Helpful Steps For First Time Home Buyers
Buying a home is a major financial decision and a large investment so you want to make sure you do everything you can to prepare yourself and become ready to buy.
Step 1: Get Your Finances In Order
Use a Home Affordability Calculator to help determine your budget. Lenders look at debt to income ratio to determine if you qualify. This is also a good time to talk to a mortgage lender who can actually advise you on which debt you should pay down and which you should not touch (i.e not all credit cards need to be closed).
Step 2: Plan for Down Payment & Closing Costs
Saving money towards the down payment is a good idea but it does not have to be your only option. Look into first time home buyer programs that assist with down payments. Also USDA & VA loans do not require down payments. Down Payments can range from 3.5% to 20% or more. Contact me to get an estimate for your closing costs.
Step 3: Shop Around for a lender
After you have done Step 1 and Step 2 then you are ready to begin the buying process! Make sure to shop around for the lender and the loan type. Compare things like interest rates, cost of the loan (hidden fees), and rate locks.
Once you are ready to begin the buying process make sure to reach out to me so I can take you through the next steps!