How much does Title Insurance cost? The one-time premium is directly related to the value of your home. Typically, it is less expensive than your annual auto insurance. It is a one-time only expense, paid when you purchase your home. Yet it continues to provide complete coverage for as long as you or your heirs own the property. Do I need Title Insurance? Most definitely! Title insurance is a means of protecting yourself from financial loss in the event that problems develop regarding the rights to ownership of your property. There may be hidden title defects that even the most careful title search will not reveal. In addition to protection from financial loss, title insurance pays the cost of defending against any covered claim. Why Do You Need It? Buying a new home is one of life's most gratifying experiences. As you approach the big day of closing, however, all the details can be a little overwhelming. You might easily overlook the single most important step in ...

In a market flooded with foreclosures, homebuyers can find steals easily. Or that's what many of them think until they begin searching. Soon, they learn that only savvy buyers get the best deals. Understanding how banks negotiate foreclosure deals is a must if you want to buy low in today's market. Here are five secrets every homebuyer must know when shopping for a foreclosed home. Don't make lowball offers on just-listed properties It's useless to make lowball offers on bank-owned houses that have been on the market for only a few days, says John Thompson, a Realtor at Samson Realty in Chantilly, Va. "When you haven't had opportunity to expose your property to the marketplace long enough, you would be reluctant to take a lowball offer," Thompson says. "Most of the banks are aggressive with their pricing, but they are not going to give the properties away." Asset management companies handle sales for banks. These companies price ...

Some level of certainty and stability returned to the U.S. housing market in 2012, providing a solid foundation for the market to build on in 2013. But there are still significant risks that threaten this hard-won stability and could trip up some local markets trying to make the tricky transition from stability to strength. U.S. Foreclosures Continue Slow Descent At a national level and in states with relatively efficient foreclosure processes, foreclosure activity will not pose a significant threat to housing market stability. U.S. foreclosure activity will continue its slow descent off the peak of 2.9 million properties with foreclosure filings in 2010 and back toward a more normal level of around 500,000 properties with foreclosure filings a year – although don’t expect to see a completely normal foreclosure year until 2015. Foreclosure Flare-Ups Rising foreclosure activity in certain markets at the beginning and end of the year could threaten the stability in those ma...

Many first time buyers ask, why do we need Title Insurance? What are the benefits? Here are very important reasons, why you need Title Insurance: 1.      A title insurance commitment for title policy will disclose the status of the real property taxes on the subject property.  2.      A fire destroys only the house and improvements. The ground is left. A defective title may take away not only the house but the land on which it stands. Title insurance protects you against such a loss. 3.      A deed or mortgage may have been procured by fraud or duress. 4.      A deed or mortgage made under an expired power of attorney may be void. 5.      Title insurance covers attorney’s fees and court cost for defending your title. 6.      Title insurance helps speed negotiations when you’re ready to sell or obtain a ...

If buying a home is on your New Year’s Resolution list for 2013, know this: your biggest challenge will almost certainly be coming up with your down payment and closing costs. Whether you’re trying to scrape by with 3.5 percent for an FHA loan or you’re planning to put down a full 20 percent, saving for a down payment might be the largest savings endeavor you ever undertake, after retirement planning. But don’t let that daunt you. Look at it as more of a challenge or a game than a slow-slogging deprivation-driven chore. In fact, I suggest that you add something to your scrounging and saving: scavenging . Finding your down payment money hidden in resourc es that are right in front of you can be a fruitful and fun angle t o take on an otherwise overwhelming goal. Use this short list of oft-untapped down payment treasure troves to open your eyes to funds that might be hidden in plain sight: 1.  Your budget’s biggest line items. I like to get maximum bang for my buck. And I like to ...

A big part of my job is helping our clients project the most likely scenarios for the housing market.  Now that we know who will be President, my job just got easier because we have 4 years of experience with Obama and a divided Congress, so we know what we are getting.  However, there is never a dull moment.  Here is what keeps me up at night: Mortgage Rates Dictated by Leadership : Geithner and Bernanke have worked closely together to implement very accommodative housing policies.  Geithner has already announced he is leaving and Bernanke is rumored not to want another term beginning January 2014.  Who will the replacement(s) be?   Who will slow down the housing market when it heats up again - something I believe Bernanke is trying to engineer ASAP? Mortgage Rates Dictated by China : While Bernanke has a lot of power, the bond markets are more powerful.  International bond buyers, particularly in China, can wreak a lo...

Winning clients is about establishing yourself as an expert by playing part business manager and part counselor. No matter what role you’re in, you need to offer the real estate information that matters most.  That means understanding their worries and woes and being ready to give the answers that motivate them to purchase a home and use you as their expert guide for the process. Here are the 5 top questions that plague buyers today and ways you can answer them to win more transaction-ready clients: 1.  How do I boost my credit rating? 2. How much home can I afford? 3. What neighborhoods are best for me? 4.  Is now really the best time to buy? 5.  Which agent should I use? To read the answers to these question, CLICK HERE !  What worries would you add to the list? What’s the biggest worry of buyers and buyer prospects in your area?

So you have decided to purchase a home, but you have no idea what ensues between now and the time you legally own it? Well, the next step is to obtain title for the property from a title company. Why, because a title gives the owner the right to possess and use the property. Though before you receive title, the title company will have to complete the following: Earnest money:  To show the seller and his agent you are a serious buyer, you will be asked to give the title company a deposit called earnest money. If the sale goes through, the earnest money will be applied towards the down payment. If the sale falls through, then, it is possible, that the earnest money will not be given back unless it is stated in the offer to purchase that it is refundable. Title search:  A title search is a detailed check of the records concerning the property. It is performed to verify the seller's right to change ownership. A title search will uncover any faults, demands and other pri...

You have prospects who contact you expressing an interest in purchasing a home, but how do you know if they’re really serious, or able, to purchase a home? MRIS, a large multiple listing service serving the Mid-Atlantic region, asked its real estate member network for some of the best signs for understanding whether potential buyers are really ready for the task of taking on home ownership. Here’s what they found: Buyers are increasing their savings: MRIS suggests home buyers save enough money for six months of mortgage payments and at least 3.5 percent of the purchase price for a down payment and closing costs. Buyers also haven’t forgotten about moving and possible home repair costs in setting up a savings plan for a home purchase. Buyers have their credit in shape: Home buyers know their FICO score and know how it can impact the mortgage rate they get. Buyers know what they can afford: Home buyers are alrea...

Buying a home is euphoric and scary. On one hand, you are moving into a property you own. On the other, you are committing to the repayment of a lot of money. How to Avoid Buyer’s Remorse Buying a property can throw your emotions all over the place. First, you are ecstatic when the seller agrees to your offer. Soon thereafter, you start worrying about the price, potential problems and the commitment you have made to pay hundreds of thousands of dollars over the next 10, 15 or 30 years. It can be a monstrous rollercoaster for your emotions. You need not have buyer’s remorse. The first issue giving rise to remorse is almost always the purchase price. If it makes you feel any better, the seller almost always thinks they should have asked for more. In truth, the agreed upon price is almost always pretty fair if you obtain a mortgage loan. The lender is not going to give you a loan well in excess of the value of the home, so you can rest assured you probably got a fair price. Yes, you...

A few years ago, flipping houses was the rage in Real Estate Investing. "Reality" TV and Real Estate Investing book "Guru's" had thousands of people getting into flipping houses. Good news for the Real Estate industry - large inventories of houses were reduced and prices started increasing again. Bad news for Flippers - large inventories of houses were reduced and prices started increasing again. People are recovering and have money to start their real estate investing but it is not as easy as it used to be to find the bargain properties. This is the next niche to be discussed in a series dedicated to educating new and seasoned Investors about some of the new strategies in Property Investment. Discounted Bank Notes: Financial institutions are willing to sell the mortgages or notes at a discount rate in some cases. Notes can be performing or nonperforming and both have different strategies, Financial institutions sell these notes rather than going through th...