December 7, 2012 5:02 pm
A good real estate agent will be able to answer these questions and guide you through the process to make it as painless and stress-free as possible, which is why choosing the correct agent is a must for any first-time buyer. When choosing a real estate agent to work with, consider the area in which you want to buy. A local agent will be more familiar with the area and can recommend specific neighborhoods that will suit the specific lifestyle you’re looking for.
First-time buyers should also have a good handle on the money involved in purchasing a home. It’s always a good idea to meet with a financial advisor to truly understand what you can afford. If you want to figure it out yourself, be sure to make a comprehensive list of every possible expense. Don’t rely on your lender to figure out a total for you, as lenders look at your debt-to-income ratio, and not necessarily at your day-to-day spending habits.
Once you know what you can afford, make sure the bank agrees. This can be accomplished by getting pre-qualified for a loan. The pre-qualification process is not a guarantee that the lender will offer you funding, but it does take into consideration your credit score and income level in order to determine how much the lender might be willing to offer through a mortgage program. The next step is getting a pre-qualified letter so that when you find a home you love, you have proof that you can get the loan.
While it may seem like a good deal is easy to come by these days, it’s crucial that you do your homework before jumping at the first lender who offers you a deal. Talk with several lenders before you decide which one can best serve your needs. Be sure to disclose the fact that you’re a first-time buyer, as this could potentially make a difference in the types of programs a lender offers you.
First-time buyers should also look into programs that are specifically designed to lend a hand with benefits such as down-payment assistance and no closing costs. Some even offer first-time buyers competitive interest rates designed to make borrowing easier. Be sure to understand what’s out there to help you before making a final decision.
As a first-time buyer, it’s important to work with an agent who is familiar with programs and lenders who specialize in working with buyers who are getting ready to purchase their first home. This will give you the best chance of finding your dream home at the best possible price.
If you’re a first-time buyer looking to purchase a home, contact our office today.
Published with permission from RISMedia.