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10 Steps to Trouble-free Homeownership

 

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 seller. 

 

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 home. 

 

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.