Day 1 – 5 Steps Process when Purchasing a House

Day 1 – 5 Steps Process when Purchasing a House

Day 1 – 5 Steps Process when Purchasing a House

https://youtu.be/vyBni7IS9rA

 Welcome this Mario Finkbiner your Solution Provider for All your Home Ownership Needs

 In this 5 Day challenge we will go over several concepts to Help you navigate through the daily challenges of Purchasing/Selling  a HOME.

 Have YOU recently had a LIFE changing EVENT?

 Such as the following

  • Are you currently a Renter looking to purchase your 1st home?
  • Have you recently gotten engaged & need to buy a house in the next year?
  • Did you just get relocated due to JOB?
  • Are you looking to downsize to a smaller house?

 1.  Get a Loan with a Mortgage Broker/Banker 

It’s not always necessary to have a mortgage broker or bank in your back pocket before buying a home, but it’s smarter to get loan pre-approval in advance. This way you know for certain how much home to buy.

I once bought a home without financing in place when I made the offer. I was just lucky. Many sellers won’t look at an offer if the seller doesn’t have an assurance that the buyer can get a loan.

Popular first-time buyer loans are FHA loans because the minimum down payment requirement is much less than a conventional loan. However, if you are thinking about buying foreclosures, for example, conventional buyers tend to get priority with REO banks.

You can ask your agent for a referral to a mortgage broker or check with your own bank/credit union. Compare the types of mortgages available to you and your GFE.

2.  Hire an Realtor 

Because I am an agent, I believe in hiring a buyer’s agent first. But you don’t have to if you prefer to go to open houses and look through a ton of homes online. Mostly, an agent will save you time.

  • An agent can send you listings directly from MLS that fit your parameters, and you won’t waste time looking at active short contingent listings that are under contract.
  • Agents often know of new listings coming up that are not yet on the market.
  • You can waste the agent’s gas and not your own when you tour homes.
  • Some agents will preview homes for you.
  • An agent can generally spot overpriced listings and advise you accordingly.

3.  Find a Home to Buy

Buying a home can be an overwhelming process and emotionally draining. Finding the right home is not always an easy task. I advise buyers to schedule a maximum of 7 homes at a time because any more than that will make a buyer’s head spin.

Most buyers conduct a lot of research online before ever stepping foot in a home. Buyers spend an average of 6 to 8 weeks, according to the National Association of REALTORS, trying to figure out where they want to live. But once the neighborhood is selected, most buyers end up buying a home after 2 or 3 home tours.

4.  Negotiate the Offer

Buyers sometimes make the mistake of comparing the sales price of a home to other homes they have seen. It’s a mistake to compare sales prices among homes for sale. That’s because sellers can ask any price they want. It doesn’t mean the home will sell at that price.

An agent can provide comparable sales and examine the pending sales. Comparable sales are similar type homes in the same condition and location that have sold within the past 3 months.

Pending sales will become the comparable sales by the time your home closes.

You may need to pay over list price in a seller’s market, especially if many buyers are vying for the same inventory. Your agent can give you a reasonable price range and help to manage your expectations. A good buyer’s agent knows there is always more to an offer than its price, but the price is paramount.

5. Do a Home Inspection

In some states, a home inspection is conducted before buyers make a purchase offer. In other states, a home inspection is a contract contingency. A contract contingency means a buyer has the right to cancel the contract. You might not want to be locked into buying a home that has a faulty foundation, for example.

Sellers are generally not required to make repairs if problems are discovered during a home inspection.

A home inspection is for the buyer’s edification. However, sometimes when a buyer gives a Request for Repair to the seller, rather than blow the deal, the seller will often agree to make a repair.

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4 Facts To Be Aware Of With Homeownership

4 Facts To Be Aware Of With Homeownership

 4 Facts To Be Aware Of With Homeownership

4 Facts To Be Aware Of With Homeownership

There is much more to owning a home than just making a mortgage payment.   Families should be aware of all the aspects that are involved with homeownership especially since neglecting some of these areas can result in loss of one’s investment in the home.

This article explores 4 facts that homeowners should not only be aware of but Maintain on regular routine in order to protect their sizable investment.

Let’s get started on the 4 FACTS: Update – Maintenance – T&I – Landscaping 

1.  Updating A Home

A home will requires updates throughout the Life time of homeownership. Can be cosmetic like fresh paint, updating landscaping, adding new window treatments.  While other updates are out of necessity such as replacing outdated HVAC systems (Inefficient), replacing the roof  (preventing weather damage).  Modernizing the Home –  can increase the value when preparing to sell.  for examples/ change the floor plan,  or to remodel a Kitchen or Bathroom.

Where updates like

  • replacing an old worn roof,
  • replacing inoperable HVAC systems or water heaters a
  • A kitchen update, window treatments, or more

While not required, they tend to increase  the value of a home. 

As time goes on and new homes with new features and styles are built, a home without any updates means a current buyer has to accept a severely outdated home or make the updates themselves.

Please NOTE, A buyer when given a choice of  a updated vs outdated home, will tend to purchase the New style or demand drastically reduced price for making updates themselves.

Basically homebuyers want a modern home that is ready to live in at current market prices.  (TURN KEY). Or the more outdate its interior is the more of a discount will be needed in order to help get that home sold.

2.  Deferred Maintenance

Maintenance is an ongoing thing for a home and generally should be taken care of as soon as an issue arises.  Whether maintenance issues arise from pest intrusions, caused by the weather, or items in a home wearing out with time and use avoiding the immediate repair can cause bigger problems down the line.  For example a home where water is allowed to enter through a leaking roof, bad seals between a window casing, or leaking plumbing may seem minor, but when it rains or the leak is a very slow drip the damage can become Very Costly.

If the water is leaking into enclosed spaces with very little air movement then the chances of mold growth increase.  If water is dripping on untreated wood then wood swelling issues and wood rot can happen.

Over time what  may have been saved by “deferring maintenance” ends up costing much more.

  • The little water leak has allowed mold to grow behind walls which now needs demolition and costly professional cleanup
  • the small plumbing leak under the sink caused wood rot in the cabinet and flooring below requiring costly repairs.
  • Leaking gutters can cause foundation problems because the gutters are meant to direct water away from the land right around the home.

So the important thing to do with a home is to make sure issues are taken care of right away or to keep a regular schedule of preventative maintenance (like HVAC tune up to diagnose and prevent toxic gas leakage into the home) to prevent bigger problems from happening in the future.  The money spent now to stop a problem in its tracks will be much less than the money spent to clean up the multiple other problems that pop up.

3. Taxes and Insurance  

If you own a home free and clear( no mortgage) then mortgage insurance is not required.  Now taxes, is a different story, its always required by local, county and/or state level governments.

Failure to pay taxes on a home can result in liens levied property or in some cases Foreclosure procedures.

Often times mortgage companies will require homeowners to pay into escrow money that will be used to pay the regular tax and insurance bills.  The amounts needed for the tax and insurance bill are paid for on a monthly basis where 1/12th of the total payments are paid each month.  Some mortgage lenders do allow homeowners to forgo an escrow account so long as they keep up with paying the insurance and tax payments on time.

If a homeowner has a mortgage then the mortgage company will require the homeowner to maintain an insurance policy on the home with certain minimum coverages.  If a homeowner does not have a mortgage it is still advisable that insurance coverage be maintained on the home.  A home is generally one of the most expensive things people will own and to not cover it  with insurance could end up being very costly in the event the worst does happen and the home along all of its contents are lost due to some unforeseen event.

4. Landscaping

While some people may like to move into a home and never have to worry about mowing the lawn or maintaining the landscaping ( trees, bushes, plants  etc..). It is up to homeowner to do this or hire someone.

  •  Plant a large tree too close to a home and the root structure can begin to cause problems with the foundations.
  • Fail to cut down a dead tree and tomorrow it can fall on your home causing roof damage.
  • Large trees by homes allow pests easier access to the attic area where certain animals (mice, squirrels, etc.)
  • If bushes and other vegetative cover are too close to a home, this provides easy pathway for insects to the home.

ALL of these examples are COSTLY to the Homeowner!

Landscaping is also one of those things that add curb appeal to the home. 

While for some homeowners this may not matter until house goes on the market, it drastically effects adversely the curb appeal.  The condition of the  landscaping will be a big factor when one goes to sell or apply for a mortgage refinance.

Remember You can pay now or Really Pay later  !!!

Ongoing maintenance of the Property Interior,  Exterior & Landscaping will prevent disastrous situations.

Summary 

Purchasing a house is NOT just paying the monthly mortgage, It includes maintenance of the property, Insurance & Taxes. Remember Homeownership is a Long term commitment and one of the biggest financial investments in your lifetime.

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Contacts us directly at Marcia 339-364-0600 or  Mario 914-598-7455 or email at  MandMSolutionProvider@gmail.com

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8 Steps to Buy a House

8 Steps to Buy a House

8 Steps to Buy a House

Learn about the home-buying process and the steps it takes to buy a house.

  1. See how much you can afford
  2. Get pre-approved.
  3. Attend open houses.
  4. Search homes for sale.
  5. Find a real estate agent.
  6. Make an offer.
  7. Inspect the home.
  8. Get the keys.

Let’s take a closer look at each of the 8 Steps to Buy a Hous

1. See how much you can afford

The fastest way to get a sense of how much you can afford is with an online mortgage calculator. Find out how much you can afford with the Home Affordability Calculator.

2. Get pre-approved.

Getting pre-approved initiates, the mortgage process with a lender and tells you how much you can borrow. It also allows you to move faster when you’re ready to make an offer.

3. Attend open houses.

Go to open houses and get a feel for what you like and don’t like. Then create a list of what you want in a home, including the price range, number of bedrooms and bathrooms, and location.

4. Search homes for sale.

Use your wish list to inform your home search. Start browsing homes for sale in your area.

5. Find a real estate agent.

Choosing the right real estate agent can be the key to finding the right home and getting the best deal. Find a few agents that specialize in your area.

6. Make an offer.

Work with your real estate agent to make an offer. Discuss your offer strategy with your agent: Is the home priced fairly? What will make your offer stand out?

7. Inspect the home.

An inspection identifies existing structural, electrical, or plumbing issues with the home. After the inspection, you can try to negotiate repairs or a lower price with the seller.

8. Get the keys.

You will typically get the keys after 5 p.m. on your close date. If you work with a MandMSolutionProvider  staff member to buy your home and celebrate your success!

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