Posts made in March 2019

Ways to Avoid Being Denied a Mortgage

Until you’ve gone through the mortgage application process yourself, it’s hard to understand all of the ins and outs and highs and lows that go along with applying for a home mortgage. Educating yourself, as well as working with an experienced real estate agent in Spring, TX, is key to avoiding rejection and disappointment. Buying a house is already stressful, but knowing the best ways to get your mortgage loan approved can help you to avoid disappointment.

Maintain a Good Credit Score: Knowing your credit score before applying for a mortgage is key. A poor credit score is the number one reason mortgages are denied.  Lack of credit, which is common for people who don’t have a long credit history, a very low credit score due to overdue payments, and high balances are the most common reasons for rejection.

Avoid Changing Jobs: Before a bank loans money, they want to be sure you aren’t the kind of person who frequently jumps from one job to another. The financial institution will consider this financial instability, and you’re likely to be denied a mortgage.

Provide a Solid Down Payment: Some lenders may ask you to provide at least 10% for the down payment. Down payment minimums vary and depend on various factors, such as the type of loan and the lender.

If you are looking into buying a home, we can help you with finding the right home as well as with your mortgage! Call Carol Knott and The Hometown Team today at 866-960-6819.

Five Things to Negotiate When Buying a Home

Whether you’re a first-time homebuyer or you’ve purchased a few homes or properties, everyone wants to feel like they are getting a bargain when it comes to the price you’re paying. The negotiation part of the home buying transaction can seem a bit daunting and stressful, but with the help of a trusted real estate broker in Spring, TX, it doesn’t have to be. A solid negotiator on your team is necessary to ensure you are getting the best possible deal for your money. So, what types of things should you negotiate when buying a home?

  1. List Price – Negotiating down the listed price of a house is fairly typical, but there are some tricks to making it work in your favor. Your real estate broker in Spring, TX, can ask for a lower price based on comparable properties in the area, appraisal results, neighborhood status, home condition, and overall market value.
  1. Closing Costs – Several factors determine your closing costs, but you can expect it to be between 2% to 5% of the purchase price. Ask the seller to cover some or all of the closing costs or request a closing credit that can be used to make updates and repairs to the home.
  1. Inspection and Closing Timeline – Buyer offers that include a quick inspection and closing timeline are often more attractive to sellers. Just ensure you allow yourself enough time to get your financing in place and inspections complete.
  1. Repairs – Your inspection may uncover some minor or major repairs needed to bring the home up to code or your standards. You can negotiate to have these items fixed before closing or ask for a price reduction to cover the costs.
  1. 5. Furnishings – Is part of the charm that sold you on the home how the seller has furnished and decorated? Buyers often negotiate keeping couches, fixtures, landscaping items, patio furniture, appliances, and more. And many sellers agree, wanting to make the home more appealing to the buyer.