Lisa Young Mason OH Real Estate Blog

Lower Your FHA Mortgage Payment

Lisa E. Young — Thu, 12 May 2011 19:12:28 +0000

Most FHA loans have monthly mortgage insurance required that must stay in force until the unpaid balance is reduced to 78% of the original sales price. It would take about 10.5 to 12.7 years of normal amortization for loans with rates of 5% to 7% to reach that level.

As an example, a $175,000 home with a 5% mortgage for 30 years would have monthly mortgage premium of $163.46. This is eliminated when the unpaid balance reaches $136,500 which is 78% of $175,000. It can do that with normal amortization which would take about 10.7 years.

A faster way to reach that target balance would be to pre-pay the mortgage by making regular additional principal contributions or single lump sums. In the example used above, if a person made an additional $100 principal contribution with each payment, the 78% level would be reached in 7 years 8 months compared to the 10.55 with normal amortization.

If a person would increase their principal contribution by a little less that $300 a month, the need for the MIP would be eliminated at the end of five years which is the minimum amount of time it must stay in place for most FHA loans.

The benefits of making additional principal contributions will be to build equity faster, lower overall interest that you’ll pay and shorten the time that you’ll be required to pay the costly mortgage insurance. It will be necessary for the borrower to notify FHA when the target date has been reached if accelerating the amortization.

If you’re interested in developing a strategy to shorten the time your MIP is required on your loan, I can provide this type of analysis for you at no charge or obligation.

Buying a House in Mason Ohio? How to Get the Best Mortgage Rates in the New Economy

Lisa E. Young — Mon, 28 Mar 2011 18:23:58 +0000

All home buyers want the lowest mortgage rate possible when applying for a home loan, because it directly translates to a smaller payment each month. And who doesn’t want to shrink their monthly expenses?

But how does one obtain a low rate on a mortgage loan and, for that matter, why is it important in the first place? These are the subjects we will discuss in this tutorial for first-time home buyers.

How Your Credit Score Relates

When you apply for a home loan, you be sure that the lender will request your credit reports and scores from all three of the reporting companies (Experian, Equifax and TransUnion). Lenders also reserve the best rates for borrowers who fall into a certain credit category.

What score you need to qualify for this category will vary from one lender to another, but it’s safe to say that the better (higher) your credit score, the lower the mortgage rate you’ll receive. This in turn translates into a lower payment each month, which is the whole point to all of this.

Here’s something not many home buyers realize. Over the last few years, the score needed to qualify for the best rates on a loan has risen. This is largely due to tougher restrictions on lending institutions (as a result of the subprime loan crisis of 2007 – 2008).

In fact, I saw Jean Chatzky (financial editor for the Today Show) on TV not long ago, talking about this very subject. She said that in May of 2008, borrowers needed a score of at least 620 to qualify for the best rates. By May 2008, however, that requirement had increased to 760 … an increase of 140 points! Today, in 2010, those higher standards are still in effect.

How You Can Improve Your Score

This is a good time to introduce you to another acronym related to home loans, a term you’ve probably heard before on television. The acronym if FICO (pronounced fie-coh). It stands for Fair Isaac Corporation. This is the company that created the scoring model that is used today. Basically, it’s a computerized scoring model that turns your financial history into a numerical score between 300 and 850 (with higher being better).

So with all things being equal, a higher FICO number means that you’ll be offered a better rate on your loan. That’s because a higher number tells lenders you know how to manage your finances, and that you’re responsible when it comes to paying bills.

You can maintain a good score by paying all of your bills on time. This includes credit card balances, car payments, rent, utilities, etc. It also helps to reduce your overall debt, starting with those credit cards. These are the keys to being a successful home buyer in the new economy.

Author’s Note: The original version of this article was written by Brandon Cornett. Brandon is a consumer advocate and publisher of the Home Buying Institute. Visit the author’s website at www.HomeBuyingInstitute.com to learn more.

Citation Note: The original version of this article was written by Brandon Cornett. Brandon is a consumer advocate and publisher of the Home Buying Institute. You can visit the home buyer’s Research Center to learn more about this subject.

–>Citation Note: The original version of this article was written by Brandon Cornett. Brandon is the publisher of the Home Buying Institute, which includes one of the largest libraries of credit advice for home buyers.

Selling and Singin’ in the Rain in Mason

Lisa E. Young — Thu, 17 Mar 2011 20:07:41 +0000

Click here to view the embedded video.

Not all of us are like Gene Kelly in ‘Singin’ in the Rain’. We don’t all like jumping up and down on lamp posts and doing little twirls and “singin’ “at the top of our lungs while the rain is pouring down on us. Even when we are in love most of us would rather not tap dance and sing in the rain the praises of our beloved.

But now that’s exactly what it feels like when you’re selling your house. Aren’t you jumping up and down twisting and turning singin’ and shoutin’ the praises of that beautiful home you’re trying to sell and all you’re getting is rained on?

I highly doubt that even Gene really wanted to get soaking wet. But Gene Kelly makes it look like there’s nothing more glorious than “singin’ in the rain”. He even said that he was “smilin’ again”.

But think about it. Didn’t we look at this guy singing and dancing in the rain and didn’t we believe that he’s right? There is nothing more glorious than just that. Didn’t we even smile and start humming along with him. Didn’t we feel good watching him?

That’s what selling a house is all about. We need to set the stage so that others will hum along.

So, everyone told you to buy a house in Mason. You bought a house in Mason. You love living in Mason. You love the great shopping in Mason. You love the awesome rec. center in Mason. Life in Mason is Faaaantastic!. So why is your awesome Mason home not sold????

Presently there are over 384 homes for sale in the Mason school district.

We have to make people ‘hum’ about yours!

I just listed and sold a house in less than 24 hours. It is not the first time I have done this. I even had some people waiting to purchase if the first people did not. Now that’s humming!!!

It all starts with attitude. Yes, I said attitude! No one likes keeping the house clean. It really is an inconvenience to have people walk through your home when they want to. Or better yet set an appointment, you leave only to find out that they never came or they are late. I could go on…but you get it. So the attitude has to be positive.

Next step is presentation. There is a long, loooooong list of items to do when making sure a house is presentable. But every house is unique unto itself.

Ask a couple of friends to come and look at your house as if they were going to buy it. What would they say?

What would you say about your home if you were a critical buyer? Come on, be honest.

And most importantly your agent should be able to correctly stage your house.

You do have to listen and execute though.

Next is competition. Who else is selling? How much are they asking? How does yours compete with the other houses on the market? Either they are going to sell your house or you are going to sell theirs.

And of course let’s not forget cute. Yes , I said cute. Cute sells! Pottery Barn Adorable Cute. Get rid of that humungous take up all the room comfortable old chair that you just love. Box up all those shoes you don’t know where to put. Make it cute !cute! cute!

Take out any and all emotion. Your hard earned money and memory filled home is now just 4 walls, a house. And since you’re trying to sell it, it is a commodity. It will become someone else’s home.

Make your house stand out far above the rest. Make everyone hum! hum !hum! Then like good ‘ol Gene you too will think it’s a glorious feeling to be singin’ in the rain.

How Important Is 20 Minutes In Cincinnati Ohio?

Lisa E. Young — Tue, 08 Mar 2011 18:52:37 +0000

Let me see. I relocated to Cincinnati way back in 1989. Everything was only 20 minutes away. No matter where you lived at that time anywhere you wanted to be was 20 minutes away. I thought they were kidding me, but it was true. I put it to the test: Kenwood Mall, yep 20 minutes away. Tri-County Mall, 20 minutes. Downtown- 20 minutes. Eastgate had the only Biggs at the time so we all packed into the van, kids, dog… made an outing out of it but yea it was 20 minutes away. Not to mention King’s Island, we all bought the season family pass and yes it was no more than 20 minutes away. Then again no one lived north of the 275 beltway. Calumet Farms and Harper’s Point at Kemper and Montgomery, that was just about pushing it. NO ONE lived further north or east. But boy oh boy , in less than 5-6 years later from 1989 this was the new place to be; MASON.

On June 1, 1803, Revolutionary War veteran William Mason paid $1,700 at auction to purchase 640 acres of land in what is now downtown Mason. Mason remained a small farming community for over 125 years. In 1970, a year before the town was incorporated to become a city, there were fewer than 5,700 residents.

Today there is over 30,000 residents and still growing. It was the fastest-growing and most populous city in the county.

Mason is… the largest city in Warren County, which is near the southwest corner of Ohio and north of 275. Warren County is “Ohio’s Largest Playground” and Mason is the anchor. Come to Mason and stay for the fun! Regional attractions include The Beach Waterpark, the Golf Center at Kings Island, Great Wolf Lodge and Conference Center, Kings Island amusement park, and the annual Western & Southern Open. And let’s not forget all the restaurants and shopping that has cropped up in Mason.

There are over 387 homes for sale in the Mason school district.

With over 824 homes either sold in the last year or under contract and about to close.

Who said Real Estate is not doing very well?????

According to CNN Money the City of Mason is one of the top 100 places to live in the United States.

It is served by two main interstates, I-71 and I-75.

Mason City Schools have been ranked among the top in Ohio’s school systems. Mason is rated one of the top school districts in the state, with a perfect rating of 30 out of 30 indicators on the Ohio Report Card for the past eight years.

And oh yes there are famous people too from Mason. Actor George Clooney, who attended Mason’s Western Row Elementary School as well as St. Susanna Catholic School as a youth; Dan Patrick (Mason class of 1974), national radio host, NBC Sports host, Sports Illustrated columnist, and former ESPN anchor; Major League Baseball Hall-of-Famer Tom Seaver; and World Golf Hall of Fame member Nancy Lopez. Mason is also ranked number three in the nation in The National Call Of Duty Association.

Interestingly enough even with all this newer developement going on eveything is still only 20 minutes away. The only thing that’s changed is now there is more variety.