Planning for the home you will own!

1. Assess Your Financial Situation

Make a list of all your bills- no cheating- list it all even the ones that hurt! Make 3 columns on the page- first column is the name of the debt. Second column is the total amount of the debt. The 3rd column is your minimum monthly payment. 

2. Meet with a Realtor

We game plan early on for our clients’ success.  In this meeting we will explain the process and show you the options available to you.  Let’s make the DREAM LIST.  We will discuss everything from soup to nuts!  Choosing an experienced, knowledgeable and creative  Realtor in this market is invaluable. Ask for reviews!

3. Review Your Credit Report

Your credit score plays a significant role in the mortgage approval process. Obtain a copy of your credit report from each of the major credit bureaus and review them for any errors or discrepancies. Address any issues that may negatively impact your score, such as late payments or high credit card balances. Aim to improve your credit score as much as possible before applying for a mortgage. See our blogs on credit.

4. Get Pre-Approved for a Mortgage

Getting pre-approved for a mortgage can give you a clear understanding of how much you can afford to spend on a home. We have compiled a list of lenders that have been highly recommended by our past clients.  They are creative and committed to your home buying success. You can compare programs and discuss rates and options. This process is where you will discover how much you should save for your down payment and closing costs. It’s never too early. 

5.  Save for a Down Payment and Closing Costs

Start saving for your down payment and closing costs early on. Set up a separate savings account specifically for this purpose.  Setup a budget and make your goal to be $1 more/month. 

6. Get to know where you want to live. 

Your purchase price affordability will ultimately determine your zip code.  What is important to you in this new town? Schools? Public Transportation? Commuting time?  You have plenty of time to explore while in the planning stages. Pick a town and take a drive.  Stop at the grocery store. Go grab a coffee.  Drive by the schools, parks and wherever you might spend time. Research different neighborhoods and housing markets in your desired area. Consider factors such as proximity to schools, amenities, commute times, and property taxes. Attend open houses, explore neighborhoods, and talk to local residents to get a feel for the community. Keep an eye on market trends and housing prices to gauge when the best time to buy may be.

6. Evaluate Your Housing Needs and Wants

Think about your long-term housing needs and priorities. Consider factors such as the size of the home, number of bedrooms and bathrooms, layout, and features that are important to you. Separate your must-haves from your nice-to-haves to narrow down your search criteria. Keep an open mind and be flexible, but also be clear about what you're looking for in a home.

Conclusion

Planning to buy a home a year in advance allows you to lay the groundwork for a smooth and successful home buying journey. By assessing your financial situation, improving your credit, saving for a down payment, researching neighborhoods, getting pre-approved for a mortgage, and working with a trusted Realtor you'll be well-positioned to make informed decisions and find the home of your dreams.  It is an exciting journey we hope to be taking with you! 

Kelly Catallo, Broker/Owner Cosmopolitan Team @ Realty ONE Group Cosmopolitan View more great tips @ CosmopolitanRealEstate.net