubble. While they have had a lot of issues with foreclosures, it appears that the city is rebounding. Detroit is no longer in bankruptcy and has seen a lot of urban revitalization. Part of this has included tearing down vacant homes all over the city and replacing the land with parks and commercial properties. Orlando, Florida Another city has it considered underpriced compared to other cities across the country is Orlando. Orlando was one of the fastest growing cities during the housing bubble. Once the bubble burst, many condo owners saw their property values fall dramatically. The city was further hit by a slowdown in the travel industry during the recent recession. Now that this has recovered, the demand for housing is starting to increase. The median value in the city is still only around $150,000, which makes is very affordable for someone new moving into the area. Chicago, IL While Chicago is best known for being the third-largest city in the country, its real estate market is considered one of the best values today. In 2016, the median price for a home in Chicago grew by about 4% to a median price of $228,000. At the same time, unemployment in Chicago is continuing to reduce and more people are moving back into the city. This is making more and more neighborhoods turn into expensive communities with a lot of local amenities. St George, Utah Another city that is considered to be undervalued are various urban and growing areas of Utah. While Salt Lake City and Park City have continued to have strong real estate markets, many of the best places to live in Utah are now considered to be in other areas of the city. The St. George, Utah area is located in the southwest part of the state and is considered one of the fastest-growing communities in the country. The city has an expanding local economy and still relatively affordable housing prices. In the coming years, St. George is expected to see continued above-average increases in its real estate home prices. New York When most people think of New York City, they think of the glamorous high rises in Manhattan and trendy brownstones in Brooklyn. While the city is full of unique housing projects that are considered the most expensive if the world, the overall city median price is still considered very affordable. Overall, the city of New York City is considered to be undervalued by at least 10%. This is based largely on the fact that the $385,000 median home value is affordable to a large percentage of the population. Furthermore, the city has low occupancy and a lot of outside real estate investors, which are going to continue to increase the demand for housing in the city. In conclusion, buying in owning a home is almost always a better long-term financial option than renting. While owning in most markets is a good idea, there are five real estate markets across the country today that are considered underpriced and offer the most potential upside.

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