The Home Buying Process : What Steps To Take

There are several steps to take in the mortgagecould then lock at a lower rate. If the rate goes up
process. The following is a list of the best steps toyou would be subject to a higher payment. It is
take in order to ensure a smooth and simplealways suggested that you lock the rate due to the
transaction.volatility of interest rates. You may ultimately have
1. Get Pre-Approved Firstto pay a higher payment if you decide not to lock
During the pre-approval process all the informationyour rate and rates increase.
necessary to complete a mortgage transaction will be5. Get a Professional Home Inspection
collected. A pre-approval is substantially differentIt is always wise to have a home inspection done. A
from a pre-qualification. A pre-approval is the processhome inspection is done by an independent home
of actually getting approved for a mortgage withoutinspector. A home inspection involves the home
having an actual property picked out yet. Having ainspector going through the home prior to purchase.
pre-approval helps substantially and will also help inIn some cases a house that looks beautiful from the
negotiating with a seller. After all, a pre-approval tellsoutside may have some underlying issues that may
the seller that your offer is already approved andbe unseen. It is important to know ahead of time if
informs them that you are ready to move forwardthere are any issues with the property. A home
with the purchase.inspector will make sure all of the outlets work, that
2. Making Verbal Agreementsthere is no water damage, and that all of the
There is simply no such thing as a verbal agreementappliances work. They will assess all of the homes
in Real Estate. If there is something that you wouldmechanical systems and make sure everything is in
like the seller to agree to, make sure they agree inworking order. They will also let the home buyer
writing. If there is a verbal agreement made, there isknow of any current issues or any items that could
no feasible way to prove that that agreement wasbecome issues.
made. On the sales contract make sure everything6. Close on Your New Home
that you are requesting is either agreed to or denied.Get a copy of all of the loan documents prior to
3. Find Your New Homeclosing. It is important to be able to read through all
Now, with your pre-approval letter in hand it is timeof the documents as time may be limited during the
to search for your new home-to-be. Look at severalclosing. Always call your broker ahead of time with
properties, even if the first one you see seems asany questions. Never close on a property without
though it may be, "The one." Once you have chosenhaving ample time to review the closing documents.
your new home write a sales contract and give aAfter reviewing all of the documents set up a closing
deposit. Then forward the sales contract to yourwith the seller and your attorney. At the closing table
broker to accompany the rest of the documentationmake sure you have all the required checks and
you have provided. Due to the fact that you alreadydocumentation. You should receive a checklist prior to
have a pre-approval the loan process should beclosing. Remember, never sign anything you do not
relatively quick.understand, and ask plenty of questions to make
4. Lock in Your Ratesure you understand.
It is important to notify the mortgage company thatJason Bertrand is President of JPB Financial Services,
you would like to lock in your rate. Once a rate isInc., a Connecticut Corporation and member of the
locked you have a certain amount of time to close.Better Business Bureau. Mr. Bertrand has over a
You can lock a rate for 15 days, 30 days, 60 days,decade of experience in the financial services industry
and in some cases 90 days. Once you have lockedand is a Notary Public in the State of Connecticut.
the rate, you are guaranteed that the rate will notFeel free to contact Mr. Bertrand using or using . For
fluctuate. You also have the option to float the rate.mail use:
If you float the rate and the rate goes down youJPB Financial Services, Inc.