More times than not, home buyers jump right into the home buying process ill-prepared. Maybe they see an open house sign. Or maybe their co-worker is buying a home and they want to be part of the action. In any case, a little research and preparation can make a huge difference in the success of your home-buying experience.
Here are a handful of tips to consider if you are planning on buying a home.
- Talk to a mortgage professional months before you plan to buy. Talking to an experienced professional can help you with countless items such as: maximizing your credit score, preparing ample savings in your bank account, the education on and avoidance of costly fees, the avoidance of costly actions many people make that hurts their chances of receiving financing. You will want to talk about a few loan programs that are best for you, and the pros/cons for each one. Try to keep an open mind. A true professional will make you aware of how to make your purchase successful. Lastly, ASK QUESTIONS! Your questions can only help make the process smoother as you work as a team with your mortgage adviser.
- Seek out a knowledgeable, hard working Realtor. Do your own research regarding the jobs and responsibilities of a good, seasoned real estate agent. Referrals from friends are fine, as long as you know what kind of service you should be receiving from your Realtor. Educating yourself beforehand is important to know what to look out for. Using the "Top Agent" in your area doesn't necessarily result in good service or a profitable transaction. Likewise, working with a newer agent doesn't equate to a lower quality outcome. You want qualities such as a strong negotiator, someone who will spend the time with you to explain each situation, and someone who is confident in their advice. There are part-time Realtors that give far better advice and service than some top producing Realtors, so ask questions upfront about service standards, and be ready to hold them to their word.
- Pay DOWN credit cards, but do not close them. Many people receive BAD advice to pay off and close their credit cards. This is BAD for your credit score. Likewise, paying off collections or judgments right before buying a home could have serious negative consequences for your credit score and for your chances of financing a home. It sounds counter-intuitive, but it happens fairly often. Many times it happens because a potential buyer received bad advice from a friend or an unaccountable mortgage/financial adviser.
These are just a few tips. To reitterate, make a successful home buying experience by educating yourself a little, and by sorrounding yourself with professionals that know what they are doing. It can take some effort to find the right people to work with, but it is well worth it and there is a good chance you will use that professional for life.
Steve Kappre is a Certified Mortgage Planner with Treasury Mortgage, a subsidiary of Aurora Financial Group, serving all 50 states, focusing on Gloucester, Camden, and Salem County, NJ. Steve specializes in;
• All areas concerning First-Time buyers; First-Time Buyer mortgages, grants, down payment assistance, tax credits, police and fire loans, rehab loans for first time buyers, and more.
• Reverse Mortgages for seniors age 62 or older.
• Equity Management strategies for high-end homes and high net worth individuals.
Contact Steve Kappre directly at 856-419-3561 or at www.stevekappre.com