Blog Post 11: Dear Renters
Blog Post 11: Dear Renters
Dear current renters...
I’ve had many conversations, over the last week, with renters who are either 1) happily renewing their lease for another year term while they “scope out the market”, or, 2) renters that cant imagine another year in a rental and “want to just find something, already”.
In both scenarios, there are a few aspects important to note.
Dear “renter that is waiting and scoping out the market”
We are here for you! It is never too early to start the process of home searching. Whether you just moved to the state, or you are a long time Florida resident, it is key to get to know the area you’d like to live in most!
TIP- there are two boxes you can check on your lease renewal. If you plan to begin a serious search during this new rental term, make sure to check the box that ALLOWS you to get out of your agreement, upon finding someone to TAKE OVER your lease. This allows you the flexibility if the right house does come along, and, this way, you won’t be penalized.
Here are a few things you can do to prepare for homeownership while you continue renting:
1. Accumulate a savings for your downpayment and closing costs. Downpayment percentages change depending on what your homeownership goals are and what loan programs you qualify for. Closing costs are typically 3% of the purchase price.
2. Refrain from accumulating and more debt or taking out a loan for something like.. a new car. Continue to pay down debt and make payments on time as this while assist in raising your credit score.
3. Scope out neighborhoods and search zillow in your favorite areas to see what kind of price range you’re looking at.
4. Create a list of non negotiables and “like to haves” in a home so when you officially start the search you’re prepared and intentional.
5. Chat with a lender and verbally tell him your financial situation so he can punch numbers in and give you a range of what you could get pre approved for. You won’t officially have your pre approval letter until he pulls credit and has all your paystubs, so don’t be afraid of simply having a conversation to see where you’re at and maybe even get some tips on what you could do to get pre approved for higher.
Let us know if we can help you begin your process of home searching, whether it be a year from now, or longer!
Dear “renter who wants to just find something, already”
If you are just starting your search, we are happy to assist you in finding the perfect place to call home. Although interest rates are high and deterring a lot of people from purchasing right now, one massive pro of participating in the market is you could potentially get a home for significantly under asking as the new average for number of days on market is around 60. Purchasing a home for 25,000, 50,000 or even 100,000 under asking could massively offset the higher interest rates.
Take some time to go over your necessities for your home purchase. How many bedrooms, bathrooms, location, etc. Then, we can set up a phone call to talk about pre approval and officially begin the hunt!
In the mean time, you may be due for a lease renewal. If so, as stated above, check the box that allows you to exit your lease accordingly, once we find your dream home. This will give you peace of mind, as we dive into your home search, and, a place to lay your head down without the stress of rushing the home buying process.