Like most agents, I talk almost daily with folks considering a home purchase. We talk through all of their wants and picture their dream house in vivid color.
Within a very few minutes, however, I start asking the tough questions:
- “How much can you afford?”
- “Have you been preapproved?”
- “With whom?”
- “May I refer a few lenders to you that do outstanding work–they’ll help us nail down exactly how much house you can buy, and get you preapproved for a loan so you’re ready to go!”
… and so on.
These questions aren’t designed to be intrusive … they’re merely a way of helping me understand exactly where a Buyer really is in their purchase decision, to help them determine their balance point between their desired lifestyle and their desire to purchase a home … And, of course, to help them understand that this first step — the money side — is SO important!
Now, generally, my very first question is answered by: “I want my payment to be no more than $, although I could possibly stretch up to $.”
I’m not a mortgage officer, but it’s certainly part of my initial counseling session to help Buyers get started and to help them assess the balance point between their desired lifestyle and your desire to purchase a home. The question of “how much can you afford?” is just the first step. While providing them with a general feel for what they’ve described, I’ve also assembled a few tools that empower the Buyer to do a little research on their own.
With thanks to the folks at MortgageLoan.com, included on this site is a useful set of calculators to assist you in determining what your payments might be with various sorts of loans.
In addition, I’ve developed a handy little Excel-based FHA calculator that I’ll be happy to send to you–just give me a call (206.300.8421) or shoot me an e-mail message and I’ll get it right out to you.
