Buying a house in Texas is a very exciting experience. There are so many great things that go alongside owning a property, especially in a place as great as this. However, you shouldn’t neglect all the potential hardships that are to come out of this process either. To make sure you’re all caught up on the ins and outs of home purchasing, we’ve created a guide that should clear up any perplexities you may have had.
Find trustworthy people to handle this experience
Before you get into the specifics of purchasing a house in Texas, this may be the most important takeaway from the article. If you surround yourself with experienced people and let them lead you through the process, you’ll have a much easier time going through it all. There are plenty of different but equally necessary professionals that will make all the difference and save you time and money.
- Real estate agents
If you manage to find the best real estate agent for you, you’re good to go. Buying a Texas house on your own can be a very painstaking and risky process. Why bother with it?
For any renovations, either in your past or future home, hire trustworthy contractors. Make sure to sign a document that’ll clearly state the timeframe they’ve promised you since this is a pretty common problem with many contractors.
Hire a moving company that’ll seal the deal. Once you’ve purchased your house in Texas and dealt with all that it entails, you’ll be exhausted. That’s where Evolution Moving Company DFW comes in. They’re packers and movers that’ll be flexible towards your needs and wishes.
Think about your finances
One of the most basic requirements before buying a home in Texas is doing your research on more than one front. In fact, you should look at your finances before ever allowing yourself to explore potential properties. This way, you’ll be able to make an assumption about how much house you can afford. No matter if you’re a veteran real estate investor or a first-time buyer, you need to go through this step. Here are some things you need to be on the lookout for:
- Credit score
Even though there are lower credit loans out there, your score needs to be at least 620 for most loans.
- The ratio of your debt vs your income
You should aim to spend less than 36% of your entire income on debt.
- Down payment
In most cases, the down payment needs to be at least 20%.
- Closing expenses
Home buyers in Texas usually pay 2-5% of the full price of the home when it comes to closing costs. Seeing that the average house value in Texas is $224,065, that makes closing expenses somewhere around $4,481-11,203. Since these expenses need to be paid out of pocket, you need to have the sum saved up.
- Homeownership expenses
If you’re buying a house in Texas, you’ll probably need to spend around $2,626 in maintenance costs yearly. Make sure to take this piece of information into account too.
Get mortgage pre-approved
Another money-related requirement for buying a house in Texas is getting your mortgage pre-approved. This is a necessary step before you make any sort of an offer. Make sure to learn all about the lender’s requirements. If you’re a newbie and a first-time buyer, make sure to look into programs that offer beginners discounts.
See what’s out there before buying a house in Texas
Once you’ve been mortgage pre-approved, you can officially start looking for houses to buy in Texas. Make sure to really reflect on what it is that you want. Be honest about your priorities. Making pro-con lists may sound childish, but it’s a classic for a reason. You’ll run into many different types of properties and you need to be prepared and in-tune with your preferences. If you wish to find your home quickly, go over properties online. Only once something has caught your eye, go ahead and visit it in person. This way, you’ll also get an in-depth understanding of Texas neighborhoods.
Prepare for your Texas relocation
A great part of purchasing a house in Texas will actually entail you relocating to it. Even though this may sound like an easy-enough process, it can have it’s complications. Apart from hiring a reliable moving company, you’ll need to be involved in other parts of the process as well. Especially if you’re relocating with your entire family, the stakes are high. There’s a lot that you’ll need to decide about. You’ll have to organize the whole thing, oversee the movers, pack, transport your belongings, make decisions about which items stay and which ones go, find storage if need be, settle into the new home.
Learn to negotiate
Apart from hiring great real estate agents, you’ll need to learn to negotiate yourself as well. Afterall, you’re the one calling the shots. Make sure to be realistic. Don’t be too shy, but don’t go overboard either. Speak to your real estate agent to get some knowledge about where your expectations should lie. Only then can you begin to think about lowering the sum and making the best of the deal.
Don’t forget to have your property inspected and appraised
Once a seller has accepted your offer, you need to go through a series of due diligence steps. This way, you’ll ensure that the house you’re buying in Texas has actually everything you’ve agreed upon. Once the inspections and appraisals are over, you can revisit the agreed upon sum and negotiate it if something unexpected has popped up.
Making an offer
Once you’ve decided to purchase the property in question and you’re certain about your decision, it’s time to close the deal. This is probably the most nerve-wracking but rewarding part of buying a house in Texas. Your offer must be in written form. This is where it’s wise to consult with your real estate agent and have them vet the offer through and through. They’ll review the contingencies and offer terms along with any other legal aspects to make sure everything is by the books.