Sarah Erickson at Edina Realty Mortgage

✨APPRECIATION POST✨

To my lovely husband, thank you for all that you do. Your unwavering support is why I get to do what I do.

This business can be so demanding and I’m feeling a little extra grateful today realizing without an amazing support system, I wouldn’t be where I am.

As Bluey would say, “You’re a Rad Dad”

🤍

Another one closed and in a beautiful new home✨

Congratulations to our buyer Samantha & a huge thank you to Antonio for another fantastic client👏🏻

Closing day is always a good day🏠🏆

A review from Alli 💭

Happy Mother’s Day to all the amazing mommas out there 🤍

The sun is shining and I’m jazzed about it, that’s all ☀️

A review from Conor 💭

Why does an appraisal matter?👇🏼

If you are obtaining a mortgage, your loan is based upon the lesser of the two values -

1. Purchase price
2. Appraised value

So, what IS an appraisal?🏓

An appraisal is a professional evaluation conducted by a licensed appraiser to determine your home’s value.

How exactly does the appraisal process unfold?💭

Picture it as a thorough examination of your home’s worth, considering various factors such as its unique features, location, current market conditions, and comparisons to similar properties in the area. This meticulous assessment ensures that the purchase price aligns with the property’s true value, providing confidence for both buyers and lenders.

When does the appraisal takes place?🎾

Once both you and the seller have inked the Purchase Agreement, we take action in ordering the appraisal as that’s something the [mortgage] club manages for you. We order the appraisal right away (unless you want to wait after your inspection) so we can keep the ball moving forward in determining your homes market value.

But what if the appraisal returns with a lower value than expected?🏠

Fear not – you have options and a great [team] behind you. If you believe the appraisal is off the mark, there’s an option for appraisal reconsideration. If there is need for appraisal gap coverage, we will walk you through scenarios so you can make an educated decision and continue the process with your best foot forward.🫡

Appraisals can be intimidating. We’ve got you covered.✨

Here’s the high level –

[ IPC ] Interested Party Contributions are simply contributions towards the buyer’s closing costs coming from an interested party in the transaction, like agents & property sellers.

These IPCs do have limits ranging from 2% to 9% of the purchase price and these limits are based on down payment amount.


[ NAR ] After the National Association of Realtors Lawsuit Settlement, there has been talk surrounding whether Buyer’s Agent Commission will continue to be excluded from IPC limits.

As of yesterday, Fannie Mae & Freddie Mac have confirmed that if a seller or the seller’s Real Estate Agent continues to cover the buyer’s Real Estate Agent commission, as per local common and customary practices, these contributions will not be tallied towards the IPC limits for the transaction.

The verdict –

Buyer’s Agent Commission will continue to be excluded from IPC limits, meaning there will be no change to how we handle contributions going forward from a mortgage standpoint. 👏🏻


Happy to answer any questions you may have about this! Stay tuned for further insights, updates, and invaluable resources to support you on your path to homeownership success.✨

Motivating you this Monday✨

Navigating the homebuying process can be very confusing, especially when it comes to your financial decisions.

That’s why we are so committed to ensuring our clients feel confident and informed throughout their journey at the [mortgage] club. 🏆

We believe that when you understand the ins and outs of your mortgage process, you’re better equipped to make decisions that positively impact your financial future, with a sense of confidence.

Remember, you can always increase your power through knowledge🧠

highlighting Edina this week…✨

Down payment assistance is such a great option when you are looking to launch yourself into owning equity, but don’t have quite enough assets to start.👏🏻

The Edina Down Payment Assistance program is open to both first-time and repeat homebuyers, offering up to $90,000 in down payment assistance for those eligible.

Comment 🏓 for all the details!

Club Tip🎾

It’s a common misconception that 20% down is required to purchase a home.

We know the 3% down rule that applies when you are buying your first home…but what about the second home that you decide to move on to?🏠

You are no longer a first-time homebuyer, but based upon your financial profile, you still can put as little as 5% down with a conventional mortgage on the next home that you decide to buy.

Something to think about 💭

A review from William 💭

“Sarah was amazing to work with on our loan. She was always available for questions and provided extremely helpful advice all throughout the process.”

Club Tip🎾

Credit bureaus make their money by selling consumer information. 💶

This means whenever your credit is pulled, for any reason, they will sell that information to companies for marketing and data purposes. 📈

What you can do is opt out of allowing your information to be sold prior to having your credit pulled. ✨

If you do so, your information will not be sold and you will likely receive less spam calls and messages!


Use the “opt out” link in my bio🫡

If you’re someone looking to restructure your mortgage, refinancing is not the only option –

Refinancing is a common loan option usually used to secure better loan terms than your current loan, like a lower interest rate or lower monthly payment. Your interest rate does change when you refinance.📈

Recasting your mortgage is essentially adding a lump sum of assets to your mortgage, and re-amortizing it based on the new loan balance. For example, you could purchase your new home before selling your current home, applying the proceeds from your sale to the new home afterwards through a recast. There is no change to your interest rate in a recast.👏🏻

Both refinancing and recasting are great options – reach out to discuss what’s right for you✨

happy monday [mortgage] club🪴

We hope you had a lovely weekend. If you’re in need of motivation, we’ve got you!

Wishing all of us a little sunshine in the Twin Cities this week☀️

Club Tip🎾

This one’s gold🏆 If you are someone in need of extra assets in order to buy a home, know that for both traditional and Roth IRAs, the IRS waives the 10% early withdrawal penalty for first time homebuyers withdrawing up to $10,000.

Comment 💭 if you learned something

Happy Monday [mortgage] club🏸

Today, we’re highlighting our 1-0 buydown. This is a great opportunity to save interest during the first year of your mortgage, which is typically the most interest-heavy year of your loan.

If you’re interested, reach out!

We are happy to help you achieve your finance goals✨

Now through September 30th, we are honoring our front line heroes🫡

As a thank you, we will be waiving our origination fee for those eligible and qualified.

Share this post with a front line hero in your life✨

Club Tip🎾

When you are under contract for a home, it’s important to ask your lender before paying off any loans or moving large sums of money around.

Asking prior can help you avoid the need to provide further documentation later on👏🏻

Club Tip🎾

Why is this important? Most home offers are written over the weekend.

If you can’t access your lender on weekends, you don’t have a pre-approval letter for your offer.

Finding out first can save you time and ensure you won’t have to go through the process again!✨

what are you doing to [create] more today?🪴

Club Tip🎾

When qualifying for a mortgage, we use your income prior to taxes!

If you’re unaware of this simple tip, you could be underestimating your buying power.✨

Club Tip 🎾

A pre-approval is valid for 120 days.

A simple reminder that can help you decide when it’s time to get pre-approved.🏆

It came to my attention today that too many buyers, especially first time homebuyers, aren’t aware of the local grant & assistance programs they can benefit from.

For that reason, I am making it a point to highlight some programs that stand out to me as a MN/WI lender🫡

Saint Louis Park is one. Comment 🎾 for more details!

Reminder: Everything good exists at the top of a hill. There are no short cuts.

My personal favorite way to start the week is with a little motivation. This quote stuck with me last week and I wanted to share☺️

What’s your favorite way to start the week?💭

My “why” is ten months old today 🤍

Club Tip 🎾

If you are a buyer experiencing trouble in the multiple offers market, getting underwritten prior to writing could help strengthen your offer.

When there are multiple offers on the table, it is important to set your offer apart. One way to do this is by providing an additional pre-approval letter signed by an underwriter proving you’ve been cleared by underwriting.

To the sellers, this takes away any risk of the transaction falling through in credit underwriting and results in a quicker closing.

Make your offer [stand out]

We can help🏆

Club Tip 🎾

If you are someone who is currently going through a divorce and is looking to purchase a home, your ex-spouse can be considered an acceptable gift donor for your real estate transaction.

This means, your ex-spouse could gift you money to help cover your down payment and closing costs.

Divorce is hard but [buying a house] doesn’t have to be.

We’re here for all life transitions ✨

An agent testimonial from Jeanne 💭