To Get Your Dream Lake Home, Line Up Your Paperwork First

There's a lot to do on Lake Cypress Springs, whether you're interested in owning a lake home for boating, swimming and relaxing, and especially fishing. The Texas Parks & Wildlife Department, in fact, describes the lake as naturally clear, with good amounts of bass and catfish. It's no wonder that properties on and around Lake Cypress Springs are often held onto for years or even for life.

Because of this, it's important to be able to move quickly when a home you're interested in becomes available. And the more specific the type of home you're looking for – whether in price range, bedrooms, or amenities – the faster you're going to have to move. By lining up your financing in advance and doing a little research, you can ensure that you're ready to make an offer quickly when a suitable home comes on the market.

Get A Loan Pre-Approved

Having pre-approval for your home loan shows a seller that you're serious about making an offer and you have the financial ability to do so. By getting pre-approved as soon as possible – even before negotiating on a specific home – you can make your offer while other buyers are still waiting on paperwork.

Another big advantage to getting a pre-approval is that it gives you a very clear budget. Once you know how much a bank is willing to offer you as a mortgage, you'll be able to narrow down the homes you're looking at. And if going through the pre-approval process leaves you with a smaller mortgage than you expected, you can work to correct that by improving your credit score or paying down other debts.

Get Proof Of Funds

Not everyone who purchases a home does so through a lender – if your plan is to pay cash, then the entire loan process doesn't apply to you. But you still need a way to prove to sellers that you're capable of backing up any offer you make – to prove to them that you have the funds.

Proof of funds is a little complicated. You need to show that you have sufficient money, but you don't want to weaken your bargaining position by showing that you have too much money. If you show a seller how much you have in your bank account, that gives them a big advantage in negotiating the price of the home.

There are two good options for showing proof of funds without giving away your whole hand:

  • Agree to a deadline to provide the proof after the seller accepts your offer. For example, agree to provide proof of funds within 48 hours of a binding agreement with them – if you provide the proof, they can't change the deal, but if you can't provide the proof, the deal is void.
  • Move the amount of money that you're willing to offer into a separate bank account and use this account as your proof of funds. If you do this, working with an agent experienced in these negotiations can be especially helpful as you'll need to make sure you include enough for closing costs and possibly extra as a safety cushion.

Lakefront real estate can be competitive. The more you can do to show sellers that you're serious, the sooner you can be sitting on your own porch and looking out over the water of your new home.