Did you know that there are renovation loans available out there? This type of loan can help you renovate your home – whether you currently own the home or will be purchasing a home that will need some renovations. The opportunities are endless! It includes all kinds of common repairs and remodels! This includes: doors, windows, patios, patio additions, room additions, plumbing, HVAC, electrical, landscaping, fences, driveways, roofs, gutters, etc. There are so many options.

If you are thinking of renovating your current home or thinking of purchasing a home that needs remodeling, we would be happy to help you go over your options. As always, there are many and we would love to not only education, but work with you.

There are a couple of common renovation loans. The first is a FHA 203(k) loan. This type of loan will help you purchase not only the mortgage on the home, but also repairs. The home would need to be your primary residence. The Standard FHA 203(k) loan will help with any repairs with a minimum cost of $5,000. The Streamline FHA 203(k) will help finance not only minor repairs, but also renovations in the amount of up to $35,000. The FNMA HomeStyle loan is more flexible with the stipulations. This type of loan helps you purchase and renovate any type of home (primary residence, secondary residence, or even investment property) with a minimum down payment of 5%. The lending limit will vary.

As you can see, there are many options available. You do not have to worry about finding the absolute perfect home with these many remodel loan options out there!

It is officially storm season! This has been a crazy season already and it is expected to continue being a crazy one. As a new homeowner or newly moving to an area that is affected by hurricanes, we want to make sure you are prepared and ready for any size storm that is coming your way.

To begin, we would suggest that you actually do some outdoor maintenance. What we mean by this is to clear any dead trees or plants on the outside. When you remove these items, make sure you dispose of them properly so they do not find them somewhere crazy if there is high wind. If you have gutters, make sure they are not only completely cleaned but also that the spouts are facing the proper way so they drain properly. Also check to make sure all parts of your fence and outdoor shed is secured tightly. Right before an expected storm comes, if there are any items that might blow away in high winds, either secure them tightly or take them inside.

If you do not have any type of emergency kit at your ready, get one stocked and ready! This will save you a lot of stress at the event you lose electricity for a period of time. It is recommended that you have enough food and water for every person in your household for a minimum of three days. You should also include a first aid kit, flashlight, candles, matches, radio, and batteries in your emergency kit. It would also be a good idea to have books and board games available if you have any kids in your household. Actually, it would be a good idea to have that for adults too! If you plan on evacuating for any reason, make sure that people know where you plan to go at the event you cannot make calls or text anyone.

If you have any other tips for a new homeowner or someone living in a likely hurricane affected area, please be sure to share it with us!

Budgeting can be an art! It is very important, especially if you are saving for something big, like a new home! Due to the importance, we wanted to make sure you are familiar with the process. Last week, we helped walk you through the first part of creating a budget – writing all of your assets, debts, incomes, and expenses down.

Now that you have that, you need to track what you spend. You should do this for a minimum of one month before you develop your budget. By doing this, you will be able to create a budget that reflects your lifestyle if you are able to. You can also track it for a few months and then take the average. If you typically use one credit card for payments, most credit card websites have this feature within their website. That will make it even easier for you!

Next up is deciding what type of budget plan you want to work with. How aggressive do you want to be with saving funds? One of the most common plans is the 50/30/20 Budget Plan. This plan incorporates 50% of your net income going on what you absolutely need and cannot live without. This includes: your house, food, utilities, car, medical, insurance. After that, 30% of your income goes toward things that you want (but can live without.) This includes entertainment, new clothes, eating at restaurants, etc.  The 20% portion of this is very important if you are saving for something big, like a new home. 20% of your income goes toward reducing your debt if you have any or saving your money.

This is just one example of a budget plan. There are many other options out there. We can briefly go over them with you if it is something that would interest you.

The best part of budgeting is that it is a process that evolves with your lifestyle and your finances. If you find a particular plan not working for you, change it the next month. If you want a budget to save for a new home, we would be happy to talk to you about what type of mortgage you might qualify for and how much of a down payment you might need. This will help you with figuring out your budget.

It is never too late to work on a budget! This is especially true if you are wanting to purchase a home as a current homeowner or a first time homeowner. Establishing a budget does not have to be completely strict and restricted. Having a budget will help you know how much money your household has and where it goes. If coming up with a budget is new to you, it does not have to be a burden or be a scary process. We will help break it down for you. If you have any other tips when it comes to establishing a budget, please share it with us. Just like you, we are always learning and evolving!

To begin the process of establishing a budget, you need to write down all of your finances. This includes all funds you have all over – in your checking, savings, retirement, etc. accounts. Be sure to count for any savings bonds you might have as well! Next, write down all of the debt you have. This debt includes your mortgage loan, your car loan, any credit card balances, any outstanding student loans, etc. Now is time to write down income from all parties in your household. This includes any side jobs or incremental revenue you may have coming in that you do not think about right away. This next part might be the most stressful as next up is writing down your monthly expenses for everyone in the household. This includes fixed and variable expenses. A fixed expense is an amount that stays the same every month. A variable expense is one that changes monthly, such as utilities, gas, groceries, etc.

In an effort to not overwhelm you, we know that was a lot of work, we will carry this back up next week!

Whether you are decorating your home for pleasure to pass the time, to beautify it since you just moved in (congratulations!) or getting ready to sell it, decorating can be overwhelming! You do have the option of hiring a staging company if you are getting ready to sell your home. If you do not want to do that in an effort to save some money, we will give you some decorating ideas.

You probably already have done it, but if you have not, be sure to look on the world wide web for ideas! There are a multitude of websites full of decorating ideas! There are also many people you can follow on social media who shares decorating tips often. Also, grab a decorating magazine if you have not already. Seeing decorations in action will help greatly.

Making areas cozy tends to bring comfort and peace to others. Having blankets on couches and coffee tables can help make things feel cozy. The blankets can be stylish and add a pop of color to the room.

Adding additional lighting is always a good idea and an easy way to decorate. When things are bright, it makes it seem like there is more space to enjoy! You can do this easily by adding stylish lamps and string lights around. Adding this additional lighting is especially important during the winter when it gets dark outside so early.

Whatever you decide to do, make sure you have some fun too! While we know it can be stressful and tedious, it can also be fun and give you a feeling of accomplishment! If there is a certain holiday coming up or a birthday, you can even decorate to celebrate. Let your creativity flow. There is no wrong way to decorate.

We have talked about credit scores many times in the past. Credit scores are important in today’s society – for more reasons than just your mortgage rate. It also plays a role in what you get approved for and how much money you need to put down. While it is true that the higher your credit score is, the easier it is for you to qualify. It does, however, not necessarily mean that if you have a low score, you will not get qualified. It may be a little more difficult and your mortgage rate might be higher in comparison.

We would recommend you find out what your credit score is in the months leading up to applying for a mortgage. This is helpful in case you need to work on improving your score – you will have time to do so before you apply.

A quick rundown of how credit scores are usually evaluated:

720 and above: excellent

690-719: good

630-689: fair

629 and below: poor

If you are looking to improve your credit score, we would recommend you make all payments on time. This includes your rent payment, credit card payments, and any other loan payments you might have.

Be sure to thoroughly go over your credit report! This is important. Mistakes can be made. If there is a mistake on your report, figure out how to fix it.

If you are in the poor or fair range, you might want to think about working with a credit counselor or loan officer. They will give you one on one support in order to improve your score.

Keep in mind that if you are unable to improve your credit score before applying for a mortgage, there is still hope for you. There are some specific loans that will work for you – do not lose hope.

With Generation Z (those born from the middle or later part of the 1990s and the early 2010s) coming of age and ready to buy a home for the first time, we want to help you feel safe, secure, and stress-free when it comes to being a first time homeowner! The whole process may seem overwhelming but it does not need to be! It also does not have to be a huge financial burden, either. We will help break it down for you so it seems simpler.

To start with, most people get very worried about their down payment. From multiple studies, the majority of people are not well informed with that amount of money they need for a down payment. The majority of people have grossly exaggerated the amount. The actual down payment median for a first time homeowner is approximately 7% of the total loan. So for a $150,000 mortgage, that would be $10,500. While that might seem like a “scary” amount, if you start saving now, you will see it is not an absurd amount of money. Take the saving process in baby steps. This stems from a 20% down myth that most people think is the solid truth. Because of this, most people (especially those in Generation Z) put off buying their first home until they have 20% down. While this will help them in the long run, it is not something that needs to be done. First time homeowners are usually blessed with low down payment options. This is something they should take advantage of.

Buying a home for the first time is a rather achievable and realistic goal for those in Generation Z. Those in this generation also have a strong economy and job market on their side. (The current unknown situation at hand is exactly that – unknown. We are unsure of how long it will last and want to show you being a first time homeowner at a young age is possible!)

Technology is a crazy thing! It is constantly evolving and changing. If you are wanting to “get with the time” and make your current or new home into a smart home, we have many ideas for you! From personal experience and speaking with others who have a smart home (or even half of a smart home), it can greatly improve your quality of life. With spending so much time at home – and nowadays, even more time – a safe home can help save time, energy, and even money!

The first step would be adding an Amazon Echo or Google Home to your home. There are many functions you can control through these devices! These functions include, but are not limited to: controlling the temperature in your home, changing music being played, turning lights on and off, and even adding notes or reminders to a list. Talk about convenience! In order to have the lights turn on and off, you do have to add certain smart light bulbs to your home. You can even get different color light bulbs as well – or get an option where the bulbs can change colors.

Adding a smart thermostat to your home is another feature that can add value to your home. This is also something that would be helpful if you have a rental home or are leaving for an extended period of time. You can even figure out how to have different temperatures in different areas of your home. Before you arrive home, you can adjust the temperature to your preference.

A smart doorbell can add safety and security to your home as well. If someone is at your front door, your doorbell will alert you that someone is there. Most smart doorbells have a camera associated with it so you will have that added safety measure as well.

Another added safety feature is adding a smart smoke and carbon monoxide detector. If any smoke or carbon monoxide is detected, you will be made aware and you will be able to keep safe.

As you can see, having a smart home can not only be considered to be fun but also add a shield of safety!

Whether you are new to owning your home or not, adding pet(s) to your home can be a trying time when they are furry. This is compounded if it is your first furry friend! Baby animals can be very curious and unexpectedly get into some trouble and accidentally cause damage.

Sometimes it is best to pretend your new furry friend is a child. Seriously, it makes things easier and sometimes much safer! If there is a certain area you do not want your furbaby to go, make sure it is restricted by a gate  or latches. Also be sure all important wires and cords are hidden and protected. That is something that can be not only dangerous but also an expensive fix! Some people also do not think of which plants are safe for furbabies and which are not. There are some plants that are highly toxic to pets. If you have any of those, be sure they are in a safe place.

If your new furbaby is hyper and has outbursts of running and jumping on furniture or appliances, be sure these items are secure! We would hate for something to be damaged simply from a crazy and fun playtime!

Some people do not think about checking every single are where there is an outdoor fence. Just because a fence is up, does not mean it is fully secure. It is your job to check and make sure that it is! It is also imperative that the yard is properly maintained so you can easily see if any snakes or other creatures happen to find their way in your yard. They can obviously cause danger to your pets.

Some of these tips are common sense but with the excitement of bringing a furbaby into your household, these things might not be thought about. If you fall into this category, though, congratulations! What a fun time you have ahead.

With many people wanting to make sure their income is coming from different sources, some people are looking into vacation homes as an investment and future income. While some people are using these vacation homes as a form of investment, others are simply using it for pure vacation or for something to look forward to after retirement. No matter what you are looking into it for, this is an important decision and large purchase! There are a few things to keep in mind when making this decision.

To being with, while this might be incredibly obvious, can you afford a vacation home? If you purchase this home, are you still saving enough money for retirement and other unforeseen emergencies or costs that may occur? (After all, life in 2020 has gone very different than most people could have even imagined.) Have you also looked at your other long-term financial goals and outstanding debts as a whole, as well? If your debt-to-income ratio is high, you may want to rethink purchasing a vacation home.

While you might like vacationing in a certain area, have you really looked into what it’s like to live there full time? And if you decided to ever rent this home out for financial reasons at a later point in time, have you looked into the rental scene? You might not be planning on renting it out now, but you never know what the future holds! Also, if you have not looked into local taxes and other local ordinances, we suggest you do that as well. If you do not like either of those two things, we suggest you think of a different area to purchase a vacation home in.

If it is the height of tourist season where this home is, we suggest you wait to purchase the home at a different time. This is for a few different reasons. First off, not as many homes will likely be available at this time due to the current owners wanting to make as much money as they can during busy season. If any repairs need to be done on the home, you will have plenty of time to do it in the slow season.

Whatever you plan to do, we want you to make sure you look into every avenue of it. Especially – what is the real reason you are wanting to purchase a vacation home?