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Black Knight Adds Guided Close Functionality to eClose Platform

Black Knight said it has delivered new capabilities in the company’s Expedite Close digital closing solution to more easily facilitate fully digital real esta

Source: themortgageleader.com

‘I Lost My Job—and My Dream House’: How This First-Time Home Buyer Bounced Back

houseKaterina Rieckel

Imagine finding your dream home, then, a week before closing the deal, losing your job—and the house. House hunting during the coronavirus pandemic is no picnic.

COVID-19 has caused seismic changes not only to real estate markets, but also to the lives of home buyers hit with layoffs, furloughs, and other financial challenges. Just ask Katerina Rieckel, a digital strategist, knitwear designer, and first-time home buyer who, with her husband, was set to close on a glorious farmhouse in upstate New York in March.

But about a week before sealing the deal, Rieckel was laid off, which meant that she and her husband, a claims adjuster, could no longer afford the place.

As a part of our new series, “First-Time Home Buyer Confessions,” we asked Rieckel to share her story, and the hard-won lessons she wants to share with other first-timers.

Let her experiences show that even unemployment doesn’t need to spell the end of a house hunt—although it may require you to dust yourself off after a loss and try, try again.

home
Katerina Rieckel’s farmhouse in upstate New York

Katerina Rieckel

Location: Troy, NY
House specs: 1,544 square feet, 3 bedrooms, 2 bathrooms
List price: $249,900
Price paid: $245,500

2020 has been a wild one. How did you end up buying a home in the middle of a pandemic?

We started looking for a house a year ago, about halfway through the summer. At the time, both my husband and I had recently got new jobs, so the first issue we ran into was getting pre-qualified for the mortgage without a long track record at those companies. We also both felt pressure, as our jobs were very new.

What were you looking for in a house, and what was your budget?

We were looking for a house in the country that was move-in ready, private with at least 5 acres. We started off with a small budget, max $200,000, which made our choices more narrow.

Our search continued well into the winter, and around January 2020, we finally saw a house that was all we ever dreamed of and more. It was over our budget, at $229,000, but it had been listed for over a year, so we felt there was a good chance we could get it for less than the asking price.

What did you love about this house?

It was a beautiful, slate-blue farmhouse sitting on top of a hill, surrounded by woods. The house was warm and inviting, with chickens running around, as well as a big diving pool, and a workshop in the basement connected with a two-car garage. We got along with the owners really well, and we were going to keep the chickens. Everything went very smoothly, until just over a week before closing.

house
Rieckel and her husband almost bought this house, but it wasn’t in the cards.

Global MLS

So what went wrong?

It was March, and COVID-19 hit hard. The digital marketing agency I worked for had clients pause their work for unknown time. I was laid off, which meant we couldn’t afford the house anymore, and had to back out of the deal.

I was crushed. We didn’t know what was going to happen, and the country was under a lockdown. We had plans for my parents to come visit us in our new house, but instead, I ended up with no job, no house, and I couldn’t see my family, since they live in Europe.

In the summer, I was very fortunate to get my job back. So we resumed our house hunt and began to search for a new contender.

When you started the search again, how had COVID-19 changed the market?

The housing market in upstate New York got totally crazy. I heard there were houses being sold within hours. The market was just incredibly competitive, and not many houses were being listed, as a lot of people didn’t want to let strangers in their house during the pandemic.

We saw about seven to 10 houses in person, but they usually ended up disappointing us, with some strange arrangements. For example, one house had around 25 acres, but half of that acreage was on the other side of the road, behind other people’s houses, which made it almost impossible to use.

home
The couple’s pet cat has settled into their new digs, too.

Katerina Rieckel

With such a competitive market, how did you end up finding the right house?

Finally, around halfway through the summer, I saw a house listed that I hadn’t noticed before. I called on it right away and set up a showing that evening.

The real estate agent told me we were really fast, as he had just relisted this house. Someone had been buying it, but backed out of the process because of personal reasons.

porch
Their house has tons of privacy and a great view.

Katarina Rieckel

How did you know this house was the one?

The house had over 10 acres, it was in the country, and about 35 minutes to Troy. It was move-in ready, but definitely needed upgrades, as it looked like it got stuck in the ’80s.

Even though we didn’t like the style that much, we felt instantly comfortable and decided to put in an offer that same evening. It was partly due to the pressure of the market, but in the end, we are really happy we made this decision.

house
This house was totally 1980s, but Rieckel has been slowly updating it.

Katerina Rieckel

What surprised you most about the home-buying process?

Nothing prepares you for the amount of aggravation you have to go through. Buying a house is like getting a second job for about three months.

living room
After a little work, Rieckel’s home looks lovely.

Katerina Rieckel

What’s your advice for aspiring first-time home buyers?

Don’t trust the photos! The photos got me a few times. For example, a lot of times, the photos of the house are taken so that you can’t see the neighboring houses.

You think, “Wow, that looks so private!” Then you drive there, and you realize there’s a house sitting right next to it. Since privacy was very important to us, we got disappointed a few times by this. We started doing drive-bys first, before going in with a real estate agent, whenever possible.

Christmas decorations
Rieckel moved in in time to enjoy her new home for the holidays.

Katerina Rieckel

Anything else home buyers should look out for?

Call the real estate agent and ask a lot of questions before you even go see the house, like what the property and school taxes are—very important around here.

You also want to know what kind of heating the house has, as electric bills can really add up over the winter.

The driveway can also be a huge issue, which is why I think the first house we were buying was for sale for such a long time. It had a pretty steep driveway, which was definitely an all-wheel drive kind of thing in the winter.

We also changed who we were financing with while we were going through closing. We needed someone well-informed about the economy, who knew what they were doing and was ready to act fast.

Our first mortgage broker didn’t tell us as soon as interest rates started to go up—and basically sat on the information for a while. This is when we stopped trusting this person and went to work with a bank instead.

Maybe the best advice is not to fall in love with a house too quickly, since there can be so many setbacks that you will not see coming.

Katerina Rieckel
It took a little longer than expected, but this family is finally happy in their new home.

Katerina Rieckel

The post ‘I Lost My Job—and My Dream House’: How This First-Time Home Buyer Bounced Back appeared first on Real Estate News & Insights | realtor.com®.

Source: realtor.com

Homie’s Utah Housing Market Update November 2020

Utah’s real estate market has been hot nearly the whole year. How did it perform in November? Homie has your update!

Data from Utah MLS from November 1, 2020 to November 30, 2020.

Monthly Sales

According to data from the Utah MLS, Utah had 4,335 sales from November 1, 2020 to November 30, 2020. Of those sales, 75.6% were single-family homes, while 24.4% were multi-family residences.

The sales this month are slightly lower than the 5,602 sales in October of this year, but it’s a +18% increase from November 2019, which is an even larger percentage increase than the year-over-year comparison we saw in October. This means the market is following the usual end-of-year slowdown, but the market is still quite strong compared to a year ago.

Data retrieved from Utah Real Estate .

Sale Price

Even though monthly sales saw the usual end-of-year slow-down, sale prices continued to rise. At $379K, Utah’s median sale price rose +2.4% from October of this year and 16.8% from November 2019.

Monthly Sale Price Graph

Data retrieved from Utah Real Estate .

List Price (Per Square Foot)

List prices in Utah rose during November along with sales prices. November’s median list price per square foot was $175.92, which is up from the previous months’ median of $170.25 per square foot.

November List Price Per Sq. Foot

Data retrieved from Utah Real Estate .

Days on Market (DOM)

Homes in Utah continue to sell quickly. The Average Cumulative Days on Market (DOM) during November was 9. This is a 72% decrease from November of last year. Prospective Utah homeowners will need to act quickly to get the homes they’re interested in.

Average Days on Market Graph

Data retrieved from Utah Real Estate .

Number of Homes Listed With Homie

A total of 182 homies listed their homes with Homie during the month of November. This number is up from 154 during the same time period last year.

182 homes listed with homie

Data retrieved from Utah Real Estate .

Turn to a Homie

Homie’s local real estate agents can help you navigate Utah’s hot housing market and find your ideal home. Work with a Homie to get an amazing deal whether you’re buying or selling. Click the links to get in touch with your dedicated agent.

The post Homie’s Utah Housing Market Update November 2020 appeared first on Homie Blog.

Source: homie.com

HelloOffice Gets a New Name: Raise Commercial Real Estate

HelloOffice, a tech-based commercial real estate brokerage, is now greeting clients under a new name: Raise Commercial Real Estate. So reports GlobeSt.com. T

Source: themortgageleader.com

Closing on a House Checklist: 6 Things Home Buyers Must Do Before They Move In

When you’re a first-time home buyer approaching the finish line in the journey to your new home, you want nothing to go wrong, right?

That’s why we’ve put together a home closing checklist, which outlines your action points in those few days leading up to settlement. Keep this closing process list handy to know you’ve done what you need to in order to close the deal.

1. Get all contingencies squared away

Most purchase agreements have contingencies—things that buyers must do before the real estate transaction is official, explains Jimmy Branham, a Coral Springs, FL, real estate agent at the Keyes Company. These are the most common contingencies that are part of your new home closing process:

  • Home inspection contingency: This gives buyers the right to have the home professionally inspected. If something is wrong, you can request that it be fixed—or you can back out of the sale. It’s rarely advisable to waive an inspection contingency. Although the average home inspection costs $300 to $500, it’s a drop in the bucket considering the costly home issues you might uncover, says Claude McGavic, executive director of the National Association of Home Inspectors.
  • Appraisal contingency: With this contingency, a third party hired by your mortgage lender evaluates the fair market value of the home. If the appraised value is less than the sale price, the contingency enables you to back out of the deal without forfeiting your earnest money deposit, says Bishoi Nageh, president of the Petra Cephas Team at Mortgage Network Solutions, in Somerset, NJ.
  • Financing contingency: This contingency gives you the right to back out of the deal if your mortgage approval falls through. You have a specified time period, as stated in the sales contract, during which you have to obtain a loan that will cover the mortgage.

2. Clear the title

When you buy a home, you “take title” to the property and establish legal ownership—a process that’s confirmed by local public land records. As part of the closing process, your mortgage lender will require a title search, and you’ll need to purchase title insurance to protect you from legal claims to the house.

Sometimes distant relatives—or an ex-spouse—may surface with a claim that they actually own the home, and that the seller had no right to sell it to you in the first place. But clearing title will ensure this doesn’t happen, says Marc Israel, president and chief counsel of MiT National Land Services, a title company in New York City.

As the home buyer of this piece of real estate, you’re entitled to choose the title company. You can get recommendations from your real estate agent, mortgage lender, and friends—just be sure to check out the license and reputation of each company online.

3. Get final mortgage approval

You’ve made that down payment, but before you can go to the closing table, your home loan must go through the underwriting process. Underwriters are like real estate detectives—it’s their job to make sure you’ve represented yourself and your finances truthfully, and that you haven’t made any false or misleading claims on your loan application.

The underwriter—employed by your mortgage company—will check your credit score, review your home appraisal, and ensure that your financial portfolio has remained the same since you were pre-approved for the loan.

Since underwriting typically happens shortly before closing, you don’t want to do anything while you’re in contract that’s going to hurt your credit score. That includes making a down payment on a car, boat, or similar large purchase that has to be financed.

4. Review your closing disclosure

If you’re getting a loan, one of the best ways to prepare is to thoroughly review your closing disclosure, also known as a HUD-1 settlement statement.

This official document outlines your exact mortgage payments, the loan’s terms (e.g., the interest rate and duration), and additional fees you’ll pay, called closing costs (which account for anywhere from 2% to 7% of your home’s price).

You’ll want to compare your closing disclosure to the loan estimate your lender gave you at the outset. If you spot any discrepancies, ask your lender to explain them.

5. Do a final walk-through

Most sales contracts allow buyers to do a walk-through of the home within 24 hours before closing. During this stage, you’re making sure the previous owner has vacated (unless you’ve allowed a rent-back arrangement in which they can stick around for a period of time before moving).

You’re also double-checking that the home is in the condition agreed upon in the contract. If your home inspection revealed problems that the sellers had agreed to fix, you’ll want to make sure those repairs were made.

6. Bring the necessary documentation to closing

Make sure you have the following items when you head to the closing table:

  • Proof of homeowners insurance
  • A copy of your contract with the seller
  • Your home inspection reports
  • Any paperwork the bank required to approve your loan
  • A government-issued photo ID (Note to newlyweds who just changed their name: The ID needs to match the name that will appear on the property’s title and mortgage.)

Plan to sign a ton of paperwork. An attorney or settlement agent will guide you through the process. When you’re done, you’ll collect the keys, and you’re finally home free!

The post Closing on a House Checklist: 6 Things Home Buyers Must Do Before They Move In appeared first on Real Estate News & Insights | realtor.com®.

Source: realtor.com