Get Your Independence from Rent This Independence Day

Independence Day is a time to celebrate our freedom. For many people, true independence means owning their own home.  If you’re tired of paying rent and want to achieve the American Dream of homeownership, here are a few tips to get started.

Get Your Finances in Order

“Before you can start looking for a home, you need to make sure your finances are in order,” says Carol D. Calamari, Sales Associate at ERA Justin Realty,  “This means you need a good credit score, a steady income, and a down payment saved up.” 

• Credit Score: Lenders will use your credit score to determine whether you’re a good risk. Aim for a credit score of at least 680, which is the average score for most homebuyers.
• Income: Lenders will also want to see proof of a steady income. You’ll need to provide pay stubs, tax returns, and bank statements. So start collecting them now.
• Down Payment: The down payment is the amount of money you’ll pay upfront for your home. The larger your down payment, the smaller your monthly mortgage payments will be.

Get Pre-Approved for a Mortgage

“Getting pre-approved for a mortgage is the next most important step in the process,” says Jennifer Darby Metzger, Broker/Owner of ERA Justin Realty. “Your lender will give you a letter stating how much you can safely afford to spend on a home.” 

 Start Looking for a Home

Once you’re pre-approved for a mortgage, you can start looking for a home. There are a few things to keep in mind when you’re searching for a home:

• Location: Consider your commute to work, your proximity to schools, shops, restaurants and entertainment.
• Size: Make sure the home is the right size for your needs. 
• Condition: Inspect the home carefully for any repairs that may be needed.

Make an Offer

When you find a home, you’ll need to make an offer. “The seller may accept your offer, reject it, or counteroffer,” says Calamari, “A knowledgeable real estate agent will examine comparable homes and make sure your offer is competitive enough to be the winning bid, but not more than the home is worth.”

Close on the Home

Once your offer is accepted, you’ll need to close. This involves signing the mortgage documents and paying the closing costs. Once you sign on the dotted line, you’ll be the official owner! Now you can start enjoying all the benefits of homeownership, like building equity, getting tax breaks, and making your home your own.

If you’re ready to break free from rent this July, give Carol D. Calamari or any of the agents at ERA Justin Realty a call at 201-939-7500.