Get your finances in order.
Whether you are an employee or you are self-employed, you want to get all of your finances together. Have your W-2s, tax returns, all of your debts and liabilities, income proof, and identification ready to go for your loan application. Get a copy of your credit report and understand what it means. It’s not a good time to find out that you have errors on your credit report when you’re sitting down with your lender. Make sure you understand your report first. If you have a credit score anywhere from 600 to 750, chances are you’ll be able to get a pretty good loan. There are home loan options for credit ratings under 600 but you will probably be paying an additional insurance, taxes, higher interest rates, and fees. If you can bring your credit score up to at least 700, you could save a lot on your interest rate.
Find yourself a great real estate agent.
Most first-time homebuyers don’t even realize that they need their own representation when buying a home. If you simply go out and look for a home and then call the listing agent, that agent’s primary goal is to sell that property, which may not be the best property for you after all. Their goal is to sell that home, not just to find you the right property. Enlist the help of your own real estate agent. We buyers agents for the Franklin Tennessee area and surrounding markets and we live helping first-time homebuyers find the right home for them, not just sell anyone particular house. The agent or team you feel comfortable with and feel free to ask all the questions you want so you are well informed and feel comfortable with your purchase.
It’s okay to shop for a mortgage.
We’ve worked with reputable lenders in the area for years but it is ultimately your choice who you choose as a lender. Shop around and let them know your shopping around. They will probably offer you a better deal with better rates.
Search for the home.
You think this part comes first but it’s actually one of the last steps in buying a house. Once you have your financing in order and you’ve spoken to a lender have your real estate agent send you listings that match your search criteria and price. There’s no point to look at homes that are over your price range or that don’t match what you really need in a home. Make a checklist of the items you want and items you don’t want in a house. Sometimes it’s easier to make this checklist when you’re touring homes. This checklist can be ever-changing until you find the right home for you. Don’t necessarily settle on the first home just because it’s exciting to look at new houses, however, don’t disregard the first house you see either. Often times, buyers can look at dozens of houses and come back to the very first ones they saw.
We want this process to be exciting, fun, and stress-free so let us help guide you through the process answering any questions you have and helping you find the right home for you and your family. Contact us at any time to get started with any of these steps.
These Articles Might Help Too: