3 Essential Tips For First Time Homebuyers in Today's Market

So you are on the market to buy a house for theNumber Two: Be Aware of First Time Home Buyer
first time. Wow! That's exciting! And terrifying, andPrograms
daunting, and confusing, and overwhelming! There'sIn every part of the country there are different
so much to consider when buying your first home.programs that are designed to make it easier for
Stuff you never thought of before. It seemed like allFirst Time Home Buyers to get into a house. Some
you had to do was go find the perfect little houseof these programs are national and are the same in
out of the millions listed, ask somebody for a loan,every state, and some are some are completely
and then move in! Who knew that you actually haddifferent. Make sure that you ask your mortgage
to plan this thing out?! It's ok, don't stress. I have putprofessional to educate you about any grants or
together this little list of 3 simple things to doother programs that you are eligible for because
BEFORE you start looking. It's not rocket science butyouíre a first time home buyer. This is not
it WILL HELP. So here we go!the same as getting pre-approved for a loan amount.
Number One: Find Out How Much You're Worth!Some of these grants and programs give you down
It seems like a "Duh" but you would be amazed atpayment assistance, some of them allow you to add
how many people start their home searching processmoney onto the loan for remodeling (called an FHA
without having any idea how much money the bank203k streamlined loan), some of them will GIVE you
is going to lend them. Then, after much searching,up to $14,000 to buy a bank foreclosure! You
they find the perfect home only to be informed bycertainly don't want to miss out on these programs
the mortgage company that they only qualify for halfbecause you didn't know about them.
the amount they need. That is not a good feelingNumber Three: Do Not Buy at the Top of Your Price
and can be very demoralizing. So here's what you do.Range!
Before you ever look at a single home, walk into theIt's very tempting to take that number that the bank
bank that you normally do business with and ask tosays you can borrow and go buy a home priced at
speak with their mortgage representative. Tell themexactly that much. Don't Do It!! Here's why; Even
you are looking to buy your first house and youthough with a maximum loan amount you will be able
need to know how much money you are going to beto make the monthly mortgage payments you
able to borrow. They will ask you a series ofwonít be able to budget in more money for
questions and within hours you will be pre-approvedincidentals. There's a lot more that goes into owning
for a certain amount. IF you don't like that amounta home than just your mortgage. Utilities, insurance,
you can get a second opinion from another bank orrepairs, and maintenance. There is no landlord any
mortgage broker. But be careful. If you go to toomore so you are responsible for ALL of it now. Make
many people and get too many opinions it cansure that you have enough monthly income to cover
actually lower your credit score and make banks notit all. Buy something that is just a little bit under
want to loan to you. Before getting a second opinion(maybe 10 percent) your maximum approved loan
you should contact a local Real Estate Professionalamount. You will thank yourself later!
and ask their advice on the matter. Once you haveIf you have any questions contact your local Real
done all of this you may now start your home searchEstate Professional and they will help guide you
with the knowledge of how much money you canthrough all of this. That is what we do!
actually spend on a home.