Category Archives: Homebuyers

Money Monday: Financial mistakes new parents should avoid

While you might not need all the gear you’ve stocked up on, there’s no getting around the fact that having a baby will bring changes to your budget. Here’s some money mistakes to avoid as new parents:

Money Monday: How to buy your first home

Ready to move on from renting? Here’s some tips on buying your first home.

home buying

Search for La Mesa homes for sale here!

1. Get your money in order

This might be the largest purchase you make, which makes sorting out your money a top priority!

2. Shop at more than one place for your mortgage

You don’t have to stick with the first place you go for a loan; check out other lenders.

3. Shop for your home

Part of shopping for a home means considering enlisting the help of a real estate agent; I would be honored to have the opportunity to earn the position. Give me a call to see how I can help you in your house search!

Delve into each deeper in CNN’s article here: “How to Buy Your First Home.”

Money Monday: Should you rent or buy real estate?

Trying to figure out if renting or buying is best for your family? Thinking about a few questions can help you answer this question.

real estate buying or renting

“Homeownership was once the cornerstone of the American Dream, but times are changing. More U.S. households are renting today than at any point in the last 50 years, according to a Pew Research Center analysis.”

  1. How long are you planning on living there?
  2. Consider all of the hidden costs associated with both renting and owning.
  3. Are you saving and investing? Or throwing your money away?

Read more on CNN’s article here: “Should you rent or buy a home?”

Monday Monday: Fall may be financially the best time to move

Fall may be the best time for buyers to move.

A slower fall season in home buying may help more lingering home buyers to jump in.
Prices are easing somewhat. For the second month in a row, the median price of an existing home dropped. It reached $253,500 in August, after reaching a record high of $263,300 in June, according to the latest data from the National Association of REALTORS®.
“Median sales prices typically decline a bit heading into the fall,” says Danielle Hale, realtor.com®’s chief economist. “Summer is a big time for home purchases, so that families settle in before school starts in the fall. In the fall, the types of homes that sell are smaller for people without kids. So they tend to be less expensive.”
Existing homes are proving to be a bargain compared to newer homes. The median price of a new home reached $313,700 in July, which is 23.7 percent higher than an existing home.

July 2017 Real Estate Market Report

Existing-Home Sales Slide 1.3 Percent in July

real estate market update for July 2017Listings in July typically went under contract in under 30 days for the fourth consecutive month because of high buyer demand, but existing-home sales ultimately pulled back as large declines in the Northeast and Midwest outweighed sales increases in the South and West, according to the National Association of Realtors®.

Total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, slipped 1.3 percent to a seasonally adjusted annual rate of 5.44 million in July from a downwardly revised 5.51 million in June. July’s sales pace is still 2.1 percent above a year ago, but is the lowest of 2017.

Lawrence Yun, NAR chief economist, says the second half of the year got off on a somewhat sour note as existing sales in July inched backward. “Buyer interest in most of the country has held up strongly this summer and homes are selling fast, but the negative effect of not enough inventory to choose from and its pressure on overall affordability put the brakes on what should’ve been a higher sales pace,” he said. “Contract activity has mostly trended downward since February and ultimately put a large dent on closings last month.”

“Home prices are still rising above incomes and way too fast in many markets,” said Yun. “Realtors® continue to say prospective buyers are frustrated by how quickly prices are rising for the minimal selection of homes that fit buyers’ budget and wish list.”

According to Freddie Mac, the average commitment rate (link is external) for a 30-year, conventional, fixed-rate mortgage rose to 3.97 percent in July from 3.90 percent in June. The average commitment rate for all of 2016 was 3.65 percent.

To read the rest of this article, visit here

Avoid Real Estate Regret

Buying a home is a big decision; make sure you don’t suffer from homebuyers’ regret by taking these things into consideration.

  • What is the neighborhood atmosphere at night, when everyone’s home?
  • How long will your commute be?
  • Take a look at the CC&Rs, or the homeowner association rules. Are there any that are a no-go for you?
  • If there are any specialty amenities on the property (like a septic system or pool), you may want to have an expert do a thorough inspection of them.

Avoid homebuyers' real estate regret

This infographic is from the CALIFORNIA ASSOCIATION OF REALTORS, at CAR.org.

Money Monday: Homebuying myths you need to avoid

Don’t fall for these 6 homebuying myths

home buying

“Buying a home is one of the biggest financial decisions you will make, and you’ll likely need to do a lot of planning and research before you take the leap. But don’t get snagged by misconceptions. Mortgage expert Tim Manni busts these six common real estate myths to help you find — and afford — your first home.”

  1. Your credit score is “good enough” to buy a home
  2. Loan pre-approval determines your price range
  3. Your home purchase is non-negotiable

Read the three other homebuying myths here, on Yahoo’s personal finance page: “Don’t fall for these 6 homebuying myths.”

 

How Homebuyers Can Overcome Tough Competition

Tips for homebuyers

Source: Kiplinger

Redfin Chief Economist says to win in a hot market, home buyers should take advantage of technology to find homes as soon as they are listed.

Making sense of the story:

  • Arm yourself with tech tools to find available homes quickly. With the variety of apps available today, you can receive listing alerts so that you’re notified as soon as a home in your price range or search area hits the market.
  • Buyers will gain an advantage from whatever concessions they can offer. Instead of a small earnest-money deposit, we’ve seen buyers put into escrow their entire down payment or even half of the purchase price.
    You needn’t waive a contingency for inspection in the purchase contract.
  • Rather, you can agree to pay the seller, say, $2,500, or next month’s mortgage payment, if you walk away.
    Work with a local or reputable lender to get a pre¬approval for your mortgage that includes full documentation of your means to obtain a certain amount of financing in advance of a signed purchase contract.
  • That may give you the confidence to waive a contingency for financing, and it’s almost as good as cash for closing a deal quickly.
  • Because sellers can sell their homes in days but may take months to buy, you can gain leverage by offering to “rent back” their home to them for a certain number of months.
  • Fall can be a good time to buy a home because prices generally peak in the summer and ease up in the fall.
  • There’s a bit less inventory, but many fewer buyers. Plus, sellers who list in the fall are serious because they must leave because of job relocation, divorce or something else that made them miss the top of the season.

Read the full story