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5 first-timehomebuyerquestions1. HOW MUCH CAN YOU AFFORD?4. WILL THIS HOUSE FIT YOUR LONG-TERM GOALS?A good rule of thumb is to put 25 percent of your income towardBe sure your investment is something you can make theyour home payment. Spending a quarter of your income onmost out of. Mull over all possibilities of future plans.your mortgage payment should safeguard you in the event ofDo you plan to have kids? Are your children moving outunexpected financial changes.soon? Is a job transfer in your future? Heavily weigh schooldistricts when moving. It can be cheaper in the long-run to2. WHAT ARE YOUR COSTS IN ADDITION TO THE LOAN?pay more for a house in a better school district than to buyTalk with your lender about out-of-pocket expenses, like thea less expensive home and pay for private school.down payment or closing costs. Also, consider the costs ofimprovements, taxes, homeowners association dues, utilities,5. ARE YOU TRULY PREPARED TO BE A HOMEOWNER?and homeowners insurance.Homeownership is one of the biggest joys, but it alsocomes with a lot of responsibility. Be prepared to spend3. HOW DO I DETERMINE THE RIGHT NEIGHBORHOOD?money and time on your home. Understand everythingDecide on the top priorities for you and your family. Do you wantthat is involved and plan to adjust your spending habitsto be close to good schools? How far are you willing to moveaccordingly. Also, be aware of your credit score and how itfrom your office? Make a list of your uncompromising needsaffects your ability to purchase the home that you want.before your home search so you can be objective when lookingat multiple properties.

know your scoreA CREDIT SCORE NOT ONLY INFLUENCES YOUR HOME-BUYING POTENTIAL, BUT ISESSENTIAL FOR OBTAINING SEVERAL SERVICES AND BIG TICKET ITEMS. “90 OF THE TOP100 LARGEST U.S. FINANCIAL INSTITUTIONS USE THE FICO SCORE TO MAKE CONSUMERCREDIT DECISIONS,” ACCORDING TO MYFICO.COM.YOUR FICO SCORE IS REVIEWED BY MOST OF THE FOLLOWING ENTITIES: Employers Landlords Cell phone companies Credit card companies Mortgage lenders Insurance companies Utility companies Cable companiesWHAT MAKES UP YOUR SCORE?When you’re applying for a mortgage, your credit score is a major factor in determining your interest rate and approval for the loan.Typically, the higher your credit score, the better your chances for approval and securing a lower rate. But, just how exactly is yourscore determined? Most companies use a FICO score that is comprised of five elements:Types of credit you have10%New credit accountsLots of new credit accountinquiries can lower yourscore. Mortgage andauto loan inquiries are anexception; these countas one inquiry within a30-day period.A variety of credit types – like anauto loan, credit cards, and othercredit accounts – couldboost your score.10%35%Late payments loweryour score, so payyour bills on time.15%Length of yourcredit historyA short history isn’t a bad thing,if you show responsible creditmanagement. Having a fewcredit accounts is better thanhaving no credit at all.Source: MyFICO.com. Source deemed reliable but is not guaranteed.Your paymenthistory30%How much you oweKeep outstanding balancesunder 30% of your credit limits.

SO, WHAT’S A GOOD SCORE?FICO scores range from 300 to 850, with higher numbers being better. A score of 700 is a good indicator of financial health,and most lenders prefer scores at or above that number, but it is not required.WHAT’S THE NEXT STEP?OBTAIN A CREDIT REPORT. This is a free service available to you each year, so take advantage.Visit www. AnnualCreditReport.com and request your free copy from all three credit reporting companies. EQUIFAX – WWW.EQUIFAX.COM EXPERIAN – WWW.EXPERIAN.COM TRANSUNION – WWW.TRANSUNION.COMBeware of other companies that charge fees for credit reports, because they are often not as accurate as thethree mentioned above.CHECK FOR MISTAKESThere is no charge for checking into existing errors, so make sure there are no inaccuracies listed on your report. Itis your responsibility to notify the credit bureau of any mistakes, which should be cleared up within 30 days of thereport date. If you need to boost your score, here are a few tips that could make a difference to your score. Whilethese are general tips, be sure to check with your lender before paying off large accounts and moving your moneyaround for closing costs and the down payment. MANAGE YOUR CREDIT CARD – Keep balances to less than 30 percent of your limit CORRECT CREDIT LIMITS – It’s important for your credit card company(s) to report your correct limit to the major creditbureaus; your report could suffer if it shows you’re over the reported limit, when the limit is actually higher GET CREDIT WHERE CREDIT IS DUE – Be sure your report shows all of your credit accounts, especially the healthy ones

choosinga lender1. GO LOCAL3. FIND A TRUSTED ADVISOREspecially in a competitive market, working with aIn a world full of misinformation, it is important tolender who lives in and understands the local marketwork with a lender who you trust to help you navigatecan mean the difference between winning andlosing in a multiple offer situation. Having a one-onone relationship with your lender can be a betterexperience than working with a call center.2. COMMUNICATION IS KEYBuying a home is probably the biggest and mostcomplex financial decision of your life. Be sure to workwith a lender who is available, who answers questionsclearly, and helps you anticipate each upcoming stepthe legal and financial aspects of the mortgageprocess. It is important to have an expert explainthe many factors that affect home cost and monthlypayment.4. CHOOSE A LENDER WITH A NETWORKBuying your new home is a big step to growing wealthfor your family. The right lender will have a network oftrusted professionals to recommend who can help youtake control of your financial future.in the process.5. TECHNOLOGY IS YOUR FRIENDUsing the right technology can make your loan processeasier, faster, and more reliable. Choose a lenderthat’s mobile friendly and uses technology to give youa transparent, understandable view of your mortgageprocess.

REDUCINGYO U R C O S T Simprove your credit scorerecast your loanCredit score is a significant factor in qualifyingIf you anticipate having a large sum of moneyfor a competitive interest rate. Higher creditavailable within a year of buying your home,scores result in lower rates and lower monthlyyou may be able to recast the loan. This optionpayments. This means that you can qualify forallows you to reduce the loan’s principal anda larger loan to buy the home of your dreams.re-amortize without refinancing, thus reducinginclude a down paymentyour monthly payment and total interest paid.While a VA loan doesn’t require a downdon’t waitpayment, you can reduce your monthlyMany experts agree that housing prices andpayment, as well as total interest paid, byinterest rates will continue to rise. That meanshaving a down payment. The down paymentyou could expect to pay significantly less forcould come from your own savings, or a gifta home today than a similar home in one orfrom family and friends.two years. Our team can help you determinewhether it makes sense to consider buyingnow or waiting.

WHO GENERATES YOUR CLOSING DISCLOSURE?YOUR CLOSING DEPARTMENT OR THE TITLEask your lenderCOMPANY?WILL YOU BE DELIVERING THE CLOSINGDISCLOSURE ELECTRONICALLY OR BY MAIL?WHAT PERCENTAGE OF YOUR LOANS CLOSELATE (AFTER THE CONTRACT CLOSING DATE)?WHAT PERCENTAGE OF YOUR PREQUALIFIEDLOANS ARE DENIED DURING THEUNDERWRITING PROCESS?DO YOUR PROCESSORS, UNDERWRITERS, ANDCLOSERS WORK IN YOUR OFFICE WITH YOU?DO YOU SEND YOUR CLIENTS WEEKLYAUTOMATED EMAIL UPDATES, AS WELL ASEMAIL UPDATES EACH TIME THEIR LOAN MOVESFORWARD IN THE PROCESS?

not all lendersare alikePRIORITYBROKERBANK/CREDIT UNIONSCOMPETITIVEINTEREST RATES BROAD PRODUCT MIX ONE POIN T OFCONTACT ?IN-HOUSEPROCESSING ?IN-HOUSEUNDERWRITING ?IN-HOUSE FUNDING ? COMMITMENT TOON-TIME CLOSING ?STATE LICENSE ?THE BOTTOM LINE:RATES AND PRODUCTS ARE A COMMODITY. AT PRIORITY,OUR PROCESSES AND PEOPLE SET US APART!

GET OUR AMAZING APP FOR ANAMAZING HOME BUYING EXPERIENCEIT’S YOUR HOME LOAN THE WAY YOU WANT IT: ON YOUR TERMS. WITH LOANFLY ,YOU HAVE AN ALL-IN-ONE APP THAT HELPS YOU SOAR FROM START TO HOME INNO TIME. PLUS, YOU’LL HAVE US BY YOUR SIDE WHENEVER YOU NEED US.PREQUALIFY QUICKLYWith a few taps, you can know for surehow much you can afford before you startYOUR LOAN PROGRESSshopping for a home.SEARCH HOMESANYTIME, ANYWHEREBrowse up-to-date listings in your areaand in your prequalification range.PRIORITY HOME LENDING, LLC. NMLS # 1031451YOUR LOAN INFORMATION

GET ANSWERSLearn all you need to know about the mortgageinitial document uploadprocess with on-demand resources and how-tovideos. You can also request rates and calculateestimated payments.documents uploadeddocument notesPriority.ACCESS LOANFLY BORROWER PORTALOur secure online portal gives you a transparentview of your mortgage transaction. Easily trackyour loan status, upload documents, and do somuch more in one convenient place.GET READYFOR TAKEOFF1) Visit LoanFly.com/EvanKarr on yourMAKE A CONNECTIONApple or Android deviceLoanFly makes it easy to fly solo during the2) Download LoanFly on your deviceprocess. But you can always quickly connect3) Start soaring homewith our team at any time.Available for Apple and Android devices. Internet access required.

10 HOMEOWNERSHIP FACTSWHETHER YOU ARE BUYINGA HOUSE FOR YOUR FAMILY,AN INVESTMENT PROPERTYFOR FUTURE RESALE, ORA SECOND HOME, THEREIS A LOT TO LEARN ABOUTHOMEOWNERSHIP.1. YOUR HOME’S EQUITY IS IMPORTANT.To get the most out of your purchase, youalso think of your purchase as an investment. How canneed to have all the facts. Here’s some greatyour home achieve your goals? Discuss your ultimateinformation to help you be a prepared andplans with your lender and how your mortgage couldinformed homeowner.serve you down the road.If the value of your home is worth more than you owe,you can use this to leverage investment properties, orget cash for other expenses.2. WHEN BUYING A HOME, BE SURE TOCONSIDER YOUR LONG-TERM PLANS.While the cost of a home is a big factor, you should

3. ACCORDING TO THE NATIONAL7. CAUTIOUSLY CONSIDER ALL HOME IMPROVEMENTS.ASSOCIATION OF REALTORS,While many homeowners want to update their house to satisfyTHE MEDIAN AGE OF FIRST-TIMEtheir personal taste, be careful not to over-improve, as it can be anHOMEBUYERS IS 31.More young professionals are able topurchase homes for their families, andexpensive mistake. Improvements such as garages converted toextra rooms or space designed to accommodate one type of familycould negatively affect your chances of selling.more affordable housing options likeplanned communities and townhomeshave developed across the nation.8. WAITING ON THE MARKET TO CHANGE ISNOT ALWAYS A GOOD IDEA.Some buyers may put off purchasing a home in the hopes that prices4. RISING RENTAL COSTS ARE ACOMMON OCCURRENCE.will go down. But the real estate market is unpredictable, so it’s justas likely for prices to go up.As leases are renewed, owners of rentalproperties will pass rising tax, insurance,utility, and maintenance costs on totheir tenants. Like houses, rental unitsare equally susceptible to risingoccupancy costs.9. THERE’S NEVER A PERFECT TIME TO SELL A HOUSE.Whether it’s a “buyer’s market” or a “seller’s market,” most peoplewill be on both ends of the process. As a seller, you might get morefor your home, but you are likely to have to pay more for the nexthome you purchase.5. HOMEOWNERS WITH A STRONGSENTIMENTAL ATTACHMENT TO THEIRHOME OFTEN PRICE THEIR PROPERTYWITH UNREALISTIC EXPECTATIONS.As you’re house hunting, ask your realtorto check neighborhood comparable salesto make sure you’re getting a fair deal.6. DON’T FORGET THAT MORTGAGEINTEREST AND PROPERTY TAXES AREINCOME TAX DEDUCTIBLE.Be sure to take advantage of this, as it cansave you hundreds of dollars per year.10. A GOOD REAL ESTATE AGENT CAN SELL HOMES QUICKLY,EASILY AND AT THE RIGHT PRICE.While some people have been successful selling their home withouta realtor, it is a large risk to take. A knowledgeable realtor can protectyour interests during the process when it’s time to sell your home.

moving checklistO N E M O N T H B E F O R E M OV I N G :Collect everything not to be moved and save for a garage saleor charitable donationSelect mover and arrange for exact form of payment atdestination - Be sure to check moving company policy regardingbroken or damaged items. Moving companies typically do notreimburse for breakage or damage to itemsin boxes they do not packStart packing now, unless you have scheduled packing servicesContact insurance agent to transfer/cancel insurance coverageon your old homeComplete change of address form from post officeNotify all magazines or other subscriptions of change of addressNotify your doctor, dentist, veterinarian and pharmacy of yourchange of addressContact utility companies for refunds of deposit and scheduleturn-off dateCheck freezer and plan use of food over next 2-3 weeksPack all jewelry and other valuables in a safe place to preventloss during moveFind an electronics recycler in your neighborhood

O N E W E E K B E F O R E M OV I N G :Confirm moving day details with the moving companyM O V I N G D AY:Make sure phone service, gas, electricityand water are turned on. If you areOrganize at least one room in the house for packers andmoving into a pre-owned home, you canmovers to work freelysometimes make arrangements to havethe service transferred on loan closing dayDefrost freezer and refrigerator; place charcoal inside towhen you take actual possessionprevent mildewMake arrangements for food for you (andMake arrangements for disconnecting appliances (ice maker,the movers, if possible)washing machine, dryer) from water and gas resourcesCancel all newspapers, yard service, etc.Prune larger houseplants and re-pot those in clay pots intounbreakable plastic containersHire a sitter or send the kids and/or pets toa friend’s house for the dayNotify packers and/or driver about fragileitems (ensure these are marked “fragile”)Schedule a cleaning service to clean both your old andnew homes, or have cleaning supplies accessible uponarrival to your new houseIdentify boxes with linens needed to makeyour beds at your new home and placethem in a convenient locationConsider hiring an exterminator for the new residenceprior to moving inMake a final check of the entire house(closets, shelves, attic, garage, etc.)Get complete routing information andphone numbers from the driver

EVAN KARRBranch ManagerNMLS 1086744Cell: 503.451.1443Fax: comNot a commitment to lend. Borrower must meet qualification criteria. This information is meant to be a guide showing the financingprocess. Not all transactions may follow the illustration or steps listed due to the requirements and process specific to the type ofhome loan a borrower qualifies for. Equal Housing Opportunity.1800 NW 167th Place Suite 100 - Office 7 Beaverton, OR 97006 OR: ML-5209-17Licensed under the Oregon Consumer Finance Act. Company NMLS 1031451.

FOR A VA HOME LOAN? active duty service member. 90 consecutive days (181 during peacetime) active reserve or national guard. 6 years in select reserves. unmarried surviving spouse. No time requirement; veteran must have died on active duty or from a service-related disability. pow/mia spouse. Veteran must have been POW or MIA for 90 days