Buying
It’s always a great time to achieve the American dream of owning your property. The first step is for us to meet to discuss your home needs and goals. Call us at 817-714-2633 to get started.
First, clarify your priorities for your home needs based on location, schools, proximity to work, features, and the reason you’re buying. There are pros and cons.
Newly Built Homes:
- Are generally more energy-efficient
- Modern with up-to-date building codes
- Newly built neighborhoods are desirable
- Typically offer excellent warranties (10-year structural, 2-year systems, 1-year workmanship)
- Have HOA dues in addition to your monthly mortgage payments
- May have common areas and swimming pools as part of the amenities
- You may suffer the inconvenience of construction
- Prices can be comparable to those of existing homes, depending on location
Existing Homes:
- Are usually sold “as is”
- May not be as energy-efficient, but can be updated, allowing you to take advantage of tax benefits for energy-efficient improvements
- Do not come with warranties, maybe a 1-year home warranty service
- Existing neighborhoods are already built out, so you don’t have to suffer the inconvenience of new construction sites
- Older neighborhoods have mature trees, and homes’ curve appeal may be more unique in character
- Don’t necessarily have HOA dues, which can save you money and headaches dealing with restrictions on what you can or cannot do to your home
- Prices can be better than new homes, depending on the location
The key is to clarify your priorities, which will drive your choices that best fit your needs.
As a homeowner, you have the ability to:
- Customize your space to suit your lifestyle and needs
- Cash in on appreciation benefits when you sell your house
- Enjoy tax benefits by deducting mortgage interest and property taxes
- Keep the same mortgage payment while rent goes up; the only variable is property taxes and insurance that can cause your monthly payment to increase, but you can always shop around for insurance and protest property taxes
- Build equity whereas when you rent you’ll never get a penny back
Call us at 817-714-2633 to answer all your questions. At Valencia Properties, we prioritize our clients’ interests. There are numerous details involved in purchasing a home, and we will guide you through every step of the process.
Work With Us
We coach our clients. Our goal is to make your experience with us positive, simple, and straightforward. Your home purchase is likely one of the most significant investments you’ll ever make, and we take it very seriously. We’ll have your back and work hard to help you find a beautiful home you’ll love and be proud to call your own.
From the moment you begin thinking about buying. Call us at 817-714-2633 to get started.
Our initial consultation is free!
Buying Process
Step 1: Hire us to represent your best interest; Call us at 817-714-2633 to get started
Step 2: Determine homeownership costs using our handy mortgage calculator to help determine your financial feasibility
Step 3: Get a mortgage pre-approval
Step 4: Tour homes and submit an offer on the house you want
Step 5: Get the home under contract and enter an Option Period
Step 6: Get the home inspected; negotiate any repairs; wait for the lender to give the final mortgage approval
Step 7: Close on your home
Step 8: Move into your new home
Step 1: Pay the earnest money deposit and the Option fee
Step 2: Order inspections (i.e., general, termite, foundation)
Step 3: Negotiate repairs, if any
Step 4: Notify the seller in writing that you are moving forward with the purchase of the property
Buyers may choose to pay an Option Fee to buy the right to cancel the contract during the Option Period for any reason and get their earnest money deposit back.
The Option Period is the number of days agreed upon between the buyer and seller during which the buyer may choose to do a home inspection and decide to proceed with the purchase.
The buyer may cancel the contract during the Option Period for any reason and get the earnest money deposit back but lose the option fee and any inspections paid.
New Construction
We will serve as your second set of eyes and give you our professional advice and opinion as you require. Call us at 817-714-2633 and we’ll be happy to match you with top local builders in the area that interests you.
Newly built homes are generally more energy-efficient due to improved building codes, more modern, and normally come with warranties (10-year structural, 2-year systems, 1-year workmanship). New communities have HOA dues in addition to your monthly mortgage payments. Some new communities may also have common areas and swimming pools as part of the amenities. Though you have to put up with construction for some time, newly built neighborhoods are very attractive. New home prices can be comparable to existing homes, sometimes better depending on location.
Step 1: Hire us to represent your best interest; Call us at 817-714-2633 to get started
Step 2: Determine homeownership costs using our handy mortgage calculator to help determine your financial feasibility
Step 3: Get a mortgage pre-approval
Step 4: Tour model homes and communities and make your selection
Step 5: Sign a sales contract
Step 6: Close on your home
Step 7: Move into your new home
Financing
Getting a mortgage pre-approval is the first step in the buying process. Call us at 817-714-2633 and we’ll be happy to connect you with local reputable lenders.
Have at least 3.5% to 5% of the potential sales price saved for your down payment and closing costs. The down payment is the cash you pay upfront for your home.
There are two major types of loans: FHA and Conventional.
An FHA loan is a government-insured loan that currently requires a 3.5% down payment. It’s designed for low- to moderate-income borrowers who need a lower minimum down payment and credit scores than those of a conventional loan.
A Conventional loan currently requires a minimum down payment of 5%. Some lenders may offer other options.
Job loss can happen to anyone and unfortunately, would put your loan approval at risk. With a lender’s disapproval letter, you should get your earnest money deposit back but you would lose all other payments made such as the option fee, home inspections, appraisal, and survey (if you agreed to pay for one).
Approval
Congratulations! Now you’re ready to shop for your dream home. We highly respect your time, so we will narrow our focus to homes that meet your specific criteria, including location, price, schools, and features. Call us at 817-714-2633 to get started.
Avoid new debt! Don’t buy a new car, co-sign on your friend’s new car, open new credit cards, or buy that gorgeous new furniture that’s calling your name. Focus on paying off debt if you can. Your lender has approved you based on your current financial status, and if those numbers become unbalanced, you may lose your financing.
HOA, Taxes & Insurance
It stands for Home Owners Association. Most new neighborhoods have an HOA. It includes architectural and other standards for the community. Any structural changes to your home have to be approved by the HOA.
HOA fees vary by community.
Property Tax rates vary by county. We will provide you the latest tax information for the particular homes you are interested in.
A homeowner’s insurance protects your dwelling. If you are getting a mortgage loan, your lender will require you to maintain homeowner’s insurance. If you’re not getting financing, it is wise to have your house insured. Shop around and get all the coverage details to help with your selection.
Buying Costs
Initial costs can include:
- Earnest money deposit – usually 1% of the sale price of the house, which is deposited with the Title company that will do the closing
- Option fee – anywhere from $100 to $500 or more, depending on the price of the home
- Home inspections – approximately $400-$600 or more, depending on the size of the home
- Appraisal – roughly $500-$600 or more; check with your lender
Closing costs can include:
- Down payment
- Lender’s costs
- Title company administrative fees
- Title Policy, whatever was negotiated with the seller
- Property Survey, whatever was negotiated with the seller
- Residential Service Contract, whatever was negotiated with the seller
- Pre-paids: Homeowner’s insurance and Escrow account initial amounts
A survey is the drawing of the house and property lines done by an engineer. It costs approximately $500-$600+ and is paid at closing. Who pays for it is negotiable; the buyer or seller pays.
A licensed appraiser does an appraisal to ensure the house appraises for at least the sale price. The buyer pays for the appraisal, which costs approximately $500-$600; check with your lender.
A home inspection is a general inspection of the entire house to verify that all systems are in working condition, including the plumbing, electrical, heating, cooling, and roofing systems. Some inspectors include a termite inspection. The buyer pays for the home inspection. It costs approximately $400-$600+, depending on the size of the home.
Closing
Bring:
- Your driver’s license or another form of identification,
- The amount due in a cashier’s check or electronic payment.
Once all closing documents are signed by both the buyer and the seller, the lender will fund the loan, and the Title company will disburse funds to all parties. Your lender will provide you with a detailed cost list that includes the total amount due at closing.
You will get your new home keys once the loan is funded.
Moving
Schedule the transfer of utilities and other services at least ONE week prior to closing.
Schedule your movers at least TWO weeks prior to closing.
One Year Later
A homestead exemption exempts a certain dollar amount or percentage of home value from property taxes, resulting in lower taxes. Homestead exemptions must be filed, they do NOT happen automatically when you buy your home. You must have lived in the house as of January 1st for the year you’re applying. Contact your county’s Central Appraisal District for details.