You have the keys to your new home. Are you ready to paint the walls, host a housewarming party, and lounge for days? Great! But first, you have to move…

We’re not going to lie. Moving is never a breeze. But, it doesn’t have to be a back-thrown-out, truck-broken-down headache either. With the right approach, you can make this move your easiest one yet!

Hire a Professional for the Big Stuff

Saving a bit of coin can seem like a good idea, until you consider the dinged doors, scratched walls, and sore back you’ll have to show for it. Professional movers are professionals for several reasons:

• They have experience. Moving is their job. They know how to fit items around corners and through door frames.
• They have the tools to make the job easier. Good moving companies have soft blankets designed for covering sharp corners to ensure your home and your stuff is protected.
• They have trucks. Sometimes carrying capacity is one of the biggest hurdles. Good moving companies have rigs big enough to move your items on hand for just such an occasion.

Host a Moving Party

What’s one thing that makes an un-enjoyable task more fun? Friends, of course! Host a moving party. Tell your friends when and where you’d like them to be. Bribe them with a healthy dose of post-moving pizza and cocktails. Just make sure you have all your boxes packed before your helpers arrive.

Pack Key Kitchen Items Last & Put Them in a Well Labeled Box

Eating takeout gets old and expensive after awhile. Keep your key kitchen utensils out until the last and pack them where they can easily be accessed. It’s not uncommon for some boxes to go untouched for months after you move.

But before you can move into your new home, you have to buy it. If you’re ready to move forward, I look forward to hearing from you.

In the real estate world, money rules. Sellers want to get paid. Following the recession, all-cash offers ruled. They often still do. But, buying a house outright takes a fair bit of coin. Most folks simply don’t have that much cash on hand.

Luckily, this doesn’t mean all hope is lost. These four tactics can help you compete against all-cash offers:

Be First

Don’t wait to submit your offer. Submit it immediately. And, assume you won’t have the ability to negotiate. Make your best offer first. If you’re afraid of overpaying, take a close look at the current market rate.

Be a Bit Larger

Submitting the biggest offer doesn’t automatically mean you’ll win, but it often helps. Typically all-cash offers are made by investors. Because investors are looking to make the biggest profit possible, they often aren’t submitting the biggest purchase price. If you can pay more, this can give you negotiating power.

Be Flexible

While a seller wants to get out of their house, they might not want to get out right away. This is especially true if they are buying a new house on contingency. Make sure to emphasize your flexibility. Allow the seller to set the timeline and some of the specifics. The more flexible you are, the more attractive you are as a buyer.

Be Personable

Write a sincere letter to the seller. Explain why you want the home and the future you imagine having there. Maybe you’re getting ready to start a family. Maybe your family is getting ready to expand. Tug at the seller’s emotional heartstrings. While this won’t always help, it will in some cases. There are a lot of homeowners who become very attached to their home. When they are ready to sell, they often want to leave their home in the hands of someone who will love it.

Before you go house hunting, make sure to get pre-approved. Give me a call today.

From the first Band-Aid to phone calls home, mom and dad have supported you through thick-and-thin. Now that you’re financially stable, helping them buy a new home might seem like a dream come true.

It’s also a step that is more complicated (and risky) than you might realize. From cosigning to down payment support, there are a number of ways you can help. But before you jump in feet first, it’s important to carefully consider the pros and cons of each.

Cosign

This can be one of the simplest ways to help your parents secure a new home, especially if they have a limited income. Getting approved for a mortgage is heavily dependant on not only the loan-to-value ratio, but the overall debt-to-income ratio of the borrowers. This means cosigning could improve your parent’s debt-to-income ratio (DTI). This could help them get approved for a bigger mortgage than they might otherwise.

What’s the catch? Cosigning their mortgage means you remain financially responsible throughout the lifespan of the mortgage. This is true whether you live with them or not. If your parents fall behind on their payments, the debt will also affect your credit score.

Down Payment Assistance

Alternatively, down payment assistance allows you to help your parents without putting your credit in jeopardy. To avoid the pricey gift tax, it’s best to plan ahead. (The maximum gift allowed is $14,000. You can gift each of your parents the full sum and so can your spouse without being parent’s being taxed.)

What’s the catch? Giving your parents enough for a down payment is a hefty sum! This is money that could go in your own retirement fund, be used for college tuition payments or simply make life a bit easier.

Renting

Renting to your parents is another way to help them move into a new home without attaching your credit future to theirs. Buying a second home has the added perk of tax deductions. You could qualify for everything from mortgage interest and property tax deductions to maintenance costs and depreciation expenses.

What’s the catch? Second homes are considered investment properties. Typically, the mortgage rates attached to them are a bit higher than you’ll be charged for your primary residence.

Ready to start exploring your options? Contact a loan officer today.

Location. Location. Location. When it comes to real estate values, it is the number one attribute. It is also one of the primary factors when it comes to your happiness. This is why, when it comes to finding your perfect home, you must first find your perfect neighborhood.

Why is the right neighborhood so important? Because the community that surrounds you plays a huge role in your environment. For example, if you are deeply religious, being surrounded by members of your faith can be a source of support. Alternatively, if you love to host potentially noisy parties, living in a quiet cul-de-sac might not fit the bill. The key is to find a location where your neighbors’ lifestyles mirror your own.

In many ways, finding the right neighborhood is like finding the right partner. It is ideal to find a place where others share your same values. Additionally, the perfect neighborhood will introduce enough spice into your life to keep things interesting – as a good partner does.

As you begin considering what neighborhood is right, ask yourself what is important to you on a daily basis. Do you want to live in a place that’s kid-friendly? Would you like it to be walkable and have cultural offerings? Is easy access to the freeway important? Or maybe you want access to hiking trails?

Then, visit neighborhoods you think fit the bill. Take the time to visit them at varying times during the day. Walk around. Talk to neighbors. Find out what’s close.

It is also essential you consider the day-to-day life of the place. Often people want to buy a home in a location because it is where they enjoy vacationing. That is great if this home is going to be your vacation home. However, vacation isn’t real life. It is vacation. Your perfect neighborhood is one you can enjoy everyday.

Ready to start house hunting? Give me a call today.

Buying your first home is exciting. As you begin imagining your new life, it’s easy to dream of a new couch here and a new TV there. It’s logical to picture a professionally landscaped yard and the color scheme of your new home office.

But remember all these “new” things cost money. Before you wipe out your savings account to outfit your new abode, make sure you can cover all the potential expenses associated with buying.

Third party fees paid at closing are typically non-negotiable. Sometimes the seller will pay some or all of these costs, but sometimes not. These third party fees can include:

• Document Taxes
• Transfer Taxes
• Prorated Property Taxes

You’ll also need to pay for a home appraisal. Additionally, it’s often a good idea to invest in a professional home inspection before closing.

Once you’ve closed, you might get hit with a special property tax assessment. This is different from the property taxes and hazard insurance your mortgage company has already collected. This tax generally occurs when your taxing authority needs money to put in a new streetlight or revamp a park in your neighborhood.

If your condo or neighborhood is governed by a homeowners association (HOA), you might be charged special HOA assessments. This typically covers items such as repairs and improvements to the common areas. It’s a fee that’s due above and beyond your monthly or yearly HOA dues. The good news is, HOA members typically vote on projects and review bids before any work is started.

In addition to special taxes and assessments, you might need to acquire flood and disaster insurance. This is particularly true if you live in a flood plain.

Furthermore, your home might need some unforeseen work. For example, you could suddenly need to repair the dishwasher or patch a leaky sink.

Have additional questions? Give me a call today.

When the initial stage of your Home Equity Line of Credit (HELOC) comes to an end, you could be facing a large increase in your monthly payment. Luckily, you have options.

An HELOC has two stages. The initial draw period typically lasts 10 years, though it can stretch for as long as 20 years. During this time, you make a relatively small monthly payment that covers only the interest.

During the second stage, known as the amortization phase, your minimum monthly payment includes both the principal and the interest. This causes a considerable spike in the monthly check you need to cut.

Luckily, you can delay the payment increase by refinancing your HELOC loan with one of these three options:

Refinance Your HELOC

By refinancing your HELOC, you’ll start over with a new HELOC. With this option, you’ll still have to pay off the balance someday. But for the time being, you’ll continue to enjoy the interest-only draw period.

Why would your choose to refinance? Because nearly all HELOCs are variable rate, meaning they fluctuate based on current interest rates. It’s impossible to know what rates will be in a year. If they drop considerably, the overall cost of your loan will also decrease.

Pay Off Your HELOC with a Fixed-Rate Home-Equity Loan

By taking out a home-equity loan with a fixed rate, you’ll be able to pay off your HELOC and enjoy a consistent monthly payment through the lifespan of your loan.

Refinance Your HELOC and First Mortgage into a New Primary Mortgage

Refinancing both your HELOC and first mortgage into a new primary mortgage loan would allow you to take advantage of today’s low fixed-interest rate.

The drawback you’ll face is higher closing costs. In comparison, most HELOCs have significantly lower closing costs than primary mortgages.

Regardless of which option you take to refinance your HELOC, it’s worth noting that qualification standards have become stricter since 2008. In order to protect both borrowers and lenders, a more in-depth analysis is performed of your trustworthiness as a borrower.

Interested in learning more about your options? Contact Rob today to learn more.