First Time Home Buyers
First Time Home Buyers
Buying your first home can be intimidating and a bit scary. It's a major life event and many first time home buyers don't know where to turn. We can help! Below, you will see questions many first time home buyers have. We are here to help you discover the answers to your questions.
What can I afford?
The first step in buying your first home is to get your financial house in order and keep your credit clean. Eliminate as much debt as possible before applying for a mortgage. After you are pre-qualified, DON'T obtain any additional credit as this can hurt your score and cause you to lose your "pre-qualified" status. Buyers who have little debt and a high credit score will be able to get the best rates, which will help you save money over the long run. Once you are pre-qualified, the fun begins and you will know how much house you can afford. Don't over extend yourself. Even though your lender may say you can qualify for $180,000 that doesn't mean you must buy a home for that much. Leave yourself some cushion in order to build a savings fund for emergencies to keep from going any further in debt. Our desire is to help you be successful in life not just to sell you a house.
Am I getting a good deal on my mortgage? How much down payment will I need?
Once you are pre-qualified, you may wonder if you are getting a good deal on the mortgage or not. The best way to find out is to compare. Good deals vary week to week and lender to lender. If you are trying to find a good local lender, let us know, and we will refer you to our preferred lenders who work with first time home buyers. They will be able to assist you in how much down payment is needed and if there are any first time home buyer programs. With the recent credit crunch, many lenders have had to increase their down payment requirements, but there are still some programs to help first timers with down payment assistance. Please inquire if you feel like you will need down payment assistance.
Can I buy a home if I have bad credit?
If your credit is bad, don't give up your dream of owning a home. We have credit restoration programs available as well as creative financing options including lease purchase (rent to own) and private lenders.
If you feel like you will have a problem getting qualified for a
mortgage, get in touch with us because we are problem solvers! We can make it happen!
How does buying a home work?
Most first time home buyers don't understand how a real estate transaction works. When someone is selling their home, they either sell it "for sale by owner" or the employ a real estate agent. If they employ an agent, this agent is called the "seller's" or "list agent" and is working for the seller. As a buyer it is important to use the services of a real estate agent to be your "buyer's agent." That way you have representation as well. In most cases, the seller will pay the commission to both the list agent and buyer's agent. In North Carolina, all agents working with buyers or sellers are required to explain real estate agency with the "Working With Real Estate Agents" brochure provided by the North Carolina Real Estate Commission. Please contact us if you have questions regarding agency.
Where is the best place for me to live? Where are the best schools?
We offer a free internet based buyer's service to help you in your search for your first home. This free service will allow you to enter your criteria including price range, bedrooms, bathrooms, square footage, area, schools, lot size, etc. You will be notified each day via email if there are any new matches that meet your criteria. This can really help you speed up your new home search. Pretty neat, huh? Please contact us if you would like to use this free service.
The Department of Housing and Urban Development (HUD) is one of the best resources for first time home buyers. The HUD site lists the many different First Time Home Buyer Programs available in our area as well as a step by step plan to buying your first home.
We want to see as many people as possible reach the American Dream of home ownership, so please contact us with any questions you might have. We are here to help!
