Tuesday, January 15, 2013

5 Tips to Prepare for Buying a Deep Creek Lake Home in 2013!

The  beginning of a new year is often the time when people considering buying a home on Deep Creek Lake.  Whether it’s a chance to relocate permanently to our beautiful shores, or they envision spending vacations in this scenic and relaxing setting; the fresh start of a year gets people thinking through what the new year will bring.

If you are considering buying a Deep Creek Lake home in 2013, now is a great time to do so!  Recent reports show that the national housing market is continuing the upward swing towards recovery.  The S&P/Case-Schiller Report showed that home prices posted the largest percentage gain in more than two years, with prices up 4.3% in October compared to last year.    

This is great news for those looking to sell this coming year, and gives buyers who were on the fence the encouragement needed to begin their Deep Creek Lake home search now.  With more buyers flooding the market, the competition will be more heated and buyers will need to act quickly. 

Here are just a few ways to prepare for the home buying process.  You’ll want to be sure to have your finances in line before beginning your home search to ensure the entire process runs smoothly.  

1. Saving & Paying off Debt- This seems like a very basic point, but a very essential one.  The days of “no money down mortgages” are gone and most lenders require at 5% down.  You will also make sure that you have additional money for things like closing costs, as well as money in the bank when all is said and done.  Lenders are becoming more strict and want to know you can back up the purchase of a home.  You’ll want to be sure to have as little debt as possible since lenders will take this into consideration as well. 

2. Building Good Credit- Credit scores are moving to the forefront of being approved for a home loan.  Most lenders are expecting a credit score of 600+ even for FHA loans.  A good credit score will not only help you qualify for a home loan, but can lower your interest rate, which can save you thousands of dollars in the long run.

3. Creating a Home-Buying Budget- If you’ve taken the time to create a home-buying budget chances are you’re serious about buying a home and want to go about it in the best way possible. It’s imperative to establish your budget prior to talking with lenders.  Just because you are approved for a certain amount on the loan, does not mean that’s what you can actually afford.  Lenders don’t take your extended finances into consideration, but will look at your income.  Be sure to stick within your budget, especially when considering a vacation property, to avoid heartache in the future. 

4. Researching Mortgage Options- It’s important to research which type of mortgage is best for your financial situation.  Getting a fixed or adjustable-rate mortgage will depend a lot of your long term goals.  Your Deep Creek Lake Real Estate agent will also be able to help you determine which option is better for you and can walk you through the pros and cons of both.

5. Getting Pre-Approved for a Mortgage- Getting pre-approved before you meet with a lender can save you time and will be a good indicator of any financial issues that need to be addressed.  Things such as credit or income problems are items you want to take care of before trying to get approved for a home loan. Sellers will also take you more seriously if you have your financials in order.  

I hope these tips are helpful as you consider buying a Deep Creek Lake home!  I’m always available to answer any questions and our Coldwell Banker Deep Creek Realty Real Estate agents are standing by!

We look forward to helping you buy the home of your dreams on Deep Creek Lake!

Patrick Kane
Sales Manager/Co-Owner
Coldwell Banker Deep Creek Realty
Your Deep Creek Lake Real Estate Expert

No comments:

Post a Comment