How do I know if I’m ready to buy a home?
You can find out by asking yourself some questions:

Do I have a steady source of income? Have I been employed on a regular basis for the last 2–3 years? Is my current income reliable?
Do I have a good record of paying my bills?
Do I have few outstanding long-term debts, like car payments?
Do I have money saved for a down payment?
Do I have the ability to pay a mortgage every month, plus additional costs?

If you can answer “yes” to these questions, you are probably ready to buy your own home.

How to I begin the process of buying a home?
Start by thinking about your situation. Are you ready to buy a home? How much can you afford in a monthly mortgage payment? How much space do you need? What areas of the community do you like? After you answer these questions, make a “To Do” list and start doing casual research. Talk to friends and family, drive through neighborhoods, and look in the “Homes” section of the newspaper.

Additionally, you may want to consider pre-applying for a loan. Doing so will allow you to know how much home you can afford before you begin searching; it can also give you negotiating power once you’ve selected a home, as the buyer will know that you’re already approved for a loan. However, pre-approval loans are usually only for a fixed period of time; if your home search exceeds this period, you will have to re-apply for the loan.

How does purchasing a home compare with renting?
The two don’t really compare at all. The one advantage of renting is being generally free of most maintenance responsibilities. But by renting, you lose the chance to build equity, take advantage of tax benefits and protect yourself against rent increases. Also, you may not be free to decorate without permission and may be at the mercy of the landlord for housing.
Owning a home has many benefits. When you make a mortgage payment, you are building equity. And that’s an investment. Owning a home also qualifies you for tax breaks that assist you in dealing with your new financial responsibilities — like insurance, real estate taxes and upkeep — which can be substantial. But given the freedom, stability and security of owning your own home, they are worth it.

How does the lender determine the maximum loan I can afford?
The lender considers your debt-to-income ratio, which is a comparison of your gross (pre-tax) income to housing and non-housing expenses. Non-housing expenses include such long-term debts as car or student loan payments, alimony, or child support. According to the FHA, monthly mortgage payments should be no more than 29 percent of gross income, while the mortgage payment, combined with non-housing expenses, should total no more than 41 percent of income. The lender also considers cash available for down payment and closing costs, credit history, and so on when determining your maximum loan amount.

How do I select the right real estate agent?
Your local chamber of commerce can provide a list of area agents. Talk to each before choosing one. Look for an agent who listens well and who understands your needs, and whose judgment you trust. The ideal agent knows the local area well and has resources and contacts to help you in your search. Overall, you want to choose an agent who makes you feel comfortable and can provide all the knowledge and services you need.

How can I determine my housing needs before I begin the search?
Your home should fit the way you live, with spaces and features that appeal to the whole family. Before you begin looking at homes, make a list of your priorities — things like location and size. Should the house be close to certain schools? to your job? to public transportation? How large should the house be? What type of lot do you prefer? What kinds of amenities are you looking for? Establish a set of minimum requirements and a “wish list.” Minimum requirements are things that a house must have for you to consider it, while a “wish list” covers things that you’d like to have, but that aren’t essential.

Source: The U.S. Department of Housing and Urban Development

Owning Your Own Home: Finding the Right House for You

What should I look for when deciding on a community?
Select a community that will allow you to best live your daily life. Many people choose communities based on schools. Do you want access to shopping and public transportation? Is access to local facilities like libraries and museums important to you? Or do you prefer the peace and quiet of a rural community? When you find places that you like, talk to people who live there. They know the most about the area and will be your future neighbors. More than anything, you want a neighborhood where you feel comfortable.

How can I find out about community resources?
Contact the local chamber of commerce for promotional literature, welcome kits, maps and other information. Your real estate agent and the local library are also good sources of information.

Is an older home a better value than a new one?
There isn’t a definitive answer to this question. You should look at each home for its individual characteristics. Generally, older homes may be in more established neighborhoods, offer more ambience and have lower property tax rates. People who buy older homes, however, shouldn’t mind maintaining their home and making some repairs. Newer homes tend to use more modern architecture and systems, are usually easier to maintain, and may be more energy-efficient. People who buy new homes often don’t want to worry initially about upkeep and repairs.

What should I look for when walking through a home?
In addition to comparing the home to your minimum requirement and wish lists, consider the following:

Is there enough room for both the present and the future?
Are there enough bedrooms and bathrooms?
Is the house structurally sound?
Do the mechanical systems and appliances work?
Is the yard big enough?
Do you like the floor plan?
Will your furniture fit in the space? Is there enough storage space? (Bring a tape measure to better answer these questions.)
Does anything need to repaired or replaced? Will the seller repair or replace the items?
Imagine the house in good weather and bad, and in each season. Will you be happy with it year-round?

Take your time and think carefully about each house you see. Ask your real estate agent to point out the pros and cons of each home from a professional standpoint.

What questions should I ask when looking at homes?
Many of your questions should focus on potential problems and maintenance issues. Does anything need to be replaced? What things require ongoing maintenance (e.g., paint, roof, HVAC, appliances, carpet)? Also ask about the house and neighborhood, focusing on quality of life issues. Ask questions until you understand all of the information they’ve given. Making a list of questions ahead of time will help you organize your thoughts and arrange all of the information you receive.

How can I keep track of all the homes I see?
On average, homebuyers see 15 houses before choosing one. If possible, take photographs and keep notes for each house: the outside, the major rooms, the yard and extra features that you like or ones that you see as potential problems. And don’t hesitate to return for a second look.

Source: The U.S. Department of Housing and Urban Development

Owning Your Own Home: You’ve Found It!

What does a home inspector do?
An inspector checks the safety of your potential new home. Home inspectors focus especially on the structure, construction and mechanical systems of the house and will make you aware of any repairs that are needed. The inspector does not evaluate whether or not you’re getting good value for your money. Generally, an inspector checks (and gives prices for repairs on): the electrical system, plumbing and waste disposal, the water heater, insulation and ventilation, the HVAC system, water source and quality, the potential presence of pests, the foundation, doors, windows, ceilings, walls, floors, and roof. Be sure to hire a home inspector who is qualified and experienced.

It’s a good idea to have an inspection before you sign a written offer since, once the deal is closed, you’ve bought the house “as is.” Or, you may want to include an inspection clause in the offer when negotiating for a home. An inspection clause gives you an “out” on buying the house if serious problems are found, or gives you the ability to renegotiate the purchase price if repairs are needed. An inspection clause can also specify that the seller must fix the problem(s) before you purchase the house.

It’s not required that you be there for the home inspection, but it’s a good idea. Following the inspection, the home inspector will be able to answer questions about the report and any problem areas. This is also an opportunity to hear an objective opinion on the home you’d like to purchase and is a good time to ask general, maintenance questions.

Do I really need homeowner’s insurance?
Yes. A paid homeowner’s insurance policy (or a paid receipt for one) is required at closing, so arrangements will have to be made prior to that day. Plus, involving the insurance agent early in the home-buying process can save you money. Insurance agents are a great resource for information on home safety, and they can give you tips on how to keep insurance premiums low.

If you live in a flood plain, the lender will require that you have flood insurance before lending any money to you. But if you live near a flood plain, you may choose whether or not to get flood insurance coverage for your home. Work with an insurance agent to construct a policy that fits your needs.

How do I make an offer?
Your real estate agent will assist you in making an offer, which will include the following information:

Complete legal description of the property
Amount of earnest money
Down payment and financing details
Proposed move-in date
Price you are offering
Proposed closing date
Length of time the offer is valid
Details of the deal

What happens after I’ve applied for my loan?
It usually takes a lender between one to six weeks to complete the evaluation of your application. It’s not unusual for the lender to ask for more information once the application has been submitted. The sooner you can provide the information, the faster your application will be processed. Once all the information has been verified, the lender will call you to let you know the outcome of your application. If the loan is approved, a closing date is set up, and the lender will review the closing with you. And after closing, you’ll be able to move into your new home.

What should I look for during the final walk-through?
This will likely be the first opportunity to examine the house without furniture, giving you a clear view of everything. Check the walls and ceilings carefully, as well as any work the seller agreed to do in response to the inspection. Any problems discovered previously that you find uncorrected should be brought up prior to closing. It is the seller’s responsibility to fix them.

What can I expect to happen on closing day?
You’ll present your paid homeowner’s insurance policy or a binder and receipt showing that the premium has been paid. The closing agent will then list the money you owe the seller (remainder of down payment, prepaid taxes, etc.) and then the money the seller owes you (unpaid taxes and prepaid rent, if applicable). The seller will provide proofs of any inspection, warranties, etc.

Once you’re sure you understand all the documentation, you’ll sign the mortgage, agreeing that if you don’t make payments the lender is entitled to sell your property and apply the sale price against the amount you owe, plus expenses. You’ll also sign a mortgage note, promising to repay the loan. The seller will give you the title to the house in the form of a signed deed.

You’ll pay the lender’s agent all closing costs and, in turn, he or she will provide you with a settlement statement of all the items for which you have paid. The deed and mortgage will then be recorded in the state Registry of Deeds, and you will be a homeowner!

Source: The U.S. Department of Housing and Urban Development

Get the important facts when evaluating your child’s new or prospective school.

Relocating families have many adjustments to make, but being armed with information can make the transition much less stressful. Understanding the dynamics of the schools in your new neighborhood is part of the process, but it need not be a painful one. Here are a few tips to help.

Are They Getting Good Marks?
Federal law requires states and public school districts to make information available to the community in the form of a yearly report card. Available through the state board of education Web site or directly from the school, report card formats vary from state to state but can include some of the following important facts:

Standardized Testing Scores: Standardized tests are a common yardstick for measuring a school’s academic progress compared to state and national averages. While these types of tests cannot tell the whole story of the school’s quality of instruction, large deviations from standards are a good starting point for pinpointing questions you should ask about specific academic categories.

Student to Teacher Ratios and Average Class Sizes: A low student-to-teacher ratio and small average class sizes indicate that students are more likely to receive direct attention and interact regularly with the faculty. A student-to-teacher ratio of less than 20-to-1 is good, while higher numbers — especially in lower grade levels — can be cause to investigate further.

Faculty Experience and Educational Attainment: The average years of experience per teacher and the percentage of teachers with master’s degrees or higher is often provided to give an indication of the expertise of the faculty. High degrees and a lot of experience are generally desirable, but don’t jump to the conclusion that big numbers are always best. Educators in the early stages of their careers often bring high enthusiasm and progressive methods to the classroom, so a good mix of experienced and new teachers can create a healthy balance for students.

Take a Tour
Taking a tour can be very helpful in evaluating a school if you know the right things to look for. Keep an eye out and be prepared to quiz your tour guide so you get these questions answered:

1.
Is there an adequate number of computers for students? Compare the number of computers available in classrooms, laboratories, and the library to what you know about class sizes and enrollment and ask if there are classes devoted to using technology at each grade level.

2. Are the library and nurse’s station staffed? These resources are only as useful as the people who put them into action. A lack of staffing in these areas may be an indicator of the school’s financial health.

3. What teaching methods are being employed? More important than the boxed curriculum the school has chosen is the methodology employed in teaching it. Watch to see if the approach is interactive, as most students thrive on this. Seeing groups of students working together regularly is a good thing.

4. What are the supervision procedures? Playground and hallway supervision before, after, and during school hours is an important safety consideration. Watch to see how well these areas are supervised when students are at recess or moving from class to class.

Other Places for Information
School Web sites: Most schools have a Web site that you can go to for lunch and bus schedules, contact information, and the latest happenings within the district. See if your child’s homeroom teacher has a Web page and how frequently it is updated.

Local newspapers: Newspapers cover local schools closely, so a quick search of archived articles on the paper’s Web site will help get you up to speed on important issues in the district.

Board members and the PTO: Don’t forget to ask the PTO or go straight to the board with questions about the district. Meetings are often open to the public, so there is opportunity to address concerns if you’re willing to take the initiative.

There’s no getting around it — even if it’s a welcome change, moving is stressful. Experts note that while adults tend to focus on the details and tasks involved, children are much more likely to focus on the anxiety of unfamiliar situations and on the things they feel they are losing. With less experience coping with change, kids may feel overwhelmed at the idea of a new house, new school, and new friends. Here are some tips for helping kids make a smoother transition to new digs.

Before and During the Move
Tell your child about the move as soon as possible. Parents may delay the announcement of a move both to have one less thing to worry about and to avoid giving their child anxiety. However, children need time to absorb the news and start to prepare.

Allow your child to talk openly about his or her feelings. Although your kids’ worries may seem small from your perspective, they loom large to them. Take time to let them talk it out. Don’t minimize their concerns with generalizations like “Everything will be okay; don’t worry.” Instead, focus on working with them to develop coping strategies for the specific situations they are concerned about, and remind them of other new situations they’ve faced successfully before. Assure kids that their feelings are normal and that you will be there to help them work through it.

Let them stay in touch with their friends. Experts strongly recommend allowing kids to have a get-together with their friends before the move. Put together a scrapbook with photos, and collect phone numbers and e-mail addresses so your child can stay in contact with their friends. This support can help kids make the transition to new surroundings and ease initial feelings of loneliness.

Let them be involved with the move. If possible, take your child along when you look at new houses, and let them give their input — keeping it clear that while the final decision rests with you, their opinions are important. During the move itself, even the littlest child can be given their own jobs, such as packing an overnight bag with favorite toys. When you reach the new house, let your child make some decisions about fixing up their room.

After the Move/Adjusting to a New School
Model social behavior. If you’re comfortable, take the initiative and introduce yourself to your new neighbors — you might even consider hosting an informal get-together.

Get your family involved in the community. If you were a regular church-goer, or if your child played sports or was involved in arts programs or extracurriculars, explore similar opportunities in your new home town or district. This will give kids a familiar activity to enjoy and an opportunity to meet new friends with similar interests.

Tour the new school as a family. Familiarity helps soothe anxiety. Being familiar with the route to school, learning where their classrooms are, meeting new teachers, and finding out how to navigate their new building can go a long way toward making that first day seem less intimidating.

Ask about peer guides. Many schools already have systems in place that pair a new child with another student who acts as the new child’s guide and companion during the first few days. Ask if your new school has such a program; if they don’t, ask the teacher to match your child up with an outgoing student who would be willing to befriend your child and show him or her around the first week or so.

Let academics take a back seat for awhile. A successful educational experience depends on your child’s being happy and secure in their new school. Let them have a transition period where they can focus on the social aspect of school first. Once they’re comfortable, focusing on studies will be much easier.

Let them know you’re proud of their achievements. Every step forward is progress. Remind your child that you’re proud of their courage in facing a new situation and the work they’re doing to adjust.

Do watch for warning signs. Some kids do have more difficulty transitioning than others. Warning signs that your child may need help include depression, withdrawal, frequent illness, and/or behavioral changes. Don’t hesitate to contact your child’s teacher to check on their progress and to access the professional counseling and referral services available through the school.

Books About Moving
Ages 3–7
The Berenstain Bears’ Moving Day – Stan Berenstain
Who Will Be My Friends? – Syd Hoff
Alexander, Who’s Not (Do You Hear Me? I Mean It!) Going to Move – Judith Viorst
A Kiss Goodbye – Audrey Penn
Big Ernie’s New Home: A Story for Children Who Are Moving – Teresa and Whitney Martin
Boomer’s Big Day – Constance W. McGeorge
A New Home – Tim Bowers

Ages 7–10
Amelia’s Notebook – Marissa Moss
Henry and Mudge and Annie’s Good Move – Cynthia Rylant
Mallory on the Move – Laurie Friedman
Back to School, Mallory – Laurie Friedman
Iris and Walter – Elissa Haden Guest
Hey, New Kid! – Betsy Duffey
Lucy Rose: Here’s the Thing About Me – Katy Kelly

Ages 8–12
Moving Day (Allie Finkle’s Rules for Girls Series #1) – Meg Cabot
The New Girl (Allie Finkle’s Rules for Girls Series #2) – Meg Cabot
Piper Reed, Navy Brat – Kimberly Willis Holt
The Kid in the Red Jacket – Barbara Park
Ellie McDoodle: New Kid in School – Ruth McNally Barshaw
The Moving Book: A Kids’ Survival Guide – Gabriel Davis

Teens
Do-over – Christine Hurley Deriso
This Place Has No Atmosphere – Paula Danziger
P.S. Longer Letter Later – Paula Danziger and Ann M. Martin
Gamer Girl – Mari Mancusi
True Friends – Stephanie Perry Moore

For Parents
Moving With Kids – 25 Ways to Ease Your Family’s Transition to a New Home – Lori Collins Burgan

Those home designers on TV make it look easy; but many of us faced with a redecorating project have no clue where to start. We may not have the best advice on whether you should go contemporary or country French; but we have researched hundreds of design sources to come up with a list of definite design “don’ts.” Here are the top 10 interior design mistakes to avoid.

10: Choosing trendy over personal style.
Do you think anybody really loved those olive-green appliances and orange upholstery in the ’70s? We don’t think so either. Nothing can make your rooms look more dated more quickly than slavishly following the latest trends. Plus, you want your home to be YOUR home, not some clone of a magazine photo.

9: Not having a theme.
If you don’t know where you going, you never know where you might end up. Having a clear vision when you begin your project will ensure that the finished design is cohesive, within budget, and a fun journey, rather than a frustrating chore. However, remember to coordinate, not duplicate; or you might end up making design mistake number 8.

8: Too much matching.
Buying a matching suite not only looks dated; it lacks originality and gives you little scope for expressing your personality. And let that personality shine! Don’t be fearful and make mistake number 7.

7: Having a bland color scheme/overusing white.
Many novices who fear creating a clash will err instead on the side of choosing all neutrals or whites. While such colors can be used as canvases, design experts say their overuse can make rooms look cold and uninviting. Here’s a news flash from top designers: It’s okay to love color! Carefully chosen, deep and/or bright colors can make a dramatic effect, and there’s no better way to express your unique personality.

6: Lining furniture around walls.
One designer calls this a “bowling alley effect.” Unless you’re planning to hold cotillions in the middle of your living room, your design will look warmer and better — and more user-friendly — if you group furniture to create spaces for conversation or for specific use. And don’t block off those picture windows or fireplaces, either — they’re focal points to build your design around, and furniture should “float” in front of them — not block them off.

5: Failing to repeat colors and patterns.
While you want your design to wow, you don’t want it to shock. Using too many or non-compatible colors can end up making your design look gaudy instead of good. Using nature as a guide can be a great way to start, whether you choose to focus on a season, like spring or fall, or a favorite natural setting, like the seaside. Hit the design books at your local library or an online designer site for more color and theme inspiration.

4: Having too much or uncomfortable furniture.
While some may feel it gives their room a luxurious look, filling a space with too much or overlarge furniture can make it look and feel small and cramped — exactly the opposite effect you’re probably going for. And don’t forget that furniture should primarily be comfortable — if it looks good, but it’s so uncomfortable you don’t want to sit on it, what’s the point?

3: Going for quantity over quality.
Don’t over-accessorize. Too many knick-knacks not only make a room look cluttered and messy, but they’re darned hard to keep dusted! Experts recommend choosing 1 or 2 pieces you really love. Or, if you have a collection that you really adore and that expresses your style and taste, mass all the items together in one spot for dramatic effect. And you don’t have to put out all your decorative items at once. Rotate them throughout the year for a constantly refreshed look.

2: Bad lighting.
A design can’t be good if nobody can see it. For a welcoming room, start by making sure natural light can come in wherever possible. Window treatments should allow you to control the amount of sunlight coming in. Look at your lighting from both a functional and a decorative point of view. Is there enough light to read/work by? Can I change the mood in the room by lighting different parts? Additionally, you should always have more than one light source in a room, even when there is an overhead source; lighting should make a room warm and inviting, not cold and harsh. As a rule of thumb, lighting will be more appealing if it comes from several sources at lower wattage, rather than from a single overhead fixture with a powerful bulb.

1: Hanging artwork too high.
Surprisingly, the most common mistake we found designers citing is the one that’s easiest to fix. Remember that artwork is meant to be looked at — so hang it at eye level! Experts recommend that your artwork be centered 60 to 66 inches from floor level. This holds true even if you have cathedral ceilings; artwork should be people-eye view, not bird’s-eye view. Hanging art too high makes it look like it’s misplaced and floating — and purposeless, to boot.

Bonus Tip: If you don’t love it, don’t use it or display it. Even if it’s a family heirloom or a gift from your mother-in-law. It’s your space — and you should love the space you’re in.