Home > Blogs > Chris Rooney's Blog

Chris Rooney's Blog

By Chris Rooney | Broker in Prior Lake, MN
  • Moving!

    Posted Under: Moving  |  December 12, 2013 6:51 PM  |  110 views  |  No comments


    [ 'mooviNG ] 

    adjective: in motion. operating. working. going. on the move. active. 

    December 9, 2013

    You may think differently with the holiday season in full swing -  but the end of the year is a great time for growing families to move, and/ or renters to become homeowners. Tax savings, less competition, and upcoming changes for 2014 are all benefits to moving now!

    Tax Savings : Closing on your new home by the 31st is great because you can deduct mortgage interest, property taxes, and points on your loan on your income tax return.

    [If you're not moving, you can still get big savings by taking action now. Make your January mortgage payment in December and get credit for the interest deduction - just a helpful tip!] 

    Less Competition : Generally throughout summer and into the fall months, the market stays very active. Then as winter hits, holidays pick up and people get busy. We see the market react to this as well and it slows. However, it never stops! Listing your home now, with fewer homes on the market can give your property the advantage it wants when it comes to potential buyers.

    Upcoming Changes : New mortgage rules will go into effect at the beginning of 2014 and are meant to avoid a repeat of the housing crisis in 2008 and 2009. With the hope of making mortgage lending less risky, the standards for approving loans are being raised through the Qualified Mortgage (QM) Rule.

    Those that will feel the biggest impact from this update will be those who are struggling with consumer debt and are living paycheck to paycheck. Anyone whose debt-to-income ratio is higher than 43%, will not get approved. Currently, less strict and around 45%, loan officers are noticing a lot of potential buyers are hovering around that mark. Just a few percentages down, can make a big difference. Banks will also limit the fees for originating mortgages to no more than 3% of the loan amount. 

    So what does this mean for you if you're entertaining the thought of a move?

    2014 Forecast : Mortgage rates gradually climbed in 2013 and are expected to rise to 5% in 2014. This, along with the QM rule, will define both the lending industry and the real estate market. In addition, the National Association of Realtors predicts the continuation of raising home prices. So if you're thinking about it, buy/sell now and start 2014 already settled in your new home!

  • Dec. 29 Real Estate Radio Hour

    Posted Under: Foreclosure, Moving  |  January 3, 2013 7:41 AM  |  95 views  |  No comments

    December 29, 2012

    I was on vacation in Florida during Saturday’s show but Andy was able to wrap up the final Real Estate Radio Hour of 2012. He was joined in studio by Jennifer Dierkhising and Jordan Axelrod from Wells Fargo Home Mortgage to discuss refinancing and relocating via an interview Jennifer had done earlier in the week.

    As discussed, it seems as though America is always on the move and we are naturally curious about looking for better opportunities. This is evident when it comes to our homes as well. Wells Fargo Home Mortgage can help by providing many options for home financing that can range from relocating benefits if you’re moving for your job, new construction financing, or options for homes needing renovations. The goal is always to make relocating as hassle free as possible.

    Once your application and appropriate documents have been submitted, the underwriters can approve you. Your home mortgage consultant can help you with more details and information before the loan closing so the transaction is successful. Jennifer also mentioned the Preferred Payment Plan option. Check out the Wells Fargo page for more information! [would link to their page or website]

    Andy was also joined by Jeff Zwiefel from Markve and Zweifel Law to discuss short sales. Many may think that foreclosures are the way to go, but Jeff made some good points about why short sales could be a better option. For one, if you’re thinking about getting back into the housing market sooner rather than later, a short sale may be the right choice. Jeff added you have a little more control in a short sale and don’t have to wait for the bank’s process, as you would in a foreclosure.

    It is important to remember that short sales require you to be proactive. Many servicers for the lenders are not looking at short sales today and won’t allow them after the sheriff sale. Therefore it is critical to get an early start before the property goes into foreclosure. As Jeff recommended, as soon as you think you’re going down that route [you’re falling behind and are underwater] get both real estate and legal advise to determine if you should do a short sale. This way you are prepared before you’re too far into the foreclosure process.

    Jeff also added that if your in the short sale process and have an offer pending, often times the bank will postpone the sheriff sale so your short sale can go through.  He offers a useful kit he calls ‘Instructions for postponing a sheriff sale’ and is willing to send it to those interested. Check out M&Z’s page on our site for information on how to get in touch.

    Jeff and Andy also discussed the tax relief act. I think that is something many are thinking about lately because it is supposed to end today, December 31, but could be extended. The act provides tax relief from debt cancelled by a lender to those going through a foreclosure. That cancelled debt is then considered income for the borrower. As Jeff discussed, this is something that makes sense and he feels it will be extended.

    As always, Andy and Jeff also answered listener’s questions. We love hearing from you and your questions drive the show – so keep them coming!

    Florida was great and the weather was just Ok.  We were able to get Morgan to Disney and my son, Nick, participated in a baseball showcase.  It was a great way to end the year and bring in the new year!  I will be back on air this week and again thank you for listening!

    -Chris Rooney

  • November 3, 2012

    Posted Under: Moving  |  November 12, 2012 3:10 PM  |  50 views  |  No comments

    This past week’s show we covered a lot of different topics. We started off with our special guest, my daughter Morgan, to help me talk about the process of moving and how that affects a family (from a kids point of view). We just moved from Prior Lake this past June, where I have lived most of my life, to Minnetonka. We moved into an actual neighborhood (we had lived her whole life on acreage) so Morgan talked about how hard those changes were as a 9 year old, but how she adapted to the changes in a positive way.

     That’s what’s important when moving. Staying positive. Enjoy your new home and make it the best place possible for you and your family. In addition, Morgan and I also talked about family traditions and she wants to make ours camping…  I am hoping she considers the Holiday Inn a campground.

    We were then joined by Jeff Flannery and Matt Helling of Cambria Mortgage to help us transition into the topic of reverse mortgages.  Yes… the confusing world of reverse mortgages! This has always been a hot topic with Real Estate Radio Hour because, as I mentioned in the show, I’ve been doing this a long time and I’m still working on getting them down.  

    Why do a reverse mortgage?! As Jeff and Matt discussed, reverse mortgages can eliminate large mortgage payments and you can do a reverse for purchase to get into a home without a mortgage payment.  ­They recommend welcoming others such as family members and even your financial planner into the process, so everyone is educated with what is going on. Also, one of our callers asked how does a reverse mortgage end?!  Jeff explained only when the property is no longer the primary place of residence for the last surviving homeowner do you have to pay back the loan. The estate would sell the property, and through the sale, pay back the mortgage.  These are non-recourse loans so that means if the payoff is higher than the value, they can not go after you for the deficiency. 

    To give people a better understanding of this they are hosting a seminar TODAY! November 8. Click the banner on the home page to get more information of where and when.  Until next week…

Copyright © 2014 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer