Wednesday, August 29, 2018 / by Rachael Dicioccio
Let me set the stage for you: Person(s) are out and about one day and see new model homes advertised on a sign. They are not really thinking about buying, but it would be neat to see the floor plans and check out the prices. Maybe it will give them a better idea of what they need to save, etc. They walk into the office, meet a rep, tour the models, and are suddenly signing a contract for a brand new house. The rep assures them they will get the best deals if they sign up right then and there. Some even imply they have better deals than anyone else could get them because they work there. Person(s) feel great about the new house and the deal they got. They are on their way to a brand new home.
Except it isn't always sunshine and rainbows from this point. What many people forget is that the sales rep works for the builder. Their paychecks are based on commission and bonuses from that builder. Their interest is in keep the builder happy. Usually any approved deal has already been wo! ...
Monday, August 27, 2018 / by Rachael Dicioccio
With the popularity of home buyer "reality" TV, many misconceptions about the home buying process trickle from mainstream media to the average buyer. Sometimes, this can be great news; a client finds out they only need 3% down to purchase a home...sometimes, with some loans NO down payment money is needed!! Not the preconceived 20%. On the other hand, buyers can be in for a big shock when they find out something like the amount the bank has pre approved them for is not the amount of money they will get regardless of the purchase price.
Put in a simple example: Susie HomeShopper is Pre Approved for $275k. In searching for a house with her favorite Rachael the Realtor, she falls in love with a house and puts an offer in at $249k. The offer is accepted. She does not at closing get a check for $26k to help with repairs, or furniture, or anything of the sort. No, she just has a smaller monthly payment to the mortgage company than she would have if she bought a house for $275.