Purchasing a home can be challenging and time consuming for anyone. This is often magnified when it’s only your first time going through the home purchasing process. If you are in that situation, we’ve prepared some tips that should make life a little easier as you embark on the journey!
Explore Mortgage Options
There are several types of mortgages that may be available to you, and it’s worth exploring all your options to make sure you set yourself up for success in the long run. Many first-time homeowners opt for an FHA loan, which makes perfect sense given the lowered down payment and credit requirements. However, you should still explore conventional loan types or a VA loan if there is a chance you’d qualify.
If a new home purchase is on the horizon for you, make sure you’re saving up for your down payment! The minimum down payment for an FHA loan is typically 3.5%. Naturally, you’ll want to have at least that much on hand to qualify for a loan. However, the more the merrier! Once you have 20% equity, you will no longer need to pay for private mortgage insurance. Thus, the closer you are to that number from the jump, the more you’ll end up saving in the long run.
Compare Mortgage Rates
When you decide you’re ready to take out your mortgage, don’t just drive to the nearest bank and go through all of their motions. You’ll want to shop around more with various private lenders to ensure you’re getting the best mortgage rate possible. This key advice could end up saving you thousands of dollars over the course of your loan.
Find an Agent You Can Trust
If you’ve never been through the home buying process before, a guiding hand can make the experience much less stressful than taking your best shot alone. That’s exactly the purpose of a real estate agent. Do your research (whether it be online or through word of mouth recommendations) and find someone you can trust to help you navigate through the entire home buying process until closing day!
Golden Lenders Works with First Time Homebuyers
Golden Lenders helps home buyers in Colorado, Florida and California understand the different types of mortgages that are available and provides loans to help people achieve the dream of homeownership. Since the specifics of which mortgage to choose is dependent on a variety of factors, we encourage you to call us for more information and find out which is right for you. Our number is (303) 482-2361, or you can send us a message.