Are you thinking of buying a home for the first time? Although this is an exciting time in your life, it can also feel stressful and overwhelming as you struggle to get all of your questions answered. Luckily, we’ve compiled a list of the top frequently asked questions from homebuyers. Take a look:
When should I talk to a bank?
If you plan on financing your home, it’s essential you speak with a bank before you begin your home search. Lenders will typically ask you for verification of income and employment, permission to run a credit report, and other items that will help them determine how much of a risk it would be to lend you money. This is done prior to finding a home so you can get preapproved or prequalified by a lender and set a budget. If you wait until after you’ve found your dream home to speak to a bank, you may be disappointed to find out it’s out of your price range.
What happens at closing?
Closing may sound formal, but it’s actually just a sit down meeting between the buyer, seller, both parties’ agents, a representative from the lender, and your attorney, if you hired one. During the closing, you will be asked to review and sign off on various paperwork related to the sale, and transfer any money that is due for the home and closing costs. When you’ve finished signing off on everything, you will walk out of the closing with your new home’s keys in hand.
How much should I offer?
There’s no concrete answer to this question, unfortunately. Your offer strategy will depend heavily on the current real estate market, condition of the home, listing price and neighborhood, among other factors. It’s important to consult with your real estate agent to get a second opinion on how much you should offer on a home. A real estate agent will be able to pull comparable homes to see how much they have sold for so you can make an educated decision.
How long does it take to close?
Again, the answer to this question will vary, but typically it takes around 30 days to close on a property. That is, unless the home is a short sale or foreclosure property. In these circumstances, the closing time can be extended for months and months. If you are looking for a quick close, steer clear of these homes and make your intentions clear when you submit an offer to the seller.
How much does a real estate agent cost?
As a buyer, you are not expected to pay a penny to the real estate agent you decide to work with. Unless you suggest paying some of the commission as part of your offer, the seller is responsible for paying all fees owed to your real estate agent and his own.
Want more real estate advice? Get the honest answers that you deserve. Contact our team of real estate experts at Coast 2 Coast Realty who have years of experience helping people buy and sell homes in the Tampa area.