Getting started as a young home buyer

Getting Started as a young home buyer

Buying your first home can be scary, but if you follow these tips, you will do just fine! Also talk with your local mortgageg lender and real estate agent for more tips as this is just to get you thinking.

Many young people do not realize that they can afford a home, that they can get approved for a mortgage. Sometimes you need little or no money to buy a home. There are Government programs for first time homebuyers (FHA) and there are 100%, no money down programs.

The key is to plan ahead. You may need to repair your credit, save for a downpayment, get more time on a job, save for closing costs. You need to know what you have to do to get started. You may be one of the "great buyers" and have everything you need to get started right now and not know it!Many times you do not need money. We can ask the seller to pay your closing costs. There are many programs that offer low rates and no money. 100% financing may be the way to go for you. But taking the first step and seeing what you need to do now is important. It will make the home buying process so easy. Call me to set up an appointment to go over your credit report, and credit scores. You may have imperfect credit, need to reduce debt, or improve your credit scores. The key is to get started. Even though you may have bruised credit, or too much credit I have helped many people improve their credit. They then we able to buy homes.


Create Your "Wish List". Make your wish list. Focus on the features you want in a home: 2 bedrooms or 3? 1 bath or 2? Garage or no garage? Knowing what you're looking for will help you focus your search. And it will help your local Wayne County real estate broker, too.

Search Michigan houses for sale.

Think about where and why you want to buy in an area. How far to work? School? Family?Drive by, and look at many Wayne County homes (again we handle Oakland County houses for sale, Washtenaw county houses for sale, Livingston County houses for sales, as well as Wayne county houses for sale. We just use Wayne county as an example in this report). See as many possible to get a better feel for ones available in your price range. Visit my site often and search for homes. Keep track of what you like and dislike about each home that you visit by printing and using our Home Visits Worksheet.

Also consider the market value of the home, any special circumstances surrounding the sale of the home, how much you can afford to pay for the home, and the condition of the home when determining whether the home is right for you.

When you find a Wayne County home in your price range and you want to buy it, visit the Wayne County neighborhood at various times to get a more complete understanding of its activity. Talk with your prospective neighbors about what it's like to live in the area. Take a day and commute to your job from the area. And look at the home more critically -- you may discover flaws you hadn't noticed during your first visit.
Another aspect to consider is the financing you will use to purchase the home. For example, the seller may help pay closing costs such as transfer taxes or points on a mortgage. If this is the case, you may be more willing to accept the seller's asking price. Your local Wayne County real estate sales professional (Russ Ravary) can offer some assistance regarding how much you should offer, but the final decision is yours.

Buying an Affordable home in Michigan

Buying an Affordable home in Michigan.
Most lenders will over approve you for a mortgage. You want to figure out yourself how much you can afford to pay each month and then consult a mortgage and Realtor. There is no sense in over extending yourself when buying a home. We all want more, bigger, and better. But you do not want to be house poor or get yourself in a mortgage that will only get you into trouble ( negative amortization loans, pick a payment loans) Even an adjustable rate mortgage may be risky for some people. So choose your mortgage carefully. You have to be the final judge on what you can afford. Please think hard on this. Many people are losing their homes in 2006 and 2007 because they took risky loans, over extended themselves, or took the largest loan the lenders would give them. You want to enjoy your home for many years to come.
Please note that we handle Wayne county homes, Washtenaw county homes, and Livingston county homes. We just used Oakland county homes as an example in this article. Search Michigan Homes

There are many factors to consider when looking for a home

Types of Oakland County homes - There are many different types of homes: single family, condominium, townhouse, and duplex. Additionally, the type of home you select may impact your buying power.

New or existing home - Consider whether you want to move into a new home, nearly new, or older home. In general, new Oakland County homes are more costly than existing homes. Especially when you figure in the items that are not in the house yet. Such as window treatments, landscaping, decks, and patios. However, the condition of an existing home can significantly increase your maintenance requirements. There may be items that need replacing or upgrading.

Quality of home - Examine the condition of the home. Carefully inspect the structure, interior and exterior of the house for defects. The additional renovation costs may add up over time and exceed your maintenance estimates. Will the house need a lot of repairs? How old are the appliances? The purchase of the home is one step, but the renovations and repairs are added costs that need to be considered. Would you prefer to purchase a newer, costlier home or would you prefer to invest additional time and money into renovations and repairs for an older, less expensive home?

Features - Consider the features of the home. Does it have gas or electric heating? Does it have air conditioning? How many bedrooms does it have? How many bedrooms do you need? All of these characteristics will influence the price of the home and your monthly housing expenses.
Location - Would you rather live in the city, the country, or the suburbs? Do you want to be close to work? Gas prices have made this more important in the last few years. Do you want to be near parks or the library? What about a shopping center? Is it important for you to be near major highways or public transportation? Get a feel for the surrounding area by exploring the Oakland County neighborhood and talking to residents.

Crime rate - Look into the safety of the Oakland County neighborhood. Does the Oakland County neighborhood have a high crime rate? Has there been an increase in crimes committed in the area? If so, how will this influence the future property value of your home?

Michigan School system - The quality of the school system in a particular area is not only important to families with children but can influence the property value of your home.
Economic stability of area - The economic growth and stability of the area surrounding a Oakland County home can influence its future property value.

Oakland County Home tax - Examine the annual amount of local Oakland County real estate taxes (millage rates) and other assessments levied on Oakland County homes in the neighborhood you are considering. Sometimes the amount of taxes are so much greater in one city that you may be able to buy more expensive home in another city with lower tax rates.

I as a person want you to be able to live in the home you buy for many years. I don't want to just "make a sale". I definitely don't want you to over buy and lose your home in foreclosure or bankruptcy. Many of my customers become friends and feel free to call me many years later. I want you to feel good about your home purchase and the effort I make for you. We want you to enjoy your home and enjoy the memories you get from it.
Russ Ravary

Real estate honesty

The question of the day is would you rather have a real estate agent come in and tell you how nice your house looks and compliment you. Or would you rather have them come in and tell you what you need to do to make the house more presentable.

The reason why I say this is that somebody I was talking to was mad at their real estate agent. One of the reasons why was that she was upset he didn't come in and tell her how nice her house looked. She has a nice home but there is always something to make the house more presentable.

Unfortunately in our business people can pick and chose what they want to listen to when they sell their home. It is their right!. They don't have to do any of the things we say. I have told people things and they have done none of them. There house still sits. In this market you need to listen to the little things that might help sell your house.

Have you asked your realtor what you can do to help make your house more presentable? Take a pro-active approach. In this market making the house look good will help it a little. If it costs less than a $1000 to do it, I would take the time and money and get it done. This market is very tough to sell. You need to do everything you can to help sell your home.

In this Metro Detroit real estate market it is taking the right person, a lower price, and a nice home to sell. Buyers have so many to look at. They have the ability to pick and choose and do a low ball price. They don't need to buy your home when the guy down the street will sell it to them for $10,000 less. They don't need to buy your home when another home in the city is nicer even though "you think your sub is the best". It doesn't matter that you have $30,000 more into the house than the house is listed for. The market is low, if you want to sell you have to adjust your thinking.

Don't put your house on the market if you don't need to sell right now. You are going to take a lower price. Get it into your head. If you are going to move you need to make your home more presentable.

For more real estate and mortgage information go to my website www.russravary.com

May your worries be small and a good thing happen to you today.
Russ Ravary

Ready to look for homes

KNOW WHAT YOU CAN AFFORD. Lenders can usually approve you for more than you can actually afford. You need to sit down and figure out what payment you can afford and live with before you meet with a lender.
*Choose a lender and get pre-approved - take in your w-2s, your asset statements, your paystubs. Have your lender go over your credit score, ask questions about your credit report. Even if you have imperfect credit I have tips on how to raise your credit score. *Go over your mortgage options. Ask your lender about the different type of loans, one may be better suited for you than another. You may not like risk and want a fixed loan whereas some people would rather have a lower payment and take the risk of the rate going up. Ask about FHA Loans, biweekly programs, ARM loans, no money down loans, and buying points. *Sit down or call Russ Ravary and tell him what you are looking for in a home, what cities, what specifications. *Have Russ Ravary your realtor send you emails of all homes that meet your needs and in your price range. *Set up a time so Russ can take you out and show you homes that meet your needs and price. *Shop close to your price limit.

WHAT ARE YOUR NEEDS
What city do you want to live in? What subdivision? Do you want to be close to the expressways or downtown? How far is it from work, from family, from friends?
What size of home do you want? How many Square feet?
How many of Bedrooms , How many of bathrooms, kitchen, basement, library, study, great room, family room, formal dining room, study, master bedroom, closet space.
Fenced or open yard, pool, or community pool, how many car garage.? Is privacy important to you. Do you want mature trees?What style of house? Tudor, colonial, ranch, cape cod? How many stories? Don't want to walk stairs? Need a first floor laundry? Want all the bedrooms on the same floor? How old of a home would you like? Do you want the character of an old home or do you want a home less than 5 years old? What type of floor plan do you want? An open layout or do you like the quaint rooms of a victorian home? What type of street or neighborhood do you want? With lots of kids, a cul de sac, at the back of the sub, close to the bus stop?
What condition of home do you want? Are you a handyman and want a fixer upper? Or do you want to just move in and do nothing? How much updating do you want to do? How much money do you want to spend fixing it up to your specifications? How much money do you have in reserves?
What will you have to do immediately when you buy this home? What will make this house livable to you? What will be the total cost to do this?

THINGS TO CONSIDER
Schools , school district, meap scores. Do they meet your requirements? How close are neighborhod parks and recreation areas. Is there place of worship close by that you want to attend?
Commute time to work, and family and friends is important. Take a ride during rush hour and during off times. Visit the house at dark, and different times during the day. Stand outside and listen and look. By visiting the house during different times of the day you learn about the neighborhood.
Does the lot give value to the house, or is it a negative. Compare that to other values in the neighbor hood. Is it in a flood zone? What are the taxes? What is the Mileage rate? , What are the utility & electric bills?
What is the cost of homeowners insurance? Is the city you are buying in more expensive because of crime rates? Does a home warranty come with it?
What are the ages of major items roof, a/c, furnace, windows? Read the sellers disclosure carefully and ask questions you do not have answers to.
Always remember when and if you sell , how will others view your home . So think twice about homes with only 2 bedrooms, with small square footage, on or close to main roads, with no basement or garage. Think now about resale when you are buying. It will make you a smarter buyer.
What stays with the house? What goes?

There is no perfect home. You most likely will never find a home that has absolutely everything that you want and need. What you need to do is to make a list of what you want. What you must have and what you would like to have. My job is to help you find the home that suits you best at a good value. A home that you want, that you love, and that meets as many of your expectations as possible. We do find homes that have everything some people want, sometimes we even find homes that are beyond the expectation of what you want. I want to help you find a home that you will love to live in, have a place that great memories will come from, and that you can spend years with family and friends enjoying life. That is what is important.
Finally have Russ Ravary go over all the solds in the area and compare what you are buying to what has sold in the sub, in the area, and in the city. Be a smart buyer!

Good luck on house hunting. Give me a call if you are looking in the metro Detroit area!
Live today as if there is no tomorrow.
Russ Ravary

Bargain homes

How do you know if you are getting a bargain in a home right now? It is pretty easy to find out if the home you are buying is a bargain. Ask your real estate agent to pull all the comparables in the area. A comparable is a home that is very similar in size and style as the house you are buying. For example you only compare ranch to ranch and colonial to colonials. You should never have to compare a ranch to a colonial.

Some of the basic rules of appraising is that you look for a similar style of home with roughly the same features and approximately the same square footage within a square mile of the existing property without crossing over any main roads, or railroad tracks. And they should have sold within the last six months. Houses that have sold over six months ago may not be a good comparable any more. Especially like the market we are having in 2007.

So your agent should first pull all the homes that have sold in the neighborhood, then they should pull all the homes that have sold within the square mile. They all should have sold within the last six months. Then the agent should pull the solds in the city if he can’t find enough comparables. Some agents don’t like to do this because all they care about is selling a home and not whether the home is worth the price. A good agent will do this for you.
You can then take a look at all the solds and see how the price of the house you are buying compares to the sold homes. Look at the square footage and the features to be able to compare apples to apples. This is how you tell whether the home you are buying is worth it. If you are looking to buy a Metro Detroit home and want an real estate agent to look out for you email me from my website www.russravary.com