Why Order a Title Search Early at Baltimore?
| The Home Search | |
| For Sale By Owner (FSBO) properties are very attractive purchase opportunities for a buyer who is looking for a good deal on the home. Sellers recognize that the home price may be set lower then the market price by a real estate agent’s commission percentage the seller does not need to pay. The settlement is typically taking place at the real estate attorney’s office where all of the paper work is being prepared for closing, including Title Search and Title Insurance.In many cases, the home buyer wants to have a guarantee early in the buying process that the closing will go as smooth as possible. The home buyer orders a home inspection to verify the physical state of the home and a title search to validate that the title of the property is clean – thus the current owner can pay off the mortgage debts with the amount of the sale transaction proceeds. Click to Know!
Why order a title search early? A Home Buyer invests a lot of money, effort and time before the settlement date to complete the transaction. Something to worry about is that the current owner would not be able to settle outstanding obligations against the property and therefore not being able to close on the home. We recommend a Current Owner Title Search service in this case, since you, as a buyer, can protect yourself with a Title Insurance and will be guaranteed to recover your money spent on the house due to home title issues from the previous ownership. Our Current Owner Title Search will give you a piece of mind and reassurance in transaction success. |
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Save Money on Your Homeowners Insurance
Looking to save money on your homeowners insurance? While most lenders require you to have a homeowners insurance policy, it is important to know that not all policies cost the same. In fact, homeowners insurance rates can vary by hundreds of dollars from company to company.
Shop Around for the Best Homeowners Insurance Premium
Shopping around for your homeowners insurance can lead to savings. Just like with car insurance, comparing rates can lead to savings on your homeowners insurance premiums. Using InsWeb.com’s online insurance questionnaire can make shopping and comparing quotes quick and easy.
Look For Multi-Policy Insurance Policies
Most insurance companies that sell insurance products other than homeowners insurance will offer consumers discounts for buying more than one product from them. For example, if your auto insurance company also sells homeowners insurance, you might get a discount of up to 15% off your premium for buying both products.
Only Buy the Homeowners Insurance Coverage You Need
Homeowners insurance policy limits should be revisited every year to reevaluate any major purchases and additions. On the other hand, many of the possessions that homeowners insure depreciate significantly over the course of a year. Homeowners should update their home inventory, and reevaluate policy limits for possible savings.
Further, homeowners shouldn’t spend money for coverage they don’t need. For example, if you don’t live in a flood-prone area, you may not need costly flood insurance.
Consider Raising Your Deductible
Increasing your deductible by just a few hundred dollars can make a significant difference to your premium. Most deductibles start at $250; therefore, if you raise your deductible to $1,000, you may save nearly 25% on your premium.
Look For Discounts That May Apply to You
There are a myriad of homeowners discounts that go unrecognized by many consumers. For example, even though they seem ordinary, you may be able get a lower premium if your home has safety features such as dead-bolt locks, smoke detectors, an alarm system, storm shutters or fire retardant roofing material.
A new home’s electrical, heating and plumbing systems and overall structure are likely to be in better shape than those of an older home; therefore new homes are usually charged lower rates than older homes in the same price range.
Strong home security in the form of security systems, alarms, gated communities, double locks on both doors, etc. often afford you lower rates.
Non-smokers usually get reduced rates on their homeowners insurance policy. If you were a smoker when you bought your house but have subsequently quit, many insurers may lower your rates. Smoking accounts for over 20,000 residential fires in the U.S. a year, so insurers often charge lower premiums to smoke-free households.
Insure Your House, Not the Land Under It
Consumers often overpay for homeowners insurance by including the value of the land that their home resides on. Remember that you only need to insure the home itself and your possessions, not the land. Should something unfortunate occur, the land will most likely remain. If you do not subtract the value of the land when deciding how much homeowners insurance to buy, you will most likely pay more than you should.
Increasing the safety features on your house could lower your homeowners insurance premium. By shopping around and comparing quotes using InsWeb’s online questionnaire, you can compare insurance quotes from leading homeowners insurance companies in minutes.
Thinking About Buying Your First Home?
If you’re a renter and thinking about purchasing a home, there are several things to consider:
How long do you plan on living in the home?
If you purchase a home and then get a job transfer or decide to move after only a short time, you may end up paying money in order to sell it. The value of your home may not have appreciated enough to cover the costs that you paid to buy the home and the costs that it would take you to sell your home.
The length of time that it will take to cover those costs depends on various economic factors in the area of the home. Most parts of the country have an average of five percent appreciation per year. In this case, you should plan on staying in your home at least three to four years to cover buying and selling costs. If the area where you buy your home experiences an economic upturn, the length of the time to cover these costs could be shortened, and vice versa.
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How long will the home meet your needs?
What features do you require in a home to satisfy your lifestyle now? Five years from now? Depending on how long you plan to stay in your home, you’ll need to ensure that the home has what you’ll need. For example, a two-bedroom dwelling may be perfect for a young couple with no children. However, if they start a family, they could quickly outgrow the space. Therefore, they should consider a home with room to grow. Could the basement be turned into a den and extra bedrooms? Could the attic be turned into a master suite? Having an idea of what you’ll need will help you find a home that will satisfy you for years to come.
How is your financial health, including your credit?
Is now the right time financially for you to buy a home? Would you rate your financial picture as healthy? Is your credit good? While you can almost always find a lender to lend you money, solid lenders are more skeptical if your credit history is not so good. Generally, a couple of blemishes on a credit report won’t affect you that much and you will be considered a good credit risk, qualifying for lower interest rates. If you have more than a couple of blemishes on your report, lenders like Quicken Loans may still provide you with a loan, but you may just have to pay a higher interest rate and fees.
Some say that you should refrain from borrowing as much as you qualify for because it is wiser not to stretch your financial boundaries. Another school of thought says you should stretch to buy as much home as you can afford, because with regular pay raises and increased earning potential, the big payment today will seem like less of a payment tomorrow. This is a decision only you can make. Are you in a position where you expect to make more money soon? Would you rather be conservative and fairly certain that you can make your payment without stretching yourself financially? Make sure that whatever you do, it’s within your comfort zone.
To determine how much home you can afford, talk to a Quicken Loans home loan expert or use a home affordability calculator. It will give you a range of what you may qualify for. While some may say that the “28/36″ rule applies, in today’s home mortgage market, lenders are making loans customized to a particular person’s situation. The “28/36″ rule means that your monthly housing costs can’t exceed 28 percent of your income and your total debt load can’t exceed 36 percent of your total monthly income. Depending on your assets, credit history, job potential and other factors, lenders can push the ratios up to 40-60% or higher. While we’re not advocating you purchase a home utilizing the higher ratios, its important for you to know your options.
Where will the money for the transaction will come from?
Typically, homebuyers will need some money for the down payment and closing costs. However, with today’s broad range of loan options, having a lot of money saved for a down payment is not always necessary, if you can prove that you are a good financial risk to a lender. If your credit isn’t stellar but you have managed to save 10-20% for a down payment, you will still appear to be a very good financial risk to a lender.
Do you know about the ongoing costs of home ownership?
Maintenance, improvements, taxes and insurance are all costs that are added to a monthly house payment. If you buy a condominium or a town home, in certain communities a monthly homeowner’s association fee might be required. If these additional costs are a concern, you can make choices to lower or avoid these fees. Be sure to make your realtor and your lender aware of your desire to limit these costs.
If you would like to learn more about buying a home, Click here to visit Quicken Loans.