Are you ready to grow up and become a first-time home buyer?
Buying a home is a meaningful step for many people. It’s the fulfillment of the American Dream. It’s also the most stressful thing you’ve encountered in your young life. Even more stressful than paying down student loans.
The home buying process can be daunting. There’s so much to it where do you even begin? Start by reading these tips that will demystify the process and help you prepare to purchase your first home.
1. Plan Ahead
As a first-time home buyer, there’s a lot that you don’t know about the home buying process. Start by researching what happens when you’re buying a home. Talk to people and ask them what their experiences were when they bought their first home.
You’ll also want to make sure you’re financially prepared for a new home. You’ll need to start now to save up money for a down payment and pay down your debt.
Be sure to look for grant and loan programs for first-time home buyers. They can help you get that down payment faster than you would on your own.
2. A Good Agent Makes All the Difference
Not all real estate agents are created equal. Some are ok working with first time home buyers. Other agents specialize in working with younger folks to get them their first home. These are the agent you want to work with.
The reason why is that they will walk you through the entire process. You’re going to need a little more care and hand-holding than someone buying their third property.
Be sure to work with an agent that knows your local area well. For example, if you’re planning to buy in Puerto Rico, work with a firm like Strong|Edge Realty. They work only with properties on the island.
3. Don’t Do Anything To Impact Your Credit
This is not the time to get a new job. It’s not the time to take out a new credit card. Lenders want to see two things from you. They want to see financial stability, which means a steady and reliable income. They want to see you at the same job for about two years. If you’re making money without a job, you’ll have to show a steady flow of income, too.
The banks also want to know that you’re not a credit risk. Doing something like taking out an auto loan in the middle of the process will ruin our chances to get approved for a mortgage loan.
Your job is to not change anything. Just don’t. Many mortgage brokers have horror stories of clients who changed jobs or took out a new credit card just before closing on their dream home. Those seemingly harmless moves put everything in jeopardy.
First-Time Home Buyer Lessons
Buying a home is a wonderful thing. You own something that will appreciate in value that you can leverage later on in life.
As a first-time home buyer, the process can be challenging because there’s so much to learn. Do as much research and planning as you can now and find a top agent to work with. That’s how you come out ahead with a fabulous home of your own.
Once you’re moved in, you can start thinking about how you want to decorate your home for Christmas.