Your Real Estate
Everything you need to know about buying real estate in the Bonita Springs area.
by Go McGuire Group
ABOUT GO MCGUIRE GROUP
Go McGuire Group Real Estate Brokerage Team
Patrick and Suzanne McGuire are a husband and wife real estate team based in Bonita Springs, Florida. They outwork the competition to help you find the home you've dreamed about!
For honest, ethical and expert Real Estate Services in Bonita Springs, Estero, Fort Myers Beach and North Naples areas, call today! Get used to awesome!
Housing expectations for 2019
The National Association of Realtors publishes informative data every year in regards to housing expectations.
Existing Home Sales:
Median Home Prices:
Potential speed bumps
Tight inventory conditions
Increasing home prices
Rising mortgage rates
Waning consumer confidence
*The Case for Optimism
New housing starts are only now returning to levels seen previous to the last major housing downturn, resulting in low inventory conditions that persist in single family home resales. Expect home prices to continue to climb throughout 2018.
7 Things to consider before buying a home
Buying a home is a big decision to make, and can have an impact on a variety of areas of your life. Here's our top 7 of our best suggestions to consider before committing to a purchase.
Before you buy, strengthen your credits score
Remember, higher credit scores will have lower down and monthly payments. This can represent tens of thousands of dollars in savings over the course of a mortgage.
Determine how much home you can afford, first
Buy housing that runs about two-and-one-half times your annual salary. Prior to looking at homes, speak with a reputable loan originator who can pre-qualify you.
Know where you want to be
Think about your lifestyle, and how it is now. How it might be in 5-10 years? Will the location or property you are interested in still be adequate in that timeframe?
Don't buy if you can't stay put
If you can’t commit to remaining in one place for at least a few years, then owning is probably not for you, at least not yet.
Carefully review your offers and counter offers
Make sure you understand all facets of the offer to purchase, and any counter offers you may receive from a seller. Speak with your buyers agent about any questions you have.
Get a home inspection
A home inspector will provide you a detailed report of the property condition and outline repair recommendations. Get this ordered early so you have time to carefully review the condition of the home prior to removing contingencies.
Make sure you love your buyers agent
A great buyers agent can take the stress out of a home purchase. Our goal is to ensure you find the perfect property, get the best possible deal, and enjoy a worry free experience for the entirety of your purchase transaction.
Rent VS Buy
Which fits your style? Here's a breakdown of some of the differences that effect whether it's the right time for you to buy a home. Take a look at some of the categories, and ask yourself which side you fall under.
I will be in my home for less than 3-5 years.
I will be in my home for more than 3-5 years.
I want to stay mobile or flexible.
I want to start building home equity.
I don’t have time for home maintenance.
I have time for home maintenance.
have debt and/or am repairing my credit situation.
I have little/no debt, and good credit.
I don’t have enough money for a downpayment and closing fees.
I do have enough money for a downpayment and closing fees.
8 Steps to buying a home
Purchasing a home can be quite easy. If this is your first time you will find that there are only a handful of key decisions to make in order to hold the keys to your own home.
Get pre-approved by a mortgage lender.
Select a realtor.
Work with your lender to decide the right loan type.
Shop for the perfect property
Get an accepted offer on a property.
Open escrow, and complete all inspections, disclosures & terms
Work with your lender to complete the loan funding process.
Close escrow with the seller on your new home and ENJOY!
What you don't know about credit
You‘ll need a credit report to make sure your credit score and reporting is accurate. Your lender can work with you on this by giving recommendations on how you can improve or repair your credit, and then assist you in obtaining your home loan.
General Guidelines when it comes to a loan
The higher your credit score, the lower your borrowing costs.
Focus on your credit score before you focus on securing your loan.
Credit score differences add up to thousands of dollars.
Pay close attention to your debt to income ratio.
How your credit score can effect you:
SLEEP ON THE COUCH Few quality loan programs exist. Improve your score.
BUYER BEWARE Subprime mortgages are available, but carry high fees.
Mimium score for a loan with minimal charges. Get good terms with low fees.
Best loan programs and lowest borrowing costs that are available.
Other useful information
Points and Rate on a Mortgage Borrowing money costs money. Loans require interest, which can be paid over time, or up front as additional points. Paying the interest ahead of time results in a lower overall monthly payment. This requires up front cash and is not a payment towards principal. Paying additional points is only recommended for purchases where ownership is long term.
You don’t need a 20% down payment Traditional loans requiring 20% down are no longer your only options. Plenty of public and private lenders off er a variety of loan programs that can provide you a great loan with as little as 3% down. First-time homebuyers have additional state and federal programs available.
Why you need a buyers agent
Purchasing a home actually involves a lot of legal and contractual knowledge, organization and negotiating skills. Don't jump into any deal without consulting an expert buyers agent who can get you the best possible results.
An experienced advocate
The right agent can help with your purchase as well as recommend other trusted professionals that you will need to complete your real estate transaction.
A local Realtor® will help you navigate the requirements of a written offer, as well as the complexities of contractual obligations and the closing of escrow.
Maximize your investment
Home upgrades, repairs, and resale questions can be investigated anytime.
Your agent understands factors that impact you, and can provide advice on when, and how to purchase.
Answer questions after closing
You can still continue to communicate with your agent long after the close of escrow.
An expert in your desired neighborhoods will provide important details you may not know.
What not to do when buying a home
It is incredibly easy to mis-manage funds, or your alter credit during your purchase. Doing so during the loan and escrow period can greatly impact borrowing costs and can even keep you from funding the loan in some cases.
Don’t apply for a new Credit Card!
Don‘t apply for any unsecured debt if possible during the loan and escrow period.
Don’t go furnish the home before you own it!
Nothing is set in stone until the close of escrow. Do not make plans that cannot be cancelled if the deal fails to close.
Don’t buy a new Car!
Changes to your credit score of even a few points can mean thousands of dollars in fees.
Avoid Changing jobs!
Lenders are looking for job security. That new opportunity may need to wait.
Don’t close any Credit Accounts!
Always leave open credit available to you. This is an integral part of your overall credit score.
Don’t get behind on Payments!
Make sure you stay on top of your credit card and rent payments.
Don’t Move Money Without A Paper Trail!
You will need to provide your lender documentation of your finances.
Don’t Spend Your Savings!
Your lender will want to see that you have something set aside for a rainy day.
The Home Inspection
For new resale home purchases, a professional home inspection is highly recommended. The inspection will include but may not be limited to the following:
Roof and Attic
Don‘t expect the report to catch every minor defect. The inspector is looking for serious problems that require repair, or those that will lead to serious problems if a repair is not completed in a reasonable time-frame.
1. Pass or fail?
A home inspection is just a report of the repairs recommended for the property. It is not a pass or fail test. However, some lenders do require certain repairs be completed in order to fund the loan.
2. Handling the repairs found in a home inspection
A completed report can have an effect on the purchase price, your interest in the property, and which repairs need to be addressed prior to close of escrow. The seller may be willing to negotiate terms, and your lender may or may not require some repairs be completed in order to fund your loan.
3. Choosing the right inspector
Home inspections can vary by company, as well as by inspectors individually. Always use a trusted recommendation for a professional that will give you the information you need.
4. Be there!
The day of the inspection, be present with your buyers agent and the inspector. This will help you understand the items that appear on the report, and will give you an opportunity to see the home through the eyes of an objective third party expert.
Contract to close
Once your offer is accepted, the buyers agent will help coordinate what is needed to make sure purchase requirements and all quoted time frames are met.
This is a deposit that shows you are serious about the purchase. It is held in the escrow account, and is non-refundable after contingencies are waived.
The inspection period will be specified in your accepted offer. During this time all property inspections, disclosures from the seller, and repair negotiations must take place.
Approval for your loan will require an appraisal. Your lender will send a neutral third party to prepare a determination of it’s current market value.
Obtain homeowner's insurance
Homeowners insurance is often required to obtain your loan. You may already do business with an insurance broker, or you may elect to use one recommended to you.
A home warranty is recommended for all at least the first 2 years of home ownership. The first year can often be negotiated to be paid by the seller during the escrow period.
Title Insurance protects you and the lender from the possibility that the title is not free and clear. It is typically a requirement for the loan.
Just before close of escrow, a final walk-through of the home will be conducted by you and the agent. This is a check to ensure the condition has not changed.
The settlement statement
You will want to double check the settlement statement carefully for the various items you’ll need to pay for at closing. Have a check ready for the amount required.
Closing day is usually straightforward. You will typically need to bring blank checks, your drivers license, and meet at the title company. Your homeownership awaits!
After the closing
An ongoing relationship with my clients
Despite closing escrow marking the end of the purchase process, it also marks the beginning of an ongoing relationship. Keeping in touch with your real estate agent allows you to continue to use this valuable resource for information whenever you need; referrals for plumbers, electricians, and other service professionals.
Your referrals are key!
Maintaining an ongoing client relationship is just part of an overall commitment to provide a level of service well above and beyond expectations. Your real estate agent greatly relies on word of mouth referrals for additional business. Good referrals allow the agent to devote more time to helping clients and less time finding them.
If your experience is amazing, be sure to tell your friends!
Drop us a note
We greatly enjoy working with buyers and helping them purchase their dream homes. If you’re looking to purchase a new home in the Bonita Springs area, please get in touch today.