Buying – Karen's Perspective

Marketing – How Effective is Yours?

Need customers? Whether you’re trying to buy a home or sell your house, the answer is a resounding “yes”. If you don’t understand that, it could be the reason you’re not finding what you need.

Do buyers know your house is for sale? Is there a sign in the yard? With a phone number that someone answers and a web site that is monitored regularly? Is your property listed on the MLS, with fabulous photos and an outstanding description of the most desirable features? Is it in the newspaper in an ad that stands out from the others? Is it on all the free on-line listing sites (and there are a TON of them)? Have you put out flyers, talked to your neighbors and co-workers about it? Offered a finder’s gift if someone refers the person who buys your home? What have you done above and beyond the usual that makes your property get attention? Why would someone find you in the haystack of for sale homes?

07 / 28 / 2009
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Pre-qualification vs. Pre-approval

A pre-qualification is a relatively easy to obtain and not very valuable initial evaluation of your credit worthiness as a potential borrower. It is typically used to determine the estimated amount you can afford to borrow. Pre-qualification looks at your income and expenses in order to generate an estimated borrowing range that you should be able to repay to a lender.

A pre-qualification amount is not a guaranteed amount that a financial institution would approve. It is simply an estimate that gives you an idea of what you can afford to purchase.

To pre-qualify, a loan officer will take some of your information (employment, income, assets, current debt) and make a tentative decision without verifying any of it. Typically with a pre-qualification, you won’t even give your social security number so there is no credit check.

07 / 24 / 2009
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Questions to Expect when Applying for a Mortgage

Planning to buy? Get your information in order before approaching a lender.

Any lender will first and foremost want to know about your employment and income
• Where do you work?
• How much do you make?
• How long have you been at your job?
• Is your income steady or irregular?
• If irregular, you may need to provide more details to obtain a favorable interest rate.
(Self employment will open up a different set of questions and income verifications.)

Outstanding debts
• What recurring debts do you have?
• How much do you owe on those?

06 / 06 / 2009
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More Things to Consider Before you Buy

Neighborhood

What about location? Its not just the house you will live in, but the area as well. Is convenient shopping nearby? Is the area quiet? Will you have good access to major highways? How are the schools? Even if you don’t have children, good schools will be important when you resell.

Resale value should always be considered when buying because the average homeowner stays in their home only 5-7 years. Is the area you’re considering growing or declining? Is there vacant land nearby that may become an apartment complex, a shopping center, a freeway? You can check with your city planning department to find out about proposed development in the area.

Drive around the home of your interest at different times of the day. What’s the traffic like? The outdoor activity? Are people walking and biking or is there heavy traffic? And drive to the home from different directions. You may find something that would keep you from buying or maybe find a convenient shopping area you didn’t even know about!

05 / 07 / 2009
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Thinking About Buying a Home?

Property Photo

Still debating? Wondering why people choose to buy rather than rent?

Well, to begin with, there’s a tremendous joy to owning your own home. You can do what you want to it – paint your own colors, grill out in the backyard, run around, make noise, hang pictures. It’s all yours. You and your family feel permanent, planted, secure in the fact that you control your own environment.

When you own a home, you know what your payment is every month. It may vary a bit when homeowners insurance or property taxes increase, but its far more stable than rent (so long as you have a fixed interest rate on your mortgage). And, you’ll pay pretty much the same monthly amount for as long as 30 years! That certainly won’t be the case if you rent.

05 / 02 / 2009
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To Buy or to Rent?

Buying vs. Renting

That is the first question!

And, in this economy, your thoughts may be different than they were two years ago. But, should they be? Is buying still best? How do you know? As always, don’t guess.

Start by using this Buying vs. Renting calculator. Plug in your numbers and look at the difference in what you will spend now, what you will end up with at the end of this tax year, and what you will have 10 years from now.

If you decide to rent, you probably know your options. If you’ve decide to buy, you should ask more questions.

Like, how long do you plan to stay in the home? Are you up for a job transfer? How likely is it, in this market, that you could be laid off? To be able to resell your home without losing money, you should be able to stay there at least 3 years. If you plan to stay 10 years, you should see appreciation that will help build your personal wealth.