The Home Buyer's Korner

Information presented should be used for educational purposes only.

January 21st, 2016

Guy looking up in color

NASHVILLE, TENNESSEE

Home Buyer’s Korner

Real Estate G+

Mortgage Lender

General Contractor G+

Understanding the Millennial Problem

Milliennials

Get Pre-Approved for a Home Loan

First-time home buyers are a crucial missing part of the puzzle to the housing recovery. Their participation in the housing market allows existing homeowners to move out of their starter homes and keep the real estate cycle going. However, they’re having the toughest time buying houses in today’s tight credit market.

Overall, first-time homebuyers haven’t participated in the housing recovery, representing less than a third of all home buyers each for the past two years, according to the National Association of Realtors (NAR). The scarcity of Millennials has pushed down our homeownership rate, which dropped in the second quarter to its lowest level since 1995, according to U.S. Census Bureau data.

Unfortunately, today this group of would-be home buyers faces massive student loan debt, the ability to come up with enough cash for a down payment. Additionally, with tighter credit standards implemented by mortgage lenders and banks as a reaction to Dodd-Frank regulations regarding risk analyst many simply haven’t had the credit scores to secure a mortgage loan.

Millennials, a well-versed group can text with their eyes shut, multi-task all day long and somehow keep in touch with everyone they’ve ever met. But when it comes to understanding how they navigate rough through the home buying process, they’re woefully in the dark and why many of them continue to rent rather than buy.

However, the group accounted for 76% of first-time home buyers last year, according to the NAR’s 2014 Home Buyer and Seller Generational Trends Report. Overall, Millennials made up 31% of home buyers – more than other generations.

Millennial are under the perception that to be a home buyer and accessing mortgage credit you must have spotless, well-established credit and a large down payment, a recipe that discourages our best and brightest.

Simply put, we’ve got to get beyond some of the myths about what’s and isn’t available. The most common is coming up with a 20 percent down payment and the need to have a 740 FICO score.

Both real estate agent and mortgage lenders need to do more to help educate first-time home buyers and rid common misconceptions. There is a faster route to home ownership like FNMA’s 97 conventional financing. With easier credit standard that should come into play with its waiver for banks and lenders to retain a 5 percent stake for loans sold to Fannie Mae and Freddie Mac, there will be more options besides FHA. Private mortgage insurers also have a role to play and often have educational divisions many real estate agents would benefit from by exploring. One of the leaders in the industry has been MGIC and I highly recommend checking out what they will be coming up within education material and low-cost mortgage insurance programs compared to FHA. This mortgage insurance giant also offers training and webinars for loan officers, but real estate professionals could certainly benefit by exploring what they offer. Be sure to include these resources to your self-improvement efforts.

RE marketing logo

WE GET YOUR LISTINGS HIGHLY RANKED ON A GOOGLE SEARCH

LET US BACK LINK TO YOUR LISTING WEBSITE

Livingston Homes for Sale

VISIT OUR NASHVILLE “HOMES FOR SALE” BOARDS

FIND HOMES THROUGHOUT NASHVILLE

HUD FORECLOSED HOMES IN & AROUND DAVIDSON COUNTY TENNESSEE

USDA FORECLOSED HOMES IN & AROUND DAVIDSON COUNTY TENNESSEE

FIND FORECLOSURES AND SHORT SALES IN DAVIDSON COUNTY TENNESSEE

FIND MORE FORECLOSURES IN DAVIDSON COUNTY TENNESSEE

TENNESSEE HOME OWNERSHIP TOOLS

Your Home Purchasing or Refinancing & Renovation Tools,

Home Improvements, Home Renovations,

Mortgage Loan Officers, Real Estate Agents & General Contractors

are ready to assist you with your home purchase.

Here are just a few of the home improvements

you might consider with any Home Renovation loan

Repair or replace a roof

Install, replace or repair gutters and downspouts

Replace, repair or upgrade your HVAC system

Repair or replace plumbing

Install, repair or replace electrical systems

Kitchen remodeling (including the purchase and installation of appliances)

Bathroom remodeling, Full interior painting, Total exterior painting

Repair or replace a septic system and/or well

Disability access (wheelchair ramp, elevator, widen doorways)

Build, repair or replace a deck, patio or porch

Basement waterproofing and finishing

Abatement/Stabilization of lead-based paint hazards

Replace old windows, Room additions, Finish an attic

Add a second story to your home

Replace a termite damaged sill plate (a water-damaged sill plate also)

Possible landscaping items such as correction of grading & drainage problems,

tree removal, repair a driveway and sidewalks

FHA 203K

Your Home Purchasing or Refinancing & Renovation Tool

Mortgage Loan Officers, Real Estate Agents & General Contractors

are ready to assist you with your home purchase

FANNIE MAE HOMESTYLE

The Conventional Alternative to FHA 203K

Great for Real Estate Investors and Second Home Renovations

Mortgage Loan Officers, Real Estate Agents & General Contractors

are ready to assist you with your home purchase

USDA RURAL DEVELOPMENT

Up to $10K for Home Improvements, Renovations or a Simple Remodel

Mortgage Loan Officers, Real Estate Agents & General Contractors are ready to assist you

A SIMPLE HOME SHOPPING INSPECTION TOOL

Organizing your home shopping experience affords a wise decision-making process.

This simple home inspection tool makes your ultimate buying decision a smart one.

To print this document, click on “Open in New Window” located at the lower right corner;

click on “File”; then click on “Print”. In the center of the screen you will

have the option to “Create A Printable PDF of the Presentation”.

START YOUR PATH TO HOME OWNERSHIP TODAY

FNMA HomeStyle FNMA My Community Mortgage FHA One-Time Close Construction Portfolio or VA home loan Homes for Sale REO Short Sales FNMA HomePath Properties HUD Homes USDA Homes Condominiums Co-Ops Townhomes Manufactured Homes Modular Homes Mobile Homes Log Homes Second Homes Investment Property 2-4 Family Custom Home Builders Custom Built Homes Luxury Homes General Contractors Home Improvement Experts Kitchen & Bathroom Renovations Real Estate Brokers & Agents Mortgage Lenders Federal Credit Unions Community Bankers Real Estate Listings Jumbo Investor Hard Money HARP HECM Equity Zero 3% 3.5% Portfolio Non-Warrantable Down Payment Assistance Hazard Flood Insurance Nashville Belle Meade Bellevue Berry Hill Forest Hills Green.Hills Midtown Newsom Oak Hill Pasquo Linton West End West Meade Davidson County Tennessee 37027 37201 37203 37204 37205 37209 37210 37211 37212 37215 37220 37221

Join us at Real Estate Social

Comments are closed.