With Valentine's Day around the corner, love is in the air. You and your partner may be considering taking your relationship to the next level: home ownership. If that's the case, you may need to consider asking some difficult questions so you're fully prepared for the process of buying a home
- How much debt do you have? Student loan, credit card, car loan debt, etc., will all come out in the pre-approval process anyway, so you might as well share it with your partner beforehand anyway. It can also be a good idea to meet with a financial planner to see how much home you an afford before starting the home loan process.
- Who will own what? If you aren't married it can be tricky to decide who owns what, but this should be decided before any paperwork is signed. Will you both be putting equal amounts toward the down payment? Will you be making equal mortgage payments? What happens if you decide to separate?
- What's your credit score? Higher credit scores typically result in better interest rates from your lender. With join applicants, lenders typically take the lowest applicant's score. You can check your credit score for free at www.annualcreditreport.com.
- What kind of home do you want? Are you looking for an historic home in Old Southwest Reno with lots of charm while your partner would prefer a brand new home in Somersett with mountain views? Would you prefer to spend your weekends working in your garden while your partner would rather have a low maintenance yard?
- How much do we have for a down payment? Have either of you been saving for a down payment for a home? Ideally, you'll have at least 20% of the purchase price to use as a down payment. We recommend you work with a mortgage lender you trust to pre-qualify for a mortgage.
If your next step is purchasing a home in Northern Nevada, we'd be honored to help. Please call us at 775-453-4568 or contact us to create a completely customized home search.