Tips To Buying and Selling in 2016

At the first sign of spring both home buyers and sellers get anxious.  This is the time of the year that many homeowners wait for to list their homes in search of something bigger and better.  The season brings a flux of new home buyers looking for their first homes, buyers looking to upgrade and sellers anxious to sell in order to move on to the next phase of life.  No matter where you are at or who you are in the equation one thing remains the same; spring is the perfect time to buy and sell real estate.

It is important to have the market on your side.  2016 is said to be a year filled with a new competition between buyers that hasn’t been seen in recent years due to the relatively low housing inventory, slow increase in interest rates and home prices.  People are ready to settle into a home at a reasonable price while taking advantage of the current lower interest rates.  Economists have long predicted that the interest market on home loans would start to see hikes as the economy recovers.  This article is filled with tips for both home buyers and home sellers so that they can understand what is important right now in the real estate market.

Top Buying Tips For 2016

• Don’t Delay: Many home buyers want to time their purchase to coincide with the spring or summer season. This is problematic because this is a theory many buyers use which leads to a high demand for homes within these seasons, which drives up competition and therefore the price sellers can ask.  Start looking for a home immediately.
  The home buying process is not something that occurs overnight.  Rest assured that beginning your search today doesn’t mean you will be moving right away.  Meet with a local, professional real estate agent right away. They will access your wants and needs and be able to locate homes within a database that may interest you.  Start the process by driving by the locations.  Scope out the neighborhoods, schools and other areas of interest; if you happen to love the home look at it but again the time table is one in which you set.

• Work With A Mortgage Specialist: A mortgage broker is a specialist who will look at your current financial situation and seek to find a mortgage lender and home loan option that is most advantageous. A mortgage specialist will help to find you the best type of loan and rate for you while examining just how much you can truly afford to take on.  A pre-approval from a mortgage broker is also a huge bonus when it comes to having an offer accepted on a home.  Sellers are looking for buyers that are committed and ready to buy.

• Consider New Construction: 2016 has been deemed the year of that new construction begins to surge. The prediction is that the new construction market will grow sixteen percent this year alone.  If you choose to buy a new home there is often less competition and a larger selection of homes to choose from.  The con however is that new construction homes often start at a premium price tag.

Top Selling Tips For 2016

• List Now: The prime season to buy a home is historically April through June. Now is the time to get your home ready to sell and listed on the market.  A larger population of buyers is said to be seeking to buy homes during the spring and summer seasons.  Take advantage of this.  More buyers can often lead to bidding wars resulting in higher prices and quicker closings.

• Be Reasonable: Don’t try to oversell your home. This is an issue many real estate professionals face when listing a home for a seller whom deeply regards every cent of home improvement that has been put into a home.
  It will not matter that you put in all new landscaping when you moved in five years ago other than the home looks better and is up kept.  Some renovations will not offer a return on investment.  Listen to the professionals when pricing your home to sell.  Price your home to sell based on the market and comparable homes in the area.  This will ensure it sells quickly and effortlessly.

• Offer An Incentive: No matter what is being sold people love a deal. Offer an incentive to buyers. Be willing to negotiate in areas other than the homes price.  For instance, if you live on the water and are moving inland consider throwing in the boat.  If a buyer mentions that love your dinette set be willing to counter offer a higher priced offer but include the dinette set.  This is often a win-win situation for buyers and sellers.

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

Tips To Find Your Dream Home This Spring

Spring is a great time to buy a home.  With the spring home buying season about to fully get underway there are a few strategies to keep in mind to ensure you find the home of your dreams within your budget.

Professionals within the housing market industry are anticipating a busy home buying season for 2016. The inventory is here, the market itself is stable and there are concerns that the interest rates on home loans have seen their lowest days are on the rise.

If you hope to be successful in the present market it is important to have a strategic plan in place to approach finding the home of your dreams.  Be prepared and incorporate the tips below when buying a home this spring.

• Ditch The Computer

With over ninety percent of homeowner looking online for the home of their dreams it may benefit home buyers to look elsewhere.  Get outside; start canvassing areas in neighborhoods that meet your needs.  Work with a realtor to help narrow the window of area homes that meet all of your wants and needs within your budget.  Having a real estate agent that completely understands what you are looking for at the start of the busy spring season is a must.  They often have ties to homes going on the market, which you can preview before anyone else.  New homes hit the market quickly.  Get in, preview the space and make an offer before the seller is even prepared to list the home to ensure you the pick of the litter when it comes to homes hitting the market this spring. 

• Understand the Current Housing Market

Each housing market is a bit unique.  This is true of different neighborhoods, school districts, towns and more. The area in which you are looking is distinct and the housing market within will be exclusive to that space.  It is important that buyers understand the current housing markets of the areas that interest them and hire a real estate agent that fully embraces the concept.  The entire process can hinder on the uniqueness of the market in which you are looking.  Research and educate yourself before it’s too late. 

• Get Pre-Approved and Lock In Low Mortgage Rates

Mortgage rates have begun to fluctuate.  The economy of 2016 is different than that of years past.  We are seeing economic recovery, new construction and home remodeling increases and with that eventually come higher interest rates.  Mortgage specialists have indicated that they don’t expect these low mortgage rates to last into the summer buying season. 

Mortgage brokers have indicated that all signs pointing from the Federal Reserve are that interest rates will begin the spring buying season low and will increase slowly throughout the season and into the summer buying season.  The concerns about heightened home prices and increases in rent will continue to exceed the increase of earned wages; before it is too late lock in a low pre-approved mortgage rate.

• Construct a Dream Team

The spring home buying season can be competitive and fast paced.  With this in mind it is important that buyers have a team in place that allows them to make an offer on the perfect home at a moment’s notice.  Your dream team should consist of a professional real estate agent, a mortgage specialist with several lenders and loan options in place, a lawyer and home inspector.  With your pre-approval in hand you are ready to complete the mortgage process quickly once a property is found.  Eager sellers will often benefit from a quick sale and can compensate accordingly. 

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

Tips For Home Buyers During A Walk-Through

The home buying process is not always easy.  The troubles however seem to disappear when the walk-through is scheduled.  A walk through happens at the end of the buying process.  The mortgage has been secured, the home inspected and a contract agreed upon; now all that needs to happen is a final walk through and the actual closing.

A walk-through is done by the buyer of the home and the real estate agent representing the buyer.  It is a time to explore the home that is soon to be yours.  You will be looking to make sure that the home is in the condition stated within the agreed upon contract.

When Buyers Should Schedule a Final Walk-Through:  A walk through should be scheduled within the last twenty four hours before closing on the home.  You want to wait until the last possible moment to do a final walk through to ensure that the home is left in the agreed upon condition. 

If there is any damage, natural or seller induced, not addressed before closing they become your responsibility.  This is true even if the damage has happened before you technically own the home.  If the damage is not dealt with before you sign on the dotted line it becomes your issue to deal with.   

If there were any repairs that were contracted to be made before closing you may want to schedule two walk-through appointments.  This will allow you to look at the repairs that were done and make sure they were done to your specifications.  If something is incorrect with the repairs or the contract isn’t fulfilled as stated it gives the buyer and seller time to resolve the issues. 

What Can Home Buyers Expect During the Walk-Through Process:   Often buyers are disappointed at first upon the final walk-through.  Most contracts don’t state that the home must be left pristine.  Most of the time the home is clear of the previous owners mess but not necessarily cleaned to the buyers “deep-clean” specifications. 

Regardless of how surface clean the home is here are the things that you should really be examining during the walk-though:

• Check on all the agreed upon items within the contract that needed to be fixed or left behind for the new buyer. If the swing set, appliances or such are missing and they have been written into the contract that is an issue that needs to be addressed in writing before the home is closed on.
• Test appliances throughout the home and make sure they are in working order. This also means that you should test the central heating and air conditioning systems to ensure that everything is in working order.
• Test outlets throughout the home with an inexpensive electrical tester to test for power. Check all flagged items within the home inspection and contract.

If A Problem Is Found What Should Home Buyers Do: If an issue is found and it is outside the normal range of expense excepted when moving into a new home it is time to that you and the buyer’s agent contact the sellers agent to negotiate a proper solution to the problem.  If a solution can’t be found and the problem is extreme you can stop the closing process.  Consider the cost of delaying the closing as well as legal fees to determine if the issue is worth pursuing or if you as the buyer can resolve the issue on their own.

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

Buying a Home In 2016

This is the year you are going to buy a home.  The excuses are all null and void as we enter 2016.  Now is the time to seek out an experienced, local professional to help you find the home of your dreams.  Below you will find four compelling reasons to stop procrastinating.  It is time to take the plunge.  2016 is the year for first time home buyers, home buyers looking to expand and retirees looking to consolidate because the conditions for both home buyers and home sellers are ideal.

Lower Than “Normal” Mortgage Rates

Mortgage rates have been continuing to teeter at all time lows for quite some time now; they are likely to start inching up.  It is important to remember however that even if rates do begin to rise they are still at an all time low over the rates that our parents experienced when buying their first homes in the early eighties.  Mortgage rates on average have been at or around four percent throughout 2015 where as our parents were experiencing mortgage rates in the high teens in late 1981.

Consistent Home Prices

Home values have been rising steadily over the past few years.  This pace is said to start slowing a bit in 2016.  Rates, according to Svenja Gudell, Zillow’s Chief Economist are expected to rise around three point five percent over the course of 2016.  Buyers who were hoping to time the market will not see the low prices and foreclosures of the far past but will see prices stay consistent.  With consistent home prices and the job market and wages on the rise the market is perfect for first time home buyers to jump in!

More Homes Listed on the Market

Sellers are also excited to hit the market as the equity in their homes will start to slow.  This will cause more homeowners to list their homes as they will be anxious to see the return on their investment and are ready to upgrade.  The market is perfect for buyers looking to take the equity in their current homes and reinvest it into a larger home or perhaps a home with more recreational appeal. 

With a boost in starter homes hitting the market bidding wars will be almost nonexistent, home prices will be fair throughout the market and the process of finding and buying a home could be simpler than ever. 

Rent Payments Are Expected To Continue To Climb

The cost of renting a home or apartment is expected to continue to rise.  This means that for many people buying a home could in fact be less expensive than renting.  Mortgage rates are currently a bit above four percent.  In order to make renting a better deal than buying the mortgage rates would have to rise to over six and a half percent.  Economists agree that this is unlikely given the rates we have been experiencing.  A slight increase in mortgage rates is to be seen but is not expected to grow to past five percent; thus allowing the purchase of a home buying a home to be more affordable than renting. 

Now get up off the couch and reach out to a local realtor.  2016 is the year that you begin investing in the real estate market.  Take advantage of all of the wonderful benefits of being a homeowner. 

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

Secrets To Buying A Home In The New Year Continued

Bigger isn’t necessarily better:  We are naturally drawn in to the ideal that bigger is better.  The same is not true when buying a home.  A bigger home can often mean a bigger mortgage payment, higher expenses and more maintenance.  Also, buying the biggest, best home on the block can set you apart from the neighbors. 

The appeal for the biggest home on the block is limited because it is different than the natural appeal of the neighborhood.  If the neighborhood is full of ranch homes with one car garages set within the one hundred and fifty thousand dollar range and you purchase the only home within the neighborhood with two stories and a two car garage for two hundred and fifty thousand dollars you have basically bought a house with little appreciation value overall.  Buying the worst home leaves a lot of room for appreciation upwards towards the highest valued home in the area.

Consider More than just the Mortgage Payment: The mortgage payment is not the only payment you need to concern yourself with.  It is just one of the many expenses that you will accrue when owning a home.  Consider the costs that come with owning a home before saying yes.  Look at the utilities as well as the hidden fees that are often unspoken like grinder fees and water fees.  Uncovering these sleeper costs will ensure that you are covered and can truly afford the costs that are associated with buying the new home.

Avoid Being Over Emotional:  Never buy a home based on emotions.  When you fall in love with a home you often make irrational choices that lead to bad financial decisions.  Trust your instincts.  Go for the overall value of a great house verse the obsession of a certain aspect of another.  As with any investment it is best to relax, breathe and think before reacting.

Have an Inspection Done: Never buy a home without having it inspected by a professional home inspection company.  It will save you thousands of dollars in the long run.  Being prepared for what is wrong with the home will allow you to negotiate prior to closing.  This ensures that you are at an advantage during the bidding process.  An inspection will prevent you from overbidding.  Paying too much for a home that has hidden work that needs to be done to keep the space in working order is a sure way your home will not build the equity you hope for.

Get to know the Neighborhood: Truly stalk out any neighborhood you are looking into before putting an offer in on a home.  Get a copy of the HOA rules and regulations, do a dry run to work at the times you will be going and coming and observe the behavior of the people within the subdivision.   Research the schools in the area as well, even if you do not have children.  A solid school district can increase the price a buyer is willing to pay for a home by up to twenty percent. 

The number one secret in buying a home is using a qualified real estate agent who knows the local area and understands your needs as a buyer.  This will help determine if you get the home buying experience you have always dreamed of.

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

Secrets To Buying A Home In The New Year

Keep All Money Right where it is: When you are looking into buying a new home it is crucial that you keep all of your funds right where they are.  For three to six months prior to buying a home avoid taking on any new credit card debt, making a large purchase or taking money out of your savings account.  Your credit report is what mortgage brokers rely on to help lenders determines your credit risk and therefore the interest rate on your new home loan.  It is crucial, in order to get the best mortgage rate, that lenders can visually see where your money is and what it has been spent on.   Now is the time to stick money away and not the time to start purchasing items for the new home.  Spending habits in the months before applying for a mortgage can either help or hurt your ability to receive reasonable mortgage rate.

Get Pre-Approved for a Mortgage: Two terms: pre-qualified and pre-approved are often used when consumers are looking to purchase a new home.   Pre-approval says that a lender has looked at you, your financial criteria and has agreed that you can afford a home and will give you a figure of exactly how much you can afford and how much they will lend to you. 

Being pre-approved allows your realtor to narrow the focus down to homes that you are pre-approved for.  Knowing what you can afford significantly increases or decreases the market of homes for you to look into.  With pre-approved loans be sure you are getting the best mortgage available.  Look into hidden expenses and fees for processing; make sure you are not paying for extras in a home loan that are not necessary for your situation.

Survey Property for Boundaries:  When you find a home that you believe is the one the first step is to determine exactly what you are purchasing and for how much.  Do not rely on the property lines specified by the seller as these may be fictitious boundaries that have been observed over time which may not be entirely accurate.  Knowing ahead of time what you are purchasing helps to prevent issues further on down the road with neighboring homes.  It is also important to note that the property taxes that will be assessed are based on the property lines.  This new survey will allow you to have an accurate map drawn up that can be submitted to local property tax assessors.

Timing the Market is Unlikely:  It is unlikely that at any time, even with detailed research and experience in the market that you will be able to time the real estate market.  Don’t obsess trying to time the market; buy a home when you are in the position to and sell based on when it is right for you.  You will only find your perfect home when you can afford it because affording it is what makes it perfect.  The real estate market fluctuates all the time.  In one given year you will see highs, lows and then highs again.  If you wait to try to time the market perfectly it is most likely you will time yourself right out of buying a new home or selling your old one.

In our next installment exploring the secrets of buying a home we will look into why a bigger home isn’t necessarily better, looking into hidden costs outside those of the mortgage payment, the emotions of a buyer, home inspections and the purchase bidding process of a home.  

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

Home Improvements That Fall Short In Selling Homes

In this installment on home improvements we will look deeper into improvements that homeowners make that add no value to their home. If a homeowner is thinking of selling in the next two to five years they should relay evaluate the reasoning for the following home improvements as they do not add any value to the equity of the home.

Homeowners want to believe by installing an in-ground pool they are increasing the value of their property. An in-ground pool is a pricy endeavor. You have to pay for the pool to be created, a safety fence installed and the maintenance to upkeep the pool throughout the season. Not to mention opening and closing the pool each year. Stay away from installing a pool if you can avoid it. A pool limits the marketability of your home. Think about it, most people with young children are fearful of pools for the fact that drowning is a top accident among young children. Seniors are really interested in the upkeep of a pool leaving your home to be marketed to families with pre-teens and teens. The money you put into the pool will never be recouped in the sale of your home. This improvement will always be at a loss to the homeowner.

Homes without a garage or a small garage your home is at a disadvantage when it comes to its sale. If you live in a condo or retirement home you can sometimes get away without a garage but a home in a neighborhood without at least a two car garage your home is far less appealing to sellers than one with a garage.

If the floor plan in your home has little rhyme or reason, it will be more difficult to sell your home. Large, open floor plans have an appeal to buyers. Home with small bathrooms and bedrooms along with a floor plan that requires you to access bedrooms or bathrooms through another room really detract most buyers. The flow of the home should be one that makes sense. The kitchen should connect to the dining room and if possible a laundry room should be off of this area as well. Living rooms should share a space with dens and studies. Bedrooms should have access to bathrooms and avoid being in the space near the living room, kitchen area or dining room.

Another major eye sore are homes that are overly personalized. Buyers are looking to see themselves and their belongings in the space. All realtors will ask sellers to remove the personal touches within their homes to increase the marketability of the home. If you love bright colors by all means paint and enjoy bright décor knowing that when it comes time to sell you will be investing in neutral paint and décor to stage your home.

Maintenance is another turn off to home buyers. It is important that your home is well maintained. The last thing that is appealing to home buyers is requiring a lot of work to be done before the home is livable. Keep up on your home. Fix light fixtures, maintain cleanliness and do general upkeep as needed. Keep your home fresh, updated and clean when you list it. A home that looks to be taken care of is far more attractive to buyers than a home that requires a tin of work just to move in. Plus it gives buyers the impression that they will run into issues as they go because of poor upkeep and a lack of maintenance.

All home improvements that are done to your home should be thoroughly considered before they are done. If you love color, by all means paint but do so knowing that is money that is wasted as you will need to repaint to attract most buyers and to get top dollar for your home. If you can't live without a pool, install one. Be prepared however when going to market the home for sale that it is not necessarily a feature that home buyers will be thrilled about. They are purchasing a home that requires early maintenance throughout the summer. This is not appealing to all home buyers and could possibly be seen as a burden. This would decrease the appeal and therefore some buyers would actually offer a price far less than asking as they will either want to fill in the area of need to plan for the extra expense of maintenance.

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

Home Improvements That Sell Homes

There are always a ton of must haves and wants on the list of home buyers.  For real estate agents the tricky part is finding what a buyer wants within their allotted budget.  It is important for both sellers and buyers to recognize what is important in regards to home improvements in the market.  Sellers want to make their homes as appealing as possible to the needs of buyers in order to move their homes from the market quickly.  In the next two installments on home improvements we will discuss the home improvements that bring homeowners a return on investment and those that fall short.

One home improvement that is always a hit with buyers and sellers is a well equipped master suite.   It is important that at the end of the day we come home to an environment that is equipped just for us.  Nothing does this better then a master suite that offers everything one needs for solitude and relaxation.  The most wanted features in the master suite include a luxurious spa tub, walk in shower, lounging area and a full walk in closet.

The use of natural materials in home improvement is also a draw for new homebuyers.  People enjoy natural materials used in ceramic tile, hardwood flooring and granite countertops.  For flooring it is best to forgo using linoleum and look towards ceramic tiles.  If instead of hardwood you choose carpet flooring it is best to choose a carpet that is neutral and of the highest quality.  It is best to combine natural flooring with carpet to avoid the wall to wall feeling of fabric.  Natural materials in the kitchen, bath and flooring tend to be huge requests when buyers are looking for a home.

Landscape, exterior care and the aesthetics of the area all make curb appeal another top priority for new home purchasers.  Local realtors stress to sellers that the exterior must appeal to the eye to attract a buyer.  If the outside is un-kept buyers are likely to suspect the same level of care on the interior of the home. No matter what season you are looking to sell your home in it is wise to invest in the exterior appeal.  Make sure that the siding is kept clean and free of imperfections.  Take time to spruce of the homes landscaping.  In the fall trim bushes and clear leaves, in the winter clear sidewalks and keep patios clear and in the spring and summer keep the lawn in the best shape possible enhancing the green of the grass and adding mulch to improve the coloring of landscape plants.

Another improvement that is a huge hit amongst home buyers is the addition of new, top quality windows.  It is amazing how much this improvement can boost the price you can ask for your home.  Windows are expensive but it is one of the most likely home improvements to bring homeowners a high return on investment. 

In our next installment on home improvements we will discuss the home improvements that bring homeowners that don’t offer a return on investment and should be avoided on homes that are about to be placed on the market for sale.   The improvements we will discuss are those that should only be done to improve the quality of life for the current homeowner and should not be viewed as an increase to the homes overall value or mass appeal.

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

What You Need To Know Before Buying A Home Part Two

In our last installment we talked in depth about buying your first home.  With the excitement that surrounds this time in your life it is easy to overlook some of the most important areas surrounding home ownership.  Below are some questions you will want to ask yourself before committing to buying your first home.  The anticipation of owning a home can make even the most put together individual in a tail spin. 

What do you expect for your future?

Although the future is unpredictable you need to think about it.  Envision your future; how will buying your first home be affected or affect this future?  Examine the prospective properties with the following things in mind:

• Is there development coming to the area? New neighborhoods, shopping center and such can affect the traffic and value of the property.  Are these things you can live with?
• What are the home values of the surrounding area? Are they increasing or decreasing?
• Will the zoning laws affect your region?
• Does the school district have a solid reputation?  Can you see your children attending the neighboring schools?

Anything that may affect your future should be at least considered when buying a new home.  If your job is one in which you see a transfer in your future is it safe to say that you will be able to sell the home without taking a loss or is it wiser to wait.

Where should you look to find a mortgage?

You will find that there are a ton of options when it comes to financing your first home.  It is almost impossible to research all of the options available on your own.  One of the best places to start looking into mortgage options is with a mortgage broker.  An experienced real estate agent will often have a recommendation for you in regards to a broker to work with.   After working within the industry for any length of time, realtors have invaluable connections and insight with mortgage brokers, contractors, home inspectors and more.

Will you need to take on any new debts?

Before you take on a mortgage payment consider how much debt you have now and any new future debts.  Will you need to buy a new car soon? Are you planning on starting a family?  Do you think you will be adopting a four legged companion when you move into your new house?  Do you have a nest egg set aside to handle these expenses without adding to any current debt?  Your debt to income ratio is one aspect of determining the mortgage amount you qualify for.  Not considering future debt could allow you to be qualified for more than you can comfortably take on.  

Are the repairs needed in the home inspection?

No matter if you are buying your first home or last, a home inspection is a good idea.  In fact, in order for many mortgage companies to consider lending to you they will want to see a copy of the inspection.  After receiving a report from the inspectors do you need to re-figure your initial offer to take into account expensive repairs?  If the repairs to the home are non-negotiable will you have the funds to make the necessary repairs on the home while making the monthly mortgage payment?  If you will be struggling to make necessary repairs while keeping up with current bills you may want to reconsider purchasing this particular home. 

Buying your first home is an experience unlike any other.  To make sure you are truly ready for everything that comes with the process of owning a home it is a good idea to ask yourself some tough questions, like the ones above and in our last installment.  Then and only then will you be sure that this step is one you are ready to take on.

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

What You Need To Know Before Buying A Home Part One

Are you tired of living in your parent’s basement?  Perhaps the current neighbors sound like a herd of elephants are crashing through your ceiling?  Whatever your reason, buying a new home can be a bit overwhelming.  Below you will find some questions you will want to consider before making the leap into homeownership for the first time. 

Can you afford to buy a house right now?

Purchasing a home, especially for the first time requires a great deal of planning.  Without proper preparations you are willingly exposing yourself to unnecessary risks.  When buying a home you need to make sure that you are fully capable of affording all the aspects that come with it.  A good rule of thumb is to spend less than thirty percent of your monthly income on housing expenses. 

You will want to remember to calculate the private mortgage insurance (PMI) into this figure.  PMI is charged when your down payment is less than twenty percent.  Certain mortgage options, such as FHA financing allow you to purchase a home with only three and half percent down.  In this case PMI is necessary.  PMI is the insurance that the mortgage company takes on your mortgage to cover the risk associated with small down payments.  To avoid paying the extra expense of PMI you will want to have a down payment of twenty percent or more. 

Do you have time to shop for a house?

Buying a home takes time and patience.  You will not want to rush through the house-hunting process.  Take plenty of time to define what you want verse what you need in a home.  Work with a real estate agent that is familiar with the location you are hoping to buy.  Using a professional realtor can certainly help with the time strain that comes with looking for a new home. 

Experienced agents know the ins and outs of the business.  They have connections throughout the industry and a real understanding about the market.  More often than not, experience allows agents to show you only homes within your specifications, thus not wasting your time one options that are not feasible. 

In our next installment, we will look into more questions you need to ask yourself before buying your first home.  There are many aspects that are overlooked especially by first time home buyers.  Asking yourself these few questions can save you a lot of time, money and anguish.  Our next installment on buying your first home we will cover the future, mortgage options, debt and home inspections. 

Lady of the Lakes Real Estate is Livingston County's premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find out more at http://www.ladyofthelakes.com.

Tips In Buying Your First Home After Your Family Has Been Established

If you are a first time home buyer with a family there are chances you are a bit anxious to begin the process of finding a home to call your own.  Buying your first home when you are single and unattached is different than buying a home when you are married with a family to consider.  There are other people’s needs and desires to take into account and therefore more to think about.

One of the first things to bear in mind is the cost of a new home, not just the payment but the increase in expenses overall.  You will want to determine what you can afford; in order to do this you will want to get pre-approved for a mortgage loan.  The amount that you are pre-approved for is just an estimate of what a lender is willing to lend to you and not to be used as a bench mark on the amount you need to spend on your first home.  Use the amount as a guideline.  Be willing to look at homes under and slightly above your pre-approval amount.  This can be used as a solid negotiation tool if you find a home slightly above your price point in getting the seller to negotiate a lower asking price.

After you have been pre-approved it is time to look into finding a real estate agent to work with.  An experienced, full time agent will help you find a home that meets the needs of your family within your price point.  A realtor will have foresight and connections into homes that are currently on the market and also those that are soon to be coming available.  This can be helpful to you as a buyer with a family because they can put you ahead of other buyers in the chase to find a home within a certain location.  Location will be everything to you as a buyer with a family.  Whether it is a certain school district or distance to and from work you will be more specific on a location over first time home buyers without a family.

Another point to consider when buying a home with a family is that you must have the home inspected.  When you have a family your home needs to be virtually move-in ready.  Minor updates and aesthetic items can be overlooked but when it comes to major structural damage or repairs above and beyond normal maintenance you may want to consider moving on in your quest to find the perfect home.

Buying your first home with your family in tow may not be the easiest of all situations but will for certainly be worthwhile and rewarding.  Take time find a reputable real estate agent that will help you find a solid home well within your budget in a location that works well for your entire family.

Lady of the Lakes Real Estate is Livingston County’s premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area.  More information can be found at http://www.ladyofthelakes.com.

Priorities When Buying Your First Home

As first time home buyer it is important you follow the tips below in order to prepare to find and purchase a home you can afford. The purchase of a home is the biggest financial commitment most of us will ever make. In order to make a solid decision it is crucial that you have a detailed understanding of the market. This will help you to make an educated decision as well as help you save money and avoid any unnecessary frustrations.

The home buying process is one that can be enjoyable and relatively free of stress. Buying your first home is exiting and the process is thrilling. It is especially pleasant when you understand the real estate process and have an agent working with you that has a lot of experience with first time home buyers.

Before you can start looking or purchase a home you need to have an understanding of how much you can afford. The biggest mistake first time home buyers make is not taking into consideration the true cost of owning a home. The cost of owning a home doesn’t end with the mortgage payment. You need to consider the additional mortgage fees, taxes, insurance and utility fee increases to determine an actual amount of money that will be needed per month to own your new home. A new home buyer can quickly deplete their savings when not taking into consideration these extras.

Another priority for first time home buyers is to calculate the required down payment amount. Long gone are the days of no money down home loans. Mortgage lenders require ten to twenty percent of the purchase price down on a home. Without this you will end up paying a substantial fee monthly for mortgage insurance.

In order to get the best possible interest rate on your home loan you need to have a sufficient credit rating. If your credit rating is less than perfect take a year to clean it up and get your financial house in order before looking deeper into buying a home. To obtain the lowest mortgage interest rate your financial house must be in order. A high credit score, a decent down payment and an affordable home will ensure you don’t take on a payment that you can’t afford.

Most real estate agents will not show you house until you have been pre approved. Without pre approval most sellers won’t take the time to even consider your offer. A quick way to determine how much you can afford is multiply your total household income by three. For instance, if you make fifty thousand dollars a year your home should cost no more than one hundred and fifty thousand dollars. With a minimum down payment of ten percent you should consider having at least fifteen thousand dollars saved.

Being prepared as a first time home is key. With a bit of industry knowledge, help from an experienced real estate agent and a bit of luck you are only a few steps away from owning your first home.

Lady of the Lakes Real Estate is Livingston County’s premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area. Find us at http://www.ladyofthelakes.com.

Minimizing The Stress Involved In Selling Your Home

• Be aware of the three major causes of sellers stress:  Selling your home is never easy.  You are emotionally attached, not necessarily to the home itself but to the memories that took place in it.  To minimize stress it is best to work with an experienced seller’s agent.  A real estate agent that is used to working with homeowners looking to sell has experience in the process and understands the needs of the seller.  This all benefits you as the seller.  The three highest areas of stress when selling your home includes during the appraisal process, home inspections, showings and open houses.

• Be prepared to repair:  Instead of waiting until your home is days away from being listed for sale take time to repair the things in your home that are not suitable to buyers.  This process can take anywhere from six to nine months.  Preparing ahead of time allows you to hire a reputable handyman to come in and service the areas within the home that need to be fixed before your home goes on the market.  Waiting until the last minute only causes more stress and tension between you and the person making the repairs.  Compile a list of things that need to be done and within what time frame in order to minimize down time.  Make note of all of the recent updates for home buyers to access when looking into purchasing your home.

• Prepare to be fair:  Having your home appraised is one of the most difficult events in selling a home.  Not every repair that was done on the home will recoup its value in the asking price of your home.  Some repairs or upgrades done to the home will only be for you and will not cause an increase in the asking price.  Being prepared for the appraisal process will alleviate a great deal of stress for you as the seller.  The memories you made in the home are not valuable to anyone else.  The home is being valued on what it is in comparison to other homes available on the market with similar offerings.  That is it.  The process should not be taken personally as that will only add stress. 

• Prepare your home:   Preparing your home for sale is one of the most cleansing experiences and should be thought of as just that.  Take the stress out of preparing by organizing and eliminating unnecessary furniture, knick-knacks and clutter.  Create a routine that allows you to prepare your home for showings without really doing anything out of the ordinary new normal routine.  In the morning before you leave for the day take time to make beds, put dishes in the dishwasher and do one complete load of laundry.  Then you will be prepared in the evening when the realtor schedules a viewing or if someone wants to see your house during the day.  Minor preparations, spending ten to fifteen minutes in the morning and at night can keep you from being stress during unexpected showings.

• Keep all things in perspective:  Don’t worry if the house doesn’t smell like fresh baked goods or if pillows aren’t all fluffed perfectly.  Buyers that are really interested in buying your home are not going take those things into account as much as they will that the house looks well kept and is clutter free.  

Lady of the Lakes Real Estate is Livingston County’s premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area.  More information can be found at http://www.ladyofthelakes.com.

Stress Free Checklist When Buying A Home

• Determine what you can afford:  When you are looking for a home to buy one of the best rules of thumb is to consider a home that is only two to three times your annual household income.  This allows you to stay within a comfortable range with your house payment, insurance and household bills.  If your lifestyle is one in which you like to travel or spend a bit more money on other toys consider this as well.  Don’t strap yourself into a house payment that does not allow you to continue enjoying the activities you desire.

• Find a mortgage broker or lender to work with and get pre-approved: In order to really start looking for the home of your dreams you must find a mortgage broker or lender to work with.  They will help guide you through the entire process from cleaning up your credit, preapproval, mortgage terms and the final mortgage application process.

• Figure out what mortgage is right for you: How long is it practical for you to pay on a home loan.  There are different mortgage terms for different needs.  Some people choose a less expensive home because to them having a home paid off in fifteen years is ideal.  Others prefer a smaller payment so they spread theirs out thirty years.  Also consider a fixed or variable rate depending on how confident you are with mortgage interest rates.

• Consider a financial dry run:  Before you actually decide to purchase a home do financial dry runs.  Take what is equivalent to the amount of your new payment, insurance and utilities and sock it away in a savings account.  Be sure you can do this for at least six months without dipping into it to ensure you can swing the extra payments. 

• Decide must haves verse what would be nice to have:  You may not be able to find everything your dreams desire in one house.  Make a list of the items you can’t live without, the deal breakers verse this feature it would be nice to have. 

• Find a real estate agent and start house hunting: Finding a reputable, local real estate agent that specializes in the type of home you are looking for will help in your search to find the perfect home.  If you are looking for recreational living find a real estate agent that specializes in waterfront property, homes on golf courses or homes for sale near recreational adventures. 

• Put in an offer, review your contract, and sign the papers: The final step in stress free home buying is to put in an offer, have it accepted, review the contract, sign the papers and move in.  With the right real estate agent and mortgage broker or lender working with you the process of buying a new home should be as simple as the steps listed above. 

Lady of the Lakes Real Estate is Livingston County’s premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area.  More information can be found athttp://www.ladyofthelakes.com.

Get Your Home Sold With These Tips

Hire an Agent

This is the most crucial step in getting your home sold; hire an agent who is experienced in selling homes in your location.  Spend time researching agents that are licensed, experienced and motivated to sell your home.  This may take some time but it is time well spent.  Check around and talk with people who have recently sold their homes.  Check out the references of agents you are looking to work with. You will want to make sure that your initial feeling about the agent transfers to their ability to sell your home.

Research Similar Homes for Sale

Take time to look at homes that are similar to yours that have recently sold or are up for sale.  Look at the amenities that the home offers as well as the asking price.  The quickest and easiest way you can do this is by checking out homes online and in local publications.  This will help you come to an agreed upon asking price for your home.

Look at Your Home from the Buyers Perspective

Put yourself in potential buyer’s shoes.  Come up with a list of all of the positive features of your home and enhance them to their fullest.  You want the most affirming reaction possible for buyers when they enter your home.

Update Your Home’s Exterior

Curb appeal is something all agents stress to their clients.  It is a key element in getting your home sold quickly.  You want the first impression of your home to be one that evokes a feeling that puts the buyer in motion to be thinking about them living there.  Your landscape should be well manicured, maintained and thriving.  Treat the exterior of your home as an extension of the interior.

Remove Clutter

Your home may look lived in when you see it but to potential buyers it can look cluttered.  You want your home to be at its fullest potential.  Remove extra clutter and place it in storage.  Your home should be free of anything that is not needed to live comfortably.  Too much furniture makes a room look small so try to clear out larger pieces that take up an abundance of space.

Get the Little Jobs Done

Spend time taking care of the little things you have been putting off.  Cracked tiles are a simple fix and without it can deter some potential buyers.  The small things that need to be done around the house can really add up in a buyers mind.  Take those worries away, spend a day and with less than a hundred dollars get the little jobs done.

Repaint in Neutral Colors

Make your home desirable for the masses and this means painting all of the rooms the same neutral color.  Fresh, neutral colors allow buyers to visualize themselves in the space.  It also allows them to see their belongings filling the room.

Keep Your Home Clean

Your home needs to be clean thoroughly.  Never let a viewing occur without first tidying your home and taking the time to really de-clutter the space.  It is better to postpone a viewing opportunity a half hour over showing a home that is not clean.

Bake and Brew

During open houses start a pot of coffee and throw in a frozen pie.  The scents filling the home will make the home feeling cozy and warm.  Helping to increase the appeal of your home with smells of familiarity and warmth will only help to sell your home.

Lady of the Lakes Real Estate is Livingston County’s premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area.  More information can be found at http://www.ladyofthelakes.com.

Making The Right Decision To Buy A Home or Rent

There are many things that need to be taken into consideration when you are thinking about buying or renting a home.  Forget asking friends and family because they are biased in giving advice.  Even though renting may have been a good option for them it may not be for you.  It is crucial to consider where you are, what you want and the economy as it stands currently.  Below you will find some questions to ask yourself when coming to an end decision in the great debate between buying to renting a home. 

1)      Ask yourself how long you plan on being there? 

If you aren’t planning on staying in your home for more than a few years it may not be a good option to purchase a home.  Consider your job situation.  Are you planning on being promoted?  With the promotion will you be required to relocate to a new work location that will require you to move?  No one can predict a housing bubble. 

There are no guarantees that the value of your home will increase significantly in just a few years of ownership.  Often times the market can see a decline.  If you plan on living in your home for more than a few years you will be able to sit these ups and downs in the market out.  However if you will faced with a move in a few years you make end up selling at a loss.  Buying a home is a gamble if you aren’t looking to stay put for more than a few years. 

2)      What will be the total costs associated with owning the home? 

When buying a home take into consideration all of the costs associated with the process and compare them to the costs of renting.  You will also need to consider the possibility of market increase or decline within your equation to consider if you will lose money, break even or profit on the endeavor.  Consider the taxes, insurance, utilities, maintenance, mortgage payment, interest costs and anything other amount of money that will go into the home.  Average this amount out amongst the number of months you plan on living in the home you will get the monthly amount it will cost you to live in your home.  Then consider the following question. 

3)      What are the total costs associated with renting the home? 

To compare you need to take into the cost of your rent payment, insurance, utilities and other expenses associated with renting a home or an apartment.  Once this is added up through the same process that you applied above you will have a comparison on which to base your monthly outlay.  This financial difference will give you an understanding on where you will be further ahead with renting or buying. 

The difficult part will be knowing what the value of the home you are renting or buying will be at when you need to move.  Will it be astronomical to buy a home after renting for a few years? Will your home have doubled in price in a few years when you go to sell?  This element is based off of past averages so it is a rough estimate at best. 

4)      Are you ready for the responsibility that comes with home ownership? 

This is only something you can answer.  Owning a home is a big deal but then so is renting a home.  In both situations you need to upkeep the property, pay your bills and create a space that is your own.  To do this there will be some expense involved.  The main difference between owning and renting is this; when renting you are not building equity however someone else is paying for the major repairs while when buying you are more likely than not building equity and have the expense of repairs that come up.  

Only you and you alone know whether buying or renting is the right decision.  Most often buying a home is advantageous over renting especially if you plan on staying in the home for more than a few years.  

Lady of the Lakes Real Estate is Livingston County’s premiere realtor; out of Pinckney, Michigan helping buyers buy and sellers sell homes that provide a recreational lifestyle including golf courses, lakes and the Huron river chain of lakes, throughout Brighton, Howell, Pinckney and the surrounding area.  More information can be found at http://www.ladyofthelakes.com.