Congratulations! How exciting that you’re taking the steps to buy a home in the San Francisco / Bay Area. You can consider yourself extremely lucky, as this is one of the best and most expensive markets in the country, and you’re clearly doing alright, so you should be rewarded by capturing some prime California real estate.
Let us make the home buying process a little more simple by sharing some important steps we’ve learned over the past decade (plus) helping buyers find property.
Step 1 – Get Pre-Approved / Provide Proof Of Funds
Getting a loan? Don’t even start looking (fantasizing) for property until you know without a shadow of a doubt what you will be able to afford, what the banks will lend you, what interest rate you think you’ll get and how any fluctuation in that rate will influence your buying power. What’s the point of looking at property you aren’t confident you can afford, or come to find out you can get more than you thought!? Focus, focus, focus. You’ll need it in our competitive market.
Who would we contact for pre-approval?
Tim Wood- Terra Mortgage Banking (firstname.lastname@example.org, 415-464-1374)
Sergei Andruha- Guarantee Mortgage (email@example.com, 415-309-0157)
Doug Barta- Wells Fargo (firstname.lastname@example.org, 415-819-7784)
Gannon Tidwell- GT Financial (email@example.com, 415-272-7373, Specializing in TIC/Fractional loans)
Pre-approval is ideal, but a pre-qualification (quick over the phone conversation and verification of funds, credit, income, etc.) is good enough, and any of the blokes above can certainly get it done quickly. Once they do, get it in writing, and keep it handy.
Cash purchase? Be prepared to provide Proof Of Funds with any offer you submit, and (depending on the price range) before you are shown property. If you’re oozing money and it’s obvious, or you’re famous and we know it, you might still be asked to provide proof of funds. Don’t take it personally.
As Jerry Maguire so eloquently says, “Show me (and everybody that will be involved in your purchase) the money” and you’ll be amazed at how much more focused your search can be.
Check back tomorrow for Step 2…