23 Nov Top Home Shopping Tips
While the homebuying process can feel intimidating and buying a home is likely the largest purchase you will ever make, it can be a very fun and relaxing time with the proper preparation. At Fairway Independent Mortgage Corporation Montana, we want to help make your mortgage loan process a stress-free time so that you are able to enjoy the excitement of your home purchase! These home shopping tips are a great start on the path to your new home.
Learn Your Credit Score
Homebuyers who use online budgeting apps such as Mint may already know their credit score, but for those who do not, finding out is an important first step. Free services such as Credit Karma offer a copy of your current credit report and credit monitoring updates. Paid services (such as myFICO Ultimate 3B Credit Monitoring) that typically include a subscription and monthly fee provide more details on the report and specific scores, depending on the type of company that is using your score to determine lending. Though you don’t necessarily need a credit score of 640 or above, which was formerly the standard to qualify for certain programs, it is important to know where your score is in case you need to take steps to improve your number before diving into your home search.
Understand the Process
A general review of the homebuying process is very beneficial to getting started. Researching market conditions and being prepared with all the documents you will need throughout the process can improve your overall experience. If you have any questions that you aren’t able to answer through personal research, make sure to write them down so you can ask your agent and lender.
A pre-approval letter comes from your lender, based on your current income and any debt you have accrued. Having this letter in hand greatly improves your standing in the eyes of the seller and could potentially give you an upper-hand when the seller is making their decision, if other prospective buyers have not taken this step.
Know Your Budget and Stick to It
Since you’ll want to act quickly to secure the purchase once you find your dream home, you’ll need to make sure you’re prepared budget-wise. Your mortgage payment may not be equal to your pre-approval amount due to expenses such as property taxes, mortgage insurance, home inspection and other closing costs. Factoring your additional costs into your budget will help you be fully prepared to make an offer.
Trust Your Team
Your real estate agent and loan officer are here to help make sure you have the best experience possible throughout your journey together. Do not be afraid to ask questions and also know that no question is too simple. Your team would always prefer that you feel confident in your purchase.
We would be honored to be a part of your trustworthy homebuying team. Visit our office locations today to get started!