So you have purchased a home before, but you may need a refresher course. This will give you a little bit of info to get you started.
Where do I begin?
The last time you purchased a home could have been last year or 20 years ago or more. You may remember some of the steps, but we want to make sure that you don’t leave anything out. Call us at 512-699-0786 to get started.
Do you have a home to sell?
If you have a home to sell in the Austin area, we can help you with that. If you are planning to sell your home before you buy, you will need to work out the details of the move. This can be tricky if you are trying to move out of one home and close on the next home. It can be done, and we will make it as painless as possible.
If you are planning on buying a home before you sell your current home or if you plan to lease your current home, it is wise to start with a lender if you are not paying cash. The lender will take into account your debt to income ratio. The lender will use your current mortgage, property taxes, and insurance in the debt/income ratio as well as your other debts. Now if you are planning on renting the current property, you will have to have a lease in place before the lender will consider the rent as income. And, they will only consider up to 75% of that rent as income. The other 25% is considered a risk since you may have monthly repairs or vacancy.
If you are buying a second home, and you will keep your current home as a homestead, the rules for getting approved are similar. You should consider whether you will use your second home to produce income or use it as a secondary residence.
Once you have the pre-approval letter in place, you are ready to start looking for homes. When you find the home of your dreams, we will submit an offer and negotiate with the sellers. After we have a contract on a house, we will submit earnest money and option money and then do our inspections. Closing occurs about 45 days later, and you are a second time home buyer!
For more details on buying your next home, call us at 512-699-0786 today!
