Your first step in owning a home SHOULD begin at financing. But it rarely does. Your first step in owning a home usually begins at Dreaming - which is OK as long as financing is a close second place. Because eventually, your dreams have to give way to practical affordability.
Much much home can you Afford?
This is the fundamental question: How much home can you afford given the unique combination of income, assets, liabilities, expenses, and life-realities that are yours?
This is very different for each person, so as soon as is feasible, you need to meet with a qualified loan officer who will take your financial profile and pre-qualify you for a mortgage.
This pre-qualification is your first idea of how much house you should search for. And although a pre-qual is on the same as an approval, it's a good idea of what the Bank will lend to you if you bring an executed contract to purchase a home to them today.
With a contract in hand, you can approach the lender and ask them to put their money where their mouth is. The lender will need to pull your credit and get a bunch of verification documents from you so that you can prove your income, assets, liabilities, and expenses.
The lender will also want to confirm that you have funds to close, prove clear-title with a title-agent, and make sure all contract contingencies (inspections, etc) are resolved before they complete your loan file and schedule a closing date.
If you're ready to buy a home, it's time to arm yourself with your team: your HomeProp Agent, your lender, your inspector and your title agent. With this team ready to play, you're just a few months from the home of your dreams.
Contact us to learn how we work with your Lender to make sure your purchase goes smoothly!