Susquehanna Valley Real Estate BlogRecently posted or modified blog postshttps://www.parealestateresources.com/blog/Copyright PaRealEstateResources.com2023-07-12T10:19:41-07:00tag:parealestateresources.com,2012-09-20:13134Unveiling Hidden Treasures: The Art of Property InspectionsAre you on the hunt for your dream home? Picture yourself stepping through the doors of a house that captures your imagination. It's easy to get caught up in the excitement of finding the perfect home, but before you take the leap, there's a crucial question you need to ask: "Are you missing hidden treasures in your dream home?" Luckily, the answer lies within the realm of property inspections. Join us as we delve into the importance, types, and common issues surrounding property inspections, ensuring that you unearth the true potential of your future home.
1. Unveiling the Importance of Property Inspections
Appearances can be deceiving, especially in the world of real estate. That stunning house you've fallen in love with might conceal hidden issues that could turn your dream into a nightmare. This is where property inspections come into play. By conducting a thorough inspection, you gain valuable insight into the property's condition, maintenance needs, and overall value. Armed with this knowledge, you can make an informed decision and secure a home that matches your expectations.
2. Types of Property Inspections
To ensure a comprehensive assessment, property inspections come in various forms, each focusing on specific aspects of the home. Let's explore some common types:
a) General Home Inspection: This type of inspection covers the overall condition of the property, including structural integrity, electrical systems, plumbing, HVAC, and more.
b) Pest and Termite Inspection: By uncovering any pest infestations or termite damage, this inspection safeguards your investment and ensures a safe living environment.
c) Environmental Inspections: These inspections identify potential environmental hazards such as asbestos, lead-based paint, radon, mold, or soil contamination.
d) Roof Inspection: A specialized inspection that evaluates the roof's condition, identifying leaks, damage, or the need for repairs.
e) Pool and Spa Inspection: For homes with pools or spas, this inspection ensures they are in good working order and comply with safety regulations.
3. Common Issues Uncovered During Inspections
During property inspections, a range of issues may come to light, which could impact your decision or require negotiation. Let's explore some common problems to be aware of:
a) Structural Problems: Foundation cracks, roof damage, or sagging floors could signal significant structural issues that demand attention.
b) Electrical and Plumbing Issues: Faulty wiring, outdated electrical panels, or plumbing leaks can affect the safety and functionality of your home.
c) HVAC System Malfunctions: An HVAC system in disrepair can impact your comfort and lead to higher energy costs.
d) Water Damage: The presence of leaks, mold, or water stains could indicate water intrusion or inadequate drainage.
e) Pest Infestations: Termite damage, rodent infestations, or insect problems can cause extensive damage to your property's structure.
4. Hiring a Qualified Inspector
To ensure a thorough and accurate inspection, it's essential to engage a qualified and experienced inspector. Look for certifications, licenses, and affiliations with reputable inspection associations. Request references and inquire about their inspection process to gauge their expertise and attention to detail.
In conclusion, property inspections play a vital role in the home buying process. Don't overlook the potential hidden treasures within your dream home. With the guidance of a qualified inspector, you can uncover issues, negotiate effectively, and protect your investment. Embrace the journey of discovery and set yourself on the path to a successful real estate venture.
Don't let hidden treasures slip through your fingers—unleash the power of property inspections today!
[Word Count: 622]2023-07-14T04:00:00-07:002023-07-12T10:19:41-07:00Paul Chasetag:parealestateresources.com,2012-09-20:13162Crucial Steps Unveiled: Mastering Property Inspections for Home Buyers - Types, Tips, and Pitfalls!Property inspections are a vital step in the home buying process, enabling buyers to make informed decisions and avoid potential issues down the line. In this comprehensive guide, I'll delve into the world of property inspections, exploring their importance, various types, essential tips, and common pitfalls to watch out for. Whether you're a first-time home buyer or a seasoned investor, mastering property inspections is key to securing your dream home. Let's dive in!
Before we explore the intricacies of property inspections, it's crucial to understand their significance. A property inspection is a thorough examination of a home's condition, identifying any existing or potential issues. It provides buyers with an objective assessment of the property's structural integrity, safety, and overall condition.
Property inspections come in different forms, each serving a specific purpose. Let's explore some of the most common types:
- General Inspections: These comprehensive inspections cover all major components of the property, including the foundation, roof, plumbing, electrical systems, HVAC, and more.
- Structural Inspections: Focused primarily on the property's structural elements, such as the foundation, walls, floors, and roof, these inspections assess the integrity and stability of the building.
- Electrical Inspections: These inspections evaluate the electrical systems, wiring, outlets, and fixtures to ensure they meet safety standards and function properly.
- Plumbing Inspections: Plumbing inspections examine the pipes, drains, faucets, and water heating systems, identifying leaks, blockages, or potential plumbing issues.
- Well Inspection: The inspector will collect a water sample and send it to the lab. They will test the water for hardness, chemicals and lead. They'll also test for flow rate.
- Septic Systems: Septic systems are a big ticket item to replace and you want to make sure yours is working fine. The inspector will examine the tank and other areas to make it's working the way it was designed.
A comprehensive property inspection plays a vital role in safeguarding your investment. Here's why it's crucial:
- Uncovering Hidden Issues: An inspection helps reveal hidden problems that may not be apparent during a casual walkthrough. From structural damage to hidden mold or pest infestations, inspections expose issues that could impact your decision.
- Negotiating Power: Armed with inspection findings, buyers can negotiate repairs or price adjustments with sellers, ensuring they are not burdened with significant repair costs.
- Peace of Mind: A thorough inspection provides peace of mind, allowing you to proceed with confidence, knowing you are making an informed decision about the property's condition.
To make the most of your property inspection, it's essential to be prepared:
- Gather Necessary Documents: Collect important documents related to the property, such as disclosure statements, permits, and previous inspection reports. This information helps inspectors gain a better understanding of the property's history.
- Coordinate with the Seller or Real Estate Agent: Communicate with the seller or your real estate agent to arrange a convenient time for the inspection and ensure access to all areas of the property.
- Attend the Inspection: Whenever possible, attend the inspection in person. It provides an opportunity to ask questions, gain insights, and better understand the inspector's findings.\
During property inspections, several common issues may come to light. Here are some to watch out for:
- Structural Problems: Cracks in the foundation, sagging floors, or compromised walls can be indications of structural issues that require attention.
- Plumbing and Drainage Issues: Leaky pipes, clogged drains, or inadequate water pressure are common plumbing problems that might need fixing.
- Electrical System Deficiencies: Outdated wiring, faulty circuits, or improper installations pose safety hazards and may require professional attention.
- Roofing Concerns: Damaged shingles, leaks, or poor insulation can lead to costly repairs or compromised energy efficiency.
- Pest Infestations: Inspections may uncover signs of termites, rodents, or other pests that can cause extensive damage to the property.
After the inspection, you'll receive a detailed report outlining the findings. Here's how to make the most of it:
- Understand the Severity: The report will likely categorize issues as minor, moderate, or major. Pay close attention to the severity of each problem and consult with professionals if needed.
- Prioritize Repairs: Focus on addressing major issues that pose safety risks or have the potential to escalate into more significant problems if left unattended.
- Negotiating Repairs or Adjustments: Use the inspection report as a bargaining tool to negotiate repairs or price adjustments with the seller. Your real estate agent can guide you through this process.
While some issues may be manageable, others may raise red flags that warrant reevaluation or even walking away from the deal. Consider the following factors:
- Costly Repairs: If the inspection reveals substantial repair costs that exceed your budget or expectations, it may be wise to reconsider the purchase.
- Safety Hazards: Issues such as severe mold infestations, foundation instability, or electrical hazards could compromise your safety and future well-being in the property.
To help you navigate the property inspection process successfully, we've gathered some expert advice:
- Hire a Qualified Inspector: Choose a reputable and experienced inspector with relevant certifications and a solid track record in property inspections.
- Ask Questions: Don't hesitate to ask the inspector questions during the process. They can provide valuable insights and clarification on any concerns.
- Consider Additional Inspections: Depending on the property's characteristics, consider specialized inspections like mold, termite, or radon testing for a comprehensive assessment.
Property inspections are an essential step in the home buying process, offering buyers peace of mind and protection against unexpected issues. By understanding the different types of inspections, preparing effectively, and leveraging inspection reports, you can navigate the process with confidence. Remember, a thorough inspection is an investment in your future home's well-being. Happy house hunting!
Remember to expand upon each section, provide detailed explanations, and include relevant examples and anecdotes to engage your readers and deliver a comprehensive guide to mastering property inspections for home buyers.2023-07-14T03:56:00-07:002023-07-12T07:39:32-07:00Paul Chasetag:parealestateresources.com,2012-09-20:13133Unleashing the Power of Presentation, Security and Buyer Attraction<a href="https://youtu.be/eZ8wUlGiE28">Visit the Youtube Channel</a>
Introduction
Selling a home can be a complex and challenging process. As a home seller, you want to ensure that you present your property in the best possible light to attract potential buyers. An open house is a fantastic opportunity to showcase your home's unique features and create a lasting impression on potential buyers. In this blog post, we will discuss the importance of presentation, security, and strategies to attract buyers during an open house.
1. Presentation is Key
First impressions matter, and when it comes to selling your home, presentation plays a crucial role in attracting buyers. Here are a few tips to help you make the most of your open house:
a. Curb Appeal: Enhance the exterior of your home by mowing the lawn, trimming hedges, and adding fresh flowers or potted plants near the entrance. A well-maintained exterior creates a positive impression right from the start.
b. Declutter and Depersonalize: Remove any excess clutter, personal items, and family photos. Buyers need to envision themselves living in the space, so create a neutral environment that allows them to visualize their own style and preferences.
c. Clean and Stage: A clean and organized home is more inviting to potential buyers. Consider hiring professional cleaners to deep clean your home before the open house. Additionally, staging your home with tasteful furniture arrangements and appealing decor can help buyers visualize the potential of each room.
d. Pay Attention to Details: Make sure all lights are working, replace any burnt-out bulbs, and fix any minor repairs. Small details can make a big difference in how buyers perceive the overall condition of your home.
2. Prioritize Security
While showcasing your home's features is important, it's equally crucial to prioritize security during an open house. Here are a few steps to consider:
a. Secure Valuables: Store any valuable items, such as jewelry, electronics, or important documents, in a safe and secure location. It's best to lock away these items or take them off-site during the open house to ensure peace of mind.
b. Monitor Visitors: Keep track of visitors by asking them to sign in and provide their contact information. This step not only allows you to follow up with potential buyers but also adds an extra layer of security by knowing who was in your home.
c. Limit Access: During the open house, restrict access to certain areas of your home that you feel are private or could pose a security risk. This will help you maintain control and safeguard your personal belongings.
3. Attracting Buyers
In addition to presentation and security, attracting buyers to your open house is vital for a successful sale. Here are a few strategies to create interest and draw in potential buyers:
a. Marketing and Advertising: Utilize both traditional and digital marketing channels to promote your open house. Online listings, social media platforms, local newspapers, and word-of-mouth are all effective ways to reach a wide audience.
b. Timing and Scheduling: Choose a time for your open house that maximizes foot traffic and visibility. Weekends or evenings when potential buyers are more likely to be available are ideal. Consider coordinating with local real estate agents to leverage their existing networks and contacts.
c. Enhance the Experience: Offer refreshments or light snacks during the open house to create a warm and welcoming atmosphere. You can also provide printed brochures or flyers highlighting the property's unique features and any recent renovations.
d. Engage with Visitors: Be available during the open house to answer any questions potential buyers may have. Engage in conversation, provide information about the neighborhood, nearby amenities, and the advantages of your home's location.
Conclusion
In summary, a well-executed open house can significantly impact the success of selling your home. By prioritizing presentation, security, and employing strategies to attract buyers, you increase the chances of receiving competitive offers and finding the right buyer for your property. Remember, creating a positive and memorable experience for potential buyers can make all the difference in securing a successful sale.2023-07-13T04:00:00-07:002023-07-08T18:41:59-07:00Paul Chasetag:parealestateresources.com,2012-09-20:13091Home buying Secrets Revealed: 7 Strategies to Find Hidden Gems and Decode Listing Details! Finding hidden gems and understanding key listing details requires a keen eye and careful analysis. Here are some tips to help homebuyers in their search:
1. Expand your search parameters: Don't limit yourself to the most popular or heavily advertised properties. Explore different neighborhoods, consider properties that have been on the market for a longer time, and look beyond the first few pages of search results. Hidden gems can often be found by thinking outside the box.
2. Study listing descriptions and photos: Pay close attention to the details provided in the listing description. Look for keywords that indicate unique features or potential value, such as "updated kitchen," "spacious backyard," or "recently renovated." Examine the photos carefully, as they can offer insights into the property's condition, layout, and potential.
3. Analyze property history: Research the property's history, including previous sale prices and any major renovations or improvements. This information can help you understand its market value and potential resale value.
4. Consider location and neighborhood: A property may have hidden potential if it is located in an up-and-coming neighborhood or an area undergoing revitalization. Look for signs of positive development, such as new businesses, schools, or infrastructure projects, which can contribute to increased property values over time.
5. Consult with a knowledgeable real estate agent: Experienced real estate agents are familiar with the local market and can provide valuable insights. They may have access to off-market or pocket listings that are not publicly advertised. Share your criteria and preferences with them, and they can help you identify hidden gems that meet your needs.
6. Attend open houses and showings: Take advantage of open houses and showings to explore properties in person. This allows you to assess the property beyond what is shown in the listing photos. Look for unique architectural features, hidden potential for renovations or expansions, and any standout qualities that make the property special.
7. Seek expert advice: Consider consulting with professionals such as home inspectors, contractors, or architects. They can provide valuable insights into a property's condition, potential renovations, and associated costs. Their expertise can help you identify hidden gems that may require some work but have great potential.
Remember, finding hidden gems requires patience, thorough research, and careful evaluation. By combining these strategies and seeking expert advice, you can increase your chances of discovering a property that surpasses your expectations and becomes your dream home.2023-07-13T04:00:00-07:002023-07-07T08:49:09-07:00Paul Chasetag:parealestateresources.com,2012-09-20:13112Building Your Dream Team: A Guide for Real Estate Investorshttps://youtu.be/MUoJ4oZj-B8
Real estate investment can be a lucrative endeavor, but success often hinges on having the right team in place. As an investor, you need reliable and skilled professionals by your side to help you find profitable deals, manage properties effectively, and handle renovations and repairs. In this blog post, we'll explore how real estate investors can build a winning team consisting of finding agents, contractors, and property managers. By assembling a competent and dedicated team, you'll enhance your chances of maximizing your real estate investments and achieving long-term success.
1. Finding Agents:
Finding the right properties at the right prices is crucial for real estate investors. A finding agent, also known as a real estate agent or broker, can play a vital role in your team. Here are some steps to help you select and work effectively with finding agents:
a. Research and interview: Look for agents with expertise in the local market and experience in working with investors. Conduct interviews to understand their knowledge, track record, and communication style.
b. Align on investment goals: Clearly communicate your investment goals and criteria to your finding agents. This ensures they understand what you're looking for and can narrow down the options accordingly.
c. Regular communication: Maintain open lines of communication with your finding agents. Provide feedback on properties they present and keep them updated on any changes in your investment strategy.
d. Networking: Encourage finding agents to network and keep an eye out for off-market deals, which can offer better opportunities for investors.
2. Contractors:
Renovating and repairing properties is often an essential part of real estate investing. Finding reliable and skilled contractors is crucial to ensure quality work within budget and timelines. Consider the following when building your contractor team:
a. Referrals and recommendations: Seek referrals from fellow investors or finding agents who have experience working with reliable contractors. Check references and review past projects to assess their work quality.
b. Obtain multiple bids: Request detailed bids from different contractors for each project. Compare their pricing, timelines, and proposed scope of work to make an informed decision.
c. Clear contracts and agreements: Clearly define project specifications, timelines, payment terms, and any penalties for delays or subpar work in written contracts. This helps prevent misunderstandings and protects your interests.
d. Regular site visits and progress updates: Maintain a proactive approach by visiting the project site regularly and communicating with contractors to ensure the work progresses smoothly.
3. Property Managers:
Once you acquire properties, effective property management is crucial for optimizing rental income and maintaining property value. Building a reliable property management team involves the following steps:
a. Screening and due diligence: Thoroughly vet potential property management companies or individual property managers. Look for experience in managing similar properties, responsiveness, and a solid track record.
b. Clearly define responsibilities: Establish clear expectations regarding rent collection, maintenance, tenant screening, lease agreements, and accounting practices. Ensure the property manager aligns with your investment goals.
c. Regular reporting: Request regular reports on property performance, including occupancy rates, rental income, maintenance expenses, and any issues encountered. This helps you stay informed and make informed decisions.
d. Open communication: Maintain open lines of communication with your property manager to address any concerns promptly and foster a strong working relationship.
Conclusion:
Building a winning team of finding agents, contractors, and property managers is essential for real estate investors seeking success in their ventures. By selecting skilled professionals who understand your goals and communicate effectively, you can streamline your investment process, mitigate risks, and maximize returns. Remember to invest time and effort in building and nurturing these relationships, as a strong team can provide the necessary support and expertise to thrive in the dynamic world of real estate investing.2023-07-12T04:00:00-07:002023-07-07T06:53:11-07:00Paul Chasetag:parealestateresources.com,2012-09-20:13079The Vital Role of Air Conditioning Maintenance: Keeping Your Cool All Year Round<a href="https://youtu.be/HewEFO-1gcY">Click Here to Watch the Video</a>
As the sweltering heat of summer descends upon us, our reliance on air conditioning systems becomes increasingly evident. The cool comfort they provide is truly a blessing, making scorching days more bearable. However, to ensure optimal performance and longevity of these systems, regular maintenance is essential. In this article, we will delve into the significance of maintaining your air conditioning system and provide a comprehensive guide on how to do it effectively.
Importance of Air Conditioning Maintenance
1. Enhanced Energy Efficiency: Regular maintenance ensures that your air conditioning system operates at peak performance, promoting energy efficiency. Clean filters, well-lubricated parts, and optimal refrigerant levels help your system run smoothly, reducing energy consumption and utility bills.
2. Prolonged Lifespan: Neglecting maintenance can lead to the accumulation of dust, dirt, and debris within your air conditioning system, which can hamper its performance and result in unnecessary wear and tear. Routine maintenance, including cleaning and inspections, can extend the lifespan of your unit, saving you from costly replacements.
3. Improved Indoor Air Quality: Air conditioning systems play a vital role in maintaining good indoor air quality. Regular maintenance helps remove contaminants from the air, such as dust, pollen, and allergens, improving the overall health and well-being of your household.
4. Cost Savings: A well-maintained air conditioning system is less likely to experience major breakdowns and malfunctions. By catching minor issues early on during routine maintenance, you can prevent them from escalating into more significant and expensive problems down the line.
5. Optimal Performance: Nothing is worse than your air conditioning system failing you on the hottest day of the year. Regular maintenance ensures that your system performs optimally, delivering the cooling comfort you expect, even during the most scorching summers.
Regular air conditioning maintenance is key to enjoying a comfortable, efficient, and reliable cooling experience. By following the suggested maintenance tasks and scheduling professional inspections, you can ensure that your air conditioning system remains in top-notch condition, providing cool relief during the hottest months and prolonging its lifespan. Take the proactive steps necessary to maintain your air conditioning system today, and you'll reap the benefits for years to come.2023-07-11T04:00:00-07:002023-07-08T18:34:38-07:00Paul Chasetag:parealestateresources.com,2012-09-20:13076Understanding the Difference Between Mortgage Pre-Qualification and Pre-Approval<a href="https://youtu.be/ZEloHKgBRRY">Watch the Video</a>
When it comes to securing a mortgage, understanding the terminology is crucial. Two common terms you might come across during your home-buying process are "mortgage pre-qualification" and "pre-approval." While they may sound similar, they serve different purposes and have distinct implications for prospective homebuyers. In this blog post, we'll unravel the mystery behind these terms and clarify their significance in the mortgage application process.
What is Mortgage Pre-Qualification?
Mortgage pre-qualification is an initial step in the mortgage application process. It involves a basic assessment of your financial situation based on the information you provide to a lender. This preliminary evaluation gives you a rough estimate of the loan amount you may qualify for, helping you set a budget for your home search.
To obtain a mortgage pre-qualification, you typically provide details about your income, assets, debts, and credit score. However, it's important to note that pre-qualification does not guarantee loan approval, as it is based on the information you provide without any verification.
2. What is Mortgage Pre-Approval?
Mortgage pre-approval is a more thorough evaluation of your financial standing. It involves submitting an official mortgage application and supporting documents to a lender. The lender will then conduct a comprehensive review of your financial history, creditworthiness, and employment status.
Pre-approval gives you a stronger position when making an offer on a house, as it indicates to sellers that you are a serious and qualified buyer. It involves a credit check, income verification, and assessment of your debt-to-income ratio. The lender will issue a pre-approval letter stating the loan amount you are eligible for, which helps streamline the home-buying process.
3. Key Differences between Pre-Qualification and Pre-Approval:
a. Reliability: Pre-qualification provides a basic estimate based on the information you provide, while pre-approval is a more rigorous process involving documentation and verification.
b. Credibility: Pre-approval demonstrates to sellers that you have undergone a comprehensive financial evaluation and are likely to secure a mortgage, increasing your credibility as a buyer.
c. Accuracy: Pre-qualification is an initial estimate and may not reflect the final loan amount or terms, whereas pre-approval offers a more accurate picture of what you can expect.
4. Which one should you choose?
The decision between mortgage pre-qualification and pre-approval depends on your unique circumstances. If you're at an early stage of your home search and want a rough idea of your budget, pre-qualification can be a helpful starting point. However, if you're serious about purchasing a property and want to strengthen your offer, pre-approval is the way to go.
Keep in mind that pre-approval typically has a limited validity period (usually around 60-90 days), so it's crucial to time it strategically to align with your home-buying plans.
In the world of mortgages, understanding the difference between pre-qualification and pre-approval is vital for making informed decisions. Pre-qualification offers a rough estimate, while pre-approval provides a more accurate and reliable assessment of your borrowing capacity. By choosing the right option based on your circumstances, you can streamline your home-buying journey and increase your chances of securing a mortgage that suits your needs. Remember, consulting with a mortgage professional can provide further guidance tailored to your specific situation.2023-07-10T04:00:00-07:002023-07-08T18:33:22-07:00Paul Chasetag:parealestateresources.com,2012-09-20:13120Maximizing Your Open House: Presentation, Security, and Attracting Potential Buyers Selling a home can be a complex and challenging process. As a home seller, you want to ensure that you present your property in the best possible light to attract potential buyers. An open house is a fantastic opportunity to showcase your home's unique features and create a lasting impression on potential buyers. In this blog post, we will discuss the importance of presentation, security, and strategies to attract buyers during an open house.
1. Presentation is Key
First impressions matter, and when it comes to selling your home, presentation plays a crucial role in attracting buyers. Here are a few tips to help you make the most of your open house:
a. Curb Appeal: Enhance the exterior of your home by mowing the lawn, trimming hedges, and adding fresh flowers or potted plants near the entrance. A well-maintained exterior creates a positive impression right from the start.
b. Declutter and Depersonalize: Remove any excess clutter, personal items, and family photos. Buyers need to envision themselves living in the space, so create a neutral environment that allows them to visualize their own style and preferences.
c. Clean and Stage: A clean and organized home is more inviting to potential buyers. Consider hiring professional cleaners to deep clean your home before the open house. Additionally, staging your home with tasteful furniture arrangements and appealing decor can help buyers visualize the potential of each room.
d. Pay Attention to Details: Make sure all lights are working, replace any burnt-out bulbs, and fix any minor repairs. Small details can make a big difference in how buyers perceive the overall condition of your home.
2. Prioritize Security
While showcasing your home's features is important, it's equally crucial to prioritize security during an open house. Here are a few steps to consider:
a. Secure Valuables: Store any valuable items, such as jewelry, electronics, or important documents, in a safe and secure location. It's best to lock away these items or take them off-site during the open house to ensure peace of mind.
b. Monitor Visitors: Keep track of visitors by asking them to sign in and provide their contact information. This step not only allows you to follow up with potential buyers but also adds an extra layer of security by knowing who was in your home.
c. Limit Access: During the open house, restrict access to certain areas of your home that you feel are private or could pose a security risk. This will help you maintain control and safeguard your personal belongings.
3. Attracting Buyers
In addition to presentation and security, attracting buyers to your open house is vital for a successful sale. Here are a few strategies to create interest and draw in potential buyers:
a. Marketing and Advertising: Utilize both traditional and digital marketing channels to promote your open house. Online listings, social media platforms, local newspapers, and word-of-mouth are all effective ways to reach a wide audience.
b. Timing and Scheduling: Choose a time for your open house that maximizes foot traffic and visibility. Weekends or evenings when potential buyers are more likely to be available are ideal. Consider coordinating with local real estate agents to leverage their existing networks and contacts.
c. Enhance the Experience: Offer refreshments or light snacks during the open house to create a warm and welcoming atmosphere. You can also provide printed brochures or flyers highlighting the property's unique features and any recent renovations.
d. Engage with Visitors: Be available during the open house to answer any questions potential buyers may have. Engage in conversation, provide information about the neighborhood, nearby amenities, and the advantages of your home's location.
Conclusion
In summary, a well-executed open house can significantly impact the success of selling your home. By prioritizing presentation, security, and employing strategies to attract buyers, you increase the chances of receiving competitive offers and finding the right buyer for your property. Remember, creating a positive and memorable experience for potential buyers can make all the difference in securing a successful sale.2023-07-07T08:38:45-07:002023-07-07T08:46:36-07:00Paul Chasetag:parealestateresources.com,2012-09-20:130376 Overlooked Things Home Owners Need To Do To Prepare For Storms
When it comes to maintaining your home, it's easy to focus on interior upkeep while neglecting the exterior. However, one crucial aspect that often goes unnoticed is tree maintenance, especially when it comes to trimming branches. Neglected trees with overgrown branches can pose significant risks during storms, potentially causing damage to your property. In this blog post, we will discuss the importance of keeping tree branches trimmed and provide valuable tips to help homeowners safeguard their homes during stormy weather.
1. Understand the Importance of Tree Maintenance:
Trees are a beautiful addition to any property, providing shade, enhancing curb appeal, and offering a haven for wildlife. However, when storms hit, overgrown branches can become hazardous. Heavy winds can cause these branches to break and potentially damage your home, power lines, vehicles, or even injure people. Regular tree maintenance is crucial to minimize such risks and protect your property.
2. Identify Potential Risks:
The first step is to assess your property and identify trees that may pose a threat during storms. Look for trees with branches extending over your house, power lines, or neighboring properties. Also, keep an eye out for branches with signs of decay, disease, or damage, as they are more likely to break during severe weather conditions.
3. Regularly Trim Overhanging Branches:
Trimming overhanging branches is essential to prevent them from damaging your home. Use appropriate tools like pruning shears or a handsaw to remove branches that extend too close to your property. It's recommended to hire a professional arborist for larger or harder-to-reach branches. Trim branches that are at least six feet away from your home to ensure they don't scrape against your roof or windows during strong winds.
4. Consider Crown Thinning:
Crown thinning is a technique that involves selectively removing small branches throughout the tree's canopy. This process improves air circulation, reduces wind resistance, and helps the tree withstand strong gusts. By reducing the density of the canopy, you minimize the risk of branches breaking and causing damage during storms.
5. Prune Dead or Diseased Branches:
Dead or diseased branches are more likely to break and fall, especially in inclement weather. Regularly inspect your trees and promptly remove any branches that show signs of decay, infestation, or disease. Pruning these branches not only prevents potential storm damage but also promotes the overall health and longevity of your trees.
6. Seek Professional Assistance:
While some minor trimming and pruning can be done by homeowners, it's crucial to recognize your limits and seek professional assistance for larger or more complex tasks. Certified arborists have the expertise and specialized equipment necessary to safely and effectively maintain trees. They can assess the condition of your trees, provide proper trimming techniques, and offer guidance on maintaining a safe environment during storm seasons.
As a responsible homeowner, it's essential to prioritize tree maintenance to safeguard your property during storms. Regularly trimming tree branches and removing potential hazards can significantly reduce the risk of damage to your home, power lines, or nearby structures. By understanding the importance of tree maintenance, identifying potential risks, and employing proper pruning techniques, you can enjoy the beauty of your trees while keeping your property safe and secure in any weather conditions. Remember, when in doubt, consult a professional arborist to ensure the job is done safely and effectively.2023-07-05T04:00:00-07:002023-07-03T08:14:38-07:00Paul Chasetag:parealestateresources.com,2012-09-20:130065 Powerful Steps to Improve Your Credit for a Home Mortgage | First-Time Homebuyer Guide
As a first-time homebuyer, one of the most crucial factors that lenders consider when you apply for a home mortgage is your credit score. A good credit score increases your chances of getting approved and securing a favorable interest rate. In this blog post, I will discuss five powerful steps you can take to improve your credit and enhance your eligibility for a mortgage. Don't let a low credit score hold you back from achieving your homeownership dreams. Let's dive into these actionable tips!
Step 1: Understand Your Credit Report
The first step towards improving your credit is to obtain a free copy of your credit report from a reputable credit reporting agency. Carefully review the report to identify any errors, inaccuracies, or outdated information that might be negatively impacting your score. If you find any discrepancies, be sure to dispute them and request corrections.
Step 2: Pay Your Bills on Time
Paying your bills on time is crucial for maintaining a healthy credit score. Late payments can significantly lower your creditworthiness. To ensure timely payments, consider setting up payment reminders, automating your bills, or creating a budget that allocates funds for bill payments. Consistently paying your bills on time will gradually improve your credit score.
Step 3: Reduce Credit Card Balances
High credit card balances can have a detrimental effect on your credit score. Aim to keep your credit card utilization ratio below 30%. If your balances are currently high, develop a plan to pay them down as quickly as possible. Making multiple payments throughout the month can help lower your balances and improve your credit utilization ratio.
Step 4: Avoid Opening New Credit Accounts
While it may be tempting to take advantage of offers for new credit accounts, opening them can negatively impact your credit score, especially when you're preparing to buy a home. Lenders prefer to see stability and responsible credit management. Therefore, it's best to avoid opening new credit accounts during this crucial period.
Step 5: Build a Positive Credit History
Building a positive credit history is essential for first-time homebuyers. If you have limited credit, consider applying for a secured credit card or becoming an authorized user on someone else's credit card. Make small, manageable purchases and ensure you pay them off in full each month. This responsible credit behavior will help establish a positive credit history over time.
Conclusion:
Improving your credit is a vital step for first-time homebuyers looking to qualify for a home mortgage. By following the five powerful steps outlined in this guide, you can enhance your creditworthiness and increase your chances of securing a mortgage. Remember, building a strong credit profile takes time, so it's essential to start early and remain consistent. With an improved credit score, you'll be one step closer to making your dream of homeownership a reality. Don't let a low credit score hold you back—take action today and set yourself up for success!
Remember to consult with a financial advisor or credit counselor for personalized advice tailored to your specific situation.
If you found this blog post helpful, be sure to subscribe to my newsletter for more valuable content and follow me on Youtube (PA Real Estate Resources) for additional tips and insights. Together, let's navigate the path to homeownership with confidence!2023-07-05T04:00:00-07:002023-06-26T06:08:43-07:00Paul Chasetag:parealestateresources.com,2012-09-20:13005The Ultimate Guide to Selecting the Perfect Buyer's Agent for Your HomeCongratulations on taking the exciting step towards homeownership! As a first-time homebuyer, you may find the process overwhelming, but fear not. I’m here to help you navigate one of the most critical decisions you'll make during this journey: choosing the right buyer's agent. In this comprehensive guide, I’ll walk you through the essential steps to find a trusted ally who will advocate for you and make your home buying experience a smooth and successful one.
Step 1: Create a Checklist of Your Needs and Preferences
Before diving into the selection process, take some time to reflect on your specific needs and preferences. Consider factors such as experience, local knowledge, responsiveness, and communication style. By creating a checklist, you'll have a clear vision of what you're looking for in a buyer's agent.
Step 2: Conduct Thorough Research
Utilize online platforms, such as real estate websites and agent directories, to compile a list of potential buyer's agents in your desired location. Look for agents who have positive reviews from past clients, and demonstrate a deep understanding of the local market. This research will help you narrow down your options and focus on agents who align with your needs.
Step 3: Interview Your Top Choices
Treat the selection process as a job interview because, essentially, you're hiring someone to work for you. Prepare a list of questions that align with your checklist. Inquire about their experience, track record, and the services they provide. Gauge their responsiveness and communication style during this initial interaction to ensure a good fit.
Step 4: Meet Face-to-Face
Once you've narrowed down your choices, schedule in-person meetings with your top candidates. Meeting face-to-face provides an opportunity to assess their professionalism, establish rapport, and get a sense of their dedication to serving your needs. Remember, this is a critical partnership, so trust your instincts and choose an agent you feel comfortable and confident working with.
Step 5: Review the Contract Carefully
After selecting your buyer's agent, carefully review the contract they provide. Pay close attention to the terms and conditions outlined, including the duration of the contract, any exclusivity clauses, and the agreed-upon commission structure. If there are any doubts or concerns, don't hesitate to seek clarification or consult with a legal professional.
Conclusion:
Selecting the right buyer's agent is a crucial step in your journey towards homeownership. By following these steps and taking the time to research, interview, and meet potential agents, you'll be better equipped to make an informed decision. Remember, this partnership is instrumental in navigating the complexities of the real estate market and securing your dream home. Trust your instincts, trust the process, and soon enough, you'll find yourself celebrating as a proud homeowner!
I hope this guide has provided you with valuable insights and guidance. If you're seeking more resources and a printable checklist to keep you organized throughout the selection process, be sure to check out our video companion to this blog post. Happy home hunting!2023-07-04T04:00:00-07:002023-06-25T11:01:44-07:00Paul Chasetag:parealestateresources.com,2012-09-20:119537 Advantages of Investing in Real Estate2023-02-20T08:43:45-07:002023-06-26T11:36:18-07:00Paul Chasetag:parealestateresources.com,2012-09-20:9636What Are Adjustable-Rate Mortgages?
Here’s what you should know about adjustable-rate mortgages before you use one.
In my previous video, we covered fixed-rate mortgages. Today we’re talking about adjustable-rate mortgages, which work a little bit differently.
Adjustable-rate mortgages, or ARMs, are generally 30-year loans, but the interest rate changes over time depending on the market. For example, a 5/1 ARM has an introductory or teaser rate for the first five years. It’s typically lower than the rate for a standard 30-year fixed loan.
"These loans are best for people who don’t plan on staying in their homes long"
After that five-year period, the interest rate will adjust based on an index. This will happen annually, which is what the second number in “5/1” represents. If the index’s market rate goes up, so does the rate on your mortgage.
ARMs include a cap on how much your rate can change in a given period. The major benefit of these loans is those lower introductory rates. The challenge here is that you could see a big increase in your monthly payment after that period. These loans are best for people who only plan on staying in their home for five years or less.
If you have any questions about buying, selling, or investing in real estate, don’t hesitate to call, text, or email me. I would love to hear from you. 2022-07-14T06:47:00-07:002022-07-18T11:05:23-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:9564How the Fed’s Rate Hikes Affects the Market
The Federal Reserve has recently hiked interest rates, causing many buyers and sellers to worry about the housing market. However, is there really a cause for concern? Today I invited Ken Pitts, a mortgage expert from First Choice Mortgage Advisors, to clear up the confusion about this topic and to explain what really affects mortgage rates.
Feel free to watch the full interview or use these timestamps to browse specific topics at your leisure:
0:00 — Introduction
0:45 — Mortgage rates are determined by supply and demand
1:52 — The Fed has raised interest rates to curb inflation
3:00 — The Fed wants investors to make long-term investments
5:10 — Rate hikes is helping long-term interest rates
6:10 — Seven-year ARM versus fixed-rate mortgages
8:23 — Refinance your rates at the right time
11:43 — Demand for homes will remain higher than supply
12:33 — Demand in the Greater Philadelphia market is still strong enough to outweigh price increases
13:53 — It’s still a good time to buy
15:00 — Wrapping things up
If you need more details about this topic or would like help with any of your real estate concerns, don’t hesitate to call or email me. I’ll be happy to help!
2022-07-07T09:08:00-07:002022-07-07T09:10:40-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:9383What You Should Know About Conventional Loans
What you need to know about the pros and cons of conventional loans.
If you’re looking to buy a home, you know that there are tons of financing options available. There are so many that it’s easy to become overwhelmed and not know where to start. In my new series, I’ll alleviate that confusion around the different types of financing by explaining the common loan types and each one’s pros and cons. Today I'll cover conventional loans.
The first loan type most buyers think of is the conventional loan. Based on the name, you may think there’s only one type of conventional loan, but there are actually two: conforming and non-conforming.
As the name implies, conforming loans adhere to FHA guidelines on credit, debt, and loan size. The conforming loan limit is $647,200, so anything more expensive will be non-conforming. Conventional loans can be used for primary residences, second homes, or investment properties. The borrowing costs are usually lower than other choices. Plus, you don’t need private mortgage insurance if you put 20% down.
Conventional loans are a great option if you can meet the requirements.
So why doesn’t everyone use a conventional loan? Unfortunately, not everyone can meet the requirements. You typically need a credit score above 620, a debt-to-income ratio no higher than 43%, and a higher down payment than some government loans. Conventional loans can also be a hassle since they require a lot of financial documentation.
You should consider a conventional loan if you have a strong credit score and can afford the down payment. The 30-year fixed-rate mortgage is the most popular choice among buyers for good reason. Your monthly payment will be lower, and you’ll build equity faster.
In the next post in this series, I’ll cover jumbo loans. As always, please call or email me with any questions you might have. I am always willing to help!
2022-06-16T07:07:00-07:002022-06-17T11:13:33-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:9190Should You Write or Read Love Letters?
Here’s why you need to be careful about accepting love letters.
Recently, I’ve received a few questions about love letters. You may be asking, “What do love letters have to do with real estate?” Sometimes, buyers will send personal letters to their sellers to establish an emotional bond. Those letters might include details about their family and how much they’ll love and enjoy their home. Unfortunately, there’s a big issue with love letters, and it’s potentially dangerous.
Let’s say that a seller is influenced by your love letter and decides to accept your offer. This violates the Fair Housing Law, and if another buyer finds out about what happened, the seller could be sued. Letters can’t address familial status, religion, or race, but most of them touch on at least one, even by accident. What should you do?
I recommend that sellers don’t open or read love letters. Give your listing agent explicit, written instructions not to forward any love letters to you. For buyers, it’s best to avoid love letters altogether.
Letters can’t address familial status, religion, or race.
I’m not an attorney, and this isn’t legal advice, but from what I understand, buyers are free to write and send letters since the liability falls on the seller. If you ignore my advice and write one anyway, just make sure you don’t involve your Realtor.
If you have questions about today’s topic or anything else, please call or email me. Make it a great day!
2022-05-24T07:05:00-07:002022-06-01T10:40:58-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:8824Don’t Believe Everything You Read About Real Estate
<br />Here’s the truth behind some of the latest real estate headlines.
I wanted to take a few minutes to address some of the big headlines that I’ve been seeing all over the media lately. There’s a lot of junk information, and I want to clear it up for everyone today. You can't believe everything you read in the media; they're not real estate agents and don't always know the truth.
Feel free to watch the full interview, or use these timestamps to browse specific topics at your leisure:
0:00 — Introducing today’s topic
0:20 — Why are foreclosures really spiking?
1:31 — The impact that rising prices are having on our market
1:54 — Will increased rates cause home sales to plummet?
2:50 — What I predict we’ll see in 2022
4:00 — A few unknowns that could impact the market drastically
4:25 — Wrapping up
If you have questions for me about the state of the market or anything else related to real estate, don't hesitate to reach out via phone or email. I look forward to hearing from you soon.
2022-04-11T12:18:00-07:002022-04-14T12:20:24-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:8633Top Painting Tips With Julie Cicero
<br />Here are a few professional home-painting tips to help your house shine.
We recently sat down to have a conversation with Julie Cicero from Julie Marie Paints. She’s an expert on painting homes, so she has a wealth of knowledge to share. Today we’ll discuss the most common mistakes that homeowners tend to make when they paint their homes and go over some tips to make your property shine.
Feel free to follow along in the video above or else use the timestamps below to navigate the discussion at your leisure:
0:00 — Introduction
0:50 — Mistake No. 1: Choosing the wrong types of paints
2:41 — Mistake No. 2: Failing to properly prepare surfaces before you paint
6:30 — How Julie started her own painting business
9:00 — Which paint colors are hot this year?
9:40 — Choosing colors based on psychology
10:40 — How Julie works with clients to pick the perfect palette
11:51 — Wrapping up today’s discussion
If you’re looking to contact Julie with questions or need assistance with painting your home, <a href="https://www.facebook.com/JulieMarieThePainter/" title="Julie Marie Paints" target="_blank">visit her Facebook page</a> or call her at (717) 621-8182. She has also graciously agreed to be part of our HomeKeeper referral network, so you can find her on the <a href="https://homekeepr.com/join/paul-chase" target="_blank">HomeKeeper app</a> on our website.
If you have any other real estate questions, don’t hesitate to call or email us. We’d love to hear from you.
2022-03-17T13:12:00-07:002022-03-18T14:59:05-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:8388Rising Rates and Our Hot Housing Market<br />
Ken Pitts talks about the rising interest rates and their impact.
If you’ve been listening to real estate news, you’ll know that interest rates are going up. Everyone is in an uproar about how we’re going to hit 4%, but it wasn’t too long ago that we were celebrating 4%. Whenever I need to talk about mortgage rates and making homes more affordable, I go to the industry experts, so today I met up with Ken Pitts from First Choice Mortgage Advisors. He’s breaking down the topic and covers how rising rates will affect you as a buyer or seller.
You can watch the full interview above or skip to each section using the timestamps provided:
0:00 — Introducing today’s topic and our guest, Ken Pitts
1:20 — We’ve gotten used to historically low rates
3:06 — How The Federal Reserve might raise rates
4:41 — What are points, and are they worth it?
7:14 — People rarely stay in a mortgage for 30 years
9:24 — Is the market cooling down because of higher rates?
11:34 — Sellers would sell if they had somewhere to go
12:30 — What if you need the equity from your home to buy?
16:04 — You don’t usually see double transactions anymore
17:18 — Our advice for buyers and how they are getting creative
18:43 — Wrapping up
I’ll be talking to Ken again sometime because we’ll want to discuss rates again in the future. If you want to reach out to Ken, you can contact him on <a href="https://firstchoicemortgageadvisors.com/">his website</a> or call him at (610) 637-7325. If you have any other real estate questions, feel free to call or email me. I would love to hear from you.
2022-02-18T10:22:00-07:002022-02-21T13:28:07-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:8269The Benefits of Buying Multi-Unit ApartmentsHere’s how you can use multi-unit apartment housing to pay your mortgage.
Wouldn’t it be great if you could get someone else to pay your mortgage each month? It’s not just a nice fantasy; you can make it a reality. Today I want to talk about how you can hand off half your monthly mortgage to someone else.
The beauty of this plan lies in its simplicity: Just buy a multi-unit apartment building. Most residential mortgage programs let you purchase multi-unit apartments without dipping into commercial programs, so there’s no special financing required.
"Economically, this makes a lot of sense."
Let’s look at how this might work. I found a two-unit apartment building for sale in a nice area of Lancaster City for $294,000. I made some assumptions, but with FHA financing, the monthly payment worked out to about $2029.78 per month. If you rent out the other apartment, you could receive $1,100 per month. This means you’re only paying $1,019.78 per month out of pocket.
This is a great situation. Instead of looking at single-family homes and competing against tons of buyers, you can buy a fantastic property and save loads of money in the process. Economically, this makes a lot of sense.
It’s important to remember that you aren’t tied to this property forever. If you just live there for two years, you can save a ton of money on your mortgage while building equity. Then, if you decide to move, you’ll have plenty saved up to buy a great long-term property. You can also hang on to your apartment building so that you can continue to collect rent after you move out. If you go this route, your rent could end up covering your new mortgage completely.
If you are interested in pursuing a multi-unit apartment building or if you have any other questions, please call or email me. I’d love to help in any way I can.
2022-02-04T10:46:00-07:002022-02-08T10:27:51-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:8096My Conversation With Loan Officer Ken PittsHow do large monetary gifts affect your mortgage? Ken Pitts answers.
Around this time of year, first-time homebuyers are getting gifts to help cover closing costs and down payments. But how does that affect their mortgage? Today I’m talking with Ken Pitts from First Choice Mortgage Advisors to figure that out. The first and most important thing to realize is that all lenders are bound by the Anti-Money Laundering Act, which means they have to follow strict regulations regarding gifts.
You can watch the full episode above, or you can skip to each section using the timestamps provided below:
0:00 — Introducing today’s topic and our guest<br /><br />0:43 — The lender has to verify the source of the funds
1:34 — Gifts need to be within family members
2:54 — Expect to document your gifts
3:45 — How far back do lenders look for gift funds?
5:03 — How does a 1099 mortgage application differ from a W-2 employee?
6:44 — It pays to talk to a loan officer early
8:03 — Wrapping up<br /><br />If you want to reach out to Ken, you can call him at 610-637-7325 or visit <a href="https://firstchoicemortgageadvisors.com/" target="_blank">his website</a>. If you have any questions about gifts in the mortgage process or real estate in general, feel free to call or email me. I would love to help.
2022-01-18T12:23:00-07:002022-01-20T12:01:12-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:8013Why You Should Make Your Best Offer FirstHow much should you offer on a property? Here are a few thoughts.
Almost every homebuyer I work with asks how much they should pay for their house. The answer is a resounding “it depends.” How much do you want the property? How much are you willing to spend? Today’s homebuyers don’t want to pay too much for a home, and I get that. But when you get down to it, that is about fear—the fear of overpaying.
Remember that something is only worth what able buyers are willing to pay. Given enough time, residential real estate almost always appreciates. If the market goes down for a while, that doesn’t mean you’ve lost money. The loss is only realized if you sell.
"You want to feel confident that you took your best shot if your offer gets rejected."
If you stay in the house for a while, you have time to ride out the bumps. Only speculators and house-flippers have to worry about what the market will look like in 90 days. You should never gamble with your primary residence.<br /><br />Keep in mind that it only takes 4 years to see a reduction in your mortgage balance. It only takes 10 years to see meaningful equity in a flat market.
So, how should you formulate your offer as a buyer? You should lead with the best terms you can. You want to feel confident that you took your best shot if your offer gets rejected.
If you have any other real estate questions, feel free to call or email me. I would love to chat with you.
2022-01-07T11:57:00-07:002022-01-10T14:05:58-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:7758Happy Holidays! From our team to your family, we want to wish you a happy holiday season.
Happy holidays to you!
The holiday season has officially arrived. We hope you enjoy this wonderful time of year and make some fantastic memories.
We wanted to take a moment to thank you for your continued support. We love helping people make their real estate dreams come true, so thank you for working with us and supporting our business.
This may be a busy time of year, but we are always here to help you and answer any questions you may have. Give us a call or reply to this email; we’d love to help you.
In case we don’t hear from you until 2022, have a happy New Year!
2021-12-09T10:44:00-07:002021-12-09T11:51:49-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:7729Don’t Believe These 5 Myths About VA LoansHere’s the truth behind these pervasive myths about VA loans.<br />
There have been some issues popping up lately when it comes to VA loans. Specifically, I want to address some of the myths that are out there among consumers and agents that are keeping our nation’s heroes out of the housing market.
Before we get into those myths, I want to quickly mention the Homes for Heroes program. It’s a program designed to help not only our military heroes, but also our first responders, healthcare professionals, and teachers during their real estate transactions. Check out <a href="http://pa-heroes.com">PA-Heroes.com</a> to learn more.
"There is no mortgage insurance with a VA loan."
VA loans are loans for active service military members and veterans. They require no down payment and have looser requirements for credit scores compared to conventional loans. This means that these heroes could qualify for competitive rates that they wouldn’t get with traditional mortgages. These zero-down loans are subsidized by the VA, so they aren’t subject to the vagaries of congress like USDA loans. There is also no mortgage insurance with a VA loan. There is an upfront funding fee, but even that can be waived if you have a service-related disability or rolled into your loan if you don’t.
Now let’s take a look at these myths and the actual truths behind them:
1. Getting certified for a VA loan is a pain. While that was true in times past, this is the 21st century. Veterans no longer have to send a paper letter to the VA. Today’s lenders have an app for that.
2. VA inspections and appraisal take too long. These have been streamlined and modernized in recent years. VA loans typically close in just 55 days, just a day longer than the average FHA loan. They take slightly longer because the pool of VA appraisers is a bit shallower.
3. Only cash or conventional loans make for competitive offers. Cash will always be king, but veterans may want to consider getting pre-approved for both conventional and VA loans to signal you’re creditworthy and serious.
4. The savings provided by VA loans aren’t significant in the long run. That just isn’t true. VA loans typically run a half point below conventional rates, and there is no monthly mortgage insurance. This frees up a lot of cash each month.
5. Veterans are more likely to default. According to the Director of Education at Veterans United Home Loans, VA loans have the lowest foreclosure rates for most of the past 12 years.
If you're active or retired in the military, talk to your lender about VA loans. If you have any questions about VA loans, how they work, or anything else related to real estate, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.
2021-12-06T10:52:00-07:002021-12-09T11:44:18-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:7686Don’t Follow These 5 Pieces of Bad Home-Buying Advice Here are five pieces of bad home-buying advice you should avoid. <br />
Recently, I read an article titled, “5 Pieces of Outdated Home-Buying Advice Your Parents Might Give You.” I thought it had some pretty interesting things to say, and I’d like to give you my two cents on it:
1. Don’t pay the full price on your initial offer. This strategy might make sense in a buyer’s market or even a balanced market, but we are living through a strong seller’s market right now. You may have heard things are cooling off, but this just means it takes two weeks to sell a home instead of one. In a strong market like ours, put your best offer forward immediately. You don’t want to lose out on a great home.
2. When you check out a property, don’t let the Realtor know you like it. This one is pretty backward. In reality, you’ll probably look at homes with your agent, not the listing agent, and the sellers usually aren’t in the house while you look at it. If you are alone in the home with your agent, make sure you’re honest with them about what you think. Our job is to get you what you want, so the better you communicate, the easier it is for us to get you a great deal.
"The better you communicate with your agent, the more likely we are to get you a great deal."
3. Buy something you can see yourself living in for years. I used to give this advice to my clients, but now I’m rethinking it, especially for first-time buyers. As with most things in real estate, the truth is that it depends on your situation. For young people, it might be a good idea to buy a starter home to ensure financial security and grow your investments. Recently, I was working with a couple who started out looking for their “forever” home, but we pivoted to a starter home. They plan to turn it into a rental in a few years, and the income they make on that will help them pay their next mortgage.
4. You need a 20% down payment. This has never been more wrong. In today’s world, there are plenty of options that don’t require 20% down. It is true that your mortgage payments will be higher, but it’s like I said before: What’s right for you depends on your situation. It could make sense for you to put less money down so that you can build equity sooner.
5. Use the same lender we used! Lenders are not one-size-fits-all. While interest rates probably won’t change much between lenders, their fees will. Make sure to shop around and find the right lender for you. Don’t worry about your FICO score; they take into account that you’re shopping around.
If you have any questions about today’s topic, please call or email me. I am always willing to answer any questions you might have. I look forward to hearing from you!
2021-11-30T10:30:00-07:002021-12-02T14:06:59-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:7573Zillow Admits They Can't Predict PricesHere’s how Zillow has admitted their own Zestimate isn’t good enough.<br />
I wanted to share some news that is sweeping through real estate circles, but before I do, let me give you some background. All of you are probably familiar with Zillow’s Zestimate, their estimate for the market value of your home that is run by some algorithm that collects nearby comparable sales. Us agents have been saying how inaccurate this Zestimate is for years.
"The fact that Zillow can't predict prices shatters the illusion of their Zestimate."
Just before the pandemic, Zillow came out with their iBuyer program where they offer cash for people’s houses, make some cosmetic repairs, and then resell that house for a profit. This is completely okay; it’s called flipping, and investors do it all the time.
On November 2, Zillow announced that they are stopping their iBuyer program amid “pricing unpredictability,” as the headline states. To mean, this is Zillow admitting they do not know how to predict the price of a home. It shatters the illusion of their Zestimate.
To know what a house will sell for on the market, it has to be exposed to the market. I’ve been doing this for 18 years, and the truth is that no one can predict what a house will sell for. You can use all the data you want, but you will never know for sure.
If you have any questions about what your house is worth, where the market is headed, if now is a good time to sell, or if it’s a good idea to buy, give me a call or email me at <a href="mailto:paulchase@reagan.com">paulchase@reagan.com</a>. We’ll sit down, talk, and see if buying or selling makes sense for you in today’s market.
2021-11-15T11:55:00-07:002021-11-16T15:11:17-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:7430Things To Think About When Buying a ForeclosureAs a 10-year expert in foreclosures, I’m sharing my tips about buying them.<br />
You may have heard stories or read articles predicting a wave of foreclosures hitting the market. You might be planning to buy one, thinking it’ll be a great way to get a house quickly and cheaply; after all, banks want to get rid of them as fast as possible. That is only partially true. I’ve worked with short sales and foreclosed properties for well over 10 years, and I have a few lessons that might help you.
"If you want to buy a foreclosure, figure out how you’re going to pay for the repairs."
Foreclosed properties are almost always distressed, neglected, or damaged. You might be able to buy it for less, but whatever money you save on the purchase will likely be eclipsed by the repair costs. First-time homebuyers may think they will do these repairs over time, but that’s rarely an option. In reality, these repairs are often a bigger job than you imagine and will end up sucking time and energy out of you.
If you want to buy a foreclosure, figure out how you’re going to pay for the repairs, then we can talk. These properties can certainly be a good deal for investors with plenty of money to spare or homebuyers who have enough money and desire to fix up the house.
I don’t expect the market to be flooded with foreclosures. Most homeowners have enough equity to sell the house and pay off their mortgage. Black Knight is forecasting a pretty normal foreclosure market.
As always, if you have any questions about foreclosures or want to find the best property to suit your needs, give me a call or send an email. I’d be more than happy to help.
2021-11-01T11:00:00-07:002021-11-04T09:08:39-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:7091The Biggest and Most Common Mistakes Sellers MakeHere are the most common mistakes you should avoid when selling your home.
We’re in an incredibly hot seller’s market right now, and people have been able to sell their homes incredibly quickly and get top dollar. However, this doesn’t mean you can just throw your house on the market at any price and expect the buyers to come knocking. Many sellers have been learning this lesson the hard way, and today I’d like to discuss some of the key mistakes I’ve been seeing them make.
For your convenience, I’ve included timestamps for today’s video topic. Feel free to navigate to the section(s) you’re interested in learning more about:
00:16 — Introduction to today’s video: Top Seller Mistakes
00:43 — Underestimating the cost of selling a home
01:43 — Setting an unreasonable price
02:34 — Only looking at the highest offer
03:38 — Ignoring major repairs
04:30 — Making costly renovations
05:30 — Make sure you have a great marketing strategy for your home
06:25 — Make sure buyers can easily attend showings
06:49 — Think about your overall financial situation
08:05 — Conclusion to today’s video
If you have any questions about selling your home or would like more information, feel free to reach out to me. I look forward to hearing from you soon.
2021-09-21T13:14:00-07:002021-09-21T14:24:58-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:6896Saving for a Down Payment
Here are a few tips for how to save up for a down payment for a home.
One of the challenges many buyers face, especially first-time buyers, is saving up enough cash for their down payment and closing costs.
The first step is to set a goal. The best way to set a goal is to speak to a loan officer. They’ll look at your income, determine how much your monthly payments can be, and translate that into a purchase amount. They can then estimate what you’ll need for closing costs, so you’ll know how much money you’ll need to save to afford a home.
To figure out your income, you not only have your day job, but do you also have a side gig or second job that brings in extra money? The idea right now is to bring in as much cash as possible. Next, take a look at your expenses such as rent, dining out, groceries, utilities, cable, and more. Identify where every dime you bring in goes, then see what you can cut.
Can you cut out bad habits, move to a place with cheaper rent, or go out to eat less? Did you know that the markup for going out to eat is 300% compared to cooking at home? A $15 lunch can be made for about $5 at home. Just doing that will save you quite a bit.
"Identify where every dime you bring in goes, then see what you can cut."
Look at your cable and other TV bills; how much are you spending? Remember that every nickel you spend is not going toward your new house. Sink every penny you save into a savings account; you won’t get much interest off it, but at least it’s money you won’t touch.
The next thing to look at is your debt. How much are you spending on credit cards, and are those debts increasing or decreasing? Pay off your credit cards, then the money you’d be spending on those payments will go toward your house. Paying off credit cards also raises your credit score and makes you look much better to mortgage lenders.
Certainly, get your credit card spending under control. One of the best ways to do that is to put your credit card in a resealable bag, fill it with water, then put it in the freezer. If you don’t have easy access to the cards, you won’t be as tempted to use them.
If you want more ideas of how to save or have any questions, give me a holler via phone or email. We’ll find a way to get your savings on track. 2021-08-31T12:14:00-07:002021-09-07T12:56:02-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:6793What Is Escrow Money?
What is escrow money and what role does it play in real estate?
Escrow money is sometimes called good faith or hand money. It’s the money the buyer puts into a special account with a fiduciary as a sign of their intentions to go through the purchase of real estate. In our area, the listing brokerage typically holds the escrow money, but not always. It could be the buyer’s agent, the title company, or some neutral third party at closing. The money is applied to either the buyer’s down payment or the closing cost.
If the buyer walks away from the transaction for a reason that wasn’t allowed as part of the purchase agreement, they lose that money. In today’s super-hot seller’s market, buyers are encouraged to put as much money as they can into the escrow to show how serious they are about completing the purchase. After all, it’s harder to walk away from $5,000 than it is $500.
If you have more questions about escrow or anything else to do with real estate, don’t hesitate to reach out to me. I’d love to help you.2021-08-20T08:29:00-07:002021-09-07T12:43:54-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:6698First-Time Homebuyer Programs That Can Help You
If you’re a first-time buyer, consider using these mortgage loan programs.
Which mortgage loan programs are available for first-time homebuyers? Today I’ve invited Ken Pitts of First Choice Mortgage advisors to join my video blog to answer that question. According to Ken, all loan programs are either government-back programs or conventional programs—both of which have options for first-time buyers.
One of the most common government programs you’ll see is the FHA loan. This program offers a couple of key advantages in that it requires a low down payment (3.5%) and will take lower credit scores. If you’re a veteran, Ken encourages you to take advantage of your VA benefits and use a VA loan, as this loan requires no mortgage insurance. You’ll be able to qualify for more and have a lower monthly payment. If you live in a rural area, the USDA loan is another great government program you can utilize.
Pennsylvania also offers the Pennsylvania Housing Finance Agency (PHFA) loan, which is a bond-issued program that can give you lower interest rates and be used in conjunction with a government program or conventional program. Additionally, the state offers a grant program through the PHFA that assists you with down payment and closing costs for up to $8,000. If you’re physically handicapped, you can get additional money to retrofit your home.
"All loan programs are either government-back programs or conventional programs.”
When it comes to conventional loans, you’ll hear the terms ‘Fannie Mae’ and ‘Freddie Mac’ thrown around a lot, and these federally backed home mortgage companies offer two 3% down programs you should know about: HomeReady and HomePossible. Both of these programs are income-restricted—meaning you have to meet an income requirement to qualify—but their mortgage insurance is cheaper than what you’d see with a 5% down program.
On top of that, some banks will offer Community Reinvestment Act (CRA) loans. Banks are encouraged by the federal government to lend money in low-income areas, and these loans are income-restricted as well. Oftentimes, the bank versions of these programs have no mortgage insurance at all, which reduces your monthly payment and increases your buying power.
If you’d like to know more about buying a home in Lancaster County, check out my website, subscribe to my YouTube channel, or reach out to me directly. I’d love to help you.2021-08-03T08:40:00-07:002021-08-05T14:08:48-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:6670What Not To Do After You've Applied For Your Mortgage
Here are the five things that will ruin your mortgage application.
Today I want to talk about what NOT to do after you’ve applied for your mortgage. These five steps could screw up your mortgage application and kill your home purchase before it begins:
1. Don’t change bank accounts. This signals to lenders that you might be trying to hide something. During the home-buying process, stay where you are until after closing, or the process could be delayed by months.
2. Don’t apply for or close any credit cards. Even if they have a $0 balance, leave them be. Banks don’t like change. Also, a lot of your credit score has to do with the available credit you have versus how much you’re currently using. Any sudden change in your debt ratio will cause flags to go up and could kill your mortgage application.
"Large purchases are a major red flag to lenders."
3. Don’t make any large purchases. I can’t tell you how many times I’ve been helping a homebuyer and everything’s going great, then right before closing, they go buy a new car, couch, or bedroom set with credit to celebrate the purchase of their house. This is a major red flag to lenders, and like everything else, should only be done after you close.
4. Don’t make large deposits into your account. If you have a family member who wants to help with your down payment or closing costs, that’s fantastic. However, make sure that the money is in your account for at least three full months before you make your mortgage application. All the money in your account has to be explained, and all large cash deposits must be looked into by the lender. Be very careful about any big deposits like this.
5. Don’t cosign for another loan. It makes you responsible for that loan, and if it goes into default, it’s on you, and your financial health is at risk. The best plan is to be fully transparent with your agent and loan officer.
If you have any questions, be sure to reach out via phone or email. I look forward to hearing from you soon.2021-07-30T07:25:00-07:002021-07-30T08:32:00-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:6248Sharing My Knowledge of How Commissions Actually Work
I reveal some insider secrets about how commissions work nowadays.
Here’s what your real estate agent doesn't want you to know about real estate: commissions. I recently had a conversation with a seller about commissions. We discussed who paid them and who got the benefit. In light of some recent headlines about the Department of Justice and the real estate community as a whole, I thought I would share with you how real estate commissions really work.
Let's first take a look at the settlement sheet. It's a detailed accounting of every penny in the real estate transaction. The years may look different, but this will be a good example. Let's pretend we have a purchase price of $200,000. The seller may have agreed to pay their seller's brokerage $6,000 in commission, but only agreed to pay the buyer’s brokerage $5,000 in commission. This is a very real possibility.
Note that the total commission does not have to be split equally between the buyer's brokerage and the selling brokerage. Who gets paid how much is entirely the result of negotiations between the listing brokerage and the seller. In an extreme example, the seller could decide that they're not going to pay the buyer’s brokerage fees at all. There is a danger to the seller here if the buyer is forced to directly incur the extra expense of the buyer's agent. It may result in either a lower offer price or no offer at all.
"I'll tell you the secrets that most realtors won't tell you."
Now let's take a look and see what happens if the buyer buys a property that's off-market and not listed for sale with another brokerage. The buyer could choose to pay the brokerage fees as an included expense and just take that money out of pocket. The buyer may choose to reduce the purchase price to offset the cost of the brokerage fees and the seller might accept the lower offer if they know they don't have to pay the commissions. There are some benefits to both buyer and seller here. Some of the closing costs like transfer taxes and title insurance are tied directly to the purchase price so a lower purchase price may result in lower overall closing costs.
The third scenario would be for the buyer to roll some or all of the closing costs into the mortgage using a seller credit or seller assist. This reduces the net amount owed to the seller, but like I said, it rolls the cost into the mortgage and reduces the buyer’s out-of-pocket expenses.
I certainly hope that you got some valuable information about how real estate commissions really work. There are a lot of different options and how they can be structured. The old model of 6% is pretty well gone. These days, commissions are not fixed by any rule or regulation. They're entirely negotiable just like everything else in real estate.
If you have any questions, reach out to me. I'll be happy to answer them, and I look forward to hearing from you.2021-06-08T13:18:00-07:002021-06-11T09:04:52-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:6147Exclusive Opportunity for Weary Homebuyers
Here’s an intriguing solution for today’s frustrated homebuyers.
Today I want to tell you about an exciting new program I’m offering to all of my clients. By now, you probably know that there just aren’t enough homes for sale in our market to satisfy demand. Home inventory is as low as it has been in over a decade.
Wouldn't it be great to buy a home that no one else even knew was available? You could avoid a bidding war and having to compete with 20 other buyers. Well, now it’s possible. I actually have the ability to seek out homeowners who would be willing to sell if the right buyer came along.
There are a few requirements to take advantage of this new program. First, you have to be a client of mine. That means we’ve each signed an agreement that I am working on your behalf to help you purchase your home. Second, you need to be pre-approved for a mortgage or provide proof of funds if you’re a buyer.
"Inventory is as low as it has been in over a decade."
Here’s the good news/bad news part. First, the bad news. You’ll have to agree to pay my fees, since most sellers won’t in this market. The good news is that we can often roll these fees into your mortgage. It will result in a slightly higher purchase price, but that’s the cost of getting this exclusivity and being the only buyer in the game.
If you have any questions for me, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.2021-05-26T11:39:00-07:002021-06-01T11:49:57-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:6057What Does the New Tax Credit Do for You?
What does President Biden's first-time homebuyers’ tax credit mean for you?
There's been a lot of press recently about President Biden's first-time homebuyers’ tax credit. What does this tax credit mean for you? I did some digging and wanted to share with you what I found out. This is still pending legislation. That means the bill has been proposed to the House of Representatives and into committee. It hasn't been voted on yet and by the time it becomes law I'm sure it's going to change, but here's what I've been able to learn about it so far.
"This grant is going to make more people eligible for homeownership."
It would be a $25,000 grant that would be immediately available to first-time homebuyers under certain conditions. The borrowers cannot have owned a home within the last three years. Neither of the borrower's parents may have ever owned a home. These rules don't apply if the parents lost their home to foreclosure or short sale. It also doesn't apply if the borrower has ever been in foster care.
This grant is means-tested, which means that the borrowers can make no more than 120% of their area’s median income. What does that mean for us in Lancaster County? The median income for Lancaster County is $66,056, and 120% of that is $79,267. As long as your income is below $79,267 and you've never owned a home or your parents have never owned a home, you should qualify.
This grant is going to make more people eligible for homeownership. Two of the biggest restrictions for homeownership are saving for the down payment and then also saving for the closing costs. This grant would be a big boost to help more people qualify.
However, what happens when you have more buyers searching for a limited supply of homes? Prices go up. The law of supply and demand doesn't change. This bill does nothing to make more houses available. The thought is if more people want houses, builders will step up production. It doesn't work like that. High demand for homes is causing the prices of lumber, labor, and general building supplies to skyrocket.
The other thing that you need to be aware of is that these funds are going to be given out to the states based on population, median area home prices, and racial disparities of homeownership rates. I don't know exactly how we compare to the rest of the country, but we may be waiting a little while before these funds become available.
Stay tuned. I'll be following this pretty closely. If you have any questions, be sure to talk to your loan officer. You can call me at 717-220-4209 or check out <a href="https://www.parealestateresources.com/parrealestateresources.com">parrealestateresources.com</a> for more updates as they become available. Make it a great day.2021-05-13T08:22:00-07:002021-05-14T09:21:42-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:5802An In-Depth Look at Our April 2021 Real Estate Market
Here’s a detailed look at our current market and where it may be headed.
As we head further into spring, I wanted to bring you all the latest news and numbers for our real estate market. I’ll go over what’s happening now and what I think is going to happen over the next few months.
Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch the full message, or use these timestamps to skip to topics that interest you most:
0:40- A snapshot of year-over-year changes in key market metrics
1:27- An update on rising mortgage interest rates and what senior economists think about it
2:40- A look at housing inventory changes throughout the nation
4:00- Why new construction is lagging behind the market
6:05- What’s going on with cash-out refinances and home equity levels?
7:30- Recent statements about the market from the WSJ and NAR
9:40- Is this the same kind of market we saw before the 2008 crash?
11:00- Wrapping things up, and final tips for buyers and sellers
If you have any questions for me about the market or real estate in general, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.2021-04-19T11:24:00-07:002021-04-23T11:31:38-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:5565The Hurdles That Small Business Owners Face When Getting a Home Loan
Here’s what small business owners need to know when buying a home.
It’s common for small business owners to take advantage of tax write-offs, but this can make getting a home mortgage tricky. Your tax returns are required when looking for a loan, but they likely aren’t helping your home-buying endeavors. Fortunately, there are some things you can do. I spoke to Ken Pitts of First Choice Mortgage Advisors, who gave some great advice on how small business owners can qualify for a mortgage.
"A person could have a $10 million business but use write-offs in a way that they only take home $120,000 a year, but the lenders don’t look at business revenue—they look at what your taxes say you made."
One challenge self-employed borrowers face is that their income is averaged over the last two years. However, if the most recent year is worse than the previous year, lenders will go with the more recent income—they like to stay as conservative as possible. Though business owners use tax write-offs, lenders go off adjusted gross income instead of gross revenue. So if you use too many write-offs, it can hurt you when you’re trying to get financing.
Lenders can add things like depreciation, depletion, amortization, and business miles back onto the income, which can be helpful for professionals like truck drivers or salespeople. It’s still always a challenge for business owners, as they may make a lot of money in gross revenue but not have it show on their bottom line. A person could have a $10 million business but use write-offs in a way that they only take home $120,000 a year, but the lenders don’t look at business revenue—they look at what your taxes say you made.
The COVID-19 pandemic created even more hurdles. Lenders need profit-loss statements within 30 days of closing now, as they want to see that businesses haven’t been affected by the pandemic. Business tax returns and transcript-checking by lenders are also affected, especially when the IRS is running behind schedule. Lenders also need to ensure that a business owner’s other loans haven’t been affected by COVID-19.
If you have a business that’s beyond a Schedule-C, such as a corporation or LLC, it’s very problematic to use assets from your business account to buy a home. You’d need to get an accountant involved who can verify that using your funds won’t negatively impact the business. Few accountants want to do that, let alone take responsibility for it. Ken always advises people to avoid writing a check through their business; instead, they should take a distribution to get the money into their personal account.
I’d like to thank Ken for joining me and providing today’s helpful information. If you have any other questions or would like more information, you can check out my website <a href="http://www.PARealEstateResources.com">PARealEstateResources.com</a> or reach out to me. If you ask a question that I decide to answer in one of my future videos, I’ll even send you a $25 gift certificate. Until then, I look forward to hearing from you soon.2021-03-26T09:10:00-07:002021-03-29T10:22:24-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:5494The Keystone Forgivable In Ten Year Loan Program
This new loan program is going to help a ton of new homebuyers.
I recently found out that the Pennsylvania Housing Finance Authority has a new loan program that you need to know about. It’s called K-FIT, or the Keystone Forgivable In Ten Year Loan Program. It’s a forgivable second loan, with 10% forgiven each year over the next decade and requiring no monthly payments.
"I’m taking a class to learn more about this product next week."
This program is primarily aimed at helping low and moderate income renters who are striving to become homeowners but struggling with closing costs. There are some significant restrictions and requirements you should know about including:
• A minimum FICO score of 660
• Must complete homebuyer education counseling program
• Can only be used with PHFA’s K-FIT program
I’m taking a class on this product next week. If you have any interest in this, let me know and I’ll pass what I learn along to you.
If you have any other questions for me, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.2021-03-16T07:49:00-07:002021-03-19T07:15:01-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:5346A Damaging Down Payment Myth
You probably don’t have to put 20% down to buy a home. Here’s why.
Is the idea of saving for a large down payment holding you back from buying a home? You may be eager to take advantage of today’s low mortgage rates, but the thought of needing a huge down payment may make you want to slow down those plans. There’s still a myth circulating that you have to come up with 20% of the total sales price for your down payment. This means that people who could buy a house might be putting their plans on hold because they don’t have that much saved yet.
"There are programs that allow qualified buyers to purchase a home with a down payment of as little as 3.5%."
The reality is, whether you’re saving for your first property or you’ve purchased one before, you likely don’t need to put down 20%. According to Freddie Mac, this is the most damaging down payment myth because it stops the buying process before it begins. If saving that much seems daunting, people may give up on the dream of homeownership before they even look into it.
Data in the 2020 profile of homebuyers and sellers from the National Association of Realtors indicates that the median down payment hasn’t been 20% since 2005. Even then, that was for repeat buyers, not first-time homebuyers. The average amount that first-time buyers spent on a down payment in 2020 was just 7%. This might still seem high, but there are programs that allow qualified buyers to purchase a home with a down payment of as little as 3.5%. VA and USDA loans with no down payment requirements also exist for qualified applicants.
So no, you don’t need to put 20% down to buy, but you still need to do your homework to learn the options available to you. Make sure to work with trusted professionals from the beginning to learn what you can qualify for in the home buying process. Don’t let this terrible down payment myth keep you from reaching your homeownership goals.
If you’re considering buying a house this year, let’s connect to review your options. If you have questions about this or anything else concerning real estate, call or email me. I would love to help you.2021-02-24T09:50:00-07:002021-02-25T08:47:15-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:5347What Closing Costs Are There for Homebuyers?
Here’s a breakdown of all the closing costs in a home purchase.
If you’re planning on buying a home this year, closing costs could have a major impact on your budget. What are they and how much are they going to cost you?
"Title insurance can cost anywhere from a few hundred to a few thousand dollars."
On average, closing costs add up to about 4% of the home’s value. It's nothing to sneeze at, and you need to be prepared. Here’s how the closing costs break down:
• The loan origination fee includes things like courier fees, underwriting fees, appraisal cost, administrative fees, and more. This can range anywhere from 0.5% to 1% of the loan amount.
• The application fee includes the cost of running your credit, the application process, and additional administrative fees. These can run anywhere from $300 to $500.
• The mortgage brokerage fee is charged at the end of the mortgage process and is usually between 0.5% and 2.75% of the home’s purchase price, depending on the brokerage.
• If your loan is insured by the FHA, they charge an upfront premium of 1.75% on the loan amount.
• Property taxes range anywhere from $5,000 to $8,000, and some lenders require homeowners insurance that covers the property in case of damage and that can range from $800 to $1,200.
• The title search fee covers all available information about the property, including any claims or liens on the home. This can cost you between $75 and $200. Title insurance also keeps you from financial loss and can cost somewhere from a few hundred to a few thousand dollars.
If you’re interested in purchasing a house, you should first be aware of all the costs of buying a home. The best way is to talk to a Realtor or lender who can break the fees down for you. If you have any questions about this topic or anything else related to real estate, don’t hesitate to reach out to me. I look forward to hearing from you soon.2021-02-10T11:08:00-07:002021-02-24T12:11:47-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:5348ActivePure Eliminates 99.9% of Airborne SARS-CoV-2 Virus
My guest for today’s video is selling something that’s too important to keep quiet about.
Every now and then I come across a product or service provider I really like and think other people should know about, and I recently had the pleasure of meeting someone who fits that bill: My guest for today’s video, Jay Barry of Vollara. Jay describes himself as a serial entrepreneur, and he’s currently selling an ActivePure technology that eliminates 99.9% of airborne SARS-CoV-2 within 3 minutes in FDA compliant military lab tests. The unit itself utilizes NASA-derived technology to get the job done, and it’s time to get the word out about this wonderful product.
Feel free to watch the video above in its entirety to learn more about it, or use these timestamps to skip ahead to various sections at your leisure:
1:15—The background on Jay’s air purification system
2:29—The different models being tested, their uses, and their effectiveness
4:50—How his system also helps reduce odors and remove other allergens
6:59—Where’s the best place in your house to place this unit?
8:58—Wrapping things up
As always, if you have questions about today’s topic or have any real estate needs, don’t hesitate to reach out to me. I’m happy to help.2021-01-28T11:14:00-07:002021-02-24T12:15:26-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:5349What NOT to Do After Applying for Your Mortgage.
Here are the five things that will ruin your mortgage application right away.
Today I want to talk about what NOT to do after you’ve applied for your mortgage. These five steps could really screw up your mortgage application and kill your home purchase before it begins:
1. Don’t change bank accounts. This signals to lenders that you might be trying to hide something. During the home-buying process, stay where you are at until after closing or the process could be delayed by months.
"Large purchases are a major red flag to lenders."
2. Don’t apply for or close any credit cards. Even if they have a $0 balance, leave them be. Banks don’t like change. Also, a lot of your credit score has to do with the available credit you have versus how much you’re currently using. Any sudden change in your debt ratio will cause flags to go up and could kill your mortgage application.
3. Don’t make any large purchases. I can’t tell you how many times I’ve been helping a homebuyer and everything’s going great. Then right before closing, they go buy a new car, new couch, or a new bedroom set with credit to celebrate the purchase of their house. This is a major red flag to lenders and, like everything else, should only be done after you close.
4. Don’t make large deposits into your account. If you have a family member who wants to help with your down payment or closing costs, that’s fantastic. However, make sure that the money is in your account for at least three full months before you make your mortgage application. All the money in your account has to be explained, and all large cash deposits must be looked into by the lender. Be very careful about any big deposits like this.
5. Don’t cosign for another loan. It makes you responsible for that loan, and if it goes into default, it’s on you and your financial health is at risk. The best plan is to be fully transparent with your agent and loan officer.
If you have any questions, be sure to reach out via phone or email. I look forward to hearing from you soon.2021-01-21T11:16:00-07:002021-02-24T12:26:00-07:00Hailey weisbecktag:parealestateresources.com,2012-09-20:5350What If the Home Doesn’t Appraise?
If your home doesn’t appraise, you have three options for recourse.
What’s a home seller to do if the house doesn’t appraise? Believe it or not, there are options.
Your first option involves appealing the appraisal. To do that, you must submit compelling evidence of the errors made by the appraiser during their assessment. That includes submitting data about different comparable sales in the area and an explanation of why these new properties are more similar to yours than the ones the appraiser used. This can be a difficult and time-consuming process, and it has a low rate of success.
Your second option is for you and the buyer to agree to adjust the sales price and other terms of the agreement. As a seller, that doesn’t necessarily affect your bottom line; it may be possible to recoup some of that top-line loss by cutting expenses somewhere else, such as with seller assistance.
The third option occurs if the buyer is able and willing to come up with enough cash to make up the difference between the sales price and the appraised value. Remember, the appraisal is what determines how much the lender is willing to loan against the property.
For more answers to your real estate questions, reach out to us, or visit <a href="http://www.parealestateresources.com">www.PARealEstateResources.com</a>. Hope to hear from you soon!2021-01-14T11:26:00-07:002022-03-17T13:08:34-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:5351Should You Buy First or Sell First?
Here’s how to decide whether you should buy or sell first.
Should you buy or sell first?
This is a question many move-up buyers have, and the answer depends. First, you need to take a look at what’s happening in the marketplace, then look at your finances. In a hot seller’s market like ours, it could take a while to find a new house.
If you sell first, you may have to move into temporary housing if you can’t find a new house right away and get it under contract. If you buy first, you’ll need equity from your old house to make that purchase. It’s also possible you’ll have to carry two mortgages at the same time. Do you have the income to pull that off?
If you’d like to talk more about this topic, don’t hesitate to call or email me. Also, be sure to check out our eBook, “The Home Buyer’s Big Book of Answers,” at <a href="https://www.parealestateresources.com/">parealestateresources.com.</a> I look forward to hearing from you. Make it a great day!2021-01-07T11:28:00-07:002022-03-17T13:09:18-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:5352Are Zillow’s Zestimates Accurate?
Here’s why you can’t trust Zillow’s estimate of your house’s worth.
Can you trust Zillow to give you an accurate estimate of your home’s value in today’s real estate market? Sellers ask me this quite a bit. Unfortunately, the answer is a resounding ‘No.’
"Zillow can’t give you a true estimation of your home’s worth."
A few years ago, Zillow had lousy results; their margin of error was between 10% and 15%. It’s gotten better over the last few years, but it still misses the mark on your home’s true valuation. Zillow doesn’t have data on the condition of your house. If the home needs some maintenance, that can diminish its value a bit. If your house is in immaculate condition, that will magnify its value, and buyers will pay a premium for it.
When was the roof last replaced? How old is the kitchen? Were the bathrooms ever upgraded? How is the HVAC unit? Recent changes in air conditioning units are having a massive impact on home values. Zillow doesn’t know any of these things about your property.
The best way to find out what your home is worth in today’s market is to give me a call or leave a comment at the bottom of this page. You can see more from me on YouTube, and reach out to me on Facebook. If you want to discuss your home’s worth or have any questions, contact me and we’ll have a no-pressure conversation. I would love to speak with you.2020-12-31T11:31:00-07:002022-03-17T13:09:06-07:00Vyral Marketingtag:parealestateresources.com,2012-09-20:4207This week in real estate 09-09-20202020-09-09T07:43:00-07:002020-09-09T07:45:15-07:00Paul Chasetag:parealestateresources.com,2012-09-20:4091This Week in Real Estate Aug 12, 20202020-08-12T09:50:00-07:002020-08-12T09:54:14-07:00Paul Chasetag:parealestateresources.com,2012-09-20:4077This Week in Real Estate 8-05-20202020-08-07T03:47:00-07:002020-08-07T03:49:36-07:00Paul Chasetag:parealestateresources.com,2012-09-20:4047This Week in Real Estate 7-29-20202020-07-30T09:55:00-07:002020-07-30T09:58:20-07:00Paul Chasetag:parealestateresources.com,2012-09-20:4003TWIRE 7-22-20202020-07-22T07:22:00-07:002020-07-22T07:26:48-07:00Paul Chase