Real Estate Information Archive

The possibility of losing your home to foreclosure is frightening. You likely feel a sense of helplessness and hopelessness. Not only do you have to worry about where you are going to live, but your future credit rating can be ruined as well. However, if you act quickly after getting a foreclosure notice, you can possibly avoid losing your home.

Here are some tips to help you deal with this crucial situation quickly and efficiently:

• If you can, pay the total amount past due on your loan. The lender would much rather have your money than your house, so this should prevent foreclosure if there are no mitigating circumstances. Of course, chances are that if you have received a foreclosure notice it is due to the fact that you don’t have the funds available to get current on your loan. But don’t despair…there are other options.
   
• If making your monthly mortgage payment is beyond your ability, you can attempt to modify the terms of your loan. Depending upon the circumstances, this could mean reducing your monthly payments or interest rate.  You can seek guidance from your lender, or you may be eligible for the government assistance through the Homeowner Affordability and Sustainability Plan (HASP), which will allow you to restructure your mortgage.  The purpose of HASP is to help people who owe more than their home is worth or have more debt on their home than income. Homeowner Affordability and Sustainability Plan
   
• While the goal is to keep your home, foreclosure may be unavoidable. You may want to consider attempting a short sale on your home. This requires permission from your lender. The purpose of the short sale is to sell the home for the amount of money needed to pay what you owe to your lender. If you can’t sell the home for the needed amount, you may be responsible for paying back the remaining balance of the loan.  Short Sale
  
• As a last resort, you may want to consider declaring bankruptcy. It is a huge decision that should not be made lightly because it can have some harsh consequences.  In addition, it may not allow to keep your home, so it is definitely risky. Filing bankruptcy means that all lenders and creditors you have are given a stay on your loans, meaning they cannot collect until your bankruptcy case is settled. However, this stay is temporary. If the foreclosure process has already been started by your lender, they will not be able to repossess your home until all issues have been worked out. You may be able to restructure your debts and create a payment plan that will allow you to keep your home, depending on the type of bankruptcy you file for. But there is also a chance that you might have to sell your home as part of the liquidation of your assets. It is vital that you speak to a financial advisor before going this route.

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://www.homesforsaleinmontgomeryalabama.com for more information!

Photo Credits: facebook, fool.com, moveinphilly.com

Let’s face it, selling and buying a house at the same time can be very overwhelming and usually involves some element of risk. However, it is pretty common for people to have to buy and sell at the same time. Per the National Association of Realtors, 71% of repeat home buyers still owned their previous residences, which means it’s highly likely that most of them were both buyers and sellers.

If you are lucky enough to time it right, you may hit that perfect “sweet spot” where you sell your house, make a profit that can be used for a down payment, and then find your next dream home, in that order. But chances are, things might not go as planned and hoped for.

Let’s look at some common challenges you might face, different avenues that might work better for you, and tips for getting through the process with your mental health intact.

• Financial Issues – Chances are you might not have the amount of cash on hand that it takes to make a down payment on a house unless you sell your current home first. If you have found your new dream home and don’t want to risk losing it while waiting to sell, you have some options. You could do a cash out refinance on your current home, take out a home equity line of credit, or maybe sell some investments. But keep in mind that these options have costs and might not work for everyone.
   
• Logistics – With all the details and decisions that have to be made when both buying and selling a home, the logistics of doing both at the same time can be complicated. You have to think about the timing of the purchase and sale and negotiating with both the sellers of your new home and the buyers of your current home; all while trying to organize and pack for your move. An experienced Realtor is vital to help you navigate this process.
   
• Risk of Losing New Home to Non-Contingent Buyer – Buying and selling at the same time comes with risks, one of which is moving forward with a purchase before you have sold your current home. To minimize this risk, many homeowners choose to make their offer on a house contingent upon the sale of their current home. But this brings about another risk, because there is a possibility that your offer may get turned down in favor of a buyer who has made a non-contingent offer.  At that point you may have to decide whether or not you can remove the contingency, which may not be financially possible.

Now let’s look at some tips to help you navigate the buying-while-selling process:

• Determine Financial Feasibility – It’s time to take a good hard look at your monthly disposable income and to ask yourself these questions:

• Can you afford paying both mortgages?
• How long will you be able to afford doing so?
• Do you have enough available cash for a down payment?
• Will you have enough available for down payment after paying both mortgages for a “worst-case scenario” period of time?

If you are living paycheck to paycheck, buying and selling at the same time is not a good option for you, but if you have a steady, dependable income and low monthly debts, you may be able to get through the process relatively unscathed. Talking to a trusted lender is a good idea at this stage because they can help you determine what you can afford to do.

• Consider a Bridge Loan – If you do not have enough for a down payment, you may want to consider a bridge loan. A bridge loan is a short-term loan that uses the equity from your current home to get the necessary down payment to complete your purchase. But you must keep in mind that this is only an option if you are ok with taking on two mortgage payments for up to six months to a year; the typical term for a bridge loan.
   
• Make Satisfying Offers to Both Seller and Buyer – If the thought of two mortgage payments is too much, as mentioned before, you can make an offer contingent upon selling your current home. With that contingency, your contract states that you won’t lose your earnest money if your house doesn’t sell. This eliminates your financial risk, but weakens your offer. If another buyer makes a cash offer with no contingencies, sellers will go after the cash offer every time. Today’s market of low inventory and high demand means that a contingent offer is not as likely to be accepted. One way you can have a better shot at getting your new house is to offer significant non-refundable earnest money, in hopes that the seller will be willing to wait longer for your current house to sell.
   
• Look For a Cash Buyer – If you’ve already decided to buy your next home and sell your current home later, you definitely will want it to sell as quickly as possible. So, as a seller, a cash sale with no contingencies is the way to go if you can. You may want to seek out an instant homebuyer or a local real estate investment company to initiate a cash sale;  typically a much faster process than a traditional listing process. The downside is that the offers you may receive might be significantly less than what you might get on the open market. If your Realtor can help you find a cash buyer on the open market, all the better!

While the idea of buying and selling at the same time is definitely a little scary, the experienced, professional Realtors on Sandra Nickel's team can help you through the process.

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://www.homesforsaleinmontgomeryalabama.com for more information!

Photo Credits: fincancebuddha.com, thehill.com, yourfundingtree.com

“When you know, you know”. That’s what they say. But not everyone has a “say yes to the dress” moment (or in this case a “say yes to the house” moment) when they are shopping. Some people are more analytical and are not willing to make a big purchase with just a gut feeling. And let’s face it, buying a house is probably the biggest purchase you’re going to make, so it’s important that you know you have the right one. So, how do you know? Well, here are some signs that you have found the right home for you:

• When you enter the home, does it feel like you’ve been embraced in a great big hug? An immediate sense of comfort and safety is a good sign that this might be the right house for you. You may not know for sure until you have completely explored the house to make sure it checks most of the boxes on your “wants and needs” list, but feeling a good vibe when you first walk in is definitely a positive sign!
   
• When you’re walking through the home, do you feel insulted if the Realtor points out flaws in it? This is also a good sign that this might be the home for you. It shows that you already feel possessive about the home…as if it’s already yours. You are willing to overlook the flaws to see the bigger picture. Feeling connected to a home when you haven’t even bought it yet is another sign that it is the right one! Homebuyers: It's Ok to Overlook These 8 Flaws
  
• Does the home fulfill your basic needs? You likely have decided what it is you want in a house and what it is you need. If needs aren’t met, that is usually a deal breaker. So, if a house meets your needs; has the right amount of bedrooms and bathrooms, the layout you want, the neighborhood you want etc., and it also “feels” right, then it probably is right. Even if it’s missing some of your “wants”, they can be added later.
   
• If the first thing you want to do after looking at a house is to text photos of it to your friends and family, chances are you’ve found the one. When you are excited about something, you want to share it! Whether you’ve been looking for months, or it’s the first house you see…that urge to share is a sign that it’s a true gem.
   
• When you decide to stop looking at houses, that a sure sign that you’ve found your home. If you think you’ve found the house you want, but you still want to keep looking - “just in case”, then chances are you are settling and haven’t truly found the right home.  But when you can confidently say, “this is it and I don’t want to look at any more houses”, you have found your home sweet home!
  

If you are in the market to buy or sell a home, 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://www.homesforsaleinmontgomeryalabama.com/ for more info!

Photo Credits: parenting-blog.net, financialavenue.org, smartasset.com

Montgomery AL Home For Sale

840 Terrace Ave, Montgomery AL 36106

MLS# 488789 | 3 Bedrooms | 1 Bath | 1,524 Square Feet | Cloverdale Terrace

Charming and Move-In Ready!

Virtual Tour

A charming move-in ready home located two blocks from Old Cloverdale and one block from ASU! The cozy screened front porch is the perfect spot for morning coffee or cocktail in the evening. Features include a beautiful living room with ornate wood mantle, dining room, lovely kitchen with updated counter tops and back splash that has prepared countless family meals. All three bedrooms have hard wood floors and the family room/den addition has a laundry room closet. You’ll enjoy the lovely back yard for cooking out. This Midtown Montgomery home has been loved and meticulously maintained by the same family for decades. Check it out today!

Marketed by Montgomery AL Realtor Lauren Keen, Sandra Nickel Hat Team.
 

Montgomery AL Home For Sale

736 E Fairview Ave, Montgomery AL 36106

MLS# 491365 | 4  Bedrooms | 4 Baths | 3,465 Square Feet | Cloverdale/Idlewild

Graced By a Majestic Live Oak

Virtual Tour

This elegant late-1920's Cloverdale home in Midtown Montgomery is tucked away behind a majestic old live oak! Grand formal living and dining rooms spill into the open kitchen and family room with volume ceilings. There is a cheery sunroom off the living room. The downstairs master suite includes a study with built-ins, and an updated bath. A guest bedroom with en suite bath rounds out the first floor of this wonderful spacious home. Upstairs there is a wet bar, built-in bench, another master bedroom with study and private bath, and a 4th bedroom also with private bath. There’s plenty of attic storage. Off the kitchen/breakfast room you will find a laundry and large pantry area. Enjoy relaxing out back in the private courtyard patio area. Plenty of parking between the front motor court, rear double driveway and detached two-car garage with workshop space. A front circular driveway provides additional parking, and all parking is accessed off Montezuma, so Fairview traffic is never an issue! Enjoy the ideal location walking distance to parks, dining, and entertaining and just minutes from downtown!

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

Montgomery AL Home For Sale:

1231 Gregory Ave, Montgomery AL 36111

MLS# 490841 | 4 Bedrooms | 3 Baths | 3774 Square Feet | Edgewood

Tucked Away on Quiet Street

Tucked away on a quiet street is this beautiful family home in Edgewood looking for its next family! Unlike the typical ranch, the roof has been raised letting in plenty of bright light and the floor plan has been opened up. The huge eat-in kitchen with tons of cabinets opens onto the den/sunroom. With a formal living room, dining room, huge eat-in kitchen with tons of cabinets, a sunroom/den and family room with a fireplace, you have more than enough room to entertain family and friends in these wonderful indoor living spaces! All of the bedrooms are spacious, with the master having a fireplace and French doors to the patio. The outdoor space tops it off with the large patio and sparkling pool! There is plenty of yard for the kids and puppies to play. Don't miss the tons of storage space with extra hall closets, laundry room and utility room. Come see for yourself today!

Marketed by Montgomery AL Realtor Lauren Keen, Sandra Nickel Hat Team Realtors.

Montgomery AL Home For Sale

2931 Old Farm Road, Montgomery AL 36111

MLS# 469396

3 Bedrooms | 2 Bathrooms | 1,997 | Westminster Townhomes

Virtual Tour

Great brick ONE-LEVEL townhome convenient to everything in Midtown Montgomery! No climbing up and down stairs in this freshly painted move-in ready end unit. If you are downsizing but still want to keep some of your prized antiques or formal furniture, it has a living room, dining room plus a large breakfast room open to a cozy den/family room with real masonry fireplace. There are three spacious bedrooms, and the master even has two walk-in closets! An actual laundry room offers even more storage. A private patio and courtyard lead to two car carport with additional storage. Situated on a corner and behind Compass Bank, so you don't have to deal with "neighbors" nights and weekends and have additional parking for guests. A walled/fenced area with grass is perfect for pets!

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

Nobody wants to be in a situation where a house must be sold quickly, but sometimes circumstances beyond our control occur and suddenly there is a mad rush to get a house on the market and sold pronto. If you find yourself in that situation, don’t despair! I am here to tell you that you CAN sell a house quickly and for the best possible price. The following tips will help you get your house ready inexpensively, and before you know it you will receive an offer and be on the move!

1. HIRE A PROFESSIONAL REALTOR: Seriously. You will be so glad you did! Find a Realtor with a track record of sales that lets you know that she can sell a house quickly. One way to be sure you find the right Realtor is to check TESTIMONIALS. If a Realtor has a lot of happy clients, there is a good chance you will be happy too! Now is not the time to hire someone because she’s the friend of a friend, or he went to the same college as you. Do your research and find someone who will truly make this process as stress free as possible for you while successfully marketing and selling your home.
    
2. RENT A STORAGE UNIT: You don’t have a lot of time to declutter your home, so you need to be smart about it. Shoving extraneous items in your closets is not a solution because potential buyers walking through your home will be looking in said closets. A better option is a storage unit that can house anything that you need to get out of the house while it is on the market. The best rule of thumb is that if you don’t use something daily, store it. Keep in mind that if you rent a portable storage unit, you can have your things transported to your new home once you have moved.
   
3. USE A PROFESSIONAL STAGER AND PHOTOGRAPHER:  It’s always important that potential buyers get a stellar first impression of your home, but even more vital when you are in a hurry to sell. Experienced home stagers are able to look at your house and see it from a buyer’s perspective. They know how to emphasize the positive and down play the negative. Equally important are your listing photos. The more photos you have, the more likely your property will be viewed online. If hiring a professional photographer is not in the budget, then do your homework and be sure to take the best photos possible. Real Estate Photography Tips
    
4. TAKE THE “YOU” OUT OF YOUR HOME: Potential buyers want to look at a home and imagine it as their own. It’s hard to do that if they are surrounded by your family photos and personal treasures. Let’s face it, your little one’s art project may be a “Mona Lisa” to you, but might just be distracting to a buyer.  Keep it simple with the art…you want them to see the house and how it could be their home.
    
5. BRING ON THE LIGHT: A poorly lit home comes across drab and dreary. Who wants that? Brighten things up with both natural and artificial light. When your house is going to be shown, make sure window coverings are open and turn on lights in all part of the house. Consider new paint if any of your rooms are dark colors. A fresh coat of a light, neutral shade will not only make a room feel brighter, but bigger as well.
    
6. MAKE SMALL HOME IMPROVEMENTS: Now is not the time to start a major renovation. Focus on small improvements in rooms like the kitchen and bathroom, where return on investment is most likely to occur. Small, inexpensive touches such as a new shower curtain or new hand towels can give a room a boost. And if you have old, run down appliances, spending a little money to get shiny new ones will be well worthwhile!
   
7. SPRUCE UP CURB APPEAL: First impressions matter…A LOT. When a potential buyer pulls up to your house, it is vital that they like what they see on the outside, or they might not ever make it inside. Make sure your yard is tidy by mowing and edging the lawn, trimming up shrubs and putting down new mulch.  Use a pressure washer to clean the exterior of your home along with your driveway and sidewalks. Put a fresh coat of paint on your front door and create a welcoming aesthetic on your front porch with some pretty flowers. Remember…you can’t sell your house if people don’t see it. A lovely exterior indicates an equally lovely interior.
    
8. SHARE, SHARE, SHARE: Take part in promoting your home. Your Realtor will take care of listing it, but you can use your own social media to get the word out too! Don’t be shy. Send your listing to as many people as you can. You never know who might know someone, who knows someone, who knows someone that is looking for a home where you live!

If you are in the market to buy or sell a home, 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://www.homesforsaleinmontgomeryalabama.com/ for more info! 

Photo Credits: forbes.com, interiorfun.com, diynetwork.com

Montgomery AL Home For Sale:

700 S Marquette Dr, Montgomery AL 36109

MLS# 490842 | 3 Bedrooms | 2 Baths | 1,550 Square Feet | Mayfair

Pride of Ownership Abounds!

Virtual Tour

Welcome to this wonderful move-in ready home in Mayfair! Pride of ownership shows throughout this immaculately maintained home. The unexpected huge updated kitchen that opens into the cozy family room/den is a nice surprise and makes this ranch feel a lot more open. The formal living room/dining room and three bedrooms have hard wood floors. The laundry room is conveniently located in the master bedroom. The 4th bedroom is off the den and currently being used for storage. Relax in the evenings on the large covered back patio and don't miss the garden that's already planted! Located just minutes from I-85, downtown and just down the road from the VA Hospital. Check it out today!

Marketed by Montgomery AL Realtor Lauren Keen, Sandra Nickel Hat Team.

There was a time when there were three mortgage loan types available to home buyers. You could get a Fixed-Rate Conventional Mortgage, an FHA Loan or a VA Loan. But times, they are a changing.  Now there is a vast array of mortgage loan types to be had!  Let’s learn about some of them, and the differences between them.

We will start with the Most Popular:

FIXED-RATE MORTGAGES - These loans come in 5-year, 10-year, 15-year, 20-year, 30-year, 40-year, and even 50-year timeframes and they are all completely amortized.

FHA LOANS - FHA Mortgage Loan types are insured by the government through mortgage insurance that is funded into the loan. This is an ideal loan type for first-time buyers because it has minimal down payment requirements and does not rely on credit scores for approval.

VA LOANS - VA loans are government loans available to veterans who have served in the Armed Forces for the United States. They are also available to spouses of deceased veterans in some cases.  The requirements depend upon the years of service and whether or not the veteran was honorably discharged or not. The primary benefit of a VA Loan is that the borrower does not have to come up with a down payment. The loan is guaranteed by the Department of Veterans Affairs, but funded by a conventional lender.

USDA LOANS - USDA Loans are offered through the U.S. Department of Agriculture for eligible home buyers who want to buy a rural property.  They often come with no down payment required and can sometimes be more affordable than an FHA loan.

INTEREST-ONLY MORTGAGE TYPES – This name is a bit misleading, as these loans are not truly interest-only in terms of the borrower only paying interest on the loan.  The reality of the interest-only mortgage is that it offers an option to make an interest-only payment. This option is only available for a set period of time.  However, there are some junior mortgages that are interest-only and necessitate a balloon payment in the amount of the original loan balance at maturity.

Now, let’s take a look at HYBRID LOANS:

ADJUSTABLE-RATE MORTGAGE TYPES -  There are various types of adjustable-rate mortgages (ARMS). They can fluctuate monthly, semi-annually, annually, or remain fixed for a set amount of time before they adjust.

OPTION ARM MORTGAGE TYPES – These types of loans are complicated. Like your standard ARM, the interest rate on them will fluctuate periodically, but in these loans, the borrowers can choose from various payment options and index rates.  WARNING: The minimum payment option can be dangerous as it can result in negative amortization.

COMBO/PIGGYBACK MORTGAGE LOAN TYPES – This is a type of financing that consists of TWO loans: a first mortgage and a second mortgage. They can be adjustable-rate, fixed-rate or a combination of both.  This is option is used by borrowers when the down payment is less than 20% in order to avoid paying private mortgage insurance.

MORTGAGE BUYDOWNS – A mortgage buy down is a choice for borrowers who want to pay a lower interest rate in the beginning of their loan.  Basically, fees are paid to lower the rate, thus the name buydown. Buyers, sellers, or lenders can buy down the interest rate for the borrower.

Finally, Specialty Mortgage Loan Types:

BRIDGE LOANS – Bridge loans are used when a seller’s home has not yet sold and the seller wants to borrow equity to buy another home.  The seller’s existing home is used as collateral for the bridge loan.

STREAMLINED-K MORTGAGE LOANS – FHA has a program that provides money to a borrower to make home improvements by rolling the funds into one loan. This is similar to the 203(K) Loan Program, but involves less paper work and is easier to get than a 203(K).

EQUITY MORTGAGE LOAN TYPES – Equity loans are second, or junior to the existing first mortgage. Borrowers take out equity loans to get access to cash. The loans can be adjustable, fixed, or a line of credit that allows the borrower to obtain funds on an as needed basis.

SHAERED APPRECIATION MORTGAGES – These are rare in the United States, but shared appreciation mortgages allow home buyers to share part of their property’s value gains with an investor or lender. The guaranteed return to the lender means that the borrower will get a lower interest rate and lower monthly payment on the loan.

REVERSE MORTGAGE – This type of mortgage is for people over the age of 62 who have enough equity in their homes.  Instead of making monthly payments to the lender, the lender makes monthly payments to the borrower for the duration of their residence in the home. Reverse mortgages can be done with either fixed or adjustable interest rates. Please get advice from a trusted advisor before considering a reverse mortgage!

If you are in the market to buy or sell a home, 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://www.homesforsaleinmontgomeryalabama.com/ for more info!