Home Loans – Would You Buy a Home Without an Inspection?Written by Charles Essmeier
The housing market has exploded, with home prices rising beyond all reason in some markets. Home prices have doubled or tripled during last five years, and in some cities, asking prices for homes are considered only to be suggested opening bids. Homes often sell in a few days or even hours, and would-be buyers are tiring of losing out to higher bidders. In order to achieve an advantage over other bidders, some people are offering to buy homes without a professional inspection. What do they gain from such an offer? Is declining an inspection an OK thing for a buyer to do?
Traditionally, a professional home inspection is a valued component of home buying process. While inspections are rarely required by law, most buyers would prefer to have any home they might purchase inspected before committing to purchase. The inspectors look for problems with foundations, plumbing, wiring, and termite infestation. In addition, they often check to make sure home meets building, zoning, and easement codes. The fee of several hundred dollars, paid by buyer, can turn out to be a bargain if inspection determines that home needs thousands of dollars in repairs. At that point, buyer can walk away from home or negotiate a financial compromise with seller in hopes of having problem repaired prior to sale.
| | Moneynet warns credit rating at risk when consumers switch current accountWritten by Rachel Lane
As Barclays Bank turns up current account heat with launch this week of a new, features-laden current account, online financial data analysis company Moneynet ( http://www.moneynet.co.uk ) warns consumers to look before they switch."On face of it, new current account offering from Barclays looks attractive,” said Moneynet Chief Executive Richard Brown. “The bank has admitted it wants to poach customers from its competitors by rolling out a range of benefits that it claims are worth around £1,000 a year if you take advantage of them – but we feel borrowers should be very cautious when considering switching current accounts. “Despite what lenders say, it is nothing like as straightforward as hopping from one credit card to another, and there is a real danger that account holders can jeopardise their all- important credit rating, as one of key questions asked by lenders as part of their credit scoring process is “how long have you held your current account?” – a short period of time with your bank could results in a reduced credit scoring. "And there are one or two other issues with Barclays offering: interest free overdraft facility and interest free Barclaycard for ten months will probably appeal to people who want interest free borrowing. But with UK consumers now in red to tune of around £1 trillion pounds, we feel concerned that lenders are inviting account holders to rack up yet more debt. "If you do borrow money via this account, sensible option is to clear debt within 10 months’ time frame. And borrowers should also bear in mind that there are many products on market offering interest free credit deals for at least same period as Barclaycard proposition,” said Brown. “We are likely to see a lot more accounts with bells and whistles such as this new offering from Barclays - current account market is worth billions to banks and is intensely competitive.
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