Despite all the buzz around refinancing and the HARP revisions, people are still out there buying houses in Michigan.
- Purchase inventory in Metro Detroit is down 28% compared to this same time last year
- MBA numbers show purchase applications have hit a 15 yr LOW!
- Multiple offers are becoming more common and are received right away
- Sellers are typically not counter-offering and are accepting the best offer
The key thing for buyers to remember in this market is that Less Is More. A restrictive purchase agreement that draws too much attention to the appraisal, issues with the inspection before they actually come up, or requesting too many personal property items are all things that can get an offer dismissed.
You will have plenty of time to address these items after the inspection is done and you have the sellers undivided attention. Let the appraiser or the inspector be the bad guy, not the buyer.
Posts tagged HOME REPAIRS
Here it is: Offer Accepted?
The appraisal – What should I know?
The appraisal is a very important part of purchase and refinance transactions. Here is what you need to know:
- Purchase transactions – We schedule the appointment with realtors and the appraiser
- Refinance Transactions – We will have appraiser contact you to schedule appointment
- Appraiser will spend approx. 10-15 minutes inside and outside your home, taking pictures of each
- Do NOT have any active remodeling projects open – The appraiser could make the report “subject to” completion of those items
- All appraisals are good for 60 days
- FHA appraisal: Can be used by multiple banks
- Conventional Appraisal: Cannot be used by multiple banks- Value based on transactions that have closed in the last 60 days
- Takes about 5 business days to receive the report
- New HARP guidelines might help you get an appraisal waiver for refinances!
Underwriting red flags – Required repairs
We have beat the drum fairly hard about the collateral piece “appraisal” being the most important component of the transaction. The next hot topic mortgage underwriters are focuses on are the required repairs from the appraisal.
After 2 sessions with the therapist, we are now confident we have the necessary coping skills to deal with it on our end. Part of our therapy was to revisit our recent experiences to see if we were being just being big CRY BABIES. Watch the video above to see some real life examples of our current challenges.
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