Thinking About Moving To Another State? (Part 2)

You’ve established a relationship with a lender and have your pre-approval? Great! Congrats!!

So what’s next??

If your lender gave the green light on proceeding with your purchase without selling your existing home, congrats! Save yourself some time and move on to part 3. If you need to sell/get your current house under contract first, then…

Let’s get your house SOLD!!

If you’re currently living in this neck of the woods, I’d be happy to do a comparative market analysis or aka CMA. This is what us Realtor’s use to let sellers know what the market says their house is worth. A CMA is based on current market prices on similar properties in the area and its condition.

Other things to consider…Is the house in need of some freshening up? Does the house need a fresh coat of paint? Any glaring repairs that need to be made? Maybe new flooring? Some staging?…or do we decide to sell as-is? Every seller situation is different and that needs to be taken into consideration. Nothing is ever cookie cutter when it comes to buying and selling.

The better the property presents itself, the more appealing it will be to the masses.

Even though things in this market are moving quickly, and people will buy just about anything in any condition, even as-is…and, you want the house to show as well as possible.

Once the house officially hits the market the buyers are off to the races! In this market, multiple offers are the new norm. Hopefully you will receive several appealing offers. We’ll go over them together and  I’ll explain the pro’s and con’s. Counter if need be, then accept the one that is the best to you. Once both buyers and sellers have signed the contract your house officially under contract!

Congrats!!

This is where is gets exciting….

We can start looking for YOUR NEW HOUSE!!!!!

Get some sleep and eat your Wheaties, because the house hunting is about to begin…

Steps to Getting Pre-Approved

If you are like many folks, the step to get pre-approved to purchase a home can be a daunting task.  It can be very emotional as you’re about to leave a place you have called home. The stress starts to kick in as you must gather your income, asset documents and get yourself ready for a conversation about your financial situation with someone you do not know. They are going to ask to run your credit report and will review all the financial decisions you have made both good and potentially bad. Geez, as I write this it makes sense why clients will put this off to the last minute.

One of the key people you will meet can make this experience a good, painful, or a bad one is the loan officer you select. So do your homework on this part. Ask for referrals from people you trust, or Google them to look for client reviews and experience. Did you know you can look up job history on the loan offer? Click on this link. Just put in the loan officer name or NMLS number.  Finally, interview the loan officer and make sure it is a good fit.

Once you have made the decision it is now time to prepare for the phone, online or in person application for the pre-approval. Start to think about the purchase price range you are going to be looking at, estimated property taxes, and if any homeowner’s association fees will apply to the properties you like.   Make sure to provide them with a budget you are looking to stay under for your new mortgage payment.  This will give the loan officer an idea to start building the programs you qualify for with what your goals are.  You will also want to know your income structure and asset balances.

The next step will be to provide the loan officer with the documentation to support your conversation. This will vary by client but some of the common items you should supply would be 2 years w2’s, 30 days pay stubs, 2 months bank statements, 2 months or most recent quarterly statement on 401k or IRA account. If you are on fixed income, they will need a social security award letter and a pension award letter. If you own your own business or have rental properties, they will need your last 2 years federal tax returns and if applicable, 2 years business returns.

You should at this point receive a pre-approval from the loan officer. They should have reviewed your credit, income, and assets along with it run through the automated underwriting engine known as DU (desktop underwriter) or LP (loan prospector). With this pre-approval letter you can provide it to your realtor and when you make an offer on a home it will accompany your offer to the seller.  

I hope this helps lay out the process to get pre-approved and if you are looking in IL, FL or WI I would love to be your lender of choice. You can reach out to me 7 days a week.

Bryan Reed
American Portfolio Mortgage
NMLS #220817
bryanreed@goapmc.com
www.bryanreed.goapmc.com
847-477-8738

Thinking About Moving To Another State? (Part 1)

Many are moving to another state. Whether it’s family, a job transfer, retirement, taxes, or even just a fresh start, people are on the move!

Are you contemplating it? 

What’s holding you back?

I’m sure the thought of packing up all your belongings and moving far, far away seems daunting and stressful but is it really? 

Let’s go step by step and make your wishful thinking a reality…

Wait! I know what you’re thinking…this market is bananas right now! Houses are selling in a matter of days…sometimes even hours! So how in the world are you going to buy a house in another state!?

PLAN & PREPARE

In most any case planning ahead will always give you the best success possible. When you fail to plan, you plan to fail…so let’s get to planning!

What’s first???

Start looking at Zenlist, Realtor, or Zillow? Go look at houses while you in town? No, and no. I mean, by all means go look on the real estate sites and start falling in “like” with houses and get excited about your new adventure, but definitely, first and foremost…

FIND OUT WHAT YOUR BUYING POWER IS FIRST!!! 

(go back to this article about what buying power is) 

Your offer needs to be as strong as possible, especially in this market!!! 

So who is ultimately going to tell you what your buying power is???

YOUR LENDER!

Please, please, please, talk to a LOCAL lender (yes, it’s in caps because I really feel this is important) in the area you plan on buying in. Get referrals and Google local lenders in that area. Call a few, explain what you are looking to do, and see who will be the best fit for you. Everyone in the real estate industry works a bit differently than everyone else, so finding the best fit is crucial, especially when dealing with an out of state move.

You and your lender will discuss what kind of budget you’re working with. Knowing your numbers, especially with homes selling above list price is key (haha!). The lender will also be able to let you know if you have enough funds to purchase without selling your current home first or if that needs to get added into the equation. 

…if you’re buying with cash, forget the lender. However, you still need to know where you stand with the sale of your current house. Are you using the proceeds from your sale, or funds from investments and such?

If you’re looking for any local lenders in the Chicago/NW IL area (FL & WI too) be sure to reach out to my recommended lenders here.

Now go call some lenders!

Once you have your numbers, check back to see what step two is…

See you back here soon!!

Common Senior Living Questions: Answered

Placing your loved one into a senior living community can be challenging because they might feel fearful of moving to an entirely new environment. The reason for this discomfort, however, may come from their senior living questions that are unexplained. Two Senior Living Experts advisors, Kerry Quirin and Nancy Pappas, have answered some of these questions for you. 

How much does senior living cost?

The cost of senior living depends on many factors, as your care needs and location. Pricing ranges from about $2800 for lower-end independent living to $8000 for 24-hour memory care. The pricing is also different for someone who wants in-home care versus someone who wants to live in a senior community. 

Does the cost for senior living go up every year?

Yes. Similar to your expenses at home, a community must maintain their own expenses along with supporting their employees. The cost can go up anywhere from 3-6%. 

Do senior living communities require financial documents?

Financial documents are usually not required by month-to-month rentals. However, continuing care retirement communities will require financial documents because the resident is living there through all of their care needs, and levels of care. 

What happens if my loved one’s level of care changes as they live in the community?

Typically, a senior living community’s nursing staff will conduct ongoing assessments of the resident’s care needs. This will ensure that the resident is always on the correct level of care, receiving just the right amount of care they need on a daily basis. 

What is the difference between Supportive Living and Assisted Living?
Assisted Living

This type of care provides residents with transportation services, housekeeping, and three  meals a day. It also offers personal care, such as bathing, one person transfers, and medication management. These residents reside in a residential apartment and live maintenance free. Staff are available on a 24/7 basis, and activities are planned for residents every day. 

Supportive Living

Supportive Living offers similar care, and it is still located in a residential apartment. The care level in private pay Assisted Living can often be taken further than Supportive Living. The main difference is that it is subsidized by the State of Illinois. Once a resident has spent down all of their assets, they have the option to go on Medicaid. These people will not be required to move out of their apartment if they need to utilize this option. 

If you believe your loved one will need Medicaid in the future, Supportive Living is the best option for you. We recommend establishing residency at a Supportive Living Community sooner than later. This should be done before you have spent down your assets, as you will have more  options to choose from. 

For example, if you have $70,000 in assets, you will have a wider range of communities to choose from. If you have $20,000 in assets, you will be eligible for fewer Medicaid Options. If you need help with this process, you can contact Senior Living Experts for more guidance. 

How are staff trained?

It is preferred that those with a Certified Nursing Assistant License are hired, so that it is confirmed they have been through the proper training. Staff who work in Memory Care are specifically trained to work with residents who are experiencing cognitive decline. They need to know how to interact with the anxiety and behaviors that can often occur from someone with memory loss. 

What activities can my loved one get involved in?

The activity directors always have something fun planned for the seniors. These activities range from outings, to lecture series,  movie nights,  Bingo (of course!) Your loved one will always have something to get involved in while they are in the community. 

How will my loved one get to the grocery store?

There are buses that are planned to take residents on a scheduled, weekly basis. The bus can take them to grocery stores, doctors appointments, pharmacies, dollar stores, etc. The bus typically comes to the community two days a week, so residents should consider those dates when planning appointments. 

It is our responsibility to know the answers to these questions and provide you with support when you are moving your loved one into a community. Senior Living Experts is a senior referral service based out of Chicagoland, and we help you or your loved one find a place to live. We are here to guide you through financial issues, finding a perfect location, and making sure your future community will provide the appropriate type of care. We can also connect you with Elder Law Attorneys, Geriatric Care Managers, Real Estate Agents, and more. 

If you feel you may need more clarification about senior living, contact Senior Living Experts at 773-231-7212 or visit www.seniorlivingexperts.com. Our advisors would be happy to answer any questions you may have.

How Long is Your List of Wants?

Who doesn’t want it all?

We’d all like to have it all, but is it likely? No.

I always ask clients to give me a list of their wants. They say things like this…4 bedrooms, 3 bathrooms (one of which needs to be attached to the master), an office space, 2750 sq ft, move in ready with white cabinets, stainless appliances, wide plank wood floors, gray walls, finished basement, backs to open space, new HVAC, new roof, certain school district, faces a certain direction, on an acre, with low taxes, and a low price too!

Whoa!

That sounds amazing to me too!! But is it realistic? Probably not!

Then I ask what is most important… if you could pick your top 3 things that you HAVE to have no matter what, what would they be?

Aside from the number of bedrooms and size of home, the number one thing almost always is location…whether it’s a certain distance from a job, location of kids school, or even being close to family and friends, this is usually at the top.

Price would be number 2. Most of us have a budget we have to stick to and it’s wise to stay within that budget. If you’re not finding what you want, instead of raising the purchase price, consider the option of a cheaper home and renovate. If it checks off the most important boxes, do some updating with the extra cash to meet the rest of your wants and needs.

Lastly, my pick would be the actual lot, how large it is and if it backs to open space. This might come at a premium, but to some it’s totally worth it.

Structure and location typically cannot be changed. They both play a big role when it comes to resale as well. Remember, you can always change the interior, update appliances, roof and HVAC.

If the house checks your top 3 boxes maybe it really is a contender. It’s like dating…no one is perfect. If you are always looking to check off every box on a long list, you’ll come up short every time. Be open to the possibilities and don’t set your expectations so high that you never find “the one.”

Buyers Remorse?

You found the house of your dreams. You made an offer and the sellers accepted. The next morning you woke up and realized it’s not “the one.”

It happens…. and it’s OKAY!

 It happens maybe more frequently then you realize, especially now.

In this current market when there are so few homes available for purchase, people are sometimes desperate to find a house that fits their needs and be the lucky ones to actually get their offer accepted. In having to make some quick decisions most likely due to a bidding war, you got caught up in the moment and really thought “it” was the one. But it ended up it wasn’t…so now what?

Is it that easy to cancel the deal?

Yes…

As long as you are still in the attorney review period it’s quite easy. It is just a matter of signing off on a cancelation form. If you have already given earnest money, that will be returned to you too. If you’ve already done your home inspection/radon test, you’ll be out that money, but better to be out a few hundred dollars then to be stuck with a home that you didn’t want.

You should NEVER buy a house you’re not 100% sure on, no matter what!

I repeat NEVER!

Our jobs as Realtors is to find you a house that best fits you. If you have second thoughts, it’s not “the one. ”Cancel the current deal, move on, and find the right one you get excited about. The one that you can picture yourself in. The one that you’re counting down the days till the big moving day. That’s how you should be feeling!

If you’re thinking about moving and wanting to find that perfect fit, I’d be happy to help find your best fit!

Out With The Old & In With The New

My dishwasher went out TWICE…within a few months of each other.

Hand washing dishes gets old real fast, especially when you have a house full of people and not a lot of extra time on your hands. My time is valuable (all of ours is) and washing dishes is not how I want to spend it.

So I decided to bite the bullet and buy a new dishwasher.

My trusted appliance repair guy had mentioned a few brands to lean towards with my purchase, Kitchen Aid being one of them. Clients of mine had spoken highly of their Kitchen Aid appliances, and when they bought their new home that they gutted, they replaced them with new Kitchen Aid appliances also.

They are definitely more expensive, so I was hoping that in this case I was “getting what I paid for.” Plus I did get stainless so that adds to the cost. I’ve never had stainless before and now my appliances don’t match, but I don’t care. Based on how long the old dishwasher lasted, I’ll be needing to replace the others soon too.

I ordered through ABT. I love that store. I remember when I was little, looking at their huge salt water fish tank…mesmerized. I’ve always appreciated their great customer service so why not? Plus, with all the out of stock/shipping delays, they had the one I wanted and would arrive within a few short days.

The dishwasher was delivered (my appliance guy installed it) and I ran it and immediately fell in love. It’s so quiet! I love the way the racks are designed too! I find I can load so much more in it than my old dishwasher. The less often I have to run it the better! And let’s talk about the cycle time…its super short! We really rinse the dishes in our house prior to putting them in the dishwasher so the appliance guy said just running the “Express Wash” cycle would suffice. Even better!!

So all in all I absolutely love our new Kitchen Aid Dishwasher! (Model KDFE104HPS1)

What's Your Buying Power?

What is buying power and why is it important, especially now?

Buying power is how strong of an offer you are able to make on a property. It’s the most important it has ever been due to our RECORD LOW inventory.

Let’s take Huntley for example. At the time I’m writing this, there are only 22 existing homes for sale in a population that was right around 27,000 in 2019.  17 of the 22 homes are in 55+ communities leaving 5 available homes for the younger folks. The competition is FIERCE!  Bidding wars are the new normal. You need BUYING POWER!

When you make an offer it’s typically based on contingencies, and there are all sorts of them. In this market, the less you have, the better.

Obviously cash is typically king but it’s not always an option for everyone. If you need to obtain a mortgage, check with you lender as to what will be your best lending option. Also, the more money you have to put down on the mortgage the better. If a seller receives two contracts that are identical, and the only difference is down payment, the buyer putting 20% is more desirable than someone putting down say 5%.

If you don’t have to sell your existing home to purchase the new one, leave it out of the mix. It will make your offer much stronger. Sellers will consider home to close contingencies (your existing home is already under contract) but a house to sell (not even on the market or under contract) is near impossible and most sellers won’t even entertain it.

Another contingency is based on the home inspection. I would never recommend not getting a home inspection to anyone EVER, but could you still do the inspection and offer to purchase as-is, if it’s in good shape? Absolutely!

How flexible are you? The closing date is another thing to look at too. Some sellers need to close ASAP, others need a bit more time. The more flexible you can be the better!

If you’re thinking about buying I’d be more than happy to help with your own unique buying power!

Purge Prior to the Pack

They say moving is one of the most stressful things things in life to experience….and I’d have to say I agree! Aside from the whole transactional side of things, who looks forward to going through their stuff, packing their belongings into boxes, only to then unpack it all.  Yuck…especially if you have a tendency to keep more than you should.

So how do you go about making it a bit easier on yourself during this stressful event?

Plan ahead!!

There is no time like the present! Now is a great time to start going through your belongings (even if you don’t plan on moving anytime soon) and start purging out what really doesn’t serve you anymore. We all have stuff we don’t need or even use anymore so why are you holding on to it? Let it go! It will be that much less to pack, move, and unpack in the end. Trust me!!

So where do you start? Anywhere really! My suggestion though is to start small, like an entryway closet that might not have a ton of stuff in it. Block out a chunk of time from your day to get it done. Take EVERYTHING out of the space you're going to purge. Every… last… little… thing and put it into one of three piles. Keep, donate, or trash. If you get caught up on an item ask yourself- Do you REALLY use the item anymore? Does it serve a purpose? Or is it just taking up valuable closet real estate?

Keep in mind, if you are selling soon, the more empty a closet is the better. Buyers want to feel like there will be enough storage space for them and if they see a jam packed closet, they might get the impression that you don’t have enough storage space…which in turn means there isn’t enough storage to suit their needs either. 

When selling a house I always believe less is best. Not only will your home show better, but you’ll have that much less to pack, and unpack which = less stress!

If you’re thinking about moving soon and want more personalized advice on purging and getting your home show ready, give me a call and I’d be more then happy to help!

Hello! I'm Becky.

Never in a million years did I ever think I’d be writing a blog, and yet here I am, writing a blog. You might be wondering why I’ve decided to do this…I was wondering it myself as well. My big WHY is because I truly believe knowledge is key. My hope is that you’ll find a little tidbit of information in each post that I write.

So what should you expect?

A little bit of everything!

Topics I’ll cover include the current market in our area, updating and upgrading your current home, as well as moving tips and tricks to upcoming events happening around our local towns. Maybe I’ll even have a guest post or two from one of my valued partners I work with.

And just to give you a heads up, I would be the first to admit my grammar isn’t always perfect…not even close, so consider yourself warned. What I do choose to focus on is my quality of service that I provide to you. I commit myself to every client I work with and give them the best buying/selling experience I possibly can. That is what is most important to me.

While I have lots of ideas to write about regarding the market, as well as the purchase or sale of your existing home, I would LOVE to hear your ideas too. Please feel free to contact me and let me know.

And as always, if you’re thinking of moving or know anyone who is, I’d love to hear from you!!