Buyers FAQ
What’s the first step I should take?
Answer: Unless you plan on paying with cash, your first step will be to get pre-approved for a loan. Once you get pre-approved, you will know with more accuracy the price of the home you can afford.
What is pre-qualifying versus pre-approval?
In pre-qualification, you are given an estimate of what you may be able to borrow. This is a quick way to know what price range you should be looking in. Pre-approval means a financial institution has agreed to work with you and has taken a thorough look through your finances.
How do I know if the property is a good deal?
While you can never know how much a home is worth exactly, your Underwood Real Estate Group agent has been trained to use comparable properties to determine accurate pricing of homes. He or she will look at houses that have recently sold in the area that are similar to the one you are buying to ensure you are paying a fair price.
When can I back out if I change my mind?
You can always back out of a deal, but you may have to forfeit the earnest money you put down with the offer. Earnest money is typically around 1%-2% of the home’s price. Learn more about writing an offer here.