Category Archives: Quick Real Estate News

Achieving The American Dream

Achieving The American Dream

The American Dream. Having a loving family, attaining a stable job, and most importantly possessing your own home, even if it’s not in Santa Maria, California or somewhere near the Central Coast. All of these accomplishments can be challenging at times, especially taking the next step of¬† having your own home. With financial planning and legalities, it all starts with a bit of knowledge of the industry and some research.

Purchasing a Home in the United States

The United States Real Estate market is tremendous, especially the Santa Maria Real Estate area since it is continuing to grow. One thing to keep in mind is that each state has their own unique set of policies, set of laws, and not to mention taxes. So don’t be surprised when you notice different tax rates in various cities and states. Also Keep in mind that their are many incentives for individuals such as veterans who have served our country. Veterans qualify for loans known as VA Loans and many lenders out there offer these kinds of incentives that better help them achieve the home of their dreams.

Property Taxes

As mentioned above, taxes vary by state. So when you are asking yourself how much house can I afford, do not forget to include property taxes as the tend to add up. They are used to fund public projects such as schools, parks, and things such as law enforcement. Knowing ahead of time what kind of taxes you will be paying will give you a better picture of the cost of living in your new home, especially if you are planning on moving out of state; do some research.

Educate Yourself On the Real Estate Market

One should also know what exactly drives house prices in the market, especially in the Central Coast Real Estate area because it has gained popularity in past years. Instability in house prices vary from state to state and from region to region. For example, a home in the Arroyo Grande, California will not have the same price as a beach from property in the Pismo Beach, California area even though their proximity is not to far apart. Same applies to locations such as Los Angeles, California and New York (especially within the city). We at Greater Mortgage Solutions and Valley Hills Realty want to teach you about the macro and micro trends that influence the real estate market. That way you can make a better decision when making a mortgage deal that is being offered to you.

So when you, a family member, or a close friend of yours is ready to achieve The American Dream, consider allowing one of our team of experts at Greater Mortgage Solutions and Valley Hills Realty help you attain the precise mortgage and the home you have always wanted. We are filled with team members that are ready to help you every step of the way.

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5 Common Mistakes That New Homeowners Make

Are you getting ready to purchase your first home? This can be exciting but grueling and challenging at time. Not to mention the fear that comes along with it. Renting a place is much different, you have less responsibility and worries but when you purchase a home, many things come into factor. For most people it may seem easy, they find a house that they love at a reasonable price but it is not that simple. Many of those people make common mistakes that hurt them in the long run. This article provides you with some of the common tips that most first time home buyers make when purchasing a home.

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1. Not Knowing What You Can Afford

One of the first things that you need to know is how much can you afford. If you are a first time home buyer in your early 30’s, maybe save your money for future investing because this is your first home but it will certainly not be your last. We suggest that you keep track of your monthly expenses and plan for any upcoming expenditures that may arise such as homeowners insurance, realtor fees, and loan payments. Keeping track of your current expenses is the key to figuring out how much you can afford.

2. Skipping Mortgage Qualification

Another big mistake that first time home buyers tend to make is to skip their mortgage qualification. Make sure to get pre-approved for a loan before placing an offer on the house of your dreams. This is especially true if you have little to no credit or an unstable income.

3. Not Considering  Further Expenses

Upon being a homeowner, you will encounter expenses on top of your monthly mortgage payments. Unlike renting, you’ll be now responsible for paying property taxes, home insurance and making any repairs the house needs.

4. Neglecting to Inspect

Before going into Escrow and close on the sale, you have to know what kind of shape the house is in. Just like buying a used car, you must give it a thorough inspection in order to know the car is fully functioning. This will allow you to avoid unexpected repairs that cause headaches to say the least.

5. Not Choosing to Hire an Agent or Using the Seller’s Agent

Walking into an open house without a qualifies real estate agent is one of the worst mistakes on can make. Real Estate Agents are held responsible to act on both the seller’ and buyers’ best interest so we suggest that you contract an agent of your own so that you two build a mutual relationship that is long lasting.

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Once you’re seriously shopping for a home, don’t walk into an open house without having an agent (or at least being prepared to throw out a name of someone you’re supposedly working with). Agents are held to the ethical rule that they must act in both the seller and the buyer parties’ best interests, but you can see how that might not work in your best interest if you start dealing with a seller’s agent before contacting one of your own.

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What You Need To Know About Home Appraisals

1) Examination of the Property

The physical examination of a property is performed by an appraiser. These types of visits are usually brief if the house is in good condition. Other factors that contribute to the lengthiness of the appraisal are the Gross Living Area (GLA) and the design of the home. A home with a large living area will take longer than those examinations for smaller homes. Also homes that are designed a bit more complex will lead to longer examinations. A typical home appraisal takes about 30 minutes to complete and are required by the lender who is completing the loan.

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2) Selecting Comparables

This part of an appraisal is when the appraiser chooses a nearby house that closely resembles your home and has closed within the last 6 months. Most appraisals require at least 3 closed comparables, 2 of which have closed within 6 months and another that has closed within 12. No comparables will be taken into consideration if it has closed 12 or more months prior to the appraisal. Some lenders are now requiring comparables that are pending or still active to be included. The comparable is usually within a 1 mile radius of the location of your home but the proximity of the comparable differs between suburban and rural neighborhoods. Suburban homes tend to require a comparable that is no more than 1 mile away while homes located in a rural type of neighborhood can be as far apart as 5 miles. The appraiser will choose the most appropriate one and include it in the Appraisal Report.

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3) Completing the Appraisal Report

After the examination of the property and choosing the best comparable sales available, the appraiser can now begin to compile the Appraisal Report. The appraiser evaluates all information that is entered into the report so that they can determine an accurate Market Value of your home. This report is usually handed back to the client after seven to ten business days of the appraisal.

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These three main categories are what complete an appraisal report when trying to sell your home. Though they may vary somewhat throughout real estate, this is typically how an appraisal is performed. Next time you are looking to sell your home keep these topics in mind so that you are aware of what the appraiser is looking for.

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The Benefits of Renovating Your Home

Having thoughts on whether or not to remodel your home? Well it is time to put those thoughts into action. Home renovation can have many benefits, both financially and aesthetically. Here are 3 innovation ideas that will certainly add value to your home.

1. Increasing the space

Expanding the space within a home will make the house seem bigger, allowing you to do your things more freely. Giving your home some breathing room will provide you the benefit of having guests over in a comfortable manner.

2. Comfort

As mentioned above, comfort is one of the many benefits of renovating your home. It can make your house seem safer and increase the likeliness of a buyer to commit.

3. Energy Efficiency

Going green is the new trend going on in the real estate industry. More home buyers are searching for houses that are energy friendly. Start thinking about energy and environmental pleasant renovations that will certainly attract more buyers and save you money on monthly bills.

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The Benefits Of Owning A Home

How does owning a home save you money? There are tax benefits, financial firmness, and in the long run owning a home is less expensive than renting a house. So if you are on the fence on whether or not to purchase your new home, take into consideration these 4 benefits of owning your own home.

1. Owning a Home Builds Wealth in the Long-run

Buying home that you can afford now can drastically increase your wealth in the future. It is something that we have been taught by family members in the past but do to the uncertainty of today’s market, many people have moved away from home ownership.

2. Build Equity Every Month

By owning a home, you will be making mortgage payments every month. By making those mortgage payments you are essentially reducing the amount that you owe on your home every month. It is that reduction of your mortgage that increases your equity.

3. A Mortgage Is Like a Obligatory Savings Plan

Paying off that mortgage payment every month and reducing the amount that you owe is like a forced savings plan because each month you are building up more valuable equity in your home

4. In The Long Term, Buying Is Cheaper than Renting

The first few years renting can seem cheaper, or more affordable when compared to buying a new home, but over the years as the interest portion of your mortgage decreases it will be lower than what your actual rent payment is now. So instead of throwing away all of your money every month by giving it to your landlord, invest it in your own home so that you build equity for the future.

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