Charlotte Home Buyers: 3 First-Time Home Buyer Mistakes and How to Avoid Them
Recent banking and mortgage scandals have forced Charlotte NC lenders to complete due diligence on all individuals who apply for new mortgages. There are steps you can take to avoid making errors in the mortgage process. Time lost correcting these mistakes can have consequences, and may even result in the loss of the Charlotte NC house you were attempting to buy. Don’t miss out. The market can move quickly and the competition for great homes is intense.
Here are three common mistakes to avoid:
Mistake # 1
Your idea of good credit and that of the bank may be quite different. Your credit history will be closely scrutinized not once, but perhaps several times before any decisions are made on your mortgage. Take responsibility for your credit score. Start off by getting copies of your credit report from the three leading credit reporting agencies. They are available at no charge. If you spot errors, report them to the credit agency and to the company that reported erroneously. It is essential that these errors be fixed before you go any further with your mortgage application. The repercussions of not correcting inaccurate information can be quite severe. It could affect the interest rate you will be charged for your mortgage. Worst case scenario: Your mortgage can be denied.
Mistake # 2
Not understanding the difference between pre-qualified and pre-approved can have a negative impact. When a Charlotte NC lender pre-qualifies you, he is simply stating that you have the ability to repay a mortgage loan up to an estimated amount. None of your personal or financial information is validated. When pre-approval is granted, all pertinent facts about your finances are studied. A close look at your total assets, all of your debts and past credit history are all taken into account. Upon passing this phase, the bank will give you written confirmation of your ability to complete a Charlotte NC real estate transaction, which can speed up the buying process.
Mistake # 3
Don’t buy a Charlotte NC house for all the wrong reasons. Because a house is pretty, isn’t reason enough to buy.
Does the space meet your family’s present needs and your future requirements? Is it close to schools, shopping, free-ways? Does it feel right? Does it pass inspection? Will it hold or grow in value over the years? Give these items serious thought before you commit.
I am happy to work with first time buyers in securing their dream homes at a fair price. You can count on me for excellent, dependable service. Check out my Charlotte NC VIP Home Buyer Program!
Happy House Hunting!
Charlotte NC/SC Realtor