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Scott Schultz's Blog

By Scott Schultz | Agent in Apple Valley, MN
  • Richfield Home Sellers: Want To Rent Out Your Home?

    Posted Under: Home Selling in Richfield, Financing in Richfield  |  February 17, 2012 1:33 PM  |  777 views  |  No comments
    Many Richfield home sellers are challenged with the problem of owing more on their home loans than what their property is worth in today's market. The fact is that in order to sell your property in the Minnesota real estate market you need to be able to pay off your entire mortgage loan in order to sell it. Unless you want to arrange a "short sale" with your mortgage lender, this means you will bring money to the closing table to pay off the remaining balance owed. Many home sellers who need to move now are considering the possibility of making their current home available to rent with the hope of buying a new house.

    The good news today is that with the tougher mortgage market, the amount you can get for rent has increased significantly. Renters find that they are competing with each other to rent out a Richfield home as their is a shortage of quality home rentals available today. Many people are finding that they can more than cover the expenses for retaining the home with these increased rents.

    The goal, of course, is to rent the old home out long enough to allow the real estate market to recover in terms of values. Hopefully within a few years the value of your rental home will rise sufficiently to sell it for enough to pay off the mortgage. The key to accomplishing this is to see if you will qualify for a new mortgage if you have rented out your current home.

    Lenders have guidelines for the Richfield sellers who have made the decision to rent out their house to buy another. Depending on the equity that you have in your home, a mortgage lender may or may not consider the rental income you receive when they qualify you for the new mortgage. The only way to know this is to call a lender to get preapproved.

    Getting Preapproved

    Once we meet to discuss your home's current market value it is critical that you go through the process of getting prequalified for a home loan. Your MN mortgage lender can help you discover whether you should rent out or sell your current house. The process of mortgage preapproval is is usually free and contains no loan obligation. A good mortgage banker will be able to analyze all of the options available to you such as MN FHA loans, VA, conventional, or other types of loans.

    City of Richfield

    A popular city for the Minnesota first time home buyer to find affordable real estate for sale, Richfield has a robust real estate market. Fortunate to be the home to the world headquarters of Best Buy Company, Richfield has been the place of some of the highest job growth numbers in the Twin Cities metropolitan area. As an inner ring suburb, residents in Richfield also have a quick commute to major employers in either Minneapolis or St. Paul. If you are thinking of buying or selling real estate in Richfield please pick up the phone and give me a call.

    If you are considering renting out your current home, please email me for more information.

    Scott Schultz
    Sales Executive, Licensed Realtor in Minnesota
    Remax Results
    scott.schultz@results.net
    Cell 952-221-7419
    Direct 952-431-2400
    Fax 952-431-0420
    14451 Founders Lane
    Apple Valley, MN 55124
    With a focus on Apple Valley real estate and surrounding communities.


    www.scottschultz.remax-northcentral.com
    www.ourteam-remax.com
  • Tips for Richfield First Time Home Buyers

    Posted Under: Home Buying in Richfield, Financing in Richfield  |  February 13, 2012 7:39 AM  |  567 views  |  1 comment
    Are you planning to buy your own home in Richfield, Minnesota? There are some simple things that I would like to share with you about Richfield real estate to help ensure you avoid some of the bigger mistakes that many first time buyers make. With some very basic preparation you can avoid some of the most painful pitfalls.

    First Time Home Buyers: Avoid These 5 Mistakes

    1) Get preapproved for your first time home buyers loan first! I have met far too many first time buyers who find a home first, only to find out they do not yet qualify for financing. It can be an extraordinarily painful experience to go through the work of searching for the perfect home only to find out you are not yet ready to qualify for a loan. You can get prequalfied with my preferred MN mortgage lender right over the phone. There is no cost for the service and absolutley no obligation so why not start the process of preapproval immediately?

    2) Get educated about the process of home buying early on. You can learn a great deal at a first time home buyer seminar or at a Home Stretch Worshop available through many communities around the Twin Cities. There is so much to know about the process that it is well worth it to learn as much as you can, as early as you can.

    3) Get a home inspection on the house you buy. While a home inspection is not required it can sometimes reveal major potential problems in the home before you are fully committed to the purchase. I will help you negotiate a transaction with a contingency upon a professional home inspection that is satisfactory to you so that if the inspection reveals problems, you can back out of the transaction within a specified period of time. Some first time home buyers will skip the home inspection because of the cost involved. The inspection cost is cheap when compared to making a purchase of a home with so many problems that it becomes a money pit.

    4) Take good care of your credit after preapproval. After you have received your preapproval for mortgage financing your Minnesota mortgage company still might need to check your credit again. Make your payments on time and do not open up any new credit. You should avoid additional credit inquiries after your preapproval to avoid a reduction to your credit score.

    5) Be aggressive when shopping for homeowners insurance. If you were to call 3 different homeowner's insurance companies you will get three quotes that can vary by as much as double! Immediately after your loan application you should start your search for insurance estimates.

    City of Richfield

    A popular city for the Minnesota first time home buyer to find affordable real estate for sale, Richfield is an excellent value in today's real estate market. Home to the world headquarters of Best Buy Company, Richfield has been the place of some of the highest job growth numbers in the Twin Cities metropolitan area. As an inner ring suburb of Minneapolis, home buyers in Richfield are attracted to the short commute to large employers of Minneapolis. If you are thinking of buying real estate in Richfield, MN please pick up the phone and give me a call.

    The First Step: Get Preapproved!

    For many MN first time home buyers the big, intimidating question is where do I start the process? Your first step to home ownership is to get preapproved for a first time buyer's mortgage. By doing so you find out how much you are qualified for so that we can search for homes in the right price range.

  • Selling Your Richfield Home In Today's Real Estate Market

    Posted Under: Home Selling in Richfield, Financing in Richfield  |  January 12, 2012 7:23 AM  |  408 views  |  No comments
    Selling a home today in Richfield can be a big challenge, especially with the tough competition from nearby short sales and foreclosures. Real estate values have been declining in part because of the lower asking prices offered through banks who need to bring down their real estate owned inventory. About half of the sales in today's Minnesota real estate market has come from traditional home sellers. Are you searching for help to sell your home in Richfield?

    It has never been more important to enlist the help of a Richfield real estate agent who studies recent trends in Twin Cities market values. When we visit your home as a Realtor to complete a market analysis, we will compare all of the features of your home to the competing homes for sale in your neighborhood. We will need to look at all of the homes for sold within the past few months to determine what the actual sales prices have been. By doing so we can estimate what price a home buyer might pay for your home listing within a reasonable period of time on the market.

    The big challenge for many home sellers today is trying to get enough for their house to pay off the current mortgage on their home. If a property seller owes more on their home loans than what we can sell it for we will either need to discuss paying down the mortgage, attempting a short sale, or listing the current home for rent and in order to move to another home. With rising rents in the market home sellers are quite often finding that they can cover all of the investment expenses for the home through the income from the rental.

    Lenders have specific guidelines for those Richfield sellers who will rent out their home to buy another. Depending on the equity that you have in your home, a mortgage lender may or may not consider the rental income you receive when they qualify you for the new mortgage. The only way to know this is to call a lender to get preapproved.

    Once we meet to discuss the value of your old home it is critical that you go through the process of getting preapproved for mortgage financing on another home. Your mortgage broker can help you decide which of the options are best whether renting or selling your current house. The process of getting preapproved is is usually free and contains no loan obligation. A good lender will be able to examine all of the options available to you such as through MN FHA loans, Conventional, VA, or other types of mortgage financing.

    Richfield Community Info

    A popular city for the Minnesota first time home buyer to find affordable real estate for sale, Richfield, MN represents an excellent value in today's real estate market. Home to the world headquarters of Best Buy Company, Richfield has experienced some of the highest job growth numbers in the metropolitan area. As an inner ring suburb to the Twin Cities, residents in Richfield also have a quick commute to major employers in either Minneapolis or St. Paul. If you are thinking of buying or selling real estate in Richfield please send me an email or give me a call.

    If you think you want to learn more about selling your Richfield home call me. I will work with you to complete a competitive market analysis at no obligation to you. We will discuss your options available in the market today. Feel free to email or call me.

    Scott Schultz
    Sales Executive, Licensed Realtor in Minnesota
    Remax Results
    scott.schultz@results.net
    Cell 952-221-7419
    Direct 952-431-2400
    Fax 952-431-0420
    14451 Founders Lane
    Apple Valley, MN 55124
    With a focus on Apple Valley real estate and surrounding communities.


    www.scottschultz.remax-northcentral.com
    www.ourteam-remax.com
  • Using A VA Mortgage To Buy A Richfield Home

    Posted Under: General Area in Richfield, Home Buying in Richfield, Financing in Richfield  |  August 12, 2011 5:32 AM  |  448 views  |  No comments

    One common financing option for buying Richfield real estate for home buyers is available through lenders who offer loans guaranteed by the Veteran's Administration. This type of financing has increased nationally by about 20% over the last couple of years due in part to the increasing number of our veterans returning from the service. Additionally with the loss of other options for zero down payment loans in Minnesota, the VA offers a benefit that offers eligible buyers a unique opportunity to buy their home with no down payment.

    Richfield VA Mortgages: Not Just For The First Time Buyer

    Many veteran home buyers misunderstand the fact that they may use their VA financing benefit multiple times. As a result veteran buyers do not necessarily need to be a first time user in order to use their VA eligibility. This can be a perfect solution for current homeowners who want to sell their existing home to buy another but who don't have a lot of equity in their home. Since Minnesota VA loans do not require a down payment they might be able to afford to sell their home without receiving any proceeds from equity in order to buy the next.

    First Step for Richfield Veterans: Determining Your Eligibility

    Richfield veterans should discover two things to see if they will be eligible for a VA mortgage. First they ought to see if they will be eligible for a Certificate of Eligibility through the Veteran's Administration. They can apply for the Certificate online or more simply right through their Minnesota mortgage banker. There are several categories for eligibility and I encourage veterans to check with the VA or to research their eligibility online

    Please note that the Certificate of Eligibility offers a guarantee to the lender which will pay off some of the losses to the lender if the home goes into foreclosure. This guarantee is paid for by the veteran home buyer in the form of the �VA funding fee� which is normally financed in the mortgage loan. The funding fee is waived for Richfield veterans who have experienced service related disabilities.

    The second thing a Richfield veteran should determine is if they qualify for mortgage financing. I encourage all veterans to talk with a local mortgage lender to get preapproved for MN VA loans before we go out shopping for Richfield homes. When you go through the preapproval process the banker will review your credit, income, assets, and debts to determine if you meet the VA�s requirements for financing. This critical first step is usually free and requires no commitment on the part of the veteran. In fact, many mortgage lenders offering VA loans will do this right over the phone, even on weekends when you're off work.

    Richfield, MN Community Information

    A popular community for the MN first time home buyer to find affordable homes , Richfield, MN represents an excellent value in today's real estate market. Home to the world headquarters of Best Buy Company, Richfield has experienced some of the highest job growth numbers in the Twin Cities metropolitan area. As an inner ring suburb to the Twin Cities, home buyers in Richfield are attracted to the short commute to large employers of Minneapolis. If you are thinking of buying real estate in Richfield, MN please don't hesitate to give me a call.

    If you want to buy a home in Richfield using VA financing please send me an email or give me a call. Whether you currently own a Richfield home or are looking to buy your first home, VA loans can be a great way to buy a home in Richfield. With record low rates and reduced home values many vets are finding that it is cheaper to buy a home than to rent!

    Scott Schultz
    Sales Executive, Licensed Realtor in Minnesota
    Remax Results
    scott.schultz@results.net
    Cell 952-221-7419
    Direct 952-431-2400
    Fax 952-431-0420
    14451 Founders Lane
    Apple Valley, MN 55124
    With a focus on Apple Valley real estate and surrounding communities.


    www.scottschultz.remax-northcentral.com
    www.ourteam-remax.com
 
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