So far in this series I’ve covered a few tips when buying a home and if you haven’t had a chance to view the videos just go ahead and sent me a message and I’ll forward you off the links.
Now many people go about the home finding process backwards. They go through the entire process of searching, evaluating, and writing an offer on their home, WITHOUT being financially prepared.
And it usually costs them time, money and effort! Not only them but everyone involved!
Completing a few things up front before you go searching will set you up for success.
Here are three of them:
First, find a lender.
No, don’t just go down to your local bank where you’ll likely to be slowly tortured. Your banker may be a good friend for your checking, savings and perhaps an auto loan. But most bankers are not motivated to work hard to earn your business (although some are changing their ways).
That’s because one of the quotas bankers have to live by is: “How many BAD loans did you originate?”
They don’t get measured by their production…
They don’t get measured by their service…
They only get measured by the MISTAKES THEY AVOID!
Now, I know if your local banker sees this, he’s going to cringe a bit, and start reciting all the ad campaign most banks are pushing these days. But the truth is…
There Is Absolutely NO Incentive For A Traditional
Banker To Serve Your Best Interests
What you want to do is find a mortgage broker who is MOTIVATED to get your loan. One who represents many different products, and can offer you many options for making your loan most affordable.
Here’s an important tip: talk to two or three brokers or mortgage specialists. Why?
There’s power in numbers and influence. Use it to your advantage.
Now, the second thing you want to do is GET PRE-QUALIFIED. Better yet if possible, try to get PRE-APPROVED.
Because the first question any home seller will ask when an offer is presented is “Is your buyer approved for a mortgage?”
And rightfully so! The seller doesn’t want the deal to fall through because you couldn’t get financing. When they accept your offer, their home comes OFF the active market. If you fall through, it costs them time and money.
Plus, there’s one more reason to get pre-qualified or approved…
You Will Have Much More Power To Negotiate
Price And Terms When You’re Financially Qualified!
When you have money behind you, the seller knows you’re serious. And a serious buyer ALWAYS has more influence to negotiate. So do yourself a favor, GET PRE-QUALIFIED or PRE-APPROVED!
Now, the third way to become financially prepared is to have deposit funds available immediately. At the very least 5% of the highest price you’re willing to pay ready in your bank account.
If you’re serious about buying, Over the years I’ve dealt with many Mortgage brokers and specialist and I have a list of my top 3 based on results they got my clients. If you’d like their contact details just head over to planwithmike.ca where you can schedule a call with me and I’ll get you started from there.