When you’re buying your first home, it’s important to be prepared for everything that comes with the process. From saving up for a down payment to getting pre-approved for a mortgage, there are a lot of things to do before you even start looking at houses. Here are some tips for first-time home buyers to help make the process as smooth as possible.
1. Start saving up for a down payment. Most lenders require a percentage of the purchase price as down payment on a home. Depending on the type of mortgage you are looking for, ask your lender what percentage down you will need. They will also prepare an estimated closing cost document for you so there aren’t any surprises at closing!
2. Get pre-approved for a mortgage. Do you belong to a credit union? Do you have a great relationship with your bank? Do you need a recommendation on a local lender? Utilizing these relationships will help you through the process and give you an idea of how much you can afford to spend on a home. Showing that you are already pre-approved on a home will help your offer be more attractive to a seller in competing offers.
3. Work with a real estate agent. As your agent, it is my job to help you find homes that fit your budget and needs. Holding your hand through the process and making sure all your due diligence is completed, all your deadlines are met and the process runs as smoothly as possible will make for a fun, exciting and memorable experience.
4. Be prepared to make an offer quickly. Once you find a home you like, be prepared to make an offer right away. If you wait too long, someone else may scoop it up.
5. Stay within your budget. It’s easy to get caught up in the excitement of buying a new home, but make sure you stick to your budget. Otherwise, you could end up with financial problems down the road.
6. Stay Positive. In low-standing inventory markets, it’s easy to get frustrated during the process. Remember to stay positive and the perfect home for you will come. Everything happens for a reason and sometimes when you think the worst thing is happening to you, it ends up being the best thing for you so again STAY POSITIVE!
Following these tips will help you have a successful experience as a first-time home buyer. Just remember to take your time, do your research and be prepared for anything that comes your way. With a little planning, you’ll be in your new home before you know it!