Nevada Real Estate Podcast with Blaine Moore

What Does It Mean to Be Offer-Ready?

cassidy@getvyral.com (Blaine Moore) — Wed, 18 Apr 2018 07:42:00 -0700

What does it take to be ready to act in this market? Michelle from New American Funding is here to discuss.

Today, I’m here with Michelle Piccinini from New American Funding to talk about market inventory. How can you be offer-ready in this market?

According to Michelle, being offer-ready refers to the low amount of inventory we’re seeing in the market. Houses are going fast, and multiple offers are more and more common.

If you’re offer-ready, it means that you’re pre-approved, you have a letter in hand, and you’re ready to go. When you’re offer-ready, you're prepared to take immediate action when the right home comes on the market. Because of the multiple offers we’ve seen, many of those offers are coming in over asking price.

"When you’re offer-ready, if that perfect home becomes available on the market, you’ll be ready to write an offer on it right away."

On the lending side of things, we’ve seen many appraisals come in low. Yes, you got into contract, you won, and it is your home, but now you still have the financing contingency. When the appraisal is done, properties are increasing in values, but we aren’t seeing homes closing at a fast enough rate to justify the value. From a lending perspective, we just want to make sure that you’re prepared.

If there’s a situation in which a home comes in $10,000 under what you’ve agreed to offer, we now have a situation on our hands: will the seller agree to drop the price? Do we have the money from the buyer to make up that difference, or does the whole thing fall apart?

In this crazy market, it’s wise to work with an experienced agent and lender who can help you navigate situations. That's why we are here.

If you have any questions, please reach out to us. We would love to help you.

A Quick Look at Our Reno/Sparks Real Estate Market

cassidy@getvyral.com (Blaine Moore) — Tue, 10 Apr 2018 13:18:00 -0700

What’s been going on in our local market? It’s time to take a look at our latest market update.

What’s been going on lately in our Reno/Sparks area real estate market? It’s time for another market update.

Last month, there were 439 sales at a median price of $370,000. There are currently 526 homes on the market. This constitutes about 1.25 months’ worth of supply. In other words, if no other homes came on the market it would take 1.25 months for us to run out of listings.

"In today’s hot market, buyers and sellers must be strategic."

This means buyers and sellers must be strategic. Buyers need to be offer-ready. So, if you have plans to purchase a home, make sure you get pre-approved and get in touch with an agent.

As for sellers, those looking to list need to be careful about pricing. The best way to sell your home is by pricing it correctly from the start. Overpricing your listing would be a costly mistake.

If you have any other questions about our current real estate market, just give me a call or send me an email. I would be happy to help you.

Interest Rates Are on the Rise

cassidy@getvyral.com (Blaine Moore) — Fri, 9 Mar 2018 10:36:00 -0800

Let’s talk about what’s going on with interest rates today.

As always, the subject of interest rates is something that’s on everyone’s minds. So today, we’d like to bring you an update on what’s going on.

There has recently been a steady rise in interest rates. When the government shut down in 2013, we actually saw a positive impact on rates. This is because the market is very, very emotional. After chaos happens, people pull money out of stock and put it into bonds.

However, this hasn’t been the case since our government shut down earlier this year. The stock market is thriving and bonds are essentially in a free fall. This is leading to a steady increase in rates.

"Home inspections can benefit buyers as well as sellers."

The bottom line is that consumers need to be informed. We may not see rates back in the 3% range again. Right now, rates are sitting within the higher end of the 4% range. This is especially true of investment properties.

For grant-based products, we’re seeing rates between 5% and 6%. We can never be absolutely sure what the future will hold, but it does appear that rates will continue to rise through the first part of 2018.

If you have any other questions or would like more information, feel free to give us a call or send us an email. We look forward to hearing from you soon.

A Look Ahead to Our 2018 Market

cassidy@getvyral.com (Blaine Moore) — Tue, 23 Jan 2018 09:39:00 -0800

Interest rates, the new tax plan, inventory levels, and rate increases for both vacancies and rentals will all have a significant impact on our market in 2018.

There are a few factors that will impact how our market performs in 2018 that you need to be aware of.

The first is interest rates. If the Federal Reserve raises interest rates four times like they’re predicting, it will reduce buyers’ purchasing power and reduce the steady price increases we’ve been seeing. With this reduced affordability among buyers, home values may dip a little bit.

The second factor is the tax plan that was approved last December. It will be especially interesting to see how this will affect Californians in the move-over market.

"If you’re a buyer, you have to be ready to write an offer on something you like as soon as you come across it."

The third and most important factor is the inventory levels. Currently, we have a 1.5-month supply, which means if you’re a buyer, you have to be motivated and ready to write an offer on something you like as soon as you come across it. You might also find yourself in a multiple offer situation, so make sure you work with an agent who’s experienced in that scenario.

Lastly, you have rate increases for both vacancies and rentals. There is very low inventory in the rental market. Back in November 2017, we had the fourth-largest price increase for rentals in the entire country.

If you have any more questions about our market or you’re interested in buying or selling, don’t hesitate to reach out to me. I’d be happy to help you.

Loan Limits Are Changing in Washoe County

cassidy@getvyral.com (Blaine Moore) — Mon, 8 Jan 2018 10:13:00 -0800

Loan limits are being increased in Washoe County, which is good news for both buyers and sellers. Here’s why.

Big changes are happening with loan limits in Washoe County this year.

Basically, these changes will give you more of an opportunity to secure an FHA, VA, or conventional loan at higher price points.

Currently, the maximum loan limit for Fannie Mae and Freddie Mac is sitting at $424,100, and they’re increasing that limit to $453,100. Now, you can start looking for homes in the $475,00 price range and still only put 5% down. If you don’t have as much to put down as you like, you’ll be able to get into a market you’ll be happy with.

The FHA loan limit will increase from $345,000 to $370,300, so they’re starting to build back up to that $403,000 price point they were at in 2008 and 2009. If you need an FHA loan to get back into the market because you’ve perhaps had a foreclosure or a short sale in the past, this will help get you a home you’re happy with.

"These changes give buyers more options on the loan side."

With the direction of home prices trending upward, these changes give you more options on the loan side. If you’re a seller, this is also good news because it increases buyers’ affordability.

If you’d like to get pre-approved for a loan or you have any questions regarding any of these changes, don’t hesitate to reach out to us. We’d be happy to help.

What Items Will You Need to Get Pre-Approved?

cassidy@getvyral.com (Blaine Moore) — Fri, 17 Nov 2017 09:59:00 -0800

Today, Michelle from New American Funding will discuss both rates and what items you’ll need in order to get pre-approved to purchase a home.

Today I have with me a special guest, Michelle from New American Funding, to talk about rates and the items you’ll need in order to get pre-approved.

Michelle, how are the rates?

The rates are good! I feel like every time I’m here, I’m always talking about how rates should be going up, but we’re still not seeing that. Rates are still trending in the mid-to-low fours. For a buyer right now, it’s amazing to say that we’re almost to the end of 2017 and rates aren’t in the 5% range as was predicted.

I don’t know if we’re going to see a drop into the low threes like I know everybody wants, but take advantage of the fact that we’re still in the fours. A first-time homebuyer with good credit can still get a really good rate right now.

"The standard deduction has increased to $12,000."

What items will a potential buyer need in order to get pre-approved?

Basically, we’re going to require your first-born and a blood sample.

I’m kidding! But it does feel very, very intrusive. The reason is that we are now in a mortgage arena that we have to document every piece of information that is relevant to your file. We’re looking at your income, your assets, and any properties you may own. We’re going to need pay stubs, tax returns, and similar documents to make sure that you can qualify to pay the mortgage, and we need to check your bank statements to make sure you have the funds available.

A lot of people confuse pre-approval with pre-qualification. Pre-qualification is essentially where you tell someone your information and that’s it. They don’t verify it. A seller and their listing agent will need to know that I’ve verified everything the buyer has given me and that I’m not just saying, “Okay, let’s go!”

We want you to understand that we’re here every step of the way, and we’re going to ask you these questions and collect this documentation so that you are a truly qualified buyer and you’re ready to go.

If you have any questions about buying, selling, or getting pre-approved, feel free to contact us. We’d love to help you.

Things to Know as a Move-Up Buyer

cassidy@getvyral.com (Blaine Moore) — Fri, 3 Nov 2017 09:28:00 -0700

Today, I’ll be talking about things move-up buyers will need to know when undergoing the process of selling their house in order to buy a new one.

The topic I’d like to discuss today is about selling a home in order to buy a home. Realtors call this kind of buyer a move-up buyer.

There are a lot of reasons why someone would want to sell their home and immediately buy a new one: growing families, switching school districts, downsizing, and more. You’ll need a real estate professional to assist you in this process because there are a lot of moving parts in the transaction.

The first step you should take is getting an evaluation of your house—how much is your current property worth? What are you going to do with the profit from the sale of your home? Are you going to get financing, or are you going to take the profit and pay cash? Once you know whether or not you’ll take the financing or cash route, then we can get your house on the market.

"The first step you should take is getting an evaluation of your house—how much is your current property worth?"

In our current market here in Reno, nobody is going to take a look at an offer from someone who’s current home isn’t on the market. You have to be on the MLS for another seller to take a contingent offer.

Once you get your home on the market and you’ve found a home you want to purchase, then there are timelines, contingencies, and home inspections (both for your own property and the one you want) to consider.

You really will need a real estate professional to help manage that process for you. There are a lot of moving parts that a professional will be equipped to handle.

If you’re thinking about moving up, moving down, or changing school districts, please reach out to me and I’d love to help you with the process.

Buying New Home Construction? Beware of These Agent Tricks

cassidy@getvyral.com (Blaine Moore) — Tue, 26 Sep 2017 07:26:00 -0700

When buying a new construction home, don’t let the builder’s agent automatically talk you into letting them represent you and using their lender.

There are a couple important things you should know about new home construction and the lending process that goes with it.

The agents who represent the builders don’t represent you. If you were to use them, you wouldn’t have anybody looking out for your best interest. This stipulation is actually stated in their contract.

"Don’t just walk into a pretty sales office without representation."

The builder’s agent also would prefer you to use the builder’s lender, but you still have a choice, and you still deserve a choice. It’s no different than if you were working with a normal seller—just make sure you’re looking for financing options that suit your needs.

Understand that the builder’s agent will make the builder’s lender very appealing. They’ll give you credits and make it look like they’re throwing money at you. They also might scare you into thinking you might not close on time and that it will cost you more not to use them.

You need to double-check, though, to verify that the fees you’re being charged relate to what you should actually pay and you’re not getting “credits” that only cover the added fees being charged by the builder. Talk to your own lender, compare apples to apples with them, and make sure you do your due diligence.

If you have any questions about new home construction or you want to talk more about new home financing, don’t hesitate to reach out to us. We’d be happy to speak with you.

Is the Fall a Good Time to Buy or Sell a Home?

cassidy@getvyral.com (Blaine Moore) — Wed, 6 Sep 2017 12:12:00 -0700

Here’s what you can expect from the Reno market this fall whether you’re buying or selling.

Our market typically peaks in July and August, and 2017 was no different. Right now, the Reno market is starting to slow down. Here’s what that means for buyers and sellers.

For sellers, it means that you’ll have much less competition if you list your home this fall than if you would have listed in the summer. This makes it more likely you’ll receive more (and higher) offers from potential buyers. As far as buyers are concerned, the low inventory is going to make things competitive.

"Low inventory will make things more competitive for buyers."

In July, we sold over 600 homes. However, last October we sold 550. As you can see, there is still plenty of activity in the market during fall. If you’re thinking about buying or selling a Reno home in the next few months, there’s a great opportunity out there for you to do that.

If you have any questions for me or you’re interested in buying or selling a Reno home, don’t hesitate to give me a call or send me an email. I look forward to hearing from you.

Reno Market Update

cassidy@getvyral.com (Blaine Moore) — Mon, 24 Jul 2017 14:53:00 -0700

It’s time for a market update. But, what do these numbers mean for you?

It’s time to take a look at what’s going on in our local market.

To start, Reno/Sparks has about 895 homes for sale right now. This number has closely to do with months of supply, which can greatly influence the market.

Last December, 523 homes sold in our area—which translates to about a 1.7 months of supply. Months of supply are important because they signify the amount of time it would take for the market’s supply to totally deplete if no new homes were to come on the market within that time frame.

In order for a market to be well-balanced in terms of months of supply, the number should sit between four to six months. To put this in perspective, that’s about 2,000 to 3,000 homes for sale.

"Buyers should be prepared to seize opportunities."

Median sales price has also risen. In December of 2015 it was $291,000 and last year it was $307,000—roughly a five to 6% increase.

Smaller increases like this one are a good sign for the health of the market. These numbers also indicate less competition for sellers, since buyers have fewer choices.

Conversely, buyers should expect a degree of competition. With less to choose from on the market, buyers should be prepared to seize opportunities. It’s important to be pre-approved and ready to write an offer.

If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.

New Homebuyers in Reno Can Buy for Just 1% Down

cassidy@getvyral.com (Blaine Moore) — Wed, 5 Jul 2017 12:46:00 -0700

New American Funding has just announced an amazing new home loan option designed for first-time homebuyers in the Reno area who don't have as much money for a down payment as they'd like.

New American Funding has a new home buying program hot off the press that we wanted to share with you today. This program is designed for first-time homebuyers and those who need some help with a down payment.

The program is a 1% down option for first-time homebuyers here in the Reno area.

Fannie Mae requires a 3% minimum, so what we love about this program is that New American Funding is actually offering a 2% grant to offset the requirement.

"New American Funding offers a 2% grant to offset Fannie Mae's requirement."

This is an amazing option for first-time homebuyers who don't have the savings for a down payment currently or don't qualify in a home buying threshold that they want to. It's also a great opportunity for those who want to take advantage of this great market and are excited to buy a home.

There are some income limitations so that they can assure the program is tailored to those who truly need the assistance.

If you're interested or just want to learn a little bit more about this loan option, give us a call or send us an email. We'd love to tell you more!

3 Matters to Tend to Before Listing Your House for Sale

cassidy@getvyral.com (Blaine Moore) — Wed, 31 May 2017 07:29:00 -0700

Thinking about selling your house this season? You’ll want to consider these three things before listing it for sale.

As we reach the time of year when it gets warmer, you might be thinking about listing your house for sale. When preparing your house for the market, consider these three things:

1. Curb appeal: This includes everything from the front yard to the entryway to the sidewalk and the driveway. This is especially important because according to the National Association of Realtors, 63% of buyers will drive by a house they first saw online before setting up a showing. It’s good for the house to look like what they saw online.

"63% of buyers will drive by a house they first saw online before setting up a showing."

2. Decluttering: Clear the kitchen countertops, tidy up the bathrooms, and even consider bringing in a professional cleaner. You can usually hire someone for a couple hours for about $200, which will get you a thorough cleaning and really make a difference in the showing of your house when buyers come through.

3. Professional photos: You get 120% more viewings online when it’s showcased with professional photos, and more viewings mean more potential buyers. It has also been shown to make your home sell faster. Additionally, homes with professional photos average a sales price closer to asking price than homes without them. You want your home to pop and make a great first impression because you only have about 45 seconds to capture a buyer’s attention. Your agent should be able to recommend a photographer to take care of this part for you.

If you’re thinking about listing your house or you have any other questions about preparing it to sell, don’t hesitate to give me a call or send me an email. I’d be happy to help!

Finally, Some Good News for Homebuyers

cassidy@getvyral.com (Blaine Moore) — Wed, 17 May 2017 13:01:00 -0700

If you went through a bankruptcy, short sale, or foreclosure, Freddie Mac is going to make it easier for you to buy a home starting June 1st, 2017.

Today I’m here with Michelle Piccinini from New American Mortgage to talk about some changing lending guidelines.

As you know, 2008 through 2012 were difficult years for our market. If you went through bankruptcy, a short sale, or a foreclosure, it’s been very challenging for you to get into another home thanks to lending restrictions.

As of June 1st, 2017, Freddie Mac will make things a little easier for you to buy a home—if you can document extenuating circumstances.

"The new guidelines will help you buy a home sooner."

Freddie Mac is asking for some documents showing why you had to go through a short sale, foreclosure, or bankruptcy. If you can prove a change of income or job loss, that would be an extenuating circumstance. If you had an adjustable mortgage and your monthly payment went from $1,200 to $3,500, that would be an extenuating circumstance as well.

Your approval is up to the lender’s discretion. That’s one thing that’s great about New American Funding; because they are a direct funder/servicer, they have more control and you will work with the same underwriter throughout the entire process.

If you are able to provide documentation and you would like to get a conventional loan instead of using the FHA band-aid, you won’t have to wait as long to purchase a home, either. If you went through a bankruptcy, you’ll only need to wait two years instead of four; foreclosures are three years instead of seven, and short sales will be two years instead of four.

If you have any questions about financing, you can reach Michelle at (775) 501-8546 or give me a call. We would be happy to help you!

Why You Need to Be Wary of Zillow's Mortgage Calculator

cassidy@getvyral.com (Blaine Moore) — Mon, 10 Apr 2017 14:38:00 -0700

The perception of the home buying process you get from sites like Zillow is vastly different from the reality of buying a home.

When you look at homes on websites like Zillow, unfortunately, there's a big gap between perception and reality. Joining me today to help explain what I mean is Michelle Piccinini from Movement Mortgage.

The biggest misconception when looking at homes on Zillow is the "What is my payment?" option you can click on. This mortgage calculator is typically not coded to your specific qualifications, however. Your credit score is probably different than what it factors in, and it can't include things like taxes or private mortgage insurance.

"Zillow's mortgage calculators don't know your credit score or financial situation."

The average consumer might look at a $300,000 home on Zillow and have the mortgage calculator tell them that the payment will be $1,200. Then when you sit down with a lender to pull your credit and go over the particulars of the home, you'll get an actual payment. Nine times out 10, that actual payment is higher than what Zillow said. It's classic sticker shock.

This is one of the most important pieces of the value you get by working with a professional real estate agent. If you have any questions for Michelle Piccinini, you can call her at (775) 501-8546.

As always, give me a call or send me an email if you have any questions about the Reno market or you're thinking of buying or selling a home. I'm here to help.

How Do Our Low Inventory Levels Affect You?

cassidy@getvyral.com (Blaine Moore) — Mon, 20 Mar 2017 09:48:00 -0700

Inventory is incredibly low in our market right now, which impacts buyers and sellers differently.

Inventory in the Reno/Sparks area is incredibly low. Right now, there are 865 homes for sale in all price points, from $14 million to $70,000. The median price is at $440,000, which is pretty high.

Low inventory impacts buyers and sellers differently.

In this kind of market, buyers need to be pre-approved for a mortgage and ready to go. There are fewer homes available for you to choose from. If you wait until you find a home before you get pre-approved, chances are someone else will snatch it up before your pre-approval is done. You need to be ready to make an offer right away.

Sellers are in the driver’s seat right now.

As a seller, you’re in the driver’s seat. You have less competition and more buyers looking at your property, so if you price your home correctly from the start, your home will sell quickly and for top dollar. If you wait until June 1st or the end of May, then you will have more competition. Buyers will have more homes to look at and you probably won’t get the full-price offer that you can expect if you list your home in the next four to six weeks.

If you have any other questions about our current market, just give me a call or send me an email. I would be happy to help you!

What’s Happening in Our Market?

cassidy@getvyral.com (Blaine Moore) — Wed, 15 Feb 2017 14:02:00 -0800

How has our real estate market changed in the last year? What’s happening so far in 2017? I’ll answer those questions for you today.

Today I want to give you a look at our real estate market in terms of what’s changed and what we can expect going forward in 2017.

Right now there are about 895 homes for sale in Reno, and in December of 2016, we sold 523 homes. This means we have about 1.7 months of supply, which is the amount of time it would take to sell the homes currently available. A normal market is between four and six months of supply, so to be in a balanced market, we would need somewhere between 2,000 to 3,000 homes for sale, just to put that into perspective.

The median home price in December of 2015 was $291,000. That number jumped to $307,000 in December of last year, which is about a 5.5% to 6% increase year-over-year. That’s a healthy rate of increase.

The one thing these numbers really point out to me is that if you are a seller, you’re not going to have much competition. There are not that many homes for sale, so buyers have fewer choices.

Buyers need to be pre-approved and ready to write an offer when they find a home they want. They should also be prepared for multiple offer situations. Inventory is low right now, and this time of the year is always the slowest in terms of homes popping up on the market, so make sure you're prepared as a buyer.

If you’re a buyer, get pre-approved and be ready to make an offer if you find your dream home.

If you have any other questions, please feel free to give me a call or send me an email. I look forward to hearing from you!

3 Main Benefits of Selling During the Off-Season

cassidy@getvyral.com (Blaine Moore) — Wed, 28 Dec 2016 13:14:00 -0800

What benefits do sellers get by listing in the winter? Today I wanted to outline the top three for you.

Happy New Year! I hope you had a wonderful holiday season with your family and loved ones.

Now that 2017 is in full swing, I wanted to take a moment to talk about selling your home during the off-season—the wintertime and the springtime.

If you're selling your house, you need to know that interest rates are rising. This means there will be a smaller buyer pool to purchase your home and less competition to get you a better sales price.

However, you will face less competition as a seller during the off-season. There will be fewer homes similar to yours in your neighborhood for sale for you to compete against due to the winter season.

Thirdly, sellers need to remember that the people looking to buy this time of year are motivated buyers. They aren't kicking tires or looking at houses during the holiday season because they lack motivation.

These are the top reasons for sellers to be on the market this time of year, but if you're looking for more reasons or you're ready to sell your house, give me a call or send me an email. I'd be happy to help you out!

The Impact of the Election on Interest Rates

cassidy@getvyral.com (Blaine Moore) — Tue, 13 Dec 2016 12:46:00 -0800

In the wake of the election results, we saw an increase in interest rates. Our preferred lender is here today to let you know what else to expect in the coming months.

In the aftermath of the election, everyone has been asking us about mortgage interest rates. People want to know where they are at now, and where they might be headed in the future. So, we’ve brought our preferred lender, Michelle Piccinini to talk to us about the impact of the election on interest rates.

What happened in our market after the election was the reverse of what a lot of people expected. Whenever you go through an unstable market, a lot of the money is pushed back into bonds because they are more secure. Right now, the stock market is thriving.

However, with a thriving market, bonds are tanking and we have seen a substantial drop since the election. This has caused an increase in interest rates. Before the election, we saw rates around the 3.6% range. Now, they are more in the 4.25% range. When rates go up, there are fewer buyers for your property overall.

The second thing that’s impacting our industry is the longer timelines for appraisals. Appraisers have to be compliant, and there are a lot more hoops to jump through than there used to be. When we order an appraisal, we go through the appraisal management company. We don’t know who the appraiser will be. It’s also harder to become an appraiser, so there are fewer available. When you combine this with increased demand, you get a lengthened timeline.

Appraisals now take an average of three to four weeks to complete. Most contracts are only three to four weeks, so it can really mess up some timelines. A lot of sellers have to pay rush fees of up to $500 to get them done in a timely manner.

For buyers and sellers, this delay will extend your timeline from 30 days to 45 days. Keep in mind that you’ll need a little bit longer to close on your home if you’re paying with financing.

Appraisals can now take up to 45 days to complete.

These two issues are really driving the market right now. Thanks to Michelle for joining us today to explain. If you have any questions for her, give her a call at (775)-848-6923. If you have any questions for us, give us a call or send us an email. We look forward to hearing from you.

3 Tips to Get Your House Ready to Sell

cassidy@getvyral.com (Blaine Moore) — Fri, 28 Oct 2016 11:46:00 -0700

Are you getting ready to put your house up for sale? These three tips will help you get your house ready for the market.

If you're selling your house, there are three important things you can do to prepare it for the market.

The first thing you should do is look at your home from a buyer's perspective. You want great curb appeal, so make sure your lawn is manicured and your bushes and shrubs are trimmed. Remember, it's a competition with other homes for sale in your neighborhood, and this is where the competition starts. If you don't have a green thumb, hire a professional to get the yard looking nice and cleaned up.

The second thing to look into when preparing your home is maintenance and repairs. Fix any broken screens, tighten up that leaky faucet, change the filters in the HVAC system, and anything else along these lines. Savvy buyers with sharp agents will perform a home inspection, so you want to be prepared for it because those issues will be called out in a home inspection if they're not addressed beforehand.

Any issues you don't repair will show up in a home inspection.

Finally, you want to clean, declutter, and consider talking to a stager about getting your home looking showroom-ready for buyers. This will create a memorable first impression and help buyers picture themselves living in your house.

If you have any more questions about preparing your home for the market, always feel free to give me a call or send me an email. I'd love to help you out!

What Home Buyers Need to Know About PITI

cassidy@getvyral.com (Blaine Moore) — Mon, 26 Sep 2016 14:06:00 -0700

Today I’m joined by Michelle Piccinini with Movement Mortgage to discuss PITI and how it applies to you. PITI stands for principal, interest, taxes, and insurance. Home buyers should be aware that PITI can be misleading.

Any lender will tell you what you can expect in PITI when estimating your mortgage payments. PITI can be misleading because if you put 20% down for a standard 80% loan-to-value ratio, you’re not going to pay mortgage insurance. However, what happens when you are looking for a payment that now includes private mortgage insurance?

When that happens, your PITI now includes this other amount that you weren’t aware of in the first place. Nowadays this is a real problem because everyone is told to go online when shopping for a loan. When you put your information into an online mortgage calculator, that system is not giving you an accurate value.

We are starting to see some wiggle room in pricing.

Melissa has seen several occasions where a client calls her on Monday after shopping online all weekend thinking they have found out their accurate mortgage payment. A client might think they can get a $300,000 house for $900 a month and Melissa has to explain why that is wrong. This can be very frustrating for a borrower because you think that you have found the perfect house at a rate you are comfortable paying, when in reality, you cannot afford that home.

Melissa and I recommend that you hop off of the Internet and talk to a professional lender before you start looking at homes so that PITI doesn’t frustrate you. If you have any other questions about PITI, just reach out to Michelle at her website.

As always, if you have any real estate questions, just let me know. We look forward to hearing from you!

Reno Real Estate: Some Observations on New Construction in Reno

cassidy@getvyral.com (Blaine Moore) — Tue, 30 Aug 2016 11:23:00 -0700

There are a few things that you should understand as a consumer in today’s market when looking to purchase a new construction home. We’ve got some tips to share with you today to make sure you’re making the right decisions when it comes time for you to buy.

The first and most important thing to remember is that the representative in the model home works solely for the builder, who is the seller. This means as a buyer, you need representation as well. You need somebody who will look out for your best interests and try to get you the best terms possible.

We are starting to see some wiggle room in pricing.

The next thing we wanted to mention is that we are starting to see a little bit of wiggle room in the asking price for these homes. A lot of times, builders will act like they won’t negotiate on price at all, but we are starting to see them come down in price more and more.

Finally, remember that the model home you are viewing is likely the most upgraded model possible. The home you get won’t be like that; it will be a standard home. It’s important that you know the difference between the standard and the upgraded option, so you truly know what you’re getting.

If you have any questions for us about new construction homes, don’t hesitate to reach out and give us a call or send us an email. We look forward to hearing from you.

What’s Going on in the Reno Market this Summer?

cassidy@getvyral.com (Blaine Moore) — Mon, 8 Aug 2016 11:56:00 -0700

Looking to buy in the Reno-Sparks Area? Get a full Home Search
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I wanted to give you a quick update on the Reno real estate market.

When I recently checked in on the data, we had 1,400 homes for sale in our market, which is just a natural summer seasonality when the market inventory hits its highest point. What this means to you and other consumers is that homeowners selling their homes aren’t seeing multiple offers like they did the first six months of the year.

Summer seasonality has inventory at a high point.

For those selling a home, your home is probably going to be on the market just a little bit longer. On the buyer side, it means you’ll have more options and you won’t be quite as rushed in your decision making. You will, however, still have to move fast when you find a home you love.

For the month of June, we had 655 home sales, and the median price was $312,000, so this is an 11% increase year or year for the month of June.

If you’re interested in buying or selling in Reno, feel free to give me a call or send me an email today. I’d love to hear from you.

What’s Happening in the Reno-Sparks Real Estate Market

cassidy@getvyral.com (Blaine Moore) — Mon, 27 Jun 2016 09:02:00 -0700

Right now, the Reno-Sparks area is in a seller’s market. Inventory is still extremely low; we have about 1,150 homes for sale. In April, there were 580 home sales, which leaves us with about two months of supply.

For home sellers, this means you will have less competition and more buyers looking at your home. Home prices have increased about 11% year over year, and we’re up about 5% since April.

"Inventory is extremely low
but so are interest rates!"

For buyers, this means you have to be a little more aggressive with your offer. You have to be pre-approved and ready to go. You will have to negotiate harder and give the seller a little bit more of what they want because they have more leverage in this market.

The good news for buyers right now is interest rates are still incredibly low. Low interest rates give you more buying power so you can buy more home for a lower monthly payment. Interest rates are projected to rise later this year, and buying power will decrease when that happens.

If you have any questions about our current market or real estate in general, just give me a call or send me an email. I would be happy to help you.