Talking Real Estate with Hope Leitner

Think that it's not possible to buy a house with rising interest rates? Think twice! Plus, Inheritance is one way people enter the Real Estate market. But inheritance can be tricky when siblings are involved.  This newsletter has some insight into both of these topics.

I love hearing from everyone on this email list. I am here to support you whatever your real estate needs might be.  

 

Ponder This- "Acknowledging the good that you already have in your life is the foundation for all abundance," Eckhart Tolle - Before we can yearn for more - we need to be happy with everything we already have. I’m very grateful for my family, friends, and clients. Thank you! 

 

As always, I am here for you, your family, and friends.

 

Hope Leitner, CRS,

CalDRE #01874321

Hope Opens Doors

HOMEOWNERS, HOME BUYERS, DIY, TRENDS

 

Get Ready to Buy a Home in 2023

 

Inflation, home prices and interest rates were higher in 2022 than they’ve been in years, but if you’re planning to become a homeowner in 2023, you’ve got time to improve your buying power.

 

TheMortgageReports.com recommends talking to a mortgage lender, even if you aren’t ready to buy until later in the year. They can “review all aspects of your financial picture” and help you find sources for a down payment, help you raise your credit score to improve your future borrowing rate and help you find ways to reduce your existing debt without triggering costly inquiries into your credit history. Most important, they can help you understand the differences between conventional (Fannie Mae, Freddie Mac) and government-guaranteed (FHA, VA, USDA) loan programs and help you choose the right loan so you can work toward qualifying for the most favorable terms.

 

Your goal for the near term is to save as much as possible toward a down payment. With VA or USDA loans, no down payment is required, but for other loans, you’ll need at least 3.5% of the purchase price of the home you plan to buy as a down payment. At the same time, you want to pay down debts, beginning with the least expensive credit card balances to improve your credit scores. Don’t close any accounts, or incur new debt. Keep your revolving loan balances to 30% or below your credit limits. The higher your credit score, the more loan options are available to you.

 

 

HOMEOWNERS, HOMEBUYERS, HOME SELLERS, MAINTENANCE

 

Inheriting a Home with Siblings

 

You and your siblings are notified by the executor of an estate that you’ve jointly inherited a house. According to TrustandWill.com, the executor provides the probate court with a death certificate, trust documents, the estate plan and inventory of the estate’s assets and debts.

 

Have a meeting with the other inheritors and determine a course of action. Unless otherwise stated in the will, each of you should have an equal share as well as an equal share of any debts, such as a mortgage, utilities and maintenance. You can contact the property insurer to see if the policy can be put in one of your names.

 

Inheritancefunding.com recommends getting a title check to make sure the property has no outstanding liens. Then, plan to visit the property to inspect it for damage, deferred maintenance, and water or gas leaks.

 

The property’s location, condition, and value as well as the estate’s debts can help you decide whether you and your siblings keep the home, sell it, rent it, or occupy the property. If there’s a mortgage, you can keep making the payments, refinance to a lower interest rate, let it go to foreclosure, or sell the property and split the profits.

 

If one sibling wants to sell while another wants to retain the property, one can sell their interest in the home to the other heir using a private arrangement or a loan from an inheritance funding company. If the siblings can’t reach agreement, the executor notifies the court to arrange the sale of the property.