Are you considering an adjustable rate mortgage (ARM)? A mortgage is a huge decision and it's important to know what you're getting into. Here are some pros and cons of adjustable rate mortgages to help you determine whether it's the right option for your Florida home purchase. What is an Adjustable Rate Mortgage? Adjustable rate mortgages start off as a fixed rate for a certain number of years and then adjust (up or down) based on the prime rate. The adjustment amount can be capped yearly. It is often described using 3 numbers to represent the fixed years, adjustment period, and ...
Pros and Cons of Adjustable Rate Mortgages
December 14, 2017
Holiday Home Safety Tips
December 6, 2017
The holidays are a fun and festive time of year. There's so much going on, that it's easy to forget about home safety. We've compiled a short list of important holiday home safety tips to help you and your family enjoy an incident-free holiday season. Holiday Decor Safety Hazards During the winter months, there are many potential fire hazards. Your Christmas tree and lighting are two important ones and are among the most important holiday home safety tips. When it comes to your tree, keep it properly watered and positioned away from heat sources such as candles, fireplaces, and portable ...
Typical Home Seller Expenses in Florida
November 30, 2017
When thinking about selling a home, one of your first considerations is how much you may net from that sale. Those proceeds may be needed to purchase your next home, so calculating a somewhat accurate figure is important. Here are a few typical home seller expenses in Florida to include in your calculations. Mortgage Payoff If you have a mortgage on your current home, it will need to be paid off when you sell. Mortgage payoffs are the most common home seller expenses in Florida. Do not rely on your last mortgage statement. Mortgage payments are due in arrears, so that statement ...
How Proposed Tax Changes Will Impact Home Sellers in Florida
November 16, 2017
There are tax changes being discussed that will impact home sellers. If you are thinking about selling your home, it is important to stay up to date on these developments. Here's a brief overview of how proposed tax changes will impact home sellers in Florida. Seller's Net Earnings When selling a home, one of your biggest concerns is how much you will net from that sale. This is particularly important if you need a certain amount of funds to put towards the purchase of your next home. The funds from your sale are normally used to pay off your mortgage ...
How Much You Should Put Down on a House
November 9, 2017
There are many decision to make in the home buying process. One important decision is how much you should put down on a house. Long ago, everyone believed they needed 20% down to buy a home in Florida. However, that's no longer the case. There are plenty of mortgage programs that allow you to put down 10%, 5%, 3.5%, or even 0%. So, which amount is right for you? Here are a few things to consider when buying a home in the Apopka, Florida area. Mortgage Program Requirements Most mortgage programs have their own down payment guidelines. A typical FHA ...
Getting Rid of PMI on Apopka Florida Home Mortgages
October 25, 2017
PMI, also known as private mortgage insurance, is often charged on loans where the down payment is less than 20% of the purchase price. It is charged as a percentage of the loan amount, so it can cost a home buyer several hundred dollars per month. In most cases, it is not tax deductible, so it offers no added value. Getting rid of PMI on Apopka Florida home mortgages is often in a homeowner's best interest. Here are two ways to do so. Refinance the Loan If you have paid down your loan over the years or market values have increased ...
Mortgage Pre-paids and Escrows for Apopka Florida Home Purchases
October 19, 2017
Some mortgage terminology that you will come across when buying a home are mortgage pre-paids and escrows. These are separate from closing costs. It can be helpful to understand how mortgage pre-paids and escrows for Apopka Florida home purchases work. What Are Pre-paid Expenses? By definition, pre-paids are items that you are paying ahead of time. The most common pre-paids are property taxes and homeowner's insurance. When you have a mortgage, your lender wants assurances that these two are paid on-time. Why? Homeowner's insurance protects their interests as much as it does yours. Lenders never want your insurance to lapse, so ...
5 Ways to Improve Your Credit Score Before Buying a Home
October 13, 2017
Credit scores are one of the most important factors in buying a home. Your score determines what mortgage programs are available to you and how high an interest rate you will pay. An extremely low score can prevent you from buying a home. A very good score can save you money on interest. Therefore, it's worthwhile to take the time to review your credit report and look for ways to increase your scores. Here are a few ways to improve your credit score before purchasing a home in Apopka Florida. 1. Correct Credit Report Errors It's very common for credit ...
Home Purchase Price Limits Change with Interest Rates
October 10, 2017
If you are in the market to purchase a home, you probably have a pre-approval from a mortgage lender that lists a purchase price. You may think that the purchase price limit in that letter remains true throughout your home search,... after all, you are pre-approved. What you may not be aware of is that home purchase price limits change with interest rates. Rates are expected to increase in December, so this could make a difference in your purchase plans. Here's why. Pre-approvals Are Based on Assumed Interest Rates When preparing your pre-approval, lenders use the then current interest rate ...
Hurricane Damage Impact on Pending Home Sales in Apopka Florida
September 29, 2017
Every year, Florida is at risk for one or more hurricanes. If you are in the process of selling or buying a home when a big storm hits, you may wonder about the hurricane damage impact on pending home sales in Apopka Florida. This information may help. Buyer Access to Damaged Properties It’s very common for buyers to request a showing immediately after a hurricane in order to survey the damage. Section 18(L) of the real estate contract allows for such showings, with reasonable notice to the seller. Understandably, buyers are just as concerned about damages as sellers are. The amount ...