Importance of Home Ownership

If men are to be the leaders of their family and their community, then having a vested interest in the community is important - owning a home is a vital piece of the puzzle toward responsibility.

Fred Villa - RE/MAX real estate agent

What is the “right” home?

Lending Agent is going to be looking at:

1. Income
2. Debt
3. Cash on hand
4. Credit scores

Finding the “right” home includes considerations like…

1. Finding the right price point (what can you afford?)
2. Location, location, location (where do you want to be - city, rural, schools, family, job, neighborhood, etc)
3. What type/size house feels right to you?
4. What amenities do you have to have - pool, square footage, number of bedrooms, one story or two, etc…)

How can you improve your credit score?

1. Start by establishing solid credit - finance a few things and make sure you pay off your bills!
2. Couple of years to repair bad credit - talk to a solid lender to see what they’re looking at…

Home ownership = “building equity”

Why would you buy a home…when would you buy a home?

1. See if you’re in the right place - are you wanting to stay there for a while?
2. Take some time to see where you want to be in that community
3. Remember that if you’re renting, you’re not going to want to spend money improving a home and making it “yours” - you may not have the right to make significant changes and you won’t be able to recoup those expenses when you leave
4. Make a financial plan to save enough money to purchase a home
5. Home ownership gives you an opportunity to make connections with people, neighbors - building community, investing not just in yourself, but in the well-being of others!

Do I need a real estate agent?

1. A real estate agent will help you understand the market from an objective point of view, can pull comps (comparable selling prices to consider)
2. A real estate agent will help you understand the value of certain expenditures - where should you invest in your home, will you get some of that money back if and when you sell?
3. Buyers - do not pay a real estate agent! Seller agrees to pay a commission between a selling and a buying agent.
4. A real estate agent has great connections to inspectors, repair companies and individuals, etc.

What are the “red flags” that you should pay attention to when purchasing a home?

1. Homes that back up to RR tracks, power lines, major highways, etc. - things that you can’t change and 80% of the people are bothered by these things
2. Look at the home, location, traffic at different times, different days…
3. Consider the homes around - are the neighbors keeping up their properties?

20% down rule? No, not everyone needs to have 20% down!

Understand the difference between a “buyers” market and a “sellers” market.

Interest rates affect the amount of home you can purchase with the same amount of money! Better credit will get you better interest rates!

Ready to buy a home - DON’T call the person’s name on the “For Sale” sign - their interest is in selling the home, not helping you buy the home!