Buying a home is a joyous experience, but it can also be stressful with just one misstep.
That is why it’s important to be well informed and prepared for the road ahead.
As you enter the real estate market, especially if you’re a first-time homebuyer, learn from the mistakes of others and avoid these common errors that can arise when it’s least expected.
Guesstimating a down payment
Many aspiring homebuyers get it wrong when it comes to knowing how much money is needed for a down payment.
Believe it or not, it’s not uncommon for borrowers to assume they need more for a down payment than what’s actually necessary.
Yes, you can buy a home without coming up with 20 percent of the purchase price. In fact, there are special programs that can substantially lighten the load of the down payment.
Delaying credit repair
Set yourself up for success by addressing deficiencies to your credit report.
Simply by meeting your credit obligation and lowering the amount of money you owe can increase your credit score, a crucial component of the loan approval process.
First-time homebuyers don’t always realize how simple it can be to start making significant strides toward a higher credit score.
Not securing a pre-approval
Perhaps the most consequential misstep a potential homeowner can make is not securing a pre-approval.
A pre-approval accomplishes multiple things. It’ll tell you how much home you’ll be able to afford, terms of the loan and provide you with a firm commitment from a reputable lender that you are prepared to make a deal.
Once equipped with this information, you can enter the market with clear expectations and leverage. In this competitive market, it’s important to stand out from the rest.
Our team of real estate professionals can provide you with the market information and a customized loan program that will set you up for success. With today’s prosperous economy and attractive interest rates, buying a home is within reach.
Let our team help you try to take advantage of favorable market conditions so you can enjoy every moment of this exciting journey toward home ownership.