7 Tips When Thinking of Buying A Home For the First Time
- HAVE A BUDGET: Know what you can afford. When looking for a new home, make your search more effective by knowing how much you can afford. Carefully calculate the overall monthly payments. Be sure to include additional costs like property taxes etc.
- IDENTIFY YOUR POTENTIAL DOWN PAYMENT!
- FIND OUT WHAT AREAS where you would like to own a home, then connect with a real estate agent in that area. Make sure the agent is a local agent in that neighborhood and has insights into local matters like taxes, schools, new developments and other issues that may be important to you.
- GET A COPY OF YOUR CURRENT CREDIT REPORT, identify any discrepancies, and get them fixed as soon as possible ideally before you talk to a lender.
- DO NOT MAKE ANY LARGE CREDIT PURCHASES such as a Car, anything that will be a financial add on for a long time. Remember Large purchases, such as a car loan or lease, may impact your debt-to-income ratio. Changes to this number may affect your ability to qualify for the loan amount you require.
- MAKE SURE YOU HAVE A DOWN PAYMENT and closing-cost fund available in your account 60 to 90 days prior to closing on your home. Certain loan programs require "seasoned funds", meaning money has been in your account for a certain amount of time.