Archive for the 'Home Buyer Education' Category
Appraisal Resources
June 23rd, 2009
Categories:Home Buyer Education
Here are a list of website with information regarding the appraisal industry.
Websites
- American Society of Appraisers
- American Society of Farm Managers and Rural Appraisers
- Appraisal Foundation
- Appraisal Institute
- International Right of Way Association
- National Association of Independent Fee Appraisers
- National Association of Master Appraisers
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Three Approaches to Real Estate Value
June 23rd, 2009
Categories:Home Buyer Education
Appraisers use three methods to determine the value of a property. Depending on the property, each approach will be more relevant or less relevant to the value of the property. Appraisers will often use a process called Reconciliation which takes into consideration how well each approach applies to the property being appraised.
Here are the three approaches to value:
- Sales Comparison Approach
- Cost Approach
- Income Approach
Method 1: Sales Comparison Approach
This is also known as the market data approach and is Read the rest of this entry »
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The 9 Principals of Value
June 23rd, 2009
Categories:Home Buyer Education
Numerous economic principles can affect the value of real estate. These are great principles to keep in mind when purchasing and remodeling a home. Where you invest your money can have a large impact on the amount it increases the value of your home. The most important principles are listed below.
9 Principals of Value
- Anticipation
- Change
- Competition
- Conformity
- Contribution
- Increasing and Diminishing Returns
- Regression and Progression
- Substitution
- Supply and Demand
Anticipation
According to the principle of anticipation Read the rest of this entry »
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One Step Back, Three Steps Forward for Homebuyers
June 10th, 2009
Categories:Home Buyer Education, Real Estate News
According to the Census Bureau, one in eight adults between 25 and 34 years old are currently living with their parents. Money Magazine states “unemployment for people in their early twenties now touches 14%, vs the national average of 8.5%.” The rest of the article gives parents tips on how to handle the situation when children move back in, here’s the quick and simple of it:
- Don’t baby your babies
- Do help with the job hunt
- Do assist in exit planning
What about today’s homebuyers out there looking for a way to save money for a down payment? Wouldn’t this be an excellent opportunity to save money, pay off credit cards and possibly get a good idea of what home ownership would look and feel like?
If your a future homebuyer thinking about taking a step back by moving in with the folks, plan on taking three steps forward while you are living with the family again.
The Three Steps Forward
- Step 1: Pay off the credit card debt
- Step 2: Start saving for the costs involved with buying a home
- Step 3: Live in the shoes of a homeowner, you might be surprised at what you realize
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4 C's of Mortgage Lending
June 10th, 2009
Categories:Home Buyer Education
Although specific guidelines can vary from one loan program to another, there are four basic principles evaluated for each homebuyer. These are referred to as
the 4C’s of mortgage lending: Capacity, Capital, Credit and Collateral.
Capacity -
The ability to repay your loan based on your employment and income history. Your lender will look at the amount and stability of your income. Housing costs including property taxes, homeowners insurance, mortgage insurance in some cases and homeowners association dues should be approximately 29% of your gross income.
Types of income that are considered will include: Read the rest of this entry »
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5 Best Questions Asked When Buying a New Home
April 15th, 2009
Categories:Home Buyer Education
Buying a brand new home from a home builder can be a very different experience than buying a resale home. Here are some of the best questions home buyers ask when it comes to buying/building a new home.
1. What good is a Realtor when buying a new home?
Unfortunately, most Realtors have the tendency to get their client under contract with a home builder and then they disappear until its time to close (and in reality, the builders prefer it that way). A good Realtor will keep in touch with you and the home builder for construction updates and keep an eye on the community as it develops. When building a home from scratch, a good Realtor will advise you on Read the rest of this entry »
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