Finding Better Home Deals in Spring

Finding Better Home Deals in Spring

Finding Better Home Deals in Spring - Just days before the Fall season arrives, let us try to break down the common question Can I Find a Better Deal on a Home in the Fall? It is claimed that spring has left a lot of good deals from homeowners whose homes are still left on the market from summer. And because of better weather and not moving between the school calendar, spring is dubbed the 'home-buying season.' But is this true?

1. Don't expect. There had been reports that there is a nationwide low inventory for the past months, according to IndyStar.com. With this in mind, don't expect that the market will be flooded with homes listed at lower prices.

2. Don't delay. It is not ideal to delay your home search until fall just because of the 'home-buying season' especially when you found the right property at the right price. You have to act on it before somebody else has.

3. There's more competition. With everyone else joining the the spring home-buying bandwagon, bidding war is more likely to happen during spring. You may even have to compete for an agent or a lender's attention. So we go back to Number 2, don't delay your home deals!

4.  Most investors find it smart to buy a home during off season. If you’re buying a home for investment potential rather than to live in, the off-season is the best time to buy with foreclosures and REOs. Off-season sales sellers are said to be more motivated. These sellers are more likely to make a deal and open to contingencies and terms.

5. Every market is different. Keep in mind that not all market are the same, not all household consider the school calendar and have the same climate with colder fall/winter climates such as the Northeast and Midwest. In other words, it is a tricky market so you may or may not be able to find a lot of great deals.

6. Mortgages are still low.  It is best  time to take advantage of the current low mortgage rates, which makes more homes affordable to home buyers. And with the upcoming spring season, forecasters are expecting a blow-out.

With everything that's been said, the best time to buy or sell a home is up to you. For more information on home buying or home sales, you may call Lora Reynolds, Broker/Owner of Indy Homes Realty Group, LLC at 317-496-6291 or visit her website at www.lora.indyhomesforyou.com.

The Real Value of your Home

The Real Value of your Home - Every real estate agent is always asked, “What is my house really worth?” Most clients already have an idea about the value of their home. Before we get excited about it, we have to make sure that the accuracy of the source of this information. And many times, we may even have different values depending on the source. So we listed done three common home values from three sources, so we can determine what is the real value of your home.

Value from Zillow

Zillow (or Trulia or HomeValue.com) are websites that has access to the property's tax record description, like the original square footage, numbers of beds and baths. With this information, the websites will compare the said property to other sales in the neighborhood. Sometimes, these websites' tax records are not updated, not considering recent additions or upgrades made to the home. So, it is not a very reliable source especially if your property has undergone recent home improvements.

Tax Assessed Value

Just like Zillow, the Tax Assessed value is much like the Zillow value which determines home values from recent neighborhood sales and the property's original tax records. And just like Zillow, this value does not consider recent improvements or additions. Tax assessed valuation may happen in different intervals depending on which state and county. And there is an appeal process if you think your tax assessed value is wrong and you want to correct it.

The Appraised Value

The Appraised Value is probably the most accurate of all three sources. When getting a mortgage or a mortgage refinance, the lender will request a home appraisal and fill out how much the home value needs to be. In return, the appraiser will make sure the home value is within the price the lender filled out. The appraisers have a very precise method of getting home values, but still not completely accurate.

The Verdict

Knowing all these three sources, we can conclude that the true value of your home can not be completely established from an appraisal, a website, or a tax assessment. The real value of your home is the price a buyer is willing to pay at any given time for your home.

Real estate is a tricky market, it is best to contact a real estate professional with expertise in your area to find out what homes have recently sold, the current housing market trends, etc. Let statistics speak for themselves. A real estate agent can help you determine the most accurate price according to what has actually sold recently, not by some dream price you attempt to get. 

If you have any questions about home values, or would like assistance in determining the value of your home,  please call Lora Reynolds, Broker/Owner of Indy Homes Realty Group, LLC at 317-496-6291 or visit her website at www.lora.indyhomesforyou.com.

Mortgage Refinance 101

The Basics of Mortgage Refinance - It is a common misconception for homebuyers to believe they don't qualify for or think that mortgage refinancing is a complicated process.  Here are basic information a homebuyer should know about Mortgage Refinance:

What is a refinance?

A mortgage refinance is when a borrower asks for a new mortgage with a new interest rate and new term to either pay off and replace their existing mortgage. It is commonly mistaken as a modification of a loan when in fact, it is a brand new loan.

 What are the benefits of refinancing?

A refinance is done to get a lower monthly payment, to make a change in the length or terms, or to get cash out at closing. For example, borrowers with existing mortgage with a higher rate when the interest rates are currently low, they tend to get a refinance so they can pay lower monthly mortgage fees. Or some want to refinance from a 30-year fixed-rate mortgage into a 15-year fixed-rate mortgage.

Are there qualifications I have to meet?

Just like any applications, yes. But contrary to the belief that it is a more complex procedure, the qualification is similar to your existing mortgage. The lender will look into your credit score, payment history, debt-to-income ratio, employment and income, assets, and cash available. Others may even have less stricter qualifications depending on the type of loan.

What will I need to do?

Chances are it is a very straightforward procedure if you use the same lender you have your existing mortgage with. The experts will find the right mortgage for you, ask for financial proofs and paperwork, review your qualification and then go to closing. Because of technology, some lenders may not even ask you to visit their physical office.

For more tips on buying a home and finding the right lender, please call Lora Reynolds, Broker/Owner of Indy Homes Realty Group, LLC at 317-496-6291 or visit her website at www.lora.indyhomesforyou.com and start your house hunting. Good Luck!

Rules in Buying a Home

Rules in Buying a Home - As we approach the home-buying season,  here are some tips to home buyers to make the experience easier and less stressful: 

1. Improve your credit score. 

 Credit scores define the type of mortgage (that would lead to the kind of home) you’ll be able to purchase. If you haven’t started working on your score, that's the first thing you should do if you are planning to buy a home.

2. Stay at your financial situation.

Lenders look for steady income, a good debt-to-income ratio and an overall solid financial base. So this is not a good time change jobs, make large purchases or transfer money between accounts if you are planning to buy a home.

3. Consult professionals.

Mortgage professionals and real estate agents will provide good advice, even if you are just on the planning stage. Trying to buy a home without the help of professionals to save money may cost you quite a bit more in the long run.

4. Save money.

Now that the Holiday season is over and a new year has started, focus your resolution in buying a new home - for the expenses, down payment, etc. In this line, try to avoid opening new lines of credit like credit card, store charge card. It won't help in saving and building your credit score. 

5. Start your home research. 

Start deciding what type of home you want, amenities you need, neighborhood you want to live in.  You may want to consider schools, services, shopping and transportation. You can start looking at homes for sale when you already know how much you can afford to avoid looking at homes out of your price range.

For more tips on buying a home, please call Lora Reynolds at 317-496-6291 or visit www.lora.indyhomesforyou.com.