When going through a real estate agent, do they do a credit check and let you know what your max amt will be?
Tortuga asked:
Example: If I want to look at a $100,000 home through a real estate agency, will they do a credit check to see if I can even get credit for a mortgage on the home? Do most home buyers have to put down a certain amount in cash? Thank you.
Rosa
Example: If I want to look at a $100,000 home through a real estate agency, will they do a credit check to see if I can even get credit for a mortgage on the home? Do most home buyers have to put down a certain amount in cash? Thank you.
Rosa
August 22nd, 2010 at 10:48 am
Yvonne
no
the agent works for the seller.
a mortgage broker is the one who’ll do the credit work. and yes, it is smart to find one in advance of needing her/his services.
August 25th, 2010 at 12:10 am
Terri
No, your mortgage broker will do that. Most homes require you to be preapproved before they will look at your offer, so you may as well get it done first.
Use a local bank, with a real office, there are lots of scams online.
August 28th, 2010 at 11:54 am
Wilma
The agent doesn’t but you will need it to get a mortgage & letter/ certificate to show you are qualified for a mortgage.
Yes, many home buyers put down cash. Most mortgages now require it since banks have less cash to lend and lending 100% got them into a big mess.
If you put down less then 20% cash, you also need to get PMI (insurance).
Google current mortgage rates and see what banks are requiring for cash down at the moment.
August 29th, 2010 at 3:46 pm
Elizabeth
No. It takes more than a credit check to determine that. Your income, other debts, and cash available are all huge factors.
Don’t even start to look at houses, let alone make an offer, until you are preapproved with a lender.
September 1st, 2010 at 9:27 pm
Peter
There is a FHA loan where you can put down 3.5% which on a 100,000 house is 3,500. Then you have closing cost on top of that. Each state would be different so I can’t tell you what your cost would be. The first thing you want to do is to go to a lender and have them pull your credit and let you know what is available. They will be able to tell you what price home you should be looking at. It is best to keep your lending and house looking apart. The reason is you may not want to purchase a home that is at the top end of what you can get. However your realtor may want to show them to you. So if you know what your payment is going to be and you know what you real feel comfortable paying then you can tell your agent I can look at homes in this price range. Happy house looking there are lots of deals out there.