Be prepared when you are ready to purchase your first home. Do not listen to the commercials and radio on how you can get into a home without any costs. Someone is paying for the costs associated with the loan. If it is not the buyer it is either the seller or finance company. If the seller is paying the closing costs, generally they will sell the home for more. If the finance company is paying the closing costs, then the rate will be slightly higher.
The key is to prepare for a home purchase. Have money saved up for a down payment or your closing costs. Remember, everyone has pre-paids due at closing. These are insurance premiums for your first year and setting up your escrow account for taxes and insurance if you decide to escrow. If your lender and realtor are creative enough, they can work to structure a deal that minimizes what you must bring to closing. There are instances where you bring nothing, but these are rare. This only happens if the seller pays a $2500 plus in seller paid closing costs! As always your lender should work hard for you, but remember bringing money to the closing table is normal.
Get your credit scores in line by cleaning up any collections, judgements, delinquent accounts, or any other negative aspects on your credit report. Try to get pre-approved through a mortgage company prior to looking at homes. This will help the Realtor narrow down which homes are affordable to you. Be ready to put at least $500 down for earnest money and possibly pay for an appraisal and/or inspection upfront. Appraisal fees are typically $350-$450, depending on the size of the home and location. Inspection fees are relatively the same range as an appraisal.
Consult a Loan officer and Realtor prior to making an offer on a home. This will help you get the home you want and a loan that meets your needs.
Brought to you by:
Professional Mortgage Group, Inc.
"Your Columbia Missouri Mortgage Broker"
The key is to prepare for a home purchase. Have money saved up for a down payment or your closing costs. Remember, everyone has pre-paids due at closing. These are insurance premiums for your first year and setting up your escrow account for taxes and insurance if you decide to escrow. If your lender and realtor are creative enough, they can work to structure a deal that minimizes what you must bring to closing. There are instances where you bring nothing, but these are rare. This only happens if the seller pays a $2500 plus in seller paid closing costs! As always your lender should work hard for you, but remember bringing money to the closing table is normal.
Get your credit scores in line by cleaning up any collections, judgements, delinquent accounts, or any other negative aspects on your credit report. Try to get pre-approved through a mortgage company prior to looking at homes. This will help the Realtor narrow down which homes are affordable to you. Be ready to put at least $500 down for earnest money and possibly pay for an appraisal and/or inspection upfront. Appraisal fees are typically $350-$450, depending on the size of the home and location. Inspection fees are relatively the same range as an appraisal.
Consult a Loan officer and Realtor prior to making an offer on a home. This will help you get the home you want and a loan that meets your needs.
Brought to you by:
Professional Mortgage Group, Inc.
"Your Columbia Missouri Mortgage Broker"
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