Tips For Buyers

Break down your monthly bills using mortgage calculator to estimate your financial ability to pay mortgage.
Consider factors such as closing costs, inspection fees, loan fees, legal fees and emergencies when you wiggle your budget to buy a home.

You may have to pay when you submit an offer and at closing: Earnest money, usually 1% to 5% of the cost of the house, which you pay as a deposit on the house when you submit your offer. It’s your proof that you’re a serious buyer down payment, usually 10% to 20% of the cost of the house, which you must pay at closing Mortgage insurance, paid by borrowers making a down payment of less than 20%, Closing costs, usually 3% to 4% of the cost of the house, to pay for processing all the paperwork
You will pay monthly after buying: Utilities, Homeowner or condo association dues, Property taxes, City or County taxes

Research fixed-rate mortgages: your interest rate and payment stay the same for the life of the loan.
Research adjustable-rate mortgages: usually starts out at lower interest rates and lower monthly payments than fixed-rate mortgages, but your rate and monthly payments may rise and fall based on a financial index.
Research government mortgage programs including FHA mortgages: you may be eligible if you are not qualified for a loan because your income is low.
Consider your choice in loan terms: 30-year loans or15-year loans.

Get your credit preapproved.
Bring your preapproved credit record upon your first meeting with real estate professionals to get the highest priority.
Bring your employment certificate upon your appointment with the real estate professionals.

Research sex offenders and school districts.
Check the noise from traffic or neighborhood.
Meet neighborhood residents.
Visit at different hours to check unsavory visitors, industrial or landfill odors, lighting, and vacant lots that may turn to commercial lots.
Calculate the minutes to commute to your work and find alternative traffic options.

Set your preference of home condition such as where to buy, what square feet you want, and the maximum age of home you will consider.
Write your priority down in a paper and make your preference chart.

Find a broker or realtor who has vast data base of home market.
Do research to gather information of real estate professionals’ capacity to handle your concerns.
Deliver your preference chart to the professionals so that they can satisfy your requirements.

Visit the home that you want to buy to evaluate by your eye inspection: Switch on the stove, Run the faucets, Check the water pressure, Activate the sprinklers, Turn on all the lights, Flush the toilets, Turn on the air conditioning and heating systems, Test the remotes and venture into the closets, Look for signs of leaks.

Know your players such as your agent, your inspector, appraiser, title company, your attorney, surveyor or energy auditor who can promote or demote your successful buy.
Utilize the Better Business Bureau, Angie’s List or websites where service reviews are available.

Loan approval includes an appraisal of the property.
Be prepared to make your down payment, which is usually due several days before the close of escrow.
Schedule a professional inspection of the property. A home inspector will produce a report on the electrical system, plumbing and waste disposal, the water heater, insulation and ventilation, water source and quality, pests, foundation, doors, windows, ceilings, walls, floors and roof. You will review the inspection results.
Prepare a paid homeowner’s insurance policy to present at closing.
Get advice from your insurance company and your title officer who work together to put your policy in effect by the close of escrow. If you get your insurance agent involved early in your home-buying process, he or she may also help point out ways to help keep your insurance premiums lower.