Home-Buying Fees Myths You Should Know about before Entering the Real Estate Market  Copy

Home-Buying Fees Myths You Should Know about before Entering the Real Estate Market Copy

Before you even think about buying a home for sale in Northville, Michigan, why not have a look at your financials. Most people believe that the mortgage loan they will apply for will cover all the costs but there are few fees that you will have to pay out of your own pocket. For this reason, you need to have enough savings, so that you can cover the service charges and the real estate agent’s fees.

We like to call these extra costs as fee myths, which buyers think are not real. So, what is the first payment that you need to have on hand to make an offer?

The down payment!

Here’s some good news: you don’t have to pay a 20% down payment when buying a home for sale in Northville, Michigan. Most lenders ask for a 3.5% down payment that is if you have a clean credit card statement. If your credit score is below 600, then be prepared to pay a minimum of 10% down payment.

Following are the fees explained briefly in order:

1.     Appraisal Fee

The appraisal fee is the assurance which the lender needs before giving you the loan. It’s insurance against the proof that the loan amount you are asking for matches the house’s value. This fee costs somewhere between from $200 to $425.

2.     Home Inspection Fee

The most important thing to keep in mind is that never let go of a home inspection in return for an incentive. The few dollars you will be saving now will cost you thousands in the future. From assessing leaks and molds to plumbing problems, the HVAC system, roof and gutter, everything comes under this. Do not send an offer until you have the home inspection report in your hand. This fee costs somewhere between from $300 to $500.

3.     Application Fee

The application fee is the fee the real estate agent needs to run your credentials for the credit report. It also involves a few other fees, which is why it is important to ask your real estate agent for a final cost and its breakdown. This fee costs somewhere between from $75 to $300.

4.     Lender’s Origination Fee

The amount charged on the loan is known as the lender’s organization fees. It includes charges for underwriting the loan, funding the loan and loan application. This fee is usually 1.5% of the loan.

5.     Titles Services

A title search allows you to make sure that the home for sale in Northville, Michigan you are looking to purchase is not owned by someone else. Through this process, you can make sure that you are not being scammed. This fee costs somewhere between from $150 to $400.

6.     Survey Costs

Want to know about the house’s major features and dimensions then you need to pay fees that’s somewhere between $150 to $400.

7.     Tax Service Fee

Taxation fee cost is $50 and is paid to make sure that the tax payment documents are in order.

8.     Private Mortgage Insurance

Buyers, who are lucky enough to pay a 3.5% down payment, are subject to pay private mortgage insurance, which can be from 0.3% to 1.5% of the loan. This is an assurity that if you fail to pay back the loan and your house forecloses, the lender will be safe.

So, there you go… home-buying fees that up until now you considered a myth. Before placing an offer on the home for sale in Northville, Michigan, visit Homes2MoveYou. Get in touch with me 248-790-5594 and get the house appraised from experts.

 

Home-Buying Fees Myths You Should Know about before Entering the Real Estate Market

Home-Buying Fees Myths You Should Know about before Entering the Real Estate Market

Before you even think about buying a home for sale in Northville, Michigan, why not have a look at your financials. Most people believe that the mortgage loan they will apply for will cover all the costs but there are few fees that you will have to pay out of your own pocket. For this reason, you need to have enough savings, so that you can cover the service charges and the real estate agent’s fees.

We like to call these extra costs as fee myths, which buyers think are not real. So, what is the first payment that you need to have on hand to make an offer?

The down payment!

Here’s some good news: you don’t have to pay a 20% down payment when buying a home for sale in Northville, Michigan. Most lenders ask for a 3.5% down payment that is if you have a clean credit card statement. If your credit score is below 600, then be prepared to pay a minimum of 10% down payment.

Following are the fees explained briefly in order:

1.     Appraisal Fee

The appraisal fee is the assurance which the lender needs before giving you the loan. It’s insurance against the proof that the loan amount you are asking for matches the house’s value. This fee costs somewhere between from $200 to $425.

2.     Home Inspection Fee

The most important thing to keep in mind is that never let go of a home inspection in return for an incentive. The few dollars you will be saving now will cost you thousands in the future. From assessing leaks and molds to plumbing problems, the HVAC system, roof and gutter, everything comes under this. Do not send an offer until you have the home inspection report in your hand. This fee costs somewhere between from $300 to $500.

3.     Application Fee

The application fee is the fee the real estate agent needs to run your credentials for the credit report. It also involves a few other fees, which is why it is important to ask your real estate agent for a final cost and its breakdown. This fee costs somewhere between from $75 to $300.

4.     Lender’s Origination Fee

The amount charged on the loan is known as the lender’s organization fees. It includes charges for underwriting the loan, funding the loan and loan application. This fee is usually 1.5% of the loan.

5.     Titles Services

A title search allows you to make sure that the home for sale in Northville, Michigan you are looking to purchase is not owned by someone else. Through this process, you can make sure that you are not being scammed. This fee costs somewhere between from $150 to $400.

6.     Survey Costs

Want to know about the house’s major features and dimensions then you need to pay fees that’s somewhere between $150 to $400.

7.     Tax Service Fee

Taxation fee cost is $50 and is paid to make sure that the tax payment documents are in order.

8.     Private Mortgage Insurance

Buyers, who are lucky enough to pay a 3.5% down payment, are subject to pay private mortgage insurance, which can be from 0.3% to 1.5% of the loan. This is an assurity that if you fail to pay back the loan and your house forecloses, the lender will be safe.

So, there you go… home-buying fees that up until now you considered a myth. Before placing an offer on the home for sale in Northville, Michigan, visit Homes2MoveYou. Get in touch with me 248-790-5594 and get the house appraised from experts.

 

Northville House Design Idea Summed Up

Northville House Design Idea Summed Up

There’s news in the world of house design—for a change! Those who keep in touch with the house design innovations that Northville buyers are currently favoring know one thing is for certain: they don’t change overnight. True innovations are rare.

Fads occasionally come and go (remember “industrial décor” and barn door sliders?)—but by definition, fads don’t wind up making much of a dent in how most Northville homes are house designbuilt or remodeled. That’s a good thing: overexuberant style-chasing can be expensive to correct once a clever style has come and gone.

I bring this up because it looks as if there are a couple of interconnected house design ideas that look like they might be durable—and if so, Northville home buyers and sellers will want to be aware of them.

Northville House Design Change is Really a Marketing Insight

First is a house design feature that’s gradually been working its way up in popularity: the ground floor master bedroom. Last week, The Wall Street Journal ran an article that pointed to the demographics that make this a house design winner. They call it “main-floor master bedroom”—but whatever you call it, the logic is irrefutable. As the number of America’s seniors grows, the practicality of easy access grows with it, gradually shifting from convenience to necessity.

The associated and more consequential design news is summed up in one word: flex. A flex room or area is one that has no designated purpose, but which can be configured and later re-configured to accommodate changing needs and lifestyles. Flex rooms are usually sited off the entry hall, near the main living space, generally close to a bathroom (“so they can easily morph into bedrooms”). They have ample electric wiring so they can become home offices or media centers. Or anything else, not yet anticipated.

Flex rooms used to be called “bonus rooms”—but that might be selling the innovative element short. To me, the term “bonus room” has always seemed like a luxury afterthought; a non-necessity. “Flex room” sounds active and dynamic—and valuable. In fact, the essence of the idea may be more of a marketing insight than design innovation. Whichever it is, it’s something Northville sellers can appreciate for its practicality: potential buyers will tend to project their own needs into the space. As a house planner put it to the Journal, “When you name it ‘dining room,’ buyers will never get that out of their mind.”

In a wider sense, the “flex” idea is a reflection of 21st-century reality. At this point, we all understand that change is the most predictable element of our future. Having built-in flexibility in a home’s design is one way to assure that it stays in style—and also a way to ensure its lasting resale value.

Maximizing that is my specialty—so be sure to keep my number handy!

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