First Time Home Buyers
While the idea of purchasing your first home is an exciting prospect, you have to be very sure that you are ready for the responsibility. There are a few questions you should ask yourself before deciding on such a large purchase.
Are you mentally and emotionally ready?
The process of purchasing a home can sometimes be a long and daunting venture that you really need to prepare for. There may be times where things will not go exactly how you envision them, but with our help the process will be much easier and to your liking.
Are you financially ready?
This is the most important thing to consider before buying a home. If you are not financially stable and able to make your mortgage payments on time every month, then you should put off being a homeowner until you are more equipped. Assess all of your monthly expenses and payments in detail so that you are able to determine if your mortgage costs can fit your budget.
Are you ready for home maintenance?
Repairs, renovations, and upkeep are a natural part of owning a home. Maintenance costs will fluctuate annually, but will always depend on a variety factors like the size, structure, and age of your home. You will also need to educate yourself on home procedures and systems, so that you know what to do in case of an emergency.
Once you have decided that purchasing a home is right for you, the Mortgage Winners team will give you the inside scoop and know-how capability on mortgages so that you can feel confident in beginning your home buying journey.
This step-by-step guide is a detailed list outlining the process that will take place when buying your first home:
1) Hire Us
Many people don’t realize that hiring a mortgage broker is the best thing you can do to attain the best rates and mortgage solution possible. With our insider tips and tricks, we can find deals that might not be readily available to you. We will assess all your finances and distinctive requirements so that we can grant you the best mortgage strategy. Once we find you the right lender, we become the intermediary between you and that lender. Hiring a mortgage broker is a crucial step that will save you an immense amount of money, time, and effort.
While getting pre-approved does not guarantee getting approved for a mortgage, it is necessary so that you have an idea of how much of a loan you’re most likely to get. A lender will scan over your financial status, amount of down payment, etc., and calculate an estimated loan amount based on all of these factors.
However, make sure you understand that the estimated loan amount given to you is just that – an estimate. If you are not happy with the amount you are pre-approved for, your mortgage broker can work to give you an amount closer to what you want. When it comes to mortgages, negotiating is the number one key element that can make it or break it for first-time homebuyers.
3) Calculate Up-Front Costs
Forecasting and accounting for up-front costs in the early stages of planning will make sure everything goes smoothly. We don’t want you to experience any undesirable surprises, so we are telling you in advance that costs can rack up to quite the hefty amount. From the down payment, deposit, and appraisal fee – to paying a moving company on closing day, being prepared is necessary for an effortless transition.
4) Contact Professionals and Go Home Shopping
You have already hired a mortgage broker, but there are several others you may want to contact. Putting together a team of professionals who know what they’re doing will guarantee a flawless process. You may need an appraiser, land surveyor, building contractor, lawyer, lender, and realtor. These experts are qualified to help you with very specific aspects of purchasing a home, and can answer all of your questions so that you are not left in the dark.
All of these experts can help you decide on a home that’s right for you, but a realtor is best able to help you do this. Firstly, you and your family should decide on the size, location, and house build that best suits you, while simultaneously accounting for any future lifestyle changes. Factors you may want to consider are how big your family will grow, or what direction your career is most likely to take. Analyzing all of these aspects with your realtor will help you make an informed and correct decision when shopping for your home.
5) Make a Deal
After your vendor accepts your offer to purchase, go to your lender so that you can complete your mortgage application. This will be where you officially decide on the payment details. If you have hired a mortgage broker, they will strictly deal with your lender so that the best mortgage solution is decided on. This is the step where the length of your amortization period, type of mortgage, and payment schedule is finalized.
Now that you have successfully completed all of these steps, just wait until closing day. Closing day is the day where you take legal possession of your new home.