Catering to the 2018 Borrower
In today’s world of mobile delivery apps that will bring dinner right to your door, or e-readers that allow you to digitally carry around hundreds of books at a time, consumers demand more digital experiences. Therefore, companies must continue to improve upon their technologies and customer experiences.
So, what does this mean for the mortgage industry? In a recent National Housing Survey by Fannie Mae, when asked how to make the mortgage process easier, 27% of borrowers responded that they would like to see a reduction in paperwork.
At Norcom Mortgage, responding to our borrowers needs and wants, while working within a highly regulated industry, is key. We want to improve each of our borrowers’ customer experiences, which is why we have rolled out our electronic closing platform, dubbed Swift Sign. Offering this digital solution will streamline the closing process, saving both time and paper.
Mike Dimech, SVP Operations Manager, stated, “Norcom Mortgage is excited and proud to be the first CT-based lender to offer electronic closings to our customers. By maintaining a true, 100% digital loan process, our borrowers will see drastic improvements over the traditional paper mortgage process while Norcom will further develop our internal efficiencies. We look forward to growing our partnership with Pavaso while enhancing the customer experience for our borrowers.”
As Dimech mentioned, Norcom has partnered with Pavaso, a Texas-based company that provides an all-in-one digital mortgage closing solution; a platform that improves communication and efficiency. This partnership will further solidify Norcom’s mission to provide lending solutions tailored to meet the needs of a 2018 borrower.
For more information on the Fannie Mae National Housing Survey, click here:
For more information on Norcom’s partnership with Pavaso, click here:
10 Signs That You are Ready to Buy a Home
You’ve probably heard it time and time again, why you should consider buying a home instead of renting. Perhaps you’ve hit an age or professional milestone, or maybe you are tired of dealing with your landlord. Whatever the reason may be, here are 10 signs that you are ready to stop renting, and buy a home:
1. You want to have the freedom to do what you want with your home, whether that is changing the paint color, installing solar panels, or getting a chicken coop!
2. You are tired of sporadic rent increases, and you want the peace of mind that your monthly payment will stay the same (with a fixed-rate mortgage).
3. You want to continue to build up your credit score, and paying for your mortgage on-time each month can help you accomplish this.
4. You want to save money, and you know that as a homeowner you can deduct the interest paid on your mortgage from your taxable income.
5. You are ready to be your own handyman or hire a contractor of your choosing for repairs, instead of waiting for your landlord to ‘stop by in a week’.
6. You want to adopt a rescue dog, and your new home can have a big yard for her to run and chase squirrels.
7. You are starting a polka band with your best friends, and you want your own living room to practice in - any time, day or night.
8. You are ready to have your own washer and dryer, and leave behind the surprise of finding someone else's sock in your laundry!
9. You’ve taken up meal planning, and want all the space in your fridge to store your chicken, brocolli, and kale.
10. You are ready to build equity and invest in your own future!
If you think you are ready to become a homeowner, call Norcom today.
Emergency Repair Funds
Whether you are a brand-new home owner or have lived in your house for several years, having an emergency fund for unexpected repairs can help you cover costs without sacrificing your financial security. Depending on a few factors, like where you live, how old the house is, and other considerations, setting aside an emergency repair fund is key.
A recommended amount to have saved for these repairs is 1% of the cost of the home. Examples of such general repairs are:
Replacing the boiler
Fixing the air conditioning
Replacing a hot water heater
Minor plumbing issues
Minor electrical issues
How to Calculate your Emergency Fund
For larger repairs or longer-term emergencies, it is advised to save the equivalent of at least 3 months of your major living expenses. When calculating this amount, don’t forget to include:
Housing Expenses - including mortgage, property taxes, and utilities
Food - groceries and dining out
Various Insurance - medical or auto
Transportation - gas or public transit fare
General personal expenses
Communications - cell phone, internet, and cable TV
Should you not have an emergency repair fund, or you are unable to save the recommended amounts, be sure to discuss all options with a professional to see what solution is best for you.
Product Spotlight: Jump Start Pre-Approval Program with Rate Assurance
At Norcom Mortgage, we pride ourselves on offering a diverse portfolio of mortgage products. Beyond the traditional offerings of FHA, USDA, Reverse, and VA loans, we also create our own, such as the NorFlex Home Loan and the Norcom Dream Home Loan. We do this because we recognize that the needs of each family and individual are different. We are now pleased to also offer the JumpStart Pre Approval Program with Rate Assurance, and share with you this product overview:
What It Is:
The JumpStart Pre-Approval Program with Rate Assurance allows a buyer to lock in their rate for up to 90 days while they search for the perfect home. If market rates increase during the 90 days, the buyer is guaranteed the lower rate. However, if market rates decrease, the buyer assumes the lower rate.
Why Is It Important:
A pre-approval positions a buyer to submit a strong offer when they have found a home they want to purchase. By submitting credit information and income documentation, Norcom can provide you and your real estate agent a pre-approval letter, which shows how much you can borrow. Should it come down to your offer vs. that of another potential buyer, the seller is likely to have more confidence in you, as you have already been pre-approved.
When Can it Be Used?
The JumpStart Pre-Approval Program with Rate Assurance is available for 30-year fixed-rate conventional, FHA, or VA loans. A Norcom Loan Officer is dedicated to helping you find the best option and is ready to help today!
Home Improvements to Avoid
From DIY projects to hiring professionals, there are many improvements that can increase a home's value prior to selling. However, there are some changes you should avoid, no matter how popular they are.
Open concept living spaces are very popular and attract buyers, but be careful when eliminating certain spaces. For example, any family looking to purchase a new home will most likely want the option of multiple bedrooms, so knocking down walls to combine two smaller rooms could cost you. Instead, opt for light paint colors and furniture with simple lines to make the rooms feel larger.
Trading in Your Closet Space
Closets are typically first to go when a homeowner embarks on a bathroom or bedroom renovation. They may seem easy to sacrifice, but closets are important storage space for most potential buyers. If your renovation needs to go through an existing closet, be sure to add in a new option elsewhere in the room.
The Family Pool
If you are considering adding a pool to your home, it’s important to first consider how long you plan to live there. A swimming pool can be detrimental to the sale of a home as most buyers don’t want to inherit the cost of maintenance or the safety issues that are associated with it.
It may seem like a good idea to install wall-to-wall carpeting in certain rooms for the comfort and safety of kids, but most buyers are willing to pay more for hard wood floors. In addition, the style options of carpet are unlimited, and what you choose may not appeal to others.
When making improvements to your home, be sure to consider whether or not a potential buyer would need to invest more money to reverse the changes. Be sure your choices benefit the appeal of your home and therefore increase the value should you one day choose to sell.