Area Real Estate News & Market Trends

You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you!

July 28, 2020

Types of Income that you cannot use to get a loan

This is from a lender that I use a lot and some of these are kind of funny to try and use as income.... 😂 

  • Student Loan Money – Oh yes lenders get this one often and no that is not an acceptable source of income. 
  • My Mom and dad give you $15,000.00 per year!  Good for you, that is a gift and can be stopped at any point!  Not an acceptable source of income!
  • An ADU, or room rent?  Good try and again, the banks do not accept those as a form of income.  Now if your ADU is on an investment property and you show it for that address, we would be able to use it because we don’t know that the income is derived from the main residence or the ADU. 
  • I Airbnb my house when I am out of town?   Ooh that’s a good one and if you show the income then we will have to give you an investment property loan on your primary residence.  Most people don’t show that income anyway! 
  • I get paid under the table – Perfect, well if we have a little stronger housing market then you may be living under a freeway.  Show the income then we can use it.  I bet you got the $1200.00 from the Stimulus plan too! 
  • My Hubby makes most of the money, but he has bad credit can we use his income, and my credit? – Well, this worked in 2005, but it won’t ever work again!   
  • I have a credit card that gives me cash back at the end of the year.  Would you believe that this is an acceptable source of income?  Well if you do then you would be wrong! 
  • My parents are really old and when they die they will leave me money.  Good try, and I hope they live forever and torture you by buying cars, boats and expensive vacations. 
July 6, 2020

Pre-Foreclosure?

Are you late with your mortgage payments and are facing foreclosure? 

Have you missed a few mortgage payments and the bank is now threatening to file an NOD (Notice of Default) or have they already filed it?  

Don't immediately go to the worst case scenario and know that there are possible options so you can avoid a foreclosure.  If you have equity in your home, you can sell and pay off the loan and late fees and penalties before they set up a trust deed sale.  If you do not, you can try and negotiate with the bank to tack the missed payments on the back end of the loan.  With COVID-19 causing so many homeowners distress, the banks are more open to talking to you as they do not want a foreclosure if they can help it.

If you do not have equity and you are having financial issues, you can try to sell as a short sale in order to get out from under the debt.  

There are options but you must act quick once the NOD is filed as you only have limited time to come to a solution before the bank continues the foreclosure process.  DO NOT bury your head in the sand and think it will just go away, communication with the bank is key and many times will help keep them from moving forward with the foreclosure quickly.

Please reach out to me for a confidential consultation so we can come up with a plan of action to try and keep you in your home or find a way to sell it so you can avoid foreclosure and get the loan paid off.

CLICK HERE TO REACH ME 

April 27, 2020

Forbearance Information

I just wanted to post a resource so you can understand what a mortgage forbearance is before you take that route.  I know it sounds like a good idea now, but paying back all those missed payments can be an issue later on. If you can continue to pay, I would highly suggest you keep everything as current as you can so you do not have any issues later on down the line when the banks what the missed payments. 

FORBEARANCE INFORMATION

March 10, 2020

What Inspectors should I have inspect my home

When I am purchasing a home, what inspectors should I have come check it out.  

I always recommend starting out with a good general home inspector so they can give the entire property a once over.  From there, they will point out any defects they see and any areas that we may need to address further.  Most inspectors can give you some info on what they found, but it is best to then set up a specific inspector for whatever item there is an issue with. 

Should the inspector see some issues with the roof, it is best to then have a roof inspector come and check out the findings and give us his rundown on what is going on and how severe it may be.  It is always in your best interest to have a specific tradesperson out here to make sure you know all there is to know so you know how to proceed.

On older homes, it is also best to have the sewer line to the street scoped by a plumber to ensure there are no issues.  Many times, the trees in the area will penetrate the line with their roots and can cause a collapse that will be very pricey to repair.  Many homeowners will get it snaked out to clear the roots from time to time but eventually it will need to be replaced.

Always review your inspection report with your agent to ensure you are not missing anything important and can get the other inspectors to the house if need be and to also put together a repair request that adequately reflects the issues you have discovered. 

March 5, 2020

Movie/Tv home exteriors

I always love to check out movie/tv homes whenever I am out and about on a lazy weekend...  Here is the home exterior used for The Golden Girls tv show which I just love! 

This is on my list of places to drive by and check out on a nice weekend coming up! 

245 N. Saltair Ave. in Brentwood

Posted in Fun Things
March 4, 2020

When Can I Lock in my Rate?

When you are looking to purchase a home, you will talk to a lender about a comfortable budget and how much you can spend when you purchase a home.  That is based on the interest rate at the time you apply for the loan and as time progresses, the rate may change as you are searching for a home.

Once you have an accepted contract, you will then have the option to lock in the rate.  If you choose to not lock in right away, you can float the rate, which means it stays at market.  If the market goes up, then the rate goes up, if the market goes down, then the rate goes down.... so there is a bit of a risk.  

Most times, once you have the opportunity to lock and you are comfortable with that rate and payment, you should lock in so there are no surprises.  I would be terrible if you were to float it and then find out the rates went up reducing your purchasing power and then lose the house. 

Naturally, the lender you are working with will explain all of this too you and keep you informed so you can make the best decision when the time comes. 

 

 

Feb. 24, 2020

How Much Do I Pay An Agent To Buy A House?

When you are looking to purchase a home, you generally do not pay anything to the agent.

In most home sales, there is usually an agent that represents the seller and one that represents the buyer in the transaction.

The agent representing the seller charges them a fee to market, advertise etc, the home while they are working to sell it.  The home is also listed in the MLS and other systems that will get it local and national exposure.  The fee that the seller agrees to pay in the contract is split between the listing agent and the buying agent so the buyer does not have to pay for representation.

Feb. 22, 2020

Should I order a Home Inspection?

Yes!  

Home inspections are not always required by the lender but they are highly recommended!  Even if it is a cash transaction.  They can reveal defects that are not easily detected such as in the attic or other inaccessible areas.  You can also verify that the electrical panel is the correct size for the home, that the plumbing is not old and leaking or if there are possibly any moisture stains in the attic which may mean there is a roof leak.  Even thought the seller will have filled out an extensive disclosure form, many items they may not be aware or simply forgot since there is so much going on.

Always have the home checked out by a licensed inspector as that will only bring peace of mind to one of your biggest investments you will have.

Feb. 20, 2020

Contingencies

One question I get a lot is about what a contingency is in a contract.  Basically, its a time period for you to do your investigations and get your loan fully approved before you are 100% committed to buying the home.  Usually you get 17 days to review material facts about the house such as seller disclosures and get a professional inspection on the house.  Then you have 21 days to make sure the loan is golden and you have final loan approval to close.  

One thing to point out is that contingencies are active, not passive, meaning that even if the date arrives, you have to physically sign off on the contingency, it just does not automatically remove itself.  So, if you need a little additional time to get things lined up, you can request the time from he seller.  He may not grant it, but if the date comes and you have not removed it, they can serve you a perform or quit notice and you will have a short period to get things in order.  

It is never a good idea to enter into a contract with the intention of "I can cancel whenever I want" so you really do need a good reason why you are canceling if its been a few weeks into the escrow.  Remember, even though you cancel per the contact at the end of a contingency period, both seller and buyer have to sign off that your deposit goes back to you so if the seller is irate that you kept it off the market for a few weeks for no reason to cancel, they may be hesitant to sign it and it may take time and mediation to get it back.

Feb. 11, 2020

Where to start when thinking of buying a home

When the time comes and you are thinking its time to stop renting and buy a home, you may be tempted to go online and look at all the homes that are listed for sale without knowing what your budget is.  Even worse, you contact a real estate agent and request a showing of some of these homes.  Although is can be fun, in the end it can be detrimental as you may be looking at homes that are not within your comfortable budget.  

The best place to start is contacting a lender so you can discuss the loan options available and what best fits your situation.  There are many programs such as FHA where you come in with 3 1/2% down and others where there is downpayment assistance so you don't have to come in with any downpayment.

Once you have a number in mind, then the search will me much nicer as you will be actually looking for homes that you can write on offer on should it be one that you love.  Also, be mindful of the payment the lender shows you and how much you are approved to buy for.  You may be approved for an amount that carries a large monthly payment so you will need to be realistic and choose a price range that puts your monthly payment in a comfortable place.  No one wants to move into a new home and not have any money to decorate, or even eat!  Macaroni and cheese can get old quick!! 

I have a great portfolio of lenders I can direct you to that can discuss all the newest loans and assist you in finding the right one with the right monthly payment.  Reach out anytime and I will set you up so you can get the process started.  

And of course, go ahead and look at some of the great homes online to keep you excited about the process and get out there and see them in person once you have the financing all set up.