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Frequently Asked QuestionsHome SearchWhy am I getting an invalid search request error?Why am I not getting any results after I put in my criteria, when I know there are properties in that area? Why are some home photos missing? Why do most listings have only one photo? Buying/SellingHow does purchasing a home compare with renting?What is the MLS? What is the FIRST thing I should do if I want to buy a home? What is "earnest money"? Mortgages and LendingWhat's the difference between Pre-qualification and Pre-approval?How do I choose a good lender? What is the difference between a Mortgage Banker and a Mortgage Broker? How does the lender determine the loan amount that I can afford? How much money down do I need to buy a home? Are there special mortgages for first-time homebuyers? What are FHA and VA loans? CreditHow can I find out information about my credit history?What if I find a mistake in my Credit History? Home SearchWhy am I getting an invalid search request error? In order to use our search, you must have cookies enabled in your internet browser. Turning your cookies off will result in this error. After turning your cookies on, if you still receive this error please send an email by clicking on contact and sending us a detailed example of the error(s) and the criteria you are searching. We will get back to you as soon as we can. Return to Top of Page Why am I not getting any results after I put in my criteria, when I know there are properties in that area? Usually, when a search returns no result, the criteria you have entered may be too specific. Try leaving out the square footage, year built, amenities, etc. from your search. Or, if you don't have a minimum price, leave it at "No Minimum". Many times, you will miss properties that are priced below your range with the same features as more expensive homes. If you still are having trouble returning a set of results, call 425-205-2211 or email us at contact and let us know exactly what problem you are having. Return to Top of Page Why are some home photos missing? Most often, when home photos are missing, it is because they were never submitted to the MLS when the home was listed. In other cases, photos have been submitted but do not appear for technical reasons. Photos take up to three days to appear on the web site after submission by the listing agent or broker to the MLS. Return to Top of Page Why do most listings have only one photo? Virtually all home photos are submitted by listing agents and/or listing brokers. Agents and brokers may submit up to fifteen photos per listing to the MLS database. Return to Top of Page Buying/SellingHow does purchasing a home compare with renting? There really is no comparison. The only real advantage in renting is that generally you are free of most of the responsibilities for maintenance of the property. However, by renting you are losing the many benefits of home ownership. You lose the chance to take advantage of tax benefits, such as deducting the interest on your mortgage payments. You lose the opportunity to build equity - when you make a mortgage payment, you are building equity. And that's an investment. Buy Vs. Rent Calculator Return to Top of Page What is the MLS? The Multiple Listing Service or "MLS" is the database of properties listed for sale by nearly every real estate broker in a particular market or region. Return to Top of Page What is the FIRST thing I should do if I want to buy a home? The first thing you should do when you decide to buy a home is find out how much you can afford. You probably already have a good idea what kind of house you're looking for, but you may not know how much "home" you can actually qualify for - the price range you should be looking in. To learn that you should contact a mortgage lender or broker and apply for a pre-approved mortgage so that you know your spending limit. Return to Top of Page What is "earnest money"? Earnest money is money a buyer provides up front to show a seller the he is serious about the purchase. The money is deposited in an escrow account and held by the escrow company. Usually the earnest money is applied toward the buyer's down payment. There is no set amount for earnest money. Ultimately, it is the amount required to convince the seller that you're serious about making the purchase. That can be anything... a "typical" suggested amount is 1% of the purchase price, but this can vary greatly. If the buyer defaults on the contract after it has been accepted the earnest money is released to the seller. However, if the contract fails due to no fault of the buyer, then typically the earnest money is returned in full to the buyer.
Return to Top of Page What's the difference between Pre-qualification and Pre-approval? There are two general steps in the loan process: pre-qualification and pre-approval. Pre-qualification is the process that gives you "a good idea" of how much you could afford, or "qualify for", after looking at your credit, income, and other factors. Pre-approval is the process where the lender determines the actual amount of money they will lend you after verifying your credit, income, and other factors considered during the pre-qualification period. You will be in a much stronger bargaining position when you make an offer on a home if you have been pre-approved for your loan. Return to Top of Page How do I choose a good lender? Choose your lender carefully. Look for a company with financial stability and a reputation for customer satisfaction. You want a lender that gives helpful advice and who makes you feel comfortable. It is best to have a lender who can approve and process your loan locally, since it will be easier for you to monitor the status of your application and ask questions. Also, it's helpful when the lender knows home values and conditions in the local area. To find the best lender for you, do some research and ask family, friends, and your real estate agent for recommendations. Return to Top of Page What is the difference between a Mortgage Banker and a Mortgage Broker? A Mortgage Banker lends their own money to you to buy a home. A Mortgage Broker works with many different lenders to find a company to lend you the money to purchase a home. There are advantages to both. Since a Mortgage Banker, is lending their own money, they MIGHT be able to get you better terms or possibly lend you money even if your credit isn't perfect. "Might" is the key word. You'll need to shop around if that's what you need. And that is what a mortgage broker does, shops around for a lender that fits your needs. They work with multiple lenders, so often they can find the best terms and conditions. The choice of a lender is ultimately up to you. Get recommendations from your realtor, and your friends and family. Return to Top of Page How does the lender determine the loan amount that I can afford? The lender looks at your debt-to-income ratio, which is a comparison of your gross (pre-tax) income to your housing and non-housing expenses. Non-housing expenses include long-term debts, such as car or student loan payments, alimony, or child support. According to the FHA, monthly mortgage payments should be no more than 29% of gross income, and at the same time the mortgage payment, combined with non-housing expenses, should total no more than 41% of income. The lender also considers the cash you have available for a down payment and closing costs, your credit history, etc. when determining your maximum loan amount. Return to Top of Page How much money down do I need to buy a home? There are many different financing programs available that can be suited to your specific needs. Generally you will need enough savings for a down payment and closing costs. An average down payment for a first-time buyer is 12.5%, but again, there are a variety of ways to accomplish that. A loan officer will be able to advise you of different options. Return to Top of Page Are there special mortgages for first-time homebuyers? Yes. There are now several affordable mortgage options which can help first-time buyers overcome obstacles that made purchasing a home difficult in the past. Lenders may now be able to help borrowers who don't have a lot of money saved for a down payment, have a poor credit history, or have quite a bit of long-term debt. Return to Top of Page What are FHA and VA loans? FHA and VA "loans" are actually loan programs provided by the U.S. government and available to lenders. The government, through the Federal Housing Authority and Veterans Administration, does not actually lend money to home buyers. FHA and VA programs simply offer a guarantee that the lender will be repaid by the government if a buyer defaults on a loan. You can think of it simply as an insurance plan to protect the lender. Return to Top of Page Credit
There are three major credit reporting companies: Equifax, Experian, and Trans Union. You can call any of these and request your report. Once you receive the report, it's important to make sure that it is correct. Double check the "high credit limit," "total loan," and "past due" columns. It's a good idea to get copies from all three of these companies to make sure there are no mistakes since your lender may be getting your report from any of the three. Fees, ranging from $5-$20, are usually charged for credit reports but some states allow residents to acquire a free one. Contact the reporting companies at the numbers listed for more information.
CREDIT REPORTING COMPANIES
Company Name Phone Number
Experian 1-888-524-3666
Equifax 1-800-685-1111
Trans Union 1-800-916-8800 Return to Top of Page What if I find a mistake in my Credit History? Simple mistakes are easily corrected by writing to the reporting company, pointing out the error, and providing proof of the mistake. You can also request to have your own comments added to explain problems. For example, if you made a payment late due to illness, explain that for the record. Lenders are usually understanding about legitimate problems. Return to Top of Page |
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