Are you ready to transform your home ownership goals into reality?
1) Know your credit score
Need help? Get a list of local lenders to help make it happen for you.
1) Declutter and Organize
Ask for an in home preview and listing presentation.
Judy McCloskey, Realtor
Buyers who look at homes before knowing their budget are recreational window shoppers without purpose or means. Without substantial data, how is it possible to determine whether they can afford to buy a house or what their price range is? These are not buyers at all- yet.
In this Northern Virginia market, some real estate agents only offer home tours to Buyers who provide a copy of the lender's pre-qualifying letter. I am one of them. Why waste the seller's time with unqualified buyers and recreational window shoppers?
So, how do you become a qualified buyer?
1) Know your household budget
2) Know your credit score
3) Decide on a reasonable dollar amount to commit towards a monthly mortgage payment
4) Pre-qualify with the lender of your choice.
If you the lending institution says you qualify for an amount in excess of your household budget and comfort level, stay on point with the household budget. You want to be able to celebrate a loved one's birthday.
If your dream home requires over-extending financially, then understand that you are running the risk of turning a dream home into a financial nightmare.
To transform home ownership dreams into reality, stay on point financially and buy within your means. Buying within budget is smart.
Learn about the many types of mortgages and find one that best suits your household budget and mortgage needs. An independent mortgage broker can show you all the loans you qualify for and explain their differences.
If you need a list of local lenders, I'll be happy to provide it upon request. Lender consultations are free of charge as of this writing (June 2019). It can be one of the best uses of your time. Topics to address with your lender can include how to:
- improve your credit score
- strengthen your financial position
- reduce down payments
- reduce the total cost of the loan with additional payments towards principal only
- focus on homes within your financial reach
- and more.
Here are a topics to discuss with your agent and your lender:
And a few to ask yourself:
Discuss candidly your budget and home ownership goals. To do this, know the amount your household budget can support for a mortgage payment- and home maintenance. If you know in advance what your household budget will allow, that's a great starting point for the lender to find a loan that works for you.
Loan pre-qualification starts with a phone call.
Getting a lender's pre-approval letter identifies you as a "ready, willing and able buyer" in the eyes of the seller, and facilitates the process of submitting an offer. In a highly competitive market (low inventory, multiple offers, Seller's market, etc) this one step places your offer above the rest.
Stay within budget and enjoy the home you buy!
Are you ready to begin? Contact me for a list of local lenders and schedule showings.
(c)2018 Judy McCloskey, Realtor VitaBellaProperties.com
Revised June 2019.
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