Home

Looking for a new home, many buyers today begin their search with a serious decision: whether to buy a distressed and used home, or whether to opt for a home that is brand-new. While the common wisdom among many may be that buying a used home is “cheaper,” the reality is that new homes are often not only competitive in price with used homes, they also offer sounder value and better quality for the money! How, you may ask, can a homebuilder compete with the clearance prices seen on many used and distressed homes? The answer is simple: ingenuity, flexibility and a commitment to the dream of homeownership.

LGI Homes is The Leader in Affordable New Homes.
CLICK ON IMAGE TO LEARN MORE

To begin with, LGI Homes has made a career out of building beautiful and affordable new homes in amenity-rich communities throughout Texas and Arizona. Through our unique and efficient development process we purchase, plan, prepare and develop our own land, cutting out a number of middle men and substantially reducing the costs of building our communities—savings which we then pass on to our customers. This means that our homes can be competitively-priced from the outset, and our commitment to quality materials and sound construction practices never have to be compromised just to keep our prices low.

We also increase the affordability of our homes through our No Money Down financing plans, which allow our buyers to move into their own brand-new home for absolutely no money out of pocket. Unlike with existing or distressed homes, our buyers don’t have to sacrifice the security of their savings in order to wrangle up a hefty twenty-percent downpayment. Instead, they can increase their financial stability through their reduced costs of living, with a mortgage payment often lower than their previous monthly rent. No money down and lower monthly payments make the purchase of an LGI Homes home not just ultra-easy but ultra-affordable too.

And this affordability is something that LGI Homes is committed to extending to every buyer, even those with prior credit troubles. These buyers may think that these financial issues preclude them from ever owning their own home, but LGI Homes knows differently. Our Credit Counseling program links appropriate buyers with an LGI Homes New Home Consultant, providing a free credit report and counseling them on a range of generous financing options that pave the way toward homeownership. Try getting that kind of customer service and counseling support when buying a used or distressed home!

As you can see, there are a number of ways in which LGI Homes has perfected the process of increasing home affordability while encouraging the dream of homeownership. These efforts can’t be approximated by the number of faceless financial institutions selling distressed properties and investors flipping trouble-ridden foreclosures back into the market. Are the prices on used homes low? No one can dispute that fact. But when it comes to customer service, true quality, and the desire to make dreams come true, LGI Homes’ case seems to settle the matter squarely on the side of brand-new homes.

See also:
Learn about private mortgage insurance
Best ways to find new home communities
Summer maintenance tips

Often the hardest part of buying a home is finding the right home, in the right place, at the right price. With so many ways to search out information about which homes are on the market and what new homes communities are opening and selling near you, many homebuyers can easily become overwhelmed by information overload. Instead of getting confused, why not choose a method of finding a new home that suits your time, personality and needs?

Finding the right home, in the right place, at the right price may be easier than you think.

1. Real Estate Agents. For those who prefer to work with people, real estate agents are a perfect choice. These agents know their territory, and are well-versed in the different neighborhoods, areas and new home communities that they serve. Working with a real estate agent can allow you to specify the details of the sort of home and neighborhood you are looking for, then sit back as the agent creates a list of homes to visit that meet your criteria. No stress, and no confusion!

2. MLS Services. Akin to working with a real estate agent, those comfortable with the internet will likely gravitate toward online MLS listing services such as Trulia or Redfin, which allow homebuyers to search out new home communities in their target area. You can filter home listings by price, square footage and even lot size, then winnow your results to show only “new homes” or “new construction.” Check the “search options” panels on these sites for the various ways in which you can refine your home search, and keep the results tailored to your needs and tastes. These sites are optimal for homebuyers who want to be sure that they have explored all of their available options before committing to a purchase.

3. Online New Home Directories. There are also a number of websites devoted entirely to new home communities and new home construction, such as NewHomesSection.com and NewHomeSource.com. These directories offer searchable directories of homes at the local and national levels, and include biographies of homebuilders building in your area—perfect for the homebuyer who likes to be fully informed.

4. The Newspaper. For those who like to get their news and information the “old fashioned” way, most newspapers carry a weekly home section or homes insert. These homes sections are great sources of information about new and planned communities, community amenities, and how many homes are left in certain new developments. Turn to these sections for additional information about pricing and the addresses of sales offices and model homes.

5. Drive Around. Finally, there’s the most traditional way of finding out about new homes communities in your area: take a leisurely drive! While more time consuming than many of the other methods, there’s nothing like seeing a new home community (and its surrounding areas) first-hand. Finding the communities is easy; many new homes builders erect signage throughout adjacent areas and along major traffic arteries that provide directions and location information for their communities. You may never have known that a new community was opening up just down the road, but once there, you’ll have an excellent opportunity to discover a brand new home that’s perfect for you.

See also:
Three questions buyers should ask before buying new
New home financing in a tough market
New home buying programs

Almost everyone has heard the term escrow being used in regard to real estate, particularly in phrases like “escrow account” and “in escrow.” But is escrow a person? A process? A legal state? Today, we’ll clear up what escrow actually is, and explore the role it plays in the purchase of a new home.

Escrow is a financial transaction between a buyer, seller, and neutral third party.

What is escrow, exactly?
Escrow is actually a broad term related to financial transactions between multiple parties, typically involving a buyer, a seller, and a neutral third party not directly involved in the sale. In an escrow arrangement, the escrow party will hold money, documents or deeds related to the sale for the term in which the obligations outlined in the contract between buyer and seller are completed. Once the deal or sale is finalized (in the case of a home, at the closing) the funds in escrow are disbursed to their rightful owners.

Why is escrow used?
Escrow is a convenient way to allow both buyer and seller to remain confident in the business transaction at hand, without either having to collect or forfeit money before the successful conclusion of business. For instance, some buyers are required to put up “earnest money” or a “good faith deposit” when bidding on a property, in order to show that they are “earnest” about wanting to buy. However, some buyers may think twice about forfeiting such money to a stranger, particularly if any unexpected complications should arise (such as a dire problems revealed by an inspection of a used home) that threaten the sale of the home. Placing this earnest money with a third party allows the seller to see that the buyer is capable of funding the purchase and is in earnest about their bid, while also allaying any fears the buyer may have about losing money to an unscrupulous seller.

My mortgage lender mentioned something about escrow to pay taxes and insurance. What does this mean?
Some lenders keep an escrow account in which funds are collected to pay the taxes and insurance on a mortgaged home. Because failure to pay taxes and insurance coverage severely affect the value of a home as collateral against a mortgage, lenders tend to ensure these important bills are paid by paying them for the borrower. The total taxes and insurance payments for the year are calculated, then divided by twelve to yield a dollar amount that is added to the monthly principle and interest payment. This extra money is funneled into an escrow account from which the taxes and insurance on the home is paid. Some lenders require an escrow account for only a few years, while others require escrow accounts for the life of the loan. As you can see, this particular usage of escrow differs from the usage of escrow accounts outlined above.

So how does escrow come into play at the closing?
In some parts of the country, a pending home sale is referred to as being “in escrow.” This simply means that a binding contract between the buyer and the seller has been initiated, and the sale will proceed as planned once the contingencies of the contract have been satisfied. Fees such as earnest money, deposits, and even seller rebates have thus been deposited into an escrow account until the home sale is finalized. At the closing, checks from this account are presented to the various parties, and, as the funds are fully disbursed, the escrow is then considered closed.

See also:
Good faith estimate mortgage loans
Buying a home right out of college
Home buying program that appeals to today’s buyer

As one of the nation’s most successful builders of quality, affordable housing, LGI Homes has helped thousands of people become homeowners for the first time. And through this experience, we’ve realized that the process of buying a home can be confusing—fraught with cryptic terminology, filled with reams of paperwork, and complicated by the many parties involved in completing a successful property sale. To that end, our “All About” series answers many frequently asked questions, giving homebuyers the knowledge they need to be confident and informed consumers. Today, we are talking about PMI—Private Mortgage Insurance.

Private Mortgage Insurance is an extra form of insurance required by lenders.

What is PMI?
PMI—or private mortgage insurance—is an extra form of insurance required by lenders, the premiums for which are paid for by the buyer.

Who is required to carry private mortgage insurance?
Any borrower who carries less than 20 percent equity in the home at the time of the extension of credit by the lender is typically required to have PMI. For first-time buyers, this typically means borrowers who are not putting a 20 percent downpayment towards the purchase of the home, and are thus borrowing more than 80 percent of the home’s assessed value.

What does PMI actually cover?
Although paid for by the buyer, PMI is actually insurance coverage for the lender. The PMI covers the lender against loss should a borrower default on a loan, thereby making it feasible for lenders to extend housing credit to parties who might not otherwise qualify for a loan if these risk provisions were not available.

What is the average cost of PMI coverage per month?
PMI coverage typically costs from 0.5-1% of a home’s sales price. Therefore, for a home selling at $100,000, a borrower would see an additional charge of $40 to $80 added to their monthly mortgage payment.

If I am required to carry PMI, how long will that coverage be in effect?
Most agreements specify that a borrower is able to cancel their PMI coverage once they have vested a 20 percent stake in the home—in other words, once they have successfully paid off 20 percent of their home’s value toward their loan. The method in which PMI can be canceled varies from lender to lender, so you would have to check with your financer, but most require the submission of a cancellation request from the homebuyer to instigate the process.

Whether the holiday season means snow out-of-doors or donning a pair of mistletoe-inspired flip-flops, the comfort and warmth we feel in our homes is part of what we celebrate this time of year. Having a safe and secure home in which to enjoy the company of our friends and family touches at the heart of what home means to us all, and illuminates our celebrations whether cultural, traditional, religious or personal. Indeed the concept of home is at the heart of all of our families, and therefore at the heart of all of our festivities. And no one understands more clearly this true concept of home than LGI Homes, working, as we do, year-round to bring the settled pleasure of homeownership into reality for thousands of people.

Concept of home is at the heart of all of our families, and therefore at the heart of all of our festivities.

After all, when surrounded by the people who mean the most to us, the place in which we gather is perhaps not as important as that we gather together at all. But the joy of having others in our home, sharing our food, company, conversation and time, brings a special sort of meaning to the holidays. LGI Homes homeowners, whether just receiving the keys to their brand-new homes or marking off the years since moving in, are all acquainted with the particular gratification that comes with having ample space to host their loved ones at this time of year. From large kitchens appointed with brand-new appliances and customized cabinets, to the dedicated dining rooms available in many plans, holidays are enhanced by the guest-friendly flow and functional floorplans of each LGI Homes house. This is because each house is built expressly to be your family’s true home.

Then, after the merriment has died down and the last vestiges of holiday cheer are packed away for next year, LGI Homes homeowners also come to appreciate the restful nights that follow. Living as they do in homes built with integrity, quality and affordability in mind, they enjoy the many benefits and pleasures of homeownership, without laying awake at night worried for the state of their home’s structure, or the size of their bank account. With affordable monthly payments that are often less than rent, their financial lives are in order and on track; and with LGI Homes’ generous structural warranties, they rest soundly knowing that should any problems with their home arise, LGI Homes will be there to resolve the problem.

When it comes down to it, a home is simply a house, imbued with love and light, in which your days ought to be merry and your nights ought to offer a sleep that is sound, safe, and unfettered by worry. Why not come by this holiday season and discover what thousands of LGI Homes homeowners already know? That happiness in a house is only possible if it enables you to live the life you long to live, without fear, worry, stress or complaint. Merry days, and quiet restful nights, all in the secure warmth of your very own home—that’s what the dream of homeownership is really all about.

The purchase of a new home requires learning all about various aspects of homeownership (financial, legal, and practical) that can be overwhelming to a first-time homebuyer and homeowner. As part of our ongoing All About series, LGI Homes seeks to provide an easy-to-read and easy-to-understand resource that goes in-depth on a variety of subjects connected to buying a home. Today, we explore the world of deeds, and how these vital legal documents will play into your experience of buying a home.

Before buying a home it's important to understand the entire process, including the documentation that goes along with the purchase.

What is a deed and who is mentioned in it?
A deed is a formal legal instrument that conveys, in the case of buying a home, an interest in the property in question. In essence, the deed transfers ownership of a property from one person (or group) to another. The grantor is the person or group selling the property, while the grantee is the person purchasing the property. The deed is typically “recorded” by local government (usually at the county level), and information regarding the sale is generally public record.

What kinds of deeds are there?
There are two main kinds of deeds: grant deeds and warranty deeds. Grant deeds (common in some states) outline the transfer of property from one owner to another, and are witnessed by notaries to affirm that the seller is the actual owner of the property in question. Grant deeds certify that the seller currently owns the property, and that there are no external claims on the property (or “title” to the property)—from, for instance, a lien or an outstanding mortgage—that have not been disclosed to the buyer.

Warranty deeds are essentially like grant deeds, with one major exception: with warranty deeds, the seller offers an additional “warranty” against any future claims to the property by a third party. The seller also promises to do everything necessary to convey proper title to the property to the buyer. Services like title searches (meant to root out possible problems or issues with clear title) and title insurance (insurance against financial loss due to third-party claims) are generally associated with warranty deeds.

A third type of deed, known as a “quitclaim” is not so much a true deed as it is a resignation of ownership from one party to another. Divorce and/or dissolution of partnerships are a common instance in which quitclaims are used to cede all ownership on behalf of one spouse or partner, to the other.

I’ve also heard about “trust deeds.” Are these the same as grant and warranty deeds?
Not exactly. Trust deeds are actually a form of “mortgage,” in that they are publicly-recorded legal documents that stipulate the ownership of a property that was purchased with a home loan. In the case of trust deeds, a neutral third-party (often a title company) holds a property “in trust” as collateral toward repayment of a lender’s loan. Once the borrower repays the loan in full, ownership is transferred from the trust company to the borrower, removing all impediments to clear title ownership (these impediments are known as “encumbrances”). Should the borrower fail to comply with the terms of the loan, the trust deed allows the trustee to sell the home in order to repay the lender their due amount.

Will I see any of these documents at the closing?
Typically, the seller will sign the property deed at the closing, and you, as the buyer, will receive a copy. Because it is such an important document, some buyers choose to have a title company store the deed for them, usually for a monthly or annual fee. Trust deeds will be read and signed by borrowers if they are using trust deeds instead of a mortgage.

The purchase of a new home requires learning all about various aspects of homeownership (financial, legal, and practical) that can be overwhelming to a first-time homebuyer and homeowner. As part of our ongoing All About series, LGI Homes seeks to provide an easy-to-read and easy-to-understand resource that goes in-depth on a variety of subjects connected to buying a home. Today, we explore the world of deeds, and how these vital legal documents will play into your experience of buying a home.

What is a deed and who is mentioned in it?
A deed is a formal legal instrument that conveys, in the case of buying a home, an interest in the property in question. In essence, the deed transfers ownership of a property from one person (or group) to another. The grantor is the person or group selling the property, while the grantee is the person purchasing the property. The deed is typically “recorded” by local government (usually at the county level), and information regarding the sale is generally public record.

What kinds of deeds are there?
There are two main kinds of deeds: grant deeds and warranty deeds. Grant deeds (common in some states) outline the transfer of property from one owner to another, and are witnessed by notaries to affirm that the seller is the actual owner of the property in question. Grant deeds certify that the seller currently owns the property, and that there are no external claims on the property (or “title” to the property)—from, for instance, a lien or an outstanding mortgage—that have not been disclosed to the buyer.

Warranty deeds are essentially like grant deeds, with one major exception: with warranty deeds, the seller offers an additional “warranty” against any future claims to the property by a third party. The seller also promises to do everything necessary to convey proper title to the property to the buyer. Services like title searches (meant to root out possible problems or issues with clear title) and title insurance (insurance against financial loss due to third-party claims) are generally associated with warranty deeds.

A third type of deed, known as a “quitclaim” is not so much a true deed as it is a resignation of ownership from one party to another. Divorce and/or dissolution of partnerships are a common instance in which quitclaims are used to cede all ownership on behalf of one spouse or partner, to the other.

I’ve also heard about “trust deeds.” Are these the same as grant and warranty deeds?
Not exactly. Trust deeds are actually a form of “mortgage,” in that they are publicly-recorded legal documents that stipulate the ownership of a property that was purchased with a home loan. In the case of trust deeds, a neutral third-party (often a title company) holds a property “in trust” as collateral toward repayment of a lender’s loan. Once the borrower repays the loan in full, ownership is transferred from the trust company to the borrower, removing all impediments to clear title ownership (these impediments are known as “encumbrances”). Should the borrower fail to comply with the terms of the loan, the trust deed allows the trustee to sell the home in order to repay the lender their due amount.

Will I see any of these documents at the closing?
Typically, the seller will sign the property deed at the closing, and you, as the buyer, will receive a copy. Because it is such an important document, some buyers choose to have a title company store the deed for them, usually for a monthly or annual fee. Trust deeds will be read and signed by borrowers if they are using trust deeds instead of a mortgage.

Spring and summer may be the traditional home selling and buying seasons, but, as the saying goes, life waits for no one. Whether you’ve got your eye on a brand-new home in one of LGI Homes‘ stunning new communities down the road, or have to relocate to another city for your career, selling your home in the middle of the winter doesn’t have to be difficult. It does, however, call for a bit of thought and a bit of creativity in order to set your plans in motion and reel in your buyer.

Winter months aren't well known as "home buying" months, however, if you need to sell your home during a time when there are fewer buyers, there are some tips you can try.

Firstly, winter comes with its own bevy of difficulties, the bulk of which are related to short days. Showing your home during daylight hours is imperative, so you will likely need to give preference to weekend showings; early sunsets mean that evening and afternoon showings are likely to be held in the dark, which may discourage some buyers. During showings, be sure to open all drapes and shades and let in as much of winter’s weak light as possible, enhancing your home’s sense of brightness and spaciousness. Use electric lights in darker rooms where necessary, and don’t be afraid to light a fireplace or distribute battery-operated candles throughout the home (no unattended flames!). While winter may be dark, our tendency to crave a cozy and inviting space may work to your advantage if you open your home as a warm and softly-lit refuge from winter’s raging wrath.

Speaking of winter’s wrath, in most of the country, winter means either snow or rain (and sometimes both). Keep your home in tip-top shape and make your guests feel at home by providing ample space for visitors to wipe their shoes and feet. Consider adding a coat rack near your front door for their ease and comfort while looking at the property. In rainy areas, include an umbrella stand as well. For those in the snowbelt, keep your front walkway well-shoveled and ice-free—you don’t want anyone falling, getting injured, or even just passing on seeing your house because of all the snow lying between your home and their car.

The condition of your landscape is another issue to contend with in the offseason, with lawns tending to look half-dead in the winter frost, and most bushes and trees either naked or sagging under the weight of their dull grey-green winter shades. You can boost the natural appeal of your yard through small arrangements of winter-hardy plants that you can bring inside after your open house is over. Winter bloomers like hellebores, witch hazels, and even some sages can add some delicate color and texture to a bland winter landscape, and even ornamental grasses and plants with variegated foliage can add interest and give a slight suggestion as to the beauty of your garden when it revives in the Spring. If you have any photos of your landscape in the Spring, why not include them in your promotional sheets? It doesn’t hurt to let buyers know what’s hiding beneath the snow.

As you can see, selling a home in the winter isn’t impossible, it just requires some consideration of the ways in which homes—and people—differ in the winter from in the spring. The attributes that may make a home great in warmer weather (great landscaping, a pool, or an outdoor patio) may not shine as brightly on a chilly day, so bringing the focus into the heart of the home (and encouraging a cozy, comfortable and relaxed mood) can make the difference between helping potential buyers envisioning themselves curled up by the fireplace, and leaving them feeling cold.

See also:
What are the benefits to owning a home?
Painting Tips for Homeowners
What needs to be disclosed when buying a home?

With Halloween come and gone, most families in the United States now turn their attention to the coming holiday season, and the joyous family reunions (and delicious food) that makes this part of the year so special. Why not make this holiday season the most memorable of all for you and your family, by making this the year that you move into your very own home? Moving into a brand-new LGI Homes house couldn’t be easier, and record-low interest rates mean that it’s more affordable than ever to get into one of our convenient and amenity-rich communities—with absolutely no money down required!

Stop wasting money on rent, head over to LGI Homes and discover affordable homeownership.

LGI Homes has made a habit of building communities near the places that people like you most want to live. With easy access to urban centers, convenient commutes, and a host of nearby shopping, dining and recreational opportunities, LGI Homes communities are located in the center of it all. For renters, the proximity of our communities to where you already live means that you don’t need to uproot your life in order to become a homeowner. Keep your doctor, your dentist, and keep your kids in their own schools; with LGI Homes, making the move from renter to homeowner can be one of the most seamless moves of your life!

Imagine enjoying this holiday season in your brand-new LGI Homes home: pulling tidy stacks of dishes from your beautiful custom cabinets, which grace a kitchen outfitted with brand-new, quality appliances. Imagine the stately Christmas tree, standing tall beneath inspiring vaulted ceilings. Imagine, for the first-time, your family seated comfortably around a dining room table in your home’s dedicated dining space. Out of town guests and family will enjoy strolling these beautiful neighborhoods, many of which include playgrounds, tot lots, and walking trails. From the first glance at the beautiful community-entryways, to the last look around your front-yard landscaping as they wave goodbye, your new LGI Homes house will be the topic of conversation and the basis of holiday happiness—both this year and for years to come.

For renters interested in coming home for the holidays, we encourage you to stop by any of our Texas new homes communities, where our new homes specialists can help you find a home that’s right for you and your family. All of our communities feature move-in ready homes, which means that you can tour the exact home that you’ll be buying—no waiting for construction to be completed, and no surprises when that construction is over. Buyers can stroll our new homes and take close note of the award-winning quality and designer detail that have set LGI Homes apart from the competition.

Once you’ve found a home you’re interested in, you’ll be amazed once more at the price. LGI Homes focuses on affordability, and in order to achieve affordability without sacrificing quality, we’ve perfected a streamlined construction process that keeps every step of our community building in-house and with our established trade associates. No middle-men means no extra cost, and from purchasing and grading the land, to the installation of carpet, LGI Homes’ unique oversight and control means that we save money during the construction process, and then pass those savings on to you. And our no-money down financing means that you won’t have to strain your budget and can focus on making your holidays shine!

With so much to be gained, it’s no wonder that your neighbors are making it a point to visit LGI Homes communities, where their monthly cost as owners is on par with what they currently pay in rent. Come home for the holidays—come to LGI Homes!

Here at LGI Homes, we have much to be thankful for, and in this season of reflection, we can only pause a moment to appreciate the things that make us—as people, as employees, as workers and as builders—truly thankful.

Here at LGI Homes we are very thankful for all of our customers.

THANKS to our customers, who have helped us realize a banner year in sales, and who continue to be at the heart of our company’s success. Their demand for quality affordable homes that offer the best in value and aesthetic appeal drives us to better ourselves—home after home, community after community. Without them, we would never be able to realize the growth and progress that has defined us since our start eight years ago.

THANKS to our employees, whose ceaseless efforts have made the dream of homeownership into a reality for nearly five hundred households this year. Their tenacity, honesty, hardwork and eagerness to learn have formed the strong central core upon which LGI Homes’ future is bound to thrive. Without them, not only would LGI Homes lack its characteristic optimism, it would also lose its most fundamental and irreplaceable asset: a staff that cares about its customers, its company, and its product.

THANKS to our trade partners, whose expertise, craftsmanship and pride in their work have set LGI Homes apart as a builder of quality. As a homebuilder, our relationships with our trade partners are some of the most important that we maintain, and we depend upon them every day to craft homes that are strong, stable, and solid. Without them, we could never have developed communities throughout Texas and Arizona that are built not just to please, but to last, and our customers would not have the peace of mind and sense of lasting value that is part and parcel of the LGI Homes ownership experience.

Thank you!

See also:
Texas new homes
New homes in Houston
No money down program