[vc_row][vc_column][vc_column_text]The real estate market isn’t one that you jump into on impulse. Purchasing a home is a big decision and can come with all kinds of ramifications if you get it wrong.If you are unsure about the home buying process as a whole, we suggest reading this post before you go on to get a little more peace of mind.Here is a list of important questions to ask when buying a home. Remember, this is likely a long-term decision and you want to make sure you are getting the most for your money.

1. Are There Any Structural Issues? 

While you’re able to look past some new home problems such as the paint color on the walls or light fixtures in the dining room, structural issues aren’t among them. Structural issues are not something that you can’t easily repair over once you move in – no matter how handy you might be.Structural issues can include all kinds of things. Cracks in the foundation are a big no-no and a sign that you may need to do excavation in the future. Issues with supporting walls are also a significant problem and could render the property unsafe. And inquire more if you see any damp areas in the home, they could be a sign that there are severe issues with the home or that you are in a flood zone.Of course, you don’t have to go digging around the foundation to find out whether a home has structural issues or not. Just hire a home inspector, and they’ll soon inform you of any problems with the property before you close the deal, but while you are house-hunting keep your eye out for what we talked about above.

2. Is the Neighborhood a Safe Bet?

If you’re buying a property, the likelihood is that you’ll be there for a long time: ten, twenty, or thirty years – possibly longer. You will want to know whether the neighborhood you have will be the same as time goes on.It sounds like kind of a silly question, but there’s no denying that neighborhoods can change significantly over time. People can move out, communities can change, and entire industries can rise and fall. It all has an impact on housing.You’ll also want to check whether the neighborhood is good for your family. Sure, the house itself might be great, but if the area is riddled with crime and has terrible schools, then it probably isn’t somewhere you want to live.Definitely consult with your realtor about the area you are planning on moving to. They will likely have the inside scoop on whether or not the neighborhood has staying power and will remain a great place for you to live in the future.(Recommended Read: Why You Should Use a Real Estate Agent)

3. How Old is the Roof? 

Typically, roofs last for a long time. But eventually, even the sturdiest of roofing materials will wear out and require replacement.If you’re planning on buying a property, ask when the roof was replaced last. If it’s more than fifty years ago or they don’t know, then factor that into your consideration – replacing a roof can cost tens of thousands of dollars.If you’re close to a final sale, ask a home inspector to check out the roof. They’ll be able to tell you whether there is substantial damage and if you’ll need to replace it soon.

4. How Long Has The Property Been On The Market? 

The market is usually pretty good at figuring out which properties represent a good deal, and which don’t.If a property has only been on the market a couple of weeks, then that’s great – there probably isn’t anything wrong with it and if there is, it will hopefully be caught during the inspection. If, however, it’s been on the market for a couple of years, you need to find out why.Properties remain for sale for a long time for many reasons. One is that the price is just too high – the owners are asking for too much and aren’t willing to budge. Worse than this, the property has some problems that scared other buyers away. Find out why and decide if you are still interested.

5. Why Does The Seller Want To Move? 

Finding out why the seller wants to move is vital for two reasons: first, it lets you find out more about the area, and second, it gives you a bargaining chip.Sellers move for all kinds of reasons. It could be because they dislike the area, but equally, it might be for job relocation or some other life event. As a buyer, you want to know all of the push factors that could encourage a person to leave a community (such as noisy neighbors). Furthermore, you want to know why the seller is going so that you can negotiate a better price. If they desperately want to move, then you might be able to push them lower.

6. Is The Home At Risk Of Natural Disasters? 

If the price of a home seems too good to be true, then it probably is. More often than not, you find bargain properties in thriving neighborhoods only when there’s the direct risk of natural disasters, like flooding.The first thing to do is to check whether there has been flooding or damaging storms in the area before.You can also take a look at insurance claim records filed by locals or, of course, ask your agent – they will let you know if the area is prone to weather-related damage.

7. What Type Of Properties Are Nearby?

The property you want to buy might be well-maintained, but if the surrounding homes are dilapidated, then it could affect the value of yours in the future. The majority of buyers don’t want to live in run-down neighborhoods, and those that do will often ask for significant discounts.Likewise, you may find that the surrounding properties are better than the home that you want to buy. In which case, you may have found yourself a bargain. People want to live in swanky neighborhoods at a low cost and you can always use this as an opportunity to renovate and increase the value of the home you are buying if you decide to sell!

8. How Many Offers Has The House Received? 

Multiple offer situations are a double-edged sword. On the one hand, it’s a sign that you’ve found a desirable home (or a bargain). On the other, it means that the competition is stiff.If you love a particular house but find out that there are many offers for it, then don’t despair. Stand your ground and wait and see who ultimately wins. Be prepared to raise your offer over time. Your agent will be able to advise you on what the best move is if there are multiple offers on the home you want. They are used to these situations and will be your advocate when the time comes to negotiate.Let our expert team help you find the perfect home! You can reach the CJCO team at 913.521.8806.  Want to come and see us?  Our office is conveniently located at 5000 W. 135th St. Leawood, KS 66224.

When it comes to house-hunting, the road is long and involves so much more than just scoping out the local listings for the most beautiful homes. To make the journey as easy as possible, there are countless variables to consider. Whether you want to change your lifestyle or your financial situation is allowing you to afford more house, there are steps to buying a home that everyone should follow. They may not be glamorous, but they are essential. When it comes to homeownership, “winging it” is simply not an option.For the best results, prepare to do some research before you even start reaching out to agents. There are things you’ll want to know before you embark on this journey. Relying on your own research, along with the trusted advice of your real estate agent can help ease some of the uneasiness that is sure to accompany such a huge decision.

Steps to Buying a Home That Will Make it a Little Less Scary

Step 1: Print your credit report (for free)

First thing’s first–you need to check your credit. This will keep you ahead of the game when contacting lenders and give you an idea of how high (or low) your interest rate will be. As you begin meeting with lenders and they pull your financial information, you’ll be able to spot any errors in their reporting early on. Typically, a FICO score of 620 or above is needed for a conventional loan and some even require that score for an FHA loan. Lenders typically reserve the lowest interest rates for people with a credit score of 760 or above. The higher your credit score, and the longer you’ve been building credit, the better your chances will be of getting a great loan with a low interest rate. Websites like creditkarma.com and annualcreditreport.com are just a few resources where you can access your credit score, free of charge.

Step 2: Get real about your finances

You might already have your eye on a mansion, and that’s great! But remember to be realistic with yourself about your budget. Don’t forget to account for the unexpected when deciding on a reasonable mortgage payment. Never splurge on a home you can’t afford if it will put you at risk of financial instability. To ensure you’re staying within your range, take advantage of resources like Zillow’s mortgage affordability calculator. This is a great resource for setting a budget for yourself. When you have that number in mind,  you can start researching homes within your price range. This will save you (and sellers) a lot of time and potential heartache in the end.[Related article: Figuring Out Your Real Estate Budget: 5 Things to Consider]

Step 3: Find your new best friend–your real estate agent

This is one of the most important steps in the home buying process. Your real estate agent is your go-to person when it comes to reading the fine print in house-hunting. As friends and family if they have real estate agents they recommend. Take advantage of social media to see who the agents are in your area, as well as what their past clients are saying about them and how involved they are in the community. You should feel at ease around this person, and make sure they have your best interest in mind. Great real estate agents invest a significant amount of time and energy into their business. Look for individuals who are going above and beyond to market themselves and get the name into the public eye. And of course, be sure to meet with a few of them too. There’s no right or wrong way to choose an agent. The most important thing is that you feel confident working with them and that they help ease some of these pre-house hunting jitters. Trust your gut. When you know, you know.

Step 4: Let the house-hunting begin

Now for the fun part! Get out in the market and start perusing the listings. You and your agent can come up with a plan to determine what your wants and needs are. Develop a checklist of the things you absolutely cannot live without in your new home. When you’re shopping, this will be a huge help in saving you time and energy fretting over homes that are beautiful, but missing the things you must have. [Related article: The Ultimate House Hunting Checklist]Since you’ve likely crunched the numbers at this point, it’s also beneficial to look into multiple lenders to see if you can get pre-approved. You don’t have to commit to anything, but this will give you an even clearer idea of what mortgage loan you’ll qualify for. Compare interest rates, fees, and give yourself a little breathing room to negotiate, should the opportunity present itself. 

Step 5: Make an offer they can’t refuse

This part can be exciting, and perhaps a bit scary as well. Luckily, your trusted real estate agent will be there to guide you every step of the way. If your real estate agent is experienced and committed, they’ll be well-equipped with the knowledge to help you craft an intelligent offer. Still, there’s always a chance you may not be the highest bidder. It’s normal to get turned down once or twice. Stick within your budget as best you can, and take losses as a sign that something better lies ahead. You don’t have to settle for a home you’re not excited about, you just need a little patience.

Step 6: Don’t stress over home inspections

Often, a home inspection is a necessary step in the adventure of acquiring any home. When your offer is approved, an inspector will take a closer look, spotting any major repairs you may have overlooked. Sometimes there will be unforeseen roadblocks. Ultimately, this is preferable to moving into a home and uncovering thousands of dollars in repairs after everything is signed and set in stone. Trust the process and bring something to help you get stay occupied on inspection day. Bring a notebook and some pens and start planning how you’ll decorate while the inspection is being performed.

Step 7: Cross your t’s and dot your i’s… 

Now for the really exciting part: paperwork and moving over your utilities. The paperwork may feel endless, but it’s a crucial part of the journey to owning your dream home. From start to finish, there will be plenty of fine print. Luckily, the last of it will be what really counts: the closing papers. Before you move in, make sure you put all the utilities in your name, so you won’t be missing any essentials such as heating, internet, cable. At the end of the whole process, you will likely be exhausted. But you’ll also be one step closer to the most exciting part–getting to finally move into your new home!

Step 8: Start planning the housewarming party

If you’ve come this far, now is the time to breathe a huge sigh of relief. It may not happen immediately, but usually, within a few days or weeks of closing, you’ll be ready to move in. Keys in hand, all that’s left to do is pack up the moving vehicles and start the next chapter of your life. And don’t forget to give yourself (and your real estate agent) a pat on the back for a job well done. After all, you just survived all eight steps of buying a home. Invite some friends over and get ready to welcome years of memories in a home you can officially call your own. Now is the time to really celebrate. You’re a homeowner!Are you ready to start the process of buying a home in Kansas City?  Let our team help guide you through the process, from house hunting to negotiating closing costs. Give us a call today!  You can reach us at 913.521.8806. Visit us in person at 5000 W. 135th St. Leawood, KS 66224.

For most people, the thought of buying a new home is equal parts exciting and terrifying, so let’s take a quick look at the 5 main steps in the home buying process so you can get an idea of what to expect before you jump headfirst into buying a new home.

First-Time Buyer? Here is What You Can Expect During the Home Buying Process

1. You Will Need to Determine How Much House You Can Afford

When you schedule a new buyer consultation with Cami Jones Collaborative, we’ll sit down to discuss your wants, needs, and timeline for buying a house—and we’ll also get you in touch with our trusted loan officers for a free pre-approval. Knowing that you’re pre-approved (and for how much) will help you set a home-buying budget, and it also means you’ll be able to move faster through some of the paperwork later on.Insider Tip: Depending on your specific situation, you may be eligible for special loans, grants to help with a down payment or programs offered through your employer. Research online and talk to your real estate agent and lender to find out what resources you may be eligible to make your down payment go further!

2. Preview Homes & Tour Different Areas

Now that you know what you’re working with, you’ll have the chance to view any homes you’re interested in by setting up viewings with your agent. It’s also important to visit the community you’ll be relocating to—take a drive and pay attention to the layout of grocery stores, parks, and schools; have dinner at a new restaurant; try a test run of your new commute to work. Really get a feel for the new neighborhood, especially if you’re deciding between two or more different areas! If are unsure of where you want to live in Kansas City, check out our neighborhood guide!

3. Make an Offer & Negotiate

Once you’ve narrowed down your search to the one perfect home, your agent will prepare the offer to purchase and go over all the details. After the contract is submitted, your agent will expertly negotiate the purchase of your new home with your best interests in mind. Our team is 100% committed to communicating with you every step of the way during the home buying process so you know exactly what is going on and if your offer is accepted.

4. Finalize the Contract and Mortgage Paperwork

Once there’s an agreement with the seller on the terms, the paperwork, inspections, appraisals, and mortgage will be finalized. This is the part of the process that can take a while to get through—and there will be a lot of paperwork to sign—but once it’s done, you can start packing and planning your move to your new dream home!

5. Closing Day

This is the big day! Your agent will be with you as you sign the final paperwork to purchase your new home. Champagne is recommended—or whatever you normally do to celebrate an important life milestone. All that’s left after closing day is to make memories in your new home!Let our team help you find the perfect home in Kansas City. Give us a call today! You can reach our team at 913.521.8806.  Want to come and see us? Our office is conveniently located at 5000 W. 135th St. Leawood, KS 66224

If you’re thinking about moving to Kansas City, or already live here and are looking to buy a house, there are a lot of important considerations to be made and questions to answer. We’ve put together a quick guide of the most important things to figure out before buying a home in Kansas City.

Do These 4 Things Before You Buy a Home in Kansas City

1. Know How Much House You Can Afford (Front and Back-End Ratios)

The general rule is to be prepared to spend no more than 30% of your income on housing, but lenders use a slightly more complicated equation than that. In fact, lenders actually use two equations, called the “front-end ratio” and the “back-end ratio.” The front-end ratio is a percentage of your before-tax income and the back-end ratio is your total monthly debt as a percentage of your income (again, before tax). Standard rates for these ratios are 28% for the front-end and 36% for the back-end, but your lender may use different ratios (if they don’t tell you, ask!).Calculate the front-end by dividing your gross income by 12 and then multiply by 0.28. That’s it, that’s your front-end ratio!The back-end is a little more complicated. Start by adding up all your monthly debts that aren’t connected to your current house, then take your annual gross income, divide by 12, multiply that by 0.36, and subtract your monthly debts.The lower of the two ratios is what you should base your budget on to calculate the maximum mortgage payment you can afford. We know it can be frustrating to have to work within these limits, but it’s better to choose a house that you know you can afford and to invest in that house for the future than to choose a house that will be a struggle to pay for and maintain your current standard of living.

2. Decide What Area You Want to Be In

There are a lot of neighborhoods to consider when you’re buying a home here you should consider your lifestyle and what area works best for you. If you are looking for great schools, you may want to go a little bit outside of downtown. If being close to restaurants and shopping is your thing, then you may want to look around the Crossroads District where all of the action is. Take a look at our guide to Kansas City neighborhoods for more information about what types of people live in each neighborhood.

3. Make a Checklist of What You Want—And What You Don’t Want

The more information you have before you start looking for homes in Kansas City, the less time you’ll have to spend figuring out what you do and don’t want. One of the first decisions you make should be the size and style of home you want, along with anything you absolutely have to have and anything you definitely do not want. You should also make a list of pros and cons for each home you visit and use it to update your house hunting checklists regularly.

Consult with a Local Real Estate Agent

Local real estate agents know the area because they live here and they love KC! Local agents also have a good understanding of the market and can provide important guidance you wouldn’t be able to find on your own.Now that you know what to do before buying a home, you can get started looking for your dream home.Let our team help you find the perfect home in Kansas City. Give us a call today!  You can reach our team at 913.521.8806.  Want to come and see us? Our office is conveniently located at 5000 W. 135th St. Leawood, KS 66224

Are up dreaming about buying a home? Spring is a fantastic time to start looking for a new home, but there may be a few things you back from making an offer on your dream home like your credit rating. If you feel like you will never be a homeowner because you don’t have a perfect credit score right now, then we have some tips that will help improve your credit before buying a home. Here are a few ways to give your credit rating a much-needed boost so that you can purchase the home of your dreams.

How to Improve Your Credit Before Buying a Home

Everything hinges on your credit score when it comes to home financing. It is a simple three digit number, but lenders value what it tells them. They want to see an acceptable credit score so they feel confident that you can fulfill payments on your home loan. Having a good credit score is important when buying a house because you are asking a lender to trust you with a great deal of money for a long time.Here are a few tips on how to improve your credit score:

1. Pay Your Bills On Time

Paying your bills on time each month helps increase your credit score, and it also shows lenders that you are responsible. If you have missed a few payments in the past or been late, then you will just have to do better moving forward. Poor payment history will not haunt you forever if you show that you can pay your bills on time each month for at least a year.

2. Pay Off All Outstanding Collections

You might have to pay off old collections. However, even if you pay off the collections, they will still show up on your credit report for many years. You might have to these to a home loan lender even if you settle the balance in full.

3. Keep Your Credit Card Debt Low

Never max out your credit cards. Ideally, you should only use 30 percent or less of the card amount – ideally you should only use 10 percent of your available credit in order to increase your score quickly. High outstanding amounts push your credit score lower each month instead of increasing it. Check your credit card balance regularly to ensure that you are not using more than 30 percent of your credit each month.

4. Pay Off Debt

It is imperative that you pay off debt to improve your score. Do not go out and get another credit card and then transfer the balance from one card to another. This practice will tank your score, and it will take a very long time to bring it back up to a good number.

5. Do Not Close Unused Credit Cards

Closing unused credit cards will not raise your score. In fact, it might lower it.

6. Do Not Open New Credit Cards

Opening new credit cards might hurt your credit instead of increasing it. If you get a number of new credit cards it looks like an act of desperation and that you need credit fast. This is a red flag and can seriously hurt you.

7. New Credit

If you do not have a long credit history, then it is imperative that you avoid opening up a bunch of credit. You will seem like a risk to the bank. In addition, your score will lower if you have a lot of new credit on your report.

8. Re-establish Your Credit

If you have had a few bumps in your credit history, then you must reestablish yourself. Start out small and show that you can pay off your balances. Remember, responsible credit management not only helps you improve your score but also shows a home lender that you can be trusted to handle money and loans.

9. Be Responsible with Credit Cards

Yes, it’s important that you have credit cards, but not a whole wallet full. Instead, use one or two. Keep the balance low and pay on time.Luckily, you can improve your credit before buying a home! Just follow the above tips, see your credit score increase, and start your journey to becoming a homeowner.When you are ready to buy, let our team help you find the perfect home in Kansas City. Give us a call today!  You can reach our team at 913.521.8806.  Want to come and see us? Our office is conveniently located at 5000 W. 135th St. Leawood, KS 66224

If you’re fighting a fear of commitment when it comes to putting down your roots, renting can seem like an attractive short-term option. Unfortunately, short-term options can quickly turn into long-term solutions, and there are plenty of real benefits to buying a home instead of renting.Here are some of the most important reasons to buy instead of rent in 2019.

Why You Should Buy Instead of Rent

1. The freedom to make changes without asking

As a renter, you need permission from the landlord before you incorporate any real changes to the interior or exterior of the home.When you buy a home yourself, you are your own landlord. That means you can do whatever you want to your house. Make upgrades, repaint, or plant a garden, all without having to speak to a property manager first.

2. The home you buy can appreciate in value

When you buy your own home, you won’t just reap benefits in terms of making your own changes and upgrades; you’ll also experience some financial advantages. While a car depreciates in value over time, the home you buy will most likely appreciate in value.As this happens, it can accrue even faster than a stock would, because you get the appreciation not only on your cash down payment, but also see a return on investment when you decide to sell in the future.

3. Fixed mortgage payments

Rent can change, but mortgage payments are fixed for the duration of your loan. Since your mortgage is likely a big chunk of your monthly budget, this can be helpful in terms of setting expectations and maintaining budget stability throughout your lifetime.Of course, it is important to keep in mind that you could have other costs associated with owning a home that may fluctuate over the years, like insurance and property taxes, for example.Luckily, property taxes are tax deductible, making them a small nuisance in the grand scheme of things. If you were a responsible renter, chances are you were already paying renters insurance and this won’t be a new cost for you.

4. It’s an investment in your future

As a renter, it becomes easy to feel like you’re throwing money out into the abyss with each check you write to your landlord. It contributes to sheltering you for the month, but beyond that, you will never see the money again. When you buy a home, you can actually end up making money if you remain in the residence for a good number of years. You can walk away with even more money if you continue living in your home after it’s completely paid off.

5. Tax benefits

As with any loan, you’ll end up paying some interest on your mortgage. The good news is that there are ways to write that interest off as a tax deduction.Some experts suggest putting the money you get back from these deductions into a high yield deposit account, if possible. This is a great way to ensure your investment continues to pay off over the course of your lifetime.

6. Build your credit

Building credit can be a little intimidating at first, but building and establishing credit is an important milestone. This is because a good credit score is crucial when it comes to borrowing money for most of life’s large and important purchases.Owning a home is one way you can begin building your credit score. If you make your payments on time and remain financially stable, you’ll have an easier time borrowing money for large purchases in the future.Let our team help you find the perfect home in Kansas City. Give us a call today!  You can reach our team at 913.521.8806.  Want to come and see us? Our office is conveniently located at 5000 W. 135th St. Leawood, KS 66224

Everyone dreams of buying a home. First, you figure out exactly how much house you can afford, then you save for the down payment. However, there are other cost factors that you must take into consideration when outlining your real estate budget. There will be additional expenses both when you purchase the home and every month after that. Some people refer to these as the ‘hidden expenses’ of homeownership.

5 Real Estate Budget Considerations (Beyond the Down Payment)

1. Mortgage Payments

This one is a bit obvious, but it is definitely one of the most important things to factor into your budget. When financing a home, you will have monthly payments – and there isn’t really a way around that unless you can buy your home in full with cash. Your mortgage is typically the most predictable cost of buying a home. However, many first-time homeowners mistakenly believe that the mortgage is just like a rent payment and will be the total they owe every month. However, on top of your mortgage payment are other costs.

2. Property Taxes

In many locations, taxes occur twice a year. However, property tax laws vary significantly by county and state. Your real estate agent will know the laws in your area and can let you know what these costs look like. Remember, local governments can often raise property taxes each year to cover a variety of municipal expenses. In addition, increases in your home’s assessed value that occur as a result of renovations or market conditions will also cause your property taxes to increase.

3. Closing costs

Any time you purchase a home, you will almost always have to pay closing costs which are the lender and third-party fees that must be paid at the close of the transaction.Closing costs typically include the following:

• Survey expense
• Appraisal fee
• Underwriting
• Origination fees
• Wire transfers
• Document preparation
• Discount points
• Title insurance
• Credit report
• Recording fees

Insurance

Insurance is a big part of homeownership. Here are the necessary insurances that you may be required to carry:

• Homeowners and hazard insurance. The cost of homeowners and hazard insurance varies significantly by state and geographic location. Hazard insurance also focuses on the natural disasters that occur within your region. As an example, owners in California often need earthquake insurance, and in Florida, they require hurricane, wind, and flood policies. All of these must be considered in your monthly real estate budget.
• Private mortgage insurance: If you do not put at least 20 percent down on your home then you will be required to pay private mortgage insurance (PMI) which is usually figured at up to one percent of the loan PMI insurance helps protect the mortgage lender. The payments for PMI are made each month and included in your mortgage payment. When your principal valance drops below 80 percent of your home’s value, then your lender will automatically cancel the PMI charges.

Extra Fees

Anytime you purchase a home in a planned development; you might be faced with monthly HOA (homeowner’s association) assessment fees. The fees help ensure that all landscaping, painting, guard shacks and other upkeep are maintained regularly.Utilities are another factor that new homeowners often don’t add to their total monthly expense spreadsheet. If you are moving into a larger home, then your energy bill may increase. You can request an estimate of the property’s monthly utility costs prior to buying so you can make sure that you can afford the bill.All of the above fees can add up to a hefty sum so you should always carefully evaluate your savings and real estate budget to guarantee that you can afford the home that you want to buy.Are you looking to buy a home in Kansas City?  Let our team help guide you through the entire process from house hunting to negotiating closing costs. Give us a call today!  You can reach our team at 913.521.8806.  You can also come visit our office at 5000 W. 135th St. Leawood, KS 66224.