According to a recent article, Alpharetta, Georgia (GA) is the best place to buy a home these days. The average home price is $359,950. Alpharetta is located primarily in North Fulton county with a small section in South Forsyth county; taxes are lower in Forsyth. To assist with a home buyer's navigation, here is a map.

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Opportunities may be looking pretty good for first time home buyers in Georgia. When conservative financial gurus are suggesting that opportunities are ripe, then even the most skeptical should take notice. It is easy to look past real estate professionals who have motives to suggest that now is a good time to buy; but, when a financial guru suggests it, it is certainly worth taking note. Many buyers are sitting on the sidelines hoping to catch the bottom of this trough. Regrettably, many may miss out because no one can catch the absolute bottom of any market, including real estate.

RESPA to roll out a new HUD-1 form. In an attempt to simplify the mortgage process for home buyers, HUD/RESPA has proposed a new HUD-1. In addition, a new standardized GFE(Good Faith Estimate) will be implemented too. All yield spread premiums (YSP's) will be required to be disclosed on the new GFE. The combination of these new disclosures will save mortgage shoppers approximately an average of $668 at the closing table -- an estimated $8.35 billion a year. These savings will most likely come right out of the pockets of loan originators.

These changes by HUD would also create an addendum to the revised HUD-1; prepared scripts are to be read at closing that compare the GFE to the HUD-1. This process would advise borrowers whether changes in promised closing costs (settlement fees) have stayed within HUD's allowable limits -- and verifying that loan terms on the GFE match loan documents such as the mortgage note.

A commission rebate in Georgia is a very effective approach to lower the cost of a real estate transaction for the home buyer in GA. Depending on the buyer's lender-requirements and the type of loan program (Conventional, FHA, VA), a commission rebate in Georgia can be applied toward closing costs, an interest rate buy-down or in the form of a rebate check after closing. A rebate of commission can potentially put thousands of dollars back into the hands of the home buyer -- monies that he/she would not ordinarily receive. Typically, other parties to the real estate transaction would retain these funds; however, with a commission rebate in place, the Georgia home buyer saves at closing.

Once the importance of a commission rebate in GA has been established, then a home buyer needs to address the qualifications of the buyer's agent that will provide the commission rebate. It would not be wise to merely select an agent based on a certain rebate amount, but rather a combination of the service to be provided as well as a home buyer's rebate of commission. A good buyers agent in Georgia will go to bat for the home buyer that potentially saves the home buyer thousands extra through strong negotiations in all aspects of the transaction; one can be "penny wise, pound foolish" when selecting an agent solely on the amount of the commission rebate. What's most invaluable is when a buyer's agent will contend on your behalf for the numerous issues that usually arise during a real estate transaction.

Before looking at any homes in Georgia, consult with a real estate buyer's agent that will offer the buyer a money-saving commission rebate.

Fannie Mae and Freddie Mac are getting tough. They will only purchase loans from banks that use independent appraisers. To me, it's long overdue. Our industry has been built on a "who knows who" platform and that can lead to the problems that have been manifested with inflated appraisals. Appraisers felt compelled to please mortgage brokers & bankers in order to keep the referral of business flowing; those appraisers who brought in the value needed to support loans values were continually given referrals. However, appraisers who would not partake in unjustified appraisals were not given any business. It's time for the good guys to reap the benefits now.

 

With the mortgage market in disarray, many buyers will have to seek out VA or FHA loans to obtain financing. If you are in the military or a discharged Veteran, then chances are you qualify for a VA loan. VA loans provide 100% financing without MI (mortgage insurance). Traditionally, unless a borrower has 20% for a down payment, then the borrower is charged a mortgage insurance premium on a monthly basis; this can equated to hundreds of dollars per month. With a VA loan, however, mortgage insurance does not apply. Hence, the VA loan has saved you money.

Then there's the FHA loan. FHA (Federal Housing Authority) provides government backed insurance to lenders that allow many borrowers to obtain financing with liberal underwriting guidelines. It's like an insurance policy for the lender in the event the borrower defaults on the mortgage. In many cases, the borrower can use a down payment assistance program in conjunction with the FHA loan to obtain 100% financing. There will be, however, mortgage insurance charged on a monthly basis. Two of the more known down payment assistance programs are Nehemiah & AmeriDream.

When obtaining a VA, Conventional or FHA loan from any mortgage lender, use a buyer's agent real estate rebate to lower your transaction costs (closing costs).

 

To get the most out of your VA, Conventional or FHA loan, use a realty rebate to reduce your interest rate (buy down), pay closing costs or reduce the price of your new home in Atlanta, GA. A cash back rebate at closing, when used in connection with your VA, Conventional or FHA loan, reduces the cost of buying a new home by thousands of dollars. This cash back rebate is in addition to all seller or builder incentives, credits, discounts and promotions; use your own lender too.

Furthermore, a buyer is entitled to a buyer's agent to promote the interest of the buyer -- not the seller, builder, mortgage company and/or closing attorney. With most new home purchases in Atlanta, the seller, builder, the builder's agent, the mortgage company (preferred lender) and the closing attorney are all working together. A buyer needs their own buyer's agent who has no affiliation with any of these parties.

VA & FHA loans - New Homes Atlanta, Georgia

Inflation is certainly moving higher. It seems like all of our daily items are getting more expensive by the day. This can be directly attributed to the cost of oil. Ben Bernanke, the Fed chief, sees this as a problem going forward.

It seems to me that the housing market started to drop off when gas shot up in 2005. Aside from the very well off, high oil prices affects everyone. It makes people reassess large purchase items because of the uncertainly of oil prices. What's more, with inflation looming, the likelihood of low mortgage rates is minimal. This is a double whammy for the housing market.

 

There are pros and cons with all things in life, including the manner in which to handle the economy. While I personally believe in personal responsibility, I do question if it is practical in today's world? After all, people will do whatever you allow them to do; I have found this to be true time and again in all aspects of life. Irrespective of your personal beliefs on this matter, the mortgage/real estate debacle has certainly fueled the fire for those who argue that we need bigger government to oversee the economy.

What say you? In principle, a free economy wins the day. But what about in reality?

 

The importance of a buyer's agent is derived from the principle that there are potentially many pitfalls associated with a real estate transaction; things you may never even think of. Caveat Emptor (buyer beware). A buyer's agent is your represenatative and advocate during the purchase. A home buyer should seek out a good buyer's agent who is focused on saving the buyer money through strong negotiations throughout the entire transaction; for homes listed in the MLS, the commission for the seller's agent and the buyer's agent is already built into the final price of the home. Perhaps, the home buyer doesn't need full service from their buyer's agent because they are willing to incur some of the legwork when shopping around or researching. In that case, a home buyer's rebate at a real estate closing might be appropriate; this is merely a price reduction of buyer-agency services directly to the home buyer. While there is generally no direct cost to pay for a buyer's agent, the buyer bears some of the burden for real estate commissions through the price of the house, even though the seller appears to pay for it all.