Are you at Home? A very different #BestMortgageBook post

Greetings readers!  Long time no blog, sorry about that. What a ride! This year has been quite an amazing experience! I apologize for not posting more often this year. With the success of my #1 bestselling book (Thank YOU readers!), being nominated for a Pulitzer Prize in non-fiction literature, TV & Radio appearances, teaching first time home buyer seminars and of course serving my clients as a licensed mortgage loan originator I have been a bit busy. I have had the privilege of helping so many first time home buyers. It's such a joy to be at their loan closing and experience their joy, pride and sense of accomplishment with them. Wow! I have the best mortgage clients and am so blessed when they also become friends. And don't forget the investment property I bought and rehabbed earlier this year.  It's all done and now both sides of my new duplex are rented and cash flowing. I love real estate!

Ok, so now that you are updated on what's new with me....why am I choosing to invest time blogging again after my internet absence? I'm still just as busy as I have been, as I am constantly working to improve myself and help more people. Well, 2 reasons; the first reason I'll get to in a minute. The second reason is that I didn't realize how many of you are reading my blog. You don't comment often, so I didn't know how many of you have actually been reading and enjoying the information. I am so glad to see that so many of you find my blog posts and book a helpful resource for you. I realize that mortgages are not the most interesting topic, so I do try to make it fun & interesting while saving you thousands of dollars. My mission is to save as many people as possible as much money as possible and for you not to have too much trouble with your paperwork while going through the mortgage process. Oh, and most important in that experience, that you actually get approved and close on your loan for your home. Please feel free to email me at info@bestmortgagebook.com with any questions. I'm happy to answer you. Also, I welcome your positive comments and questions on my blog. 

Now back to reason #1 for my blog post today. Are you at Home? What is Home?  What does Home mean to you? Ah, Home, lots can be said about the word Home. There are many little phrases and cute anecdotes; we've all heard, "home is where the heart is", right? To me, home is where I am at peace. If I am at peace, my heart will be there as well. This can be anywhere, however, to me it's most enjoyed with those I love around me and the bonus is my creature comforts.

I've had the tremendous pleasure of traveling all over the globe in the past few years and visiting many friends in their homes as well as staying in hotels. While I enjoy the convenience of someone else making the bed and cleaning my room at a hotel, the warmth, kindness and generosity of friends of course always wins me over, as I am addicted to good stimulating conversation and the opportunity for genuine human connection. Those cherished moments in a friend’s kitchen while cleaning up after making dinner together or brewing morning coffee is the glue that binds our friendships and continues to stimulate my mental and emotional growth. I am so grateful for all those in my life who have hosted me at their homes. I am so blessed to a variety of friends who live in a variety of places who have welcomed me into their homes. I have friends that own their homes, friends that rent their homes, friends that live in the city, in the country, on the ocean, on a river, on a boat, in a river millhouse, on a vineyard, in the mountains, in the suburbs, in a condo, in a single family home, in a townhouse, all varieties.

This morning, as I watch the beautiful sunrise come up over the Atlantic Ocean at a generous friend's home and have the warm feeling of peace in my heart I invite you to have a dialog with me.  What does HOME mean to you? And what is the benefit of owning that home to you?  For some it's financial security. For others it's knowing that it's theirs, that peace of mind and comfort of their worldly possessions being in one place and that they can personalize it anyway they see fit. For others it's the experience of growing roots and becoming involved in a community and contributing. I'm also personally fond of the pride of home ownership as well. There's also something to be said for making your very own space perfect for you. How about all of the above? In your home, you can create whatever you want and contribute to your community in however you see fit. You have the option to choose.

So, please tell me what does HOME mean to you?  If you own, tell me why you own. If you rent, let me know why you want to own your home.

For more information, pick up my #1 Best Selling Book at ElysiaStobbeBooks.com

For more mortgage tips check out our website www.bestmortgagebook.info

For video mortgage tips and tools subscribe to our YouTube Channel: https://www.youtube.com/c/ElysiaStobbeMortgage

Follow Elysia on Twitter at  https://twitter.com/ElysiaStobbe

See what's new with Elysia on LinkedIn at  https://www.linkedin.com/in/elysiastobbe

For sponsorship opportunities go to:  sponsorbestmortgagebook.info

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How will the Federal Reserve Raising Interest Rates Impact You?

On December 16^th,  2016 Chairman Janet Yellen announced that The Board of Governors of the Federal Reserve (Head of the Bank of the Banks) were raising interest rates. 

http://www.federalreserve.gov/newsevents/press/monetary/20151216a.htm

Chairwoman Janet Yellen is the first woman to hold this position. Chairwoman Yellen took over the position from Ben Bernanke and was sworn into her office on February 3^rd, 2014 after the senate confirmation in January 2014.

The Prime Rate adjusted in sync with the announcement.  However, most of the loan market already expected this and mortgage interest rates had risen about 0.25% in the 10-14 days before the announcement in anticipation, so there was actually little movement in long terms rates at the time of the announcement.

But, what does this mean for you? What does this mean for your clients? What is the actual cost?

The Federal Reserve has already raised interest rates by 0.25% and plan to continue raising rates 0.25% until next December so there will be a full 1% increase in interest rates. That doesn't sound like much, but for most people it actually adds up. Take a $300,000 home for instance. For each 0.25% increase in the interest rates on a $300,000 loan, that's an extra $43.56 a month. So over, the next year, if you are buying a $300,000 and the interest rates go up by 1%, that's an extra $174.24 a month in interest you'll be paying. That's easily a student loan payment, a car payment or a nice dinner out. If you look at it on an annual basis, it's over $2,090 a year in additional interest costs, which is over $10,400 over the next five years!!  Now, you may think, well, that’s more of a tax deduction for me since it’s interest. Be sure to check with your CPA to see how that change will really impact your bottom line. But I say, a penny earned is a penny save, and even more important, $2,000 saved is by buying now is free money!

So, if you are considering buying a home, do it now! Get pre-approved and start planning now.

These interest rates are for the purposes of example only.  You are not guaranteed these rates, you may or may not qualify for a loan.

For more information, pick up my #1 Best Selling Book at ElysiaStobbeBooks.com

For more mortgage tips check out our website www.bestmortgagebook.info

For video mortgage tips and tools subscribe to our YouTubeChannel: https://www.youtube.com/c/ElysiaStobbeMortgage

Follow Elysia on Twitter at  https://twitter.com/ElysiaStobbe

See what's new with Elysia on LinkedIn at  https://www.linkedin.com/in/elysiastobbe

For sponsorship opportunities go to:  sponsorbestmortgagebook.info

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There's No Need to Get Stressed Out Buying a Home!

The stress of buying a home is right up there with death of a loved one, getting married or divorced. Moving is a life stressor and a major contributor of mental and physical disease according to HealthCentral.com. Add to that you can lose hundreds of thousands of dollars in the biggest purchase of your entire life and you can be stressed out if you don’t know what to avoid!

I wanted to share with you some of the information I presented last month at the FL Times Union Home Buyers Expo 

One of my presentations was 3 Monumental Money Mistakes To Avoid.

1.     Shop for the best lender, not the best rate.
-Do you start haggling with a car salesperson before you pick your car? No, so don’t make that mistake with the biggest purchase of your life. Shop for Lenders who are licensed, knowledgeable and can give your written references and success stories.  The best lender will get you the best loan program to suit your needs as well as the best interest rate.  This will save you thousands of dollars over the life of your mortgage loan.

2.     Get PreQualified or PreApproved before you start home shopping – Don’t waste time and money looking for houses you don’t qualify to buy.  Know your buying power.

3.     Choose your Team Wisely
– Would you choose a school without knowing where they rank in test scores in the state?  Would you choose a heart surgeon without knowing their education, what hospital they work for and how long they have been practicing?  You need to interview everyone who will be working for you during the home buying process:  Lender, Realtor, Title Company, Home Inspector, Insurance Agent.  They all need to work together to get you to closing on time.

I hope you find this information useful.

All of this information can be found in much more detail in my book on Amazon

To grab my new book, How To Get Approved for the Best Mortgage Without Sticking a Fork in Your Eye™, click here: elysiastobbehomeloans.com

For more mortgage tips check out our website www.bestmortgagebook.info

For video mortgage tips and tools subscribe to our YouTube

Channel: https://www.youtube.com/watch?v=YsL6BuJ8b-M

For sponsorship opportunities go to:  sponsorbestmortgagebook.info

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July's Real Estate Market

Welcome to July.  It seems that it is a seller’s market, with about 5 months of inventory available.  Once this surpasses 6 months supply we may see a transition to a buyer’s market. But for now, the sellers have the upper hand.

What does this mean for you? Well, it could mean higher sales prices, bidding wars and less contingencies. What’s the best way you can be prepared?

As always, I recommend getting pre-approved instead of pre-qualified. This lets you know your true buying power. Also, a pre-approval is stronger than a pre-qualification.  In some markets, usually the hotter markets, Realtors ® and sellers won’t accept pre-qualification letters, they will only accept pre-approval letters.

In addition, select your team ahead of time so once you are under contract you are not scrambling to put together the pieces.  By team, I mean your Real Estate Agent, your lender, your title company, your home owner’s insurance agent and your home inspector. Take the time to ask questions of each and make sure you are comfortable with their answers. Once you are under contract you will have limited time to make decisions and that’s no fun if you are stressed out.

Here are Key Considerations when Selecting a Real Estate Agent

·        Look for Success and Experience

·        Look for a Listener that Hears YOU

·        Choose Team Sports Over King of the Hill – Look for a Real Estate Agent that works well with Others

·        Are there specialties that are relevant to YOU?  Such as MRP- Military Relocation Professional.  For a complete list of the National Associations of Realtors ® Certification, check out www.realtor.org/designations-and-certifications

For questions to ask your lender, check out my free download, Top 10 Questions to ask your Lender at www.BestMortgageBook.com

All of this information can be found in much more detail in my book on Amazon

To grab my new book, How To Get Approved for the Best Mortgage Without Sticking a Fork in Your Eye™, click here: elysiastobbehomeloans.com

For more mortgage tips check out our website www.bestmortgagebook.info

For video mortgage tips and tools subscribe to our YouTube

Channel: https://www.youtube.com/watch?v=YsL6BuJ8b-M

For sponsorship opportunities go to:  sponsorbestmortgagebook.info

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Top 3 Reasons Why Mortgages are Sexier Than Caitlyn Bruce Jenner

1. If you qualify for a mortgage you don't have to use your hard earned cash to buy your new home. Now that's sexy!

Why use your cold hard earned cash to buy your next home when you can use the bank's money?  First Time Home Buyer's can put down as little as 3% for a down payment now.  For example, if you are buying a $300,000 home, 3% is $9,000. Spending $9,000 sounds a whole lot better than spending $300,000, right?

2. Mortgage Interest Can Be Tax Deductible. Now that's really sexy! 

What better benefit to being a home owner and using someone else's (the bank's) money than to get to write off the interest expense? This just keeps getting better and better! When you get a loan, your repayment schedule usually consists of principal & interest.  That interest you pay every month can be tax deductible. Consult your CPA for details.

3. There's more than enough paperwork in the mortgage process to cover up every inch of Caitlyn you didn't really want to see in Vanity Fair.

I'm very excited for our Olympic Hero and her quest for happiness. The Vanity Fair spread is eye catching to say the least. In addition to covering up parts of Caitlyn you didn't want to see mortgage paperwork can be recycled for later use as a toga, paper skirt or those weird flip flops they give you when you get a pedicure. Just be sure to shred the documents that have all your pertinent info such as your name, social security #, address, bank account #'s, etc.

For more info about and pictures of Caitlyn Jenner and what his/her ex Kim Kardashian has to say, click here:  http://www.dailymail.co.uk/tvshowbiz/article-3107508/Kim-Kardashian-defends-Caitlyn-Jenner-s-choice-dress-sexy-clothes-reveal-cover-Vanity-Fair.html

***Please keep in mind this is only an example for illustration purposes.  These interest rates may not be available and/or you may not qualify for this loan type.

To get on our waiting list for my new book, How To Get Approved for the Best Mortgage Without Sticking a Fork in Your Eye™, go to our website www.bestmortgagebook.info

For video mortgage tips and tools subscribe to our YouTube

Channel: https://www.youtube.com/watch?v=YsL6BuJ8b-M

For sponsorship opportunities go to:  sponsorbestmortgagebook.info

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Is Now a Good Time to Buy a Home?

We are in the midst of Spring Home Buying season and there are quite a few positive indicators that it’s a good time to buy a home. There are many factors to consider before deciding if it’s a good time to buy a home, such as the economy, interest rates, supply & demand, the cost of renting vs. buying and your own personal situation.

Where are interest rates?

Interest rates are hovering around all time lows (again!) right now, so that’s one important factor to take into account when considering buying a home.  What does this mean to you in real numbers? Well, let’s say you are considering purchasing a home with a sales price of $300,000.  In a perfect world, you put down 20%, which is $60,000. That leaves you with a loan amount of $240,000. Don’t worry; there are many other loan programs available with much smaller down payments, such as 3% and 3.5%, which would be $9,000 and $10,500 respectively.

If your interest rate is 4.0% for a 30 year fixed mortgage with a loan balance of $240,000, your monthly principal and interest payment would be $1145.80.

Let’s say your interest rate is 5.0% for a 30 year fixed mortgage for the same $240,000 mortgage; your monthly principal and interest payment would be $1288.37.

See the difference? That’s $142.57 a month you save on interest alone! Let’s look at it over the long haul…$1710.84 a year = $51,325.20 over the course of a 30 year loan!

Now, of course there’s more than one way to look at this.  That same $142.57 could also be a tax deduction for you.  Be sure to check with your CPA for interest deductions. The $142.57 a month could also be the same amount as one of your student loans. Only you know what’s comfortable for you when it comes to a monthly payment and what makes sense. Keep in mind that you are also responsible for home owners insurance, property taxes and any monthly home owners or condo association fees in addition to the principal and interest on your loan.

If you are a first time home buyer, you can save yourself time and money with my first time home buyer video tips at https://www.youtube.com/watch?v=YsL6BuJ8b-M

See what DS News has to say about buying a home now, "Analyst Says Buying a HomeNow Is a Solid Investment"

How long do you plan on staying in your area?

I think your own personal situation is the most important thing to consider when buying a home. Do you like the area? How long do you think you’ll be there? How long do you think you’ll be at your job? I bought my first home about two years after I graduated from college. My Mom was so nervous for me, but I wasn’t scared at all. I knew I liked the area (dear old Baltimore, MD my heart goes out to you) and wanted to be there for a while. I had moved around quite a bit in my early years and was looking forward to growing roots in the Baltimore community. I ended up living in that house for eight years. I rented out my house for the last two years I owned it when I moved down the road to Arlington, VA before I sold it. It became my first rental property. Since then I have owned and rented homes as I moved around the East Coast. Whether I bought or rented depended on all the factors I am sharing with you here; the economy, interest rates, the cost of renting vs. buying and my own personal situation.

CNN Money also says it’s a good time to buy, "Home Buyers In These Markets Have the Upper Hand"

What’s the cost of renting vs. buying?  

Does it cost more or less to rent than to buy? Any licensed loan originator as well as real estate agent should be able to help you with this calculation in your local area. Basically you take your total estimated monthly mortgage payment including property taxes, home owners insurance and any monthly home owners association or condo fees and compare it to the cost to rent something similar in location and size. To make it more complex, factor in your down payment and estimated closing costs spread over the time you think you will be in that location as well as any interest deduction your CPA thinks you would benefit from by owning. Other factors to consider are leverage and appreciation. For more help with this calculation feel free to contact me at bestmortgagebook@gmail.com.

Julian Castro, the Director of Housing and Urban Development is positive about buying a home in 2015.

***Please keep in mind this is only an example for illustration purposes.  These interest rates may not be available and/or you may not qualify for this loan type.

To get on our waiting list for my new book, How To Get Approved for the Best Mortgage Without Sticking a Fork in Your Eye™, go to our website www.bestmortgagebook.info

For video mortgage tips and tools subscribe to our YouTube Channel: https://www.youtube.com/watch?v=YsL6BuJ8b-M

For sponsorship opportunities go to:  sponsorbestmortgagebook.info

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Are Home Inspections a Good Idea?

Turns out 20% of homeowners consider their home unhealthy according to Healthy Home Study conducted by Houzz.  A home inspection might help you find out if your new home is healthy before you buy it.

Home inspections are required on some loan types, but not all. However, it’s always a good idea to get a home inspection.  If you’re buying a house that costs hundreds of thousands of dollars, why wouldn’t you spend $400-$500 on a home inspection?

What’s a Home Inspection?

A home inspection is a detailed and thorough examination of the structure and mechanical systems of the property to determine quality, as well as soundness and safety. The purpose of a home inspection is to inform the potential homebuyer of any repairs that may be needed. The homebuyer generally pays home inspection fees. In addition to the basic home inspection, there are additional inspections that you may choose to have, such as a pest inspection or a 4-point inspection. Home inspections have come a long way— now they have thermal imaging, moisture detection equipment, and lots of other technical innovations to find hidden issues. Home inspections are not the same as a home appraisal.

VA and FHA Loans Both Require Home Inspections, But…

Home Inspections are not required for all loan types.  I strongly suggest that you have a home inspection for your protection.  Don’t you want to know what you’re getting yourself info?  Whether it’s an “unhealthy” home or a $200 repair or a $15,000 new roof, you should have this information before your purchase the home.  I think that $500 is money well spent on a home inspection.  You might feel that you are so in love with a home you are prepared to deal with whatever needs to be done. You might be thinking “whatever” could be $5,500.  What if it’s $55,000? Ouch!

My lender requires an appraisal.  Why do I need a Home Inspection too?

The appraisal does NOT take the place of a home inspection.  A home inspection is NOT an appraisal.  The two are completely different.  They are completed by different professionals with different credentials. An appraisal uses sales of like comparable properties to estimate the value of the home.  It does not examine in detail the systems and components of the home.  A home inspector will evaluate the roof, HVAC, plumbing, electrical, foundation, framing, insulation, ventilation, walls, ceilings, floors, step, stairways, railings, garage doors, and a representative amount of doors and windows.

For a complete list of what to expect and what not to expect your home inspector to examine, check out the ASHI standards of practice and code of ethics at their website:  http://www.ashi.org/

Not all home inspectors are created equal. Some will eyeball the roof from the ground, some will get up on a ladder and walk around to inspect the roof. Some will use infrared technology and camera scopes. Some include a mold screening, a moisture analysis, and, a sinkhole report. Some will charge extra for a WDO (wood destroying organisms) report, wind mitigation letter, and, a 4-point insurance letter. You want to know exactly what you’re getting for your money and exactly what reports are included. Do your research and ask lots of questions. Technology has come a long way, make sure your home inspector is up to date with the latest home inspection technology.

To get on our waiting list for my new book, How To Get Approved for the Best Mortgage Without Sticking a Fork in Your Eye, go to our website www.bestmortgagebook.info

For video mortgage tips, subscribe to our YouTube Channel: https://www.youtube.com/watch?v=YsL6BuJ8b-M

For sponsorship opportunities go to:  sponsorbestmortgagebook.com