If you buy a home in Tennessee, it’s important to know how much house you can afford. This action can be done by examining your annual income, monthly debts and projected down payment amount. Next, you’ll likely want to prioritize your wish list, including the number of bedrooms and bathrooms you prefer. You may also find it helpful to get assistance from a real estate agent who can help you find a house meeting your needs.
Eventually, you’ll find a home fitting your criteria and make an offer. However, before closing, it’s critical to be prepared. Ensuring you have a clean title and zero defects is vital when purchasing a home.
Getting preapproved can be helpful
Getting preapproved is essential unless you have the cash to pay for a home. Doing so provides an official verdict from a lender on your ability to purchase real estate in a specific price range. To get preapproved, a lender will calculate your debt to income ratio and examine your financial health by reviewing tax returns, bank statements, debts and other income or expense reports. Receiving a preapproval letter from a lender can be helpful when you submit an offer as it shows a seller you’re serious about buying a home. Doing so can help ensure your financing doesn’t fall through at the last minute during closing.
Be prepared to resolve issues affecting the title
Real estate closings can’t be completed if the title isn’t clear. Running a title search will show if there aren’t any claims or liens against the property. If any appear, you’ll need to resolve them before closing can occur.
Be aware of potential defects
Another challenge can occur at closing if your home inspection shows defects. Ensuring your contract has a home inspection contingency written into it is advisable as it may be costly to try and fix serious problems.
Being aware of problems that can occur during the home buying process can help you prepare to tackle them quickly if they appear. Doing so should help make closing the transaction smoother.