Many people ask about pre-approvals or pre-qualifications and oftentimes, people don’t know if there’s a difference. But you know what? There’s a big difference!For a pre-qualification, we look at your credit, and take a look at some of the basics. While that’s an important first step, it’s nowhere near as powerful as a pre-approval. A pre-approval is where we dive in a little bit deeper and check your income, check your assets, and make sure that you can actually purchase a home.When you go to visit a seller with a pre-approval, you may be able to save thousands of dollars. This is because that seller will now have more confidence in your offer, over someone else’s. Also, you may even be able to negotiate a better price for yourself!This is important in a tight, competitive market. So next time, take a look at getting that pre-approval!And if you have any questions about the homebuying process, reach out any time. I’m happy to help!

Your credit score will help determine your rate when you buy a home, so it’s crucial to check your reports for any errors that could impact your score and ultimately your financing. Here are some common mistakes to look for.Verify that all your personal information is correct, including your name, date of birth, social security number, and past and current addresses.Review all accounts closely to ensure everything listed belongs to you, as extra accounts could signal a mixed file or possibly even identity theft. Also, if you’re divorced, make sure your former spouse’s debts aren’t included in your report.Check that all your account statuses are correct. For example, are any closed accounts marked open or current accounts marked delinquent? Be sure that all open dates are accurate, as this could impact the length of your credit history, which is an important factor in credit scoring. Also, verify that accounts aren’t duplicated, which could make your debt seem higher than it really is.Review your credit report from all three bureaus, Equifax, TransUnion, and Experian, as the information could vary. If any corrections are needed, follow the instructions on each bureau’s website.

When you’re getting ready to buy a home, one of the big decisions you’ll have to make is whether to choose a fixed-rate mortgage or adjustable-rate mortgage, also known as an ARM. Here are some factors that can help determine what’s best for you.Fixed rate mortgages have interest rates that stay the same throughout the life of your loan, providing both stability and predictability in your monthly payments. ARMs start with a set interest rate for a specified number of years – commonly three, five, seven or 10 years – and then the rate is adjusted up or down at regular intervals based on market conditions.While ARM interest rates typically start lower than fixed-rate loan rates, they could reset higher, which would increase your mortgage payment. That’s why the length of time you plan to own your home can be one factor that determines whether an ARM or fixed-rate loan is better for you.An ARM could end up saving you money if you plan to sell the home, refinance or pay off your mortgage before the initial rate resets. But if you’re buying your “forever home” or have a tight monthly budget, a fixed-rate loan can provide better budget stability and less worry about any potential increase in payment.Finding the right loan for your situation might feel overwhelming, but it doesn’t have to. Reach out if I can answer any questions for you during this exciting time.

Owning your home is a great way to build wealth. But what about an investment property to rent out?Whether you’re a realtor helping clients make this decision or a buyer interested in purchasing yourself, I have a unique tool that will calculate the return on an investment based on area-specific appreciation, rental rates, and costs to buy and sell.Important metrics such as cash-on-cash return, as well as the compounded annual return over time, are easily illustrated to help you make better decisions on selecting the best opportunities in this market.Reach out to me today so I can share this exciting tool with you.