Posts Tagged ‘homebuyer advice’

On November 13, 2013, the Consumer Financial Protection Bureau issued a rule regarding changes to current early disclosure and closing documentation used on mortgage loan transactions. Anyone in the real estate or mortgage industry should understand that new regulations called TRID (TILA/RESPA Integrated Disclosures) and how they will have an impact on the timing and notifications required throughout the closing process.

But what does TRID mean for you as a homebuyer? If you have previously bought or sold a home, you’ll see two main changes: forms and closing deadlines.

Forms. The Truth-in-Lending Statement and Good Faith Estimate will be replaced by a new Loan Estimate. The Final Truth-in-Lending Statement and HUD-1 documents will be replaced by the Closing Disclosure.

These forms have been changed to provide the buyer with a clearer picture of the costs involved with mortgage financing, and to give the buyer more time to review and accept these terms. These changes originate from the CFPB (Consumer Financial Protection Bureau) as part of the Dodd-Frank Act. The standard real estate contacts are changing as well to reflect the dates and timing of obtaining a loan.

What is most important is the impact on the time it may take to schedule a closing under these new rules. Buyers must receive and acknowledge their Closing Disclosure at least 3 business days prior to the closing. This will require more coordination and communication between agents, closing attorneys and lenders to ensure this takes place. It is very important to make sure you are working with an informed team of agents, closing attorneys and lenders in order for the process to go as smoothly as possible.

Keep these three primary areas in mind while preparing yourself for the home buying process if you are planning on getting a mortgage:

1. The old forms are out.

The homebuyer will be receiving new disclosure forms from lenders explaining the loan estimate and loan closing. The Loan Estimate form combines the Good Faith Estimate (GFE) and the Truth in Lending Disclosure into a shorter form that should be easier to understand and explains the mortgage loan’s key features, costs and risks at the beginning of the mortgage process.

Under TRID, a lender cannot impose any fee, except a reasonable fee for obtaining a consumer’s credit report, on a consumer until the consumer has received the loan estimate and has indicated intent to proceed. This should make it easier for a consumer to shop for and understand interest rates, but it might take lenders longer to preapprove someone because they are going to be extra careful when collecting and reviewing borrower information.

The Closing Disclosure form combines the final Truth-In-Lending statement and the HUD-1 settlement statement into a shorter form that should be easier for the consumer to understand and provides a detailed account of the entire real estate transaction, including terms of the loan, fees and closing costs.

This disclosure might transform the closing table from a nightmare experience with piles of documents to review for the first time into a more manageable, slightly bad dream of reviewing the information ahead of time.

With more information provided by the lender before the closing date, the various roles held by the lender and title company at the closing table might change. Stay tuned.

2. The disclosures must be provided within a specific time frame — or else.

 Lenders must provide the Loan Estimate form to consumers within three business days of applying for a loan – which means three business days after the consumer provided the lender with their name, income, Social Security number, property address, property value estimate and mortgage loan amount sought.

The Closing Disclosure form must be provided at least three business days before loan consummation (the time the consumer becomes contractually obligated to the mortgage, which is usually at closing).

Any significant changes to the loan terms (the annual percentage rate (APR) becomes inaccurate, the loan product changes or a prepayment penalty is added) will restart a new three-business-day waiting period. Both the Loan Estimate and Closing Disclosure forms can be delivered in person, by mail or electronic delivery.

3. The closing process will be impacted this in the months to come.

 The TRID rules apply only to loan applications received after Oct. 3. Lenders will be extra careful and hesitant after this date, while providing mortgages so as not to be out of compliance with the new rules. This will most likely translate to longer timelines to get a mortgage and will delay closing dates.

This, in turn, will impact the tight timelines around moving into a home while consumers are also coordinating assets, move-in dates, time off of work and so on.

Plan for extra time to close while everyone tests out the new system and becomes familiar with new regulations and how to work together and train staff. If you are a Buyer, look for agents, attorneys and lenders that are using electronic disclosures and e-signatures. This will dramatically shorten the loan process by almost two weeks as compared with those that are relying on the US Mail.

Many common real estate practices that you have experienced in the past will be more difficult or even impossible after October 3. Critical issues like dates per the sale agreement and how changes to the deal will impact timing may cause delays because of the three-day rule and the requirement that lenders now prepare the CD. The need for Title companies and real estate agents to submit information much earlier in the process will definitely add more hurdles to jump over to close a transaction.

In my opinion, CASH transactions, will carry a much higher level of negotiation leverage for the next several months until this process becomes the norm.

Filed under: Blog, boomerrang homebuyer, Down Sizing, Exclusive Buyer Agent, First Time Homebuyers, Florida Real Estate, Home Buyer Advice, Home Buyers, Home Financing, Homebuyer Advice, House Closings, Mortgage Information, Real Estate, Real Estate Closings, Relocation, western north carolina real estate by Kim Bregman
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For most people, buying a home is the largest and most significant purchase they’ll ever make. Hiring a real estate attorney early in the process will protect you against the unexpected, and ensure a smooth and low-stress closing. Every state and sometimes regions within states have differing requirements. Some states leave that as an option open to the buyer and seller while others mandate it as a necessity. Your local real estate agent should be able to advise you what the protocol is in the area in which you are buying.

A real estate lawyer will protect your rights and interests in the transaction…unless you are using an Exclusive Buyer Agent; they are the only party truly “on your side”. Hiring a real estate attorney is a smart choice.  A real estate attorney takes over after the selling price contract terms have established and all parties have signed.  They will review the contract itself, negotiate repairs based on the home inspection report, and collaborate with the title company.

A real estate lawyer has the experience and training to handle the unique issues regarding real property, and the problems most people can’t anticipate. They see a lot of contracts and know the local customs, and can help cut through roadblocks. In most states a real estate agents cannot draft changes to the contract or give legal advice and very few transactions fit into a “boilerplate” contract. In addition, most Realtor form contracts are drafted to the benefit of the Seller; an attorney will add language to further protect a buyer’s interests.

Your lawyer will review the purchase agreement during the contract review period and will check the fine print of the Conditions, Covenants and Restrictions (CC&Rs) in common interest developments like condominiums, coops, country club communities, developments, and townhome projects.

Your attorney works with your mortgage loan officer, the other party’s attorney and agents to make sure that dates are set for attorney approval, home inspection, title search, mortgage commitment and other contingencies are reasonable and achievable.

Your attorney will also review important documents, including legal descriptions, mortgage loan documents, the property survey, and the title and title insurance policy, and deed.

The attorney will inspect important documents for common mistakes such as typos and misspelled names, including the legal description of the home.

The bill of sale may be another important part of the transaction that categorizes and inventories any personal property, such as appliances or furnishings, that are to be included as part of the deal.

They are also extremely helpful in negotiating for unpaid prorated expenses due to you from the seller, such as: property taxes, condominium assessments, and utilities

In most states, attorneys can change legal language in a purchase contract and void a purchase contract under state laws. You might need this in case an inspection comes back with serious red flags such as mold, plumbing, or foundation issues.

Your attorney attends the closing, to ensure the process moves along efficiently and effectively. In the case of problems/issues, the attorney will counsel and represent you.

Your attorney has no direct emotional involvement in the transaction, and no conflict of interest. You’ll appreciate a levelheaded counselor by your side if the situation becomes difficult.

You’ll receive something of great value: peace of mind!

Filed under: Blog, Exclusive Buyer Agent, First Time Homebuyers, Florida Real Estate, Home Buyer Advice, Home Buyers, Home Financing, Homebuyer Advice, House Closings, Real Estate, Real Estate Closings by Kim Bregman
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If you are in your 20s and 30s and have ever even considered buying a home, you are positioned to take advantage of record low interest rates. Even if you have just graduated with student loan debt, have not saved the traditional 20% down payment, and worry that there are no homes available to purchase for people in your situation, you may be wrong.

Today mortgage brokers, bankers and direct lenders are lending more than ever. Loan options such as those from the FHA (Federal Housing Authority) enable qualifying first-time buyers to purchase with as little as 5 percent down. If you are credit-worthy and responsible with money, you can take advantage of the record low interest rates and loan options that exist today.

Keep in mind that in some markets, renting is as expensive as buying. If you do your homework, you may understand that a home purchase is within your reach.

Seek help from a professional:

With today’s easy access to online listings, most people old and young believe you don’t need a real estate agent. People assume that the role of the agent, pre-Internet, was primarily providing access to the “keys.” In reality, agents have always played a much larger role, one that many people don’t realize until they’ve gone through a transaction.

Choosing the right real estate agent is one of many tips for first time homebuyers you can see in this comprehensive article. Take the time to make a list of questions and then interview at least 3 different real estate agents before you decide on which one you want to work with. In the end this is your money and you can spend it however you want. There is no reason to settle for less than the best, even if you are a first-time home buyer.

Agents know the market like no one else because they’ve been inside hundreds of homes, have relationships with many of the agents, and have done many deals. They know exactly what to do when a red flag arises. Additionally, the home purchase is both personal and emotional. Through the years, buyers have acknowledged how they have let their emotions get the best of them. An agent will look at the property and the numbers objectively and advise you accordingly.

Most buyers have limited experience and understanding the the buying process, when you are purchasing your first home you need to recognize your inexperience and get advice and knowledge from a variety of sources. An agent has potentially successfully closed hundreds of deal. There are few people that can advise you with such authority and knowledge. To get the kind of results you really want, you are going to need to hire a great Exclusive Buyers Agent. It is important to choose someone who has a strong grasp of the local neighborhood, school systems, and demographics in the area you are looking in. Exclusive Buyer Agents have a fiduciary responsibility to the homebuyer. They have years and sometimes decades of experience in this industry. This means they have a firm grasp on what to do and what not to do when it comes to buying a house. They will also know what options are the best fit for your situation and they will have a network they can tap to find you the home you need.

While you will have the final word, most of the information you get about the process will come from the Realtor. This is why it is so important to pick one you can trust. Informed homebuyers interview several different agents before they choose which will represent them. This only makes sense. The agent is working for you and should meet your criteria. Whichever way you go, make sure you ask tough questions to verify that this person can do what you need done. The most important question you MUST ask is what their AGENCY RELATIONSHIP is. If they list properties they are not Exclusive Buyer Agents and have an inherent conflict of interest when representing you as the buyer. Also ask, has he or she worked with other first-time buyers? Does the agent have several recent references that you can contact? To understand the advantages of exclusive buyer agency and to find an EBA in your area visit the National Association of Exclusive Buyer Agents at www.NAEBA.com

Consult Others:

Seek out family and friends that care about you for advice about buying a home. Whether these are your parents, grandparents, friends or even mentors you worked with in school or at the job, you can benefit from their experience. They may have already bought a home, or several, and they will have experience to draw on and advice on where they went wrong and what they did right. There is a steep learning curve to buying your first house; you will need all of the help you can get to get good results.

Anyone who has owned a home for an extended period of time can attest to some of the great tax perks. Whether it is deducting your mortgage interest, building equity with each mortgage payment, or not getting taxed on capital gains profit, owning a home almost always wins financially over renting.

Identify desirable locations and neighborhoods:

First time home buyers do not always have a strong grasp on just how much location and neighborhood affects property value but the ease in which you can sell your property years down the road when you are ready to do so. There are not many factors that can influence the value of a home more than the location. There is usually a reason why you can get a lot more home for your money than elsewhere. You need to understand the pros and cons of location including, but not limited to, schools, road noise, commute time to work, neighborhood desirability, crime rate and more.

Understand immediate and long-term costs:

When purchasing a homebuyers should have a strong grasp on all the costs that come with buying a home. There are many fees that can add up quickly from applying for a mortgage, getting mortgage insurance, home inspection costs, hiring an attorney for contract review, title insurance, and a myriad of other optional expenses. You should know each and every one of these costs and see if they apply to your home buying situation.

These are just some of the costs and fees before you actually take ownership of your property. There are also expenses associated with owning a home besides paying the mortgage. Many buyers do not budget properly all the long term expenditures they will be taking on and end up struggling for a while due to a lack of proper planning. Comparing homes and prices is what your EBA can assist with. The purchase price is just one of the expenses, how much deferred maintenance does the property exhibit, what are the ages of the appliances and roof and will they need to be replaced soon, how much redecorating is required to make the home yours. These are all cash expenditures that you will incur after closing. You should weigh these costs against paying more for a newer or more renovated property that you can finance with a mortgage.

Decide on what type of housing makes the most sense:

One of the decisions you will likely face as potential property owner is deciding between whether a condo, townhouse or a home is a better buying decision based on your current life circumstances and housing needs. Do you travel a lot and don’t have time for property maintenance? Do you have kids and pets that need a yard? Are you likely to want a garden? Are you interested in some perks like a pool or a gym you can’t quite afford on your own?

These are the types of questions you should be asking yourself when trying to decide if a home or condo makes more sense to purchase. This is something that should be given careful consideration.

Take your time:

Buying a home is not like buying a new smart phone, computer or flat-screen TV. It’s not only a lot more expensive, it’s much more personal and emotional and not something to take lightly.

Even though the flow of information is quick today with texting, email and the Internet, a home purchase takes lots and lots of time, research and due diligence. It should never be rushed, ever. The home purchase evolves over time. Don’t feel compelled to rush into it or leap to a decision on a home. Don’t feel pressured by a “hot” market or competitive bidders. Slowly learn the market, do your research online and look at different styles of homes and neighborhoods. Over time, you’ll get more comfortable with the market, and with luck, you’ll get pre-approved for a loan. You may make an offer or two or three or four before you find the best home at the best price. Let the process work itself out over time. You’ll avoid buyer’s remorse.

Don’t be overwhelmed by data:

When your parents bought a home, there was probably little to no data available to them. They worked with a real estate agent who showed them homes, but they didn’t have access to so much historic data or access to the technology and information we have today.

Even so, access to all this information isn’t always a positive or accurate. Statistical comparisons of sales do not take into consideration location, finishes in the home, size of lot, and upgrades. Your Realtor should do a comprehensive market analysis that does a true assessment of the prospective home’s market value. Sometimes, conflicting or less than comprehensive information can stall a buyer. If you have a down payment saved up, can afford the monthly payment and plan to commit to the home for at least 5-7 years, then go for it.

Chances are, if any of the above doesn’t add up, you may not quite ready to buy — which means you might be better off renting for the time being.

When you have never done something before it is easy to make both financial and emotional mistakes. Fall back on the guidance of others, especially your real estate agent if they have years of experience assisting homebuyers. It is timeless advice that will guide you through the home buying process without a hitch. Best of luck!

Filed under: Blog, Exclusive Buyer Agent, First Time Homebuyers, Home Buyer Advice, Home Buyers, Homebuyer Advice, Real Estate, Relocation by Kim Bregman
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Adjustable rate mortgages are loans with variable interest rates that change according to the market rates, as opposed to fixed rate mortgages, which guarantee a set rate for the entire period of the loan. ARMs may seem like a great idea some years, but in other years, you may wonder what you were thinking when you agreed to the loan.

Many financial experts advise home buyers to seek fixed rate mortgages. The set interest amount makes it easier to calculate monthly payments with no surprises. An adjustable rate mortgage can leave you with unpleasant surprises if the interest rates suddenly soar.

There are some pluses as well as minuses to adjustable rate mortgages. As with any financial decision, learn all you can about the topic and weigh the pros and cons carefully before choosing a loan type.

On the Plus Side…

ARMs may be good for buyers who plan to sell in a few years. If you know your job requires you to move every five years, an ARM may be worth the risk of interest rates rising, depending on the current rate.
Paying off your loan in a short time period may make an ARM better for some homeowners. For those who know they can repay the entire mortgage amount quickly but just need a short-term loan, ARMs may actually save them money.
Some ARMs offer a combination of adjustable and fixed rates. These may offer the best of both worlds, depending on market rates. For example, a mortgage may be fixed for five years, and then adjust annually.
On the Minus Side …

Interest rates may be low now, but that only means they’ll rise later. When interest rates rise, your interest rate rises too. Your monthly payments will increase. This may be a hardship for some people.
Adjustable rate mortgages may be saddled with a prepayment penalty. This means that if you suddenly come into a windfall and wish to pay your entire mortgage loan, you may actually be penalized for paying it off early.
ARMs can be difficult to understand. There are many variables, and you have to carefully read all the fine print to understand the nuances of a particular ARM. Fixed rate mortgages are a lot easier to understand: borrow this, pay that; it never changes.
Adjustable rate mortgages come in and out of fashion, but the truth is that you shouldn’t take out such a loan unless you understand the worst-case scenario and how it may impact your financial health. While they are not for everyone,

ARMs do offer some advantages, and those who can take advantage of these opportunities may find them useful. Talk to your lender about all the ramifications of an adjustable rate mortgage compared with a fixed rate mortgage.

Filed under: Blog, Exclusive Buyer Agent, First Time Homebuyers, Florida Real Estate, Home Buyer Advice, Home Buyers, Home Financing, Mortgage Information, Real Estate, Relocation, Uncategorized by Kim Bregman
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Your home is more than an investment and a place to live-it also can be a valuable source of tax deductions. For many homeowners, one of the biggest itemized deductions on Form 1040

is the one for qualified residence interest (commonly called the “mortgage interest deduction”). In the usual situation, you can write off all, or almost all, of the mortgage interest you’ve paid for the year.

Under current law, you may claim deductions for three basic types of mortgage interest, up to certain limits:

Acquisition Debt: This involves mortgage proceeds you use to buy, build, or substantially renovate a home. The loan must be secured by a qualified residence (either your principal residence or a second home such as a vacation home). Interest on such debt is deductible on amounts of up to $1 million. Acquisition debt often amounts to the lion’s share of your mortgage interest deduction.

Home Equity Debt: If it’s allowed by the laws of your state, you also may deduct the interest on home equity loans secured by a qualified residence, regardless of how you use the proceeds. But with home equity debt, deductions are limited to interest paid on loans of up to $100,000. In addition, the loan amount can‘t exceed your equity in the home.

Points:  Although points really aren’t mortgage interest, the tax law essentially treats them as if they were. These are the charges a lender may impose when you obtain a mortgage. (One point equals 1% of the amount you borrow.) You can deduct any points you paid for acquisition debt, but you’ll need to deduct charges for refinancing over the term of the loan. For instance, if you refinance a $200,000 mortgage with a 10-year loan and pay two points – or $4,000 – you may deduct $400 in points ($4,000 divided by 10) annually for 10 years.

Filed under: Blog, Exclusive Buyer Agent, First Time Homebuyers, Home Buyer Advice, Home Buyers, House Closings, Kim Around the Web, Mortgage Information, Real Estate by Kim Bregman
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Buying a fixer upper  home comes with some unique advantages. For one, the price point for a fixer upper home  will be lower than a comparable home that is in excellent shape. By paying less for a fixer upper home, you can have more of an opportunity to customize and tailor it to fit your unique taste and personality. Indeed, many fixer upper homes are great investments for people willing to put in the time and effort to transform a house into a home. On the flip side, some fixer upper homes might turn out to be more of a cash pit than a profitable purchase. Before you start your search for a fixer upper property, here are a few questions to ask to ensure that you will get the right fixer upper home for your budget, abilities, and future goals.

Has a professional home inspector done a report on the house? 

It is essential that you use an Exclusive Buyer Agent that is working for you and not for themselves or the Sellers. They will be able to identify issues with the area and have resources for buyer oriented inspectors who will give a hard look at the property.

You should be prepared to pay for several inspections and secure cost estimates before you make a final decision on purchasing a fixer upper home.

Some problems in a fixer upper homes are obvious, while others might be hidden beneath the floorboards, walls, or surfaces. Having a professional home inspector check out the house before you buy will give you a realistic idea of what kind of condition the home is in and what repairs it needs.

How many repairs can you do on your own?

Minor aesthetic repairs, such as removing popcorn ceilings, painting the walls, or adding a backsplash to the kitchen can often be done on your own. Expensive repair bills come when there is damage to the structural integrity of the home. These types of repairs will likely require outside help to fix. For example, if the foundation of the home is warped or severely cracked, or if there is extensive termite damage, or the roof of the house needs to be replaced, you must hire an outside contractor. Without pricing these major repairs before buying the home, you could have a higher repair bill than you anticipate.

How much will each repair cost? 

Once you have your list of repairs, it’s time to dig in and start researching the price of each item to fix. For aesthetic repairs, visit your local home improvement store and speak with a sales associate about how much the supplies will cost. For any repair that requires an outside contractor, request bids from local shops. You want to get a realistic idea of what your home repairs will cost to make sure that you will not go over your budget.

Add 20% to your budget for all the unexpected costs that will come with any renovation project.

What expenses am I not considering?

You should take into consideration whether you will be planning to live on or off premises. It’s more economical to live on premises, but for those homes undergoing extensive remodels, this may be unpleasant or not even an option. But, if you do choose to live on the premises you will have to be prepared to live with dust – a lot of dust. Your home will be a construction zone for well up to a year or beyond.

If you plan on doing extensive renovations, then living in the home is not an option. You need to consider the costs of storing your belonging, cost of alternative housing, carrying the property while under renovation, etc.

How much value can you add to the home?

Ultimately, the goal of buying a fixer upper is to create a cozy place to live and to ensure that you will make a financially sound investment. If you find a fixer upper that you are interested in, talk to a reliable real estate agent or home appraiser about each major repair you’re planning to make so you can get a reasonable estimate of how much value you can actually add to the home. You can also take a look at other homes in the area that do not need repair to see what they’re selling for.

Fixer upper homes require you to do your due diligence before signing on the dotted line, and revamping a home can be an exciting experience under the right circumstances. With these tips, you can start your search for a home

Filed under: Blog, Exclusive Buyer Agent, First Time Homebuyers, Home Buyer Advice, Home Buyers, Home Maintenance, Real Estate by Kim Bregman
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Buying a house is a difficult process — there are large sums of money involved, the transaction costs and hassle of moving mean that you can’t just buy another house if you don’t like the one you end up with. The best you can do is to educate yourself in all aspects of the house hunt, keep a clear head, and buy a house that best fits your criteria.

There are plenty of articles full of useful tips for first-time homebuyers. I am not going to repeat them. Instead, I will list the lessons I have learned over the past 30 years of working exclusively with buyers that are not often covered.

Think long-term and think re-sale: Are you planning to have kids? Will you be taking care of elderly relatives? You might be planning to live in your first home for only a few years or plan on using it as an income producing property. In that case, who is your target audience when it comes time to sell or rent the house? If you buy a house in a very bad school district or a house with all the bedrooms upstairs when you are ready to sell the house, you will be narrowing the field of potential buyers.

Make a list of items to check when looking at properties: Home-buying is an emotional process. Ideally, you should set aside all your emotions when evaluating a house. Practically, that is impossible. Instead, make a checklist of your must-haves, nice-to-haves or absolutely nots. Then print copies of this checklist or keep it on your tablet. Every time you visit a house, take the checklist along with you; take photographs so you can cross each item off your list. If you fall in love with the house aesthetics but find your checklist shows that the house has none of your must-haves, it will at least make you pause and think.

All the old advice about buying your first home is true. Some examples — have an emergency fund, save for a down payment of 20 percent and closing costs, get your credit into a better shape, and don’t buy more than you can afford.  When budgeting for the house, don’t stop with principal, interest, taxes and insurance; add in utilities, cost of commuting and upgrades and replacement costs for aging roof or appliances. Ask the seller for copies of the utility bills and inquire of the utility companies about budget plans. Will the gas budget for your car go up if you are moving further away from the places you frequently visit? Budget all of these expenses and see if you can still afford the house.

Get Pre-approved:  Why would you want to waste time looking at houses you can’t afford?  Doing the pre-approval process ahead of time is vital. If there is something negative on your credit report, it’s best to find it early in the process, so you have time to correct it.

Ask for the homeowners and condo association documents before you make a decision: If your long- range plan is to rent out the house once you move, then you better insure that there are no rental restrictions that would preclude you from your desired goal. Thoroughly understand the Covenants and Restrictions of any area you are purchasing to ensure that they are in keeping with your lifestyle.

Be sure to read your contract before you sign it: A house is probably the largest purchase you will ever make in your life, so make sure you understand the terms of your contract. If you don’t understand any of the terms, ask your mortgage broker and your real estate agent. Either should be fully knowledgeable to address your contractual questions. I strongly advise that you retain an attorney to handle your closing, review title and loan documents, note title objections, and hold your deposit monies.

Learn about the neighborhood demographics: Do you have kids and are looking at homes without young families?  Are the majority of the residents renters and not homeowners? Define the type of neighborhood you want to live and make this one of your top priorities on your checklist.

Look beyond the staging: The psychology of staging does work; staged houses look far better than houses that are still being occupied. When you are considering a house, mentally try to remove the staging. Pay more attention to the layout of the house and the structure itself. Ugly wallpaper and paint can be easily fixed later.  Does your furniture fit the scale of the room?  Does the house have a functional kitchen?

Indecision:  Ever heard of the saying “Curiosity killed the cat”? Well, here’s another one, “Indecision killed the deal.” Not moving on a house fast enough and taking too much time to make a decision on buying the house is common as well. This indecision gives someone else the opportunity to scoop ups that home before you have a chance to make an offer.  A multiple offer situation is good for the seller, but not so much for the buyer. In this competitive real estate market with low inventory and high buyer turnout, you need to move quickly in order to get the house that you want.

Only checking online sources for mortgage rates and available homebuyer programs?  As much as everyone loves to do everything from their computer or smartphone today, this is one thing that should be done in person or with a phone call. It is always best to call a local mortgage lender and sit down in person with them to talk about the most current rates and programs available. Many of the lenders that you find online are not local and only have teaser rates on their websites. If you choose a mortgage lender that doesn’t have a local presence, a lot can change once they get the paperwork in front of them at the closing table. Insist of using an appraiser that is knowledgeable and does most of their work in area of the property.

Learn as much as you can about real estate, your budget, and your local housing market, but realize that buying a house is all about compromise, and a lot of doubt! No house is PERFECT but if you keep at it the odds are very good that you will find a house that suits your needs and will be a wonderful home for you and your family or your investment goals.

Filed under: Blog, Exclusive Buyer Agent, First Time Homebuyers, Home Buyer Advice, Home Buyers, Real Estate, Relocation by Kim Bregman
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