Summer is over and your thoughts turn to buying a home, a different home or a new one. Perhaps, it is your first home. What should you be thinking about?
- Do your research. Some call it homework. No matter what, be sure to do it. You can start by reading each of the following articles and information contained on MetFund’s web site. We are pro consumer. We believe borrowers deserve to be represented in their mortgage transaction.
- Understand the process and what it takes to get a mortgage request approved. Make sure you do the up-front work.
- Review your financial situation with a knowledgeable loan officer who will work for your interests. Understand the difference between prequalification and a conditional approval. During your conversations with your mortgage professional you may feel that you are being asked for a lot of information and a few unusual questions. This process of digging deep and knowing you and your situation only helps us serve you better when buying a home.
- When buying a home consider your financial limits. Think about the monthly cost and not the list price of the property. Dismiss the notion of price range for shopping. Instead, have your mortgage professional calculate the monthly costs and then go review available homes. Granted, price can be converted into a monthly cost, but be sure to determine that monthly cost first taking into account all possible contingencies.
- Understand the mechanism and possibilities when selecting the interest rate and cost or credit for your new mortgage. Knowing how mortgage rates are priced is important. It may seem complicated at first, but with a few examples your loan officer should be able to give you enough information to make an informed decision.
- When you finally do get out and start looking at homes, know that you and only you will be able to tell which house is right for you. Your friends and family will weigh in but remember they are not buying the home. You are and the right property will speak to you.
- Once your decision has been made and you move forward with a purchase offer, don’t second guess yourself. You may always wonder if there is a better deal to be had. What is more important to you? Is it the better deal or the house that appeals to me. All I can say is that you’re presumably buying your home to live in – you better like it.
- Finally, understand the concept of conditional approval. The same is true for sports competition and mortgages, too – it’s not over until the fat lady sings. The end comes when the loan funds and the deed is recorded. So, be aware of the things that can derail a transaction prior to its completion. Again, if you are not sure consult your mortgage professional. They will tell what issues could affect the funding of the conditional mortgage commitment.
And if you happen to be looking for a property in Virginia, particularly Northern Virginia here are a few more tips for finding your dream home.