Important Things to do before purchasing a home
If one of your goals this year is to purchase a new home - then this video is for you. Hi everybody my name is Marianne Knowles and I am with Team Knowles Tampa Bay at Lipply Real Estate, let's get into it.
First and foremost let's talk about credit. If you are planning on getting a mortgage you are going to have to have your credit fine-tuned. So if you do need to speak to a lender I am happy to refer someone over to you. They are going to take a deep dive into your credit to see if anything needs to be repaired. Maybe you might need to increase your points or maybe you need to open up another line of credit. If you speak to someone early you have months to fix these issues to have it ready for when you are ready to purchase a home.
Secondly, make sure you are saving money for your down payment. There is a lot of misconception where people think that they have to put down 20% in order to have a down payment. The average buyer puts down about 6%. But that is still a big chunk of change to save. If you start early enough you'll have that time to purchase later.
The third thing - and probably the most important - is once you have spoken to a lender, you have done the things if you needed to do anything like repair your credit you need to get a pre-approval letter. It is so important. I have had so many customers in the past, fall in love with a home and they still have not gotten their pre-approval letter. And, by the time that they did get one, that home had gone under contract. So make sure you have your pre-approval letter. Think of it as the golden ticket. Because an agent like myself would not be able to submit your offer without the pre-approval letter. Because if we did your offer would not be taken seriously. When the pre-approval letter is submitted with your offer it lets the seller know that you have gone through the motions and that you do qualify for a loan.
CATEGORIZE YOUR LIST
And when you are looking for a home make sure you are categorizing what's important to you. I always tell my customers you definitely have to have your must-have list. There are going to be things that have to be a priority when you purchase this home. Maybe it needs to be close to work. Maybe it needs to be close to a certain school or maybe a certain neighborhood. So make sure you categorize the things that are important to you. You can also have those things that maybe you want. But we all know at the end of the day that finding the perfect home is really like a diamond in the rough. So as long as you categorize what you know you need, that's a good start.
CLOSE COMMUNICATION WITH YOUR LENDER
And lastly - this is so important - if you are very serious about purchasing a home and you are planning on getting financing and you do have a lender that you are working with it is very important to keep him or her in the know about all the things that you are doing. Even changing jobs or even if you are moving money around -- all of the little things you want to make sure that you are letting your lender know because if your offer does get accepted that lender will have to put everything into underwriting and you will need to explain why things have happened the way that they have. Why you changed jobs - why you moved your money around - why you are having gift money given for a down payment. So it's very important to have communication with your lender.
I CAN HELP
These are just a few of the things you need to know. It is early in the year, so you have plenty of time if you are planning on purchasing later. Most important is checking your credit and obtaining that pre-approval letter. If you have any questions in the meantime, please reach out. You know I am always here to help - otherwise, I will see you next time. Take care.
Marianne Knowles, REALTOR - Lipply Real Estate - 813-720-9201