Maine Real Estate Talk: November 2007

Okay, you've decided to purchase Real Estate in Maine! I'm assuming you've read my post on Step One and you are now armed with a pre-qualification letter from your lender. The next step is to sit down for a heart-to-heart talk with your Real Estate Agent.  When you're buying a home, would you know what to do if your financing fell through the day before closing? Or your home inspection found a termite infestation? Or your future neighbors had just built a wall on your property?  A good agenthas handled these issues many times and will be there to guide you through any problems that may arise.  As a buyer, you want someone who knows the Maine Real Estate Market and has the experience handling the particular needs of home buyers, whether it's identifying homes and neighborhoods, negotiating on your behalf, or coordinating the many steps between contract and closing.  So choose your agent carefully..there is a difference!

Once you've chosen your agent, the next step is to sit down for a heart-to-heart talk with your Real Estate Agent.  If they haven't discussed Agency yet, now would be a good time to bring that up. Are you looking for someone to represent you?  If so, then inquire about Buyer's Agency. Your agent will be working in your best interest! Do you just need someone to  handle the paperwork? Then consider transaction brokerage. Make sure your agent explains all the options that are available to you!

The next step is to make a list of your wants and needs.  You might NEED 3 bedrooms, but is the deck a NEED or a WANT? Organizing your thoughts regarding what your needs and wants are will go a long way in helping you narrow  your search. Remember..there is no perfect house! You might have to give up that large yard you wanted in order to get the 2 car garage you need. Some areas you need to discuss are location, lot size, square footage, and number of bedrooms and bathrooms.  Your agent will plug your criteria into the Maine MLS and a list of possibilities will appear! You and your agent will then sit down and begin to eliminate properties that don't meet your needs.  When you're done you'll have a stack of properties that fit your budget, meet your needs, and hopefully fulfill some if not all of your wants.  Check back to see what you will do that stack! 

The Hershey Home Team can help you through each step of buying a home in Maine.  Give us a call!

So you've decided to buy Real Estate in Maine?  Congratulations!  Buying a home is always a wise investment! It doesn't matter whether you're a 1st Time Homebuyer or an experienced Investor, there are certain steps you should take to ensure your venture into the Maine Real Estate Market is a successful one! The first step should always be.....get pre-qualified! Listed below are questions I hear frequently from my clients, along with my answers. Hopefully this will clear up any misunderstandings about the pre-qualification process!

1.  Why should I get pre-qualified?  Ahhh..excellent question!  Let me ask you this....would you walk into a car dealership without knowing how much car you could afford?  Probably not!  More than likely you will know exactly how much you want to spend on a monthly payment.  It works the same way with buying a home! The first thing you should do is to sit down with a lender and figure out how much the bank will lend you to buy a home. That will help you determine how the monthly payment will fit into your budget!

2.  Who will care if I'm pre-qualified?  Everybody! To begin with, your Real Estate Agent will be able to narrow the search parameters down to the homes that fit your needs AND your budget!  That way, you don't waste time looking at homes that you would love but your budget wouldn't! Plus, when you fall in love with a home you'll be able to act on it quickly and send your pre-qualification letter along with your offer! It would be terrible to lose out on the house of your dreams while you're waiting for a letter from your lender.

     The Sellerwill also care! Sellers will know you're a serious buyer if you've already been pre-qualified! Plus it gives them a sense of security that they can accept your offer without worrying that the deal will fall apart over financing issues. In a multiple offer situation, the fact you are pre-qualified could make a huge difference in the sellers decision.  In fact, in todays market, most sellers are requesting a pre-qual letter within 5 days of accepting the offer! So be prepared!

3.  Is it hard to get pre-qualified for a mortgage?  Not at all!  The first thing you need to do is to contact a lender.  Look online...talk to your bank...ask a friend...get a list of 3 and compare rates.  When you meet with them they will ask you questions concerning your job history, current debt, income, and credit history. They will run the numbers and help you determine how much house you can afford.  Generally this can be done in less than an hour!

4.  Does getting pre-qualified obligate me to obtain the mortgage?  Not at all!  If you should decide that it's not the right time for you to buy a home, then you are free to walk away!  A pre-qual letter does mean you have to get a mortgage!

5.  Does being pre-qualified for a mortgage guarantee that I'll get a loan?  Getting pre-qualified is just the first step in the finance process and involves providing the lender with basic information..it does not guarantee that you will get the loan.  Once you locate the home you want to buy, the lender will begin an in-depth process that is composed of various steps. The most important thing to remember is that once you've been pre-qualified, don't make any big purchases that will affect your debt-to-income ratio!  Don't buy a car, run up your credit cards..etc.  That will go a long way in making sure you get final loan approval!

In summary, the first thing you should do is to meet with a lender! Feel free to contact me with any additional questions you may have!  Once you're pre-qualified, be sure to check back and find out what to do next! I'm looking forward to helping you buy a home in Maine!

Ahh...it's that time again!  My favorite time of year is rapidly approaching, as evidenced by the multitude of Christmas Fairs that are taking place all over Mid Coast Maine this weekend!  Plan to visit them all and enjoy homemade goodies, crafts, jewelry, and plenty of opportunities to finish your Christmas Shopping! Many include visits from Santa and a children's shopping area!  If you make it down to Phippsburg, stop and see me at the Phippsburg Scholarship Christmas Fair.  It's a wonderful program that features an incredible lobster stew luncheon as well as table upon table of gifts made by local artists. Proceeds are donated to the Phippsburg Scholarship program, which provides scholarship money to a Phippsburg Senior every year.  You can find me serving the best lobster stew ever, "testing" a piece of pie to make sure it's good, or flitting from table to table as I buy 1 of everything! lol See you there!

 I've listed quite a few, but for a complete list visit www.timesrecord.com .   Happy Shopping!

Moorings Holiday Fair     125 Congress Ave, Bath  Saturday. 9-1

Freeport Lioness-Lions Club Holiday Fair   Harraseeket Grange     Saturday 9-3

Halls of Holly Fair     First Parish CHurch  9 Cleaveland St  Brunswick  Saturday 9-2

Phippsburg Recreation and PTA Scholarship Christmas Fair  Phippsburg Elementary School   Saturday 9-2

St. Luke's Holiday Fair  143 State St, Portland  Saturday 9-3

Holiday Craft Fair   Topsham Fairgrounds Exhibition Hall    Saturday 9-3

Winter Wonderland Christmas Fair  United Methodist Church School St, Lisbon Falls, Saturday 9-2

14 Annual Made in Maine Christmas Craft Show  Mt Ararat High School, Topsham  Saturday 9-4

Those of you who either live in Maine or are lucky enough to vacation here are familiar with the beauty of Maine's protected areas.  Last week Maine voters proved once more how much we value preserving our open spaces, State parks, and historic sites for the enjoyment of both residents and tourists alike!  The Land For Maine's Future program, which is responsible for the preservation of nearly 1 million acres, was aided by the approval of a bond that includes money for land conservation and state park improvements.  Patrick K. McGowan wrote an excellent article for the Maine Sunday Telegram detailing the history and accomplishments of the program. So, among other things, popular Popham Beach will get new rest room facilities, many campgounds will get an overhaul, and Fort Popham will receive some much needed masonry work.  I invite you to come and enjoy the outdoor experience that Maine offers...kayak along the rugged coastline, fish the crystal clear lakes, maybe even climb Mt. Katahdin!! And while you're here, thank a Maine voter for supporting land conservation!