Looking for a home? Whether you are a first time home buyer, wanting to downsize, or looking to invest, this stop will show you how to buy a home in the East Bay.
BUying a home is a big deal
Congratulations on deciding to purchase a home, and thank you for stopping here to see how to buy a home in the East Bay! Purchasing a home is like no other purchase you will ever make. You are buying weekends doing little projects around the house, a place to raise a family, a little financial security, and a lifetime of memories. Every transaction is different and there is a lot that can happen in your journey to buy a home. We are here to make the process easier and more efficient. Let us give you an idea of what to expect at each stage of the process.
GET YOUR FINANCING IN ORDER
The second step in the process is to get your financing in place. In order to write an offer you must have a current mortgage pre-approval from a lender or proof of funds from your bank if you are paying cash.
What does it mean to be pre-approved?
A pre-approval will give you the complete measure of the home you can afford and will keep you realistic about your options. You will be asked to fill out a loan application, provide financial documentation, and have your credit run. The mortgage broker or bank will need to verify your down payment and assets. Once this happens you will be issued a pre-approval letter with a commitment from the lender to finance your loan up to a certain price.
Your pre-approval is typically good for 90 days. Any changes to your financial information could alter your pre-approval at anytime. Unless instructed to do so by the mortgage broker or bank, do not pay off any debt, open new credit cards, or make any large purchases; if you change jobs you will need to notify your mortgage broker.
If you are not currently pre-approved we can provide you with recommendations of reputable local mortgage brokers and mortgage bankers.
Paying Cash?
Sometimes this happens! If you are planning to make a cash purchase you will need to provide a proof of funds for the entire purchase amount, plus closing costs. The funds must be in a liquid checking or savings account so consider transferring the money sooner than later.
Regardless of whether you are financing your purchase or paying cash you will need to plan for depositing 3% of the purchase price into the agreed-upon escrow account within 3 days of acceptance. Be sure to set this aside now.
If you would like to know what your anticipated closing costs will be let us know and we will happily run an estimated net sheet of costs for you.
Having your financing in order allows you to make a quick and serious offer when the time is right. Now that you are all set it is time to start the search.