Homebuying Tips

Knowledge is power. Here are some important tips to review before beginning the home buying process.

Home Inspection

Before signing an agreement of sale, be sure that there is a home inspection contingency in the contract. Then, hire a reputable home inspector to inspect the property that is being considered and review the inspection report carefully for any potential issues that may need to be addressed. In addition, a copy of a home inspection report is required for all PHOS programs.

Good Faith Estimate

The Good Faith Estimate (GFE) is a document that all mortgage lenders are required to provide to the borrower within three days of application. This document provides a break down of all fees associated with the loan and can be used to compare loans offered by different lenders.

Truth in Lending

The Truth in Lending (TIL) is another document that all mortgage lenders are required to provide to the borrower within three days of  receipt of an application. The TIL provides information on interest, late fees, monthly payment amounts, and any prepayment provisions. It may also be used to compare loans offered by different lenders.

Equal Credit Opportunity Act

The Equal Credit Opportunity Act (ECOA) prohibits lenders from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age, the fact that all or part of the applicant's income comes from any public assistance program, or the fact that the applicant has exercised any right under any federal consumer credit protection law.

Fair Housing Act

The Fair Housing Act (FHA) prohibits discrimination in residential real estate transactions on the basis of race, color, religion, sex, handicap, familial status or national origin.

Shop Around

Compare multiple properties and lenders before making a final decision.