Is A Reverse Mortgage Right For You

Reverse mortgages are not always the best step for everyone, but when looking at the positives, the reverse mortgage is managing to come out ahead. There are other alternatives like a home equity loan or downsizing to a smaller residence with fewer expenses but for the older homeowner in pursuit of more cash, reverse mortgages can work great.

The Positives of a Reverse Mortgage

• One of the primary benefits of a reverse mortgage is that you can remain in your house. To lose your home, you would have to stop paying property taxes.

• The second major benefit is that you can have readily cash available on-hand when you need it.

• Today’s reverse mortgages are simpler and have limits on them. People applying for these types of mortgages must be given advice, so you’re not going in blind.

• A reverse mortgage can make life more comfortable for older people.

Are you the Perfect Candidate?

There are people that use money frivolously for luxuries and for those falling into this category, you should be cautious before taking out a reverse mortgage. Reverse mortgages are really for those who need to subsidize their retirement income.

Before approval, you are required to meet with a counselor to discuss reverse mortgages, how they work, your expectations and alternatives you may qualify for. But a good candidate doesn’t simply mean eligibility – is this type of mortgage right for you and your needs?

Take a look at this checklist;

 You and your spouse are 62 years of age or older

 The house is your principal residence

 You have lived in the house at least six months out of the year

 You have a lot of equity in your house

 You want to pay down debt

 You do not plan to move

 You are not receiving SSI or money from another government sponsored program

 You have considered the alternatives such as moving to a smaller, less expensive residence

 You understand that the time you have to change your mind is limited, more like 3-5 days

You probably already have an idea of what you could take care of with a reverse mortgage. Feel a sigh of relief, some breathing room for those overwhelmed with bills; but do you know what not to do with your money?

Great responsibility will befall you once you get a lump sum of money. While thinking of a more comfortable life, get some advice from a financial planner to see how to handle your money.

LET’S TALK REAL ESTATE :    REAL ESTATE CYBERTIPS

Going From Homeowner To Renter

During the past few years many well-intentioned homeowners have suffered the wrath of our housing crisis and unfortunately must become a renter. It’s probably been quite a while since you’ve searched for apartments, negotiated with landlords or signed a rental agreement. The single most dangerous mistake you can make is failing to get your rental terms on paper, before the move in.

The differences between a Lease and Rental Agreement

Both leases and rental agreements are legally enforceable and they establish the terms of your tenancy. Both cover basic issues such as the amount of rent, security deposits and who can live in the rental unit. But the primary difference between the two types of agreements is the length of tenancy.

• Rental agreements establish a tenancy for a short period of time, usually one month. A month-to-month rental agreement automatically renews each month unless you or your landlord gives the other the proper amount of notice [typically 30 days] to end the agreement.

A landlord can change the terms of a rental agreement, for example, increase the rent with proper written notice.

• Leases obligate both the tenant and the landlord for a set period of time, usually a year. Your landlord can’t raise the rent or change other terms until the lease ends. Your landlord also cannot force you to move out unless you breach an important term of the lease such as failing to pay the rent, nuisance or other property laws. At the end of the lease you or your landlord may decline to renew the lease or simply negotiate to sign a new lease with the same or different terms.

Oral agreements and un-written understandings…

While an oral agreement is legal and enforceable, it’s difficult to prove and unwise to rely upon. People’s memory become unreliable, leading to who said what and it just turns into misunderstandings.

Which is Better - Lease or Rental Agreement?

A lease provides the tenant with more security than a month to month agreement. A lease is usually the better option for tenants who plan to stay put for the foreseeable future. However a month to month gives you flexibility, especially if you are not intending on staying for a full year. Also, if you are in a bad situation, but are forced to rent a place you’re not all that happy with, a month to month will allow you some place to live while you search for something better.

LETS TALK REAL ESTATE

Helena Talbot – Principal Broker and Owner - Exit Realty Talbot and Company

44121 Harry Byrd Hwy, Suite 205, Ashburn, VA  20147

I specialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

I have over 25 years experience in the real estate industry.  As a Broker/Owner with Exit Realty Talbot and Company, I bring special tools and solutions that enable me to exceed the expectations of my clientele.  If you are considering listing your property in Loudoun County or the nearby areas, ask me about our latest internet marketing systems.  I would appreciate the opportunity to earn your business.

“Thank you for helping us find our Beacon Hill home. You went beyond the call of duty with your email correspondence and helping us with our relocation search. We appreciated your help in negotiating the sale and the smooth closing.” Sincerely, Doug & Sharon

“You were easy to work with and made the selling of my home with its acreage a smooth process while obtaining the best possible price for me.  In addition, you were very conscientious about finding me the best replacement home and coordinating both transactions.  I would gladly recommend your service to any potential buyer or seller.” Regards, Jennifer.

My past awards and designations include – 2003 President of the Dulles Association of Realtors, 2003 Dulles Area Assoc Realtor of the Year, Salesperson of the year 2000 Dulles Area Assoc of Realtors,  Top Producer awards from both the Dulles Area Association and the Northern Virginia Association of Realtors.

I have lived in Loudoun County since 1979.  I am married with two grown children and two grandchildren.  My son in law is my business partner in real estate.  I love to jog in the mornings and spend time relaxing on my Trawler during the summer months.

Loudoun County and Northern Virginia Real Estate Sales and Solutions – Helena Talbot, Broker. I specialize in helping buyers and sellers invest in real estate in the Northern Virginia area to include Loudoun County and surrounding areas including Clarke, Fauquier, Prince William and Fairfax Counties.  Some of our local neighborhoods include Leesburg, Ashburn, Sterling, Potomac Falls, Brambleton, Broadlands, Lansdowne, River Creek, Belmont Country Club, Beacon Hill, Shenstone, Waterford, Lovettsville, Lucketts, Purcellville, Hamilton, Round Hill and Bluemont.  Cell 703.727.9885    Office 703.574.3800

Foreclosure Survival Ideas

 

The one word that strikes pain and fear in homeowners is Foreclosure. But today, being threatened with foreclosure or even receiving formal notices from the bank doesn’t mean you’ll lose your home. You still have some options.

Negotiating with the Lender

Your best approach is to start negotiating with your lender as quickly as you can.

• You may be able to get temporary relief from having to make monthly payments (forbearance).

• A plan to make up for missed payments, at the end of your mortgage

Of course, there are many stories I’m sure you’ve heard where lenders won’t return phone calls or simply refuse to negotiate; however, it is always wise to start with this option since later down the road, you can bring this up as a defense to show they wouldn’t cooperate early on. You can negotiate directly with the lender or work through a non-profit housing counseling agency.

Filing for Bankruptcy

Chapter 13 – with this type of filing you are able to develop a plan for making your regular monthly payments and paying off the arrears. If the bankruptcy court approves your plan, you’ll have between three and five years to make your payments. Chapter 13 also reduces or eliminates your total debt load, making your mortgage more affordable. In many situations, you can eliminate a second or third mortgage and reduce your first primary mortgage to the market value and probably reduce the interest rate to just above the prime rates.

Chapter 7 – with this type of filing you are able to wipe out your unsecured debt like credit cards, personal loans, medical debt, judgments, etc. This will free up more of your funds so you can place the money towards your mortgage. Chapter 7 may not be appropriate for you; because of the equity, if any, in your home, a Chapter 7 filing could trigger the sale of the home.

Fight the Foreclosure in Court

If you can show that the lender or mortgage servicing party violated your state or federal rights, you may be able to derail the foreclosure, at least temporarily. An increasing number of courts are siding with the borrower when it comes to presenting documented evidence of ownership. Because of the way mortgages have been sold and resold, the evidence is either lost or procedurally inadequate, meaning, your paperwork was not completed correctly.

Violations of federal lending rules and other federal and state laws regarding consumer transactions may provide protection against foreclosure.

It’s very important to contact a lawyer and if you cannot afford one, get in touch with legal aid to see if you are eligible for free legal representation.

Disclaimer: Do not construe this information to be legal advice; nothing in this article should be construed by you as a source of a legal relationship. This Legal Information is solely intended for general informational purposes only.

LETS TALK REAL ESTATE

Helena Talbot – Principal Broker and Owner - Exit Realty Talbot and Company

44121 Harry Byrd Hwy, Suite 205, Ashburn, VA  20147

I specialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

I have over 25 years experience in the real estate industry.  As a Broker/Owner with Exit Realty Talbot and Company, I bring special tools and solutions that enable me to exceed the expectations of my clientele.  If you are considering listing your property in Loudoun County or the nearby areas, ask me about our latest internet marketing systems.  I would appreciate the opportunity to earn your business.

“Thank you for helping us find our Beacon Hill home. You went beyond the call of duty with your email correspondence and helping us with our relocation search. We appreciated your help in negotiating the sale and the smooth closing.” Sincerely, Doug & Sharon

“You were easy to work with and made the selling of my home with its acreage a smooth process while obtaining the best possible price for me.  In addition, you were very conscientious about finding me the best replacement home and coordinating both transactions.  I would gladly recommend your service to any potential buyer or seller.” Regards, Jennifer.

My past awards and designations include – 2003 President of the Dulles Association of Realtors, 2003 Dulles Area Assoc Realtor of the Year, Salesperson of the year 2000 Dulles Area Assoc of Realtors,  Top Producer awards from both the Dulles Area Association and the Northern Virginia Association of Realtors.

I have lived in Loudoun County since 1979.  I am married with two grown children and two grandchildren.  My son in law is my business partner in real estate.  I love to jog in the mornings and spend time relaxing on my Trawler during the summer months.

Loudoun County and Northern Virginia Real Estate Sales and Solutions – Helena Talbot, Broker. I specialize in helping buyers and sellers invest in real estate in the Northern Virginia area to include Loudoun County and surrounding areas including Clarke, Fauquier, Prince William and Fairfax Counties.  Some of our local neighborhoods include Leesburg, Ashburn, Sterling, Potomac Falls, Brambleton, Broadlands, Lansdowne, River Creek, Belmont Country Club, Beacon Hill, Shenstone, Waterford, Lovettsville, Lucketts, Purcellville, Hamilton, Round Hill and Bluemont.  Cell 703.727.9885    Office 703.574.3800

Estate Planning And Real Estate

There are many reasons people don’t plan for the one certainty in life – Death. Some people would rather not think about grim thoughts; others could care less about planning and what happens after they are gone. And many people just rest upon false premises that of course their prized possessions would pass on to their loved ones without doubts.

A judge would disrespectfully disagree with those statements and you may be leaving behind one big mess.

• Martin Luther King Jr

• Howard Hughes

• Jayne Mansfield

• Sonny Bono

• Rita Hayworth

• John Denver

All of the people mentioned above died without leaving a will. The civil rights leader, Dr Martin Luther King Jr died without leaving a will and his estate became the jurisdiction of Georgia. Sure, everyone knew he was married to Coretta Scott King and had four children; however, the widow needed to post a bond in the amount of $20,000 for Dr King’s estate. If Dr King had done some estate planning and prepared a Will, it could have expressly stated that the executor, Mrs. King, need not post any bond.

Probate-avoidance isn’t complicated; you simply create a revocable living trust. The trust document names people you want to inherit each item of property. One significant advantage of a living trust is that you can name alternate beneficiaries – people who will inherit if your first choice does not survive you. You can even name alternatives for each of your alternatives.

You name a trustee, the same as if you were to name an executor to carry out your wishes upon your death. The trustee is in charge of keeping complete control of all the property and transferring to family, friends or whomever you named as the beneficiaries; and it’s handled all at no cost. So in the end, say you left your real estate to your eldest son, James Jr., the trustee can simply sign a deed transferring the property to James Jr.

Living trusts are the most flexible way to avoid probate. If there is a challenge to your living trust, it’s extremely difficult to attack. The person challenging your trusts would have to prove your signature was forged or influenced by someone else because you were incompetent at the time.

Setting up a valid living trust isn’t difficult; many do-it-yourself kits are available and you can get it notarized and witnessed to prove your frame of mind. For real estate purposes, a living trust is a wise strategy to avoid court.

LET’S TALK REAL ESTATE

Helena Talbot – Principal Broker and Owner - Exit Realty Talbot and Company

44121 Harry Byrd Hwy, Suite 205, Ashburn, VA 20147

I specialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia. Our local neighborhoods include Leesburg, Ashburn, Sterling, Potomac Falls, Brambleton, Broadlands, Lansdowne, River Creek, Belmont Country Club, Beacon Hill, Shenstone, Waterford, Lovettsville, Purcellville, Hamilton, Round Hill and Bluemont.
I have over 25 years experience in the real estate industry. As a Broker/Owner with Exit Realty Talbot and Company, I bring special tools and solutions that enable me to exceed the expectations of my clientele. If you are considering listing your property in Loudoun County or the nearby areas, ask me about our latest internet marketing systems. I would appreciate the opportunity to earn your business.
“Thank you for helping us find our Beacon Hill home. You went beyond the call of duty with your email correspondence and helping us with our relocation search. We appreciated your help in negotiating the sale and the smooth closing.” Sincerely, Doug & Sharon
“You were easy to work with and made the selling of my home with its acreage a smooth process while obtaining the best possible price for me. In addition, you were very conscientious about finding me the best replacement home and coordinating both transactions. I would gladly recommend your service to any potential buyer or seller.” Regards, Jennifer.
My past awards and designations include – 2003 President of the Dulles Association of Realtors, 2003 Dulles Area Assoc Realtor of the Year, Salesperson of the year 2000 Dulles Area Assoc of Realtors, Top Producer awards from both the Dulles Area Association and the Northern Virginia Association of Realtors.

I have lived in Loudoun County since 1979. I am married with two grown children and two grandchildren. My son in law is my business partner in real estate. I love to jog in the mornings and spend time relaxing on my Trawler during the summer months.

Loudoun County and Northern Virginia Real Estate Sales and Solutions – Helena Talbot, Broker. I specialize in helping buyers and sellers invest in real estate in the Northern Virginia area to include Loudoun County and surrounding areas including Fairfax, Clarke, Fauquier, Prince William Counties. Our local neighborhoods include Leesburg, Ashburn, Sterling, Potomac Falls, Brambleton, Broadlands, Lansdowne, River Creek, Belmont Country Club, Beacon Hill, Shenstone, Waterford, Lovettsville, Purcellville, Hamilton, Round Hill and Bluemont. Cell 703.727.9885 Office 703.574.3800

How Potential Homebuyers Are Buying More With Less

There was a time when keeping up with appearances was a goal for many potential homeowners; no cares or worries about the price, as long as the home was spacious and worthy of the Joneses; the traps of a spending frenzy for big homes, nice cars and gadgets galore.

That thinking is long gone because potential homebuyers have learned that when you buy smart you can get more for less.

You want to approach buying your first house with a financially realistic point of view; the rules are “keep it simple.” Buy smarter. Buy cheaper. Look for the bargains.

Determine what you can afford. The days of easy money are over. Mortgage lenders have tightened their standards and are requiring larger down payments with strict credit criteria. Typically, they want buyers to spend no more than 28% of their gross monthly income on mortgage payments, real-estate taxes and home insurance.

Know your market. Now more than ever, location is crucial, down to the neighborhood and street level. Focus on good school districts, crime statistics and any impending construction or public works that could increase or decrease the value of a home. But compare everything.

Make your dollars count. Although conditions vary by market, look for a home that is significantly lower than its 2008-2010 prices. Yes, there are homes still on the market from 2008 and most are in the “immediate move-in” category.

Haggle. Don't assume the seller is even in the right ballpark with his asking price. Take a lesson from property investors and check out prices from other angles as well. Consider what it would cost to buy land and build a comparable structure.