Buying a home in Bismarck, ND?
Follow these tips to buy your home successfully
Looking at homes for sale in Bismarck, ND, can be an exciting journey for you and your family if you have the proper help. Nothing is more disheartening than an unforeseen bumpy road. Buying a home, regardless if it’s your first or not, is easier when you have properly prepared yourself for the adventure. Working with Trademark Realty can ultimately save you a lot of time and money during the process as well.
The housing market in Bismarck is fast-paced and quickly changing. One minute, a home you want is available and the next it isn’t. You have to learn how to move fast when it comes to real estate listings in Bismarck, ND. Once you have decided to become a homeowner, you need some beginning steps to take. Here are some things to consider before you start shopping for your dream home.
Learn the financing basics. The first thing you’re going to want to do is learn the difference between pre-qualification and pre-approval. Pre-qualification when it comes to mortgage loans means that you have taken the basic steps towards becoming approved for a loan. You supply a bank or lender with your overall financial picture, including your debt, income and assets, according to Investopedia. Pre-approval means that you have taken all of your necessary paperwork to your lender. According to Investopedia, you'll complete an official mortgage application (and usually pay an application fee), then supply the lender with the necessary documentation to perform an extensive check on your financial background and current credit rating. Most home sellers will opt for those who are pre-approved.
Research your mortgage options. There are two main types of mortgage loans for you to choose from: adjustable-rate mortgage (ARM) or fixed-rate mortgage. According to the Consumer Financial Protection Bureau, the difference between a fixed rate and an adjustable rate mortgage is that, for fixed rates the interest rate is set when you take out the loan and will not change. With an adjustable rate mortgage, the interest rate may go up or down. If you decide that you would like to utilize an ARM, the interest rate will typically be lower than the average housing market rate for the introductory period. For an ARM, after the introductory period is over, your interest rate will either go up or go down according to market trends. You never really know how much you’ll be paying each month. Whereas fixed-rate mortgages will have the same interest rate regardless of the market trends, so you could either be saving or spending more money than with an ARM. If you have questions, our knowledgeable buyer’s agents are here for you.
Hire a buyer’s agent. Hiring a buyer’s agent from Trademark Realty will provide you with the peace of mind that you deserve when going through such a stressful transaction. Buying homes in Bismarck, ND, requires a buyer’s agent that can help you facilitate your next property purchase. Our friendly and helpful agents have years of experience and they are ready to help you get into the home of your dreams.
Start setting aside money now. Do you know how much you'll need? Find out here. Now is the time to start tucking away any money that you can to build your down payment.
- Down payment. According to Bankrate, the down payment is money you give to the home’s seller. On average, you will be paying between 3%-20% of the total cost of the home that you’re interested in. Should you buy a home in Bismarck, ND, ask the buying agents at Trademark Realty if there are local low down payment options. A higher down payment will hold more water when it comes to the seller, so the higher the better. Plus, you’ll be able to pay off your mortgage faster this way.
- Closing Costs. According to Zillow, closing costs are “fees associated with your home purchase that are paid at the closing of a real estate transaction.” These costs can sneak up on you if you’re not ready for them considerably because they will cost anywhere from 2%-5% of your total loan. The seller covering the closing costs is less likely in today’s market, so it’s best for you to save up enough money to cover these costs as well as the rest of the costs that come along with buying a home in Bismarck, ND.
- Paying for mortgage points. Points cost 1% of your mortgage cost and can act as prepaid interest so your buying down your interest rate. These mortgage points can save you money over the course of your mortgage.
- Move in costs. A lot of the real estate listings in Bismarck, ND, can be costly. But it can also be considered a tax deduction, so keep those receipts. No matter how easy your new home may be able to get to, you will come across move in costs. From movers, to renting trucks, to moving supplies - you’re definitely going to have moving costs. Make sure that you take these costs into account. Perhaps you’ll be spending a few days out of work or you’ll need to hire a moving service. Whatever the case is, you’ll need to prepare for those inevitable costs.
When you start shopping, this is the time to already know what it is you’re looking for. You should take a look into all of the details of a home, not just the bedrooms and bathrooms. You should consider commute time, nearby schools, habits and lifestyle preferences. You should also consider how long you are planning to live in this home, and how many repairs you are willing to make during the time period.
Figure out which neighborhood is right for you. Take some afternoon strolls down the neighborhoods around the homes in Bismarck that you’re interested in. You will gain the best perspective of the home you’re interested in by seeing it in person, as well as the neighborhood. If you would like to learn more about what Bismarck, ND, has to offer, visit City of Bismarck.
When looking at a home, don't shy away from elbow grease. If a home only needs a fresh coat of paint, don’t turn it away quite yet. You can get an amazing home out of a property that isn’t quite the cutest. When you buy property in Bismarck, ND, try to look past minor blemishes. You never know - you could find the home of your dreams this way.
Submit a strong offer. Finding the right offer can be tricky. It’s important to submit an offer that is neither too high or too low. As the housing market changes, you’ll want to get advice from the real estate experts at Trademark Realty.
Read the fine print. From regulations to housing authority covenants to contingencies, there are so many items that could leave you with a surprise after closing if you’re not diligent. Look over your contracts and contingencies and make sure you’re happy with the considerations.
Get your agreements in writing. As always, it’s imperative that you get all agreements in writing. Your documents will be invaluable as a reference later if you need them.