The Tea On Refinancing, Managing Your Mortgage & Buying Your First Home During A Pandemic
Ladies, it is homebuying season! Well...is it? Currently, housing prices are stagnant and have even increased in some cases, considering we're all sitting in the face of a potential economic shutdown in the midst of a global pandemic. And on the upswing, interest rates are near all-time lows—with potential to go even lower.
But unfortunately, employment, which has been a roller coaster since March, remains a big question mark. And according to researchers, with thousands of housing inventory being withdrawn from the market during the shutdown, prices may soar, lowering affordability.
So, should you buy a home during the COVID-19 pandemic? Should you refinance? What's the best advice for the times? To help answer a few of our biggest questions, I decided to link with a few frontline real estate agents to get the best brewed tea for the market. This is what I found out.
Karissa McRae, Serving Georgia and Maryland—Atlanta/Baltimore Areas
Courtesy of Karissa McRae
Industry Specialty: First-Time Home Buyers
Contact: info@karissamcrae.com
Instagram:@karissarealtor
Homebuying Hack:
"Your earnest money, closing date, and the due diligence period, are all pertinent in securing a deal of excellence. While there are several other factors that contribute to a successful accepted contract, these are components buyers should consider during negotiations."
I appreciate my clients greatly, which is why I ensure that I'm on top of trends, news, updates, etc. to be able to provide them with the best advising possible. The more I've become seasoned in the industry, the more I've learned that knowledge of this game. This industry has a lot of to do with managing application of knowledge when appropriate. On the surface of things, selling a house appears to be as simple as selling a product. However, I am not in the business of just selling a home. I am in the business of navigating, assisting and driving results. The more knowledge you have to drive those results, the better chances you have of closing the deal.
Ask your realtor thousands of questions, and make sure that they are providing insight as well.
During this COVID-19 crisis, there are many advantages and disadvantages of purchasing a home. For one, there are lower interest rates. Also, when sourcing income, stimulus checks can be used toward the purchase of a home. Disadvantages? Uncertainty. We're not sure how long interest rates will remain what they currently reflect and the manner in which many homes can be shown. Some homes require virtual showings only until the home is under contract. This may be a disadvantage if the buyer is eager to view the home physically within a specific period of time.
My top three pandemic real estate tips:
- If you love it, put an offer in. While you want to ensure you are completely comfortable and love the home, you also want to ensure you are getting your offer in within a timely manner.
- Ensure your offers are strong. Making sure you have a strong offer can mean the difference between the seller selecting yours vs. another buyer. A strong offer can include, but isn’t limited to, the closing date, sellers concessions, financing type, etc. You should consult with a licensed Realtor regarding which.
- Ensure you are protected with contingencies. There are contingencies that can be written in the contract to protect you due to unexpected losses during this pandemic. Consult with a licensed Realtor regarding contingencies such as an appraisal, financing and COVID-19 contingency during this time.
For my current homeowners, the question remains: should you refinance? Yes. It's a great time to refinance now due to lower interest rates. However, a common misconception is that refinancing does not cost. Refinancing can cost about 2%-6% of the loan amount. Either way, now is your time. So, go for it!
Leann Henri, Serving Michigan—Detroit, Southeastern Region
Industry Specialty: First-Time Home Buyers, Selling and Relocating, Millennial Buyers and Sellers
Contact:leann@wearedobi.com
Instagram:@leann_henri
Home Buying Hack:
"Find a down payment assistance program—there are so many available! Some of them are even grants that you don't have to pay back. If you don't have to use your own money to buy a home, why would you?"
It's no secret we're in a pretty substantial housing shortage in the US. Couple that with a global pandemic and you've got a recipe that spells complete and utter frustration for eager buyers to find homes. A major disadvantage is the competition between buyers for existing homes currently listed on the market. I submitted an offer on a home last week and the agent told me they have 22 other offers! EX-CUSE ME?!
Not to mention, some of these agents are reckless in advising buyers to waive inspections, put in outrageous appraisal guarantees, and submitting offers thousands upon thousands of dollars over asking. Many people can't compete with that, and honestly I would never advise my clients to do such a thing. The right home will come along and I always tell them, "What's for you will not pass you by." On the cloud-covered bright side (I say "cloud-covered" because these low rates are largely fueled by the pandemic), there are still fears of new coronavirus outbreaks affecting the economy, meaning rates will probably stay low for quite some time to incentivize buyers and sellers to make a move.
And that's always a good thing.
If you are looking to refinance, absolutely do so! Rates are at record lows right now. Money is so cheap, it's basically free. Why pay "them" more money to borrow their money than what you have to? Oftentimes people sign a mortgage and don't look at the details again until they're planning to sell, which is terrible! Usually a person's financial status when they first bought their home, changes over time. You could qualify for many more perks, the key is to just ask. Even if you refinance and only save an additional $150/month on your mortgage - that's $150 extra dollars a month to go towards another bill, savings, investments, or put it right back on your principal mortgage balance to pay down your loan faster and save in interest over time.
The goal is to pay them back as quickly and efficiently as possible so you can start building wealth. Of course, I always strongly suggest consulting with a qualified mortgage lender about the pros and cons of refinancing for your particular situation.
For those interested in a COVID-19's buyer market, here are my immediate tips:
- Analyze your finances. If you can't afford it, don't force it.
- Stay encouraged. It's a jungle with low inventory and high competition.
- Don't pick a random Realtor. Interview as many as you need to find one that you trust and that truly has your best interest at heart.
Since the start of the pandemic, what I've always believed about real estate has been cemented. Good morals, staying ahead of the curve, and real authentic interactions will always win. My business has grown so much during this pandemic and every time I ask a client why they chose me, the answers are always along the same lines: they felt well-informed from the very beginning, my social media or my YouTube channel made them feel like they could relate to me, and I actually ANSWERED THE PHONE! People let chasing a dollar get in the way of really truly caring for your neighbor and I believe that will separate the successes from the one-hit wonders.
Claudia Garcia, Serving Illinois—Chicagoland
Courtesy of Claudia Garcia
Industry Specialty: First-Time Home Buyers, Buyers, Sellers, and Leasing
Contact:cgarcia@propertyconsultants.com
Instagram: @claudiasellschicago
Homeowner Hack:
"Make biweekly mortgage payments to pay off your mortgage quicker. You're basically breaking down your monthly mortgage in half every two weeks, (there are 26 biweekly periods in a year) which has the equivalence of making one extra monthly mortgage payment every year."
Ladies, buying a home is definitely one of the biggest financial decisions you will ever make! COVID-19 may have put some strains on us, but what better time than now to begin preparing ourselves? A lot of individuals assume that they can't purchase a home considering the times, but they haven't taken the initiative to actually see if that's the case; there actually isn't a better time than now to purchase.
While some mortgage companies may have tightened up their requirements, interest rates have been dropping. And people whom are already homeowners that are locked in at higher rates have—and should have—been looking into refinancing that the low interest rates institutions are offering (rates have recently dropped below 3%).
Agents are noticing that many people believed that the market was going to crash, but this totally hasn't been the case at all (thus far). Yes, new home listings decreased in late March, at peak hysteria of COVID-19, but listings have started to pick up in late June, early July. Just know that we are in a buyer's market right now: there are more buyers looking to purchase homes than homes listed on the market, which in turn, has created a multiple-offer scenario for certain properties/sellers (and creates disadvantages for some buyers).
My top homebuying tips are:
- Talk to a loan officer first. People automatically think or assume they are not qualified to purchase a home, for whatever reason, but they have never actually talked to a loan officer to see what exactly it is that they need to prepare themselves for purchasing a home.
- Save every dollar that you can right now. Why else wouldn't you be saving during quarantine? Create a budget, cut costs, and spend less, so that you're prepared for closing time, as well as just establishing rainy day funds.
- Educate yourself as much as you can about the homebuying process. And then find and work with an experienced and trustworthy realtor.
Real estate is a continuous changing market, and a never-ending learning career. I've even taken advantage of this time to learn and educate myself even more in the field by enrolling in different certifications and designations so that I can provide the best experience I can for my clients.
And for all my homeowners, I hope you're researching the best options for your possible purchasing/selling journey as well. It's a great time to do so, so why not?
Marly Walters, Serving Florida—Southern Region
Courtesy of Marly Waters
Industry Specialty: First-Time Home Buyers, Buyers, Sellers, and Leasing
Contact:marlywalters@themarlygroup.com
Instagram:@marlyrealestate
Homebuying Hack:
"During the inspection period, you can ask the seller to make additional repairs, or ask for a seller credit at closing to make repairs after closing. In Florida, the high majority of offers use the approved AS IS with the right to inspect standard contract. So, even though you are purchasing the property as is, you can use the inspection as a second chance to negotiate the sales price or credits."
I had a client once that got very sick only a year after I helped him purchase his dream home. Even though I offer many listing services that other agents don't offer, typically getting the home cleaned and show-ready, meeting with multiple contractors for repair bids, and arranging storage and movers, are the responsibility of the seller. However, he did not have any local family and I knew he was not going to be physically able to handle any of these tasks so I made sure that I personally took them on. I was able to sell the home over list price and net him enough so that he still had funds to downsize and purchase a new property. For me, that's what being a realtor is all about.
As we've already mentioned, the biggest advantage in our industry during the pandemic is that interest rates are at historic lows.
So, the same home you could not afford a year ago, you might be approved to purchase today because a lower interest rate increases your monthly affordability amount. This also means that in a lot of markets, it's a hot seller's season. There's a home inventory shortage, meaning that for the smaller number of available homes, there is more competition, increasing the likelihood of you running into a multiple-offer situation, and ultimately driving up sales prices.
My three tips are these:
- Look for homes that have been on the market for 60+ days if you are looking for a deal.
- Be comfortable with going virtual (virtual property tours, electronically signing documents, etc.).
- Work with an experienced buyer's agent that will know how to negotiate well on your behalf and can save you from the pitfalls of a transaction.
I used to think that you had to have your hands in a lot of different lead generation pots in order to be successful in this business. However, as I grow in the business, I now understand that focusing on a few things, doing them very well, and putting the attention on building long-term relationships with clients is more important than building a big volume of leads.
When you are laser-focused on your strengths and your clients, the success will come.
Feature image courtesy of Leann Henri
Charmin Michelle is a southern native and creative spirit who works as a content marketer and events manager in Chicago. She enjoys traveling, #SummertimeChi, and the journey of mastering womanhood. Connect with her on Instagram @charminmichelle.
ItGirl 100 Honors Black Women Who Create Culture & Put On For Their Cities
As they say, create the change you want to see in this world, besties. That’s why xoNecole linked up with Hyundai for the inaugural ItGirl 100 List, a celebration of 100 Genzennial women who aren’t afraid to pull up their own seats to the table. Across regions and industries, these women embody the essence of discovering self-value through purpose, honey! They're fierce, they’re ultra-creative, and we know they make their cities proud.
VIEW THE FULL ITGIRL 100 LIST HERE.
Don’t forget to also check out the ItGirl Directory, featuring 50 Black-woman-owned marketing and branding agencies, photographers and videographers, publicists, and more.
THE ITGIRL MEMO
I. An ItGirl puts on for her city and masters her self-worth through purpose.
II. An ItGirl celebrates all the things that make her unique.
III. An ItGirl empowers others to become the best versions of themselves.
IV. An ItGirl leads by example, inspiring others through her actions and integrity.
V. An ItGirl paves the way for authenticity and diversity in all aspects of life.
VI. An ItGirl uses the power of her voice to advocate for positive change in the world.
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These 11 Married Couples Share Their Keys To Long-Term Marital Success
The late actor Audrey Hepburn once said something that I think a lot of married couples who have at least 10 years under their belt will agree with: “If I get married, I want to be very married.” In my mind, this means very committed, very complementary, and very willing to go the distance — otherwise, what’s the point?
Really, what’s the point?
Thing is, with the divorce rate still being higher than it ever should be (for the record, a husband is not a boyfriend, and a wife is not a girlfriend; a marriage is serious business, y’all) and acting married being praised (or at least acknowledged) more than actually being married seems to be — folks who 1) are married and are looking for some hacks that will help with relational longevity or 2) want to be married someday and want insight on how to make their future marriage last are constantly seeking truly beneficial material.
Can you Google articles with random bullet points? Sure. And I’m not discouraging it. Every little bit of wisdom that you can pull, I fully support. However, the reason why I like to do articles like this one from time to time is there is something to be said from hearing real talk from multiple sources on the same topic who have some solid wisdom and knowledge on a particular topic.
Today? 11 married couples who were willing to talk about how they’ve been able to make it to several wedding anniversaries with a smile on their face and no regrets for choosing who they chose. Let’s all sit at their feet for just a moment.
*Middle names are always used in my content that’s like this so that people can speak freely*
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1. Kyle and Adrienne. Married 12 Years.
Kyle: “Some of your readers aren’t going to want to hear this but it’s worked for my marriage: people need to lower their expectations sometimes; I mean, men and women. We go into marriage with stuff that movies told us, social media told us, friends who are always single told us about what we should expect from someone, and then want to fault the person when they’re not what we made up in our head. Everyone should have standards but if you’re expecting your spouse to be some living version of a fairy tale character, you’re going to be disappointed almost every day of your life. Drop those expectations some and watch your relationship be a lot less stressful.”
Adrienne: “Talk to people who respect your man about your marriage. I’ve never believed that you shouldn’t ever go to anyone when you need some support. Even the Bible says that there is safety in wise counsel [Proverbs 11:4]. Too many women talk to women who don’t respect men, in general, let alone their husbands, and so that’s where things go left. Sometimes, you need an ‘outside in’ perspective. But if that woman is always taking shots at men, doesn’t respect marriage, or isn’t someone who holds your man in high regard, don’t ask her for advice. Really, you should ask yourself why you’re friends with her at all.”
Shellie here: I’m big on engaged and married couples having a “village” of sorts for their relationship, too. Check out “Why Every Engaged Couple Needs A 'Marriage Registry'” to get a good idea of what I mean.
2. Levi and Paulette. Married for 15 Years.
Levi: “Some of you have probably heard of the 7-7-7 rule. It’s where couples go on a date every seven days, have a weekend getaway every seven weeks, and go on a romantic trip of some sort every seven months. My wife and I do the 2-2-2 rule instead because sometimes our schedule and budget make ‘7’ difficult. It has gotten easier since Shellie told us about the sex jar. Bottom line, if you’re waiting for time to just open up to be with your spouse, that ain’t gonna happen. Schedule intimacy, including sex. Prioritizing it is better than saying you’re gonna be spontaneous and…never are.”
Paulette: “Initiate sex, dammit. When Shellie told us that men initiate sex most of the time, and then I thought about how often I used to push my husband away whenever he did it — I never really thought about how that made him feel until I put myself in his shoes. We’ve got to stop having all of this understanding for why women cheat when it comes to them not feeling desired or not getting attention when we’re the same way to our husbands. Your marriage isn’t ‘Young and the Restless’, where you’re just supposed to wait for your man to make the move. If you want to feel wanted, do the same thing for him.”
Shellie here: What’s a sex jar, you ask? You can read more about it via “5 Reasons Why Every Married Couple Needs A Sex Jar.”
3. Matthew and Gaia. Married for 17 Years.
Matthew: “Reenact some of your favorite times together. My wife and I do that semi-often. We’ll go back to where we had our first date, or we’ll go back to the hotel where we had some of the best sex before. Bringing back memories of when you felt the best together can give you the motivation to stay together to create some new memories to ‘play out’ later on.”
Gaia: “If you want to ‘mom your husband,’ you need to have kids — or at least get a dog! I didn’t realize how bossy I was until I got married. It’s because I saw my mom be that way with my dad. In my eyes, I thought that’s what love looked like until I watched how my in-laws were. They don’t try to change each other, and they definitely don’t make any demands. They’re very polite. I think a lot of married people are rude to their partner. Don’t be that.”
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4. Joseph and Carletta. Married for 10 Years.
Joseph: “Go to therapy for your childhood. I’m dead serious. No one is going to show you yourself like your wife will, and I realized that a lot of my hang-ups came from unhealed childhood stuff. It’s hard to be an adult in your marriage when you’re still emotionally a kid in a lot of ways. If you’re at the point where you think therapy is needed, go alone and deal with your childhood first. It did miracles for me and mine.”
"No one is going to show you yourself like your wife will, and I realized that a lot of my hang-ups came from unhealed childhood stuff. It’s hard to be an adult in your marriage when you’re still emotionally a kid in a lot of ways."
Carletta: “Meditate together once a day. Even if it’s just for 5-10 minutes, you need to carve out a moment to be mindful, focus on each other, and slow the world down. [Joseph and I] have been doing it for a couple of years now; it’s totally changed the way we communicate. Meditation reminds us to put each other first; that if we’re focused on each other, we can take on…whatever.”
5. Zeke and Rachelle. Married for 12 Years.
Zeke: “An argument is not a fight and a debate is not an argument. Learn that and you’re home-free. That’s all I got.”
Rachelle: “That advice that you just got? That sums up what it’s like to live with my husband. He’s very cut-and-dry, direct, and not wordy. That used to bug the hell out of me until I realized how wordy I was and then accepted that I wouldn’t want ‘two of me’ in the house [LOL]. He’s right. You can have a difference of opinion, and it be a debate. You can not find a middle ground on something and it turns into an argument. Neither of those is a red flag. It just comes with being with someone who is as much of an individual as you are.”
6. Taurus and Madison. Married for 22 Years.
Taurus: “Be prepared for your partner to change — not a couple of times, quite a bit. And when they change, that alters the relationship because now it’s not the person you stood with on your wedding day; it’s someone else. People get divorced so much because they are inflexible; they expect their spouse to never switch up and that’s just not how life is. If you’re rigid, controlling, or don’t know how to adjust, you don’t need to marry anybody. You’re gonna be miserable, and so will they.”
Madison: “Pray before sex. Before my husband and I got married, we had quite a bit of sexual history that caused us to do some comparing, and that led to resentment. In marriage, we had to adjust to how it’s more than just what we’re getting from another person. Married sex comes with so much more spirituality and responsibility. Prayer before sex reminds us to see it from a spiritual lens — and that makes the experience more intense and sacred. It might sound weird at first. Just try it. I don’t think you’ll regret it at all.”
"Married sex comes with so much more spirituality and responsibility. Prayer before sex reminds us to see it from a spiritual lens — and that makes the experience more intense and sacred."
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7. Karl and LaTasha. Married for 9 Years.
Karl: “Check in with your partner twice a day. In the morning before leaving the house and at night before going to sleep. If you work outside of the home, a lot can happen during the course of one day, so you shouldn’t assume that the person you left in the morning is who you are coming home to. I don’t mean sharing each other’s schedules or to-do lists. I mean, asking your spouse, ‘How are you doing? How are you really doing?’. It’s a smart way to take note of their mood and needs so that you are never blindsided.”
LaTasha: “Give each other some privacy. I have never been the kind of woman to go through a man’s phone, and I won’t start. If you think that you have to be a detective in your relationship, why are you in it in the first place? I know that Karl would give me codes and passwords if I wanted them because we’ve talked about it all before. Knowing that he would is enough for me. Marriage is an institution, but damn, it shouldn’t feel like jail.”
8. Thomas and Wynter. Married for 15 Years.
Thomas: “Ask your partner what their sexual needs are. Never assume that they haven’t changed because if we all agree that we are constantly growing and evolving as people, why would sex be exempt? Don’t personalize what they say about it either. All of us have sexual fantasies and interests that we keep to ourselves because we don’t know what our partner will think or ‘cause we think that they will create stories in their head about what made us think that way. I’ve learned that intimacy is feeling okay with sharing the deep stuff. The more comfortable a man, especially, is with doing that, the better the sex will be for everyone because talking about stuff like that is like taking down some walls.”
Wynter: “It’s okay to take one vacation a year with your girls and one by yourself. Just don’t go with people who don’t have the same standards as you, and as far as your solo venture, it doesn’t need to be longer than a long weekend. One thing that they don’t tell you about marriage is how there are times when you will feel like it is monotonous because of the routine of everything. A girls’ trip reminds you to get back to you outside of being someone’s wife or mom, and the trip alone is when you can sit around and do whatever you have to negotiate most of them. And yes, your man should be given the same courtesy.”
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9. Allen and Yvette. Married for 11 Years.
Allen: “STOP. BRINGING. UP. OLD. SH-T. SH-T. Nothing creates walls in a marriage more than you telling someone that you forgave them, and then the minute something else happens, here you go with the rap sheet of wrongs. Forgiving someone means that you are pardoning them, and that’s not what you’re doing if you’re constantly holding stuff over their head. One thing that marriage will show you is how bad of a forgiver you are. Most people suck at it, if we’re gonna be real about it.”
Yvette: “I already know that some women are going to assume that my man must’ve done something to say all of that (LOL). He’s a much better forgiver than I am, believe it or not. The real plot twist is, what gets on his nerves more than anything, is when I bring up stuff that he’s forgiven me for. Allen is the kind of man [who] hates to live in the past. I’ve grown a lot because of that. I think my advice would be to stay focused on solutions and tomorrow instead of problems and yesterday.”
Allen: “Sh- t, that’s bars, babe!”
Shellie here: INDEED.
10. Brennton and Danyelle. Married for 16 Years.
Brennton: “Why anyone who is trash at forgiving would get married is beyond me. It’s delusional to the nth degree to think that you are worthy of forgiveness and others aren’t — or that what you do isn’t ‘as bad,’ and that’s why you deserve forgiveness and others don’t. My wife and I have a lot of time under our belts. I’m here to tell you that there will be something, daily, that you will need to forgive your partner for on some level. If you can’t see yourself being open to that, marriage simply isn’t for you.”
Danyelle: “I don’t know who taught so many of us that being passive-aggressive will get us what we want, but it’s a damn lie. If something is wrong, stop saying ‘nothing’ when your man asks you what’s up because, if you’ve got a man like mine, he’s gonna say ‘Okay’ and go on about his day. Brennton often says that my refusing to speak isn’t his responsibility, it’s mine. That used to piss me off because, deep down, I knew that he was right. Oh, and chill on the grudge-holding too. With guys, that’s not going to get you anywhere either.”
11. Christopher and Yvonne. Married for 26 Years.
Christopher: “Have more loyalty for your spouse than you do your closest friend. Too many people don’t think like that. If you’ve got a friend since college, you’ve been through some things and you’ve learned to forgive and move past it. If you can’t see your wife or husband in this way, why did you get married? You should never have more grace for someone who you didn’t take vows with; that’s ludicrous. Before anyone else, I’m going to prioritize reconciling with my wife. It’s because I value her more than anyone. That’s what marriage is.”
"Before anyone else, I'm going to prioritize reconciling with my wife. It's because I value her more than anyone. That's what marriage is."
Yvonne: “Even if you’re not about ‘traditional gender roles,’ discuss what the expectations are for the home. People don’t divorce over cheating as much as getting sick of beard clippings in the bathroom sink or cars that look like pocketbooks. When you sign up for marriage, you are doing daily life with another person. Articulate your expectations. Listen to theirs. Be flexible until you both can make it work. Do that, and you’ll look up, and it’s been 20 years already.”
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Gems. Pure gems, y’all.
You know, popular consultant Barbara De Angelis once said, “Marriage is not a noun; it’s a verb. It isn’t something you get. It’s something you do. It’s the way you love your partner every day.” And love? Love is a choice.
And so, whether you’re married, engaged, or simply desire marriage in the future, hopefully, these tips will help you to choose how you love your spouse (or future spouse)…better.
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Featured image by Jasper Cole/Getty Images