Potential Home Buyers: How Much Can You Afford To Spend?

 Having a finger on the pulse of how much your household brings in each month and also how much money flows out in that time period will be what helps you to understand which price range you should be shopping within.

One helpful tool that can get you on the right track is the Homebuying Calculator from MSN Money. By filling out the fields required on this calculator as accurately as possible, you’ll be given a solid estimate of how much money you can put toward a house.

One area that remains hazy on this calculator, however, is the “Other monthly obligations” item. Here’s a sample of what these items might include:

• Student loan payments
• Healthcare/gym costs
• Monthly utility bills
• Your household’s entertainment and recreation budget
• Food budget
• Clothing budget
• Savings budget
• Transportation budget

In addition, first-time homeowners must realize that it costs a lot to get a home up and running. Items you may want or need to invest in include:

• Furniture
• Large appliances — washer, dishwasher, refrigerator, etc.
• Furnishings and home accessories — lighting, dishes and cookware, window dressings, rugs, etc.
• Outdoor items — lawn mower, ladder, outdoor furniture, etc.

Tally up the amount allotted to all these items — as well as any other areas where you have payment commitments — to get the best estimate possible for your home-buying budget.

Once you’ve squared away how much you can afford and are ready to begin shopping for a home, contact me to get the ball rolling on your home search!

Tips For Buyers In A Seller’s Market

The real estate market in Central Indiana has settled firmly into seller’s market territory.
 

The newest report from the Metropolitan Indianapolis Board of REALTORS notes the increased activity on the housing market is creating somewhat of a frenzy, with “buyers eager for available properties compet(ing) like they haven’t in years.”

For sellers, this is a great thing.

But for buyers, it might take a bit more effort than in the previous few years to land the home you’re longing for. Here are a few tips to help buyers compete in this seller’s market:

1. Know What You’re Looking For. Determine your needs and your wants in a potential home, all before you’ve even started looking. This way, the moment new homes come on the market, you (and your agent) will know which ones are up for consideration and which ones aren’t worth pursuing, all based on your predetermined parameters.
2. Get Financing Squared Away. Plain and simple: Unless you plan to pay with cash, get preapproved for a loan. Otherwise, you’ll get left in the dust by buyers who have proof that they have the means to purchase the home in question, all while you’re still working to get finances squared away. Money talks; give sellers your word with a loan preapproval.
3. Prepare Yourself For A Bidding War. Be prepared to be outbid by other buyers competing for the same home. You can combat this issue by shopping for homes below your price range; in the case that a bidding war ensues, you’ll be able to up your offer and still stay within your budget. Note that if you’re only shopping for homes at the top of your price range, you’ll need to mentally prepare yourself for disappointment if you can’t keep up with higher offers from competing buyers.
4. Be Prepared To Make Decisions Quickly. In this market, homes change hands in short order. If you’re serious about a particular property, be ready to make decisions regarding purchase quickly. Tarry, and the home will likely get picked up by someone else in no time.

If you or someone you know is planning to buy or put their home on the market, contact me today, so I can get you started on this process.  Homes are moving fast and it's a great time to be a seller. 

Wood Deck Maintenance Checklist

What could be more perfect than a nice spring evening spent sitting out on the deck, enjoying the fresh air? That experience is pretty tough to beat; however, in order to get the most of it, it’s a must to complete routine spring deck maintenance.

Be sure to check the following items off your list this season:

Inspect your deck. Hire a deck professional to check things out, or do the legwork yourself. Things to look for:

• Rot — check the surface, the steps, the areas where the deck attaches to your home and the underside of the deck
• Loose nails
• Loose boards
• Split wood/splintered areas
• Debris
• Moss and algae

Clean the deck. First, sweep off the deck to remove any dry debris. Then use a commercial deck cleaner, along with a power washer, to move any remaining dirt and debris. Follow the manufacturers’ instructions for both the commercial cleaner and the power washer. Allow to the wood to dry before moving on to the next step.

Make repairs. Whether hiring a contractor or doing it yourself, be sure to make necessary repairs to problem areas found in the deck inspection. Replace loose nails, repair loose or splintered boards, address any rot, remove debris, etc.

Restain and reseal. After making necessary repairs, keep your deck in its best condition — and preserve its looks — by restaining it and coating with a waterproof/UV-proof sealant.
With these simple maintenance steps, your deck will be enjoyable both now and for years to come!

And for those house-hunters looking for a new home with a new deck this spring, be sure to contact me, I would love to help you find a new home!

Homeownership....Dream or Reality?

Homeownership...for years we have been told it is the American Dream. And for many people it may be in fact just that, a dream. 

If you are one of the many people in Central Indiana who struggle with credit issues or have good credit but are unable to secure down payment funds owning your own home could seem like just a dream.  Working to repair credit or save funds for a down payment could be such a daunting task that you choose to give up on the dream. 

Maybe you are one of the many who have concerns and fears about what all is involved in homeownership and wonder if it is really for you.

Let me tell you that help could be just a phone call away.

The Indianapolis Neighborhood Housing Partnership is a non-profit organization that empowers people in Indianapolis and Central Indiana to be able to realize this dream.  INHP offers a variety of programs designed to help individuals and families in the Indianapolis Metro area to become successful homeowners.

With serivces ranging from credit counseling and one-on-one advising to homebuyer & homeowner education courses to mortgage lending, INHP goals are to make buyers credit worthy, get buyers qualified to purchase and eliminate homebuyer fears.

According to advisors at INHP, the typical timeframe for clients to repair their credit is 10-12 months although some individuals may take a longer time period.  During this time, advisors will meet with the clients on a regular basis to help them develop a personal work plan to achieve their goals, support and guide the client in removing credit barriers and establish a savings plan.  When the client is credit worthy, INHP will make recommendations as to the various loan options that best fit the needs of the client depending on the client's specific set of circumstances.

The Indianapolis Neighborhood Housing Partnership works with a variety of programs such as Habitat for Humanity, the Intercultural Homeownership Preparation Program and Section 8 to Homeownership.  INHP also provides a variety of mortgage options such as their lender referral progam and their Partnership Loan Program which carries no PMI with a minimum 580 credit score requirement as well as a low down payment.

If you would like more information about how INHP can benefit you please contact me or visit their website.