Mortgages going up and down like yo-yos…

On the latest CNN news clip today, mortgage rates for fixed 30 year loans just fell for the first time since February.  According to the reports, due to the rate slashes from the Feds in the past week, rates for a 30 year fixed loan is at 5.87%, a drop from 6.13% a week ago. This is, of course, good news for those who are currently in the market to purchase a home or to refinance a home.  These rates are not expected to stay low, so depending on the financial market, if you can, take advantage of these rates while you can. 

Give me your first born with this rental…

I recently was working to help someone who wanted simply to rent a home for the present time. It was a funny experience working with some of these landlords and their agents. On one home, the landlord had a laundry list of items he wanted from the prospective tenant before he would consider the rental application. On another, the landlord approved the application, and then right before the tenants were to move into the unit, the landlord had a change of heart and decided that the tenants needed to put more security deposit down than they had previously discussed.

I was amazed that landlords can set such crazy rules, and yet they can, because they own the home.  However, if a tenant is jumping through all these circus hoops just to have the right to rent the home, then it would make more sense to prepare themselves to purchase instead.  Then you have the right to make your own rules.

Mum’s the word, I will make things as difficult for you as possible…

I work hard to find the best match of homes for the clients I work with, and sometimes, that can be a harder task than you would think. Take for instance, today, I spoke with an agent who was representing a landlord/owner.  Since the home we was looking at was located in a newer development, it is not mapped yet, so my client was having a tough time finding the location of the home. I called up the agent and asked for instructions on how to get to the home.

You would have thought this agent was working against the landlord/owner and did not want anyone to find the home.  The agent replied that he did not know the location of the home either and he wanted us to try and figure it out for ourselves where the house was located at. He was holding out on the information and did not want to share anything about the home.

Rather than use up any more precious time talking with this agent, I just got off the call as quickly as possible.  I did some deeper research and finally found the directions to get to this rather hidden location and I forwarded it on to the client. 

“And you pay how much for your rental unit?!”

I was shocked when some clients told me the amount they pay to rent a rental unit. The place was just 2 bedrooms and the rent was about $1800.  With that amount, they would be much better off buying a house and paying a mortgage.  At least the mortgage will pay them back tax dollars at the end of the year, whereas rent money just disappears.

With all that we hear on the news of individuals and families facing foreclosure, it makes many individuals a little nervous about taking action.  However, while the media is playing up the disaster and tell us the sky is falling, there are some intelligent folks out there taking this opportunity to dump their rental unit and purchase a home while the prices are low and very negotiable and the interest rates are still quite decent. 

Imagine, you’re driving into a garage, this garage is special because…

…you actually own the house that is attached to the garage. You look around your garage and see your familiar items.  Getting out of your car, you walk into your living room–a living room with the walls painted the color of your choice and furniture that you have recently purchased.  You feel a warm smile come across your face as you think to yourself, “I’m a homeowner and it feels incredible!”

It’s true.  Nothing beats owning your own home.  I would compare the sensation to be similar to the difference between staying at a hotel and staying in your own home.  Even when I stay at a very clean and nice hotel, I just never feel as comfortable and clean as I do in my own home.  It’s the same way when you live in a home, but you rent it instead of owning it.  Once you experience both, you know that homeownership is a wonderful thing. Something to think about the next time you drive home…