Last month, we began the conversation about Credit by discussing the Mystery of the Credit Score. As I mentioned, the numerical score is only half of the story! This month, we’ll talk about, as Paul Harvey would say “…the rest of the story!”
In addition to the score, a borrower’s Credit History can also be a determining factor in qualifying for a particular home loan program, or if they qualify at all. When a credit report is generated, the borrower’s history of credit usage is reflected on that report. Keep in mind that this history may continue to report for up to 10 years or more. This history includes:
Credit Accounts (open or closed)
Date(s) accounts were established
Last Activity Date
Credit Limit/Balance/Minimum Payment
History of Late Payments
Public/Private Liens or Judgements
Any Accounts in Collection (past or present)
The numerical score is the first indicator of qualification for a mortgage loan, however; certain derogatory events may disqualify a borrower whose score otherwise meets the minimum requirements for a particular program. The severity and timing of these events will determine how they impact qualification. Here are a few examples that may preclude qualification for someone who may otherwise meet the minimum numerical score guidelines.
Housing Payment History: Some loan programs (e.g. Conventional) will not allow any housing-related late payments (mortgage or rent 30 days late or more) within the last 12 months.
Revolving Charge: Accounts with late payments more than 60 days late, or in some cases, a single account with a 30-day past due can be disqualifying.
Other Examples Include:
Nonpayment of Child Support
IRS Tax Liens
Foreclosure, Pre-Foreclosure, Short Sale, or Deed-in-Lieu Actions
Open or Closed Collection Accounts
Delinquent Student Loan Accounts
While the above list is not all-encompassing, there are many cases where a client may have a qualifying score for a particular loan program, but one or more of these derogatory events will preclude mortgage approval. Not to worry, though…it’s not a life sentence!
In most, if not all cases, there are either “waiting periods” or rehabilitation plans whereby a potential borrower can remedy the disqualifying event and eventually put them into a position to qualify and purchase in the future. In some instances…Bankruptcy, for example: simply shifting loan programs from Conventional to FHA may reduce the waiting period and possibly allow for qualification. With IRS Tax Liens, establishing a payment plan and making the first payment may satisfy that requirement.
In many instances, clients aren’t even aware of derogatory information on their credit report until they apply for a mortgage. It’s this reason that I encourage everyone, once a year, to get a free copy of your credit report from www.annualcreditreport.com. This site is jointly owned by all 3 of the major credit bureaus, and is the only source of information authorized by Federal Law. While this report will not produce your numerical score for mortgage qualification, it will provide all historical information reported to the credit bureaus and enable you to ensure you’re not a victim of fraud, identity theft, or errant reporting by a creditor. It will also reflect any public information (liens, judgements, etc.) reported by other agencies or municipalities to the bureaus.
To wrap up this topic – think of your credit history as one of your most important assets! The information contained therein can be of tremendous value, or detriment…not only for mortgage qualification, but in some cases, even for future employment. Know where you stand, and protect yourself by knowing your credit history!
Tim Britt is a Senior Mortgage Loan Officer (NMLS 1369718) with Fifth Third Bank in Brentwood, TN. He can be reached at 615-415-8887 or [email protected].
Calling all beer lovers! Get ready to celebrate National Beer Lovers Day on September 7th at one of our many local breweries or taprooms in and around Nashville. Better yet, spend the next few weeks making your way through our list to find your favorite establishment, and it’ll help you decide where to celebrate National Drink Beer Day on September 28th.
What?! You read that right. As you’re making your way through our list, look for Randy’s IPA by Jubilee Craft Beer Company, who donates a whopping 50% of its proceeds to the Oasis Center to help Nashville’s at-risk youth. You might find it at several of the taprooms listed above, as well as other restaurants and grocery stores around Nashville.
Now, calling all the very serious, highly experienced beer connoisseurs! If you have already visited every single establishment on our list, let us know, and we’ll send you a year’s supply of … just kidding. We will send you a Living Local Nashville sticker!
According to anywhere you look on social media, Autumn began when Starbucks released their Pumpkin Spice Latte, but it’s still 90 degrees outside and pumpkin patches don’t open until later this month… on or around the real first day of Fall.
Some of our best family memories have taken place on Fall farms around Middle Tennessee…
When we lived in Nolensville, there were two pumpkin patches that were starkly different but equally loved by our friends and family. Hicklen Farm, owned by a precious farmer and his wife, was a quaint little farm with a lean-to barn filled with a gorgeous selection of pumpkins and gourds. Wagons to carry your pumpkins were scattered about, and there were a couple unassuming picnic tables with coloring sheets for the children to leave behind a keepsake for the Hicklens’ scrapbook or take with them. There wasn’t much to do, but hours would quickly pass listening to Mr. Hicklen’s stories which would take you back to a different time, a slower time. It was always a day well spent.
Hicklen Farm has been closed for a couple years now, but nearby families still have a great place to make Fall memories and there is a lot more to do at Walden Farm and other farms around Middle Tennessee. Whether you’re looking for a simple pumpkin stand or a hundred-acre wonderland chock full of Southern attractions for the whole family, look no further! We’ve got the list you’ve been waiting for. And don’t forget to share your Fall pictures on Facebook and Instagram and tag us at @livinglocalnashville or use the hashtag #livinglocalnashville. We love seeing your pictures!
Something magical happens throughout 12South in the Fall and holiday season! If you live in the area, you won’t be able to miss the beautiful pumpkins and mums that Nashville Pumpkin Company is bringing to the same corner where Santa’s Christmas Trees sets up each Winter. They’re planning to be up and running by September 15th!
Unfortunately, Bateys Farm will not have any pumpkins or Fall activities this year. They also didn’t have any sunflowers planted this year, but said to keep an eye out for them next year… so we hope the pumpkins will also return in 2019!
Bottom View Farm’s Fall Fest will be running September 23 through October 31, 2018. Each paid admission gets a small pumpkin and there are plenty of attractions to keep little visitors entertained andeducated! Ride the train to Grandma’s cabin for a first-hand look at real life on the farm. See how blackberries, strawberries, and peaches grow. See how meat has been preserved for hundreds of years. There will also be hayrides, slides, a jumping pillow, pedal tractors, a gold mine, live animals, refreshments, an ice cream parlor, and the world’s longest rolled-hay maze!
Admission is $7 per person Monday through Friday or $10 per person Saturday and Sunday. Children age 2 and under are free! Each paid admission gets a small pumpkin. They’ll be open daily 8am to 4pm, but they recommend visiting on weekends to find all the activities up and running. If you plan on going on a weekday, just call first to see what’s open that day!
Breeden’s Orchard was a Mt. Juliet landmark for over 40 years until they closed in 2016. Locals loved visiting over the years to pick their own fruit from the orchard. Co-owners of Zanies Comedy Night Club in Nashville purchased the orchard and re-opened this year, restoring what so many loved about it with plans to add much more. One of the first additions was a pumpkin patch… they have plans for pumpkin picking and screenings of “Hocus Pocus” around Halloween! Follow their Facebook page for the specific dates and future announcements.
Back in 2001, Cedarwood Pumpkin Patch began when the owner’s son wanted to plant some pumpkins. Now, visitors pick their own pumpkins in the pumpkin patch and make their own Fall memories on the pumpkin train, super slides, hay maze, corn maze, corn crib, petting zoos, tire city complete with tire swings, weekend bonfires and much more. Their Country Store is a one-stop shop for all of your Fall decor such as scarecrows, straw bales, corn stalks, and mums, and their Country Kitchen will keep everyone’s belly full.
Cedarwood will be open Fridays, Saturdays, and Sundays from September 21st to October 31st, 2018. Discounted admission is available for children 3-10 years old, and children 2 and under are free with an adult admission.
Explore Cheekwood’s 55-acre botanical garden and historic estate this Fall and take in more than 5,000 chrysanthemums, one-of-a-kind scarecrows created by members of the Nashville community, and the renowned pumpkin house, filled with over 400 gourds… then pick your favorite pumpkin from the pumpkin patch and take it home for carving, painting and decorating. Cheekwood Harvest will be open from September 22nd to October 21st, 2018 and offers a great line-up of weekend activities including a Halloween Pooch Parade!
Each year the Cooper Trooper Foundation hosts its primary fundraiser, the “Pumpkin Patch” at the corner of Cool Springs Blvd. and Mallory Lane in Franklin. They open the first Saturday in October (October 6th, 2018) and remain open each day through Halloween. The Pumpkin Patch is operated by hundreds of volunteers throughout the month. 100% of the proceeds (after the pumpkins are paid for) go straight to the Cooper Trooper Foundation to support their mission of funding pediatric cancer research through a fund set up with Monroe Carell Jr. Children’s Hospital at Vanderbilt. Additionally, Cooper Trooper supports siblings of children diagnosed with cancer by sending a special backpack full of items just to brighten their day and help remind them that they are not forgotten. It is because of volunteers, generous sponsors, and the thousands of customers who purchase their “pumpkin for a purpose” that they are able to continue doing what they do to help these families whose worlds have been turned upside down by childhood cancer.
Shuckles Corn Maze and Pumpkin Patch at Fiddle Dee Farms was our family’s favorite last year! Kids won’t be able to keep their eyes open on the ride home after playing their little hearts out in Fiddlesticks Hollow. Kids of all ages will love the wooden playground, 40′ tall super slide, brain twisters, corn cannon, rope maze, and even paintball! When you’re ready to explore how strong your sense of direction is, walk through the forest to find your way to the 8-acre corn maze. The fun doesn’t stop there… there are hayrides, live animals, bonfires, homemade ice cream, and much more!
Shuckles Corn Maze and Pumpkin Patch will be open from September 22nd to November 3rd, 2018. Visit their website for various military, senior, and group discounts and specific days and times.
For over two decades, Gentry’s Farm has been opening their family farm to the public on the weekends in the Fall (September 29th through October 29th, 2018) to celebrate all that the harvest season has to offer. There is no charge and free parking to enter the retail area and pumpkin patch, where they have pick-your-own pumpkins as well as pre-picked pumpkins. General admission covers everything once you enter the activity area which boasts a wide range of farm fun activities!
Green Door Gourmet sadly will not be hosting their annual Fall Fest this year, but they are planning a smaller Fall event. Details are still being finalized, so follow their Facebook page and stay tuned for more info!
Pick your own pumpkins at Keller’s Corny Country and then take a ride on the kid-friendly zip lines, hayride and barrel train! Keller’s Corny Country will be open on Tuesdays and Thursdays through Sundays in October.
Lucky Ladd Farms is a year-round attraction with Tennessee’s largest petting zoo and 60 acres of excitement including farm themed playgrounds, mega slides, wagon rides, pedal karts, tire climbs, toddler town, tractor train, games, mazes and more. Seasonal favorites include miles of winding paths in a huge corn maze that pays tribute to the Nashville Predators, which opens on September 19th, and over 10 varieties of pumpkins in the pick-your-own pumpkin patch, which opens on September 22nd. Don’t miss the pumpkin carving contests and giant pumpkin slingshots!
Tennessee Valley’s biggest pumpkin patch will be open from September 21st to November 3rd. Lyons Family Farms will be serving up tractor-pulled wagon rides, live music, pumpkin patch, corn maze, farm animal petting zoo, great food, seasonal fun and much more! All military, police, and first responders will get in free on September 22nd and 23rd. Visit their website for a full list of special dates including bonfires and fireworks after dark on the last two Saturdays of October!
From pumpkin painting and farm animals to the bouncy house, dance floor and more, you’ll find fun activities at Mrs. B’s that’ll put you right in the spirit of the fall season starting September 29th! Mrs. B’s has a wide variety of pumpkins, gourds, straw, mums, and corn for sale on site right next door at their Halloween store, All About Holidays, where you can also find a wide selection of costumes and costume accessories.
Some of the most beautiful Cinderella pumpkins that have ever adorned our front porch were picked up at the Nashville Farmers Market! While it may not be the most entertaining “pumpkin patch” for kids, their selection deserved a spot on this list.
Pumpkin Hill is one of the smaller pumpkin patches in Middle Tennessee but is a favorite nonetheless of regular visitors who return year after year. After 25 years of sharing their family farm with local residents, the owners decided not to open in 2017. Imagine the happy surprise when they announced they will be re-opening for the 2018 season! Pumpkins, hayrides and a corn maze will be open on weekends between October 13th to the 28th.
Pumpkin Paradise offers a fun-filled farm experience. Whether you are looking for a close place to have a field trip, an exciting birthday party, or just need a place for the kids to run off some energy, this is the place for you! They offer swings, slides, corn box, pedal track, climbing tires, inside hay maze, sit n’ play, flying pigs, gravel pit, and much more. Be sure to stop by the farmer’s garden and see what they’re growing. Make sure to take a ride on the hayride, spot some cows and learn a few things about them. Don’t forget to read the signs posted around the field and see what you can learn about being a farmer.
Walden Farm will be open from September 22nd to October 31st this year. Admission to is free and several things are included such as grain bins, an animal barn, hay maze, and Toddler’s Town. There are small fees for the hayrides, pick-your-own pumpkin patch and activity area.
Here are this weekend’s Open Houses for residential real estate in Nashville and surrounding areas! If you would like to customize this search to meet your needs, click on “See All Results” at the bottom of this page and modify the search fields on the next page.
Please let us know if you would like information about these, or any other properties. Please let the hosting agents know that we sent you!
Open House 07/21 at 2PM
1 / 28
Single Family Home For Sale
3442 Golf Club Ln Nashville, TN 37215 Noel Watkins Grove Subdivision
Rising home prices have been in the news a lot lately and much of the focus has been on whether home prices are accelerating too quickly, as well as how sustainable the growth in prices really is. One of the often-overlooked benefits of rising prices, however, is the impact that they have on a homeowner’s equity position.
Home equity is defined as the difference between the home’s fair market value and the outstanding balance of all liens (loans) on the property. While homeowners pay down their mortgages, the amount of equity they have in their homes climbs each time the value of their homes go up!
According to the latest Equity Report from ATTOM Data Solutions, “13.9 million U.S. properties in Q2 2018 were equity rich — where the combined estimated balance of loans secured by the property was 50 percent or less of the property’s estimated market value — representing 24.9% of all U.S. properties with a mortgage.”
This means that nearly a quarter of Americans who have a mortgage would be able to sell their homes and have a significant down payment toward their next home. Many who sell could also use their new-found equity to pay off high-interest credit cards or help children with tuition costs.
The map below shows the percentage of properties with a mortgage in each state that were equity rich in Q2 2018.
If you are a homeowner looking to take advantage of your home equity by moving up to your dream home, let’s get together to discuss your options!
We can’t thank Tim Britt enough for his regular guest posts on our blog and for regularly educating our clients about their mortgage questions! We don’t exchange any compensation with Tim when our clients obtain a mortgage from him, but we do share his passion for educating and serving our clients through every step of the real estate transaction! If you enjoy this post or want to learn more about Nashville housing and mortgage news, subscribe to our monthly newsletter here for future updates or just reach out to one of us directly! All of our contact info is at the bottom of this post and in the website footer below. We’re always excited to hear from our blog and newsletter readers!
In March, I wrote that a mortgage is kind of like a 3-legged stool; there are three components that must be analyzed for their capacity to help an applicant qualify for (or support) a particular mortgage loan program. Think of the abbreviation “CIA.” (hint – not the spy agency!)
This month (and next), we’re going to focus on the Credit “leg” of the stool!
A key element of the pre-qualification and loan approval process is a thorough review of a prospective buyer’s credit history. There are 2 separate, but equally important elements to the credit history: the numerical score, and the historical usage of credit. While time and space don’t permit an in-depth discussion, I want to talk mainly about the Credit Score this month.
A credit score is a statistical means of determining how likely a borrower is to default on a mortgage, based on their credit history compared to the model.
Most residential mortgage lenders use a scoring model created by the FICO Company, specifically designed for our industry. This scoring system yields a number ranging from 300 to 850. FICO has 9 different scoring modelsthat are used by various financial sectors. This, along with the fact that there are many other scoring models available for both commercial and consumer use (Beacon, Empirica, Vantage, Credit Karma, Credit Sesame, etc.), explains the confusion many folks have when they believe their credit score to be at one level, but their mortgage score is quite different!. While I can’t speak to how the other models arrive at their numerical score, I can offer some insight on how a mortgage credit score is derived.
Revolving charge history and usage is the single-most prevalent component in a mortgage credit score…comprising over 65% of the weight in the scoring model. Historically, consumers who use revolving credit responsibly have a lower mortgage default rate. The logic goes like this: revolving charge account balances and monthly payments can vary from month-to-month (vs. an installment loan with a fixed payment).
When a consumer shows the ability over time to manage a variable payment situation responsibly, history shows them to be a lower default risk. The 2 major factors considered on revolving charge history are the utilization (current balance vs limit) and payment history. If a consumer has a few open charge accounts, where the balances are 30% or less of the limit, and no late payments within the last 36 months, their scores (all other factors notwithstanding) have the opportunity to be closer to the top of the range.
Other factors considered in computing the numerical score are:
Types of credit accounts
# of inquiries in the last 120 days
# of accounts with balances
Derogatory events (bankruptcy, judgements, etc.)
Length of time accounts have been open
When a lender “pulls” your credit report, it’s considered to be a “hard” inquiry and will reduce your overall score by roughly 3 points in most cases. Keep in mind, however, that when you’re shopping for a home mortgage (or an auto loan), you have a 30-45 day “grace period” from that initial inquiry where you can have other lenders pull your credit with no additional impact to your score. This gives you the opportunity to shop for the lender who will provide the best service for your individual desires and needs, without worrying about the effect on your credit score.
The score is only half the story! Next month, we’ll talk about other items on a credit report that may impact a homebuyer’s ability to qualify for the best home loan program, as well as some suggestion for improving your score if it’s not exactly where you’d like it to be!