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Buying a Naples Condo or Florida Family Home
There is no doubt that buying a home is an exciting prospect. It is also one fraught with stress and occasionally fear. Your real estate agent should assist you wherever you need them to and address your concerns as they arise. There are a number of concerns facing a prospective homeowner and we discuss a few of them here.
Scheduling or setting a timescale is one of the most difficult things to do when buying a home. You are dependent on so many external factors and agencies during the process that it?s very difficult to predict when everything will be ready and you get your keys. A typical purchase will take approximately three months from offer, mortgage application, searches to the closing.
One of the most intimidating exercises during buying your Florida home is the financial aspect. If you are like the 95% of home purchasers who need a loan or mortgage to secure their home, then this is something you will have to endure. There are some things you can do to grease the wheels a bit to make things go a little smoother.
Making sure your finances are under control and organized is a great way of easing the process. Collating a breakdown of income and expenses ready to present to the lender in advance, and paying off any smaller outgoings like credit cards or personal loans. These outgoing, although small are all taken into account when a lender considers your application. You should aim to have less than 40% of your monthly income tied up in paying debt, including the mortgage itself.
Get all your paperwork together like income tax forms, W2, payslips, bank statements and any legal documentation you may need. Your payslips and bank statements should go back at least six months to give your lender an accurate picture of your circumstances. Plan your moving costs in advance and set that money aside also keeps things organized and prevents any last minute scrambling for cash!
Determining how much you can afford to borrow is another big decision you need to make in advance of even beginning your home search. There is nothing more frustrating than finding the house of your dreams and then not being able to afford it. The mortgage lending market has changed significantly in the last year, with loan amounts decreasingly steadily. Borrowers used to be able to borrow anything up to six times their salary, now it?s more realistic to be able to borrow between one and a half to two times your salary. Studies suggest you should be paying no more than 25-30% of your monthly income on the mortgage.
Once all the paperwork is sorted you should think about the property itself. Having a pre-existing criteria set will help you in your search. A list of ?essentials? and ?nice-to-have?s? will help you when selecting prospective properties. There are a lot of beautiful homes and condos in Naples and a list of needs is essential in making sure you don?t go on looks and price alone.
