Most rentals in Picayune, Carriere and other areas of Pearl River County, are at least $800/month or more (depending on condition, age, and location).  To purchase your own home would be a savings!  There are currently over 108 homes for sale in the $50,000-$120,000 price range in Pearl River and Hancock County.

Interest rates are still low, but they are starting to creep up.  Now is the time to find that home you need, at an affordable price, before the market heats up again!  Call Michelle Fradella at 601-569-0075 to find out what homes are available!

The homebuying process can be overwhelming, but if you go into it prepared, your first purchase can be a good experience. Here are some things to consider before making the plunge.

• Getting a mortgage-Fear of being rejected for a home loan is one of the main concerns for first-time homebuyers. To lessen the stress, you may want to get pre-approved for a loan before looking at prospective homes. This will not only help you feel more confident, it will also give you an advantage when there are multiple offers for a specific home. The fact that your loan has already been approved is of great value to the seller: because it shortens the purchase process and there is less of a chance that the buyer will back out of the sale.

• Mortgage Payments-The costs involved in the purchase of a home can be overwhelming to first-time buyers. However, with the help of a real estate professional, you can calculate out how much they you be able to pay each month in mortgage payments, and from there, what prospective homes offer a feasible payment plan.

• Down-Payment-The down-payment amount varies depending on the value of the home you choose and your mortgage lender. And in some cases, first-time home buyers can purchase a home with no money down. Although it varies from state to state, most offer government-funded programs for first-time buyers that help people buy a home with no down-payment. Your real estate professional will be able to explain the different options available to you.

• Closing Costs- First-time buyers often forget to consider the closing costs when making an offer on a home. Paying closing fees of up to 10 percent of the home sale amount is not unusual. Add that to the down-payment and you’ll have quite a sum to raise before the final papers can be signed. However, a smart first-time buyer takes this into account before making an offer, and with some professional help, the costs can be estimated in advance.

• Making offers- Don’t feel pressured into making an offer on the first home you see. This is a common mistake of many first-time homebuyers. Make sure you view different homes to get a feel for the marketplace. When you do decide on a home to make a bid on, work with your real estate professional to get all of your questions answered first before making an offer. But don’t wait too long to make an offer. The longer you wait, the greater the chance other prospective buyers may place offers, making it harder for you to negotiate a good deal.

• Condition of the Home- Buying a “problem” home is another fear of first-timers. A home that needs major repairs can become a costly venture. And, unless the asking price is adjusted to reflect the hidden repairs needed, chances are the home is not worth as much as the seller is asking for it. To avoid unfortunate surprises, your real estate professional may advise you to hire a home inspector before making a serious offer. That way, you know what you are getting into.

Above all, remember that there are no silly questions. Make sure you understand and are comfortable with every aspect of the transaction. Your real estate professional can be an invaluable asset in helping you make educated decisions so that your first-home purchase is a rewarding experience.

Michelle Fradella has extensive experience in working with First-Time Homebuyers.  Call Michelle, with Pinnacle Real Estate Services, to start the home buying process.  601-569-0075

Q.  Do I have to be completely moved out of my house before closing day?

A. In most instances, YES.  The seller is required to move out of the house, and have it in the same or better condition than when the buyer submitted the contract.  Prior to closing, the buyer’s agent will take the buyer through the property to do a “final walkthrough” to be certain that they are getting what the seller had agreed to (no missing fixtures, holes in walls, etc).  The buyer will be signing an acceptance at closing stating that they have viewed the property prior to closing and are satisfied.

It IS possible for the seller to do what’s called a “Post-Occupancy Agreement” which allows the seller to remain in the home for a pre-determined length of time, after the closing, with the seller paying the buyer a daily rent until they vacate.  This would have to be agreed upon DURING negotiations of the contract, and not after the fact.

However, the seller needs to be aware that this cannot be a long period of time, because the buyer’s homeowner’s insurance will not cover them, and the insurance company may require the buyer to switch it to “renter’s” insurance if the time is lengthy.

In the event that the buyer agrees to let the seller stay in the house after closing, it is recommended that a “security deposit” be held in escrow by the closing attorney that will not be released until the buyer has inspected the property after the seller has moved out.  Again, this is an amount that is negotiated between the two parties.

Be aware that MOST buyers are not going to be agreeable to this type of arrangement, and will want to take possession of the property at closing.

Q.  What happens if my house doesn’t appraise at or above the contract price?

A. Written within most contracts, there is verbiage that states that the property must appraise at or above the purchase price, or the contract will be null and void.

Should an appraiser value the property at a lower amount than what the buyer and seller have agreed upon, the buyer will now have the option to move forward with the sale (if they are paying cash), or cancel the contract.  If the buyer is depending on financing from a financial institution, their institution will only lend them what the appraisal value is.  If the buyer chooses to move forward, they would have to come up with the difference in order to make it work, or they will have to cancel the contract.

The seller does have the ability to accept the price of the appraisal, renegotiating with the buyer, BUT the buyer must still accept the property at that price, and may decide that the house wasn’t the value they thought it was, and can decide to not continue with the contract.

Q. How much Earnest Money is required to put down on the property when making an offer?

A. This amount will depend on the area that you are purchasing property in.  In Pearl River County it is common to have a $500 earnest money deposit for properties under $100,000.  $1,000 would be the common earnest money for a house between $100,000 to $300,000, and then the amount can go up substantially the higher the price of the home is.

Please keep in mind that there is no set amount, and this amount can be negotiated in the contract.  Sometimes, if the seller is being asked to move rather quickly for a quick closing, the buyer may be asked to put down more than the “traditional” amount to give the seller peace of mind that they will follow through with the contract.

Q. What happens to the Earnest Money if the contract falls through?

A. If the contract becomes null and void for any reason spelled out in the contract (ie Home Inspection issues, Financing issues, insurance rates, zoning issues, etc) then the buyer will have the right to receive their earnest money back.

Should the contract be breached by the buyer (they decided after all inspection periods that they don’t really want the house, etc), the seller would have the right to demand that the earnest money be forfeited.

However, Sellers need to understand that they are NOT entitled to ALL of the earnest money, should the buyer breach the contract.  Only half of the earnest money is given to the seller.  The remaining half is split between the Brokers involved in the sale.

Q. Can I move in prior to the closing date?

A. This would have to be negotiated with the seller.  It is possible, by completing a “Pre-occupancy Agreement”, but realize that this might not be favorable to the seller because they are still responsible for the house until closing, and their insurance may not allow them to do that.  Should the seller agree, the buyer would have to be aware that their belongings will not be covered by the seller’s home-owner’s insurance.

Q. What happens if a deficiency is found during a home inspection that the seller was not aware of?

A. Many times a Home Inspection will uncover things that are needing attention that the seller was not aware of.  If there are any deficiencies discovered that were not previously disclosed on the “Property Disclosure Statement”, the buyer has the right to ask the seller to repair/correct the issue, or they can cancel the contract, and receive their earnest money back.  If the buyer still wants the house and the seller is agreeable with making the repairs, then they move forward with the contract.

Q.  What are the typical closing costs for a Seller in Pearl River County, MS?

A. Typically the seller pays for the Deed Preparation, Wood Destroying Insect Report (WDIR), Well Inspection, Septic Inspection (if applicable), Home Warranty, Survey (if required) and Courier Fees related to the release of their mortgage, and Recording fees.

In the event that the buyer is getting FHA or VA financing, there may be what’s called “junk fees” related to these loans that the lender will not allow the buyer to pay for, so these types of financing can create additional fees for the seller.  The amounts would have to be received from the lender, because every loan varies.

Q.  Can the Seller pay closing costs for the buyer?

A. This will all depend on the lender’s requirements, but typically the buyer CAN ask the seller to contribute funds to cover the buyer’s closing costs, pre-paids (ie Homeowner’s Insurance, Lender Fees, Taxes, etc), and attorney’s fees.  Most lenders will only allow the sellers to pay up to a certain % of the loan value (around 3%).

Keep in mind that when you are making an offer on a property and need to ask the seller to pay for these fees, you need to consider making a good offer.  This amount will be subtracted from the seller’s proceeds, and they are in effect taking less for the house than the purchase price shows (because of their contribution to the buyers).  If the amount that the seller agrees to pay, puts the offer above what the appraisal value is, then the contract will be null and void, and the buyer may have to come up with additional funds at closing.

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If you have any questions that are not covered above, please contact Michelle Fradella at michelle(at)prchomes.com

Happened to be home when Oprah was on this afternoon. The topic was Makeunders. Women who needed less not more. But this also applies to homes. Nate Berkus did a room Makeunder and it inspired me!

Every home that goes on sale needs a makeunder. The less of you, the quicker your home will sell. The bigger and more spacious your home looks the higher it’s perceived value.

This means it’s really important to edit your stuff so what’s really important greets you (and your buyers) when you walk in the door. You want your homes’ features to shine, you want buyers to say AH!

The trouble is we tend to keep adding stuff to our homes and don’t stop to edit.
I compare it to getting dressed. You’ve got a great look going but then you keep adding accessories to your outfit. A scarf or two. All of a sudden your great look gets lost. No one will be able to focus on that perfect necklace or pair of shoes because there’s too much to look at.

The best outfits are the ones with a simple color palette. A nice pair of jeans, a contrasting top and jacket and some great accent jewelry and shoes.

Your home is no different. It’s an extension of who you are but it shouldn’t be the catchall for everything you’ve ever wanted to bring home. Layering is wonderful but you have to know when to stop before your look gets lost.

Start with one room. Treat it like an extension of yourself. How would you dress it?

10 Easy Tips to “Make Under” Your Home

1. Keep in simple, Pick one or two main colors for your walls and floor. The fewer colors the more spacious your home will look.

2. Pick a third and fourth (if desired) accent color . Use these colors sparingly.

3. Keep your surfaces consistent.  Walls should be the same material if possible and painted or finsihed in the same color on all walls. Floors also. Keep flooring consistent throughout the house.

4. Group your family photos on one wall and use similar frames and mats to keep a unified look. Edit your photos first and keep only the ones you love.

5. Group your plants also. Your plants will thrive and it reduces watering time. Toss out any that are unhealthy or dying.

6. If a room has more than one use make sure there’s a dedicated space for each use. Screens or dividers can help separate living from office or exercise space.

7. Keep your window treatments clean and simple. Heavy window treatments that cut down on light can overpower a room. Invest in some light colored curtain panels instead hung on a simple pole. These look great over inexpensive 2″ blinds.

8. Remove area rugs on carpet.  Visually they cut up the floor space and make the room feel smaller.

9. Edit your collections. Keep only pieces you love on display. Again grouping them will create impact and reduce visual busy-ness.

10. Keep it to 5. When in doubt, keep no more than 5 toys or 5 plants or 5 pillows or 5 frames or 5 lamps for example in a room at one time. If you want to add a new piece, take out an old one.
Remember keep it simple. Whether you are getting ready to sell your home or just want to live lighter, a professional home staging consultation can help you with your “makeunder”.

Photos are not samples of Hampton Redesign staging but chosen to represent how a simplified color palette can makeunder a room.

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Hampton Redesign   817-891-9563   www.hamptonredesign.com

Homes For Sale in Pearl River County –

(PDF file is 8 MB, so it might take a minute to load)

When you’re ready to find a great deal in the Picayune and Pearl River County Mississippi area, call Michelle Fradella at Pinnacle Real Estate Services at 601-569-0075.

Picayune School District – School starts for students on August 9th.

Pearl River Central School District (PRC) – School for students starts August 4th.

While the school year is in full swing, you may have children working on projects.  Here is a great FREE resource for clipart and templates for everything from chores to reports: Back to School with Office Clipart and Media.

House Hunting Tips when searching for a home in Picayune Mississippi.  What you should know when you are wanting to buy a home in Pearl River County, MS.

Now is an opportune time to find the right property!  Just in the $0-$100k price range , there are 75 homes for sale, with 41 of those homes being in the Picayune area.

If you are in the market for a home, and want to take advantage of the $8,000 tax credit (or $6,500, depending on your situation), then you need to act now.  The tax credits end in April, so now is the time to start searching for your next home!

If you have an interest in buying a home in Picayune or Pearl River County, MS, then contact Michelle Fradella at Pinnacle Real Estate Services.