Troy Stavros, Author at 865 Real Estate

One Of The Most Important Things To Do When Buying A Home

October 28, 2013 By Troy Stavros

When buying a home today, with the current stringent lending guidelines, a client’s credit score plays a pivotal role in whether or not they will be approved for a loan. One error on a client’s credit report can be the difference between being approved or denied a loan. That is why it is so important that each person obtain and review a copy of their report each year, giving them to ability to find and correct errors effecting their credit score.

The Consumer Finance Protection Bureau released a report revealing only one in five people actually obtain a copy of their credit report each year. The report also stated that consumers reached out to credit reporting companies about 8 million times to challenge information on their report. Overall, the actions led to 32 to 38 million disputed items.

The instances of being able to get a mortgage with less than stellar credit are behind us. A recent report by Ellie Mae, which represents 20 percent of all U.S. mortgage originations, found the average FICO score for a closed loan was 732, while the average denied loan had a score of 696.

Once approved, the effect your score has on your loan doesn’t stop. A loan savings calculator provided by myFICO, the consumer division of FICO, shows how credit scores can effect the interest rate one would receive on a mortgage. As of October 28th, 2013, a person with an average FICO score of 760-850 would receive a 3.765% rate on a 30-year fixed rate mortgage. However, if one had a score of 620-639, the rate would be 5.354%.

Just because you aren’t planning on purchasing any Knoxville real estate this year, doesn’t mean you shouldn’t be reviewing your credit report. Oftentimes it could take months to get an error off your report. With your credit score being one of the most important tools in getting a loan approval, it’s best to always keep it sharp. For current homeowners, it also is a major part of refinancing. Not a homeowner? More and more employers are looking at a prospective employees credit report before hiring. Yearly review is just good practice all around.

Signs That The National Housing Market Is Performing Well

October 25, 2013 By Troy Stavros

Even with the rising interest rates of late (although the good news at the time of this writing is that this week rates have actually decreased to a four month low), the national housing market seems to be performing rather well. According to the HousingPulse Tracking Survey by Campbell Surveys and Inside Mortgage Finance, although homes sales were down somewhat in September, other factors were very positive.

Here is where we see positive signs in the housing market:

Time on market fell to a four-year low last month. Based on September data, homes spent an average of 8.6 weeks on the market. A big reason for the importance of this number is that time on market is actually down from the spring home buying season, when the time on market was about 10 weeks.
Homes are selling for a high percentage of their list price. The sales-to-list-price ratio in September was 97.5%, up from 96.1% in September 2012.
Sales of distressed properties, home purchases involving foreclosures and short sales, decreased to 24.6% over the three-month period ending in September, marking a four-year low.

For detailed information on the status of particular neighborhoods in Knoxville or to get an estimated value on your Knoxville home contact 865 REAL ESTATE for a no strings attached home evaluation.

Mortgage Rates Drop Significantly After Jobs Data Report

October 22, 2013 By Troy Stavros

Mortgage rates fell fast yesterday, after the “Employment Situation Report” showed a less than rosy picture for labor markets. The report, which was originally scheduled for October 4th, was delayed due to the government shutdown. Conforming 30yr Fixed rates dropped down to 4.125% for many borrowers depending on the scenario, though some lenders remain at 4.25%.

Weak economic data historically pushes rates lower and yesterday was no exception, but there is more to the story. The peripheral effect of yesterday’s report is that it further solidifies that the Fed will likely hold off on reducing its purchases of Treasuries. These are the purchases that have helped to keep rates lower than what they would be normally. The recent threat of those purchases decreasing had a significant effect on mortgage rates during the summer months.

What does this mean for Knoxville home buyers and sellers? JUMP ON THESE MORTGAGE RATES while they are this low and save yourself some money on your monthly payment.

The Best Return On A Remodeling Project Is By Far The Kitchen

October 22, 2013 By Troy Stavros

Without a doubt, a kitchen has the best return on a remodeling project. The kitchen is the most important space in a home today, so when you are looking to remodel, it’s super important that you get it right. It seems that the way people live today, more time is spent in the kitchen than any other room in the house. So, it’s important that it we designed for how people want to live.

Here are some guidelines to follow when remodeling your kitchen (brought to you by NAR’s Styled Staged Sold BLOG)

Since functionally kitchens are multi-dimensional social environments in addition to cooking space a good kitchen today accommodates many people and tasks. “Open concept kitchen” is the hot new term since it expands the kitchen into the family room and allows for social interaction with everyone in the family room.
Perhaps the biggest design feature of today’s kitchen is the center island. Peninsulas of the 1980’s and 90’s are yesterday’s news. One side of the island should have plenty of casual seating while the production side of the island can feature everything from sinks to a plain countertop work area.
Clean, sleek modern styling is the pulse of the day. Ornate, dark wood cabinets are passé. Simple painted white wood, light maple and, for eco-minded home owners, bamboo cabinets are all the rage.
Spend a good portion of your budget on appliances. Gone are the days when a plain refrigerator and basic stove will suffice. The fancier, the better — including even high-end “toys” like wine units, if the budget allows.
Today’s wide range of materials and price points for countertops and backsplashes make these two areas the fashion statement in the kitchen. Give yourself permission to choose something unusual, dramatic or colorful. Mix materials even. When it is time to “freshen up” your kitchen in 5-7 years – yes, you read correctly! — change these two elements and you’ll be able to create a whole new look.

They go on to say that if you are working with a tight budget, perhaps you can figure out a way to build a small kitchen island. If the current cabinet layout is OK, install new doors. Change up the look of your kitchen with a new backsplash, or new hardware.

Things To Do In Knoxville: CUPCAKES IN THE PARK!

September 26, 2013 By Troy Stavros

Looking for things to do in Knoxville with the family this weekend? Like cupcakes? Then this is for you! A fun event is taking place at Krutch Park in Downtown Knoxville this Saturday, September 28th. Cupcakes In The Park is a fundraiser for Helen Ross McNabb Center which supports mental health, addiction, and social services. Sample five cupcakes for $5. Cupcakes In The Park starts at 11AM and finishes at 3PM. Come out and enjoy some cupcakes with the family for a great cause!

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