Buying a house is an exciting but often overwhelming experience, particularly if you are buying your first home. As your realtor, with a local office in Frisco CO and extensive knowledge of the Summit County real estate market as a whole, we can guide you through the process of buying a house. We will ensure that you find the right home for you, at the right price for you.
Buying a second house in Summit County can also be challenging if you are traveling to do your research. Leah Baxter can make that easy for you by previewing homes that you may be interested in. She will also provide you an up to date real estate market analysis including pricing, location, or investment properties. Her assistance and careful care will make the process of buying a house in Summit County smooth and seamless.
Here are few things to think about when you are researching how to buy a home in Summit County.
Setting a Time Frame
There are a lot of variables to consider when buying a house. This means the time it takes to find and buy your new home will vary as well. A typical home search may take three to four months, including the mortgage approval process, comparing and evaluating properties, making an offer and the closing process. The loan process typically takes 30-45 days.
The Lending Process
Perhaps one of the most intimidating aspects of buying a home is the mortgage approval process. We’ll be here to help guide you through this, but there are many ways you can prepare early to make the process smoother. Start by making sure your budget is under control. Make a list of all your monthly expenses, compare it with your income, and see if adjustments need to be made. You should also try to pay off small credit card balances. Start gathering documents you may need, such as W-2 forms, income tax returns for the past few years, pay stubs, records of child support or alimony, bank statements for the past several months, and your credit report. Also, be sure to allow for closing costs. Getting several offers will allow you to compare loans and get the best deal.
Determining How Much You Can Afford
A general guideline to consider is that most people buy a home that costs about one and a half to two and half times their current annual income. For example, someone earning $50,000 a year might purchase a home for $75,000 to $125,000. Mortgage payments should be about 26-28 percent of your gross monthly income. Existing debt is also considered in the mortgage process, and total debt payments (car payments, credit cards, student loans, etc.) should not exceed 40 percent of your gross monthly income.
Finding a House That Meets Your Needs and Wants
Before you start looking at properties, make a list of “must-have” features along with optional features you’d like to have. “Must-have” features may include the number of bedrooms and bathrooms you’ll need to accommodate your family, location (consider if you are going to use this part time and rent it out part time to offset you costs), lot size and special needs (handicapped access, etc.). Optional features may include the architectural styling, views, ski in-ski out, landscaping, etc. Having a clear idea of what you want in a house will help your local realtor find the perfect property for you.
Educating yourself how to buy a home is key to getting a home you love and can afford. As your local realtor, we are here to answer any questions you might have and guide you through the process of buying a house in Summit County CO. Click here to view our Needs and Wants Checklist to get started!