How to Buy Your First Home

When you are thinking about being a first-time homebuyer, you can be feeling overwhelmed at the prospect of all the details that go into buying a home. This is understandable because it is a complicated process. Getting all the information you can and preparing before you start is the best course of action.

Here are some ways you can have a successful home buying experience. 

Before You Buy

The process of buying a home starts long before you ever look at a house or talk to a real estate agent.

In order to have a successful homebuying experience, you need to get your finances in order. You should save money, so you are prepared to cover move-in expenses, down payment, and closing costs. Research to determine what to expect when it comes to these expenses so you can have a goal to work towards. 

You also need to have an idea of what your price range will be when looking at houses. You can find online calculators that will use your income, savings, credit score, and debt to estimate the amount you can afford. 

Your credit score has a big influence on if you qualify for a mortgage and the interest rate if you do qualify.

You should take steps to increase your credit score as much as possible. First, you need to know where your score stands. Get a free credit report, so you know your score and any weaknesses you have in it.

You can improve your score by paying all your bills on time, paying down credit card debt, and keeping your current credit cards active. 

Mortgage Options

You will need to have a general idea about the different kinds of mortgages before you can decide which one will work best for you.

Some are designed to help first time home buyers. There are others that do not require a down payment, or there are some geared towards helping veterans buy a home. 

Different mortgages will have different interest rates and monthly payments, so be sure to do your homework.

There may also be other fees associated with some of the mortgage options. You want to make sure that you are making an informed decision and are not surprised by hidden fees after signing all the paperwork.

Once you have pre-approval, you will want to get a preapproval letter to show to real estate agents and home sellers. 

Looking at Homes

Once you get to the point in your journey where you are ready to look at homes, you should find a realtor to help you. You may be capable of doing it on your own, but the experience and knowledge that a realtor can lend to you will be indispensable.

They can not only help you work through the paperwork, but they can also help guide you to homes that are a good fit for you and negotiate for the best price. 

When you go to home viewings, be sure to make a list of features you want to see and a way to write down what you like and don’t like about each home. It will be hard to keep them all straight if you are viewing more than one, so keeping a list will help you remember them later. 

Jeff Campbell

Jeff Campbell is a father, martial artist, budget-master, Disney-addict, musician, and recovering foodie having spent over 2 decades as a leader for Whole Foods Market. Click to learn more about me

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