The home buying process can be a bit intimidating when you aren’t sure how to proceed. We’re here to help you when it comes to navigating the road to be a home owner. There are six main steps to consider when you’re considering the purchase of new house.

? What Credit Score is Needed to Buy a House?

credit scoreWe suggest that you get a copy of your credit report from TransUnion, Equifax, and Experian. Thanks to the Fair Credit Reporting Act, you can receive a free copy of the report once a year from each agency. Why get all three? It’s not unusual to find different information on each report. In fact, you may find that each report had a completely different credit score listed. Check for errors and accounts that are delinquent.

A traditional mortgage loan typically requires a score of 640 or more to receive approval. You may get a reduced interest rate if you have a higher credit score. There are loans available that accept lower credit scores. For example, the Federal Housing Administration (FHA) may approve scores of 500 or higher depending on the other criteria needed.

? How Much Money Should I Save to Buy a House?

In most cases, you’ll want to get a mortgage loan to help pay for the new home. Most lenders will require a down payment on the loan that can be around 20 percent of the purchase price. While this isn’t set in store and may be dependent on other factors, it’s best to be prepared. You’ll also need money on hand for closing costs and expenses like moving.

Closing costs are the fees compiled during the home buying process for administrative tasks and service costs. These costs include fees for inspections, appraisals, title searches, attorney services, and other associated tasks. The seller may agree to pay all or part of these costs, but you should be able to pay them in case the contract calls for that to be your responsibility.

?‍♀️ Finding a Real Estate Agent to Buy a House

You’ve come to the right place! We can’t wait to help you purchase the home of your dreams. We are dedicated to helping you reach a successful transaction with as little stress as possible. We know this area, and we can help you locate the home that checks the boxes off your wish list.

You want a real estate agent who communicates at a high level, genuinely listens to your needs, and goes to the negotiation table with strong skills. We would love to set up a time to talk with you about your home ownership goals and answer any questions you have about the home buying process.

Your real estate agent is the best source of information about the local community and real estate topics. Give Patricia LaMotte a call today at 661-212-2896 to learn more about local areas, discuss selling a house, or tour available homes for sale.

☑️ Why Get Pre-Approved for a Mortgage Loan?

mortgage approvedThere are a couple of reasons why getting a mortgage loan pre-approval is a good idea. The pre-approval will let you know exactly which price ranges you can search within when looking at homes. Many buyers get disappointed when they find the house of their dreams but find out later that it’s outside the limits of their budget. Knowing the target price range saves you time and money in the long run.

Another benefit of the pre-approval is that it may win you favor with a seller if your offer has come competition. The pre-approval letter tells a seller that you are serious about the purchase and that you have the ability to complete the sale if they choose your offer.

? How to Make an Offer on a House

Creating an offer that catches the attention of the seller is important. This is especially true if homes in the area are receiving multiple offers. We’ll help you come up with an offer that makes sense for the market, works with your budget, and is appealing to the seller. We deliver the offer to the seller on your behalf. The seller will accept the offer, decline the offer, or send us back with a counteroffer.

? What Happens After an Offer is Accepted

You’re on your way to closing day once your offer is accepted by the seller. The mortgage lender will set up appointments for the appraisal and inspections that are needed. You will get a copy of closing costs that may change before closing day, but you’ll get a good idea of what to expect. If all goes well with the appraisal and inspections, we move forward to close the deal. If something is an issue from the inspections, we’ll head back to the negotiations table if you’re still interested in the property.

6 Steps to Buying a Home
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6 Steps to Buying a Home
Keep the excitement of buying a house alive by keeping stress at bay! Learn more about the 6 basic steps of buying a home here!
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Santa Clarita Home Market
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