Tips on Avoiding A Bad House

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A bad house is when the seller of a house fails to inform the buyer of a structural defect before the purchase. It’s difficult to prove if the seller did know about the defect after you bought the house, but you can avoid buying a bad house in the first place.

Although all sellers are legally required to inform you about the house’s defects, remember that not all home seller disclosures are accurate. To find out if there really are any structural problems the seller failed to inform you, you can ask the neighbors because they might know more about the house than anyone else besides the previous owners.

To make sure that you really didn’t miss out on any defects, hire your own professional house inspector who can look through the house before you make any purchases. Be careful of any inspectors recommended by the real estate agent because they probably won’t direct you to an inspector who will be as thorough as you want.

Finally, don’t be afraid to ask the seller about whatever special concerns you might have about the house. As a buyer, it’s your responsibility to make sure you know everything about the house before agreeing to purchase the property. Make sure that your offer is based on the recommendations of your professional house inspector.

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Buying Your First Home: Tips for First-Time Home Buyers

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There are many benefits to buying a home instead of renting one – appreciation of the property, pride of ownership, mortgage reductions, etc. You’re probably already shopping for a your own house because you’ve figured out the reasons why you want to own one. Now all you have to do is remain focused and determined to find the house that’s just right for you or your family.

Most searches for homes begin by checking out listings on Internet, looking at pictures or going through virtual tours. If you still can’t find what you want, ask your friends to recommend a good real estate agent to you, one who will listen to your needs and only show you homes that will suit those needs.

When looking at a house, bring a digital camera and take pictures of the exterior and every single room. Note down all the interesting features and elements of the house’s construction and design, and pay attention to the location and its surroundings. After leaving each house, rate it from a scale of one to ten, with ten being the highest. You’ll immediately know which among the houses you’ve seen deserve a second look. Once you do look at them a second time, you’ll notice different things that you didn’t see the first time around.

Remember that all real estate agents are required to point out defects in the home and should help you, the buyer, find EXACTLY what you’re looking for.

Refinancing Your Home Loan

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Refinancing your home loan is the process by which you pay off an existing home loan by transferring the loan to another lending institution. It allows you to change the conditions of your home loan to suit your needs and gives you better opportunities. Refinancing lets you take advantage of lower interest rates and gives you more financial flexibility.

To refinance your loan, take out a new loan and use part or all of the funds to pay off the existing home loan. The new lender is usually from a different institution, but some people can refinance with the same bank or lender, depending on the terms. If you choose to move to a new lender, the new lender will take care of paying off the old loan.

People refinance their loans for many reasons. Usually it’s because they’d like to avail of cheaper interest rates, pay off debts faster, raise money for a big purchase, and shorten the term of the loan. Remember that refinancing is not always the solution for all cases. Make sure that you must review all your options before choosing to refinance your home loan.

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Bahay Ko Program Housing Loan from GSIS

Just because you’re strapped for cash doesn’t mean that you can’t build your dream home. The Government Service Insurance System (GSIS) now has affordable housing loans and refinancing schemes that you can use through their Bahay Ko Progarms.

Bahay Ko Acquire allows you to purchase a house and lot, condominium unit, townhouse, or any housing unit that’s either brand new or secondhand. You can also use this to purchase a lot and build a house from scratch. The Bahay Ko Construct lets you build a house on a lot registered in your name. For home improvements and any repairs in an existing home or unit, there is the Bahay Ko Improve. Bahay Ko Refinance allows you to transfer your housing loan from another institution to GSIS.

Loans reach up to Php 300,000 at a 12% interest rate per year. Maximum term of the loan for all packages above Php 180,000 is 25 years. For more information, visit the GSIS website.

BPI Build Your Dream Housing Loan

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Owning your dream home can now become a reality through the Bank of the Philippine Islands (BPI) Build Your Dream Housing Loan. If you are a Filipino of legal age but not older than 65 years, you can use this housing loan to acquire a lot, house and lot, condo unit, townhouse, for house construction, and for home improvements. The loan you will receive is a minumum of Php 400,000 and a maximum of 70%of the appraised value of the lot or unit as long as it doesn’t exceed Php 5M. Loan term lasts for a maximum of 25 years for house and lot or townhouse and 10 years for condo unit or vacant lot.

For more information on the loan features and interest rates, visit the BPI website.

Philippine National Bank LA “Own a Philippine Home” Program

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Filipinos and non-Filipinos residing in the United States can now own real estate in the Philippines through the Philippine National Bank’s Own A Philippine Home Loan Program. Under this program, you can acquire a lot, a house and lot, a condominium unit, a townhouse, or a rowhouse. Interest rates depend on the Wall Street Journal Prime Rate, usually variable at around 3%.

Other loan types covered by this program are the construction of a house and lot owned by the borrower can mortgage the lot in favor of PNB, renovations of a house owned by the borrower, and refinancing of a peso home mortgage loan.

Loans for a lot with proposed or ongoing construction of a house will be up to 80% of the selling price.   For the purchase of house and lot, loans will go up to 60% of the selling price. Loans for renovations of an existing house can reach up to 80% of the real estate property.  Repayment of the loan should be in US dollars and will take a maximum of 20 years for a house and lot and 10 years for a lot only.

For more information on the Philippine National Bank’s Own A Philippine Home Loan Program, visit the PNB Los Angeles website.