Real Estate Tips for Florida Home Buyers
September 11, 2023
Real estate tips for Florida home buyers – Are you even ready to purchase a new home?
Whether this is your first time buying a home or you’re a pro, these tips are crucial when looking to buy a new place.
- FIRST TIME BUYER – Are you financially able to buy a new home? The average home loan is 15-30 years. You may feel your finances are secure enough at the moment to make that monthly payment but what happens if you lose your job? Do you have enough money in your savings account to cover you for a year? Even AFTER all the fees of closing on your home, as well as any monies needed for home repairs and new home décor, etc.? Ask yourself these questions. Living paycheck to paycheck is not fun and buying a home can be the most stressful event you’ll ever encounter. There are typically always added expenses that you are not aware of when buying a home. Be sure you’re bank accounts are where they need to be so you can be prepared and ready to make that commitment. Some say 3 months of expenses is enough but in my opinion, it’s best to have at least 6 months saved before considering buying a new home.
- IS THIS A GOOD TIME TO BUY A HOME IN FLORIDA – What do the current interest rates look like? How is your credit? These both play a crucial part of your loan and even the slightest change can make a huge difference! If your credit score isn’t where it needs to be then you must be patient and fix your credit before purchasing a new home. It could end up saving you hundreds of thousands of dollars in the long run. Create goals, write them down, pay off all your debt and then save, save, save.
- DON’T FORGET ABOUT ALL THE ADDITIONAL FEE’S INCLUDING CLOSING COSTS – Don’t think that a down payment is all you need. There are upfront expenses involved when buying a home that you will be required to pay, ( even if the seller pays your closing costs ) Your closing disclosure will show you what your closing costs will be. Generally, you can expect to pay 2 – 5% of your total loan amount in closing costs. These fees include appraisal fees, pest inspections, water and well inspections, home inspections, attorney fees, property taxes, home owners insurance, discount points, title insurance expenses, escrow fees, home owners associations, and more.
Choosing the Right Mortgage Lender & Real Estate Agent Matters
- PREQUALIFICATION IS NOT THE SAME AS PREAPPROVAL – Now that your finances are in order and you’re ready to make that move it’s time to see what you qualify for. Please remember that getting pre-qualified for a mortgage is NOT the same thing as getting pre approved. A prequalified letter is a quick credit check along with proof of W2’s, bank statements etc. and is used for a guideline as to what price range you are qualified for. Once you find the perfect home is when the mortgage lender begins to dig deeper into the approval process. FYI: There is typically ALWAYS something that comes up during this phase. Be prepared so things run smoothly. Find a reputable mortgage lender in Florida who will work hard to get you approved and guide you along the way.
- YOUR REAL ESTATE AGENT DOES MATTER – Another crucial part of the buying process is finding the right real estate agent. Your agent is going to become your best friend or worst enemy during your home buying experience. It’s important to choose someone that you connect with. Someone who understands what you want. How you picture your dream home looking, where it’s located and how much money you feel comfortable spending. When contacting Real Estate Agents in Florida take your time to listen to THEM. Listen to their thoughts, their concerns and watch their actions. FYI: You do NOT have to commit to the first agent you speak with. HOWEVER, Real estate agents are extremely busy and the right one work around the clock for you. Do not take advantage of them. If you’re going to commit, then commit. Don’t expect them to invest their time and energy into your relationship if you’re not feeling the connection. It’s important to respect their time and energy as much as they need to respect yours.
- DO NOT USE YOUR CREDIT CARDS OR APPLY FOR A LOAN – Now that you have your agent picked out, they should begin guiding you along the way. This guidance includes explaining the do’s and don’ts of buying a home. The first rule is: Do not apply for a loan, buy a vehicle or acquire any new credit cards during your home buying experience. This should be a good rule of thumb for the 12 months leading up to purchasing a new home but is a MUST until the day after you close.
The Florida Real Estate Guide is your information resource highway to the sunshine state and packed full of information you will need along the way. We will always try to give you the best real estate tips for Florida home buying. Trust in the companies below to ensure your new home buying process is as smooth and easy easy as it can be.
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