Real Estate Information Archive

Blog

Displaying blog entries 1-3 of 3

What is Your Home Worth?

by Rose Price

Homes in Champaign Il, like the rest of the country, has seen home prices bounce around the last several years. The same question is always being asked, "How much is my home really worth?"

Being informed and know what your home will sell for today will should be the first step in preparing to sell your Champaign, IL home.  A home is worth what someone will pay for it. Everything else is an estimate of value. To determine a property's value, most people turn to either an appraisal or a comparative market analysis.

An appraisal is a certified appraiser's estimate amenities, energy efficiency, the quality of the of the value of a home at a given point in time. To make their determination, appraisers consider square footage, construction quality, design, floor plan, neighborhood and availability of transportation, shopping and schools. Appraisers also take lot size, topography, view and landscaping into account.

The list price is the price tag put on a house in a real estate listing; it usually is only an estimate of what the seller would like to get for the property. The sales price is the amount a property actually sells for. It may be the same as the listing price, or higher or lower, depending on how accurately the property was originally priced and on market conditions.

A seller may need to adjust the listing price if there have been no offers within the first few months of the property's listing period.

The appraisal value is a certified appraiser's estimate of the worth of a property, and is based on comparable sales, the condition of the property and numerous other factors. Lenders require appraisals as part of the loan application process; fees range from $200 to $300. Appraisers use several factors when estimating value including historical records, property performance, condition of the home and indices that forecast future value.

Market value is what price the house will bring at a given point in time. A comparative market analysis is an informal estimate of market value, based on sales of comparable properties, performed by a real estate agent or broker. Because brokers and agents are not state-certified appraisers, they may not perform appraisals in most states. Instead, they estimate the value of a property using a CMA.

You can do your own cost comparison by looking up recent sales of comparable properties in public records. These records are available at local recorder's or assessor's offices, through private companies or on the Internet. Neither of these services produce official appraisals. They also don't factor in market nuances or other issues a certified appraiser or real estate professional might in assessing the value of your home.

 

Rose Price, CIPS, CRP

Prudential Landmark Real Estate
Champaignrose.com

 

    Search for Homes in the Champaign Area 

    Featured Champaign Properties 

    Champaign Condominiums 

    Selling Your Champaign Home

    Champaign Real Estate Market Information 


    Let’s Connect!


    Facebook 

 

 

**

Garden Clubs of Illinois Flower Show

by Rose Price

Looking for something FREE to do in Champaign, Illinois?

An advanced standard flower show of the Garden Clubs of Illinois, Inc. will be free and open to the public Saturday, June 9, from 7 a.m. to 4 p.m. at Lincoln Square Mall in Urbana.  Exhibits include floral design,  horticulture and educational.

It's more fun sharing your gardening expertise and learning from others. Garden clubs offer opportunities to make new friends and acquire new skills. No wonder their membership is growing.

For more information you can call 630-617-9269  or email  gardenclubsill@aol.com

Thanks .news-gazette.com for the info on this great Champaign, Illinois event!

Rose Price, CIPS, CRP

Prudential Landmark Real Estate
Champaignrose.com

 

    Search for Homes in the Champaign Area 

    Featured Champaign Properties 

    Champaign Condominiums 

    Selling Your Champaign Home

    Champaign Real Estate Market Information 


    Let’s Connect!


    Facebook 

 

 

**

Dealing with Credit Score

by Rose Price

If you've been searching for a new Champaign, Illinois home then I'm sure you've heard the words "credit score" quite a few times. With the Illinois lenders tightening their requirements it is more important than ever.

You credit score is commonly referred to as a FICO score, and is a proprietary tool created by the Fair Isaac Corporation. This is not the only way to get a credit score, but the FICO score is the measure that is most commonly used by lenders to determine the risk involved in a particular loan.

Due to the proprietary nature of the FICO score, the Fair Isaac company does not reveal the exact formula it uses to compute this number. However, what is known is that the calculation is broken into five major categories with varying levels of importance. These categories, with weigh in brackets, are payment history (35%), amount owed (30%), length of credit history (15%), new credit (10%) and type of credit used (10%). All of these categories are taken into account in your overall score - no one area or incident determines your score.

The payment history category reviews how well you have met your prior obligations on various account types. It also looks for previous problems in your payment history such as bankruptcy, collections and delinquency. It takes into consideration the size of these problems, the time it took to resolve them, and how long it has been since the problems appeared. The more problems you have in your credit history, the weaker your credit score will be.

One of the largest components that is reviewed is the amount that you currently owe to lenders. While this category focuses on your current amount of debt, it also looks at the number of different accounts and the specific types of accounts that you hold. This area is focused on your present financial situation, and a large amount of debt from many sources will have an adverse effect on your score.

The other categories (length of credit history, new credit and type of credit used) are fairly straightforward. The longer you have a good credit history, the better. Of course, common sense dictates that someone who has never been late with payment over twenty years is a much safer bet than someone who has been only made on time payments for a few years. Also, people who apply for credit a lot probably already have financial pressures causing them to do so, so each time you apply for credit, your score gets dinged a little. Finally, a person with only one credit card is less risky than a person with 10, so the more types of credit accounts you have, the lower your score will be.

It is important to understand that your credit score only looks at the information contained on your credit report and does not reflect additional information that your lender may consider in its appraisal. For example, your credit report does not include such things as current income, debt to income ration, and length of employment. However, because your credit score is a key tool used by lending agencies, it is important that you maintain and improve it periodically.

Your credit score is a major factor when purchasing a home, especially in this tight lending environment. Contact me today if you have any questions about your credit score.

Rose Price, CIPS, CRP

Prudential Landmark Real Estate
Champaignrose.com

 

    Search for Homes in the Champaign Area 

    Featured Champaign Properties 

    Champaign Condominiums 

    Selling Your Champaign Home

    Champaign Real Estate Market Information 


    Let’s Connect!


    Facebook 

 

 

**

 

Displaying blog entries 1-3 of 3

Syndication

Categories

Archives