That’s the takeaway from the latest research from ATTOM Data Solutions.

ATTOM reported that 347,875 HELOCs were originated on residential properties during the first quarter of 2018. That is a significant number, and is an increase of 18 percent from the previous quarter and 14 percent from a year earlier.

This is especially impressive considering that most other mortgage business was down during this year’s first quarter. ATTOM said that 665,887 purchase mortgage loans closed in the first quarter of 2018. That figure is down 16 percent from the fourth quarter of 2017.

And refinances? Those are significantly down. ATTOM reported that 799,939 residential refinances closed during the first quarter of this year. That is down 11 percent from the same quarter one year earlier.

A HELOC, of course, is a great tool for funding everything from home improvement projects to your children’s college education. You can also use a HELOC to pay down high-interest-rate credit card debt.

It’s important to know how HELOCs differ from traditional home equity loans, though. A home equity loan is a second mortgage on your home. When you close one, your lender presents you with a lump sum of money that you can then use for whatever you’d like. You pay back this entire amount over time with interest, making monthly payments just like you do with your primary mortgage.

A HELOC works more like a credit card. Depending on the equity in your home, a lender will approve you for a maximum borrowing limit. If you have $80,000 of equity, your lender might approve you for a HELOC with a maximum borrowing limit of $60,000. You then only have to pay back what you borrow.

Say you have a HELOC of $50,000 and you borrow $20,000 for a kitchen remodel. You only have to pay back the $20,000 you borrowed, with interest, of course.

If you are interested in joining the growing number of homeowners taking out HELOCs, talk with a local mortgage lender. These professionals can help you determine if a HELOC is the smart choice for you.

The post Ready for a HELOC? You’re not alone appeared first on The MG Group | Chicago Real Estate.

This consistency, in lenders’ eyes, means that employees are less likely to have big dips in their incomes. Freelancers could suffer those dips. And that could make them less likely to pay their mortgage bill on time each month.

It might be getting easier, though, for self-employed workers to qualify for mortgages, according to a recent story in the Chicago Tribune.

Fannie Mae and Freddie Mac, which guarantee the majority of mortgages originated in the United States, are both working on pilot programs that will make it easier for mortgage lenders to accept self-employed income as steady, dependable income. This will, in turn, make it easier for self-employed workers to qualify for mortgages.

This is a move that has to be made, largely because so many more workers are making their money in what is known as the gig economy. The Tribune story says that from 20 percent to 30 percent of U.S. workers participate in some way in the gig economy. These people will want to buy homes, at least many of them. Lenders, then, need to be able to find some way to qualify them for mortgages.

The key, of course, is to only approve those borrowers who are most likely to make their mortgage payments on time. It does no good to approve a self-employed borrower for a loan if that same borrower eventually defaults on the payments.

The good news is that if you are self-employed, you can qualify for a loan today. But you will have to provide plenty of evidence showing that you can be trusted to make your payments on time. This means providing at least two years of tax returns and payment stubs showing income that is steady and stable. It won’t help you if your income is next to nothing one year and sky-high the next. Lenders want to work with borrowers who they are comfortable can make their payments on time each month.

The post Qualifying for a mortgage when self-employed might be getting easier appeared first on The MG Group | Chicago Real Estate.

The Chicago Tribune recently ran a story looking at this gender gap. And what do the numbers show? Single women are actually the second-largest group of homebuyers in the United States, behind only married couples.

According to the Tribune story, single women made 18 percent of all home purchases in the United States last year. Single males, though, only made 7 percent of all U.S. home sales last year.

Why is this happening? The Tribune story said that single women tend to view homes as investments, more than do single males. That might explain, too, that when they do buy a home, single women tend to spend more. The Tribune reported that single women spent an average of $185,000 on a home while single men spent an average of $175,000.

Single women are also more likely to have children under the age of 18 in their households. It makes sense, then, that these women would be more interested in buying a residence that their children could call home.

If you’re a single woman and you’re interested in buying a condominium or single-family home in Chicago, there is good news. You will be able to find well-priced homes throughout the city when you work with a REALTOR® who can help you find the perfect condo or single-family home.

There are challenges, though: There aren’t as many homes for sale today throughout the city as there have been in the past. If you do find a condo or single-family home that you like, you’ll have to act fast. If you wait, another buyer might snatch it up before you make an offer.

If you’re ready to make the jump into ownership, contact a Chicago REALTOR® today. Your new home is out there and waiting for you.

The post All the single ladies? They’re buying homes appeared first on The MG Group | Chicago Real Estate.