FAQs for Homebuyers: Your Complete Guide to Buying a Home

by Lew & Tina Veltri

A happy homebuyer stands in front of a welcome mat that reads "Home Sweet Home," symbolizing the excitement and fulfillment of finding the perfect place to call home.
 
Buying a home is one of the biggest decisions you’ll ever make, and it’s natural to have a lot of questions. From understanding financing options to knowing what to look for in a property, the process can feel overwhelming—especially for first-time buyers. To help you navigate the journey, we’ve compiled answers to the most frequently asked questions from homebuyers. Whether you’re just getting started or nearing the final steps, this FAQ guide is here to provide clarity, ease your concerns, and empower you to make confident decisions on your path to homeownership.
 

Q: What factors determine a home's value, and why are they important for buyers and sellers?

A: A home’s value is influenced by multiple factors, including its location, size, condition, features, and recent comparable sales in the area. Location is one of the strongest influences—homes in desirable neighborhoods or close to amenities, schools, and transportation tend to be valued higher. Other elements include the home’s size, layout, condition, and upgrades, such as a remodeled kitchen or outdoor living space. Additionally, recent sales of similar homes nearby, known as "comps," are used to assess a home's market value. Comps give buyers and sellers an idea of current market trends, helping buyers make fair offers and sellers price competitively.


 
Q: When should I get pre-approved for a mortgage, and why is it important for homebuyers?
 
A: The best time to get pre-approved for a mortgage is before you begin your home search. Pre-approval is essential for understanding your budget and narrowing down your options, helping you focus only on homes within your price range. Additionally, a pre-approval is often necessary to make a formal offer, ensuring you’re prepared to act quickly when you find the right property. In a competitive market, having a pre-approval shows sellers you’re a serious buyer, ready to make a purchase.
 

 
Q: Should I go to my local bank for a mortgage, or are there other options to consider?
 
A: While your local bank can be a convenient option, it’s often beneficial to explore a range of lenders, including local mortgage lenders who may offer more specialized programs. Local lenders are often more familiar with the specific needs of buyers in your area and may provide unique loan programs, better rates, or flexible terms to suit various financial situations. Comparing options from local banks, credit unions, and online lenders can help you find the best mortgage terms and save money over the life of the loan. 
 

 
Q: How much do I need to put down on a home, and what are my options?
 
A: The amount required for a down payment depends on the type of loan and your financial goals. Many lenders offer conventional loan options with down payments as low as 3%, while FHA loans may require as little as 3.5%. VA and USDA loans even provide zero-down options for qualified buyers. Your lender will be able to guide you through the options available based on your financial profile and goals, helping you choose a down payment amount that works for your budget. A larger down payment can reduce your monthly payments, but lower down payment options make homeownership accessible for many buyers.
 

 

Q: Is an earnest money deposit required when buying a home, and why is it important?
 
A: Yes, in most cases, an earnest money deposit is required when buying a home. This deposit, typically 1-3% of the purchase price, shows the seller that you’re serious about your offer and committed to the transaction. Earnest money is placed in an escrow account and applied toward your down payment or closing costs if the sale goes through. If you back out of the deal for reasons outside of your contingencies, you may lose the deposit. An earnest money deposit strengthens your offer and helps you stand out in competitive markets.
 

 
Q: Is a home inspection necessary when buying a house, and why is it important?
 
A: Yes, a home inspection is highly recommended for anyone buying a house. A home inspection provides a detailed assessment of the property’s condition, uncovering any potential issues such as structural problems, electrical issues, plumbing concerns, or hidden damage. This information is essential for buyers and their agents for better informed decisions, negotiating repairs, or adjusting the offer if necessary. Skipping a home inspection can lead to unexpected repair costs and safety risks down the line, so it’s best to ensure a thorough inspection before finalizing your purchase.
 

 
Q: What is a home appraisal, and why do I need one when buying a house?
 
A: A home appraisal is a professional evaluation of a property’s market value, conducted by a licensed appraiser. Appraisals are usually required by lenders to ensure that the home’s value matches the loan amount, protecting both the buyer and the lender from overpaying. The appraiser assesses various factors, including the property’s location, condition, size, features, and recent comparable sales (or “comps”) in the area. A home appraisal is essential because it confirms that you’re paying a fair price for the property and that the lender isn’t financing more than the home is worth. If the appraisal comes in lower than the agreed purchase price, you may need to renegotiate the price or cover the difference out of pocket.
 

Q: How much should I expect to pay in closing costs, and what do they include?

A: Closing costs typically range from 2% to 5% of the home’s purchase price, though the exact amount can vary based on factors like location, loan type, and lender requirements. These costs cover a variety of fees associated with finalizing the home purchase, including appraisal fees, title insurance, loan origination fees, attorney fees, property taxes, and prepaid homeowner’s insurance. Lenders are required to provide a Loan Estimate, which breaks down these costs early in the process, so you have a clear understanding of your expenses. It’s essential to budget for closing costs in addition to your down payment, as they are due at the time of closing and can impact your overall out-of-pocket expenses.


Q: When should I arrange for homeowners insurance, and is it required before closing?

A: Homeowners insurance should be in place before your closing date, as most lenders require proof of insurance to finalize the loan. Ideally, you should start shopping for homeowners insurance once your offer is accepted to allow time for comparing coverage options and rates. Once you choose a policy, your insurance provider will issue a binder or proof of insurance, which you’ll need to provide to your lender before closing. Having this insurance ensures that your home is protected from the moment you officially own it, covering potential risks such as fire, theft, and liability.


 
Q: What should I know about buying a For Sale By Owner (FSBO) property, and why is it important to work with Veltri Group of Brevard - Lew and Tina Veltri?
 
A: If you're considering purchasing a "For Sale By Owner" (FSBO) property in Brevard County, it’s crucial to involve Veltri Group of Brevard - Lew and Tina Veltri before contacting the seller directly. By allowing us to reach out to the FSBO seller on your behalf, we can officially represent you in the transaction. This ensures that you’ll have professional guidance through each step, including negotiations, paperwork, inspections, and closing. If you contact the seller independently, we may not be able to fully represent you, which could leave you without expert assistance. Working with Veltri Group of Brevard means having experienced real estate professionals advocating for you, making the FSBO buying process smoother, safer, and more straightforward.
 

Should I Consider a New Construction Home, and Why Work with Veltri Group of Brevard?

If you're considering a new construction home in Brevard County, it’s essential to involve Veltri Group of Brevard - Lew and Tina Veltri before visiting the builder's sales office. Many buyers aren’t aware that the builder’s sales representatives work exclusively for the builder, not the buyer. By contacting us first, you ensure that you have dedicated representation throughout the entire process—from negotiations and contract review to inspections and final walkthroughs. Visiting the builder alone means you’ll be unrepresented, leaving you without an advocate to protect your interests. With Veltri Group of Brevard on your side, you have experienced real estate professionals ensuring that your needs and rights are prioritized in every step of the new construction purchase.


 
Q: When is the right time to start working with a Realtor, and what are the benefits of working with Veltri Group of Brevard - Lew and Tina Veltri?
 
A: It’s never too early to start working with a Realtor when considering buying or selling a home in Brevard County. Connecting with Veltri Group of Brevard - Lew and Tina Veltri from the beginning gives you a distinct advantage. Early guidance ensures you’re fully informed about the market, financing options, and steps in the buying or selling process. Starting with us also means you’ll be prepared to act quickly when the right opportunity arises, especially in a competitive market. Waiting to involve a Realtor may result in missed opportunities, or potential missteps, as our professional expertise ensures each decision is strategically made with your best interests in mind. Working with Veltri Group of Brevard from day one provides you with trusted representation, expert advice, and the confidence to move forward effectively in your real estate journey.
 

 
 
 
 
 
agent-avatar

Veltri Group of Brevard is a Homegrown Real Estate Sibling Team on Florida's Space Coast offering a unique, hands-on, & personalized approach to buying and selling. We work together as one, so our clients receive twice the service and double the care.

+1(321) 341-6541

veltri@veltrigroupofbrevard.com

1400 International Pkwy, Mary, FL, 32746

GET MORE INFORMATION

Name
Phone*
Message

By registering you agree to our Terms of Service & Privacy Policy. Consent is not a condition of buying a property, goods, or services.