Dec 10, 2014 | Home Buyer Tips
Does your home feel like it’s starting to burst at the seams? Many homeowners across the country can relate to this feeling having bought a home only to run out of space due to a growing family or for other reasons. Let’s take a quick look at a few questions that will help you to determine whether buying a new home or expanding your current home is the best choice when you’re in need of some extra space.
Why Are You in Need of More Space?
The first question you’ll need to answer is…”why?” Are you running out of space because you’ve decided to start a family and have another child on the way? Or perhaps you’ve decided to start a business out of your home and you’ve outgrown the small room you had set aside as your office? Whatever the case, a major renovation or a move to a new home are both major decisions and ones that shouldn’t be made lightly. Sit down with your family and consider why you need more space and what you would do with a larger home if you had one.
How Much Space Do You Need?
“How much space” is another consideration that you’ll need to make in order to come to the best decision between expansion and buying a new home. If you find that your needs are perfectly suited except for that missing bedroom you may want to undergo a renovation. Conversely, if you find that you could use at least 2 or 3 new rooms and some extra room in the garage, you may want to start shopping for a new home.
Note that expanding your home to add an extra bedroom or to finish the basement will provide a limited amount of additional space – space which may end up feeling constrained later if your family or needs continue to grow. If you’re thinking bigger over the long term, you’ll likely be better served in finding a larger home that has extra room that you can grow into.
Other Factors for Consideration
If you’re thinking about expanding your current home you’ll want to consider how this will impact the other rooms in the house. Are you going to feel the need to renovate every room once that new bedroom is added? If so, is renovating a wise investment or should you simply move on to a newer home?
Living in a more spacious home is a liberating experience that your entire family will enjoy. Contact your local real estate agent today to learn more about buying larger properties and to view available real estate opportunities in your area.
Dec 9, 2014 | Home Buyer Tips
Size matters when you are buying a new home. Whether you plan to expand your family, need more room for your stuff, or are concerned with resale value, you want to get the most space for your money. Also, if you want to add a feel of luxury to your home, one of the best ways to do it is to create open spaces rather than cramming all your furniture in rooms so tiny you can barely walk around without knocking something over.
Traditionally speaking, the larger a home is, the more it costs. If there are two newly built houses side by side in a subdivision, the bigger one is likely to cost more. However, there are some tricks to finding spacious houses that are affordable.
Choose Emerging Neighborhoods
Houses in this year’s trending neighborhood are at their peak prices. Clever buyers look for neighborhoods that are in the process of being gentrified, buying at the bottom rather than the top of the market, to get more house for their money.
Fix It Up
Houses in perfect condition, that show well, sell for a premium. If you want to get more house for your money, choose something that needs a bit of TLC. A house that has pink walls and orange shag carpet might appear just too ugly to consider when you first view it, but it might just need a few coats of paint and some new carpet to become a spacious dream home.
Do Some Finishing
Unfinished areas such as attics and basements can be finished to create additional living spaces. The basement could become a family room and the attic an extra bedroom or study. An unfinished space can become the extra bathroom you need to make morning more manageable.
Consider an Addition
Contractors can add rooms to a house. If you have a large lot, you can build an extra wing. With a one story ranch house, it may be possible to raise the roof and add a second story.
The more stuff you have, the smaller your home appears. Reduce clutter and invest in smaller condo size furniture to give even the smallest home the appearance of spaciousness. Call an experienced real estate professional if you want to find your spacious luxury home at a bargain-basement price.
Dec 8, 2014 | Market Outlook
Last week’s economic reports related to housing and mortgages were few, but construction spending, the Fed’s Beige Book report, non-farm payrolls and the national unemployment report indicated trends for the end of the year.
Construction Spending Increases
U.S. construction spending rose by 1.10 percent in October according to the Commerce Department. This reading translates to a seasonally-adjusted annual rate of $971 billion. Analysts had expected an increase of 0.70 percent based on September’s original reading of -0.40 percent, but September’s reading was revised to -0.10 percent on Tuesday. Private spending on residential projects increased 1.30 percent.
Federal Reserve Beige Book Indicates Economic Improvement, or Not
Oil prices were cited by participants in the Federal Reserve’s survey of regional business leaders; Texas and the Gulf coast areas noted that falling oil prices were a threat to those economies, while other participants said that lower prices at the gas pump were putting more cash in consumers’ pockets. The report noted upward pressure on both minimum wages and higher wages for skilled workers. Wages have remained mostly flat while consumer costs have increased; higher wages can provide more discretionary income for consumers and may build confidence for would-be home buyers that have been waiting for more positive economic trends.
Freddie Mac: Mortgage Rates Down
Freddie Mac’s weekly survey of average mortgage rates brought good news for home buyers and homeowners seeking to refinance their mortgages. The average rate for a 30-year fixed rate mortgage fell from 3.97 percent to 3.89 percent. The average rate for a 15-year fixed rate mortgage fell to 3.10 percent from last week’s reading of 3.17 percent and the average rate for a 5/1 adjustable rate mortgage dropped to 2.94 percent from last week’s reading of 3.01 percent. Average discount points were unchanged for all loan types at 0.50 percent.
Labor Data Mixed, Unemployment Rate Unchanged
Weekly jobless claims beat expectations by 1000 fewer jobless claims with a reading of 297,000 new claims against expectations of 298,000 new claims. The prior week’s reading was higher at 314,000 new jobless claims. The Commerce Department also released Non-Farm Payrolls figures for November with 321,000 jobs added against expectations of 235,000 jobs added and October’s reading of 243,000 jobs added. Holiday hiring and climate related slowdowns are expected to impact year-end labor statistics. Analysts prefer to look at trends occurring over several months to determine labor trends.
What’s Ahead
Next week’s scheduled economic news includes reports on November retail sales and consumer sentiment in addition to Freddie Mac’s mortgage rates survey and the Commerce Departments weekly jobless claims report.
Dec 5, 2014 | Home Mortgage Tips
If you’re in the market for a new home and you’ve been researching mortgages, you’ve likely come across the terms “pre-qualification” and “pre-approval”. While these terms are self-explanatory in some circumstances, they are quite different in regards to mortgage financing.
In today’s blog post we’ll explain the difference between a mortgage pre-qualification and a pre-approval.
Pre-qualification: an Initial Look at Your Mortgage Options
The first – and easiest – step on the way to receiving mortgage financing to buy a home is known as pre-qualification. During this process you’ll meet with a mortgage advisor or lender who will assess your financial history including your current income and any debts that you might have. Using these numbers they’ll perform a quick calculation that suggests how much mortgage financing you might qualify for when you’re ready to buy a home.
Your mortgage professional will also answer any questions that you might have about the process, including what interest rates you may qualify for, how much you’ll need to invest in your down payment and more.
Pre-approval: a Conditional Mortgage Commitment
After you’ve been pre-qualified for your mortgage and you’re ready to start looking for a new home you’ll go through the pre-approval process. At this time your mortgage advisor or lender will take a much deeper look into your current financial situation, including pulling a credit report to assess how much risk they will have in lending you money. You’ll also complete a full mortgage application as this will allow your lender to get a conditional approval for a certain amount or range. Finally you’ll be informed about the interest rate and the terms of the mortgage once you find your new home and complete the purchase.
The Final Step: Finding the Perfect Home
Now that you’ve been pre-approved and have received a conditional commitment from your lender, you’re ready to find that perfect new home. On top of having a better idea of your price range and what you can afford, you’ll find that sellers are far more receptive to your offers as having a pre-approval signals that you’re a serious buyer who is ready to make your move.
When you’re ready to buy your new house or condo, your local mortgage professional is ready to help. Contact them to learn more about pre-qualification, pre-approval and your financing options. Enjoy your new home!
Dec 4, 2014 | Around The Home
Have you prepared your home for the winter? With colder temperatures starting you’ll need to spend an hour or two getting your home ready to deal with the possibility of harsher weather and below-freezing temperatures, depending on where you live. Let’s take a look at a few quick home maintenance tips that will help you get your house ready for the cold of winter.
Check Your Roof, Gutters and Spouts
Your roof is one of the most important structural elements in your home and one that is going face the brunt of any inclement weather that passes through your area. If you feel comfortable on a ladder, climb up and quickly inspect the roof for damage or missing shingles. You’ll also want to clean the gutters and drain spouts, removing leaves and other gunk so that water can flow freely from your roof to the ground.
Drain Your Faucets, Hoses and Irrigation System
If you have exterior faucets and hoses you’ll need to flush out and drain any remaining water before storing them away for the winter. In-ground irrigation systems should have an anti-freezing treatment performed by a professional as freezing can cause a significant amount of damage to pipes and outlets.
Check Your Doors and Windows for Drafts
Leaky windows and doors can cause your heating bill to skyrocket, so spend a few minutes going around the house to inspect seals and frames to see if anything is leaking. Pay close attention to any single-pane windows as leaks can appear over time due to expansion caused by temperature fluctuations. It takes just a few cents worth of caulking to save many dollars in wasted heat.
Store Your A/C and Prep Your Furnace
Finally you’ll want to ensure that your air conditioning unit has been fully shut down and properly stored. If you have an in-ground unit, you’ll also need to cover it to protect it from rain, snow and wind. If you use a furnace to heat your home, be sure to clean or replace its air filter and consider firing the entire system up so you can check the ducts for leaks.
These home maintenance tips will help keep your home in peak condition and prevent damage that can reduce your resale value. If you’re thinking about selling your home, give your local real estate agent a call and they can assist you with getting the process started.
