Sunday, January 22, 2012

Your Closing Statement Explained






Explanation of your HUD1
Is this email not displaying correctly?
View it in your browser.

The HUD1 Settlement Statement

Also called a closing statement

This week's newsletter will give you the details of your closing statement.
It will show fees and charges that relate to the purchase of a home and which party pays for each item.

This is a sample HUD1 settlement statement, these fees and charges are unique to this sample, but it will give you an idea of what your closing statement will look like. The purchase was for $51,000 with a $5,000 escrow for repairs which is an FHA 203b loan. It was a foreclosure.

Line 101 is the purchase price of the home $51,000

Line 103 is the total closing costs charged to the Buyer $9,965.22, in this case the amount includes $5,000 for repair escrow.

Lines 106-112 are the items that have been paid in advance by the Seller and the pro-rated amount from the closing date is due from the Buyer to the Seller-Line 107 $98.83 for County taxes.

Line 120 is the total amount due from the Buyer to the Seller $61,064.05, which are the 3 items above added together.

Line 201 is the credit for your earnest money deposit, in this case it was $1,000.00

Line 202 is the loan amount $56,459.00

Line 205 is a credit the lender gave to the Buyer $564.59

Line 218 is the seller paid closing costs $1,530.00

Line 220 is the total amount paid for or on behalf of the Buyer $59,553.59 which is the total of the 4 items above added together.

Line 303 shows the total amount you owe to the Seller at closing $61,064.05 minus the items that have been paid for or by you $59,553,59 which equals the amount you'll have to pay at closing $1,510.46 in the form of a cashier's check or wire transfer.

If the image of the sample HUD1 isn't clear, email me and I'll send you a copy of it.






Next week's newsletter: Different types of financing available in today's housing market.

The links below give you the option to unsubscribe from my weekly newsletters; go to my twitter profile; go to my facebook profile; forward the email to a friend.

If you have any questions or topics you'd like for future newsletters send me an email.



Credit & Financial Counseling Available

Visit www.vrtmg.com/PHammond for more info and to sign up for credit, financial and estate services.
DISCLAIMER The content provided is presented or compiled for your convenience and is provided for informational purposes only. The information provided on this blog should not be construed as offering legal, financial or other advice to be relied on by the reader to make or refrain from making any decision or to take any action. The investment, mortgage or financial services or strategies mentioned in and throughout this email may not be suitable for you. Nothing in this email should be construed as a solicitation of properties currently under contract with another broker. 
Email Marketing Powered by MailChimp

Wednesday, January 11, 2012

Tax Breaks For Home Owners



Ways home owners can cut down on their tax bills.
Is this email not displaying correctly?
View it in your browser.

Money Saving Tax Tips

 


The newsletter for this week is all about taxes and how you may be able to save money as a home owner.

Did you know you could lower your property taxes if the county appraisal value is too high?
This link from the Wall Street Journal gives more info on how you can do it.

Do you qualify for the homestead exemption?  Search your county tax assessor's website for "homestead exemption" to get all the details.

This link from the IRS is helpful because you can find any tax breaks you may qualify for as a home owner. Be patient and search carefully there's a lot of info on this page.

I hope this info helps you if you're a home owner or soon to be one. As always, consult with the appropriate professional for advice. I'm a Real Estate/Credit Rebuilding Agent.

Next weeks newsletter-Breakdown of the HUD1 and what all the charges on your settlement statement mean.

Find your new home here

Priscilla Hammond

404.503.6562








DISCLAIMER The content provided is presented or compiled for your convenience and is provided for informational purposes only. The information provided on this blog should not be construed as offering legal, financial or other advice to be relied on by the reader to make or refrain from making any decision or to take any action. The investment, mortgage or financial services or strategies mentioned in and throughout this email may not be suitable for you. Nothing in this email should be construed as a solicitation of properties currently under contract with another broker. 
Email Marketing Powered by MailChimp

Wednesday, January 4, 2012

Foreclosure Facts For Home Buyers









Helpful information for buyers interested in purchasing foreclosures.
Is this email not displaying correctly?
View it in your browser.

Must Know Info Before Buying A Foreclosure

 


  1. This property is a distressed sale. The prior owner could not make the payments perhaps for as long as several months, so assume that the proper home maintenance was not performed. This could be an issue in obtaining new financing, as the property must meet certain minimum requirements for  financing.
  2. If you are a foreclosure homebuyer in Georgia, you need to have representation from a Buyer's Agent (Priscilla Hammond) in the transaction that represents YOU as a client, not the listing (Seller's) agent.
  3. Be advised that while you may believe you are getting a great “deal”, it is the LENDER (not the seller or realtor) who determines the condition and value that will establish the terms of the new loan.
  4. This property may be sold “As-Is”, Where-Is”. If this is the case, know that this means the seller (bank, mortgage company) makes no representation as to the condition or habitability of the property. Serious conditions, such as visible or invisible black mold, wiring defects or missing wiring, etc. may exist which could affect the habitability of the home and may even have been an issue in the foreclosure. Even if these conditions may be known to the listing Realtor, they will not be disclosed to you or your Agent.
  5. There is no “seller’s disclosure” as required by the standard Realtor purchase contract (G.A.R) in any non-foreclosure sale. This disclosure holds the seller responsible for defects that are known or should have been known by a reasonable homeowner that are not disclosed to you at the time of contract.
  6. Your earnest money deposit may be non-refundable for any reason. Unlike standard contract sales, foreclosure sellers typically will require a higher amount of earnest money, and will not refund it even if serious problems are discovered with the house and/or it does not appraise for the sales price.
  7. Sellers (usually bank) may attempt to assess a daily penalty (up to $100 a day is common) if you do not close on the contract specified date due to delays that are not seller related. Many factors are involved in the processing and approval of your loan request: documentation analysis, appraisal, legal/title work, etc: delays do occur and all fees are the responsibility of the buyer. This could result in you paying higher closing costs.
  8. The seller will require that you use their pre-selected attorney. While the attorney in a real estate closing represents the lender and not the seller or the buyer, we may be able to accommodate the request if the fees are similar to other real estate attorneys that are on the lender approved list.
  9. The seller will only deliver a “Limited” Warranty Deed at closing, vs. a “General Warranty Deed. This will require that you purchase “owner’s title” insurance, increasing your closing costs but protecting you from any possible future title claims.
  10. It is strongly recommended that you have an inspection done (costs between $250-$550) depending on the size of the home. Appraisals are usually ordered after the inspection period has passed. Be aware that the home inspection is an opinion and not a guarantee or warranty from the inspector. Problems arising after the closing, regardless of severity are the responsibility of the buyer to repair. Your home inspector can recommend additional inspections such as mold, HVAC, plumbing, etc., if unusual conditions exist. These are the buyers’ responsibility as well.
  11. Homes sold at an auction: You should avoid purchasing a home at an auction.


Credit Restoration Services

Our service specialists will help you with a wide range of services to help protect you from identity theft, setting a reasonable budget, disputing items on your credit report and more!!

Home Buying Services


Our Buyer's Agents will prove to be your best choice in Metro Atlanta Real Estate with professional, friendly and thorough service.

Preventing Foreclosure & Selling Your Home

We provide the best marketing resources to get your home sold and to try to prevent foreclosure.
DISCLAIMER The content provided is presented or compiled for your convenience and is provided for informational purposes only. The information provided on this blog should not be construed as offering legal, financial or other advice to be relied on by the reader to make or refrain from making any decision or to take any action. The investment, mortgage or financial services or strategies mentioned in and throughout this email may not be suitable for you. Nothing in this email should be construed as a solicitation of properties currently under contract with another broker. 
Email Marketing Powered by MailChimp

Contact Us


Web Form
First Name   :
Last Name   :
Email   :
Phone   :
Mobile   :