Five Cities Millennials are Flocking to

Millennials, those who were born in the early 1980s to the early 2000s, is the largest generation of all time. Because the group is so large, they are domination a few major industries – the business industry and real estate. Millenials are also starting families. They are drawn to cities where they will get the most out of their life. There are a number of things that millenials look at when deciding which city to move to – affordability, job growth, diversity, outdoor activities, and overall atmosphere – according to CubeSmart.

The cities we speak about today are in no particular order.

Option number one: Chicago, Illinois

Thousands of millennials live in the Windy City. Chicago is a very accessible and diverse city. If you want to partake in outdoor activities, they are plenty! It is also a pedestrian-friendly city as well. If you want to stay out late and enjoy good wine and food, there are many options for that as well. The cost of rent is pretty affordable as well.

Option number two: Austin, Texas

An amazing music scene, delicious restaurants, and full of outdoor activities, are some of the reasons millenials have fell in love with Austin. Austin is also fairly laid back, so it is not an effort to “fit in” or try to enjoy Austin – it just happens. The cost of rent is also decent as well.

Option number three: Miami, Florida

In case you haven’t noticed yet, outdoor activities is important to millenials. With all of the amazing Miami beaches, outdoor activities are covered! Miami is also know for a fun nightlife with great food.

Option number four: Minneapolis, Minnesota

Although the weather tends to get extremely cold, if you are a Vikings football fan, that cold will not deter you from Minneapolis! Other millennials are happy with Minneapolis because of the job industry. The job industry is booming, especially in health care and technology! The cost of rent is affordable as well.

Option number five: Kansas City, Missouri

Kansas City is very affordable to rent in. The food scene, even fine dining, is steadily getting better and better! The city itself is said to be very aesthetically appealing as well. Job growth is not only steady, but blossoming as well!

Of these five cities, which would you want to put roots down and purchase a home in?

TITLE: Goodbye Cold Weather

If you do not live in Florida, we are sorry that the weather may not be warm there yet. Snow is still in the forecast for Colorado…oh my!

We have some ideas for you as to what we recommend you do to your home in the transition from cold to warm weather…besides spring-cleaning! These are more maintenance related items that we recommend to keep your beautiful home in order and functioning properly.

Start with the roof! Especially if your home is somewhere that it snows, check your roof. If you live in Florida, you probably already check your roof regularly, especially after hurricane-force winds attack your home. You want to make sure you do not have any missing or damaged shingles. Missing or damaged shingles can lead to water leaks.

Another thing that can lead to leaks is a clogged gutter. Make a point to clear out your gutters (especially before the rainy season!) Dirt and debris need to be removed from your gutters.

You should also test and check all smoke and carbon monoxide detectors you have in your home to make sure they are in working order. Most of the time, all you need to do is change out the battery.

It is recommended that you service your air conditioning and heating unit twice a year (especially if you have pets) but make sure you service it before the weather gets too hot. Having an air conditioning unit that does not function properly during the hot summers would not be any fun! Changing or washing your air filter is also important for your system to run efficiently and save you money.

We also recommend that you take a look at all of your windows, doors, and screens. Any cracks should be fixed immediately so your nice cool air does not disappear!

Are there any other items you have on your list of things to do as winter disappears?

Title: Avoiding Common First-Time Home Buyer Mistakes

There are many mistakes first-time homebuyers make. We want to help you avoid any of those potential mistakes.

Many first-time homebuyers forget to budget for closing costs. These costs are normally between 2% and 5% of your loan amount. Closing costs are made up of homeowner’s insurance, home inspections, title searches, etc. Along with shopping around for best cost of the above expenses, you could also negotiate the commission your real estate agent gets and/or ask the seller to pay for a portion of the closing cost.

It is also important to budget for any expenses after you move in. This could include new furniture, new paint, decorations, etc.

When house hunting, make sure you are keeping in mind not only your current needs, but your future needs as well. If you are planning on increasing your family size or having a lot of house guests, you need to make sure they will fit in the house you pick.

If you are in a buyer’s market when you are house hunting, you will have an upper hand. This means that you will likely be able to negotiate with the seller. For example, you may be able to negotiate any major repairs needed, such as changing out the current air conditioning and heating system.

It is important you know the restrictions of a home inspection – especially since you will be paying for it! If you are concerned about mold, it is important to know if that is included in the home inspection or not. If you are able to, attend the inspection and pay attention to what is going on. Ask questions if you have any. Or if you do not feel as though the inspector did a thorough job looking at something in particular, you can ask them to look again.

Since you will be required to purchase homeowners insurance by the lender it is recommended you do your research and compare insurance rates to find the best price and make sure you will be covered adequately. If a policy is less expensive, find out why before you automatically go with that one. It is likely that the reason it is less is because you have less protections and at the event you file a claim, you will have more out-of-pocket expenses. Also, keep in mind (especially if you live in a flood zone) that any damage caused by a flood is not covered by homeowners insurance – flood insurance is an additional expense.

We hope these items to keep in mind helps you to have a positive first-time home buying experience!

Title: Tips for First-Time Homebuyers

Being a first time homeowner can be very daunting, especially once you have found your dream home. First it is all fun and games with house hunting and then comes the reality…can you really afford your dream home? Is your credit good enough? etc. To help eliminate any potential stress, as it pertains to mortgages, we will share some tips with you.

To start off, we recommend that you do not start house hunting until you actually know what your price range is. You need to be realistic about how much you can comfortably spend. There are many home affordability calculator resources available to help you determine how much you can afford to spend.

Once you make the big decision to purchase a home, it is recommended that you halt any new activities that may affect your credit until your home loan closes completely. (This includes opening new credit cards or automobile loans.) Your credit score will help to determine not if you are approved for a mortgage loan, but also what your interest rate will be and potentially even the terms. It is also recommended that you actually check your credit in the beginning of the process. It is important to do this in the event there may be any errors that have brought your credit score down. Or you may have the possibility to improve your credit by paying any debts that are outstanding.

It is also recommended that you compare mortgage rates from a minimum of three lenders. Comparing rates can potentially save you money in the first five years of your loan. Be sure to also get quotes on fees. Also ask the lenders if you are able to purchase discount points. Purchasing discount points means you would prepay interest up front to secure a lower interest rate. Depending on long you plan to stay in your new home and if you have the funds readily available to purchase the points are things to keep in mind if it makes sense to purchase the discount points or not.

Having a preapproval letter can also make buying a home less stressful as well. Based on your incomes and debts, you can get pre-qualified for a mortgage. Getting pre-qualified for a mortgage means you get an estimate of how much a lender would potentially be willing to lend you. Having a preapproval letter will give you an upper hand when compared to other potentially buyers who have not made these step. Home sellers will know how serious you are about purchasing their home.

Our ultimate goal is to ensure you have a very positive experience when purchasing a home! These tips will help ensure your experience is as peaceful as possible.

Title: Importance of a Down Payment

Today we are going to share with you some tips we have as it pertains to mortgage down payments.

You have probably heard this since you were a child, but, save, save, save! It is recommended to start saving for a down payment as soon as possible. You could put any tax refunds or work bonuses in your “down payment” fund. It is common to put down 20% as a down payment, but many lenders will accept much less. There are some first-time home buyer programs available where you can put as little as 3% down! It is recommended to put down as much as your bank account will allow. If you put down less than 20%, you may have higher costs. There are many down payment calculator resources available that can help you figure out what your down payment goal should be.

If you have trouble coming up with a down payment, you have a few options!

-Conventional mortgages. These mortgages conform to standards that are set by government-sponsored entities. These mortgage require as little as 3% down.

-FHA loans. These loans are insured by the Federal Housing Administration and require as low as 3.5% for a down payment.

-VA loans. These loans are guaranteed by the Department of Veterans Affairs. There are cases where a down payment is not required at all.

Some states offer assistance programs for first-time home buyers. Some of these programs assist with your down payment or closing cost or even help you with tax credits or discounted interest rates. Get in touch with your county or municipality to learn about these first-time home buyer programs.

Remember, the higher your down payment, the lower your monthly mortgage payment. A thirty year fixed mortgage will help you obtain the smallest mortgage payment possible.

Title: House Hunting Tips

House hunting can be a tricky game, especially if it is your first time. We will share some tips we have learned over the years.

To start, it is very important to make sure you hire the right real estate agent. You will be working very closely with them so it is imperative you hire someone who you get along with, feel comfortable with, and feel as though you can trust. The real estate agent you hire should be well qualified and knowledgeable about the area you wish to buy in. You will not jive with everyone, so remember, it is okay to say no to a real estate agent you do not get along well with.

Make sure you are looking at purchasing the right type of house. You may automatically assume you have to purchase a single-family home. Purchasing a single-family home is a great idea if you want (or need) a lot of room or a yard. If you do not see yourself needing too much space, keep the options open to condominiums or townhouses. There is less you need to maintain with a condominium or a townhouse, but be aware of what the homeowners association fee is.

It is important you chose a home in a neighborhood you feel comfortable in. Some things to keep in mind as it pertains to a neighborhood are:

-Schools. Even if you do not have kids (or do not plan on ever having any,) it is important to know if there are any nearby as it will affect home value.

-Safety and crime statistics.

-Nearby amenities such as: hospital, pharmacy, grocery store, gym, church, etc.

We recommend you drive through or take a walk in a potential neighborhood you would like to live in.  Do this on different days and different times to get a feel for traffic, noise, and activity levels.

Pay attention to all details when you go to open houses. Ask questions at the open house as well! Go there with a list so you will not forget anything. Some questions to ask are: how old is the air conditioning and heating system? When was the home built? Has the house been damaged by a hurricane?

It is important you stick to what you can afford! Even though you were approved for X amount, does not mean you have to purchase a home at that amount. It is recommended to look at properties that cost less than what you were approved for. This means if there are any unforeseen costs in your life, you will be able to afford your home. House hunting below your preapproval amount also allows you to negotiate the price a bit.

If you keep these tips in mind when house hunting, it should be a fairly comfortable process.