With mortgage rates being at all time lows, making home loans more affordable than ever more buyers are considering their first purchase. If you are thinking of taking the leap you may be wondering where to start to locate the right home and have a smooth transaction. We would like to share some tips from the team and answers to common myths here today.
Myth 1: You have to have perfect credit to buy a home.
It is correct that the higher your credit score the more options you will have in choosing a mortgage. However, having a score in the lower ranges does not mean it is impossible to obtain a loan. If you are thinking of a purchase talking with a lender will help you to navigate your credit report and verify the loan options that are available to you.
Myth 2: You must have a 20% down payment.
Having a large down payment will lower your payments but is not always necessary. Many loan programs are available that will allow as little as a 3.5% or in some cases no down payment. Talk with your lender about options such as an FHA or Rural Development loan.
Myth 3: Buying a foreclosure will get me a huge discount.
Yes, the banks are looking to thin their inventory but they are also trying to protect their interests as well. Though some foreclosed properties are offered at lower than market value prices this is not always the case. The bank obtains a market analysis of the property and sometimes a full appraisal prior to listing it on the market and price it accordingly to see what the market will bear. In most cases the bank would prefer to lower the price in small increments until they obtain a reasonable offer rather than accept a cut rate offer.
Myth 4: The perfect home is out there if I just keep looking.
When you step into the house that is right for you for the first time you will know it. Prior to viewing homes make a list of the things that are most important to you in a home and of what things would be a deal breaker. Once you have an accepted offer we encourage you to have a home inspection which will reveal if any of your deal breaker items exist or if there are simple maintenance items that you are willing to address so that you do not lose the opportunity of owning the home that was meant for you.
Tips From The Team:
*Give yourself time to look and be flexible. With this being a busy vacation area many properties you are interested in may not be available on certain days, especially weekends. Purchasing a home is a serious investment and is worth taking a few days away from other obligations when you are ready to look. Scheduling a trip during the week instead of on a weekend will make your trip much more productive as more homes will be available and there will be less traffic to delay your day.
*The market is moving at a pretty rapid pace. It is crucial to have a mortgage pre-approval or proof of funds letter in hand when you come to look. Many sellers will not even approve a showing unless we are able to provide this ahead of time.
*All of the areas we serve offer different amenities. Know ahead of time what is most important to you about location such as views, level roads or mountainous and proximity to town. Doing this we will help us make sure we are spending your time here at homes you will love.
We hope that this information is helpful to you as you begin to pursue a new home. We invite you to begin at our website to see all that is available in the Sevier County region of The Great Smoky Mountains.
Here Are A Few Of My Featured Listings:
|2 For The Price Of 1 A great opportunity to own two Chalet Village lots for the price of one. Type: Single Family Home Location: Chalet Village Price: $15,000 Get more information >|
|180 Degree City & Mountain Views Produced over $14k in rental income in 2012. Very private ridgetop retreat w/wraparound covered deck that has amazing 180 degree views of the mountains & city lights. Type: Single Family Home Location: Chalet Village Price: $189,900 Get more information >|
|A View Second To None Over $40,000 in rental income for 2012! Aptly named A View Second To None, this chalet has breathtaking views of Mt. LeConte. Located just minutes to downtown Gatlinburg & Ober Gatlinburg Ski Resort. Type: Single Family Home Location: Chalet Village Price: $269,900 Get more information >|