Buying a home may seem difficult and overwhelming and that is why Candace has committed her time and focus towards helping people like you ease the home buying process. When buying a home your first steps towards homeownership should be…
You will meet with a mortgage broker to discuss your overall financial picture including debts, assets, and income. This is not the mortgage application and this does not involve a credit check. This is simply to get an idea of what type of mortgage you may qualify for and how much. To ensure you are getting competitive interest rates research and talk to multiple lenders. Candace can also help you with this step by recommending reputable lenders that she has worked with in the past.
A pre-approval will consist of an in depth analysis of your credit history and ability to purchase a home. You will also fill out a mortgage application at this time to better assist the mortgage broker with your overall financial picture. Here is an infographic that will assist you with the types of documentation the mortgage broker may have you provide. Types of documentation needed may vary from broker to broker. A pre-approval letter will help you in multiple ways. 1. This will relieve you of frustration and disappointment by knowing exactly what price range you qualify for so you are not choosing homes that are out of this range and unattainable. 2. Your offer that has a pre-approval letter attached to the contract will be looked at as a serious candidate and more likely to be chosen among sellers with multiple offers. 3. Considering time is of the essence in real estate, a pre-approval letter will allow you to act quickly when you do find the perfect home.
Real Estate Professional
At this point in the home buying process you should decide if you would like to work with a real estate professional to help you achieve your real estate goals.
The home search should start with a detailed list of your wants and needs including why exactly you are purchasing a home and what you expect from this future home. Do you need to be in a certain school district? How many bedrooms do you need? Do you need a certain layout? Do you want a “man cave” or a swimming pool? Writing a detailed list will allow you to narrow down your search process saving you time and energy by touring houses that already fit your criteria. Lastly, do not be distracted by cosmetics, for example, a house not having granite countertops while it is in the exact school district you need and a 5-minute walk to work. Cosmetics can be changed, layout and location cannot.
Writing An Offer
There are many things to think about before writing an offer on a home. One of the main concerns is how well the home is priced. A Realtor can pull accurate information from previous sales of comparable homes within the area with common features that will give you a better grasp on what homes are actually going for. Some other important aspects of writing an offer are: Do you want a Home Warranty? Do you want inspections? (See below) Who will cover the title insurance? Escrow fees? Minimum Retrofit standards? How long will escrow be? There are many questions to be answered when writing an offer, do your research, and make sure you understand every clause in the purchase agreement.
You have found the house that fits your needs and hopefully most of your wants, your offer has been accepted, what now? It is important to have a better understanding of the condition of your soon to be new home. Here are some necessary inspections that will give you an overall picture, help you in the negotiation process, and save you from future headaches:
- Whole House Inspection
- Pest Inspection and Pest Clearance
- Sewer or Septic line Inspection and Camera
- HVAC Inspection
- If necessary: well and/or land survey
Before the transfer of title schedule a final walk-through to assure the property is in the condition you expected it to be, seller has removed all personal items, and repairs that have been negotiated and accepted by seller have been completed. If seller has made repairs, be sure to get a copy of the invoice detailing the work completed.
The escrow process can be very difficult and long; full of unexpected occurrences, finding the right home is just the tip of the iceberg. Although it is very rewarding to be a homeowner with many benefits, having a professional to ease you through the process could save you a considerable amount of time and money with a peace of mind knowing the transaction was done and done right.