Setting realistic expectations is critical in the home buying process. Our buyer’s consultation will do just that and is highly recommended by all our past clients. We strive to educate you on the entire buying process and address any questions you might have prior to getting started. The bulk of this meeting will be spent discussing your needs analysis and pinpointing the locations in which you are looking to buy. However, we also address things such as closing costs, home warranties, why you should buy a home, earnest money, speaking with a lender, and many more valuable topics. Below is a brief peek into some of the important topics we’ll address. Scheduling a time to sit down for this consultation will save us an endless amount of time in the long run. You’ll be happy you did.
Setting Realistic Expectations Early
From location to size and features, understanding the current market in your price range is an important step to getting started in the right direction. If this step is skipped, we will be setting ourselves up for routine failure time and time again.
We have all heard about home loan programs from 0% down payment to 10%+ down payment, but what is the actual amount of money you’ll need to have when it’s time to close your transaction? This is a number not every buyer considers and based on the home you choose, it can vary drastically. Property taxes, flood insurance, recording fees, appraisal fees, notary fees, inspection fees, title policy and mortgage insurance are just a few of the possible fees you may be responsible for paying at the closing table. Be prepared when the time comes.
What Happens Behind the Scenes?
Now that you have decided to buy your home, what happens between now and the time you legally own the home? Finding the right home is only a small portion of our job. Negotiating the contract, coordinating inspections, negotiating repairs, coordinating appraisals, reviewing title reports and HOA documentation, communicating with your lender and the escrow officer constantly are a few of the things we do behind the scenes that you may not be privy too. In the beginning of our relationship and especially through the prospecting stage, we will be in communication daily. That slows down a bit once we have an accepted offer on a house. We are great at staying in touch but often times a few days will go by with nothing to report, and that is typically a good thing.
The 10 Commandments When Purchasing a Home
- Thou shalt not change jobs, become self-employed or quit your job.
- Thou shalt not buy a car, truck or van (or you may be living in it)!
- Thou shalt not use charge cards excessively or let your accounts fall behind.
- Thou shalt not spend money you have set aside for closing.
- Thou shalt not omit debts or liabilities from your loan application.
- Thou shalt not buy furniture.
- Thou shalt not originate any inquiries into your credit.
- Thou shalt not make large deposits without first checking with your loan officer.
- Thou shalt not change bank accounts.
- Thou shalt not co-sign a loan for anyone.
Home Buying Don’ts
- Don’t wait for the perfect house, there isn’t one. Compromise and prioritize are necessary elements in home purchasing.
- Don’t write an unrealistic offer or you will simply be helping someone else’s offer look good.
- Don’t feel the need to negotiate if a property is fresh to the market, priced right and popular. The good ones often go quickly and at 98% or more of their asking price.
- Don’t be afraid to write an offer above or below the seller’s asking price. Offer what it is worth to YOU.
- Don’t work with more than one agent. Find one you like and stick with them. If you make a bad choice, change but only use one.
- Don’t wait for perfect conditions to buy. The best time to buy is when you have found the right home.
- Don’t get too many friends and family involved in your buying decision, it will drive you crazy.
- Don’t wait until you find a home to secure financing, getting approved should be step 1.
- Don’t be surprised if you get buyer’s remorse at some time before closing, most buyers do. It is normal and it will pass.
- Don’t let your current lease situation dictate your purchase timeline, you may miss out on the right house and be forced to sign another lease.