Katherine Howell/ Charles Rutenberg Real Estate

11/10/2022

When you have decided that you're ready to start your home search I would recommend having a pre-approval in hand. The reason being is that:

1. When putting an offer in on a home we send the pre-approval along with the offer to show the seller that you are a ready and willing buyer. Depending on how long it takes for you to get your documents in to the lender and receive a pre-approval, may cost you the time it takes to win that offer.

Your first step will be choosing a lender, they will help you choose the best program suitable for your financial spending. The lender will then provide you with a loan estimate breakdown of costs, and if you are satisfied you will be issued a pre-approval stating the loan type and amount available for your purchase.

Once you put an offer in on a property and it is accepted, the lender will then order appraisal, this will provide the bank knowledge of the home's value and condition.
Keep in mind that if an appraisal comes back lower than the purchase price, the buyer/seller will either have to re-negotiate the sales price, buyer will bring extra cash over the appraisal amount to closing, or the buyer can walk away if the seller decides they don't want to lower the price.

Once the offer is accepted at the agreed terms and appraisal is completed, the lender will lock in the interest rate and proceed getting all documents to underwriting for approval. The lender will then issue a clear to close unless more documents are needed on your part.

11/09/2022

What to expect from your lender when purchasing a home:

- Two most recent paycheck stubs.
- Last two years W-2's, if self employed, complete tax returns.
- Last three months bank statements.
- Statements for any 401K, mutual funds, stocks, bonds, etc.
- Name and phone number of Homeowner's Insurance Agent.
- If purchasing- purchase agreement.
- If refinancing- mortgage statement.

Before purchasing a home you may want to consider creating a budget, having an emergency fund started, funds aside for repairs, etc. This way you will have something to fall back on and have a sense of security when moving forward.
Once you establish your loan, considering all of your financials have been submitted and downpayment resources have been secured, your loan will go through underwriting.
Underwriting will look at checking accounts, your credit report, and other accounts. I always let buyers know that making big purchases, large deposits and money transfers will raise questions and may delay closing.
It is crucial that you wait to purchase furniture, appliances, vehicles, etc. until after your closing date. If you need to make large deposits or switch funds between your accounts I highly suggest reaching out to your loan officer and making them aware of what you are doing and why, this way they will be able to guide you in making the right decisions and prevent a delay in closing.

11/09/2022

This move in ready home contains many upgrades and a full basement. Enjoy your alone time in your backyard that is surrounded by a new privacy fence, not to mention a 2 car garage and driveway that allow for ample parking. Let's Connect!

House photos, infographics, and listing agent details for 813 Oneida Street, Joliet, IL, 60435. This home is priced at $200000, with 2 beds, 2 baths, and 928 sqft.

08/26/2022

Just Listed!! Let's Connect 🏡

Listing Site: Property Site: https://tour.corelistingmachine.com/home/6FV4VY/2273-Weatherford-Lane-Naperville-IL-11614075This beautifully maintained home loc...

08/06/2022

And the best time to start shopping for a home is...🥁🥁🥁

Most mortgage preapprovals are good for up to 90 days, sometimes longer. Keep in mind that if you get your credit scores run too soon and your preapproval expires, you will have to get them run again to get the preapproval updated. The issue with this is that your credit score will drop each time the lender pulls credit. On a good note, if you have excellent credit to begin with, you will be able to afford to take a small hit. I would definitely start the preapproval process 4 months prior to starting your home search, this way if you need to get your documents in you have ample time to do that.
Also, if you know your scores aren't that high and you need to get some things paid off to increase your score, you can always reach out to your lender before he runs your credit and they will guide you to where you need to be. 🏡😊
Happy home searching!
Let's Connect!

08/04/2022

What is a closing credit?

Well, before the real estate market boomed significantly, buyers were able to ask sellers for a credit at closing.
A credit at closing is when you ask the seller for 3%, 3.5%, etc. back towards your downpayment, whichever your loan officer approves of. An example of this is:
If you were to purchase a home for $200,000.00 and you decided to put 3% down, which is $6000.00, you could try to negotiate a closing credit of 3% to cover your closing costs leaving you with minimal to pay out at closing. Long were the days right? As sellers were most likely to take the highest and best offers without any contingencies.
Not so much anymore! As the market starts to shift and interest rates fluctuate, we are seeing sellers grant closing credits to buyers!
Having both a phenomenal Realtor and loan officer are the keys you need to get your keys to your dream home.

Let's Connect!

Katherine Howell
872.228.9290

08/03/2022

Depending on your score, rates are down to approximately 5.5% for a 30-year fixed conventional loan. In some areas I see that more homes are available and are on the market on an average between 30 to 60 days before going under contract, as opposed to the 2 to 4 days market time these past 2 years. What does this mean for buyers and how much of an affect do current rates vs past rates have on a monthly mortgage payment? Let me break it down:

Purchase Price- $300,000.00
Loan Term- 30 years
Interest Rate- 5.5%
Down Payment- 3%
Taxes- $5400.00 per year
Homeowner's Insurance- $1100.00 per year
PMI- $137.50 (this can be eliminated with 20% down, or in the future with 20% equity invested in the home)
Estimated Monthly Payment- $2312.42

With the above terms but with an interest rate of 3% your monthly payment would have been $1906.03, a difference of $406.39.
With the market shift abroad, hopefully we will start seeing more buyers getting the opportunity to ask the seller for closing costs.

Let's connect! especially if you are looking to sell a property, get feedback on what homes are selling for, what's on the market, or under contract in your area.

Katherine Howell
872.228.9290

08/02/2022

08/02/2022

As the market starts to level off in some areas and interest rates linger around 5.8%, we can expect more sellers to start listing their homes and buyers getting an opportunity to secure a property.
The best way to find out if your desired area is leveling off or if homes are still facing bidding wars, is to connect with me. No obligation to you just helpful information.
Let's Connect!

Katherine Howell
872.228.9290

05/09/2022

This is no lie! And there's nothing like having your spiral notebook and pen hanging from a chain on your belt loop...you have to be proactive right?!? 🤷‍♀️🏡🤜🤛