Things to avoid when buying a home
You’ve decided to buy a house, and you need financing. Even if you have good credit, you should keep your finances shipshape until closing so that enders won’t think twice.
Here are things you should avoid while you’re buying a home:
1. Don’t change your job before applying for a home loan. Also, now is not the right time to become self-employed or to quit your job. You want to show lenders stability, which means you’ll be less likely to default on the loan.
2. Don’t change banks. As with your employment, you want your banking history to show stability.
3. Don’t buy a car that you have to finance. Buying a vehicle or any other form of transportation through a loan increases your debt-to-income ratio, and loan officers don’t want to see that.
4. Don’t buy furniture on credit before buying your house. Charging big-ticket items increases your debt-to-income ratio. Save your money for the down payment.
5. Don’t be late on your credit card payments or charge excessively. You need a track record of responsibility that shows you can manage your money.
6. Don’t make large deposits or cash deposits into your bank accounts. Lenders like it when the money for your down payment has been sitting in your account for at least three months – what we call ‘seasoning’ – so that the funds don’t just appear out of the ether.
7. Don’t lie on your loan application. Sounds simple, right? But don’t leave out any debts or liabilities or fudge your income. It’s fraud.
8. Don’t co-sign a loan for anyone. Even if you’re not making the payments on that loan, co-signing increases your debt-to-income ratio.
9. Don’t apply for new credit cards or prompt any other inquiries into your credit rating. Looking for new credit translates into higher risk for lenders. If your inquiries are related to your mortgage search that usually doesn’t affect your credit score, because lenders assume that you’re rate-shopping. But opening credit accounts within a short period of time represents some risk, and your credit could take a hit. Inquiries are probably not a huge factor in calculating your ability to repay a loan, but why take a chance?
10. Don’t spend money you’ll need for closing costs. Part of the price of financing a loan is closing costs, and you’ll likely have some responsibility for paying them. Make sure you have enough for your share.
Written by Maria Valentín
Wisconsin Offer to Purchase Simplified
Often we tend to read what we sign. In the process of buying a home in Milwaukee or surrounding areas that means reading about 9 pages. Most of it is not easy to understand at the first glance. Before you keep reading, I am not a lawyer nor a financial adviser and this is for informational purposes only. Every term written in this article have more ramifications to what you will be reading. Please call our office or consult with your real estate agent or attorney. My goal is to give you a better understanding of the offer hopefully before you sign!
Offering Over Asking Price on a Home: When to Pull Out the Cash and When to Hold Back
One tried and true method for standing out among hordes of eager home buyers is to offer more money than the asking price. It’s a tactic that makes sense: When a well-priced house in a great neighborhood goes on the market, you’ll need to do something to get the seller’s attention. Extra cash could be just the thing to make yours the winning offer.
Real more here….
DIY Concrete Counter Top
Making your own concrete countertop is one of the more challenging—and rewarding—DIY projects. If you’re a rookie, keep your goals simple. Plan for basic color treatments and plain edges, and also plan to spend a few weekends on the project.
This project is a simple, 2′ x 6′, 2″ thick countertop island with a smooth surface and a cutout for a square cooktop.
Read more here.
Thinking on selling your home in Milwaukee, Waukesha, Oak Creek, Franklin, or Racine Area?CLICK FOR A FREE INSTANT MARKET VALUE OF YOUR HOME
Bought a House with Basement Water Problems?
The process of buying a home (depending on the people you are working with) should be smooth and as an overall, a happy experience. I recently bought a home about 5 years ago. My agent was not the greatest unfortunately and I was not licensed yet.
Long story short. I bought a $110,000 home in August without inspection. The following year the area went through a minor drought in spring, however two years after i bought the house I had water coming into my basement. I lost about two feet of drywall around the walls, linoleum flooring started to have mold underneath, etc..
And my solutions was…?
I did not accept for a long time that it was happening. To be honest I ignored it. It wasn’t until I became a real estate agent that I started to care. After been at a few inspections for clients, I followed the inspectors suggestions on re-grading the soil around the house so the water can run away from the house. That solved 1 problem!!
I have a deck on the other side of the home. The water was running through the base and into the house. I sealed the area and I am now waiting for a rain to see how effective it was.
What if that doesn’t solve the problem?
As a home owner we have to be aware that we need to take care of our home. I can try maybe doing an internal water proofing system or even a sump pump which is what I can to accomplish if my solutions dont work.
Re-Grading the soil around my home did work. Try it!
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“There’s no denying that buying a home is a costly endeavor—in fact, it’s likely the most expensive purchase you’ll ever make. So it makes sense to try to negotiate where you can. Save a few bucks here, get a few things thrown in there, right?”
Read more at: http://rltr.cm/gofq
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So you moved, bought another home that suits your need but you still stuck with that old one. Now instead of paying 1 mortgage you are paying 2. Well, renting out a home while trying to sell it does come with some downsides and risks. Here’s what you should know before giving it a go.
Read more: http://rltr.cm/gocb
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Sometimes we as humans assume by what we see that we can accomplish the same thing. Don’t get me wrong, we have the potential to do it, however, there are some thing that are just far more complicated.
Trying to sell and/or list your home on the market by yourself is an example of one of those things we think we can do on our own. Here is an info-graphic to show you 29 reasons why having a REALTOR® is the way to go!
If you need help selling your home in the Milwaukee, Waukesha, or Racine area contact the Real Estate Solutions Team at Century21 Affiliated today! 414-877-5454
6 Shocking Things Your Home Inspector Won’t Check
You will be surprised just as I was when I realized all these things. We should carefully review this list and make sure while we are having the inspection done that your inspector check these. Inspector typically will check for over 1,600 features. It would be highly recommended to chose an inspector that will carefully inspect the property you are buying.
This list wont talk about conditions such as mold, radon, or asbestos that require laboratory samples or equipment are the stuff of a specialty inspections, which cost extra or must be conducted by other specialists.
Read more: http://www.realtor.com/advice/buy/things-your-home-inspector-wont-check/