Real Estate Information Archive

Blog

Displaying blog entries 1-4 of 4

4 First-Time Homebuyer Mistakes NOT To Make

Thursday, February 12, 2015
by The Hat Team

First-time homebuyers owe it to themselves to do a lot of research about the finances of buying a home. Here are four first-time homebuyer mistakes to avoid.

oops1. Spending the maximum amount on a mortgage a lender will loan.

Lenders often qualify buyers based on incomes and debt-to-income ratios without considering how much the borrowers spend on other budget items.

Financial experts recommend that consumers decide how much they want to spend each month on housing before meeting with a lender. It’s up to you to know your budget and to not just jump at a mortgage amount that a lender says you can afford.

2. Not getting pre-qualified.

This should be the first step toward homeownership. Many first-time homebuyers wait until they are ready to start house hunting before contacting a lender.

Buyers need to get pre-qualified early enough in the process so that they can make changes if they need to or correct errors on their credit report. Some first-time buyers may need to spend up to a year saving more money, increasing their incomes or cleaning up their credit before making an offer on a home.

3. Underestimating the importance your credit score.

While most consumers know it's important to have a high credit score, not everyone understands how costly a low score can be. Mortgage lending is done with a tier of interest rates and terms based on consumer credit scores. Learn about credit scores the minute you start working. Many websites provide information about how to improve your credit score.

And remember, even after a mortgage approval, you must avoid applying for new credit or taking on new debt, because a second credit check is now often required before settlement.

4. Choosing the wrong mortgage product

Many first-time homebuyers opt for a 30-year fixed-rate mortgage only because it is an industry standard. Alternatives to a 30-year-fixed sometimes make more sense. For example, buyers certain they will be relocated by their companies within five years may find a 5/1 ARM could be a much better mortgage.

Homebuyers eager to build equity in their homes or who are older and want to live mortgage-free in retirement should consider a 15-year fixed-rate loan or even a 10-year mortgage to reach their goals.

Do your homework and don’t jump at a mortgage because it will buy you a bigger home.

Information courtesy of Montgomery AL Realtor Sandra Nickel, Hat Team Realtors.

Add Comment

Real Estate Predictions For 2015

Friday, January 9, 2015
by The Hat Team

A new year has begun and it seems to me that time goes faster and faster each day. The economy is predicted to grow around 3% in 2015 and as you can guess that is good news for the real estate business!  The real estate market holds a few more predictions for 2015…

  • 2015Interest rates are still low compared to what they have been in years passed but Freddie Mac is predicting that interest rates will rise above the low 4% they had dipped to in 2014 to up to 5% by the end of 2015.  Still these interest rates are extremely low so if you are in the market for a new house you should go ahead and plan on making a purchase sometime in the year of 2015. 
  • Prices for houses by the end of 2015 are predicted to be a little higher than in years passed but not so high that they won’t still be affordable.  Home appreciation will likely move to 4.5 percent instead of 9.3 percent as in 2014.  It may be that home appreciation will drop to 3 percent by the end of 2015.
  • If building a home is in your plans then you are apparently on target with a lot of other folks. The building of new homes is expected to rise 20 percent from 2014.  If you don’t find the house that fits your every need this coming year on the market, it will be a great year to build it to your own specifications. 
  • Not as many folks will be refinancing in 2015.  As a matter of fact refinances will drop to make up only about 23 percent of single family orientations this coming year.  In 2014 refinances made up roughly more than half of single family orientations. 
  • It will be a bit easier to get a loan for your new home purchase in 2015 as some of the restrictions that were once placed on new home buyers will be eased.  Funding sources will grow for new home buyers in 2015 as well. 

As you can see there is a lot of good news for the real estate market in 2015.  If you are considering buying a home, don’t wait another day longer…get on the phone and call a qualified Real Estate agent today to get you started in the right direction. 

Information courtesy of Montgomery Realtors Sandra Nickel Hat Team!

Add Comment

9 Steps toPreventing Identity Theft After You Move

Friday, November 7, 2014
by The Hat Team

The previous blog about preventing identity theft during a move dealt primarily with precautionary steps to take from your old residence to thwart clever criminals.  So you’re now safely ensconced in your new  home. And you can breathe a sigh of relief, right?

identity theftActually, no.  Unfortunately, there are clever identity thieves waiting at that end of your relocation, also, and your efforts to outwit them must continue at your new address.  Read on for more advice:

  1. Once you have reached your new home, check to make certain that you have all the important papers and documents you carried with you—and immediately put them in a safe, secured place.
     
  2. Locate and unpack the box containing your electronic possessions—tablet, IPhone, computers, etc.  Account for each one and consider changing your passwords.
     
  3. Carefully look through your bank statements to make certain that there are no unauthorized charges.  You might also think about requesting new credit reports to be sure that your status hasn’t changed significantly.
     
  4. Make certain that you are receiving your mail at your new address.  If you are missing any statements, checks, and the like, report those losses immediately.
     
  5. Contact your old neighbor to verify that he/she is collecting any mail that arrives to the prior address.  Arrange for it to be mailed to you or go by and pick it up, if possible.
     
  6. If you have to cancel any bank accounts or credit cards because of your relocation, close the account, cut up any cards associated with the account, and shred unneeded papers.
     
  7. Replace the locks on immediately- preferably before you even move in, as the old tenants could still have keys.
     
  8. Be diligent and cautious when providing personal information, especially your social security number, to new doctors, organizations, or schools.
     
  9. After the move set up a “safe zone” where you store important papers and can work on private matters away from the eyes of visitors to your new home, repairmen, utility workers, and strangers.

Although you may not be able to protect your identity 100%, you can go a long way in ensuring peace of mind by being proactive, diligent, and aware, especially during a move.

Information provided by Montgomery Realtor Sandra Nickel, Sandra Nickel Hat Team.

Add Comment

Why Own Your Own Home

Thursday, July 31, 2014
by The Hat Team

The majority of articles advocating home ownership center around financial benefits—fixed monthly expenses, tax benefits, accruing equity, etc.—and indeed these incentives do propel many people to purchase a home.  According to two recent polls (Gallop and the Allstate / National Journal survey), however, other more intangible factors also motivate the purchase of a piece of real estate.

  • Speopleense of community:  As a homeowner, you’ll be centered in a strong community of like-minded people, which can be a valuable asset for you and your family.  Homeownership brings a sense of pride in both your home and your community.  Various studies suggest that a higher homeownership rate brings lower crime rates, higher property values, better educated children, and ultimately closer communities.  Investing in a home may also mean investing in your family and your community by getting involved.  Once you own a home, you feel more attached to the area in which you live. You're more interested in what happens in your neighborhood, to the roads, schools, and shopping areas.
     
  • Renewed belief in the American Dream:  Although confidence in that dream has faltered in recent years, the desire to own a home is rebounding, especially among younger buyers and members of diverse ethnic groups.  Pride and family stability are important factors in today’s dream. Your house is the physical manifestation of your years of hard work and financial responsibility. And nothing says “success story” like owning your very own piece of the American dream.
     
  • Higher academic achievement of children:  Consistent findings show that homeownership does have a significant positive impact on educational achievement.  Some studies find that homeownership brings residential stability, and it is this stability that raises educational attainment.  Another asserts that while homeownership raises educational outcomes for children, neighborhood stability further enhances the positive outcome.  Additional research has shown that there is an increased chance of success in many areas for the children of homeowners,
     
  • Freedom to “do your own thing.”  If you own your house, the home improvement store is your oyster! You can paint, remodel, remove, or restyle just about anything in your home to meet your individual needs and/or reflect your tastes and personality.

Owning a home is certainly a wise investment—in so many ways!

Search all Montgomery AL Real Estate And Homes For Sale.

Sandra Nickel and the Hat Team have distinguished themselves as leaders in the Montgomery AL real estate market. Sandra assists buyers looking for Montgomery real estate for sale and aggressively markets Montgomery AL homes for sale. Sandra is also an expert in helping families avoid foreclosure through short sales and is committed to helping families in financial hardship find options. For more information you can visit AvoidForeclosureMontgomery.com.

Interested in buying a bank-owned home? Get bank-owned listings alerts FREE!

You can reach Sandra by filling out the online contact form below or give her a call anytime.

 

Add Comment

Displaying blog entries 1-4 of 4

Syndication

Categories

Archives

   cdpe    crsHat Lady on Zillow