Navy Fellas Realty Group

Real Estate, Residential sales and purchase

The Ultimate Payoff: Getting Debt Free Before Retirement

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The Ultimate Payoff: Getting Debt Free Before Retirement

For many people, reaching retirement is something to look forward to. At the same time, too many people still have a lot of debt by the time they retire. In order for people to really take advantage of everything that retirement has to offer, they should try to find a way to pay off all of their debt before they retire. In order to make sure this happens, there are a few tips that everyone has to keep in mind.

Try To Keep Housing Costs Low

First, it is important for everyone to try to keep their housing costs as low as possible. Housing is one of the major sources of debt that people have when they retire. This could come in the form of a mortgage that has been stretched out for a longer period of time in order to send kids to college.

At the same time, as people start to approach retirement, they should try to attack this debt as much as possible. Remember that cash is king. Paying off a mortgage before retirement can really help people improve their quality of life on the other side of retirement.

Pay Down Credit Card Debt

Ideally, individuals are able to pay their credit card bills in full every month. Yes, it is great to take out credit cards because of the rewards that they provide and the positive credit history this can create. At the same time, if individuals end up carrying a lot of credit card debt, this can end up hurting them in the long run. In addition to damaging someone’s credit score, this can also take money away from retirement. Therefore, it is important for everyone to try to pay down their credit card debt as quickly as possible. That way, they do not have to worry about this when they retire and have more money they can spend every month.

Get Ready To Retire Debt Free

By following these tips, everyone is able to enjoy their retirement just a little bit more. By trying to find ways to retire without any debt, everyone is able to set themselves up for success. That way, they will be ready to take advantage of everything that retirement has to offer.

 

NAHB: Rising Demand for Homes Boosts Builder Confidence

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NAHB: Rising Demand for Homes Boosts Builder ConfidenceBuilder confidence in housing market conditions reached a new record high in November according to the National Association of Home Builders. November’s index reading of 90 was five points higher than in October. Index readings over 50 indicate positive builder sentiment toward market conditions. Readings for the Housing Market Index fell below 50 in April and May as the COVID-19 pandemic grew.

Component readings for the Housing Market Index rose six points to 96 for current housing market conditions and one point to 89 for builder confidence in home sales in the next six months. Builder confidence in buyer traffic in new housing developments rose three points to 77. Readings for buyer traffic typically didn’t exceed 50 until recently. High demand for homes is associated with record-low mortgage rates and changing priorities created by the pandemic.

While demand for homes usually slows in the colder months, the pandemic has caused families to re-evaluate their housing needs as more people work from home and children attend school online or are homeschooled. Larger homes cost more, which contributes to home sellers moving to suburban or rural areas to accommodate the additional expenses of buying and maintaining larger homes.

Regional Housing Market Conditions Mixed in November

The NAHB reported gains in builder confidence in three of four regions. The Midwest led with a nine-point increase in builder confidence. The South and West also showed rising builder confidence, but builders in the Northeast reported a five-point drop in builder confidence.

Robert Dietz, chief economist for the NAHB said, “In the short run, the shift of housing demand to lower density markets such as suburbs and exurbs along with ongoing low resale inventory levels is supporting demand for home building.”  Rising demand for homes as compared to low numbers of pre-owned homes available is creating additional demand for new homes. 

Analysts said that the demand for new homes will last for quarters or years as it will take time for builders to catch up with the unusually high demand for single-family homes.

A seasonal slow-down in home sales coupled with a new and severe wave of COVID-19 cases may cause challenges for home builders in the coming months, but the current demand for homes could rise if city-dwellers continue to move to less congested areas. Recent positive news about COVID-19 vaccines could impact flight from cities to suburbs, but government approval, manufacture, and distribution of vaccines can’t happen immediately.

The Top House Appraisal Tips For Home Buyers And Sellers

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There are a lot of steps that come with buying or selling a home. One of the routine steps that have to be accomplished is called a home appraisal. When it comes to a home appraisal, this is something that can cause both buyers and sellers to pause for a second. For those who might not know, a house appraisal is where a trained professional will take a look at the fair market value of the home. It is important to understand what happens when a home appraisal is conducted. 

Compare The Home To Similar Properties

When a home appraisal is conducted, its value is usually compared to homes in the area that are similar. The value of a home is always determined by what similar homes in the area have sold for recently. This is what the lender is going to look for. For example, if someone is selling a condo, and the value of that condo is going to be compared to other condos in the building that have sold recently. Even though there might not be identical houses in the area, the same process is going to happen for free-standing homes. 

Make Improvements To The Home

For those who are going to be selling their home in the near future, one of the easiest ways to drive up the value of the home is to make improvements. If the countertops, floors, or cabinets have not been updated recently, then performing these updates can drive up the value of a home. In some cases, homeowners might be able to get a bigger increase in the value of their home than the amount of money they spent on the improvements. 

Get A Second Appraisal

In some cases, home buyers might not like the appraisal that came in on the home. In this case, they might be able to challenge this first appraisal by getting a second appraisal. Even though this might cost a bit of money, if the home comes back at a significantly reduced cost, then there might be opportunities for the buyer to renegotiate the price of the home. Everyone wants to make sure they are getting a fair deal when a home changes hands.

 

How Everyone Can Reduce Their Monthly Mortgage Payment

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How Everyone Can Reduce Their Monthly Mortgage PaymentFor many people, their biggest monthly bill is their mortgage payment. Therefore, it should come as no surprise that there are a lot of people who are looking for ways to reduce their monthly mortgage payment. The positive news is that there are several ways to do so.

By putting some of these tips to use, everyone can find a way to pay less every month on their mortgage, helping them save money for other expenses such as a new car, college expenses, or that next vacation.

Shop Around Before Getting A Mortgage

For those who are still in the process of buying a home, it is a great idea to shop around and see what the options are. Even though there are rates advertised in the industry, it is always a smart idea to visit multiple potential lenders and see what they are offering. Then, with multiple offers in hand, it might be possible to leverage the offers against each other to see if they are willing to come down on their interest rates. This can help people reduce their monthly mortgage payment.

Put More Money Down

This is the most direct way that someone can lower their monthly mortgage payments. Even though this is a zero-sum game (taking more money out of the bank account and paying it sooner), this will directly reduce the monthly mortgage payment. Furthermore, this could get a lender to reduce the interest that he or she is charging, which could help homeowners save more money overall.

Refinance An Existing Mortgage To A Lower Rate

Finally, it is also possible for people to refinance an existing mortgage to a lower interest rate. This can help people who already have a mortgage save money by essentially replacing their old loan with a new one, accompanied by a lower monthly mortgage payment. Refinancing could also help people pay off their mortgage sooner.

Save Money On Monthly Mortgage Payments

These are a few of the top tips that everyone can follow to make sure they save money on their monthly mortgage payments. By shopping around, putting more money down, and refinancing an existing mortgage, everyone has the opportunity to save money on their monthly bills.

The Required Steps For a Smooth Mortgage Refinance Process

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The Required Steps For a Smooth Mortgage Refinance ProcessThere are lots of people who have heard that one of the top ways to ensure the best mortgage rate possible is to refinance. At the same time, it is critical to make sure that this process is planned out accordingly.

Therefore, there are a few steps that everyone has to follow to make sure they are able to handle the mortgage refinancing process in a smooth manner that leads to the best rate possible.

Ask If A Refinance Is The Right Step

There are a lot of people who assume that a mortgage refinance is a financial win; however, it is important to keep the added costs in mind. For example, the refinancing process is going to lead to another closing. When this happens, there are going to be closing costs that must be considered.

Therefore, the refinancing process could lead to a higher mortgage payment if the money saved on interest payments is not enough to offset these costs.

Check The Credit Score First

Many people get lured into the refinance process by looking at low mortgage interest rates and assuming they are going to qualify for them; however, this is not always the case. Only the people with the top credit scores are able to qualify for these low rates. Therefore, everyone needs to take a look at their credit score and make sure that their credit report has been cleaned up. This is the only way that people are going to be able to qualify for these low rates.

Talk To A Trained Professional

Finally, many people are going to be going through the refinance process for the first time. It is important to work with a trained professional who can walk everyone through this process, ensuring that they know what they are doing as the process unfolds. This can go a long way toward ensuring that everyone has a successful refinancing experience.

Go Through The Right Steps

Following these steps can maximize everyone’s chances of making sure they end up with a refinance that works for them. By planning out the process ahead of time, everyone can go through the steps they need to make sure that the refinancing process proceeds as smoothly as possible.

4 Ways COVID-19 Has Had An Impact On The Home Lending Process

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4 Ways COVID-19 Has Had An Impact On The Home Lending ProcessThe COVID-19 pandemic has impacted everyone and this includes the real estate industry. One of the biggest impacts that this pandemic has had involves the home lending process. Because many people are looking for ways to buy a home while engaging in proper social distancing measures, the industry has had to adapt. Learn more about some of the changes the COVID-19 pandemic has forced on the home lending process.

Homes Are Getting More Affordable

The demand for homes right now is high; however, homes are still more affordable than they have been in the past. Lenders are trying to find ways to encourage people to purchase homes because they have seen a drop in their business as well. As a result, many lenders are willing to provide potential homeowners with great offers and opportunities to purchase a dream home.

Online Applications Are Becoming More Common

Next, online applications are becoming more common as well. In order to help people buy a home while still engaging in social distancing, it is possible to complete the home application process online. This is usually provided through an intuitive system that provides clear instructions on what has to be submitted for the application process.

Buying Power Is Going Up

Because many homeowners and potential home buyers are realizing that now is a great time to buy, they are learning that they have a lot more power. They might be able to afford a larger home or carry out a home improvement project after buying their home. This provides more flexibility for homeowners.

Refinancing Is Becoming More Common

In addition to changes in the home buying process, there are changes taking place in refinancing as well. Many current homeowners are realizing that they have a unique opportunity right now as well. As a result, they are taking advantage of the opportunity to complete a refinancing deal to save money.

Home Lending Is Changing

These are just a few of the major changes that have taken place in the home lending process due to the COVID-19 pandemic. Anyone who owns a home or is thinking about buying a home should consider looking at their available options as well. There could be opportunities to save money.

Falling In Love With An Imperfect Home

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Falling In Love With An Imperfect HomeWhen people start the process of trying to find a home, they want to make sure that they take the time to get this decision right. The reality is that a home is the most expensive purchase that most people are ever going to make. As a result, they need to make sure they find a home that will meet their needs.

At the same time, it will be hard to find a home that is truly perfect. Therefore, it is a great idea for everyone to come up with a list of necessities and a list of features on which they can be more flexible. How can people do this? How can people fall in love with an imperfect home?

Remember That There Are Options

Every home is going to have its flaws. Those who spend the time trying to find a home that is absolutely perfect are going to have decision paralysis. On the other hand, it is important to remember that there are options available. Nearly everything that is wrong with a potential home can be remedied, fixed up, or recycled. In this manner, even if a home is not perfect when people first look at it, there is a way to make it perfect with a few improvements or upgrades. This is a nice alternative that people should keep in mind.

The Styles Of Homes Change

Furthermore, keep in mind that it might be helpful to find a home that will grow with the family or the homeowners. Styles rotate and change on a regular basis, so people should not worry about finding something that is going to be absolutely perfect right this minute. For example, the open concept is one of the biggest shifts that has taken place during the past few years.

Closet standards have changed as well. There are even inconvenient structural columns that people have found a way to love. There are plenty of ways that homeowners can take a home that has flaws and find ways to help them match new and trending styles.

These are just a few of the ways that homeowners can find ways to love a home that is not perfect. This could make it easier for homeowners to find the right home for them.

Buying A Home With Cash Versus Low Interest Rate Mortgages

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Buying A Home With Cash Versus Low Interest Rate MortgagesThe real estate market has been in flux during the past few months. As a result, this could be a great time to both buy and sell a home. This is because mortgage rates are attractive for borrowers right now. With so many people who are looking to buy a home, is likely the people selling a home are going to receive multiple offers. On the other hand, given what the mortgage market looks like right now, borrowers also have attractive options.

As a result, many people are wondering if they should buy a house with cash or take advantage of low interest rates. For homebuyers in this position, there are a few important points to keep in mind. 

Consider What The Cash Can Do

Ultimately, a decision to buy a house with cash or taking advantage of low interest rates is going to be a personal decision. At the same time, there are several factors to consider. One of them involves what the cash is going to be used for. For example, many people have heard the saying that cash is king. Buying a house with cash might be right for some people. 

On the other hand, there might be some individuals or families who can put this cash to better use elsewhere. For example, if this cash is needed to buy a new car, fun retirement, or pay for someone’s education, then the cash might be better spent in this area. It is important to think about how this cash will be spent when deciding whether or not to use it to buy a home. 

The Competitiveness Of A Cash Offer

It is also important to consider the advantages of buying a house with cash. In addition to the obvious benefit of not having a mortgage payment, a cash offer is also going to be seen as more competitive. With so many people looking to buy a house right now, it is critical for homebuyers to appear competitive right off the bat. 

A cash offer is always going to look better than someone who is trying to take out a loan because the transaction is simpler, faster, and provides the seller with an instant source of liquidity. 

These are a few of the most important points that people should keep in mind when deciding how they are going to purchase a home.

 

Should Homeowners Refinance?

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Should Homeowners Refinance?Most people have heard the saying that it might be a good idea to refinance if mortgage rates drop. For those who might not know, refinancing is essentially taking out a new loan to replace the old one because the new loan has a lower interest rate.

This could shorten the time span of a long time and reduce monthly payments, or save money on the total cost of the home. At the same time, refinancing is not right for everyone. How can homeowners determine if refinancing is right for them? 

Do They Qualify?

Just because there are lower interest rates available does not mean that homeowners are going to qualify. It is important for homeowners to make sure they qualify for lower interest rates on their home loans. Be sure to conduct a quick credit check to clean up inaccuracies on the credit report. Then shop around and get quotes from different lenders. 

What Are The Potential Savings?

If homeowners qualify for a better rate on the mortgage, it is time to crunch the numbers. Everyone needs to figure out exactly how much money they are going to save depending on which refinancing option they choose. Some of the factors to consider when looking at refinancing plans include the terms of the loan, the interest rate, and the overall monthly payment. 

What Are The Closing Costs?

Finally, there are going to be the closing costs that go along with every refinancing plan. The good news is that these closing costs on negotiable. Sometimes, the closing costs will determine whether or not refinancing is worth it. Therefore, homeowners need to consider the closing costs as well. If the closing costs appear high, make sure to speak with different lenders and see if they are willing to provide a break on the costs.

Are The Homeowners Planning On Staying In The Home?

Finally, refinancing is only going to be worth it if the homeowners are planning on staying in the home. There is no point in paying for a new home loan if the homeowners are planning on moving next year. Therefore, be sure to consider this along with all of the other questions listed above to determine whether or not refinancing is worth it.

 

Three Do-It-Yourself Seasonal Home Improvement Projects

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Three Do-It-Yourself Seasonal Home Improvement Projects Owning a home comes with a lot of joy and responsibility. Many homeowners are looking for improvement projects that they can do themselves. There are a few options that rise to the surface. Take a look at some of the fun projects that most homeowners can do at home!

Perform Routine Maintenance on the HVAC System

One of the top projects that homeowners can perform involves routine HVAC maintenance. In order to make sure the HVAC system is running appropriately, it is important to service it regularly. Even though there are a few tasks that have to be left to those with the right training, there are other tasks that the homeowners can do themselves. This includes wiping off the breaker, cleaning the exterior, and even cleaning the blower with a vacuum.

Seal Home Areas Contributing To A Draft

Another key project to consider involving sealing areas that might be leading to drafts. Some of the most common drafts come from the doors and windows. If there is a draft coming into the home, then this could lead to higher utility bills. Applying foam to fill in areas around the frames of windows and doors to prevent heat and air from escaping to the outdoors. This could help homeowners save a large amount of money on their electric bills.

Eliminate Entry Areas For Certain Pests

Some of the most common pests that homeowners have to deal with include ants, cockroaches, and termites. By taking the time to look for entry points under the cabinets, floorboards, and doors, homeowners can make sure these nuisances are problems of the past. Foam and steel wool works well for deterring the invasive natures of these insects. Make sure to remove dust and debris from the area to ensure that all gaps are filled.

Improve The Home During The Offseason

These are just a few of the top home improvement projects that homeowners might want to consider during the offseason. It is a smart idea to try to tackle these projects before the weather gets too cold. That way, homeowners will be prepared for the temperature to drop and can run their heaters without having to worry about their utility bills rising too much.