We Can Help
You need a good REALTOR® who will work hard for you. Our real estate team is dedicated to helping you find the right home, at the best price. We want you to find the home that will make you happy and successful in real estate ownership.
With over 30 years in real estate, we not only have the best agents in the business, but we have access to lending experts, financial planners, credit repair companies, home inspectors, and every other kind of professional you might need along the way. We’ll help you narrow down the most important items on your home-shopping list, assist you in the negotiating process when you need to compromise, and celebrate with you when the keys are placed in your hands at the closing table.
Are You Ready For Home Ownership?
Owning a home may be your dream, but in order for the purchase to be the happy and satisfying experience it was meant to be, you need to ensure that you are financially and mentally prepared for the responsibilities that come with it.
Some people have a notion that home ownership is like renting, but with the power to have pets and paint the walls whatever color you like. However, while these privileges are available to homeowners in most municipalities, they come with the responsibilities of a mortgage, taxes and home maintenance. Preparing for home ownership requires you to take critical stock of your finances and your expectations.
Questions for Prospective Homeowners
Are you ready to buy?
Owning a home has great benefits, but it comes with many responsibilities, too. You’ll be able to decorate just the way you choose, but you’ll also be responsible for repairs and weekly maintenance. Are you ready to mow the lawn each week in the summer or paint the exterior when it starts to fade? Owning your home gives you control over your investment, but it requires time and energy to maintain that investment.
How much can you afford?
You’ll need to examine your credit, meet with a mortgage specialist, and estimate the monthly payment you’ll be able to afford. You’ll also need savings on hand for routine maintenance and emergency repairs once you move in.
Are you prepared to compromise?
As you start your search, you may fall in love with a house that happens to be farther from your work than you planned, or one that needs a few repairs. Compromise is inevitable where real estate is concerned. Your list of “Must Haves” should be prioritized so you can be ready to compromise on the rest.
10 Ways Buyers Can Prepare
Believe it or not, there are plenty of steps you can take to ensure a smooth buying process even before you search online or schedule your first home tour. Being prepared before you begin saves time, money, and headaches.
Choose a location.
Investigate schools, recreational facilities, community safety records, and access to shopping and healthcare. Make a list of 3-4 communities that appeal to you the most.
Develop a home-shopping budget.
In general, the sales price of your home should be equivalent to two- or three-times your gross income.
Examine your finances.
A conventional loan normally requires a 20% down payment to secure financing, and there are a number of programs with only 3.5% down. Every real estate transaction has closing costs (attorney’s fees, taxes, and insurance) that can be 2-7% of the purchase price. As soon as you consider buying, start saving for these out-of-pocket expenses.
You have options.
Concerned that 20% down might end the process before it has begun? Consider other sources to help with your down payment, like state and local down payment assistance programs for first-time home buyers. You can also use the money you’ve saved in an IRA account for a first-time home purchase without penalties for early withdrawal.
What is important to you?
Make a list of the most important things you want in your home. Then, try to narrow down your wish list and prioritize the items on it.
Obtain a copy of your credit report, which gives a history of your credit, debts, and late payments. If it contains errors, take steps immediately to correct them. If difficulties have dented your credit, PSP has resources that can help you rebuild it.
Contact a mortgage specialist to determine what kind(s) of loans you might qualify for. One of PSP’s preferred lenders can get you started. From conventional to FHA, VA, and USDA loans, there might be more options available than you think.
Your mortgage specialist will need documentation that includes W-2 forms, pay stubs, tax returns, and bank account statements. The documents needed will depend on the type of loan for which you apply. Being pre-approved will let sellers know you are a serious, qualified buyer. Again, one of PSP’s preferred lenders can get you the pre-approval needed to start your home search in earnest.
Calculate your likely monthly payment.
A PSP REALTOR® can guide you in this approximate calculation, which can help you decide how much you want to spend, no matter what loan you qualify for.
Own Your Tomorrow.
Interview and hire a qualified PSP REALTOR® to help you through all of these steps and each part of the real estate transaction process yet to come.
Contact us for more information about first time home purchasing.