6 Frequently Asked Questions Answered By Irvine Realtors

1. Am I ready to buy a home?

You must ask yourself a few questions. Do you have a steady job? Is your credit where it needs to be to get a good rate? Can you take on the responsibility of a home? If you answered yes to these questions, chances are that you are ready to buy a home.

2. What is better? Renting or buying?

For our Irvine, CA clientele, it varies according to their needs. Some find that renting is easier with their busy schedules. Owning a home comes with responsibilities, like maintenance. Are you ready to tackle the job of home ownership? There is no exact answer that will fit everyone. It depends on your finances, schedule, and desires for the future.

3. How do I know how much of a home I can afford?

You should look at your monthly bills, but ultimately it comes down to your debt-to-ratio. After you make the mortgage and all the other bills, how much money will you have left over? A lender is not going to allow you to push your finances to the limit. As a rule of thumb, your mortgage should not take up more than 28 percent of your gross income each year. Additionally, just because a loan officer approves you for a certain amount does not mean you can truly afford that price. There are numerous other financial obligations, which do not affect your credit, and the lender does not know about.

4. How many homes should I view before I make a decision?

Everybody is different and your personality will have something to do with this. If you are impulsive, you may buy the first home you see. Others will look for years until they finally find the spot they want to call home. Some think of it as a feeling or gut instinct that will let them know when they find the right home. It is wise to look at least 4-5 homes to get a feel of the 2017 condos, duplexes, and buy homes in Irvine. You do not want to jump the gun and regret it later. On average, home-buyers go through at least 15 homes before making a decision.

5. Do I need a home inspection for my home?

Though in the state of California, buyers are required to disclose a great deal of information, a home inspection is imperative. Some will even ask for a pre-inspection before they place an offer. The inspection will cover a great deal of things that may not be visible to the eye. They can save you a ton of money in the long run.

6. Do I need to be both pre-qualified and pre-approved?

Having a pre-qualification is not as good as a pre-approval. A pre-approval means that a lender has already reviewed your credit against your income and will approve your loan. They give you a formal letter that can be presented with your offer on a home. A pre-qualification basically is just a ballpark figure on what you can afford. Be careful with the terms. A pre-qualification does not require any paperwork and is just generalities. It does not hold the same clout that a pre-approval does.