Frequently Asked Questions

1. I heard that it can be cheaper to own a house than rent. Is that true?

answer:  Owning your own home has many advantages.  There are many tax advantages that your accountant can tell you about.  In our market you have the awesome return on investment.  It's money in the bank growing for you at a rate no bank could ever conceivably offer you. If you take your current rental payment and times it by 200 you will get the amount of house you can afford to buy.  Rent X 200 = Home you can afford.   So for example if I was paying $800.00 rent X 200 = $160,000. home.  You might be surprised by the amount of home you can afford to have.

  2.    How much can I expect to pay in closing costs?

answer: On the day that we call the "closing day" your home becomes officially yours.  On that day you will sign lots of papers and you will have seen a break down of what we call "good faith estimate" of closing cost ahead of time.  Usually you can expect them to run about 2 - 3 percent of your purchase price of your new home.

  3.    Why do I have to have Homeowners Insurance?

answer: Your loan originator will not close on the loan without it.  They want to protect their investment into your home.  In South Florida, we need to have wind insurance and in many cases flood as well as liabilities and fire.  If you have paid less than 20% down on your home in most cases your lender will mandate that you have what is called an escrow account.  You will pay included with your loan payment an amount equal to a monthly insurance payment for the next year.  You will be paying for the first year prior to your closing or at closing.

   4.    Will I be able to deduct my mortgage interest and property taxes on my income tax return?

answer: Here is one of the big reasons why home ownership is a plus.  Yes the federal government and most state governments allow you to deduct both mortgage interest and property taxes on your income tax return.  For more information on the savings you can plan on having with homeownership, contact your accountant.

   5.    Why do you charge $20.00 per person signing a lease to do a tenant screening?

answer: There are several procedures to follow to screen a prospective tenant.  One of the items is to pull a credit report on the individual.  This cost anywhere from $10 - $30.  In most cases the charge is to cover this fee.  It is non-refundable as it is a fee that is also not refundable to the property manager.

   6.    Why do you ask for a pre-qualification letter prior to showing us properties?

answer: This gives us a guide as to how much you can afford to purchase and that you are in fact in a position to make a purchase at this time.  This will save us both a lot of time.

   7.     How long after we sign a listing contract with you before you will list us in the multiple listing service?

answer: In most cases you will be listed within 12-24 hours.  This gives you the best marketing advantage.