You’ve found the perfect patch of land and now you’re ready to build your new home, from

scratch. The right home builder is the key between a beautiful custom home and a project

filled with delays and extra costs – a money pit. If you don’t have a great builder on speed dial,

how can you find a good new home contractor? Here are a few tips for making sure you get

the best builder for your project.

• Build a List of Options – The first step is to find local builders who create homes which

suit your lifestyle and taste.

• Do Your Homework – Ask for references and take your time in doing your due diligence.

Ask for past clients who will be willing to meet with you and show you the actual homes

they have built. Ask about the process and if they finished on time. Ask about problems

and find out how the builder solved them.

• Learn About the Subcontractors – A strong builder works with the best craftsmen in the

area. Ask about the subcontractors and interview them and check their references as

well.

Learn all you can about the builder and their projects. Make sure the homes are built with

solid materials and construction techniques. Before you choose anyone, you should feel

completely assured they will create a great home and completely understand your vision. 

When selling your home, you're obligated, by law, to disclose certain information about your property. Most states require that all sellers complete a written property disclosure form. Majority of the forms have a required set of questions that must be answered. 

THE BASICS

Most states require sellers to complete this form when listing for sale. Nearly all of the questions are a basic yes/no/unknown response. The questions will address material facts, major defects, special disclosures, and federal disclosures. All forms vary by state and require different information. 

MATERIAL FACTS

These include the age of the property, it's condition, known problems, and defects. These are all of the information that would influence a buyer's decision to purchase your home. These disclosures require you to address known defects, things that are reasonably apparent, to ensure you don't knowingly hide a major defect. 

MAJOR DEFECTS

All major defects MUST be disclosed. For instance, fire or flood damage. If your home's electrical system isn't up to code, and you're aware of this, it must be shared with potential buyers. Repairs you have completed, as well as improvements and upgrades, should be noted as well.

Since all states have varying federal and special disclosure laws, it's imperative that you reach out to a local real estate agent to get assistance with the sale of your home. They'll have a copy of the required disclosures and can assist you to ensure you don't find yourself in hot water, legally, if an important disclosure isn't shared with buyers.

If you have been considering purchasing a home, you may be curious to know if this is the right time in the market to make your move. The market is fast changing, with new laws coming into play, interest rates are constantly rising, and a whole slew of things buyers have to face when it comes time to picking the right house. What does that mean for you? Well, that there isn't a better time to buy than now. Let's break down the benefits of purchasing a home now, instead of waiting.  

1. INTEREST RATES ARE SOARING

If you haven't been keeping up with the real estate market, you might be missing out on the data around interest rates. They are going up, and they are going up fast. 5% may not seem like a lot, but can be the difference between hundreds, or even thousands, of dollars on what you are paying out towards your loan on a monthly basis. Would you want to pay an extra $200 towards interest for your loan each month, or would you prefer to pocket that $200? Well we know the answer to that.  Buying a home now while interest rates are at a low is going to be an advantage, both now, and long term. Take advantage of today's rates and purchase a home that doesn't cost you extra just because of interests.

2. HOME PRICES ARE INCREASING

Have you been hearing about folks complaining in your market about the price of homes going up? Well those prices are going to continue climbing. A home that is $200,000 now, could go up to $400,000 in 10 years because of market conditions. We also are aware that wages are not increasing as steadily as the cost of living. Purchasing a home in today's market can get you a bigger and better deal on a house than if you were to wait a few years. Especially in hot city markets, where prices are virtually guaranteed to sky rocket, making a move now can save you hundreds of thousands. 

3. COMPETITION IS GETTING BIGGER

Population growth is a real thing, and with more people, comes more competition for homes. Homes are selling faster, which means a high demand increases home prices. Buying your home now, while the competition isn't as strong as it could be 5 years from now, helps you get a better deal on the home you want now then if you were to wait it out. 

So, in conclusion, the ball is in your court in today's market. There isn't ever a better time to purchase then now. Avoid the competition and the increase in fees and prices, and take advantage of a market that is still in the buyer's favor.

You probably instinctively realize that rising interest rates will affect home buyers.  The interest rate you pay can make a big difference in the size of the home loan you will qualify for as well as the price of the home you’ll be able to buy.

Mortgage brokers use the monthly mortgage payment to determine how much you can afford to pay. Of course the larger the payment, the harder it is to qualify.

Interest Rate And Its Effect On Affordability

All mortgage payments include principal and interest as part of the total cost.  Lenders use this payment to determine how much you can borrow for the home loan. Commonly, you can have 31-35% of your total monthly gross income as a loan payment. It follows that you want the principal portion of your home mortgage payment to be as high as it can be so you qualify for a more expensive home.

Risks Of Waiting To Buy

We are still seeing all-time low rates but more increases are predicted. A home mortgage is the best hedge against inflation. By purchasing a home now, you lock in your monthly housing cost, which as we’ve already seen is the largest monthly expense for most families.  Interest rates are one of the biggest factors that affect your ability to finance a home purchase. Along with your credit score and employment history, the amount of interest you pay on the loan has a big impact on affordability.

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Curious about local real estate? So are we! Every month we review trends in our real estate market and consider the number of homes on the market in each price tier, the amount of time particular homes have been listed for sale, specific neighborhood trends, the median price and square footage of each home sold and so much more. We’d love to invite you to do the same!

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You can sign up here to receive your own market report, delivered as often as you like! It contains current information on pending, active and just sold properties so you can see actual homes in your neighborhood. You can review your area on a larger scale, as well, by refining your search to include properties across the city or county. As you notice price and size trends, please contact us for clarification or to have any questions answered.

We can definitely fill you in on details that are not listed on the report and help you determine the best home for you. If you are wondering if now is the time to sell, please try out our INSTANT home value tool. You’ll get an estimate on the value of your property in today’s market. Either way, we hope to hear from you soon as you get to know our neighborhoods and local real estate market better.