sellers being patient when selling home
Buyers looking to snag a price cut on their next home during this time may have to look elsewhere.

Amidst the current pandemic we are in, seller confidence does not appear to have wavered. In fact, a recent survey by the National Association of REALTORS® found that in nearly 3 of 4, or about 74% of REALTORS® currently working with sellers, clients haven’t reduced listing prices in an effort to “panic sell.” Continue reading

Superhero Mortgage Lender
When it comes to lenders, who’s your superhero? Who is the guy or gal that you may not necessarily use the majority of the time, but is the one you rely on and call when your client needs someone to get the deal closed? That lender who can approve buyers that have less than spectacular credit, just changed jobs, or just got through a divorce, major medical issue, are buying a home in poor condition, etc. The one you turn to when a deal needs saved 30 days in, after the buyer’s original lender suddenly claims that they cannot close the deal. So… think about it… who’s THAT person? Continue reading

moving during quarantine
In the current state of the world, the concept of moving to a new home can be a little more frightening than usual. Outside of the normal packing, labeling, heavy lifting, and transportation, one must also now consider the importance of social distancing, organization, and sterilization in such an endeavor.

For some clients of yours, there may be some skepticism or hesitancy to even want to get a new home and move right now. For others, moving is a necessity – whether due to a new job or a lease running out, and their moving dates are firm. As an agent, reassure them that there are steps that they can take to help ease their minds. Continue reading

Septic Tank Inspections

Key takeaways

  • Agents should be aware if their local health department is still operating and if they are still able to conduct necessary inspections of septic and well systems prior to sales closing.
  • For sales in Ohio where there is a septic system involved, a deal could be held up or killed outright if the inspection does not occur.
  • If a property that you represent cannot obtain a normal inspection prior to closing, you could be putting your client in a dangerous position in the future.

For a few weeks now, different departments inside different county governments have had to close or alter their day-to-day operations.  Most of us realize that departments like the recorder’s office, auditors, or courts have been affected by COVID-19.  How they have done so has not always been consistent with the same type of departments in the surrounding counties.  One county department that many of us in real estate probably haven’t thought much about are the health departments.  Like other offices, we are finding that many health departments are displaying inconsistencies between geographic areas.  How some are now conducting, or not conducting, their day-to-day operations is affecting our industry and real estate agents need to know about this. Continue reading

Government Backed Loans - FHA, VA, USDA

Key takeaways

  • Government-backed loan requirements (FICO credit score, % down, debt to income ratio, cash reserves buyers need on hand, etc.) have not changed
  • Some lenders have changed their requirements on their own due to the current state of the market
  • Amerifirst has not changed its requirements on government-backed loans (FHA, VA, USDA)

Lenders are telling the REALTORS® whom they often work with that the government minimums have changed.  They say something like, “new FHA guidelines require a minimum score of 670 for all FHA loans.  This is NOT true Before we go any further we need to establish one very important fact… to date, the government has not changed any of their minimums, (like FICO credit score, % down, debt to income ratio, cash reserves buyers need on hand, etc.) at any point during recent times.  They remain, todaywhat they were three weeks ago or even three months ago.   Continue reading

mortgage forbearance

The COVID-19 Coronavirus has led to some challenging times for all of us. 

The Government has created the CARE Act, to assist homeowners whose income may have been adversely impacted by the coronavirus. One of the components of the CARE Act is the possibility of mortgage forbearance. 

Forbearance is often misinterpreted. And while it is intended to help, it can have some dangerous repercussions. Many people are mistakenly thinking that forbearance equals forgiveness. It does not. Forgiveness implies that money won’t need paid back.

Forbearance is the lessening of mortgage principal and interest payments over a short period of time. That money is then due in one lump sum after the forbearance period. For example, if you cut your $1,000/mo. mortgage principal and interest payment to $500, you need to pay back $1,500 in a lump sum after a 3-month forbearance.

Think about when you buy something at a furniture store that offers “no payments” for 3 months. You still must pay for the furniture…the payments are just deferred. 

But mortgage forbearance is even worse if the borrower has dug themselves in a deep hole and can’t catch up. Should this happen, the lender will enforce their right to be paid, which may cause the borrower to be foreclosed upon. They could lose all the equity in their home in the process. 

Forbearance is designed to help those as a measure of last resort. It is not a free pass and may have serious consequences.

Here are some other things to consider regarding mortgage forbearance:

Be resourceful. Ask questions. Learn. 

As always, I’m here to help: 

Brandon Davis

NMLS #69028


Down payment and terms shown are for informational purposes only and are not intended as an advertisement or commitment to lend. Please contact us for an exact quote and for more information on fees and terms. Not all borrowers will qualify.