” The Top 3 Things You Need to Know Before Financing A New Home “

There are many details you should be aware of before you finance a new home. The process is complicated and you may feel overwhelmed by everything you will need to learn. Here are three important points you should remember when getting started.

  1. Become familiar with home costs: This refers to the payments you will be making on the home. The four main types of payment you should become familiar with are principal, taxes, interest and insurance. The principal when paid will lower your balance monthly. Paying the interest will go towards the fee assessed for borrowing the money. With the property, there will be taxes that are determined by the county. Finally, there is a payment for insurance, which is required when you purchase the home. In some cases, you will also be responsible for a homeowner’s association fee due monthly if your home is located in a planned unit development.
  2. Research your credit history: If you want to secure the best possible mortgage you should ensure you have an excellent credit report. What are lenders looking for? They are looking for payments that are made on time and a full and strong credit history. The more credit history the better. It is suggested that before attempting to buy a home you should open new accounts months in advance. We suggest a free credit report to see where you currently stand before applying for a mortgage.
  3. Learn requirements of lenders: It is important to remember that lenders will examine all facets of your life. They will need the following: your full name, address, date of birth, social security number (SSN), and age of your children if applicable. They will dig a little deeper by researching your employment history, pay stubs, tax returns, bank statements and any other legal or financial documents you may have filled out in the past. Most lenders will provide you with a list of needed paperwork before you get started. You should be prepared to follow the checklist they provide. In fact, we suggest you follow it exactly as instructed and outlined by the lender. Diverting from the requirements will only prolong the situation. If any documents need further instructions you should be able to defend any past dealings easily. Simple Home Solutions is here for you if you have any questions regarding this process. Contact us today.

” Pre-Screening the Tenants “

When you receive a phone call from a prospective tenant, always pre-screen ahead of time this means to try and qualify the tenant over the phone before spending time going over to the house to show them. The easiest way to do this is by setting rental criteria and explaining that criteria over the phone. My criteria look like this:

  • The gross monthly income must equal approximately three times or more the monthly rent
  • Applicants must have a favorable credit history.
  • Applicants must be employed and be able to furnish acceptable proof of the required income.
  • Applicants must have good references concerning rental payment, housekeeping, and property maintenance from all previous Landlords.
  • We limit the number of occupants to two per bedroom (per State law)

You can read this list over the phone to the prospective tenant and ask them if they meet these qualifications. If they don’t – don’t rent to them. These qualifications are designed to take the emotion out of renting to someone, so stick with them. By allowing tenants to move in who don’t meet your minimum qualifications, you are only setting yourself up for failure later on.

A note on discrimination: Be sure to not discriminate when you are advertising and screening for tenants. Federal law defines seven protected classes of people that you cannot discriminate against, which includes a person’s race, skin color, sex, national origin, religion, disability or familial status. You cannot even ask questions about these terms without appearing discriminatory – so don’t do it.

” Why Rent Your House? “

Perhaps you are on the line, trying to decide whether or not renting your house is a good idea. Therefore, the first question you need to ask yourself before “how to rent my house out” is “should I rent my house out?” If you’re choosing between renting your house vs. selling it, I’d like to make the case why renting out your house is the best decision. After all, the benefits of renting out a house are numerous.

  • Your primary home, while a necessity in life, is not typically an asset or investment. An asset is something that makes you money, where a liability is something that costs you money each month. By renting out your home you are able to transform your liability into an asset.
  • By renting your house, you are able to continue to hold onto your house while the tenant’s monthly rent pays down your mortgage each month. During this time, property values (hopefully) will climb and build wealth for your future. You may also begin to experience additional monthly cash flow if you can rent your house out for more than what your monthly expenses are, which should be the goal for all potential landlords.
  • Renting your house out may also help start your investment career with no additional costs – since you already own the home. This could be a first step in a tried-and-true method for building wealth. Many real estate investors begin this way – by renting out their homes as they upgrade to bigger or better properties throughout their life. This may also help fund your retirement, as you may end up owning multiple properties “free and clear” by the time you are ready to retire, providing monthly income or a lump sum if you sell.
  • Finally, by renting out your house you retain the possibility of returning to that home. This is especially helpful if you’ve been forced to move quickly because of temporary job relocation.

” Don’t buy the most expensive house on the block. “

Keep up with the Joneses, but don’t outdo them. You won’t get the same return on investment with the biggest house on the block, and you might have trouble selling later on.

Before you purchase a home, research the neighborhood. Is the house you’re considering overbuilt for the area? Are comparable homes selling in the area? You’ll be glad you gathered the information if you ever decide to sell

“Do invest in a professional inspection”

Sellers don’t always disclose the whole truth to potential buyers, or they might have done a Band-Aid job to cover up issues until the deal closes. The average home buyer takes 15 minutes or less to choose a home, but many potential problems, like plumbing and wiring trouble, might not be visible to the naked eye.

Home inspectors can look beyond the fresh coat of paint to find costly underlying problems. Splurge on an experience professional — it will save you time, money and house-induced heartache later on.

When is the Best Time to Buying a Home?

Early spring fever, summertime doldrums, vacation interruptions, winter season icicles, there is always something taking place when you are thinking concerning selling your own home. Which leads to the dilemma: When is the better time connected with year to help list/sell my house?

With Simple Home Solutions, the straightforward and uncomplicated answer is any moment you’re set!

Seasonally additional homes market in spg and early summer than fall along with winter. Estimated at 21 percentage of revenue occur via January thru March (the most competitive quarter) along with 35 percentage between May and Come July 1st (the busiest three months). On the other hand, don’t allow numbers cause you to believe spring/summer is the better time to trade. It’s just enough time more people do. There is certainly actually absolutely no bad time and energy to sell. Home sales occur every evening, 12 months of the year.

So assuming you have a choice and don’t provide an absolute ought to sell due to a job exchange or various other reasons, when should you put your house available on the market? As most of us approach the last months connected with 2012, here are some thoughts:

●Act on which you know is happening available in the market, not everything you think or perceive the market will be. None individuals are suitable to outlook accurately the spot that the market is headed. All could is industry conditions today.

●Interest rates are lower. Do guess what happens they’ll be should you wait? Mortgage rates can influence buyer selections both really and negatively.

●There is shortage connected with inventory within the DC town you live market at this time. Low supply and solid buyer require usually compatible strong prices. Do guess what will happen inventory levels are going to be in six months?

●You can determine correct pricing today. Do guess what happens prices can do yearly six several weeks? If and so, please I want to know!

●Many people think, “My house are going to be worth more within the spring and so I’ll hold out.” When you’re purchasing another property, so will the property you usually are buying if you’re buying in a higher budget range, the change is a great deal larger. Waiting will cost you more funds.

●If you’re not really buying another home, how would you know your house will be worth more within the spring? Guess what happens you can get now. Waiting contributes risk on your financial situation.

The slip and winter is usually good times to position your house available on the market. Consider: Buyers active in the market during this time period of the year are considerable buyers. Serious buyers typically mean considerable offers. You get less opposition from various other sellers simply because “don’t want their house available on the market at this season. ” Be a contrarian! Less opposition often could result in stronger pricing for you — on the buy along with sale side of your transaction.

Seasonally there in fact is no bad time and energy to sell. But periodically you might not want to put your home available on the market.

●You’ve also been transferred. Most people interact with these circumstances thinking they have to sell their property. Actually, an improved decision could be to hold onto it being a long-term investment decision. After many, the DC industry has usually been one of many strongest real estate markets in the nation. Perhaps the market what your location is going isn’t just like the industry here.

●There usually are several in foreclosure properties easily obtainable in your town. Your home’s price will be compared to those your banker is inquiring. And your banker may be asking significantly less than what you can get for yours should the bank property just weren’t available on the market. Perhaps waiting around (at least six months for value determination purposes) right up until these properties are traded and settled can get you an increased price.

The end result is that so long as your property is listed properly any season in your trusted listings metro is an effective time to trade your property.

Simple Home Solutions is ready to offer you professional advice and directions concerning your property.

“Why Divorced People Shift Homes?”

The investors in www.house911.com and Edward Casey of Houston, Texas surveyed Houston, Texas to identify home ownership trends and noted that in most cases when persons divorce they prefer selling their current homes. Reasons behind this are; the person left in the home may find it difficult to maintain the home while still earning the same income,  they may also move out to avoid bad memories and also a couple may sell a home so as to share the proceeds.