Homeownership is the American dream and has been since the formation of the nation. Unfortunately realizing that dream can be difficult and sometimes it is not even the smartest option. Every year, many Americans ask themselves the important question, Should I continue to rent or should I buy a home?  If you are also considering the feasibility of buying a home compared with the benefits of renting, take a look at the following guidelines to make the best decision for your situation. Credit Score Whether or not you should buy right now may heavily depend on the health of your credit report.  If your score is low due to a poor repayment history, lots of debt, or other issues, you may want to consider renting while you repair your credit.  Trying to get a home loan with bad credit will me... 03/30/2009

Some people are very successful at selling their home "by owner".  They have knowledge of key marketing strategies, how to best show their home, and they possess a good understanding of contracts.  They are versed in negotiation tactics, but most of all, they are aware of the current market in their area and have priced their home appropriately.  They realize the majority of homes on the market today are sold through an agency and they are aware that potential buyers might expect them to sell for less that market value because they will not be paying an agency commission.  On the other hand, listing your home with a Realtor means that upon the sale, you pay a commission to the agencies involved out of your proceeds.  This commission is negotiable.  The advantages, however, might just be... 03/21/2009

One of the most often used marketing tricks that Listing agents use to attract home buyers is a Buyer Agent Commission (BAC) that is larger than what is generally offered.  Generally speaking most home sellers offer a commission of 6 percent to the agents that assist to sell their homes.  Half of the commission or 3 percent goes to the agent that listed the home for sale.  The other 3 percent goes to the agent who represents the buyer in the transaction.  By offering an inflated BAC, the listing agent is hoping that the agent representing the buyer will show their home before the home that only has a 3 percent commission. Home Buyers Beware Home buyers need to understand that sometimes their agent may be motivated to show them a home with a larger BAC, only because of the larger commiss... 03/19/2009

Showing your home is probably the most important part of the selling process.  Consider the following carefully as you prepare your home for viewing. •·         First impressions mean a lot and often prospective buyers make a decision almost immediately. •·         Curb appeal is important since many buyers search by themselves and then call their Realtor about property they have only seen from the street. •·         Fresh paint on your house's exterior and interior is one of the easiest and best improvements you can make to enhance that first impression. It makes your house look bright and clean. If you paint, use whites, creams, or neutral colors on the interior and exterior colors that will blend with the neighborhood. If you don't paint everything, at least paint the places that nee... 03/17/2009

Utah County Bank Owned Properties                 Utah County Short Sale Properties The time to consider a Short Sale is when your Mortgage is considered to be in default, one or more payments have been missed.  There are a number of solutions available to remedy the situation: •·         Short Sale/Payoff •·         Forbearance agreement •·         Loan Modification •·         Deed in Lieu of Foreclosure A Short Sale occurs when a borrower sells their property for an amount that is less than the amount owed to the lender.  To qualify for assistance the borrower needs to prove that they are experiencing a substantial financial hardship.  A hardship is a situation that has life changing effect for the borrower that results in an in-ability to pay the mortgage debt in either, short or lon... 03/16/2009

When it comes time to purchase a new home there is nothing more important than having Good Credit.  The first thing a lender will do is review your credit report.  The credit report is a history of money you have borrowed in the past and how you have repaid those debts.  It contains a list of debts such as credit cards, car loans, and other loans.  It also contains other public records such as liens or bankruptcies.  Your credit report is constantly being updated and most of the information is deleted from you record after 7 years (10 years for bankruptcies). This credit information is then used to help generate a computer driven number that indicates your risk to lenders.  This is what is called your Credit Score. No Credit? It is very important to establish some kind of credit long be... 03/10/2009

Short Sale options With the present Real Estate market in turmoil and many home owners are having a hard time trying to sell their home, because they owe more than it is worth.  I keep getting the question from my buyers about what is a Short Sale and how does it work?  Well I will try and address that question here.  I hope I am accurate, I am sure I will hear about it if I am not. What is a Short Sale? A Short Sale occurs when a property sells for a price that is insufficient to pay back the loans secured by the property (or any other liens against the property, such as delinquent property taxes, Homeowners/Condominium Association fees, etc.), as well as standard sales closing costs.  In order to complete such a sale, the Seller must either: Come to the closing with sufficient cash fr... 03/03/2009

By: Robert A. Hulme - Realtor - Loan Officer -Utah County, Including Provo, Orem, Pleasant Grove, American Fork, Lehi, Highland, Alpine and Cedar Hills, Eagle Mountain, Payson, Saratoga Springs, Spanish Fork, , Springville, Mortgage Xpress, Agent The final step in the purchase process prior to closing is the Final Walk through Inspection.  Every home buyer should revisit the property to ensure it is in the condition you required in your offer, and to inspect that any required repairs have been performed.  Final inspection should be no sooner than five days before you intend to close.  Make sure this right to do a final inspection is included in your offer to purchase. Search Utah MLS 02/24/2009

By: Robert A. Hulme - Realtor - Loan Officer -Utah County, Including Provo, Orem, Pleasant Grove, American Fork, Lehi, Highland, Alpine and Cedar Hills, Eagle Mountain, Payson, Saratoga Springs, Spanish Fork, Springville, Mortgage Xpress, Agent There are many factors to consider when you are trying to determine what price to offer for a new home.  Gathering and analyzing information form comparable sales helps to establish the range of prices you should consider.  More weight should be given to the most recent sales of like properties in the local area.  Other factors to consider include condition of the property, improvements, the current market, and the circumstances behind the seller's decision to sell. Search Utah MLS 02/22/2009

By: Robert A. Hulme - Realtor - Loan Officer -Utah County, Including Provo, Orem, Pleasant Grove, American Fork, Lehi, Highland, Alpine and Cedar Hills, Eagle Mountain, Payson, Saratoga Springs, Spanish Fork, Springville, Mortgage Xpress, Agent The Real Estate transaction is considered "closed" once the deeds have been recorded with the County.  You then own the home.  However, it is not always possible for you to occupy it immediately.  It is customary to allow the seller up to a maximum of three days to turn over actual possession and keys to the home. When the transfer of possession actually occurs should be clearly laid out in your offer to purchase to prevent confusion later. 02/21/2009

By: Robert A. Hulme - Realtor - Loan Officer -Utah County, Including Provo, Orem, Pleasant Grove, American Fork, Lehi, Highland, Alpine and Cedar Hills, Eagle Mountain, Payson, Saratoga Springs, Spanish Fork, Springville, Mortgage Xpress, Agent In today's Housing market many Sellers have had to use their imagination to try and sell their homes.  One of the programs that is starting to be used more often is that of Seller Financing.  The way this can be used is to "carry back" a second mortgage to help facilitate the purchase of the home.  This can happen when the seller does not need all the proceeds from their sale in order to purchase their next home. The advantage to the buyer is that by combining the down payment and the second mortgage from the seller, you may be able to avoid payi... 02/18/2009

By: Robert A. Hulme - Realtor - Loan Officer -Utah County, Including Provo, Orem, Pleasant Grove, American Fork, Lehi, Highland, Alpine and Cedar Hills, Eagle Mountain, Payson, Saratoga Springs, Spanish Fork, Springville, Mortgage Xpress, Agent With the Housing Market taking a tumble recently, the fact that Homeownership is still one of the best investments goes unnoticed.  Income tax deductions basically allow for the Federal government to subsidize the purchase of your home.  All of the interest and property taxes you pay in a given year can be deducted from your gross income to reduce your taxable income. Property taxes are also deductible.  Whatever property taxes you pay in a given year may also be deducted from your gross income, lowering your tax obligation.  Remember to consult ... 02/12/2009

By: Robert A. Hulme - Realtor - Loan Officer -Utah County, Including Provo, Orem, Pleasant Grove, American Fork, Lehi, Highland, Alpine and Cedar Hills, Eagle Mountain, Payson, Saratoga Springs, Spanish Fork, Springville, Mortgage Xpress, Agent Some people are very successful at selling their home "by owner".  They have knowledge of key marketing strategies, how to best show their home, and they possess a good understanding of contracts.  They are versed in negotiation tactics, but most of all, they are aware of the current market in their area and have priced their home appropriately.  They realize the majority of homes on the market today are sold through an agency and they are aware that potential buyers might expect them to sell for less that market value because they will not be pa... 02/09/2009

By: Robert A. Hulme - Realtor - Loan Officer -Utah County, Including Provo, Orem, Pleasant Grove, American Fork, Lehi, Highland, Alpine and Cedar Hills, Eagle Mountain, Payson, Saratoga Springs, Spanish Fork, Springville, Mortgage Xpress, Agent Origination points are a fee paid to the originating lender which is part of the profit margin for the services that they provide.  Both are measured as a percentage of the loan amount and both are factored into the loans APR.  Generally, points are deductible as long as the seller didn't pay for them and origination fees are tax deductible provided they are expressed as a percentage. Discount points enable you to lower your loans interest rate.  They are basically prepaid interest, with each point equaling 1 % of the total loan amount.  When yo... 02/05/2009

We need Positive Price Action to confirm market bottom.  One month of price improve isn't sufficient to confirm the market bottom.  We need to see appreciation month over month for three months. PRICE ACTION                    Other good signs in addition to positive price action is lower DOM (days of the market), lower new listings and higher percent of new listings being SOLD.     This is NOT a good time for those with low and/or no risk tolerance to purchase.  A strong case can be made that those who are looking for a home for their family with plans to stay long term.  Why not buy now?  Especially if the numbers make sense, i.e. Owning vs. Renting.  Even, if the market retracts more (which is extremely likely) in the future.  Between the coming market bounce and future normal cycle ... 02/03/2009

By: Robert A. Hulme - Realtor - Loan Officer -Utah County, Including Provo, Orem, Pleasant Grove, American Fork, Lehi, Highland, Alpine and Cedar Hills, Eagle Mountain, Payson, Saratoga Springs, Spanish Fork, Springville, Mortgage Xpress, Agent The time has come to start shopping for a home to purchase.  The first thing that you should do is to get pre-qualified for a home loan.  It is very important to understand what your price range is prior to looking so you don't waste time looking at properties that are out of your price range. Where do you begin? Most Realtors work with a trusted network of Mortgage professionals, who can assist you in getting pre-approved for a loan so that you can comfortably begin looking at homes with the assurance that you can obtain the proper financing. Ge... 01/23/2009

By:  Robert A. Hulme - Realtor - Loan Officer As of 1994, the state of Utah authorized Buyer's Agency.  In Utah County, and throughout the state, buyers can choose an agent to work exclusively on their behalf.  Buyer agency benefits include: •         Buyer's agents are almost always paid out of the proceeds of the sale by the seller or builder, so we always recommend using a Realtor, as it will cost you nothing extra. •         Many people do not realize that it is advantageous to have an agent on a new home purchase as well.  I have gone to bat for my clients on a number of occasions when there were problems with home builders.  Salespeople who work for the builder are usually very ethical they are also employees of the builder and are bound by their relationship to their employer.  T... 01/20/2009

By:  Robert A. Hulme - Realtor - Loan Officer Are you a present Home Buyer Candidate?  How you been waiting for the perfect time to buy a home?  Well your time is now, at no other time in recent memory has the real estate market been at a point where you had nothing to lose, and everything to gain.  As a full-time Home Buyer Representative, I too like this kind of Home Buyer market.  There are so many opportunities out there for my clients that I feel like a little kid in a candy store. A Home Buyer market comes at a time when the supply of homes for sale exceeds the demand to buy those homes.  The Home Buyer market can be a great opportunity to not only negotiate the price of a new home you want to buy, but it can also be a time for great interest rates, inspection costs, and closing c... 01/07/2009

We need Positive Price Action to confirm market bottom.  One month of price improve isn't sufficient to confirm the market bottom.  We need to see appreciation month over month for three months. PRICE ACTION   Other good signs in addition to positive price action is lower DOM (days of the market), lower new listings and higher percent of new listings being SOLD.  On a year over year, YTD comparison currently (18.83)% of new listings are being sold.         SUMMARY  Currently we are not seeing the needed positive price action (along with other indictors) to confirm a market bottom.  This is NOT a good time for conservative buyers to purchase.  High risk tolerant investors and speculators are doing some bottom fishing. For more details or just to chat about market conditions please feel f... 01/06/2009

By:  Robert A. Hulme - Loan Officer - Realtor Stated Income Loans have become fairly obsolete in recent months.  Due to the present situation in the Mortgage market, lenders have taken a closer look at getting as much information about the applicant as possible.  Stated Income loans allow the borrower to simply state their income on a mortgage application instead of having verification.  Stated Income loans were originally established to help the self-employed borrower obtain financing.  Many time the stated income loan has been referred to as, liars loan, mainly because many borrowers stated what they only needed to qualify for the loan. Stated Income loans can still be obtained although the process is much more difficult that in recent year.  The applicant's credit score must be nearl... 12/23/2008