First Time Home Buyers: What You Need To Know

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There is a first time for everything and if you’re buying your first home, there are things you need to know and should be educating yourself about before you take the plunge into home ownership. First time home buyers have many questions that need answering before they can go from home browsing to home buying.  Being in the know will help you make smart decisions throughout the home buying process, along with avoiding common first time home buyer mistakes.

First Time Home Buyers: Be in the Know

1. The purchase price is not the only cost of home ownership.

With many fees and expenses involved with home ownership, it doesn’t end with the purchase price. As a home buyer you have to understand on top of your monthly mortgage payment, there are many other fees and expenses to owning a home that first time home buyers overlook. When your going over the monthly budget and expenses keep these in mind. Some might be included in your monthly mortgage payment and some may not.

  • Home owners insurance
  • Property taxes
  • Utilities (heating costs) (electric bill) (water bill) (condo fees)(garbage removal)
  • Home maintenance

2. Getting Pre-approved for a loan can help with your budgeting and home buying power.

A pre-approval is one of the most important steps for a first time home buyer. This will help you understand how much home you can afford with your current credit rating, income and expenses, and other factors. The pre-approval also shows home sellers that you are a serious buyer and able to afford their home. It gives a confidence to the seller and could set you apart from other home buyers that may not be pre-approved yet. The best part of the pre-approval process is it’s fast, easy and free. Contact us to put you in touch with 1 of our veteran mortgage officers who can get the ball rolling for a pre-approval.

3. There is no such thing as the perfect home.

Most first time home buyers think they’re going to find the perfect home, with the perfect upgrades, in the perfect neighborhood. Unfortunately most home buyers have a huge list of wants that most homes cannot live up to or they can afford. The trick is to make a home wish list that has everything that you want and desire with out holding it 100% accountable. It is also wise to separate your wants and needs. Understand that you might not find the perfect home within your budget. Here are a few quick bullet points on things to know that will help you prioritize.

  • You cannot change the location of the home.
  • You usually can change the floor plan.
  • You can update kitchen and baths, along with many other things.

Overlook paint color, outdated light fixtures,  and grandma’s wallpaper because these are the most simple and inexpensive updates that many first time home buyers take on as projects. If your up for the challenge, buying an outdated home can actually be beneficial. You are going to get in the home at a cheaper price and you will be able to customize the home to your liking. Unless your buying new construction, you can expect to do at least some updating.

4. The economy would love for you to buy a home.

First time home buyers stimulate a lot of local economic activity and growth. Therefore banks and the government are constantly changing rules, credits, loan programs and giving general help geared toward getting a first time home buyer in the home of their dreams. The best resource to see the latest loan programs and local government help is talking to an experienced mortgage officer to see what is available and would work best for you.

Questions to ask your loan officer

  • Do no money down programs exist?
  • What government back programs are available?
  • What are the guideline and income limits for programs available?

First Time Home Buyers: Getting Started

Defining Your Ideal Home  and Neighborhood

The property you buy will be much more than a house; it will be
your home. The following questions can help you describe the things
that are most important to you in your ideal home and neighborhood.

Home Buyer Checklist

The Home Buying Process usually includes many of the following elements. Understand the Checklist and steps you will need to take to go from a CT Home Browser to a Connecticut Home Buyer.

Home Buying Resources

Advanced Home Searching Toolssearch icon page veiw
Browse like a Pro. Feature rich Home Searching tools that are easy to Use. Includes easy glide parameters,distinct mapping, and much more. Make sure you set up an account while your there and receive email updates with the newest listings that hit the market in your search criteria.

Mortgage Calculator
Check out are 19 in 1 Mortgage calculator. calculatorMany different detailed calculations to choose from that you do not want to miss out on. Feature rich with calculations such as “rent vs. buy” “affordability calculator” “how much income do I need to qualify” along with many more. Its a great tool to start understand how much home you can afford and exact payments,along with tax benefits and different payoff scenarios for credit cards and other loans.

 

Check out articles we update regularly regarding helpful Home Buying Tips.

Also feel free to Contact Me anytime to answer any questions you may have and get the home buying process started.

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