The financial and legal risks when a buyer is under contract to purchase a property are significant. In my almost 6 years of experience in real estate, I have come across a few different scenarios with buyers that I believe are worth sharing with you.
Any lender will cover the basics or “Mortgage 101″ with you when you apply for a loan. My goal here is to go over “beyond the basics” about mortgages since most buyers do not seem to know and understand them.
1. Have you been “approved” online? Get an approval letter from a local lender.
One of the biggest mistakes buyers make is applying for a loan on-line. Buyers are attracted to the low interest rates offered without understanding that there is more to a loan than interest rates.