Buying your first home can be both an exciting and nervous time. We will help you through it!
Where do you start?
Your first house is a big deal. You may lose some sleep. You may lose some hair. We were there once ourselves and understand what you are going through. One thing we can promise you is that you will be so excited to have those keys handed to you in your very own home!
Your first step is to make a budget. Write down all your current and future expenses as well as your current and future earnings. Can you afford it? Now, look at how much you have to put in for a down payment. Can you afford that too? Once you have your numbers, we will give you several references for local lenders to talk to so you can understand what it takes to buy a home. If everything makes sense and you are comfortable with the payments, your lender will ask you to fill out a loan application and ask you to provide financial information like bank statements, tax returns, and verification of your income. They will also run a credit report. Once everything checks out, your lender will provide a pre-approval letter so we have a clear idea of how much home we should comfortably be shopping for.
Setting up the right Search Engine
Once we know your budget and you have your pre-approval letter, we can now set up a personalized search engine. This is where we will put in your parameters. Things like bedroom and bathroom count, cities and areas of interest, lot or yard size, and any other specifics that are “must haves” for your future home.
Keep in mind, your first home is usually not your last home. Sometimes, budgets can change your “must haves” to “like to have”. Remember, this may be just a stepping stone to getting your eventual dream home and that is OK! This doesn’t mean we settle, but it may mean there are compromises that may be made along the way based on the market and the inventory available to us.
Remember that this is not a race
There shouldn’t be any pressure to buy a house. We take as long as need be and see as many homes as it takes so you can make the best decision before writing an offer. Yes, interest rates can change, and historically, home prices do go up. Waiting too long can certainly cost you, but that is not a reason to rush into something you don’t want or you can’t see yourself happily in for at least a few years.
We are together throughout the entire process
Guidance is key to feeling good about your home purchase. Taking things slow so you clearly understand the process will not only make the purchase experience smoother, but also more enjoyable. We are also there for all your inspections, the appraisal, repair bids, and all negotiations with the other side. Don’t worry, we will give you recommendations for everyone you need along the way.
We are strong negotiators
What if you can afford the monthly payment and have enough for your down payment but are short money for closing costs? What if buying the interest rate down a bit could help get you a larger house or help you get some upgrades done faster? That’s where a seller credit may be possible.
A seller credit is usually asked for when the offer is submitted. It is a way to have the home owner assist with money towards your closing costs. Sometimes it is negotiated after we are already in contract when inspections turn up something unexpected. In either case, it may allow the buyer to come to the table with less money at the close. Depending on how many offers are coming in, and the motivation of the seller, credits at the close of escrow are becoming more and more common.
Let us help you save money
We know that buying a home is expensive and we want to help. Below are a list of services we can help with to make your home buying experience more affordable.
- Inspections – When you buy a home, there are typically 3 inspections you will order – a Pest Inspection, a Home Inspection, and a Roof Inspection. Depending on the size of the home these inspections are usually over a $1000 for all 3. There are other inspections you can elect to do depending on the property, but those are the most common and are paid for at the time they are performed. As part of our service, we will reimburse you through a credit at the successful close of your escrow with us up to $1,200 towards the inspections you have paid for. Keep in mind that if you do inspections on a property but decide not to move forward with the purchase, that expense is not reimbursed.
- Home Warranty – Home warranties offer some peace of mind that for the first year that you own your home and most items are covered if they fail or breakdown. There may be a deductible and we want to make sure you pick the right plan, but as part of our service, we pay for the first year’s plan up to $450.00. The nice thing about most plans is that if you decide to keep it, you can always renew it on an annual basis.
- Lender credits and waivers – Most lenders may have some incentives we can ask for as well when we are shopping for the best loan for you. Sometimes they may offer to waive the appraisal which can easily cost $500-600. Other times, they may offer a credit themselves to lower your interest rate which lowers your monthly mortgage payment. We will make sure you are using the best lender for your circumstances and also offers something of value to save you money.
Call us today and let’s talk
It is never too early to learn about your options. We are happy to sit down and talk about everything from timing to options. Simply fill out the contact information below and let’s plan your future together.