The Sprich Group has just listed this very cute 3 bedroom, 2 bath cape cod in East Grand Rapids on Breton Road at 1030 Breton, between Hall and Lake Dr.  This cute, first time home buyers special has  3 bedrooms and 2 baths and has all the charm of a East Grand Rapids real estate cape cod that you would dream of. White picket fence surrounds this White home with black shutters. The main floor consists of, living room with fireplace, Dining room, kitchen, bedroom and bath. Upstairs, there are 2 additional bedrooms and a full bath. There is a one stall detached garage and a private deck as well. There is a basement, but it is unfinished.  $124,900  This one won’t last!

Here is what any Grand Rapids real estate first time home buyer needs to do to be ready to buy their first home in Grand Rapids!

1. GET YOUR CREDIT IN ORDER

The first step toward buying your first home takes place months before walking into your lender’s office. It’s crucial to check your credit score at least three to six months ahead of your mortgage application.  You can request a free copy of the report from each of the three credit bureaus (Experian, TransUnion and Equifax) at many different web sites.

2. SET UP A MEETING WITH AT LEAST ONE LENDER

The next step is to set up at least one or two meetings with a local lender and get yourself pre-approved for a certain dollar amount. There are also other costs involved with buying a home, so also get a good-faith estimate from each lender you speak to, because there is more to a lender than his or her interest rate.

3.  BE PREPARED FOR THE DOWN PAYMENT

Now starts the money talk. You have to be ready for the costs of the down payment and closing costs.  It used to be the norm to put 20 percent down, but with the market in its current state of flux, many first-time homebuyers are finding ways to pay just 3 to 5 percent of the total cost upfront. Federal Housing Act (FHA) loans increasingly have become a popular option for first-time buyers. These competitively low-interest loans are ideal for buyers with less than perfect credit, and because the Department of Housing and Urban Development (HUD) minimizes the risk of default for lenders on these loans, borrowers are only required to put down 3.5 percent of the cost–a far cry from the traditional 20 percent down payment.  Still, there are advantages to paying more at the start. A larger down payment ultimately means smaller monthly bills down the line. Also, if you purchase a conventional loan, paying 20 percent or more upfront will eliminate the need to pay Private Mortgage Insurance (PMI) charges. PMI is insurance for your lender that can be paid upfront or in monthly installments, and is designed to offset your lender’s risk in the case that you’ve paid less than 20 percent on your home. It can cost around $55 a month per $100,000 financed. While it’s important to note that FHA loans also carry mortgage insurance with a down payment of under 20 percent, their low barriers to own still make them a good choice for first-time buyers.

4. FINDING A KNOWLEDGABLE REAL ESTATE AGENT

Finding the perfect home can have a lot to do with finding a compatible real estate agent, especially in today’s evolving mortgage landscape. “The person you choose will quarterback the whole process for you,” he explains. It’s crucial to be in contact with an agent before starting the home search, “because you might be looking at x when all you can afford is y.” First-time home buyers should make it clear what features they’re looking for and how much they’re willing to spend.

There are, however, certain questions that Fair Housing laws prohibit agents from answering, such as where to find religious centers in the area, the quality of the school systems, and crime rates. Be proactive in speaking with members of the community and inquire about the issues that matter most to you. For parents, search public sex offender registries, which can be found online, to see if there are high-risk areas in the neighborhood. In most states, agents must disclose whether violent crimes occurred on a property within a set number of years, but not so with suicides — find your comfort level and do your research.

When making an offer, make sure your agent pulls comps that have sold in the last year for that particular area. That will help you decide what the home should sell for and where to write your offer.

At signing, the buyer should demand that the contract be contingent on an objective appraisal of the house. Look into the history of the home and make sure there aren’t any liens against the property. You should be able to negotiate with the seller to make any necessary repairs to the house before closing on the deal.

Contingencies vary by state, but you should certainly inspect the home for possible lead paint, radon, and structural issues. Depending on which contingencies your state recognizes, these flaws can provide grounds to cancel the contract without penalty, and get back the earnest money deposit you put down at the start of negotiations.

5. CLOSING THE DEAL

The whole process, from start to finish should take you about 2-4 months. Once a contract has been written, the closing process should take about 30-45 days.

Now it’s time to move and enjoy your first home.

The Grand Rapids real estate market is on the move!!!!  The flowers are blooming…the families are out and the weather is warming up. What does all of that mean for the Grand Rapids real estate market….”buying season is here”!  I have spoken to many of my fellow agents at both our Keller Williams Grand Rapids office as well as other Grand Rapids real estate agents across the city and everyone is busy busy busy!!!  Buyers and sellers are very active this spring and so it is time to get involved in the Grand Rapids real estate market.  According to the Grand Rapids real estate board, sales are up for the month of April and inventory is still on a decline compared to 2010.  What does that mean to you as a seller…it means  get your home priced to sell,  get your home ready for buyers, put out some flowers, get your lawn greened up, get rid of the weeds, spruce up your landscaping, paint those tired walls and have your home in move in condition. What does it mean if you are a buyer…it means get your financial situation ready for a purchase. Talk to your local lending institution and get pre-approved. Talk to your Grand rapids real estate agent and get out there and start looking for your new home in the Grand Rapids area. Interest rates are still very attractive and there are very good deals in the market, so now is the time to buy.  This is still one of the best times you will ever see to buy a home. Home prices are still very attractive, interest rates are still very attractive and there are many choices out there to choose from.

Buying  or selling a house in the Grand Rapids real estate market is one of the most important decisions you will make in your life,  so don’t you think you should have the “right Grand Rapids  realtor’ to help you in that decision? If you were going to invest your life savings into the stock market, wouldn’t you spend some time and find what you thought would be the “right investment advisor ” to help you make those decisions? If you were in a court battle , don’t you think you would want the ‘right lawyer” that specializes in your type of legal matter.  Well, the same thing goes for buying or selling a home in Grand Rapids.  I will just go through a few of the reasons why you want the “right realtor’ for your home buying or selling needs.

You want a realtor that sells Grand Rapids real estate for a living, not part time. It is important to find a realtor that is the “main bread winner” in the family. The agent  needs to be  hungry and needs to be a provider  for his or her family.

There are many Grand Rapids area realtors out there that help buyers and sellers in the real estate business on a part time basis or do it between jobs to help subsidize their income. They are not in it for the long term, they are in it to make a quick buck. You want someone that has your long-term lifetime goals in mind. That realtor wants you to come back in the next 5-7 years to buy or sell their next home. Or, hopefully, they will be very happy with their experience with their Grand Rapids real estate agent and will refer that agent to their family and friends. Part time or short-term realtor does not have those long-term goals on their minds. All they are thinking about is $$$$, not the needs of their client.

You want a realtor that has knowledge of the Grand Rapids real estate market. Hopefully, you can find someone that has been a lifelong resident, or a longtime resident of the Grand Rapids metropolitan area. That Grand Rapids agent should carry a great deal of knowledge about Grand Rapids area schools, pricing, market, drive times, and other important things that a newcomer to the Grand Rapids area may have trouble finding out. These are very important things to have in your pocket when looking to buy or sell your next home.

You want a realtor that has a strong personal website. Over 88% of all buyers and sellers today are on the internet everyday looking for their next home. If your realtor is not positioned on the internet with a website that feeds to all the national sites, then he is not the realtor for you. His or her website should have their listings on their site, a way to search for homes in the area, information about the area both Grand Rapids  real estate and other  surrounding areas. But, most of all, it should have some pertinent information about his or hers own person. Buyers and sellers should be able to go that site and get a feel for who the realtor is and what his or hers standards are when helping a buyer or seller in the Grand Rapids real estate market.

You want a realtor that works for a “national or international” broker. If you are working with a “local” broker, you again are missing out on the national relocation services that a national firm can offer you as a seller  or buyer. If you are planning on moving out of the area, with a national broker, like Keller Williams, they can refer you to another office of that same firm that has an office in your next destination and offer you the same services that you had here.

The last thing to look for when choosing the right realtor is to choose a realtor that will have time for you….personally. There are many agents that have many other seller’s agents and buyer’s agents working for them. The problem with that scenario is that when you think you have hired that agent that other people talk about, you never get a chance to work with him or her. You may work with someone else from that team or group, and that isn’t what you signed up for.  So, when interviewing Grand Rapids real estate agents, make sure you find out “who” is going to be your agent.

Hopefully, these are all helpful hints for choosing the “right realtor” in Grand Rapids for you when are buying or selling your next home.

Tom,

Thank you so much for all of your help in finding the right house in Rockford for me.  It took a lot longer than both of us would liked, but I am glad it did, because we found the perfect one.  I really appreciate all of your hard work and dedication, it shows you are a true real estate professional.  It did not matter if it was Saturday afternoon or a Wednesday night; you were there to show me the next house.  Every step in the real estate buying process went very smoothly– inspections and mortgage and closing were a non - hassle with your help and direction.  Thanks again for all of your help!  I will pass your name around to whom ever need a real estate agent in Grand Rapids.

Andrew –

Here is some great information put together by a local lender here in Grand Rapids that I recommend for my buyers and sellers. Kip Doezema, Asst. Vice President and Mortgage loan originator for Chemical Bank in Grand Rapids, has laid out some numbers that will get buyers out there buying a new home. This information will show you that, with rates going up, as they are now, that a rise in interest rates of 1% is the same as a 10% sale price increase. Please see below for further explanation:
Mortgage Numbers for a home in East Grand Rapids:

$250,000 home with 20% down:

Taxes = $5500/yr Insurance = $600/yr

$200,000 @ 5.0% (30 yr fixed) = $1073/mo + 458 + 50 = $1581/mo
$200,000 @ 6.0% (30 yr fixed) = $1199/mo + 458 + 50 = $1707/mo

$275,000 home with 20% down:
Taxes = $6000/yr Insurance = $660/yr

$220,000 @ 5.0% (30 yr fixed) = $1181/mo + 500 + 55 = $1736/mo

Kip Doezema AVP – Mortgage Lender
Chemical Bank – East Paris Branch
kip.doezema@chemicalbankmi.com
4024 Park East Ct. Suite A
Grand Rapids, MI 49546
T: 616.588.7516 / F: 616.588.6361/C: 616.889.0684

This wonderful Grand Rapids Bungalow has reduced it’s price to $79,900!!! This home is priced to sell!! This is a wonderful 3 bedroom, 2 bath, 2 car garage, finished lower level and so on. This home has a new kitchen, great hardwood floors, deck and a possible 4th bedroom in the basement. A great buy in the Grand rapids real estate market! Click here for more information.

Check this article out on AOL real estate. It gives you great information about how to get details about specific neighborhoods in your real estate market. This will help both buyers and sellers as they go to buy or sell their home. Click here to see the video and read the article:

Take a look at this new listing in Grand Rapids. A cute Cape Cod with 3 bedrooms(possibly a 4th) and 2 baths. Great opportunity for first time home buyers in Grand Rapids!!!