EXIT Realty Corp. International is on the cutting edge of all things real estate. Please enjoy these blogs available exclusively from EXIT Realty Corp. International. By Tami Bonnell, CEO, EXIT Realty Corp. International We in the real estate industry deal with a mountain of technology and an avalanche of information. […] The post The customer buys you first appeared first on Real Estate Industry Leaders.

Check out this blog by Keeping Matters Current. Some Highlights Mortgage interest rates have dropped considerably over the past year, and compared to what we’ve seen in recent decades, it’s a great time to buy a home. Locking in a low rate today could save you thousands of dollars over the lifetime of your home loan, but these low rates may not last forever. If you’re in a position to buy a home, reach out to a local real estate professional to determine your best move in today’s housing market while interest rates are still in your favor. The post Home Mortgage Rates by Decade [INFOGRAPHIC] appeared first on Keeping Current Matters.

Check out this blog by Keeping Matters Current. With mortgage interest rates hitting record lows so many times recently, some are wondering if we’ll see low rates continue throughout 2021, or if they’ll start to rise. Recently, Freddie Mac released their quarterly forecast, noting: “The average 30-year fixed-rate mortgage hit a record low over a dozen times in 2020 and the low interest rate environment is projected to continue through this year. We expect interest rates to average below 3% through the end of 2021. While this is a modest rise from 2020 averages, the recent vote by the Federal Reserve to keep interest rates anchored near zero should keep rates low.” As shown in the graph below, Freddie Mac is projecting low rates going forward with a modest rise that’s expected to continue through 2022.Freddie Mac isn’t the only authority forecasting low rates with a slight rise. Fannie Mae, The Mortgage Bankers Association (MBA), and the National Association of Realtors (NAR) also anticipate low rates with a small increase as 2021 continues on. Here’s the quarterly breakdown of their projections and how they’re expected to play out over the next year:It’s important to note that, while a small change in interest rates can have a substantial impact on monthly mortgage payments, these rates are still incredibly low compared to where they were just a couple of years ago. What does this mean for buyers? Low mortgage rates are creating an outstanding opportunity for current homebuyers to get more for their money while staying within their budget. As the economy gets stronger and we recover from the challenges of 2020, it’s natural for rates to potentially rise in response to a healthier economy. Mark Fleming, Chief Economist at First American, reminds us: “Rising interest rates reduce house-buying power and affordability, but are often a sign of a strong economy, which increases home buyer demand. By any historic standard, today’s mortgage rates remain historically low and will continue to boost house-buying power and keep purchase demand robust.” With low rates fueling activity among hopeful buyers, there are a lot of people who are highly motivated and looking for homes to purchase right now. In this environment, it can be challenging to find a home to buy, so a local real estate agent will be key to your success if you’re thinking of buying too. Working with a trusted real estate professional to navigate the process while rates are in your favor might be the best move you can make. Bottom Line If you’re ready to buy a home, it may be wise to make your move before mortgage rates begin to rise. Contact a local real estate professional to discuss how today’s low rates can create more opportunities for you this year. The post Will Low Mortgage Rates Continue through 2021? appeared first on Keeping Current Matters.

EXIT Realty Corp. International is on the cutting edge of all things real estate. Please enjoy these blogs available exclusively from EXIT Realty Corp. International. Tami Bonnell, CEO of EXIT Realty Corp. International, today announced that the company has partnered with LGBTQ+ Real Estate Alliance in its efforts to promote […] The post EXIT Realty Corp. International Partners with LGBTQ+ Real Estate Alliance appeared first on Real Estate Industry Leaders.

Whether it’s retirement, a mortgage, a job, getting married, buying a mutual fund or filing taxes, always consider the consequences of your financial commitments – the length, termination, dependencies, etc. Modern living is about instant gratification, but thinking out of the box with the end in mind can pay off massively in your wealth creation plans.

EXIT Realty Corp. International is on the cutting edge of all things real estate. Please enjoy these blogs available exclusively from EXIT Realty Corp. International. By Tami Bonnell, CEO, EXIT Realty Corp. International Our highest award at EXIT Realty is symbolized by a man chiseling himself from a block of […] The post Leaders who want to achieve something more appeared first on Real Estate Industry Leaders.

Check out this blog by Keeping Matters Current. There have been a lot of headlines reporting on how homeowner equity (the difference between the current market value of your home and the amount you owe on your mortgage) has dramatically increased over the past few years. CoreLogic indicated that equity increased for the average homeowner by $17,000 in the last year alone. ATTOM Data Solutions, in their latest U.S. Home Equity Report, revealed that 30.2% of the 59 million mortgaged homes in the United States have at least 50% equity. That doesn’t even include the 38% of homes that are owned free and clear, meaning they don’t have a mortgage at all. How can equity help a household? Having equity in your home can dramatically impact your life. Equity is like a savings account you can tap into when you need cash. Like any other savings, you should be sensible in how you use it, though. Here are three good reasons to consider using your equity. 1. You’re experiencing financial hardship (job loss, medical expenses, etc.) Equity gives you options during difficult financial times. With equity, you could refinance your house to get cash which may ease the burden. It also puts you in a better position to talk to the bank about restructuring your home loan until you can get back on your feet. Today, there are 2.7 million Americans who are currently in a forbearance program because of the pandemic. Ninety percent of those in the program have at least 10% equity. That puts them in a better position to get a loan modification instead of facing foreclosure because many banks will see the equity as a form of collateral in a new deal. If you’re in this position, even if you can’t get a modification, the equity allows you the option to sell your house and walk away with your equity instead of losing the house and your investment in it. 2. You need money to start a new business We’ve all heard the stories about how many great American companies started in the founder’s garage (i.e., Disney, Hewlett Packard, Apple, Yankee Candle, Keeping Current Matters). What we might not realize, however, is the garage (along with the rest of the home) supplied the start-up money for many of these companies in the form of a refinance. If you’re passionate about an idea you have for a new product or service, the equity in your home may enable you to make that dream a reality. 3. You want to invest in a loved one’s future It’s been a long-standing tradition in this country for many households to help pay college expenses for their children. Some have tapped into the equity in their homes to do that. Additionally, George Ratiu, Senior Economist for realtor.com, notes: “52% of Americans who bought their first home in 2020 said they got help with their down payment from friends or family. The number one lender? Their parents.” It’s safe to assume a percentage of that down payment money likely came from home equity. Bottom Line Savings in any form is a good thing. The forced savings you can earn from making a mortgage payment enables you to build wealth through home equity. That equity can come in handy in both good and more challenging times. The post 3 Ways Home Equity Can Have a Major Impact on Your Life appeared first on Keeping Current Matters.

Before putting your home on the market, it can be a good idea to have a professional home inspector perform an inspection on your home.  It’s preferred that the inspector you hire to perform the inspection is a member of ASHI (American Society of Home Inspectors) or NIBI (National Institute of Building Inspectors).  Whether a buyer is purchasing their first home or their fifth, it is extremely likely they will make their offer contingent on an acceptable home inspection. By completing this pre-listing inspection, you can address the issues that the home inspector may note during his inspection.  Make sure that the home inspector who does the pre-listing inspection will provide you with a detailed report and pictures relating to anything they note in their report. There are other inspections to consider before selling a home as well.  Here are several other inspections that a buyer could possibly make their offer contingent upon and to consider performing prior to selling a home. RadonPestChimneySepticWell Water

Check out this blog by Keeping Matters Current. In today’s housing market, all eyes are on millennials. Not only are millennials the largest generation, but they’re also currently between 25 and 40 years old. These are often considered prime homebuying years when many people begin to form their own households and invest in real estate. If you’re like many millennials who are spending much more time at home these days, you may have a growing need for more space or upgraded features, making moving more desirable than ever. For those millennials who already own a home, there’s a great opportunity to move up in 2021. Danielle Hale, Chief Economist at realtor.com, explains: “Older millennials will be trade-up buyers with many having owned their first homes long enough to see substantial equity gains.” Even if you bought a home sometime in the last few years, you may have more equity than you realize, and that’s a big factor to consider when you’re thinking about moving. According to the Homeowner Equity Insights Report from CoreLogic: “In the third quarter of 2020, the average homeowner gained approximately $17,000 in equity during the past year. This marks the largest average equity gain since the first quarter of 2014.” Growing equity can be the driver you’re looking for to fund your next move, especially if what you need in a home is changing right now. As equity builds over time, it can be put toward the down payment on your next home. In addition to equity gains, today’s housing market affordability is powered by record-low mortgage rates, so moving at a time when you can get more for your money may be more realistic than you think. Bottom Line If you’re a millennial thinking about moving this year, you’re not alone. Contact a local real estate professional to shed light on the equity you have in your current home and the opportunities it can create. The post Millennials: Is It Time to Buy a Bigger Home? appeared first on Keeping Current Matters.

Establish a labeling system for boxes – color-coded, for example – to easily identify where each box should be placed in the new residence.

Check out this blog by 719Lending You have saved and saved for a downpayment on a new home and are finally ready to sign all of the paperwork and get the keys. Your lender sends over the final numbers and the cash to close is more than your down payment amount. What happened? Why do you have to bring more money to closing to actually purchase the home? The cash to close includes more than just the down payment, although that often makes up the bulk of the amount. Other items included in closing costs often include an appraisal to determine the value of the home, any fees associated with the loan (such as a VA funding fee), lawyer’s fees to draw up the paperwork, title search fees, title insurance fees, prepaid taxes that will put into an escrow fund, and a fee to record the deed of sale. Each item will be listed separately on your paperwork, also called your closing disclosure. You can learn how much each fee is as well as the total amount of cash needed from the buyer to close. The seller may be willing to cover some of these costs, which is usually negotiated at the same time as the sales price. Your purchase offer can include a sales price and a percentage (typically between 1% and 3%) of the purchase price that the seller will contribute toward closing costs. Some lenders and loans allow these costs to be rolled into the mortgage amount and financed over the term of the loan. Talking to your lender about the expected costs and how to pay them can give you the broadest range of options. Consider this example. Joe purchases a home for $150,000 and plans to put 20% of the purchase price, or $30,000. His closing disclosure paperwork indicates that he will need to bring $37,500 to the actual closing. The extra $7,500 includes the appraisal fee, insurance, and lawyer’s costs. Joe and the seller agreed in the purchase contract that they would split these costs, meaning that $7,500 accounts for Joe’s portion. Your lender should provide you with a breakdown of all costs, fees, and items in the final loan paperwork. Don’t hesitate to ask questions about anything that you do not understand clearly. Purchasing a home is a big milestone and an experience that you should enjoy. The post Understanding Your Cash to Close When Buying a Home appeared first on 719 Lending.

Check out this blog by Keeping Matters Current. There are so many great reasons to purchase a home, and over the past year, we’ve realized more of them than we ever thought possible. If you’re a first-time homebuyer, having a home of your own can give you a greater sense of security and accomplishment in a time that’s largely uncertain. If you’re a repeat buyer looking for your dream home, making a move might give you the space or features you need to find greater success and happiness in a new normal way of life. Whatever your motivations are, here are three reasons why becoming a homeowner now may help you win big in the long run. 1. Buying a Home Is a Great Investment Several recent reports indicate that real estate is still a good investment, topping other options such as gold, stocks, bonds, and savings. Why? Real estate helps you build equity, a type of forced savings that grows your net worth. According to the latest Equity Report from ATTOM Data Solutions: “The count of equity-rich properties in the fourth quarter of 2020 represented 30.2 percent, or about one in three, of the 59 million mortgaged homes in the United States. That was up from 28.3 percent in the third quarter of 2020, 27.5 percent in the second quarter and 26.7 percent in the fourth quarter of 2019, despite the ongoing economic damage caused by the worldwide Coronavirus pandemic.” 2. Mortgage Interest Rates Are Low The Primary Mortgage Market Survey from Freddie Mac indicates interest rates for a 30-year mortgage have fallen since November 2018 when they hit 4.94%. In their latest forecast, Freddie Mac expects rates to remain low, leveling out to an average of 2.9% in 2021. When you purchase a home at a low mortgage rate, it will impact your monthly mortgage payment, giving you the opportunity to likely get more house for your money. 3. Investing in Your Future Pays Off There are some renters who haven’t purchased a home yet because they’re uncomfortable taking on the obligation of a mortgage. What many renters don’t realize, though, is the financial power of equity. As a homeowner, your monthly mortgage payment becomes a form of ‘forced savings’ you can reinvest later in life as you see fit. You can use it in a variety of ways, like to fund a loved one’s education, move up to a bigger home, or start your own business. As a renter, you’re actually growing your landlord’s equity instead of your own. If you’re ready to put your monthly payments to work for you and take steps toward those dreams and goals, purchasing a home may be the way to go, especially as rental prices continue to rise. Bottom Line Buying a home sooner rather than later could lead to substantial savings and long-term financial growth. Reach out to a local real estate professional to determine if homeownership is the right choice for you this year. The post 3 Ways You’ll Win When You Buy a Home This Year appeared first on Keeping Current Matters.

Check out this blog by Keeping Matters Current. Some Highlights Homeownership provides comfort, stability, and security, and it makes you feel more connected to your community. Your home is something to be proud of and is uniquely yours, so you can customize it to your heart’s desire. If you’re ready to fall in love with a home of your own, contact a local real estate professional to get you started on the path to homeownership. The post Why It’s Easy to Fall in Love with Homeownership [INFOGRAPHIC] appeared first on Keeping Current Matters.

EXIT Realty Corp. International is on the cutting edge of all things real estate. Please enjoy these blogs available exclusively from EXIT Realty Corp. International. By Tami Bonnell, CEO, EXIT Realty Corp. International During this time of business as unusual, I can’t think of a better opportunity to work on […] The post 7 Ways to Own Your Personal Power appeared first on Real Estate Industry Leaders.

Check out this blog by Keeping Matters Current. Headlines matter. Right now, it’s hard to read about real estate without seeing a headline that suggests homes have become unaffordable for most Americans. In reality, there’s hard evidence that shows how owning a home is more affordable than renting in most parts of the country, as record-low interest rates are keeping monthly mortgage payments about 23% lower than the typical payment of 20 years ago. Despite the facts, misleading headlines persist, and they impact how hopeful homebuyers perceive the market. In a recent survey by realtor.com, home shoppers indicated they were surprised by what they could actually afford when buying their first home. In fact, 47% discovered their budget was larger than they expected. George Ratiu, Senior Economist at realtor.com, explains: “For first-time buyers, especially, the drop in the 30-year mortgage rate…has provided unexpected leverage. Lower rates allowed many buyers to stretch and buy more expensive homes while keeping their monthly budget the same.” So why do these negative headlines that cast doubt on affordability continue to exist? Most analysts only look at two of the three elements that make up the affordability equation: price and income. It’s true that incomes haven’t kept up with the price of houses. However, affordability is about the cost of the home, not just the price. For that reason, mortgage rates, the third element of the affordability equation, are important to consider. For example, here’s the typical mortgage payment for assorted dates going back to 2000, as calculated by CoreLogic:Outside of the housing crash (when short sales and foreclosures drove prices down), it’s more affordable to buy a home today when you consider all three elements of the affordability equation: price, income, and mortgage rate. Bottom Line Whether you’re a first-time buyer or a move-up buyer, don’t let the headlines scare you away from your dream of homeownership. Instead, connect with mortgage and real estate professionals to determine what you can afford and what’s available at that price. Like almost half of the buyers in the survey, you may be pleasantly surprised. The post 47% of New Buyers Surprised by How Affordable Homes Are Today appeared first on Keeping Current Matters.

EXIT Realty Corp. International is on the cutting edge of all things real estate. Please enjoy these blogs available exclusively from EXIT Realty Corp. International. By Tami Bonnell, CEO, EXIT Realty Corp. International In real estate, rarely are rankings of people or companies uniform across the board.  What algorithms are […] The post How do you measure success? appeared first on Real Estate Industry Leaders.

Your credit score indicates to potential lenders how creditworthy you are. As a result, your credit score is a measure of how much it will cost you to borrow money. Now, when you’re trying to create wealth, I suggest borrowing as little money as possible. That means paying off all of your credit cards and unsecured personal loans.

Check out this blog by Keeping Matters Current. As more people continue to identify their changing needs this year, some are turning to the upscale housing sector for more space or finer features. In their most recent Luxury Market Report, the Institute for Luxury Home Marketing (ILHM) shares: “In a snapshot of 2020, despite the devasting effects of the coronavirus pandemic, the luxury real estate market has seen one of its strongest years since 2008. In comparison to experts’ predictions in early 2020, it is remarkable how significant demands for property type, location, and amenity preferences have changed amid the pandemic.” With more opportunities to work from home and a growing interest in having extra space for things like virtual school, working out, and cooking more meals, the desire to own a home that can meet these needs continues to increase. Additionally, record-low mortgage rates are creating opportunities for homebuyers to stretch their legs into higher price points or even expand their real estate portfolios. The ILHM report continues to say: “Experts believe that the demand for exclusive residential properties outside the metropolitan areas will continue well into 2021; even with the introduction of vaccines, the pandemic is far from over. For those who have moved to the suburbs and beyond, moving back to the city full time is unlikely while the work from home trend remains. Many of these affluent homeowners are now making their secondary properties their primary residences for the foreseeable future.” If you’re interested in buying a home this year, it appears that some higher-priced markets may have more homes to choose from than those at lower price points. Javier Vivas, Director of Economic Research at realtor.com, notes: “Interestingly, markets, where new supply is improving the fastest, tend to be higher priced than those that have yet to see improvement, suggesting sellers are more active in the more expensive markets.” Bottom Line If you’re hoping to buy the home of your dreams, this could be the year to achieve that goal. Connect with your local real estate professional today to explore your possibilities. The post The Luxury Market Is Attracting Buyers in 2021 appeared first on Keeping Current Matters.

Save for Closing Costs Along with your down payment, you’ll also need to pay for closing costs. If you’re a first-time home buyer, you may be wondering how much it costs to close on a house. On average, closing costs are about 3–4% of the purchase price of your home.3 Your lender will give you a specific number so you know exactly what to bring on closing day. These fees pay for important steps in the home-buying process, including: AppraisalHome inspectionCredit reportAttorneyHomeowner’s insurance Let’s see how this plays out with our example of a $172,600 home. If you multiply $172,600 by the higher 4% closing cost average, you’ll find that you need $6,904 for closing costs. Now, let’s add that to your 20% down payment of $34,520. Together, the two equal $41,424, which is about what you’ll need to save to pay for the down payment and the closing costs on your first house.

Check out this blog by Keeping Matters Current. Home values appreciated by about ten percent in 2020, and they’re forecast to appreciate by about five percent this year. This has some voicing concern that we may be in another housing bubble like the one we experienced a little over a decade ago. Here are three reasons why this market is totally different. 1. This time, housing supply is extremely limited The price of any market item is determined by supply and demand. If supply is high and demand is low, prices normally decrease. If supply is low and demand is high, prices naturally increase. In real estate, supply and demand are measured in “months’ supply of inventory,” which is based on the number of current homes for sale compared to the number of buyers in the market. The normal months’ supply of inventory for the market is about 6 months. Anything above that defines a buyers’ market, indicating prices will soften. Anything below that defines a sellers’ market in which prices normally appreciate. Between 2006 and 2008, the months’ supply of inventory increased from just over 5 months to 11 months. The months’ supply was over 7 months in twenty-seven of those thirty-six months, yet home values continued to rise. Months’ inventory has been under 5 months for the last 3 years, under 4 for thirteen of the last fourteen months, under 3 for the last six months, and currently stands at 1.9 months – a historic low. Remember, if supply is low and demand is high, prices naturally increase. 2. This time, housing demand is real During the housing boom in the mid-2000s, there was what Robert Schiller, a fellow at the Yale School of Management’s International Center for Finance, called “irrational exuberance.” The definition of the term is, “unfounded market optimism that lacks a real foundation of fundamental valuation, but instead rests on psychological factors.” Without considering historic market trends, people got caught up in the frenzy and bought houses based on an unrealistic belief that housing values would continue to escalate. The mortgage industry fed into this craziness by making mortgage money available to just about anyone, as shown in the Mortgage Credit Availability Index (MCAI) published by the Mortgage Bankers Association. The higher the index, the easier it is to get a mortgage; the lower the index, the more difficult it is to obtain one. Prior to the housing boom, the index stood just below 400. In 2006, the index hit an all-time high of over 868. Again, just about anyone could get a mortgage. Today, the index stands at 122.5, which is well below even the pre-boom level. In the current real estate market, demand is real, not fabricated. Millennials, the largest generation in the country, have come of age to marry and have children, which are two major drivers for homeownership. The health crisis is also challenging every household to redefine the meaning of “home” and to re-evaluate whether their current home meets that new definition. This desire to own, coupled with historically low mortgage rates, makes purchasing a home today a strong, sound financial decision. Therefore, today’s demand is very real. Remember, if supply is low and demand is high, prices naturally increase. 3. This time, households have plenty of equity Again, during the housing boom, it wasn’t just purchasers who got caught up in the frenzy. Existing homeowners started using their homes like ATM machines. There was a wave of cash-out refinances, which enabled homeowners to leverage the equity in their homes. From 2005 through 2007, Americans pulled out $824 billion dollars in equity. That left many homeowners with little or no equity in their homes at a critical time. As prices began to drop, some homeowners found themselves in a negative equity situation where the mortgage was higher than the value of their home. Many defaulted on their payments, which led to an avalanche of foreclosures. Today, the banks and the American people have shown they learned a valuable lesson from the housing crisis a little over a decade ago. Cash-out refinance volume over the last three years was less than a third of what it was compared to the 3 years leading up to the crash. This conservative approach has created levels of equity never seen before. According to Census Bureau data, over 38% of owner-occupied housing units are owned ‘free and clear’ (without any mortgage). Also, ATTOM Data Solutions just released their fourth quarter 2020 U.S. Home Equity Report, which revealed: “17.8 million residential properties in the United States were considered equity-rich, meaning that the combined estimated amount of loans secured by those properties was 50 percent or less of their estimated market value…The count of equity-rich properties in the fourth quarter of 2020 represented 30.2 percent, or about one in three, of the 59 million mortgaged homes in the United States.” If we combine the 38% of homes that are owned free and clear with the 18.7% of all homes that have at least 50% equity (30.2% of the remaining 62% with a mortgage), we realize that 56.7% of all homes in this country have a minimum of 50% equity. That’s significantly better than the equity situation in 2008. Bottom Line This time, housing supply is at a historic low. Demand is real and rightly motivated. Even if there were to be a drop in prices, homeowners have enough equity to be able to weather a dip in home values. This is nothing like 2008. In fact, it’s the exact opposite. The post 3 Reasons We’re Definitely Not in a Housing Bubble appeared first on Keeping Current Matters.