Lawn Maintenance Tips

 

If the spring is any indication of the summer ahead, then it’s likely to be a long and hot summer. The scorching heat, though appreciated by sunbathers, can be murder on our lawns and gardens. A little early prevention is the best way to ensure that your lawn remains free of brown patches, insects, disease, and weeds.

 

In order to avoid a desiccated lawn, start tending your lawn early in the growing season. A strong and healthy lawn is the best way to ward off weeds, insects, and diseases.

 

For warm climate grass you will want to fertilize monthly using nitrogen.

 

Sharpen the lawn mower blade so the grass will be cut cleanly, not shredded. This will help stave off diseases.

 

During the hot summer months, make sure that you do not crop your lawn too short. Cut only a third of the grass bladed when you mow and raise the mower height gradually by 25 - 50 percent as temperatures rise.

 

Water uniformly, deeply and infrequently in the morning with a sprinkler or in ground system. Your lawn should receive a total of 1 inch of rain, including rain and irrigation.

 

If you are fighting off weeds every year, then you might want to look into using a herbicide. The best time to apply the herbicide is in late April and May. You should not broadly apply any herbicide during summer as this is when your lawn is at its weakest.

 

By following these tips you can make sure that your lawn is lush and green for those BBQ’s and family get-togethers.

Existing - Home Sales Ease

 

Existing home sales have slowed partly because restrictive lending practices hampered home buyers. At the same time, a greater number of areas are showing sales gains from a year ago and a recent reversal in mortgage policy means the market is better positioned for a turnaround, according to the National Association of Realtors®.

 

NAR President Richard F. Gaylord, a broker with RE/MAX Real Estate Specialists in Long Beach, Calif., said the good news is that mortgage restrictions have just been eased. "In the past week, Freddie Mac and Fannie Mae announced that they were eliminating their ‘declining market’ policies, effective June 1," he said. "This means consumers across the country will have access to safe, affordable financing with down payments of only 5 percent on most mortgages, with 100 percent financing available on some loan products, and we could see an upturn in home sales this summer."

 

Lawrence Yun, NAR chief economist, said eliminating restrictive policies should be a big help to home buyers. "I would encourage buyers who were disappointed by poor mortgage options to take another look at the market because the lending changes are significant," he said. "Also, a recent notable drop in interest rates on conforming jumbo loans will help consumers in high-cost markets like California and New York."

 

The unusual mix of market conditions around the country continues, but areas showing healthy price gains include Greenville, S.C., and Springfield, Mo., both with solid local economies. "On the other hand, some markets like San Diego, Calif., and Fort Myers, Fla., are experiencing rising sales after sudden double-digit drops in local home prices, so lower prices and low interest rates are starting to generate results," Yun said.

 

The national median existing-home price for all housing types was $202,300.00 in April, which is 8.0 percent below a year ago when the median was $219,900.00. Because the slowdown in sales from a year ago is greatest in high-cost areas, there is a downward distortion to the national median with relatively more sales in low- and moderate-priced markets.

 

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage slipped to 5.92 percent in April from 5.97 percent in March; the rate was 6.18 percent in April 2007.

 

Source: The National Association of Realtors®

 

 

July 2008

How Much Home can you Afford?

 

Whether you are a first time home buyer or a seasoned pro, meeting with a loan officer can be an intimidating encounter. As you divulge your most intimate financial records to this stranger, you realize that the fate of your homeownership dream is in his hands.

 

Fortunately, the stress of this meeting can be dramatically alleviated by knowledge of your finances and the impact they have on your credit worthiness. It is also important to remember that most loan officers want you to get into a home; however they need to ensure that you do not represent a risky investment.

 

There are a number of different variables that lenders consider when you apply for a loan, including the following:

 

Cash for down payment and closing costs. Traditionally an acceptable down payment was 20 percent of the cost of the home; however the abundance of new mortgage derivatives today allow some buyer to get into homes with little or no down payments.

 

Credit history. Though average or poor credit will not preclude you from receiving a loan, it will probably result in a higher interest rate. Find out what your credit score is before filing a loan application, that way you will have plenty of time to dispute any inaccurate information.

 

Employment and debt. Lenders prefer to lend to borrowers who have a stable work history and have not switched employers recently or who are coming off a period of unemployment. This is not to say that your loan will be denied if your employment history is slightly tarnished, it just means that the more stable your record the better. Debt is typically measured by debt ratios (more information below) that measure your earning power against the amount of debt that you owe on.

 

If a debt-to-income ratio is too high, then there is a good possibility that the mortgage will not be approved. Until recently, a typical qualifying ratio was 28/36. The first number is termed the front end ratio and it is determined by dividing your proposed monthly housing expense (principal, interest, taxes, and insurance - also called PITI) by your gross monthly income (income before income tax).

 

The second number, back end ratio, is determined by dividing your total monthly debt (including proposed PITI) by your gross monthly income. A borrower with good credit, front end ratio under 29, and back end ratio under 37 would have no trouble qualifying for a mortgage.

 

Today, if your back-end ratio is less than 50 percent of your gross income, and you have good credit, you'll probably be approved for a mortgage. This liberalization of qualifying ratios makes it easier for borrowers to qualify for larger mortgages, which is good news for buyers who are trying to buy a home in an area where home prices are high.

 

Now that you know the different factors that impact the amount of home you can afford, your next meeting with a loan officer will go much more smoothly. I recommend that you perform these calculations before speaking with a lender so that you already have a good idea of where you stand.

We Do Your Homework

Homeowner’s Insurance Issues

 

Many people trying to sell their homes are finding that their insurance policies expire if the home is vacant for more that 30 days.

 

Be sure to review your policy and best yet, contact your agent direct to be sure of your coverage and policy terms and conditions.

 

We make a practice of informing our homeowners about the need to convert their policy after and only after they have completely moved out to a structure only policy.

 

Many insurance companies will not insure your home in the event it is vacant others offer risk or reduced coverage policies.

 

Never convert your homeowner’s insurance policy to a structure only policy until you have actually moved out.

 

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