“As health care providers, we see this as a perfect opportunity for athletes to focus on proper pre-season preparation, injury prevention, and optimizing your baseball performance.”
“In order to reduce the incidence of overuse injuries in youth baseball players, focus on 3 key areas: safe management of pitching volumes, baseball-specific exercise to improve mobility and strength, and correct improper techniques.”
A recent report by ATTOM Data Solutions had some interesting findings:
Sellers reap the greatest home sale premiums as the weather warms up
The months yielding the highest premiums are: June (9.6%); May (8.3%); and July (7.3%). August yields a 6.0% premium
Overall, says ATTOM, home sales completed in May, June, and July usually net 7% to 10% above market value.
That equates to roughly $17,000 to $25,000 extra for sellers.
Judging by the numbers, it would appear that sellers have a solid leg up on buyers in the summer months.
How COVID-19 changes the home buying balance
Martin states “some experts think that the coronavirus could alter the usual summer housing market patterns.”
“Consider that the aforementioned data is based on sales between 2011 and 2019. This year is a hard one to predict for numerous reasons — most of all a pandemic that’s likely to have long-lasting effects.”
“We are in uncharted territory,” says Caleb Liu, a real estate investor and owner of House Simply Sold.
“The longer this pandemic lasts, the more economic damage it may cause. Many sellers may be forced to sell their homes. That means an increased housing supply. And when inventory goes up, prices fall.”
That doesn’t necessarily mean homes will priced to sell quickly.
“But if the pandemic extends into the second half of 2020, I believe prices will start to drop,” says Liu.
“If the pandemic extends into the second half of 2020, I believe prices will start to drop” –Caleb Liu, Owner, House Simply Sold
Real estate attorney Rajeh Saadeh also feels buyers may have more leverage than many expect this summer.
“The economy is still relatively strong. And the buyer pool this year will likely be smaller due to job and income loss. Those factors can help give buyers the advantage,” explains Saadeh.
Remember that mortgage rates have recently dropped to all-time lows. Most experts also predict that this low-rate atmosphere will most likely continue throughout the rest of 2020.
Today is a Good Time to Buy
For buyers with stable employment, good credit, and enough cash for the down payment, closing costs, and mortgage payments, this summer could be an excellent time to make that purchase.
Martin quotes Suzanne Hollander, a Florida International University real estate faculty and attorney:
“Interest rates remain enticingly low,” says Hollander. “And if you live in a condo or apartment with common areas and are worried about coronavirus risks, a detached single-family home with your own yard might be just the place for you.”
You can check out another article here on the opportunity that’s presented itself in the housing market during the last few months.
“When the coronavirus pandemic subsides, home prices could very well be higher, and financing could be harder to come by, so buyers should try to find deals now, if they are able.”
In Conclusion
Now really is a good time to act, if you are able. Do reach out to me if you would like some help with financing or to talk strategy this summer – as it would be my pleasure to help!
Debt-to-Income Ratio (or DTI) is a personal finance measure that compares the amount of debt you have to your overall income.
Mortgage lenders use it as a way to measure your ability to manage the payments you make each month and repay the money you have borrowed.
When you apply for a mortgage, you’ll need to meet maximum DTI requirements so your lender knows you’re not taking on more debt than you can handle.
Lenders prefer borrowers with a lower DTI because that indicates less risk that you’ll default on your loan.
A mortgage debt-to-income ratio leaves out monthly expenses such as food, utilities, transportation costs and health insurance. Although lenders may not consider these expenses and may approve you, it’s important not to borrow more than you’re comfortable paying.
So keep these additional obligations in mind as you evaluate how much you’re willing to pay each month.
Understanding Debt-to-Income Ratio
A low debt-to-income ratio demonstrates a good balance between debt and income. In general, the lower the percentage, the better the chance you will be able to get the loan or line of credit you want.
On the contrary, a high debt-to-income ratio signals that you may have too much debt for the income you have, and lenders view this as a signal that you would be unable to take on any additional obligations.
To a lender, someone with a high debt-to-income ratio can’t afford to take on any additional debt…and if the borrower defaults on his mortgage loan, the lender would lose money.
How High Can You Go?
Evidence from studies of mortgage loans suggest that borrowers with a higher debt-to-income ratio are more likely to run into trouble making monthly payments. A 43 percent debt-to-income ratio is important because, in most cases, that is the highest ratio a borrower can have and still qualify for a loan backed by Fannie Mae and Freddie Mac.
Larger lenders may still make a mortgage loan if your debt-to-income ratio is more than 43 percent, but they will have to make a reasonable, good-faith effort, following regulatory rules, to determine that you have the ability to repay the loan.
Calculating Debt-to-Income Ratio
To calculate your debt-to-income ratio, add up your total recurring monthly obligations (such as mortgage, student loans, auto loans, child support, and credit card payments), and divide by your gross monthly income (the amount you earn each month before taxes and other deductions are taken out).
For example, assume you pay $1,200 for your mortgage, $400 for your car, and $400 for the rest of your debts each month. Your monthly debt payments would be as follows:
$1,200 + $400 + $400 = $2,000
If your gross income for the month is $6,000, your debt-to-income ratio would be 33% ($2,000 / $6,000 = 0.33). But if your gross income for the month was lower, say $5,000, your debt-to-income ratio would be 40% ($2,000 / $5,000 = 0.4).
In Conclusion
Your debt-to-income ratio (DTI) – how much you pay in liabilities each month compared to your gross monthly income – is a key factor when it comes to qualifying for a mortgage. Your DTI helps lenders gauge how risky you’ll be as a borrower.
Keeping your debt-to-income ratio low can help you qualify for a home loan and pave the way for other borrowing opportunities. It can also give you the peace of mind that comes from handling your finances responsibly.
Please do reach out to me for more, as it would by my pleasure to help you qualify for a mortgage!
Since credit scores have become such an integral part of our financial lives, it pays to keep track of yours and understand how your actions dictate the numbers. You should absolutely build, defend and take advantage of great credit regardless of your age or income.
Yet a lot of people still have doubts as to how credit scores work and why it’s important to make sure the information contained in your credit report is correct.
You can leverage high scores into great deals — on loans, credit cards, insurance premiums, apartments and cell phone plans. Bad scores can hammer you into missing out or paying more.
The article goes into great detail on on how to remove items from your credit report – as well as a specific explanation on the credit reporting system and what goes into it. I highly recommend that you take a look at it.
One of their recommendations is to hire a professional credit repair service – and I really believe that can be a good idea.
Money Magazine writes “when looking at the lifetime cost of bad credit, or if your report is riddled with inaccuracies, paying a reputable company…to help repair your credit is often a reasonable solution.”
Credit repair services can help you with the following items:
Cleaning up credit report errors
Disputing inaccurate negative entries
Creditor negotiations
The Debt Rescue Network – Jennifer Amsbaugh
If you need to improve your credit score to qualify for a mortgage or earn a lower interest rate, I recommend that you reach out to Jennifer Amsbaugh at DNS and see what she can do.
Their program is designed for individuals and families struggling to pay debts while saving money for daily expenses at the same time. They have a particular methodology that has proven to be effective in improving scores.
Jennifer Amsbaugh, Certified Debt Affiliate, Debt Negotiation Services
It seems like those with good credit catch all the breaks when it comes to getting lines of credit. It’s easier for them to qualify, and they get lower interest rates.
Well, there’s a pretty good reason for it.
A person that has good credit has a low statistical probability of defaulting on a loan. Therefore, they are given a lower interest rate. A person with a lower credit score has a much higher probability of defaulting, therefore they are charged a much higher interest rate to cover the losses incurred by lenders by those who do default.
At the very least, your score will affect the type of interest you’ll pay on any type of loan, from home mortgages to credit cards. At most, a low credit score will seriously impact your ability to purchase a house or a car.
If you have more questions about your credit and how it impacts your ability to finance a home, please do reach out to me, as it would be my pleasure to help!
It might be — but not for the reasons you might initially think.
These really are most unusual times, especially when you consider the Covid-19 pandemic…but really good home buying opportunities are out there, to be sure.
Right now, buyer demand is down, as sellers just aren’t seeing the multitudes of offers they had a little over a month ago. A few have even taken their homes off the market, but the majority are looking to sell now and are forced to consider offers from a smaller buyer pool.
After Covid-19
When the coronavirus pandemic subsides, home prices could very well be higher, and financing could be harder to come by, so buyers should try to find deals now, if they are able.
So says Barbara Corcoran, founder of the Corcoran Group, a New York-based residential brokerage.
“If you’re smart enough to attack the market as an educated consumer, and get out there, and make a bid on a sweetheart deal, you’re gonna be the smartest guy. And everybody’s going to applaud you six months from now,” Corcoran said on Wednesday.
The market could very soon favor sellers even more than it did previously. Many sellers have pulled their homes off of the market, which will further limit inventory and drive prices higher. It’s just simple supply and demand.
On top of that, buyers will have more competition once consumers start buying again.
“The reality is [that] when they [buyers] come to the market, everyone’s going to be in the market at the same time, they’re going to pay more for the home then than they’re going to pay now,” said Corcoran.
While the current lock down is making buying real estate difficult, buyers should still keep an eye on their local market so they can recognize a good deal when they see it, Corcoran said.
To identify good deals, buyers should learn about their local market, monitor sales data and find the right real estate agent.
“Because then they’re [the educated buyer] in the position to actually recognize a sweetheart deal when they see it. And if they pounce on it, they’re going to get the deal of a lifetime,” said Corcoran.
“Every real estate cycle that has gone up and down, the deals weren’t made in the down cycles, nor in the up cycles. They were always made in the times where there’s the greatest uncertainty where everybody’s guessing.”
In Conclusion
Now really is a good time to act, if you are able. Do reach out to me if you would like some help with financing – and I’d be glad to point you in the direction of the right real estate agent, as well!
Thomas Eugene Bonetto
Mortgage Loan Originator
NMLS: 1431961
About The Coach
Tom Bonetto has been helping his customers and players achieve their best for nearly 30 years. His goal is to provide both a superior customer experience and tremendous value for both his business associates and his players alike.
