5 MORTGAGE TIPS FOR HOME BUYERS

Purchasing a home is one of the biggest decisions most folks will ever make.  Therefore, you need to be prepared, so you don't find that “perfect” home, finalize a contract on it, and then find out that your “pre-approval” has some stipulations that must be addressed before you can close.  Here are five tips to keep you on track to owning that dream home.

1. Find a real estate agent that you “click” with. Tell that agent exactly what you are looking for, or at least your top 5 wants for your new home. If you have a lender that you want to work with, give your real estate agent their contact information. If you do not have a lender, ask your agent to recommend one. If your agent is a well prepared agent, they will have lenders that they work with and that are very professional. You should get a pre-approval letter from your lender before you start looking at homes.
2. Call the lender, get your pre-approval letter,  and  ask the lender to send your agent a copy. This is very important, because many sellers today  are requiring agents to provide a pre-approval letter before allowing their property to be shown.
3. Once you have made the decision to purchase a new home and have received a pre-approval from your lender, DO NOT APPLY FOR NEW CREDIT. Applying for new credit can change your ability to purchase a new home. It is very common for buyers to think they need to buy new furniture for the new home they are purchasing, don't do this unless you have the extra cash over and beyond any cash you will need for closing. Just as important,  do not make large deposits to your accounts. You should already have all of the funds you need to purchase a home in your account. This also means that no large amounts from family or friends should be deposited into your account.
4. Ask your lender, based on the amount you are qualified for and your estimated property taxes, home owner's insurance, and if applicable, HOA fees, what your monthly payment will be. When estimating this payment, always figure on the high side of each amount. It's always better to be surprised with a lower payment than a higher payment at closing.
5. Be sure to return all of the documents to the lender, along with any additional information they need, as soon as possible. Remember, without the information the lender has requested, you can not move forward with the purchase and close of your new home.

Buying a new home, especially if this is your first time, can be stressful. Always be honest with your real estate agent and lender. If you are confused about any of the steps to purchasing, don't hesitate to ask your agent. Real estate agents want to make your purchase as smooth and easy as possible.  Having said that, be sure to listen to what your agent is telling you!  They have been there and done that many times before,so  cash in on their experience and know how.

 

Cindy Brooks, REALTOR
Benchmark Realty, LLC
125 River Rock Blvd.
Suite B
Murfreesboro, TN
615-499-9445 cell
615-809-2323
CindyBrooksRealtor@gmail.com
http://www.CindyBrooksRealtor.com