First Time Buyer Homes for Detroit Buyers

Welcome to your NEW HOME!

Detroit has a unique opportunity right now.  Currently, it is cheaper for people to BUY a home than to RENT a home.  Before many people said they could not afford to own a home.  In Detroit, these people either don't know the truth...or just simply do not want a home.

Call Now for More Information: (248) 569-1486

We believe you want a nice home in a nice neighborhood in Detroit.  There is a very good chance that you can qualify to own a home just like one of these, and right now, it's even cheaper than renting!

With the help from many special programs designed for FIRST TIME HOME BUYERS in Detroit and Michigan, Conquest Real Estate Group would like to help you WELCOME people to your NEW HOME.

QUICK TIP: Did you know that you might be considered a first time home buyer, even if you've owned a home before?

Call to ask for more info: (248) 569-1486

Below here are some video tours of some of these homes.  You'll notice how nice these Detroit homes are, and they're all in great neighborhoods.

14314 Mansfield, Detroit MI 48227

18009 Pinehurst, Detroit MI 48221

9870 Outer Drive East, Detroit MI 48224

19502 Whitcomb, Detroit MI 48235

These are great homes in great Detroit neighborhoods.

Click HERE to see some of the special programs available for First Time Homes Buyers in Detroit and Michigan.

Should I have my home inspected?

When you decide to purchase a new home, you should consider paying an independent professional for a home inspection.  Buying a home is usually the largest single investment you will ever make.   You’ll want to learn as much as you can about the house before you buy it. After the inspection, you will know more about the house, which will allow you to make decisions with confidence.

A home inspection is a visual examination of the physical structure and systems of a house, from the foundation to the roof.  A home inspector will check the roof, basement, heating system, water heater, air-conditioning system, structure, plumbing, electrical, and many other aspects of buildings.

He looks for improper building practices, those items that require extensive repairs, items that are general maintenance issues, as well as some fire and safety issues.  A home inspection, however, is not technically exhaustive and does not imply that every defect will be discovered. Some inspection companies offer 90-day limited warranties to protect clients from unexpected mechanical and structural failures; otherwise, inspectors are not responsible for future failures.  

The result of an inspection is professional opinion of the physical condition of the property.  It will also list which components and systems may need major repair or replacement.  A condition in most home purchase agreements is a favorable home inspection.  Should the inspection report items that you are not comfortable with, the sale may be terminated without cost to the buyer or modified to include your findings.

How do I find a home inspector?

The best way to find an inspector is to ask friends to recommend a home inspector they have used. You should hire one who have completed a course or study program and have a certificate of proof of completion.  The American Society of Home Inspectors has a tool to Find an Inspector in n your area who belong to the non-profit professional organization.

What are Home Mortgage Points? Origination Points vs. Discount Points

After you have been pre-approved for a mortgage to buy your new home, you may hear something about“points.”

This simply means you have the opportunity to pay to decrease your mortgage payments and/or save money on interest.

A point is equivalent to one percent of your total mortgage. For example, if your loan is $100,000, one point would be $1,000 or one percent of the loan amount.

The primary types of points are (a) origination points or (b) discount points.

Origination points

When a mortgage broker processes your loan, you and the lender are required to pay for his or her service. This payment is called an origination fee, which is a percentage of total mortgage loan.

Beware that mortgage brokers can decide on their fee amounts, and some will charge you excessive amounts. If you’re not paying attention, don’t know better and don’t have a good buyer’s agent or real estate attorney representing you, you may not know you’re paying too much.

If you are being charged two (2) points on a $200,000 loan, it means you will pay $4,000 (2% of $200,000) when you are closing your loan. While that may not seem ridiculous, it’s best to do some careful to research to find out if the broker also is not getting a Yield Spread Premium or back-end points, too.

Mortgage brokers do this by adding a prepayment penalty to your loan, which means if you pay the loan off early, the lender or bank penalizes you by adding on a higher interest rate to cover their brokerage fees.

Although the closing agent will discuss these fees with you at the closing and it will be included in your paperwork, you may miss the significance of them if you don’t understand what they mean to you.

Here’s how it works:

A broker could offer you an interest rate of 5 percent and not get anything from the lender. The broker may also offer a 5.4 percent interest rate and get one percent of the total amount of the mortgage from the bank or lender. Another possibility is the mortgage broker could offer you an even higher interest rate and get three percent back from the lender.

Be sure you ask the broker the amount of his or her total commission. That way, you will be fully aware of what your costs will be and be able to negotiate, decreasing your costs and lowering your interest rate to save thousands in the long run.

Discount points

These points are paid at the closing table and will help you get a better interest rate for the duration of your mortgage.

If you plan to stay in your new home and keep your loan for a long time, say 15 or 20 years, paying discount makes may good a route to take.

Your lender may offer you the opportunity to pay one percent of the loan (one point) to decrease your interest rate by an eighth of one percent. But this option would not make as much sense if you know you are going to refinance or sell your home in a short period of time.

The best way to decide if buying discount points is a good option for you is to determine your break-even point. The general rule of thumb is the longer you plan to be in your home, the chances are better that this may be beneficial for you. So crunch the numbers.

For instance, if your loan will be $200,000 and your interest rate is 5.000%, your loan payment, including principal and interest would be $1,073. But if you purchased one discount point, your interest rate would drop to 4.875% and your monthly payment would then decrease to $1,058. Then you would save $15 a month…in exchange for paying and additional point (one percent of the loan for $2,000 in this example) at closing.

It would cost you $2,000 for that one discount point at the closing. With the $15 a month savings, you would break even in 11 years. Since most families remain in their homes for less than a decade, in this case buying discount points probably would not be a good decision. But it could be a solid choice if you know you’ll say in your home longer.

Call Conquest Real Estate Group for More Info: (248) 569-1486

Five Steps for Finding a Good Real Estate Agent - A Superstar

Buying your first home is an exciting time, but the important first step in finding your dream home is to find a great estate agent to help you navigate the process. A good real estate agent will help you secure a loan, as well as find a great new home.

Take these steps to ensure it’s a positive process, and you end up happy in your new home:

Look for experience. It’s the difference between finding a great real estate agent and a mediocre one. You want to search for a buyer’s agent, one who works with your best interests in mind, who has worked for at least a few years. You’ll have more confidence in an agent who proves to be competent, reputable and has successfully closed many properties.

Get referrals. Contact agents who people you know such as friends, relatives and co-workershave worked with in the past. If he or she did a terrific job for someone you know and trust, you can be confident you’ll get similar results.

Ask for References. Also, don’t forget to ask the agent for references and check those references out.Make sure he or she is a licensed Realtor, and is a member of national, state and regional real estate organizations. Be sure to ask other real estate agents you meet if they know and respect the real estate agent you select.

Talk to several agents. Take your time when making a final decision on the agent you select. Some agents will tell you anything to get you to sign with them. Look for an agent that is realistic, not one attempting to sell you a pipe dream.

Take your time selecting a Real Estate Agent. A hasty decision in choosing an agent could end up being costly in terms of wasting time and money, not getting the home you really want or paying more than you should. Sign a buyer’s agreement only after you are comfortable with an agent after looking at properties for several hours.

Search for a web savvy agent. Choosing an agent that actively is online is critically important. Statistics show that more than 85 percent of buyers first learn about their home while surfing the web. Experienced, competent real estate agents use laptops, tablets and their mobile phones to e-mail.  They also text and send listings to potential buyers, and they have open communication lines with sellers.

Find a local market expert. This type of agent will be familiar with the nuances of your desired geographical location. For example, they’ll know that the nearby neighborhood high school has a great football team for your teen sports enthusiast; will be able to find unlisted properties, as well as a variety of MLS listings in the neighborhoods you want that meet your price point. They’ll also be good at knocking on doors or using sites such as Craigslist to find unlisted or sell-by-owner properties.

Call Conquest Real Estate Group for More Info: (248) 569-1486

What documents will I sign at closing?

At the closing, you will be asked to sign many papers.  It is very important to take the necessary time to read all paperwork to ensure you know what you are signing and the impact they will make to your finances.

Here are some standard forms you’ll be asked to sign:

Loan Note:  Details the terms of the loan, including the amount you are borrowing, the term of the loan in years, the interest rate, the amount of your payment, due dates and fees for late payments, and other key terms.

Mortgage or Deed of Trust:  The document that will be recorded on the land records to provide security/collateral for your loan.  It is also the collateral for the loan.

New HUD-1 Settlement Statement:  lists all receipts and disbursements made by, on behalf of, or to the buyer and seller.  Borrowers may compare their Good Faith Estimate they received after applying for the loan to the HUD-1 Settlement Statement and ask their lender or broker about any changes.

Affidavits: Where applicable, the buyer may execute sworn statements relating to

  • owner-occupancy of the property;
  • current employment and income;
  • name variations or "aliases";
  • the non-existence of secondary financing;
  • truth and accuracy of all information supplied to the lender;
  • other matters specific to the particular transaction.

Disclosures and Acknowledgements: Where applicable, borrower may sign the following disclosures and acknowledgements: 
  • acknowledgement that a default in payment of the loan could result in a foreclosure
  • acknowledgement that the closing attorney/settlement agent represents the lender
  • disclosure of the Annual Percentage Rate ("APR") as reflected on the Truth In Lending Disclosure or "TIL"
  • disclosure of projected escrow account activity for one year
  • acknowledgement that property is or is not located within a flood zone
  • acknowledgement of receipt and review of survey
  • disclosure of information relating to lender's history of transferring or selling loans.
Loan Application: standard form which reflects the income, assets, debts and other pertinent information used to qualify borrower for the loan.

IRS form W-9: verifies the borrower's social security number for the reporting of payment of interest to the IRS.

IRS forms 4506 and/or 8821: authorizes the lender to obtain information from the IRS to verify information on application form.

First payment letter: shows total payment amount, date of first payment and information regarding where to remit payment.

Call Conquest Real Estate for More Info: (248) 569-1486