The home buying experience is definitely fun and exciting. But it can also be over- whelming if you are not prepared properly. First and foremost you want to have a preemptive discussion with a realtor well before you start your active search. This is going to properly get you prepared and educated for when you start actively looking at homes in person. First you will discuss financing. We will connect you with a lender where they can crunch the numbers to find out what you can afford, what your monthly payment will be and what type of loan is best for you. They will then give you a pre qual letter which states what you can afford. This is a pertinent step to the home buying process. No seller is going to accept an offer without a pre qual letter from your lender, and the last thing you want to be doing when submitting an offer on the home you love, it scrambling for documentation to to prove you are qualified.
Next step is going over all the important criteria you are looking for in your home search. Location, size, style, layout, updates and so on. This might get tweaked as you get further into your home search.
Once you have all those details ironed out you will have your realtor send you homes to view online. This will allow you to compile a list to make appointments to go view in person. When you find the right one, its time to put in an offer! This is the important part. You want your realtor to run the comparables to make sure you are not over paying for the home. When you decide on a fair price, you submit your offer for negotiation. Once accepted, you are under contract and on your way to home ownership. Typical contract periods last between 45 and 60 days but that can sometimes be negotiated as well. For more information check out link below https://bit.ly/0991realestatevideos To learn more about our local area check out Moving To The capital Region: The Ultimate Guide
Whether you are a A Case of Cold Feet: How to Handle the First Time Homebuyer or an experienced homeowner, buying a new home is always stressful. Here’s a handy checklist of six things you can do up front to make the process a lot easier. Before you start packing, here’s what you need to do.
Prepare a Budget
You need a clear picture of your family’s finances before you even think about calling a Realtor or applying for a mortgage. List all your monthly fixed expenses, such as car payments, current rent or mortgage, utilities, school tuition, and loan payments. Add categories for other expenses such as food and entertainment.
List Your Debts
If you have existing credit card debts, student loans or other debts that require regular monthly payments, get them down in black and white, so you know exactly how much you owe. Figure out your debt ratio. There are plenty of online calculators that will do this for you. You need to know two ratios. Your housing debt expenses (including taxes and insurance) as a percentage of your gross monthly income should be 25-28%. Your installment debt ratio (credit cards and other consumer debt) should be around 10-15%. Your total debt to income ratio should
#1 and 2 above are important because you want to get pre-approved for a loan before you start shopping. This is an important safeguard, to keep you from falling in love with something you can’t afford or can’t get a mortgage for. Be sure you understand the Mortgage Pre-Approval – Don’t Overlook The Importance. Getting pre-qualified means that you give a lender your overall financial picture, including your debt, income and assets. The lender evaluates this information and gives you a ballpark figure of the mortgage amount for which you could qualify. Pre-qualification can be done over the phone or on the Internet, usually at no cost.Pre-approved, on the other hand, means that a lender evaluates your debt ratios, your credit report, and your overall ability to repay a loan and says, “Yes, I would loan this buyer X number of dollars to buy a home.”
Make a list
Before you begin working with a Realtor, you need to make a two-column list of needs vs. wants. Be sure you know the difference! You need three bedrooms. You want a swimming pool. You need to be very upfront with your Realtor about exactly what constitutes a deal-breaker in your purchasing process. If more than one person is involved in making the final decision, be sure that you are more or less in agreement about needs and wants. If one spouse wants a short commute and the other has visions of a country estate, you could have a problem. Resolve these issues ahead of time.
Find a Realtor
Once you’ve done your homework, it’s time to start looking. You want to find a Realtor who represents you and puts your interests first. The best way to find a Realtor is to ask friends and family for recommendations. However, if you are new to the area and don’t know anyone, you may need to visit several firms and interview several Realtors. Chemistry is important. You need to look for someone who is committed to meeting your needs and who knows the area and price range you’re looking in.
Ask the right questions.
Customer Reviews When you are talking to prospective Realtors, don’t be afraid to ask probing questions. And expect to get frank, straightforward answers. Here are a few to get you started:
- How long have you been in real estate?
- Do you represent both buyers and sellers?
- How many buyers are you currently working with? How many sellers?
- How many homes did you sell last year?
- How familiar are you with the neighborhoods we are considering?
Buying a home could well be the single most important decision you will ever make, both financially and emotionally. However, if you do your homework and prepare thoughtfully for the process, it can also be a fun and rewarding experience. For more information on homes in our local area check out Moving To The capital Region: The Ultimate Guide and Communities Block Area Happy hunting!