Should i take with a bank before looking at homes:
The purpose of the pre-approval process is twofold:
First, the lender wants to know whether or not you are qualified to borrow money from them. So they will review your credit score, your debt level, your current employment and income situation, and other aspects of your financial picture. That’s the first reason for getting pre-approved by a lender.
The second purpose is that it helps you understand what your price range is, in terms of the mortgage amount.
You can probably already see why it makes sense to do this before you start looking at houses. But let’s dig further into it all the same…
In most scenarios, it makes sense for home buyers to get pre-approved for a mortgage before they start looking at houses. There’s a certain logic to doing things in this order. After all, the pre-approval process helps you focus your search on the types of properties that you can afford, based on the lender’s willingness to lend.
With that being said, the pre-approval review process is no substitute for old-fashioned budgeting. You should still take a good hard look at your incomes and expenses to determine how much of a monthly payment you can afford. The pre-approval process comes into the picture later, when you’re actually ready to start shopping for a home. You should already have a budget in mind when you move onto this next stage.
Should I buy or continue to rent?
The decision to buy or rent isn’t simple. There are many different factors to consider including your financial resources, lifestyle, family needs, investment goals and appetite for risk. Doing research and talking to an expert is a good idea. To assist you with your decision speak with one of our specialists.
I own a home, should I buy another before selling my current home?
When you’re trying to sell a house while buying your next place, things can get complicated if your closings don’t align or it takes longer to sell or buy a house than you anticipated.
Buying and selling homes simultaneously can be stressful especially if you need the money from your current home’s sale to put toward your new home. Take heart, though, because a little planning and working with a savvy real estate agent can help make both transactions run more smoothly. To assist you with your decision speak with one of our specialists.
Do I really need a Realtor when buying a home?
A good real estate agent will also have access to neighborhood knowledge including comparable sales, local history and neighborhood demographics. They should be knowledgeable about the current market and set realistic expectations for your home buying timeline and price point.
Generally, the buyer and seller may have representation from separate agents. You can choose to use the seller’s agent; however, they may not have your best interest in mind. A seller’s agent has a fiduciary duty to the seller. Oftentimes, they can claim dual agency, meaning they claim to represent both seller and buyer in a home transaction. However, at the end of the day, their primary duty is to the seller. For this reason, it’s wise to hire your own agent to represent your interests in the transaction.
A buyer’s agent, on the other hand, will have fiduciary duty (legally mandated obligation) to you, the home buyer. This means they have a responsibility to act in your best interest, making sure your private information is confidential and accounting for all documents and funds in the home transaction.
