Relocation – McVeigh Properties

Wondering How Much You Need To Save for a Down Payment?

Editor — Tue, 03 Jan 2023 18:29:03 +0000

Wondering How Much You Need To Save for a Down Payment?

If you’re getting ready to buy your first home, you’re likely focused on saving up for everything that purchase involves. One cost that’s likely top of mind is your down payment. But don’t let a common misconception about how much you need to save make the process harder than it could be.

Understand 20% Isn’t Always the Typical Down Payment

Freddie Mac explains:

“. . . nearly a third of prospective homebuyers think they need a down payment of 20% or more to buy a home. This myth remains one of the largest perceived barriers to achieving homeownership.”

Unless specified by your loan type or lender, it’s typically not required to put 20% down. This means you could be closer to your homebuying dream than you realize. According to the National Association of Realtors (NAR), the median down payment hasn’t been over 20% since 2005. In fact, the median down payment today is only 14%. And it’s even lower for first-time homebuyers at just 6% (see graph below):

Learn About Options That Can Help You Toward Your Goal

If saving for a down payment still feels like a challenge, know that there’s help available. A real estate professional and trusted lender can show you options that could help you get closer to your down payment goal. According to latest Homeownership Program Index from Down Payment Resource, there are over 2,000 homebuyer assistance programs in the U.S., and the majority are intended to help with down payments.

Plus there are even loan types, like FHA loans, with down payments as low as 3.5%, as well as options like VA loans and USDA loans with no down payment requirements for qualified applicants.

To understand your options, be sure to do your homework. If you’re interested in learning more about down payment assistance programs, information is available through sites like Down Payment Resource. Then, partner with a trusted lender to learn what you qualify for on your homebuying journey.

Bottom Line

Remember, a 20% down payment isn’t always required. If you want to purchase a home this year, let’s connect. You’ll also want to make sure you have a trusted lender so you can explore your down payment options.

The Ins-and-Outs of Home Inspections

Editor — Wed, 14 Dec 2022 18:00:35 +0000

The In’s and Out’s of Home Inspections

The Ins-and-Outs of Home Inspections

Home Inspections are crucial for real estate transactions. Home buying is stressful as with any large investment. No house is perfect. There will always be items to fix. Maintenance with all homes is never ending. Setting expectations with all parties is key for the inspector and realtor on either side. Most homes have minor issues while some have significant deferred maintenance that can be costly. The home price should reflect the difference between turn-key and fixer. Problems arise when a home’s value does not reflect this accurately. A bad house price can kill any deal, especially if there are significant costly defects that need to be addressed.

A good home inspector should provide an overall assessment condition of the home and find items that need service. Home Inspectors are generalists, they are evaluating thousands of components within a few hours of time. Buyers and sellers should expect the Inspector to find items that need service. A good inspector will provide an overall assessment and have photos ready in the report that can be reviewed by all parties.

Inspection Day – What to Expect?

Your inspector should encourage your attendance. Buyers should be encouraged to ask questions and review house components with their inspector. The inspector should show clients where the main electrical panels are located, the water and gas shut off locations, etc. and anything else significant in regard to defects or potential safety hazards.

Inspectors love vacant homes however this is not always the case. The seller or tenant will usually leave the property during the inspection, however some like to linger. No real estate transaction is alike when you add personalities into this. Take advantage of the situation. Don’t be shy to ask the sellers or tenants about the history of the property, repairs completed, neighbor relationships, etc. You would be amazed what information people like to share.

Buyers are entitled to investigations of the property. Ask any questions on your mind. Tell the inspector you want a thorough tour of the home that satisfies any anxieties, stress, and curiosity. A full understanding of the home should include the good with the bad. Knowledge is power.

Inspection Reports – How to Read Them

After your inspection is completed, you should expect a thorough pdf. file report with photos. As boring as it can be, read the entire report. Do not skip pages. A Summary report with Need Service items is common, however for a full understanding read the entire report.

Most buyers are concerned about costly repair items that will need to be prioritized. Significant safety issues should also be addressed.

Further evaluations by licensed trade professionals recommended are common. Electrical, plumbing, heating/AC, roofs, etc. the list of components can feel endless since homes have thousands of components. If the home inspector finds issues, they may refer you to consult with a specialist. The specialist within your contingency period can provide estimates and further opinions. This can impact a client’s decision to move forward with purchasing or back out of a potentially bad investment.

Every buyer and agent should feel comfortable reaching out to their inspector to explain the report in further detail. This is crucial because repair costs and defects can be complicated, and most clients are not construction experts. Your inspector should always encourage questions and offer lifetime home maintenance advice.

About the Inspector:
Justin Watts, owner of American Dream Home Inspection is an International Code Council Certified Residential and Commercial Building Inspector has provided thousands of real estate inspections throughout Southern California. He is a Court qualified Expert Witness and has testified in cases involving construction defects, home inspection standards of care and landlord/tenant disputes.

Justin D. Watts

American Dream Home Inspection

Direct: (949) 331-2602

website: www.americandreamhomeinspection.net

E-mail: americandream1@cox.net

5 Upcoming Neighborhoods to Buy in OC

Webmaster — Sat, 03 Mar 2018 17:35:59 +0000

Orange County is a unique area often considered to be the suburbs of Los Angeles or even San Diego. That being said, there is plenty of personality, charm, events, and character that make OC stand out amongst others. It’s no wonder that housing prices have steadily risen over the past few years.

There might not be many secrets due to the area’s recent notoriety, but here are five neighborhoods you may not have previously considered as excellent places to live in Orange County.

1. 1. 1. Aliso Viejo – With new homes, interesting architecture, and plenty of space, Aliso Viejo is an up-and-comer. Considering homes next door in Mission Viejo are regularly exceeding $1,000,000, this area still remains relatively lower cost with growth potential. The city has done an excellent job of drawing the right type of people to the area and progressively building a tremendous community.
    2. Seal Beach – The city is often considered old (currently), but the existing infrastructure and shoreline location means big things for this city. Seal Beach maintains a beautiful and private section of the Pacific Ocean exclusively to itself. With restaurants and shops covering all interests, this area could quickly become a tourist haven or a smart place to invest in right now. The median home price is nearly a quarter of most beachfront property located in and around Orange County.
    3. Santa Ana – Near downtown, or the artist’s village, you can find plenty of buzz swirling around activity and passion. Coastal locations often get the most recognition, but Santa Ana has dramatically upgraded within the past year. The community was regularly considered rough for many years. Yet, in a very short amount of time, the change has been dramatic and non-stop. Young people have spent much time and energy to help move this city forward. Due to their efforts, among others within the community, Santa Ana now boasts a variety of hip restaurants, pubs, and events. This place has suddenly become a hotspot for young professionals and students.
    4. Fullerton – California State Fullerton has always given this community some life, and has frequently infused energy and excitement into the local establishments. The mix of student community and professionals has a perfect blend that creates an excellent balance. Typically, we consider a level of risk when thinking about a college town that can support the party scene. In Fullerton, the student population does not seems to cultivate a great sense of community and sustain a strong sense of morals and values. You can find relatively affordable housing throughout Fullerton. Savvy home-hunters and investors can still find bargain condos that be turned into rentals and starter homes.
    5. Stanton – The smaller city of Stanton is certainly overlooked, but the homes are significantly lower. While Stanton might be very lowkey, you can head to Anaheim for baseball games or head to Disneyland. The location, itself, makes the city very valuable and likely to attract the right kind of people to it. The median home is priced at $400,000 and that will not last for long. The homes have already experienced a steady increase over the past few years. This is an area worth considering as it grows.