So, are you ready to buy a new house in Knoxville for the first time? Congratulations! This is an exciting time in your life but it can also be a little overwhelming. As a first-time buyer with no previous experience, dealing with things like down payments, mortgages, and property taxes can be daunting. However, when you buy a new house in Knoxville with the help of Wright Realty, it doesn't have to be so scary. As your turn-key concierge real estate agent, we are here to help you find your dream home and support you through the home-buying process. You don't need to be a first-time buyer, even those who have already been through the process at least once before still get a little flustered with all the ins and outs of buying a property! At Wright Realty, we support those getting their first step onto the property ladder and the seasoned pros!
With all that in mind, let's look at some of the key steps you will have to follow when buying a new house in Knoxville.
Step 1 - Saving a Down Payment
The first and most important step if you want to buy a new house in Knoxville is to sort out those finances. If you don't have money, you can't buy a home! The good news is that you don't need to have the whole asking price in your bank account! It all starts with saving for a down payment. To get a mortgage loan, you will need to put down a deposit on the home. The exact amount will vary from lender to lender and may even be affected by the type of loan you opt to take out. However, as a general rule of thumb, you should expect your down payment to be approximately 20% of the asking price for the home you wish to purchase. If that seems like an unattainable savings goal, don't get disheartened. If you shop around, you may be able to find a lender who only requires 5% to 10% as a down payment.
Step 2 - Check Your Credit Score
Sticking with finances, it is essential to see where your credit score stands before applying for a mortgage. As a first-time buyer wanting to buy a new house in Knoxville, mortgage lenders will look at your credit score to assess the risk of loaning you money. If they see late payments and other issues in your credit report, it makes you a less attractive lending prospect. They might still be willing to approve your mortgage, but, likely, you won't get the most favorable rate. Building or repairing credit takes time, so you should work on this as soon as possible if you think you will be ready to buy a new house in Knoxville sometime in the near future.
Step 3 - Get Pre-Approved For a Mortgage
If you have your down payment saved and are happy with your credit score, then it is time to actively start the process of buying a new house in Knoxville. As your real estate agent, we always advise seeking pre-approval for a mortgage before you start house hunting. This gives you a solid budget to work with and shows sellers that you are a serious buyer ready to move quickly once you find the home of your dreams!
Step 4 - Choose your Realtor®
If you decided on a Realtor® to guide you through the process, now is the time to make that decision. Choosing someone you can trust and who knows the area you want to move to intimately is essential. When you want to buy a new house in Knoxville, Wright Realty is your local real estate agent. We offer a unique wholistic approach to real estate, meaning we are not just helping you buy a home; we can also guide you through all the associated tasks, including title deeds, mortgages, inspections, and everything in between.
Step 5: Let's Go Shopping!
Now comes the fun part! Shopping for your new home. Work with your real estate agent on a list of your must-have features, and they will help to identify the listings that meet your needs and, of course, your budget. Start viewing some of the properties on your shortlist to see if they are a good fit. Try to keep in mind what your needs and deal breakers are. It is unlikely you will find a home that checks every single one of your wants, but if you can satisfy your needs, there is always the opportunity to renovate later to incorporate some of the things you still want to include!
Step 6 - It's Time to Make an Offer
Once you have settled on the house you want to purchase; it is time to make an offer on the home. If it is a property with a lot of interest, you can talk with your real estate agent about making your offer more attractive to help you stand out from other potential buyers. You should also arrange a home inspection to ensure no nasty surprises are hiding that might make you reconsider moving forward with the purchase. Your lender may also want an appraisal to confirm the property's value before finalizing your mortgage. Once the offer is accepted and all the necessary paperwork is completed, it's time to head to the closing stage. This is when all payments are made, including the down payment, closing costs, and any additional fees. It's also that exciting day when you finally get the keys and can proudly say you are a homeowner!
Wright Realty is a full-service real estate concierge with a wholistic approach to buying and selling property in East Tennessee. We are your trusted advisor and keep open communication throughout your entire buying/selling process. Real Estate done "Wright" means more than just a 'transaction'.
Finding Your Property the "Wright" Way!