Monday, 12 October 2009
So you found your Realtor now it's time to find a new home. Before showing you homes most Realtors will ask if you have been pre- approved. Realtors ask that question because it's the first step in the home buying process and you need to know:
1. Your ability to qualify for a mortgage loan. You don't qualify, you can't purchase a home or may need to look at someone co-signing for you.
2. How much of a loan do you qualify for...this is how we will set a price range. Example: $150,000 - $175,000.
3. What kind of down payment will you need? If you are looking in rural areas, but still in Bexar county you might qualify for 100% financing.
4. The closing cost associated with your transaction. On average closing cost will be 5%-6% of the sales price.
Keep in mind...When you find your dream home before you can write-up an offer you will need a pre-approval letter from a lender.
Next week: Asking the right questions when meeting with a lender.
