Have a Question About Buying a Home in the DC area?
The Banner Team Has Answers!
Whether you're a first-time homebuyer or an experienced investor, it's always a good idea to brush up on your real estate knowledge before you begin your home search. That way, you're equipped with the tools required to make a confident homebuying decision. Here are some of the most common questions we get asked about buying a home in the Washington, DC area.
Frequently Asked DMV Buying Questions
How do I start my homebuying journey?
- If this is your first time buying a home, congratulations! Buying a home is exciting; it's emotional and you'll find it educational. The Banner Team is here to help you at every turn. Start here to learn more about buying your first home in DMV.
- Ready to find your perfect place to call home? There are so many charming neighborhoods and distinct communities in and around the nation's capital, (locally known as the DMV) and we'd love to be your guide to the area.
- As you start exploring homes for sale in the DMV, it’s important to set a budget that you’ll be comfortable with now and into the future. We can connect you with great lenders if you are looking for a mortgage. To start, use our handy mortgage calculator to see what a monthly mortgage payment might look like for you.
How do I search for homes in DMV?
- Every home buyer has unique ideas about what "home" looks like. Start by considering the lifestyle you have or want. Common considerations include how close you are to local amenities, how close you are to work, the size of the home you’ll need, and any features you know you’ll want (a garage, a basement, a community pool).
- Use our home search tool to browse both available and sold listings in DMV. You’ll be able to narrow down properties based on your criteria and save your favorite searches. Plus, you can sign up to get instant alerts when a new home becomes available!
Why should I use a real estate agent?
- Homebuying is complicated, and you'll want an advocate who represents your best interests. Our team will guide you through the entire transaction, from showing you properties that fit your budget and lifestyle, to negotiating your best offer, to managing your home inspection, appraisal and other contingencies.
- We are residents of the DC area too, and have great insight into the neighborhoods and communities that ring the city. We can help you find the perfect place to call home.
- When it comes to getting the home you want at a price you can afford, our team knows how to negotiate with your best interests at the forefront. Our goal is to help you make the right decisions now, which will also work for you long-term.
How do I find the right mortgage?
- Mortgage loans are typically available through banks, credit unions, private mortgage companies, and government lenders.
- The Banner Team works with loan providers who have unique portfolios that can be the answer to your unique situation. We'll put you in contact with trusted professionals who are local, offer the most competitive rates, and who can provide quick responses to all your questions.
What if I have bad credit or no down payment?
- Every buying situation is unique, and lenders are always expanding their portfolios with homebuying assistance program.
- The Federal Housing Administration (FHA) helps homebuyers by offering insured loans. This means that if the buyer defaults, the lender will still get their money. Insured loans encourage lenders to work with more buyers regardless of their credit or available down payment.
- Many state and local governments offer additional programs for buyers who meet various criteria or are buying within individual communities.
- The Department of Housing and Urban Development (HUD) also offers many assistance programs to homebuyers.
What will I have to pay up front?
- Earnest money: This is the "security deposit" you pay when you submit your offer to prove to the seller that you are serious. After your offer is accepted, it is applied towards your closing costs.
- Down payment: This is a percentage of the cost of your home, and they can range from 3% to 20%. Veterans and their spouses who use a VA Loan, are not required to put down a downpayment. The amount will depend on the loan product you are using; there are government programs that offer loans with a reduced down payment.
- Closing costs: Your lender will provide details on the closing costs. A rough estimate is that closing costs run about 3% of the sales price, and includes recordation taxes, title insurance, lender fees and settlement charges from the title company. Other costs may include an appraisal and inspections: home, termite and/or radon.
What is PITI and what other costs will I pay?
- PITI (principal, interest, taxes and insurance) is the familiar acronym for your monthly mortgage amount.
- Other costs can include utilities, HOA or condo fees, and property taxes—which are typically included in your mortgage payment.
- The Banner Team will advise you of any additional fees associated with your particular home, community, or neighborhood, via the Property Disclosures you will get when we write your offer.
I Still Have Questions!
We can help! Contact us today, and let us answer any of your questions about real estate or homes for sale in DMV.
Want more information? Learn more about buying a home in DMV!