Buying a home in the Port Orchard Washington?

Tips to make the process a whole lot smoother

When you first decide to buy your home, you don’t really expect things to be bumpy. There’s nothing more discouraging than an unforeseen bumpy road while attempting to purchase a Port Orchard, WA, home. However, with help from the real estate experts at Coldwell Banker Parkshore, your purchasing adventure will be exciting. When you work with dependable real estate agents, you can save a lot a lot of time and money.

Our agents can help you successfully purchase your home in a moment’s notice. The Port Orchard real estate market is fast-paced, so you should have an agent that matches it. Once you decide to become a homeowner, you need to consider some things before you shop. Here are some tips to help you through the process.

Learn the financing basics. One thing that is necessary for you to know when it comes to financing is the difference between pre-qualification and pre-approval. Pre-qualification, according to Investopedia, is “an initial evaluation of the credit-worthiness of a potential borrower that is used to determine the estimated amount that the person can afford to borrow.” Pre-approval takes a little more work. According to Zillow, pre-approval “means a lender has determined how much you can borrow, the loan programs that you may qualify for, as well as the interest rate you qualify for. This assessment is based on things like credit score, income, debts, and employment history.”

Research your mortgage options. Our agents are more than happy to show you all the real estate Port Orchard has to offer. Once you have found a home you want to buy, you’ll need a mortgage loan. When it comes to mortgage loans, you mainly have two options to choose from: fixed-rate mortgage and an adjustable-rate mortgage. According to Investopedia, a fixed-rate mortgage is “...a mortgage that has a fixed interest rate for the entire term of the loan. The distinguishing factor of a fixed-rate mortgage is that the interest rate over every time period of the mortgage is known at the time the mortgage is originated.” An adjustable-rate mortgage (ARM), according to Investopedia, “An adjustable-rate mortgage is a type of mortgage in which the interest rate applied on the outstanding balance varies throughout the life of the loan. Normally, the initial interest rate is fixed for a period of time, after which it resets periodically, often every year or even monthly.”

Hire a buyer’s agent. When you hire a buyer’s agent from Coldwell Banker Parkshore, you’re getting the best real estate services that Port Orchard has to offer. An excellent buyer’s agent is worth more than just a good night’s sleep, it’s worth peace of mind as well.

Start setting aside money now. Do you know how much money you’ll need to save up for your home costs? If you need help figuring it out, use our mortgage calculator tool. Now is the best time to start saving any extra money that you have so that you can build your down payment.

• Down payment. What is a down payment? According to Zillow, “A down payment is the amount of money you spend upfront to purchase a home and is typically combined with a home loan to fulfill the total purchase price of a home.” Down payments can range anywhere between 3%-20% on average. The more you pay on a down payment, the more likely a seller is to choose you to purchase their home. There are some programs available to first time home buyers which don’t require a large down payment, and the buying agents at Blue Mountain Realtors will know if there are local low down payment options.
  
• Closing Costs. Closing costs can cost anywhere from 2%-5% of your total loan. If you’re not prepared properly, these costs can be very surprising. It is possible to have these costs covered by the seller if you include them in your offer and the seller approves. However, the seller covering closing costs is less prevalent in today’s market, so it’s best to plan ahead.
  
• Paying for mortgage points. Points cost 1% of your mortgage cost and can act as prepaid interest so you are buying down your interest rate. These mortgage points can save you money over the course of your mortgage.
  
• Move in costs. Whether you are moving a few blocks away, or you’re moving across the country, you will come across moving costs. This could mean hiring movers, purchasing moving supplies, and renting a moving truck. Make sure that you take these costs into account before moving into your Walla Walla home.

When you start shopping, this is the time to already know what it is you’re looking for. Make sure that you not only know how many bedrooms and bathrooms you want, but other important aspects as well: commute time, nearby schools, closeness in relation to civilization, and more.

Figure out which neighborhood is right for you. The internet is very useful for quick browsing, however, you never know what a particular neighborhood is going to be like until you visit it in person. Before you decide which home you would like to buy, you need to consider the neighborhoods that these Port Orchard properties reside in. Take some afternoon drives down Port Orchard neighborhood streets to get a better idea of the area. To find out more about the city, visit the City of Port Orchard website.

Keep an open mind. A particular home you were interested in may seem unattractive now, but be sure it’s because of the layout of the home and not something like a fresh coat of paint. One out-dated shade of paint can change your view on a home, but if you can look past it, you could find the perfect home for you and your family.

Submit a strong offer. Submitting a strong offer can be the difference between getting the home of your dreams, and being rejected. However, submitting an offer that is neither too high or too low can be very tricky. Your best bet is to get expert advice from the dedicated agents at Coldwell Banker Parkshore.

Read the fine print. Reading through your entire contract from beginning to end may seem tedious, but it is very important. From regulations to housing authority covenants to contingencies, there are so many items that could leave you with a surprise after closing if you’re not diligent. Look over your contracts and contingencies and make sure you’re happy with the considerations.

Get your agreements in writing. As always, it’s imperative that you get all agreements in writing. Your documents will be invaluable as a reference later if you need them.