Hope Leitner, Realtor®, CRS

Taking the Fear Out of the Mortgage Process A considerable number of potential buyers shy away from the real estate market because they’re uncertain about the buying process – particularly when it comes to qualifying for a mortgage. For many, the mortgage process can be scary, but it doesn’t have to be!   In order to qualify in today’s market, you’ll need a down payment  (the average down payment on all loans last year was 5%, with many buyers putting down 3% or less) , a stable income, and a good credit history. Once you’re ready to apply, here are 5 easy steps  Freddie Mac   suggests  to follow: Find out your current credit history and credit score – Even if you don’t have perfect credit, you may already qualify for a loan. The average FICO Score® for all closed loans in September was 737, according to  Ellie Mae. Start gathering all of your documentation – This includes income verification (such as W-2 forms or tax returns...

You may have noticed that REALTORS® seem to always think now is a good time to buy and they can usually justify it with solid reasoning.   While it can be true in general, a good time to buy has more to do with the individual than anything else.   There are four things to consider. It is a good time to buy a home when you have good credit.   Since the Great Recession and the housing crisis, lenders have been required to be sure that the borrowers have good credit.   This actually benefits not only the lenders but the borrowers because no one wants to buy something that they cannot afford and run the risk of losing it to foreclosure.   FHA has the most lenient FICO credit score of 580+.   VA requires a little higher at 620 while Fannie Mae guidelines on conventional mortgages require a 700 score. It is a good time to buy a home when you have a good job that gives you the income to qualify for the mortgage and the likelihood that you'll continue to be...

Buying a home can be SCARY…Until you know the FACTS Some Highlights: Many potential homebuyers believe they need a 20% down payment and a 780 FICO® score to qualify to buy a home. This stops many people from even trying to jump into homeownership! Here are some facts to help take the fear out of the process: 71% of buyers who purchased homes have put down less than 20%. 78.1% of loan applications were approved last month. In September, the average credit score for approved loans was 737.

5 Tips for Starting Your Home Search In today’s market, low inventory dominates the conversation in many areas of the country. It can often be frustrating to be a first-time homebuyer if you aren’t prepared. Here are five tips from realtor.com ’s article , “How to Find Your Dream Home—Without Losing Your Mind.” 1. Get Pre-Approved for a Mortgage Before You Start Your Search One way to show you’re serious about buying your dream home is to get pre-qualified or pre-approved for a mortgage. Even if you’re in a market that is not as competitive, understanding your budget will give you the confidence of knowing whether or not your dream home is within your reach. This will help you avoid the disappointment of falling in love with a home well outside your price range. 2. Know the Difference Between Your ‘Must-Haves’ and ‘Would-Like-To-Haves’ Do you really need that farmhouse sink in the kitchen to be happy with your home choice? Would a two-car garage be a con...

3 Reasons This is NOT the 2008 Real Estate Market No one knows for sure when the next recession will occur. What is known, however, is that the upcoming economic slowdown will not be caused by a housing market crash, as was the case in 2008. There are those who disagree and are comparing today’s real estate market to the market in 2005-2006, which preceded the crash. In many ways, however, the market is very different now. Here are three suppositions being put forward by some, and why they don’t hold up. SUPPOSITION #1 A critical warning sign last time was the surging gap between the growth in home prices and household income. Today, home values have also outpaced wage gains. As in 2006, a lack of affordability will kill the market. Counterpoint The “gap” between wages and home price growth has existed since 2012. If that is a sign of a recession, why didn’t we have one sometime in the last seven years? Also, a buyer’s purchasing power is MUCH GREATER ...