Home Buyers:


* When looking to Buy a home, do not get any new loans or use credit cards heavily.


The preapproval letter is just the beginning of the process. Once you get preapproved, don’t run out to start buying things for your new home on credit. Just before closing, most lenders will pull your credit again to re-examine your financial situation. If your credit has changed since the preapproval, you may have a higher interest rate, or even worse, you may not get the loan. It’s best to maintain your frugality even after living in the home for a few months to get an idea of how much it will cost you to live in your new home.


* Prequalification does not mean preapproval.


In a prequalification, the lender generally doesn’t verify all the buyer’s information. A preapproval requires third-party verification. If you are a serious buyer, get preapproved before looking at homes. That means you’ve already applied for the loan, your financial information has been verified, and you’ve been given a specific loan amount and interest rate.


Home Sellers:


* Selling a home usually takes longer than you think.


Most people underestimate the time it takes for a house to Sell due to unrealistic expectations. These unrealistic expectations can often cause more stress. Make sure you communicate your expectations with your real estate agent. Then be open to suggestions and advice and a more realistic timeline. Give yourself a minimum of four to six months to sell your home.


* The little details make a big difference.


Your home needs to look good, feel good, and smell good when you are preparing to Sell it. The home should always be ready to show. Messy rooms, poor staging, and odors will turn prospective buyers off quickly. Always leave a warm, comfortable, and inviting impression.


If 2014 is the year you have targeted to either Buy that new home, or Sell the one you currently live in here in central Oregon, just give me a call. I will be happy to help.


Have a safe and prosperous New Year!