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So you’ve gone through all the pain and frustration of getting a loan to buy your new home, and now you want to celebrate, right? Well, before you go crazy buying furniture and flat screen TVs, you may want to think twice. If you destroy your credit score or debt-to-income ratio anytime between preliminary loan approval and closing, you won’t be able to get your loan underwritten.

Here’s a very simple list of the DON’Ts:

1) DON’T buy or lease a car. Large leases or purchases can greatly impact your debt-to-income ratios.

2) DON’T move assets from one bank to another. These show up as new accounts and create havoc with your loan process.

3) DON’T change jobs. Underwriters will insist on a probation period before income from a new job can be considered.

4) DON’T go crazy with credit cards. Increasing your debt can disqualify you from getting the loan to buy your home.

5) DON’T run a credit report on yourself. This will show up as an inquiry and will reduce your score.

6) DON’T attempt to consolidate your bills without speaking to your lender first.

7) DON’T pack or ship documents which may be needed to complete your loan process. Duplicate tax returns, W-2s, etc can take weeks to get hold of.

If you’ve already committed one or more of these 7 deadly sins…don’t panic…contact your loan consultant!

I’m sure we’ve all heard that location is probably THE single most important factor to consider, when buying a home.

Yet how many of us ignore this fundamental principal? The answer is more than you think! As a Realtor who has been in this business for many years, you’d be amazed at how many times I have this conversation with clients:

Me: “So, what area of town are you looking in?”

Client: “Uuuh, dunno!”

Me: “Well, at least give me a compass point…do you want north, south, west or east?”

Client: “Uuuh, somewhere not too far from schools, dining, shopping.”

Me: “That covers about 99% of all Vegas/Henderson communities…can we narrow it down?”

This dialogue can often go back and forth for ages!

So here’s the problem. For those of us who have lived here a while, we pretty much have clear-set ideas about where we like to live, but there are literally thousands of people moving to Vegas for the first time, who are absolutely clueless. When I moved here from England with my family a couple of years back, I also faced this problem, so perhaps I’m in a fairly unique position to offer some simple advice:

·         Buy yourself a map and mark on it your place of work.

·         Look to see where the nearest highways are (I15, 215 beltway etc.)

·         Check out if there are any major urban communities or master plans nearby (Summerlin, Mountains Edge, Green Valley etc)

·         If you have kids, check the school zoning by visiting the Clark County School District website www.CCSD.net

·         Pick out a couple of subdivisions and spend a day or two driving the neighborhoods.

·         Don’t be afraid of asking local residents and store owners what they think of the area.

·         Visit the neighborhood at different times of the day and evening, and be aware of traffic congestion, street lighting, dogs barking, and any other factors which may enhance or destroy your quality of life.

·         Make sure the prices of homes in a given area are within your comfort zone.

·         Take into account that some areas charge Master Plan fees, SIDS or LIDS.

·         Make sure you work with an experienced Realtor who has good local knowledge and knows his or her way around town.

And finally, remember this when buying a home. Changing flooring, upgrading kitchens, sprucing up the yard, or repainting, can easily be done. It’s just a question of time and money. But once you’ve selected a location, that’s it…you can’t pick up your home and move it to another neighborhood, so choose wisely!

Rates on 30-year mortgages dropped sharply again this week, falling to the lowest level in seven months.

On Thursday, Freddie Mac’s nationwide survey found that 30-year, fixed-rate mortgages had declined to 5.78 percent from 5.93 percent the previous week.

It was the fifth consecutive weekly decline and dropped the 30-year mortgage rate to the lowest level since the week of Feb. 14, when it stood at 5.72 percent.

Freddie Mac says the big drop in mortgage rates is fueling a boom in refinancing, with mortgage applications up 58 percent since mid-August.

Rates have continued to fall following the U.S. government’s takeover of troubled mortgage giants Fannie Mae and Freddie Mac on Sept. 7. The government has pledged as much as $100 billion per company to shore up their capital, a move that assured a continuing flow of funds into the nation’s housing market.

So what does that mean for buyers and sellers of real estate? Well, for buyers, lower rates means that as more and more potential homeowners are able to afford a home purchase again, the availability of well-priced homes will shrink at a faster pace, putting pressure on a possible price hike. Clearly the temporary buyers’ market won’t be around for ever.

And for sellers? Great news! The decline in mortgage rates widens the market, eases tension, increases confidence, and gives a substantial boost to the spending power of savvy buyers looking to buy a home while prices are still affordable.

For those of us who woke up this morning with a hangover brought on by an excessive intake of yesterday’s bad news, here’s a little tonic to take away the pain.

There’s no question that the collapse of Lehman Bros and Merrill Lynch was a catastrophe of epic proportions, and our sympathies go out to the thousands of employees and small investors who will undoubtedly suffer. But in reality, once the preferred stock holders get their money back (and they will), and the dust settles, the world’s financial institutions will re-adjust and get on with the job in hand.

So where’s the silver lining in these dark, hostile clouds? Well, let’s just remind ourselves that the purpose of this Blog is to keep buyers and sellers of real estate informed, and hopefully, inspired. The fact is that when the financial markets are volatile, the money still has to go somewhere, and it tends to go into bonds. When bonds strengthen, guess what happens to interest rates? That’s right…they go down, and that’s great news for buyers and sellers of real estate.

As recently as last week, FHA mortgage rates were right around 6.75%. Today they’re at 6%. If things continue as they are, the likelihood is that very soon rates could well be in the 5s. If that’s not a solid silver lining, then I don’t know what is!

1. Bathrooms. You might be surprised to learn that bathroom remodels can often increase your resale value. Consider replacing outdated tubs, sinks, vanities, toilets, fixtures and flooring. Even basic updates like recaulking the tub, replacing old shower doors, and applying a fresh coat of paint to the walls may make a difference. A few stylish touches like plush new towels and bathmats can
   help too.
2. Kitchen. Many times, the heart of the home can be the heart of a sale. Make sure countertops and flooring are in good shape. New cabinets are a great way to give the whole room a lift. If you′re on a strict budget and can′t afford to replace old wood cabinetry, you can sand and paint them for a fresh update. Other things to consider that may appeal to buyers: stainless steel appliances and window treatments.
3. Exterior. It′s just like the old saying: ″You never get a second chance to make a first impression.″ Curb appeal should be a top consideration because it′s the first thing potential buyers will notice. Make sure the lawn is in good shape and consider planting flowers or a tree. Even little touches like a potted plant or a welcome mat can help make a difference.

If your home doesn′t need major improvements, there are still many things you can do to help make it more attractive to buyers. Start with a clean slate: scrub the walls, clean the carpets, wash the windows, and shine hardwood floors. Repair anything that′s broken—no matter how minor—so it doesn′t detract potential buyers.

As a finishing touch, stage rooms to show off their true potential. You can hire a professional to help, or go it on your own. Get a storage unit and clear out excessive clutter and personal belongings. Display furniture and décor in a way that makes the rooms feel inviting and warm while maximizing space.

So go ahead, and don’t wait to Spring-clean your home…try a Fall-clean instead!

Reason 1:
It′s a buyer′s market.

It may sound strange, but a downturn in the housing market is actually positive for buyers. Right now, it′s a buyer′s market—and that means you can get more for your money. Some experts have called current affordability the best in years, especially with attractive interest rates and a variety of loan programs.

If you′re thinking about waiting until the market improves, consider this: waiting could mean missing out on the great opportunities available right now. There′s only one way to take advantage of a buyer′s market—and that′s to buy!

Reason 2: History is on your side.

The homebuilding industry is cyclical. Instead of looking at short-term dips and rises, focus on the bigger picture. Historically, long-term home values have increased substantially despite short-term market fluctuations. The last housing downturn occurred in the late 1980s and early 1990s. New home sales began recovering in 1992 and continued growing until the next peak in 2005.

So what does this mean for you? It′s a sound reminder to think about your long-term goals. This may be an ideal time to ″buy low″.

Reason 3: Attractive new financing opportunities.

Not only are interest rates attractive, there are a variety of loan programs geared toward current needs. For example, temporary changes were made to FHA loans earlier this year, which increased the loan amount that homebuyers could potentially borrow. If you′re shopping in a market where homes were previously above the FHA loan limit, you may now be able to obtain an FHA loan.

Reason 4: Potential tax savings.

If you′re a renter, you′ve probably heard about the tax savings homeownership can offer. Taking advantage of those savings is not as complicated as it sounds

Additionally, The Housing and Economic Recovery Act of 2008 provides several reforms designed to help offer homeownership assistance, including a new $7,500 tax incentive.

Reason 5: Life doesn′t wait.

Think about the reasons you′re shopping for a new home. Is it because you want a little more space? A location closer to family or work? Or maybe you just want a change of scenery! Whatever your reasons, chances are they have less to do with the market and more to do with your lifestyle needs.

Remember, life doesn′t stop just because the housing market experiences challenges. Dreams can be reality, so why wait to start making them come true?

The long-running saga of the Fannie Mae / Freddie Mac meltdown has been playing across our screens like some far-fetched soap opera. But if we divorce ourselves from all the hype and drama for a second, what do we really see in the bigger picture?

It’s a bit like the “glass half full or glass half empty” question. If you’d have asked most people a few months ago, to predict the outcome of what has happened, they’d have probably painted an “end of days” scenario, with the world as we know it, self-imploding!

But what actually happened can really only be cause for celebration. As a nation, the United States of America has yet again proved that when the chips are really down, Uncle Sam will always come to the rescue.

Why do we always panic when things don’t always go according to plan? As Franklin Roosevelt famously said “we have nothing to fear but fear itself”. In spite of all the doomsday predictions, the fact is that world markets have mainly rebounded on the news that the Fed has stepped up to the plate, and purchased Fannie and Freddie outright, mortgage rates have eased, and financial experts have breathed a collected sigh of relief. And guess what? The world continues to spin, and we all get on with our lives.

So what lesson can we learn from this story? That seemingly impossible situations have a habit of resolving themselves? For sure! That today’s bad news is replaced by tomorrow’s new spin? Absolutely! But perhaps the most important lesson we can take from all of this, is that when considering purchasing or selling a home, we should always consider the fundamentals, and try not to get too caught up in what we see and hear in the media.

As a hard-working, busy Realtor, I spend a lot of time viewing and analyzing statistics, market trends, interest rates and many other reports relevant to my job. This gives me an edge when dealing with buyers and sellers alike, who quite rightly demand a sense of professionalism from their real estate advisor.

This morning, as I was getting ready for work, I realized how important my own home is, to myself and my family. A home is more than just walls, roof, yard etc. A home is the bedrock on which families are born and raised, it is the focal point of our social life, it gives us comfort and shelter, happiness and fulfillment.  Yes, we all want to feel we bought our home at the right price, that our home will increase in value, and that one day we’ll be sat on a handsome retirement nest-egg.

The fact of the matter is, that if we look back over the last few generations, home values have consistently gone up over the medium to long term. The reality is that downturns in housing values are always temporary.  The problem is that we all tend to get too fixated on short-term trends, and we miss the bigger picture:  Yes, we all want to buy at the bottom of the market, but in reality, a few thousand dollars up or down, spread over the time most people live in their home, is neither here nor there. 

So if you’re obsessing about when is the absolutely 100% perfect time to buy or sell a home, you need to take a deep breath, count to 10, and make a decision that’s right for you, rather than trying to look at the housing market, as if it were a speculative move on the stock market, or rolling the dice in a casino. Life’s too short to be miserable.

How many times have we driven past a particular property and thought to ourselves “I could have bought that for $100,000 a couple of years ago, and now it’s worth over half a million!” ? or “If only I’d have made the decision to buy that home, I’d now be sat on a chunk of equity.” ?

It’s amusing and amazing to see how many people hunt in packs, or to be less kind, act like sheep and blindly follow the leader. Since economies first began, there has always been one golden rule to acheiving the Midas touch: buy low and sell high!

So why are most people still sat on the fence waiting for the housing market to rebound? Scientists tell us that the definition of insanity is following a repeated pattern and expecting a different outcome. So why do we wait for house prices to sky-rocket before we buy, then complain we overpaid? Or wait and wait and wait, and then feel cheated because we missed the boat?

The other day I listened to an inteview with real estate guru, Donald Trump. We can all ridicule his hair style, but nobody can argue that he’s a genius when it comes to real estate investing. He said that for at least a year before the last peak in real estate, he begged anyone who would listen, to sell, sell, sell! Since the beginning of this year, he’s been urging people to buy, buy, buy! And Donald doesn’t say “do as I say, not as I do”… he’s been buying real estate like crazy, and putting his money where his mouth is. Does he know something we don’t know? No…he has the same information available to everyone. It’s just that most of us go through life oblivious to opportunities, even when they’re thick on the ground.

So come on people, wake up to reality and stop following the herd. Don’t say “I could have / should have / would have”… instead say “I did!!!”.

How many of us go through life, oblivious to the repercussions our actions can cause to those we deal with on a daily basis?

Although we try to do our best, sometimes that’s just not enough. Those of us who take great pride in doing the best job for our clients or customers, understand the need for constant self-assesment. If we make mistakes (and we do…even Realtors are guilty of human error!), we’re told to pick ourselves up off the floor, learn from our mistakes, dust ourselves off, and strive to improve.

In theory, these are easy concepts. But how to put them into practice?

Well, one way is to open the gates and ask my clients, colleagues, and people I’ve had business dealings with, to judge my performance through my new blog.

This is meant to be fun, informative, and revealing. I just ask you to follow 3 simple rules:

1. Only post genuine reviews.

2. Be brief and honest when  posting comments.

3. Please do not be a child. You don’t have to use profanity to get your point across.

It’s tough to accept critisicsm, but I’m willing to give it a try!

I’ll be adding new stuff daily, and I’ll confess right away that my posts will be good news…I’m an upbeat person, and I don’t buy in to all that negativity!!!