There’s many things to consider when you’re looking to purchase a home. It’s one of the largest financial transactions you will make in your lifetime and we want to ensure you have a smooth transaction throughout the mortgage process. Here is a list of some things you should avoid before buying.
- Not Having a Plan in Place – You’ve decided to buy a home. That’s great! During this exciting time, it’s important to have a plan for what you would like your future home to be like. Think about how much of a mortgage payment you can comfortably make and what features of a house are important to you (number of bedrooms, distance from work, property acreage, etc.). By setting expectations and communicating them to your Loan Originator, he or she can work with you to finance your perfect home.
- Not Giving Yourself “Credit” – Don’t assume you won’t be able to afford a mortgage. There are many great programs available for people from different financial backgrounds. Combined with today’s historically low interest rates, becoming a homeowner is easier than you might think!
- Not Screening Your Realtor – Working with a Realtor who you’re compatible with can make all the difference in your home buying experience. Your Realtor should know the area where you want to purchase a home and understand your needs. It’s possible that you may need to interview several Realtors to ensure you are a good match.
- Forgetting to Get Preapproved – A preapproval is a helpful tool for a homebuyer to have. A preapproval is a commitment from your lender stating how much they would be willing to lend you after evaluating your financial situation. Having a preapproval letter shows sellers and their agents that you are serious about purchasing a home and you’ve already been preapproved to purchase a home in a certain price range. This can give you leverage over other buyers who don’t have a preapproval.
- Picking a Mortgage Just for the Rate – There are many factors to consider when choosing a mortgage product, besides the interest rate. You should select a mortgage that works best for your unique financial situation. For example, a conventional mortgage might have a lower interest rate, but an FHA mortgage might provide a lower down payment option. Your Homestead Loan Originator can help you decide on the mortgage is best for you.
- Not Getting a Home Inspection – Having a home inspection done by a professional home inspector is a good way to ensure that the home you want to purchase is up to snuff. While not a requirement, lenders highly suggest taking this step before buying a house. The inspector can often spot issues that might cause problems later on. It’s also a good idea to attend the inspection personally so you can ask questions or voice concerns you might have.
- Not Knowing Your Rights (and Responsibilities) – It’s important to be educated about the mortgage process and to know what you should and should not be responsible for. You should be aware of your closing costs and any obligations you may have when you sign your contract. By knowing what is in your contract, you can avoid problems later on. Your Loan Originator and Realtor should both be able to help you understand these aspects of buying a home. They are here to help you!
If you would like more information about the home buying process and what you should know before purchasing a home, please contact your Loan Originator today!
Did you know it’s possible to use grant funds to purchase a home? It’s true! There are grants available for people who need assistance with their down payment. What’s great about grants is that you don’t have to pay the money back as long as you follow the program requirements. By doing a little research, you could find grant options in your area. Check out our handy infographic for more information about this helpful tool.
In the Community
Homestead Funding Corp. would like to extend a big congratulation to the Classie Lassie Hurricanes Softball Travel Team for winning their Tournament this weekend! They beat Rotterdam 11-10 in an international tiebreaker, and Burnt Hills in the championship game 17-9!
On July 4, 1776, the thirteen colonies claimed their independence from England, an event that eventually led to the formation of the United States.
Conflict between the colonies and England were already a year old when leaders convened a Continental Congress in Philadelphia in the summer of 1776. In a session that took place on June 7th in the Pennsylvania State House, Richard Henry Lee presented a resolution stating the United Colonies “are, and of right ought to be, free and independent States, that they are absolved from any allegiance to the British Crown, and that any political connection between them and the State of Great Britain is, and ought to be, totally dissolved.”
Four days later, on June 11th, consideration of the resolution was postponed by a vote of 7 to 5 (New York elected not participate). However, a committee of five was appointed to draft a statement presenting to the world the colonies’ case for independence. Members of that committee were John Adams, Roger Sherman, Ben Franklin Robert Livingston and Thomas Jefferson.
Thomas Jefferson was also responsible for drafting the document that would become known as the Declaration of Independence. On July 4th, the document was officially adopted when John Hancock, President of the Continental Congress, signed the Declaration of Independence.
Today, the original Declaration is housed in the National Archives in Washington, D.C. The 4th of July was designated a national holiday to commemorate the day the United States put down its claim to be a free and independent country.
In the Community
On Saturday, June 3rd, Homestead Funding Corp. participated in the 2017 Capital Region Heart Walk & Run at the University of Albany. Our team consisted of walkers, runners, and volunteers at the Homestead Sponsored Kids Zone! As part of Homestead’s sponsorship, we ran the Kids Zone, which included a kids oriented Zumba class led by Homestead’s Benefits Manager, Margaret Fitzgerald.
Homestead Funding Corp. has been a supporter of the American Heart Association for the last 21 years, and it is an organization that is near and dear to our heart. In particular, Jeff Mason, our Human Resources Director, has been leading our fundraising efforts since day one. In addition, our Vice President of Sales & Marketing, Daniela Bigalli, was part of the American Heart Association's Executive Leadership Team, which spearheaded this year's fundraising efforts. This year, we helped raise $24,485 through sponsorships and donations!
The Heart Walk raises vital funds for the American Heart Association’s research and education programs. Currently, the organization is investing more than $2 million in the local area to fund cutting-edge research, to provide professional and public education, and to make public advocacy efforts in federal, state, and local governments.
To learn more about the Heart Association, please visit their website.