Real Estate Archives – Page 69 of 77

20

Nov

Real Estate

5 Real Estate Professionals Who Assist You When You Buy Your First Home

5 Real Estate Professionals Who Assist You When You Buy Your First Home So you’re set to buy your first house. But where do you begin?

Buying a house for the first time can be nerve-racking. Most advice articles often concentrate on the steps involved in buying a house. To streamline things, let’s focus on the people who will likely be involved in your purchase transaction.

Concentrating on the finding the right professionals can help you navigate the entire buying process easier and more comfortably. Most people start with their home loan financing or locating a property with a real estate agent. Many of the other people involved in the transaction will be referred by these two important folks.

Apart from you and the seller, a number of other people will probably get involved. Some of them get involved throughout the whole process, others pop in and out, while others are optional. Below is an overview of five people involved.

Mortgage Loan Officer

First-time home buyers rarely pay all cash for their property. Most of them borrow money to purchase the property. As such, your mortgage loan officer becomes part of the process from the start to the end. From the moment you inquire if you can afford to the time of transferring ownership, your loan officer will be there.

Real Estate Agent

Most first-time buyers employ a real estate agent to assist them purchase their houses. Agents can help you find the house, draft your offer and advise you on ways to negotiate with the seller. They will likely help you circumnavigate through inspection and closing steps.

Settlement Agent

A settlement agent or a closing agent becomes involved from the moment you reach an agreement with the seller until the transfer of ownership is complete. In most cases, a settlement agent is most involved in the last days before you assume ownership.

Home Inspector

Home inspectors get involved for a short period of time. Most of them pop in, carry out an inspection, write a report and they’re gone. You may never hear from your inspector again. Your real estate agent or mortgage loan officer will most likely be able to recommend a trustworthy home inspector.

Appraiser

Mortgage lenders usually ask appraisers to estimate the market value of the house you’re purchasing. An appraiser makes sure that your lender isn’t advancing you more money than the actual market value of the house. Though the appraiser reports to your lender, you usually pay for the appraisal in your home loan closing costs.

Please keep in mind that legal requirements for transferring house ownership vary from one state to another. For instance, some states require a real estate attorney in the transfer of ownership. Check with your preferred real estate professional to get the details in your local market.

If you are in the market for a new home or interested in refinancing your current property, be sure to contact your trusted mortgage loan professional.

16

Nov

By John Cofiell

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Real Estate

5 Home-Buying Pitfalls To Avoid

5 Home-Buying Pitfalls To Avoid Buying your home can be nerve-racking, especially if it’s the first time. The buying process is exciting and often complex. The chances of making a mistake are relatively high.

In today’s real estate market where demand surpasses supply, you can’t afford to make mistakes. And this is just the tip of the iceberg. If you are in the market to buy a house, here are five pitfalls avoid.

Not Doing Your Homework Well

Fortune favors the prepared in real estate. And preparedness begins with understanding your finances. A wise buyer examines assets, analyzes debts and gets finances pre-approved before jumping into the house hunt.

Know the neighborhood well, since you’re also buying a location. It’s paramount to research about the quality of schools, upcoming zoning issues and crime level. Not all suburb spots are ideal to live in.

Picking The Wrong Mortgage

Getting your loan preapproved puts you in a better position to negotiate. Find out how much property you can afford. Don’t rely on your bank’s internet site only. Instead, use calculators and consult with your trusted mortgage professional to find out how much you can borrow.

It’s worth noting that what banks show they can lend can differ with what they will lend. As such, it’s imperative to choose your mortgage carefully. Compare offers from various banks or consult an independent finance broker.

Going With The Market Flow

Resist the temptation to flow with the market rather than your needs. The real estate market goes in cycles. There are times suitable for buyers, and times suitable for sellers.

However, don’t gamble with your future by sitting and waiting for the right time. Once you know your budget, get your finances organized, think about your needs now and in future. Then use short term market conditions to make long-term lifestyle choices.

Exceeding Your Budget

Most homebuyers fall for the trap of picking more appealing properties that cost more than their budgets. Falling into this pitfall can derail your future finances.

Although it’s human nature to yearn for more than we can afford, resist the desire. Surpassing your budget exposes you to potential financial shocks with bigger payments, property taxes and more.

Falling In Love

If you find the perfect house, keep it to yourself. Don’t let the sellers read your emotions. If they do, they may use them against you while negotiating.

Wise buyers know there are several homes out there, and there is one that’s right for them. And if you can’t afford one or your offer isn’t accepted, keep looking and move on.

Buying a home is rejuvenating. However, if you’re not careful, you can make mistakes you may regret later. Consult with your trusted real estate expert and trusted mortgage professional to get the best advice for your situation.

15

Nov

By John Cofiell

0 Comments

Real Estate

5 Creative Ways To Buy A Foreclosure

Buying a foreclosed home is easy, right? After all, they sell for pennies on the dollar, right? Well, that could be a false assumption. Buying a foreclosed property appears easy on TV, but in reality, it can be overwhelming.

Foreclosure sales continue to decline in the market from 38.6 percent in 2011 to 14 percent in 2017 but ticking up a bit in 2018 according to Attom Data Solutions, a national property data company. As foreclosure sales drop, competition for these properties become stiffer and more complex. And as home prices increase in most cities, buyers often turn to foreclosures as affordable alternatives for landing their dream home

Foreclosures usually occur when homeowners can no longer pay their mortgages and the mortgagees seize the properties. Once former owners vacate the properties, lenders typically put it on sale at discounted price or auction to the highest bidder.

Foreclosures give homebuyers the opportunity to get great deals. While foreclosures can save you thousands of dollars, it may come with risks. Having a stomach of steel can help when pursuing a foreclosure.

5 Creative Ways To Buy A Foreclosure To mitigate the risks involved, keep the following hacks and tricks in mind.

Budget Carefully

Don’t allow a small price tag to entice you into a quick deal. Ask yourself the following:

Do you have sufficient dollars for extensive repairs?
Do you have a team ready for any required repairs or are you handy at doing them yourself?
Can you find a tenant if you intend to rent?

If you conduct thorough research, you’ll minimize the risks.

Get A Home Inspection

Though foreclosures are usually sold “as is”, you need to know the property deficiencies. The home seller can allow you to bring in a competent home inspector. Your inspector will give you a list of what the property lacks and the cost estimates needed to complete the renovations. You may even want to hire a home inspector after purchasing a foreclosure just to get a thorough review of the property.

Ask For Vacancy Duration

Ask how long the house remained vacant. In most cases, long vacancy means more damages. For example, plumbing seals may dry out, bugs get into the house and sewer gases back up.

Don’t Ignore The Landscaping

Neglected landscaping contribute to house deterioration. Tree seedlings grow roots into the foundation and vines crawl into the windows. Small trees can also mess up pavers, and dead branches can break and crash into the house.

Be Cautious With Auctions

Although auctions are common with foreclosures, it’s best to avoid them. And if you can’t, be vigilant when bidding. Competitive bidding can raise the value so high that you end up losing money after the cost of repairs.

It’s always best to work with your trusted local real estate professional to find foreclosure properties. They are experienced in determining the quality of the properties and can help you through the tenuous foreclosure purchase process.

Another key partner is your trusted mortgage professional. If your good credit and pre-approval are in place, you will be on your way to making an offer as soon as the right property comes along.