First Time Home Buyer Tips
Quite often I see people dodge conversations about buying a home. It's a touchy conversation that makes most uncomfortable because they feel like they don't know enough or are in a position to purchase.
Have you ever felt that way? It's okay...me too, until I invested into learning and understanding the world of Real Estate.
When purchasing a new home, here are some things to consider.
Pre Approval
Make sure you have a pre approval before moving forward. This is what sets the pace for you to be able to know how much you are approved for. Our mortgage banker can help you with that! Click here to get started.
Financial Standing
Do not go over the max monthly payment that you prefer regardless of the amount you are approved. This means choosing a home that fits your own personal budget where the loan approval amount may be much higher. It's important to manage your accounts wisely and avoid insufficient funds and bounced checks. Don't add any extra debt and make sure your payments are on time.
Be prepared to present all documents requested which could be tedious process. Also don't be afraid to ask your loan officer questions if you do not have reserves to show in the bank. There are rules that allow for a family member or friend to gift you money that sits to show reserves in your account; this is apart from your own money.
Shopping For Your Home
This is the fun part, but definitely a lot of work.
Use an online payment calculator to get an estimate of payments or ask your loan officer per property. Choose a home that you can see yourself in for 5 years and resell that has minimum requirements such as 3 bedrooms or 2 bathrooms.
Have an open mind. If you find multiple things you like but see that you can add or update at a later time, consider that house as a final contender.
Look at the taxes. The higher the taxes the lower the home purchase price must be. Always do your research about schools, stores, highways and other things that are important to your family and your navigation.
Understand that area drives price so be realistic with your choices.
Always have the home inspected if you choose to write a
contract.
These are just a few tips from myself and Tera Thomas to help get you moving in the right direction!