6 Must Know for First Time Home Buyers
Good morning and welcome! Here are a few things to take into consideration as you get ready to begin the process of purchasing your first home.
Budget- Before you begin your home buying process, you should take a look at your existing budget. Know how much you’re already spending monthly and the mortgage payment amount you will be comfortable adding to that. Not the amount the loan officer will give you, but the amount “you” will be comfortable paying each month. If your budget will nicely accommodate the monthly payment on a $300,000 home, you should avoid purchasing or looking at homes outside that price range.
Going outside that price range will increase your mortgage payment. That increase may mean, you will need to take money from another expense, work a few more hours or constantly playing catch-up. You really do not want to put yourself and your family in that position. Remember, you will be the one making the mortgage payments. Not your Realtor or loan officer.
Do Not Settle - you may need to give yourself a bit more time to save up more money to get the house you want instead of settling for a house you do not want. Do not let anyone talk you into buying a house you do not want just so they can close a sale. Remember, your Realtor should be looking out for your best interest, not theirs.
Work with the Right Realtor. This is very, very important. When you work with a Realtor, he or she will put your interest first and advise you base on your needs and not theirs.
Design Center - If your home purchase includes going to the design center, understand their goal is to sell you as much of their inventory as possible. Therefore, you must have a firm budget in place before your appointment. If you receive a credit from the builder, you should try to stay within that amount. For out of pocket payment, depending on the builder, you will either have to pay a certain percent of the total selection amount upfront with the rest roll into your mortgage or you will be required to pay the entire amount upfront. Keep those in mind as you make your selection. You will also need to speak to your loan officer to find out if you will be able to add any amount to your mortgage.
Questions. Ask lots of questions. Your Realtor’s responsibility includes answering all your real estate related questions in a timely manner, therefore, you should not be afraid to ask question. You will be making the most expensive purchase you will make in your lifetime, so you want to make that decision with the right guidance and with confidence so you do not end up buying into a neighborhood you do not like, a house you do not love or struggle to make your mortgage payment each month.
Buying a home comes with a long financial commitment. The guidance you receive and the decisions you make during the process should be ones that you are happy with, long after receiving your keys at the closing.
As always, thank you so much for stopping by. Remember, if you are thinking of purchasing your first home, please contact us. We are here to help. We have been helping Houston first time home buyers since 2011 and we can help you. I hope you have an amazing day. Until next time...Diana
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