The right support system will help you on your way to your new home. Contact Preferred Properties of Texas today to start your real estate journey!
For listings in Stephenville text HOMES to 877-965-7775
The Preferred way to buy & sell real estate for you
The right support system will help you on your way to your new home. Contact Preferred Properties of Texas today to start your real estate journey!
For listings in Stephenville text HOMES to 877-965-7775
The responsibility and liability of buying a house is considerable. You are bound to the home you purchase until you successfully sell it. You must therefore be extra cautious and ask as many questions as you can before closing a deal. Here are some questions that you should not forget to ask before buying a house.
You should know how many times your home has been sold over the years, as well as the price each time. You will be able to see the value changes of your property, which you can use in future negotiations and when selling the house.
Nobody wants to live in a house that has astronomical utility bills. It makes the owner look like he or she is rich. You should know the annual maintenance costs, as well as water, gas, and power bills, to determine if you are able to afford a home.
The value of the home is what determines the main property tax. However, the amount the current owners pay is an important factor in determining future costs.
Brokers or sellers should disclose any history of suicide, murder or death. A history that is unusual, such as appearing in a movie, magazine or commercial, should also be disclosed. If a house is featured in the public media, it could be a sign of a privacy breach in the future. A negative history may make it difficult to sell a house in future.
Roof replacements can cost up to $10,000. Future homeowners should be aware of when such a large expense may be due.
It is possible for future guests to need to park outside the home, even if it has a garage. The last thing you need is to have your guests’ cars towed.
The cost of replacing any of these items can easily reach thousands of dollars. The warranties will save you a lot of cash in the future.
Upgrades can cost a lot. If you are planning to add or renovate the home, it is important to know who worked there before.
It is better to be aware of these problems before hiring a home inspection. The cost to repair such issues can be a significant amount.
It can be expensive and time-consuming to get rid of a rodent or insect problem. It is better to know about this than wait until it’s too late.
Original Blog: https://realtytimes.com/archives/item/1029918-buying-a-home-don-t-forget-to-ask-these-questions?rtmpage=
The purchase of a home is one of the most important decisions you will make in your lifetime.
Closing is usually the final step. It can be a relief to reach this stage, as you’ve completed the underwriting process. But what should you expect at closing?
The contract negotiations usually determine the closing date. The closing date will be on your purchase contract. The seller accepts the offer, earnest money is paid and then you will have your closing.
The closing date may be several weeks or even months after your offer has been accepted, depending on the time needed to complete the transaction. Being prepared can help speed up the process.
If you have an experienced team, the closing process will go smoothly.
You will need to make sure all the closing contingencies are completed.
These include the completion of loan documents, the home inspection, and the purchase of homeowners insurance.
Usually, the final walkthrough is scheduled 24 hours prior to closing. This is not the inspection. Your agent should schedule a final walkthrough. During this period, the seller should remove all of their belongings.
If the condition of the house does not match what you agreed upon, then let your agent know.
As we have already mentioned, it can take weeks or months to reach a closing date. You can avoid some of the biggest obstacles by knowing what they are. The following are some of the things which can delay the closing date:
* Appraisal problems
* Loan Issues – Preapproval can help avoid loan issues
* Home inspection problems
* Issues that may arise during the walkthrough
* Problems with the paperwork
Closing costs are incurred once you reach your closing date. These are third-party fees that must be paid before your home purchase can be finalized.
Closing costs tend to include attorney fees, appraisal fees, and your homeowners insurance premium.
Closing fees can range anywhere between 3 and 4% of your home’s purchase price.
Your lender should send a Closing Disclosure to you at least three days before the closing date. This will give you all the details and costs as well as who is responsible for what and how much. Make sure that these costs match the information you received in your loan estimate.
When you arrive on the closing date, you will need to bring a photo ID, any paperwork that is still needed by the mortgage loan officer, title company or other parties, and a certified check or cashier’s cheque. The check must be made payable to either the title company or closing company. The check is to cover any closing costs not deducted from the sale price.
You will pay the remaining closing costs on closing day. These are the costs you should have already been aware of after reviewing your Closing Disclosure.
The seller signs documents transferring ownership.
You will need to sign several documents, including a settlement note that details all costs associated with the sale, an mortgage note stating your promise to repay the loan and a deed or mortgage of trust. A title company then registers the deed under your name.
If you have already signed your contract, you will be able move into your new home as soon as all the paperwork is complete.
Original Blog: https://realtytimes.com/consumeradvice/buyersadvice/item/1040826-what-to-expect-when-you-close-on-a-house?rtmpage=
Freddie Mac (OTCQB: FMCC) released today the results of its Primary Mortgage Market Survey (r) (PMMS(r)), which showed that the 30-year fixed rate mortgage (FRM), on average, was 6.60 percent.
Sam Khater, Freddie Mac Chief Economist, said that mortgage rates dropped this week to their lowest level since May of 2023. “This is an encouraging development for the housing market and in particular first-time homebuyers who are sensitive to changes in housing affordability. However, as purchase demand continues to thaw, it will put more pressure on already depleted inventory for sale.”
As of January 18, 2024 the 30-year FRM averaged 6.60 percent, down from last weekend when it averaged 6.66 percent. A year ago at this time, the 30-year FRM averaged 6.15 percent.
The 15-year FRM has dropped from 5.87 percent last week to 5.76 percent this week. A year ago at this time, the 15-year FRM averaged 5.28 percent.
The PMMS(r) is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit.
Freddie Mac’s mission is to make home possible for families across the nation. We promote liquidity, affordability, stability and equity in the housing markets throughout all economic cycles. Since 1970, we’ve helped tens and millions of families to buy, rent, or keep their homes.
Original Blog: https://realtytimes.com/real-industry-news-articles/item/1048328-mortgage-rates-decrease-to-lowest-level-since-may-of-2023?rtmpage=
When you buy your first house, it’s a thrilling time. It’s a little scary, but it’s still a lot of fun. You’ve probably bought your first home, second home or even third one. So you’re familiar with the process. There’s a new language in real estate and mortgages. Some words are only used within the real estate world. The word “mortgage” is a good example. Mortgage is also used in other contexts, but it is most commonly associated with real estate. You may remember when you bought your first house. You were probably excited and anxious, but as the business side of the deal begins to take shape it takes on an entirely new dimension.
What do you do when your eldest calls you at dinner and says, “I’m ready to stop renting, and I want to buy that house I saw on the street.”? There are many reactions, but the most common is to tell your child it’s more than just excitement. You’ll also find some boring things. For starters, there’s a lot of paperwork to sign.
Not only will they need money to pay for the down payment, but also for closing costs. The ‘hard’ costs, such as an appraisal or credit report, but also the’soft’ costs like property taxes and insurance. Prepaid interest can also be a cost. Prepaid interest may need a short explanation. When a monthly mortgage payment is made, the payment is applied according to the number days owned the previous month. If someone closes and sells a home on 31st, the first mortgage payment will include that day. If you close on the 15th of the month, 15 days’ interest will be collected. Rent payments are applied to the next month.
Your children also need to understand that a mortgage is an entirely different type of commitment. You can’t just walk away. Renting allows you to move on to another property after the lease period is over. You’re required to hold a mortgage until you sell the house or decide to refinance. There will still be a mortgage. Lastly, the responsibility for property taxes and insurance falls to the children and not the landlord.
Do not discourage your children from buying. Just let them know that there is more to it than the down payment.
Original Blog: https://realtytimes.com/archives/item/1022835-should-you-buy-a-home-warranty?rtmpage=
We’re buying our first home. It seems like a fairly tame query, right? Post it on Facebook or Nextdoor, and you’ll be amazed at the passionate responses. You could ask “What political party do I belong to?”
Who knew people were so passionate about home warranties? Expect to hear some people call them a “scam” or at least a waste. Some will tell you how a warranty saved their furnace from freezing in the winter because they could not afford to fix it without it.
The decision is ultimately a personal one and will be based on your comfort level with the cost of replacing an expensive item in your home like the air conditioner or hot water heater if it malfunctions. We’ll break down three key details so you can make a well-informed decision.
Money Talks News reported that a basic home warranty can cost between $350 and $500 per year. Angie’s list says that a warranty usually covers kitchen appliances, plumbing and water heaters, heating and electrical components, sump pumps, whirlpool bathtubs, ceiling and exhaust fans and sump pumps. “‘Enhanced’ plans can be purchased for an additional $100 to $300 and provide coverage for items such as a refrigerator, garage door opener, washer and dryer, and air conditioning system. You can add optional coverage, such as for pools and septic system.”
You can usually break the annual cost down into monthly payments, but that’s not the only thing you have to pay. You’ll also have to pay for service calls. If you need a professional to fix a broken tub or microwave, you’ll have to pay for that.
“Home warranty deductible or service call fees is an important concept that you should master if your goal is to find the best home warranty plan for your needs,” said Home Warranties. Most home warranties require a deductible, or service fee, with an average of $75 per visit. Some companies, such as American Home Shield and TotalProtect Home Warranty let their customers select the amount of the deductible, depending on the amount paid. The higher the premium the lower the deductible.”
Many homeowners choose a home warranty to cover major “just in case” scenarios. Just in case your air conditioning unit burns out. Just in case your hot water heater fails. If you don’t have the money to pay for a costly repair, it is a good idea to keep supplemental funds in reserve. The cost of these items can be thousands of dollars. According to HomeAdvisor, the average price for a new AC unit and installation is $5,413.
“A home warranty can be a good buffer for a homeowner without an emergency fund or a homeowner that wants to protect his emergency fund,” said Investopedia. Home warranties are also a good idea for people who don’t know how to fix things or who don’t want the hassle of finding a contractor. Warranties are also a good idea for people who have expensive appliances.
There’s always the chance that your warranty will not cover an item for some reason. “A home warranty does not mean that the homeowner will spend no money on home repairs,” said Investopedia. Some problems will not be covered by a warranty, either because the homeowner did not purchase coverage for the item or because the warranty provider does not offer coverage for the item. Home warranties don’t usually cover components that aren’t properly maintained. If the warranty company denies the claim, the homeowner is still responsible for the service fee, as well as the repair costs.
In our case, the limitations in our home warranty contract about the replacement of outdated components and refrigerant for our broken air conditioner meant that we had to pay $1,500 out of our own pocket. It’s important to read the fine print.
Original Blog: Should You Buy a Home Warranty? – Realty Times