Martha McDonnell

Since September 2008, we have seen the world spin on its axis at lightning speed. Today, four months later, Americans are finding deep satisfaction in the simple things in life: the love of family, friends and comforts of home. At the same time, we're reducing costs, spending and carbon footprint because it's important and the right thing to do.

We're buying quality rather than quantity and only buying brands that offer top-notch service or opting to pay for it. Flashy and bling are out, and small is the new big. Most will no longer entrust large organizations to manage their money, taking an active hands-on role in managing and evaluating purchases and investments. Americans will continue "cocooning", making house and home more important than ever from both a lifestyle and economic perspective. Real estate will regain its time and tested position as an important component in one's life and portfolio.

Martha McDonnell / Lois schneider Realtor

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Prepare Yourself Financially

• Frequently, we hear of good intentioned buyers who learn they have a low credit score only after getting a mortgage pre-approval. Once you begin your home search, whether this is your first or move-up home, run your credit. This can be done online for free or you can go to any of the three nationwide consumer reporting agencies, Equifax, Experian and TransUnion, who will provide you with a report once a year at no cost. The reason for this is to verify that there is no erroneous or incorrectly reported information. By doing this early on, one has time to remediate the finding before applying for a mortgage or homeowners' insurance.
• Put your credit cards away and do not buy any big ticket items with a revolving payment (automobile). Check out www.credit.com. They have a lot of do-it-yourself tips on how to improve your credit score. Remember, the higher your score, the better your mortgage rate and cheaper homeowners' insurance.
• Cash is STILL king! Put down 20% on a conventional loan and 30% on a jumbo. You are highly likely to get a competitive (under what you see published) mortgage rate from any established national lender.

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Prepare Yourself Financially

• Frequently, we hear of good intentioned buyers who learn they have a low credit score only after getting a mortgage pre-approval. Once you begin your home search, whether this is your first or move-up home, run your credit. This can be done online for free or you can go to any of the three nationwide consumer reporting agencies, Equifax, Experian and TransUnion, who will provide you with a report once a year at no cost. The reason for this is to verify that there is no erroneous or incorrectly reported information. By doing this early on, one has time to remediate the finding before applying for a mortgage or homeowners' insurance.
• Put your credit cards away and do not buy any big ticket items with a revolving payment (automobile). Check out www.credit.com. They have a lot of do-it-yourself tips on how to improve your credit score. Remember, the higher your score, the better your mortgage rate and cheaper homeowners' insurance.
• Cash is STILL king! Put down 20% on a conventional loan and 30% on a jumbo. You are highly likely to get a competitive (under what you see published) mortgage rate from any established national lender.

Buying a home has always been a tremendous personal and financial endeavor. Now more than ever, one must understand the "rules" and dynamics of a new market place! To follow is my insider perspective of how to buy a home in our current real estate market.

Part One

Today it is critical that you physically see what is out there on the market. Looking at listings on the Web is fine but not a good way to establish a foundation or baseline education.

With that being said, hire a hard-working, full-time broker to show you as many properties as you can stomach. Yes, this takes time away from other things you would prefer doing, not to mention patience. Look at properties above your range, track their activity on the Web and ask your broker for current market statistics: what is selling or why a property is "sitting." Remember, all your friends and loved ones will discourage you from buying today. Yes, many are paralyzed by the unknown or fear. Either way, do your homework and stay in front of the market. When you see value or a great opportunity, you will know it is time to make a move, all fear aside.