The Buying Process

Are you mentally, physically and financially ready to buy a home? How's your credit? Be prepared to for the up keep and the things that come along with home ownership. Once your ready determine the market. If you are in a buyer's market - where there are more homes for sale than there are people to buy them, prices are probably stable or falling. If you are in a seller's market - where there are more buyers looking for homes than there are homes for sale, prices are probably moving upward. 

Buying a house is generally a good investment. . The U.S. Tax Code lets you deduct the interest you pay on your mortgage (tax breaks). Real estate has long-term, stable growth in value (Appreciation).  As your home increases in the value, it creates Equity for you.  The home is yours to decorate any way you want and benefit from your investment for as long as you own the home (Freedom). It also gives your family Stability.

You'll want to research the mortgage loan options as there are several we have listed some of the most common ones 

FHA - has lower down payment requirements and is easier to qualify for than a conventional loan. FHA loans are excellent for first-time home buyers because, in addition to lower upfront loan costs and less stringent credit requirements, you can make a down payment as low as 3.5%

 FHA borrowers must pay a mortgage insurance premium (MIP), rolled into their mortgage payments  

VA- this allows veterans and service people to obtain home loans with favorable terms, usually without a down payment. In most cases, VA loans are easier to qualify for than conventional loans.   

Fixed Rate- a home loan that has a fixed interest rate for the entire term of the loan. 

Conventional -are not insured or guaranteed by the federal government, stricter requirements for a bigger down payment, higher credit score, lower-income to debt ratios, and potential to need private mortgage insurance make them the most difficult to qualify for.

Adjustable Rate - is a home loan with an initial rate that’s fixed for a specified period, then adjusts periodically. 

Once your certain your credit score is at least a 580 you'll want to research which lender will be the best fit for you. Ask your friends, family or realtor for a referral and compare rates. Here are a few places to start with.

• Credit unions: These member-owned financial institutions often offer favorable interest rates to shareholders. And many have eased membership restrictions, so it’s likely you can find one to join.
• Mortgage bankers: They work for a specific financial institution and package loans for consideration by the bank’s underwriters.
• Correspondent lenders: Correspondent lenders are often local mortgage loan companies that have the resources to make your loan, but rely instead on a pipeline of other lenders, such as Chase, to whom they immediately sell your loan.
• Savings and loans: Once the bedrock of home lending, S&Ls are now a bit hard to find. But these smaller financial institutions are often community-oriented and worth seeking out.
• Mutual savings banks: Another type of thrift institution, like savings and loans, mutual savings banks are locally focused and often competitive.

If your single this will be easy since your the shot caller but if you have a family or a business partner you'll want to be sure everyone is included. Sit down and determine what you need vs what you want. Do you want to buy pre-existing or build new? How many bedrooms, offices and bathrooms? Basement? Library? Conference rooms? One level or multiple levels? Dining room or eat in kitchen? Break room? Fireplace? Big Yard? Garage? Pool? Location? Make a list and prioritize whats most important and what you cant live without. Then your ready to start your search!