Bradford Miller Law, P.C. Chicago Real Estate Attorney, Chicago Short Sale Attorney: Five mistakes Buyers can make

Sunday, March 18, 2012

Five mistakes Buyers can make

1. Not shopping around for the best loanMortgage rates and lender fees can vary so in my opinion it is best to get at least three quotes from three separate lenders.

2. Simply dismissing FHA loans
Even though there is an upfront mortgage premium, FHA loans have several advantages:

Required down payments range from 3.5% to 10%
The loans are assumable when you sell your home.
Minimum credit scores range from 500 to 580, and credit scores don't influence pricing
Underwriting can be flexible

3. Only thinking about the lowest monthly mortgage payment
A lower mortgage payment doesn't always represent savings. If a 15-year loan and a 30-year loan had the same mortgage rate, the 15-year loan would require a higher monthly payment than the 30-year loan but you'd pay A LOT less in total interest on the 15-year loan.

4. Only considering a 30 year fixed rate
If you know you will be in your home for over five years, then a 30 year fixed rate probably makes sense. If you are younger though and know you will be moving within the next five years, you should consider a five year adjustable-rate mortgage (ARM)--which will give you a fixed rate for a specified number of years and can often be a lower rate than a 30 year fixed rate.

5. Not hiring a real estate attorney
In the Chicago area, having a real estate attorney is normal - almost required. As a buyer, not having a real estate attorney can put you at a huge disadvantage. There are contract deadlines, title policies to review, closing paperwork to review, tax prorations to figure out, etc. Getting clean title and making sure the numbers are right is very important on any transaction. If you do not have a real estate attorney on your side - good luck trying to figure it all out. The relatively small fee ($500 at Bradford Miller Law) is well worth it.

Posted by Bradford Miller Law, P.C.

Real Estate Law, Landlord Tenant Law, Estate Planning

134 N. LaSalle, Suite 2250

Chicago, IL 60602

312-238-9298

http://www.bradfordmillerlaw.com

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Key words: Chicago short sale attorney, Chicago landlord tenant law attorney, Chicago estate planning attorney, Chicago real estate attorney, Chicago real estate lawyer, Chicago building code violations, short sale attorney Chicago. This is intended to be advertising. Please consult with an attorney before acting on any information given here.

FREE SHORT SALE HELP

Are you "under-water" in your home? Do you owe more then the property is worth? You should consider doing a short sale. Chicago short sale attorney Bradford Miller offers free legal representation to homeowners doing a short sale. The first step is to call Attorney Bradford Miller for a free 15 minute phone consultation. If we accept you as a client, our representation will be free to you and its possible you will even receive some money to help you relocate. Homeowners should know what their options are and what to expect. Call Mr. Miller today at 312-238-9298.

CHICAGO REAL ESTATE LAW BLOG

Bradford Miller Law, P.C. focuses on real estate law, landlord tenant law and estate planning. This is the chicago real estate law blog. If you are interested in reading about landlord tenant law, visit that blog at http://chicagoltlaw.blogspot.com/. If you are interested in estate planning, visit http://chicagoestateplanning.blogspot.com/. The law firm's main website is www.bradfordmillerlaw.com.

This blog will focus on real estate law in the Chicagoland area. Topics include real estate transactions ("closings"), closing costs, and real estate taxes, among other things.

Helping people in this distressed real estate market

Whether you live in Chicago, Berwyn, Orland Park, Naperville, or another suburb, Bradford Miller Law, P.C. can provide the legal representation you need. Short sales are becoming more and more prevalent, currently making up approximately 35% of the market. Sellers need to understand what a short sale is and what the consequences may be. Mr. Miller offers a free 15-minute phone consultation to any homeowner contemplating a short sale.

Bradford Miller Law, P.C. also offers representation to traditional sellers. Sellers can find a variety of information at http://www.bradfordmillerlaw.com/ under the "Sellers" section. Mr. Miller offers a free 15-minute phone consultation to any homeowner looking to sell their property.

Buyers, and especially investors, are taking advantage of the real estate market. Bradford Miller Law, P.C. offers comprehensive legal representation when making a purchase. Call for a free 15-minute phone consultation.