FAQ for the First Time Home Buyer

Have you ever thought about buying a home, but you weren’t sure how to get the ball rolling on the home buying process? Well, there’s never been a more perfect time to start the process. Right now, interest rates are low, and we’ve created this blog to help walk you through the process of buying a home.

Find an Agent:

Working with an agent will help simplify this process for you. Your agent will be there to assist you with securing financing, and they will be there for you through the entire process. The best part is that hiring a buyer’s agent costs you nothing.

Get Pre-approved:

The first step to buying a home is getting a pre-approval. Getting pre-approved will help you budget for what you can afford. During this part of the home buying process, you will work with a lender who will look at several factors including, income, debt, savings and assets. An approval letter allows you to make an offer when you go out and look at homes.

Find Your Home:

This part of the process involves searching for your home. Narrowing down your options before going to look at homes is usually a good idea because it can keep you from feeling overwhelmed. Once you have a small list of houses you’d like to see in person, contact your agent, and they will show you the homes.

Make an Offer:

Deciding how much to offer can be a surprisingly difficult task, but this is one of the steps in this process that will be made easier with an experienced agent. Agents will be able to compare recent sales in the area to help you come up with a fair price to offer, and they will understand the other parts to an offer, which go above and beyond the offer price.

Complete Home Inspections:

Any home inspections should be completed after the offer has been accepted. There are several reasons why having a home inspection done is a good idea. Home inspections can reveal damage that could be big ticket items. This allows for the buyer to negotiate seller repairs.

Complete Mortgage Application:

This is a step where you’ll mostly be working with your lender in order to provide them with the paperwork they need. The best way to get through this process quickly and painlessly is to give your lender the paperwork they require as soon as you possibly can.

Complete Appraisals:

This is when the bank sends a third party to appraise the property. In this step, they will confirm the purchase price of the home is reasonable and the home itself is safe. This step may result in repairs having to be made on the home before moving on to the next step of this process.

Close on Your Home:

There will be a lot of paperwork involved in this step, and it will be important to know what you’ll need to bring to closing. Your real estate agent will help you through this step.

Move In:

Congratulations! You’ve made it through closing, and now it’s time to move into your new home. 

If you’re excited to start the process outlined in this blog, call today to schedule your free buyer’s consultation: (417) 812-5055 

(417) 883-4900

Check out these great homes, which are currently on the market!

http://bit.ly/homesonthemarket

FAQ for First Time Home Buyers

Where do I start?

Holt Homes Group offers a free buyers consultation.  We go over what to expect when buying a home including the following:

      Developing your criteria

      Pairing you with a lender

      Going through the contract

      Getting you to the closing table

How much does it cost to hire a real estate agent?

It doesn't cost buyers anything to work with a real estate agent! The seller pays the commission costs for agent representation. 

Do I have to have good credit to buy?

We work with some of the best local lenders in town, and we can pair you with someone who can help guide you in the right direction. You don't need a 740 Credit score to get a great loan.

How much money do I need to have for a downpayment?

With many different loan options available, you could need 0-10% of the sales price. Downpayments vary according to a lender’s requirements, and the type and length of the loan.  

What is the difference between pre-qualified and pre-approved?

Pre-qualification:

Getting pre-qualified for a mortgage gives first-time homebuyers an indication of how much they might qualify to borrow. This mortgage amount is not guaranteed because no information has yet been verified. A letter from the lender may only state you are likely to be approved for a mortgage.

Pre-approval:

Pre-approval for a mortgage is based on a real credit score, and it also puts real estate agents and home sellers at ease. The buyer has more to offer when making a deal, and in a competitive market this can be a definite plus.

Can I buy new appliances and furniture once I am under contract?

No, it’s very important you wait until you’ve closed on your property before taking on any new debt. Overspending or taking on new debt can throw a wrench in a potential approval. Make sure you don’t make any large purchases, apply for new credit accounts, or close any existing credit accounts during this process.

When is my first payment due?

Depending on when you close on your new home, you typically make your first house payment no more than 60 days following. For example, if you close on the first of September, your first payment will be due on the first of November.