Buying a Home: The Pre-Approval Process

According to the National Association of Realtors, close to 90% of all buyers require a loan when they purchase their home.  If you are a first time home buyer, you might be wondering how you go about getting a loan for more money than you have ever needed before!

There are many different kinds of loan packages available to buyers right now.  Talk to a lender to find out what is best for you.  Different programs will allow you to put as little as 3% down, compared to the 20% standard people have heard.  A loan officer should be able to help you find the best plan for your circumstances.  Your credit and your income will help decide what program is best for you.

Your goal in finding a lender is to find someone who is upfront and honest who can give you the best terms.  Right now, interest rates are still pretty low, but it is good to shop around.

So you know that you need to get pre-approved.  What does it mean?  I found this quote from an article from Realtor.com that summed it up well.

"Pre-approval" means you have met with a loan officer, your credit files have been reviewed and the loan officer believes you can readily qualify for a given loan amount with one or more specific mortgage programs. Based on this information, the lender will provide a pre approval letter, which shows your borrowing power. You can visit as many lenders as you like and get several pre-approvals, but keep in mind that each one carries with it a new credit check, which will show up on future credit reports.

Although not a final loan commitment, the pre approval letter can be shown to listing brokers when bidding on a home. It demonstrates your financial strength and shows that you have the ability to go through with a purchase. This information is important to owners since they do not want to accept an offer that is likely to fail because financing cannot be obtained.

That last point is important - this is not a final loan commitment.  There are unfortunately cases where people are pre-approved, make an offer on a house, and then can't obtain financing.  Pre-approval is a quick check, and a means of showing that you are qualified for a loan to the seller of the home that you are buying.
Typically, within a short period of time after making an offer, you will need to go and make formal loan application.  My contracts are always written with a five day window.  So having a pre-approval letter makes sense in two ways.  First, many listing agents are specifically asking for pre-approval letters with an offer.  Having your letter in hand is great for when you find that perfect house you want to write an offer on.  The other thing that helps is that you will already have had contact with a lender who has all of your information.  It is usually easy to finish the loan application process with that lender.

I hope this helps.  I work with a lot of first time buyers and I would be happy to help you wherever you are in the process!

Tips for Sellers: Maintain Your Deck for Years of Summer Fun

Summertime and the living is easy.  If you are anything like me, in the summer you like to spend time out on your deck, relaxing, using the grill, watching the wildlife in your backyard.

If you are selling your home, you want your deck to stand out.  Imagine what they buyers are thinking, can they picture relaxing on the deck, sipping on lemonade, enjoying summer breezes?  Do you have inviting It can be a major selling feature of any house.  However, if your deck is dirty, cluttered, and looks like it needs major repairs, buyers might shy away from your house.

If properly maintained, decks will return about 77 percent of their original cost, according to Remodeling magazine.  Your deck is a great investment!

The plan outlined in the article linked below details the steps to take for proper deck maintenance.  Basically, my thoughts are this.  If it is cluttered, organize it.  If it lacks color, get some plants or suncatchers.  If it is dirty, clean it!

I hope you find this article helpful, and if you are looking to sell your home, call me!  I would love to help!

   
Tips for Selling a Home: Maintain Your Deck for Years of Summer Fun - Cutler Real Estate - Cutler Real Estate News | Cutler Real Estate

Open Sunday - 829 S. Rockhill Avenue in Alliance!

Come see this house!  It is beautiful, the major work is done, and it is close to Mount Union University in Alliance Ohio.  Open House Sunday, June 28, from 1-2pm.  Sellers are motivated!  Bring us an offer!

Now is the Time to Buy!

The market is improving.  It is being proven again and again.  When the market improves it is often to the benefit of the seller.  In the past few years, we have seen what is commonly called a buyers market.  With many houses on the market buyers had a lot of bargaining power.  Sellers had to make sure their house stood out, frequently lowering the price to attract buyers in the competitive market.  Since they were also competing with many foreclosures and short sales, sellers were often getting less than what they hoped for when selling their home.

Now that inventory is lower, buyers are finding that there is less out there to choose from.  Buyers are finding themselves in multiple offer situations even when a house has been on the market for months already.  Homes are selling quickly, and at closer to asking prices.  Interest rates are predicted to go up, and if you have been thinking of buying, now is not the time to wait!

Please click the link below to read the full article, and get out there before the good ones are gone.


Buying a House? 3 Reasons to Do it Now!

Contact me today if I can help you with your home search.  I love my job, and I w