| Speak with a Mortgage Lender/Broker Obtain written pre-approval for a loan. This helps you determine your purchasing power and enables you to act with confidence when you identify the property you would like to purchase. Additionally, a pre-approval assures the seller that you are qualified, providing you with an advantage when bidding on a home. This is especially helpful in a multiple interest situation. |
| Choose a Manhattan Attorney who specializes in residential Real Estate As New York City has complex real estate laws, attorneys are utilized to close all real estate transactions. Time is often critical; be sure your attorney is available to move quickly. |
| Prepare to have those funds liquid when you begin your search The customary deposit upon executing a contract of sale is 10% of the purchase price. The balance of the down payment will be due upon closing. |
| Prepare to have your net worth statement with substantiating documentation In certain forms of ownership, offers are not only accepted based upon price, but upon the financial strength of the potential buyer. Therefore, In many cases sellers require you to provide this with your offer. Regardless of the outcome this information will be required for most purchases and financial institutions so having it prepared will also save you time in the future. Be assured your agent will safeguard this information in a confidential manner. |
| Review your credit report Remove all disputed claims and clear up any debt if possible, especially outstanding credit card balances |
| ** Coop purchases ** Your total annual housing costs should not exceed 25-30% of your gross reported income and your total debt should not exceed 35-40% (except in the case of substantial liquid assets). Housing costs include: mortgage interest, coop maintenance, secondary residences and any other mortgage in which your name appears. |
