The Family Realtor Blog

Buyer's Secret #3

2012-09-11T21:03:00.001-06:00

Seeing Beyond the Walls

Five Good Reasons To Get a Home Inspection

Buying a home can have its fair share of costs, and some people in their desire to save as much as possible will skip paying for a professional home inspection. Here in Utah, buyers have a Due Diligence period where they are able to get the home checked out and do their “due diligence” to make sure the home is in good condition.
We’ve met many clients who have a brother, uncle, mother, cousin, etc. who knows construction, or they work for a builder, or they are a handyman. Many clients feel confident that this person will be able to sniff out some of the issues a house has or will have in the near future. While they are all skilled professionals, the bottom line is … they are not professional home inspectors. There is no doubt they will be able to find a lot of potential problem areas, but just like any other skilled professional, a home inspector has special tools and processes that are designed to protect you … the buyer!
Here are five good reasons to get a home inspection:

It’s a cost-effective way to get peace of mind. A home inspect will spend about 3 hours or more going through every little part of your house. Some even use infrared lights to detect moisture or temperature changes that could identify a bigger problem.
Looking beneath the surface. A home inspector knows what to look for to identify trouble areas beneath the surface such as mold, rot, termites, and other problems that most people wouldn’t even be aware of.
Condition of your appliances. It’s important to know what the actual age of your soon-to-be appliances really are, including HVAC (Heating, Ventilation, and Air Conditioning) and water heaters. Some of these appliances can become costly, if not darn right annoying, if they are at the end of their life.
Structural damage will hurt your wallet. A certified home inspector will know how to evaluate the integrity of the structure. These are issues commonly found on older homes, but regardless they can be very expensive to fix.
Keep a roof over your head. Isn’t the whole purpose of a home to have “roof over your head”? What if that roof leaks or is nearing the end of its life? Wouldn’t you rather know that you’re going to have to put thousands of dollars into a new roof BEFORE you buy the home?

All that said, it’s important to note that home inspectors will find every little issue … it’s their job! Don’t get overwhelmed by the little problems or it could ruin the deal for a perfectly sound home. Ignore the cosmetic issues and focus on the functional issues. It’s your right, as well as your responsibility, to make sure you make a sound investment.
If you want to talk to us more about buying a house, give us a call today at (801) 829-1678 or you can email us at nhunt@thefamilyrealtor.com.

Tips to Determine How Much Mortgage You Can Afford

2012-09-11T21:01:00.002-06:00

Article From BuyAndSell.HouseLogic.com
By: G. M. Filisko Published: March 11, 2010

Homeownership should make you feel safe and secure, and that includes financially. Be sure you can afford your home by calculating how much of a mortgage you can safely fit into your budget.

Instead of just taking out the biggest mortgage a lender qualifies you to borrow, consider how much you want to pay each month for housing based on your financial and personal goals.

Think ahead to major life events and consider how those might influence your budget. Do you want to return to school for an advanced degree? Will a new child add day care to your monthly expenses? Does a relative plan to eventually live with you and contribute to the mortgage?

Still not sure how much you can afford? You can use the same formulas that most lenders use, or try another of these traditional methods for estimating the amount of mortgage you can afford.

1. The general rule of mortgage affordability

As a rule of thumb, you can typically afford a home priced two to three times your gross income. If you earn $100,000, you can typically afford a home between $200,000 and $300,000.

To understand how that rule applies to your particular financial situation, prepare a family budget and list all the costs of homeownership, like property taxes, insurance, maintenance, utilities, and community association fees, if applicable, as well as costs specific to your family, such as day care costs.

2. Factor in your downpayment

How much money do you have for a downpayment? The higher your downpayment, the lower your monthly payments will be. If you put down at least 20% of the home's cost, you may not have to get private mortgage insurance, which costs hundreds each month. That leaves more money for your mortgage payment.
The lower your downpayment, the higher the loan amount you'll need to qualify for and the higher your monthly mortgage payment.

3. Consider your overall debt

Lenders generally follow the 28/41 rule. Your monthly mortgage payments covering your home loan principal, interest, taxes, and insurance shouldn't total more than 28% of your gross annual income. Your overall monthly payments for your mortgage plus all your other bills, like car loans, utilities, and credit cards, shouldn't exceed 41% of your gross annual income.

Here's how that works. If your gross annual income is $100,000, multiply by 28% and then divide by 12 months to arrive at a monthly mortgage payment of $2,333 or less. Next, check the total of all your monthly bills including your potential mortgage and make sure they don't top 41%, or $3,416 in our example.

4. Use your rent as a mortgage guide

The tax benefits of homeownership generally allow you to afford a mortgage payment-including taxes and insurance-of about one-third more than your current rent payment without changing your lifestyle. So you can multiply your current rent by 1.33 to arrive at a rough estimate of a mortgage payment.

Here's an example. If you currently pay $1,500 per month in rent, you should be able to comfortably afford a $2,000 monthly mortgage payment after factoring in the tax benefits of homeownership.

However, if you're struggling to keep up with your rent, consider what amount would be comfortable and use that for the calcuation instead.

Also consider whether or not you'll itemize your deductions. If you take the standard deduction, you can't also deduct mortgage interest payments. Talking to a tax adviser, or using a tax software program to do a 'what if' tax return, can help you see your tax situation more clearly.

More Useful Resources

More on the mortgage interest deduction (http://www.houselogic.com/articles/mortgage-interest-deduction-vital-housing-market/)

More on the tax advantages of homeownership (http://www.houselogic.com/articles/tax-tips-homeowners-preparing-2009-returns/)

Other web resources

A worksheet on home affordability (http://www.ginniemae.gov/2_prequal/intro_questions.asp?Section=YPTH)
G.M. Filisko is an attorney and award-winning writer who's owned her own home for more than 20 years. A frequent contributor to many national publications including Bankrate.com, REALTOR® Magazine, and the American Bar Association Journal, she specializes in real estate, business, personal finance, and legal topics.

Now Is The Time To Buy!

2012-09-11T21:00:00.000-06:00

Interest rates are at a record low and housing prices have stabilized which makes now the best time to buy because prices are only going to go up. According to the Salt Lake Tribune article After years of falling sales, prices, Utah housing market begins rebound we are now seeing 'multiple offers, many above asking price'. We are seeing the beginnings of a new boom without the impending crash like 2008.
Need more proof? this KSL article titled A look at the US housing market, at a glance tells us that new constructions have seen the 'most new homes in nearly four years' and 'Prices in half the 20 cities in the Standard & Poor's/Case-Shiller home price index have risen over the past 12 months'.
And this is just the beginning! According to Salt Lake Board of Realtors, James Wood, director of the University of Utah’s Bureau of Economic and Business Research expects a 15% increase in home sales in 2012. The major contributor? Accelerated job growth!
It's been tough since 2008, but we're on the mend. Job growth is increasing, housing prices are going up, interest rates are staying low, and home constructions are at an all-time high!
So ... what are you waiting for? Call us today to see what's available now. Your dream home is waiting for your offer, and we'll negotiate tough to make sure you get it!

2012-06-14T21:06:00.001-06:00

This blog is to let you know that our Utah HUD Homes & Foreclosed Homes Lists have been updated and are ready for review. You can access these lists by clicking the following links:

If you would like additional information on any of these properties, OR you would like a custom list of homes, contact us directly at (801) 829-1678.

Sincerely,
Nicole Hunt
“The Family Realtor”
The Real Estate Group
www.thefamilyrealtor.com
Direct: (801) 829-1678
Fax: (801) 384-0600
nhunt@thefamilyrealtor.com

Buyer's Secret #2

2012-06-14T17:00:00.001-06:00

A Realtor’s a Realtor … right? Wrong!

Five Reasons Why a Buyer Needs Their Own Agent

We recently asked a number of people how they would go about buying a house. The results were very surprising! The majority of the people we talked to would look through ads, find a house they liked, drive by the home, and then call the number on the sign. Sounds right?

When it comes to residential real estate, there are two sides to every transaction … the seller and the buyer. The seller has a “Listing Agent” while a buyer should have a “Buyer’s Agent”. The name and phone number on the lawn sign represents the seller … not You the buyer. It would be the same as calling the other guy’s lawyer for advice. Bottom line, they don’t represent you!

Here are five reasons why you should get your own representation when buying a house:

It’s FREE to you! Let me repeat that … it’s absolutely FREE for you to have a your own agent when buying a house. Why? Because the seller pays ALL the realtors in a transaction.
Having your own agent to negotiate the best price for you, and you alone. If you’re going through the listing agent, they have the burden of trying to maintain the seller’s best interest while trying to negotiate a reasonable price for both parties. Having your own agent gives you the advantage of having one person who is focused completely on your interest in the transaction.
Find homes that meet your wants and needs much faster and better! All realtors have access to the MLS (Multiple Listing System). But having your own agent gives you a leg up on finding the perfect property because she’s not distracted with the seller. A buyer’s agent will focus on what you want in a home including price range, bedrooms, acreage, amenities, location, etc.
Verify the value of the property. A seller can ask whatever they want for a home, and the seller’s agent has to respect their wishes. Having your own agent will ensure that someone is fighting for the best price by verifying the market value of the home you’re looking at buying. Buyer agents should conduct a Comparative Market Analysis (CMA) which is an unofficial appraisal based on the sales prices of similar homes nearby. Would a seller’s agent sacrifice their commission by telling you the house is overpriced? Probably not!
Negotiate contract terms and conditions other than the price of the home. Negotiating a home purchase is much more than getting a fair price. There’s closing costs to deal with, the closing date, possession date, earnest money amount (and who holds on to it), inspection terms, and a vast number of other variables. Having your own agent will guarantee these terms and conditions are in YOUR best interest.

The bottom line is that you have nothing to lose, and a lot to gain. A buyer’s agent is FREE to you (I can’t say that enough times). You could potentially save money, get better terms, protect your interest much better, and so much more.

If you want to talk to us more about buying a house, give us a call today at (801) 829-1678 or you can email us at nhunt@thefamilyrealtor.com.

Nicole Hunt
'The Family Realtor'
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

Buyer's Secret #1

2012-05-28T21:52:00.000-06:00

Do NOT be caught Dead without your Pre-Qual!!

Here are five reasons why getting a pre-approval letter should be your #1 Priority

Most home buyers know they should get a mortgage pre-approval letter from a lender before they begin seriously shopping for a home. But the reasons for this advice aren't always clear. Here is some of the reasoning behind the advice:

You’ll know how much you qualify for. Interest rate will be the number one determination of how much of a house you can afford. If you only want to spend $1000/month for a mortgage your interest rate will determine how much of a house you can buy. If you qualify for 4% interest rate then you can look for houses in the $200K range but if you qualify for an 8% interest rate then you can only look in the $130K range- and believe me- that is a HUGE difference when it comes to houses! This is how frustration and disappointment can begin so make sure you know what interest rate you qualify for, how much your down payment will be for the loan you pick out (yep- there are different types of loans too).
Most Sellers will not even let you look at their home without a pre-approval letter. Imagine being a family selling a home; Always having to keep the home in excellent condition for potential buyers, interrupting daily life every time a realtor calls to show the house. Now imagine you get about 3-4 realtors coming through your home on a daily basis. They get excited at the prospect of selling their home…only to realize that a realtor brought people through their home- interrupting their lives for some who wasn’t even qualified to buy it?! Imagine being those people. I’m sure you would want everyone coming through your house to at least be “able” to purchase it. So homeowners have gotten smart and stopped the looky-loos by forbidding anyone to come through without a pre-qualification letter, wouldn’t you? You can’t test drive a Mercedes without proving you have the ability to buy one and a house is a far bigger ticket item than a Mercedes. So most agents can only show you vacant homes which severely limits what you can and can’t see. What if your dream home is for sale and you can even view it because you don’t have your pre-qualification letter? Don’t be caught without one!
You will get the brush off from some agents. By having a prequalification letter, it shows the agents that you are serious and ready to have them work hard for you. Agents won’t spend their valuable time showing houses to people that may or may not qualify.
You won’t be able to make an offer on your dream home. The market moves very fast in the world of making offers- especially if you are in the average house hunting range of 180K-300K. Houses in today’s market have multiple offers on them and the good ones get snatched up quickly. You need to be ready and you cannot make an offer on a house unless you have a pre-qualification letter. Buying a house isn’t like window shopping- you have to be able and willing to move on your perfect home. If not, someone else will grab it up right from under you!
The contract must be presented along with the pre-qualification letter. You have to have one anyway! The seller’s agent will not even present an offer without one and why should they? Everyone else has one- you should too. So if it’s something you have to have in order to buy your home- make it your #1 priority to get your pre-qualification letter. So if you spend the time looking and you find your dream home- I’m sure you’d want to be able to make an offer on it right away.

You can contact your bank, credit union or check out the local mortgage lenders. Always ask your real estate agent who they usually use. Why? Because they have already done the homework! Most likely they have found a tried and true loan officer who closes deals and has a special relationship with the agent. The agent isn’t going to recommend you to a bad loan officer- Hey- it’s their reputation on the line! Loan officers and Real Estate Agents are not allowed to exchange referrals or money so you know your agent is using a loan officer strictly off his or her merits. Ask your agent how many escrows they have done together. Your agent will be more than happy to give you all the juicy details about their loan officer. They want to make sure your escrow goes through- or they don’t get paid so it’s a win-win! So if they have a relationship with a loan officer who the realtor trusts to close the deal and leave with happy clients- sometimes your best bet is to go with the agent’s lender rather than a loan officer the agent isn’t familiar with. So when your realtor asks you if you are paying cash or getting a loan…you can say…I already have my pre-qualification letter…let’s go buy my house!

Nicole Hunt
'The Family Realtor'
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

Interest Rates All Time Low!

2012-05-25T13:51:00.002-06:00

Basic Tips for First Time Home Buyers

The average rate for 30 year fixed rate mortgages have fallen to an all time low! Now is the best time to buy, you will save THOUSANDS of dollars with these low rates! For more information, please read the Salt Lake Tribune article below.

http://www.sltrib.com/sltrib/money/54178012-79/rate-week-percent-average.html.csp

Nicole Hunt
'The Family Realtor'
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

We Have a New Look!

2012-03-30T15:58:00.000-06:00

Nicole Hunt, "The Family Realtor" is now under The Real Estate Group! We are so excited at being invited to become a part of their family! Special thanks to Scot Hazard, President and Principal Broker of The Real Estate Group, for making this go so fast and seamlessly!

Nothing has changed for you except that now your service and support will be even BETTER! We will still be providing free HUD and Foreclosure lists, and free house searches to everyone! If you have any questions feel free to contact us directly at (801) 829-1678. Thank you again for your patience during this change.

Nicole Hunt
'The Family Realtor'
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

Basic Tips for First Time Home Buyers

2012-03-26T23:55:00.000-06:00

Basic Tips for First Time Home Buyers

Buying your first home can seem like a confusing and scary process, but it really doesn't have to be. The National Association of REALTORS® has provided some very useful and informative tips for first time buyers. They breakd own the process into 10 simple steps, and a state licensed realtor can help guide you through the process.

Step 1 is to make sure you know what you want in a home. We recommend you prioritize, for example you may need at least 3 bedrooms, but you'd like to have a finished basement. Obviously the basement isn't a must but it can be used to filter down the search results if there are too many. An experienced realtor will know just how to set up the searches so that you can find what you absolutely need and maybe some of the things you'd like to see in a home. Also as part of this first step, you need to examine your credit score, credit history, income, expenses, assets, and liabilities.

The second step is to get yourself a good licensed real estate agent. Despite how much you love aunt Betty, we recommend you avoid using friends and family who are realtors because sometimes even the best of professionals have a hard time drawing that line of personal relationships versus business. Find a realtor who has a lot of experience where your purchase is concerned. You wouldn't use a commercial agent to buy residential property, and if you're a first-time home buyer you might not want to try and use a luxury home specialist. You want someone who understands your family!

Step three is to make sure you get pre-qualified. This is for your benefit as well as the realtor's benefit, what's the use looking at properties if you're not sure what you can afford? You might look at homes that are in a lower price range than what you could be qualified for and get discouraged because you can't find what you want. Conversly, you might look at homes that are above your range and then become disillusioned by the properties you can afford. Most good real estate agents will have a lender they know and trust that they can direct you to, so make sure you ask your agent who their preferred lender is.

Steps four through 10 are more about the process, and beyond the scope of this blog. However, we recommend you go to the National Association of Realtor's site and read those steps for yourself so that you can become familar with the process. Be sure to check back with www.thefamilyrealtor.com where we will be posting more tips, tricks, lists, and other useful information. Not to mention our site allows you to search the entire Utah MLS for FREE, just sign up with us and start looking for your dream home.

Nicole Hunt
'The Family Realtor'
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

How Does Refinancing Work?

2012-03-21T22:21:00.000-06:00

With housing rates the lowest they’ve ever been, now is the best time ever to refinance your home. If you can reduce the interest rate on your mortgage by 2 percentage points or more, you’ll save literally thousands of dollars over the life of your loan!

What is refinancing?

Refinancing is simply the process of taking out a mortgage to pay off your existing mortgage. If you’re not too familiar with refinancing, here are some reasons you may consider it:

You’ll receive a lower interest rate, which can save you thousands of dollars in the long run.
You may have a variable mortgage rate and might want to settle into a fixed mortgage.
Maybe your mortgage was sold off to a different company, and you’d prefer to work with someone more local.

Utah refinance, however, has its own process, and knowing the process before you delve into it can be helpful.

First, you’ll want to decide whether you’re looking for a rate-and-term refinance or a cash-out refinance. A rate-and-term and finance is simply where you approach a lender for a refinance because you want a better interest rate, or better loan terms.

A cash-out refinance is when you exchange your current mortgage for a larger one, receiving cash in excess of your current mortgage. Homeowners can use the cash for anything they want, although they may take such a loan out to help pay for a significant home repair or to pay off high-interest credit cards.

Be Warned, Many Costs are Associated with Refinancing!

Utah mortgage companies may charge you a number of fees and penalties when you attempt to refinance. Penalties depend on the current terms of your mortgage, while fees can vary widely by lender.

Fees charged by mortgage companies include application fees, title search fees, title insurance fees, appraisal fees, mortgage insurance, loan origination fees, and many others.

If I Can Be Charged So Many Different Fees, Why Bother Refinancing?
The reality is that by comparing different lenders, you’ll find a great difference between each company’s fees. So, do some shopping and go with the company you trust the most and who also charges the least amount in fees.

After you’ve minimized your fees, the real benefits are experienced years down the line. If your current interest rate is 2 percentage points lower than your older one, you’ll save literally thousands of dollars in the long run, even if you have to pay some fees now.

Example Scenario

Let’s say you choose to purchase a $200,000 home with a 30-year fixed-rate mortgage carrying an interest rate of 6%. By the time the mortgage is paid off, you’ll have paid a total of $443,809.71, with $223,809.71 of it going to interest.

For simplicity’s sake let’s say you purchased the same home with a 30-year fixed-rate mortgage, but this time you were able to get a mortgage rate of 4%. Now, you end up paying $353,705.68 in total, with $153,705.68 going to interest.

Notice how you saved over $90,000 with an interest rate 2 percentage points lower!

In reality, things won’t work out quite as neatly because you typically have to have some equity built up in your home before you are eligible to refinance, but you understand the main point: if you’re eligible to refinance, by all means go for it!

And, if your mortgage lender allows you to prepay without penalty, you can pay that mortgage off earlier and save even more money!

That’s All You Need to Know!

Now that you’ve learned how a mortgage in Utah is refinanced, the process doesn’t seem so scary does it? Keep in mind that mortgage interest rates are lower now than they were ever before, so if there ever was a time to refinance, this would be it!

Source: http://www.utahmortgagetoday.com/utah-mortgage-advice/how-does-refinancing-work-2/

Nicole Hunt
"The Family Realtor"
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

What About Those HUD Homes?

2012-03-21T12:07:00.003-06:00

Residential foreclosures that fall under the Department of Housing and Urban Development (HUD) can be found all over the nation. The Federal Housing Administration (FHA) is a part of HUD and basically FHA provides insurance to lenders who borrow money to individuals who cannot purchase under a conventional loan. So, FHA allows the bank to lend money for a home knowing that if the borrower defaults, the loan will be insured by the federal government. When this happens the government owns the home and it becomes what we know as a HUD Home.

As you'll see in the video below, HUD Homes are priced at fair market value. If the home requires any repairs, the price of the home will be reduced. You can find HUD Homes that are below market value, but they will probably need some TLC. For an invenstor, this is a great deal! Think of a HUD home like a used car, it is sold 'as-is' but with the help of Nicole Hunt, an Investment Specialist, you could find a GREAT investment property or family home.

If you want more information, you can get a free list of HUD Homes right on our website by CLICKING HERE. If you're more interested in a bank owned foreclosure, we have those too, just CLICK HERE for a free list. Or, if you're just interested in searching what homes are available we offer a FREE search which you can get to by CLICKING HERE or simply CONTACT US.

Tips For Buying a HUD Home

Nicole Hunt
"The Family Realtor"
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

Investing in Multi-Family Homes

2012-03-21T12:05:00.001-06:00

A multi-family home is a residential property that is intended to house 2 to 4 families. These kinds of homes includes duplexes, triplexes, and fourplexes. You can even purchase a multi-family home through an FHA as long as you live in one of the units. This offers you a really great opportunity to get into investment properties right now while the interest rates are remarkably low! For more information about FHA multi-family loans visit

Even if you're not interested in going through FHA, you can still buy a multi-family home with a standard residential mortgage loan, which gives them a distinct advantage over apartments. This means you will get a lower interest rate because it can be your primary residence, giving you added income with 1 to 3 additional streams of income from rent ... and if you want to buy more properties later, 75% of your rent can be considered income for the purposes of qualifying! Wow!
If you are interested in purchasing a multi-family home as an investment property, be sure to consult our Investment Specialist, Nicole Hunt because it's a little different than purchasing a single-family residential home. You can call Nicole at (801) 829-1678 or if you prefer use our Contact Us form.

Nicole Hunt
"The Family Realtor"
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

Interest Rates Starting to Rise?

2012-03-21T12:03:00.002-06:00

Interest rates are at an all time low right now, and holding steady right under 4% which makes 2012 THE time to buy! Will these rates go up? Short answer is probably. Right now the Feds are trying to keep rates down but the market is pulling them up, which means 2012 will have a sort of tug-o-war on the interest rates.

By June the interest rates could take a turn to upwards of 4.5%, but that's still pretty good! If you are interested in buying a house, the sooner the better! If you are a first time buyer you could get into a home for LESS than what you pay in rent! Sound appealing? Good! Give us a call today and we'll help you find the perfect home. Or if you prefer you can use our very convenient Contact Us form.

Nicole Hunt
"The Family Realtor"
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com

Top 5 Reasons Why to Buy in 2012

2012-03-21T11:16:00.000-06:00

Buying your first home is a VERY big decision, and we understand that. Besides providing a good home for your family, you are investing in your future. This is probably the biggest purchase or loan you've ever made. If you've been kicking around the idea, we suggest you do it right now because 2012 is going to be a great year for Great Deals! Here are the top five reasons why YOU should Buy a house in 2012:

Appreciation – Buying a home now (at the current rates) can almost ensure your home’s appreciation in the future. Mortgage rates are near historic lows and home prices in many parts of the country are down. This is the perfect recipe for home appreciation. Additionally, many foreclosed homes are available for a fraction of the original cost. This can translate to a higher profit if you decide to sell once the market rebounds.

Property Tax Deductions – For income tax purposes, real estate property taxes for a vacation home and first home are fully deductible. The IRS (Publication 530) provides detailed tax information for first-time buyers that may answer many questions about what deductions homeowners are eligible for.

Preferential Tax Treatment – If you own your home for more than a year and receive more profit than the allowable exclusion after the sale of your home, the profit will be considered a capital asset. Capital assets are given preferential tax treatment.

Equity Building – Many factors such as credit qualification, loan flexibility, and annual percentage rate (APR) contribute to the final decision of what type of mortgage loan best fits your goals. Yet, a new trend being used by some homeowners is to actually add money to their monthly payment to decrease the principal balance of their loans at a much faster pace. This trend is called equity building. Equity builders usually select a home loan with a lower interest rate (and a shorter term loan such as a 15-year fixed) to help build equity faster. This rapid payment process allows borrowers to:

Pay off the principal balance faster
Lock in near-record-low interest rates
Shorten the length of their home loan
Own their home faster
Pay substantially less mortgage interest

Equity building is a beneficial trend that’s becoming more and more popular with fiscally responsible homeowners. Also, home equity is the largest single source of household wealth for most Americans.

Pride – Homeownership offers many benefits to many different types of people. For some homeowners, playing your music as loud as you want and painting the walls the color of your choice is a perk. For me, homeownership will permit me to build an NBA regulation size basketball court on my own property. For my coworker Joel Jarvi, home ownership may allow him to build the indoor slide of his dreams. No matter who you are, homeownership is a purchase, commitment, and journey that’s sure to bring you pride.

If you would like more information about buying a home, please contact Nicole Hunt at (801) 829-1678 for a FREE consultation. It costs you nothing, and you could gain everything!

Nicole Hunt
"The Family Realtor"
Direct: (801) 829-1678
Fax: (801) 384-0600
Email: nhunt@thefamilyrealtor.com