Buying a Home – Step One
Whether this is your first home or your tenth home, buying a home is an exciting and possibly nerve wrecking process. But having the right tools in place can be a major step in making the transaction a smooth and (almost) painless process.
There are steps you can take in advance of purchasing your home to help you. This blog is designed to discuss those steps and help in the process. If at any time you have questions or concerns, please feel free to email or call me direct.
If you talk to a mortgage counselor they will say you should find a mortgage counselor as your first step. Naturally, if you talk to a real estate agent, they will say you should talk to a real estate agent first.
Either way is right, and it really depends what you are most comfortable with. But here is my take – as a REALTOR. Talk to a REALTOR first for several reasons. A REALTOR is going to work with you throughout the entire process and has a wide array of professionals available from mortgage counselors, home inspectors, contractors, etc. that can help you. All too often I have seen clients talk to a mortgage officer who tells them that they cannot qualify for a mortgage. If you hear that, don’t stop there. There are a lot of options available and a REALTOR will work hard to get you in touch with the right people.
Regardless of who you choose, finding out how much home you can buy is clearly the next step. There are two different avenues to go in this process. One is a prequalification and the second one is a preapproval.
Any licensed real estate agent can do a prequalification. This is a simple process of looking at your income and your expenses and determining the ratio and how much home you could afford. I seldom do pre-qualifications for my clients and here is why. A prequalification does not take into account the buyers’ payment history, their credit score or the time in their career. Those are critically important factors when determining whether or not a client can obtain a mortgage.
It is important to remember that even in today’s real estate market there are a wide array of mortgage options available, and if one mortgage counselor doesn’t have what you need, another one may. That is why I suggest finding a real estate agent who can get you on the right track in finding your dream home.
If you are thinking of buying – or selling, for that matter, please feel free to give me a text message or a call at 615 417-8182 or email me at RolandLow1@gmail.com.
I look forward to working with you and greatly appreciate referrals.