Buying a new home is exciting, but it can often feel overwhelming and stressful for first-time homebuyers.
Where do you even start? Our 4 expert tips for first-time buyers will tell you everything you need to know to get started on your home buying journey.
Speak to a Lender
The best place for first-time homebuyers to start is speaking to a lender. They can take a look at your financial situation and help you understand what kind of a mortgage you’ll be able to afford. Keep in mind that lenders will often loan you more than you could easily afford, so try to keep your monthly payment to 25% of your monthly income. This will help ensure that you can afford both your new home and all of life’s other expenses.
It’s helpful to talk to a lender before you start your house shopping. That will give you an idea of how much you can spend, and you won’t get your heart set on a home or property that’s outside of your price range. While you’re at it, it’s a good idea to go through the process to obtain a letter of pre-approval from your lender so you can put in an offer as soon as you find the right house.
Stay on Top of Your Credit
This is not the time to open new credit cards or take out a car loan. It’s also a bad time to forget to pay the utility bill or to get behind on credit card payments. Lenders will be analyzing every part of your financial situation, and taking out new loans or missing payments can jeopardize your ability to obtain a mortgage. If you need to take out another loan, wait until after you’ve closed on your home.
Make a List of Priorities
Many dream home wish lists include things like a pool, a theater room, an indoor gym, and a huge kitchen. Most of the time, first-time buyers aren’t looking at homes with those features. But that doesn’t mean you should make a wish list for your home. Separate the necessities from the “nice-to-haves” and list them all out on paper. It will be helpful in your home search to know what your priorities are and what home features you’re not willing to budge on.
Definitely Get the Inspection
Getting a home inspection is important whether you’re buying a newly built home or one that’s 100 years old. Even new homes can have issues with them, and without the inspection, you could find yourself paying lots of money for repairs that you didn’t know were needed. Home inspectors are trained to see things that buyers and sellers don’t, and the inspection is worth every penny you spend on it.
HoneyHomb Can Help
Buying a home can feel like a daunting task. That’s why HoneyHomb is here to help first-time homebuyers in Sandy, Salt Lake City, Murray, and the neighboring cities along the Wasatch Front in Utah. We offer a huge rebate to buyers in the form of paid closing costs. We’ll be by your side every step of the way, from helping you get pre-approved by a lender to handing you the keys to your new home. Buy the HoneyHomb way today!