Tag Archives: real estate

Redemption Time: 4 Pieces of Advice for Boomerang Homebuyers

Couple signing a house contract

The real estate and mortgage industries expect a large pool of boomerang home buyers to enter the market once again for another shot at redemption. If you lost your home to foreclosure in the last housing crisis between 2007 and 2014, your waiting period is perhaps nearing its end.

As you look for homes for sale in Aransas Pass, Rockport, Key Allegro, and other thriving areas in Texas, Rockport Properties, Inc. and other experts recommend doing the following:

Make Your Credit Great Again

First, clear any negative items in your credit history first. Settle your old accounts and bank judgments before you apply for a mortgage. This would help you snag a low-interest rate and make a positive statement about your creditworthiness.

Put Some Money Down This Time

If your previous mortgage went underwater, make it a point to do adequate down payments this time. Even if you find loans that only require a 3% or 5% money down, strive to save so you can pay more upfront. That way, you could build enough equity on your property easily and sleep with peace of mind in case your home’s value drops overnight.

Apply for Pre-Approval

Before home hunting, speak with a lender and be pre-approved first. Unlike pre-qualification, a loan pre-approval ensures you can borrow a certain amount of money. The mortgage provider would size your credit up and verify your documents. Once pre-approved, you can shop around with the guarantee of a home loan.

Take Planning Seriously

Owning a home is sweeter the second time around, especially if you lost your first one in a bad way. As exciting as it can be, don’t rush into things. Tackle home ownership with an ironclad plan to avoid digging yourself a deep financial hole again.

Don’t assume that you’re ready for the responsibilities without consulting a real estate professional. Do your research and due diligence and cover all the bases to make one informed decision after another.

Use everything you learned from the last few years to be a wiser home buyer. If you play your cards right this time, losing the ownership of your next home would be a choice, not a necessity.

Aspects That Determine the Cost of a Piece of Land

Land for sale in Waurn PondsWhen buying land as a recreational property, future investment or to build a home on, it’s imperative to consider its future and present market value first. Being cognizant of the land’s market value helps you determine whether the property is worth the money you want to part with. However, land price depends on certain factors as explained below.

Surroundings

What borders the piece of land can hike or lower its market value. A land with attractive slopes and beautiful views of mountains, forest and rivers will have a high market value even if these natural scenes are not part of it. Contrary, a property that’s just next to an industrial park, busy freeway or landfill may have a lower market price. Those who want to build residential houses on it may not find it desirable.

Condition

A property with exhausted soil will have a lower market price compared to a fertile agricultural land. Most people may be willing to expensively buy a property with a healthy forest than that with clear-cut forest. Not many people will spend much money buying industrial wasteland or brownfields especially if they are not in pleasing urban centres. The market price of a land with unusual aesthetic or superior appeal will be higher than that of lots without enticing features.

Structures

Most people will be willing to buy a land with particular well-maintained structures more expensively depending on the condition and use of those structures. Conversely, a land with dilapidated structures will have significantly reduced value. This occurs because old and dilapidated structures pose environmental or safety issues through old oil tanks or asbestos.

Location

The price of land increases with the proximity of the property to popular centres and important amenities. A land in a densely populated location is on high demand that eventually increases land-buying competition. Many people may change their mind about buying a particular land once they learn it’s located in a sparsely populated area.

Ashbury Armstrong Creek says that although the size of a land for sale in Waurn Ponds can determine its value, the above aspects play a critical role in value assessment.

Though a property may have admirable vegetation, its location, condition, surroundings and structures dictate its market value.

Buy a House

3 Signs the Time isn’t Ripe to Buy a House

Buy a House in Australia Home ownership is a lifelong goal of most, if not all, Melbournians. Yes, there are great benefits in renting: you have no financial responsibility over the property’s maintenance and repairs, and you don’t have to pay real estate taxes. According to Westbrookestate.com.au, you also can’t deny that knowing your hard-earned money just goes to your property owner’s pocket, instead of building equity on your own property, is a bitter pill to swallow.

But no matter how reasonable your sentiments may be, it doesn’t mean you’d force yourself to buy a property even when you’re not yet ready. Getting a mortgage is the biggest debt you could ever have, so having one when the time’s not yet ripe is like digging your own grave, financially.

So how do you know when you should look for houses for rent in Hoppers Crossing, Bentleigh or other thriving Melbourne suburbs, instead planning to own a residence prematurely? Here are the signs:

You Have No Sufficient Savings

A deposit is not just one of the most basic requirements in applying for a home loan, but also the most useful tool to save yourself thousands in interest. If you can’t put down at least 5% of the purchase price, it’s hard to find a lender willing to say yes to your mortgage application.

You Have No Surplus of Income

You may have a handsome salary, but it’s almost worthless when you have plenty of bills to pay too. Apart from your credit score, lenders would likewise examine your debt-to-income ratio, which what really determines how capable you are to repay your home loan.

After deducting your expenses to your gross income, a high percentage means trouble. Free up some cash first.

You Have Nothing but Costly Houses

The oversupply of properties in major Australian cities, especially Melbourne, Sydney and Brisbane, should logically drag the house prices down, but it hasn’t happened so far.

One of the main reasons is that a large percentage of Australian properties on the market are overvalued, according to experts. Until the law of economics takes effect, your dream house may remain a distant fantasy.

Succumbing to home ownership pressure usually leads to financial disaster. You must realistically assess your situation first to see if renting for now is the most reasonable thing you should do.