14
Jun
By support
Home Mortgage Tips

Dealing With a Tight Housing Market? 3 Tips to Ensure You Get the Mortgage You Need

Dealing With a Tight Housing Market? 3 Tips to Ensure You Get the Mortgage You NeedIn many cities around the country, real estate prices are on the rise and potential buyers are working hard to find a home they can feel good about. However, finding the right home in a tight market can be even more of a challenge when it comes to striking the right balance. If you’re hedging around the market in the hopes of finding the perfect home, here are some things you should do to ensure you don’t miss out on a good opportunity.

Keep An Open Mind

When wading into the real estate market, it can be very easy to get so enamored with the kind of house you want that you don’t see what’s in front of you. However, not paying attention to the potential of a particular house can mean a missed opportunity that will end up costing you down the road. Instead of waiting around for your dream home, make sure you take a look at homes you might not have thought about as they may end up being a welcome surprise.

Be Confident, But Not Too Confident

Since many homeowners have history with their home, they want a homebuyer who’s going to be just as invested in their property as they were. On the other hand, though, it’s important not to be too excited about a home as the seller may use your interest to get a higher offer. Instead of playing on opposite poles, show your interest and get into the game with a respectable offer, but be willing to back off if the seller isn’t interested.

Don’t Demand Too Much

Many potential homebuyers have been told to be aware during the home inspection and ensure they get the repairs they’re requesting, but in a tight market you may want to let a few things slip. While ignoring certain items like foundation or roof issues can be a major misstep, letting small things like a broken doorknob or peeling paint slide may be something you can easily remedy that won’t push you out of the game.

It can be complicated to get into the real estate market as a new buyer in a competitive market, but by letting the small stuff slide and being open-minded, you may just find the home you’re looking for. If you’re currently getting prepared to dive into the real estate market, contact one of our mortgage professionals for more information.

09
Jun
By support
Home Mortgage Tips

Mortgage 101: This Is How Mortgage Refinancing Works, in Plain and Simple Terms

Mortgage 101: This Is How Mortgage Refinancing Works, in Plain and Simple TermsThere are so many unfamiliar terms involved in the real estate market that it can be easy to be confused by the jargon. However, some words are more important to learn than others if they can end up benefiting you in the long run. Whether or not you’ve heard of mortgage refinancing, here are the basics on what this may mean for your home and whether or not it’s an option you should consider.

Acquiring A Lower Rate

If you’re new to refinancing, the primary reason that most homeowners choose this option is to get a lower interest rate and pay less on the overall cost of their mortgage. Because a lower interest rate means that a higher amount is paid on the principal each month, you may be able to pay off your mortgage at a quicker rate. While this may sound ideal, you’ll need a certain percentage decrease in your interest rate in order to make this option financially beneficial.

A Shorter Loan Term

While refinancing doesn’t necessarily mean that you’ll be paying less on your mortgage payment each month, it does mean that you may be able to take advantage of a shorter loan term. Since the overall amount you pay on your mortgage may be lowered with refinancing, you may be able to pay off your mortgage more quickly without it bumping up the amount of your monthly payment significantly. There may be a slight difference, but the benefits can definitely outweigh the drawbacks when it comes to paying less over time.

Weighing The Refinancing Option

The decision to refinance may very well end up being a boon for your financial well-being, but it’s important to consider the pros and cons ahead of time in order to make an educated decision. You’ll also want to make sure you’ll be staying in your home a while to reap the benefits of your equity. Because there will be fees associated with utilizing this mortgage option, like closing costs and application fees, it’s important to look over the numbers and ensure that it works out in your favor at the end of the day.

Refinancing your home to acquire a lower interest rate can be a great financial decision, but it’s important to determine whether or not the price is right before you move forward with this option. If you’re currently considering refinancing your mortgage, contact one of our mortgage professionals for more information.

07
Jun
By support
Home Mortgage Tips

Thinking About Investing in Real Estate? Here’s What You’ll Need to Get a Second Mortgage

Thinking About Investing in Real Estate? Here's What You'll Need to Get a Second MortgageThe decision to invest in a home is a big one for many people, but if you’re making the foray into real estate the second time around, it’s even more important to be financially aware and prepared. If you’re wondering what you’ll need in order to get approved for an investment property, here are some things that you’ll want to consider before deciding a second property is in your future.

A Larger Down Payment

Due to the risk factor involved in taking on more than one loan, acquiring a second mortgage for an investment property will likely require you to put more money down up front. Because you’re already paying into your home and are taking on an additional loan, you’ll have to prove to the mortgage lender that you’re a viable choice and have the financial wherewithal to stick to your payment schedule.

Knowledge Of The Market

It’s well and good to want to invest in a property so that you can find renters and turn a profit, but you’ll need to have a good place at the right price to make the investment worthwhile. Before you decide on a place, make sure that you research the neighborhood and the type of home you’re looking to buy so you can ensure there’s a viable market. A rental property is good, but you’ll need to have reliable renters in order to make it profitable.

A Property Manager

If you’re planning on being the landlord and doing all the little fix-its, you may not need to worry about a property manager. However, it’s important to weigh the decision carefully beforehand and ensure what will work best for you. If you’re not prepared to do emergency work or basic property maintenance, you’ll need to look for a property manager you can trust.

A Mortgage Pre-Approval

Without a doubt, a second mortgage will require you to take on more risk, so it’s important to speak with a lender about pre-approval before getting too involved. If you’ve crunched the numbers, you may already have an idea of what you can and can’t afford, but a lender will be able to give you a price range that suits your financial position and income set.

Investing in a second property can be a financially lucrative decision, but it’s important to be knowledgeable about your investment and your finances before diving in. If you’re currently getting prepared to invest in a home, contact one of our mortgage professionals for more information.