Don’t Come Up Short!
Kathy Riggs September 25th, 2011
All year I have been posting that it is a great time to buy a house if your personal situation is stable.
Credit worthy buyers are have many options in today’s market. The combination of low interest rates and low housing prices can open the door to some great deals.
If you are in the market for your first home or it’s time to downsize or upgrade your first stop should always be with your loan officer.
In today’s changing world homeowners are finding the mortgage process is more complicated than it was even two years ago. Lenders will be asking for more and more documentation and a visit to your mortgage officer is a good idea to review the entire process.
If you are a first time buyer the chat with the loan officer is absolutely necessary to determine your targeted price range.
And in both incidents be certain to discuss closing costs and any buyer expenses.
Expenses a buyer may incur in a real estate transaction include, but are not limited to loan origination costs, appraisal fees, credit reports, home owners insurance, attorney fees, title insurance and recording fees.
So if the contract price of a home is $150,000, the buyer will need to come to the closing table with enough funds, including loan proceeds, to cover the contract price and the above expenses.
In many cases sellers will agree to pay three or four percent of the sales prices or a specific dollar amount of the expenses a buyer incurs. The amount the seller is willing to pay must be a part of the sales contract.
The last thing anyone wants is a transaction in which the buyer comes up short the day before closing.
Housing Tip for September…
Slightly lower temperatures have been a relief from the excessive heat in August. Now is the time to caulk around windows and doors.
SHAMELESS PLUGS…
Found a home you like with someone else’s sign? Call me for exclusive buyer representation (252-939-2432).