Denver Real Estate Agent Video Library

Why Getting Pre-Approved Should Be Your First Step This Spring

Spring kicks off real estate’s busiest season. As more homebuyers enter the market, the competition ramps up—so being prepared from the start gives you a real advantage. If you’re planning to buy a home this spring, getting pre-approved for a mortgage before you start shopping can help you stand out and move fast when it counts.

Why Pre-Approval Should Come First

Waiting until you find the one to get pre-approved might feel harmless, but in a market where homes go fast, that delay could cost you. Getting this step out of the way early helps you act quickly and confidently when the right home comes along.

Here’s what pre-approval involves—and why it matters now more than ever.

What Is Mortgage Pre-Approval?

Mortgage pre-approval gives you a clear picture of how much a lender is willing to let you borrow. To get there, a lender will review your financial information, including:

• Debt-to-income ratio (DTI): This shows how much of your income goes toward debt. A lower DTI generally means you can qualify for a higher loan amount.
• Employment and income: Steady, reliable income helps lenders feel confident in your ability to repay the loan.
• Credit score: A higher score can increase your loan options—and possibly help you lock in a better rate.
• Payment history: Your record of paying bills on time plays a big role in how lenders assess risk.

Once the review is complete, you’ll get a pre-approval letter stating how much you’re qualified to borrow. That letter not only gives you buying power—it also moves you one step closer to the closing table by getting much of the financial legwork out of the way.

It Helps You Understand Your Finances

Getting pre-approved isn’t just about impressing sellers—it’s also a valuable financial check-in. You’ll get a clearer understanding of your full financial picture: how much home you can truly afford, how your credit score affects your loan options, and where your finances stand today.

If there’s anything that needs attention—like lowering your DTI or improving your credit score—you’ll have a chance to address it before you’re deep into the home search. It’s a smart move that can help you save money in the long run and avoid surprises later in the process.

Bonus: You’ll also get a better sense of what your monthly mortgage payment could look like, including estimated taxes and insurance, so you can budget more accurately.

You’ll Shop Smarter (and More Confidently)

Spring’s fast-moving market can be emotional—especially when multiple offers are on the table. With pre-approval in hand, you’ll shop with a clear budget and a solid plan.

That budget is your maximum loan amount—but it doesn’t mean you have to spend every dollar. Consider what you’re comfortable paying each month, and factor in other costs like HOA fees, utilities, or maintenance when deciding what fits your lifestyle.

A clear budget also helps your real estate agent zero in on homes that match your financial goals—saving you time, stress, and potential heartbreak.

You’ll Look Like a Stronger Buyer

In a competitive market, sellers are looking for more than just the highest offer. They want one they can trust to close. A pre-approval letter shows that you’re a serious buyer who’s already been vetted. That gives your offer a major edge.

As Zillow puts it, pre-approval “signals to sellers that you’re a serious buyer”—which can help tip the scales in your favor if you’re up against buyers who haven’t taken that step.

Pro tip: After you’re pre-approved, avoid major financial changes. Opening new credit, switching jobs, or making large deposits can affect your loan approval. Keep things steady so your homebuying journey stays on track.

The Bottom Line

If buying a home is on your spring to-do list, make pre-approval your first move. It gives you clarity, confidence, and a competitive edge—all essential in today’s fast-paced market.

Ready to get started? Let’s connect and make sure you’re fully prepared to buy with confidence this spring.

Why More Homeowners Are Tapping Into Their Home Equity—And How You Can Make It Work for You

If you’re like many homeowners, you’ve probably noticed the buzz around home equity lines of credit (HELOCs) lately. With mortgage rates no longer at record lows and credit card debt on the rise, tapping into home equity has become a popular financial strategy. Instead of refinancing at today’s higher rates, homeowners are finding smarter ways to use their built-up equity—whether to pay off high-interest debt, fund home renovations, or invest in new opportunities.

So, why are more homeowners turning to HELOCs, and how can you use one to strengthen your financial future? Let’s dive in.

Why HELOCs Are on the Rise

Homeowners are taking out HELOCs at record levels. In fact, HELOC balances increased by $9 billion in the fourth quarter of 2024, marking eleven straight quarters of growth.

The trend is being driven by several key factors:

1. Homeowners Have More Equity Than Ever

Over the past few years, home values have surged, and so has the amount of equity homeowners are holding. The average homeowner with a mortgage now has about $311,000 in tappable home equity, meaning they have a significant financial resource built into their property.

But equity isn’t liquid cash—it’s tied up in your home. A HELOC offers a flexible, low-cost way to access that wealth without having to sell your house. It works like a credit line, allowing you to borrow as needed rather than taking out a lump sum all at once. That makes it especially useful for covering large expenses over time, such as home improvements, tuition, or medical bills.

If you’ve been sitting on a large amount of home equity, a HELOC could be the key to turning that value into something useful.

2. Credit Card Debt and Interest Rates Are Soaring

If you’ve noticed that credit card interest rates have skyrocketed, you’re not alone. The average credit card APR is now over 20%, which makes carrying a balance more expensive than ever. With the cost of living also rising, many homeowners are finding themselves juggling multiple high-interest payments—struggling to make real progress on their debt.

That’s where a HELOC comes in. Since HELOC rates are typically significantly lower than credit card rates, homeowners are using them to consolidate debt and reduce interest costs. Instead of paying 20% or more on credit card balances, they can transfer that debt to a HELOC and pay much less in interest.

This strategy not only helps you pay off debt faster, but it can also free up more of your monthly budget—giving you breathing room and financial stability.

3. Refinancing Isn’t as Attractive as It Used to Be

A few years ago, refinancing was an easy way to access cash from home equity while lowering your mortgage rate. But today’s market looks a lot different.

During the pandemic, many homeowners locked in mortgage rates below 4%, with some even securing rates in the 2-3% range. Now, with average mortgage rates hovering around 7%, refinancing means giving up that ultra-low rate—which isn’t appealing to most borrowers.

A HELOC provides a better alternative because it allows you to borrow against your equity without touching your primary mortgage. That means you can keep your existing low mortgage rate while still accessing the cash you need.

For homeowners who don’t want to trade in a great mortgage rate for a higher one, a HELOC is often the smartest option available.

4. HELOC Rates Are Becoming More Affordable

Interest rates on HELOCs peaked above 10% in early 2024, but they’ve been on a gradual decline. With the Federal Reserve adjusting policies and inflation cooling, many analysts predict that HELOC rates could drop further in 2025.

Additionally, many lenders are offering introductory HELOC rates that are much lower than standard variable rates. These temporary rate reductions can make borrowing even more affordable, especially if you plan to pay off your balance quickly.

If you’ve been considering a HELOC but were worried about rates, now could be a great time to lock in a competitive offer.

Smart Ways to Use a HELOC

A HELOC can be an incredibly powerful financial tool, but like any form of borrowing, it should be used strategically. Here are some of the best ways to put your home equity to work:

✔ Pay Off High-Interest Debt

One of the most common uses for a HELOC is debt consolidation. By transferring high-interest debt—like credit cards or personal loans—into a HELOC with a much lower interest rate, you can:

• Save thousands in interest costs
• Pay off debt faster
• Lower your monthly payments

If you’re stuck making minimum payments on a high-interest credit card, a HELOC can be a lifeline to get out of debt more efficiently.

✔ Invest in Home Improvements

Using a HELOC to fund renovations can be a smart long-term investment—especially if the improvements increase your home’s value. Popular projects include:

• Kitchen remodels
• Bathroom upgrades
• Energy-efficient improvements
• Adding a home office or extra living space

Not only do these upgrades improve your quality of life, but they can also increase your home’s resale value—making it a strategic use of your home equity.

✔ Build an Emergency Fund

Life is full of unexpected expenses, and a HELOC can provide a safety net when needed. Whether it’s medical bills, car repairs, or temporary income loss, having access to extra funds can bring peace of mind.

By using a HELOC as a backup financial resource, you can avoid the stress of relying on high-interest credit cards or loans in emergencies.

While a HELOC can provide financial flexibility, it’s not the only way to make your money work for you. If you’re looking to strengthen your financial position, consider high-yield checking and savings accounts:

Earn More on Your Savings

Traditional savings accounts often offer minimal interest, meaning your money isn’t growing as fast as it could. A high-yield savings account allows you to earn more on your balance, making it a smart way to build wealth over time.

Improve Business Cash Flow

If you’re a business owner, a high-yield checking account can help maximize your cash flow while earning competitive interest. This allows you to keep more of your money working for you rather than sitting idle.

Is a HELOC Right for You?

Not everyone will qualify for a HELOC, as lenders typically require:

• A credit score of 700+ for the best rates
• A debt-to-income (DTI) ratio under 43%
• At least 15-20% home equity

Before applying, consider your financial goals and how a HELOC fits into your broader wealth strategy. Whether you’re consolidating debt, making home improvements, or exploring investment opportunities, it’s essential to choose the right approach for your situation.

Final Thoughts

A HELOC can be a game-changing financial tool, offering homeowners a way to unlock their home’s value without giving up their low mortgage rate. But as with any financial decision, planning is key.

If you’re considering tapping into your home equity, take time to explore all your options—from HELOCs to high-yield accounts—and choose a strategy that supports your long-term financial goals.

Want to see how a HELOC could work for you? Connect with The Oddo Group today and start making your equity work for you.

Buying Your First Home? Feeling Nervous Is Completely Normal

Buying your first home is a huge milestone. It’s exciting, life-changing, and—let’s be honest—a little nerve-wracking. One minute, you’re dreaming about paint colors and backyard barbecues, and the next, you’re wondering if you’re making the right decision.

Can I really afford this? What if something breaks? What if my job situation changes?

First things first: take a deep breath. Every first-time homebuyer has these thoughts. It’s part of the process. The key is to focus on what you can control and set yourself up for success. Here’s how.

Focus on the Numbers That Matter

Homeownership comes with new financial responsibilities, and it’s easy to feel overwhelmed by all the moving pieces—your mortgage, homeowners insurance, property taxes, maintenance, and maybe even HOA fees. But rather than letting those numbers intimidate you, break them down into a manageable plan.

A great place to start? Work with a trusted lender to get pre-approved. This helps you understand:

How much home you can afford
What your monthly payment will look like
How your interest rate impacts your budget

Knowing these numbers upfront gives you confidence and clarity, so you’re not guessing about what you can handle.

Plan for the Unexpected (Without the Stress)

The thought of unexpected repairs can be intimidating, but there are ways to prepare. During the buying process, you’ll have a home inspection to identify potential issues, giving you a chance to budget for any necessary fixes.

Still worried? Consider negotiating for a home warranty. This can cover major systems (like HVAC or plumbing) if something breaks within a set period. Your real estate agent can help you navigate whether this is a good option based on the local market.

It’s Okay to Stretch—Just Not Too Far

But here’s the key: there’s a difference between stretching your budget a little and overextending yourself. If your projected monthly payment leaves you struggling to cover essentials like groceries, gas, or savings, it’s a sign to adjust your price range. A home should be an investment in your future, not a financial burden.

Your Income Will Likely Grow Over Time

And if an unexpected setback does happen—like a job loss—there are options. Programs like mortgage forbearance can provide temporary relief while you get back on your feet. You’re never locked in without options.

Bottom Line: Nerves Are Normal, But You’ve Got This

Buying your first home is a big step, and feeling a little anxious just means you’re taking it seriously. The good news? With the right guidance, preparation, and support, you’ll feel confident in your decision.

What’s on your mind about buying your first home? Let’s chat and make sure you have all the info you need to move forward with confidence.

Is a Newly Built Home the Right Choice for You? Weighing the Pros and Cons.

If you’re in the market for a home, don’t overlook the possibility of buying new construction. With an increase in newly built homes available, you have more choices than usual—and that comes with some pretty compelling advantages.

Before making your decision, it’s important to weigh both the benefits and potential drawbacks of a brand-new home. Here’s a breakdown of what to consider as you explore whether a newly built home aligns with your needs and lifestyle.

The Advantages of Buying a Newly Built Home

Personalization at Your Fingertips

One of the biggest draws of new construction is the ability to customize. Many builders offer options for layouts, finishes, and upgrades, giving you the opportunity to shape your home to match your style. While some customization is easier if the home is still under construction, even completed homes may have room for minor tweaks depending on the builder’s flexibility.

Minimal Maintenance and Repairs

Modern homes are designed with energy efficiency in mind, thanks to updated building codes and advancements in technology. Many new builds feature high-efficiency HVAC systems, smart thermostats, and other eco-friendly elements that help lower energy bills. Over time, those savings can add up—especially when energy costs are on the rise.

Built for Efficiency

Builder Incentives and Financial Perks

“Some builders offer financial incentives, including flexible financing options, to encourage buyers to purchase. These incentives — especially if they get the buyer a lower interest rate — could make a new-construction home more affordable in the long run.“

Things to Consider Before Buying a New Build

Construction Timelines Can Vary

If you’re purchasing a home that’s still under construction, patience may be required. Build timelines can stretch over several months, meaning move-in dates aren’t always predictable. As Realtor.com points out:

“For homebuyers who have a short time frame to move into a new home, buying new construction could be challenging if the house isn’t built yet. This is not always the case, since a community may have some quick move-in homes or spec homes that are already complete (or nearly so) and ready for a buyer to move in. But if not, a buyer may have to wait.”

If your move-in timeline is tight, it’s worth checking if there are any quick-delivery homes available in your desired community.

Budgeting for the Unexpected

While new builds can seem like a fixed-cost purchase, additional expenses can add up quickly. Customization options, unexpected delays, and fluctuating material costs—such as lumber prices—can all impact the final price. HousingWire explains:

“Upgrades and add-ons, unforeseen delays due to weather, supply chain issues or labor shortages, and expenses like landscaping and fencing not included in the builder’s cost can significantly affect the final price.”

Sticking to a budget is key when personalizing a new home. It’s easy to get carried away with upgrades, so knowing your limits from the start can help keep costs in check.

The Bottom Line

Buying a newly built home offers exciting opportunities, but it’s essential to go in with a full understanding of the pros and cons. If you’re considering a new build, having a knowledgeable professional by your side can make all the difference in navigating the process.

Thinking about going the new-construction route? Let’s talk about your options and find a home that fits your vision and budget!

Spring Market 2025: More Homes, More Opportunity—But Will Buyers Jump In?

Spring is bringing a fresh wave of home listings—finally! If you’ve been searching for the right home, this season could be your best chance yet. But what about affordability? With mortgage rates still hovering higher than expected, many buyers are wondering—should I jump in now or keep waiting?

Let’s take a look at what’s happening in the market and how you can get ahead this spring.

More Homes Hitting the Market—Finally!

One of the biggest challenges in recent years has been low inventory, with homeowners hesitant to sell due to high mortgage rates. But this spring, we’re seeing a shift. According to Realtor.com’s February 2025 Housing Report, in February alone:

✅ The number of homes for sale grew by 27.5% compared to last year.
✅ Total inventory (including homes under contract) jumped 18.2% year over year.
✅ New listings increased 4.2%, meaning more sellers are testing the market.

While inventory is still below pre-pandemic levels, this steady growth signals that sellers are getting off the sidelines. More homes on the market means more opportunities for buyers to find the right fit.

Affordability Remains a Challenge—But There’s Hope

Mortgage rates are still higher than many hoped, hovering around 7%. But with home prices adjusting and sellers offering more flexibility, there are still ways to make homeownership work—especially with the right strategy.

According to TheStreet’s latest market forecast, the median home price dipped 0.8% year over year, and more sellers are reducing prices to attract buyers. In fact, 16.8% of homes had price reductions last month, up from 14.6% a year ago.

For buyers, this means two things:

• More negotiating power – With inventory up and price reductions increasing, buyers can negotiate better deals.
• A potential window of opportunity – If rates start to ease later in the year, today’s buyers could benefit from refinancing into a lower rate down the line.

Should You Buy Now or Wait?

The big question: is now the right time to buy, or should you keep waiting? Here’s what to consider:

If you’re ready to buy – More inventory, price reductions, and motivated sellers make this spring a strong time to house hunt. Just be sure to get pre-approved so you’re ready to act when you find the right home.

If you’re waiting for lower rates – Rates could drop slightly later in 2025, but drastic cuts aren’t guaranteed. If you find a home that fits your budget now, you can always refinance if rates improve.

Final Thoughts: How to Stay Ahead This Spring

With more homes on the market but affordability still a challenge, working with the right mortgage partner is key. At Luminate Bank, we help buyers navigate the market confidently—whether it’s finding the best loan options, understanding rate trends, or making a smart move in today’s evolving housing landscape.

📩 Ready to explore your options? Let’s chat about how you can navigate the market and secure a home that fits your budget.

How To Buy a Home Without Waiting for Lower Rates

You’re not alone if you’re hoping mortgage rates will drop before buying a home. But will they? According to expert forecasts, rates are expected to decline—but not as much as many buyers were hoping for.

The good news? Even if rates don’t drop significantly, you still have options to make homeownership more affordable.

How Much Will Rates Drop?

A few months ago, experts predicted mortgage rates could dip below 6% by the end of the year. But recent projections from Fannie Mae, the Mortgage Bankers Association (MBA), and Wells Fargo suggest rates will likely settle between 6.5% and 7% instead (see below).

If you’ve been waiting for a dramatic drop before making a move, you may be waiting a while. And if life changes—like a new job, a growing family, or a major move—are pushing you toward homeownership now, waiting might not be an option.

Smart Financing Strategies for Today’s Market

Since rates may not dip as much as expected, it’s worth considering alternative financing options to make homeownership more affordable now. Here are three strategies you could explore with Luminate Bank:

1. Mortgage Buydowns

A mortgage buydown lets you pay upfront to lower your interest rate for a set period, helping reduce your monthly payment early on. In fact, 27% of real estate agents say first-time homebuyers are increasingly negotiating buydowns with sellers to make purchasing more affordable.

2. Adjustable-Rate Mortgages (ARMs)

ARMs typically start with a lower rate than a traditional 30-year fixed mortgage, making them an attractive option—especially if you plan to refinance later when rates drop.
And if you’re wary because of the 2008 housing crash, rest assured: today’s ARMs are different. Back then, lenders approved buyers based on the initial low rate, sometimes without verifying income (remember those risky “Ninja loans”?). Now, lenders ensure borrowers qualify based on the highest possible payment, reducing the risks associated with ARMs.

3. Assumable Mortgages

An assumable mortgage allows you to take over the seller’s existing loan—including their lower mortgage rate. With over 11 million homes qualifying for this option, according to U.S. News, this could be a game-changer if you’re looking for a more affordable rate.

The Bottom Line

Waiting for mortgage rates to drop significantly may not be the best strategy. Instead, options like buydowns, ARMs, and assumable mortgages can help you buy a home now—without waiting on the market.

Want to explore the best financing strategy for your situation? Connect with us today to find the right fit for you.

Higher Mortgage Rates Are the New Normal—Here’s What That Means for Homebuyers in 2025

For years, homebuyers have been hoping for a return to the ultra-low mortgage rates seen during the pandemic. But as we move through 2025, it’s becoming increasingly clear that today’s rates—hovering between 6% and 8%—aren’t going anywhere.

While the Federal Reserve made multiple rate cuts in late 2024, mortgage rates barely moved. With only a couple more reductions expected this year, many experts believe buyers will need to adjust their expectations.

This shift raises some important questions: How can homebuyers navigate today’s market? Will affordability improve? And what role will the new presidential administration play in shaping the housing industry?

Let’s take a closer look at what’s happening in the mortgage world and what it means for you.

Why Mortgage Rates Are Likely to Stay Where They Are

Many people assume mortgage rates should drop whenever the Federal Reserve cuts interest rates. In reality, mortgage rates are influenced by a variety of factors, including inflation, investor confidence, and economic policy. That’s why, even after multiple rate cuts last year, the 30-year mortgage rate has remained close to 7%.

Historically, this isn’t unusual. Except for a few extreme periods—such as the early 1980s, when rates soared above 18%, and the COVID years, when they fell below 3%—mortgage rates have typically ranged between 6% and 8%.

Jim Nabors, president of the National Association of Mortgage Brokers (NAMB), says that many buyers are beginning to accept this reality.

“If you’re waiting for rates to drop back to 3% or 4%, that’s just not realistic,” Nabors said. “People are starting to shift their expectations and focus on what they can afford today.”

Navigating Affordability in Today’s Market

There’s no denying that affordability is a major challenge right now. Home prices remain high, interest rates have doubled since 2021, and many households are feeling financial pressure from rising costs in other areas. The combination of these factors has made buying a home feel out of reach for many.

However, incomes have also risen over the past several years. In many areas, entry-level wages are significantly higher than they were before the pandemic. This has helped offset some of the impact of rising home prices, but affordability still varies widely depending on where you live.

For example, a home that costs $400,000 in the Midwest might be valued at $3 million in parts of California. Regional differences play a huge role in what’s possible for buyers, and understanding your specific market is key to making informed decisions.

The most important factor to consider is not just the interest rate but the overall monthly payment and whether it fits within your budget. Many buyers who have been hesitant to enter the market are now sitting down with lenders, running the numbers, and realizing that homeownership is still possible with the right approach.

💡 Remember: Buy Now, Refi Later

If current rates are holding you back, keep in mind that you’re not locked in forever. At Luminate, we continuously monitor the market and will reach out when a refinance could help you save. Whether it’s a rate drop or an opportunity to consolidate debt and lower monthly payments, we’re here to ensure you’re always in the best possible financial position.

And while you’re optimizing your home financing, don’t forget to put your savings and checking accounts to work for you. Many homeowners overlook the power of high-yield savings accounts and interest-bearing checking options—these small financial tweaks can add up over time and complement your long-term financial goals.

How the 2025 Political Landscape May Impact Housing

Some economists believe that potential tax cuts could improve affordability by increasing take-home pay. Others point to ongoing concerns about tariffs and trade policies, which could impact everything from construction costs to the broader economy.

Regardless of political changes, history shows that the housing market operates on its own cycle, influenced by supply and demand, economic conditions, and consumer confidence. While some buyers are waiting for policy changes to impact the market, most are realizing that the biggest factor in their homebuying decision is their own financial readiness.

Key Mortgage Industry Issues to Watch in 2025

Beyond interest rates and political changes, there are several industry challenges that could impact homebuyers this year:

• Trigger Leads Reform – Currently, when a borrower applies for a mortgage, credit bureaus can sell their information to multiple lenders, leading to a flood of unsolicited calls. A push to ban this practice recently stalled in Congress, but many in the industry continue to advocate for change.
• Mortgage Insurance Premiums (MIP) – Borrowers with FHA loans are required to pay mortgage insurance for the life of the loan, whereas conventional loans allow mortgage insurance to be removed once the borrower has 20% equity. Mortgage professionals are urging policymakers to reform FHA loan requirements, which could help homeowners save thousands over time.
• Homeowners Insurance Costs – In some areas, the cost of homeowners insurance is rising so quickly that it’s becoming as significant as a mortgage payment. States prone to wildfires, hurricanes, and other disasters are particularly affected. Discussions are ongoing about how to keep these costs from pricing buyers out of homeownership.

Is Homeownership Still a Smart Investment?

For many people, the biggest question is whether buying a home still makes financial sense in today’s market. While the answer depends on personal circumstances, homeownership continues to be one of the most effective ways to build long-term wealth.

Even with higher rates, buying a home allows you to:

• Lock in a fixed housing payment instead of dealing with rising rents
• Build equity over time instead of paying a landlord
• Benefit from potential home appreciation in the long run

At Luminate, we believe that homeownership should be accessible, even in a tough market. That’s why we take a personalized approach, helping buyers find options that fit their financial situation.

Final Thoughts: Should You Wait or Buy Now?

If you’ve been waiting for mortgage rates to drop, it’s important to reconsider that strategy. Rates aren’t expected to fall dramatically anytime soon, and in the meantime, home prices may continue to rise.

The key to buying in today’s market is focusing on what you can control—your budget, your financing options, and the right loan program for your situation.

And remember, home financing isn’t a one-and-done deal. Buying now means securing your home and beginning to build equity—and when rates drop, we’ll be here to help you refinance and save. Plus, we’ll always look for ways to optimize your financial picture, from home loan options to making sure your banking accounts are working as hard as you are.

If you’re thinking about buying a home, we’re here to help. Whether you want to run the numbers, explore down payment assistance, or see what’s possible in your area, we’ll help you navigate the process with confidence.

Let’s talk about your homeownership goals.

New Year, New Home: How to Make It Happen in 2025

The new year is here, and it’s the perfect time to set your goals for 2025. If one of your dreams includes finding a new home, you’re in the right place. But where do you start? Don’t worry—we’ve got you covered. At The Oddo Group, we’re here to help you turn that vision into reality with a game plan that’s both simple and effective.

Focus on Your Why

When you share your “why” with your mortgage expert, they’ll align their expertise with your goals. Whether the market is hot or not, a great agent will help you navigate challenges, stay on track, and turn your dream into a done deal.

Get Clear on What You Need

Before you dive into open houses or start scrolling through listings, take a close look at your finances. Ask yourself:

• How much have you saved for a down payment?
• What monthly payment feels comfortable for you?

It’s also important to partner with the right pros—like a trusted lender and real estate agent. Together, they can help you:

• Plan for your down payment (and explore any assistance programs available).
• Understand how much equity you have in your current home if you’re selling.
• Get pre-approved for a mortgage, so you know exactly how much you can borrow.

Being clear on your numbers from the start makes everything easier—and less stressful.

Know Your Numbers

Next, it’s time to dream a little—and get practical. What does your new home absolutely need? Think about things like:

• How many bedrooms you’ll need
• If a home office is a must-have
• Whether you want a big fenced-in backyard for pets or kids

Having a clear list of your must-haves (and nice-to-haves) will make your search a whole lot smoother. If your budget is tight, flexibility might be key. Maybe you can expand your search area or compromise on one feature if another must-have is met. Share your wishlist with your agent—they’ll help you prioritize and focus on homes that check the right boxes.

Lean on a Pro to Guide You

Buying or selling a home is a big deal, but you don’t have to do it alone. A great real estate agent knows the market, has the answers to your questions, and will guide you through the entire process. As Bankrate puts it:

“. . . now more than ever, it’s smart to lean on the guidance of an experienced local real estate agent. If you want to enter the housing market in 2025, whether as a buyer or a seller, let a pro lead the way for you.”

And hey, you’ve got us in your corner too! We’re here to ensure you feel confident and prepared every step of the way.

Conclusion

If buying or selling a home is on your list of goals for 2025, let’s make it happen! Focus on your why, get clear on your needs, and team up with the right pros (hint: that’s us!). This could be the year you check “new home” off your to-do list—and we’re here to cheer you on and light the way.

Ready to start? Let’s connect and make 2025 your brightest year yet!

The Top 2 Reasons to Look at Newly Built Homes

When planning a move, a newly built home might not be the first thing that comes to mind. But with more brand-new homes on the market and builders focusing on smaller, more affordable options, this type of home may just be the key to crossing the homebuying finish line.

Here’s why a new build is worth considering – and how an agent can help you find one that meets your needs and your budget.

1. More Newly Built Homes Are Available Right Now

Right now, the number of existing homes for sale is still low. And, if you’re struggling to find something you like because there aren’t that many existing homes for sale, opening up your search to include brand-new homes could really expand your options. That’s because there are more newly built homes available right now than in a typical year (see graph below):

“Even though existing home sales have been stuck at low levels, newly constructed home sales look to mark one of its best annual performance in 15 years . . . The new home inventory has been consistently rising with homebuilders getting active and making up around 1/3 of total inventory.”

While the uptick in new home construction is encouraging, rest assured that builders aren’t overdoing it, they’re just making up for over a decade of underbuilding. There are still way more buyers than there are homes on the market. But the good news for you is this increase in newly built homes means more options for your search.

2. Newly Built Homes Are Becoming Less Expensive

Why is that? Builders know affordability is top of mind for homebuyers right now. So they’re focusing their efforts on building smaller homes they can offer at lower price points and are more likely to sell. As Realtor.com says:

“Builders are increasingly bringing smaller, more affordable homes to the market, so buyers may find more newly-built homes that fit their budget.”

Something to keep in mind: buying a newly built home isn’t the same as buying an existing one. Builder contracts have different fine print. So be sure to partner with a local agent who knows the market, builder reputations, and what to look for in those contracts.

Bottom Line

Depending on your needs and budget, a new build might be the opportunity you’ve been waiting for to bring your homebuying vision to life. If you’re interested in a brand-new home, let’s connect so you can check out what builders in your area are up to.

8 Key Questions About Second Mortgages: Is Debt Consolidation Right for You?

Managing multiple debts can be overwhelming, and for the average American, that debt is doing nothing but rising. On average, a typical person in the United States has approximately $104,215 in debt across mortgages, auto loans, student loans, and credit cards, with mortgage being the highest.

Luckily, there is an option that homeowners can consider when it comes to managing their debt – consolidating your debts through a second mortgage. But what exactly is a second mortgage, and how can it help you? We’ll answer some of the most common questions we get about second mortgages, and how this financial tool can simplify your debt.

What is a Second Mortgage?

Your home serves as collateral, securing the loan just like your original mortgage. This means if you fail to make payments, the lender could potentially foreclose on your home, just as with the first mortgage.

How Does a Second Mortgage Work?

You then make monthly payments on this loan, just like with your first mortgage, but typically at a different interest rate and term. The terms and the amount you borrow are based on several factors including the amount of equity you have in your home and your ability to pay back the loan.

Are Second Mortgage Rates Higher?

For example, if you were to default on your payments, the first mortgage gets paid off from any foreclosure proceeds before the second mortgage, making the second mortgage a riskier bet for us lenders. As a result, most lenders will charge higher interest rates to mitigate this risk.

How Much Second Mortgage Can a Person Afford?

Generally, lenders allow you to borrow up to 80-90% of the total equity in your home. However, it’s crucial to borrow only what you need and can comfortably afford to pay back, considering the higher interest rates and the risk of putting your home as collateral.

What Happens to a Second Mortgage When the First is Paid Off?

However, paying off your first mortgage might free up more of your budget to pay down the second mortgage more quickly. This could potentially save you money on interest and shorten the life of your loan.

Who Qualifies for a Second Mortgage?

Additionally, we’ll will look at your debt-to-income ratio to ensure you can manage your new loan payments on top of any existing debts. These factors help us determine your ability to repay the loan without falling into financial hardship.

Will a Second Mortgage Hurt My Credit?

Keep in mind that adding a significant amount of new debt with a second mortgage could strain your finances and potentially lead to credit issues if not managed properly. It’s important to consider your overall financial situation before taking on additional debt.

How to Get a Second Mortgage?

Once you’re ready, get in touch with us at The Oddo Group so we can help you find the best rate and terms. We also suggest you consult with your financial advisor to ensure that a second mortgage makes sense for your financial goals and situation.

Once you’re ready, get in touch with us so we can help you find the best rate and terms. We also suggest you consult with your financial advisor to ensure that a second mortgage makes sense for your financial goals and situation.

Conclusion

A second mortgage can be a valuable tool for consolidating debt, simplifying your monthly payments, and potentially saving on interest. However, it’s important to consider all the factors, costs, and risks involved.

If you’re considering a second mortgage and need advice, contact us. We’re here to help guide you through the process and determine if this is the right financial step for you.

Once you’re ready, get in touch with us so we can help you find the best rate and terms. We also suggest you consult with your financial advisor to ensure that a second mortgage makes sense for your financial goals and situation.