Blog - Leagan Realty

3 Things You Need to Consider Before Buying That Fixer-Upper Home

August 31, 2022 by Lisa Eagan

3 Things You Need to Consider Before Buying That Fixer-upper Home

What Will It Cost?

If you’re going into a home expecting a few renovations costs, a minor detail here or there may not add up to much. However, if you’re not interested in spending the big bucks on making changes, you’ll want to estimate an approximate amount of how much the renovations you don’t want to live without will amount to. By including all the necessary labor and materials, you’ll be able to determine if the price-point of your offer will be worth it. Keep in mind that if there are any serious issues with the house, it may not be worth your while to consider the purchase at all.

Will Renovations Increase The Value?

In the event that you’re buying a home for its investment value, it’s going to be particularly important to consider if the renovations required will actually increase its market value. While adding another bedroom or upgrading a bathroom may not add significantly to a home’s overall price, certain more inexpensive improvements like painting, refinishing and new siding can actually add a lot to the look (and worth) of your home.

How Much Are You Willing To Take On?

It’s easy to think that you’re prepared to do the dirty work when faced with a fixer-upper, but getting down to brass tacks may not be so simple when the time comes. Before taking on a home that needs a lot of renovation, consider how much you’re willing to do so that you can determine if fixing it up will even be an economic boon after all the labor that may go into it. If you’re not a DIY kind of person, you may want to avoid a house that has a long list of repairs.

A fixer-upper can be tempting for those who want to invest or save on a home purchase, but you’ll want to carefully consider if it will be a good choice when it comes to selling time. If you’re currently perusing the market for a home, you may want to contact one of our real estate professionals for more information.

What To Know About Cleaning Vinyl Floors

August 30, 2022 by Lisa Eagan

What To Know About Cleaning Vinyl Floors There are a lot of people who enjoy having vinyl floors in their home because they are cost-effective, durable, and aesthetically pleasing. Even though they can take a significant amount of punishment, you still need to keep them clean if you want them to last as long as possible. Take a look at a few of the top tips you should follow if you want to clean your vinyl floors.

Quick Spills And Messes

First, you need to wipe up spills and stains quickly. If you let them sit, they could become permanent. You should start with some clean water, but try to use a solution that has been specifically designed for vinyl floors. You should also try to mop or vacuum the floors at least once per week, regardless of whether they look dirty or not. This is important for helping you maintain the appearance of your vinyl floors.

Tough Stains

If you have stains that will not come out, particularly those that come from acidic substances such as wine, you should use a mixture of baking soda and water. Rub the paste into the stain thoroughly, let it sit for a few minutes, and then see if the stain comes out when you wipe it up. If it still does not come off, you may want to use some rubbing alcohol to help you. Just make sure you use gloves during the process to protect your skin.

Vinyl Floor Maintenance

For routine maintenance, you don’t need to use any wax polish. All you need to do is mix a bit of baby oil with some vinegar and water. Use it to clean your vinyl floors from time to time, and you should maintain their resistance against dirt, dust, and other debris that would otherwise damage your floors.

Take Care Of Vinyl Floors

Ultimately, these are just a few of the most important tips you should follow if you want to take care of your vinyl floors. Vinyl floors are popular because of their versatility and durability, but if you want them to last as long as possible, you need to take care of them. Vinyl floors can contribute to the value of your home because of how popular they are, but you must make sure you take care of them if you want to maximize their value.

What’s Ahead For Mortgage Rates This Week – August 29, 2022

August 29, 2022 by Lisa Eagan

What's Ahead For Mortgage Rates This Week - August 29, 2022

Last week’s economic news included readings on pending home sales, new home sales, and readings on monthly and yearly inflation rates. Weekly readings on mortgage rates and jobless claims were also published along with the University of Michigan’s final monthly and year-over-year readings on consumer sentiment.

Commerce Department Reports Fewer New Homes Sold in July

Sales of new homes fell by 12.60 percent month-to-month and were 29.6 percent lower year-over-year in July. The Commerce Department reported a year-over-year sales pace of 511,000 new homes sold in July as compared with June’s revised pace of 585,000 new homes sold. June’s reading was revised from its original year-over-year pace of 590,000 new home sales and was the lowest pace of home sales reported since January 2016.

Fears of rapidly rising inflation and mortgage rates impacted would-be homebuyers as construction costs and labor shortages contributed to rising home prices. Pending home sales decreased by one percent in July as compared to June’s reading of -8.9 percent fewer pending sales reported in June.

Mortgage Rates Mixed, Jobless Claims Fall

Freddie Mac reported higher average rates for fixed-rate mortgages as the average rate for 5/1 adjustable rate mortgages fell. Rates for 30-year fixed mortgage rates averaged 5.53 percent and 42 basis points higher. Rates for 15-year fixed-rate mortgages averaged 4.85 percent and were 0.30 basis points higher. The average rate for 5/1 adjustable rate mortgages was three basis points lower at 4.36 percent; discount points averaged 0.80 percent for fixed-rate mortgages and 0.40 percent for 5/1 adjustable rate mortgages.

Initial jobless claims fell to 243,000 first-time claims filed as compared to the previous week’s reading of 245,000 initial claims filed.

Inflation readings for July showed the first decrease since April 2020 as the month-to-month reading decreased by 0.10 percent as compared to June’s month-to-month reading of a one-percent increase in inflation. The core personal consumption rate, which does not include food or fuel costs, rose by 0.10 percent as compared to the expected reading of 0.20 percent and June’s reading of 0.60 percent inflation.

Inflation rose by 6.30 percent year-over-year in July as compared to June’s year-over-year reading of 6.80 percent. Core inflation rose by 4.60 percent year-over-year in July as compared to June’s reading of 4.80 percent. Decreasing inflationary growth suggests that relief may be on the way for consumers.

What’s Next

This week’s scheduled economic reporting includes readings on home prices, construction spending, public and private-sector job growth, and the national unemployment rate. Weekly readings on mortgage rates and jobless claims will also be released.

Hosting an Open House? Use These Staging Tips to Make Your House Feel Like a Model Home

August 26, 2022 by Lisa Eagan

Hosting an Open House? Use These Staging Tips to Make Your House Feel Like a Model Home Are you selling your home? If so, you’re going to have to host an open house at some point. In today’s blog post we’ll explore a few staging tips that make your house feel like a model home.

Make A Solid First Impression

Start with the front of the home and give a great first impression. Have the sidewalk, driveway and walkways power washed. Ensure that the lawn, plants and landscaping are healthy and look great. Clean the windows and address any external paint issues that may have come up over the years.

The goal is to ensure that your guests think “WOW” when they drive up. Keep staging the front of your home until the neighbors are jealous.

Clean, Clean And Clean Some More

Even if you think your home is ‘clean enough’, it’s likely not. You’ve lived in your home for years, which means that your brain has learned to un-see certain aspects of it. Even if you’re sure you’ve cleaned it as much as possible, you may have missed a few spots.

Here’s a helpful exercise. Imagine that the President, Vice-President and Secretary of State are coming over for dinner. And that they’ll be touring through every room in your home to see how you live. That’s how clean your home needs to be for your open house.

Appeal To Your Target Buyers

Do you know what age range your expected open house guests are in? Are they first-time home buyers, young families or single professionals? If at all possible, try to stage your home to appeal to your guests. If they are younger, then you can stage the basement more as a media or entertainment room. If they have children, that might become storage and a play area. You get the idea.

Lighten Things Up A Bit

Regardless of what time of day you host an open house, you’ll want there to be a lot of light. Open up all the drapes and blinds to let in as much natural light as possible. If you have to use artificial light, invest in high-quality LED bulbs. There are models that can produce light that is close to sunlight in quality. The more light you have, the better your spotless home will look.

The More (Room), The Merrier

Finally, do your best to open up your space. Remove all clutter and store it. Arrange your furniture to maximize the walking areas. But try not to overdo it. You want your staged home to feel livable — and not like a series of large, empty caves.

There you have it — five great staging tips that will boost your next open house. Remember, the fastest way to sell your home is with the help of an experienced real estate agent. Contact us to learn more about open houses, staging and closing a quick sale!

Mortgage Shopping And Your Credit Score

August 25, 2022 by Lisa Eagan

Mortgage Shopping And Your Credit Score The vast majority of people have to take out a home loan to purchase a house. This means applying for a mortgage. Unfortunately, shopping for a mortgage can actually hurt your credit score. Any potential lender will probably have to do a hard pull on your credit. This could temporarily reduce your credit score by a few points. Those few points could make the difference between qualifying for a mortgage and getting denied one. Fortunately, there are ways for you to shop for a mortgage without hurting your credit.

Check Your Credit Score First

First, you need to check your credit report before you start shopping for a mortgage. By law, the major credit bureaus are required to give you at least one free credit report every year. This is your opportunity to take a look at your credit report and correct any inaccuracies that might be present. That way, you can correct these issues before you apply for a mortgage instead of after. This can save you a significant amount of time during the shopping process.

Get Pre-Qualified For A Home Loan

You should also get pre-qualified for a home loan before you start shopping in earnest. When you get pre-qualified for a mortgage, you receive an estimate of how much money you can borrow to purchase your home. This means that the lender will run a soft inquiry on your credit report, which will not impact your credit score. Pre-qualification is not as strenuous as the full approval process, and you will eventually have to go through the full application process to get your mortgage; however, getting prequalified is a great starting point.

Submit All Applications Rapidly When You Find The Right Home

After you apply for your first mortgage, you will have 45 days to talk to other lenders. As long as all of your other hard credit pulls take place in about six weeks, subsequent applications should not have an impact on your credit score. This means that you need to have all of your documents together, which will allow you to expedite the process. That way, you can find the best deal you can on a mortgage without unnecessarily impacting your credit score.

The Quick and Easy Guide to Understanding the Math Behind Your Mortgage Closing Costs

August 24, 2022 by Lisa Eagan

The Quick and Easy Guide to Understanding the Math Behind Your Mortgage Closing Costs It’s amazing that in a year with extremely low mortgage rates being reported around the country, closing costs are up by as much as 6% from the previous year. Part of the reason for this is that the stricter regulations on loans have increased the costs to banks, and they always find a way to pass on new costs to the consumer.

Understanding Third-Party Closing Costs

When closing on a mortgage the borrower will notice a long list of additional fees that they are expected to pay for. These can range from insignificant into the thousands of dollars depending on the state and the deal. When looking at these fees you will notice that some are third-party fees.

This is not out of the ordinary and you are not being taken advantage of. These costs are for services rendered by outside companies at the request of the mortgage lender to make sure everything is in order with the property.

Closing Costs You Can Expect To Pay

Anybody going through the mortgage process for the first time should expect to see several odd sounding terms on the bill. The first is ‘origination’ or ‘processing’ which is the primary fee the lender charges for creating the mortgage.

Other fees include discount points, flood certification, title insurance, credit report and appraisal. These are all necessary for buying a home and should be expected to appear when closing.

The Trick Behind Zero-Closing Cost Mortgages

With closing fees adding up it may seem like a good idea to opt for a mortgage that has absolutely no closing costs if it’s offered. While no money will be required up front, it adds up in the long run.

This is because the lender is making a deal. They agree to pay all the closing costs for the borrower in exchange for a slightly higher interest rate, which will pay out for them over the course of the mortgage.

The amount you can expect to pay really depends on the cost of living and real estate market where you’re buying. A mortgage specialist will be able to talk to you in advance of applying for your mortgage to give you a better idea of what you are looking at paying for closing costs. Contact one today for more information on why you have to pay closing fees and the amount you should be budgeting for.

The Different Foundation Options For Your House

August 23, 2022 by Lisa Eagan

The Different Foundation Options For Your House Are you thinking about purchasing a home in the near future? Or, are you thinking about building one? If so, you must think carefully about the foundation of the home. It is responsible for supporting the rest of the structure, so you need to find the right foundation to meet your needs. What are a few of the top options available?

Basement

One of the first options you should consider is a basement foundation. This is a popular choice because it can create additional living space in your home. It can also act as an additional entrance, which can be useful in some situations. On the other hand, a basement does not always contribute to the square footage of your house. In addition, it can be a bit more susceptible to leaks when compared to other types of foundations. You must make sure you take care of your basement to prevent mold and mildew from growing.

Crawl Space

Another very common type of foundation you may encounter is a crawlspace foundation. A crawl space is not nearly as tall as the basement, so it does not provide any additional living space. On the other hand, it can be used as additional storage space, and it can provide some protection against environmental hazards. You must make sure the crawlspace is ventilated to prevent mold and mildew from growing. Furthermore, it requires routine maintenance to provide structural issues from developing with the house. Always take a look at the quality of the crawl space before you decide to make a purchase.

Slab Foundation

You should also consider a slab foundation for your house. A slab foundation is very quick to build, very difficult for infestations to access, and incredibly durable. The biggest downside is that it does not provide you with any additional storage space. In addition, it may make it hard to access the plumbing if there is a problem that has to be addressed.

Find The Right Foundation

Ultimately, these are just a few of the many options available if you are looking for a new house. Familiarize yourself with the benefits and drawbacks of different foundation types. Then, do not hesitate to reach out to a professional who can help you find the right house to meet your needs.

What’s Ahead For Mortgage Rates This Week – August 22, 2022

August 22, 2022 by Lisa Eagan

Mortgage Rates August 22, 2022 Last week’s economic reporting included readings on home builder confidence in housing market conditions, Commerce Department readings on building permits issued, and housing starts along with readings on retail sales. Weekly readings on mortgage rates and jobless claims were also published.

NAHB: Home Builder Confidence Falls for 8^th Consecutive Month in August

The National Association of Home Builders reported an index reading of 49 for home builder confidence in August. Analysts expected a reading of 54 and July’s index reading was 55. Readings over 50 indicate that a majority of home builders surveyed viewed current housing market conditions as positive. Builders surveyed cited ongoing concerns including rising materials and labor costs and a lack of buildable lots, but rapidly rising mortgage rates and the resulting higher costs of buying a home increased home builders’ concerns about the U.S. housing market.

Builders reported making buyer concessions including lowering home prices and adding buyer incentives. 20 percent of home builders surveyed said that they reduced home prices within the last month.

Component readings for home builders’ confidence were also lower. Sales expectations for the next six months fell two points; the index reading for prospective buyer traffic fell by 5 points to 32 points. Regional readings also showed lower readhomings for builder confidence. The Western region reported 11 points lower builder confidence in July; home builder confidence in the Northeastern region fell by nine points and home builder confidence was seven points lower in the South. Home builder confidence in the Midwestern region fell by three points.

Mortgage Rates, Initial Jobless Claims Fall

Freddie Mac reported lower average mortgage rates last week as fixed-rate mortgages averaged 5.13 percent and were nine basis points lower. Rates for 15-year fixed-rate mortgages averaged 4.55 percent and four basis points lower. Rates for 5/1 adjustable rate mortgages averaged four basis points lower at 4.39 percent. Discount points averaged 0.80 percent for 30-year fixed-rate mortgages and 0.70 percent for 15-year fixed-rate mortgages. Discount points for 5/1 adjustable rate mortgages averaged 0.30 percent.

Initial jobless claims fell to 250,000 initial claims filed as compared to 252,000 first-time jobless claims filed in the previous week. Analysts expected 260,000 initial jobless claims to be filed last week. Continuing jobless claims rose to 1.44 million claims from the previous week’s reading of 1.43 million ongoing jobless claims filed.

What’s Ahead

This week’s scheduled economic reporting includes readings on sales of new homes and pending home sales, inflation, and consumer sentiment. Weekly readings on mortgage rates and jobless claims will also be published.

How To Avoid Delays When Remodeling

August 19, 2022 by Lisa Eagan

How To Avoid Delays When Remodeling If you have a remodeling project coming up, you have probably been told to plan for delays. Even though it can be frustrating to hear that your project is going to be delayed, with some simple planning, you can prevent this from derailing all of your efforts. What are a few of the most important tips you should follow if you want to avoid delays during your remodeling project?

Choose The Right Contracting Team To Help You

One of the most common reasons why remodeling projects get delayed is that people do not choose the right team to help them. There are a lot of contractors available, but you should always start by taking a look at reviews and ratings of the contracting service before you ask them to sign a contract. Take a look at the Better Business Bureau to see if there are any issues. Then, reach out to the contractor to see if they have handled projects like yours in the past. If they have worked on similar projects, you may have found the right team to help you.

Order Everything Early

Once you have found the right contracting service, ask them to order everything early. A common reason why projects are delayed is that materials are not there when they are needed. If you build in some leeway by ordering the materials early, you can prevent a delay from arising.

Get Everything Written Down

There is a saying that if you don’t document it, then it never happened. If you feel like you have a verbal agreement with the contracting service, ask them for a written agreement. You should always trust what the contractor says, but verify it by asking them to write it down. That way, you can avoid disputes down the road, and you can hold the contracting service accountable.

Make Sure The Project Finishes On Time

These are a few of the most important tips you should follow if you want your remodeling project to proceed on time. It can be frustrating when something goes wrong, but with proper planning, you can minimize the chances of dealing with a delay during your project. That way, you can enjoy the fruits of your labor just a bit sooner.

The Importance Of Pre-Approval During The Homebuying Process

August 18, 2022 by Lisa Eagan

The Importance Of Pre-Approval During The Homebuying Process If you want to buy a home in the near future, you are probably aware of just how competitive the housing market is. You need to put yourself in the best position possible to be successful by getting pre-approved for a home loan. This is a very important step, particularly when you compete against people making cash offers. Learn more about the importance of getting pre-approved below, and make sure your offer is taken seriously.

A Pre-Approval Letter Shows You Are Serious

The first reason why you need to get a pre-approval letter is that it will show any potential seller that you are serious about buying the home. One of the reasons why settlers like to accept cash offers is because they know the sale will go through. Without a pre-approval letter, the seller may not know if you will be approved by a reminder for a home loan. By showing a pre-approval letter, the seller will know that you will get financing for the home, and they do not necessarily need to worry about the sale falling apart.

Getting Pre-Approved Gives You A Budget

You also need to get a pre-approval letter because it will give you a budget with which to work. Even though it is fun to take a look at different houses and imagine what your life might look like, you need to know how much money you can spend on a house. The lender will let you know the maximum amount that you are approved for, and you can quickly narrow down your search and find the right home to meet your needs.

Get Pre-Approved Before You Start Your Housing Search

The housing market is constantly changing, so you need to take advantage of every opportunity given to you. If you want to make it easier to navigate a difficult housing market, you need to get pre-approved before you start the housing search. Remember that you do not necessarily need to get a loan from the lender that gave you a pre-approval letter, but the seller needs to know that you have been approved by at least one lender if you want your offer to be taken seriously. A pre-approval letter does exactly that.