Q & A with Dottie Herman

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Q1 - Can you offer me some advice on what to do to best prepare my home to be put on the market?

A - In general, prepping your home for marketing should include de-cluttering so that buyers can appreciate the space, organizing your closets, perhaps putting on a fresh coat of paint, and washing the windows. Look at your home through the eyes of a potential buyer and see if the Kitchen appliances need replacing, freshen up the bathrooms with new towels, shower curtain etc.; clean out the Garage and Basement. Depending on the season, refresh your outdoor plantings and be sure the house sparkles.
 

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Q2 - My husband and I are looking to purchase a home in New Jersey. We are new to this as we have always rented. How can we find out if the homes we are looking at are over-priced?

A - Hiring a real estate professional who can introduce you to the marketplace can be most helpful and will save you time. The alternative is to get on-line and research the various neighborhoods you are interested in and see what the prices are of houses currently on the market. The location and condition of the house are the two most important barometers. Good Luck and let us know if you need further assistance.

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Q3 - What is the difference between a refinance and a loan modification?

A - A mortgage refinance is establishing a new loan to pay off the current mortgage on the property.  A modification alters the terms on the current loan while keeping the loan itself in place.  There are a very small amount of lenders that offer modifications as a policy for their clients, but, these days, modifications usually arise for borrowers that are behind on their payments, and can demonstrate to the lender that they cannot afford the payment anymore, or both.  While both a refinance and a modification will certainly have process requirements, and the need for documentation, a refinance is going through the mortgage process from beginning to end.

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Q4 - Bank of America holds our mortgage, but the person we worked with left and went to CitiBank. If we refinanced with CitiBank would they now hold our mortgage? How does that work?

A - If the refinance is done with Citibank, they would hold the new loan unless they decide to sell the mortgage, which all banks have the option of doing.  However, you usually can refinance with your current lender- you just may not be able to have the same loan officer handle the transaction.  If the interest is to maintain the mortgage with your current lender (Bank of America), there should be a customer service department you can contact or a branch location you can visit to inquire about the process.  Generally, borrowers initiate a loan application at a particular lender for 1 of 2 reasons:(i) the best rates/terms, or (ii) the person they feel the most comfortable with. 

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If you have a real estate question for Dottie, please send it to; Reporters@WPCnews.com