Discover the Power of the Flat Rate Realty Group Blog: Your Ultimate Guide

Welcome to Flat Rate Realty Group’s blog, a premier resource tailor-made for homebuyers, sellers, and investors exploring Colorado real estate in Colorado Springs and beyond. Our mission is clear: to empower you with trusted, actionable real estate knowledge that drives confidence and success in your property journey.

With today’s real estate market evolving rapidly, having an expert guide can make all the difference. That’s why our blog combines in-depth market analysis, detailed how-to guides, insider tips, and regional neighborhood insights — all framed by the proven Flat Rate Realty model of exceptional customer service paired with flat-fee savings.

Why Read the Flat Rate Realty Group Blog?

  • Expert Local Insight: We live and breathe Colorado real estate — sharing first-hand neighborhood trends, market stats, and investment opportunities.
  • Cost-Saving Strategies: Learn how our flat rate commissions save typical sellers about $10,000 in real estate fees while receiving full professional services.
  • Comprehensive Guides: Step-by-step instructions for buying, selling, negotiating, and financing homes or land in Colorado efficiently and stress-free.
  • Buyer Rebates and Incentives: Exclusive details on programs offering rebates up to $3,500 for buyers who list through Flat Rate Realty.
  • Market Updates & News: Stay current with regional price trends, inventory updates, and economic drivers impacting Colorado real estate.
  • Real Client Stories: Authentic testimonials showcasing how we’ve helped buyers and sellers save money and achieve goals.

What You Will Find in Our Blogs

Our blog covers critical topics, including but not limited to:

  • Colorado City and Neighborhood Guides: Detailed posts on communities like Colorado Springs, Castle Rock, and more.
  • Real Estate Market Trends: Analysis supported by data from sources such as the Colorado Association of Realtors.
  • How-To Guides: From preparing your home to sell, home inspections, appraisal tips, to navigating loan approvals.
  • Financial Tips: Optimizing buyer credits, financing options, costs breakdowns, and tax considerations.
  • Flat Rate Realty Service Deep Dives: Understanding our unique flat-fee approach and how it benefits you directly.

Step-by-Step: How to Maximize Benefits Using Our Blog

  1. Identify Your Goals: Browse posts focused on either buying or selling to hone in on your current needs.
  2. Leverage Neighborhood Links: Access the city guides for detailed local insights before home search.
  3. Engage with Market Trends: Use our data-supported posts to time your purchase or sale advantageously.
  4. Apply Financial Tips: Make informed decisions on budgeting and rebate opportunities informed by our expert content.
  5. Follow Our How-To Guides: Prepare yourself for each transaction step with checklists, timelines, and best practices.
  6. Contact Our Team: Use insights gained to approach Flat Rate Realty agents ready to support your unique real estate journey.

Key Benefits of Using Our Blog as a Resource

  • Unique Flat-Fee Savings explained and illustrated
  • Insider market knowledge specific to Colorado Springs & Colorado’s evolving landscape
  • Actionable advice for professionals and first-timers alike
  • Direct access to trusted agents and affiliate services
  • Regular updates and fresh perspectives keep your knowledge current

Client Voices: Success Stories From the Flat Rate Realty Group Family

"Had the absolute pleasure of buying a home with Frank. We not only got our number 1 choice but also got it for over $10,000 cheaper than it was listed for... He is one of the best Real Estate Brokers in Colorado Springs!" – Ross Keps
"Frank and his team sold our house above market value while charging a fraction of traditional commissions. Their personal dedication and expertise outshone all others." – David Goscha

This is the kind of personalized service and savings you can expect, and our blog is the first step in learning how to replicate this success.

Comparison: Flat Rate Realty Blog vs. Other Real Estate Blogs

Feature Flat Rate Realty Blog Typical Real Estate Blogs
Local Colorado Focus Deeply specialized Broad/general
Flat-Fee Real Estate Insights Extensive, practical guides Minimal or none
Buyer Rebate Information Detailed and transparent Rarely mentioned
Regular Market Updates Data-driven, timely Occasional, inconsistent
Client Testimonials & Case Studies Featured frequently Less personalized

Access These Premium Tools & Resources

Ready to start your real estate journey with trusted Flat Rate Realty experts? Contact us through this link or email Homes@FlatRateRealtyGroup.com for personal assistance today.

Summary: Why Our Blog is Your Go-To Colorado Real Estate Resource

  • Unrivaled local expertise: Unpack Colorado Springs and regional market trends.
  • Actionable insights: Step-by-step guides you can implement immediately.
  • Cost-saving strategies: Learn how to maximize equity with our flat-rate commission model.
  • Exclusive rebate info: Understand and access buyer rebates and incentives.
  • Trustworthy & personable: We are Colorado real estate agents with your best interests at heart.

Explore our full blog archive and start turning information into successful real estate decisions: Flat Rate Realty Group Blog

 

July 13, 2018

A Cooling Real Estate Market and Investing in Pre-foreclosures

 

With the housing market going down and mortgage loans shrinking, banks and other lenders are turning to non-traditional and sometimes riskier mortgages to bring in extra business and compliment they're plunged off business.

 

Several lenders have turned to mortgage products intended to lower monthly loan payments and to assist debtors to meet the requirements more willingly for larger loan amounts, while others need small in the way of documentation during the approval process. These loans do make it easier for some people to receive mortgages; however, they also can increase the likelihood that some debtors may end up in foreclosure. For the home buyer or real estate investor, these market situations represent a window of opportunity.


As the housing monetary cost increase rates relaxed, more mortgages moving into default. Foreclosure notices have edged up in current months, giving yet another sign of a reduction in the real estate market across the U.S. For instance in San Diego County, CA. Banks and different lenders sent 1,266 letters of non-payment to borrowers in the third quarter, a notice that homeowners have just 90 days to make the payment up-to-date prior to moving towards a foreclosure auction.

At the peak of the real estate roar, the double-digit increases in home equity mean customers could draw out monies from the increased home equity to bask a lifestyle that they could otherwise not afford. Even with the ability to go into home equity loans, homeowners have drawn out cash to buy new furniture, cars, vacations and other life luxuries. Another improvement to their lifestyles was reduced when homeowners refinanced using adjustable-rate mortgage loans that reduce their monthly payments.

However, right now the circumstances are changing, in several areas of the country real estate price levels are crushing out and even not increasing in some real estate markets. With small or no rise in home equity, or even disappearing equity, homeowners could see themselves in a tight spot.

Extra forces are also having an influence on the housing market: New federal laws concerning credit card payments have passed to an increase in the minimum payment required on credit card debt. For many people that payment will now be twice what it has been in the past. And, as energy prices and health care costs continue to march upwards to new all-time highs. Increasing numbers of people are in financial conditions where monies spent are surpassing monies earned.

For the very first-time real estate investor or a seasoned veteran, the present market conditions are a window of opportunity for those searching to buy real estate property just before foreclosure. A rising number of homeowners have taken out all their equity (sometimes as high as 110% of their home's value.) and now house prices have turned down and they are upside down -where they owe more than they can sell the house for. Trapped in a situation where they can't pay their debts and they can't find a buyer for their home, real estate investors who understand the default process can offer a way out that gives the defaulting homeowner a route to escape from their mortgage payments and for the investor a way to protect a property in the process.

 

Posted in Real Estate News
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July 12, 2018

A Beginner's Guide to Real Estate Investing Strategies

 

If you're considering on investing in real estate to earn a living, you need to first decide your financial objectives. Do you want to make money quickly? Or invest for your children's college fund, or build a fortune for your retirement? Once you decide your financial objectives, you need to decide which type of investing plan works for you.

Make Money in Real Estate - Fast Cash Strategy

If you're short on cash, begin by finding a bargain house and selling the contract to another real estate investor. Join a real estate financing club to find investors ready to pay you for finding nice deals.

Make Money in Real Estate - Income Property Strategy

If you like to build your monthly income, look for an income property that yields a positive net income from month to month. Start with a single-family house. Search for a bargain under market value. Fix up the house to make top rental income. Find houses that will rent for more than your mortgage payment. You may need to go out from your home area to a location that supports this type of return on your money. You can't pay $300,000 for a home with a mortgage of $1,500 that only rents for $1,000. You might start with a home for around $300,000 that rents for $1,750. You will need good credit to get a loan with good interest rates. In a few years, your rental income should go up. Many investors in estate investors enjoy thousands of dollars every month made by income property.

However, some investors don't like dealing with tenants and prefer to make money in other real estate ventures.

Make Money in Real Estate - Investment Property Strategy

If you want to make money focusing on profits, investment property offers a different strategy. Instead of bothering about rental income, search for property that you can renovate and sell or property that will rise significantly with time. Besides setting a house up, you can convert a property by changing it. For example, some investors buy apartment buildings and change them into condos. Several investors venture in land and make money by retaining the land till new improvement in the area raises the value.

Inspect your financial state along with your long-term objectives. You can begin by flipping properties, move into income properties, and then make huge profits with investment properties. You might end up using a combination of all three strategies to make money investing in real estate. 

 

 

Posted in Buyers Resources
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July 11, 2018

Aspen Colorado Real Estate

 

Are you looking for an Aspen Colorado real estate property?  Or, do you have plans to sell or buy a real estate in Aspen Colorado?  If so, then you should note and understand that a large number of Aspen Colorado real estate companies are now out there to help you tackle your real estate needs.  These companies are even opening their services online knowing that more and more people anywhere in the world are looking for their help.  So if you are currently seeking for their assistance, then this page is certainly right for you.

Below are a few of the most trusted and highly respected companies online that offer Aspen Colorado real estate services.  Check these out and find out everything about their service.

GriffinsellsHomes.com

GriffinsellsHomes.com is in the first place to look at for Colorado Real Estate, one of the well-known real estate companies in the area of Colorado.  This Colorado real estate was one of first founded in the state based on the principles of enthusiasm and integrity, market knowledge, and hard work, as well as passion and commitment.  It is basically with these attributes that they were able to succeed in their business.  And, with their strong commitment and desire to provide the best possible Colorado real estate services to their customers, the Real Estate firm still continues to prosper. 

AspenExperts.com

AspenExperts.com is but another great site for Aspen Colorado real estate as this site is the official home of Aspen Real Estate Company, which is an expert in mountain living.  This company was actually founded in order to serve you with more than 200 years of combined experience.  It is interesting to know that their office is actually open seven days a week to aid the customers with all their Aspen Colorado real estate needs.  Much interesting to know is the fact that inside this Aspen Colorado real estate firm, you will definitely find a wide selection of properties, mostly located throughout the Roaring Fork Valley.  They are now run by experienced real estate agents who worked with the buyers most of the time.

FriasProperties.com

FriasProperties.com is finally out there online offering Aspen Colorado real estate services for those who needed them.  This Aspen Colorado real estate firm is run by professionals since the year 1974, and since that time they continually assist thousands of people in their Aspen Colorado real estate needs.   And, it is interesting to know also that the Aspen Colorado real estate brokers of this company are intimately familiar with each and every neighborhood in the Aspen area, making them highly capable of tackling real estate matters. 

 

Posted in Real Estate News
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July 10, 2018

A Quick Guide To A Quick House Sale

 

Need to sell your house quickly? Take away the thought of estate agents and viewers marching through your home? Follow this quick and easy guide to selling your home fast.

 There is an option to the traditional way when it comes to selling your home. You can use one of the several specialist companies that propose to buy your house so that you’re not at the mercy of a chain, or paying huge agents and solicitors fees.

Below are the steps you need to follow:

1. Decide how quickly you need to sell your home

Many quick sale companies can complete the purchase of your house within just four weeks. If you need to sell quicker than that, just say it; they can usually arrange a faster purchase. If you’re selling your house for reason that you’re moving unexpectedly or since you’re in financial trouble, set a timetable that is realistic and ask the company if they can keep to it.

2. Decide how much you will accept for your home

You may not get the full open-market price for your property as you would with an estate agent, but you don’t have to pay estate agent fees and the whole process is quicker which means you save on mortgage and bill payments. Check the current market price of properties like yours in the same area and decide how much you’re ready to accept from a professional buyer, having it in mind the other savings you are likely to make.

3. Talk to the companies

Always try to talk to the specialist companies rather than just contacting them over the internet. Talking to them gives you a much better idea of how they approach the sale. You can also take this opportunity to ask any questions about the process and to make sure that you can use your own solicitor to check the contract and that you won’t be asked to commit on the spot.

4. Meet an agent

Most specialist buyers will send someone round to view your house. This allows them to give you an accurate and fair valuation and also gives you the opportunity to ask any further questions.

5. Agree the sale

Once you’ve been given a valuation, you will normally have a set period in which to think about whether you want to agree to the sale. If you decide to go ahead, it’s a good idea to get an independent solicitor to look at the contract before you sign. Make sure you know if there are any additional costs to pay, and when you will receive the money. Also find out when you will be expected to vacate the property and whether the company can help you find other accommodation.

Getting a quick house sale is as simple as these five steps and can be completed in as little as 3-4 weeks, making it perfect for an individual in a wide range of conditions, including those going through a divorce or mourning or those who are in financial trouble.

 

Posted in Sellers Resources
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July 9, 2018

A Second Home: Take it or Leave it?

 

For many, wanderlust is just a part of life. You buy a lovely home in someplace; settle down, start a family, but there is continuously a part of you that’s longing to move away. Vacations are part of that wanderlust; the opportunity to get away somewhere beautiful. And then you see it. The local newsprint at your vacation destination, and surprisingly, there is a real estate section right there. Dare you even look? You can’t have enough money for it, can you? Two homes? Is dual home ownership your thing?

A second home can work for you, but you have to go into the process knowing what to expect. If you’re looking to get rich quick, don’t count on it. As indicated by recent data, the price of real estate in areas that are believed “Vacation Markets” has increased twice as fast as real estate in other areas. So, not just is a second home in your destination of choice going to cost you a good penny, it’s no more a well-kept secret any longer and the probabilities of you flipping it to make a quick cash are small.

The best suggestion is a possible vacation home buyer can heed right now is to buy for love, not for money. New sharp downturns in vacation markets like Naples, Lake Tahoe, Florida,  Nevada and Cape Cod, Massachusetts, have shown that trying to make a profit in a vacation market is close to impossible. But there is a bright side to all of this. With the housing bubble going poof all across the country, those that are looking to sell will be doing so at lower prices. Now could be a great time to buy a place that you’re planning on keeping for a long while.

But how do you know if you have your head on straight about the whole thing? Well, take some time and evaluate the pluses and minuses of buying another home. Once you’ve decided on an area, spend some time there to make sure you like it. In case it’s going to be a vacation home, you will want the setting to be relaxing (in case that’s what you’re searching for) or interesting (if that’s what you normally go on vacation to experience). A final check should be the bottom-line cost. If the price of the two houses makes up more than one-third of your total income, you’ve spent too much.

Buying property is a huge investment for everyone, even the rich. Take the time to correctly assess the pros and cons prior to deciding to own a second home or you could see yourself on a permanent vacation.

 

Posted in Buyers Resources
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July 8, 2018

A Realtor’s Guide To Personal Safety

A major concern for realtors is personal safety. Several times the realtor is working independently having an open house, showing a property, or handling the model house in a new subdivision. Some personal safety matters should include:

On the first meeting of a client, have them meet you at the office. Get as much personal information as possible. A copy of the driver’s license is a good start not only for safety but also for the client database.

If you have a strange feeling about the client, don’t show property by yourself. Ask a co-worker to go with you; at worst you might have to split the commission. If you are manning an open house and you feel that you might be in danger, leave the property and call for help.

Always drive your own car to the property as this might be the only means of escape. On the way make notes on the type of car, color, and license plate number and call the office with this information. Once at the property ensure your car is not obstructed and you have an easy escape route (no backing-up).

As you are showing the property, always have the client lead you; this lets the property to present itself and position the client where you can see them. Ensure they sign-in on the registry and in case the office does not have the data on the client, get the data to them. Your office will be aware you are with a client at this time.

Leave your keys and cell phone close and easy to access. If need be, keys can be an effective weapon of surprise. In case you have a handbag, keep it with you every time or locked in the boot of your car. Know the property, not just do you look more professional but safer; your client is not aware of all the exits as well as you should.

Take a little self-defense class, as a few minutes head starts out of the property means the difference in a safe escape and being stuck. Take the first chance for escape and don’t try to talk your way out; keep your advantage. The additional time you spend in an unsafe condition means a reduced chance of a safe exit.

Allow the client know that you have contacted your office and the office knows who you are with. It is also a great idea to have a secret code for trouble like “Pick up dog food” when you don’t have a dog. It is also a great idea to set your phone to vibrate as your client will not be aware if you are calling or receiving a phone call.

If there is a crisis your office can play an important role. Ensure they have the make of your car, its color, and license plate. In case you are using a different car that day, make sure they have all the description also.

Ensure your office has your plan for the day and that you check in on each appointment. If you are holding an open house, be sure you have a registry book for clients to sign in. See if you can also add the client’s car description. Tell the client it is just in case they get a parking ticket and you want to document the intention for parking there or some other reason.

Many of these points may already in practice for the profession. Look at these procedures as also a safety concern. These safety tips should become second nature with little thought to be truly effective. Being an agent means sometimes you will work alone. With today’s cell phones and e-mail abilities and some careful thought, you will be safer and will be in contact with assistance quicker.

Posted in Real Estate News
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July 7, 2018

Real Estate Tax Mortgage Calculators

Today, the asking price of most properties is quite large and usually beyond the normal means of the consumer. This is why a lot of people apply for a loan in order to acquire property. 

In order for you to pre-qualify for such loan, you would need the assistance of a real estate tax mortgage calculator. A real estate tax mortgage calculator is able to calculate a number of things that relate to mortgages. Of the very first things that real estate tax mortgage calculators do is to see whether you pre-qualify for a mortgage. 

A real estate tax mortgage calculator would require some data from you. Prior to starting the process of pre-qualifying, you would have to feed the real estate tax mortgage calculator with your loan amount, gross pre-tax income, total monthly debts, loan interest rate, as well as loan term. T

The real estate tax mortgage calculator requires all these data so that it can estimate the loan in contrast to your personal income. This technique of assessment used by real estate tax mortgage calculators is as well the technique used by banks and other lending firms so you can be certain that the information you receive from a real estate tax mortgage calculator is correct. 

After putting in all the relevant information, the real estate tax mortgage calculator will tell you if you passed the pre-qualification by giving a yes/no answer. If the real estate tax mortgage calculator says “Yes,” this implies that you have reached the income requirements for that mortgage. 

But, if the real estate tax mortgage calculator says “No,” then it implies that you were not able to make it to the income cut-off. Sideways with the pre-qualifying test outcome, the real estate tax mortgage calculator will likewise show you the least income requirement appropriate for you to be eligible. Real estate tax mortgage calculator hence similarly gives you a clue on how much you need to earn in order to apply again for the loan. 

After showing that you pre-qualify for the mortgage by making use of the real estate tax mortgage calculator, the next stage is to contact the bank or lending company. Before signing in for a mortgage though, make sure that you know what Principal, Interest, Taxes, and Insurance are involved. This information is made available to you by making use of a real estate tax mortgage calculator.

A real estate tax mortgage calculator will aid you to know the worth of the mortgage in dollars. Settlements for mortgages can also be determined using a real estate tax mortgage calculator. If you want to understand how many repayments there would be, you can also use a real estate tax mortgage calculator for that too. A real estate tax mortgage calculator can also assist you to assess when you will be able to pay off the balance in full. Whether you are late in making repayments or do it in advance, a real estate tax mortgage calculator will help you to know the circumstances.

Since a real estate tax mortgage calculator can answer every question and more, you can then give yourself the chance to correctly assess the mortgage offered and see if you can have the funds for the payments.

 

Posted in Buyers Resources
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July 7, 2018

Real Estate in Aspen Colorado

Real estate in Aspen Colorado and the whole country, for that matter, is experiencing a boom. Interest rates are relatively low compared to rates of past years and because of that, housing prices are at an all-time low. But just because real estate in Aspen Colorado is looking good on paper doesn’t mean that you should go on and take unmitigated risks. To get the best deal out of your real estate in Aspen Colorado purchase, you need a plan – a good plan, that is.

You might it’s strange to consider selling a home you don’t even own yet, but what if sometime later, you decide to move? What’s going to happen to your real estate in Aspen Colorado? You can’t just let it sit there and gather weeds. Of course, you want to sell it. And in order to sell your real estate in Aspen Colorado at a later time, you have to pick, at the time purchase, one that is going to grow in value and sells quickly.

You’ll agree with the statement that most of us won’t live in the same house for the rest of our lives. That is why it makes sense to begin analyzing real estate in Aspen Colorado resale values from the very first day we set out to buy one. Sure, buying real estate in Aspen Colorado with good resale value is going to take a little longer and take a bit more work from you, but the payback later is definitely worth it. I’m sure you’ll find lots of uses for that extra money you put in your bank account.

First things first, location is essential. Aspen Park Colorado is a prime place for real estate development. It’s a premier vacation spot, what with the number of fabulous ski slopes high up in its pristine mountains. When you buy real estate in Aspen Park Colorado, you are not just considering the scenery or even the view, but the neighborhood and the direction of the growth of the town.

Next thing to consider when buying real estate in Aspen Park Colorado is the potential buyers. The location also plays a key role here as the age group of your buyers depends on the location of the place. A quiet town like Aspen that’s only crowded during the tourist season is sure to attract senior citizens. As such, your best resale potential for a house might be a one-level home because seniors don’t like to do steps.

 

Posted in Buyers Resources
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July 6, 2018

10 Steps to a Successful Urban Redevelopment Project

 

You’ve got a project with excellent architecture, you’ve finished months of assessment and adjustment, your design team is very sure this project will receive a major notoriety, yet after hours of moving to and fro in City Council meetings, they ask you to reduce the project in half, increase the obstacles, or just completely drop the project.

Does this sound familiar?

Developing commercial and residential projects in urban areas require special care.  Though some urban areas are on the edge of new developments, conflict and community disapproval can block even the best designs.

You can reduce risks by taking a considerate method to the process.  Some politicians and residents based on trust, honesty, and consensus building.  This should not mean you compromise your design.  Carrying out these ten vital steps can produce strong design and a smooth process.

Consensus does not mean that everybody settles it’s more about giving respect for different views, developing relationships, and recognizing shared goals to establish positive public opinion so the project will gain both community and government approval. It’s important to encourage supporters and expose the extremists.

The following 10 points should be addressed:

 

1. Create the vision.  It's about designed, not density.  Establish a vision early by connecting it to local settings and looking for ways to build partnerships.  Good design attracts people.

2. Know your market.  Do the homework necessary to understand the competition and the market forces that influence a project.

3. Understand the issues.  All communities have a set of unique characteristics and issues that guide their decisions.  It’s essential to have a good understanding of the marketplace, environment, regional influences, and financial aspects.  There is no single solution.

4. Get the public benefit.  Make the benefit for the city & community clear.

5. Pay attention to everyone who has a stake in the project.  Have small discussion groups to get their feedback.

6. Establish trust.  Do this by sharing knowledge and listening carefully.  Be truthful, boost contribution from everyone, remain neutral and chase win-win goals.

7. Inform decision makers.  Meet individually and offer solutions to educate decision makers.

8. Use the media.  Take the high road and keep the message simple.  Talk about helping the community.

9. Use the unique.  Incorporate the area’s physical social and historical environment into the design.

10. Be patient.  Listen wisely, offer assistance, establish credibility, and let the process grow.

By making use of these ten points, numerous revitalization strategies have been concluded in the face of tough initial community disapproval.  Led by strong visions which have been recognized by working with city programs created to solicit feedback and inform everyone has had a deep effect in the success of revitalization efforts.

Applying key public and private improvements can transform old spaces into lively gathering places for community activity.

 

Posted in Real Estate News
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July 5, 2018

7 Steps To Choosing The Best Real Estate Loan For You

 

A home loan will be your financial responsibility for years to come, so it can be one of the most important decisions you make. Even tiny changes in an interest rate – changes as small as half a percent – can cost or save you thousands of dollars over the term of your loan. To enjoy an affordable home, follow these seven simple steps:

 1. You’d Better Shop Around!

Any market has thousands of mortgage brokers, and each broker has access to hundreds of home loan programs. Whatever your circumstances, there is a home loan out there to suit you. The more mortgage brokers and financing professionals you speak to, the more likely it is that you will encounter someone who really knows the home loan program right for you.

2. Pick out the TERMS of your loan -- BEFORE comparing rates.

Home loan terms range from 30, 40 to 50 years and some are interested only, meaning that you will only make interest payments each month and will never pay off your mortgage. Another factor to consider when debating terms is the rate. Some loans have guaranteed fixed rates for the entire term of your mortgage. Other loans are Adjustable Rate Mortgages (ARMs), meaning that your interest rate will adjust after a guaranteed rate period is over. When considering terms, also think about what pre-payment penalty you are willing to accept. This penalty applies if you decide to refinance your home loan or sell the house within a certain period of time -- usually one to two years or longer.

3. Shop the rate and closing costs -- carefully

Have a mortgage broker pull a tri-merge credit report and then get a copy of the report. Take the report and a copy of your tax returns with you when visiting financing professionals. Be prepared to answer all questions honestly and be prepared to tell the mortgage broker the price range and the home loan terms you will need. Ask for two Good Faith Estimates (GFE) – one with minimal closing costs and one with standard closing costs.

4. Compare Total Monthly Payments.

Your GFEs will estimate TOTAL monthly payments on a home loan. These estimates only guess what your taxes, hazard insurance, homeowner’s association dues and other costs will be. Since mortgage brokers have no control over these costs, some will underestimate them to make their GFEs attractive. For this reason, always compare only the line item costs associated with each loan. Line items costs include principal, interest, and mortgage insurance.

5. Compare Closing Costs.

Closing costs can contribute significantly to the cost of buying a home. Some mortgage brokers will underestimate these costs to make an estimate seem competitive. Worse, closing costs and associated fees have confusing labels, making them harder to compare. In general, compare the “Items Payable in Connection With Loan” or the “Items Payable in Connection With Loan” on your GFE – these are the costs that your broker may have control over.

 6. Compare Closing Costs AND Rate.

Does it make sense to choose the home loan with lower interest but higher closing fees? Or would a home loan with much smaller closing costs but higher rates cost you less? To decide, tally up how long it would take to “make up” the difference. For example, if one home loan saves you $100 a month through lower payments but costs $1000 more in closing costs, it would take 10 months to “make up” for the closing costs.

7. Lock Your Rate!

Just because you are quoted a great rate, that does not mean that interest will stay in place until you are ready to buy, so lock in your rate 30-45 days before closing.

Deciding to buy a home is exciting, but choosing a mortgage can be nerve-wracking. To make a smart choice that really will support you financially, be sure to compare smart by following these tips. Then, you can enjoy your new home – with the right finance

 

Posted in Buyers Resources
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