Your Guide to Getting a Mortgage

You are ready to buy a house, and chances are you don’t have a suitcase full of cash at your disposal. So, that means you will need to get a mortgage loan. Before you start shopping for your home, you will need to shop for a mortgage.  

Here is a step-by-step guide to help you along the way:

Step 1: Research Mortgage Lenders

Many first-time buyers make the mistake of finding the perfect house before they have shopped for a mortgage. All lenders are a little bit different in terms of interest rates, closing costs etc., so it is smart to comparison shop before choosing your lender. This process will also help you discover if there are any concerns lenders might have with your application so that you can take care of them before you find your dream home!

Step 2: Get Pre-Approved for a Mortgage Loan

Getting pre-approved for a mortgage is an important step that shouldn’t be skipped. It not only lets you know how much you can afford for a house, but it also lets sellers know that you are serious about buying and may give you an advantage over other buyers. 

Step 3: Get a Home Appraisal

Once you’ve chosen a lender, made an offer on a home, and signed a sales contract, your lender will want to schedule a home appraisal. A professional home appraiser will check out the home and assess its market value using comparable homes for comparison.

Step 4: Title Search

Once you have purchased your home, you will “take title” of the property. Congratulations!  You are now the rightful owner!  But your lender will want proof. So, they will ask for a title search. A paid title company will search public records for any possible heirs that think the property belongs to them, for liens that might still be on the home, or other issues. Once the title is cleared, you can move forward to closing. 

Securing a mortgage may seem like a long, time-consuming process, but when you sign the dotted line and become a homeowner, it will all have been worth it!

Looking to buy or sell a home in the Huntsville area? Let professional Realtor Mike Manosky help you with all your real estate needs! Give him a call today at 256-508-0211!

Photo credits: investopedia.com, totalmortgage.com, foxbusiness.com