Michael Mergell

Michael Mergell, Managing Broker RE/MAX Ability Plus-Fishers

Buying a new home is a major decision. Choosing a good home builder is also very important. You will want someone who is established and can be trusted, someone has the knowledge and skills in constructing a new home, someone who can manage team of craftsmen skilled at building a quality house.

Do not make the largest purchase of your life, without doing your homework. If you are ready to build your dream home, you must invest the time, to learn more about the Home Builders in your area.

Also, you want to find a builder that constructs the type of homes that you want to built. Different builders have different areas of expertise. You should make sure that you have chosen one with the right expertise.

Finding a home builder that will meet your needs should be easier now than ever. You still have to do your due diligence to check them out. But you will find that almost all of the really good ones are still here and ready to work. They will give you what you want, and that is great, friendly, cost and time effective customer service.

Do your homework and hire the right Realtor. A Realtors services should always be free in a purchase/buyer setting.

MICHAEL MERGELL (317) 645-8717 MICHAELMERGELL@REMAX.NET

Mergell&Associates your EAH Partner

What is Employer-Assisted Housing?

Employer-assisted housing (EAH) includes a variety of housing benefits employers can offer to help their workforce afford homes. An EAH program can help the employer's bottom line by improving employee recruitment, retention, productivity and moral. EAH programs can work for any type of employer-private, public or even non-profit organizations, and in any type of market.

Who Benefits?

An Employer-Assisted Housing Program benefits the employee, the employer, and the community by creating a strong and stable workforce to ensure the community and the local economy continue to prosper for years to come.

Employer Benefits:

• Improved employee retention
• Reduced recruitment and retention costs
• Improved employee morale and perception of employer
• A benefits package with a competitive edge and controllable costs
• More efficient than wage increase and bonuses and has tangible value
• Increased productivity
• Reduced commutes, stress and absenteeism for employees
• Community reinvestment and improved community relations
• Reduction in turnover
• Increased employee homeownership and workforce stability
• Partner with and receive value from the public and private sectors

Employee Benefits:

• Down payment and closing coast assistance
• Help with resolving poor credit history
• Ability to live closer to work (reducing stressful commutes)
• Allows employees to put down roots through homeownership
• Prepares employee for homeownership with step-by-step homeownership education course
• Various based on employers creativity

(317) 645-8717 · MichaelMergell@Remax.net

Mergell&Associates your EAH Partner

What is Employer-Assisted Housing?

Employer-assisted housing (EAH) includes a variety of housing benefits employers can offer to help their workforce afford homes. An EAH program can help the employer's bottom line by improving employee recruitment, retention, productivity and moral. EAH programs can work for any type of employer-private, public or even non-profit organizations, and in any type of market.

Who Benefits?

An Employer-Assisted Housing Program benefits the employee, the employer, and the community by creating a strong and stable workforce to ensure the community and the local economy continue to prosper for years to come.

Employer Benefits:

• Improved employee retention
• Reduced recruitment and retention costs
• Improved employee morale and perception of employer
• A benefits package with a competitive edge and controllable costs
• More efficient than wage increase and bonuses and has tangible value
• Increased productivity
• Reduced commutes, stress and absenteeism for employees
• Community reinvestment and improved community relations
• Reduction in turnover
• Increased employee homeownership and workforce stability
• Partner with and receive value from the public and private sectors

Employee Benefits:

• Down payment and closing coast assistance
• Help with resolving poor credit history
• Ability to live closer to work (reducing stressful commutes)
• Allows employees to put down roots through homeownership
• Prepares employee for homeownership with step-by-step homeownership education course
• Various based on employers creativity

(317) 645-8717 · MichaelMergell@Remax.net

Michael Mergell, Managing Broker RE/MAX Ability Plus-Fishers

People look for the lowest monthly payment they can get on a car, on an apartment and on a house - often the lowest monthly rate, at least at the start of the loan, will be with an adjustable rate mortgage so a lot of folks jump on this in favor of paying a lower out of pocket than they would be paying on a fixed rate loan. This can work very well in some situations, but with the current state of the economy in Canada - this may not be the best option for a first time home buyer.

When Adjustables can be good

If you are only planning on staying in your new home for a very short period of time and the current trend with adjustable rate mortgages is substantially lower than that of the lowest fixed rate mortgage that you can qualify for then the adjustable rate mortgage could work out well for your situation - or if you're exceedingly confident that nothing will make the rates rise during the duration of your stay at the home it could also be the better option - but this is practically impossible to predict.

Some people don't mind the unpredictability that goes along with an adjustable rate mortgage, they don't get flustered with every little fluctuation of the market and can handle the up and down trends with confidence that their rate will rebound. Owning a home can be a stressful situation, especially if it's your first home - if you don't think you can handle the uncertainty of your monthly payment, which could constantly be going up and down, along with all of the other common stresses that go along with home ownership - an adjustable rate mortgage may not be the best for you.

The Pros of a Fixed Rate Loan

With a fixed rate mortgage, you know exactly what you are in for - there will be no secrets or surprises when your statement comes, you bill will remain the same each month. For a first time homeowner this can relieve a lot of the stress associated with the added responsibility of paying for a home. Before you sign your name to the dotted line you can sit down with all of the facts and figures and develop a budget that you are confident that you'll have no trouble paying. With an adjustable rate mortgage, this stability and confidence is impossible to have - sure your rate could go down, but if it goes up will you be able to still pay it? With a fixed rate mortgage this is a question that you won't have to worry about answering.

Some people will say that being bound to an interest rate for the life of your loan can be a bad thing. The truth of the matter is, that rates often do fluctuate - they go up and down, but having a fixed rate loan isn't like a life sentence in prison without the possibility of parole - if rates go down and stay down, you can consult your mortgage company about refinancing your loan to bring your current interest rate down. You may even be able to restructure your loan to pay less each month, while taking some equity out for necessary repairs or improvements at the same time. Locking yourself into a low rate should feel like a safety net, if you start seeing the rates drop after you've had your loan for a while - by all means, refinance and save yourself the money, but if the rates start to climb as the often do, you can rest easy that you are locked in at a good rate.

Your home should feel stable and secure, and with the current state of the economy in Canada things are very unpredictable. The best bet for a first time homebuyer is to compare mortgage rates for the lowest rate the can find and to lock it in for the duration of the loan - that way you'll be safe from any disasters that may occur in the near or distant future and free to make changes at a later date should they become necessary.

MICHAEL MERGELL (317) 645-8717 MICHAELMERGELL@REMAX.NET

Michael Mergell, Managing Broker RE/MAX Ability Plus-Fishers

Before you finalize your first purchase as a property investor, you'll have to ensure that your investment property financing is set up properly. The choices you make about financing an investment property make all the difference in the world in terms of the total cost of the property, as well as to the net capital gain which you will have as a result of your property investment activities. With this in mind, you'll want to examine all of your investment property financing options and choose well from among them.

Do you intend to keep the property as a long-term investment or do you intend to improve it and sell it relatively quickly? Your purpose in purchasing the property will influence the type of financing for investment properties you choose. For example, if you intend to sell quickly, you need to establish financing which will not charge you large fees to pay out your loan early.

The regulations governing financing investment properties vary from state to state, so you'll want to look into what the obligations will be on you. A fixed rate mortgage is generally a good idea for financing investment properties, as this will ensure stability and make planning for your costs much easier.

You should always have a plan B when it comes to financing an investment property. If you find your lender backing out of the deal, you'll have an alternate source of investment property financing that will allow you to proceed with your investment. Due to the current state of things in the financial world, this is especially important.

Before you go about trying to secure financing for investment properties, you'll need to have a good credit rating. This will let you secure financing for investment properties on the best possible terms. The best way to do this is to get yourself in some debt and manage it well. For example, use your credit card rather than cash and keep your balance paid off. This can build you a good credit rating in short order.

You can request a copy of your credit history from the three big credit reporting bureaus do this right away and work to correct anything problematic on your credit history. Once you have a good credit score, you can get investment property financing at much lower interest rates.

Before finalizing any investment property financing agreement, be sure that you understand any implications, which your purchase may have, for your tax obligations. Ask an accountant how to make the best use of your property investment tax-wise. Is it best to make this a personal investment or through a company? Talk to your accountant and get his or her advice on selecting the best financing for investment properties.

The important thing when looking to get investment property financing is preparation. You'll have to build a good credit score so you can get the lowest interest rates possible. You'll also have to have plan for how you intend to deal with your property investment, including how long you plan to keep the property before reselling it. This will help you determine which investment property financing will work best in your case. Finally, talk to your accountant about how your property investment will affect your tax obligation. When you properly prepare, you can take a lot of the work out of financing property investments.

MICHAEL MERGELL (317) 645-8717 MICHAELMERGELL@REMAX.NET