Listing Courtesy of JACK LINGO LEWES
A vital part of buying a Milton home is getting a Milton mortgage. But not all mortgages are the same. There are two general classes of mortgages; fixed rate mortgages keep the same interest rate for the full duration of the debt. The interest rates for adjustable-rate mortgages (ARMs) change every year after an initial period expires. You also choose the duration of the loan.
That’s the easy part. When it comes to choosing those details, coming up with the right option for your family can be a brain-twister (especially when you realize how big a difference different future scenarios might present). When you go about getting a Milton mortgage, you need to account consider the major factors -
· Affordability. Your budget for month-to-month payments is the largest single element to gauge when getting a mortgage in Milton. If you want to ensure lower monthly payments and minimize the risk of increases, tilt toward a longer-term fixed rate mortgage. If you can afford to risk a higher interest rate, a short-term ARM might be best.
· Future Rates. This can be a key issue when choosing between a fixed-rate mortgage and an ARM. If you suspect interest rates will decrease over time, you might tilt toward the ARM, since those mortgage payments will eventually decrease along with interest rates. If interest rates are headed up over the long haul, a fixed rate lets you to lock in today’s lower rates.
· Permanence. If you plan to live in your new home for just a short period, your choice for getting a mortgage may be less complicated. ARMs usually start out at a lower rate than do fixed-interest mortgages, and if you move before the adjustment period begins, you can take advantage of the lower initial rate and avoid the future possible payment increase.
Like all financial decisions, getting a mortgage in Milton should be carefully undertaken: always keeping in mind your long-term financial goals. I’m here to help clarify the many issues that enable my clients’ success: call me today if you are thinking about a move this spring!
Delaware property owners, whether they are single homeowners or large institutions holding multiple rental properties, are members of the same club—at least by one definition. They are all real estate investors, even though not all of them are the kind of Delaware property owners who keep an eagle eye trained on the value of their real estate investment portfolio (most of us think of it more as just “home”). Unless they plan to sell sometime soon, today’s asset value, book value, or whatever financial term you are looking at, is pretty much an abstract notion. It only becomes significant in the real world if you set your sights on selling.
Even so, Delaware property owners may be interested to learn that the past few years’ steady rise in property values nationwide has created the kind of investment opportunity that even Wall Street hasn’t been able to ignore.
Recently there was a conference in ritzy Scottsdale, Arizona, that illustrated the point. It was called the 2013 REO-to-Rental Forum. In their final MarketPulse newsletter of the year, trend-watcher Corelogic observed, “The fact that there are now conferences for single-family residential institutional investors speaks volumes about the increasing maturity of this new investment asset class.”
If you are a Delaware property holder, that’s welcome news. It indicates a number of positive things about the current state of the overall market, and the value of your own property. As CoreLogic points out, although investing in residential real estate is nothing new, what is new is the aggregation of large portfolios of properties under professional management —as well as “the availability of institutional investor capital to fund their acquisition.”
English translation: the smart money thinks single-family residences are a good investment.
Toward the end of the CoreLogic report was the latest year-over-year comparison: 12 ½% growths in home prices— even including distressed sales. It doesn’t take a Wall St. wizard to appreciate that kind of growth!
If the coming months will see you looking to sell (or buy) a Delaware property, give me a call/text 302-228-7871 or email me, Russell Stucki, REALTOR ® of Beach Real Estate Market to provide detailed information on Delaware homes for sale, investment and commercial properties, luxury and waterfront homes, condos/townhomes, new construction, lots and land, farms and equestrian properties located in but not limited to Bethany, Bethel, Bridgeville, Dagsboro, Delmar, Ellendale, Fenwick Island, Frankford, Georgetown, Greenwood, Harbeson, Laurel, Lewes, Lincoln, Milford, Millsboro, Millville, Milton, Ocean View, Rehoboth Beach, Seaford, Selbyville, Delaware.