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When will the mortgage interest rates go down so I can buy a home?

If you find yourself asking this question, I’ve got good news for you!

As a licensed real estate professional, I watch the interest rates very closely. Here’s a mini state of the rates if you will…

Interest rates started to decline on October 26, 2023 after reaching a high of 7.79%. The rates continued to drop every week over the next 10 weeks and closed out 2023 at 6.61%. That may not seem like a lot but dropping over 1% in 2 months is BIG.

It’s forecasted that interest rates will continue to drop in 2024. I believe there’s a good chance we could reach percents in the low 6’s or maybe even into the 5’s within the first quar...

Private Mortgage Insurance or PMI is not homeowner’s insurance for the buyer. It is insurance required by lenders to protect their loan investment. If you stop paying your mortgage and the bank forecloses, they will collect the PMI. It is meant to protect the lender on loans where the buyer does not give a down payment of at least 20%. The thought is the bank will recoup 20% of the loan from the PMI and then sell your home for at least 80% or more to recapture their investment.

What does that mean to me as a buyer? The biggest takeaway is that it exists and does increase your mortgage as it is included in your payment. It can be from $75 to $200 of your mortgage payment. If you used a mo...

I have noticed more and more homes are being sold with solar panels. Many Homeowners have acquired solar panel systems in order to reduce their electricity costs. While this is a desired approach for many homeowners, there are considerations when you are buying or selling a home with solar panels.

Solar panels can be owned outright, leased, or financed over a number of years. The best situation is if the solar panel system is owned outright without a lease or financing. If the seller has a balance due, then they should consider paying off the system at closing. The system typically remains with the home as a fixture and the buyer's purchase is a standard real estate transaction.

If the ...

Should I remodel my current home or buy one that’s fully updated instead?

That’s a great question! And the answer is… that depends. Keep reading to learn more.

The first thing that people usually consider is the price tag. On the surface, a remodel sounds more affordable than purchasing a new home. My advice - think through your needs and write them down. What you see may surprise you!

For example, if your list includes additions such as a pool, an extra bedroom, or a garage extension, does your current piece of property allow for that type of expansion? If you have the space on your current lot to accommodate it, a remodel may be the right option for you. If adequate space is NOT available...

Seller Tip: Showroom Ready

This is one of the hardest aspects to maintain. Until you close on your home, the home needs to remain showroom ready. Showings may only give 2-4 hours' notice. After you get a contract, they will conduct inspections. The home should stay showroom ready during inspections. The next step is an appraisal. Yep! You guessed it! The home should be showroom ready for appraisals as well. After the appraisal comes the final walk through, and you have already moved out of the home. So, you can relax after the appraisal is completed.

Did today's tips spark a question? Think I might be the right Realtor for you? Give me a call and let's talk!

David Shippey - Xcellence R...

Buyer Tip: Permits & Surveys

The title company checks for open permits, if you so request it. If you do not, the responsibility passes to you at time of purchase. Some sellers do not even realize there are open permits for work supposedly completed years ago! A good example of this is a new pool install, and the final inspection was never completed. Hopefully, it is fine but that is why you have it inspected through a permit. If you are getting a loan, the lender will require a survey. Be sure to look at it closely for neighbor encroachments, your own encroachments, and that all easements are honored. Any of these could turn into a potential problem for you.

Did today's tips spark a que...

Seller Tip: Pictures

Great pictures make for a successful listing of your home. I recommend professional pictures with aerial drone shots when possible. First impressions are key! Good photographs highlighting the features of the home lead to showings. Buyers look for good pictures with aerial views as a determining factor as to whether to request a showing and take a closer look at your property.

Did today's tips spark a question? Think I might be the right Realtor for you? Give me a call and let's talk!

David Shippey - Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results

Buyer Tip: Future Credit Changes

If you are getting a loan, DO NOT make any changes at all to your credit without first consulting your lender. Things like opening or closing accounts, paying down credit cards, eliminating debt, changing checking accounts, buying a car, buying furniture, etc. have the potential to stop your loan.

Did today's tips spark a question? Think I might be the right Realtor for you? Give me a call and let's talk!

David Shippey - Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results

Seller Tip: Title Insurance

If you are selling your home after owning it for less than 3 years, you are entitled to a discount on your title insurance premium policy through the title company! You must produce the policy from your last closing to get the discount.

Did today's tips spark a question? Think I might be the right Realtor for you? Give me a call and let's talk!

David Shippey - Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results

Buyer Tip: Inspections

We always suggest a full home inspection, termite inspection, and septic inspection (if the home is not on a sewer). The results of these inspections give you a good picture of the condition of the home.

Spoiler alert: the home inspection report WILL NOT be blank. Inspectors list all minor and major issues, and that is exactly what you want to see. Sellers typically do not fix cosmetic items, but that is OK. This gives you a list of items to slowly tackle once the home is yours.

If the home is not new, I recommend a four-point inspection and wind mitigation report for insurance purposes. Bonus: The wind mitigation report may give you a better rate on your insurance pre...

Seller Tip: Survey

New surveys can sometimes delay closings. If you have a current survey in your possession, it can sometimes expedite your closing if there are survey delays with providers.

The survey must be accurate of your property currently. If you installed a new driveway, added a workshop, added fencing, etc. then a new survey will be needed by the buyer if they are financing your home.

Did today's tips spark a question? Think I might be the right Realtor for you? Give me a call and let's talk!

David Shippey - Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results

Buyer Tip: Money out of Pocket

The first expense will be your escrow deposit or earnest money as it is sometimes called. It is usually 1% to 2% of the purchase price. This is within a few short days after you execute sales contract.

During the first phase you met with a lender to get preapproved. Part of that process will tell you how much you need for a down payment based on your loan program and desires. Some loans allow 3.5%, 5%, 10%, and 20% of the purchase price. The down payment is paid at closing and takes into account your deposit.

Inspections are the next expense. Depending on the inspections chosen, they can amount to $1,000 paid at time of inspection.

Most lenders ask you to ...

Seller Tip: Seller's Disclosure

Complete a seller's disclosure. This allows you to document events at your home by area. It is important to disclose every known fact about your home to potential buyers. There is nothing at all wrong with having a problem that you resolved, but you must disclose this information. Be sure to document what happened, how you addressed it, and the current condition of that specific situation.

Did today's tip spark a question? Think I might be the right Realtor for you? Give me a call and let's talk!

David Shippey - Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results

Buyer Tip: Comparative Market Analysis

If you've followed the previous steps, you found a home that will work for you. Woohoo!

Next, make sure that the purchase price is reasonable for the market and community.

Ask your Realtor to perform a comparative market analysis to make sure the asking price is sound.

This will help you make an educated offer on the home.

Did today's tip spark a question? Give me a call!

David Shippey | Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results
Serving Central Florida Home Buyers and Sellers Since 2005

Seller Tip: Home Improvements

Make a list of all the upgrades, updates, and home improvements you have done. This information will be helpful to your Realtor as they advertise your home! Make note of important installations like the roof, hot water heater, and air conditioner. Then list any upgrades made to windows, kitchen, countertops, bathrooms, flooring, interior and exterior paint, etc.

Recent upgrades and improvements will help your listing be more appealing to potential buyers!

David Shippey - Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results
Serving Central FL Home Buyers & Sellers Since 2005

Buyer Tip: Deed Restrictions

Ask for a copy of the deed restrictions, then review what the community allows. Make sure it matches your lifestyle!

How much are the homeowner's association fees, and when are they due?

Also, look for capital contributions when joining the community. These are amounts charged by the homeowner's association to join the community which are paid at closing.

Did today's tip spark a question? Give me a call!

David Shippey | Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results
Serving Central Florida Home Buyers and Sellers Since 2005

Seller Tip: Repairs & Upgrades

Thinking about doing some upgrades or repairs to your home?

Be sure to check with your Realtor first! Some upgrades and repairs add value when selling your home, and some don't get you the return you think they might. He/she will be able to advise which improvement projects are most worth your time and effort!

Were you aware that not all upgrades get you a big return?

David Shippey - Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results
Serving Central FL Home Buyers & Sellers Since 2005

Buyer Tip: Location, Location, Location

So many elements go into this one! How long of a commute are you willing to make? Does the neighborhood need to fall within a specific school zone? Are grocery stores and restaurants close by? Do they need to be, or are you content with more secluded areas? Do you spend a lot of time at the home of friends or family? Consider that drive time too!

Think about the overall community's location too! Are you happy with the neighbor's property maintenance? Does the community offer amenities that are important to you? Is it located in an area that you qualify as safe?

I recommend driving by any potential house BEFORE scheduling a showing. No need to waste yo...

Seller Tip: Estimated Closing Costs

After you and your Realtor determine the listing price, ask for an Estimated Net Sheet of your closing costs. This document will show you the usual expenses, commissions, and the net proceeds you will have after you close.

There are closing costs for buyers and different closing costs for sellers. If your net proceeds are too low, it may not be a good time to sell your home.

Did today's tips spark a question? Give me a call and let's talk!

David Shippey - Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results
Serving Central FL Home Buyers & Sellers Since 2005

Buyer Tip: Max Purchase Price

You already found a good Realtor, know your loan pre-approval amount, and made a list of needs and wants.

Next up -- decide how much you are willing to spend for a home that matches your list of needs.

Pro tip: if you're pre-approved for $300,000 but want to stay between $200,000 to $250,000, let your Realtor know. This will help them better curate the potential home list they share with you.

Did today's tip spark a question? Think I might be the right Realtor for you? Give me a call and let's talk!

David Shippey | Xcellence Realty
863-521-4517
Unforgettable Service | Undeniable Results
Serving Central Florida Home Buyers and Sellers Since 2005