Are you ready to buy your first home but don’t know where to begin? For most people, buying a home is the biggest investment they will make in their life and can be a scary experience, especially for first time home buyers. Owning a home is the American dream, but also the largest investment most people will make. Therefore, it is important to go into the processing understanding what is required.
Here’s what you will need:
- A decent credit record
If you have lots of late payments, have declared bankruptcy or left old debts unpaid, it’s harder to get a mortgage. And if you do get one, your bad credit record will make you pay a much higher interest rate.
- Save for a Down Payment
While a big down payment (i.e., 20% or more) will help you avoid paying Private Mortgage Insurance, it is not necessary. Many lender programs will allow for as little as 3-5% down.
- Enough income to pay property taxes and homeowner’s insurance
The mortgage isn’t the only cost you’ll have each month. You also have to pay taxes and insurance. You do have the option to escrow these payments into your monthly mortgage.
- The ability to maintain the property
You must keep a home in good repair or it will lose value and you’ll lose money. You can do the work yourself or hire it out.
First time home buyers need an experienced and knowledgeable REALTOR® to help them through the process. There are many moving parts in the home buying process and you should be familiar with every moving part. At Hometown AdvantEDGE, we believe in empowering our buyers with the knowledge they need to make educated decision from the beginning to the end of the home buying process. We are even there for you AFTER you move into your home.
If you are considering buying a home and don’t know where to begin, contact us, 803-999-3700, and we will help you get started.