buying a home in lexington ky: VA Loans: The Reason They're Called Benefits - 08/01/14 07:39 AM
 
 
The Reason They're Called Benefits  
The Veterans Administration guarantees home loans for eligible veterans.  It is considered an attractive loan because the veteran can purchase the home with no down payment up to specific loan limits and no mortgage insurance. This makes the monthly payment considerably lower.
 
Let’s assume a buyer wants to purchase a $200,000 home and can get a 4.5% interest mortgage for 30 years.
A FHA loan would require a $7,000 down payment plus $3,377.50 in up-front MIP which can be rolled into the mortgage. The monthly mortgage insurance premium would be $221 per … (0 comments)

buying a home in lexington ky: Fifteen Will Get You Three - 07/07/14 12:09 PM
 
Fifteen Will Get You Three  
Freddie Mac chief economist, Frank Nothaft, says that affordability, stability and flexibility are the three reasons homebuyers overwhelmingly choose a 30 year term.  However, for those who can afford a higher payment, there are three additional reasons to choose a 15 year term: save interest, build equity and retire the debt sooner.
 
First-time buyers have a higher tendency to use a minimum down payment and are very concerned with affordable payments.  It is understandable that the majority of these buyers select 30 year, fixed-rate mortgages.
Consider a $200,000 mortgage at 30 year and 15 … (2 comments)

buying a home in lexington ky: Making Good Offers Better - 06/30/14 12:56 AM
 
Make Good Offers Better  
It’s disappointing, frustrating and sometimes, discouraging when you lose a home you want to buy.
 
One of the hardest lessons for today’s buyers is that writing an offer doesn’t mean that you’ll get the home or even a counter-offer.  The low inventory affecting many of the housing markets requires a different strategy to give you the best chance to get the home you want.
Make your best offer initially; you may not get a chance to accept a counter. Submit a written pre-approval letter from the lender. Increase earnest money above what is considered … (3 comments)

buying a home in lexington ky: PMI: An Unexpected Expense - 06/23/14 02:13 PM
 
 
 
An Unexpected Expense  
In a study released by TD Bank, 65% of buyers with mortgages that required mortgage insurance said the higher monthly payment was more than they originally expected.
 
Private mortgage insurance is required on loans that exceed 80% of the home’s value.  For conventional loans, the premiums range from 0.5% to 1% annually.  The PMI could add close to $100.00 a month to the payments on a $200,000 mortgage and over $200.00 a month on a FHA mortgage.
FHA has two components to its mortgage insurance which includes an up-front charge on closing of the loan … (3 comments)

buying a home in lexington ky: Get Your Offer Accepted - 05/29/14 01:25 PM
 
 
Get Your Offer Accepted As the market shifts from a buyer's market, it's good to know how to improve your chances to have the seller accept your offer.
 
Once you decide on a home, don't waste time; write an offer and submit it as soon as possible. Competing with another buyer happens more frequently than you'd expect. Multiple offers are a seller's advantage but here are some tips to level the playing field:
Realistic offer - don't give the impression you're trying to "steal" the property. Submit comparable sales that justify your offer. Pre-approval letter - this satisfies … (0 comments)

buying a home in lexington ky: Cut Your Housing Costs in Half - 05/21/14 04:37 AM
 
Cut Your Housing Costs in Half  
Serious shoppers wait for a 50% off sale to make the decision because of the bargain factor.  Renters who are serious about lowering their monthly cost of housing should consider buying with today’s low mortgage rates.  For an example, let’s assume a person buys a $200,000 home with 3.5% down payment on with a 4.5% FHA mortgage for 30 years.
 
The total house payment would be approximately $1,508 per month.  However, once you consider the equity build-up due to normal amortization, a monthly appreciation estimated at 2% annually for this example, the … (0 comments)

buying a home in lexington ky: Changing the Lock is Key - 05/08/14 05:57 AM
 
Changing the Lock is Key There are times when you need to change the locks on your home to protect your family and possessions. It should always be considered when you move into a new home; when keys are lost, stolen or unreturned; or a cleaning or other service provider hasn't returned the key.
 
Replacing the lockset would give you a totally new mechanism that should work better and if you go back with the same manufacturer, you'll probably avoid any carpentry. You can order the locks online and have them work with the same key at no extra … (1 comments)

buying a home in lexington ky: The American Mortgage: What a Deal! - 05/06/14 04:03 AM
 
 
What a Deal! A 30 year fixed-rate mortgage hasn't always been the standard. As part of FDR's New Deal in 1934, the Federal Housing Administration was created to help Americans purchase homes with affordable terms.
 
Prior to then, many loans had an amount due at the end of the term called a balloon. Most mortgages had adjustable interest rates even though some might be fixed for a short time. While banks would loan money on a home, they retained the right to call the note due at any time which could exert considerable stress on borrowers.
FHA, during … (0 comments)

buying a home in lexington ky: Consideration could be the key to your new home - 05/05/14 05:50 AM
 
 
Consideration could be the key to your new home  
Consideration associated with a contract is generally thought to be the price and terms but being sympathetic and courteous towards the seller could make a difference in getting the home you want.
 
Business people, like store owners, expect to deal with customers and even become to expect behavior that might not be accepted in a purely social atmosphere. Homeowners, on the other hand, may not be aware of what to expect.  They are opening the sanctity of their home to the public for review and criticism.  Buyers may … (0 comments)

buying a home in lexington ky: The Question Every Cash Buyer Should Answer - 04/27/14 12:28 PM
 
 
The Question Every Cash Buyer Should Answer  
Paying cash for a home seems like a huge advantage to qualifying for a mortgage and an appraisal.  However, for the fortunate few who don’t need a mortgage, there is a question they should answer before they make that decision: Do you think at any point in the future, you might put a mortgage on this property?
 
It’s important because paying cash for a home could affect the ability to deduct the interest if the homeowner should place a mortgage on the home at a later date.
Most homeowner’s know … (0 comments)

buying a home in lexington ky: Improve Marketability/Lower Anxieties - 04/25/14 01:58 PM
 
Lower Anxieties/Improve Marketability
 
One of the anxiety highpoints during the sale of a home is waiting for the buyer’s home inspection report.  Most sellers willingly disclose what they know about their home to any potential buyers.  The concern stems from the inspector finding something that they’re totally unaware of and that it will either cost them a lot of money to correct or the buyer will simply use it to void the contract.
 
If the inspection does reveal some unknown problem with the home, it’s probably as big a surprise to the buyer who is not as emotionally … (2 comments)

buying a home in lexington ky: Avoiding Unexpected Expenses - 04/23/14 10:58 AM
 
 
Avoiding Unexpected Expenses It's common for sellers to consider offering and buyers might find it an incentive, but a growing number of homeowners are purchasing the home warranties themselves to limit the unexpected expenses of repairs and replacements.
 
A home protection plan is a renewable service contract that covers the repair or replacement of many of the components in a home. Some homeowners especially like the convenience that it organizes a qualified service provider as well as the cost of the items.
There are a variety of companies that offer home warranties and the coverage may differ but … (0 comments)

buying a home in lexington ky: What's It Going to Take? - 04/15/14 05:06 AM
 
How much evidence is needed to make a decision to get out of the rent race and become a homeowner?
 
Compare your rent with a mortgage payment on a similar size property. If you want a larger home than your current one, use the rent that property would require instead of what you're currently paying. If it's considerably cheaper, you may not need any further encouragement.
By the time you consider the principal reduction, appreciation and tax savings, your monthly cost of housing could be much less than the rent you're paying.
The principal reduction included in each payment … (1 comments)

 
Trey McCallie, Excellence in Real Estate since 2003 (Tate Daniels Concierge Real Estate)

Trey McCallie

Excellence in Real Estate since 2003

Lexington, KY

More about me…

Tate Daniels Concierge Real Estate

Address: 802 Sunset Dr, Lexington, KY, 40502

Mobile: (859) 312-7599

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