The Ole South Blog

Blog Category - Renting vs Buying

Where will you be when the rent goes up?

Categories: Ole South Neighborhoods, Renting vs Buying, Time to Buy | Posted: January 21, 2013

NOW really is a great time to buy a new Ole South home.

time-to-buy

Actually, there is never a bad time to purchase a new home – but there are certain times that are better than others – and NOW is one of those times!

Rents rose consistenly in Middle Tennessee throughout 2012 and are still rising in 2013. Many places even have a waiting list!

Rental-Prices-Going-Up

Get out to an Ole South new home neighborhood soon and explore just how easy owning a brand new home can be. We have zero-down options for first-time buyers and interest rates are the lowest they have been in years. Plus, you won’t have to leave your car out in the rain any more!

We have new homes all over Middle Tennessee – Nashville, Smyrna, Murfreesboro, Spring Hill, Gallatin, and Clarksville. For more information, call 615.219.5644 anytime, or visit our website OleSouth.com!

In the meantime, enjoy this cool little song!

[youtube=http://www.youtube.com/watch?v=IsBgd34WXVw]

The Ole South Blog: Are you still renting?

Categories: Interest Rates and Financial Information, New Homes for the First-Time Buyer, Renting vs Buying, Time to Buy | Posted: February 16, 2012

Have you ever thought of your home as a piggy bank?

If you are renting, the piggy bank belongs to your landlord.  And unlike owning a new home, the landlord can scream for more every year!

Rental rates are already on the rise in the Greater Nashville area, and the choices are getting fewer.  Read more:

http://www.tennessean.com/article/20120214/BUSINESS02/302140026/Apartment-shortage-squeezes-Nashville-renters?odyssey=tab%7Ctopnews%7Ctext%7CFRONTPAGE

So, WHY are you STILL RENTING?

Home mortgage interest rates are lower than they have ever been, even lower than one year ago!  Read more about that too:

http://money.cnn.com/2012/02/02/real_estate/mortgage_rates/index.htm

So again, WHY are you STILL RENTING?

We hear it all the time…. “I am going to rent until I can save enough money for a down payment on a home.”  That is a very good plan…. IF you are actually doing that.  The good folks at Tennessee Housing Development Agency have another plan you may wish to consider….

Let THEM pay your downpayment for you! 

So many people have not a clue as to how the THDA Great Start program works.   Check into it. 

In most areas of Middle Tennessee, you could purchase a new home up to $275,000!  (Ole South offers a great selection of all brick homes below this price too…even in Williamson County!)

There are income limits for eligibility, but they are higher than you might think.  A 1-2 person household can make up to $79,440.  Three or more person households can make up to $92,680 and still be eligible.  Click here to determine the limits for your county.

So, WHY are you STILL RENTING?  Visit Ole South TODAY!

From the 80’s to the 300’s, you’ll find a brand new home to meet your every need!

 

The Ole South Blog: “Do the Math!”

Categories: Interest Rates and Financial Information, New Homes for the First-Time Buyer, New Homes for those downsizing, Renting vs Buying, Time to Buy | Posted: October 3, 2011

If you don’t own a home right now,  and are paying rent,  it really is time to “do the math.”   Home ownership may not be right for everybody, especially if your parents are rich and have a lavishly furnished guest house, but it can be a very important component of your future financial health.

Here is a helpful calculator to help you “do the math,” courtesy of Ginnie Mae, aka Uncle Sam:   (Use these numbers for an approximate example … 3.75% interest rate, 30 Year term, and 3.5% minimum down=payment.  First time buyers may qualify for ZERO down, using a 4.55% interest rate.  Visit www.thda.org for details) 

http://www.ginniemae.gov/rent_vs_buy/rent_vs_buy_calc.asp?section=YPTH

Even if you already own your home, the low fixed interest rates of today probably have you thinking about that next home, whether larger or smaller.  Go ahead and admit it.  After all, now really is a great time to buy that new home you have always wanted.  The perfect time may not be there for you down the road.  

There is another reason for now being the time to buy.  If you wait much longer, interest rates will more than likely be substanitally higher.  Those that took advantage of historically low rates will not be wanting to sell and give up their historically low interest rate for a higher one.   If  there is a home on the market that you like, and can afford, buy it….NOW.

Okay, so your existing home may not command the sale price it would have a few years back.  Neither is the new home you are wanting to buy.   Lose and save?  Gain and pay?  “Do the math.”   When doing that math, keep in mind that your house is your home first, and investment second.

Have Questions?  We have answers. 

Visit any www.OleSouth.com  new home neighborhoods in Nashville, Murfreesboro, Smyrna, Spring Hill, or Clarksville and explore all of your many options.  We take the stress out of buying a home.  Get your free stress-relief ball with every visit!

 

Ole South Blog: Good times ahead for landlords.

Categories: Renting vs Buying | Posted: August 18, 2011

Buying a home isn’t for everybody.  If you are not sure about your current job, marital status, or a host of other varibles, you may be better off just renting a bit longer until your life settles in.  It may also be that you are self-employed and find it hard to obtain financing with all the changes in the mortgage market.  Or, through no fault of your own, you may have lost your job and not been able to pay everything on time every month over the past years and now your credit score is hindering your ability to get a home mortgage.

For those that do not fit any of the above scenarios, but are still renting for whatever reason, you really should give serious consideration to home ownership.  Read more here:

http://www.ehow.com/info_7930598_average-apartment-rent-increase.html

Rising costs are based on supply and demand.  The cost of many materials used in the construction of new homes are increasing.  The price of oil effects the cost of everything too, and we all see what is happening there.  Good news for prospective home buyers – these rising costs have not been passed on to the consumer – YET!

But at some point they will be.  If you don’t believe me, perhaps you can believe Warren Buffett:

http://www.usatoday.com/money/economy/housing/2010-03-01-buffett01_ST_N.htm

First time home buyers can still purchase a new home with zero cash out of pocket.  So can eligible Veterans when using a VA loan.  And don’t forget the new “Homeownership For The Brave” program offered by THDA, where eligible veterans and active duty personnel can receive a lower interest rate and not even use their VA eligibility!  Visit www.thda.org for details.

So get out there and explore your possibilities!  It doesn’t cost anything to look.  But it might cost you something if you don’t…on the first day of every month! 

Here are our newest spots from Home Center Network, Comcast Channel 49.  You can see all of our neighborhoods daily at 9:00 am & pm, as well as our website, www.OleSouth.com

[youtube http://www.youtube.com/watch?v=hBarmSsGolI?version=3&rel=1&fs=1&showsearch=0&showinfo=1&iv_load_policy=1][youtube http://www.youtube.com/watch?v=XXz9pkC07I0?version=3&rel=1&fs=1&showsearch=0&showinfo=1&iv_load_policy=1]

Where are YOU going to be when the rent goes up?  Why not in your very own brand new Ole South home?

Ole South Blog: We have answers.

Categories: Renting vs Buying | Posted: August 18, 2011

After the good-ole days of school, the thought of owning a home seldom crosses one’s mind.  We know very little about the home buying process and live under the assumption that we will need a large down-payment whenever the time is right.  We really don’t know quite where to start, and we don’t want to admit it.  We don’t want to appear stupid.

Every year you do not own a home is another year you will not build financial security.  If the home you purchase does not go up in value at all, it will still be yours when it is paid for and you still have something to sell.  Home Equity loans have also put many children through college.  No apartment complex has ever managed to do that… except for its owners!

Lets address a few of the many questions that our first-time buyer of today might want to ask:

1)   How much down-payment will I have to have?     Don’t you just hate hearing the answer, “it depends.”  I do, and refuse to use that as an answer.  In most cases, you will have to have a minimum down-payment of 3.5% of your home’s purchase price.  In Tennessee, first-time buyers using THDA’s Great Start can purchase a new Nashville area home with ZERO down payment and ZERO cash out of pocket.  Of course, certain credit and income restrictions apply, but the program is relatively easy to qualify for.   Visit www.thda.org for more details.

Members of our US Military, Veterans and Active-duty, are also eligible for ZERO DOWN financing and can now receive a 1/2% reduction in their fixed interest rate under THDA’s new “Homeownership for the Brave” program.    Please contact me anytime and I will tell you all about these great options!  615.593.6340.

2)  Just what are closing costs?   Much like purchasing a car, closing costs include sales taxes and various fees.  The costs of obtaining your loan are also closing costs, and there are many options there as well.  Also included is an escrow account where you property taxes and insurance is pre-paid into the future.  Typical closing costs to range between 3 to 4% of the purchase price of your home.  This amount is due at the time of closing.

3)  Who pays closing costs?  Everybody pays in one way or another!  Who gives the money at closing is negotiable.  It is very common for buyers to negotiate with the seller to pay closing costs.  If you purchase a new home with Ole South, ALL of your closing costs are paid when using our network of preferred lenders.  In any case, we will pay 2% toward your closing costs with any lender.  We make it easy to own a new home.

4)  How much money do I need when I decide to contract on a home?  The deposit amount you place when you contract is a negotiable figure between buyer and seller.  That deposit is called “Earnest Money” and is held in escrow to apply toward your cash requirements at closing.  We at Ole South ask for a minimum $500 deposit at the time of contract.  If you use the THDA Great Start program through Ole South Financial, you will receive this deposit back at closing!

5)  When do my payments start?  Payments on your new home do not start until the home is completed and the transaction is closed.  Typical first payments are due 30 days forward to the 1st of the next month.  If you close on April 15th, your first payment will be due on June 1.

So get out there and explore the many homeownership options that are in front of you!   See for yourself how new homes are better.  Start by visiting the new home neighborhoods of Ole South.  And remember, if you have questions….. we have the answers!   www.OleSouth.com

 

Ole South Blog: More reasons to buy now.

Categories: Renting vs Buying, Time to Buy | Posted: August 18, 2011

If you’ve been waiting for the planets to become perfectly lined up before buying your first home, wait no longer!

Buying your first home is a big decision, and if you haven’t thought much about it, you need to start now.  According to HUD, home prices have stabilized and will start rising.   

Read more…..

http://www.housingzone.com/housingzone/sales/hud-secretary-home-prices-set-rise

If you have a stable job, and plan on staying in the Nashville area, what are you waiting for?  The rent to go up?

 [youtube http://www.youtube.com/watch?v=oQ77LUUvffg?version=3&rel=1&fs=1&showsearch=0&showinfo=1&iv_load_policy=1]

No agency is better developing programs for first-time buyers than the Tennessee Housing Development Agency.  Here are examples of their loan programs:

THDA Great Rate – 4.25%     This loan is perfect for a first-time buyer that already has their 3.5% downpayment funds secured, but has high “front-end” ratios.  With this loan, the house-payment can actually be as high as 44.99% of gross income, as long as no other installment debt is present.

THDA Great Advantage – 4.55%   This plan is great for those that may be just a little short on cash.  With this plan, the buyer receives a 2% grant, which can be used toward the required downpayment, or closing costs.

THDA Great Start – 4.85%   This plan is terrific for those wishing to save their cash for other plans.  The buyer receives a 4% grant, which can be used toward the required downpayment, administrative, and closing costs.  With a seller paying all closing costs (which Ole South does), this is truly a “ZERO CASH REQUIRED” loan.

Homeownership for the Brave – Veterans and active duty military ned to explore this great program.  Pick any plan listed above and subtract 1/2% from the fixed interest rate.  No first time buyer requirement, and if you have another home financed through VA, you can still use this program and not sell that other home…as long as the new home will be your principal residence.

Targeted Counties – The first-time buyer requirement is waived in designated “targeted counties.”  Maury County is one such area and you will want to explore to great selection of new homes in Ole South’s Meadowbrook and Cobblestone neighborhoods of Spring Hill.

Detailed information is available at THDA’s website, www.THDA.org.

Want to learn more?   Whether you are exploring purchasing your first home, looking to move-up or downsize, or would simply like to know more about all home financing issues and programs, drop by any of our model homes.  We are open daily and anytime by appointment.  Contact sales@olesouth.com for additional information on why NOW is a great time to purchase a new home!

And you are always invited to drop by any of our Middle Tennessee model homes.  We’ll be excited to explore your options with you!