New Year’s Resolution Ideas for Buying a Home

New Years Resolution Ideas for Buying  a HomeNew Year’s Eve is just around the corner, which means that if you haven’t already started thinking about your New Year’s resolutions, it’s time to get on it! If one of your New Year’s Resolutions is to figure out how to buy a home in the coming year, then make a series of smaller, more manageable resolutions to help you reach the big one. Here are some ideas to help you prepare!

Set a Savings Goal

If you’re buying a new home, you’ll most likely need to make a down payment on that home, and it could be the full 20 percent, or a lesser amount. Most people don’t have the kind of cash lying around without diligently saving for months or years, which means you should start saving now. Even if it’s only a little bit, having a clear picture of your finances and committing to putting away a certain amount each month can help a lot in the long run. Keep in mind that you will most likely be approved for a loan, even if you don’t have the full 20 percent down payment.

Fix Your Credit

Your credit will have an impact on whether or not you get approved for a mortgage loan, and if so, what your mortgage loan interest rate will be. If you have poor credit, you should start working to fix your credit asap. This means putting a plan in action to:

 

    • Pay down your debt;
    • Making all payments on time and in full;
    • Reduce your credit card balances or stop using your credit cards completely; or
    • Consolidate your debt.

 

If you have poor credit, you may be unable to secure a loan, or may get stuck with a high interest rate.

Get Your Documents in Order

Alright – you’ve fixed your credit score, saved up a good chunk of change for a down payment – what’s next? Now you need to start getting all of your mortgage loan documents in order. In order to get pre-approved for a loan, and certainly before the mortgage lender will issue you a loan, you’ll need to provide a variety of documents. These documents will likely include: at least two years’ worth of tax returns, W-2s, employment history, income/bank statements, and proof of assets. The sooner you start organizing these documents, the sooner you’ll know where you fall short and can start taking steps to correct this.

Find the Perfect New Home

Of course, before you can buy your new home, you have to find it first! Take time to explore your options, look at homes in different neighborhoods, determine your budget, and consider whether you want to buy brand new or used. Newer homes often have many benefits that older homes lack, require little maintenance, and can be personalized to fit your style!

Our Home Builders Can Help

At Hayden Homes, we have your dream home for sale! Come see our new homes sprinkled throughout the Northwest, in Washington, Oregon, and Idaho. Buying your first home is exciting – let us help!

Tips for Getting Preapproved for a Home Purchase

Tips for getting preapproved for a home loanBefore you can make an offer on a new home, and sometimes, before a realtor will even take you to see a new home, you must have a preapproval letter from a qualified lender. Getting preapproved means preparation and an understanding of what lenders are looking for. Here are some tips to help you along the way!
What Is a Home Loan Preapproval Letter?
A mortgage pre-qualification or preapproval is an estimate of how much home you can afford based on an estimate of how much a lender is willing to give you. It’s important to remember that a preapproval is not always 100 percent accurate. For example, if you get preapproved for $300,000, the bank may end up only giving you $279,000 as more granular details about your financial situation are uncovered. However, a preapproval is important because it will allow you to start looking at homes in your price range – or at least within the ballpark.
What Goes Into a Home Loan Preapproval?
While the preapproval process is not as comprehensive as the loan underwriting process, it will take into account numerous different factors. Some things that a mortgage lender will likely consider before pre-qualifying you include:
  • Proof of income – Understandably so, your lender will want some sort of proof of income, such as W2s, tax statements, or pay stubs.
  • Knowledge of existing debts – You’ll also need to provide your lender with any information about existing debts that you have, including car payments, credit card debt, student loan debt, existing mortgages, and other financial obligations that you might have.
  • Your credit score – Your credit score can affect the amount of money you are able to borrow, as well as the rate you’re offered. The higher your credit score, the better your chances are of being approved with a favorable interest rate. Start working on improving your credit score now. It takes persistence and patience, but you can do it!
In addition to the above, you’ll also need to provide personal information, such as your date of birth and Social Security number. Have this type of information ready when the time comes to get preapproved.
Tips for Getting Preapproved for a Home Loan
You don’t just want to get preapproved for a mortgage loan; you want to get preapproved for a specific amount that is reflective of the value of the home that you want. This may mean spending time – months and even years preparing your finances for preapproval. Some tips to improve your chances of preapproval include:
  • Avoid making any large financial purchases or changes in the months preceding your home purchase (if you can help it).
  • Get your financial documents in order – be prepared to present at least two years’ worth of tax documents. This can take anywhere from a couple of hours to several days to gather, so this is something you can get done well ahead of time.
  • Ask your preferred lender for more information – the preapproval process can be a little complex, so don’t be afraid to ask for more information and counsel. Feel free to reach out to us if you have questions!
Finding the Perfect New Home for You
If you’re looking for a new home in the Northwest, not only do we have brand new homes for sale in Washington, Oregon, and Idaho, but we work with a preferred lender that can help you out. Contact us today to learn how we can help get you into your dream home.

10 Questions First-time Homebuyers Frequently Ask

10-Questions-First-time-Homebuyers-Frequently-AskIf you’re in the market to buy a new home, you probably have quite a few questions about the process. Here are 10 commonly asked questions we hear from first-time homebuyers. If you have more questions, please feel free to reach out to a helpful Hayden Homes team member as we are here to make the process easy for you.

1. What Are the Benefits of Buying vs. Renting? 
The real estate market is always changing, but if you’re able to purchase a home, doing so is almost always a good long-term investment. When you rent, you’re giving money to someone else every month; when you buy, you’re paying down your equity, and therefore investing in your own future.

2. How Much Home Can I Afford?
The best way to answer this question is to meet directly with a qualified lender who can help you to understand the home-buying process, the costs associated with owning a home, and how much you can afford based on your finances. It’s important to be transparent about your finances when talking with a lender.

3. Do I Need a Real Estate Agent?
Working with a real estate agent can be very helpful and eliminate unnecessary worries and stresses during the homebuying process. A good Real Estate Agent will not only help you locate a home that aligns with your wants and needs, but also will help you understand the numerous real estate terms, contracts, and your obligations during the home-purchasing process.

With that said, Hayden Homes conducts many transactions, each year, with people purchasing a new home without a Real Estate Agent. As the process for buying a new home versus a resale home differs. Including, there is no need for negotiation when buying a new home. You will not have to go with an Agent to see many different properties, as with new construction, if the home isn’t already built, you will pick your homesite, home plan, personalize the home, and then allow for construction time. Finally, we have a Builder Contract that is straightforward, and our Community Managers will walk you through it page-by-page to ensure you understand everything fully.

4. Will I Have to Put 20 Percent Down?
Putting 20 percent down for a new home is ideal and may help you to secure more favorable loan terms, but isn’t required for most home loans. In fact, you may be able to quality for a new home purchase with little money down. Do yourself a favor now and begin saving for a down payment. The more you have, the more financing options will be available to you.

5. What Happens if I Don’t Have Great Credit?
Like the down payment, the better your credit, the more likely you’ll secure a loan with favorable terms. But there are some loan options available for those with less-than-ideal credit, too. Talk to your lender to learn more.

6. What Upfront Costs Will I Face?
There are a few upfront costs associated with buying a new home that you should be aware of. First, you will need earnest money, which is money that is paid to the seller at the time you enter the purchase agreement (at Hayden Homes earnest money is either 1% or 2% of the purchase price. If the home is under 1600 SF it’s 1% and if it’s over 1600 SF it’s 2%). Earnest money reassures the seller that you are intent on purchasing the home. Then, there’s the down payment, which varies greatly depending on whether or not it’s your first home purchase, how much equity you have, your credit history and more. You will also have closing costs which are often negotiated in your purchase agreements. Talk to your mortgage lender to learn more about upfront costs.

7. What Types of Mortgages Are Available?
There are multiple different types of loans available, the two most common being a fixed-rate mortgage (where the interest rate does not change) and an adjustable-rate mortgage (where the interest rate may change). There are also FHA mortgages, VA mortgage loans, USDA rural housing loans, and more. Your lender will be able to tell you exactly which types of loans you’re eligible for, and provide more information about each one so you can make an informed decision. In addition, we have a few blogs that explain the difference between the main types of mortgages, so be sure to read those as well.

8. Should I Buy a New Home or an Existing Home? 
Whether you should buy a brand new home or an already existing home is a big question prospective homebuyers ask. While both have certain advantages, buying a brand new home means a new home warranty, fewer maintenance and repair costs, and fewer worries about existing damage.

9. What Happens During the Closing Process? 
The closing process is the last step in the home-buying process, and involves an exchange of funds and keys. During closing, all documents will be finalized and signed, you will enter contract to pay back your mortgage loan, and any other legal matters will be addressed during this time. One of the processes that Hayden Homes does, during this time, is we conduct a New Homeowner Orientation (NHO) with all of our homeowners. We will do this with you, whether it’s your first or you fifth home. This is an opportunity for us to walk through the home together, to review any final touches, and ensure that you fully understand/know where to find all of the bells and whistles in your new home.

In addition, we will be there for you even after you close your Hayden Home. Once we hand over the keys, or relationship won’t end there. We will be there for you throughout your first year to ensure that any maintenance you may need done on your new home is taken care of. Visit our builder warranty page to learn more.

10. Do I Have to Purchase Mortgage Insurance?
Depending on the type of loan you get and how much of a down payment you provide, Private mortgage insurance (PMI) may be required by a lender in order to lower the risk the lender has in issuing a loan. By purchasing PMI, you may be able to qualify for a loan that you otherwise would not be eligible for. Those with good credit, a steady income stream, and the ability to put down a large down payment (usually 20% or more) typically do not need to purchase PMI.

Find Your Brand New Home Today
At Hayden Homes, we have new homes for sale in the Northwest, including Washington, Oregon, and Idaho. Whether you’re renting and looking to transition into home ownership, or needing something newer and bigger to better align with your lifestyle and/or family, we have new homes you’ll fall in love with. Contact a Hayden Homes team member today to learn more.

If you want other tips for first time homebuyers visit the Homebuying 101 category on our blog.

15-Year vs. 30-Year Mortgages – What’s the Difference?

15-Year vs. 30-Year MortgagesBuying a new home provokes all kinds of questions, many of which pertain to financing. Questions like: Which mortgage lender should I seek financing from? How much will be expected to put towards a down payment? What interest rates will I be able to qualify for? How long should I pay off my mortgage? Truth is, all of these questions can have more than one right answer, so don’t stress yourself out too much.

At Hayden Homes, we want to make sure that you secure the financing option that’s right for you and your situation. In addition to talking to a lender, to help you make a good decision, consider these basic differences between 15 and 30-year mortgages.

Mortgage Term Length: What You Need to Know

The 30-year mortgage is the most standard mortgage type throughout the country. Via this model, homeowners make payments on their mortgage loan over the course of 30 years. Because payments are spread out over a 30-year term period, the monthly amount owed on the loan is significantly less than it would be for a 15-year mortgage. However, because the loan extends for twice the length of a 15-year mortgage, the amount of interest paid on the loan is understandably more – and that’s the trade off.

For example, consider a homeowner who purchases a $300,000 home, putting $60,000 (20 percent) down and taking out a mortgage loan for $240,000. With an interest rate of 5%, and factoring in an average value for homeowners’ insurance and property taxes, the homeowner can expect to pay approximately $1,663 in mortgage payments, per month, for 30 years. Over the course of the loan’s life, the amount of interest accrued and paid would be approximately $223,813. To play with some of these numbers, view our mortgage calculator.

On the other hand, if the homeowner decides to do a 15-year mortgage instead, their monthly payments would jump up to approximately $2,272. However, while monthly payments are more, over the course of the loan’s life, the homeowner will pay approximately $101,622 in interest.

So Which Home Loan Length is Right for You?

While the 15-year mortgage may seem ideal on the surface – obviously, any homeowner wants to minimize the amount of money they owe over time – there are some drawbacks, too. First of all, it is harder to get approved for the 15-year mortgage; lenders want to see that homeowners can safely afford higher monthly payments, and that the payments won’t be too large of a portion of homeowners’ monthly earnings. Further, while paying more on your home now may save money over time, it can put a financial burden on your family now. Higher monthly payments may create unwanted financial pressure.

In short, if you can afford the payments associated with a shorter mortgage term comfortably, this may be the best option for you. If you can’t, then a 30-year mortgage is still a great option, and the option that the majority of homeowners in America choose. Keep in mind that you can always refinance at a later date, if doing so makes sense. Also, keep in mind that you can always elect to pay more of your mortgage when the funds are there. This requires more discipline since putting “extra” down each month on your mortgage principal isn’t required.

Come See Our Brand New Homes Today

If you’re looking to buy a brand new home in the Northwest, or if you just have questions, we can help. We have convenient financing options available via preferred lenders, making getting into your new home straightforward. Contact Hayden Homes today to learn more.

Note – While Hayden Homes has been building new homes for 30 years, we are not experts on home loans. In order to truly understand and find out which home loan is right for you, we recommend talking to a lender. The numbers in this article are an estimate and may not reflect the exact amount that you would pay for principle, interest, or monthly payments. Please consult your lending officer for any lending needs and additional questions regarding getting approved for a loan to buy a new home. 

10 Reasons You Could Be Happier in a Smaller, Newer Home

10 Reasons You Could Be Happier in a Smaller, Newer HomeLarge homes can be fantastic, especially for growing families. At the same time, smaller, newer homes have benefits too, especially for older homebuyers who are ready to downsize, or first-time homebuyers who are looking for something modern and low maintenance. Here are 10 reasons why you may be happier in a smaller, newer home:
1. Smaller Homes Are Less Expensive to Buy
Perhaps one of the first reasons that buyers turn to smaller homes is that these homes are, on average, less expensive to buy than larger homes. A less expensive home typically means a lower down payment, a lower mortgage, and more financial flexibility.
2. Smaller Homes Are Less Expensive to Care for, Decorate, Etc.
Not only is a smaller home less expensive to buy, but it’s also less expensive to fill with furniture, decor, repair, paint, cool, heat etc. This means that the savings keep on giving, year after year.
3. Smaller (Newer!) Homes Mean Less Maintenance
Don’t want to spend years of your life on maintenance tasks, like fixing the leaking roof or replacing the floors? With a brand new home, you don’t have to. And besides, if you do want to engage in a renovation or repair project, a smaller home will be more manageable than a larger home.
4. Smaller Homes Mean Less Cleaning
No one wants to spend their free time cleaning, and with a smaller home, the amount of time that you spend dusting, sweeping, mopping, vacuuming etc can be significantly reduced. Smaller homes are easier to keep clean.
5. Small Homes Are Greener
Whether you care about saving on your energy bill each month or want to be environmentally friendly, a smaller home can get you there. Smaller, newer homes are more energy efficient and reduce a homeowner’s carbon footprint.
6. Smaller Homes Ask You to De-clutter Your Life
With a smaller home, there isn’t enough room for all of your clutter. Which means that you’re forced to get rid of those things that you truly no longer need. This can be both physically (you need the space!) and psychologically rewarding.
7. Smaller Homes Encourage More Family Interaction
Smaller homes have fewer rooms so family members are naturally spending more time together. This can help to foster strong familial ties and a sense of togetherness within the home.
8. Smaller Homes Can Help You Let Go of Material Possessions
When living in a smaller home, it’s difficult to have an overwhelming amount of material possessions, plain and simple. Realizing that your happiness is not derived from material items can lead to a higher quality of life as you turn your attention more toward friends, family and neighbors.
9. Smaller Homes Give You More Time
With a smaller and newer home, you’ll likely have more spare time. This is because there will be less maintenance and less pressure to work overtime to pay your high mortgage. This means that you’ll have more time to do the things you really love including hobbies.
10. Smaller Homes Provide You More Financial Flexibility
Finally, having a smaller home provides you with more financial freedom. Often times people will stretch themselves financially to get into the biggest possible house. When you don’t have to stress about mortgage payments – in addition to life’s other expenses – you’ll have more financial flexibility when it comes to taking a trip, making a purchase, or taking time off from your job.
Come See Our Brand New Homes Today
We know that the one size fits all approach doesn’t work for everyone. But if you’re interested in downsizing or buying a newer, smaller home in the Northwest, we have homes of all shapes and sizes that you’re sure to love. Come see our new homes in Washington, Idaho, and Oregon today. View our gallery of both large and small home plans HERE.

What Are HOAs and Why Do Communities Have Them?

What are HOA's and why do communities have them?A large percentage of planned unit developments and newer suburban communities have HOAs, or Homeowners’ Associations. If you’re planning on buying a new home in the Northwest, either from Hayden Homes or another homebuilder, your new community may have an HOA. Here’s a look into what an HOA does, why communities have them, how HOA dues are determined, and what they typically pay for.

What Does an HOA Do?

Typically, an HOA is essentially responsible for setting community rules and monitoring community behavior. These rules vary based on the HOA, the type of property involved in the HOA (i.e. residential homes vs. condos), and the wishes of the HOA board and residents. Some examples of rules might include:

  • Construction and building requirements, such as homeowners not being allowed to construct fences over a certain height;
  • Behavioral and lifestyle requirements, such as not keeping more than two pets or maintaining shades of a certain exterior home color; and
  • Basic common responsibilities, such as picking up after one’s dog, paying HOA dues, not littering, maintaining lawn, etc.
Why Do Communities Have HOAs?
HOAs do more than just make rules. If they didn’t, homeowners probably wouldn’t want to keep them around. In addition to setting down some regulations that are intended to maintain the quality of the community for everyone, HOAs often maintain and repair public areas, including a community park, roads and entrances, or building defects. By doing so, the HOA helps to protect property values and provide services to residents.
How Are HOA Dues Determined and How Much Are They?
It should be noted that the amount that homeowners are asked to pay in HOA dues can vary dramatically depending on the community; sometimes, dues may be as little as $100 a year, other times, they could be several thousand dollars! The more upscale the property and the more amenities offered, the greater HOA dues will likely be. In the Northwest, HOAs are typically in the $250-500/yr range. It is important that you find out what HOA dues are and factor this into your monthly payment before you buy a property that is part of a homeowners’ association. Keep in mind that if you move into a property that is part of an HOA, you have no option but to pay these fees. If you do not pay your fees, a lien could be placed against your property.
Talk to Hayden Homes About Buying a New Home with or without HOA Fees
Buying a home that is part of an HOA can be a very positive thing, leading to a greater sense of community and reassurance that property value, comfort, and aesthetics will be maintained. Of course, because being part of an HOA means an added fee, so learning what the fee is and what is covered by the fee is critical.
At Hayden Homes, we are building brand new homes in great communities in Idaho, Washington, and Oregon. If you have questions about a community that you’re interested in – if it has an HOA and what the dues will be, we are here to help! Get in touch with us today. We can serve you whether you’re buying your first home, upgrading to a bigger home, or looking for something a little smaller. Reach us today to learn more!

6 Essential Tips for First Time Homebuyers

Essential Tips for First Time HomebuyersBuying your first home is one of the most exciting ventures of your life. Whether you’re buying an existing home or working with a builder to construct a new home, there are a lot of things you need to keep in mind to set yourself up for the smoothest, most enjoyable experience possible.

1. You’ll Need to Budget for More than your Mortgage

One common mistake first time homebuyers make is building their budget around their new mortgage. In reality, your monthly expenses will be more than your mortgage payment. They’ll include:

  • Property taxes;
  • If applicable, mortgage insurance;
  • Utilities;
  • Maintenance costs;
  • Homeowner’s insurance; and
  • If applicable, HOA fees.

2. Don’t Open Any New Credit Lines Before you Close

Pay close attention to your credit while your mortgage application is pending, because everything you do will affect your credit score and your application. The time to make and large purchases or do things like finance new furniture for the home is after you close and move in, not while you’re waiting for approval.

3. Get Pre-Approved

Since the recent housing-market crash, securing a loan can be harder than it used to be. In addition, the housing market is competitive. Therefore, it’s better to get pre-approved before you start looking for a home or make an offer. Wherever you decide to go for your home loan, you can submit your financial information and get a pre-approval letter for the max amount that they are going to loan you. You may find, through this process, you can afford more than you think.

4. Be Willing to be Flexible – And Creative!

Don’t go into the home search with a specific type of home in mind. Instead, go into it with specific needs in mind, like the number of bedrooms you need or a home with a driveway and a garage. Do you want an open floorplan? Do you want something new with modern appliances and building materials? Asking yourself these types of questions will help you narrow down the homes you look at based on what fits your needs.

5. Determine your Options for Tax Credits and Other Perks

Many states and municipalities offer first time home buyers tax credits and other perks to promote purchases. You might qualify for a low interest mortgage loan, a specific tax credit, or a special assistance program that makes homes more attainable for first-timers. Your real estate agent and loan officer, should be able to talk to you about the various perks and programs you qualify for.

6. Don’t Get Too Emotionally Attached

This one’s as important as the others, and it can be more difficult. When you visit a home for sale or look at a model home with a builder, it’s easy to fall in love. You might immediately see what you’ll want to change in the home and how you’ll fill its spaces with your family. But until the day you close on a home, it isn’t yours.

There are different things that could cause you to have to back out of a deal between making your initial offer and closing on a home. If your buying resale, maybe the home inspection comes back that there’s substantial water damage inside the home’s walls, which means you’ll have to begin a large-scale renovation project before you can move in. Maybe something comes up in your personal life that causes you to have to put the home buying process on hold. Keeping an even head throughout the home buying process will help you make smart decisions and avoid heartbreak if things don’t pan out.

Move into your Dream Home by Working with an Experienced Home Builder

At Hayden Homes, we work with first time and experienced home buyers and we work with preferred lenders who are attentive and supportive during this exciting time in your life. Whether you’re looking in Oregon, Washington, or Idaho, our team can help you move into a home that’s just right for you and your family. Contact us today. We look forward to answering any questions you may have about preparing for, and making, your first home purchase.

Mortgage Insurance: What You Should Know in 2018

What Is Mortgage Insurance? When home buyers are approved for a home loan, mortgage insurance may be required. Here’s a summary of what you need to know about mortgage insurance in 2018.

What Is Mortgage Insurance?

As explained by the Consumer Financial Protection Bureau, mortgage insurance (often called PMI or Private Mortgage Insurance) is a type of insurance that is designed to protect your lender. In the event that you fall behind on your mortgage payments, your mortgage insurance will kick in, ensuring that the lender receives the payments they’re owed.

When Is Mortgage Insurance Required?

Mortgage lenders want to make sure that when they’re lending out tens and hundreds of thousands of dollars borrowers are going to repay that money. If the bank questions your ability to repay your loan in the slightest (i.e. you do not make a big enough down payment (20 percent), you have average credit score or limited credit history, etc.) then you may be required to carry mortgage insurance. Mortgage insurance is also more common for certain loan types; FHA loans and USDA loans typically require mortgage insurance. In some cases, private mortgage insurance may help you to qualify for a loan for which you would otherwise be denied.

Paying for Private Mortgage Insurance

In most cases, you will not pay a lump sum amount for mortgage insurance; rather, the payments will be included monthly with your regular monthly mortgage dues.

According to Freddie Mac, the cost of your PMI depends on your loan-to-value ratio (the amount of money that you owe on your house vs. the amount that your home is worth) and your credit score. In most cases, a typical borrower will pay between $30 and $70 per month for every $100,000 borrowed. So if you borrow $200,000, the $30-$70 amount will double.

Should I Move Forward with Mortgage Insurance?

Whether or not you should get mortgage insurance really depends upon your financial situation. If waiting another five-to-10 years to save up enough for a down payment is the only other alternative, you may want to get a foot in the door with home-buying by choosing PMI. If you’re only a year or two away to your goal down payment and credit score, waiting may save you more money over time. You may also be able to cancel your PMI after a certain amount of time or when refinancing to take advantage of better interest rates. Talk to your lender to learn more about your options.

Financing Options and New Homes for Sale

Are you buying your first home? Thinking about moving to something bigger? Looking to relocate to a great community? We can help. At Hayden Homes, we have homes for sale throughout the Northwest, including in Idaho, Washington, and Oregon. Browse our floor plans here and start building your plan to get into your dream home today!

The Dos and Don’ts During the Home Loan Process

In order to be approved for a new home purchase, potential homebuyers must work closely with their loan officer and provide a variety of documents including financial documents, proof of employment, credit check, and more. With your brand new dream home on the line, there’s a lot at stake, so here are some dos and don’ts to consider during the home loan process:

What-to-Do-during-the-home-loan-process

Dos: Things to Do While Your Home Loan Is Being Considered

As you’re getting your home loan documents together, or as you are waiting for a loan underwriter to approve your loan, there are a number of things that you can do to improve your chances of being approved. These include:

  • Do include all financial information in your loan application. Failing to disclose something can result in a delay in approval.
  • Do use the money you saved for your down payment, just for that. Your down payment. Odds are, you’ve likely saved for a while to pay for your down payment and you’ll want to use that money solely for that purpose.
  • Do be honest. Fudging documents to improve your chances of getting approved won’t work, and will likely hurt your chances instead.
  • Do follow up with the loan officer. Chances are the loan officer in charge of your loan is processing multiple other applications simultaneously. With so much on their plate, it never hurts to check in with your loan officer on a regular basis and ask questions about the loan process. Be responsive, so that the process can speed along.

Donts-during-the-home-loan-processDon’ts: Things to Avoid During the Home Loan Process

Just as there are a number of things that you can do during the home loan process, there are also a number of things that you should avoid doing when applying for a mortgage loan. These include:

  • Don’t open new credit cards or apply for other loans. Financial changes right before applying for a home loan, or during the approval process, can harm your chances.
  • Don’t quit your job, change jobs, or become self-employed. A bank will only give you a loan if you can prove that you have the means to repay it, which typically means a steady stream of income. Quitting or changing jobs right before getting a loan can result in home loan denial.
  • Don’t make any unusual or large purchases. Remember, a lender will consider all of your financial history and financial transactions before approving your loan. Things like buying a new car, enrolling in graduate school, or even buying large furniture before you buy your home, could hinder your chances of being approved.
  • Don’t take other financial risks/changes. This includes things like co-signing on a purchase for someone, changing to a new bank or making a large deposit into your bank. Your lender will want to ensure that you are financially stable and any of these things can hinder your chances of being approved.

Learn More About the Lending Process and Buying a New Home Through Hayden Homes

If you have fallen in love with your dream home by Hayden Homes, the next step is securing financing. At Hayden Homes, we not only have brand new homes for sale in Washington, Oregon, and Idaho, but we can help you get in touch with our preferred lender to get the process started. Your preferred new homebuilder is ready to get you into your beautiful new home today!

Contact us today, we look forward to working with you!

 

Best and Worst Time to Sell a House

Best Time to Put Your Home on the MarketIf you are thinking about selling your home in the Pacific Northwest, you should learn when the best or the worst time to list your home, in order to sell as quickly as possible and upgrade to a new home. According to a recent article in MarketWatch, listing your home at the wrong time could mean difficulty selling, and it could also mean that you are not taking advantage of the recent research on homebuyer trends. The article discusses a new study conducted by Zillow which argues that the best time to put your home on the market is the two-week period from May 1 through May 15. What else do you need to know about listing homes for sale and getting your property sold?

Listing Your Home During the First Half of May Could Mean a Quicker Sale and Higher Profit

According to the Zillow study, homeowners who list their properties for sale during the first two weeks of May this year are likely to see a couple of major benefits: these properties “sell on average two weeks faster and for $2,400 more.” In other words, timing impacts the time it takes to sell the home, as well as the profit on your investment. The Zillow study reached these calculations by analyzing home-buying trends in the 24 largest real estate markets in the country.

Why is Early May the Prime Time to List Your Home for Sale?

First, consider a first-time purchaser who wants to buy a property that is ready for move-in. As the study highlights, by May, many of those buyers may be in a position where they have already submitted multiple unsuccessful bids and want to move quickly on a property. In such situations, those potential buyers may be most likely to put in a high offer during the first two weeks of May and, in fact, may ultimately spend more than they wanted to as they engage in competition and/or rush to finish the deal before the summer begins.

Listing Over the Weekend for the Best Premiums and Fastest Sales

Many of these potential home buyers we mentioned above are eager to move on a property. Moreover, they want to move in before summer when kids are on vacation from school and moving prices climb. While a lot of people search for homes on websites like Zillow everyday, sellers should also think carefully about the day that is best to list the property. In addition to planning for a listing in early May, you may sell your home even faster and for a higher premium if you list over the weekend. More potential buyers are searching for homes on the weekends, and they are visiting more properties and open houses.

What happens if you fail to list your home during an ideal period and on a weekend? In short, you may learn that it will take longer for your home to sell and you may end up settling for less than your asking price. Online listings get 50 percent (or more) of all views during the first week the properties are on the market, and more than 75 percent of sellers who fail to find buyers within the first month of the property being on the market will end up taking an offer below the initial list price for the home.

Learn More About New Homes for Sale and How a New Home Builder Can Help

By listing your home for sale between May 1 and May 15, you increase your chances of selling your home quickly and for the highest price. If you are able to make enough money on the sale of your home, you may be able to afford your dream home. To learn more about buying your first home or working with a new home builder to move into a brand new – never been lived in – home, contact us today. We build new construction communities in Oregon, Idaho, Washington!