What does the new FICO model mean for Home Buyers?

FICO Model Home Buyers, Bruce Moore, Louisville Realtor

The new FICO scoring model goes into affect this fall and it’s good news for home buyers looking for a mortgage!

According to this article by NYTimes.com:

One big change is that FICO will no longer weigh Medical Debt as importantly as before. So, if your credit is mostly good with a few dings due to unpaid medical bills, your score will likely go up by quite a few points! If the increased score is good enough, it could mean the difference in qualifying for a mortgage or not. It’s also likely that your higher FICO can qualify you for a better interest rate.

FICO Model Home Buyers, Bruce Moore, Louisville Realtor

Why the Change?

“We found that for someone where medical collections is their only derogatory, it is not as negative as a regular unpaid collection would be,” said Anthony Sprauve, a FICO spokesman. “So we adjusted the algorithm.”

Also, many times “medical bills ended up in the hands of collectors because of a billing error or some other confusion about what should have been paid by health insurance.” This unfairly dings your credit score.

What’s the Catch?

Mortgage Lenders tend to drag their feet when it comes to adopting new FICO models. Sometimes it takes years for them to actually apply the new rules.

The Bottom Line?

It’s definitely a step in the right direction.

What do you think about the new rules?

Bruce Moore, Realtor
RE/MAX Connections
Louisville, Kentucky
502-640-6861

ABR – Specialist in working with Home buyers.
E-Pro – Specialist in using the latest Technology to help buyers find and buy their dream home.
IRES – International Real Estate Specialist

(Image courtesy of Stuart Miles / FreeDigitalPhotos.net)

Getting a Mortgage in Today’s Environment

Getting a Mortgage in Today’s Environment
Thank you, Sandy Melton of Century Mortgage Co.

Divorce your rate campaign!  When shopping for a mortgage, you need to know that you will be able to “perform” per the terms and conditions of your contract.  I have been originating for over 30 years, and I have worked with the largest banks in the country, owned my own company, and I must say, I am thrilled to be with Century Mortgage Company, which is the largest originator in this region.  I can say with confidence and experience that Century Mortgage has been the best decision I have made as far as my industry.  Remember, rate is one thing, but the APR (annual percentage rate) is what you are really paying.   If you got this fantastic rate with a huge bank, but you can’t close, what good did this do you.

Mortgages are a good kind of debt, and one of the only that are tax deductable.  Many of you only do this every 5 or 7  years, and remember, what you read on the internet is not gospel.  If so, we would ALL lose 30 lbs in 30 days, guaranteed.  You want to depend on someone that does this every day of their life!

Speaking of divorce, if you are finding yourself in this situation, call me and we can go over the options of refinancing.   Many folks in Kentucky qualify for “first time homebuyers” mortgages that offer down payment assistance, even though you may have just sold a house, or had to quit claim it over to an ex spouse, so don’t panic if you have the  money for a down payment, there are programs designed for your needs….as long as your credit score is over 640 and you have a steady job, you can get into a home.

Credit scores are a tricky, frustrating requirement that lenders require, and typically it must be 620 or greater.  If you or a child are trying to build a credit score, we can guide you in the right direction with the tools to accomplish your needs.  You must have three trade lines that have been active for typically a year.  A trade line is revolving credit such as a VISA card, and an installment loan such as a car loan.  Do not close your revolving credit cards, this will lower your score!

Sandie Melton
Loan Originator
Century Mortgage Company

502-753-4162 (Office)
http://cmcloans.com/smelton

Century Mortgage, Bruce Moore Realtor Louisville

 

 

 

 

Top 10 Mistakes that First Time Home Buyers Make

Mistakes Home Buyers Make, Bruce Moore, Realtor, REMAX
So, you’re ready to buy your very first home! That’s great! It’s exciting and fun and you’re ready to jump right in there and start looking at houses, right? Yes, of course you are and rightfully so! But before you do, take a few moments, read the list of the top 10 mistakes made by first time home buyers and save yourself some problems down the road. Mistakes Home Buyers Make, Bruce Moore, Realtor, REMAX

#10 Celebrating Buying a New House Upon Accepted Contract

Many Home Buyers start to celebrate prematurely thinking the deal is done once you have an accepted contract on a house. This is only the start of the long process between contract and closing. There are quite a few issues that have to be resolved, such as the Home Inspection and the Appraisal.

#9 Thinking That Buying a House is as easy as Buying a Car

Not even close! From the legal issue of Agency Representation to the Financing, Contingencies and just the amount of people involved to make a home purchase work out…. buying a house is far from a simple process!

#8 Trying to Save Time by Calling the Listing Agent

This is such a bad idea but many, if not most, First Time Home Buyers do this. Why shouldn’t you call the Listing Agent of a particular house? Because the Listing Agent is legally bound to represent the best interests of his client, the Home Seller. Where does that leave you, the Home Buyer? Exactly!

#7 Believing that Hiring Your Own Agent Will Cost You Too Much

Not true! In most cases, hiring your own real estate agent won’t cost a dime more. Matter of fact, in general, although there are exceptions, the real estate commissions are paid by the Home Seller, not the Buyer.

#6 Believing that You Can Save Money by Using the Listing Agent

Similar to #7 but also false. The real estate commission is set when the Seller and the Agent sign the Listing Contract. The commission is the same regardless of how many agents are involved.

#5 Trying to Save Money by Buying a Foreclosure

The real estate bubble really put the focus on foreclosures. And, although it sounds like you might get a “steal” buying from the bank, the truth is that banks price their houses the same way regular sellers do but here’s the rub… Banks overprice and they don’t disclose anything about the condition of the house by selling it “As Is”.  Not only that, but the process is terribly slow and the price will eventually end up just where the market value is. Hardly a “Steal”

#4 Buying a House as a Financial Investment

Although it can be, it is impossible to tell how much your home value will increase, so unless you are an actual real estate investor, don’t buy your house as your future nest egg.

#3 Believing that the Newer the House the More it Should Cost

Older houses can be just as good as new construction and sometimes better. It just depends! You’re better off choosing a home based on the neighborhood, rather than focusing on the age of the particular house. Besides, a good home inspector will tell you where the kinks are.

#2 Picking Your Realtor Because They Claim to be a Top Seller

Well, that might be a great agent but do your homework. Does this agent really sell as many houses as they say? If they really are a Top Selling Agent, they are also really busy and perhaps won’t have time to see to your needs. Pick a Realtor based on reviews and from trusted friend and family referrals

#1 Finding Your House on Your Own Online

It’s fun, isn’t it? Looking at all the wonderful houses for sale online! And it’s so much easier than ever before! But hey…. pretty pictures and a sharp presentation are only a small portion of what you need to know and see. Viewing the house in person is the best way to shop for your house. Plus, Your Realtor will do all the work such as scheduling, previewing and finding out the good, the bad and ugly about each house.

Did I scare you off?  No worries! We Realtors are there to take the hassle out of buying your perfect home.
So, call me! I’m here to help.

Bruce Moore, Realtor
RE/MAX First
Louisville, Kentucky
502-640-6861

ABR – Specialist in working with Home buyers.
E-Pro – Specialist in using the latest Technology to help buyers find and buy their dream home.
IRES – International Real Estate Specialist

 

 

(Image courtesy of Supertrooper/ FreeDigitalPhotos.net)

REMAX once again Number One in Louisville!

RE/MAX agents once again have the lions share of the
Louisville real estate market!

Real Estate Market Share 2013 in Louisville Kentucky

 

Ready to find your perfect home in Louisville?  Get the best service with a RE/MAX agent.
Call me…. I can help!

Bruce Moore, Realtor
RE/MAX First
Louisville, Ky
502-640-6861

ABR – Specialist in working with Home buyers.
E-Pro – Specialist in using the latest Technology to help buyers find and buy their dream home.
IRES – International Real Estate Specialist

Top 10 Reasons to Hire a Real Estate Agent

Just ran across this great poster showing exactly why you should hire a Realtor to buy or sell a home.  Credit goes to The KCM Blog.com

Top 10 Reasons to Hire a Real Estate Agent, Bruce Moore, Realtor

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Call me! I can help you find your perfect home!

Bruce Moore, Realtor
RE/MAX First
Louisville, Ky
502-640-6861

ABR – Specialist in working with Home buyers.
E-Pro – Specialist in using the latest Technology to help buyers find and buy their dream home.
IRES – International Real Estate Specialist

True story…

Bruce Moore’s assistant, Annette here.

Years ago we bought a great home in the country. Closed the deal, moved in, all was great. Until about a month later. It’s early November and the temp had dipped enough to turn on the furnace. Heard it kicking on and it just ran and ran but it never actually started blowing. We looked at the furnace – didn’t really know what we were looking at but you know, go kick the tires and see if that helps.

Finally, I hand my husband the flashlight and send him in the yard to check out the propane tank. I see the light bouncing around in the bushes and finally he comes back out and says ‘Where’s the tank? I thought it was over there.’  I go in and look, sure enough, no propane tank.

Turns out that neither Realtor in our transaction had much experience with propane. (No, Bruce was not one of them). Our Realtor thought the gas went with the house, the listing agent assumed it belonged to the Sellers. The Sellers canceled their account with the gas company and there went our tank and our heat.

Moral of the story….. don’t assume anything! And keep electric heaters (and a flashlight) on standby.

Bruce Moore, Realtor
RE/MAX First
Louisville, Ky
502-640-6861

ABR – Specialist in working with Home buyers.
E-Pro – Specialist in using the latest Technology to help buyers find and buy their dream home.
IRES – International Real Estate Specialist

Are you ready to buy a house?

Think you’re ready to buy a house? Are you sure? There are great advantages to home ownership but it’s not right for everyone. Do you know how much house you can afford? What will your monthly payment be?

Real Estate Calculators, Bruce Moore, Realtor

 

Our real estate calculators can help you answer some of these questions. Go check em out!

 

When you are ready to buy your perfect home in Louisville, call me! I can help.

Bruce Moore, Realtor
RE/MAX First
Louisville, Ky
502-640-6861

ABR – Specialist in working with Home buyers.
E-Pro – Specialist in using the latest Technology to help buyers find and buy their dream home.
IRES – International Real Estate Specialist

 

Home buyers willing to pay more than asking price?

Have ya heard?  According to an Inman News article, home buyers are now willing to pay more than the house’s asking price. That’s great news if you’re in the market to buy a house!

What’s more, “1 in 4 buyers would pay seller’s closing costs”.

Sell a home,Louisville Realtor, Bruce Moore

The reason?  People are ready and willing to buy a house but the inventory of available houses is still very low. There simply are not as many homes for sale as there are buyers.

What does this mean for you?  If you’ve been thinking about selling your house, now is the perfect time! The combination of still-low mortgage rates, fewer homes on the market and more buyers out there ready to buy means a faster sale and higher price for you!

Call me to sell your home quickly!
Bruce Moore, Realtor
RE/MAX First
Louisville, Ky
502-640-6861

ABR – Specialist in working with Home buyers.
E-Pro – Specialist in using the latest Technology to help buyers find and buy their dream home.
IRES – International Real Estate Specialist

 

Should you buy a Short Sale Home? Here are some pros & cons to consider

With the flood of real estate foreclosures on the market, many sellers are considering the alternative of a short sale. What is it? In a nutshell, if a home owner owes more on their mortgage than the house is worth, their lender may agree to sell the house for less. In some cases, the remaining balance is forgiven, however, this is not always the case.

Louisville Realtor Bruce Moore, REMAX First

What does this mean to you, the buyer?

The good news is you can usually get a better price. Since the lender is agreeing to accept less money, you, the buyer may be able to get the house at less than market value.

The bad news…. time. Short sales take much longer to close than traditional real estate deals. The seller’s mortgage holder – in most cases a large bank – is involved in the process and has final approval. All that red tape means a lengthy closing time.

The bottom line, if you love the house and have the time, go for it! The extra time spent may translate to money saved. Just make sure you are working with a real estate agent who has experience dealing with complicated short sales.
Bruce Moore, Realtor
RE/MAX First
Louisville, Ky
502-640-6861

ABR – Specialist in working with Home buyers.
E-Pro – Specialist in using the latest Technology to help buyers find and buy their dream home.
IRES – International Real Estate Specialist

REDUCED! Great House for sale in Louisville

New price of only $99,900 on this great home for sale in Louisville’s Germantown neighborhood.

Updates include:

Beautifully refinished hardwood floors
New roof
Basement waterproofing

Home for sale in Louisville - Germantown

Call today for your private showing!

Bruce Moore, Realtor
RE/MAX First
Louisville, Ky
502-640-6861

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