Finally ready to make the transition into home ownership? That's awesome, and in this exciting time you can be turning to friends and family for an insight into the process. However, there seems to be a circulation of misinformation spreading around, so we're here to clear up a Few Myths.
1. THE FIRST STEP IS SEARCHING FOR A HOME
You know the saying, "Don't put the cart before the horse," well that's important to remember when it comes to buying a home. You don't want to start looking for a house until you have gotten to sit down with a lender and discuss what the bank will qualify you for, this is call the pre-qualification process. If you fall in love with a house that's $250,000 and come to find out you're only qualified for $200,000 you can get your hopes crushed and waste a lot of time. Don't start the process on the wrong foot and make sure the numbers line up.
2. YOU DON'T NEED A REAL ESTATE AGENT
For starters, when buying a home, 99% of the time the buyer's agent gets paid by the sellers. That random 1% can be for odd circumstances. So you're getting to use the services of a real estate agent for FREE. Having a real estate agent on your side means you'll get to see homes that aren't as readily available on public searches, you avoid outdated listings and scammers (there are lots of them), and you have protection when it comes to navigating the legalities of contracts and buying a home. Why wouldn't you want an awesome negotiator working to ensure you get the best from the transaction? For FREE!
3. YOU CAN'T BUY A HOME WITH BAD CREDIT
Fortunately for some people, this is a myth. Lenders and banks come by the hundreds of thousands and all though there are a few loan options, a lot of lenders can work with credit scores down to the low to mid 500's. Get in touch with an agent to help you connect with the right lender who can help you potentially approved. There is a lot of factors that go into approvals, but your credit doesn't have to be a sore thumb during the process. However, you will be doing yourself a favor if you connect with a credit repair specialist to at least get those numbers in the 600's. A better score will lower you interest rate. We are in business with some amazing lenders, we like to refer to our preferred lenders as miracle workers! Let us hook you up today! Call 504.382.3724
4. YOUR DOWN PAYMENT HAS TO BE 20%
Think you have to sell an arm and a leg to buy a home? Not at all! An FHA loan only requires 3.5% while a conventional only requires 5%. There are a lot of programs that can potentially help you with down payment assistance or be 0% down mortgage. USDA and VA loans are the most popular 0% down programs. If you qualify, this can take a big chunk off the amount of cash you have to bring to the closing table.
5. DOWN PAYMENTS ARE THE ONLY UPFRONT COST
This is one of the biggest misconceptions. There is a lot of cost that goes into buying a home, and that includes upfront costs. One of the mandatory ones are a termite and appraisal. If you are getting a mortgage, the home will have to appraise and get a letter stating there are no termites in the home. Termite inspections can range between $90-$125 dollars. Locally, An appraisal can range from $300-$500 dollars. There are also 2 other inspections that we ALWAYS recommend to our clients, A General Home Inspection and A Video Plumbing Inspection, the Home Inspection ranges from $300-$500 and the video plumbing inspection ranges between $225-$250. Aside from your down payment, you then have to pay for closing costs. And NO, they are not the same thing. Closing costs can range anywhere between 3-6% of the purchase price. In certain markets, this can be negotiated for sellers to cover by rolling into the offer price, but whether that decision is smart to do or not when it comes to landing your dream home will need to be discussed with your agent. Call one of our knowledgable realtors today and we will help to negotiate a sweet deal for you! 504.382.3724.
Now that you have some knowledge to get the process started, Call The Craig Group today and we will hold your hand every step of the way! 504.382.3724
Author:Jeff Craig Phone: 504-352-6190 Dated: September 17th 2017 Views: 146 About Jeff: SELLING? Our Team of Experts will work closely with you, listening to all your needs. For each of ou...
View our latest blog posts in your RSS reader. Click here to access.
About Keller Williams Realty | The Craig Group 504.382.3724
ABOUT KELLER WILLIAMS REALTY NEW ORLEANS
8601 LEAKE AVE. NEW ORLEANS, LA 70118
Since Keller Williams Realty New Orleans (KWRNO) opened its doors in November 1998, the office has grown to over 100 licensed real estate agents and brokers. This remarkable growth is a product of a company whose business philosophy and model combine to attract real estate agents looking for the most professional and supportive business atmosphere available.
At the end of 2012, the Market Share Report compiled from Multiple Listing Service (MLS)® ranked Keller-Williams Realty New Orleans #1 in market share of any single office in Orleans Parish. With sales totaling over $172,900,000 in 2012, KWRNO is effectively positioned as the largest and most successful single real estate office in terms of buying and selling residential real estate in the New Orleans area.
SELLING? Our Team of Experts will work closely with you, listening to all your needs. For each of our clients, we extensively research the market to come up with the best selling price and marketing strategy to insure that your home is listed at the proper price to sell in a timely fashion. We are highly motivated and organized people putting your best interest as our TOP priority.
BUYING? We would LOVE to assist you in finding your “dream home.” We pay excellent attention to your housing needs as we search for the perfect home for you. We know the area well and will give you insight on what might work best for your family and personal interests. We will devote our time to help you and your family find your dream home as if we were looking for our own. There are so many lovely homes in the New Orleans Metro & Northshore Areas, Our Team is sure they can find the perfect one for you within your price range!
We would be honored to earn your trust and help you find your own place to call HOME!
Buying or selling a home is one of the biggest financial decisions you will probably ever have to make. Having the right real estate agent by your side representing you is very crucial to having a successful real estate transaction. Experience matters. When you choose to do business with Craig Realty Group of Keller Williams Realty New Orleans, you are choosing a team of experts with 20 years of combined real estate, marketing and sales experience. Our agents truly care about YOU and your needs. Give us a call today and let us guide you through the real estate process 504.382.3724.
Alicia Lagarde Craig 504-382-3724 | Jeff Craig 504-352-6190
Article Shared from The Advocate.com By Richard Thompson | August
"Alicia, What a pleasure it was to work with both you and Jeff. Thanks for making the home buying process all so easy! You certainly took the fear out of buying our first home. We appreciate all of the time (and the houses!) that you spent with us."