Buying a home for the first time can be a challenge anywhere you go. Again I emphasize hiring the right realtor that is knowledgable in this process. Benefits of owning a home is that you can write off the interest paid yearly. Not having rent prices increases and worrying about the unknown. Now you can plant flowers saying that this is your home. I have represented many buyers since 2005 on many transactions and they are all different. What set's the standard is credit score, income, debt and cash reserve. The lower your debt is the more home you can get. Also a good history trend showing bills paid on time every time. Credit score is important because this determines the interest rate you will receive. Income is important because this can qualify you for more home. Debt and credit works hand in hand.
This is important because the less debt you have the more home you can afford. As of today deferred college loans uses 15% deferred balance against you. Cash reserves is much needed for down payment and closing cost. Closing cost can always negotiated but not guaranteed. You can also buy your interest rate down. So apply for a loan and you will receive a pre-approval letter stating how much you will qualify for or what you may need to do to qualify. Once you have a pre-approval do not run up your debt. This will throw your numbers off and may not or qualify for lees of a home. Just before closing lender will run another credit report to verify you are still in good standing.
Once you have found a home with your realtor that fits your price and family needs, have your realtor write a contract offer in your best interest. If the offer is accepted, I highly suggest have a home and termite inspection. This will determine if you have any major issues with the home and you can opt out of the contract in a timely manner and receive your deposit back within a timely manner following instructions on how contract is written. If there are no major issues on inspection, accept report and move ahead. Next step is ordering the appraisal which is paid in advance by the buyer. You want the appraisal to come back at contract price or higher. If it comes in lower negotiations must be agreed on for seller to accept the lower price. If not you are legal to walk away from deal and receive your deposit back.
Many simple cost can add up once you move in. For example changing of locks which I highly recommend for security purposes. Homes that are on the market and owner occupied, yards must be well maintained, inside decluttered and kept up. Ask for HVAC record to show system has been serviced.
Work with a lender and title company through this whole process as they request information from you and as always send ASAP to keep process swiftly moving. Perform walk through two days before closing to ensure all is fine and gives necessary time to fix items. By law you should receive a disclosure statement three days prior closing. This shows about how you are to bring to closing. You will receiving wiring instructions from title company on how to do so. At closing the title closer will explain and breakdown the associated credits and debits on each party buyer and seller. Sign and receive you keys. Congratulations! Facebook Kevin Sells Florida and visit www.kevinstrawtersellsflorida.com