Buying your home can and should be a fun, exciting experience. It will probably also be the single largest investment you ever make. For this reason, it is important to be involved and informed. The series of steps below can help eliminate much of the guess work and make you a much more informed buyer, so that your home purchase can be joyful.
1. Get Pre-approved for a maximum purchase price before locking in any homes. The last thing that you want to happen is to find your dream land and/or home, then make an offer that is accepted – only to find out that there is some error on your credit report that will take more time to correct than allowed by the contract sale You want to be looking at homes with the assurance that you are already pre-approved to buy at a certain price limit, so you can negotiate with confidence. Also, many Sellers won’t accept an offer from a Buyer that has not already been pre-approved, and you can easily lose a home or land that is in demand when you have to get pre-approved, and other buyers that are interested are already pre-approved and ready to buy.
2. Determine a realistic price range. Your mortgage lender or housing professional can determine in a matter of minutes how much of a loan you can pre-qualify for, depending upon your income and debts. With these numbers in hand, you can begin looking at homes that are in your budget.
3. View a variety of homes and land or neighborhoods. Don’t be discouraged if you don’t find the right home the first day. Also remember that love at first sight can apply to homes, too.
4. Select the home for you and make an offer to the seller or housing professional on an earnest money contract. When both parties have agreed to all terms in writing, you are on your way to home ownership!
5. Select your loan program and lock in your interest rate. You need to make sure you have selected a loan program that you understand, and one that has been tailored to fit your financial wants and needs. Also, the interest rates move every day, sometimes several times per day – depending on the volatility of the market. Once you have selected a loan program that you are pre-approved for, you should consider locking in the rate to avoid upward movement. Examples; FHA, USDA, VA, Conventional, Home Only, Etc…
6. Arrange for a home inspection. Have a licensed inspector check the home for termites & for defects if used. They should provide written reports upon inspection completion. If a new home, make sure the loan requires an inspection before final funding.
7. Arrange for Hazard Insurance (Homeowner’s Insurance). It is best to have this done at least 1 – 2 weeks prior to your closing to give the insurance company plenty of time to put a quote together.
8. Consider a home warranty plan. Home warranty companies will, upon failure of eligible systems and components of your home, provide for repair or replacement. These plans are effective for one year from the closing date, and some builders may go as long as 12 years. Make sure you clarify with the new home builder what is covered in their warranty.
9. Plan your move well ahead of time. Contact utility companies in advance, and if you are currently renting, give your landlord at least 30 days notice before vacating. Depending on your rental agreement, you may be required to give further advance notice.
10. Enjoy your new home. Homeownership is the American dream. By planning ahead, getting involved and staying informed, you can start building on that dream today.
Should You Have More Questions, Please Feel Free To Contact Us, Or Stop By And Visit.
17772 IH 35 S. Lytle, TX 78052
www.SmartCashHomes.com SmartCashHomes@live.com
Call or Text 210-215-2572
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