Frequently Asked Questions
What do I need to have to get preapproved by a bank to buy my first home?
When you apply for preapproval, the bank will review your financial situation, including your income, debts, credit score, and employment history, among other factors. Based on this information, they will determine how much money they are willing to lend you, and what interest rate and terms they can offer you. This of course may varies depending on your personal situation.
What is the credit score required by the bank to approve a home loan?
How much can I afford to spend on a home?
You can determine how much you can afford by getting pre-approved for a mortgage. This will give you an idea of what your budget is.
What are the costs associated with buying a home?
What type of home should I buy?
The type of home you should buy depends on your lifestyle and budget. You can choose from a single-family home, townhome, condo, or co-op.
What is the process for buying a home?
What is the difference between a pre-qualification and pre-approval for a mortgage?
A pre-qualification is an estimate of how much you may be able to borrow based on your income, debt, and credit score. A pre-approval is a more formal process that involves a credit check and documentation of your income and assets. A pre-approval gives you a better idea of how much you can afford and can help you stand out to sellers when making an offer.
What is a mortgage, and how does it work?
What should I look for when viewing homes?
When viewing homes, you should look for the condition of the home, location, size, layout, and any potential issues that need to be addressed.
Should I get a home inspection?
What is a home appraisal?
A home appraisal is an assessment of the value of a home. This is typically done by a licensed appraiser.
What is earnest money, and how much do I need to put down?
How long does it take to close on a home?
The time it takes to close on a home varies, but it typically takes between 30-45 days from the time you sign the purchase agreement.
What is a contingency, and do I need one in my offer?
What is the difference between a fixed-rate and adjustable-rate mortgage?
A fixed-rate mortgage has a set interest rate that does not change over the life of the loan, while an adjustable-rate mortgage has an interest rate that can change over time. Choosing between the two depends on your financial situation and future plans.