Homebuyer – Tips for Negotiating

Of course, negotiating is a huge part of the homebuying process.  There are some principles that are universal, though.

You’re in a strong bargaining position if:

• You’re an all-cash buyer

• You’re already preapproved for a mortgage

• You don’t have a home that needs to be sold before you can buy

These circumstances give you a little more leeway in negotiating. However, even if you are in a strong position, in a “hot” market, you may want to make your offer more desirable by offering more than asking price. When the market is “soft,” homes tend to sell more slowly, creating a larger pool of homes from which to choose. On the other hand, when the market is “hot,” there may be a limited number of homes to visit and the demand for them may be high.

Overall, here are some suggestions:

• Enter into negotiations with the maximum amount you are willing to pay for the property firmly in mind.

• Keep in mind (and add to the contract) some terms you can live without – then you can make concessions without compromising the items that are important to you.

• Always have a few alternative homes in mind – knowing you have other options will help you stay objective during bargaining and may encourage the seller to be more reasonable.

• Try to ascertain what the seller wants and needs. If, for example, the seller’s new home is not ready by the closing date, you might consider allowing the seller to rent back the home for a short time, provided your schedule permits.

• Terms may be negotiated as well as price, and the changes can result in financial savings.

Be Aware of the Dangers with Mold

As homeowners we should be aware of the existence and dangers of mold in our homes and how to address the issue before it gets out of control. A lot of times we are unaware that mold may be growing in the corners behind appliances after a water leak, or in the walls of our bathrooms without proper ventilation which is a “growing” concern if you are looking to sell your home.Realty Times Columnist, Phoebe Chongchua has written an informative article that explains the seriousness of mold in our homes and what to look for in a home that you may want to purchase. Read the following article to familiarize yourself with some of the more common signs.

Moving With Chidlren

Moving can be extremely stressful especially if you have children. It is important to be aware of the things that may be a concern to your children when making a move.

A few areas of concern for children when making a move may include:

• Preschool children tend to worry about being left behind or separated from their parents.
• Kids aged 6 to 12 can be concerned with how their daily routines will be affected.
• Teenagers are concerned primarily with fitting in and having their social life disrupted.

A way to ease these concerns may include:

• Communicating with your child about what the new house will be like.
• Take them on a visit of the new home and neighborhood (if possible)
• If you can, visit the school with your child and meet some of the teachers.

Involving your children in the move can help make the transition easier. Your kids can be a great help to you and the move if you involve them such things as:

• Packing some of their own special belongings, and decorate the box with stickers and markers.
• Make plans together on how to decorate their new room.

There is a lot to consider during a move and by involving your children you just may relieve the stress your children are feeling, reduce your own stress and be able to focus more on other aspects of your move!

A Checklist for Showing Your Home

Fully preparing your home for sale can make considerable difference in the time it takes to sell it. You can help eliminate buyer objections before they arise by making necessary repairs and improvements, some of which are suggested below.
Outdoors
__ Spruce up gardens and lawn; trim shrubbery and replace dead plants.
__ Yard and patio should be neat; outdoor furniture should be clean and in good shape.
__ Clean or paint your front door – remember first impressions last longest!
__ Manicure your front yard, driveway and entry – you can’t sell what you can’t see.

Exterior
__ Check that door numbers, mailbox, and exterior lighting are all in good repair.
__ Touch up with fresh paint as needed.
__ Inspect chimney for cracks or earthquake damage.
__ Repair loose trim, drainpipes and fencing.
__ Clean stains; clean window screens.

Garage
__ Remove clutter; tidy up shelves.
__ Wash floor so it looks clean and spacious.

Living Areas
__ Apply fresh paint as needed…brighten your interiors with neutral-toned paint.
__ Clean draperies and carpets.
__ Replace burned out light bulbs.
__ Clean fireplace, remove smoke stains from wall and mantle.

Kitchen
__ Sinks, appliances and counter tops should sparkle without any clutter.
__ Wax the floor.
__ Clean oven, range and other appliances.
__ Clean tile and grout; replace if necessary.

Bathrooms
__ Clean mirrors, glass, chrome and porcelain surfaces.
__ Replace shower curtain if necessary.
__ Fix any faucet drips or leaks.
__ Clean tile, grout and caulking; replace if necessary.

Closets
__ Doors and drawers should open and close easily.
__ Remove clutter; tidy up shelves and racks.
__ Shoes and clothes should be neatly arranged.

Overall
__ Check the basics around the house. It takes just a minute to check all doors, windows and cabinets to make sure they don’t stick, squeak or are too loose.
__ Clean your furnace & water heater, so buyers know they are looking at a house that has been well maintained.

Renting vs Buying A Home in Florida

There’s nothing quite like a home that you can truly call your own. A place where you can have the gleaming hardwood floors you’ve always dreamed of, a space to cultivate your own vine-lined patio, a way to provide a good neighborhood for your kids to grow up in, and a freedom from the whims of your landlord. These are the images that immediately come to mind, for many of us.

Yet some of the biggest advantages of owning a home are less romantic and more practical – in fact, there are financial advantages to owning a home:

* Tax Deductibility You can deduct the cost of your mortgage loan interest from your state and federal income taxes. Since interest generally will account for most of your payment during the first half of your mortgage, the savings can be significant. Some of your costs at the time of closing (including prepaid mortgage interest) can be taken as deductions on that year’s income tax return, and points paid up front at the time of closing represent additional mortgage interest and may be taken as a deduction.
* Tax Deductibility of Property Taxes You can deduct all of the property taxes you pay.
* Appreciation Potential Real estate is considered a good long-term investment because it usually appreciates in value. The effects of borrowing potential can increase as the value of the home appreciates.
* Capital Gains Exclusion When it’s time to sell your home the amount of capital gains you have to pay is reduced. A homeowner can exclude up to $500,000 per couple if married and filing jointly, or $250,000 if single or filing separately for homes that have been the taxpayer’s principal residence for the previous two years.
* Capital Gain Treatment Congress allows preferential tax treatment on gains from capital assets held for more than one year. This would be important for a homeowner who has gains in excess of the allowable exclusion.
* Principal Accumulation Mortgages are designed to pay the interest for the time that the money has been used, as well as to retire the principal debt over a period of time. This payment plan means that part of the payment each month is for principal accumulation.
* Personal Enjoyment Pride of ownership is a valid reason for wanting to own a home. You can personalize your home while enjoying the financial benefits.

For the best evaluation of your financial situation, consult your financial advisor. He/she will be the most qualified to discuss the financial consequences of a home purchase decision, as well as help you to establish a plan that will achieve your home ownership goals.

Examining Your Credit History

Your credit report and history are key to obtaining your home loan. We encourage you to view your credit report yourself, prior to the lender’s viewing of it, by contacting one or all three of the major credit reporting companies: Equifax, Experian, and TransUnion. All you have to do is call and request it. Once you receive it, check the “high credit limit,” “total loan,” and “past due” columns. It is a good idea to get copies from all three companies to assure there are no mistakes since any of the three could be providing a report to your lender. Fees, ranging from $5-$20, are usually charged to issue credit reports.

Credit reporting companies:

•    Experian (800) 682-7954 www.experian.com
•    Equifax (800) 685-1111 www.equifax.com
•    TransUnion (800) 888-4213 www.transunion.com

You can also get a copy of your credit history at the following online locations:

www.freecreditreport.com

www.creditreports.com

What if I find a mistake in my credit history?

You can correct simple mistakes by writing to the reporting company, pointing out the error, and providing proof of the mistake. You can also request to have your own comments added to explain problems. For example, if you made a payment late due to illness, explain that for the record. Lenders usually understand about legitimate problems.

What about my overall (or FICO) score? What does it mean?

Prior to the late 1990s, credit scoring had little to do with mortgage lending. When reviewing your credit worthiness, an underwriter would make a subjective decision based on past payment history. Then things changed.

Lenders studied the relationship between credit scores and mortgage delinquencies and found a definite relationship. Almost half of those borrowers with FICO scores below 550 became ninety days delinquent at least once during their mortgage. On the other hand, only two out of every 10,000 borrowers with FICO scores above eight hundred became delinquent.

When can I stretch the percentages?

Depending on your area’s housing market, lenders sometimes will allow you to stretch their allowable debt ratios. One of the best ways to encourage your lender to do so is to increase your down payment.
Allowable Monthly Housing Expense

Underwriters sometimes also will stretch the ratios for other “compensating factors,” including:

•    Strong cash reserves after close of escrow
•    A new payment that’s only slightly higher than current rent or mortgage payment
•    A history of increasing earning capabilities
•    A history of an ability to save money
•    A large cash down payment

Get Your Home Market Analysis

In today’s market everyone is asking the question – What is my home worth in today’s market?  Know you can get the latest quarterly median home price for your market, and its percentage change from the previous quarter by clicking here.

When looking at the value of your home in today’s market you need to look to an experienced real estate agent in giving you the true value of your home.  You can know have a Home Value Market Analysis completed and emailed to you by visiting http://www.MaureenCool.com

Keep a Journal on what you are grateful for

The point of Thanksgiving is to remember the things we have to be grateful for. It’s our special time to give thanks… not just for the obvious, like food, but for the thousands of fortunate moments, the multitude of blessings that we receive each year.

That’s not always as easy as it sounds. We tend to remember the bad things much more easily than the good. That’s where this article comes in. using the tips below, you can make thankfulness an everyday habit. It’s a skill that will benefit you throughout the year.

Begin by keeping a gratitude journal. Don’t write down negative things; only positive ones. For example, “I’m grateful that I made it through that heavy rush hour traffic safely.” “I’m grateful that I got to see a beautiful sunset.” “I’m grateful that I have a class at school that I really like.”

Think of all the good things that happened because something bad happened first. For example, “If that slow driver hadn’t pulled in front of me, I would have gotten a speeding ticket.” “If I hadn’t tripped on the playground, I would never have met such a nice person.” “If I hadn’t experienced unemployment, I would never have acquired the skills that got me a more fulfilling job.”

Don’t focus on what you don’t have. Focus on what you do have. For example: “I’m so fortunate to have a warm place to sleep in the winter.” “I’m so fortunate to live in a safe neighborhood where I can take walks.” “I’m so fortunate to be able to see the beauty around me.”

Think about people you’ve known that have made you thankful for their existence. They can be family, friends or simply people that you’ve read about or seen on television. Imagine how many other people there are who might be equally as wonderful. You just haven’t met them yet.

Think about people who have made life hard for you. Now think about the things you accomplished because of them. Did you finish something because they said that you couldn’t? Did you get better at something because they made fun of you when you did it badly? Did their cruel actions make you vow never to treat others that way? Even the negative forces in your life can be hidden blessings, worthy of your gratitude.

Think about the animals that have given you joy: Dogs that love you with every inch of their hearts, cats that think your lap is the best place to nap in the whole world, birds whose songs uplift your spirit, squirrels whose antics put a grin on your face and so on.

Think about the places that make you smile: A favorite hangout, a wooded trail, an exciting city, a great spot from which to view the sky, a hill that you once rolled down. Give thanks for all these things.

Now pass it on. True gratitude involves action. Lend a hand. Pitch in. Make a gift. Give your time. Listen. Give back as often as you can. Even a friendly greeting can make all the difference in the world.

Create your own opportunities for gratitude. Do you know someone who never seems happy? Be ready with a smile and a kind word each time you see them. It may require patience, but eventually, they’ll smile first when they see you. Your interactions with them will be much more pleasant. Guess what? You’ll have a new reason to be thankful!

Let others know when they’ve done something that you’re thankful for. For example, “I’ll never forget how you stuck up for me. It meant a lot.” “That email you sent really made my day.” “You make shopping here a pleasure.” An attitude of gratitude spreads like ripples from a tossed pebble, benefitting all it touches.

Remember that hard times make good times sweeter. Also keep in mind that obstacles and challenges not only make you stronger, but they force you to explore outside of the comfortable routine that you’ve settled into. Without challenges, there can be no progress. Without obstacles, there can be no achievement. Be thankful for the opportunities that they provide.

In conclusion, giving thanks is a powerful tool that can dramatically improve your life and the lives of those around you. Start by embracing gratitude’s special day, then make it a habit!

Options for fencing

There are many reasons to add a fence on your property, you may want privacy, to keep your children and pets safe as well as add value and appeal to your home. If you do decide to install a fence, it is important to ensure that you are erecting it on your property only. You should not assume that a prior fence or market was located on the property boundary, and reference should be made to property deeds and legal surveys. You may find evidence of survey stakes to help you determine the boundary lines.

There are many different types of fences to choose from to best suit your budget and situation. Visit the fence project estimator to get an idea of cost and how to find a quality fence company in your area.

Types Of Fences

Wood Fences. A popular and cost effective choice, wood fences can be made out of Western red cedar, cypress, or treated pine. When maintained properly, wood fences can endure the harshest weather and provide you with several years of serviceability. Wood fences can come in privacy, picket or rail style. Visit the FAQ for more information on wood fencing.

Vinyl (PVC) Fencing. Vinyl fences are strong and highly durable – retaining their shape, color and structural integrity. In addition to their attractive appearance, this style of fencing offers many benefits. It is fireproof, wont rust or rot, termite resistant and is virtually maintenance free. While this type of fencing is more costly than wood, you will not need to replace the fence in a few years, they are built to last a lifetime. There are many styles of vinyl fencing available to suit your needs from privacy to picket.

Chain Link Fencing. Chain link fences are an economical way to provide years of maintenance-free security and access control. These types of fences are extremely versatile; they can be made in a variety of heights, and can handle anything from a simple boundary marker for a homeowner to perimeter security. You can also get vinyl coated chain link fences in different colors for added versatility.

Wrought Iron Fences. This style of fencing is extremely durable and has a classic look. They are available in different colors, patterns and heights. This style of fencing can be used for walkways, porches, and perimeter and driveway gates as well.

You may have heard the old saying that good fences make for good neighbors,  while this may be true adding a fence to your home can be a significant investment. It is a good idea to shop around and consider all your options. Some things to consider: what is the primary purpose your fence? Will it provide security, satisfy municipal codes, retain children or pets, secure a pool or spa? There as many reasons for investing in a fence as there are  options!

Are You Considering A Reverse Mortgage?

A reverse mortgage provides a way for seniors to borrow against the equity in their home with no repayment due until the homeowner dies, moves or sells. Any remaining equity after repayment goes to the borrower or the estate.

A reverse mortgage may be of benefit if:

You need cash assets or income and have no other source available.

You are unable or unwilling to sell your house.

You do not care what the costs are to get the income or assets you need. (Recent law has helped limit the outrageous costs of reverse mortgages.)

You have no concern about which assets are left to your heirs.Make sure you thoroughly scrutinize all costs and provisions.Other possible solutions to increase income or get to assets are selling the home to family members or establishing a home-equity credit line on the house.

— Drew Tignanelli, president of the Financial Consulate in Lutherville, Md.

Yes, if your sources of retirement income (savings, investments, pensions, Social Security) no longer cover your spending. But using the equity in your home should be a last resort after all other resources have been exhausted.

The payments to the homeowner from a reverse mortgage can be received in the form of a monthly annuity, lump sum or revolving line of credit. Compared with a typical home-equity line of credit, establishing a reverse mortgage carries significant fees, so the decision to obtain one should be extensively evaluated.You should make sure it is a reverse mortgage under the Federal Housing Administration Home Equity Conversion Mortgage program so that mortgage insurance will cover the lender if the proceeds from the eventual sale of the home are not sufficient to pay the amount owed.