by Jeff Pittman | Aug 14, 2014 | Buyers
Whether you’re buying your first house or moving up to a bigger and better one, chances are you’re going to need a mortgage. That’s why securing a mortgage and getting your finances in order is the first step for any buyer. Where exactly do you start? Well when I started writing this piece I went straight to the source – real estate financial advisor and expert Renee Wiginton. Renee works with a First Team affiliate company helping buyers find the perfect mortgage loan to fit their needs. So what’s the first step for any buyer to getting a mortgage? Same as mine – start talking with the person who knows it all! 1. Consult with a real estate financial advisor The first person you want to speak with is an experienced real estate financial advisor (some call themselves loan officers). A financial advisor will counsel buyers on tailoring the perfect loan to fit their specific lifestyle and situation. The reason you need to start with a real estate financial expert is because only they have access to the underwriting systems you need to officially and accurately determine once and for all what type of mortgage you will qualify for. Make it easier: The best way to find a trustworthy financial advisor is to get a referral from a real estate agent. If you’re a first-time buyer you will have a lot of questions and a buyer’s agent is the perfect person to answer all of them and connect you with all the help you need throughout the buying process (financial professionals, tax specialists, service contractors, etc.) 2. Get Pre-Approved For...
by Jeff Pittman | Aug 11, 2014 | Buyers
Potential home buyers will find that their credit score starts to get a lot of attention as they start looking to buy a home. Lenders use this number as a way to figure out what loans and interest rates home buyers will qualify for. While the best way to have good credit is to maintain it from the beginning of your credit history, that is not always possible. Mistakes, unexpected financial burdens, and other surprises can bring your credit score down. Luckily there are ways to improve your score if it is less than satisfactory. Because credit scores are based on credit history, dramatically improving your credit takes time. That said, there are ways to see immediate results. If your credit score is low and your want to improve it both sooner and later, follow these 9 tips to improve your credit score. 1. Improve your credit utilization ratio. Credit utilization ratio is the percentage you are using of your available credit and has a major impact on your credit score. When you using a high percentage of your available credit you become a high risk for lenders. Improve your credit score by either paying off the card with the highest credit utilization ratio or by calling your credit card company and asking for an increase in your credit limit. If you have two cards, one with a limit of $4,000 and balance of $1,200 and the second with a limit of $1,200 and a balance of $800, it will improve your credit most to pay the second card or to have the limit increased. This will show up...
by Jeff Pittman | Aug 4, 2014 | Buyers, Homeowners, Sellers
The moving process can quickly become messy and exhausting-especially if you are moving a lot of people and a lot of stuff. If you are preparing for a big move, there are several things you can do to lower stress levels and help the process go smoothly and quickly. Read on to get a few ideas for moving lifesavers that will keep you from tearing your hair out on moving day. For more moving tips, check out this list of 10 tips for moving with Pets. Create the Ultimate Checklist Before dragging out the boxes, stay organized by compiling a list of all things that need to be packed. It can be sorted based on things that can go immediately or things that should remain at the current home until moving day, such as certain foods and toiletries. You can organize the itemized list by room, so that you can tackle one room at a time when it moving day comes. When creating a “to-do” list for the move, try to strategize so that the list can be your guide for the order that you’d like to tackle each task. Too Equipped to Quit This might seem like a no brainer, but if you don’t have the proper supplies and equipment before the move, it will make everything infinitely more difficult. Even something simple like running out of tape will get you off schedule when you have to run to the store for more. Moving supplies include boxes, markers, labels, packing tape, bubble wrap or old newspaper. Make sure you have a dolly for moving heavier items and covers for furniture you...
by Jeff Pittman | Jul 29, 2014 | Buyers
Pets are a part of the family and so it’s important to take our furry friends into consideration when it’s time to move. Here is a list of the top 10 tips for moving with pets to help keep you organized and make sure nothing is forgotten in the process. Follow along for a seamless home transition for you AND your pet. 1. Prepare your pet for the big move. Your pet is going to be overwhelmed by moving – leaving behind their territory for a place that new and unfamiliar. Not to mention their surroundings are going to be in flux and changing as you start packing up and boxing all of your belongings. Take it slow and introduce the change slowly to your pets by doing your packing in increments. Also, keep your pets in the room you plan to pack last. That way they feel safe and aren’t in your way while you’re running busy getting everything together and moved out. 2. Take a visit to the vet. There are a lot of logistical things to get in order when it comes to moving your pet and you’ve got to make a trip to the vet to get a lot of it done. Because you’re moving, you’ll need to find a new vet and the best way to find one is to ask your current doctor for a referral. For the office change you will need to get a copy of your pet’s vaccination records and more. You’ll also want to stock up on all prescriptions so you’re set for the move. It might be a while until...
by Jeff Pittman | Jul 15, 2014 | Buyers
Before you get a mortgage loan you need to know the basics of what it actually is, that’s why we put together this crash course in the anatomy of a mortgage loan. We’re going to cover the basic definitions of some common terms you’ll run into, the actual break down of what you pay each month for your mortgage and then go into some of the most popular types of mortgages for homebuyers. Terms and Definitions When you are trying to secure a mortgage loan from a lender these are the mortgage components you’ll need to know about: Interest rates – An interest rate is the percentage of your loan amount the lender charges you to borrow the money to buy your house. Interest rates are based on: market conditions, your credit score, the size of your down payment and the type of mortgage you get. Appraisal – This is a written report by an expert that pin points a value for your property based on comparable homes in the area, and it’s characteristics. You will need to get an appraisal on your new home that will determine whether or not your property is worth the amount of the loan you’re trying to get from the bank. Discount points –One point equals 1% of your mortgage amount. If you qualify then you have the option to pay one or more points in order to lower your interest rate. These points are commonly tax deductable. Debt–to-income ratio – A formula lenders use to determine the loan amount you qualify for. How much income you have vs. how much you’re already paying in current debts...
by Jeff Pittman | Jul 7, 2014 | Buyers
If you’re a first-time home buyer then one of big decisions (and the first) you will need to make is what kind of mortgage you want. Before choosing things like fixed-rates or ARMs, you need to decide if you will get a conventional or FHA loan. What’s the difference? Well let’s break it down for you. What is an FHA Loan? An FHA loan is a mortgage loan that is backed or insured by the FHA (Federal Housing Administration) which is a government agency. The way it works is the federal government insures loans for approved lenders to reduce the risk of loss if a homeowner/ borrower defaults on their mortgage. FHA loans are easier to get than other loans because they are available for buyers with less than perfect credit and there are low down payment options. What is a Conventional Loan? A conventional loan is everything else. A conventional loan is not insured by the federal government and also known as a conforming mortgage. These mortgages adhere to the guidelines set by Fannie Mae and Freddie Mac and can have either a fixed or adjustable rate. Conventional home loans typically require a larger down payment however they differ from lender to lender. Recently there have been regulation changes geared at helping first-time buyers more easily obtain mortgages as well which is good news for buyers interested in conventional loans. Renee Wiginton, experienced financial advisor with First Team, helped put together this helpful chart for home buyers and their agents to better understand the differences in price between FHA and conventional loans. Renee works with real estate agents and their buyers...
