Provo, UT Real Estate News

By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Real Estate and Yield Spread Premium As a Realtor and former Loan Officer, I have noticed an area of Home Loans and Mortgages that goes unnoticed by the consumer, that of Yield Spread Premium. Most borrowers believe that their Loan Officer makes his profit with the Loan Origination Fee. But most don’t understand that the Loan Officer can make up to 4 percent more, on most loans, with the Yield Spread Premium. What is Yield Spread Premium? Yield Spread Premium, or YSP, is the fee paid by the Lender to the broker in exchange for a higher interest rate, or an above wholesale rate. The borrower may qualify for a certain rate, but the broker can charge this fee and give the borrower a slightly higher rate to make more commission. YSP was originally intended as a way for the borro...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Real Estate and the FHA Loan The FHA (Federal Housing Authority) doesn’t actually fund your home loan in any way. The FHA simply provides mortgage insurance to help consumers become Home Owners. The FHA actually insures the lender from losses resulting from Home Owner default. The FHA helps mortgage lenders prepare loans for people who might not otherwise qualify. One of the big advantages of an FHA Loan is that a smaller down payment is possible. As of January 1, 2009, the down payment for a FHA Loan is 3 ½ percent of the principle loan amount. In today’s market the down payment on conventional loans can be as much as 20 percent. FHA loans make it possible for many people to enter the Home Buyer market, just with the lower down payment alone. There are many other good incen...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Real Estate Home Buyers and the Pre-Approval Buying your first home? , maybe your second, well this can be a wonderful experience for you or this could be a disaster. It all depends on how prepared you are when the process starts. Your first step is getting Pre-Approved. Financing a home can be a difficult process for you, especially finding the right loan. What you need to be concerned about is not getting the financing, but getting the right financing. You will want to find the best terms at the lowest cost. You will want to meet with a loan officer to review your financing options; you will need to meet with a lender who can explain all of the different types of loans that you will be able to afford as well as the program that will help you meet your goals. Once you dete...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Real Estate and your Realtor Well the time has come for you to sell your Home; it could be for a variety of reasons. Perhaps you need more space for an expanding family maybe your current home just doesn’t fit your needs anymore. Maybe the reason is much more stressful such as a divorce or any unexpected job relocation. The last thing you need during this time is someone helping you sell your home that is unprofessional or doesn’t understand the current real estate market. When you are selecting a Realtor, make sure you find someone whose personality is not in line with yours. Even if the agent has terrific credentials and has sold a lot of homes over the years, they may not make you feel comfortable. You will be dealing very closely with your Realtor every day, so choose w...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Real Estate and Realtors versus For Sale by Owner Some people are very successful at selling their home “by owner”. They have knowledge of key marketing strategies, how to best show their home, and they possess a good understanding of contracts. They are versed in negotiation tactics, but most of all, they are aware of the current market in their area and have priced their home appropriately. They realize the majority of homes on the market today are sold through an agency and they are aware that potential buyers might expect them to sell for less that market value because they will not be paying an agency commission. On the other hand, listing your home with a Realtor means that upon the sale, you pay a commission to the agencies involved out of your proceeds. This commissi...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
  Utah County Homes for Sale and the Real Estate Purchase Contract, Earnest Money The Real Estate Purchase Contract involves more than just price. You will have to discuss personal property possession, rent, tests, inspections, closing dates and more. The one term that throws most buyers, especially first time buyers is Earnest Money Deposit. What is it? Why do I need to pay it? Why do I have to pay so much? Not the Down Payment Many buyers show up to write their offer and announce to their agent that they do not have to put an earnest money deposit because they are getting down payment assistance or 100 percent financing. Communication is very important, it is not difficult to see where an inexperienced buyer would confuse one deposit for another, so do not feel bad if you, too, just l...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Real Estate and the First Time Home Buyer Typically a First Time Home Buyer is considered to be someone who has not had an ownership interest in a home for 3 years or more. Some home loan guidelines are longer than that. There are many Down Payment Assistance grants, low interest loans and credit assistance programs available for First Time Home Buyers. First Time Home Buyers should consult a Mortgage and Real Estate Professional early in the home buying process to learn all they need to know about is available to them. Several criteria are considered when evaluating the loan programs for First Time Home Buyers, Credit History, Income vs. Debt, and equity or investment in the subject property being the most important. Check out the IDX Websites with Homes for Sale in the fol...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Real Estate and Foreclosures, Bank Owned and Short Sales Properties that are in distress usually are referred to as Foreclosures. Foreclosure usually happens for a number of different reasons. Few home owners choose to go into foreclosure voluntarily. It is often a result of one of the following: Loss of Job, laid-off, fired or just quit. Unable to work due to medical condition. Divorce Job transfer High debt, unable to make mortgage payments Foreclosure property can be distributed to the public in a number of different ways. The first step usually takes place in the form of a Short Sale. The seller tries to negotiate a lower payoff to try and avoid credit report problems. When the seller is unable to negotiate a short sale, next the bank would take the property to public au...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale and Offer Pricing Factors There are many factors to consider when you are trying to determine what price to offer for a new home. Gathering and analyzing information form comparable sales helps to establish the range of prices you should consider. More weight should be given to the most recent sales of like properties in the local area. Other factors to consider include condition of the property, improvements, the current market, and the circumstances behind the seller's decision to sell. www.UtahHomesforSale.us www.MapletonHomesforSale.us www.UtahHomesforSale.ws www.SpringvilleHomesforSale.us www.UtahHomes.ws www.Salt-Lake-City-Real-Estate.us www.ExitUtahRealEstate.com www.SaltLakeHomesforSale.us www.UtahHomes4Sale.ws www.Park-City-Homes.us www.RobertHulme.co...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale and Bank Owned Homes Banks are not in the business to hold onto an inventory of homes. They want to get rid of these homes yesterday. This makes for a great opportunity for you, the home buyer or investor, because most of these homes are well below market value. Once the bank owns the property they will handle eviction if any, take care of some repairs, pay past HOA and/or other maintenance dues, and then will negotiate with the IRS, removal of tax liens, if any. How do banks sell REO’s (Real Estate owned by the bank?) Most banks have a REO department that handles the sale of these properties. They certainly would like to get the best price of course. When you make an offer, the banks will usually make a counter offer. Don’t be surprised to get a higher count...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
  Utah County Homes for Sale, Eliminating Private Mortgage Insurance Private Mortgage Insurance (PMI) is the safety net of the lender. PMI benefits lenders because it guarantees payment on the balance of loans not covered by the sale of foreclosed properties. If a borrower makes a down payment of 20% of the cost of the home, the lender can generally trust that he will make his mortgage payments faithfully to protect a large investment. In this case, the lender comes out ahead if the borrower is forced to foreclose on his house, because the lender loans 80% of the cost of the house, but will probably recover 100% of the cost of the house. But, if the borrower makes a smaller down-payment, such as 3%, 5% or 10%, and borrows the rest, and then defaults on his loan, the lender loses money. ...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale, Pre-approval a must Buying your first home? , maybe your second, well this can be a wonderful experience for you or this could be a disaster. It all depends on how prepared you are when the process starts. Your first step is getting Pre-Approved. Financing a home can be a difficult process for you, especially finding the right loan. What you need to be concerned about is not getting the financing, but getting the right financing. You will want to find the best terms at the lowest cost. You will want to meet with a loan officer to review your financing options; you will need to meet with a lender who can explain all of the different types of loans that you will be able to afford as well as the program that will help you meet your goals. Once you determine wit...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale, For Sale by Owner vs. Realtor When it comes time to sell your home, one big decision needs to be made. Can I sell my home by myself or should I use a Realtor? Everybody wants to make as much money as they can when it comes time to sell their home, but it is necessary to maintain realistic expectations if there is to be a successful sale transaction. The For Sale by Owner option is often perceived to be best way to make the highest profit when selling a home. In theory, that makes a lot of sense, but there are so many variables that the results usually come out the opposite. In fact, statistics from the National Association of Realtors report that only 16 % of those who listed their home For Sale by Owner, were successful in selling their home. The main drawb...
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By Utah Real Estate Search Utah County Realtor, Home Listing Partner
(Home Buyer Realty Utah)
Provo Homes for Sale, Home Buyer Representation As of 1994, the state of Utah authorized Buyer's Agency.  In Utah County, and throughout the state, buyers can choose an agent to work exclusively on their behalf.  Buyer agency benefits include: Buyer's agents are almost always paid out of the proceeds of the sale by the seller or builder, so we always recommend using a Realtor, as it will cost you nothing extra. Many people do not realize that it is advantageous to have an agent on a new home purchase as well.  I have gone to bat for my clients on a number of occasions when there were problems with home builders.  Salespeople who work for the builder are usually very ethical they are also employees of the builder and are bound by their relationship to their employer.  They do not specifi...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale, Foreclosure Process Distressed sales are a sad fact of the Real Estate market.  While no one wants to see a homeowner lose their home, these properties also present unique opportunities for buyers.  To determine whether you are a candidate for such a purchase, it's important to learn all you can about distressed properties - and to work with qualified buyer's representative who can guide you through each step of these complex, non-traditional transactions. Foreclosure is a process, with buying opportunities at each stage: Pre-Foreclosure A period of time that begins with the initial mortgage default and ends when the distressed property is sold Foreclosure Sale When the property is auctioned to the highest bidder, someone who also meets the terms of the sale....
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By Clay Winder
(Keller Williams Westfield Real Estate)
Making Life Better Provo's city slogan is "Provo - Making Life Better." They city really lives up to their slogan, at least as far as buying real estate goes. Provo has made marvelous strides to update and improve the city, and to do that they provide down payment assistance and grants to those Provo real estate buyers moving in to certain areas or those willing to make certain improvements in the homes they buy. If free / cheap money doesn't make life better, I don't know what does. There are three major programs that Provo offers new home buyers : Home Purchase Plus - A 0% deferred payment loan up to $20,000 in certain neighborhoods or $10,000 elsewhere in Provo Own in Provo- A 0% deferred payment loan to assist people becoming home owners in the Pioneer Neighborhoods - up to $10,000...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale, Private Mortgage Insurance (PMI) Private Mortgage Insurance is used by Home Loan Buyers to insure the lender against default if the borrower has less than 20 percent down.  Private Mortgage Insurance can be a very costly insurance premium that is necessary as part of loan qualifications set by Fannie Mae and most secondary market investors.  With the right loan, it doesn't have to be an obstacle.  How much does Private Mortgage Insurance Cost? PMI increases your monthly payment and could be tax deductible.  PMI varies, but can be estimated by taking about one-half percent of the total loan amount.  With a home selling for $300,000 and 10 percent down or $30,000, the annual cost of PMI on your $270,000 loan would be approximately $1,350 annually or an extra $1...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale, so you are Considering a Short Sale The time to consider a Short Sale is when your Mortgage is considered to be in default, one or more payments have been missed.  There are a number of solutions available to remedy the situation: Short Sale/Payoff Forbearance agreement Loan Modification Deed in Lieu of Foreclosure A Short Sale occurs when a borrower sells their property for an amount that is less than the amount owed to the lender.  To qualify for assistance the borrower needs to prove that they are experiencing a substantial financial hardship.  A hardship is a situation that has life changing effect for the borrower that results in an in-ability to pay the mortgage debt in either, short or long term: Separation or Divorce Medical Bills Inability to work du...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale, For Sale by Owner (FSBO) vs. RealtorWhen it comes time to sell your home, one big decision needs to be made.  Can I sell my home by myself or should I use a Realtor?  Everybody wants to make as much money as they can when it comes time to sell their home, but it is necessary to maintain realistic expectations if there is to be a successful sale transaction.  The For Sale by Owner option is often perceived to be best way to make the highest profit when selling a home.  In theory, that makes a lot of sense, but there are so many variables that the results usually come out the opposite.  In fact, statistics from the National Association of Realtors report that only 16 % of those who listed their home For Sale by owner, were successful in selling their home.  The...
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By Robert A. Hulme, Home Listing Partner
(Home Buyer Realty Utah)
Utah County Homes for Sale - Contingencies and the Offer When it comes time to make an offer on your new home, occasionally there are a few obstacles that make it difficult.  It is sometimes hard to discover all the potential problems that might go wrong, but you might want to anticipate some so that you can cancel the contract without penalty.  These are called "contingencies and you must make sure to include them when you offer to buy a home. One of the more popular contingencies is having to sell a previous home before purchasing a home.  Making the closing the sale of the home a condition of your offer is important to avoid having to pay two mortgage payments instead of one.  Other popular contingencies include the ability to obtain financing, property appraising high enough for len...
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