First steps to Home Buying - getting started!

 

So, this inquiry may be more popular on the internet than those interested in selling. In my opinion, it's a little more complex to explain than the selling process but I plan to simplify it the best I can for you. Let's dive into how to get started when you're interested in buying a home.

First and foremost, know your credit score! In my professional opinion, mortgage lenders like to see scores around 620. If your credit is well below that, there are a ton of websites and professionals that can help you with tips and suggestions on how to improve your score. Reality is, you'll then have to wait until your score has gotten better before continuing the home buying process. Once your clear on what your score is, figure out what you can afford and what you're comfortable with when it comes to paying a mortgage every month. Good news is, if you're currently renting and paying $1500 a month for a 2-bedroom apartment, your monthly mortgage payment could potentially remain around the same but this time you're paying to OWN! I think we can all agree that the "Rent Market Value" has skyrocketed recently and continues to. It might make more sense to convert from renting to OWNING!

Now the next step is to contact an agent (a couple suggestions on finding an agent can be found in my "First steps to selling your home" blog) We, agents, can recommend some mortgage lenders for you to call. Most of us have a few select lenders that we like to suggest and do business with.

Once you have a mortgage lender on the phone, they'll ask you all of the necessary questions they need to in order to get the pre-approval going. They'll look into your credit score and what your income is. Whatever documents they request from you, I suggest getting over asap. It typically takes a few days to find out if your officially pre-approved and for how much. Once pre-approved, I suggest taking a mental moment to be super proud of yourself because guess what? You and your chosen agent get to start HOUSE HUNTING! Have that lender email your pre-approval letter to you and your agent so your agent can start to get to work on their end. This is where the fun truly begins and the search for your dream house becomes closer and closer.

My advice would also be to create a wish list for you and your family on what you want for your new future home. How many bedrooms and bathrooms? Garage or no garage? How big of a yard? These are the types of things that you can start to brainstorm so you can tell your agent exactly what you have in mind!

So, to wrap this one up, know your credit score, have sufficient income and savings, contact an agent and a lender and be prepared to start the home-buying journey! And feel free to throw a little celebration in your own honor because this is an important milestone in your life. Even if you've been through this process before, it's always going to be an exciting thing to buy a new home!