A Beginner’s Guide To Home Ownership
Buying a house for the first time is an exciting experience, however, many people take very little time to consider their options before making a decision, and that’s because it’s an unfamiliar experience. During the home buying process, there are different stages you need to expect and prepare for. When you are aware of what is required buying a house becomes easier. You’ll know what to expect and what questions to ask for your benefit.
I’m Connie Graham, a professional mortgage broker, and I’ve been guiding clients to excellent mortgage decisions since 2004. To equip new home buyers like you with the right knowledge of what goes into the homeownership procedures, I have outlined the process to purchase a home and easily obtain a mortgage in this Beginner’s Guide.
Prepare for the tough stuff: This involves planning for comfortable mortgage payments, down payment, debt management, emergency fund, and major life changes. All these things are a big deal that must be given sufficient consideration and time for proper planning.
Prepare for the fun stuff: This includes picking out what type of home, neighborhood, commute, price range, and other amenities you and your family would like most. Make sure you consider your family’s needs while deciding to buy a new home and also speak to people in the community before committing to new real estate.
Pre-qualification and pre-approval: Mortgage pre-qualification is the first step in the mortgage process. Here, a broker will consider your income, assets, and debt to measure your mortgage affordability. This step is followed by the preapproval process where your credit report and score are scrutinized along with other details by the broker or lender. Once satisfied, you will receive a pre-approval letter or certificate where you and the lender agree on the rate of interest provided a specific set of conditions are met.
Offer to purchase, conditional and final mortgage approval: Once you know the rate of interest that will be charged, you can choose the house that fits your budget. From here you can apply for mortgage approval, and speak with to your realtor about your interests to buy. Before the sales contract is created you can discuss the terms but, be sure to read the details on the final agreement before signing. The same goes for the final mortgage contract.
Preparing for closing date and possession of your new home: Carefully read the closing disclosure for the terms of your loan and final costs, and outstanding fees if any. Make sure you check the house before moving in to check on the repairs and see if all the repairs are completed before you sign the final agreement.
Advice From The Pros
Ask questions: Mortgages can be complicated for non-experts which is why you must work with reliable professionals that you can trust. You should be able to ask them questions to clarify your doubts and be prepared for every stage of the home buying process.
Don’t focus only on rates: Only looking for the lowest interest rate and not understanding mortgage details can lead to trouble down the line. Mortgages come with conditions from the lender at the same time there are specific rules that they must abide by so make sure you are fully aware of your options before selecting one.
Make sure you are financially secure: To boost your creditworthiness, pay off all bill and debt payments on time, don’t take on any new debt and don’t change your employment situation while you are in the process of obtaining a mortgage.
Enjoy the experience: You don’t get to purchase a home many times in your life! It is a unique experience that brings many changes so, take the time to indulge in the process and have fun at every stage.
As an expert mortgage broker in Edmonton, Sherwood Park, Alberta with Axiom Mortgage Solutions Inc., my goal is to exceed your expectations. As your go-to mortgage agent, I am to accompany you throughout your home ownership journey and simplify the process. I engage in researching the best mortgage products that fit your budget and your needs and connect you with the lenders who can finance your dream home. To learn more about the services I provide visit my website or contact me, Connie Graham by clicking here.