Saturday, April 30, 2016

One More Time - You Don't Need 20% Down to Buy a Home!



A survey by Ipsos found that the American public is still somewhat confused about what is actually necessary to qualify for a home mortgage loan in today’s housing market. The study pointed out two major misconceptions that we want to address today.

1. Down Payment
The survey revealed that consumers overestimate the down payment funds needed to qualify for a home loan. According to the report, 36% think a 20% down payment is always required. In actuality, there are many loans written with a down payment of 3% or less.
Many renters may actually be able to enter the housing market sooner than they ever imagined with new programs that have emerged allowing less cash out of pocket.

2. FICO Scores
The survey also reported that two-thirds of the respondents believe they need a very good credit score to buy a home, with 45 percent thinking a “good credit score” is over 780. In actuality, the average FICO scores of approved conventional and FHA mortgages are much lower.
The average conventional loan closed in March had a credit score of 753, while FHA mortgages closed with a 685 score. The average across all loans closed in March was 722. The chart below shows the distribution of FICO Scores for loans approved in March.



Bottom Line
If you are a prospective buyer who is ‘ready’ and ‘willing’ to act now, but are not sure if you are ‘able’ to, call me today and I will help you understand your true options.



Elizabeth Scott, Realtor®, Broker
Diamond Award – High Sales Volume
e-PRO, Strategic Pricing Specialist
Fathom Realty NC, LLC      
Phone: 919.306.9699
Elizabeth@TheSmartRealEstateAgent.com


Tuesday, April 26, 2016

Looking to Buy A Home in the Triangle, NC? Read This First!



The Triangle NC area is among the top 20 hottest real estate markets in the US now.  What does this mean for you as a home buyer?
 
More homes are coming on the market during this typically busy spring season, and there are even more buyers.  This means lots of competition and now, more than ever before, you need a strategy and a good agent so that you can get that home of your dreams.

Here are two things you must do right now (even if you’re not thinking of moving for several months):

Contact your lender now!  Not only because you want to be sure you are targeting the correct price point for your new home, but also because you will be required to present a lender pre-approval or pre-qualification letter with your offer.

Because homes are selling in a matter of only a few days, you will not have time to contact a lender once you find the right home.  We will need to get that offer in immediately.  We must have that letter in hand before we even set out looking at homes.



Partner with a full-time, professional real estate agent.  This is not amateur time!  Each offer will require a strategy and your agent will know the right strategy for you.  How much should you offer?  What should I do in the case of a multiple offer situation?  Is price the only factor in a transaction?  What is the true market value of the home?  How will I handle the appraisal?  And, once you’re under contract, what should you do?  You have lots of options, there are many variables, and much is at stake!  This is the largest investment of your life – you want to get this right!


Today’s real estate market is unique from any in recent history.  Contact me today and I will be happy to give you my exclusive, free Home Buyers Guide.  This booklet has all the information you need on the home buying process and what you need to be successful.  Whether you’re a pro at home buying or first-time buyers, I will help you navigate this challenging market.


Elizabeth Scott, Realtor®, Broker
Diamond Award – High Sales Volume
e-PRO, Strategic Pricing Specialist
Fathom Realty NC, LLC      
Phone: 919.306.9699
http://www.thesmartrealestateagent.com/contact/
Email:  Elizabeth@TheSmartRealEstateAgent.com