The home buying process

Prequalification is dipping your toe in the water before diving in. It's deciding to buy, learning about financing options, getting numbers and shopping lenders without having your credit pulled or committing to a full application. 

Often prequalification is nothing more than confirming product and pricing on the way to submitting an application, but it can also be planning and goal setting for a future purchase.

Whatever the case may be, Mighty Mortgage is here to answer any questions you might have about loan programs, pricing, and qualification. Contact us today! 

What does selling your home look like? What are the numbers? Review the options and get preapproved BEFORE selling your home with a Mighty Mortgage pre-sale consultation.

Estimate the net sale proceeds from the sale of your current home and look at how to apply those proceeds toward the purchase of your next home. Is it possible to use part of the sale proceeds to pay off other liabilities and still have enough left over to buy the next house? It doesn't cost anything to run some scenarios and find out.    

Put our experience to work for you! Get the math on selling your current home to buy another. Contact Mighty Mortgage today for a free no obligation consultation!    

You've found the perfect home and you're ready to make an offer. Show the seller you're serious with a Preapproval from Mighty Mortgage Home Loans!

The time to get preapproved is before the right property comes along and it's time to write the offer. So if you're shopping for a home apply now for a Mighty Mortgage preapproval and put our experience to work for you.  

The written sales agreement is often called an "earnest money agreement" because upon mutual acceptance of the offer, the buyer is usually required to deposit money into escrow to demonstrate they are earnest. The amount of the earnest money is negotiable but 1% of the sales price is not unusual. 

In addition to the sales price and the amount of the earnest money an agreement should also specify the closing date and possession date along with any other contingencies such as the sale of other real estate, seller paid closing costs, and anything included with the property such as refrigerator, washer and dryer,  or other personal property. 

With money on the line you want a mortgage professional with decades of exclusive Oregon home loan experience on your home buying team. Contact Mighty Mortgage today and put our experience to work for you.   

The two most common inspections are the home inspection and the appraisal.

Read your contract carefully but typically the sale agreement will contain a home inspection contingency that allows the buyer to have the home professionally inspected and allows the buyer to cancel if something unacceptable is discovered. This inspection window is usually limited to the first few days after the seller accepts the offer so when it comes to the home inspection, time is of the essence. 

The home inspection isn't about the value of the home, but rather it's condition. The home inspector crawls the crawl space, looks in the attic, checks the mechanical systems of the home and issues the buyer a detailed report of the findings. Prices vary, but inspections average about $500. 

The appraisal isn't a home inspection. The appraisal is the lender's eyes on the collateral for the loan. The primary focus of the appraisal is market value and this is determined by comparing the subject property (the house you're buying) with other recent home sales in the neighborhood. 

For the most part the appraiser isn't looking for problems with the home but if there are any obvious health, safety, structural or code issues the appraisal may come back "subject to" addressing any areas of concern. Depending on the loan program and other factors an appraisal may not be required for financing but the buyer can still request one anyway. Prices vary but typically appraisals run about $700 to $800.        

The process starts at prequalification and by the time you're preapproved and under contract with an accepted offer, the process is about collecting title reports, appraisals, insurance binders, and clearing up any requirements of the loan approval.  

Communication is key in the home buying process and with Mighty Mortgage home loans you'll always know where you are in the process and the next step, with clear and constant updates and our willingness and availability to communicate with you your way. Phone, text, email, or in person. Off hours and weekends too. Mighty Mortgage is with you every step of the way. 

At Mighty Mortgage Home Loans we believe knowledge is power! That's why distinguishing what "signing," "closing," and "possession" mean is so important for a smooth move:

Signing the closing documents and depositing the remainder your funds in escrow is not the final closing. There's more to it than that.

A transaction isn't closed until the seller has signed, the loan has funded, the deed transferring ownership has been recorded with the county, and the seller's net sale proceeds are available in escrow. 

The gap between signing and closing can be several days and it's generally good practice to sign a day or more in advance of closing for scheduling convenience and to allow for lender and escrow processing.

Possession of the property doesn't automatically happen at closing. Possession occurs when the buyer gets the keys and has permission to occupy the property. In rare circumstances possession can occur prior to closing but usually the house is occupied by the seller and they need time to move out. If the seller needs more than a few days to move out a rent back agreement is called for. Otherwise if the property is occupied by renters or tenants they may have legal rights to continue occupying the property after closing. 

Purchase agreements vary so check yours to to see what it has to say about the closing and possession of the home. It's a negotiable item so be sure to take it into account when structuring your offer or planning your move.           

Mighty Mortgage Home Loans has decades of exclusive Oregon home loan experience. Add Mighty Mortgage to your home buying team and put our experience to work for you!