Buying a home is a major decision for anyone, but it can definitely be overwhelming for someone purchasing for the first time. Most people start by just browsing real estate websites before getting serious about the process, but even if you don’t think you’re “ready” it’s always a good idea to think about the steps you need to take when you are.
The first thing you want to do is prepare and review your finances. Your credit score is very important when discussing finances with a lender so you want to do whatever you can to make sure it’s at the highest it can possibly be. You will also want to review your credit reports to make sure any derogatory marks on there have been fixed if they can be removed or disputed.
If you are like most thinking about buying a home for the first time, you are probably overwhelmed by the prospect of coming up with so much money for a mortgage or down payment. Many first time home buyers don’t have a large down payment, so they may think that means they have limited options to buy a home, however, that is not the case, if you are unable to come up with a large down payment, you still may be able to purchase a home.
Consider Your Options
First time home buyers do have options for assistance if they aren’t able to come up with a large down payment. It’s important to look into all options in your area as they may require little or no money down when purchasing a home.
There are a few programs that can be helpful to first time home buyers:
- VA Loans are useful to those members that have served in the military. They are guaranteed by the US Department of Veterans Affairs and allow buyers to put nothing down when purchasing a home.
- USDA Loans are useful to those buyers that want to purchase in rural areas and are financed by the US Department of Agriculture.
- FHA Loans are great for first time home buyers because they allow for very small down payments, lower than even 5% for qualified buyers.
Finding a Home
There’s no perfect time to look at homes, so don’t hesitate to take a look at an open house if you don’t think you’re ready to purchase. Viewing homes is a good way to learn more about the process and the value of homes in the area and make your decision easier in the long run. Never be afraid to ask questions, take notes, and learn as much as possible about the home you are viewing.
Technology has advanced quite a bit so many people take to the internet when it comes to looking at homes, but a realtor is a great option, especially for those purchasing for the first time. Realtors often have relationships to sellers that can help secure your bid on the home versus if you were to try to purchase without one. They also can answer specific questions that may not come up until you are further into the process and actually setting up viewings.
Call Us Today
We know that being a first time home buyer comes with many choices and lots of ups and downs but the process itself can be truly rewarding and very educational as well. Don’t hesitate to reach out to Commonwealth Mortgage Corp in Conroe, TX today!