Things Homeowners Should Know About Homeowner Insurance

Insurance requires you to plan for the worse case scenarios. Although it is pessimistic to think about what could happen, but it's important to protect yourself from some of life’s biggest surprises.

Know What It Covers

Typically a policy pays for damage to your property and your possessions in the event of certain storms, fire, theft or vandalism. Much like renter’s insurance, it also provides liability coverage if someone gets hurt on your property and decides to sue. Homeowner’s insurance also covers shelter costs, so you don’t have to face crazy hotel bills if you’re temporarily displaced from your house.

Homeowner’s insurance can protect belongings outside the home, too. If something is stolen from your car, auto insurance won’t cover it—but your homeowners policy likely will. Most policies cover your belongings when they are traveling with you, for example, a laptop. Make sure you have a picture of it as well as have added it to your policy, of course. 

Know What It Doesn’t Cover

A standard policy has does have exclusions, including earth movements (landslides, earthquakes, sinkholes), power failure, war, nuclear hazard, government action, faulty zoning, bad repair or workmanship, defective maintenance and flooding. Windstorms are typically covered, including tornadoes, although insurance companies exclude tornadoes or hurricanes in some high-risk areas.

Water damage can be tricky. If you live most places in Florida, you are required to have some form of flood coverage. Under regular homeowner's policy, generally water from above (rainwater or a burst pipe in an upstairs apartment) is usually covered, but water from below (backed-up sewers or ground flooding) generally isn’t. 

Important Tips for Buying Your First Home

Find a Home to Buy

Buying a home can be an overwhelming process and emotionally draining. Finding the right home is not always an easy task. I advise buyers to schedule a maximum of 7 homes at a time because any more than that will make a buyer's head spin.

Most buyers conduct a lot of research online before ever stepping foot in a home. Buyers spend an average of 6 to 8 weeks, according to the National Association of REALTORS, trying to figure out where they want to live. But once the neighborhood is selected, most buyers end up buying a home after 2 or 3 home tours.

Contact Landon Homes at (904) 567-3430 to get in touch with one of our experienced realtors. 

Get a Loan

 It's not always necessary to have a mortgage broker or bank in your back pocket before  buying a home, but it's smarter to get loan pre-approval in advance. This way you know for certain how much home to buy.

I once bought a home without financing in place when I made the offer. I was just lucky. Many sellers won't look at an offer if the seller doesn't have assurance that the buyer can get a loan.

Popular first-time buyer loans are FHA loans because the minimum down payment requirement is much less than a conventional loan. However, if you are thinking about buying foreclosures, for example, 

conventional buyers tend to get priority with REO banks.

You can ask your agent for a referral to a mortgage broker or check with your own bank / credit union. Compare the types of mortgages available to you and your GFE.

Negotiate the Offer

 Buyers sometimes make the mistake of comparing the sales price of a home to other homes they have seen. It's a mistake to compare sales prices among homes for sale. That's because sellers can ask any price they want. It doesn't mean the home will sell at that price.

An agent can provide comparable sales and examine the pending sales. Comparable sales are similar type homes in the same condition and location that have sold within the past 3 months. Pending sales will become the comparable sales by the time your home closes.

You may need to pay over list price in a seller's market, especially if many buyers are vying for the same inventory. Your agent can give you a reasonable price range and help to manage your expectations. An good buyer's agent knows there is always more to an offer than its price, but price is paramount.

Do a Home Inspection

 In some states, a home inspection is conducted before buyers make a purchase offer. In other states, a home inspection is a contract contingency. A contract contingency means a buyer has the right to cancel the contract. You might not want to be locked in to buying a home that has a faulty foundation, for example.

Sellers are generally not required to make repairs if problems are discovered during a home inspection. A home inspection is for the buyer's edification. However, sometimes when a buyer gives a Request for Repair to the seller, rather than blow the deal, the seller will often agree to make a repair.

MOVING TIPS - Moving Your Computer

We all have them. We all need them. In fact, if you're reading this right now, you're going to have to eventually pack it up. Computers. Fragile, at times testy, equipment that need special consideration when moving.

I learned this the hard way. So, no matter how cumbersome or long the task list to prepare your computer for a move, do it! You'll be glad in the end that you did.

And make sure you check out our video on how to properly pack a computer; this is a great visual aid to the details included here.

Get adequate insurance. Make sure that your moving insurance will pay for any damage to your computer. Because most moving company insurance is based on weight, your computer may weigh 50 pounds, but if your stuff is insured at 40 cents per pound, you'll only be getting $20.00. Not enough to fix your machine or to replace important documents and information.

Copy all your files. Technology is a wonderful thing. Remember the days of the floppy disk, when it took a zillion floppies to back-up your hard drive? Not anymore.

If you have the ability to burn a DVD, then this is your best option. DVDs typically hold 4.7GB, depending on the burn speed. That's enough space to store most, if not all, of your files.

If burning DVDs isn't an option, then purchase a flash drive, also known as a jump drive, or portable drive. They range in storage sizes. I'd recommend getting a 256MB, which should store most of your computer files. If you have a lot of graphic intensive files, then you may want to pick up a second flash drive or up the storage space.

Since both DVDs and flash drives are small (flash drives are the size of four sticks of gum stack together), make sure you take them with you and put them in a safe place. Purchase a small lock box and store the DVD or flash drive, any instruction manuals and software disks.

Try to find the box your computer came in. This used to be one of my pet peeves. My husband always insisted on keeping the manufacturer's boxes. I'd end up recycling them a few months after our move, then I'd regret it when it came time to move again. You'd think I'd learn!

If you're like me and you don't keep boxes, call a specialty box company to see if they have computer boxes or electronic boxes. The key is to protect your computer's box, containing the hard drive, from damage. Your monitor is also fragile, so see if you can purchase a monitor box as well. Call the box company and tell them the dimensions and they should be able to accommodate you. Also ask if they sell Styrofoam inserts. This will be critical in ensuring the safe arrival of your computer parts.

Make sure you remove all disks from all drives.

Take your computer apart by first making sure the power is off, both the monitor and the box and disconnect it from the power source.

If you're new to dismantling and setting up a computer, you may want to label your cords before unplugging them. Simply write on a piece of masking tape what the plug is for, and where it should be plugged into your box. Most newer computers use a color-coded system and tiny images to make assembly easier.

Once everything is labeled, starting unplugging the cords from the box and the monitor. Wind them up, tie them and place them in a storage container or plastic bag and keep them with the computer.

Once your machine is packed and the boxes sealed, make sure you mark the boxes appropriately. In large, bold letters indicate that it is fragile and that the box contains a computer box or monitor.

Pack your printer, scanner and other computer equipment the same way, ensuring that nothing can shift while in transit.

If you have room in your car, you can always take your computer with you. If you do, just make sure that your vehicle is parked in a safe place if you need to overnight it in a motel. You can even move it into your suite, just to be safe. You don't want to take any chances with such a valued and valuable piece of equipment.

Featuring the Jacqueline Floor Plan, Benton Lakes is building NOW!

Benton Lakes, one of Jacksonville's most desired neighborhoods nestled in charming Mandarin. We feature a variety of unique home designs on large homesites. With its convenient location in Mandarin, located off of Hood Road, Benton Lakes is close to all Mandarin has to offer. Benton Lakes is just minutes from I-95 and I-295, and allows for quick access to downtown Jacksonville, Historic St Augustine, and many of the city's top business centers. With the Avenues Mall, and St Johns Town Center just around the corner, shopping, dining and entertainment are endless.

Maple Lakes Drive

City: Jacksonville, FL 32226	Price Range: From the $260's	Contact: Susan Penta
County: Duval	SQ Ft Range: 2050-3551	Ph: 904-868-8986 Get Started Today

Schools: Mandarin Oaks Elementary | Mandarin Middle School | Samuel W Wolfson High School

How to save for your down payment

When buying a house, it is usually required for the buyer to put some of his or her money down on the purchase. While you don’t always need to put down 20 percent of the home’s cost, it’s a good idea to aim for 10 to 20 percent down.

How can you save up that much money? Use these tips for help.

Start saving: The first place to start is to figure out how much money you will need to save up. Then give yourself a deadline for when you’d like to buy a house and figure out how much money you will need to save each month to reach that deadline. One way to make sure you don’t spend the money you’re saving is to open a new savings account dedicated to your down payment savings.

Cut expenses: To help raise the money you need, find out what expenses you can cut from your budget. Some ways to cut costs are to cancel cable, stop eating out and start using coupons.

Borrow from your 401(k): Some 401(k) plans allow you to borrow from it. This is preferable to taking out a loan from the bank because it can be easier and quicker to get, and you’re also paying the interest on the loan back to yourself instead of the bank. A drawback to doing this is a mortgage lender could consider this loan as part of your debt. Also, if you leave or lose your job you could be faced with having to pay the amount back or face taxes and penalties on the amount.

Packing Tips to Get Your Home Packed and Moved

Get your home packed and moved with our top 10 packing tips.  Find out how to get organized, what supplies you'll need, types of boxes available and how to pack each one. With the following guides and suggestions, you'll find packing isn't as hard as you first imagined.

Where and How to Start Packing?

Each time we move, at first I always feel overwhelmed, a little anxious and definitely unprepared. Moving is tough and with so many tasks to do, it's hard to know where you should start.  So, to help, we came up with this easy guide to help you through the first steps in moving house which usually begins with how to organize the packing and sorting of all that stuff. 

Moving takes time and if you're doing your own packing, which most people will do, make sure you give yourself lots of time - at least six weeks before your move date and plan carefully. Careful planning and packing will save you time, money and a lot of hair pulling.

Where To Start?

• Decide what will move with you and what will stay behind. There may be items that you don't need anymore or that aren't worth moving or perhaps your move is temporary and certain unnecessary things can be put into storage. No matter what the answer is, decide beforehand what stays and what goes. If you have items already in storage, make sure you take a thorough inventory to ensure you're not moving items you could do without.


• Collect supplies. Try to estimate what you'll need and make sure you have enough on hand. Start collecting boxes from your place of work, from friends or from stores. Or purchase moving kits or packing kits online or from moving companies.


• Pack non-essentials. Start packing items you can do without. If you're moving in the summer, pack all your winter clothes, sports equipment and heavy blankets.

Get Organized

• Label boxes. While you're packing boxes, make sure you label the top and sides of boxes with contents, location of contents in your house and if there are any special instructions, such as "fragile" or "open first". This will assist the movers in putting the boxes in the correct room and will warn them of any fragile items. Also, by keeping a complete list of the contents on the outside of the box, you'll save time digging through 10 boxes marked "kitchen" just to find the can opener.


• Inventory list. When I'm packing, I tend to get a little anal. Maybe it's the numerous times I was disorganized and swore I'd never have to dig through another box again; or maybe it was the time boxes were lost and I wasn't sure what to claim for insurance. Whatever the reason, now, not only do I clearly label each box, but I number the boxes and keep a running inventory list that I check off when the movers are unloading them into my new place. This way, if a box goes missing, I can easily identify which number it is and what is contained within it. Again, insurance companies love this kind of detail.

Make Sure Your Stuff Arrives Safely

• Properly label boxes with stickers that instruct the movers on how to handle the contents. Stickers can be bought at an office supply store or made on your own computer.


• Clothes, towels, linens, pillows can be used to keep fragiles safe. Just make sure you mark this on the box for when the box is unpacked. If the person who is unpacking the box is unaware that a crystal vase is wrapped inside a fleece blanket, they could easily unfurl the blanket sending the vase crashing to the floor. This has happened to me on more than one occasion!


• Make sure you properly wrap all fragile items in several layers of bubble wrap and pack them on their edge (plates, mirrors, picture frames, etc). I strongly recommend bubble wrap. It's inexpensive and will prevent dishes and other fragiles from bumping against one another. I've used newspaper to separate plates and have had a few broken pieces as a result.


• Tape any stray items together into a bundle. Ski poles, brooms, mops, lamp stands, etc... can be taped into one package for easy carrying and storing.


• When moving furniture, make sure you keep all parts together with the item itself. Screws, bolts and other small pieces can be put into a self-locking plastic bag (sandwich bag/freezer bag) then taped to the furniture itself. If you're moving a table, unscrew the legs, tape the legs together then tape the parts bag to the underside of the table top. You can even tape the legs to the underside of the table top just to ensure that the legs don't get scratched or dented in the move.


• Wrap all scratchable furniture in protective padding. Table tops, coffee tables, headboards, etc... can all suffer from scratches and bruising during the move. Furniture padding can be rented from moving companies or storage facilities. I don't recommend using your own linens to protect furniture; linens can be ripped and become stained during a move. In addition, furniture padding is just that - padding. It will better protect your belongings.
• Disassemble all furniture. Any pieces that can come apart, make sure you disassemble them. Desks are lighter without the drawers; the drawers are lighter without the contents, although I have moved desk drawers with their contents still inside them. The trick is to stuff linens on top of the contents then tape down the linens. This can be done if the drawers are stackable and can be placed in the nook beneath the desk when on the truck. You don't want the contents spilling over the truck bed while on the move. See loading a truck for more tips and tricks.


• Keep box weight at a minimum. To prevent injury to yourself, your family, friends or the movers, make sure your boxes are not too heavy to manage. Most boxes should weigh less than 50 pounds with an ideal weight being 40 pounds or less. If you have any overweight boxes, make sure you mark them clearly so that no one injures themselves on the job.

Featuring the Jessica Floor Plan, Benton Lakes is building NOW!

Benton Lakes, one of Jacksonville's most desired neighborhoods nestled in charming Mandarin. We feature a variety of unique home designs on large homesites. With its convenient location in Mandarin, located off of Hood Road, Benton Lakes is close to all Mandarin has to offer. Benton Lakes is just minutes from I-95 and I-295, and allows for quick access to downtown Jacksonville, Historic St Augustine, and many of the city's top business centers. With the Avenues Mall, and St Johns Town Center just around the corner, shopping, dining and entertainment are endless.

Maple Lakes Drive

City: Jacksonville, FL 32226	Price Range: From the $260's	Contact: Susan Penta
County: Duval	SQ Ft Range: 2050-3551	Ph: 904-868-8986 Get Started Today

Schools: Mandarin Oaks Elementary | Mandarin Middle School | Samuel W Wolfson High School

Landon Homes Offering Lifestyle Choices in St. Augustine, FL

At Landon Homes, we know that St. Augustine is a great place to live, work and raise a family.

Life in St. Augustine and St. Johns County area is a wonderful combination of young and old. Founded in 1565, St. Augustine is America's oldest surviving European settlement. Carefully preserved historic sites and scenic attractions bring visitors from all over the world. Situated along the beautiful Atlantic Ocean the city offers unique shops, inns and delectable restaurants.

Love the great outdoors?  The 43 miles of beautiful sandy beaches and numerous lakes and rivers make St. Johns County a great playground for fishing, boating, sailing and other forms of water sports. Our sunny and pleasant climate allow golf, tennis and various outdoor sports to be enjoyed year round. Great A rated public schools, health facilities, and an excellent business environment add to the mix. In short, St. Augustine and St. Johns County is a wonderful place to place to call home.

Landon Homes, North East Florida’s 2013 Builder of the Year, blends the historic with the the new by building two beautiful Communities in St. Augustine, Moses Creek Estates and The Cottages of Hidden Lakes.

Moses Creek Estates is the ideal community to raise a family, live in peace and retire in style. Live a lifestyle of choices at Moses Creek Estates where homes are on 1/3-acre sites with room for a pool!  Choose to build your dream home on one of the pristine lakes or natural conservation areas.  Prices start in the low $270,000’s

The Cottages of Hidden Lakes is the ideal community to raise a family, live in peace and retire in style. Designed in a timeless Old Florida style the Cottage homes yet utilize today’s modern open floor plans.  Energy efficient single story homes, feature three bedrooms, two baths with garage entries at the rear of the home accessed via a private alley.  Prices start in the $170,000’s

Coming soon.... Coronado, beautiful new homes with basements! 

Landon Homes offer uniquely designed and masterfully crafted homes, with a diverse portfolio of floor plans and a commitment to quality. Landon Homes is committed to a personal, hands-on approach to building homes. Their goal is to not only build an exceptional home, but also deliver a memorable homebuilding experience for customers. Communication, honesty, integrity, a commitment to doing it right, and creating a relationship that extends beyond the home sale and closing are top priorities when they are helping homeowners discover their dream home.  For more information, visit www.Landon-Homes.net 

Tips on homeowners insurance

Things you need to know about home insurance, including picking the right insurer and getting the proper coverage.

1. You're a statistic.

To an insurer, you're not a person; you're a set of risks. An insurer bases its premium (or its decision to insure you at all) on your "risk factors," including your occupation, who you are, what you own, and how you live.

2. Know your home's value.

Before you choose a policy, it is essential to establish your home's replacement cost. A local builder can provide the best estimate.

3. Insurers differ.

As with anything else you buy, what seems to be the same product can be priced differently by different companies. You can save money by comparison shopping.

4. Don't just look at price.

A low price is no bargain if an insurer takes forever to service your claim. Research the insurer's record for claims service, as well as its financial stability.

5. Go beyond the basics.

A basic homeowners policy may not promise to entirely replace your home.

6. Demand discounts. Insurers provide discounts to reward behavior that reduces risk.

Americans waste money every year because they forget to ask for them!

7. At claims time, your insurer isn't necessarily your friend.

Your idea of fair compensation may not match that of your insurer. Your insurer's job is to restore you financially. Your job is to prove your losses so you get what you need.

8. Prepare before you have to file a claim.

Keep your policy updated, and reread it before you file a claim so there are no surprises.

Moving Tips That Will Make Your Life So Much Easier: After You Settled

• Obtain necessary IDs such as driver's license, health card, etc.
• Register your car at the new address. Most provinces allow 90 days grace period.
• Contact newspapers and other services for home delivery.
• Walk in your neighborhood to get a good idea what is around and where to find things.
• Check opening and closing hours of stores and service facilities.
• Make friends with your neighbors.
• Consult an attorney about any local laws that might be different from your previous residence. These will affect your family as soon as your new residence is established.
• Register to vote.

Options to finance construction of a new home

Which makes the most sense for financing the new construction: a home equity line of credit on a current home or a construction-to-permanent loan?

The goal should be to minimize total interest expense arising from your financing. Fortunately, if you decide to obtain a home equity line of credit, you do have equity in your residence.

You didn't explain how you'd establish equity in the new home. A conventional mortgage requires 20 percent equity in the home to avoid private mortgage insurance, also known as PMI. The equity can be achieved through the difference between construction costs and appraised value, your investment in the land or bringing cash to closing.

Construction-to-permanent financing requires only one closing and one set of closing costs. The potential downside here involves how the interest rate is determined when you transition to permanent financing.

If construction takes longer than the rate lock (when and if available) on the construction-to-permanent financing, then you're taking on the interest rate risk through construction. If taking this route, you become a captive consumer on financing costs.

A third option is to separate the construction loan from the permanent financing. This can give you more flexibility to find the least expensive construction loan and least expensive permanent financing.

You should be able to get the construction loan as an interest-only loan at the prime lending rate, which is currently 3.25 percent. That's well below Bankrate's national average for a home equity line of credit, or HELOC.

At issue is the trade-off between paying two sets of closing costs versus one, and the pricing of the permanent financing. The longer the construction process takes, the more likely you'd be better off doing two separate financings.

Featuring the Amelia Floor Plan, this home is available for sale in Adams Lake NOW!

Adams Lake is a Deed Restricted Community located on the Westside of Jacksonville, Florida. It offers homeowners the best of both worlds. Located off Normandy Boulevard between SR23 and Chaffee Road, Adams Lake is just minutes away from restaurants and shopping and just two miles from I-10.

Adams Lake has a beautiful nature preserve and lake lots available to choose from to build your new home.

City: Jacksonville, FL 32221	Price Range: $219,990	Contact: Kay Hall
County: Duval	SQ Ft Range: 1566-2729	Ph: (904) 900-3499 Get Started Today

Schools: Chaffee Trail Elementary | Baldwin Middle School | Baldwin Highschool | Trinity Christian Private School | Potters House Private School

 

Money Essentials on Buying a House

1. Can't stay put? Don't buy!

If you can't commit to remaining in one place for at least a few years, then owning is probably not for you, at least not yet. With the transaction costs of buying and selling a home, you may end up losing money if you sell any sooner - even in a rising market. When prices are falling, it's an even worse proposition.

2. Shape up your credit

Since you most likely will need to get a mortgage to buy a house, you must make sure your credit history is as clean as possible. A few months before you start house hunting, get copies of your credit report. Make sure the facts are correct, and fix any problems you discover.

3. Buy within your means

The rule of thumb is that you can buy housing that runs about two-and-one-half times your annual salary. But you'll do better to use one of many calculators available online to get a better handle on how your income, debts, and expenses affect what you can afford.

4. Less than 20%

There are a variety of public and private lenders who, if you qualify, offer low-interest mortgages that require a small down payment.

5. The right school district makes all the difference

In most areas, this advice applies even if you don't have school-age children. Reason: When it comes time to sell, you'll learn that strong school districts are a top priority for many home buyers, thus helping to boost property values.

6. Get professional help.

Even though the Internet gives buyers unprecedented access to home listings, most new buyers (and many more experienced ones) are better off using a professional agent. Look for an exclusive buyer agent, if possible, who will have your interests at heart and can help you with strategies during the bidding process.

7. Choose your points wisely

When picking a mortgage, you usually have the option of paying additional points -- a portion of the interest that you pay at closing -- in exchange for a lower interest rate. If you stay in the house for a long time -- say three to five years or more -- it's usually a better deal to take the points. The lower interest rate will save you more in the long run.

8. Get your money right

Getting pre-approved will you save yourself the grief of looking at houses you can't afford and put you in a better position to make a serious offer when you do find the right house. Not to be confused with pre-qualification, which is based on a cursory review of your finances, pre-approval from a lender is based on your actual income, debt and credit history.

9. Do your homework

Your opening bid should be based on the sales trend of similar homes in the neighborhood. So before making it, consider sales of similar homes in the last three months. If homes have recently sold at 5 percent less than the asking price, you should make a bid that's about eight to 10 percent lower than what the seller is asking.

10. Hire a pro inspector

Sure, your lender will require a home appraisal anyway. But that's just the bank's way of determining whether the house is worth the price you've agreed to pay. Separately, you should hire your own home inspector, preferably an engineer with experience in doing home surveys in the area where you are buying. His or her job will be to point out potential problems that could require costly repairs down the road.

Moving Tips That Will Make Your Life So Much Easier: Moving in Day

• Be at your new home before the movers. You may be charged for waiting if you are late.
• Contact utility companies to verify service start dates.
• Check the appliances, furnace and hot-water heater. Contact a repair service if something is not working.
• Place a floor plan of your new home by the entrance, so the movers know where to place each piece of furniture.
• Check the condition of each box or household item as it is unloaded. Make a list of all missing or damaged items on the mover's copy of the inventory form. Since you will do most of the unpacking after the movers leave, it is a good idea to make a "subject to inspection for loss or concealed damage" note on the inventory form. By signing the inventory sheet, you are acknowledging receipt of all items listed. Personally report any loss or damage to your salesperson or move coordinator.
• To prevent possible damage, television sets, other electronic equipment and major appliances should not be used before they have a chance to adjust to room temperature.
• Call Canada Post to find out if they are   holding any mail for you and ask the services to start.

How To Buy Your First Home

Make sure buying is for you. Are rents cheap and homes costly in your city? Are you planning to move in the next year or two? Is your job looking iffy? If any of these apply, buying might not be a good move. After all, the days when houses could quickly be flipped for more money are history.

“Real estate is not as liquid an investment as it was 5 or 10 years ago,” cautions Steve Domber, president of Prudential Serls Prime Properties, a real estate broker firm operating across New York state and Connecticut. “If you don’t feel that you are going to stay in your job in your current location then consider renting.”

Do a credit check. Cash and good credit are critical to snagging a bargain home and keeping it. Before you go shopping make sure you have the cash on hand for a down payment and a mortgage lender who is willing to provide you with a home loan at an affordable rate.

Get pre-approved by a lender or mortgage brokers. Pre-approval can help expedite the closing of your purchase, a process that given the current economic climate can take months.

Consider a down payment and the alternatives. Another key financial factor is a down payment. Firoved urges real estate newcomers to cough up 20%, which immediately adds equity to your house and lowers monthly payments.

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“You know you can afford to buy a home when you have saved enough money to put a down payment,” he says. That down payment also means you can qualify for a loan modification program down the road if, heaven forbid, you need it.

Many first-timers don’t have the cash to put up 20% of a home’s value. No need to worry, says Robert Walters, chief economist and vice president of the Capital Markets Group for Quicken Loans. Your mortgage officer should be able to find alternatives that work for you.

Uncle Sam offers a handful of government-backed loans with 0% to 3.5% down. Check out the Federal Housing Administration’s loans. Former military members can go through the Department of Veterans Affairs, and the Department of Agriculture offers loans through the Rural Development program.

Skirting the traditional 20% down payment means a mandatory additional expense: private mortgage insurance. PMI might not seem like a big deal, but it comes with a few hitches. This insurance typically costs between 0.5% to 1% of the entire loan amount on an annual basis. In other words, a $150,000 loan at a 1% insurance rate adds an extra $125 per month to your bills. The insurance protects your lender against the possibility of you defaulting on the property and can be charged until as much as 50% of the loan is paid off. The good news is PMI is tax deductible for married couples jointly making up to $110,000.

Be realistic about costs. However much you make, don’t shop for a home that will gobble up most of your income each month. In addition to mortgage and principal payments, buying a home means paying for insurance, maintenance and real estate taxes.

“One of the biggest mistakes first-time home buyers make is they don’t leave themselves with enough money,” cautions Walters.

Don’t cut corners on inspections. Always cough up the extra cash for a good home inspection, especially if you’re buying a foreclosed home.

“A home inspection is key…to really understanding the condition a home is in,” stresses Domber.

Follow these steps and you could be in a place of your own that provides happy, lucrative returns for years to come. Says Walters: “I think that 20, 30, 40 years from now we’ll see that this was potentially one of the best times in modern history for a first-time home buyer to purchase a home.”

Featuring the Alexa Floor Plan, Benton Lakes is building NOW!

Benton Lakes, one of Jacksonville's most desired neighborhoods nestled in charming Mandarin. We feature a variety of unique home designs on large homesites. With its convenient location in Mandarin, located off of Hood Road, Benton Lakes is close to all Mandarin has to offer. Benton Lakes is just minutes from I-95 and I-295, and allows for quick access to downtown Jacksonville, Historic St Augustine, and many of the city's top business centers. With the Avenues Mall, and St Johns Town Center just around the corner, shopping, dining and entertainment are endless.

Maple Lakes Drive

City: Jacksonville, FL 32226	Price Range: From the $260's	Contact: Susan Penta
County: Duval	SQ Ft Range: 2050-3551	Ph: 904-868-8986 Get Started Today

Schools: Mandarin Oaks Elementary | Mandarin Middle School | Samuel W Wolfson High School

Promoting the American Dream of Homeownership

I joined President Obama in visiting Phoenix, where he laid out his vision for a housing system that promotes the American dream of homeownership. 

For years, owning a home was a symbol of responsibility and a source of security for millions of middle-class families across the country. But the financial crisis in 2008 put that all at risk, and by the time President Obama took office, the housing market was in free fall. Home values were plummeting and foreclosures were at record highs.

This Administration immediately took a number of steps to heal the market that helped millions of Americans stay in their homes, save money on their mortgages and turn their communities around.

Today, the market is coming back. Thanks to reforms of the financial system that cracked down on the most reckless practices that led to the housing crisis, responsible Americans can feel more confident and secure when they borrow money to purchase their own home. 

President Barack Obama and Housing and Urban Development Secretary Shaun Donovan tour Erickson Construction, a housing construction company, in Chandler, Ariz., Aug. 6, 2013. (Official White House Photo by Pete Souza)

But, as President Obama made clear today, there is more work to do. It’s time to turn the page on an era of housing bubbles and taxpayer bailouts, and build a new housing finance system that will provide secure homeownership for responsible middle class families.

We see this as critically important, not only because housing and home ownership are one of the bedrock cornerstones of the middle class – but also because it is so connected to the other ones.  How do most families pay for their kids to go to college, to start small businesses, to save for retirement? It's through the savings in their homes.  If we can't protect American families from this kind of crisis again, if we can't build safe, stable investment in housing and home ownership, we also cut out the rungs in the ladder to opportunity for so many families in other areas as well. 

First, there are steps we can take right now that could help immediately strengthen the housing market and make sure that no homeowners or communities are left behind by the housing recovery. This includes helping more responsible homeowners save money by refinancing their mortgages, cutting red tape so responsible families can get a mortgage, helping hard-hit communities rebuild, and preserving access to affordable rental housing

Second, President Obama put forward a plan to reform the housing finance system, centered on four core principles:

• Put private capital at the center of the housing finance system.
• End Fannie Mae and Freddie Mac’s failed business model so taxpayers are never again on the hook for bad loans and bailouts.
• Ensure widespread access to safe and responsible mortgages like the 30-year fixed rate mortgage in good and bad economic times.
• Support affordability and access to homeownership for creditworthy first-time buyers and access to affordable rental housing for middle class families and those aspiring to be. 

Third, because buying a home is one of the most important decisions middle-class families make, there is more we can do to make sure that process is safe, sustainable and easy to understand. The Consumer Financial Protection Bureau has already taken a number of steps to this end, and President Obama is calling on the CFPB to finish a simplified mortgage disclosure form, which highlights the key facts any potential homeowner should know before they take out a mortgage in three pages or less.

Finally, Congress must move quickly to confirm Mel Watt, President Obama’s pick for Director of the Federal Housing Finance Agency, to transition toward a safe and sound future housing finance system.  

By taking these and other steps outlined in the President’s plan, we can finally put an end to the practices that got our country into this mess. As a result, we will grow our economy and give the middle class – and all those working hard to get there – a better bargain for generations to come. 

Shaun Donovan is the Secretary of Housing and Urban Development