BUY A HOME
Becoming a homeowner is a dream for you. We’re here to make that dream come true.
The decision to buy a home is a big one – and naturally you want to make sure it’s done right.
With this handy homebuying guide and our expert loan officers at your disposal, Perennial Mortgage Group is here to help you do just that.
STEP 1: HAVE A PLAN.
Before you start searching for a home, sit down with your family members and create a comprehensive plan. Why do you want to own a home? What can you afford to pay each month? Where will you buy? What lender and real estate agent will you work with?
Narrow down a list of vendors, and work together to create a budget. These details will help guide your homebuying process and keep it on track every step of the way.
STEP 2: UNDERSTAND MORTGAGE RATES.
Once you have the homebuying plan in place, you’ll need to spend some time in understanding mortgage rates, discount points, and annual percentage rates (APR), among other things. Mortgage interest rates may vary widely depending on a number of factors, including your credit and the lender you choose to work with.
These details may also affect your rate:
Adjustable rate loans tend to come with lower rates, though they’re subject to change after a few years.
Shorter-term loans have lower rates than long-term ones, in most cases.
Paying discount points up front can help lower your interest rate over time.
STEP 3: GET ORGANIZED.
STEP 4: FIND A HOME.
Many homebuyers choose to work with a real estate agent to find a home. Since finding a home, negotiating the contract, and closing the deal is such an important process, an experienced agent can provide guidance to help you avoid potential pitfalls. A reputable buyer’s agent should have vast knowledge of the real estate, price trends, and neighborhood conditions. The agent will help you shop for your home, tour properties, and be your negotiator if bargaining over price is necessary.
Though the seller will likely have an agent managing their listing, you’ll want your own buyer’s agent to handle your end of the transaction. A buyer’s agent is a real estate agent who represents only you and the purchase of your home. Be sure that you understand whom the agent is representing in a transaction. Remember that a seller’s agent is working for the seller – not you. Buyers are interested in getting the lowest price possible. If you decide to use a real estate agent, you should take great care in selecting one who meets your needs.
As a buyer, there’s typically no cost to you in working with a buyer’s agent. Typically, the buyer’s agent receives part of the commission paid by the seller upon the sale of the home.