Owning your own home is one of the most gratifying experiences you can have but going through the process of buying it can be both dramatic and traumatic if you are not prepared.
To make your experience as pleasant as possible, there are some important steps you can take to eliminate some of the drama, and the trauma, before you start looking.
Sometimes, everything falls into place and goes like clockwork and that is a good thing. But in the real world, the process is not always smooth and buying a home can get frustrating.
The very first thing you should do is to make sure you are ready, willing and able to buy.
Talk to a realtor and tell him what you want in a property. This means, the number of bedrooms, the number of bathrooms, if you want a family room, a fireplace or a swimming pool or any other amenity.
You may prefer one city over another or you may want a condo instead of a house.
Tell your realtor what you feel you can afford and then seek the assistance of a lender, whether it be a bank, mortgage company or credit union.
Find out how much money you will need as a down payment and then ask your realtor how much you are going to need for escrow fees and loan fees.
You may also be required to purchase Private Mortgage Insurance (PMI) depending on how much you have for a down payment.
Remember, your down payment, your escrow fees, and your loans fees, are different things. You don't want any surprises when it is time to close your escrow.
You may be able to afford more than you think, but on the other hand, you may not want to pay more, so it is important that you voice your concerns to your realtor.
There are many different types of loans being offered today so seek out the one that is right for you. When it comes to getting a home loan, ask a lot of questions.
Remember! When the escrow closes and the mortgage payments are due every month, your realtor and your lender are not going to make the payments, you are.
You are going to need a homeowners insurance policy so get a quote from an insurance agent. You may chose your own or ask your realtor if he can recommend someone who he is familiar with.
Talk to friends and relatives and don't be shy about asking their opinion. Sometimes they may know a little more than you think they know.