For many Americans, buying a primary residence is the most substantial investment they will ever make. It is also the most important. Buying a home is about more than owning real estate. Where you live determines where your children go to school, the experiences they enjoy growing up, where you retire, and more. Money-wise, you will be paying your mortgage for years into the future so this is not a decision you want to make lightly. If you are considering buying a home in Frisco, this guide will help you navigate the real estate market for the first time.
Assess Your Financial Situation
First things first, you need to determine if you can afford a home. Before you even start looking at Frisco homes for sale, you need to determine if you qualify for a mortgage and what to do if you don’t. You also need to know what loan programs you are eligible for and how much money you need for a down payment and closing costs in Frisco. The best way to get this information is to visit a lender and ask them to run your credit. You will need to pay a small fee for your credit report.
Surround Yourself with the Right People
The next most important thing you must do is hire a professional like Frisco TX real estate agent Karrie Johnston to represent your interests. The listing agent works in the interest of the seller. And while they might offer to represent you, their focus and loyalty is not primarily on you. This is why you need to work with a buyer’s agent to help you navigate the paperwork, negotiations, inspections, and more.
Get Preapproved for a Mortgage
With your credit report and other financial documents, visit a lender to get pre-approved for a mortgage. Most sellers in Frisco will not take you seriously unless you have a pre-approval letter that shows you have a lender backing your bid. This letter also tells you what homes you can afford so you don’t waste time on homes beyond your financial capability.
Plan Your Finances
The amount of cash you need to close a deal will depend on the financing program for which you qualify. Usually, you need a 10 percent earnest deposit to make an offer on any home. This means you need $5,000 to bid on a $500,000 home. This amount will be credited toward closing. Closing costs typically fall to 3 percent of the purchase price and this includes insurance and taxes. Work with your lender to get your finances in order, minimize your debts, and improve your credit.
Establish Your Home Needs
With your finances in order, you can start exploring homes for sale in Frisco. It is important that you establish and discuss with your agent what you want from your new home. Try not to get swept away by the aesthetics. Ask yourself, is the home in a good school district? Is your workplace accessible from that particular neighborhood? Can you easily access dining, shopping, and recreational establishments?
Talk to a Frisco Real Estate Agent
Living in Frisco allows you access to the beautiful climate, many amenities, and the rich job market in Texas. Frisco’s cost of living is also moderately low compared to other cities. This is not to mean that a real estate investment cannot go sideways. It can, especially if you do not protect your interests by working with an experienced Frisco agent. Karrie Johnston has years of experience in the Frisco real estate market and can help you buy your first home with minimum hassle. Call her today to learn more.
