Will Pinnick President
of Home Loans By U, Inc.
Thank you for the opportunity to
to earn your business and we look
forward to becoming your family's
trusted Home Loan experts
5 STEPS TO BUY A HOUSE
Step 1: Get Pre-Approved For A Mortgage
Buying a home is both a financial and emotional decision. A New home purchase is one of the most important decisions you will make in your life. Most Sellers will not accept an offer without a Pre-Approval letter to demonstrate that you have been Pre-Qualified or Pre-Approved for the price range you are looking to purchase.
Selecting a Licensed Experienced Mortgage Professional who is willing to complete a thorough Pre-Approval for you is imperative to ensure a successful New Home Purchase.
Far too often Loan Officers Pre-Qualify home buyers without reviewing everything up front and wait for the last minute to review the information only to find out the Pre-Qualification is not valid.
At Home Loans By U, Our Loan Experts are experienced and take the time to review everything up front to ensure a smooth Process and Closing.
Pre-Approval Vs. Pre-Qualified
A Pre-Qualification is a short phone call where you discuss your income, assets, and credit situation verbally and the mortgage agent then issues a pre-qualification letter.
A Pre-Approval requires you to submit paystubs, W2s, Tax Returns, Bank Statements, Credit Report and complete and full Application. This information is then reviewed to determine whether you qualify or not for a loan.
Getting Pre-Approved also offers the following benefits:
Realtors are more willing to spend time with you, knowing that the transaction is more likely to close.
Sellers are more likely to accept your offer
You’ll have a more accurate idea of the finances of the transaction
Your Down Payment
Loan Type and Program, you Qualify For
Principle and Interest & Total Monthly Housing Payment
Smoother Process From Contract Signing to Closing
Step 2: Find A Realtor
Buying and selling real estate is complex. Navigating through all the forms, contracts, timelines, inspections, negotiations & pricing, financing and the closing process all require experience. Part of it will be managed by your Loan Expert the other part will be by your Realtor. A good Realtor will have tools available and local expertise to help you find the best property for your needs & prove to be a valuable advisor when negotiating price and details of your contract.
Step 3: Shopping For A Home
By this point you should have a comfortable understanding of what you can afford. This will help your Realtor narrow the list of properties down for you to visit. Your Realtor will show you homes in your budget and in the communities and neighborhoods you are interested in. You will determine which property type and size of home will best suit all your personal and financial goals.
Step 4: Making an Offer
Once you’ve found your home, you will need to make an offer. Get information regarding Taxes, Home Owners Insurance and any Home Owners Association dues (if any) and review them with your Mortgage Loan Expert to make sure you understand the proposed monthly payment. Consider asking for a Seller Contribution to your Closing Cost. It is not uncommon to Negotiate with the Seller to pay part or all your closing costs. Depending if it is a buyer or seller’s market, you may be able to decrease the amount of money you pay out of pocket. Your Realtor will advise you and guide you through this process.
Know your Contract Details, Dates & Deadlines. Review this information with your Realtor and Mortgage Loan Expert. Make sure all three of you are on the same page. You don’t want to renegotiate these items after it is already signed.
Amount of deposit
This is the amount of money you are putting into escrow to secure the contract. It represents your commitment to the transaction and the amount you could RISK if it does not close.
Home Inspection Deadline
The Home Inspection is something you arrange (often a professional referral from your Realtor or Mortgage Loan Expert) to find out whether there are any deficiencies in the property that the seller should repair or that you need to know about before committing to buy the house or property. Inspections usually cost a few hundred dollars depending on size and type of property. If the property is a Single-Family Residence, a 4 Point Inspection can possibly lower your insurance payments.
Appraisal Completion Deadline
The appraiser is an independent evaluation of the value of the house. It tells you and your lender how much the property is worth. The importance of the appraisal is to obtain an independent verification that the property is worth what you and the seller have agreed to.
Step 5: The Loan Process and Closing
If you have already taken care of step 1 and received a Pre-Approval from a Loan Officer that is Experienced and took the time to diligently review everything up front, you should have a smooth process and closing. Your Loan Officer will request everything that needs to be updated and ordered and will walk you through the Process step by step.
Far too often loans are turned down by big banks and lenders days before their scheduled closing date. The reason is that everything is reviewed at the very end by big banks and lenders. The Loan Officers do not take the time or do not know how to properly review all the documents being submitted including; Pay Stubs, Bank Statements, other Assets, Tax Returns, Contracts, Title, Appraisals and more...
Everything is becoming Automated today and while it does make it easier for Home Buyers to up load the required documents in the end a person ultimately has to review everything to make sure it is correct and accurate.
This person is the Bank or Lender’s Underwriter. If anything was missed or is not accurate the result can be either a delayed closing or your loan being declined at the very end.
At Home Loans By U, Inc. We Pride ourselves in making sure we review everything up front for our Home Buyers. This assures our Home Buyers a valid Pre-Approval and a smooth process and closing.
We look forward to the opportunity to assist you with your New Home Purchase.
NMLS ID: 398557