The more questions you ask in advance, the smoother the process will be later on. So let's look, then, at one of the key questions from this list.
How's Your Credit?
As part of the home buying process, you need to take a good, hard look at your credit situation. Try to do this a few months before beginning your home search to prevent delays later on. Start by ordering copies of your credit report.
Credit reports are maintained by three credit agencies: Experian, Equifax and TransUnion. These agencies maintain any and all information pertaining to your personal credit -- payment habits (including late payments), bankruptcy and other issues.
Your credit score is based on the information in your credit reports, which come from the three aforementioned agencies. Three agencies, three reports, three credit scores ... all about you!
Get copies of your credit reports from all three agencies and review your scores. Fair Isaac’s -- the organization that actually converts your credit reports into credit scores -- has a website where you can order all three credit reports at once: www.MyFICO.com. Here’s a quote from the home page of that website:
"FICO scores are your credit rating. Most lenders base approval on them. You have three FICO scores, one for each credit bureau, and you can only get all three from myFICO."
The MyFICO website also explains how to interpret your credit score, what the score means to lenders, and what you can do to improve your score.
Don’t be surprised if you find an error. It happens from time to time. To correct an error, contact the reporting agency directly. And don’t delay -- it may take several months to completely correct the error and remove it from your report.
This article provides an example of a buyer trying to leverage of high supply and pricing deals but losing sight of their goals and eventually making a very bad decision. How often have you seen people get caught up in major sales and buy something they don't even want because it was such a good deal?
This is happening a lot right now and it gets worse if a family waits three years and finds they can't afford to sell the home at that time. Then the owner continues to be stuck in a home that they do not like when the could of really enjoyed and been proud of a home they purchased in the first place.
Looking for a diamond in the rough is great. But make sure to keep your long term goals in mind when seeing all the Murrieta, Menifee, and Temecula home listings and price drops. Don't be surprised if a seller doesn't come down in price. Just make sure your Temecula or Murrieta real estate agent does the necessary property research and helps you to decide a fair or even aggressive price for that ideal house.
in a buyer's market can be very challenging for the same reasons people assume it will be easy. Don't forget that the plan is to get the best house that meets your goals and is the best investment for your family. What are some buyer market benefits?
Huge amount of home listings Optionto negotiate price & terms Tough competition between homesellers
No matter how you evaluate those highlights are a great, right? Amazing at it seems they can cause hesitation and concern for buyers. How so? Let's say you find the perfect Menifee home in a superb neighborhood on a wonderful cul-de-sac street and with tones.
You love the floorplan but the owners won't move on price and two streets away is the same layout, but not as nice of a house in terms of lot or upgrades, and the road isn't a cul-de-sac. However, the the price is 30k less. And, even better is another model match with minimal upgrades, ruined carpet, and priced a further 15k less.
You would love to get the first house but the home seller's won't move on price. Honestly, it looks to be priced fair when considering all aspects. In fact, since it is a down market, it is priced lower then it has been in years.
But this is a buyer's market and why should you have to pay 45k more?! With just an additional 10-15k, you think you could rehab the cheapest home and still have a sharp house. So, after a lot of soul searching you offer on the lower priced model match and plan to fix it up. And, by paying 45k less and spending 10k, you save 35k in theory for the same neighborhood and house just a few streets away, right?
While this seems like a great idea once you're in the house you will have a hard cash price to make repairs versus having an increased mortgage payment. So you get a 2nd mortgage or use your nest egg and put 10k into the home and get all new flooring, paint, and some tile in the bathrooms. That's it and you have used all that cash. You also stay there for for the estimated 3-5 years and have ?elbow grease? projects every single weekend.
While initially fun, they get old fast and you eventually become sick of cars buzzing through the street and constantly wish you had purchased on a cul-de-sac. Because of all this, you don't invite buddies and your family over because you want to get it all ?fixed? and so you aren't enjoying the home as much as you thought.
This sounds worst case but I have seen this many times this year already. The sad part is 35k (45K ? 10K) more would only cost an average of $210 more a month. And, over 5 years that will add up to 10k you put into the cheaper home and you have had to work every darn weekend, have not enjoyed your house, and never even had a house party!
Also, no matter what you invest into the home, you can never make it a home with the nicer lot and incredible cul-de-sac location. Those could be your children playing neighborhood ball safely. So, after 3 years of worrying each time your children go out to play you decide to sell. However, the market is rough and people are picky, only looking for that perfect, upgraded, cul-de-sac home you passed on!
So keep this all in mind and rewind the 3 years of challenging work and make sure you keep your perspective while you start shopping today!
Both Brandon Cornett & Stefan West are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Stefan West has sinced written about articles on various topics from Property Sale, Stress Management and Business and Finance. Stefan is a professional broker of and an expert in the surrounding communities of Murrieta, Menifee and Wildomar. Please visit. Stefan West's top article generates over 12100 views. to your Favourites.