Would you accept a cash offer on your Medford home?
Some people answer Not always.
Cash for a house means the buyer has no money problems. The majority of buyers need to get a home loan approved. And in the process got rejected because they didn’t qualify.
As 2021 draws to a close, many Medford homeowners face financial challenges. With great difficulty, some of them had been able to keep mortgage payments, but according to their testimonial, they feel like they’re walking a tightrope.
Distressed homeowners face the dilemma of refinancing their home loans to obtain lower interest rates and lower monthly payments or selling quickly to avoid more problems in the future like foreclosure, penalty fees, and higher taxes.
Refinance or Sale For Cash?
Refinancing your mortgage is not just a matter of trading one home loan for another. You must apply for and meet the refinancing requirements set by the lender and the loan program, just as you did when you bought your home.
Also, refinancing your mortgage must meet specific standards to benefit you financially. These are some of the basic refinancing requirements that you may encounter.
Mortgages backed by the Federal Housing Administration or the Department of Veterans Affairs have looser credit requirements than conventional home loans.
Since July 2020, lenders have been tightening credit standards for all mortgages. Over 90% of refinancing approved applicants had a score of 700 and above.
The FHA’s minimum credit score is 500 for a cash-out refinance, and a VA’s home loan doesn’t require a minimum credit score for VA mortgages, but lenders set their criteria.
The lower the ratio, the better. Lenders like to see a debt-to-income ratio of 36% or less. However, you may qualify for a refinance loan with a higher DTI, but you must pay a higher interest rate.
Your house must be worth more than the amount you owe for standard conventional loan refinancing. Lenders will usually require an appraisal to estimate the home value. Your home equity must be at least 20% of the home value.
Regardless of the home loan you have, keep in mind that lenders can always determine the rules, requirements and they have the last word on your loan refinance application.
Average Cost of a Mortgage Refinance
We’ve itemized the most common fees below to help illustrate the underlying costs associated with a refinance. We’ve also described a few of the costs specific to refinancing in more detail:
|Mortgage Application Fee||$75 – $500||$235|
|Property Appraisal Fee||$225 – $700||$480|
|Loan Origination Fee||0 – 1.5% of Loan Principal||1% of Loan Principal|
|Inspection Fee||$175 – $350||$255|
|Survey Fee||$150 – $400||$275|
|Attorney and Closing Fees||$500 – $1,000||$750|
|Title Search and Title Insurance||$400 – $900||$733|
|Local Recording Fee||$25 – $250||$138|
|Reconveyance Fee||$50 – $65||$58|
On average, you will pay $2,924 plus 1% of your loan principal.
Suppose you are refinancing your mortgage balance of about $350,000. The fees amount from your packet will be $6,424.
Also, you are responsible for the closing costs for your mortgage refinance. Average closing costs total $5,000, according to Freddie Mac. But yours may be much higher or much lower.
They are similar to the closing costs for a new mortgage. Estimated refinance costs exclude property taxes, mortgage insurance, and homeowner’s insurance.
Rounding number, you may pay over $20,000 on fees to refinance your median price home in Medford. Not including the local recording fees.
Local statutes require updated deeds to reflect the status of a new mortgage. This fee will vary according to the township in which your property is located.
Additionally, the original mortgage lender may charge a reconveyance fee to release their interest from the property.
The above analysis fits a situation where the homeowner is mortgage current, has a good score of credit, and his property has a minimum of 20% equity.
In many cases, even though a homeowner meets the lender’s requirements, for unknown reasons, he is disqualified.
Selling Your House For Cash Quickly
If you’re selling a property in Medford, the chances are that your buyer does not get the mortgage home loan approved. Rejection is the cause for which thousands of real estate transactions do not close.
This is nothing new!
Even most investors do not like to close transactions with cash. It is easy for them to let a bank share the risk; even with money, most investors are too hit-or-miss.
At Better Off Home Buyers, we have defined parameters and a budget to pay cash for houses. Our primary goal is to build stable communities around Medford by helping distressed homeowners.
Because we have the money to cover any cash offer, we can tell you how to sell any property for cash, some reasons to refuse a cash offer – and when you shouldn’t say no.
We’ll pay cash for your Medford, Oregon property.
The Benefits Of An All Cash Sale Of Your House
The benefits of a cash sale are real:
- Money fast
- Assistance when you need it most
You don’t have to deal with the hassles of waiting months for a buyer to get a mortgage, only to be told that the lender rejected the loan applicant, and you’re back to square one.
You don’t have to list your house with a real estate agent and pay commission and other costs.
You don’t have to deal with schedules and strangers walking in. Many people are just “kicking the tires” and checking out your property for fun. We don’t waste your time because time is our business.
You don’t need to paint, make repairs, or even clean up. We buy properties As-Is. Then, You won’t waste money on junk haulers or contractors, and We take care of everything.
We work with a local reputable title company, so you don’t need to deal with any paperwork. We have it all covered.
You just need to focus on the actual sale of your home for cash.
Working With A Reputable Medford House Buyer Investor
You want to make sure your cash buyer is reputable. We offer excellent referrals from past sellers we’ve helped. Please click on the bottom of the testimonials.
We can show you examples of some of the latest projects we’ve worked on, and we’ll be happy to answer any questions you have, so feel free to ask.
We pride ourselves on being a solid part of the Medford community. Our mission is to help local Medford, Oregon homeowners who need to sell their houses quickly, at a fair price, and to help improve the beauty of neighborhoods one home at a time.
We buy properties like yours from people who need to sell fast.
Selling Your House Hassle-Free
Selling Your House Can Be A Quick And Simple Process.
Better Off House Buyers buy houses in Medford and across Oregon. We’re not a listing company; we’re the ones buying your home. We close quickly or on your schedule. As we’ve mentioned, there are no realtor commission and closing fees when you work with us.
This means you don’t have to worry about selling costs and other out-of-pocket expenses to quickly sell your home or even have it ready for sale. (we’ll buy your house as-is). We pay cash.
Don’t worry about repairing or cleaning up your property. We’ll buy your house in as-is no matter, ugly or pretty, no matter the location.
Do you need cash for your house urgently? Well, congratulations! We buy houses fast!!
We can help you if you own a house you no longer want, a house you cannot afford, or an inherited property you do not wish to.
Whether you face foreclosure, rental problems, mortgage issues, downsizing because you are planning your retirement and intend to move from your neighborhood, or you simply do not want to deal with all the fuss and stress of real estate agents.
Regardless of the condition of your house or your situation, Better Off Home Buyers provides a quick and easy solution to your real estate problems.
We have been in the professional home-buying industry for years. In all this time, we have gathered the experience to ensure your home sale goes smoothly. We possess the capital to buy your home immediately and close at a time of your choosing.
Transparency is the principle upon which our firm is founded, and we are always on standby to answer every time you call. We keep all our offers transparent, pay you in advance, and allow you to pick a closing date that works for you.
Give us a call today to receive a no-obligation cash offer from us in 24 hours or less. It is totally up to you to decide whether you want to go on to the next stage with us.
Do you need to sell your house quickly? Countless homeowners in your situation come to us all the time.
- Let us make a no-obligation cash offer on your house now!
- The paperwork will be taken care of by an Escrow company.
- Receive full payment in a matter of days!
- Contact Us