According to the article, Greenville has 196 bars and restaurants and offers a medium home price of $134,875. After the downtown area, Haywood Road area is listed as the area that has the most restaurant activity and generates the most retail sales in the city. 

The top five most fun and affordable cities were: 1) Ocean City, Maryland, 2) Ala Moana-Kakaako, Honolulu, Hawaii, 3) Tempe, Arizona, 4) Scottsdale, Arizona, and 5) Greenville, South Carolina. To round out the top 25, South Carolina had 3 other cities make the list; Florence came in at 13, Myrtle Beach was 15th, and North Carleston was 23rd.

Why do you think Greenville is great?

In consideration for the 2011, the RelocateAmerica team found the best communities that are well position for economic recovery, already experiencing strong economic recovery or have proven overall economic stability. Factors such as employment, education, community leadership and overall quality of life are strongly considered and examined.

Here’s your top ten best places to live:

1. Austin, Texas
2. Grand Rapids, Michigan
3. Boulder, Colorado
4. Raleigh, North Carolina
5. Dallas, Texas
6. Greenville, South Carolina
7. Augusta, Georgia
8. Boise, Idaho
9. Omaha, Nebraska
10. Oklahoma City, Oklahoma

Why do you think Greenville is a great place to live? 

A job fair will be held for positions August 7-11 at the Hilton Greenville, 45 W. Orchard Park. The schedule for the job fair is below:

• Sunday, Aug. 7
• 10:45 a.m.-6:15 p.m.
• Monday, Aug. 8
• 10:45 a.m. – 6:15 p.m.
• Tuesday, Aug. 9
• 12:15 p.m. – 7:30 p.m.
• Wednesday, Aug. 10
• 8:45 a.m. – 4:00 p.m.
• Thursday, Aug. 11
• 8:45 a.m. – 4:00 p.m.

If interested, you can call 1-877-639-5645 to schedule an interview or visit Kohl's Careers for more information.

Fixed-Rate Loans

The fixed-rate mortgage is the most popular mortgage program in use today. Fixed-rate loans offer the borrow a fixed interest rate for the life of the loan, typically 15 to 30 years. Borrowers have peace of mind knowing that their monthly payment will not change over time. Conventional fixed-rate mortgages have underwriting requirements established by Freddie Mac and Fannie Mae, and require certain down-payment and debt-to-equity ratios to qualify. Fixed-rate loans are especially attractive to buyers who plan to stay in their home for more than a few years.

Adjustable Rate Loans

With an Adjustable Rate Mortgage (ARM), the interest rate changes periodically, and payments go up or down accordingly. Rates are tied to an index that reflects the cost of money at any given point in time. Generally speaking, lenders charge a lower initial interest rate for the ARM than for the fixed rate mortgage. If you are expecting interest rates to decrease in the future, or if you are trying to maximize your purchase power today knowing your income will rise in the future, then this loan may be right for you. Adjustable rate loans are attractive for buyers who expect to be in the home for a short period of time.

FHA and VA Loans

The Federal Housing Administration (FHA), offers loans for low-to-moderate-income home buyers. FHA loans have lower down payments, and have relatively easier requirements than conventional fixed-rate mortgages. FHA mortgages have no income restrictions and even those with lower credit scores may be considered. Past bankruptcy does not necessarily disqualify borrowers from using this program!

In addition, the Department of Veterans Affairs (VA) offers a zero-down mortgage program. To take advantage of this program, borrowers need to be among those listed as veterans and service personnel in the U.S. military. One of the biggest benefits of this program is that it eliminates the need for private mortgage insurance!

Local Homebuying Program

There are often many state and local programs available. These programs offer down-payment assistance and programs for local home ownership. Learn more about these local programs, recommended lenders, and other finance options by contacting us today!

1. Mow the lawn twice a week. Every other time you cut the lawn, try mowing on a diagonal to add some dimension.
2. Decorate with summer influenced accents. White and blue are summer colors and have a calming effect.
3. Bring the light inside. Remove those old, heavy, worn out drapes and consider replacing them with shears or lighter fabrics.
4. Go with the flow of summer. With daylight savings in most places around the country, twilight hours now offer a nice time for people to come and tour your home.
5. Move the home outside. Create a warm, inviting outdoor space with furniture and color.
6. Deliver the sparkle. Old school decorating rules don’t apply any more, gold, silver, brass, or pewter, mix them up. Mix and match items to give more depth to your home décor.
7. Supply summer treats and drinks. Every part of the country is known for its flavor of food. Leave out chilled bottled water or freshly baked cookies for your guests.
8. Utilize natural scent sparingly. Don’t get too carried away with the Febreze, try something a little more subtle to freshen up your house.
9. Control the air temperature. There is nothing worse than a stuffy room with no air flow. Make sure to turn on your ceiling fans to keep the air circulating. Bump down your thermostat a degree or two while your house is being shown.

I came across a website that offered helpful tips to reduce your energy bill, not just over the summer, but year around as well. 

• Your dishwasher uses less water than washing dishes by hand. Let the dishes air-dry to save even more!
• Having lots of food in your friends keeps it from warming up too fast when the door is open; so your fridge doesn’t have to work as hard to stay cool.
• You will 1-3% per degree for each degree the thermostat is set above 72 degrees
• Avoid running your appliances during peak hours, from 4PM to 6PM.
• Install window shading – patio covers, awnings or solar window screens to shade your home from the sun; you could save up to 5%
• Refrigerators with a top or bottom freezer design can save you an additional 2-3% on your bill compared to a side-by-side design.
• Purchase ENERGY STAR appliances for your home.
• Install a whole house fan to draw cool air into your home through the windows while forcing hot air out through your attic vents. Best to use this one at night or early morning.
• Install an ENGERY STAR programmable thermostat.
• Change your filters at least once a month.
• Install ceiling fans to help reduce your need to use the air conditioner.
• Take down the old storm windows, if you live in an area where you need them, and put up screens in their place.

Banks have become very conservative when lending mortgage money today. With the current foreclosure challenges in the country, we can’t really blame them. The requirements now necessary to qualify for mortgages have gotten much more stringent and it seems will get even more stringent as we move forward. The banks want to make sure the prospective buyer has the ability to repay the loan. However, this does not just involve the borrower buying the property.

The second way a bank can protect their investment in the mortgage is to make sure that the collateral backing that mortgage is secure. That is where the appraisal comes in. The bank wants to make sure that, should the buyer not be able to make their payments, the house they will be forced to take back will sell for an amount at least equal to the balance left on the mortgage. For that reason, the banks seem to be getting more conservative with appraisals also.

This past week, the National Association of Realtors (NAR) released their Existing Homes Sales Report. In that report, they said:

“11 percent of Realtors® report a contract was cancelled in April from an appraisal coming in below the price negotiated between a buyer and seller, 10 percent had a contract delayed, and 14 percent said a contract was renegotiated to a lower sales price as a result of a low appraisal.”

One out of four real estate transactions was either cancelled (11%) or renegotiated to a lower sales price (14%) because of a low appraisal!!

Bottom Line:

Every house now has to be sold twice: first, to a potential purchaser and then to the bank appraiser. And, it seems that the second sale may be the more difficult of the two. Sit with a local real estate professional and make sure you put together a plan for both sales.

The 4 C’s of Mortgage Underwriting

With Spring upon us, and new buyers out looking for houses, I thought today might be a good time to review the basics of what lenders look for as they decide to approve (or deny) mortgage applications. For at least 25 years, I have heard them called “The 4 C’s of Underwriting”- Capacity, Credit, Cash, and Collateral.  Guidelines and risk tolerances change, but the core criteria do not.

CAPACITY is the analysis of comparing a borrower’s income to their proposed debt. It considers the borrower’s ability to repay the mortgage. Lenders look at two calculations (we call ratios). The first is your Housing Ratio. It simply is the percentage of your proposed total mortgage payment (principal & interest, real estate taxes, homeowner’s insurance and, if applicable, flood insurance and mortgage insurance – like PMI or the FHA MIP) divided by your monthly, pre-tax income. A solid Housing Ratio (often called the front end ratio) would be 28% or less; although, many times loans are approved at a significantly higher number. That’s because your front end ratio is looked at in conjunction with your back end ratio. The back end ratio (referred to as your Debt Ratio) starts with that mortgage payment calculation from the Housing Ratio and adds to it your recurring debts that would show up on your credit report (auto loans, student loans, minimum credit card payments, etc.) without taking into consideration some other debts (phone bills, utility bills, cable TV). A good back ratio would be 40% or less. However, many loans are granted with higher debt ratios. Understand that every application is different. Income can be impacted by overtime, night differential, bonuses, job history, unreimbursed expenses, commission, as well as other factors. Similarly, how your debts are considered can vary. Consult an experienced loan officer to determine how the underwriter will calculate your numbers.

CREDIT is the statistical prediction of a borrower’s future payment likelihood. By reviewing the past factors (payment history, total debt compared to total available debt, the types of monies: revolving credit vs. installment debt outstanding) a credit score is assigned each borrower which reflects the anticipated repayment. The higher your score, the lower the risk to the lender which usually results in better loan terms for the borrower. Scores below 620 are difficult (though not impossible); scores from 620-660 are mediocre; those from 660-720 are considered good; and above 720 are very good. Your loan officer will look to run your credit early on to see what challenges may (or may not) present themselves.

CASH is a review of your asset picture after you close. There are really two components – cash in the deal and cash in reserves. Simply put, the bigger your down payment (the more of your own money at risk) the stronger the loan application. At the same time, the more money you have in reserve after closing the less likely you are to default. Two borrowers with the same profile as far as income ratios and credit scores have different risk levels if one has $50,000 in the bank after closing and the other has $50. There is logic here. The source of your assets will be examined. Is it savings? Was it a gift? Was it a one-time settlement/lottery victory/bonus? Discuss how much money you have and its origins with your loan officer.

COLLATERAL refers to the appraisal of your home. It considers many factors – sales of comparable homes, location of the home, size of the home, condition of the home, cost to rebuild the home, and even rental income options. Understand the lender does not want to foreclose (they aren’t in the real estate business), but they do need to have something to secure the loan against, in case of default. In today’s market, appraisers tend to be conservative in their evaluations. Appraisals are really the only one of the 4 C’s that can’t be determined ahead of time in most cases.

Now, each of the 4 C’s are important, but it’s really the combination of them that is key. Strong income ratios and a large down payment with strong reserves can offset some credit issues. Similarly, long and strong credit histories help higher ratios….and good credit and income can overcome lesser down payments. Talk openly and freely with your loan officer. They are on your side, advocating for you and looking to structure your file as favorably as possible.