10 Steps to Trouble-free
Buying a home is quite the
process, and you may need some tips to help you get through it all. There are ten steps that may be helpful to
you in getting through the home buying process.
1. One of the most important things you should do is
make sure you are ready to buy a home; really ready. Your job history should go back at
least two years and you should have a stable, steady income. Your down payment should already be in the bank,
and should have been there for at least a few months. Your debt to income ratio needs to be fairly low, perhaps
having your bills take less than thirty percent of the income you bring in.
2. Getting the right realtor could be as important as
getting the right house and you will want to find one who can work with you and really help you find exactly
what you are looking for. Find a realtor whose commission is reasonable for you to pay. Communication is key, so
talk to them and make sure they answer all of your questions.
3. You will need to be pre-approved for a loan, and you can do this through your current bank.
You will need to ready in case you are required to qualify before you can see the house or get your offer
accepted. The formal loan process will take place after you find the house you want.
4. Start looking! House hunting can be a fun time to
weed through all the different possibilities and options that are out there and find the perfect home! Make sure
your realtor is finding houses for you that are in your price range. A realtor will have access to a wide range
of homes, so let them start working!
5. When you have looked at everything that is out there, you can decide on a home. Look at what
you will easily qualify for and at homes that you will easily be able to make the payments on. This way you will
not end up later with a bad credit mortgage.
6. Begin your loan application with your loan officer, which might not take too long since
you are already pre-approved.
7. After you apply for the loan,
make an offer on the home, which your realtor will write up for you and give to the home
8. Make sure and get insurance that
will cover the replacement value of the house. Shop around to see what insurance will be the best for you in
your new home.
9. When the seller accepts the
offer and your loan is processed, head to the title company to close the deal. Whether you are purchasing a new
home or doing a mortgage refinance closing, it will typically be at the title company so the agent can help you
understand what you are doing, exactly.
10. Be sure you are starting with an
affordable payment so you don’t end up having to foreclose on your dream home. It’s possible to get mortgage
refinancing in the future if the rates go down, but don’t count on it because you never know if they might go
up, instead. Always make your payments on time so that you will be able to avoid any problems with keeping your
Following these ten steps could make your home
buying experience a lot quicker and easier. When you understand these ten steps, you will be better prepared to
go out and purchase a home that will fit into your budget and be the perfect home for you. Be sure to ask lots
of questions so that you are not left asking even more questions when all is said and done.