The Most Important First Step in Your Home Search

Buying a home is an exciting time.

Most people start searching online to find available houses and the excitement just increases. It’s easy to fall in love with something you see at this stage and request a showing. For many, the reality sets in when discovering they are not fully prepared.

Before looking at houses, buyers should get comfortable with a monthly payment amount they can afford and also knowing the size of loan a lender will approve. Along with your anticipated down payment amount, these factors will determine the price range of homes you should be shopping for. Buyers can waste a lot of time looking at homes they will not be able to afford. You can also get set up for disappointment if you find that you have to look in a lower price range than you had been searching. Additionally, most real estate agents don't want to show houses unless the potential buyers can provide evidence that they have already been approved for a loan. Similarly, sellers and their agents are not likely to consider offers that not accompanied with a pre-approval letter.

The most important first step is to contact a reliable lender with the goal of getting pre-approved for a mortgage. During our initial consultation, my team will describe the process of getting a loan. First time homebuyers may not be familiar with the process, but even experienced homebuyers may discover that the requirements have dramatically changed since their prior home purchase. My goal is to make sure borrowers are educated on all the steps and requirements necessary to obtain a loan in the current environment.

After understanding your goals, we go over the wide variety of loan programs available and help you discover the loan that works best for your circumstances. We also indicate the prevailing interest rates, the amount of loan you can quality for, down payment requirements, and the monthly payment amount for different loan amounts. We also work backwards from the budgeted monthly payment to project a loan amount that will fit with your budget When we have reviewed all of the documents you have submitted, completed a credit check, and successfully passed through underwriting, we will issue a pre-approval letter.

If you don’t presently quality for a loan, or a loan large enough to accommodate the home you’d like to buy, we will give some guidance on the steps to take so you can quality at the earliest possible time.