Mooers Realty Maine Real Estate Blog
Before Signing On The Dotted Real Estate Line....
The buyer of a property listing, some Maine real estate is often some kind of excited, anxious to get into their own place.
Can you blame them after being parked in the rent rut too long? Throwing all that cash in the trash. With nothing to show for it but the rent receipts on the Maine home or apartment.
That is never going to be theirs to call home sweet home to raise a family in and live for the mortgage burning party. Because it is someone else's dream. Leased, rented, not owned.
So when the Maine property buyer believes it is time to step out and buy, is it?
The focus on the real estate closing in Maine and getting a set of keys to the place often blinds, washes out the rest of the steps to get to that long table surrounded by all the cushy, leather back chairs.
The Maine home buyer can often forget the other steps along the way to roll into the closing, get to the finish line. The necessary procedure to get ready to buy a Maine home that has to happen in ABC steps. With careful guidance and a set of expectations of what is coming up and why education.
Because instead of find a home in Maine and then waltz into a bank, it is more and more the other way around.
The approach to buying a Maine home is finding a program, a loan product that fits your needs. To get the all important bank financing approval first. For that house paperwork needing all the blank application spaces filled out with the dotted "I"'s and crossed "T's".
Often the anxious buyer of a Maine home that skipped the pre approval paperwork shuffle for a house loan is surprised. When snags, house buying hurdles occur. Slightly annoyed when something on their credit report raises eyebrows. And they exclaim how can that be? Let me see. And read all about it. Had no idea of past bills left unpaid and interest accruing.
Or that repo car that was a true lemon if there ever was one shows up on the credit report even though long gone and forgotten.
Someone at the credit reporting agencies, all three are making it part of the line items.
What is raising, waving a red flag and holding up the house buying show in Maine anyway?
Or mistakes on that credit report with someone with the exact same name many miles, counties away that has been less than on top of things.
Have seen that hurt the Maine home buying process too.
Someone did not keep their credit squeaky clean.
Pay their bills. And that laxness, judgements, slow or no pay approach to living causes problems with this total stranger in the home loan process.
For the guy or gal who just has a pretty similiar name on their birth certificate. Or a parent and they are a junior or the third, fourth and the senior has very bad credit. And co-signing mishaps that come back to roost, haunt another's credit worthiness. Guilt by association.
Have seen all kind of kinks in the Maine home buying hose happen.
Debt ratios a tad too high to satisfy the underwriter of the home loan mortgage. To show that this borrower can pull off making those monthly installments. Because we all know you pay you stay, you don't you won't. And money from the weekly paycheck is needed for other items beyond making just the Maine home payment, keeping the place insured and property taxes current.
Going out and buying a new car, bedroom set can mess up the process of buying a Maine home too. Because suddenly you looked great on paper Mr Maine home buyer. But now you don't look so hot and that pre-approval is null and void. Because the health of how you showed up on radar to buy and be approved for a Maine home loan just went sideways. Off the charts. Busted apart at the seams.
And added to other life situations like being served with divorce paperwork, getting a pink slip in the last company pay envelope or learning from a doctor you have stage four cancer. Timing in life is everything. Good or bad timing.
Get to the bank or Maine mortgage lender and lift up the hood to your home buying behind the scenes machinery.
To see if everything is running smoothly, purring like a kittten. To learn if you are at the right place, stage of your life to do more than browse, search for a Maine house. But actually able to follow through without winning the lottery or hitting up Mom and Dad to pick up the tab on your next address to call home.
Banks in Maine want to make a house, any kind of loan. Have to to keep their doors open and the business running in the black. But you have to satisfy mortgage home loan underwriting requirements unless it is a cash sale. And owner financed Maine home sales are rare although we see lots of those home grown seller terms hammered out to pay the sale with Maine land. Here is more on Maine land owner financing and how that type of financing works.