First-Time Home Buyer’s Guide
First-Time Home Buyers: Mortgage Maneuvers, Picking a Pro, and Reaping the Reward!
For a first-time home-buyer, mortgage, escrow and other real estate terms might seem strangely foreign, but with a little research and the help of a Realtor, you’ll be speaking the language in no time.
Are you suddenly intrigued by “For Sale” signs on front lawns? Find yourself looking at homes on the web for hours at a time? Have you been weighing the pros and cons of buying versus renting? Sounds like you’re poised to become a first-time home buyer!
You probably have a lot of questions, such as:
- Am I really ready to buy a home?
- How can I determine my housing needs?
- Should I use a real estate agent?
- What are my first-time home buyer mortgage options?
- How much will I need for the down payment?
- How much home can I afford?
- How do I find a lender?
This is the perfect time for you to consider buying a home. There are some great first time home buyer programs out there, just waiting for you to take advantage.
First things First: Pick a Professional to Guide You
It is highly recommended that you enlist the services of an experienced real estate professional. He or she will be able to offer insight into the local market and guide you every step of the way. Many even offer a “first time home buyer guide” to walk you through each part of the process. Ask your friends and family for a recommendation, or start looking online. The most important thing is that you find someone with experience who knows your area.
The House You Want vs. the House You Need
In AZ, first time home buyers have quite an inventory of real estate to choose from. It may seem overwhelming, but you’ll quickly learn how to narrow the field. First, determine your housing needs and your budget. It is easy for unscrupulous mortgage lenders to take advantage of overzealous buyers, so be honest with yourself about how much you can really afford. Do your homework and find out as much as you can about your options.
Learn the Loan Lingo
Many novice buyers may wonder what it takes to qualify for a first time home loans. Today, there are so many options, and many lenders offer first time home buyer incentives designed to make your dream of homeownership more realistic. For instance, you may qualify for financial assistance through a non-profit organization designed to help first-time buyers, like Freddie Mac or Fannie Mae. FHA loans are also a popular option for the first time buyer, but you’ll need to do some research to see if you qualify for these programs. You will most likely be eligible for the tax credit for first time buyers, which is designed to stimulate the housing market. Again, it’s important to research all of your options.
Reap Your Reward!
Now that you have entered the world of real estate as a first time home buyer, mortgage rates, incentive programs, and all kinds of other real estate-related stuff is probably floating around in your head. Once you’re armed with your research and some experienced professionals to guide you, the home-buying process should be a relatively easy experience.
It’s true, buying your first home is nothing less than an adventure, but it’s one where the ends definitely justify the means!
