Since house buying practices continue to change, this page will be added to on a regular basis. To every norm, there is abnormal.
This section is meant to be a guide for normal situations – whatever that may be.
Selecting a realtor to help you with the purchase of your home is very important. Many of us feel that five percent of the realtors do 95 percent of the business.
Some realtors have all kinds of time to spend with you because they do not have any other clients. Other realtors make time to spend with you.
At Clouse Real Estate we try to learn your needs and your wants. We focus on your needs and wants rather than our schedule.
Some realtors only know how to look pretty and hold open houses. I feel that our knowledge of property values, construction, loan programs, and closing costs are of the utmost importance.
Why not give us a call? We will gladly use our expertise to make your purchase as pleasant as possible.
There is no reason to be intimidated when you go to meet a lender. Lenders make their living making loans. If no one asked for a loan, they would be unemployed. You should be proud when you walk in and meet your lender. You are, after all, his customer.
When you go to meet your lender, you need to be organized. You should take all of your papers of financial significance. You do not need the warranty book for the microwave or other items – leave that junk at home. You should begin with your Social Security Number, as well as your spouse’s. It is also important that you know your gross, as well as your pay after deductions.
It is extremely helpful to bring a list of your assets. This would include things of value such as bank accounts, stock market accounts, bonds, automobiles, and any other real estate that you might own.
It is very important to recognize all of your liabilities. This list should include debts owed on other real estate, car loans, and credit card debt. Try to list the amount that you owe on each liability, as well as the minimum monthly payment for each.
It does not hurt to take two months of pay stubs for both you and your spouse. Also make sure that you note child support that you are either receiving or paying.
If you truly want to amaze your lender, take the last two years of your Income Tax forms. Most lenders will not ask for these documents until your second visit. I suggest that you take them with you on your first visit. By being organized, you can help your lender do a better job for you.
As the days pass, your lender may ask for additional information. Always try to cooperate with his requests. This additional information is often needed to clear up questions Quickly resolving these questions can help you to obtain a lower interest rate.
Interest rates are always an important part of your loan. However, closing costs are equally important. I always suggest asking for a good faith estimate once you have applied for a loan. This will give you a good estimate of the costs or fees needed to obtain your loan.
Keep checking back, because good faith estimates will be discussed in a separate tip in the next few weeks.
Good luck with your new purchase!