Northern Indiana Lakes Area Real Estate BlogRecently posted or modified blog posts in the category - Buying a Homehttps://www.thergrouprealestate.com/blog/Copyright TheRGroupRealEstate.com2023-07-04T05:53:36-07:00tag:thergrouprealestate.com,2012-09-20:13751Winona Lake Named Among the 12 Best Small Towns in the U.S. for Families<img src="https://assets.site-static.com/userfiles/1242/image/winona_lake.jpg" width="1650" height="1096" />
When it comes to finding the perfect place to raise a family, small towns often offer a charm and sense of community that larger cities cannot match.
In a recent ranking by <a href="https://www.travelandleisure.com/best-small-towns-in-the-us-for-families-7484979" target="_blank" data-saferedirecturl="https://www.google.com/url?q=https://www.travelandleisure.com/best-small-towns-in-the-us-for-families-7484979&source=gmail&ust=1688520971386000&usg=AOvVaw37Q6N5-XzaImd63s3NvCMi">Travel + Leisure</a>, Winona Lake, Indiana, has proudly secured a spot among the 12 Best Small Towns in the U.S. for Families. With its picturesque scenery, rich history, and abundance of family-friendly activities, it's no wonder Winona Lake has gained recognition as a top destination for those seeking a wholesome and nurturing environment.
Get to Know Winona Lake
Nestled in the heartland of America, Winona Lake boasts a population of just under 5,000 residents, making it an ideal haven for families looking for a close-knit community. Surrounded by the beauty of nature, Winona Lake is aptly named after the stunning lake that graces its landscape. This serene 571-acre body of water provides a peaceful retreat for families to enjoy various water activities, such as boating, fishing, and swimming. Also renowned as an all-sports lake, Winona Lake features a sandbar conveniently located near the Village, so residents and visitors can enjoy a seamless blend of shopping and water activities—creating a perfect day of fun and relaxation.
Standout Features
Commitment to Preserving Its Rich History While Embracing Modern Amenities
Steeped in tradition, Winona Lake is home to numerous historical landmarks and sites that serve as a testament to its past. Families can explore the meticulously restored buildings, including the charming Winona Lake Historic District, which showcases architecture from the early 20th century. It's a perfect avenue for children to learn about the town's heritage and gain a deeper appreciation for their surroundings.
The Village at Winona is another historic destination. Once a summer retreat sitting on the beautiful shores of Winona Lake, it has transformed into a lively shopping hub featuring various retail and service shops, and restaurants. While embracing its heritage, the Village continues to serve as a gathering place for the community, offering a year-round calendar of concerts, performances, and festivals. Featuring trails and greenway, it is also a great spot for unwinding and immersing oneself in nature's beauty.
Vibrant Arts and Cultural Scene
The vibrant arts and cultural scene in this town also make it an exceptional place for families to thrive. Winona Lake is renowned for its thriving artistic community and hosts an array of events throughout the year, such as art fairs, concerts, and theater performances. The Grace College and Theological Seminary campus, located in Winona Lake, serves as a hub for intellectual and artistic pursuits, offering programs and workshops that cater to all ages. This cultural tapestry enriches the lives of residents and provides ample opportunities for families to explore and engage with the arts.
Exemplary School System
Education is of paramount importance in Winona Lake, as evidenced by its exemplary school system. It is home to several top-rated public and private schools that prioritize academic excellence and holistic development. Parents can rest assured that their children are receiving a high-quality education in a nurturing and supportive environment.
Outdoor Recreation
Those who have a penchant for outdoor adventures will love the active lifestyle and outdoor recreation offered here. An extensive network of trails and parks provides ample opportunities for families to engage in outdoor activities such as hiking, biking, and picnicking. From the scenic trails of the Winona Lake Trails System to the sprawling green spaces of the Grace College Nature Preserve, there is no shortage of places to explore and enjoy the great outdoors—making it an excellent choice for families seeking a healthy and vibrant community.
Family-Friendly Events and Programs
This further solidifies Winona Lake’s status as an exceptional small town for families. A range of community events including festivals, holiday celebrations, and sports tournaments are scheduled throughout the year. These gatherings foster a sense of unity and belonging, creating lasting memories for families and instilling a strong community spirit.
<img src="https://assets.site-static.com/userfiles/1242/image/Winona_lake2.jpg" width="1284" height="1281" />
Inclusion in Travel + Leisure's list of the 12 Best Small Towns in the U.S. for Families is a testament to Winona Lake's commitment to creating an idyllic environment for families. With its breathtaking scenery, rich history, thriving arts scene, excellent schools, and a plethora of outdoor activities, Winona Lake has earned its place as a top destination for families seeking a nurturing and fulfilling lifestyle. Whether families choose to call it home or visit for a memorable vacation, Winona Lake is undeniably a small-town gem that cherishes its residents and warmly welcomes visitors with open arms.
*Photos via <a href="https://www.facebook.com/VisitKosciuskoCounty" target="_blank">Visit Kosciusko County</a> & <a href="https://www.facebook.com/Villageatwinona" target="_blank">Village At Winona</a>
<a href="https://www.facebook.com/Villageatwinona" target="_blank"></a>2023-07-04T02:46:49-07:002023-07-04T05:53:36-07:00Angie Racoltatag:thergrouprealestate.com,2012-09-20:13469Busting Home Buying Myths <img src="https://assets.site-static.com/userfiles/1242/image/blog_cover.jpg" width="3000" height="2242" />
In Kosciusko County, the shift in the housing market has been inching closer to favoring buyers. Stabilizing interest rates, more home options and less competition are only some alluring offers that you definitely have to grab—now.
What’s keeping you from buying your first or next house? If you’re still carrying some home buying myths, The RGroup Real Estate is determined to help you move past them so you can start pursuing your dream.
It’s high time to debunk these general misconceptions:
1. It Is Cheaper to Rent Than to Own
Within a short-term, there may be some truth to this. However, if you intend to rent for a couple of years or more, looking at a home purchase is in your best interest. This is because your mortgage payments can be more stable, while rental fees can rise every year. Not to mention, if you’re paying rent—you’re already paying a mortgage—it’s just your landlord’s, and not your own.
Purchasing real estate is a long-term investment that can help you build your personal wealth through home equity when it’s time to sell.
2. You Need 20% Down Payment
Buying a home is more attainable than you may think. In fact, you don’t need to put 20% down or save for years. Mortgage companies are now offering various kinds of loans that are tailor-fitted for different people with different needs. Flexible financing programs have also been created with first-time buyers in mind. You can actually buy a home for as little as 3%, or even 0% down!
For eligible buyers, you can opt for government-backed loan programs such as the Veteran’s Association (VA) loan (available to veterans, service members, and their spouses) that offers little to zero down payment, and no private mortgage insurance.
3. You Have to Be Debt-Free
Debt is a homebuyer’s dilemma but almost everyone has debt—you don’t have to be debt free to purchase a house!
Your credit doesn’t have to be perfect. You can be approved for 580 and above, and if it’s close but just under 580, it can be turned around in 30-90 days. It is best to consult a local lender for an analysis. Call us today, and we’ll set you up with one of our highly recommended lenders.
4. It Is Okay to Tour Homes Before Getting Pre-Qualified
It’s fun to look around dreamy houses but you don’t want to fall in love with a house, get a seller’s hopes up for a sale then find out later that you don’t qualify, and back out. We highly advise that you get pre-qualified first so you can shop with confidence, knowing how much you can afford.
However, if you’re not pre-qualified, you’re always welcome to attend an open house! Make sure to follow The RGroup Real Estate on <a href="https://www.facebook.com/TheRGroupRealEstate">Facebook</a> and <a href="https://www.instagram.com/thergrouprealestate/">Instagram</a> to stay informed about our open houses—we have them *almost* every weekend.
5. All Realtors Are the Same
Having a trusted real estate professional by your side is an essential in the home buying process. But truth be told, realtors are not created equal. It is important to select a partner who will help you get a tighter grasp on the local market scenario, lay out the best possible options, help you make informed decisions, present out-of-the-box strategies, and walk hand-in-hand with you to ensure that you’ll get the most rewarding experience.
At The RGroup Real Estate, we take pride in our years of experience and service with a heart. It is our joy to serve you at the highest levels. We can’t wait to hand you the keys to your dream home.
<a href="https://www.thergrouprealestate.com/contact/" target="_blank">Reach out to us today</a>. Let’s get your home buying journey started.2023-02-01T02:44:00-07:002023-02-01T07:34:25-07:00Angie Racoltatag:thergrouprealestate.com,2012-09-20:13322Rising Above Rising Rates With Creative & Strategic Financing<img src="https://assets.site-static.com/userfiles/1242/image/blog1fin.jpg" width="1911" height="1072" />
We understand how you feel. With increasing rates flashing across news headlines, it is easy to feel daunted. Many house hunters are pushed to the sidelines, as their hopes of finally owning their dream homes start to fade because of the affordability gap.
But there is a silver lining despite the current high rates—and The RGroup is determined to help you see the bigger perspective.
Take note that although the rates now have been recorded at a 14-year high, they are still at levels that are historically low—it’s a clear advantage that you can capitalize.
More importantly, the benefits of homeownership weigh more. In the long run, you can build your equity as you pay off principal payments, and home prices appreciate. Over the last 30 years, home prices appreciated by 214.7% in the state of Indiana. Homeownership is a solid investment that can increase your wealth.
Don’t let the rates stop you from pursuing greater goals. With guidance from seasoned real estate experts, you will find that buying a home now isn’t actually as elusive as you think. With strong negotiation skills and strategic financing solutions, you can rise above the rising rates.
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Score Better Closing Deals Through Seller Concessions
Buying a home is a transaction, and with strong negotiation skills, you can get great deals such as asking for seller concessions. These are closing costs that the seller agrees to pay to reduce the cost of buying a home. It can cover expenses such as attorney fees, appraisal fees, inspection fees, and property taxes, among others.
In a seller’s market, this is rarely granted but as the market inches closer to a balance, sellers become more willing to make concessions to lighten a buyer’s load.
Reduce Mortgage Rates Through Seller Buy Downs of Interest/Payment
Not many home buyers know about this option but this actually presents a win-win scenario for both the buyer and the seller.
By making an offer with a higher home price, a buyer can ask for seller-paid points to buy down the mortgage loan’s interest rate. Essentially, the buyer can get lower monthly payments, and total interest throughout the life of the loan.
What benefit does a home seller reap from paying to buy down the rate for the home buyer? The seller can actually earn more because of the higher purchase price given. This is a clever alternative from doing price reductions.
Conducting a Home Inspection Is Important & Strategic
When homebuyers entered a frantic buying stage during the height of the pandemic, many waived home inspections just so they could immediately submit an offer and secure the property. But as homes sit longer in the market today, buyers are given the luxury of time to ask for a home inspection. If necessary repairs are disclosed, sellers are now more motivated to do the repairs. Some even provide a reduction in the sales prices.
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Out-of-the-box solutions play a critical role in overcoming current market shifts. Apart from being experts in the field, we also partner with excellent lenders who can help you create personalized options that cater to your needs and budget. You can be assured of a rewarding home buying experience despite the odds. <a href="https://www.thergrouprealestate.com/contact/" target="_blank" data-saferedirecturl="https://www.google.com/url?q=https://www.thergrouprealestate.com/contact/&source=gmail&ust=1669908909232000&usg=AOvVaw3bmIXtAkxEjZoaUq_iSH91">Call us today</a> to learn more.2022-11-30T08:35:25-07:002022-11-30T08:47:13-07:00Angie Racoltatag:thergrouprealestate.com,2012-09-20:11518Myth - You Need 20% Down to Buy A HouseSaving for a down payment to buy a home can be difficult. This challenge is amplified by rising rents, which has eaten into the amount of money renters have leftover for savings each month after paying expenses.
Additionally, surveys have shown that non-homeowners (renters and those living rent-free with family or friends) believe they need to save upwards of 20% for their down payment!
According to the <img class="TSRWebRatingIcon" height="16" src="chrome-extension://ohhcpmplhhiiaoiddkfboafbhiknefdf/TMToolbar/image/tooltip/webicon_green.png" width="16" /><a data-saferedirecturl="https://www.google.com/url?q=https://www.urban.org/research/publication/barriers-accessing-homeownership-down-payment-credit-and-affordability-2018&source=gmail&ust=1549492111704000&usg=AFQjCNEMqNEfYd9Y1fW6SKQjOoNDrM4Vgw" href="https://www.urban.org/research/publication/barriers-accessing-homeownership-down-payment-credit-and-affordability-2018" rate="1" target="_blank">“Barriers to Accessing Homeownership”</a> study commissioned in partnership between the Urban Institute, Down Payment Resource, and Freddie Mac, 39% of non-homeowners and 30% of those who already own a home believe they need more than a 20% down payment.
The percentage of those who are aware of low down payment programs (those under 5%) is surprisingly low at 12% for non-homeowners and 13% for homeowners.
In a recent <img class="TSRWebRatingIcon" height="16" src="chrome-extension://ohhcpmplhhiiaoiddkfboafbhiknefdf/TMToolbar/image/tooltip/webicon_green.png" width="16" /><a data-saferedirecturl="https://www.google.com/url?q=https://info.bankofamerica.com/homebuyers-report/&source=gmail&ust=1549492111704000&usg=AFQjCNEbVl1XaBgWLtviQMnBuQRquiZESQ" href="https://info.bankofamerica.com/homebuyers-report/" rate="1" target="_blank">Convergys Analytics</a> report, they found that 49% of renters believe they need at least a 20% down payment.
The median down payment on loans approved in 2018 was only 5%! Those waiting until they have over 20% may already have enough saved to buy now!
There are over 45 million millennials (33%) who are mortgage ready right now, meaning their income, debt, and credit scores would all allow them to qualify for a mortgage today!
Bottom Line
If your five-year plan includes buying a home, meet with a local real estate professional who can help you determine what it will take to make that plan a reality. You may be closer to your dream than you realize!
Source: KCM2019-02-06T16:19:00-07:002019-04-06T13:39:46-07:00Angie Racoltatag:thergrouprealestate.com,2012-09-20:11405Is Getting a Home Mortgage Difficult?<img src="https://assets.site-static.com/userfiles/1242/image/getting-a-home-mortgage.jpg" alt="Is Getting a Home Mortgage Still Too Difficult?" title="Is Getting a Home Mortgage Still Too Difficult?" height="410" width="750" />
Potential homebuyers are always cautioned to be aware of mortgage lending standards and the difficulty they might face when trying to obtain a mortgage. Credit availability is expanding, making it easier to get a mortgage now than it was a year ago. The market is still tight however, and homebuyers should be prepared to shop around until they find a lender who is offering something that will meet the needs of their family.
Mortgage lending companies have high standards so it is important to make sure you and anyone else who will be included on the mortgage have their credit in check. The mortgage market is strict because lenders do not want to be put in a situation where they are forced to repurchase loans that are not paid on. They also do not want to end up in a litigation situation due to loan issues.
What Has Happened to the Number of Mortgages?
Due to the strict nature and requirements of the lending companies, the number of mortgages given out has significantly dropped. A report by the Housing Financial Policy Center at the Urban Institute showed that about 6.3 million fewer mortgages were given out between 2009 and 2015. The reasons behind this statistic are strict regulations and policies. These mortgages would have been granted if the lending standards where more reasonable.
Mortgage companies rely on calculations to determine if a home buyer will become delinquent on their payment. They will not give you a loan if you are too much of a risk for them. Credit history has a huge impact on this decision since lenders can see how often you pay back your debts. The history they receive is extensive. This view into your financial past causes lenders to take less risk when lending to you for your mortgage.
The Effect on the Economy
The housing market is recovering at a slower pace than it should since less potential homebuyers are being offered loans. While the market is still recovering with positive trends, fewer buyers can create a strain on other economic factors like home goods or construction jobs. Bottom Line
After the housing market boom and bust, mortgage lenders became stricter in their lending standards. It is not impossible to get a mortgage loan, but it can still be difficult for potential home buyers. Stay on top of your credit and make sure you and anyone else who is applying are in a good financial position so you can be approved for a loan. It is important to research different companies and their requirements to ensure success in getting a mortgage.2019-01-28T09:23:00-07:002019-04-06T13:45:22-07:00Angie Racoltatag:thergrouprealestate.com,2012-09-20:11403Knowing When You're Ready to Buy Your Dream Home<img src="https://assets.site-static.com/userfiles/1242/image/3-questions-to-ask-before-buying-your-dream-home.jpg" alt="Common Things to Look Out for Before Buying Your Dream Home" title="Common Things to Look Out for Before Buying Your Dream Home" height="410" width="750" />
It is easy to become overwhelmed when you enter the home buying market. Friends, family, colleagues, and even acquaintances will give you their opinions if you are a first time home buyer. While most of them are looking out for your best interest, they are not fully aware of what is happening in the housing market.
It is important for you to be prepared and have your own questions ready. No matter what other opinions you are getting, you are the one buying the home and your comfort level will help make your final decision. Here are three important questions to ask before you purchase a home.
1. Why am I Buying a Home?
Regardless of the finances, it is important to think about what made you want to buy a home in the first place. Usually the reasons don’t have to do with money. Instead, home buyers are focused on how the house will impact their family in the future. A study done by the Joint Center for House Studies at Harvard found there are four reasons people buy a home. Those reasons include schools for your children, a safe environment, more room for your family to grow, and control of your own space.
These factors are the most common reasons people look to buy a new home. When you ask yourself why you are looking to purchase a home, do any of those factors come up? Spend time with your spouse or family members who are involved in this decision and determine why you want a home in the first place. Creating this list will help when searching for a home and can help your real estate agent find the best home for your needs.
2. What is the Trend with Home Values?
Our current economy and housing market is strong. That means home values and mortgage rates are increasing. If you are looking to purchase a home but want to stay within a budget, it may be in your best interest to move quickly. It is forecasted for these trends to continue in an upward motion, causing home values to continue to increase.
3. What About Current Mortgage Rates?
The ticket price is not the only thing you should be concerned with when purchasing a home. Mortgage rates are always changing and can have a huge impact on your monthly payments. Current trends show mortgage rates are rising. This is something to consider if you are debating the right time to purchase a home, since the rates may be even higher down the road.
Bottom Line
You and your family are the only ones who can determine the right time to purchase your dream home. It is important to decide exactly why you want a new home for your family and decide on a budget that will be comfortable moving forward. This budget may affect the amount of time you have to search for a home, since home prices and mortgage rates are increasing. 2019-01-28T09:23:00-07:002019-04-06T13:41:37-07:00Angie Racoltatag:thergrouprealestate.com,2012-09-20:11402Will Increasing Mortgage Rates Impact Home Prices?<img src="https://assets.site-static.com/userfiles/1242/image/mortgage-rate-projections.jpg" alt="Will Increasing Mortgage Rates Impact Home Prices? " title="Will Increasing Mortgage Rates Impact Home Prices? " height="410" width="750" />
There has been some discussion recently on home prices in relation to mortgage rates. Some believe if there is a rapid rise of mortgage rates, home prices should decrease. Logically it makes the most sense for the price of the house to drop when interest rates are rising, but this is not always the case.
This theory of home prices decreasing is typically discussed by future home buyers. As a buyer you would like to think if you are paying higher rates on your mortgage, you should be able to see a decrease in cost somewhere else. Unfortunately, these rates are rising because the economy is in better shape. As the economy succeeds, incomes rise, rates go up, as well as the price of the home.
A recent study by the John Burns Real Estate Consulting found mortgage rates have very little impact on the cost of the home. The housing market and price increases are affected by things like job growth in the area and rising wages. Coincidentally, these same factors are causing the rise in the mortgage rates since people can afford to take out more.
Bottom Line
As the economy progresses and strengthens, mortgage rates and home prices will fluctuate. It is a misconception as rates increase, home prices will decrease. Advances in the economy have shown that rates and home prices are more likely to increase together.2019-01-28T09:23:00-07:002019-01-28T09:24:53-07:00Angie Racoltatag:thergrouprealestate.com,2012-09-20:11517Step-by-Step Guide to Mortgage Pre-approvalLet’s talk mortgage pre-approval step-by-step.
Getting pre-approved for a mortgage means you’re one step closer to owning your own home.
Step One: Mortgage Pre-Qualification Versus Pre-Approval
You probably already have a pre-qualification letter saying that you can probably buy a house in a particular price range, so why isn’t this enough? A lot of homebuyers find this part of the process confusing, and frankly, it can be. Your pre-qualification was probably done over the phone or on your first meeting with your lender. They asked you a bunch of questions about your income, your job and maybe even pulled a “soft” credit report to get some idea about your debts.
Based on this information, they gave you the details on the kinds of programs you’re eligible for and how much you can expect in buying power. You probably got a letter that you could show your Realtor to help guide the buying process. The difference between the pre-qualification and the pre-approval is simple: a pre-qualification is based largely on your word. If you give the lender incorrect information, they’ll give you a pre-qualification letter that’s not right.
A pre-approval, on the other hand, takes a harder look at your background, work history and requires a full credit report and <a href="https://www.investopedia.com/terms/f/ficoscore.asp" rel="noopener" target="_blank">FICO score</a> to ensure that you can, in fact, pay back a note.
Step Two: Documentation
Your next meetup with the nice banker is going to be to deliver documents, provide consent to pull a full credit report and, if you’ve already found one, give them the information on the home you’ve put under contract (in some areas your Realtor can do this last bit for you).
Documentation you’ll be asked to bring will include pay stubs, bank statements and tax returns, along with other information that may be needed to verify your income source or sources. Self-employed people, for example, are sometimes required to prepare profit and loss statements (or just pony up more tax returns). If you have assets like a 401(k) or even a CD, you’ll want to bring the details on these, too.
Step Three: The Loan Estimate Form
You’re going to get a copy of something called the <a href="https://files.consumerfinance.gov/f/201311_cfpb_kbyo_loan-estimate.pdf" rel="noopener" target="_blank">Loan Estimate Form</a>, probably at the same meeting where your lender pulls that full credit report and takes all your papers away. This form explains exactly how much they expect you’ll need to bring to closing, along with itemized estimated fees to plan for at closing. If you’re shopping your loan, collect these and compare them side by side before you make your final choice.
But don’t spend too much time crunching the numbers. Just like your contract (and the National Association of Realtors) says, “Time is of the Essence.”
Step Four: Acceptance
Once you’ve had a few minutes to review the paperwork and you’ve made your final pass through the numbers, all that’s left is to call the lender you’ve chosen and let them know you need that <a href="https://www.nerdwallet.com/blog/mortgages/how-to-get-a-mortgage-preapproval/" rel="noopener" target="_blank">pre-approval letter</a> sent over to your Realtor.
Understand that a pre-approval is not a guarantee that you’re going to get the money you need to close. Several things can go wrong along the way through underwriting, including, but not limited to:
– Unverifiable income (this is often due to issues with overtime)<br />– A change to your credit score.<br />– An increase in your debt to income ratio<br />– An undocumented change in employment<br />– Assets that are unverifiable
The best plan is be totally honest with your lender when you get your pre-approval so that you don’t get a last minute call telling you that your loan has been denied (this actually happens, so pay everything on time and don’t take out new credit lines or add to old ones until you’ve got the keys in your hand).
When is the Best Time to Make an Offer?
Ideally, you should have a pre-approval letter in hand before you so much as set foot into the first house you’re considering for purchase. After all, the seller isn’t going to think you’re all that serious without one, nor will they be keen to want to negotiate under these circumstances.
Help your banker help you get the best deal on the house of your dreams, save everybody a lot of headaches and get that pre-approval first. Knowing how much your closing costs are going to be will also help your Realtor write your contract accordingly if they should need to be wrapped into your mortgage.
Basically, that document is the key to everything. So, no pressure.
When You Need a Loan for Your Home…
Finding a banker you can trust these days couldn’t be easier! Check out the lenders that your Realtor has already recommended to you. These are banking pros that your agent has worked with enough that they know they can do the job and will make sure you don’t get a big surprise a few days before closing.2018-12-05T16:12:00-07:002019-04-06T13:42:54-07:00Angie Racolta