Navy Fellas Realty Group

Real Estate, Residential sales and purchase

Did You Know? Why a Mortgage Pre-qualification Meeting Might Be Your Best Use of 5 Minutes

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Did You Know? Why a Mortgage Pre-qualification Meeting Might Be Your Best Use of 5 MinutesIf you’re in the market for a mortgage, you may want to set up a pre-qualification meeting with a mortgage professional. Even if you’re not 100% sure who you’d like to apply for a mortgage with, pre-qualification can still be a valuable step to take. And given that it only takes a few minutes, it’s something every potential homeowner can do.

So why should you go to a mortgage pre-qualification meeting with a mortgage lender? Here are just a few reasons why it’s a great idea.

It’ll Give You A Good Idea Of How Much House You Can Afford

A mortgage pre-qualification is not the same thing as a pre-approval. When you pre-qualify for a mortgage, your lender will use information that you provide – information like your debts, your income, and your assets – to determine what size of a mortgage you can afford. This affordability information discovered during pre-qualification is then verified during pre-approval.

Pre-qualification usualy doesn’t involve a credit check, and it only takes a few minutes. The advantage of a pre-qualification is that it helps to guide your house hunt. When you know what kind of a home you can afford, it’s easier to navigate the real estate market.

It’ll Help You To Budget Your Expenses

A pre-qualification is a great way to get your household budget sorted out as a homeowner. When you pre-qualify, your potential new lender will tell you what kind of a mortgages would work best for you and your situation. That means you can easily budget for estimated mortgage expenses and know what to expect before you apply for a mortgage.

Some Agents And Sellers Require It

The pre-qualification phase is the first step in the mortgage process. When you’re buying a home, agents and sellers will want to see that you have a good chance of getting a mortgage, as this makes the sale much easier. For that reason, a number of sellers and real estate agents highly prefer buyers who have been pre-qualified – and some of them simply won’t sell to a buyer who hasn’t been pre-qualified.

Mortgage pre-qualification is a great way to sort out your budget, determine what kind of a home you can afford, and persuade a seller to sell to you. And given that it only takes a few minutes to get pre-qualified, it’s a simple step that simply should not be skipped. Contact your trusted mortgage professional today to learn more about getting pre-qualified for a mortgage.

Find Something Wrong During a Home Inspection? How to Discuss Repairs or Defects with a Seller

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Find Something Wrong During a Home Inspection? How to Discuss Repairs or Defects with a SellerWhen it comes to selling a home, it is a common belief that once the offer is accepted, there is nothing else to be negotiated. However, issues and obstacles that can arise during the home inspection can be a cause for discussion with the seller. Whether you’re currently searching for houses or your offer has already been accepted and you’re preparing for the next step, here are some tips in the event that the home inspection isn’t up to par.

Be Cautious About What You Say

Without a doubt, anything that you discuss with the real estate agent regarding the property you’re looking at is going to be addressed with the seller. Instead of telling the agent everything is fine and dandy, maintain a poker face with any deficiencies in the home so you can assess them after the inspection. While a seller may think they have you on the line if all seems fine during the inspection, maintaining your peace and negotiating after the fact may end up providing a better post-inspection deal for you.

Decide What Deficiencies Are Most Important

Before negotiating any repairs or defects with the seller and how this can benefit you, ensure you prioritize what deficiencies must be fixed and what you can live without. There may be leaks and small dings in cupboards that may not be much of an issue, whereas damage in a hardwood floor that you don’t want to renovate may serve as a deal breaker. Deciding what is most important will ensure that the seller knows you’re really interested, and it will likely convince them that the fixes will make for a successful sale.

Request A Credit For Repairs

If a seller knows you’re interested in a home, you may be able to get a little bit of leeway in terms of what you can negotiate following the inspection. Instead of expecting them to deal with the hurdles of home repair, ask the seller to consider a credit so that you can ensure the repairs are completed on your own. This will not only enable you to have the repairs completed the way you would like them done, it may also make the moving process a smoother transition for all of you.

There are certain deficiencies that can show up during the home inspection, so it’s important to consider how re-negotiation can benefit both the buyer and the seller. If you’re curious about home inspections and other aspects of purchasing a home, you may want to contact your local real estate agent for more information.

What’s Ahead For Mortgage Rates This Week – November 09, 2015

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Whats Ahead For Mortgage Rates This Week November 09 2015Last week’s economic reports included releases on construction spending and several labor-related reports including ADP payrolls, Non-Farm payrolls, average hourly earnings and weekly jobless claims. Freddie Mac reported that mortgage rates rose as the national unemployment rate decreased to 5.00 percent.

Labor Reports Show Mixed Results

Key readings on employment showed mixed results as ADP payrolls decreased to 182,000 from September’s downwardly revised reading of 190,000 private sector jobs added. U.S. jobs expanded to a reading of 271,000 jobs added in October, which exceeded expectations of 180,000 jobs added and September’s reading of 137,000 jobs added. This was the fastest pace for job growth in 2015 and fueled expectations that the Federal Reserve may raise interest rates in December. In addition, the national unemployment rate dropped to 5.00 percent in October, which was the lowest unemployment rate in seven years.

Weekly jobless claims rose by 276,000 new claims, which exceeded the expected reading of 263,000 new claims and the prior week’s reading of 240,000 new claims.

In testimony before The House Financial Committee, Federal Reserve Chair Janet Yellen said that the central bank’s objective was to regulate financial institutions “in a manner that promotes the stability of the financial system as a whole.” This indicates that the Federal seeks to prevent threats to major financial institutions that could result in a repeat of the great recession in 2008.

Chair Yellen also said that the Federal Reserve Board and the FDIC have written a rule requiring the largest financial institutions to show that any financial failure could be “resolved in an orderly manner through the bankruptcy court.” These comments suggest that the Federal Reserve has ongoing concerns about the stability of the largest financial institutions and the economy; this could cause the Fed to take a wait-and-see attitude on raising interest rates in December. The Fed is expected to address interest rates in its December meeting of the Federal Open Market Committee, which directs monetary policy for the Fed.

Mortgage Rates Rise, Construction Spending Dips

Average mortgage rates rose across the board last week according to Freddie Mac. The average rate for a 30-yar fixed rate mortgage rose by 11 basis points to 3.87 percent; the average rate for a 15-year fixed rate mortgage rose by 11 basis points to 3.09 percent and the average rate for a 5/1 adjustable rate mortgage rose by seven basis points to 2.96 percent. Discount points were unchanged at 0.60, 0.60 and 0.40 percent respectively.

Construction spending slowed in September to a reading of 0.60 percent which met expectations based on August’s reading of an increase of 0.70 percent.Construction spending slows as fall and winter seasons approach, but analysts are monitoring construction activity as low inventories of available homes continue to increase demand for homes and home prices in many areas.

What’s Ahead

Next week’s scheduled releases for economic reports are slim; no reports are scheduled for Monday and Tuesday markets are closed for the Veterans Day holiday. Freddie Mac will release mortgage rates on Thursday and the weekly Jobless Claims report will also be released. Other scheduled reports include retail sales, retail sales except automotive sector and the University of Michigan’s report on consumer sentiment.

How Can I Improve My Home’s Value?

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Buyers generally seek the least expensive home in the best neighborhood they can handle.

Like the person in the video says, you want to present a home that fits in the neighborhood but doesn’t stand out too much. For example, if neighbors are all 4 bedrooms, 3 baths and 3000 square feet additions that make your home 5, 4, and 4000 will make yours harder to sell.

Improvements should make it show well and fit well in the neighborhood. Last-minute capital investments in large structural changes arent likely to pay off. But cosmetic upgrades like paint and landscaping help a home show better and often do pay off. Of course, all systems and appliances should work to get a top price.

To make your home competitive and attract buyers and bids work with a professional real estate agent and start early.

Pulling the Trigger: 3 Reasons Why You’ll Want to Move Fast when Buying a Home

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Pulling the Trigger: 3 Reasons Why You'll Want to Move Fast when Buying a HomeWith all of the care and consideration that can go into deciding if a home is the right fit, it can add a wrench to the mix to realize that you may not have a lot of time to put in an offer. It’s certainly important to weigh all of the factors of buying a home before deciding to put yourself in the ring, but here is why you’ll want to come to a conclusion quickly when it comes to a home you love.

It’s An Ideal Home, For You And Many Others

If you’ve finally found a home that you can see yourself and your family in, and you’re seriously considering putting in an offer, there’s a good chance that there are many other people who might also be quite interested in it. While you’ll need to determine whether it’s the right neighborhood, size and price before putting in an offer, you’ll want to consider these decisions relatively quickly so that someone doesn’t beat you to the punch.

A Quick Decision Means You’re Serious

Most home sellers are interested in getting an offer that is quite close to their asking price, but like anyone, they can have intuitions about potential buyers and may be more comfortable with someone who is reliable. By posing an offer to the seller in short order, you will make them aware of your keenness and interest, and – at the end of the day – this may actually inspire more trust in them. If they need to sell the home quickly or are planning a move of their own soon, this can make a considerable difference.

The Prices Are Always Rising

If you’ve been perusing the market for a while, deciding to make an offer on a home you can really see yourself in may end up being a money saver. According to Zillow, the average rental price in the United States has risen by 14% since 2011 to $1400 per month, and home prices are also beginning to increase. This means that it’s becoming an even better investment to put money into property instead of rent, so that you can make up the difference in your finances in the present and the future.

It’s important to make an educated decision when deciding to purchase a home, but by deciding quickly if a home works for you and making your interest known you may have more success.

Looking to Close Faster? Follow This Easy Guide to Speeding Up the Mortgage Process

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Looking to Close Faster? Follow This Easy Guide to Speeding Up the Mortgage ProcessIf you’re buying a home, you’ll want to try to get your mortgage processed as quickly as possible. Improperly filed mortgage applications are one of the biggest reasons why home sales get delayed, and if you have a hard move-out date already set, it’s critical that your mortgage process goes smoothly.

With careful planning, though, you can shorten the mortgage process and get your financing approved faster. Here’s what you need to do to speed up the approval.

Get Your Paperwork in Order Before You Apply

One of the biggest reasons why mortgages get delayed is because the applicant is missing a vital piece of paperwork. Something like a missing pay stub or a forgotten home insurance document can hold up the mortgage process, so make sure you have everything you need before applying for your mortgage.

When you apply for your mortgage, you’ll need pay stubs dating back four weeks, plus a bank statement for the last 30 days. Note that you’ll need the actual mailed statement from your bank – online screenshots don’t qualify. You’ll also need a homeowner’s insurance declaration document and any legal documents pertaining to your finances, like a divorce decree.

Keep Your Finances Consistent Once You’ve Applied

Once you’ve started the mortgage approval process it’s critical that you keep your finances fairly consistent, as major changes will mean your mortgage lender will need to restart the evaluation process. Try to avoid making larger than usual bank deposits, and don’t take out a new loan or credit card. Keep your credit card usage similar to where it’s been in the past.

If you do end up making major changes to your finances, make sure you send the proper documentation to your lender as soon as you can. Call ahead of time to make sure you know what you need to send.

Don’t Forget to Mention Assets and Debts

Before your mortgage is approved, your lender will want to take a thorough look at your existing debts and assets. If you exclude information, your lender will need to spend extra time untangling the situation and determining your proper finances. Make sure you tell your lender about any and all investment properties you own, mortgages on other homes, or loan and credit card balances that are past due.

Getting a mortgage is a complicated process, but having your documents in order can speed things up and ensure you get your mortgage on time.