Starter homes are always popular due to the higher number of possible home buyers who want to buy them. Due to their smaller size, these properties usually have lower prices and may be perfect for those looking to keep costs down. With the demand for them so great, starter homes typically spend very little time on the market and often attract multiple offers.
The Time To Buy a Starter Home is Now Now could be the best time to buy that starter home. Home values are on the rise and interest rates have been slowly rising. You could afford more home now than in the near future. A starter-home search might take some time due to the high demand for homes, but if you can lock into a mortgage rate now, you will also likely get a much better rate than someone who waits six or more months.
Talk To Your Agent It’s always wise to talk to a real estate professional about housing options based on where you are looking to live, what you can afford, and your long-term homeownership plans. Your agent will be able to give you the benefit of years of experience and help you make the most-informed decision possible about purchasing your first home.
This seminar is hosted by Emily Farthing, a Mortgage Consultant (Loan Officer) with Sibcy Cline Mortgage Services. She will be presenting:
Purchasing a home in the changing climate of the current economy
Stages of purchasing a home
Short sale and foreclosure property information
Pre-qualification requirements for a mortgage loan
A reservation for the seminar can be made: firstname.lastname@example.org or 513-706-4898.
Remember, buying a home is a big deal and a large investment. It is also a very exciting time as homeownership is very rewarding. If you have been thinking about purchasing a home for the first time you will need to understand the processes and requirements for obtaining a mortgage loan and how much house you can afford. Attend this seminar and get your questions answered!
Thinking about buying your first home? Here are some tips to consider:
First get pre-approved by a mortgage loan officer. You need to figure out how much home you can afford. You will also learn about down payments, closing costs, homeowner’s insurance and other home-related costs.
Organize your personal budget. This will help you figure out expenses and what you feel comfortable paying each month.
Take advantage of down-payment incentives to save money. Ask your mortgage loan officer about what programs are available.
Do Your “Home” Work
Make a realistic wish list of priorities of what you are looking for in a home. What is most important to you – location, number of bedrooms, open floor plan, etc.? (Remember, the most important detail will be your home’s location!)
Study current market values. You need to understand the real estate market values in your specified areas of interest in order to make an informative offer to purchase a home. Your real estate agent can help you with this information.
Understand how higher mortgage interest rates affect a monthly payment. Your mortgage loan officer will show you different payment scenarios with rates and how locking in a mortgage rate can protect you from paying more money.
Think about price versus long-term home value. It may make better sense to reach for your higher budget limit. Remember, you are going to be in your home long term.
In your home search, there will need to be compromises. No home will have 100% of your wish list.
Your home purchase is a long-term investment. Be sure the home you buy is going to meet your needs for the next 7-10 years.
You may need to be aggressive with an offer. Some areas are more popular and listed homes may have shorter days on the market than others.
Select An Agent
Your agent will take you through the buying process so you thoroughly understand it. This will help you to make good decisions when the time is right to make an offer on a home.
Your agent will provide his or her expert advice as well as help you understand current market values for homes in areas of interest.
When it is time to make an offer on a home, your agent will help you with details for the contract to purchase, including adding contingencies. Once the contract is accepted, your agent will make sure all contingencies are satisfied and that details are arranged for a smooth closing. At the closing table, your agent will be with you when you sign your closing documents.
Real estate agents work with first-time home buyers all of the time. Here are some thoughts to consider before beginning a search for your first home:
What will be the “must haves” for your first home? Be realistic. Is it 3 bedrooms and 2 full baths? Is it a walkable neighborhood? Is it having a garage or a basement? Write down your priority list.
A perfect home does not exist. You will not find a home with everything you want and will need to make compromises. But, when you do find your home, although it may not have all of the amenities, it will still be your perfect home!
You need to know what you can afford. Is it very important to consult with a mortgage loan officer to figure out a budget. Besides a monthly mortgage payment, you will need to consider home insurance and property taxes. Also, you need to learn about down payments and closing costs.
Resale value. Most first-time buyers move within the next 5-7 years, so think about re-sale value.
Learn about local market conditions. When you start your home search, you will need to be educated about current market conditions of the areas that interest you.
Location. This is an important factor to consider when making a home purchase!
Be prepared to act quickly. Once you understand current market conditions, you may need to act quickly when a home meeting your qualifications is listed.
Learn. There may be downpayment or tax incentives available.
What your real estate agent does. Your agent will inform you of the entire buying process as well as market conditions to empower you to make decisions. Your agent will guide you through contracts, negotiations and closing.