Let's Talk Real Estate

Think Like a Buyer

noreply@blogger.com (Cristina McBreairty) — Sun, 19 Feb 2012 02:47:00 +0000

As you gather up your belongings and pack them away to prepare your home for potential buyers, try to picture your home through the eyes of a buyer. Consider which items should be left out for buyer appeal.

Often the wrong items are left on display -- things like family photos, personal keepsakes, and treasured belongings. All of these items should be safely packed away which very often creates open space (a plus for buyers) on shelves, refrigerator doors, and desktops.

Buyers often make a decision within just seconds of seeing your home about whether or not they want to buy it. So What do you see in about 10 seconds?

When you walk up do you see children’s toys scattered across the front lawn. Do you see overgrown shrubs and weeds? Do you see chipped paint on the front door, a screen that’s torn? Do you spot oil spills on the driveway?

Answering yes to just one or two of these questions can be damaging to the buyer's first impression of your home -- before the buyer has even entered your home. Sometimes, those seconds are all the buyers need to decide to simply do a "drive by" and not even stop to go inside.

Of course, the goal is to get the buyers inside -- to get them to spend time, feel like your home could be their home. Here are five tips that can make your home appealing to buyers:

Check all the screens and molding around your windows and doors. Even slightly torn screens send a careless message to buyers. It gives an unconscious uneasiness that there has been a lack of care for the home.

Add artwork to long hallways. You don’t have to buy artwork that costs thousands of dollars but, if your home has long hall ways, it’s nice to break up the monotony with some tasteful artwork. Use contrasting shades and hues to coordinate with the flooring.

Make the kitchen a focal point. Whether they cook or not, the kitchen is of primary interest to many buyers. Winning over buyers with an appealing kitchen can often convince them that they must have the home. Make sure your appliances are clean, sparkling, and working. Return on investment in the kitchen is usually high and worth every penny.

Put the "ah" in the bedroom. The bedroom needs to look like a bedroom. Many people use their bedroom for other things such as an office or storage. Boxes or newspapers are scattered or stacked in a corner. There’s no "ah" or sense of relaxation with that kind of room. So even if that’s how you’ve been living, understand that’s not how you should show a home.

Clear out the clutter. Remove excess furniture. It doesn’t matter if you use it. You can walk to another room to get what you need if it means you sell the home faster because it now looks more inviting and spacious.

Making your home more appealing is about seeing your home through the eyes of your potential buyers. When it comes time to consider an offer, you’ll be glad you did.

For more helpful tips for sellers, visit my website or click here.

MaineHousing Rate Decrease

noreply@blogger.com (Cristina McBreairty) — Fri, 17 Feb 2012 20:31:00 +0000

A lower cost funding source has allowed a reduction in interest rates for MaineHousing. The interest rate decrease is effective immediately.

MaineHousing offers programs and services that make housing more affordable to Maine people. For more information on a mortgage visit the MaineHousing website or click here.

For more more real estate news, visit my website at CristinaTheREALTOR.com.

Maine Open House Weekend

noreply@blogger.com (Cristina McBreairty) — Thu, 02 Jun 2011 15:30:00 +0000

Maine Open House Weekend is scheduled for Saturday and Sunday, June 4 and 5, 2011, in line with the Nationwide REALTOR® Open House Weekend across the country to help showcase and promote the great housing inventory on the market available for Buyers.

To add an additional boost to the event, the Maine Association of REALTORS is promoting the event statewide across multiple media and social media outlets, and offering everyone who attends a Maine Open House over the weekend to enter into a drawing for a Theme Park Adventure, including 2 one-day passes to your choice of amusement parks, plus 3 days/2 nights hotel accommodations for 2 at the Hilton, Marriott or Hyatt Regency, as well as a Lowe's $500 gift card.

Individuals over the age of 18 can enter to win at participating open houses across the State of Maine on June 4 and/or June 5 and enter to win with the agent hosting the open house. In order to be entered for a chance to win, participants will need to provide the real estate agent with their name and contact information, and a prize winner will be chosen randomly on Wednesday, June 8, 2011. (MAR will not use or share your contact information.) There is no purchase necessary to win. Multiple entries are allowed, and you are certainly encouraged to visit as many open houses as you can.

To find all of the participating open house locations, visit the www.MaineListings.com/openhouse. Maine Open House Weekend will also be advertised in the Portland Press Herald, Maine Sunday Telegram, Kennebec Journal, and Morning Sentinel.

Maine VA Loans

noreply@blogger.com (Cristina McBreairty) — Sat, 30 Apr 2011 13:48:00 +0000

Service members and veterans moving to southern Maine to settle down or relocate have the privilege of financing a home through the VA Home Loan program. VA loans in Maine combine a handful of benefits that make buying a home less financially burdensome for military members. Even active-duty personnel can use a Maine VA loan, especially if they are looking for property near the, soon to close Brunswick Naval Air Station located northeast of Portland.

There is a general consensus among VA loan borrowers about the program's best benefit: the next-to-nothing down payments. Maine VA loans come with zero percent down to qualified borrowers. Almost all service members and veterans who receive a VA loan have the option to pay nothing down, while the rest of the borrowers pay less than 5 percent down.

Despite this one amazing perk, it's easier to qualify for a VA loan than a conventional loan. Of those who qualified for a VA loan, about 80 percent would not qualify for a traditional one. Even after the credit crunch, service members and veterans with imperfect credit can still get a VA loan in Maine. VA-certified lenders, such as VA Mortgage Center, most often lend to borrowers with scores of at least 620. They also accept debt-to-income ratios as high as 41 percent. A former bankruptcy or foreclosure does not mean a borrower will be denied a VA loan.

In addition to the down payment benefit, Maine VA loans come with a bunch more. Two advantages that save money in the long run are the lower interest rates and elimination of private mortgage insurance (PMI). Lower interest rates are the result of the VA's guarantee on up to one-quarter of each loan's amount. Lenders take on less risk and therefore shave off a few points. With lower rates and no PMI, monthly payments on VA loans shrink.

No prepayment penalty enables borrowers to pay at their own rate without fear of being charged for doing so. The program also comes with assistance to borrowers who are on the verge of default. One refinancing option, the VA Streamline, lets borrowers refinance their loan to lower their interest rate.

Not every service member or veteran is eligible for a Maine VA loan, but those who may be eligible include:

Military members who served on active duty for 90 days or 181 days during wartime or peacetime, respectively.

Reservists or members of the National Guard who served for at least six years.

Spouses of service members who died in the line of duty or because of a service-related injury.

The first step in attaining a Maine VA loan is completing a Certificate of Eligibility (COE). Contact a VA-certified lender today to get your COE and more info on VA loans in Maine.

For more mortgage and finance information, visit my website's mortgage center.

A Big Incentive to Buy Before October 1st!!!

noreply@blogger.com (Cristina McBreairty) — Tue, 22 Mar 2011 16:03:00 +0000

100% financing is still available through Rural Development. Many of my buyers are finding this program hard to pass up:

No Down Payment
No Monthly PMI (until Oct 1st – so don’t delay!)
Allows Closing Costs to be rolled into the loan
Unlimited Seller Concessions (great opportunity for a "buy down" & lower monthly payments)
30yr Fixed Rates ranging from 5.0 to 5.25% over the last 6 months
No Re-capture Period or Pre-payment Penalty – Ever!
Credit Scores all the way down to 640

However, beginning October 1, 2011, all RD purchase loans transactions will be charged an annual fee of 0.3 percent of the unpaid principal balance (monthly PMI). On a $200K home, this is $50/month or $600/yr.

These changes will not be effective until October 1, 2011. So there is plenty of time between now & October for buyers to still avoid this additional cost.

Click here for more real estate news and advice.

For more mortgage and finance information, visit my website's mortgage center.

FHA Minimum Credit Score Lowered!

noreply@blogger.com (Cristina McBreairty) — Fri, 11 Mar 2011 16:45:00 +0000

Qualifying for a FHA loan just got easier!

Most lenders have required a 640 minimum FICO score for FHA purchases and refinance transactions. Effective TODAY, the minimum credit score for FHA Fixed Rate loans has been lowered to 620.

Another good reason for buyers to get off the fence!!!

Click here for more real estate news and advice.

For more mortgage and finance information, visit my website's mortgage center.

Mortgage Assistance Relief (MARS) Protects Consumers

noreply@blogger.com (Cristina McBreairty) — Sat, 26 Feb 2011 13:37:00 +0000

The Federal Trade Commission's new Mortgage Assistance Relief Services (MARS) Ruling is designed to protect consumers from unfair and deceptive practices associated with mortgage relief companies.

The MARS new ruling:

• Makes it illegal to collect upfront fees

• Requires specific disclosures in all communications and advertisements for

mortgage assistance relief services, and

• Requires specific record keeping for two years from the date of document

creation.

Penalties for Non-Compliance

According to FTC attorneys, penalties for noncompliance include:

• Civil penalties of $16,000 per occurrence

• Injunctive relief

• Disgorgement of unlawful gain

• Ban on participation

To avoid penalties that could land you in hot water with the FTC, you should become familiar with and begin applying these changes immediately!

Understanding the Foreclosure Freeze

noreply@blogger.com (Cristina McBreairty) — Thu, 14 Oct 2010 20:35:00 +0000

In September and early October 2010, several lenders suspended foreclosures due to questions about whether the transactions were being processed consistent with applicable state law requirements.

Although nearly all of the foreclosures in question are expected to be fixed eventually, the current situation is creating difficulties and a new hurdle to the recovery of the housing and mortgage markets. Additionally, homes on the market without clear title will make sales much more difficult. It is expected that foreclosures in question are likely to be withdrawn from the market.

The foreclosure problem isn't about whether some home owners had their homes wrongly foreclosed upon (there's been no evidence of that to date) but to what extent banks were taking short cuts on foreclosure procedures in states requiring judicial foreclosures.

It is difficult to say what percentage of foreclosures that were improperly processed were. The assumption is that, for most of them, this may be only a technicality and the property ultimately would have been repossessed. Owners who believe their home was wrongly foreclosed may wish to contact an attorney to investigate the possibility of a property claim. However, that could prove costly and time consuming-regulations vary by state.

Any family who loses a home to foreclosure is one family too many. Anyone facing foreclosure should be sure to consider all the options available. In many cases, it may make more sense for a bank to modify a loan or agree to short sale to expedite disposal of inventory.

Visit my website for more real estate news and advice or foreclosure information.

10 Low-Cost Tips to Make Your Home More Appealing to Buyers

noreply@blogger.com (Cristina McBreairty) — Sun, 03 Oct 2010 23:09:00 +0000

When selling your home, the goal is to sell it quickly for the highest price while spending as little as possible on renovations. With a limited budget and a little effort, you can greatly increase your home's appeal by focusing on what prospective buyers can see on their first visit. The experts at BuyOwner.com offer the following recommendations for preparing a house for sale and staging it for showings.

Tip #1: Refresh the Exterior
First impressions count when it comes to selling a home. Most buyers won't even leave their car if they don't find the exterior appealing. The best ways to improve your home's exterior include:
-Repairing and/or replacing trims, shutters, gutters, shingles, mailboxes, window screens, walkways and the driveway.
-Painting siding, trim and shutters and lamp and mailbox posts.
-Pressure washing vinyl siding, roofs, walkways and the driveway.
-Washing windows.

Tip #2: Spruce Up the Lawn and Landscape
Home buyers associate the condition of your lawn and landscaping with the condition of your home's interior. By improving the outside, you affect buyers' impression of the entire property. The best ways to enhance the yard include:
-Mowing and edging the lawn.
-Seeding, fertilizing and weeding the lawn.
-Keeping up with regular lawn maintenance by frequent watering.
-Trimming and/or removing overgrown trees, shrubs and hedges.
-Weeding and mulching plant beds.
-Planting colorful seasonal flowers in existing plant beds.
-Removing trash, especially along fences and underneath hedges.
-Sweeping and weeding the street curb along your property.

Tip #3: Create an Inviting Entrance
The front door to your home should invite buyers to enter. The best ways to improve your entry include:
-Painting the front door in a glossy, cheerful color that complements the exterior.
-Cleaning, polishing and/or replacing the door knocker, locks and handles.
-Repairing and/or replacing the screen door, the doorbell, porch lights and house numbers.
-Placing a new welcome mat and a group of seasonal potted plants and flowers by the entry.

Tip #4: Reduce Clutter and Furniture
A buyer cannot envision living in your home without seeing it. A home filled with clutter or even too much furniture distracts buyers from seeing how they can utilize the space your home offers. If you have limited storage space, you may want to consider renting a temporary storage unit to place items you wish to keep. The best ways to declutter your home include:
-Holding a garage sale to prepare for your move, getting rid of unnecessary items.
-Removing clutter such as books, magazines, toys, tools, supplies and unused items from counter tops, open shelves, storage closets, the garage and basements.
-Storing out-of-season clothing and shoes out of sight to make bedroom closets seem roomier.
-Removing any visibly damaged furniture.
-Organizing bookshelves, closets, cabinets and pantries. Buyers will inspect everything.
-Putting away your personal photographs, unless they showcase the home. Let buyers see themselves in your home.
-De-personalize rooms as much as you can.

Tip #5: Clean, Clean, Clean
The cleanliness of your home also influences a buyer's perception of its condition. The appearance of the kitchen and bathrooms will play a considerable role in a buyer's decision process, so pay particular attention to these areas. The best ways to improve these areas include:
-Cleaning windows, fixtures, hardware, ceiling fans, vent covers and appliances.
-Cleaning carpets, area rugs and draperies.
-Cleaning inside the refrigerator, the stove and all cabinets.
-Removing stains from carpets, floors, counters, sinks, baths, tile, walls and grout.
-Eliminating house odors, especially if you have pets.
-Considering air fresheners or potpourri.

Tip #6: Make Minor Repairs
The small stuff does count, especially with first-time home buyers. Without dismissing the importance of repairing major items such as a leaky roof or plumbing, you do not need to spend money on replacing these items. Instead, focus on the minor repairs that will make your home visually appealing. The best ways to improve your home include:
-Repairing ceilings and wall cracks.
-Repairing faucets, banisters, handrails, cabinets, drawers, doors, floors and tile.
-Caulking and grouting tubs, showers, sinks and tile.
-Adding fresh paint to ceilings, walls, trim, doors and cabinets.
-Tightening door handles, drawer pulls, light switches and electrical plates.
-Lubricating door hinges and locks.

Tip #7: Showcase the Kitchen
The heart of any home is the kitchen. If you are going to spend any money on renovations, this is the one area where you will see the greatest return. Even with a modest budget, focusing on a few key areas can make a great difference in getting the asking price for your property. The best ways to showcase the kitchen include:
-Replacing cabinet doors and hardware.
-Installing under-cabinet lighting.
-Replacing light fixtures.
-Replacing outdated shelving with pantry and cabinet organizers to maximize space.
-Baking cookies or cupcakes for a showing, to create a homey smell.

Tip #8: Stage Furniture
Furniture placement can enhance the space of your home while giving buyers an idea of how to best utilize the space with their own belongings. Take some time to rethink how different areas in your house could be used. Some ideas to think about include:
-Moving couches and chairs away from walls in your sitting and family rooms to create cozy conversational groups.
-Creating a reading corner in the master bedroom.
-Clearing an empty room to set up a reading space.
-Turning an awkward space into a home office.
-Setting the dining room table with your best china.
-Set wine glasses in front of the fireplace or next to a Jacuzzi tub.

Tip #9: Light Up the House
Create a sense of openness and cheerfulness in your home through its lighting. To improve the lighting try:
-Opening shades and drapes to let the sunshine warm and brighten rooms.
-Installing brighter light bulbs in rooms that tend to be dark.
-Adding additional lamps for ambient lighting.
-Turning on all the lights for a showing.

Tip #10: Add Fresh Touches
You can easily add color and style to your home by adding fresh touches throughout. Some ideas to consider include:
-Placing fresh floral arrangements in the entry and master bedroom.
-Placing bowls of bright-colored fruit in the family room and the kitchen.
-Filling an empty corner with a potted leafy plant.
-Setting new hand soap in the bathrooms.
-Displaying fresh towels near sinks.

Click here for more helpful tips for sellers.

Tips to Getting Your Loan Modification Application Reviewed

noreply@blogger.com (Cristina McBreairty) — Sat, 25 Sep 2010 12:07:00 +0000

Many homeowners seeking a loan modification to lower their monthly mortgage payments and avoid foreclosure continue to find the application process a very complex process, often causing them to give up before their application is ever reviewed by their mortgage company.

Certified housing counselors for CredAbility, a national nonprofit credit counseling and education agency, speak daily with hundreds of homeowners seeking a loan modification or other solutions to keep their homes. The organization has several tips for people that will help them increase the chances that their application is reviewed as quickly as possible.

A homeowner needs to collect and send several documents that tell the mortgage company why you need a modification, and it needs to be done in a timely, organized manner. Once a homeowner has submitted these documents, they need to stay in regular contact with the company. With hundreds of thousands of applications under consideration, homeowners must take matters into their own hands to make sure their application gets to the right person at the company.

Here are CredAbility's recommendations for homeowners seeking a loan modification:

Speak With a Nonprofit Housing Counselor to Understand Investor Rules for Your Loan. Every homeowner's mortgage loan is different, so don't rely on information you may have heard from your neighbor or your sister-in-law, even if they received a loan modification. For example, if your 30-year, fixed interest rate loan is owned by one investor, and your neighbor's is owned by another investor, the rules governing a loan modification may be quite different. A certified counselor at a nonprofit credit counseling agency can help you find the investor who owns your mortgage and determine your options.

Submit All Documents That Prove Your Current Income. Income verification is critical, but homeowners sometimes don't provide their mortgage company with recent documents. If you lost a job in June, don't provide pay stubs from March. In addition to recent pay stubs and other traditional income sources, homeowners should also provide a document called a "contribution letter." This letter explains the source of any household income that is not easily verified. For example, a servicer will want to know the total household income of a married couple, even if only one person's name is on the loan. The letter could also include income verifying that you have a roommate that pays rent.

Submit Current Bank Statements. Recent bank statements allow your mortgage company to verify your income and expenses. This information enables the mortgage company to see your monthly expenses for food, utilities and other expenses and determine whether you will have enough money to make your mortgage payment.

Mail Your Documents to the Mortgage Company. Many people prefer to send all of their documents by fax or scan their documents and send them via email. However, postal mail is usually more reliable, especially if it's addressed to the person you spoke with at the mortgage company. Faxes often get lost.

Label Each Page With Your Name and Loan Number. One of the most common complaints among homeowners is that the mortgage company loses their documents. You can help your own cause by writing your name and loan number on each page of every document.

Fully Explain Any Recent or Unique Income Changes. For example, a bank deposit may show various one-time transactions, such as an asset sale, cash gifts from family members or a bonus. Unless you explain this one-time increase in income, the servicer may not understand it and use this information to deny your loan modification.

Include a Timeline in Your Hardship Letter. Every application for a loan modification must include a "hardship letter" that explains the reasons for your request. But the letter must have specific dates explaining when an income loss has occurred. If your spouse lost her job on July 15 and your family income will decrease by $3,000 beginning in August, your letter needs to provide these details.

Call Your Mortgage Company Every Week. Many homeowners work extremely hard to submit all of their paperwork to the servicer - and then wait for weeks before picking up the telephone to call them about the status of their application. This is a mistake for several reasons: the person handling your application may quit; the application may be transferred to another person; the company may need more information. You get the picture.

Click here for more real estate news and advice.

For more mortgage and finance information, visit my website's mortgage center.

12 Ways to Save Money on Homeowners Insurance

noreply@blogger.com (Cristina McBreairty) — Thu, 09 Sep 2010 19:14:00 +0000

SHOP AROUND
Friends, family, the phone book and Internet are some of the sources you can use to find homeowners insurers. Get a wide range of prices from several companies. But don't consider price alone. The insurer you select should offer both a fair price and excellent service. Quality service may cost a bit more, but you buy insurance in case you need to make a claim, so it's important to get a company with a good reputation. Talk to a number of insurers to get a feeling for the type of service they give. Ask them what they would do to lower your costs. Check the financial ratings of the companies with AM Best or Standard and Poor's.

RAISE YOUR DEDUCTIBLE
Deductibles are the amount of money you have to pay toward a loss before your insurance company starts to pay. Deductibles on homeowners policies typically start at $250. Increase your deductible to
$ 500 -- save up to 12 percent
$1,000 -- save up to 24 percent
$2,500 -- save up to 30 percent
$5,000 -- save up to 37 percent

BUY YOUR HOME AND AUTO POLICIES FROM THE SAME INSURER
Some companies that sell homeowners, auto and liability coverage will take 5 to 15 percent off your premium if you buy two or more policies from them.

WHEN YOU BUY A HOME...
Consider how much insuring it will cost. A new home's electrical, heating and plumbing systems and overall structure are likely to be in better shape than those of an older house. Insurers may offer you a discount of 8 to 15 percent if your house is new. Check the home's construction: In the East brick is better, because of its resistance to wind damage, and in the West frame is better, because of its resistance to earthquake damage. Choosing wisely could cut your premium by 5 to 15 percent. Avoiding areas that are prone to floods can save you about $400 a year for flood insurance. Homeowners insurance does not cover flood-related damage. The closer your house is to firefighters and their equipment, the lower your premium will be.

INSURE YOUR HOUSE, NOT THE LAND
The land under your house isn't at risk from theft, windstorm, fire and the other perils covered in your homeowners policy. So don't include its value in deciding how much homeowners insurance to buy. If you do, you'll pay a higher premium than you should.

IMPROVE YOUR HOME SECURITY AND SAFETY
You can usually get discounts of at least 5 percent for a smoke detector, burglar alarm, or dead-bolt locks. Some companies offer to cut your premium by as much as 15 or 20 percent if you install a sophisticated sprinkler system and a fire and burglar alarm that rings at the police station or other monitoring facility. These systems aren't cheap and not every system qualifies for the discount. Before you buy such a system, find out what kind your insurer recommends and how much the device would cost and how much you'd save on premiums.

STOP SMOKING
Smoking accounts for more than 23,000 residential fires a year. That's why some insurers offer to reduce premiums if all the residents in a house don't smoke.

SEEK OUT DISCOUNTS FOR SENIORS
Retired people stay at home more and spot fires sooner than working people and have more time for maintaining their homes. If you're at least 55 years old and retired, you may qualify for a discount of up to 10 percent at some companies.

SEE IF YOU CAN GET GROUP COVERAGE

Alumni and business associations often work out an insurance package with an insurance company, which includes a discount for association members. Ask your association's director if an insurer is offering a discount on homeowners insurance to you and your fellow graduates or colleagues.

STAY WITH AN INSURER

If you've kept your coverage with a company for several years, you may receive special consideration. Several insurers will reduce their premiums by 5 percent if you stay with them for 3 to 5 years; by 10 percent if you remain a policyholder for 6 years or more.

COMPARE THE LIMITS IN YOUR POLICY TO THE VALUE OF YOUR POSSESSIONS AT LEAST ONCE A YEAR
You want your policy to cover any major purchases or additions to your home. But you don't want to spend money for coverage you don't need.

LOOK FOR PRIVATE INSURANCE FIRST
If you live in a high-risk area, one that is especially vulnerable to coastal storms, fires, or crime, and have been buying your homeowners insurance through a government plan, you should check with an insurance agent or company representative. You may find that there are steps you can take that would allow you to buy insurance at a lower price in the private market.

Visit my website for more helpful Home Buyer Tips.

FHA Giving Buyers Until October 4th

noreply@blogger.com (Cristina McBreairty) — Wed, 01 Sep 2010 12:07:00 +0000

The Federal Housing Administration (FHA) is giving homeowners and buyers until October 4 to lock in a low monthly insurance premium. After October 4, the monthly insurance premiums on FHA loans will increase by over 63%.

What does this mean for home buyers?
A home buyer purchasing a $200,000 home using a $193,000 FHA mortgage before October 4 would pay an insurance premium of $88.46 per month. If the same home buyer waits until after October 4, the insurance premium would jump to $148.01.

Although the upfront mortgage insurance premium is going down after October 4, the long term impact to the home buyer is actually a net increase in their out of pocket costs because the monthly premium is going up by 63%. Sellers can pay the upfront premium or it can be financed into the loan amount, so homebuyers rarely pay the upfront premium out of pocket. On the other hand, the increase in the monthly premiums will be paid right out of the home buyer's pocket with their mortgage payment each month.

Home buyers in a home short term may actually benefit
Ironically, home buyers who plan to be in the mortgage for less than three years and decide to pay the upfront fee themselves (instead of having the seller pay it for them), may actually save money by waiting until after October 4 to apply for an FHA loan.

The upfront premium will be reduced to 1% from 2.25%. This change will impact over 30% of the home buyers in today's market who use FHA-insured financing.

For more current real estate news click here.

Fed Giving Borrowers Time to Change Their Minds

noreply@blogger.com (Cristina McBreairty) — Thu, 19 Aug 2010 00:29:00 +0000

The Federal Reserve released a proposal earlier this week to give mortgage applicants three days to change their minds.

The proposal was part of a 930-page document that clarifies and finalizes the new financial reform law.

The Fed's document says that for closed-end loans secured by real property or a dwelling, a creditor must:

"Refund any appraisal or other fees paid by the consumer (other than a credit report fee), if the consumer decides not to proceed with a closed-end mortgage transaction within three business days of receiving the early disclosures (fees imposed after this three-day period would not be refundable); and

"Disclose the right to a refund of fees to consumers before they apply for a closed-end mortgage loan."

The Fed says this proposal will make it easier and cheaper for consumers to comparison shop. It also acknowledged that borrowers who want to close a transaction in a hurry would be handicapped because most lenders will delay sending out an appraiser for a few days.

Other proposals affecting home buyers included:

A ban on yield-spread premiums, which encourage mortgage brokers to push buyers toward more profitable mortgages.

A requirement for lenders to tell borrowers when their mortgage is sold or transferred.

An explanation of the effects of balloon payments, adjustable loan payment fluctuations, and minimum payments on loan balances.

For more daily Real Estate News, visit my website.

5 Reasons Why Now is a Great Time to Buy

noreply@blogger.com (Cristina McBreairty) — Wed, 18 Aug 2010 11:09:00 +0000

The economy is stabilizing. Home prices are holding. It's not just as good a time as ever to buy a house. It's one of the best times ever.

ForSaleByOwner.com presents five overlooked reasons why now is a great time to buy a house.

1. Low mortgage rates serve as an equity shock absorber. When buyers borrow at today's record-low rates, they start building equity as soon as they close. That means they have a little give to absorb a few ups and downs as the still-recovering housing market gains traction.

2. Houses are in move-in condition. Homeowners have continued to spend on maintenance and repair, according to the Harvard Joint Center on Housing. Homeowners who have been holding back kept their houses in good shape while they waited. As those houses enter the market, they are in marked contrast to tattered foreclosures.

3. Terrific houses are coming on the market. Foreclosures are finally starting to clear the system - and this is just the opportunity that owners of many desirable properties have been waiting for.

4. Appraisal regulations are finally aligned with market realities. Fannie Mae has adjusted its appraisal guidelines...again. Now that appraisers have more flexibility to set values that reflect the current market, today's deals will make it over the finish line.

5. Plenty of programs. Homes are more affordable than they have been for years, but communities have stuck by "workforce housing" programs that encourage middle-class families to buy houses. Buyers who qualify can get a big boost by combining one of these programs with today's low mortgage rates.

Click here for more helpful Tips for Home Buyers.

Making Moving Easier

noreply@blogger.com (Cristina McBreairty) — Sat, 14 Aug 2010 02:07:00 +0000

Whether you're planning a move across town or across the country, making your move hassle-free is what it is all about. Besides the traditional garage sale and packing of boxes, there are a few details you won't want to forget before you begin loading the truck:

Plan Ahead

Experts recommend scheduling moves at least one month in advance, especially during the peak-moving season between May and September. Some estimates indicate 80 percent of all moving and storage business is done when schools are out. That's when employees are most likely to be transferred.

Ask Questions

Take the time to get as much information as possible from moving companies before selecting one. Check on truck size and availability. Ask about moving supplies, such as boxes, dollies and furniture pads. Find out about protection plans for your possessions. Ask about lost or damaged property claim procedures. Determine price differences in packing the truck yourself or having it professionally packed. Get estimates.

Save Your Receipts

Many of your moving expenses are tax deductible, so hang onto your receipts. Consult with your tax advisor to find out what is deductible, or call the Internal Revenue Service and request Publication 521: "Tax Information On Moving Expenses" to find out which moving expenses are deductible.

Collect Documents

If you're moving out of the area, you'll need to gather your family's personal records. Remember to get your medical and dental records, school transcripts, legal documents, titles, bank records, tax returns, stocks and bonds certificates, birth certificates, passports and insurance documents. Be sure to empty your safe deposit box.

I am excited to provide my clients with complimentary move management services! If you are moving long distance, across state lines or internationally I can provide you with FREE access to the Move Advocate. Click here for more information!

Sellers ~ Create a Lasting First Impression

noreply@blogger.com (Cristina McBreairty) — Sat, 07 Aug 2010 15:31:00 +0000

As the summer buying and selling season is nearing its end, it is even more important to create a lasting first impression with potential buyers. Here are 8 simple tips that will help your home stand out from the crowd.

Clean up the yard. Curb appeal is so important. Many buyers will drive by a home and determine if they want to take the time to see the inside. Cut back overgrown shrubs, particularly those that obscure windows or make it difficult to get to the front door. Mow the grass, rake or pick up downed leaves and branches, put away lawn tools, kids' toys and discard or store any outdoor furniture that is rusty or ragged. Plant colorful annuals or put a few nicely planted containers on or near the front porch.

Open the drapes and blinds. Sunshine is the world's best decorator and nothing is more depressing than walking into a home where shades, curtains and drapes are closed.

Wash the windows - inside and out. For the same reasons as above, no other small improvement will give you more bang than this.

Clutter Control. De-cluttering and organizing your home is very important and not just to make the place look neat. A cluttered home looks smaller and less airy. All of the pictures, knick-knacks, even an exquisite art collection are distracting to many buyers.

Clean your kitchen and bathrooms - Be sure to pay attention to the kitchen and bathrooms. The kitchen may be old but it can still sparkle. Clean the stovetop with a good degreaser and all countertops to remove stains and discoloration. Wash the front of all cupboards and appliances and keep the floor swept and scrubbed for as long as the home is on the market. De-clutter here too, especially the refrigerator door. Ditch countertop appliances, canisters, etc and keep cupboard doors and drawers closed if your hand is not actually in them. It is critical that the bathrooms sparkle. Old bathrooms can be charming and a new shower curtain or fresh flowers on the counter may be all you need. Put out your best towels and, if you have young children, enforce the flush rule.

Refinish hardwood floors. These are a major selling point when selling your home and sometimes a home's most compelling feature. Often they don't need complete refinishing, just to be roughed up and polyurethaned to obtain that killer shine.

Paint/Repaint Your Home. If your taste in decorating is a bit strong, it may pay to hire a professional to tone down some of the more dramatic color rooms. Neutral colors are best for marketing your home for sale.

Buy, borrow or rent what you need. If your furniture shows the effect of raising five kids or if pets have ruined the rugs and upholstery, think about storing or getting rid of your existing furniture and finding just enough more attractive stuff to get by. If your nest is empty and the kids' rooms are beaten up, throw out the furniture, give the walls a quick wash coat of paint and put one or two small flea market pieces - a hobby horse, a bean-bag chair, the old bassinette from the attic - in the room to merely suggest its use.

Visit my website for more helpful Home Seller Tips.

Need a Portable Storage Unit?

noreply@blogger.com (Cristina McBreairty) — Sun, 01 Aug 2010 21:03:00 +0000

Portable storage units for moving and storage have increased in availability and popularity in recent years. Portable storage units are a great alternative to traditional self storage and are perfect for a home remodeling project.

Consider a portable storage unit the next time you need to do any of the following:

Getting Rid of Clutter - Whether selling your home or hosting family for extended visits - a storage unit lets you temporarily store non-essential stuff and declutter your living space.

Consolidating - Use a storage unit to store extra furniture or boxes when downsizing a home or office. Take your time in deciding what to do with your extra stuff.

Moving - Take your time packing and unpacking, without the hassle of a moving van. After you load the storage unit, 1-800-PACK-RAT moves it to your new home or office.

Renovations - Protect your belongings during repairs or upgrades. A storage unit helps you keep your furniture, electronics and other valuables safe and out of the way, so you can reclaim space from intrusive home renovations.

Salvaging - Speed recovery from fire or water damage with a delivered storage unit. Store salvaged items on-site so you can get to them while work is being done, or let 1-800-PACK-RAT store them in a secure, climate-controlled warehouse.

Archiving - Make record retention a cinch with a storage unit delivered right to your office. We bring it back on a regular basis so you can add new records or search for needed paperwork. Special rates help make long-term record storage affordable.

Visit my website to get $50 OFF Local Storage or Moving Rentals or 10% OFF Long Distance Moving.

Rural Development Funding Passed by Senate

noreply@blogger.com (Cristina McBreairty) — Sat, 31 Jul 2010 13:36:00 +0000

The restoration of the ingle-family rural housing program that would guarantee home loans for rural buyers was passed by the Senate this week and is on its way to President Obama.

Rural Development's Single Family Housing Programs provide homeownership opportunities to low- and moderate-income rural Americans through several loan, grant, and loan guarantee programs. The programs also make funding available to individuals to finance vital improvements necessary to make their homes decent, safe, and sanitary.

This is great news for home buyers who want to buy a home while the rates and prices are still low. And it is a huge relief for thousands of rural home buyers who need to close on their home purchases before Sept. 30 to take advantage of the home buyer tax.

To learn more about a USDA home loan program, click here.

Visit my website's Mortgage Center for more helpful mortgage loan information.

Tips to Reduce Your Closing Costs & Fees

noreply@blogger.com (Cristina McBreairty) — Mon, 26 Jul 2010 12:04:00 +0000

With home mortgage rates at historic lows, many people are eager to refinance their current mortgage loan to lock in a low rate. Existing home owners with adjustable rate mortgage may never get a better time to refinance out of their current mortgage and into a more conservative and consistent 15 or even 30 year mortgage loan.

When deciding to refinance a home mortgage, be sure to understand the refinancing costs associated with doing so and then try to limit them as much as possible.

Refinancing an existing mortgage is very similar to securing an initial mortgage. In fact, your new mortgage will be used to pay off your existing one, so it is just like buying your home all over again. There are certain costs associated with a refinancing, just as there was when the original mortgage was secured.

Closing costs such as broker fees, appraisal fees, title search, inspections and various administrative fees are all part of the fee structure associated with a mortgage refinance. To reduce your closing costs and any other mortgage-related fees, ConsumerLoansDirectory.com offers the following tips:

Try to refinance with your existing lender. They will want to keep your business and if they know you are looking to refinance, they will be motivated to offer the lowest rate possible and reduce your fees to keep you onboard with them.

Take a look at your credit report to ensure there are no issues you are unaware of that might detract from you score. A high score will help you secure the lowest possible interest rate and this could save you thousands over the term of your loan.

Do not hesitate to negotiate your fees. Many mortgage-related fees are controlled by the mortgage company so they have the ability to lower them. Administration fees are especially easy to get waved or reduced.

Avoid having your closing costs included in your loan balance. Sure, this is a great way to avoid them altogether but the reality is that you will by paying for them each month during the length of your loan and with interest included, you will end up paying a lot more in the long-run than if you had just paid them out of pocket upfront.

Visit my website's Mortgage Center for more helpful mortgage loan information.

Visit my website www.CristinaTheREALTOR.com for your online real estate needs!

Mortgage Rates Hit Record Low

noreply@blogger.com (Cristina McBreairty) — Fri, 23 Jul 2010 12:09:00 +0000

Mortgage rates fell for the 10th time in the last 13 weeks, tying a record low. Now, if only the economy would cooperate, even more people could take advantage of the low rates by refinancing.

Mortgage brokers are reporting rising interest in home refinancings as rates on a 30-year fixed loans have hit record lows in four of the past five weeks. This week the average rate fell to 4.56 percent, the lowest since mortgage company Freddie Mac began tracking rates in 1971.

Lower mortgage rates improve affordability: The difference between a 6% and a 5% mortgage rate on a $300,000 mortgage, for example, is about $188 a month.

And it's not just 30-year fixed loans. The rate on the 15-year fixed loan, a popular choice for refinancing, dropped to 4.03 percent from 4.06 percent last week. That was the lowest on records dating back to 1991.

What a great time to buy! With housing prices still low and rates like this, buying a home makes much more sense than renting.

Visit my website's Mortgage Center for more helpful mortgage loan information.

Visit my website www.CristinaTheREALTOR.com for your online real estate needs!

What Borrowers Should Know About FHA Loans

noreply@blogger.com (Cristina McBreairty) — Fri, 16 Jul 2010 12:39:00 +0000

FHA Pros, LLC, a national FHA condo approval service, has developed a list of facts speaking to the top misconceptions associated with FHA loans in order to help home buyers better navigate an already confusing market. FHA loans are mortgages issued by qualified lenders and insured by the Federal Housing Administration (FHA).

In the last three years, home buyer interest in FHA loans has gone from practically zero to upwards of 87 percent. However, many buyers still do not fully understand the benefits of these loans. So, in an effort to change that, here are seven things you should know:

1. FHA Loans Are Not Only For Lower-Income Borrowers. FHA loans are available to everyone. There is no maximum income restriction associated with FHA loans. Borrowers do need to substantiate income and assets by submitting proper documentation. This requirement ensures that borrowers are truly able to afford their future homes.

2. FHA Loans Are Not Only For First-Time Buyers. Many people believe FHA loans are available only to first-time homebuyers. This is not the case. Whether borrowers are making their first home purchase or their fifth, they can look to FHA loans as a home financing option.

3. FHA Loans Are Not Just Small Loans. In Fact, Loan Amounts Can Be As High As Almost $800,000. The government recently raised the maximum loan amount from its original cap of $362,790 to $793,750 as a way to help stabilize the housing market. The amount a buyer can borrow varies from county to county. Later this summer, condo buyers interested in FHA loans can visit www.checkfhaapproval.com to instantly identify FHA-approved condo associations and review maximum loan amounts for a given location.

4. FHA Loans Are Not Affiliated With The Section 8 Housing Program. While both programs are administered by the U.S. Department of Housing and Urban Development (HUD), FHA loans have nothing to do with low-income subsidized housing. FHA loans are simply mortgages insured by FHA. This insurance provided by the federal government allows lenders to lend more freely by assuring them that they will be repaid in the event of default. Most traditional lenders are able to provide FHA loans to their customers.

5. FHA Loans Are Often More Affordable Than Conventional Loans. While FHA loans typically offer the same interest rates as other loans, borrowers benefit from a much lower down payment of as low as 3.5 percent.

6. FHA-Approved Condo Developments Are More Desirable To Buyers. With 87 percent of home buyers indicating that they plan to use FHA loans, condo associations that are not FHA approved are missing out on a significant pool of prospective buyers. Under rules in place since February 2010, an entire condominium development must now apply to HUD and be granted FHA approval before a buyer can purchase a unit in an association with an FHA loan or before an existing unit owner can refinance into an FHA loan.

Due to the general unwillingness of today's lenders to extend credit with respect to conventional loans, many borrowers find that FHA is their best bet. Lenders don't mind lending when the federal government (FHA) assures them of repayment.

Homeowners associations (HOAs) should note that although FHA-insured mortgages might be easier to obtain, they are not "risky" loans, due in large part to the strict "full documentation" requirements placed on borrowers.

Individual buyers or sellers can initiate the approval process or current owners can encourage their HOA to apply. More information about the FHA- approval process is available at www.getfhaapproval.com.

7. FHA Loans Are Assumable. In addition to lower down-payment and credit-qualifying requirements as compared to conventional loans, FHA loans are assumable. This means that when a seller with an FHA loan sells his or her property, the loan and its financing terms (interest rate) can be transferred to the new buyer. This unique feature will certainly make a property more valuable in times of rising interest rates.

Visit my website's Mortgage Center for more helpful mortgage loan information.

Visit my website www.CristinaTheREALTOR.com for your online real estate needs!

Make Room for Golf Balls

noreply@blogger.com (Cristina McBreairty) — Tue, 13 Jul 2010 14:29:00 +0000

Some great words of advice that we all should try to remember...

When things in your life seem almost too much

When 24 hours in a day is not enough

Just remember the mayonnaise jar.

A professor stood before his philosophy class with some items in front of him. When the class began, wordlessly, he picked up a very large, empty mayonnaise jar and proceeded to fill it with golf balls. He asked the students if the jar was full. They agreed it was.

The professor then picked up a box of pebbles and poured them into the jar. He shook the jar lightly. The pebbles rolled into the open areas between the golf balls. He then asked the students again if the jar was full. They agreed it was.

Then the professor next picked up a box of sand and poured it into the jar. Of course the sand filled up everything else. He asked once more if the jar was full. The students responded with a unanimous yes.

The professor then produced two cups of coffee from under the table and poured the entire contents into the jar, effectively filling the empty space between the sand. The students laughed.

"Now," said the professor, as the laughter subsided. "I want you to recognize that this jar represents your life. The golf balls are the important things-family, children, health, friends, and favorite passions. Things that if everything else was lost and only they remained, your life would still be full."

"The pebbles are the other things that matter like your job, house, and car. The sand is everything else -- the small stuff."

If you put the sand into the jar first, he continued, there is no room for the pebbles or the golf balls. The same goes for life.

"If you spend all your time and energy on the small stuff, you will never have room for the things that are important to you."

"So. . . pay attention to the things that are critical to your happiness. Play with your children. Take time to get medical checkups. Take your partner out to dinner."

"There will always be time to clean the house and fix the disposal. Take care of the golf balls first -- the things that really matter. Set your priorities. The rest is just sand."

One of the students raised her hand and inquired what the coffee represented. The professor smiled. "I'm glad you asked. It just goes to show you that no matter how full your life may seem, there's always room for a couple of cups of coffee with a friend."

Lawn Care Tips for the Summer Season

noreply@blogger.com (Cristina McBreairty) — Fri, 09 Jul 2010 12:54:00 +0000

With all of this HOT weather, I think it is safe to say that summer is officially here! Along with summer comes weeds, bugs and more time needed to tend to your lawn.

Here are some ways you can make the most of the season with these summer lawn care tips:

1. Water conservation and proper watering is important at any time of year, but particularly when heat and a lack of rain lead to water deficits and drought.

2. Evaluate your lawn regularly for signs of irregular color and texture. These can be signs of damage that may result from pests or disease.

3. Proper year-round lawn care keeps a lawn healthy and prevents weeds, disease and pests. But sometimes, insects you may not notice can travel from the yard to your home. To stop them, hire pest control to keep the bugs on the outside. You can also reduce their outside presence by treating the lawn for insects such as fleas and ticks and fire ants.

4. While lawns are generally the focal point of most yards, don't forget about trees and shrubs. Well-maintained landscaping adds dimensionality to a home and increases its value.

5. Stay safe! In the heat of the summer you may be tempted to mow your lawn in shorts and flip flops, but remember, you should wear long pants and closed-toed shoes.

6. Stay Hydrated! No matter what outdoor activity you're enjoying, be sure drink plenty of water.

7. The essentials of good summer lawn care are watering, fertilizing and proper mowing. However, sometimes an underlying problem (such as bare spots or severely damaged turf) requires additional measures.

Should You Rent or Buy?

noreply@blogger.com (Cristina McBreairty) — Thu, 08 Jul 2010 13:47:00 +0000

Interest rates are at all-time lows, there are lots of houses to choose from and prices are incredibley low. It is so tempting to buy right now. But is the timing right for you?

As a first-time home buyer, there is a lot to consider when making the decision to rent or buy a home. Potential buyers should ask themselves several key questions before making this important decision:

1. What will monthly costs be and can I afford the payments?
Keeping mortgage payments under 30 percent of your monthly income is a good rule of thumb. If you can't keep mortgage payments below that, you may be better off renting for awhile.

2. What other debt do I have?
Total rent or mortgage payments plus credit obligations should not exceed 35 to 40 percent of monthly income.

3. What is my credit score? Can I qualify for a good interest rate?
A high credit score indicates strong creditworthiness, and that qualifies you for better interest rates on a mortgage. Maxing out on your credit lines and paying bills late will lower your credit score. The impact of a credit score on interest rates can be significant. For instance, a borrower with a score of 760 could pay nearly two percentage points less in interest on a mortgage than someone with a score of 620. Lower interest rates also mean lower monthly payments. If your credit score is low, you may want to delay buying a home until you can improve your score.

4. How much will taxes, monthly maintenance, or other fees cost?
Owning a home means you'll have to pay real estate taxes and other costs like insurance and maintenance. On the other hand, owning a home brings big tax savings at the end of the year. As a renter, the owner pays those costs for you.

5. How many years will I stay here?
Generally, the longer you plan to live someplace, the more it makes sense to buy. You'll build equity in your house and its value is likely to increase over the years.

For more helpful Buyer Tips, visit my website at www.CristinaTheRealtor.com

What's More Important ~ Low Rates or Tax Credit?

noreply@blogger.com (Cristina McBreairty) — Tue, 06 Jul 2010 15:41:00 +0000

Although 90 percent of consumers believe that the tax credits have helped both first-time home buyers and the U.S. housing market overall, many home buyers feel that mortgage rates have a greater impact on their purchasing decisions.

In a recent survey by Prudential Real Estate and Relocation Services, an overwhelming majority of those polled found that when factoring in either low interest rates or the tax credit, low rates were far more important in a decision to purchase a home now.

There's a good reason for this statistic. For example, if you purchase a home for $300,000 and finance $270,000, and your interest rate for a 30-year fixed rate loan was 5.25% versus 4.75%, you would pay nearly $30,000 more over the term of the loan. This is a significant amount of money!

Since the Fed's Mortgage Backed Securities purchase program ended on March 31, there has been much volatility and price swings in the markets. Rates overall are off their lows and are often quoted above 5.00% today with no points.

Looked at from another perspective, if prospective home buyers are waiting for home prices to decline a bit more before purchasing a home, but interest rates push higher towards 6.00% in the meantime, waiting could well cost those home buyers more money in the long run.

In fact, let's say a home buyer delays a transaction but receives a $10,000 reduction off that $300,000 home. If, in the meantime, rates were to rise .75% to 6.00% and the buyer financed 90% of the purchase price, the amount of total payments over a 30-year term would be over $35,000 more than paying the $300,000 purchase price and the 5.25% interest rate.

So, remember, just because the tax credit programs have ended doesn't mean that isn't a good to buy!

For useful mortgage tools and information visit my mortgage center.

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5 Reasons Why Now is a Great Time to Buy

Making Moving Easier

Sellers ~ Create a Lasting First Impression

Need a Portable Storage Unit?

Rural Development Funding Passed by Senate

Tips to Reduce Your Closing Costs & Fees

Mortgage Rates Hit Record Low

What Borrowers Should Know About FHA Loans

Make Room for Golf Balls

Lawn Care Tips for the Summer Season

Should You Rent or Buy?

What's More Important ~ Low Rates or Tax Credit?

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