Howard Cole, REALTOR®

Deciding whether to rent or buy isn't about finding a "right" answer, it's about identifying which set of trade-offs fits your current lifestyle and long-term goals. The case for renting The best part about renting is that you avoid the huge entry costs of buying a house. When you buy, you’re often looking at thousands of dollars for things like appraisals, inspections, and lender fees that you'll never see again. If you rent, that money stays in your pocket. Renting also puts a ceiling on your monthly expenses. If a furnace goes out, you aren’t the one who has to come up with the $7,000 to replace it. A renter knows exactly what their housing budget is each month without worrying about repairing surprise storm damage. It’s also much easier if you need to move quickly for a job or family reasons. You can typically exit a lease with minimal friction. Selling a home is a much slower process, and if you haven't lived there long enough to build equity, the cost o...

If saving up for a down payment is your biggest barrier to homeownership, taking advantage of the programs offered by the   Ohio Housing Finance Agency (OHFA)   could be the missing piece of your financial puzzle. They offer down payment assistance that is structured as a forgivable loan. As long as you don’t sell or refinance the home within the first   seven years , the full amount is forgiven. We’ll talk about all the pros and cons of working with OHFA or just going the traditional route. OHFA is a state agency, not a lender. They don't hand you the cash directly; instead, they "sponsor" specific loan products that are fulfilled by private, OHFA-approved banks. When you use their programs, you are actually signing for  two separate loans :  The First Mortgage:  This is your "base" loan (FHA, Conventional, etc.). It has the standard 30-year term and a monthly interest payment. The Second Mortgage:  This is the OHFA assistance. It is a recorded ...

Let’s talk about making offers and negotiating. Going into this process with a plan can be the difference between feeling great about the deal you got or having buyer’s remorse when you realize that your emotions got the best of your budget. I want to make sure you come away from this experience feeling great about the value that you got for your money. Either that, or you feel content about walking away because you stuck to your plan and it just wasn’t the right property for you. If you get nothing else out of this article, the mindset I want you to have is this:  don’t give away anything for free . For example, you might happen to meet the seller's agent at a showing. If you casually mention to them how much you love the backyard and that you really want your kids in this school district, you may have inadvertently given away  thousands  of dollars in negotiating leverage. A simple, “Thank you for letting us view the property,” is sufficient. Generally, the agents will ...

Getting your finances in order is the first major milestone in the home-buying process. However, the terminology can be confusing, especially when two of the most common terms—pre-qualification and pre-approval—are used almost interchangeably. Understanding the distinction is key to setting a realistic budget and showing sellers you are a serious contender. Pre-Qualification Think of pre-qualification as a  "first date."  It’s an informal way to get a rough idea of how much you might be able to borrow. You provide a lender with a  self-reported  overview of your income, assets, and debts. In many cases, the lender does not verify this information or perform a hard credit pull. Within a short time, you’ll receive a letter stating a ballpark figure. Pre-Approval A pre-approval is more like a  “proposal”.  You must complete an official mortgage application, the lender will verify your income (via W-2s or pay stubs), look at your tax returns, and perform a hard...

Alright, say we’ve viewed a house that you absolutely love. You've made an offer and the seller accepts. This is a moment to celebrate! Now the real work begins… In Ohio, it typically takes 30 to 45 days from an offer being accepted to walking through the door with the keys in your hand. Before that happens, expect to make a lot of phone calls, send emails, and go on a scavenger hunt for documents you’re  pretty sure  are in the attic somewhere. It’s going to be okay. You can do this! Here’s a basic outline of the main steps you’ll be responsible for. We’ll discuss these in more detail later, but this will give you a broad idea of the process. Earnest Money Deposit Within a few days of acceptance, you’ll drop off an earnest money deposit with your brokerage. Think of this as your "I’m serious about this" deposit. If you back out for a reason not covered in the contract, the seller may be entitled to keep it. The good news is that this money is applied towards your down p...

Did you know that monthly car payments and credit card debt can lower the amount a bank will lend you for a home? Many lenders use a guideline known as the  28/36 rule . The concept is that you should ideally spend no more than 28% of your income on housing and no more than 36% on your total combined debt So let's take Jack & Diane for example. Their combined monthly income is $5,949. That’s $71,389 per year (the 2024 Ohio median household income). They each have a car payment. One is $217 and the other is $342. They also have a camper financed at $236 per month, and Jack bought a motorcycle on a credit card with monthly payments of $134. Jack & Diane's debt obligations total  $930  per month. That's over 15% of their monthly income. Let's explore how this can be an issue for their home buying aspirations. A lender might look at their financials and see that too much of their monthly income is already “spoken for.” Essentially, that 15% figure cuts into the 28% ...