Blog — Page 743 of 848 — First Rate Financial Group

21

Aug

Real Estate Tips

3 Handy Tips That Will Prevent Serious Stress when Buying and Selling a Home at the Same Time

3 Handy Tips That Will Prevent Serious Stress when Buying and Selling a Home at the Same Time If you’re in the process of simultaneously buying and selling a home, you may be in for the most stressful experience of your life. One UK-based real estate survey of over two thousand people found that buying and selling a house is more stressful than divorce, bankruptcy, a death in the family, becoming a parent for the first time, and even planning a wedding!

It’s not easy, but staying calm will help you to plan for your upcoming home purchase and sale and make the process easier. So how can you avoid the stress? Here are three strategies that will keep you calm, no matter what may happen.

Have A Thorough Plan In Place…

Much of the stress that you’ll experience will probably be the result of poor planning. You may feel stressed if you don’t have enough time to move or if you have to pay mortgages on two homes because your old home isn’t selling fast enough.

Before you get too far into the buying and selling process, talk with your trusted mortgage professional and ensure you have a solid financial plan in place for how you’ll manage buying and selling at the same time. Leave a time and expense buffer for unexpected complications – even if nothing goes wrong, it’s still nice to know you have some room to work with.

…But Be Ready To Improvise If Things Go Sideways

There are a number of ways that buying and selling at the same time might result in complications. Poor timing might mean you need to move out before you have a home to move into, or it might mean you don’t have the money for your new home if your old home hasn’t sold. Be prepared to rent a hotel room, take out a short-term loan, or move your belongings into storage if the sale doesn’t go according to plan.

Talk Out Your Problems With Loved Ones

In times of stress, it’s helpful to turn to friends and family for a helping hand. Studies have shown that having a strong social support network can mitigate the effects of stress, and even the Mayo Clinic suggests reaching out to loved ones when you feel overwhelmed. Don’t be afraid to ask your friends for emotional support, and whenever you have an opportunity to socialize, take it – you’ll find it easier to handle stress after a fun night out with friends.

Buying and selling a home at the same time is bound to be stressful, but working with an experienced mortgage professional and having a good financial plan in place can minimize the agony. Call your trusted mortgage professional to learn how you can successfully manage your finances while buying and selling a home at the same time.

20

Aug

By support

Market Outlook

FOMC Minutes: Rate Hike May be Near

FOMC Minutes Rate Hike May be Near The minutes for the most recent meeting of the Federal Reserve’s Federal Open Market Committee (FOMC) suggest that while committee members won’t specify a date, a rate hike could come sooner than later. Committee members continue to cite concerns over labor markets and other economic factors, but the minutes of the FOMC meeting held July 28 and 29 indicate that a majority of members see a rate change as likely in the near term.

Economic Conditions “Approaching” Readiness for Rate Hike

According to the minutes released Wednesday, the time for raising rates is not hear yet, but a majority of FOMC members feel that the time is approaching when economic conditions will warrant an increase of the target federal funds rate which is currently set at 0.00 to 0.25 percent. When the Fed increases this rate, consumer loan rates including mortgage rates are expected to increase as well.

Achieving maximum employment is one of the Fed’s mandates; labor markets continue to improve as the national unemployment achieved its lowest reading for 2015 as of June, but labor force participation and the unemployment to population ratio have also declined. On a positive note, the number of part-time workers was lower and under-utilization of workers was lower than since the beginning of the year.

Committee members continued to have varied opinions about whether employment rates are low enough to indicate that the Fed’s mandate of “maximum” employment had been achieved.

Inflation remains below the 2.00 percent medium-term goal set by the Fed. FOMC members have consistently indicated that they don’t expect to see inflation achieve the target rate in the near term.

Housing Markets Show Improvement

The minutes noted that while construction of new homes declined in June, new starts increased over the second quarter. Sales of new homes were lower in June, but sales of existing homes increased. Building permits issued suggest the rate of construction is stable but little changed. Pending home sales were stable and suggest little change in completed home sales in the near term.

A jump in multifamily building permits were attributed to an expiring tax credit date, but housing analysts have repeatedly cited the millennial generation as preferring to live and work in large metro areas where housing can be out of reach for all but the top tier of earners. In other economic sectors, the minutes said that auto loans and student loans continued to grow.

The FOMC minutes indicate the same position of FOMC members in recent months; while the national unemployment rate is low, the Fed does not expect to see inflation at the agency’s target rate of 2.00 percent immediately. Committee members note that they will continue to monitor domestic and global financial conditions as part of the fact-finding process necessary for deciding when to the federal target funds rate,

Speculation over when the Fed will move to raise rates has persisted for several months and will no doubt continue until the Fed does decide to raise rates.

19

Aug

By support

Home Buyer Tips

Buying an Investment Property? 3 Key Home Features That Will Help Ensure You Turn a Profit

Buying an Investment Property? 3 Key Home Features That Will Help Ensure You Turn a Profit If you’re entering the real estate investment market for the first time, you’re embarking on a great adventure – and with a solid plan, you can turn a tidy profit on your investment.

The key to a successful real estate investment is choosing the right property. A great property will reap dividends for years to come. Look for these three features in your next investment property and you’ll have no trouble finding one that turns a profit.

Location: More Important Than You Think

The location of your investment property will be critical in determining how much you earn on it and how long you’re able to keep tenants. And as the saying goes, you can change the color of the walls, you can change the type of flooring, and you can change the layout of the home, but you can’t change the location. So before you do anything else, make sure your new investment property is in a good location.

High cash flow investment properties tend to share certain location characteristics. They tend to be in neighborhoods with great schools and great amenities like pools, parks, movie theaters, and public transit. They also tend to be in an area with quiet, low-traffic, well-kept streets. Great neighborhoods have a low crime rate and don’t mix housing types.

Average Rent Price & Vacancy Rate: Look For Marketability

Aside from local amenities, you’ll also want to consider the average vacancy rate and rent price in your neighborhood. If you can’t cover your costs by charging the neighborhood’s average rent, then the home is a poor investment.

Keep an eye on vacancies in the neighborhood. If there are a high number of vacancies in the area, it could mean that the area’s rental market is seasonal or that renters are no longer interested in it. A low-vacancy area will allow you to charge more rent, and you’ll be more likely to find renters.

Floor Plan: Know The Trends And Buy Accordingly

There are a lot of things you can change if you don’t like your home, but the floor plan is a challenge to rearrange. That means in order to make your property competitive on the market, you’ll want to choose a property with a modern floor plan. Watch the trends and buy a home with a floor plan that’s in demand – you’ll have an easier time finding tenants.

Buying an investment property is a great choice for smart investors, but it’s important to make sure you are in the right position to turn a profit. An experienced mortgage professional can help keep your costs down on your mortgage so that your profits stay high. Contact your trusted mortgage professional today to learn more about what mortgages would work best for your situation.