Greater Lexington Real Estate Podcast David Humes

What's the biggest obstacle to homeownership for prospective buyers? Selling a home? Get a free home value report Buying a home? Search all homes for sale According to a recent survey, not being able to save up enough money for a down payment comes in at the top of the list. 55% of prospective homebuyers cited this as their main stumbling block to achieving homeownership. With the continuing growth of home prices, things aren't getting any easier for them. In fact, homeownership rates reached a 20-year low last November. It might be hard to imagine, but just a decade ago many lenders offered easy, no-money-down mortgages. Anyone with a pulse could qualify for one. However, after the financial crisis, mortgage standards have become more restrictive. A typical mortgage now requires a 20% down payment. If you have decent credit and a steady income, you might also qualify for a number of specialized programs that require little or no down payment. First, there's the USDA loan, which is valid for homes in certain regions, such as rural and suburban areas. With zero money down and lenient credit requirements, the USDA loan can be a great choice.. Second, there’s the VA loan, which you can apply for if you or your spouse served in a branch of the military. It's possibly the most generous zero-money-down mortgage because of low interest rates and low closing costs. Third, there's the FHA loan. It does require a 3.5% down payment, but that is much more achievable than the 20% required for a conventional mortgage. There are also a number of credit unions and first-time homebuyer programs that might apply to your particular situation. There’s one more important thing you should know. If you decide to get one of these no-money-down mortgages, chances are good you will have to pay private mortgage insurance, which can drive up your monthly payments. Private mortgage insurance will disappear after your mortgage balance is under 80%, and the money you do pay will be tax deductible in most cases. As you can see, there are lots of options to make owning a home a reality for you, even if you haven't saved up tens of thousands of dollars. If you need any advice on getting a no-money-down loan, give me a call at (859) 983-7999. I can put you in touch with some experienced lenders who can answer your questions and help get you started. I look forward to hearing from you soon.

Want to sell your Lexington Home? Get a FREE home value report.    Want to buy a Lexington Home? Search all homes for sale. It’s important to use a Realtor when buying or selling a home. Often, sellers think about hiring a professional to get top dollar with the least amount of hassle, while buyers might use an agent to mediate the process. The home search typically begins online. In fact, 92% of buyers use the Internet to start their search. Interestingly enough, 95% of homes sold still use a Realtor or Builder’s agent. There’s a high number of real estate professionals still involved in transactions. Only 2% of buyers purchase directly from a seller.   Although the Internet is a great way to start, buyers will eventually use a Realtor to help with the process. They have the experience to know how to handle a transaction efficiently. If you’re thinking about selling a home, don’t underestimate the role of a real estate professional! As always, give me a call or email with any questions or concerns. I’d be happy to help you!

Want to sell your Lexington Home? Get a FREE home value report.    Want to buy a Lexington Home? Search all homes for sale. The residential housing market has been hot recently. Home sales have bounced back to their second-highest price since February 2007. As we approach the winter, many agents report an increasing amount of multiple offer situations. Listings are sometimes selling above listing price. If your home hasn’t sold yet, take another look at your listing. It could be the price holding buyers back! Increasing a price by 10% can dramatically reduce the amount of interested buyers interacting with your listing.   The bottom line: the market is hot. If your listing isn’t getting showings despite active online activity, sit down with your agent. You could be over by up to 12%. Revisit the price. At Rector Hayden, we use “the price on target” model to determine how much to price your home. Feel free to contact us about a free consultation. If you have any questions, give us a call!  

Want to sell your Lexington Home? Get a FREE home value report.   Want to buy a Lexington Home? Search all homes for sale. Many clients wait to sell their home after the holidays. Honestly, the holidays are a great time to sell. Here are some reasons why. First, inventory is low. Sellers have less competition on the market. The inventory levels now are even lower compared to this time last year! Less competition helps your home stand out. Second, buyers are more serious in the winter. These buyers, asking for showings during the holidays, are highly motivated to buy a home. Some may have been relocated by their employers, and need to be in a new home by January 1st. Next, you have control over the showings. If you need a few days off from showings because of family, it's not a problem. We'll schedule showings to accommodate your schedule. You don't have to skip the celebrations when you sell during the holidays.   In fact, some homes show better during the holidays! These homes look nice and decorated. Your house might look its best this time of year. Take advantage of this opportunity. It's an excellent time to list and show buyers your beautiful home. Finally, listings increase substantially after the holidays. We predict new construction will make a comeback in 2016. If you wait to sell your home until after the holidays, you will face more competition and less demand for your home. Selling your home during the holidays is a fantastic opportunity! You will have less competition, more serious buyers, and you can still celebrate the holidays without the added stress of showings. If you have any questions, give us a call or send us an email. We look forward to hearing from you!

Want to sell your Lexington Home? Get a FREE home value report.   Want to buy a Lexington Home? Search all homes for sale. Today, we want to share a resource with you that will be updated on a monthly basis. It's called the Rector-Hayden Realtors (RHR) Report, and you can find it by following this link: http://rhrreport.com/. Every month, you can check that document to see what market conditions are like in Central Kentucky. The RHR Report is a great place to go if you want a snapshot of the current market. The 10-page document is also a great place to look up market numbers dating as far back as 2008 in order to identify trends. You'll find pending sales, closed sales, the average sales prices by county, the number of listings on the market by price point, current month vs. past month sales, months of inventory, and many other important categories for people interested in what our market is up to.   When looking at the inventory, know that any price range that has over six months of inventory is a buyer's market, and anything less than six months is a market that is favorable for sellers. Again, if you want to take a look at where our market is heading, you can find the report here: http://rhrreport.com/. If you have any questions for us, please don't hesitate to call or email us at any time. We're always here to help!

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