What is my first step in obtaining a home loan?
Getting pre-qualified is your very first step. Youâ€™ll provide information on your income, credit and bills, and Iâ€™ll tell you whether you may qualify for a loan and a general idea of how much it might be for. Weâ€™ll discuss any questions you have about mortgages and financing too. Once I determine that, you should be able to secure financing from us. You can start interviewing a few real estate agents to find one you really connect with and who is familiar with the areas where you are interested in home shopping.
Once weâ€™ve decided how much home you can responsibly afford, this will make your home shopping easier (and less painful since you wonâ€™t waste time looking at â€” and falling in love with â€” houses that are out of your budget).
Itâ€™s important that we look at your total financial situation and decide what payments you will be comfortable with. Buying a home is the biggest financial decision most people make in their lifetime. Letâ€™s do it the right way.
Why should I buy vs. rent?
Paying rent is like lining your landlordâ€™s pockets â€” you pay while they build equity, write off the interest on their mortgage and deduct their property taxes. When you own your home, it is an investment. Over the long term, the worth of a home generally increases, which means your home may make you some money when you decide to sell, or act as collateral for a loan that can pay for debt consolidation, medical bills, college tuition or a fabulous vacation. Plus, your home is yours, to paint, decorate and renovate any way you like!
How much house can I afford?
When you come in to meet with me and bring the documentation we need to go over together, weâ€™ll be on the road to determining how much money you are qualified to borrow. We look at your income and bills, and then we plug those numbers into calculations called front-end and back-end ratios to determine the percentage of your income that can be devoted to your housing payment.
Weâ€™ll take a look at current interest rates, local property taxes and homeownerâ€™s insurance costs as well as the mortgage payment itself, as these are all factors in your housing costs.
Visit our Calculators page to try some different scenarios out. Then when youâ€™re ready, weâ€™ll get you pre-approved for a loan amount and you can begin looking at houses with your agent!
There are so many different types of mortgages out there â€” how do I know which one I should choose?
Youâ€™re right, there are a lot of choices. Each type of loan has different benefits and advantages, so itâ€™s important to discuss your financial goals with me when we sit down to review your needs.
It is my goal and my duty to fully educate you on the options available to you and to ensure you fully understand the type of home financing that you choose. Weâ€™ll consider your current financial situation, your short- and long-term financial goals and whatâ€™s going on in your life when we discuss loan scenarios. This may be the biggest purchase you make in your lifetime and I want to be sure you are fully satisfied with the decision you make and the guidance I provide.