A Checklist of What to Do Before You Buy a House in Fort Collins
Understanding the process of buying a house in Fort Collins and how much can be involved before you even look for a Fort Collins real estate agent is a daunting process. That’s why I am here to educate you on the process.
First Step: Get Pre-approved for a loan
Pre-approval vs pre-qualification: Getting a pre-approval can be done in a few simple steps. It involves a general overview of debts, income and assets. Your lender will need to look at your W-2′s and your current pay stubs for the last few months. This gives the lender an idea of what your mortgage you could afford for your house in Fort Collins.
COMPLETE YOUR OWN DUE DILIGENCE FOR BUYING YOUR FORT COLLINS HOME
Inform yourself on every bit of useful information you possibly can about the purchase of your potential new house in Fort Collins.
- Familiarize yourself with the Fort Collins neighborhoods you and your family would be interested in living. Determine what details you must have in your house, and the type of Fort Collins home you want. If Fort Collins Schools are important to you then do some research on www.greatschools.net Parents review schools and each school is given a score. From here you can visit the different schools you are interested in and try to talk with some parents that have students that currently go there. If you are completely unfamiliar with the area (for example: relocating to Fort Collins from another state), then you will rely on your Fort Collins real estate agent for most information.
- Find out about the mortgage process. Get referrals from your Fort Collins real estate agent.
- Learn the difference between an FHA (Federal Housing Administration) loan and a Conventional loan and how it can effect your monthly payment. And the difference in down payment amounts, which can be huge.
The most crucial part of your Fort Collins house hunt. Without knowing exactly what you can afford in your budget each month, you are wasting your time and energy looking at homes that you may not be able to afford. The lender will provide you with this information.
- HOA or Condo Association Fees. If you plan on moving into a Fort Collins neighborhood that has an HOA (Home Owner Association), then be prepared to pay the required fee every month or quarter. It is also important to know what is included with this fee. At first, it may seem ridiculous for you to have to pay such a fee for a pool. After further investigation, you may find that it probably includes exterior insurance (including roof), cable, water/sewer, and even snow removal. When you tell your lender which Fort Collins neighborhood you are interested in buying, they will inform you if a fee is required. They will consider that during the pre-approval process as it will be part of your mortgage payment.
FIND YOUR FORT COLLINS REAL ESTATE AGENT
Talk to friends and family about a Fort Collins real estate agent they have used in the past. If he or she showed positive production to your friend, then the agent will surely do the same for you. If your friends do not have someone they like that they can refer, the local Chamber of Commerce is a good place to start and of course a good Google search should yield some good results. You can read a prospective real estate agents blog and website and get a feel for that person and if you would enjoy working with that person. You want a full-time agent who is a hard worker and knowledgeable about the area you seek – local knowledge is critical.
- How Your Realtor® Is Compensated. Your Fort Collins real estate agent is paid through commission only – we do not have an hourly wage or minimum base salary. We are paid by the seller, and only compensated upon closing. During the Fort Collins home search with your agent, all the time spent and gas used is all on his or her dime. If your agent spends time with you in your search, then it is important to stick with them and be loyal to them until the transaction is complete. You need only one real estate agent as they can show you every home on the market in the area you wish. There is no need to contact several agents as this does nobody any good and you will not get a better deal.
I hope this helps you with your Fort Collins home buying process. Feel free to contact me for any information you may have.
Fort Collins Real Estate agent, Changing Fort Collins Real Estate one transaction at a time…
Allison Klein – Broker Associate
Full House Realty Group