Next Steps When Buying Your Own Home
Guidance Of Securing A New Home
Being a homeowner is exciting, especially when someone is a new homeowner. This is a huge milestone to achieve because to tackle a new responsibility is a big deal. To own a home can be extra rewarding due to the fact that it can be passed down to generations after generations. There is a checklist to know what is the next step in achieving the goal of getting a new home.
Starting the search
Shopping for a new house can be tricky due to the fact there will be endless options to choose from. Decision has to be made if relocated to another state or even country is part of the plan. According to Discover.com: “Make a note of particular homes you are interested in and see how long they stay on the market”. Once that part is settled, start looking for the needs such safe neighborhood, excellent school, or even if it’s near a grocery store.
To qualify for any type of mortgage loans, first you need to figure how much money you want to put down for the down payment. It is essential to put an offer down payment because it will show that you are trustworthy and this will waive PMI (private mortgage insurance). According to Realtor.com: ”Ideally a down payment on a mortgage should be 20% of the home's price to avoid added fees, A mortgage down payment can be as low as 10%, 5%, or even 0% for certain types of mortgages”. Different mortgages have their own requirements to be approved for the loan.
The credit scores are vital because if the credit score is horrendous, denial will be the result. The minimum credit score that is needed is 580, anything less than that will be rejected. Also, the debt to ratio needs to be in a good stand because if the debt is consuming more than you can afford, the application process will come to a halt. It is time to get a licensed real estate agent to start the journey.
It is better to hire a professional to inspect the home. You can do it yourself, however, it is preferred to get someone with years of experience to get the job done. Usually it is a one job procedure, but, it all depends on the size of the house and if the new homeowners are in a rush. The inspector will have his or her checklist and including what the new homeowners request as well. This can range from examining the attic, basement, garage, bedrooms, bathrooms, and even the living room.
Close-in-deal and move-in
Toward the end of obtaining a new home, a closing deal is needed. This is when the mortgage application is wrapping up, the inspection is completed, any other documents that are needed to be done, and to sign on the dotted line. After the closing deal is completed and it is time to move in. The homeowner has the option to purchase a home warranty. It will be important to look into how much a home warranty costs. This is when something is broken and a repair is needed. According to Policygenius.com: ”Home warranty insurance is designed to cover what your homeowners insurance won’t cover when they deny your claim”. The price can range from $100-$600 per year. There will be a waiting period to officially to move in. The minimum wait time is 30 days and can even stretch up to 60 days to move in.
When the process is all over, it’s time to enjoy the new home. This when the fun part kicks in by decorating the house by hiring an interior designer or doing it yourself. After the decorating phase is complete, it is time to call family and friends for a housewarming. Where people will make time to celebrate this milestone that is accomplished.