Homeownership is something many dream of and many are about to start the process of making it a reality. For most it is a 15 or 30 year commitment so ensure you have as much information as possible before signing on the dotted line. Over the last several weeks se covered several terms to know when purchasing a home in the It’$ My Money Squad. This gives you a sneak peek into terms we covered when preparing to buy a house. I also hope you love the graphic as much as I do as it consists of the terms in the shape of a house.
Choosing a Real Estate Agent:
A good real estate agent is a critical in the home buying process.
Real estate agents can provide:
If an agent consistently shows you hours outside of your budget be concerned. That said, an agent may show you ONE house outside of your budget by way of comparison or to do a reality check but that is it.
Searching for a home:
When searching for a home create a list for must haves or show stoppers. Also, include "would like to haves" and a space for comments. Ensure you share the list with your real estate agent AND bring a copy of the list with you each to each home visit. Literally check the items on your list while you are there. When you try to do it afterwards, you forget and it is hard or compare.
Pre-qualified vs pre-approved:
A couple others steps in the home buying process is pre-qualified and pre-approved. These terms are often used interchangeably but are different.
Here is a quick definition for each.
Be sure YOU can afford the house and the other things you enjoy doing regardless of the amount shown on either.
The asking price is the amount the seller is “asking” for the property you are interested in buying. Often times buyers want to know “should we offer the asking price” or “will they accept a lower price”. Well the depends.
How long the house as been on the market? What price have other houses recently sold for in the area?
Your real estate agent can help with that appropriate asking price.
First time buyer grants available (links shared me for informational purposes):
Philadelphia, PA giving away $10,000
Baltimore, MD giving away $5,000
New Haven, CT giving away $10,000
Fairfield, CT giving away $30,000
Hamden, CT giving away $5,000
Hartford, CT gives away $40,000
Carbondale, Illinois gives away $3,000
Washington, DC gives away $4,000 or Maximum gap financing of $80,000
Washington, DC teacher next door $4,170
New Jersey gives away $10,000
North Carolina gives away 3% - 5% down payment assistance
This gives a sense of how we are educating in the It'$ My Money Squad. We also have Squad members that facilitated free helpful sessions sharing their expertise such as home owners insurance and staying out of foreclosure.
Write something about yourself. No need to be fancy, just an overview.