FIRST-TIME HOMEBUYERS CHECKLIST
One of the most important things you can do is to make a checklist as you look for and buy a new home. Keeping on top of your game plan will greatly increase your chances of success. The market in buying a home has immeasurably changed in the last couple of years. Thus, the preparation that you do for your house purchase is very important.
Remember, your finances should be in order before you hand the keys to your first home. You need to make sure that your debt and budget are in good shape. Century 21 Bright Horizons provides real estate services in E. Garvey Ave. South West Covina CA. Here is a checklist that can help you move toward this major purchase:
PAY YOUR OWN DEBT
Before you do anything else, focus on paying down your credit cards and your bills on time, and raising your credit score. This is primarily a good tactic to dress yourself properly as you request for a home loan. No mortgage lender wants to throw a loan to a prospective client who is overwhelmed by debts and bills.
HAVE SAVINGS IN THE BANK
You have at least 20 percent of the house’s purchase price saved as a down payment – as most experts would suggest. Many people can buy a house without that – and you can too – but there are many good reasons to put down at least 20 percent. For first-time buyers, you’ll almost avoid paying private mortgage insurance, or avoid the chances of paying it for long periods of time.
ADJUST YOUR BUDGET
Buying a house is a long-term expense you’re going to take on. Are you renting now? Will your house get much bigger? Are there any amenities you need to take care of? Will you have homeowner association fees? Does your house have a pool? More planning is evident. So ask yourself if you can afford the mortgage.
CONSIDER THE LENGTH OF YOUR HOME LOAN
Most homeowners go with a 30-year mortgage. Some people would try for a 15-year loan, while others go somewhere in between. The immediate benefit of a shorter-loan is that you get much lower rates than a 30-year loan. If you can do a 15-year loan, you’ll spend less on your house than you will with a 30-year loan. However, not much people can swing that. An increased payment entails more confidence to achieve it.
Buying a house does not always involve calculating numbers. You also need to start gathering some paperwork with numbers on it. Start filling up your federal income tax records for the past couple of years, recent paycheck stubs, utility bill payments, and any other paperwork your mortgage lender might want to see.
CHECK OUT PLACES YOU WANT TO LIVE
You need to be particular in the area you want to live. Saying you want to live in certain geographical area is not enough. You have to dig more. If you find yourself indecisive coming up with a best possible spot to raise a family or live peacefully, Century 21 Bright Horizon can help you. We offer real estate services in E. Garvey Ave. South West Covina CA. We have a wide range of options – from house locations, type, and prices.
Cross check all the points before you buy a home. For any assistance, we will be happy to serve you! You may visit our real estate services in E. Garvey Ave. South West Covina CA, or call us at 800-421-2154.