Find a Home You’ll Fall in Love With- Inside and Out!

A lot of home owners have made the mistake of getting emotionally attached to a house only to later regret doing so because of the location. Do yourself a favor: Leave the emotions at home… the previous one. As president of the American Society of Home Inspectors, Stephen Gladstone says, “Many people converse themselves into falling in love with something before they have really looked at it.” Buying a new home for you and your family is one of most important investment decisions you will make in life. In most cases, particularly when changing locations completely, it means a fresh new start, which is why it is essential that you do your homework. Below are some key questions you can consider while making an allowance for family housing needs.

Q: Does the location of your home meet your basic/daily needs?

A: This part is crucial and specific to each individual’s needs. Do your research to find out the kind of shopping centers, restaurants, schools, parks or other recreational spots that are located nearby. If you enjoy quality fine dining or peaceful nature walks, then it would be ideal for you to search for areas that best fit that description. If you are intrigued by museum visits or are a passionate sports fanatic, then these are the locations that you preferably want to look for. It means more time spent doing what you love while getting the chance to share your experiences with people who possess those commonalities as you do.

It would also be wise to choose a location from which your commute to work is within a reasonable amount of time. Just give it a test drive during rush hours and you will, without difficulty be able to determine that factor.

Q: How does the general atmosphere feel?

A: Take a close look and let your eyes wander the area. It is advisable that you take a leisurely walk around the neighborhood and talk to the residents for yourself. This way, you will have a higher chance of receiving some real feedback from people who are in your shoes. Feeling comfortable and safe in your own neighborhood is a priority for most home owners. In a survey conducted by The National Association of Realtors, based on results from over eight thousand people throughout the country, the quality of the neighborhood and convenience to work were the top concerns when it came to choosing a place to live.

Q: Are you well-informed about the property and aware of any future developments?

A: The last thing you want is a tangle of power lines going through your backyard or a highway as your new best friend. For the most part, it all depends on what type of person you are. Either way, you should check with city officials to be well-versed of the plans in store for your potential neighborhood. Never choose a home in a hurry because it may seem like a good deal. Always check the property value and balance it out with your preferences and limitations.

It is also recommended to buy your home according to your future plans. Always reconsider all your options because once you move, the home is permanent. That loud neighbor will not be likely to disappear anytime soon either.

These are only just a few of the considerations you want to keep in mind before making a final decision. Uprooting yourself and your family and replanting yourselves in an unknown location requires serious thought and research. Be aware of your preferences, needs and ability to adapt to certain situations. Compare those to the location of your potential home and measure out the pros and the cons. As long as you keep your head on straight and think logically, not emotionally, you can make yourself at home in no time.

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Eleven Things NOT To Do When Applying For a Loan

Effective immediately, many lenders will be pulling new credit reports within three days of a proposed closing. This is to help assure the lenders that the borrowers have not taken out additional mortgage loans or have other new negative items that could affect their ability to repay the mortgage loan.

If you intend to refinance or purchase a new home within the next several months, you should become familiar with the information below.

1. Don’t Raise Any Red Flags With The Credit Bureaus. Examples include opening new accounts, cosigning for loans, or even changing demographic information such as name or address.

2. Don’t Apply For New Credit. Because inquiries can lower your score, simply applying for new credit, even from a “pre-approved offer” can lower your score.

3. Don’t Pay Off Collections or Charge-offs. Unless you can get the creditor to delete the negative mark, paying these off could hurt your score. The older they are, the less they affect your score now, so paying off an older account can really hurt. If they need to be paid, we may be able to pay them at closing.

4. Don’t Overcharge on Your Credit Card Accounts. This can not only hurt your scores, but adding additional debt could adversely affect your debt-to-income ratio and hurt your chances of closing the transaction.

5. Don’t “Consolidate and Close”. While it may seem like a good idea, consolidating credit card debt onto one or two cards and closing the others can be a very bad idea. Not only will you increase the “balance to limit” of each individual card, by closing accounts, you will lower your overall limits causing your credit scores to drop.

6. Don’t Close Accounts. By closing accounts that you have had for a while, you will also adversely affect the average length of time that your accounts have been open. This can decrease your credit score.

7. Don’t Pay Late! Just one 30-day late can affect a 780 score by 90 to 110 points according to FICO. If your score is 680, it can decrease it by 60 to 80 points; enough to disqualify you for the mortgage you applied for.

8. Don’t Allow Accounts To Become Past Due. While most creditors offer a grace period, it is possible that they could show an overdue balance on your credit report, even without being a full 30 days late. This past due balance could affect your scores by as much as 50 points.

9. Don’t Dispute Items on Your Credit Report once we have started the loan process. When you dispute an item on your credit report, it often show a “disputed by consumer” note in the comments section. Since the software that calculates the scores does not consider items in dispute, the underwriter may not consider the file until the dispute is resolved since the “true” score is not shown.

10. Don’t Forget To Stay In Contact With Your Lender and Real Estate Agent. If you have a question about how an action you are about to take will affect your credit report or scores, contact your lender immediately. It is best to check to see if it is a prudent move and not something that could jeopardize your credit rating and ultimately your loan.

11. Don’t quit your job!

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