1. DON’T DO ANYTHING TO RAISE A RED FLAG WITH THE CREDIT SCORING SYSTEM. This includes co-signing on a loan, changing your name or address with the bureaus, updating any creditor information. The less activity on your credit report during the loan process, the better.
2. DON’T APPLY FOR NEW CREDIT. We all see those “You have been pre-approved” invitations either in the mail or online, but just applying for new credit will bring a credit pull which will lower your credit score immediately, anywhere from 1 to 20 points.
3. DON’T PAYOFF COLLECTIONS OR OTHER ACCOUNTS WITHOUT TALKING TO YOUR LOAN OFFICER FIRST. Unless you are required to do so for the loan, don’t pay off any adverse credit.  Doing so will lower your score immediately by making an old adverse account a recent one.
4. DON’T MAX OUT OR OVER-CHARGE YOUR CREDIT CARD ACCOUNTS. This is one of the fastest ways to drop your credit scores, by as much as 50-100 points. Ideally, your credit card balances should be around 30% of your available limit. When you charge your account higher than that percentage, your balance-to-limit ratio gets higher, and your score goes lower.
5. DON’T CONSOLIDATE DEBT. When you consolidate several cards by loading your debt onto just one or two cards, you are affecting your overall balance-to-ratio on all of them. You inhibit potential payment history on the zeroed accounts, and appear maxed-out on the others. See #4. If you want to save money on interest rates, wait until after closing.
6. DON’T CLOSE OUT ANY NEW CREDIT ACCOUNTS. Two Reasons. One, when you close accounts, you lose “available” credit, which affects your overall balance-to-limit ratio. Secondly, closing an account reduces your overall length of credit history, since it will effectively ignore the good credit history you’ve maintained on that account in regards to your score.
7. DON’T MAKE ANY LATE PAYMENTS. Stay current on all of your payments. Once your payment goes 30 days late, your score can drop 50-100 points, and that can takes months, if not years to recover from.
8. DON’T LET ANY ACCOUNTS GO PAST DUE – NOT EVEN 1 DAY! Most of your credit cards allow a grace period, but what the don’t tell you is that once your due date passes, they will show your account is past due, even during that grace period. Past due balances can lower your score by up to 50 points.
9. DON’T DISPUTE ANYTHING ON YOUR CREDIT REPORT. Accounts that are listed as under dispute on your credit report are hidden from the credit scoring mechanism, resulting in a false score. When an underwriter sees a disputed account, they will require the dispute removed and a new report to be pulled.
10. DON’T INCREASE YOUR DEBT LOAD. Any new debt will affect your loan application, by increasing your debt-to-income ratio, and could affect your loan approval. Don’t charge new furniture or appliances until after closing.

Go to www.outputprescreen.com at least 48 hours before you apply for your loan!

On June 1, 2010, Fannie Mae implemented a new rule which requires a supplemental credit report to be pulled right before closing to make sure the borrower’s credit situation has not changed since the initial application. Any new inquiries or new debt will need to be explained and considered, whether or not a loan commitment has already been issues.

Special Thanks to Katie Karr, Senior Loan Officer, Bank Star, 22 Years Experience, NMLS#263796 k.karr@bank-star.com

Contact The Schrimpf-Gum Team with Prudential Lake Ozark Realty for your buying and selling real estate needs. Call: 888-366-6266 Email: Info@DemandDonna.com. Also Search the MLS at Donna.PruLakeOzarkRealEstate.com

Real Estate at Lake Of the Ozarks

Top 10 Deal Breakers Before Closing on The Perfect Home!

You’ve STRUCK A DEAL for the perfect home!

Here’s what NOT to do during the financing process:

Top 10 Deal Breakers:
1. DON’T MAKE ANY CAREER MOVES. One of the factors considered when approving your loan is the length of your current employment, it points to the stability of your income.

2. DON’T DO ANYTHING TO AFFECT YOUR CREDIT SCORE. No new accounts, no charging up additional debt, no new credit applications, no consolidating debt, no paying off debt, no closing accounts, no late payments. And, of course, don’t charge new furniture or appliances! There are many things that cause red flags in the scoring system. The less activity on your reports during the loan process, the better.

3. DON’T CO-SIGN FOR SOMEONE ELSE’S LOAN. This will increase your debt liability because you’re just as responsible for that monthly payment, and that affects your debt ratio, and ultimately, the amount of mortgage you qualify for.

4. DON’T SPEND YOUR DOWN PAYMENT MONEY. It has to be verified with bank statements or written verifications, and you’ll need that money at closing.

5. DON’T MAKE ANY LARGE DEPOSITS OR LARGE WITHDRAWALS FROM YOUR BANK ACCOUNT. Those are more red flags. Lenders need to “source” your down payment money and verify that it belongs to you. If a large deposit is due to a gift from a relative, the sale of an asset or proceeds from a new loan, your lender needs to know. Don’t transfer money around until after your lender verifies it.

6. DON’T FORGET YOU WILL NEED GUARANTEED FUNDS AT THE CLOSING TABLE. Since the ownership of the property is to be transferred on closing day, most settlement agents require guaranteed funds for the amount the buyer brings to the closing. The most commonly accepted format is the “cashier’s check” or “wire transfer”.

7. DON’T LOOK BACK AFTER LOCKING IN YOUR RATE. The interest rate markets are constantly fluctuating, and by trying to out-smart the market, you may drive yourself nuts! If you’re happy about the rate at the time you lock it in, move on with your day.

8. DON’T LOSE TRACK OF IMPORTANT PAPERS. Things can get hectic when planning a big move. Remember to keep paperwork like tax returns, paystubs, and bank statements handy; your lender will need them.

9. DON’T FILE FOR DIVORCE OR BEGIN ANY LITIGATION. Changing your marital status or becoming a party to a lawsuit can complicate the process, as it can sometimes affect title or the lender’s lien position.

10. DON’T LOSE CONTACT WITH YOUR MORTGAGE LOAN OFFICER OR REAL ESTATE AGENT. If you have any questions about whether or not you should take a specific action during the process, remember to check in with your mortgage loan officer or real estate professional. They can help with those decisions and provide the resources you need to avoid making mistakes that could drop your credit score or possibly cause you to lose your loan.

Special Thanks to Katie Karr, Bank Star, Senior Loan Officer, 22 Years Experience, NMLS# 263796 k.karr@bank-star.com

For More information on The Lake of the Ozarks Real Estate Market, contact the Schrimpf-Gum Team for more information. Call: 1888.366.6266 or 573.365.7333 Email: Info@DemandDonna.com

Real Estate at Lake Of the Ozarks

2012 is off and running. Interest rates are holding at a fantastic rate and interest in Lake of the Ozarks homes is gaining strength every day. Prudential Lake Ozark Realty had a record year in 2011 with over 200 units sold. As you can see from the above numbers, sales were up by only 51 homes around the lake. What has happened is that those companies and agents that work full time, utilize the latest marketing and internet methods and understand the market, are increasing their market share while those that are part-time, throw up a sign and hope it sells agents are not seeing any results. It is the old Pareto principle at work, but instead of 20% of the agents doing 80% of the business, it is closer to 5% of the agents doing 95% of the business.If you compare the Absorption rate, the number of months of inventory supply on hand for a given price range, you will see that the inventories have dropped considerably. What does this mean to you? It means that sooner, not later, prices will rise due to demand.Looking at the List to Sell Ratio, it bounces around higher than 2009 to lower, then higher than 2010 then lower, but always in between 90 and 94%. The latest trend however is up for August through November. December was down primarily due to fewer sales caused by normal seasonality at the lake.

Real Estate at Lake Of the Ozarks

Happy New Year!

As promised, Ameren Missouri has moved aggressively in developing and providing for public input on our plan for changes to the Project Boundary at Lake of the Ozarks. The plan should alleviate some community concerns over the Project Boundary issue facing property owners at the Lake of the Ozarks that have included some opinions that were based on misinformation. Ameren Missouri has committed to providing property owners with the facts about the issue and has released for public comment a draft Project Boundary amendment. The proposal is in response to an order by the Federal Energy Regulatory Commission dated Nov. 10. The new FERC order clarifies the agency’s position regarding structures within the Project Boundary – an elevation-based, Ameren Missouri-owned strip of land surrounding the Lake’s shoreline.

The order provides a framework for Ameren Missouri to do what the company had initially proposed to resolve the issue of encroachments within the Project Boundary – namely, to redraw the boundary, where appropriate, so the vast majority of properties currently identified as encroachments would no longer be considered as such and to work with the remaining property owners on a case-by-case basis to determine a solution. In its plan, Ameren Missouri proposes setting the Project Boundary to 662 feet elevation for most lakefront properties.

The proposal is available online at www.AmerenMissouri.com/Lake. Comments may also be made by calling 573.365.9203 or by mailing them to:
Project Boundary Comments
Ameren Missouri Shoreline Management
Post Office Box 993
Lake Ozark, MO 65049

Public workshops have been scheduled for resource agencies and the public to provide input about the proposal:

* Osage Beach
January 3, 2012 – 6-8 p.m.
Inn at the Grand Glaize
5142 Highway 54
Osage Beach, Missouri 65065

* Sunrise Beach
January 5, 2012 – 6-8 p.m.
Lake West Christian Academy
17178 N. State Highway 5
Sunrise Beach, Missouri 65079

The public is invited to comment on the plan until January 15, 2012. Ameren Missouri is moving aggressively to prepare its plan and submit it to the FERC in the first quarter of 2012, well ahead of the June, 2012, deadline set by the agency. “Our plan to revise the Project Boundary will alleviate many concerns homeowners have, and we have no intention of forcing the removal of residences located in whole or in part on Ameren-owned property,” Jeff Green, Shoreline supervisor for Ameren Missouri, said. “Additionally, the plan does not call for leasing land, structures or facilities back to affected property owners. Any rumors to the contrary are simply not true.” Green added that it is important to understand that there is a Project Boundary issue and a property ownership issue as well. “I encourage property and dwelling owners to seek out information about their specific circumstances and understand the ownership and conveyance history of their lake property.”

Ameren Missouri, formerly Union Electric, has owned the land that comprises the Lake of the Ozarks since it built Bagnell Dam and the Osage Renewable Energy Center in the late 1920s. The U.S. Army Corps of Engineers issued and administered all permits for development within the project boundary for the first 50 years after Bagnell Dam was completed. In 1983, Ameren Missouri began issuing permits for docks in 1983. The company’s license from FERC to operate the Osage plant requires the company to manage the shoreline by balancing the various recreational, environmental and operational aspects of the project. In the most recent relicensing of the project, enhanced mapping and aerial photography enabled a comprehensive identification of structures located along the shoreline. As a result, numerous unauthorized structures were found to be entirely or partially located on Ameren Missouri property.

Sincerely,

W. Jeff Green, AICP
Supervisor – Shoreline Management
Real Estate Department
T 573.365.9214
F 573.365.5773
E wgreen@ameren.com

Ameren Services
PO Box 993 (MC LE883)
Lake Ozark, MO 65049

Real Estate at Lake Of the Ozarks

Increasing Curb Appeal, Looking at Lenders, and Assessing Neighborhoods -

Let The Schrimpf-Gum Team Help You with Buying and Selling Your Home!

Contact Marty, Matt or Brian for more information and details.

1.888.366-6266

Real Estate at Lake Of the Ozarks

Claire McCaskill

December 11, 2011

Dear Mr. Gum,

Thank you for contacting me regarding recent actions taken by the Federal Energy Regulatory Commission (FERC) at Lake of the Ozarks.  I appreciate hearing from you and welcome the opportunity to respond.

I was outraged at the ridiculous possibility that a government agency would order the removal of thousands of structures, homes and businesses along the Lake of the Ozarks, and immediately acted to demand that the threat of such action against owners at the Lake be removed.  Subsequently, I led my colleagues in Congress in a coordinated effort to protect homes and businesses at the Lake.  I am pleased that FERC recently issued, on November 10, a new order clarifying that no structures rightfully built along the lake will have to be removed.

Previously, in July, FERC issued a shoreline management plan for the Osage Hydroelectric Project at the Lake of the Ozarks as a part of AmerenUE’s (Ameren) license to operate the Osage Hydroelectric power plant.  The plan required Ameren to remove any structures, homes, or businesses built within the project boundary along the lakefront, impacting approximately four thousand properties.

On October 20, I introduced the Landowner Protection Act (S.1758), legislation prohibiting FERC from issuing any shoreline management plan that requires the removal of structures along the lake, which is cosponsored by fellow Missouri Senator Roy Blunt.  Additionally, lawmakers in the U.S. House of Representatives introduced it there so that every member of the Missouri delegation in the House of Representatives is a cosponsor of my legislation.

On November 18, Ameren announced that it will submit, in the first quarter of 2012, a new proposal to FERC for management of the Osage Hydroelectric power plant.  This new plan is intended to resolve the issue of encroachments without impacting the rights of property owners living and working around the Lake.  Accordingly, no homes or related structures should have to be removed.

I am hopeful that the situation at Lake of the Ozarks can be resolved without the need for passage of S.1758.  However, my legislation serves as a type of insurance policy to ensure property at the lake is protected; should it be necessary, I will work tirelessly for its passage.  Any management plan that calls for the destruction of homes at Lake of the Ozarks is unacceptable.  I am glad that it appears we have moved well past the consideration of any plan that could result in such an absurd outcome that tramples on the rights of property owners and defies common sense.

I will continue working to resolve this situation permanently, and I look forward to providing you with an update as soon as this situation is resolved.  This issue is of great importance to me and I will continue to fight alongside the residents and communities in the Lake of the Ozarks region to protect their interests.

Again, thank you for contacting me. Please do not hesitate to contact me in the future if I can be of further assistance to you on this or any other issue.

Sincerely,

Claire McCaskill
United States Senator

P.S. If you would like more information about resources that can help Missourians, or what I am doing in the Senate on your behalf, please sign up for my email newsletter at http://mccaskill.senate.gov.

Real Estate at Lake Of the Ozarks

Prudential Lake Ozark Realty would like to let both our buyers and sellers in the Lake of the Ozarks area that we are UP OVER our Closed Transactions from last year by 74 from October 2010 to October 2011! This is NOT our only good news abou the market and our progress here at Prudential… Check back for our November statistics blog coming soon!

Real Estate at Lake Of the Ozarks

The home inspection should be considered a necessary part of any home purchase. It is one more way to recognize and confirm your new purchases well being, or to unveil potential problems that may make you think twice about the purchase. Because the inspector is working for the Buyer, he is paid by the Buyer. If the home closes, this bill is added to the settlement statement and paid at the closing. Here is what to expect from a competent, licensed home inspection.

During the due diligence period (normally 10 days after the contract is signed by both the Buyer and Seller), buyer may have done any and all inspections they wish. A general home inspection by a licensed professional gives the buyer a once over of all the home’s working systems, including plumbing, electrical, heating, air conditioning, roof etc.

Because the Lake of the Ozarks is not your typical city, many homes here have a septic system. This is perfectly normal and acceptable, as they are designed to give years of trouble free service. That said, as with most things, technology has come a long way. Older systems need to be checked for deterioration of old metal tanks and to make sure there is a adequate drain (leach) field. A licensed septic inspector is needed for this and in many cases more important than the general home inspection because if a new system is necessary, the cost can run from 10 to 20 thousand dollars!

If the general home inspection turns up anything odd, or if the buyer has a concern about any specific item, they can order additional inspections by calling a specialist in that area, such as a roofer, HVAC contractor, plumber, etc.

After the inspections are complete, the Buyer has three options:
Accept the home “As Is”
Cancel the contract, get your earnest monies back and start looking for another home.
Give the Seller a written list of repairs you require prior to closing.

The Seller then has three options.
Fix everything the Buyer requests. The Buyer is now legally obligated to close
Fix nothing. The Buyer now has to decide whether to accept the property “As Is” or cancel the contract, take their earnest money and start the search over.
Fix some items. Buyer now has the option of accepting the property with the repairs the seller is willing to make, or cancel the contract

Note there is no step to renegotiate the purchase price! The purchase price and the repairs are separate issues, negotiated separately and are totally unrelated. Sellers may choose to offer a credit to the Buyer in lieu of making some or all of the requested repairs. The seller is not bound to offer a credit and buyer may not ask for a credit in lieu of repairs, regardless of the inspection findings. If a credit is offered, the amount is negotiable.

As with the contract itself, inspections and notices are time sensitive. If the Buyer misses the deadline to submit the Inspection Report – they just bought the house “As Is”! If the Seller doesn’t respond in the allotted reply time, typically 7 days, the Buyer must assume Seller intends to sell the home “As Is”. The Buyer has 3 days from the date of the Seller’s response to decide whether to go ahead with the purchase in the “As Is” condition or cancel the contract.

This is one situation where a mistake or untimely response can be monumentally costly and one reason why it is best to hire someone who’s job it is to do this all day, every day, and carries insurance to protect you and themselves against mistakes. To err is human, to buy real estate without a professional Realtor is just silly.

Real Estate at Lake Of the Ozarks

“I am confident that today’s decision will bring clarity to residents along the shoreline of the Lake of the Ozarks,” FERC Chairman Jon Wellinghoff said. “I expect Ameren to move quickly to comply with the Commission order. This will resolve all outstanding issues associated with its shoreline management plan and bring this matter to a swift and satisfactory resolution.”

FERC’s prior order on this case, issued July 26, 2011, was misinterpreted to mean that the Commission would order all privately owned structures built within the boundaries of the Osage project to be removed. Ameren is responsible for managing the shoreline, which includes ensuring that structures within the project boundary around the Lake of the Ozarks are built with the proper authorizations.

The order states:

• Whatever property rights that owners have in lands within the boundaries of the Osage Project, whether conferred by deed, lease, easement or other conveyance, have not been and will not be altered by FERC’s actions today. Nothing in this order affects any previously issued valid permit authorizing a non-project use of project lands or waters.
• For structures without valid deeds, permits or easements, Ameren must determine whether they interfere with the Osage project. If they do, Ameren must take some action, such as redrawing the boundaries of the project, so those structures no longer are sitting on project lands. This would put them outside of the project boundaries and therefore outside of FERC jurisdiction.
• If any structure does interfere with the operation of the Osage project, Ameren and the structure owner must find a solution that satisfies both sides. Ameren itself has stated that after the project boundary is revised, it expects the majority of structures will no longer be considered nonconforming.

FERC established these requirements in the context of directing Ameren to change its shoreline management plan for the Osage project. Ameren must file with the Commission its plan to modify the project boundary by June 1, 2012.

Fact Sheet/FAQs – http://www.ferc.gov/media/news-releases/2011/2011-4/11-10-11-factsheet.asp

Overview – http://www.ferc.gov/media/news-releases/2011/2011-4/11-10-11-osage-overview.pdf

Decision – http://www.ferc.gov/EventCalendar/Files/20111110090759-P-459-310a1.pdf

Real Estate at Lake Of the Ozarks

“I could end the deficit in 5 minutes,” he told CNBC. “You just pass a
law that says that anytime there is a deficit of more than 3% of GDP,
all sitting members of Congress are ineligible for re-election

The 26th amendment (granting the right to vote for 18 year-olds) took
only 3 months & 8 days to be ratified! Why? Simple! The people
demanded it. That was in 1971…before computers, e-mail, cell phones,
etc..

Of the 27 amendments to the Constitution, seven (7) took 1 year or
less to become the law of the land…all because of public pressure.

Warren Buffet is asking each addressee to forward this email to a
minimum of twenty people on their address list; in turn ask each of
those to do likewise.

In three days, most people in The United States of America will have
the message. This is one idea that really should be passed around.

Congressional Reform Act of 2011
1. No Tenure / No Pension.
A Congressman collects a salary while in office and receives no pay
when they are out of office.

2. Congress (past, present & future) participates in Social Security.
All funds in the Congressional retirement fund move to the Social
Security system immediately. All future funds flow into the Social
Security system, and Congress participates with the American people.
It may not be used for any other purpose.

3. Congress can purchase their own retirement plan, just as all Americans
do.

4. Congress will no longer vote themselves a pay raise. Congressional
pay will rise by the lower of CPI or 3%.

5. Congress loses their current health care system and participates in
the same health care system as the American people.

6. Congress must equally abide by all laws they impose on the American
people.
7. All contracts with past and present Congressmen are void effective
1/1/12. The American people did not make this contract with
Congressmen.
Congressmen made all these contracts for themselves. Serving in
Congress is an honor, not a career. The Founding Fathers envisioned
citizen legislators, so ours should serve their term(s), then go home
and back to work.

If each person contacts a minimum of twenty people then it will only
take three days for most people (in the U.S. ) to receive the message.
Maybe it is time.

Real Estate at Lake Of the Ozarks