If you own your own small business, you may decide to take smaller amounts out of the company as your personal income in order to leave more money invested in the company. This can make it appear that you are not making as much money as you actually are. Some lenders may be worried that you will not earn a steady enough income to make your monthly payments. They also may not be willing to do the extra paperwork that is needed to provide a mortgage to self-employed individuals.

What can you expect from all this? Well, you might have to pay a higher mortgage rate than that of a prime borrower. Your bargaining power may be reduced if the lender sees you as a higher risk borrower. Finally, you might have trouble even finding someone willing to work with you at all.

There are several steps you can take to make yourself a more attractive customer when looking for a mortgage as a self employed person.

1. Max out your credit score – A higher credit score shows you are responsible when it comes to repaying your debts and makes you a more attractive candidate.

2. Offer a large down payment – Investing more money into your new home in the very beginning makes you less likely to abandon it if your financial situation were to take a turn for the worse, making you less of a risk to the lender.

3. Pay off consumer debts – by paying off your credit cards, and other debts, you become a more attractive candidate for a mortgage. Your cash flow will be higher and making your monthly payments will be much easier

4. Keep a record of your self employment history – Proving that your business has been operational for several years with a steady or increasing income will make the banks more comfortable with lending you money. Be willing to provide documentation regarding income, tax returns, profit and loss statements etc.
It can be quite easy to acquire a mortgage if you follow the right steps and know what you are getting into so you are not surprised. Following the above steps in preparation of finding a mortgage lender will certainly make the task less of a burden on yourself.

If you have any questions, or are interested in a mortgage estimate, contact one of Accsell Realty’s representatives today.

When a person purchases a home by obtaining a mortgage for a bank, the bank is technically in possession of the home until the borrowed value is repaid. If the borrower stops paying their mortgage payments, the bank will repossess the property. When this happens, the repossessed home is usually put back on the market.

This is the perfect time for someone in the market for a new home to step in. Buying a home right from the bank that is in possession of it has significant advantages than buying from another home owner. The bank is not living in, or using the house for anything, making it a financial burden. They do not want to have their money tied up in assets like that. This motivates them to sell the property quickly. This is usually accomplished by listing the property at a much lower price than similar properties.

Another advantage to dealing directly with the bank is your ability to negotiate. Negotiations could include lowering the mortgage rate, closing costs, and other agreements. It never hurts to try and bargain with the bank, the odds are they want to sell the home more than you want to purchase it, putting the ball in your court.

If you have any questions regarding buying a new home, or questions about the real estate market in the London area, please contact one of our agents today.

Rent-to-own homes work the same way as a leasing a car. Each month, for set number of months, the renter pays the owner of the home to live there, with a portion of the rent going towards a down payment on the home. At the end of the term the renter has the options to purchase the house, with the down payment already taken care of.

The rent-to-own system benefits both parties. The seller is able to move into their new home while avoiding the burden of managing two mortgages. The buyer, who may not have been able to afford the home otherwise, is able to move in much sooner as it is a much more affordable situation. It is important for both parties to pay close attention to the contract they draw up so they know exactly how much of the monthly fee is for rent and how much is going towards the down payment, as well as any other terms of the agreement such as penalties for late payments, what happens if the renter backs out of the deal, who is in charge of maintenance and repairs, etc.

Contact an Accsell Representative today to for more information.

With interest rates at historic lows, it’s a great time to finance an investment property but you’ll still need to evaluate both the local market conditions and your long-term plans. It’s important to determine whether you plan on renting it out after your child graduates as this will affect the rate of appreciation.

The idea is to cover the mortgage payments with the rent collected from roommates while your child manages and maintains the property. You’ll have someone on site to cut the grass and perform other general types of maintenance as well as collect the rent. These chores can be performed in return for a reduction of their rent.

Ensure you thoroughly investigate the local real estate market and check out zoning laws regarding rentals. Specific purchasing details such as co-signing the mortgage or listing your child on title should be discussed with your financial planner and mortgage advisor. There are pros and cons to different ownership scenarios so you’ll want to examine what makes sense for your individual situation.

Purchasing an investment property that’s managed by your child is not a decision that should be taken lightly but it’s certainly an option worth considering. Just make sure you do your homework so you’re able to carefully weigh up the risks and rewards. When you crunch the numbers, you may well find that purchasing a campus crib makes great sense!

There are two general principles you should account for when considering the curb appeal of your home before you sell. First, what are the best, most appealing features of the exterior of your home? Once you have established these, see if there is any way to enhance them. Second, determine the least appealing features or flaws of your home and do your best to minimize these issues.

You can help improve your homes curb appeal by following these, among other, tips.

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• Remove any mold, mildew or discolouration , to the best of your ability, from the house, roof, walkways, and driveways.
• Relocate any unnecessary clutter from the yard, gardens, or porches, to an out of site location such as a shed or garage.
• Ensure windows are clean.
• Ensure gutters are clean.
• Keep the lawn freshly trimmed and free of weeds.
• Edge sidewalks and remove grass and weeds growing up between concrete.
• Dispose of any fallen branches or leaves.
• Trim stray branches on trees and bushes around your property.
• Pressure wash bricks, siding, decks, and cement walkways.

Remember, a little outdoor maintenance can go a long way when it comes to grabbing a potential buyer’s interest and getting them to come back for closer look. If you have any questions about curb appeal, or even want one of our real estate professions to come assess your homes curb appeal and give you pointers before you sell, contact us today.