Blog - East Valley Homes

How Can I Price My Home To Sell More Quickly?

November 25, 2020 by Cathy Carter

How Can I Price My Home To Sell More Quickly? If you are thinking about selling your home, then you want to make sure that you get as much money for your home as possible. Therefore, there is a solid chance that you are thinking about all of the places that you watched your kids grow up, the numerous parties that you hosted, and the countless holidays that you celebrated. To you, those memories are priceless.

Therefore, you should put these factors aside when you are selling your home. You aren’t selling your memories. Instead, you are trying to sell a home. If you want your home to sell quickly, there are a few tips that you should follow.

Do Not Price Your Home High Immediately

You probably think that your house is wonderful. After all, that is why you decided to move in all those years ago. The problem is that if you price your home too high at the beginning, then it might sit on the market for a long time. The longer a home sits on the market, the harder it is going to be to sell. Therefore, do not miss that window of opportunity. Instead, try to price your home to sell. Generate plenty of interest in your home so that you receive multiple offers. That is how you can get the most money possible for your home while still selling it quickly.

Don’t Assume Recent Renovations Are Going To Provide You With A Higher Price

If you have watched a lot of TV shows, then you might assume that renovations are going to drive up the listing price. This is not necessarily the case. You need to assess the market value of the renovations that you completed in the context of your home. That way, you can make sure that you recoup as much money as possible.

Price Your Home To Sell

These are just a few of the most important tips that you need to keep in mind if you want to make sure that you price your home to sell. If you want your home to sell quickly, then you need to ensure that you get plenty of interest in it. Pricing your home to sell will help to make this happen.

How Much Income Should People Spend On A Mortgage?

November 24, 2020 by Cathy Carter

How Much Income Should People Spend On A Mortgage? When people are looking for a home, this is an exciting process. There is always something fun about looking at potential homes and envisioning a future there. This is a big decision. At the same time, it is just as important for people to think about how much of their money they should be spending on their mortgage. There are a few rules of thumb that people should keep in mind.

The 28 Percent Rule

One of the most common rules that financial advisors and lenders are going to talk about is going to be the 28 percent rule. This rule states that people should not be spending any more than 28 percent of their pre-tax income on their monthly housing payments. This includes not only the mortgage but also any potential homeowners association fees, real estate taxes, and home insurance payments. Once people figure out how much they can afford on their monthly mortgage payment, they can work backward to see how large of a house they can afford.

The 36 Percent Rule

The other rule that homebuyers are going to hear is the 36 percent rule. This is a rule that pertains to all debt. Therefore, this rule includes not only the monthly mortgage payments but also any car payments, credit card payments, utilities, and student loans. In general, no more than 36 percent of someone’s pre-tax income should be going toward debt. This is very important for taking out a home loan because it is going to impact someone’s debt to income ratio. If the debt to income ratio is too high, then potential homeowners are going to have a hard time getting a great deal on a mortgage. Furthermore, they could even be denied completely.

Find The Right House

For those who are looking for a home, this is an exciting time. At the same time, it can also be hard to find the right home when people don’t know exactly what they’re looking for. When potential homeowners understand what their budget is, this process gets much easier. Therefore, everyone needs to think about how big of a monthly mortgage payment they can afford. This will help them make the right decision.

What’s Ahead For Mortgage Rates This Week – November 23, 2020

November 23, 2020 by Cathy Carter

What's Ahead For Mortgage Rates This Week - November 23, 2020 Last week’s economic reporting included readings on housing market conditions, sales of previously owned homes, and housing starts and building permits issued. Weekly reports on mortgage rates and jobless claims were also released.

NAHB: Homebuilder Confidence Hits Record High in November

The National Association of Home Builders reported a fourth consecutive record high for builder confidence as November’s index reading of 90 exceeded October’s reading of 80. Any reading over 50 indicates that most home builders are confident about housing markets.

Component readings for the Housing Market Index also rose. Builder confidence in current market conditions rose six points to 96. Builder confidence in housing market conditions within the next six months rose one point to 89 and builder confidence in buyer traffic in new housing developments increased by three points to an index reading of 77. Readings of 50 or more for buyer traffic were rare until recent months. Factors driving builder confidence include high demand for homes and record low mortgage rates. High demand for single-family homes is rising due to relocation to suburbs and increased demand for larger homes.

Housing Starts Increase as Building Permits Issued Hold Steady

Commerce Department readings for October show that housing starts rose to 1.530 million starts on a seasonally-adjusted annual basis. Analysts expected a pace of 1.490 million housing starts based on 1.459 million starts reported in September. 1.545 million building permits were issued in October, which matched September’s reading.

Mortgage Rates Hit Another Record Low; Jobless Claims Data Mixed

Freddie Mac reported new record low mortgage rates for the fourth consecutive week. Rates for 30-year fixed-rate mortgages averaged 12 basis points lower at 2.72 percent; rates for 15-year fixed-rate mortgages averaged 2.28 percent and were six basis points lower. Rates for 5/1 adjustable rate mortgages dropped by 26 basis points to 2.85 percent on average. Discount points averaged 0.70 percent for 30-year fixed-rate mortgages and 0.60 percent for 15-year fixed-rate mortgages. Points for 5/1 adjustable rate mortgages averaged 0.30 percent.

First-time jobless claims rose to 742,000 claims filed; analysts expected 710,000 claims filed based on the prior week’s reading of 711,000 initial jobless claims filed. Ongoing jobless claims fell to 6.37 million claims filed as compared to 680,000 continuing jobless claims filed in the prior week.

October sales of previously-owned homes rose to 6.85 million sales on a seasonally-adjusted annual basis as compared to September’s reading of 6.80 million sales of previously-owned homes.

What’s Ahead

This week’s scheduled economic reporting includes readings from Case-Shiller Indices on home prices; new home sales will also be released along with the University of Michigan’s report on consumer sentiment. Weekly readings on mortgage rates and jobless claims will also be released.