Consult With Your Realtor® / Arrange Your Financing
Consult with Your Realtor
The home buying process can be confusing. Our goal is to educate you on the steps involved in a home purchase. We make the commitment to work as your advocate throughout the entire buying cycle.
The Seller Pays the Real Estate Commission
Let's start with understanding real estate commissions. The commission paid to the buyers agent is almost always determined by the MLS and is paid by the seller to the sellers agent (through his/her real estate company) and then distributed to the buyers agent (through his/her real estate company.) Whether or not you elect to have buyer representation, this commission has already been determined contractually and is still due to the seller's agent/company. Most often, taking a buyers agent out of the equation will save neither the buyer or the seller any money, and it also results in under-representation (or a total lack of representation altogether) for the buyer.
The National Association of REALTORS® has shown that when a Buyer's Representative was used, the prospective Buyer found a home an average of one month faster and gained information and access to a minimum of eight more properties than those consumers who did not use a Buyer's Representative.
Arrange Your Financing
It is important to talk to a loan officer early in the buying process. This gives you and your Realtor the knowledge of what you are qualified to spend on a new home. By setting expectations upfront, we'll be able to narrow your search criteria and focus on those homes that make the most sense with your budget and future monetary goals.
Your loan officer will give you a list of documents they will need in order to determine the best types of financing for you. This information will include your salary, savings, and debt. He/she will then obtain a credit score.
Ask us for our personal recommendations on loan officers.
Loan Approval Letter
Once you and your lender have determined your financial eligibility, they will provide you with a written Pre-Approval letter. This letter provides you with the leverage you need to obtain the very best price and terms for your new home and will be submitted with your offer. In a competitive multi-offer situation, you gain an advantage when you present a strong approval letter.
Continue to Step 3