Does it make sense to buy in the Nashville market? Absolutely!
Historic Music Row may be preserved?
I love this article! If you are a fellow Nashvillian or are looking to move to Nashville, I highly suggest checking out Music Row! I have some wonderful memories there growing up. If you are ever in town and would like to check out Music Row, please do… while you’re at it sign any petition you can to keep it here! Yes, I am a Real Estate agent and I see growth as an important part of any city. But, we have to preserve what makes Nashville, Nashville. Maybe hotel and residential developers think that the land is worth more than what stands there today. But, in this Real Estate Agents eyes, Music Row is priceless. It isn’t just historic. It is #Nashville.
Top 30 Buyer FAQ’s
This post answers some of the many questions that I hear from buyers while going through the home buying process. If you have any questions that are not on this list, please feel free to contact me!
1. What is the first step? A) The first step is to get your pre-approval! Different loans have different requirements for your pre-approval. If you need help getting your pre-approval and picking a lender, please contact me.
2. What will the lender need to get my pre-approval. A) It will be helpful to go ahead and have your last three paycheck stubs, your last two years tax returns, your most recent bank statement, and your rental history on hand. If you are self-employed you will need at least 2 full years of self employment income.
3. How long do I have to get the lender what they need? A) Please get the lender everything in a timely manner, or within 24 hours of their request.
4. Can you show me houses from other real estate companies or listing agents? A) YES! I am a licensed Realtor and can show you ANY property, regardless of the listing agent or the company.
5. We have found a home, what next? A) Our next step is to put in an offer on the home and negotiate a price that is acceptable to both parties. Several things can happen through this process. They will be discussed below.
6. What is a multiple offer situation? A) When you have put in an offer on a home, and have been notified that there are multiple offers, it is important to bring your highest and best offer. This means that you are bidding for the home you like against one or more other people. The seller will likely take the most attractive offer.
7. Once our offer is accepted, what happens next? A) Several things will happen in the next few weeks. In no specific order you will: Receive disclosures from the lender that will list your interest rate and payment amount, schedule your home and termite inspection, have your appraisal ordered, and receive a list of everything that you need to get to the lender.
8. How much does a home inspection cost? Is it required? Is it important? A) A home inspection varies in cost depending on the square footage of the home and detail of the inspector. It is important to note, that a home inspection is generally NOT required by your lender, but HIGHLY SUGGESTED. A home inspection assists in your decision to purchase the home by allowing you to negotiate repairs, get an overall condition of important aspects of the home (i.e. HVAC, roof, plumbing, crawl space, and electrical components), and giving you an idea of costs that you may incur once the home is yours.
9. How much does a termite letter cost? Is it required? A) A termite letter varies in price (In middle TN is averages $40-$60) and is likely to be required by your lender.
10) Will the seller fix everything in the home inspection report? A) Maybe… this is a negotiable part of all contracts written by me. You can request certain repairs, the seller can counter offer your request, or you can choose to walk away from the contract if something is found that you are not comfortable with or you and the seller can not reach a mutual agreement regarding the repairs. (It is important to note that not all contracts have an inspection contingency, but all contracts I write for my buyers will.)
11) What happens if termites are found? A) Per the contracts I use, the seller will treat for termites if termites are present.
12) What is earnest money? Do I need earnest money? What happens to the earnest money? A) In short, earnest money is a “good faith” deposit, that will generally be held by the listing agent’s brokerage until closing. This money is your money and will be used as a credit to you at closing, usually in the form of closing costs or prepaids. Giving earnest money could be the difference in having an accepted contract and an offer that was rejected by the seller. Not giving earnest money could look like you are not serious about purchasing the home to the seller. Earnest money is held until closing or until it is requested back from an unsatisfied contingency in your contract.
13) What is an underwriter? A) An underwriter is employed by your lender to access your eligibility for the loan. It is usually up to the underwriter to make the final decision as to whether or not lend you the money for your new home.
14) How long until we close? A) The closing date is written into your contract based on what type of loan you have, and a conversation with your lender regarding how long they will need to process your loan.
15) Can we close early? A) Maybe.
16) Will we close on time. A) Maybe. Maybe not. There are things that can happen within the process of your loan that may require you needing an extension.
17) Can I make large purchases? A) No. Please don’t. I would not advise putting anything on a credit card or making any large ticket purchases such as a car, boat, or motorcycle. Basically, if you can’t afford to pay for it flat-out, wait for it until you have your house.
18) What is an appraisal? A) An appraisal is ordered by your lender to access the value of the home that you are purchasing. Your lender will want your appraisal to come back either at or above the purchase price.
19) Who pays your commission? A) The seller pays my commission.
20) Will I reduce my commission? A) No. This is my career. I work hard and strive for the best possible experience for my clients. I only work on commission and am not an hourly or salaried employee. (Certain circumstances may arise where it may be possible for me to reduce my commission, though generally I will not reduce my commission)
21) Can you check my credit? A) No. The lender will be responsible for checking your credit.
22) What will my payment be? A) There is no way for me to give you an accurate monthly payment until we have all of the factors. Each of the following will determine your monthly payment: Purchase price, property taxes, and interest rate will all factor. Other factors may be if you are rolling in your closing costs, funding fee, or down payment. Until I have all of those factors, I can only give you an estimated monthly payment.
23) How long does closing take? A) Generally around an hour.
24) Can we go see this house right now? A) Maybe. Maybe not. If a home is occupied, the seller may want more notice than less than an hour. I generally try to set all of my appointments no more that 24 hours in advance.
25) What does my credit score have to be to purchase a home? A) There are some programs that require a 640 or above, some that will go down to a 600, and others that will go down to a 570. It really depends on what program you are interested in and eligible for.
26) Can I have the sellers phone number? A) No. You may write them a letter if you like, and I will see that it gets to them. If you have specific questions for the seller, please let me know and I will have all of your answers in a timely manner.
27) What is a home warranty? A) A home warranty is something that you can ask the sellers to provide for you. The generally cover things like HVAC, plumbing, and appliances for up to a year after you close on your home.
28) When do we get our keys? A) Most often you will receive the keys to your new home at closing. Sometimes, the seller may have arranged to give occupancy after the closing date. If that is the case, we will make arrangements to get you the keys on the day you have agreed to take occupancy.
29) How much money do I need to bring to closing? A) We will not know the exact dollar amount of what to bring to closing until we get closer to closing. You may know up to 3 days prior, however, it is not uncommon to find out the day of closing.
30) Can I back out? Probably not. If you have entered into a legally binding document and do not have a contingency to satisfy, you can’t just back out. You can be held legally responsible for breaching your contract. In some situations you may have the legal right to walk away from the contract. These situations pertain to certain contingencies which have not, or cannot be met.
Posts coming soon: Top 30 Seller FAQ’s and Real Estate Terms and definitions.
Do have questions that haven’t been addressed in this post? Please leave them in the comments so I can add them and answer for you! Thanks for reading!
As always, my contact information can be found in the about me section of my blog.
Selling your home in the winter is a good thing!
Winter sales are statistically low for good reason, because there are fewer homes on the market! It makes sense then that there would be lower sales throughout the country!
What does this mean if you’re looking to sell? Well, there are a few things you should keep in mind!
Less Competition: Having less competition is a BIG plus! Buyers are still looking to buy, even in the cold months. They want to beat the rate hikes that next year could bring! Less competition means more showings and coverage of your home.
Higher Value: Your home needs to be priced right for the market, but you have much more selling power in the winter. With less inventory, pre-approved buyers are looking to make higher offers to get the home they want. Statistically, homes sale for closer to asking price in winter months as compared to the warmer months.
Quicker closing: Because there is less inventory, and competitive buyers, your home is likely to close much sooner than if you were to list in the summer months.
Multiple Offers: Several homes in the Tennessee area are already experiencing the multiple offer phenomenon due to the popularity of the state. (Mt. Juliet is one of the top cities to raise families in the country, and Nashville is one of the top cities for recent college graduates to relocate to due to the number of available jobs and lower living expenses). Multiple offers allows you to have more control over what type of loans you will accept, how quickly you can close, possession dates, and seller concessions amongst other things.
Click below for more information and call me when you’re ready for your FREE current market analysis and customized marketing plan!
100% financing options for the Middle TN buyer
Purchasing a new home can be an exciting, yet very stressful venture! You should know all of your options before applying for a mortgage. In Tennessee, there are several different types of loans available. This post will help you decide whether purchasing a home with no down payment is the right decision!
Loans that allow for 100% financing:
1. The VA loan: This loan is an excellent option if you or your spouse is currently serving in the military, or if you or your spouse are a veteran. It allows for the purchase of several types of properties including: single family homes, manufactured homes, and some condos and town-homes. The biggest perk of the loan is, of course, the 100% financing! With a VA loan, the borrower will not have a private mortgage insurance payment, thus, saving the purchaser hundreds of dollars per year. To qualify for a VA loan, you must have a minimum credit score of a 580 and be able to prove that you are eligible for VA entitlement benefits. Though, not all lenders will be able to do this loan down to a 580 credit score. The VA does not limit the area in which you can purchase your new home. However, the amount of liability that the VA can assume is limited. Meaning, you will only be able to borrow up to a certain amount and still be eligible for no down payment on your new home. For more information, you can visit the VA Benefits website to find out more about this program. If you believe you are ready to apply, please contact me using my information given below, and I would be happy to assist you in the process. I do work with several lenders, including two that may be able to provide your VA loan down to a 580 credit score.
2. The Rural Loan provided by USDA: This is a wonderful option for people who are wanting to live outside of the city. Rural loans are available only in certain areas, and only to people who meet the required income levels. For more information on the income levels and pertaining areas in Tennessee, visit the USDA website here. It is important to consider that Rural loans will also have a monthly mortgage insurance premium, which will be included in your monthly mortgage payment. I will be discussing monthly mortgage premiums in an upcoming blog. Stay tuned! If you live in the middle Tennessee area, you know how highly sought after Wilson and Williamson Counties are! Springhill in Williamson County as well as ALL of Wilson county are eligible for this amazing program. This change recently went into effect Spring of 2014. We don’t know how long they will keep these areas eligible, so if you plan to move to either of these areas, and utilize a rural loan to do so, now is the time!
3. The third program that may allow you to purchase a home for no money down utilizes FHA or other loan programs with down payment assistance provided by THDA (Tennessee Housing Development Agency). Buyers must meet certain requirements and will need a higher credit score than the previous two options. Each buyer that obtains down payment assistance will be required to complete a home buyer education course. This course is offered at no charge and will be necessary to obtain assistance. For more information, please visit the THDA website and explore the “Home Ownership” section. Income restrictions may apply for eligibility in this program.
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Amanda Cotton
Affiliate Broker
Re/Max Carriage House
(615) 878-0093
amandacotton@remax.net
For more information, or for help with obtaining your pre-approval, contact me today!
Real Estate in Tennessee 