Are you ready to start the home buying process? Are you currently trying to buy a home? Are you asking yourself questions like, “how do I get a mortgage?" Purchasing your first home can be a stressful experience, but it really does not have to be. As long as you are willing to do a little research and talk to a few professionals, you can be well on your way to buying the home of your dreams.
To gauge this, a general rule of thumb is to look at properties that are 3 to 5 times your annual income. Other factors that will need to be calculated are your down payment amount and debt to income ratio.
Your credit score will impact your financing. The higher the credit score, the better interest rate you might be eligible to receive, which in turn impacts how much you can afford.
Find out how much you’ll likely be approved for so you can nail down your budget. Don’t start looking for properties until you know you qualify for financing. A pre-approval also gives you the leg up during negotiations with a home seller.
Take advantage of an agent’s expertise and professional network.
When you find that perfect property, work with your realtor to make an offer. Your pre-qualification makes your offer more competitive.
You have a right to get a third party inspection to detect faulty foundations, mold and other property issues. Your real estate agent might recommend placing contingency clauses in your offer dependent on the outcome of the inspection.
You want to ensure you're not paying more than what the property is worth. Your mortgage company will set you up with a certified appraisal company.
Now that the home is lined up, you are all clear to proceed with a loan. Your mortgage loan originator will be with you through every step of the way to make sure the process isn’t overwhelming and confusing.
Start protecting your investment before you move in.
Once all the documents are in hand at Alliance and your file has gone through underwriting, there is only one more step!
Close on your home.
Move in and start unpacking your boxes.
Purchasing a home is a big endeavor whether it’s your first property or hundredth. Don’t get lost in a sea of paperwork and bids. Make a plan, hire a professional and get the right property for you!