Real Estate Information Archive

Blog

Displaying blog entries 1-5 of 5

The Benefits of Making a 20% Down Payment

Wednesday, August 28, 2024
by The Hat Team


Perhaps you have been thinking about purchasing a home, but you are not sure how much you need for a down payment. Many people will tell you that you need to have 20% to secure a mortgage. Thanks to various programs available to buyers, the truth is that’s not always the case. In fact, if you are a military veteran you could qualify for a Veterans Affairs Home Loan and not need a down payment at all! While these programs may mean that you do not have to save as much and you can get into a home sooner, there are some major benefits to making a 20% down payment if you can:

  1. YOU MAY QUALIFY FOR A LOWER INTEREST RATE

Putting 20% down vs a 3-5% down payment gives your lender/bank the confidence that you are financially stable and a good credit risk. With this confidence, they will be willing to give you a lower interest rate on your mortgage loan.

  1. YOU WILL PAY LESS OVER THE LONG RUN

With a bigger down payment, you will have a lower loan amount for your mortgage. That means you will be paying less interest. For example, if you make a 20% down payment, you will only pay interest on the remaining 80% of the loan. If you put only 5% down, the extra 15% on your loan will accrue interest and you will pay more over the long run.

  1. YOU WILL BE MORE APPEALING TO SELLERS

Chances are, you will be competing with other buyers for the same home. Like the mortgage lender/bank, sellers feel more confident in buyers who are making 20% or larger down payment. They will see you as a buyer who’s financing is more likely to be approved, thus ensuring the sale will go through.

  1. YOU WILL SAVE MONEY BY NOT HAVING TO PURCHASE PRIVATE MORTGAGE INSURANCE

Private Mortgage Insurance (PMI) is an insurance policy that protects the lender if you are unable to pay your mortgage. It comes to you in the form of a monthly fee included in your mortgage payment. It is required for all conforming, conventional loans that have down payments of less than 20%. If you make a down payment of 20% or more, this insurance is not required.

  1. YOU WILL HAVE LOWER MONTHLY PAYMENTS

When you make a 20% down payment it will result in smaller mortgage payments. You are starting off with a smaller overall mortgage and saving the expense of PMI, therefore your monthly payments won’t be as high.

  1. YOU WILL IMMEDIATELY HAVE EQUITY

Putting 20% down means you will already have equity when you move into your new home, which means it will take less time to build up your investment in your home. That will come in handy should you need to get an equity loan or line of credit for home repairs and/or improvements.

While putting 20% down on a home is not a requirement, and you can certainly purchase a house with less down, saving for a 20% down payment may be worth it thanks to the benefits listed above!

If you are in the market to buy or sell a home (or both), let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs! Call them today at 334-834-1500 and check out https://homesforsaleinmontgomeryalabama.com for more information!

Add Comment

Multi-generational Living

Wednesday, August 21, 2024
by The Hat Team

Thanks to rising housing and healthcare costs, many families have begun sharing multigenerational homes over the past few years. A multigenerational home is one where grandparents, parents, and children all live under the same roof.  According to Pew Research, 59.7 million Americans were living this way as of 2021. More people sharing a space may not seem ideal, but it does have its perks; from saving money to being present to care for family members when needed.


Multigenerational living means enough space in homes is needed to provide comfort and privacy for all family members. 

If you are in search of a home for this purpose, here are some things to look for:

  1. ACCESSIBILITY

Even if the elders in the family are getting around easily now, it is important to think ahead to when it might not be so easy for them. Open floor plans are ideal for creating spaces that are easily accessible should someone be in a wheelchair at some point. In addition, look for a home that has at least one main floor bedroom and full bath so that going up and down stairs won’t be a problem in the future.

  1. MAIN FLOOR BEDROOMS

As stated above, it is ideal to have at least one main floor bedroom. But if you can find a home with more than one main floor bedroom, all the better. Having some bedrooms upstairs and some downstairs provides separation and privacy between generations.

  1. ROOMS THAT SERVE DUAL PURPOSES

Keep in mind that it is easy to convert a bedroom into another type of space, but not always possible to convert another space into a bedroom. Bedrooms need windows and a closet. So, when looking for a house, look for one with as many bedrooms as possible so that they can be used for different purposes like a den, playroom or office.

  1. PRIVATE LIVING SPACE FOR EVERYONE

Look for a home large enough and with enough rooms to provide a private living space for each generation. For example, an office could become a den for grandparents, family room for the middle generation and maybe a playroom upstairs for the youngsters.

  1. PRIVATE ENTRANCES

Look for homes that are already set up for multigenerational families. They may have an in-law suite, an apartment over the garage and private entrances for different parts of the home. If you cannot find one already built, consider a renovation of an existing home to add these features.

Whether you find the perfect property, renovate a home, or build one from scratch, remember to consider the needs, privacy and accessibility of all your family members and you will have a home filled with love!

If you are in the market to buy or sell a home (or both), let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs! Call them today at 334-834-1500 and check our https://www.homesforsaleinmontgomeryalabama.com for more information!

Add Comment

Choosing the Right Community for Your Next Home

Wednesday, August 14, 2024
by The Hat Team


When you are searching for a new home, location is one of the most important factors to consider. You might love a house, but if it’s not in the right community, it may not be the right house regardless of how much it appeals to you.  So, before you start scrolling through home listings online, it is smart to have an idea of WHERE you want to live. 

Here are some things to consider when searching for the right neighborhood:

  • You may have heard this saying before: “It’s better to have the worst house in the best neighborhood than the best house in the worst neighborhood”. While nobody really wants to live in the “worst” house anywhere, there is some good logic behind this statement.  If you ever plan to sell your home, its value will be impacted by the surrounding homes in the neighborhood.  For that reason, you will have better resale value if you are surrounded by homes that are similar to yours.  So, it is a good idea to research home values in the neighborhoods that appeal to you.
     
  • How important is convenience to you?  Some people prefer living in more rural areas, but others desire close proximity to things like major interstates, shopping areas, medical facilities, and schools.  Before you start your home search it is important to decide how much convenience matters to you. In addition, you may want to think about the fact that having a home that is convenient to highways and such can have a positive impact on your resale value.
     
  • Are home values rising or falling in the neighborhood? If a neighborhood has home values that are climbing, that is a positive indication that it is a good place to buy.  However, if a neighborhood has stagnant or falling home values, it might not be the best place to look for a home.  Many things can have an impact on home values; for example, if an area is growing with new businesses, the career opportunities involved can lead to rising home values in the area.
     
  • Does the neighborhood have an HOA? (Home Owners Association)?  Some people love an HOA. They appreciate how it protects home values by establishing rules for maintaining the appearance of the homes and neighborhood. They also enjoy perks such as a neighborhood pool and clubhouse, parks, and walking trails.  However, for other people, an HOA is a deal breaker. They do not care for the rules and regulations (and payments) that come with it.  HOA regulations and costs vary from neighborhood to neighborhood, so it is important to research them before you decide to live in a community with an HOA.
  • How safe is the neighborhood?  Safety is important to everyone. Nobody wants to live in a neighborhood that is not safe.  You can research crime statistics for neighborhoods online.  If you are relocating to a new state and you are not familiar with the area, an experienced local Realtor is a great resource to help you determine what areas are safe for you and your family.

There are so many factors involved in the home buying process, but determining the right location is a decision that requires thought and research.  Once you have found the right place, then you can start searching for the right house!

If you are in the market to buy or sell a home (or both), let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs! Call them today at 334-834-1500 and check our https://www.homesforsaleinmontgomeryalabama.com for more information!

Add Comment

How to Make Back to School Lunch Prep a Breeze!

Wednesday, August 7, 2024
by The Hat Team


It’s that time of year again. Back to school. With your children headed back to their classrooms, it is important to maintain a routine. And that includes preparing healthy, nutritious lunches. Curb chaotic mornings by organizing your kitchen in a way that makes lunch prep a breeze! 

The following tips will help:

  • MAKE A LIST

Do not just wing it. By creating a menu of items that you will use for your kids’ lunches, you will not only save time in the mornings (because you will not spend time trying to decide what to pack in their lunch bag), you will also have a handy, dandy shopping list for when you go grocery shopping. Here are some school lunch ideas to get you started. School Lunch Ideas

  • MAKE YOUR FRIDGE LUNCH BOX FRIENDLY

Organize the space in your refrigerator to make lunch prep quick and easy. Clear plastic bins with labels can be used to divide things up by type of food/drink or by day of the week. Experiment with these ideas and find the one that works best for you. Organizing Your Fridge

  • CREATE A STAGING CENTER

Have a designated spot in the kitchen for lunch prep. A basket or bin for lunch bags/boxes will mean that you will never be frantically searching for them in the morning. Have your kids empty them of containers/trash when they get home from school and place them in the designated area. Keep containers handy and make sure you have enough counter space to accommodate everything you will need.

  • HAVE A SUPPLY STATION

Clean out a drawer or cabinet near your staging center and keep all your lunch prep supplies in one spot. Stock up on baggies, containers, napkins, straws, plastic utensils, foil, saran wrap etc.

  • STOCK PANTRY WITH “SCHOOL LUNCH ONLY” ITEMS

Avoid the frustration of going to grab something for your child’s lunch only to discover there is none left. Create an area in your pantry that is only for school lunches. An over-the-door hanging shoe rack is a great space-saver and can be used to store school snacks.

Whether you prepare your children’s lunches, or you have them do it themselves, being organized will make the process easier and quicker.

If you are in the market to buy or sell a home (or both), let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs! Call them today at 334-834-1500 and check our https://www.homesforsaleinmontgomeryalabama.com for more information!

Add Comment

1596 Cobblestone Ct: End-Unit Woodmere Townhouse!

Friday, August 2, 2024
by The Hat Team

1596 Cobblestone Court, Montgomery, AL 36117

MLS# 559891

2 Bedrooms | 2 Baths | 1 Half Baths | 1,364 Square Feet | Woodmere Townhouse 

Play VisualTour

This end-unit Woodmere townhouse is perfect for first time homebuyer and would make a GREAT addition to any investor's rental portfolio. Spacious living and dining room, galley kitchen, and powder room are on the 1st floor. Upstairs are two ample sized bedrooms, each with its own full bath. Rear of property has a covered patio, small yard, and rear parking for 2-3 cars. Convenient to shopping, dining, interstate, and a lovely walking park just across the street!

Marketed by Montgomery AL Realtor, Billy Young, Sandra Nickel Hat Team

Add Comment

Displaying blog entries 1-5 of 5

Syndication

Categories

Archives

   cdpe    crsHat Lady on Zillow