Buying a Home Requires Many Difficult Decisions. Make Sure Your real estate agents are Top Local Experts. 

Your home is probably the biggest purchase your family will ever make, and it involves many decisions that go beyond simply choosing one you like.  

When buying a home -- whether it's your first, second, or a getaway vacation home -- you're bound to have many questions. For example, how will you find a home that suits your needs? How much money will you need to afford the monthly payments? And how long will the home buying process take?
Sound familiar? If so, you've come to the right place. Our Web site offers a wealth of information about the home buying process. Begin your journey by discovering the benefits of working with Rhonda and Larry Rosenthal and The Rosenthal Group.
Deciding on the right Rosenthal Group realtor for you can be a tough decision. Meet and learn more about our agents. Go to "About Us" to view all our group has to offer.  

Avoid This Costly Mistake



If you've been following the financial news, you've probably heard that the Fed's been buying Mortgage Backed Securities. Unfortunately, people have picked up on the news and mistakenly discussed how these purchases will continue to cause rates to drop lower. But is that really what it means? No. 

The following information can help set the record straight and help you make smart decisions that lead to a low interest rate for your home loan. 

How is the Fed's Bond Purchase Related to Rates? 

The Fed has been buying Mortgage Bonds. BUT... more precisely, they're buying a lot of FNMA 30-yr 5.0% and 5.5% Bonds. Many of the mortgages in these pools are outstanding home loans with rates between 6.0% and 6.5%, as the rate that a borrower pays is different than the coupon rate given to an investor buying into that mortgage pool, with the difference being taken by Wall Street firms and government agencies. The loans in these pools are likely to be refinanced and paid - because current rates make it very attractive to refinance a loan over 6.0%. Thus, giving the Fed a quick recoup on some of its investment. 

Bottom line: The Fed's purchase of higher rate coupons will not necessarily help rates to move lower, as their actions do not impact the loans being originated at today's low rates. 

The Problem Is... 

Many consumers are in situations where they can refinance now and save hundreds of dollars a month on their mortgage payments. But if they hear people throwing around teases of lower rates ahead, they may decide to hold off on making the decision to save, in the hopes of gaining a few more dollars of savings per month if a lower rate came their way. Of course, while they're waiting, rates could turn higher - especially when you consider that the Fed is scaling back its purchases of Mortgage Backed Securities - and this window of opportunity could pass them by entirely. 

Is the Fed Scaling Back? And What Will It Mean to Rates? 

Last week, the New York Fed began to scale back their Mortgage Backed Security purchase program. The Fed has been buying about $25 Billion worth of Mortgage Backed Securities per week, but the new plan to drag out these purchases over a longer period of time means that they will be reducing both the frequency and amounts of their purchases. This will cause higher levels of volatility, as the Fed will be purchasing less often and less consistently. As a result, rates will probably rise gradually over time. 

Here's the Clincher 

Even if consumers are ultimately able to time the market perfectly and save another few bucks per month, they could still end up losing. That's because while they delayed, they lost the savings each month they could have gained by taking action sooner. In other words, they may have lost hundreds of dollars for every month they waited. So even if they got lucky and obtained the rate they were looking for, it could take years to make up what they lost by waiting. 

Credit Scores are important part of the mortgage process. In order to keep trace of your credit history, anually request your credit report from the three major credit bureaus for free. Annualcreditreport.com and keep informed about your credit. Also check a guide to Credit Scores on our "Pre-Qualify for a Mortgage" page under Buyers.
Types of mortgages, how to apply for a mortgage, and finding a lender are a few other factors you should know about before purchasing your dream home. While you're here, be sure to use the financial calculators to determine how much home you can afford or what you can expect in terms of monthly payments. Have you considered tax savings advantages or how much principal and interest you'll pay each year for your home?
While the experience can be filled with ups and downs, contact Rhonda Rosenthal & Group, to guide you through the entire process. 

HOMEOWNERS INSURANCE 

When buying a home you will need homeowners insurance - get a copy of the seven year history of losses on the property you are purchasing.
C.L.U.E. Inc. maintains a seven year history of losses information on insurance claims histories. If you are interested in obtaining a report to be used for real estate disclosure, the Home Seller's Disclosure Report provides loss information

To receive a C.L.U.E.® (Comprehensive Loss Underwriting Exchange) Report, go to WWW.CHOICETRUST.COM 

To take a wide view of the area you're interested in moving to, download the free GoogleEarth software, which lets you zoom in on your new home from space! www.googleearth.com 

As Upper Dublin, Horsham and Blue Bell area real estate agents, here is how we will guide you through the entire process, from viewing homes and financing, to making sure the final contract is in your best interest: 

- You will have full access to ALL homes available in our market, even listings not yet on the MLS, through our professional Pennsylvania real estate affiliations. 

- Our expert local knowledge of the Upper Dublin, Horsham, Blue Bell, Lower Gwynedd and surrounding areas should be invaluable to you, not just in terms of real estate, but also schools, neighborhoods, the local economy, and more. 

- Every local real estate market absolutely has its own trends and opportunities. This can vary greatly, even one neighborhood to the next. Upper Dublin, Horsham and Blue Bell and the surrounding areas are no different! It's our job to steer you into opportunities and out of traps. 

- What is the true market value of the home you are interested in? Is it priced too high? Is it a bargain that you should jump on? We help home buyers make decisions like this every day, and we'll make sure that YOU get the best value for your money. 

- Negotiating with sellers can be stressful. We will help you negotiate, so that the final contract includes your best possible terms and conditions. 

- You should know absolutely everything about the property you are buying! You and a member or my group or I will view every home that you are interested in, together. And prior to closing we will make you fully aware of any and all inspections available to you. 

- Have confidence when signing documents. Contracts are full of complicated terms and clauses that can greatly affect your future life in your new home. We will give you the full benefit of our real estate knowledge and experience. 

Let us represent your best interests in your search for a new home in the Upper Dublin, Horsham, Blue Bell, Lower Gwynedd and surrounding areas. While you can see a million homes on the web, actually buying your home is another matter entirely. Buyers beware! 

Ask us any question about buying a home in Upper Dublin, Horsham, Blue Bell, Lower Gwynedd, and Surrounding Areas. It's our job to help you! There's no obligation, and we promise to respond quickly...