First Time Home Buyers:
Buying your first home can be a difficult decision so let me help you evaluate and understand the process of home ownership! In order to buy a home there are some things that you need to evaluate such as the cost of owning verse the cost of renting. Depending on the market in your area you may decide to wait to purchase your first home. While there are many tax benefits that go along with home ownership you will need to be sure that you can afford the mortgage of the house you decide to buy.To get the best mortgage you may need to Fix Your Credit.
So its time to prepare but wait, there are a couple things we need to do to understand how much of a house you can buy. This starts with getting pre approved. To get pre approved you will need to call a mortgage lender, you need one you can trust and that will look out for what is best for you. If you don't know a mortgage lender I have several I can recommend for you to call.
A good mortgage broker will not just tell you how much you can qualify for but help you understand the difference between qualifying and affording your mortgage payment. Especially as a first time home owner you need to plan on the unexpected to happen such as a roof that leaks or a plumbing issue that needs immediate attention. These are things that while they are not common they do happen and normally at the worst time. You need to have a savings for home repairs and or improvements set aside so that when something happens you are prepared and able to repair them without increasing your monthly expenses.
Once we know what price range we can look at we need to establish the difference between what your wish list and your needs are. I am not saying you cant have all that you wish for however sometimes getting your wishes means you have to do some work. I have often found the perfect house for my clients to have them tell me it doesn't have granite counters or the yard isnt perfect. Every other thing they desired is in the house, a large living room, a pool with a dark bottom, a walk in master closet separate from the bathroom etc. and they pass on the house to have it sale the next day. Then when they realize they are not going to find anything that close to what they want its to late. As you create your list we need to understand what you have to have and what you would like to have.
Once we have your list created and separated between needs and desires we are ready to start looking for your home! The first step is to identify the area and neighborhoods that you like and dislike. This will help us to keep the search focused and intentional. As we begin looking at homes it can sometimes be overwhelming. I encourage my clients to bring a digital camera to take pictures as houses will soon begin to blend together. The easiest way to remember which house had which features is to take a close up of the address at the beginning of each house. This will separate the houses and help you not to confuse them with each other. As you narrow down the list of homes we will want to take another look before a final decision. Once you have chosen the house you want we enter into the negotiations. When the price is agreed upon we enter the next step of Home ownership...
Once the offer is complete it is time to open escrow. Escrow is a third party that manages and oversees the exchange of finances and the completion of paperwork. The escrow officer is a vital part of every transaction. If the escrow officer is not experienced or knowledgeable of the type of transaction that is being completed there can be several issues along the way. Escrow can help or prolong the transaction based on the knowledge and understanding the individual escrow officer has. It is important to choose an escrow officer that you, the realtor's and title can work with.
As the escrow process opens and begins there are several steps that will need to be completed. Title insurance will need to be obtained, there are various inspections that will need to be completed and you will need to choose a home warranty (highly recommended). The title insurance company is very important as they secure and ensure that your new home will be acquired with no leans attached to the property. The various inspections will need to be scheduled and followed up with to request any repairs that need to be made in order for the transaction to close. The home warranty is an insurance policy that generally cover the bones of the house.
Most transactions can be completed in a timely manner however sometimes, depending on several factors, the purchase of a home can be delayed. This does not always mean that there are problems it simply means there are extra steps that have to be completed in certain transactions. .
As your Realtor I am experienced, efficient and creative in finding ways to make sure your transaction will close and do so in a timely manner. If you have questions or feel as though you are ready to purchase your first home and venture into the excitement of home ownership call (805) 390-0418 or eamil me today, firstname.lastname@example.org and lets get the process started!