1. Obtain the services of a buyerâ€™s agent. An agent who works for your best interest.
2. Ask your buyerâ€™s agent to help determine what closing costs you may want to include in your offer to purchase.
3. Ask your buyerâ€™s agent to help you understand the different types of financing options which might be available to you. VA, FHA, Conventional, Short sale, Foreclosure, There are different closing costs with different types of financing options. FHA has different type of financing you may qualify.
Hope this helps
DISCLAIMER: Information provided in this question is for informational purposes only.
Good Luck. If you need help with the home search and offer process please give me a call. i will be happy to help you navigate the buying and selling process.
Congratulations on getting ready to purchase your first home. I wish you the best of luck.
Isiah Youngblood, RealtorÂ®
RealtySouth - Trussville, AL
In you are purchasing in a USDA eligible area, then USDA offers 100% financing. They will allow upto 6% in seller contributions. Additionally, with a USDA mortgage, you can finance in closing costs and pre-paids up to 100% of the appraised value. If the sales price is $100K and the appraised value is $102K, then you can finance in $2K of closing costs/pre-paids.
I have an FHA 203K Renovation loan closing in Decatur tomorrow where the seller paid 100% of the buyer's closing costs/pre-paids. The buyer is only paying his 3.5% down payment. It will be up to your real estate agent to negotiate for the seller to pay those items for you though. Very often, you will need to increase your sales price some to get the seller contributions you want/need. The seller is really just concerned with their bottom line.
To get Pre-Qualified to see what your options are, my contact info is listed below.
Rodney Mason, NMLS #151088
Sr Loan Officer
825 Juniper St NE, Atlanta, GA 30308
Office: (404) 591-2453
Apply Online at http://www.rodneymason.com
Licensed in Alabama & Georgia
Prospect Mortgage offers a full selection of mortgage programs including:
Conventional | FHA | FHA 580-639 FICO | FHA 203K Renovation (Streamline & Consultant) | HomePathÂ® | HomePathÂ® Renovation | HomeStyle Renovation | VA | USDA | GA Dream | Jumbo Financing
Let me know if I can help you in any way.
My experience in the Huntsville market around the $105000 price point is that the seller typically pays most, if not all the negotiable closing costs.
Take these three real properties that recently sold for example
Sold Date 4/27/2012
Sold Price $107000
Closing cost paid by seller $3210 (3%)
Sold Date 4/26/2012
Sold Price $106000
Closing Cost paid by seller $2826.40(2%)
Sold Date 4/26/2012
Sold Price $100000
Closing Cost paid by seller $4000(4%)
3% of the selling price is a fair estimate as to what the seller will pay in closing costs. Feel free to give me a call at 256-665-3778 and I will gladly provide you with a detailed estimate of how much you would need to have saved to buy the specific property in which you are interested.