16
Jun
By First Rate Financial Group
Mortgage

Deciding Whether To Move or Refinance: Which Is The Better Option?

Deciding Whether To Move or Refinance: Which Is The Better Option?There are a lot of people who are wondering if now is the right time to move or refinance their current home loan. With interest rates still favorable, a lot of homeowners have the potential to save a lot of money if they are able to secure a home loan with a lower interest rate. There are two ways homeowners can secure a home loan with a lower interest rate. The first is to refinance. The second is to move. Which option is better? There are a few key points to keep in mind.

Taking A Closer Look At Refinancing

There are a lot of homeowners who have an abundance of equity currently built up in their homes, making this a great time to refinance. With a refinance, there are multiple options available. Some homeowners might refinance to access the equity in their homes, allowing them to complete a project. Some homeowners might refinance in an effort to pay off their home loan sooner. If homeowners are trying to access more equity, or are trying to shorten the term of the loan, then refinancing might be the smart move.

Looking At The Option Of Moving

The other option is to get a new home loan entirely by moving. This is an attractive option for homeowners who might have a dream house they would like to move to. In particular, any homeowner who currently has a home loan with a high interest rate should consider moving into their dream home now. Because mortgage rates are low right now, this is a chance for homeowners to move into a larger house while keeping their mortgage payments the same or less by obtaining a lower interest rate.

Every Situation Is Different

In the end, every situation is different. Because interest rates right now are so low, now could be the time for homeowners to consider moving or refinancing. Switching to a home loan with a lower interest rate could save tens of thousands of dollars over the life of the loan. Anyone with questions or concerns should reach out to a professional for help.

15
Jun
By First Rate Financial Group
Mortgage

Do You Have Enough Of A Down Payment Saved Up?

Do You Have Enough Of A Down Payment Saved Up?If you are planning on purchasing a home in the near future, you need to make sure you have enough money saved up. While there are a lot of expenses that go along with purchasing a home, the biggest expense is the down payment.

The common belief is that people have to put 20 percent down; however, even if you don’t have 20 percent saved up, you might still be able to purchase a home. It will depend on whether you can get a lender to provide a loan that is greater than 80 percent of the purchase price of a home. If you have a strong credit history, you may be able to get one.

Getting A Loan With Less Than 20 Percent Down

First, many lenders realize that many people do not have enough money saved up to put down 20 percent. After all, this could be tens of thousands of dollars.  Although some people might be able to get a loan with only 10 percent down, those with outstanding credit might even qualify for a larger loan. There are certain people, such as veterans, who might have other options outside of conventional loans that might open other doors. If you are looking to get a home loan for less than 20 percent down, you will want to check all of your options.

How To Get A Loan For Less Than 20 Percent Down

Particularly if you are a first-time homebuyer, you might not know how to get a loan for less than 20 percent down. First, you need to have a strong credit score. If the lender is giving you a larger loan, they will want to make sure you can pay it back. Having a strong credit score can prove this to them. You may want to check your credit report ahead of time to correct any inaccuracies.

Second, you need to take a look at your debt to income ratio. If you have a lot of debt, consider paying this down before applying for a home loan.

Finally, trust an experienced lender to guide you through the process. You might be able to get a home loan for less than 20 percent down.

10
Jun
By First Rate Financial Group
Mortgage

Photography Tricks To Watch Out For When Buying A Home Online

Photography Tricks To Watch Out For When Buying A Home OnlineWith COVID and social distancing keeping people apart, buying a home in person has become a real challenge. Digital tools and online presentations of homes for sale have ramped up in response, making it possible to see properties with both static images/photos and with “360 degree” views or interactive walkthroughs. However, these are not real-time images of the home itself. They are professionally-developed representations of a property, and a lot of software work goes into making those images marketing ready.

Photographic Tools of the Trade

If a listing has included images created by a professional photographer, he or she will have used a number of resources to produce what a consumer sees. First, the camera will be a high-grade, professional unit with enhanced features in it for different lighting aspects. It may be likely that 20 to 30 individual shots were taken and possibly merged to get the “right” image.

Once the raw image set is identified, the photographer will then use processing software to enhance the image. This includes features like further lighting changes, straightening of vertical and horizontal levels in the image, color saturation and vibrancy, and spot or mistake fixing. In short, the room or home in the image won’t be the actual, exact room seen in real time. Additional work can be applied on clouds and background, such as seen in external property photos, and mask layers can even be applied to add in elements that were never in the original photograph when snapped.

Spot-fixing is a frequently-used digital effect that hides blemishes otherwise visible in a photograph. It’s very easy to do, and the matching by the software blends the targeted image part with surrounding material, so the end result looks natural and unedited. This can cover up wall stains, dents or sagging, cracks, carpet blemishes and a lot more.

Videos Aren’t Much Better

Another typical photo-based display of homes tends to be video. Folks often believe videos are more accurate and better than photographs in judging a property. However, keep in mind there is an extensive set of tools for digital video editing available, and most film professionals know how to apply similar lighting, color, and changes to film as well as how to edit and present the best image versus cropping out and removing snippets of questionable coverage. The big problem with video is how much of it can be changed with multiple video shots streamed together to look like one view or one time period.

Photographs Hide Staging

Another big issue with newly-built homes as well as used homes for sale is staging. Photographers work with sales teams to stage and present a what-if view of a home for sale that can be very different from the actual product received once the escrow is completed. Unless you see the photographs in raw form, you really don’t know what you are buying without physically visiting the property.

Bottom line, try to avoid buying a home without seeing it in person. If you do need to purchase remotely, use a third party you can trust to obtain independent images that are not professionally altered, or you may be unhappily surprised with the difference between a listing’s marketing images and your actual new home.