Yes! If you want to actually buy one unless you are buying cash. Often the first step our Signature Realty agents make with clients is introduce them to one of our preferred lenders to help them get pre-approved.

Serious buyers need to be pre-approved for financing so they can make and have offers accepted instead of Sellers going with other buyers. If you have cash on hand, great! Your bank can verify your funds with a proof of funds letter. Most people need financing and working with a lender is how to start the buying process. Your lender will show you exactly how much you can afford? If you are a first-time home buyer, they can tell you about special programs designed just for you. Your lender will make it clear exactly what costs are associated with purchasing a home and what you can expect your monthly payment to be.

In a word, no. To put it more emphatically, absolutely, positively not! Renting means you are paying someone else’s mortgage and building wealth for them every single month. You are not building any equity, or cash, for yourself through homeownership; a proven way to build wealth for generations.The only advantage to renting is convenience, a high price to pay for spending thousands every month year after year and having nothing to show for it. Sure, real estate prices went down in the financial crisis of 2008, but they have since doubled and tripled off the lows in most markets. Some renters don’t even know that renting is often more expensive than owning! That is certainly true over time. Owners also created peace of mind and a better quality of life as you are able to put down roots, improve your home and feel more connected to your community.

Current interest rates are low and you can lock in a 30-year fixed rate mortgage for about 4%. Although sticker prices of real estate are high, you may be surprised how low the monthly payment with a low interest rate loan is? Talk to your lender and find out how much you can qualify for? You may be pleasantly surprised! Then, when real estate prices keep going up, you will be able to watch your equity (cash in your home) grow instead of feeling “priced out.”

That entirely depends on how you are financing and purchasing your home. From one end of the spectrum with an “all cash buyer” where the buyer puts down 100% all cash, to a Veteran who might get financed with a 0% down payment. You see, it all depends on the buyer’s offer being accepted by a seller and the down payment amount and terms which are negotiated.Generally, most buyers use between 3.5% and 20% as a down payment and their pre-approval letter is submitted to the seller who accepts the offer. At that time the seller can ask for a deposit to show the buyer is serious, but the amount is negotiable and could be as low as $1000, but is often more like 5%-10%. Then, escrow is opened with the agreed upon deposit amount. The buyer’s deposit is often still not at risk because all the conditions of the escrow must be met; things like inspections must occur for the funds to actually be at risk of losing if the buyer were to back out. An agent will help you navigate all these things.

Signature Realty agents work hard to get their buyer’s offers accepted by sellers.To do so, agents need to understand the market completely and negotiate effectively with the seller and often the seller’s agent while explaining the process and working hand in hand with buyers. How much you should offer depends on how much you can afford, how competitive the market is and how much you want your offer to be accepted. Working with your agent, you want to offer as much as it takes for your offer to be accepted and no more. You also may want to consider what “terms,” or conditions may be important to the seller to get your offer accepted. Knowing how much to offer, how to use terms to pay less and how to get a buyer’s offers accepted is why a Signature Realty agent’s expertise and experience is essential. Sometimes making an offer on an off market house is your best chance to get a good deal and avoiding a bidding war. Ask a Signature agent about our off market properties.

Yes, backing out of a deal is possible and will I lose my deposit if I do? This all comes down to the clauses you agreed to on the initial contract and also at what point in the transaction you are in. For example, if you have a home inspection contingency and after you have done the home inspection you request the seller to make repairs or provide a credit in the form of a price reduction and they refuse then you can cancel the contract and get your full deposit back. What you don’t typically get back is the money you spent on due diligence but it’s a small price to pay to avoid buying a home that has major issues. If you had a mortgage contingency and then for some reason you don’t qualify for the mortgage or if the home doesn’t appraise then you could also cancel the deal and get your deposit back. If you waive these contingencies then it will be tough to have any exit strategy in your contract..