Articles of Local Interest

Nothing can be more fun -- or more stressful -- than shopping for a new home. Before you get started, you'll want to shop for a mortgage lender and a realtor: two professionals who can make the process easier.

First, meet with a lender. He or she can qualify you for a home loan and tell you what you can afford. And yes, he'll be checking your credit.

"If you pay rent on time, chances are you'll make your house payment on time. And that's the kind of customer we like," says loan officer Michael Kingsbury of San Antonio's Waterfield Financial Corporation.

For the majority of lenders, the approval process takes minutes. "With your financial records in hand, you'll be able to tell a realtor exactly what you can afford; you won't waste time looking at homes that are out of your price range."

Kingsbury suggests you find a reputable lender, compare rates, fees and customer service. "Don't forget to ask for a good faith estimate so you can compare fees side by side," he states.

Once you qualify, there are lots of options to consider. VA loans can provide affordable options for military personnel [www.homeloans.va.gov]. Parents and grandparents can now make a "gift" to newly married couples that can help with the down payment. FHA loans are typically a less expensive way to get into a house, and San Antonio recently raised the limits to $144,000 [www.hud.gov/buying/index.cfm].

But just because you've qualified doesn't mean you can make a payment. Homeowners have expenses renters don't -- things like insurance, homeowners association fees, appliances, landscaping and furniture.

"If you don't qualify, the news is not all bad. There are lots of ways to fix your credit, and we can provide advice," says Kingsbury.

Now you're ready to talk to a realtor. Patsy Oakley of Remax Associates in San Antonio advises, "Get a realtor you can trust -- one whose personality is compatible with yours. If it's not fun, you're not with the right person!" Your realtor should have patience and experience dealing with first-time buyers and should be able to anticipate your questions.

Stay organized throughout the process by keeping all records together in a file or notebook. Most importantly, Oakley adds, "Don't do anything! Don't change jobs, don't buy furniture, don't move money around or make any changes in spending. It can raise red flags with the lender."

Family members often mean well, but you may not want them along. "It's sometimes a mistake to get advice from your family because they may be in the same house they bought 30 years ago. Most don't realize how loan processing has changed. Getting family advice can further confuse you," says Oakley.

Your realtor should explain terms and what happens at closing. Remember to compare the truth in lending statement from the lender and realtor (the figures should be similar). In most cases lenders anticipate higher prices, so there won't be surprises at closing.

Ready to put a permanent roof over your heads? With a little education and some professional advice, you and your partner will be ready to take on the challenges of home ownership.