Mark Galante's Blog
Are you an experienced homebuyer? If so, you may be better equipped than others to enjoy a quick, worry-free homebuying experience.
Ultimately, a veteran homebuyer can learn a lot from his or her past experiences, including:
1. How to Avoid Paying Too Much for a House
The housing market offers many opportunities for veteran and first-time homebuyers alike. However, a first-time homebuyer may struggle to pounce at an opportunity to acquire a top-notch house at a budget-friendly price. On the other hand, an experienced homebuyer likely knows what it takes to acquire a house at a price that matches or surpasses his or her expectations.
As an experienced homebuyer, it generally helps to think about how you narrowed your price range when you most recently searched for a home. This experience may guide you as you look to establish a price range for an upcoming house search.
Furthermore, a veteran homebuyer may know exactly what types of housing market data to examine before entering the real estate market. By evaluating the prices of recently sold houses and available residences in cities and towns where you'd like to live, you can use assorted real estate market data to accelerate your home search.
2. How to Get Home Financing
If you struggled to get a mortgage for your first home, there is no need to deal with home financing problems once again. Instead, a veteran homebuyer can allocate the necessary time and resources to get pre-approved for a mortgage and enter the housing market with a budget in hand.
To receive pre-approval for a mortgage, it usually is a good idea to meet with various banks and credit unions. These financial institutions can educate you about myriad mortgage options and help you select the ideal mortgage based on your homebuying needs.
3. How to Differentiate a Buyer's Market from a Seller's Market
Regardless of whether you previously bought a house in a buyer's or seller's market, you can use your past homebuying experience to help you assess the current state of the housing sector. Then, you can map out your homebuying journey accordingly.
If you notice houses are selling quickly at prices above their initial asking figures, you may be preparing to enter a seller's market. In this scenario, you may need to act quickly to acquire a great house.
Comparatively, if you find that homes are lingering on the housing market for many weeks or months, a buyer's market may be in place. In a buyer's market, you may be able to purchase a stellar house at a discounted price due to the sheer volume of houses that are available.
Before you launch a home search, it is important to note that even a veteran homebuyer may need help at times. If you hire a real estate agent, you can receive expert support throughout the homebuying journey. In fact, this housing market professional will make it easy for you to discover a superb house in no time at all.
Buying a home will likely be the most important and expensive purchase you ever make. And, although that might seem like a scary commitment, it’s one well worth it. It’s an investment in your future. There are many benefits or perks that come with owning a home.
Equity: Owning your own home typically comes with gaining equity. Every month that you pay your mortgage, you are increasing your equity. And as long as the market continue upwards, your home and the equity you’ve gained will hold significant value.
Privacy: Privacy is a large perk of owning your own home. This is more so possible when owning a single-family home in a rural location, but many duplexes and condos also provide opportunities for privacy. And in many cases, since you own the home,you can put up your own privacy such as planting arborvitae trees along your properties edge.
Tax Advantages: One of the biggest perks when owning a home is the ability to deduct mortgage interest on your federal income taxes. This will be a significant amount for the first few years of your mortgage, making this a huge benefit. Although, the amount of interest paid decreases over the years, there will still be deductible interest paid in the last few years of your mortgage.
Space: Houses will almost always provide you with more space than an apartment—and it will certainly have more space than your childhood bedroom. The space will be all yours, which means not having to share with other renters or your parents. Of course, home location and the market come into play here, but for the most part you will get more square footage for your money—as landlords charge high rents to cover things like water, electricity, snow removal, or still charge high rent prices and do not cover any of those other expenses.
No restrictions: There are many restrictions that come with renting or living in a condominium. These restrictions could include no pets, parking restrictions, outdoor updating restrictions and many other different types of constraints. When you own your own home, you make the rules. If you want to put up a fence, you can. And if you want to put an addition on your house, you can do that too. Just be sure to check with your town before beginning any construction projects.
Establishment: Buying a home provides you the ability to set down roots, to be established. Although, not a benefit to some, it is to many. Buying a home provides you with ownership and a sense of freedom. You now have the opportunity to invest in something that is yours. You can make updates to the bathrooms, add a pool in the backyard, and paint the front door any color you want—because it’s yours.
A home is often the foundation of one’s life and who can deny its appeal with these perks discussed above? So, what are you waiting for? Start your search today!
Buying a new home is a joyous occasion, one that should be celebrated by family members and friends. However, telling people about a new home purchase sometimes can be tough, particularly for those who may be leaving roommates or others behind.
Lucky for you, we're here to help you alleviate the stress and worry commonly associated with telling family members or friends about a new home purchase.
Here are three tips to ensure you can remain calm, cool and confident as you inform your loved ones about your decision to buy a new home.
1. Prepare As Much As You Can
Purchasing a house is a life-changing decision, and as such, your loved ones may have concerns. Therefore, you should plan ahead for any questions that you could face about your new house.
Why did you decide to buy a home in a particular city or town? How much did you pay for a house? And what does your home purchase mean for your loved ones? These are just some of the questions that you should prepare to face when you share the news about your new home purchase with loved ones.
Also, it is important to realize that you and your loved ones won't always see eye to eye. And if a family member or friend disagrees with your home purchase, accept his or her opinion and move forward.
2. Take a Proactive Approach
When it comes to informing others about your home purchase, it is always better to err on the side of caution. Thus, taking a proactive approach will ensure you can directly inform the most important people in your life about your home purchase.
Communication is key between family members and friends. With a proactive approach, you can inform your loved ones about your homebuying decision and minimize the risk that they will hear the news from a third-party.
Don't leave anything to chance as you determine who to tell about your home purchase. If you believe there is a risk that a loved one will be left in the dark about your new home, be sure to reach out to this individual directly.
3. Understand the Emotions Involved with a New Home Purchase
A new home purchase represents a new opportunity for you and your family. If some family members and friends feel left out of your upcoming move, many emotions may bubble to the surface.
Keep the lines of communication open with family members and friends – you'll be glad you did. That way, loved ones can share their thoughts and feelings about your new home purchase and understand you will allocate the time needed to hear them out.
If you need extra help as you get ready to tell loved ones about a new home purchase, don't be afraid to ask your real estate agent for assistance, either. This real estate professional understands the intricacies of purchasing a home and can provide expert guidance throughout the homebuying journey.
If you plan to pursue a home in the near future, there is no need to wait to get a mortgage. Because if you enter the housing market with a mortgage in hand, you'll know exactly how much you can spend to acquire your dream house. As a result, you'll be able to map out your home search based on your property buying budget.
There are many things you can do to ensure you can get a great mortgage prior to launching a house search. These include:
1. Learn About Your Mortgage Options
Banks and credit unions offers a wide range of mortgage options. If you meet with these financial institutions, you can learn about all of the mortgage options at your disposal.
As you assess your mortgage options, it is crucial to weigh the pros and cons of each option. That way, you can make an informed decision about a mortgage and decide which option will serve you well in the years to come.
2. Ask Mortgage Questions
If you are uncertain about what differentiates one mortgage option from another, it is important to remember you are not alone. Fortunately, you can ask mortgage questions to home financing professionals to determine which mortgage option is right for you.
Banks and credit unions employ friendly, knowledgeable home financing specialists who are ready to respond to your mortgage queries. Thus, if you discuss your mortgage concerns with home financing specialists, you can get the guidance you need to choose the best mortgage based on your individual needs.
3. Improve Your Credit Score
Your credit score may have far-flung effects on your ability to get pre-approved for a mortgage. However, if you analyze your credit score, you can determine if you need to take steps to improve this score before you apply for a mortgage.
You are entitled to a free copy of your credit report annually from each of the three credit reporting agencies (Equifax, Experian and TransUnion). Take advantage of this complimentary perk, and you can analyze your credit score at your convenience.
If you have outstanding debt on your credit report, you may want to pay this off as soon as possible. Remember, the sooner you pay off outstanding debt, the sooner you can bolster your credit score.
In addition, if you identify any errors on your credit report, notify the agency that provided the report immediately. This will allow you to correct any credit report mistakes before you submit a mortgage application.
As you get set to apply for a mortgage and conduct a home search, you may want to hire a real estate agent too. A real estate agent can provide expert guidance as you pursue your dream residence. He or she will help you find a house that matches your budget, attend home showings and much more.
Ready to launch a comprehensive home search? Get pre-approved for a mortgage, and you can take the first step to establish a budget for the homebuying journey.
The decision to buy a home can bring all sorts of emotions. From stress to joy to fear, you need to be prepared for any situation to arise. From saving up enough money for a down payment to securing financing to hoping for a smooth closing, buying a home is a complex event. Just about the worst thing that can happen in the process is finding the home of your dreams and then having your offer rejected. If you do lose out on the house to another bidder, below, you’ll find a few reasons why.
The Home Is Above Your Means
If you go after a home that’s above a price that you can afford, it’s likely that your offer will be declined. Look at all of your numbers and find a reasonable price point with your real estate agent. Be sure that your agent won’t show you homes that are far above your budget. Don’t risk falling in love with a house that you can’t afford. If you start big, you may be disappointed at the type of home you actually can fit in with your budget.
A Better Offer Came In
In high competition markets or for a home that’s receiving a lot of attention, sellers may get multiple offers. All that attention is why it’s always best to keep your offer as close to the asking price as possible. Don’t assume that other buyers will bid low. Remember that sellers want to get the most return on their home, which means they are going to take the highest offer in most cases.
You also don’t want to get too carried away in asking for contingencies. If you ask too much of a seller’s, they won’t bother giving your offer serious consideration when other buyers have asked them to put less time and money into the home. Don’t ask for unnecessary repairs or over the top back costs.
You’re Not Approved For A Mortgage
The seller wants you to have a home loan pre-approved so that the process of selling their home will be that much smoother. Some seller may only consider bids by buyers who have been pre-approved for a loan. You should definitely be pre-approved before you even set out on your home search.
To get your offer accepted on a home you love, you need to do your homework. As a buyer, you want to keep the needs of the seller in mind. Although you want the best deal for yourself, you're more likely to get a property that you want if you compromise a bit.