Dreaming of buying your first home? The Georgia Dream Home-ownership Program fulfills home-ownership dreams by providing affordable mortgage financing for eligible home buyers. Are you a first time home buyer? You may be eligible for $15,000 for down-payment, closing costs and prepaid costs to purchase your home. If you are interested in purchasing a home through the Georgia Dream Program, contact me and I will get you started! Iveth Caruso
Providing the most professional, dedicated, informative and loyal service you can find in Real Estate! The term due diligence generally refers to any period of time where an asset for sale is examined. In real estate it usually refers to a period of time where a buyer can examine or otherwise consider a property for which they're under contract - and pull out of the transaction if they find something unsatisfactory or undisclosed. In Georgia, when you enter the due diligence period, in which, the buyer, does all relevant inspections and decide whether or not you would like to proceed with the sale. The seller is bound to the buyer and cannot enter into other contracts for the sale of the home (except as backup)– but the buyer is free to terminate the contract with no penalty and get the earnest money back. During this period the buyer should independently verify any information provided by the current owners with a third party source because many owners, even if well-intended, are unaware of certain factors that may affect your decision. Remember, it is the buyer's responsibility to conduct their own research during this period and to verify all information. During this period, the buyer should schedule the home and termite inspections, order the survey and research information about flood plains, power lines, and zoning. If you are buying a home with an HOA or a condo, make sure that understand the bylaws of the homeowner's or community associations and that you know what the annual or monthly required fees are and what services are included in those fees. Equally important is to inspect the neighborhood, some things to research during the due diligence period include proximity to any places or facilities that you might find troublesome such as a landfill, prison, cemetery, etc. It’s important to research local schools, crime rates. Additionally, you might also want to find out more information about your potential neighbors, including a violent sex offender search at the Georgia Bureau of Investigation website.
Generally speaking, the most common reason that a buyers terminates a contract during due diligence is that the inspection uncovers an issue that the seller is not willing to fix. But remember, the buyer can terminate the contract for any reason and they get the earnest money returned. Don’t be afraid to make an offer in a home, you could be the backup contract but remember, there is a lot of competition in the market right now for homes in the lower price points (especially those purchasing below $150,000) Because simply there are not enough homes listed. So if you want to beat the competition, it’s highly recommended to present your best offer as quickly as possible, with proof of funds or pre-qualification letter and use the due diligence period to fully investigate it and ensure you want to go forward with the purchase of the property. Please do not hesitate to contact me if you have any questions or for a free consultation. Iveth Caruso Providing the most professional, dedicated, informative and loyal service you can find in Real Estate! If you don’t think that your FICO® scores are important, think again. The interest rate you can expect to pay for a loan is dependent on these scores. The difference between a FICO® score of 620 and 760 can often be tens of thousands of dollars over the life of your loan. A low score can cost you money each month or even cause the home you want to be unaffordable. Basically, the higher your FICO® scores the less you can expect to pay for your mortgage loan. Learn to take control of your FICO® score and save money on your mortgage payments. FICO scores range from 300 to 850. If all three FICO scores are viewed on the same day they will typically vary between zero and fifty points. The purpose of the score is to predict the likelihood of 90+ day delinquency over the next 24 months. As of (April 2017) data, the national distribution of FICO credit scores is as follows: The General Formula for FICO Scores FICO Credit Score Tidbits
Payment History When assigning points gained or lost for payment history information, the FICO score looks at four separate components:
Here is how Fair Isaac assigns the severity of a credit problem according to the time it has been on a credit bureau: Percent Negative Impact Most recent 12 months 93% Prior 12 to 24 months 60% Prior 24 to 36 months 44% Prior 36 to 48 months 33% Older than 4 years 22% Source: Credit Scores & Credit Reports, Evan Hendricks, Privacy Times, Inc Capacity is King Almost as important as how you pay your bills is the amount owed on your various accounts (i.e. capacity), The FICO model considers three separate components of your credit when assigning capacity points= 1. Your installment balances compared to the original loan amounts. 2. Your revolving account balance compared to your revolving credit limit on an account-by-account basis; and 3. Your total revolving account balances compared to your total revolving limits. By far, the total revolving limits available (#3 above) carries the most potential points and the potential loss of points. Why does capacity carry so much weight in tie FICO scoring model? Because the FICO model knows that the majority of Americans who go bankrupt charge up their cards to the limits before they file. In order to understand capacity, you must understand the math problem that determines how this large number of points is gained or lost. % Revolving Dollars Available on Total Revolving Accts. Available Total Reported Limits on Revolving Accts. Keys to Capacity Success
Strategies that Will Improve a FICO Score
Checking your credit rating before you talk to a lender when purchasing your home will give you time to correct reporting errors and to prepare your score. I help clients to make informed decisions when pursuing the dream to buy a home. Contact me and we'll get you started! Iveth Caruso Providing the most professional, dedicated, informative and loyal service you can find in Real Estate! Disclaimer: All information provided is deemed reliable, but is not guaranteed and should be independently verified.
Iveth Caruso, your KW REALTOR in the North Atlanta Area
Iveth Caruso, your REALTOR in the North Atlanta Area
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