FAQ
FAQ
Frequently Asked Questions
Am I Ready to Be a Homeowner?
Are you a first-time homebuyer in Florida ready to pursue your dream of homeownership, but financial obstacles keep getting in the way? We get it.
Saving enough cash for a hefty down payment can be difficult after paying rent and other monthly expenses. And perhaps you haven’t even tried saving because your less-than-stellar credit score has you thinking you wouldn’t qualify for a mortgage in the first place. But don’t lose hope just yet.
The Florida Housing Finance Corp., also known as Florida Housing, might be able to help make your homeownership dream a reality. The corporation exists to provide new homebuyer assistance in Florida by providing down payment and closing costs help.
Is Renting or Buying Better?
While buying your first home may be the classic American dream, those who stick to renting instead save an extra $1,000 per month compared with homebuyers.
A new report by Realtor.com® comparing the monthly costs of renting versus buying a starter home in July found that renters saved an average of $1,067 per month (or 61.3%) more than homebuyers. (For this analysis, a “starter home” is a unit with zero to two bedrooms.)
“With such cost comparisons, we are able to identify whether a market favors renting or buying,” notes Realtor.com economist Jiayi Xu in her analysis. “This is particularly important given today’s landscape, marked by elevated mortgage rates and still-high home prices, posing substantial challenges for would-be homeowners.”
What Do I Look for in Homes?
When buying a house, many home buyers walk though the open house, checking out the layout of the rooms and the name brands on the kitchen appliances. Smart buyers, on the other hand, know what’s really important to look for when buying a home, and it’s the structural details and the mechanicals of the home.
In competitive markets, an open house will show off a home that has been deep-cleaned, upgraded, and staged with stylish furniture. That’s nice, but it can also be window dressing that hides a multitude of problems. It’s far less important that a house looks and smells nice than that it’s been well-maintained and has good, solid bones.
Do I Need a Home Warranty?
Ahome warranty is a policy a homeowner pays for that covers the cost of repairing many home appliances if they break down.
After all, lots of things you buy come with a warranty in case they break down, from cars to smartphones. But what about homes? It turns out you can get a home warranty plan, too.
“Home warranties provide financial protection from a service provider for homeowners who might be faced with unexpected problems with their appliances,” explains Shawna Bell of Landmark Home Warranty.
What Should I Expect at Closing?
Review your closing disclosure form: If you’re getting a loan, one of the best ways to prepare is to thoroughly review your HUD-1 settlement statement.
“This helps ensure the buyer understands the terms of their loan,” says Ben Niernberg, executive vice president of business development and operations at Proper Title.
The HUD-1 settlement statement outlines your exact mortgage payments, a loan’s terms (such as the interest rate and term) and additional fees you’ll pay, called closing costs (which total anywhere from 2% to 7% of your home’s price). Compare your HUD-1 to the good-faith estimate your lender gave you at the outset; make sure they’re similar and ask your lender to explain any discrepancies.
What Is Pre-approval?
Getting pre-approved for a mortgage before you make an offer on a house is a smart idea. Why? For one, it can help you get a handle on how much house you can afford. Pre-approval can also help you stand out from the sea of other homebuyers in a competitive housing market. In short, it ups that odds that your home-buying journey will be smooth and successful.
Here’s why mortgage pre-approval matters, and how it can give you an edge when shopping for a home.
What Should I Offer?
Like marriage, homebuying is one part love, one part legal transaction—and it starts with a proposal. When you’re ready to buy a home, making an offer is important, and real estate professionals usually have a variety of standard forms you’ll need to weed through.
For example, in many states, sellers must comply with certain disclosure rules, and a real estate agent will ensure that they do, as well as answer any questions you may have during the sale.
Besides addressing the legal requirements, making an offer should specify the price and all other terms and conditions of the purchase. And that’s still just the start of this process.
Can I Ask You for Advice?
Yes, you can absolutely ask Realtor.com for advice on your current real estate situation, whether you’re looking to buy, sell, or even just have general questions about the market; they can connect you with local agents who can provide tailored advice based on your specific needs and location.