You CAN have the American Dream of buying a home! It may be easier to get a loan and cost less than what you think. Many people have misconceptions on how much money you need to buy, obtaining a loan and even when to buy.
I recently sold a house to a first time buyer. When I told her the amount of her monthly payment she got tears in her eyes and exclaimed "This is $150 less a month than my rent! Why didn't I do this sooner?" Here are some tips to buyers:
The market is bad, so I dont want to buy now.
This is exactly the time to buy, it is a buyers market. Homes are more affordable than they have been for many years. Combine that with low interest rates and you can get more house for less money.
I don't have enough money for a down payment.
You can buy a home for $1000 down if you are a first time buyer or if you have not owned a home in the last 3 years through the NIFA Homebuyers Assistance. A regular FHA loan requires 3.5% of the purchase price for a down payment. You can ask the seller to pay the buyer's closing costs.
My credit isn't good enough.
You don't know until you try. Go ahead and apply for a mortgage loan, you may be pleasantly surprised to obtain your pre-approval. And if you are not quite able to buy now, most loan officers will give you information on how to repair your credit so that you can buy in less than a year. According to current FHA guidelines, if you had a bankruptcy you have a 1-2 year wait, a foreclosure is a 3 year wait.
I want to find a home before I apply for a loan.
Big mistake! This can be very frustrating and disappointing to buyers. You need to know not only f you can secure a loan, also the type of loan you are using and the amount you quailify for. Looking for homes is a lot of work, so don't use energy looking at homes outside of your price range. And there is nothing worse than finding that perfect home when you don't yet have loan approval. Someone else can buy it while you are trying to secure your loan.
I don't know where to start.
Start with your real estate agent! Your agent can refer you to a loan officer to get the process started and we will work together to help you get your loan approval.
I am not ready to talk to an agent.
We will work on your time frame. We understand that you may have a lease or a new job or need to clear up your credit. We will stay in touch with you and let you know how the market is doing so that you are informed when you are ready to buy.
What is a buyer's agent and what does it cost?
It does not cost you anything to have a buyer's agent! A buyer's agent can show and sell homes listed by any company and our services are free to buyers. We will send you information on homes currently available in your area and price range and with your requirements. We are there to protect your interests, give you advice to help you make an informed decision, negotiate the offer and make sure that you have a smooth closing.
I am here to help your achieve your dream of owing a home. Contact me anytime if you have have questions.
Call or Text 402-680-6646