Open House: Sun July 21, 2 - 4 PM at 41 Silversmith Lane, Levittown 

 
Open houses are your chance to get to know a for-sale home up close and personal, to see the reality behind listing language like “gourmet kitchen” and “giant closets.” The best part is you don’t need an appointment or even your own agent to attend an open house.

Open houses let you gauge the market in your area and let you see for yourself what $300,000 will get you.

And if you don’t already have an agent, open houses are easy way to begin a relationship with one. You’ll see how he or she markets the home, and you can ask questions.

 
During most open houses, you’ll be asked to sign in and provide an address and telephone number. This helps the seller’s agent to follow up with you; if you didn’t like the house, the agent may another listing that fits you better. You don’t have to sign in but it’s polite to at least introduce yourself to the agent so he or she can keep track of who’s walking through the home.

Here are some do’s and don’t that will help you make the most of open house visits.

1. Open house timing

Do show up at the house as early as possible, before the crowd. That way, an agent will have time to give you personal attention and answer questions.

Don’t wait until the last minute to arrive, when an agent most likely is turning off lights and packing up brochures. If you can’t make the open house with plenty of time to look around, call the agent and arrange a personal showing.

2. Questions to ask the agent

Do ask questions about the home. Have any offers been made? Is the seller motivated? If the price has dropped, why? How long as the property been on the market? How much are utilities? Are there any water problems? Any assessments or extra fees?

Don’t monopolize an agent with endless questions during a busy open house. You can always follow up later. And don’t be contentious or challenging; that will only shut doors of communication and make the agent less willing to share information.

3. Questions the agent will ask you

Do answer questions about what home features you want, price range, number of people who will live in the home, and whether you already own a home already.

Don’t provide too much information. Don’t answer questions about your income, how your search is going, and when you need to move – all information that puts you in a disadvantaged negotiating position.

4. Open house etiquette

Do dress appropriately in clean, casual wear. No one will throw you out of an open house if you arrive wearing Daisy Dukes and a flip flops but if you don’t look like a responsible buyer, agents are less likely to take you seriously. Also feel free to photos so you can remember details, and take measurements to make sure your furniture will fit.

Don’t open closed doors without asking the agent first, or open drawers or medicine cabinets. Also, don’t criticize the house in front of the agent; wait until you leave to talk smack about the property. And don’t make use of the bathrooms.

5. Scoping (not snooping)

Do check for basement dampness, foundation cracks or outdated plumbing and wiring. Walk around the property to see if water pools in any section, which could point to grading problems. Drive around the area to get a feel for the neighborhood. If you have kids, look for other youngsters they might play with. If you are empty nesters who want peace and quiet, keep an eye out for older residents.

Don’t buy a house that you think has water problems, which are hard and expensive to cure. And don’t overlook landscaping, which could include old, dead trees that may have to be taken down, which is a costly job.

If you have fallen behind in your mortgage payment and want to keep you home call your lender and see if you can get a loan modification. As part of the process, your Lender will work with you to understand the cause of your financial setback and ask you to give them information about your income and your spending, bills, and debts.

Applying for a loan modification does take some effort. You've got to supply documents, double-check forms, and meet deadlines, and it's essential that you stay on top of the process.

Some possible factors determining whether you'd qualify for a loan modification include:

• Your circumstances, why you fell behind on your mortgage and your ability to pay in the future
• Your monthly income and how it compares to your housing costs
• Your property value, the amount of your equity
• The condition of the property, and
• Whether you live in the property or it's vacant

To start the process, you'll need to get the following information to your Lender:

• Pay stubs
•  savings account 
• investment statements
•  Social Security statements
• and tax returns.

Housing information you may be asked to provide include your current principal balance, interest rate, homeowner's association dues, homeowner's insurance costs, and real estate tax statements.

Every situation is unique and you Lender may consider other factors as well such as whether your home is a single or multi-family home and the available programs for your current loan.

Here's how it generally works:

• First, you'll send us the documents we need.
• Then we'll review them and make a decision, usually in less than 30 days.
•  If you qualify, you'll get a trial loan modification that generally lasts 3 months.
• As long as you pay the right amount by the due date during that period and there are no changes in your circumstances, it's likely you'll be approved for a modification within 45 days after the end of that period.
•  At that point, you'll just need to sign the documents for the modification, return them to your Lender, and then you're all set.

This process is complicated at the beginning, but if you take notes, ask questions and stay on top of it, you will succeed in getting your loan modified and staying in your home.

A loaf of bread used to be a nickel, a movie ticket was a dime but not anymore. Houses were also much less expensive than they are now. Inflation has caused an increase in the price of all three of these items, along with the price of almost every other item we purchase.

The reason we can still afford these items is that our wages have also increase over the years. The better measure of whether an item is more expensive than it was before is what percentage of our income it takes to purchase that item today compared to earlier.

Let’s look at purchasing a home today
The COST of a home is determined by three major components: price, mortgage interest rate, and wages. The big question? Are we paying a greater percentage of our income toward our monthly mortgage payment today than previous generations? Surprisingly, the answer is no.

Historically, Americans have paid just over 21% of their income toward their monthly mortgage payment. Though home prices are higher than before, wages have risen as well. And, the most important component in the cost equation – the mortgage rate – is dramatically lower than it was in the 1970s, 1980s, 1990s, and 2000s.

Today, according to the latest Home Affordability Index just released by the National Association of Realtors, Americans are paying 17.4% of their income toward their mortgage payment. That is much lower than the 21% average previous generations have paid.

There’s no doubt about it: the 2018 housing market has seen its ups and downs.

The year started with sky-high home prices, historically low mortgage rates and a definitive upper hand for sellers. In recent months though, home price growth has faltered, rates have risen to their highest point in nearly eight years, and favor has started to shift from seller to buyer.

Will these trends continue? Will housing experience the same wild ride in the new year? Here’s what experts predict will happen in 2019 real estate market:

• ­Interest rates are projected to increase steadily throughout 2019, but buyers will still be able to lock in a rate lower than their parents or grandparents did when they bought their homes!
• Home prices will rise at a rate of 4.8% over the course of 2019 according to CoreLogic.
• All four major reporting agencies believe that home sales in 2019 will outpace 2018!

Mortgage rates will rise however it will not decrease housing demand

Despite steady climbing for the past two years, mortgage rates remain lower than they were during most of the recession and below average for the type of strong economic growth we’ve been experiencing. That will change in 2019, as the 30-year, fixed rate mortgage reaches 5.3% . See more in the image below.

Sources: Freddie Mac, Fannie Mae, CoreLogic and NAR

Millennials will keep buying homes — despite those rising rates.

The housing market in 2019 will be characterized by surging millennial demand. Rising rates, by making housing less affordable, will likely deter certain potential homebuyers from the market. On the other hand, the largest cohort of millennials will be turning 29 next year, entering peak household formation and home-buying age, and contributing to the increase in first-time buyer demand.

Millennials will continue to make up the largest segment of buyers next year, accounting for 45% of mortgages, compared to 17% of Boomers, and 37% of Gen Xers. While first-time buyers will struggle next year, older Millennial move-up buyers will have more options in the mid-to upper-tier price point and will make up the majority of Millennials who close in 2019. Looking forward, 2020 is expected to be the peak Millennial home buying year with the largest cohort of millennials turning 30 years old. Millennials are also likely to make up the largest share of home buyers for the next decade as their housing needs adjust over time.