Montrose Co Real Estate
Montrose CO Real Estate Blog

Is Refinancing Right for You? 5 Questions to Ask Yourself

Refinancing Your Home - Atha Team Real Estate Montrose ColoradoWhen discussing real estate in Montrose, CO, you’ll find it’s almost always more exciting to talk about buying a house than it is to think about the money. Still, refinancing is a topic worth discussing, especially since it can save significant sum over the years. Those savings could even lead you to a bigger and better house later, if that’s what you want.

Should you refinance? Consider your answers to these five questions to see if it makes sense for you.

1. Can You Get a Lower Interest Rate?

Interest rates have been on the increase lately. For most people, however, a refi only makes sense if it lowers the rate by at least 0.75 percent over the current rate. Doing so will cut your costs enough (in the long run) to make the closing costs and hassle worthwhile.

2. Can You Get Rid of Your PMI?

If you have an FHA loan and are paying monthly insurance premiums, having your home appraised may boost your equity. If you can get a high enough valuation that you have 20 percent equity, you may be able to get a conventional loan and kiss that extra payment goodbye. This could save you thousands of dollars per year.

3. How’s Your Credit Score?

If you don’t have an excellent credit score, you likely won’t get a good interest rate — and that can make your refinance much less valuable to you. If your credit score has room for improvement, continue making perfect payments to boost your score and reassess in six months.

4. How Long Will You Stay in Your Home?

It does cost money to refinance your loan, and those costs may or may not be rolled into the principal. Either way, it takes most people about 15 months to break even on the closing costs. If you plan to move sooner than that, your choice to refinance could actually end up costing you.

5. Do You Have a Home Equity Line of Credit?

Since a HELOC is also based on the equity built up in your house, you might need that lender’s permission to refinance. It gets complicated once you have more than one claim on the house as collateral, so you’ll need to do some research about your existing terms if you’re in this situation.

If you’re considering refinancing your Western Slope home, make sure you get great advice from a qualified loan officer. Just as you would work with a real estate agent to buy a house, so too should you work with a professional to get a clear picture of your finances before making the leap.

 

Gaye CoxGaye Cox NuVista Credit Union Montrose Colorado

NuVista Federal Credit Union

SVP of Construction and Morgage Lending

2711 Commercial Way, Montrose, CO 81401

970-497-5328

Email Gaye

NMLS: 502132

 

Atha Team Montrose CO Keller Williams Real Estate AgentsCopyright 2017 Keller Williams Colorado West Realty, LLC. If you have a brokerage relationship with another agency, this is not intended as a solicitation. Equal opportunity housing provider. Each office is independently owned and operated. For sale by owner data not included in research findings. Sales data reflects sales from homes not limited to the Atha Team LLC. This information was gathered from Keller Williams, The National Association of Realtor, CoreLogic data analysis firm, Montrose Association of Realtors, and the Mortgage Brokers Association. This data is considered accurate, but is not guaranteed. Copyright Atha Team LLC 2017. All Rights Reserved.

Montrose Co Real Estate
Real Estate Statistics - Montrose Colorado MLS

August 2017 – Montrose Colorado Real Estate Market Update

Montrose Real Estate Market 2013-2017 Historical Recap

Atha Team Montrose Colorado Real Estate MarketThe Montrose Colorado real estate market has proven resilient with sustained growth trends over the last four years, not only in the number of home sold, but also in home value gains. Homeowners, once underwater in mortgages acquired during last housing peak, have been able to sell at a profit over the last few years. The equity gain over the past four years averaged close to 8% annually, while the number of homes selling per year experienced advances between 8% and 17%. This has truly been a phenomenal season in the Montrose housing market, especially when looking back since 2010 when the Montrose market bottomed out.

Atha Team Montrose Colorado Real Estate MarketA tapering in the market appears to be the theme of 2017, with equity gains down 4% relative to the same period last year. Also, the number of units sold is up only 1% from the same time period last year. Several factors may be contributing to this leveling out of market activity including: affordability, price gain sensitivity, and tight inventories. Years end should provide a better assessment of the 2017 housing market.

1. 2017 – Jan 1st – Aug 1st (YTD)

  • 425 Total Units Sold
    • 1% gain in units sold (from the same time period Jan 1st – Aug 1st 2016)
  • Median Sold Price: $215,000
    • Homes are selling 0.4% below asking price.
  • 2.3% Gain in Sale Price 2016 – 2017  (from the same time period Jan 1st – Aug 1st 2016)
    • Relative to:
      • 6.3% gain 2015 – 2016 (from the same time period Jan 1st – Aug 1st)
    • Evidence that the equity gain in the market (relative to the 7% gain per calendar year as seen in the previous recovery years) is possibly leveling out.

     

2. 2016 – Jan 1st – Dec 31st  (1-Calendar year)

  • 754 Total Units Sold
    • Up 8%, year-over-year, from 2015
    • 55% of total annual sales occurred between Jan 1st – Aug 1st 2016
  • Median Sold Price: $209,900
    • Homes sold 2.3% below asking price.
  • 7% Total annual equity gain/sale price gain year-over-year from 2015

 

3. 2015 – Jan 1st – Dec 31st  (1-Calendar year)

  • 693 Total Units Sold
    • Up 17%, year-over-year, from 2014
    • 57% of total annual sales occurred between Jan 1st – Aug 1st 2015
  • Median Sold Price: $194,900
    • Homes sold 2.3% below asking price.
  • 13% Total annual equity gain/sale price gain year-over-year from 2015

 

4. 2014 – Jan 1st – Dec 31st  (1-Calendar year)

  • 577 Total Units Sold
    • Up 17%, year-over-year, from 2015
  • Median Sold Price: $170,000
    • Homes sold 2.8% below asking price.
  • 3% Total annual equity gain/sale price gain year-over-year from 2014

 

5. 2013 – Jan 1st – Dec 31st  (1-Calendar year)

  • 563 Total Units Sold
  • Median Sold Price: $164,900
    • Homes sold 2.3% below asking price.
  • 9.3% Total annual equity gain/sale price gain year-over-year from 2012

Atha Team Montrose Colorado Real Estate Statistics Graph

 

Thinking about Buying or Selling? Call or Text: 970-417-9375

Atha Team Montrose CO Keller Williams Real Estate Agents

 

Copyright 2017 Keller Williams Colorado West Realty, LLC. If you have a brokerage relationship with another agency, this is not intended as a solicitation. Equal opportunity housing provider. Each office is independently owned and operated. For sale by owner data not included in research findings. Sales data reflects sales from homes not limited to the Atha Team LLC. This information was gathered from Keller Williams, The National Association of Realtor, CoreLogic data analysis firm, Montrose Association of Realtors, and the Mortgage Brokers Association. This data is considered accurate, but is not guaranteed. Copyright Atha Team LLC 2017. All Rights Reserved.

Montrose Co Real Estate
Montrose CO Real Estate Blog

6 Questions to Ask Before Buying New Construction in Montrose

6 Questions to Ask Your Builder Before Purchasing a New Home Build

What could be more exciting than being the owner of a brand new home? For real estate in Montrose CO, choosing to build new instead of buying what’s available can make a lot of sense, especially if you have a highly specific idea of what you want in a home. As with any real estate transaction, though, you’ll need to ask the right questions and do your homework to make sure the house you get is a lifestyle booster — not a lemon.

1. How Much Customization Will You Allow?

Not all builders are interested in custom design changes. If you’re buying a house in a new development, know that the builder may offer a limited selection of finishes and designs, all designed to keep their costs down and their schedule moving. Make sure you know if you’ll be able to get what you want before committing.

2. Do You Offer a Warranty?

Many builders will guarantee their workmanship with a warranty for at least one year. This allows enough time to uncover any problems that might pop up with changes in the season — a leaky basement during the spring rains, for example. Understand your coverage under this important policy.

3. What Will the Neighborhood Look Like in the Future?

If your builder has a master plan for the neighborhood, ask to see it. If not, do a little research into local ordinances and community planning to see what your area is zoned for. This information will help you avoid any unpleasant surprises down the road.

4. Can You Give the Final Price Ahead of Time?

Not all builders will commit to a final price before the house is complete, which helps them cover themselves for changes in the plans, custom finishes and unforeseen delays. This uncertainty can cause problems with your lender and your budget, so it’s important to nail down these details as much as possible ahead of time.

5. Can I See the Fine Print?

Your real estate agent and a lawyer should look over the construction contract to make sure everything seems fair and correct. These documents can get complex, so it makes sense to have someone on your side looking over the wording.

6. When Can I Have an Inspector Take a Look?

Just as you would do a walkthrough with your real estate agent and an inspector before finalizing the sale of an older home, you’ll also want to have an inspector check everything out in new construction.

If you’re interested in new construction, talk to your real estate agent to get started on finding a building project that you’ll love to call home.

 

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Kevin L. Johnson
Vice President – Business Banker, Montrose Branch

NMLS# 1208350
Address: 1561 Oxbow Drive | Montrose CO | 81401
Branch Tel: (970) 240-5489

Cell: (970) 596-0934
Website: www.timberlinebank.com

 

Copyright 2017 Keller Williams Colorado West Realty, LLC. If you have a brokerage relationship with another agency, this is not intended as a solicitation. Equal opportunity housing provider. Each office is independently owned and operated. For sale by owner data not included in research findings. Sales data reflects sales from homes not limited to the Atha Team LLC. This information was gathered from Keller Williams, The National Association of Realtor, CoreLogic data analysis firm, Montrose Association of Realtors, and the Mortgage Brokers Association. This data is considered accurate, but is not guaranteed. Copyright Atha Team LLC 2017. All Rights Reserved.

Montrose Co Real Estate
Montrose CO Real Estate Blog

Different Loans for Your Montrose Home Purchase?

Unless you are one of the lucky few with a full bank account or a big windfall coming your way, you’ll need to consider financing when you decide to buy a house. In fact, it’s often a good idea to line up your home loan and get preapproved for a mortgage before you start shopping so that you’ll be ready to make a strong offer when you find the house of your dreams.

When you shop around for home loans in Montrose Colorado, you’ll notice that there are several types available, depending on your financial and personal situation. Here are the most common types of home loans available:

  • Conventional Mortgages: This is your classic home loan, and it typically requires a 10 to 20 percent down payment. Common terms are for 15 or 30 years. Buyers often need strong credit scores to qualify.
  • FHA Loans: These loans are backed by the Federal Housing Authority and allow borrowers to purchase a home with as little as 3.5 percent of the selling price as a down payment. It’s easier to qualify, but you’ll also have to pay a monthly mortgage insurance premium for the privilege.
  • USDA Rural Housing Loans: The US Department of Agriculture has a loan program to encourage buyers to purchase property in rural areas, and it offers low rates and special terms. You’ll need to meet income requirements, and your property will need to be approved to qualify.
  • VA Loans: If you are a veteran of the US armed forces, you can qualify for a zero percent down payment loan on a home. This is the best possible deal, so take advantage if you can.
  • 203k Rehab Loan: This is a specialty loan for fixer-upper properties that need major renovations before you can move in. You’ll need contractor estimates as well as before and after appraisals to get approved, but it could be well worth the effort if you find a one-of-kind house that just needs some love.

In addition to these basic types of loans, there are many other things to consider, including the pros and cons of fixed vs. adjustable rate mortgages. Work with a qualified, trustworthy mortgage officer to learn more about which home loan is right for you, and you’ll be ready to move into your new Montrose house before you know it.

Photo of Brad Oberto
Brad Oberto
Bank of Colorado
Vice President / Lender
200 N. Townsend Avenue
Montrose, CO 81401
970-240-5909
NMLS: 608071
 

Copyright 2017 Keller Williams Colorado West Realty, LLC. If you have a brokerage relationship with another agency, this is not intended as a solicitation. Equal opportunity housing provider. Each office is independently owned and operated. For sale by owner data not included in research findings. Sales data reflects sales from homes not limited to the Atha Team LLC. This information was gathered from Keller Williams, The National Association of Realtor, CoreLogic data analysis firm, Montrose Association of Realtors, and the Mortgage Brokers Association. This data is considered accurate, but is not guaranteed. Copyright Atha Team LLC 2017. All Rights Reserved.