Friday, March 12, 2010

Buying a Home....Where Do I Start?

Okay you have decided to begin your search for a new home...But where do I start? Today, I tell a lot of people I meet here are some basic steps to get you started on your home purchase.

First, get your credit report from all three major bureaus. If you are not checking your credit at least every once a year you can request a FREE copy of your report form all the major bureaus. You are going to want to make sure the information that is on all three of them is correct. If not begin the process to get it fixed. With banks tightening lending standards everyday you are best to go in armed knowing what is on your credit report.

Second, once you have your credit report and you are sure it is correct talk to a mortgage professional. Ask a lot of questions about the different programs that are available. I do this everyday and at least and am hearing about programs that I never knew existed before. So ask a lot of questions. Talk to two or three different ones. Not all banks have the same programs. Do not let them pull your credit until you are sure you want to use them and have decided to purchase a home.

Third, budget. Now you know your credit report is right and you have found a mortgage person and program you like; sit down and budget what YOU are comfortable with each and every month for a mortgage payment. Do not let the bank tell you what you can get. That is always the maximum. Tell them if I am comfortable at X payment how much house can I buy? A mistake I hear a lot from first time buyers is that they are approved for a mortgage at X dollars and then when they find out what the monthly payment is, they do not want to spend that much. So, do it in reverse.

Fourth, write down your wish list in a home. Sit down and say if I could get everything I want in a home here it is. (be realistic) and prioritize from must have to would love to have. Then contact a Realtor (if you are in t he Charlotte area please feel free to give me a call). Inform your Realtor what is the maximum price range you want to be and here is my wish list starting with must haves to would love to have.....Have your Realtor look for you. Your Realtor should be able to send you e-mails with homes that fit your needs and criteria to view.

Fifth, start out by selecting three to five homes you would consider owning. Go with your Realtor and take a look inside of them. Look at them ALL...even if you are absolutely in love with the first or second home you look at. Each home will probably have a characteristic different about it. I tell my buyers all the time. okay, but we have two or three more to look at. If you still want this one after that we can write an offer on it.

Sixth, Once you have selected a home you want to put an offer on, contact your mortgsage proefessional. Let them know here is the price range and taxes on the home. Have them give you a COMPLETE payement. Make sure it fits into your budsget then make your offer.

These six steps should help you out as you begin that search for a new home. This will allow you to enter the market armed and prepared. I have always said that my best client is an educated client. Between these steps a good mortgage professional and a Realtor who will take the time to give you information you can be well on your way to home ownership.

Dave diCecco

Realtor/Agent

www.davedicecco.com

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