The Home Purchasing Process Here in the Copperas Cove, Harker Heights, Killeen and Kempner, Texas Simplified For Home Buyers.
In the old days, the buyers would go
house hunting and when they have found their dream home, then they go to
get pre-approved. Well, in today's market, that has proven to be
putting the cart before the horse and least effective method in locating
the home that are within the Your qualification .
Loan Pre-qualification: First step in
this process is to get loan approval if you are going to be financing
your home. Why? This way you will know how much of a loan you qualifies
for. Loans are granted on credit worthiness and the ability to pay
back the loan. In other words; The bank will run credit history to
determine your credit rating and
verify your employment status to ensure you have a job to repay the
loan. Once the lender has pre-qualified you, they will issue you a
pre-qualification letter. You will need this letter once you located a
property you would like to make an offer on.
Select One REALTOR: Second Step; You
want to select one Realtor to work with you in this process. Your
Realtor can Show, Sell or Represent you with New Built Homes or any
other home on the market that you want to preview regardless of the
company that have it listed. Information about Brokerage Services.
Always know who the agent work for. If you have a Realtor and has signed
a Buyer's Representation, you are your Realtor's Client not his/her
Customer. Remember, you want to enter all transactions with your own
Realtor. This service does not cost you anything. Buyer's Agents are
paid once the property sell from the seller's agent.
Determine Monthly Payment: Third Step:
Determine what you want your monthly payment to be if you are going to
be financing the home. If you are purchasing on a Veteran Administration
(VA) or Federal Housing Assistance (FHA) your monthly payment will
consist of your loan Principle, Interest, Taxes and Insurance (PITI).
Conventional may varies. Next write down your priorities; location,
schools, commute time to work, bedrooms, baths and other amenities that
are important to you. Meet with your Realtor or get this information to
him/her. They have the software program: Multiple Listings System (MLS)
that can retrieve all the properties available that meet your
requirement. Once you have reviewed and selected the properties you
want to preview.....your Realtors has the means to get you into each of
those home for your previewing.
Making An Offer To Purchase: Fourth Step:
When making an offer on a home, typically what monies will you need?
In most cases you will need Earnest Money. Earnest money accompany your
offer to show good faith to owner that you are serious about entering
into a negotiation with them to purchase the property. This check is
made payable to company where the closing will be taking place. Next is
the Option Fee: Option fee check is made payable to the owner for the
unrestricted right to terminate the contract by getting written notice
to the owner within a certain timeline (normally 7 to 10 days). Home
Inspection Fee: During the option fee time, this is when you want to
have the home inspected by a Licensed Home Inspector to determine the
overall condition of the property. This step give you peace of mind on
your investment. If you don't want to move forward with the purchase,
this is when you can exercise your option, pay the seller the option
fee, terminate the contract have your earnest money returned to you and
no longer be obligated to purchase the property.
Typically How long Does It Take To Close on A Home: The
timeline varies, all depend on your option period and other required
items that the lender and title company needs to ensure the owner can
transfer the property without any clouds on the title and you have
provided the lender with all required documents to be fully approved for
the loan. Thirty days should be used for planning purposes. Your
REALTOR should be able to provide you with a good estimated timeline
once you all write up your offer.
What is a One Dollar Move-In: A One
Dollar move-In is when the Buyer is purchasing the property on a VA loan
and the Seller has agreed in terms to pay all the Buyer's Closing Costs
and Pre-paid items.
What Are Closing Costs and Pre-paid Items: Closing
Costs and Pre-paid Items are charges that charge to the buyer by the
lender for processing buyer's documents establishing their escrow
account and granting the loan. Title company fees for bringing
everything together to close and record the transaction.
Should you have any questions about purchasing properties here in the Greater Fort Hood Texas area,