12 Mistakes That Can Derail Closing Day For Buyers

Buying your first home? Maybe you have done this before and just assume lending is pretty straight forward? Avoid these common mistakes that can blindside a buyers mortgage and closing day!  

Lending is a complicated business with a number of moving parts and many rules that can make the difference between a happy closing day or no home at all.   There are so many things that can effect your loan process and your road to a successful closing day.  Here are just a few of the most common mistakes that buyers make.   

 

Here are a few more things to avoid so that you can keep loan and purchase on the rails through to closing day!  

Big Purchases on Credit. It is tempting to buy the furniture for your new home or a new car for the garage before the sale closes. Take care if you are making these purchases on credit. Large purchases on credit can have a major impact on your credit profile which effects your mortgage application. It’s a better plan to wait until after closing or pay cash for these transactions or you may be putting that furniture in a different living room than you originally picked them out for.

No 90-Day Same as Cash! Many times you may be tempted to make a furniture or appliance purchase for your new home. Often these can be done now and no payments for 90 days or even longer. Don’t be fooled. These purchases still affect your credit and can destroy your loan process. Remember, just a small change in your credit picture might be just enough to keep your loan from moving forward.

IRS, State and Local Liens. You’ve heard the old saying “Death and Taxes”.  Back taxes and liens can derail your attempts to get financing for a mortgage so be sure to have your books in order before filing your loan application. There are a number of searches done against your social security number just before closing and this is where liens against you sometimes appear, even though they are NOT on your credit report.

Changing jobs, become self-employed or quitting a job. Changing jobs will change the qualification basis and if you move into a different line of work or take a lower paying job, this may disqualify you from moving forward with your purchase. Also going from an employee to self employed changes everything. Of course you need a job so don’t quit yours.

Don’t Spend your Money!   Especially your funds set aside in your bank account for your closing day.   Often these funds need to be on deposit for a couple of months to be “seasoned” and allowable for your purchase. If you spend it, you may have problems having new funds seasoned in time for your closing day. Also many times your loan will require a certain amount of “reserve funds” in your account and trying to get those funds into your account at the last minute can be catastrophic.

Large Deposits. You would think more money is a good thing, right? But large deposits are handled differently and require sourcing, which can get complicated. Always ask your loan officer before you make a large deposit.

Changing Bank Accounts. You will not want to change bank accounts during the loan process. Making a move like this will change your financial picture and quite possibly slow down the process or cause your loan to be denied.

Never Co-sign. Don’t do this for anyone during the loan process. Co-signing will not only change your credit picture, it will also change your debt ratio. The smallest change in debt ratio may ruin your chances for a loan approval.

Late Payments, Missed Payments. Credit Inquiries. Of course pay your creditors on time and avoid having your credit report pulled during the loan process. Late or missed payments will decrease your credit score and so will excessive credit report inquires. Sometimes just a few points on your credit score make the difference between a happy closing day or no closing day at all.

Overpaying. Before your bank will approve your mortgage they will appraise the home you are purchasing.  If they feel you are overpaying they are likely to decline your mortgage application. If you find yourself in this situation consult with your agent on renegotiating your offer to be more in line with the bank’s appraised value.

Purchasing too close to Foreclosure. If you are making an offer on a house which is facing foreclosure be sure to have a closing date set before the foreclosure date. Have your agent work with the lender to structure closing before the house goes back to the bank and into foreclosure

Comprehensive Loss Underwriting Exchange (CLUE). CLUE is a database of insurance claims for both people and property.  Your home insurance rates are determined by the information about you and the property you plan to purchase which is contained in this report. Past claims for water damage, falling trees and even dog bites from present and past owners can multiply your insurance rates. Consult your agent about the CLUE report for your future home as soon as possible once your home purchase offer is accepted.

As always, work closely with your lender. Share everything with your loan officer so they can navigate through the process and guide you through the rough spots and onto closing.  It’s better to know about potential issues up front and not be surprised just before closing with bad news.  How a great loan officer helps you! and Other missteps that keep you from closing.

 If you are just starting the process and want to know more about how the buying process works, connect with us.   We will be happy to meet with you and walk you through the buying process, help you find a lender and get you on the path to home ownership.

johntindall@windermere.com 208-818-2456 traceytindall@windermere.com 208-818-2365

Posted on October 9, 2019 at 11:34 pm
John and Tracey Tindall | Category: First Time Home Buyer, Helpful Tips | Tagged , , , , , , , , , , , , , , , , , , , , , , ,

Top 3 Fears for First Time Home Buyers

Buying your first home is a BIG DEAL.  But it may not be as “scary” as you thought!

We have helped tons of first time home buyers get into their first homes.  Time and time again, the concerns, misconceptions and fears we discuss are the same.

Here are just 3 we hear all the time and often the reasons buyers decide they need to wait or that it “just wont for for them”.

We are here to tell you, its not as hard you think and when you work with someone like us, we will get all of the questions answered and guide you through the process each step of the way.  Believe us, whatever you worried about or are afraid to ask, we have dealt with it before and can help you too!

If you are curious about buying and want to know more, let’s connect!  We are here to help you Make Awesome Happen.

Also be sure to watch our First Time Buyer Play List on YouTube    for more helpful information about buying your first home.

Posted on August 19, 2019 at 8:41 pm
John and Tracey Tindall | Category: First Time Home Buyer | Tagged , , , , , , , , , , , , , , , , , , , , , , , , ,

Homeowners Exemption

Tax season is upon us! That means we not only need to file taxes by April 15th, but also to file for the homeowners exemption.

If you’re not sure if you qualify or where to file, we are here to help!

 

 

What Is The Homeowners Exemption

This exemption is provided by Idaho state law, for the purpose of reducing the taxable value of your home up to $100,00 or 50%, whichever is less. For example, if your home is worth $400,000, you may only pay tax on $300,000. As a result, this exemption will save you money and reduce you property taxes!

 

Who Qualifies

A home owner can file the exemption if they are an Idaho resident and they occupy the home for more than 6 month out of the year (Primary Residence). It can only be filed on the primary residence, it can not be put on a second home or a rental.

 

When  To File

New Construction you must file within 30 days of purchasing the home.

For Existing Homes, the deadline to file for the homeowners exemption is April 15th for THIS year’s exemptions.

File one time per house. After you file, the exemption stays with the house until you sell the house. Then you will need to file it again on your next home.

 

Where To File

Real Estate Concept

Filing must be done at the county’s assessors office where the house is located. Every county does it a little differently, but you have to file each one in person,  it can not be done online. Below are a list of the addresses of nearby counties:

 

Kootenai: 451 Government Way, Coeur d’Alene

Shoshone: 700 Bank St #100, Wallace

Boundary: 6452 Kootenai St, Bonners Ferry

Bonner: 1500 US-2 #205, Sandpoint

Benewah: 701 College Ave # 7, St Maries

 

Do Not Share Sales Price

Idaho is a non disclosure state. That means you do not disclosure the purchase price of the home with the county or on any external sites like Zillow because it is not required. This is a good thing! If the county has the home assessed at a lower value than what you purchased it at, you will continue to be taxed at the lower rate. If you share the higher purchase price with them, they will start taxing you at that higher level.

 

Other Exemptions

Below are a few other exemptions you can file on your property. Click on the links to learn more about how it works in Kootenai county. You would file each of the below exemptions the same way as a homeowners exemption, at the county’s assessor’s office where the land is located.

Agricultural: This program will reduce the taxable value on agricultural land.

Timber: This program will reduce the taxable value of the private land used to primarily harvest timber.

Property Tax Reduction Program (Formally known as Circuit Breaker): This program reduces property taxes for individuals who meet age and income requirements. 

 

Contact Us!

If you have any questions, concerns or confusion, never hesitate to contact us! We are here to address any roadblocks you have and point you in the right direction so that you can save some money on your taxes.

John: 208.818.2456

Tracey: 208.818.2365

 

Check out our video below regarding important tax information for home owners. Also,  subscribe to our YouTube page to keep up with all things real estate! 

 

 

 

Posted on March 12, 2019 at 11:04 pm
John and Tracey Tindall | Category: Helpful Tips, Home & Projects | Tagged , , , , , , , , , , ,

Rules for Saving & Paying Down Debt

Saving money can be such a challenge for most of us.   When it comes time to buy a home or invest in real estate it can become even more of a struggle.   With mortgage financing, we must be sure to keep our debts low, while having  enough assets on hand to get our loan approved.  We will need to consider the budget for new mortgage payments while paying of credit card or consumer debts each month.  AND we must be mindful about putting money away into a 401K or other investments and maybe having a little extra to enjoy life. 

Image result for saving money

 

 

Below are 7 simple rules for saving your money and paying off debts. Following these rules will make it easier to get where we’d like to be financially before taking the steps to get your dream home. 

 

1. Automate It! 

Most places of employment offer direct deposit. Use that to your advantage. Set your direct deposit up for a portion of your paycheck to be deposited into several different accounts. One for your 401K, another into a savings account for the purpose of emergencies, also an account to save for home projects, vacations, etc. Then, set up your bills to be paid automatically. It would be beneficial to check with your loan holders to see if that would be an option. Ultimately, it comes down to this: if you can’t see the money then you won’t have the temptation to spend it.

 

2. Know How to Prioritize

Should you start paying down debt or saving first? Which debts should you start with? You need to know how to prioritize and compare the numbers. First, start by checking the interest rates on your loans and credit cards. The higher the interest rate, the more of a priority that should be to pay off. Save any extra money you get. Tax return? Put that into savings! Get a raise at work? Automatically deposit that extra percentage into savings each month. Eventually, you will have enough in that account for a nice down payment on your home. 

 

3. Imagine Your Future Self

Where do you want to be in 5 years? 10 years? 20 years? Owning your own home? Not drowning in debt? Studies show if you imagine where you’d like to be in the future that will motivate you to take the necessary steps for the purpose of achieving those goals.

Image result for saving money

4. Stop Unnecessary Spending

Take a good look at your finances and what you spend money on regularly. Do this with the intention of determining what can be dropped or scaled back on. Maybe a gym membership that you pay for monthly and only go once every 3 months or so. Another common unnecessary expense is cable TV; streaming services are cheaper, and they have a great selection. Additionally, rather than getting a coffee at Starbucks every day, make your own coffee at home. You may be surprised to know that could save over $100 a month. Also, eat meals at home instead of going out to eat. Even dropping one expenditure mentioned will make a huge difference on your bank account. 

 

5. Reward Yourself

You can’t live your life to save and pay down debt. Every now and then you need a reward for all your hard work. Use that as a motivation to save. Got a bill paid off? Get yourself something! Reached your goal on an amount of money you wanted to save? Treat yourself! Be sure to make these rewards sensible, but you could be getting perks while saving and paying off bills.  

 

Image result for saving money

6. Take Advantage of Bank & Credit Cards Offers & Rewards

Take a good look at your credit card rewards, it may surprise you what they offer. There may be an opportunity for you to receive a percentage of what you spend in cash back. Who wouldn’t benefit from that? Make sure your bank account doesn’t charge you a monthly maintenance fee. If it does, research how to waive it or get a different account.

 

7. Start Young (Its never early or late to Start)

If this applies to you, pay attention. Starting off at a young age will set you up in the future. Even if you’re working at your very first job, you can start taking the necessary steps. Apply the rules above and your savings will grow faster than you could ever anticipate.

By following these rules, you can save, pay off debt   Whether your goal is to save for a home or prepare for the future, it’s all possible with a little hard work and knowledge on your side.

Think that your credit is hopeless and that you may never be in a position to buy a home? Don’t!  There is always a way with a good plan and a good team.  We have helped so many buyers get into homes when they thought it would never be a reality for them.  We have a great team that can help you build the roadmap to get there.  Want to know more about how to get started?  Let’ Connect

Credit: NPR Public Radio – https://www.npr.org/2018/12/12/676120025/get-started-saving & http://time.com/money/4266906/save-for-new-home-tips/

Posted on January 3, 2019 at 6:23 pm
John and Tracey Tindall | Category: Costs and Spending, First Time Home Buyer, Helpful Tips | Tagged , , , , , , , , , , , , , , , , , , , ,

What documents to keep and what to toss?

Tax time again and a mound of documents and not sure what to do with it all?

Hopefully you made it through another tax season and found all of your documents needed to file your return.  Now, what documents do you need to keep and which ones should you toss?   Here’s a little guideline which will help you with clearing out the old paperwork, but not throwing away anything that you might need later.

What to keep and what to toss?

 

John and Tracey
Keeping it Real…Estate

John and Tracey Tindall

208-818-2365 or 2456

www.johnandtracey.com

johntindall@windermere.com

traceytindall@windermere.com

Posted on April 18, 2017 at 6:13 pm
John and Tracey Tindall | Category: Helpful Tips | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Best ROI when Updating Your Home to Sell

Thinking of selling and want to spruce up your home before hitting the market?   Surprisingly you should think small when making renovations and updates for the best ROI.

If you are like most of our clients you may have a laundry list of things you believe you need to your home before you sell it.  Some of the things may be costly and in the end will not improve the sale-ability of your home or even provide a good return on your investment investment.     Here are some tips to consider:

If you are thinking of selling , lets meet up and we can work with you to develop a plan for success.  The right improvements to increase the sale-ability of your home while being kind to your finances.

How to contact John and Tracey

John Tindall: 208-818-2456   johntindall@windermere.com

Tracey Tindall: 208-818-2365  traceytindall@windermere.com

Click here to learn: More about us!

Posted on March 16, 2017 at 11:07 pm
John and Tracey Tindall | Category: Home & Projects, Listings & Selling your Home | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

January’s Market Update – Is this a good time to sell?

Is this a good time to sell?

Here is your housing snapshot for January 2017  showing an increase of 10% in median home prices and time on market down 5% in Kootenai County.   If you are a seller who is on the fence about putting your home on the market, this snapshot is a good indication that this might be a very good time for you to sell your home.

A market offering higher median home prices,  shorter closing time frames and less inventory will give sellers who decide to list now have some real advantages especially this time of year.

Listing your home before the masses who wait for better weather in April and May can give you the edge for success.  Low inventory combined with a large number of qualified buyers creates competition for your listing.  Many buyers have already lost out on another home and these buyers are ready to pounce once your listing hits the MLS.  Homes that are show ready and priced right are garnering multiple offers at full price and often offers over full price!

If you would like to be kept up to date on the market or know more about selling your home or the value of your home, contact us and we will be happy to provide you with a customized market analysis.

 

Kootenai County Snapshot for January 2017

 


 
Johnandtracey
John and Tracey
Your Professional Agents

 
208-818-2365 John         johntindall@windermere.com        
208-818-2456 Tracey     traceytindall@windermere.com
Website                               www.johnandtracey.com

 

 

Posted on March 3, 2017 at 6:08 am
John and Tracey Tindall | Category: Costs and Spending | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Considering a Remodel? 4 Points to Consider

Thinking of remodeling your home? Maybe you are looking for a home to buy that might need some remodeling?   To Remodel or Not… 4 Points to consider when taking on a remodel project and understanding the benefits and challenges.

As with anything in life, a remodeling project can come with its ups and downs. Certain phases seem to go a mile a minute, while others feel like they’ve lasted a lifetime and a half, all while it looks as though nothing is being completed. Fear not — this is pretty typical. And, while every project is different, a good portion of renovations have four major phases, what I’m calling the Honeymoon, the Midproject Crisis, the Renewal of Vows and the Happily Ever After.

For now, let’s take a closer look at the Honeymoon phase of renovating….read more

 

Honeymoon 1: Homegrown Decor, LLC, original photo on Houzz

 

After weeks of searching for a remodeler in your area, calling references, checking out their Houzz profile and working toward an agreeable price, you say, “I do,” sign the contract, finalize the design and begin work in two weeks. There’s a little nervousness in the air, but as you enter the Honeymoon phase, the mood is mainly one of excitement.

 

Demolition Begins

A couple of weeks go by, and the day comes for work to start. Protective products are placed, and demolition begins. Demo, sweet, demo. Normally one of the quickest moving stages of a remodel, demolition makes it look as if a lot of work is being done practically overnight. Cabinetry is removed, walls are torn down, appliances are taken away and, in a matter of days or weeks (depending on the size of your project), you’re staring at a blank canvas.

After that, any necessary framing and structural work will begin. Framing usually isn’t as exciting or fast-paced as demolition, but still, there is visible progress almost daily. At this point, you and your partner are walking on air. The rate of work is astounding, and you’re still very excited (although maybe a little less nervous now) about the entire project…..read more

Posted in Houzz.com by Houzz.com

 

 

Posted on February 18, 2017 at 7:23 pm
John and Tracey Tindall | Category: Home & Projects | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Life on the Lake

Hacked By GeNErAL

Posted on August 1, 2016 at 7:46 pm
John and Tracey Tindall | Category: Best of CDA, Life on the Lake, Things to Do and See in North Idaho | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Home Tour – 1476 W Watercress, Post Falls / Meadow Ridge

Looking for the home that has it all?  You have found it! 

You need to see this gorgeous home offering high end finishes and beautiful mountain views. Located in desirable Meadow Ridge. Country feel yet close to everything. This home has it all with granite, tile, hardwood, large master suite with spacious walk in closet, tiled shower, jetted tub, 3 car tandem garage and 20×40 paved RV pad behind large gate. Fabulous kitchen with lots of counter space, storage and light. Elegant cathedral 10’ foot ceilings, gas fireplace, luxurious formal living and dining, spacious family room, custom railings, large laundry room, AC, fully fenced and READY for your SHOP (at least 20×40) This home has been PRE-INSPECTED and is move in ready and comes with a 13 Month Home Warranty

MLS:16-1042  

 


 
Johnandtracey
John and Tracey

 

Your Professional Agents

 
208-818-2365 John        johntindall@windermere.com        
208-818-2456 Tracey     traceytindall@windermere.com
Website                         www.johnandtracey.com

 

Posted on July 10, 2016 at 10:04 pm
John and Tracey Tindall | Category: Keeping it Real - With John & Tracey | Tagged , , , , , , , , , , , , , , , , , , , , , , , ,