Stacey-Ann's Blog

Today is the 3rd Annual Angie Houtz Memorial Golf Tournament.  This is one of the most nerve wracking mornings for me because I am constantly running through everything to make sure I did not forget anything major.  The charity is near and dear to my heart since it honors my best friend and I want the event to be a huge success.

The one thing I can't control, the weather, looks good - partly cloudy and highs in the upper 70s.  Great day for golf.

If you are in the Upper Marlboro area there's still time to play in the tournament, drop off a donation, or just come by to say hi and visit.

Tee off is at 1:00pm at the Oak Creek Club in Upper Marlboro, MD.

Of course, if you are not nearby, there is always time to mail in your tax deductible donation or donate online.

Wish me luck!

I am sick this week.  it's been a long time since I've felt so horrible  For days my throat was on fire and my ears hurt, then I had the runny eyes and the sneezing. Of all the weeks I didn't have time to be sick, I have my charity golf tournament tomorrow. I went to the doctor and she said it was allergies.  

I have always known that I am allergic to mold.  However, I have been in and out of these houses with mold all Summer with no problem.  It seems, though, that in the Fall there are so many mold spores present in general that I can't shake it off as easily.  This weekend I went into several homes, most of which had mold (only 1 disclosed this in the listing), and its been steadily downhill for me since.

What do I do about this?  Clearly, I can't refuse to show vacant homes, I don't want to find another job, oh no! maybe I need to wear a mask.  I'm too cute for a mask....there has to be another solution.  

Suggestions?

There are funds available to help first-time home buyers purchase a home in Prince George's County.  These funds are in the form of 0% interest deferred loans that can be used towards down payment or closing costs on the purchase of a home.  

The requirements of the program include:

• Purchase of a vacant foreclosed home
• Home must be located in an eligible zip code
• Purchaser must be a first-time home buyer or not have owned a home in the past 3 years
• Household income at or below 120% of the median household income for the area
• Work with a participating lender and complete a home buyer counseling course
• Most stay in the home for 10 years to avoid loan repayment

I am amazed to think that it has already been 8 years since that horrible day.  Day to day the crushing pain has lessened but the sense that something is missing from my life never goes away.  I still see things and think "Angie would like that" or hear a song that makes me think of her or remember a memory that only she and I share.  The hole that her death has left in my life will never be filled.  

One of the hardest parts of her loss for me is that fact that my children will never know her for themselves.  Of course they know her through my eyes but they have lost so much by not having her as the incredible "aunt" that she would have been.

One of the comforts was knowing that she died doing something she loved.  She took such pride in her job at the Pentagon and we have learned how important her presence was to her co-workers.  She had achieved so much and touched so many lives in her brief 27 years here with us.  

Angie was (and still is) one of the best things in my life.  She taught me incredible lessons about friendship, love, and acceptance.  I miss her more than words can say.

Angie Houtz Memorial Fund

Pentagon Memorial - A Must See

7 years later

Any home over $80,000 qualifies for the full tax credit. Homes under $80,000 qualify for a credit of 10% of the purchase price (E.G. $65,000 home qualifies for a $6500 tax credit).

To qualify for the credit the purchaser & the purchaser's spouse must be first-time home buyers.

Any single person who makes less than $75,000/per year ($150,000 for a married couple) qualifies for the full credit.  The credit phases out at higher income levels.

The tax credit does not need to be repaid provided the buyer does not sell the home within 3 years.

Though there was much talk, this tax credit cannot currently be used as a downpayment.

The 2009 $8000 tax credit expires on December 1, 2009. To qualify for the credit the real estate transaction must go to closing prior to the December 1 deadline.

Part 1:  Contact a mortgage broker.

Part 2:  Determine a budget.  

Part 3:  Decide what features you want in your home.  

Part 4:  Looking at homes. 

Part 5:  The Offer.  

Part 6:  The Home Inspection & Other Contingencies.  

Part 7

The Closing

Finally we have made it to the end.  This is the most exciting part.  At the end of this step you will be the proud owner of your new home.  The closing process is very important because this is where you will sign papers taking over ownership of the home and assuming the financial liability of the mortgage.

The closing company ensures that there is a clear title to be delivered to the buyer - this means that all liens against the property have been satisfied.

The closing company will also provide you with a HUD-1 which is the form that breaks down all the costs associated with the mortgage and the closing costs.  This is the form that will let you know exactly how much money you must have present to complete the transaction. Each closing company has different rules about how the funds can be presented.  It is important to review this form very carefully to ensure that it is accurate.

If you are ready start the home buying process give me a call!

Part 1:  Contact a mortgage broker.  

Part 5:  The Offer.  

Part 6

The Home Inspection & Other Contingencies

Inspections

The Home Inspection is a critical part of the home buying process.  I advice EVERY client to get a home inspection.  Usually these contingencies are between 7 and 10 days from the date of offer acceptance.  It is important to make arrangements to attend your home inspection.  A good inspector will use this time to educate you on your potential new home.  The home inspector will do a visual inspection of the roof, the heating & cooling systems, the foundation, walls, appliances, and often will check for mold.  After the inspection, the inspector will provide a report telling you what needs to be fixed on the home and what might be maintenance issues in the future.  Your real estate agent and you will then negotiate with the seller to get some or all of the items fixed.  If the home is listed as an AS-IS property the seller may not fix any items but you can decide whether the repair issues are ones you want to tackle.  The home inspector may also conduct a termite inspection.

Other inspections that may be requested include environmental inspections, well certification, and a septic evaluation.

Financing Contingency

Most contracts are contingent on the buyer obtaining the financing as expected.  It is important to make the formal application for the loan as soon as possible and provide the loan officer with all necessary documentation.

Appraisal Contingency

The ability to get the mortgage is contingent on the home being able to appraise for the purchase price.  This can be a huge problem in our current market as many homes do not appraise for as much as sellers want to sell them for.  If the appraisal comes back under the purchase price the seller must usually decide whether they are willing to lower the asking price of the home.

Read Step 7:  The Closing

If you are ready to start the home buying process, give me a call! 

Part 1:  Contact a mortgage broker. 

Part 2:  Determine a budget. 

Part 3:  Decide what features you want in your home. 

Part 4:  Looking at homes. 

Part 5

The Offer

Now you've finally found the home of your dreams and you are ready to make an offer.  This is the part where your agent will be really essential.  First of all, it's important for the agent to look at all the comparative sales in the area.  This will help you determine what you want to offer for the home.  At this point you need to determine not just the offering price but also whether you want to request seller credit for closing costs, etc. 

The other thing you need to determine is what contingencies are going to be placed on the offer.  I ALWAYS recommend a buyer have a home inspection contingency.  Even if the home is listed, as-is, it is still important for the buyer to know what they are getting and to be able to have the option to walk away from the home.  Depending on the situation there may be other contingencies that need to be included.  These might include sale of previous home, mold inspection, lead based paint inspection, well, sewer, and septic inspections, as well as appraisal & financing contingencies.

During the offer, you will also need to determine when you want the settlement date to be.  Your lender will give good guidance as to how long he/she needs to complete the loan.  Related to this, it is the buyer's responsibility to choose a settlement company.  Your real estate agent or your lender can provide referrals for trusted settlement companies.

To make your offer attractive to the selller, it is important to include a pre-approval letter from your lender.  Many lenders will provide a generic pre-approval letter with a maximum amount you can spend.  I prefer to have the letter tailored to each property.  This is especially true if your pre-approval amount is much higher than the amount you are offering on a property.

The earnest money depost is a very important part of the offer.  This is the amount of money that you submit with the offer.  This indicates how serious you are about the offer.  The amount of your earnest money deposit is relative to the purchase price and can be determined with advice from your real estate agent.  It is important to note that this check WILL be cashed and held in escrow.  It will be applied to your down payment/closing costs at closing.

Part 6:  Home Inspection and Other Contingencies.

Part 7:  The Closing

If you are ready to start the home buying process give me a call! 

Part 1:  Contact a mortgage broker.  

Part 2:  Determine a Budget. 

Part 3:  What Features Do You Want in a Home.  

Part 4

Looking at Homes

When people think about home buying they automatically think about the home looking process.  This is an exciting time but it can also be very stressful.  If there are many homes on the market that meet your criteria it can be overwhelming.  

Be open minded about the homes you are planning to see.  Many homes look great online but not so great in person and vice versa.

Try to not see too many homes in one day.  Unless you are extremely time limited, it's difficult to see many homes in one day.  After awhile it will be difficult to even remember the distinct details of each home.

When I go out with a buyer I provide them with a summary of each home we are going to see.  I encourage every buyer to make notes about the homes seen and to immediately rate homes as possibilities or not.

Homes that make the short list should be visited a second time if possible.  When you have found a home that you think might be THE ONE, drive through the neighborhood at different times of the day, do a dry run to work or public transportation, look into the schools and the crime stats.  It's important that you check out all angles before making an offer, after all, this is likely to be the most expensive purchase you have made.

Do not let anyone rush you into making an offer on a home if you are not sure.

If you are ready to start the home buying process give me a call!

Part 5:  Making An Offer

Part 6:  The Home Inspection and Other Contingencies

Part 7:  The Closing

Part 1:  Contact a Mortgage Broker 

Part 2:  Determine a Budget  

Part 3

Decide What Features You Want in Your Home

Now that you know how much home you qualify for and how much you want to spend, it's time to start thinking about what you want in a home.  I think it's important to do this prior to beginning your home search.  There are several things that are important to consider:

Location - drive around in different neighborhoods and decide which areas you like and which you don't.  It's much harder to find your perfect home if you are looking in too wide a geoprahic area.

Home Style - this is a critical decision.  Are you looking for a condo, townhome, or a single family home.  Within that decision, there are floor plan preferences, etc to consider.  Also think about things like lot size and home maintenance.

Features - I always advice making a list of home features that you want.  Put your wants and needs into three categories:  Must haves, would likes, and definitely don't wants:

• The must haves are the deal breakers.  For example, when we were home shopping my husband absolutely wanted a basement and a garage and I wanted a master bedroom with 2 closets.  We therefore, did not even look at homes that were lacking these features. 
• The would likes are those features that you would enjoy having but you would be willing to live without.  In my own home search things like a fireplace and hardwood floors were on the list.  We did eventually end up in a home that had neither of those features. 
• The definitely don't wants are as important as the must haves.  These are the things that you absolutely do not want in a home you live in.  In my case again, some of my do not wants included a home on a main road, a fixer-upper, or a one-story home (I like stairs). 

Other things to consider before you start looking include pets, storage needs, accessibility to public transportation, schools, crime, time-frame for moving, etc.

The more you know about the home you want the easier it will be to find your perfect home.

Remember you must be realistic in your expectations for your home.  If you are able to spend $150,000 in an area where single family homes cost $300,000 then you may have to compromise and purchase a condo or a town-home.

Flexibility and communication with your agent are the key to helping the home search process go smoothly.

If you are ready to start your home search process, give me a call today!

Part 4:  Looking at Homes.

Part 5:  The Offer

Part 6:  The Home Inspection and Other Contingencies

Part 7:  The Closing