You should talk with a lender(s) (ideally in the market that you intend to purchase*) before starting the search for your new home. A good lender will help guide you through the ever- changing mortgage application/approval process, let you know how much you can afford, check your credit (and help increase credit scores if needed). Obtaining a pre-approval upfront will set you on a positive course in the home-buying process and give you and your realtor confidence that financing will be available once you’ve found your dream home!
Tip:*Talking directly with a local lender who lives and works in the community has advantages over trying to obtain financing via phone/internet. A lender whom you have the ability to meet with face-to-face and who’ll attend the closing is more likely to be accountable throughout the process (and give you the best deal). It’s always a good idea to talk to 2-3 lenders
Choosing your Lender (what to look for):
- Good communication upfront. Communication will be critical throughout the approval process, if the lender is difficult to reach or doesn’t call back…not a good sign
- Questions? A good lender will ask you many questions from the start. Loan approvals and the financing for which you’ll qualify have an increasing number of variables, it’s impossible to give a borrower good information without asking the questions.
- Details. Ask the lender to provide a detailed estimate of closing costs, interest rate, monthly payment, and cash-to-close.
- Competitive Financing. You should know if you’re qualifying for the best possible rate/terms or if there’s something you could do to get a better deal
- What’s the Plan? You should have a clear game plan for the approval process and know what to expect. There are many “do’s” and “don’ts” during the process you should know about.
To take advantage of buying opportunity, look for all the real estate deals www.homesearchannarbor.com and investigate foreclosures here. http://www.homesearchannarbor.com/guide/Foreclosure_%7C_Bank-owned
We know about homes before they hit the market, just call or email what you need.
Kathy Toth, CDPE, Associate Broker: KW, CEO Kathy Toth and Team 734-426-6669