It’s easy to want to jump into searching for homes, but there are some steps you should take before beginning to hunt for your dream home. Perhaps one of the most important steps to take is to search for the right mortgage and the right lender to finance your home. Loans don’t come easily and not everyone will be approved, so where do you start? Let’s take a look!
- Shop around – No lender is like another. Each will offer loans that have different interest rates, closing costs, etc. You’ll want to look into a variety of offers and make decisions like, do I want a fixed-rate or adjustable-rate mortgage loan? Seriously consider what works best for you and your finances.
- Get pre-approved – Meeting with lenders is all so you can get pre-approved, which shows sellers that you’re a serious buyer and have already taken the proper steps to prepare for purchasing a home. The lender will look into your assets, debts, income, and your financial past to decide whether you’re able to take on a loan and have the finances to back up making a home purchase.
- Get a home appraisal – A majority of lenders will want to make sure that the home you’re interested in is a sound investment. The appraiser will look into the current market value of your home, so they can make sure the bank is lending you the amount that the home is worth.
- Title search and closing – Your lender will want proof of purchase, which means a copy of the title that shows you’re the rightful owner of the home. This also involves hiring someone to look into the title to search the public records for any heirs insisting the property is theirs, liens, or any other problems. Once the title has been cleared, then you can close the deal!
The mortgage process is in place in order to protect everyone involved in the home buying process. The lenders want to make sure that they are lending money to a sound investment, and that you are purchasing a home that you can afford, is priced fairly, and has a clean title. If you have any other questions about the buying or selling process, please don’t hesitate to reach out to your friends at Sage Wilson Property Group. We’re here to give you the answers you’re looking for! Or, schedule a complimentary Home Buyer’s Consultation by filling out the short form below:
