You are thinking of buying a home! This is a very exciting step! Here are some tips to help get you started:
Unless you are in a position to buy a home for cash, you will need financing. If you plan to get a mortgage, it’s best to get pre-approved by a reputable local lender. We encourage buyers to talk with more than one lender to be able to select the individual they feel most comfortable with. Financing is a major step in the process, which controls a lot of the course and outcome of a transaction. Who the lender is can even affect a seller’s decision of whether or not to entertain/accept an offer.
Feel free to contact us at (517) 962-8803, we’ll be glad to assist. We can provide a list of good local lender contacts to help you get started with the buying process. Give us a call, you can also click here to contact us!
A good lender will take time and work with you to establish what type of loan program is likely the best option for you, taking into consideration your lifestyle and financial goals, aside from just your income, credit rating and current interest rates. Pre-approval lets you know what price ranges to consider in a home. You’ll know right from the start what you are able to afford, of course you will need to determine what type of a monthly payment you will be comfortable with, based on your lifestyle. You need to be comfortable with an estimated monthly payment amount, costs of insurance, taxes, and other expenses that are associated with home ownership. Based on reviewing and verifying information, your lender will issue a pre-approval letter showing that you are a qualified buyer. You will be well informed and ready to look for your new home with your real estate agent!
Knowing what type of financing a buyer qualifies for helps us as agents to search for homes in the most effective way, buyer pre-approval needs to be in place. Having this knowledge enables us as agents to search for homes that are likely going to meet certain financing guidelines & requirements, which may apply depending on the loan program.
When making an offer, a pre-approval letter shows that you are in a strong buying position. You’ll want to be ready when you find the home you want, there is nothing more frustrating and disappointing than to look at different homes, to find one you really like, to then have to wait to get pre-approved (a lender will need time) and to find out after all of this, that you may not be able to purchase a home at this time at all, and/or you could be missing out on the opportunity all together, as someone else may have made an offer on the home in the mean time, who was indeed ready & pre-approved.
Some sellers are very conservative and even require to be provided with pre-approval letters prior to granting showing appointments to see their homes to ensure the prospective buyers are qualified.
Feel free to contact us, we are here to help and would enjoy the opportunity to assist you with your home buying experience to ensure a smooth transaction from start to finish.
Randy and Yvonne
Randy and Yvonne Hoyt
Howard Hanna Real Estate Services