How can I help? Why Buy A Home? Why pre-qualify for a loan?
How can I help you buy a home?
I can make the process of buying a new property easier, more enjoyable, less time-consuming, and less expensive than it would be if you performed it alone. I will help you prepare so that sellers perceive you as a preferred buyer, help you locate and assess properties for sale that match your specifications, and help you through the myriad details attending the actual purchase.
We will work closely together
to find the right property.
In our initial consultation, we will discuss the kind of home you need and want. We will determine what location(s) you are interested in, what style of home you want, and how much you are willing to invest in your purchase.
We will analyze your resources, and
prepare you to buy.
We will meet with a licensed loan consultant to determine exactly what you can afford. I highly recommend obtaining a certificate of pre-qualification for a mortgage loan at this early stage; it will help you focus on homes in an appropriate price range, and will strengthen your bargaining position once you locate the home you wish to buy. When your offer to a seller includes a letter from your lender indicating that you are ready to qualify for a loan, the seller will take you more seriously, and the sale will proceed much more rapidly.
We will find the right homes for you to view.
I have the best possible resources and communication systems available today to help you locate the homes on the market that match your specifications. You can run home searches at my Web site, save your search criteria and results in your Personal Organizer for use at a later date, and request to be notified by email when new listings that match your criteria arrive.
I will also access my local MLS to find homes that fit your interests, and will post them to your Personal Organizer where you can always access them. I will inform you about newly listed homes in your category and range the moment they hit the market.
Finally, you will select a home.
I will help you complete your financing and inspections, and close on the transaction.
I will save you time, money and effort at
each of each step of the process.
I am always familiar with the current homes on the market, and I know neighborhood values well, so I can help you determine which properties are priced fairly and in good condition before you start your search.
Buyer Agency
I offer a Buyer Agency, which is an arrangement where I actively look out for your best interests, but get paid by the seller. This relatively new situation in Real Estate eliminates that age-old question: "Just who is my agent representing—me, or the seller?"
My first priority in my relationship with you, the buyer, is that your home buying experience is pleasant, cost-efficient, and successful.
The Benefits of Home Ownership
- Good investment
Home ownership is a highly leveraged investment that can yield substantial profit on a nominal front-end investment. A house offers leverage, and the possibility for appreciation in value. And, a home is an investment you can live in, even while it's working for you!
- Tax benefits, such as mortgage interest deductions
The tax breaks of home ownership are substantial. Since both mortgage interest and property taxes are tax deductible, home ownership can save you significant amounts of money every year.
- Accumulation of equity
Why keep throwing your money away on rent? Why not build equity with that money, instead? Renting doesn't protect you against rising housing prices. Rental units are just as susceptible as homes to increases in taxes, insurance, utilities and other costs. Landlords will pass these increases along to tenants.
- Control of housing costs
You decide what to spend on your home, and when to spend it. Repairs, improvements, changes-everything is up to you, and only you. Unlike renters, homeowners who secure a fixed-rate loan can lock in their monthly housing costs, and make prudent investment plans knowing these expenses will not increase substantially.
- Opportunity to make improvements on the property
No more futile daydreaming about that sundeck, or new bath, or exterior paint job. You can make any improvement on your own property that you wish, and you will be increasing your home's value in the meantime!
- Pride of ownership
There's nothing like owning your own home. And don't think you have to wait to buy. You're never too young to own! Figures from the National Association of Realtors show that the average age of first-time buyers is 32 years. We can discuss the number and variety of financing options available.
The waiting game is a losing game. Don't put off buying a home thinking that prices will come down. They aren't likely to. For instance, from 1984 to 1994, the median price of existing homes increased from $89,400 to $145,400-a total increase of 61 percent.
Pre-qualifying for a loan makes you an appealing buyer in the eyes of the seller.
Pre-qualification approves you for up to a certain mortgage amount, even before you look at your first home. Once you do start looking, you won't waste time looking at homes you won't be qualified for-and you'll be in a strong position to make an offer as soon as you find something you like.
Selecting the best financing package available is as important as finding a home that meets your needs.
There are three factors to consider in determining how much you can afford:
- Down payment
Most loans require a down payment between 10 and 20 percent of the home price. If you are able to make a down payment of 25 percent or more, you may qualify for special mortgage programs offered by a variety of lenders.
- Ability to qualify for a mortgage
Most lenders require that your monthly mortgage payment, including principal, interest, taxes and insurance, should not exceed 28 percent of your gross monthly income. They also expect your total installment debt (regular scheduled payments of 6 months or longer debt-car loans, credit card balances, etc.), including the proposed monthly mortgage payment on your new loan, not to exceed 36 percent of your gross monthly income.In addition to your gross monthly income, lenders review your employment history, stability, and potential for increasing your income. They also evaluate any additional income, such as bonuses, commissions and child support.
They will request a credit report to verify your debt repayment, outstanding debt, and available credit. They will calculate your assets, including checking and savings account balances, CDs, stocks and bonds.
Avoiding any late payments on credit accounts, and limiting your credit purchases, helps keep your credit report in good standing. If you have items on your credit report that could negatively influence your ability to secure a mortgage, be prepared to explain each situation in writing. You should also consider delaying major purchases until after you've moved into your new home.
- Closing costs
Closing costs typically range between 2 and 5 percent of your loan amount. These fees are due in cash at the time of closing, or, in some cases, can be included in the loan.
Pre-qualification is always a good idea.
Taking the time to pre-qualify for a mortgage before you begin your home search will put you in a much better negotiating position: your pre-qualification assures the seller that the transaction will not be delayed while you secure financing.
You can determine how much your financial institution is likely to lend you by completing our Mortgage Calculator. This is your first step towards loan pre-qualification. You may also fill out a preliminary Pre-qualification form to start the pre-qualification process.
If you would like to learn more about financing options immediately, please contact me.