How to Tell If a Foreclosure Is A Good Deal

In today’s real estate market there is an abundance of available foreclosed homes to choose from. The only trouble is, how do you know if it is really a good deal. A foreclosed home is a property that is owned by the bank that has been repossessed. Foreclosed homes are often listed for sale by local real estate offices where it is treated as any other property that listed. While the price of foreclosed properties may differ greatly than others in the same area, they are often thought of as a deal. While this may be case sometimes, it is not always true. What we are going to do is help you know if the foreclosed home you’re interested in is really that great of a deal.

Because many foreclosed homes do not come with any seller disclosures, it is up to you, the buyer to determine the condition of the home. Before you purchase a foreclosed home you should review comparable sales of homes that have recently sold in the neighborhood. Doing this, will help you determine if the home is priced and valued close to the sale price of those homes. This will also help you determine if the price is set too high for a home in the neighborhood. It is also highly suggested that you consult with contractors to obtain estimates for any work that will be needed on the home. Many foreclosed homes sit vacant for months, without anyone living in the home to ensure that everything is in the proper working condition it is important to get these estimates before you purchase a foreclosed home.

Prior to buying you should also compare mortgage rates. This will help you determine if the payments are reasonable for the property and area that you are interested in. If you are presented with mortgage rates that seem unfair, take the time to consult different mortgage brokers who may able to find you a more acceptable rate. Also, you should consider how any HOA fees or homeowner insurance rates are going to affect you. Always ensure that you are aware of all the costs and fees associated with a foreclosed property, this will prevent any surprises once the deal has been closed.

When buying a foreclosed property it is important that you choose property that is in good condition and in a good area. This will ensure that property is in good physical shape and will not require a large sum of money to make it livable. If you are happy with the area where the home is located you are more likely to remain in the home for years. Buying a foreclosed home can be risky, but if you do the proper research you are more than likely to find a foreclosed property that you can be happy with.

Understanding Homeowner’s Insurance

One of the most common misunderstandings among homeowners is whether they have the appropriate amount of hazard and liability insurance, also known as homeowner’s insurance. Purchasing homeowners insurance is something that is commonly done once escrow has closed on the property you are purchasing. This property can either be used as your primary residence or as a rental property, either way it is important that you have sufficient insurance on the property. If you aren’t sure of the amount of coverage you purchased you can look at your policy or contact your agent to help you determine if the amount of coverage you have is sufficient or if you should purchase more.

The first thing commonly listed on your policy is usually building/dwelling/property. This line refers to the cost of rebuilding your property in the case of a fire, damage from weather and vandalism among other items. This amount was determined based on what you and your agent estimated the cost to be if your home needed to be rebuilt. Most insurance policies do not cover floods or earthquakes; if you feel that your home may be damaged by either one of these you should purchase additional insurance that will protect you and cover your home. Your insurance agent can recommend how much insurance you should have to rebuild your home, but ultimately the decision is up to you and how much you can afford. It is important that you not underinsure your home; doing so will not provide you with enough money to rebuild your home. The amount of coverage provided by your policy should be reviewed every year to allow you to make any necessary changes as the value of your home and belongings changes.

Many homeowners often forget that their insurance policy also includes liability coverage. Liability coverage can be used if your pet bites someone or is someone is injured on your property. If you should get sued by someone who fell or was injured on your property, your insurance company will provide a lawyer to defend you. If a judgment has been ordered against you, your insurance company will pay the settlement. There is a limit to how much is covered by liability coverage, it is typically $300,000. Liability insurance is something that should not be forgotten about, it is included in your policy to protect you.

The term deductible is something that everyone is familiar with, the amount of your deductible is chosen by you. This amount determines how much money you will need to pay when a claim is filed. It is common for many people to choose a higher deductible in order to save money on their premiums. If you are unsure of how much of a deductible is safe, you can always discuss your financial situation with your insurance agent. They will help you determine an amount that will be beneficial to you.

Most common insurance policies do not cover any collectibles, firearms, jewelry or artwork that you may own. To ensure that these items are properly covered you may need to purchase a policy that specifically covers those specialty items. This may seem like an added expense, but if you should experience a fire or robbery you will be thankful that you added the extra coverage.

Homeowner’s Insurance and Your Credit Score

Homeowner’s insurance is almost always a requirement. Even if you happen to live somewhere that does not require you to take out a policy, it would greatly benefit you to do so. Your mortgage lender will want to protect the investment almost as much as you, and a homeowner’s policy will do just that. You may be wondering, however, just how your credit score will be affected by taking out your policy. Just as lenders base your loan interest on your credit score, insurance companies also use it to determine how much you will be charged for premiums.

Your credit score is a measurement of your ability to handle borrowed money. The more credit cards you have, the harder it can be to pay them all back. If you are able to pay more than the minimum payment on time, your credit score will remain excellent. If, on the other hand, you have difficulty making payments, your score will suffer.

The most common type of credit score used is the FICO, or Fair Isaac and Company Score. This score is based on five factors. They are: your payment history, the total of all current credit balances, the amount of time you’ve had credit accounts, whether or not you have recently opened any new accounts, and the credit types you use. So how does all this tie into your insurance?

Credit companies use your score to help determine premiums. It’s called risk management. Insurance companies want to know how much of a risk you will pose to them in terms of paying your insurance premiums. They want to make sure you will be able to afford the homeowner’s policy you are taking out. They try to estimate the number of claims their customers will file each year, and charge premiums based on this average that will be sufficient enough to cover liability for at least that amount.

Studies have shown people who have lower credit scores are much more likely to file an insurance claim than those whose scores are average or high. Because these clients are riskier to insure, the insurance companies develop their own rating numbers. These numbers are based on the credit scores of customers. Customers with high scores are offered the best terms and rates while customers with low scores may not receive the same great terms and will be required to pay more.

Before buying a home, you will be able to check your credit score. Your mortgage company can usually do this for you as your credit score will also determine the amount of money you receive for a loan. If you find your score is lower than you would prefer, you may wish to pay off some of or perhaps even all of your creditors before buying a house and taking out a homeowner’s insurance policy.After all, the insurance is there to help you and the better the coverage, the safer you’ll be in the long run.

Celebrity Houses for Sale

Like everyone else, celebrities move on. And when they do, they often leave behind stunning views, incredible landscaping, and hopefully, impeccable taste. One of HGTV’s newest shows lets viewers in on these sales, even if it is for just a voyeuristic peek.

Some of their featured celebrity homes are actively on the market though and available for purchase… but buyers should probably try to get their financing in order before they call their real estate agent. Here are some choice properties with star quality now available:

Brad Garret, of Everybody Loves Raymond, placed his stunner on the market in November 2011. Potential buyers can guess that it must be roomy since Garret’s 6′ 9‚Äù frame had to live in it. The beamed ceilings are gorgeous and work nicely in the large open spaces of the home. Reports are that the price recently dropped a cool $1 million so it might not be as out of reach as most people thought.

If a beach front home is what you are looking for, Pierce Brosnan recently dropped his price $1 million in an effort to attract a buyer.

Four years after he last live in it, Heath Ledger’s former Los Angeles home is back on the market. With such a storied prior owner, the value of the home will certainly go up in the eyes of some buyers. The idea of living in a home formerly occupied by a celebrity is thrilling to some. For others, it gives them an extra touch of je ne sais quo when they are chatting up a stranger at their next cocktail party.

Sometimes you have to act quicker than the competition though. As an example, Dennis Quaid recently sold his Los Angeles home, complete with equestrian playground, for $9.5 million. It was on the market a litle more than 6 months, which seems to be the average for one of these expensive celebrity homes.

If a mediterranean home is more your style, FrontDoor.com recently listed Ben Stiller’s Outpost Estates in Los Angeles. And a true estate it is. After acquiring the main property in 1999 he snatched up the opportunity to purchase two adjacent properties to use as guest villas. It is a given that his guest list for those homes was quite long given his broad appeal.

Potential home buyers who are looking to acquire a celebrity home will have the best luck by working with real estate agents in the centers of celebrity-hood – Los Angeles, New York, and south Florida. Many celebrities own homes in Florida due to the favorable tax laws. Remember OJ Simpson? His Florida home was one way he protected his assets in light of the civil law suits filed against him.

HOTTEST HOME IMPROVEMENT IDEAS

Now that you have the home of your dreams and have moved in, you may see some areas that are in need of improving. The tile may seem outdated or the floor may not be exactly what you want; if that is the case, you’re in luck. The home improvement stores are full of ideas that can help make your home even better.

The popularity of glass tiles is still on the rise. There are many colors and designs available that can be used in your kitchen or bathroom. People are drawn to glass tile because of all the design possibilities they offer. They can give you that splash of color that is needed in the bathroom, or be used as a backsplash in the kitchen. There are many ways in which this type of tile can be incorporated into your remodeling designs. Glass tiles cost a bit more than regular ceramic, but the visual appeal makes them worth the extra money. Installing glass tiles is a sure way to impress any visitors to your home.

Lock in place decking is a popular new way of building the deck of your dreams. These new deck pieces are specially designed to make the process of building a deck easier. They feature tabs that connect the pieces together while also hiding the few screws that are needed. They are durable and come in many colors to match your home. Once you get the hang of installing these new deck pieces, the process will go much faster and smoother than installing a deck the old fashioned way.

Entertainment rooms are also popular in home remodeling. How many times have you wished you had a room where everyone was comfortable while enjoying a movie. Adding a home theatre requires space and some comfortable seats. In order to create an entertainment room, you may just need to improve your existing family room. This space was originally designed as a type of entertainment room; you’re just going to improve on the idea. The process of adding shelves and a surround sound system is relatively easy, but if you are not as handy as you would like, there are professionals who are familiar with designing and building an entertainment room.

Kitchens tend to be the places where most people gather. Having a spacious and well-designed kitchen can be essential if you like to entertain. If you are a cook that needs extra space, adding additional counter space may be as easy as adding an island. This will offer you extra space to work and if you add a few stools it can also be used as extra seating space. New appliances also give your kitchen a whole new look, stainless steel is always a popular choice among remodelers. Granite countertops also offer a look of elegance and refinement when added to existing cabinets.

Not all of your improvements need to be big in order to be attractive. There are many little things that you can do that will give any room a new look. Simply changing light switch plates or knobs on drawers can give you the fresh new look that you were after.