Real Estate Information

Families who are searching for the perfect town to call home typically will have a list of requirements that need to be met before they will make a decision. Families look for good schools, parks and recreation, a overall safe feeling of the area and of course job opportunities.

A recent article highlighted 10 of the top cities that are great for raising growing families. These cities were selected by the availability of job growth as well as state of the economy, as well as local culture and amenities.

Raleigh was on this list, below is a snapshot of the area.

Raleigh, N.C.
 
City population: 367,959 Metro population: 1,084,404
Mean family income: $94,975 Median home value: $200,900
Employment growth: 6.4%
City school rating: 7
Violent crimes per 100,000 residents: 578

Employment is up, and the cost of living is down in North Carolina's capital, a mecca for stable high-tech jobs. The region is also home to more acres of parks per capita than most cities of its size. The Wake County School District is strong, too, with 77 schools of excellence and distinction -- the highest designations in North Carolina. And Tarheel State residents live in a higher-ed sweet spot where academic quality meets high levels of financial aid. The result: The top-notch University of North Carolina at Chapel Hill is perennially No. 1 on Kiplinger's list of Best Values in Public Colleges, N.C. State is #10, and other UNC-system schools dot our top 100.

Some of the best features of the area are affordable family housing, strong employment growth (especially in biotechnology, textiles and medical technology), lauded city schools, mild weather year-round, moderate and falling crime rates.

 Below are the other cities that made the list of best cities for raising a family.

• Ellicott City, Md.
• Ann Arbor, Mich
• College Station, Texas
• Kennewick, Wash.
• Huntsville, Ala.
• Madison, Wis.
• Pocatello, Idaho
• Rochester, Minn.
• West Hartford, Conn.
  

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New home buyers who have applied for and have been approved for a VA or FHA loan need to know the specific requirements the inspections for their new home. Buyers will now need  a VA/FHA appraisal AND a home inspection. Many homebuyers are confused by this but actually they are not really the same thing and we can help you understand the difference.

A VA/FHA appraiser will indeed inspect the property from top to bottom. But the appraiser is looking at the property’s condition only to determine the value and marketability of the home. The appraiser is not concerned with any kind of hidden defects in the structure of the home – he or she only needs to document any obvious problems that could impact the property’s value to the lender.

A home inspector conducts a very detailed examination of the property and may use specialized tools and reports to help test the operation of the structure as well as the mechanical elements of the home. Items included in a home inspector’s watch list include:

• Foundation
• Walls
• Roof
• HVAC
• Electrical
• Plumbing
• Well or septic
• Gutters

The federal government requires FHA or VA - approved appraisals whenever the buyer’s loan will be guaranteed by the Federal Housing Administration or Veterans Administration. While they do not take the place of a home inspection, VA and FHA appraisals also include a basic examination of safety and environmental issues – such as lead paint or asbestos in older homes.

The smart buyer will make sure that both the required government appraisal AND an objective home inspection are completed with full cooperation from the seller. The guidelines are there to protect you!

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Mortgage rates are at an all time low, but most first-time home buyers won’t be able to take advantage of the best rates advertised. Here’s why…

Loan History

Even if you are not currently carrying a large amount of outstanding debt, lenders look at loan history, especially large installment payments. They do this to see if you have shown responsibility in handling a large loan. On-time payments and prompt pay-off can be an indicator of how you will perform as a borrower in the future. Many first-time buyers have not established a strong payment history, which can make it difficult in getting that first mortgage without higher rates and fees.

Small Down Payment

First time homebuyers can be at a disadvantage as they do not have a cash profit from selling a previous home to offer as a substantial down payment. With lenders now tightening their restrictions and usually requiring 20% down this large sum of money can be difficult to obtain. Without the downpayment you will probably see a higher interest rate. Larger mortgages come with higher interest rates, and loans with small percentages down are seen as higher risk to the lender. Many lenders will charge a higher rate based on their assessment of the loan’s risk.

Negotiating Skills

First-time borrowers should make the time to shop around for mortgages. You should also do your homework and become familiar with mortgage terminology, different loan packages and options, FHA programs and creative ways to secure your loan. Many first-time buyers are unaware of the many options available to them and lack the experience to negotiate better terms.

Finally, make sure that your credit score is up where it should be (above 700) and that you have steady income from a reliable employer. Both of these criteria will make a significant difference in your interest rate.
 
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In 2007, as a response to the subprime mortgage crisis, President George Bush initiated the creation of an alliance between lenders, investors, foreclosure counselors and the U.S. government (including FHA, Fannie Mae and Freddie Mac) designed to help homeowners threatened by foreclosure. The formation of the HOPE NOW Alliance was one of the first steps the government took towards ‘foreclosure avoidance.’

HOPE NOW has helped more than a million homeowners find the resources, counseling or programs they needed to stay in their homes. Visit www.hopenow.com to see the resources available for distressed homeowners.

First of all, the site offers a simple online eligibility assessment, based on the six questions below:

1. Is your home your primary residence?
2. Is the amount you owe on your first mortgage equal to or less than $729,750?
3. Are you having trouble paying your mortgage?
4. Did you get your current mortgage before January 1, 2009?
5. What is your monthly mortgage payment?
6. What is your monthly gross income

Your answers are quickly analyzed and then you will be directed to a ‘Next Steps’ section for Home Affordable Loan Modification program or to other options for additional services. While the site can help you quickly determine your eligibility, your mortgage company is the only organization that tell you if you actually qualify.

Other resources for home owners through HOPE NOW include a toll free hotline (888-995-HOPE) to a free, 24X7 counseling service provided by Homeownership Preservation Foundation; a home owner ‘Options’ page that explains various programs like repayment plans, loan modification, partial claims and others by state; unemployment resources; other counseling and government resources and more. The site offers an extensive list of links and references to outside services.

HOPE NOW also sponsors events in different cities and offers a list of events and public outreach programs coming to your area. The site is helpful in not only providing a calendar of these events but in also explaining the documentation you should bring with you if you attend.

If you are in danger of foreclosure or are having trouble with your mortgage payments HOPE NOW can help you to learn more about the many programs and counseling services ready in place for distressed home owners.

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Over the last few weeks, we have seen the lowest 30 year fixed mortgage rates in history – 4.5% or lower, with 15 year fixed at 3.9%. Before you jump at the temptation to refinance, take a step back and look at all the facts.

The lowest of the low rates are reserved for premium borrowers – those with strong credit and a low debt-to-income ratio. You may not qualify for the lowest available rate – be sure to discuss that with your lender before starting the refinance process.

Refinancing incurs significant costs, including application fees, appraisals, credit reports, inspections, insurance, title insurance, surveys, points and other fees specific to the lender. There may also be hidden costs, like prepayment penalties, that can wipe out the monthly savings gained.

Do you intend to stay in this home long enough to reap the rewards of the savings?  For example, if you are only saving $100 a month and you intend to sell your current home in 18 months, you probably won’t realize the actual savings after costs.

What about points? Lower points produce a higher interest rate. Again, it probably depends on how low you plan to stay in your current home. Balancing points vs. rates should be considered with how long you are giving yourself to recoup costs.

 The best plan of action is to shop around for current refinance packages from your lender and other lenders. Many may choose to offer special deals or no-cost packages, especially if you have not refinanced previously. Your put a lot of time and effort into purchasing your home – take the same care with your mortgage plan.

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The dog days of summer are here and the hot temperatures have homeowners running the air conditioner day and night to try to make it more comfortable. It's easy to forget about being energy conservation during these warm summer months but here are some simple tips you can do to get back on track with an energy efficient plan and still enjoy the summer!

Energy Saving Tips For Outside

• Replace air-conditioner filters regularly. Dirty filters restrict airflow and can cause the system to run longer, increasing energy use. Replace filters monthly for maximum benefit.
• Longer days mean we don't need out outdoor lighting as much. Adjust your outdoor lighting timers accordingly and you'll save money and extend bulb life.
  Try solar-powered outdoor lighting or garden lighting as an alternative. They are energy-efficient, inexpensive, safe and very easy to install.
• Consider switching to electric lawn mowers as well as trimmers. By not using the traditional gas models, you can help to save money, reduce pollution and they are also much quieter!
• If you have an outdoor pool, reduce the operating time of your pool filter and automatic cleaning sweep to four to five hours, and only during off-peak time.

Energy Saving Tips For Inside

• There is really no need to have your gas fireplace's pilot light during the summer. Save energy, and money, by turning out the fireplace's pilot light until the fall. It is always a good idea to refer to the operating manual for your furnace to learn how to do this properly or  consult a technician. 
• Keep blinds and draperies closed on hot days to keep the inside temperature cooler and comfortable. 
• Make sure your attic has the proper insulation that will protect your home from excessive heat penetration in summer and cold penetration in winter. 
• Ceiling fans are a inexpensive way to create gentle breezes throughout your home to help keep the temperature down.

These are a few summer tips to keep your family comfortable in your homes, during this hot summer as well as a few energy saving and environmental alternatives.

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The economy is still in recovery mode and the real estate market is still feeling the pinch in many parts of the country. Home sellers are finding that selling their home is more and more challenging everyday as they are in steep competition with new home foreclosures. So how do you get your home off the market and into contract? Here are five tips to getting your home sold quickly and the price you’re looking for:

1. Pick the agent who is right for your market.  Your first plan of action should be to locate an agent with proven results with sales. Keep in mind you should also work with someone that you feel comfortable and confident with.at has a good track record with sales in your market range and neighborhood. Good sales stats in your price bracket demonstrate that the realtor knows what buyers are looking for and how to move property similar to yours. A great agent can help you move your home, even in a tough market.
2. Know your market. Understanding the ‘comps’ in your area will help you reach a realistic asking price and get a better handle on the competition. Ask your realtor to provide this information and also take opportunities to visit open houses for homes that are comparable to yours. You can learn a lot about staging, pricing and what is appealing to buyers.
3. Keep up with repairs and maintenance. Don’t hesitate to make necessary repairs and maintenance to your home when you are ready to sell. You don’t have to undergo major remodeling or expense. Simple updates like fixing broken steps, touch up painting and keeping your lawn mowed and flower beds cleaned out will really go a long way in making your home look move-in ready.
4. Be flexible. From having your home ready to show at a moment’s notice to your willingness to negotiate, the key to selling your home in a slow market is flexibility and responsiveness. Going the extra mile for prospective buyers can really make a difference in getting more people through the door ready to make an offer.
5. Add value. Remember that you are competing with short sales and foreclosures, so any extra value you can add to your home can make it more attractive. Whether it’s an appliance, patio furniture or a simple cost concession, small items can add up to big pluses when prospects are evaluating the total value of your home.

In a slow market, you need to get your home noticed quickly and be willing to negotiate so that prospective buyers see a great value in your property. Don’t stop looking for ways to make your home stand apart from the competition.

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Join Masha Halpern & The Smart Move Team this weekend for an Open House Extravaganza on July 18th from 2:00 to 4:00 PM!

See you there!

If you have been searching for the perfect home and are finally ready to make an offer, you may have some concerns about the down payment. In this difficult economy it can be difficult to pay a large down payment so what are your options? How can you complete the sale if you don’t have extra cash?  

Different lenders have their own minimum down payment requirements and can vary depending on the mortgage program, loan amount, borrower income and credit rating. A good rule of thumb is roughly 20%, but you can find different ways to help you meet down payment requirements, including buyer assistance programs -  also called down payment assistance programs.

Assistance programs and grants can help you avoid robbing your savings or 401K or borrowing the money elsewhere to come up with a cash down payment. Some of the most common buyer assistance programs are for first time home buyers, but other assistance programs are available as well. How do they work? Below are some key requirements of standard programs. 

• Home buyers must qualify for a loan that allows gift funds from a charitable organization
• Limits may apply to the price of the home
• Funds can be used for the down payment and for closing costs
• Gift funds can be used for new or existing homes

There ae several different organizations that provide buyer assistance, including Grant America, Nehemiah and American Family Funds. Many other buyer assistance organizations are available, so do some homework and talk to your tax preparer and mortgage lender about options.

Always speak to your lender about available programs in your market, they can help you structure the down payment assistance to be compatible with their underwriting guidelines and offer advice on program advantages for your type of loan.

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