Home After Home: August 2009

Well, as school is getting underway around town, I'm starting to notice fewer phone calls coming through the office.  This, of course, is the typical start to the school year. As parents' attention is focused on buying school supplies, uniforms, and books their atttention on a potential move get's pushed to the back of their minds.  So if you have a home on the market, what are you to do?

Well, first of all, let's remember that this school rush is temporary. As all the kiddies get settled into the school year, the parents will turn back their attention to other details.  If a move was in their minds before, they'll remember that when September rolls around and start looking again.  Patience truly will get you through the school year.

It's also good to note that while fewer buyers may be viewing your home for sale now that school has kicked off, those that do view your home must be serious buyers. (Or buyers without children!)  Seriously though, the people who are devoting precious time to looking at homes during this time of the year, have certainly put their homesearch as a top priority.  It's important to keep your home ready for showings and be ready to leave for people to see it.  This is a time when you'll want to be sure that any serious buyers that come out get a chance to see your home and consider it as one of their top choices.

If you are a buyer in this market, remember that there are many people who are working around school schedules now.  It may be helpful if you schedule your viewings during the day while the kids are in school.  This can make life easier for you (if you have children) and for the sellers living in the homes that you intend to view.  Making life easier for everyone is a good way to lay the groundwork for a sucessful transaction.

And most of all, remember that we're here to help you!  Linda and I (Bridget) focus on helping to make your move less stressful.  For buyers we help to make the searching process a little easier and less time consuming. For both buyers and sellers we strive to take the emotions out of the negotiations so that your transaction may be smoother and more pleasant.  Give us a call to get started today: 225-341-BRLA

After having knee surgery, Butch Strother, developed clots.  The doctors then noticed a blockage near his heart.  Now he is scheduled for bypass surgery and could use the support and prayers of our community.  If you would like to show your support (and have a good meal) please come by and pick up a jambalaya lunch on Tuesday, August 11, 2009 at:

RE/MAX First

4750 Sherwood Common Blvd.

Baton Rouge, LA 70816

If you plan to have a lunch send an email so that they'll have a head count and can prepare the appropriate number of lunches.  Send your email by 8/10 to get your lunch request in timely!

Lunch pickups can be made 10:30a - 1:00p on 8/11.

Butch is a great guy so when you plan to go out to have lunch next Tues, just plan to come on over to RE/MAX First and pick up lunch instead.

In my post yesterday I mentioned that the interest rate on the NACA loan was 4.875%.  It did go up and is now 5%.  It's still a very interesting program that makes slightly lower than normal interest rates available.  I don't know how often the rate fluctuates, but it is a 30 year fixed rate loan.  If you would like more information, just call and we'll provide you with current updates via phone or in person.  225-341-BRLA

To view the blog post to which I am referring go so www.HomeAfterHomeBlog.com and scroll down to the post entitled:

NACA: Best Kept Secret? 0 Down 0 Closing Costs 4.875% Fixed Rate Loans

I first heard about NACA last week. Over the weekend I spent much time reading on their website about the NACA program.  And, today I went to an agent workshop wondering, "What the heck is the catch?"

The program on it's face offers a home loan on purchases up to $200,000 with no money down and no closing costs at a below normal fixed rate.  They particularly care about credit scores, so it neither helps you to have a good score nor hurts you to have a bad score.  There's no prepayment penalty and no private mortgage insurance.  So just what IS the catch?

Well, there are a few things that one should know before using a NACA loan to purchase a home.  First, you must live in the house for the entire time that you have a NACA loan on the property.  Next, you won't ever be able to get a second mortgage (such as a Home Equity Line of Credit) as long as NACA has the loan on the house, because they won't permit a second lein holder.  (If you wanted to convert the property into an investment property, you would need to refinance into a conventional loan out of the NACA loan.)

Oh, and remember I said there's no mortgage insurance? There is, however, a $50 per month fee that you pay.  I think they could have come up with a better acronym for this fee which is NSF. It stands for Neighborhood Stabilization Fund.  At the workshop they said that the homeowner pays this $50 fee for 5 or 7 years. I'd like to know exactly if it's 5 or if it's 7 years and how they determine when they remove the $50 charge.  You also need to get a lot of documentation to them, but the purchase workshop appears to be designed to prepare you for the paperwork that you need to get together.  And, you do need some money. While there are no closing costs you do have to have your prepaid items (insurance and taxes) and you'll need to pay for an inspection.

To summarize, I haven't found a "catch".  It looks like a good program for anyone who is making a purchase up to $200,000.  So, I'm going to try them out and see how it goes.  Will keep you all posted. If you have had any experience with NACA -- positive or negative -- I'd love it if you would leave comments on my blog.

If you or anyone you know is looking to make a purchase up to $200,000 in the Baton Rouge area, let me know and I'll put you in touch with the right people to start moving toward your 4.875% loan with no money down.  This looks like a good spot to advertise my new Google Voice number which is 225-341-BRLA (2752).