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Comparing a 15 vs 30 Year Mortgage

by Sandi Pressley

If you’re planning to buy a home in Albuquerque, you will no doubt have to decide between getting a 15 or a 30-year mortgage. It can be a tough decision, especially since you’re having to think about where you’ll be in your life that far in the future.

Here are some of the pros and cons of each:

The Pros and Cons of a 15-Year Mortgage

A 15-year mortgage fixes your monthly payment and interest rate for the life of your loan, as is the case with the 30-year mortgage. It’s an alternative to the 30-year mortgage, which is the more conventional option. With a 15-year mortgage, you can save a lot of money over the long-term if you’re willing to deal with the potential downsides.

The pros:

  • A 15-year mortgage is cheaper in the long-run than a 30-year mortgage. The cost of a mortgage is based on the annual interest rate, and you’re only borrowing money for half as long with this option.
  • Short-term loans are cheaper and are viewed as less risky by a lot of lenders, so they may offer a lower interest rate. Sometimes the rate difference can be anywhere from a quarter-point to an entire point when compared to a 30-year option.
  • The Federal Housing Administration charges lower mortgage insurance premiums on 15-year loans.
  • Some financial analysts and planners feel like a 15-year mortgage is a form of forced savings. Basically, you’re investing in a house instead of something like the stock market, but that house is likely to go up in value or appreciate.

The cons:

  • You’re going to have a higher monthly payment when compared to a 30-year mortgage because you’re paying off your entire loan in half the time. You may not be able to afford this.
  • If your aim is to get a 15-year mortgage, you may ultimately be able to afford less house because of the payments.
  • If you’re making a higher house payment each month, you’re going to have less liquidity and cash reserves and less money to put toward savings or other investments.

Pros and Cons of a 30-Year Mortgage

The pros:

  • Your monthly payments are lower. This is essentially the biggest upside of a 30-year mortgage. You may have more flexibility in your budget with lower payments simply because you’re stretching your payments out over a longer period.
  • You have some flexibility in how you repay a 30-year loan. For example, if the opportunity arises, you can pay more, but you don’t have to.
  • You may qualify for a more expensive home, so your home may grow more with your needs over time.
  • Tax laws let you deduct mortgage interest from your taxes. When you first get a home loan, most of your payments go toward interest, so that can be a substantial deduction.
  • Since the payments are smaller, it’s easier to qualify for a 30-year mortgage.
  • You have more money each month to put toward other goals, including saving and investing.

The cons:

  • Lenders tend to charge a higher interest rate on 30-year mortgages because they’re spreading their risk of you not repaying over a longer period of time.
  • You’re going to pay much more in interest over the life of your loan.
  • With a 30-year loan, you’re building equity in your home at a much slower pace.
  • With a 30-year loan, you’re putting yourself more at risk of borrowing more than you can really afford.

Overall, you can see the pros and cons of each are significant. There’s no right answer as to which is the better option. It depends on your financial situation and your goals and priorities not only now, but into the future.

HOT ALBUQUERQUE PROPERTY OF THE WEEK!

4501 ATHERTON Way NW, Albuquerque, NM 87120

High atop in Placitas with magnificent sunrise & sunset views of mountains & mesas!! Lots of natural light, wood beam ceilings, open plan, 3 living areas, sep study/office plus In-law/guest suite! REFRIG AIR! Living room features cozy Kiva fireplace & wall of windows w/mtn views! Formal dining room &butler pantry. Beautiful kitchen has SW style cabinets, island, built-in oven, gas cooktop, bkfst bar & nook w/banco. Private master suite features a sitting room/office, fireplace, sep shower, huge walk-in closet & covered patio with views! Secondary bdrs w/Jack-N-Jill bath! Lower level walk-out living room/game room/media room! 3CG. paved driveway & cul-de-sac location. Natural landscape, 2 waterfalls, covered portals & private courtyard to enjoy the beauty and nature of Placitas!
REQUEST MO

Exquisite custom Tuscan home-in the gated community of Oxbow North. Impeccable hand crafted cabinetry throughout, travertine tile with inlay, gourmet kitchen with Wolf Appliances and Sub-Zero Refrigerator. Commercial grade radiant heating system (plus central forced air).Two master suites, 3 custom fireplaces, tiled balcony with breathtaking views of the city and mountains. Surround sound in great room and loft area, 4 car tandem garage..and so much more. Enjoy your next memorable home.

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

What to Expect from a Home Inspection

by Sandi Pressley

A home inspection is a requirement of real estate transactions. Professional home inspectors examine properties and identify problems a potential buyer should consider. It is possible to visit a home inspection if you are a prospective buyer. In either case, you'll receive a report of the inspection's findings.

It can be devastating to buy a home in Albuquerque only to find that it has structural problems that aren't fixable or are extremely expensive to fix after you buy the home. An inspection can help you avoid that potential disaster. Before buying a home, make sure the property has been inspected. Any major problem you discover can be discussed with the seller.

Although the two are sometimes confused, an inspection is not the same as an appraisal. An appraisal estimates the value of your property. Appraisals do not identify specific problems, but mortgage companies normally require them. Inspections are not required, but they are important.

Buyers and sellers must also conduct inspections. An inspection by a buyer occurs after you've made an offer, but before closing. Depending on what you find, you might need to renegotiate. A seller's inspection occurs before a home is listed for sale. Sellers might choose to do this to ensure their home is in a good condition before putting it on the market.

What Do Inspectors Look For?

Home inspections cannot cover everything, and there are certain parts of a house that may require an additional inspection.

A home inspection involves assessing the mechanical systems and structural integrity of a home. Windows, doors, ceilings, and walls are all assessed. Inspectors take a close look at major appliances, check the heating and air system, and examine the plumbing and electrical systems. Inspections aren't there to determine if you're getting a good deal.

Inspectors aren't interested in cosmetic issues unless they are also safety concerns.

The Report

You may see that an inspector completes a report using a checklist, or they may include paragraphs outlining problems. Any inspection is likely to uncover some issues unless the house is brand new.

How Does an Inspection Affect the Sale of a Home?

Buyers and sellers may renegotiate or end a potential deal if an inspection reveals potential issues.

In the event that a potential buyer walks away due to the inspection, you will have to put your home back on the market. An under contract or pending home that returns to the MLS can be a red flag for some buyers.

Potential buyers might demand that the seller make necessary repairs as part of renegotiation. The seller may also issue a credit so the buyer can make the repairs by themselves.

Before agreeing to anything, a seller may hire their own experts to determine what the inspector found. Inspectors can make mistakes.

Hiring an Inspector

You should hire a good inspector when buying a home in Albuquerque. Choose an inspector who is certified by an organization such as the American Society of Home Inspectors or the International Association of Certified Home Inspectors. To become a member of these organizations, you must pass exams, complete continuing education, and follow an ethics code.

Also, you might consider interviewing an inspector, who can share more information about their experiences. There are inspectors with specific expertise. A historic home inspector, for example, may be more appropriate for a home in an area such as Albuquerque.

Also, you can ask for references from past clients.

Last but not least, expect to pay anywhere from $300 to upwards of $500 for an inspection. This is typically paid upon completion of the service, and is not included in your closing costs.

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Welcome home to a slice of country living in the city! This impeccable 3 bed | 2 bath home is located in the much desired Bosque Del Rio neighborhood. Home features: freshly painted interior with an open concept kitchen, newly painted kitchen cabinets and new hardware, SS appliances, Quartz countertops, new fixtures, plantation shutters and window seats, 2 refrigerated air units, open and spacious living room. Outside is beautifully landscaped with low maintenance plants, trees and flowers; very relaxing! The Bosque trails are walking distance - where you will enjoy New Mexico living at its finest. Schedule your showing today!

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

Can You Buy a Home in Albuquerque if You are Unemployed?

by Sandi Pressley

Are you unemployed and thinking about buying a home in Albuquerque? You might think it's an impossible feat. But it might be possible to still qualify for a mortgage if you have other forms of income.

In short, you can't use your unemployment benefits to get a mortgage, but there may be other options to help you buy a home in Albuquerque.

What Forms of Income Count?

There are numerous types of income you can use if you are trying to get a mortgage. If you have dividends from investments or Social Security income, these can be included as income for mortgage purposes.

Another option is to have a co-signer.

Mortgage lenders do not consider unemployment income because it's a short-term source of income. Therefore, it isn't qualified income. Getting a mortgage while you are unemployed requires that at least one of the applicants has financial documentation.

In most cases, lenders require a stable income for at least two years. Lenders must also prove that income will continue for at least three years into the future. A lender cannot verify your future earnings if you're recently unemployed.

What Happens If You Return to Work?

Once you return to work after being on unemployment, you may not have to show a two-year job history to a lender. Depending on certain factors, reapplying for a mortgage might not even be necessary.

The factors can include, for example, whether or not you have income from other sources, how you handled your finances while unemployed, or the size of your down payment.

In the event that you have not yet started your new job, but you have an offer letter for employment, you may be able to qualify for a mortgage. The letter may need to verify that you'll be employed within 90 days of getting the mortgage, and it should also show your income.

Applying with a Co-Signer

A co-borrower will make it easier for you to get a mortgage following an unemployment period. When making an assessment, a lender will consider the income, debt-to-income ratio, and credit score of the other borrower.

Your co-borrower will need to have a good credit rating and a steady, verifiable income.

What is Considered Income?

Regular income payments made to you are counted by most lenders when determining whether you qualify for a mortgage.

This can include, for instance, income from a traditional job as well as many types of government benefits, self-employment, child support, and alimony. You can include income from rental properties if you own them. Payments you receive as a freelancer also count.

Lenders consider retirement and disability benefits to be income. Dividends, capital gains, and interest income can sometimes be considered.

Among the things that do not count as income are income that's not listed on tax returns, illegal income and projected income. If a lender is unable to verify your income, it won't be accepted, and capital withdrawals can't be used.

As a whole, you cannot use unemployment income to get a mortgage, but there are other options, such as finding a co-signer or co-borrower, or using other forms of income.

HOT ALBUQUERQUE PROPERTY OF THE WEEK!

4501 ATHERTON Way NW, Albuquerque, NM 87120

Exquisite custom Tuscan home-in the gated community of Oxbow North. Impeccable hand crafted cabinetry throughout, travertine tile with inlay, gourmet kitchen with Wolf Appliances and Sub-Zero Refrigerator. Commercial grade radiant heating system (plus central forced air).Two master suites, 3 custom fireplaces, tiled balcony with breathtaking views of the city and mountains. Surround sound in great room and loft area, 4 car tandem garage..and so much more. Enjoy your next memorable home.

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

Are You Priced Out of Buying Your First Home in Albuquerque?

by Sandi Pressley

When it comes to buying a house, Albuquerque first-time homebuyers have a serious problem. Despite an easing in acceleration, home prices continue to rise at record levels.

This trend is likely to continue for several reasons. Motivated buyers are plentiful, housing supply is limited, and mortgage rates are low. Prices for almost everything, including homes, are rising due to inflation. In a low-interest rate environment, buyers can buy more than they would ordinarily be able to, and this can result in heated bidding wars.

Additionally, sellers are staying put since they don't want to jump into a highly competitive buying market, further limiting the supply of available homes.

It's hard for homebuilders to get the materials they need, and if they do, labor is in short supply.

What are the implications of this for first-time buyers or anyone buying a house in Albuquerque?

Priced Out: What Does It Mean?

When you're priced out of the housing market, you cannot afford even a starter home. First-time buyers are often priced out for a variety of reasons, many of which are currently converging.

Your hard-earned down payment isn't going as far as you planned if you are trying to buy a house right now. You may not be able to pay for a house even if you save 20% of what you were planning to pay.

What are your options?

Although it may seem logical to keep renting, rent prices are increasing due to inflation and wages aren't keeping up, so renting isn't always the best option.

Although none of your options might be perfect, when you're priced out, your choices are limited.

Save More

Depending on where you live, you might have to keep renting and add to your savings if the market isn't currently affordable. At the same time, this allows you to wait a little longer until the market improves. If you want to re-enter the market successfully, you may have to be patient since it could take a couple of years.

It's better to think about your monthly expenses instead of the sales price when you're considering what you can afford.

If you want to wait out the market and put more money aside, don't just put it in your regular savings account. Some of your savings may need to go into riskier but higher-earning options, such as stocks.

Be Flexible

Changing your expectations is another option you have when you're priced out of the market. In the current market, limited inventory and other factors may make you give up some of your wish list items, or even more than a few.

Perhaps you'll end up buying a fixer-upper that fits your budget. The key to being a first-time buyer in today's market is to be humble.

Geographically broaden your home search

Likewise, you may have to give up some of your wish list as far as home features, and you may also need to broaden your geographic search. Prices for homes can differ considerably from one neighborhood to the next or from one suburb to the next. Have you considered buying a home in surrounding Albuquerque communities such as Rio Rancho, Placitas, Corrales, Bernalillo, or Sandia Heights, just to name a few?

Choosing the Right Real Estate Agent

Finally, as a first-time buyer, you will have a hard time navigating the current market without the help of a great real estate agent. Despite your ability to find an affordable home, you may face stiff competition.

Having a real estate professional who knows about properties before they hit the market will give you an advantage. As well as helping you understand your local market, they can help you adjust your expectations.

You can cut some of the stress out of the buying process by hiring a real estate pro to negotiate on your behalf. Contact Sandi Pressley and her team today to see how they can use their years of experience buying homes in Albuquerque to help you realize your home owning goals.

HOT ALBUQUERQUE PROPERTY OF THE WEEK!

4501 ATHERTON Way NW, Albuquerque, NM 87120

Exquisite custom Tuscan home-in the gated community of Oxbow North. Impeccable hand crafted cabinetry throughout, travertine tile with inlay, gourmet kitchen with Wolf Appliances and Sub-Zero Refrigerator. Commercial grade radiant heating system (plus central forced air).Two master suites, 3 custom fireplaces, tiled balcony with breathtaking views of the city and mountains. Surround sound in great room and loft area, 4 car tandem garage..and so much more. Enjoy your next memorable home.

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

Should You Make a Cash Offer on a Home in Albuquerque?

by Sandi Pressley

If you’ve been in the market to buy a home in Albuquerque, you’ve no doubt come across the concept of cash buying. Usually, it’s a tactic meant to sweeten the deal. But there are, as always, pros and cons of buying a home with cash.

It’s Less Common

Not as many home buyers are buying with cash these days. It’s just not as possible for most people with median home prices at around $300,000. According to the National Association of Realtors, around 87% of home buyers used financing when purchasing a home.

Buying with cash doesn’t mean you’re showing up to the closing with a briefcase full of cash. It just means you’re not using financing. You might pay for the home with savings, selling another property, or investments.

The Pros of Paying Cash

Paying with cash has some great benefits, such as:

  • With stiff competition in the home buying market in Albuquerque, you’ll be more attractive to sellers. When it comes down to bidding wars, the cash offer will give you an edge over other buyers. Financing can fall through and delay the sale. Cash transactions usually close faster.
  • You don’t have to deal with mortgage payments and the added cost of interest.
  • Lower closing costs because you don’t have to pay lender and loan originating fees.
  • Faster closing.
  • The home is yours. You won’t fear losing it if you can’t make the mortgage payments.

The Downsides of Paying Cash

There are a few cons of paying cash for a home that you do have to think about as well.

  • If you use all your money to buy the home, you won’t have access to it later if needed.
  • There may be better ways to invest your money than to put it all in a home.
  • You won’t be able to claim mortgage tax deductions, which allow you to deduct the interest on the first $750,000 of your mortgage.

If you’re still wondering if buying a home with cash is a good idea for your situation, talk to a financial professional. They can go over your finances to help you decide what the best course of action is. And of course, we can also help you weigh the pros and cons as well to fit your specific real estate needs.

HOT ALBUQUERQUE PROPERTY OF THE WEEK!

4501 ATHERTON Way NW, Albuquerque, NM 87120

Exquisite custom Tuscan home-in the gated community of Oxbow North. Impeccable hand crafted cabinetry throughout, travertine tile with inlay, gourmet kitchen with Wolf Appliances and Sub-Zero Refrigerator. Commercial grade radiant heating system (plus central forced air).Two master suites, 3 custom fireplaces, tiled balcony with breathtaking views of the city and mountains. Surround sound in great room and loft area, 4 car tandem garage..and so much more. Enjoy your next memorable home.

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

These Hot Albuquerque Homes are Priced to Sell!

by Sandi Pressley

When homes like this hit the market in Albuquerque, there's no time to waste! These hot listings are prices to sell fast, so make sure you act now to get into the ideal home for your family in Albuquerque.

Feel free to contact Sandi Pressley and her team at 505-263-2173 to get more information and schedule a viewing of these fine homes. You can also check out all of our listings on our Featured Listings page.

515 IRON Avenue SW, Albuquerque, NM 87102

PRIME DOWNTOWN LOCATION READY FOR AN INVESTOR'S TLC....SOLD AS-IS....PRICED TO MOVE. HOME WAS SEPARATED INTO 2 UNITS, BUT COULD EASILY BE MADE BACK INTO ONE. INTERIOR DOOR SEPARATES FRONT UNIT FROM BACK UNIT. ALL OFFERS TO BE REVIEWED SATURDAY AT 5 PM

Learn More!


545 PINON CREEK Road SE, Albuquerque, NM 87123

Views! Views! Views! Enjoy the views & wildlife all around in this natural setting nestled in the foothills!! Open floor plan with lots of natural light! Two balconies & front porch deck!! New roof in 2021! 3 new patio doors in 2021! 2BDR/2BA/2CG plus approx 1033 sf of unfinished bonus storage area on lower level. Large foyer! Skylights! Living/dining room features raised ceilings, clerestory windows, fireplace & balcony with views! Master suite features a fireplace, dual sink vanity, sep shower & sep tub, & balcony with views! Make your own updates with your style in this light, bright & open townhome! Great location close to foothill trails, shopping, parks, easy access to I-40 to KAFB, Sandia Labs, airport, downtown!

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

The Hardest Part of Buying a Home in Albuquerque

by Sandi Pressley

There is no one way to buy a house, and everyone experiences it differently. One element of buying a home in Albuquerque may be challenging for you while another element may be more challenging for another. In general, a lot of people say the following things are the most challenging when buying a house.

Home Price

Since the pandemic, home prices have risen sharply. Even after they've been able to purchase a property, homeowners say the most challenging aspect of the process was the price.

There are major bidding wars going on, particularly for starter homes, as well as for properties in all price ranges. There is a limited number of homes on the market, people are afraid to sell because they aren't sure if they'll find something else to buy, and mortgage rates are at record lows. All of these factors can make it feel impossible to buy a home.

The Paperwork

One of the most challenging parts of buying a home is the paperwork, although how difficult this is depends on your job and financial situation as well as the type of loan you're applying for.

Self-employed people may have a harder time with paperwork and the loan process itself. Just to get started, you'll need to show several years of tax returns and bank statements. During the waiting period before the loan is finalized, you may feel a lot of anxiety. Loans are usually not finalized until just before closing. You have to wait in limbo until the last moment, and you may not have a clear idea of what’s happening with it during this time of uncertainty. 

The Emotions

Before you start the process, you may not realize how emotionally draining buying a home can be. For example, you might fall in love with a house that's way out of your budget and end up overspending. When you work with an experienced realtor like Sandi Pressley, they can help you stay objective so you don't put yourself in a precarious financial situation. 

It’s easy to start to feel overwhelmed and discouraged when you lose out on a house as well.

During the home-buying process, you should learn how to manage your expectations. You have to prioritize the most important things and be ready to walk away if something like a bad inspection happens.

Saving for a Down Payment

One of the biggest hurdles to buying a home is the down payment, which is determined by the cost of the home. When you're already paying rent, it can be incredibly challenging to save for a significant down payment.

Agreeing

If you're buying your first home with your partner, deciding might be the toughest part.

You may have a completely different idea of what the ideal home is than they do. You may fall in love with something that your partner flatly rejects. It can be challenging, but you can void some of these pitfalls by having in-depth discussions about what you both want early on.

A real estate agent can assist you with many other aspects of buying a home; their job is to make things easier on you and provide their expertise to an otherwise stressful process. You can count on Sandi Pressley and her experienced team to make the home buying process as easy and stress-free as possible.

HOT ALBUQUERQUE PROPERTY OF THE WEEK!

Palm Road NE, Rio Rancho, NM 87144

Sweeping Views of the Sandia Mountains, ready to build your custom home.

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

How to Buy a Home in Albuquerque if You're Self-Employed

by Sandi Pressley

Are you planning to buy a home in Albuquerque and work for yourself? These days, it's more common and popular in Albuquerque to be a freelancer, contract worker, gig worker, or anyone self-employed. The downside is that there are no benefits such as health insurance. The same time, there are more upsides for professionals who can work remotely.

One of the advantages is the freedom and flexibility you have to create your own schedule and earn unlimited income. You can also create your own lifestyle by balancing work and personal time.

Freelancers and contractors may encounter a problem, however.

Is it possible to get a mortgage?

It can be difficult to prove your income if you do not have a traditional employer when you apply for a mortgage. Lenders will also scrutinize your application more closely.

Keep Up with Relevant Documents

It's easy to lose track of your earnings and expenditures over time, but when it comes time to apply for a mortgage, being disorganized can become a problem. You can expect to have ups and downs in your income when you're a freelancer or self-employed. A lender wants to see your long-term earnings average. If you can show your lender at least several years' worth of earnings documentation, you should be able to calm their fears.

A pattern of earnings needs to be demonstrated. You might have to delay buying a home until you can do that. The best way to show steady earnings is to show trends that are on the rise.

Furthermore, if you are self-employed, you likely try to write off as much of your business expenses as you can. Obviously, you want to show as high an income as possible, so if you are planning to buy a house in the near future, consider your deductions accordingly.

Rather than W2s, you will need to show your 1099s from the past two years. In addition to your tax returns, you may need to provide bank statements and profit and loss statements. Additionally, you can provide letters from clients proving your relationship is stable.

Income Calculation

The way you calculate your income as a freelancer is different. By dividing the past two years of your adjusted gross income by 24, your lender will arrive at your average monthly income.

Make the most of your savings

In order to avoid paying private mortgage insurance, you should aim to save at least 20% of the home's purchase price. With that in mind, it's best to make a large downpayment in order to demonstrate your reliability as a borrower.

Organize Your Finances

If you're self-employed, you can expect to face more hurdles when buying a home. You will most certainly be held to a higher standard financially, so be prepared.

Ideally, you need a credit score of at least 740. The higher the score, the better.

Put a plan in place to pay off your debt, including your credit cards. A lender's willingness to lend to you is heavily influenced by your credit utilization. It is ideal to use less than 30 percent of your credit limit.

Check your credit report before applying for a home loan. By doing this, you can see where you need to improve and where possible errors may be occurring. It is not uncommon to find errors in credit reports.

Before you apply for a home loan, refrain from opening new accounts or lines of credit, because that will negatively impact your credit score.

Finally, separate your personal and business bank accounts before applying for a mortgage. Your business should not use a personal bank account.

Getting a mortgage as a freelancer is definitely possible, but also more challenging. Prepare yourself for it as much as possible, and you will be more successful in the long run.

HOT PROPERTY OF THE WEEK!

8116 CORN MOUNTAIN Place NW, Albuquerque, NM 87114

Popular floor plan 4BDR/3BA/3CG plus office/study on the main level plus a large loft! Light, bright & open floor plan with lots of living space featuring an oversized family room with stacked stone fireplace, wall of windows & soaring ceilings, separate living room, formal dining room w/new flooring! Entertainer's kitchen features beautiful cabinetry, solid surface countertops, recessed lighting, island/bar tile flooring, pantry & sunny bkfst nook! Private master suite features huge walk-in closet, dual sink vanity, garden tub & sep shower! Covered patio, shrubs, trees, rock landscape. In the heart of Ventana Ranch West close to schools, parks, pathways, shopping!!

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

Choosing the Right Home Builder in Albuquerque

by Sandi Pressley

It can be daunting to begin the process of building a custom home rather than buying one of the existing ones in Albuquerque. You know what you're getting when you buy an existing home. There is a lot of uncertainty when doing a custom build.

Choosing a home builder is the first thing you need to do.

What you should know about choosing a builder and some tips to help you along the way are detailed below.

Exactly What is a Home Builder?

This may sound like an obvious question, but not so much. The term home builder has a broad definition. Builders are contractors who construct residential housing, but there are subcategories of home builders.

There are home builders available for hire. An in-house team of professionals works for the company you hire. It is a turnkey project that the team manages from start to finish.

A general contractor is another option. The general contractor will hire and manage workers. Your house will be built by this contractor. General contractors also obtain building permits and materials.

It may be that you hire your own architect to design your home, and then you hire a general contractor to build it.

An agreement with a general contractor typically includes a fee of up to 20% of the project's cost, which covers the contractor's services.

There are also the options of hiring project managers or hiring a construction management company. Subcontractors may be hired and materials may be obtained, and they may charge fees for overseeing the project.

Choosing The Right Builder in Albuquerque

Knowing the different types of homebuilders, how can you select the best one for your project?

  • Identify your niche. Considering your budget, home size, and style are all important when building a house. Ensure that the company you choose specializes in the niche that your home falls under. You wouldn't hire a company specializing in luxury properties if you were building a starter home.
  • Prepare a list of the most important things to you and a clear vision of what you want before you start talking to builders.
  • When comparing contractors, ask to see examples of their work. Furthermore, you'll want to know how long the company has been operating.
  • You can learn a lot about contractors from online reviews.
  • Credentials should be checked before hiring a builder. The state license and insurance should be up-to-date.
  • What kind of warranty does the builder offer?
  • A builder's recently built homes should be viewed in person, and if possible, you should take a tour, although this isn't always possible.

Questions to Ask Builders

At least three builders should be interviewed. You must have a clear understanding of what your expectations and timeline are before you do this, as was discussed above.

Among the questions you should ask are whether or not they are willing to provide references and if they offer a guarantee. Once you select a builder, every detail of what you agree upon should be in writing, including how allowances are determined, the type of materials they use (such as copper or plastic plumbing), and how you will work together.

You should call references provided by potential builders. Vendors and subcontractors should also be contacted.

As a first step, you might consider contacting your local home builder's association. They can provide you with a list of local builders.

In addition to real estate agents, such as Sandi Pressley and her team, you may be able to get help from friends or relatives who have worked with a builder.

Building your own home in Albuquerque can be an exciting and life-changing experience. Make sure it’s a positive decision by following these tips above.

HOT PROPERTY OF THE WEEK!

14412 OAKWOOD Place NE, Albuquerque, NM 87123

A gem nestled in the Foothills! Built in 2000, this 4-Bedroom custom home comes with all the bells & whistles. At 4,665sqft, this home boasts incredible living space made for entertaining. Open kitchen is a chef's delight w/ great new appliances, 5-burner Gas Range, gorgeous granite, large pantry and tons of seating. Spread out w/ the lower level entertaining area, or go outside on any of the multiple balconies, or through the huge backyard with hot tub and so many great views. This smart home features lights that turn on automatically as you enter the room & is wired with surround sound. The Master Suite showcases a luxurious bathroom complete with jetted tub, oversized shower, & custom California Closet. With a water softener, humidifier, and laundry chute, this home truly has it all.

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

Enhance Your Lifestyle With Our Luxury Albuquerque Homes for Sale

by Sandi Pressley

If you're ready to enter the luxury home market in Albuquerque, there's no better place to start than with our latest featured luxury listings. Whether you're looking for extra room for your family, meticulous contruction and features, or a spectacular view, these homes are sure to please.

Feel free to contact Sandi Pressley and her team at 505-263-2173 to get more information and schedule a viewing of these fine homes. You can also check out all of our listings on our Featured Listings page.

14412 OAKWOOD Place NE, Albuquerque, NM 87123

A gem nestled in the Foothills! Built in 2000, this 4-Bedroom custom home comes with all the bells & whistles. At 4,665sqft, this home boasts incredible living space made for entertaining. Open kitchen is a chef's delight w/ great new appliances, 5-burner Gas Range, gorgeous granite, large pantry and tons of seating. Spread out w/ the lower level entertaining area, or go outside on any of the multiple balconies, or through the huge backyard with hot tub and so many great views. This smart home features lights that turn on automatically as you enter the room & is wired with surround sound. The Master Suite showcases a luxurious bathroom complete with jetted tub, oversized shower, & custom California Closet. With a water softener, humidifier, and laundry chute, this home truly has it all.

Learn More!


315 LAGUNA SECA Lane NW, Albuquerque, NM 87104

Private gated community of The Gardens on the Rio Grande! Minutes to Old Town, downtown, parks, shopping, restaurants! Incredible outdoor living & entertaining space with 3 sets of patio doors to the lush interior courtyard, rose bushes, shrubs, trees & beautiful serene fountain! Relax & unwind in the custom spa with waterfall! 3BDR Plus OFFICE/STUDY/3BA/3CG! Formal dining! Oversized great room with soaring ceilings and Kiva fireplace. REFRIGERATED AIR & FURNACES! RADIANT HEAT! Skylights! Gourmet kitchen with granite countertops, island w/wine rack, SubZero fridge, gas cooktop & convection oven! Large secondary bdrs with Jack-N-Jill bath! Elegant mst suite looks onto courtyard & features Kiva fireplace, sitting area, jetted tub, sep shower, dual sink granite vanity & two closets!

Learn More!

Contact us today to help you buy or sell your next home in Albuquerque. Looking for the perfect home for sale in Albuquerque? Our easy-to-use home search tool can help you start the process. Join us twice a week on our blog for more real estate advice and great reasons to buy a home in Albuquerque and the surrounding area. Follow us on Facebook for the latest Albuquerque real estate updates.

Get your Morning Inspiration with the Sandi Pressley Team

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