Congratulations! You have decided to buy a house.
For most home buyers, the first step is to start searching on-line for a house that you like. Then they drive all over town looking at neighborhoods and call a bunch of different real estate agents that have various houses listed for sale to ask a bunch of questions. Sometimes they even write up an offer with the listing agent or the builder representative (who isn’t working for their best interest). Let me tell you – there is a BETTER WAY TO BUY A HOUSE!
BEFORE YOU VIEW HOUSES FOR SALE
1. Hire a Realtor to represent you through the home buying process. Consult with your Realtor about your housing needs such as what are you looking for in your home, how long do you plan to live there, etc. Make sure to complete a Buyer Representation Agreement, so that you know they are working with your best interest in mind.
2. Contact a mortgage professional and get pre-qualified for a loan. This process will allow you to determine the correct price range for your budget. Generally, you can afford a home equal in value to between 2-3 times your gross income. Your Realtor can recommend some great local mortgage sources. You should do this NOW, even if you are not planning to buy a home for several more months, as your mortgage lender could give you some great advice for preparing financially for home ownership. They may give you advice on saving for a down payment or lowering debt – but it will be specific to your individual needs.
3. Receive a prequalification letter from the mortgage professional. This letter will be submitted to the home seller when you find the perfect home. Your letter needs to be somewhat current when you make an offer, so this part of the process may not happen until you are ready to actually make an offer.
4. Determine that you have enough money saved for your down-payment and closing costs (including pre-paid insurance, taxes, title fees, appraisal, and more). This is another benefit to talking to a mortgage professional EARLY in the process.
Want to know the next steps?
Want more information about a better way to buy a house?
Want to see the all-inclusive, accurate list of homes available for sale in the DFW area?
Check out The North Texas Top Team Realtors – you will be glad that you did!