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David Morris Group - The Reality of Real Estate_ Market Update - Best Reno Real Estate Broker - Best Reno Realtor - Reno Homes - Reno Real Estate

The Reality of Real Estate: An Inside Look at the Costs of a Home Mortgage

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David Morris Group - The Reality of Real Estate_ An Inside Look at the Costs of a Home Mortgage - Best Reno Real Estate Broker - Best Reno Realtor - Reno Homes - Reno Real Estate

There’s no substitute for talking with an experienced lender to give you all of the important details about your home mortgage and the rates they can give you, but that doesn’t mean we can’t give you the inside scoop on the costs and general factors associated with a home mortgage. Check out some of the important contributions you’ll have to understand and contend with as a homeowner.

 

  • Principal – The amount of money you borrowed to finance your home. If you’re looking to purchase a $300,000 home and made a $60,000 down payment, your principal would be $240,000.
  • Interest – The fee that lenders charge in exchange for the loans they give to homeowners. Mortgage interest rates fluctuate wildly and also depend on your debt-to-income ratio. The better your credit, the better you will look like a sound financial investment to lenders, and the better your interest rates.
  • Property tax – The taxes your local government levies on your property in order to pay for community amenities like snow plowing, street sweeping, funding public schools and fire departments, etc. Many lenders will have you build an escrow account that saves money for the property tax payment by charging a little extra for your mortgage payment each month and setting aside those extra funds into a separate account. When it’s time to pay your property taxes, your lender will take care of it from the funds you’ve set aside. Property taxes are a percentage of your home’s value.

There may be other costs associated with your home mortgage that your lender will outline for you. Before choosing a lender, be sure to ask questions about if they set aside an escrow account to help you pay for your property taxes and home insurance, along with the interest rates you qualify for.

 

Remember that you not only want the best deal, but a lender that communicates with you and is ready and willing to answer any and all questions and concerns you have as they arise. Who you partner with can have a meaningful impact on how you feel about purchasing and owning a home.

 

As a first-time homebuyer, it’s crucial to understand the responsibility and costs associated with owning your own home. The David Morris Group is always happy to show you the ins and outs of owning a home and help you make the transition from renter to homeowner seamlessly. Give us a call at 775-828-3292.

 

 

 

David Morris Group - The Reality of Real Estate - Defining “Pride of Ownership” and How it Plays Into Maintaining Your Home - Best Reno Real Estate Broker - Best Reno Realtor - Reno Homes

The Reality of Real Estate: Defining “Pride of Ownership” and How it Plays Into Maintaining Your Home

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David Morris Group - The Reality of Real Estate - Defining “Pride of Ownership” and How it Plays Into Maintaining Your Home - Best Reno Real Estate Broker - Best Reno Realtor - Reno Homes

If you’ve casually perused home search sites or been on home tours, you’ve likely heard or seen the phrase “pride of ownership.” That sounds like a nice phrase, but a quick Google search shows that some people have a negative connotation associated with it.

 

As a reliable real estate team who has seen our fair share of homes and homeowners over the years, we use “pride of ownership” to mean that a homeowner has taken great care in maintaining their home. We use it to show that this property stands out to us over some of the others in the area.

 

What do we look for in a home to label it a property that has “pride of ownership”?

  • Transformed spaces that are eyesores into useful and beautiful spaces – Think of this as a finished basement, attic, shed, garage, etc. They can often be dark spaces that are used for extra storage, but they are rarely places you want to spend your time. If a homeowner has gone above and beyond to turn it into a functional space for their family, you know that they’ve made the home a personal oasis and took extra care of it.
  • Unique features that set the home apart from others in the neighborhood – If a home is a custom build home or has things like unique light switches, remote-controlled fireplace, top of the line security system, etc., it shows that the homeowner wanted the home to show their personality and be functional to their lifestyle.
  • Appliances have been replaced – If the homeowner has recently replaced the roof, fence, A/C, it shows that they wanted to keep the home in great condition for themselves and the next owner. If the owner has also replaced things like the refrigerator, sinks, etc., it shows that the owner wanted the home to reflect their personal style or be more in line with what’s popular in today’s home designs.

 

If you’re a first-time homebuyer, you may just see that there are pretty finishes or lots of square footage, but looking past that can give you a better idea of how the home has been maintained over the years. It also gives you a better idea of the responsibilities you’ll have as the owner.

 

If the home has a beautiful garden, a finished basement, and a “she shed,” you’ll have more to maintain. You’ll have to make sure the garden isn’t taken over by critters who like to feast on plants, the basement remains sealed from elements so it doesn’t make your home more costly to heat and cool, and ensure the shed is cleaned and used as often as your home to keep it from turning it into a spider shed!

 

As a first-time homebuyer, it’s crucial to see a home clearly and understand the commitment and responsibility associated with owning your own home. The David Morris Group is always happy to show you the ins and outs of owning a home and help you make the transition from renter to homeowner seamlessly. Give us a call at 775-828-3292.