Four Things to Prepare When Buying Your First Home

by Jorge A. Gonzalez, PA 10/13/2019

It is not just enough to think about buying your first home. It is a life-changing experience that can have more twists and turns than a Hollywood soap opera. Homebuying can also be an enjoyable experience if you put in steps to get ready for the process well before it gets started.

Here are four things that you must do to prepare for buying a home.

Check your credit report

The most critical factor in buying a home is your credit report. This report is what mortgage lenders use to determine your eligibility for a mortgage loan. Many things affect your credit report and add up to your credit score. Find a free or paid website to check your credit report at least twice a year.

Build your credit history by also making sure that you don’t default on credit card payments and other bills. If you already have delinquent accounts on your credit report, work with the creditor to bring it back up to date. If there are mistakes on your report, contact the reporting credit bureau to address it. 

Have a budget

Budgets come out of taking a long, hard look at your current financial situation and deciding how much down payment you can afford to pay. Your economic condition affects the type of home that you can buy and your ability to pay your mortgage conveniently. Also, try to budget for other expenses like homeowners' insurance, closing fees, inspections, and possible renovations or improvements. Use a mortgage calculator online or with your real estate agent to play around with the amounts to find the sweet spot for you.

Get pre-approved for a mortgage loan

Before you start looking for a house, you should get pre-approved by your bank. Not only does this give you a stamp of approval that you are ready to buy a home, but it also gives you an edge over other buyers as the sellers know there will be a quick closing on the sale.

Find a Real estate agent

Navigating the real estate market by yourself is not advisable. Many pitfalls exist of which you may not be aware. To make your dream of owning a home a reality, find a real estate agent that is professional, has your best interest at heart and honest. This person will help you get the best deal for your money and also have a smooth buying process.

Do you think now you are ready to buy your first home? Call a local real estate agent today to get started.

About the Author
Author

Jorge A. Gonzalez, PA

Jorge Gonzalez and his “Team Dad of Eight" will help you sell your home in a way that accomplishes your personal and financial goals by making the best use of technology to create massive market exposure and secure the highest price and best terms for the sale of your home in the shortest possible time.