If you’re looking into buying your first home, congratulations! Owning your own home is a great way to build up wealth, and get an asset that is truly your own. However, purchasing a home can be very intimidating for first time buyers. There’s a lot to know! That’s why Home Town Builders is here with some simple tips for first-time home buyers. Read on, and learn with us.
- Use A Real Estate Agent – Seriously
You may not want to pay a commission to a real estate agent, and would prefer to go through the process on your own. We understand wanting to save money, but not using the services of a real estate agent is a mistake.
There is no better choice for a first-time home buyer than an experienced real estate agent. They are familiar with the entire home buying process – and they’re on your side. They can make sure you’re getting a good deal, and that the home has been inspected and conforms to local and municipal building codes, and much more. They will also help you close on your home, and do all the legal paperwork required to purchase it.
- Make Sure Your Credit Is Up To Par
You’ll need at least a 600 credit score to buy a home. However, you’ll pay a very high interest rate on your mortgage if you have a low credit score. The average credit score of homeowners is around 682 – but if you can get your credit over 700 or 750, you’ll get an even better interest rate on your loan, which could save you thousands in the long run.
- Don’t Forget About Extra Costs When Budgeting
Buying a home has many extra costs, such as:
- Property tax
- Home inspections
- Closing costs
- Real estate agent fees
- Homeowners insurance
- Renovations and repairs, if necessary
Make sure you understand these costs before deciding how much you can afford to spend on a house.