Real Estate
How end of foreclosure moratorium may impact LGBTQ homeowners
Help is out there for those still struggling
Almost anyone who has ever purchased a home would agree ā it is a very special and meaningful moment in life. For most of us, and often perhaps especially for those in the LGBTQ community, a home can be a place of refuge ā a place where you can be part of a community and a neighborhood of others to whom you feel connected. It can be a place of support, celebration, and a starting point from which to thrive and grow with others you care about.
Understandably, then, the idea of losing that home that you love so much can be overwhelming, to say the least. Unfortunately, thatās exactly the predicament that many homeowners found themselves in as a result of the recent pandemic and all that has accompanied it.
Until recently, under the Cares Act, homeowners across the country who found themselves in a difficult financial position as a result of the pandemic and were having difficulty making their mortgage payments were offered two types of protection: first, a foreclosure moratorium that prohibited banks from foreclosing on homes, and secondly, the right to request and receive a forbearance, which would permit homeowners to temporarily stop making mortgage payments. Both gave homeowners the option to breathe a little easier as they tried to navigate all of the unanticipated life changes that accompanied the pandemic.
Recently, however, after being extended several times, the federal moratorium on mortgage foreclosures ended. Understandably, many homeowners, including many in the LGBTQ community who relied upon the moratorium may now find themselves feeling overwhelmed and anxious about what this means from a practical perspective. Does it suddenly mean that homeowners will find themselves faced with thousands of dollars of overdue payments that had been on hold for more than a year?
If you find yourself asking this question, know first, that you arenāt alone. Itās estimated that around 1.75 million homeowners, or approximately 3.5% of all homes, are in some stage of the foreclosure process with their bank. While itās understandable to wonder and feel worried, try not to panic. While the end of the foreclosure moratorium does mean that lenders can proceed with foreclosures, LGBTQ homeowners who find themselves in a difficult situation can still reach out for help, and there are resources available.
The Consumer Financial Protection Bureau has advised that those who received forbearance under the Cares Act and who are still experiencing financial hardship as a result of the pandemic may have the opportunity to ask for and receive an extension. The federal government has also offered a series of measures that are intended to help prevent foreclosures, including:
ā¢ Providing qualifying homeowners with what roughly amounts to a 25% reduction in monthly principal and interest payments;
ā¢ Continuing the requirement that mortgage servicers give those borrowers who can resume payments the option of moving missed payments to the end of the mortgage at no additional cost;
ā¢ Offering assistance to those who are making less than they did before the pandemic, which will help them to seek work and catch up on missed tax and insurance payments.
It’s also important to keep in mind that ultimately, banks don’t currently have much incentive to foreclose on those homeowners who are behind on their mortgages. Housing prices have been steadily rising, meaning that few homeowners owe more on their mortgage than the overall value of their homes. As a result, banks are often more likely to restructure a loan, or possibly place missed payments on the back end of a mortgage. In some circumstances, a bank may attempt a forced sale instead of a foreclosure ā allowing the bank to get some of its money back, and the homeowner to receive the equity they built in the home, and to move forward without a negative mark on their credit report.
In addition to helpful options offered by the government, LGBTQ homeowners facing foreclosure should reach out to their local communities and explore options that may be available there as well. Talk to realtors who know the community well and who may be aware of local assistance, counseling, or other resources. Reach out to family and friends who have been through this situation before. Donāt be afraid to ask for help. Sometimes, we all need it.
Lastly, itās important to remember that any legal proceeding takes time ā typically, a foreclosure proceeding takes at least 120 days per federal law, as well as additional time for court proceedings. For that reason, instead of panicking, remember that you have time to plan. Reach out to family and friends for leads on places that you may be able to rent or stay at while you work to get back on your feet financially. Take advantage of any offers that your bank or lender may make to work through your current financial issues and come out in a better place on the other side, if possible. Most of all, remember that this time, like all difficult times in life, is temporary. You will find a way forward, and there is a better and brighter chapter ahead. At GayRealEstate.com, weāre here to help you get there.
At GayRealEstate.com, helping the LGBTQ community through every aspect of the real estate experience is our passion. In many cases, this means offering assistance with the home buying and selling process and connecting LGBTQ home buyers and sellers across the country with realtors who know and love their communities, and who can ensure that the buying and selling process is the best it can possibly be. In other cases, it means being there for our LGBTQ communities across the country and helping existing homeowners continue to love and live in the homes that they own. Whatever your real estate needs, we would welcome the opportunity to speak with you and learn how we might be able to help. Contact us at any time.
Jeff HammerbergĀ is founding CEO of Hammerberg & Associates, Inc.Ā Reach him at 303-378-5526 orĀ [email protected].Ā
Real Estate
Down payment strategies: Financing your home purchaseĀ
Understanding the options key to unlocking the door to a dream home
Navigating the path to homeownership can be a complex journey, especially when it comes to accumulating the necessary down payment. For members of our LGBTQ community, understanding the available options for saving and financing this crucial aspect of home buying is key to unlocking the door to their dream home. Let’s explore effective methods and resources specifically designed to support LGBTQ individuals on their path to homeownership.
Traditional Savings Strategies
Saving for a down payment often begins with traditional methods such as setting aside a portion of your income into a dedicated savings account. High-yield savings accounts and automated savings plans, some offering up to 5% interest in today’s market, can expedite the process, providing a disciplined approach to accumulate funds over time. Additionally, exploring investment opportunities that match your risk tolerance can offer potential growth for your down payment savings.
Down Payment Assistance Programs
A variety of down payment assistance programs exist to help homebuyers with their initial costs. These programs often offer grants or low-interest loans to first-time homebuyers or those who haven’t owned a home in the past three years.
It’s essential to speak with a GayRealEstate.com agent to determine what programs may be available, plus online research into local and state assistance programs, as many are designed to support individuals in specific communities, including the LGBTQ+ community.
For medical professionals, police, teachers, firefighters, and other community heroes, there are several special loan and assistance programs designed to help with home purchases, often offering benefits like down payment assistance, reduced closing costs, and more favorable loan terms.
The Hero Home Loan Program provides first responders, including police officers, firefighters, and paramedics, with benefits such as lower interest rates and reduced closing costs. This program aims to make homeownership more accessible by offering more flexible credit score requirements and down payment assistance .
For educators, firefighters, law enforcement officers, and medical professionals, the Everyday Hero Housing Assistance Fund (EHHAF) offers closing cost assistance through gift funds. This program is designed to support those who serve their communities by making homeownership more affordable, with no repayment required for the grant fundsāā.
The HUD Good Neighbor Next Door Program offers up to 50% off the list price of homes for law enforcement officers, pre-Kindergarten through 12th-grade teachers, firefighters, and emergency medical technicians. This initiative aims to encourage community revitalization by assisting these professionals in homeownership within the communities they serveāā.
Homes for Heroes provides assistance specifically to first responders and offers significant savings through Hero Rewards when buying, selling, or refinancing a home. On average, participants save $3,000, with the program offering real estate and mortgage specialist connections tailored to the needs of first respondersāā.
LGBTQ-Friendly Lending Options
Finding a lender that understands and supports the unique needs of our LGBTQ community can make a significant difference. Some lenders and organizations specialize in offering inclusive financial products and resources to assist LGBTQ+ homebuyers. These may include specialized mortgage products, financial planning services, and guidance through the home buying process.
The journey to homeownership is a milestone that requires careful planning and support. Remember, every step taken towards saving and financing your home purchase brings you closer to the dream of homeownership.
(GayRealEstate.com offers valuable resources and advice tailored to meet the unique needs of our LGBTQ+ community in their journey towards homeownership. For more comprehensive guidance and support in navigating the home buying process, visit GayRealEstate.com choose an agent and start a no-obligation conversation today.)
Jeff Hammerberg is founding CEO of Hammerberg & Associates, Inc. Reach him at [email protected].
Real Estate
Turn your bare walls into captivating focal points
Paint, wallpaper, statement installations and more
Are you tired of gray walls and white kitchen cabinets with white granite or marble countertops? Have you gone back to the āBuilder Beigeā that was popular in the ā90s?
Your walls are the blank canvases of your home, waiting to be transformed into stunning expressions of your personality and style. Whether you prefer vibrant artwork, paint, eye-catching wallpaper, or statement walls, there are countless ways to adorn and decorate your walls to elevate your space. Here’s a guide to help you turn those bare walls into captivating focal points.
Wallpaper: Wallpaper has again become a versatile option for adding texture, pattern, and color to your walls. Whether you prefer subtle designs or bold prints, there’s a wallpaper to suit every taste.
It now even comes in peel and stick rolls, so you donāt have a mess of water and paste. For some new designs, check out www.spoonflower.com.
Before selecting wallpaper, consider the scale of your room and the atmosphere you want to create. For small spaces, opt for light, airy patterns to make the room feel more spacious. Conversely, in larger rooms, you can go bold with intricate designs or vibrant colors to make a statement. Don’t be afraid to mix and match wallpaper with paint, or even wallpaper the ceilings for a unique and dynamic look.
Statement Walls: Statement walls are a bold way to add personality and drama to any room. From accent paint colors to textured finishes, the possibilities are endless. Consider using a contrasting color or texture to highlight a specific wall and create visual interest. For a contemporary touch, try incorporating geometric patterns or asymmetrical designs with strips of wood. Hand-painted murals are another option for creating striking statement walls. Choose a mural that reflects your interests or transports you to another world for a truly immersive experience.
Paneling/Brick: The shiplap phase may be dying out, but there are still many ways to use wood and paneling in your wall dĆ©cor. Reclaimed wood is a popular option, as are wood slats such as the ones found at www.woodpanelwalls.com. Use them on walls or ceilings, or as a background for wall-mounted televisions and sconces. Amazon also has lots of options for wood veneer available and exposed brick is popular in many contemporary homes. If you donāt have a brick wall to uncover, select from options such as lightweight faux brick or stone.
Artwork: Art has the power to breathe life into any room. When choosing artwork, consider pieces that resonate with you personally and complement your existing dƩcor. Experiment with a mix of styles, sizes, and mediums to create visual interest. Hang artwork at eye level to ensure it is easily visible and balanced within the space. Enhance gallery walls by arranging multiple pieces in a cohesive layout. Remember that art is subjective, so whether you choose an inexpensive poster or a gallery quality painting, select pieces that speak to you.
Photo Displays: Showcase your favorite memories and moments with a curated photo display. Whether it’s a collection of family photos, travel snapshots, or artistic prints, arranging photos on your walls adds a personal touch to your space. Try out different frames, sizes, and layouts to create a gallery-style display that reflects your unique style. It makes a nice presentation on that odd wall going up your stairs.
Mirrors: Mirrors are not only functional but also serve as decorative accents that can enhance the visual appeal of any room. Strategically placing mirrors on your walls can create the illusion of space, brighten dark corners, and reflect natural light. Choose mirrors with interesting frames or shapes to add an extra layer of style to your dƩcor. Try different sizes and arrangements to find the perfect balance between form and function.
Textile Hangings: Textile hangings are a bohemian-inspired alternative to traditional wall art. From tapestries to woven rugs, textile hangings add warmth, texture, and color to your walls. Hang a large tapestry behind your bed as a dramatic headboard alternative or layer smaller textiles with framed artwork for a cozy, eclectic look. Consider mixing and matching different textures and patterns to create visual depth and dimension.
Adorning and decorating your walls is a creative and personal process that allows you to infuse your space with personality and style. The key is to trust your instincts and have fun with the process. Use different techniques, colors, and textures until you find the perfect combination that speaks to you and transforms your walls into works of art. With a little imagination and creativity, you can turn any blank wall into a stunning focal point that reflects your unique taste and aesthetic.
Valerie M. Blake is a licensed Associate Broker in D.C., Maryland, and Virginia with RLAH Real Estate/@properties. Call or text her at 202-246-8602, email her via DCHomeQuest.com, or follow her on Facebook at TheRealst8ofAffairs.
Real Estate
No, you really donāt have to put down 20 percent
There are many options when financing your new home
I was just out at brunch this weekend (I know a gay in D.C. at brunch ā groundbreaking). Anyway, I was at brunch and naturally the subject of real estate came up and your boyās ears perked up and as the resident real estate expert at the table, some of the newcomers were making conversation about some open houses they had been to in the past few weekends, some trends they had seen that they hated that developers seem to continually do in the D.C. area, how unaffordable things are and some comments about where the best areas to invest are in D.C. I just sat and listened while eating my food, which was rather under seasoned, but I digress. The one comment that came up several times that really got me was the affordability comment and what it was based around. It might very well shock you.
When we speak about affordability in the District we are typically speaking to the price of real estate and how expensive it is to purchase a place here in D.C. However, for this conversation ā the affordability factor in particular that I was hearing about that piqued my interest was the specific line item of āwe have to put down X as a down payment to purchase a home.ā The consensus at this brunch table and even when speaking to some buyers on a daily basis is that you must put down 20% to purchase a home. While there are some perks to this, yes. The fact that you MUST put that amount down is just not true. When my parents purchased their first home for $60,000 it was much easier to put down 20% versus a first-time buyer in D.C. putting down 20% for a $600,000 purchase. Furthermore, most buyers are staying in their homes for as little as six years, according to the National Association of Realtors. If you do the math ā does it make sense, for your personal situation, to put down 20% versus 5% or 10%? Yes, that’s right – you can purchase a home for as little as 5% down and in some cases as little as 3% down.
When my husband, who was a first-time homebuyer in D.C., purchased his condo, he was able to put down 3% and qualify for a conventional loan. We will stay in this condo for under the average 7-10 years so putting anything more than 3% down for our personal situation just didnāt make sense. Now, because we didnāt put 20% down we pay what is known as PMI, or private mortgage insurance, however it was still worthwhile for him to save the capital and only put the 3% down and pay the small PMI amount monthly as he could put the rest of the 17% he didn’t put into a house in an investment account to yield more. Again, he was a first-time buyer in the District so he qualified for a 3% down loan and the numbers made sense for him. Everyoneās personal situation is different.
According to a 2023 report from the National Association of Realtors the average down payment for a home was 15% while the average down payment when looking at first time buyers was right around 5%. Again, each situation is specific to each person, their credit, finances, debt to income ratio etc., so there is really no recipe that fits every single buyer. It is important to work with a local lender to ensure that you are well qualified and understand which loan packages are out there for you that make the most sense for you so that when you do find that home you are ready to go.
I say all of this to say that gone are the days when you are required to put down 20% in most cases. Depending on the loan type and loan amount – you likely can get away with putting down 5-15% down and save some funds for upgrading from that tragic Ikea dresser from college or hiring a painter because let’s be real, you are not a professional. Like with most things in life you can pick and choose the things that are right for you and a mortgage and its down payment are exactly that same. If you would like to and can put down 20% for a mortgage then please do so ā however if you want to get out from under the power and money hungry landlord and buy a condo where you are paying yourself back with equity – you can do so in a manner that is much more affordable than you may have thought possible – especially if you are a first-time buyer in D.C.
Justin Noble is a Realtor with Sothebyās international Realty licensed in D.C., Maryland, and Delaware for your DMV and Delaware Beach needs. Specializing in first-time homebuyers, development and new construction as well as estate sales, Justin is a well-versed agent, highly regarded, and provides white glove service at every price point. Reach him at 202-503-4243,Ā [email protected] or BurnsandNoble.com.