TOP 10 LIST BEFORE BUYING A HOME

Whether you’re becoming a homeowner for the first time or you’re a repeat buyer, buying a home is a financial and emotional decision. Are you ready to make a move?

TOP 10 LIST BEFORE BUYING A HOME

1. Before you start looking for a home, get pre-qualified for a loan. Banks,credit unions, and mortgage bankers make home loans; mortgage brokers process loans through a variety of lenders. The lender will take an application,process the loan documents, and see the loan through to the funding stage.
2. If you have marginal or bad credit, consult your lender. You may be able to qualify for a loan depending on how long ago and what reasons caused the bad credit.
3. You will need a down payment. Down payment requirements vary depending on the type of loan. Many down payment assistance programs exist. These programs may loan or grant you the funds necessary for the down payment. Consult with a lender about programs available in your area. Let us know if you would like us to recommend lenders we work with.
4. You will need funds for closing costs. Closing costs are charges for services related to the closing of your real estate transaction. They include, but are not limited to: Escrow fees, title policy issuance fees, mortgage insurance fees, fire, flood, and homeowners insurance, county recording fees,and loan origination fees. Consult your lender for an actual estimate of these costs.
5. Some loans have 'points' and some do not. A point is a loan origination fee equivalent to 1% of the loan amount. Together with the interest rate, they constitute the yield on your loan for the lender.
6. Mortgage rates can be fixed or adjustable. Which one is right for you depends on whether mortgage rates are at a high or a low point when you purchase and on how long you plan to live in the house.
7. There are two main types of loan categories 
   Conventional Loans - Conventional mortgage loans are available with fixed or adjustable interest rates.
   Government Loans - these include FHA fixed, adjustable rate and VA fixed rate mortgage loans.
8. If you are a low to moderate income home buyer, there are special programs designed to help you. These loans are available through private lenders, as well as local state housing agencies.
9. You may have to pay mortgage insurance. Mortgage insurance protects the lender from potential loss if you should default on your mortgage loan payment. Mortgage insurance is always required on FHA mortgage loans.
10. Phew! Now you are ready to sit down. Create a plan and get to action. As always if you need a helping hand let us know we will be happy to guide you through the process. Give us a call or text. We are looking forward to hearing from you.

 And there you have it, my Dear Reader - TOP 10 LIST BEFORE BUYING A HOME.
We would love to be a guide on your home selling or buying journey.