It's important to pre-qualify!

Finding the perfect property is only a matter of time. Being prepared to purchase the home of your dreams when you find it is a matter of being pre-qualified. Serious homebuyers will become pre-qualified because they know that when they find their new home, the seller will take their offer seriously. When a pre-qualified homebuyer submits a written offer to purchase, they are saying to the seller that they can afford to purchase the home and will purchase it, if the terms can be agreed upon. This gives the prospective homebuyer a stronger negotiating position with the seller.

If you were selling your home, and on the same day received two offers at similar selling prices and terms and one buyer was pre-qualified and one was not, which would you accept? Your agent would recommend that you accept the pre-qualified buyer because they know the buyer can afford to purchase your home. They know that the buyer's finances are in order and they are ready and capable of signing a binding sales agreement. Your agent would suggest that you accept the second offer as a back up offer. Do you want to rush around at the last minute trying to get your finances in order, hoping the first offer falls through, while the property that you really wanted is being sold to someone else?

Financing Success Stories

Mr. & Mrs. Pixton came to me for a home loan. They were a young couple soon to be married. Although the Pixton's both had good jobs, like most couples they had not been able to save enough money to purchase their first home. I suggested a 103% loan program, which allowed the Pixton's to finance all their closing cost and the down payment allowing them to purchase their fist home for very little cash out of pocket.

I would be interested in information on the 103% loan program.

Clair Otto is a first time homebuyer who was referred to me by a past client. Clair had been able to save some cash for the purpose of buying her first home. However, Clair did not have enough money to cover all the cost associated with purchasing a home. I suggested a program where the seller paid all of her closing cost and all Clair needed was a 3% down payment.

I would be interested in a loan program where the seller pays the closing costs.

The 103% loan and a loan where the seller pays the closing costs are only a small sampling of the loan programs available to homebuyers. If a down payment is a problem, there are programs that will cover the majority, if not all, of your closing costs. If your credit history isn't perfect, your loan officer can recommend ways to get your credit back on track or find a program that suits your financial situation. You may be pleasantly surprised with the type of home loan for which you can qualify.

I would like the Karsten Team to send me information on other available loans.

The mortgage calculator is a standard on today's real estate web sites. They can tell you how much your monthly mortgage will be with a given interests rate, down payment and home price. Don't let this be your only criteria for deciding how much home you can afford or if you can afford one at all. They do not take into account the tax benefits of owning your own home. Most likely you can afford to pay more on your mortgage than you do in rent because of these savings. The Karsten Team has a strong background in tax consultation and can help you decide if buying a home makes sense. Click here to access our mortgage calculator.