Should you Hire a Buyer's Agent?
Hiring a buyer's agent can save you a lot of time and headaches. A buyer's agent knows how to get you started in the buying process. A buyer's agent also knows what to look for in a home and can help you avoid potential issues during the home buying process.
It's important that your buyer's agent (1) knows the local market, (2) can help evaluate and secure the best financing for your situation, (3) knows how put together and negotiate the many aspects of real estate contracts, and (4) can monitor timelines in the contract. It's also important for your buyer's agent to put you in touch with reputable inspectors, tradesman and an expert closing attorney.
The Most Important, and First Step for Home Buyers
Before you begin the process of buying a home, you will need to know how much home you can afford. Often, this comes down to how much of a home mortgage you can qualify for. The best thing to do is speak with a mortgage broker, bank, credit union, or home lender that specializes in working with home buyers. Ask your real estate agent for lender recommendations!
Your offer will not be accepted without this! The pre-approval process is pretty simple; home buyers are asked questions about their goals in buying a home, their individual finances including how much debt they have, what their income is, and about their job history. At the end of the interview, you will be provided with an estimate how much you, the home buyer can afford.
Lenders to Avoid
It's important to find out what your lender's average days to close are, and what your closing costs will be. You will likely be in a competitive bid situation with your home offer, and days to close can be an important factor in a seller's decision on which offer to accept. Can your lender move quickly enough for you to be competitive in your purchase offer? Can you afford the closing costs?
Don't just use any online lender you find. Your buyer's agent should have relationships established with good lenders. Using a random online lender can be disasterous and can cause problems and un-needed stress, and in the end could cause you to lose the home you want to buy.
Steps in the Buying Process