CONVENTIONAL VS FHA LOANS

An FHA loan is a mortgage loan that is insured by the Federal Housing Administration (FHA)

So why is an FHA loan a viable option to be considered?

Compared to conventional loans, an FHA loan offers some advantages for borrowers. Some of these advantages are due to recent changes in the rules for FHA loans, along with some changes in guidelines for conventional loans. Here are some things to consider when looking to purchase a primary residence or even if potentially refinancing a current FHA loan:

  • Allowable debt-to-income ratio: this is often higher on FHA loans than conventional loans
  • Waiting periods: If your credit has been impacted in recent years, FHA has the JS Realty Mortgage Loan Approvedfollowing waiting periods that are often much shorter than for conventional loans.

Bankruptcy (Chapter 13) = 1 year
Bankruptcy (Chapter 7) = 2 years
Foreclosure = 3 years [Conventional = 7 years]
Short Sale = 3 years [Conventional = 4 years]

  • Loan Limits: In the DC Metro Area, an FHA loan is limited to $625,500, with a 3.5% down payment. Conventional loans between $417,000 and $625,500 typically require a 10% down payment.

Recently, the FHA reduced the monthly mortgage insurance factors from 1.35% to .85%. This will mean lower monthly payments for purchases and provides current FHA loans to be refinanced with a lower mortgage insurance payment. For example, on a loan amount of $400,000, there is a monthly savings of $161 with the new monthly mortgage insurance payment. In addition, 100% of the down payment can come in the form of a gift from appropriate sources.

Every borrower has a unique need, as far as their loan is concerned. If you have any questions or would like more information, please contact our preferred Lender, Keith Harris at Intercoastal Mortgage Company.

JS Realty KHarris LenderKeith Harris
Senior Loan Officer

NMLS Registry # 838973
Office: 703.259.0788
Mobile: 703.395.6601
KeithH@icmtg.com

 

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

BUYERS GUIDE TO PURCHASING A HOME – Part 1 of 2

One of the most rewarding experiences is finding the perfect home at the right price for our home buyer. The JS Realty Team strives to find that perfect match. From the initial consultation to celebration/settlement day we guide our buyers through the entire process.

During the initial consultation, it is very important for us to find out as much asYoung married couple at desk in a business meeting JS Realty possible about what our buyer is looking for in a home. Every buyer has different needs and we want to tailor their search to those desires. Discussing the buyers comfort price, ideal location, school systems, and housing concerns (number of bedrooms/baths, garage, yard size, etc.) are just the beginning of what we cover during our initial consultation. After that, we follow a few key steps to getting our buyer into their new home:

1. Prequalifying with a Lender – We do this so our buyer will have a clear picture of what their home will cost. It’s important they know what a down payment, closing costs, and the mortgage payments will be in their desired price range.

2. Activate an Automatic Search – After being approved by the Lender, we will activate an automatic search that will send out all the homes that fit our buyer’s criteria. Anytime a new listing enters the market, our system will immediately email the home to our client. Using this feature allows us to stay on top of all new listings!

3. Listingbook Account – All buyers will receive an account Listingbook JS Realtythrough Listingbook which will allow them to search in real time, on their own, through the same MLS system that Realtors use.

4. Schedule Showings – Getting to preview the homes they have selected is an exciting prospect for the buyer. We will plan out a home tour and schedule showings, getting feedback from the buyer on the positives and negatives of the homes. This helps us refine the search and discover what they feel is most important in a home.

5. Offer Contract – Once the buyers finds the home, we will sit down and write the offer.  As we do this, we will explain the many facets of the contract and the contingencies that we build in to protect the buyer. We will include an approved prequalification letter from the Lender for the specific price of the offer being made, along with an earnest money deposit. This deposit is a check made out to Samson Properties will be deposited into an escrow account after the contract has been ratified. The money will wait there until settlement.

6. Submitting the Offer – Once we submit the contract and all appropriateDiscussing business activity JS Realty paperwork, the negotiating begins. This is where our experience of selling over $200 million in Real Estate transactions enables us to negotiate the best deal possible for our clients. If buyer and seller agree to all terms of the contract, we are ratified!

There’s still a way to go before calling the moving trucks! Read the 2nd half of our Buyer’s Guide, where we will walk you through the inspections, appraisal, and settlement.

 

UPCOMING EVENTS IN BRAMBLETON & LOUDOUN COUNTY

Here’s a snapshot of some fun events coming up in Brambleton & Loudoun County!

::BRAMBLETON::

Saturday, March 14th
Brambleton’s 3rd Annual Comedy Night featuring Brian Parise

Tickets: $25 per person – includes show, dessert bar, and late night DJ.
Cash bar will be available.
Tickets & Event Details Here

Sunday, March 22nd, 2:00-6:00PM
Sexy Summer Showcase
We want you to love summer! The Sexy Summer Showcase will feature many local vendors offering the latest in fitness, health, and beauty.  Free bra fittings from Essential Bodywear, tips from Barre-Yo, Fitness Image Results, Tan Organiq, Lulu Lemon/IVIVVA, Beauty Counter Cosmetics and others to get ready for your best summer yet! Free Barre-X trial class will be offered immediately following the fair at 6:30 PM.  Light refreshments will be served. This event is FREE, but please RSVP by emailing Beth Huck at beth.huck@brambleton.org.

April 18,2015
8th Annual Step Sisters’ 5K Ribbon Run/Walk
StepSisters logo2The 8th annual Brambleton Ribbon Run/Walk will bring together an estimated 2,000 runners and walkers from the Brambleton community and beyond, united in an effort to improve the quality of life for those impacted with breast cancer here in Loudoun County. Click here to register or donate.

April 25,2015
Community Shred  – 8:30-11AM
Event held in parking lot behind FOX Cinemas, off Northstar Blvd

April 25,2015
Spring Yard Sale
Community Center Parking Lot + participating homes.  Visit Brambleton’s website for details!

For a complete list of events in Brambleton, click here.

::LOUDOUN COUNTY::

FAMILY DAYS at the Air & Space Museum!
Saturdays – March 14 & 21, April 11 & 25, May 2
Udvar-Hazy Center
14390 Air and Space Museum Parkway
Chantilly, Virginia 20151
Admission: Free, Parking $15
EVENT DETAILS HERE

St. Patrick’s Day Concert: LÚNASALunasaLive
Tuesday, March 17th, 8:00PM
Franklin Park Arts Center
36441 Blueridge View Ln
Purcellville, VA 20132
Tickets: $55
Internationally recognized as the finest Irish instrumental band of recent times, Lúnasa has performed around the world, appearing at venues including the White House, the Hollywood Bowl and the Sydney Opera House. Now on tour from Ireland, Lúnasa is coming to Franklin Park to inaugurate a new tradition: A St. Patrick’s Day concert. Join us to hear the passion and virtuosity that has brought Lunasa to the forefront of authentic Celtic music.
Reserved seating. Call Box Office: (540)338-7973

2nd Annual Shakespeare in the ‘Burg Theatre Festival
Friday – Sunday, March 27-29th

Hamlet in the BurgThe 2nd annual Shakespeare in the ‘Burg theatre festival brings the internationally acclaimed American Shakespeare Center (ASC) back to the quaint, historic village of Middleburg.

This year ASC presents: Hamlet and Much Ado About Nothing

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

AN OVERVIEW OF LOUDOUN COUNTY’S 2014 HOUSING MARKET & 2015 TO-DATE

As you may recall, we had a long and cold winter in 2014. shovel snow
It has been said that the weather played a role in our local economy. The year started out strong, but quickly shifted into an unusually slow spring market and then to an even slower summer/fall market. However, when we look at the big picture, it wasn’t all bad.

Here’s the big picture: Market Statistics-LoudounCountyVA-2014

Sales were down -7.89% for the year in Loudoun County, but the good news is that the Average SOLD Price was actually up by +3.5%. And even though the number of homes sold were down, the average days on the market also decreased – from 59 day on the market (DOM – 2013) to 44  days (DOM – 2014). Essentially, houses were sold over 2 weeks quicker!

We are looking forward to a strong and steady 2015, and so far all indications real estate market graph increaseare showing that this year is starting out strong! In January of 2015, closed sales showed a modest increase of +1.8% higher than in January 2014. There were 589 new listings that posted this past January, a +5.4% increase over the number listed in the same month in 2014. The $410,000 median sales price this January was 4% lower than the same month last year, though the $550,000 median sales price for detached homes increased 5.7%. The median list price for new pending sales was $420,000, less than 1% below last January’s $423,982 level for new pending sales.  This reflects a recovery from our slower summer/fall of 2014.

As you can see, all in all, things are looking UP for 2015!

Want to understand more about your neighborhood? Contact us today for detailed information about your neighborhood. We are always happy to provide a FREE HOME ANALYSIS!

 

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

10 THINGS TO DO OVER SPRING BREAK IN LOUDOUN & FAIRFAX COUNTIES

1. Hop over to FAIR OAKS MALL and visit the Easter Bunny!
NEW interactive Bunnyville attraction and photo Hopportunity! Attraction opens March 28 through April 19. Times vary. Visit the Events site for details.

2. Easter Egg Hunt at Lake Fairfax Park Chocolate bunnies
Sunday, March 29th – sessions run 11AM – 3PM
Hunt for eggs filled with treats and treasures on the grounds at Lake Fairfax Park. Pre-paid reservations required.
Register here.

3. Play at the Claude Moore Rec Center
46105 Loudoun Park Ln.
Sterling, VA 20164
Admission includes: access to the fitness center, competitive pool, leisure pool, gymnasium, indoor track, and open time on the rock wall.
One Day Resident Fees:
$3.75 ages 3-17
$5.50 ages 18-54
$3.75 ages 55

4. BOUNCE! At Pump It Up
Pump It Up of Loudoun County
73 Lawson Rd SE
Leesburg, VA 20175-4427
MANIC MONDAY JUMP, 12 – 2PM: Not only will each paid participant receive a playtime-with-kidsfree bag of popcorn after their fun filled 120min of jumping, but they will spin the prize wheel to have an opportunity to bounce for FREE or win special prizes. This is completely MANIC right? 10.00 per child. Please check our online schedule for availability.
2 FOR 1 TUESDAY GLOW JUMP, 12 – 2PM: This jump is a 2 for 1 child price, single jumpers are 11.00, so bring a friend or a sibling and let them bounce for FREE, or share the cost of one bounce and you both bounce for 1/2 price.

5. Movie Maddness! FREE Movie Matinees & Family Game Nights!
Visit the website to search for dates and times – see The Lego Movie, play Minute-to-Win-It, and so much more… for FREE!
Participating Libraries:
Ashburn, Cascades, Gum Spring, Purcellville, Rust, Sterling

6. Spring Break Make & Take – Crafting Fun!arts-and-crafts-table
Tuesday, 3/31, 2 – 4PM at Gum Spring Library
Spring-themed craft (all ages)
Wednesday, 4/1, 2PM at Sterling Library
Bring a shoebox and craft a Peeps diorama (all ages)
Click here for more information.

7. FLY A KITE DAY! Thursday, April 2nd
April is National Kite Month! Celebrate Spring at the Middleburg Community Center by flying a kite. Bring your own kite to fly or create a paper kite there! Please call 540-687-6375 to RSVP by Monday 3/30.

8. Spring Break Camps – Loudoun County Parks, Recs, and Community Services
March 30 – April 3, 7:30AM – 6:00PM each day
Camps offered at:
Bluemont Community Center (Bluemont)
Liberty Elementary (South Riding)
Algonkian Elementary (Sterling)
Register Here

9. Shop at Dulles Town Center (Sterling)
Visit the redesigned Food Court, Check out the New National’s Baseball themed “Kidtopia” Play Area, Regal Cinema 10 – now open! Play at Hadley Park – tucked away between Kent & Champion Drive, off Dulles Center Blvd.

10. “Flights of Fancy” — Stories for Childrenudvar hazy
 
Tuesday, March 31, 11AM and 11:30AM
 Admission: Free, Parking $15
Museum staff will read Man on the Moon by Anastasia Suen

                Afterwards, visitors ages two through eight-years-old will take part in a hands-on activity.

Boeing Aviation Hangar
Udvar-Hazy Center
14390 Air and Space Museum Parkway
Chantilly, Virginia 20151

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

REVIEWING AN OFFER TO PURCHASE YOUR HOME – Part 1 of 2

Great news – you’ve received an offer to purchase your home! …Now what?

In this 2-part series, we’ll walk you through everything to consider when reviewing an offer to purchase your home for a successful and smooth transaction.

Fully understanding all the points of the contract is imperative to negotiating the best possible result for our seller. The JS Realty Team strives to ensure our sellers have the best possible outcome in the many facets of the Real Estate transaction.

Now that you have an offer on your home, you and your agent need to do your due diligence on researching the offer. Whether you receive 1 offer or 5 – the Hands reviewing real estate property documents.contracts need to be carefully reviewed to ensure you know exactly what the potential buyer is proposing. Only after you have reviewed and researched all offers will you be able to proceed to choose the contract that works best for you.

At JS Realty we like to list all the negotiating points of the contract(s):

  • Sales price
  • Seller subsidy
  • Down Payment
  • Loan type
  • Earnest Money deposit
  • Settlement date
  • Title Company
  • Inspections – Termite, Home, Radon, Well and Septic
  • Home Warranty
  • Contingencies – Appraisal, Financing, HOA or Condo
  • Post settlement occupancy

First we will call the buyer’s lender and confirm that the lender has verified the buyer’s credit scores, income, debt to loan ratio, and money needed for down payment and closing costs. You do not want to ratify a contract and take your home out of “active” status, only to find out the buyer does not qualify for the loan.

Next we ask the following key questions about the offer and where the money is coming from:

  • How much did the buyer offer?
  • Are they asking for closing cost assistance?
  • What type of loan (conventional, FHA, VA or other) program?
  • Does the buyer’s down payment match up to the type of loan?
  • How much money did the buyer commit to an escrow account at the time of writing the offer? Note: We like to see a minimum of 1% of the sales price.

After you’ve answered the finance questions, it’s time to talk settlement dates! Make sure (as the seller) the date the buyer has chosen will work for you. Do you have enough time to schedule your move? Does the timing fit your moving plans? Do you need a rent back?  This is when you negotiate the timing of the transaction. Once you ratify the contract, you lose your leverage to negotiate different terms.

Now we will carefully review the conveyance section of the contract, making sure only the items that are supposed to convey are checked.  For example, if you do not want to convey your new front loading washer/dryer, now is the time to make sure the buyer did not ask for it!

Check back next week for Part 2Inspections, Warranties, Contingencies & Post Settlement Occupancy.

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

REVIEWING AN OFFER TO PURCHASE YOUR HOME – Part 2 of 2

Great news – you’ve received an offer to purchase your home! …Now what?

House contractIn this 2-part series, we’re walking you through everything to consider when reviewing an offer to purchase your home for a successful and smooth transaction.  If you missed PART 1, you can find it here.

 

Now that we’ve reviewed the offer, checked out all the loan info and gotten a settlement date, it’s time to discuss Inspections, Warranties, Contingencies, and Post Settlement Occupancy.

Most contracts have the following contingencies:

  • Home Inspection
  • Radon test
  • HOA disclosure
  • Financing & Appraisal

When the JS Realty Team is representing the seller we want to keep the timeline for these contingencies to be as short as possible. The sooner we can close the contingencies, the better chance for a smooth settlement!

So, who is responsible for ordering the pest/termite inspection?
We like our clients to be in control of that process. Termite companies don’t make money on inspections; they make their money treating homes for pests. Therefore, we want to make sure we hire a reputable company.

Ideally, the home inspection and radon test are done within 7 days of ratifying the contract. If there is an issue with the home that the buyer is not comfortable with, we want to know as soon as possible. That way we can solve the problem or release the buyer and get the home back on the market immediately.

If the seller’s home is located in a HOA, then the seller needs to order their resale disclosure packet as soon as contract is ratified. By Virginia law, the buyer has a prescribed time (dictated by how the disclosure packet was delivered) to review the disclosure packet.  If the buyer is not comfortable with the rules or finances of the community, they can void the contract. It is very important to get this contingency released as quickly as you can.

Appraisal – this takes, on average, 2-3 weeks. The lender orders the appraisal soWomen working in the real estate company you need to give them time. Financing is typically 3-4 weeks and it is the weakest of the contingencies. The buyer has control over the home inspection and HOA disclosure contingencies; however they do not have as much control over the appraisal and financing.  That is why we want the Home Inspection completed and HOA documents reviewed as early on in the process as possible.

Another item to consider when ratifying your contract is whether or not you need a Seller Post Occupancy period. This needs to be negotiated at contract time where the seller has the most leverage.

JS Realty also offers a home warranty for our seller’s during the listing period.  If we have agreed to purchase the buyer’s a warranty for their first year, it would be put into place at settlement.

As you can see, staying on top of all the different components of the sales contract is essential to a smooth transaction. Again, the sooner we can close the contingencies, the better chance for a hassle free settlement! The JS Realty Team strives to ensure that our sellers have the best possible outcome in the many facets of the Real Estate transaction.

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

BRAMBLETON EVENTS – SPRING 2015

The JS Realty Team here, keeping you up to date on Brambleton’s upcoming events.

 ONLY 18 more days till spring – I know we are excited and ready!!!

Flowers Blooming in Brambleton during Spring Brambleton Upcoming Events for March and April of 2015: Toast Masters 1st Tuesday of every Month
Click here for event specifics

Yard Debris Recycling will resume on March 3rd
Please see the community website

Summer Sexy Showcase
March 8th from 2 – 6PM
Location: Brambleton Corner Clubhouse and Pool
We’re Bringing Sexy back to Brambleton with our Summer Sexy Showcase to help you become your best you for Summer. Several vendors offering the latest in Fitness, Health, and Beauty, such as Tan Organiq, Barre-Yo, Lulu Lemon/IVIVVA, Beauty Counter, Young Living Essential Oils, among others will be there to help give you tips to get ready for your best summer yet! Free Barre-Yo Trial Class will be offered immediately following the fair at 6:30PM. We want you to love summer!

Brambleton’s 3rd Annual Comedy Night
Starring Brian Parise
March 14th, 7:30pm till Midnight
Tickets $25 per person
Ticket price includes show, dessert bar, and late night DJ.
Cash bar will be available.

Big Fitness Little Fitness
Adults will get a fully body strength and conditioning workout, while the kids get a fun and exciting dance conditioning workout!
Check out the details here

Flashlight Easter Egg Hunt
April 10th
Location: Legacy Park 8:30-9:30PM

Brambelton Bunny Trail
Callalily Play Area, 10AM – 1PM

Community Shred
April 25, 2015, 8:30-11:30AM
Event held in parking lot behind FOX Cinemas, off Northstar Blvd

Ribbon Run
April 18th
Click here for details

Want to learn more about having fun while living in Brambleton, Virginia? Contact us for a list of the best homes available in Brambleton!

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.