Please review this Help for Home Buyers and then CALL JENNY to do what she does best . . . find the right home for YOU!

Please see EDUCATION for Buyers.

HUD Home Page 
The U.S. Department of Housing and Urban Development has developed an excellent site with useful info for homebuyers. Learn about home inspections, obtaining a mortgage and definitions from the Home Buyer's Vocabulary.

Consumer Information - Housing 
The U.S. Consumer Information Center features a collection of eleven pamplets on buying and financing a home.

American Society of Home Inspectors  
While mainly for use by professional home inspectors, this site also contains information for homeowners and homeowner wannabes. A comprehensive listing of links includes everything from home buyer services to consumer protection for homebuyers.

Fannie Mae  
Fannie Mae, America's largest supplier of conventional home mortgages funds shares the dream of homeownership with millions of Americans. Check out their section on Home Buyer Information.

HSH Associates 
HSH Associates, a leading independent publisher of mortgage and consumer loan information, lists daily national-average mortgage rates, the latest ARM indexes, and current mortgage rates from around the country.

MetLife Homeowner's Insurance
Protect your house or mobile home with MetLife Auto & Home and spend nights sleeping instead of worrying.

Additional Sources

www.inspectiondirectory.com -find an inspector in your area

www.lendingtree.com-quotes for mortgages

www.equifax.com-order your credit report

www.transunion.com-order your credit report

www.mbaa.org/consumer -Mortgage Bankers Association of America

ourfamilyplace.com/homebuyer/index.html -helpful hints for buying a home

www.hud.gov -homebuyer rights and other tips from the Housing and Urban Development agency

And remember . . . Don't spend a PENNY 'til you call JENNY!

Steps Towards Home Ownership Purchasing a home involves a roller coaster of emotions, a pile of paperwork and nerves of steel.  For many, it is one of the most significant investments of their lives.  Research and an understanding of your financial situation, rather than emotion, should drive your decisions.  Following are steps to follow to the final destination of home ownership.

Step 1: Determine Affordability

The best way to determine what you can afford is to sit down with a financial consultant or mortgage broker who will weigh your current debt against your income and savings.  It is important to consider the down payment, closing costs and your ability to meet monthly mortgage payments and other expenses, such as maintenance.  Jenny can supply the names of reputable lenders who will be glad to help you.    Lenders are generally looking for a down payment of five to 20 percent of the purchase price and proof of your ability to repay the mortgage.   *   The lender considers your debt-to-income ratio, which is a comparison of your gross (pre-tax) income to housing and non-housing expenses. Non-housing expenses include such long-term debts as car or student loan payments, alimony, or child support. According to the FHA, monthly mortgage payments should be no more than 29% of gross income, while the mortgage payment, combined with non-housing expenses, should total no more than 41% of income. The lender also considers cash available for down payment and closing costs, credit history, etc. when determining your maximum loan amount.   *   Keep in mind that you don’t have to wait until you find a house to apply for a loan.  In fact, it’s a good idea to get pre-approved before you start looking. Pre-approval means you have met with a lender, your credit history has been reviewed, and the loan officer believes you can qualify for a given amount.  Although a pre-approval is not a final loan commitment, it demonstrates your borrowing power.

Step 2: Jenny Markham Will Help Find Your Home

Finding your prospective home can be time-consuming.  Enlist the help of Jenny Markham, a full time Realtor with current listings and up-to-date market information.  Jenny’s services add no cost to your home purchase, and she is patient, kind, and knowledgeable in real estate.  She can provide excellent references from past clients. *   Many people choose communities based on schools. *   Do you need access to shopping and public transportation or libraries and museums? Or the peace and quiet of a rural community or the YMCA or lake? Are parks and recreation important? *   When you find places that you like, talk to people that live there.  More than anything, you want a neighborhood where you feel comfortable. *   Before you begin looking at homes, make a list of your priorities, like location and size.  Establish minimum requirements that a house must have for you to consider it, and a "wish list" of things you like but aren't essential. *   Use the links on Jenny's Community Links page for helpful information. Contact the U.S. Department of Housing and Urban Development (HUD) if you ever feel excluded from a neighborhood or house. Also, contact HUD if you believe you are being discriminated against on the basis of race, color, religion, sex, nationality, familial status, or disability. HUD's Office of Fair Housing has a hotline for reporting incidents of discrimination: 1-800-669-9777 (and 1-800-927-9275 for the hearing impaired).

In Tennessee, an offer requires a written contract.  Jenny will advise, write and submit a contract with your offer price, down payment, proposed closing date and any contingencies, such as requiring a satisfactory home inspection or a home sale contingency.  The seller may accept your offer, reject it or make a counter-offer.  Jenny will represent and advise you in all negotiations, which may go back and forth several times until the binding contract is finalized.

Step 4: Secure a Mortgage

Choose your lender carefully. Look for financial stability, a reputation for customer satisfaction, and a company that gives helpful advice and makes you feel comfortable.    A local lender with the authority to approve and process your loan locally is preferable.  It will be easier for you to monitor the status of your application and ask questions.  Jenny can provide recommendations of local lenders.   With a fixed-rate mortgage, the interest rate stays the same for the term of the mortgage, which is typically 30 years.    Adjustable Rate Mortgages (ARMS):  come with a lower initial rate.  The downside is that the rate and payment may move up based on a financial index, often once or twice yearly.  The advantage of an ARM is that you can afford a more expensive home since the initial interest rate is lower.

Step 5: The Closing

At the closing, the final paperwork is signed and the property title is transferred from the seller to the buyer.  The Settlement Statement, or HUD-1 Form, itemizes the services provided and fees charged.  It is completed by the closing agent and is given to you at or before closing.   On average, you can expect to pay two to five percent of the home’s selling price for closing costs.  Keep in mind that lenders also often require you to obtain homeowners insurance.    Closing Costs Include:   *   Attorney or escrow fees (Yours and your lender's if applicable) *   Property taxes (to co*er tax period to date) *   Interest (paid from date of closing to 30 days before first monthly payment) *   Loan Origination fee (co*ers lenders administrati*e cost) *   Recording fees *   Survey fee *   First premium of Mortgage Insurance (if applicable) *   Title Insurance (yours and lender's) *   Loan discount points *   First payment to escrow account for future real estate taxes and insurance *   Paid receipt for homeowner's insurance policy (and fire and flood insurance if applicable) *   Any documentation preparation fees     Once the closing is complete, you are free to move into your home as specified by the contract.  You will soon realize the economic benefits including the opportunity to build equity and take advantage of valuable tax benefits.      Link to more valuable information:   *    Buying Your Home: Settlement Costs and Information   *    HUD Mortgage Glossary   And remember . . . Don't spend a PENNY 'til you call JENNY!