In today’s dynamic real estate market, first-time homebuyers face unique challenges and opportunities. With shifting trends, evolving mortgage rates, and fluctuating housing inventory, embarking on the journey of buying your first home can be both exciting and daunting. Comprehensive guide and checklist are necessary to equip you with the knowledge and tools to navigate the process successfully from A to Z.
Recently Realtor Clovis CA, Linda Peltz, accompanied by Michelle from the Hero Loan Team, provides valuable insights into the home buying process in recent video discussion. They emphasize the importance of starting the process by connecting with a lender or real estate agent to determine eligibility and budget. Linda highlights the distinct roles of lenders, who handle financial aspects, and realtors, who focus on finding the right house.
They discuss the significance of pre-approval, clarifying the difference between a soft pull and a hard pull on credit. They also recommend finding professionals who are a good fit for the buyer’s needs and preferences. Working as a team, the realtor and lender ensure a smooth experience for the buyer.
Learn more in video discussion below to get glimpse of all home purchase process.
How Home Purchase Interest Are Shaping Overtime
At first, Michelle from Hero Loan Team stated that home purchase process has changed a lot over the years. Even compared to 10 years ago, it’s very different now. Things have become more electronicized. People now search for properties online, often starting on websites like Zillow or the MLS attached to their real estate agents. But sometimes, that leads them into a fantasy mindset, where they’re looking at properties they may not actually qualify for.
It is why it’s crucial to talk to a lender before starting the house-hunting process. Whether buyer connect with a lender or a real estate agent first, they can guide you and help buyer figure out what the buyer qualify for. It’s important to have that conversation with a lender to determine their budget.
And when buyer connecting with a real estate agent or a lender, make sure they feel comfortable working with them because the buyer be collaborating for some time until the process is complete, she added.
Once buyer get in touch with a lender, they can answer all their loan-related questions. Sometimes, clients ask realtors financial questions, but it’s important to redirect them to the lender because they handle the home financing while we focus on finding the right house.
The lender company like Hero Loan Team handles all the home financing option, while the realtor takes care of the house-related matters. They work together, but their roles are distinct. Also there are many factors to consider, like the rules that have changed this year or the advantages and disadvantages of things like HOA. These are topics where a realtor Clovis CA like Linda Peltz can provide valuable insights.
After buyer spoken to the lender, the next step is to do the loan application and provide the necessary documentation. This is why lending company like Home Loan Team able to help and give extra hand to grant the request.
The Importance of Pre-Approval in Home Purchase
Linda reinforces the importance of pre-approval by explaining that sellers expect serious buyers who have their financing in order. She highlights that without pre-approval, realtors cannot show properties, and buyers risk missing out on desirable homes that don’t wait around for unprepared buyers.
Michelle introduces the concept of pre-qualification, pre-approval, and underwritten approval. She explains that pre-qualification provides a baseline estimate based on provided information, while pre-approval involves a thorough assessment of credit, income verification, and documentation. Underwritten approval goes a step further, providing additional verification and giving buyers a competitive edge.
With a pre-approval in hand, buyers can start working with a realtor to search for homes. Michelle suggests using an auto prospecting system that filters listings based on the buyer’s criteria, saving time and providing access to accurate and real-time information.
Linda and Michelle acknowledge that the process involves paperwork, coordination with various agencies, inspections, and escrow. They emphasize the role of communication and coordination in ensuring a smooth transition from escrow to closing, with realtors taking care of coordinating agencies and keeping clients informed.
Linda and Michelle reiterate the importance of communication in both the real estate and lending industries. They highlight the need for open dialogue and clear communication among all parties involved to ensure a successful home buying experience.
Michelle concludes by providing contact information for the Hero Loan Team, encouraging readers to visit their website or call directly for assistance with their home buying journey
Hero Loan Team
Linda Peltz, eXp Realty | DRE 01997670