Are you Ready to Buy a Home?
Buying a home may be your dream, but it can also be a stressful experience, especially if you are a first time home buyer. Buying a home is one of the biggest purchases in your life so you need to make sure that you are financially and emotionally ready for the responsibilities that come with home ownership.
Here are 10 Tips to help you navigate the home buying process smoothly:
- Determine How Much You Can Afford. You need to know how much you can afford before starting your home search. Use a home affordability calculator to determine how much you can afford monthly.
- Start Saving for a Down Payment & Closing Costs. Determine how much down payment you can afford and save towards it. Most lenders do not require a 20% down payment but keep in mind that putting down less means higher costs and private mortgage insurance. Also saving for the closing costs ahead of time will prepare you in advance.
- Check Your Credit. Your credit score will determine if you’re approved, the interest rate and the loan terms.
- Research Mortgage Options and Compare. Decide which mortgage option is best for you- a 30 year fixed loan, adjustable rate loan, etc. Compare mortgage lenders rates and fees. We recommend comparing at least 3 mortgage lender quotes to save money in the long run.
- Get a Preapproval Letter. A preapproval letter and pre-qualification are not the same. A prequalification is an estimate of what a lender may be willing to mortgage. A preapproval letter is a letter that confirms how much a lender will mortgage after a thorough investigation of your finances. Having a pre-approval letter will give you a one up on other buyers that have not taken this step, and show sellers that you are a serious buyer.
- What do you want and where? Determine what type of property best suits what you are looking for. Is it a single family home, condo, townhome, etc. Then decide what neighborhood is right for you. Do your research on surrounding schools, businesses, and any other factor that may affect the value of the home properties in that area.
- Find the Right Real Estate Agent. Prime Real Estate Co. is dedicated to working hard to find your dream home at the best price. We will work diligently to accommodate your needs and make sure the buying process is a successful and easy one.
- Compromise and let go of the little details. It is very difficult to find a home that has everything you have on your “wants” and “needs” list. Stay objective and weigh out the pros and cons of every property.
- Make a strong offer. Prime Real Estate Co. will provide you with the knowledge to make a strong offer on the property of your choice. Remember, the seller can always reject or counter offer so do not set your heart on every property that you put an offer on.
- Inspections & Closing. Once your offer is accepted, an inspection is necessary to check the home for mold, asbestos, argon, lead based paint, pest activity, faulty equipment, etc. We can recommend the right inspector that fits your needs. On the day of closing, we will do a final walk through of the home to ensure everything agreed upon is completed. Finally, the closing- remember to turn on utility services the day of and that all closing costs have been taken care of either via electronic wire or a certified check. Woohoo, Congratulations you are officially a home owner!
PRIME REAL ESTATE CO. WOULD LOVE TO HELP YOU THROUGHOUT THE HOME BUYING PROCESS! CONTACT OUR OFFICE TODAY TO RECEIVE MORE INFORMATION ON BUYING YOUR FIRST HOME. (Contact Form below)