You are currently browsing the category archive for the ‘Buyer Tips’ category.
Stop Renting! Buy an Anchorage home now! Anchorage home prices continue to be more affordable, interest rates remain low and inventory levels are still good. But why should you own an Anchorage home instead of renting one? I’m glad you asked. Here are a few things to consider when deciding to stop renting and start buying:
How long will you be in your Anchorage home? The longer you wish to reside in a specific area, the more likely you should buy a home. When you’re a homeowner, the money you pay in your monthly mortgage goes towards paying down your principal, giving you ownership. When you rent, you don’t own any of the property you live in. So, if you plan on staying in one area for at least a few years, owning a home makes good fiscal sense.
How much of a downpayment can you afford? Lenders have become more stringent with their lending practices. The ideal amount of a downpayment on an Anchorage home is 20%. This will not only show the lender how serious you are to purchase your home, but it also saves you money by dismissing the need for PMI (private mortgage insurance) that is required when you borrow more than 80% on a home loan. However, when you consider that 20% on a $150,000 home is $30,000, this can be a big chunk of change. There are still plenty of loan programs available that will allow you to purchase an Anchorage home for less than the recommended 20%, especially if your credit is in good standing. Also keep in mind that your downpayment can’t “suddenly appear” in your savings accounts. It must be seasoned to show your financial responsibility. Just ask me how this all works.
Are you ready for complete financial responsibility? One of the “perks” of renting a home is that someone else is financially responsible if something breaks or needs to be replaced. Owning a home comes with some costs. One thing to consider about renting, though, is that you are also at the mercy of WHEN someone decides to fix something and WHAT they want to replace it with. You are your own landlord when you own an Anchorage home. You decide whom you will use to repair an item in your own home and what you will replace something with. You also currently get the benefit of tax credits on some of the interest you pay on your home loan, which can add up to quite a bit over the first few years. You don’t get that when you rent.
There are plenty of great reasons to stop renting. Buy an Anchorage home now instead. If you need any help or have any questions, please feel free to contact me. I’ve been in the real estate business for more than 25 years.
We all know that moving can be hard on our families. But, it can also be stressful for our pets. Here are a few moving tips for pet owners to help ease the transition into their new Anchorage homes:
Visit the Vet – If you are planning on moving out of your current area and will be looking for a vet near your new Anchorage home, make sure to visit your vet before the move so that your pet is up to date on all their vaccinations. This would also be a good time to get your pet’s medical records, refill any of your animal’s medications and think about embedding a microchip. The possibility of a pet becoming lost increases when a move is involved.
Food and Treats – Have plenty of your pet’s regular food, treats and even their favorite toys on hand. Pack some dry dog food and treats in zippered baggies along with a couple of their toys so that you don’t have to go searching for food at the new place. These could also go in your “Open Me First” box if you like.
Doggie Day Care – Moving day is hectic, even in the best of circumstances. Doors can be left open and there are usually so many different people coming in and out that your pet may get confused and take off. To make this day easier, consider having a neighbor, friend or family member watch your pet for the day. If possible, you may want to consider a professional doggie day care.
This is Your Space – Create an area dedicated just to your pet. For dogs, this could be an area with their favorite toy, blanket, bed, etc. Show them their new space. Spend a bit of time with them to get them calmed down and used to the area. For cats, they’re going to want to explore the whole house. Just make sure they know where their litter box is located as well as their food and water dishes.
Get Back Into a Routine – Packing, moving and unpacking takes its toll on everyone. It will be good for both you and your animals to take a break and stretch your legs on a nice walk. Keep regular mealtimes. Getting back into your normal routine will help your pet acclimate to your new Anchorage property in no time.
Our pets are like members of our family. Moving can be just as stressful on them as it is on us. Keep these moving tips for pet owners in mind the next time you need to move. If you’re looking to buy or sell an Anchorage home, give me a call today.
With Anchorage home prices remaining relatively steady, inventory levels high and interest rates beginning to creep up (hovering just over the 5% mark), is now the time to buy an Anchorage home? Many buyers have been trying to time their Anchorage real estate purchase at the “bottom of the market”. No one can predict where that is or when that will be. Instead of looking at what the Anchorage real estate market WILL do, consider WHAT YOU WANT from homeownership.
I want to live in one area for a period of time. Owning a home is still a sound investment, especially for those wanting to set down roots for more than a couple of years.
I want to build up my credit. While appreciation of property may have slowed down, it is still happening. The longer you are in your Anchorage home, the more you pay down your mortgage. Buying a property for a decent price in a good location will bring you equity. Making steady payments will help raise your credit score as well as create a valuable asset.
I am tired of having to answer to a landlord. Renting a home means that you cannot make any changes you want to your home without the landlord’s approval. By owning your own Anchorage home, you are free to paint and decorate however you wish. And, if you decide to move out, you have the option of renting out your own property as a source of income.
Homeownership is a big decision that shouldn’t be taken lightly. For those who are constantly on the move and don’t want to be bogged down in one place for too long, owning your own home may not be right for you. However, if you’re looking to settle down for a bit and want to make an investment in your future rather than simply paying a landlord, you may want to consider buying a home. Contact your local Anchorage REALTOR® today to see if now is the time for you to buy an Anchorage home.
Living in a place with high precipitation and snow levels can wreak havoc on an Anchorage home’s roof. Repairing a leaky roof can be expensive. However, not all leaks can be seen easily. When you decide to purchase an Anchorage home, make sure to hire a home inspector. No matter how old or new the home is, it is important to look out for leaky roofs or situations that may cause a roof to leak. Make sure your inspector looks for the following problems and potential problems:
- Roofing Shingles – While roofing shingles are meant to last for 15 years before they need repair, shingles that have been improperly installed may cause water to leak through, damaging the roof. Check that the joints are properly located and that there is a protective underlay beneath it to help prevent moisture from seeping into the home.
- Structure of Roof - If the roof sags, this could mean that there was a leak previously or could cause a leak in the future. A professional home inspector will be able to assess the issue for you.
- Water Pooling – Small, indented areas of a flat roof can lead to water pooling which can create a bigger possibility of a leak.
- Drains/Gutters – Clogged drains or rain gutters can create a backup of water onto the roof. But debris isn’t the only issue. The wind can move a gutter from its original position if it has been improperly installed. Make sure the home inspector has checked to see that they are set correctly.
- Nails – You may not think that nails can be a problem, but nails that have become corroded over time can create small holes that allow water to seep in.
- Insulation – Any insulation used on your home should include a vapor barrier. If there is a leak, you will not be able to combat it with simply patching.
- Vents/Exhaust Pipes - All vents and exhaust pipes leading to or from the attic should be open and clear.
- Chimney – A cracked chimney, a chimney cap that is in disrepair or a chimney with eroded joints not only let cold air in, but also moisture.
- Previous Repairs – A professional home inspector can spot a previous repair that may have been done improperly and suggest ways to re-do them to prevent potential problems in the future.
When you decide to purchase Anchorage real estate, make sure to look out for leaky roofs. They can cause problems and cost you thousands of dollars down the road. That’s why having a professional home inspection done before you buy is a smart choice. If you are interested in buying or selling your Anchorage home, please contact me. It’s still an amazing time to buy a home.
If you are interested in buying an Anchorage home, there are a few common mistakes that buyers can avoid if they know what to look for. You definitely want to keep a list of your questions handy at all times and always hire the right team of professionals for your needs to make sure your Anchorage real estate purchase goes smoothly and effectively.
Choosing the right agent for you - Since both personalities and experience can vary greatly from agent to agent, you should interview several local REALTORS® before deciding which one you want to represent you. Before you interview an agent, get a list of your most important questions together and use them to help you find out their qualifications and if they are a good “fit” for you.
Research lenders – Again, gathering a list of your most important questions will help get the interview process moving along. Ask anything and everything you want to have answers for. With the predatory lending practices of mortgage companies in the past, you want to make sure you understand every aspect of what goes into your mortgage.
No window shopping – If you are looking in an area that is considered to be highly desirable, there will be a ton of competition. A home for sale in a desirable area doesn’t have the same issues as one that isn’t. This means that if you’re not ready to buy at that time, it may not be there when you are ready. So, only look for a home when you are absolutely ready to purchase one.
Think about the future – While you may be fine with the small bedrooms, no master bathroom and a laundry room in the garage, will another buyer feel the same? If you are purchasing an Anchorage home now with the thought of selling it in a few years, you need to consider the home’s resale value. You also want to check out the neighborhood to see if the homes are appreciating in value or if they are on a losing streak. If they are still tumbling in value, that could mean that you may find yourself losing money when it comes time to sell it.
By keeping these common mistakes buyers can avoid in mind when looking for your Anchorage home, you are sure to come out ahead in any real estate transaction. If you are considering purchasing any Anchorage real estate, make sure to contact me today!
Did you think that the “no money down” days of home buying were over? Not according to the National Association of REALTORS®. The NAR conducted a study of homebuyers and sellers from 2009 that showed that 20% of all first-time home buyers and 10% of repeat home buyers bought their homes with absolutely no money down (100% financing). Typically, however, buyers are required to come up with around 8% of the sale price to purchase a home in today’s market. Last year, the historically low interest rates and tax credit incentives helped to sell 5.2 million existing homes. With rates remaining low and down payments remaining small, it looks like there may be another 5+ million homes sold this year as well.
What do you need to get a “no money down” loan? Active members of the military as well as veterans are able to qualify for home loans with no money down much more easily than the rest of the homebuyers out there. With programs like the Veteran’s Affairs Home Loan Guarantee Program, active and retired military members can also purchase a home with very little money up front. Additionally, a homeowner that used a VA loan to purchase their home and ends up in foreclosure means that the homeownership reverts back to the VA. Since the VA is not interested in managing homes, they want to sell foreclosed homes as quickly as possible. Usually, the only way to do this is to sell it with no money down.
If you’re interested in finding out how you can buy an Anchorage home with no money down, I’d be happy to talk to you about your options. Just contact me today. While they are definitely not the “norm”, the “no money down” days of home buyer are no over!
If you are like many people over the last couple of years, you may have found yourself in dire financial straits and unable to keep your home. But now you have picked yourself up, dusted yourself off and thought about diving into the Anchorage real estate pool again. But, are you wondering how long after a foreclosure do you have to wait before you will be able to finance another home? I’ve got the answers for you right here.
Typically, if you have your home foreclosured on or handed over to the lender under deed-in-lieu of foreclosure, you won’t be eligible for FHA financing for three years after your previous home was foreclosed on. If you filed for Chapter 7 Bankruptcy (where you may keep some property but are liquidating your debts), you won’t be eligible to apply for a new FHA loan for two years. However, if you filed for Chapter 13 Bankruptcy (the reorganization of debt), you may only have to wait as little as 12 months.
It’s important to remember, however, that these rules are not written in stone. Some lenders may allow you to apply for an FHA loan less than three years after a foreclosure if the previous home was lost due to extenuating circumstances, such as an extended illness or even death of a spouse. On the other hand, some lenders may follow even stricter guidelines and refuse a loan even after three years have passed since the foreclosure. That is why it is important to speak with your local lenders before you apply for an FHA loan to see what their stance is on previous foreclosures and financing your next Anchorage home. Of course, you can always contact me and I’ll be happy to help you find the answers you need!
With the economy taking such a hard hit in the last few years, several people find themselves in the unhappy position of needing to modify their loan terms in order to avoid a possible foreclosure. Unfortunately, with the recent loan modification programs that have been put in place, there have also been an onslaught of loan modification scams.
Freddie Mac, Fannie Mae, the Lawyers Committee for Civil Rights Under Law, Neighbor Works America and other agencies have banded together to create their own Loan Modification and Scam Prevention Network to help warn people of loan modification scam artists and help point people in the right direction to get in contact with a legitimate loan modification company.
PreventLoanScams.org was designed as an online resource to act as a national clearinghouse for loan modification scam information in support of national, state and local law enforcement efforts. Scam loan modification companies usually demand money up front to help homeowners in distress with their mortgage loans and the homeowners never actually receive any help. Without any help and even less money, the homeowners have no choice but to watch as their homes get foreclosed on.
The PreventLoanScams.org website offers electronic filing of complaints, press releases of the lastest information about loan modification fruad, information on how to report a scam, real stories from people who have been the victims of fraudulent loan modification activity and a state by state breakdown of resources to help you file complaints against specific loan modification companies in your area. They also provide names of organizations and individuals who have been identified by law enforcement agencies as alleged scammers to help curb loan modification fraud.
In addition to the website, homeowners can contact the Homeowners’ HOPE Hotline at 888-995-HOPE to lodge a complaint and receive free information about legitimate loan modification services.
It’s difficult enough to be worried about keeping your Anchorage home. You don’t want to be a victim of loan modification scams as well. This online resource is a great place to do your homework before you apply for your loan modification.
If you are looking to refinance or purchase an Anchorage home, you may want to find out what your credit score is about 3-6 months before you plan on applying for a loan. Why should you check your credit score before you buy? Lenders use your credit score to determine 1) whether or not to approve you and 2) what your interest rate is going to be once you are approved for a loan. When your loan is going through the approval process, lenders will look at all three credit reporting agencies: Experian, Equifax and TransUnion. They then use the middle score from all three agencies as your final credit score to determine your creditworthiness and your interest rate.
You are allowed one free credit report per agency per year. You can request all three at one time or you can spread them out every few months. There are several places online where you can request a free credit report. But speaking directly to a lender may be the best way to get this done.
Why should you speak to a lender so early in your Anchorage home buying process? This will give you enough time to find and fix any errors that may come up on any of your credit reports. The better your credit looks at the time you apply for a loan, the better chances you have of getting a home loan at a decent interest rate. Even a 1% difference in interest rates can save or cost you thousands of dollars over the life of a loan.
So, to make sure you get the best home loan at the best rates, even when you’re refinancing your current Anchorage home, make sure to check your credit score before you buy. If you are unsure how to do this, please contact me.
Recent Comments