HOMM Real Estate Services Blog



6 Home Buying Myths
Buying a home often seems daunting. Even after buying your first home, the process can still be overwhelming. There is so much information available to you, you’re often left wondering what’s true, what’s a myth, and who is it you can turn to help you parse through it? We’re here to break down some common misconceptions about buying a home.

MYTHS

Step one is finding the right house

We totally understand why this myth is so popular. You’ve decided to make your move and the first thing on your mind is obviously going to be where you will eventually lay your head every night, make new memories, and plant your roots. While home shopping is the ultimate goal, you should start by meeting with a lender to figure out your financial options. If you don’t know your spending power you may actually miss out on the right house for you. You’d be surprised to learn the right house could be larger or more expensive while still being within your budget.

You have to have perfect credit to buy a home

While perfect credit is ideal, and more often will give you more financing options, we recognize not everyone has the most ideal credit. The truth is that there are many loan options available, which still offer good interest rates. It’s a matter of taking your time, doing your research, and working with an expert mortgage professional to figure out what loan is best.

You need a down payment of 20%

A 20% down payment can seem like a steep cost, especially if you’re a first-time home buyer.  Luckily, FHA has you covered for that with loan options that include financing for as low as 3.5% down. There are other programs, like the VA for service members, that have smaller options than 20% down. However, even without FHA and VA loans, there are options. For more of the nitty-gritty, check out one of our previous blog posts on the matter.

Schools don’t matter if you don’t have kids

Whether you have children or not, schools are an important factor when it comes to home value. The location of your home, as well as your neighborhood, are vital aspects of the cost of your house. If you decide to move on to another home, a good school system can make for an easy sell.

New homes don’t need a home inspection

Just because something is new, doesn’t mean it’s immune to problems. Home inspections help protect you from existing or potential issues. Getting a licensed professional to complete an inspection will reassure your decision to buy a home and save you money in the long run.  

 

You don’t need an agent

Agents know the market, which is critical when it comes to getting the best value for your budget. They also have the necessary experience you need when it comes to buying and selling houses; they can see things that you might overlook. Moreover, their knowledge base extends out past just houses for sale. Agents can help you find solutions to common hiccups, explain customary charges, and can go to bat for you when it comes to negotiations. Think of a real estate agent as your GPS system. Yes, you can get from point A to point B without it, but why would you want to?

 

Buying a home is one of the most important decisions, financial and otherwise, you’ll make in your lifetime. The house you buy will become a home filled with wonderful memories. Take your time to fully understand the process and learn from the professionals. Even better, work with a professional. HOMM Real Estate Services is here to take the weight of buying a home off your shoulders. We have all the tools to help you buy the right home that is within your budget, so you can lay your head down every night knowing you got the best deal myth-free.

 

HOMM Real Estate Services, located in the Brandon, Florida area of Tampa-Bay focused to Hillsborough, Pasco, and Polk Counties. As a full-service general real estate company, we specialize in general real estate, home buyers, home sellers, new home construction, rentals, tenants and landlords, and property management.

 

Learn more about Marie Negron, her team and HOMM Real Estate Services. Call 813-684-5954 or email info.hommsales@gmail.com to get started.

 


Posted by Marie Negron, Owner on April 30th, 2019 2:46 PM

Since leaving the comfort and confines of your parents’ home you have been known to rest your head in a freshman dorm, or couch-surfed or you’ve lived in a variety of rental digs. Now you need a more permanent place and there’s no way you’re going back “home”.  Now you’re finally ready to make the move. The big move into home ownership.

 

Home ownership is a huge decision and for first-time buyers it can be both daunting and overwhelming.  It appears, at first glance, somewhat unachievable. A common question is, “How on earth can I pull together the funds for a typical 20% down payment?”  Sometimes, it’s a case of not knowing who you should speak with and what you need to ask. Well, let us give you some insight and dispel some misconceptions. Then, we can help you find the right home and the right person for financing your new home.

CREDIT OR CASH

We all know that today’s tightened lending guidelines means you can’t buy a home with just a promise and signature. It’s clear you need to have some form of down payment, or is it?  And how much do you actually need? Must you always find 20% down? The answer might surprise you; there are many ways to buy a home with less than 20% down payment.

 

Research from the National Association of REALTORS® proved that needing a 20% down payment simply isn’t true. It’s a misconception that is impeding homebuyers. Rather, it’s your credit rating that has more significance than how much (or little) cash you may have on hand.

OPTIONS

Listed here are some common programs to review, but this is just a sampling. It’s not a one-size-fits-all scenario. You need to speak with a lender as they often have more flexibility with in-house personalized programs. HOMM Real Estate Services can connect you with a local lender that can find the right financing option that makes the most sense for you.  

  • 0% Down – There are still two loan programs which allow one to buy a home for no down payment; the VA loan and the USDA loan. The VA loan requires the borrower to be a qualified service person or veteran and the USDA loan is for certain areas under the Department of Agriculture.
  • 5% Down – Conventional loans with loan limits can allow one to buy a home with as little as 5% down. These loans do have PMI (Private mortgage insurance) which can be eliminated when the loan amount falls below the 20% threshold.
  • 3 ½ % Down – FHA offers first time home buyers a good home loan for only 3.5% down payment. Again, these loans have loan limits and PMI but offer a faster entry into the housing market.

ASSISTANCE

In addition to the zero and low-down payment loan options, did you know there are down payment assistance programs available to qualified home buyers? And, these are not just for first-time home buyers.

While HOMM Real Estate Services is not a lender, we can help you find out if you are eligible for any of the down payment assistance programs. Click here to get started.

GIFTS AND GRANTS

In certain circumstances, buyers may be able to apply monies gifted to them from their parents or other family members. “Gifted monies” are identified as such if you are not required to repay the money to the donor. Most lenders will allow gift money to be applied to the down payment; provided you meet all required rules for the type of loan. For instance, the FHA 3.5% down payment can be 100% gifted money, whereas other loans require you to put down some form of down payment yourself.

NEXT MOVE

Reach out to HOMM Real Estate Services! Making the move into home ownership is achievable. And since it doesn’t always mean a 20% down payment, maybe the move isn’t quite as big as you originally thought.  Let HOMM Real Estate Services help you find the perfect place for you and connect you with a lender to discuss your options.

 

HOMM Real Estate Services, located in the Brandon, Florida area of Tampa-Bay focused to Hillsborough, Pasco, and Polk Counties. As a full-service general real estate company, we specialize in general real estate, home buyers, home sellers, new home construction, rentals, tenants and landlords, and property management. Learn more about Marie Negron, her team and HOMM Real Estate Services. Call 813-684-5954 or email info.hommsales@gmail.com to get started.




Posted by Marie Negron, Owner on December 31st, 2018 1:19 PM

WE WANT IT ALL

Entering the housing market for the first time can be a huge move – no pun intended.  Buying a new home is an especially hefty move – pun fully intended this time.  Whatever your reason for buying; whether it be to find a larger home, down-size, relocate, move to a condo or single-family home or invest in a new property, it’s important to recognize the difference between desires and needs.

It’s no secret that everyone wants it all!  We all love the idea of the “perfect” home on the “perfect” street in the “perfect” neighborhood with the “perfect” school district and at the “perfect” price.  If only buying a home could be that ideal.

While your perfect home is certainly out there, it may come with a few compromises.

GOIN

G THE DISTANCE

The old cliché “LOCATION, LOCATION, LOCATION” isn’t dead yet.  It’s still a major factor for most home buyers, but consider other factors before making your decision.

Good school districts, for instance, are desirable even if you aren’t worried about the closest bus stop.  Schools continue to be one of the most important factors for resale and in turn when deciding on location.

You’ll also want to consider your commute time.  Is your top pick the farthest away from your place of employment?  Weigh up the pros and cons.  The location may not be the most desirable, but the home may be worth the distance if it meets your other needs.

IS BIGGER ALWAYS BETTER?

We all have a pretty good idea of what we want in a home: bedrooms, bathrooms, garage and yard size.  However, it’s a smart move to evaluate the size of the home against what you need and what you want.  You may find that biggest isn’t always best.

There’s a valid difference between wanting square footage and needing the right kind of spaces.  Beware: square footage can be deceiving when compared to a well-designed and efficient floor plan with fewer wasted spaces.

A large, growing family may benefit from several bedrooms, but may find a home where a large open-concept kitchen-family room and a separate bonus room are more conducive to their living needs.

Notwithstanding the trend toward tiny home living, it’s clear today’s buyers desire to have different choices, freedoms and flexibility.  For many, a smaller home far outweighs the needs for storage, home-maintenance and overall large living.

WEEKEND WARRIOR

For some, it’s a romantic notion to remodel or renovate a home. While inspiring, take note that the DIY and makeover shows have a crew of countless professionals and volunteers. They are all feverishly hustling behind the scenes to complete a remodel within the allotted 60-minute air time.  In reality, despite the undeniable charm and beauty, there is a litany of concerns and issues involved in purchasing an older home.  When considering a remodel, determine if you’re willing to give up many future weekends to complete the project before making that decision.

BUYING POWER

Before you start this huge move, you should know what you can afford.  Speak with a mortgage professional, your financial advisor or bank.  You can also contact an agent at HOMM Real Estate Services.  Crunch some numbers with the HOMM Real Estate Services mortgage calculators or if you’re renting, compare your payments here.

HOMM Real Estate Services, located in the Brandon, Florida area of Tampa-Bay focused to Hillsborough, Pasco, and Polk Counties. As a full-service general real estate company, we specialize in general real estate, home buyers, home sellers, new home construction, rentals, tenants and landlords, and property management.

Learn more about Marie Negron, her team and HOMM Real Estate Services. Call 813-684-5954 or email info.hommsales@gmail.com to get started.

 

Posted by Marie Negron, Owner on October 19th, 2018 3:55 PM