Table of Contents

1. Sprucing Up Your Home for Fall

2. Holding an Open House

3. Mold in the Home, Health Concerns

4. 10 questions to ask your mortgage lender

Sprucing Up Your Home for Fall

As changing foliage and brisk air signals the start of another autumn, New England homeowners begin to prepare for the coming cold season. Before the chill sets in, here are some jobs you may want to get a head start on:

• To avoid injury, repair loose railings and carpeting. If need be, fix any shaky exterior steps
• Install vermin screens and rain caps on your chimney
• Bleed hot water valves if your house has hot water heating
• Have your furnace and chimney serviced
• Check and upgrade your fire safety system, if needed
• Check and replace weather-stripping, where needed
  • Clean filters on heating and cooling systems
• Put covers on air conditioners
• If your house has a septic tank, check the sludge levels
• If you’re planning on installing storm windows, do so now
• Clean eaves troughs, downspouts, and gutters
• Store lawn furniture
• Trim shrubs and trees (especially those close to your house)
• Where applicable, protect plants with mulch or burlap
• New homeowners: Ensure that your windows and doors are secure; change all exterior locks. If your house inspection called for repairs, take care of them before the cold sets in.

Don’t hesitate! Take care of these maintenance issues now; it will serve you well in the long run.

*The statements given above are suggestions; please consult a home maintenance expert prior to engaging in such activities.*

Holding an Open House

Why Hold an Open House?
As people put their homes on the market, real estate professionals will advise sellers to hold an open house. Open houses are most beneficial when a seller introduces a new listing, announces a new asking price, or wants to remind buyers that a home is still for sale. It’s wise to use an associate from a well-established firm, as homebuyers are more likely to visit open houses given by a familiar company name.

Tips for Sellers

The following tips will help maximize a seller’s experience:

Signs of Attraction
A popular weekend pastime for potential buyers is to drive through neighborhoods searching for potential places to live. Sales associates will know how to attract buyers to your home. Agents will often place “Open House” signs and directions near well-traveled intersections.

Curb Appeal
Take care of the exterior! Mow the lawn, trim the trees, plant flowers, and remove all clutter from view. Remove cars from the driveway to provide parking. A fresh coat of paint on the front door will enhance a welcoming feeling.

Keep it Clean
Prospective buyers are interested in seeing all aspects of a house. Remove clutter and ensure all lights are functioning. Baking fresh bread or cookies for a pleasant smell isn’t a bad idea, either; creating a good impression for the homebuyer is vital.

Lighten Up
Natural light is the best way to enhance a room’s atmosphere. If possible, an open house should coincide with the time that sunlight best accents a major room. If the weather accommodates, open up windows to allow for fresh breeze.

State the Facts
Effective fact sheets are a good reference for a potential homebuyer’s later view. Beneficial details include a property’s best features, neighborhood, highways, schools, and recreational facilities. Include photographs!

10 questions to ask your mortgage lender

1. What is the interest rate on this mortgage?
   To determine exactly what you'll pay over the term of the loan, you need to know the rate. Rates change quickly, and if your credit is less than perfect, you may not be offered the lender's lowest figure.
   To effectively compare different lenders' programs, ask for the annual percentage rate (APR) of the mortgage interest, which is generally higher than the initial quoted rate because it includes some fees. But beware: the APR found in advertisements can be misleading. Mortgage lenders don't always include all the fees they charge in the calculation that determines APR, so customers who use that figure to shop rather than an itemized breakdown of rates, points and fees may end up comparing apples to oranges.

2. How many discount and origination points will I pay?
   Lenders may charge prepaid mortgage interest points to lower your interest rate or other points that have no benefit to you at all. Find out how many you'll be expected to pay and which kind of points they will be.

3. What are the closing costs?
   Mortgages come with fees for various services provided by lenders and other parties involved in the transaction. You want to know what those fees will be as early as possible. Lenders are required to provide a written good faith estimate of closing costs within three days of receiving a loan application.

4. When can I lock the interest rate and what will it cost me to do so?
   Your interest rate might fluctuate between the time you apply and closing. To prevent it from going up, you may want to lock the rate, and even points, for a specified period. Ask your lender if lock fees apply. Also, find out what the experts are expecting rates to do, read Rate Trend Index.

5. Is there a prepayment penalty on this loan?
   There may be a prepayment penalty on your loan. Some penalties are 1 percent of the loan amount, others are equal to six months' interest, some apply only when you refinance or reduce the principal balance by more than 20 percent, and some kick in if you sell your home. Find out the duration of any penalty period and how the penalty is calculated. Some lenders offer lower interest rates to buyers who accept prepayment penalties.

6. What is the minimum down payment required for this loan?
   The rate and terms of your loan will be based on a down payment figure, typically 3 to 20 percent of the buy price. If you can put more money down, you may be able to lower your rate and improve your terms; if you come up short, you may be required to get mortgage insurance.

7. What are the qualifying guidelines for this loan?
   These requirements relate to your income, employment, assets, liabilities and credit history. First-time home buyer programs, VA loans and other government-sponsored mortgage programs typically offer easier qualifying guidelines than conventional loans.

8. What documents will I have to provide?
   Most lenders will require proof of income and assets before approving your loan, and may require other documents as well. Buyers with excellent credit may qualify for a no-documentation or "no-doc" loan, but they can expect to pay a hefty down payment and higher interest rate.

9. How long will it take to process my loan application?
   The answer will depend on a number of variables. When the loan business is brisk, underwriters get backed up, verification takes longer, appraisals move slower and other bottlenecks develop along the loan pipeline. Lenders may say two weeks, but 45 to 60 days is probably more realistic in most cases. You'll need their best guess to determine how long to lock in your loan.

10. What might delay approval of my loan?
    If you provide the lender with complete, accurate information, the loan process should run smoothly. If the underwriter discovers credit problems, however, there could be delays. Make sure you notify your lender if you change jobs, increase or decrease your salary, incur additional debt or change marital status between the time you submit an application and the time the loan is funded.

Experience Matters
It is our practice to review these questions with our clients and we always offer to review the loan programs and estimated closing costs with their attorney, CPA or other trusted advisor.
Atlantic National Mortgage
Telephone: 203.227.7100 | Facsimile: 203.227.1100 | 800.568.7055
www.atlanticnational.net