It's good to know that you are planning well in advance. Buying a house is one of the most gratifying yet stressful experience in life. You need to talk to several experience realtors and local mortgage bankers to figure out who you want to work with.
Step two is to find out:
1. If you would qualify.
2. What do you need to do to qualify?
3. How much mortgage would you qualify for?
Here is a list of experienced bankers in Illinois that have worked with first time home buyers and have great reviews: https://www.inzopa.com/s/illinois-mortgage-brokers
actually, there are some grant programs that you can piggy back to provide the biggest bang for your buck. the challenge is qualifying for all the grants and in finding the right lender. some programs have income limits, some are for particular locations, some are for first time buyers, some for veterans. be sure to find a lender that is knowledgeable and qualified for the different grant programs. check out www.ihda.org for info on the state of IL programs. also, check with the city you are considering, for instance Kankakee has a local program; Park Forest you can get up to $10,000 from the building block grants, etc.... more
Typically when you're working with a Realtor to find properties, the SELLER pays the commission on the transaction, not the Purchaser. Unless you've hired an Exclusive Buyer's Agent to represent your best interests as a Buyer, in which case you might be responsible for the Agent's commission (depending on what commission the Agent can earn through a MLS sale from the Seller).
I've been helping First Time Buyers for 23 years as a mortgage professional and I will tell you what I have always told my clients here in New York: If you are a First Time Buyer, steer clear of foreclosures and short sales.
Foreclosures are someone else's headache. The home probably has not been well-maintained and you're a First Time Buyer adjusting to paying a mortgage. Do you really want to walk in the door to someone else's deferred maintenance that YOU will have to pay for? Also, if you're thinking there are deals to be had in terms of lower prices, mostly those "deals" go to professional investors who can pay cash, negotiate hard with a Lender, and close fast.
For Short Sales, my attitude of late is that First Time Buyers should steer clear. Short Sales tend to be a better deal for the homeowner than for the Buyer. You'll wait MONTHS for the homeowner's Lender to approve the short sale; maybe as long as Six or Seven Months. Meanwhile, you're stuck in a contract to buy that home. I closed a short sale recently with a Buyer who, after seven months said this at the closing table, "I don't even want this house anymore."
And he didn't even get the "deal" on price he thought he was getting! The house appraised for only slightly more than he paid for it at the short sale price. He walked into this deal thinking he was buying a home for $100,000 less than it's value. In the end that wasn't the case.
There are plenty of motivated Sellers with their homes listed on your local MLS. Go find a good Local Mortgage Banker, get prequalified, then find a great, experienced Realtor, and buy the home you want at the price you're willing to pay. It's a Buyer's Market, after all!
As Annette notes, the only solution is for your brother to refinance the property (buy you out and get a new mortgage solely in his own name). A lender is not going to agree simply to remove your name from its existing loan.
Check with a good loan officer to see what you can do (if anything) while your name is still on the mortgage. But understand: From the lender's standpoint, you're still responsible for paying the mortgage . . . and it'll expect you to do so if your brother defaults. For that reason, other lenders are reluctant to let you have a second property and mortgage.
That property is expired but I will research and see what I can find out and call you. Feel free to contact me, 708-533-0515, if you have any other properties you are interested in. My specialty is first time home buyers and I am very good at getting the seller to pay the closing costs with creative financing. You won't be sorry you hired me to be your Realtor. Also, if you have not owned a home before, then if you close by November 30th, you will be entitled for the $8000 FREE too!
Carmen Keslin E-Pro
Remax 10 In the Park
708-533-0515 cell... more
The concensus appears to be that you viewed a home with the listing agent and were already using a buyers agent to look at other properties. This happens often with open houses since you may see something unexpectedly on your own.
It's a good idea to tell the agent working the open house you are working with another agent right away. They are usually happier with your honesty. Many agents ask whether you are woking with someone almost right away. Best to answer honestly which shows you respect their time.... more
Some good answers to a tough question that often seems to not only circle around Dual Agency, Buyers calling the Listing Agent directly, whether out of independance or not wanting to bother their agent in case the home is not worth their drive, but usually due to the buyers lack of understanding how our fragile realtor environment functions.
This is also very common in new construction sales.
One after the next I hear of people wanting to use an agent to buy a home, but are reluctant to bring the agent to the sales center - WHY!?!? Sales centers will pay them a commission. If you don't, the buyer will not benefit, without representation, and the developer will usually not reduce their price by the commission amount either.
Solution is on us fellow Realtors: educate your people before you part with them. Sign Buyer agency agreements to reinforce the mental commitment, let them know: The agent that shows you the home may become your agent...I would love to continue to work with you...please write down phone numbers of homes you see, but pass them on to me.
This is not full proof - I had a client that double crossed me 2x and I knew better but still took the chance. After our 4th meeting, and over 30 homes, my last words to her were - please bring me with you. Next day - she bought a home in a sales center - "her dad made her". Whats worse, the public feels you will jeoperdize the deal if you talk to the sales center and ask for a fee. You know something - it may not be worth the negative effort, but it will not hurt to ask.