RealEstate Saturday, February 3, 2018
SpringsHouses.com • Marketplace Inside
THE MORTGAGE PROFESSOR:
How to buy a house before selling the one in which you live BY JACK GUTTENTAG, TRIBUNE NEWS SERVICE
A homeowner who wants to exchange the house in which she lives for another one that better meets her current needs and capacities can save herself much grief and expense by buying the new house before selling the old one. Buying the new house first means having to move only once instead of twice. The
downside is that financing a house purchase when you already own a home is more difficult. Coping with these difficulties is the subject of this article. When a homeowner applies for a mortgage to purchase another house, since the borrower can permanently occupy only one house, the practice is
to view the purchased house as the borrower’s residence, leaving the existing house as an investment property. Investment loans are riskier than loans secured by a permanent residence. Since the applicant for a new purchase loan is viewed as having a
risky investment property, the payment reserve requirement — the number of months of monthly payments the borrower must have in the bank at closing — is higher. Further, the expense-to-income ratio used to assess the borrower’s ability to make future payments will include the payment on
the existing mortgage as well as the payment on a new mortgage. For these reasons, the purchaser may find it difficult to qualify for a loan from a traditional mortgage lender, which raises questions about other potential sources. If the borrower has a 401(k) CONTINUED ON PAGE 2
FEATURED HOME OF THE WEEK RECENTLY REMODELED
4127 Purple Plum Way | $359,900 Neighborhood: Briargate Directions: East on Briargate Parkway, then left on Union Blvd., left on Royal Pine and left on Purple Plum Contact: Jesse Risely, Keller Williams Client’s Choice, 719-351-8523, coloradobestrealestate.com
FIVE bedroom, ranch style home located in the prestigious Pine Creek! This home has three bedrooms on the main level and two bedrooms in the basement. Large eat in kitchen with granite, stainless steel appliances, breakfast bar and a large pantry. Living room with dining area that walks out to a patio, great for entertaining friends and family. Nice sized fenced back yard with minimal upkeep. District 20 schools, mountain views and next to a cul de sac! Brand new carpet and paint!
FEATURED HOME OF THE WEEK WONDERFUL GOLF COURSE TOWNHOME
1520 Camel Drivers Lane | $525,000 Neighborhood: Kissing Camels – The Park By Appointment Only Agent / Company: Kevin Patterson, 719.575.1200 The Patterson Group
Best Home Development 2 Years Running!
This 3 bedroom, 3 bath golf course townhome includes 2-car + golf cart garage and great views. The main level features a living room with vaulted / beamed ceilings, kitchen with island, pantry and breakfast nook, separate dining room and walkout to the covered patio. Also on the main level is the master suite with a large sitting area, 5-piece bath and walk-in closet. The lower level includes a large family room with wet bar, two additional bedrooms, full bath with double vanities and laundry. HOA provided maintenance, insurance, snow and trash removal. Fenced backyard for pets and covered patio.
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