Home Financing Tips

 

The Boehmer Team has helped many homebuyers find the most trustworthy and dependable sources for financing a St. Louis or St. Charles County, Missouri home purchase. We often get financing-related questions that our experience helps us answer. But we know to refer to mortgage industry experts to guarantee accuracy of information. Recently we interviewed one of our favorite mortgage experts, Jeff Griege of Paramount Mortgage, to get his expert tips for acquiring home financing at the best price. 

THE BOEHMER TEAM:

What is the very first step that homebuyers should take for getting financing for a home purchase?

JEFF GRIEGE:

Get in touch with a reliable local lender.  Also, listen to your real estate agent if they recommend someone.  They typically have a good relationship with a lender and the agent typically prefers to work with a lender they are familiar with.  

THE BOEHMER TEAM:

Do you recommend that people speak with more than one mortgage loan officer before financing a home?

JEFF GRIEGE:

I think that it is always best to get a second opinion.  Most lenders will have similar rates and fees but the level of service is what separates good loan officers from great ones.

THE BOEHMER TEAM:

Is there anything that homebuyers should NOT do while financing a home purchase?

JEFF GRIEGE:

Do not go out and obtain more debt while you are in the process of purchasing a new home.  This could jeopardize your approval!  DO communicate any material changes that could affect your approval (i.e. job changes) DO NOT hide things.  The more time a lender has to work on a problem the better chance the lender has to solve that problem.

 

Don’t make large purchases, like buying a new car, during the home financing process.

THE BOEHMER TEAM:

What impact do credit scores have on home mortgage financing? 

JEFF GRIEGE:

The higher the score the better your interest rate and cost of private mortgage insurance or PMI (if applicable) is going to be.  Both of these are credit score driven and you will get the best price on both of these if you have a FICO score above 760.  Please note that Credit Karma and other on line credit score companies do not give true FICO scores that mortgage lenders see on a credit report.

THE BOEHMER TEAM:

What is PMI and is PMI always required with less than 20% down?

JEFF GRIEGE:

PMI is an acronym for Private Mortgage Insurance.  It insures the lender in case of default by the buyer.  PMI is always required when a down payment of less than 20% is used but there are ways to work around paying it monthly, therefore possibly saving the buyer money on a monthly basis

THE BOEHMER TEAM:

What is the most asked question you get from people trying to finance a home purchase?

JEFF GRIEGE:

How much can I afford and what are my monthly payments going to be?

Have you tried our mortgage payment calculator to estimate monthly payments on a new home? CLICK HERE to try it now.

THE BOEHMER TEAM:

If two people are purchasing a home together and one has good credit and one has bad credit, what do you recommend they do?

JEFF GRIEGE:

Try and do the mortgage loan on the person who has good credit and put the title of the property in both of their names.  That way the person with suspect credit has ownership in the property but their credit score does not affect the rate since they are not on the mortgage part of the transaction.  Title and Mortgage are two different things

  

THE BOEHMER TEAM:

Can someone with good credit and strong income but not a lot of out-of-pocket money still buy a home?

JEFF GRIEGE:

Yes, you can buy a home with as little as a 3% down payment.

THE BOEHMER TEAM:

What piece of advice do you most often give to homebuyers looking to get a mortgage for a home purchase?

JEFF GRIEGE:

My advice is that everything happens for a reason and to try not to get too emotional through the process so that you are able to think clearly for your financial decisions. 

At The Boehmer Team, we understand that it can be difficult not to get emotions involved when making such a large purchase. We utilize years of experience facing all kinds of unique situations in real estate to coach our clients on anything that arises throughout the home buying process. With the help of great loan officers like Jeff Griege, we make sure our homebuyers have all the knowledge they need to make the best financial decisions for themselves and their families. Thinking of buying a home in St. Louis or St. Charles County, Missouri? Contact The Boehmer Team!

Understanding Your Property Survey

It is a good idea to get a property survey when you buy a home so that you know the location of the boundaries of your property.  If you are financing your home with a mortgage loan, the lender will most likely require a survey.

Surveys can be very simple to read – if you know what you’re looking at.  There are several basic items that are shown on a boundary survey.  These are a few of the most commonly seen items.

3 Of The Most Common Items On A Survey

1. Street Address

This is typically listed on the drawing, as there are times when the common address is not the same as the address acknowledged by the US Post Office.  It is also a verification that a survey was done on the correct property.

2. Lot Number and Subdivision Name

A surveyor bases their survey off of a recorded deed which contains a legal description (also known as a property description).  This includes the lot number, block number and subdivision name.  Again, further clarification that the survey was performed on the lot that you were intending to purchase.

3. Lot dimensions and bearings

In order to know where the lot is, the surveyor will reference the recorded subdivision plat to find data to determine information about the lot being surveyed.  Items that are commonly referenced include:

• Bearings – these are the angular measurements that determines the direction in which a property line runs.  Common directions would be North, North-east, South-east, etc.
• Distances – these are dimensions provide that determine the width and depth of a property.  These are typically listed in surveyors’ feet (ex. 12.5 feet – which is equivalent to 12 feet and 6 inches).  These measurements are a true horizontal distance, not a slope distance.

“Keep in mind that when you are purchasing a “home”, you are not just purchasing a structure.  You are purchasing a lot or a tract of land that just happens to have a structure on it.  Unless you have a boundary survey performed, you won’t know where your land starts and stops.  Fences, mow lines, hedge rows and utility boxes are not accurate depictions as to where land ownership starts and stops.  Having a boundary survey performed will Make It Known What You Own.”  Shelly Clark – owner, Cardinal Surveying & Mapping, Inc.

There are many components to a survey, we’ve just discussed a few.  These key items aide the surveyor and homeowner in verifying what is being purchased and they help protect the interest of the buyer during the purchase of their home.

The Boehmer Team Can Help

When you are buying a home with The Boehmer Team, we help you get the survey you need. We can recommend reputable surveying companies like Cardinal Surveying for you to choose from.  We also will assist you in reading and understanding the survey results. For a great home buying or selling experience, contact The Boehmer Team.