A consistent, high-performing realtor
Picture this: you’ve just decided as a family to start looking for a new home. Out of curiosity, you start scrolling through house-hunting sites. You find the perfect home. It has a big yard, was recently updated, it’s in your preferred school district, and it’s got plenty of room to grow. You fall in love with this house and are practically packing your belongings when the lender says you can’t afford the home. You’re defeated and heartbroken at losing your dream home.
This situation could have been avoided by running your numbers before starting your search. All too often buyers are excited to start touring houses and don’t fully understand all the expenses that go into purchasing a home.
A good rule to follow is the 28/36 rule. The short version of this rule is that housing should account for up to a maximum of about 28% of your gross monthly income. Housing costs include: the mortgage payment, property taxes, homeowner’s insurance, and any repairs the home may need. The “26” in the 28/36 rule suggests that all of your combined debt should not exceed 36% of your monthly gross income.
For example, if your household income is $65,000 annually, less than $1,517 each month should be earmarked for all your housing expenses. Meanwhile, your entire debt obligation, including your housing expenses, car payments, student loans, child care, and other recurring debts should not exceed $1,950 per month.
These numbers can be a very sobering guide, but should be followed closely as lenders will use similar, but more complicated, criteria to help them make a lending decision.
Here is a link to our handy calculator for said "run the numbers"!
CalculatorSearching for a home is tricky. On one hand, you want to make sure that the home will suit your family’s needs for years to come. On the other hand, if you’re too particular, you may be missing out on homes that might be a great fit, but just need a couple of minor changes to make them perfect.
For that reason, it’s important for each purchasing member of the home to make two lists: a list of “Must Haves” and a list of “Want to Haves”. When done correctly, your list of “Must Haves” should be much shorter than your list of “Want to Haves”. Keep in mind, also, some things can be changed after purchase, while others cannot. For example, you may be able to add a fourth bedroom to a home, but you’ll never be able to add a basement to a home that does not have one.
It’s also important for each purchasing member to make their list privately and honestly. You may be surprised to learn that something that’s very important to your partner didn’t make your list, or vice versa. After each of you has made your lists, it’s important to compare and combine to come to one unified list of “Must Haves” and one list of “Want to Haves”.
Use these two lists should be used as your search criteria. If you aren’t finding enough homes that meet your needs, you may want to move some of your “Musts” to the “Want” list. Conversely, if you find that you’re touring a lot of houses that don’t make the cut, maybe you need to add a “Must”.
The homebuying process is something that most people should not do alone. That’s why it’s important to partner with the best professionals in various stages of the homebuying process.
Treat this like an interview process and don’t settle for the first person that you find! Interview multiple lenders, home inspectors, and yes, even Realtors® to find the best fit for you. Compare the loan packages that a lender has to offer, and the amount of knowledge a real estate agent possesses before you sign anything with them.
Shernette Blair is a real estate professional, dedicated to helping you find the perfect home and help you navigate the whole purchasing process. She would love the opportunity to interview for the role as your personal Realtor®.
There are two important aspects of your home that you’ll need to consider before you list it for sale: improvements and staging.
The majority of buyers are looking for “move in ready” homes. That means that they don’t want to have to wait for repairs to move in, or to move in and then have to make repairs or renovations while living in the home.
Walk through your house, room by room, and make a list of things that might need to be repaired or renovated to make the house more appealing to buyers. For each item you list, ask yourself, “will I get a higher purchase price if I make this change?” If the answer is yes, weigh the cost of the repair/reno against the amount you may get in return. A fresh coat of paint or new flooring may be worth the investment.
Next, be sure to stage your home. This is more than just picking up clutter that may have accumulated and making the beds. Make sure that personal items and religious iconography, and so on are out of sight. When buyers walk through a home, it’s much easier for them to imagine living in the home if your family photos aren’t on display to remind them that this is someone else’s home right now.
Similarly to wanting a “move in ready” home, most buyers prefer to at least have the option to move into their new purchase sooner rather than later. Whether the buyer’s lease is ending or they’re just excited about their purchase, they’ll likely want to move in as soon as possible.
To ensure this is possible, consider all the following factors prior to listing your home for sale:
If there are major barriers to moving quickly, be sure to address them prior to listing your home.
The two things that most home sellers want are one,the most money for their home; two, the least amount of complications in the selling process.
Shernette Blair has years of experience selling homes in and around the Harrisburg Area and a proven track record for getting the most money for her sellers and mitigating potential complications before they arise.
Partnering with Shernette is your best option to get the best terms and best price for your current home. She’s also happy to help you find the perfect next home!
