Collins & Demac Real Estate



Posted by Collins & Demac Real Estate on 7/9/2020

For first-time homebuyers, going from property buyer to property owner may seem virtually impossible. Lucky for you, we're here to help you take the guesswork out of buying a home.

Now, let's take a look at three questions that every first-time homebuyer needs to consider:

1. What is my "dream" residence?

One first-time homebuyer's definition of a "dream" residence may differ from another's. As such, you should consider what you'd like to find in a dream house before you begin your real estate search.

Creating a checklist of "must-haves" and "wants" in your house often serves as a great starting point for first-time homebuyers. This checklist will enable homebuyers to consider what they'd like to find in a dream home and plan accordingly.

Also, it is important to establish realistic expectations before you kick off a home search.

Many terrific houses are available in cities and towns nationwide, but no home is likely to have every feature that you desire in a dream residence.

Therefore, if you establish realistic expectations for your home search, you can avoid potential let-downs as you explore a broad array of high-quality houses.

2. How will I pay for a home?

Getting pre-approved for a mortgage is vital for a first-time homebuyer, and for good reason. With pre-approval for a mortgage, you'll know what you can afford to spend on a home before you enter the real estate market.

Many banks and credit unions are happy to meet with you to discuss your mortgage options. These lenders can outline the differences between adjustable- and fixed-rate mortgages, help you assess your credit score and ensure you can make an informed mortgage decision.

Furthermore, lenders can answer any mortgage questions that you may have. They can help you evaluate your current financial situation and enable you to obtain a mortgage that won't force you to revamp your day-to-day budget.

3. How do I begin searching for a house?

Beginning a home search is easy, particularly for first-time homebuyers who work with expert real estate agents.

An expert real estate agent understands what it takes to find a wonderful house at a budget-friendly price. In fact, he or she will do everything possible to help you navigate the housing market quickly and effortlessly.

Typically, an expert real estate agent will keep you up to date about new homes as they become available, set up home showings and submit home offers on your behalf. This housing market professional also will offer honest, unbiased recommendations throughout the homebuying journey to help you select a house that matches or exceeds your expectations.

When it comes to exploring the housing market, there is no need to work alone. Fortunately, you can hire an expert real estate agent who can help you get the best results possible during the homebuying journey.

Want to acquire your first home? Use the aforementioned tips, and you can move one step closer to owning a top-notch house.




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Posted by Collins & Demac Real Estate on 6/18/2020

Believe it or not, your credit score can make a world of difference as you get ready to search for your ideal house. If you have an excellent credit score, you likely will have no trouble obtaining home financing. On the other hand, if you have a bad credit score, you may struggle to get the financing you need to make your homeownership dream come true.

Ultimately, there are many reasons why you should try to boost your credit score before you purchase a home, and these include:

1. You can simplify the homebuying process.

Purchasing a home can be challenging, particularly for property buyers who fail to get pre-approved for financing. Luckily, if you request copies of your credit reports, you can find out your credit score and identify ways to improve it. Perhaps most important, you can explore ways to bolster your credit score before you submit a mortgage application and increase the likelihood that you can receive pre-approval for a mortgage.

It usually is a good idea to review your credit reports before you enter the housing market. You are entitled to a free copy of your credit report annually from each of the three reporting bureaus (Equifax, Experian and TransUnion). If you request a copy of your credit report from the three reporting bureaus, you can learn your credit score and plan accordingly.

2. You may qualify for a low interest rate on a mortgage.

An excellent credit score may help you get a low interest rate on a mortgage. Thus, if you have an excellent credit score, you may wind up reducing your monthly mortgage payments.

Of course, a low interest rate on a mortgage may allow you to invest in your home as well. If you use the money that you save on your mortgage to complete home improvements, you could upgrade your residence and increase its value over time.

3. You can select the right mortgage option based on your individual needs.

With an outstanding credit score, there likely will be no shortage of lenders that are willing to work with you. As such, you can review a broad range of mortgage options and choose one that matches your expectations.

If you need to improve your credit score, there's no need to worry. Typically, paying off outstanding debt will help you boost your credit score prior to buying a house.

Furthermore, if you receive a credit report and identify errors on it, contact the bureau that provided the report. This will enable you to make any corrections right away.

And if you need help as you get ready to pursue your dream house, don't hesitate to reach out to a real estate agent too. A real estate agent can put you in touch with the top lenders in your area and make it easy to obtain home financing. Plus, this housing market professional will enable you to evaluate residences in your preferred cities and towns and find one that you can enjoy for an extended period of time.




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Posted by Collins & Demac Real Estate on 5/14/2020

The process of buying a home is anything but cut and dry. There will undoubtedly be some twists and turns along the way. First, you need to be pre-approved for a mortgage. Then, youíll need to find a home that fits both your needs and your budget. Finally, youíll put in an offer on a place and hope for the best throughout the rest of the process.


There are plenty of things that you can do as a buyer to make buying a home both easier and more streamlined. Below, youíll find some of the best tips that are specifically for those seeking to buy a home. 


Give Them An Offer They Canít Refuse


When there is a low quantity of homes and a high number of buyers, competition can get fierce. When the market is like this, youíre not guaranteed to get a property that you put an offer on. It may take making several offers on homes in order for you to finally get the keys to your dream house. 


You never want your offer to be too low. A low offer could be insulting to sellers and instead of being countered, could just be outright refused. Make an offer too high and you still have a problem. A high offer may be accepted, however, itís not going to be approved by your mortgage company for you to borrow that much for the purchase. If an offer is accepted and a home appraises for less, you may be left with thousands of dollars that you need to pay on the spot in order to secure the home. 


The best way to present an attractive offer is to work with an expert realtor who can do the appropriate research and let you know what a good offer on the home would be.           


Know Your Contingencies


After an offer on a home has been accepted, you need to get to work on the contingencies that youíre going to want on the home. Your realtor will also be a huge advocate in this area. Contingencies will include things like the right to do a home inspection, the appraisal contingency, and the contingency that youíll only be able to move forward with buying the home if you have appropriate financing. These protect you as a buyer so that if something falls through, youíll be able to back out of the deal without a penalty.


Donít Go Credit Happy


Once your offer is accepted and your financing is in place, donít head out to buy tons of new furniture and appliances for your new home. Your credit matters until you get the keys to the house. Opening new credit cards or adding significant debt can affect your credit score negatively, possibly putting a damper on your home purchase. Hold off on making purchases until after you move into the house.    





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Posted by Collins & Demac Real Estate on 3/26/2020

Looking to move out of a big city? Relocate to a small town, and you can enjoy the simple joys of small town life.

Many people prefer the small town lifestyle, and for good reason. In a small town, you won't have to worry about excess traffic or noise. Plus, many homes are available in small towns nationwide, ensuring you should have no trouble discovering a wonderful residence without having to worry about breaking your budget.

Kick off your search for a small town home today Ė here are three tips to help you secure a terrific small town house.

1. Study the Local Housing Market Closely

What are you looking for in a small town home? Ultimately, you'll want to consider exactly what you'd like to find in a small town house before you conduct your search for the ideal residence.

Creating a checklist of must-haves is essential. With this list, you'll be able to examine available homes in a small town and narrow your search accordingly.

Also, don't forget to examine the prices of recently sold houses in a small town. This housing market data will enable you to differentiate between a seller's market and a buyer's market.

2. Get Financing Before You Start Your Home Search

Can you afford a small town home? It all depends on the financing at your disposal.

Meet with several banks and credit unions to explore your mortgage options. That way, you can learn about fixed- and adjustable-rate mortgages and obtain financing.

If you ever have concerns or questions about home financing, be sure to ask a lender for assistance.

Remember, banks and credit unions employ mortgage professionals who are happy to help you in any way they can. These mortgage experts can teach you about different types of mortgage and offer personalized mortgage recommendations, ensuring you can get the financing you need to make your homeownership dreams come true.

3. Collaborate with an Experienced Real Estate Agent

When it comes to the real estate market, it is always better to err on the side of caution. Fortunately, real estate agents are available in small towns and big cities alike and will do whatever it takes to help you find a great house.

Hiring an experienced real estate agent who understands the properties that are currently available in a small town is vital. This real estate professional will offer tips throughout the homebuying process, guaranteeing that you can make informed decisions at every stage.

Perhaps best of all, an experienced real estate agent will take the guesswork out of buying a small town home. He or she will set up home showings and open houses, keep you up to date about new properties as they become available and negotiate with home sellers on your behalf. As a result, this real estate professional will streamline the process of going from homebuyer to homeowner.

Take the next step to acquire a home in a small town Ė use these homebuying tips, and you can locate a small town home that can serve you well for years to come.




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Posted by Collins & Demac Real Estate on 3/5/2020


 Photo by 200 Degrees via Pixabay

The gig economy has exploded over the past decade. Today, around 36% of the US workforce is freelancing and many more or self-employed small business owners.

While being your own boss does afford you great freedom to set your hours and often work where you want, you may face extra scrutiny when trying to get financing to buy a home.

Because your income comes from many sources and you may do your own bookkeeping, it's more challenging to prove your income. But fear not. Freelancers can get financing. You just need to be prepared.

Note that every lending institution may be a little different. But here's your quick guide for home financing for freelancers and other self-employed professionals.

1. You may need to work at freelance a little longer

If you just left a nine to five and started freelancing six months ago, you do not yet have the track record of consistent income that a loan officer will be able to see. The loan officer needs to know that you have the money coming in to pay this loan.

In most cases, loan officers like to see applicants who've been successfully freelancing for at least two years.

2. Clean up your bookkeeping

Are you the kind of person who pulls out a box of receipts on April 14th and then scrambles for the next 18 hours trying to account for last year? You may struggle with a loan officer. They need to see well-organized records of incoming and outgoing, just like any business.

You don't have to take an accounting course. But anyone should be able to follow behind your numbers on a spreadsheet to see exactly how you reached the figures that went on your tax return. 

3. Get a CPA signature

You may need to get the signature of a Certified Public Accountant (CPA) on your books for at least the last six months. But please don't do this before they ask for it because it will cost money. The more disorganized your financial records, the more it may cost. 

If you'd be embarrassed to show your bookkeeping to a CPA, please see the tip immediately above.  You can do this. 

4. Make your case

If your income fluctuates wildly or has dropped in the most recent year, that may be a red flag for a loan officer. Even if they don't ask about it, make sure they know why that dip occurred.

Perhaps you were taking care of an aging parent or a sick child. Some of your income may have been delayed for some reason. Be prepare to explain the ebb and flow of your income.

Don't appear to be a victim of circumstance. But do communicate irregularities that don't reflect the success you're experiencing as a freelancer.

5. Have a strong savings

Freelancers' income varies from month to month, but your mortgage payment does not. Show that you're stable and have a backup plan. These savings should be in addition to a down payment.

For more smart home buying tips, follow our blog.




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