DO’S AND DON’TS WHEN APPLYING FOR A MORTGAGE

DO

1.      Save ALL pay stubs.  A mortgage application requires one month of consecutive pay stubs.

2.      Save ALL bank statements.  A mortgage application requires two months of your most recent bank statements.  You must provide every page of each statement even if the last page is blank!

3.      Keep credit card balances around 30% of the available limit.  Once you exceed this amount it could lower your credit scores!

4.      Provide documents to your loan officer as quickly as possible to avoid closing delays.  You will need to provide documents before and during the mortgage application process.

5.      Check your email frequently for communications. Questions and documents will be emailed to you during the mortgage process.

6.      Shop for homeowner’s insurance right away after your purchase agreement is accepted.  Provide the name, phone and email address of the homeowner’s insurance agent that you obtained your quote from to your loan officer as soon as possible.

7.      Let your loan officer know any changes to your debts or income.  This could positively or negatively affect your debt ratio.

8.      Be careful with “fixer uppers”.  Mortgage lenders are looking for properties to be “move-in condition”.  So, if the property is missing light fixtures, kitchen cabinets, sinks, carpet/flooring, has a damp basement, water stains on the ceiling, etc.  There is a good chance that those items will cause appraisal and underwriting issues.

DON’T

1.      Deposit any funds that do not come from your employer without speaking with your loan officer.  Most other deposits are not acceptable to be used towards your closing costs. Gifts from immediate family members are okay with a fully executed gift letter and a proper paper trail. Retirement funds are acceptable with a documented paper trail and the terms and conditions of withdrawal from your retirement account holder.

2.      Transfer money from one account to another unless absolutely necessary.  This can cause delays as each transfer must be proven to come from one of your other accounts.

3.      Open any new accounts or have your credit pulled.  This will negatively affect your debt ratio and possibly result in a denial!

4.      Change jobs if at all possible.  You will need to provide a pay stub with one month year to date earnings which may cause a delay in the processing of your loan application.

5.      Co-sign for another loan.  This will negatively affect your debt ratio and possibly result in a denial!

6.      Miss any payments on accounts you currently have.  One missed payment could lower your credit score as much as 100 points!

7.      Consolidate credit cards.  This will cause a delay in waiting for the new credit card statement that the other cards were consolidated to and proving the other accounts are paid off.

8.      Payoff any collection accounts unless your loan officer specifically asks you to.  This could actually lower your credit score!

9.      Close credit card accounts.  This could actually lower your credit score!

 

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• A three-year contractor workmanship warranty
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• Concierge-level customer service

For more information, visit contractorconnection.com/remax. To start using Contractor Connection, simply enter your zip code and submit your project.
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RE/MAX National Housing Report March 2014

Get the run-down on the U.S. Housing Market from this month's #REMAX National Housing Report in 40 seconds.

Home Prices, Sales End Year Higher

Despite the traditional winter slow down, both home prices and sales inched higher in December. RE/MAX National Housing Report, a survey of MLS data in 52 metropolitan areas, found the December median home price of $185,400 was 11.9% higher than the median in December 2012. After double-digit growth in home sales during the summer, sales cooled off, but December still saw a 0.7% year-over-year increase. Slower sales growth is associated with a limited inventory of homes for sale coupled with increased lending requirements and mortgage fees. At the rate of home sales in December, the Months Supply of inventory rose to 5.9 months, nearly equal to the 6.0 supply that defines a market balanced equally between buyers and sellers. Although the national inventory situation remains tight, it appears to be trending in the right direction. With a 12.0% drop in inventory from December 2012, the percentage of year-over-year inventory loss has shrunk for nine consecutive months.

“It’s great that improving market fundamentals continued through the normally slower winter months, and we ended the year on a strong positive note.”
 Margaret Kelly, RE/MAX CEO

FURNACE EFFICIENCY, SAFETY & MAINTENANCE

Furnaces in homes throughout North America are cranking up for a long winter season. It is especially important to have furnaces inspected and maintained to ensure that they run efficiently and safely as we head into the colder months.

SIMPLE WAYS TO IMPROVE EFFICIENCY

By some accounts, home heating, especially gas furnaces, can represent half of a typical home’s winter utilities bill. Efficient operation can mean lower energy bills and a more comfortable home. For example, programmable thermostats can be used to automatically turn heat up or down at specified times, so that the temperature is lowered overnight or while no one is at home. Thermostats should be calibrated occasionally to avoid “off cycle” heat loss; a properly calibrated thermostat will result in more even heating between the on/off cycles, which is both more efficient and comfortable.

SAFETY AND MAINTENANCE

Safety is also an important factor in furnace operation. Gas furnaces can be a source of carbon monoxide if there are leaks or cracks do not let them go unnoticed or unrepaired. The furnace flame should be steady hot blue flame; if not, this should be addressed immediately. A qualified contractor or inspector can detect these types of problems and recommend needed action.

Simple furnace maintenance includes checking and replacing disposable air filters and cleaning electronic style filters, as well as keeping dust, hair, and lint away from the burner compartment and air intake. No matter what  type it is, a well-maintained furnace will not only last longer, but can save energy, money, and help a home’s overall air quality and comfort.

CONSIDERING A NEW FURNACE?

If a new furnace is necessary, it is a good opportunity to evaluate the various types of furnaces available and how well they might meet a home’s specific situation. Furnaces are defined  as Conventional,  Mid Efficiency, and High Efficiency. There are advantages and drawbacks to each type, some are better suited to older homes, for example, and cost may be a factor in considering various types of systems. However, the ability of some new furnaces to reduce off cycle heat loss, eliminate the need for an always-on pilot light, etc. make replacing a furnace worth considering if a current system is in need of repair or functioning poorly.

Your Real Estate Expert

Look no further than Will Steinmetz for all your Real Estate Needs. I have been listing and selling real estate in Livingston, Genesee, Washtenaw and Western Oakland Counties for over 25 years. I am a full service Realtor including distressed property purchase and sales. Real estate is one of the most exciting investments one can make, and it should be a fun and rewarding experience. Here you'll find everything you'll need to buy or sell a home, as well as learn about the market value of homes in the area you living in or may be moving to. As a RE/MAX agent I can assist your real estate needs worldwide. Let me and my team assist your real estate needs today. We are committed to provide you with superior service at all times, click here to learn About Me.

Making A Smooth Move Into That First Home

Moving Tips for First-Time Home Buyers

First-time homebuyers may be among the only group of people who look forward to a move with

unadulterated excitement. After all, moving into that first home is a momentous occasion and one that

warrants celebration. But moving is one of those things that gets easier with experience. Here are some tips

to help first-time homebuyers avoid some common mistakes and move into their new home like a seasoned

pro.

Less is More

This statement couldn’t be truer when it comes to moving. So, try to put off major furniture and appliance

purchases until after you’ve moved into your new home, thus reducing the amount of heavy items you need

to move. If you are moving to another state and plan to use a professional mover, keep in mind that the cost

of your move is based upon the weight of your shipment. If you must shop ahead of time, see if the retailer

will hold the items and deliver them to your new home after you’ve moved into it.

Rid Yourself of Possessions You Don’t Want or Need

Many first-time homebuyers own a hodge-podge of furniture and home décor items that they’ve used in their

apartments or college living quarters. Visualize where your current possessions will go, then decide what to

do with those pieces that will end up being stored away in a closet or basement of your new home, only to be

tossed out later. Consider donating what you don’t really want or need, or partner with a friend who has a

carport or garage and hold a rummage sale.

Be Prepared

Advance planning and organization will make your move go smoother. Keep all documents related to your

move in one easily accessible location. Use a folder, notebook or even a daily planner to keep track of

important phone numbers and documents. Referrals for new physicians, maps of your new town and contact

information for old friends are just a few more things that you may want to stash in your organizer.

Consider Hiring a Professional

Even though it may seem less expensive to move with the help of friends and family, don’t forget to factor in

some of the costs of “doing it yourself.” There are still moving expenses involved, such as moving supplies

and boxes, packing tape and materials, and rental fees on a truck, dolly or other equipment. Plus, you

probably need to provide at least one meal on moving day to those who showed up to help you. So, it might

be wise to get a few moving estimates from professionals before you make a final decision.