| Home buying has always been a tedious process. | | | | the real estate agent is a great asset when it |
| The home buying journey is fraught with winding | | | | comes to bidding for and negotiating the home |
| turns and crossroads, making buying a home | | | | price with the home sellers. |
| complex and difficult. The complexities of the real | | | | 6. Choose the right mortgage home loan |
| estate and mortgage market are not easy to | | | | Deciding upon the right type of mortgage can be |
| decipher. So, the more prepared you are before | | | | a minefield. There are so many choices: fixed rate |
| you begin home shopping, the easier it will be. | | | | mortgages, adjustable rate mortgages, |
| Herein, I have assembled a top ten list for home | | | | interest-only mortgages, subprime mortgages, and |
| buyers. This list is good preparation for | | | | more. How do you know which mortgage home |
| homebuyers who are setting out on their home | | | | loan is best for your current financial situation and |
| buying journey. | | | | your long-term goals? Here a trusted mortgage |
| 1. Decide on what you can really afford Before | | | | broker or mortgage lender can provide you |
| buying the house, do a monthly budget. It is | | | | expert advice and personalized service. Moreover, |
| critical that you know your finances in-and-out, | | | | a trusted personal mortgage consultant gives you |
| only then can you truly know how much home | | | | competitive low rates to meet your needs. To |
| you can afford. The general rule of thumb is that | | | | learn more, start by arranging a complementary |
| you should purchase a home that is about 2.5 | | | | consultation with an expert mortgage consultant. |
| times your annual salary. But use our extensive | | | | You can locate a local mortgage consultant in your |
| online mortgage calculators to better understand | | | | area by using our mortgage directory. |
| your affordability. Learn how your income, | | | | 7. Introduce your team to each other |
| expenses, and debts can affect what you can | | | | Make sure once you have your team in place, |
| afford. | | | | introduce the real estate agent and the mortgage |
| 2. Strengthen your credit as needed | | | | consultant to each other. Your team should be on |
| Majority of Americans apply for a home loan | | | | the same page with regards to your home buying |
| mortgage to buy a home, you must ensure that | | | | goals. |
| your credit history is the best possible. A few | | | | 8. Making the offer |
| months before you start house hunting you might | | | | Now that you have the financing and team in |
| need to check your credit score, get your credit | | | | place and have found the home you were looking |
| report, and do credit repair or credit counseling to | | | | for, it is time to make an offer. Before making |
| ensure your credit is optimal for your situation. It | | | | the offer, check out for how much similar homes |
| is important that you stay on top of the facts in | | | | have sold for in the neighborhood in the last 3 to |
| your credit report and remedy any problem areas | | | | 6 months. This will give you a good idea on where |
| 3. Get pre-approved, before house searching | | | | to roughly start your bid. But consult with your |
| Now that you know how much your home | | | | real estate agent before making your bid. |
| budget is and have optimized your credit, it is | | | | 9. Get your own home inspection |
| time to get pre-approved for a home loan. A | | | | Once your offer is accepted by the home seller, |
| pre-approved mortgage loan will save you time | | | | it is time for the extensive home inspection. |
| and money by better positioning you to make an | | | | Some of the main inspections to be considered |
| earnest offer for the home. Unlike a | | | | are: insect, radon, building quality, oil tank, |
| pre-qualification, which is based on a brief review | | | | asbestos, title, termite, lead paint analysis (if house |
| of your financial situation, pre-approval from a | | | | built earlier than 1980s), and etc. |
| mortgage lender involves an in-depth analysis of | | | | The home inspection can be performed once or |
| your actual income, expenses, debt, and credit | | | | sometimes 2 or 3 times, depending on how |
| history. | | | | extensive the inspections are. A thorough home |
| 4. If you have kids, buy a home in a good school | | | | inspection can possibly save you from incurring |
| district | | | | costly repairs down the road. |
| Not all school districts are created the same. For | | | | 10. Your home insurance and closing |
| most homebuyers with families, buying a home in | | | | You need to purchase a good home insurance |
| a good school district is fundamentally important. | | | | policy to help protect against unexpected costs or |
| In addition to providing your children with better | | | | home repairs. You are just one more step closer |
| schooling, you also enhance your property value | | | | to your new home, only the final closing stands |
| when it comes time to selling your home. | | | | before you. Ensure that you have the proper |
| 5. Work with a good local real estate agent | | | | items for the closing: complete paper work and |
| Real estate agents are there to help you find the | | | | deposits, title work, homeowners insurance, and |
| best home that meets you needs. Interview | | | | other items necessary under local and state laws. |
| some real estate agents; work with the one you | | | | Of course, your real estate agent and mortgage |
| like and trust. Your agent will be invaluable in | | | | broker or mortgage lender will help you during the |
| helping you narrow down the choices of homes | | | | closing. |
| to the ones that fit your criteria, saving you time. | | | | It's official; you are now a proud homeowner, |
| You will not waste time looking at homes that | | | | time to move in. |
| don't meet your requirements in all spheres. Also, | | | | |